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April 13, 2014

Temasek Buying Watsons Foreshadows Expected Consolidation in Asian Drugstores

Temasek Holdings, an investment firm based in Singapore, recently purchased almost 25 percent of drugstore chain AS Watsons for US $5.7 billion. Watsons has a strong presence across all of Asia and reached sales of US$ 4.9 billion in 2013. As drugstore chain sales continue to grow in Asia, more consolidation and takeovers are expected as well as store expansions and increased product portfolios.

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April 3, 2014

Kingfisher Moves to Acquire Mr. Bricolage

 


Kingfisher, one of the world’s largest home improvement retailer, has entered a bid to purchase French-based home improvement retailer Mr. Bricolage. Kingfisher, owner of the UK-based B&Q chain as well as French chains Castorama and Brico Depot, gives the company a key piece in its competition with Groupe Adeo, owner of the Leroy Merlin chain. The Competition Authority in France still needs to review the bid which could take until 2015.

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Expenditure in Home Improvement Products 2013

Distribution sélective : Kiko et Sephora tirent leur épingle du jeu

Les spécialistes de la distribution des produits de beauté en France adoptent des stratégies variées pour attirer des consommateurs traditionnellement attachés à des notions de conseils et services sur mesure. Des magasins tels que Kiko, qui est apparu sur le marché français en 2010, utilisent des couleurs vives de la musique et surtout le libre-service pour pousser leurs ventes. D’autres chaines, notamment Sephora, tirent parti de leur ventes en ligne pour forer une communauté dans laquelle les utilisateurs peuvent évaluer les produits et lire les avis des consommateurs. Le circuit de la distribution sélective des produits de beauté va rester très compétitif, et seuls les acteurs qui peuvent adapter leur offre à une audience ciblée pourront survivre.

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March 30, 2014

Consumption Tax Hike in Japan Leads to Last Minute Shopping

EURO_NT_Mariko.Takemura_LThumbWith Mariko Takemura, Senior Research Analyst

In an attempt to curb Japan’s overwhelming debt level, consumption tax in the country will be raised from 5 percent to 8 percent in April 2014, with most companies passing the burden of the tax onto consumers and some companies raising prices of their products. For example, the price of Coca-Cola from a vending machine will be raised by 10 yen and other companies are charging the same amount for a product but are shrinking packaging size. As a result, many consumers in Japan did last-minute shopping in March to buy products before the tax hike takes effect, and many retailers offered special sales during this rush. The amount of money spent by consumers in March is expected to cover any potential losses by retailers over the next few months, but it remains to be seen how the tax will impact Japan’s economy in the long-term.

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March 29, 2014

Strong Competition for Beauty Specialist Retailers in France

Beauty specialist retailers in France are taking different approaches to a consumer segment that historically relies on consultations and one-on-one services. Stores such as Kiko, which entered the French market in 2010, are using bright colors, music and most importantly self-service to drive sales. Other stores such as Sephora are leveraging their online presence to grow a community where users can rate products and read reviews. Competition in beauty specialist retailers in France will remain strong, and only stores that can tailor their product mixes to the correct audience will survive.

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March 28, 2014

Euromonitor to Speak at CSPA 2014

Basic CSPAEvent: Consumer Specialty Products Association's Mid-Year Meeting

Dates: May 6-9, 2014

Location: Chicago, IL

Event Description: The buzz is already building about this year's Consumer Specialty Products Association Mid-Year Meeting.  Join invited sustainability, retail and consumer marketing leaders in Chicago this May for provocative discussions. Bring your marketing and sustainability colleagues to hear the chief marketing officer of a global marketing agency reveal what consumers really want from sustainable brands. This will be an information-packed three days full of the latest news from Capitol Hill and a special "Emerging Retail Initiatives" event! Don't miss this opportunity for face time with your colleagues and your customers.

The buzz is already building about this year’s Consumer Specialty Products Association Mid-Year Meeting.  Join invited sustainability, retail and consumer marketing leaders in Chicago this May for provocative discussions. Bring your marketing and sustainability colleagues to hear the chief marketing officer of a global marketing agency reveal what consumers really want from sustainable brands.  This will be an information-packed three days full of the latest news from Capitol Hill and a special “Emerging Retail Initiatives” event!  Don’t miss this opportunity for face time and downtime with your colleagues and your customers.  - See more at: http://www.cspa.org/events/mym14.html#sthash.oYJexLv2.dpuf

Presentation: Universal Design: Home Care Products for Aging Populations across the Globe

Presentation Date and Time: May 6th at 3:00 pm

Tim BarrettSpeaker: Tim Barrett

View Tim Barrett's profile on LinkedIn

Presentation Description:  World populations are getting older, therefore creating a new opportunity for products that can be used by anyone of any age. Universal design is key in this opportunity, although the price point of these packaging innovations will be of utmost importance if global saturation is desired. In Euromonitor’s presentation, US analyst Tim Barrett will examine demographic drivers and important differences behind developed and emerging markets, introduce the latest and most promising packaging designs, and address the longer-term implications and potential solutions in home care packaging. The presentation will feature the latest data and insights on the home care market from Euromonitor International’s Passport global database and should help manufacturers, marketers, and retailers develop a strategic direction for the future.

