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Old grocery receipt highlights extortionate increase at supermarkets

An old Woolworths receipt from 2021 has revealed the grim reality of increased grocery prices, and how inflation has crippled many in just a few short years. A social media user on X, formerly Twitter, shared her receipt from a Melbourne Woolworths as she highlighted how much more common household items cost today. She said it showed how Aussies were shelling out for costs that appear to have moved well past official inflation levels, which rose to 3.8 per cent by the end of June. “We all knew we’re being ripped off! Australians are now paying up to 200% more for basic grocery items than they were a few years ago!” she wrote. “Oh but inflations (sic) currently back at around 3.8% … yeah my ass it is!!” <blockquote class="twitter-tweet"> Found an old Woolworths receipt circa 2021. We all knew we re being ripped off! Australians are now paying up to 200% more for basic grocery items than they were a few years ago! Oh but inflations currently back at around 3.8% … yeh my ass it is!! Pink Lady Apply $2.90kg… <a href="https://t.co/9OPS6SnOqI">pic.twitter.com/9OPS6SnOqI</a> — Miss Madeleine (@MadsMelbourne) <a href="https://twitter.com/MadsMelbourne/status/1832282784431534448?ref_src=twsrc%5Etfw">September 7, 2024</a></blockquote> Her docket shows how everyday items like coffee grounds, potato chips and stain removers have skyrocketed in price. In the receipt items such as a 250g packet of Bega cheese is priced at $4.50 – it’s now $6 for the same item, discounted from $7.50 according to online pricing. Deli fresh Champagne leg ham sold for $2.50 for 100g according to the receipt, while current prices put that at $4.20. Ozkleen prewash power stain remover is now currently listed as $7 for a 500ml bottle, more than 200 per cent higher than the $2.75 it sold for three years ago. The woman also posted another smaller receipt from the same year, in which she bought grapes and a watermelon. In addition to sharing the image, she wrote, "Another one to add! No wonder Australia is having a cost of living crises! Woolworths Receipt circa 2021. Grapes were $3.50kg, now $14.16 = 304% increase. Watermelon was $1.50 now $6.38kg = 325% increase." Grocery prices have come under the spotlight amid the cost-of-living crisis, with the Australian Consumer and Competition Commission tasked with probing the sector. “We know grocery prices have become a major concern for the millions of Australians experiencing cost of living pressures,” ACCC chair Gina Cass-Gottlieb said in January. “When it comes to fresh produce, we understand that many farmers are concerned about weak correlation between the price they receive for their produce and the price consumers pay at the checkout.” Coles and Woolworths have defended the price rises as being pushed by supply chain struggles, while both companies posted profits of more than $1 billion in the last financial year. A spokesperson for Woolworths also released a statement saying "Ongoing economy-wide inflation means it costs more for many supermarket suppliers to manufacture their products than it did a few years ago. "We remain focussed on delivering lower prices where we can, with our average prices coming down in the last six months, and thousands of specials every week. "The price of fruit and vegetables can vary throughout the year due to weather, seasonality, supply and demand. For example, Haas avocados are currently not in season." Image credits: X / Shutterstock

Money & Banking

Woolies trial bold new "scan as you go" trolleys

Woolworths shoppers will be able to scan their groceries when they go into their trolleys in an Australian-first trial of the tech carts. The Scan and Go carts are being trialled at a Woolworths in Windsor in western Sydney, with customers now able to scan items as they add them to their cart, eliminating time at busy checkouts. The technology, which has long been used in supermarkets overseas, utilises the already existing EverydayRewards cards, which allows access to a touchscreen that clips onto the trolley. As you peruse the aisles, shoppers then scan their items on the touchscreen as they go into the trolley, with the screen adding up the total of your groceries. Customers still have to pay at the checkout, but the supermarket says as the smart carts roll out, customers could eventually swipe their cards and pay directly at their trolley, cutting out the need for any time in line for tills. "The technology is co-created with one of our international partners [and is] home-grown in Australia, [we've] really been able to make sure it meets the Australian consumers needs," Woolies Managing Director Faye Ihan said. The high-tech system is meant to save shoppers time and money while doing their weekly grocery shop. "I actually have only been in here for half an hour I'd normally be here for over an hour," one customer who tried the smart cart told <a href="https://www.9news.com.au/national/woolies-trials-new-scan-as-you-go-trolleys/4e7e5c2d-04e9-4997-8a0e-0bb4bba8948d" target="_blank" rel="noopener">9News</a>. The company says the rollout won't impact employment, as Woolworths employees will conduct random checks of people shopping to make sure people don't exploit the system to steal. If the trial is successful, Woolworths says it will one day expand the smart carts to all Australian stories. Image credits: 9News

Food & Wine

Australia's cheapest supermarket revealed

Australia's cheapest supermarket has been revealed, and here's how much you could actually save. Customer advocacy group Choice has released its first “basket of goods” report, which analyses supermarket prices across the country. As part of their research, they deployed 81 mystery shoppers to different regional and metropolitan supermarkets across the country, including Aldi, Woolworths, and Coles. The mystery shoppers recorded the prices for 14 common grocery items including apples, carrots, Weet-Bix, sliced white bread, flour, penne pasta, white sugar, tea bags, tinned diced tomatoes, a block of tasty cheese, full-cream dairy milk, frozen peas, minced beef and butter. They found that Aldi is Australia's cheapest supermarket saving customers around $17. “Aldi was the clear leader on value for money in our first supermarket basket survey for 2024, with our basket of 14 products costing just $51.51 – coming in at about 25 per cent cheaper than Coles or Woolworths,” the watchdog’s CEO, Ashley de Silva, said. "Coles was the most expensive at $69.33, while the basket at Woolworths came in at $68.58.” The research was funded by the federal government as part of their action on supermarket pricing. This comes after Prime Minister Anthony Albanese announced a review into the Food and Grocery Code of Conduct earlier this year, warning supermarkets to pass on any savings they make from suppliers to consumers. The code is currently voluntary, with calls for it to be made mandatory, which could result in huge financial penalties on supermarkets with annual revenues above $5bn that breach the agreement. The final review is reportedly expected later this week. Aldi has also issued a statement following the findings, saying it “reaffirms Aldi’s Price Promise” which ensures the supermarket “won’t be beaten on the cost of your weekly shop”. “The data reflected across this basket of goods is indicative of the savings across our entire range,” Jordan Lack, Managing Director at Aldi Australia, said. “We take our role as Australia’s most affordable supermarket seriously and every day, every element of our business is oriented around how we can continue to deliver on our ambition to provide high quality groceries at the lowest possible price.” Image: Shutterstock

Money & Banking

Woolies faces up to $10b fine after pleading guilty to 1000 charges

In what seems like a cascade of misfortune for Woolworths, the retail giant has found itself embroiled in yet another controversy. A week fraught with bad press took a turn for the worse when outgoing CEO Brad Banducci <a href="https://www.oversixty.com.au/finance/legal/last-chance-mr-banducci-woolies-ceo-threatened-with-jail-time" target="_blank" rel="noopener">faced the threat of jail time</a> for his refusal to address questions in a Senate inquiry probing supermarket price gouging. Now, the company is grappling with the repercussions of admitting to underpaying over a thousand former Victorian employees for their long service leave entitlements. The admission, made in a Melbourne court, revealed that Woolworths fell short in compensating at least 1,235 former workers, amounting to a staggering $1.24 million in underpayments spanning from November 2018 to January 2023. While some employees were owed only modest sums, others were deprived of significant entitlements, with figures reaching up to $12,000 in the most severe cases. The Melbourne Magistrates' Court learned that Woolworths, alongside its related company Woolstar, breached Victoria's Long Service Leave Act on a startling 1,227 occasions. The revelation came to light during an internal audit of the company's IT systems, prompting Woolworths to self-report the discrepancies to Victoria's Wage Inspectorate. Woolworths' barrister, Saul Holt KC, highlighted the company's commitment to rectifying the situation, after discovering the discrepancies during an audit of its IT systems and self-reporting it to Victoria's Wage Inspectorate. "That's just the right thing to do," he said. However, the gravity of the breaches places Woolworths at risk of facing a potentially astronomical fine, with a theoretical maximum exceeding $10.25 billion. While such a penalty could spell financial catastrophe for many, including a corporate behemoth like Woolworths, legal experts suggest that a more realistic figure would be capped at approximately $480,000, in line with typical penalties in Victorian magistrates courts. The magistrate presiding over the case, Nahrain Warda, has deferred her decision until Wednesday, April 24, leaving Woolworths in a state of uncertainty. In addition to the impending financial penalty, Kathleen Crennan, representing the Wage Inspectorate of Victoria, advocated for Woolworths to be convicted, denouncing the underpayments as inexcusable. "There's really no excuse for this to have happened in the first place," she said. In the face of mounting legal challenges and public scrutiny, Woolworths' reputation as an employer is under scrutiny. Despite assertions of being an "exemplary employer", founded on principles dating back to 1924, the company's track record is marred by repeated instances of underpayment scandals. As Woolworths awaits the magistrate's verdict and braces for the fallout from its legal battles, the spectre of underpayment casts a long shadow over the company's corporate governance and raises broader questions about accountability within the retail industry. Images: Woolworths

