Discount Retail Chain Lidl Germany (owned by German Schwarz Gruppe) introduced its "Vemondo" private label brand for vegan products. It is 100 percent climate neutral. Whether a glass of organic almond drink for breakfast, spaghetti Bolognese for dinner or a popsicle in between: Those who eat vegan or occasionally want to replace animal products with purely plant-based products can now choose from over 450 articles with the yellow vegan at Lidl-seals are marked. The grocer has successively expanded its vegan range in order to offer customers purely plant-based alternatives for various meals and snacks. For the perfect foam on the coffee, for example, the company has added an oat barista drink to its range across Germany. (See here for more on DRC own private label development service) Regionally, other vegan products such as stone oven pizza Margherita, soy gurt and gourmet cheese slices for hearty breads complement the range in the branches. All vegan alternative products are now uniformly available under Lidl's own brand "Vemondo", so that customers can quickly identify them on the shelf. In the future, Lidl will continue to expand its vegan range and further develop the products in terms of taste, appearance, texture and sustainability. In the meantime, for example, all "Vemondo" products are also climate-neutral. In addition, Lidl offsets the CO2 emissions during production and transport. See here for more: https://www.presseportal.de/pm/58227/4892240?utm_source=digest&utm_medium=email&utm_campaign=push

New acquisition in sight in the chocolate sector. The Belgian Sweet Products has entered into exclusive negotiations to buy the French number one Cémoi. The Belgian family group Sweet Products and the French number one chocolate maker Cémoi have entered into exclusive negotiations for a takeover of the French by its Belgian competitor, Cémoi announced on Tuesday. "Sweet Products wishes to acquire the activities of the Cémoi group with the objective of creating a major player in chocolate and confectionery in Europe", which will represent €1.2 billion (US$1.4 billion) in turnover and will employ a total of more than 5,000 employees, Cémoi announced in a press release. This new entity "would benefit from total control of the cocoa supply chain, from the bean to the finished products, thanks to its 24 manufacturing plants located in Europe, the United States, England, and Ivory Coast." (See more on DRC's Own Private Label development service) This project could give birth to "the world number one in the field of private label chocolate producer", and would allow "to develop significant positions in the branded segments", according to Cémoi. He highlighted "the complementarity of the two groups, both in terms of the location of their production sites and the geographic distribution of their products." This new entity "would benefit from total control of the cocoa supply chain, from the bean to the finished products, thanks to its 24 manufacturing plants located in Europe, the United States, England, and Ivory Coast" the group added. The Cémoi Group, managed by the Poirrier family since 1962, is the number one chocolate producer in France, with 3,200 employees, including 2,200 in France, where it concentrates nine of its 14 production plants. Each year, it sells 200,000 tonnes of chocolates and confectionery, for a turnover of €750 million (US$900 million) in 2020. If it sells chocolates under its brand, it also supplies the entire food industry, since manufacturers to professional chocolate users: chocolatiers, pastry chefs, catering and mass distribution. The Belgian group Sweet Products is a Belgian family business managed by the Walder family which includes the Baronie Group and the Belgian group 'Belgian Ice Cream'. It operates seven chocolate factories located in Belgium, the Netherlands, Germany and Switzerland, two ice cream production sites in Belgium and one caramel factory in the United Kingdom. In addition to the Jacques, Alpia, Sarotti, Alprose, Duc d'O and Ijsboerke brands, the production of the Belgian group is mainly dedicated to private label products. The transaction, the amount of which has not been communicated, has yet to receive the approval of the competition authorities. See here for more: https://www.lecho.be/entreprises/alimentation-boisson/le-producteur-belge-de-chocolat-sweet-products-en-negociation-exclusive-pour-racheter-le-numero-un-francais-cemoi/10306834.html

'At the turn of May and June this year, Spar will introduce our own economic private label brand products 'No.1'. It will be a segment prepared for several European countries as part of our joint purchase, with production mainly carried out by Polish producers. Spar No.1 branded products are products with a good value for money, where quality is not compromised. Premium products are the third segment of the private label range. Therefore, these are high-quality products from Polish producers or imported, not available now in Poland' Tomasz Waligórski, Commercial Director, Spar Poland Board Member and DRC Associate tells the Polish retail news portal: portalspozywczy.pl How are premium products sold in the pandemic? Premium products are an important element of our offer, but not the dominant one. Customers like to have a wide selection, which is one of our strengths. It is worth emphasizing that one of our assumptions is to offer high-quality products at good prices, hence our assortment always allows our customers to choose from a wide range of products. We see a special interest in high-quality products in terms of fresh products, such as vegetables, fruit, meats, cheese,' he explains. (See more on DRC's Own Private Label development service) He emphasizes that the chain is constantly developing its own brand product offer. 