Metcash presented a Group update at its Investor Day on 16 March.
Presented by Group CEO Jeff Adams, the Group Overview segment highlighted the progress of MFuture, Metcash’s five-year vision.
MFuture (launched in 2019) is said to have proven to be the “right strategy”. According to Mr Adams:
- This is reflected in performance of all pillars pre-Covid
- MFuture has laid foundation for strong performance of all pillars during Covid
- There has been further improvement in health of retail network
- Retailers are investing into store network
- MFuture has helped retain new and returning shoppers
- There have been market share gains
- There has been further strengthening of retailer relationships
- The Metcash people engagement score is up ~20%.
In the next three years, Metcash is expected to continue supporting its retailers to further improve their competitiveness and retain new and returned customers gained through Covid, as well as attract new shoppers.
Metcash Food CEO Scott Marshall presented the food update.
According to this part of the presentation, there has been an “acceleration” of shoppers discovering local throughout Covid-19. This shift in consumer behaviour is said to be continuing to drive “strong demand “across the IGA network. Metcash believes its retailers are “ideally positioned” to continue benefiting from this.
In terms of food, Metcash’s key MFuture initiatives going forward will consider:
Network of the future (targeting more than 1200 stores to be upgraded by 2026)
- E-commerce (new platform to be launched into ~ 800 stores by FY25) and loyalty (rollout of IGA Rewards underway)
- Supply chain (Review of DC network underway to drive further efficiencies and retailer competitiveness).