Discounts shrinking on near-expiry date food at Estonian supermarkets

discount labels in a grocery store. Source: ERR

Continued inflation over multiple years has led to a surge in purchases of discounted food items nearing their expiration date, which in turn is squeezing the margins on the discounts supermarkets can offer.

Stores usually apply dynamic pricing when determining the discount for food items, with demand, time of day, and the condition and quantity of the product all being variables taken into consideration. In general, discounts on items with a same-day expiry date can range from 25 percent to 70 percent.

In Tallinn’s major shopping malls, signage promoting 30-percent discounts during weekday lunch hours is a common sight, whereas the usual all-day rate on same-day expiry products was more like 50 percent.

ERR quizzed several major supermarket chains about consumer activity when buying discounted products, and whether more modest discounts have become the new norm.

More read: ERR.EE

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