Woolies cuts prices in bid to catch Coles’ growth

The Australian Financial Review04-23

Mr Raymond said, if the big supermarkets could offer some genuine savings for customers, they would see a value perception benefit, since expanding gross margins further in the current political and ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2429157549?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2024-04-23 15:56","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2429157549","market":"us","top_or_hot":-1,"title":"Woolies cuts prices in bid to catch Coles’ growth","media":"The Australian Financial Review","content":"<div>\n<p>Mr Raymond said, if the big supermarkets could offer some genuine savings for customers, they would see a value perception benefit, since expanding gross margins further in the current political and ...</p>\n\n<a href=\"https://www.afr.com/companies/retail/woolies-cuts-prices-in-bid-to-catch-coles-growth-20240423-p5flw9\">Source Link</a>\n\n</div>\n","source":"afr_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Woolies cuts prices in bid to catch Coles’ growth</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWoolies cuts prices in bid to catch Coles’ growth\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-23 15:56 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.afr.com/companies/retail/woolies-cuts-prices-in-bid-to-catch-coles-growth-20240423-p5flw9><strong>The Australian Financial Review</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Mr Raymond said, if the big supermarkets could offer some genuine savings for customers, they would see a value perception benefit, since expanding gross margins further in the current political and ...</p>\n\n<a href=\"https://www.afr.com/companies/retail/woolies-cuts-prices-in-bid-to-catch-coles-growth-20240423-p5flw9\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK7511","symbol_name":"ESG概念","start_time":0,"source_url":"https://www.afr.com/companies/retail/woolies-cuts-prices-in-bid-to-catch-coles-growth-20240423-p5flw9","article_id":"2429157549","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2429157549","pubTimestamp":1713858960,"sourceInfo":{"source_id":"afr_stock","name":"The Australian Financial Review"},"weMediaInfo":null,"summary":"Mr Raymond said, if the big supermarkets could offer some genuine savings for customers, they would see a value perception benefit, since expanding gross margins further in the current political and r","collect":0,"end_time":0,"defaultTopTitle":"afr.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK7511":"ESG概念","COL.AU":"COLES GROUP LTD","WOW.AU":"WOOLWORTHS GROUP LTD","BK7040":"食品零售","BK7082":"大卖场与超市","XKO.AU":"标普/澳交所 300指数","XAO.AU":"标普/澳交所 普通股指数","XJO.AU":"标普/澳交所 200指数","BK7501":"新冠治疗股"},"translate_title":"Woolies降价以赶上Coles的增长","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"COL.AU":1,"WOW.AU":0.9,"XAO.AU":0.9,"XJO.AU":0.9,"XKO.AU":0.9},"content_text":"Mr Raymond said, if the big supermarkets could offer some genuine savings for customers, they would see a value perception benefit, since expanding gross margins further in the current political and regulatory climate would present longer-term risks.Mr Raymond’s comments after the investment bank surveyed some 120 private label packaged goods, and found Woolworths had reduced its price premium to Aldi by about 160 basis points to 7.8 per cent in April, compared with 9.4 per cent in March. Coles’ premium to Aldi was at 7.7 per cent in April compared with 7.9 per cent in March.Among the biggest drivers was price cuts at Woolworths and Coles of lamb, sausages and deli, chicken, beef, pork as well as cheese and baked goods. Aldi, a discount supermarket, aims to be between 15 per cent and 25 per cent cheaper than its rivals.In January and February, Coles’ supermarket sales rose an adjusted 4.9 per cent compared with Woolworths’ Australian food sales which gained just 1.5 per cent. Analysts believe the growth gap is the largest since 2018, when Coles launched the first highly successful Little Shop collectables program.Both Coles and Woolworths will provide third quarter sales updates next week.The major supermarkets have faced intense political pressure over increasing prices, which they attribute to higher costs which are being passed on to customers.AdvertisementLast week, Woolworths chief executive Brad Banducci and Coles managing director Leah Weckert faced a Senate hearing about their market power. A report is due by May 7.Coles chief executive Leah Weckert told The Australian Financial Review in February the company had made keeping prices down an “absolute top priority” for the year, adding that the “competitive environment in Australia in the grocery space is very robust”.Both Woolworths and Coles are well aware of competitors’ prices and check this data several times a day. The Australian Competition and Consumer Commission is also investigating how supermarkets set prices with its interim report due by August 31.Both Coles and Woolworths will provide third quarter sales updates next week.Mr Raymond said the lead by Coles is yet to fully close, despite many of these drivers considered to be temporary sales boosts, such as the timing of collectables programs and Woolworths’ call not to stock Australia Day merchandise.“We expect a promotional response from Woolworths to this sales underperformance, which may be occurring based on our survey, and is likely to weigh on gross margins,” he said.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2429157549"}