RETAIL NEWS FLASH 16th August 2013
Table of Contents Sales & Marketing ................................................................................................................. 3 Finance ............................................................................................................................... 10 Technology .......................................................................................................................... 18 Strategy .............................................................................................................................. 25
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Sales & Marketing Morrisons Launches First Back-To-School TV Ad for Nutmeg Range 14 August, 2013 | Kantar Retail IQ http://www.kantarretail.com/News/NewsDisplay.html?id=590511 Morrisons has launched its first back to school advertisement for its maiden clothing range ‘Nutmeg’ carrying the strapline ‘Back-to-School with Nutmeg, easy as 1,2,3’. •
The strapline for the TV ad promotes that all the items are priced within GBP 1 to GBP 3.
Retailer has launched its Nutmeg range in across its 100 stores in March 2013 and plans to launch sell it in 200 stores by the FY 2013 end.
Roundy's Launches New Loyalty Program 13 August, 2013 | Progressive Grocer http://www.progressivegrocer.com/top-stories/headlines/regional-supermarketchains/id39729/roundy-s-launches-new-loyalty-program/ Roundy’s Supermarkets Inc. has rolled out Fresh Perks, a new rewards program designed to save customers money every time they shop at the grocer's Wisconsin-based banners. The new program began last week at all Pick ‘n Save, Copps and Metro Market stores with a Fresh Perks Giveaway that offers more than $9 million in prizes, including one million free products. Through Oct. 9, customers will have two ways to win: by collecting tickets in-store when using a Fresh Perks card each time they shop (bonus tickets will be awarded for every $50 in purchases as well as by purchasing bonus items), and online for a chance to win daily prizes, free groceries for a year or $25,000 cash. The Fresh Perks program also allows customers to load manufacturer coupons onto their card by logging onto the store’s website and clicking the coupons they’d like to use. Coupons are automatically added to their card. Customers can sign up for a free Fresh Perks card at any customer service desk and begin loading coupons right away. “We constantly listen to our customers to determine better ways to serve them and learned that they would like a program that helps them save money every time they shop,” said Robert Mariano, Roundy's chairman, president and CEO. “Our new Fresh Perks program is designed to give customers tailor-made savings as they shop every day.”
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Founded in Milwaukee in 1872, Roundy’s operates 161 retail grocery stores and 100 pharmacies under the Pick ’n Save, Rainbow, Copps, Metro Market and Mariano’s retail banners in Wisconsin, Minnesota and Illinois.
Paperless Coupon Redemption Sees ‘Exponential Growth’ 13 August, 2013 | Progressive Grocer http://www.progressivegrocer.com/top-stories/headlines/cpgs-tradingpartners/id39730/paperless-coupon-redemption-sees-exponential-growth/ Redemption volume for digitally discovered coupons -- including Internet print-at-home coupons (PAH) as well as paperless coupons that consumers acquire online and load directly to their shopper loyalty accounts -- increased significantly in the first half of 2013 compared with the same period last year, according to research from Winston-Salem, N.C.-based Inmar. “The use of digital promotions continues to accelerate while the ease and efficiency of paper coupons remains high for both brands and value-minded consumers,” said Inmar CEO David Mounts. “The rapid growth in redemption volume we saw in the first half of 2013 for digitally delivered coupons is further indication that having the appropriate promotion mix is the best way to increase acquisitions and sales. However, only by employing detailed analytics to thoroughly understand shopper behavior can marketers determine the optimal mix and effectively influence shoppers along the path to purchase.” Redemption volume for Internet print-at-home coupons continued its steady quarter-over-quarter growth with 70.9 million redeemed in the first half of 2013, up 12.1 percent compared to last year. At the same time, exponential growth in redemption was seen among paperless, digital (“e-wallet”) coupons with a 234 percent increase in redemption volume during the first half of this year. Indeed, in just the first six months of 2013, Inmar observed more paperless digital coupons (28.5 million) than in all of 2012 (27.5 million). Although e-wallet promotions currently represent a relatively small segment of coupon activity, their continuing and accelerating growth is already having significant effect on the marketplace. The targeting and personalization capabilities inherent in these promotions are enabling marketers to effectively engage, in greater and greater numbers, shoppers who previously had not used coupons with any regularity. Among paper methods, instant redeemables experienced the greatest growth in redemption in the first half of 2013 with 191.7 million of these coupons redeemed. The increase was a continuation of this method’s impressive growth trajectory and represented a 23 percent increase over last year. Paralleling this redemption increase was an overall increase in coupon distribution. Marketers pushed out 170.4 billion offers to shoppers in the first half of this year, a 2.1 percent uptick over 2012. At the same time, however, overall coupon redemption was down 6.6 percent for the first half of the year compared to last year (1.39 billion versus 1.49 billion).
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H&M to launch Home collection in the US 9 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85382?WTrss_f=Daily%20News%20Summary&WTrs s_a=H%2526M%2Bto%2Blaunch%2BHome%2Bcollection%2Bin%2Bthe%2BUS&WTrss_ev=a H&M’s Home division will be available in the US in autumn via its online store. “The H&M Home category will deliver a wide variety of choices for the home at the best possible prices, similar to H&M’s fashion collections.” said Daniel Kulle, US President for the Swedish fashion chain in a statement. He added: “Our introduction with H&M Home to the American market is exciting and we’re looking forward to offering these items season after season.”
TESCO ups blinkbox marketing 8 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85347?WTrss_f=Daily%20News%20Summary&WTrs s_a=TESCO%2Bups%2Bblinkbox%2Bmarketing&WTrss_ev=a Tesco is to push promotion for its blinkbox online movie streaming service, Retail Week reports. The aim is to strengthen its association with Tesco in customers’ minds. A new promotion will offer blinkbox rentals alongside confectionary, crisps and soft drinks as part of a Big Night In promotion. The campaign is being trialled in the impulse aisles of the company’s Watford and Croydon stores featuring screens showing blinkbox trailers. A blinkbox spokesperson said: “The aim of the activity is to drive awareness of blinkbox alongside snacks that would be the perfect accompaniment to a night in. This activity is a trial ahead of some more extensive promotion for blinkbox instore, which will be rolled out in the coming months.”
LVMH Sephora adds new tier to US loyalty scheme 7 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85329?WTrss_f=Daily%20News%20Summary&WTrs s_a=LVMH%2BSephora%2Badds%2Bnew%2Btier%2Bto%2BUS%2Bloyalty%2Bscheme&WTrss_ev= a Sephora in the US is revamping its successful Beauty Insider scheme. It is adding a “super-high-end” third tier to the rewards programme. Dubbed VIB Rouge, it is for shoppers spending over USD1,000 in a calendar year. VIB Rouge offers access to private events, free gifts (not sample-sized), complimentary beauty studio access in any Sephora store, and unlimited free shipping. To date, the LVMH-owned chain’s Beauty Insider loyalty scheme has attracted 10.6 million customers.
