Tag: Shop

  • Australian barista Paul Bassett Expanding Coffee Bussiness

    Australian barista Paul Bassett Expanding Coffee Bussiness

    A decade after launching in South Korea, Australian Paul Bassett plans to make the most of a “positive evolution” in the local coffee culture, expanding his brand partnership with a local dairy company.

    Paul Bassett teamed with Maeil Dairies Co to launch a coffee brand named after him in 2009 – just at the time local consumers were starting to embrace specialty coffee. Their vision was to target the growing high-end coffee market.

    “Driven by a lot of curiosity for specialty coffee, the overall (Korean coffee) market has grown in the past 10 years and specialty components within the market showed some real healthy growth,” the 2003 World Barista Champion said in a recent interview.

    “I think it was the timing when we opened the (first) store and the location of the store was quite important. Had we been here 20 years ago, I am not sure.”

    South Korean’s craze for coffee has been described as dramatic in recent years. Starbucks and other premium coffee brands have sprawled into every corner of the nation’s big cities.

    South Korea’s coffee market was estimated at US$9.85 billion last year, and the specialty sector of the market is still growing.

    When Paul Bassett opened its first location in a department store in the affluent Gangnam district in 2009, it made a splash in the sector with a differentiated product lineup beyond typical Americanos and lattes.

    The brand made a name for itself with lungos, an Italian-style short black coffee with more water, a rather nascent item at the time. Lungos are weaker than espressos with additional hot water but more bitter than Americanos.

    Paul Bassett outlets, operated by M’s Seed Co, a wholly owned unit of Maeil Holdings, have also proven popular due to a variety of latte items and ice creams, with milk provided by Maeil Dairies.

    For example, its ice cream latte, similar to Italian espresso-based affugatos, is also a hit at the coffee house.

    Bassett said he has been deeply involved in selecting beans, deciding on the blending ratio and roasting profile, quality checks and product development. Baristas at Paul Bassett stores extract espresso and make drinks according to his manual.

    The 41-year-old barista says he works as a “gatekeeper of quality” to maintain quality and consistency of beans and other drinks at 96 stores, mostly located in the Seoul metropolitan area.

    “We can go into one store in one location and have the same result and same experience in all of the locations,” he said. “It’s a challenge, but it’s one of the things that is really important to us.”

    Starting with 500 million won in sales in the first year, Paul Bassett posted 93.8 billion won in sales in 2018 and aims to double the number of outlets to 200 by next year.

    Without a doubt, local coffee brands like Paul Bassett still lag far behind Starbucks. The US coffee giant generated 1.5 trillion won in sales last year and currently runs 1290 stores in Korea.

    Still, Bassett is optimistic about his brand’s further expansion on the back of a rising appetite for specialty coffee and its royal customers. To fuel growth, the barista, who makes regular visits to Korea to check the menu and train baristas, said he will work with the M’s Seed to educate South Koreans about the origin of beans and the chemistry behind coffee.

    Once consumers know every cup of coffee can tell a story from farms from Ethiopia, Guatemala and Brazil, they will crave specialty coffee more than blended coffee, he said.

    Growing up in a family that runs a restaurant in Australia and having found his true passion for coffee during his trip to Italy 20 years ago, Bassett says he wants to contribute to the Korean coffee culture.

    “I have a very intimate and personal relationship with coffee. I’ve been able to develop an understanding of coffee through so much experimentation that I understand all the little inputs and how they can impact taste,” Bassett said.

    “I feel like the journey has brought me to where I am now.”

  • Parkson Holdings Extends Store Lease in China

    Parkson Holdings Extends Store Lease in China

    Parkson Holdings’ Beijing operation Parkson Retail Development (PRD) has extended a department store lease in the city until the end of 2021.

    PRD’s Hong Kong-based owner PRGL announced in a stock exchange filing in Hong Kong the firm has signed a new lease agreement for a 189sqm area from the China National Arts and Crafts Group in Beijing’s Fuxingmen. It has agreed to pay a quarterly rental of RMB2.5 million (US$361,800).

