Starbucks Hong Kong has opened a new cafe in the heart of Hong Kong’s Sheung Shui.
The cafe is unique in that it features an indoor brewing and restaurant area together with a large, open air verandah seating space.
The new cafe opened this month in Landmark North, a 230,000 sqft shopping centre connected to the Sheung Shui MTR station close to the Shenzhen border crossing.
The new cafe will be open from 8am to 10pm daily.
Starbucks Hong Kong and Macau is run by master franchisee Maxim’s Group.
Croma, consumer durables and electronics chain of the Tata Group, is looking to open a dozen more stores in India this financial year.
In April, the first month of 2015-16, it launched three stores. Two more are being readied for launch in a month or so. “We have budgeted for around 10 new stores in FY16 but might exceed that, depending on the quality of location and store layout, if we get the right rental. We continue to focus sharply on calibrated growth in our chosen markets,” said a spokesperson.
Croma’s first chief executive and managing director, Ajit Joshi, quit the chain recently after eight years at the helm. Its chief financial officer, Avijit Mitra, is interim CE. Croma runs about 100 stores. It is also looking to launch new products in home appliances, the spokesperson said.
Australian fashion giants Just Group and Best & Less are under fire for refusing to sign a legally binding pact that protects Bangladesh’s garment workers, two years after the country’s worst industrial accident.
The pair are the last of Australia’s top 10 fashion companies to have resisted calls to join the Accord on Fire and Building Safety in Bangladesh, developed by unions, non-profits and industry following the Rana Plaza factory collapse on April 24, 2013, that killed 1129 people.
Oxfam said the Just Group’s decision to sign the comparatively weaker Alliance for Bangladesh Work Safety was “disappointing” and was now being targeted in its social media “heartbreakers” campaign.
EBay plans to grow by thinking small as it prepares for life apart from PayPal.
The company says it is focusing on expanding the number of small- to mid-size businesses and individuals who buy and sell items on its popular online marketplace. That comes as it attempts to address investor concerns about how eBay will fare later this year after it spins off its PayPal payments division, which has long been EBay’s fastest growing segment.
EBay’s first-quarter earnings may have mitigated investors’ concern somewhat. The results beat expectations and revenue, excluding the impact of the stronger dollar, grew in both segments. A stronger dollar cuts into revenue generated overseas when it’s translated back into dollars.
Yum Brands shares rallied on Tuesday after the restaurant operator topped earnings expectations as comparable sales in China declined less than forecast.
Yum, which operates KFC, Pizza Hut and Taco Bell restaurants, reported first-quarter earnings of 80 cents per share on revenue of USD2.62 billion.
Same-store sales in China, a key division for the company, fell 12 percent during the quarter after allegations that a former supplier used expired meat. The company’s China unit has been especially hard hit this year because of a supplier scare last summer. Analysts expect same-store sales in the country to shrink 14.4 percent.
India’s Reliance Industries has said it will shut down non-profitable outlets belonging to its retail chain Reliance Retail.
“It will be a wise decision to shut down stores which are not doing well and are a drain on the finances. All retail players operate in this manner,” said a research analyst from a domestic brokerage who attended the analyst meet.
Reliance Retail is not just the largest retailer in terms of revenues, but is also the biggest in most of the categories it operates in. As on March 31, RIL operated 2,621 stores across 200 cities, with 12.5 million sq ft space and saw its profits improve over two times and revenue increase by 21 percent.
Integrated mining and energy company Indika Energy will lead a consortium that includes Japanese and South Korean companies to invest between $1.2 billion and $1.4 billion to build a power plant in Cirebon, West Java.
Indika Energy will work with Japanese trading company Marubeni Corporation, South Korean electricity production and supply company Korea Midland Power, and South Korean resources and energy company Santan Corporation.
The 1,000 megawatt power plant construction is a way to support the government’s plan in infrastructure development.
The government will build a 10,000 MW power plant and private companies are expected to build the remaining 25,000 MW power plant.
