Post by Pascale Hagin

In Germany, four retailers run 80% of the market. EDEKA ZENTRALE Stiftung & Co. KG, REWE, Aldi Süd/Nord, and Lidl in Germany. Within Edeka and REWE, the backbone for success is the independent retailers, also called MBUs (Mehrbetriebsunternehmer), clearly led by EDEKA. Yesterday, big news came in. Number 1 of them, Feneberg, will be supplied in the future by the REWE Group, a big win for the Cologne-based company and a big shock for EDEKA. But there is one thing I learned in 30 years in retail and FMCG. We live in a bipolar world, and every action will lead to a response. PepsiCo gets Subway from The Coca-Cola Company, and The Coca-Cola Company gets Marriott International from PepsiCo. Meta gets AI pros from OpenAI, and OpenAI gets AI pros from Meta. This is happening everywhere, why, because this world is ego-driven, and egos fight back. For now, the match is with REWE. Let's see in the long run what comes next, and don't forget: it is all just a game. On our grave stones, even this will not play a big role. Have fun and prepare for the next match. Can't wait to see the next change on this list. What do you think will come next: Inga Dengel André Braukmann Steffen Schöne Ahsan I Sheikh Best, Pascale. PS: Dear Lionel Souque, dear Markus Mosa, please don't forget the shopper, the assortment, and product availability. Recent store checks in Germany showed me that, in major cities, availability across EDEKA and REWE is incredibly poor in some categories. I know that is not all on you, and the heat makes it tough for retailers and the industry to forecast. Sourcing protein powder and the accelerated demand are tricky, as are trends with Skyr and zero-energy drinks, but the shopper does not care. I am in love with Cliff bar, get it sometimes at REWE, but if not, I go to DM—an empty shelf = zero revenue and a lot of frustration. Last Friday, I was in Berlin, Neukölln, at a REWE store, and a shopper went super loud when his favorite beverage wasn't available. Dear industry, you may need to plan additional budgets now for REWE, and you will for sure hear soon from Hans-Jürgen Moog regarding an integration bonus🙃and learn about the 3 month test listings concept. Dont take my post too serious. Enjoy life and I am grateful for every Kaufmann and retailer, serving over 40mm households in Germany and across the globe. Take care, Pascale Arla Foods Dr. Oetker Nestlé PepsiCo Mars Mondelēz International