Dutch-Belgian giant Ahold Delhaize enjoyed a profit rise in the first quarter thanks to a good performance in the US, where its online service Peapod is forced to get sharper on pricing. Across the Atlantic, British grocer Morrisons beat the estimates and prompted rumours about another takeover. Enjoy the read and have a relaxing weekend!




Friday, 11 May 2018





Hello ,

Dutch-Belgian giant Ahold Delhaize enjoyed a profit rise in the first quarter thanks to a good performance in the US, where its online service Peapod is forced to get sharper on pricing. Across the Atlantic, British grocer Morrisons beat the estimates and prompted rumours about another takeover. Enjoy the read and have a relaxing weekend!




US & Canada


Fit for competition ▪ Netherlands-based retailer Ahold Delhaize, which generates nearly two-thirds of its business in America, reported a double-digit rise in net income for Q1, claiming improved US operations and e-commerce sales. As competition intensifies in the sector, AH's online unit Peapod is set to increase its prices.



More results ▪ Transformation costs take a toll on Office Depot. The Florida-based office supply retailer reported a 65% drop in first-quarter profit and said that though the results were below the previous-year period, they exceeded expectations, leading it to raise its outlook.



Chatbot care ▪ CVS Health partnered with healthcare start-up Buoy to integrate the latter's software with 1,100 MinuteClinic locations. Buoy aims to mirror the patient-doctor dialogue through artificial intelligence and to help them gain a more accurate assessment of what is wrong.




Europe


Takeover target ▪ Morrisons has beaten forecasts in its first quarter, boosted by expansion in its wholesale operations. In light of the recent consolidation in Britain, analysts are now suggesting that Amazon might be encouraged to place a bid for UK’s fourth largest grocer.



Eco matters ▪ Belgian's Colruyt has opened its first city centre supermarket under its Bio-Planet banner in Antwerp. It stocks more than 6,000 organic and ecological products. Across the Channel, Tesco has failed to hit its target to eliminate food waste, but stays determined.



Crunching numbers ▪ Spanish grocer Dia has posted a 0.2% increase in gross sales to EUR 2.27 billion in the first quarter, fuelled by its Emerging Markets division. German wholesaler Lekkerland had to endure a challenging year and posted a 1.5% decrease to EUR 12.8 billion in sales in 2017.



Outpacing discounters ▪ Domestic proximity supermarkets are the new stars in Poland. The lead banners in this segment opened more than 720 stores over the past three years, says LZ Retailytics in its latest report and wonders whether they are a remedy against discount supremacy.




Asia & Australasia


Under pressure ▪ South Korean regulators turned up the heat on tech giant Samsung over its complex ownership structure, with the country’s antitrust chief saying the arrangement for control was “not sustainable”. The group has come for criticism earlier from US activist Elliott Management.



Sourcing local ▪ US wholesaler Costco is planning to stock more Australian-made private label goods to offer its customers better value as its steadily grows its footprint of warehouses and looks to open an online offering. The company posted a 43.1% increase in e-commerce sales in the month of April.




Weekend reads


Talking mega-merger ▪ Professor Marcel Corstjens gives German Retail Blog an expert view on what could be the largest event in the history of UK retailing – the possible merger of Sainsbury's and Asda. One of his concerns is the corporate cultures of both companies, which might not be complementary.



Year of disruption ▪ US magazine Progressive Grocer has compiled the 50 most important retailers in America, giving an insight into developments of the past year and the struggles of the industry in a four-part series. Retail giant Walmart, unsurprisingly, still tops the list, its online nemesis is in 7th place.