A supermarket chain has said it will no longer sell Pepsi and 7up in protest against “unacceptable” price rises.
French retail giant Carrefour said it plans to ditch PepsiCo products after repeated price increases despite the cost of living crisis.
Shelves once stocked with PepsiCo drinks will be now accompanied by a note that reads: “We are no longer selling this brand due to unacceptable price increases.”
The grocery giant, which has more than 12,000 stores worldwide, said the signs will only appear in France.
A spokesman said it is unclear whether Carrefour will remove PepsiCo products already on shelves or if customers will still be able to buy items currently on display.
PepsiCo has repeatedly raised the prices of its food and drinks products in recent years, claiming it was necessary to offset inflationary pressures.
The higher prices have boosted revenue at the company, which in October lifted its 2023 profit forecast for a third time.
However, the Mountain Dew and Gatorade owner in October said it will only roll out “moderate” price increases in 2024 amid concerns that higher prices could put off cost-conscious customers.
Hugh Johnston, formerly PepsiCo’s finance chief, said at the time: “I do think that we see the consumer being more selective.”
Steep inflation in Europe has fuelled tensions between supermarket chains and major consumer brands.
Carrefour’s decision to stop selling PepsiCo products comes after it previously put labels on shelves warning shoppers against “shrinkflation”.
Labels were placed on 26 products in its French stores, which said: “This product has seen its volume or weight fall and the effective price from the supplier rise.”
Carrefour’s price warnings were made for a range of items, including Lindt chocolates and Lipton iced tea, in an effort to pressure suppliers such as Nestle, PepsiCo and Unilever to slash prices.
PepsiCo was approached for comment.
Source: finance.yahoo.com