Poundland has begun trialling new price points to enable it to widen its range. We look at this in more detail.
Trialling multiple price points
The retailer will be trialling adding 50p, 75p, £1.50, £3 and £4 price points to its range. This is a build on the introduction of £2 and £5 price points in 2017.
Although Poundland has previously offered products at 50p in certain stores as 'Manager's Specials', this will be the first time there is a dedicated range at the lower price point.
The trial will run across 24 stores in the Midlands, with the first being in Park Street, Walsall. Poundland will use these stores to gather customer feedback on the new pricing architecture.
Although it remains a trial, Poundland has said it is certain it wants to move away from its high dependency on the single pound price point. However, around three quarters of products will remain at £1.
By moving to multiple price points Poundland has more flexibility with its ranging options. The retailer has said;
"By extending ranges and widening choice, Poundland will be able to deliver even more value to customers by fulfilling a broader spectrum of customer demands."
We have already seen the retailer make moves towards growing its range and appealing to different shopper missions. In May this year it introduced a fresh meal deal. Shoppers can combine a sandwich, packet of crisps and a drink for £2 in the offer. This has the potential to drive footfall and appeal to shoppers on a food-to-go mission.
Want to find out more about Poundland?
Read about the retailers positive H1 performance here.
Sign-up here to receive our free newsletter that will keep you up-to-date about the latest news and developments from Poundland and other variety discounters.