Woolworths pitches US$175m media in Australia

It is understood the incumbent Mitchell & Partners is involved in the review. The agency also works on Woolworths brands Dan Murphy's, BWS and Dick Smiths, while MEC handles the Big W business. Three other undisclosed agencies are also involved in the review. It is believed the buying and planning for all five brands will be consolidated with one agency as part of the review.

Woolworths is the second biggest advertiser in Australia, according to Nielsen, and spent an estimated US$175 million on advertising in 2010.

Coles and Woolworths operate in a near duopoly in the Australian supermarket category. Both have traditionally communicated value through weekly specials and catalogues that are tactical and price driven.

While Woolworths owned the positioning ‘Fresh food people’, Coles did not stand for anything.