A Tokyo-based baker is producing bread with patterns of flowers, cartoon characters and exotic prints. The loaves baked by Konel Bread use natural colors and flavors, including spinach, cocoa and beetroot. The bakery uses ropes of dough layered together to make the quirky designs, some with animal, insect and fruit patterns.
"The Japanese bakery cooking up a storm with its colourful bread", Lonely Planet, June 27, 2016
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Walmart execs recently met with 800 suppliers to hear pitches on potential Walmart.com products that are made exclusively in the U.S. The company said a third of the companies at the U.S. Manufacturing Summit were minority- or women-owned. A Walmart merchandising executive promised that all of the products – except those that can’t be shipped because they contain hazardous materials – would be automatically approved for sale on Walmart.com. The Summit is part of the company’s initiative, launched in 2013, to spend $250 billion on American-made goods for its stores, Sam’s Club, and website.
"At Latest Summit, Walmart Seeks More American-Made Goods", Arkansas Business, June 28, 2016
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India’s online retail marketplace Flipkart will be licensing its house brands in jewelry, mobile, and fashion accessories to approved sellers, according to reports. Suppliers must be capable of fulfilling the company’s quality manufacturing benchmarks and product specifications. This is the company’s second try at boosting its high-margin private-label business. Three years ago it launched in-house brands Digiflip in consumer electronics, Citron in home appliances and Flippd in apparels. The brands failed to gain a toehold in their markets; the company has stopped selling Digiflip tablets.
"Flipkart looks to fill up cart with own brands", The Economic Times, June 28, 2016
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O woe is online grocer Ocado. British supermarket chain Morrison is complaining that its deal with Ocado has been profitable for Ocado only, and signals it may back out. The company faces competition on its own turf from Amazon Fresh, which has made a supply deal with Morrison. And Waitrose, whose products Ocado sells, may pull out of its arrangement. These and other problems – it has failed to attract any European or U.S. partners – have depressed Ocado’s stock values by 25 percent since April. However, Ocado may benefit in several ways from the fallout of the recent Brexit referendum. The British pound is taking a beating versus the dollar, so an overseas supermarket will pay less to have Ocado manage its online grocery business. It also means that a potential buyer would pay less to buy Ocado outright.
"Ocado's Found a Silver Lining in Brexit", Bloomberg Gadfly, June 28, 2016
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Though Americans still make frequent trips to grocery stores, they’re also increasingly likely to buy food online, according to a Harris Poll of nearly 2,000 U.S. adults 18 or over. Thirty-one percent – 45 percent of all online shoppers – said they buy food online for convenience, to save money, or to find items they can’t find anywhere else. Most likely to buy online are Millennials (36 percent vs. 31 percent generally), college grads (35 percent vs. 26 percent with high school or less), parents and city dwellers. Most popular items purchased are snacks (20 percent) and non-alcoholic beverages (17 percent), while baking products and frozen foods are least popular (12 percent each). The best foods for online purchasing are non-perishable or have a long shelf life (49 percent), or are difficult to find in stores (48 percent).
"Purchasing Food Online: The New Normal?", News release, The Harris Poll, June 29, 2016
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McDonald's has named Colin Mitchell, former worldwide head of strategic planning at ad firm Ogilvy & Mather, to the new position of global vice president of the McDonald’s brand. His new boss will be Silvia Lagnado, global chief marketing officer. Mitchell joined Ogilvy in 1999 and has worked on brands such as IBM, Coca-Cola, Cisco and BlackRock. As brand manager at McDonald’s, Mitchell will be responsible for “articulating the McDonald's brand vision and positioning,” and for coordinating advertising, visual identity and packaging.
"McDonald's Names Ogilvy's Colin Mitchell as Global Brand VP", Advertising Age, June 29, 2016
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Procter & Gamble Co. remains the biggest advertiser in the US in 2015 although the consumer goods giant cut its ad spending. According to analysis by Advertising Age, the company spent almost $4.3 billion in advertising in the country in 2015, almost 4 percent lower than $4.4 billion it spent in 2014. Worldwide, the company spent $8.2 billion on advertising, lower by 7.7 percent compared with $8.9 billion in 2014. Another Cincinnati-based company, retailer Macy’s Inc., is also on the list’s top 25 advertisers despite cutting its ad spending.
