Denmark: Irma increases availability of sustainable food, sourced locally
Danish grocery chain Irma has unveiled the first of a range of products sourced from Danish food entrepreneurs, which are now available in selected stores. The Coop-owned retailer entered into a collaboration with Greater Copenhagen Food Startup and Coop Crowd-funding back in January. According to a statement from the retailer, the aim of the collaboration is to offer customers a number of new, organic and sustainable products from urban food producers. The grocery chain also stated that sustainable, locally-sourced products are important and that it will continue supporting the emerging food entrepreneurial culture.
Source: esmmagazine.com
UK: M&S plans to close 25 Simply Food stores after profit fall
Marks & Spencer (M&S) has announced plans to close down 110 stores, including 25 Simply Food stores, following a drop in annual profits. The planned food store closures follow the closing of 10 Simply Food stores - including one franchise site - over the financial year and the opening of 24 company-owned stores and 24 franchise stores, a spokeswoman said. M&S CEO Steve Rowe said the retailer was “deep into the first phase of our transformation programme” and would continue to make progress in restoring the basics.
Source: conveniencestore.co.uk
Belarus: Eurotorg becomes first non-Russian corporate to gain Russian Credit Rating
Belarus-based retailer Eurotorg has announced that Russian ratings agency Expert RA (RAEX) has assigned the company’s expected RUB-denominated bond a rating of RuA – on its Russian ratings scale. This makes Eurotorg the first non-Russian corporate entity to be assigned a credit rating by a Russian credit ratings agency. The outlook on the rating is stable. RAEX also assigned the company an issuer rating of byA+ on its Belarusian ratings scale with a stable outlook.
Source: esmmagazine.com
UK's Co-op: new ad campaign and investment in community gyms
Co-op has announced multi-million investment to create free community gyms, as it launches a major new advertising campaign. Co-op has rolled out a new £10mln advertising campaign that brings together the marketing for its food, insurance and funeral care divisions. The campaign champions Co-op’s work in bringing investment into local communities, with the strapline “It’s what we do”. The campaign will initially be launched nationally, with more local targeting to follow. Co-op will roll out 120 out-of-home executions, with locally personalised messaging and adverts in 222 cinemas showcasing local causes in the specific areas.
Source: retailanalysis.igd.com
France: Casino owner gets protection from creditors
Rallye, the owner of French retailers like Casino and Monoprix, is granted protection from creditors. The group is in serious financial difficulties and now has at least six months to settle its debts. Holding company Rallye has a net debt of 2.9bln euros, and it now has six to eighteen months to remedy that situation. The fight will be made more difficult by the lack of transparency in group's financial structure: main shareholder and CEO Jean-Charles Naouri controls the holding through two other investment companies, Finatis and Foncière Euris.
Source: retaildetail.eu
UK: Shopping while using your mobile phone adds 41% to your supermarket bill, study finds
Using a mobile phone on a trip to the supermarket pushes up shopping bills by 41% on average, a study has found. The research, by the University of Bath, found shoppers move round stores at a lower pace when they use their phones to keep up with messages, social media or calls. They also wander along more aisles and come across extra products with each second spent on their phone equating to an estimated extra 20-40p at the checkout. Shoppers in one study added 45% more items to their basket while using a phone, while those taking part in a second study added 58% more. This is believed to be because using a phone distracts people from their planned shopping lists and so-called autopilot shop, where consumers take a routine path to their regular items. Looking at an increased amount of items may jog their memory about things they have run out of, or simply inspire them to make extra purchases.
Source: lincolnshirehighlights.com
UK: M&S profit fall shows pain of latest turnaround
Britain’s Marks & Spencer reported a 10% fall in full-year profit, a third straight decline, along with falls in quarterly underlying sales of both clothing and food, showing the pain of its latest attempt at a multi-year turnaround. M&S, one of the best known names in British retail, said it made a pretax profit before one off items of 523.2mln pounds ($664.4mln) in the year to March 31. That compared to analysts’ average forecast of 519mln pounds but was down from 580.9mln pounds made in 2017-18.
Source: reuters.com
US: Grocery industry to change look of retail real estate
The grocery industry will undergo a significant transformation over the next 10 years, and the commercial real estate sector will change as a result, according to CBRE’s new report, U.S. Food in Demand Series: Grocery. Consumer shopping habits, industry competition and e-commerce will impact the size and shape of retail real estate owners’ portfolios, as well as the physical appearance of grocery stores. CBRE makes several predictions in the report, including a positive outlook for the grocery industry. The firm foresees steady dependable growth for the next five years, even in the face of an anticipated economic downturn in late 2020. Strong grocery sales translate to stability for grocery-anchored properties. CBRE also forecasts ongoing consolidation in the grocery industry as growth becomes more reliant on scale and footprint. With the ongoing expansion of grocery e-commerce, owners with dense and expansive real estate portfolios will be better positioned to serve a greater number of households in an expeditious manner.
Source: cpexecutive.com
US: BJ's Wholesale Club digs deeper into the grocery sector
BJ’s Wholesale Club has its eye on the fresh grocery sector and is making moves to expand and improve its grocery offerings to be a competitor in the market. The news first broke after Chairman and Chief Executive Officer Christopher J. Baldwin revealed the wholesaler's plans in its first quarter fiscal 2019 results. According to a press release, additional highlights from the first quarter of 2019 included the following: Net sales for the quarter increased 2.5% to $3.1bln, compared to the first fiscal quarter in the prior year. Comparable club sales excluding gasoline sales increased 1.9% for the fiscal quarter. Income from continuing operations of $36.1mln for the fiscal quarter, compared with $14.3mln in the comparable prior year period. First quarter adjusted EBITDA of $124.1mln reflecting a 2.1% increase over the first quarter of fiscal 2018. Net income of $35.8mln, or $0.25 per diluted share, and adjusted net income of $36.7mln, or $0.26 per diluted share for the quarter.
Source: delimarketnews.com
US: Sprouts Farmers Market opens new stores in California, Arizona and New Jersey
Sprouts Farmers Market is adding to its aggressive expansion plan with several new store openings in Mesa, Arizona; San Jose, California; and Marlton, New Jersey - the first Sprouts in New Jersey! All three stores are set to open on Wednesday, June 5.
Source: delimarketnews.com
US: Tops looks forward to future growth
Since emerging from Chapter 11 bankruptcy protection last November, Tops Markets LLC has been busy “getting back up on its feet,” as CEO Frank Curci told The Buffalo News, despite facing at least $55mln in annual interest payments after its reorganization. Having put any store remodels on hold for the past couple of years, the company has now begun investing in its locations again, having recently rolled out a $40mln renovation plan. According to Curci, Tops is making up for lost time, aiming to overhaul 10 to 15 stores annually to align with its goal of revamping locations every seven years.
Source: progressivegrocer.com