    The group has been conducting retail activities at the site for 20 years and this lease follows renewals of seven other leases in the same building back in February. In total, Parkson leases 23,887sqm in other areas of the museum from the same landlord for terms extending as far as the end of November 2028.

    A statement from PRGL said the operation has brought stable revenue in the past, and that the new lease brings continuity to the group’s retail efforts in a location familiar to its long-term customers.

  • Topshop future in stretch as crucial vote delayed

    Topshop future in stretch as crucial vote delayed

    The future of fashion label Topshop is in limbo after a crucial vote on a Company Voluntary Arrangement for parent Arcadia Group was delayed last week.

    Arcadia’s chairman Sir Philip Green is trying to gather approval from creditors for a scheme which would see them convert debt to future equity and rents reduced on UK stores in return for sa further investment by Green’s family of £50 million (US$63.8 million). The scheme would also see 23 stores shuttered in the UK and the closure or sale of all 11 of Topshop’s US stores – on top of 25 UK store closures already planned.

    “Against a backdrop of challenging retail headwinds, changing consumer habits and ever-increasing online competition, we have seriously considered all possible strategic options to return the group to a stable financial platform,” Arcadia CEO Ian Grabiner said when unveiling the CVA last month.

    “This has been a tough but necessary decision for the business.”

    But a meeting of creditors – who include suppliers landlords and pension funds – was postponed last week when it became clear support would fall short of the 75 per cent required for it to be approved. That vote will now likely be held this week. However if it fails, creditors may call in administrators opening the possibility of a sale of Arcadia’s brands, which also include Miss Selfridge, Dorothy Perkins, Evans and Topman.

    UK retail industry sources say landlords are especially cynical to the CVA, casting doubts on whether Green can revive the troubled business in an era of dwindling high-street retail sales and growing e-commerce.

    One major retail landlord told The Business of Fashion that cutting rents to Arcadia to help its survival would be “quite a tough message to communicate to other tenants paying full rent”.

    Arcadia’s like-for-like sales reportedly fell 7.5 per cent in the year to August 2018, with total sales down 10.5 per cent to £1.7 billion. That decline was largely due to a 20 per cent slump in Topshop sales.

    The chances of Green’s plan did receive a boost last week after The Pensions Regulator and Pensions Protection Fund indicated their support. That followed a commitment by Sir Philip’s wife Lady Tina Green to invest a further £100 million in the fund to protect staff.

    Lady Green has also promised landlords who accept the deal a 20 per cent share of the proceeds should Arcadia be sold.

  • Ikea makes catalogues “shoppable” on Pinterest

    Ikea makes catalogues “shoppable” on Pinterest

    Global furniture retailer Ikea will start putting its product catalogue on Pinterest to give the print publication a longer lifespan and to allow customers to move more quickly from inspiration to purchase.

    According to a report in Digiday, Ikea has been working to monetise its presence on the social platform for some time, which has led to a shoppable version of its catalogue.

    “We didn’t want to just copy and paste – we already have a digital catalogue online,” Ikea media project manager Kerri Longarzo told Digiday.

    “But promotions in the past felt a little stale. We were running out of ways to show the catalogue to people online, so we sought out something different.”

    Pinterest differs from its social media contemporaries in that rather than sharing aspects of their lives, Pinterest users search for images of furniture, recipes, wedding ideas and more, and save it to their ‘boards’ for later reference. Essentially, it’s an online scrapbooking tool.

    “Catalogues have been a pretty big part of the Ikea concept from the very beginning,” Longarzo said.

    “As we get to 2019 and realise customer behaviours are shifting, the world is going more digital, having this print-only piece was becoming more challenging.”

    Ikea’s US Pinterest page boasts more than 10 million monthly unique viewers, while its Australian arm sees numbers closer to 350,000.

    On Ikea Australia’s Pinterest page, you can find boards ranging from bedroom ideas, recipes, and home inspiration – which when clicked through will take users to the relevant product page on the online store, allowing for further shopping or purchases. Adtech Ad

    The pinned images also automatically show other users’ images of the same product, allowing customers to see how the product looks in practical use.

