Rema has received a number of “best friends” among the suppliers in the grocery store Norway the last time. It is the consequence of negotiations between suppliers and grocery chains during the annual høstjakten.
Rema will not find themselves in that competitors Coop and Norgegruppen sticking with the cheapest innkjøpsordningene with suppliers. In October, the proposed Rema to the suppliers.
– Will you be our “best friend”, it means you are our hovedsatsing. We don’t need two kinds of salt potetchips or two types of the same jam, ” said executive vice president for strategy and procurement in Rema 1000 Norge, Lars Kristian Lindberg, to the suppliers, according to Aftenposten.
best friend-the strategy is to thin the number of brands in the assortment, and enter into long-term and exclusive agreements with fewer suppliers. I mean any “best friends” is to get rolled out more goods with better visibility in Retail stores. In addition, it offers Retail deals that run from three to five years.
If a provider fails to get in the harbor a “best friend”agreement with Rema, run the risk of the contractor losing hylleplasser among Norway’s third largest grocery chain.
– Some have lost contracts, and others have gotten better deals when Rema now concentrating on fewer suppliers. This can lead to a narrower range of well-known brands and less competition on the shelf, ” said Helge Hasselgård, the leader of the Dagligvareleverandørenes association, to E24.
Retains only Coca-Cola and Zero
One of the new “bestevennene” is Ringnes, which will be transferred to Rema in drikkevarekategorien the next three years. It is bad news for its competitor, Coca-Cola.
Rema 1000 confirms to E24 that Coca-Cola original and Coke Zero are the only remaining brustypene from the Coca-Cola brand at Retail in 2017.
this clears both Fanta, Sprite, Urge, Kuli and Tab X-tra from the range.
head of communication Mette Vinther Talberg in the Coca-Cola tells, however, that brusleverandøren still is in negotiations with Rema 1000 for co-operation in 2017.
– We are still in negotiations, so nothing is settled yet, ” she says.
– But it is well on the cards with the “best friend”-the strategy that you run the risk of Rema takes less varetyper from you?
– “best friend””strategy to Rema based on fewer providers, and choice in all categories, also drink,” she says.
Vinther Talberg believes the consumer is the loser with hovedsatsingene to the Rema.
We have previously said that we are skeptical of the Rema “best friend-strategy”, because it reduces the competition in the Norwegian grocery trade and gives consumers a much worse choice, ” she says.
To answer the executive director of category and procurement in Rema 1000, Lars Kristian Lindberg, on the criticism:
– First and foremost, the notes we us that Coca-Cola who have previously been positive to the “best friend”strategy, now seems to have changed the meaning, he says to E24.
Rema shows otherwise to the statements from the Lindberg press release “Rema 1000 prioritizes the sugar-free products in 2017″.
Ringnes: – There will still be competition
the Provider that is the Rema “best friend”” will be the chain’s hovedsatsing. Ringnes has just now been given a three year contract in the port, which is substantially longer than an ordinary supplier in dagligvarebransjen.
The way to set up running a retail operation is completely new for us, and it is difficult to say with certainty what it will involve, says communications manager at Ringnes, Nicolay Bruusgaard, to E24.
– There will still be competition, but at a different level.
– at the same time we are aware that there are great expectations for a main, and that the other is ready to take over if we don’t do a good job.
– So this “best friend”-the strategy of Rema works, so would one of the competitors their been selected if not you became the “best friend”. When would you lost revenue?
We take a starting point in what is the situation, and that is that we have been given the opportunity, and then we need to prove ourselves trust worthy, ” says Bruusgaard.
– Had to Ringnes stretch far?
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– For to say it like that, for us, there are two main factors that are important. One is cost – the more we sell of a commodity, the more we can go down in price. The cost decreases with larger volume. The second factor is about markedsføringsverdi. The more visibility, the more value back to us. This is, of course, important in the negotiations with all our customers. Beyond that, I can’t comment on the numbers, ” he says.
” This agreement means that norway post will get a lower purchase price, while you get more visibility?
– Yes, as I said. One is costs, so we get visibility or markedsføringsverdi back, ” says Bruusgaard.
Kims disappear from the Rema-shelves
another supplier that has got to taste the consequences of the “best friend””strategy, is the bank of the River.
– We have no strong views about it. What is known, and as we have communicated previously, is that the Kims and most of the Kims’ products going out of the Rema. Beyond that we have no comment, ” says executive vice president of communication and Corporate Affairs at Orkla, Håkon Mageli, to E24.
In practice, this means that all potetløv products from Kims disappear from the shelves to the Rema. What the River thinks about that Maarud is selected as the Rema “best friend”, do not want Mageli to say something about.
We find it not appropriate to comment on our customers ‘ strategy in the media.
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