Talking Retail Grocery and product news for independent retailers
The scheme to encourage recycling of single-use drinks containers was introduced at the beginning of February.
Plastic bottles and cans featuring the Re-turn logo have a deposit applied at the store checkout of the following amounts:
- 50ml to 500ml – 15c deposit
- 500ml to three litres – 25c deposit
Talysis said some retailers have taken the opportunity to rationalise their range, with the removal of the largest packs, which would have attracted significant deposit values, and the introduction of reformulated “party packs”.
“It would also appear that the introduction of DRS has been used as an opportunity to disguise some price increases among the potential shopper confusion,” said managing director Ed Roberts.
For example, in Tesco Ireland, a 24x330ml party pack of Pepsi Max, which retailed at €17.50 pre-DRS has been replaced by an 18-can party pack at €16.50 (excluding deposit value).
This amounts to a reduction in product of 25%, with the shelf price only dropping by 6%.
Six-packs previously sold at €6 have been replaced by four-packs at €5 (excluding deposit value) – a reduction in product of 50%, with the shelf price only dropping by 25%.
Similarly, SuperValu also looks to be implementing range changes and a price increase, on several lines, Talysis said.
So far, pricing within convenience retailers appears not to have followed the same route as the supermarkets, it added, “suggesting convenience retailers are conscious of supporting their customers in the current cost-of-living crisis”.
