Tag: asia

  • Singapore locks down until June

    Singapore locks down until June

    The Singapore government has reduced the list of “essential services” as part of a tougher clampdown on social distancing as it tries to arrest the spread of Covid-19 in the city-state.

    The Ministry of Trade and Industry (MTI) on last night announced a trimmed list essential services applied during the “circuit breaker” period which has been extended for another four weeks and will likely not now end until June 1. Subsequently, more retailers including food and beverage outlets have to temporarily shut down its business – although this is initially going to be enforced only until May 4, subject to extension.

    Here are types of food and beverage retailers that must suspend their operations from today (April 22):

    • All food-and-beverage vending machines located in parks, regardless of what they sell, must be shut. Takeaway and delivery services located in parks are to close.
    • Stores predominantly selling beverages including bubble tea, fruit juice, alcoholic drinks and coffee.
    • Stores predominantly selling packaged snacks and loose snacks including nuts, potato chips, popcorn, bak kwa and cheese.
    • Stores predominantly selling desserts including ice cream, cakes, sweet pastries, grass jelly and red/green bean soup. However, these rules do not apply to hawker centres and food courts. Online retailing of these products is allowed, provided that they are from a licensed central kitchen, manufacturing facility or warehouse of the food-and-beverage company.
    • Optical shops can operate by appointment only, with walk-in customers banned.
    • Pet supplies stores and retail laundry services must close their physical stores, but are permitted to provide online sales and delivery.

    Other food-and-beverage outlets, including those selling hot or cooked snacks, bread or meals, are allowed to continue to sell, but only via takeaway or delivery services during the “circuit breaker” period. Dining-in is not permitted.

    However, the MTI contradicts itself in documentation explaining the new restrictions, possibly due to the rushed pace with which they were prepared. In an appendix, it says that “specialized stores and outlets that predominantly retail” coffee and tea must close. Immediately below that declaration, the MTI says “Only hawker centers, coffee shops and food courts are excluded”.

    So it remains unclear whether coffee chains such as Starbucks are allowed to continue to trade from today. Starbucks had not responded on its Singapore operations before deadline.

    Meanwhile, stores continue to serve hot meals (as well as coffee) may continue to trade – ostensibly selling coffee and meals, but not cakes or sweets (once existing stock runs out). But other media is reporting that stores will be classified by the predominant product they sell, which suggests coffee shops may not continue to trade, as they sell more coffee than meals.

    Inside Retail Asia is awaiting further clarification of this and other points and will update this story as further details come to light.

    Supermarkets and wet markets can continue trading as normal, however social-distancing practices must be observed.

  • Four ways the Covid-19 pandemic will reshape shopping behaviour in Asia

    Four ways the Covid-19 pandemic will reshape shopping behaviour in Asia

    Shopping behavior in Asia will be redefined by the Covid-19 crisis: here are four key trends to expect in the post-pandemic world.

    Retail solutions provider Tofugear has just published the Digital Consumer in Asia 2020 report, based on a survey of 6000 consumers across 12 markets in Asia in February, including markets where the coronavirus pandemic had already impacted retail.

    Due to the timing of the research, the report offers a fascinating glimpse of what online and offline shopping behavior might look like in the region once the recovery sets in. With that in mind, here are some key retail trends we predict will come to define the post-Covid-19 world.

    Shift in spending towards essentials and ‘affordable luxuries’

    Consumer confidence in Asia is currently at an all-time low, with only 27 percent of all shoppers having a positive view about their personal finances over the year ahead. Unsurprisingly, the majority of consumers intend to cut back on big-ticket items such as luxury fashion and furniture.

    While demand for essentials such as groceries and household goods will remain firm, four in five Asian consumers also state that they will not be cutting back their expenditure on beauty and personal care items. Many fashion retailers have expanded into the beauty space in recent years, but this is certainly an area that others might want to follow. During times of economic crisis, beauty and cosmetics are seen as affordable luxuries that provide a form of escape from the doom and gloom.

    It has been mentioned many times now, but the pandemic is indeed resulting in a surge in e-commerce activity. Nearly half of all shoppers in Asia intend to increase their online spending versus physical retail over the coming year, while 38 percent will keep it at the same level. With so much spending set to shift to digital commerce, retailers will need to stand out from the competition by sharpening their fulfillment proposition.

