The Hypermarket War Between Giant and Tesco!

Sunday – 8.36 pm. While waiting for my food, I was browsing through The Star when a full page color ad caught my attention… It’s Giant‘s revenge ad against Tesco. On the top left side of the page – Giant’s logo. Below it lies the headline. It says… AlWAYS CHEAPER THAN MALAYSIA’s MISLEADING (tesco’s lookalike logo with tesco font, colors and a UK flag).

Below it…

Giant’s receipt vs Tesco’s receipt. In this ad Giant lists a few of their products vs Tesco’s and the total price indicating Giant is cheaper. (they always pick their lower priced products vs another’s higher price product). I was thinking, Ah… the hypermarket war has continued! This i believe started few years back when Carrefour attacked both Giant and Tesco with their receipt comparison. Seems like the war continues…

But this is not what *shocked* me… I turned to the next page and saw…

Another full page ad that looks the same with the previous page’s ad. But it’s not a Giant ad. It’s a Cold Storage ad. I said “wooh!”, another bang on Tesco. I turned the page and this time it’s Guardian vs Tesco and i said “Wow!”. A hypermarket (Giant), supermarket (Cold Storage) and even beauty and health store (Guardian) attacking one ‘giant’ hypermarket Tesco. This is interesting…

The funny thing about this is, Carrefour may be laughing, look at the boys, they are fighting each other. My question is, will Carrefour join in the fight soon? Since Giant, Cold Storage and Guardian has ganged up on Tesco, will Tesco and other foreign players gang up too? If two big players are pulling each other’s hair, what’s the best strategy Carrefour can execute right now? Will Tesco make a counter attack? Does all this ‘i am cheaper than X’ marketing plans really drive more sales? Say it does drive  traffc to the stores and the consumers need some help and the helper at the hypermarket doesn’t seem to be helpful, will the consumer choose price over service?

DID YOU KNOW FACTS: In case you’re wondering why the 3 decided to gang up. Because all 3 companies are own by Daily Farm International. I briefly researched this through Daily Farm’s Website

Let’s stay tuned to the War of the Hypermarkets, their new marketing and pricing strategies.

Sales Ninja Grandmaster

// The Hypermarket War Between Giant and Tesco!
// By Hanzo Ng, Sales Ninja Grandmaster

Hanzo Ng has been called the ‘most influential sales trainer’ by his participants and is highly demanded for his unconventional Sales Ninja training programmes. He is also the author of Secrets of the Sales Ninja, available in major bookstores in Malaysia and Singapore.

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14 Responses to “The Hypermarket War Between Giant and Tesco!”

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  • Lim Says:

    What really caught my attention is the question….will consumer choose price over service?….Well, in my personal opinion….PRICE is still the main factor consumers do their shopping trips but consumers are getting more demanding & more material in where they shop, what they shop & why they shop there?…..Thererfore, retailers need to differentiate themselve from others in orders to maintain consumer loyalty …how do we do that? by making shopping trips more interesting…HOW? well, they have to figure out! Pages of articles does not & will not carry a long term solution but ony short term.

  • Sales Ninja Grandmaster Says:

    Lim: besides price, i think consumers also buy because of other reasons like convenience. And yes, retailers need to differentiate themselves and i think it needs to be done with the people at their store. Customer experience is created with interactions. Thanks for your comment.

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