Striking a balance: Marketers on navigating the price promotion ‘tightrope’
Niamh CarrollPrice promotions can be dangerous if overused, but done right they are an important part of any brand’s growth toolkit.
Price promotions can be dangerous if overused, but done right they are an important part of any brand’s growth toolkit.
Restaurant Brands International is resisting the temptation to “overreact” in an increasingly promotional environment, despite Burger King’s sales slip.
Disney CFO Hugh Johnson told investors that the growth in consumption and popularity of its offerings gave it the “pricing leverage” needed to make its streaming business profitable.
The owner of KFC, Taco Bell and Pizza Hut pointed to the “disruptive deals” available across the three restaurants as drivers of growth as revenue increased by 4%.
The CMA’s analysis into loyalty pricing is still ongoing, but it says it is “unlikely” to conclude that supermarkets are unfairly inflating non-loyalty pricing to make their member pricing appear more attractive.
Determined not to “buy growth”, Nestlé believes compelling product and brand propositions, alongside managing price, will help the business thrive.
Pret A Manger has scrapped its offer of five free coffees per day for subscribers, in favour of focusing on what it calls “value for everyone”.
Superdrug grew its profits 43.6% in 2023, as it invested in exclusive discounting for loyalty card members and its own brand range.
Despite overall growth, Argos’s sales slumped 6.2% in the last quarter as consumers remain cautious, says Sainsbury’s CEO.
With inflation falling, brands that have used clever pricing to drive profits will need more restraint to avoid new entrants undercutting them at lower margins.
The supermarket, long seen as a benchmark for others to position with on price, has launched a new campaign mocking competitors who price match its products as it looks to reclaim some of the ground recently lost to rivals.
M&S enjoyed a strong year as it kept its promotions “very limited” and continued to boost style, value and quality perceptions.
Expanding into new categories has been a source of growth for Premier Foods, while “sharper” promotional price points are supporting its return to volume growth.
The supermarket says its loyalty scheme, Asda Rewards, is acting as a “key revenue driver” for the business.
Despite returning to positive volume growth, Danone’s CFO says the business will continue to make strategic price increases behind its “differentiated” products.
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