Banned commercial networks charge for marketing and shelf space

Trading networks may prohibit producers charge a fee for all sorts of additional services, such as marketing, logistics, special promotions, coupon programs, selling the best places on the shelves, or delivery of the goods at new outlets.

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Duma Committee on Economic Policy, Innovation and Entrepreneurship Development has drafted amendments to the law on trade that should break the rules of engagement established manufacturer and seller.

Trading networks do charge producers a large number of additional payments. Product Suppliers say that except for the implementation retroskidki large consignment sales networks charge for hydrating products shopping, accommodation on the shelves. All this reduces the profit of the manufacturer, and sometimes even leads to formation of damages. Suffers from this situation and the buyer, as the "final price" depends largely on the cost producer.

«From suppliers such restrictions rather lose, especially the largest international companies, as a marketing activity and promotions - this is one of the most important instruments of competition. From retailers such amendments require changes to patterns of interaction with suppliers and KPI professionals responsible for procurement. As regards the sale of seats on the shelves or pay for goods in the new shopping sites, these practices are no longer used by most networks, "- said General Director of« InfoLine-Analytics "Mikhail Burmistrov.

«Commercial networks will strongly oppose these amendments. Therefore, the probability of their adoption is low. If this happens, shopping online will surely find other ways to get the margin. When they were limited to bonuses, they have introduced marketing services. If these services will be banned, retailers come up with something else, "- says Andrey Danilenko, an ombudsman in trading activities. According to the expert, to change the situation in the trade required to take drastic decisions that establish control over the level of margins retailers. This will help limit excessive profits retailers receive a negative impact on suppliers and consumers.

Source: candynet.ru