Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.


Filter this topic showing only the reply marked as answer View this topic in a long page with up to 500 replies per page Create new topic
1 | 2 | 3 | 4 | 5 | 6 | 7 | 8
Bung
4614 posts

Uber Geek


  #2691862 13-Apr-2021 07:16
Send private message

Most conspiracy theories fall flat when you investigate.

Click to see full size

Affiliate link
 
 
 

Affiliate link: Trade NZ and US shares and funds with Sharesies.
sbiddle
30853 posts

Uber Geek

Retired Mod
Trusted
Biddle Corp
Lifetime subscriber

  #2691866 13-Apr-2021 07:29
Send private message

mattwnz: It is not OT. A lot of things are going up in price and likely food could go up a lot. Then we are going to hear compliants about supermarket prices again. We surely didn't think we could print a hundred billion plus dollars and pump up house and asset values without potentially massive inflation occurring?

I think it is referred to as Stagflation

I don't know how businesses are going to handle all the increased costs and where the money is going to come from.

 

It's not so much just the stimulus - it's also minimum wage increases that have had a massive effect and caused significant wage increases. When you put up minimum wage workers you also then need to put up wages for staff that were just above the minimum wage.

 

I'm sure there will be people who will not point to studies that show no link between the two - and there are plenty of US studies that show that the price of goods does shows no correlation to wage increases.. But there as aspects of many of those that don't directly compare to the NZ retail sector, and more importantly they're not studies that were done in the middle of a global pandemic.

 

Many small hospitality businesses are hurting really badly at present, and a mandated wage increase simply has to mean price increases to directly recover those costs.

 

 

 

 


LostBoyNZ
503 posts

Ultimate Geek


  #2691882 13-Apr-2021 08:10
Send private message

K8Toledo:

 

A friend of mine is head of two grocery sections at Woolworth's (for the entire country). If you like I can ask him.

 

 

Thanks so much, that'd be really interesting to see what he thinks too. It was very interesting to read what Senecio wrote also :)





Renting Virtual Reality gear New Zealand wide since 2013 - https://www.virtualrealityrental.co.nz/




KrazyKid
1144 posts

Uber Geek


  #2691886 13-Apr-2021 08:15
Send private message

Couple of things in this thread: in the last 4 years the minimum has gone up by a third. Since retail often pays minimum wage you are an idiot if you don't expect some of this to be passed on. But not all of it will. Competition means some will be absorbedorbed.

Inflation is another beast printing money in the USA for years has not caused rapid inflation. Current Economic theory regarding this is being challenged.

What I've noticed working in supermarkets is the special prices have been less frequent or not as deeps cuts.
Manufacturer pack sizes are also doing these reduction in size thing a little more.

Supermarkets work on high turn over and low margin. They only have a 10-15% margin on most lines. Then they have lots leaders and some higher margin lines as well.
But the flip side is often slow selling lines get kicked out of the store. In a large supermarket you might find it a product sells only 6 units a week it's gone from the shelves.

As for selling displays supermarkets do that, but don't often sell actual shelf space on the aisles.

sbiddle
30853 posts

Uber Geek

Retired Mod
Trusted
Biddle Corp
Lifetime subscriber

  #2691891 13-Apr-2021 08:25
Send private message

KrazyKid:

Supermarkets work on high turn over and low margin. They only have a 10-15% margin on most lines. Then they have lots leaders and some higher margin lines as well.
But the flip side is often slow selling lines get kicked out of the store. In a large supermarket you might find it a product sells only 6 units a week it's gone from the shelves.

 

You can't really look at margins in the context of a single product. You need to look in the context of the the final bottom line gross margin, and we know that's a single digit figure that compares pretty closely to other markets such as the UK which have a lot more competition.

 

The simple reality is it's hard for any player to launch and compete in the NZ market when you're entering a high volume, low margin sector where economies of scale simply don't stack up.

 

 


Rikkitic

Awrrr
15589 posts

Uber Geek

Lifetime subscriber

  #2691893 13-Apr-2021 08:31
Send private message

Bung: Most conspiracy theories fall flat when you investigate.

