BI-LO (Australia)
From Wikipedia, the free encyclopedia
| Bi-Lo Supermarkets | |
 |
|
| Type | Supermarket |
|---|---|
| Founded | 1970's |
| Headquarters | Australia |
| Industry | Retail |
| Employees | 15,000+ |
| Slogan | Why Pay More! |
| Website | www.bilo.com.au |
BI-LO was a major supermarket chain based in Melbourne, Victoria, Australia. Currently all BI-LO stores are being rebranded under the Coles banner.
Contents |
[edit] History
In Australia, BI-LO was established by John Weekes in Adelaide during the late 1970s. It was Australia's leading discount supermarket, owned and operated by retail giant Coles Group Limited; although all stores are currently being rebranded as Coles Supermarkets. BI-LO had a strong emphasis on fresh foods, combined with an extensive range of groceries at discount prices. It had more than 180 stores in Australia and employed around 13,600 people in its stores throughout Australia.
BI-LO also had its own brand of discount products. BI-LO participated in many store promotions such as FlyBuys and petrol saving clubs. Its mascot was the "BI-LO Docket" and previously had stores in Western Australia trading under the name Newmart until 2002 when they were sold to and rebranded as Coles supermarkets.
[edit] Philosophy
Bi-Lo has a simple philosophy to offer customers:
- A wide product choice
- Lower prices everyday
- Fresh foods
- Friendly people
[edit] Coles Conversion
[edit] The Plan
In 2006, the Coles Group board announced its plan to rebrand all Coles Group businesses (excluding Target and Officeworks) under the Coles name. With the majority of stores being converted to Coles Supermarkets, with the others changing to other Coles Group businesses or closing down altogether. Although this is still in progress, with most stores closing and then re-opening as Coles stores, or in some cases closing the old Bilo stores and opening new Coles stores in a near by location, this process is still underway.
[edit] BI-LO Brand
Coles plans on keeping as many lines of the BI-LO Brand as possible in its converted stores, as customers have come to appreciate the value this house brand brings. Coles $mart Buy, You'll Love Coles, Coles Savings, Coles Farmland, Coles Reliance and Coles Persona house brands will replace some, but not all of the BI-LO Brand lines in converted stores. The Coles $mart Buy brand is identical to BI-LO Brand, except for the packaging and is the same price or cheaper than its BI-LO equivalent.
[edit] Resistance
Westfield Shopping Centres, in which three of Victoria's BI-LO Stores are located (Southland, Fountain Gate and Airport West) communicated that it would not allow the BI-LO Supermarkets operating within its centres to be rebranded as Coles. The dispute is confidential but since all three centres already have Coles Supermarkets within them, Westfield may be concerned about customer confusion, or the cost of replacing BI-LO directional signage in the centres.
As a result, the three "stranded" BI-LO stores had "semi-conversions" in February 2007, where the internal processes of the store and management structure were converted to a Coles layout, with the stores retaining their BI-LO name and uniforms until a legal agreement can be reached. As of the week commencing 5 February 2007, BI-LO Southland, Fountain Gate and Airport West are using the Coles catalogue for specials, with the message to customers "Catalogue offers also available at BI-LO Fountain Gate, BI-LO Airport West and BI-LO Southland" printed on the first page.
The fresh department layouts and price ticketing were all converted to a Coles structure during the semi-conversion.
[edit] Regular Sales
- Market Day: Market Day is a special shopping event which takes place every Wednesday (but only on Wednesdays) at BI-LO (and until 2003, at Newmart) stores. This is when the prices of fresh food items are slashed. Customers can cash in on great savings on meat, fruit & vegetables, deli items and bakery products.
BI-LO promotes these specials on their website, and the pick of them can also be seen on TV on Tuesday night and Wednesday.
- Everyday Low Prices
- Why Pay More for Fresh!
[edit] Past Sales
- BI-LO/Newmart Fresh Food Festival: Similar to the Market Day sale, only this was a one week fresh food sale.
- Buy Better!: Extra discount specials storewide giving customers big savings on their shopping bills.
- % OFF Price Blitz: The one week sale where BI-LO and Newmart cut prices storewide by a percentage. Similarly, Coles offers the % Off Sale.
- Price Stoppers: Cut price specials right across the store that bring bigger discounts and more savings.
- Red Hot Sale: The sale which was launched in 2004 with 'red hot' specials in all departments right across the store.
- Huey's Choice: The sale with the very best of the season's fresh foods at low prices.
[edit] Seasonal Sales
- Have Christmas with BI-LO/Newmart: A sale held every Christmas by BI-LO and Newmart stores across Australia.
- Enjoy Easter at BI-LO/Newmart: A sale held every Easter by BI-LO and Newmart stores across Australia.
