Woolworths may expand bulk-buy deal to families
Woolworths has signed a deal with a major food supplier to deliver bulk-size products to business customers. But families may be able to buy in bulk too, says Woolies chief Brad Banducci.
Business
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Woolworths is exploring whether it can provide a greater range of bulk-sized products to families after partnering with a major food supplier to the restaurant sector.
The nation’s biggest supermarket chain has partnered with Melbourne-based PFD Food Services to better serve business customers such as aged-care facilities and childcare centres which need to buy in bulk.
The arrangement will allow business customers to shop and order the bulk range of food and grocery products offered by PFD through the Woolworths website.
PFD will then pack and deliver the goods. Orders will be delivered within three days.
The tie-up comes as the nation’s grocery sector strains under unprecedented demand for online delivery services amid the coronavirus lock down.
Woolworths chief Brad Banducci said the “mutually beneficial partnership” aimed to ease stock constraints brought on by the recent demand for groceries.
“Assisting essential services that are still operating, like day care centres, schools, disability services and nursing homes at this time is extremely important,” Mr Banducci said.
“By partnering with PFD we can help these businesses to place bulk orders which meet their requirements through our online service. “This partnership will also ensure we can continue to focus on increasing capacity within our traditional online business at a time when demand has never been higher for home delivery.”
Mr Banducci said while the PFD range was only available to business customers, the supermarket giant was investigating whether it was possible to open up the range of bulk goods to everyday shoppers.
“Due to the nature of PFD's offering, B2B (business to business) customers will be serviced first, with the potential for large household customers to access the products via Woolworths online down the track,” he said.
PFD – originally known as Processed Fish Distributors – traces its history back to 1864 when it was launched as a fresh fish merchant operating from the Melbourne wholesale fish markets.
It now operates 69 outlets across Australia with its head office in Knoxfield in Melbourne’s east.
PFD chief executive Kerry Smith said the tie up would help ensure essential businesses were better served.
“We are pleased to partner with Woolworths to provide additional support to their business to ensure the delivery of food and groceries to essential businesses who continue to operate to support the community during these challenging times,” she said.