Shufersal Expands Coffee Imports to Reduce Reliance on Major Suppliers
Translated & summarized from TheMarker by baba
Retail chain Shufersal, managed by Shlomi and Yossi Amir, is expanding its direct coffee imports to lessen dependence on major suppliers like Strauss-Elite and Osem-Nestlé. The move, which covers all coffee categories, is presented as a cost-saving measure for consumers. However, some supplier products were found to be priced higher at Shufersal, while the import strategy could boost the chain's negotiation power and profits.
The story in 5 lines · by baba
- Shufersal is expanding direct coffee imports across all categories to reduce supplier reliance.
- The move aims to lower the cost of living for consumers, according to Shufersal.
- Major coffee suppliers in Israel include Strauss-Elite and Osem-Nestlé.
- Some supplier coffee products were sold at higher prices at Shufersal, TheMarker found.
- Direct imports may increase Shufersal's bargaining power and profitability.
Shufersal, managed by Shlomi and Yossi Amir, is actively reducing its dependence on major suppliers through private labels and independent product imports. Following a similar move in the meat market, the retail chain has now completed its coffee import initiative, entering all categories including coffee beans, capsules, instant coffee, and black coffee. This expansion aims to decrease reliance on key suppliers like Strauss-Elite and Osem-Nestlé.
While Shufersal presents this as a measure to lower the cost of living, an examination by TheMarker revealed that some coffee products from major suppliers were sold at higher prices within Shufersal stores. The company's focus on direct imports is expected to strengthen its bargaining power against suppliers and potentially improve its profitability.
