Retail News CRM

Author: Mei Ling Tan

  • Swiss watch exports fall most in six years

    Swiss watch exports fall most in six years

    Watch exports from Switzerland had the biggest decline in six years with October marking a 39 percent slump in shipments to Hong Kong, which is the biggest market for Swiss watches.

    Overall, watch shipments declined 12 percent to 2 billion Swiss francs (AU$2.78 billion), the Swiss customs office said in a statement. Watch exports to the US also declined 12 percent, reports Bloomberg. Watch exports make a 10th of Switzerland’s total exports.

    “Year 2015 has been one to forget for the watchmakers,” wrote Jon Cox, the analyst with Kepler Cheuvreux in Zurich.

    On backfoot

    It was around 2008 when Hong Kong became the largest market for Swiss watches, overtaking the US market. That lead is now waning after seven years. As demand dropped, many watch makers from Switzerland are trying to pull back from Hong Kong with TAG Heuer having shut a store in August.

    Richemont, which makes Cartier jewelry and IWC timepieces, also  reported falling sales over weak demand.

    “Hong Kong’s share is likely going to remain somewhere above 10 percent in the medium-term after being over 20 percent a year ago,” analyst Cox said.

    One more reason that affected the demand for Swiss watches is the competition from Apple’s smart watch. The US watchmaker Fossil group reported its stock having plumbed 37 percent and on Nov. 13 it forecast a decline in fourth-quarter sales by 16 percent as competition from wearable technology is affecting its sales.

    Rising UK market

    Meanwhile, there is room for cheer with the UK emerging as the world’s fastest growing market for Swiss watchmakers, according to statistics from the Federation of the Swiss Watch Industry.

    According to data, in the 9 months from Jan to Sep 2015, exports of Swiss watches to the UK rose 20 percent compared to the same period in 2014. Britain has become the eighth largest market for the Swiss watch industry, reports Watch Pro.

    The report said Chinese government’s anti-corruption drive had its impact on the luxury retail sector in Hong Kong, where exports fell and the exports to China also crashed 9.2 percent.

    The top 10 Swiss watch export markets

    1.      Hong Kong

    2.      USA

    3.      China

    4.      Italy

    5.      Japan

    6.      France

    7.      Germany

    8.      UK

    9.      Singapore

    10.    UAE

    Lees ook:

  • MTR railway Hong Kong duty free tender(s) open

    MTR railway Hong Kong duty free tender(s) open

    Hong Kong’s MTR Corporation has published its duty free prequalification tender invitation(s) for Hung Hom and Lo Wu railway stations and/or Lok Ma Chau – either as separate bids, or as part of a three-strong station package.

    The current business comprises Hung Hom Station serving the Guangzhou-Kowloon through train service; Lo Wu, which is the primary connection for rail travellers between the two territories and Lok Ma Chau which ultimately connects with the Longhua Line leading into Shenzhen.

    Anway – the sister company to Sky Connection in Hong Kong – currently operates separate Hong Kong-China duty free railway business at both Lo Wu and Lok Ma Chau stations.

    The existing MTR contract commenced on January 1, 2013, with the Lo Wu duty free shop historically accounting for more than 90% of combined gross revenues back in 2010, but this share has since changed. [The existing contract covers Lo Wu, Hung Hom and the onboard Hong Kong-Guangzhou train duty free shops-Ed].

    HK station commercial HY1 2015

    Hong Kong MTR DF ad

    Right now, MTR is requesting that qualified bidders should apply for the prequalification process before the end of January 2016, with invitations to tender expected to be issued ‘tentatively’ in April 2016.

    The various requirements for each offer can be found at the MTR site here [https://www.mtr.com.hk/en/corporate/tenders/Q043332.html]

    Basic requirements include bidders to submit their shareholding and financial information, along with audited financial statements for the past three years, references from landlords and annual gross sales turnover data spanning the last six years.

    Exif_JPEG_PICTURE

    The Lo Wu duty free railway station shop run by Anway has been substantially improved, with a wider range of merchandise on offer than ever before.©

    MTR is also asking for information relating to the number of years in duty free; number of sales outlets in Hong Kong and/or elsewhere; and operational capability and relevant experience of operating duty free businesses involving cross-boundary and international borders.

    As reported many times before, Lo Wu and Lok Ma Chau stations feed railway services directly into Mainland China as part of the estimated 100m-plus cross-boundary travellers who use these facilities each year.

    Historically, tobacco formed a very big element of the group’s port and railway store business. However, this received a big blow in August 2010 when the Hong Kong SAR Government’s cigarette allowance entitlement for ‘incoming’ travellers to Hong Kong was cut from three packs to 19 cigarettes as part of its public health programme.

