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Facebook Outlines Mobile Beauty Shopping Behavior

November 17, 2016: 12:00 AM EST
A paper published by Facebook looks at how the beauty industry is using and being changed by mobile, and outlined seven key insights in a concluding “cheat sheet”. Its main takeaways included the observation that m-commerce is now mainstream and taking an increasing share of beauty and personal care purchases. It also noted how mobile is being used within physical stores to help consumers in their purchase decisions, and predicts that everyone will be mobile shoppers within 10 years. It found that shoppers are encouraged to pursue beauty purchases by content on Facebook and Instagram, but it also said that there’s more to do in mobile to make the shopping experience more convenient and frictionless. [ Image credit: © Innocenti ]
"Facebook Beauty Beyond ", Facebook, November 17, 2016, © Facebook
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New and Established Indie Brands Are Driving Growth In Beauty

November 2, 2016: 12:00 AM EST
The indie beauty industry is thriving, driven by 90s brands like Urban Decay that are becoming mainstream, as well as emerging brands focused on specific areas and needs, all fueled by social media. A June report from Tribe Dynamics stated that independent brands saw double-digit growth between 2009 and 2014, over four times the pace of the cosmetics market as a whole. Big beauty companies, like L’Oreal, and other large companies with ambitions in beauty, like Unilever, are also snapping up indie brands, but there are concerns about whether these new parents will retain the brands’ independence. The Internet is intensifying customer empowerment, with the younger generations particularly skeptical of advertising claims and more willing to accept influencer opinions and reviews. In return, the brands are improving transparency and communication. The Internet is also allowing brands to sell without retailer accounts, by launching direct-to-consumer platforms and leading engagement online. Tribe Dynamics highlights Anastasia Beverly Hills as the fastest growing brand with over $10 million in sales annually. It engages regularly with over 400 influencers and is in top spot at Instagram with more than 11.5 million followers. Retailers are realizing the indie brands’ appeal, with Sephora, for example, rolling out its indie brand distribution platform, Scouted by Sephora, in 2015. [ Image credit: © Emma Kim ]
Belisa Silva, "Indie Brands Lead Beauty Industry Growth", Beauty Packaging, November 02, 2016, © Rodman Media
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Walgreens Customers Can Now Buy Online, Pick Up At Store, For Free

October 17, 2016: 12:00 AM EST
Pharmacy chain Walgreens is following the lead of other big retailers by unveiling program that allows customers to buy online or on the phone and then pick up the purchase at a store. The new Ship to Store program, available at 7,600 Walgreens and Duane Reade stores, features free shipping with no minimum order requirement. Orders can be picked within one to three days of purchase. Online purchases can also be delivered to the home for free with a minimum order of $35.
David Salazar, "Walgreens introduces Ship to Store program", Drug Store News, October 17, 2016, © Drug Store News
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Consumers Prefer To Buy CPG From Brick-And-Mortar Stores

October 11, 2016: 12:00 AM EST
Consumers prefer to buy consumer packaged goods from a brick-and-mortar store, according to the report, “CPG Ecommerce in the US: Expectations and Strategies for Growth.” Results of the February‒March 2016 study of Amazon by Cowen and Company revealed 78 percent of 2,500 adult respondents purchased their groceries at a supermarket in the past 30 days, with 61 percent saying Wal-Mart, and only 8 percent saying they bought online. Meanwhile, 90 percent of respondents had bought grocery or food in a physical store in the past year, according to a February 2016 study by PR firm Walker Sands Communications.
"Consumers Just Aren't into Buying Packaged Goods Online", eMarketer, October 11, 2016, © eMarketer Inc.
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Carrefour Italy Reveals New Look Of Online Store

October 11, 2016: 12:00 AM EST
Carrefour revamped its online shopping business in Italy. Since September 27, 2016, the retailer's e-commerce website allows customers to do their shopping with fewer clicks than before. Also, the online retail service lets shoppers pick up their order at the company's nearest store or avail of home delivery service. Carrefour Italy's e-commerce site combines online content with the online shopping service, allowing customers, for example, to buy ingredients for the recipe they are viewing in the site's magazine section.
"Carrefour’s e-commerce service is getting a new look in Italy", Carrefour, October 11, 2016, © Carrefour
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Wal-Mart Plans To Slow Down Expansion In US

October 11, 2016: 12:00 AM EST
Wal-Mart Stores Inc. said it will not close stores but will open new locations at a slower pace in fiscal year 2018. During its latest investor meeting, the retailer announced plans to build 35 new supercenters and 20 Neighborhood Markets, compared with 69 supercenters and 161 Neighborhood Markets in 2015. Also, the company announced its fiscal year 2017 capital expenditure for Walmart US will be $6.4 billion, compared with $6.8 billion in the previous year. For fiscal 2018, capex drops further to $6.1 billion, the company said. As Wal-Mart battles with Amazon for market share, the company will rely more on same-store sales and growth in e-commerce, technology, and other areas.
Tonya Garcia, "Wal-Mart to take on Amazon with upgrades to its bricks-and-mortar stores", MarketWatch, October 11, 2016, © MarketWatch, Inc.
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Dutch Web Retailer Now Offers 300K Items For Same-Day Delivery

