Amazon may find automation is the key to reaching breakeven in its grocery business, according to a new report. "Automation could significantly reduce labor costs, driving massive improvements to fulfillment and delivery efficiency overnight," said a Barclays report released Monday. In particular, the research note said Amazon could use "robot vans" in urban markets given the proximity of the AmazonFresh fulfillment centers and the Prime Now drop-off area. What's more, it said automation in the Fresh warehouse might be achieved using a technology similar to the Kiva robots already deployed in Amazon's traditional warehouses. (cnbc.com)Grocery stores devote more space to fresh food
Supermarkets today are picking fresh food, hot dishes and locally made items to display throughout stores, with shelf space devoted to dry goods on the decline, The Wall Street Journal reported. Three of the biggest companies that typically sell products in the center aisles of the grocery store — Mondelez International, Kraft Heinz and Kellogg — will reveal the latest impact of this shift to fresh food on financials, when they report first-quarter results this week. (cnbc.com) US: Hannaford supermarkets face produce shortage
A warehouse fire that destroyed a tractor trailer has caused a shortage of produce for the Maine supermarket chain. The Press Herald reports that a fire at a Hannaford supermarket distribution center in South Portland destroyed one of the market's refrigerated tractor-trailers on Wednesday. Company spokesman Eric Bloom says there have been delays with fresh items and low inventories in stores. (mcall.com) US: Target slashes CEO pay package after bleak year
Target's CEO Brian Cornell took a sharp cut in compensation after the company failed to meet financial goals in a year marred by declines in sales and share price. Cornell's cash-and-stock compensation fell by nearly a third to $11.3m, according to a document filed with regulators two months after the company reported results that sent its stock tumbling to 2-1/2-year lows. Target said it missed its 2016 incentive EBIT goal of $5.74bn by $623m and fell short of its adjusted sales target of $71.62bn by $2.13bn. (cnbc.com) US: SpartanNash taps former Walmart VP to head supply chain
Tom Lee has been named SVP of supply chain at SpartanNash effective Monday, the Grand Rapids, Mich.-based distributor said. Lee, who until recently served as VP, merchandising operations for Wal-Mart Stores’ e-commerce division, will oversee SpartanNash’s supply chain, logistics, transportation and inventory management departments, and will report to Dave Staples, president and COO. (supermarketnews.com) Food Lion to invest $110m in stores
Food Lion has announced a $110m investment in its stores as part of its ongoing remodeling initiative. The chain announced it will remodel 71 stores in the greater Richmond, Va., market in 2017. Looking to make shopping easier and more affordable for its customers, the grocer said it will make a $110m investment that includes remodeling the Richmond-area stores, additional price investments throughout the year and investments in associates and the community through its hunger relief initiative. (chainstoreage.com) US: Redner's Markets names new president, CEO
Redner's Markets Inc. on Monday announced a leadership change that will elevate a third generation of the Redner family to the helm of the Berks County grocery chain, succeeding his father. (mcall.com) US: Hy-Vee plans small store for online pickups
Midwestern supermarket chain Hy-Vee Inc. is planning to build a new small-format store that would be a pick-up point for online grocery orders. Please, click here to read more at progressivegrocer.com. India: SnapBizz partners with Bigbasket
SnapBizz, a retail-technology firm, today announced its partnership with bigbasket, an online supermarket, to transform kirana stores into a technology enabled modern retail stores. With this partnership, SnapBizz and bigbasket will enable the kirana stores to automate the supply chain and inventory management processes, the two companies said in a release. (siliconindia.com) AU: Woolworths continues sales turnaround
Woolworths has continued its turnaround, with the supermarket lifting comparable food sales by 4.5% to $9.3bn in the third quarter. Sales at Woolworths' Australian food division rose 5.1% to AUD9.26bn. Adjusting for Easter, sales rose 4.5% - faster than the 0.8% rise posted by Coles. Woolworths said overall customer satisfaction had improved and items-per-basket growth remained positive at 4.7%. Average prices declined by 2.5% during the quarter, compared with 2.6% in the previous quarter, largely driven by declines in general merchandise and grocery which offset higher fruit and vegetable prices. (barrons.com / news.com.au) German Metro Group CEO: Restructuring process ‘will never be finished’
The CEO of Metro Group, Olaf Koch, has told the Financial Times that once the group’s current restructuring efforts have been completed, the company will simply move on to the next one, as part of an ongoing process. “When we say ‘we’re done, we’re finished’, then the next scheme needs to come into play,” he told the paper. “We’ll never be done.” (esmmagazine.com) NZ: Countdown sales rise
Woolworths' New Zealand supermarket chain Countdown increased sales 2.1% in the March quarter as it benefited from rising prices and its tie-up with the AA Smartfuel loyalty scheme. Sales rose to $1.59bn in the 13 weeks ended April 2 from $1.56b a year earlier, the Sydney-based company said in a statement. (nzherald.co.nz)