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SOBEYS installs movie rental kiosks 6 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85316?WTrss_f=Daily%20News%20Summary&WTrs s_a=SOBEYS%2Binstalls%2Bmovie%2Brental%2Bkiosks&WTrss_ev=a Sobeys is partnering with Coinstar’s movie rental kiosk company Redbox, Canadian Grocer reports. The kiosks will be rolled out across the retailer’s banners in Canada. These include including Sobeys, IGA, Foodland, FreshCo, Thrifty Foods, and Lawtons Drug Stores. Sobeys joins Loblaws, Walmart, Giant Tiger and other supermarket operators across Canada in offering the service. The US-based rental kiosk operator entered Canada in 2012 and is currently available at over 500 locations.
McGinnis Sisters Hosts Harry Potter Event 6 August, 2013 | Convenience Store News http://www.progressivegrocer.com/top-stories/headlines/independentgrocers/id39674/mcginnis-sisters-hosts-harry-potter-event/?icid=homepage In honor of Harry Potter & J.K. Rowling's birthday, Pittsburgh-based McGinnis Sisters Special Food Stores hosted its first-ever theme party on July 31 at its Adams Township, Pa., store. The fun-filled, festive event was deemed a huge success by the many wizards, witches, warlocks (and Muggles) in attendance. Admission was $10 and included a variety of Harry Potter-themed food, prizes, activities and games, among which included a choice of a one-of-a-kind wand from Ollivanders, three different spells in Potions Class, fortune telling by Professor Trelawny, theme photos and tricks-and-treats shopping at Weasley's Wizard Wheezes and Honeydukes. A gallery of photos appears below and more are available on McGinnis Sisters’ Facebook page as well.
The ‘soup that made Seinfeld famous’ heads to Walmart 5 August, 2013 | Retailing Today http://www.retailingtoday.com/article/%E2%80%98soup-made-seinfeld-famous%E2%80%99heads-walmart?ad=news NEW YORK — Soupman Inc., the parent company of The Original SoupMan, is about to see "the soup that made 'Seinfeld' famous" hit shelves at nearly 500 Walmart stores.
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The brand's soups, which are already sold in more than 4,000 supermarkets nationwide, include the classic soups that made the company famous: lobster bisque, chicken noodle, lentil and tomato bisque. The four soups that will be available in Walmart stores — like all the recipes — are the creations of Al Yeganeh, the brand's culinary inspiration and conscience. "Our renowned soups are transforming the aisle in supermarkets," said Lloyd Sugarman, CEO of the Original SoupMan. "Today's consumers are hungry for variety, freshness and new taste profiles. We believe the Original SoupMan tetra pak carton soups meet and exceed each of those demands. I can't say it any better than they did on 'Seinfeld:' 'You can't eat this soup standing up. Your knees will buckle.'" In addition to select Walmart stores, the Original SoupMan can also be found in the soup aisles A&P, Associated Food Stores, Carr's, Dominick's, Fairway, Food Basics, Food Emporium, H-E-B Supermarkets, Pathmark, Pavilions, Price Chopper, Randall's, Safeway, Super Fresh, The Fresh Market, Tom Thumb, Vons, Waldbaum's, Weiss and Woodman's.
Littlewoods launches first childrenswear advertising campaign 2 August, 2013 | The Retail Bulletin http://www.theretailbulletin.com/news/littlewoods_launches_first_childrenswear_advertising_c ampaign_02-08-13/ Digital department store Littlewoods has launched its first advertising campaign that focuses on childrenswear. The £1.3 million campaign promotes the Ladybird brand, which was acquired by Littlewoods’ owner Shop Direct in 2009. The campaign continues the ‘Littlewoods touch’ concept, which was developed last year by Littlewoods’ retained agency St Luke’s. This time around, the ads introduce a mini version of Littlewoods ambassador Myleene Klass, who performs outfit transformations on her friends at a children’s party. The 30" TV advert will be supported by weekly 10" ads on TV and in print to promote weekly trading offers. The campaign will run throughout August across TV, online, social media and print. Gary Kibble, retail director for Littlewoods, said: “The Ladybird brand is one of our growing stable of own brand fashion labels and a brand that parents across the UK have known and loved for decades. We’re now keen to bring Ladybird to a wider audience via the Littlewoods touch and this summer felt like the perfect time to start.”
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Blue Bell Launches ‘Do Tell!’ Online Contest 2 August, 2013 | Progressive Grocer http://www.progressivegrocer.com/top-stories/headlines/cpgs-trading-partners/id39663/bluebell-launches-do-tell-online-contest/?icid=homepage Through Aug. 31, Blue Bell Ice Cream will run its “Do Tell!” online contest, in which consumers are invited to post a fun or unique story about the brand on Blue Bell’s website for a chance to win a VIP trip to Brenham, Texas, to see how Blue Bell Ice Cream is made. The contest is open to all Country Club members and entries must be submitted online in 500 words or less. Eight finalists will be chosen by contest officials and their stories will be posted on bluebell.com beginning Sept. 20. Country Club members will then have two weeks to vote for their favorite, and the entry that receives the most votes will be named the grand-prize winner on Oct. 9. Each of the eight finalists will be treated to a prize packet including various Blue Bell gift items and one half gallon of Blue Bell Ice Cream every week for one year. “We enjoy hearing from our fans and reading the many letters we receive each year,” said Carl Breed, director of marketing for Blue Bell. “Our Do Tell! contest is one more way for our fans to share their stories. We’re looking for unique, fun and heartfelt stories about Blue Bell.”
TARGET tests new baby department features 1 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85273 Target has added trained staff and informational kiosks to its baby department in a 10-store test in the Chicago area, reports Reuters. While the product assortment is unchanged, the baby department has been redesigned to offer a more ‘specialty store’ feeling. Staff trained and knowledgeable about baby products are on hand to assist shoppers and answer product questions. Several iPads loaded with content from Johnson & Johnson’s BabyCenter have also been added to the department, giving shoppers easy access to relevant information while instore. Target previously piloted its Beauty Concierge program, which included the addition of trained beauty and skincare experts and iPads, in Chicago before rolling the concept out to more stores this year.
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SUBWAY adds Pelé as brand ambassador 1 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85270 Subway is to add Brazilian soccer icon Pelé as a brand ambassador, reports Forbes. Pelé joins other athletes on the sandwich chain’s marketing roster, including Michael Phelps. Sports Brand Ambassadors help Subway promote its healthy fast food image. The addition of Pelé is significant with the 2014 FIFA World Cup and the 2016 Olympics both scheduled to take place in Brazil. Subway currently operates around 1,200 outlets in the Brazilian market.
