Primark's new 'supermarket tactic' to woo customers in online price war
Competition from ultra-cheap Chinese retailers and the cost of living crisis could be putting some people off shopping at the store, analysts say.
Primark is implementing a new "supermarket-style strategy" to attract customers amidst an intense online price competition. The retailer announced on Monday that it would be lowering prices by as much as 29% on hundreds of its products.
"Primark isn't as cheap any more," is a frequent comment heard from shoppers when asked about their patronage of the fast-fashion giant. Nineteen-year-old student Eshal Malik, while browsing jewelry with a friend at Primark, affirmed, "It's definitely got more expensive."
However, this perception may soon shift. Primark confirmed on Monday its intention to reduce prices across numerous clothing items, including jeans, jumpers, and socks. Retail analyst Natalie Berg expressed surprise at such price reductions from a low-cost retailer, noting, "It's the kind of headline you'd expect from M&S or Next." Berg added, "You don't want to join a race to the bottom," but acknowledged the necessity to respond when competitors like Shein offer dresses for £3.
Primark, which operates over 190 stores in the UK, has recently experienced a decline in like-for-like sales, a crucial metric in the retail sector. This announcement of price cuts precedes parent company Associated British Foods' plan to spin off Primark onto the