News articles from the FOOD research project.
In Denmark, Aldi is selling out to Norwegian Rema 1000 after losing millions and millions in the Danish grocery market over several decades. In the UK, Aldi has never done better with market share growth and increased profitability. The big difference is not entirely obvious.
German Aldi has never made money in Denmark. Amazingly Rema 1000 has made money from day one, since Odd Reitan opened the first Danish store in 1994. The success of Rema is one of the reasons why Aldi has sold most of its Danish stores to the Norwegians.
While ICA is losing market share, it seems that arch-competitor, Axfood, is gaining market share.
“Since late summer, the difficult economic situation has become obvious to all of us and higher costs greatly affect the behaviour of our customers who prioritize low price and increase the proportion of low-price products when shopping,” says Per Strömberg about the results in ICA for the third quarter.
The buyout will form one of the world's absolute largest retail companies and number two in USA, only behind Walmart.
The goal is for solar energy to cover at least 25 percent of Salling Group's energy consumption in 2028.
Per Strömberg has chosen to leave ICA Gruppen, where he has served as CEO since 2012. The Board of Directors has appointed Nina Jönsson as the new CEO. She is currently CEO of Plantagen, a garden chain.
Maybe the American grocery chain Kroger should be a role model for other retail chains in the world? Maybe for many authorities too? It is not a human right not to be vaccinated, but a duty to take the immunisation, Kroger has decided.
The world's largest food and beverage producer, Nestlé, is selling parts of its equity portfolio in L'Oreal, a world-renowned manufacturer and marketer of beauty products.
The world's second largest grocery chain and founder of the format hypermarkets, French Carrefour, recently opened its new “Flash store” in Paris.
The Swedish grocery giant, ICA, no longer wants to be in the stock market's open spotlight, but wish to go private, behind more closed doors. Maybe because it will be more difficult for competitors to “read” ICA?
In the current inflationary environment, where FMCG manufacturers are looking to pass on the full impact of cost increases to consumers, retailers in many markets are strategically poised to hold prices of their private label products in categories where they want to increase penetration and grow value sales.
Shareholders in Morrisons have approved CD&R’s £7.1bn takeover offer, bringing the curtain down on a fiercely contested battle for the UK’s fourth-largest grocer.
Considering the great focus on climate change throughout the world, Coop Denmark has set itself a goal of reducing its CO2 emissions by 75 percent by 2025.
Tesco’s forecast for full-year earnings are impressive. Nonetheless there are considerable headwinds ahead, but the company benefits from a robust supply chain.
Covid has created supply problems in all industries all over the world the past year. The combination of Brexit in the UK and Covid triples the challenges. Iceland, the frozen food chain in the UK, warns that there may be empty shelves for Christmas.
Fakta is no longer Denmark’s second largest grocery chain. Rema 1000 has taken that position with 353 stores against Fakta’s 340 stores. However, the lead dog is still Netto, owned by The Salling group, with 516 discount stores.
Industry slippage or industry mix, as some prefer to call it, is nothing new, but nonetheless very important in all retailing. This year it is one of the main topics at the FOOD conference.
Ica Sweden did not have the same growth as the market during the second quarter. It also includes e-commerce which is related to the very strong volume increase that the Ica stores managed to achieve last year when they grew much faster than the market.
Morrisons’, Britain's fourth-biggest supermarket group after Tesco, Sainsbury’s, and Asda, has agreed a 6.3-billion-pound ($8.7 billion) takeover by a trio of investment groups led by Fortress Investment Group.
US private equity firm Clayton, Dubilier & Rice is expected to push ahead with its pursuit of Morrisons despite an initial offer at £5.5bn being rejected. Analysts believe the UK’s fourth largest supermarket chain could also attract bids from other companies, including Amazon.
As North American consumers begin to adjust to the next normal, McKinsey, a global and prestigious consultancy, anticipate that the landscape of winners and losers in grocery will cease to be determined by format.
Axfood acquires Bergendahl's wholesale business and one tenth of City Gross. A transaction of SEK 2.5 billion with full call option exercise.
It is no secret that Aldi Denmark has been under pressure for many years, and that the money has flowed out, while the German owners have poured new capital into the discount chain - a total of around DKK 4 billion, according to Børsen, a newspaper.
