2013 Archives

Eye-on-Retail Tipsheet 2/6/13: Home Depot adds 80,000 workers; Target REDcard now in Canada

February 6, 2013/in Eye-on-Retail

“Home Depot Plans 14% Increase in Seasonal Hiring” by Chris Burritt at Bloomberg. “Home Depot Inc. plans to add more than 80,000 temporary workers ahead of its busiest season, about 14 percent more than a year ago, as a housing rebound spurs spending on remodeling and landscaping. The largest U.S. home-improvement retailer is hiring mostly seasonal workers, though some will be offered full-time work, said Tim Crow, Home Depot’s executive vice president of human resources. Last year more than half of 70,000 temporary employees were given permanent jobs, he said.” Read more: https://www.bloomberg.com/news/2013-02-06/home-depot-plans-14-increase-in-seasonal-hiring.html

“Target® REDcard® Products Now Available Online for Canadian Guests” “Target is pleased to announce that applications for its REDcard products – the Target Debit Card and the Target RBC‡ MasterCard® – are now available online at Target.ca/redcard . Guests planning to shop at Target stores in Canada with a REDcard will receive an additional 5% off Target’s already low prices, applied instantly at the time of purchase. The Target Debit Card, a proprietary card issued by Target Canada, will link to the cardholder’s existing chequing account and can be used only at Target stores in Canada.” Read more: https://pressroom.target.ca/pr/tgt-en/target-redcard-products-now-available-243165.aspx

“Amazon rolls out its own ‘coins'” by Aubrey Cohen at Seattle PI. “Not content, apparently, with taking over the retail universe, Amazon announced Tuesday that it was creating its own currency. Starting in May, users will be able to spend “Amazon Coins” to buy apps, games and in-app items on Kindle Fire. Seattle-based Amazon plans to give tens of millions of dollars’ worth of free Amazon Coins and “make it quick and easy for customers to buy additional Amazon Coins using their Amazon accounts.” The idea is to give customers a quick and easy way to spend more money. Amazon takes a 30 percent cut from app transactions. Read more: https://www.seattlepi.com/business/tech/article/Amazon-rolls-out-its-own-coins-4252771.php#ixzz2K7QTu2Ln

“Why Amazon Created Its New Virtual Currency, Amazon Coin” by Elbert Chu at Popular Science. “Amazon mostly soaks up cash for real world stuff, but as they move further into the Kindle and Android worlds, the company is getting more and more digital. Now the retail giant wants users to buy their Android virtual stuff with a new currency–“Amazon Coins.” The currency, if successful, could allow Amazon to build loyalty in their Android ecosystem. In May, Amazon will give “tens of millions” of free Amazon Coins to Kindle Fire customers in the US for apps and in-app purchases, which include stuff like Farmville chicken coops.” Read more: https://www.popsci.com/technology/article/2013-02/why-amazon-created-its-new-virtual-currency-amazon-coin

“Apple Apparently Moving Ahead with Online Store in Russia” by Ben Love joy at Mac Rumors. “Rumors that Apple plans to open an online store in Russia have been given additional credence by a report on TechCrunch noting that the company has begun recruiting staff for the operation…The ad is for a Russian Chat Team Manager responsible for managing between 12 and 15 advisors. Although aimed at the Russian market, the role is actually based in Cork, Ireland. Apple is also advertising other roles in the region, including a Market Manager for Russia, CIS and Turkey.” Read more: https://www.macrumors.com/2013/02/05/apple-apparently-moving-ahead-with-online-store-in-russia/

“Walgreens January Sales Increase 6.3 Percent” “Walgreens had January sales of $6.15 billion, an increase of 6.3 percent from $5.78 billion for the same month in fiscal 2012. Total front-end sales increased 1.3 percent compared with the same month in fiscal 2012, while comparable store front-end sales decreased 0.4 percent. Customer traffic in comparable stores decreased 2.8 percent while basket size increased 2.4 percent.” Read more: https://news.walgreens.com/article_display.cfm?article_id=5705

“SymphonyIRI Examines Current and Emerging Merchandising Trends” “During the past couple of years, more than one-third of CPG categories sold considerable volume—30 to 50 percent—with merchandising support. Still, on the whole, the past year has seen mixed trends. Merchandising, defined as display, feature ad, feature and display combined and price-only actions, increased across just more than half of CPG categories and declined in 47 percent of categories. Trends in grocery and convenience channels closely mirror the industry average, but the drug channel has a different story to tell. During the past few years, merchandising support has been declining within the drug store channel. In 2012, support declined in 60 percent of the categories within the channel.” Read more: https://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130205006416&div=-1245645151

“What’s next for Meijer’s mPerks after hitting 1 million subscribers” by Shandra Martinez at M Live. “Here’s a sign that Meijer’s mPerks program resonates with shoppers. In less than 2 years, the digital couponing program has garnered 1 million subscribers. The subscription base grew by more than 10 percent in December alone when 101,000 members joined. That record-setting month also generated more than 13.7 million clipped offers and more than $5 million in savings collectively for mPerks members.” Read more: https://www.mlive.com/business/west-michigan/index.ssf/2013/02/whats_next_for_meijers_mperks.html

“Tulsa Young Professionals Still Trying to Attract Trader Joe’s” by Kyle Arnold at Hispanic Business News. “Tulsans have two days left to put in orders to Trader Joe’s as the Tulsa Young Professionals group makes a grassroot effort to attract one of the country’s trendiest retailers. TyPros executive director Brian Paschal said the group has nearly 200 orders so far for the California-based chain’s assortment of foods, ranging from coffee to trail mix. “Already this has gotten a lot more attention that I would have ever expected,” he said. The group is trying to show Trader Joe’s, a small grocery store model with nearly 370 stores nationwide, that Tulsa would be a great location to expand.” Read more: https://www.hispanicbusiness.com/2013/2/5/tulsa_young_professionals_still_trying_to.htm

“Food Lion owner cuts 500 jobs” by Ely Portillo at Charlotte Observer. “Delhaize America, which owns Food Lion and other supermarkets, is laying off 350 corporate workers, including an unspecified number at the company’s Salisbury headquarters. The company is also closing 150 open positions, for a total of 500 job cuts. Delhaize America is a subsidiary of Delhaize Group, a Belgian grocery company. The jobs being cut are all above the store manager level. Read more: https://www.charlotteobserver.com/2013/02/06/3835480/food-lion-owner-delhaize-america.html#storylink=cpy

Eye-on-Retail Tipsheet 2/5/13: “Underwater Bowling” at Bass Pro; Dollar Stores “Dime a Dozen”

