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Subject:
RETAIL BUSINESS
Period: July 15, 2012 to August 1, 2012
Geographies:
Worldwide
Categories:
Comment & Opinion or Companies, Organizations or Consumers or Controversies & Disputes or Deals, M&A, JVs, Licensing or Earnings Release or Finance, Economics, Tax or Innovation & New Ideas or Legal, Legislation, Regulation, Policy or Market News or Marketing & Advertising or Other or People & Personalities or Press Release or Products & Brands or Research, Studies, Advice or Supply Chain or Trends
Contents
 
Companies, Organizations  

Safeway Reports Lower Income, Slightly Higher Sales In Second Quarter 2012

Safeway Inc. reported its income from continuing operations fell to $121.7 million for the second quarter of 2012 from $146.0 million in the second quarter of the previous year. Sales and other revenue rose 1.9 percent to $10.4 billion from $10.2 billion, due to increased fuel sales and a 0.8 percent increase in same-store sales. Gross profit dropped 73 basis points to 26.27 percent of sales from 27.0 percent of sales in the previous year. The company said operating and administrative expense decreased to 23.89 percent of sales from 24.28 percent of sales in 2011.

"Safeway Inc. Announces Second Quarter 2012 Results", Safeway Inc., July 19, 2012

Worries About Calories, Costs, Ring The “Death Knell” For Restaurant Bread Baskets

Blame two key trends for the near disappearance of complimentary baskets of bread in restaurants these days: rising costs and rising concerns about calories. Restaurants, especially smaller ones, can’t afford to provide a basket full of bread that could eventually be tossed in the trash. Bread is still available, of course, but often only by request, and for a price. The other problem has to do with calories, a reflection of increased consumer awareness of expanding waistlines. According to an NPD analyst, bread consumption has been on the decline for two decades because “the thing people are more interested in than anything else is, how many calories am I putting in my body?”

"In food trend, fewer restaurants offering free bread baskets", Tampa Bay Times, July 17, 2012

U.K. Pastry Shop Says Its Italian Cake Bars Boost The Metabolic Rate

A London-based start-up patisserie claims that its Italian pastries – in the form of cake bars –  contain a blend of natural ingredients that encourage the body to burn calories. The line of nine bars in a variety of flavors contain L-carnitine, guarana and green tea, all of which purportedly boost the body’s metabolic rate. Each bar also packs between 110 and 150 calories, but the bakery doesn’t say whether the calories burned equals the calories consumed. The founder of Klever Kalories says it hopes to expand its product line to cupcakes and savory snacks, such as crisps (AKA potato chips).

"The Klever cakes that claim to burn calories", The Grocer, July 17, 2012

Using Store-Level Data, Procter & Gamble Improves On-Shelf Availability Of Its Products

Procter & Gamble achieved a 2 percent increase in products’ on-shelf availability by using store-level data from retailers, according to Michelle Tower, associate director for global store and shopper-based solutions at P&G’s Global Business Services unit. Speaking at a Web event hosted by Consumer Goods Technology, Tower also said that the approach also helps P&G determine the factors affecting a product’s sales performance. P&G is increasing its use of integrated data by integrating the technology with the company’s regular work processes and teams, as well as by getting top retailers involved.

"P&G Increases On-Shelf Availability Using Store-Level Data", CPG Matters, July 16, 2012

Cupcake Fad Over? Not At Florida Bakery Offering “Adults Only” Treats

Despite recent pronouncements that the cupcake fad is all but dead, cupcake bakeries in Florida are flourishing, including one whose product line is off limits to minors. The Heavenly Treats Bakery believes it has perfected “adults only” cupcakes that contain rum, tequila, Bailey’s Irish Cream and other liquors. According to the owners, it took awhile to get the recipes just right, but taste tests have been very positive: “people are just going crazy about them,” says owner Marcia Potter. Food writer Maria Sonnenberg notes: “Booze cupcakes are proof the collective national interest in the confections continues red hot.”

"Cupcakes all grown up", Florida Today, June 27, 2012

Restaurants Hope To Meet Demand For Ethnic Flavors, Healthy And Gluten-Free Options

Top trends in the restaurant industry for 2012 – according to a National Restaurant Association report – include a determination to take advantage of the growing interest among Americans in health and nutrition by offering nutritious alternatives to foods like bread and dairy products. A major trend is the industry’s awareness of the need for gluten-free alternatives on restaurant menus. And lastly, the industry is looking to meet growing consumer cravings for ethnic cuisines and flavors, especially Mediterranean and Southeast Asian flavors.

