Masters Home Improvement
| Company type | Joint venture |
|---|---|
| Industry | Retail (hardware) |
| Founded | 2011 |
| Founder | Woolworths, Lowe's |
| Defunct | 2016-12-11 |
| Fate | Closed and assets sold |
| Headquarters | Australia |
Area served | Australia |
| Products | Hardware, whitegoods, gardening supplies, trade supplies |
| Owner | Woolworths (after reacquiring Lowe's stake) |
| Parent | Woolworths (final owner) |
Masters Home Improvement was an Australian hardware retail chain formed as a partnership between Woolworths and Lowe's. Established to compete against the dominant hardware retailer Bunnings, owned by Woolworths' rival Wesfarmers, Masters blended Lowe's retail model with features inspired by Bunnings Warehouse, especially in gardening and trade sectors.
The joint venture incurred losses exceeding $3.2 billion over seven years, leading Woolworths to withdraw from the hardware industry. By 11 December 2016, all Masters outlets had been shut down and sold. A significant contributor to the failure was inadequate product adaptation, as inventory was planned according to Northern Hemisphere seasons, which conflicted with Australia's Southern Hemisphere climate. The downfall of Masters is regarded as one of the most significant retail collapses in Australia's history, resulting in Bunnings achieving near-total dominance in the hardware market.
History
On 25 August 2009, Woolworths declared its intention to enter the Australian hardware sector through a collaboration with US-based Lowe's, targeting the establishment of 150 stores within five years. The Masters brand was officially introduced on 3 May 2011, along with the launch of its website. The brand identity was crafted by Hans Hulsbosch, a distinguished designer also responsible for branding Woolworths and Qantas. At the time of launch, construction was underway on 14 stores, with approvals granted for an additional 10 locations.
The inaugural Masters store opened its doors in Braybrook, Victoria, on 31 August 2011. Masters differentiated itself with brightly illuminated, vibrant outlets featuring polished concrete floors and prominent signage, aiming particularly to attract female customers. Innovative customer service included staff assistance buzzers and pagers provided during paint mixing. The chain also stocked non-traditional hardware items like whitegoods and incorporated McDonald's and McCafé outlets in select stores. Expansion into Queensland occurred in October 2011, followed by New South Wales in December 2011, then Western Australia and South Australia by August 2012.
Despite leadership changes and product line modifications, Masters encountered operational difficulties by 2013. In August 2014, plans to expand were curtailed. The last store opened in Penrith, New South Wales, in December 2015.
In January 2016, Woolworths revealed intentions to "either sell or wind up" Masters due to persistent financial losses and a prolonged path to profitability. To facilitate this process, Woolworths agreed to reacquire Lowe's one-third ownership stake. Following an eight-month evaluation period, it was announced on 24 August 2016 that all Masters outlets would be closed by 11 December 2016. GA Australia was appointed to handle inventory liquidation with a target gross return near $500 million.
Home Consortium—a partnership involving Aurrum Group, Spotlight Group, and Chemist Warehouse—planned to purchase the Masters property assets, which included 40 freehold operating sites, 21 freehold development sites, and 21 leasehold locations. Several properties were intended for conversion into Bunnings outlets; others were designated for redevelopment as multi-tenant commercial centers. Woolworths retained ownership of three freehold properties and assumed control of twelve leases.
Following a three-month clearance sale period, all Masters stores ceased trading on 11 December 2016.
Locations
When Masters ceased operations, it maintained 63 outlets throughout mainland Australia and the Australian Capital Territory, with no presence in Tasmania or the Northern Territory. Important store sites included:
NSW: Albion Park, Bathurst, Chullora, Coffs Harbour, Gregory Hills, Heatherbrae, Hoxton Park, Lismore, Marsden Park, Northmead, Penrith, Rouse Hill, Rutherford, St Marys, Taree, Wagga Wagga and West Gosford
Qld: Bundall, Bundamba, Cairns, Everton Park, Mackay, Morayfield, Nerang, North Lakes, Parkinson, Richlands, Robina, Rockhampton, Springfield, Tingalpa, Toowoomba and Upper Coomera
SA: Adelaide Airport and Mount Gambier
Vic: Ballarat, Box Hill, Braybrook, Burnside, Carrum Downs, Cranbourne, Dandenong, Hawthorn East, Keysborough, Knoxfield, Mornington, Northland, Oakleigh South, Pakenham, Roxburgh, South Morang, Sunbury and Williams Landing
WA: Baldivis, Bayswater, Brighton, Bibra Lake, Ellenbrook, Forrestdale, Joondalup, Landsdale and Mandurah
Furthermore, there were 21 additional sites planned across the country. These included areas such as Bennetts Green (NSW), Chirnside Park (Vic), Fairy Meadow (NSW), Kirrawee (NSW), Maroochydore (Qld), Nowra (NSW), Noarlunga (SA), and Parafield (SA), where new stores were actively being developed.