    While consumers in Asia value a free shipping service the most (86 percent), in terms of costs this might not be feasible for all retailers. However, offering transparency in the fulfillment process – such as being able to track deliveries (83 percent) and picking a delivery time slot (76 percent) – trumps speedy fulfillment services such as same-day deliveries and delivery within two hours.

    Broader acceptance of retail formats that support the circular economy

    The notion that Asia is behind the curve when it comes to supporting for sustainability initiatives can be put to rest. Two-thirds of all consumers in Asia state that they will consider a brand’s sustainability credentials when making a purchasing decision.

    At the same time, nearly half of all respondents say that they shop for pre-owned and second-hand merchandise – perhaps a noticeably high percentage given the stigma of ‘bad energy’ that surrounds second-hand goods in some markets such as China.

    The report also finds that the acceptance of rental services – such as those offered by Style Theory and Covetella – are gaining traction.  With personal finances expected to remain under pressure, demand for circular business models like these look set to increase further in the next year.

    Technologies that aid social distancing in a physical retail

    Once lockdowns are lifted across Asia, it stands to reason that there will be renewed enthusiasm for simply going out to visit the shops. However, retailers need to take note that the consumer psyche has changed and shoppers will naturally be more hesitant about physical contact in a store setting.

    Brick-and-mortar retailers need to latch on to this sentiment and invest in the appropriate technologies to make shoppers feel more comfortable. Scan-and-go technology, whereby consumers’ mobile phones are used to scan products and pay at the end, would be a great way to achieve this as four in five Asian shoppers (79 percent) state that they are open to using this technology if available. Similarly, 71 percent would make use of automated check-outs – such as those seen in unmanned retail concepts.

  • Zilingo trims staff, refocuses on Asia

    Zilingo trims staff, refocuses on Asia

    Online fashion platform Zilingo has axed about 45 staff, including 30 in its Singapore head office, as it refocuses on Asia in the wake of the coronavirus pandemic.

    The layoffs represent about 5 percent of the company’s global workforce of 900.

    “Zilingo has had to make several tough decisions in line with this approach and last week we announced internally company-wide restructuring measures that reflect this strategic direction,” a spokesperson for the company told DealStreetAsia.

    A year ago, Zilingo raised US$226 million in Series D funding saying at the time it wanted to invest in long-term value building across the supply chain, building new and deeper relationships with manufacturing partners in Vietnam, Cambodia, Sri Lanka and China, and expanding into new markets such as the Philippines, Indonesia, Australia and the US.

    Another $100 million was raised last September to fund growth in Europe, Australia and the Middle East.

    However, with fewer people buying fashion during the Covid-19 pandemic, the five-year-old company has decided to rein in its global reach, to concentrate on Asia and developing markets, shelving operations in the US and Europe.

    “As we continue with the internal reorganization and move forward, we seek the support and cooperation of our merchant partners, sellers and the Zilingo family at large in our combined efforts,” the spokesperson said.

    Zilingo has previously revealed its platform links 60,000 retail partners and 6000 factories spanning 17 countries.

  • Vestiaire Collective raises US$64 million in fresh funds

    Vestiaire Collective raises US$64 million in fresh funds

    Vestiaire Collective has raised US$64.1 million in its new funding, with new investors Korelya Capital backed by Korean technology giant Naver, operator of Line.

    Managed by Fidelity International, Vaultier7 and Cuir Invest, the funds will be used to accelerate Vestiaire Collective’s international business beyond the countries where the company’s community is already well established, the company said in a statement.

    With Korelya Capital as a new investor, which is backed by Korean conglomerate Naver, the company hopes to expand its network to Japan and Korea next year.

    “I am personally convinced that this unprecedented period of disruption will not only challenge where we shop but how we shop,” said Max Bittner, CEO of Vestiaire Collective. “Vestiaire Collective was built during the 2008 crisis, and proves today how it can help people in their daily life to make the most out of their belongings, but also to access fashion in a sustainable and conscious way.”

    The round will also be used to expand its direct-shipping service launch in the US this summer followed by Asia later this year, after its successful launch in Europe last year with the growing rate of more than 60 percent month on month.

