Kroger stopped selling Red Bull and pulled some Boar's Head goods after turning down proposed price increases, according to a person familiar with the talks. Red Bull disappeared from all Kroger supermarkets and its fuel-station convenience outlets.
Boar's Head deli items came out of about 200 stores, which is a slice of the company's more than 2,700 locations. The person said disagreements were mainly about the proposed hikes.
Talks are still going, and the outcome could shift, the person said. They requested anonymity because the discussions are sensitive.
In grocery, vendors usually signal price changes and retailers decide how much to accept. Kroger is leaning harder into that decision point, using delistings to signal it wants the lowest possible prices as competition and inflation squeeze shoppers.
A Boar's Head spokesperson called it "inaccurate" to say the removals were due to a price dispute, saying such moves can happen for operational and strategic reasons. They declined to share more.
Kroger declined to comment, and Red Bull did not respond to requests for comment. It is unclear how the delistings will hit any company's revenue.
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CEO Greg Foran, previously an executive at Walmart Inc., started in February and aims to sharpen Kroger's competitiveness and grow market share. Cutting prices is one pillar, along with speeding up service.
This approach resembles Walmart's push for rock-bottom prices on everyday goods. Foran has said Kroger does not need to be the absolute price leader, but it does need to be more competitive and more consistent.
Kroger also wants fuller shelves and less waste. The company's energy drink category has grown even without Red Bull, the person said, pointing to challengers like Bloom Nu LLC and Alani Nu from Celsius Holdings Inc.
Food prices are expected to rise in the coming months as higher energy and fertilizer costs and tariffs filter through. Conagra Brands Inc. and Campbell's have said they plan to raise prices.
That backdrop helps explain firmer talks now. In 2018, Campbell's results took a hit after disputes with Walmart.
The catch: if more brands push through hikes, retailers could keep pressing back. For your portfolio, watch how sales mix shifts to lower-cost or challenger brands and whether negotiation standoffs turn temporary stock gaps into lasting shelf changes.
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