“We would like to be a part of the government’s plan,” Indika Energy president director Wishnu Wardhana said on Tuesday. “We hope that we can own 25 to 30 percent of the shares in this project,”
The new power plant will be in addition to the company’s 660 MW power plant, also in Cirebon.
Indika owns a 20 percent stake in the existing power plant, while Marubeni owns 32.5 percent,and Korea Midland Power 27.5 percent.
Keppel Corporation says non-executive and independent director Tony Chew Leong-Chee will retire from its board on May 1.
Chew will concurrently cease to be chairman of the nominating committee and member of the audit committee.
Dr Lee Boon Yang, Keppel Corporation chairman, thanked Chew for 13 years distinguished service to the property developer.
“The Keppel Group has benefited from his extensive business experience, wisdom and entrepreneurial spirit. Tony was lead independent director from 2006 to 2009 and has been chairman of the nominating committee since 2009,… instrumental in overseeing the top leadership succession of the group in recent years. That the leadership transition process was achieved smoothly is a clear testimony to Tony’s capability and commitment to Keppel’s interests.”
Chew will be succeeded by Tan Puay Chiang as chairman of the nominating committee. Till Vestring, who joined the board in February, will be appointed as member of the committee and the remuneration committee.
Private equity investors Anchor Equity Partners and KKR are to take a controlling stake in South Korean mobile eCommerce company Ticket Monster from Groupon.
Anchor and KKR, in conjunction with Ticket Monster Korea management, will inject new capital into the company to help fund its future growth opportunities. Anchor and KKR will hold equal stakes in the company.
Some of the world’s largest pension, sovereign wealth funds and institutional investors, including the Canada Pension Plan Investment Board and Pavilion Capital, will also be participating as investors in this transaction. Groupon, which acquired Ticket Monster Korea in January 2014, will retain a fully diluted 41 per cent minority stake in the business. The investment is based on a $782 million fully diluted valuation of Ticket Monster Korea. KKR and Anchor will work closely with Ticket Monster Korea’s co-founder and CEO Dan Shin and the management team to grow the business.
“KKR and Anchor not only bring global experience in the retail and technology sectors, but they are also experienced local partners with strong business expertise in South Korea,” said Shin.
“We are thrilled to be working with distinguished partners who share our vision for growth and offer significant pools of capital in support of Ticket Monster Korea initiatives. With their help and investment, this company will have greater opportunities to attract new customers and expand into new businesses.”
Groupon CEO Eric Lefkofsky said the partnership strengthens an already powerful local brand.
“Ticket Monster demonstrates the global appeal and power of a mCommerce marketplace,” said Lefkofsky. “With additional support from KKR and Anchor, Ticket Monster Korea will be even better resourced and positioned in the Korean market.”
Ticket Monster Korea is a pioneering mobile-first, eCommerce platform that provides a premium online and mobile shopping experience to customers across South Korea. It has already become one of Korea’s largest online retail marketplaces and offers a curated selection of discounted items across three main categories: GGoods, which includes clothing, household and fast-moving consumer goods; Local Services, including restaurant, entertainment and leisure coupons; and Travel, encompassing discounted transportation tickets, hotel stays and vacation packages.
Ticket Monster Korea’s business leverages key consumption and technology trends in South Korea, a market which is experiencing a rapid shift from offline-to-online and PC-to-mobile retail. South Korea’s eCommerce market has experienced a CAGR of 16 per cent since 2008, stemming from consumers’ increasing focus on convenience, selection and value items, according to South Korea’s National Statistics Office. Mobile commerce, led by application-based technology, is expected to achieve 40 per cent market penetration by 2017, up from two per cent in 2011, according to Mirae Asset research. This complements steady mobile growth in South Korea due to the country’s extensive telecom and logistics infrastructure.
Ticket Monster Korea’s mobile application had been downloaded more than 9 million times by December 31, 2014. About 70 per cent of Ticket Monster Korea’s customers complete their transactions via mobile.
