About 40% of Tesco online customers are using the Cheaper Alternatives feature, the site's marketing director told The Grocer.

The option, launched last September, suggests cheaper own-label products or rival brands when consumers pick more expensive brands or premium own label. Ian Crook, Tesco online marketing director, said 40% of customers were regularly using the feature.

"Once a shopper chooses a cheaper alternative, it's added to their favourites and goes on their shopping list," he said. "This makes it easier to buy the cheaper item week-in, week-out, and has helped many customers spend less."

The website, which won the 'star order' award in the Online Grocer 33 this week, also now allows customers to browse through all the promotions available - the first time they've been presented in this way.

Service at most of the online operations remained excellent, but substitutions or items not delivered were up versus last time.

Sainsbury's in particular improved compared with last time, using six fewer bags and substantially reducing the number of substituted and non-delivered items. Tesco remains the only retailer to offer crates as an alternative to bags. Crook said about 40% of customers chose to take a crate, but insisted the choice between crates or bags would remain.

Waitrose was the worst offender on bags this time, using 14 bags to deliver the 33 items - double the number used last time.

The Grocer 33 Online p20

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