Sobeys outlines plans for FreshCo stores in western Canada
Sobeys is set to convert 10 Safeway stores in British Columbia to support the launch of the FreshCo banner in western Canada. This will build on the launch of the concept in the spring with two stores in Manitoba. Sobeys announced last year that it would launch the FreshCo banner in the region with the conversion of two stores in Winnipeg, Manitoba. These will be closely followed by three stores in British Columbia, while another seven will open in the province later this year. Sobeys can move ahead with its plans for the discount chain having made progress with its labour negotiations which provide it with greater flexibility to manage operational costs. The BC locations extend from Chilliwack in the east to Richmond in the west, enabling the retailer to test the format in a range of demographic and ethnically-diverse locations. This will help the retailer to further refine and develop the offer, ahead of an expected larger conversion programme next year. In addition to five stores previously closed, a further five will be closed to allow construction.
Source: retailanalysis.igd.com
US: Trader Joe’s to end grocery deliveries in New York City
Trader Joe’s plans to cease grocery delivery services from its stores in Manhattan. In an e-mail statement, Trader Joe’s said its seven stores in the city will end grocery deliveries effective March 1. The Monrovia, California-based grocery chain, part of Germany-based Aldi Nord, cited cost and wide availability of other delivery services in the area as reasons for the move. “When we originally introduced delivery, we had one store on 14th Street in Manhattan, options for outside delivery services were limited and ride-sharing meant hopping into a taxi with someone else. Today, there are seven Trader Joe’s stores across Manhattan, with more on the way, and services for transporting food and people abound”, Trader Joe’s stated. “What hasn’t changed is our focus on providing our customers with the best-quality products for great, everyday prices”, the company said. “Instead of passing along unsustainable cost increases to our customers, removing delivery will allow us to continue offering outstanding values and to make better use of valuable space in our stores.”
Source: supermarketnews.com
UK: Central England Co-op to open 10 new food stores
Central England Co-op is to open more than 10 new food stores and revamp dozens more throughout 2019. New stores are planned for Stafford, Lichfield, Nottingham, Norfolk, Suffolk, Leicestershire, Cambridgeshire and Derbyshire. The new and revamped food sites will feature upgraded fixtures and fittings including the latest in energy-efficient refrigeration technologies LED lighting, free parking, cash machines, a lifesaving defibrillator and food banks. Martyn Cheatle, chief executive of Central England Co-op, said: “We are really proud of the success of our business, especially with our continued good performance in what is a highly competitive and increasingly uncertain trading environment. We want to continue with that success and this is why we are committed to an ambitious growth and investment strategy during the next 12 months.”
Source: talkingretail.com
France: Système U sees turnover up 2.3% in full-year 2018
French retailer Système U has posted a 2.3% increase in turnover in full-year 2018 to €19.94bln, its president Dominique Schelcher has revealed. Schelcher, who succeeded Serge Papin as president of the French group nine months ago, outlined the group's performance in an interview with Les Echos, in which he also stated that the group's market share is now 10.7%, a 10-basis-point gain on the previous year. In the interview, Schelcher said that Système U saw a 10% increase in online sales last year, and is investing more on "digital transformation" this year, with the rollout of a new web platform and mobile app, as well as using artificial intelligence to develop its product sheets.
Source: esmmagazine.com
China: Alibaba Group announces December quarter 2018 results
Alibaba Group Holding Limited announced its financial results for the quarter ended December 31, 2018: Revenue was RMB117,278mln (US$17,057mln), an increase of 41% year-over-year. Revenue from core commerce increased 40% year-over-year to RMB102,843mln (US$14,958mln). Revenue from cloud computing increased 84% year-over-year to RMB6,611mln (US$962mln). Revenue from digital media and entertainment increased 20% year-over-year to RMB6,491mln (US$944mln). Revenue from innovation initiatives and others increased 73% year-over-year to RMB1,333mln (US$193mln).
Source: businesswire.com
Russia: Magnit and X5 innovate in their supply chains
Magnit and X5 have been investing in a range of supply chain initiatives to boost cost efficiencies. This is crucial to both retailers as they look to protect their profit margins, so they can sustain their 1,000-plus annual store opening strategies. The retailers partnered with Artlogic, a digital solutions company, in 2018 to connect them with suppliers and transport companies through an online platform for delivery ‘pooling’ www.pooling.me. The service allows transport companies to consolidate goods from different suppliers and deliver the orders to regional distribution centres (RDC). Orders addressed to one RDC are consolidated using a special online portal. Currently the service is available in the Moscow region and Rostov-on-Don, in southwest Russia.