October 10, 2016: 12:00 AM EST
Web retailer Bol.com, a unit of Dutch company Ahold Delhaize, says it has expanded its delivery capabilities to include same-day home delivery. The “Delivered Today” option is available in The Netherlands for 300,000 items if orders are placed by noon. The expansion of capabilities also includes home delivery of regular orders to seven days a week. The company introduced next-day delivery in 2011. Its goal is to increase the number of products available for seven-day, same-day delivery to a million within “a few years.”
"Global first: bol.com makes a breakthrough with same-day delivery", News release, Ahold Delhaize, October 10, 2016, © Ahold Delhaize
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Line Separating Online And Offline Retail Continues To Blur, Report Says

October 10, 2016: 12:00 AM EST
In 2016, the retail market will see several current trends intensify and further shrink the gap between ecommerce and brick-and-mortar retail, according to the report, “US Holiday Ecommerce Preview 2016: Mobile to Fuel Explosive Ecommerce Growth,” by eMarketer. Data from the market research firm predict retailers will adopt improved fulfillment options, local advertising tools, offline attribution, and omnichannel platforms. Also, mobile is helping close the gap between the two segments, a trend forecast to become more pronounced in the 2016 holiday season.
"Gap Between Online and Offline Commerce Is Shrinking", eMarketer, October 10, 2016, © eMarketer Inc.
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Amazon Most Visited Online Store In France, Study Reveals

October 7, 2016: 12:00 AM EST
In France, more than six in 10 consumers who shop online and had made at least one online purchase in the past six months had shopped at Amazon, according to the Federation du E-commerce et de la Vente a Distance and Mediametrie. Amazon was the most visited site with both PC and mobile, accounting for 30 percent of internet users on both platforms—15 million average monthly unique desktop and laptop visitors in the second quarter and 10.4 million on mobile. Data showed Amazon was the only one on the top 10 that is not based in France.
"Where Do Digital Buyers in France Shop?", eMarketer, October 07, 2016, © eMarketer Inc.
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Amazon Settles On Flat Monthly Fee For Online Grocery Delivery Service

October 6, 2016: 12:00 AM EST
The online grocery shopping service AmazonFresh is now cheaper for Prime members. The service, originally priced at $299 per year, later shifted to a $7.99 per delivery scheme, but is now being offered at $14.99 a month to Amazon Prime subscribers. AmazonFresh is now live in the Boston area, in addition to Baltimore, Seattle, major cities in California, the New York metro area, northern New Jersey, the Philadelphia metro, Northern Virginia, Stamford (Conn.), Trenton (N.J.) and London (U.K.). Customers can order by 10 a.m. for same-day delivery by 6 p.m., or order by 10 p.m. for delivery by 6 a.m. the following day.
Sarah Perez, "AmazonFresh Drops to $14.99 Per Month for Prime Members", Tech Crunch, October 06, 2016, © AOL Inc.
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Household Care Leads Strong Growth In CPG Online Sales

October 1, 2016: 12:00 AM EST
Online sales of household care products grew 42 percent in 2015, compared with the previous year. In contrast, overall online sales of consumer packaged goods rose 30 percent during the same period. Among household segments, laundry detergents grew the fastest at 85 percent, with Procter & Gamble's Tide brand grabbing the number 1 spot in the US in both online and offline sales. Factors helping online retailers succeed in expanding sales of household care products include selling in bulk and automation of the re-ordering process. Online retailers' profitability is driven by factors including price-to-weight ratio and price pack architecture.
Keith Anderson, "Sales of Cleaning Supplies Are Booming In the eCommerce Channel", CPG Matters, October 01, 2016, © CPG Matters
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Wal-Mart Looks At Acquiring Minority Stake In India's Flipkart

September 29, 2016: 12:00 AM EST
Wal-Mart Stores Inc. is reportedly negotiating to invest as much as $1 billion in India-based online retailer Flipkart Online Services Pvt. Valued at about $16 billion, Flipkart is the largest online retailer in the country; however, its hold on the market is under assault by Amazon and other rivals. Under the proposed deal, Wal-Mart would acquire a minority stake in the online retailer. Such a deal would significantly benefit both parties, enabling both Wal-Mart and Flipkart to expand their operations in India, the third most important e-commerce market after the US and China.
Saritha Rai, "Wal-Mart Is in Talks to Invest Up to $1 Billion in Flipkart", Bloomberg Technology, September 29, 2016, © Bloomberg L.P.
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Online Marketplace For Excess Fruits, Vegetables Goes Live In U.K.

