Woolworths bosses have conceded they underestimated how much budget grocer ALDI would disrupt its business and admitted its response to the aggressive German had been “lackadaisical”.
Speaking at Woolies’ AGM yesterday, its CEO, Brad Banducci, admitted that Woolworths had been too slow to react to ALDI’s heavily discounted range by promoting its own Homebrand range.
Banducci was reportedly grilled by shareholders regarding its strategy to counter ALDI and its “confusing” loyalty scheme. Shareholders were also none to happy about the failed hardware venture Masters and the worrying signs emanating out of the struggling Big W business.
When it came to ALDI, Banducci, whose comments were reported on Fairfax Media, said: “We didn’t treat ALDI with the respect they deserved.
“The truth is, if we would like to succeed against ALDI we need to differentiate ourselves and that’s why we’re obsessively focused on having the best range in store and the best team.”
The other big issue for Woolies are reports that Amazon is set to enter the Australian grocery market with reports it will open stores and play in the discount grocery market.
Woolworths apparently plans to counter current and new competitors with a renewed focus on its loyalty programs. However, at yesterday’s AGM shareholders reportedly fumed over a recent decision to cut ties with Qantas and its Frequent Flyer program.
Woolies chairman Gordon Cairns said of the problems surrounding its loyalty programs: “We are not perfect, if you think we will never make a mistake again you will be disappointed. We will continue to make mistakes because we will continue to try things … we are humble enough to admit when we’re wrong.”
Yet a recent report by Roy Morgan research found that, despite what our supermarket chains tell us, Aussies aren’t particularly loyal to their favourite supermarket anyways. The report found that 75 per cent of Australia’s 15 million grocery shoppers go to one or more stores every month which, if anything, shows the importance of customer satisfaction.
ING Australia has taken on a new tagline, ‘Do your thing’, with the new brand direction articulating the bank’s approach to being there, alongside its customers, as they go about doing the things that matter most to them. ING’s head of brand Carly Yanco said: “We’ve just lived through a year where the everyday things […]
Australia’s media agency market has reported softer advertising demand in January as the delayed Australian Open and the continued impact of COVID 19 briefly interrupted the market’s COVID recovery. Total media agency ad spend was back 7.3 per cent in January as the Metropolitan TV market – our largest media sector – reported a 5.3per […]
Media strategy specialist Slingshot has won the strategy, planning and buying account for Masterpet, and Endeavour Consumer Health. Masterpet owns pet care brands Black Hawk, VitaPet and Aristopet, while Endeavour Consumer Health includes brands like Red Seal, Pharmacy Choice and Faulding. Slingshot CIO and Partner Simon Corbett (pictured) said that winning the two businesses was […]
Leading South Australian ageing care provider ECH (Enabling Confidence at Home) is shining a light on the need for Australians to talk openly about death with their family members and loved ones to ensure any specific wishes or choices can be fulfilled. Australia faces a significant societal challenge as death continues to be a subject […]
You might have noticed a colourful scoreboard sitting on the B&T homepage this month. Well, allow us to formally introduce ourselves – and it. We’re Zavy. And we believe in the promise of social media: brand building by two-way engagement and rich communication. What does this have to do with a scoreboard? We all […]
Full service agency Apparent has expanded its dedicated media division with the appointment of Phoebe Chan as head of media and advertising operations and Jaclyn Ely as client partner, media. Headed by former Naked Communications and Ikon executive John Halpin, Apparent’s media division has seen 88 per cent growth over the past 12 months across […]
Identity Graphs have emerged as a way to bring customer data together in a centralised place. But when it comes to marketing and discovering new audiences, this technology is about so much more than collating data, explains smrtr’s co-founder and CTO Boris Guennewig. Identity on the internet is a multi-faceted phenomenon. It might exist in […]
In this opinion piece, Jess Miles, Country Manager ANZ of Integral Ad Science, reflects on the questions surrounding consumer data. The ability to collect consumer data online has revolutionised digital advertising by enabling customised targeting strategies and data collection. This reliance on data has been the cornerstone of many audience targeted strategies enabling marketers to […]