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Finance SM INVESTMENT looks to expand after strong H1 13 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85411?WTrss_f=Daily%20News%20Summary&WTrs s_a=SM%2BINVESTMENT%2Blooks%2Bto%2Bexpand%2Bafter%2Bstrong%2BH1&WTrss_ev=a SM Investment in the Philippines has reported a 16% increase in consolidated revenues to PHP122.11 billion (USD2.9 billion) for its half-year ended 30 June. Total merchandise sales grew by 6.8% to PHP83.6 billion (USD2 billion). This was mainly due to the acquisition of Waltermart and the opening of new stores in the first half-year. Of the total merchandise sales, the non-food group and food group contributed 40.9% and 59.1% respectively. Net income rose 16% to PHP12.6 billion (USD295 million). For its retail operations, SM Retail posted a sales increase of 13.3% to PHP83.6billion (USD2 billion), with net income up 9.9% at PHP3.1 billion (USD72.5 million). Earlier this year, SM Retail acquired 51% ownership at 193.8 million common shares in Waltermart Supermarket for a total of PHP3.6 billion (USD83.5 million). SM Investment ended the six-month period with a total of 229 stores, consisting of 47 department stores, 37 supermarkets, 38 hypermarkets, 86 SaveMore stores and 21 Waltermart stores. To date, SM Prime operates 47 Supermalls in the Philippines with a total gross floor area of around six million square metres (64.5 million square feet), and five Supermalls in China, with a total gross floor area of 0.8 million square metres (8.6 million square feet). Revenue for its mall operations, operated by SM Prime, rose 11.8% to PHP13.9 billion (USD325 million) and net income grew 15% to PHP5.6 billion (USD131 million). Same-store rental growth was 7%. SMâ€™s China malls saw revenue grow 9%. Earlier this year, SM Investment entered into a joint venture agreement with Waltermart group through its subsidiaries SM Retail and SM Prime to boost the groupâ€™s retail business, which faces stiff domestic competition from rival operator Puregold. According to Manila Standard Today, SM Vice Chairman Teresita Sy-Coson said the company would form a 50:50 joint venture with the Waltermart group, owned by the Lim family, with the latter retaining management control. Like SM, Waltermart is engaged in the shopping mall and supermarket businesses and operates 17 community malls in Batangas, Laguna, Cavite, Metro Manila, Bulacan, Pampanga and Nueva Ecija, as well as some supermarkets. The Lim family also owns Abenson, a chain of appliance stores with over 75 outlets nationwide, as well as Electroworld, Home Plus and a concept store called Avant. Retail expansion plans for the rest of 2013 include the opening of one department store, one supermarket, 11 SaveMore branches and six hypermarkets. By year-end, the group aims to own 48 department stores - which the company estimates will bring the total estimated combined general floor area to seven million square metres (74.3 million square feet) - 39 supermarkets, 97 SaveMore
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branches and 43 hypermarkets.
Customer service firm Vee24 raises $5.5 million 9 August, 2013 | Internet Retailer http://www.internetretailer.com/2013/08/09/customer-service-firm-vee24-raises-55-million Live chat and online customer service provider Vee24 has raised $5.5 million in a Series A funding round. The capital will enable the company to transfer its headquarters to Boston from Manchester, England. That office will remain as Vee24’s European base. Data Point Capital and Point Judith Capital took part in the funding round. “The new capital and strong client results put the company in a terrific place to further assert its leadership in the marketplace,” says Scott Savitz, Vee24 board member and managing partner at Boston-based Data Point Capital. “Bringing the company to Boston is a great testament to the region as an innovation hub and is another reason to be enthusiastic about what has already become one of the most vibrant tech sectors in the world.” The Boston area is also home to Staples Inc.’s e-commerce offices and the headquarters of ecommerce service provider Akamai Technologies Inc., among other companies. Staples is No. 2 in the new Internet Retailer Top 500 Guide. Earlier this year, Vee24 hired James Keller as its CEO. He had worked as executive vice president and chief marketing officer of Shoebuy.com Inc., No. 93 in the Top 500. Savitz founded ShoeBuy.com in 2000 and sold it in 2006 to InterActive Corp., or IAC.
99 Cents Only set for growth amid Q1 2014 results 9 August, 2013 | Retailing Today http://www.retailingtoday.com/article/99-cents-only-set-growth-amid-q1-2014-results CITY OF COMMERCE, Calif. — 99 Cents Only expects to increase its store count by approximately 10% exclusively in existing markets in fiscal 2014, following the company's first quarter results for the period ended June 29. The company's net sales increased 8.2%, to $433.9 million for the quarter compared to $401 million for the first quarter of fiscal 2013. Same-store sales, calculated on a comparable 13-week period, increased 3.1%. Easter, a holiday that drives the company's busiest selling week, fell on April 8 in calendar year 2012 and on March 31 in calendar year 2013. As a result, the company did not benefit from the Easter selling season in the first quarter of 2014, which it estimates negatively affected same-store sales by approximately 180 basis points.
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During the first quarter of fiscal 2013, the company opened six stores â€” three in California, one in Nevada and two in Texas. As of June 29, it operated 322 stores, an increase of 7.3% in store count over last year.
13 not so lucky for Fairway Group Holdings 9 August, 2013 | Retailing Today http://www.retailingtoday.com/article/13-not-so-lucky-fairway-group-holdings?ad=news NEW YORK â€” In its first quarter as a public company, Fairway Group Holdings Corp., the parent company of Fairway Market, reported tepid financial results for its fiscal 2014 first quarter ended June 30. Same-store sales in the quarter increased 1.4% over the prior year with customer transactions increasing 0.8% and basket size increasing 0.5%. Customer transactions and average basket size grew 0.8% and 0.5%, respectively. According to the company, the same store sales metric for the quarter was negatively affected by approximately 90 basis points due to the first quarter of the prior year having the benefit of the Easter/Passover holidays. The company's net sales increased 21% to $187 million in the first quarter of fiscal 2014. Sales growth in the quarter was driven primarily by new store openings which contributed approximately 93% of the total sales growth. "We are pleased to report strong operating results for the quarter, our first as a public company," said Charles Santoro, Fairway's executive chairman. "Fairway remains on track with our long-term strategy designed to expand our store count and increase our margins. We remain confident in our ability to execute these plans." "We executed well this quarter with improved gross margin performance and good control of our operating expenses despite the added costs associated with being a public company," added CEO Herb Ruetsch. "We feel good about our ability to continue to enhance gross margins and leverage our Central Services expenses over the full fiscal year." The company opened its 13th location July 24 in the Chelsea neighborhood of Manhattan. The store has 17,000 sq. ft. of retail space and is Fairway's fifth Manhattan location. On April 22, Fairway completed an initial public offering of approximately 15.7 million shares of common stock, including 2.3 million shares sold by existing stockholders. The company received approximately $158.8 million in net proceeds after deducting the underwriting discount and expenses related to the IPO which were charged directly to additional paid-in capital in the first quarter of fiscal 2014. The company used the net proceeds to pay approximately $76.8 million of preferred dividends, $9.2 million to terminate a management agreement with Sterling Investment Partners and approximately $8.1 million to pay contractual bonuses. The remaining approximately $64.7 million is intended for new store growth and general corporate purposes.