September 27, 2016: 12:00 AM EST
A British entrepreneur has created an online marketplace where supermarket buyers of food can find and purchase excess produce from growers quickly and easily. Fruitspot has attracted 600 users who can benefit from supply and demand imbalances. Growers can advertise excess stock ready for sale, and buyers can post notices of what they need for their stores. Users notify a verified network of buyers or sellers to receive quotes that solve their needs very quickly, according to Fruitspot founder Jose Baptista.
Kevin White, "Fruitspot Fruit & Veg Online Marketplace Goes Live", The Grocer, September 27, 2016, © William Reed Business Media Ltd
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Selling Surplus Food Is Easier With New Online Auction Marketplace

September 21, 2016: 12:00 AM EST
Selling surplus food – caused by overruns, irregular sizing, package changes, discontinued items, overstock, etc., – is a real hassle because the process is “chaotic, difficult, frustrating and extremely time consuming.” The key problem is the lack of a true marketplace where surplus product is exposed and sold. That problem may be solved, however, with the emergence of My FoodBids, a sort of eBay for food. The auction-style online marketplace is a quick, easy and safe way for food manufacturers, distributors and wholesalers to sell surplus inventory anonymously. The service is free to buyers; sellers pay a standard 10 commission on a sale.  It is designed to encourage higher bid prices, and faster sales, through open bidding without pricing caps. 
"My FoodBids: The First Online Food Auction Marketplace for Surplus Foods. Think Ebay for foods", News release, My FoodBids, September 21, 2016, © My FoodBids
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Tesco Lotus Collaborates With Lazada To Offer Online Shopping In Thailand's Non-Urban Regions

September 20, 2016: 12:00 AM EST
Tesco Lotus has partnered with online retailer Lazada to offer online shopping to customers living in Thailand's upcountry regions. While consumers in Bangkok use online shopping websites, such as Lazada and Zalora, very few people in the country's interior regions shop online. As part of the partnership deal, Tesco Lotus has installed Lazada kiosks in the company's Tesco Lotus Express and Talad locations.
"Tesco Lotus attempts to introduce online shopping to customers in upcountry", Coconuts Bangkok , September 20, 2016, © Coconuts Bangkok
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Amazon Leads In Europe's Online Retail Market, Report Says

September 19, 2016: 12:00 AM EST
Amazon was the largest online retailer in Western Europe in 2015 in terms of revenue, according to the report, “Fung Global Retail & Technology Internet Retailers Ranking for Europe.” In 2012‒2015, Amazon increased its market share in Germany from 36 percent of all online sales to 43 percent, according to Euromonitor. Zalando improved its profitability during the period, according to S&P Capital IQ, becoming one of Europe's largest online retailers in the process. UK-focused online retailer John Lewis saw its online sales expand at a CAGR of 23.4 percent during the period covered by the report.
"Identifying E-Commerce Winners: Our Ranking For Western Europe", Fung Global Retail & Technology, September 19, 2016, © Fung Global Retail & Technology
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Walmart Says It Has Finalized Purchase Of Jet.com

September 19, 2016: 12:00 AM EST
Wal-Mart Stores, Inc., said it has completed its acquisition of online retailer Jet.com, Inc., after the expiration of the federally mandated waiting period. Expected to help the retail giant accelerate its e-commerce expansion efforts, the purchase deal was valued at approximately $3 billion cash and $300 million in Walmart shares. As part of the deal, Jet.com founder and CEO Marc Lore joins Walmart as EVP and president and CEO of Walmart eCommerce in the US.
"Walmart Completes Acquisition of Jet.com, Inc.", Walmart, September 19, 2016, © Wal-Mart Stores, Inc.
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Ahold Gears Supply Chain For Online Success

September 13, 2016: 12:00 AM EST
Retail company Ahold has reorganized its supply chain to support its online business, which it aims to grow to €2.5 billion by end of 2017. Ahold's online-business-focused supply chain structure features various fulfillment options, as well as flexibility in delivery services and pick up points for customers. According to the retailer, its supply chain has been revamped to promote operational excellence in fulfilling online orders.
"Ahold Delhaize: driving excellence in online operations", Retail Analysis, September 13, 2016, © The Institute of Grocery Distribution and IGD Services Limited
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Amazon Plans To Open 100 Stores In US

September 12, 2016: 12:00 AM EST
Amazon plans to open around 100 pop-up stores in shopping malls in 2017, according to Business Insider. Aimed at selling the online retailer’s lineup of electronics, including its Amazon Basics devices, the stores will occupy about 300 square feet to 500 square feet of mall space. With Amazon introducing private-label devices, the company’s pop-up stores are likely to pose a threat to electronics retailers, such as Best Buy and Staples.
Aimee Picchi, "Amazon May Roll Out of Dozens of Pop-Up Stores", CBS News, September 12, 2016, © CBS Interactive Inc.
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Virtual Reality And Augmented Reality Offer Retailers New Ways Of Reaching Customers

