Stopping the Flow of Irish Money to the North

gurramok

Seems Tesco Ireland might be copping on. They deserve the mud of their overpricing to be stuck on them.
http://www.independent.ie/national-news/tesco-price-plan-will-bypass-irish-suppliers-1711740.html

TESCO Ireland said yesterday that comparisons with Northern Ireland prices are damaging their reputation and sales, forcing them to start purchasing more goods directly through the UK supply network in order to narrow the gap.

A confidential document circulated to suppliers said they were moving to source all international branded goods directly through their UK commercial operation because of the damage done by higher prices in the Republic. "Consumers, media and Government associate Tesco Ireland almost exclusively with price differentials between Northern Ireland and Ireland," it said.

Damage

"Having invested circa £3bn (€3.4bn) in Ireland, the damage to the Tesco Ireland brand by our almost exclusive association with the retail premium versus Northern Ireland is unacceptable," the document added.

Because Tesco did not have a strong presence in the border towns, the impact of cross-border shopping did not "net out" across the group through increased sales there, as would be the case for international suppliers, it added.

The result was that like-for-like sales had been "well below expectation", particularly for branded goods, according to the report, details of which were published in online newsletter 'Retail Intelligence' yesterday.

Tesco Ireland spokesman Dermot Breen confirmed that the chain is moving to source most of its international branded groceries through the UK.

However, this would not impact on Irish-produced goods which would continue to be sourced directly in Ireland, he said. "We are buying centrally for the international branded products, but Irish products are purchased locally and that will continue to be the case," he said.

The new purchasing pattern will apply to packaged branded goods which are generally produced overseas, such as soups, cereals, jars, toiletries, nappies and baby products; but not to fresh products such as meat and milk which are mostly produced and sourced in Ireland.

The switch to centralised purchasing through the UK chain is believed to be nearing completion.

We'll wait and see if they actually keep the prices down this time instead of doing the usual conjob of cutting and the raising them in cycles.

gurramok

And ASDA are allegedly coming to Dundalk in 2011. http://www.dundalkdemocrat.ie/dundalknews/ASDA-heading-for-Dundalk.5171110.jp

If only, it will slash grocery prices down here.

Cicero

K-9 ...I hear what you are saying about Northern prices/wages etc ....however, there is more to sort than just prices/wages...there is a cultural change for all to get used to....
There is still customer service, value for money convenience aspect etc to consider...and speaking for myself... while I see progress, its nothing like what it should be in the 26 counties....today, I paid 5.99 for for the privilage of sitting down in a well known sandwich bar in the south, for a sausage roll and a cup of coffee.. the coffee cup had a crack in it--- I had to point this out, and was presented with another one, coupled with a sigh and .., with the excuse that' we are waiting on new cups to arrive' ..sorry...

Well ...sorry, this isn't good enough ...sorry but I'll continue to spend X 100 EURO per annum in NI and stuff that and all other sandwich bars in the 26 counties of Ireland...I am a customer and until I am appreciated and greeted as such, then I'll take my business elsewhere ..and stuff the begrudgers...

Tech3

So VAT hasnt decreased a very bad decision from the government. IF they want to drive down public sector costs (ie. social welfare) then they need to drive down the cost of living. I have been banging on about the decrease of VAT for a while now while decreasing diesel by 5 cent not increasing it.

They have basically done more damage in that respect than what was in pre budget. The cost of fuels need to be reduced to the floor in order to get the country competitive again especially against the North. Towns such as Sligo has been badly hit already with cross border shopping. It obvious the ministers havnt really noted problems in this area enough. Electricity is a main concern as it has been widely reported that it costs nearly double the amount that is required to run a shop in the U.K as it is to here.

K-9

Cicero wrote: »

K-9 ...I hear what you are saying about Northern prices/wages etc ....however, there is more to sort than just prices/wages...there is a cultural change for all to get used to....
There is still customer service, value for money convenience aspect etc to consider...and speaking for myself... while I see progress, its nothing like what it should be in the 26 counties....today, I paid 5.99 for for the privilage of sitting down in a well known sandwich bar in the south, for a sausage roll and a cup of coffee.. the coffee cup had a crack in it--- I had to point this out, and was presented with another one, coupled with a sigh and .., with the excuse that' we are waiting on new cups to arrive' ..sorry...

Well ...sorry, this isn't good enough ...sorry but I'll continue to spend X 100 EURO per annum in NI and stuff that and all other sandwich bars in the 26 counties of Ireland...I am a customer and until I am appreciated and greeted as such, then I'll take my business elsewhere ..and stuff the begrudgers...

Exactly, I understand perfectly why people do it. Got a bit sidetracked with Ntlbell there! €5.99 is ridiculous. I'm sure you'll be in no rush to go back! People are more price conscious though and places like that will either have to cut prices or face closure.

This came up on another thread though, even though rents and interest rates are coming down, many people are still paying for houses at exorbitant prices because their mortgage is over 35/40 years. People actually think that this is a reasonable cost. Madness. Wages are expected to comfortably cover terms like that!

So there are costs that could be cut easily enough, but wages is a big one.

ESB and gas is another one. Up to 4/5 years Ireland was about the EU average for those costs.

Cicero

K-9 wrote: »

Exactly, I understand perfectly why people do it. Got a bit sidetracked with Ntlbell there! €5.99 is ridiculous. I'm sure you'll be in no rush to go back! People are more price conscious though and places like that will either have to cut prices or face closure.

This came up on another thread though, even though rents and interest rates are coming down, many people are still paying for houses at exorbitant prices because their mortgage is over 35/40 years. People actually think that this is a reasonable cost. Madness. Wages are expected to comfortably cover terms like that!


So there are costs that could be cut easily enough, but wages is a big one.

ESB and gas is another one. Up to 4/5 years Ireland was about the EU average for those costs.

Sorry K-9...I really don't see the conncection..and from reading past posts, I actually don't think there is one! ..I'm talking the price of sausage rolls in a well known sandwich bar and you are talking about people with 30/40 year mortgages...I don't think we are going to see eye-to-eye on this subject....so I'm out..:rolleyes:

K-9

Cicero wrote: »

Sorry K-9...I really don't see the conncection..and from reading past posts, I actually don't think there is one! ..I'm talking the price of sausage rolls in a well known sandwich bar and you are talking about people with 30/40 year mortgages...I don't think we are going to see eye-to-eye on this subject....so I'm out..:rolleyes:

Huh?

Sorry for agreeing with you.

Did you read this part?

K-9 wrote:

Exactly, I understand perfectly why people do it. Got a bit sidetracked with Ntlbell there! €5.99 is ridiculous. I'm sure you'll be in no rush to go back! People are more price conscious though and places like that will either have to cut prices or face closure.