Edeka is starting a new offensive in the drugstore range. Image: www.imago-images.de / Manfred Segerer
Supermarket: Edeka attacks dm and Rossmann – why the prices in the drugstore could fall
There could be a price war in the drugstore supermarkets. The discounter Edeka is expanding the branch network of its subsidiary Budni, as the “Lebensmittelzeitung” reports. This puts Rossmann and dm under pressure.
50 new stores in Germany – that’s the goal of the drugstore. In addition, the Edeka subsidiary also wants to include products from the Netto range in its range. “It is in the nature of the partnership with Budni that we also use overarching synergies in the goods business at the network level”, is the statement of the Edeka Group.
The Netto brands are well represented in the hygiene sector
New on the shelves are detergents, cleaning agents and cleaning agents, as well as disposable gloves, aluminum foil and garbage bags from the Netto brand “Priva”. The new branding thus partially replaces the former house brand “Bravil”.
As a hygiene paper manufacturer, “Favora” will find its place in the supermarket. For dental hygiene: the mouthwash brand “Budnident” is being replaced by the Netto brand “Diadent”.
A Budni branch in Northern Germany. Image: www.imago-images.de / Lobeca
Net is no longer indicated on the packaging as a supplier
There are also changes to pet food. The brands “Pablo” and “Sancho” are now on offer as dog food. Cat owners can access the brands “Attica”, “Finé” and “Petti”.
Body lotions, deodorants, foot baths and hand creams are also being relaunched. With the own brand “Joolea” – which strongly reminds of the dm counterpart “Balea” – the drugstore replaces the former house brand “Budni Care”. There are also sub-brands such as “Joolea Men” or “Joolea Med”.
It is noteworthy that the Netto private labels are no longer labeled as such. Instead of “Netto Marken-Discount”, there is now an Edeka subsidiary called “Euco GmbH” on the labels.
Edeka wants to compete with Rossmann and dm
The expansion will put pressure on the competition. Rossmann holds first place in Germany for the size of the branch network. The provider dm makes the most sales for this. Often the providers try to undercut each other with cents. In addition, discounters such as Aldi or Lidl also have drugstore products on offer.
Budni is currently not present enough to keep up with the big providers, but Edeka plans to continue expanding. 50 new branches are to be opened every year. However, it will be difficult to overtake established competitors.
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Supermarket Edeka attacks Rossmann customers benefit