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Aldi boss reveals why their supermarkets are always cheaper

<p>Aldi bosses have revealed why their supermarkets are always cheaper than Coles and Woolworths after being quizzed by the ACCC.</p> <p>As part of the government crackdown on the supermarket duopoly in Australia, Aldi Australia national buying managing director Jordan Lack revealed the key reason why Aldi's prices are always lower. </p> <p>According to Lack, by keeping stores smaller, having fewer staff, and selling fewer items, prices are able to be kept lower than at other major supermarkets.</p> <p>"All of those little things ensure that we can keep our costs down and pass that onto the consumer," Lack said.</p> <p>Aldi says its supermarket shelves carry a range of only 1,800 items while Coles and Woolworths have more like 20,000 or 25,000.</p> <p>For example, a shopper looking for raspberry jam at Coles would have seven brands to choose from, while a Woolies shopper would see eight different brands, as Aldi only offers one brand. </p> <p>The ACCC Inquiry was told that is a big part of how Aldi can be anywhere between 10 per cent and a third less expensive than Coles and Woolworths.</p> <p>"We believe that incremental range adds costs and complexity through our supply chain," Lack said.</p> <p>Retail expert Gary Mortimer agreed, saying "When you're dealing with less choice and fewer items you're dealing with fewer suppliers, fewer wholesalers and you get the economies of scale."</p> <p><em>Image credits: Shutterstock</em></p>

Money & Banking

"Treated as fools": Prime Minister hits out at supermarkets

<p>On Thursday night the Australian Competition and Consumer Commission (ACCC) released an interim report on its supermarket inquiry, and found the price of a typical basket of groceries has increased by more than 20 per cent since 2019. </p> <p>The report found that low-income households spent more than a fifth of their income on food. </p> <p>While prices across all grocery products have increased, the most considerable hikes were in staples such as dairy products by 32 per cent, bread and cereal items by 28 per cent and meat and seafood prices have increased by a fifth. </p> <p>The price of fruit and vegetables has increased by 19 per cent between the March 2019 quarter to the June 2024 quarter. </p> <p>The ACCC released the interim report after examining whether supermarket giants were dudding suppliers and ripping off customers due to a lack of competition. </p> <p>In a statement on Friday, Prime Minister Anthony Albanese has condemned major supermarkets. </p> <p>“Customers don’t deserve to be treated as fools by the supermarkets. They deserve better than that,” he said. </p> <p>“This is an important piece of work and we will study it closely.</p> <p>“My government is taking a range of actions to make sure Australians are paying a fair price at the checkout and Australian suppliers are getting a fair price for their goods.”</p> <p>Assistant Minister for Competition Andrew Leigh said this was the most comprehensive inquiry they've had in 15 years. </p> <p>“Businesses need to do the right thing by Australians,” he said.</p> <p>“Greater competition is critical for lifting dynamism, productivity and wages growth, putting downward pressure on prices and delivering more choice for Australians dealing with cost-of-living pressures.”</p> <p>The report also found that due to "excessive" prices, many shoppers were buying less food and focusing on cheaper products to stay within their budgets. Others were eating less frequently and have smaller meals, or changing their shopping habits by comparing online prices before going in store. </p> <p>As a result, ACCC deputy chair Mick Keogh said Australians were “losing trust in the sale price claims by supermarkets”.</p> <p>“These difficulties reportedly arise from some of the pricing practices of some supermarkets, such as frequent specials, short-term lowered prices, bulk-buy promotions, member-only prices and bundled prices,” he said. </p> <p>In Australia, Woolworths and Coles contribute to 67 per cent of supermarket sales, with Aldi accounting for 9 per cent and IGA contributing 7 per cent. </p> <p>The ACCC will release their recommendations in their final report due in February 2025. </p> <p>This follows the ACCC launching <a href="https://o60.me/2ssagq" target="_blank" rel="noopener">legal action</a> against Coles and Woolworths over allegations of misleading customers with fake discount prices. </p> <p><em>Image: Daria Nipot / Shutterstock.com/ </em><em>MICK TSIKAS/EPA-EFE/ Shutterstock Editorial</em></p>

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Old grocery receipt highlights extortionate increase at supermarkets

<p>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. </p> <p>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. </p> <p>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.</p> <p>“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.</p> <p>“Oh but inflations (sic) currently back at around 3.8% … yeah my ass it is!!”</p> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">Found an old Woolworths receipt circa 2021. </p> <p>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! </p> <p>Oh but inflations currently back at around 3.8% … yeh my ass it is!! </p> <p>Pink Lady Apply $2.90kg… <a href="https://t.co/9OPS6SnOqI">pic.twitter.com/9OPS6SnOqI</a></p> <p>— Miss Madeleine (@MadsMelbourne) <a href="https://twitter.com/MadsMelbourne/status/1832282784431534448?ref_src=twsrc%5Etfw">September 7, 2024</a></p></blockquote> <p>Her docket shows how everyday items like coffee grounds, potato chips and stain removers have skyrocketed in price.</p> <p>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.</p> <p>Deli fresh Champagne leg ham sold for $2.50 for 100g according to the receipt, while current prices put that at $4.20.</p> <p>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.</p> <p>The woman also posted another smaller receipt from the same year, in which she bought grapes and a watermelon. </p> <p>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."</p> <p>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.</p> <p>“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.</p> <p>“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.”</p> <p>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.</p> <p>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. </p> <p>"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.</p> <p>"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." </p> <p><em>Image credits: X / Shutterstock </em></p>

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Huge move to bring down cost of groceries

<p>Federal Treasurer Jim Chalmers has announced a series of new measures to help bring down grocery prices ahead of the release of a wide-ranging review into the Grocery Code of Conduct.</p> <p>According to the treasurer, increasing competition among supermarket giants is key to placing “downward pressure on prices”, while also enforcing multibillion-dollar fines on retailers that fail to comply with the mandatory code of conduct.</p> <p>This code is set to dictate how supermarkets like Woolworths, Coles, Aldi and IGA’s parent company Metcash deals with producers and farmers, which will in turn see a reduction of prices for everyday shoppers. </p> <p>While Dr Chalmers stopped short of saying how far prices could drop, he told <em>Sunrise’s</em> Natalie Barr that a more competitive system would create “better outcomes for consumers,” and reduce grocery prices over time. </p> <p>“If it is more competitive, more transparent and people are getting a fair go, better outcomes will be seen at the supermarket checkout,” he said.</p> <p>The Treasurer said this would deliver a “fair go” for families, consumers and producers. </p> <p>“We recognise that the supply chains need to be better for farmers, growers and producers,” he said. </p> <p>“By doing that and making sure the supermarket sector is more competitive we can get better outcome for consumers.”</p> <p>Although the Albanese government has affirmed its support for the review, conducted by former Labor minister Craig Emerson, the final report rejected calls to expand the reforms to non-supermarkets like Bunnings, Chemist Warehouse, and Dan Murphy’s. </p> <p>“The review considers that the code should not be extended beyond supermarkets to cover other retailers,” the inquiry’s final report said.</p> <p>“This is not to say that these markets are functioning well for all players in those markets.”</p> <p><em>Image credits: MICK TSIKAS/EPA-EFE/Shutterstock Editorial/Shutterstock</em></p>

Money & Banking

Australia's cheapest supermarket revealed

<p>Australia's cheapest supermarket has been revealed, and here's how much you could actually save. </p> <p>Customer advocacy group Choice has released its first “basket of goods” report, which analyses supermarket prices across the country. </p> <p>As part of their research, they deployed 81 mystery shoppers to different regional and metropolitan supermarkets across the country, including Aldi, Woolworths, and Coles. </p> <p>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.</p> <p>They found that Aldi is Australia's cheapest supermarket saving customers around $17. </p> <p>“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.</p> <p>"Coles was the most expensive at $69.33, while the basket at Woolworths came in at $68.58.”</p> <p>The research was funded by the federal government as part of their action on supermarket pricing. </p> <p>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. </p> <p>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.</p> <p>The final review is reportedly expected later this week.</p> <p>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”.</p> <p>“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.</p> <p>“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.”</p> <p><em>Image: Shutterstock</em></p> <p> </p>

