Bónus assesses position amid new competition from Prís in Iceland’s grocery market

Bónus, a prominent player in the Icelandic grocery market, is assessing its position following the launch of the new discount store, Prís. Björgvin Víkingsson, the CEO of Bónus, expressed excitement about Prís entering the market, highlighting the long wait for a new competitor willing to challenge the status quo.

However, Víkingsson acknowledged the challenges posed by this competition, stating that it remains to be seen how Bónus can compete on pricing. He indicated that while Prís has a unique model allowing it to offer low prices, Bónus is constrained by the need to maintain its cost structure and cannot subsidize prices in the same way.

“We can clearly see that Prís is pricing some items lower, but as a market leader, we can’t undercut our cost prices. There are many products we simply can’t chase and we won’t back down; instead, we will focus on our partners and find ways to compete,” Víkingsson explained. He emphasized that Bónus is currently evaluating the situation and will strategize accordingly.

Regarding future strategies to address competition, Víkingsson stated that Bónus cannot disclose specific plans at this time, maintaining that the company will continue to operate under its established identity. He reassured the public that Bónus will remain committed to its customers.

In the broader context, this change comes at a time when the grocery market in Iceland is evolving, and consumers may benefit from increased competition as new players emerge.