Legal

Huge reward to help solve cold case of missing mum

Police are offering a $500,000 reward for information to help solve a cold case that suspect was a murder. Tammy Lisa Dyson, also known as Tamela Menzies, was 23 when went missing from the Currumbin area in 1995. The mother of two was picked up from a drug rehab clinic by a woman claiming to be her sister on July 20, 1995 and has not been seen since. Dyson was born and raised in Victoria before moving to Brisbane in 1988, where she worked in the adult entertainment industry under the nickname "Pebbles". Police believe she began mixing with criminals and using drugs while working in strip clubs on the Gold Coast. In early 1995 Dyson arranged for her young sons, Jyles and Rainey, to stay with their grandmother in Victoria temporarily. A few months later she made a distressed call to her sister Olivia, who said she had been assaulted. Olivia and her partner then dropped Dyson off to a drug rehabilitation centre at Currumbin on the Gold Coast, and on July 20, 1995 she was picked up by someone claiming to be her sister. The following day, Tammy completed a statutory declaration signed by a Justice of the Peace in Tweed Heads, giving custody of her children and her possessions to her mother. She also called her sister one last time, with Olivia recalling that Tammy "didn't sound like herself" and she had mentioned underworld figures. Police have received a number of reported sightings of Tammy since 1995 but all proof of life inquiries have been proven negative. In 2012, the Queensland coroner said that they believed Tammy was deceased and indicated that she may have been a victim of violence, although a certain date, time and cause of death have not been determined. Police are now offering the huge reward for new information and immunity from prosecution for any accomplice who comes forward. "Tammy associated with criminals that were known to police and vanished without a trace after giving custody of her children and possessions to her mother; we believe the circumstances of her disappearance is suspicious," Detective Senior Sergeant Tara Kentwell said. On Wednesday, her sons, who were only three and one when their mother disappeared, made an emotional appeal for public help to find her. "Growing up without mum and not knowing what happened to her has been very hard," Jyles Lebler said through tears during a media conference. "Whoever has picked her up, I'm not saying they have done something but they must know something bad has happened." "We hope we find out what to mum to give grandma some closure before it's too late," Rainey added. Images: Queensland Police

Legal

"Last chance, Mr Banducci": Woolies CEO threatened with jail time

Outgoing Woolworths CEO Brad Banducci has been threatened with jail time for refusing to answer questions about price gouging at a fiery Senate enquiry. The parliamentary probe into supermarket prices has seen Banducci be grilled by senators about how the supermarket raked in record-breaking profits during the ongoing cost of living crisis. During the enquiry on Tuesday, Banducci was repeatedly warned by committee chair and Greens senator Nick McKim about giving evasive answers when asked about his company's return on equity. Banducci repeatedly told the committee that return on equity was not his focus, and Woolworths is instead more interested in return on investment, refusing the question and prompting a 15-minute adjournment. When the enquiry resumed, a similar exchange occurred, leading to another warning for the Woolworths chief executive. "Last chance, Mr Banducci," McKim said. "Do you accept that return on equity is an accepted measure of the financial profitability of a company?" When Banducci replied that "we measure return on investment", the committee was suspended. Its return immediately saw another round of the same questions and answers, with McKim warning Banducci about the consequences of not answering questions clearly. "It is open to the Senate to hold you in contempt, and that carries potential sanctions including up to six months imprisonment for you," he said after saying the Woolworths boss could simply say he didn't know the answer and take the question on notice. "That's why this is a critical matter so I'd just ask you to address your mind with absolute clarity, please, to the question I am asking." "I put it to you the reason you don't want to focus on return on equity is because you don't like the story that it's telling, which is that you are basically profiteering and making off with massive profits at the expense of farmers at the expense of your workers and at the expense of Australian shoppers who you are price gouging," Greens senator McKim said. The enquiry is still ongoing, with Coles counterpart Leah Weckert set to address the same Senate committee later on Tuesday as the government continues to probe allegations of price gouging. Image Credits: ABC - Four Corners

Legal

Loyalty programs may limit competition, and they could be pushing prices up for everyone

<a href="https://theconversation.com/profiles/alexandru-nichifor-1342216">Alexandru Nichifor</a>, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722">The University of Melbourne</a> and <a href="https://theconversation.com/profiles/scott-duke-kominers-1494057">Scott Duke Kominers</a>, <a href="https://theconversation.com/institutions/harvard-university-1306">Harvard University</a> Loyalty programs enable firms to offer significantly lower prices to some of their customers. You’d think this would encourage strong competition. But that isn’t always what actually happens. <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4377561">New research</a> shows that paradoxically, by changing the way companies target customers, loyalty programs can sometimes reduce price competition. The research also points to solutions. <h2>A win-win proposition?</h2> Joining a loyalty program is supposed to be a win-win. You – the customer – get to enjoy perks and discounts, while the company gains useful commercial insights and builds brand allegiance. For example, a hotel chain loyalty program might reward travellers for frequent stays, with points redeemable for future bookings, upgrades or other benefits. The hotel chain, in turn, records and analyses how you spend money and encourages you to stay with them again. Such programs are commonplace across many industries – appearing everywhere from travel and accommodation to supermarket or petrol retailing. But they are increasingly coming under scrutiny. In 2019, the Australian Competition and Consumer Commission (ACCC) <a href="https://www.accc.gov.au/about-us/publications/customer-loyalty-schemes-final-report">cautioned</a> consumers about the sheer volume of personal data collected when participating in a loyalty program, and what companies can do with it. Hidden costs – such as having to pay a redemption fee on rewards or losing benefits when points expire – are another way these schemes can harm consumers. But a larger question – how loyalty programs impact consumers overall – remains difficult to settle, because their effect on competitiveness is unclear. As the ACCC’s <a href="https://www.accc.gov.au/about-us/publications/customer-loyalty-schemes-final-report">final report</a> notes, on the one hand: "Loyalty schemes can have pro-competitive effects and intensify competition between rivals leading to competing loyalty discounts and lower prices for consumers." But on the other hand: "Loyalty schemes can also reduce the flexibility of consumers’ buying patterns and responsiveness to competing offers, which may reduce competition." <h2>How a two-speed price system can hurt everyone</h2> A new economic theory research <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4377561">working paper</a>, coauthored by one of us (Kominers), suggests that on competitive grounds alone, loyalty programs can sometimes harm all consumers – both ordinary shoppers and the program’s own members. It’s easy to see how the ordinary shopper can be worse off. Since a firm’s loyalty program enables it to offer discounted prices to its members, the firm can raise the base prices it offers to everyone else. Those not participating in the program pay more than they otherwise would have, and the firm can respond by saying “join our program!” instead of having to lower its price. But sometimes, even the program’s own members can end up worse off. When a given customer’s loyalty status is not visible to a firm’s competitors – as is the case in many loyalty programs today – it’s hard for those competitors to identify them and entice them to switch. The main way to compete for those customers becomes to lower the base price for everyone, but this means missing out on the high base margins achieved through the existence of your own loyalty program – remember, having a loyalty program means you can charge non-members more. It’s often more profitable for firms to just maintain high base prices. This, in turn, reduces overall price competition for loyal customers, so firms can raise prices for them, too. <h2>What’s the solution?</h2> Despite these effects on competition, loyalty programs still offer benefits for consumers and an opportunity for brands to form closer relationships with them. So, how do we preserve these benefits while enabling price competition? The research suggests an answer: making a customer’s loyalty status verifiable, transparent and portable across firms. This would make it possible for firms to tailor offers for their competitors’ loyal customers. This is already happening in the market for retail electricity. While there aren’t loyalty programs there per se, a consumer’s energy consumption profile, which could be used by a competitor to calibrate a personalised offer, is known only to their current electricity supplier. To address this, in 2015, the Victorian government launched a <a href="https://compare.energy.vic.gov.au">program</a> encouraging households to compare energy offers. This process involved first revealing a customer’s energy consumption profile to the market, and then asking retailers to compete via personalised offers. By opening information that might have otherwise been hidden to the broader market, this approach enabled firms to compete for each other’s top customers, in a way that could be emulated for loyalty programs. Such systems in the private sector could build upon “<a href="https://thepointsguy.com/guide/airline-status-matches-challenges/">status match</a>” policies at airlines. These allow direct transfer of loyalty status, but currently rely on a lengthy, individual-level verification process. For example, a design paradigm known as “<a href="https://hbr.org/2022/05/what-is-web3">Web3</a>” – where customer transactions and loyalty statuses are recorded on public, shared blockchain ledgers – offers a way to make loyalty transparent across the market. This would enable an enhanced, decentralised version of status match: a firm could use blockchain records to verifiably identify who its competitors’ loyal customers are, and directly incentivise them to switch. Both startups and established firms have experimented with building such systems. <h2>What next?</h2> New academic research helps us model and better understand when loyalty programs could be weakening supply side competition and undermining consumer welfare. A neat universal solution may prove elusive. But targeted government or industry interventions – centred on increasing the transparency of a customer’s loyalty status and letting them move it between firms – could help level the playing field between firms and consumers.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/220669/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/alexandru-nichifor-1342216">Alexandru Nichifor</a>, Associate Professor, Faculty of Business and Economics, University of Melbourne, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722">The University of Melbourne</a> and <a href="https://theconversation.com/profiles/scott-duke-kominers-1494057">Scott Duke Kominers</a>, Sarofim-Rock Professor of Business Administration, <a href="https://theconversation.com/institutions/harvard-university-1306">Harvard University</a> Image credits: Getty Images This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/loyalty-programs-may-limit-competition-and-they-could-be-pushing-prices-up-for-everyone-220669">original article</a>.

