Booker retailers have been left frustrated after the wholesaler increased the spending thresholds needed to earn their rebates.
The new discount structure under Booker’s Spend & Save scheme has increased the minimum four-weekly spend required for every tier.
Its 1% rebate, which was previously paid out to retailers who spent between £18,113 and £20,187, now requires spending of £20,000 to £32,549.
The threshold increases range from 5.7% to 10.4%, with the top 5% rebate now requiring £70,200 or more, up from £66,413.
Booker has kept its 0.5% discount band for smaller, non‑symbol group customers and Shop Local retailers but the qualifying band has been widened, with the upper limit rising from £18,112 to £19,999.
Retailers said the changes would put pressure on already tight margins.
“They’re really squeezing us and getting every penny off us with little to no benefit,” one Premier retailer told The Grocer. “They hand off dead stock as allocation, and now are making it harder for us to earn back whilst being loyal customers.
“They know many of us don’t have another choice in suppliers and they’re banking on it. It starts with promises to tie us in at the start and then slowly take away all the benefits. It’s no surprise Parfetts are growing so quick. Nobody who I’ve spoken to about Parfetts has had a bad thing to say, so Booker needs to watch out.”
Another retailer said: “It’s concerning for retailers especially at a time when costs are rising and footfall is down – this will squeeze retailers even more. Retailers need support from suppliers.”
The updated Spend & Save rebate bands will apply to eligible Booker retail customers. The brands were last updated two years ago and are reviewed in line with market conditions.
A Booker spokeswoman said: “Spend & Save is one of several ways we support independent retailers, alongside continued investment in choice, pricing and service – including new product development, exclusive lines and expanded fresh, chilled and frozen ranges.
“We’ll continue to review our ongoing range of support for customers to ensure they are set up for success.”
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