In an inflationary environment, the SAQ limits the price increases on its products
MONTREAL, Oct. 31, 2022 /CNW Telbec/ - On Sunday, November 6, 2022, the Société des alcools du Québec (SAQ) will make an upward adjustment averaging 2.4% to the prices of 1,458 products always available on the shelves of its stores and through its transactional website, SAQ.COM. At the same time, a decrease averaging 1.3% will be applied to 539 products while the prices of the 1,389 other products will remain unchanged.
"The inflation we've seen in the last few months affects most consumer products," noted Catherine Dagenais, the SAQ's President and Chief Executive Officer. "Unfortunately, wines and spirits are no exception to the rule. Aware of this upward trend and of suppliers' legitimate demands related to the challenges they face, our category management teams have succeeded in negotiating a fair price. The upcoming price adjustments reflect market realities as well as our desire to maintain an exceptional product offer at fair and competitive prices for our customers."
Regular and continuous replenishment products (more than 90% of the products sold to SAQ customers)
Number of price increases | 1,458 |
Average increase | $0.69 (2.4%) |
Number of price decreases | 539 |
Average decrease | -$0.28 (-1.3%) |
Number of products with no price change | 1,389 |
For some 100 of the 1,458 products getting a price increase, the date of the increase will be postponed until January 29, 2023, as the products are currently on promotion.
Suppliers' higher production costs
Several of the SAQ's suppliers are dealing with significant challenges that impact their production costs. These include the labour shortage and higher prices for bottling supplies (bottles, corks, labels, etc.), all of which places upward pressure on prices.
Higher ocean transport costs
In response to the ongoing disruption of the global supply chain, ocean and land transport costs continue to rise. This phenomenon complicates product routing and places extra pressure on the SAQ's costs.
Depreciation of the euro
The euro has experienced a gradual depreciation in recent months, a fact to some extent reflected in last August's round of price adjustments. In addition, the exchange rate for products paid for in euros has dropped, which, to customers' benefit, will have a favorable impact on the products' retail prices beginning November 6.
For more information about the negotiation process and a breakdown of the sales price of the products sold by the SAQ: Breaking down SAQ prices
Created in 1921, the SAQ imports, distributes and sells a broad range of wines, beers and spirits. Its sales network comprises 410 stores and 426 agency stores located throughout Quebec as well as a transactional website, SAQ.com. Driven by the passion and know-how of its 7,000 employees, the SAQ offers Quebecers a world of discovery, with nearly 44,000 products from 3,700 suppliers in 82 countries. In fiscal 2021-2022, the SAQ paid more than $2.0 billion to the Quebec treasury and supported more than 250 organizations and events, while also ensuring its business activities respected local communities and the environment.
SOURCE Société des alcools du Québec - SAQ
Geneviève Cormier, Media Relations, SAQ, 514 941-5640, genevieve.cormier@saq.qc.ca
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