TESCO is making a huge change to pricing in all its stores that will help shoppers save money.
The supermarket giant has started adding unit pricing to its “Clubcard Price” labels on shelves.
Shoppers will see unit prices on Clubcard Price labels in the coming days and weeks
These are cheaper prices highlighted in-store and online for anyone with the supermarket’s loyalty card.
Unit prices make it easier for shoppers to compare similar items of different sizes and choose the best deal.
You can usually see the unit cost of the product where its price is shown – it may be in the small print.
Until now, unit pricing has only appeared on the original price label at Tesco, and not for the reduced Clubcard Price.
Tesco told The Sun that the roll out of unit prices on Clubcard-promoted items is now underway in all its 2,866 stores.
The information will also appear online for shoppers using the Tesco website.
Consumer group Which?, which first spotted the change on shelves, welcomed the move.
Rocio Concha, director of policy and advocacy, said: “Which? has campaigned through the cost of living crisis for supermarkets to make pricing clearer so shoppers can easily find the best value deals at a time when so many have struggled to put food on the table.
“The lack of unit pricing on Tesco’s Clubcard offers was a glaring omission and we warned that this approach could be breaking the law last summer, so it’s good to see the nation’s largest supermarket stepping up to do the right thing by making this important change.
“We look forward to seeing this rolled out quickly across all stores and online so shoppers can benefit as soon as possible.
“The government also needs to now update outdated pricing rules so all shoppers can easily compare value.”
The supermarket’s top boss Jason Tarry last year said Tesco would make the change to promotions as part of plans to help shoppers get the best value.
At the time he said: “To make that even easier, we are going to bring forward some long-planned work to our Clubcard Prices to make it simpler for our customers to see by weight or volume just how competitive those offers are, and will introduce unit pricing for simple promotions by early next year.”
Which? reported Tesco to the UK competition watchdog for what it said was “confusing” pricing.
The consumer group claimed the grocery chain‘s failure to provide unit pricing – such as price per 100g – on products with Clubcard Prices could be a “misleading practice” under the Consumer Protection From Unfair Trading Regulations 2008.
Tesco said in response at the time that its price labelling has been “formally endorsed” by Trading Standards after it asked the organisation to review its Clubcard price promotions.
It added that it was “disappointed” by the “ill founded” claims” by Which?.
Which? added that it had found issues with unit pricing across all supermarkets.
The Competitions and Markets Authority (CMA) is currently reviewing loyalty pricing across the supermarket sector, including if any aspects of loyalty pricing could mislead shoppers or disadvantage groups of shoppers.
It’s due to give an update on its findings in July, before a full report by the end of this year.
Sainsbury’s and Co-op also offer loyalty card members discounted prices, and both ensure that unit prices for items discounted are visible on shelf edge labels in its supermarkets.
What are unit prices?
Unit prices make it easier for shoppers to compare similar items of different sizes.
You should be able to see the product’s unit price where its price tag is shown – it may be in small print.
It displays the cost of different products by weight, or volume.
It helps you easily compare the costs of different products, regardless of their respective sizes.
Compare this with the unit price of a similar item – for example, the cost per 100ml or two different types of cola – and choose the item with the lowest unit cost.
For example at Tesco, a pack of 15 330ml cans of Coca-Cola Zero is priced at £7.90.
The unit price is shown as 16p per 100ml.
Shoppers can compare this original price to a 2litre bottle of Coca-Cola Zero which is priced at £1.85, and labelled as 9p per 100ml.
Those with a Clubcard can get the same multipack of cans for the lower price of £6.
But there is no label showing the equivalent price per 100ml.
It would work out as 12p per 100ml, making the bottle better value overall despite the discount.
The changes Tesco is making will make this clear on shelves.
Stores must show unit pricing under legislation known as the Price Marking Order 2004.
With this in mind, paying close attention to the unit prices of the staples in your shopping trolley could save you a fortune in the long term.
How does the Tesco Clubcard scheme work
Tesco’s Clubcard scheme allows shoppers to earn points as they shop.
These points can be turned into vouchers for money off food or other reward partner schemes.
Each time you spend £1 in-store and online, you get one point when you scan your card or app.
Drivers using Clubcards now get one point for every two litres spent on fuel.
One point equals 1p, so 150 points gets you £1.50, for example.
You’ll need a minimum of 150 points to request a voucher.
These vouchers can either be worth the face value to spend in-store at Tesco, or you can double their worth to spend at reward partners, including restaurants, and on days out.
Loyalty card holders can also get cheaper prices on over 8,000 items thanks to Clubcard Prices.
These Clubcard prices save the average member £351 on their annual shop, according to Tesco.
Meanwhile, Tesco has warned thousands of shoppers who have weeks left to use up £18 million worth of Clubcard vouchers or risk losing them for good.
The supermarket chain has warned that there are millions of Clubcard points due to expire on February 29.
Customers can use the Clubcard vouchers, which were first issued in February 2022 and will expire at the end of this month, to bring down the cost of their weekly shop, pay for fuel or to pick up a great new deal with Tesco Mobile.
Shoppers can use Clubcard vouchers in-store and online to save money on their Tesco shop.
If you decide to use your vouchers for your Tesco shop, every 150 points can be exchanged to the value of £1.50.