'Currently, there are over 300 different SKUs to choose from in Polish stores, and by the end of the year we plan to introduce a total of about 700 SKUs' he adds. On the shelves of the Spar Poland stores you can find a wide selection of core products, i.e. the most important private label products, which in terms of quality do not differ from market leaders, and their price is more competitive. Customers can choose from many products, such as: jams, pasta, teas, delicatessen products, frozen foods, silage, household chemicals or cooking accessories. In private label, quality is the most important factor for us and we focus on it. Our priority is products of very good quality and affordable price, he adds. 'We emphasize on every occasion that we pay great attention to the high, repeatable quality of our products. We work mainly with Polish producers who have international quality certificates, it is worth emphasizing that Polish food is very highly rated in Europe. The Spar private label is designed to provide customers with good quality products at a competitive price. On the Polish market, we plan to strengthen the communication of the Spar brand with customers and partners', sums up Tomasz Waligórski. See here for more on DRC private label development services https://privatelabel.me/

Discount Retail Chain Lidl Netherlands (owned by the German Schwarz Gruppe) private label brand products are the cheapest, according to a new price radar poll by the 'Consumenten bond'. However, the price difference between budget brands at 'regular' and 'discount' supermarkets is decreasing: Dirk and Vomar have already caught up with discounter Aldi.(See her more on DRC's own private label development service) It is increasingly worthwhile to get down in the supermarket and choose the private label variant. Those who put bottles of soft drinks, cartons of flour and sugar and tea in their shopping cart of the private label are now on average almost half cheaper, according to the Dutch 'Consumentenbond'. To be precise: 45 percent. Five years earlier, the difference with A-brands was still 24 percent. Anyone looking for an even lower amount on the receipt is a bacon buyer at Lidl. It has the cheapest private label products, according to a price poll published by the union today. This is a 10 percent difference with the average prices for private labels. The supermarket chains Dirk and Vomar are almost equally cheap: the price is 9 percent lower than average. It is striking that Aldi is number four in the list with its own private label brands, while that concern always led the way with Lidl when it came to the smallest prices for private labels. Aldi therefore loses out to Dirk and Vomar when it comes to private labels. Secret mission The poll is always a secret mission: the Consumentenbond never announces the moment of the investigation. The reason: supermarkets that would like to stunt because of the poll do not get a chance to do so. By not revealing the shop date, the research is as fair as possible, or so the idea goes. Hunting for cheap groceries is not superfluous: GfK reported on this site last week that groceries have become more expensive in the past year. We pay an average of 3 to 4 percent more at the till than a year ago. Fresh products such as meat and meat products, salads and bread in particular have increased significantly in price, according to GfK, with peaks of 9 percent. Alcohol, animal feed and cut flowers have also become more expensive. In the poll, the Consumentenbond looked at 145 articles such as cola, coffee, milk, rice and pasta. Some supermarkets also have budget variants in addition to the private label, but these have not been included in the survey, because they are not the first alternative to A brands. It is particularly striking that 'normal' supermarkets such as Dirk and Vomar have entered into battle with Lidl and Aldi. With success, because Dirk and Vomar have overtaken Aldi. The supermarkets are crawling together: Lidl is now 10 percent cheaper, two years ago it was 15 percent and two years earlier it was 21 percent. The most expensive supermarkets to shop for private labels are Poiesz (plus 17 percent) and Spar (14 percent). One nuance is, according to the Consumentenbond is that: there are local differences when it comes to Jumbo, Hoogvliet and Picnic. Those three supermarket chains adjust their prices to the competition. Simply put: if a Jumbo is located near a Dirk, the prices are lower and the Jumbo branch is close to a Spar, the prices are higher. See here for more: https://www.ad.nl/koken-en-eten/huismerken-worden-steeds-goedkoper-lidl-het-voordeligst~a721ab9d/

Discount Retail Chain Save A Lot (owned by Onex Corporation) now colorfully reintroducing itself after years of quiet reinvention, you could say there is a lot happening at Save A Lot these days. (See her more on DRC's own private label development service) “Like, a lot a lot,” says Tim Schroder, the discounter’s SVP of marketing, seemingly unable to help himself from quoting what’s probably become the industry’s most unexpected viral moment from its most unforeseen source. Schroder, who joined Save A Lot a little more than a year ago after a career spent mostly in the world of restaurant marketing, is one of the driving forces behind Save A Lot’s recent move from darkness to light. It’s all encapsulated in a bright, clever and happily over-the-top musical celebration heading a comprehensive new marketing and branding campaign known as “Like A Lot A Lot.” The headlining music video, shot