    “As we all take a step back and contemplate the way we live, we believe consumption patterns are on the verge of a deep structural evolution, and C2C platforms have a strong role to play here,” said Paul Degueuse, general partner of Korelya Capital.

    During the Covid-19 pandemic, Vestiaire Collective launched coronavirus charity sales in the US, European and Asian countries, including Hong Kong and Singapore recently.

    Founded in Paris in 2009, Vestiaire Collective is an online platform offering pre-owned luxury fashion items with the ambition to change the fashion industry to a smarter and more circular system. Vestiaire Collective now has more than 9 million members from more than 90 countries across Europe, the US, Asia and Australia, with 60,000 new items submitted every week.

  • WhatsApp doubles the limit of participants in group audio and video calls

    WhatsApp doubles the limit of participants in group audio and video calls

    We told you less than a week ago that WhatsApp plans to increase the limit of participants in group audio and video calls, but we didn’t know by how many and when exactly it will happen. If you’re using the beta version of WhatsApp, we’re happy to tell you that group audio and video calls feature has been upgraded to accommodate more participants.

    As the title says, WhatsApp has decided to double the number of users who can participate in a group audio and video call. WABetaInfo reports that the latest beta version of WhatsApp increases the limit of participants to 8, whereas the app would only accept a maximum of 4 participants previously.

    To start using the new feature, all your contacts must use the same version of WhatsApp. Then, you must tap the New Group Call option in the Call tab and choose up to 7 more contacts from your list who you wish to invite in a group audio or video call.

    Apart from increasing the number of participants that can join audio and video call groups, WhatsApp implemented some other small, but helpful changes. For example, the call button that you use in groups will now allow users to directly start a call with group members if the group has 4 or fewer participants.

    If the group has more than 4 participants, you will be able to choose the contacts you want to add to the group call immediately after tapping the call button. Once again, these improvements are only available in the WhatsApp beta for Android (v.2.2.128), but we suspect they will be rolled out to the general public very soon.

  • Deliveroo cuts Pickup commission rate

    Deliveroo cuts Pickup commission rate

    Food delivery service Deliveroo is reducing its Pickup service commissions to 5 percent for its operations in Hong Kong.

    The move is expected to provide relief to restaurants struggling to generate revenue during the coronavirus outbreak with tough social distancing regulations in place throughout the territory.

    The new rate will apply to all Deliveroo partnering restaurants through to the end of June who accepts orders through the Deliveroo platform from customers who opt to collect their food directly from the restaurant.

    “At Deliveroo we know that every customer can make a world of difference to our restaurant partners at this critical time, and so we have consistently rolled out new measures to continue our support,” said Deliveroo Hong Kong GM Brian Lo.

    “Pickup offers a faster option for customers to order their food through Deliveroo in times of high demand, and also allows for people to order for collection from restaurants that may not provide delivery services or order products that may not be suitable for delivery. The service also benefits restaurants by opening up an additional revenue stream as Pickup gives people the option of ordering food-on-the-go – enabling restaurants to reach a new wave of customers.”

    Some 60–70 percent of the 1500 restaurants joining Deliveroo since January have opted into Deliveroo’s Pickup service. Deliveroo has seen 300-per-cent growth in both restaurants offering Pickup services and Pickup’s order volume during the first quarter.

    “It’s no surprise that the most recent measures by the government to reduce in-house restaurant services by 50 percent have been felt across the city and to our operations,” said Deliveroo restaurant partner Ootoya’s GM Hiroyasu Kageyama.

    “However, we’ve been able to make up for lost in-house sales with more proactive marketing for delivery and pick-up. This is largely in thanks to Deliveroo’s compassionate efforts to help us adapt and reach new customers online – with them as our partner, we’ve been able to stay optimistic and find new ways to innovate.”

    Pickup services from Deliveroo officially launched earlier this month to give hungry Hongkongers the chance to skip the delivery fee, and conveniently pick up their meals without standing in line at their desired restaurants. Once customers have selected the Pickup option, they will be shown the precise collection time and be kept up to date through app notifications, enabling them to drop in and grab their food immediately.

