Carlton & United Breweries’ Post

Loads in the press recently regarding Asda. Not much of it is positive. However, there are some incredible people in my network that have joined, or remained in, the business - these people have incredible track records in driving and delivering exceptional technological, operational and people oriented change that is capable of propelling the business forwards. It’s worth noting that Asda have absolutely lost some incredible talent of late. Some really key people to the business… But they have also done some great work regarding talent acquisition and talent retention. What I think is KEY to Asda’s future success is the appointment of an inspirational, transformation and turnaround focussed leader, who can build cohesion between the executive leadership team(s), and an effective and consistent communication channel that inspires and informs the wider business - from top to bottom. As well as building a strategy that sees the customer being of paramount importance. The core, central strategic cog. A short-term leader is great, who can initiate change and foster motivation and a sense of togetherness internally. But a longer term leader who has successfully lead similar transformation and turnaround efforts is critical. A new strategic direction, and a clear roadmap is also essential! The technology transformation, that’s come off the back of the separation from Walmart, needs to be turned around and sped up - but the talent is absolutely there to deliver this, so long as there is a clear strategic vision and consistent, inspiring communication from top down, with open ears to ideas and current feelings from bottom up. Some modernisation is needed across areas like clothing, home and household - sure. But getting to grips with pricing, loyalty and promotions across the grocery business should help with driving footfall and traffic to the brand, across their various channels and store-types, to increase profits and revenues, closer to those of past times. This is a perfect case of transforming the business with the customer being the priority. Modernised technology solutions will help, but not for technologies sake. A strong strategy and direction needs to be devised, with internal customers buy-in being key. Technology will be a strong enabler to create the customer journey and experience, and to improve the experience of the internal customers, but people and processes are more important - especially in this case! Massively exciting to watch from the outside, and I really hope Asda can turn this around!

Interesting summary

There is no surprise that Coles Group is excelling in winning the value consumer market. Over the past 24 months, they have strategically expanded their private label program with great success through the multi-tier approach - Coles Simply, Coles, & Coles Finest. These products are not only well-positioned and stocked in-store but also maintain a high standard of quality. With the recent opening of the second automated distribution centre (ADC), Coles Group is poised for further growth in market share, enhancing productivity, and service levels for both stores and consumers. Despite being a smaller business in terms of revenue and store numbers, Coles Group's focused approach on its core supermarket business sets it in a strong position, allowing undivided attention to address any issues and drive performance. Moreover, Coles Group benefits from a significant CODB advantage and currently delivers an enhanced in-store experience. The rebranding of Vintage Cellars & First Choice liquor stores to Liquorland reflects strategic simplification and clarity for both consumers and the organization, leading to cost savings in the future. #focused #foodretail #qualityexecution #smartmoves

Many of us have grown up with the 'Big 4' being permanent and unchallenged. Most people will now know that Morrisons has been knocked out of this traditional group, but to also see Lidl close to moving in to this previously unshakeable pack is also a further big change. Furthermore, could Asda be moved into 4th with it's ongoing decline or will the resurgence now start with Stuart Rose taking the helm? Could we soon see Tesco, Sainsburys, Aldi and Lidl as the new BIG 4?? I have to say...based on my own observations...Asda has completely lost its way and has a clear identity crisis- previously known as the cheapest, now known as what? Remember Asda clearly strategised for 2nd biggest grocer only a few years ago! The ongoing rise of Sainsburys is an interesting tale, considering it was traditionally known as the more expensive option...but gains market share in the middle of a cost of living crisis. What drives this? One final point...is the customer view of standards no longer important- is it all about price nowadays? Aldi & Lidl gain market share but don't have the traditional standards expected of a grocer...but do customers really care?? Will be interesting to see what happens over the next few years in terms of market share!! Let me know your thoughts!!

Is this the definition of “leading with your chin”? Coles Group is offering a whopping 5c (1%) discount off Uncle Tobys porridge (pic taken yesterday). So if you treat yourself to 800 bowls of porridge you will save enough money to wash it down with a small flat white. Knock yourself out! Meanwhile the ACCC is suing Coles and Woolworths Supermarkets for misleading customers with “illusory” discount pricing. The issue created a truckload of negative media and social media coverage last year, hammered their reputation and surely drove thousands of customers to ALDI Stores Australia, Costco Wholesale, FOODWORKS, IGA, Harris Farm Markets and the local fruit & veg shop. Coles clearly wants to reheat the crisis. #crisismanagement #crisiscommunications #owngoal

From FMCG; This week has produced, a well predicted but not formalised shake up of the Alcohol / Beverage retailer landscape in Australia. After Woolworths Group announced on Monday that they will be selling the remaining 4.1% share in Endeavour Group, to fund the remaining 35% share of PFD Food Services, Coles has announced a rebranding strategy for Vintage Cellars & First Choice Liquor Mart. While the broader drinks industry has seen a somewhat contracting market over the past 12 months, the investment behind foodservice continues to grow. Will we see more businesses following Woolworths & Metcash with continued investment into Foodservice? #fmcgsales #foodservice #investtogrow

This is not new news, as quite a few of the #tesco Aldi Price Match items have not been of the same specification since the campaign launched in 2020, notably some from the Tesco "Discounter Brands" (Everyday at Tesco range). It has surprised me that #aldi have not highlighted this over the past 4 years, but maybe the Aldi Price Match campaign is actually promoting their business... We cover this topic in detail in our new book 'The Power of Private Label", where we explore how the UK and other European #supermarkets, such as Germany and the Netherlands, have tried to address the rising challenge of both Aldi and #lidl. This brand new book will be published early October. Visit https://lnkd.in/e2_9D-_8 for more details. #ukretail #competition #sainsburys #asda #morrisons #privatelabel International Private Label Consult (IPLC) https://lnkd.in/eah8ZWku

Surely this proves that price isn't everything?! Tesco were voted Britain’s Favourite Supermarket for the 10th year in NIQ’s latest annual Homescan survey. They hold the top spot across 6 of the 10 attributes below, but they aren't in the top 2 for price. Aldi UK and Lidl GB are gaining share, but the grocers that are winning (Tesco and Sainsbury's) are the ones that aren't trying to compete on price alone (like Asda seemingly are). What do you think? Is there more to retail competitiveness than price? #fmcg #grocery #categorymanagment Image from The Grocer (https://lnkd.in/eu5YGfVC)

🏆 Winner Declared in Aussie Supermarket Price War! A recent CHOICE report has crowned ALDI Stores Australia as the cheapest option for Aussie shoppers, beating out Coles Group and Woolworths Supermarkets. Here are the key takeaways: 📉 Price Breakdown: - Aldi: $50.79 (down from $51.51 in March) - Coles: $66.22 (down from $68.52 in March) - Woolworths: $68.37 (up from $64.93 in March) 📊 Despite Aldi's consistently lower prices, it still holds only a 10% market share compared to the combined 65% of Coles and Woolworths. ⚖️ Interesting Data Points: - Woolworths' basket price increased by $3.44 between March and June. - Coles saw a drop of $2.30 during the same period. - CHOICE emphasized the benefits of shopping specials, which can drastically affect overall costs. 📢 Call to Action: With significant savings at stake, it might be time to give Aldi a try and see the difference for yourself! #CostOfLiving #Aldi #Coles #Woolworths #GroceryPrices #AustralianBusiness #EconomicNews

Woolworths Supermarkets has reopened its four distribution centres after reaching a deal with the striking workers but expects about a $140 million negative impact on food sales due to the picketing, which began last November 21. https://lnkd.in/gF3fsWf2