Archive for month: September, 2013

 

“Rona CEO Warns of Retail “Bloodbath” in Canada” by Marina Strauss at Globe & Mail.  ““In Ontario, it’s a bloodbath for every retailer,” Robert Sawyer, chief executive officer of home-improvement retailer Rona Inc., said at a conference Tuesday in Toronto, organized by Bank of Nova Scotia. “It’s difficult, not only for the hardware business.”  The added stress is felt acutely in Canada’s grocery industry, which is the victim of an essentially “zero-sum game,” Perry Caicco, retail analyst at CIBC World Markets, said in a recent report.” Read more

 

“Target’s CMO Places His Bet on Earned Media” by Lindsay Stein at PR Week.  “The notion that the value of an earned media impression will exceed that of a paid impression is transforming marketing at Target, said Jeff Jones, its EVP and CMO…“We have been a brand defined by advertising, but the days of curating and telling a consumer what we think is best are declining,” said Jones.”  Read more

 

“Walgreen shifting 120,000 employees into Obamacare” at Reuters.  “Walgreen is moving 120,000 employees to a private health insurance exchange from coverage provided directly from carriers, the company will announce Friday.  The pharmacy chain will join 17 other large employers on the Aon Hewitt Corporate Health Exchange as part of a growing movement to offer employees cash to purchase their own plans on such exchanges.”  Read more

 

“Interest remains strong in Canadian shoppers and retail space” by Tara Perkins at Globe & Mail.  ““Target’s arrival in Canada was not the bookend to a dynamic period for the Canadian retail market,” states Tom Balkos, a Canadian director of CBRE’s retailer services group. “In fact, quite the opposite is true. The number of mergers and acquisitions that have been done in recent months combined with the inflow of major brands underscores Canada’s position as an active and highly sought after market.”  Read more

 

“Safeway Puts Up Defense After Hedge Fund Amasses Stake” by Alexander Stevenson at NY Times.  “The $6 billion hedge fund Jana Partners is known for taking a behind-the-scenes approach to its campaigns, amassing large stakes in companies and agitating for change through talks with management.  The fund has turned its focus to Safeway, where it recently encouraged the board to conduct a strategic review and consider selling some of its assets.”  Read more

 

“Why Amazon Hides Its Cheapest Price (and Where)” at Bloomberg.  See the video

 

“IRI Research Examines How Americans Eat”  “While 79 percent of Americans are planners and eat three “square meals” or several “mini meals” throughout the day, a new segment is also emerging, for those who eat on the run. Dubbed “opportunists” by IRI, these eaters represent a whopping 21 percent of Americans, and they tend to grab food and drink throughout the day as the opportunity arises, with little consideration as to whether they are eating a meal or a snack.”  Read more

 

“Dollar Tree Adopts $2 Billion Share Repurchase Program” at WSJ.  “Last month, Dollar Tree reported that its fiscal second-quarter earnings rose 4.6%, with higher customer traffic and average ticket prices pushing up sales.  The company has also increased its private-label and branded offerings, added frozen and refrigerated foods and started accepting food stamps at most locations in an effort to combat the rapid expansion of some rivals like Family Dollar Stores Inc.”  Read more

 

“Shopping Addiction: Survey Finds a Significant Number of Americans Who Show Signs of a Problem”  “Among the survey’s other findings:

31.7 percent of respondents said they “almost always” or “frequently” purchase things just because they’re on sale.

18.1 percent said they frequently or always purchase items that they don’t need or didn’t plan to buy when they set out to shop.

Nearly 11 percent of those polled said they frequently shop to improve their mood.

47.4 percent said they experience a rush of excitement when they go shopping.