[edit] Advertising
BI-LO and Newmart advertise on TV, radio, newspapers, catalogues and on their website. Between 2000 and 2005, TV cook Iain Hewitson was the face of BI-LO and Newmart supermarkets across Australia, with BI-LO sponsoring and supplying his cooking shows. The slogan used between 1999 and 2004 was "Extra Value for You—and Me" which was replaced by the current one, "Why Pay More!". Then in late 2005, the "BI-LO docket" was adopted as BI-LO's mascot and replaced Huey as the face of BI-LO. At the same time, the second slogan "It's the total of the docket that counts!" was introduced. In an advertising campaign launched in 2003, a range of customers were asked the question "Why do you shop at BI-LO?" from which there were many very positive responses. Previous slogans also include "We Do, You Do" and "Cheap Groceries".
[edit] Milestones
[edit] Late 1970s
Australia's first BI-LO store is opened at Stirling in South Australia's Adelaide Hills region after being converted from a hardware outlet. Another hardware outlet in Aldgate is also converted to one of the first BI-LO stores in Australia. A third store in Murray Bridge, a ninety minute drive from Adelaide was subsequently acquired.
[edit] 1979
BI-LO was established as South Australia's cheapest grocer, during a time when there was a demand for a true discount supermarket retailer to sell cheap groceries by providing only essential services to customers, a concept which was very successful for BI-LO.[1]
[edit] 1987
By that year, BI-LO was operating 28 supermarkets in South Australia and generating one third of metropolitan Adelaide’s supermarket sales. It was also acquired by Coles Myer that year and purchased the 34-store Shoeys discount supermarket chain in New South Wales which was re-named as BI-LO. The total store numbers for BI-LO had grown to 62 stores across South Australia and New South Wales. BI-LO would later expand into Queensland and Victoria.
[edit] 1994
The first Bi-Lo Megafrrresh was opened in SA at the Greenacres store on Saturday 10th December 1994 BI-LO launches its BI-LO Mega Frrresh format in response to its chief competitor Franklins launching "Franklins Big Fresh".
[edit] 1996
Six Newmart supermarkets in Western Australia are acquired by BI-LO although the Newmart name is kept due to its strong identification (which has a tick next to the name)
[edit] 1998
BI-LO purchased three Northern Territory supermarkets in Darwin and Alice Springs (one of them has since closed). By this year, Newmart had opened three new stores in Western Australia.
[edit] 1999
The BI-LO and Newmart websites are launched. Around the same time, the slogan "Extra Value For You—and Me" is also launched.
[edit] 2000
BI-LO/Newmart opened nine new stores and completed 23 refurbishments.
[edit] 2001
BI-LO/Newmart opened 26 stores and completed 11 refurbishments. The last Newmart stores in Western Australia to open before the chain was absorbed into Coles Supermarkets were at Garden City, Booragoon (October 2000) and at the Ocean Keys Shopping Centre in Clarkson, Western Australia (July 2001). The Garden City store became an Action Supermarket, then later became a Woolworths Supermarket. The Ocean Keys store became a Coles Supermarket.
The BI-LO and Newmart websites are also relaunched.
[edit] 2002
BI-LO acquired and converted 15 Franklins sites, in New South Wales, Queensland, Victoria and South Australia. Around 820 former Franklins employees were offered positions at BI-LO.
The fifteen BI-LO sites were located in the following areas:
- New South Wales: Warilla Grove, Campbelltown (closed around 2004, now remodeled into a Coles), Hillsdale (closed in 2003), Mt Druitt (closed 2005, now remodeled into a Target), Shellharbour, Lavington, Thirroul
- Victoria: Southland, Waverley Gardens (closed in 2004), Lalor, Broadmeadows
- South Australia: Unley (closed 2005, now remodeled into a Target)
- Queensland: Kawana, Capalaba, Hope Island, Loganholme
- Plus two more stores
BI-LO also opened 7 stores and opened 1 Bi-Lo Discount Petrol site at Narrandera, New South Wales. In August of that year, all Newmart Supermarkets operated by BI-LO in Western Australia were transferred to the management of Coles Supermarkets
[edit] 2004
BI-LO relaunches with the slogan "Why Pay More", which is still in use as of 2006.
[edit] 2006
In July 2006 the CEO of Coles Myer, John Fletcher, announced a new strategy for Coles Myer. The strategy involves progressively rebranding many of the company's businesses (including, BiLo, Kmart, First Choice Liquor, Liquorland, and Theo's) under the Coles banner.