September 9, 2016: 12:00 AM EST
Virtual reality and augmented reality technologies are expected to significantly affect the retail industry. Retailers seeking to integrate VR and AR into their business models should first decide which technology to use for specific applications, then determine whether the application is for in-store or out-of-store use. Also, retailers need to identify their customers who would prefer an AR or VR solution, then establish the technology's value proposition. Retailers need to connect the solution to their business model, establishing measurable financial or customer-engagement objectives to make sure the VR/AR solution is creating value for the business.
Dan McKone et al, "Virtual and Augmented Reality Will Reshape Retail", Harvard Business Review, September 09, 2016, © Harvard Business School Publishing
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Cyzone Cosmetics, ModiFace Launch Mobile App For Trying On Makeup

September 6, 2016: 12:00 AM EST
Cyzone Cosmetics partnered with ModiFace to launch the Cy MakeApp mobile application for the iOS and Android mobile platforms. Featuring ModiFace's facial tracking and makeup rendering technology, the mobile app allows consumers to virtually try on cosmetics on live video.
"Cyzone Cosmetics, in Partnership With ModiFace, Launch Latin America's First Live-3D Augmented Reality Makeup App", Marketwired, September 06, 2016, © Nasdaq, Inc.
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Carrefour Launches E-Voucher Program In Taiwan

August 31, 2016: 12:00 AM EST
Carrefour launched the Carrefour Ticket Xpress, the retailer's first digital voucher service, in Taiwan. Developed by France-based corporate services company, Edenred, the e-voucher is designed to support retail and mobile payment systems. According to the retailer, the e-voucher program is available at loyalty programs offered by various service provider, such as banks, payment apps, and online stores. Consumers participating in the program can use their reward points to have their e-voucher delivered to their mobile phones. By scanning the barcode at any of Carrefour's 87 stores across the country, consumers can use the e-voucher to pay for their purchases.
"Carrefour Taiwan launches e-voucher platform", Retail Analysis, August 31, 2016, © The Institute of Grocery Distribution and IGD Services Limited
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Online Sales Of Hair Care And Color Products Growing, Report Shows

August 25, 2016: 12:00 AM EST
Online sales of hair care and color products are growing, according to market research firm L2. Data from the report, “Hair Care & Color,” revealed e-commerce share of retail sales of haircare products grew 14 percent year on year. Lower-margin consumer brands are driving online sales, the company said.
Homa Zaryouni, "Why Hair Care Brands Should Work With E-Tailers", L2 Daily, August 25, 2016, © L2 Inc.
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Tesco Announces 3-Hour Store Pick-Up Service In UK

August 24, 2016: 12:00 AM EST
UK retailer Tesco plans to offer a service that will allow customers to pick up their purchased items from any of the company's 300 stores within three hours after placing their order online. Accounting for about 10 percent of the country's grocery spending, online orders are forecast to rise to ₤15 billion by 2020, according to market research firm Mintel. Tesco's latest offering helps it get farther ahead of rival J Sainsbury, which began testing a same-day delivery and collection service in July 2016.
Mark Vandevelde, "Tesco offers 3-hour online order collection", Financial Times, August 24, 2016, © The Financial Times Limited
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Walgreens Balance Rewards Loyalty Program Embraces Android Pay

August 23, 2016: 12:00 AM EST
Walgreens added the Android Pay mobile payment platform to its Walgreens Balance Rewards customer loyalty program. Aimed at accommodating program members who own non-iOS mobile devices, the integration will allow Android smartphone users to also enjoy “more seamless checkout experiences” previously available only to iPhone users. Benefits offered by Balance Rewards include faster checkout process and easier ways of earning and redeeming points. Android Pay is available for download from the Google Play online store.
Alex Samuely, "Walgreens Expands Mobile Payments Portfolio Via Android Pay-supported Balance Rewards", Mobile Commerce Daily, August 23, 2016, © Napean LLC
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India’s Food Safety Regulator Announces Initiatives To Promote Safe Food

August 23, 2016: 12:00 AM EST
The Food Safety and Standards Authority of India has unveiled a set of initiatives to promote safe food in a variety of venues. The ten initiatives, launched on the anniversary of the Food Safety and Standards Act of 2006, will target homes, schools, offices, trains and railway stations, restaurants and religious facilities. FSSAI, for example, will provide a comprehensive guide to households and create a dedicated website for safe and nutritious food at home. It will  prepare a list of high fat, sugary and salty junk foods to ensure food safety and nutrition in schools. And it will require businesses that provide mid-day meals to be licensed by the FSSAI.
"FSSAI Announces Initiatives to Promote Safe Food Culture", The Economic Times, August 23, 2016, © Bennett, Coleman & Co. Ltd.
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Retail Ecommerce Sales Expected To Grow Faster Than Overall Market In 2016 Through 2020, Report Shows

