In 1994, Lidl opened its first retail store in the UK. At the same time, Morrisons was engaged in one of its most ambitious brand projects to date: creating its own-brand wine range.

I still remember presenting concepts in a vast boardroom on the top floor of Morrisons’ head office in Bradford. Around a dozen people were seated at the table, their expressions ranging from enthusiastic to inscrutable, but all intensely focused. At the centre was Ken Morrison (later Sir Ken), his expression as impenetrable as the gaze of a sphinx.

Afterwards, the Beer, Wine and Spirits brand manager told me he thought the presentation had gone well, thus the design strategy was approved. Our agency, Pemberton & Whitefoord, had already created many wine labels for Tesco, M&S, and the Japanese retailer Seicomart, so we weren’t short on experience. But this project felt different. We weren’t just adding to an established range; we were building a strategy from scratch. That carried both excitement and a real sense of responsibility.

Although the scope now seems modest (about 40 wines across five nationalities), introducing a new string to the Morrisons’ bow was not taken lightly.

In the weeks following that first presentation, I made several trips to Yorkshire to present design developments. Some meetings were at head office, others in stores across Bradford, Leeds, and Wakefield. Each visit included a store tour, conducted not out of duty but with genuine pride.

Every store showcased the Morrisons “Market Street” concept. Sections styled like individual stalls for butchers, fishmongers and bakers. A cynic might have found it twee, but shoppers seemed to love it. It brought a sense of the high street into the supermarket, preserving a community feel. Even the cab drivers I spoke to on my way back to Wakefield Westgate station were unanimous in their praise.

From Safeway to Stumble

Fast-forward to 2004 and Morrisons’ purchase of Safeway. At the time, we were also working with Safeway, designing packaging for various grocery lines. Strategically, the acquisition made sense, it opened the door to the South of England, but culturally, Morrisons and Safeway were chalk and cheese.

The customers were different too, yet most of Safeway’s 479 stores were rebranded as Morrisons, with the remainder sold off.

When Sir Ken stepped down as chairman in 2008, Morrisons faced a new challenge: trying to serve both its traditional Northern customer base and its newly acquired Southern shoppers. Sir Ken famously remarked, “I don’t even know what a middle-class shopper is.”

The “Market Street” concept became a shadow of its former self. Coupled with the debt burden from private equity ownership and ill-judged diversifications, such as the purchase of baby goods retailer Kiddicare, Morrisons began to look like a punch-drunk fighter, struggling to find its rhythm.

Today’s Ring: Lidl Lands the Blow

Now, Lidl has overtaken Morrisons to become the UK’s fifth-largest supermarket for food and drink sales. According to Kantar, Lidl holds 7.7% of the market to Morrisons’ 7.6%. That 0.1% gap may seem small, but symbolically it’s huge.

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Two German-owned retailers, Aldi and Lidl, are now in the UK’s top five, while heritage names like Waitrose and M&S linger in eighth and ninth place.

In the current retail bout, Morrisons is the plucky, reliable lad from Bradford (born 1899), while Lidl is the nimble-footed Teutonic challenger. Morrisons has heart and loyal fans, but its punches are limited, and defence alone won’t win the fight. Lidl, though younger in the UK market, comes in swinging with targeted, unpredictable shots from all angles.

The Lidl Playbook

Lidl’s success isn’t just about undercutting on price. It’s a discounter, but it boxes clever. Many people attribute its rise purely to economic pressures and the need for cheaper weekly shops. But the reality is more nuanced: Lidl offers a different shopping experience, one that still surprises analysts and delights many customers.

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Shoppers increasingly want variety, excitement and even a little unpredictability. Lidl has turned what could be a weakness into a strength. Its ever-changing “middle aisle” promotions bring in international foods, Greek, Asian and more, for short runs at rock-bottom prices.

Behind the scenes, Lidl times these offers to match supplier deals; in-store, customers see only inspiration and value. Add personalised coupons, birthday rewards, twice-weekly non-food specials, 20% off bakery after 7pm, and even a coupon-packed in-store magazine, and you have an experience that feels lively, fresh and worth returning for.

Morrisons: The Way Forward

Should Morrisons simply try to copy the discounters, cut prices to the bone, reduce ranges, and play them at their own game? I don’t think so.

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Sometimes the best way to win is to stop glancing over your shoulder at your competitors and instead lean into your own strengths.

Rather than stripping out fresh meat and fish counters, Morrisons should revive and adapt “Market Street” to today’s consumer habits, bringing quality, value, and theatre back into the experience. Why not have fresh pizza dough spun in-store on weekend mornings? Why not run cooking demos and tastings using “Market Street” products?

Highlight the quality and craft of in-store staff, build an emotional connection between customers and the people who serve them, and innovate in own-brand products to match changing tastes.

Morrisons also has a strong local and British sourcing story to tell. Expanding the Local Foodmakers Programme could differentiate it further, bringing unique, locally sourced products to shelves.

Morrisons has plenty of options to fight back - but it can’t keep standing in the corner, bracing for the next hit. Now is the moment to counterpunch, reclaim its identity, and show it still belongs in the ring. It’s time to step out of retirement and remind shoppers exactly why it deserves its place among the top five.