Woolies muscles in on locals

WOOLWORTHS has unveiled a new-look store in Melbourne as the big chains increasingly muscle in on the boutique grocery sector.

The store, in the inner eastern suburb of Camberwell, is targeted at up-market shoppers who want high-end items along with basic groceries.

It is the first of the newstyle stores the retailer has launched in Victoria

Woolworths general manager for Victoria Andrew Hall said the store, which was refurbished over about six months, was a shift from the traditional supermarket.

“We have changed everything in the store,” Mr Hall said.

The store has an expanded fruit and vegetable section, a cooking station at the butcher’s area — where customers can taste the wares — a bigger range of cheese and delicatessen items.

“I think premium is on people’s minds as everyone wants to upscale and have a bit of luxury in their life,” Mr Hall said.

It comes after rival grocer Coles opened an up-market concept store, dubbed Coles Local, at nearby Surrey Hills earlier this month.

Mr Hall said that at the new-generation Woolworths store, prices of basic and essential groceries were the same as at the retailer’s regular supermarkets.

“It doesn’t matter whether you’re shopping in our smallest store or our largest stores … you’re paying the same price,” he said. The new-model stores will be opened at selected sites.

“There is nothing in Woolies we can do about competition but what we can do is make sure that our customers feel that we offer great value across the whole range of products rather than just some specific products,” Mr Hall said.

The broader Woolworths group earlier this month announced it was selling its petrol station chain to British company EG for $1.72 billion.