How to react to changing consumer habits is featured in today's issue – Ikea is testing an urban format in central Paris, Starbucks partners with Microsoft for omnichannel offers and Tyson Food targets vegans. Finally, check out a tailor-made store for city shoppers in Minneapolis, and Apple's flagship in Washington. Enjoy the read!




Tuesday, 07 May 2019





Hello ,

How to react to changing consumer habits is featured in today's issue – Ikea is testing an urban format in central Paris, Starbucks partners with Microsoft for omnichannel offers and Tyson Food targets vegans. Finally, check out a tailor-made store for city shoppers in Minneapolis, and Apple's flagship in Washington. Enjoy the read!

ADVERTISEMENT
Banner





Europe


French test lab ▪ Ikea has opened its first store in the La Madeleine district of Paris. The innovative format is said to be a test laboratory, designed to meet changing customer habits. The Swedish retail giant plans to invest EUR 400 million in France, its third largest market, after Germany and the United States.



Solid performances ▪ Italian coffee company Illycaffè has enjoyed a 39.1% growth in net profit to EUR 18.1 million in 2018, with e-commerce as the biggest growth driver in its home market. The company has opened 37 locations last year. Swedish retailer Ica Gruppen also posted positive results, albeit only for the first quarter.



Executive appointment ▪ Nestlé has named Leanne Geale as its new executive vice-president and general counsel. Geale, who presently works at Royal Dutch Shell, will oversee the Swiss food major's legal and compliance functions and also become a member of the executive board.




The Americas


Strategic adjustments ▪ Kraft Heinz plans to restate earnings for the last three years after employee misconduct was revealed. The packaged food giant has also lost its marketing chief and is looking for a successor. Meanwhile, Canada's Hudson's Bay is reviewing options for its Lord & Taylor division, including a possible sale.



Big spender ▪ Beverage company Pepsico plans to invest USD 4 billion in Mexico in the next two years in collaboration with partner Grupo Gepp, creating around 3,000 new jobs. Part of the investment will go toward a new plant in Guanajuato, which should be operating by 2025.



Meatless offer ▪ In a bid to offer alternatives to animal protein, Tyson Foods has announced to roll out its own plant-based meat substitutes, beginning this summer. The meat and poultry giant has also delivered strong second quarter results as African swine fever reduces global pork supplies.




Asia & Africa


Changes at the top ▪ The boss of South African retailer Massmart, Guy Hayward, has resigned and will leave the supermarket group at the end of the year. The announcement came after the grocer, which plans to expand further in Africa, reported a fall in full-year earnings.



Start-up success ▪ Indian delivery newcomer Bigbasket has raised USD 150 million in a new financing round, valuing the start-up at over USD 1 billion. The company, which offers more than 20,000 products from 1,000 brands, will reportedly use the fresh capital into expanding its supply-chain network.



And the winner is ... ▪ Alibaba has claimed the top spot when it comes to the most valuable brand in China. The e-commerce powerhouse grew its brand value by 59% year-on-year to USD 141 billion, closely followed by tech major Tencent. Alibaba rival JD.com made it to rank 10.




Inspiring ideas


Store ideas ▪ Cub Foods has opened an urban format store (with pictures) in an apartment building in Minneapolis with an array of convenience offer for city dwellers. Meanwhile, Apple is looking forward to introducing its ‘most ambitious, historic’ flagship restoration in Washington's Carnegie Library.



Getting smart ▪ Starbucks is about to introduce a range of technologies with the goal of personalized and frictionless customer experience. The coffee chain is partnering with Microsoft to streamline different aspects of ordering and picking up items, using reinforcement learning technology.