Department store chain John Lewis is to bring back its famous ‘never knowingly undersold’ price pledge in a major U-turn.
The national retailer has made the move after ditching the commitment over concerns it what less relevant to shoppers two years ago.
The price promise, which was first introduced in 1925, will come back into effect from Monday, 9 September.
John Lewis, which said it is making the move in an effort to boost its value perception among customers, will use the refreshed commitment use AI technology to match 25 major competitors on its prices in-store and online.
Peter Ruis, who was appointed boss of the retail business in January, said he looked at resuming the pledge a month into his role as part of a desire to “sharpen” the firm’s pricing.
Around 30,000 prices will change next week as a result of the move.
The brands being matched on price are: AO.com; Amazon (on technology); Apple; Argos; Asos; Boots; Currys; Dunelm; Dreams; The Entertainer; Fenwick; Flannels; Furniture Village; Harrods; Harvey Nichols; Heal’s; House of Fraser; Lakeland; M&S; Mama’s and Papa’s; Next; Richer Sounds; Selfridges; Smyths Toys and Space NK.
Bosses said the return of ‘never knowingly undersold’ will be backed by its largest marketing investment to date, with a significant advertising campaign also launching on Monday.
In 2022, John Lewis withdrew the promise, where it would match the price of branded products in other shops if a customer pointed out they had found it cheaper elsewhere, with bosses saying it did not “fit with how customers shop today”.
‘Customers recognise our quality’ – John Lewis boss
On Thursday, Mr Ruis said improvements in technology mean that they can operate a “better” version of the pledge.
“Customers have recognised our quality but there were questions over whether our value offer has been sharp enough in some areas,” he said.
“The pricing mechanism we had before wasn’t fit for purpose so changing that has absolutely been the right thing.
“What we are doing now, and what the technology is enabling us to do, is really different, and customers will see the benefit of that.”
It comes amid a significant leadership shift at the business, with former Tesco UK and Ireland boss Jason Tarry set to take over a chairman of parent group, The John Lewis Partnership, early next year.
Current chairwoman Dame Sharon White said: “Now is the right time for ‘never knowingly undersold’ to return in a form that will resonate with customers whether they’re shopping in store or online.
“I’m delighted that Peter and his team are reinvigorating the John Lewis promise to our customers for the 21st century and I am excited to see the brand go from strength to strength, today as chairwoman and in future as a customer.”