Supermarkets pin hopes on value and convenience to keep sales strong

Australia’s big two supermarkets are exploring new ways to encourage shoppers to fill up their trolleys, to avoid a dip in sales growth as grocery stockpiling becomes a thing of the past.

Both Coles and Woolworths are aiming to capitalise on the trend towards home cooking and in-home dining trend, which is set to remain elevated for some time, despite COVID-19 restrictions easing.

Coles is focusing on value, and is doing so by introducing over 30 bulk products as part of its ‘Big Pack Value’ sale. Such items include common dinner recipe ingredients like a 3kg pack of Barilla Penne pasta and 4.2kg Rodolfi tomato passata, alongside supersized household staples such as a 300 pack of Dilmah Premium Tea Bags and a pack of 40 L’OR Espresso Capsules Ristretto coffee pods.

“We recognise that the COVID-19 situation means value is top of mind for many of our customers. Offering pantry staples, condiments and sweet treats in bulk is one way that we can help customers save on their weekly shop,” Coles Group CEO Steven Cain said in a statement.

The bulk products may vary from store to store and they won’t be a permanent addition to shelves, but will be available nationally while stocks last.

At rival supermarket Woolworths, the focus is on fresh convenience. Earlier this week the retailer added over 60 new convenience products aimed at those looking to ease the workload of home cooking.

Woolworths ‘& Veg’ range

“This is our biggest launch of products since Christmas,” Woolworths director of Fresh Food, Paul Harker, said.

Veggies feature strongly in the refreshed convenience offer which includes the ‘& Veg’ range of meals loaded with extra vegetables, the ‘3 Serves’ range of vegetarian soups, and a selection of quick meal solutions including six Stir Fry Kits that can be prepared in under 10 minutes, all of which are served with a portion of veg.

“With Australians spending more time at home than ever before, households are looking for new, convenient and delicious ways to feed the family without compromising on taste or freshness,” Harker said.

“We’ve made sure each one is full of flavour and easy to prepare. We hope this range will provide a little helping hand when it comes to creating nutritious meals for loved ones.”  

Last month, both Coles and Woolworths reported bumper sales growth in the third quarter, with both expecting more subdued demand over the coming months.

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