Tesco stop selling Marmite

  • Thread starter Thread starter mat
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grunge said:
This isn't just Marmite, its all Unilever products. Unilever are behaving like most big corporations will, like physchopaths, they are in it for themselves and have no fucks to give for anyone else. Tesco are fighting back as they dont want to take the hit as they know there customers will not like it and they will just go elsewhere.

Dell already price hiked, Now Unilever, lots of other big corporations will follow. You cant lose nearly 20% of the value of your currency and expect everyting to go smoothly!. Things are going to start getting a lot more expensive on the street soon.
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If they put the price of Ben and Jerry's Cookie Dough Ice cream up I think it'll be time to start dishing out physical retribution to cunts like Boris Johnson and Michael Gove.
 
bluethrunthru said:
On a wider point I am sure a lot of consumers will be surprised that its not producer sells to retailer at a certain price then retailer adds profit margin and sells to us but producer sells to retailer and tells retailer what to charge us.
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That's just semantics really. The producers ultimately always have major leverage over the retail price by being able to adjust their trade prices. And from what I've read, they want to increase the price that Tesco pays by 10%. Do they really care whether Tesco pass that on or not?
 
Dubai Blue said:
That's just semantics really. The producers ultimately always have major leverage over the retail price by being able to adjust their trade prices. And from what I've read, they want to increase the price that Tesco pays by 10%. Do they really care whether Tesco pass that on or not?
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I wouldn't say producers ALWAYS have major leverage as there are many examples of Tesco bullying small producers due to the size of their operation, seems Unilever believe that they are big enough to give Tesco a bit of their own medicine
 
law74 said:
I wouldn't say producers ALWAYS have major leverage as there are many examples of Tesco bullying small producers due to the size of their operation, seems Unilever believe that they are big enough to give Tesco a bit of their own medicine
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You're right, I should have qualified that statement. I meant the major players.
 
I dont understand why some people seem surprised, its just capitalism red in tooth and claw.

its a shit system but it is the only game in town
you need strong regulation to control it so it doesnt fuck over the consumer, but we have just voted to leave the EU that was strong in terms of consumer protection. Its only going to get worse considering this is happening under EU rules. Wait until we are out, it'll be large selfish corporations fighting over who gets to fuck us over the most, with less regulation to stop them.

I am so looking forward to the brexit.
 
law74 said:
I wouldn't say producers ALWAYS have major leverage as there are many examples of Tesco bullying small producers due to the size of their operation, seems Unilever believe that they are big enough to give Tesco a bit of their own medicine
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I suspect you are correct and its the case of the biter bitten with Tesco going public to shift the blame onto Unilever and prepare the ground for their own price hikes saying its those nasty producers are to blame for wanting to maintain their margins when all Tesco would be doing is the same. Either way as predicted when the pound dips in an economy which imports so much the end consumer picks up the tab.
 
Not sure what the fuss is. If I was buying from a Euro company last year for 10 Euro it would have cost me £7.50, now it would be £9.00. Why do Tesco expect to still pay £7.50 and expect their suppliers to take the hit. I'm expecting prices of things my small business buys to increase, especially stuff traded in dollars. I will have no choice but to pass it on in prices.
 
bluethrunthru said:
I suspect you are correct and its the case of the biter bitten with Tesco going public to shift the blame onto Unilever and prepare the ground for their own price hikes saying its those nasty producers are to blame for wanting to maintain their margins when all Tesco would be doing is the same. Either way as predicted when the pound dips in an economy which imports so much the end consumer picks up the tab.
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I think this is misjudged PR from Tesco, seeking to look like the public's friend in front of Big Bad Corp.

Tesco have a public face which can be damaged. Unilever don't really, and will still sell through the other supermarkets - I imagine some of those will leap at the opportunity to look good in comparison to Tesco and will absorb the price hike for a while. Marmite isn't likely to be a large percentage of their income, so it won't really hurt.
 
blueparrot said:
Not sure what the fuss is. If I was buying from a Euro company last year for 10 Euro it would have cost me £7.50, now it would be £9.00. Why do Tesco expect to still pay £7.50 and expect their suppliers to take the hit. I'm expecting prices of things by small business buys to increase, especially stuff traded in dollars. I will have no choice but to pass it on in prices.
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It depends where it's made. You could quite reasonably argue that Unilever shouldn't expect to make the same amount of money in dollars for a product they're making and selling in Britain, just because the pound goes down in value, and they would actually be making more if they'd successfully marketed the product outside of the UK (which I assume they haven't). Tesco could reasonably argue that a product made and sold in Britain should not be affected by current currency fluctuations.

Although it's worth mentioning that fuel and energy prices are likely to increase significantly, and that will make even things produced exclusively in the UK more expensive.
 
Dubai Blue said:
That's just semantics really. The producers ultimately always have major leverage over the retail price by being able to adjust their trade prices. And from what I've read, they want to increase the price that Tesco pays by 10%. Do they really care whether Tesco pass that on or not?
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I'd presume so. Suppose their products are currently competitive on price with rivals and they want to increase their price to Tesco by 10%. If that's passed onto customers then rival products that stay at the original price begin to look like a much better offer, so I'd imagine Unilever want Tesco to absorb the increase.

I think Tesco should pass on the cost to the consumer, demand should fall and then the prices should follow suit and drop to encourage more demand.
 
More labelling needs to be in place on products sold in the UK clearly highlighting where the product is made.

I'd be willing to pay more knowing the product I'm consuming is made here in the UK, rather than buying imports.

I try to avoid brands anyway as well many brands particularly on supermarket shelves are junk food.
Love my weekly shop at Lidl.
With alot of the stuff I'm buying proclaiming to be produced in the UK.

I mean Ben & Jerry's, marmite, pot noodles... It isn't exactly an healthy lifestyle is it.
 
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