KMD 1.25% 39.5¢ kmd brands limited

Ann: KMD Brands Trading Update, page-5

  1. 5,275 Posts.
    lightbulb Created with Sketch. 500
    the only way to fixed this is they have to sell cheaper than their competitor to bring their customers back

    Woolies went through a period like this sometimes ago losing market shares to Aldi and Coles and they talked up their margin biggrin.png
    so they bought in the new CEO and he went on a price war and sacrificed margin and WOW is back on top.

    look like KMD is making the same mistakes but I dont think KMD has the financial strength to price war with SUL and their bigger competitors
    so I see it slowly going down the toilet.

    the only way I can see them reverse the trend is they shrink their stores, have less but bigger stores and sell them dirt cheap and customers will response.
    expanding your foot print while lose market shares is going to bankrupt you (like Billabongs back in the day). The rent and the staff cost going to slowly killed you.
    Last edited by ROEROC: 20/12/23
 
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