Money & Banking

Yes, Australia’s big supermarkets have been price gouging. But fixing the problem won’t be easy

<div class="theconversation-article-body"><em><a href="https://theconversation.com/profiles/bree-hurst-174985">Bree Hurst</a>, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>; <a href="https://theconversation.com/profiles/carol-richards-153226">Carol Richards</a>, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>; <a href="https://theconversation.com/profiles/hope-johnson-125018">Hope Johnson</a>, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>, and <a href="https://theconversation.com/profiles/rudolf-messner-1373038">Rudolf Messner</a>, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a></em></p> <p>A much-awaited report into Coles and Woolworths has found what many customers have long believed – Australia’s big supermarkets engage in price gouging.</p> <p>What <a href="https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Supermarket_Prices/SupermarketPrices/Terms_of_Reference">started</a> as a simple Senate inquiry into grocery prices and supermarket power has delivered a lengthy 195-page-long <a href="https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Supermarket_Prices/SupermarketPrices/Supermarket_Prices">report</a> spanning supermarket pricing’s impact on customers, food waste, relationships with suppliers, employee wages and conditions, excessive profitability, company mergers and land banking.</p> <p>The report makes some major recommendations, including giving courts the power to break up anti-competitive businesses, and strengthening the Australian Competition and Consumer Commission (ACCC).</p> <p>It also recommends making the Food and Grocery Code of Conduct mandatory for supermarket chains. This code governs how they should deal with suppliers. The government’s recent <a href="https://treasury.gov.au/consultation/c2024-510813">Independent Review of the Food and Grocery Code</a> also recommended making it mandatory for the supermarket giants.</p> <p>But at this point it’s hard to say what, if anything, the recommendations will mean for everyday Australians and the prices they actually pay.</p> <h2>Price gouging isn’t illegal</h2> <p>At the heart of the Senate inquiry was the question of whether Australian supermarkets were price gouging. According to the committee, the answer is a “resounding yes”, despite the evidence presented by supermarkets to the contrary.</p> <p>Price gouging is when businesses exploit a lack of competition by setting prices well above cost price. But the practice is <a href="https://www.accc.gov.au/consumers/pricing/setting-prices-whats-allowed">not explicitly illegal</a>.</p> <p>The committee put forward a number of recommendations that could help reduce price gouging. These include making it an offence to charge excess prices and establishing a new “Commission on Prices and Competition” to examine price setting practices in different sectors.</p> <p>The committee also wants the ACCC to be given enhanced powers to investigate and prosecute unfair trading practices, and to be better funded and resourced.</p> <p>The committee says supermarket claims that price gouging does not exist should mean the giants have nothing to fear under tougher legislation. However, it says:</p> <blockquote> <p>the evidence brought forward by people willing to speak out about the business practices of Coles and Woolworths suggests that maintaining margins and increasing margin growth is occurring at the expense of suppliers, consumers, and best business practices, and without proper justification.</p> </blockquote> <h2>It’s unlikely we’ll see relief anytime soon</h2> <p>Will these recommendations actually deliver any relief on prices? It’s hard to say at this point. The recommendations put forward are comprehensive, but they’re unlikely to result in any short-term change for consumers.</p> <p>At any rate, the Albanese government does not support many of them. In the report’s additional commentary, Labor senators argue that Australian competition law already addresses excessive pricing by prohibiting misleading and deceptive conduct. They also don’t support establishing a new commission to examine prices.</p> <p>Rather, the report calls for a dramatic overhaul of current regulatory settings, which it says are “not appropriate or fit for purpose”. This is not going to be an easy or fast process.</p> <h2>What does the report mean for the Greens’ divestiture bill?</h2> <p>While the inquiry was underway, the Greens <a href="https://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;page=0;query=BillId%3As1413%20Recstruct%3Abillhome">introduced a bill</a> which would give courts “divestiture powers”. This means a corporation could be ordered to sell some of its assets to reduce its market power.</p> <p>While the bill lacks support from the major parties, the committee suggested that such divestiture powers should be introduced specifically for the supermarket sector. Where abuse of market power was able to be proven, supermarkets could be forced to sell certain stores.</p> <p>While Australia does not have divestiture powers in this context, some other countries do. In New Zealand, the UK and the US, courts can force corporations that are abusing their market power to sell components of their business. Such powers are very rarely used, but the deterrent they impose can be <a href="https://theconversation.com/its-time-to-give-australian-courts-the-power-to-break-up-big-firms-that-behave-badly-226726">highly influential</a> on corporate behaviour.</p> <p>Labor rejects creating any forms of divestiture power in the report’s additional commentary. But the Coalition isn’t entirely against the idea, noting that it “does not believe the committee has persuasively found that divestiture powers should not be pursued at all” and that “divestiture powers should be targeted to sectors of concern”.</p> <h2>What’s next?</h2> <p>At this stage, the report suggests there’s only one action all political parties agree on at this stage: making the Food and Grocery Code of Conduct mandatory and ensuring its full enforcement. We’re unlikely to see much unity on the other recommendations.</p> <p>In a scathing commentary, the Coalition argues the report represents “a missed opportunity to address some of the structural imbalances in our supermarket sector that are impacting Australia’s growers, farmers, small businesses, and ultimately consumers”.</p> <p>While this is a harsh assessment, the reality is that unless these structural imbalances in our food system are addressed, we’re unlikely to see meaningful change.</p> <p>The report draws on substantial evidence to paint a troubling picture of the food system in Australia – in particular, how growers and consumers are struggling. The task for regulators is working out what mechanisms can be used to address the imbalance of power in the market, in a way that doesn’t force growers or Australian consumers to bear the cost.<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/229602/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><em><a href="https://theconversation.com/profiles/bree-hurst-174985">Bree Hurst</a>, Associate Professor, Faculty of Business and Law, QUT, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>; <a href="https://theconversation.com/profiles/carol-richards-153226">Carol Richards</a>, Professor, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>; <a href="https://theconversation.com/profiles/hope-johnson-125018">Hope Johnson</a>, ARC DECRA Fellow, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a>, and <a href="https://theconversation.com/profiles/rudolf-messner-1373038">Rudolf Messner</a>, Postdoctoral Research Fellow, <a href="https://theconversation.com/institutions/queensland-university-of-technology-847">Queensland University of Technology</a></em></p> <p><em>Image credit: Shutterstock</em></p> <p><em>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/yes-australias-big-supermarkets-have-been-price-gouging-but-fixing-the-problem-wont-be-easy-229602">original article</a>.</em></p> </div>

Money & Banking

Kochie reveals the simple way to halve your grocery bill

<p>David Koch has revealed the simple trick to help you save big bucks at the supermarket as the cost of living crisis continues to hit hard. </p> <p>Kochie, who is the Compare the Market's economic director, calculated that Aussies can save up to $100 per trip to the grocery shop by making the switch to home brands. </p> <p>According to research of major Australian supermarkets, the average household can save big bucks by choosing not to buy well-known brands, which can lead to a saving of $5,000 per year. </p> <p>"So, when you're doing your supermarket shop, what's in a brand name? Well, let me tell you - plenty," Kochie said in a video posted to the Compare the Market Instagram account. </p> <p>"You are paying plenty more for that loyalty to a brand that you love."</p> <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-permalink="https://www.instagram.com/reel/C57UwVrvSZ5/?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/reel/C57UwVrvSZ5/?utm_source=ig_embed&utm_campaign=loading" target="_blank" rel="noopener">A post shared by Compare the Market AU (@comparethemarket_aus)</a></p> </div> </blockquote> <p>Compare the Market took to a major supermarket and bought 25 items from big name brands, and another 25 similar items from a challenger supermarket selling cheaper home brands.</p> <p>Based on substituting big-brand products for lesser-known labels, grocery bills would fall from $201.19 a week to $103.51, taking the weekly saving up to $97.68.</p> <p>"Now, multiply that weekly shop over a whole year and that's a saving of over $5,000."</p> <p>"Almost three return economy airfares to London."</p> <p>Everyday Aussies are continuing to struggle with the rising cost of groceries, with the price of bread and cereal increasing by 7.3 per cent in the year to March, an official monthly measure of inflation showed. </p> <p><em>Image credits: Instagram </em></p>

