Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Wednesday, 02 November 2016

Hello, dear reader!
Festive preparations are in full swing. Amazon kicked off the holiday countdown with the launch of Black Friday deals and across the Pacific, Alibaba is set to make US$ 20 billion on Singles Day. Discounter Lidl continues its growth in Britain, while Aldi powers ahead in Australia and Walmart overhauls its operations in Brazil. Enjoy your Wednesday bulletin and don't forget to share.


asia & Australia
Alibaba strikes more deals   The financial unit of the Chinese e-commerce giant, Ant Financial, has bought a stake in Thailand’s payment service provider Ascend Money. In the UK, the British Museum has secured a partnership with Alibaba's Tmall to sell licensed products to consumers in China from a branded online outlet. ▪
Single Day is looming   The festival to celebrate being single in China will take place on 11 November and local leader Alibaba is set to pull out all stops. US singer Katy Perry has been named global ambassador for this year’s event, where Alibaba is expected to generate US$ 20 billion. ▪
Fresh initiatives Down Under   German discounter Aldi wants a bigger share of the lucrative fresh food market in Australia and announced it will spend more than AU$ 1 billion to reach a market share of at least 15%. Meanwhile, rival Woolworths is in defence mode, disputing allegations that the practice to ask suppliers for cash was illegal. ▪
Lidl expands in England   The German discount powerhouse has opened a new GBP 55 million distribution centre, its largest warehouse so far, as it continues its aggressive expansion in the UK. Last November, Lidl announced plans to invest GBP 1.5 billion in the UK over the next three years. ▪
Asda in dire straits   It hasn't been a great week for the Walmart-owned supermarket chain. On Sunday, the company suffered a major card reader glitch in its 626 UK stores, for which it apologised. Now, an undercover BBC investigation revealed shocking levels of hygiene in its home delivery service. ▪
usa & canada
Amazon kicks off season   The Seattle-based e-commerce giant has officially launched its Black Friday Deal Store and curated holiday gift guides, along with an array of other digital services geared to attract shoppers this shopping season. Amazon will be running its Black Friday shop through 22 December. ▪
Shopping with Instagram   Amid reports that social media is increasingly influencing shoppers' path-to-purchase, photo-sharing app Instagram will start tests on a new shopping feature through which users can buy products from US-based retailers. FTI Consulting suggests that online retail sales will hit US$ 440 billion in 2017. ▪
Downsizing measures   Pennsylvania-based supermarket chain Giant Eagle, which offered buyouts to corporate employees last month, confirmed that its job-cutting plan will also include hundreds of layoffs, while department store icon Macy's announced it has sold five of its stores for US$ 46 million. ▪
Latin America & africa
Restructuring in Brazil   Walmart is relaunching its hypermarket concept in the country and will invest BRL 1 billion in rebranding. In a bid to control continuous losses, Casino’s Grupo Pao de Acucar (paywall) unit plans to convert more stores from its ‘Extra’ hypermarket to those of its ‘Assai’ banner. ▪
Brewer purchase in Mexico   Constellation Brands has announced plans that it will acquire a brewer from Grupo Modelo, in a deal worth US$ 600 million. The deal will give the US beverage multi full control of the brewery’s supply, which is expected to produce 4 million hectolitres. ▪
Choppies invests in Kenya   The Botswana-based retailer says it will invest US$ 7.6 million in its loss-making Kenyan Ukwala supermarkets, in which it acquired a 75% stake earlier this year. Choppies wants to open 12 more stores of the local subsidiary. ▪

If this newsletter was forwarded to you, subscribe here!
For questions or comments please contact us here

To advertise in Retail Update click here

RetailUpdate is a product delivered to you by