"Three Cincinnati companies among largest advertisers in U.S.", Cincinnati Business Courier, June 30, 2016
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Beauty brand Mary Kay was ranked number 11 in the 2016 edition of “Happi” magazine's The Top 50 Household and Personal Products Companies list. Although the company reported flat sales in 2015, the company received more than 130 patents. This enabled the company to reach more than 1,200 patents for products, technologies, and packaging designs. Among the more significant patents the company received during the year were those for Mary Kay TimeWise Repair Volu-Firm Lifting Serum, Mary Kay TimeWise Body Targeted-Action Toning Lotion, and Repair Volu-Firm Eye Renewal Cream.
"Mary Kay ranked 11th at The Top 50 Household and Personal Products Companies List", Happi, July 01, 2016
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L Brands grabbed the 8th spot on Happi magazine's 2016 list The Top 50 Household and Personal Products Companies. With sales of $4.4 billion from its personal care and cosmetics business, as well as $12.1 billion in corporate sales for the year ending January 30, 2016, the company plans to expand its Victoria's Secret Beauty business. In 2015, the company reported corporate sales grew 6 percent, while sales at its Bath & Body Works unit jumped 7 percent, with comparable store sales rising 5 percent.
"L Brands ranked 8th at The Top 50 Household and Personal Products Companies List", Happi, July 01, 2016
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Amway is ranked number 6 in the 2016 edition of Happi magazine's list of The Top 50 Household and Personal Products Companies. In 2015, the company reported sales dropped 12 percent to $9.5 billion, the second straight year of falling revenues. Beauty products accounted for 25 percent, or $4.5 billion, of total sales, while home care contributed another 23 percent. Factors that hurt the company's revenue performance included soft sales in China and negative effects of currency exchange rates.
"Amway ranked 6th at The Top 50 Household and Personal Products Companies List", Happi, July 01, 2016
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Fast food industry analysts are reporting a shift in consumer preferences away from “better burgers” to chicken. Nation’s Restaurant News reported, for example, that burger joints were not among the top five fastest-growing restaurant chains last year, all of which were chicken slingers like Chick-Fil-A and Wingstop. One analyst said “same-store [burger] sales have decelerated meaningfully." Not that burger sales in the U.S. are hurting – sales grew more than 14 percent between 2010 and 2015 to nearly $103 billion – and investors still see profit potential in burger restaurants. But others are betting on chicken eateries, maybe because chicken has a reputation among consumers for healthfulness, or because it’s cheaper than beef. Meantime, McDonald’s, Shake Shack and KFC are all enhancing the chicken side of their menus.
"America's 'better burger' obsession is fading — and a new kind of fast food is taking over", Business Insider, July 02, 2016
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L’Oréal Group’s Luxury Division has acquired the seven-year-old fragrance company Atelier Cologne. Founders Sylvie Ganter and Christophe Cervasel will remain to manage brand development and marketing. The strategy focuses on wholly-owned stores, shop-in-shops, Sephora, and e-commerce. The company has locations in 40 countries, and expects to open more stores in large cities, including in Brazil by the end of the year. According to the founders, the company’s sales have doubled each year since it was founded.
"“L’Oréal knows how to welcome a brand with a strong DNA”, Christophe Cervasel, Atelier Cologne", Premium Beauty News, July 04, 2016
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Wal-Mart de Mexico SAB reported total sales in Mexico and Central America grew 11 percent in the April‒June 2016 quarter to 126.6 billion Mexican pesos, compared with the same period in the previous year. Sales for June alone also grew 11 percent to 41.24 billion Mexican pesos, or $2.1 billion, compared with the same month in 2015. Same-store sales rose 6.8 percent in June in Mexico, slower than the previous two months, and 4.3 percent in Central America. Wal-Mart operates 2,362 stores in Mexico and 709 in Central America.
