The Co-op made a big promotional push last month, ramping up the number of featured space deals in stores by almost a fifth.

In total, the Co-op ran 917 featured space promotions in the four weeks to 23 April 2017 – up 18.9% on the previous four-week period and 18.8% on the same period last year [Promo Dynamic Retailers].

Ambient confectionery deals rose 56.3% year on year to tap into Easter demand, but the retailers also hiked the number of beer & lager deals (up 22.5%), wine (27.78%), meat (57.2%), cakes & pastries (75%) and crisps, nuts and snacks (120%).

Waitrose also increased the number of featured space promotions in stores, up 3.87% year on year to 1342 over the four-week period. It focused on booze – offering more details on wine (up 22.6%), beer & lager (9.5%) and sparkling wine (44.4%). It also more than doubled the number of deals on oral care (up 141.7%) on last year.

However, the other major mults cut the number of deals compared with last year, with Asda slashing featured space promotions by 15.6%.

Despite ramping up deals on meat (up 37.5%) and ice cream (150.0%), the retailer significantly cut back deals on wine (-56.8%), fizzy drinks (-38.7%) and canned goods (-25%).

At the same time, all of the mults continued to cut average savings on deals. Tesco slashed the average amount shoppers can save on promotional deals by the most – from 35.6% in 2016 to just 27% last month.

The Co-op offered the biggest average percentage saving of 33.5% over the four-week period, but that was down from 36.0% on last year.

“Consumers seem to be getting a very raw deal – fewer offers and less savings,” says Assosia director Kay Staniland. “With suppliers also tightening their purse strings, the shift away from featured space promotions could be purely down to costs.”

Featured Space Promotions captured by Assosia Ltd

4 weeks to 23rd April 2017
Number of offers20749172152264224311342
Number last month25217712313284024471295
% change m-o-m-17.73%18.94%-6.96%-6.97%-0.65%3.63%
Number last year24567722228288023481292
% change on last year-15.55%18.78%-3.41%-8.26%3.53%3.87%
Average start price (£) per UNIT£2.81£2.69£3.04£3.39£3.27£4.23
Typical Average TOTAL £ saving£1.27£1.44£1.41£1.32£1.38£1.79
Typical Average TOTAL % saving27.0%33.5%30.1%26.3%27.0%30.3%
Average % saving last month29.8%33.5%32.0%26.7%29.6%30.5%
% savings change m-o-m-9.48%-0.15%-5.76%-1.66%-8.86%-0.64%
Average % saving last year28.3%36.0%33.1%29.1%35.6%31.6%
% savings change on last year-4.62%-7.06%-8.84%-9.91%-24.21%-4.08%
Current Brand:own-label ratio89:1173:2788:1279:2186:1487:13
Ratio 1 year ago90:1072:2888:1280:2085:1588:12
Average % saving (branded)28.0%36.1%30.6%26.7%27.1%30.0%
Average % saving (o/l)19.0%26.3%26.6%24.5%26.4%32.4%
AVERAGE STARTING PRICE LAST YEAR£2.88£2.58£2.82£3.15£2.73£4.21
Increase/Decrease in starting price £-£0.07£0.11£0.22£0.24£0.55£0.02
Increase/Decrease in starting price %-2.43%4.04%7.34%7.19%16.73%0.57%

Featured in The Grocer, 31 May 2017

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