MSE News: Tesco slashes Clubcard points to finance price drop

VT82

chardir wrote: »

It's not free - it's factored in to all prices across the board. This is equivalent to a universal 1% price rise.

Not quite - because:

• not all transactions have the points collected for them
• not all points collected will be spent
• and for every 100 points spent at 1x value in the store this doesn't actually 'cost' Tesco £1, just the cost price of the £1 of goods

So it doesn't really cost Tesco 1% to offer 1 point per pound. Meaning that if you make best use of points, you are being partly subsidised by people who don't, rather than wholly by Tesco putting up their prices by 1%.

pbemtim

There WILL be another double up promo during November

pbemtim

CompBunny wrote: »

I really hope that the price reductions are decent and not just on luxury goods...eg I'd much rather have a cheaper bog standard loaf of brown bread reduced in price than a luxury (to me) foccacia.

The promo will be on everyday items, 1000 are Tesco own brand, not Tesco finest or Tesco value.

nmaria

Sad news. Tesco will loose more regular customers.

payless

WestonDave wrote: »

I suspect its getting absolutely hammered by Asda's 10% cheaper guarantee - now is not the economic climate to be seen as complacently more expensive than your major rival. Once I discovered mysupermarket and realised that Asda was roughly 10% cheaper, Tesco got the boot (albeit that cheekily I still use a Tesco credit card so gather Tesco points on my Asda shopping!). £5 or £6 a week in grocery savings dwarfs anything I can save on clubcard points.

Last week, I did a price check

spent aound £75
Tesco system Matched about £42 to compare to Asda, who were n £10 more !! Ok £8 of this was on offers I purchased in bulk due to offers, but still more than competitive on other prices.

Then a £10 off voucher

Then "double points"

Then Tesco credit card points.

Oh and another 5p off fuel = £2.50

I find it hard to beat and more pleasant shopping than my local asda

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That said Asda still have some good priced items, including Wines, and as a professional moneysaver I get an extra 3% off asda anyway.

ncfc1902

When Tesco says it's returning to "1 point per pound spent" does this include fuel?

System

It's much better when supermarkets simply keep their prices as low as possible, no need for reward schemes if the prices are competative and the shop gives a good service, that is what should keep customers going back, not gimmicks like a reward card, 2 for one offers etc.

payless

ncfc1902 wrote: »

When Tesco says it's returning to "1 point per pound spent" does this include fuel?

Think still is for tesco credit card

Maddysmam

I don't buy the Asda 10% challenge. I shop at both Tescos and Asda and am likely to get a lot more bargains at Tesco - so the rewards card is a welcome bonus that I'm grateful for. After all Asda knocked theirs on the head years ago so what are they doing to reward customers? I am not 'loyal' to any of them - they all work on the principle of a percentage of goods at a good price or on 'offer' whilst the rest of all goods are more expensive than elsewhere. We've all enjoyed double points for a long time - now it's over. We still get points for every pound spent and that's all that matters to me. I've spent a lot this month so looking forward to my vouchers and a Nov double up which I will use in the clothing section no doubt

rogerblack

nmaria wrote: »

Sad news. Tesco will loose more regular customers.

Speaking personally, as someone on low income (my grocery spend is around 60 quid a month, and I'm trying to drop it) most of the offers of '4*' points are not really that great in general.

But, they are mostly fairly expensive ranges, or would require extra spending.
For example - to get to my local pizza express would be a 4 hour round-trip on the bus.
Spaghetti house about a 16 hour one.

I'd much rather have double points in-store, or offers such as 150 points for free delivery.