June 8, 2017
Mum's the word
Retailer buying alliances are often a hard nut for journalists to chew. Their executives are even more secretive than discounters and inhabit a cloak-and-dagger world that would appeal to Zorro. They only seem to meet behind closed doors or in airport lounges. It is virtually impossible to obtain their photo. You can never phone them directly. If calls are returned at all, it is via their assistants at HQ so that no inference can be made as to their location. If one writes, at best one will receive a few sibylline words within a cryptic email which pose more questions than they answer. Surprisingly, the MD of one buying alliance agreed to connect on LinkedIn, only to delete the connection when asked a question. Given the penchant for secrecy within his peer group, one can only thank Bert Swartsenburg, Managing Director of AMS-Sourcing, for a brief update on the activities of this major European buying group. He weighs his words carefully, but this is a manager who has not forgotten the art of communication.
June 6, 2017
INTERNATIONAL. FASHION. BUSINESS
Do you have a passion for fashion? Are you an industry professional keen on following the international fashion business? Want a daily update, but fed up with the flood of unfiltered information in your email in-box? Then subscribe to our free daily English-language newsletter: THE SPIN. The trick, of course, is in the curation, and that's where our publishing company has two trump cards in its hands. Want to know more, before you hit the subscription button and join a trendy international community?
June 6, 2017
Not to be outdone by fellow discounter Aldi and Jette Joop, the US subsidiary of Lidl has joined forces with German supermodel Heidi Klum in a new fashion campaign. Lidl US announced today its first ever collaboration with the international fashion icon and designer. Heidi's new collection, which mirrors her characteristic style, will be available exclusively at Lidl and will launch across its network of stores later this year. With her vast expertise and success in the fashion industry, Heidi Klum has carefully designed a high-end, yet affordable fashion collection for Lidl, making the range accessible for everyone. Lidl's customers across Europe and the USA can look forward to seeing Heidi's exclusive collection launch later this year. Klum commented: "Lidl is known for making quality products at affordable prices, and I'm proud to partner with them on this fashion collaboration. I had so much fun designing the pieces in this collection and can't wait for you to see it." Well, neither can we, Heidi...
June 1, 2017
The decision by The Consumer Goods Forum to hold its 61st global summit this year in Berlin from June 20 to 23 is an honour for Germany. It also reflects the size and dynamism of the local market. Yet surprisingly only 25 of this influential trade body's 400 world-wide members, equally divided between retailers, manufacturers, and service providers/industry associations, come from Germany*. However, they number such heavyweights as Metro, Rewe or Henkel, and speakers at this year's venue include the CEOs of local retail giants Edeka and dm. Doubtless, representatives of secretive discounters Aldi, Lidl, and Kaufland will also attend the event, albeit with upturned collars and shaded glasses. But the mere presence of the good, great and beautiful doesn't protect any organisation, however illustrious, from becoming a mere talk shop. So we put Managing Director Peter Freedman through his paces and challenged him on how much progress the forum has made on international issues of vital strategic interest to the trade.
May 19, 2017
Only days after Premier Xi Jinping announced his party's $900bn 'Belt and Road' initiative, Lidl is nearing completion of an online shop in the People's Republic. Like arch-rival Aldi, the German discount giant has chosen Alibaba's Tmall Global as its B2C platform. Although even the soft launch won't be until the end of May, the site can already be seen under https://lidl.tmall.hk/. Customers will initially be able to choose from around 60 food lines. These dry goods include breakfast products, such as Maribel raspberry jam or Crownfield granola, as well as pasta and cooking ingredients such as Balsamic vinegar. The offer is essentially own label. Unlike Aldi, who imports from Australia, Lidl is sourcing directly from Germany via its buying subsidiary in Hong Kong. So what else is new?
May 4, 2017
When in Hollywood movies the bad guy asks the action hero's name, the cult answer is: "Your worst nightmare." As from today, German food retailers will at least find out whether Amazon Fresh is a game changer. They have certainly long been in denial. In a relentless hunt for sales, without even a cursory glance at the return on invested capital, local bricks & mortar retailers still can't build enough physical stores. This inexorable process has continued, regardless of how late such stores may be in their life cycle; regardless of the fact that Germany is already overstored by at least a third; and regardless of the growing consumer trend towards internet shopping. For years would-be pundits have comforted themselves by saying that the German market is so dominated by hard discounters that no online food retailer could ever make a profit here. For those readers who are not quite so sure, it might be worth looking at what Amazon has just begun in parts of Berlin and Potsdam.
April 28, 2017
It was a good year in the making, but well worth the wait: Today we are proud to announce the launch of our new retail data analysis platform, LZ Retailytics. As the strapline 'Smart Intelligence for Grocery Retail in Europe' implies, its mission is to provide the food retail industry and its business partners with insight, analysis and forecast data to support their business in Europe. This English-language digital and mobile platform will also deliver workshops, training courses and projects. LZ Retailytics tracks and analyses the business development of more than 1,000 grocery retail banners in 40 European countries. Want to know more?
April 27, 2017
Enter the dragon and bring on the girls
It was some Grand Opening in Shanghai this Tuesday. Five weeks after the soft launch, Aldi Süd (Aldi South), Germany's most profitable discounter, officially presented its new online shop to the People's Republic of China. No pains or expense were spared for the official ceremony at the Waterhouse in Shanghai. The gentle-voiced and incredibly popular, local singer Chen Kun had been recruited for the occasion. Perhaps a little incongruously for a retailer whose initial offer only includes 100 own-label food lines, the audience were also treated to a fashion show where young ladies with willowy bodies strutted their stuff on the catwalk. Of course, it could all have been just a glamour item, but perhaps the privately-run retail giant is hinting at introducing its successful fashion collection to the Middle Kingdom? At any event, when one considers that Aldi has opened an office with 40 staff in the centre of Shanghai and a big distribution centre in the port of Ningbo, its cooperation with Alibaba B2C platform Tmall Global looks far more than a toe-dipping exercise in the South China Sea. And as journalists we can only exult because the low-profile retailer authorised country manager Christoph Schwaiger to talk with Lebensmittel Zeitung.
April 12, 2017
The heinous and cowardly terrorist attack in the heart of the Swedish capital last Friday was above all things a crime against humanity and another sad chapter in man's seemingly limitless capacity for inhumanity towards his fellow man. As with the hostage-taking at the Westgate Shopping Mall in Nairobi in September 2013, this tragic event regrettably also has a retail context. A hijacked lorry was first deliberately driven at shoppers on Drottninggatan, Stockholm's busiest shopping street, and then into Sweden's largest department store Åhléns City. All responsible retailers will therefore again be asking themselves what more they can do to protect their customers. Few, understandably, wish to discuss their security measures in public. We therefore asked Will Geddes, CEO of International Corporate Protection in London, for his advice on enhancing retail security.
March 9, 2017
P is for pasta, A is for Aldi
Mamma mia! Fruitbook Magazine has actually flown over Aldi's first distribution centre in Italy and shot some photos. The site in Oppeano, 20km from the centre of Verona, is still under construction. But, as the picture taken in mid-February below shows, the German discount giant is well on the way to setting up shop in Venetia. One real estate developer tells us that Aldi is already searching for another DC of around 60,000m² to the south of Milan. Luigi Rubinelli, managing editor of RetailWatch, believes this could be in the vicinity of Piacenza. He also says that Aldi has just signed the lease on a first store in Merano. True to form, Hofer, Aldi South's Austrian subsidiary responsible for group expansion in bella Italia, remains tight-lipped. This gives free rein to speculation on how big the company wants to become south of the Alps. So what have we been able to piece together for our readers so far?