Retail News CRM

Author: Mei Ling Tan

  • Damiani Group Acquires Iconic Swiss Watchmaker Baume & Mercier from Richemont

    Damiani Group Acquires Iconic Swiss Watchmaker Baume & Mercier from Richemont

    Switzerland’s luxury conglomerate Richemont has transferred the ownership of the distinguished watchmaker Baume & Mercier to Damiani Group of Italy. The financial details of this transaction remain undisclosed.

    Merging Into Damiani’s Luxury Portfolio

    Following this acquisition, Baume & Mercier will integrate into Damiani’s luxury product assortment. Damiani Group’s current portfolio consists of its own brand along with Salvini, Bliss and Calderoni – all renowned jewellery brands. Additionally, it owns Venini, a glassmaking company, and Rocca, a distributor of multi-brand watches and jewellery.

    Baume & Mercier, a Swiss luxury watch company, was initially established as Frères Baume in 1830. It started operating under its present name from 1918. The brand is globally recognized for its sophisticated and high-end wristwatches that seamlessly blend traditional craftsmanship with modern aesthetics.

    Baume & Mercier was incorporated into the Richemont Group during the latter’s formative years in 1988.

    Unlocking Long-term Potential

    Richemont has expressed that Baume & Mercier’s long-term potential can be best achieved under the Damiani Group, considering the latter’s robust presence in Italy.

    Damiani intends to boost Baume & Mercier’s visibility and market penetration by utilizing its widespread multi-brand distribution network. It also plans to establish exclusive mono-brand boutiques in select strategic locations.

    Ensuring a seamless transition, Richemont will continue to offer operational services for Baume & Mercier, for a minimum period of 12 months after the deal closure.

    The transaction is poised to conclude this summer, subject to certain prerequisites.

    Richemont’s Business Areas

    Richemont’s operations span across three primary sectors – jewellery, specialist watches, and fashion and accessories. The group’s portfolio includes esteemed watchmakers such as A Lange & Sohne, IWC Schaffhausen, Jaeger-LeCoultre, Panerai, Piaget, Roger Dubuis and Vacheron Constantin.

    In the quarter ending on December 31, Richemont reported a sales revenue of 6.4 billion euros, marking an 11% growth at constant exchange rates.

    Questions & Answers

    What is the history of Baume & Mercier?
    Baume & Mercier was originally established as Frères Baume in 1830 and began operating under its current name from 1918. It became part of the Richemont Group in 1988.

    What are Damiani Group’s plans for Baume & Mercier?
    Damiani Group aims to enhance Baume & Mercier’s visibility and market reach by leveraging its extensive multi-brand distribution network and opening select mono-brand boutiques in strategic locations.

    What are the primary sectors of Richemont’s operations?
    Richemont operates mainly in three sectors – jewellery, specialist watches, and fashion and accessories.

  • Subway Malaysia Apologizes After Unsettling Discovery of ‘Cockroach Legs’ in Customer’s Coffee

    Subway Malaysia Apologizes After Unsettling Discovery of ‘Cockroach Legs’ in Customer’s Coffee

    An unsettling incident unfolded at a Subway outlet in Malaysia, causing discomfort to a customer who allegedly found insect parts in her coffee cup. The incident further led to Subway issuing an apology and taking immediate actions to rectify the situation.

    A Disturbing Discovery

    The incident was first made known on a social media platform by a user named Fara Lee. Lee stated that the unpleasant incident occurred at the Subway outlet located in Mydin Mall Meru Raya, Ipoh, where a colleague of hers had bought the coffee. The colleague, upon feeling something odd in her throat, discovered what seemed to be cockroach legs in her coffee cup, after consuming half the drink.

    The shared images depicted what were believed to be insect legs stuck to the sides of the cup and floating in the half-drunk beverage. The post rapidly garnered attention, receiving more than 3,200 likes and over 420 comments.

    Subway’s Response

    Responding to the incident, Subway Malaysia issued an apology and assured the public that immediate proactive steps were taken. The fast-food chain temporarily closed the outlet in question to conduct a comprehensive inspection and thorough cleaning.

    In its commitment to maintaining high hygiene standards, Subway Malaysia further stated that it would enforce appropriate measures to prevent such an incident from recurring in the future.

    Earlier this week, Subway Malaysia shared images of the outlet’s coffee machine and premises undergoing a detailed cleaning process. The company stated that despite having regular hygiene protocols in place, a full deep clean of the outlet had been performed as an additional step of reassurance.

    Questions & Answers

    What did the customer find in her coffee cup?
     The customer allegedly found what appeared to be cockroach legs in her coffee cup.

    What actions did Subway Malaysia take in response to the incident?
     Subway Malaysia temporarily closed the outlet for a thorough inspection and cleaning. The company also conducted a deep clean of the outlet as an added reassurance measure.

    What preventive measures will Subway Malaysia apply to avoid such incidents in the future?
     Subway Malaysia has committed to maintaining high hygiene standards and will enforce appropriate measures to prevent such incidents from recurring in the future.

