Supermarkets and Grocery Stores in Australia - Market Research Report

Supermarkets and Grocery Stores industry trends (2014-2019)

poll Average industry growth 2014–2019: 2.5%

The Supermarkets and Grocery Stores industry is one of the most fiercely competitive industries in Australia. However, price-based competition has begun to decrease over the past two years. Over the first half of the past five-year period, the rapid expansion of ALDI significantly altered the industry's operating landscape, with the popularity of its low-cost private-label products underpinning strong growth. ALDI's rise forced the two established industry giants, Woolworths and Coles, to cut prices and expand their private-label product ranges in response. Smaller supermarket chains have struggled to compete in an increasingly price-intense industry. Industry profit margins have fallen over the past five years as players have reduced prices and acce...
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Supermarkets and Grocery Stores industry outlook (2019-2024)

poll Average industry growth 2019-2024: x.xlockPurchase this report or a membership to unlock the average company profit margin for this industry.

Price competition in the Supermarkets and Grocery Stores industry is anticipated to remain strong over the next five years, but not as intense as was reported over the past five years. Coles and Woolworths have been improving stores and digital capabilities to differentiate their brands from low-cost supermarkets. Less direct price-based competition and an increasing focus on high-margin products will likely place modest upward pressure on prices over the next five years. However, budget supermarkets, including ALDI and incoming players AmazonFresh and Kaufland, are projected to provide consumers with low-cost product alternatives, keeping Woolworths' and Coles' pricing strategies honest. The increasing prevalence of private-label goods at major supe...
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Supermarkets and Grocery Stores industry statistics

  • attach_money Market Size: $108bn
  • business Number of Businesses: 6,688
  • poll Average Industry Profit Margin: x.x%
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  • supervisor_account Industry Employment: 348,766

Biggest companies in the Supermarkets and Grocery Stores industry

The companies holding the largest market share in the Supermarkets and Grocery Stores in Australia industry include Woolworths Group Limited, Coles Group Limited, Aldi Stores (A Limited Partnership) and Metcash Limited.

  • pie_chart Woolworths Group Limited Market Share: x.x%
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  • pie_chart Coles Group Limited Market Share: x.x%
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  • pie_chart Aldi Stores (A Limited Partnership) Market Share: x.x%
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  • pie_chart Metcash Limited Market Share: x.x%
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What is Supermarkets and Grocery Stores industry?

Industry Definition

Supermarkets and grocery stores retail a range of groceries and food products, including fruit and vegetables, bread, cigarettes, canned goods, toiletries, dairy goods, delicatessen items and cleaning goods. Specialist retailers, niche retailers and convenience stores are excluded from the industry.

Industry Products and Services

  • Dry and packaged foods
  • Bread and bakery products
  • Meat products
  • Milk and other dairy products
  • Fresh fruit and vegetables
  • Beverages
  • Tobacco products
  • Toiletries, health products and general merchandise

Industry Activities

  • Operating supermarkets
  • Operating grocery stores

Market research report - table of contents

Industry Definition

Supermarkets and grocery stores retail a range of groceries and food products, including fruit and vegetables, bread, cigarettes, canned goods, toiletries, dairy goods, delicatessen items and cleaning goods. Specialist retailers, niche retailers and convenience stores are excluded from the industry.

Main Activities

  • Operating supermarkets
  • Operating grocery stores

Similar Industries

Additional Resources

Industry Statistics Snapshot

Industry Structure

Executive Summary

Key External Drivers

Trends in real household disposable income affect the industry's performance. During periods of low or falling disposable income, consumers are more likel...
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Real household disposable income
Consumer sentiment index
Population
Demand from cafes, restaurants and takeaway food services

Current Performance

Industry landscape
 Chart: Revenue Growth

Industry Outlook

Online focus
Investing in technology
 Table: Supermarkets and Grocery Stores in Australia - Market Research Report Industry Revenue Outlook

Industry Life Cycle

Life Cycle Reasons
 Chart: Benchmarking - Supermarkets and Grocery Stores in Australia - Market Research Report Industry Lifecycle vs The Economy

Supply Chain

Key Buying Industries

Consumers






Key Selling Industries

Meat Processing in Australia
Dairy Produce Wholesaling in Australia
Fruit and Vegetable Wholesaling in Australia
Soft Drink and Pre-Packaged Food Wholesaling in Australia
General Line Grocery Wholesaling in Australia
Cosmetics and Toiletry Wholesaling in Australia
Outdoor Vegetable Growing in Australia

