"Trump's methods" Migros is apparently taking off its kid gloves in the price war with producers
Migros is tightening the reins in the price war: Following high-profile negotiations with Coca-Cola in the summer, the retailer is now putting pressure on other brand manufacturers.
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- According to a report, Migros is stepping up the pressure on brand manufacturers in the price war.
- The "tough approach" is compared by insiders to "Trumpian methods".
- The new tactics affect both multinational and Swiss companies.
According to "NZZ am Sonntag", Migros has put dozens of other brand manufacturers under pressure in the price war alongside chocolate manufacturer Lindt & Sprüngli. "Large multinational companies and smaller traditional Swiss companies are equally affected", writes the newspaper.
No one wanted to comment publicly, as the dependence on Migros and its subsidiaries Denner and Migrolino is too great. Barbara Castegnaro, Director of the branded goods association Promarca, confirmed that Migros is taking a very tough approach to price negotiations and resorting to "inappropriate, drastic measures".
Same conditions as Denner
The aim is therefore to enforce identical conditions for Migros, Denner and Migrolino. Until now, the companies have usually negotiated separately.
According to research, Migros does not accept that Denner, for example, concludes better contracts with brand manufacturers and, if necessary, overrides existing supply agreements. Migros, on the other hand, emphasized on request that it wants to ensure "fair and comprehensible prices" and adheres to all contracts.
With regard to Migros' tactics, "several insiders independently of each other" spoke of "Trumpian methods". The "hard-hitting approach" was ordered by the Head of Group Procurement at the Migros Group: Florian Decker was poached from German retailer Edeka in 2024.