    “People come to Pinterest in a shopping mindset open to discovering products, which creates a great connection between Pinners and businesses,” Pinterest wrote in a statement announcing its catalogue feature to businesses in March.

    “In the past year, we’ve been bringing together the worlds of visual search and shopping to make it easy to shop for anything you see on Pinterest, and for brands to reach people on Pinterest while they’re actively looking for inspiration.”

  • Xiaomi wants to dominate the smartphone market

    Xiaomi wants to dominate the smartphone market

    International markets are becoming increasingly more important to Xiaomi. And in an interview with Sina Tech, the CEO of Xiaomi’s sub-brand Redmi, Lu Weibing, did nothing to hide this fact and openly detailed the company’s plans for global domination.

    Over in India, as Weibing pointed out, Xiaomi and Redmi combined have led the smartphone market for the past seven quarters. They now apparently hold a 10% lead over second place Samsung, but through further investments, Xiaomi wants to take things to a whole new level by achieving a 50% market share.

    The Chinese company and its sub-brand currently account for 29% of Indian shipments, so the goal is certainly an optimistic one. It isn’t impossible, though. After all, seven of the top 10 best-selling smartphones in India recently were made by Xiaomi. Also, just a few weeks ago it was announced that over 2 million Redmi Note 7 units had been shipped in just two months.

    Outside of Asia, Xiaomi and Redmi are also hoping to continue their expansion this year. In Europe, the company is a distant fourth behind Samsung, Apple, and Huawei, but through further Redmi investments it hopes to gradually close the gap. Also, in the hope of increasing shipments globally, 2019 will see Redmi launch in Latin America alongside East African, Central African, and West African markets. The company plans to continue its focus on e-commerce and value for money, meaning there will be no push for large profit margins.

  • Ikea Thailand opens full E-commerce store

    Ikea Thailand opens full E-commerce store

    After two years of planning, furniture and homewares retailer believes it can match a physical store experience.

    Ikea Thailand has launched an online store, with a view to matching the journey and impression customers experience at a physical Ikea shop.

    “We see the potential – it is a potential in Thailand for Ikea,” said deputy retail manager for Ikea Thailand, Singapore and the Philippines, Lacia Sherlock. “We have only been accessible within Bangkok so far, and now we will be accessible for people from across the country.

    “The delivery prices need to be affordable and all the services need to be accessible for consumers living outside of Bangkok, so that they are able to get the assembly or whatever they need.”

    According to Sherlock, the new e-commerce platform, which is already available in Malaysia and Singapore, now covers the whole of Thailand. It took about two years to develop based on studies of market demand and building the necessary infrastructure.

    “We are pleased to now be able to provide this access to Thais. We have been wanting to do this for a long time, along with providing them with a superior experience and inspiration through both of our two Bangkok stores,” said Sherlock.

    Ikea is aiming to hit 17,000 online orders this year within the territory.

  • Alibaba’s 618 Mid-year Shopping Festival targets Specific China Regions

    Alibaba’s 618 Mid-year Shopping Festival targets Specific China Regions

    Alibaba Group has launched this year’s 618 Mid-year Shopping Festival from Taobao and Tmall, allowing brands and merchants to tap into China’s less-developed regions with 1.5 million new products and multiple promotions.

    This year’s festival aims to engage customers in emerging cities, counties and villages across China. To do so, Taobao and Tmall are boosting promotional resources to elevate excitement and help brands reach this rapidly growing market. Altogether, more than 200,000 brands and retailers will participate in the shopping event.

    The shopping event officially started on June 1 and will continue though June 18. Within the first hour, from midnight to 1am, gross merchandise volume (GMV) exceeded that of the first 10 hours last year. And at 11.23am, less than 12 hours after the start, total GMV surpassed last year’s full-day figure.

    Branded products are so far proving extremely popular. Top brands like Apple, Xiaomi, Haier, Aux, Midea, L ‘Oreal, Lancome, Nike and Adidas each notched more than RMB100 million in sales in the first hour. Among them, Apple sold over RMB100 million worth of products in two minutes and 45 seconds, while Midea and Nike both hit that mark in four minutes.

