Asda is set to launch its new value range ‘Just Essentials’ in the next month as the retailer tries to win in an increasingly price-driven market.
The range, which has angered Waitrose which believes the name and branding is too close to it’s budget ‘Essentials Waitrose’ range, will replace Asda’s Smart Price range and will cover significantly more products.
With the cost-of-living crisis raging on, shoppers are increaingly tightening their purse strings, which will make value ranges all the more important over the year ahead. Retail Gazette highlights some of the industry’s most successful value ranges.
Waitrose
It’s no wonder that Waitrose wants to protect its Essential Waitrose range. Back in 2020, the grocer revealed that the value brand accounts for a quarter of its own-brand sales.
In fact, more than 60% of Waitrose online orders include at least one Essential Waitrose product.
Essential centres around the tagline “quality you’d expect at prices you wouldn’t”. The brand has been around since 2009 and was relaunched back in 2020 to include more than 200 new products and more sustainable packaging.
Although many have poked fun at the fact that Waitrose deems gooseberry fruit fool or limoncello desserts ‘essential’, there is no denying the success of the range with the upmarket grocer’s customers.
Shoppers can now choose from more than 1,500 items to pick from and in some cases, Essential products are better value than equivalent items in cheaper chains such as Morrisons and Asda.
John Lewis
Waitrose’s sister retailer John Lewis launched its Anyday collection last April, originally selling 2,400 products across homewares, technology and baby care.
Anyday aims to give customers “quality and style at everyday prices” and is already the department store’s most successful own-brand launch ever. It achieved £120 million sales in its first nine months.
John Lewis boss Pippa Wicks said last month: “Anyday has been a really successful launch for us. It combines our lovely quality with terrific value for money. We’re offering products at all price ranges so that our customers can shop where it works for them.”
Anyday’s prices are on average 20% lower compared to existing own-brand prices while some are up to 40% cheaper.
The department store rolled out Anyday to fashion last September, launching around 700 menswear, womenswear and kidswear products and further extended the brand into outdoor furniture and swimwear for spring summer 2022.
Co-op
Like John Lewis, The Co-op also launched a new value range amid the pandemic.
The Co-op’s Honest Value range launched in November 2020 and offers everyday items at low prices and includes fruit, vegetables, ready meals, soft drinks, and dairy, as well as household goods.
At the time Co-op Food CEO Jo Whitfield said: “This is a multimillion-pound investment to lower prices across 300 products and launch our new value range. Offering good, honest prices and fairly sourced products is important to help shoppers balance their budgets.”
As well as low prices, the retailer promises that the range does not include any artificial colourings, flavourings or preservatives.
The retailer said 95% of the wood and paper used in products for Co-op Food, including its Honest Value Toilet Roll, comes from sources approved by the Forest Stewardship Council.
The Co-op launched Honest Value with 50 items but has since doubled the number of products in the range.
Honest Value was rolled out to Co-op’s sister retailer Nisa’s stores in January. Nisa said the move would bring budget-conscious shoppers a competitive offer in “increasingly challenging times”.
Marks & Spencer
M&S launched its Remarksable campaign in 2020 in an effort to reset value perceptions and persuade customers that the retailer is not just a place to buy a few treats, shoppersthey can actually do a full weekly shop at the retailer.
The Remarksable range promotes “everyday prices”, with price benchmarked against its competitors, and launched across 240 grocery staples such as bread, milk, cheese, eggs, salmon and mince.
In February this year, M&S extended Remarksable to its home division after value perception in its food offer reached its highest level in four years.
The campaign highlights the exceptional value of M&S’s entry price point of home products, with tea towels to tea mugs available from just £1, and aims to build awareness of its home offer.
M&S said the campaign will look to introduce M&S Food customers who recognise it’s value credentials to its home products and highlights not just the price of home products but their quality.
Asos
Asos launched its Collusion brand in 2018, which it termed “a new affordable brand for the coming of age”.
Aimed at Gen Z shoppers, Asos said the range was “shaped by, and for, an audience who demand something different from the fashion industry”.
The retailer said influencers, activists and student stylists have been working with the brand to produce a gender fluid and affordable range which is based on the “ideals of collaboration, inclusivity and experimentation.”
In its launch year, Collusion was searched for on the Asos website almost 2 million times and it sold over 150,000 item.
In its last financial year, Collusion was one of Asos’ standout performers, with sales up 63% in its full year to 31 August, 2021.
The brand has “firmly established itself as a top 10 brand on site”, according to the retailer.
Amazon
Amazon’s Basics is the online giant’s private-label that offers home goods, office supplies, and tech accessories. The line was launched in 2009 and as of December 2017, it became the best-selling private label brand on Amazon.
In 2018, Amazon expanded the product line to include home improvement items, offering kitchen and bath hardware.
The online retailer is hoovering up sales with AmazonBasics. As of 2018, 90% of the batteries sold on Amazon were from the label, according to market research firm 1010data, and sales were double each year.
This meant that in the battery category alone, AmazonBasics accounted for almost one-third of all online battery sales.
AmazonBasics offers products in over 14 categories, including cables, batteries, office accessories, sports, travel, bedding, and pet supplies.
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