Supermarket Sleuths: The cost-cutting grocery trend 80 per cent of Aussies use - and experts claim it's here to stay
Aussie shoppers rarely complete their grocery shopping in a single supermarket these days, and Coles and Woolies are taking note.
Around 35 per cent of consumers actively shop at a minimum of two different supermarkets to complete their weekly grocery shopping according to the ACCC, in a trend that is being referred to as "cross shopping".
Both Coles and Woolworths referenced the trend while delivering their latest sales figures as one to watch.
80 per cent of of consumers actively shop in a minimum of two different supermarkets. Getty
Gavin Northey, Associate Professor at the Department of Marketing at Griffith University, tells nine.com.au he thinks this new "cross shopping" or "two store" strategy as he calls it, is here to stay.
"Part of the reason for this is that Australian consumers are adopting a more pragmatic mindset and shifting their behaviour to maximise their shopping value," Northey says.
Aussie shoppers are often choosing either Coles or Woolies for their main shop, based on proximity or the specials on offer that week, or in many cases, they are shopping at both.
"As a result, both Coles and Woolworths are reporting customers spending more during their first 'main' shop each week," he adds.
"Effectively, we are seeing customers with larger basket sizes in the first main shop and, consequently, Coles and Woolworths increasing their 'share of wallet' because they are having customers spend more up front in that first main shop each week."
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Shoppers Coles or Woolies for their main shop based on proximity or the specials on offer that week. Getty
Why the "two store" grocery trend works
A quick survey of the nine.com.au office confirmed this 'two store" trend is widespread.
"I go between Woolworths or Coles for the bulk of my shop depending on where the better Everyday Rewards or Flybuys deals are for points," one nine.com.au staffer said.
"I find this way I get the best bonus and more bang for my buck with shops, also depending where big things are on sale like nappies to get a good saving. I also hit up Aldi for a handful of things too."
One savvy staffer does two big shops a month, "One at Coles and one at Woolies".
"I get 10 per cent off one shop a month at each place (I have Woolies Mobile, and am a Coles Plus member), so I just spread my monthly staple shopping between the two," they said.
"I choose based on what's on special. For example, I need to buy rice this week, at Woolies the 5kg bag is half price so I'll do my big shop there.
"There are a few staples I get from Aldi (laundry powder, yoghurt, cheese, coffee, long life milk) so I usually do a shop there for those every few weeks. I used to be a Coles loyalist, would only do my shopping there.
One shopper reported alternating between Coles and Woolies to access the best deals. 9Honey
"But now that I'm shopping for a family rather than just myself – and now that everything is so expensive. I have to do a lot of research before I shop to keep my costs as low as possible."
Another nine.com.au staffer said: "I shop at Woolies for non-perishables, mainly because it's closer to me, but also because I like to collect the Everyday Rewards points.
"I get my meat from the local butcher and then get my fresh fruit and veg from Panetta Mercato."
One staffer said they go to Coles "mostly because there are more around us".
"I shop at Woolies for non perishables, mainly because it's closer to me." 9Honey
"I go to Woolies if there's a specific catalogue special I want to get from there (if I need that item now) or if I have vouchers to use from my Return and Earn drops (yes, I do that too).
"At our local Westfield the Coles is also closer to where we usually park. I've noticed in most shopping centres the Coles and Woolies are as far apart as possible, so it can be real trek going between them."
And there are still a handful of purists amongst us who shop exclusively at either Coles or Woolworths.
"Coles forever baby!" another said. "I grew up in a town that only had a Coles and a Spar so I've always shopped exclusively at Coles.
"Although sometimes I will pop into Woolies for a snack or something on my way home from work and I feel like a traitor."
Coles and Woolworths both mentioned cross shopping when announcing their recent sales results. Getty Images/iStockphoto
Easy access to prices a winner for shoppers
One habit most grocery shoppers are sticking to is checking which of the majors has the most relevant specials each week, and using this information to decide where they will complete the bulk of their grocery shopping.
Many shoppers are checking which of the majors has the most relevant specials each week Coles
"The interesting thing about digital media is it has increased price transparency between the three major supermarket chains in Australia," Northey says.
"This might be why we are seeing the growth in 'two-store' shoppers. Fuelling this over the past decade is the growth in price comparison apps.
"When you combine this access to information with the high cost of living in Australia, you can understand why Australian consumers are looking for a bargain."
Northey adds research in 2025 shows Australian consumers are "not just some of the most 'digitally engaged' shoppers on the planet, we are also the most price sensitive".
"Australian consumers are looking for a bargain." Getty
"The complicating factor is that around two thirds of customers now claim store brands as their preferred options," he explains.
"This is important because in many cases, for Coles and Woolworths those store brands return a greater net margin than premium brands.
"So if anything, increased price transparency might actually be pushing consumers to purchase the 'cheaper' store brands that actually generate more profit for the retailers."
The gap between Coles and Woolies closing
Both Coles and Woolworths mentioned cross shopping while delivering their latest sales figures at the end of October, and spoke about their investments into their loyalty programs to entice shoppers to spend more of their grocery budgets with them.
The gap between Coles and Woolies closing. Nine
They have also both expanded their range of lucrative home brands, with a Choice survey showing Aussie shopper an save up to 42 per cent by simply choosing home brands over private labels.
Woolworths still controls approximately 38 per cent of supermarket market share, according to the Australian Competition and Consumer Commission (ACCC), with Coles accounting for 29 per cent and Aldi increasing their share to approximately nine per cent.
Metcash, IGA and Drakes make up the remaining 17 per cent.
Woolworths still controls approximately 38 per cent of supermarket market share. Woolworths
Coles reported a large jump in revenue to nearly $11bn for the first quarter of the new financial year which is a 3.9 per cent lift in total group sales compared to $10.96bn in 2024.
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They also reported an increase in Flybuys active members, with an increase of 4.1 per cent, now standing at 9.9 million members.
Both Coles and Woolworths reported an increase in loyalty program members. 9Honey
Woolworths reported a 2.7 per cent sales lift to $18.5bn in that same period, up 2.7 per cent year on year.
Woolworths also saw strong loyalty program numbers, a five per cent increase in active members of their Everyday Rewards program which now stands at 10.5 million.
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