    “In addition to rising discretionary spending, consumers in China’s less-developed regions are becoming more-sophisticated shoppers who are looking for lifestyle upgrades,” said president of Taobao and Tmall Jiang Fan. “This increased consumption potential could mean bright prospects for our merchants. People in these areas might have less access to physical shopping facilities than those in big cities, and this year we are working closely with our partners to address their needs and offer them the same good quality products on our platforms with innovative and fun programs.”

    The number of people living in smaller cities and rural areas accounts for nearly 70 per cent of China’s total population, according to Chinese market-research firm Analysys. These consumers are catching up with first- and second-tier markets in valuing quality over price. Tmall’s figures also show that more than half of the sales generated on its Luxury Pavilion comes from customers outside China’s first- and second-tier cities.

    In view of this trend, Taobao and Tmall are leveraging Alibaba Group’s ecosystem and technology and an array of marketing channels and tools to build momentum from early June. Key initiatives to offer opportunities in fast-growing markets and enhance customer engagement include:

    Tmall product debuts – About 1.5 million products will debut on Tmall during the festival with customers enjoying heavyweight promotional offers on these items. Many were developed by brands on an accelerated cycle, thanks to consumer insights provided by Tmall. In addition to deals on the 1.5 million new products, brands are offering millions of other products at a discount. All products are available to consumers nationwide, but brands are paying special attention to the needs and desires of customers in lower-tier Chinese cities.

    Flash Sales – Alibaba’s flash sales channel, Juhuasuan, allows brands to offer deep discounts to reach new customers in fast-growing markets. Juhuasuan will organise dozens of 618-themed group-selling campaigns featuring must-buy items recommended by brands. Statistics show that Juhuasuan is a tried-and-true channel for brands to attract first-time buyers. Since last year, 80 per cent of the transactions for branded goods through Juhuasuan were from new customers, and nearly half were from lower-tier cities.

    Taobao Livestreaming – Few marketing tools have proved more effective than livestreaming for brands to introduce and recommend 618 products to potential consumers in less-developed regions. Last year, sales generated by Taobao Livestreaming exceeded RMB100 billion. This year, US brands, including Stadium Goods, the streetwear and sneaker resale store backed by LVMH Luxury Ventures; Korean beauty brands, like Laneige and Innisfree; and Japanese cosmetics brands Shiseido will host livestreams for 618.

    Daily Deals – This channel on the Taobao app provides special offerings directly from manufacturers and is highly popular among consumers from less-developed areas in China. Equipped with insights from consumer preferences and behaviors, manufacturers are able to adjust their production processes on a real time basis to meet consumer demands. These manufacturers will introduce 100,000 promotional items for the 618 celebration.

    With a reach of 654 million annual active consumers in China, strong technical support and in-depth market knowledge, Alibaba’s ecosystem is offering a strong growth potential for brands.

    Alibaba Group’s annual results this year reflect that growth potential, with more than 70 per cent of the more than 100 million new active users added during the year ended March 31, 2019 coming from less-developed cities.

  • Changi Airport liquor & tobacco concession Open

    Changi Airport liquor & tobacco concession Open

    The Changi Airport liquor & tobacco concession is up for grabs after DFS Venture opted not to proceed with a two-year extension.

    Changi Airport Group (CAG) will launch a tender for the concession on June 4, covering 18 stores, spanning more than 8000sqm of retail space across the airport’s four terminals. It will run for six years from June 9 next year.

    CAG is seeking a strong partner with retail concepts to augment the passenger experience for the liquor and tobacco concession.

    From store design and product range, to in-store activations and e-commerce strategy, the retailer should put forth a robust and compelling proposal, leveraging new technologies and innovations, to elevate travel retail at Changi, CAG said.

    The Changi Airport liquor & tobacco concession will serve more than 66 million international travellers who pass through Changi Airport annually.

    “We look forward to new retail concepts to take the liquor & tobacco concession to new heights,” said CAG VP for commercial, Lim Peck Hoon.

    “Changi is fully committed to growing with our concession partners through impactful innovation and effective collaboration. There will be a wealth of opportunities for the liquor & tobacco partner to showcase its offerings to Changi’s global audience, delivering revolutionary best-in-class retail experiences, to build and grow its business.”