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March 27, 2014

Euromonitor to Speak at POPAI Canada

POPAIDate: May 8, 2014

Location: Hershey Canada, Mississauga, ON

Event Description: Join fellow Canadian In-Store Marketing Professionals for a half-day of educational sessions around the topic of digital marketing at the retail level. There will be a catered breakfast and a program with three speakers.

Presentation Time: 9:00 am

Speaker: Svetlana Uduslivaia, Senior Researh Analyst

Presentation Topic: The Current State of Retailing in Canada

The presentation will cover current trends and growth opportunities in both in-store retailing and e-commerce contexts.  It will also forecast future growth opportunities and strategy for the Canadian retailing landscape.

For more information, please visit the event website: http://www.popai.com/event-registration/

 

March 18, 2014

White Paper: The Path to Purchase

250_thePathToPurchase_orange-v1.1 Is the endless supply of consumer buying data giving you headaches?

Download The Path to Purchase: Implementing a Consumer Buying Behaviour Model to discover our simple path to purchase model. The model breaks the buying process into three phases: opportunity, research and selection, to better understand and analyse shopper behaviour and to provide a framework for companies to turn shopper information into actionable business insights.

A clear understanding of how customers move through the purchase decision-making process is essential for companies and brands wishing to remain competitive in today’s marketplace. Some companies may already be collecting consumer data but are often not utilising it to the fullest, which can lead to missed opportunities. Our path to purchase model provides a framework for companies focused on making more strategic decisions with their consumer buying behaviour data.

 

 

 

 

Download the white paper now

Does your company have a path to purchase model in place? Share your process with us in the comments section!

March 16, 2014

Is Kroger Likely to Disturb the Merger Between Albertson’s and Safeway?

Raphael_MoreauAnalyst Insight by Raphael Moreau

View Raphael Moreau's profile on LinkedIn

Safeway’s board has accepted a bid from the US private equity vehicle Cerberus, which controls Albertson’s, valuing it at US$9.4 billion. This transaction, with a merger due to be completed by October 2014, could help Safeway firm up its nascent recovery. However, the transaction allows a so-called “go-shop” three-week period during which Safeway is allowed to choose a rival bid. As the offer from Cerberus does not give a large premium over Safeway’s share price and a low price-to-earnings ratio, this raises the prospect of it being subject to a rival bid, especially from Kroger.

Would the Cerberus Deal be Good for Safeway?

With stagnant sales and falling operating profits in 2013, Safeway has suffered from low capital expenditure and from divesting some of its operations for several years, most recently with the closure of the Dominick’s chain in Chicago and the sale of its Canadian operations.

Alongside other large US supermarket operators, Safeway is also losing ground to other small-store formats with an aggressive price positioning for grocery products, including discounters (Aldi), dollar store chains and parapharmacies/drugstores (CVS and Walgreens), as well as some big-box chains, notably Costco warehouse clubs. Against these rivals, the company struggles to compete on price, which contributes to its razor-thin profit margins.

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March 12, 2014

Lidl’s 2014 New Year’s Resolution: Move Away From Hard Discounting

Mylan NguyenAnalyst Insight by Mylan Nguyen - Retailing Analyst

Sales at Schwarz’s discounter chain Lidl increased strongly in 2013 by 6% in actual value terms, with the retailer benefiting from the gloomy economic climate in Western Europe. This growth was also due to the retailer’s continued shift away from hard discounting over the past year as it aims to attract new consumers and increase margins thanks to a higher average ticket.

Consumers Have Changed Their Perception of Lidl…

In a number of markets, consumer perception of the brand changed over the review period. Price-conscious consumers who started shopping at discounters during the economic downturn continue to visit discounters regularly as they have left behind preconceived ideas and accepted these retailers’ products.

UK consumers shopped even more than usual at Lidl over Christmas due to generally being more indulgent during festive periods, with this being a sign that they increasingly trust Lidl’s offer. This is also thanks to Lidl’s more diverse product range, including its seasonal Deluxe line, which offers products such as reindeer leg steaks, scallops and quail over the Christmas period, highlighting an increase in the quality of its products.

Continue reading "Lidl’s 2014 New Year’s Resolution: Move Away From Hard Discounting" »

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Recent Posts

Temasek Buying Watsons Foreshadows Expected Consolidation in Asian Drugstores

Kingfisher Moves to Acquire Mr. Bricolage

Distribution sélective : Kiko et Sephora tirent leur épingle du jeu

Consumption Tax Hike in Japan Leads to Last Minute Shopping

Strong Competition for Beauty Specialist Retailers in France

Euromonitor to Speak at CSPA 2014

Euromonitor to Speak at POPAI Canada

White Paper: The Path to Purchase

Is Kroger Likely to Disturb the Merger Between Albertson’s and Safeway?

Lidl’s 2014 New Year’s Resolution: Move Away From Hard Discounting