UK convenience group McColl's and Morrisons have signed a mega supply deal, which took the industry by surprise. Amazon has joined forces with German grocer Feneberg and Apple jumps to record high thanks to great earnings. Enjoy your Wednesday bulletin and feel free to share.




Wednesday, 02 August 2017





Hello, dear reader,

UK convenience group McColl's and Morrisons have signed a mega supply deal, which took the industry by surprise. Amazon has joined forces with German grocer Feneberg and Apple jumps to record high thanks to great earnings. Enjoy your Wednesday bulletin and feel free to share.




Europe


Landmark deal ▪ Morrisons has announced an agreement with McColl's, that will see the retailer supply select products to the convenience store chain's estate of 1,300 stores and 350 newsagents across the UK. The deal is said to be worth around GBP 1 billion and will spell trouble for wholesalers Palmer & Harvey and Nisa.



Amazon partners in Germany ▪ The American e-commerce giant has added regional grocer Feneberg to its Prime Now delivery express service in Munich. The retailer, which runs 76 supermarkets in the south of Germany as well as a grocery delivery service, expects a “steep learning curve” from the online joint venture.



Enhancing customer experience ▪ German superstore operator Kaufland is adding food courts to its Romanian stores in a bid to offer more than 'a typical hypermarket'. Over in Poland, French retail giant Carrefour is set to modernise its Biala Podlaska outlet, and in the UK, bakery chain Greggs is looking to open drive-through shops around the country.




USA & Canada


Walmart thinks ahead ▪ The Canadian unit of the big-box retailer is eliminating the pickup fee from its online grocery service as it braces for increasing competition. Over in the US, Walmart plans to open another employee training academy. This time in South Dakota.



Winners and losers ▪ Apple delivered better-than-expected third-quarter results with a net income of US$ 8.72 billion, sending its shares up, while US sports label Under Armour reported a quarterly loss and announced a restructuring programme that will affect 280 jobs globally.



Aiming high ▪ Newly formed Cardenas Markets wants to establish itself as the Hispanic market leader and plans to add between 5-10 stores per year. Meanwhile, Delhaize America's Food Lion steps up its digital engagement. and has launched a mobile shopping app for the banner to streamline the shopping experience.




Asia


Expanding overseas ▪ Amid growing competition in the domestic market, South Korea's two largest convenience store operators, GS Retail and BGF, are eyeing emerging markets. The former has joined forces with Vietnam's SonKim Group and the latter has entered a franchise contract with Iran's Entekhap Group.



Promoting cashless payment ▪ China’s two biggest mobile payment providers are in support of a cashless society. Alipay, the financial arm of Alibaba Group, is offering cash rebates for the use of its mobile app, and Tencent’s WeChat Pay offers a variety of 'cashless' specials.



Cheers without staff ▪ Singapore's largest supermarket chain, NTUC FairPrice, has opened an unstaffed, cashless store under its ‘Cheers’ banner, making it the first such outlet in the city-state. The store features vending machines. More unmanned outlets are in the planning.




Survey results


Shopping trends ▪ The most digitally savvy generation to date has a soft side for physical stores. 57% of Generation Z say they prefer to shop in-store rather than online, according to a report from CrowdTwist. In addition, click here to download the latest consumer behaviour trends across Europe, compiled by Shopper Trak.



Fear of data breaches ▪ While the number of cyber-attacks has declined in the last year, a majority of companies still feel susceptible to data threats. This is according to a study, which was based on responses from more than 1100 senior security executives, including retailers, from across the globe.