A new joint purchasing centre set up by retail groups Intermarché and DIA in Portugal is aiming to sign contracts with 50 suppliers by September.
During a press call, the management of the two groups reaffirmed that this partnership will not lead to a merger between the two groups, but is designed to help the two partners gain competitiveness when negotiating prices.
The CEO of Intermarché, Anne Saintemarie, said that agreements with 32 suppliers have already been reached, but the goal is to have 50 by September, with roughly half from Portugal.
This group of suppliers who will be working with the Cindia joint purchasing centre will have a turnover of €550-600 million. Saintemarie added that suppliers will have access to a total of 864 points of sale, reports Portuguese daily Diário Económico.
The international commercial director of DIA group, Juan Cubillo, points out that jointly, the two companies have a 17-per-cent market share that, under the Cindia framework, will help gain bargaining competitiveness and optimise purchasing conditions.
The Cindia team, composed of six negotiators working on behalf of Intermarché (part of Les Mousquetaires) and DIA, will have the task of finding the most competitive prices for a range of food (from groceries to drinks), drugstore and perfumery products.
Despite the joint negotiations, all the final pricing policy and promotional activity will be autonomous for each company.
© 2015 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic.