  • US Investors Seek Govt. Probe into South Korea over Alleged Unfair Treatment Post Coupang’s Data Breach

    US Investors Seek Govt. Probe into South Korea over Alleged Unfair Treatment Post Coupang’s Data Breach

    Two prominent American investors in South Korean e-commerce giant, Coupang Inc., have lodged formal complaints with the US government. They are seeking an investigation into what they perceive as prejudiced actions by the South Korean government against the company.

    Investors Call for Investigation

    Greenoaks and Altimeter, the two tech investment firms, have also initiated arbitration proceedings against South Korea. They cite the US–Korea Free Trade Agreement (KORUS) and accuse Seoul of leading an aggressive campaign against Coupang in the wake of a significant consumer data breach. This breach, they claim, has led to billions of dollars in investor losses.

    The petition follows Coupang’s disclosure in November that the personal data of approximately 33 million South Korean customers had been compromised. The breach led to substantial public and political backlash, resulting in comprehensive investigations and multiple lawsuits from both investors and consumers.

    The investors have petitioned the US Trade Representative (USTR) to scrutinize South Korea’s actions and impose “appropriate trade remedies.” These could potentially include sanctions and tariffs, as they assert that the response to the data incident exceeds standard regulatory enforcement measures.

    Potential Implications

    The situation could escalate this corporate dispute into a potential intergovernmental trade conflict, leveraging US trade law and international treaties to challenge the actions of South Korean authorities. However, there has been no comment thus far from the USTR.

    South Korean President Lee Jae Myung has previously advocated for stringent penalties following the Coupang data incident. He reiterated at a recent press conference that South Korea will address this issue impartially, adhering strictly to the country’s legal framework and principles.

    South Korea’s Trade Minister, Yeo Han-koo, earlier dismissed accusations of discrimination against Coupang. He argued that significant data leaks, coupled with Coupang’s inadequate response, should be viewed separately from trade and diplomatic issues. He stated that in a similar situation, US authorities would naturally retaliate in the same manner against a Korean business operating in the US.

    Investor Accusations

    The investors accuse the South Korean government of initiating an extensive government response to undermine Coupang’s operations, including labor, financial, and customs investigations seemingly unrelated to the data breach.

    Marney Chee, a partner at Covington representing Greenoaks, expressed concerns over both the magnitude and speed of the government’s response. He stated that such actions have led to substantial damages and pose a threat to their Coupang investment’s value.

    Since the company disclosed the data breach at the end of November, Coupang’s shares listed on the New York Stock Exchange have fallen by around 27%. The investors aim to halt what they deem as prejudiced conduct and seek to reinstate fair and predictable business conditions for US companies operating in South Korea.

    Future Implications

    The formal notice sent via KORUS initiates a 90-day ‘cooling-off’ period for consultation before the commencement of full arbitration proceedings. Separately, the USTR has up to 45 days to determine whether to initiate a formal investigation. This step could pave the way for public comments, hearings, and possible US countermeasures, including tariffs on South Korean goods and services.

    Greenoaks, one of the alleging parties, was founded by Coupang board member Neil Mehta. Greenoaks and related entities hold more than $1.4 billion worth of Coupang shares. In 2023, Coupang also partnered with Greenoaks to acquire luxury fashion platform Farfetch in a deal worth $500 million.

    Questions & Answers

    What are the investors accusing the South Korean government of?
    The investors, Greenoaks and Altimeter, accuse the South Korean government of discriminatory treatment of Coupang following a significant consumer data breach.

    What is the potential impact of this dispute?
    This disagreement could escalate from a corporate dispute to a government-to-government trade issue, potentially resulting in US sanctions and tariffs against South Korea.

    What is the investors’ ultimate goal?
    The investors are seeking an end to what they perceive as prejudiced conduct by the South Korean government and are calling for the reinstatement of fair and predictable business conditions for US companies operating in South Korea.

  • Vietnam’s Gold Rates Skyrocket as Global Bullion Hits Record $5,000 Per Ounce

    Vietnam’s Gold Rates Skyrocket as Global Bullion Hits Record $5,000 Per Ounce

    Gold prices in Vietnam experienced a significant boost on Monday as international bullion rates soared to a new record high of over US$5,000 per ounce. Saigon Jewelry Company’s gold bar price increased by 1.26% to VND176.5 million (US$6,735.35) per tael, a rate echoed by other sellers in the area.

    Local and Global Rates

    Within Vietnam, the price of bullion is now VND14 million per tael higher than the worldwide standard. This surge in price is not limited to bars of gold, as the cost of gold rings also saw an increase of 1.45% to VND175.5 million per tael. Just to clarify, a tael is a unit of weight, equivalent to 37.5 grams or 1.2 ounces.

    Global Gold Price Surge

    Internationally, gold has set a new record high. The escalation in the price of gold is attributed to investors seeking a ‘safe-haven’ asset in light of increasing political uncertainties around the globe. The spot gold price rose by 1.98% to $5,081.18 per ounce, after initially reaching $5,092.71. The precious metal has seen its value increase by over 17% this year alone. Similarly, U.S. gold futures for February delivery saw a 2.01% increase to $5,079.30 per ounce.

