Industry Analysis & Industry Trends
The Supermarket and Grocery Stores industry is one of the most fiercely competitive industries in the country. The rapid growth of the German-owned ALDI Stores Supermarkets, which almost exclusively sells private-label products at discounted prices, has caused a massive shift in the industry. Supermarket shelves have changed significantly over the past five years, as the two giants of the industry (Woolworths and Coles) scrambled to compete with ALDI's low prices. Changing consumer sentiment and preferences have also influenced trading conditions across the industry. In the five years through 2013-14, industry revenue is expected to grow at a compound annual rate of 2.4%, to reach $87.2 billion... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Supermarket and Grocery Stores industry is one of the most concentrated industries in Australia. The top four players hold almost 90.0% of the market. Acquisition activity undertaken by Woolworths and Coles has contributed to increasing concentration since the mid-1970s. In 2013-14 these two players alone account for more than 70.0% market share.
The entry of German-owned ALDI has increased industry concentration. ALDI operates as a low-cost player that stocks a limited number of popular grocery items. Consumers have responded positively to this model, contributing to ALDI's rapid growth over the past five years. ALDI holds over 7.0% of the market in 2013-14, an incredible achievement for a company that launched a little over a decade ago... purchase to read more