Campbells ‘set for bulk chain’

GEELONG could have a large bulk discount store to compete with Costco if a Metcash experiment in Brisbane is successful.
Geelong’s Campbell’s Wholesale, also known as Campbell’s Cash and Carry, could be converted to a Value Depot outlet as part of a national roll out.
Metcash is trialling its first Value Depot store, a 7000-square-metre space stocking more than 10,000 lines and more than 35,000 products in dry grocery, fast-moving consumer goods, general merchandise and fresh food.
Metcash, owner of Mitre 10 and IGA, flagged the rollout to its ailing Campbell’s Wholesale chain after closing 15 regional outlets and slashing jobs earlier this year.
Metcash claims Value Depot stores will match or beat the price of the national chains and offer big discounts for bulk purchases.
Customers must have an Australian Business Number but will not pay a membership fee, unlike Costco, charging $60 a year with no ABN requirement.
Metcash chief operating officer Silvestro Morabito said Value Depot was aimed at “redefining the bulk wholesale warehouse concept” in Australia.
“The concept was created because the existing Campbells Cash and Carry model was dated,” he said.
“We feel that Value Depot is a more-contemporary offer and aligned to the type of things our customers are looking at today.”
Mr Morabito said rationalising the Campbells Cash and Carry business was part of a strategic review that recommended reinventing it’s 18 stores into a Value Depot model.
The fully air-conditioned Value Depot features internal specialty stores, including a confectionery outlet Sweet Spot, Catering Connection for hospitality operators, Baby Boulevard, Auto Car Care, Fresh and a large general merchandise section.