Competitors didn’t follow Aldi’s price moves

Date: 09.01.2023Source: VMB

Shortly before Christmas, a surprising price reduction was initiated by Aldi Germany for butter of its own brand “Milsani”. The end consumer price level, which has been in force since late spring 2022 with a one-month interruption, was lowered by 30c to €1.99/250 g even during the contract phase, which will probably run until the end of January 2023. Mixed fats were also adjusted downwards, as was sweet cream butter, which, however, did not fully follow the price level of the mildly soured variant and remained above the €2/250 g mark.

And in the new year Aldi seems to continue its efforts not to let the butter (prices) be taken from its bread: Now the price for sweet cream butter has also been corrected to €1.99. And completely surprisingly, Aldi also made another correction to the price for its organic butter (own brand): After a first price correction in autumn by 10c, consumer prices have now also been pushed below a strategic-psychological marker, henceforth costing only €2.99.

The fact that these price manoeuvres were carried out rather abruptly by Aldi is proven by the – partly non-existent – reaction of the competitors: at Rewe, for example, the branded butter of the own brand “ja” is still available at €2.29 almost 14 days after Aldi’s price action. And there has been no reaction to the correction in organic butter yet. Not really a good outlook in view of such tactical games in the battle for consumers unsettled by high inflation.


Photo: Valio

Dr. Hans-Jürgen Seufferlein / VMB

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