Foodland boss focused on expansion, sustainability

After unveiling plans for a major expansion, Foodland’s new boss explains how he plans to modernise the 58-year old independent supermarket group while continuing to look after local producers.

New Foodland boss Franklin dos Santos kicked off his new job with a bang last week, unveiling plans to open 25 new stores in the next five years, and deliver 2500 retail jobs across the state.

But the ambitious expansion is just one component of a broader strategy to modernise the state’s biggest independent supermarket group while renewing its commitment to local producers.

Mr dos Santos, who took over as chief executive from Con Sciacca in July, brings a solid pedigree to the role having worked across the supermarket supply chain.

A stint with food company Goodman Fielder took him to Sydney and Melbourne in the early 2000s, before he returned to Adelaide to join Metcash.

Franklin dos Santos at Henley Square Foodland. Picture: Brenton Edwards

He owned and operated three Foodland supermarkets with brother Chris, before selling out earlier this year and taking the top job in the corporate HQ.

“I started working in a Foodland when I was 18 at Erindale, I ended up owning Foodland stores and now I’m running the Foodland business - it’s proof that working in supermarkets, you can make a pretty long career out of it,” he said.

“There’s now a huge opportunity for growth with Foodland one of the most powerful brands in South Australia, and I’m really looking forward to the future.”

Foodland currently employs more than 6000 staff across its 95 stores, which are owned and operated by 35 independent groups including the Romeo, Chapley and Klose families.

Mr dos Santos said Aldi’s aggressive entry into South Australia in recent years had hardly made a dent in Foodland’s share of the local grocery market,

Foodland figures suggest the independent brand controls 25 per cent of the state’s supermarkets and enjoys a market share of more than 18 per cent.

“It’s interesting that when Aldi turned up analysts in the industry said the independents were going to throw the party,” he said.

“But everyone contributed in some way to the party, with Foodland a lot less than others - Foodland has been able to stabilise and we’re now on a growth trajectory.

“Aldi seems to be starting to cannibalise itself with the number of stores they’re opening - we don’t see Aldi as a threat. We offer something very different to Aldi.”

Overseeing one of the state’s biggest employers and brands, Mr dos Santos also recognises it has a responsibility to the broader community, and is spearheading a major push into sustainability.

“We’ll become the first independent supermarket group to go out and provide a sustainability strategy,” he said.

“It will see us moving into areas like reducing food waste, reducing the use of single use plastics. I think the role of supermarkets is critical in these areas.”

The launch of Foodland’s five-year growth plan last week coincided with the opening of a new $80m distribution centre developed by supplier Metcash at Gepps Cross.

Foodland owners including the Romeos and Chapleys agreed a ten-year extension to their supply agreement with Metcash in 2018, while the state’s other major independent, Drakes, opened its own distribution centre last year after cutting ties with Metcash in SA.

Metcash’s new $80m distribution centre at Gepps Cross. Supplied by Metcash