European Commission suspects energy drink maker Red Bull the illegal regulation of competition. As part of the recently launched investigation, the Brussels office will examine whether the Austrian company could make a policy aimed at strategical discrimination against competing products in the EU. The investigation concerns the sale of energy drinks in supermarkets and stores at petrol stations.
According to a message by the European Commission, Red Bull allegedly offered retailers financial and non-financial incentives to remove from the shelves competition products with a capacity exceeding 250 millilitres or to place them in a little prominent place. In addition, the company is accused of utilizing its function as the alleged category manager in stores to negatively influence the presence of competing brands.
Under the alleged category management agreements, shops entrust suppliers with the management of a circumstantial category of products – specified as energy drinks. The supplier may besides influence the presentation of competition products. Red Bull refused to comment on the charges. The company stated at its office in Fuschl close Salzburg that it does not comment on pending court proceedings.
Was this maneuver applied in the Netherlands?
The Commission is afraid that Red Bull could have implemented a discriminatory strategy at least in the Netherlands, where, according to the notification, the company seemingly holds a dominant marketplace position on the home wholesale marketplace for branded energy drinks.
"We want to examine whether these practices contribute to maintaining advanced prices and reducing the choice of energy drinks for consumers", said Vice-President Teresa Ribera.
