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National
Rachel Pugh & James Robinson

Tesco explains the real reason why prices are higher if you don't have a Clubcard

Tesco's Clubcard prices have been the butt of many jokes recently - but now the supermarket giant has explained the real reason behind the difference in price of some products with and without a Clubcard.

It comes after a shopper frenzy last week when the retailer slashed the cost of cuts of meat by 50% for Clubcard holders, as well as reducing the price of 1L bottles of Christmas favourite Baileys from £20 to £9.50, making it cheaper than those bought in rivals ASDA, Morrisons, and Sainsbury's.

The companies figures show that around 80% of transactions at large Tesco stores now use a Clubcard, putting non-users in a significant minority.

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This week the Daily Mail found that a basket of branded products priced at £42.40 without a Clubcard fell by almost a third thanks to the discounts afforded to card holders, falling to £29.22

They also found the same basket would be more expensive if purchased at Tesco's rivals - but only if purchased with a Clubcard.

The same basket would cost £32.08 in Asda, £35.40 in Sainsbury's or £34.58 in Morrisons - so the basket of items was cheapest out of the so-called Big Four with a clubcard, but the most expensive without one.

The supermarket giant has denied raising its prices for non-Clubcard users (PA)

Some shoppers have been speculating that Tesco has increased prices for non-Clubcard holders, but the supermarket chain has denied this.

When Manchester Evening News asked Tesco why Clubcard prices can be significantly lower for shoppers with a Clubcard, they said: "We're delighted that this analysis has recognised that Tesco Clubcard customers get the best value of any major supermarket when they shop with us – and over 20m of our customers who regularly use Clubcard for their shop agree.

"We make it easy for customers to make choices about the data they share, and you can have a Clubcard and benefit from Clubcard Prices while choosing not to receive targeted marketing. We only ever use data that customers have agreed to share with Tesco, which allows us to personalise our offers.

"So, for example, if you’re looking for a bottle of red wine for Christmas, and there’s a great offer on the wine you usually buy, it’s helpful for us to let you know.”

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