Nisa has announced a £6m investment into the wholesale price (WSP) of more than a thousand branded products as part of a strategy to support its retailers.
Using market data to identify key products, Nisa stated that it has reduced the WSP of branded lines across the most important ambient categories to symbol and independent retailers within the convenience market – beers, wines, spirits, soft drinks and tobacco.
This includes a £6.62 reduction on a case of 4-pack Carlsberg Export, a £5.97 saving on a case of Hardys VR Chardonnay, and a £1.48 cut on a case of JPS Players Real Red King Size. In soft drinks, a case of 24 Coca-Cola Regular 330ml cans has a £1.95 saving. A case of Smirnoff Vodka 70cl is currently on promotion at £69.00. However, post this promotion, the new WSP will be £70.74, a saving of £7.72 against the current standard WSP.
Newly appointed Managing Director of Nisa, Peter Batt, has committed to further developing the group’s customer offer as part of its mission to be the “independent retailer’s partner of choice”
Commenting on the price cuts, he said: “I’ve been really clear since taking on this role that Nisa retailers are at the heart of all our decisions and that I’ll listen to their feedback and will deliver on everything we said we would. We know we need to invest in price during these challenging times, and that’s why we’re pleased to be able to provide better wholesale prices into categories which drive high footfall for our retailers, allowing retailers to protect their margins at a time when most business costs are escalating.
“This price investment is only the beginning of the support we are committed to providing our retailers throughout 2023 and beyond. We know that issues such as energy costs and the cost of living are a real concern to our customers, and we are working hard to provide as much support as possible.”
In September last year, Nisa introduced more than 1,000 price reductions on Co-op own brand lines.
NAM Implications:
- On the assumption that branded price cuts will leave sufficient brand premium…
- …to encourage shoppers to switch to O/L equivalents of Nisa retailers.
- Supplier NAMs have obviously checked how these cuts are being funded…
