Coles is planning on refreshing its strategy for the business, aiming to restore growth, profitability and “become the most trusted retailer”.
Speaking at the Coles Investor Day, CEO Steven Cain said the overall vision is to: “become the most trusted retailer in Australia and grow long-term shareholder value” and to “sustainably feed all Australians to help them lead healthier, happier lives”.
“I think it is fair to say that the next five years are going to be the toughest five years we have faced as a company: and the toughest five years that the industry faces,” Mr Cain said.
“That’s for a number of reasons: first the competitive landscape is changing fast, so discounters will continue to grow share and there are more discounters coming to town.
“Online will gain share and obviously the threat that poses is that the bricks and mortar sales density will go down, if you haven’t got a good plan to address it. We believe this plan does address that because we can’t afford bricks and mortar sales density to decline. One of our key measures going forward is to make sure that productivity in store continues to improve.
The company will invest in technology and automation to save around $1 billion across the next four years, combined with reported staff cuts.
One of the changes coming to the company is an increase in “food-for-now” options.
According to News.com.au, the convenience strategy plan will include refurbishing 100 supermarkets over the next six months and will stock classic cafe-style meals.