While families are overwhelmed by the high costs of the shopping cart and in the midst of a hitherto unsuccessful argument between distribution chains and the Government to make the shopping cart cheaper, The main supermarket in Spain has decided to take a step forward with the aim of reducing the impact of inflation on consumers’ pockets.. And Mercadona has announced a price cut on 500 of its daily consumables, a measure calculated by the Valencia company could mean: Save up to 150 Euros per year for your customers. As such, the firm, led by Juan Roig, joins other similarly focused initiatives announced in the past weeks by other supermarkets such as Carrefour, Dia or Eroski.
With families paying 17% more for food than a year ago, citizens are confused by the movement in France. To offer a shopping cart of more than 200 products at the lowest possible price. All this without any progress in this regard beyond the VAT reduction on certain foods in Spain..
While vice presidents Nadia Calviño and Yolanda Díaz repeatedly sent messages to distribution companies asking them to lower their prices as much as possible, the chains argued that they were facing a cost crisis and therefore useless. discounted prices are just one part of the chain. Moreover, a discussion An atmosphere of tension created by Podemos’s criticism of corporate interestsThey personalized it in Juan Roig, the owner of Mercadona, whom they came to describe as a “ruthless capitalist”.
After much bickering, this very company decided to make a move by price-adjusting its 500 products from this month of April to the end of the year. Despite the obvious political pressure on the industry from the Generalitat through Unides Podem, from the company, they justified the decision in order to foresee a reduction in costs guarantees that it is already slowly produced on the market.
According to Mercadona, the measure that is carried out without touching the quality of the products and guarantees the sustainability of the entire food chain (suppliers, producer sector, company and employees) will mean: 200 million Euro savings for customers by the end of 2023. The same sources underline that the impact to the company’s margin will be 0.6 pp, which is added to the 1.1 pp reduction the company has made since 2020 to minimize the significant increase in origin and industry cost prices.
Daily consumption
Discounts on 500 products, most of which will be spotted in stores, Applicable to a large number of foods for daily consumption located in different departments. This applies to canned goods such as tuna, dairy products such as some cheeses and yogurts, nuts, oils, household cleaning and care, pet food, pastries, wineries or perfumes. Likewise, when it comes to fresh produce, the company will take advantage of market opportunities to lower the price. As an example, zucchini, fish, or turkey breast are also items to be appropriately identified.
With this announcement, Mercadona joined other supermarkets that have announced measures in recent days. Without going any further, Carrefour decided to hand over the promotion in force in France.It is marketed at the lowest price in its category with its catalog containing more than 200 essential products. Dia also took measures to save money with weekly promotions of up to 30% on more than 100 products. In the case of Eroski, it was the first company to break the trend by launching a campaign in mid-March to lower the price by up to a thousand references.
Consum, on the other hand, has a membership card that brings 80% of its customers together and benefits from 1.25% discount on total shopping. They explain that they are participating in the Generalitat trading bonus, in addition to trying to offer the consumer the best prices on Hiperber.. At Masymas they also maintain a limited pricing policy and rely on different research to highlight that they are the cheapest on the market at Alcampo. Aldi and Lidl did not provide information about their offers.
The importance of Mercadona now announcing this price reduction on its products, ability to drag many other companies because of his leadership position.
Finally, they explain from the Valencia Community Supermarkets Association (Asucova) that all companies try to promote promotions at the expense of reducing their profits.