Money & Banking

Pauline Hanson slams Woolies' controversial Anzac Day decision

Pauline Hanson has slammed Woolworths and their decision to not stock commemorative Anzac biscuit tins ahead of this year's Anzac Day. The supermarket giant has chosen not to stock the limited edition tins this year, after making the decision to stock Anzac biscuits all year round, and donating to the RSL in other various ways. In previous years, Woolies have sold the tins that feature designs commemorating different wars and conflicts and are collectable items, with a portion of the profits supporting the RSL to aid veterans and their families. The decision not to stock the tins has outraged Senator Hanson, who has decided to continue her boycott of Woolies, which began when the supermarket didn't stock Australia Day merchandise in January. “I haven’t shopped at Woolworths ever since they announced they wouldn’t be supporting Australia Day,” Senator Hanson wrote online. “Now that I have learned Woolworths has also refused to stock the RSL’s special Anzac biscuit tins, It reinforces my original decision. “If Woolworths isn’t interested in celebrating Australia and doing everything it can to support our veterans through organisations like the RSL, then I’m proud to continue to boycott Woolworths and I hope others will join me in taking their business elsewhere.” Some veterans have also shared their upset in hearing the news, as World War II veteran Jack Bartlett said he was “horrified” to hear of Woolies decision. “I collect those tins and value them greatly because of my association. I’m very, very sorry to hear that Woolworths won’t do it (sell them),” Mr Bartlett told 2GB’s Ben Fordham. “It’s such a small thing for such a big shopping conglomerate to do. I don’t think it’s very, very much to ask them to continue what they’ve done for some time." Woolworths have since responded to Senator Hanson's accusations, with a spokesperson telling <a href="https://www.news.com.au/finance/business/retail/woolworths-responds-to-pauline-hansons-accusations-over-stocking-of-anzac-day-commemorative-tins/news-story/92d04438600a19f61837026198c81b4e" target="_blank" rel="noopener">news.com.au</a> that the supermarket giant was selling multiple items for Anzac appeals and has raised almost $13 million for the cause over the past decade. Woolies confirmed that while it will not be stocking the limited-edition tins this year, they will be selling Anzac Appeal badges and supporting veterans and the RSL. “We are the only supermarket to be selling the badges,” Woolworths said in a statement. “We sell Bakers Finest Anzac biscuits in our stores all year round, this product is endorsed by the RSL and generates revenue for the RSL to support veterans and their families. “We’ve been proud partners of the RSL for the past 10 years, supporting the ANZAC Appeal in April and the Poppy Appeal in November. Almost $13 million has been raised at Woolworths in the past 10 years for those appeals.” "This support continues in 2024, with Woolworths once again stocking ANZAC and Poppy Appeal badges for purchase, providing direct and crucial support to the veteran community nationwide." Image credits: Getty Images / Shutterstock

Legal

‘To truly forget life for a while – a reprieve and a reward’: why Australians love going to the cinema

