Coles and Woolies to reduce prices of hundreds of products

In a win for households, an Australian supermarket giant has made a huge call on the price of hundreds of its most popular products.

Supermarket giants Coles and Woolies will drop the price of hundreds of popular grocery products until after Easter in a massive win for households amid a cost-of-living crisis.

Coles said on Monday the second phase of its popular “drop and lock” scheme would begin on Wednesday in-store and online and includes brands such as Kellogg’s, L’Oreal, Uncle Toby’s and Capilano honey as well as Coles’ own-brand products.

Last week, NCA NewsWire reported that Coles intended to continue its “drop and lock” scheme, which began in October.

Coles has dropped and locked the price of more that 300 essential products. Amelia LaBan holds Capilano honey at Coles Alderley. NCA NewsWire / Sarah Marshall

The products included by Coles in their most recent round of price reductions include Coles RSPCA chicken drumsticks, which have been reduced from $5 to $4.50, 500g of Coles pork and beef bolognese mince, reduced from $6.50 to $6, and Coles lamb loin chops, down from $28 a kilo to $23 a kilo – an 18 per cent reduction.

Arnott’s Vita-Weat crispbread, Coles soft white wraps, Tip Top white hamburger bread rolls and wholemeal and grain soft wraps have also been reduced in price, while Capilano honey has been reduced by 10 per cent.

Kellogg’s and L’Oreal products have been slashed in price as well as a range of pork, beef mince and lamb products. Picture: NCA NewsWire / Brenton Edwards

The decision to reduce the price of more than 300 new items, which is more than double the 150 items reduced by the supermarket in October, comes amid a gruelling cost-of-living crunch for most Australian households.

Woolies discounts hundreds of products

Rival supermarket Woolworths ended its price freeze program, but
had recently reduced the price of more than 300 “summer grocery staples” in a bid to ease consumer pain at the checkout.

Woolworths has ended its price program, but says it is cutting prices on summer staples. Picture: NCA NewsWire / David Swift

“We know cost-of-living pressures are being felt by Australian families, and throughout 2023 we will continue to work hard to help them save each time they shop with us,” a Woolies spokesman said last week.
“While the price freeze program has come to an end, we remain focused on maximising value for our customers, and many of the products from the program currently remain at the same low price.”

Interest rate rises start to bite

The interest rate of 3.1 per cent is the highest it’s been in more than a decade, while in the federal government’s October budget Treasury anticipated combined power price hikes of 63 per cent across this financial year and the next.

Soaring energy prices have been one of the biggest contributors to inflation, which has led to price rises in many essential items. Picture: NCA NewsWire/Tertius Pickard

“We understand many Aussie households are feeling the pinch following Christmas and by dropping and locking the price of hundreds of popular and essential items we are honouring our commitment to helping Aussie budgets go further,” Coles chief executive of commercial and executive Leah Weckert, said.

“This latest round of dropped and locked doubles the number of products compared to the first phase of the campaign and we’re certain this extension will save Aussies millions of dollars over the coming months,” Ms Weckert said.