\u201cThe Warehouse needs a big revival and to do that we\u2019ll need to make some big calls,\u201d Coulter said.<\/p>\n
\u201cAs a well-known value retailer who wants to keep prices low and invest in stores, we need to figure out what will really resonate with the 1.5 million Kiwis who already shop with us each week and for the rest of New Zealand.\u201d<\/p>\n
The Warehouse Group’s chief marketing officer Frankie Coutler is resetting the company’s advertising strategy.<\/p>\n
Coulter has more than 25 years\u2019 experience in the industry, working for well-known brands including Kellogg\u2019s, Durex, Boots and Wattie\u2019s.<\/p>\n
Before his move to The Warehouse Group, Coulter was a critical figure in turning around the marketing at Goodman Fielder, home to brands including Vogel\u2019s, Meadow Fresh, Kal\u00f3, Freya\u2019s, Nature\u2019s Fresh, Fortune Rice and Edmonds.<\/p>\n
His work at Goodman Fielder helped him win the top honours at The Marketing Awards in 2024.<\/p>\n
As Coulter explained, The Warehouse is one of the top 15 companies in the country for marketing spend, but whether it is getting value for money needs to be addressed.<\/p>\n
\u201cI approach money like it\u2019s my money. I don\u2019t like spending money unless I understand the value I\u2019m getting for that money. I do that in my personal life, and I translate that into business.<\/p>\n
\u201cI\u2019m switching it off so that I can understand where we are spending the money, because we\u2019re in an environment as a business right now where we\u2019re in survival mode. We need to grow for the future, but I don\u2019t know where to go for the future until I understand what\u2019s working and what doesn\u2019t.\u201d<\/p>\n
Coulter said a \u201cfair chunk\u201d of the company\u2019s current spend was going towards Google Advertising, but couldn\u2019t elaborate as to how the group was currently splitting its investments across advertising.<\/p>\n
He said he would rather see that spend go towards connection with the store\u2019s local communities, rather than on Google.<\/p>\n
As to how why his reset was needed, Coulter said it bluntly, \u201cThis business has lost its way, and forgotten who it is\u201d.<\/p>\n
\u201cWhat\u2019s really important, regardless of whether you\u2019re marketing products or retail experiences, is your customer. Your customer is number one. Coming to this organisation, the first thing I need to understand and then to make sure we\u2019re aligned to is what does our customer want.<\/p>\n
\u201cWe are in every region in New Zealand, and we need to make sure our offer in those stores is locally relevant. Our teams in our stores are my number one resource for information about how we\u2019re going to transform this business, because they are at the frontline.\u201d<\/p>\n
Coulter said this didn\u2019t mean the company wouldn\u2019t utilise TV, billboards, Google or other methods to advertise in future, but that the balance needed to be understood.<\/p>\n
The Warehouse is set to bring back it’s former Kiwi mascot, which was phased out during the company’s rebrand back in 2005.<\/p>\n
Part of that localisation is returning to what worked for the company in the past, and understanding what can be done to connect with the local community.<\/p>\n
Coulter plans to bring back the company\u2019s Kiwi mascot, which was phased out during the company\u2019s rebrand in 2005.<\/p>\n
He also plans to bring back kid-sized trolleys that previously existed in stores nationwide.<\/p>\n
While those changes may not be as expensive as other \u201cfancy marketing things\u201d, they connected with customers in the past and would work again, he predicted.<\/p>\n
Noel Leeming and Warehouse Stationery won\u2019t be part of the advertising pause according to Coulter, with his priority firmly set on fixing the Red Sheds.<\/p>\n
Coutler also confirmed the company would review its partnership with advertising agency TBWA and others that it works with as part of the pause.<\/p>\n
\u201cMy long-term vision is that we support local businesses. We are a local business, and we want to work with local partners that have Kiwi ideas and Kiwi humour.<\/p>\n
\u201cNow it doesn\u2019t mean to say I\u2019m only going to work with local teams. I need the best skills for the job, but my preference for sure would be local.\u201d<\/p>\n
The Warehouse Group chief executive Mark Stirton is up for the challenge of turning around the fortunes of New Zealand’s largest retailer.<\/p>\n
The decision comes after the group announced it would be cutting 270 roles from its head office, with many roles and administrative functions set to be outsourced overseas.<\/p>\n
The Warehouse Group chief executive Mark Stirton said the company\u2019s cost base was not sustainable for a value retailer.<\/p>\n
\u201cAs one of New Zealand\u2019s largest retail employers we must make these tough choices for our 10,000 team members and their families across the country and return the group to sustainable profitability,\u201d Stirton said.<\/p>\n
\u201cTogether with the non-labour cost reduction initiatives under way across the group, these changes will help strengthen profitability and allow us to deliver better value for our customers over the long term.\u201d<\/p>\n
The leaner head office structure forms one part of the cost reset programme signalled by the business in November 2025<\/a>.<\/p>\n The aim of the programme is to reduce the group\u2019s cost of doing business (codb) to below 31% of sales.<\/p>\n The Warehouse Group is set to provide a broader update on its cost reset programme as part of its 2026 half year result on March 27, 2026.<\/p>\n Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.<\/p>\n