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Old 11-04-2005, 22:59   #12
ian@huth
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Re: Price Fixing in Supermarkets...

Quote:
Originally Posted by andygrif
Another trick is that the supermarket will get a new product in from a branded supplier, then copy their product and slap an own-brand label on it. After this they will order less of the branded product, so people are forced to buy the own brand one...then the supermarket delists the branded product citing poor sales.

Clever eh?
Not really clever. Many people like having the better known brands and will pay the extra for them. If you don't stock the top brands you run the risk of high customer churn. You have to also take account of how supermarkets make their money, it is not just from sales. They make a nice profit from selling shelf space and positioning to the major brands.
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