Electrical appliances geared towards home entertainment are proving big business for the multiples.
Tesco and Asda both claim that gadgets in this category, including televisions, DVD players, audio equipment and set-top boxes, are the bestselling products in their entire electrical ranges. Verdict Research also predicts that the multiples will witness the most growth from selling these types of products over the next few years.
"Home entertainment is an important category for supermarkets," says Nick Gladding, senior analyst at Verdict Research. "There is a lot of demand for the products. They are seen to offer good value and they are very easy to sell."
Televisions are proving especially popular in the multiples. Matthew Harrison, sound and vision buyer for Asda, says that the retailer is planning to increase its range of LCD televisions this year. Because LCD televisions take up less space than standard CRT (cathode ray tube) televisions, he adds that listing more LCD televisions will free up vital store space to expand Asda's electrical range.
Tesco also has similar plans, according to its electrical buying manager Matthew Finch. "This year we will increase the amount of LCD televisions in our ranges, in particular high-definition televisions," he says. "Home entertainment is very important and Tesco already has a significant market share in this area."
Part of the popularity for customers in the category is price, according to Verdict's Gladding, with increased competition causing flat screen televisions to drop in price in the past year from £300 to less than £200. Indeed, Tesco offers a 15-inch LCD television for £169, a widescreen television for £158 and a DVD player for just £17.92.
This Easter Tesco is also ramping up its activity through Tesco.com, which will be offering up to 30% off electrical goods.