Aussie Supermarkets Diminishing Range of Products: Dick Smith Foods tells why.
(Reproduced with permission from Dick Smith Foods)
CAN’T FIND OUR PRODUCTS IN YOUR SUPERMARKET?
- THIS COULD BE THE REASON
Over the past 36 months major changes have occurred as the two major food retailers in Australia move towards reducing the range of all products they offer customers. This is so they can maximize their profits and return to their shareholders.
One of the instigations of this change is the foreign owned (German) Aldi company. They offer lower prices by offering a very limited range and the big supermarkets will have to follow or go broke.
This policy, which is being adopted by both Coles and Woolworths (who together have nearly 80% of the market place) is to free up supermarket shelf space to allow for the introduction of their own private label range. In effect it is proposed to limit consumer choice across all products sold. For example the jam or tomato sauce category will include their two top selling products plus a range of Coles or Woolworths branded products.
The majority of the Coles and Woolworths private label products are sourced from overseas using significantly cheaper labour and where the agricultural and manufacturing standards and regulations are not nearly as strict as they are in Australia. We expect the number of overseas sourced products to increase even further in coming years as Coles and Woolworths find other supply sources.
The effect of this policy is creating major difficulties for all the Australian owned manufacturers, including those that produce our products, to the point where we have been struggling to keep a large proportion of our product range available on supermarket shelves for our loyal customers to purchase.
Whilst we will continue to strenuously fight for Australian owned and made products to remain available on supermarket shelves, it will be extremely difficult to compete with the wealthy multi-national companies and the increasing power and domination being exercised by the major retailers.
Please assist us in our fight to save the small number of Australian owned food manufacturing businesses which still exist by asking your local Supermarket Manager to stock our products.
(see http://dicksmithfoods.com.au/index.php?d=media&p=noproducts)
CAN’T FIND OUR PRODUCTS IN YOUR SUPERMARKET?
- THIS COULD BE THE REASON
Over the past 36 months major changes have occurred as the two major food retailers in Australia move towards reducing the range of all products they offer customers. This is so they can maximize their profits and return to their shareholders.
One of the instigations of this change is the foreign owned (German) Aldi company. They offer lower prices by offering a very limited range and the big supermarkets will have to follow or go broke.
This policy, which is being adopted by both Coles and Woolworths (who together have nearly 80% of the market place) is to free up supermarket shelf space to allow for the introduction of their own private label range. In effect it is proposed to limit consumer choice across all products sold. For example the jam or tomato sauce category will include their two top selling products plus a range of Coles or Woolworths branded products.
The majority of the Coles and Woolworths private label products are sourced from overseas using significantly cheaper labour and where the agricultural and manufacturing standards and regulations are not nearly as strict as they are in Australia. We expect the number of overseas sourced products to increase even further in coming years as Coles and Woolworths find other supply sources.
The effect of this policy is creating major difficulties for all the Australian owned manufacturers, including those that produce our products, to the point where we have been struggling to keep a large proportion of our product range available on supermarket shelves for our loyal customers to purchase.
Whilst we will continue to strenuously fight for Australian owned and made products to remain available on supermarket shelves, it will be extremely difficult to compete with the wealthy multi-national companies and the increasing power and domination being exercised by the major retailers.
Please assist us in our fight to save the small number of Australian owned food manufacturing businesses which still exist by asking your local Supermarket Manager to stock our products.
(see http://dicksmithfoods.com.au/index.php?d=media&p=noproducts)
I've noticed the number of mites has dropped considerably in the time I've been studying supermarkets. At one stage there were five (from memory) different mites available at the supermarket. Vegemite, Promite, Marmite, Mightymite and what'sitmite. Now the shelves are dominated by Vegemite with two others hidden on the bottom shelf.
As an aside I used to play the "What mite is it?" game with my wife who claimed to have a very discerning mite taste. When handed an unknown mited piece of toast she got it right most times...
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