The high current prices of energy and many daily items for customers, caused by inflation, are behind Salling’s decision to introduce a price limit on some of its products, the company said in a statement on Tuesday.
Salling owns the Netto, Bilka and Føtex supermarket chains in Denmark. The prize freezes will apply at all three.
The limits, which will be in place until October, will be applied to “basic daily and food items”, according to Salling. Netto stores will see price limits applied to 100 products, while the larger Føtex and Bilka stores will have 200 products included.
Own-brand Salling products are likely to form the bulk of the lists, but the specific products were not named by the company.
The prices of the selected products “will not increase before October 28th despite ongoing, increasing inflation,” Salling said.
Although Salling expects inflation to continue, it said it wanted to give customers the option of preventing their spending on groceries from increasing by enabling them to choose products that have not gone up in price.
“We will make it easy for customers to navigate the products by communicationg prices clearly in our stores using signs and markings on shelves,” Salling CEO Per Bank said in the statement.
The move was described by Salling in the statement as an “investment” in light of expected higher costs at suppliers.
“It is just a year since Danes bought luxury items and flocked to supermarkets as a result of corona lockdowns and with extra holiday money in their pockets. Today, customers navigate by special offers and own brands as an alternative to name brands in Salling’s shops and stores,” the company said.
The company will announce on November 1st whether it will extend the limitation period, it said.