Page 37 - HW FEBRUARY 2022

FMCG bumps Bunnings in trust rankings
global eyes
THE ROY MORGAN Risk Monitor surveys some 1,800 Australians every month from its Single Source consumer database.
According to data from the past 12 months, supermarkets are still the single most trusted sector in Australia, followed by retail as the second most trusted.
Conversely, the banking sector has the highest net distrust score in the year ending September 2021, having taken over from social media as the most distrusted, and is now four times more distrusted than the gambling sector
and 10 times more distrusted than even politicians...
In terms of the most trusted brands, Woolworths, Coles and Bunnings continue to hold the top three places, Woolworths and Coles having remained in this position ever since the beginning of the COVID-19 pandemic and having relegated Bunnings into 3rd position.
Among the most distrusted brands, Harvey Norman is the biggest mover, having jumped nine places into the top 10 most distrusted brands for the first time, while Facebook and Telstra still hold
the top two places as Australia’s most distrusted brands, followed by Google.
www.roymorgan.com
Change at the top
for The Home Depot
Covid impacts Kmart Group
From March, the world’s largest home improvement retailer, will be led by Edward “Ted” Decker (photo above) as CEO and President, while current Chairman and CEO of the last seven years Craig Menear continues to serve as Chair of the Board.
Ted Decker joined The Home Depot 22 years ago and was promoted to President and COO in October 2020 from his role as Chief Merchant and Executive Vice President of Merchandising.
“As a 22-year associate of The Home Depot, Ted has nurtured our culture by living our values and demonstrating servant leadership throughout his career,” says Craig Menear.
“Ted has grown with the company
by taking on expanded roles of leadership from his time in Strategic Business Development, Finance and Merchandising to leading our day-to-day interconnected operations in his role as President and COO.
“His ability to blend the art and science of retail is exactly what is needed in the next phase of growth for The Home Depot. I have tremendous confidence that he will guide our company to new heights.”
Greg Brenneman, the Board’s lead Director, says of the outgoing CEO: “Among Craig’s many accomplishments, he has built a world-class leadership team, driven a bold strategic vision focused on the interconnected retail experience, and delivered outstanding results for our shareholders – all while fostering The Home Depot’s unique, values-driven culture.
“We are fortunate to have a strong successor in Ted and look forward
to working with him and the entire Home Depot management team as the business enters its next phase of growth.”
www.homedepot.com
MID-JANUARY, WESFARMERS provided an update for the half-year ended 31 December 2021 prior to the formal results presentation due mid this month.
Top of mind were details on the “significant impact” of Covid-related disruptions and costs on the performance of Kmart Group.
“Pleasing results” are expected from Bunnings and Wesfarmers Chemicals, Energy & Fertilisers, but results in Kmart Group (Kmart and struggling Target) and Officeworks were singled out due to the impact of pandemic-related disruptions and costs.
Although trading for Kmart Group improved as restrictions eased during
Q2, foot traffic was inhibited by rising community transmission of Covid-19 in some states, particularly over Christmas.
On top of this, elevated levels of COVID- related absenteeism in Kmart Group
NSW and Victorian distribution centres prevented enough stock getting to stores.
Adding in the effect of closing some 60+ Target stores made for a combined fall in Kmart and Target sales of 10.3% for the half.
Sounds like there are more negatives to come too, with the company citing ongoing weakened retail trading conditions and high team member absenteeism thanks to Omicron.
www.wesfarmers.com.au
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FEBRUARY 2022 | NZHJ 35