    Market analyst Fawad Razaqzada explains the recent trend in gold prices as typical ‘safe-haven’ behaviour. He suggests that underlying demands for secure investments continue to be present, as confidence in the dollar and bonds appear to be somewhat unsteady.

    Questions & Answers

    What caused the surge in gold prices?
    The increase in gold prices is primarily driven by investors seeking a ‘safe-haven’ asset due to the rise in geopolitical uncertainties.

    How much has the value of gold increased this year?
    The price of gold has risen by more than 17% this year.

    What is the current price of gold per tael in Vietnam?
    The price of gold per tael in Vietnam is currently VND176.5 million.

  • “Telenor Retreats from Asian Markets: Sells $3.9 Billion Stake in True Corporation, Bids Adieu to Thailand”

    “Telenor Retreats from Asian Markets: Sells $3.9 Billion Stake in True Corporation, Bids Adieu to Thailand”

    Telenor, the Nordic telecom operator, has confirmed its departure from the Thai telecom sector. After a quarter of a century presence in the country, the company is selling its majority stake in True Corporation. This development is part of Telenor’s strategic withdrawal from the Asian marketplace.

    Details of the Deal

    The agreement outlines that Telenor will sell its 24.95% share in True Corporation to Arise Digital Technology Company. The sale price is set at NOK 32.3 billion. The buyer, Arise, is a company run by Thai businessman Khun Suphachai Chearavanont. Furthering the deal, both parties have reached a consensus allowing Arise to purchase Telenor’s residual 5.35% stake within the forthcoming two years. The cost for this additional acquisition is NOK 6.9 billion.

    Withdrawal from Asia

    The exit from Thailand’s market echoes Telenor’s recent business moves in other Asian territories, epitomizing the company’s ongoing strategy of pulling out of Asia. Notably, it recently sold its Pakistani business to Pakistan Telecommunication Company Limited for upwards of USD 500 million. The company is now placing a greater emphasis on strengthening its Nordic foundations.

    Telenor still has a presence in Bangladesh and Malaysia through its holdings in Grameenphone and CelcomDigi, respectively. Previously, Telenor operated in both India and Myanmar, but has since withdrawn from these markets.

    Remarks from the CEO

    Telenor’s CEO, Benedicte Schilbred Fasmer, expressed satisfaction with the arrangement made with Arise. She noted that at the company’s Capital Markets Day in November, they had mentioned their search for opportunities to create structural value in Asia. With the completion of Telenor Pakistan’s sale in December and the agreement to sell their shares in True, she believes they have made significant progress towards that goal.

    Telenor’s journey in Thailand began in 2000 when it acquired shares in Total Access Communication (TAC). TAC later became dtac, one of the largest mobile operators in the country. In 2023, dtac and True merged to bolster its competitive stance against the market leader, AIS.

    Questions & Answers

    What is the significance of Telenor selling its stake in True Corporation?
    The sale of Telenor’s stake in True Corporation marks the company’s exit from the Thai telecoms market, signifying a strategic pullback from Asia and a refocus on its Nordic operations.

    What other recent business moves has Telenor made in Asia?
    Besides its exit from Thailand, Telenor recently sold its Pakistani business to Pakistan Telecommunication Company Limited. The company has also previously ceased operations in India and Myanmar.

    Which Asian markets does Telenor still operate in?
    Telenor maintains its presence in Asia through its holdings in Grameenphone in Bangladesh and CelcomDigi in Malaysia.

  • Revolutionizing Taiwan’s Connectivity: Chunghwa Telecom Spearheads North Asia’s First O3b mPower Ground Station with SES

    Revolutionizing Taiwan’s Connectivity: Chunghwa Telecom Spearheads North Asia’s First O3b mPower Ground Station with SES

    Chunghwa Telecom, a Taiwan-based telecommunications company, has officially partnered with SES, a satellite operator based in Luxembourg. The two companies have struck a Memorandum of Understanding (MoU) to develop the first second-generation O3b mPower ground station in North Asia, located in Taiwan.

    The Aim of the Agreement

    The primary objective of this cooperation is to substantially improve Taiwan’s Medium Earth Orbit (MEO) satellite data transfer capacity and service performance. The project expects to provide faster, more reliable, and highly robust satellite connectivity. In addition to enhancing the data transmission, the project also seeks to strengthen Taiwan’s vital communication infrastructure. To achieve this, it will ensure that essential traffic information is landed directly within the country, thereby supporting network sovereignty and resilience.

    Collaboration’s Contributions

    As part of their collaboration, SES will use their system deployment and operational expertise from their Satellite Innovation Centre in The Hague, the Netherlands. The partnership will highlight the advanced applications that satellites can offer. These include the integration of multi-orbit satellite communications, connectivity to the cloud, edge computing, data analytics for the Internet of Things (IoT), and automated machine vision.

    Furthermore, Chunghwa Telecom and SES are looking into the possibility of establishing a Satellite Innovation Lab in Taiwan. This proposed undertaking will have demonstration sites and certification processes meant to aid domestic companies in speeding up the validation of technology and the adoption of products. By aligning with SES’s global ecosystem, Taiwanese firms might have the opportunity to penetrate international supply chains and gain commercial opportunities.

