In the current economic climate shoppers feel the need to take care as to what they are spending their money on. Price comparison sites play a key role for shoppers who are looking to stick to their tight budgets and save money where they can. Discovering what, when and how shoppers compare prices in food and grocery shopping is key to understanding when price comparisons are important to shoppers and when they are more hassle than they are worth.
We know that shoppers feel that online shopping enables them to maintain control of what they spend. Launched in 2006, MySupermarket allows shoppers to compare prices across the largest grocery and health and beauty sites in the UK, ensuring they are getting the best possible prices. It is placed in the top ten for favourite comparison websites by UK shoppers and has three million monthly unique users.
There has been a long battle between the big supermarkets to prove that they are each the best value. Tesco, Asda, Sainsbury’s, Waitrose and Ocado all offer their own price comparison services to their customers in an attempt to reassure them that they offer the best value. Just how convinced are shoppers by these systems and do they really influence shoppers choice of store?
This report will:
-Give you an understanding of what, when and how shoppers compare prices whilst shopping for food and groceries.
-Provide an overview of mySupermarket’s current proposition, including its newest and beta features.
-Consider the usage of mySupermarket, including penetration and the attitudes and behaviours of shoppers whilst they are using the site.
-Highlight issues found from first hand tests of mySupermarket.
-Outline the relationship between price, quality and value for money. Which of these is the biggest driver for retailers and how shoppers know they offer this?
-Give a detailed overview of supermarket’s own price comparison systems and how these are used by shoppers.
-Give a summary of price comparison apps available for smartphones and the usage of food and grocery apps specifically.
1. Comparing Prices and the use of
Comparison Sites by Grocery
Shoppers in the UK
SAMPLE EXTRACT
Evolution Insights Ltd
Prospect House
32 Sovereign Street
Leeds
LS1 4BJ
Tel: 0113 389 1038
http://www.evolution-insights.com
www.evolution-insights.com 1
2. About Evolution Insights
Evolution is a leading research consultancy specialising in shopper motivation and behaviour. We deliver off-the-shelf, tailored and bespoke
research for manufacturers, retailers and agencies.
Our research and analysis helps Evolution offer a range of products & services for
clients develop targeted shopper clients in the field of shopper research:-
marketing initiatives designed to
• Off-the-shelf research
influence shoppers at the point of
purchase. – Evolution’s off the shelf research
publications deliver affordable insight
into shopper motivation and
behaviours in UK food, drink and
grocery
• Insight Plus
– Insight Plus offers your business the
opportunity to engage in any of our
We use a range of research regular shopper research projects in
advance of publication, tailoring the
methodologies to discover genuine scope to suit your needs
insights. Our research incorporates
a broad spectrum of robust • Bespoke Consulting
qualitative and quantitative
research techniques. – As publishers of research, we are able
to draw upon a wealth of existing
proprietary data for consulting projects
As a leading publisher of shopper – helping to better inform and shape
research, we are ideally placed to any further research requirements.
offer your business actionable
shopper insight.
