Navigating pricing tension: How brands and retailers can work together in an inflation crisis

Katy Dunn

Price as a battleground is not going away and retailers will be keen to continue to keep them low.

It has been a few weeks since Heinz and Tesco resolved a pricing dispute in the UK which saw shelves emptied of Heinz products, including staples such as Baked Beanz and Tomato Ketchup.

Kraft Heinz had increased the price of their food products, resulting from rising commodity and production costs. However, at a time of surging inflation and ongoing supermarket price wars, Tesco allegedly refused to pass this on, saying “We will not pass on unjustifiable price increases to our customers.” Without an agreement on where the rises would be absorbed, Tesco shelves were emptied of Heinz products leaving customers...

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