"Wal-Mart de Mexico Sales Growth Slows in June", Wall Street Journal, July 05, 2016
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Tesco India's joint venture with Trent, Star Bazaar, reported like-for-like sales grew about 5 percent in the March quarter of its fiscal year 2016. While this gives the UK retailer a piece of good news from its international operations, Star Bazaar's LFL growth was not much better than those of many local hypermarket chains. In the UK, Tesco reported an LFL growth of 0.9 percent in the fourth quarter of fiscal year 2016, 4.1 percent in Europe, and 3.5 percent in Asia.
"India a bright spot for Tesco", Business Standard, July 05, 2016
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Myer's chief executive Richard Umbers is working to revive Australia's largest retail chain. Appointed to the company's top post in March 2016, Umbers promised shareholders that he would end Myer's two decades of declining sales. Also, he said sales would grow 3 percent per year by 2020, with earnings growth ahead of sales growth by 2017. Referred to by Umbers as “New Myer,” the turnaround plan would cost about A$600 million, or US$450 million, during the next five years. Factors adversely affecting the company's operations include its inability to compete with online retailers, as well as foreign-based brands, including Zara and Topshop. Umbers also said Myer has lagged its rivals in terms of technology use and has been out of touch with customers.
"The man trying to reinvent a 116-year-old retailer", BBC News, July 05, 2016
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An increasing number of consumer packaged goods (CPG) marketers are relying on purchase-based advertising, as well as location tracking and other technologies, to more sharply target potential buyers. Purchase-based advertising is based on data derived from retail websites as well as from retail stores. As evidence of the pervasiveness of the technology, mobile ad firm 4Info reports that 99 percent of the campaigns it has managed for CPG clients use purchase information. 4Info gets the data – stripped of identifiable personal information – from Nielsen Catalina Solutions, which collects UPC-level information streams directly from participating grocery and drug stores every day. The data reflect purchase information from 90 million households. The information is sophisticated enough to allow advertisers to hone their message as well.
"Grocery Brands Flock to Ads Informed by Your Real-World Shopping", Advertising Age, July 05, 2016
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A consensus is emerging among restaurateurs and other foodservice operators over the term “clean” eating. The menu strategist for a Wyoming-based taco restaurant chain says clean simply means ingredients that can be found “in your pantry or in a grocery store.” The fewer the better. With that in mind, a restaurant in San Ramon, Calif., not only lists all ingredients for each dish on its menu, it makes sure all employees can explain the ingredients to diners. To keep things simple and clean – and zestier, another consumer trend – chefs are using herbs, spices, chilies, oils and condiments such as Tabasco Sauce, which itself contains only distilled vinegar, tabasco peppers and salt. That ensures the foods are not just cleaner and more natural, they are also spicier, a quality much desired by Millennials.
"Consumers Crave Bold Flavors, 'Clean' Labels", Restaurant Hospitality, July 06, 2016
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Retailers Old Navy and Walgreens have agreed to sell SoCozy child-friendly haircare products. To expand its lineup of beauty care products aimed at leveraging store traffic, Old Navy will sell 6-oz. packs of SoCozy shamposs, conditioners, and detanglers, as well as 3-oz. styling products. Retailing for $8.99 each, these products are to be sold near retail stores’ checkout sections. SoCozy also plans to sell its products, including Cinch 3 in 1 Shampoo + Conditioner + Wash, Cinch Detangler + Leave-In Conditioner, and Boo! Lice Scaring Spray, in the baby care department of Walgreens’ top 700 stores.
"Old Navy and Walgreens Latest to Add SoCozy Hair Care", Women's Wear Daily , July 06, 2016
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Walgreens Boots Alliance reported GAAP net earnings per diluted share decreased 14.4 percent to $1.01 in the third quarter of fiscal 2016, compared with the same quarter in the previous year. Adjusted net earnings per diluted share increased 15.7 percent to $1.18. Net earnings decreased 15.3 percent to $1.1 billion, compared with the same quarter in 2015, while adjusted net earnings rose 14.7 percent to $1.3 billion. GAAP third quarter operating cash flow reached $2.1 billion, with free cash flow at $1.9 billion.