    Interested retailers will be required to attend a compulsory tender briefing and site visit scheduled on June 25. The deadline for submissions is August 5.

  • 7-Eleven Malaysia sales stable

    7-Eleven Malaysia sales stable

    Sales and profit surge in first quarter on new stores, enhanced service.

    7-Eleven Malaysia has achieved sales growth of 9 per cent in the first quarter – and net-profit growth of 24.9 per cent.

    Same-store sales rose 6.1 per cent, the rest of the growth due to store expansion with the convenience store network now numbering 2311 stores.

    But CEO Colin Harvey says more improvement us yet to come.

    “We see opportunities for improvement and confident that our strategy roadmap of strengthening the key areas of assortment, supply chain, operational excellence, store base and digitally enabling the organisation will bear fruit in terms of financial performance and overall customer experience. We continue to look forward to the challenges ahead in ensuring that 7-Eleven remain as Malaysia’s first choice convenience store.”

    Group revenue for the quarter topped RM583.7 million (US$139 million) due to new stores, a higher average spend per customer and increased consumer promotion activity. Revenue from the food service segment of the business grew more than 30 per cent year on year, and now accounts for 3.5 per cent of the overall business.

    Harvey said the company’s board believes trading conditions for the next quarter will remain challenging.

    “We will continue to focus on our customers’ needs, pursuing our core strategy pillars of operational excellence, cost management and commercial innovation, at the same time refreshing the 7-Eleven brand in the mind of customers though refreshed stores, innovations in our pricing, promotions, and developing exciting products.”

  • Weber opens New Store in Singapore

    Weber opens New Store in Singapore

    Weber Singapore will open a new store at No 4, Sixth Avenue.

    The US-based barbecue brand’s new store will showcase the full range of Weber’s cooking products including gas-, charcoal- and electric-powered grills.

    “Weber aims to create succulent moments that draw family and friends closer together through great food, grilling fun and unforgettable memories,” says Steven Lim, VP and MD for North and Southeast Asia of Weber-Stephen.

    Weber has also launched the first Grill Academy in Singapore and South East Asia at the Joo Chiat Weber Store, adding to more than 100 Grill Academies in the world.

    The academy allows people to get hands-on grill demonstrations and an opportunity to practice with Weber’s gas grills and charcoal grills in a three-hour Weber Essential Course.

    Weber grills are sold in more than 72 countries, including a recent expansion into Asia via India, China, Hong Kong, Korea, Japan and Singapore.

  • Aeon opens first Supermarket in Myanmar

    Aeon opens first Supermarket in Myanmar

    Japanese retailer and mall operator Aeon has launched its first hypermarket in Myanmar.

    The 2800sqm store is triple the size of its 14 existing supermarkets in Southeast Asia and its first hypermarket in the region. Opened in the capital city of Yangon, it sells household items as well as food. It also features a microfinancing service for shoppers.

    The move is a response to the growing retail sector in Myanmar, which Aeon has been pursuing since its 2016 joint venture with local partner Creation Myanmar Group.

    The hypermarket includes a large home-appliance sales space and a 70sqm dining area.

    “There is further room to increase the number of stores in Myanmar as the country is still short of modern retail space,” said Aeon Orange’s GM of administration Masayasu Isozaki.

    Aeon currently operates 74 stores in Southeast Asia, with shopping malls and supermarkets in Cambodia, Indonesia and Vietnam.

  • Kiwis invest Money into Ethical Fashion Brand

    Kiwis invest Money into Ethical Fashion Brand

    With 14 days left to hit their minimum target, New Zealand-based ethical fashion brand Little Yellow Bird announced it has raised over $151,563 in its equity crowdfunding campaign.

    The Wellington-based company is offering Kiwis the chance to invest in the company for as little as $500 to scale its impact, grow the product range and make ethical fashion mainstream. The company also plans to expand internationally.

    Little Yellow Bird hopes to raise a minimum of $750,000 with its equity crowdfunding campaign on PledgeMe as it aims to become New Zealand’s first community-owned ethical fashion brand.

