Discount Retail Chain Aldi France (privately owned) is releasing three new commercials. Each time, consumers test three same products with different prices and comment on the differences in quality ... before realizing that it is actually the same product in all three tests. Aldi's First Amazing TV Commercial The more expensive, the better! It is to tackle this misconception that Aldi is releasing a commercial featuring three products: foie gras, surprise bread and smoked salmon. Each time, consumers blindly test three same products of which they only know the price. Very often they end up touting the most expensive product ... before a voiceover tells them that it is, in fact, the same reference tasted three times. TV and web Imagined by its agencies Ogilvy Paris, HighCo and Neo, the campaign called "The real surprise of Christmas", therefore intends to reveal, supportive tests, the impact that a price can have on our perception of product quality. The advertising revolves around two television commercials, three digital films, a press campaign as well as a deployment in social media, display, radio and catalog. Advertisements that fit with Aldi's new image. New identity Since the beginning of the year, the German discounter brand renewed its brand image. To do this, it communicates with a new advertising signature, “Place au nouveau consumer”. An evolution like that of its competitor German discounter Lidl, which took place five years earlier. See here for the commercial: https://youtu.be/szb1aTMU8Ug

The group result of Discount Retail Chain Lidl Stiftung & Co. KG (owned by Schwarz Gruppe) before taxes and interest is 2.24 billion euros (US$2.7Bn) for FY2019/2020. This enabled the Stiftung (Foundation) to increase its earnings by 15%. The return on sales is 2.8%. This results from the consolidated net income of 1.57 billion euros (US$1.88Bn). Lidl has invested 3.3 billion euros (US$4Bn) in real estate. In total, the book value of the properties is now a good 23 billion euros (US$27.6Bn). This is just a brief look at the entire Lidl group. The sales and the results in the Corona year 2020 will definitely raise the overall performance of the Discount-Primus to a even higher level. The performance in Eastern Europe is an absolute hit The Schwarz Gruppe does not give a hundred percent insight into the figures from abroad. But one thing is clear. In the USA, the Neckarsulmer had to accept high start-up losses, with now more than 100 stores opened. Industry insiders speak of a loss of around 250 million euros (US$300Mn), involving several acquisitions. And it doesn't look any better for the next few years. On the contrary, many expect losses to double. Fortunately, things are going really well in other countries. Lidl is extremely profitable, especially in Eastern Europe. However, when looking at the financial year that has just ended, one should not forget the effects of Corona. As a result of the pandemic, experts are expecting additional growth of one billion euros (US$1.2Bn) in Germany alone. Domestic numbers Taking a closer look at the numbers in Germany is not that easy. Lidl services cannot be completely looked at in the cards. It is known that equity increased by 233 million euros (US$279Mn) in the 2019/2020 financial year. It is now 3.24 billion euros (US$3.9Bn). When it comes to net sales in Germany, industry insiders speak of 23.6 billion euros (US$28.3Bn). In the financial year it was 22.7 billion (US$27.2). Accordingly, we have to record a growth of 3.9% here. Even if not all the numbers of Lidl are not public, it can be clearly seen that discounter Lidl is doing well. See here for more: https://www.supermarkt-inside.de/aktuelle-zahlen-fakten-und-daten-zu-lidl/

Krasnoyarsk grocery retailer Krasny Yar (owned by) expanded its store chain by 15% and began to actively scale its discounter format in Russia. The company also changed its loyalty program, revised the customer journey in the grocery store, launched an online store, plans to introduce scan & go technology and open new dark stores. Angela Ryabova, CEO of the Krasny Yar Group of Companies, spoke about the success and plans of the chain at the Retail Week 2020. The Krasny Yar group developed 2 retail formats: the Krasny Yar grocery stores (66 points) and the Baton discounters (125 points). The first grocery store of the chain was opened in 1997 in the center of Krasnoyarsk. Now more than 100,000 shoppers a day pass through the grocery chain. In 2015, the first Baton discounters were launched. The retailer operates in 25 cities of the Krasnoyarsk Territory and the Republic of Khakassia and has its own distribution center. In 2018 Magnit (second largest retailer in Russia) was interested in buying Krasny Yar, but in the end decided to start-up its own discount chain. In 2020, the company focused on expanding the Baton discounter chain and increasing the speed of sales as one of the components of store safety. The incentives for scaling the format were the difficult economic situation in the country and the entry of federal networks into the region. “It was important for us to take our places of presence and actively develop,” explains Angela Ryabova. Accelerating the shopping process is especially important today, the buyer wants to spend as little time as possible in the store. It was decided to introduce a short route in the Krasny Yar grocery stores, which will allow making daily purchases faster than before. Barriers are removed in the chain's stores, planograms are changed and self-checkout counters are installed. “We used to make a person walk a long way to collect the basket. Now we are reconsidering this approach and believe that there should be a short path in the store. It will be faster and therefore safer,” explains the CEO of the network. The scan & go service, which the retailer intends to launch in the future, should additionally reduce the time of contact with the store. At the entrance to the store, the buyer will be given a portable personal scanner that will allow him to independently “pick” the selected goods. To increase the frequency of visits, which has decreased due to the pandemic, the retailer plans, among other things, with the help of the updated “price” loyalty program, which operates in stores of both formats. According to the program, the amount of cashback depends on how often a customer makes purchases in the group's stores. In the future, the company wants to focus on creating individual offers for buyers. The retailer launched an online store in March. According to the head of the network, the project was done in 3 weeks. In October, the company processed about 50–70 orders a day with an average bill of 1,600 rubles (US$21). Despite the small number of orders, the retailer will continue to develop the project: make a more convenient catalog, search engines, filters, saturate the virtual store with a wider assortment than in offline outlets. “In the regions, an online store is still more of a service than a business. The money is now in our physical stores. But we believe that it is necessary to continue developing the project, because in 1–2 years it will become a business,” notes Angela Ryabova. Also next year the company will launch several more dark stores in addition to the existing one. See here for more: https://www.retail.ru/articles/krasnyy-yar-fokus-na-ekonomiyu-i-skorost-prodazh/?from=month&utm_source=sendpulse&utm_medium=email&utm_campaign=retailru-luchshe-za-noyabr-202&spush=bWFyYy5ob3VwcGVybWFuc0BkaXNjb3VudHJldGFpbGNvbnN1bHRpbmcuY29t

