Digital price tags: Sainsbury's trials digital labels - will there be dynamic pricing in shops and stores?

• Sainsbury’s is trialling electronic shelf-edge labels in select larger stores across the UK
• The digital tags allow real-time price updates and could pave the way for dynamic pricing
• Items like alcohol and health products are among the first to feature the new labels
• The move follows similar trials by Asda, Waitrose, Morrisons, Lidl, and the Co-op
• Supporters say the system improves efficiency, reduces paper waste, and boosts transparency

A major UK supermarket may be quietly ringing in the end of paper price tags, as it joins a growing list of retailers trialling electronic shelf-edge labels - a change that could pave the way for real-time, Uber-style pricing.

Sainsbury’s has rolled out the digital price tags in select larger stores as part of a limited trial. The new labels have appeared on items like beers, wines, spirits, and health products.

Powered by a wireless network, the technology allows prices to be updated remotely at the click of a button - replacing the age-old manual process of swapping out paper tickets.

Is dynamic pricing coming?

The small digital displays show product prices and information, and unlike static paper tags, they’re linked to a central database and can be updated wirelessly - instantly and accurately.

This marks more than just a convenience for staff. The system opens the door to dynamic pricing, where costs could rise or fall in real time based on demand - similar to how ride-hailing apps operate during peak hours.

Sainsbury’s has partnered with specialist firm Harrison Retail to create new shelf fixings designed to house the sleek displays. A spokesperson confirmed the trial to The Grocer, adding there was "nothing further" to share at this stage.

The supermarket joins rivals Asda, Waitrose, Morrisons, and Lidl, who are all exploring similar upgrades.

The Co-op is leading the charge, announcing plans to roll out digital labels across its entire network of 2,400 stores by the end of 2026.

Its head of operations, Steven Logue, highlighted the environmental and operational benefits: "The electronic labels have the potential to enhance product information and transparency, avoid paper waste, and make online order picking easier.”

Lidl has echoed the eco-friendly promise, estimating a potential saving of 206 tonnes of carbon annually by reducing paper, packaging, and ink use.

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