Latest news with #priceguarantee
CNET
27-05-2025
- Business
- CNET
Looking for Consistent Phone Plan Pricing? Save with T-Mobile's 5-Year Guarantee
Wouldn't it be nice to have one of your monthly expenses remain stable for a while? Phone plans have seemed tumultuous recently, which is why T-Mobile's 5-year price guarantee with new Experience plans was such a surprise when it was announced earlier this year. With costs increasing on everything, and knowing that phone plans often come with strings attached, we've looked into the details of this deal so you can start saving on your next phone plan. T-Mobile's price guarantee applies to the Experience plans, but not the Essentials plans. The first tier is Experience More, which starts at $90 per month for a single line and includes Unlimited Premium data and text. It also offers 60GB of high-speed hotspot data (then unlimited at 3G speeds), Apple TV Plus, Netflix (with ads), Hulu (with ads) and is upgrade-ready every two years. If you need three lines, you'll get the third one free. This plan includes 5-year price protection and is $5 less when you sign up with AutoPay. Hey, did you know? CNET Deals texts are free, easy and save you money. Experience Beyond is the next tier, which starts at $105 per month and offers unlimited talk and text, plus 250GB of high-speed hotspot data (then unlimited at 3G speeds). Every streaming service listed above is included, as well as smartwatch and tablet lines starting at $5 per month. Beginning July 2025, Experience Beyond customers get T-Satellite service included in the plan (Experience More customers can get T-Satellite free through the end of 2025, then pay $10 a month as an add-on). Other perks include upgrade eligibility every year and 30GB of high-speed data in Mexico and Canada. T-Mobile will knock off an extra $5 per month when you sign up for AutoPay, which means you'll pay just $100. Families can sign up for two lines and get the third line free, which can save them up to 20% when switching from other carriers. A quick reminder that the 5-year price guarantee applies only to the Experience plans and doesn't apply to other T-Mobile plans. Looking for more ways to save on your phone bill but aren't sure if this deal is right for you? We've rounded up a list of the best phone plans so you can view all of your options. Why this deal matters T-Mobile's 5-year price guarantee is a great way to have a consistent phone bill that can also save you extra on data fees and subscriptions. Both eligible Experience plans are an extra $5 off when you sign up for AutoPay. With so many price increases on other basics, this is a great deal for anyone who wants to save on a recurring monthly expense.
Android Authority
16-05-2025
- Business
- Android Authority
How trustworthy are Verizon's and T-Mobile's so-called mobile price lock guarantees?
Edgar Cervantes / Android Authority Historically, T-Mobile stood out as the most consistent and affordable of the major carriers. Unfortunately, in recent years, all three major carriers, including T-Mobile, have significantly raised prices due to the pandemic and ongoing economic uncertainty. To address these increases, Verizon recently introduced a new three-year price guarantee. Not long after, T-Mobile responded with a similar promise — this time offering five years of locked-in pricing. How trustworthy are these promises in reality? I dug into the terms and conditions of both companies' recent trends to help answer this. What do Verizon and T-Mobile promise with their guarantees? Verizon promises that your plan's pricing won't change for three years, but there are important limitations to keep in mind: The guarantee only applies to your plan's talk, text, and data features. You must be on a myPlan subscription to qualify. The guarantee becomes void if you remove any lines or switch to an ineligible plan. T-Mobile's new five-year price guarantee is similar in structure, but there are a few unique terms: Like Verizon, the guarantee only applies to talk, text, and data features. You must be on one of T-Mobile's Experience plans. Adding or changing lines within the Experience lineup will not extend or reset the five-year term. The guarantee also covers tablet and watch lines if they are attached to an account with an eligible voice line. On the surface, these guarantees don't