UK’s Sainsbury’s to supply Coles

Euronews reports that the UK Sainsbury’s supermarket group is to supply the Aussie Coles supermarket group with product.

LONDON (Reuters) – British supermarket group Sainsbury’s <SBRY.L> has struck an agreement to sell packaged groceries and household products in Australia as it seeks to grow its wholesale business, it said on Monday.

Sainsbury’s said it has agreed a wholesale partnership with Australian grocer Coles <COL.AX>.

The UK firm’s biggest wholesale deal yet will see it supply own brand products to Coles supermarkets across Australia, as well as online, from early next year.

This is an interesting move in the home brand space and while not directly related to newsagency product categories, it reflects the changing nature of home brand. This deal is on the back of others in the home brand space recently that could impact our channel.