  • AirAsia counters most active after flight resumption announcement

    AirAsia counters most active after flight resumption announcement

    AirAsia counters emerged as among the most active stocks on Bursa Malaysia today, after the low-cost carrier announced it will resume its scheduled domestic flights, beginning with Malaysia on April 29, 2020.

    As at 3.31 pm, AirAsia Group Bhd rose 8.5 sen to 87 sen with 151.61 million shares changing hands, while its long-haul arm, AirAsia X Bhd, increased by four sen to 12 sen with a sum of 440.99 million shares transacted.

    On Friday, AirAsia said beside Malaysia, the airline would also resume its domestic flight in Thailand and the Philippines on May 1, 2020, followed by India on May 4, 2020 and Indonesia on May 7, 2020, subject to approval from authorities.

    “The resumption of services will first be for key selected domestic routes, which will be increased gradually to include international destinations once the situation improves and governments lift borders and travel restrictions,” it said.

    AirAsia Group president (airlines) Bo Lingam said AirAsia has undertaken a thorough review of its guest handling procedures both on the ground and onboard in light of the COVID-19 pandemic.

    “We have been working closely with the airport authorities to ensure that all the relevant precautionary measures are in place to ensure a safe, pleasant and comfortable journey for everyone,” he said.

  • Zalora pursues sustainable fashion ecosystem in Southeast Asia

    Zalora pursues sustainable fashion ecosystem in Southeast Asia

    Zalora is positioning itself as the first online fashion retailer in Southeast Asia to create a sustainable fashion ecosystem, achieving positive change in environmental impact, and inspiring customers to shop in a more conscious way.

    The firm’s new strategy aims to make commitments to customers, brands, vendors, and employees during 2022–2025 period.

    “As a leading fashion e-commerce player that serves millions of customers in the region, we recognize the impact we can have in creating a better future through a sustainable fashion ecosystem in Southeast Asia,” said Zalora CEO Gunjan Soni.

    “We want more consumers today to buy sustainable products and participate in the circular economy. We want to inspire our customers to contribute to these sustainable practices by making it easy for them and educating on benefits.”

    The firm is committing to reducing the impact of its packaging, warehouses, and transportation along its entire supply chain, ensuring that 100 percent of delivery and internal packaging incorporates sustainable materials within two years. It also plans to achieve complete carbon offset from its operations and transport by the end of 2025.

    Zalora is also aiming to help customers shift towards conscious shopping and extending the life cycle of fashion items, aiming for 50 percent of its products to meet its sustainability criteria, with 30 percent of active consumers participating in circular fashion initiatives within the period.

    Another feature of Zalora’s planned sustainable fashion ecosystem is a focus on enhancing supply chain ethical standards and transparency, including the launch of a private label capsule made from sustainable materials. Forty percent of its products will use sustainable materials by 2025.

    It is also asking Zalora employees to contribute to 20,000 community volunteering hours per year by the end of 2025.

    In December last year, the firm partnered with luxury marketplace reseller Style Tribute in Malaysia and Singapore, allowing consumers to purchase pre-loved fashion luxury items on Zalora’s website and mobile app.

  • Sales of Galaxy S20 underwhelm amid pandemic

    Sales of Galaxy S20 underwhelm amid pandemic

    Sales of Samsung Electronics’ latest flagship series Galaxy S20 are hovering below those of its predecessor as the global new coronavirus pandemic has led to a slump in demand for consumer products, industry sources say.

    South Korean sales of the Galaxy S20 series, which comes in three models — the S20, S20 Plus and S20 Ultra — are estimated to have accounted for only 60 percent of the sales of the Galaxy S10 series so far, according to sources from local mobile carriers.

    The South Korean tech giant, which has not been providing official numbers, estimated the sales were roughly 80 percent of the Galaxy S10 5G series.

    The decrease apparently came as consumer sentiment was seriously impacted by the Covid-19 pandemic, which led to economic jitters around the globe.

    Reflecting the weaker-than-expected performance, Samsung is estimated to have posted an operating profit of around 2.5 trillion won (US$2 billion) or below for the first quarter from the IT & mobile communications division, which oversees the smartphone business.

    The company will report its finalized earnings later this month.

