Retail puts on a strong front this week, with Tesco fighting losses in Poland, and Auchan re-branding. Across the Atlantic, the hidden thorn behind Amazon's wage-raises emerges, while Toys R Us visits from beyond the grave. Investments abound in the Asia-Pacific, with Walmart India making the most of Flipkart and Coca Cola buying in Australia – read more to find out.




Thursday, 04 October 2018





Hello ,

Retail puts on a strong front this week, with Tesco fighting losses in Poland, and Auchan re-branding. Across the Atlantic, the hidden thorn behind Amazon's wage-raises emerges, while Toys R Us visits from beyond the grave. Investments abound in the Asia-Pacific, with Walmart India making the most of Flipkart and Coca Cola buying in Australia – read more to find out.




Europe


Poland non-profit ▪ UK supermarket leader Tesco has seen their first half profits go up over 24% thanks to its strategic purchase of wholesaler Booker. However, its gains here have been overshadowed by under-performance in Poland and Thailand, causing shares to drop. Tesco's CEO has stated the company is focused on improving performance.



Auchan re-brands ▪ After suffering a drop in profits last month, the French conglomerate has launched a re-branding process with a video focusing on establishing a new connection with customers. This comes as part of its larger plan Vision 2025.



Leadership re-shuffles ▪ French retail giant Carrefour has named Gérard Lavinay its new executive director for Italy, who will report directly to CEO Alexandre Bompard. Over in Germany, wholesaler Lekkerland has appointed Rikus Kolster as its new managing director, effective October 1.




USA


Amazon under fire ▪ Online major Ebay has accused competitor Amazon of trying to poach sellers for its own platform through its internal messaging system. Amazon is also receiving backlash over its pay-rise plans, by cutting monthly employee bonuses and stock gifts to pay for the wage increase.



Strategic reviews ▪ Bookseller Barnes & Noble is about to explore options after several parties showed interest in buying the company. Meanwhile, luxury retailer Neiman Marcus has started talks with creditors about financing its debts as the company is facing a billion-dollar loan.



Toys ARE us ▪ The saga of iconic toy-store Toys R Us has yet to conclude. The group of lenders who took control of the US-based toy company following its dissolution this year have revealed they will be retaining rights to the brand, and will be reviving it from its remaining assets despite having sold off all physical outlets.




Asia and Australia


Healthy purchase ▪ Coca-Cola is adding another Australian drinks company to its portfolio buying a 45% stake in beverage company Made Group in a joint acquisition with local drinks distributor Coca-Cola Amatil. Made's product range includes health-drinks, cold-pressed juices and coconut water.



Growth in Asia ▪ Retail titan Walmart India looks to raise shares in its private labels by 10% with plans to sell through Flipkart, as well as increasing Best Price stores to 30 by 2019. Meanwhile, Australian homeware giant Harvey Norman intends to secure 34 new locations in Malaysia almost doubling its presence in the country.



Wuhan home ▪ Chinese electronics retailer Xiaomi has opened its largest Mi Home store to date in Wuhan and plans to have 1,000 stores by 2020. Meanwhile, Spanish fashion giant Inditex has opened its first Zara China concept store in Shanghai, featuring digital services from Alibaba's Tmall platform.




Alternative Entries


Recycled heat ▪ German discounter Lidl kills two birds with one stone this month as it announces plans to heat one of its Belgian branches by burning waste products (paywall). The innovation is made possible by local recycler and heat-plant operator Mirom who will help supply the equipment behind the project.



Future feet ▪ Another innovative move has been made as young San Francisco-based sustainable footwear specialist Allbirds opens a store in London – its first in the UK. The brand creates its environmentally-friendly shoes out of natural products including wool, sugarcane, and eucalyptus fibre. The store marks Allbirds hopes for a future in the UK.