Top 50 Indie MPK Garages is taking on Tesco with a long-term price campaign highlighting that it is cheaper than the supermarket giant on a minimum of 50 products every week.
The Nisa supplied chain of 28 Pop In Daily-branded forecourts says it piloted the concept last year in response to the cost of living crisis. Retail director Wayne Harrand says the business, which is largely based across the Midlands, is now committing to the ‘Cheaper than Tesco!’ promise for at least 12 months, with a bigger marketing push to customers, using permanent banners on the forecourts and point of sale in-store.
The initiative, which uses dynamic electronic shelf labelling, is running across the entire range, with the exception of tobacco products, at all its outlets for the ”foreseeable future”. Tesco prices are verified on Sunday before MPK’s own prices go live each Monday.
Over Christmas, for example, Smirnoff vodka, Gordon’s gin and Strongbow cider were reduced in price, with the ‘Cheaper than Tesco!’ messaging on the digital labels. “We are going further than the norm of price-matching by giving our customers cheaper prices than Tesco on their doorstep,” says Wayne.
“We’ve run ‘Cheaper than Tesco!’ pricing for a while, but now we are guaranteeing 50 prices every week across our 28 sites for at least the next 12 months.”
The idea is not new in the sector. Fellow Top 50 Indie forecourt operator Sewell on the go has also been using electronic shelf edge labels for around two years to highlight its competitive position. “We automatically track the likes of Tesco and display this via our electronic shelf edge labels. Having done a quick check, currently our 13 sites have price checks (cheaper than) of 15 to 35 products,” says retail managing director Patrick Sewell.
Simon Burnett, sales consultant at epos solution provider CBE, says that electronic shelf edge labels, together with self-serve checkouts, have gone from never being mentioned four or five years ago to coming up in conversation during every other retailer visit. Digital price tags are not only useful for running offers, they can help boost turnover too, he says, with 24-hour forecourts using the technology to charge more for products at night, when staff costs are higher relative to takings. “With everyone’s costs rising it can be a very useful tool and I see 2024 as the year that even smaller independents in the sector will want to invest,” says Simon.