sound half bad, but the picture changes once you dig into the details. Didn't T-Mobile already offer something like this? Joe Maring / Android Authority If this sounds familiar, it's because T-Mobile introduced its first version of a price guarantee back in 2015. At the time, the company promised a lifetime price lock for customers, claiming they would never raise rates. Since then, the terms have shifted several times, and it's become clear that the original promise had quite a bit of wiggle room. Those on older legacy plans with the original Price Lock still have the best version of the deal. However, recent events have shown that T-Mobile is willing to find ways around even its previous commitments if it can. The new Experience plans now offer a five-year term, whereas newer Magenta and Go5G plans fall under the standard old Price Lock model. That version promises not to raise your base rate and includes taxes and fees. If it does raise prices for any reason, the carrier says it will cover your final month of service, though this excludes taxes, fees, and any add-ons. Here's a quick breakdown of the differences between the old and new system from T-Mobile: The original Price Lock included taxes, fees, and add-ons as part of its protection. The new version does not. The old version promised to try not to raise prices, but if they did, you'd get one month of service covered. The new guarantee removes that final-month refund clause and instead focuses on keeping base pricing stable during the five-year period. These guarantees don't really change anything and mean very little Joe Maring / Android Authority T-Mobile's T-Life app. While the five-year promise looks better than the older 'we'll pay your final month' approach, the reality is less impressive. The new guarantees no longer include protection for taxes, fees, or perks like streaming services. Previously, raising prices in any form would spark backlash, and T-Mobile was generally hesitant to go down that road. The updated terms give T-Mobile and Verizon flexibility here. They can increase the cost of perks, add new fees, or shift feature availability without breaking their guarantees. While your plan's core pricing may stay fixed, the total monthly cost could still rise due to changes in other charges. Additionally, the five-year promise is not lifetime coverage. It has a fixed expiration. Older guarantees were meant to last indefinitely as long as you stayed on the same plan. This new setup allows T-Mobile to appear generous compared to Verizon, while quietly walking back its more customer-friendly legacy policies. The new price guarantees are more about marketing than actual value. In short, the 'five years is better than three' pitch sounds great in marketing. But what's left unsaid is that the older unlimited guarantees were actually more comprehensive. Those included taxes, fees, and even streaming perks in some cases. The new plans strip most of that away. To be clear, Verizon is not blameless here either. Their three-year guarantee includes the same exclusions. The only difference is that Verizon never made long-term promises to begin with, so this doesn't feel like a step backward. T-Mobile, on the other hand, is actively moving away from what used to be a standout benefit. Both carriers now rely on less visible tactics to raise their costs. These include infrastructure fee hikes, reduced discounts on autopay, and shifting plan structures to push you toward higher tiers. Guarantees aside, this is where the real changes tend to happen. Ultimately, price locks are nice to have but not a reason for switching The biggest takeaway here is that while the price guarantees are certainly better than nothing, Verizon and T-Mobile are going out of their way to ensure it sounds like a better promise than it is. I certainly would not recommend switching to either carrier just because of the price guarantee. If keeping your monthly cost low is a major priority, the best thing you can do is stick to older legacy postpaid plans or explore prepaid options that don't have hidden fees and shifting benefits. The bottom line is this: Don't switch to Verizon or T-Mobile based on these guarantees alone. They sound good on paper, but in practice, they don't offer much protection against the Machiavellian ways your bill can still creep upward.
