Forum Archive Index - May 2003

["Ben Dutton" <bdutton@ihug.com.au>]

Hi Snoopy

> When WHS first moved into Austalia they kept the 'Clints Crazy Prices'
> and 'Silly Sollies' brands, possibly for this reason.   I wonder if any
> Australians would shun shopping at the Warehouse simply because it
> was New Zealand owned?   Any of our Australian subscribers like to
> comment?

My impression from living here in Sydney is that Aussies wouldn't think
twice about shopping at the Warehouse just because it was NZ owned.  The
recent entry of Aldi supermarkets into the Australian market is a good case
study.  Aldi is a German supermarket chain that carries a small product
range with deep discounts.  From all accounts the stores have been doing
very well - everyone wants a bargain, and Aldi provides many bargains,
especially when compared to Woolworths and Coles.

So, even though The Warehouse is in a different category to supermarkets, I
can't imagine it would fare badly from patriotic buying if an obviously
foreign brand, Aldi, is doing well.  There are the odd "buy Australian"
campaigns, but these are more product specific, rather than being store or
company specific.

Coles Meyer may be Australia's largest employer, but that doesn't mean
Australians are pre-disposed to shopping at Coles, Kmart and Target.  In
fact, if one was to judge from the attitude in the mile-long Coles
supermarket checkout queue I was standing in yesterday, people wouldn't mind
some more better managed and well-run competitors in the market.

Best Regards

Ben Dutton
Disc. No Warehouse shares


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