But this time, middle-England’s favourite food brand is winning.
Was 2023 the year M&S out Aldi-ed Aldi? Whisper it quietly, but some experts seem to think so.
When prices rise steeply, food shoppers go directly to Aldi, or Lidl. And, in roughly the same numbers, abandon the likes of M&S and Waitrose. That has always been the accepted logic in retail. But last year, for M&S at least, the opposite proved true.
As The Grocer noted, “Of all the unlikely stories from the cost-of-living crisis, few match the success of M&S Food.” Just one reason, for the first time ever – the magazine awarded them its coveted ‘Grocer of the Year’ title.
The Guardian agreed, “On the shop floor and behind the scenes, M&S’s food has had a shake-up. In the wake of Covid, and amid a cost-of-living crisis, shelves are filled with products that cater to customers’ dual demands: value items to keep daily costs down, and higher-end, dine-in options for those who have, post-pandemic, traded going -out for staying-in.”
The Grocer again, “Against the backdrop of soaring price inflation, this premium grocery retailer is achieving miracles. It’s done so by leaning further into value perceptions via a further £100m investment in four strategic initiatives: Remarksable Value range, a Price Lock on customer favourites, rotating Fresh Market Specials and reinvigorating the Dine In offering.”
Sales in its “Remarksable value” range, continued Guardian Business, “benchmarked against competitors – were up 40% last year and featured in more than 20% of customer baskets.”
Job done, then, for 2023. But what about 2024? Where do M&S go from here?
“Ask any retail expert what the key to M&S’s future sustained success will be, and you will be told that it needs to be “omnichannel”: meaning an integrated approach to the customer experience in the digital and physical world,” suggests The Guardian.
“In the last few years, they’ve invested a huge amount in getting this right,” Richard Lim, chief executive of Retail Economics, told the paper, “by building the digital infrastructure to make a more cohesive journey between what happens online and in store.”
M&S Vs Aldi? An interesting one to watch, in 2024.