February 5, 2013/in Eye-on-Retail

“Dime a Dozen: Dollar Stores Pinched by Rapid Expansion” by Ann Zimmerman at WSJ. “While dollar stores were Wall Street darlings during the recession, some retail experts say their proliferation could now become a problem. Dollar General said last week it will open 635 new stores this year, including its 11,000th location. Another chain, Family Dollar Stores Inc. added almost 500 stores in 2012, up from 300 a year before, and is expected to do the same this year. Family Dollar currently has more than 7,000 stores.” Read more: https://online.wsj.com/article/SB10001424127887323644904578270211975829422.html

“New wave bowling at Bass Pro” by Johnny Campos at The Journal Star (Peoria). “…Westbay said that the underwater bowling theme was the brainchild of Bass Pro Shops owner Johnny Morris. Bowling was a natural tie-in with the outdoors, because of the long-standing relationship between Morris and Brunswick, which supplies all of the Mercury marine engines that are used on the boats sold at Bass Pro Shops. “There were talks for years between Johnny and Brunswick to try and tie in bowling with the stores,” Westbay said. “It’s hard enough to think about doing something like this, but Johnny and his team made it happen.” Read more: https://www.pjstar.com/sports/x1522316522/New-wave-bowling-at-Bass-Pro?zc_p=0

“Tiny Upstart biffle Finds Consumer Niche – Should Amazon and Walmart Take Notice?” by Aaron Perlut at Forbes. “…Fusz’s latest, biffle (with a lowercase “b”), looks pretty promising, and it may prove to be the best friend of consumers looking to save money, as well as an important new ally to online retailers looking to increase sales and market share. “What consumers need is something they don’t easily get today – instant access to the best price in a safe and secure environment,” Fusz says. “Until now, when consumers search for the best price, they have to choose between the lowest price found – often from an unfamiliar vendor – and buying from a vendor they know and trust, like an Amazon. With biffle, consumers don’t have to make that choice – because the lowest price is now available from a trusted source.” Read more: https://www.forbes.com/sites/marketshare/2013/02/04/tiny-upstart-biffle-finds-consumer-niche-should-amazon-and-walmart-take-notice/

“Whole Foods Eyes E-commerce: Analyst” at Supermarket News. “Whole Foods Market here could be eying an e-commerce launch, according to an analyst report on Friday. Kate Wendt, a San Francisco -based analyst with Wells Fargo Securities, said in the report that the natural and organic specialist had filed several trademarks in January “that point to a potential move toward mobile, e-commerce, store pickup and delivery.” She said she believes Whole Foods could launch the service in nonfood areas such as vitamins/supplements and natural HBC, before expanding into grocery product. Read More: https://supermarketnews.com/retail-amp-financial/whole-foods-eyes-e-commerce-analyst#ixzz2K2J6Jzcp

“Amazon Patents Reselling Used Digital Goods” by Ray Willington at Hot Hardware. “Much like it’s possible to sue for anything these days, it’s apparently not all that difficult to patent anything. While that’s something of a stretch, Amazon has just nailed a surprisingly broad patent that could have an impact on the consumer electronics economy as a whole. At its most basic level, the patent — which was awarded in the United States — details a “secondary market for digital objects.” Specifically, the verbiage makes reference to an “electronic marketplace for used digital objects,” which would include things like e-books, audio, video, computer applications, etc.” Read more: https://hothardware.com/News/-Amazon-Patents-Reselling-Used-Digital-Goods/

“Safeway taps JPMorgan executive as CFO” at Reuters. “Safeway Inc, the second-largest U.S. supermarket chain, said Peter Bocian will replace Robert Edwards as its chief financial officer, effective February 19. The company in April promoted Edwards, who had been the CFO since 2004, to the post of president and said he would continue in the finance chief’s role until his successor is named.” Read more: https://www.reuters.com/article/2013/02/04/us-safeway-cfo-idUSBRE91310520130204

“Best Buy, Sears, Barnes & Noble among retailers that will close the most stores in 2013” at Detroit Free Press. “For many retailers, the sales situation is so bad that it is not a question of whether they will cut stores, but when and how many. Most recently, Barnes & Noble decided it had too many stores to maintain profits. Its CEO recently said he plans to close as many as a third of the company’s locations. Several of America’s largest retailers have been battered for years. Most have been undermined by a combination of e-commerce competition, often from Amazon.com and more successful retailers in the same areas.” Read list of eight that will close the most stores: https://www.freep.com/article/20130203/BUSINESS07/130203010/Retailers-that-will-close-the-most-stores

“Amazon to collect Conn. sales tax, ending dispute” at Seattle Times via Stephen Singer at AP. “Amazon announced on Monday that it has agreed to collect Connecticut’s sales tax, ending a two-year dispute over the tax that the online retailer had previously refused to charge its customers. The retailer also promised to spend $50 million to build an order-fulfillment center at an unspecified site and create hundreds of jobs. Read more: https://seattletimes.com/html/businesstechnology/2020285933_amazonconnxml.html

“Walgreens Promotes Magnacca to Executive Vice President” at CSP Net. “Walgreens has announced the promotion of Joseph Magnacca from senior vice president to executive vice president, effective Feb. 1. Magnacca also retains his title as president of daily living products and solutions. Magnacca oversees Walgreens merchandising and inventory strategy, private brands, insights and analytics, and the New York-based Duane Reade drugstore chain, which Walgreens acquired in 2010.” Read more: https://www.cspnet.com/news/general-merchandise/articles/walgreens-promotes-magnacca-executive-vice-president

“Aldi increases market share by 29.5% (in Ireland)” at Irish Times. “Discount German retailer Aldi enjoyed the strongest level of growth, up 30 per cent in the 12 weeks to January 22, compared to same period the previous year. The retailer grew its market share from 4.6 per cent to 5.9 per cent as shoppers continued to feel the squeeze of reduced incomes. Meanwhile, Tesco’s share of the grocery market fell by half a percentage point, moving from 28.1 per cent to 27.6 per cent. Its sales growth also declined by 1 per cent.” Read more: https://www.irishtimes.com/newspaper/breaking/2013/0204/breaking31.html

Thanks for reading…

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Eye-on-Retail Tipsheet 2/4/13: Super Bowl Ads – Bud wins Ad Meter; Ram Trucks wins Hulu

February 4, 2013/in Eye-on-Retail

“Budweiser’s Clydesdale wins Ad Meter by a nose” by Bruce Horovitz at USA Today. “Anheuser-Busch climbed back into the saddle with the Super Bowl’s top commercial — a heart-tugging tale of the bond between a trainer and the Budweiser Clydesdale he raised.But it was a horse race. This was the Super Bowl when ads with heart got all the love in USA TODAY’S Ad Meter, which, for its 25th anniversary, vastly expanded in scope by going online to 7,619 pre-registered panelists.” Read more: https://www.usatoday.com/story/money/business/2013/02/04/clydesdale-ad-wins-by-a-nose/1889693/

“Hulu Announces the Top Ads from Super Bowl XLVII”:

OVERALL MOST LIKED ADS

Top ranked by fan votes.

