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Fascinating article, thank you. I think you are saying that brands have welcomed promotional activity to give them competitive advantage. Well, that's true to a certain extent perhaps, but surely the ubiquity of promotional activity in the UK is down to the negotiating power of the retailers to lead the brands down this route whether they like it or not? Most brandowners know that their points of difference need to shine through rather than rely on pricing as a main weapon. My view is that the retailers risk pushing things too far and it might all backfire if they take choice away from customers in their pursuit of giving people the best deal. I wrote a blog about the UK wine market making exactly this point. There is evidence that people are finally trading up in wine as they are getting tired of the same wines being on promotion. Firstly, there is a belief that these wines are bad value at their standard price, and secondly, in an "indulgence" market, discounting really does not need to be the deciding factor. Of course, the promo flashes do their job, but when the same wine is brought home every week and so many interesting wines are left in the store, consumers might eventually change their behaviours and branch out to try something new. In this instance I think some retailers have failed their customers by focusing on promotions. Stay strong, brandowners, and use promotions sparingly.

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Andy, It seems you have not done any original research. Anyone would know - look at Will Goodhand's video - the power of the brand at the point of purchase is greater than anything else. This is just a load of tripe.

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