"Walgreens Boots Alliance Reports Fiscal 2016 Third Quarter Results", Walgreens Boots Alliance, July 06, 2016
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Asda was the most affordable supermarket in the UK for June 2016, according to a study by the “Which?” magazine. According to the magazine, it compared the prices of 78 branded products sold by Asda, Morrisons, Ocado, Sainsbury’s, Tesco, and Waitrose during the month. In order to compare prices, the magazine uses a list of more than 100 popular branded products each month. Based on data from independent shopping website MySupermarket, the average price of each product for the whole month was calculated.
"June 2016's cheapest supermarket revealed", Which?, July 06, 2016
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Cosmetics retailer Ulta Beauty is growing its business by focusing on consumers who prefer to shop in-store instead of buying online. What makes the company different from other retailers in the beauty segment is its focus on offering a wide collection of mass brands and prestige brands. Also, the retailer has convinced prestige beauty brands to sell their products in Ulta stores by showing them the concept of “mass migration.” With the beauty segment not affected by issues hampering the apparel market, such as sizes, weather, and price sensitivity, the market is expected to keep growing.
"How Ulta Beauty keeps people shopping at its brick and mortar stores", Marketplace, July 06, 2016
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Very affordable overnight shipping rates in China have been a biggest factor driving growth for online retailer Alibaba Group Holding. Some of the growth should be credited to the company's Taobao online marketplace and the low prices of goods offered by its 10 million merchants. Alibaba has no direct hand in arranging shipping for Taobao merchants; each seller has to deal with one of the country's largest private courier companies. China's four largest shipping service providers are Shunfeng, or SF Express, and YTO Express, STO Express, and ZTO Express. On Taobao, a 3kg box of Tide washing detergent costs $3.13, or 20.90 yuan, including shipping. In contrast, the same product would cost at least $53 in the US, with at least $35 going to shipping.
"Cheap shipping hidden key in Alibaba's success", Nikkei , July 06, 2016
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Beauty retailer Sephora said it has added new features to its Sephora Virtual Artist application. Available for download on the Sephora App, the features are a new false lash virtual try on, which is added to the lip function, and step-by-step cosmetics tutorials using augmented reality technology. According to the company, Sephora Virtual Artist uses a smartphone's camera to map the location and shape of a user's facial features. Sephora's partner, ModiFace, developed the facial visualization and skin analysis technology.
"Sephora Virtual Artist Expands With New Features For Virtual Lash Try On And Live Tutorials", MultiVu, July 06, 2016
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The Kroger Co.’s expanded sustainability goals include a commitment to 100 percent sustainable seafood and a transition to a cage-free egg supply chain by 2020. CEO Rodney McMullen said the company wants to be a “positive force for change” while driving sustainability and innovation across the supply chain. The company said it is also committed to optimizing all corporate brand packaging, and implementing zero waste in at least 90 percent of its facilities over the next four years.
"Kroger Announces Sustainability Goals for 2020", News release, Kroger , July 07, 2016
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Australia-based Lano is launching its lanolin-based skincare products, 101 Ointment Multipurpose Superbalm, Rose Hand Cream Intense, and 101 Ointment Strawberry Multipurpose Superbalm, via Ulta Beauty’s store locations across the US. Lano’s August 1, 2016, rollout follows previous introduction of the product range at Shen Beauty and Net-a-Porter retail stores. Founded in 2009, Lano has expanded its operations to cover the UK, Hong Kong, and now the US.
"Lano Spreads the Message of Lanolin at Ulta Beauty", Women’s Wear Daily, July 07, 2016
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Discount retailer Lidl has been selected as the UK’s supermarket of the year by the Good Housekeeping Institute. According to the organization, Aldi and Waitrose were the awards’ runners up, with the country’s big 4 retailers, Tesco, Asda, Sainsbury’s, and Morrisons, out of the picture. Lidl’s sales rose 16.7 percent in 2015, according to market analysts. Tesco was the country’s leading online grocery store, Good Housekeeping Institute said.