“We believe that South Korea represents a sizable and attractive market opportunity given the clear shift by consumers towards mobile commerce, convenience and value goods,” said Stephen Ko, MD of KKR Asia, and Sae Wook Wi, partner of Anchor.
“We are excited to invest in this fast-growing sector and provide greater financial resources to Ticket Monster. The strong combination of a well-resourced shareholder base and an innovative management team puts Ticket Monster Korea in pole position to lead the market with dynamic, creative services and drive value for consumers. We look forward to working with Dan, his team at Ticket Monster Korea and Groupon during an exceptional time for mobile commerce in Korea,” added Ko and Wi.
KKR, which is making the investment from Asian Fund II, has a long-established track record of supporting technology companies, having invested more than $13 billion of equity in more than 50 companies across software, internet, media and IT-infrastructure since 2000. Recent investments include GoDaddy, Internet Brands, Trainline and Uxin.
KKR also intends to leverage its experience investing in world-class consumer goods and retail companies, including Oriental Brewery, Dollar General, Walgreens Boots Alliance and Haier, to help Ticket Monster Korea grow and achieve its goals.
Established in 2012, Anchor has quickly garnered a reputation for its experience and portfolios in the services, logistics & distribution and consumer & retail sectors in Korea, as well as successful track records in developing its portfolio companies as leaders in their respective industries.
Key investments include Metanet MCC, Geo-young, CheonJiYang and Kyungnam Energy. Anchor will leverage its experience to create value in Ticket Monster Korea by implementing best practices and instituting sophisticated corporate governance and controls. Anchor invests in Ticket Monster Korea from Anchor Equity Partners Fund I.
The transaction is expected to close in the second quarter of 2015, subject to regulatory and customary closing conditions.
Pandora Jewellery is now on sale to guests of two of ‘the most magical places on earth’.
The resurgent European jeweller, has partnered with Walt Disney Parks and Resorts to open dedicated Pandora Jewelry boutiques within two Disney merchandise locations: Uptown Jewelers in Magic Kingdom Park at Walt Disney World Resort in Florida and La Mascarade d’Orleans in Disneyland park in California. Both locations carry Pandora’s newly released spring 2015 Disney jewellery collection and the Disney Parks collection, as well as the full assortment of Pandora jewellery.
The redesigned Uptown Jewellers is reminiscent of a Victorian era collectibles shop, echoing the nostalgic style of Main Street USA, the first themed land within Magic Kingdom Park. With classic decor and ornamental touches, Uptown Jewellers “reflects the prosperity and optimism of early 20th century America”.
The newly renovated La Mascarade d’Orleans, located in the heart of New Orleans Square in Disneyland park, brings the festivities of the French Quarter to life. Fantastical masks, rich fabrics and vibrant colors complement fixtures displaying Pandora rings, necklaces, earrings, charms and bracelets.
Pandora’s new Disney jewellery collections of hand finished silver and 14K gold charms feature inspirations from some of Disney’s most beloved characters, and include more than 101 different styles for Disney Parks guests to choose from.
The Disney jewellery collection is sold at Pandora concept stores throughout the US, Canada, Mexico, Puerto Rico, Central America and the Caribbean, as well as through select Disney merchandise locations, including DisneyStore.com.
US fast food company Burger King has posted its best quarterly sales increase in nearly a decade.
The company says the sales boost is the result of a promotional ‘two for $5’ campaign, the introduction of the new spicy BLT Whopper and a boost in breakfast sales – no single “silver bullet”.
Burger King’s same store sales rose 6.9 per cent in the US and Canada, according to parent Restaurant Brands International, but it declined to say if it was the result of increased customer traffic or a high per customer spend. Given the low cost promotional offer, it’s likely to have come at the cost of margins.
Burger King’s performance is all the more significant due to its coincidence with a 2.6 per cent fall in sales by its larger rival McDonald’s.
Global same store sales rose 4.6 per cent at Burger King.
UK department store retailer House of Fraser has confirmed it will open three stores in China.
