Morrisons continues to show strong sales momentum in its third quarter, largely driven by increased focus on customer loyalty and availability.
- The supermarket reports a 2.9% increase in like-for-like sales, showcasing a slight dip from the previous quarter’s growth of 4.1%.
- Total sales reached £3.9bn, a 2.1% growth compared to the last quarter’s figure of £3.8bn, highlighting an effective volume-driven strategy.
- Key developments include improved availability through AI technology and an expanded range of price-matched products at competitive rates.
- Morrisons’ strategic property deal aims to significantly reduce debt, demonstrating proactive financial management.
Morrisons has reported continued robust sales momentum during its third quarter, emphasising its commitment to customer satisfaction and loyalty enhancement. Like-for-like sales witnessed a 2.9% rise, although slightly lower than the 4.1% seen in the previous quarter. However, the growth in total sales to £3.9bn from the prior £3.8bn indicates a well-executed volume-driven strategy, fostering consumer trust and spending.
Central to Morrisons’ success is its investment in availability, supported by innovative AI-powered cameras deployed across 400 stores, which have resulted in a year-on-year availability improvement of two percentage points. The introduction of 50 new products to the Aldi and Lidl Price Match has further reinforced the supermarket’s competitive edge, ensuring customers perceive value for money.
Additionally, Morrisons has expanded its loyalty scheme, unveiling a dynamic Morrisons More Card programme. The latest quarter introduced over 2,000 ‘More Card Prices’, offering substantial savings and solidifying customer loyalty. The More Card’s reach will soon extend into Morrisons’ convenience stores, with the rollout expected to begin in October and already includes integration with Morrisons’ Amazon channel.
Morrisons’ chief executive, Rami Baitiéh, has highlighted a shift in consumer values towards Britishness, quality, and great value in fresh food—areas where Morrison’s offerings are particularly strong. He acknowledged the ongoing priority of price competitiveness, bolstered by price-match initiatives and cost-effective pricing strategies.
In parallel with operational advancements, Morrisons is pursuing financial optimisations, as evidenced by a £331m property deal with Song Capital. This transaction is expected to reduce Morrisons’ debt by over 40%, maintaining control over its retail estates while illustrating a commitment to strengthening the supermarket’s financial foundations.
Morrisons continues to move forward with strategic initiatives in customer loyalty and financial management, reinforcing its position in the competitive retail landscape.