Source: retailanalysis.igd.com
Italy: Conad’s private label sales reach €3.5bln
Italy-based Conad saw its private label ranges generate a turnover of €3.5bln in 2018. The turnover was up 7% year-on-year and accounted for a quarter of Conad’s total sales. Conad said that its total turnover rose by 3% to €13.4bln in 2018, underlining the outperformance of its private label ranges. It also said it had a 22.4% share of the Italian grocery market at the end of 2018. CEO Francesco Pugliese said the performance was better than expected, considering the “worrying decline in consumption” in the country.
Source: retailanalysis.igd.com
Saudi Arabia: Noon launches private label range
Saudi Arabia-based, online retailer noon has launched its first private label range, called east. The launch is part of noon’s aim to offer customers “more choice, convenience and incredible value”. Noon said there are almost 90 products in the range with competitive pricing. Among these are: USB cables, battery packs, chargers, bathrobes and granite cooking sets. Noon said the range features simple, practical designs and will continue to be expanded to include popular and in-demand products. Noon said it has partnered with several trusted manufactures and supplies to ensure that the east range is made of high-quality materials using the best technology. East is currently available to customers in the UAE, but will be extended to Saudi Arabia soon.
Source: retailanalysis.igd.com
Italy: Finiper to open Unieuro shop-in-shops
Italy-based Finiper has signed a partnership agreement with electronics and house appliances distributer Unieuro. The partnership will see Finiper introduce 21 Unieuro shop-in-shops in its Iper hypermarkets. The shop-in-shops were first tested in two pilots in Solbiate Olona (Varese) and Busnago (Monza Brianza), in February 2018. Since then, an additional seven corners have been launched in Gadesco Pieve Delmona (Cremona), Montebello della Battaglia (Pavia), Monza, Grandate (Como), Lonato del Garda (Brescia), Arese and Magenta (Milan). Five more shop-in-shops are expected to be opened in March 2019, with the aim of opening 21 by the end of the year.
Source: retailanalysis.igd.com
Philippines: Puregold set to open 25 stores this year
Philippines’ retail chain Puregold will open 25 outlets this year to boost its nationwide footprint. Parent company Puregold Price Club also plans to open four more S&R Membership warehouse stores. Planned locations include Metro Manila, Southern Luzon, and outside Metro Manila. Puregold VP for investor relations John Marson Hao said the company would use proceeds from the recently-concluded P4.69bln public offering to fund the construction of the new outlets.
Source: insideretail.asia
UK: Sainsbury's-Asda deal could live with upwards of 132 store disposals: UBS
The proposed merger of Sainsbury’s and rival supermarket operator Asda would be viable even if regulators forced the group to dispose of 132 stores or more, Sainsbury’s house broker UBS said. Sainsbury’s and Asda, which is owned by Walmart, agreed the 7.3bln pound ($9.6bln) deal in April last year and it is currently being probed by Britain’s regulator, the Competition and Markets Authority (CMA). The CMA has said it will publish its preliminary findings by “early February”. Analysts at UBS said that based on disclosures from a recent Competition Appeal Tribunal (CAT) ruling, the CMA’s best estimate appears to be the week commencing February 11.
Source: uk.reuters.com
Spain retail sales rise 0.8% y/y in December
Spanish retail sales rose by 0.8% in December from a year earlier on a calendar-adjusted basis, after raising by a revised 1.1% in November, the National Statistics Institute (INE) said. The November figure was revised down from a preliminary reading of a 1.4% increase, INE said.
Source: reuters.com
Shares in South Africa's Shoprite dive after profit warning
South African retailer Shoprite looked set for its biggest fall in almost 20 years on Wednesday after it warned of a steep drop in half-year headline earnings citing foreign exchange setbacks and other factors. Shoprite in a trading statement released after the market close on Tuesday said it expects headline earnings per share (HEPS) including an adjustment for hyperinflation to fall by as much as 26% to 388.6-441.1 cents for the 26 weeks which ended on December 30.
Source: reuters.com