Monday, 27 September 2021

Suppliers Seeking Support To Push Through Price Increases In Coming Weeks

Higher supply chain costs are expected to drive up prices in supermarkets by at least 5% in the coming weeks, with more increases to follow.

NamNews Implications:
  • Time to take a 5% increase for granted...?
  • Perhaps some what-ifs re 10% increases in your category might be of benefit?
  • More importantly, it is essential to place these inevitable increases within a realistic context of:
    • Shell-shocked consumers emerging from the trauma of 18 month lockdown
    • To face the uncertainties of job security
    • Increased taxation vs lower public services
    • A super-savvy consumer better able to calculate ingredient cost in foods
    • More determined to demand demonstrable value for money
    • At the very least, this will result in a reduction in demand for products that do not have a clear competitive edge over alternatives available
  • Welcome to the new norm of consumer demand...

#Inflation #PriceIncreases #ConsumerDemand

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