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Tesco sparks divorce price war

Added: (Wed Jun 23 2004)

Pressbox (Press Release) - Tesco’s much publicised announcement that it to sell divorce kits online from £7.49 has sparked a price war and a war of words amongst the existing online divorce providers.

Divorce-Online the largest supplier of self-help divorces, which has been trading since 1999, immediately reduced the price of its basic DIY package to just £6.99 in order to steal a march on their bigger rivals.

Divorce-Online claim that for Tesco to make anywhere near what Divorce-Online make in revenues, they are going to have to get at least 55,000 consumers to process their divorces each year and with the total amount of divorces amounting to 140,000 that amounts to a huge market share.

Divorce-Online currently provides its services to just above 2% of the market.

Mark Keenan the CEO of Divorce-Online, says that the product being sold by Tesco is going to be pretty useless to the majority of potential divorcees in that it is just blank forms and a guide which you can obtain for absolutely nothing from your local court or from the court service website, whereas with the Divorce-Online service, all the documents are completed for the user, edited and checked and there is free ongoing telephone or e-mail support throughout the process from experienced divorce lawyers. With the Tesco service, you are on your own and if you make a mistake the court will charge a fee of £50.00 each time the documents need to be amended.

Divorce-Online expect to receive telephone calls from consumers who have bought the paper kit wanting advice.

Their advice will be to put it in the bin.

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