What do the top retailers in Australia have in common? Resilient business models, customer-centric thinking and strong value propositions. These were the common factors we found across the retailers in the latest edition of Inside Retail’s Top 25 Retailers by Revenue annual report.
While the report is free to download, a ranking only tells you so much, so we reached out to the leaders behind the brands to understand the key drivers of their commercial success in FY24.
Here is what Bunnings’ managing director Michael Schneider, Wesfarmers’ health retail director Richard Pearson and TerryWhite Chemmart’s executive general manager Nick Munroe had to say.
Bunnings Warehouse ranked number three on the list this year. Sitting within the Wesfarmers portfolio, the business has a revenue of $18.94 billion up from $18.54 billion in 2023.
Providing customers with the best overall offering across price, range and service has sustained Bunnings’ sales growth in a challenging retail and residential construction environment.
“The beauty of the Bunnings model is that it’s very resilient across all stages of the economic and end-to-end building cycle,” Michael Schneider, Bunnings’ managing director, told Inside Retail.
“To keep delivering every-day lowest prices, we’re focused on continual productivity improvements (such as 10 per cent extra space efficiencies in stores), ensuring we are as efficient as possible and delivering better stock flow. We’re then able to pass some of that through to the consumer, while also driving business growth and continuing to outperform the market.
“Evolving our range and offer has been a core part of our DNA over the last 30 years, and we’re really pleased with the performance of our new and expanded ranges. We’re looking forward to continuing to grow through new and replacement stores, innovate our online offering and further strengthen our relationships with suppliers to deliver product innovation.
“We’ll keep the focus on our core pillars to deliver lowest prices, outstanding service, the widest range and the best overall experience to ensure we continue always earning the right to be chosen by customers.”
Priceline ranked number 21 on the list this year. Like Bunnings, it’s part of Wesfarmers, sitting in the company’s health portfolio, with a revenue of $2.4 billion up from $2.3 billion in 2023.
“Priceline Pharmacy’s unique market offering of beauty experience married with health expertise helped deliver a strong year,” Richard Pearson, Wesfarmers health retail director told Inside Retail.
“We focussed on network expansion, launched exclusive brands like Bubble and embraced pharmacy scope of practice changes to lead the way in patient services.
“Our 9 million Sister Club members now receive even more exclusive benefits, Priceline joined OnePass and our e-commerce business grew at an accelerated rate.”
Pharmacy chain TerryWhite Chemmart ranked number 23 on the list this year. It has a revenue of $2.2 billion up from $2 billion in 2023.
A continued commitment, investment in and focus on technology to optimise operations within the business and improve the customer experience has been key to supporting its robust revenue growth.
“This focus continued our strong emphasis on efficiency and convenience, allowing our pharmacists and their teams to dedicate more time to customer and patient care,” Nick Munroe, executive general manager at TerryWhite Chemmart, told Inside Retail.
“As a health-first retailer, this is essential. We are proud to be the medicines experts, along with leading the market in pharmacist-administered vaccinations and health services, while also delivering a strong retail offering across health, skin, and beauty categories.
“As a network of 600+ locally owned and operated pharmacies, TerryWhite Chemmart’s success comes from the collective efforts of our Network Partners (franchisees) as they respond to the evolving landscape, shifting consumer expectations, and the expanded role of pharmacists in the healthcare system.”
The full report can be downloaded in the November issue of Inside Retail Australia magazine.
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