Coles Refreshes Home Brand To Tackle Supermarket Wars

Coles Refreshes Home Brand To Tackle Supermarket Wars
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With ALDI continuing to surge ahead in the Aussie supermarket wars, Coles is reportedly revamping its home brand offering to compete with the current rivals.

The Australian is this morning reporting the supermarket giant will get rid of a number of its current home brand brands, such as Smart Buy and Simply Less, to replace with a streamlined with just one brand, now just called ‘Coles’.

Newly appointed Coles executive Michael Lovsin said the new brand will compete with current brands already on the shelves, however will be sold at a cheaper price.

B&T has contacted Coles for comment.

The move comes at the right time, as recent findings from research giant Roy Morgan found ALDI was winning when it came to home brands.

While many people still go for the brands they love in Coles and Woolworths, in ALDI they’ll head to the home brands.

When it comes to cheese though, Roy Morgan reckons home brand cheese is the way to go, regardless of which supermarket you buy it from.

ALDI continues its domination as the supermarket chain of choice, reiterating the fact customers are happy with it as it recently beat out everyone, including Google, for being the simplest brand in the world.

Similarly, another survey found Woolies, Coles and IGA supermarkets would start being pushed out unless they did something.

“The big two, which together control over 60 per cent of the market, according to our estimates, are being challenged by the aggressive expansion of Aldi, whose market share on the populous east coast of Australia exceeds 11 per cent, as well as the potential entry of new market players,” Ian Chitterer, a Moody’s vice president and senior analyst said in the report. Read more about it here.

With this new move from Coles, blog Starts at Sixty however questions whether we’ll start seeing the decline of other brands when this large overhaul comes into play.

 

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