Further information is available at our
website http://www.evolution-
insights.com
Visit and sign up for Reflections, our free
quarterly newsletter offering analysis and
commentary on topical issues
www.evolution-insights.com 2
3. Contents
Figures and graphs 5 Health & Beauty and Wines 43
Companion feature 44
Key findings and executive summary 8
What this report will do for you 9 MySupermarket: Perceptions and usage 45
Gender indices and Likert scales 13 Introduction 46
Awareness and usage 47
Food and grocery shopping online: Overview 14 Shoppers opinions 49
The UK market 15 Purchasing behaviour 51
Size, growth and forecast 16 Summary 53
Retailer shares 17
The Rise of Generation Y 18 MySupermarket: Test 54
Introduction 55
Price comparisons 19 Outline 56
Introduction 20 Differences 57
Income 21 Examples of Common Product Issues 59
Time vs. Savings 22 Summary 62
What shoppers compare 23
When shoppers compare 26 Supermarkets’ Own Comparison Systems 63
How shoppers compare 29 Introduction 64
Summary 32 General shopping behaviour in-store 65
General shopping behaviour online 66
MySupermarket: Overview 33 Price as a driver to supermarket choice 67
Introduction 34 Driver to store choice apart from location 68
Comparison features 36 How do shoppers know their supermarket offers cheaper prices? 69
Split Basket 37 How do shoppers know their supermarket offers better value for
money? 70
Brand Stores 38 How do shoppers know their supermarket offers better quality
products? 71
Cashback 39 Tesco Price Check 72
Recipes 40 Asda Price Guarantee 73
Multi-media 41 Sainsbury’s Brand Match 74
Health Checker 42 Waitrose’s Brand Price Match 75
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4. Contents
Ocado’s Tesco Price Match 76
Supermarkets’ Own Systems Summary 77
Tesco Price Check Usage 78
Asda Price Guarantee Usage 79
Sainsbury’s Brand Match Usage 80
Waitrose and Ocado Usage 81
Summary 82
Comparison Apps 83
Introduction 84
MySupermarket 85
RedLaser 86
Supermarket Own Apps 87
Penetration of food and grocery apps for smartphone owners 88
Penetration of mySupermarket app for smartphone owners 89
Use of smartphones for general price comparison 90
Use of smartphones for price comparison for food and
grocery 91
Use of internet for price comparison for food and grocery 93
Shopping lists 94
Summary 95
Methodology 96
Glossary 100
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6. Figures and graphs
Page Type Title
16 Graph UK online food, drink and grocery market expenditure estimates (2006-2015f)
17 Graph Online retailer usage penetration
18 Graph UK population age profile, 2011 estimate and 2015 projection
21 Graph Average UK Household Income Tracker
23 Graph I compare the prices of each food or grocery item I buy
24 Graph I only compare the prices of larger value food and grocery items
25 Graph I compare the total final price of my shop rather than individual items
26 Graph I compare the cost of my shopping when I shop in-store
27 Graph I compare the cost of my shopping when I shop online
28 Graph Demographic split of ‘I compare the cost of my shopping when I shop in-store’
28 Graph Demographic split of ‘I compare the cost of my shopping when I shop online’
29 Graph I compare the cost of my shopping without using mySupermarket
30 Graph I have a general idea how much items should cost, and compare prices against this
31 Graph I trust price comparison systems to be correct
47 Graph Awareness and usage of mySupermarket.com
47 Graph Demographic profile of those who use mySupermarket often
48 Graph Online site most frequently used
48 Graph Demographic profile of those who use mySupermarket as their most frequent online site
49/50 Graph MySupermarket shoppers opinions
51 Graph Shoppers reasons for not using mySupermarket.co.uk to purchase items
57 Figure Test – Differences
59 Figure Test – Examples of Common Product Issues
65 Graph Retailer share of main shop in the last month
66 Graph Retailer share of online shop in the last month
67 Figure Price as a driver to supermarket choice
68 Graph Driver to store choice apart from location
69 Graph How do shoppers know their supermarket offers cheaper prices?
70 Graph How do shoppers know their supermarket offers better value for money?
71 Graph How do shoppers know their supermarket offers better quality products?
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7. Figures and graphs
77 Figure Supermarkets’ Own Systems Summary
78 Figure Tesco Price Check Usage
79 Figure Asda Price Guarantee Usage
80 Figure Sainsbury’s Brand Match Usage
81 Figure Waitrose Brand Price Match Usage
81 Figure Ocado Tesco Price Match Usage
88 Graph Penetration of food and grocery apps for smartphone owners
89 Graph Penetration of mySupermarket app for smartphone owners
90 Figure Use of smartphones for general price comparison
91 Graph Compare the price of a product to other supermarkets
92 Figure Compare the price of a product to other supermarkets while you are actually in the supermarket
93 Graph Compare the price of a product to other supermarkets at any time using the internet
94 Graph Smartphone owners awareness of using their phones to scan items to create a shopping list
94 Graph Demographic split of those who use their smartphone to scan items to create a shopping list
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8. Key findings and executive summary – What this report will do for you
This report will:
Give you an understanding of what, when and how shoppers
compare prices whilst shopping for food and groceries.
