Waitrose shoppers are again being offered free coffee without having to buy anything else, as the retailer tries to fight back against rival Marks and Spencer.
The company, owned by the John Lewis Partnership, has emailed loyalty program members to let them know they no longer need a minimum purchase before they can claim a free cup when visiting a branch – but there conditions still apply.
The move is seen as part of attempts to turn around Waitrose's fortunes after recent years of struggle – and being overtaken as a middle-class favorite by M&S.
Former Tesco CEO Jason Tarry took charge as Waitrose's new chairman last autumn and has overseen a leadership change that will see CEO Nish Kankiwala step down and take an advisory role on the board.
The retailer's MyWaitrose loyalty program, launched in 2011 and which has 9 million members, previously offered free coffee without having to purchase anything first.
But in 2017 the terms were changed so that the drinks could only be claimed if they had already purchased something – and the offer was dropped entirely in 2020, during the Covid-19 pandemic.
Free coffees were brought back in 2022, as part of a partnership with providers Caffe Nero promises better coffee beans, although customers were told to bring their own reusable coffee cups if they wanted to make money.
The terms and conditions at the time still required consumers to make a purchase, but the new message sent to subscribers states: 'You can get your free hot drink without purchasing anything in store first. Don't forget your reusable cup!'
Waitrose customers who are part of the retailer's loyalty program have been told they can now claim free coffee without purchasing anything in any of its stores first
The update comes months after former Tesco chief executive Jason Tarry (pictured) took over as chairman of Waitrose's parent company, the John Lewis Partnership.
The supermarket chain introduced the MyWaitrose program in 2011, but in 2017 the free coffee element was changed so that consumers must first purchase another product
To make a claim at a self-service machine in one of the company's branches, you will need to bring your own cup while you are a member of MyWaitrose – which you can sign up for free online.
The arrival of Mr Tarry as the new chairman, who took up office in September last year, was announced in April last year – when he promised placing a 'sharp focus on being brilliant retailers for customers and investing in growth'.
John Lewis, which is owned by its 70,000 employees, has been tipped to cut 11,000 jobs over the next five years in a bid to save £900 million, having already made £88 million in cuts in the previous financial year.
The company returned to pre-tax profits of £56 million in 2023, recovering from a £234 million loss in 2022 amid three consecutive years of losses.
Just a month into his new role, Mr Tarry announced the abolition of the company's CEO role last October.
The group said they would not replace Mr Kankiwala as he would work until the end of his two-year contract in March, with Mr Tarry taking on all executive responsibilities.
In November it was announced that M&S had overtaken Waitrose in market share for the first time outside the Christmas period.
M&S had a 4.03 per cent share of the supermarket market in the four weeks to November 3 – up from 3.76 per cent a year earlier – while Waitrose's market share fell to 3.91 per cent, down from 4 .02 percent a year earlier.
Waitrose customers offer different reactions to the latest coffee news online
Waitrose's market share recently fell to 3.91 per cent, compared to 4.02 per cent a year earlier
Waitrose has made progress on its progress plans despite recent setbacks. Last August it announced it would open 100 convenience stores over the next five years as part of a £1 billion investment.
The new stores in England, Wales and Scotland will be the first openings for the luxury supermarket group in six years.
The company said the money would be spent on launching new stores, building on the Little Waitrose convenience model and improving 150 existing stores, almost half of the 329-strong chain.
It is also transforming a store in London's Finchley Road, north-west London, to test new services, products and concepts over the coming year.
Yet Richard Hammond, chief executive and co-founder of analytics firm Uncrowd, recently told MailOnline that Waitrose was 'doing some good things, but M&S is doing more, better and faster'.
He believed that Waitrose has spent too long 'worrying about cutting prices and proving they can provide value, but no-one wants cheap tins of beans from Waitrose or M&S' – while customers are instead looking are for 'delicacies' and 'special' items.
Mr Hammond suggested Waitrose has achieved a 'message of better value, but has done so at the cost of damaging their upmarket experience'.
He added: 'While Waitrose is investing £1 billion in store improvements, the new Waitrose refurbishment formats are lackluster.
| Supermarket | 12 weeks to 5/11/23 (£million) | Part | 12 weeks to 3/11/24 (£million) | Part | Annual change |
|---|---|---|---|---|---|
| Total grocers | 33,248 | 100% | 34,010 | 100% | 2.3% |
| Total multiples | 32,755 | 98.5% | 33,524 | 98.6% | 2.3% |
| Tesco | 9,070 | 27.3% | 9,487 | 27.9% | 4.6% |
| Sainsbury's | 5,046 | 15.2% | 5,266 | 15.5% | 4.4% |
| Asda | 4,490 | 13.5% | 4,242 | 12.5% | -5.5% |
| Aldi | 3,464 | 10.4% | 3,520 | 10.4% | 1.6% |
| Morrisons | 2,851 | 8.6% | 2,918 | 8.6% | 2.4% |
| Lidl | 2,447 | 7.4% | 2,628 | 7.7% | 7.4% |
| Cooperative | 1,966 | 5.9% | 1,925 | 5.7% | -2.1% |
| Guard rose | 1,509 | 4.5% | 1,552 | 4.6% | 2.9% |
| Iceland | 724 | 2.2% | 743 | 2.2% | 2.7% |
| Ocado | 558 | 1.7% | 611 | 1.8% | 9.5% |
| Other multiples | 631 | 1.9% | 630 | 1.9% | -0.1% |
| Symbols and independents | 493 | 1.5% | 486 | 1.4% | -1.3% |
| M&S is not currently included in Kantar's publicly available food market share data | |||||
'On the other hand, have you walked into an M&S lately? They are like marvelous palaces that we, ordinary plebs, are allowed – no, welcomed – into. They are especially world class.”
Mr Tarry said when his new role at Waitrose was announced last year: 'The partnership is unique and I have long been an admirer of the employee ownership model, its values and partner-led customer service.
'This starts with a sharp focus on being brilliant retailers for customers and investing in growth.'
Zoe Mills, a retail analyst at GlobalData, told MailOnline that Mr Tarry 'certainly has the experience and knowledge to rejuvenate the John Lewis Partnership'.
She added that he was 'at the helm of Tesco during the crucial development of the Clubcard loyalty programme, tackling the discounters head-on and creating a retail model that its competitors have since emulated'.
She said: “Within Waitrose & Partners, Tarry cannot lose sight of its more premium proposition.
'While it is critical to remain price competitive, in general merchandise the focus must be on quality and justifying higher prices to entice shoppers to trade up.
MailOnline has contacted Waitrose for comment.
