An Urgent Review of CHOICE's Methodology and its Consequences for Consumers
Executive Summary Rising living costs make accurate supermarket price comparisons essential for budget-conscious consumers, particularly those impacted by the ongoing cost of living crisis or reliant on fixed incomes like pensions. However, a critical review by CHATO International Pty Ltd of CHOICE's supermarket price comparison methodologies has identified significant shortcomings that potentially mislead these vulnerable consumer groups and could adversely affect retailers.
Purpose This white paper seeks to critically assess the deficiencies within CHOICE’s pricing survey methodologies, suggest necessary reforms to improve accuracy and fairness, and advocate for increased accountability in reporting supermarket prices.
Key Findings
Bias in Product Selection: Predominance of Home Brands CHOICE's methodology disproportionately Favors Aldi, where approximately 90% of products are home brands. This results in frequent substitutions of national brands with home brands, skewing comparisons and unfairly benefiting Aldi.