August 22, 2016: 12:00 AM EST
Total retail sales worldwide are forecast to grow 6.0 percent to $22.049 trillion in 2016, according to eMarketer. Data from the report, “Worldwide Retail Ecommerce Sales: The eMarketer Forecast for 2016,” growth will continue albeit in slower rates to reach $27 trillion in sales by 2020. According to the market research firm, retail ecommerce sales will reach $1.915 trillion in 2016, or 8.7 percent of the world’s total retail spending. Unlike the overall retail market’s slower growth rate during the period covered by the study, retail ecommerce sales are forecast to jump 23.7 percent in 2016. In 2020, retail ecommerce sales will grow to $4.058 trillion, accounting for 14.6 percent of total retail spending, the company said.
"Worldwide Retail Ecommerce Sales Will Reach $1.915 Trillion This Year", eMarketer, August 22, 2016, © eMarketer Inc.
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Charlotte Tilbury Launches Fragrance With Virtual Reality Experience Featuring Kate Moss

August 19, 2016: 12:00 AM EST
Makeup artist Charlotte Tilbury launched a virtual-reality-enabled marketing campaign to promote the launch of her first fragrance, Scent of a Dream. Featuring supermodel Kate Moss, the VR campaign was created in partnership with content production studio Happy Finish and film director Antoine Wagner. Reportedly the first of its kind, the campaign was shot using the Nokia OZO VR camera.
"Charlotte Tilbury Launches World's First 360° Virtual Reality Experience Starring Kate Moss", Little Black Book, August 19, 2016, © LBB Ltd.
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Seafood Quick-Service Chain’s Mobile Campaign Explains Sustainability Efforts

August 19, 2016: 12:00 AM EST
Fast-seafood chain Long John Silver’s has launched a social responsibility mobile ad campaign with a video on sustainability that highlights its primary menu items – 100 percent wild-caught Alaskan pollock and cod – and tells viewers about its continuous monitoring of Northern Pacific waters. Fishing quotas for the two fish species are regularly adjusted to ensure the species’ strength and survival. The two-minute video was filmed in Alaska and features narration alongside clips showing the state’s Pacific shores. Other videos in the campaign appearing on Vine, YouTube and Facebook, will discuss family and food quality.
Alex Samuely, "Long John Silver’s Highlights Corporate Sustainability With Snackable Mobile Videos", Mobile Marketer, August 19, 2016, © Napean LLC
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Walmart’s Stellar Online Sales Quarter Also Saw A Rise In Store Traffic

August 18, 2016: 12:00 AM EST
After several years, and billions of dollars in investment, Walmart is finally reporting an upbeat online sales picture. Second-quarter (ending July 31) online sales leapt 11.8 percent, after nine quarters of sluggishness. The encouraging sales report, observers say, was due to a mix of factors, including the roll-out of its Walmart Pay mobile app, expansion of free grocery pickup for online orders, and the launch of an Amazon Prime-like subscription service. But perhaps most encouraging was the fact that Walmart succeeded in boosting store traffic –  up 1.2 percent – while increasing online buying. The results prove the company’s strategic axiom: digital sales and store sales must be symbiotic.
Phil Wahba, "Here's How Walmart Is Reigniting Its E-Commerce Growth", Fortune, August 18, 2016, © Time Inc.
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Australian Online Produce Firm Expands With More Items, Free Delivery

August 16, 2016: 12:00 AM EST
An Australian online retailer that once specialized in fresh produce has launched what it calls The General Store, an expanded grocery store with free delivery service that requires no minimum purchase. Aussie Farmers Direct, which began 11 years ago as a source of fresh produce, now offers 170 Australian-sourced fruit and vegetables, dairy, bread, deli items, meat, chicken, seafood, pasta and fresh gourmet meals. The new delivery program puts the company in direct competition with big online grocery marketers like Coles and Woolworths, providing an alternative for shoppers and for food producers looking for a new sales channel.
Eloise Keating, "Aussie Farmers Direct Takes on Coles and Woolies with Online Grocer The General Store", Smart Company, August 16, 2016, © Private Media Pty Ltd. Publishers of SmartCompany
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Lidl Builds Expanded IT And Data Hub

August 16, 2016: 12:00 AM EST
Discount retailer Lidl plans to upgrade its warehouse data and install new IT tools in order to improve market and consumer insight. By building a new data hub, which involves the rollout of an integrated business intelligence system combining a Teradata data warehouse structure DWH 4.0 with SAP and Business Warehouse module, Lidl aims to be able to perform Big Data analysis. Lidl’s move to the Hana platform will enable Lidl to assess huge volumes of data from the SAP ERP system. Also, the data hub will include BI tools and Big Data tools from MicroStrategy, SAS, Ab Initio, and Hadoop.
"LIDL Investing In Robust Data", Retail Analysis, August 16, 2016, © The Institute of Grocery Distribution and IGD Services Limited
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Carolina Herrera Launches Good Girl Perfume With Campaign Daring Girls To Be Bad