    Benefitting Taiwan’s Global Stature

    This collaborative effort utilizes Taiwan’s proficiency in semiconductors and avant-garde manufacturing to create a cooperative hardware-and-software ecosystem. This will further reinforce Taiwan’s strategic position in the global satellite and space technology sector.

    Jia Chung-Yung, President of Chunghwa Telecom’s Network Technology Group, shared that the company continues to amalgamate diverse communication resources to build a new-generation network architecture. This structure marries high resilience and technological innovation. He assured that the company will continue to invest in the development of next-generation communication technologies and promote diversified services and application innovations. Furthermore, he emphasized the company’s commitment to its ESG sustainability goals, laying a long-term foundation for Taiwan’s communication resilience.

    Questions & Answers

    What is the primary aim of the collaboration between Chunghwa Telecom and SES?
    The collaboration primarily aims to improve Taiwan’s Medium Earth Orbit (MEO) satellite data transfer capacity and service performance, and strengthen Taiwan’s essential communication infrastructure.

    What will be SES’s contribution to this collaboration?
    SES will leverage its system deployment and operational expertise from their Satellite Innovation Centre to highlight advanced satellite-enabled applications such as cloud connectivity, edge computing, and IoT data analytics.

    What is the purpose of the proposed Satellite Innovation Lab in Taiwan?
    The Satellite Innovation Lab aims to provide demonstration sites and certification processes to aid domestic firms in speeding up the validation of technology and product adoption, potentially opening up access to international supply chains and commercial opportunities.

  • Celsius Energizes Aston Martin F1 Team with Global Multi-Year Partnership: A New Frontier in Formula 1 Sponsorships

    Celsius Energizes Aston Martin F1 Team with Global Multi-Year Partnership: A New Frontier in Formula 1 Sponsorships

    Celsius, a renowned energy drink brand, has embarked on a multiple-year worldwide affiliation with the Aston Martin Aramco Formula One team, becoming the team’s ‘official Global Energy Drink Partner’.

    Aligning with Global Expansion

    This deal coincides with Celsius’ ongoing global expansion into key markets including the United Kingdom, Australia, France, Canada, and the United States. The collaboration aims to enhance the visibility of the Celsius brand within the Formula 1 setting and its worldwide audience.

    As an integral part of this alliance, both parties will incorporate the ‘Live Fit Go’ campaign by Celsius that was initiated in 2025 and set to broaden its reach to further markets by 2026.

    Fitness-centric Collaborations and Events

    Geared towards wellness-focused consumers and the racing fraternity, the two entities are also slated to organize fitness-based activations along with joint events bearing their respective branding.

    Jefferson Slack, MDC of Aston Martin Aramco Formula One, commented on the partnership, positive that it would introduce new energy into their I/AM program and foster better connections among ambition, culture, and community. He added that they would pioneer this initiative with the inaugural jointly-hosted Run club in Melbourne and plan to design numerous creative activations throughout the season to animate this partnership and jointly foster a movement of positive energy.

    These occasions will include running sections that take inspiration from race tracks and city landmarks. Concurrently, Celsius products will be accessible within the Aston Martin Aramco garage and at selected fan locations during the season.

    Collaboration with a Passionate Fan Base

    Kyle Watson, CBO of Celsius Holdings, noted that the fervent fan base of Aston Martin Aramco lays the foundation for a symbiotic partnership, heralding an exciting new chapter for Celsius in the realm of Formula 1.

    Questions & Answers

    What is the main goal of the partnership between Celsius and Aston Martin Aramco Formula One team?
    The partnership aims to enhance the visibility of the Celsius brand within the Formula 1 setting and its global audience.

    What kind of events are planned under the partnership?
    The partnership plans to organize fitness-based activations and jointly-branded events, featuring running sections inspired by race tracks and city landmarks.

    Where will Celsius products be available during the season?
    Celsius products will be available within the Aston Martin Aramco garage and at selected fan locations during the season.

  • Levi Strauss Taps Vicky Skelton to Propel Growth in East Asia Pacific

    Levi Strauss Taps Vicky Skelton to Propel Growth in East Asia Pacific

    Levi Strauss & Co has recently named Vicky Skelton, an experienced executive within the company, as the new Managing Director for East Asia Pacific. This move comes as part of the denim giant’s strategy to boost growth in this key region.

    Vicky Skelton’s New Role

    Skelton will assume responsibility for supervising all commercial operations across a variety of channels in her new position. She will lead the charge in driving sustainable, long-term growth throughout the East Asia Pacific. This is a region where Levi’s has been experiencing a strong upward trend.

    The company has identified several potential growth areas including retail expansion, digital acceleration, and brand-driven growth. These opportunities are backed by a robust consumer demand for the Levi’s brand and solid local partnerships already in place.