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Supermarkets accused of pushing "confusing" promo labels

<p>Coles, Woolworths and Aldi have all been accused of saturating their stores with "confusing" promotional labels that offer little to no discount. </p> <p>Research by consumer advocacy group Choice suggests one-in-four shoppers feel "misled" by discount stickers, finding it difficult to discern the promo price from the original price. </p> <p>More than 1,000 customers across the country took part in the <a title="www.choice.com.au" href="https://www.choice.com.au/unclearsupermarketspecials" target="_blank" rel="noopener">research</a>, which surveyed price tags regularly used by Woolworths, Coles and Aldi that featured phrases such as “down down”, “member price” and “prices dropped”.</p> <p>According to the report, which has been passed on to the Australian Competition and Consumer Commission (ACCC) Supermarkets Inquiry, it was Coles that caused the most confusion, with their "while stocks last" stickers proving to be unclear to the average shopper. </p> <p>Coles told <em><a href="https://www.news.com.au/lifestyle/real-life/news-life/woolworths-coles-and-aldi-accused-of-confusing-promotional-labels/news-story/c2a350bd62dd0a0ba9c4fad04fa69435" target="_blank" rel="noopener">news.com.au</a></em> its “while stocks last” tickets offer customers the chance to buy items which are only available at Coles for a limited time, and which are unlikely to be restocked once the products are sold out.</p> <p>But according to Choice, one-third of shoppers surveyed believed products tagged with the bright yellow tag were discounted, while another third were unsure of its meaning. </p> <p>Woolworths’ “member price” was also found to cause “considerable confusion”, according to the consumer watchdog.</p> <p>Meanwhile Aldi’s “super savers” label were also found to leave many Aussies confused, with a third of those surveyed unsure if it was a discount, according to the research. </p> <p>“Consumers look for products that are the best value for money but it is becoming increasingly difficult for people to decipher the promotional tags being used by the supermarkets,” Choice said.</p> <p>“Consumers are drawn to promotional tags that make it look like one product is potentially better value or a good deal, compared to other products."</p> <p>However, the labels are “confusing and potentially misleading” and without contextual information or historical pricing data, “consumers have no way of knowing if they are getting a good deal or not."</p> <p>Coles, Woolworths and Aldi have all responded to the report, with Coles saying in a statement, “Customer feedback is important to us. Our goal is to always be as clear as possible and we are taking steps to update this ticket over the coming months.”</p> <p>Choice has called for “transparent pricing” from supermarkets in the report “to ensure that people are able to effectively compare products, recognise genuine discounts and make informed decisions” when buying their groceries. </p> <p>Choice is also calling for strong enforcement action from the ACCC to “send a clear message to the supermarkets that misleading pricing is unacceptable”.</p> <p><em>Image credits: Choice </em></p>

Money & Banking

Supermarket worker finds 2000 Olympics relic between the shelves

<p dir="ltr">A worker at an Aussie supermarket has discovered a relic of Australian culture that is over two decades old. </p> <p dir="ltr">While moving some old shelves in the grocery store as they prepared for renovations, the supermarket worker was shocked to discover a long-expired chocolate bar that was released for the 2000 Sydney Olympics. </p> <p dir="ltr">Posting about the discovery on a Facebook page called Old Shops Australia, a man posted about his wife’s unusual find. </p> <p dir="ltr">“My wife works in a supermarket and they were moving the shelving around and this was stuck between two shelves. Still wrapped up with chocolate inside,” the man said. </p> <p dir="ltr">The 'Sydney 2000 Games Story Block' had the three characters, Syd the platypus, Millie the echidna and Olly the Kookaburra on the front. </p> <p dir="ltr">It also had one of six collectable Olympic Games story book inside the wrapper, with the chocolate expiring on July 30th 2001. </p> <p dir="ltr">Images of the almost-forgotten treat have been circulating online triggering old memories in thousands of Aussies. </p> <p dir="ltr">One person noted the wrapper was made out of paper and foil rather than the plastic used today. </p> <p dir="ltr">Others pointed out the generous size of the chocolate block which is 250g compared to the 180g bars available now. </p> <p dir="ltr">“Oh wow!! This brings back memories!! A near 24 year old block of chocolate!! Would anyone be up for tasting it?! Wonder how much it's worth?! How long since the supermarket had a good clean and update?! So many questions!” one woman asked. </p> <p dir="ltr">“Partly want this to go to a museum, partly just wanna see it unwrapped,” a second wrote. </p> <p dir="ltr">“Oof, right in the nostalgia,” a third said and another chimed in, “Mouldy as hell. I wonder what the story book looks like.”</p> <p dir="ltr"><em>Image credits: Facebook</em></p>

Food & Wine

Supermarkets, airlines and power companies are charging ‘exploitative’ prices despite reaping record profits