<a href="https://theconversation.com/profiles/ruari-elkington-105955">Ruari Elkington</a>, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a> Australians have had plenty of time in the last 100 years to work out what they value about cinema-going and why it matters. Head to any cinema and catch the Val Morgan advertising in the pre-show. Take a closer look at the date the company was founded. Not 1984, <a href="https://en.wikipedia.org/wiki/Val_Morgan">but 1894</a>. That’s more than 125 years of “Making Messages Memorable” on Australian screens. We have a deep and abiding love for cinema in this country. Over the last century, the experience of going to the movies has both shifted significantly (<a href="https://villageroadshow.com.au/-/media/VRL-Corporate-Media-Library/Documents/Press-Releases/2017/5-December-Gold-Class-Celebrates-20-Years.pdf">we invented Gold Class, you know</a>) and somehow remained resolutely enduring in terms of appeal. My colleague Tess Van Hemert and I have spent the last two years <a href="https://research.qut.edu.au/dmrc/projects/resilient-screens-investigating-the-value-of-australian-cinema-exhibition/">researching</a> the cultures and practices of cinema-going and how cinema sites shape that experience. A typical response in our research was: "I love the cinema experience. It’s a bonding experience, if it’s good it’s an emotional and cathartic experience." <h2>‘A reprieve and a reward’</h2> Cinemas <a href="https://www.bfi.org.uk/industry-data-insights/reports/measuring-economic-value-cinema-venues">are a catalyst</a> for social, cultural and economic activity wherever they operate, from single-screen regional sites to major multiplexes in suburban shopping malls. Cinema, our participants said, is the “ideal” way to watch a movie: "I like to sit as close as I can to the screen so that the ‘real’ world is completely blocked out. I am immersed in & in awe of the film only. To truly forget life for a while – a reprieve & a reward." Cinemas also mirror communities back to themselves. We may go in alone, as a couple or with family and friends, but in the cinema we form a community. When reflecting on returning to the cinema between COVID lockdowns, one person spoke of seeing American Utopia "There were only about 10 people in the cinema. We didn’t know each other but we all started spontaneously dancing, first in our seats, and then everyone ran down to the floor in front of the screen to dance together. It was like a mini music festival when live music was banned." Despite the cost, despite the hassle, despite the need to leave the couch, Australians turn up time and time again to cinemas. In 2023, the Australian box office generated nearly <a href="https://if.com.au/australian-box-office-neared-1b-in-2023/">A$1 billion</a> (although this is down on <a href="https://variety.com/2020/film/asia/australia-annual-box-office-drops-1203476275/">pre-COVID figures</a>). Four of the top ten highest grossing films of all time in Australia have been released <a href="https://www.valmorgan.com.au/2022-at-the-movies">since the pandemic began</a>. Australian census data tells us cinema-going remains Australia’s <a href="https://www.abs.gov.au/statistics/people/people-and-communities#:%7E:text=44%25%20of%20people%20attended%20the,popular%20cultural%20venue%20or%20event">most popular</a> cultural activity. <h2>‘Being able to switch off’</h2> When cinemas face closure – or shut temporarily, as they did during the pandemic – the outpouring of community support can galvanise a community and remind them of all the times and ways in which they valued that access to that experience. One participant spoke of seeing their first film in the cinema after the pandemic: "It made me appreciate the whole cinema experience more. Getting out and being able to switch off was a welcome change." In our research, we observed how cinemas began to <a href="https://www.palacecinemas.com.au/blog/the-cinema-why-we-love-it/">articulate</a> their value to community through the pandemic period of forced closures. In the <a href="https://eprints.qut.edu.au/243758/">large-scale national audience research</a> we conducted in partnership with Palace Cinemas the value audiences derive from cinema-going was as diverse as the programming. They remembered specific films, such as watching the opening credits of Force Awakens with a crowd of avid fans, or feeling like they were “experiencing summer in Italy” while watching Call Me By Your Name. They focused on memories of the people they were with, such as feeling “all grown up” while seeing arthouse films with their dad when they were a kid. <h2>‘Float in the memory’</h2> They spoke about the feelings they had before during and after the screening and the experience overall. One respondent wrote of loving the end of a film: "the quiet few minutes as the credits roll and you float in the memory of the film. This only happens for me when I see it in the cinema." Another participant spoke about leaving the cinema and: "doing a walk around the block thinking about the movie, still thinking about the movie driving home." One participant said they love “being able to have respectful (unbothered) alone time publicly”. Clear in this data is that memorability – and the experience of cinema – is far more nuanced than the simple appeal of watching a big film in a big room on a big screen. Cinemas continue to serve Australian communities in far more complex way than simply movies and popcorn. Cinema has always battled headwinds. Since radio, cinema has constantly faced in-home entertainment technology that was supposed to knock it over completely – TV, colour TV, cable, satellite, VHS, DVDs and now streaming. Each time, the desire for people to come together in a space and watch something unique in a way they can’t find anywhere else, with a level of engagement they can’t find anywhere else, has prevailed. We all have a kitchen at home, but we still love going out to restaurants. Disney, Warner Bros and Australia’s own Birch Carrol and Coyle all celebrated 100 years of operation in 2023. To sustain another century, more research is needed to better understand how cinema-going must continue to evolve to meet shifting audience expectations.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/222597/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/ruari-elkington-105955">Ruari Elkington</a>, Senior Lecturer in Creative Industries & Chief Investigator at QUT Digital Media Research Centre (DMRC), <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a> Image credits: Getty Images This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/to-truly-forget-life-for-a-while-a-reprieve-and-a-reward-why-australians-love-going-to-the-cinema-222597">original article</a>.

Movies

Bunnings has toppled Woolworths as Australia’s most ‘trusted’ brand – what makes us trust a brand in the first place?

<a href="https://theconversation.com/profiles/louise-grimmer-212082">Louise Grimmer</a>, <a href="https://theconversation.com/institutions/university-of-tasmania-888">University of Tasmania</a> Think of some of the world’s biggest brands: Nike, McDonald’s, Coca-Cola, Apple. With what do you associate them? Are they positive associations? Now consider, do you trust them? Brand trust is a measure of how customers feel about a brand in terms of how well the brand delivers on its promises. Trust is an important measure for any organisation, large or small. Whether or not customers trust a brand can be the difference between choosing that brand’s products or services over another. In Australia, Woolworths <a href="https://www.roymorgan.com/findings/9472-risk-monitor-quartely-update-december-2023">held the title</a> of our most trusted brand for three and a half years. But recent cost-of-living pressures have put supermarkets in the spotlight for all the wrong reasons. Roy Morgan Research’s <a href="https://www.roymorgan.com/findings/9472-risk-monitor-quartely-update-december-2023">most recent trust rankings</a> show Woolworths has slipped to number two, handing its crown to hardware behemoth Bunnings. It’s clear that trust is fragile and can be quickly squandered when brands lose touch with those they serve. So what makes us trust a brand in the first place? And why do we trust some more than others? <h2>What makes us trust a brand?</h2> According to customer experience management firm Qualtrics, <a href="https://www.qualtrics.com/au/experience-management/brand/brand-trust/">brand trust</a> is <blockquote> the confidence that customers have in a brand’s ability to deliver on what it promises. As a brand consistently meets the expectations it has set in the minds of customers, trust in that brand grows. </blockquote> There are many ways to go about measuring brand trust. A typical first step is to ask lots of people what they think, collating their general opinions on product quality and the brand’s customer service experience. This can be strengthened with more quantifiable elements, including: <ul> <li>online ratings and reviews</li> <li>social media “sentiment” (positive, negative or neutral)</li> <li>corporate social responsibility activities</li> <li>philanthropic efforts</li> <li>customer data security and privacy.</li> </ul> Some surveys go even deeper, asking respondents to consider a brand’s vision and mission, its approaches to sustainability and worker standards, and how honest its advertising appears. <h2>Is this a real and useful metric?</h2> The qualitative methodology used by <a href="https://www.roymorgan.com/findings/9472-risk-monitor-quartely-update-december-2023">Roy Morgan</a> to determine what Australian consumers think about 1,000 brands has been administered over two decades, so the data can be reliably compared across time. On measures of both trust and distrust, it asks respondents which brands they trust and why. This approach is useful because it tells us which elements factor into brand trust judgements. <a href="https://roymorgan-cms-prod.s3.ap-southeast-2.amazonaws.com/wp-content/uploads/2024/03/07035120/9472-Risk-Monitor-Quartely-Update-December-2023-1-1.pdf">Customer responses</a> about the survey’s most recent winner, Bunnings, show that customer service, product range, value-for-money pricing and generous returns policies are the key drivers of strong trust in its brand. Here are some examples: <blockquote> Great customer service. Love their welcoming staff. Whether it’s nuts and bolts or a new toilet seat, they have it all, value for money. Great products and price and have a no quibble refund policy. Great stock range, help is there if you need it and it is my go-to for my gardening and tool needs. Really convenient trading hours, and their return policy is good. </blockquote> In addition to trust, there are three other metrics commonly used to assess brand performance: <ul> <li> brand equity – the commercial or social value of consumer perceptions of a brand </li> <li> brand loyalty – consumer willingness to consistently choose one brand over others regardless of price or competitor’s efforts </li> <li> brand affinity – the emotional connection and common values between a brand and its customers. </li> </ul> However, trust is becoming a disproportionately important metric as consumers demand that companies provide <a href="https://www.forbes.com/sites/bernhardschroeder/2020/01/16/from-the-traditional-to-the-outrageous-four-brands-that-use-honest-transparency-to-build-loyal-customers-with-non-traditional-marketing-and-branding/?sh=6689f81320a1">increased transparency</a> and exhibit greater care for their customers, not just their shareholders. <h2>Why do Australians trust retailers so much?</h2> Of Australia’s top ten most trusted brands, seven are retailers – Bunnings, Woolworths, Aldi, Coles, Kmart, Myer and Big W. <figure class="align-center zoomable"><a href="https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px" srcset="https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=279&fit=crop&dpr=1 600w, https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=279&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=279&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=350&fit=crop&dpr=1 754w, https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=350&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/582082/original/file-20240314-28-h0xdf4.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=350&fit=crop&dpr=3 2262w" alt="table shows that Bunnings is now Australia's most trusted brand, and Optus the least trusted brand." /></a><figcaption>The latest changes to Australia’s most trusted and most distrusted brand rankings. <a class="source" href="https://www.roymorgan.com/findings/9472-risk-monitor-quartely-update-december-2023">Roy Morgan Single Source (Australia)</a></figcaption></figure> This <a href="https://www.fastcompany.com/90901331/america-most-trusted-brands-companies-report-2023-morning-consult">stands in contrast</a> with the United States, where the most trusted brands are predominantly from the healthcare sector. So why do retail brands dominate our trust rankings? They certainly aren’t small local businesses. Our retail sector is <a href="https://www.afr.com/companies/retail/in-the-shopping-trolley-war-the-supermarkets-have-to-give-20240122-p5ez4k">highly concentrated</a>, dominated by a few giant retail brands. We have only two major department stores (David Jones and Myer), three major discount department stores (Big W, Target and Kmart) and a <a href="https://www.abc.net.au/news/2024-02-23/a-history-of-the-duopoly-coles-woolworths/103494070">supermarket “duopoly”</a> (Coles and Woolworths). It’s most likely then that these brands have been enjoying leftover goodwill from the pandemic. As Australia closed down to tackle COVID-19, the retail sector, and in particular the grocery sector, was credited with enabling customers to <a href="https://www.smh.com.au/business/companies/inside-story-how-woolworths-and-coles-joined-forces-to-avert-covid-19-disaster-20200611-p551lk.html">safely access</a> food and household goods. Compared with many other countries, we did not see a predominance of empty shelves across Australia. Retailers in this country stepped up – implementing or improving their online shopping capabilities and ensuring physical stores followed health guidelines and protocols. Now, with the pandemic behind us and in an environment of high inflation, the <a href="https://www.abc.net.au/news/2024-02-20/woolworths-coles-supermarket-tactics-grocery-four-corners/103405054">big two supermarkets</a> face <a href="https://www.theguardian.com/australia-news/2024/feb/20/do-coles-woolworths-specials-actually-offer-savings-choice-survey-supermarket-price-gouging-inquiry">growing distrust</a> and a <a href="https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Supermarket_Prices/SupermarketPrices">public inquiry</a>. <h2>Lessons from the losers</h2> After <a href="https://www.theguardian.com/business/2023/nov/20/optus-scandals-network-outage-cyberattack-ceo-resignation-kelly-bayer-rosmarin">two high profile disasters</a>, Optus finds itself the most distrusted brand in Australia. Its companions in the “most distrusted” group include social media brands Meta (Facebook), TikTok and X. Qantas, Medibank Private, Newscorp, Nestle and Amazon also made the top 10. The main reason consumers distrust brands is for a perceived failure to live up to their promises and responsibilities. For example, <a href="https://www.washingtonpost.com/technology/2023/09/18/amazon-working-conditions-safety-osha-doj/">worker conditions at multinational firm Amazon</a> are seen by some consumers as a reflection of questionable business practices. Other brands may have earned a reputation for failing to deliver the basics, like when chronic <a href="https://www.afr.com/companies/transport/compensating-travellers-for-cancelled-flights-long-overdue-20240212-p5f45c">flight delays and cancellations</a> plagued many Qantas customers. <h2>Lessons from the winners</h2> On the flip side, consumers have rewarded budget-friendly retailers with increased trust in the most recent rankings. Aldi, Kmart and Bunnings have improved their standing as trusted brands, no doubt in part because they have helped many Australian consumers deal with tight household budgets. As discretionary consumer spending continues to tighten, we may see a more permanent consumer shopping <a href="https://www.theaustralian.com.au/business/retail/rise-of-the-value-shopper-as-budgets-are-crunched-a-threat-and-opportunity-for-retailers/news-story/9b7a355cfb3866ec60d2ee42b7cbd567">shift towards value for money</a> brands and discounters. Trust is a fragile thing to maintain once earned. As we move through 2024, Australian companies must pay close attention to their most important asset – strong relationships with those they serve.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/225578/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/louise-grimmer-212082">Louise Grimmer</a>, Senior Lecturer in Retail Marketing, <a href="https://theconversation.com/institutions/university-of-tasmania-888">University of Tasmania</a> This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/bunnings-has-toppled-woolworths-as-australias-most-trusted-brand-what-makes-us-trust-a-brand-in-the-first-place-225578">original article</a>.