    Samsung’s operating profit from the sector reached 2.9 trillion won in the third quarter of 2019, which slipped to 2.5 trillion won a quarter later

    Industry tracker Strategy Analytics earlier said global shipments of smartphones are estimated to reach 1 billion units, revising down its previous estimate of 1.3 billion units.

  • Covid-19 is accelerating the use of automation

    Covid-19 is accelerating the use of automation

    Companies are rapidly turning to automation to keep business running during the coronavirus outbreak, according to new research by Bain & Company.

    The firm’s data shows that processes are being automated to manage payroll, diagnose customer experience issues while call centers are closed, and resolve IT service issues. It is based on survey responses from nearly 800 executives worldwide.

    “The ongoing crisis forced companies to move their operations remote within a matter of days, underscoring a greater need than ever for automation technology to help maintain business continuity,” said Bain & Company partner Michael Heric. “As companies adapt to new routines and prepare for a pending downturn, automation solutions that might have been years away a few months ago, are suddenly right around the corner.”

    Companies are reporting cost savings of roughly 20 percent over the past two years from the implementation of automation, while nearly 45 percent of respondents report that their automation projects have not delivered the expected savings.

    The report shows companies lacking a rigorous automation agenda risk falling behind in their respective industries.

    The firm estimates the number of companies scaling up automation technologies will double over the next two years as the Covid-19 crisis likely accelerates.

  • Expansion during pandemic: Apple’s services arrive in many new markets and regions

    Expansion during pandemic: Apple’s services arrive in many new markets and regions

    Apple will be expanding Apple Music, the App Store, and other services to a whole trove of new markets in Africa, the Middle East, Oceania, and several nations across the Balkan peninsula in what could be perceived as the largest geographical expansion in nearly a decade. Back in 2012, more than a billion and a half people in India, Russia, and other countries gained access to Apple’s services.

    Cupertino is bringing the App Store to 20 new countries, 8 in Africa (Cameroon, Ivory Coast, Democratic Republic of Congo, Gabon, Libya, Morocco, Rwanda and Zambia) and a dozen others across the globe, bringing the grand total of supported countries to 179, but wait until you learn of the gains Apple Music is making. The music streaming answer to Spotify is now available in 52 new countries and regions across the world, bringing the toal tally to 167 countries. As a comparison, Spotify only operates in 79 countries. Arriving on most developing markets also commands a pretty important change for Apple Music’s terms and conditions: while the service costs $9.99 a month and offers a three-month free trial in the US and most developed markets, Apple Music will go for $4.99 a month and offer a six-month free trial in most of the new markets.

    The bid here is pretty clear – as global smartphone sales go down and consumers are less likely to upgrade their devices every second year, Apple has put the larger focus onto its services division, which is expected to become the next big revenue gainer for the world’s largest tech company. For the last fiscal year, the services division as accounted for 17.8% of its $260.1 billion in revenue.

    With a userbase of 1.5 billion active devices across the world, Apple surely has lots of potential for increasing the subscriber numbers of its Apple TV+, Apple News+, and Apple Music services. Indeed, Apple strives to have a grand total of 600 million subscribers by the end of 2020. Yet, the largest money pig for Apple is the App Store, as it grants Apple between 15 and 30% of all app sales and in-app purchases.

    How would this expansion of services affect a world economy vastly crippled by the COVID-19 pandemic and a userbase isolating itself at home? Logic suggests that Apple should see a steady increase of subscribers across the board, but the jury is still out on the data itself. Moreover, earlier reports suggested that Apple TV+ might not be a smash-hit-video-streaming service just yet, as it reportedly suffered heavy new subscriber losses from sworn rivals Netflix, HBO Now, and Disney+.

  • Peugeot Maker PSA Says Demand To Fall Sharply, Keeps Margin Goal

    Peugeot Maker PSA Says Demand To Fall Sharply, Keeps Margin Goal

    French automaker PSA on Tuesday warned of sharp falls in demand for the sector this year after posting a 15.6% drop in first-quarter sales but maintained its mid-term operating margin goal.

    The maker of Peugeot, Citroen, DS, Opel and Vauxhall is working through a merger with Italy’s Fiat Chrysler but like its peers has been forced to shutter plants due to the coronavirus outbreak.

