Woolworths today announced its commitment to invest R1billion in its prices over the next two – three years, with a R750million investment planned in the Foods business, to ensure it continues to provide Woolies exceptional qualityTM products at great value to customers, every day.
Commenting on the announcement, Woolworths SA CEO, Zyda Rylands, said, “Over the last few years, we have been on a journey to invest in the prices of key product lines and categories to ensure we continue to provide our customers with the value they have come to expect from us. The Covid19 pandemic has emphasised this need and therefore accelerated our price journey, because of the significant impact it has had on our economy and on the lives of our customers and their families. Because we know our customers are under pressure, we are investing even more in our prices to ensure we remain relevant and accessible, while not compromising on our quality.”
“Through the crisis, we have focussed on identifying further efficiencies in our business as well as in our value chain, to find opportunities to be more effective and cut costs. We have worked very closely with our suppliers and partners to ensure that we realise these sustainable and mutually beneficial operational improvements. We are pleased to be able to pass most of the savings of these efficiencies onto our customers,” adds Rylands.
The first phase of this journey begins with a R250m price investment planned in the Foods business and R250m in the Fashion business for this financial year. The investment is being focussed on the most popular Woolworths products.
In Foods, this includes the entire fresh chicken range such as all whole and portion chicken packs, excluding Easy to Cook, crumbed and marinated chicken. “While this investment will initially be most visible in our poultry products, we have also applied more promotions on everyday basics across Groceries, Household and Personal Care to be more affordable to more customers,” says Ms Rylands.
In Fashion, the investment will be in selected key wardrobe essentials. This commitment will deepen Woolworths value proposition with its customers, while still maintaining the quality for which the brand is known and loved.
“Our price investment journey over the next three years will help us help our customers who are deeply concerned about the economic impact of Covid on the country and their budgets. Through this effort we will be able to offer the Woolies exceptional quality products our customers love at more accessible prices,” concludes Ms Rylands.