Affluent Shoppers Flock To Kmart’s Anko

Kmart’s budget Anko label is drawing in wealthier shoppers, pushing the in-house brand into fresh territory as it battles fast-fashion platforms Temu and Shein.
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Launched in 2019 as Kmart’s own-brand range, Anko now moves more than 1 billion items a year in Australia, spanning linen, fashion and toys.

Wesfarmers, which owns Kmart, positions Anko as a value-focused alternative at a time when Chinese online giants Temu and Shein intensify discount-driven competition.

The brand sits at the centre of Kmart’s strategy to keep customers inside its ecosystem rather than losing them to offshore marketplaces, shifting Anko from a simple private label into a key competitive weapon.

Wesfarmers says higher-income customers are increasingly choosing Anko, attracted by its quality alongside low prices.

Executives point to growing trust in the durability and design of Anko products, arguing this helps the brand stand up against ultra-cheap online rivals.

The group also emphasises heavy investment in sustainability initiatives and ethical sourcing standards across the Anko range.

Those efforts aim to reassure more affluent, values-conscious shoppers that lower prices do not come at the expense of responsible production.

If Anko keeps winning over cashed-up households, Kmart could narrow the gap between discount retailers and mid-market chains.

Private-label brands are no longer confined to lower-income customer segments but can stretch into premium perception with the right mix of price, quality and ethics.

That puts extra pressure on both online marketplaces and traditional fashion players that lack comparable sustainability or value messaging.

How far Anko can push upmarket without losing its bargain edge is now the strategic question for Wesfarmers.

Sources

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