Woolworths Group continues to experience high levels of customer engagement on its digital platforms. Brad Banducci, the CEO, described the first half performance as a “very balanced result”. He also highlighted the ongoing reversion of customers’ shopping patterns as a key feature of this period.
The impact has been felt on Woolworths Group’s ecommerce sales.which declined by 9.5 percent compared to the prior corresponding period. The group’s ecommerce sales amounted to nearly $3.2 billion, a decrease from $3.5 billion from the same period last year. Nevertheless, there was a 9.5 percent rise in average weekly digital traffic. This indicates that customers remain engaged with Woolworths’ digital platforms.
Customers are shifting back to in-store shopping
According to Banducci, even though customers are shifting back to in-store shopping, digital engagement remains consistent on Woolworths‘ websites and apps. The group’s digital properties averaged 22.7 million visits per week. About 50 percent of digital traffic growth attributed to apps, particularly Everyday Rewards.
Banducci said,“At the end of December, we had 14.1 million Everyday Rewards members and active rewards members have grown by over five percent.”
Banducci mentioned that membership programs are becoming popular again worldwide. It’s a crucial way for Woolworths to gather more information about its customers, customize its offerings, and provide additional value for its members who are the most loyal customers.
Banducci acknowledged that Woolworths is still facing initial issues with new technology in major warehouses. Since 2019, Woolworths has been transforming its supply chain by building distribution centers across Australia, including a $780 million investment in Moorebank with advanced technology and infrastructure.
