South Australian supermarket chain Foodland unveils five-year growth plan, with new stores, store upgrades and thousands of new retail jobs

SA’s biggest independent supermarket group has unveiled a five-year plan to open new stores, revamp existing stores and create 2500 new retail jobs in SA.

The state’s biggest independent supermarket group will open 25 new stores over the next five years and refurbish dozens more as part of a $215m investment in the state’s retail sector.

Foodland is shrugging off the COVID-19 pandemic and competition from Aldi and major national chains with a growth plan that will deliver 2500 new retail jobs in Adelaide and regional areas.

A further 500 construction jobs will be created through the building of new supermarkets and the refurbishment and upgrade of 47 existing stores, or around half of the Foodland network, including 30 in regional areas.

New Foodland chief executive Franklin dos Santos would not confirm where the new stores would be located, but said negotiations were well advanced in securing a mix of metropolitan and regional sites across the state.

New Foodland chief executive Franklin dos Santos has launched an ambitious five-year growth plan. Pictured at Henley Square Foodland. Pic: Brenton Edwards

“We normally open an average of three to four stores a year but we’re accelerating that due to things like major infrastructure works, including the government’s investment in roads, and population movement around South Australia,” he said.

“It’s a huge investment in the state which will create thousands of jobs and shows there’s real belief that South Australia is a good state to do business in.

“And importantly it’s going to mean that South Australian producers get a fair go in South Australia, which is what Foodland is famous for.”

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 the new and refurbished stores would draw inspiration from the success of a new breed of supermarkets, like the award-winning Frewville and Pasadena stores.

“The supermarkets we’re starting to see - not only due to COVID but also the shift in trends - is more of a market-style store,” he said.

“Whether that’s ready-made meals, or what people have traditionally called gourmet becoming mainstream, shoppers have become more sophisticated and we’re at the forefront of that.

“We offer a different shopping experience to the chains, we’ve become a destination in local communities.

“If you look at stores like Frewville, Pasadena, Norwood - they offer a different type of ambience and ambience is king.”

The launch of Foodland’s five-year growth plan coincides with the opening of a new $80m distribution centre developed by the group’s supplier Metcash.

The state-of-the-art Gepps Cross facility started distributing perishable produce to Foodland stores across the state last week, and will soon process other groceries for the network.

“It means more frozen goods, more dairy and more perishables than we’ve ever had before,” Mr dos Santos said.

“It also provides another opportunity for South Australian producers to access our stores through the distribution centre supply chain mechanism, and ensures the viability of stores for years to come.”

The new $80m Metcash distribution centre at Gepps Cross.