Lan, H., Lloyd, T. and Morgan, C.W. orcid.org/0000-0001-7914-2375 (2015) Supermarket Promotions and Food Prices: A Note. Journal of Agricultural Economics, 66 (2). pp. 555-562. ISSN 0021-857X
Abstract
Using a sample comprising nearly 250,000 weekly prices from the largest seven UK supermarket chains, this note investigates two pricing practices that have attracted public interest: the tendency for promotions to ‘disguise’ rises in non-sale prices and the inflation of prices prior to sales which ‘exaggerate’ the discount. Analysing price dynamics before and after periods of promotional discounting results show post-sale prices are typically lower than pre-sale prices, contrary to the disguise hypothesis. We do, however, find evidence of exaggeration of the discount, which may potentially explain why prices fall after discounts, although the evidence is not sufficiently widespread for this to be the sole cause. Results parallel the competition authority's view of supermarket promotions and point to the useful contribution that retail price microdata might play in keeping prices in check in countries where highly concentrated retail sectors raise similar concerns.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2014 The Agricultural Economics Society. This is the peer reviewed version of the following article: Lan, H., Lloyd, T. and Morgan, C. W. (2015), Supermarket Promotions and Food Prices: A Note. J Agric Econ, 66: 555–562, which has been published in final form at https://doi.org/10.1111/1477-9552.12096. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Self-Archiving. |
Keywords: | Food prices; supermarket promotion |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Vice-Chancellor's Office (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 08 Feb 2018 16:19 |
Last Modified: | 08 Feb 2018 18:17 |
Published Version: | https://doi.org/10.1111/1477-9552.12096 |
Status: | Published |
Publisher: | Wiley |
Refereed: | Yes |
Identification Number: | 10.1111/1477-9552.12096 |
Related URLs: | |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:127127 |