Bunnings builds online

Retailer adapts for new generation of customers

YOUNG Aussies are into DIY, says Bunnings chief Mike Schneider, it’s just that the first tool they reach for is likely to be YouTube.

The head of the nation’s biggest hardware chain is moving to better target a generation of customers that is staying at home and renting for longer and more likely than any before it to buy an apartment or townhouse.

Those trends, insists Mr Schneider, are opportunities rather than threats for a business whose success has been built on servicing the needs of homeowners maintaining their slice of the Aussie dream on a traditional quarter-acre block.

“The next generation of Bunnings customer is entering the real estate market in a different way,” Mr Schneider said.

“They are staying at home with parents for longer, they are living in shared accommodation more, they are living in rental accommodation for longer and when the decision comes to buy a first home, that is taking them into spaces that are perhaps smaller than those owned by the previous generation.

“That leads to different thinking about the space that you are in. If I am home with mum and dad, how do I personalise my space?

“If I am sharing a space, how do I make my space my own? If I am renting, what can I do in a rental property versus what can I do in a home property?”

The retailer – the single biggest business unit within the Wesfarmers conglomerate since it spun off Coles – launched a nine-part The Block-style renovation series online late last month.

As part of the project, there will also be a new collection of Bunnings DIY videos aimed directly at the nation’s changing living styles and needs.

Instructions on building a deck remain, but there are also tips on how to hang curtains, buy a rug or organise a pantry.

Bunnings has also partnered with a number of “influencers” as it spreads its presence on social media.

“It’s an engagement piece for our brand around the next generation of customer,” Mr Schneider said of the Make It Yours series.

Instagram may not seem like a natural fit for Bunnings but the big-box retailer has long been a quiet star of online retail.

Its website has more visitors than any other Australian bricks-and-mortar retailer – and yes, that includes Coles or Woolies – even though it only began selling goods online this year.

It is also about to launch a new online marketplace called MarketLink, where it will sell 8000 products it does not stock in stores.

These include kitchen appliances, homewares and furniture as it builds a one-stopshop online ecosystem for the home.

“We want to be participating in our customers’ homes from the front gate to the back fence,” Mr Schneider said.