Retail News CRM

Tag: Supermarket

  • Spar International to expand into China

    Spar International to expand into China

    Grocery retail franchise Spar International will open more than 150,000sqm of retail sales space in China this year.

    The firm’s store-development plans include compact hypermarkets and a “new generation” of supermarkets in Northern and Southern China.

    Spar International, which operates more than 13,000 stores in 48 countries worldwide, is coming off a strong financial year with global sales of €35.8 billion (US$40 billion). The group launched 335 new locations last year, and entered four new countries.

    “Our strong network of Spar partners and supply chains across four continents gives the brand a competitive advantage in an increasingly global marketplace,” said Spar CEO Tobias Wasmuht, “while our multi-format strategy allows us to respond to changing customer needs.

    “Our continuous compound annual growth of 5.2 per cent over the last three years creates a strong platform to build from for the future and indicates that our ‘Better Together’ strategy, launched in 2016, continues to deliver for the organisation, our partners and our customers.”

    The Spar brand is present in seven Asia Pacific territories, with €1.96 billion ($2.2 billion) in sales achieved from 573 stores last year. Spar China’s footprint accounted for 830,043sqm and sales of €1.5 billion ($1.67 billion) during the financial year, with particularly strong growth in the Shandong and Guangdong provinces. The firm’s Thailand operations expanded to 45 stores and recorded a sales growth of 96.2 per cent.

  • 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.

  • Carrefour China Sale not on the Agenda

    Carrefour China Sale not on the Agenda

    Carrefour has denied business media reports it is considering selling all or some of its Chinese retail business.

    According to an article, quoting “people familiar with the matter”, the French retail giant is mulling options for the future of the Carrefour China business where sales fell 10 percent last year to €3.6 billion.

    Carrefour “is working with an adviser and has begun reaching out to potential suitors”. Its sources asked not to be identified because the deliberations are private.

    However, a spokeswoman for Carrefour responded saying a sale of the business is “not on the agenda.”

    Analysts estimate the Carrefour China business could fetch about US$1 billion if it was sold in total, however, options being considered to include selling a share to a local partner – or do not sell any of it. No final decision has been made as yet.

    The first Carrefour China supermarket was opened in 1995 when the French company was one of the first foreign retailers to enter the market. Since then it has opened about 245 stores, mostly large-format hypermarkets.

    In March, Carrefour reported its Chinese business had boosted profit 11-fold to €45 million.

    “China is a retailing laboratory for the world,” said Thierry Garnier, president and CEO of Carrefour China at the time. “For Carrefour, China is a specific market that has helped us to learn and to understand the future.”

    And last month the company said it was partnering with local electronics retail Gome to open stores-in-stores in Carrefour hypermarkets selling electrical goods after a successful trial in 11 stores.

  • Vietnam’s Petrolimex plans Countrywide Convenience Stores

    Vietnam’s Petrolimex plans Countrywide Convenience Stores

    Vietnamese petroleum retailer Petrolimex is planning to build a convenience-store chain.

    After five years of research, the group plans to open stores across its network of 5200 gas locations across the country.

    “Petrolimex will expand into this sector, each store will host 1500 to 2000 products,” a Petrolimex representative said during a conference.

    “Our strategy partner JX Nippon Oil will support us to set up the chain in the most optimal way.”

    Petrolimex has tested the industry with its P-Mart in Hanoi’s Hoai Duc district. The store only sells Petrolimex-branded products such as oils and a limited range of snacks and beverages.

    There is no official information if Petrolimex will base its chain on this concept or build a different one.

    Stepping into the convenience-retailing sector, Petrolimex will compete with experienced players such as Circle K, 7-Eleven, VinMart + and FamilyMart, but none of those brands are affiliated with service stations.

  • 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.

  • FamilyMart Japan investing in New Labour Technology

    FamilyMart Japan investing in New Labour Technology

    Japanese convenience store FamilyMart Holdings is preparing to invest ¥25 billion (US$223 million) on labour-saving technologies.

    The firm will partner with tech firm Panasonic to introduce self check-out, digital displays and other similar devices which automate procedures traditionally undertaken by staff.

    The investment is intended to serve the brand’s franchisees who have been burdened with high labour costs in order to keep stores open around the clock.

    Both FamilyMart and its larger competitor 7-Eleven have felt pressured to let go of their 24-hour store policies in the face of a tightening labour market.

    They are also looking at other ways to ease the financial burden on franchisees.

  • Meituan Scaling down Ella Supermarket Outlets

    Meituan Scaling down Ella Supermarket Outlets

    Chinese food-delivery website Meituan has closed three of its Ella Supermarkets in Jiangsu, almost halving its network of outlets.

