Walmart, Amazon prove online grocery is not the future, study shows
Despite spikes in online shopping as a direct result of COVID-19 lockdowns, the fundamentals behind online grocery still make it economically unsustainable in its current form, said Kurt Jetta, founder and chief analyst of Tabs Analytics, a technology-enabled firm serving the consumer products industry. Every year since 2013, Tabs Analytics surveys 1,000 adults in August for its Annual Consumer Value Study, Food and Beverage. Based on this year’s survey, the firm finds that Walmart has outpaced Amazon to become the No. 1 online food retailer. Jetta said Walmart accounts for about 30% of online grocery transactions, and Amazon’s share is about 27%, down from 33% in 2019. Amazon has publicly challenged this assertion, noted Jetta, which he sees as further evidence of its accuracy.
US: Food Lion expanding To-Go services
Food Lion is adding additional “Food Lion To-Go” grocery pick up services at 43 new stores in Georgia, North Carolina, South Carolina and Virginia beginning August 24, 2020. This convenient service is being added just in time to make Labor Day holiday easier. Customers can use the Food Lion To-Go website or the Food Lion To-Go app to confirm availability and place orders.
US: GrubMarket releases the most comprehensive and modern software suite to digitize food supply chain industry
GrubMarket, a prominent technology and business leader in the food & technology industry, announced the general availability of WholesaleWare 2.0, the most comprehensive and modern Software-as-a-Service platform built for food industry suppliers and vendors.
Canada: Metro expands e-grocery in Quebec
Metro has launched its ninth “hub” store in Quebec, opening up delivery and click and collect to more than 73,000 households in Sherbrooke and surrounding areas. As part of the service, employees at the Metro Plus Plouffe hand pick each order and place items in one of three zones - temperate, refrigerated and frozen zone - before they are picked up or delivered. Delivery trucks are equipped with the same three zones to ensure freshness.
Russian supermarket chain MERE to arrive in Serbia soon
The Russian supermarket chain MERE is about to enter the Serbian retail market. MERE is a food discount chain and has plans to become one of the largest retail chains in the country. MERE is an affiliate of the Russian Torgservis Group, founded in 2009, which currently operates in more than 800 locations across Russia under the Svetofor brand and is the third-largest chain after X5 and Magnit. “So far, we have opened 1,500 discount supermarkets and operate in 10 countries. The time has come to expand our business to the Serbian market with at least 100 supermarkets which will span about 1,000 sq m on average. We plan to work directly with Serbian producers, implement strict quality control and our prices will be 20% lower than the average in the Serbian market”, said the Russian company’s branch in Serbia.
Australia: Metcash reaps benefits as consumers shop more locally
Metcash says sales continue to benefit from the change in consumer behaviour since the advent of Covid-19. Chairman Robert Murray said consumers have been shopping more in their local neighbourhoods since the advent of Covid-19, bringing new customers to independent Metcash businesses which the company is focusing on ensuring they are retained in the future. In a trading update released at its annual meeting, CEO Jeff Adams said total sales are up 11.4% in the first quarter of the new trading year, with supermarket sales - excluding tobacco - up by 13.8%.
Russia: X5 opens new logistics facility in Tatarstan
X5 Retail Group, a leading Russian food retailer that operates the Pyaterochka, Perekrestok, and Karusel retail chains, announces the expansion of its logistics infrastructure in the Volga region and the opening of a Pyaterochka distribution centre (DC) in the Republic of Tatarstan. With a total floor area of 18,000 sq m, the Yelabuga DC features four storage zones for fresh products, fruits and vegetables, dry goods and alcoholic beverages. Each zone has a specific temperature band that is best suited to keep relevant products fresh.
Czechia: Retailer Albert enters Uherský Brod with new supermarket
Czech retailer Albert has announced that it has opened its first supermarket in the town of Uherský Brod in the Zlín Region of the country. The store features an airy and modern design with a wide range of products, including healthy foods items and snacks, fresh juices, bakery and fruit and vegetables. It also houses the ‘Healthy with Albert’ section, which offers products for celiacs and diabetics as well as various alternatives to classic food items for people with allergies and restrictions.
China: JD teams with brands to launch an organic alliance
JD’s online supermarket JD Super has formed an organic alliance with brands trading on its platform. More than 10 companies, including domestic and international ones, have joined the alliance, including Milk Deluxe, Bellamy’s, Abbott, Anchor and Gerber. Under the alliance, JD Super and other members will work together with government bodies, channel merchants, and inspection institutes to collectively build an “organic traceability” mechanism, which records information about product life cycles, according to JD.
Carrefour strengthens position in Spain with purchase of 172 stores
Carrefour has announced a deal to acquire 172 stores under the Supersol banner in Spain, located mainly in Andalusia and the Madrid region. In a statement, the retailer said that the deal strengthens Carrefour's 'number two position in the country', enabling the group to accelerate its expansion in its growth formats. The enterprise value of the transaction is €78mln. The acquired stores posted net sales of around €450mln in 2019. The stores will be converted to three formats, Carrefour Express (convenience stores), Carrefour Market (supermarkets) and Supeco.