    Following this, Anway has done a remarkable shop in trading customers up at Lo Wu and Lok Ma Chau shops by mitigating tobacco losses by pushing more spirits and other alcohol beverages – including offerings below 30% alcohol content like wine, where excise duties in Hong Kong were abolished in 2008.

    Lok Mau Chau Anway

    Anway/Sky Connection have upgraded the retail offer impressively and substantially in recent years. Shown here: the quality wine offer at Lok Mau Chau.©

    The retailer also made very positive efforts – along with MTR – to try and find ways to increase the retail space at Lo Wu in particular to help the operation. As a result of these efforts, Anway/Sky Connection Ceo Baker Salleh told TRBusiness at the time that the loss of tobacco sales proved surprisingly less damaging than the company had originally envisaged.

    Currently, MTR has a ‘total’ average weekday patronage of over 5.4m passengers across its entire network and is one of the busiest railway systems in the world.

    Revenue from its Hong Kong station commercial businesses in the half year ended 30 June 2015 up 8.5% to HK$2,579m ($332m) while the cross-boundary service to Lo Wu and Lok Ma Chau grew by 3.2% to 56.2m passengers for the six-month period to the end of June 2015.

    According to MTR’s accounts, the increase was driven mainly by higher rental income from station shops, resulting from rent renewals and increased turnover rents.

    Baker Salleh CEO Anway and Sky Connection

    Anway and Sky Connection CEO Baker Salleh and his team have improved Hong Kong’s railway duty free business impressively in recent years, despite significant challenges, including developing the Lok Mau Chau business from its infancy.©

    Station retail revenue for the period increased by 11.2% to HK$1,743m (224.8m). MTR says that the increase reflected rental increases and higher turnover rent, particularly from the Lok Ma Chau Station Duty Free Shops, as well as rent earned from shops in the new stations of the Western extension of the Island Line.

    Interested operators are being asked to express interest by submitting the relevant correspondence to the MTR Corporation Limited, 20/F, MTR Headquarters Building, Telford Plaza, Kowloon Bay, Hong Kong.

    Correspondence should be addressed to the Purchasing Manager – Property & Marketing, quoting ‘Expression of Interest for the Tender no. Q043332 – Operation of Duty Free Business at Hung Hom Station, Lo Wu Station and Lok Ma Chau Station” – on or before 15 January 2016.

    Lees ook:

  • Myanmar card payments on the rise as MPU widens network

    Myanmar card payments on the rise as MPU widens network

    Card payments in Myanmar are set to rise over the next few months as local shops and supermarkets sign up to Myanmar Payment Union, signalling the beginning of a shift in one of the world’s last cash-based economies.

    MPU got off to a slow start when it launched in 2012, but with the rise of connectivity, this is starting to change. Card transactions jumped from K40 million in September to K70 million in October, said MPU chair U Mya Than.

    Growth is driven by the participation of large retail chains, he said.

    Myanmar’s largest supermarket group City Mart Holding began accepting MPU payments in April, and now gives customers the option to pay by card in seven of its 20 outlets.

    Last month, Capital Diamond Star Group introduced card payments for the first time at its Capital Hypermarket stores.

    City Mart spokesperson Daw Khin May Day said the group’s decisions depend partly on the availability of infrastructure and the internet connection.

    “For customers holding MPU cards, this is one additional payment type, but usage is still quite low as a percentage of total payments,” she said. If the connection cuts out, shoppers pay in cash.

    City Mart has plans to accept additional types of payments and currently offers Visa and MasterCard services in three of its stores, she said.

    “We are aiming for a totally cashless society, but some customers and retailers are not ready for this yet,” said U Mya Than.

    The network will widen quickly with greater participation from shopping centres, he said, adding that most small retailers still prefer to take cash.

    Retail outlets in a new shopping centre being built by Shwe Taung Group of Companies in downtown Yangon will also accept card payments, he said. A Shwe Taung spokesperson said they were not ready to make an official announcement.

    Myanmar Information Technology is supporting MPU to help develop software, computerised systems and better connection lines, according to U Mya Than. The arrival of foreign operators such as Norway’s Telenor, Qatar’s Ooredoo and Japan’s KDDI has markedly improved connectivity, he said. In the past, disputes often broke out between customers and banks over faulty ATM machines, leading banks to install CCTV cameras to check if the connection had cut out.

    Myanmar now boasts around 1.2 million card users, although less than 10 percent of its 51.4 million population has access to banking services.

    Since October 2012, the number of point of sale, or POS, terminals in the three main cities – Yangon, Mandalay and Nay Pyi Taw – has jumped from 200 to 3000, and ATM machines now number 1600, from 20, according to MPU data. ATM transactions still outnumber card payments by 10 to one.

    Banks first offered credit cards in May this year, while debit cards have been on offer since 2011. Fifteen banks issue MPU cards and another eight are preparing to issue them.

