Loyalty schemes across UK supermarkets are offering genuine discounts, according to a recent CMA investigation.
CMA Confirms Genuine Loyalty Savings
The Competition and Markets Authority (CMA) has confirmed that loyalty price promotions across leading UK supermarkets offer legitimate savings. This comes after a detailed analysis of loyalty schemes at Tesco, Sainsbury’s, Waitrose, Co-op, and Morrisons.
The investigation, involving over 50,000 products, found that 92% of items on loyalty promotion provided real discounts compared to usual prices.
Despite these findings, the CMA advises shoppers to compare prices across stores, as loyalty discounts aren’t always the lowest available.
Findings from the CMA Investigation
Real Savings Proven Across the Board
- 92% of loyalty-priced items offered genuine savings.
- Consumers saved 17-25% on average at Tesco, Sainsbury’s, Waitrose, Co-op, and Morrisons.
However, the report also noted that non-loyalty prices may still compete, prompting shoppers to continue price comparisons.
Consumer Perceptions of Loyalty Schemes
A CMA survey revealed mixed public opinions:
- 55% of consumers believe non-member prices are inflated during promotions.
- 43% think offering lower prices to loyalty members is unfair.
- Despite privacy concerns, only 7% cited data worries as a barrier to joining schemes.
Accessibility concerns were raised, with calls for offline sign-up options and lower age restrictions, particularly for older people and underage shoppers.
Loyalty Savings at Major Supermarkets
Supermarket |
Average Loyalty Savings |
Consumer Feedback |
|---|---|---|
| Tesco | 17-25% | Positive, but concerns over inflated non-member prices. |
| Sainsbury’s | 17-25% | Fair savings, though fairness questioned. |
| Waitrose | 17-25% | Strong support for genuine discounts. |
| Co-op | 17-25% | Accessible loyalty pricing praised. |
| Morrisons | 17-25% | Significant savings with cautious trust. |
Transparency in Data Usage
The CMA found no evidence of misuse of consumer data by supermarkets offering loyalty schemes. Clear communication about how personal data is collected and used helped alleviate concerns.
However, improvements in accessibility remain a priority, especially for those without smartphones or internet access.
What This Means for Shoppers
Although loyalty pricing offers clear benefits, the CMA advises consumers to remain cautious. Comparing prices across supermarkets ensures the best value, even when loyalty schemes are in play.
Stay informed on loyalty schemes and their benefits by exploring supermarket promotions and comparing offers.
Smart shopping can stretch your budget further, helping you save more in the long run.
Sources: THX News & Competition and Markets Authority.