"Budget chain Lidl beats upmarket high street rivals to be named supermarket of the year ", The Daily Mail, July 07, 2016
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Bookstore chain Barnes & Noble is adding The Glossary concept store to selected college bookstores across the US. Stocked with premium beauty brands, such as Smashbox, Burt’s Bees, CoverGirl, and L’Oreal, the retail concept is aimed at meeting college students’ demand for campus-based cosmetics outlet, the company said. Barnes & Noble has been selling beauty products from drugstore brands, including CoverGirl and Burt’s Bees, at its campus bookstores.
"Why Barnes & Noble Is Getting Into Beauty", Racked, July 08, 2016
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Wal-Mart saw its share of the retail market in China's West region grow from 5.7 percent in 2015 to 6.4 percent in the 52-week period ending May 20, 2016, according to Kantar Worldpanel. Data from the market research firm revealed consumer spending on FMCG rose 2.4 percent during the period, significantly lower than the 5.1 percent recorded in the country during the previous year. Local retailer Yonghui's share of the market rose from the previous year's 3.6 percent to 4.9 percent, overtaking Vanguard to become the second largest retailer in the West region.
"Wal-Mart’s share growth accelerates in China", Kantar Worldpanel, July 11, 2016
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Tesco and Metro Group are evaluating their retail operations in Poland, as the local market becomes more competitive and risky, with the government announcing a new tax law in autumn 2016. After closing six stores in March 2015, Tesco is reportedly planning to close seven small stores by September 2016. Tesco is working to improve the efficiency and profitability of its operations in Central and Eastern Europe, including the closure of 20 percent of its convenience stores in the Czech Republic in its 2015-2016 fiscal year. For its part, Metro Group plans to close its small cash & carry format in the country.
"Tesco and Metro Group streamlining operations in Poland", Retail Analysis, July 11, 2016
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Wal-Mart Stores Inc. has assigned its consolidated advertising and creative accounts in the US to Publicis Groupe. In this connection, Publicis is forming a new business unit to handle advertising and in-store promotions for the retailer's operations in the US. Wal-Mart's current advertising agency, Interpublic's The Martin Agency, confirmed its relationship with the retailer will end in September 2016. Tony Rogers' appointment as chief marketing officer preceded the change in the retailer's agency lineup.
"Wal-Mart, Publicis Unveil Strategic Relationship", Wall Street Journal, July 12, 2016
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Beauty retailer Sephora opened four new store locations in the Middle East, raising to 56 its total store count in the region. Claiming its business in the region has grown significantly, the company opened stores at the Ibn Battuta Mall in Dubai, Gulf Mall in Qatar, and Jouri Mall and Mall of Dhahran in Saudi Arabia. Despite the latest additions, the company’s store count for the region remains only half of former Sephora CEO Jacques 100-store target in theregion for 2010.
"Sephora expands in Middle East with new stores across GCC", Gulf Business, July 13, 2016
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French retailer Carrefour has tested its digital marketing deal with technology start-up Artefact. After signing the digital promotion deal, the partners chose Spain as pilot country for the program. As part of the deal, Artefact will help Carrefour with its digital marketing efforts.
"Carrefour Tests Digital Promotion Deal With Artefact", European Supermarket Magazine, July 13, 2016
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U.K. grocery retailer Tesco said it will stop selling eggs from caged hens by 2025. It made the decision following a focused review of its egg-sourcing strategy, which included meetings with suppliers, industry experts, and other interested parties. The decision follows other sustainability initiatives, including a Fair For Farmers Guarantee for dairy farmers, guaranteed high-value contracts for U.K. potato farmers, and sustainable farming programs for lamb farmers and cheese producers.
"Tesco to stop selling caged eggs by 2025", Tesco, July 13, 2016
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