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Gross profit in the first quarter increased 21% to $61.4 million from $50.7 million and gross margin improved to 32.9% from 32.8% in the prior year. The increase in gross margin was primarily due to an increase in the merchandise margin partially offset by higher occupancy rates at the company's new locations. Store-opening costs in the first quarter included approximately $2.9 million for the Chelsea location and $0.1 million for the Nanuet, N.Y., location expected to open in the fall of 2013. These expenses decreased to $3 million from $5.8 million in the first quarter of the prior year. In addition, the company incurred $0.5 million of start-up costs for the new production center. Approximately $0.8 million and $0.5 million of store opening and production center start-up costs in the first quarter of fiscal 2014 and in the first quarter of fiscal 2013, respectively, were non-cash charges primarily due to deferred rent. The net loss in the first quarter was $27.9 million, compared to a net loss of $3.9 million in the first quarter of fiscal 2013. The company says the increase in the net loss was primarily due to transaction expenses and fees related to the IPO, a change in the income tax provision and an increase in noncash equity compensation. The adjusted net loss in the quarter was $2.4 million, a decrease of $1.5 million from the adjusted net loss of $3.8 million in the first quarter of the prior year.
BURLINGTON COAT FACTORY confirms off-price strength in Q2 8 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85340?WTrss_f=Daily%20News%20Summary&WTrs s_a=BURLINGTON%2BCOAT%2BFACTORY%2Bconfirms%2Boffprice%2Bstrength%2Bin%2BQ2&WTrss_ev=a Off-price clothing chain Burlington Coat Factory has posted net sales for the second quarter ended 3 August of USD963.7 million. This compares with USD864.2 million for the comparative period ended 28 July, 2012, an 11.5% increase. Comparative store sales increased 7.8% for the quarter. Net sales for the six months ended 3 August were USD2.03 billion against USD1.85 billion for the comparative period ended 28 July 2012, a 9.8% increase. These results reflect a 5.5% comparative store sales increase for the period. Tom Kingsbury, CEO, stated: â€œWe are extremely pleased with our 11.5% total sales increase and 7.8% comparative store sales increase for the quarter, which is on top of a 2.9% comparative store sales increase in the prior year. Our performance continues to be driven by a broad range of products, categories, and regions. I would like to thank our store and corporate teams for contributing to this result.â€?
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Kroger buys Harris Teeter in $2.5 billion grocery deal 7 August, 2013 | Fresh Plaza http://www.freshplaza.com/news_detail.asp?id=111973#SlideFrame_1 In a merger of grocery chains, Kroger Co. is buying Harris Teeter Supermarkets Inc., the companies announced Tuesday. The move expands the reach of Kroger, already the nation's largest grocery chain, into the Mid-Atlantic region. The buyout values Harris Teeter at $49.38 per share, a premium of more than 33 percent over its share price earlier this year. The $2.5 billion deal is one of the largest in the grocery sector in recent years. Kroger is taking on debt to finance the transaction, in addition to assuming around $100 million in debt from Harris Teeter, based in Matthews, N.C. Harris Teeter says its revenues for 2012 totaled around $4.5 billion. The combined company will operate more than 2,600 stores in 34 states and Washington, D.C. There are currently no plans to close any stores, the two companies said in a statement issued today. Their integration plan calls for Harris Teeter to operate its existing 212 stores as a subsidiary of Kroger, with each company maintaining its own headquarters. Kroger is based in Cincinnati. A potential buyout of Harris Teeter had been discussed since the beginning of this year, when its market capitalization stood at $2.1 billion. As in February, Harris Teeter has seen its sales grow in each of the past 10 years. At the time, a target share price of $55 a share was seen as a possibility.
LVMHâ€™s Selective Retailing posts strong H1 showing 7 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85331?WTrss_f=Daily%20News%20Summary&WTrs s_a=LVMH%25e2%2580%2599s%2BSelective%2BRetailing%2Bposts%2Bstrong%2BH1%2Bshowing &WTrss_ev=a LVMHâ€™s Selective Retailing division has recorded half-yearly organic revenue growth of 19% to EUR4.21 billion (USD5.55 billion). It also saw a 9% profit increase from recurring operations in the first half of 2013. Duty-free operation DFS benefited from strong comparable store growth supported by good momentum of Asian clientele. The new concessions won in late 2012 in the Hong Kong airport made a significant contribution to the increased revenue while major renovation work weighed on profitability. Beauty chain Sephora continues to deliver strong performance, driven by growth in revenue at existing stores and the expansion of its global network. In North America, where the company continues to strengthen its position and innovate in the digital technologies, revenue growth also remained strong.
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NEIMAN MARCUS likely to pursue IPO 6 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85306?WTrss_f=Daily%20News%20Summary&WTrs s_a=NEIMAN%2BMARCUS%2Blikely%2Bto%2Bpursue%2BIPO&WTrss_ev=a Neiman Marcus has appointed a syndicate of banks for a possible IPO, reports Reuters. Neiman Marcus has also reportedly hired Credit Suisse to run a sales process for the company. The Dallasbased upscale department store chain, is currently owned by TPG Capital, Warburg Pincus and Leonard Green & Partners. TPG and Warburg took Neiman private in 2005 for USD5.1 billion.
CARREFOUR shareholders to reorganise stake 5 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85296 Groupe Arnault and Colony Capital plan to change the structure of their Carrefour shareholding. In addition to directly-held shares, Arnault and Colony currently own 8.1% of the share capital and 14.3% of the voting rights of Carrefour through their joint Blue Capital venture. Both plan, however, to abandon the Blue Capital structure before the end of the year. They will instead split the Blue Capital stake directly between them in a move designed to "simplify the ownership". "Groupe Arnault, Colony Capital and their affiliates will pursue their co-operation and will continue to carry out, in concert, a common policy vis-à-vis Carrefour," said Groupe Arnault and US investment fund Colony in a joint statement. Both Groupe Arnault and Colony Capital reaffirmed their commitment to Carrefour as shareholders, as well as their support to the French multinational retailer’s strategy.
Revenue climbs 20% in the first half of the year at e-commerce operator Yoox Group 5 August, 2013 | Internet Retailer http://www.internetretailer.com/2013/08/05/revenue-climbs-20-first-half-year-yoox Yoox Group, an Italian retailer that sells online and operates e-commerce sites for other brands, says its net revenue in the first two quarters rose 20.0% year over year to 207.4 million euros (US $274.8 million) compared with 172.9 million euros (US $229.1 million) in the first half of 2012. Yoox Group’s second quarter net revenues reached 97.0 million euros (US $128.5), up 18.4% from 81.9 million euros (US $108.5 million) in Q2 2012.
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Yoox Group, No. 80 in the 2013 Top 400 Europe guide, divides its businesses into what it calls its multi-brand line, which includes company-owned e-commerce sites Yoox.com, TheCorner.com and Shoescribe.com, and its mono-brand line, which includes the set up and management of luxury retail sites for brands such as Bottega Veneta, Yves Saint Laurent, Alexander McQueen, Balenciaga and Sergio Rossi. For the first half of 2013, Yoox also reports: •
The average number of monthly unique visitors to its numerous luxury sites remained about even with the number in the first half of 2012, at 12.5 million visitors.
It received 1.26 million orders, up 17.7% from 1.07 million a year earlier.
