Suppliers are facing criticism for reportedly passing the “burden of inflation” onto retailers by squeezing the margin on price-marked products (PMP).
Recent pricing data from wholesalers reveal that the retail margin on a number of core PMP impulse lines has shrunk. For example, the margin on £1.89 2L 7Up dropped from 44.44% to 27.94%, while the profit on £1.49 500ml Monster Energy fell from 40.27% to 35.84%.
Read the full article on the betterRetailing website
NAM Implications:
- Unless we are missing something…
- …the issue appears to be a change in margin without consultation with the retailer/wholesaler.
- In which case, back to the drawing board…
- Fast!