<p><em><a href="https://theconversation.com/profiles/sanjoy-paul-1141384">Sanjoy Paul</a>, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a></em></p> <p>Australians have been hit by large rises in grocery, energy, transport, child and aged care prices, only adding to other cost of living pressures.</p> <p>While extreme weather and supply delays have contributed to the increases, an inquiry into what’s causing the hikes has confirmed what commentators and consumers suspected - many sectors are resorting to dodgy price practices and confusing pricing.</p> <p>Headed by the former Australian Consumer and Competition Commission (ACCC) boss, Allan Fels, on behalf of the ACTU, the inquiry found inflation, questionable pricing practices, a lack of price transparency and regulations, a lack of market competition, supply chain problems and unrestricted price setting by retailers are to blame for fuelling the increases.</p> <p>The inquiry, which released its <a href="https://www.actu.org.au/wp-content/uploads/2024/02/InquiryIntoPriceGouging_Report_web9-1.pdf">final report</a> on Wednesday, is one of four examining price rises. The other three are being undertaken by a Senate committee, the Queensland government and the ACCC, which has been given extra powers by the government.</p> <h2>Prices vs inflation</h2> <p>The inflation rate in Australia peaked at <a href="https://www.abs.gov.au/statistics/economy/price-indexes-and-inflation/consumer-price-index-australia/latest-release">7.8%</a> in December 2022 and has been gradually dropping since then.</p> <p>While the inquiry found higher prices contributed to inflation, it reported that businesses claimed it was inflation that caused price rises - making it a chicken-or-egg kind of problem.</p> <p>However, many businesses made enormous <a href="https://theconversation.com/amid-allegations-of-price-gouging-its-time-for-big-supermarkets-to-come-clean-on-how-they-price-their-products-219316">profits</a> in 2022-23, which the inquiry said contributed to rising prices and inflation. In most cases, post-pandemic profit margins were much higher than before the pandemic.</p> <h2>How prices are set</h2> <p>Business pricing strategies had a big impact on product prices.</p> <p>In Australia, businesses often provided partial and misleading pricing information which differed from the actual price. For example, supermarkets were “<a href="https://www.afr.com/politics/federal/accc-warns-supermarkets-about-discount-claims-20240114-p5ex1s">discounting</a>” products by raising prices beforehand.</p> <p>These practices helped raise prices and were “exploitative”, the inquiry found.</p> <p>A lack of transparent pricing information caused a poor understanding by consumers of how prices were set. This was significantly worsened by a lack of competition. While market concentration was a major issue, the inquiry found prices in Australia are way higher than in many other less competitive markets.</p> <p>Large price increases occurred across many sectors:</p> <p><strong>AVIATION</strong></p> <p>While it is free to set any price for airfares, Australia’s largest and highest profile aviation company, Qantas, has been <a href="https://www.thenewdaily.com.au/life/2023/12/28/qantas-deceptive-conduct-accc">accused</a> of price gouging since the pandemic.</p> <p>According to the inquiry report, Qantas made a profit of $1.7 billion in 2023 - 208% higher than in 2019. At the same time, its reputation has been badly damaged by unreliable timetables, lost baggage and so-called <a href="https://www.9news.com.au/national/qantas-files-legal-defence-refutes-accc-case-and-ghost-flight-claims/9a6296c9-9238-4053-9f36-cc3cbf1f8a55">“ghost” flights</a> (selling tickets for a flight that’s been cancelled or doesn’t exist).</p> <p>Despite its huge profits and poorer service, Qantas passed on extra expenses to consumers in the form of higher airfares, the inquiry found.</p> <p><strong>BANKING</strong></p> <p>The banking industry has a long history of being tardy in passing on the Reserve Bank’s cash rate cuts to consumers. However, when the reserve raised the cash rates, banks immediately increased their standard variable rates and passed them on to customers. This practice keeps the bank’s profit margin higher.</p> <p>According to the inquiry report, the major banks’ average profit margins have been higher since May 2022 than in the 15 years before the pandemic. For 2022-23, the four big Australian banks’ profit margins were 35.5%, compared to an average of 32.4% from 2005 to 2020.</p> <p><strong>CHILDCARE</strong></p> <p>Australian households spent a good portion of their income on childcare, and for many of them, it was <a href="https://www.vu.edu.au/sites/default/files/mitchell-institute-assessing-childcare-affordability-in-Australia.pdf">unaffordable</a>.</p> <p>In Australia, the lack of availability and difficulty in switching services makes it even harder for working parents to find alternative options. This indicates parents are forced to pay more if the service providers raise prices.</p> <p>The inquiry found the childcare sector increased fees by 20% to 32% from 2018 to 2022. Accordingly, Australian households’ out-of-pocket expenses for childcare increased more than the rate of wage growth. For-profit childcare businesses have higher margins than not-for-profit centres.</p> <p><strong>ELECTRICITY</strong></p> <p>In recent years, electricity price increases have impacted all Australian households. The inquiry found both wholesale and retail electricity pricing strategies were responsible for these increased prices.</p> <p>It reported that wholesale price increases were mainly responsible for an estimated 9% to 20% increase in electricity bills in 2022-23.</p> <p>The report noted the “price bidding system” was largely responsible for increasing wholesale electricity prices.</p> <p>The inquiry was critical of the profit margin of AGL, a leading electricity retailer:</p> <blockquote> <p>It would seem that AGL needs to explain why consumers are paying $60.10/MWh more than seems to be justified by cost differentials. That is, for every consumer bill of $1,000 there is an apparent excess to be explained of $205.61 relative to prices charged to large business customers and not accounted for by genuine cost differences.</p> </blockquote> <p><strong>SUPERMARKETS</strong></p> <p>Supermarket prices have received the most attention recently with the main providers being accused of price gouging.</p> <p>As has occurred in other sectors, profit margins were well above pre-COVID levels. In 2023, the margin was more than 3.5% compared to less than 3% in 2017 and 2018.</p> <p>In Australia, <a href="https://www.smh.com.au/politics/federal/not-happy-little-vegemites-food-prices-rising-faster-than-inflation-20230522-p5da9w.html">food prices</a> also increased well above the inflation rate.</p> <p>According to the inquiry, the price increases for groceries between March 2021 and September 2023 varied between 19.2% and 27.3% for different categories, including cheese, bread, milk, eggs, dairy products and breakfast cereals.</p> <p>Farmers recently <a href="https://www.news.com.au/finance/business/retail/aussie-farmer-shipping-beautiful-melons-to-japan-rather-than-deal-with-coles-and-woolworths/news-story/bd685cd91f934f31c02c764097f496ae">accused</a> supermarkets of making too much profit from their crops.</p> <p>This was backed by the inquiry, which found the disproportionate market power held by supermarkets and food processors was of significant concern.</p> <p>The report noted that supermarkets increased prices when there was a shortage or cost increase, but the opposite did not happen easily when supplies were plentiful and prices were cheaper.</p> <h2>Issues common to all sectors</h2> <p>Among the issues common to all sectors were weak competition, a lack of price transparency, the difficulty consumers face switching between suppliers and providers, a lack of pricing policies and a lack of consumer awareness.</p> <p>While the price rises imposed by service providers and retailers were <a href="https://www.accc.gov.au/business/pricing/setting-prices-whats-allowed">not unlawful</a>, the increases in all sectors were significant and were hurting everyday Australians.</p> <h2>Fels’ recommendations</h2> <p>Many of the recommendations were sector-specific, but the one that applied to all areas related to the lack of regulation and pricing policies.</p> <p>The ACCC should be empowered to investigate, monitor and regulate prices for the child and aged care, banking, grocery and food sectors, the inquiry found. This was necessary to ensure businesses used fair and transparent pricing.</p> <p>A review of all existing policies was also recommended. For example, the government should use the current aviation review to remove international and domestic restrictions on competition. It was important aviation stakeholders, such as airlines and airports, were involved in the process.</p> <p>The report suggested the grocery <a href="https://www.accc.gov.au/business/industry-codes/food-and-grocery-code-of-conduct">code of conduct</a> should be mandatory for the food and grocery sector, and a price register for farmers should be created. This should be a government priority to protect farmers from unfair pricing by major supermarkets and food processors.</p> <h2>Change is needed</h2> <p>The current pricing practices for all business sectors must improve for greater transparency and to protect Australian consumers from unfair pricing.</p> <p>The inquiry report’s findings and recommendations are helpful in ensuring fair and transparent pricing policies and improving the current regulations for price settings.</p> <p>Implementing the recommendations will improve fair and transparent pricing practices and may help Australians get relief from the cost of living pressure in future.<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/222755/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><a href="https://theconversation.com/profiles/sanjoy-paul-1141384"><em>Sanjoy Paul</em></a><em>, Associate Professor, UTS Business School, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a></em></p> <p><em>Image credits: Getty Images </em></p> <p><em>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/supermarkets-airlines-and-power-companies-are-charging-exploitative-prices-despite-reaping-record-profits-222755">original article</a>.</em></p>

Money & Banking

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

<p>John-Paul Drake, director of family-owned Drakes Supermarkets, has slammed rival supermarkets for moving away from stocking Australia Day merchandise. </p> <p>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. </p> <p>The supermarket director said that his objection to “wokeworths” was about “choice”.</p> <p>“Whether you choose to celebrate Australia Day or not is totally up to you,” he wrote. </p> <p>“As a retailer, it’s my responsibility to let my customers choose if a product is suitable for them.</p> <p>“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?</p> <p>“I agree that there is a broader discussion to be had around the date we celebrate our country," he added. </p> <p>“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.”</p> <p>He added that he understands some "may not agree with me, and that's ok." </p> <p>“Some of you may choose to boycott our stores – and I respect your right to choose where you spend your money,” he wrote. </p> <p>“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.”</p> <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></p> </div> </blockquote> <p>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.</p> <p>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".</p> <p>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. </p> <p><em>Images: Instagram/ Facebook</em></p> <p> </p>

Legal

Amid allegations of price gouging, it’s time for big supermarkets to come clean on how they price their products

