Since opening its first Australian stores on January 25 2001, Aldi has profoundly influenced the supermarket landscape.
We surveyed over 100 Coles, Woolworths, Aldi and independent stores around Australia and found supermarkets are promoting unhealthy food much more often, and more prominently, than healthier products.
Supermarkets have been hit by multiple disruptions in the past couple of decades and they are struggling to survive.
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ALDI appeals to a particular market segment. It is unlikely to abandon it to go after Woolworths and Coles.
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Coles plans to compete with competitors by moving away from low prices to a focus on other attributes, such as sustainability, local produce and community.
‘Parasitic’ or copycat brands which mimic famous names are creating a market place of their own but they are treading on thin ice when it comes to copyright and intellectual property law.
For consumers of Australia’s retail sector, choice and convenience will continue to emerge. For incumbents unable to deliver on these outcomes, the future is bleak.
More supermarkets are starting to stock “phantom brands”- private label products without any reference to the business’ brand or logo.
It’s a tough time to be a retailer in Australia, but there are some retailers that have found the formula for success.
Some of the bigger grocery retailers are moving away from convenience stores because of increased costs, difficulties reading the market and cannibalisation.
Woolworths must turn its fortunes around. Does it have the right strategy?
Supermarkets are finally catching on to the fact that consumers have disliked the proliferation of private labels.
Woolworths’ move to rebrand its private labels may lead to no points of difference for customers between supermarket products except price, where Aldi is strongest.
Eating more frozen food could help us reduce waste, beat the obesity epidemic and have more money in our pockets – what’s not to like.
The big supermarkets, Woolworths and Coles, will need to think of new strategies to compete with new chains such as Aldi which continue to steal market share.
Shareholders should be worried about how much it’s costing Woolworths to run its business.
The retail giant’s attempt to head off Aldi’s growing market share is causing more headaches for shareholders.
Convenience stores could be the next big focus for Australia’s grocery retailing giants.