Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Tuesday, 06 December 2016

Hello, dear reader!
Amazon threatens its competitors by building a revolutionary check-out free store in Seattle. Rival Walmart doesn't stay idle and causes some ripples with its plans to test a convenience format. Portuguese retailer Sonae acquires a lifestyle restaurant chain and Britain's Tesco comes out of its dark place. Enjoy today's bulletin and feel free to share.


Expanding in the East   Coca-Cola has opened a US$ 100 million facility in the Cambodian capital of Phnom Penh, and Korean chain K-Market is in talks with Vietnamese conglomerate VinGroup to expand its network to 100 supermarkets. Currently it operates 13 stores in Vietnam. ▪
Indian developments   Bigbasket, the country's largest online supermarket, has seen a considerable growth in revenue, claiming that people become more comfortable to buy fruit and vegetables online. Mumbai-based Aditya Birla Retail enjoyed an increase in sales, too, but losses are mounting due to its debts. ▪
Arrivals and departures   Spanish-based Telepizza is one of the first European restaurant chains to enter Iran. The company plans to open 200 stores in the country, while fast food giant McDonald's has reached a deal to sell its China business for up to US$ 3 billion. It has also completed the sale of its franchise rights in Singapore and Malaysia. ▪
Sonae thinks healthy   The Portuguese retail group has bought a majority stake in Go Well, an operator of 22 healthy food restaurants across Portugal with a turnover of EUR 6.4 million in 2015. The acquisition is regarded as part of the company's strategy to foster its position as a specialist in wellbeing. ▪
Tesco shines again   After two years of turmoil, the British supermarket operator is no longer the bad guy of the industry. Recent data shows that Tesco is ahead of its rivals and has improved the relationship with its suppliers. In time for Christmas, the retailer opened a revamped Tesco Extra in Long Eaton. ▪
Done deals   Italian confectionery maker Ferrero has completed the acquisition of Belgian luxury biscuit brand Delacre and has appointed Jerome Gregoire as managing director of the latter. Nestlé Italia will invest EUR 48 million in the Buitoni factory in Benevento to make it an international hub for frozen pizza production. ▪
usa & canada
Breaking new ground   Amazon plans to open a checkout-free store, named Amazon Go, in Seattle in early 2017. It works with sensors, computer vision and deep learning. Competitor Walmart doesn't hold back and trials a convenience concept called 'Pickup and Fuel', which could become a major threat to its rivals. ▪
General Mills restructures   The Minneapolis-based multinational manufacturer of branded consumer foods will split the company into four business groups and has said it would cut as many as 600 jobs globally. Its French dairy unit, which makes Yoplait and Häagen-Dazs, will work independently. ▪
Acquisitions and investments   Arkansas-based meat producer Tyson Foods plans to invest US$ 150 million into food start-ups to solve problems around production, distribution, food waste and safety +++ Snack foods manufacturer B&G Foods has acquired premium sauce maker Victoria Fine Foods for US$ 70 million in cash. ▪
what to watch
Frozen relationship   The trademark dispute between Iceland the grocer and the country of the same name is far from over. Although the British frozen food retailer has sent a delegation to Reykjavik, the Icelandic capital, no agreement could be reached. ▪
Fakes cost billions   EUR 83 billion and 790,000 jobs are lost every year across the European Union due to counterfeiting and piracy. This was revealed by the EU Intellectual Property Office, which has analysed the effects of these activities on the economy. ▪

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