The plan will reduce the company’s brands to three (Coles, Officeworks and Target). The process of re-branding the Bilo stores began in the first quarter of the 2006-07 Financial Year, and is expected to be completed by mid 2007. The process will result in the majority of stores being re-branded as Coles supermarkets with a small number re-branded as Coles Discount Grocery where a Coles Supermarket already exists in the same complex (for example, BiLo Fountain Gate. An interesting point to note is that a small number of BiLo stores, such as BiLo Arkaba, in South Australia, were actually Coles Supermarkets originally, before being converted or downsized to a BiLo in the late 90's.
[edit] Departments
Each BI-LO supermarket stocks around 16,000 different products with a strong emphasis on fresh foods with the biggest BI-LO/Newmart stores stocking more than 22,000 product lines including more than 500 quality fresh produce items.
Typically, a BI-LO store is equipped with:
[edit] Grocery
BI-LO has an extended grocery range. BI-LO stocks more than 800 BI-LO brand grocery items. The BI-LO brand offers a value for money alternative to national branded products in almost every product range. Bulk foods are also sold at the stores.
[edit] Fresh Produce
Each BI-LO and Newmart supermarket stocks a wide variety of the freshest quality seasonal fruit and vegetables.
[edit] Delicatessen
Many BI-LO and Newmart stores have full-size continental style delicatessens which feature a wide range of cold meats, specialty cheeses and many prepared meals including barbecue chickens. They are also equipped with fresh ready to heat and eat pizzas from the pizza bar.
[edit] Meat
Extensive fresh meat section, with the largest restaurant quality meat cuts and trimmings, and a range of value-for-money bulk meat packs.
[edit] Bakery
A boutique range of baked foods including fresh specialty breads and bread rolls, donuts and assorted cakes and buns.
[edit] Seafood
BI-LO and Newmart stores with a service deli have an abundance of seafood, delivered daily.
[edit] International Foods
International foods from around the world, including Japanese, Indian, American, east and west Asian and Thai products.
[edit] Formats
[edit] BI-LO Mega Frrresh
In response to its main competitor Franklins launching "Franklins Big Fresh" in the early 1990s, BI-LO launched its Mega Frrresh brand with its first store in Greenacres in Adelaide in 1994 using the same format. Like Franklins Big Fresh, it combines discount shopping of a regular BI-LO supermarket with a "market-style" atmosphere and its fresh food departments feature market-style canopies. BI-LO Mega Frrresh is the discount mega store format of BI-LO supplying all grocery item needs at the lowest expense. There are Mega Frrresh stores in New South Wales, Queensland, Victoria and South Australia.[2]
[edit] Newmart
Up until 2003, BI-LO also had stores trading under the name Newmart in Western Australia. The Newmart group of six supermarkets was purchased by BI-LO in 1996. Little is known about Newmart before that time. The name was retained due to its strong identification (which has a tick next to the name) and because the BI-LO name was already being used by FAL as the name of a now-defunct independent supermarket chain operating in Western Australia at the time. It was the equivalent to BI-LO in Western Australia and was also owned and operated by retail giant Coles Myer Limited in parallel to Coles Supermarkets. By the end of 2001, there were 16 Newmart stores in Western Australia. Then in August 2002, all Newmart supermarkets were transferred to the management of Coles supermarkets and in 2003, Coles abandoned the brand and sold 4 stores to Foodland Associated Limited re-branding those stores as Action Supermarkets. The remaining stores were remodelled as Coles Supermarkets.
[edit] Milestones
[edit] 1996
BI-LO acquires the Newmart group of six supermarkets in Western Australia. At that time, it had been a small independent discount supermarket chain in Perth, with a similar concept to BI-LO: the stores were equipped with a range of discount groceries, bulk foods, extensive fresh produce, meat and delicatessen sections.
[edit] 1998
Newmart by this time grew to 9 stores in Western Australia.
[edit] 1999
Like BI-LO, Newmart launched the slogan "Extra Value for You - and Me" and launched its own website which was redirected to the Coles site in 2006.[3] Between 1998 and 2000, Newmart expands rapidly, growing to 14 stores.
[edit] 2000
Newmart opens its 15th store in Garden City, Booragoon. The store creates 120 jobs for the people in the local area and cost $2.71 million to complete. This store is now a Woolworths supermarket after becoming an Action supermarket in 2003.
[edit] 2001
Newmart opens its 16th store in Ocean Keys Shopping Centre in Clarkson. This store is now also a Woolworths after also becoming an Action store in 2003.
[edit] 2002
In August, all Newmart supermarkets were transferred to the management of Coles supermarkets.
[edit] 2003
Four Newmart stores are sold to Foodland Associated Limited, rebranding those stores as Action Supermarkets. The remaining stores were rebranded as Coles supermarkets.[4][5]
[edit] Competitors
[edit] Main Competitors
- Aldi
- Franklins (New South Wales)
- IGA Australia
[edit] Other
[edit] Former competitors
- Action (Queensland, New South Wales and Western Australia)
- Jewel