1. Ram Trucks: Farmer

2. Budweiser: Brotherhood

3. Taco Bell: Viva Young

4. Volkswagen: Get In. Get Happy.

5. Universal Pictures: “Fast & Furious 6” Game Day Trailer

6. Jeep: America Will Be Whole Again

7. Paramount Pictures: “World War Z” Big Game Spot

8. Skechers: GOrun 2 – Man vs Cheetah Big Game Commercial

9. GoDaddy.com: Perfect Match – Bar Refaeli’s Big Kiss!

10. MilkPEP: The Rock in Morning Run

“Forbes.com: No more Super Bowls for New Orleans until ‘outdated’ Superdome is replaced” by Mark Lorando at NOLA. “The Super Bowl 2013 Blackout Backlash is officially underway, with Forbes.com suggesting New Orleans and the Superdome may not play host to another championship game “unless they replace this outdated facility.” In a piece headlined “Superdome Shutdown: Super Bowl XLVII Blackout Hurts New Orleans’ Chances to Host Future Super Bowls,” Webster University economics professor and Forbes.com contributor Patrick Rishe unleashes a scathing attack on city, Superdome and NFL officials for the electrical snafu that caused a 34-minute third-quarter delay in the big game. “No matter how many times the city has hosted the big game before, this cannot happen,” Rishe wrote Sunday night on the influential business news bible’s website. “It is an embarrassment for the facility operators, and quite frankly, it is a black-eye for NFL operations.” Read more: https://www.nola.com/superbowl/index.ssf/2013/02/forbescom_no_more_super_bowls.html

“Amazon.com reminds Tennesseans they may owe taxes” by Shelly Bradbury at Times Free Press. “East Ridge resident Jillian Alexander was sure the email from Amazon was a scam when she first saw it on her phone. “You may owe use tax on purchases you made from Amazon.com LLC during the previous calendar year,” the notice from the online retailer read. It listed the money she had spent on the site last year — $87 and some change — and included a link to Tennessee’s state website where she could pay the tax she apparently owed. “I was like, ‘Are you kidding me?'” she said. But it’s not a scam. Online shoppers across the state are receiving the email notice this week, part of a law Gov. Bill Haslam signed early last year in which the state agreed Amazon doesn’t have to collect state sales tax until 2014.” Read more: https://www.timesfreepress.com/news/2013/feb/01/retailer-reminds-tennesseans-they-may-owe/

“The Home Depot Canada Prepared For Penny Phase Out” “In 2012, the Federal Government announced that the penny would be phased out of circulation. The Home Depot Canada carefully reviewed the phase out requirements based on its values, associate input and consumer needs. According to a recent poll commissioned by The Home Depot Canada, 88 per cent of Canadians don’t know that the penny is being phased out of circulation on February 4, 2013 and 41 per cent don’t know what retailers are doing to manage this change. The Home Depot Canada wants its customers to know that after this date, anyone shopping at its stores using cash, will have their total rounded down to the nearest nickel. In addition, if a customer makes a cash return to the store, it will always round up to the nearest nickel. The Home Depot feels it’s vital to continually meet the needs of its customers.” Read more: https://www.prnewswire.com/news-releases/the-home-depot-canada-prepared-for-penny-phase-out-189376511.html

“Supervalu bets big on its wholesale business” by Mike Huglett at Star-Tribune. “Supervalu is going back to its wholesale roots, for better or worse. When the struggling Eden Prairie-based firm unloads its four largest grocery chains in a pending $3.3 billion deal, the company will again rely on wholesaling for almost half of its business. Wholesaling has accounted for only about 23 percent of total sales in recent years. The problem: Food distribution is a shrinking industry, as Supervalu can attest. Its own wholesale revenue has fallen 17 percent in the past four years, to $8.2 billion in fiscal 2012. A good part of the decline stems from the gradual loss of a big customer, Target.” Read more: https://www.startribune.com/business/189436511.html

“Kroger Launches New “Low Price ” Campaign” at WKRC in Cincinnati (Video & Text). “Cincinnati based grocery store chain Kroger today announced the launch of a new price campaign. The stores promise to lower prices on thousands of items in grocery, produce, organics, natural foods, and general merchandise beginning on Monday, February 4th…Kroger says that as part of the price lowering, the price on Kroger 24 pack water will drop 71 cents, the cost of a 3 lb. bag of onions will go down $1.00 and the retail on Soy Milk has been reduced by $1.40. But at the same time, the company plans to discontinue their popular double coupon program. This program will end within 30 day.” Read more: https://www.local12.com/mostpopular/story/Kroger-Launches-New-Low-Price-Campaign/UZFg7rVTJk2Q43ZQPS7Lyg.cspx

“Amazon Outage Could Cost a Lot More Than 400,000 Pairs of Unsold Underwear” by Marcus Wohlsen at Wired. “Imagine the front doors suddenly locked on every Walmart in the country simultaneously right in the middle of the business day — and for nearly an hour, no one could find the keys. That’s basically what happened to Amazon when, in an incredibly rare hiccup, its homepage went down for nearly an hour Thursday afternoon.” Read more: https://www.wired.com/business/2013/02/amazon-crash-unsold-underwear/

“J.C. Penney Is Bringing Back Sales” at CNBC. “The struggling department store chain this week is rolling out some of the hundreds of sales it ditched last year in hopes of luring back shoppers who were turned off when the discounts disappeared. Penney also plans to add new price tags or signs for more than half of its merchandise to show customers how much they’re saving by shopping at the mid-priced chain — a strategy that a few other retailers such as home decor chain Crate and Barrel and TJX Companies. Read more: https://www.cnbc.com/id/100413301

Eye-on-Retail Tipsheet 2/1/13: Union backs off Wmart protests; Costco loves Pepsi and GM

February 1, 2013/in Eye-on-Retail

“Lowe’s exec: Mobile represents 20% of Web traffic” by Lauren Johnson at Mobile Commerce Daily. “A Lowe’s executive at the 2013 Mobile Marketing Association Forum San Francisco said that mobile represents 20 percent of the company’s Web traffic, showing how the medium is increasingly becoming a bigger priority. During the “Mobile and retail: How Lowe’s develops and leverages a complete view of the consumer” session, an executives from Lowe’s spoke about how the brand has steadily been growing its mobile footprint. The panel was moderated by Jeff Hasen, chief marketing officer at Hipcricket, New York.” Read more: https://www.mobilecommercedaily.com/lowe%E2%80%99s-exec-mobile-represents-20pc-of-traffic

“Union agrees to back off Wal-Mart protests” by Ann D’Innocenzio at AP. “Labor groups say they will end most of their picketing of Wal-Mart stores as part of a settlement with the National Labor Relations Board. The agreement, announced by Wal-Mart, comes after the retailer filed a complaint in late November with the National Labor Relations Board against the United Food and Commercial Workers International Union. It said demonstrations organized by union-backed OUR Walmart that culminated on the day after Thanksgiving threatened to disrupt its business and intimidate customers and other store workers.” Read more: https://www.usatoday.com/story/money/business/2013/01/31/ufcw-wal-mart-protests/1881053/

