THE customer will be the ultimate winner if the Woolworths-owned Dan Murphy’s is successful in its plans to open a liquor outlet in Orange, according to the company’s chief fine wine buyer Peter Nixon.
“Dan Murphy’s is a retailer who will match or beat the advertised price of any wine sold in other outlets,” said Mr Nixon.
However it’s this best-price policy which should concern local alcohol retailers, wholesalers and winemakers according to Kelly’s Rugby Hotel proprietor Mark Kelly.
“If Woolworths will not be beaten on price then we’re in all sorts of trouble,” he said.
“It will sell wine below cost if it has to because it can make the money up in other areas including its various food and clothing outlets.
“Anyone in the wine industry, including winemakers, who thinks that they won’t be affected by this is an absolute goose.
“I can’t understand why nobody is talking about this at a political level.”
According to Mr Kelly, people need to think about where they’re spending their money.
“More than anything this is about putting more money into Woolworths’ pockets,” he said.
“Do we really want Coles Myer and Woolworths taking 95 per cent of our retail dollars?”
According to Mr Kelly, thanks to the buying power of Dan Murphy’s 101 stores, the company can source large quantities of inexpensive wine and release it onto the Australian market.
“Dan Murphy’s will go where the market will lead them and they could end up ruining the Australian wine industry,” he said.
“If they open a store in Orange it will dramatically affect every liquor outlet; people will lose their jobs and the money they make will leave Orange.
“Once again the bush misses out.
“I’d like to call on Orange’s Federal Member John Cobb to look into this.”
According to Mr Kelly the liquor outlets in Bathurst have lost as much as 50 percent of their business as a result of Dan Murphy’s coming to the city.
While acknowledging that there has been opposition to Dan Murphy’s opening stores in other regions, Mr Nixon said the communities soon had a change of heart.
“Fears are allayed once we open,” he said.
“Most people who have a certain perception about Dan’s haven’t actually stepped into one of our stores.
“We offer price, range and service.
“We also allow winemakers to benchmark their wines against other wines and it gives their wine greater exposure throughout Australia.”
Having recently made contact with several winemakers throughout the region, Mr Nixon said if an Orange store opens it will be stocking some 25-30 local and regional wines.
The recently opened Bathurst store stocks approximately 15 wines from the Central West
Mr Nixon said it will be easier to source wines for the Orange store thanks to the number of wineries here.
“This is no fledgling region and the wineries that are here are well established,” he said.
Mr Nixon confirmed the company had already contacted several local wineries showing particular interest in wines which had wine show success.
Dan Murphy’s already stocks wines from Philip Shaw, Logan, Rolling Wines and Rosemount Orange Vineyard and is in discussion with wineries such as Angullong.
“We have always been proactive when it comes to contacting producers,” said Mr Nixon.
“In some cases we will (secure) one range just for one specific store.
“We bought some wine from a small vineyard in Victoria, Bindi, and we were only able to get enough to stock one bottle in most of our stores.
“We thought the wine was truly outstanding so we stocked it.”
Mr Nixon said while the company was looking at the Summer Centre site, negotiations were not complete.
“We do want to come to Orange.”
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