To better compete with Amazon, Walmart is turning its employees into couriers, and Tesco has successfully completed its first one-hour robot delivery in London. Unfazed, Amazon continues to bolster its distribution fleet and has launched a direct air service to China. Beat that! Enjoy the read and have a relaxing weekend.




Friday, 02 June 2017





Hello, dear reader,

To better compete with Amazon, Walmart is turning its employees into couriers, and Tesco has successfully completed its first one-hour robot delivery in London. Unfazed, Amazon continues to bolster its distribution fleet and has launched a direct air service to China. Beat that! Enjoy the read and have a relaxing weekend.

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USA & Canada


Walmart works on delivery ▪ In a bid to cut costs out of the “last mile” of distribution, the most expensive part of getting goods to customers, the retail giant is testing a programme in which store workers drop off online orders at shoppers’ homes. The company also revealed encouraging results for its blockchain technology trials.



Amazon raises the bar ▪ The online powerhouse has launched direct cargo flights from the US to Chinese transportation hub Zhengzhou. Over in the US, Amazon is expanding its fulfilment capabilities in Georgia and has been granted a patent for a parachute-dropping drone.



Popular pop-ups ▪ More than 7,000 stores are predicted to close in the US this year. As vacancies mount, more and more landlords are opening up to new retail concepts. Even exclusive, high-profile locations are starting to allow short term leases and experimental pop-up shops.




Europe


Tesco speeds up ▪ The British supermarket leader's foray into Amazon territory has been successful - Tesco has completed its first robotic delivery trial in London in partnership with Starship Technologies. The retailer is now considering rolling out the service to more locations.



Carrefour supports farmers ▪ The French retail group has entered into an agreement with regional authorities in Nouvelle Aquitaine to develop organically-grown produce. Carrefour aims to encourage collaboration with the region’s farmers to meet the increasing consumer demand for organically farmed products.


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Asda pleases suppliers ▪ Following in the footsteps of its larger rivals, the British grocer is set to reduce the payment terms to 14 days for over 1,000 small suppliers to establish an effective working relationship. The retailer has already implemented simplified terms and conditions for its supply chain.




Asia & Australia


E-mart exits China ▪ The South Korean supermarket chain will withdraw from China due to mounting losses amid souring relations between the two nations over the deployment of an anti-missile system. E-mart entered the Chinese market in 1997.



Yonghui invests in Sichuan ▪ The Chinese supermarket operator plans to build a supply chain industrial park in Sichuan's Pengzhou City to support its regional distribution and warehousing demands. The investment should also bolster the food processing business in the area.



Online disruption ▪ The pending arrival of Amazon in Australia poses the biggest threat to Wesfarmers' discount chains Kmart and Target, warns investment bank Morgan Stanley. Meanwhile, Australian e-tailer Booktopia wants to challenge the US online giant at its historical core - books.




Insider Insights


Addressing global issues ▪ The prestigious Consumer Goods Forum will hold its global summit this year in Berlin. German Retail Blog features an interview with Managing Director Peter Freedman about the trade body's progress on international issues such as food waste and climate change.



Strengthening the industry ▪ Discounters are outpacing traditional supermarkets in the US at rapid speed. They have identified what brings shoppers in and are successful, even in the face of growing competition from Amazon. Check out how their business model can benefit the food retail industry.