A recent study by Which?, a consumer magazine, revealed that shoppers using smaller convenience stores like Tesco Express, Sainsbury’s Local, and Morrisons Daily are paying more for essential items than those shopping at larger supermarkets. The analysis compared prices of 42 everyday items across the three major supermarket chains and their respective smaller store formats.
The findings showed that, on average, shoppers paid 8 percent more for a bottle of milk at the convenience stores. For example, a two-pint bottle of own-brand semi-skimmed milk cost 8% more at all three smaller chains compared to their larger counterparts.
Other items showed even steeper price differences. Philadelphia soft cheese was 63% more expensive at Morrisons Daily compared to Morrisons, 26% more at Tesco Express than Tesco, and 20% more at Sainsbury’s Local compared to Sainsbury’s. Morrisons’ own-brand chickpeas cost more than double at Morrisons Daily (£1) compared to Morrisons (£0.49).
While some items were cheaper at smaller stores, like Doritos and Kenco Millicano instant coffee, the overall trend pointed towards higher prices for staple items.
The report highlighted that many shoppers rely on convenience stores due to a lack of access to larger supermarkets. Nearly a fifth of convenience store shoppers indicated that their nearest large supermarket was too far away, and nearly one in eight did not own a car. Online shopping was not an option for some as well.
Which? emphasized the impact of these price discrepancies on low-income households. They stated that 66% of households earning less than £21,000 per year shop at a convenience store at least once a week. This means they are more likely to be impacted by the higher prices associated with these stores.
In response to the findings, Tesco explained that its Express stores are often located in built-up areas with higher rental and operational costs. They also suggested that customer shopping patterns vary between Express stores and larger stores, and that their Clubcard offers are tailored accordingly.
Sainsbury’s acknowledged that there may be price differences between convenience stores and supermarkets. They attributed this to the higher operating costs of their Local stores, which are typically located in city or town centre locations with higher rent and business rates.
Morrisons stated that they are dedicated to keeping prices competitive and maintain high standards in all their stores. They highlighted the introduction of their budget ‘Savers’ range at Morrisons Daily stores nationwide and are working on accepting the More Card in Morrisons Daily stores in the near future.