Money & Banking

The secret sauce of Coles’ and Woolworths’ profits: high-tech surveillance and control

<a href="https://theconversation.com/profiles/lauren-kate-kelly-1262424">Lauren Kate Kelly</a>, <a href="https://theconversation.com/institutions/rmit-university-1063">RMIT University</a> Coles and Woolworths, the supermarket chains that together control <a href="https://www.abc.net.au/news/2024-02-20/woolworths-coles-supermarket-tactics-grocery-four-corners/103405054">almost two-thirds</a> of the Australian grocery market, are facing unprecedented scrutiny. One recent inquiry, commissioned by the Australian Council of Trade Unions and led by former Australian Consumer and Competition Commission chair Allan Fels, found the pair engaged in unfair pricing practices; an ongoing <a href="https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Supermarket_Prices/SupermarketPrices">Senate inquiry into food prices</a> is looking at how these practices are linked to inflation; and the ACCC has just begun <a href="https://www.accc.gov.au/inquiries-and-consultations/supermarkets-inquiry-2024-25">a government-directed inquiry</a> into potentially anti-competitive behaviour in Australia’s supermarkets. Earlier this week, the two companies also came under the gaze of the <a href="https://www.abc.net.au/news/2024-02-19/super-power-the-cost-of-living-with-coles-and-woolworths/103486508">ABC current affairs program Four Corners</a>. Their respective chief executives each gave somewhat prickly interviews, and Woolworths chief Brad Banducci <a href="https://www.abc.net.au/news/2024-02-21/woolworths-ceo-brad-banducci-retirement-four-corners/103493418">announced his retirement</a> two days after the program aired. A focus on the power of the supermarket duopoly is long overdue. However, one aspect of how Coles and Woolworths exercise their power has received relatively little attention: a growing high-tech infrastructure of surveillance and control that pervades retail stores, warehouses, delivery systems and beyond. <h2>Every customer a potential thief</h2> As the largest private-sector employers and providers of essential household goods, the supermarkets play an outsized role in public life. Indeed, they are such familiar places that technological developments there may fly under the radar of public attention. Coles and Woolworths are both implementing technologies that treat the supermarket as a “problem space” in which workers are controlled, customers are tracked and profits boosted. For example, in response to a purported spike in shoplifting, a raft of customer surveillance measures have been introduced that treat every customer as a potential thief. This includes <a href="https://www.news.com.au/lifestyle/food/eat/coles-introducing-new-technology-which-will-track-shoppers-every-move/news-story/86ea8d330f76df87f2235eeda4d1136e">ceiling cameras</a> which assign a digital ID to individuals and track them through the store, and <a href="https://www.thenewdaily.com.au/finance/consumer/2023/08/16/smart-gate-technology">“smart” exit gates</a> that remain closed until a purchase is made. Some customers have reported being “<a href="https://7news.com.au/lifestyle/coles-supermarketshoppers-dramatic-checkout-experience-goes-viral-i-was-trapped-c-12977760">trapped</a>” by the gate despite paying for their items, causing significant embarrassment. At least one Woolworths store has <a href="https://www.news.com.au/finance/business/woolies-in-wetherill-park-fitted-with-500-tiny-cameras-to-monitor-stock-levels/news-story/585de8c741ae9f520adcc4005f2a736a">installed 500 mini cameras</a> on product shelves. The cameras monitor real-time stock levels, and Woolworths says customers captured in photos will be silhouetted for privacy. A Woolworths spokesperson <a href="https://www.smh.com.au/national/nsw/up-to-70-cameras-watch-you-buy-groceries-what-happens-to-that-footage-20230819-p5dxtp.html">explained</a> the shelf cameras were part of “a number of initiatives, both covert and overt, to minimise instances of retail crime”. It is unclear whether the cameras are for inventory management, surveillance, or both. Workers themselves are being fitted with body-worn cameras and wearable alarms. Such measures may protect against customer aggression, which is a <a href="https://www.abc.net.au/news/2023-11-22/retail-union-staff-abuse-cost-of-living-christmas/103117014">serious problem facing workers</a>. Biometric data collected this way could also be used to discipline staff in what scholars Karen Levy and Solon Barocas refer to as “<a href="https://ijoc.org/index.php/ijoc/article/view/7041">refractive surveillance</a>” – a process whereby surveillance measures intended for one group can also impact another. <h2>Predicting crime</h2> At the same time as the supermarkets ramp up the amount of data they collect on staff and shoppers, they are also investing in data-driven “crime intelligence” software. Both supermarkets have <a href="https://www.smartcompany.com.au/industries/information-technology/grocery-chains-surveillance-tech-auror/">partnered with New Zealand start-up Auror</a>, which shares a name with the magic police from the Harry Potter books and claims it can predict crime before it happens. Coles also recently began a partnership with Palantir, a global data-driven surveillance company that takes its name from magical crystal balls in The Lord of the Rings. These heavy-handed measures seek to make self-service checkouts more secure without increasing staff numbers. This leads to something of a vicious cycle, as under-staffing, self-checkouts, and high prices are often <a href="https://www.aap.com.au/news/retail-workers-facing-increased-violence-and-abuse/">causes of customer aggression</a> to begin with. Many staff are similarly frustrated by <a href="https://www.theguardian.com/business/2023/jun/05/coles-woolworths-court-accused-of-underpaying-workers">historical wage theft by the supermarkets</a> that totals hundreds of millions of dollars. <h2>From community employment to gig work</h2> Both supermarkets have brought the gig economy squarely <a href="https://theconversation.com/coles-uber-eats-deal-brings-the-gig-economy-inside-the-traditional-workplace-204353">inside the traditional workplace</a>. Uber and Doordash drivers are now part of the infrastructure of home delivery, in an attempt to push last-mile delivery costs onto gig workers. The precarious working conditions of the gig economy are well known. Customers may not be aware, however, that Coles recently increased Uber Eats and Doordash prices by at least 10%, and will <a href="https://7news.com.au/lifestyle/shoppers-slam-coles-over-major-change-to-half-price-buys-that-will-affect-millions-c-12860556">no longer match in-store promotions</a>. Drivers have been instructed to dispose of the shopping receipt and should no longer place it in the customer’s bag at drop-off. In addition to higher prices, customers also pay service and delivery fees for the convenience of on-demand delivery. Despite the price increases to customers, drivers I have interviewed in my ongoing research report they are earning less and less through the apps, often well below Australia’s minimum wage. Viewed as a whole, Coles’ and Woolworths’ high-tech measures paint a picture of surveillance and control that exerts pressures on both customers and workers. While issues of market competition, price gouging, and power asymmetries with suppliers must be scrutinised, issues of worker and customer surveillance are the other side of the same coin – and they too must be reckoned with.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/224076/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/lauren-kate-kelly-1262424">Lauren Kate Kelly</a>, PhD Candidate, ARC Centre of Excellence for Automated Decision-Making and Society, <a href="https://theconversation.com/institutions/rmit-university-1063">RMIT University</a> Image credits: Shutterstock This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/the-secret-sauce-of-coles-and-woolworths-profits-high-tech-surveillance-and-control-224076">original article</a>.

