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Advertised lower prices – prices now higher than before

28.07.10 09:31
Kiwi, a grocery chain, bragged in advertisements a few months ago that they were reducing prices on a range of products. Actually the price on those products have increased compared with previous prices. Kiwi has for long time advertised with regular, low prices, and has in several campaigns said it has reduced prices on some products.
Frozen products, dinners and barbecue themed products are products were Kiwi allegedly has reduced prices. But in a test done by the tabloid VG is shows that frozen products have indeed become more expensive. The grocery chain readjusted its prices upwards just after the campaign was finished. The competing grocery chain ICA is furious- Should this be our modus? When Kiwi said it was lowering prices, it should have informed that it was only for a limited period, says the Bjørn Takle Friis, the communications director of ICA. Kiwi informs that its intention was to keep the prices at a lower level, but the reason for the current level was that it had pay suppliers higher prices. (hegnar online)

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