Chocolate price War Erupts as grocers Battle for Holiday Spending
Oslo,Norway – Unusually low chocolate prices are hitting Norwegian grocery shelves this week,as retailers engage in fierce competition for consumer spending ahead of the Christmas season. The price cuts, impacting popular brands like Freia and Stratos, are prompting calls for shoppers to carefully compare “kilo prices” to ensure they’re getting the best value.
The aggressive discounting is a typical tactic employed by grocery chains to attract customers during the crucial pre-Christmas period, when household spending significantly increases. According to consumer economist Ditlef Gisholt, retailers are closely monitoring each other’s pricing, often matching cuts to remain competitive - even on popular items like chocolate. “That’s why they sit scowling at each other. they follow each other with arguable eyes.If one dumps the prices, the others follow suit,” gisholt stated.
Currently, both Freia’s 200-gram milk chocolate and Stratos’ 150-gram bars are being sold for 29.90 NOK, highlighting the importance of comparing weights when assessing value. Gisholt emphasizes that while some items are offered at a loss to draw customers in, retailers compensate by increasing prices on other goods to maintain overall profitability. “what the shops sell at a loss,they make up for in other goods. they obviously make sure that, they earn as much as before,” he explained.
The practice of selling goods at a loss has drawn criticism from some retailers. A Rema 1000 merchant, speaking anonymously to Gisholt, questioned the strategy of discounting high-demand items like ribs, stating, “Why should I sell ribs at a loss? It’s something everyone wants to buy.” Some industry observers believe such practices are detrimental to sustainable pricing.