The first will be in Nanjing, the home of House of Fraser’s Chinese owners Sanpower after its £489 million buyout of 89 per cent last September.
The second store will be in Chongqing and the third in Xuzhou, which is scheduled to open in 2017.
A second franchised store is also planned for Abu Dhabi.
House of Fraser revealed record annual profits this week, driven by a 32 per cent increase in online sales and like for like sales up 5.8 per cent to £1.3billion. It reported a record gross profit of £460.2 million. Own brand sales – for Linea and Army & Navy – rose 10 per cent.
House of Fraser chief Nigel Oddy said the company is excited about its future prospects as it embarks on its next phase of growth internationally.
Oddy joined House of Fraser in february after a career with Marks & Spencer which included a term as head of its retail operations in Hong Kong and involvement in buying, giving him extensive knowledge of greater China.
Krispy Kreme has signed a development agreement with a master franchisor in Cambodia.
The Express Food Group (EFG) will open 10 Krispy Kreme Cambodia shops over the next five years.
“This agreement will further strengthen Krispy Kreme’s brand position throughout Asia and will enable us to bring our mission of touching and enhancing lives through the joy that is Krispy Kreme to the people of Cambodia,” said Dan Beem, Krispy Kreme’s senior VP and president – international.
“One of the keys to the success of Krispy Kreme in any country is working with top-quality franchisees, and EFG is an experienced company dedicated to delivering an exceptional customer experience.”
A member of Bangkok-based RMA Group, EFG was founded in 2004 and currently employs more than 1200 Cambodians at its 42 restaurants from a variety of QSR and casual restaurants, including Swensen’s, Costa Coffee, The Pizza Company and Dairy Queen. The company also operates 15 food and beverage outlets in Phnom Penh and Siem Reap international airports.
“We are very proud and excited to introduce Krispy Kreme to the Cambodian market,” said Jean-Boris Roux, regional director of RMA Group’s food division.
“EFG has always been determined to bring strong leading brands to this country, and we are confident that Cambodians will quickly embrace Krispy Kreme’s signature sweet treats and the entire Krispy Kreme experience.”
North Carolina-based Krispy Kreme now boasts more than 1000 retail shops in 24 countries.
apan’s Rakuten and Gentosha Inc. recently launched GINGER mirror, a free online fashion magazine for women linked with e-commerce.
GINGER mirror is a free online fashion magazine optimized for smartphones aimed at busy women in their late 20s and 30s who wish to enjoy the latest fashions despite having limited time and budget. The magazine showcases reasonably priced fashion items that can be bought on Rakuten Ichiba.
Rakuten said the ratio of purchases made on mobile devices on Rakuten Ichiba has been increasing in recent years, especially in the fashion genre. By presenting Rakuten Ichiba fashion items to readers through a smartphone-optimized online magazine and providing a simple system for users to purchase the featured items, the number of purchases of fashion products made through mobile devices is expected to increase.
The first edition of GINGER mirror, released on April 15, features model and actress Nanao on the cover and introduces around 400 hot fashion items and accessories across 100 pages under the theme “Spring Fashion Cost Performance Buying Guide.”
Rakuten will continue to strive to create new added value for the wide array of reasonably-priced products offered on Rakuten Ichiba, harnessing the know-how of Gentosha in producing women’s magazines to bring even more gloss and appeal to its products.
Years 2013 and 2014 saw an unprecedented level of cyber assault on retailers. Several major breaches hit the headlines and retailers reported tens of millions of customer data and credit card records exposed. Despite widespread attention to payment card industry (PCI) compliance, cyber criminals have clearly taken retailers by surprise.
Due to the frequency and impact of recent cyber attacks targeting retailers, Deloitte undertook efforts to gather information and facilitate practical dialogue on the issue of cyber risk. The report, Cyber risk in retail: protecting the retail business to secure tomorrow’s growth, summarizes key issues facing retailers:
It also outlines actions that retail organizations can take near term to mitigate cybersecurity risk, and concludes with a set of issues that call for future research, dialogue, and collaboration.
To download the report, click here.