BOGOF becomes BOGOFL (or BNFNT)

BOGOFL hasn’t quite got the same ring to it has it - but it’s a development that is being used in the latest round of supermarket wars.

BOGOFL stands for “Buy One Get One Free Later”, and involves the customer receiving a voucher at the till which entitles them to a second product free at a later date.  It is also referred to as BNFNT (Buy Now Free Next Time)

The idea was first announced by Tesco in October as a response to criticism that BOGOF offers created waste as many of the foodstuffs were going off before customers could use the free product.  However, today Tesco’s arch rival Sainsburys, which has seen some positive signs lately, were able to implement the idea before Tesco and launched the offer on two products.

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Diversification strategy : Tesco opts for own-label banking

An excellent article in The Guardian today would provide lots of scope for a good business strategy lesson for the Year 13s…

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Flatter Organisational Structures - Should UK Education be Next?

Does a tall organisational structure in the UK education sector contribute to poor quality standards?  That’s the view of the CEO of Britain’s largest private sector employer…

Tesco in Korea - a classic case study in international expansion

A great article in The Sunday Times today examines the strategy behind the success of Tesco’s expansion in South Korea…

Recession Bites - new food shopping habits

Tonight’s edition of the Money Programme looks worth watching, or recording – on at 22.00 on BBC2 (unless Wimbledon overruns by two and a half hours again, presumably!).

‘Recession bites into our eating habits’ looks at the changes in supermarket and food spending over the last year, as food prices have risen by 8% and consumers seems to be cutting back on luxuries and shifting to inferior goods – a good illustration of income elasticity of demand, and the effects of falling consumer confidence.

Sales promotion tactics change at Tesco and Asda

Two news stories provide a couple of excellent examples of sales promotion in action…

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Price war on the way - with chocolate as the winner

Great news for those of us whose Easter is never complete without overdoing the milk chocolate egg consumption....

Working with suppliers - the grocery battle

The relative bargaining power of retailers and suppliers is sure to be tested during the recession, particularly in the highly competitive grocery supermarket sector wher consumers have demonstrated their preference for better value for money.

SWOT analysis for Britain’s leading high street retailers

A great piece in the Independent this morning does some crystal ball-gazing for ten of the UK’s leading retailers. As the economic downturn bites with vengeance in the Spring, which of the retailers featured are best placed to take advantage of the opportunities arising in a tough retail environment?  Which retailers face more threats than opportunities? 

Is the latest supermarket “price war” just a public relations stunt?

An interesting article in the Independent today examines some of the claims being made by the main supermarket groups about the consumer-friendly price cuts…