by noted director Drew Kirsch and performed by up-and-coming hip-hop artists Tamara Bubble, Leon Evans and Sarai and a cast of dancing comic actors, has garnered an astonishing 2.7 million YouTube views and counting since its July 28 debut. It manages to cram years of strenuous behind-the-scenes work on the brand and its offerings, including reformulated and repackaged private label brands, a slate of remodeled stores, a new logo and a parent company that’s transformed from a decidedly nondescript value retailer into a brand-focused wholesaler serving independently owned hard-discount stores into an energetic two minutes. Tim Schroder: “I believe it’s crucial as an organization to continue to evolve and strengthen the brand and the business,” Schroder told WGB in an interview. “By the end of this year, we’ll have 300 of our stores fully remodeled and modernized. And we wanted to find a way to showcase these bright new stores, and to really tell people that something's going on at Save A Lot, and bring the energy, and the fun, that we have going on here.” Sea of Sameness For Save A Lot and its parent company Moran Foods, it hasn’t been all fun and games getting to this point. Though seemingly well-positioned in the growing discount segment and well-known for value, the brand shed hundreds of stores over the course of its five-year transition while better-funded and savvy competitors such as discounters Aldi and Dollar General have aggressively grown. Save A Lot was concurrently beset by tired stores, a brush with financial peril prior to its 2019 recapitalization and tensions between it and its independent licensees. Save A Lot’s transition from a retailer to a distributor is reducing costs, while sharpening focus on serving a smaller cohort of better-performing stores with better merchandise and pricing. The new messaging acknowledges a need to better communicate that to its target discount shoppers particularly young families, lapsed shoppers or those that may have overlooked Save A Lot in a way that its competitors cannot. “Our old tag line was ‘Save A Lot, Every Day, Every Way’ … and I hate to say it, but ‘Every Day, Every Way’ was the kind of tagline that you could apply to any competitor out there,” Schroder said. “And as we started looking at the grocery space, it’s what I like to call the sea of sameness. There’s a very formulaic approach to all grocery advertising that everybody’s using: It all looks and sounds the same. We needed to break out of that.” While Save A Lot isn’t the only grocery retailer to have come to that conclusion recently Kroger’s innovative introduction of emoji-inspired characters underpinning its “Fresh For Everyone” rebranding was based on a similar insight putting forth a message “that only Save A Lot can own” was one of five key criteria Schroder had in mind for the Save A Lot campaign. The others were to translate the spirit and energy of the brand; to create an emotional connection; to reach younger and lapsed shoppers; and to create an adaptable message that could be deployed in multiple ways and in multiple mediums, Schroder said. The Portland, Maine, advertising and branding firm VIA helped to turn these criteria into Save A Lot’s new campaign. The brand’s new energy is expressed in part through the ad’s vivid colors showcasing both the new product packaging and brighter remodeled stores, Schroder said while the joyful song and creative wordplay creates what he calls an “earworm” and related emotional connection. The campaign’s adaptability is a key to efficiently getting its message out as an everyday low-cost operator, Schroder said. For example, it creates a second use for the chain’s logo, utilizing the “dot” that in its logo resembles a wheel of a full shopping cart as a “Lot Dot” bringing “personality” to a variety of advertising activations. The ongoing move to digital advertising, in the meantime, has brought costs down and precision up, providing independent operators a chance to affordably deliver a message that might have previously been out of their reach. “The analogy I like to use here is, the old-school, traditional media was much more of a ‘spray and pray’ approach. And a one-store operator in Small Town, USA, can't afford to go buy traditional TV,” he said. “But what digital has done is move from that spray-and-pray approach to the Arnold Schwarzenegger/Terminator laser-focused scope, where you can now go buy online video and streaming TV video and you can buy that geo-focused, geo-concentrated around your story. And that local operator can buy by ZIP code. It’s much, much more efficient today than it’s ever been.” Calling New Shoppers Privately held Moran Foods does not disclose financial figures. Moody’s Investors Service estimated the company, which at the start of its transition in 2018 operated more than 1,200 stores with sales of US$4.1 billion to generate about US$3.3 billion in revenue from around 1,000 stores in 2020. And while volumes benefitted from the onset of the pandemic last year and the associated eat-at-home trend, niche operators have also battled a tendency among shoppers to consolidate their trips during the crisis, favoring larger supermarkets. Rendering courtesy of VIA This has heightened the overarching need for Save A Lot to reintroduce itself to shoppers, while also addressing the makeup of its base, Schroder explained. While the brand is focused on lower income shoppers generally, and the ethnic makeup of them vary widely by market, Save A Lot’s appeal todays skews toward older shoppers, and could use an injection of higher-spending young families. “Our goal with this campaign is to continue to appeal to