Bunnings is preparing to take on Super Retail Group's BCF as it shifts further into the lifestyle retail space. The hardware giant, owned by Wesfarmers, is eyeing a market worth more than $113 billion.
Bunnings pushes into camping
Bunnings boss Mike Schneider wants to push into the camping space, threatening the dominance of incumbent BCF. Mr Schneider said the retailer had a strong pipeline of future category expansion opportunities, which include camping, rural workwear, assisted living and lifestyle.
Bunnings has been adding to its ever-growing category range, which now includes automotive, pet goods, cleaning products and smart home.
“Our addressable market continues to expand today across Australia and New Zealand, it’s around $113.5b and continues to grow as we evolve our offer channel and footprint,” Mr Schneider told analysts and investors during Wesfarmers’ strategy day on Wednesday.
“We’ve taken a disciplined approach to category expansion, informed by detailed customer and market research, along with global insights.”
He added that competition was broader and more intense than ever, and it was fragmented across players, categories and channels.
“Customers have countless options with technology making market entry easier across almost every category,” Mr Schneider said.
“We’ve adapted by meeting customers wherever they are — in stores, online, through our marketplace, at home, on job sites, and increasingly through agentic commerce.”
Last year, Mr Schneider warned auto brands that baulk at supplying Bunnings for fear of upsetting bigger customers like Super Retail Group-owned Supercheap Auto and Bapcor’s Autobarn, saying they could be left out in the cold.
As homes become increasingly connected, Mr Schneider on Wednesday said it would expand its smart home electrification categories to include Wi-Fi and mobile services.
Mr Schneider said strong fundamentals underpinned the retailer’s long-term growth, including strong population growth, home improvements, as well as lifestyle and demographic shifts amid an ageing population.