    MPU recently signed an agreement with Japan Credit Bureau and China Union Pay to issue co-branded cards, which U Mya Than says he hopes will be introduced to the market before the end of the year.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Ecommerce offers a cheaper and faster way to market in China

    Ecommerce offers a cheaper and faster way to market in China

    Todd Fryhover, president of the Washington Apple Commission, joined China’s Singles Day celebration for the first time, hoping to sell 1.2m apples from Washington State in 24 hours.

    To help him out was the marketing juggernaut of Alibaba, the Chinese ecommerce company, where Washington apples are sold through branded website Tmall, one of a number of foreign food brands that are finding a ready market in China amid health scares over domestic produce.

    Singles Day, which began as a student celebration of singledom in the early 1990s, was reinvented by Alibaba in 2009 as a mass festival of conspicuous consumption, and more and more foreign companies are joining, hoping to use the holiday as a marketing exercise to get their brands out to the Chinese public.

    Mr Fryhover wants everyone in China to have “a repeatable, wonderful experience on Washington apples”. China is number six on the list of 60 countries that import apples from Washington’s 450 growers, but he thinks it will be number one by next year.

    He may be right. By midnight, as a video billboard in Alibaba’s Beijing auditorium showed, $14.3bn of merchandise had been bought via Alibaba’s platforms in 24 hours.

    Western companies are increasingly turning to online commerce, a cheaper and faster way to get to market than setting up store chains or penetrating the opaque retail market in China.

    To do this they are learning to love China’s internet conglomerates, informally known as BAT — Baidu, the search company, Alibaba and Tencent, the social media and gaming company. The three have begun to dominate economic life in China with amazing speed, doing everything from retail to finance to transportation, and moving into healthcare and even agriculture.

    In just a few years, the BAT conglomerates has been able to monopolise every aspect of daily life that could conceivably be put on the web and sold to the public. “They all want to own the customer, they want to be with them every second of the day, when they watch a video, chat to their friends, buy groceries, or go to a restaurant” says Chris DeAngelis from the Beijing-based Alliance Development Group.

    China’s internet giants are becoming what analyst Anne Stevenson-Yang of J Capital Research calls “tech Keiretsu”, referring to the national champions that dominated the Japanese economy in the 20th century with interests in multiple industries. “When companies are this big in China, the difference between public and private is not that important,” she says. “For all intents and purposes these companies have become the ministry of the internet.”

    But fierce competition means foreign sellers have many options for courting Chinese middle class buyers who are looking to buy imported goods abroad due to concerns about home-made counterfeit goods.

    Alibaba offers a number of options for sellers, including the free eBay-like platform Taobao, which is basically an online flea market. Most big brands set up on Tmall, which resembles an Amazon market place, a platform where big brands can set up stores and have more control over their sales and supply chains. Tmall’s first store from a fortune 500 company was Procter & Gamble, launched in 2008, which has grown 100 times since then, according to P&G vice-president Jasmine Xu.

    This year on Singles Day Ms Xu says that P&G made its first Rmb100m ($16m) in six minutes, compared with eight hours last year. “[Tmall] is a key platform to drive brand building in addition to sales,” she says.

    Some merchants have been loath to list on Alibaba, however. It gets vast online traffic, but the pressure to discount and the prevalence of fakes means it is “hard to protect a brand on Tmall,” says one consultant.

    But there are plenty of alternatives. JD.com, Alibaba’s rival, which is increasing its market share, has attracted a number of brands to its online store.

    China in many ways is more switched on to the internet than other countries which have had it for longer– Jim James

    Meanwhile, waiting in the wings is Tencent’s social media app WeChat, which has more than 500m users and is growing rapidly. Fearful of flooding the app with advertising and products, Tencent has been holding back on “monetising” WeChat.

    But advertising on WeChat is just one way of getting attention, and many companies have found they can win huge marketing success simply by using WeChat for word-of-mouth marketing.

    Fans of English country living, for example, can join a WeChat group devoted to Aga cookers, the iconic English oven brand, watch videos about cooking on an Aga, swap messages about it, and, thanks to the software which embeds the store in the chatroom, even buy one on impulse.

    “WeChat is unusually versatile; its better than Facebook, better than WhatsApp for marketing,” says Jim James, head of EastWest Public Relations in Beijing, which designed the Aga WeChat group.

    “China in many ways is more switched on to the internet than other countries which have had it for longer.”

    Lees ook:

  • Trafigura-Backed Puma Building $100 M Myanmar Facility

    Trafigura-Backed Puma Building $100 M Myanmar Facility

    The storage tank facilities for bitumen and petroleum products at Thilawa Port, 23 kilometers (14 miles) south of the capital, Rangoon, will have a capacity of about 97,000 cubic meters. Based in Singapore and with major operations in Geneva, Puma is the first foreign company granted permission to build oil storage facilities in Myanmar, Chief Financial Officer Denis Chazarain said in an interview.

