EL SEGUNDO, Calif. — Tesco is introducing promotional pricing on a handful of products at its Fresh & Easy Neighborhood Markets in an effort to make its low-price message clearer to consumers, Tim Mason, chief executive officer, said in an interview with the Financial Times of London. “We needed to turn the volume up on price,” he explained. “When we first started [opening U.S. stores last November], we didn’t have any high-low promotions at all because we were doing everyday low pricing, and what we discovered, because we were the new kid on the block, was that people didn’t get the price image. So this was a big move — to put [in] extra low prices.” Fresh & Easy is running promotions on 30 items that change every two weeks, he said. Introducing the high-low program about a month ago “has dramatically improved the price image,” he said. However, it’s likely to be a short-term effort, he noted. “We probably won’t do it forever.”
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