RNZ News
12-05-2025
- Business
- RNZ News
Bunnings boasts about its price-beating guarantee but for 9000 products in Australia there is a catch
By Angus Grigg , the Business Reporting Team's Emilia Terzon , Elise Potaka and Ben Schneiders , ABC A Citeco ladder with a sign that says" "Where you find a competitor's lower price on the same in-stock item we'll beat it by 10%." Photo: ABC Four Corners It's the Bunnings slogan everyone's heard - a promise to beat a competitor's price on the same stocked item by 10 per cent. But there's a catch to the hardware giant's famous price guarantee. While Coles and Woolworths have been under intense scrutiny, Bunnings - which has a much higher profit margin than either of them - has mostly escaped attention. With its massive reach, how Bunnings sets prices and competes matters to millions of Australians. But are customers actually getting the deal they think they are? Say you wanted to buy a ladder. A Citeco 0.9-metre, three-step Industrial platform ladder. Photo: ABC Four Corners / Nick Wiggins On TV, Bunnings advertised a Citeco 0.9-metre, three-step ladder alongside its promise: "Where you find a competitor's lower price on the same stocked item, we'll beat it by 10 per cent." In-store, a 0.9m Citeco ladder sits behind a large red sign with the same commitment: Find a competitor with the same in-stock item - 10 per cent off. But there is no competitor that stocks the Citeco 0.9m ladder. That's because Citeco is a Bunnings home brand. Not only is it manufactured for Bunnings, the hardware giant also owns the Citeco trademark. It's far from the only item. Through the trademark register and questions to Bunnings, Four Corners has found the hardware giant has more than 9000 home-brand products. In Bunnings aisles around the country, many of these home-brand products are sold alongside signs with its 10 per cent promise. Products like a Jumbuck spit roaster or a Trojan rake, a Bastion roof vent or an Eśtilo toilet - even a Bunnings bucket. If you can find these Bunnings buckets cheaper elsewhere, Bunnings says it will beat the price. Photo: ABC Four Corners You can't find these products cheaper anywhere else because they're made for Bunnings. "I think it's misleading," says John Dahlsen, a competition lawyer and former chairman of Woolworths, who now chairs his family's hardware store and building business. "The 10 per cent beat thing is illusionary," he says. Working out what is a Bunnings home brand isn't simple. Its ownership of Citeco (the brand behind the ladder) isn't clearly disclosed on the packaging, the products themselves or in-store. And on the Bunnings website they are sold like any other brands. You have to search Australia's trade mark register or read parent company Wesfarmers' annual report before Bunnings's ownership becomes apparent. Bunnings's brands include everything from Jumbuck barbecues and Craftright toolboxes to Marquee outdoor furniture, Mondella toilets and Happy Tails pet supplies. Some home brands, such as Trojan tools, even have their own website. Competition regulator, the ACCC, told Four Corners retailers were not legally required to identify home-brand products but, if an item was marketed as though it was produced by a third party, it might amount to misleading or deceptive conduct. Bunnings says it complies with all legal and regulatory requirements for product labelling. The company says it "empowers" staff to take a "common sense approach" and will price match on similar items. It makes no mention of this in the "Price policy" on its website. "We reduce prices on our exclusive products to respond to competition in the market if the similarities of the relevant product are strong," Bunnings told a Senate inquiry last year. For John Dahlsen, that's a meagre promise and one that is highly subjective. He says if a consumer was to find a similar item, which is not always easy, and then is successful in convincing a Bunnings staff member to apply the price guarantee, then the hardware giant still only has to reduce the price on one item. Matt Steen, from consumer advocacy group Choice, says Bunnings should be more transparent about how shoppers can realistically get its 10 per cent price guarantee. "Incorporation of some kind of labelling [that it is a home brand] into their packaging and products would be really useful," he says. Bunnings said it uses "a mix of owned brands and exclusive brands to differentiate our offer and give customers choice". Branding expert Camey O'Keefe says she believes the price guarantee is more about Bunnings wanting to shape customers' perceptions. "What I think it does do is add a layer of reassurance that perhaps subconsciously people are like, 'Oh, I can trust that Bunnings will offer me the best price in the market for any given product.'" Building big profits Bunnings's ability to promote itself as the cheapest has helped the hardware giant grow rapidly over the past 25 years. In 2000-01, Bunnings had 47 stores generating sales of $1.4 billion. In 2025, the