PepsiCO and EDEKA Resume Business After Overcoming Pricing Disputes
Pepsicolas return to Edeka supermarkets - Edeka retailers will once again stock Pepsi products.
Germany's supermarket giants, EDEKA, and its subsidiary Netto, are set to restock the shelves with products from PepsiCo following a resolution of their long-standing price disagreement. A spokesperson from EDEKA confirmed, "After intensive negotiations, we have reached a fruitful understanding with PepsiCo, which will allow us to attain our goals." This announcement aligns with the news reported by Lebensmittel Zeitung. The source suggests that PepsiCo had a strong determination to rebuild their business relationship with EDEKA in Germany.
Consumers can expect the first wave of Pepsi products to reappear in stores by mid-June. However, it may take some time for the entire range of PepsiCo products, including its renowned drinks like Pepsi, Schwip Schwap, and Rockstar energy drink, as well as beloved snacks such as Lay's and Doritos chips, to return to their original spots. The immediate need for ramped-up production makes this process time-consuming.
Although the specifics of the agreement remain under wraps, a PepsiCo spokesperson stated, "By principle, we decline to comment on ongoing negotiations in order to show respect for our trading partners."
In the past two years, PepsiCo products disappeared from EDEKA and Netto's shelves due to the COVD-19 pandemic, the war in Ukraine, and price disputes between brand manufacturers and retailers. EDEKA's CEO, Markus Mosa, publicly accused international brand manufacturers of "greed" and "excessive profit-taking."
Despite the challenges, EDEKA achieved record-breaking sales in 2021, generating € 75.3 billion in turnover, representing a 6.5% increase compared to the previous fiscal year. The company maintained a store count of approximately 10,900 with around 4,400 Netto branches. Its workforce consisted of around 413,000 employees serving nearly 13 million customers daily.
- The resolution of the pricing disputes between PepsiCo and EDEKA will enable the return of numerous PepsiCo products to EDEKA and Netto stores, such as Pepsi, Schwip Schwap, Rockstar energy drink, Lay's, and Doritos chips.
- Vocational training programs will be necessary to ensure a timely increase in production to meet the demands of the retail industry, as consumers can anticipate the first wave of Pepsi products to reappear in stores by mid-June.
- PepsiCo's determination to rebuild its business relationship with EDEKA in Germany has been confirmed, aligning with the news reported by Lebensmittel Zeitung.
- Financial agreement details between PepsiCo and EDEKA are currently confidential, but a PepsiCo spokesperson has confirmed that the companies have reached a fruitful understanding.
- The resumption of business between PepsiCo and EDEKA follows a period of extended absence due to the COVID-19 pandemic, the war in Ukraine, and previous price disputes, with EDEKA's CEO, Markus Mosa, publicly accusing international brand manufacturers of greed and excessive profit-taking.