our existing core demographics while appealing to a younger demographic,” he said. “Without getting into specifics, we overindex and skew a little bit older, depending on the markets in which we operate. “So it’s a question of how can we appeal to a younger demographic, and expose us to new customers who may not have heard of us before, or most important, [those for whom] we were not in their consideration set,” Schroder continued. “Especially since COVID, the number of stores that consumers have in their consideration set has shrunk, so they’re making fewer trips, but on those trips, they’re spending more and buying bigger baskets. And so, we’ve got to find a way to expose ourselves first and foremost to those cases where we may have dropped out of that consideration set, and more important, to expose us to new consumers, to get into those consideration sets as part of their overall shopping experience and their shopping journey on a weekly and monthly basis.” Schroder said it’s far too early to point to specific business benefits of the campaign but “we’re very optimistic.” It will measure its effectiveness against awareness baselines established as part of initial research, with a goal of translating that awareness into business gains. Test audiences for the new messaging as it developed, which included independent licensees, management and field staff in addition to focus groups of loyal shoppers and noncustomers from the same ZIP codes have been overwhelmingly positive about the campaign, said Schroder. In other words, they like it, like a lot a lot. “We really want to move consumers from the state of having to shop with us, to wanting to shop with us, to ultimately loving to shop with us,” he said. “And what better way to do that than by creating this emotional connection?” See here for more: https://www-winsightgrocerybusiness-com.cdn.ampproject.org/c/s/www.winsightgrocerybusiness.com/amp/retailers/inside-save-lots-new-branding-campaign

Dishwasher tabs are small all-rounders that clean, rinse and dry your dishes and soften the water in the process. The tabs are also extremely easy to use: open the dispenser, insert the dishwasher tab, close it, rinse away. In the dishwasher tab test, the German independent consumer test institute 'Stiftung Warentest' tested 29 different brands and found that organic is not always better. The supposedly sustainable dishwasher tabs can even destroy the dishes. At the very top of the podium, however, are the inexpensive own private label brands from Kaufland, dm and Aldi Süd. Stiftung Warentest published the test for dishwasher tabs in October 2020. We last checked the test results in August 2021. (See her more on DRC's own private label development service) Whether high-quality porcelain or inexpensive crockery from IKEA: Plates and Co. should be cleaned in the dishwasher and not discolored. In its test of dishwasher tabs, the Stiftung Warentest unfortunately found that three agents were more likely to damage the dishes than to clean them. In return, the inexpensive own brands from Kaufland, Rossmann and Lidl convinced for around 3 euros (US$3.60). First, we will first introduce you to the test winner tabs and then the other test field in more detail. Then we explain the test procedure of Stiftung Warentest and clarify which type of detergent is right for you. DISHWASHER TABS TEST AT STIFTUNG WARENTEST: THESE ARE THE BEST MULTITABS Kaufland K-Klassic Dishwasher Tabs All in 1, Good (2.1), 2.87 euros Aldi Süd Alio Dishwasher Tabs complete, Good (2.2), 2.85 euros Lidl W5 Dishwasher Tabs Multi-Power All in 1, Good (2.1), 2.86 euros Private label brand of Kaufland, Aldi Süd and dm: These are the best dishwasher tablets All dishwasher tabs rated "good" belong to the own brands of German supermarket chains. The best rated tabs come from Kaufland ("good", 2.1), closely followed by the Aldi Süd product Alio ("good", 2.2). Third place with the rating "good" (2.5) is shared by the dishwasher tabs from dm, Edeka, Netto and Norma. Kaufland K-Classic Dishwasher Tabs All in 1: "good" (2.1) The Multitabs from Kaufland achieved good ratings almost without exception in the test. They remove all kinds of dirt well or very well, and even stubborn tar edges disappear after washing. They also mostly protect the material, only printed decorations fade over time. The Kaufland tabs only weaken when it comes to environmental properties: There they only achieved the rating "satisfactory". Lidl W5 Multi-Power All-in-1 dishwasher tabs Like the Kaufland tabs, the W5 Multi-Power All-in-1 dishwasher tabs also achieve the grade "good" (2.1). When it comes to cleaning, the product even scores slightly better than the competition from Kaufland, but they leave feathers when it comes to material protection and environmental properties. Here the tabs only achieve the rating "satisfactory". Rossmann Domol Gschirr-Reiniger-Tabs Ultra Power All-in-one Like Kaufland and Lidl, the Rossmann brand also shines with the grade "good" (2.1). Almost all of these tabs achieved the grade "good" in the test, only the environmental properties left a lot to be desired. The best dishwasher tabs: other multitabs in the test. The following multitabs are also "good": Aldi Süd Alio Dishwasher Tabs Complete: Grade "good" (2.2) Aldi Süd Alio crockery cleaner tabs All-in-one: grade "good" (2.2) Aldi Nord Alio crockery cleaner tabs all-in-one: grade "good" (2.2) dm Denkmit Dishwasher Multi-Power Revolution: Grade "good" (2.2) Penny Blik All in 1 Dishwasher Tabs: Grade "good" (2.2) Rewe Ja All in 1 Dishwasher Tabs: Grade "good" (2.2) Claro Multi Dishwasher Tabs All in 1: Grade "good" (2.5) ( view on Amazon ) dm Denkmit