Woolworths Limited - proposed acquisition of two Bells Liquor outlets in Albany

Market definition

The market considered by the ACCC was the market for the retail sale of liquor for off-premises consumption. The geographic scope of this market was assessed within a 3-5km radius surrounding both Bells liquor stores in York Street and Hardie Street, Albany, Western Australia.

The other relevant market considered was the Western Australian market for the wholesale supply of packaged liquor for subsequent sale in the retail market for off-premises consumption.

Competition analysis

In the local markets for the retail sale of liquor, the ACCC considered that the proposed acquisition would be unlikely to result in a substantial lessening of competition. Among other things, the ACCC took into account the existence of other competitors in the local markets which would be likely to continue to competitively constrain Woolworths post-acquisition.

With regard to the wholesale market, the ACCC considered that the proposed acquisition was unlikely to significantly affect the market share or buying power of Woolworths or the wholesaler which currently supplies the target stores.