    The business initiative, which sells fresh supermarket produce online for fast home delivery, has just four remaining locations in Beijing and Wuxi.

    The closures were reportedly put down to mismanagement, and stand in stark contrast to the company’s stated plans to open 20 outlets within last year.

    Its shortcomings are reflected by competing brands, however, with rival groups Yonghui Super Stores, 7Fresh and SuFresh also performing under par. Alibaba’s Hema offering is an exception with reportedly strong trading.

  • Coles launches reusable container for at Home

    Coles launches reusable container for at Home

    Coles is encouraging customers to reduce food and plastic waste at home with its latest promotion, which is this time aimed at adults.

    The Coles Fresh Food Container Program, offers ‘container credits’ when customers spend $20 or more using flybuys online or in-store.

    The credits can be redeemed for a range of five reusable containers from 600mL to 1.5 litres, as well as a specially-designed vacuum pump. The containers are made from durable polypropylene and can ultimately be recycled in a kerbside bin at the end of their life.

    “We know our customers want to reduce food waste for environmental and family budget reasons, and these reusable containers are a great way to keep food fresh in the fridge or pantry without the need for more single-use plastic,” Coles chief operating officer Greg Davis said in a statement.

    The supermarket giant has removed 1.2 billion single-use plastic bags from circulation since they were phased out last year and has diverted more than 542 million pieces of flexible plastic from landfill since 2011 through its recycling partnership with REDcycle.

    “This is a great initiative by Coles to reduce food and plastic waste. When food waste ends up in landfills it produces methane – a powerful greenhouse gas that contributes to climate change. By shopping wisely and storing food in air tight reusable containers we can all do our bit to help the environment and save money, ” Paul Klymenko, CEO of environmental organisation Planet Ark, said.

    The promotion is available in-store running between April 24 and July 2.

  • Vietnamese supermarkets go back to leave packaging

    Vietnamese supermarkets go back to leave packaging

    Shoppers at Lotte Mart in Ho Chi Minh City’s District 7 were recently surprised to see scallions, okra and other vegetables produce wrapped in banana leaves.

    A representative of the supermarket chain said that the company is experimenting with using leaves to wrap veggies in one outlet, and plans to expand this later to the entire chain in the country.

    This is part of a plan to increase the use of environment-friendly products, not just for vegetables but also for fresh meat, the representative added.

    Local shoppers expressed support for the move. “When I see vegetables wrapped in these beautiful banana leaves I’m more willing to buy in larger quantities. I think this initiative will help locals be more aware of protecting the environment,” said Hoa, a District 7 resident.

    The Big C supermarket chain in Hanoi has also started using banana leaves to wrap veggies since Monday, and plans to do so in its central and southern supermarkets in the next few days. The trial is set to last a month.Saigon Co.op is also using banana leaves to wrap vegetables to replace their biodegradable wraps in some of its outlets in HCMC and other southern localities of Phan Thiet, Tay Ninh, Quy Nhon and Tam Ky.

    The supermarket chains are also providing customers with other environmental-friendly products. Lotte Mart said it is selling paper straws and food boxes made with sugarcane waste. Eggs are wrapped in paper packages instead of plastic boxes.

    Big C is offering shoppers bags made with corn powder which is completely biodegradable.

    These moves come after report highlights the large amount of plastic waste generated by Vietnamese people. The country disposes about 2,500 tons of plastic waste a day, according to official figures.

    Vietnam ranks fourth globally in the amount of plastic waste dumped into the ocean, according to the United Nations Environment Programme (UNEP).

    Some local cafes and restaurants have also been encouraging the reduction of plastic use by offering straws made with recyclable or biodegradable materials.

  • Coles scores exclusive deal with the world leader

    Coles scores exclusive deal with the world leader

    Supermarket giant Coles has entered into an exclusive services agreement with the world’s leading online grocery platform, Ocado, to double its home delivery capacity in Australia by the end of the 2023 financial year.

    Over the next four years, the supermarket will spend $130 million to $150 million on the construction and development of the project, which will give the retailer access to Ocado’s online grocery website, automated single-pick fulfilment technology and home delivery solution.

    As part of the deal Ocado will install and maintain equipment for Coles in new automated customer fulfilment centres outside Sydney and Melbourne, which are expected to be operational by the 2023 financial year.

    Each centre has an estimated sales capacity of between approximately $500 million and $750 million per annum.

    The new deal is expected to offer customers a seamless digital customer experience, greater range, improved product availability and freshness, as well as more regular delivery windows. The partnership means increased network capacity at a lower cost to serve and is expected to double Coles’ current home delivery capacity.

