Retail & E-Commerce

ProVeg International and Lidl Germany Talk Price Parity, Protein Transitions, and Leading by Example

On October 11, Lidl Germany made the exciting decision to equalise the pricing of products within its own-brand plant-based range, Vemondo, with that of comparative animal-based products.

The news sent shockwaves through the European retail sector, with numerous other supermarkets following suit in and out of Germany. Since Lidl Germany’s announcement, Kaufland, Aldi Süd, Penny, and BILLA, have all announced various price initiatives.

In its recent New Food Hub video, ProVeg International caught up with Amali Bunter, Head of Sustainability at Lidl Germany to delve into the motivations behind the discount retailer’s decision.

Bunter uncovered Lidl’s approach to sustainable diets, how price parity fits into its strategy, and why retailers need to “lead by example”. Read the interview highlights below.

Lidl
©Lidl

ProVeg: Please, can you tell us more about the motivations behind Lidl Germany’s decision to equalise the pricing of plant-based and animal-based products?

Amali Bunter: Lidl is committed to conscious nutrition – healthy and sustainable diets – and within that strategy, we’ve got three key pillars. So, healthy diets, sustainable diets, and also a pillar that looks at how we engage with consumers to help bring them on this journey with us.

So, if I focus on the second pillar, which looks at sustainable diets, we have focused and looked at the Planetary Health Diet as our guiding light for this strategy.

Within the Planetary Health Diet, we know that we need to see a protein transition in the coming months and years to live and operate within the planetary boundaries and also to meet the net zero goals that are critical for us, and as a society as a whole.

So, what have we done?

We have taken steps to analyse our current range and understand what is the split between plant-based protein and animal-based protein. Using this data, we’ve looked at where we need to get to and made sure that we’ve set some ambitious goals for ourselves for 2030. And we’ve now taken a big step to help the business on this journey through our commitment to price parity.

Lidl announces price parity of own brand Vemondo range
©Lidl Deutschland

What that means is, if you come into a Lidl store in Germany, and we’ve got over 3,200 stores across Germany, and if you look to buy one of our own-label plant-based products within our Vemondo range, that product will be sold at the same base price as the match products of animal-based protein sources.

ProVeg: What has the feedback been like so far?

Bunter: So it’s still relatively early days, but we know this is a really brave move. It’s a big step and it’s created a discussion in the industry and market, which is what we want.

If we’re going to reach our long-term goals of diets that operate within Planetary Boundaries, we need to be bold. So we’re pleased to see other retailers in the German market follow our lead.

We think that there’s a lot more work to be done, not only on price parity, but also on the data that sits behind this, understanding where we are at the moment, and also then setting goals for the future.

Leading by example

Lidl Germany’s decision to equalise the prices of their own-brand plant-based products with comparable animal-based products marks a significant milestone in the pursuit of sustainable diets.

As Lidl Germany and other retailers continue to navigate this transformative journey, the commitment to price parity serves as a catalyst for change. The industry-wide discussions sparked by initiatives like Lidl’s highlight the need for collective efforts in achieving long-term goals related to sustainable and conscious nutrition.

The coming months and years will undoubtedly be crucial as retailers like Lidl track the impact of price parity decisions, making strides toward a future where sustainable diets become the norm.

Watch the full Lidl interview on ProVeg’s New Food Hub. For support on your plant-based strategy, get in touch with ProVeg’s experts at [email protected]
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