Metcash benefits from preference for local

Metcash Food CEO Scott Marshall spoke to Convenience World in an exclusive interview, providing an update on business performance, and discussing market challenges and shopper trends.

The IGA retail network continues to benefit from a shift in consumer behaviour, including an increased preference for local neighbourhood shopping, migration from cities to regional areas, more flexible working and cooking at home, and the success of MFuture initiatives to retain new and returning customers gained through Covid-19.

Mr Marshall offered his insights on the Metcash business and the market.

Please comment on Metcash’s MFuture initiatives including its network of the future, e-commerce, and supply chain.

We’re definitely on a journey to create a better network with a better shopping experience.

Network of the future within the IGA brand, we’re identifying the right local offer for each store and it’s working really well. That will only help amplify the shopper trend for local and will give shoppers what they need in the local market. I don’t think anyone can do that as well as an independent retailer can.

The pandemic definitely created the need for us to have an online shop, and 12 months ago we launched the IGA Priority Shop. And on the back of 800 retailers that use that system, there’s now an absolute need for our retailers to have a good online offer. We’ve got plans over the next 12-24 months to amplify and roll it out across the network.

We’re proud of the improvements we’re making to our distribution network. Through Covid and the pandemic, we continued construction and opened the new distribution centre in South Australia that services our Foodland customers and IGA retailers. Building and relocating a warehouse with zero disruptions to our customers through that period is a huge achievement from the team.

We’re really proud to lead a business that supports local communities in the way we do. Our network of customers has done an outstanding job throughout the last 18 months in serving their customers, shoppers and communities.

Read the exclusive interview in full in the July/August issue of Convenience World.

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