Loblaw Executive Chairman and President Galen Weston Jr. was being grilled by the Canadian press about the price of the supermarket’s chicken.
A video has gone viral on social media about a pack of chicken that cost in upwards of $25, and alongside it there are packages going for much less. Weston claimed his company actually loses money when it comes to chicken breasts.
“These are examples of customers gravitating towards the higher priced items when there is a perfectly competitively priced chicken right next door,” Weston said. “We looked at our chicken prices across the entire enterprise and are very confident we are offering terrific value.”
Weston was grilled even further and was criticized by one reporter that chicken that high in price should not even make it out on the store floor. Weston was then asked if the company should absorb more of the cost.
“Chicken was at the right price in those stores available to customers,” he remarked. “So we are absolutely confident in that and will continue to make every effort that that is the case.”
Weston added the reason for the premium price of the chicken is because it is a specialty product.
Canadian food retailers have come under fire for pricing over the last few weeks. Walmart Canada CEO Gonzalo Gebara stood before the House of Commons defending his store’s prices and claimed there has always been transparency. Earlier this month more CEOs faced lawmakers in an attempt to talk down the “greedflation” movement. Weston backed his stance with data: food prices have increased 25 times faster than profit margins on food products. Weston said Loblaw has made more money off financial services, apparel and pharmacy sales.
Loblaws Chief Execuitve and President Galen Weston Jr. was asked if his stores should have put out chicken that were priced in upwards of $25 a pack. Do you think floor managers were right in putting these high-priced poultry on display, or should the company eat more of the cost? What would you do? Let us know in the comment section or email your thoughts to SN Executive Editor Chloe Riley at [email protected].