Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Wednesday, 14 December 2016

Season's greetings!
Japanese brewer Asahi confirmed a billion-dollar deal for AB InBev's Eastern European beer brands and Bayer's mega takeover of Monsanto is one step closer, while Johnson & Johnson backs out of buying a Swiss drug maker. Lidl gains momentum in the US, and some pharmacy stores attract bidders. These stories feature in today's issue. Feel free to share them and have a great day.

Rakuten offers mobile pay   Google has launched Android Pay in Japan this week in a tie-up with Tokyo-based e-commerce giant Rakuten. Consumers can now make payments at any of the 470,000 convenience stores, supermarkets and other establishments equipped with contactless readers. ▪
Sustainability goals   Thailand-based food company Thai Union, owner of the John West label, is investing US$ 90 million in a drive to have 100% of its branded tuna sustainably sourced. The company has also signed an agreement to eradicate labour abuse and promote fair practices. ▪
Empty malls in China   Retail conditions aren't rosy in brick-and-mortar shops in China. Foot traffic to shopping malls and restaurants declined in November amid a surge in online activity, according to data from search engine Baidu and e-commerce platform ▪
Billion-dollar negotiations   In the largest purchase of a foreign beer operation by a Japanese brewer, Tokyo-based Asahi Group will buy five eastern European beer brands from AB InBev for EUR 7.3 billion. Meanwhile, another mega deal got unstuck - Johnson & Johnson pulled out of talks to buy Swiss drug company Actelion after the price became too high. ▪
Playing by the rules   Russian retailer Dixy Group has started to revise its contracts with suppliers to meet the requirements of new legislation which favours net-price-based operations. In Italy, an obligation to include the origin of dairy products on labelling will become mandatory come 1 January 2017. ▪
Ambitious ventures   British retailer Co-op will invest GBP 15 million into its overhauled membership scheme in a bid to turn around its financial woes. German womenswear brand Oui is also set to attract UK customers. The company plans to open 10 franchise stores across Britain. ▪
usa & canada
Lidl speeds up   The German discounter has acquired more real estate in the US. This time it bought an industrial site in Philadelphia, which could be the location of its first store. Building further momentum, Lidl has started its talent search this week. The first 120-150 stores on the East Coast are expected to open at the end of 2017. ▪
Stores on offer   Supermarket operator Kroger is poised to buy some Walgreen and Rite Aid stores that the chains are selling to get their merger approved. Also interested in a number of outlets is pharmacy retailer Fred's, which reported a net loss in Q3 and plans to shut 40 of its underperforming stores. ▪
Bayer gets approval   Monsanto shareholders have given the green light to the US$ 66 billion takeover from German multinational Bayer. If regulatory approvals go ahead, the merger would combine two of the world’s largest companies involved in crop protection, crop science and seeds. ▪
in festive spirit
Jumia helps children    The leading East African e-commerce retailer will give 1% of every purchase made from its website over the "Merry Christmas" sales campaign to a Good Samaritan Children's Home. The company reported 8 million visitors to its site during the 12 days of Black Friday.  ▪
Supporting the less fortunate   Britain's Tesco has revealed its customers donated more than 2.8 million meals to people in need during its Neighbourhood Food Collection from 1 to 3 December, and in the US, Sears has partnered with Make-A-Wish Foundation and swapped discounts for donations. ▪

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