Wesfarmers is offering free delivery for six months through a free OnePass membership trial across its retail brands including Bunnings, Kmart, Target, Officeworks, and Priceline Pharmacy. Customers must sign up by May 14 for the free OnePass membership trial. Wesfarmers is offering the free delivery initiative to help customers manage cost-of-living pressures, particularly fuel costs.
The free OnePass membership trial has no minimum spend required for free delivery on eligible orders, but is subject to postcode exclusions in some remote locations. Existing OnePass members will receive $20 off their next membership renewal. The six-month free OnePass membership includes 5x Flybuys points when shopping in-store or through Click and Collect at Bunnings Warehouse, Kmart, Target, and Officeworks. At Priceline Pharmacy, Sister Club tier members will receive 2x Sister Club points with the free OnePass membership trial.
Research from five sources indicates the war in the Middle East is upending lives and livelihoods in the region and beyond, dimming the outlook for many economies that had just shown signs of recovery. The economic shock from the Middle East conflict is global yet asymmetric, with energy importers more exposed than exporters, poorer countries more than richer ones, and those with meager buffers more than those with ample reserves. For the second time in four years, global energy markets dependent on imported fossil fuels are at the mercy of global commodity markets due to the Middle East crisis.
About 25 to 30 percent of global oil and 20 percent of liquefied natural gas pass through the Strait of Hormuz. Energy shipments from the Middle East have been at a standstill following Iran's threats to attack vessels as retaliation against US-Israeli strikes. Oil prices have at points soared to close to $120 (£90) a barrel, pushed up by strikes on shipping and energy infrastructure and the effective closure of the Strait of Hormuz.
Australia's leading retail brands have come together to launch a new customer offer as households continue to manage cost-of-living pressures.
Large energy importers in Asia and Europe are bearing the brunt of higher fuel and input costs due to the Middle East conflict. All countries face the indirect threat of higher costs driven by tighter fossil fuel markets and elevated geopolitical risk premiums, though immediate exposure varies.
China, the world's largest buyer of oil, is feeling strain from the Middle East conflict but sits in a better position than its neighbours after years of statecraft preparing for a global energy crisis. Gulf countries are a major source of oil for China, with barrels from Saudi Arabia and Iran accounting for over 10% of its imports each. Russian oil accounts for nearly a fifth of China's energy imports, making Moscow by far Beijing's biggest oil supplier, despite sanctions from the US and Europe.
Wesfarmers has weathered a tough post-war dip in consumer spending, with share prices falling from a four-month high of $89.26 in mid-February to $75.36 yesterday. Wesfarmers will temporarily suspend travel for its corporate team members.
The Australian government spent $20 million rolling out a national fuel-saving campaign urging motorists to reduce driving to ease supply issues. Australia Post has joined Qantas, Virgin Australia, and Uber in lifting prices to offset fuel costs. Businesses across Australia are scrambling to respond to the worst oil disruption since the 1970s.
This will provide more flexibility in how households shop while helping manage fuel and everyday costs.
The big four banks are holding firm against union demands to allow staff to work from home, saying their workplace policies already provide flexibility to absorb the current fuel crisis.
Prolonged escalation of the Middle East conflict could cause energy price spikes to spill over into core economic indicators like inflation, interest rates, trade balances, and GDP growth, derailing fiscal and monetary goals.
The exact duration of the Middle East conflict and its long-term economic impacts remain uncertain, as do the full extent of disruptions in the Strait of Hormuz and outages at key energy infrastructure in the Persian Gulf. It is unclear how long Wesfarmers' free delivery initiative will effectively help customers amid ongoing fuel price volatility, and the specific postcode exclusions for the offer and how many customers are affected have not been detailed. The overall effectiveness of government and business responses in mitigating the global oil shortage's impact on everyday consumers is also unknown.
Delivery fees at Wesfarmers brands generally range from $9 to $12 for a standard parcel, making the free offer a significant saving.