    Gianluca Flore, the Chief Commercial Officer at Levi Strauss & Co, spoke highly of Skelton, stating that she has consistently demonstrated the ability to deliver strong results while creating high-performing, purpose-driven teams. He highlighted her role in amplifying brand momentum in Canada and expressed his confidence in her ability to replicate this success in the East Asia Pacific, setting the stage for future growth.

    Vicky Skelton’s Track Record

    Skelton has been with Levi’s for over 13 years, during which she has held several senior leadership positions across the company. In her most recent role as General Manager of Canada, Skelton implemented a more focused direct-to-consumer strategy. She was successful in providing robust commercial performance and fostering growth in the women’s category.

    Questions & Answers

    What is Vicky Skelton’s new role at Levi Strauss & Co?
    Vicky Skelton has been appointed as the Managing Director for East Asia Pacific.

    What will be her main focus in this role?
    Her primary focus will be to oversee commercial operations across all channels and lead efforts to drive sustainable, long-term growth in the East Asia Pacific region.

    What has been her contribution to Levi Strauss & Co so far?
    Skelton has been with Levi’s for over 13 years, holding several senior leadership positions. Most recently, she served as General Manager of Canada where she led a more focused direct-to-consumer strategy, delivered solid commercial performance, and accelerated growth in the women’s category.

  • Unleash Your Inner Superhero: Marvel and Oreo Launch Limited-Edition ‘Stuf of Legends’ Cookies Nationwide

    Unleash Your Inner Superhero: Marvel and Oreo Launch Limited-Edition ‘Stuf of Legends’ Cookies Nationwide

    Marvel has joined forces with Oreo to introduce the ‘Legend Cookies’ series, set to hit retailers across the country on February 2.

    The Legendary Collaboration

    This exclusive collaboration, dubbed ‘Marvel Oreo Stuf of Legends’, features limited-edition cookie packs adorned with artwork by notable artist Todd Nauck. The unique cookies feature 32 different designs, each one representing characters from popular Marvel franchises including The Avengers, Spider-Man, X-Men, and The Fantastic Four.

    Matt Foley, the Vice President of Oreo, views this partnership as a significant cultural event that strengthens bonds with fans by creating shared moments of joy. According to him, “This collaboration elevates the iconic status of both brands by transforming fans from mere spectators into active participants. They are encouraged to engage in Super Hero-inspired play through the medium of Oreo cookies.”

    Unveiling the Cookie Collection

    As of now, three out of the four pack designs have been released. However, Oreo plans to incorporate elements of Marvel’s villainous characters as a narrative strategy to bridge the gap between these distribution phases, encouraging fans to complete the entire set.

    Liz Shortreed, Senior Vice President of Disney Consumer Products for the Americas and Global Softlines, believes that collaborating with Oreo enables them to infuse Marvel’s storytelling into everyday activities. As she explains, “This partnership transforms snack-time into an enjoyable fan experience, complete with iconic characters and engaging digital interactions.”

    The pre-sale for these limited-edition packs begins on January 26 on the snack company’s official website. The nationwide retail launch will then take place on February 2.

    Oreo’s Continued Innovations

    In the previous year, Mondelez International broadened its Oreo product line with the introduction of Oreo Zero Sugar and Oreo Double Stuf Zero Sugar in the United States, scheduled for release in January.

    Questions & Answers

    What is the ‘Marvel Oreo Stuf of Legends’ collection?
    This is a limited-edition cookie pack collection introduced by Oreo in collaboration with Marvel. It features cookies with 32 unique designs representing characters from various Marvel franchises.

    When will the limited-edition packs be available for pre-sale?
    The pre-sale of these packs starts on January 26 on the snack company’s official website.

    What are some recent additions to the Oreo product line?
    In the previous year, Oreo expanded its product line with the introduction of Oreo Zero Sugar and Oreo Double Stuf Zero Sugar in the United States.

  • Explore More: China Boosts Tax-Free Shopping with 41 New Duty-Free Stores for Global Travellers

    Explore More: China Boosts Tax-Free Shopping with 41 New Duty-Free Stores for Global Travellers

    China is set to increase its appeal to international tourists by opening 41 new duty-free stores, as part of a broader initiative to stimulate tax-free shopping upon arrival. This new development was unveiled in a joint statement by five Chinese government departments, including the Ministry of Finance.

    This enhancement comes in the wake of China Tourism Group Duty Free purchasing the travel retail business of DFS Greater China from luxury goods conglomerate LVMH for a sum of US$400 million.

    The statement outlined that the primary goal of establishing and refining these duty-free stores at entry ports is to provide a more straightforward and seamless duty-free shopping experience for arriving passengers. Furthermore, the intention is to fully utilize the potential of duty-free stores to reinforce and stimulate consumption, thereby fostering the growth and systematic progression of the duty-free retail sector.

    The announcement also highlighted that provisions are being made for the creation of duty-free stores in an additional 11 locations. However, the establishment of such outlets at Qingdao Liuting International Airport, Guangzhou East Railway Station, and Jiangmen Port will be discontinued.

    The authorities also pointed out the increasing significance of shopping for tourists in China, stating that it has become an “increasingly integral” aspect of travel itineraries.

