Australia's top 25 retailers

The next 12 months is likely to see Super Retail Group among the chains outpacing the other retailers on the Top 25 Retailers list in sales growth.

Those on Inside Retail's annual Top 25 rankings all share something in common: falling sales.

Inside Retail Magazine’s Top 25 Retailers list have recorded a fall in sales in 2011.

Department stores Myer and David Jones and discount department stores Target and Big W, are all running below 2010 in sales turnover after struggling in the first half of the current financial year.

Franklins, the South African owned supermarket chain that is attempting to exit Australia, Ritchies IGA, Spotlight Group and Retail Adventures, are all finding sales growth elusive in current conditions.

Inside Retail Magazine’s 2011 Top 25 Retailers list, which is compiled on a moving annual turnover basis, has effectively retained the rankings of last year.

With sales growth flat as consumers tighten their belts or, in some cases, cherry pick online retail sites, a number of retailers in the Top 25 are looking at acquisitions or mergers to boost growth. Myer has acquired specialty chain, Sass & Bide, and has flagged its interest in further strategic investments.

Just Group has also been touting its cash warchest, inviting prospective sellers to knock on the door.

Just Group has confirmed it is keen to acquire all or some of the Colorado Group, which was placed in the hands of administrators in March after struggling with high debt levels.

However, speculation is running through the retail industry that Solomon Lew, who controls Just Group through his investment company, Premier Investments, has his eyes on a bigger fish - Myer.

Lew has long had an affection for the department store chain and was formerly chairman of Coles Myer. He was also an interested party when the Myer business was jettisoned in a sale to a private equity owners who, in turn, returned Myer to the Australian Stock Exchange (ASX).
Last year, JB Hi-Fi ran a ruler over another Top 25 retailer, The Good Guys, which is on the market but finding it difficult to attract suitors because of a high asking price and its joint ownership structure with store operators.

Ritchies IGA is keen to acquire more supermarkets and is sharply monitoring the progress of the Metcash bid for Franklins, while Harvey Norman bought the Clive Peeters chain from receivers last year and will always take a look at other opportunities in the market. Bunnings is also keen to buy strategically located independent hardware businesses.
The next 12 months is likely to see Woolworths food and liquor division, the Coles food and liquor division, Bunnings Warehouse, JB Hi-Fi, Super Retail Group and Aldi as the chains outpacing the other retailers on the Inside Retail Magazine Top 25 Retailers list in sales growth.

Source: Inside Retail