Every Little Helps? Tesco Customers Change Supermarkets To Save Money
As the prices of anything and everything continue to stretch the publics pockets further each day, Tesco’s CEO said that “People are finding ways to get by”, commenting on the cost-of-living crisis, which is making people “watch every penny”.
Customers in grocery stores are trying to find ways to save money. From branded products, they switch to own-label goods, buy more frozen foods, and avoid eating out.
“We are seeing more frequent shops, smaller basket sizes, and less shopping online,” Tesco’s CEO Ken Murphy said.
“We have a lot of customers coming more often, buying a little amount. They spend less each time, so they don’t have to spend a huge amount when it hits the wallet and they see that,” said Tesco employee Abid.
The biggest UK supermarket chain observed that people are changing their habits to save money and reduce waste.
“We know our customers are facing a tough time and watching every penny to make ends meet,” Murphy said.
He mentioned this as Tesco announced a decline in profits and announced full-year earnings will be at the lower end of guidance. Annual underlying earnings are projected to be between £2,4bn and £2,5bn.
These are all inevitable results of the cost-of-living crisis and inflation.
Despite this, Tesco announced the freezing of prices on more than 1000 products until 2023, as well as rising the salaries of their employees for the third time in 13 months, with the rise set to take place on the 13th November.
While trying to make ends meet, some customers prefer different grocery stores:
“I do not shop here, I’m only here to get my lunch. If I go shopping it will be Aldi, it’s cheaper, Tesco’s2 is f***ing expensive. What I get here, I can get about three times cheaper there.”
Another customer added: “I mostly shop in Tesco, Sainsbury’s, and Morrisons. Sometimes I go to Lidl because it’s much cheaper.”
So whilst spending trends change, and prices only seem to be on a sharp incline, Tesco have vowed to yet another pay rise for their employees, the question is, how long before that money is swallowed up whilst paying for life’s necessities?