strategy

1
strategy
2
woolworths operations
strategy 2003/04
The opportunity area
Foods
Homeware
Lingerie
Ladieswear
Menswear
The opportunity area
Childrenswear
WFS
LSM 6
LSM 8
LSM 10
LSM 9
LSM 7
LSM 6
3
woolworths operations
strategic investment

• Growth
• clothing store modernisation
• food formats roll-out
• Business processes
• forecasting and replenishment
• integrated merchandising system RETEK
• warehousing
• store back office
• Infrastructure and capacity
• new Gauteng distribution centre
• transport fleet mix and capacity
• point of sale

4
woolworths operations
capex spend
Property and warehouses 15
Stores and other 51
ITS 34
2004
Property and warehouses 27
Stores and other 50
ITS 23
2005
Property and warehouses 27
Stores and other 59
ITS 14
2006
5
woolworths operations
store modernisation
projections include new stores
6

• Pilot of a new economy food format store concept
• Targeted at fast growing middle market LSM 5
  6
• LSM 5 6 30 of the population of South
  Africa
• 26 of the total spend on food and household
  items
• Core customer proposition
• an essential range of good quality food and
  household items at low prices in convenient
  locations
• 5 stores to be piloted in the Western Cape in the
  last quarter
• Roll-out as a franchise business
• franchisees recruited from the customer
  communities
• previously disadvantaged backgrounds BEE
  partners

7
country road limited
strategy

• Retail model
• Shorter lead times (exit David Jones)
• New design
• Merchanting process
• Driving benefits of RETEK
• Retail expansion