Retail Update - powered by LebensmittelZeitung
Retail Update - powered by LebensmittelZeitung
Thursday, 22 December 2016

Before the upcoming holidays promise some tranquil moments, the stress level for many remains high. The demand for timely Christmas deliveries puts retailers and delivery services companies under strain, while shoppers are rummaging the shops until the last day. Uncertain future prospects keep Bellamy's and Sir Philip Green in suspense. Find out about these stories and more. Enjoy the read!

Asia & Australia
Tackling the Indian market   With the single largest capital infusion of INR 20.1 billion (US$ 296 million) into its Indian unit, Amazon is fighting for market dominance over competitor Flipkart. Mumbai-based Aditya Birla plans an aggressive expansion of its grocery and food business in India, adding at least 30-40 supermarkets next year. ▪
Thinking global   By working on the global appeal of their products and targeting overseas users, Chinese technology firms are trying to escape the crowded domestic market. British high street chain Topshop is expanding its global retail network with an aggressive expansion into mainland China beginning in 2017. Over in Africa, Tesco-operated fashion brand F&F is set to open its first store on the continent in Nairobi, Kenya. ▪
Bellamy’s woes stretch   The Australian infant formula group requested an extension in its trading suspension until mid-January as it assesses the dimensions of its sales problems in the important Chinese market. Dairy companies a2 Milk and Bega Cheese swiftly assured investors they could cope with a Bellamy’s failure. ▪
Stores premiere   Carrefour has opened a new format pilot store in Madrid, Spain (Spanish content). In Qatar, a new ‘lifestyle’ hypermarket under the Carrefour banner has been opened by the Majid Al Futtaim group. Auchan has opened its first supermarket in Corsica, and Coop Italia has opened what it is calling 'the supermarket of the future' near Milan. ▪
Deterrent fine proposed   New government proposals suggest a fine of about GBP 1 billion for British business tycoon Sir Philip Green, three times the GBP 350 million that he has reportedly been asked to contribute to the BHS retirement fund shortfall. ▪
Success in sustainability   In its annual Corporate Responsibility report, German Metro Group says it has made significant improvements in sustainability. According to Ikea's 2016 Sustainability Report FY16, which was released earlier this month, the sales from its 'sustainable life at home' products have almost trebled ▪
Africa & USA
Coca-Cola in control   The beverage giant will buy a 54.5% stake in Coca-Cola Beverages Africa, the company’s largest African bottling business, from AB InBev for US$ 3.15 billion. Eventually, Coca-Cola plans to refranchise the operations to other partners. ▪
FedEx in a tight spot   The package delivery giant not only reported lower-than-expected quarterly results but also strains to manage the holiday surge and has cut ties with several retail customers that didn’t agree with its pricing and capacity requirements for the peak holiday season. ▪
holiday trends
Timely shopping   While British grocer Sainsbury's still expects this Friday to be the busiest day of the year, it has observed that consumers began spreading the cost of their Christmas food shopping across months. A considerable number of consumers will continue shopping online and at the stores until the last minute. ▪
Delayed deliveries   Out of the 16 million UK customers who experienced delays with their deliveries over last year’s festive season, 73 % are avoiding the offending retailers this year. British retailers had to clarify issues around cut-off dates for click-and-collect services ahead of Christmas as shoppers saw themselves faced with 'chaos' ▪
Cheap and cheaper   For the sixth year in a row, shoppers in the UK are being treated to record pre-Christmas discounts - and Boxing Day deals are already up on the horizon. ▪

If this newsletter was forwarded to you, subscribe here!
For questions or comments please contact us here

To advertise in Retail Update click here

RetailUpdate is a product delivered to you by