<p><em><a href="https://theconversation.com/profiles/sanjoy-paul-1141384">Sanjoy Paul</a>, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a></em></p> <p>With inflation driving up the cost of living, many are dreading not just the hassle of a big grocery shop, but also the bruising cost.</p> <p>But while Australians struggle with their budget and spending, several major supermarkets made large profits in 2022–23. Coles and Woolworths, for example, made net profits of <a href="https://www.theguardian.com/business/2023/aug/23/woolworths-posts-162bn-profit-with-dramatic-lift-in-margins-despite-cost-of-living-crisis">A$1.1 billion and A$1.62 billion</a>, respectively.</p> <p><a href="https://www.news.com.au/finance/money/costs/coles-and-woolworths-chief-executives-to-face-senate-inquiry-into-supermarket-price-hikes/news-story/0f74b6d4cac20ee65b818642f4f554ba">Allegations of price gouging</a> by Australian supermarkets have even led to a <a href="https://www.abc.net.au/news/2023-12-03/greens-move-to-establish-senate-inquiry-into-supermarkets/103179656">Senate inquiry</a> into supermarket pricing.</p> <p>Coles chief executive Leah Weckert has <a href="https://www.colesgroup.com.au/media-releases/?page=coles-group-statement-on-senate-inquiry-into-supermarket-prices">promised</a> to appear at the inquiry, saying the company “works hard to keep prices affordable for Australian households […]” and is ready to “engage in an informed discussion on the factors that influence supermarket pricing.”</p> <p>Woolworths Group chief executive Brad Banducci, meanwhile, <a href="https://www.woolworthsgroup.com.au/au/en/media/latest-news/2023/woolworths-group-confirms-ceo-will-appear-at-senate-inquiry-on-s.html">said</a> he welcomes the chance to explain to the Senate “how we are working to balance the needs of our customers, our team and our suppliers in the context of economy-wide inflationary pressure”.</p> <p>But why wait until a Senate inquiry to explain all that? There’s an opportunity <em>now</em> for the big supermarkets to be more transparent about how they decide what prices to put on products.</p> <h2>Allegations of price gouging</h2> <p>It’s not just <a href="https://www.abc.net.au/news/2023-12-03/greens-move-to-establish-senate-inquiry-into-supermarkets/103179656">politicians</a> and <a href="https://au.finance.yahoo.com/news/woolworths-photo-exposes-everything-wrong-with-supermarkets-002726485.html">customers</a> complaining about supermarket prices.</p> <p>Australian farmers have also accused Coles and Woolworths of price gouging for <a href="https://www.news.com.au/finance/business/retail/aussie-farmer-shipping-beautiful-melons-to-japan-rather-than-deal-with-coles-and-woolworths/news-story/bd685cd91f934f31c02c764097f496ae">fruits and vegetables</a>, claiming supermarkets profit too much from their crops.</p> <p>The National Farmers’ Federation has <a href="https://www.freshplaza.com/oceania/article/9583132/farmers-call-for-price-transparency-beyond-supermarket-inquiry/">called</a> for greater transparency from the supermarkets on how they decide prices.</p> <p>A recent <a href="https://www.freshplaza.com/oceania/article/9583132/farmers-call-for-price-transparency-beyond-supermarket-inquiry/">survey</a> by AUSVEG (the peak industry body for the Australian vegetable and potato industries) found 34% of vegetable growers are considering leaving the industry in the next 12 months as they <a href="https://www.news.com.au/finance/business/retail/aussie-farmer-shipping-beautiful-melons-to-japan-rather-than-deal-with-coles-and-woolworths/news-story/bd685cd91f934f31c02c764097f496ae">struggle</a> to turn a profit.</p> <p>When asked about calls for more transparent pricing, a Woolworths spokesperson told The Conversation:</p> <blockquote> <p>We publish both our average gross margin and EBIT (earnings before interest and taxes) margin transparently in our public financial reports.</p> <p>Supply chain costs are different for every product and they are constantly fluctuating, as are our buying costs in the case of fresh food like fruit and vegetables.</p> <p>Shoppers are very savvy. We operate in a highly competitive industry and we know our customers will – and do – shop around to find the best value.</p> <p>As we start to see the rate of inflation ease, we will continue to focus on delivering savings to our customers.</p> </blockquote> <p>Coles was also contacted for comment but did not reply before publication deadline.</p> <h2>Factoring in many costs</h2> <p>When a retailer buys products from their suppliers, it involves a supply chain that includes supply, manufacturing, transportation and distribution, warehouse and storage.</p> <p>There are several costs – such as product costs, transportation fees, labour, rent, inventory and more – involved at every step of the process.</p> <p>The supermarket must factor in all costs, as well as its profit margin, when it sets the selling price for a product.</p> <p>Organisations usually have these cost breakdowns as part of their internal decision-making – but they don’t typically disclose these calculations to their customers.</p> <h2>Not disclosing the cost breakdowns</h2> <p>The problem for supermarkets is that when they don’t disclose details such as their buying price or supply chain costs, it can contribute to anger among customers and suppliers.</p> <p>Apple and Pear Australia Limited – the national peak industry body for apple and pear growers – has <a href="https://apal.org.au/retailers-need-to-demonstrate-greater-price-transparency/">called for</a> retailers to demonstrate greater price transparency, saying, “frustration at the behaviour of the major retailers has again angered many growers”.</p> <p>Of course, supermarkets use several pricing strategies to win customer support – such as locking in prices for a certain period of time, everyday low prices on key products, specials, price-matching and discounts.</p> <p>Supermarkets spend millions of dollars on these price-related advertisements, but perhaps they would get more community support by simply disclosing cost breakdowns on their websites and in-store to show their commitment to transparent and fair pricing.</p> <h2>Transparent and fair pricing</h2> <p>Research shows price transparency helps businesses build trust with their <a href="https://fastercapital.com/content/The-Importance-of-Price-Transparency-in-Pricing-Psychology.html">customers</a>.</p> <p>Many major retailers already have this information for internal decision-making, so could display this online and in stores.</p> <p>Yes, prices change constantly due to factors outside their control – such as fuel prices, shipping problems or even supply chain issues linked to global conflict. But being more open with customers about these issues could help repair relationships and their public image.</p> <p>Perhaps there may even be a role for government, which could collaborate with supermarkets and retailers to develop policies for transparent and fair pricing.</p> <p>Everyday Australians deserve to be treated fairly and given the information they need about how major supermarkets price their products, so they can make informed decisions at the checkout.<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/219316/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><a href="https://theconversation.com/profiles/sanjoy-paul-1141384"><em>Sanjoy Paul</em></a><em>, Associate Professor, UTS Business School, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a></em></p> <p><em>Image credits: Getty Images</em></p> <p><em>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/amid-allegations-of-price-gouging-its-time-for-big-supermarkets-to-come-clean-on-how-they-price-their-products-219316">original article</a>.</em></p>

Money & Banking

"Dead dodgy": Outraged shopper uncovers sneaky Coles practice

<p>One disgruntled shopper has called out Coles for their "deceptive" tactic to mislead customers about their special deal prices. </p> <p>After finding that prices online were often mismatched to prices in store, regular Coles shopper Rowan Element got into the habit of checking if the price of an item was the same on the specials tag and its original tag, with the initial price often exaggerated on the specials tag to make the promotion appear more appealing.</p> <p>On Thursday, Element discovered one Coles store in Canberra employing this sneaky practice with the original tag conveniently hidden behind the promotion.</p> <p>"I bought this humble pack of sliced mushrooms, they were on special 'two for $6.50' or $4 for one. When I moved the specials tag the price was $3.50... It is not the first time that I’ve noticed something like this," she told <a href="https://au.news.yahoo.com/coles-customer-catches-supermarket-in-dead-dodgy-practice-062334548.html" target="_blank" rel="noopener"><em>Yahoo News Australia</em></a>.</p> <p>"Clearly Coles put the price up to make the 'special' look better but forgot to take off the original price ticket."</p> <p>After taking the mushrooms to the checkout and being charged $4 for the one pack, Element asked to speak to a manager and called out the "deceptive advertising". </p> <p>Staff provided a refund for the mushrooms and allowed the shopper to keep the produce before "literally running" to remove the offending tag from the shelf.</p> <p>Despite the small price discrepancy, the shopper believes the issue lies with the dishonestly of the supermarket giant, rather than with the small 50 cent disparity. </p> <p>"Sadly I think it's what we've come to expect from large corporations determined to make massive profits at the expense of their customers. There's total disregard for morality of their behaviour... It's dead dodgy" she said.</p> <p>Coles confirmed to <em>Yahoo News</em> the price tag in question at the Canberra store has been "corrected", however, it did not respond to questions regarding accusations that the supermarket was doing it on purpose.</p> <p>"Coles takes clear and accurate pricing information on tickets very seriously," a spokesperson said. "We always aim to ensure that our specials represent value for our customers and have confirmed that the special tickets were indeed correct in these instances."</p> <p><em>Image credits: Yahoo News / Shutterstock</em></p>