“PepsiCo’s In The Club… Store, that is, Capturing Costco Food Service Account” by Jeffrey Klineman at Bevnet. “The Brooklyn-born son of a deli owner, a former sandwich courier in New York’s Garment District, Alan Bubitz knows a deal on food when he sees it. Now, as the vice president of food services for Costco, Bubitz’s bailiwick includes one of the most popular deals in the world: his company’s famous ¼ lb. hot dog and a 20 oz. Coke for $1.50 – plus tax, where applicable. But the fountain nozzles, they are a changin’ — at least in the Costco food court. Bubitz confirmed yesterday that all Costco foodservice locations will be switching from Coke to Pepsi products. The change, which will begin at the massive club retailer’s 400-plus U.S. locations in April, will be carried out globally over the next few years as vending contracts expire.” Read more: https://www.bevnet.com/news/2013/pepsicos-in-the-club-store-that-is-capturing-costco-food-service-account

“Robert Reich says unionization of Walmart will get the economy growing” at Current. “The Keynesians have really brought flawed theories to the forefront during the past month by two of their preeminent thinkers…He later takes jabs at America’s favorite punching bag, Walmart, for not being unionized saying, “The average pay of a Walmart worker is $8.81 an hour. A third of Walmart’s employees work less than 28 hours per week and don’t qualify for benefits…He continues saying, “Walmart should be unionized. So should McDonalds. So should every major big-box retailer and fast-food outlet in the nation. So should every hospital in America.” Read more: https://current.com/community/94036915_robert-reich-says-unionization-of-walmart-will-get-the-economy-growing.htm

“Menards employee who flies to Minot weekly shares story” by Kevin Hurd at WEAU in Wisconsin (Video & Text). “”You’re pretty nervous the first day, but the people out there are nice like in Wisconsin, and the hours just seem to fly by,” said Brett Miller, who flies to Menards in Minot, ND weekly for work. He does not have a typical 9:00 a.m. to 5:00 p.m. gig at Menards. He is part of a group of 50 people that flies each week from Eau Claire to Minot. Once a week they start their day early, making the hour and a half flight to work.” Read more: https://www.weau.com/home/headlines/Menards-employee-who-flies-to-Minot-weekly-shares-story-189318211.html

“Costco Auto Program and GM Offer: Sales Nearly Triple Previous Promotion” “The Costco Auto Program today announced the outcome of its most-recent offer with General Motors. Preliminary sales results for the Chevrolet, Buick and GMC Special Offer indicate the number of eligible vehicles sold is more than 15,000 – nearly triple the final sales results of last winter’s promotional offer from the Costco Auto Program and GM. The Chevrolet, Buick and GMC Special Offer took place Oct. 2, 2012, through Jan. 2, 2013. During the promotional period, Costco members were able to purchase select 2012 and 2013 Chevrolet, Buick and GMC models at GM Preferred Pricing, in addition to receiving all publicly available rebates and incentives. Moreover, Costco members who made an eligible purchase qualified to receive a $500 Costco Cash Card after completing a Costco Auto Program member satisfaction survey.” Read more: https://www.prweb.com/releases/CostcoAutoProgram/GM/prweb10381809.htm

“Kroger Announces Retirement of Kroger Central Division President Bob Moeder” at Herald Online. “The Kroger Co. announced today the retirement of Central Division President Robert “Bob” Moeder. “During his 42-year career, Bob has consistently demonstrated his passion for and commitment to our associates, our customers and our local communities,” said Rodney McMullen, Kroger’s president and chief operating officer. “His improvement of our convenience store division and support on launching supermarket fuel has contributed to Kroger’s connection with customers and increased value for shareholders.” Read more: https://www.heraldonline.com/2013/01/31/4584725/kroger-announces-retirement-of.html#storylink=cpy

“Lewis: Whole Foods CEO concerned about whole economy” by Al Lewis at The Denver Post. “As CEOs go, John Mackey at Whole Foods Market Inc. is a pretty good guy. He works for $1 a year. He doesn’t loot his company with excessive perks and bonuses. His flies Southwest Airlines. He wears Patagonia. Forbes has ranked his company on its “Best Places To Work” list for 15 years. His stock has skyrocketed back from the last recession, from about $8 to about $96 a share, proving his critics wrong. And along the way, he’s made lasting changes to the way Americans think about food. So why does he get such a hard time? “Occasionally somebody asks me a question, and before I can think about it, I just blurt out the truth from my perspective,” he told me.” Read more: https://www.denverpost.com/breakingnews/ci_22490029/lewis-whole-foods-ceo-concerned-about-whole-economy

“Wal-Mart: The $200 billion grocer” by Emily Jane Fox at CNN. “When you think “locally sourced,” Wal-Mart probably isn’t the first store that comes to mind. And yet the retailer recently announced that two-thirds of its products are made here in the United States.So what gives? The answer lies in groceries. Ten years ago, groceries made up a little more than 20% of Wal-Mart’s (WMT, Fortune 500)net sales, or about $48 billion. In 2012, groceries accounted for 55%, or roughly $244 billion. And most of your groceries — from produce, to pancake mix, to paper towels — are made right here in the U.S.” Read more: https://money.cnn.com/2013/01/31/news/companies/walmart-grocery/

“Amazon added 32K employees in 2012” at Portland Business Journal. “Amazon.com Inc. said it grew its number of total number of employees to 88,400 at the end of the latest quarter from 56,200 at the end of last year; an increase of 57 percent.” Read more: https://www.bizjournals.com/portland/morning_call/2013/01/amazon-added-32k-employees-in-2012.html

Eye-on-Retail Tipsheet 1/31/13: Amazon’s growth looks like Walmart’s; Costco in Australia

January 31, 2013/in Eye-on-Retail

“Tupperware CEO: Our Products Are Just Too Classy For America’s “Walmart Market”” by Mary Beth Quirk at The Consumerist. “You think you’re doing Tupperware a favor by sloshing your leftover peasant fare into its plastic receptacles? Ha! Far from it. The company’s CEO says the plastic containers are just too classy to really hit it off with American consumers, since it’s a “high-quality product and a brand” and we’re just part of the “Walmart market.” Oh, okay.” Read more: https://consumerist.com/2013/01/30/tupperware-ceo-our-products-are-just-too-classy-for-americas-walmart-market/

