Franklins relaunches for supermarket fight

Sydney agency MJW Hakuhodo, which won the account last year in a pitch, launched a television, print and radio campaign for Franklins boasting the tagline: "Wow, look at us now."

South African retailer Pick 'n Pay paid around A$150 million (US$84 million) for 69 of the Franklins and Fresco stores and No Frills product range last year after the break-up of the national Franklins chain. The Fresco stores have been re-badged as Franklins. Woolworths and Coles Myer also secured a slice of the chain, with the remaining stores going to independent operators. Pick'n Pay's share is New South Wales-based with an estimated annual turnover of $900 million.

Franklins general manager marketing Eddy Odden would not put an exact figure on the spend but confirmed it was several million dollars.

Odden said the South African operator planned to open another 30 Franklins stores next year across New South Wales, Brisbane and Victoria. In the meantime, it is concentrating on improving Franklins' service and revitalising its budget image.

"Franklins is synonymous in Australia with value, with being an inexpensive place to shop, Odden said. "Obviously we'd be silly to walk away from that, but we're also adding a couple of elements to differentiate ourselves from the competition. Apart from cheaper products, we're going to have an absolute customer focus, for example, cheaper checkouts and a friendly, Franklins style."

Pick 'n Pay claims to be South Africa's largest supermarket chain. It first broke into the Australian market in 1984 with the Queensland launch of the Pick 'n Pay Hypermarket.

Coles Myer bought the chain five years ago, leaving Pick'n Pay without an Australian presence until its purchase of Franklins last year.