Tesco introduces ‘Brand Guarantee’ price match initiative

Tesco’s new Brand Guarantee will only cover prices from the “Big Four” and not Aldi and Lidl. This works for shoppers in store and online.

As part of Tesco’s existing “Price Promise” scheme, customers are given a voucher to use on future visits if their basket of goods, including branded and non-branded items, could have been purchased cheaper from big four rivals Asda, Sainsbury’s and Morrisons.

Tesco United Kingdom and Ireland chief executive Matt Davies said the supermarket decided against redeemable vouchers as customers found these to be a hassle, with many either losing or forgetting to use them. “Brand Guarantee is one more way we are taking the hassle out of a trip to the supermarket or an online shop”.

Tesco today confirmed a dramatic overhaul of its Price Promise price-matching scheme with the rollout of Brand Guarantee.

Tesco operated a similar voucher system until its immediate discount pledge was launched this morning. The scheme does not include own-label goods. ‘We all know it can be stressful and awkward when you have to rummage through your wallet to find a price match voucher’.

Tesco will hope its latest offer helps revive its ailing fortunes.

Sarah Willingham, personal finance expert, said: ‘Price matching has become far too complicated for shoppers.

‘We’ve all been there – you rush out of the house to do your shopping, you’re trying to remember your bags, your list, find your auto keys. Anything that adds value to the consumer with no extra effort required is a great thing’.

The group, which posted a more than halving in first-half profit last week, is seeking to regain market share lost to the discounters, Aldi and Lidl, with lower and simpler pricing, improved product availability and better customer service.

Tesco’s Brand Guarantee will enable customers to receive money off their bill at the checkout – both in person and online – if the overall cost of their branded grocery shop would have been less at Asda, Morrisons or Sainsbury’s.