Poundland to pilot permanent sub-£1 ranges for first time
Trial will also test a wider spectrum of £1-plus price points, adding £1.50, £3 and £4 ranges to the £2 & £5 marks introduced in 2017
By extending ranges and widening choice, Poundland will be able to deliver even more value to customers by fulfilling a broader spectrum of customer demands
Trial will run across 24 stores in the Midlands
New products to include 500g Napolena Passata for 50p and 100ml Colgate Cavity Protect Toothpaste for 75p
75 per cent of items in revamped pilot stores will still be at £1
Poundland, the UK and Ireland’s leading discount retail chain, today announced the next stage of its transformation from a single price retailer to a simple price retailer, with the pilot of a new pricing architecture that will allow it to extend ranges to cover a larger proportion of the volume items demanded by customers.
The move, which includes the introduction of permanent sub-£1 price points for the first time and a wider range of £1 -plus price points, will allow Poundland to deliver even more of the amazing value it promises customers.
The pilot is being extended across stores in the Midlands. Examples of sub-£1 products include 500g Napolena Passata and 75g Princes Sardine and Tomato Paste at just 50p, and 100ml Colgate Toothpaste at 75p.
Although Poundland has occasionally offered specific products at 50p in certain stores as “Manager’s Specials” and in post-Christmas sales, the pilot is the first time it has offered dedicated ranges at these lower price points.
The latest move in its transformation into the leading simple price retailer, reflects Poundland’s increasing importance as a high street destination, with more than seven million customers a week, and customers demanding value on a broader range of items.
The pilot will also include trials of £1.50, £3 and £4 price points, building on the success of ranges introduced at £2 and £5 in 2017. For the first time, Poundland will be able to offer top-sellers such as Aussie Shampoo (£3), Elvive Nutrigloss (£2) and four-pack tins of John West tuna (£3).
It will allow Poundland to test, learn and get customer feedback on this next stage of its journey.
While the pilot introduces a broader range of simple price points, three-quarters of items in the pilot stores will be at Poundland’s core £1 price point.
By broadening the product range, Poundland will be able to use its sourcing and distribution strength to provide even more opportunities for customers to save money and bag a bargain.
The new price points will allow the sale of products including handy items such as a 52 pack of Pampers Babywipes for 75p and breakfast for just 50p with the Oats to Go Breakfast pot. And with larger packs of washing powder and breakfast cereal and more valuable items such as 50ml Nivea Anti-Wrinkle Night Cream for £4, the new ranges will allow customers to buy a wider number of key items they need for their families, at the amazing value Poundland promises.
The first stores to offer the new ranges have already gone live across the West Midlands, beginning with Park Street in Walsall.
The pilot also builds on Poundland’s success with its PEP&CO shop-in-shops. These offer family fashion for men, women and children, and are now in more than 300 Poundland stores across the UK and Ireland. This move and other examples of the transformation of pricing strategies at global discount retailers are referenced in Notes to Editors.
Barry Williams, Managing Director of Poundland, said: “We promise customers amazing value and we are committed to fulfilling that promise on the widest range of items.
“While three quarters of the products we offer will still be £1, it’s important we look to broaden our ranges elsewhere, whether above or below £1. These extended price points mean we can meet an even greater range of customers’ needs, while offering the same outstanding Poundland value.
“Our customers are among the savviest in the country. We know that and it’s why we’re moving at the pace they dictate to become the simple price retailer they want us to be.”