CMA begins review of loyalty pricing by supermarkets

The Competition and Markets Authority (CMA) on Tuesday said it has begun a review of loyalty pricing by supermarkets.

The regulator earlier announced the decision to launch the review after some supermarkets made cheaper prices only available for loyalty card members.

The review will consider issues such as:

• whether any aspects of loyalty pricing could mislead shoppers, for example whether the loyalty price is a genuine promotion or as good a deal as presented
• whether any groups of shoppers are disadvantaged by this type of promotional activity
• whether loyalty pricing is impacting consumer behaviour, and whether this has an impact on how supermarkets compete with each other

The CMA said it expects to publish an update in July, and complete the review by the end of the year.