WES - what's next?, page-30

https://www.theaustralian.com.au/bu...z/news-story/9eb830f2ae2f2a90fa339bb766270f3a

Bunnings plans to expand Adelaide Tools across Australia and NZ


Adam Peach from the Peach family, which has run Adelaide Tools for over 70 years. Picture: MATT LOXTON

• ELI GREENBLAT
  SENIOR BUSINESS REPORTER
  
• 10:53AM JUNE 3, 2021

Bunnings plans to transform its recently-acquired Adelaide Tools chain into an equipment powerhouse with as many as 75 stores across Australia and New Zealand.
The expansion plans could in the next few years turn the 70-year old family business into a new hardware giant, which will be rebranded outside South Australia.
Since Bunnings announced the purchase of the power tools retailer from its family owners in 2019, Adelaide Tools has opened a new format store at Parafield in South Australia and will open its first stores outside its home state in the first half of 2022.

First will be Western Australia, followed by the rest of Australia and New Zealand, Bunnings says.
Bunnings chief executive Michael Schneider unveiled the ambitious growth plans for Adelaide Tools during his presentation at Wesfarmers’ strategy day.
Mr Schneider said Adelaide Tools would be rebranded outside South Australia and have as many as 75 stores across Australia and New Zealand over the next five years.

“For us it will be about scaling Adelaide Tools and what we name it outside of South Australia into a network across Australia and New Zealand, it will probably be somewhere in the vicinity of 75 or so stores in the medium term, in the next three to five years,” Mr Schneider said.
“It is clearly an opportunity for us to deepen the connection with specialist trades in those categories.”


Bunnings’ Mike Schneider has big plans for Adelaide Tools. Picture: Peter Mathew

While Bunnings has not revealed what Adelaide Tools will be called outside South Australia, a search of the IP trademark register shows that in recent months Bunnings has applied for trademarks for the names Onya Tools, Project Tools, Benchmark Tools and Dontas Tools.

Bunnings’ plans herald a sharp lift in the profile of the South Australian family-owned retailer.
Adelaide Tools has been run by Marissa and Rob Peach after being originally established in 1949 by Sam Dontas, Marissa’s father.
Mr Schneider said the power tools chain would complement Bunnings’ existing operations, but remain an independent, family business within the group.
Shoppers, especially tradies, could find themselves better suited to selecting tools in an Adelaide Tools store than in a Bunnings.
“Many of those (Adelaide Tools products) don’t have a natural home within the product architecture of the Bunnings format,” Mr Schneider said.
Adelaide Tools built up a reputation among tradies and high-end DIY enthusiasts through its five Adelaide stores and a mower centre. It also offers more than 8000 products online.