Dishwasher Multi-Power 12: grade "good" (2.5) Edeka Good & Favorable All-in-1 Power Active Dishwasher Tabs: Grade "good" (2.5) Netto Priva All-in-1 Power Complete Dishwasher Tabs: Grade "good" (2.5) Norma Saubermax Mega 12 dishes cleaner tabs: grade "good" (2.5) Somat Gold 12 Multi-Active: Grade "good" (2.5) The own brands of the drugstore and supermarket chains all show good values ​​for cleaning and rinsing dishes and cutlery, as well as for the user-friendliness of the packaging. Only Norma's dishwashing detergent failed to take care of the material and only achieved the grade "sufficient". The dishwasher tabs from Ecover, Frosch and Rossmann failed completely. These discolored the dishes and therefore only received the grade "poor" (5.0) in the material protection category. This is how Stiftung Warentest tests Over a period of five months, Stiftung Warentest carried out over 10,000 wash cycles with various types of crockery and cutlery. This should simulate long-term use of different dishwashing detergents. Here, checked the tester how well the Multitabs the dishes clean , rinse , prevent lime deposits , dry and conserve material . In addition, the laboratories examined how environmentally friendly the tabs are and how user-friendly the packaging is. Dishwasher tabs or normal detergent? How should I clean my dishes Depending on how hard or soft your tap water is, you should also adjust your detergent. For example, if you live in a place that is supplied by particularly soft water, you do not need a chemical club to put an end to leftover food. Dishwasher tabs channel many chemical substances - such as salts to soften the water - into the wastewater, which are not necessary with lime-free water. Inquire at your waterworks about the water hardness, set your dishwasher accordingly and use the appropriate means. There are powders and solotabs for every water hardness. In this case, however, you also have to rinse with rinse aid and rain salt. See here for more: https://www.chip.de/news/Discounter-Produkt-ist-Testsieger-Stiftung-Warentest-prueft-Spuelmaschinentabs_182177522.html

Discount Retail Chain DIA (owned by LetterOne and listed on BMAD: DIA) continues to advance in the transformation project of its own private label brand with 'New Quality'. On this occasion, the food distribution chain has renewed its dairy offer with the new own private label brand of milk 'Dia Láctea' , which is already available in the more than 2,800 stores that the company has in Spain and in the online store. (See her more on DRC's own private label development service) “Dia Láctea is a clear example of the change and transformation that our own brand is experiencing. For the development of the range, we have worked hand in hand with the producers in order to obtain a product of the highest quality, one hundred percent Spanish origin in support of the community and local suppliers, with added value for the final consumer and that guarantee the sustainability of the processes while respecting the environment”, explains Jose Manuel Blanco, director of Frescos at DIA Spain. The new range of dairy products is made up of twelve references that range from traditional whole, semi-skimmed and skimmed milk with and without lactose, to other value-added proposals that come to respond to current consumer demands. Among these special milks are Omega 3 milk and Calcium and Vitamin D milk, which together with the range of lactose-free milks have the Animal Welfare certificate. In addition, the production responds to sustainable development criteria, offering maximum transparency to the final consumer. 'Dia Láctea' also arrives accompanied by a completely renewed packaging , much more attractive and visual, in which the product specifications can be clearly seen, as well as the different certified seals, such as the FSC seal, which indicates that the paper It comes from sustainably managed forests. Additionally, DIA has eliminated plastic in its new milk range and replaced it with recycled and recyclable cardboard packaging. At the launch of 'Dia Láctea' the company has promised to donate a truck of milk per month to the Spanish Federation of Food Banks (FESBAL) for a year, which translates into more than one million glasses of milk, thus guaranteeing the minimum consumption of dairy products for people at risk of vulnerability. This decision is part of one of the three fundamental matters that the company addresses in its Strategic Sustainability Plan, the food gap. To reduce it, DIA is working to promote healthy eating for millions of families at risk of poverty. See here for more: https://www.revistaaral.com/distribucion-con-base-alimentaria/dia-presenta-su-nueva-marca-propia-leche-con-origen-espana_15147258_102.html

Own private label brands is on the up and up, as Canadian shoppers seek more bang for their buck. (see here for more on DRC's Private Label Brand development services) According to the NielsenIQ “Private Label Trends During the Pandemic” report, private label in Canada accounted for 18% of volume dollar share in the 52 weeks ending Q1 2021. Sales grew by 10% in Q1 2021 versus Q1 2020, while national brands grew by 8%. Private label fared better than name brands, especially at the beginning of pandemic for a number of reasons, said Rachel Guo, shopper insights lead at NielsenIQ, in an email interview. “Many name brands struggled to meet the sudden spike in demand due to panic stock up and, as many of us saw in stores, experienced supply chain challenges,” said Guo. In addition, private-label brands have been one beneficiary of the trend towards consumers’ hunt for greater affordability. “Low price is still