Recent figures from Roy Morgan Research indicate that the introduction of Woolworths-owned Masters Home Improvement into the home improvement retail market has had little impact on Bunnings and Mitre 10’s customer numbers.
The figures reveal that Masters has been increasing its customer base consistently over the last year, with 8% of Australians aged 14+ having bought something there — up from 3% a year ago.
This hasn’t affected visitation rates at Bunnings, which remain stable, with close to two thirds of the population buying something there annually.
Furthermore, the data indicated Bunnings’ shoppers pay an average seven visits to the store per year, compared to three by Masters shoppers.
There was no change for Mitre 10 over the last year either, with 17% of the population buying something there per year, and paying an average five annual visits.
Norman Morris, Industry Communications Director, Roy Morgan Research, says, “Since opening nearly two years ago, Masters has almost 30 stores and is now trading in most Australian states.”
“However, its lack of impact on customers at Bunnings and Mitre 10 suggests shoppers have added Masters to their retail repertoire rather than stopped shopping at its competitors.”
Mr Morris suggested this can be partially understood by examining the type of customers Masters is attracting.
“For example, Masters shoppers are more likely to have bought/built a new home than typical Bunnings or Mitre 10 customers. Not surprisingly, Masters’ customers are also likely to have redecorated or refurbished their home, purchasing items like curtains and wallpaper,” he said.