Money & Banking

Woolies boss' multi-million dollar payout revealed

Chief executive Brad Banducci announced his <a href="https://www.oversixty.com.au/lifestyle/retirement-life/woolies-ceo-quits-after-disaster-interview" target="_blank" rel="noopener">early retirement </a>on Wednesday, following a series of PR disasters for the brand and just days after a <a href="https://www.oversixty.com.au/finance/money-banking/i-think-i-m-done-the-question-that-made-woolies-ceo-leave-interview" target="_blank" rel="noopener">trainwreck interview</a> with ABC Four Corners. Now, the staggering amount he will be paid-out for walking away from the top job has been revealed. According to a report published by The Australian, the supermarket boss will take home a share portfolio worth an estimated $24.4 million. This is in addition to the $6.5 million he would likely be paid-out from his salary. Banducci will step down from his position in September and he will be replaced by former WooliesX leader <a href="https://www.oversixty.com.au/finance/money-banking/new-woolies-ceo-s-huge-salary-revealed" target="_blank" rel="noopener">Amanda Bardwell</a>, who will take over as Chief Executive then. Woolworths Group has denied the suggestion that the resignation was related to the disaster Four Corners interview where Banducci tried to walk away in the middle of being questioned about price gouging. A senate inquiry is also currently investigating whether major supermarkets across the country have engaged in price gouging, as the cost-of-living continues to rise. Banducci has been involved in a series of public controversies before his retirement, including when he came under fire after the supermarket announced it would <a href="https://www.oversixty.com.au/finance/money-banking/woolworths-under-fire-for-dropping-australia-day-merch" target="_blank" rel="noopener">stop selling Australia Day merchandise </a>ahead of the national holiday in January. Image: Today

Money & Banking

New Woolies CEO's huge salary revealed

Woolworths have announced their new CEO, just hours after Brad Banducci shared the news of his <a href="https://www.oversixty.com.au/lifestyle/retirement-life/woolies-ceo-quits-after-disaster-interview" target="_blank" rel="noopener">retirement</a>. After almost nine years at the helm, Banducci is stepping down after a <a href="https://www.oversixty.com.au/finance/money-banking/i-think-i-m-done-the-question-that-made-woolies-ceo-leave-interview" target="_blank" rel="noopener">trainwreck interview</a> with ABC’s Four Corners, and while still facing backlash over the decision to not stock Australia Day merchandise. Now, his replacement has been announced, with Amanda Bardwell set to step into the role in September. Ms Bardwell was appointed to the role following an “extensive international search process”, which Woolworths Group Chair, Scott Perkins said was supported by external consultants. “We are thrilled to announce the appointment of Amanda as the incoming and 13th Managing Director and Group CEO of Woolworths Group, as the Group starts its next century of creating better experiences together for a better tomorrow,” Mr Perkins said in a statement. When Ms Bardwell steps into the role, she is set to receive a generous pay packet of $2.15 million, as well as additional generous bonus incentives. While this number seems extravagant, it pales in comparison with the $7.65 million Banducci took home last year. Mr Banducci’s pay was even higher in 2022, with a take home pay of $8.37 million, but money was knocked off from his short term bonuses, after the discovery that there was nearly $600 million in underpayments across Woolworths’ payroll going back years. The revelation of his extortionate pay packet in the wake of his resignation has angered many, with social media users airing their grievances over his salary, given that many Aussies continue to struggle to keep up with the rising costs of supermarkets as the cost of living crisis continues. Mr Banducci’s retirement was announced in a statement to the ASX on Wednesday morning, with the former boss saying it has been a “privilege” to be a member of the Woolworths team and one he has “never taken for granted”. A spokesman for Woolworths said Mr Banducci’s retirement announcement was not connected in any way to the recent Four Corners interview. Image credits: Woolworths

