Amazon has set the stage for a price war in the US as it shared its vision for Whole Foods. Price reductions are on the agenda of Danish grocer Dansk Supermarked. Walmart goes green in Brazil and analysts fear struggling retailer Sears heads in the wrong direction. Enjoy the read and have a relaxing weekend.




Friday, 25 August 2017





Hello, dear reader,

Amazon has set the stage for a price war in the US as it shared its vision for Whole Foods. Price reductions are on the agenda of Danish grocer Dansk Supermarked. Walmart goes green in Brazil and analysts fear struggling retailer Sears heads in the wrong direction. Enjoy the read and have a relaxing weekend.




USA & Canada


Affordable for everyone ▪ Amazon wastes no time making its influence at Whole Foods felt. Starting Monday, the grocer will offer lower prices on a selection of items, give special discounts to Prime subscribers and make its private labels available on Amazon's online platform. Shares at rival grocers started to tumble at the news.



Changes at top level ▪ Don Watros, head of international at retail group Hudson's Bay, has stepped down from his role and will leave the company. A successor wasn't named. Following recent reshuffles in its food and beverage units, discount giant Target has appointed Minsok Pak as its new chief strategy and innovation officer.



Sears keeps fighting ▪ The department store chain continues to struggle with weak traffic and declining sales, resulting in a loss in second-quarter results and the closure of 28 Kmart stores. Analysts suggest that the company isn't moving far and fast enough to ensure its long-term survival.




Europe


Price cuts in Denmark ▪ Dansk Supermarked, Denmark's second largest grocer, will permanently reduce prices on 2,000 everyday items for its Føtex superstore banner. LZ Retailytics wonders how competitor and market leader Coop Danmark will react to the announced price strategy



Polish ventures ▪ German discounter Aldi steps up its game in Poland, investing in marketing and increasing its offer. UK meat packer Hilton is also extending its reach in the country thanks to an agreement to supply Tesco Central Europe with fresh food. Hilton will build a factory in Poland.


ADVERTISEMENT
Banner
 


Iceland's drone debut ▪ An Israeli drone company has started commercial operations in Reykjavik. Tel Aviv-based Flytrex’s aerial devices deliver for online marketplace Aha. The goods will be dropped off at a designated landing pad at the city's bay and taken to their final destination by foot, scooter or car.




Asia & Australasia


Better together ▪ China's JD.com is in advanced talks with Thai Central Group to launch an e-commerce joint venture in Thailand. Announced at the beginning of the week, search giant Baidu has confirmed the sale of its food delivery service to Alibaba-backed Ele.me for around US$ 800 million.



Focus shifts ▪ New Zealand's largest retailer, The Warehouse Group, has realigned its online shopping division, affecting 40 jobs across the country. Kiwifruit exporter Zespri plans to continue global expansion and has licensed a production site in Europe, while kiwifruit grower Seeka improved its Australian operations.




Latin America & Africa


Sustainable goals ▪ Walmart's Brazilian unit aims to be 100% supplied from renewable energy by 2025, as electricity is currently one of the highest expenses for retailers. It's African business, Massmart, reported a small rise in half-year earnings, helped by cost cuts.



Facing headwinds ▪ South African retailer Woolworths posted its first annual profit fall since 2009, claiming a combination of a recession and political turmoil in its home country as well as tougher competition in Australia, where the company's department store chain David Jones delivered poor results.