Coles sidelines Down Down ad campaign to fend off Woolworths

COLES is resting its high-profile Down Down ads and replacing them with a fresh promotional campaign to win over more Aussie shoppers as it fights a resurgence from its arch rival.

SUPERMARKET giant Coles is sidelining its high-profile “Down Down” TV advertisements as part of move to refresh its brand and fend off a resurgence from arch rival Woolworths.

A new TV ad campaign to be launched tonight will use the slogan “Good things are happening at Coles”.

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It aims to promote factors other than bargain prices, the Herald Sun understands.

The Down Down campaign — which features giant red hands pointing at prices — was launched by Coles more than five years ago.

British rock act Status Quo fronted the early versions of Coles’ Down Down advertising campaign, before passing the baton to Casey Donovan last year.

It was initially fronted by British rockers Status Quo, singing a catchy jingle based on their 1975 hit Down Down.

Coles last year recruited Australian pop star Casey Donovan to front a revised version.

The first incarnation of the campaign was launched when Scotsman Ian McLeod was running the grocery heavyweight, overseeing a sweeping turnaround in its fortunes.

But with Woolworths now outpacing Coles for sales growth, and foreign interlopers such as Aldi, Costco and, soon, Kaufland cutting its grass, the grocer has gone for a jingle refresh.

Celebrity chef Curtis Stone, a long-time ambassador for Coles, features prominently in the new series of ads.

Late last month, Woolies revealed its like-for-like sales, which strip out the impact of shops opening or closing, surged 5.1 per cent the past quarter from the same period a year earlier.

Coles managing director John Durkan says customers are interested in more than just price. Picture: Aaron Francis.

That comprehensively outpaced the 1.4 per cent growth rate at Coles during the same period.

Mr McLeod was a champion of the supermarket price wars, spearheaded by the introduction of milk priced at $1 a litre.

Coles managing director John Durkan now believes it is time to market other aspects of the chain, including its sourcing of Australian-made food, support for suppliers and sustainability, according to reports today.

Mr Durkan told a Retail Leaders Forum conference in Sydney this morning that Coles would still compete on price.

“I think prices are fundamental, it’s a hygiene factor in that you’ve just got to be at the right price,’’ Mr Durkan told The Australianthis morning.

Macca’s perspective.

“But we have spoken to a lot of customers and team members and they are just — if not more — interested in all the other stuff that we are doing that is beyond price.

“Price will still be a factor in it … it is not going away, but it is about us moving the conversation on with our customers.”

The ‘Down Down’ campaign would not be going away totally, he said.

“But our big red hand isn’t going away ... we will spend our time on developing this.

“It broadens the conversation and we have done a lot of work in this so it is a good thing to talk about.’’

Shares in Coles parent Wesfarmers were up 0.6 per cent early this afternoon at $41.21. Woolworths shares were up 0.1 per cent at $26.94.