By James Atkinson
Coles opened 41 liquor stores and closed 20 during the financial year ended June 30, Wesfarmers revealed today.
Wesfarmers said the liquor business continued to underperform during the year, but progress was made in targeting offers for customers and more effective management of costs.
"A focus on reshaping the store network and range rationalisation resulted in the closure of a number of underperforming liquor stores and increased clearance of inactive stock during the year," the company said.
Wesfarmer reaffirmed that a $94 million restructuring program was underway to support the transformation of Coles Liquor.
Coles' total food and liquor earnings grew nine per cent in the year to $1.67 billion.
Just maybe if Coles stopped the practice of “UK nepotism” in importing most Head Office management from Sainsbury’s, Tesco and the like then things might improve for them?
Give the wine buying controls back to someone that fully understands both the Australian wine scene and the Australian culture, then maybe they wouldn’t have had to close those stores?? And just maybe they would also stop under performing.
All Coles liquor stores and or Woolies for that matter, forget a very important basic retail point that helps make wine stores a success – building strong customer relationship by having positive, enthusiastic, wine knowledgeable and passionate staff.
HO discourage creative thinking, frown on store level management participation and make buying decisions based on only one factor, how much can they screw the supplier down on price..hence ending up with cheap crap and disgruntled non hospitable staff.
The wine industry was a much better place and in a much better state before the supermarkets got involved.
Can not help but wonder who is holding the reigns of the $94 million restructure program??
And how much money is going to be again wasted by employing “expert” consultants that really have NFI.