Woolworths vows bigger price cuts to compete with Coles

Wes Hosking
Herald Sun
May 14, 2012

Woolworths is offering discounts of at least 20 per cent across 1200 items.

SUPERMARKET giant Woolworths is promising to slash grocery prices as much as 50 per cent in a revamp of its rewards program to fight back against Coles.

The initiative, to begin today, comes less than a month after an overhaul of the rival Flybuys scheme which saw shoppers given a 10 per cent discount off five handpicked products at Coles.

Woolworths has struck back by offering discounts of at least 20 per cent across 1200 items, including meat, cereal, tinned food and beauty products.

These include brand and private-label groceries, but “Extra Special Extra Simple Savings” don’t include fresh milk, fruit or vegetables.

Items subject to the offer will be marked with an orange tag and shoppers receive their discount when they swipe an Everyday Rewards card.

Unlike Coles my5 Flybuys’ discount, which requires shoppers to spend at least $50 to receive a discount on five favourite products, there is no minimum spend, nor is there an end date for the Woolies promotion.

An independent analysis had recently awarded Coles bragging rights in the loyalty card stakes, finding Flybuys could save savvy shoppers spending $156 a week just over $6 each time they shopped.

Before its revamp Flybuys claimed to have more than five million active cardholders, while Woolworths said its program had more than seven million members.