August 16, 2016: 12:00 AM EST
Carolina Herrera introduced its Good Girl brand of perfume by launching a campaign featuring fashion model Karlie Kloss. As part of the campaign, Kloss appears on a video portraying a Good Girl as somebody who does not feel guilty for “disturbances” caused by her appearance. Also, a website features additional information about the brand.
Sarah Jones, "Carolina Herrera Fragrance Effort Dares Good Girls To Try Bad Decisions", Luxury Daily, August 16, 2016, © Napean LLC
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Snack Maker Associates Brand With Kindness In New Mobile Marketing Ploy

August 15, 2016: 12:00 AM EST
Kind Snacks is trying a new mobile marketing strategy that links "kindness" with a snack bar reward. The strategy allows Kind to reach more mobile users while putting the brand in a positive light. Consumers show their appreciation for family and friends by sending an ecard via Facebook, Twitter or email. The family member then enters an email address – or Twitter username or Facebook name – to claim a free Kind granola snack bar. Recipients can claim their reward within seconds and then participate themselves in the “pass it on” campaign. The gimmick is just one of a number of ways CPG marketers are boosting mobile engagement while getting the word out on their products.
Alex Samuely, "Kind Snacks Unpacks Brand Awareness Via Mobile-Driven Product Giveaway", Mobile Marketer, August 15, 2016, © Napean LLC
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Supermarkets Turn To “Experiential Retailing” To Grow Market Share

August 15, 2016: 12:00 AM EST
Though 25 percent of U.S. grocery shoppers say they are spending more at supermarkets, Mintel data show otherwise. Consumers are actually more likely to shop for groceries at other channels, like mass merchandisers, warehouse clubs and drug stores. Nearly two in five consumers shop secondarily at Walmart, the highest retailer “also shopped” for groceries. Total U.S. multi-outlet sales of groceries will rise 2.5 percent this year to $652 billion, but supermarket sales will grow only 1.9 percent to $317.8 billion. The result? To compete, grocers are turning to innovation and experiential retailing to hold onto or grow market share. For example, ShopRite in Morristown, N.J., offers an in-store restaurant, juice bar, oyster bar and a daycare center for shoppers with children. A store in Hanover Township (N.Y.) includes a fitness studio and a cosmetologist on weekends.
Diana Smith, "US Grocery Stores Struggle To Keep Up", Blog entry, Mintel, August 15, 2016, © Mintel Group Ltd.
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India's Online Retail Market Expected To Keep Growing, Report Says

August 15, 2016: 12:00 AM EST
Retail ecommerce sales in India will grow 75.8 percent to $23.39 billion in 2016, compared with 2015, according to eMarketer. Data from the market research firm’s report, “India Retail Ecommerce 2016: The Relentless Rise in Mobile Sales,” predicts strong growth during the next few years, with sales reaching $79.41 billion in 2020. Online sales, however, will account for only 2.5 percent of total retail sales in 2016, rising to 5.0 percent in 2020. Retail ecommerce growth is forecast to be driven by mobile, which will account for $15.27 billion in 2016 sales, an increase of 96.3 percent from 2015. Indian consumers’ growing adoption of smartphones is driving growth in mobile ecommerce.
"India's Retail Ecommerce Sector Is Small but Still Growing", eMarketer, August 15, 2016, © eMarketer Inc.
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Spending Trends Make Some Retail Sectors Skittish

August 12, 2016: 12:00 AM EST
Retail sales in the U.S. were sluggish in July, especially among clothing and electronic goods vendors, where shopping is shifting from brick-and-mortar stores to the Internet. It’s not because American consumers aren’t spending. After all, unemployment is down, income is up, and energy prices remain low. U.S. households have increased spending every quarter since the end of 2009. But there has been a shift in where Americans spend, toward entertainment, travel and healthcare -- and online. The experts don’t seem alarmed. One economist said the news signals “a pause in a good pace of spending”, while a global forecaster expects a 2.6 percent gain in gross domestic product this quarter over a year earlier. Still some sectors have reason to be nervous: consumer spending is falling at sporting goods stores, food and beverage stores, restaurants and bars.
Suzanne Kapner et al., "Where We Spend Is Upending Traditional Retail", The Wall Street Journal, August 12, 2016, © Dow Jones & Company, Inc.
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Brexit Will Have Good And Bad Impact On UK's Beauty And Personal Care Market, Mintel Analyst Says

August 11, 2016: 12:00 AM EST
Consumers are expected to reduce their spending in time of uncertainty following the UK's vote to leave the European Union, according to Mintel senior personal care analyst Roshida Khanom. Although Brexit's impact on the beauty and personal care industry remains to be seen, Khanom expects the luxury segment to get a boost from tourists attracted by the sharply devalued pound. Also, the UK's cheaper currency will strengthen exports of local brands, which become more affordable for businesses and consumers outside the country. Brexit's impact is also expected to drive growth for online shopping, as UK consumers seek to avoid the rising costs of importation.
Lucy Whitehouse , "Exclusive interview - Mintel: exclusive expert view on Brexit and beauty", Cosmetics Design , August 11, 2016, © William Reed Business Media SAS
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Women Internet Users In France Buy Cosmetics From Brand-Owned Online Stores

