GROCERY TRADE – AUSTRALIA

Private-label brands lose their stigma

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Original article by Sue Mitchell
The Australian Financial Review – Page: 19 : 11-Dec-14

The market share of Australian supermarkets’ private-label brands has risen from 18 per cent to 21 per cent in the last two years. Research by Nielsen also shows that 76 per cent of consumers believe that the quality of home brands has improved. Kosta Conomos of Nielsen says that Generation Y in particular is embracing private-label groceries, and he forecasts that the market share of house brands will top 25 per cent within five years

CORPORATES
THE NIELSEN COMPANY (AUSTRALIA) PTY LTD, WOOLWORTHS LIMITED – ASX WOW, COLES GROUP LIMITED, WESFARMERS LIMITED – ASX WES, ALDI STORES SUPERMARKETS PTY LTD

Metcash warns on profit growth

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Original article by Sue Mitchell
The Australian Financial Review – Page: 11 & 17 : 2-Dec-14

Listed grocery wholesaler Metcash has reported a 2014-15 interim underlying net profit of $A101.7m, which is nine per cent lower than previously. It has advised that full-year EBIT is likely to be within the range of $A315m to $A330m. CEO Ian Morrice says the initial results of the group’s five-year turnaround plan have been encouraging, but he has indicated that the group may not achieve its goal of resuming profit growth in 2016

CORPORATES
METCASH LIMITED – ASX MTS, INDEPENDENT GROCERS OF AUSTRALIA, SUPA IGA, CITIGROUP PTY LTD, DEUTSCHE BANK AG, WOOLWORTHS LIMITED – ASX WOW, COLES GROUP LIMITED, WESFARMERS LIMITED – ASX WES, ALDI STORES SUPERMARKETS PTY LTD, DANKS HOLDINGS LIMITED

Popular Aldi threatens Woolworths, Coles duopoly

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Original article by Sue Mitchell
The Australian Financial Review – Page: 1 & 12 : 15-Aug-14

Aldi currently boasts annual sales of about $A5.3bn in Australia. A UBS report estimates that Aldi could potentially lift its sales to $A9.3bn in the next five year. The firm forecasts that the annual sales of Coles, Woolworths and Metcash could be slashed by $A250m to $A350m by 2019 due to the growth of Aldi. Ben Gilbert of UBS notes that Aldi could achieve even stronger growth if it addresses issues such as the quality of its fresh food and long queues at checkouts, which are negatively affecting consumer sentiment toward the group

CORPORATES
ALDI STORES SUPERMARKETS PTY LTD, UBS HOLDINGS PTY LTD, COLES GROUP LIMITED, WOOLWORTHS LIMITED – ASX WOW, METCASH LIMITED – ASX MTS, TESCO PLC, J SAINSBURY PLC, ASDA GROUP PLC, MORRISONS, LIDL GMBH & CO KG, ROY MORGAN RESEARCH LIMITED

Kennett to steer Coles supplier charter

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Original article by Richard Gluyas
The Australian – Page: 20 : 7-Aug-14

John Durkan, CEO of dominant supermarkets chain Coles, has announced a new charter to safeguard the interests of its suppliers. The initiative is in addition to the ongoing talks by Coles, rival Woolworths and the Australian Food & Grocery Council on a code of conduct for the sector, which have entered a consultation period to last until the end of August 2014. The Australian Competition & Consumer Commission had accused Coles of forcing small food manufacturers into contributing $A16m to the cost of a supply chain overhaul. The new charter will be overseen by ex-Victorian premier Jeff Kennett

CORPORATES
WESFARMERS LIMITED – ASX WES, COLES GROUP LIMITED, WOOLWORTHS LIMITED – ASX WOW, AUSTRALIAN FOOD AND GROCERY COUNCIL, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, FEDERAL COURT OF AUSTRALIA

Coles to play banks at own game

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Original article by Jared Lynch
The Australian Financial Review – Page: 19 : 15-Jul-14

Coles will expand its product offerings in the financial services sector, with the introduction of personal loans. The grocery retailer expects to receive regulatory approval by the end of 2014, but Coles Finance director Rob Scott has declined to comment on the possibility that Coles could also seek a banking licence. The new products will be offered in partnership with GE Capital

CORPORATES
COLES GROUP LIMITED, WESFARMERS LIMITED – ASX WES, GE CAPITAL AUSTRALIA, TESCO PLC, J SAINSBURY PLC, MARKS AND SPENCER PLC, MASTERCARD AUSTRALIA LIMITED, VISA INTERNATIONAL, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA