Consumer and snacks | Smogot prices are increasing: – Breaking the magic limit

Consumer and snacks |  Smogot prices are increasing: – Breaking the magic limit

(Electronic newspaper): For a long time, snacks were priced at NOK 149 per kilo in Kiwi, Rema 1000 and Extra. Recently, the price was increased by six kroner to 155 kroner.

– They broke the magic limit of 150 kroner. But they think people will accept it. It goes a little under the radar. They can do it quietly, blogger Rune “Gjerrigknarken” Nicolaisen tells Netafsen.

Price conscious

This increases the price differential for small items between so-called discount stores and stores and several other chains.

– Price-conscious people don't shop cheap at Kiwi, Rema and Extra, says Nicolaisen.

-At the moment, Obs is offering a quote of 9.90 per hectare. The menu usually has weekend specials on snacks for $10.90. Bonpress and Europress often offer snacks, too, he says.

– A good amount of psychology

He doesn't think it's a coincidence that stores usually list prices for small goodies Instead of kilograms.

-Snacks are mostly served in hectos, so the higher prices don't seem too bad. He says it's only a few dozen from 14.90 to 15.50.

See answers to the series below: – Cocoa prices rise

He believes it's easy to fool yourself when you only have to choose the “few” good things.

– There's a lot of psychology in this. People think that small goodies don't cost much, but you soon end up with a bag worth a hundred Swedish krona anyway.

-There's no weight on the small goods rack either, so it's easy to pick up a few. It's a bit speculative, he says.

– Much cheaper

It is believed that chains are testing higher prices now to see if people are shopping as much as before.

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– I think there is a great chance that people will do that. Smågodd is still cheap compared to a lot of other junk in the store.

– There are examples of how the same type of chocolate is much cheaper if you buy it as a snack and not as a plate or in a bag. This says something about how important little goodies are to shops.

Gerrigknarken believes it is no coincidence that the prices of the mini sweets are low compared to other sweets.

-Snacks are very important for supermarkets. He says they want to secure the family's weekend shopping, so small goodies are essential.

– Increase in cocoa prices

– The price change is due, among other things, to the increase in prices for cocoa raw materials, says Kiwi Communications Director, Christine Arvin.

She says smågodt is a competitive and popular product.

-We always compare ourselves with our low-cost competitors, and Kiwi has to be the cheapest low-cost chain.

But when it comes to snacks, none of the three discount chains are the cheapest. As with many other items, they have the exact same price.

– Tough competition

Rema 1000 justifies the price increase as follows:

– Our biggest cost is the cost of goods, so the prices on the shelf are mainly controlled by our purchasing prices, says Category and Procurement Manager at Rema 1000, Line Aarnes to Nettavisen.

Cooperation answers as follows:

– Intense competition means snacks have remained cheap for longer, says communications director at Coop, which owns the Extra chain.

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“Despite several years of rising raw material prices, they are still cheap, even after the small adjustment indicated by Netavisin,” he says.

Snack prices

But why are the prices of small sweets still much lower than the prices of many other sweets?

-The reason for the price difference is that we get a cheaper purchase price for small wholesale items. Among other things, it is about packaging, not least the quantity we buy, says Arnes in Rema 1000.

– There may be a relationship between the lack or quantity of a product sold, production costs or price competition. Snacks, for example, are not packaged in their own packaging, and this results in lower production costs, Christiansen says.

Dalila Awolowo

Dalila Awolowo

"Explorer. Unapologetic entrepreneur. Alcohol fanatic. Certified writer. Wannabe tv evangelist. Twitter fanatic. Student. Web scholar. Travel buff."

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