Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Thursday, 15 December 2016

Thirteen minutes after he placed his order, a customer in England received his drone-delivered purchase from US e-commerce giant Amazon. Shoprite and Steinhoff announced a planned merger into the largest retailer in Africa. In Australia, Payless Shoes follows Dick Smith, Masters and Pumpkin Patch in a series of store closures, which has led to a considerable number of job losses on the continent. Find out about these stories and more. Enjoy the read!

Asia & Australia
Lazada steels itself   South-East Asia's largest e-commerce site is bracing itself against the market entry of Amazon by rolling out a number of initiatives, including expanding its delivery network. Lazada has been one of the many acquisitions Chinese giant Alibaba made this year aiming for even greater domination. ▪
Mobile payments promoted   China's brick-and-mortar shopping festival 'Double Twelve' around 12 December saw mobile payment services luring consumers with special offers. Alibaba's Alipay reports 110 million in-store users during the three-day promotion +++ In India, digital payments increase steeply outside the metropolitan areas. ▪
Bust Payless Shoes   As the administrators failed to find a buyer for the shoe retailer, Payless Shoes has started a fire sale before the closure of the chain's 132 stores in February next year, which will see about 730 staff losing their jobs. ▪
Brexit hits   According to a survey, trade between the US and the UK will suffer severely from Brexit with nearly 40% of US firms considering moving their British office to the EU and two-thirds saying the vote is impacting investment choices. Toymaker Lego announced a 5% price hike in the UK in 2017 as a consequence of the Brexit vote.  ▪
Metro on track   As it gears up for a shareholders' meeting next February, where investors are expected to sign off the German group's planned demerger, Metro released its higher-than-expected quarterly results and full-year profit and sales figures that are in line with its expectations. Meanwhile Metro has  published that the Wholesale und Food Business will operate under the corporate brand Metro, while the Consumer Electronics division will oparate under the brand of Ceconomy. ▪
Conquering deflation   As grocery prices fell by just 0.1% to the lowest rate in more than two years, the industry in Britain seems to be edging closer to a return to inflation.  Sales for supermarkets' premium own labels have gone up in the run-up to Christmas. ▪
USA & Canada
Amazon's drone drops off   While commercial drone operations are not allowed in the US, a customer in England was the first to receive a delivery by a dron from the US e-commerce powerhouse +++  Confirming previous reports, Amazon has now launched its Prime Video streaming service globally, except China.  ▪
Doing business in Canada   Seeking approval from the Canadian competition authority to buy pharmany chain Rexall Health in a US$ 3 billion-deal, US health care company McKesson has agreed to sell 28 drugstores. US wholesaler Costco will open its first Canadian business centre in Toronto next year. ▪
Kohl's downsizes marathon   In the final run-up to Christmas, the American department store chain will be open for 107 hours straight, compared to 170 hours last year. ▪
Steinhoff and Shoprite in mega merger   The South African retail giants are in talks to merge their African operations to form a single company, called Retail Africa, worth over US$ 14 billion. Meanwhile, recent data shows an unexpected fall of retail sales in South Africa. ▪
Rescue package for Uchumi   In yet another government-backed rescue plan for the ailing Kenyan supermarket chain, the country's Treasury has lined up a KES 500 million cash bailout. ▪

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