PARKnSHOP Beats Competition On Price, Survey Finds

PARKnSHOP is delighted to see the results of the Consumer Council Supermarket Price Survey, which were released this morning.

PARKnSHOP would like to publicly praise the Consumer Council for using a new and more robust methodology for its price survey this year. The data was provided by an independent market research company, and takes into account promotions and special offers on the items surveyed the real price paid by shoppers at the checkout something that all major supermarket chains covered by the survey had requested.

The survey shows that in 2004, the average price of the most popular 180 items sold in Hong Kong's major supermarket chains was lower than for the same basket of items in 2003.

PARKnSHOP is proud that the same independent data also shows that for almost all of these items, the price reductions at PARKnSHOP were bigger than the average.

And for those items that went up in price, most of the rises were smaller at PARKnSHOP than the Hong Kong average.

This confirms what our regular shoppers already know that PARKnSHOP offers not just the widest range and the highest quality, but also the best value for money in town, said PARKnSHOP Hong Kong Managing Director Philippe Giard.

Highlights of the survey include the following findings:

– The price of the Consumer Council basket of 180 items fell 0.2% from 2003 to 2004, on average, across all the supermarkets surveyed

– During the same period, the price of the same 180 items fell 0.9% at PARKnSHOP, which is not only significantly lower than the average of all the supermarkets, but also much lower than the Composite CPI, which fell 0.4%

– In 7 out of the 8 departments covered, PARKnSHOP prices dropped further or rose less than the average of all supermarkets surveyed

– Household goods (such as toilet rolls and laundry detergent) showed the biggest price drop by 3% overall, and by 4.4% at PARKnSHOP

– Personal care items (things like shampoo, soap and sanitary protection) and baby food also became significantly cheaper, as the supermarkets worked hard to gain share from personal care stores. Prices fell 2.7% across all supermarkets, but by 3.8% at PARKnSHOP

– Rice, oil and sauces showed the greatest price inflation, up by 2.8% overall but a smaller increase 2.1% – at PARKnSHOP

– The price of bread and biscuits went up 0.5% on average, but went DOWN 0.7% at PARKnSHOP

– Beverage prices were up 1.2% on average, and up 1.1% at PARKnSHOP
Graphs are attached, showing the total basket price change and all the 8 departments covered by the survey, and how our prices compare with the Hong Kong average. The Consumer Council has compared identical baskets of goods at Hong Kong's biggest supermarket chains, and the change in average selling price is CONSISTENTLY LOWER at PARKnSHOP than the average of our competitors, Mr Giard said.

This underlines our commitment to giving consumers the best possible value for money, through programmes like the long-running Pricewatch campaign, which we launched in 1998 and have made stronger year by year. It now covers more than 3,000 products a week.

PARKnSHOP has a team of price-checkers who monitor prices of Yellow Label items across Hong Kong every day, and we give shoppers double their money back if they find any Yellow Label items cheaper in another supermarket.

In addition, PARKnSHOP runs a non-stop series of seasonal and short-term promotions on selected items from across our range, including two-for-one offers, bonus packs and free gifts.

Just yesterday (Friday, 13 May), PARKnSHOP launched our 'PARKnSHOP Give You More' campaign, which highlights our promise to deliver more choice, more quality and more value.

The 'Give You More' campaign means that in our stores today, you will find items like :

Original Price
Promotional Price Free Gift or Extra Discount
Lee Kam Kee Premium Soy Sauce
$10.5 $6.9 Buy two and get a free Lee Kam Kee Swiss Sauce (410ml) worth $12.5
Lion & Globe Extra Virgin Peanut Oil
$26.9 $23.8 Buy two for $29.9
Golden Elephant Fragrant Rice
$61.9 $53.8  
Golden Boat Crystal Rice
$36.9 $28.8  
Fuku Emen/ Rice Noodle 5's $12.5 $8.5  
Dairy Farm High Calcium Milk (946ml) $24.9 $16.9 One free Pak Fook Steamed Milk (100g)
Coca Cola 8's $23.9 $19.4 One free Bonaqua Bonacive Drink (500ml) worth $8.2
Carlsberg Beer 6x330ml $48.5 $35.9 One free Jolly Shandy Lemon Drink (330ml) worth $5.9
Calbee Potato Chips
$12 $9.9 Buy two for $19.5
Clean & Soft 3-ply Toilet Roll 10's $25.8 $19.9 Buy two for $36.9;And redeem Castle Laundry Detergent (1kg) at $5 only (Original price: $19.9)

What's more, customers can share up to $1 million in PARKnSHOP gift coupons with their receipts. From May 13 to June 2, 2005, customers spending $100 or more will receive a Cash Bag, into which they can put up to three PARKnSHOP receipts of $100 or more. They fill in their details on the bag, drop it into the collection boxes in all PARKnSHOP stores. Winners will be drawn from the boxes and will receive gift coupons for double the amount on the receipts in their bag.

The Consumer Council's survey shows that across Hong Kong, there have been price increases on goods in roughly half of the departments covered.

Mr Giard said: While our suppliers have been increasing their prices as the cost of raw materials has gone up in part because of strengthening of foreign currencies like the Euro and Australian dollar PARKnSHOP has worked hard to stabilise prices by absorbing some of these costs ourselves. We've also been adding more price promotions to give customers better value.

The main survey was conducted by an independent market research company for the Consumer Council. PARKnSHOP has made further analysis using the same data and methodology as used by the Consumer Council.