Bunnings Flags Big Growth In Home DIY After Surprise Samsung Partnership
Bunnings Warehouse boss Mike Schneider says he is confident the DIY sector will continue to grow while travel restrictions remain in place, as the retailer moves into selling more connected home and branded products.
The hardware chain announced a dramatic change in direction with the sale of Samsung air conditioners and appliances and it seems Bunnings is now pushing a greater emphasis on the connected home.
Scheider, who is Managing Director of Bunnings, told the Australian Financial Review the home has become a haven during the pandemic and Australians are investing more money in smart products and DIY homeware.
“We have quite an optimistic outlook on what’s going on around Australia,” he said.
“People see the home as the safest place to be. We’ve all learned new skills over the last few months.”
Schneider said the shift in people moving to regional areas or seaside communities instead of cities was also driving more spending on renovation, DIY and homeware products.
Bunnings earnings rose by 13.9% to $1.85 billion in 2019/2020, despite losing $20 million in COVID-19 related cleaning and security costs and $70 million in trading restrictions.
The hardware store will now sell branded appliances from Samsung such as dishwashers, built-in cooking appliances, air purifiers and air conditioners.
Director of Merchandising & Marketing at Bunnings, Phil Bishop, said: “This partnership supports our focus on extending our product range in the kitchen category and we are thrilled to be working with Samsung to expand their home appliance range in the Australian market and to provide our customers with even more choice at the best price.
“Samsung is world renowned for their cutting-edge technology and we look forward to continuing to grow our partnership to offer our customers the latest innovations in home appliances.”
Jeremy Senior, Head of Consumer Electronics Samsung Australia, said the Bunnings partnership is a “significant development” for the Samsung brand.
“It will provide us with the opportunity to engage Australians at a different stage of their shopping journey and with a portfolio designed specifically for this environment,” he said.
“This year has been transformational in terms of how Australians live and think about technology in the home. It is critical that, as a major brand with innovation at our heart, we continue to evolve and enhance our product offering with our partners.”