Price Intelligence News: El Corte Inglés Introduces Low Pricing Strategy

Spanish department store chain El Corte Inglés has introduced major price cuts at its department store food halls, hypermarkets, supermarkets and convenience stores in its home market. El Corte Inglés says it will lower the prices of around 5,000 grocery items. The Spanish retailing giant will also reduce the prices of H&B product lines by around 20 per cent.

12 Jun 2012 | By Profitero

The price reduction are part of a change of direction, said the retailer, adding that it is looking to maintain a permanent lower pricing policy, without entering into a price war with its competitors. 

Spanish retailers are using competitor price monitoring technology to monitor the online prices of the competition on a daily basis; this has created the need to update product pricing as competitors adjust their prices. Using this service, retailers can avoid losing out on sales and profit margins. 

Stating it did not want to be the cheapest, the retailer explained that "we want our prices to be as interesting as our competitors". Having lowered its margins, El Corte Inglés said it was completely sure that the "customer will react and we will gain in volume". The Spanish retailer will review the prices of its fresh produce categories each week. For all other grocery, household goods, and cosmetics categories, prices will be reviewed on a fortnightly basis. 

© Profitero 2012
Profitero.com competitor price monitoring for retailers and manufacturers 
About Profitero
Pricing intelligence company Profitero works with retailers and manufacturers to help them increase sales and maximise their profits by using competitor price, promotions and stock information at scale. For more information on Profitero price intelligence and competitor monitoring, visit www.profitero.com or email sales@profitero.com.
Also worth a read - or - back to the blog

One in five German shoppers buy groceries online

By Profitero posted 23 July 2014

According to a new survey published in eMarketer, 20.8% of German shoppers said they bought groceries online, with a further 16.3% interested in doing so. Amazon.com and eBay were the most popular online destinations for German grocery shoppers, with…

Read More

Keith Anderson: Why I'm Joining Profitero

By Profitero posted 17 July 2014

After nearly seven years at RetailNet Group (RNG), a leading research and advisory firm, Keith Anderson is joining Profitero as VP, Strategy & Insights. In this post, Keith outlines why he believes Profitero's development team is the strongest talent…

Read More
+1 415 287 3101