Price-cutting by Tesco and Carrefour

Tesco Lotus said it would cut the prices of 500 products an average of 7.5 per cent - equal to the current rate of inflation.

The price cuts are part of its latest "Roll Back" campaign, touted as an effort to help customers save money on products they really need and buy every week.

"We've chosen 500 products based on their high basket penetration and cut their prices by 7.5 per cent on average," said Tesco Lotus director and chief marketing officer Gwyn Sundhagul.

"The move is an effective solution offered by the company to help people who are suffering from economic difficulties and high living costs."

The products include both brand and in-house products ranging from rice to fresh food items, detergent, diapers, milk and toothpaste.

Gwyn said the company had conducted 'Roll Back' campaigns for six years now, and during that time they had helped shoppers save about Bt1.5 billion, with more than Bt600 million "saved" in the past two years.

Meanwhile, Carrefour announced a joint promotion with consumer-product giant Unilever. It will be called the "Smiley 4" campaign and, like that of its competitor, be aimed at reducing the cost of living under the present tough circumstances.

From today until July 24, every Bt379 spent on specific Unilever products at Carrefour branches will allow customers to select one of seven gifts worth up to Bt239. The free products include detergent, fabric softener, shampoo, shower cream and skin lotion and cream.

The campaign is expected to boost Carrefour's sales by a significant margin.

"During this time of political uncertainty, economic slowdown and fuel crisis, Carrefour intends to relieve the burden on consumers by offering a campaign that is value for money," said marketing director Prapaphan Ploysangngam. "The 'Smiley 4' campaign is the best-ever offer from Carrefour and its partner, Unilever Thai Trading. More than 500 items under 18 leading brands are involved," she said.

As well, Carrefour is offering a three-month lucky-draw campaign from today until September 25. For every Bt500 spent in its stores, shoppers will receive a coupon to participate in a monthly draw for a Mazda car and a year's free petrol.