Aussie billionaire Adrian Portelli launches first supermarket as he targets Coles and Woolies
Adrian Portelli has opened his first LMCT+ supermarket in Deer Park, Melbourne, saying it aims to undercut Coles and Woolworths on key groceries. The opening drew a large crowd, and shoppers gave mixed views: some welcomed the prices, while others said not everything was cheaper.
The store uses the membership model of Portelli’s petrol station, charging an annual fee of $99. On the opening day, Weet-Bix cost $4.60 compared with $5 at Coles and Woolworths, and a dozen caged eggs cost $4.20, below the prices listed at major competitors; pork belly, however, cost more at $24.31 per kilogram. Portelli said the new business lacks the buying power of established chains and suggested prices could improve as it grows.
- Portelli opens an LMCT+ supermarket in Melbourne.
- Membership costs $99 a year.
- Some groceries are cheaper, but others cost more.
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Coles and Woolworths are Australia’s two largest supermarket chains, with stores across the country. Their scale gives them substantial buying power, while shoppers can find different prices and ranges at smaller retailers.
Adrian Portelli is an Australian businessman whose LMCT+ brand has used paid memberships for other services, including a petrol station. The supermarket brings that model to grocery shopping: customers pay an annual fee for access to its prices.
The store’s plans to compete with the major chains matter to shoppers watching grocery costs and to Australia’s supermarket sector. Its ability to offer lower prices may depend on how the business grows and what products it stocks.
Both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
A new supermarket could give shoppers another option and put pressure on Coles and Woolworths to keep prices competitive. Some opening prices were lower, and Portelli argues that a membership model and business growth could help bring further savings, particularly for regular shoppers who can make good use of the $99 annual fee.
The case against
The reported prices are mixed, so lower prices on selected goods do not establish that a typical shop will cost less overall. The membership fee may outweigh savings for some households, while a new entrant without the established chains’ buying power may struggle to offer consistently low prices.