Asia remains a major growth opportunity for FMCG businesses, particularly in the short term, consultancy IGD concludes in a new report.
Women are leading the way in the transition to a sustainable food system and real flavors are taking place among the substitutes. These are among the conclusions in this year's future report from ICA, "Growing Together".
Denmark's largest grocery group, Salling Group, came out of 2020 with the best underlying result and the highest turnover ever. CEO Per Bank believes in even more growth in top and bottom line.
Tesco profits dive 20% despite surging grocery sales during pandemic. The pre-tax profits tumbled by almost 20 per cent to £ 825 million over the past year, despite big increases in turnover.
As the first store chain in Denmark, Salling-owned Netto is now testing how climate labeling of grocery purchases can work. This is done in a pilot test in two selected stores, where signage and labeling of the products will guide customers to the less climate-damaging alternatives.
Next autumn, the US-based chain Costco will open its first Swedish store in Arninge, Täby, north of Stockholm. A contract with the property owner Trophi for premises of 13,000 square meters is ready, confirms CEO Jan Björk.
Annual results released by Morrisons last week confirm that while its sales have benefitted from surging demand in supermarkets over the last year, profits have taken a major hit from costs related to operating its business during the pandemic.
Rema 1000 is now perceived as the most sustainable brand in Denmark, new research shows. For the past three years, the grocery group Coop has been the most sustainable brand in Denmark. Now it is Rema.
With a new concept, Reitan Convenience in Sweden hope to create the world's greenest convenience/grocery store, claims Mariette Kristenson, CEO of Reitan Convenience Sweden.
The massive private Thai group, Charoen Pokphand, rebrands all former Tesco stores in Malaysia and Thailand to Lotus’s. No more Tesco in Thailand and Southeast Asia.
In 2019 Denmark's largest grocery group, Salling Group, said goodbye to the Swedish market with the divestment of a total of 163 Netto stores, which were sold to the Swedish company CBS for almost DKK 1 billion.
The Swedish giant, ICA, disappoints the market at the end of the year and the stock exchange sends the share values down by about 0,4 percent. The reason is that ICA is growing slower than the market, hence losing market share in a market that is growing strongly due to the Corona pandemic.
Amazon recently announced that the company is expanding the rollout of its biometric palm scanning system to more of its branded stores, allowing customers to pay with nothing but their hands.
Driving online profitability, creating safe shopping spaces, and bringing the out-of-home experience in-home are among the key trends expected to shape global retail in 2021, according to new predictions from IGD.
Labor Minister Elisabeth Borne gives a clear message that she is against a takeover of French retailer Carrefour by Canadian convenience-store operator Alimentation Couche-Tard.
The owner of the Circle K petrol station chain, Canadian Alimentation Couche-Tard, is offering $ 20 billion for the world's second largest grocery chain - French Carrefour SA. That is about 30 percent above current capitalized values in Carrefour.
Alibaba's founder, Jack Ma, has gone missing after he publicly criticized China's financial system and called for reforms.
It is reason to believe that food prices in UK will rise modestly in the wake of Brexit because food import and export regulations are very similar to the situation ex ante Brexit.
Denmark's largest grocery group, Salling Group, was extremely busy in 2020 and increased its turnover at an unprecedented rate.
The Norwegian Competition Authority is cracking down hard on the use of “price spies” in the major grocery chains in the Norwegian market and warns of a possible fine of NOK 21 billion to NorgesGruppen, Coop and The Reitan Group combined.
The Swedish grocery giant ICA reports accelerating online growth so far in 2020, not least driven by Covid19. Turnover at the store level is also increasing for the same reason.
Tesco has announced that it expects to complete the £8bn sale of its businesses in Thailand and Malaysia to the CP Group within days.
The world’s biggest grocery retailer, Walmart, is among the many grocery retailers that scores high on Covid19. The retail giant delivered a positive surprise despite analysts' optimism about its performance.
Consumer goods giant Unilever will trial a four-day working week in New Zealand to enhance worker wellbeing and boost productivity.
Singapore's Grab has not changed its thinking regarding a future IPO because of COVID-19, according to its president, Ming Maa.
