Tesco has launched a major new pricing drive, pledging consistently low prices on more than 3,000 popular branded products as competition intensifies across the grocery sector.
The supermarket has unveiled its Everyday Low Prices scheme, which it says will lock in reduced prices on household staples without the need for short-term promotions.
Tesco said the initiative will cover well-known brands including Heinz, Fairy and PG Tips.
As part of the launch, the retailer is reviving its blue-and-white striped Value logo.
The branding, which was withdrawn in 2012, will return as part of a nationwide marketing campaign.
Tesco said the stripes will “symbolise value at Tesco” and be used to highlight low prices on branded goods.
The move marks an expansion of Tesco’s pricing strategy as it seeks to compete more directly with discount rivals.
The supermarket already runs an Aldi Price Match scheme on more than 650 products, and offers more than 10,000 Clubcard prices across its stores.
Tesco said the new Everyday Low Prices scheme will sit alongside these existing initiatives.
Under the scheme, a 320ml bottle of Fairy Original washing up liquid is priced at 90p, and a 150g tin of Heinz baked beans is priced at 60p.
Tesco has launched a major new pricing drive, pledging consistently low prices on more than 3,000 popular branded products
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A pack of 40 PG Tips teabags costs £1.70, a 12-pack of Weetabix is priced at £2, and a 250g tub of Lurpak Slightly Salted Spreadable costs £3.30.
Tesco said Branston Pickle and Cadbury Highlights Milk Chocolate Drink are also included.
The retailer said the scheme applies to thousands of branded items across multiple categories.
Not all products will be stocked in every store, as Tesco said the items will be available in larger stores and online.
Ashwin Prasad, chief executive officer of Tesco UK, said the supermarket was responding to customer demand for value on familiar brands.
He said: “Our most-loved brands don’t just have a place in our shopping baskets – they hold a genuine place in the nation’s heart.
Tesco’s Branston Pickle and Cadbury Highlights Milk Chocolate Drink are also included.
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“That’s why we’re committed to keeping prices consistently low on thousands of branded products through our new Everyday Low Prices.”
Mr Prasad said the scheme is designed to offer consistency rather than short-term discounts.
“Whether you can’t live without Heinz baked beans, PG Tips teabags or Fairy washing up liquid, customers can be sure that they are getting consistent great Tesco value on the branded items they love to put in their trolleys week after week.”
Tesco said the initiative reflects strong brand loyalty among shoppers.
Research commissioned by the supermarket found that 64 per cent of shoppers could name at least one brand they would not consider replacing.
Almost a third of those surveyed said there were several brands they would not switch.
When asked to select their favourite branded items from a list of 50 products, respondents highlighted Coca-Cola
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PAWhen asked to select their favourite branded items from a list of 50 products, respondents highlighted Coca-Cola, Cadbury’s Hot Chocolate, Fairy Original liquid, Branston Pickle and Heinz beans.
Tesco said the findings underline the importance of branded goods in household shopping habits.
The Everyday Low Prices scheme is intended to reassure customers that they do not need to abandon preferred brands to manage grocery bills.
Tesco has faced growing competition from Aldi and Lidl in recent years, with both discounters have increased their market share by focusing on low prices.