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UK Antitrust Regulator Launches Probe into Supermarkets’ Loyalty Pricing

By  |  January 30, 2024

Britain’s antitrust regulator, the Competition and Markets Authority (CMA), revealed on Tuesday that it has initiated a thorough review of supermarkets’ loyalty pricing. The watchdog aims to determine the fairness of offering discounted prices exclusively to members, sparking discussions around the practices of major players such as Tesco with its Clubcard and Sainsbury’s featuring Nectar.

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This move follows the CMA’s announcement in November to scrutinize loyalty pricing schemes, addressing concerns about potential market distortions and the impact on consumer choice. The regulator has commenced discussions with supermarkets and plans to provide a comprehensive update on its progress in July. Anticipated to conclude the review by the end of the year, the CMA is poised to make a significant impact on the landscape of loyalty programs in the British retail sector.

Source: Reuters