as one Carrefour Sunday What’s right at the center? barcelonafull ramblasThe gap is all too obvious. They’re next to a seven-shelf shelf Carrefour brand potato chips, Frit Ravich, Espinaler and San Nicasio, two identical cabinets but their shelves are almost empty. six bags Lay’s Gourmet about 5 styles on one side and the other Villagersa little less than a dozen of them salt and vinegarand about fifteen Ruffles that taste like ham and cheeseis the only trace left of the bagged potato chips produced by the PepsiCo group. The French supermarket chain announced in France a few days ago that it would stop selling all products from this food and beverage company due to the “unacceptable price increase” and that this break in relations would last until 2020. Belgium, Spain And Italy. Here in the Catalan capital, a sign informing customers about this was not hung, as is now done in France, but in many establishments of the chain this decision is already noticeable.
in a particular situation Carrefour Market Located on Las Ramblas (a scaled-down version of a shopping mall’s more typical hypermarkets), its managers attribute this lack of product to the central location and the large number of tourists who visit them; Which means it’s not uncommon for them to destroy products in this kind of style. Same pressure on beverage shelves Pepsi A worker explains how much rival Coca-Cola sells in Catalonia. They say they don’t know anything about whether more stock will arrive, but another of the Carrefour Markets that the brand has spread across Barcelona answers them: No.
“See some Lays? You’ll see less of them soon: if these run out, we won’t stock them anymore“says an executive, confirming that PepsiCo has also increased prices heavily in Spain. “Customers are happy: they understand it as a protection measure, they know that If the product is growing too much for us, they are the ones making the impact.” he adds. He does not realize that there will already be an informational poster; simply, the space previously occupied by potatoes of this brand will be occupied by others.
At the third operation of the chain, another worker bites his tongue. If you ask as a journalist, you will be directed to the press department (which refuses to comment on the matter). If you, as a customer, ask if there will be more Lay’s coming, the answer is “I don’t know.” As in the other four Carrefour Markets in Barcelona, emptiness is starting to become apparent on these shelves.
PepsiCo now blames Carrefour
In his name, PepsiCo assures negotiations are still open. “We have been in talks with Carrefour for months and will continue to dialogue in good faith to guarantee the availability of our products,” the company told every media outlet that requested it.
However, when viewed at the international level, the situation seems far from harmonious. Yesterday he Wall Street Magazine a spokesperson posted this PepsiCo now claims it was the one who cut ties with Carrefour. “We stopped supplying to Carrefour at the end of the year, given that no agreement was reached on the new contract, we knew this could happen,” this person explains, but adds that he hopes to be able to reach an agreement soon so that its products can return to the shelves of these supermarkets.
Reaction from other supermarkets
In one way or another, This is not the first time Carrefour has behaved this way towards customers. An industry source said the chain also launched a campaign in France last year, highlighting which products were placed on the same shelves, a practice known as refflation: maintaining the price but offering fewer products to consumers. customer. customer. “They’ve upped the tone now, it’s a more aggressive approach but it’s somewhat along the same lines: The consumer is perceiving that These prices are raised from the very beginning and this is not a supermarket issue.“, analyzes this source.
For this very reason, it is justified to wonder whether other chains will make a similar decision. As a result, Carrefour becomes the second ‘super’ with the largest market share in Spain, which gives the veto a little more importance, if possible. However, most of his rivals refuse to comment on the matter. Also employers’ associations and representative associations of these companies.
“It’s clear that there is a tightening of margins in manufacturing, in industry, in distribution… But from there, every company is a world, and every company is a world. “Every brand has its own pricing and bargaining policy.”, analyzes another source from the industry. Only a spokesman for one of the chains competing with Carrefour dares to open the door a little. “The measure could go beyond Carrefour,” he jumps out.