Woolworths launches “best value” Australian bread loaf
Australian supermarket giant Woolworths has launched its latest strategy in its “ongoing commitment to help Australians save on their food and grocery bills” by lowering the price of Homebrand white sliced bread to just 85 cents.
Woolworths said the move was a response to customer demand for “unbeatable value on everyday staples”. The 85 cent loaf, down from $1, represents Woolworths’ lowest ever price on Homebrand white bread.
Woolworths said the price reduction on Homebrand bread was just the first in a series of price cuts. The supermarket group will cut prices across its stores as part of its ‘value’ campaign.
“Our customers have been asking us for help with their family budgets and we know that Homebrand bread is an important staple,” said Tjeerd Jegen Woolworths Managing Director of Australian Supermarkets and Petrol. “Everyone could do with a little extra money in their pockets. That’s why we’re building on our commitment to provide great quality food at unbeatably low prices for our customers,” he said.
“These are ongoing price reductions on a range of products starting with our 85c Homebrand white bread,” Mr Jegen said. “We are determined to remain Australia’s lowest price full range supermarket across our customers’ whole shop,” he said. “This is just the start of a range of savings we know will make a great difference to a family’s budget,” he said.
In-store supermarket bakeries on the rise
Australian Food News reported earlier in September that the battle for market share in the bread production industry was intensifying in Australia.
According to market research organisation IBISWorld, the rise of the supermarket in-store bakery has been a massive challenge for bread producers, who have recorded modest growth of an annualised 2.1 per cent over the past five years. Revenue is expected to total $2.6 billion in 2014-15.
IBISWorld said that for customers that are primarily concerned with value, in-store bakery products are low-priced while also appealing to the customer’s desire for freshness. Additionally, both major supermarkets have offered $1.00 loaves of private-label white bread in a bid to grab the attention of budget-conscious shoppers. Woolworths’ latest price drop for its private-label bread continues that trend.