Better Price Positioning Paying Off For M&S Food

Namnews, 25th October 2021

The overhaul of the product offering and pricing in Marks & Spencer’s food business is helping it lure customers away from nearly all its supermarket rivals.

According to recent industry data seen by The Mail on Sunday, the chain has taken market share from most of the other leading grocers except for its delivery partner Ocado and Lidl.

And the report suggests that M&S is set to benefit from what is expected to be a bumper Christmas for the grocery sector after last year’s celebrations with curtailed by a Covid lockdown.

After adding more everyday lines and reducing the prices on many of its basic ranges to attract families doing weekly shops, M&S is also promoting “affordable luxury” items this Christmas. The chain has traditionally proved popular during the festive season as shoppers trade-up to better quality food.

The gains over its rivals follow an upbeat presentation to the City earlier this month covering food and clothing categories.

George Wright, M&S’s Commercial Director for food, highlighted that its customers had noticed the retailer’s better price positioning.

“The reason people didn’t shop with us was because they thought we were too expensive,” he said. “Over the last two years our value perception has moved faster than any other grocer.”

NielsenIQ data published earlier this month showed that M&S Food was one of the best-performing grocery retailers in the 12 weeks to 9 October, with sales up 9.4% and its market share increasing to 3.3%.