The Independent Grocery Sector within Australia plays a key part of the retail ecosystem and can be an attractive target for UK Food and Drink businesses looking to introduce their brand into Australia. As a segment the independent trade differentiates on local service, in-store theatre and carrying the latest innovation or emerging brands before they become mainstream. Serving the local community and the Food focused consumer, access to proven innovation is an essential element within their DNA. Metcash is the leading wholesaler, sourcing and distributing into the sector, as such their performance provides an important insight into the trading conditions and outlook for businesses targeting this channel.
In this short blog we look at the 6 months (interim) update and share our interpretation on the outlook ahead.
The Interim results have been widely received as demonstrating a mixed performance across the various businesses involved, (from liquor to food and Hardware)
Top Line
Highlights from the CEO’s Commentary
What does this update mean for you, your business and a strategic entry into the Australian Grocery Sector?
With the Independent Sector representing ~18% of the grocery market, it provides access and growth to those brand owners and product managers that can differentiate the offer vs the local competition.
Recognising the added complexities of the route to market, there is a value opportunity to introduce a new brand to the market and should be strategically considered vs the major retailers when looking to enter Australia.
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