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Is the power balance changing in the retail value chain?

"Private labels are gaining ground and volume will double over the next few years. This represents a huge challenge for existing brands, and does not necessarily add value to the consumer offering”


Erik Fagerlid, retail expert, PA Consulting Group

Erik FagerlidFBI Ekstra; “Høstjakt i matvarebransjen”, NRK25 October 2011


TV interview

Erik Fagerlid, PA Norway’s retail expert, was recently featured as part of a debate on Norway’s national TV channel NRK2. The debate between Norway’s No 1 retailer, a major manufacturer, a member of the Norwegian National Consumer Council and Erik discussed whether the power balance in the retail value chain was being disrupted by recent retail industry developments. The panel specifically discussed whether the power balance between retail brands and suppliers and the development of “private labels” or “own brands” is influencing prices and the product portfolio available to consumers.

Erik argued that the dynamics in the food and drink value chain in Norway is different from many other countries and that the current direction is not in the best interest of consumers.

You can view the debate (in Norwegian) here.  

To find more about how PA is helping organisations change to become Fit for the Future, click here, or for more on PA’s work in the manufacturing sector, click here or contact us now. 

PA Consulting Group in Norway

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