Berlin
So far, Aldi has set the pace among groceries. Now Lidl is ahead of its competitor with further price increases.
Inflation causes prices to skyrocket. Especially in supermarkets and discounters these price increases are noticeable. Because not only branded articles have increased, the cheaper own brands have also become significantly more expensive.
Lidl customers now have to look forward to more set price increases. According to the “Lebensmittelzeitung” (LZ), some well-known branded products have increased. The grocer raised the prices of Hohes C and Langnese Cremissimo by 50 cents. Volvic mineral water has also become more expensive and now costs 1.15 euros, an increase of 16 cents. The retailer is thus deviating from the previous pattern in which Aldi announces price increases and the others discounters follow up afterwards.
Lidl and Aldi: Own brands are the advertising sign
In their self-promotion, both grocers like to work with comparisons between theirs own brands and branded products. While the prices of the branded products may not be set by the discounter itself, they can determine their own.
the strategy behind it: Although private labels are becoming more expensive, the sometimes significant price difference compared to branded products is emphasized in the advertising.
Edeka and Rewe: The prices for private labels are also increasing here
According to data from the value app service provider Smhaggle, Aldi has raised the price of its own brands by an average of 18 percent. branded products, whose prices are set jointly with the manufacturers, were only 9.2 percent more expensive. At Edeka and Rewe, the price jumps are even more serious: the own brands Gut & Billig (Edeka) and Ja (Rewe) have become 24 percent more expensive in the past seven and a half months.
The price increases have so far paid off for the supermarkets. According to “Lebensmittelzeitung”, the higher prices at Gut & Billig resulted in an increase in sales of 15 percent and nine percent at Ja. In addition, they bring increased prices sometimes a higher unit benefit for the dealers. Because of the increased prices, the difference between the revenues generated and the variable costs is smaller.
According to an LZ analysis of 35 Aldi items, only three products are currently sold at the price of January of the previous year. For all other articles it happened at least once price increases. Aldi left a question from the editors about pricing unanswered. (fmg)
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