Money & Banking

Fed up farmer blasts major supermarkets for price gouging

<p>In a heartfelt plea captured in a viral video, Ross Marsolino, a Victorian farmer and owner of Natural Earth Produce, expressed his frustration with major supermarkets and their pricing strategies for fruits and vegetables.</p> <p>Marsolino, who specialises in growing zucchinis, tomatoes and eggplants in Victoria's Goulburn Valley, said that the profit margins imposed by supermarkets are crippling farmers, adversely impacting consumers, and driving growers out of business.</p> <p>“We’re going to walk away from 80 acres today,” Marsolino said in his video posted to social media. “We’re not retailing the right price to be able to keep the product moving and selling. Plain and simple. The supermarkets are making too much profit out of our crops. We can’t survive. As growers we can’t afford to pay the workers, 50 people are going to be out of the system looking for work.”</p> <p>The crux of Marsolino's argument lies in the claim that supermarkets are engaging in price-gouging, purchasing produce from growers at a considerably lower price and then selling it at a steep markup. He highlighted the stark contrast between the $1.80 per kilo that supermarkets allegedly pay to farmers and the retail price of $4.99, stating that this disparity is unsustainable for growers.</p> <p>The consequence, as Marsolino outlined, is a domino effect on the entire supply chain. Farmers, unable to cover their costs, are forced to reduce the quantity of product they sell, leading to both financial losses for growers and higher prices for consumers.</p> <p>That is why, in his case, Marsolino is saying he is prepared to abandon his 80-acre zucchini crop, estimating the loss at a staggering $2 million. This decision, he said, is a result of the unsustainable economics of the industry.</p> <p>Marsolino's argument goes beyond his personal struggle; he contends that the high retail prices set by supermarkets are ultimately detrimental to consumers and the agricultural industry as a whole. He believes that if prices were lowered to a more reasonable level, consumers would be more inclined to purchase the produce, resulting in increased sales for growers and a healthier industry overall.</p> <p>The plea from Marsolino has also sparked a call for government intervention. He urged authorities to scrutinise the pricing practices of supermarkets, demanding transparency in their transactions with growers. Marsolino's desire is for someone to hold the major supermarket chains accountable for the prices they set and to ensure that they are fair and reasonable.</p> <p>In response to Marsolino's claims, representatives from Woolworths and Coles <a href="https://www.news.com.au/finance/business/retail/fed-up-farmer-abandons-80acre-zucchini-crop-blaming-high-markups-at-supermarkets/news-story/30c5ebbaa296e74b8c12c1da356696cd" target="_blank" rel="noopener">defended their pricing structures</a>. They argued that the prices paid to suppliers are influenced by various factors, including processing, transport, labour, packaging and market conditions. Both companies emphasised their commitment to fair pricing and their efforts to balance the interests of suppliers and consumers.</p> <p>Marsolino's plea serves as a reminder of the delicate balance required to sustain both the agricultural sector and the affordability of fresh produce for consumers. As the debate continues, it remains to be seen whether there will be a shift towards a more equitable pricing structure that benefits all stakeholders in the industry.</p> <p><em>Images: Instagram</em></p>

Money & Banking

Young woman jailed for 7 years for swapping price tags at supermarket

<p>A Russian court has convicted an artist to seven years in jail for swapping supermarket price tags with antiwar messages. </p> <p>Sasha Skochilenko, 33, was arrested in St Petersburg and charged with spreading misinformation about the military when she replaced price tags with ones against Russia's invasion of Ukraine.</p> <p>"The Russian army bombed an arts schools in Mariupol. Some 400 people were hiding in it from the shelling," one read. </p> <p>"Russian conscripts are being sent to Ukraine. Lives of our children are the price of this war," the other said. </p> <p>Her arrest is part of the latest crackdown on free speech, and she was arrested after a customer at the supermarket found the slogans and reported her to authorities. </p> <p>Skochilenko's arrest comes one month after authorities adopted a law that criminalises any public expression about the war that deviates from the official Kremlin line.</p> <p>The legislation is used to crackdown on opposition politicians, human rights activists and ordinary citizens that are critical of the Kremlin. </p> <p>The 33-year-old has not denied replacing the price tags but has rejected the accusation of knowingly spreading false information. </p> <p>She also claimed that she didn't want to criticise the military but wanted to stop the fighting. </p> <p>"She is a very empathetic, peace-loving person. To her, in general, the word 'war' is the most terrible thing imaginable, as is the suffering of people," her lawyer Yana Nepovinnova told <em>The Associated Press</em> last week. </p> <p>"She is a very empathetic, peace-loving person. To her, in general, the word 'war' is the most terrible thing imaginable, as is the suffering of people," Nepovinnova added. </p> <p>According to the Russian independent news site Mediazona, Skochilenko said that the case against her was "weird and ridiculous" in her final statement in court and that even the officials where she was detained at "open their eyes widely and exclaim: 'Is this really what people are being imprisoned for now?'"</p> <p>While addressing the judge in a courtroom full of supporters, Skochilenko also reportedly said that: "Everyone sees and knows that it's not a terrorist you're trying. You're not trying an extremist. You're not trying a political activist, either. You're trying a pacifist."</p> <p>Mediazona also reported that her supporters applauded her and chanted her name when she was led away after the verdict. </p> <p>Nearly 750 people have face criminal charges for their antiwar stances, and over 8100 had petty charges for discrediting the army, which is punishable by a fine or short time in jail.</p> <p><em>Images: BBC News</em></p> <p> </p>

Legal

Aussie shopper sparks outrage over "boomer hour" pitch at supermarkets

<p>A frustrated Aussie shopper has called for major supermarkets to implement a dedicated "boomer hour" for seniors to do their groceries. </p> <p>The shopper, from Victoria's Mornington Peninsula, caused an uproar after posting on Facebook saying that elderly customers should be "more mindful of time-poor workers and busy parents".</p> <p>The person went on to write that senior shoppers often take up too much space in the aisles to stop and socialise, making it "inconvenient" for other shoppers in a rush.</p> <p>The divisive post attracted a lot of attention, with many younger shoppers flocking to the comments to back the controversial idea. </p> <p>One person said older shoppers should save their socialising for the cafe or park like “every other normal person”.</p> <p>“This means not using the entire width of supermarket aisles as a catch-up spot to discuss what cruise Bazza’s on, or how the tenants in Jenny’s 13th investment property are really grinding her gears because they want the aircon fixed before summer. Not at 5pm on a weekday.”</p> <p>Despite some support for the idea, consumer behaviour analyst Barry Urquhart branded the idea as "ageism personified".</p> <p>"It won't work because they are a primary driver of the marketplace at the moment," he told <em>Seven News</em>.</p> <p>"At a time where the cost of living and the cost of doing business is acute, you can't turn and marginalise any consumer group."</p> <p>"This is ageism personified. People are wanting to say 'let's marginalise the older people, let's make them invisible'' and they're saying 'no we're asserting ourselves in tourism, hospitality, flight purchases at large'," he said.</p> <p>"Follow the money and the money in Australia at the moment is for people aged 50 years of age and older because they've got less mortgage, more discretionary purchases and are spending it."</p> <p>Urquhart went on to tell <a href="https://www.3aw.com.au/frustrated-shoppers-call-for-boomer-hours-in-supermarkets/" target="_blank" rel="noopener"><em>3AW</em></a> radio that the measures would be impractical for businesses and senior shoppers. </p> <p>He said, “Trying to group boomers into one group … it’s not possible.”</p> <p><em>Image credits: Getty Images </em></p>

