Retailers are stepping up their efforts to deliver faster - Australia's Coles teams up with Deliveroo, Migros in Switzerland collaborates with a competitor and Walmart celebrates its 1,000th pickup location. Meanwhile, their nemesis Amazon is seeking a city to build its second US headquarter. Enjoy the read and have a relaxing weekend.




Friday, 08 September 2017





Hello, dear reader,

Retailers are stepping up their efforts to deliver faster - Australia's Coles teams up with Deliveroo, Migros in Switzerland collaborates with a competitor and Walmart celebrates its 1,000th pickup location. Meanwhile, their nemesis Amazon is seeking a city to build its second US headquarter. Enjoy the read and have a relaxing weekend.




Europe


Pushing into promising markets ▪ In its latest effort to respond to rapidly changing consumer tastes, Nestlé has agreed to acquire California-based Sweet Earth Foods, a producer of vegetarian burritos and plant-based burgers. Its Anglo-Dutch rival Unilever has snapped up Pukka Herbs, a UK maker of organic tea.



Brand strategies ▪ Following successful tests last year, Carrefour Poland is moving away from its unified brand strategy and multiplying the array of grocery private labels lines not bearing its name. Auchan Russia goes into the opposite direction by phasing out its phantom brands.



Sharing resources ▪ Swiss retailer Migros has started to offer customers of e-commerce platform Brack the opportunity to get their orders delivered to Migros locations. The online electronics specialist is a direct competitor of Migros’ banner Digitec Galaxus. LZ Retailytics expects to see more of these types of collaborations in future.




USA & Canada


No sign of slowing down ▪ Amazon plans to invest over US$ 5 billion to build and operate a second headquarter in the US, which is expected to employ up to 50,000 workers. The Seattle-based company is seeking proposals. Location should be in a city of more than a million people with an international airport.



Survival plans ▪ Fashion retailer Gap will close 200 underperforming stores under its Gap and Banana Republic banners and refocus on opening 270 Old Navy and Athleta stores. Debt-ridden toy giant Toys 'R' Us is bringing in advisors to help weigh its options, which could include filing for bankruptcy protection.



Enhancing customer experience ▪ Walmart is celebrating its 1,000th grocery pickup store and the launch of the service in Seattle. Office Depot partners with start-up Elementum, which provides a real-time supply chain platform that streamlines a number of operations.




Asia & Australia


Delivery decisions ▪ Australian supermarket giant Coles is expanding its tie-up with the bicycle-based service Deliveroo to offer 30-minute home deliveries for groceries in Melbourne. Amazon's Dubai-based marketplace Souq has acquired a start-up to expand its next-day and same-day delivery.



Slimming down ▪ German sportswear maker Adidas is reportedly pondering to lay off 25% of its employees in India and has been in talks with Reliance Brands to hand over a number of its franchise business. Competitor Nike is also planning to further trim back its business activities in the South Asian subcontinent to stem losses.



Stepping up ▪ Amazon has no plans of slowing down in India. The online giant plans to open 45 offline kiosks in 20 Indian cities to bring in more sellers and also expand its existing seller base. Amazon now has as many as 225,000 vendors on its platform, selling over 160 million products.




Going public


Increasing visibility ▪ German retailer Metro has confirmed that following its split from electronics retailer Ceconomy, it will join MDAX, Germany’s second most important stock index. The move should increase its ‘visibility and importance’ in the eyes of institutional investors.



Network expansion ▪ Chinese logistics company Best, backed by Alibaba, is launching an initial public offering in the States and seeks US$ 932 million to fund an expansion of its logistics and supply chain network, develop new technology and open more convenience stores.