“Target’s Pending Arrival Fuels Canadian Retail Battle” by Matthew Rocco at Fox Business. “Competition among Canada’s retailers is becoming more fierce with an upcoming invasion by Target, a move that has pushed other chains like Wal-Mart Stores to bolster operations there. Target first detailed its plans to open Canadian stores in 2011, when the Minnesota-based retailer bought more than 200 Zellers stores. The first Canadian stores donning the familiar red logo will be ready for business in March, with a total of 125 to 135 of the old Zellers stores to be remodeled and opened in 2013 and 2014. Target is in a unique position for a company expanding beyond its domestic stores. Cross-border shopping, a popular excursion for Canadians looking for better deals, has made Target a familiar brand. According to an internal survey conducted in March 2012, 92% of respondents said they already knew about Target.” Read more: https://www.foxbusiness.com/industries/2013/01/29/targets-pending-arrival-fuels-canadian-retail-battle/#ixzz2JYGFWfCK

“Amazon’s Growth Looks Like Walmart in the 1990s — But Even Better” by Marcus Wohlsen at Wired. “…But Apple might not be the right behemoth to use as a benchmark for Amazon’s recent performance. In 1994, Walmart’s net sales topped $60 billion for the first time, the neighborhood that Amazon’s playing in today. A decade later, Walmart’s sales had nearly quadrupled to $256 billion. Last year, Walmart’s sales clocked in at just south of $444 billion. Amazon may or may not continue to climb its own trajectory toward a half-trillion. But at its current flattening growth rate, Walmart may not get there for years. In the meantime, Amazon’s curve looks like Walmart’s in the 1990s, the decade Walmart pulled away from the competition to become a singular force.” Read more: https://www.wired.com/business/2013/01/amazons-walmart-like-growth/

“Trader Joe’s store coming to Tulsa but just for one afternoon” by Chris Cordt at KRMG-Tulsa. “Paschal says the process is simple. You place an order on TYPro’s web site, pay for it then A TYPros crew will make the drive to Kansas City to purchase everything. On February 16th between 4-8pm, TYPros will create a pop up store in Downtown Tulsa at 11 E Brady St for you to pick up your deliveries. TYPros isn’t alone. There’s also a ‘Petition to Bring Trader Joes to Tulsa’ Facebook group with more than 3,100 likes. Read more: https://www.krmg.com/news/news/local/trader-joes-store-coming-tulsa-just-one-afternoon/nWBFQ/

“Australian Costco gets $50 million boost and turns its first profit” by Patrick Stafford at Property Observer. “Big-box retailing is in full swing in Australia, with the local arm of bulk buying group Costco receiving yet another $50 million from its parent company in order to fund further expansion after reporting its first profit. The move comes as the bulk buying industry continues to expand in Australia, with Costco planning an expansion which will bring multiple stores in capital cities across the country. The business received $140 million in 2012 to help open new stores.” Read more: https://www.propertyobserver.com.au/retail/australian-costco-gets-$50-million-boost-and-turns-its-first-profit/2013013059048

“Target CIO Beth Jacob talks technology” by John Vomhof Jr. at Minneapolis-St.Paul Business Journal (Video & Text). “Although she doesn’t go into a lot of detail about specific technology initiatives at Target, Jacob does touch on range of topics, including how the company is increasing tech investments, adding more tech talent, and expanding its partnerships with firms like Facebook, IBM and AT&T. She also mentions that the retailer recently opened a small office in San Francisco, something I touched on in my October article.” Read more: https://www.bizjournals.com/twincities/news/2013/01/30/target-cio-beth-jacob-talks-technology.html

“WSU prof saves Kroger more than $170 million” by Meagan Pant at Dayton Daily News. ““You don’t know day-to-day exactly the number of or particular medicines people will need,” Zhang said. “Although there might be some patterns, like during cold season, demand is never certain.” When Zhang learned of the problem, he knew the model, which uses mathematical calculations, could have a huge impact. “But I wasn’t expecting this much,” he said. Using the system, Kroger, which has 1,950 pharmacy locations, has been able to reduce out-of-stock prescriptions by 1.5 million, lower inventory by more than $100 million and yield additional revenue of more than $70 million since October 2011, according to the Institute for Operations Research and the Management Sciences, which gives the Franz Edelman Award. Zhang said the same ideas could be applied to stocking fresh produce or general retail and in manufacturing.” Read more: https://www.daytondailynews.com/news/business/wsu-prof-saves-kroger-more-than-170-million/nWBL2/

“How One Entrepreneur Turned A Blog Into A Budding Fashion Empire” by Ashley Lutz at Business Insider. “Shauna Miller started a fashion blog in 2010 with a simple mission: to make women feel good about their discount attire. Just over two years later, she’s a fashion designer with an upcoming line at Walmart, the world’s largest retailer. On her blog, Penny Chic, Miller put together fashionable looks she had put together from shopping at Walmart, Forever 21 and JCPenney.” Read more: https://www.businessinsider.com/penny-chics-shauna-miller-gets-walmart-line-2013-1#ixzz2JYKARl1C

“Wal-Mart opposing D.C.’s big box living wage bill” by Michael Niebauer at Washington Business Journal. “The bill requires that all retailers larger 75,000 square feet, and whose parent company earns at least $1 billion a year, pay their employees a minimum wage of at least $11.75 an hour and provide them with health benefits. The legislative provisions do not apply if there is a collective bargaining agreement in place between a store and its employees…While the measure does not target a specific retailer, it is clearly aimed at Wal-Mart, which plans to open six D.C. stores over the next half decade. Other big box stores that may be affected include Target, Home Depot, Costco and Lowe’s. The bill does not appear to grandfather in existing stores.” Read more: https://www.bizjournals.com/washington/breaking_ground/2013/01/wal-mart-opposing-dcs-big-box.html?page=all

“UK Walmart Ad Showing Moms Doing Housework Cleared Of Sexism Charges” by Mark Sweney at The Guardian (Video & Text). “The U.K.’s advertising watchdog has cleared Asda’s festive TV campaign featuring an exhausted mother doing all the work to make Christmas a success, despite more than 600 complaints it was offensive and sexist…The TV ad showed a harassed mother swamped with festive preparations: shopping, cooking, cleaning, writing cards, wrapping presents and making beds.” Read more: https://www.businessinsider.com/uk-walmart-ad-showing-moms-doing-housework-at-christmas-cleared-of-sexism-charges-2013-1#ixzz2JYQo8GQf

Thanks for reading…

Eye-on-Retail Tipsheet 1/30/13: Apple trademarks its stores; Amazon sales jump

January 30, 2013/in Eye-on-Retail

“Amazon.com Announces Fourth Quarter Sales up 22% to $21.27 Billion” “Net sales increased 22% to $21.27 billion in the fourth quarter, compared with $17.43 billion in fourth quarter 2011. Excluding the $178 million unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales grew 23% compared with fourth quarter 2011. Operating income increased 56% to $405 million in the fourth quarter, compared with $260 million in fourth quarter 2011. The favorable impact from year-over-year changes in foreign exchange rates throughout the quarter on operating income was $2 million.” Read more: https://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130129006591&div=-1245645151