Its sites’ average order values rose 6.4% to 216 euros (US $286.24) compared with 203 euros (US $269.02) in the first half of 2012.
The number of customers who had placed an order on a Yoox site in the past 12 months rose from 871,000 in the first half of 2012 to 1 million in the first half of 2013, an increase of 14.8%.
Its multi-brand line sales reached 148.8 million euros (US $197.2 million) up 23.4% compared with 120.6 million euros (US $159.8 million) in the first half of 2012.
Multi-brand accounted for 71.7% of sales, compared with 69.7% a year earlier.
Its mono-brand line posted revenue of 58.7 million euros (US $77.8 million), up 12.2% from 52.3 million euros (US $69.3 million) a year earlier.
Its mono-brand line accounted for 28.3% of sales, compared with 30.3% of sales a year earlier.
“In the first half of 2013, Yoox reached over a million active customers and successfully launched all the online flagship stores for the brands included in the joint venture established with Kering only a year ago,” says Federico Marchetti, founder and CEO of the Yoox Group, which also is No. 195 in Internet Retailer's Top 500 Guide. Kering, formerly PPR, and Yoox formed a joint venture with six brands in August 2012. As part of the venture, using Yoox web services, the two companies launched online stores for the brands, completing all six by June 30, Yoox says. Those stores are AlexanderMcQueen.com, Balenciaga.com, BottegaVeneta.com, Ysl.com, SergioRossi.com and StellaMcCartney.com.
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Costcutter signs £35 million refinancing deal with Barclays 1 August, 2013 | The Retail Bulletin http://www.theretailbulletin.com/news/costcutter_signs_35_million_refinancing_deal_with_barc lays_01-08-13/ Costcutter has signed a £35 million refinancing deal with Barclays as it looks to further its growth plans. The supermarket said the funds will be used to support business growth and its joint venture with Palmer & Harvey. In March Costcutter launched a new buying company with P&H in deal which also involved Costcutter taking over the running of 800 Mace, Supershop and Your Store convenience shops. Costcutter financial director Bob Marshall said: “Having the support of Barclays for the next three years as the business manages the current period of transition and embarks upon its growth strategy is very positive. In Barclays, we believe we have the ideal partner for supporting the business investments we need to make.” Ben Andrews, key client director at Barclays, added: “Costcutter Supermarkets Group has proven resilient through the cycle and Barclays support has been very much based on our belief in the quality of the management team and the consistent performance of the business. "As a north-east headquartered business with a national footprint, Costcutter Supermarkets Group is a key name in our region and we look forward to developing the relationship further and supporting the company’s growth in the years ahead.”
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Technology OTTO GROUP tests Yapital at Görtz store 14 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/41/85447 Otto Group is piloting the Yapital payment service at a Görtz shoe store in Hamburg. From September, Görtz is looking to roll out the payment service across its entire store network. Shoppers can scan a QR code with a Yapital app on their smartphone which is then displayed on the cash register. No additional steps are required for payment processing. Yapital is a payment service for online and mobile shopping and retail stores, similar to eBay’s PayPal solution. Customers need to register online and state a payment method (such as by credit or debit card). Payments with Yapital may then be made with a mobile device at a retail store or in an online shop. Yesterday, it became public that Otto Group is considering acquiring a stake in the Hamburg-based shoe retailer Görtz.
BEST BUY fights showrooming with price intelligence app 13 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/41/85415 Best Buy Canada shop staff can now access competitors’ current prices via a special mobile app. The solution, called 360mobile, was conceived and developed by price intelligence specialist 360pi in cooperation with Best Buy Canada. Using the new app, available on iOS and Android platforms, the US-based consumer electronics retailer’s Canadian employees can better anticipate and respond to customer queries about discounts and price matches. Sean Wilson, Vice President of Merchandising Operations at Best Buy Canada said: "360mobile gives our retail associates the information they need to better address customer questions and concerns and lets prospective customers make an informed decision while in the store, effectively turning showroomers into buyers."
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EDEKA tests smartphone self-scanning 12 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/41/85392 Edeka is testing smartphone self-scanning at its Markt der Zukunft (Store of the Future) laboratory in Hamburg, Lebensmittel Zeitung reports. The retailer has upgraded its smartphone app to allow customers to scan purchases direct from shelves. The software from Valuephone automatically recognises discounts so they can be immediately redeemed.
AMAZON set to release games console 12 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85395?WTrss_f=Daily%20News%20Summary&WTrs s_a=AMAZON%2Bset%2Bto%2Brelease%2Bgames%2Bconsole&WTrss_ev=a Amazon is rumoured to be developing its own Android-based games console, reports Game Informer. Release is said to be likely by the end of this year, with Black Friday possibly a target. According to people familiar with Amazonâ€™s plans, the company expects to use the own brand console to boost content sales within its existing Appstore for Android. Amazon is widely expected to release a raft of new hardware, including smartphones, a set top box and new versions of the Kindle Fire in the coming months. Last week the company reduced the price of the Kindle Fire HD in the US by USD50.
MIGROS offers full contactless coverage 12 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85397?WTrss_f=Daily%20News%20Summary&WTrs s_a=MIGROS%2Boffers%2Bfull%2Bcontactless%2Bcoverage&WTrss_ev=a Migros is converting all its POS terminals to contactless payments via credit card. The changes will affect all Migros stores, M restaurants, takeaways and retail warehouses. All Migros Switzerland payment terminals will be available for contactless payment from autumn 2013. A PIN code will be required only for purchases over CHF40 (USD43). The Switzerland-based retailer is organised on a co-operative basis with more than two million members.
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GIANT EAGLE deploys EPiServer's e-commerce software 8 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85337?WTrss_f=Daily%20News%20Summary&WTrs s_a=GIANT%2BEAGLE%2Bdeploys%2BEPiServer%2527s%2Becommerce%2Bsoftware&WTrss_ev=a Giant Eagle has deployed EPiServer’s CMS and e-commerce platform software. The US regional supermarket chain will use the software to support its digital activities. Elements include offering weekly circulars, product catalogs, shopping lists, menu planners, digital coupons and gift cards. The retailer’s GiantEagle.com website will offer shoppers tools and content to personalize their interaction with the brand. It includes offering easily accessible information for every instore department and product category, as well as savings and loyalty programs.
