Categories: Market

Will prices drop soon?

Retail margins are low. With the entry of two German discount companies, Aldi (2005) and Lidl (2009), competition intensified and the pressure to be more efficient increased. Migros now wants to organize its fragmented supermarket business more efficiently. The “orange giant” examines how the supermarket business could be run in an independent, centrally controlled company in the future.

When asked about a preliminary report by the business magazine “Bilanz” on Thursday, a Migros spokesperson said that it was decided by the Migros Cooperatives Federation (MGB) management and ten regional cooperatives. For this purpose, a joint project was initiated.

Complex supermarket business

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The aim is to simplify and organize Migros’ supermarket business more effectively. Concretely, this means cost savings. According to the spokesperson, customers will benefit from an even better price-performance ratio in the future.

Operated by ten regional cooperatives, the Migros supermarket business is complex: to date, the national product range has often been ordered on behalf of VQA. Migros spokesperson said that regional cooperatives can also purchase their own products. As a rule, these are regional products.

Supermarket AG coming?

Mixed teams are now formed between the group center (MGB) and regional cooperatives. Migros spokesperson says that the relevant Migros bodies should consider how to continue the development of the new supermarket organization so that they can make more decisions next year.

Migros spokesperson said, “We do not want to comment on this issue.”

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A concrete timetable for restructuring cannot yet be given. The spokesperson said that mixed teams should be established first. (SDA/shq)

Source :Blick

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