Despite analysts roundly predicting Christmas woes for each of the major supermarkets, Sainsbury’s, Tesco and Morrisons have all performed ahead of City expectations. But if the ‘big four’ are starting to turn the corner, is marketing really driving their resurgence?
Sainsbury’s chief executive Mike Coupe says he believes its festive campaign featuring the fictional cat Mog was the “most successful supermarket Christmas ad campaign ever” as he fails to rule out bringing the feline character back in 2016.
After reporting its first positive sales in well over a year, Morrisons’ CEO David Potts has told Marketing Week that the big four supermarket is starting to see positive results from its brand development strategy and is standing out from rivals due to its in-store food making capabilities.
Tesco’s chief executive Dave Lewis has hailed a “strong Christmas” as its UK sales rose 1.3% on a like-for-like basis in the six weeks ending 9 January. However Lewis blamed its decision to drop the “£5 off £40” marketing promotion for contributing to a sales fall of 1.5% in the third quarter.
The average tenure for a CMO at the US’s top 100 advertisers fell again in 2023 to 3.1 years, or 37 months.
Morrisons is trialling the personalised, AI-powered initiative, which rewards shoppers for purchasing particular brands they select from a list, something it says will provide value for both the consumer and brands.
Newly appointed chief brand officer Ije Nwokorie will take over as CEO next year.
The direct-to-consumer flower business is reducing its marketing spend as it shifts its focus from growth to profitability, following £100m in operating losses last year.