Brand retail: wholesalers and discounters dominate the market
In the Swiss retail sector, the business environment for branded goods is deteriorating rapidly. The industry complains that the major retailers Coop and Migros dominate the market, while discounters from Germany are driving prices down.
This makes it all the more important for Swiss brand manufacturers to establish alternative footholds and supplement the established sales and communication channels, according to the industry organization Promarca. The Internet in particular will become an important pillar of the future.
The new discounters entering the market are putting brand manufacturers under pressure with their low price policy. The best example of this is the current brand price war. According to Anastasia Li-Treyer, Director of Promarca, branded products are being misused for bait-and-switch advertising. The money for such campaigns is primarily demanded from the suppliers. The price pressure is exacerbated by an increasing number of private labels and damaging product imitations.
The new discounters entering the market are putting brand manufacturers under pressure with their low price policy. The best example of this is the current brand price war. According to Anastasia Li-Treyer, Director of Promarca, branded products are being misused for bait-and-switch advertising. The money for such campaigns is primarily demanded from the suppliers. The price pressure is exacerbated by an increasing number of private labels and damaging product imitations.