    Questions & Answers

    Why is China planning to increase the number of its duty-free stores?
    China aims to stimulate tax-free shopping for international tourists upon arrival and sees this as a way to boost consumption and foster systematic progression of the duty-free retail sector.

    What recent significant purchase might have influenced this decision?
    China Tourism Group Duty Free recently purchased the travel retail business of DFS Greater China from LVMH for US$400 million, which may have triggered this decision.

    What changes will occur at current duty-free locations?
    Although the creation of duty-free stores in an additional 11 locations is planned, the establishment of such outlets at Qingdao Liuting International Airport, Guangzhou East Railway Station, and Jiangmen Port will be discontinued.

  • Singapore Eateries Appeal for Increased Subsidies and Rent Control Amid Skyrocketing Business Closures

    Singapore Eateries Appeal for Increased Subsidies and Rent Control Amid Skyrocketing Business Closures

    Amid numerous business closures, the restaurant industry in Singapore is urging the government for additional labor cost subsidies and measures to control excessive rental hikes for the food and beverage sector. This appeal was recently put forward by The Restaurant Association of Singapore, which suggested an increase in subsidies under the Progressive Wage Credit Scheme to 75% for 2026 to 2028, a notable rise from the current 50%.

    The Impact on Singapore’s Food Scene

    As patrons review menus outside a local restaurant in a Singaporean shopping center, the underlying struggles of the industry are far from view. The association has proposed numerous changes, including the elimination of foreign worker levies, reducing the wait time for Progressive Wage Credit Scheme payouts, and allocating additional funding to support employees’ parental leave.

    The restaurant industry in Singapore is weathering what the association refers to as a “perfect storm” of escalating costs, labor shortages, and evolving consumer habits. The situation has led the association to seek government intervention to enhance cost predictability and stimulate domestic demand in the food and beverage sector.

    According to government data, the food scene in Singapore suffered 2,431 closures within the first ten months of the previous year, with 63% of these businesses failing to make it past the five-year mark. With the sector’s contraction in 2024 and record-breaking business closures, the association warns of potential threats to the long-term sustainability of food and beverage businesses, especially small and medium-sized enterprises (SMEs).

    Addressing High Rental Costs

    Another key focus of the association’s proposal is rental stabilization. Maintaining a consistent rental cost is a significant issue for the industry, as it represents a major fixed expense for businesses. The association asserts that providing “essential cost predictability” would equip businesses with the necessary information to make informed, long-term financial decisions.

    The association has suggested policy interventions to address exorbitant rental renewal increases. These include introducing caps on increases or linking them to macroeconomic indicators such as gross domestic product growth.

    In an effort to further support local businesses, the association is advocating for stronger measures, including raising foreign worker quotas and simplifying licensing fees.

    Benjamin Boh, President of the association, stated, “A vibrant and thriving food and beverage industry is crucial to making Singapore an attractive place to live and visit for both residents and tourists.” He emphasized that the proposed measures would offer business owners and operators a much-needed “breathing room” to fortify their business structures while managing external market pressures.

    Since its establishment in 1980, the Restaurant Association of Singapore has represented over 500 members and roughly 800 brands, covering more than 5,000 outlets.

    Questions & Answers

    What is the Progressive Wage Credit Scheme?
    This is a government initiative in Singapore designed to subsidize labor costs in various sectors, including food and beverage.

    What policy interventions has the Restaurant Association of Singapore proposed to address high rental costs?
    The association has suggested measures such as introducing caps on rental increases or linking them to macroeconomic indicators like gross domestic product growth.

    What was the impact of business closures on Singapore’s food scene last year?
    The food scene in Singapore witnessed 2,431 closures within the first ten months of the previous year, with 63% of these businesses failing to survive beyond five years.

  • DoorDash Expands Aldi Partnership: Liquor Delivery to NSW and Victoria, Special Buys Nationwide!

    DoorDash Expands Aldi Partnership: Liquor Delivery to NSW and Victoria, Special Buys Nationwide!

    Starting January 21, Aldi customers in New South Wales and Victoria will have the option to purchase the retailer’s exclusive range of alcoholic beverages via DoorDash. This new service is a part of the ongoing partnership between Aldi and DoorDash, which was established a year ago.

    Expanding Delivery Options

    In addition to alcoholic beverages, Aldi’s popular Special Buys will also be available for nationwide delivery from most store locations through DoorDash. This move is in line with the company’s efforts to make more of its products conveniently accessible to customers.

    Simon Padovani-Ginies, Group Director at Aldi Australia, has emphasized the company’s commitment to making as much of Aldi’s offerings as possible available for delivery. The inclusion of their exclusive liquor range for shoppers in New South Wales and Victoria, as well as the nationwide availability of Special Buys, means that more customers will be able to access Aldi’s high-quality, low-cost products from the convenience of their homes.

    Improving Customer Experience

    This move is not just about expanding product availability – it’s also about elevating the customer experience. With the current pandemic, online shopping has become the norm and businesses that offer home delivery services are increasing in popularity. By offering delivery of their exclusive liquor products and Special Buys, Aldi is catering to the evolving needs of its customers, making shopping more convenient and stress-free.