Read more

 

“Google may ditch ‘cookies’ as online ad tracker” by Alistair Barr at USA Today.  “Google is considering a major change in how online browsing activity is tracked, a move that could shake up the $120 billion digital advertising industry.  Google, which accounts for about a third of worldwide online ad revenue, is developing an anonymous identifier for advertising, or AdID, that would replace third-party cookies as the way advertisers track people’s Internet browsing activity for marketing purposes, according to a person familiar with the plan.”  Read more

 

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“At Target, shoppers scramble for 3.1 Phillip Lim bags” by Tiffany Hsu at LA Times.  “Shoppers quickly swooped in to a tight circle around the pile, hovering, agitated, as workers loaded the purses on the display and barked at those who got too close.  As soon as the OK was given, fashionistas by the fistful swarmed toward the bags, creating a 30-second scramble of shouting and flailing arms before the crowd picked the rack clean.  “It was out of control,” (a shopper) said of the throng. “This was painful. It was crazy.”  Read more / See the video

 

“Home Depot CEO Talks (& Demos) Tools” by Wendy Bounds at WSJ via Nasdaq.  “Home Depot CEO Frank Blake shows how innovation is changing traditional tools — from Rust Oleum’s NeverWet to a leaf blower & drill powered by the same Lithium Ion battery, and a flashlight that can be submerged in water and dropped from 30 feet.”  See the video

 

“Savvy shoppers figuring out retailers’ price codes” by Susan Salisbury at Cox Newspapers.  “Target marks down items every week in set increments, starting at 15 percent, then 30 percent, 50 percent, 70 percent and so on up to 90 percent, according to the Krazycouponlady.com. The tiny number in the price tag’s upper right corner indicates the percentage of markdown.  For the Target-obsessed, here is what Krazycouponlady says is its markdown schedule…”  See more retailer codes

 

“Walmart Launches New Instagram Page”  Follow them

 

“House GOP takes step forward on Internet sales tax legislation” by Bernie Becker & Brendan Sasso at The Hill.  “House Judiciary Chairman Bob Goodlatte (R-Va) is expected to release his own set of principles on the issue in the next week or two, according to sources who are closely watching the legislation.  The principles are a sign of fresh momentum for online sales tax legislation after Goodlatte and other top Republicans in the House — including Speaker John Boehner (R-Ohio) — voiced deep skepticism about the Senate-passed Marketplace Fairness Act.”  Read more

 

“Walmart Is Making Its Suppliers Reveal And Phase Out Toxic Chemicals” by Ariel Schwartz at Fast Company  “While Walmart refuses to reveal the chemicals on its list, we can guess what some of them may be based on other recent high-profile announcements. Last week, Procter and Gamble announced that it will eliminate triclosan (a carcinogenic antibacterial) and pthalates (a group of chemicals that mimic hormones) from its products. And in 2012, Johnson and Johnson announced a plan to remove triclosan, pthalates, parabens (another kind of hormone disrupter), and formaldehyde from all personal care products.”  Read more

 

“CVS Caremark Showcases Obamacare Program”  “CVS/pharmacy will also be hosting approximately 5,000 in-store events with health insurance experts, including representatives of state exchanges and local health plans. In addition, in September, representatives from Get Covered America will be available at CVS/pharmacy Project Health free health screening events.”  Read more

 

“Dick’s Sporting Goods Opens 532nd Store”  “The El Paso, TX location will be the retailer’s 20th store in the state of Texas and its 532nd nationwide. The new store will feature over 40 in-store services performed by DICK’S certified PROS in Golf, Bike, Hunting, Fishing, Team Sports and more.”  Read more

 

“13-Year-Old Makes $100K Reinventing the Scooter Wheel” by Gabrielle Karol at Fox Business News.  “Over a year ago, the entrepreneurial eighth-grader began researching manufacturers who could reinvent the wheel, so to speak. He says he finally located a manufacturer in California to make a durable, polyurethane wheel that would be tougher than the breakable plastic wheels found on most scooters.  “I made a step-by-step design with all of the dimensions and they did it,” says Pinto, who borrowed $2,000 from his parents to create 500 wheels, bringing his fledgling company LB Scoots to life.”  Read more

 

“World population to peak at 8.7 Bil by 2055;  Decline to 8 Bil by 2100” by Kiran Moodley at CNBC.  “”The world is approaching a major turning point in its demographic trajectory and we think that the shift is likely to be sooner and sharper than mainstream projections suggest,” said Deutsche’s global strategist, Sanjeev Sanyal.”  Read more