    “It is a really promising market,” he said of Myanmar, the Southeast Asian nation that suffered a half-century of isolation under a military junta. Puma is targeting potential retail service station deals as well as lubricants, marine fuel and wholesale markets, he added.

    Puma is one of 11 foreign companies that have applied for a government tender to form a joint-venture with state-owned Myanma Petrochemical Products Enterprise for a liquid petroleum gas distribution business. LPG is a staple fuel used for cooking in Myanmar, positioned on a potentially key trade route between China and India.

    “Puma Energy is interested in all segments of the market in Myanmar,” Chazarain said.

    Myanmar’s voters last week handed Aung San Suu Kyi’s opposition party an overwhelming majority, giving her a free hand to choose the next president and push through legislation. Investors and foreign companies, including Puma, are seeking details of the Nobel laureate’s plan to attract investment needed to spur economic growth, create jobs and boost wages. The nation’s military still controls two of the nation’s biggest conglomerates, which invest in everything from mining to banking.

    Puma already has an exclusive agreement to be the sole foreign distributor of jet fuel in Myanmar as part of a joint venture with MPPE. Puma has invested about $50 million in the aviation venture, Chazarain said.

    Mozambique Expansion

    Trafigura, the third-largest independent oil trader, is the biggest shareholder in closely held Puma with a 49 percent stake. Jonathan Pegler, Trafigura’s co-head of crude oil, is returning to Geneva from Singapore to become Puma’s global head of supply and trade. He will be responsible for sourcing products and oil for Puma’s growing network of 88 terminals in 46 countries.

    Puma officially opened two new terminals in Mozambique on Thursday, the 19th of November 2015, the company said in a statement. The 115,000 cubic-meter Matola bitumen and fuel terminals bring the company’s total capacity in Mozambique to 275,500 cubic meters, making it Puma’s second-largest storage site in Africa.

    Chazarain said he expects the company’s sales volumes to be about 20 million cubic meters this year. The company executed a series of recent acquisitions including the purchase of Murphy Oil’s shuttered Milford Haven facility in the U.K., which it has converted to storage. It also purchased BP Plc’s bitumen business in Australia and its regional jet fuel business in Puerto Rico.

    Those deals helped Puma increase third-quarter pretax earnings by 5 percent to $177 million, the company said earlier this week.

    Lees ook:

  • Nissan begins X-Trail Hybrid SUV production in Thailand

    Nissan begins X-Trail Hybrid SUV production in Thailand

    Nissan Motor has started manufacturing and selling its X-Trail Hybrid in Thailand, hoping to tap demand among the country’s well-heeled customers.

    The Japanese automaker began churning out the sport utility vehicle in October at a factory in the central province of Samut Prakarn, expecting to deliver the first locally produced batch this month.

    Nissan aims to sell 5,000 units in Thailand in 2016. With retail prices starting at 1.24 million baht ($35,000), the company plans to tout its relative affordability. Nissan expects the model to account for 60% of X-Trail series sales in Thailand, where luxury vehicles continue to draw solid demand despite slumping new-auto sales.

    The company is producing the hybrid overseas for the first time, as it previously was shipped from Japan. Nissan hopes Thailand will serve as a hub to export the vehicle to Southeast Asia.

    Toyota Motor and Honda Motor also produce and sell hybrids locally: the Camry and the Accord, respectively.

  • Starbucks Malaysia gives back to Malaysian communities with its Connecting Communities Project

    Starbucks Malaysia gives back to Malaysian communities with its Connecting Communities Project

    Weaving with Mengkuang leaves used to be a leisurely pastime of coastal women in Malaysia. Today, a small Malaysian business is revisiting this craft and selling Mengkuang products in Starbucks® stores.

    “Giving back to Malaysian communities is important to our company as well as our partners (employees),” said Sydney Quays, managing director, Starbucks Malaysia. “Featuring products from small villages provides increased exposure and ultimately contributes to the livelihood of local residents.”

    Earlier this year, Starbucks Malaysia developed a relationship with Craft CT 01 Enterprise – a small company is located on the east coast of Malaysia. The business develops products made from Mengkuang, a tropical plant with tall, thorny leaves. Their products including hot cup sleeves, coasters and placemats are currently sold in 50 Starbucks locations throughout the country.

    “We have seen a great deal of interest in the Mengkuang products since we began selling them in our stores,” Quays said.

    Sourcing of Mengkuang products is one outcome of Starbucks Malaysia’s Connecting Communities Project, which has helped farmers and their families since 2013. As part of this project, Starbucks also purchased a sizable amount of fresh bananas from small farmers in the Kampung Lubak Jaya village on the west coast of Peninsular Malaysia. The bananas were used to develop the Signature Banana Chocolate Chip Muffin and Banana Chocolate Decadence, offered in West Malaysia Starbucks® stores.

             

    “The banana-based food items are quite popular with our customers,” added Quays.

    The first Starbucks® store in Malaysia opened in Kuala Lumpur in 1998. The company reached a milestone of 200 stores in the country this past September.The 200th store, known as Starbucks Ansa, is located in what was formerly the Piccolo Hotel. The store design aims to introduce customers to the Connecting Communities Project through a community table with banana and Mengkuang leaf carvings, a merchandise wall dedicated to Mengkuang products and specially-woven Mengkuang mats that serve as wall hangings.

    “We will continue to find ways to grow our Connecting Communities Project. There is more we can do positively impact the lives of Malaysia’s small farmers and businesses,” said Quays.

    Lees ook:

    Lees ook:

  • Johnnie Walker leverages travel retail for Singapore Airlines partnership

    Johnnie Walker leverages travel retail for Singapore Airlines partnership

    Diageo-owned Scotch whisky Johnnie Walker Blue Label is elevating its relationship with travel retail through a collaboration with Singapore Airlines.

    The distiller’s Johnnie Walker House network of high-end whisky lounges has worked with Singapore Airlines to design a limited-edition bottle that takes cues from the airliner’s flight attendant uniforms. Travel retail is especially important for spirits brands due to duty-free pieces, and expanding that connection through special-edition bottles may further increase interest from travelers.

    Cheers in the sky
    For its collaboration, Johnnie Walker drew inspiration from Singapore Airlines’ “Singapore Girls” and their sarong kebaya uniform. The distinctive uniform, inspired by traditional fabric patterns, was designed by French couturier Pierre Balmain in 1968, and has stood the test of time to become synonymous with “luxury, heritage and excellence.”

    The lapis lazuli blue bottle has been produced in the same shade as the uniforms sported by Singapore Girls. Furthering the connection, each bottle features the airline’s batik print etched in silver on its front.

    Johnnie Walker Blue Label’s special release bottle stands out as the distillers’ Cask Edition, a richer and more intense whisky. The bottles, limited to 2,000, will be priced at $270.

    Rather than sell in a Duty Free Shopping outlet, Singapore Airlines has made the bottle exclusive to its on-board, inflight retail store KrisShop. The bottles will also be available for pre-order on the KrisShop Web site.

    JOHNNIE WALKER BLUE LABEL The Cask Edition Singapore Airlines_5
    Johnnie Walker and Singapore Airlines collaborative bottle 

    “We are proud to be able to exclusively offer our customers the opportunity to purchase this special release in-flight via Singapore Airlines KrisShop,” said Foo Chai Woo, Singapore Airlines divisional vice president sales and marketing. “Having our Singapore Girls’ signature sarong kebaya batik motif reproduced on the bottle of the world’s leading luxury blended Scotch whisky is an honor and we are thrilled to have been selected as the first Johnnie Walker House airline player.”

    Matthieu Comard, vice president of Diageo Global Travel Americas, agreed, saying, “Johnnie Walker Blue Label, Singapore Airlines and DFASS have much in common. They are progressive, award-winning brands known around the world for excellence.

    “We are proud to take this opportunity to create a special-edition with such esteemed partners in the travel retail and travel sectors,” he said. “Their commitment to continued excellence and remarkable standards of luxury are values shared by the Johnnie Walker brand.”

    Lees ook:

    Lees ook:

  • Launched: 118i Sport by BMW Malaysia

    Launched: 118i Sport by BMW Malaysia

    BMW Group Malaysia has introduced the new BMW 118i Sport. Its estimated retail price (on the road, without insurance with BMW Malaysia’s latest 5-year Unlimited Mileage Warranty and Free Scheduled Service Program) is RM188,800.

    Introducing the latest product offering from BMW Group Malaysia, the group’s managing director and CEO, Alan Harris, said: “The new BMW 1 Series still remains the only rear-wheel drive car in its segment, making the car the most sportier and dynamic option in its class.”

    Harris added that the new 118i Sport now also introduces the segment to a new generation engine with the latest BMW EfficientDynamics technology, the latest driver assistance systems and mobility services courtesy of BMW ConnectedDrive as well as a host of safety features, making the premium segment hatchback also one of the safest in its class.

    Exterior Design

    The proportions, lines and surface design of the new 1 Series bear all the classical hallmarks of a BMW with its set-back passenger compartment, long bonnet and short overhangs, in particular, give the new premium hatchback a uniquely sporting presence. The new car features subtle but key differences to refine yet further the overall package.

    At the front, a new lower apron with larger air intakes and a horizontal bar combines with the reshaped BMW kidney grilles and front ornamental grille in chrome surround with its exclusively designed kidney bars in high gloss black to provide the sight that the new 118i Sport was designed with dynamism and sportiness in mind. Full LED headlamps with low and main beam have also been added to the new variant of the 1 Series.

    At the rear, new tail lamps with the now familiar BMW ‘L’ shape design adopt striking LED technology. Further to this, a single round exhaust tailpipe in chrome matt finish and the rear bumper with specific design elements in black-high further accentuates the sporty expression of the new 118i Sport.

    In terms of wheel options, the new 118i Sport offers 17’’ light alloy wheels Star Spoke 379 71/2 J with 17’’ tyres 225/ 45 R17.

    Interior Design

    The driver-focused cockpit of the new 1 Series is an even more welcoming, sporty, comfortable place to sit, thanks to enhancements to the design and the use of Sensatec Leather for its upholstery. The instrument cluster with red highlight and chrono scaling as well as interior trim finishers in Black High-Gloss with highlight trim finishers in Coral Red Matt further adds the sporty feel inside the car. Further driving this sporty expression inside the car are the sports leather multifunction steering wheel and the sports seats for both the driver and front passenger.

    The BMW Radio Professional and iDrive operating system continues to be standard across the entire range so the all new 1 Series model also features the segment leading freestanding, 6.5-inch Control Display, the controller wheel mounted on the centre console and the direct menu control and favourites buttons.

    The controls arranged below the Control Display have also benefited from detailed refinements. Both the air vents and the controls for the radio and the automatic air conditioning now feature high-quality chrome surrounds. The radio and automatic air conditioning keypads, meanwhile, are set against high-gloss black panelling.

    Engines: An Award Winning Member of the Family

    The new 118i Sport sees the introduction of the new Engine of the Year 2015 award winning 3-cylinder petrol engine to the premium compact segment. The innovative BMW TwinPower Turbo 1.5-litre 3-cylinder petrol engine, which is the same power plant in the all-new BMW i8, delivers a maximum output of 136 hp, torque of 220 Nm and accelerates from 0 to 100 km/h in 8.7 seconds. The combined fuel consumption of the new 118i stands at 5.1 litres per 100 km with C02 emissions of 119 g/km.

    Adding to the dynamism of the its engine capabilities, the new 118i Sport also features the segment leading 8-Speed Steptronic automatic transmission and Driving Experience Control modes with the efficient ECO PRO mode, another class leading feature which makes the 118i Sport stand out from the rest in the premium compact segment.

    As a car built with a sporty expression, the new BMW 118i Sport is also not short in terms of safety features. The compact premium sports hatchback offers complete air bags for front and rear passengers, side air bags for driver and front passengers which are integrated into the front seat backrest and head airbags at the front and rear with curtain head protection and splinter protection capabilities. Doubling up on the safety measures are child seat ISOFIX attachments for the rear seats and a central locking system with electronic immobiliser and crash sensor.

    BMW ConnectedDrive: Connecting the Driver to the Car to the Outside World

    A leading feature amongst its peers in the industry, the new 118i Sport offers Intelligent Emergency Call, Teleservices and Remote Services functionalities.

    A SIM card built into the vehicle enables customers to enjoy optimum connectivity and access to the unrivalled range of services from BMW ConnectedDrive without the need for a smartphone.

    Intelligent Emergency Call, a standard feature in the new 118i Sport, ensures maximum safety on the road. If the airbags are triggered in an accident, this system uses the built-in SIM card to automatically transmit the severity of the accident, the potential risk of injury to the occupants and the vehicle’s location to the BMW Call Centre.

    This information is then used to arrange the best possible emergency response while the Call Centre stays in contact with the occupants if desired. The manual emergency call function also allows rapid help to be summoned for other road users in emergency situations at a touch of an SOS Button.

    Remote Services, on the other hand, transforms the owner’s smartphone into an intelligent and convenient remote control for the vehicle – via the MY Remote app (BMW iRemote app) or the BMW Call Centre. Users can use their smartphone to lock and unlock their car or find it immediately by flashing the headlights or sounding the horn.

    The new 118i Sport is available in colour options of Black Sapphire, Mineral Grey, Crimson Red, Midnight Blue and Alpine White and the new compact premium sport hatchback will be available at all authorised BMW dealerships across the country from next Wednesday, Nov 25.

  • Online Shoppers Rose in China, Supported Alibaba’s Revenue Growth

    Online Shoppers Rose in China, Supported Alibaba’s Revenue Growth

    According to eMarketer, China and the US accounted for ~55% of the global Internet retail sales in fiscal 2014. It also mentioned that China and the United Kingdom have a higher proportion of “online-to-total retail sales compared to the US.” It’s important to note that ~27.5% of China’s population bought goods and services online in fiscal 2014 while 10% of the total retail transactions were through the online mode.

    In comparison, 73% of the United Kingdom’s population made online transactions. E-Commerce accounted for 13% of the overall retail sales in fiscal 2014. While the United Kingdom is positioned eighth in total retail sales, it’s third in global online retail sales.

    part2

    Alibaba, Amazon, and eBay will look to capitalize on the huge potential of rising online sales. This could be positive for their revenue and bottom line.

    Online shoppers rose in China

    According to eMarketer, there were 148 million online shoppers in China in 2010. The shoppers accounted for 11% of the population and 32% of the total Internet users in the country. By the end of fiscal 2013, the number of online shoppers in China grew to 302 million. The shoppers accounted for 22% of the population and almost 49% of total Internet users in the country. By the end of fiscal 2020, the online shoppers will likely to grow to 700 million. Alibaba saw its revenue rise from $1.8 billion in 3Q13 to $3.5 billion in 3Q15.

    Amazon is part of the iShares U.S. Consumer Services ETF (IYC) and the First Trust Dow Jones Internet IndexSM Fund (FDN). It accounts for 6.80% and 11% of the ETFs, respectively.

    Lees ook:

    Lees ook:

  • China’s Retail Sales Rose in October

    China’s Retail Sales Rose in October

    China’s total retail sales of consumer goods rose 11.0% year-over-year (or YoY) to 2.8 trillion yuan in October. The data indicated better-than-expected growth in retail sales and a slight improvement from September’s rise of 10.9%.On a year-to-date (or YTD) basis from January to October, the total retail sales of consumer goods reached 24.4 trillion yuan, up by 10.6% YoY.

    The sale of mobile phones, building materials, and household products led to the strong growth in retail sales.

    Chinas Retail Sales Continue to Rise 2015-11-17Enlarge Graph

    A rise in retail sales is a step toward the transition of the Chinese economy from an export-oriented to a consumer-driven economy. This is highly recommended because export orders are falling due to weak global demand. This is the aim of Chinese authorities as well. However, with the slowdown in Chinese local and foreign sales, an increase in retail sales comes as a surprise and a bright spot in the Chinese economy.

    E-commerce played a major role in driving up retail sales. From January to September, the national online retail sales of goods and services grew 34.6% YoY to 3.0 billion yuan, according to the National Bureau of Statistics of China.

    Some of the leading players in China’s e-commerce segment are Alibaba Group Holding, Baidu, JD.com, NetEase, and 58.com.
    Urban retail sales of consumer goods rose 10.8% YoY to 2.4 trillion yuan in October. On a YTD basis, urban retail sales rose 10.4% YoY to 21.0 trillion yuan.
    Rural areas have become a major source of retail sales growth. Retailers are focusing on rural China to increase the penetration of e-commerce. In October, rural retail sales rose 12.2% YoY to 0.38 trillion yuan. On a YTD basis, they rose 11.8% to 3.4 trillion yuan.

    The Clough China Class A ETF (CHNAX), the Guinness Atkinson China & Hong Kong ETF, and the Eaton Vance Greater China Growth Class A ETF (EVCGX) have more than 10% exposure to the consumer discretionary sector. So a rise in retail sales would benefit them the most.

    However, the John Hancock Greater China Opportunities Class A ETF (JCOAX) had only 6.4% of its assets invested in the consumer discretionary sector. So a rise in retail sales will have a lesser impact on the performance of that fund.

    Lees ook:

    Lees ook:

  • Solar-powered Apple Store to debut in Singapore

    Apple is poised to become the first company to open a fully solar-powered store in Singapore as part of its ongoing efforts to go green with renewable energy source.

    The Cupertino-based tech giant has signed a partnership deal with solar energy developer Sunseap Group for acquiring 100% renewable electricity, once the project goes live.

    Reuters reports that Apple plans to create 200 megawatt solar energy projects in China and work with the local suppliers to obtain more renewable energy. In addition, the company is committed to purchase more power from a California solar farm for its new Silicon Valley campus, which will use rooftops to harness power from the sun.

    Apple’s new retail store and neighbouring public-owned buildings in Singapore will use rooftop solar panels on 800 buildings to generate 50 megawatts (MW) of total renewable energy that can power up to 9,000 homes. The company’s new facility will burn around 33MW of the project’s capacity.

    There is still no word on the actual location and the launch date for the upcoming retail Apple Store in Singapore. However, Sunseap managing director Frank Phuan has sounded positive about globalising sustainable energy practices as more and more companies start embracing the new technology.