“Walmart, Target Among Chains Saying No to Credit-Card Use Fees for Now” at Ecredit Daily. “For now, U.S. consumers don’t have to worry about the big retail chains adding a surcharge for credit card purchases, despite a settlement with Visa, MasterCard and the banks that allow them to do so. Whether small businesses will opt to charge customers extra for using credit cards is uncertain, although all retailers are required to post signs explaining the new policy if they do. The so-called “checkout fee” option became effective Sunday, for either in-store or online credit card purchases.” Read more: https://ecreditdaily.com/2013/01/walmart-target-big-chains-credit-card-checkout-fees/

“Apple trademarks the ‘distinctive design’ of its stores” by Reena Jana at Smart Planet. “Last week, Apple officially registered a trademark for its Apple Store interior layouts — as seen in its typical mall configurations — with the U.S. Patent & Trademark Office. The descriptions on the registered trademark certificate (available online at Patently Apple), illustrate the elegant simplicity of the retail environments: “The store features a clear glass storefront…rectangular recessed lighting units traverse the length of the store’s ceiling…rectangular tables are arranged in a line in the middle of the store parallel to the walls…there is multi-tiered shelving along the side walls, and a [sic] oblong table with stools located at the back of the store…” Read more: https://www.smartplanet.com/blog/bulletin/apple-trademarks-the-8216distinctive-design-of-its-stores/11460

“Students study Target’s supply chain” by Madison Martin at Iowa State Daily. “Students in the College of Business have been presented with an opportunity to follow through Target Corporation’s supply chain. The tour will primarily take place over spring break. Supply Chain Management 428 is a course offered that covers special topics. This semester, Supply Chain Management 428 is taught by Scott Grawe, an assistant professor in supply chain and information systems. Grawe used to work for Target as well managing domestic international logistics. “I asked Target, ‘Can we design something where we take students backwards through the supply chain.’ Target is not doing a lot with it other than the fact that we’re looking at their supply chain, and they’re going to help give us access to the ports, to the suppliers, to the store, the distribution center,” Grawe said. Read more: https://www.iowastatedaily.com/news/article_b084337a-6989-11e2-b4c7-001a4bcf887a.html

“Walmart to open smaller “Express” stores around Johnston County (North Carolina)” by Derek Quizon at Smithfield Herald. “The small-store concept – known as Wal-Mart Express – offers about 15,000 items, down from the roughly 100,000 items available in Wal-Mart Supercenters. They typically range from 12,000 to 15,000 square feet and include a pharmacy, although Wertz said the stores are “more grocery-oriented.”…Wertz said Wal-Mart is opening Express stores in two very different types of markets. The first is urban neighborhoods where real estate is at a premium. The other target is rural communities that can’t support larger stores.” Read more: https://www.theherald-nc.com/2013/01/29/25954/walmart-to-open-smaller-express.html

“An Interview with Amazon Webstore’s Scott Pulsipher, Part One” by Ina Steiner at EcommerceBytes. “Amazon Webstore is becoming better known among online sellers who use it to set up their own ecommerce-enabled stores, using Amazon technology. Scott Pulsipher, General Manager of Amazon Webstore, explains in this exclusive interview with EcommerceBytes how online merchants are using Webstore to design, build and manage multichannel ecommerce websites and integrate with Amazon’s other ecommerce offerings, including Amazon Checkout payment processing and Fulfillment By Amazon.” Read more: https://www.ecommercebytes.com/cab/abn/y13/m01/i28/s01

“Retailers Must Differentiate from Restaurants, says Technomic” “At the height of the economic downturn, many consumers flocked to supermarkets, mass merchandisers, warehouse clubs and other retailers, looking for a deal on prepared foods. But now that the economy is recovering from the recession, some consumers are purchasing retailer meal solutions (RMS) less often than they did just two years ago; in fact, 38 percent of today’s consumers say that they purchase RMS from traditional supermarkets each week—compared to 42 percent who said the same in 2010. “These consumers may be reversing the patterns they set a couple of years ago by heading back to restaurants,” says Darren Tristano, Vice President of Technomic.” Read more: https://media.prnewswire.com/en/jsp/latest.jsp?resourceid=6208656&access=EH

“Ahold USA Appoints Mark McGowan As EVP Of Merchandising” at Food and Beverage People. “Ahold USA announced that Mark McGowan has been appointed to the position of Executive Vice President of Merchandising, Ahold USA, effective January 24. In this role, which will be based in Carlisle, McGowan will report directly to James McCann, Chief Operating Officer, and will focus on leading a merchandising team that supports Ahold USA and its four Divisions, Stop & Shop New England, Stop & Shop New York Metro, Giant Landover and Giant Carlisle.” Read more: https://www.foodandbeveragepeople.com/cm/story/ahold_usa_appoints_mark_mcgowan_evp_merchandising

“Loveland entrepreneurs put (drywall patch) product on the market” by Craig Young at Reporter-Herald. “…When Sward said he’d thought of a way to match the texture on a small drywall patch to the “knockdown” texture of the rest of the wall, “I kind of laughed about it at first,” Shoup said. But the two started thinking through how they could make the idea work. Sward built a prototype, and the two patented it. The conventional way for homeowners and contractors to match the texture involves a spray can, although the pros have their own tricks of the trade. But Shoup said the products on the market are messy and complicated and don’t work well…Loveland’s locally owned Orchards Ace Hardware stepped up to the plate first and put the product on the shelves last September. Now more than 50 stores carry the Pirate Patch, with a national retailer planning to start selling it next month in 70 of its locations in test markets around the country, Shoup said.” Read more: https://www.reporterherald.com/news/loveland-local-news/ci_22475069/loveland-entrepreneurs-put-product-market

“Where’s the Bread Aisle? Wegmans has an app Answer” by Danielle Haynes at Hispanic Business. “Earlier this month, Wegmans announced the update of its free smartphone application, and while the program has been available for a couple years now, the grocery chain is hoping tweaks will draw new users and downloads. The free app — available for iPhone and iPad devices through iTunes and now Android devices through Google Play — allows customers to customize their shopping trip, from making a grocery list down to knowing just which aisle to find that obscure ingredient you need for dinner.” Read more: https://www.hispanicbusiness.com/2013/1/29/wheres_the_bread_aisle_wegmans_has.htm

Thanks for reading…

Eye-on-Retail Tipsheet 1/29/13: Home Depot’s CEO: “A third of all retailers will be wiped out”