    Questions & Answers

    When will Aldi customers in New South Wales and Victoria be able to purchase liquor products via DoorDash?
    Starting January 21, Aldi will offer delivery of its exclusive liquor products to customers in New South Wales and Victoria through the DoorDash service.

    What other products will Aldi make available for delivery via DoorDash?
    In addition to its exclusive range of alcoholic beverages, Aldi will also make its popular Special Buys available for nationwide delivery from most store locations.

    What is the aim of this new service?
    The new service aims to make shopping more convenient for Aldi customers. It is also a part of the company’s efforts to cater to the evolving needs of consumers in the current pandemic climate, where online shopping and home delivery services have become increasingly relevant and popular.

  • Woolworths Faces Potential New Zealand Regulatory Breach Amid Alleged Grocery Industry Competition Act Violations

    Woolworths Faces Potential New Zealand Regulatory Breach Amid Alleged Grocery Industry Competition Act Violations

    Woolworths, a prominent supermarket chain, has recently been cautioned about potentially violating the Grocery Industry Competition Act. This situation arose due to the delisting of certain products in its New Zealand branches.

    Grocery Industry Competition Act: Purpose and Management

    The Grocery Industry Competition Act is governed by the New Zealand Commerce Commission (NZCC). Its primary objective is to regulate the relationship between suppliers and supermarkets. By demanding greater transparency when products are delisted from store shelves, it seeks to protect the interests of smaller suppliers.

    The act, which was established in 2023, is expected to incorporate the Grocery Supply Code in May. Non-compliance with the code could lead to penalties, as per the statement from the commission.

    Investigation into Non-Compliance

    The NZCC has been scrutinizing the product-range review methods of leading supermarkets to ensure they are complying with the code.

    A spokesperson commented on the situation, saying, “Through this process, we identified and investigated situations where it appeared that Woolworths New Zealand might not be fulfilling its responsibilities.” Post investigation, Woolworths New Zealand was issued a warning for a probable breach of the Grocery Industry Competition Act. However, the spokesperson noted that only a court can establish whether an actual breach has occurred. Since the warning, Woolworths has amended its procedures to comply with the regulations.

    Impact on Groceries and Suppliers

    Alice Hume, the head of groceries at NZCC, stated that this action was taken in response to suppliers’ concerns. She highlighted the pressure on suppliers with the possibility of their products being delisted. This situation could further exacerbate the imbalance of power between major supermarkets and smaller suppliers.

    “The fear of losing market access can pressure suppliers into accepting unfavorable conditions and foster distrust towards supermarkets’ decision-making processes,” Hume explained. “The code is instrumental in equalizing the power dynamics between large supermarkets and smaller suppliers, so we treat compliance with the utmost seriousness.”

    Hume also mentioned that the NZCC continues to assess the product ranges available at supermarkets, inviting any worried suppliers to reach out to the commission.

    Questions & Answers

    What is the purpose of the Grocery Industry Competition Act?
    The Grocery Industry Competition Act is designed to govern the relationship between supermarkets and suppliers, with a demand for more transparency during product delisting to protect smaller suppliers.

    What are the consequences of breaching the Grocery Supply Code?
    Non-compliance with the Grocery Supply Code, which is part of the Grocery Industry Competition Act, can result in penalties.

    What are the concerns of the smaller suppliers?
    Smaller suppliers are concerned about potential product delisting, which could reinforce power imbalances with major supermarkets, pressurize them into accepting unfavorable conditions, and induce a lack of trust in supermarkets’ decision-making processes.

  • Jollibee Group’s Remarkable Global Surge: Coffee Leads the Way and Chinese Cuisine Gains Momentum

    Jollibee Group’s Remarkable Global Surge: Coffee Leads the Way and Chinese Cuisine Gains Momentum

    The Jollibee Group has recorded impressive progress in its coffee, tea, and Chinese cuisine sectors, bolstered by an aggressive international expansion strategy, enhanced store operations, and unwavering commitment to the performance of its flagship brands.

    The Boom in Coffee and Tea

    The group’s coffee and tea division is at the forefront of this growth trajectory, with Compose Coffee and Highlands Coffee stepping up their store establishment rates and solidifying their market dominance.

    Compose Coffee, in South Korea, has grown beyond the 3000-store mark, setting up an additional 1000 outlets in less than a year and a half. The platform’s mobile application has garnered a cumulative user base of nearly 18 million, following a widely successful celebrity-led promotional campaign.

    Richard CW Shin, CEO of Jollibee Group International and Global Chief Financial and Risk Officer of Jollibee Group, lauded Compose Coffee’s exponential growth. He affirmed the brand’s ability to scale while retaining quality, value, and consumer affinity.

    Shin shared the group’s intent to extend the brand’s momentum to other global markets. He expressed optimism in Compose Coffee’s potential to generate long-term shareholder value, emphasizing the brand’s strategic role in driving Jollibee Group’s international growth.

