After acquiring 33 supermarkets from Haggen last year, Smart & Final still sees the opportunity for 100 more new stores in California, Dave Hirz, president and CEO of Smart & Final, told SN. “When we went public at the end of 2014, we told the Street we thought there were about 100 [potential new] locations in California,” he said. “Now after a couple of years of big growth — 20 stores in 2015, and then 33 stores last year — there are still over 100 locations available, just because we have learned we can put stores a little closer together than we thought we would need to.” (supermarketnews.com) Mercator’s market share in Slovenia drops to 30%
Slovenian retail chain Mercator has seen its market share drop in recent years from 45% to 30% in its home market, according to local daily, Delo. Mercator director Toni Balažić told the publication that the company is faced with lower profits due to its restructuring process, price pressure from competition and falling margins for the main food products. He pointed out that Mercator still has 55% Slovenian products in its assortment, while foreign competitors in Slovenia have up to 80% of imported items on their shelves. (esmmagazine.com)
Natural Grocers has launched a new advertising campaign called "Here vs. Here," which highlights the contrast between conventional farming and the methods of organic and natural food producers, according to Retail Leader. The grocer hopes that the ad blitz, which includes a series of video, billboard and print advertisements, will sway shoppers on the fence about purchasing higher quality foods. (fooddive.com)
The scale of issues in the groceries supply chain far outweighs what the supermarket watchdog is equipped to deal with, say industry experts. Although they agree the groceries code adjudicator (GCA) is doing the best possible job with what it has, a number of lawyers, accountants and farming leaders say it is only seeing the tip of the iceberg in unfair buying practices. But for every one business that fails, another two are usually rescued, said Duncan Swift, business rescue specialist for food companies at accountants, Moore Stephens. (fwi.co.uk)
Amazon has not confirmed the specifics of its Australian foray, but analysts expect it to be quicker, cheaper and easier to use than Australia’s current online grocery offerings. In a job ad for a position in Brisbane, Amazon said: “You say you want a bunch of bananas delivered to your doorstep between 8am and 9am tomorrow? We say no problem.” Amazon Fresh will be rolled out next year after the arrival of Amazon’s bricks-and-mortar warehouses in September. (weeklytimesnow.com.au)
Empire Co., the parent company of Sobeys, has reported a slight profit for its fiscal second quarter, reversing last year’s loss related to a writedown. However, on an underlying basis, results were markedly low and the group’s new CEO admitted that it had a lot of work to do. For the three months to 4 February 2017, it reported a net profit of C$30.5m, compared to a loss of C$1.37bn. However, on an underlying basis, profits fell by 58.1% to C$34.6m and revenue was down 2.3% to C$5.89bn. (kamcity.com)
Walmart is canceling its plans to build a 1.2m square foot warehouse on the Southside of Merced. The company said the retail industry has changed. Walmart first announced its plans to build the distribution center in 2005, but the city says a lawsuit filed immediately by the Merced Alliance for Responsible Growth caused the project to lose steam. (abc30.com)
Tesco Kipa has secured a 70m lira ($19.20m) loan from Rabobank. The loan agreement is in the scope of a previously signed agreement between parent company Migros and Rabobank for up to 170m lira. Through the agreement, Kipa becomes a party to the loan agreement between Migros and Robabank. The loan under the guarantee of Migros will be used for the general cash needs of Migros and Company, such as a short-term investment and operating capital, that may arise in the future. (Reuters)
Keshia Walvin, Senior Retail Analyst at grocery research organisation IGD, outlines the five key trends she expects to shape the Western European grocery market and influence retailer strategy over the next 12 months. Please, click here to read the article at esmmagazine.com.
Honestbee expands to Thailand
METRO Retail Stores Group closed 2016 with a total net income of P789m, up from P758m in 2015. The inherent strength of the business was evident throughout the fourth quarter, with sales growth rising steadily from October to December. Overall net sales for 2016 hit P34.4bn, an increase of P2.1bn over 2015 for all-stores. (sunstar.com.ph)