U.S retailer Walmart Inc has agreed to sell most of Japanese supermarket chain Seiyu to the investment firm KKR and e-commerce company Rakuten in a deal that values Seiyu at $ 1.65 billion (172.5 billion yen).
Walmart has dropped plans to use roving robots to scan shelves and keep track of inventory, according to a report by the Wall Street Journal.
Covid19 is a plague and a nuisance for everyone. However, for the grocery retail business it has led to strong growth and increased profitability because people do not eat out anymore. It is more important to note that the Corona is also pushing forward new technological solutions in the value chain.
Supermarket shelves are empty of French products in Kuwait City in a protest of cartoons in the French media illustrating the Prophet Mohammed. The protests are spreading at an alarming rate to all Muslim countries.
The Issa brothers and TDR Capital - a private equity firm - acquire majority ownership stake in the supermarket chain ASDA from US retail giant Walmart.
Lidl is scrapping plans to launch into online grocery in the UK as it closes its digital logistics arm and declares to focus on bricks-and-mortar business.
Tesco increases shareholder payouts as half-year profit soars increases 28.7% to £551 million, mainly due to Corona! *
The reason is that the strong success of Rema 1000's in Denmark is now being copied by rivals.
The American grocery chain Walmart will employ 20,000 seasonal workers to handle e-commerce, and important autumn stunts such as Black Friday, Cyber Monday, Thanksgiving and Christmas shopping.
The retail giant and the drone company will start trials in early 2021.
Iceland, the British frozen discount grocer hires 3000 new workers amid online boom. Trial with food delivery platform Uber Eats has also been launched in London, with plans for a larger rollout if successful.
Executive Vice President Kræn Østergård Nielsen has been appointed CEO of Coop Denmark. Thus, the Danish grocery giant has found a replacement for its longtime CEO Peter Høgsted
The online giant Amazon is expanding and has ordered almost 2,000 green vans for the European market.
Coop is rebuilding 13 of its Fakta stores, which in future will be called Coop 365. The ambition is to take market shares from Lidl and Rema 1000.
Covid-19 does not have a negative effect on everyone. The grocery giant ICA has never done as well as it does now - in Sweden. The reason is, simply put, that because of Corona, customers eat more at home.
Lidl has revealed that it will be opening one store per week in the UK over the next six months, creating up to 1,000 new jobs by the end of the year. The 25 new stores will be opening across England, Scotland and Wales.
The discount chain got new capital injection of DKK 370 million in April but is still losing big money.
The government wants more control over the purchase prices and makes access to retail space easier. But it will not refuse the suppliers to give the chains different prices.
“Discount is Salling Group's key to Poland,” says CEO Peder Bank after the 181-million-pound deal with British Tesco was officially approved last week.
Britain’s accounting watchdog said it has closed its examination into accountants at Tesco in relation to the British supermarket chain’s 250-million-pound overstatement of profit in 2014.
As seen in Britain, the grocery market in Northern Ireland is experiencing strong growth because of the lockdown.
Aldi has started rolling out a new automated traffic light system at its entrances to control the number of shoppers going in and out of stores during the coronavirus outbreak.
Over the past couple of years, many experts have predicted that Walmart's time was over. The future belongs to online stores, some experts claim. Q1 for Walmart, however, tells a different story. The future probably belongs to strong retailers with both online - and – traditional stores.
Governments around the world are edging toward plans to exit mass population lockdowns, albeit at different speeds and in different ways, but the persistent questions for business are around what the future holds and how it should be navigated.
It seems investors do not care that ICA Sweden had more than 8 per cent growth in Q1 2020 - which is huge in grocery context. The reason, of course, is the Corona-crisis.
Britain's biggest supermarket hired 45,000 extra workers at the height of the crisis but is letting some go earlier than planned.
As the coronavirus pandemic spreads across the globe, threatening both lives and livelihoods, fast moving consumer-goods manufacturers continue to play an important role: producing essential items we all rely on for our health and well-being.
Industry executives and market analysts have confirmed that supermarket chains have seen a significant downturn in sales over the last couple of weeks following an easing of stockpiling and the introduction of stringent social distancing measures in stores.
Latest grocery market share figures from Kantar show year-on-year supermarket sales grew by the fastest rate in over a decade during the 12 weeks to 22 March – increasing by 7.6%.