Provide a overview of mySupermarket’s current proposition,
including its newest and beta features.
Consider the usage of mySupermarket, including
penetration and the attitudes and behaviours of shoppers
whilst they are using the site.
Highlight issues found from first hand tests of
mySupermarket.
Outline the relationship between price, quality and value for
money. Which of these is the biggest driver for retailers and
how shoppers know they offer this?
Give a detailed overview of supermarket’s own price
comparison systems and how these are used by shoppers.
Give a summary of price comparison apps available for
smartphones and the usage of food and grocery apps
specifically.
www.evolution-insights.com 8
9. Price comparisons – Time vs. Savings
Is the time spent comparing prices worth the potential savings?
Time Vs. Savings
It is important that the shopper feels that
the time they invest in comparing prices is
worth the potential savings that they
could make. This is especially true for
online shopping, as shoppers who choose
this method of shopping primarily do so
for its convenience. For some shoppers,
any wasted time spent comparing prices
negates the benefits of savings made. This
is especially true for shoppers who, when
shopping in-store, choose to travel further
in order to take advantage of the best
deals for them.
I don’t use my nearest supermarket, I go
to another one because of their offers
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10. Price comparisons – When shoppers compare
I compare the cost of my shopping when I shop in-store
27.0 Agree
40.0
Neither agree nor
disagree
Disagree
33.0
Shoppers are far more likely to compare the cost
of their food and grocery shopping whilst shopping
in-store than online.
n=1007
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11. Price comparisons – Summary
What?
Shoppers are slightly more likely to compare the
cost of individual food and grocery
items, although some shoppers also report
comparing large value items only or the total cost
of a shopping trip. There is no general behaviour
when it comes to what food and grocery prices
shoppers compare.
When?
Price comparisons are, however, most likely to
occur when shopping in-store rather than online.
Online shopping is chosen for its
convenience, and taking time to compare prices
goes against this key driver.
How?
Experienced primary food and grocery shoppers
are most likely to have a general idea of the
average price they expect to pay for items. They
compare prices they are faced with against this
knowledge, rather than actively seeking out
current prices across different retailers, as this is
quicker and easier for shoppers.
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12. MySupermarket: Overview – Introduction
Two thirds of shoppers think that online
shopping enables them to maintain control
of what they put in their basket, helping
them keep track of what they spend. 60%
of online shoppers agree that they are less
likely to make impulse purchases online
than when in-store. And with nearly half
(47%) admitting to visiting two or more
supermarkets a week in their quest for the
best value, mySupermarket offers both
value in comparisons and control of online
shopping in one go.
MySupermarket.co.uk was
launched in 2006 allowing shoppers
to compare prices across the largest
grocery and health and beauty sites
in the UK, ensuring that they get the
best possible value.
Importantly, mySupermarket is
completely independent from the
retailers featured on the site.
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13. MySupermarket: Perception and usage – Purchasing behaviour (2)
Shoppers reasons for not using mySupermarket.com to purchase items.
I forget that you
I always use my own can, and sometimes I don’t think that they
supermarket have problems logging deliver in my area
in
I like a range of own I’m not sure if I can still
brand get my Loyalty points
products, particularly
Marks & Spencer
I find it very difficult to
use
They do not appear
to stock all items at They don't list prices
various supermarkets It does not cover the
for Morrison's, and I
on their website. It is supermarket which I
would never order
limited I find. use most.
from Tesco or Asda.
A lack of understanding of the site appears to be the main barrier to its widespread use. For
example, shoppers do not know who will deliver their products, or if they can still get their loyalty
points. mySupermarket would find great benefit in making sure that shoppers are fully aware of their
full range of services and the workings of their site.
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14. Supermarkets’ Comparison Systems – Price as a driver to supermarket choice
Excluding location, price is the biggest driver to supermarket choice. Looking at the breakdown of
shoppers at their preferred supermarket, Asda is clearly ahead when it comes to cheapest prices, in
the minds of their shoppers.