Click to see full size

 

I can't speak for Countdown Kilbirnie but what I have said is definitely true for Countdown Hastings. The veggie hotdogs disappeared from the shelves, did not come back, are unobtainable there, and have suddenly appeared at New World, which never used to stock them. The on-line stock does not always reflect what is actually in the store and I looked for them many times without success before discovering them at New World. If that is not a conspiracy, I don't know what is!

 

 





Plesse igmore amd axxept applogies in adbance fir anu typos

 


 


sbiddle
30853 posts

Uber Geek

Retired Mod
Trusted
Biddle Corp
Lifetime subscriber

  #2691894 13-Apr-2021 08:39
Send private message

Rikkitic:

 

Bung: Most conspiracy theories fall flat when you investigate.

Click to see full size

 

I can't speak for Countdown Kilbirnie but what I have said is definitely true for Countdown Hastings. The veggie hotdogs disappeared from the shelves, did not come back, are unobtainable there, and have suddenly appeared at New World, which never used to stock them. The on-line stock does not always reflect what is actually in the store and I looked for them many times without success before discovering them at New World. If that is not a conspiracy, I don't know what is!

 

 

 

 

Stores have range lists which normally depends on the size of the store but can also vary depending on demographics - so not every store is going to carry every product.




floydbloke
2847 posts

Uber Geek

ID Verified

  #2691905 13-Apr-2021 09:44
Send private message

KrazyKid: ... absorbedorbed.

...

 

OT, not sure if this is a typo or some wordplay, but this is now one of my new favourite words.😄





I've joined a carpenters course.  Haven't made anything yet....we've only just begun.

 

 


Fred99
13684 posts

Uber Geek


  #2691906 13-Apr-2021 09:52
Send private message

Remember "3 Guys" supermarket that tried to enter the NZ market?   That failed, the assets IIRC bought by Progressive, then absorbed/rebranded.  

 

Aldi registered aldi.co.nz many years ago, for a while the site stated that they had plans to open in NZ with a "coming soon" type statement, but for the past decade the site redirects to aldi.com.au.

 

The Warehouse / TWG is still hanging in there in a half-hearted way after pulling back from grand plans.  Can't say I've ever bought a "supermarket" item there myself, YMMV.

 

OTOH there are plenty of small operators that seem to be surviving with specialty food shops, where prices are good, quality is good, but the convenience of doing all the grocery shopping under one roof is gone. 

 

 


OldGeek
643 posts

Ultimate Geek

ID Verified
Lifetime subscriber

  #2691945 13-Apr-2021 11:13
Send private message

Fred99:

 

Remember "3 Guys" supermarket that tried to enter the NZ market?   That failed, the assets IIRC bought by Progressive, then absorbed/rebranded.  

 

 

3 Guys was founded by Albert Gubay.  Details here: Founder of New Zealand Retail Grocery Deep Discounting Dies - MSC NewsWire.

 

My abiding memory was the Northcote store - a shambles - very narrow product range but large quantities of what they did have, all in same cartons that they came in through inwards goods but with cut-out panels.  The only staff were the check-out operators, who also did everything else, so often there was just one or two checkouts operating.  This was in stark contrast to Progressive (then Foodtown owned by Tom Ah Chee) and Foodstuffs (then New World and 4 Square) which had two staff per checkout.  Foodstuffs launched PaknSav as a direct competitor, although now this brand has a much wider product range and more attention to merchandising presentation than 3 Guys ever had.

 

Gubay did not advertise much - but regularly pulled publicity stunts to make him newsworthy.  These days this would be described as part of the 3 Guys business model.

 

Gubay sold out to Progressive and they retained the brand for a few years. 





-- 

OldGeek.


Mahon
459 posts

Ultimate Geek


  #2691952 13-Apr-2021 11:35
Send private message

The Government has launched an enquiry into our supermarket duopoly. Like most of the other enquiries over the last few years not much will come of it. This is certainly an impressive industry to be in especially during covid. I would imagine record profits are being recorded.


sbiddle
30853 posts

Uber Geek

Retired Mod
Trusted
Biddle Corp
Lifetime subscriber

  #2691960 13-Apr-2021 11:50
Send private message

Mahon:

 

The Government has launched an enquiry into our supermarket duopoly. Like most of the other enquiries over the last few years not much will come of it. This is certainly an impressive industry to be in especially during covid. I would imagine record profits are being recorded.

