Supermarket price war has little effect on consumer loyalty

The price war launched by the Albert Heijn supermarket group a month ago, in which it lowered the price of over 1,000 products, has had very little effect on its customer base, says market research group GfK.

Like last year, some 45% of people living in the Netherlands do their shopping at an Albert Heijn supermarket. At the same time, German discount chain Lidl has boosted its share of the market from 23% to 25%, GfK says.

‘It was primarily a defensive action, not like the 2003 price war in which prices were continually being undercut,’ GfK director Joop Holla told Nos television.

Other supermarket groups such as Jumbo, C1000 and Dirk van den Broek have also lowered their prices but not to below Albert Heijn levels, Holla said.

GfK bases its claims on continually monitoring the behaviour of a permanent panel of 1,000 households.

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