August 11, 2016: 12:00 AM EST
In France, seven in 10 women who use the Internet and have bought cosmetics online have bought facial care products, such as creams and cleansers, according to CCM Benchmark. Results of the market research firm's April 2016 survey revealed more than 60 percent have also bought makeup and body care products from online stores. Also, 57 percent of respondents said they have purchased from brands' online stores, while 50 percent said they have bought from sites operated by retail chains, such as Sephora. Only 32 percent said they have bought from online retailers, such as Amazon.
"Most Women in France Buy Cosmetics Online", eMarketer , August 11, 2016, © eMarketer Inc
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Walmart Buys Jet.com; Girds For Future E-Commerce Wars

August 8, 2016: 12:00 AM EST
Walmart has completed its $3.3-billion acquisition of online retailer Jet.com, as part of its efforts to improve its ability to compete in the e-commerce market. Although ranked as number 2 in L2's Digital IQ Index: Big Box report for its e-commerce capabilities, Walmart lags behind market leader Amazon. In 2015, Walmart reported $13.7 billion in online sales, while Amazon earned more than $92 billion.
Elisabeth Rosen, "Walmart’s New E-Commerce Weapon", L2 Daily, August 08, 2016, © L2 Inc.
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Walmart Seals Acquisition Deal With Online Retailer Jet.com

August 8, 2016: 12:00 AM EST
Walmart has inked a deal to buy fast-growing ecommerce retailer Jet.com for $3 billion in cash, both up front and over time, as well as $300 million in shares over time. The company says the acquisition brings numerous benefits, most significantly expanded customer reach and new capabilities that will mean faster ecommerce growth. Other benefits: Jet has proven it can scale with speed, having reached $1 billion in run-rate gross merchandise value and 12 million SKUs in its first year; 400,000 new shoppers are added to its customer base each month (especially urban shoppers and Millennials); and its technology rewards customers in real time with savings on items bought and shipped together, reducing supply-chain and logistics costs.
"Walmart Agrees to Acquire Jet.com, One of the Fastest Growing e-Commerce Companies in the U.S.", News release, Walmart, August 08, 2016, © Walmart Stores
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Sephora, Macy's Add Instagram Stories To Social Marketing Tools

August 5, 2016: 12:00 AM EST
LVMH-owned beauty retailer Sephora and Macy's have joined other marketers that are using Instagram’s Stories feature as part of their social media marketing campaigns. Part of Instagram’s efforts to compete with rival social media platform Snapchat, the Stories feature allows users to record video and pictures. These videos and pictures appear as top updates of selected newsfeeds for only 24 hours.
Brielle Jaekel, "Sephora, Macy’s embrace Instagram Stories for easier accessibility than on Snapchat", Luxury Daily, August 05, 2016, © Napean LLC
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New Federal GMO Labeling Law Gives Food Companies A QR Code Option

August 3, 2016: 12:00 AM EST
The new federal GMO labeling bill signed into law recently by Pres. Obama requires food manufacturers to list GMO ingredients either in plain writing, via an FDA-created icon, or through a digitally-readable QR (quick-response) code requiring a smartphone app. The app would link the shopper with more detailed information on GMO ingredients. Food manufacturers are happy about the QR code option. But non-GMO advocates argue that looking up GMO ingredient info on a smartphone is an unwieldy process that shoppers are likely to ignore. Consumer research seems to support the contention: a poll of 1,011 U.S. adults found that 59 percent weren’t likely to use their phones or an in-store scanner to find GMO data. Forty percent said they were likely to do so. Eighty-one percent approved of the push to disclose GMO ingredients on labels.
Heather Haddon, "Consumer Advocates Wary of Digitally Coded Food Labels", The Wall Street Journal, August 03, 2016, © Dow Jones & Company, Inc.
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Wal-Mart In Talks To Buy Jet.Com Inc., Reports Say

August 3, 2016: 12:00 AM EST
Wal-Mart Stores Inc. is reportedly negotiating to buy online discount retailer Jet.com Inc. Representing a significant expansion in Wal-Mart's e-commerce operations and efforts to compete with online rival Amazon.com Inc., a purchase deal would improve the retail giant's warehousing and delivery capabilities. Launched in 2014, Jet.com began as a most serious challenge to Amazon's hold on the market leadership position in the online retail segment. Jet.com has raised more than $500 million and could be valued at up to $3 billion.
Greg Bensinger et al, "Wal-Mart in Talks to Buy Web Retailer Jet.com", The Wall Street Journal, August 03, 2016, © Dow Jones & Company, Inc.
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What Walmart Would Gain From Acquiring Ecommerce Innovator Jet.com