 

 

As somebody who spent 30 years in the industry and still has good links to it I see it the exact opposite way.

 

When the report is complete I can see people being shocked when they discover the true profit margins of the industry as a whole. The ROI isn't great compared to many other parts of the retail sector due to the intense competition, and when you're looking at a large supermarket these days costing in the vicinity of $30m - $50m it's not a game you enter unless you're very good at it.

 

 


Batman
Mad Scientist
27994 posts

Uber Geek

Trusted
Lifetime subscriber

  #2691961 13-Apr-2021 11:54
Send private message

It's not a conspiracy just price gouging




Involuntary autocorrect in operation on mobile device. Apologies in advance.


tdgeek
26459 posts

Uber Geek

Trusted
Lifetime subscriber

  #2691962 13-Apr-2021 11:55
Send private message

mattwnz:

It is not OT. A lot of things are going up in price and likely food could go up a lot. Then we are going to hear compliants about supermarket prices again. We surely didn't think we could print a hundred billion plus dollars and pump up house and asset values without potentially massive inflation occurring?

I think it is referred to as Stagflation

I don't know how businesses are going to handle all the increased costs and where the money is going to come from.

 

With these price increases, I wonder how much of this is businesses clawing back lost income from the lockdowns/unemployment. I would if I was in business. While a consumer may spend his pent up lockdown cash, that doesnt mean every shop will get those lost sales back.


sbiddle
30853 posts

Uber Geek

Retired Mod
Trusted
Biddle Corp
Lifetime subscriber

  #2691964 13-Apr-2021 11:59
Send private message

Fred99:

 

The Warehouse / TWG is still hanging in there in a half-hearted way after pulling back from grand plans.  Can't say I've ever bought a "supermarket" item there myself, YMMV.

 

 

The Warehouse Extra stores were modeled off the hypermarket/Walmart style stores overseas where the plan was to sell a large range of food but cater more for Pak 'n Save type buyers (bulk packs/reduced range) rather than be a full service offering. They struggled to gain any momentum in the market, and the concept was pulled.

 

For those with a good memory this was also around the same time Progressive and Foodstuffs were also trying to buy TWH which only ended up with lawyers being the winners.

 

 


1 | 2 | 3 | 4 | 5 | 6 | 7 | 8
Filter this topic showing only the reply marked as answer View this topic in a long page with up to 500 replies per page Create new topic





News and reviews »

Amazon to Acquire iRobot
Posted 6-Aug-2022 11:41


Samsung x LIFE Picture Collection Brings Iconic Moments in History to The Frame
Posted 4-Aug-2022 17:04


Norton Consumer Cyber Safety Pulse Report: Phishing for New Bait on Social Media
Posted 4-Aug-2022 16:50


Microsoft Announces New Solutions for Threat Intelligence and Attack Surface Management
Posted 3-Aug-2022 21:54


Seagate Addresses Hyperscale Workloads with Enterprise-Class Nytro SSDs
Posted 3-Aug-2022 21:50


Visa Launching Eco-friendly Payment Solutions in New Zealand
Posted 3-Aug-2022 21:48


NCR Delivers Services to Run Bank of New Zealand ATM Network
Posted 30-Jul-2022 11:06


New HP Portfolio Supports New Era of Hybrid Work
Posted 28-Jul-2022 17:14


Harman Kardon Launches Citation MultiBeam 1100 Soundbar
Posted 28-Jul-2022 17:10


Nanogirl Labs Launches Creator Project
Posted 28-Jul-2022 17:05


Marvel Snap Launches as an Action Collectible Card Game
Posted 26-Jul-2022 17:46


Jabra Talk 65 Review
Posted 26-Jul-2022 17:31


Huawei Watch D Review
Posted 26-Jul-2022 17:26


Huawei Introduces Watch Fit 2
Posted 14-Jul-2022 17:06


Huawei Launches Watch D in New Zealand
Posted 14-Jul-2022 17:05









Geekzone Live »

Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.



Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.







GoodSync is the easiest file sync and backup for Windows and Mac