Bunnings, part of the retail empire of Wesfarmer – now owner of retailer Homebase – is planning a pilot programme of DIY warehouses for the UK before the end of the year.
Designed to grab a larger share of the UK’s £38billion DIY market, the Bunnings Warehouse pilots are part of the first phase of investment from Homebase’s new owners.
Bunnings reversed a decision to shut 260 Homebase stores in the UK and in its 2016 Strategy Briefing revealed the stores will rebrand under the Bunnings moniker. More subtle changes are being rolled out in Homebase stores, including the ‘Always Low Prices’ strapline instead of sales that ‘come and go’.
Wesfarmers bought Homebase for £340million earlier this year, completing the acquisition at the end of February. Restructuring costs have reached around £7m in FY16. Store closures by the previous owners have had an impact of around £70 million on the business.
The firm revealed more of its plans for Homebase/Bunnings UK In its 2016 Strategy Briefing: Over the next three to five years the firm will, “introduce the Bunnings branded offer”, significantly ramp up its online engagement with customers, move to a warehouse format, place a greater emphasis on low prices and service both consumers and trade customers.