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![\"Sainsbury's\"](\"https:\/\/www.retailgazette.co.uk\/wp-content\/uploads\/2024\/02\/Sainsburys-Strategy-Update-Image-696x464.jpg\" "\\"Sainsbury\u2019s\\"\/")
<\/div>\nSainsbury\u2019s boss Simon Roberts has set a new cost savings target of \u00a31bn over the next three years so the grocery giant can finance both better prices and higher pay for its workers.<\/p>\n
The chief executive said he expects to boost the supermarket\u2019s profit by putting food, Nectar card and convenience first under its \u201dNext Level Sainsbury\u2019s\u201d strategy.<\/p>\n
Roberts said\u00a0the updated plan, which builds on the momentum of its \u201cFood First\u201d strategy, will help take the grocery giant to the next level as it is \u201djust at the beginning of rediscovering quite what this business is capable of.\u201d<\/p>\n
The supermarket is planning to increase its\u00a0grocery market volume share gains by \u201dbringing more of Sainsbury\u2019s food range to more customers, becoming the first choice for food for more people, continuing to attract more bigger basket primary shoppers\u201d.<\/p>\n
It will also continue to build on its Nectar loyalty programme in the next three years, \u201coffering personalised, rewarding and integrated loyalty and market-leading retail media capabilities\u201d.<\/p>\n
Subscribe to Retail Gazette for free<\/strong><\/h5>\nSign up\u00a0here\u00a0to g<\/span>et the latest news straight into your inbox each morning<\/span>\u00a0<\/span><\/strong><\/p>\nSainsbury\u2019s said it plans to \u201dbuild on Argos\u2019s strengths in convenience and value\u201d through improved ranges and relevance while also delivering further operating model efficiencies.<\/p>\n
The supermarket said it was looking to deliver another \u00a31bn of \u201cstructural cost reduction\u201d across the business on top of the \u00a31.3bn it has achieved in the last three years.<\/p>\n
Completion of the programme will mean the group has cut \u00a32.5bn of costs over the last decade.<\/p>\n
Roberts said: \u201cOur Food First strategy has delivered on its promise over the last three years, making Sainsbury\u2019s a stronger business with a much sharper position on value and a major refocus on our innovation.<\/p>\n
\u201cOur Next Level Sainsbury\u2019s strategy is about giving customers more of what they come to Sainsbury\u2019s for \u2013 outstanding value, unbeatable quality food and great service.<\/p>\n
\u201cWe\u2019re going to build on what\u2019s driven our success since 2020. We\u2019re determined to be First Choice for Food, ensuring more customers in more of our stores can enjoy more brilliant Sainsbury\u2019s food.<\/p>\n
\u201cThat means more space for our food offer, while still delivering the general merchandise products customers want from us. That way, not only will we find more ways to delight new and existing customers, we will also continue growing volume market share.<\/p>\n
\u201cBy taking Sainsbury\u2019s to the next level, delivering for customers and colleagues, we will also deliver enhanced returns for shareholders through a share buyback and committing to a progressive dividend.\u201d<\/p>\n
Sainsbury\u2019s said it plans to \u201dbuild on Argos\u2019s strengths in convenience and value\u201d through improved ranges and relevance while also delivering further operating model efficiencies.<\/p>\n
The supermarket said it was looking to deliver another \u00a31bn of \u201cstructural cost reduction\u201d across the business on top of the \u00a31.3bn it has achieved in the last three years.<\/p>\n
Completion of the programme will mean the group has cut \u00a32.5bn of costs over the last decade.<\/p>\n
Roberts said: \u201cOur Food First strategy has delivered on its promise over the last three years, making Sainsbury\u2019s a stronger business with a much sharper position on value and a major refocus on our innovation.<\/p>\n
\u201cOur Next Level Sainsbury\u2019s strategy is about giving customers more of what they come to Sainsbury\u2019s for \u2013 outstanding value, unbeatable quality food and great service.<\/p>\n
\u201cWe\u2019re going to build on what\u2019s driven our success since 2020. We\u2019re determined to be First Choice for Food, ensuring more customers in more of our stores can enjoy more brilliant Sainsbury\u2019s food.<\/p>\n
\u201cThat means more space for our food offer, while still delivering the general merchandise products customers want from us. That way, not only will we find more ways to delight new and existing customers, we will also continue growing volume market share.<\/p>\n
\u201cBy taking Sainsbury\u2019s to the next level, delivering for customers and colleagues, we will also deliver enhanced returns for shareholders through a share buyback and committing to a progressive dividend.\u201d<\/p>\n