ACS Presses for Thorough Examination of Buyer Power
27 Sep 2006
In a formal hearing with the full panel of Competition Commissioners, the Association of Convenience Stores (ACS) has identified “big four” buyer power as the root cause of the uneven playing field in the grocery market.
ACS Director of Public Affairs, James Lowman, who led the delegation to the Commission, told the inquiry: “This investigation must uncover the differentials between the buying prices achieved by the “big four” and those paid by convenience retailers and wholesalers.”
ACS is leading the convenience sector’s response to the inquiry, having driven the campaign for a full referral of the grocery market to the Commission. At the hearing, ACS argued that “big four” buyer power was the root cause of a number of important problems in the market, specifically:
• Predatory price flexing and local price manipulation.
• Reduced consumer choice of products and retail fascias.
• Abuse of the planning system.
James Lowman continued: “We have established a constructive relationship with the Commission, and we received a fair hearing from the full panel. What matters now is that the Commission use their powers to get information on relative buying prices. Armed with this data, the Commission can begin to address the central issues of this inquiry.”
ACS confirmed that it would be submitting further evidence to the Commission.
James Lowman added: “We believe we are building a compelling case for the Commission to take action.”
Contacts
Rachel Lawson Communications Co-ordinator
01252 515001
Michael Saxton/Julie Kirby Grappa Public Relations
020 7486 4448 / 07970 507554
Note to Editors:
1. The Association of Convenience Stores (ACS) was formed in 1995 as the retail trade association for the UK convenience store sector. ACS is the fastest growing trade association in the UK retail market, representing over 32,500 shops.
2. The Competition Commission Inquiry began in May 2006 and has to have been completed by May 2008, for more details on the inquiry visit www.competition-commission.gov.uk. ACS led the campaign to get the Inquiry, which began in November 2002.
ACS Director of Public Affairs, James Lowman, who led the delegation to the Commission, told the inquiry: “This investigation must uncover the differentials between the buying prices achieved by the “big four” and those paid by convenience retailers and wholesalers.”
ACS is leading the convenience sector’s response to the inquiry, having driven the campaign for a full referral of the grocery market to the Commission. At the hearing, ACS argued that “big four” buyer power was the root cause of a number of important problems in the market, specifically:
• Predatory price flexing and local price manipulation.
• Reduced consumer choice of products and retail fascias.
• Abuse of the planning system.
James Lowman continued: “We have established a constructive relationship with the Commission, and we received a fair hearing from the full panel. What matters now is that the Commission use their powers to get information on relative buying prices. Armed with this data, the Commission can begin to address the central issues of this inquiry.”
ACS confirmed that it would be submitting further evidence to the Commission.
James Lowman added: “We believe we are building a compelling case for the Commission to take action.”
Contacts
Rachel Lawson Communications Co-ordinator
01252 515001
Michael Saxton/Julie Kirby Grappa Public Relations
020 7486 4448 / 07970 507554
Note to Editors:
1. The Association of Convenience Stores (ACS) was formed in 1995 as the retail trade association for the UK convenience store sector. ACS is the fastest growing trade association in the UK retail market, representing over 32,500 shops.
2. The Competition Commission Inquiry began in May 2006 and has to have been completed by May 2008, for more details on the inquiry visit www.competition-commission.gov.uk. ACS led the campaign to get the Inquiry, which began in November 2002.