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Brexit affects prices, just not at Tesco | Chinese like buying fruit online

Aldi extends fresh produce range in AUS

Morrisons named worst high street store
Morrisons has been named the worst shop on the British high street in a poll of more than 10,000 British shoppers. Consumer group Which? asked people to rate stores based on overall satisfaction and the likelihood of them recommending them to a friend. Morrisons ranked at 100th on the list with a score of 55 per cent. (independent.co.uk)

Aldi extends fresh produce range in AUS
Aldi, is extending the product range in its supermarkets and putting in more fresh food in an effort to gain a bigger share from rivals Woolworths and Coles. Aldi Australia CEO Tom Daunt last week gave me a tour of his new store design – around 50 stores will be upgraded this year – with a pledge that the upgrade will not lead to higher prices. This is part of the "Good Different" campaign that Aldi is now rolling out around the country. The main thing shoppers will notice is that much of the fresh produce will be packed – this allows cost in stacking shelves and wastage to be kept to a minimum. (9news.com.au)

Brexit means higher grocery bills, just not at Tesco: Chart
The Brexit-induced drop in the pound is pushing up the price of imported food in most UK supermarkets, though customers of Tesco Plc have barely noticed. Since CEO Dave Lewis joined in 2014, the UK’s largest grocer has shrunk its supplier base, enabling it to negotiate better terms by placing larger orders with those that remain. Lewis’s goal in holding prices down is to gain market share from Tesco’s main supermarket rivals while halting the hemorrhaging to discounters Aldi and Lidl. (Bloomberg)

Source: Bloomberg

China: Fresh fruit popular among online shoppers
China has seen rapid growth in the sale of fresh food over the internet, with sales expanding from about 4bn yuan ($580m) in 2012 to 91.3bn yuan in 2016. The market is expected to continue growing at an average annual rate of over 50% and to exceed 350bn yuan by 2019. Fresh food shopping websites are used mainly by people aged 26 to 35. In an internet-based survey in 2015, 24.5% of respondents said they had purchased fresh food over the internet, and 48.1% said they had not but were interested. Among other products, fresh fruit is a popular item among online shoppers. (asia.nikkei.com)

UK: Strong performance at Tesco's One Stop franchise
Tesco's convenience retailing subsidiary has reported that its growing franchise division, now with 160 stores, enjoyed outstanding performance in the 2016/17 financial year.  In particular stores trading for more than a year saw a 7% like-for-like uplift in sales, well ahead an overall grocery market that struggled to stay positive in the face of deflation over the 12 months.(igd.com)

First MyAuchan supermarket opens in Italy, focus on fresh

The first MyAuchan neighbourhood supermarket has opened in Italy, offering what the company says is a 'modern shopping experience in line with changing needs of consumers'. Fresh products are at the heart of the offer, with an extensive seasonal fruit and vegetable area, local products and ready-to-eat meals. (esmmagazine.com)

Asda stops selling loose fruit and veg
Asda has stopped selling loose fruit and veg and many customers are outraged at the prospect of having to buy their five-a-day in large multipacks. The supermarket chain has stopped selling potatoes, carrots, apples and other items loose by weight, instead selling pre-weighed packs of fruit and veg with barcodes. Twitter was in uproar this morning over the supermarket chain’s decision to switch to pre-weighed multipacks packs of fruit and vegetables. (bristolpost.co.uk)

First 'solidarity' supermarket opens in Milan
The first 'solidarity' supermarket, which offers free grocery shopping for families in financial trouble, has opened in Milan. The supermarket's offer includes fresh produce. (esmmagazine.com)

US: Sainsbury’s opens 100th store in Scotland

Commenting, Sainsbury's CEO Mike Coupe said, “We’re delighted to reach this milestone. Our business in Scotland is diverse and growing and we are continuing to innovate so we can offer our customers greater convenience, flexibility, speed and choice to shop with us whenever and wherever they want.” (esmmagazine.com)

Croatia's Agrokor says total debts amount to €5.44bn
Croatian food and retail consortium Agrokor has announced that its total debt amounts to HRK 40.41bn (€5.44bn) as of the end of March 2017. The largest segment of this debt is to to financial creditors, amounting to HRK 24.5bn, including a HRK 2.95bn debt to secured creditors such as banks. (esmmagazine.com)

Mercadona voted retailer with best reputation in Spain
Spanish retailer Mercadona has been voted the retail/distribution company with the best reputation in Spain, and the second best company overall, in the Ranking General de Empresas 2017 (General Ranking of Companies). The title was awarded based on a survey conducted by Monitor Español de Reputación Corporativa - the Spanish monitor of corporate reputation (MERCO). (esmmagazine.com)

Tesco’s £3.7bn Booker bid gets Sir Terry Leahy's blessing
Former Tesco boss Sir Terry Leahy has thrown his weight behind the supermarket’s controversial £3.7bn takeover of wholesaler Booker. Leahy said that Booker will gain some of the “world-leading” skills developed at Tesco, such as customer relationship management. “There’s good value to be created there,” he concluded. (standard.co.uk)

Philippines: Metro Retail profit rises 82% in Q1

Metro said its net income rose by 82% to P96m (US$ 5.1m) in the first quarter of 2017, from P52.8m last year. From January to March this year, MRSGI’s gross profit reached P1.597bn, P137m higher than the P1.46bn recorded during the same time last year. (businessmirror.com.ph)

US: Weis’ Q1 sales surge despite challenges
Weis Markets Inc. reported sales increases and its 12th consecutive quarter of higher comparable-store sales during quarter one of fiscal 2017. Weis enjoyed a first-quarter sales increase of 15.4% to $852.2m, compared with $738.2m in the year-ago period, while first-quarter comps, adjusting for the New Year’s and Easter holiday shift in 2017, edged up 1.1%. However, for the 13-week period ended April 1, Weis’ net income plunged 41.2% to $11.8m (progressivegrocer.com)

Publication date: 5/15/2017
Author: Jan Willem de Jongste
Copyright: www.freshplaza.com


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