$907 million in profits, but Woolies is still increasing prices

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    • #1802236
      Ellie Baxter
      Moderator

      Despite Woolworths posting $907 million in profits in its half-yearly results released this February. The supermarket giant has had to reassess the terms of its delivery subscription models, due to increasing fuel and operating costs.

      Effective from July, changes will include a higher minimum spend for deliveries. The supermarket giant offers two membership programs, Delivery Unlimited and Everyday Extra, which provide customers with free home deliveries and 10 per cent off one monthly shop, respectively. Woolworths also extends the 10 per cent off perk to its customers with insurance policies or mobile plans.

      However, the company plans to limit these perks by only allowing customers to redeem discounts in-store, as opposed to online shopping. Additionally, Delivery Unlimited members will now need to spend at least $75 to receive free deliveries, and will also be required to pay transaction fees of $1 and $2 for reusable bags and paper bags, respectively.

      Do you get your groceries delivered by Woolies? What do you think of these changes?

    • #1802323
      TeeCee
      Participant

      This is an opportunity for Woolworths competitors to level the incentives playing field .
      My wife and I are two part-pemsioners.
      As a concessional delivery subscriber and a rewards extra user we will be making immediate changes.
      We live a few kms from a Woolworths.
      BUT
      1. We will maintain REWARDS EXTRA 10% at Woollies and BIG W
      2. drop the delivery plan – $50 is OK now. $70 is NOT
      3. use the click and collect service 3 other times per month.
      3. maintain a list of all Woollies items we purchase and work out how many we buy each month.
      4. do a once a month in-store, 10% off shop of approx $250 – this will be for all items that can last for a month + fresh items for one week. Then $100 per week for the other 3 weeks. A budget of $550 per month.

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