For July, the DPI reports substantial growth in online grocery sales with 66% Year-over-Year (YoY). Adobe announced the release of its monthly Digital Price Index (DPI) for July, which identifies new trends in online grocery. Online grocery shopping and in-store pickup were at a record high. The share of groceries purchased online and picked up in-store rose from 18% in January 2015 to a record 45% in July 2016, whereas 55% accounted for in-home deliveries. While prices for a majority of online groceries continued to fall (0.8% YoY), prices for fruits and vegetables increased – with prices for organic produce surging at twice the rate of non-organic. (talkingnewmedia.com)Morrisons sends head office staff out to work in supermarkets
Morrisons has effectively closed its headquarters with more than 1,000 of its head office staff being dispatched to stores to help cope with demand ahead of the anticipated hot weather. The Bradford-based retailer said it expects demand for cold drinks, salads and sun cream to increase over the coming days as customers take advantage of the good weather to hold barbecues and head out on day trips. (yorkshirepost.co.uk) Walmart on a quest to be Canada's No. 1 grocer
More Canadians are turning to the big box giant for at least some of their food shopping. And that's helping U.S.-based Walmart take a big bite out of the traditional grocery store market. Walmart's share of the grocery store pie could grow even bigger, predicts Sylvain Charlebois, a professor at Dalhousie University specializing in food distribution and policy. He says the retail chain's mission is to become Canada's number 1 food retailer, a feat it has already achieved in the U.S. "Based on the pace that they currently have, it is an achievable goal." Walmart Canada's same-store sales have continually grown over the past eight quarters. According to CIBC Institutional Equity Research estimates, Costco has 10% of the Canadian food market, and Walmart has 7%. (news.yahoo.com)Tesco to focus more on private label
Tesco is set to make major changes to the layouts of its stores to give more focus to own label products and arrange stores by meal occasion, according to reports in The Grocer. The changes will be introduced at all 900 Extra, superstore and Metro stores following a successful trial at Baldock, Hertfordshire. Linked to this move, Tesco is also making major changes to the adjacencies of many categories, arranging products by meal occasion rather than by traditional categories, using new cooking zones to both inspire and simplify the shopping experience for customers. (igd.com)AU: Tops cuts losses in 2Q; deflation dings comps
Tops Group Holdings said Thursday that better gross margins helped to reduce losses during the fiscal second quarter, while same-store sales slid by 1.1% due to product price deflation. The Williamsville, N.Y.-based operator of Tops Markets said inside sales increased by 1.9% to $555m during the quarter, which ended July 16. Net sales were up 0.6% to $590m. (supermarketnews.com) Metro drives sales gains amid shift to discount
Despite an intensifying competitive environment and slowing inflation, Metro Inc. on Friday reported strong sales, comps and earnings gains in the fiscal third quarter. Eric La Fleche, CEO of the Montreal-based retailer, said shoppers during the period shifted from the retailer's conventional banners to discount, which caused slight margin pressure but little of the sales slowness facing competitors Loblaw and Sobeys. For the quarter, which ended July 2, Metro said sales increased by 4.5% to $3.1bn (U.S.), with same-store sales increasing by 3.9% and net earnings up 8% to $136.3m (U.S.). (supermarketnews.com) Kenya: Uchumi bets on state funds to stabilise
Uchumi Supermarkets has suspended indefinitely plans to raise Sh5 billion from a strategic investor, betting on the proposed injection of Sh1.2 billion from the government to continue operating. Chief executive Julius Kipng’etich said the company’s negative net worth made it difficult to get a deep-pocketed investor whose entry would have also caused a major dilution of existing shareholders. (nation.co.ke) China: E-commerce giant Alibaba's revenue soars
Alibaba saw record growth in its fiscal first-quarter 2016 as the company’s Chinese retail marketplaces Taobao and Tmall surged by 49% year-on-year to RMB 23.4bn (US$ 3.5bn) despite the economic slowdown. 75% of the revenue was from mobile. International sales increased by 123% to RMB 1.1bn (US$ 165m) and accounted for 4% of Alibaba's total revenue. (igd.com)AU: Woolworths faces dilemma on Masters property sell-off
Market watchers as well as various bidders remain in the dark about where they stand in the contest for Woolworths’ hardware assets, currently up for sale through the investment bank Citi. But what has become clear is that the supermarket giant’s boss, Brad Banducci, now has a dilemma on his hands. Two choices are facing Mr Banducci and Woolworths. One involves accepting offers for the loss-making Masters operation where it can reap a profit on the property portfolio — said to be worth hundreds of millions of dollars. But this would likely leave Woolworths in a position where it still needed to pay back onerous long-term leases. The second option involves effectively giving away the property portfolio for free, in exchange for the recipient taking the onerous leases off its hands. (theaustralian.com.au) Supervalu announces winners of Master Marketer Competition
Supervalu announced the winners of its annual Master Marketer competition, which recognizes best-in-class marketing efforts by independent grocery retailers served by the company’s wholesale distribution business. Karns Foods as named the 2016 Grand Master Marketer for overall consistent performance over the years. In recognition. (groceryheadquarters.com)Drop in supermarkets sales leads to UK plc revenues sliding
Dwindling supermarket sales have weighed heavily on the performance of UK plc, causing listed companies’ revenues to dip 2.2% to £341.7bn in the last quarter, according to new research from retail stockbroker The Share Centre. Supermarkets, which account for nearly one third of the UK's publicly listed companies, saw sales fall below £100bn for the first time since 2010, causing profits to slide as established names continue to vie with the competition from discounter stores, several of which are privately owned. Revenues across the supermarket sector fell 3.1% over the quarter to £99bn. (cityam.com)UK: Leading retailers and brands to drive change through collaboration with new retail grocery advisory board
Leading retailers and brands ASDA, Boots, Coca Cola Enterprises, Co-op Group, Dairy Crest, Kellogg’s, Mondelēz International, Morrison’s, Müller UK & Ireland, Nestlé, Ocado, PepsiCo, P&G, Sainsbury's, Tesco, Unilever and Waitrose - representing almost 80% of the UK retail grocery market - have joined GS1 UK's new retail advisory group to drive change through collaboration. Members are focusing on how to unlock value in the end-to-end value chain that will ultimately deliver benefits both for the industry and the customer. (esmmagazine.com)