January 28, 2013/in Eye-on-Retail

“Home Depot CEO: Internet biggest challenge” by Jonathan Copsey at North Fulton. “Blake spoke Jan. 24 to members of the Roswell Rotary Club about his company and how he saw the coming years…The most significant challenge facing the company, he said, was the threat of losing sales to Internet companies…”Retail is a detail-oriented business,” he said. “You need the right amount of product in the right store at the right price.”…”The Internet will have an enormous impact on the brick-and-mortar retailers,” he said. “A third of all retailers will be wiped out because of dot-com competition.” Read more: https://www.northfulton.com/Articles-BUSINESS-c-2013-01-27-197125.114126-sub-Home-Depot-CEO-Internet-biggest-challenge.html

“NRF Forecasts 3.4% Increase in Retail Sales for 2013” “The National Retail Federation released its 2013 economic forecast today, projecting retail industry sales (which exclude automobiles, gas stations, and restaurants) will increase 3.4 percent*, slightly less than the preliminary 4.2 percent growth seen in 2012. The subdued forecast comes on the heels of a holiday season that went head-to-head with Washington’s political wrangling over fiscal concerns, shifting consumers’ spending plans downward. In the end, holiday sales in 2012 grew 3.0 percent…Shop.org, NRF’s digital division, expects online sales in 2013 to grow between 9.0 and 12.0%. Online sales in 2012 during the months of November and December last year grew 11.1 percent.” Read more: https://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130128005923&div=-1245645151

“Walmart loses market share to other grocers in DFW” by Candice Carlisle at Dallas Business Journal. “Retail giant Walmart has the largest market share of Dallas-Fort Worth’s hotly contested grocery business, but it could be losing a portion of that pie to other retailers. In the past five years, Walmart’s market share has declined about 1 percent, while Kroger, Tom Thumb and Sam’s Club have gained more shoppers, Walter Bialas, vice president and market research director for Jones Lang LaSalle’s Dallas office, told me Monday.” Read more: https://www.bizjournals.com/dallas/news/2013/01/28/walmart-loses-market-share-to-other.html

“Costco Endorses Sustainability Efforts” by Elliot Zwiebach. “”Do you think it is fair to charge low- and middle-income Americans more for products because Costco and other retailers want to green-wash their images?” he (shareholder) said, calling on Costco to reject initiatives dealing with sustainability “to reduce the company’s bottom line.” In his response, Jelinek gave a couple of examples of sustainability efforts that reduce costs, including the use of solar panels on warehouse roofs “that allow us to spend less on electricity,” as well as recycling grease from chicken rotisseries for sale to renderers. Read More: https://supermarketnews.com/sustainability/costco-endorses-sustainability-efforts#ixzz2JKNYsYTs

“For CMOs, Agility Is The New Black: Survey” by Jennifer Rooney at Forbes. “…Clearly, CMOs are reluctant to let go the value of intuition and ideas even in the face of—or perhaps because of—the persuasive and pervasive influence of data. Many expressed the danger that comes in relying so much on science such that it stifles creativity. “We use insight to shape beliefs that inform the creative execution, but we don’t ask guests to pick the creative that we run. So much of our advertising is trend- and style-focused, we need to lead the guests. Guests can’t tell us about things they haven’t seen before. We need to use our knowledge of trends and judgment to lead here,” explained Target’s Jones to the researchers.” Read more: https://www.forbes.com/sites/jenniferrooney/2013/01/28/for-cmos-agility-is-the-new-black-survey/

“Marc Andreessen: The Internet Helps Small Businesses Beat Walmart” by Julie Bort at Business Insider. “…Ultimately, these software-as-a-service startups mean that a company doesn’t need a big IT budget to compete, he says: “The classic was Walmart versus local retailer, right? Walmart’s advantage in logistics and in pricing and in data analytics was just so great that they could kill small retailers at will. Today all the consumerized enterprise stuff is as easily usable by the small business as it is by the large business. In fact, it’s probably more easily usable by the small business than it is by the large business.” Read more: https://www.businessinsider.com/marc-andreessen-small-business-beat-walmart-2013-1#ixzz2JKQTZmNz

“Why big-box retail needs a serious upgrade” by Rocky Agrawal at Venture Beat. “One of the biggest challenge facing big box retailers is that online shopping is getting more convenient all the time. Stored credit card information makes checking out a breeze. Expedited fulfillment like Amazon Prime, which offers free two-day shipping, dramatically reduces the delay in getting products. (In many markets, Amazon can deliver many products overnight.) These changes make brick-and-mortar shopping even less convenient by comparison. Last week, I had an experience at a large national electronics chain that highlighted some of these important differences. Some of these can be improved with technology, possibly creating opportunities for startups to plug these holes. Read more: https://venturebeat.com/2013/01/23/why-big-box-retail-needs-a-serious-upgrade/#L18xKGPSvuSgIMoS.99

“Macy’s, Inc. Announces Executive Management Changes” “Macy’s, Inc. today announced a series of changes to its senior executive leadership team, effective immediately. “These adjustments to our senior leadership team provide continuity and strengthen our ability to innovate as we work to maximize results in the years ahead from our core business strategies, including My Macy’s localization, omnichannel alignment, and customer engagement.” Thomas L. Cole is retiring as Macy’s, Inc.’s chief administrative officer after an exceptional 41-year career with Macy’s, Inc. and its predecessor companies. He will remain with the company through May 2013 to affect a smooth transition to several other executives. His responsibilities have been re-assigned as follows…” Read more: https://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130128006360&div=-1245645151

“Target Bringing Fresh Grocery to Stores in Detroit Area” “Target Corp. is pleased to announce that fresh grocery is coming to the Detroit area as part of the company’s ongoing effort to remodel stores across the country. In addition to featuring a large selection of affordable fresh foods, the new layout will include reinventions in several other departments such as beauty, home, shoes and baby, aimed at providing guests with an exceptional one-stop shopping experience. “We’ve heard from our guests that they want more fresh food options in the convenience of their local Target store” “Remodeled stores will include approximately 10,000 square feet dedicated to fresh food, including a curated assortment of fresh produce, fresh packaged meat and pre-packaged baked goods, in addition to dry and frozen offerings. Guests will also find a selection of national food brands, as well as award-winning Target owned brands including Archer Farms premium foods, Market Pantry value staples and meal options, and Sutton & Dodge premium quality USDA Choice beef.” Read more: https://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130128005066&div=-1245645151

“What Does Wegmans Sell for $999 per Pound?” by Pete Kennedy at Malvern Patch. “The produce section in a supermarket isn’t typically a place to find high-end luxuries. But in the corner of the Malvern Wegmans produce section, black truffles, imported from Italy, are kept under lock and key. Located next to other, less expensive mushrooms, the rare, renowned fungi sell for $999.99 per pound.” Read more: https://malvern.patch.com/articles/what-does-wegmans-sell-for-999-99-per-pound

