Coles is implementing a raft of changes over the next few years as it prepares for a bitter fight with new German chains Lidl and Kaufland.
The supermarket has started putting dedicated food-for-now sections at the front of its stores and wants 100 of these in place by the end of the year.
The range offers breakfast meals to take away from $4.50 as well as $4 fruit salads, sandwiches for $3 and salads at $8.
To cater for increasingly busy customers, the chain will increase home delivery slots in peak times and develop its delivery partnership with UberEats.
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The supermarket has started putting dedicated food-to-go sections at the front of its stores and wants 100 of these in place by the end of the year
Technology: Coles has made a deal with British chain Ocada to use its robots in Coles warehouses as it aims to increase efficiency
Food-for-now sections
Better coffee in express stores
More home deliveries
More own-brand products
Emphasis on sustainability
Export more products
Use more robots in warehouses
At the same time, Coles will continue to work on products aimed at immigrants, a nod to the fact that 30 per cent of the population were born overseas.
The chain also has a plan to use 35 data scientists to analyse what customers are buying by tracking transactions made with flybuys cards.
Changes are not exclusive to the big shops and Coles is also revamping its express stores with new coffee machines and better ready meals.
It is also putting an emphasis on sustainability, demanding that all of its own-brand water bottles are made from 100 per cent recyclable material.
Meanwhile, it wants its own-brand range, which includes more health and wellness products, to make up 40 per cent of its sales.
As well as these changes, Coles is overhauling the warehouse side of its business, cutting jobs and increasing the use of robots to save money.
Coles, which made $1.5billion in 2018 and employs 100,000 people, has 30 per cent share of the Australian grocery market, second only to Woolworths at 37 per cent.
It is also putting an emphasis on sustainability, demanding that all of its own-brand water bottles are made from 100 per cent recyclable material. Pictured: Own-brand Chia seeds which cost $5.50
Coles wants its own-brand range, which includes more health and wellness products, to make up 40 per cent of its sales
The chain says it is targeting $1billion in cumulative savings over four years as it prepares to compete in a discount grocery market.
German retailer Schwarz Group, the fourth biggest in the world, owns supermarket Lidl and hypermarket Kaufland, which sells food and extras like bikes or car maintenance supplies.
It is planning to open stores in Melbourne and Adelaide in 2021
