Considering the rapid increase in inflation, which directly affects the ability of households to purchase usual food products and other essential daily goods, Rimi Latvia announces a new long-term support program. According to it Rimi has reduced the prices of the 100 most demanded products in all its stores from September 6 and fixed them until December 31 of this year to support Latvian residents in the autumn and winter season, when the household expenses will increase significantly.
In July this year, compared to July of last year, the average level of consumer prices in Latvia increased by 21.5%, according to the data of the Central Statistics Office. In general, 88% of Latvian residents are concerned about paying their daily bills and providing for basic needs in the coming autumn and winter, according to the survey*, and 37% of residents estimate that they will need support to buy food. Already in July, the majority of residents have admitted that they are trying to reduce spending on food: two-thirds deliberately look for promotional products and products with discounts, 37% cook more often themselves so as not to have to buy ready-made food, while 12.4% even try to reduce the amount of meals.
Until the end of the year, the prices of the 100 most popular products in such food product categories as milk, bread, fruits, vegetables, meat, fish, as well as basic hygiene products, such as toothpaste, diapers for children, etc., will be reduced and fixed in Rimi stores. In the range of goods included in the first stage of lowering and fixing prices, 90% will be the most demanded food products, the remaining 10% – basic hygiene products.
“With the increase in inflation, we receive dozens of applications from cooperation partners every day regarding the increase in production costs and product prices, which unfortunately must also be reflected in the store’s offer. In addition, expert forecasts show that the rise of prices on the market will inevitably continue. Trends in customer behaviour also show that people are increasingly actively reviewing not only their daily product choices, but even the amount of food they consume. That is why we have introduced a price fixing program, so that consumers could feel safe that they will have opportunity to buy essential daily products at a constant and competitive price even in these challenging conditions in autumn and winter,” explains Valdis Turlais, chairman of the board of Rimi Latvia.
After the first month of the program, it is planned to survey buyers’ opinions about which products are essential in their daily shopping basket in order to update and supplement the program’s offer. Following the situation on the market and the response of buyers, the possibility of continuing to fix prices for certain product groups after the New Year will be evaluated.
“Supporting Latvian society in purchasing food is not new to Rimi – we have been closely cooperating with Food Bank “Paēdušai Latvijai” for many years, helping to fill food packages for low-income residents of Latvia. Unfortunately, it is clear that many who until now have managed on their own will also need support this winter, so we need to have a new long-term approach. In contrast to short-term discount promotions for individual products, we want to provide the opportunity to count on constantly affordable prices for the most necessary everyday products at least until the end of the year. In addition, we have taken into account the choice of buyers so far, including the most requested products in the program, in order to provide real support to the widest possible number of households in Latvia,” emphasizes Valdis Turlais.
* The survey “Opportunities to meet basic needs after price increase” was conducted by the research center SKDS in July 2022, surveying 1,020 Latvian residents aged 18-75.