Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Wednesday, 08 June 2016

Hello, dear reader!
Ikea is finally giving online a go. The Swedish furniture retailer is about to run a test in Australia ahead of its global e-commerce launch. Growing with partnerships is on the agenda of megaretailers Amazon and Alibaba, while Turkish company Yildiz separates its units to become a food giant in Britain. Irish retailer Primark beats its US competitors on price and tech giant Verizon gets serious with Yahoo.

asia & south pacific
Ikea invests in Australia   The Swedish furniture giant will test an online retail store by Christmas 2016, ahead of the launch of a global online platform within the next two years. The company is about to build a multifunctional logistics unit in Sydney for A$ 150 million. ▪
Growing with partnerships   Amazon India has partnered with e-commerce startup Storeking to reach rural areas. Alibaba signed an agreement with French pharma giant Sanofi, and Dublin-based drinks producer C&C Group teamed up with ThaiBev subsidiary InterBev in Singapore to ramp up its growth in the region. ▪
T&G sells business   The New Zealand fruit marketer, controlled by Germany's BayWa, has sold its crate hire unit to packaging manufacturer Pact Group for NZ$ 21 million as part of a deal where the two companies look to pool their resources. ▪
DHL succeeds with robots   In a bid to boost efficiency, the German logistics company has successfully completed a pilot programme using robot technology in their warehouses. The company has also launched the DHL Carbon Calculator, a tool for calculating transport-related emissions. ▪
Building a biscuit empire   Turkey's biggest food producer, Yildiz Holding, aims to become a food giant in Britain worth GBP 3.6 billion. The company is splitting its biscuit, chocolate and confectionery unit into a separate company called Pladis, which will list on the London Stock Exchange. ▪
New Look on the rise   The British fast fashion retailer defies the high-street slowdown by recording strong results due to its "seamless" multichannel offering and overseas expansion. Total revenue grew by 5.4% to GBP 1.49 billion. E-ecommerce sales rose by a weighty 27.9%. ▪
Primark beats competitors    The Irish fast-fashion chain, which opened its first US store in Boston last year, gives its rivals a run for their money as the average US retailer is more than three times as expensive as Primark. The Dublin-based company will open six more stores in the US this year. ▪
Ralph Lauren restructures   The US clothing brand is axing about 1,000 jobs and closing 50 stores as it tries to cope with sluggish consumer demand. Its new CEO, former H&M executive Stefan Larsson, wants to cut production times and focus on luxury and lower-end labels. ▪
Focus on Yahoo   US telecom company Verizon plans to submit a bid of about US$ 3 billion for Yahoo's core internet business. Meanwhile, the California-based Internet giant has hired investment bank Black Stone to sell about 3,000 of its patents. ▪
what to watch
Chinese dominate online   China has become the world’s fastest-growing market for mobile payments according to eMarketer, and the proportion of Chinese consumers to shop online is above the global average, says PricewaterhouseCoopers. ▪
Walmart remains on top   With US$ 482 billion in revenue, the US retail behemoth sells more than Apple, Amazon and Microsoft put together, and it will be a long time before anyone topples the Walmart goliath, writes Quartz. ▪
East Africa's middle class   Global retail giants and regional players are dipping into Kenya’s promising retail sector with its growing middle class customers. Local market leaders welcome competition while the market is slowly changing. ▪

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