Kiwi, Rema 1000, and Extra priced 26 out of 26 tested grocery items identically, according to a recent price check by Nettavisen.
Konkurransetilsynet views the large number of identical prices as a potential warning sign for the market. Department head Beate Berrefjord told Nettavisen that numerous matching prices can indicate cause for concern, though multiple reasons can explain relatively similar prices.
“Dersom det er mange varer med helt identiske priser, kan dette indikere grunn til bekymring,” Berrefjord told Nettavisen.
The shadow of the price-watcher case
The identical prices emerge against the backdrop of the prisjegersaken, where Konkurransetilsynet issued Norgesgruppen, Coop, and Rema 1000 fines totaling 4.9 billion kroner for illegal coordination regarding price watchers. The regulatory body determined that the collaboration made prices more uniform and incentivized chains to raise prices rather than lower them.
The chains deny wrongdoing and have sued Konkurransetilsynet in Gulating lagmannsrett to overturn the billion-krone fines. The trial runs until December 17, 2024.
Economics professor Steinar Strøm recently reacted to Nettavisen’s findings, stating that the price similarity resembles extensive, tacit price collaboration between the three grocery chains.
Demands to end price gathering
Traditional price watchers equipped with infrared scanners to read shelf labels disappeared from stores in the fall of 2024. The chains were ordered to terminate the practice and any equivalent forms of collaboration.
Konkurransetilsynet emphasized that formal cancellation is insufficient. Berrefjord said that chains must actually stop the extensive price gathering inside competitor stores, noting that the agency expects full compliance with the cessation order.
“Vi forventer at dagligvarekjedene etterlever påbudet om opphør,” Berrefjord told Nettavisen.
Chains decline to detail methods
When asked how they maintain such detailed overviews of rival prices, the chains defended their methods as part of standard competition involving publicly available in-store prices. None of the companies confirmed whether they still employ staff or third parties to visit competitor locations.
Purchasing director Line Aarnes at Rema 1000 declined to confirm or deny ongoing in-store price collection. She said that checking rival prices is a prerequisite for keeping the chain’s lowest-price customer promise and forms part of healthy competition.
“Av konkurransehensyn kan vi ikke gå i detalj om hvordan vi sikrer konkurransedyktige priser,” Line Aarnes, purchasing director at Rema 1000, told Nettavisen, adding that Konkurranseklagenemnda has said that checking each other’s prices is neither unnatural nor illegal, and that Konkurranseklagenemnda can request information on price gathering at any time.
Norgesgruppen communications director Stein Rømmerud said that checking market prices is natural to ensure the chain remains the cheapest option. He declined to discuss methods or ongoing dialogue with the regulator in the media.
“Detaljer om hvordan dette gjøres, omfang, metoder og vår dialog med Konkurranseklagenemnda i denne saken er selvsagt konkurransesensitiv informasjon som vi ikke kan snakke om i mediene,” Stein Rømmerud, communications director at Norgesgruppen, told Nettavisen.
Coop communications director Harald Kristiansen likewise pointed to competitive considerations, stating that the chain cannot discuss its pricing strategy publicly while confirming they will answer any questions from Konkurranseklagenemnda.
Frequently asked questions about the grocery price checks
What penalties did the grocery chains receive in the original case?
Konkurransetilsynet fined Norgesgruppen, Coop, and Rema 1000 a combined 4.9 billion kroner for illegal coordination involving price watchers.
How long is the current court case scheduled to last?
The trial in Gulating lagmannsrett runs until December 17, 2024.
What specific items were included in the latest price test?
Nettavisen tested 26 distinct grocery items across Kiwi, Rema 1000, and Extra, finding identical prices on every single product.
Did physical price watchers operate recently in Norwegian stores?
Traditional price watchers who scanned shelf labels with infrared light vanished from stores in the fall of 2024 following regulatory orders.
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