Price pressure in Norwegian trade is so strong that the most traditional chains are losing more and more. “Consumers have never had more power,” said the sales director at Dibs.
It is the industry leaders in textiles and footwear who are the hardest hit by the price war, and they have hurt through several periods of falling prices, wrote Dagens Næringsliv newspaper.
The reasons are numerous and complex, but among them are price reviews that give customers a full price overview,as well as the holiday market and e-commerce. The surveys of DIBS Payment Services showed that 54% of Norwegians shop in foreign online stores, and that lower prices are the main reason.
“Consumers have never had greater power than now because they can easily choose products, so we might see a change in the balance of power,” said sales director at Dibs, Johanna Telle.
Odd Gisholt, who for several years has been responsible for retail trade at BI, said the market is oversaturated, and that it is natural for it to break out in a price war.
‘’The war will continue, and there will be winners and losers.Those who lower their prices and do not have their costs under control will lose.’’
© NTB scanpix / #Norway Today