Eye-on-Retail Tipsheet 1/28/12: Target Announces Canada Brands; Shoppercetion

January 27, 2013/in Eye-on-Retail

“How Walmart and Heineken Will Use Shoppercetion to Put Your In-store Experience in Context” by Shel Israel at Forbes. “Retailers are installing 3D sensors directly over the area where customers stand in front of a retail store section. Let’s assume that its breakfast cereals. The sensors will see when a shopper picks up a particular box, seems to be reading ingredients and whether they buy or return the package. It can tell where in a section customers interact the most often. As they reach for a particular cereal—or even just look at it—a display iPad—makes a special promotional offer, either for the box being vied or a competitive offering. To get the deal, all the customer has to do is toss it into her or his shopping cart, and the cash register will automatically adjust the price.” Read more: https://www.forbes.com/sites/shelisrael/2013/01/27/how-walmart-and-heineken-will-use-shoppercetion-to-put-your-in-store-experience-in-context/

“Target Announces Brands Set to Launch in Canadian Stores” “Target today officially unveiled its exclusive partners, owned brands and limited time only collections that will be available to Canadian guests when stores start opening in March/April 2013. Target Canada senior vice president, Merchandising, John Morioka , along with special guests Nate Berkus , Michael Budman , Don Green , Sonia Kashuk , Giada De Laurentiis, and Kate Young unveiled the comprehensive collection of brands at an exclusive event. The announcement demonstrates the company’s commitment to providing Canadian guests with a one-stop shopping destination for affordable, stylish, quality products.” Read more: https://www.prnewswire.com/news-releases/target-announces-brands-set-to-launch-in-canadian-stores-188340911.html

“Amazon Surges to New Highs on Expectation of Positive Holiday Report” by Tricia Duryee at All Things D. “Amazon usually grows at twice the rate of the overall e-commerce market during the fourth quarter. The last three months of 2012 should be no exception. According to comScore’s final tally for the November-December shopping season, online spending in the U.S. totaled $42.3 billion, which was a 14 percent increase over 2011, but fell short of its expectations. Ahead of the Christmas holiday, comScore was anticipating a 16 percent jump in spending. So, if it follows form, Amazon’s year-over-year growth should end up around 30 percent. Read more: https://allthingsd.com/20130125/amazon-surges-to-new-highs-on-expectation-of-positive-holiday-report/

“Vendors compete for Whole Foods spots” by Kim Chappell at ABC 57 News (Video and Text). “In less than three months, the new Whole Foods store is scheduled to open in Mishawaka. But before that can happen, the company is on the prowl for local products to fill the shelves. On Thursday, Michiana vendors got a chance to enter the “shark tank” of natural foods. in a foodie face off. Forty local vendors vied for precious space on the shelves for the new Mishawaka location.” See and read more: https://www.abc57.com/news/local/Whole-Foods-on-the-prowl-for-local-products-188338371.html

“Amazon is busy, but secretive, at Kendall Square offices” by Scott Kirsner at The Boston Globe. “They are building some sort of new device that will have speech as an interface,” said Michael Phillips, a speech recognition entrepreneur who founded Vlingo in Cambridge in 2006. His was among the first companies, even before Apple’s Siri, to devise software for dictating text messages to your mobile phone or initiating Web searches with speech. Phillips said Amazon has hired several Vlingo veterans. The tech industry rumor mill has settled on a mobile phone as Amazon’s secret project. “I think most people would be totally un-stunned by a phone,” said Russ Wilcox, a Framingham entrepreneur who, as a founder of E Ink, worked with Amazon on its Kindle e-book products. And Wilcox notes that it wouldn’t be unusual for Amazon to assign important work to its Cambridge office, such as writing the software necessary for a phone, or perhaps a more futuristic product, like a “wearable” communicator.” Read more: https://bostonglobe.com/business/2013/01/27/amazon-workers-keep-busy-cambridge-but-what-are-they-working/QCe5kORPZ8pgU71Iz4VviL/story.html

“Why I dread going to the Apple Store” by Scott McNulty at MacWorld. “Who doesn’t love going to the Apple Store? Well, me, for one. Sure, I’ve waited in line at an Apple Store opening—I got a t-shirt!—and I’ve also waited in line for the special holiday sale at an Apple Store—I got Mac-themed magnetic poetry!—but instead, I now just wait for the urge to visit an Apple Store to pass. I’m still a fan of what Apple makes, but the retail experience has become less akin to shopping at a high-end boutique and more like going to Walmart (albeit, a well-designed Walmart).” Read more: https://www.macworld.com/article/2026223/why-i-dread-going-to-the-apple-store.html

“Even Sears Shoppers Don’t Care About Sears” by Pam Goodfellow at Forbes. “Sears is often on the receiving end of retailer-related jokes. My favorite is the line uttered by Gary Cole’s Mike Brady in 1995’s camp “classic,” The Brady Bunch Movie: “Put on your Sunday best kids; we’re going to Sears!” Yes, nearly 20 years ago we were laughing at Sears in a movie that aimed to epitomize 1970s kitsch. Outdated indeed. However, the $13.5 million investment that CEO-elect Edward Lampert recently infused into Sears Holdings is no laughing matter. It seems that Mr. Lampert intends to make a serious effort to revive the ailing department store – targeted by many as next in the line of potentially defunct retailers. The department store’s historical performance suggests that Sears cannot rely on its powerhouse Kenmore and Craftsman brands alone to survive in its current state. So if Sears is serious about making a comeback – and cultivating a legacy – it’s time the retailer took a hard look at three major problems it’s facing in the very competitive women’s apparel category.” Read more: https://www.forbes.com/sites/prospernow/2013/01/22/even-sears-shoppers-dont-care-about-sears/

“Supervalu gives $23M in ‘golden parachutes’ to four executives” by Ed Stych at Minneapolis/St. Paul Business Journal. “Supervalu, which recently announced a $3.3 billion deal that changes control of the company, is giving $22.78 million in “golden parachutes” to four executives, with CEO Wayne Sales receiving more than half the total. Sales, who became the grocer’s CEO last July, will receive $12.8 million when he leaves the company, according to documents filed with the U.S. Securities and Exchange Commission. Of that, $8.1 million will be in the form of cash and $4.7 million will be in equity.” Read more: https://www.bizjournals.com/twincities/news/2013/01/26/supervalu-ceo-sales-golden-parachute.html

“Stater Bros. CEO lauded for career” at MMR. “When Jack Brown joined Stater Bros. Markets in 1981, the chain had 79 supermarkets, 3,300 employees and about $475 million in annual sales. Under Brown’s leadership (he has served as the company’s president and chief executive officer for 32 years and its chairman for 27 years) Stater Bros. has grown dramatically. It now has 167 supermarkets, about 18,000 employees, and annual sales of about $4 billion…For these accomplishments, the editors of MMR are recognizing Jack Brown with the publication’s Lifetime Achievement Award.” Read more: https://www.massmarketretailers.com/inside-this-issue/news/01-14-2013/stater-bros-ceo-lauded-for-career

Archive for year: 2013