    “Ocado is singularly focused on online grocery shopping, and as a result, has become the leading solution provider in the world. We are delighted to be partnering with them to make life easier for Coles’ customers here in Australia. Ocado’s ongoing investment and retail partnerships around the world will help us continue to improve our offer into the future,” Coles CEO Steven Cain said.

    Customers outside of metropolitan Melbourne and Sydney will have access to Ocado’s website, whereby orders will continue to be fulfilled by the existing store-based network, which will continue to evolve over the coming years.

    “We are delighted to partner with Coles,” Luke Jensen, CEO of Ocado Solutions, said. “Already a leading player in online grocery retailing in Australia, we are proud that they have chosen the Ocado Smart Platform to take them to the next level. Our flexible, scalable and modular solution will help them bring new levels of convenience, choice and value to Australian consumers. The Australian market is changing as consumer needs evolve and our platform will enable Coles to lead this transformation in a profitable and sustainable way.”

    Ocado CEO Tim Steiner said he is delighted to be working with Coles “to reshape the food retail landscape in Australia”.

    Ocado has over 15 years’ experience in grocery market innovation and recently signed a deal with British retailer Marks and Spencer to boost its online grocery experience.

  • Lippo Mall Puri in West Jakarta sells

    Lippo Mall Puri in West Jakarta sells

    Reit Lippo Malls Indonesia Retail Trust (LMIRT) plans to buy Lippo Mall Puri in West Jakarta for US$261.6 million.

    LMIRT Management, which runs LMIRT, said in a statement it has entered into a conditional sale-and-purchase agreement for the 115,600sqm mall, which will boost the Reit’s total net lettable area by about 10 per cent. Settlement is scheduled for the second half of this year.

    Lippo Mall Puri has seven floors of retail space – five above ground and two basement levels. The mall currently has 324 tenants including Uniqlo, Zara, Marks & Spencer, H&M, Best Denki and Adidas. It is anchored by Parkson and Matahari department stores and also includes dining, cinema and entertainment zones. At the end of last year it had an occupancy rate of 89.6 per cent.

    The property’s current owner is Mandiri Cipta Gemilang, which will provide ongoing support after the sale is completed.

    LMIRT Management CEO Gouw Vi Ven says that since Lippo Mall Puri was completed in July 2014, the average monthly footfall has grown from 176,000 to nearly 1.22 million.

  • AEON Credit’s 5-minutes Sweep till you drop!

    AEON Credit’s 5-minutes Sweep till you drop!

    The highly-anticipated AEON Credit #MyFestiveMania Supermarket Sweep Challenge returned for its’ second round, giving out more than RM20,000 worth of prizes to 10 lucky winners. Winners stood a chance to fill up their shopping carts with as many groceries and household items as they can within 5 minutes time at the AEON Big Subang Jaya. Each cardholder is entitled to bring one partner to participate in the sweep challenge to help them grab any items within the time duration given.

    The campaign, which runs since December 2018, allows customers using any types of AEON Credit Cards to earn chances for every RM50 spent in a single receipt. The chances are entered into a draw to earn one of the 20 spots in the #MyFestiveMania Supermarket Sweep Challenge.

    “We received tremendous public response in the first round of #MyFestiveMania Sweep Challenge that was held on 26th January 2019, hence, we decided to hold a second round as way to show our appreciation towards our customers because at AEON, customers comes first. In total, we have 20 cardholders who won the spots and brought home more than RM2,000 worth of prizes,” said Shiro Ishida, Chief Marketing Officer of AEON Credit Service (M) Bhd.

    The 10 lucky winners for the second round of the #MyFestiveMania Sweep Challenge are Goh Wei Tin, Soon Chiew Giok, Ahmad Salahuddin Bin Hairai, Aida Fazliza Binti Mat Fadzil, Chew Lee Ching, Goh Chien Long, Sim Tan Qi Zhi, Ong Kee Wah, Chew Swee Har and Lee Chin Wah who are all AEON Credit Cardholders.

    For the second time around, AEON Credit Service together with AEON Big who has a long history of being an established and well-known brand in Malaysia. “We are pleased to once again be able to partner with AEON Big to bring a festive campaign to both our mutual customers that incorporates an element of excitement”, added Shiro Ishida.

    In the first round of the Supermarket Sweep Challenge that was held on the 26th January 2019, a total of 10 winners won a prize worth of RM2,880 each during the 5-minute sweep.

  • Three Kaufland sites got approved for Victoria

    Three Kaufland sites got approved for Victoria

    The big players on the Australian supermarket scene will be buckling up for some stiff competition this Friday morning, with the announcement that German hypermarket Kaufland has received planning approval for its first three stores in Victoria and Australia’s largest distribution centre.

    The first stores at Chirnside Park, Dandenong and Epping received planning approval after an independent Advisory Panel process and despite the objections of many other players in the market.

