Name brand oviducts which enjoy loyalty and used that to charge premium prices are noticing lowered sales as consumers switch away from the pricy items ….
“We’re seeing consumers be very price sensitive,” said Bobby Gibbs, a partner in the retail and consumer goods division of the marketing consulting firm Oliver Wyman. “Consumers are cherry picking promotional prices more and retailers are putting out more promotional pricing than they have in the last few years.”
And while the economy is technically strong, prices for many goods remain higher than before the pandemic and household debt has risen. Grocery prices are up 18 percent since 2020, but the latest inflation report released Thursday shows them leveling off……
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PepsiCo, which makes not only its namesake sodas but also other drinks, Frito-Lay snacks and Quaker cereals, raised prices by 5 percent in the second quarter and saw unit sales shrink. Volumes in North America fell 4 percent for Frito-Lay, one of the company’s more prolific snack businesses, and 3.5 percent for PepsiCo Beverages.
Some retailers have already responded. Target, Aldi, Amazon and Walmart announced in May that they were rolling back prices on many grocery items….
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“Part of that is grounded in reality ― people needed to make their household budgets work for them ― and part of it was principle,” Connolly said. “Even higher-income customers on principle didn’t like the prices they were seeing in the basket and they would trim on purchases.”…