    The group said revenue for the January-March quarter stood at 15.2 billion euros ($16.47 billion).

    It maintained its target for an average adjusted operating target of over 4.5% for its automotive division over the 2019 to 2021 period.

    “Having secured liquidity and drastically cut costs, the group is now fully focused on preparing for the rebound in a chaotic economic environment,” Financial Chief Philippe de Rovira said in a statement.

    Little relief for Europe’s carmakers Monday as BMW says sales have plunged and Peugeot-owner PSA says it’s raising new funds to help it see out the crisis.

    PSA said it now expects the auto sector to fall by 25% in Europe and Latin America this year, by 20% in Russia, and by 10% in China.

    Like French rival Renault, PSA has been in talks with unions to try and work out a schedule to reopen its factories in France with new sanitary protocols.

    Its British brand Vauxhall is looking at temperature checks and shift rescheduling to plan the reopening of its two UK factories.

    France and many other European countries are still under strict lockdowns, though China is now emerging from confinement.

  • HSBC Private Bank Managing Director to Depart

    HSBC Private Bank Managing Director to Depart

    He announced his departure on LinkedIn on Friday, saying he was «excited» to head to his next destination.

    Shang-Wei Chao, HSBC Private Banking’s Singapore and Malaysia market head, will be leaving the firm, he announced in a LinkedIn post, which was confirmed by a spokesperson at the bank.

    Chao joined HSBC in 2016, after 12 years at UBS, where he was a client advisor and desk head covering numerous Southeast Asian markets. The bank did not disclose plans for a replacement.

    Since joining HSBC Private Banking in 2016, I’ve felt that I was on an express train that didn’t need to stop to refuel, Chao said in the post.

    The bank has successfully transitioned to its strategy to get back to growth, and other transformation goals have made amazing headway, he said about his time at the firm.

  • McDonald’s, The Cheesecake Factory find the perfect recipe for staying relevant during crisis

    McDonald’s, The Cheesecake Factory find the perfect recipe for staying relevant during crisis

    With customers subjected to stay-at-home orders or lockdowns around the world, major brands are facing unprecedented challenges staying relevant and connected – especially fast-food retailers and theme parks.

    At the same time, the lockdowns have spurred an unprecedented demand for baking ingredients as consumers try their hand at creating food and snacks at home – either to kill time or save money.

    At least four international corporate giants have linked these two features of the Covid-19 pandemic into feel-good marketing initiatives that help consumers, subtly reinforce brand ‘feel-good factors’ and drive traffic to their social media accounts. McDonald’s, Disney, The Cheesecake Factory and hotel chain DoubleTree have each shared recipes for foods they serve to customers so they can make them at home.

    Fast-food giant McDonald’s in the UK, which closed all of its restaurants last month, released a recipe for its Sausage and Egg McMuffin for fans to recreate in their own kitchens. This was in response to viral tweets from internet users who had tried to make their own McMuffin breakfast sandwiches while unable to visit restaurants.

    The chain produced a recipe card (below) revealing the five ingredients and full cooking instructions in order to promote its brand while outlets are closed – and included a step-by-step guide on how to prepare its crispy hash browns.

    In the US, hotel chain DoubleTree has released the recipe for the popular chocolate chip cookies presented to travelers fresh from the oven upon arrival at the firm’s properties. More than 30 million of the cookies are baked and shared with customers each year, and the cookie carries the distinction of being the first food baked in orbit at the International Space Station.

    “We know this is an anxious time for everyone,” said DoubleTree by Hilton senior VP and global head Shawn McAteer. “A warm chocolate chip cookie can’t solve everything, but it can bring a moment of comfort and happiness … we look forward to welcoming all our guests with a warm DoubleTree cookie when travel resumes.”

    Disney Parks – the theme park division of the giant Disney entertainment empire – has similarly released a recipe inspired by the churro snacks available at all its parks worldwide, most of which are closed during the pandemic.

    “These past few weeks, we’ve seen many of you sharing Disney recipes and creating your very own magical moments right at home,” wrote Alex Dunlap, food & beverage communications coordinator at Disney Parks in a blog post for fans. “This has inspired us to share one of my favorite recipes so you can continue creating #DisneyMagicMoments.”