    Highlands Coffee, based in Vietnam, has secured its position as the nation’s leading coffee brand by market share. With a burgeoning network of nearly 1000 outlets, Highlands Coffee serves in excess of 100 million customers each year.

    Chinese Cuisine on the Rise

    The group’s Chinese cuisine department also noted significant strides. Yonghe King, in particular, augmented its presence in China with the introduction of 35 new franchised stores recently. This move is part of a more efficient operational blueprint that supports the group’s drive for stable and sustainable market operations.

    Tim Ho Wan, post its acquisition, has shown promising indicators, with all its stores in Hong Kong reportedly regaining profitability within six months. The brand’s early performance in the US is also promising. The inauguration of Tim Ho Wan Irvine marked the brand’s debut as a company-operated store in the US under the Jollibee Group, with plans to reach 20 locations across North America by 2028.

    Questions & Answers

    What is behind the success of Compose Coffee in South Korea?
    Compose Coffee has successfully established over 3000 stores in South Korea, with an additional 1000 outlets set up in under 18 months. This growth is attributed to a strategic expansion plan and a celebrity-led promotional campaign that increased the user base of its app.

    How is Highlands Coffee performing in Vietnam?
    Highlands Coffee retains the top spot in Vietnam’s coffee market by share, with a network of nearly 1000 outlets and over 100 million customers served annually.

    What is the performance of the Chinese cuisine segment of the Jollibee Group?
    Significant progress has been recorded in the Chinese cuisine segment, with Yonghe King expanding its footprint in China through the addition of 35 new franchised stores. Tim Ho Wan has also seen positive traction post-acquisition, with all Hong Kong stores returning to profitability within six months.

  • End of an Era: Lotteria Transforms into Zetteria, Marking a New Chapter in Japan’s Fast-Food Industry

    End of an Era: Lotteria Transforms into Zetteria, Marking a New Chapter in Japan’s Fast-Food Industry

    After 54 years in operation, the popular Japanese burger chain Lotteria is set to be rebranded as Zetteria, beginning in March. The Lotteria brand first entered the market in 1972, establishing its inaugural outlet in Tokyo. The decision to retire the brand was recently taken by its operating company, Zensho Holdings.

    Zensho Holdings, a leading food service operator in Japan, took ownership of Lotteria Japan in 2023. The first Zetteria branch opened its doors in Tokyo in September of the same year. Since then, Zensho Holdings has been systematically converting Lotteria stores into Zetteria outlets. By December 2025, Japan had 106 Lotteria outlets and 172 Zetteria stores, totaling 278 locations. This places Zensho Holdings as the fourth-largest burger chain operator in the country, following McDonald’s (3,025 outlets), Mos Burger (1,309), and Burger King (337).

    The number of Lotteria outlets has seen a significant decrease in recent years, plummeting from 358 in January 2023 to 222 by June 2025, a near 40% drop in just over two years. This drop reflects not only store closures, but also Zensho Holdings’ strategic approach to transform existing outlets and alter business models.

    The Zetteria brand aims to bridge the gap between fast food and cafe dining. Expansion has been expedited by repurposing existing Lotteria locations and modifying store signage and concepts. Through the integration of the two brands, Zensho Holdings hopes to reduce costs by refining raw material procurement and logistics, while also improving operational efficiency.

    Despite the shared naming of menu items like the Zeppin Cheeseburger between Lotteria and Zetteria, the two brands previously operated separate procurement, production, and distribution systems, leading to differences in buns, patties, and sauces.

    Zetteria locations have been described as spaces that offer a dining experience beyond the typical fast food ambiance. The outlets feature spacious layouts, ample seating, understated lighting, and interiors that are reminiscent of cafes. Certain locations provide charging points for laptops and many have transitioned to table tablet ordering instead of traditional counter service.

    The menu has also seen adjustments. While basic burgers start at JPY250 (US$1.58), the signature Zeppin Beef Burger is priced at JPY540, making it more expensive than the previous offerings of Lotteria. The brand has also introduced premium, limited-time items such as roast beef burgers.

    Industry experts view the rise of Zetteria as indicative of broader changes within Japan’s fast food sector, as more operators seek to offer more than just quick, inexpensive meals. Zetteria is seen as an experimental brand aiming to occupy a new position as both a fast food restaurant and a cafe.

    Questions & Answers

    What is the reason for Lotteria’s rebranding as Zetteria?
    The change was part of Zensho Holdings’ strategy to transform existing outlets, improve operational efficiency, and cut costs by streamlining raw material procurement and logistics.

    What makes Zetteria different from Lotteria?
    Zetteria aims to bridge the gap between fast food and cafe dining. Outlets offer spacious layouts, ample seating, understated lighting, and interiors that are reminiscent of cafes. The menu also includes premium items, with the signature Zeppin Beef Burger priced higher than Lotteria’s previous offerings.

    How has the fast food sector in Japan been evolving?
    The rise of brands like Zetteria represents a shift in Japan’s fast food sector, with more operators seeking to offer experiences beyond just quick, inexpensive meals. Zetteria is seen as an experimental brand aiming to occupy a new position as both a fast food restaurant and a cafe.