Varlink launches the OPH1005 batch terminal from Opticon with special bundle pricing 7 August, 2013 | Retail Technology Review http://www.retailtechnologyreview.com/articles/2013/08/07/varlink-launches-the-oph1005batch-terminal-from-opticon-with-special-bundle-pricing/ Varlink, the specialist IT distributor based in York, has added the OPH1005 batch terminal to its Opticon portfolio. The OPH1005 bridges the gap between data collector and PDA with a full colour LCD screen with backlight and a clear user interface. It is the same size as a mobile phone and weighs just 140g, with its ergonomic design and soft grip it can be used all day without discomfort. This programmable device enables solution providers to create custom scanning solutions with a free Opticon SDK, allowing creation of the desired application for the job, such as inventory management, price checking and order entry. The OPH1005's laser barcode scanner has the ability to do 100 scans/second perfect for worker accuracy and efficiency. Any data collected can be stored for more than 7 days and transferred through IrDA via a charging cradle which is sold separately from the device. With an IP rating of 54 and a 1.5m drop spec, its rugged exterior makes it an ideal device for batch processing in light industrial, healthcare, retail, warehousing and distribution. To mark the launch of the OPH1005 Varlink and Opticon are offering special bundle pricing for a limited time only. The bundle includes the device, battery and cradle with power supply and saves you a total of over £90, terms apply. To take advantage of this special offer contact Varlink on 01904
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717180 or visit
Cabela's implements new mobile solution 6 August, 2013 | Retailing Today http://www.retailingtoday.com/article/cabelas-implements-new-mobile-solution?ad=news Specialty retailer and direct marketer of hunting, fishing, camping and related outdoor merchandise, Cabelaâ€™s, has selected Sage North America payment solutions as the sole mobile payment processing provider for its seven 2013 Cabela's Club Family Outdoor Days events. Cabela's Club Visa recently switched to Sage Mobile Payments, a payment card industry-compliant mobile payments product that comes bundled with a Sage merchant account. Cabela's Club Family Outdoor Days events are open exclusively to Club Visa cardholders. The events offer participants an opportunity to get hands-on experience and instruction in sporting clays, .22 rifle shooting, archery and fly fishing. "Sage Mobile Payments allows us to quickly and easily accept payment for onsite registrations for our Family Outdoor Days," said Haley Steinkuhler, event coordinator for Cabela's Club Visa. "The built-in functionality and intelligence of Sage Mobile Payments mean we can accept payments, email receipts, track cash, access reports and more." Sage Mobile Payments was successfully deployed at four outdoor events. The three remaining Family Outdoor Days events will take place in Prior Lake, Minn., on August 10; Cedar Fort, Utah, on August 24; and Kearney, Neb., on September 28. "Cabela's had an immediate need for a mobile payment acceptance solution that would help them better serve their Family Outdoor Days participants," said Marc Palombo, SVP at US Dataworks. "Sage Payment Solutions, and specifically Sage Mobile Payments, was a great fit in terms of ease of implementation and the Cabela's consolidated payment strategy." "We're excited to be a valued partner to Cabela's and US Dataworks," said Mike Hackney, VP of business development for Sage Payment Solutions. "Sage Mobile Payments is a true business solution offering back-office integration, robust reporting tools and commercial-level support. We welcome US Dataworks to the Sage Payment Solutions ISV Partner Program, which provides software developers with the technical documents and marketing and sales resources necessary to market their product integrated with our payment products."
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MIGROS TICARET introduces self-checkouts 6 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85312?WTrss_f=Daily%20News%20Summary&WTrs s_a=MIGROS%2BTICARET%2Bintroduces%2Bself-checkouts&WTrss_ev=a Migros Ticaret has begun installing self-checkout terminals in its stores. So far six stores have been equipped with NCR machines. The Turkey-based retailer’s aim is to equip a further 100 outlets as soon as possible. The scheme, it stated, “has so far been a real success among customers”. NCR already provide web kiosks and electronic shelf labelling in Migros Ticaret outlets.
DIXONS RETAIL showcases future store concept 6 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85307?WTrss_f=Daily%20News%20Summary&WTrs s_a=DIXONS%2BRETAIL%2Bshowcases%2Bfuture%2Bstore%2Bconcept&WTrss_ev=a Dixons Retail's newest Travel store located at Gatwick Airport has been announced as the retailer's “store of the future”. The digital concept store is set to be the blueprint for other outlets as the Dixons Travel group expands its airport-based electricals stores. Digital signage is used throughout the new store to showcase products. Shoppers can access information about individual products and related offers through look books stored on tablet computers. Digital merchandising tables feature rear projection floating screens over themed areas, intended to bring a sense of theatre to the product floor. There is also a KNOWHOW bar for those needing technical advice and repairs.
WALMART Scan & Go updates features 5 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85295 The latest update of Walmart’s Scan & Go app features additional digital couponing capabilities, Mobile Commerce reports. Shoppers can now “clip” coupons by tapping their smartphones and having savings automatically applied at checkout. There is also the capacity to scan a QR code on a printed receipt to obtain an electronic version. In addition, customers who purchase a qualifying DVD or Blu-ray disc using Scan & Go will receive an instant digital copy of their movie. The movie will be deposited directly into their digital library and users alerted via a push notification.
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HARRIS TEETER selects Tresata software 5 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85289 Harris Teeter has selected Tresata for its next-generation predictive analytic software. The US regional grocer is to use Tresataâ€™s big data analytics platform. This will help it dynamically understand its product, customer and channel behaviours in an effort to provide customers with better value across online, mobile, social and bricks and mortar channels. The software will enable Harris Teeter to better analyse customer data, including a consumer's purchasing history, to offer more personalised customer service, including e-VIC promotional offers which are targeted to shopping history. The company says the software also will lead to improved functionality of its mobile application (htmobile), the e-VIC loyalty program and its newly launched Facebook application.
TESCO introduces the SMARTtill 2 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85287 Tesco is implementing new intelligent cash drawers from specialist Cash Bases. The equipment is being installed in more than 10,000 UK tills. The system, dubbed SMARTtill, enables the retailer to monitor cash transactions in real-time. It alerts management when cash levels reach a minimum or maximum. The new peripherals will be implemented at Tesco Extra and Superstore outlets from August this year.
Amazon wins an Emmy for its Prime Instant Video recommendations engine 2 August, 2013 | Internet Retailer http://www.internetretailer.com/2013/08/02/amazon-wins-emmy-prime-instant-videorecommendations Amazon.com Inc. will receive a 2013 Technology & Engineering Emmy award from the National Academy of Television Arts & Sciences for its personalized video recommendation engine, the eretailer announced today. The engine allows shoppers using Amazon Instant Video to search for streaming TV shows or movies by genre, mood, topic, what other customers watched after watching the same videos and by their personal preferences, Amazon says. The National Academy of Television Arts & Sciences did not immediately respond to a request for details on why it selected Amazon for the award.
