Foodstuffs South Island's Market Study Dashboard
The Government has confirmed the actions it plans to take in response to the Commerce Commission’s final report on the Market Study into the retail grocery sector. Foodstuffs South Island have been actively engaged in the Market Study process, working constructively with the Commission and MBIE, and actioning a number of initiatives that improve the shopping experience for our customers. Here’s how we’re going as at November 2022.
How are we helping customers find the best value?
To help customers find the best value, the report recommended we ensure our pricing and promotional practices, and the terms and conditions of our loyalty programme and privacy policy, are simple and easy to understand.
Pricing and promotions
Together with Foodstuffs North Island, we’re working to simplify our pricing and promotions nationwide.
Ticketing options
| PAK'nSAVE (3 Price Tickets) Effective from July 2022 |
New World (4 Price Tickets) Effective in 2023 |
|
|---|---|---|
|
Regular = our regular low price |
Regular = normal pricing |
|
|
Everyday Low = a price that is kept lower for longer
|
Everyday Low Price = low prices that last on 100s of items |  |
|
Extra Low = a price so hot it won't last
|
Super Saver = meaningful discounts for a limited time |  |
| Club Deal = meaningful discounts for Clubcard members |  |
Loyalty programme and privacy policy
Together with Foodstuffs North Island, we’re working to ensure our loyalty programme, data collection and user practices are clear and transparent.
Clubcard rewards
| Programme | Qualifying spend (NZD) | Rewards earned | Conversion |
|---|---|---|---|
| Airpoints | $25 | 0.185 | $150 = 1.11 Airpoints Dollar |
| Flybuys | $25 | 1 | 1 Flybuys earned = 1 Point 28 Flybuys earned = $5 New World Dollars 4 Flybuys earned = 3c off per litre up to 50L at Z and Caltex |
Unit pricing
MBIE has released a discussion paper on introducing a mandatory unit pricing regime in New Zealand for grocery retailers. We have made a submission in early July on that paper supporting in principle the introduction of such a regime and highlighting a number of areas for careful consideration.
Price comparison services
We have reached out to price comparison websites to ask if they have questions regarding access to our product range.
Grocery Price Index
In a first for NZ’s supermarket industry, and to support our work to get best value for New Zealanders, we engaged Infometrics an independent economic consultancy to develop a monthly grocery index using Foodstuffs real-time data to show price changes and the drivers behind them. The index is published monthly and can be found here Infometrics.
|
Monthly grocery price changesIndex will provide customers with a detailed understanding about grocery price changes and the drivers behind them. |
How are we making sure there’s a level playing field for our competitors?
We are working to remove the genuine barriers to market entry that are within our control.
Freeing up land for supermarket development
The passing of the Commerce (Grocery Sector Covenants) Amendment Act 2022 makes grocery sector land covenants unenforceable. We have removed 21 of the 22 covenants that Foodstuffs South Island had in place. We are working closely with the owner of the land where the remaining covenant is registered to get it removed.
Wholesale
Several streams of work are well underway to develop a wholesale supply solution for non-member retailers.
How are we improving our relationships with suppliers?
We support a mandatory code of conduct with an independent regulator that will improve outcomes for suppliers and customers.
Supplier code of conduct