Mercado’s supposed veto of Grupo Pascual has been brewing for a couple of days, following the withdrawal of milk from the Burgos company of the supermarkets of the Valencian chain. However, describing it as a veto is a big word and, if we pay attention to Mercadona’s modus operandi, it is a common practice to enhance its white label.
Part of Juan Roig’s strategy for more than two decades, insisting on private label brands, has now been the Pascual Group turn the one who has seen how his milk left the shelves of the supermarkets of the national retail leader in this category.
It is not the first time that something like this has happened and there are fewer and fewer brands that are discovered within the Mercadona catalogue, which in food shows off the strength of the Hacendado brand, which has led it – among other decisions – to be outstanding leader of the national market.
However, it seems that Grupo Pascual is not concerned or, at least, is not more concerned than necessary regarding the fact that have been seen off the shelves of Mercadona. As Tomás Pascual stated in a recent press conference following the 50th anniversary of Bezoya, his watermark.
A member of the second generation of the Pascual family, the Arandino businessman displayed common sense and home learning When they asked him what it meant to disappear from Mercadona, as he pointed out in The Economist.
As he warned in a presentation to the media, Tomás Pascual recalled a teaching from his father: “not to depend more than 10% on a single client, bank or supplier.” An example of classical economics that in a domestic way we might solve as the myth of not putting all the eggs in the same basket.
In this sense, for the accounts of Grupo Pascual, Mercadona It only represented 3% of the turnover in terms of milk marketing. However, due to roots, there are supermarkets that will carry this milk, but only in the province of Segovia.
However, that does not mean, as Tomás Pascual also indicated, that “the company’s desire is have a presence in all chains“As we see, these are business and market decisions that have little to do with vetoes and boycotts and more to do with billing and business ideas.
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