New blow to Woolies as they try to win you back

For awhile small independent grocers and butchers have pointed the finger at Coles and Woolworths for forcing them to compete

For awhile small independent grocers and butchers have pointed the finger at Coles and Woolworths for forcing them to compete unfairly.  In a lot of those situations, those business had to close.  The harsh competition has done nothing for the big two either as Woolworths today announced that it would slash 500 jobs and close 27 stores in a restructuring that will cost $1 billion.

There have been other factors into the hardship that Woolworths is facing including the fallout from the Masters and Home Timber and Hardware fiasco.  Woolworth has also divided Big W from online seller Ezibuy adding to the speculation that more sell-offs and closures are eminent.

Woolworth Chief Executive Brad Banducci told The Sydney Morning Herald “”We’ve faced up to reality of where we are and put our past behind us”.  He also stated that they have learned from their past mistakes.  Brad also said, “Today’s announcement demonstrates both the progress we are making and our absolute commitment to act quickly to rebuild the business by doing the right thing by our customers, shareholders, team and suppliers”.

While they have not made any comment on which stores across the country will close but would confirm that the number is expected to be 27.  The job losses will be mainly from support office and supply chains with the hope that the more than 1000 employees in the stores can be moved to other branches.

While Woolies is trying to rebuild its reputation with consumers with new ad campaigns and cheaper products, many believe that they need to focus on those that are making the costly mistake higher up the ladder.  Even Brad Banducci has admitted that moving into the online market place with Ezibuy and the Masters venture looked good on paper but “It would be fair to say the strategy hasn’t worked,” he said.

How do you think this will affect Woolies’ stores?  Will these losses force it to raise prices that they have previously dropped?



  1. Valerie  

    Woolworths you need to bring back known brands ,get rid of your cheap rubbish ,

    • Josephine Beaton  

      Right on. Woolies, you are not giving us what we want . . . respected brands

  2. Hilary Adlam  

    I have ceased shopping at w. Because of how they have deal with farmers and growers. (OTR seem to be buying their petrol stations and will have a monopoly) I shop at all local shops because if I (we) do not they will leave as well. Money (profit) is not everything. Big orgs need to respect the growers, not import crap and have moderate pricing. As a customer I felt mor and more manipulated.

    • Love you’re attitude and agree whole heartedly. Stopped shopping Woolworths during the milk fiasco. Cut down on Coles as well. I wonder if the smaller shops like IGA , and Friendly grocers are competitive in their own level ?. Some prices seem pretty rich.

    • Brigette  

      Here here….support small local retailers and other small businesses. The big supermarkets hold too much power which they can’t be trusted with. We personally only buy Australian made/grown and Australian owned food products – no home brands. Buy less, buy better.

  3. I left Woolies ages ago when they changed their rewards card which excluded Big W. I also experienced very rude staff in their Sunbury shop.

  4. Rhonda Jones  

    Woolworths need to bring back service – e.g. Home Delivery at least 1 day a week from their stores, somebody full time at the Enquiry Desk, less Self Serve and more Checkout. They also need to bring back well known brands and some of the older fashion foods and not stock half the rubbish they are now selling – ninety percent of it is just repeat, repeat but by different Makers. Now don’t get me started on Home Delivery – it is now $11.00 for all delivery times, 1/2 of what you want is not available at your Service Centre and depending on who does the Order your Fruit/Vegies cannot really vary in quality. I only shop there these days for certain things as they are on special all the time at present.

    • lorraine johnston  

      I agree with all you said.My Woolies staff are fab, but not enough staff or checkouts open. More and more I go to our Coles and local stores.

  5. veronica cheeseman  

    Woolworths and Coles are just too dear! The meat is unbelievable, dearer than the butchers, and now we shop at Aldi and the local butcher…..some staples we need from W & C but not a big shop…..gone are those days……I have been in there and have bought about 6 or 7 items and didn’t get much change out of $50.

  6. One of Woolies biggest faults , in my opinion, was not staffing checkouts sufficiently. I was so angry at a store on the Sunshine Coast, I took photos of the frustrated queued customers with the intention of posting on-line – I didn’t. At another of their stores, one Christmas I left an overloaded trolly at the exit – as my elderly husband was waiting in the car – in the heat. There were 2 only checkouts in operation (several more unmanned were vacant) and a long queue of people at each of the two operational . Things may have smartened up since, but, as a consequence I still tend to preference elsewhere. Customers voting power is with their feet – primarily they want service, Australian made and reported respect for the suppliers.

  7. Ray miller  

    I shopped at patterson lakes and found w dirty and grubby also very rude could not wait for Coles to open and shopped there ever since and been satisfied.

  8. Carryn  

    Absolutely agree!! I only get a few things that I can’t get elswhere… I also believe that they would be better off not paying the halal rort. There are more genuine Aussies than the minor percentage of ‘refugees’ they are pandering to…

  9. Kim  

    I stopped shopping at w, because their home delivery was crap, my order arrived with just a third of what I ordered, no email telling me out of stock, still had to pay the delivery fee no excuses given, but I had to go to the shop to purchase rest and it was from the store where it was packed from too, then to find all the items I originally ordered were on the shelves. I questioned customer service about it and was told the shelves hadn’t been restocked at the time they packed my order. Grrrrrrrr, made me so mad, I refuse to use any of their owned businesses, and will only shop Iga or Coles now

  10. Eleanor  

    I now use W as a top up shop after shopping at Aldi. It infuriates me that the Express lanes are no longer opened at Carnegie north store. Also that the queues are too long at the very few staffed normal cashiers. I do not want to use the self service counters. I have been recently very ill and need to use an elbow crutch. Waiting in long queues, using self serve, is not for me. With no Express lane open now, I find Aldi fast and efficient….and the prices are excellent.

  11. Kristin Brown  

    Woolworths are no longer the fresh food people they say they are, their fresh food is not fresh their meat is expensive and not fresh. I only buy tin food for the cat from them now.

  12. Valerie  

    I love shopping at Woolworths, but find the self serve checkouts are not good, I love the people who work on the registers, i have found them very helpful, but you need more people on registers when very busy.

    Also that is why Aldie is doing so good, you pack your own, that cuts the cost down.

Leave a Reply

Your email address will not be published. Required fields are marked *