WOW 0.13% $29.64 woolworths group limited

The problem with the FMCG industry in Australia is as follows:1....

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    The problem with the FMCG industry in Australia is as follows:

    1. Almost all malls either have Coles and/or Woolworths and if lucky Aldi.

    2. Australian Consumers have a nasty habit of shopping at the chosen duopoly regardless of price.

    3. Coles & Woolworths have the biggest range compared to Aldi, IGA, etc.

    4. Promotion prices are paid by the suppliers not the supermarket, this helps drives consumers into the store.

    5. Fruit & Vegetables are the single biggest item to consumers, e.g. one in five baskets would contain some sort of fruit/vegetable, for example banana. Woolworths always took the lead in quality until a few years ago.

    6. Targeted Discounts with EveryDay rewards and Flybuys have disappeared after COVID.

    7. Delisting certain brands and reducing the selection of the category including adding more Homebrand products drives profit for the duopoly. Certain brands have disappeared from the shelves over the years.


    Super markets in Australian haven't taken up the promotion offers of buy one get one free (BOGOF) associated in other countries like the United Kingdom.
 
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