quick overview:
- Good performance of clear comprehensive ranges eg. bathroom;
- focus on developing more authoritative offering throughout; and
- new format homeware stores creating a homeware destination.
2009 focus
repositioning
Consolidate the strategy to reposition Woolworths as a desired, first choice homeware destination. Clear customer segmentation driving range differentiation and product leadership, supporting exceptional quality and value.
headquarters assortments
Develop dominant and clear headquarters assortments, making Woolworths the customers’ preferred destination for core ranges.
homeware shop
Extend new ‘shop-in-shop’ concept with fresh new design and modern look for homeware as well as cellular and digital offerings.
authority in cellular and digital
Develop cellular and digital range into a more credible offering and improve the range, service and marketing.
on-line
A new on-line platform will assist to deliver a new offer to customers. New opportunities and a range of product will rollout over 2009.
retail: home and general merchandise
The current economic climate, combined with a fragmented offer from Woolworths, delivered disappointing results in homeware. Where Woolworths offered a comprehensive range , for example bathroom, the category performed well; however, the lack of innovation and well-tiered assortments with differentiated price points in many other categories excluded many customers from shopping with us.
Two ‘shop-in-shop’ new format homeware stores were trialled and proved successful with considerable sales uplift. The design of the homeware shop provides more clarity and focus for customers, highlighting improved ranges, better price tiering and an easier shop.
This trial provides the basis for plans to drive market share gains through a repositioned Woolworths homeware destination over the next 12 months, with more authority and credibility, an improved range of product and a more considered shopping experience.
Innovation continues to be a feature of product development with a strong focus on the Good business journey. Natural bamboo fibre has been used to develop a new range of towels and polyesters manufactured from recycled plastic bottles are used to fill duvet inners, reusing half a million plastic bottles which would otherwise have gone to landfill.
Cellular has grown market share over the last year with an increase in the volume of sales. Digital products such as Apple iPods continued to show good growth.
On-line has grown well in 2008 as customers’ need for convenience and improved on-line access continued to drive sales – a significant area of growth in the future.