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Food and drink inflation in supermarkets surges 17.2% in March

Food and drink inflation in supermarkets surges 17.2% in March

On this episode of Talking Shop, we're joined by Dan Cate, CEO and Founder of SoldThrough. Dan is a heavyweight retail executive who has spent decades steering the merchandising and digital operations of America’s most iconic retail institutions, from Saks Fifth Avenue and Bloomingdale’s to Century 21 and Lord & Taylor. Today, through his platform SoldThrough, Dan helps international fashion brands cross the Atlantic and crack the notoriously brutal U.S. retail landscape. We break down his journey from the shop floor to the C-suite, the operational indicators that prove a brand is truly ready for international expansion, and how to navigate a fragmented American market without destroying your margins. We also discuss how to balance localised inventory with central efficiency, and the one non-negotiable metric that tells you a product has found genuine market fit.

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Overall food and drink inflation in supermarkets rose 17.2% in March, up from 16.5% last month, according to data from Which?.

The price of porridge oats increased 35.5% across Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose compared with last year.

Alongside this the price of cheddar cheese rose 28.3% on average and white bread increased an average of 22.8%, meanwhile, pork sausages increased by an average of 26.8% across the eight supermarkets.

Which? said Asda’s Just Essentials range skyrocketed 73.5% to £1.40 and Tesco’s value Woodside Farms 73.3% to £1.39.

Supermarket own-label budget items were also up 24.8% in March compared with the same time last year. This is more than standard supermarket own brands, which were up by 20.5%.

In contrast, branded goods and premium own-brand ranges meanwhile were both up 13.8%.

Sue Davies, Which? head of food policy, said: “Our latest supermarket food and drink tracker paints a bleak picture for the millions of households already skipping meals of how inflation is impacting prices on supermarket shelves, with the poorest once again feeling the brunt of the cost of living crisis.

“While the whole food chain affects prices, supermarkets have the power to do more to support people who are struggling, including ensuring everyone has easy access to basic, affordable food ranges at a store near them, particularly in areas where people are most in need.”

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