August 3, 2016: 12:00 AM EST
Though Jet.com is barely a year old, it is already an ecommerce giant thanks to an innovative logistics platform that calculates in real-time the most efficient way to fulfill orders and pass savings onto shoppers while they shop. Walmart is in discussions with founder Marc Lore – he of Quidisi.com fame – to purchase Jet.com, and Euromonitor sees a number of advantages for Walmart in the deal. Certainly there would be immediate access to four million shoppers and $1 billion in online retail sales, expected to reach $20 billion within five years. But over the long term, Walmart could become much more competitive with online powerhouses eBay and Amazon.com, thanks to Jet’s innovative ecommerce practices. Another benefit: Jet.com has expanded into grocery delivery, which Walmart is eager to try.
Michelle Malison, "Why Walmart Wants to Buy Jet.com and What You Need to Know About the Potential Deal", Blog post, Euromonitor International, August 03, 2016, © Euromonitor
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Diminishing Shelf Space Drives CPG Companies To Try Online Innovation

July 29, 2016: 12:00 AM EST
Manufacturers of food, drink, beauty, and personal care products are losing store shelf space thanks to the rise of own-brand discount supermarket chains like Aldi and Lidl, and smaller stores that sell independent brands. To meet the challenge, manufacturers – Reckitt Benckiser, Nestlé, Diageo, Unilever, etc. – are increasingly focusing on e-commerce, selling through e-tail websites. But they are also experimenting with delivery-on-demand and subscription-based models. It’s a rising trend: online shoppers globally spent $87 billion on CPG items last year, nine percent of the total online spend. Twenty-five percent of people in 60 countries in 2015 ordered grocery products online for home delivery. Fifty-five percent said they would do so in the future.
Martinne Geller, "Consumer Goods Firms Plot New Paths Amid E-Commerce Boom", Reuters, July 29, 2016, © Reuters
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Wal-Mart Works More Closely With China's WeChat Mobile Social Network

July 28, 2016: 12:00 AM EST
Wal-Mart Stores Inc. is expanding its partnership with mobile social network WeChat in China as part of its efforts to attract more consumers into its stores. In July 2016, Wal-Mart started allowing shoppers to check out in more than 100 stores across the country using WeChat Pay mobile payment. Also, the retailer runs a loyalty program aimed at the followers of its WeChat account. Using its WeChat account, Wal-Mart launched a digital gift card feature, enabling local consumers to send virtual gift cards.
Frank Tong , "Wal-Mart offers new mobile cross-channel features for Chinese shoppers", Internet Retailer, July 28, 2016, © Vertical Web Media
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Why Digital Shopping Is On The Rise: Brick-And-Mortar Stores Are Not Much Help

July 26, 2016: 12:00 AM EST
Almost all of the 44.4 million digital shoppers in the U.K. are likely to buy something online this year, according to survey data from consultancy Pragma. They increasingly tend to prefer using digital channels at every stage of the shopping process, except when making the final purchase decision and resolving post-purchase issues. At these points, they often prefer to head to the store. This means that stores are not doing a good job of keeping customers up-to-date on the latest products, providing detailed product information, or even allowing simple product browsing. The key finding proving that U.K. stores are failing their customers: only four percent say they’re shopping online less than they used to – compared to 32 percent shopping less in physical stores.
"UK Internet Users Reject In-Store Shopping", eMarketer, July 26, 2016, © eMarketer Inc.
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Procter & Gamble Launches Online Magazine For Women Of Certain Age

July 22, 2016: 12:00 AM EST
Procter & Gamble Co. launched London-based Victoria.co.uk, an online magazine for women 50 years or older. Part of the company's efforts to promote its brands in Europe, the online magazine offers discounts and samples of P&G products for women who register to subscribe. In addition to allowing subscribers to post comments about articles, review products, and buy online, the magazine features content produced by five leading women journalists. These include former London Telegraph Magazine fashion features director Tamsin Blanchard, former London Mail on Sunday relationship columnist Zelda West-Meads, and health and nutrition writer Patsy Westcott.
Barrett J. Brunsman, "Here's why P&G just launched online magazine for women over 50", bizjournals.com, July 22, 2016, © American City Business Journals
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Sephora Supports Relaunch Of Sephora Collection Private-Label Brand With Mobile Campaign

July 21, 2016: 12:00 AM EST
Beauty retailer Sephora is supporting the relaunch of its Sephora Collection private-label brand with a campaign on dating app Tinder and other mobile social media platforms. Sephora created 1,000 photographs of products and swatches and is running ads on the media-rich mobile sites and apps. Online store Sephora.com includes the “swipe it, shop it” feature, which is based on Tinder’s website design. Sephora said it will later be able to add photographs of consumers’ own looks.
Lauren Johnson, "Sephora Is Driving Mobile Sales With Tinder-Like Features and Digital Mad Libs Plus actual ads on the dating app ", Adweek, July 21, 2016, © Adweek
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