Retirement Life

Shoppers lash out at Aldi for “ridiculous” price hikes

<p>A group of Aldi shoppers have lashed out at the supermarket chain after its series of "ridiculous" price hikes. </p> <p>Aldi, which consistently ranks as Australia's cheapest major supermarket, received some criticism this week after the store's popular skinless salmon fillets was hit with a $4 price increase seemingly overnight. </p> <p>“So explain to me, Aldi Australia, how do you justify a 28.5 per cent overnight increase on fresh salmon?” one outraged customer wrote on the Aldi Australia Facebook page.</p> <p>“This is outrageous. Last week, it was $13.99 for four pieces, this week $17.99. Guess where it stayed? On your shelf, NOT in my trolley.”</p> <p>The post triggered a wave of fury, with many threatening to abandon the German retailer and shop at competitor supermarkets. </p> <p>“Everything is so expensive at Aldi now might as well shop at Coles and Woolies,” one shopper wrote. </p> <p>“Well why did a can of baked beans price rise by nearly 50% and the same with small tins of tuna?? Ripping us off — not happy with the excessive price rises!! I think it my be time to shop elsewhere,” fumed a second.</p> <p>“Not impressed by Aldis price increases, a big frozen box of lasagne was $8.99 now $11.99, cheese was $8.99 now $11.99, whisky $34.99 now $36.99, cooking bacon $5.99 now $6.99. I can justify a small increase, but $3 … time to look around,” commented a third. </p> <p>The supermarket chain has responded to the criticism, acknowledging the price hikes, while insisting that they are committed to providing Aussies with great value products. </p> <p>“Aldi’s entire business model is oriented around saving customers money to ensure that we continue to lead as Australia’s lowest-price supermarket," an Aldi spokesperson said.</p> <p>"We always aim to cut unnecessary costs and pass these savings directly onto customers.</p> <p>“We know that the price of essential goods has never been more important to Australians, so we remain absolutely committed to delivering the best value for our customers while also supporting our supplier partners by maintaining fair pricing at all times," they concluded. </p> <p>Last month, Aldi ranked first as Australia’s favourite supermarket. </p> <p>It is the only brand to rank five stars for overall satisfaction, value for money, freshness of produce, quality of private label products and availability of deals/specials, according to the Canstar Blue <span style="font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, Oxygen, Ubuntu, Cantarell, 'Open Sans', 'Helvetica Neue', sans-serif;">survey for its </span><span style="font-family: -apple-system, BlinkMacSystemFont, 'Segoe UI', Roboto, Oxygen, Ubuntu, Cantarell, 'Open Sans', 'Helvetica Neue', sans-serif;">annual Supermarket Satisfaction Ratings. </span></p> <p><em>Image: Getty</em></p>

Money & Banking

Feeling lonely? Too many of us are. Here’s what our supermarkets can do to help

<p><em><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></em></p> <p>Even <a href="https://endingloneliness.com.au/wp-content/uploads/2020/11/Ending-Loneliness-Together-in-Australia_Nov20.pdf">before COVID-19</a>, <a href="https://aifs.gov.au/resources/resource-sheets/understanding-and-defining-loneliness-and-social-isolation">social isolation and loneliness</a> were all too common across the community. Living among millions of other people is no comfort for people in cities, where the pace of life is often hectic, and technology and digitisation often limit, rather than help with, social interaction.</p> <p>The pandemic <a href="https://www.apa.org/pubs/journals/releases/amp-amp0001005.pdf">amplified these problems</a>. In its wake, more of us report we’re lonely.</p> <p>For some, a weekly shopping trip may be the only chance to interact with others. A supermarket chain in the Netherlands is helping to combat loneliness with so-called “slow” checkouts where chatting is encouraged. Could a similar approach work here?</p> <h2>We’re getting lonelier</h2> <p>Around a third of Australians report feeling lonely. <a href="https://lonelinessawarenessweek.com.au/download/512/">One in six</a> experience severe loneliness.</p> <p>According to the annual Household, Income and Labour Dynamics in Australia (<a href="https://melbourneinstitute.unimelb.edu.au/hilda/publications/hilda-statistical-reports">HILDA</a>) Survey, people <a href="https://www.abc.net.au/news/2023-07-17/social-media-work-hours-cost-of-living-rising-loneliness/102563666">aged 15 to 24</a> report the greatest increase in social isolation over the past 20 years and the highest rates of loneliness. Another <a href="https://www.abc.net.au/news/2023-07-14/middle-aged-men-experiencing-high-level-loneliness/102563492">Australian survey</a> found men aged 35 to 49 had the highest levels of loneliness.</p> <p>Loneliness and social isolation are <a href="https://www.abc.net.au/news/2023-07-17/social-media-work-hours-cost-of-living-rising-loneliness/102563666">not the same</a>. Social isolation is a matter of how often we have contact with friends, family and others, which can be measured.</p> <p>Loneliness is more subjective. It describes how we feel about the “quality” of our interactions with others.</p> <p>Technology is <a href="https://www.psychologytoday.com/au/blog/live-long-and-prosper/202210/technology-use-loneliness-and-isolation#:%7E:text=Technology%20compulsion%20might%20lead%20to,disconnection%20and%20reduce%20well%2Dbeing.">contributing</a> to <a href="https://www.abc.net.au/news/2023-07-17/social-media-work-hours-cost-of-living-rising-loneliness/102563666">high rates of loneliness</a>. Instead of meaningful face-to-face interactions, many of us now rely on social media, phone apps and video calls to socialise.</p> <p>We’re also working longer hours, often at home. And due to the cost of living, many of us are choosing to stay home and save money, rather than eat out or go to “the local”.</p> <p>It isn’t only in Australia where this is happening. In the UK, around <a href="https://www.lonelinessawarenessweek.org/statistics">3.9 million older people</a> say television is their main company. Half a million may go five or six days a week without seeing anyone.</p> <p>The World Health Organisation <a href="https://www.who.int/teams/social-determinants-of-health/demographic-change-and-healthy-ageing/social-isolation-and-loneliness">recognises</a> loneliness and social isolation as public health issues and priorities for policymakers. These issues seriously affect people’s mental and physical health as well as longevity. The impacts are comparable with other <a href="https://bmcpublichealth.biomedcentral.com/articles/10.1186/s12889-023-15967-3">risk factors</a> such as smoking, alcohol consumption, obesity and not being physically active.</p> <h2>Could slow, ‘chatty’ checkouts be part of the solution?</h2> <p>For many, a visit to the supermarket may be the only time they interact with others. Sadly, increased use of technology, including self-serve checkouts, and cashiers tasked with speedily processing customers can make it challenging to have a conversation.</p> <p><iframe title="The FASTEST checkout cashier ever😮 TikTok: rogerlopez7511" src="https://www.youtube.com/embed/TpALSOvw4LU" width="100%" height="750" frameborder="0" allowfullscreen="allowfullscreen"></iframe></p> <p>Four years ago, the Netherlands’ second-largest supermarket chain, <a href="https://jumbo.com">Jumbo</a>, introduced <em>Kletskassa</em> or “chat checkout”. It’s for shoppers who want to chat and aren’t in a hurry. Recognising loneliness was an issue for many, the idea was to increase social interaction between customers and staff by slowing things down and encouraging conversation.</p> <p>Jumbo’s chief commercial officer, Colette Cloosterman-van Eerd, <a href="https://www.dutchnews.nl/2021/09/jumbo-opens-chat-checkouts-to-combat-loneliness-among-the-elderly/">explained</a>:</p> <blockquote> <p>Many people, especially the elderly, sometimes feel lonely. As a family business and supermarket chain, we are at the heart of society. Our shops are an important meeting place for many people, and we want to play a role in identifying and reducing loneliness.</p> </blockquote> <p>The first <em>Kletskassa</em>, in Vlijmen in Brabant, was so successful the family-owned company started rolling out slow checkouts in <a href="https://www.dutchnews.nl/2021/09/jumbo-opens-chat-checkouts-to-combat-loneliness-among-the-elderly/">200 of its stores</a>. Not only were customers responding positively, the concept also appealed to Jumbo’s employees. They are trained to recognise signs of loneliness and come up with local initiatives to combat social isolation.</p> <p>Cloosterman-Van Eerd said:</p> <blockquote> <p>We are proud our staff want to work the chat checkout. They really want to help people and make contact with them. It’s a small gesture but it’s a valuable one, particularly in a world that is becoming more digital and faster.</p> </blockquote> <p>The original focus of Jumbo’s initiative was older shoppers. However, the trial showed people of all ages were keen to use the <em>Kletskassa</em>. The desire for human interaction didn’t change across age groups.</p> <p>So, these “chatty” checkouts are open to anyone who will benefit from social connection. Some Jumbo stores also have an <a href="https://www.brightvibes.com/dutch-supermarket-introduces-a-unique-chat-checkout-to-help-fight-loneliness/">All Together Coffee Corner</a>, where locals can enjoy a coffee and chat with neighbours and volunteers who also <a href="https://scoop.upworthy.com/dutch-supermarket-introduces-a-unique-slow-checkout-lane-to-help-fight-loneliness-595693-595693">help out</a> with shopping and gardening.</p> <p>The Netherlands’ government is partnering a range of organisations, local government and companies to come up with solutions to combat loneliness across the country. Some 50% of the 1.3 million people over 75 report they regularly feel lonely. Jumbo’s initiatives are part of the Health Ministry’s <a href="https://www.globalwellnesssummit.com/blog/governments-ramp-up-the-war-on-loneliness/">One Against Loneliness</a> campaign.</p> <figure><iframe src="https://www.youtube.com/embed/11SY0wG6Zc8?wmode=transparent&start=10" width="440" height="260" frameborder="0" allowfullscreen="allowfullscreen"></iframe><figcaption><span class="caption">Jumbo supermarket’s innovation of slow chat checkouts has been extended to 200 of its stores.</span></figcaption></figure> <h2>Supermarkets as ‘third places’ to combat loneliness</h2> <p>In the 1980s, sociologist Ray Oldenberg coined the term <a href="https://link.springer.com/article/10.1007/BF00986754">“third place”</a> – a place that’s not home (the “first place”) and not work (the “second place”). Third places are familiar public spaces where people can connect over a shared interest or activity.</p> <p>Libraries, coffee shops, book stores, community gardens, churches, gyms and clubs are examples of third places. They all provide the opportunity for close proximity, interaction and often serendipitous conversations with other people we might not usually meet.</p> <p><em>Kletkassa</em> have helped thousands of people, of all ages and backgrounds, by providing a few minutes of kindness and conversation. Imagine what could be achieved if our supermarkets offered their own version of the “slow checkout” for anyone who’s in need of a chat to brighten their day.</p> <p>The first chain to introduce this sort of initiative in Australia would have a solid advantage over competitors through differentiation and prioritising customers. At the same time, it would make a small but meaningful contribution to improving social wellbeing.</p> <p>Challenge extended!<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/211126/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><em><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></em></p> <p><em>Image credits: Getty Images</em></p> <p><em>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/feeling-lonely-too-many-of-us-are-heres-what-our-supermarkets-can-do-to-help-211126">original article</a>.</em></p>