    “We are expanding, and we want to scale our voice and impact,” said Samantha Jones, Little Yellow Bird founder.

    Jones said the best way to do this was by having a community of values-aligned investors.

    Little Yellow Bird uses 100 per cent organic, rain-fed cotton and non-toxic dyes and follows a zero waste policy in its factories, saving millions of litres of water each year.

    With the fashion industry named as one of the biggest contributors to climate change across the world, producing about 10 per cent of greenhouse gas emissions, Yellowbird said it is “absolutely committed to ethical manufacturing.”

    “We track every single item of clothing from source to sale, and we ensure we have transparency across the entire supply chain for our products.”

  • SK-II brings Future X Smart Store to Singapore

    SK-II brings Future X Smart Store to Singapore

    Japanese beauty brand SK-II has partnered with The Shilla Duty-Free to bring Future X Smart Store to Changi airport. According to SK-II, the smart store merges the latest digital technology with in-store experience to deliver “a convenient and pressure-free shopping experience”.

    “Travellers from all over the world now have the chance to experience the brand’s unique physical retail concept, merging the latest digital technologies with in-store elements to provide travelers with a convenient and pressure-free way to shop for skincare,” the brand said in a statement.

    The store consists of physical features such as the Discovery Bar, smart product scan and ‘Skincare GPS’ that help time-conscious travelers locate, learn about and buy SK-II products in the shortest time possible.

    At the Discovery Bar, consumers will learn more about SK-II’s range of skincare products at the touch of a button.

    The smart product scan tool uses advanced image-recognition technology to help customers locate products quickly. By scanning the SK-II product images they download to their mobile devices, travelers will be directed to the location of their desired product.

    The Skincare GPS facility lights up the location of the product on the store shelf to make it quicker and easier for shoppers to find items.

    The smart store is a part of SK-II’s foray into retail innovation “and the start of a global transformation to connect with a new generation of consumers who are yearning for more meaningful experiences with the brands”, the company said.

    SK-II has launched Future X Smart Stores in Tokyo, Shanghai, and Singapore.

  • Sincere Fine Watches opening in Changi

    Sincere Fine Watches opening in Changi

    Sincere Fine Watches has opened a multi-brand boutique at Jewel Changi Airport.

    The only luxury multi-brand watch store at the newly opened airport shopping center spans 183sqm and was inspired by Jewel’s dome-shaped facade and modern architecture.

    Glass and rose-gold elements are used throughout the boutique, combined with warm-brown hues on the wooden panels and shades of copper to create a welcoming aura.

    The new boutique brings together 20 international labels, some of them relatively new to the market. They include Armin Strom; Baume & Mercier; Blancpain; Bremont; Graham; Hamilton; IWC Schaffhausen; Longines; Maurice Lacroix; Mido; Montblanc; Panerai; Omega; Rado; TAG Heuer; Tissot; and Tudor.

    Sincere Fine Watches plans more brands and timepieces exclusive to the Jewel Changi store soon.

  • Giordano sales down in China

    Giordano sales down in China

    Giordano sales in Greater China plunged by 17.7 per cent during the first quarter, dragging group-wide sales down by 10.8 per cent, or 8.5 per cent on a constant currency basis.

    In a stock exchange filing on the eve of the holiday weekend the casual apparel retailer blamed the downturn on “uncertainty stemming from the Sino-US trade dispute and abnormally warm weather”.

    Giordano sales in Indonesia, Thailand and Vietnam remained stable during the quarter, and in the fledgling Middle East market rose by 10 per cent to HK$80 million, slightly compensating for the heavy impact of China.

    By market, Mainland China sales fell from $378 million to $295 million, in Hong Kong and Macau from $248 million to $225 million and in Taiwan from $201 million to $161 million. In the rest of Asia-Pacific, they declined from $422 million to $398 million.

    In the three months to March 31, inventories rose from HK$507 million to $512 million.

    During the quarter, Giordano closed two stores in Hong Kong and Macau and reduced directly operated stores on the mainland by 31, but opened 19 franchised outlets.