 

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“Wal-Mart Stores’ CEO Presents at 20th Annual Goldman Sachs Global Retailing Conference”

Read the Transcript (Via Seeking Alpha)

See the PowerPoint / Hear the Webcast

 

“Highlights from Wal-Mart Presentation at Goldman Sachs Retail Conference” by Kim Souza at City Wire.  “Wal-Mart also is using more stores to fill online orders, after piloting that program in recent months. He said the number of stores filling online orders are in the double digits and growing. The locker tests have also been well received as Simon told investors it’s been interesting to see the users’ inclinations to repeat purchases.”  Read more

 

“Wal-Mart Plans 500 U.S. ‘Neighborhood Market’ Stores” by Laurie Kulikowski at Market Watch.  “Bill Simon, Wal-Mart’s president and CEO of its U.S. operations, said on Wednesday that the world’s largest retailer plans to have 500 of the smaller stores open within the next 18 months, up from a current 290. Simon spoke at a luncheon presentation at the Goldman Sachs Annual Global Retailing Conference.  In an effort to reach more customers in urban settings and geographies that can’t support a traditional “Supercenter”, the Bentonville, Ark.-based company is focusing on two small-store concepts: its “Neighborhood Market” and “Walmart Express,” that are meant to compete directly with grocery stores, discount/dollar stores and drug stores.”  Read more

 

“Home Depot’s CEO Presents at Goldman Sachs Twentieth Annual Global Retailing Conference”  

Read the Transcript (Via Seeking Alpha)

Hear the Webcast

 

Comments from Frank Blake – Home Depot CEO: 

*  We continue to see good growth within the housing market adding say 2 to 2.5 points (in back half of year).

*  We are a branded warehouse.   We believe that brands are very important.  They are very important to our pro-customers, they are very important to our consumers.

*  We don’t plan to be turning over substantial portions of the store to private label brands.

*  So we went through a period of time where almost every merchant had his or her own private label brand, we are really down to a handful of meaningful private brands

*  In terms of what we see more specifically and there are number of categories that are now seeing growth that weren’t seeing growth frankly when the market was in a crisis mode. Very obvious one that was called out for us in the second quarter was appliances.

*  We are also seeing (growth) in some other larger ticket projects like flooring, like kitchens remodel switches, what you would expect as the market starts to recover.

*  It sort of feels like the country is coming back into lock step a bit more uniformly.

*  Buy online pickup in-store, buy online ship to store have both been very successful programs for us about one out of every three now of our online transactions has actually fulfilled in the store.

* Obviously when the customers comes into the store he or she buys additional items when they are in the store.

* Buy online return in-store is a huge advantage with 2,000 stores. I mean, we are in close proximity to most customers homes, and it’s just a better and a more convenient process for them rather than boxing it up and shipping it back (Marvin Ellison).

 

“Lowe`s Presents at Goldman Sachs 20th Annual Global Retailing Conference”

Hear the Webcast

 

“Should Retailers Like Target Embrace “Showrooming” “? by Jake Anderson at Twin Cities Business.  “Carl called attention to Target’s efforts to enhance both its physical stores and digital channels in order to remain competitive; for example, the company made free WiFi available in its stores and rolled out a new website called “Cartwheel,” which allows bargain hunters to interact and shop via Facebook.  Another example is a new store-and-online initiative called “Baby 360,” which includes beefed up online content, product reviews, and recommendations for new and expectant mothers.”  Read more

 

“Target has little impact on Canada mall traffic” by Viola Pruss at St. Albert Gazette.  “Target’s May arrival created a brief increase in foot traffic but business is back to normal at St. Albert Centre, say mall business owners.  Rene Rodriguez, manager of McBain Cameras, said Target has not impacted on his business in any way – whether that’s taking customers from his store or generating more foot traffic.  “It’s basically been a net-zero change. The food court area has become more busy and the central hallway seems to be more heavy with foot traffic but that’s just my superficial impression,” he said.”  Read more

 

“Kroger Q2 Earnings Call Today at 10am ET”  Listen to the Webcast

 

