In several Coles supermarkets this week I have seen their large $20 plush bears cut back to $15. Based on locations I have seen, Coles is offering these products to extend the basket as opposed to making any significant statement to the plush shopper.
I am sharing the photo to show: placement to drive basket depth and their discounting to quit a line. Both are management actions from which we can learn.
While we can’t easily stop supermarkets extending their reach, we can learn from what they do and be smarter ourselves in competing with them.