Woolworth’s adventure into the hardware DIY market has come to an end because it recently announced that it will be closing Masters down by 11th December. This date defines the end of the hardware company and the anticipated date to have all stores closed down and remaining stock sold, so expect there to be plenty of hardware bargains and deals.
The company’s aim is to clear all of it shelves by the time the stores close so expect Buckscoop to keep you in the loop of the items prices that are heavily cut along with the large discounts that we are expecting to see. This also means that we can anticipate Bunnings will be willing to compete on price in order not to miss out on sales during the Masters closing fire sale.
Bunning’s CEO, John Gillam will be responsible for navigating the tricky waters ahead to ensure that the hardware store doesn’t suffer too many losses during the Masters sinking ship sale. The Woolworths owned brand is serious about liquidating all of its stock too, to the extent that it has commissioned a United States company named ‘Great America Group’ to help with the liquidation of its products. The US company specialises in store closing programs and its boss has stated that customers can expect to save significant amounts of money on hardware products in the coming months.
If you are looking to find online hardware bargains on in-store discounts then you can expect to find every single product discounted in every single department at Masters over the next 4 months.
Although Bunnings is victorious in this scenario, its not necessarily good news for the hardware market because unless another large competitor enters, Bunnings will have a monopoly over the hardware industry in Australia. The chain is already very profitable, for example it roughly takes 10% profit compared to Coles which only takes only 5%. The company also manages tactful strategies designed to protect those margins, e.g. Lowest Price Guarantee. This tactic of offering to beat any advertised price discourages other hardware stores from competing because they know Bunnings will dominate them.
Their appearance is also cleverly thought out, e.g. the fact that their brochures are often hand-drawn and that their TV spots are manned by their own staff all give the appearance that the company doesn’t make too much money. Quite the contrary, the company earns over $1 billion per year in profit that continues to grow annually and their CEO gets paid a cool $1.5 million salary plus some little added extras that equate to roughly $4.8 million per year. If you don’t believe me, why did their gross turnover increase by 21% last year alone?
The only thing we fear is that once Masters is completely gone, we may see Bunnings take control of the market and increase prices to more expensive levels, simply because it can. The only two left standing in Bunning’s way is Mitre 10 and Home Timber, but it will take some time before they are big enough to challenge the victorious market leader.
If you want to get in on the action immediately then there are a few Masters deals you can save money on right away. We have to thank our resident deal hunter Earth for finding some of these bargains and discounted hardware items. The following deals expire on 7th September 2016.
|Drill 18v||$39 - Handyman 2 speed 18V drill||$59 – Ozito X change drill||$56 – Handyman 2 speed 18V drill|
|Circular Saw||$59 - Hitachi circular saw 1050W||$49 – XU1 circular saw 1250W||Not available|
|Workbench||$69 - Workbench with cabinet from Faulkner Industries||$89 – Romak garage workbench||Not available|
|Toolbox||$45 - Amazon galvanised tool box||$99 = Rhino checker plate tool box||$180 – galvanised steel tool box|