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Morrisons’ Big Price Drop

By admin

Morrisons Chief Executive, Dalton Phillips, announced in March that he intended to target the market between discount chains and the “big four” retailers. This was evident on 01 May 2014 when Morrisons announced it was reducing prices permanently on 1,200 lines as part of its ‘I’m Cheaper’ Campaign. We have looked into the impact of this by analysing Morrisons’ online grocery shop, morrisons.com.

On Morrisons Online the average base price for 751 lines changed from £2.88 to £2.41, a 16 percent decrease, from 30 April to 01 May 2014.


Looking at 14 products from the 01 May price drop that are stocked in Aldi, Lidl and Morrisons Online, the price gap has been reduced from 35p to 10p in Aldi and 40p to 15p in Lidl.


Looking at 29 products matched from the entire Grocery range in the Top 4 and discounters, Morrisons Online is close to parity with Asda after the price drop campaign.


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