Bunnings Group has 310 stores under its famed hardware brand in Australia, plus other chains such as Tool Kit Depot and Beaumont Tiles. Together, they bring in almost $19 billion in revenue a year for its parent company, ASX-listed Wesfarmers. And while the big two supermarkets, Coles and Woolworths, have been criticised for being among the most profitable in the world, their margins are dwarfed by Bunnings's. Bunnings has a profit margin of 16.8 per cent, compared to 9.9 per cent for Woolworths and 8.9 per cent for Coles. Politicians have talked tough on supermarkets. The prime minister promised to make price gouging illegal. The Coalition wanted to go even further and break up the duopoly. On Bunnings, though, Treasurer Jim Chalmers is hedging his bets. "I'm aware that people have raised concerns about Bunnings," he said. "Our primary focus is supermarkets, but we've given the ACCC the resources that they need and the ability to recommend to us a broader focus, if that's warranted." Sydney University's Clinton Free did his doctorate at Oxford University on market power. He says while there's been great attention on the supermarkets, Bunnings has flown under the radar. "Having a very trusted brand, having a CEO without an enormous public profile, it meant that it's not been subject to scrutiny in the same way that, for example, Coles and Woolworths have." Bunnings's healthy margins have led some to question just how cheap it really can be and if a lack of competition helps it control prices. Lowest prices? Bunnings's rivals claim that despite its size and buying power, the big box retailer is not much cheaper. There's no data to independently verify this claim, so Four Corners ran its own limited survey over 95 basic hardware items. It's a rough basket of goods, and by no means a complete analysis, but what we found surprised us. The difference between Bunnings and its local rivals is literally small change. When we compared: "The savings barely cover a snag. Given Bunnings's towering market share, buying power, ruthless supplier negotiations, and healthy margins, 'lowest prices are just the beginning' looks more like marketing spin than a meaningful promise," Professor Free says. But just how much "market power" Bunnings has is difficult to pin down. The company claims its market share is just 17 per cent. This figure is impossible to verify as Bunnings won't release detailed data. It's able to claim to have such a small share of the market because it says it competes against almost every major retailer in the country. Bunnings says its rivals include Coles, Woolworths, Kmart, Myer, JB Hi-Fi, Amazon, eBay, Kogan, PetStock, Petbarn and Aldi. It even lists Spotlight, which is best known for selling fabric, curtains, and craft supplies. Market-research firm IBISWorld puts the retail hardware market share of Bunnings's parent company Wesfarmers at 33 per cent, while noting it's "far and away the leading player in the hardware retailing space". John Dahlsen claims its market power is closer to 70 per cent - a figure Bunnings disputes. That would be equivalent to Coles and Woolworths combined. Dahlsen says while the Australian supermarket sector is often criticised for its lack of competition, cashed-up international players such as Costco and Aldi are at least present in the market. For the hardware sector, he says, Bunnings has no such rivals. "To be brutal, I think they [Bunnings] are a quasi-monopoly," he says. Professor Free says when one company comes to dominate a market, consumers suffer. "A company with 30 per cent market share exercises substantial market power. At 60 or 70 per cent market share, you can dictate prices, you can dominate suppliers, and you can really repel new entrants and make it very difficult for others to compete," he says. Bunnings said in a statement that it was committed to delivering low prices. "Bunnings is also committed to working with suppliers and taking a rational approach to volume and price fluctuations, in order to support suppliers and their costs," it said. "We make significant investments in training our team members and operating our business to deliver lowest prices to our customers." - ABC Four Corners investigation
News.com.au
12-05-2025
- Business
- News.com.au
‘Savings barely cover a snag': Big problem with Bunnings' lowest-price guarantee
