Tesco hikes price of water amid heatwave

Tesco has hiked the price of its budget bottled water and fizzy drinks as thirsty customers scramble to keep hydrated in the hot weather.

The supermarket giant raised the price of its two-litre bottles of Everyday Value water and cola by 41% to 24p last week, according to the Guardian, putting it well ahead of rivals Asda, Sainsbury's and Morrisons.
The price rises came amid fears of bottled water shortages as temperatures soared above 30 degrees in some parts of the country.

The Guardian reports that grocers are recording a doubling in water sales during the sweltering weather.

Commercial move
Tesco said its price increase last week reflected the cost of production, which it kept as low as possible. A spokesman said: "We think four bottles of filtered water, cola or lemonade for less than a pound is still very good value."

Yet retail commentators remark that it isn't a smart move in the supermarket price war.

Shore Capital analyst Clive Black said: "Tesco has probably jacked the price up because it's hot and product is going out the door. It's taken a commercial view but it's not necessarily one all its punters will like."

He said the price hike suggested that either Tesco was trying to ration drinks because supplies were tough to come by or it wanted to increase its profits.

Supermarket war
Sainsbury's was the UKs favourite and most profitable supermarket for decades, before being overtaken by Tesco in 1995 and Asda in 2003.

Five of the most fascinating companies
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Tesco hikes price of water amid heatwave

Not many companies have films made about them. But the story of social networking site Facebook attracted enough attention to interest Hollywood, resulting in the 2010 film The Social Network. The interest was not just due to the immense popularity of the Facebook website, which was created in its earliest form by Harvard University student Mark Zuckerburg in 2004, though. It was also a result of the legal wrangling between Zuckerburg and fellow Harvard students Divya Narendra and Cameron and Tyler Winklevoss, who founded the social networking site ConnectU and accused Zuckerberg - who worked for them before creating Facebook - of copying their ideas and coding. In something of a damp squib ending, however, the case was dismissed due to a technicality in March 2007 without a ruling being made.

Most of the companies on this list are household names. However, comparatively few people have heard of Olam International, despite it being one of the world's largest agricultural commodity companies.

In fact, it produces enough cotton to keep everyone in the world in socks (three pairs per person, per year).

Fans of chocolate bars such as Mars are also sure to have consumed chocolate made from beans handled by Olam - they just don't realise it.

Headquartered in Singapore, Olam was founded in 1989. It now purchases ingredients such as coffee and cocoa from around 3.5 million smallholder famers based in emerging markets around the world. This enables it to work with communities in rural Africa and Asia on everything from productivity to environmental impact, resulting in a potentially huge impact on some of the world's poorest people.

Love them or hate them, Starbucks coffee shops are everywhere nowadays. Hardly surprising when you consider that the company has opened an average of two stores a day since 1987 (despite having to close some locations down too).
However, back in 1971 there was just one Starbucks coffee shop, in Seattle, Washington.
Named after Starbuck, the first mate on the whaling ship in the novel Moby Dick, the shop originally sold roasted coffee, but did not brew coffee to sell.
Now, though, you can get everything from a blueberry muffin to a mocha frappuccino from your local Starbucks store.

According to the company the white ribbon was introduced under the name in 1969. When competitors first entered the market, Coke made much of its curved bottle design which distinguished it from those that followed. As fewer and fewer people drank from bottles, the ribbon was produced as an alternative distinctive curve.

According to mokokoma, the apple is the fruit of the tree of knowledge. There is some question as to whether the bite taken out of it is a play on the word byte, symbolism of the fruit being eaten and the knowledge imparted, or just to make it look more like an apple and less like a cherry tomato.


While Tesco remains the biggest supermarket with a market share of 30.5% (down from 31% last year), clear polarisation of the grocery sector has shaken up the market in recent years.

Data from Kantar reveals that discount chains Aldi and Lidl, along with high end grocer Waitrose, won more customers than any of their supermarket rivals last year.

Meanwhile, Asda, the UK's second biggest supermarket, is suffering hardest from the economic squeeze as customers switch to cheaper rivals and the number three supermarket, Sainsbury's, threatens its position with a clever balance of price and quality.

Seven of the craziest supermarket glitches
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Tesco hikes price of water amid heatwave

One of the most popular glitches, was a wine deal at Tesco back in November 2012, where a series of offers clashed, leaving a bottle of £9.99 wine selling for £1.50.

The 'three wines for £10' deal apparently clashed with a '25% off when you buy six or more bottles' deal. The 25% was accidentally taken off the original price rather than the reduced one, leaving the wine at rock bottom prices. Deal-hunters cleared the shelves around the country.

Perhaps the most popular glitch from Tesco came in June 2011, when instead of taking £4 off the cost of a £20 case of beer, the supermarket accidentally started selling the cases for £4. The ensuring rush was nicknamed the 'beer stampede'.

Sadly not every supermarket pricing glitch comes with such a happy ending for consumers. In March last year the bargain-hunters thought their luck was in, when Tesco accidentally priced the new iPad at just £44.99 instead of around £650. Sadly it spotted the mistake before shipping the goods. The small print on its website meant it could refuse to sell at this price, and refund their customers instead.

In September 2012, Asda was responsible for one of the most expensive glitches. The Asda Price Guarantee offered vouchers to customers who could have got their shopping cheaper elsewhere.

However, when certain trigger products were in the basket, the supermarket massively under-priced the shopping at other supermarkets, and offered huge vouchers to shoppers. In many instances the vouchers came to roughly the same as the cost of the shopping.

In April, a mistake on their website resulted in Tesco selling 8 packs of Bulmers cider 568ml bottles for £5 - rather than a six pack for £8.

Deal-hunters snapped up the deal online, and had varying degrees of success. Some had their order delivered in full, others had six delivered for £5 - and were able to negotiate their way to another two, while others were offered six for £5 or their money back.

October last year saw one of the most famous glitches, when Tesco Terry's Chocolate Oranges were subject to two deals at the same time, and the price dropped from £2.75 to 29p. There were plenty of people getting chocolate oranges last Christmas.

A buy-one-get-one-free deal went awry at Tesco in March. People putting four tubs of I can't Believe It's Not Butter or Oykos yogurt packs into the trolley were only being charged for one.

Soon the online deal-hunting community was in action, with one person bagging 50 tubs of butter and 22 pots of yogurt for £8.79 - a saving of £133.89.


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