the primary reason to buy private-label products,” said Guo. “And it will remain the main driver during times when Canadian shoppers are seeking out better affordability and value.” Fully 100% of Canadian households purchase private-label products, spending an average of CA$1,319 (US$1,053) per year. People’s perception of private-label brands is also changing: the report found that 45% of Canadians believe private-label brands provide better quality than national brands, up from 38% in 2018. There were a few standout categories in terms of volume share of private label by food department: frozen foods: 32%; baked desserts/breakfast: 32%; processed meat: 32%; dessert: 28%; condiments and sauces: 27%. “Private labels are developing more in the food departments than non-food departments,” said Guo. “Moreover, private label is more successful in the categories that are more commoditized and have less differentiation between private label and branded, for example, baking needs and frozen food.” Asked if she expects the momentum around private-label products to continue, Guo said it’s difficult to forecast amid today’s economic uncertainty. “My personal thought is that private-label growth might continue for a while, but it is not practical that private label maintains the same momentum in the new normal era when the supplies and promotions of branded products are back to the market,” she said. Guo believes the biggest opportunity for grocery retailers isn’t a specific category or format, but the opportunity to refine their private-label strategy and figure out how they can translate short-term momentum into long-term customer loyalty. See here for more: https://canadiangrocer.com/private-label-sees-big-gains-grocery-report

Discount Retail Chain Netto Poland's (owned by the Danish Salling Group) enlarges its existing logistic base by the distribution center in Teresin. It was taken over as part of the purchase of the Polish part of Tesco's business by Salling Group, the owner of the Netto chain. After the preparation phase, ending with the commodity phase, in the last week of August, the Teresin warehouse begins servicing Netto stores located in the eastern and central part of Poland. Thus, the warehouse space of Netto, expanded in May also by a warehouse in Gliwice, which previously served the Tesco chain, has grown to 176,000m². The Danish chain started this year with three distribution centers in Motaniec, Kopytkowo and Domasław. As part of taking over the Polish part of the business, Tesco Salling Group acquired, among others shops and two new distribution centers: in Gliwice and Teresin. The first of them started operating in May this year. The center in Teresin commenced goods on August 9, while its first shipment to serviced stores took place on August 23. 'The ultra-fast takeover of nearly 300 Tesco stores requires us to be highly flexible and have an efficient logistics network. The two acquired distribution centers perfectly fit our needs from the point of view of their geographic location. The warehouse in Gliwice allowed us to significantly relieve Domasław and ensured further development in the south. Teresin, on the other hand, will enable us to develop quickly in the central and eastern part of the country. Both locations are also strategic from a transport and cost point of view. Even before the takeover of Tesco, when we were analyzing our logistics network, we planned to open our new warehouses almost exactly at these points,' says Przemysław Podsiadły, Head of Supply Chain & Logistics Netto. The distribution center in Teresin has a total of 225 loading and unloading ramps and four temperature zones that allow goods to be stored in appropriate conditions. The warehouse will serve shops located in the following voivodeships: Mazowieckie, Wielkopolskie, Łódzkie, Warmińsko-Mazurskie, Świętokrzyskie, Lubelskie and Podlaskie. At the time of its launch, it will be 75 outlets. The new distribution center is 52 thousand. m² of warehouse space. The distribution area of ​​Netto increased by the same amount in May this year thanks to the opening of a warehouse in Gliwice. This means that in 2021, Netto warehouse space increased from 72,000 sq m. m² up to 176,000 m², and thus more than doubled. By taking over the distribution centers in Gliwice and Teresin, we actually gained twice as much space as we needed. In the first phase of the process of converting Tesco to Netto, having additional warehouse space was convenient for us, as it allowed us to distribute the equipment to the opened stores, but now we must focus heavily on reducing this space. One of the scenarios we are working on is subletting space to external companies. We are ready to talk to interested parties Netto says. See here for more: https://netto.prowly.com/153008-netto-poszerza-siec-dystrybucji-o-magazyn-w-teresinie