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“Our goal is to give customers the best possible movie and TV watching experience. That means both enabling customers to find exactly what they’re looking for and helping them discover new TV shows and movies in a personalized way,” says Bill Carr, vice president of music and video for Amazon. “We will continue to innovate on behalf of our customers to make it even easier and more enjoyable to explore all of the great movies and TV shows on Amazon.” Amazon Instant Video lists more than 150,000 movies and TV shows available to stream or rent online, or purchase physically, as a web video saved in an Amazon account or as a download, the eretailer says. Online rentals are either a streaming or downloadable video that a customer has 30 days to begin watching and then 24 hours to finish watching once he starts. While Amazon, No. 1 in the Internet Retailer 2013 Top 500 Guide, won an Emmy for its technological feats, competitor Netflix Inc., No. 9, has racked up 14 Primetime Emmy nominations across three of its original TV series (final awards in the Primetime categories will be announced on Sept. 22). That marked the first time an Internet video service has earned the honor for its programming. So far, however, Netflix has not proven that its original content draws in significant numbers of new subscribers. Amazon also has its own production house for creating original TV shows, though it has yet to release a full season of any program. The retailer has reported rave reviews from customers for the pilots it has released, but like Netflix it has not said that original content is driving more Instant Video customers or sign ups to its Prime membership program. Prime includes streaming of any Instant Video title at no extra cost along with free two-day shipping on all orders and other perks for $79 annually. Meanwhile, Hulu LLC, No. 92 in the Top 500 Guide, has also been developing original streaming video series and it recently raised $750 million from its owners, it says. In May, Google Inc.’s online video subsidiary YouTube LLC began offering paid subscriptions to web-video channels with content provided by such companies as National Geographic Kids and iAmplify Yoga.
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Strategy Lowe’s Will Acquire 72 Orchard Supply Hardware Stores 13 August, 2013 | Kantar Retail IQ http://www.kantarretail.com/News/NewsDisplay.html?id=590477 Lowe’s provided additional information regarding its decision to purchase a majority of Orchard Supply Hardware’s assets for USD 205 million. This will include 72 stores as well as the assumption of payables owed to Orchard’s suppliers. Orchard received no other bids and Lowe’s anticipates that the acquisition will be completed by the end of August, once the plan is approved by the Bankruptcy Court. The Orchard stores will operate as a separate, standalone business that will retain its existing branding and current management team.
RUSTAN outlines major Philippines growth plans 13 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85429?WTrss_f=Daily+News+Summary&WTrss_a=R USTAN%2boutlines%2bmajor%2bPhilippines%2bgrowth%2bplans&WTrss_ev=a Philippines-based multi-format retailer Rustan is accelerating expansion with plans to roll out 15 new stores through 2013, reports Business World Online. After opening only three stores in 2012, Rustan is poised for growth. The Tantoco family sold a 50% stake in the privately-held Philippine retailer last year to multinational Dairy Farm International Group, according to InterAksyon.com. President of Rustan Supercenters (RSCI) Bienvenido V Tantoco III said that instead of listing the business, RSCI opted to team up with Dairy Farm because "we want more than money”. The Dairy Farm Group has "a lot of knowledge in merchandising. We're riding off an USD11.5 billion company," he said. "They are the biggest customer of many suppliers and we are able to piggyback on that. We're learning a lot about how to manage each of our formats properly. They are investing a lot in terms of training of our local team. They are putting their know-how in the Philippine team.” RSCI operates Rustan's Supermarket, the Shopwise hypermarket chain and Wellcome Supermarket. Rustan's Supermarket is the fastest-growing format, but will be taken over by Wellcome in the next few years, Tantoco said. "We're at the stage where each of our formats, we are comfortable with the model. We have a very clear model, a clear brand. And once that's in place, the only thing left to do is expand," he explained, adding "You don’t want to go so fast that the foundation is weak.” Tantoco told Business World Online that a new store could cost from PHP12 million (USD280,000) for a Wellcome branch to as much as PHP550 million (USD12.86 million) for a Shopwise outlet. “The company is using internally generated cash to fund expansion,” he said. “We’re going to expand at our pace. We will make sure that the expansion that we do is rational -any store that we open will be
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profitable,” Tantoco added. Rustan ended last year with 35 stores, 10 of which were under the Shopwise brand which caters to the middle-income market; 13 were under the upscale Rustan’s Supermarket banner; 11 were in the Wellcome convenience store format, with one Royal Duty Free outlet. As of 1 August, the company had opened five more Rustan’s Supermarket stores, as well as one store each under the Royal Duty Free and Wellcome banners, according to the firm’s corporate planning department. Apart from Metro Manila, Rustan has stores in Cebu and Cagayan de Oro and the company is looking at taking its various formats in new areas as well. "We will continue there and hopefully we're looking at Luzon," Tantoco told InterAksyon.com. With Rustan’s additional planned 15 outlets this year, it will bring its store count across its formats to 50 by year-end. Rustan is the country’s third largest supermarket operator. Its closest competitors SM Investment and Puregold - the country’s top two supermarket operators - have also been expanding. SM Investment had a total of 229 stores, while Puregold had 192 stores as of the first half ended on 30 June.
IKEA acquiring Irish wind farm 13 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85409?WTrss_f=Daily%20News%20Summary&WTrs s_a=IKEA%2Bacquiring%2BIrish%2Bwind%2Bfarm&WTrss_ev=a IKEA plans to buy a wind farm in Ireland. Mainstream Renewable Power is building the 7.65megawatt project in Leitrim in north-west Ireland. It is expected to begin operating early next year, at which point IKEA will buy the plant. As part of the deal Mainstream will continue to operate and maintain the wind farm on behalf of IKEA for its planned 20-year lifespan.
WALMART/MASSMART eyes stake in Kenya's Naivas 12 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85404?WTrss_f=Daily%20News%20Summary&WTrs s_a=WALMART%252fMASSMART%2Beyes%2Bstake%2Bin%2BKenya%2527s%2BNaivas&WTrss_ev =a Massmart plans to acquire a 51% interest in Kenya’s Naivas supermarkets, local press reports. However, the South Africa-based company has run into difficulties over its plans. One of the owners of family-run Naivas has gone to court seeking to stop his siblings from selling. The Walmartcontrolled retailer refused to comment on any takeover plans. In July 2012, the company announced plans to enter Kenya organically via its Game variety stores format in 2014.
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Amazonâ€™s Shopbop launches a Russian-language site 9 August, 2013 | Internet Retailer http://www.internetretailer.com/2013/08/09/amazons-shopbop-launches-russian-language-site Amazon-owned womenâ€™s apparel retailer Shopbop.com has launched a Russian-language site. The announcement marks the latest in a string of e-commerce companies moving into Russia in an attempt to gain major market share early in a country where online shopping is rapidly picking up steam. Shopbop, which launched in 2000 and was purchased by Amazon in 2006, launched the site at ru.shopbop.com. The site offers free shipping to Russia for orders over $100 and a customer service e-mail address specifically for Russian shoppers where they can receive help in their native language. As part of its efforts to drive sales in the country, Shopbop says it also will post regionally relevant news and updates on its Russian Facebook page, and that its Russian site will feature regional trends, style news and information on global fashion events. The site also includes boutiques consumers can shop with themes such as Wedding, Basic Essentials and Workwear. Personalization features include the ability for consumers to sign up for updates on new products and news from their selected favorites designers. Consumers also can sign up to receive marketing e-mails that feature sales, new arrivals and news about their favorite designersâ€”all in Russian. Web sales in Russia will grow from $12 billion in 2012 to $36 billion by 2015, forecasts investment bank Morgan Stanley. Russia has the largest online audience in Europe with 61.3 million web users, or 15% of Europe's total of 408.3 million, according to web measurement firm comScore Inc. And, after Italy, it boasts Europe's fastest-growing online population, up 15% in 2012 from about 53.3 million in 2011. Russia's online sales potential is attracting big international players. Online marketplace eBay Inc. in March announced a major investment designed to grow its business in the region. Its efforts include a Russian-language site and mobile initiatives in collaboration with local merchants to drive Russian consumers into stores. U.K.-based apparel retailer Asos Plc Holdings also recently put a team on the ground in the country and is developing a dedicated Cyrillic web site and marketing team for the region. Amazon.com is No. 1 in the Internet Retailer Top 500 Guide. Asos is No. 32 in the Internet Retailer Europe 500.
