Identifying the top retail chains in Australia where you can sell your products is relatively easy. Approaching and convincing them is a much bigger challenge.
It may be a better strategy to find a distributor first who can help you to get your products in smaller chains or individual stores, and then help you to get to the big names. Or to start online.
In this article you will find more information on the retail market and guidance on how to convince retailers and distributors to work with you.
Australia is a major global player in various sectors and has a population of about 26 million.
Australia’s economy, with a GDP per capita of approximately $55,000 USD in 2023, is driven by mining (coal, iron ore, gold), agriculture, and a robust service sector. It is also a significant exporter of natural resources.
The country’s main imports include machinery, vehicles, electronic equipment, and petroleum products, supporting its diversified economy.
Key cities include Sydney, known for its iconic Opera House and Harbor Bridge; Melbourne, famous for its culture and coffee; Brisbane, a vibrant river city; and Perth, known for its beaches and mining industry.
Coles: Known for value for money, Coles operates over 2,500 stores across Australia, offering a wide range of products and services.
Woolworths: As Australia’s largest supermarket chain, Woolworths boasts over 1,000 stores. It focuses on sourcing fresh produce and meat from Australian farmers and growers.
Aldi: A German chain with a simplified shopping experience and a focus on own-brand products, Aldi has been expanding in Australia since 2001.
Costco: This US-based chain offers bulk grocery shopping and operates with a membership model. It’s ideal for large families and offers a range of products beyond groceries.
Drakes: An independent chain based in South Australia, Drakes operates over 60 stores and is known for its customer-focused service and unique shopping experience.
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If you have a consumer product that you can’t sell directly from your home country to your end customer, you need at least one step in between. This can be a distributor (who also acts as wholesaler or importer), a big retailer directly, or it can be a large web shop. Let’s look at the pro’s and con’s of each option.
You should put a lot of emphasis on drafting a good distributor pitch. Even if you already have great sales materials for your end-users, this often does not make clear what the benefits are for a potential agent, distributor or retailer to work with you.
When you approach potential sales channels with your standard documentation, chances are high that they are holding of. If you make it crystal clear what are the benefits for them, like in the example presentation, you will get a much higher response rate.
Please note that it helps to put concrete data in your presentation. You may think it is sensitive, but just know the secret is in how you achieve the rotation or the low returns level, not in the data itself. So share it here, in order to get the right attention.
Distributors are risk averse, they know the portfolio they have and tend to be happy with it. They can’t just add a product or service to their range, since it will cannibalize on others: