Category: Food

Retail News Asia is committed to providing both local and global retailers with the latest Food and Food & Beverage news throughout the Asian market. This on a daily base.

  • Honestbee Stops Food Deliveries in Singapore

    Honestbee Stops Food Deliveries in Singapore

    Honestbee Singapore is to halt food deliveries from Monday.

    The company said in a statement it would also suspend laundry services on the same date.

    The changes come as part of an in-depth strategic review of the business launched after the departure of cofounder and CEO Joel Sng who was replaced by cornerstone investor Brian Koo at the beginning of the month.

    “The decision was made to optimise the business structure, and to drive better focus and alignment with Honestbee’s current strategic priorities,” the company said in a statement.

    The decision brings to an end the roles of some 400 ‘delivery bees’ many of them part timers.

    “They have played a key role, and have been a critical part of the Honestbee family,” said the company. “During this transition, Honestbee remains committed to assist all delivery bees. The headcount in Singapore remains unaffected.”

    Honestbee says it will continue to operate the grocery-delivery service, and its physical space – Habitat by Honestbee.

    “The newly-appointed executive team is working on future plans to stay relevant and sustainable in today’s rapidly changing business environment. This will help to put Honestbee in the best possible position to support the business in Singapore and other geographies going forward.”

  • Foodstuffs Allowing customers to bring own containers

    Foodstuffs Allowing customers to bring own containers

    Supermarket chain Foodstuffs will soon allow customers to bring their own containers to use for seafood, over-the-counter butchery, delicatessen and bakery items in an effort to eliminate waste.

    The BYOC (bring your own container) policy will be made available at Foodstuffs supermarkets and Foodstuffs-affiliated stores, including New World, Pak n Save and Four Square North Island stores.

    The policy will kick off on June 1 but will be launched in New World Long Bay a bit earlier, as its new store opens on May 28 in Auckland.

    Mark Casey, group manager of regulatory services at Foodstuffs North Island, said the company ran successful trials at several stores where it worked out what rules need to be followed.

    “Food safety is a top priority, so making sure our customers’ groceries aren’t compromised through poor hygiene is very important,” Casey said.

    According to Foodstuffs, the service is only available at counter departments so that stores can check containers and make sure they are fit for purpose and clean, and that the weight of the container can be subtracted from the weight of the product being purchased.

    “Many people don’t realise that products must be sold minus the cost packaging might add to a product,” Casey said. “That’s why we restrict BYO to counters where we can subtract the weight of the container and produce a price label for the cost of the product only.”

    This means that products from bulk bins, for now, won’t be included.

    “We have to make quite significant changes to the way we operate to take the BYO option storewide, but this new policy in our counter areas is a major step towards zero waste.”

    The supermarket chain said encouraging customers to reuse containers is just one of the many initiatives it has underway to help reduce New Zealanders’ environmental footprint.

    “We’ve given away millions of reusable shopping bags, we encourage customers to bring reusable produce bags, we’re trialing home compostable produce bags and now we’re inviting people to bring their own containers. It all adds up to reducing packaging waste,” said Mike Sammons, head of sustainability at Foodstuffs.

    Sammons said reusable bags and boxes may soon be in the works after the company’s previous initiatives to cut out plastic in-store, such as its ‘food in the nude’ campaign in produce, a new and exclusive eco-store refillery in its New World Durham Street in Christchurch and the use of new products for wrapping pallets.

  • McDonald’s ends food fight in India

    McDonald’s ends food fight in India

    International fast food chain McDonald’s has bought out its former partner Vikram Bakshi’s 50 percent stake in its Indian operations, ending a six-year dispute.

    The disagreement arose when McDonald’s India attempted to oust Bakshi as MD of local operator CPRL in 2013, a decision that was overturned after local arbitration hearings ruled in favor of his reinstatement.

    “With the transfer of ownership and management today, Mr. and Mrs. Bakshi end their association with CPRL and McDonald’s,” the company said in a statement. “McDonald’s acknowledges the significant work and contribution of Mr. Bakshi in establishing McDonald’s restaurants in North and East India.”

    Bakshi was responsible for opening the first McDonald’s in the territory in the mid-90s, growing the franchise to more than 160 outlets in northern and eastern India.

    McDonald’s now wholly owns CPRL, which will be headed by Robert Hunghanfoo going forward. The financial details of the transaction were not disclosed.

    The firm is now seeking a new development licensee for the region.

  • Venture Capitalists invests in Vietnam’s Pizza 4Ps

    Venture Capitalists invests in Vietnam’s Pizza 4Ps

    Private-equity firm Mekong Capital has invested in Vietnamese pizza franchise Pizza 4P’s via the Mekong Enterprise Fund III.

    The franchise was set up in 2011 by Japanese owners and has grown its network of locations to 11 stores nationwide serving more than 4700 customers per day. The company has also developed a fledgling line of packaged consumer goods, such as specialty cheeses.

    “We are incredibly excited to partner with Pizza 4P’s,” said Mekong Capital founder Chris Freund. “Not only because we are huge fans of their product and see the potential for the brand to grow considerably, but also we are very inspired by the vision of the founders, Masuko and Sanae.”

    Mekong Enterprise Fund III currently has US$112.5 million in committed capital. Pizza 4P’s is the ninth company to receive investment from the fund.

  • American burger chain Five Guys to open Restaurants in Singapore

    American burger chain Five Guys to open Restaurants in Singapore

    American burger chain Five Guys is to open in Singapore later this year.

    According to an unidentified F&B industry source, the chain also plans to open in Malaysia.

    The Singapore branch will be Five Guys’ second outlet in Asia, following the one which opened in Hong Kong last November.

    Founded in 1986, Five Guys runs more than 1500 outlets in America, Europe, and the Middle East. It also plans to expand into the UK.

  • Online food store Grain Expanding Rapidly

    Online food store Grain Expanding Rapidly

    Singapore-based online food store Grain has raised US$10 million in series B funding. The cash will be used to accelerate growth in Singapore, and expand into Thailand.

    To do that, the company will be cooperating with Thailand’s Boonrawd Brewery group’s subsidiary Singha Corporation.

    Singha will help Grain gain clearer insights into the target audience in Bangkok, and develop better products and services.

    “Grain will work with Singha by using Singha’s extensive F&B network across the country, including logistics and distribution, to bring delightful innovations to consumers,” said Bhurit Bhirombhakdi, chairman of the executive board at Singha Ventures.

    The collaboration between the two companies aims to help online food store Grain expand in Southeast Asia and realize its regional vision.

    “We want to disrupt the F&B landscape and evolve with consumer preferences, but also have solid fundamentals,” said Yi Sung Yong, Grain’s co-founder and CEO.

  • Urban Tea to roll out More China Stores

    Urban Tea to roll out More China Stores

    Chinese beverage and baked-goods retailer Urban Tea says it plans expansion from the middle of this year.

    The company will expand its network to 28 stores initially, through a combination of franchise partnerships and opening its own stores, with plans to speed up the rollout next year.

    Last October, Urban Tea set up a subsidiary company Shanghai Ming Yun Tang Tea, which controls Hunan Ming Yun Tang Brand Management Co (Hunan MYT), to focus on catering, along with health, training, retail and wholesale. Headquartered in the Changsha Xingingmen Fanchen International Center, Hunan MYT will integrate strategic brand positioning, offline operations, store management and brand marketing – all which will be used to expand the planned retail cafe network.

    Hunan MYT will operate stores under three brands: Buoyance Manor, Your Ladyship Tea (pictured) and Meet Honey. Buoyance Manor mainly features bakery products and coffee. Your Ladyship Tea sells specialty teas and light snacks and Meet Honey will primarily sell snacks and kitchen goods such as coffee mugs and tea cups.

    Currently, the company operates seven stores itself in Hunan province branded Buoyance Manor, along with a tea shop in Changsha Youyou Township.

    Urban Tea plans to focus on health and nutrition, using fresh, green, high-quality ingredients, positioning itself as an “all-natural baker”. Beverages offered include milk teas, fresh fruit teas and coffee.

    Light meals include salads, sandwiches, tacos, pizza, pastas and other meals primarily drawing from French cuisine and other western cuisines, and emphasising healthy meals and fresh ingredients.

    The company says it has established a research-and-development centre and will place an emphasis on seasonal research and product development, by picking fresh fruits, using seasonal tea, and using in season grains.

    “By offering seasonal menus we ensure fresh delivery to meet customers health and dietary needs to cultivate long term customers,” the company said in a statement.

    Urban Tea CFO Kan Lu said: “Our professional operations and R&D teams have many years of industry experience. We desire to make every product uniquely impressive to our customers, and bring consumers fresh, healthy and beautiful food and beverages.”

  • McDonald’s looks to create pipeline of property talent

    McDonald’s looks to create pipeline of property talent

    With $500 million to be spent on new restaurants and refurbishments over the next three years, McDonald’s Australia has established a new property graduate program to create a pipeline of future property leaders within the organisation.

    The fast food chain recently announced the names of the program’s first successful applicants, and it is currently accepting applications for the 2020 intake. Applications close on Sunday, May 12.

    The two-year program provides training in relevant fields, including real estate, construction, design and asset management, and hands-on guidance from experienced mentors in McDonald’s national development team, which maintains a portfolio of over 980 restaurants across Australia.

    Tom Veale, development director of the southern region at McDonald’s Australia, told Inside Retail the program is an important part of the fast food chain’s commitment to new restaurant growth.

    “McDonald’s is committed to new restaurant growth and we wanted to create an opportunity for young talent to come in and grow with our business, developing future property leaders,” he said.

    At a time when many retail and hospitality businesses are looking to “right-size” their store footprints, talented property leaders may very well be a competitive advantage.

    “McDonald’s prides itself on developing and promoting talent and we have so many great people in the system to learn from to give graduates a great kick start to their career,” Veale said.

    “Training graduates allows us to set up a strong pipeline for future success, creating the business leaders of tomorrow.”

    Besides its new property graduate program, McDonald’s Australia also offers a Diploma qualification through its management development program and Certificate II and III in Retail Services.

    “Macca’s is a starting point into the work force for so many young people and, in many instances, turns into a long-term career,” Lisa Althorpe, director of people and culture at McDonald’s Australia, said.

    “Our aim is to set youngsters up with skills for life and a great foundation that gives them the opportunity to build a great career, whether that’s with McDonald’s or externally.”

    Participants in the property graduate program will have the opportunity to continue in a permanent role within McDonald’s Australia upon completion.

    McDonald’s Australia was recently highlighted as a standout performer in the company’s announcement of its Q1 earnings. McDonald’s CEO Steve Easterbrook reported a 5.4 per cent increase in the company’s global comparable sales, and US$4.96 billion (A$7.09 billion) in revenue.

    This reflected the global company’s 15th consecutive quarter of comparable sales growth, but it was 20th consecutive quarter of comparable sales growth for McDonald’s Australia, Easterbrook pointed out.

    He attributed the business’s success to its pioneering initiatives, such as McCafe, which was born in Melbourne in 1993 and is now available in countries all around the world, and delivery via Uber Eats.

    A spokesperson for McDonald’s Australia told Inside Retail the focus has always been on running great restaurants and providing customers with the best possible dining experience.

    “We do this by getting the basics right and innovating in ways our customers want, including through delivery and digital,” the spokesperson said.

    “We’re a customer-driven business; everything – from the food we serve, to the design and facilities in our restaurants – is in response to their needs and is focused on providing the best possible dining experience.

    “We will continue to expand our delivery and digital offerings, as well as grow by investing approximately $500 million in new restaurants and refurbishments over the next three years.”

  • Hong Kong Restaurant Profits Rise

    Hong Kong Restaurant Profits Rise

    Retail sales may be down but Hong Kong restaurant sales rose by 3 percent in the first quarter of this year.

    The Census and Statistics Department (C&SD) provisionally estimates the value of restaurants receipts at HK$31.5 billion, while the value of purchases by restaurants increased by 3.1 percent to $10 billion.

    After netting out the effect of price changes over the same period, the provisional estimate of restaurant receipts rose by 0.5 percent compared with a year earlier.

    By comparison, Hong Kong retail sales for the quarter fell by 1.2 percent.

    Analyzed by restaurant type, Chinese restaurant sales decreased by 0.6 percent in value and by 2.7 percent in volume. Total receipts of non-Chinese restaurants increased by 4.8 percent in value and by 2.4 percent in volume. Fast food shop sales rose by 5.8 percent in value and by 2.8 percent in volume.

    Sales in bars rose by 2.6 percent in value and by 0.4 percent in volume, while “miscellaneous eating and drinking places” saw sales rise by 11.2 percent in value and by 7 percent in volume.

    C&SD also released figures for restaurant receipts and purchases for each month during the quarter. Receipts rose by 6.7 percent in January, by 0.8 percent in February and by 1.4 percent in March, compared with the same months last year.

    However, after factoring in inflation, it estimated restaurant sales rose by 3.8 percent in January but decreased by 1.3 percent in February and by 1 percent in March.

  • DFS launches fourth Whisky Festival

    DFS launches fourth Whisky Festival

    DFS Group has launched the fourth Whisky Festival at Changi Airport, this one with a pop-up bar. Aiming to “demystify the whiskey-making process”, the festival offers a selection of more than 400 whiskeys and many exclusive offers.

    Highlights include Bruichladdich Port Charlotte 10, Compass Box No Name, No 2, Glenmorangie Rare Cask 1399, Johnnie Walker Black Triple Cask Edition and Royal Salute 21 Year Old Lost Blend.

    “The Whisky Festival is one of our favorite celebrations at DFS, providing a great opportunity to showcase this wonderful spirit in a fun and engaging way to whiskey connoisseurs and enthusiasts alike,” said Brooke Supernaw, senior VP spirits, wines, tobacco, food and gifts at DFS Group.

    “We are delighted to work with some of the best whiskey makers in the world to bring this event to life again this year in partnership with Changi Airport Group.”

    The pop-up bar, reminiscent of the speakeasy bars of the 1920s Jazz Era, will remain open until June 10. At the bar, travelers can enjoy interactive experiences with whiskey tastings, and vaporizers producing scents from floral all the way to smoky and intense.

    Live performances by jazz singers including Carol Gomez, Ywenna Carolin, and Richard Jackson will feature.

    “We are thrilled to partner with DFS Changi once again and bring the annual Whisky Festival to the next level with a pop-up bar for the first time ever. This 1920s-themed bar with its unique interior and collection of never-before-seen whiskeys will offer travelers a multi-sensorial travel retail experience, in celebration of all things whiskey,” said Teo Chew Hoon, group senior VP, airside concessions, at Changi Airport Group.

    After Singapore, the festival will relocate to seven DFS locations across Asia, the Middle East, North America, and Hawaii.

  • Dosa Hut opens first Gold Coast Restaurant, Australia

    Dosa Hut opens first Gold Coast Restaurant, Australia

    Indian restaurant chain Dosa Hut has opened its first Gold Coast store at Crestwood Plaza in the central part of the region. The 165sqm store in Molendinar will offer both dine-in and takeaway options.

    The Melbourne-based chain, which already has restaurants across Victoria, New South Wales, and the Australian Capital Territory, said the Gold Coast store is the 20th location for the group.

    Tanaka Jabangwe, Knight Frank associate director of retail leasing, negotiated the five-year lease. He said Dosa Hut had been looking for the right opportunity to open a store in the growing Gold Coast region for some time before leasing the Crestwood Plaza space.

    “Dosa Hut was seeking a central location in a suburban catchment with ease of access to major road networks, and Crestwood Plaza fit the bill in every aspect,” Jabangwe said.

    “The convenience center is situated on Olsen Avenue, which is a very busy thoroughfare with plenty of traffic passing estimated at circa 57,000 cars daily, which offered great exposure for the restaurant.”

    A Dosa Hut spokesperson said the location offered a perceived geographical center to serve both the northern catchment and parts of southern Gold Coast with ease.

    “We are confident in our food and believe the Gold Coast will appreciate the quality, authentic Indian food we have on offer.”

    Crestwood Plaza convenience center fronts the Crestwood Heights residential estate is adjacent to Bunnings Warehouse and opposite Griffith University’s future development land.

    The center features over 190 car parks, a full line Supa IGA as an anchor tenant and 17 other specialty stores.

  • Deliveroo appoints Susana Voces as new Vice President for Restaurants

    Deliveroo appoints Susana Voces as new Vice President for Restaurants

    Deliveroo has appointed Susana Voces to be the company’s new Global Vice President for Restaurants. This comes as Deliveroo has expanded rapidly across the world, now in 14 markets and working with 80,000 restaurants.

    Mrs Voces will be working in Deliveroo’s London HQ and brings a huge amount of experience to this vital role. Mrs Voces was previously the General Manager for Ebay Italy and Spain. In these roles she reinforced the company’s position in both countries, achieving a high level of notoriety for the marketplace platform and consolidating a business of 7.5 million active users and 40,000 professional sellers.

    Before then Mrs Voces was Country Manager for Ebay Marketplaces in Spain and Head of Merchant Services for PayPal in Spain and Portugal. Experience in these roles, as well as having worked at Ericsson for seven years and has a Masters in Business from Harvard, mean Mrs Voces will help Deliveroo continue to improve its offer to restaurants.

    Restaurants that work with Deliveroo are able to reach customers they otherwise would be unable to and see their revenues increase by up to 30%. In 2019 Deliveroo is committed to being the partner of choice for restaurants in all markets. The company and Mrs Voces’ priorities for restaurants will be:

    • Innovation. Deliveroo helps restaurants create Virtual Brands – completely new brands run out of restaurants’ kitchens, increasing choice for consumers and sales for restaurants. Deliveroo’s Editions delivery-only kitchens enable restaurants to expand to places they otherwise wouldn’t be able to as they reduce the cost and the risk for partners. Deliveroo will continue to roll out innovations that help restaurants extend their menus and reach a wider customer base.
    • Data insights. Deliveroo has unique insights on how restaurants’ delivery services perform. Restaurants can use this via Deliveroo’s ‘Restaurant Home’, which provides data on performance, to learn how to improve their service and understand where their competitors have an advantage.
    • More freedom on the platform. Deliveroo’s ‘Marketer’ gives restaurants greater freedom to launch their own discounts and promotions on the platform. Restaurants get 30% more orders when they run an offer with Marketer, on average.
    • Marketplace+. Deliveroo is uniquely enabling restaurants to fulfill orders either with their own rider fleets or though Deliveroo riders. This service, ‘Marketplace+’, dramatically extends the delivery service restaurants are able to offer while improving delivery times.
    • Increased selection for consumers. Deliveroo has enabled consumers to be able to order from further afield; at the end of last year, customers could on average see double the number of restaurants they could see at the beginning of the year. This increases overall order volumes on the platform, benefiting all partners.

    Susana Voces said, “This role is hugely exciting. Deliveroo is a company with huge potential. There are so many amazing restaurants out there, from household name chains to innovative street stalls, and we want everyone to be able to order whatever they want whenever they want it, catering for every occasion. This is a great, ambitious company and I can’t wait to get stuck in. Everything we do will be about supporting restaurants and helping them to grow, making their food available to as wide an audience as possible.”

    Brian Lo, General Manager of Deliveroo Hong Kong, said, “Deliveroo has always led the way in bringing new innovations to local food sectors and it is great that Susana is joining to help us continue to improve the support we offer to restaurants. She has huge experience and talent and will help the team ensure we are offering customers and restaurants the best possible food experience.”

  • Burger King slammed for ‘racist’ ad promoting Vietnamese burger

    Burger King slammed for ‘racist’ ad promoting Vietnamese burger

    The clip shows several people tying and failing to eat a burger with large, red chopsticks. A caption accompanying the video read “Take your taste buds all the way to Ho Chi Minh City with our Vietnamese Sweet Chilli Tendercrisp.”

    The video, shared by Maria Mo via the account @mariahmocarey, has received more than 2.7 million views. Mo told that she shared the clip as she was tired of large corporations portraying Asians in an offensive manner.

    “I could not believe that such a concept was approved for such a big, well-known company. It says a lot about what kind of demographics they must employ across the board for their ads.”

    Other social media users were quick to slam the fast foot retailer for making fun of a utensil that has been used across Asia for thousands of years.

    Viet Thanh Nguyen, the Pulitzer Prize-winning Vietnamese-American novelist, shared the clip with the comment “What’s worse, this ad or using chopsticks in your hair?”

    The advertisement was later removed from all of Burger King NZ’s social media platforms.

    Respond to the controversy, Burger King released a statement, saying: “The ad in question is insensitive and does not reflect our brand values regarding diversity and inclusion. We have asked our franchisee in New Zealand to remove the ad immediately.”

    Burger King New Zealand’s Chief Marketing Officer James Woodbridge expressed regret.

    “We are truly sorry that the ad has appeared insensitive to our community. We have removed and it certainly does not reflect our brand values around diversity and inclusion.”

    Burger King entered the Vietnamese market in 2011 but has struggled to win over local consumers. The firm hoped to have 60 outlets in the country by 2016, but as of 2018 had only 11.

  • Supermarkets lose Liquor Sales

    Supermarkets lose Liquor Sales

    Independent liquor retailers took back around 130,000 customers from supermarket chains over the 12 months to December 2018, increasing their market share from 9.8 per cent to 12.9 per cent, according to research firm Roy Morgan.

    Supermarket-owned chains, including Woolworths Group’s BWS and Dan Murphy’s, Coles Group’s LiquorLand, First Choice and Vintage Cellars, as well as IGA and Aldi, lost around 1.8 per cent of the market over 12 month period, according to Roy Morgan’s Alcohol Retail Currency report.

    “While the big two supermarket chains are competing, it appears to be largely at the expense of Aldi, IGA and other supermarkets all of whom lost share over the last 12 months,” Norman Morris, industry communications director at Roy Morgan, said.

    “Our research shows a number of drivers of buying behaviour in this market, including proximity to other shops, low prices, an easily browseable range, special offers, expert staff knowledge and good service.”

    Coles Group bucked the trend as the only major retailer to gain share over the year, jumping from 16.5 per cent to 18.1 per cent.

    And while Woolworths Group remains the clear market leader, with almost half of the alcohol market (48.3 per cent), its Dan Murphy’s brand lost 4.2 per cent of share during the period.

    Woolworths said yesterday that while Dan Murphy’s sales momentum improved over the 13 weeks to March 31, 2019, it is still expecting its Endeavour Drinks group EBIT to be below the prior year as it focuses on improving its range, service and convenience for customers.

    Likewise, Coles noted its Liquorland brand has struggled with a subdued market and lower promotional intensity in the beer category, especially over the New Year’s Eve period, which it said underperformed.

  • HelloFresh to monetise Tasty Perks

    HelloFresh to monetise Tasty Perks

    HelloFresh has launched a new in-box sampling service called Tasty Perks, which allows brands to test new products on the meal kit company’s customers for a fee.

    The in-box advertising program creates a new revenue stream for HelloFresh and gives it additional insights into its customer base. For food and beverage brands, it presents an opportunity to bypass the supermarket shelf and reach customers in their kitchens.

    “Our in-box sampling breaks through the clutter of all other marketing forms because it enables customers to try new brands risk free,” David Williams, HelloFresh senior manager of loyalty and partnerships, said.

    “We generally ask for at least two samples per box to ensure the products get a change to resonate with our customers. To support, we also offer an in-box flyer and social media amplification as part of the package.”

    Customers are incentivised to complete a tailored questionnaire to gain their feedback on products, which HelloFresh’s data analysts can analyse.

    HelloFresh claims to have served 2.04 million active customers worldwide during Q4 2019.

    A HelloFresh spokesperson told this service is offered in other markets, but has been refined over the last six-months to give the best experience in Australia.