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ARCADIA GROUP Topshop Australia in trademark dispute 8 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85339?WTrss_f=Daily%20News%20Summary&WTrs s_a=ARCADIA%2BGROUP%2BTopshop%2BAustralia%2Bin%2Btrademark%2Bdispute&WTrss_ev=a Topshop may face delays in its expansion in Australia. The hitch comes after a small boutique embarked on a legal battle over the name. The owner of Topshop Fashions boutique, Robyn Swayn, is seeking compensation from the fashion giant. Her application objects to Topshop trademarking the name. UK-based Arcadia Group-owned Topshop confirmed on Monday they would open a Brisbane store, in addition to existing outlets in Melbourne and Sydney. Swayne is seeking compensation from Topshop so that she can change her signage and is seeking an undisclosed sum.
AHOLD USA closes New Hampshire Stop & Shop outlets 7 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85320?WTrss_f=Daily%20News%20Summary&WTrs s_a=AHOLD%2BUSA%2Bcloses%2BNew%2BHampshire%2BStop%2B%2526%2BShop%2Boutlets& WTrss_ev=a Ahold USA is closing its six Stop & Shop supermarkets and three gas stations in New Hampshire. The outlets in Bedford, Hudson, Exeter, Milford and Manchester will close on or before 21 September. Joe Kelley, Stop & Shop New England Division President, stated: “Our six stores in New Hampshire have not achieved performance goals after many years of investment, and we have made the difficult decision to close these underperforming stores. This action will allow us to focus our investment and resources on continuing to grow our business in other areas of the Northeast.” Stop & Shop operates more than 400 supermarkets throughout Massachusetts, Connecticut, Rhode Island, New Hampshire, New York, and New Jersey. Ahold USA is the latest supermarket operator to close stores in New Hampshire. Albertsons LLC in July announced that it would close six of its 34 Shaw’s supermarkets in New Hampshire by 2 September.
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TJX and SAKS strategise for off-price online 5 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85293 Off-price retailers T.J. Maxx and Saks' Off Fifth outlet stores in the US plan to open online stores this year. The chains have held back thus far from an online launch. This was due to their fast-moving and unpredictable inventory, making selling goods via the web complex, reports Reuters. The new site will be TJX's second attempt at e-commerce after an initial launch in 2005. Saks' Off Fifth is following Barneys New York's recent launch of a discount site. The department store chain as a whole is carrying out a three-year, USD95 million overhaul of its computer systems in a bid to upgrade its e-commerce business. The company has spent USD6 million to push up the launch of the Off Fifth site to this autumn, instead of next year. Saks Chief Executive Steve Sadove said the online selection at Off Fifth would be limited, and focused on better-selling items, given the expense of taking quality photos and generating editorial content. "Ultimately, what you have to weigh is the cost of putting an item up online against the incremental sales that'll be generated," Sadove said. "It's not free." TJX's off-price rival Ross Stores told Reuters it has no e-commerce plans, saying it still saw plenty of growth potential for its physical stores. For TJX, CEO Carol Meyrowitz said more than a year ago that "e-commerce is clearly in our future."
STARBUCKS looks to the Russian south 2 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85282?WTrss_f=Daily%20News%20Summary&WTrs s_a=STARBUCKS%2Blooks%2Bto%2Bthe%2BRussian%2Bsouth&WTrss_ev=a Starbucks is to open coffee shops outside Moscow, reports РБК daily. The company is set to open stores in the south of Russia. Three sites have been announced so far, all of them in the North Caucasus economic region. This is the first time since entering the market that the US-based chain has ventured into the Russian hinterland. The first café will open in Sochi, site of the 2014 Winter Olympics. Additional locations will follow in Rostov-on-Don and Krasnodar within the next 12 months. The decision to develop in the south is due to the demand for quality coffee and the perceived economic dynamism of the region.
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DUNKIN' BRANDS gears up for German expansion 2 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85280 The group anticipates a total of 150 Dunkin’ Donuts outlets in Germany within five years, reports Bloomberg News. The company currently operates 35 restaurants and will add sites across the German regions. Nigel Travis, Chief Executive Officer, said in an interview the US-based foodservice operator is also looking at opportunities in France and the UK to further develop the Dunkin’ Donuts brand. The Baskin-Robbins ice cream banner is set to open next year in Germany and is beginning the process of recruiting franchisees.
Macy’s sharpens focus on millennial strategy for fall 2 August, 2013 | Retailing Today http://www.retailingtoday.com/article/macy%E2%80%99s-sharpens-focus-millennial-strategyfall?ad=news NEW YORK — Macy’s continues to focus on its millennial strategy to attract a new generation of customers looking for trend, style and value. The retailer is getting ready to launch two exclusive new brands, Maison Jules and QMack, at 150 stores this month. The brands' launch is part of an ongoing initiative originally announced in spring 2012 and which saw the retailer introducing or expanding 20 brands for spring 2013. Macy’s Millennial brands are positioned within the retailer’s Mstylelab — which primarily serves customers ages 13 to 22 — and Impulse — which primarily serves customers ages 19 to 30 — departments. “Throughout 2013, Macy’s has continued to invest in exclusive brands to engage Millennial shoppers who are looking for diverse, current and trend-forward fashion,” said Molly Langenstein, Macy’s EVP/GMM, millennial and new business development. “With the introduction of two new Impulse brands this fall, Maison Jules and QMack, we are continuing to deliver on our promise of newness and excitement. Both collections are unique, contemporary and affordable, and further elevate Macy’s position as the Millennial shopping destination.” Macy's operates approximately 800 locations in 45 states, the District of Columbia, Puerto Rico and Guam, as well as to customers in the U.S. and more than 100 international destinations through its e-commerce site.
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MORRISONS pushes IT with 'Innovation Den' 1 August, 2013 | Planet Retail http://www.planetretail.net/News/Article/0/85265 Morrisons ‘Innovation Den’ is part of a major IT drive, Retail Week reports. The scheme, launched last month, involves suppliers pitching innovative technology to staff from the UK grocer’s relevant departments. If successful, suppliers will then work with the departmental team to develop a formal pitch for Morrisons’ IT leadership team. The first event involved five suppliers, including Wincor Nixdorf and Fujitsu, and the aim is to run the ‘Den’ on a quarterly basis. The move comes after Dalton Philips, CEO at Morrisons, said the company’s IT systems were firmly stuck in the 20th century and pledged to invest GBP310 million (USD479 million) in an overhaul by the end of the year.
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