    The state-of-the-art distribution centre to be located in Mickleham, will be the largest in Australia and will act as the point of consolidation and distribution of goods to its supermarkets.

    The proposed Melbourne headquarters was also approved.

    Kaufland Australia managing director Julia Kern celebrated the news today with Treasurer of Victoria and Minister for Economic Development, Tim Pallas.

    “Kaufland is committed to long term investment both in Victoria and across Australia. The development and approval of our first three stores, our distribution centre and our proposed future headquarters in Victoria will result in the creation of up to 1,600 Victorian jobs,” Kern said.

    “Our initial investment of $459 million will create opportunities for local businesses and stimulate much needed competition and consumer choice in Australia’s supermarket sector.”

    Kern thanked the Victorian Government and everyone who participated in the independent Advisory Panel process. She said she was looking forward to opening Kaufland stores in Victoria in due course.

    Kaufland supermarkets will have a total store area of 4,000 square metres and will be stocked with local, regional and international products at discount pricing. Each store will include a bakery, butcher and liquor areas.

    A number of independent local businesses such as cafés, sushi bars or nail salons will compliment the overall shopping destination.

    “Kaufland will be a one-stop destination supermarket. Our aim is to provide all Australians with more service and choice, highlighted by our principles of simplicity, quality, variety and price.”

    “Kaufland is delighted to call Australia our new home. We look forward to continuing our commitment to partner with local businesses and the wider community to ensure we create the best outcome possible.”

    “Being customer centric is at the heart of all that we do – driven by our values of Performance, Dynamics and Fairness, we aim to increase choice, provide high quality service and promote fair competition to ensure that the customer is always the winner,” Kaufland said in a statement.

    Three further proposed Kaufland sites, at Oakleigh South, Coolaroo, and Mornington, are currently being reviewed by the Advisory Panel.

    The supermarket this week began advertising for Area Manager positions after receiving an additional $145 million capital injection from its German parent Schwartz Group for its ambitious plans down under.

    The family-owned business currently operates 1,200 stores in 7 countries, with over 150,000 employees across Europe.

  • Technology helps to boost Carrefour China profit

    Technology helps to boost Carrefour China profit

    Carrefour China has boosted its profit 11-fold according to documents filed in France, where its parent company is based. In China, Carrefour achieved €45 million operating income from its 245 outlets and online business, which it put down to investments in previous years in boosting its operations and profile there.

    The company said it has transformed the commercial model of its Le Marche hypermarket chain, and boosted sales online. An investment in technology allowing facial recognition and Scan & Go had particularly paid off.

    “China is a retailing laboratory for the world,” said Thierry Garnier, president and CEO of Carrefour China. “For Carrefour, China is a specific market that has helped us to learn and to understand the future.”

    At the end of last year, Carrefour opened a flagship on Tmall which is expected to further improve sales.

    Globally, Carrefour increased its sales by 1.4 per cent to reach €85 billion.

  • SPAR India to partner Himachal Pradesh in promoting fresh sourcing and manufacturing

    SPAR India to partner Himachal Pradesh in promoting fresh sourcing and manufacturing

    As part of ‘The Global Investors Meet’ in Dharamshala, Himachal Pradesh on June 10-11, 2019, which will have the CII as key national partner, a road show was organized in Bangalore recently that saw senior leaders from various industries participate in the event. SPAR was one such participant at the show as a representative of the retail industry.

    At the event, SPAR India’s MD & CEO Rajeev Krishnan and Solai Shakthivel, Senior Vice President – Buying and Merchandising Foods, had the opportunity for a one-on-one interaction with the Chief Minister of Himachal Pradesh Jai Ram Thakur and Industry minister Bikram Singh.

    Himachal Pradesh, known as the ‘Fruit bowl of India’, is famous for its manufacturing and SME development. With its ideal weather conditions, there are different varieties of fruits and vegetables grown in Himachal Pradesh. The state is famed for its abundance of crisp, juicy apples as well as for its pears, peaches, plums, grapes, apricots, mangoes, strawberries and citrus fruits.

    SPAR India offers a variety of fresh produce to its customers, which are mainly sourced from Himachal Pradesh. These include apples, green peas, oranges, honey, organic produce, among other products.

    According to Krishnan, “SPAR India is committed to continue building strong farm to fork relationships. We will be working jointly with the State on sourcing and developing our private label products – soaps, handicrafts, etc which, in turn, will support the growth of SMEs.”

    In its endeavour to continue making a difference in the lives of farmers, customers and communities, SPAR wants to be a strong partner to Himachal Pradesh in promoting fresh sourcing, manufacturing and tourism in the coming years.