Asda
Image Source: smlp.co.uk

Sainsbury's-Asda merger facing major challenges with customer satisfaction

The Sainsbury’s-Asda merger could make prices shoot up for customers and reduce the amount of choice on offer.

According to the Competition and Markets Authority (CMA) has said it is “likely to be difficult” for the two supermarket chains to look into such concerns.

The CMA also stated the merger could make for a worse shopping experience, which could obviously lead to financial losses for both chains.

Stuart McIntosh, chair of the CMA’s independent inquiry group, said: “We have provisionally found that, should the two merge, shoppers could face higher prices, reduced quality and choice, and a poorer overall shopping experience across the UK.

“We also have concerns that prices could rise at a large number of their petrol stations.”

While these are only CMA’s findings, the chains will be able to report back. The supermarkets themselves believe sales would drop because of this move, not increase.

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