Denmark will not open the borders, although there is optimism about the gradual opening of workplaces and educational institutions, says Mette Fredriksen, Denmark’s prime minister.
The food-retail industry plays a critical role in these uncertain times. Here are six actions food retailers should take to help their communities, their employees, and their business.
Aldi is the supermarket in the UK most recommended by its customers, with none of the “Big Four” making into the top 10 ranking, according to YouGov, a consultancy.
Danes spent DKK 146 billion on the Internet during 2019. That makes it another record year for Danish e-commerce. This concludes the Association for Danish Internet Commerce in an analysis for 2019.
Nestle SA Chief Executive Officer Mark Schneider says the world’s largest food and beverage company plans to become more aggressive with acquisitions, identifying areas including metabolic health and nutrition to push sales growth that remains behind the company’s target.
The grocery giant in Sweden, Ica, did not quite reach the expected result, with recurring costs weighing on the company's Swedish operations. Like industry colleague Axfood, which also opened its books last week, the Ica share fell on the Stockholm Stock Exchange on Thursday morning by six per cent.
Latest grocery market share figures from Kantar show the Big Four supermarket chains continued their downward trend in the new year, whilst the likes of Aldi, Lidl, Ocado and Co-op made further gains.
Automation will reshape retail business models and the broader value chain, creating organizations with fewer layers and a better trained and trusted workforce empowered by real-time data and analytics.
2019 was the year when Aldi passed Europe’s big box flagships, Carrefour and Tesco, taking the second place in the European Grocery Retail Ranking, only behind its rival, Schwarz Group (Lidl and Kaufland).
Walmart Inc., the world’s largest retailer, has fired 60 or more of its executives in India. The move underscores the challenges Walmart has faced in expanding its wholesale business in the country. More job cuts are expected soon.
IGD, a British think tank, visited 1,000 food retail stores in over 45 different countries in 2019. Here you can read of some of the best stores to be on your must-see list in 2020.
The global grocery retail market will generate an additional US$2.2 trillion in sales by 2024, growing by 24%, according to the latest forecast from international research organisation IGD.
The history of Tesco has some parallels to UK. The supermarket chain has grown from a modest foundation to an admired world power with arguably the best stores in the world. Now it is withdrawal and downsizing that applies. If the trends continue, Tesco is soon reduced to ‘UK only’.
77% of UK grocery shoppers have, in the last 12 months, switched, avoided or boycotted buying certain products, or would consider doing so in the future, based on brands’ environmental policies, shows data from Kantar, a consultancy. That is serious for many old brands.
Alibaba, the Internet retailer, raised $ 11.3 billion in Hong Kong on Tuesday. Just a few minutes after the start of trading, the stock rose by almost 8 percent, rising from the initial price of 176 Hong Kong dollars to 189.50 Hong Kong dollars.
Tim Steiner, the co-founder of Ocado Ltd., has ambitions to shake up the British and international retail sector with the online company Ocado.
In these columns we have discussed a great deal about digitalization and e-commerce - a mega trend. Of course, that doesn't mean it's “the end” for traditional stores. A good example is probably that the “online ruler,” Amazon, is stepping up its focus on brick & mortar grocery stores in USA.
Coles is taking its online grocery offering a step further with the launch of a new subscription service that allows customers to make unlimited orders for a flat monthly fee.
E-commerce is knocking out the physical stores. Between 2017 and 2018, the number of retail stores decreased by 6 percent from 35,953 stores to 33,688 in Sweden.
That the grocery giant ICA, in Sweden, does not take market shares, but retains its position as a strong market leader in Sweden is not unexpected, but nonetheless a fact. Good purchasing conditions and efficient operations are the background, but the ICA boss is probably more concerned about market shares than he might like to stress.
Online grocery sales are still not a particularly large market compared to physical grocery sales, but the area is growing, and several large chains such as Coop, Bilka and Netto are already “on the ball”.
French frozen specialist, Picard, wants to grow in Sweden after several years of closures and losses. The owner of Picard Scandinavia, Knut Faremo, draws inspiration from Picard's first store in Norway and will spice up the concept in Sweden shortly. Denmark and Finland are in the cast in 2020. Faremo has ambitions. No doubt.
