Brand manufacturers are complaining that retail alliance Epic Partners, which was recently formed at the initiative of Edeka, is abusing its power to put pressure on suppliers.
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French retailers Intermarché and Groupe Casino have now officially started the partnership, which they had announced earlier this year. The launch is part of the radical redesign that the European purchasing landscape is undergoing.
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Since the corona pandemic, e-commerce has been an absolute top priority for food retailers, but the profitability of online shopping remains a major challenge. McKinsey defines three conditions for a successful digital transformation.
Edeka has increased its stake in Picnic. Since last week, the top man of the German group, Markus Mosa, is also board member at the Dutch online supermarket.
Like many other supermarket chains, Edeka fully benefited from the corona crisis last year. The group's approximately 3,600 independent retailers were the main growth engine.
French retail groups Casino and Intermarché will not only purchase together, but will also develop digital services and produce private labels. It is the start of a redrawing of the French - and European - purchasing landscape.
The implosion of the AgeCore alliance is sharpening the conflict of interests between supermarkets and brand manufacturers: multinationals are demanding action against abuse of power, while food retailers are defending the free market. Warning: even bigger buying groups may be in the making.
As retail alliance AgeCore breaks up, a movement of alliances in food retail is imminent. This could lead to a further spread of unfair trading practices in the EU, brand manufacturers fear.
After German Edeka, French retailer Intermarché also wants to leave the AgeCore alliance. In the background is a redrawing of the landscape of French purchasing alliances: "Everyone talks to everyone".
The future of European retail alliance AgeCore is highly uncertain now that German supermarket chain Edeka is cancelling its membership. One of the reasons is a lawsuit in France about possible abuse of power.
German supermarket group Edeka - which has an interest in Dutch web supermarket Picnic - is selling its delivery service Bringmeister to Czech investment group Rockaway. This may increase German online competition.
The German competition watchdog has approved the acquisition of a total of 116 Real stores by Kaufland and Globus. Edeka also wanted to acquire a number of stores, but this decision was postponed.
Dirk Depoorter, general manager of Retail Partners Colruyt Group, will next year lead the European retail alliance Agecore, which has been regularly in the news in recent years due to trade disputes with major FMCG suppliers.
Supermarket chain Edeka intends to double its stake in the Dutch online supermarket Picnic. The German market leader currently owns 10 percent of Picnic International and 35 percent of Picnic Germany.
In five years' time, Picnic wants to be a major international player. A new purchasing alliance with German market leader Edeka and the launch of its own private label should make that possible: France and the United Kingdom are already in sight.
In Germany, a reduction in VAT leads to an unseen price war, with rivals Aldi and Lidl using comparative advertising to claim price leadership.