Customers rush to buy energy-saving products as discretionary income continues to fall
- Average household disposable income fell by £35.44 a week in September, equivalent to £141 per month
- Soaring energy and housing costs, up 20% year-on-year in September, stretched household budgets to the limit
- Asda sees surge in sales of energy-saving products such as air fryers and slow cookers as customers try to keep energy costs down
Asda customers have turned to energy-saving products in record numbers as they look at ways to combat the cost of living crisis.
With household bills continuing to rise sharply, the latest Asda Income Tracker shows families were £141 per month worse off in September compared to the previous year, primarily due to soaring utility bills, with gas prices up an eye-watering 95.7% and electricity prices up by 54% year on year.
In response, customers are increasingly turning to energy-saving products to try to keep their bills in check. Asda has seen a 320% increase in air fryer sales year-on-year; sales of slow cookers have more than doubled; and sales of heated airers are 90% up compared to last September.
Regionally, those living in the south-east saw the sharpest drop in discretionary income, with families in that region earning £212 a month worse off compared to this time last year, while the East Midlands showed the most resilience. However, they still saw an annual decrease of £116 per month, meaning no region saw an uptick in discretionary income compared to September last year.
To help customers during the cost of living crisis, Asda is introducing a new ‘winter warmer’ initiative, offering those aged 60 and over the chance to enjoy soup, a roll, and unlimited tea and coffee for just £1 in any of its 205 cafes all day and every day throughout November and December. This will run alongside the current ‘Kids Eat for £1’ offer, which continues to be hugely popular, with more than 630,000 meals served since the launch in late June.
The Asda Foundation has also launched a new ‘cost of living’ funding pot worth £500k to help keep community groups running, and the supermarket is also running a ‘Community Cuppa’ campaign in its cafes by creating space for community groups, who may otherwise struggle to meet due to rising energy costs.
* The Asda Income Tracker is a measure of ‘disposable income’, reflecting the amount remaining after the average UK household has had taxes subtracted from their income and bought essential items such as groceries, electricity, gas, transport costs, and mortgage interest payments or rent. The Income Tracker measures the amount left over to spend on discretionary purchases such as leisure and recreation goods and services.