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“It’s on! Wal-Mart & Sam’s ratchet up smartphone turf war” by Courtney Reagan at CNBC.  “The world’s largest retailer is expected to unveil details of the largest brick-and-mortar smartphone trade-in program in the U.S., just in time for the anticipated new iPhones.  Starting Sept. 21 in more than 3,600 Walmart stores and Sam’s Club locations, consumers can get an instant credit, ranging from $50 to $300, for the trade-in value for more than 100 smartphones. That credit will then be immediately applied to the purchase of a new smartphone.” Read more

 

“Lim line at Target gets an unexpected early preview” by Janet Moore at Star-Tribune.  “Fashionistas have been anxiously awaiting the Sept. 15 debut of designer Phillip Lim’s clothing and accessories line at Target.  But a few eagle-eyed shoppers spotted some of the items last week at a Target store in Duluth, Ga., promptly snapped them up and then may have posted them for sale on eBay.  Turns out that a few items were inadvertently stocked at a “handful” of Target’s 1,800 stores and have since been removed, according to Joshua Thomas, a spokesman for the Minneapolis-based retailer. It was an “unfortunate operational oversight.”  Read more

 

“Walgreens makes a splash with flagship store (in Philly)” by Joseph DiStefano at Philly Inquirer.  “It is so convenient, and it is aesthetically pleasing – the marble floor, that gilded plaster ceiling. It’s going to cut down on my trips to Whole Foods,” said Helene O’Neill, who lives with her husband, an insurance executive, at the Ritz-Carlton across Broad Street. She’s moved the family prescriptions to Walgreens, from her old CVS.”  Read & see more

 

“Owners of Neiman Marcus sell chain for $6 billion” by Anne D’Innocenzio at San Fran Chronicle.  “While overall luxury sales have rebounded, that over-the-top spending has lost its froth. In fact, the luxury market is showing signs of a slowdown. Consulting firm Bain & Co. predicts luxury sales will be up 5 percent to 7 percent in the Americas this year, down from 13 percent in 2012.”  Read more

 

“Squirrel – It’s What’s for Dinner in Walmart’s HQ Town” by Anne Zimmerman at WSJ.  “Now that it is home to a world-class art museum, a boutique hotel and a spate of fashionable restaurants, Joe Wilson says he worries that his hometown is losing its “hillbilly heritage.”  So the 39-year-old construction project manager came up with an event designed to stave off big-city airs and remind locals that they still live in the Ozarks: The World Championship Squirrel Cook Off.”  Read more

 

“Orchard Supply Hardware Launches New Mobile App”  “Orchard’s mobile app is designed to help customers shop more easily, get “how to” advice for their home and garden projects and take advantage of special promotions, including those offered during the Founder’s Day celebration. The app will allow customers to:  Access “how to” videos for home repair, painting, and outdoor projects…” Read more

 

“Target Collaborates with Designer Chris March on “Big Fun” Halloween Wig Collection”  “The limited-time collection features over-the-top foam wigs, each priced at $20 or less, that will help Target guests create the perfect Halloween look. Inspired by his experience as a costume designer, March designed eight show-stopping styles: Geisha, Greaser, Starlet, Witch, Medusa, Monster Bride, Mohawk and Afro.”  Read more

 

“Lowe’s Donates $2 Million To Rebuilding Together”  “Lowe’s has teamed with Rebuilding Together to complete neighborhood projects in Charlotte, N.C.; Columbus, Ohio; Gerritsen Beach, N.Y.; Minneapolis-St. Paul; and New Orleans. In addition to funding, Lowe’s supports Rebuilding Together projects with hundreds of Lowe’s Heroes employee volunteers.”  Read more

 

“Apple expected to unveil iPhone to drive emerging market sales” at Reuters.  “More immediately, Apple will get a boost if it succeeds in enlisting China Mobile Ltd in its iPhone network. For the first time, the company will host media in Beijing just nine hours after its Cupertino, California launch, spurring speculation it will announce a distribution agreement with the Chinese carrier.”  Read more

 

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