Introduction
Discount grocery chains have become increasingly popular in New Zealand as consumers seek more affordable options for their grocery needs. In this report, we will delve into the top 10 discount grocery chains in New Zealand by market share. We will analyze their financial data, market positioning, and industry insights to provide a comprehensive overview of the discount grocery landscape in the country.
1. Countdown
Market Share:
Countdown is one of the largest grocery chains in New Zealand, with a significant market share in the discount segment. It is owned by Woolworths Group and operates over 180 stores across the country.
Financial Data:
Countdown reported revenue of NZ$6.2 billion in 2020, making it a key player in the grocery industry. Its focus on competitive pricing and a wide range of products has contributed to its strong market position.
2. Pak’nSave
Market Share:
Pak’nSave is known for its no-frills approach to grocery shopping, offering low prices and large pack sizes. It is a popular choice among budget-conscious consumers and holds a significant market share in the discount grocery segment.
Financial Data:
Pak’nSave is part of the Foodstuffs cooperative, which reported combined revenue of NZ$9.5 billion in 2020. This cooperative model allows Pak’nSave to leverage economies of scale and offer competitive prices to its customers.
3. New World
Market Share:
New World is another major player in the New Zealand grocery market, offering a mix of premium and discount products. It caters to a wide range of customers and has a strong presence in both urban and rural areas.
Financial Data:
New World is also part of the Foodstuffs cooperative, contributing to its overall revenue of NZ$9.5 billion in 2020. Its strategic positioning as a premium discount grocery chain has helped it maintain a loyal customer base.
4. The Warehouse
Market Share:
The Warehouse is a retail giant in New Zealand, offering a diverse range of products including groceries. It has a significant market share in the discount grocery segment, attracting customers with its value-for-money offerings.
Financial Data:
The Warehouse reported revenue of NZ$2.1 billion in 2020, with its grocery segment contributing to its overall sales. Its ability to offer a wide range of products under one roof has been a key driver of its success in the discount grocery market.
5. Aldi
Market Share:
Aldi is a global discount grocery chain that has made a strong entry into the New Zealand market in recent years. It is known for its low prices and private label products, attracting price-conscious consumers.
Financial Data:
Aldi does not disclose its financial data publicly, but its aggressive expansion in New Zealand indicates its commitment to capturing market share in the discount grocery segment. Its entry has added more competition to the market, benefitting consumers with more choices.
6. SaveMart
Market Share:
SaveMart is a discount grocery chain that focuses on offering discounted products from major brands. It has a niche market share in the discount segment, appealing to bargain hunters and value seekers.
Financial Data:
SaveMart is a privately owned company, and its financial data is not publicly available. However, its unique business model of selling discounted products has resonated with consumers looking for quality products at lower prices.
7. 2 Cheap Cars
Market Share:
2 Cheap Cars is a discount grocery chain that specializes in selling pre-owned vehicles at affordable prices. While not a traditional grocery chain, it offers a different approach to discount shopping for consumers.
Financial Data:
2 Cheap Cars reported revenue of NZ$50 million in 2020, primarily from its vehicle sales. Its unique business model and value proposition have attracted a loyal customer base looking for budget-friendly transportation options.
8. Kmart
Market Share:
Kmart is a discount retail chain that offers a wide range of products, including groceries, at affordable prices. It has a significant market share in the discount segment, leveraging its strong brand and diverse product offerings.
Financial Data:
Kmart is owned by Wesfarmers, which reported revenue of AU$30.8 billion in 2020. Kmart’s focus on value-for-money products has resonated with consumers, driving its success in the discount grocery market.
9. Reject Shop
Market Share:
Reject Shop is a discount retail chain that offers a variety of products at discounted prices, including groceries. It has a niche market share in the discount segment, appealing to budget-conscious consumers.
Financial Data:
Reject Shop reported revenue of AU$800 million in 2020, with its discount grocery offerings contributing to its overall sales. Its focus on value and affordability has helped it carve out a unique position in the market.
10. Bunnings Warehouse
Market Share:
Bunnings Warehouse is a home improvement retailer that also offers a range of products, including groceries, at competitive prices. It has a strong market share in the discount segment, attracting customers with its one-stop-shop approach.
Financial Data:
Bunnings Warehouse is owned by Wesfarmers, which reported revenue of AU$30.8 billion in 2020. Its grocery offerings complement its core home improvement business, providing customers with more choices and value for money options.
In conclusion, the discount grocery landscape in New Zealand is diverse and competitive, with a mix of local and international players vying for market share. Consumers have a wide range of options to choose from, catering to different budget and lifestyle needs. As the market continues to evolve, it will be interesting to see how these discount grocery chains innovate and adapt to changing consumer preferences and shopping trends.
