Sainsbury’s has agreed on a strategic wholesale partnership with Coles, an Australian food and drink retailer. From early next year, Sainsbury’s will supply its own-brand products to Coles supermarkets across Australia, as well as online. The range will be white-labeled under the Coles brand and will include a selection of packaged groceries and household products. The agreement with Coles marks a key milestone in Sainsbury’s strategy to build its wholesale business, with several partnerships already in place in Asia, Europe and the UK.
The news comes as the demand for high-quality, own-brand products is growing in Australia.
There are significant opportunities in the Australian grocery market and the new partnership means that Coles customers will now be able to buy Sainsbury’s own-brand food and groceries that they will not find anywhere else in the country.
“Coles is one of Australia’s leading food retailers and we are delighted to enter into this new partnership with them. Great quality food, high standards and ethical sourcing are at the heart of both our businesses and we are delighted to work with Coles to bring more choice and innovation to Australian customers. We’re excited by the opportunity to offer more of our fantastic products to customers around the world through wholesale partnerships like this one,” says Michael Luck, Director of Business Development at Sainsbury’s.
“We want to accelerate the introduction of products to Cole’s own brand. This partnership allows us to do that with a range of food and groceries that are already proven in the international market but not yet available in Australia,” adds Greg Davis, Coles Chief Executive – Commercial and Express.
Coles is an Australian retailer with more than 2,400 retail outlets – including 800 supermarkets and 700 convenience stores – across Australia.
In the UK, Sainsbury’s has a reputation for product development and innovation and is known for its high-quality, distinctive own-brand products that are good value for money.
The partnership will also investigate Australian groceries and alcohol, which Sainsbury’s could source through Coles to bring a distinctive proposition to UK customers.
