SUPERMARKET MILK DISCOUNTS SUCKING SMALL BUSINESSES DRY

Jeff Rogut January 9, 2013 As the major supermarkets flex their buying power muscle and heavily discount everyday items, particularly home branded items such as bread and milk, the small business sector continues to feel the pinch. However, according to the Australasian Association of Convenience Stores (AACS), it’s the consumer that could shift from winner to loser if these anti-competitive tactics continue. The latest example involves Coles Express advertising its own branded two litre milk for $2, a price point small businesses like corner stores and milk deliverers simply can’t compete with. AACS Executive Director Jeff Rogut said the increasing trend of the major chains subsidising discounts for their home branded products may have significant detrimental consequences on prices in the future. “These heavily discounted offers on products such as milk, subsidised by the major chains against their many other product categories, might seem to be a win for consumers…

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Coles takes aim at the corner store

Colin Kruger January 10, 2013 SMH Coles has opened a new front in its food price war but this time its larger rival, Woolworths, is not the target. The company is now offering $1 per litre milk through more than 600 Coles Express outlets Australia-wide in what is seen as a direct attack on the traditional corner shop – a sector which is already suffering in the cross fire supermarket giants’ food price war. Coles has not added its $1 bread to its convenience store offering but did cut the price of its Coles brand bread from $2.49 to $2.30. According to a recent report from industry research firm Ibis, consolidation is inevitable in the same way that Coles and Woolworths have cornered the supermarket sector. The president of the Queensland Dairyfarmer’s Organisation called for consumers to boycott the cheap Coles Express milk and support their local independent corner stores…

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OPEN ALL HOURS – THE TRUE VALUE OF CONVENIENCE

January 11, 2013 While the debate rages over the economic implications of supermarkets heavily discounting their own home brand milk, potentially impacting smaller retailers and others in the dairy supply chain, the Australasian Association of Convenience Stores (AACS) has called for greater recognition of the overall value of the convenience store offer in modern times. AACS Executive Director Jeff Rogut said the concept of value is too often interpreted simply as price as the various other elements that contribute to real value are overlooked. Millions of Australians have visited their local convenience store to buy an ice cold ‘Slurpee’ on a sweltering summer day after school or sport, bought munchies late at night when studying, bought ice or custard on Christmas day, bought a lottery ticket, rented a trailer, bought a cup of hot coffee to sip on the way to work on a chilly morning or simply filled the…

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RETAIL EXCELLENCE TAKES ATTITUDE, INNOVATION & LEADERSHIP

Learning lessons from the past to prepare for the future Jeff Rogut December 2012 Earlier this year I wrote about the parlous state of general retail in some areas, and still the whinging from some of our retail ‘leaders’ continues. Rather than showing real leadership, the blame game continues on everything around them and negative attitudes persist. What a pleasure it was then to hear from two of our presenters at our ‘AACS Convenience Leaders Summit’ who have challenged the status quo, who have been innovative and have certainly shown leadership in their respective areas. I refer here to Michael O’Loughlin, CEO of Applegreen in the UK and Rob Anderson, Director of APCO Petroleum right here in Geelong Victoria. Both had inspirational stories of their beginnings and challenges, but both have continued to innovate and lead. Both were start up businesses, Applegreen 20 years in the making and APCO 44…

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AACS Overseas Study Tour 2013

Lock the dates in… AACS Overseas Study Tour 2013 The renowned AACS Overseas Study Tour series will continue in 2013 taking in Orlando, Savannah and Atlanta. The dates will be October 5th 2013 to October 18th. Exclusive store visits, meetings with senior industry executives, the NACS Show and much more. Further details to follow soon……

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