Two of the world's biggest grocery chains, Tesco PLC and Carrefour SA, have struck a deal to collaborate on how they buy from suppliers in an effort to cut prices amid mounting competition from Amazon.com Inc. and other rivals.
Tesco, Britain's largest grocery chain, and Carrefour, the French giant, said they would jointly source certain products to lower prices, raise quality and broaden their product offerings.
The agreement, which the companies said would initially last three years, will give the pair more scale in negotiations with global suppliers. It will cover joint purchasing of own-brand products and goods not for resale, like cleaning products or pallets.
Financial terms of the deal, which is expected to be formally agreed within the next two months, weren't disclosed.
"We are light on detail," said a Tesco spokeswoman. "The details are very much still being worked out."
The deal is the latest in a string of moves by traditional grocers the world over as they race to find new ways to compete with Amazon's growing food ambitions and fast-changing shopper behavior.
Online shopping, discounters and meal-delivery services are all eating into once reliable profit margins.
In the U.K., like the U.S., Amazon has also ramped up its fresh food delivery service, recently expanding outside London. In France, Amazon earlier this year signed a deal with Casino Guichard-Perrachon SA to deliver items from its Monoprix chain.
与在美国市场一样，亚马逊也已在英国加强了生鲜食品运送服务，且近来服务范围已扩大到伦敦以外地区。在法国，亚马逊今年早些时候与Casino Guichard-Perrachon SA签署了一份协议，从后者的Monoprix连锁店递送商品。