Greggs has been using app and value perception data, as well as customer feedback, to monitor the impact of recent price increases.
Greggs’ CEO has defended the chain’s pricing strategy and value proposition, despite a “challenging” start to 2025.
The food-on-the-go brand’s reputation for value has been central to its growth in recent years, with the business frequently citing sector-leading value perception scores. Speaking to investors today (29 July), CEO Roisin Currie insisted Greggs has managed to maintain that reputation, even as it pushed through price increases.
The business reported lower profits in its first half results for the six months ending 28 June 2025. Operating profit declined 7% in the six months versus the same period last year, with the brand generating £70.4m.
Greggs’ CEO has defended the chain’s pricing strategy and value proposition, despite a “challenging” start to 2025.
The food-on-the-go brand’s reputation for value has been central to its growth in recent years, with the business frequently citing sector-leading value perception scores. Speaking to investors today (29 July), CEO Roisin Currie insisted Greggs has managed to maintain that reputation, even as it pushed through price increases.
The business reported lower profits in its first half results for the six months ending 28 June 2025. Operating profit declined 7% in the six months versus the same period last year, with the brand generating £70.4m.
Earlier this month, Greggs issued a profit warning, informing investors that warmer weather would adversely affect its results. While like-for-like sales grew by 2.6%, this was much weaker than the growth of 7.4% seen in the same period last year. During analyst questions, management were asked whether the “deceleration” in sales had been due to price increases introduced in May.
Greggs: Brand has been of ‘paramount importance’ to grow during cost of living crisis
Currie insisted Greggs had held its “market leader” spot in the food-to-go category for value, even as it made price increases, stating the business had carefully monitored consumer behaviour.
“What we will do on a monthly basis is we will benchmark each part of our basket against our competitors […] And then we will monitor the customer behaviour. We do that through the app data,” she said. “We also look at any customer complaints that come through. Some of those come directly to me. Some of those go to customer care.”
Greggs closely monitors how price rises impact customer behaviour, utilising both its loyalty app – which is now used in around a quarter of transactions – as well as more traditional customer feedback. According to the brand, this data gives it the confidence consumers are not adversely reacting to any price increases.
Currie also explained Greggs has data suggesting it has maintained its value perceptions, while competitors have slipped. The chain wants to drive a reputation for consistent value, she stated, as opposed to engaging in promotional tactics.
“We do know that in the market, it can be challenging around people putting through promotions,” she said. “But that’s a little bit of high/low pricing. We take the view we want to be the brand that people can trust, so making sure that we offer that great value all through the year is really important to us.”
A more ‘convenient’ brand
While the first six months of 2025 have not been plain sailing for Greggs, its strategy remains fairly consistent. The plan is to target profitable growth by making its brand “more convenient” and innovating to reach more customers.
This has involved increasing opening times, expanding digital capabilities like delivery and an expanded store footprint, essentially growing the brand’s physical availability.
Greggs also continues to drive innovation, with the brand hailing the success of its strategy over recent years, which it claims has “transformed [Greggs] from a traditional bakery retailer to a modern food-to-go brand”. The chain continues to follow food “trends” to drive frequency and engage a wider audience, citing its iced drinks range as an example.
Despite Greggs’ continued commitment to its strategy, Currie did acknowledge weak consumer sentiment, alongside “volatile weather” has posed problems.
“There’s a sort of plethora of issues that you’re having to fight hard against. I think what’s important to us is against the competitors we are doing well,” she said, adding that the brand is “never resting” on its strategy.