Caring

Kyle & Jackie O reveal most stolen item from supermarkets

<p>An undercover security guard has revealed to Kyle and Jackie O the item that is most stolen from supermarket shelves. </p> <p>Calling in to <em>The Kyle and Jackie O Show</em> on KIISFM, the the woman who works as an undercover loss prevention officer for a major supermarket chain asked the radio hosts to guess what item was often targeted by thieves. </p> <p>Kyle guessed shoplifters nicked razors the most, while Jackie O suspected tampons were regularly stolen. </p> <p>They were both incorrect, with the security guard revealing the most stolen item was a hot barbecue chicken. </p> <p>“That’s what getting stolen? A hot chicken?” Jackie exclaimed.</p> <p>“Maybe they’re struggling, I don't know. But with the prices these days, everything is going up,” the woman said.</p> <p>Jackie was intrigued, asking how people can unknowingly smuggle a scalding hot chicken out a supermarket undetected. </p> <p>The guard responded, "Two of the ones that I stopped, [put the chicken] down their pants."</p> <p>She went on to say they put the chooks down their "big, big trackies" to get the item out of the shops.</p> <p>Coles barbecue chooks currently retail between $12-13 per hot barbecue chicken, with Woolworths also usually retailing at the $12 mark.</p> <p><em>Image credits: KIISFM</em></p>

Legal

Coles and Woolies branded "price gougers" by disgruntled shopper

<p>It's no secret that while millions of Aussies are struggling to put food on the table during the ongoing cost of living crisis, supermarket giants Coles and Woolworths are raking in record-breaking profits. </p> <p>While the unreasonable inflation of grocery prices is endlessly frustrating, it seems as though there's nothing everyday shoppers can do to avoid the price increases. </p> <p>But that didn't stop one frustrated Aussie from making a statement against the supermarket chains. </p> <p>The man from Sydney shared a video of him targeting Coles and Woolies shops in the Eastern Suburbs, as he chose to rephrase their taglines.</p> <p>Heading to a Woolies Metro in Bondi Junction, he printed on the logo, "The price gouge people", playing on their slogan of "The fresh food people".</p> <p>He then went to Coles in Rose Bay, reprinting their logo of the pointed down hand with the phrase, "Down, down, morality down", referencing the "down, down, prices are down" jingle.</p> <p>The posted a video of his antics to Instagram, captioning his antics, "So over this bull***t duopoly that Australia just puts up with for some reason. Using inflation as a smoke screen to rake in billions by price gouging people during a cost of living crisis."</p> <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-permalink="https://www.instagram.com/reel/CwbFvB4hX0-/?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/reel/CwbFvB4hX0-/?utm_source=ig_embed&utm_campaign=loading" target="_blank" rel="noopener">A post shared by NOTNOT (@notnotcamscott)</a></p> </div> </blockquote> <p>"There’s a reason why Coles and Woolworths make double the profit margins of other supermarkets in comparable markets overseas. 2/3 domination of our market leaves battlers with no time to seek out alternatives, no choice but to give into their greed."</p> <p>The video was quickly met with a flood of support, with one person writing, "When you inevitably get a fine for this, please put up a GoFundMe on Reddit and I will donate to cover part of the cost. Thanks for doing something more people should be doing!"</p> <p>Another person wrote, "I love how you can hold some tools and wear high-vis and nobody blinks and eye in this country", while several more commenters dubbed the man a "legend". </p> <p>Speaking to <a href="https://au.news.yahoo.com/disgruntled-shopper-sabotages-woolworths-and-coles-signs-the-price-gouge-people-072137676.html" target="_blank" rel="noopener"><em>Yahoo News</em></a>, Woolworths confirmed that the new signage had been removed from their Bondi store, and said they are committed to helping families during the cost of living crisis.</p> <p>"We're acutely aware of the pressure that's being placed on Australian families through cost of living increases, whether they are our customers or our team members," a spokesperson said.</p> <p>"And we're doing more everyday to help customers spend less with us."</p> <p>A spokesperson for Coles also told <em>Yahoo</em>, "We know cost-of-living pressures are front-of-mind for our customers and are always looking for ways to help their dollars stretch further. This week, Coles announced it will bring down the price of more than 500 products for at least three months."</p> <p>"We value feedback from our customers, and encourage them to let us know about their shopping experience through our normal feedback channel – Tell Coles – or through our dedicated customer care team."</p> <p><em>Image credits: Instagram </em></p>

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