“We are prepared to sit back from this activity rather than trying to make small market share gains at any cost,” says Dalton Philips.

The Morrisons chief executive was clear in his view that vouchers will be just one element of the grocer’s promotional mix in the face of tough competition. The grocer returned a decline in like-for-likes for the first time in almost seven years today, announcing a 1% decline in the 13 weeks to April 29.

“[Tesco] has used eight vouchers in the last 15 weeks so its obviously something they feel passionate about. We use vouchers selectively as part of an overall mechanic, sometimes we use fuel promotions, sometime vouchers or our Price Crunch.”

Philips claims that two factors played their part in the lacklustre like-for-like numbers, which contrast with a total sales increase of 1.5% excluding fuel. Firstly, a weak market ravaged by declining volumes as a result of eroded disposable incomes and secondly a first quarter performance last year which was just too difficult to live up to.

The matrimony of a certain William and Kate – as well as an extra bank holiday and good weather over Easter last year – provided an uplift Morrisons has found impossible to match. Morrisons is always the first of the big grocers to report quarterly sales, which makes it difficult to benchmark its performance against the market. In good times, this provides it with a position of strength. But when it has to report figues such as these, it’s an unenviable role. However, Philips believes the other grocers will display similar patterns. Stripping out last year’s phenomena, Philips says like-for-likes would have been flat.

So is this good enough?

Morrisons sceptic Jonathan Pritchard, an analyst at Oriel Securities, believes not. “Morrisons’ Q1 IMS disappointed. Growing EBIT in these conditions will be very difficult, especially as voucher activity is unlikely to wane,” he says. “Morrisons is in a challenged spot right now. It does not have access to the growth parts of the market (convenience and internet), and it is seeing its customer base be eroded from above and below.”

Morrisons has put faith in the belief that its investment in value – which includes its new M Savers range – will win shoppers in the long term. But the grocer’s critics are concerned this overlooks the increasingly promiscuous nature of today’s shopper.

Moreover, Morrisons is fighting in an increasingly competitve segment of the market, with the likes of Sainsburys, Asda and Tesco. And, whilst it has watched as its own share has fallen to 11.9% in the 12 weeks to April 15 this year, from 12.1% in the same period last year, according to Kantar Worldpanel – the likes of Waitrose and the discounters, which operate outside this fierce middle ground, continue to enjoy strong growth.

Whether the £400m investment in refreshing stores and rolling out the grocer’s Fresh Format will be enough to significantly wrest back shoppers from Asda and Tesco remains to be seen.

What is interesting is the way the format – and its M Local offer – is allowing Morrisons to reach a new customer. The grocer recently re-opened a Safeway store in Tunbridge Wells it closed six years ago because its offer did not appeal. Re-opened as a Fresh Format, the grocer is confident its proposition – including improved merchandising and fresh produce on beds of ice – will chime with the affluent middle classes that characterise the local demographic.

Philips has been clear Morrisons is trialling different ideas – be they convenience, non-food or online – but these financials will only increase pressure on the chief executive to communicate a more decisive plan to capitalise on the growth potential of these sectors. But Philips has thus far refused to be rushed, arguing that whilst the business will continue to compete hard, the long view must be taken.

“We believe in profitable growth and that’s how this business has always been run.” Being true to Sir Ken’s core principles then, is still clearly front of mind for one of the new key figures in the retail landscape.