Money & Banking

"I think I'm done": The question that made Woolies CEO leave interview

Woolworths CEO Brad Banducci has cracked under the pressure during a tense interview with ABC's Four Corners. The supermarket boss sat down with reporter Angus Grigg as part of a deep dive into the supermarket industry in Australia amid the ACCC's investigation into allegations of unfair price gouging. The program questioned how supermarkets have been profiting from rising prices amidst the cost of living crisis and spoke with a number of key players, including Banducci and Coles boss Leah Weckert. The supermarkets have long denied the allegations have since become the focus of investigations by both the Senate and the Australian Competition and Consumer Commission (ACCC). “Rod Sims, the former head of the ACCC, says that we have one of the most concentrated supermarket [sectors] in the world, is he lying?” Griggs asked Banducci. “It’s not true. [He’s] retired, by the way,” Banducci said. The comment caught Griggs off guard, to which he responded, “I don’t think you would impugn his integrity and his understanding of competition law. He retired 18 months ago.” Banducci then began to appear agitated and asked if his comments could be removed. <blockquote class="twitter-tweet"> This is what happened when Four Corners asked Woolworths CEO Brad Banducci about the lack of competition in the Australian grocery market. Watch the <a href="https://twitter.com/hashtag/4Corners?src=hash&ref_src=twsrc%5Etfw">#4Corners</a> documentary tonight: <a href="https://t.co/dDRYGLaw2i">https://t.co/dDRYGLaw2i</a> <a href="https://t.co/bsrJD9IETB">pic.twitter.com/bsrJD9IETB</a> — ABC News (@abcnews) <a href="https://twitter.com/abcnews/status/1759391473567490367?ref_src=twsrc%5Etfw">February 19, 2024</a></blockquote> “Can we take that out? Is that ok? Angus, are we going to leave it in?” he said. “I shouldn’t have said that about Rod, about him being retired. I mean, he is retired, but I shouldn’t have said that. Are we going to leave that in there?” Upon being told that his comments were “on the record” and would not be taken out, Banducci said, “I think I’m done guys.” “I do this with good intent, and I don’t do this with bad intent,” he said as he walked away. “Really, you’re walking out?” Grigg asked. Banducci then disappeared from view, reportedly to talk with his PR team, before returning a few moments later to complete the interview. Speaking to ABC’s News Breakfast on Monday after the episode aired, Griggs called the move “pretty startling”. “I think it shows you that, there you have the boss of the largest supermarket chain in the country really unwilling to face too many questions,” he said. “It shows how little scrutiny they’ve had over the years and I think that’s a really big problem.” Image credits: ABC

Money & Banking

Woolies boss grilled for scrapping Aus Day merch

Woolworths chief executive Brad Banducci has shared the reason why the retailer chose to drop Australia Day merchandise. The supermarket giant copped some <a href="https://www.oversixty.com.au/finance/money-banking/woolworths-under-fire-for-dropping-australia-day-merch" target="_blank" rel="noopener">backlash </a>after they announced that they would stop selling the merch, with even opposition leader Peter Dutton calling for a <a href="https://www.oversixty.com.au/news/news/peter-dutton-calls-for-woolworths-boycott" target="_blank" rel="noopener">boycott</a> for their decision. They have since issued a full-page advertisement insisting the supermarket giant is not anti-Australia Day, which Banducci was grilled for in his latest appearance on the Today show. “We aren’t trying to ‘cancel’ Australia Day, rather Woolworths is deeply proud of our place in providing the fresh food that brings Australians together every day,” Banducci wrote in the letter. “So you’re not anti Australia today as a company?” Today show host Karl Stefanovic asked in reference to the letter. “Karl, we are a very proud Australian company. We’ve been around for 100 years. "We have 178,000 hard working team members who are going to be in store doing the right thing for our customers on Australia Day, and we’re passionate about this country,” the Woolworths chief executive replied. “But you’re not anti Australia Day?” Stefanovic asked again. Banducci replied saying that the day “means different things to everyone” and that he supports Aussies to commemorate the day in whatever way they wish. He added that while customers won't be able to buy Australia Day merch at their stores, they will decorate their stores across the country in “green and gold” to commemorate the day. “You must have serious regrets about this?” Stefanovic grilled. “I think we could clearly have done a better job of explaining our decision, that’s why I’m here,” Banducci replied. “I do feel anxious about the impact that this is having on our team. They are proud, hard working Australians, and for them to be seen as anti-Australian or woke is fundamentally unfair.” He added that this decision was made 12 months ago when they found that there was “gradual decline” in demand for the merchandise. Images: Today

Legal

Major supermarket director slams "woke" rivals' Australia Day boycott

John-Paul Drake, director of family-owned Drakes Supermarkets, has slammed rival supermarkets for moving away from stocking Australia Day merchandise. The fiery rant posted on social media came after the independent grocery retailer, which has 66 stores across South Australia and Queensland, shared their latest catalogue promoting Australia Day. The supermarket director said that his objection to “wokeworths” was about “choice”. “Whether you choose to celebrate Australia Day or not is totally up to you,” he wrote. “As a retailer, it’s my responsibility to let my customers choose if a product is suitable for them. “Just because you’re lactose-intolerant, does that mean I shouldn’t sell dairy products in store? How would you feel if I told you I didn’t like chocolate so we’ll no longer be selling it? “I agree that there is a broader discussion to be had around the date we celebrate our country," he added. “But until that date is changed, I will choose to gather with my friends and family and celebrate how bloody lucky we are that we live in a country where we can choose to have these kinds of debates.” He added that he understands some "may not agree with me, and that's ok." “Some of you may choose to boycott our stores – and I respect your right to choose where you spend your money,” he wrote. “I do ask, however, that you respect my team if you do enter our stores. They do not deserve to cop abuse for my values.” <blockquote class="instagram-media" style="background: #FFF; border: 0; border-radius: 3px; box-shadow: 0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width: 540px; min-width: 326px; padding: 0; width: calc(100% - 2px);" data-instgrm-captioned="" data-instgrm-permalink="https://www.instagram.com/p/C2Q56xUvOVW/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="14"> <div style="padding: 16px;"> <div style="display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"> </div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"> </div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"> </div> </div> </div> <div style="padding: 19% 0;"> </div> <div style="display: block; height: 50px; margin: 0 auto 12px; width: 50px;"> </div> <div style="padding-top: 8px;"> <div style="color: #3897f0; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: 550; line-height: 18px;">View this post on Instagram</div> </div> <div style="padding: 12.5% 0;"> </div> <div style="display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;"> <div> <div style="background-color: #f4f4f4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);"> </div> <div style="background-color: #f4f4f4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;"> </div> <div style="background-color: #f4f4f4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);"> </div> </div> <div style="margin-left: 8px;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;"> </div> <div style="width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg);"> </div> </div> <div style="margin-left: auto;"> <div style="width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);"> </div> <div style="background-color: #f4f4f4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);"> </div> <div style="width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);"> </div> </div> </div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center; margin-bottom: 24px;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 224px;"> </div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 144px;"> </div> </div> <p style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; line-height: 17px; margin-bottom: 0; margin-top: 8px; overflow: hidden; padding: 8px 0 7px; text-align: center; text-overflow: ellipsis; white-space: nowrap;"><a style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px; text-decoration: none;" href="https://www.instagram.com/p/C2Q56xUvOVW/?utm_source=ig_embed&utm_campaign=loading" target="_blank" rel="noopener">A post shared by jp drake (@shake.and.drake)</a> </div> </blockquote> This comes after <a href="https://www.oversixty.com.au/finance/money-banking/woolworths-under-fire-for-dropping-australia-day-merch" target="_blank" rel="noopener">Woolworths</a> confirmed that it would no longer be selling Australia day merchandise last week, with Big W and Aldi following suit. Opposition Leader Peter Dutton was quick to call for a <a href="https://www.oversixty.com.au/news/news/peter-dutton-calls-for-woolworths-boycott" target="_blank" rel="noopener">boycott</a> against the supermarket giant, for their "woke agenda". Coles, on the other hand, confirmed that they will continue to sell a small-range of Australia Day themed products for those who wish to celebrate the day. Images: Instagram/ Facebook

Legal

Woolies store vandalised over controversial Australia Day decision

A Woolworths Metro store in Brisbane has been vandalised over the supermarket giant's controversial decision to not stock Australia Day merchandise. The Woolies in the north-east suburb of Teneriffe was hit with a flare and graffitied with the message "5 days 26 Jan Aussie Aussie Oi Oi Woolies f*** u” on the side of the building. One local shared on social media that a flare was also set off at the front entrance, setting off the fire alarm about 5am on Monday morning, shortly after staff were seen cleaning the graffiti. Queensland Fire and Emergency Services confirmed three crews “responded to an alarm activation” at the store, where firefighters found smoke at the scene and ventilated the area. They left the vandalised store at 6am, where police took over the scene. “Thankfully no team members or customers were injured as this occurred before the store opened,” a Woolworths spokesperson said in a statement. “We’re grateful to the police and fire brigade who attended." “There’s no reason for vandalism and we’ll continue to liaise with Queensland Police.” The vandalism comes just days after the supermarket giant <a href="https://oversixty.com.au/finance/money-banking/woolworths-under-fire-for-dropping-australia-day-merch" target="_blank" rel="noopener">announced</a> they would not be stocking any specialised merch ahead of Australia Day. Woolworths shared that the reason for pulling Aussie decorations off the shelves was due to the “gradual decline” in demand for the merchandise over the years and “broader discussion” about the January 26th date and “what it means” to different parts of the community. “While Australian flags are sold within BIG W all year round, we don’t have any additional themed merchandise available to purchase in-store in our Supermarkets or BIG W ahead of Australia Day,” a spokesperson said. “We know many people like to use this day as a time to get together and we offer a huge variety of products to help customers mark the day as they choose.” Image credits: 7News / Shutterstock

