Grocery prices up over 5% in year

Nanazolie

Great.... http://www.irishtimes.com/newspaper/breaking/2011/0713/breaking21.html

Competition? Could do better!:mad:

“Last August, we observed that price matching appeared to be a feature of the Irish grocery market. The latest results suggest that this remains the case,” agency chef executive of Ann Fitzgerald said. “In particular, it is striking that 37 per cent of individual products surveyed had identical prices across all five retailers. Rather than seeing the emergence of a real champion of better value, we observe that grocery retailers in the Irish market remain tightly focused on matching, but not beating, the prices of their competitors."

But that's a great point:

This indicates shoppers are responding to price increases and have altered their buying behaviour either by buying more items on promotion, switching to own brand or private label equivalents of branded grocery items or by reducing the quantity purchased. This price sensitivity marks a relatively new departure for shoppers who, during the boom years, displayed very little of these value-seeking behaviours.

syklops

This indicates shoppers are responding to price increases and have altered their buying behaviour either by buying more items on promotion, switching to own brand or private label equivalents of branded grocery items or by reducing the quantity purchased. This price sensitivity marks a relatively new departure for shoppers who, during the boom years, displayed very little of these value-seeking behaviours.

There is no mention of Aldi or Lidl in the report. Many many people during the boom years displayed value-seeking behaviours by shopping at Lidl/Aldi when they first arrived, way back in 2000, however they seem to be consistently forgotten about in reports such as this and so a fair comparison can not be made.

To be honest, I would not put Superquinn and Value-seeking in the same sentence. 26

borderlinemeath

Same situation in the UK

http://www.dailymail.co.uk/news/article-2011497/Families-face-tighter-squeeze-droughts-floods-force-food-prices-6.html

http://www.guardian.co.uk/business/2011/jul/07/food-prices-head-back-to-record-levels

It's mainly due to worldwide food prices rising. The last thing that retailers want to do is increase prices. Only last month Tesco announced a decrease in sales in the Irish market, people just aren't buying as much as they used to with less cash in their pockets.

http://www.irishtimes.com/newspaper/finance/2011/0615/1224298936173.html

maxer68

Same in UK
Same in France
Same in Libiya (its one of the reasons for the uprising)
Same in China
Same in India
Same in USA
Same in Brazil.

Same in every country in the world.

Commodity prices have risen substantially, most if these are food commodities. Guess what, when these rise, so do prices in the shops.

Not rocket science.

Likewise when the fall, so do prices in the shops as borne out by the food price DEFLATION that was happening during 2007, 2008 & 2009.

Nanazolie

maxer68 wrote: »

Same in UK
Same in France
Same in Libiya (its one of the reasons for the uprising)
Same in China
Same in India
Same in USA
Same in Brazil.

Same in every country in the world.

Commodity prices have risen substantially, most if these are food commodities. Guess what, when these rise, so do prices in the shops.

Not rocket science.

Likewise when the fall, so do prices in the shops as borne out by the food price DEFLATION that was happening during 2007, 2008 & 2009.

Yes, that's fair enough (and on my last trip to France, prices had really gone up). I'm just only slightly annoyed that the medias announced a short while ago that prices had gone down the fastest in the EU. I didn't find my shopping bill any cheaper, some items did go down, must so many went up that in the end my weekly shopping was noticeably dearer.

I also find it annoying when the shops are awash with "price match" signs. It doesn't really make sense, claiming to be "as cheap" (or as dear, depending which angle you are looking at it) as your competitors. Should the shops not put more efforts into showing they are cheaper (at least on some items)? It's the part I highlighted in the article

borderlinemeath

Nanazolie wrote: »

Yes, that's fair enough (and on my last trip to France, prices had really gone up). I'm just only slightly annoyed that the medias announced a short while ago that prices had gone down the fastest in the EU. I didn't find my shopping bill any cheaper, some items did go down, must so many went up that in the end my weekly shopping was noticeably dearer.

I also find it annoying when the shops are awash with "price match" signs. It doesn't really make sense, claiming to be "as cheap" (or as dear, depending which angle you are looking at it) as your competitors. Should the shops not put more efforts into showing they are cheaper (at least on some items)? It's the part I highlighted in the article

And then what? Each shop keeps going cheaper and cheaper until the goods are cost price? Or sold under cost as a loss leader? Because that is what happens.

Remember at Christmas, Dunnes sold Melons, Sprouts, Pineapples and Clemantines at 49c, and within the day Tesco had reacted and priced the same goods at 48c or 46c or something equally as ridiculous. The result was that the "enticement" that Dunnes had used to get people into their stores to do their Christmas shopping instead of Tesco didn't work so in effect it was money down the drain. They'll think twice before offering anything like it again so the best they do is match their competitors. And vice versa with Tesco.