     

    Lees ook:

    Lees ook:

  • Singapore’s retail sales rose 4.6% year-over-year

    Singapore’s retail sales rose 4.6% year-over-year

    The Oct results suggested a slowdown developing as far as consumer spending is concerned which may temper expectations of strong pickups in the economic growth of the 4th quarter. Core prices had been expected to inch up by 0.1%.

    The Commerce Department said retail sales edged up 0.1 per cent last month after being unchanged in both September and August.

    Economists watch the retail sales report closely because it provides the first indication each month of the willingness of Americans to spend. Nonstore retailers were up 7.1% from October 2014 and motor vehicle and parts dealers were up 6.2% from a year ago.

    Personal income, reflecting Americans’ pretax earnings from salaries and investments, climbed 0.1% in September.

    Substantial weakness was also visible among networking stocks, as reflected by the 2.2 percent loss posted by the NYSE Arca Networking Index.

    Holiday spending is projected to jump 3.7 percent this year to $630.5 billion, a gain that would be above the 10-year average in holiday sales growth of 2.5 percent, according to the National Retail Federation. Friday’s report showed gas station sales declined 20.1 per cent from a year earlier in October.

    But that is not necessarily a surprise, as consumers typically pare back other types of discretionary spending after a big-ticket purchase like an automobile, said Joshua Shapiro, chief USA economist for MFR Inc.

    Estimates for retail sales in the survey ranged from little change to a 0.8 per cent increase.

    Receipts at sporting goods and hobby stores gained 0.4 percent and sales at restaurants and bars rose 0.5 percent.

    Other measures have sent mixed signals about consumer spending.

    US businesses boosted their stockpiles in September by the largest amount in three months, while sales were flat.

    Sales at auto dealerships fell 0.5 percent last month after rising 1.4 percent in September.

    Federal Reserve is expected to increase interest rates next month as the jobs data has been strong and economy has shown strength. Friday’s report could be a key factor as the Fed scrutinizes economic data ahead of its decision at a December 15-16 meeting.

    Lees ook:

    Lees ook:

  • Uber Introduces Helicopter Service in Indonesia

    Uber Introduces Helicopter Service in Indonesia

    California-based ride-sharing app Uber, in collaboration with local aviation service PremiAir, is introducing helicopter service in Indonesia on Friday, offering a new way to travel amid Jakarta’s heavy congestion.

    The service, which called UberCHOPPER, is the first helicopter charter service in Indonesia that is accessible for anyone through car-hailing app Uber application.

    “PremiAir is excited for UberCHOPPER, a collaboration between PremiAir and Uber apps. We introduce an alternative transportation, catering our market needs on flexibility and comforts travel between or within the city,” Tony D. Hadi, PremiAir managing director, said in a statement.

    UberCHOPPER has previously been available in New York, Austin, Cannes and Hong Kong.

    “Uber is all about bringing amazing experiences to people on-demand using the power of new technology – whether it’ a safe, reliable ride around Jakarta, opportunities to pitch ideas to venture capitalists or an aerial tour of the city,” Karun Arya, Uber spokesperson, said.

    UberCHOPPER is free of charge for today. The app users can order the service through the app then wait for Uber’s premium car to pick them up to helicopter pick-up points in Jakarta–which available in Grand Indonesia in Central Jakarta or Halim Perdanakusuma Airport in East Jakarta.

    “With UberChopper we aim to give a number of lucky riders the ability to experience a unique helicopter ride, touring Jakarta skies and witness the breathtaking views of the city at the push of a button.”

    Uber also invited some people, who considered influential, to try out Uber Chopper service. Artist such as Tarra Budiman, RAN, Kunto Aji, Rene Suhartono, Ernanda Son, Olivia Blue and fashion blogger Rachel Theresia were among the first to try the premium service. Especially for the influencers, Uber provides flight from Halim Airport to Grand Indonesia.

  • Garuda, Lion Air to Add Bali-China Routes Next Year

    Garuda, Lion Air to Add Bali-China Routes Next Year

    Flagship airline Garuda Indonesia and Lion Mentari Airlines are adding direct flights to more Chinese cities from Bali next year in a move that would boost tourism for both countries.

    Garuda will launch the Guangzou-Denpasar and Shanghai-Denpasar routes in January, the company’s president director Arief Wibowo said in recent interview.

    “We will deploy our wide-body Airbus A330-300, which previously served hajj pilgrims,” Arief said, adding that the aforementioned flights will be available three times a week.

    Garuda now serves passengers traveling from Jakarta to Beijing, Shanghai and Guangzou.

    Lion is currently applying for a license from China authorities to fly into eight of its cities, including Shanghai, Guangzhou, and Nanning.

    “We are optimistic because the number of tourists coming from China is growing and the demand [for flights to Bali] is quite big,” said Lion Air director Edward Sirait.

    The number of Chinese tourists visiting the archipelago almost tripled to 926,000 last year, from 337,000 in 2008.