Retail insight on January 7th 2010

January 7, 2010

News for the retail industry

Previous Issues

 

News

Wal-Mart to bring private label suppliers to India Livemint Several global companies from whom Wal-Mart Stores Inc. sources consumer goods for its private labels business are seeking an entry into India to profit from the growing importance of organized retailing in one of the world's fastest growing economies. Most large retailers in India such as Pantaloon Retail (India) Ltd, Aditya Birla Retail Ltd, Spencer's Retail Ltd and Reliance Retail Ltd are pushing private labels to capture a larger share of consumer spending in their stores.

Esprit expects to double topline growth in India Financial Express High street brand Esprit is expected to almost double its topline in FY 2010-11 by adopting a brand refresh strategy. The strategy includes offering value-added products at a better price point.

Ideal Hospitality to open 36 Aromas cafes ImagesFood.com Ideal Hospitality Private Ltd (IHPL) plans to increase its number of coffee joints -- Aromas to 36 by December this year. Aromas, the Australian coffee retail chain tied-up with the Mumbai-based IHPL last year to enter the Indian and Southeast Asian markets.

Retail Trends

Agenda 2010 for the retail sector Business Line FDI in multi-brand retailing, industry status and easier regulatory norms ... a peek at the retail wish-list. Industry players anticipate the implementation of the Goods & Services Tax, which they believe would resolve multiple taxation issues and maintain uniform prices across geographies.

Organised retail fails to blunt inflation Business Standard There seem to be no signs of organised retail blunting food inflation. Prices at organised retail outlets for key commodities, like onions and potatoes, are higher than at the neighbourhood store.  This belies the original promise of the "farm-to-fork" model, which envisaged a higher price for the farmer and a lower price for the consumer on the back of efficient supply chains.

Luxury Brand Logos Still Draw Shoppers in Asia Wall Street Journal Counterfeiting is often seen as the bane of luxury retailers--but it may drive well-heeled Asians to fixate more on name-brand logos than wealthy consumers in the West, according to market research firm Synovate Ltd. in a study to be released Thursday delving into global attitudes about luxury brands.

State mulls ban on import of plastic bags Mumbai Newsline Following the clampdown on illegally manufactured plastic bags below 50 microns, the Maharashtra Pollution Control Board (MPCB) is planning to ban large scale import of plastic bags into the state. Agreeing that customers and users have to be restricted to reduce the use of plastic, Valsa Nair Singh, environment secretary, said, "We plan for a proposal to levy a 30 per cent green tax on consumers demanding plastic bags from stores and hawkers."

Retail Insight

Shrinking Shrink: Best Practices for Managing ShrinkPark City Group The key to managing shrink is a combination of employee awareness and training, industry best practices, and the use of technology. Hiring honest employees can reduce shrink by 13%. Things like background checks, previous employment verification, and written integrity surveys help ensure a more honest employee.