It's the 19-word commitment every Australian know by heart: 'Where you find a competitor's lower price on the same stocked item, we'll beat it by 10 per cent.' So goes the famed slogan of Bunnings which, with its weekend sausage sizzles, dog-friendly store policy and iconic green umbrellas, has become one of the country's biggest and most beloved brands. But an investigation by the ABC's Four Corners, which will air Monday night and delves into how the hardware giant 'went from weekend destination to one of Australia's most powerful retailers', has questioned if Bunnings' lowest-price guarantee is actually too good to be true. The program pointed to the retailers' application of its promise to products from Citeco, advertised on TV and in-store. Where Citeco is concerned, though, 'we'll beat it by 10 per cent' doesn't apply, Four Corners said. 'There is no competitor that stocks (Citeco) … because Citeco is a Bunnings home brand. Not only is it manufactured for Bunnings, the hardware giant also owns the Citeco trademark.' Approximately 9000 of the 300,000 home, commercial and lifestyle products Bunnings stocks in-store and online – or 3 per cent – are own-brand. In a statement to a Bunnings spokesperson said this variation was to 'differentiate our offer and give customers choice'. 'We do not use (owned brands) to exclude operation of our lowest prices or as a reason to not apply our price guarantee,' the spokesperson said. 'Our lowest prices policy applies across like-for-like products and we reduce prices on our exclusive products where we identify a competitor's similar product which may be at a lower price.' The retailer has also published its full response to Four Corners' questions on its website. Competition lawyer and former Woolworths chairman, John Dahlsen, told Four Corners the hardware giant's 10 per cent commitment was both 'misleading' and 'illusionary'. Now chair of his own family's eponymous hardware store and building business, Mr Dahlsen, said it was not only difficult for customers to find a similar item to Bunnings's own-brand offering, but to then convince a staff member to apply the price guarantee. Even then, he said, Bunnings only has to reduce the price on one item. While Professor in Accounting, Governance and Regulation at the University of Sydney Business School, Clinton Free, told Four Corners that any savings a customer may make by shopping at Bunnings 'barely cover a snag'. 'Given Bunnings' towering market share, buying power, ruthless supplier negotiations, and healthy margins, 'lowest prices are just the beginning' looks more like marketing spin than a meaningful promise,' Professor Free said. With 310 stores across the country, as well as other retailers including Tool Kit Depot and Beaumont Tiles, the Bunnings Group rakes in almost $19 billion revenue a year for its parent company, Wesfarmers. Bunnings considers everywhere from Coles, Woolworths and Aldi to Amazon, JB Hi-Fi, Petbarn and Spotlight a rival. Critics who spoke to Four Corners suggested that while Australia's supermarket duopoly have been subject to intense scrutiny in recent years, Bunnings has flown under the radar, despite having a higher profit margin than either retailer. While Coles has a profit margin of 8.9 per cent and Woolworths of 9.9 per cent, Bunnings' is 16.8 per cent. 'Having a very trusted brand, having a CEO without an enormous public profile, it meant that it's not been subject to scrutiny in the same way that, for example, Coles and Woolworths have,' Prof Free said. Though the Australian Competition & Consumer Commission's (ACCC) 'primary focus is supermarkets', Treasurer Jim Chalmers said he was 'aware that people have raised concerns about Bunnings' and the ACCC has the resources and ability to recommend 'a broader focus, if that's warranted'. According to the ACCC, stores are not legally required to identify own-brand products, though it may amount to misleading or deceptive conduct if an item is promoted as if it was produced by a third party. Bunnings said it complies with all legal and regulatory requirements that apply to labelling its products, and that its registered trademarks are available to the public. 'We are always seeking to provide the best value and shopping experience for our customers,' the spokesperson said. 'To achieve this, Bunnings works closely with our suppliers to offer a mix of products under Bunnings owned brands and supplier-owned brands which ensures customers can access a wide range of quality products at low prices. 'It is normal practice for both retailers and large suppliers to develop and offer customers products under a range of brands. This practice is consistent with other Australian brands.' Bunnings has earned the trust of its customers, suppliers and the Australian community 'through a genuine commitment to value, service and fairness, and we don't take that trust for granted', the spokesperson said. 'We are committed to delivering the best possible value for Australian and New Zealand households, with a mix of owned and well-known brands, underpinned by our everyday lowest prices policy and a strong focus on trust, transparency and fairness. 'Our 50,000-plus team members across Australia are the heart of our business, helping us deliver meaningful contributions to the communities in which we live and operate. Last year alone saw over $60 million in community support, through tens of thousands of local initiatives, reflecting our deep commitment to the communities we serve. 'We are also a human organisation and recognise that from time to time we don't always get it right, however when we make a mistake we work hard to put it right as soon as we are made aware.'
