Locals need to support independent supermarkets – Editorial
THE FACTS
- Ethan Vickery and his father, Shane, opened Kai Co in Christchurch, offering cheaper food and “fairness”.
- Kai Co competes with giants Foodstuffs and Woolworths, providing an alternative to the mainstream supermarket chains.
- The Government is aiming to improve supermarket competition with changes such as fast-tracking consents and revamping the Grocery Supply Code.
The opening of a new independent supermarket in Christchurch should be welcome news for its local community.
It will give consumers more choice, and that can only be a good thing.
Ethan Vickery and his father, Shane, opened Kai Co in Northwood’s Supa Centre last Wednesday, promising cheaper food and “fairness”.
It will operate like a traditional supermarket offering products such as meat, produce and groceries under one roof.
The Vickerys have a background in food retail and will be competing with the mainstream supermarket chains.
That must be daunting, and it’s easy to think of this as a David v Goliath-type challenge. It takes nerves of steel to set up an independent supermarket in this country.
Giants Foodstuffs and Woolworths dominate New Zealand’s supermarket sector, and that makes them immensely powerful.
However, the Vickerys don’t see themselves as taking on the big players. They see it as providing an alternative.
Kai Co follows other independent supermarkets that have opened.
In Hastings, Flaxmere Supermarket opened last April, boasting a range of goods, including frozen items and fresh produce. It aimed to offer prices “as low as possible”.
It opened after New World closed in the suburb the year before. However, it will soon face stiff competition because Woolworths is building a supermarket in Flaxmere.
Meanwhile, in Hamilton, an independent supermarket opened in Nawton in 2024 after Countdown pulled out of the area.
The owner of FIFO – Fresh In Fresh Out – believed it would be financially viable due to its independence and ability to use a variety of suppliers and cater to specific customer needs.
There are other examples of independent operations claiming a small slice of the market.
The supermarket industry remains under heavy scrutiny. The Government is taking steps to improve competition, including a focus on enforcement, regulation and structure.
Changes include fast-tracking consents and revamping the Grocery Supply Code. This code sets out rules for the conduct of regulated grocery retailers, Foodstuffs North Island, Foodstuffs South Island and Woolworths New Zealand, when dealing with grocery suppliers.
Improving competition, transparency and keeping prices as low as possible are welcome.
Consumers want the best deal, and having more choices of where to shop is important and healthy.
Independent operators, such as Kai Co, will offer people living locally an alternative.
People like championing the underdog, and these small operators deserve praise for taking a risk.
It is important that they stay competitive and offer a good shopping experience.
But it’s also important that locals support them so they can keep their doors open and keep offering people a choice.