Supermarket own-brand reviews under the spotlight
Australian supermarkets are increasingly using dedicated consumer panels to generate
feedback and online reviews for their own-brand products. Woolworths operates its
“Bunch” community, where selected members receive free products and earn points for
providing reviews. Similar programs are run by Coles through Coles Circle and IGA
through its Review Crew. The resulting reviews can then appear alongside products on
supermarket websites.
The article highlights the large difference in review numbers between some Woolworths
own-brand and established branded products. For example, Woolworths’ relatively new
Lantern Alley rice vinegar had more than 200 reviews, while Vegemite and Kellogg’s Corn
Flakes had only a handful. Woolworths says reviewers are encouraged to provide
authentic feedback and points are awarded regardless of whether a review is positive or
negative. However, the article raises questions about transparency because it may not
be obvious to shoppers that many reviewers received the product for free. ACCC
guidance says incentivised reviews should be clearly disclosed.
The practice is particularly relevant as supermarkets continue to expand private label.
Woolworths launched more than 445 new own-brand products in its latest financial year,
with own-brand sales growing 5.5%, faster than overall sales. The article suggests
consumer panels can provide valuable product feedback but argues clearer disclosure
would help shoppers understand how the reviews were generated. Fresh Produce
categories are not impacted as they do not have reviews online.