Discount Variety Retail Chains Dollar General Corp (NYSE:DG) and Dollar Tree, Inc. (NASDAQ:DLTR) duel. For Dollar General: This company began in October 1939 in Scottsville, Kentucky, as J.L Turner and Son. The elder Turner was a former dry goods salesman who began buying and liquidating bankrupt general stores during the Great Depression. Turner was no stranger to having a store go bust, he twice failed at owning and operating an independent store before launching this venture. Thousands of traders are getting a 90% win-rate trading options! The “dollar” aspect to the operations was introduced in 1955 by Cal Turner, the son in J.L. Turner and Son, who decided to make the “dollar days” promotions used in department stores a permanent feature of this operation. The company became Dollar General in 1968, the same year it was listed on the NYSE. Today, the Goodlettsville, Tennessee-headquartered Dollar General operates 17,426 stores and 27 distribution centers spread across 46 states. Among the company’s recent corporate developments are a new focus on providing healthcare-related products and the appointment of Dr. Albert Wu in the new position of vice president and chief medical officer; a 50,000-person hiring goal that was announced on July 14 with a Labor Day deadline; and the rollout of a new retail subsidiary called pOpshelf where approximately 95% of merchandise is priced at $5 or less. In its most recent earnings report, the first-quarter data published on May 27, Dollar General reported net sales of $8.4 billion, down 0.6% from $8.44 billion in the same period one year earlier. Operating profit totaled $908.9 million, up 4.9% from $866.7 million in the previous year. The company opened 260 new stores and closed 11 during the first quarter, compared to opening 250 and closing 28 one year earlier. The company is aiming at the 2021 total of 1,050 new store openings. Dollar General’s basic earnings per share (EPS) was $2.84 and its diluted EPS was $2.82. Last year, those figures were $2.58 and $2.56, respectively. Looking ahead, the company cited the uncertainty over the lingering COVID-19 pandemic in readjusting its guidance to project full-year net sales in the range of a 1% decline to an increase of 1% as compared to its previous expectation in the range of a 2% decline to flat and a same-store sales decline of 5% to 3%. Also cited was a diluted EPS in the range of $9.50 to $10.20 as compared to the company's previous expectation in the range of $8.80 to $9.50. “We are pleased with our strong start to fiscal 2021, and I want to thank our associates for their unwavering commitment to supporting our customers, communities, and each other,” said Todd Vasos, Dollar General’s CEO, who observed the company “executed more than 800 real estate projects, including new store openings in our pOpshelf and larger footprint Dollar General formats. In addition, we remained focused on serving our customers, while further advancing our key strategic initiatives.” Dollar General opened for trading on Wednesday at $232.75, slightly under its 52-week high of $239.35 and far from its 52-week low of $173.50. For Dollar Tree: Dollar Tree can trace its roots back to K.R. Perry, who opened a Ben Franklin variety store in Norfolk, Virginia, in 1955. In 1970, Perry and his son Doug Perry teamed with Macon Brock to open K&K Toys in Norfolk. This venture grew into more than 130 East Coast stores, located mostly within shopping malls. By 1986, Doug Perry and Brock joined Ray Compton to launch the discount retailer, Only $1.00, with five stores in three states. K&K Toys was sold to KB Toys in 1991 and Only $1.00 became Dollar Tree Stores in 1993. The company was publicly listed two years later. Today, the Chesapeake, Virginia-headquartered company operates 15,772 stores across the 48 continental states and five Canadian provinces under the Dollar Tree, Family Dollar and Dollar Tree Canada brands. Among its most recent corporate developments are a new push to increase its workforce via hiring events at its 26 U.S. distribution centers and a new recruitment effort for store managers, assistant store managers and distribution center leadership; the launch of its Chesapeake Media Group subsidiary to increase its digital marketing resonance; and Family Dollar’s recent partnership with InstaCart for same-day delivery services from more than 6,000 stores along with the new e-commerce capabilities on its website. In its most recent earnings report, the first-quarter results published on May 27, Dollar Tree reported $6.48 billion in consolidated net sales, up 3% from $6.29 billion in the prior year’s first quarter. Gross profit totaled $1.96 billion, up 9.4% from $1.79 billion one year earlier. The company opened 160 new stores in the first quarter of 2021 and closed 19, compared to 99 openings and 14 closings plus three re-bannered locations in first quarter of 2020. Dollar Tree’s first-quarter basic EPS was $1.61 and its diluted EPS was $1.60. Last year, those figures were $1.05 and $1.04, respectively. Looking ahead for its full-year projection, the company estimated diluted EPS will range between $5.80 and $6.05 while reiterating plans for 400 Dollar Tree stores and 200 Family Dollar stores. Dollar Tree President and CEO Michael Witynski pointed out that the company’s first-quarter figures came in the face of significant challenges. “Unlike most retailers, we are currently faced with higher freight costs, both international and domestic, worker shortages and uncertainty related to inflation,” he said. “These issues are rising as COVID abates and they are not systemic to Dollar Tree and not expected to be permanent.” Dollar Tree opened for trading on Wednesday at $105.21, closer to its 52-week high of $120.37 than to its 52-week low of $84.41. Both companies came out of the first quarter in strong shape and have stocks trading near their 52-week highs. The big difference between the two is Dollar Tree’s Wityniski was frank about identifying the supply chain and labor challenges facing his business, while Dollar General’s Vasos did not cite any potential hiccup in current and near-future operations. Both companies will be releasing their second-quarter earnings on Aug. 26, and it will be interesting to see how they coped with the dramatic inflationary uptick that occurred during the quarter. The best advice for both long-haul investors and overeager traders might be to wait for the second-quarter earnings to get a better handle on how the companies are coping with rising inflation. Most likely, they will come through with vigor. See here for more: https://www-benzinga-com.cdn.ampproject.org/c/s/www.benzinga.com/amp/content/22648566