"Gluten-free products, food trucks top ’12 trends", Modern Baking , June 26, 2012

Unilever says innovation helped boost profit

The Jakarta Post, July 31, 2012

The Wal-Mart/Facebook Social Genome

The Huffington Post , July 30, 2012

Bharti Walmart to step up sourcing from women

Business Standard, July 24, 2012

2012 Power 50: No. 21 Charles Youngstrom

Supermarket News, July 17, 2012

Aldi Launches 'Truths' Ad Campaign

Supermarket News, July 16, 2012

METRO, Makro complete merger

The Express Tribune, July 13, 2012

2012 Power 50: No. 5 John Mackey

Supermarket News, July 13, 2012

2012 Power 50: No. 2 David Dillon

Supermarket News, July 13, 2012

UPDATE: Tesco CEO Backs Struggling US Business

Wall Street Journal, June 29, 2012

Consumers  

Westside Market NYC Offers Shopping Assist For Male Customers

Retailer Westside Market NYC launched a “man aisle” at one of its New York City outlets by putting men’s essential grocery items, such as personal care, drinks, and food items, in one section of the store. An ESPN study revealing that 31 percent of men are shopping for their families inspired Westside Market NYC chief operating officer Ian Joskowitz and store CEO George Zoitas to develop the “man aisle” concept.

"Store launches 'man aisle' for shopping-challenged dudes", New York Post, July 26, 2012

Retailers Find Loyalty-Card Rewards Programs Effective In Keeping Customers

Grocery stores in the East and Midwest are adopting loyalty-card rewards programs at a faster rate than their counterparts in other parts of the United States. Dating back to the early and mid-20th century, today’s loyalty cards integrate new technologies, including mobile applications and social media networks, to help retailers design their offers based on the consumer’s purchasing habits, according to Liz Miller, executive in charge of communications and marketing programs at the Chief Marketing Officer Council. The trend is expected to go faster, driven by the economic slowdown, with consumers expecting lower prices, customized special offers, and related deals.

"Loyalty cards, rewards help snag customers ", Dayton Daily News (Ohio), July 15, 2012

Asda Income Tracker

Asda, July 20, 2012

What's Wrong With America's Supermarkets?

Wall Street Journal, July 12, 2012

Luring Online Shoppers Offline

The New York Times, July 04, 2012

Market News  

Bakery Café Chain Adds Assortment Of Breakfast Paninis To Menu

A North American chain of bakery cafes has updated its menu with a new twist on an old familiar item.  Tim Hortons Cafe & Bake Shop is not only offering grilled-to-order Panini sandwiches as a breakfast item now, it is serving the sandwich on a hearty multigrain or maple flatbread. The new Flatbread Breakfast Paninis come in 16 varieties, including egg or an egg-white omelet; bacon, hickory smoked ham or a lightly-seasoned sausage patty with warm, melted cheese. The company says it expanded its breakfast array because “more people are choosing to eat out in the morning."

"Tim Hortons adds grilled Panini to breakfast menu", QSRWeb, July 23, 2012

Indonesia's Poor Consumers Help Multinationals Grow Business

Multinational corporations, such as NestléSA, Carrefour SA, and Unilever, have grown their business and revenue even during economic slowdowns by marketing to poor consumers in Indonesia. For example, Nestléhas achieved consistent growth for its Milo brand by selling the chocolate powder in packages that cost about 10 cents, enabling NestléIndonesia to earn more than $1 billion in annual revenue. People who earn less than $4 a day account for around 80 percent of Indonesia’s population and 60 percent of consumer spending, or more than $230 billion in 2010. Similar trends exist in other emerging markets, which are increasingly helping multinational corporations develop strategies they can also implement in Europe and other developed markets currently experiencing economic crises.

"Companies Court the Poor's Loyal Pennies", Wall Street Journal, July 23, 2012

Haat to Wal-Mart

Asian Age, July 26, 2012

Tesco scales down ambitions for China

Financial Times, July 20, 2012

Tesco faces international headwinds

Financial Times, July 20, 2012

The most powerful store chains

ACTMedia, July 18, 2012

Wal-Mart To Open Flagship Store In Xiamen

ChinaRetailNews.com , July 18, 2012

Products & Brands  

Indiana Bakery Supplies Airport Hospitality Service With Cookies

A Fort Wayne, Indiana, bakery is working with the local airport to add a sweet dimension to a visitors greeting service. Ellison Bakery, located across the street from Fort Wayne International Airport, provides fresh-baked cookies to hospitality hosts, who then distribute them to deplaning passengers. Each passenger receives a complimentary cookie, a friendly greeting and any information the passenger may need. Note to bakeries nationwide: as many as 300 cookies are handed out in a few minutes; 1.4 million cookies have been distributed since 2008. The Fort Wayne airport seems to be the only one in the U.S. providing the special treat.

"Hospitality Hosts offer cheery help, cookie to air passengers arriving at Fort Wayne International Airport", News-Sentinel.com, July 21, 2012

Menu Innovation At Wendy’s Includes A Fresh Look At Bread

Dublin, Ohio-based fast food chain Wendy’s plans to revamp its menu with some bread-related innovations that include artisan buns and chicken flatbread sandwiches. The company’s bakery is testing some interesting new creations, among them cheddar-topped jalapeno buns and pretzel rolls that might some day envelop its burger and chicken offerings. "Grilled chicken on a burger bun is yesterday's news," Gerard Lewis, senior vice president of culinary innovation, told a recent gathering of stock analysts at its headquarters.

"Wendy’s prepping new menu items, focusing on better breads", Columbus Business First, June 28, 2012

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