Competition among food retailers is hotting up, with the big operators trying to grab market share from one another. "These are some of the toughest consumer conditions I can ever remember and they're getting worse, almost by the day," said independent analyst Chris Gilmour. "So within that context I think it's going to be extremely difficult for all of the food retailers because the margins are already thin, they're going to have to be incredibly innovative and it's going to have to be all about gaining market share." Shoprite has few Checkers stores in affluent areas - where higher margins could be earned - but plans to open 23 Checkers outlets in wealthy areas by June next year. Lowered pricing Game has been rolling out Foodco and has challenged shopping centres' exclusivity clauses about anchor food retailers. Woolworths has lowered pricing on categories such as cereals, sauces and grain products. All these stores provide a good fresh offering, previously the domain of upmarket ...
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