For orecast ecasting ing for or New New Br Brand and Entr - - PowerPoint PPT Presentation

for orecast ecasting ing for or new new br brand and entr
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For orecast ecasting ing for or New New Br Brand and Entr - - PowerPoint PPT Presentation

For orecast ecasting ing for or New New Br Brand and Entr Entry Kerry Smith Network Planning Manager Bunnings/Homebase Bunny Who?? Acquisition of Homebase Homebase Owned by Home Retail group since 2002 Transfer of


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SLIDE 1

For

  • recast

ecasting ing for

  • r New

New Br Brand and Entr Entry

Kerry Smith – Network Planning Manager Bunnings/Homebase

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SLIDE 2

Bunny Who??

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SLIDE 3

Acquisition of Homebase

  • Homebase – Owned by Home Retail group

since 2002

  • Transfer of ownership to Wesfarmers took

place on 27 February 2016

  • Retailers include Bunnings (Aus DIY No 1),

Coles supermarkets and Target/Kmart discount department stores

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SLIDE 4

Bunnings Australia & NZ

  • Leading retailer of home improvement and outdoor living

products: 250 warehouses, 77 smaller format stores, 33 trade centres

  • 40,000 team members

“Our ambition is to provide our customers with the widest range of home improvement products in accordance with

  • ur lowest prices policy, backed with the best service”
  • Bunnings has the largest market share. Other

competitors include Mitre 10 and Home Timber and Hardware

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SLIDE 5

Bunnings is ‘an Institution’

Jordan and Chantelle Wilson, from Sydney, celebrated tying the knot by heading straight to Bunnings Belrose for a traditional treat. “Bunnings sausage sizzle the backbone

  • f the Australian

culture”

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SLIDE 6

Why the UK?

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SLIDE 7

The Story so Far…

  • New leadership team
  • Restructured business
  • Early focus on separation from HRG
  • More EDLP pricing
  • Increased stock volumes
  • Removal of concessions
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SLIDE 8

The First Bunnings Pilots…

  • Ten trading stores
  • Mix of store sizes,

competition, demographics

  • Further test of brand in

Rochdale and Rotherham (ex B&Qs)

  • And smaller format store

in Bicester

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SLIDE 9

The First Bunnings Pilots…

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SLIDE 10

The First Bunnings Pilots…

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SLIDE 11

The First Bunnings Pilots…

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The Forecasting Challenge…

  • How will the UK take to a new brand?
  • Who is our core customer?
  • Will the best performing Homebase stores necessarily be the best performing

Bunnings stores?

  • Will people divert from their long established habits?
  • How will a lack of online presence affect stores sales?
  • What is the optimum store size?
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Cultural Shifts…

  • Pace, responsibility, “let’s try it” attitude
  • Store empowerment
  • Lack of market leadership
  • Comparatively difficult climate to build and open stores
  • Importance of marketing
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SLIDE 14

But an Amazing Opportunity….

  • Brilliant operators
  • Pilots seen strong performance so far
  • Significant investment
  • How to roll out the Bunnings brand?
  • 2018 will be an exciting year for the UK HI&G market