Elaine Watson
A major battle is brewing between the multiples for supremacy in the premium own label market.
Tesco is gearing up for a complete overhaul of its Finest range in October with a raft of new and reformulated products, and pack designs.
The move follows pledges by Asda and Safeway to relaunch their premium ranges, Extra Special and The Best, in October and February respectively.
Tesco's plan is one of a host of new initiatives about to be unveiled by the retailer, including the relaunch of Value.
Details of the Finest relaunch are a closely guarded secret but will include new products in non food categories including make-up, toiletries ­ which have already started filtering into stores ­ and household items.
Pemberton & Whitefoord, the company behind the new design, said: "Finest is one of the strongest pillar brands in Tesco and essentially the packaging gave off all the right cues.
"However, the company said it needed to work much harder on shelf in order so it could communicate its identity."
Asda Extra Special brand manager Emma Topley said Asda was determined to grab a bigger slice of the premium market with 130 new products boosting the 120 strong range this year and another "significant increase" next year. New gold packaging is already filtering into stores ahead of a major marketing push in October.
While Asda was looking at extending Extra Special into flowers, food gifts and wines, there would not be a major push into non-food, because the offer cannot be tiered in the same way, said Topley. "We're focusing on food and picking up Tesco and Sainsbury shoppers."
Safeway's premium range overhaul will include rigorous new quality criteria to address concerns that premium labels were simply a ploy to boost profit margins rather than a guarantee of superior quality.
"Premium ranges have to work harder to justify themselves nowadays," said a spokeswoman.
"There's been much negative publicity lately and we want to tighten our criteria. This means we will be pulling products out as well as putting more in."
Taylor Nelson Sofres data for the 52 weeks to mid-August reveals premium ranges from Safeway and Asda have so far failed to make a significant impression on the own label market, which is "completely dominated" by Tesco and Sainsbury.
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