Discount Variety Retail Chain Action (owned by 3i Group) expects the higher prices of container shipping and raw materials to lead to price increases across the retail industry. The budget chain itself may also not be able to avoid increasing the prices of a number of items. Other stores recognize the problems. Garden centers think, for example, that the prices of garden furniture will rise next year. Due to the nuisance of corona measures in Chinese ports such as Ningbo and Yantian and container shortages in some parts of the world, international shipping has been struggling with problems for some time. This leads to supply problems for many companies worldwide. The Dutch retail sector is also experiencing the impact. "In the long run, this situation can also lead to changing prices for a number of Action products", Action indicates. But the discounter does, in its own words, strive to always offer the lowest prices in the market. For the time being, Action is trying to resolve the situation as best as possible with its suppliers. "Our large stocks help with that." HEMA is currently also deploying its own network to prevent empty shelves or items becoming more expensive, for example. That has been successful so far, emphasizes a spokesperson. According to her, the problems have not yet had any consequences for customers. "But that's no guarantee for the future," she admits. It mainly depends on how long the situation continues. Many garden centers saw last year that it could be difficult to purchase products such as garden furniture in China this year. That is why extra stocks have been built up, so that prices for consumers will not have to go up extra this year, says deputy director Brenda Horstra of Tuinbranche Nederland. She also does not foresee any problems for the new Christmas collection. But next year prices will probably go up. In the garden sector, the price of wood has also risen sharply. According to Horstra, consumers will notice that. Garden wood is already a lot more expensive than before. Retailers' organization INretail says that home furnishings stores sometimes cannot avoid passing on the higher transport prices to the consumer. The delivery times of certain items could also sometimes increase. But the organization emphasizes that stores and suppliers are trying to minimize the impact. See here for more: https://www.nu.nl/economie/6153213/action-verwacht-prijsstijgingen-in-hele-branche-door-duur-containervervoer.html

Discount Retail department store Chain The Reject Shop’s full year results tell an interesting story one of business suffering under the impact of the Covid-19 lockdown, but also one of a strong reset to an ailing business model. Total sales in the chain fell 5.1 per cent over the course of FY21 to AU$778.7 million (US$ 570mio), as lockdowns around the country caused shoppers to avoid public spaces, with many of the businesses stores located in shopping centres and CBD locations: areas hit particularly hard by movement restrictions. Comparable store sales fell 19 per cent in total, with large shopping centre and CBD stores making up the bulk of that. The Reject Shop was also hit with AU$9 million (US$ 6.6mio) in unbudgeted costs to international shipping, with costs of shipping goods from overseas increasing “each month” according to the business. Despite this, the Reject Shop turned a profit 643 per cent higher than the year prior, hitting AU$8.3 million (US$ 6.1mio), well above the AU$1.1 million (US$ 0.8mio) seen last year. This came, largely, from a massive cut to the cost of doing business, saving AU$22.5 million (US$ 16.5mio) over the year, as it transitions through the ‘fix’ phase of its restructure, and into the ‘reset’ and ‘grow’ phases in the year ahead. During the year, the business renegotiated 80 leases that were in holdover or had expired, and will renegotiate a further 140 in FY22. The Reject Shop also simplified and standardised store processes throughout its network, leading to labour costs falling to 13.9 per cent of sales. This was, according to chief executive Andre Reich, the objective for FY21. “There is still lots to do, but I’m proud of how much our team as achieved and how well they have responded to the significant changes and challenges that have occured within our business, and the trading environment, during the year,” Reich said. “Our turnaround is progressing as expected despite operating in a very uncertain and challenging macro environment, having a significant impact on customer behaviour. “I’m hopeful that customer shopping behaviour will normalise once broader concerns around Covid-19 reduce and more of the community are vaccinated.” Chairman Steven Fisher said he was looking forward to the shift in how the business operates in the next year. “FY21 was a difficult year as a result of the volatility associated with Covid-19, combined with the complexity associated with the international supply chain,” Fisher said. “Notwithstanding these macro challenges, I’m pleased with the progress made in relation to cost management during the year.” And though the business is in a positive position, it said it won’t provide guidance for the year ahead, given the continuing uncertainty in the market based on the spread of Covid-19’s delta strain, and the slow vaccine rollout keeping customers indoors. See here for more: https://insidefmcg.com.au/2021/08/19/the-reject-shop-profit-jumps-643-per-cent-as-restructure-moves-past-reset/