ABC News
11-05-2025
- Business
- ABC News
Bunnings boasts about its price-beating guarantee but for 9,000 products there is a catch
It's the Bunnings slogan everyone's heard — a promise to beat a competitor's price on the same stocked item by 10 per cent. But there's a catch to the hardware giant's famous price guarantee. While Coles and Woolworths have been under intense scrutiny, Bunnings — which has a much higher profit margin than either of them — has mostly escaped attention. With its massive reach, how Bunnings sets prices and competes matters to millions of Australians. But are customers actually getting the deal they think they are? Say you wanted to buy a ladder. On TV, Bunnings advertised a Citeco 0.9-metre, three-step ladder alongside its promise: "Where you find a competitor's lower price on the same stocked item, we'll beat it by 10 per cent." In-store, a 0.9m Citeco ladder sits behind a large red sign with the same commitment: Find a competitor with the same in-stock item — 10 per cent off. But there is no competitor that stocks the Citeco 0.9m ladder. That's because Citeco is a Bunnings home brand. Not only is it manufactured for Bunnings, the hardware giant also owns the Citeco trademark. It's far from the only item. Through the trademark register and questions to Bunnings, Four Corners has found the hardware giant has more than 9,000 home-brand products. In Bunnings aisles around the country, many of these home-brand products are sold alongside signs with its 10 per cent promise. Products like: A Jumbuck spit roaster or a Trojan rake. A Bastion roof vent or an Eśtilo toilet. Even a Bunnings bucket. You can't find these products cheaper anywhere else because they're made for Bunnings. "I think it's misleading," says John Dahlsen, a competition lawyer and former chairman of Woolworths, who now chairs his family's hardware store and building business. "The 10 per cent beat thing is illusionary," he says. Working out what is a Bunnings home brand isn't simple. Its ownership of Citeco (the brand behind the ladder) isn't clearly disclosed on the packaging, the products themselves or in-store. And on the Bunnings website they are sold like any other brands. You have to search Australia's trade mark register or read parent company Wesfarmers' annual report before Bunnings's ownership becomes apparent. Bunnings's brands include everything from Jumbuck barbecues and Craftright toolboxes to Marquee outdoor furniture, Mondella toilets and Happy Tails pet supplies. Some home brands, such as Trojan tools, even have their own website. Competition regulator, the ACCC, told Four Corners retailers were not legally required to identify home-brand products but, if an item was marketed as though it was produced by a third party, it might amount to misleading or deceptive conduct. Bunnings says it complies with all legal and regulatory requirements for product labelling. The company says it "empowers" staff to take a "common sense approach" and will price match on similar items. It makes no mention of this in the "Price policy" on its website. "We reduce prices on our exclusive products to respond to competition in the market if the similarities of the relevant product are strong," Bunnings told a Senate inquiry last year. For John Dahlsen, that's a meagre promise and one that is highly subjective. He says if a consumer was to find a similar item, which is not always easy, and then is successful in convincing a Bunnings staff member to apply the price guarantee, then the hardware giant still only has to reduce the price on one item. Matt Steen, from consumer advocacy group Choice, says Bunnings should be more transparent about how shoppers can realistically get its 10 per cent price guarantee. "Incorporation of some kind of labelling [that it is a home brand] into their packaging and products would be really useful," he says. Bunnings said it uses "a mix of owned brands and exclusive brands to differentiate our offer and give customers choice". Branding expert Camey O'Keefe says she believes the price guarantee is more about Bunnings wanting to shape customers' perceptions. "What I think it does do is add a layer of reassurance that perhaps subconsciously people are like, 'Oh, I can trust that Bunnings will offer me the best price in the market for any given product.'" Bunnings's ability to promote itself as the cheapest has helped the hardware giant grow rapidly over the past 25 years. In 2000, Bunnings had 43 stores