Prices Grocer 33
average price position
28.9% 1.2/5
19.2% 2.5/5
13.5% 2.8/5
6.5% 3.8/5
3.1% 4.8/5
Average ranking by price has been calculated across 12 weeks from
The Grocer 33. In comparing these to shoppers opinions it is clear that
Tesco is my nearest
shoppers are aware of the differences in pricing between
supermarket but I shop at
supermarkets.
Asda because it is cheaper
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15. Supermarkets’ Comparison Systems – Waitrose and Ocado Usage
Waitrose Ocado
Less than half of all primary shoppers are aware of either Waitrose or Ocado’s Brand Price Match
systems. Only a tiny percentage of shoppers actually trust these Brand Match promises. More
effective advertising needs to be done to raise awareness and create trust for these systems.
n=1007
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16. Comparison Apps – Use of internet for price comparison for food and grocery
Compare the price of a product to other supermarkets at any time using the internet
108 45.0 41.1
40.0 34.6
92 35.0
27.5 29.1
30.0
25.0
%
20.0 17.0 15.0 17.2
15.0 12.6
10.0 5.9
5.0 0.0
0.0
18 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 and AB C1 C2 DE
over
Women are more likely than men to compare prices across supermarkets using the internet, as
they are more cost-conscious.
Younger shoppers and higher social classes are also more likely to use the internet to compare
supermarket prices, as these shoppers are the most technologically savvy and aware of the
opportunity to do this.
Those who answer ‘Aware and use occasionally’ or ‘Aware and use often’ to ‘Compare the price of a product to other supermarkets at any
time using the internet.’
n=280
16
18. Methodology
• Evolution carried out a preliminary survey of
Evolution’s methodology around 100 shoppers to test questions for the
main survey.
• Detailed secondary and desk research is
Secondary and Preliminary conducted to define the topic area, macro drivers
desk research quantitative survey and trends, scope and examples within the
research topic.
• Initial insights gained are used to help further
design the main survey.
• A main survey is completed by at least 1,000 UK
adults who are the primary household shopper for
Main quantitative food & grocery.
Focus groups
survey
• Focus groups are carried out to further enhance
the secondary research and main quantitative
survey.
• Comprehensive and detailed assessment of all the
data received was then used to uncover insights.
Insights • Throughout this process, primary research was
supported by secondary research drawing on
Evolution’s proprietary databases, national
statistics, news and industry resources.
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19. Methodology: quantitative research - survey
Topics of questions in quantitative survey
Demographic profiling • Detailed shopper insights were
gained from a survey of 1,007
Preferred retailer offline primary shoppers. The samples
were fully representative of the UK
Drivers of retailer choice population including teenagers
aged 13-17.
Online retailer usage in terms of frequency and most regular • The survey contained 20 questions
relating to topics outlined to the
Awareness of supermarkets own comparison systems left – in addition to standard
demographic profiling questions
Usage of supermarkets own comparison systems in terms of checking
receipts, receiving and redeeming vouchers • The questions were designed to
give maximum insight into
Trust of supermarkets own comparison systems. shopper’s motivation and
behaviour
Awareness and usage of mySupermarket • Additional questions were asked to
give further insights into general
Opinions of mySupermarket shoppers behaviour and attitudes into price
comparisons.
Usage of food and grocery apps, including price comparison apps • The survey was carried out during
the week commencing 18th June
Price comparisons using smartphones and the internet. 2012.
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20. Methodology: qualitative research – focus groups
List of focus group participants
Focus Group Participants • 2 focus groups was conducted
Socio- Number of children on the 12th June 2012 with
Gender Age economic in household
primary shoppers to gain
Female 20-29 C2 2
further insight into comparison
Female 30-39 D 3
behaviour.
Female 30-39 C1 2
Female 40-49 D 1 • The subjects covered were:-
Female 20-29 C2 1
– Price comparison usage
– Different price
comparison behaviours
Focus Group Participants
Socio- Number of children
– Supermarkets price
Gender Age economic in household comparison systems
Female 20-29 AB 0 – MySupermarket
Female 30-39 AB 0
Female 30-39 C1 0
Male 30-39 AB 0
Female 20-29 C2 0
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