Legal

Peter Dutton calls for Woolworths boycott

Peter Dutton has urged Aussies to boycott Woolworths, after the supermarket giant <a href="https://oversixty.com.au/finance/money-banking/woolworths-under-fire-for-dropping-australia-day-merch" target="_blank" rel="noopener">announced</a> their decision to not stock any Australia Day merchandise. The opposition leader lashed out at the "woke" decision, and took aim at Woolworths CEO Brad Banducci on 2GB radio on Thursday. "I think it's up to customers whether they want to go in and buy the product or not. If they don't want to celebrate Australia Day, well that's a decision for them, but I think people should boycott Woolworths," he told Nine's 2GB radio. "Other companies haven't done it (stopped selling Australia Day merchandise) and on that basis, I think Australians should boycott Woolworths." "I think Brad Banducci should come out and announce that he's reversing the decision." “I think the prime minister, frankly, needs to call it out because these CEOs do believe that by making these crazy decisions, somehow they’re signing up to the woke agenda of Anthony Albanese.” Dutton's comments were echoed by The Project panellist Steve Price, who launched into a tirade about the supermarket giant's decision on Thursday night. "Here we go again, more woke lecturing from corporate Australia," an outraged Price said of the "dumb" ban. He went on to point out that "Woolworths is a South African company by the way. They should bugger off and let us get on with Australia Day." "I'm proud to be Australian, thank you." Woolworths shared a statement on Wednesday, announcing their decision not to stock any Australia Day themed merch this year, due to the “<span style="caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji'; font-size: 16px;">gradual decline” in demand for the merchandise over the years and “broader discussion” about the January 26th date and “what it means” to different parts of the community. <p style="font-size: 16px; box-sizing: border-box; margin-top: 0px; margin-bottom: 1rem; caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji';">“While Australian flags are sold within BIG W all year round, we don’t have any additional themed merchandise available to purchase in-store in our Supermarkets or BIG W ahead of Australia Day,” a spokesperson said. <p style="font-size: 16px; box-sizing: border-box; margin-top: 0px; margin-bottom: 1rem; caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji';">“We know many people like to use this day as a time to get together and we offer a huge variety of products to help customers mark the day as they choose.” <p style="font-size: 16px; box-sizing: border-box; margin-top: 0px; margin-bottom: 1rem; caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji';">Coles have shared they will still be stocking a "small range" of Australia-themed products for those who wish to celebrate the public holiday. <p style="font-size: 16px; box-sizing: border-box; margin-top: 0px; margin-bottom: 1rem; caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji';">The decision to scrap the merch comes after the "Change The Date" movement has gained more traction over the years, with many arguing that Australia Day should be celebrated on a different day. <p style="font-size: 16px; box-sizing: border-box; margin-top: 0px; margin-bottom: 1rem; caret-color: #212529; color: #212529; font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, 'Helvetica Neue', Arial, sans-serif, 'Apple Color Emoji', 'Segoe UI Emoji', 'Segoe UI Symbol', 'Noto Color Emoji';">Image credits: Getty Images

News

Woolworths under fire for dropping Australia Day merch

Woolworths has come under fire for their decision to stop selling Australia Day merchandise, as the January 26th public holiday continues to be a controversial topic. The supermarket giant shared that the reason for pulling Aussie decorations off the shelves was due to the “gradual decline” in demand for the merchandise over the years and “broader discussion” about the January 26th date and “what it means” to different parts of the community. “While Australian flags are sold within BIG W all year round, we don’t have any additional themed merchandise available to purchase in-store in our Supermarkets or BIG W ahead of Australia Day,” a spokesperson said. “We know many people like to use this day as a time to get together and we offer a huge variety of products to help customers mark the day as they choose.” Woolworths confirmed on Wednesday that no additional Australia Day-themed merch would be sold in its supermarkets or Big W stores for this year’s public holiday, with patriots around the country quickly hitting back. Leading the backlash was shadow treasurer Angus Taylor, with the right-wing politician saying the decision was "disappointing", adding he didn’t “understand what it is with this constant desire to divide us”. <div id="indie-campaign-DifJheZrCrms7j4pmefw-0" data-campaign-name="NCA FINANCE Cashed Up Newsletter OneClick SignUp" data-campaign-indie="newsletter-signup" data-jira="TSN-268" data-from="1645448400000" data-to="1711803600000"></div> “Australians are proud of their country for the most part and proud of our identity, and they want to see us as a united nation,” he told Channel Nine. He said corporations like Woolworths “need to get on with it”. Mr Taylor was backed up by the shadow minister for education Senator Sarah Henderson, who said the decision was “not good enough”. “If gouging customers on fruit and vegetable prices is not enough, Woolworths is now withdrawing from sale Australia Day merchandise,” she posted on X. “Australia Day is a day for celebrating our freedoms, our values, and our unique Australian way of life.” Despite the outrage, other major shops decided to follow in Woolworths' lead, with Kmart also deciding not to sell any merchandise for January 26th for the second year in a row. Coles have shared they will still be stocking a "small range" of Australia-themed products for those who wish to celebrate the public holiday. The decision to scrap the merch comes after the "Change The Date" movement has gained more traction over the years, with many arguing that Australia Day should be celebrated on a different day. January 26th celebrated the arrival of Captain Cook and the First Fleet into Sydney in 1788: a date which holds a lot of anguish for Indigenous Australians. Image credits: Getty Images / Shutterstock

Money & Banking

“Absolutely disgusted”: Why shoppers are outraged over Woolies Christmas charity request

An outraged shopper has called out Woolworths for asking struggling Aussies to donate to a Christmas charity appeal, despite raking in record-breaking profits. The Woolies shopper snapped a photo of a donation trolley in one of the supermarkets, asking shoppers to donate food to OzHarvest ahead of the festive season. The supermarket, who recorded profits of $1.62 billion in the last financial year, have long been accused of price gouging in the face of the ongoing cost of living crisis. As a result, the angry shopper said the supermarket giant "needs a stern talking to", saying the company should "be forced to donate themselves" as many shoppers are "struggling to put food on the table". “We are in one of the worst cost-of-living crises in Australian history, and Woolworths, a multi-billion dollar company, is currently being accused of price hiking during the crisis", the shopper recently fumed on social media. "But they have the audacity to ask us to donate to those suffering from the cost-of-living crisis, instead of lowering their prices to be affordable or donating themselves." The shopper admitted to wanting to help those in need, but shared they were one of millions of Aussies who had to rethink the way they approached their Christmas shopping as soaring grocery prices continue hurting household budgets. "I'm absolutely disgusted that they are asking us to buy stuff from their store and donate it instead when they have the audacity to charge $7 for 2kg of potatoes or $7.50 for 4kg of potatoes," the shopper continued in the post on Reddit. Despite many people sympathising with the shopper’s post, one commenter pointed out that Woolworths has vowed to match all donations from the public to OzHarvest. "Until the 26th December, Woolworths will match your donations to OzHarvest to help provide even more meals to people who need it most this Christmas," it says. "Every 50 cents donated supports OzHarvest to deliver the equivalent of one nutritious meal from our surplus fresh food.” "These funds support the cost of drivers, vans, warehouses, fridges, freezers and more. All helping to ensure that as much fresh, healthy surplus food can get to as many Australians in need of food relief as possible". Image credits: Getty Images / Reddit

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