generating sales of $1.4 billion. Today, the Bunnings Group has 310 stores under its famed hardware brand in Australia, plus other chains such as Tool Kit Depot and Beaumont Tiles. Together, they bring in almost $19 billion in revenue a year for its parent company, ASX-listed Wesfarmers. And while the big two supermarkets, Coles and Woolworths, have been criticised for being among the most profitable in the world, their margins are dwarfed by Bunnings's. Bunnings has a profit margin of 16.8 per cent, compared to 9.9 per cent for Woolworths and 8.9 per cent for Coles. Politicians have talked tough on supermarkets. The prime minister promised to make price gouging illegal. The Coalition wanted to go even further and break up the duopoly. On Bunnings, though, Treasurer Jim Chalmers is hedging his bets. "I'm aware that people have raised concerns about Bunnings," he said. "Our primary focus is supermarkets, but we've given the ACCC the resources that they need and the ability to recommend to us a broader focus, if that's warranted." Sydney University's Clinton Free did his doctorate at Oxford University on market power. He says while there's been great attention on the supermarkets, Bunnings has flown under the radar. "Having a very trusted brand, having a CEO without an enormous public profile, it meant that it's not been subject to scrutiny in the same way that, for example, Coles and Woolworths have." Bunnings's healthy margins have led some to question just how cheap it really can be and if a lack of competition helps it control prices. Four Corners investigates how Bunnings has become one of Australia's most dominant and profitable retailers. Watch tonight on ABC TV and ABC iview. Bunnings's rivals claim that despite its size and buying power, the big box retailer is not much cheaper. There's no data to independently verify this claim, so Four Corners ran its own limited survey over 95 basic hardware items. It's a rough basket of goods, and by no means a complete analysis, but what we found surprised us. The difference between Bunnings and its local rivals is literally small change. When we compared: "The savings barely cover a snag. Given Bunnings's towering market share, buying power, ruthless supplier negotiations, and healthy margins, 'lowest prices are just the beginning' looks more like marketing spin than a meaningful promise," Professor Free says. But just how much "market power" Bunnings has is difficult to pin down. The company claims its market share is just 17 per cent. This figure is impossible to verify as Bunnings won't release detailed data. It's able to claim to have such a small share of the market because it says it competes against almost every major retailer in the country. Bunnings says its rivals include Coles, Woolworths, Kmart, Myer, JB Hi-Fi, Amazon, eBay, Kogan, PetStock, Petbarn and Aldi. It even lists Spotlight, which is best known for selling fabric, curtains, and craft supplies. Market-research firm IBISWorld puts the retail hardware market share of Bunnings's parent company Wesfarmers at 33 per cent, while noting it's "far and away the leading player in the hardware retailing space". John Dahlsen claims its market power is closer to 70 per cent — a figure Bunnings disputes. That would be equivalent to Coles and Woolworths combined. Dahlsen says while the Australian supermarket sector is often criticised for its lack of competition, cashed-up international players such as Costco and Aldi are at least present in the market. For the hardware sector, he says, Bunnings has no such rivals. "To be brutal, I think they [Bunnings] are a quasi-monopoly," he says. Professor Free says when one company comes to dominate a market, consumers suffer. "A company with 30 per cent market share exercises substantial market power. At 60 or 70 per cent market share, you can dictate prices, you can dominate suppliers, and you can really repel new entrants and make it very difficult for others to compete," he says. Bunnings said in a statement that it was committed to delivering low prices. "Bunnings is also committed to working with suppliers and taking a rational approach to volume and price fluctuations, in order to support suppliers and their costs," it said. "We make significant investments in training our team members and operating our business to deliver lowest prices to our customers." Watch Four Corners' full investigation, Hammered: Inside the Bunnings Machine, tonight at 8:30pm on ABC TV and ABC iview.