Products & Services

Several trends have influenced the Supermarkets and Grocery Stores industry's range of products over the past five years. These trends include major playe...
Fourth income quintile
Third income quintile
Second income quintile
First income quintile


Demand Determinants

Groceries are a staple item, so consumer demand will always exist for the industry. Price and corresponding fluctuations in real household disposable inco...
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Major Markets

Fourth income quintile
Third income quintile
Second income quintile
First income quintile



 Chart: Major Market Segmentation for the Supermarkets and Grocery Stores in Australia - Market Research Report Industry

International Trade

Business Locations

Chart: Business Locations by State Chart: Business Locations by State

Market Share Concentration

The Supermarkets and Grocery Stores industry is highly concentrated, with the four largest operators accounting for over 80% of industry revenue in 2019-2...
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Key Success Factors

Cost Structure Benchmarks

Profit, Purchases, Wages, Other Costs
 Chart: Cost Structure Benchmarking – Sector vs Supermarkets and Grocery Stores in Australia - Market Research Report

Basis of Competition

Internal competition
External competition

Barriers to Entry

 Table: Barriers to Entry Checklist for the Supermarkets and Grocery Stores in Australia - Market Research Report Industry

Industry Globalization

Woolworths Group Limited is one of the largest companies in Australia, as measured by annual revenue. The company's headquarters are in Bella Vista, Sydne...
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Woolworths

 Table: Woolworths - financial performance

Coles Group

 Table: Coles Group - financial performance

Aldi

 Table: Aldi - financial performance

Metcash

 Table: Metcash - financial performance

Capital Intensity

The Supermarkets and Grocery Stores industry is moderately capital-intensive. For every dollar spent on capital costs, stores spend an estimated $5.72 on ...
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 Chart: Level of Capital Intensity for the Supermarkets and Grocery Stores in Australia - Market Research Report Industry
 Chart: Tools of the Trade: Growth Strategies for Success

Technology & Systems

Revenue Volatility

Chart: Volatility vs Industry Growth Chart: Volatility vs Industry Growth

Regulation & Policy

Industry Assistance

Table: Industry data Table: Industry Data for the Supermarkets and Grocery Stores in Australia Industry

Industry Revenue (2007-2026)
Industry Gross Product (2007-2026)
Establishments (2007-2026)
Businesses (2007-2026)
Employment (2007-2026)
Exports (2007-2026)
Imports (2007-2026)
Wages (2007-2026)
Domestic Demand (2007-2026)

Table: Annual Percentage Change for Key Industry Data Table: Annual Percentage Change for Key Industry Data

Table: Key Ratios for Industry Key Dat Table: Key Ratios for Industry Key Data

Table: Industry Financial Ratios Table: Industry Financial Ratios

Liquidity Ratios
Coverage Ratios
Leverage Ratios
Operating Ratios
Cash Flow & Debt Service Ratios (% of Sales)
Assets, %
Liabilities, %

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Included in Report

  • Industry Financial Ratios
    Industry Financial Ratios
  • Revenue Forecasts
    Revenue Forecasts
  • Historical and Forecast Growth
    Historical and Forecast Growth
  • Industry Market Size
    Industry Market Size
  • Industry Major Players
    Industry Major Players
  • Profitability Analysis
    Profitability Analysis
  • SWOT Analysis
    SWOT Analysis
  • Industry Trends
    Industry Trends
  • Industry Operating Conditions
    Industry Operating Conditions
  • Porter's 5 Forces Analysis
    Porter's 5 Forces Analysis

Why buy this report on the Supermarkets and Grocery Stores industry?

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This report on Supermarkets and Grocery Stores in Australia:

  • Provides Market Size information to assist with planning and strategic decisions.
  • Includes the necessary information to perform SWOT, PEST and STEER analysis.
  • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
  • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.

The Supermarkets and Grocery Stores in Australia market research report includes:

  • Historical data and analysis for the key drivers of this industry
  • A five-year forecast of the market and noted trends
  • Detailed research and segmentation for the main products and markets
  • An assessment of the competitive landscape and market shares for major companies
  • And of course, much more

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