    The company also shared on a blog how to make the grilled three-cheese sandwich offered at Woody’s Lunch Box at Toy Story Land in Disney World, on the occasion of National Grilled Cheese Day.

    Restaurants and bakeries are joining the trend as well. US casual-dining chain The Cheesecake Factory has published recipes online for many of its dishes, including its lemon-ricotta pancakes, Tuscan chicken, (pictured above), almond-crusted salmon salad, California guacamole salad, and chicken Bellagio.

    Other chains to post recipes online include Pret-A-Manger in the UK and US bakery Panera Bread.

    Meanwhile, The Hustle is reporting how one US bakery supplying restaurants pivoted into creating home-baking kits for consumers, in order to keep its factory operating and staff employed.

    Aaron Caddel was forced to close his San Francisco and Los Angeles bakeries Mr. Holmes Bakehouse after all 60 of his wholesale customers canceled their orders within 72 hours, equivalent to about $3 million of business.

    “I had single mothers on staff begging me to keep their jobs,” he told The Hustle. “So I just had to turn to solution mode: How can I create an insurance policy against this economy?”

    His solution was to create an all-inclusive kit including yeast, flour and detailed instructions to help consumers bake their own Mr. Holmes loaves. He had no e-commerce experience, but he did have 121,000 followers on his Instagram account.

    “Caddel is one of many small business owners recalibrating to serve a rapidly growing class of housebound bakers,” wrote Zachary Crockett, senior writer at The Hustle. You can read his full feature here.

    The demand for information about baking at home has surged since lockdown orders were put in place. One overseas columnist described flour as “the new toilet paper” in terms of consumer demand, with stocks running low in supermarkets as demand outstripped usual supply volumes.

    This chart below shows the rate of Google searches for bread-making instructions since stay-at-home orders were put in place in parts of the US last month.

    It seems some global brands have found the perfect recipe to delight consumers they would otherwise have had little opportunity to connect with during the coronavirus pandemic…

  • Starbucks China launches plant-based menu with Beyond Meat, Oatly, Omnipork

    Starbucks China launches plant-based menu with Beyond Meat, Oatly, Omnipork

    Starbucks China is launching a plant-based menu in partnerships with Beyond Meat, Omnipork and dairy-substitute Oatly which will be available in most stores nationwide.

    From tomorrow (April 22) the coffee chain will launch two pasta dishes and a wrap featuring Beyond Beef, effectively launching the meat-substitute brand on the mainland.

    A Vietnamese-style noodle salad and mushroom-sauce grain bowl created with protein-based pork substitute Omnipork is also going on sale, along with oatmilk options on its beverage menu, created with Swedish brand Oatly.

    Leo Tsoi, senior VP, COO and president at Starbucks China Retail, says the new menu items make it easy and enjoyable for customers to explore new lifestyles.

    “Through our new plant-based platform, we seek to inspire new routines by inviting everyone to eat good, feel good and do good. Together, we can take a small, humble step to make a better world,” he said.

    Beyond Meat has worked with Starbucks as part of its market entry into the Chinese mainland. Ethan Brown, Beyond Meat founder and CEO says the launch marks an important milestone in the company’s goal of increasing accessibility to plant-based protein globally.

    “Starbucks is a trusted brand with a strong market presence and deep understanding of customers in China, and we’re pleased to partner with them on our market entry. We believe the new Beyond Beef menu items deliver on our promise of enabling consumers to Eat What You Love while also enjoying the nutritional and environmental benefits of plant-based protein,” he said.

    Meanwhile, oatmilk joins soy as a dairy alternative, which has been a feature of the Starbucks China menu for 13 years.

    “It’s a significant step for the growing plant-based movement that Starbucks customers in China can now enjoy their favorite beverage with Oatly,” said Toni Petersson, global CEO at Oatly.

    “Oatly pairs extremely well with espresso and creates a wonderfully dense and creamy foam for lattes.”

    Starbucks China has also launched a merchandise range made with recycled coffee grounds, including tumblers and notebooks. The grounds are processed and mixed with polypropene to form an industrial-grade material with more than 30-per-cent recycled coffee ground content. Th