Prices in Greek supermarkets were ‘stable’ in the first nine months of 2024, new data from the Institute for Retail Research of Consumer Goods (IELKA) has found.
Supermarket prices rose by 0.24% in the nine-month period, compared to the same period in 2023, while in September specifically, prices were 0.91% higher, year-on-year. This followed on from four months of price declines, and can be attributed to price increases in cocoa, coffee, and specific fresh products, particularly fruits and vegetables, due to prolonged drought conditions.
Among the 23 product categories analysed by IELKA, 10 experienced price decreases while 13 saw increases.
Increases and Decreases
Price increases in the period were observed in categories such as fresh fish and seafood (+8.61%), appetisers, pickled products, and other served items (+6.65%), biscuits, chocolates, and sweets (+5.54%), breakfast items and beverages (+4.12%), and water, soft drinks, and juices (+4.10%).
International prices for cocoa and coffee have notably influenced pricing in confectionery and beverage categories, while seasonal factors related to tourism and prolonged drought and weather conditions have impacted some categories.
Price decreases in the period, meanwhile, occurred in various categories, including detergents and cleaning products (-7.39%), baby and children’s food (-5.31%), pet food and supplies (-3.12%), paper products, cosmetics, and personal hygiene items (-2.49%), as well as eggs, butter, and broths (-2.21%).
These reductions can be attributed to market normalisation following the pandemic and decreases in producer prices for certain products.
Price stabilisation
According to IELKA, there are several reasons for the current price stabilisation in supermarkets. There has been a gradual decrease in inflation, as prices have stabilised in recent months. Economies of scale, organisational readiness, and expanded private-label ranges are among the factors at play here.
Comparative weather conditions and seasonality also play a role. Last year’s rainfall significantly increased costs for fresh fruits and vegetables, while this year has seen prolonged drought affecting recent price increases.
Elsewhere, government regulatory interventions have influenced supermarket operations within a strict regulatory framework, including a ban on promotional activities during price increases. Furthermore, the number, intensity, and percentage of discounts in retail outlets has increased, affecting final product prices.
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