Woolworths Axes Bunch Program on October 27 as 80,000 Members Lose Free Samples

Woolworths will close its Bunch members-only program on October 27, eliminating free product samples for 80,000 members across Australia and New Zealand. The supermarket is consolidating customer feedback into its main app and website, moving reviews away from the standalone platform. Members who waited up to six years to join are losing access to products worth hundreds of dollars annually.

Why Woolworths is shutting Bunch down

Woolworths said it wants to put feedback where shoppers already shop. By integrating reviews directly into the supermarket’s app and checkout, the company claims feedback will reach more customers. The company also cited resource constraints, saying the standalone platform required significant time and expense to run separately from its main digital channels.

What members are losing

Bunch members received free samples of groceries and household products in exchange for honest reviews and forum participation. One Sydney shopper who joined in 2019 estimated she received about A$300 worth of freebies over seven years, including meat, nappies, laundry detergent, and ice cream. However, members noticed premium products became scarcer in recent years.

What Woolworths is offering instead

As a gesture of goodwill, Woolworths will credit special appreciation offers to members’ Everyday Rewards accounts. The company confirmed there are no changes to the main Everyday Rewards loyalty program. All reviews posted on Bunch will transfer to Woolworths’ website and app, though members will no longer receive free samples.

Market reaction and stock performance

Woolworths shares fell 1.4% to A$38.34 on the news. Meyka grades the stock B (neutral) with a 12-month forecast of A$37.22, suggesting limited upside. The company trades at a PE ratio of 41.7, well above its sector average, reflecting investor caution on valuation despite the stock climbing 33.4% year-to-date.

Final Thoughts

Woolworths’ decision to close Bunch reflects a broader shift toward centralised digital feedback. While the move saves costs, it removes a perk that loyal members valued for years. With Meyka grading WOW.AX as neutral and the stock trading at elevated multiples, the closure is unlikely to move the needle on earnings but signals the company is tightening discretionary spending.

FAQs

Disclaimer:

The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.