Now we all know that the Pricing infrastructure at Tesco’s is, at best shoddy – at worst, illegal in hundreds of stores EVERY DAY. PI Deparments are consistantly undermanned, price changes are not loaded correctly at head office, PID staff used to fill Fresh foods – the reasons are endless BUT all result in the same illegal status which affects a good majority of Tesco stores every day. Tesco management & board are aware (and have been for years) of the problem – yet until the Local Authorities start to actually take action . . . . . why should they change this?
Imagine being a Compliance Manager (the manager responsible for the legality and pricing in stores) this week……. As always, Tesco have managed to completely muddy the waters with how they intend to deal with the VAT increase. Sainsburies have been transparent and told us what would be increasing and what would not . . . . ASDA have announced that all their relevant goods would be repriced immediately (extra investment and planning has been made available to achieve this) , compare this with Tesco:
“Tesco said it would freeze VAT at 15 per cent on ‘thousands of products’ to deliver £12million of savings. But prices will rise for many other products.
Richard Brasher of Tesco said: ‘The VAT reduction was a welcome relief for millions of shoppers and helped many continue to treat themselves over Christmas. We want to extend this help into the New Year and hope consumers will feel able to bag a bargain and get 2010 off to a great start.’ “
So thats clear then! Somethings will be increased, some won’t – we just are not going to tell you!!! And this does not just apply to the shoppers, Compliance Managers are still unaware of the changes which they will be responsible for implementing, no indication of the workload OR when it will be actioned! Factor-in the usual lack of investment for the task and we can expect to see the usual chaos. SO as always, make sure you check your reciept should you dare to shop at Tesco’s !!
“ The UK’s biggest retailer said the move would save customers £12m, although it said the duration of the freeze would vary between individual lines and it did not specify how long it would last.”
UPDATE:
Tesco have now admitted that prices will be different in different stores, dependant on demographics and format . . . . . This is surely proof that this is a marketing gimmick, are Tesco shoppers really happy that they may be paying more than Tesco shoppers who simply live elsewhere?
Of Course Tesco Extra Shoppers have been contantly assured of the “VAT PRICE FREEZE” on the Promotional aisle immediately at Xmas – as visible on all the Point Of Sale…. which was good of Tesco – the VAT doesn’t increase until New Year anyway!!!
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