The Lidl brand is committed to the French to help them fight against inflation. Worried about a next wave which could mark a new rise in prices next spring, it notably announced the launch of an anti-inflation basket which will allow its customers to compensate for the reduction in their purchasing power. The company has always been keen to position itself as a leader in the fight against the high cost of living.
Lidl France’s purchasing director warns of a new wave of inflation
Our cash receipt at the supermarket could increase a little more in the coming months. In any case, this is the forecast made by Lidl’s purchasing director, Michel Biero. According to him, it is indeed inevitable that inflation will experience a new wave. Consumers should therefore expect a gradual increase over the next three months, particularly on national brand products, partly due to tense negotiations between producers and large retailers.
Michel Biero indeed explains that suppliers are asking for price increases, because they need them. However, these increases are within a range of 15 to 50%, which will inevitably have an impact on the selling price of many items, particularly in the drugstore, perfumery and hygiene sectors.
To comply with the law and maintain its margins, Lidl will indeed be forced to pass on this increase to prices from March. The months of March, April and May will, according to him, be very complicated, especially for coffee, cosmetics, tea, drinks, the prices of which could explode. However, the increases will not be immediate if the distributors decide to sell their stocks, in particular of low-rotation products (such as soft drinks, for example).
Lidl’s anti-inflation initiatives
In addition to this inventory disposal strategy, Lidl recently announced the launch of its anti-inflation basket. The brand’s customers will indeed be able to benefit from low prices from February 1 on around fifty everyday products available in the Lidl catalog for this week of 2023.
The brand joins the ranks of other distribution players (such as Système U) who have responded to the government’s call to help consumers compensate for the loss of their purchasing power.
According to Michel Biero, always, the anti-inflation basket of Lidl France should include around fifty everyday products. Some of the items made available to its customers will also come from organic farming so that everyone can have access to a healthy and balanced diet. The Purchasing Director adds that in his opinion, twenty inflation-protected products was not enough. He also said he wanted to take the products that are found most in the closet of the French.
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