A large number of Belgians, particularly those that live close to the border, do at least some of their grocery shopping in neighbouring countries, especially France. However, in recent months the growth in the number of us popping over the border to buy groceries has slowed. This is due at least in part to a narrowing of the price gap between Belgian and French supermarkets. The Leuven University (KUL) professor of marketing Els Breugelmans told VRT News that “It is not the case that all products are cheaper abroad”.
Many Belgians continue to do their grocery shopping in France despite the price gap having narrowed
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According to figures from the market research bureau GfK CPS Belgians spent 25% more at supermarkets in neighbouring countries between March 2023 and March 2024 than was the case during the previous year. If we zoom in to the figures for purchases made by Belgians at French supermarkets the increase was around 30%.
Not only did the total value of the purchases made by Belgians increase, but there was also at 4% increase in the number of us crossing the border to make purchases at supermarkets in France, The Netherlands, Germany and Luxembourg. For France the increase was 7%. However, the increase is starting to slow. During the first quarter of this year the number of Belgians crossing the border to buy groceries increased by 4%. There was even a 3% decrease in the number of us going shopping in France.
Price gap has narrowed
Professor Breugelmans told VRT News that “People go shopping abroad because it is sometimes possible to find cheaper products there. These are specific categories of product such as dairy products or wine. Other types of products such as beer, fruit and vegetables are cheaper in Belgium. The general price difference between France and Belgium has decreased in recent years.
Professor Breugelmans says that trend has been ongoing for some time. The price of leading brand products that in the past were more expensive here than in neighbouring countries has risen less sharply than in France. This makes it less attractive to go there to buy groceries.
Some types of products cheaper in Belgium
A recent study by the research bureau Shopperware show that prices in supermarkets in the North of France are currently around 5.6% lower than in Belgium. A year ago, this was 7.9%, 12.7% in 2022 and 15.1% in 2021.
Greater competition is pushing prices down
Professor Brugelmans says that increased competition in Belgium has served to help narrow the price gap between Belgian and French supermarkets.
“With the arrival of Albert Heijn and Jumbo the market has become very competitive. The focus is on price and winning over customers. The entire market feels that the supermarkets are under great pressure to negotiate good prices”.
This means that margins are down and the consumer gets more for their money. One method often used are buy one get one free promotional offers. Buy one get one free offers have been banned in France since March 2023.
Furthermore inflation has been falling “This means that consumers are less focused on price. As inflation is falling people have a little more financial leeway. Other factors such as proximity, the choice of products and service start to take precedence over price”. Nevertheless, some consumers still believe that everything is cheaper abroad, while this is not always the case Professor Brugelmans told VRT News.
“What often happens is that people go across the boarder in search of cheaper products and fill up their shopping trolley there. It is certainly not the case that everything they buy is cheaper. If they buy a lot of fresh products, it could be the case that they are even more expensive that here in Belgium”.
Those looking for a bargin are advised to compare like with like. “It’s not the price per pack, but the price per kilo that is important”, Professor Brugelman concludes.