Tue. Nov 24th, 2020

Woolworths makes R1 billion investment to lower prices for consumers

Due to customers being under financial pressure, Woolworths took the decision to invest in the prices of key product lines and categories.

woolworths makes r1 billion investment to lower prices for consumers - Woolworths makes R1 billion investment to lower prices for consumers

Good news consumers! Woolworths has announced that some of its prices across product lines and categories will be lowered following a R1 billion investment. 

On Tuesday 20 October 2020, Woolworths announced its commitment to invest R1 billion in its prices over the next two to three years, with a R750 million investment planned in the foods business to ensure it continues to provide Woolies exceptional qualityTM products at great value to customers.

WOOLWORTHS INVESTS IN ITS PRICES TO BE MORE ‘ACCESSIBLE’ 

Woolworths SA CEO Zyda Rylands said Woolworths has, over the last few years, been on a journey to invest in the prices of key product lines and categories. 

“The COVID-19 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,” said Rylands. 

Rylands said the retailer has focussed on identifying efficiencies in the business as well as in its 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,” added Rylands.

The first phase of this journey begins with a R250 million price investment planned in the Foods business and R250 million 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,” said Rylands.

In Fashion, the investment will be in selected key wardrobe-essentials. 

“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,” she added.

Leave a Reply

Your email address will not be published. Required fields are marked *