Discount Retail Chain Lidl (owned by the German Schwarz Gruppe) is already well advanced with the digitization of HR work. A globally standardized system landscape is the basis. This means that new HR tools can also be rolled out and used internationally quickly. Personnel files, timekeeping, travel expense and salary accounting and all other administrative processes were still completely paper-based at Lidl ten years ago, files and lists kept by hand were the order of the day. "Nothing was digital," recalls Daniel Weller. As Head of HR Digitalization and Workforce Planning, he got rid of the mountains of paper. At the virtual conference "Scale up 360 ° Cognitive HR Roof", Weller recently reported on the introduction of new systems, progressive automation and the use of chatbots in personnel services. The discounter has been working on data-based and digital management of HR work since 2010. The standardization should also improve security. Because one of the decisive factors for the fundamental change was a data scandal: By chance, stacks of lists with employee information had appeared in someone else's trash can some time before. A first step was the introduction of a central, global HR system based on SAP and initial solutions for time management. Weller reports that they have also worked consistently on data harmonization. Digital tools for document management, travel management and other employee management topics such as Employee Self-Service (ESS) and Manager Self-Service (MSS) were introduced. The dimensions of the digital transformation in the human resources area at Lidl are shown by a few figures: The electronic files and digital document generators were introduced in around 30 countries and 280,000 employees can now access the self-service tools. Another particular challenge is the fact that around 90 percent of employees work in shops or in logistics and therefore do not have a PC workstation. That is why mobile tools play a prominent role at the discounter. For example, 124,000 employees now receive their pay slips via "ePayslip" on their private smartphones. The next step is a chatbot for the HR area. In customer service, Lidl has already gained experience with the Lidl assistant "LiA", which is integrated into Facebook Messenger. Weller assumes that the AI ​​application will also lead to greater efficiency in personnel services. A pilot project initially focuses on optimizing the communication processes between managers and HR. The digitization professional believes that this has advantages for both sides. On the one hand, the human resources department is relieved because they do not have to answer the same questions all the time. On the other hand, the manager gets the answer they are looking for immediately. A bot can also be used in recruiting - for example on the career website - to answer frequently asked questions from applicants. Assistance in training new employees is also conceivable. The relief from this could be considerable. After all, Lidl hired a whopping 122,109 new employees in 2019 alone. The number of interested applicants is likely to be many times higher. The digital assistants can deal with simple, frequently repetitive topics. The technology always uses the existing database and can only give answers that are clearly stored there. An example is information about vacation days, duty rosters or how you can call up your final receipt on your smartphone. For complex or critical topics, however, the people in the HR department will continue to be approachable. In addition, the chatbot itself refers to colleagues from the HR department if it is unable to provide qualified answers. Under no circumstances should automation replace personal contact. Rather, it is a matter of relieving the HR department of standard processes. "Digitization is not an end in itself," Weller affirmed the discounter's philosophy. "As a result, the use of technology must always pay off." See here for more: https://www.lebensmittelzeitung.net/handel/Lidl-digitalisiert-HR-Personalservice-per-Chatbot-149500?utm_source=%2Fmeta%2Fnewsletter%2Fkarriere&utm_medium=newsletter&utm_campaign=short%2Fnl5903-basic&utm_term=23ad17e0d82c156bfb1691b1105f4604

Discount Retail Chain ALDI Magyarország Élelmiszer Bt. (privately owned) has signed a cooperation with the Hungarian e-commerce platform startup, ROKSH, which provides an online shopping service. Under the agreement, ALDI customers will be able to order nearly 3,000 products online in the future at a roksh.com Website.. The service is at the moment only available in Budapest. See here for more: https://trademagazin.hu/en/online-is-rendelhetok-az-aldi-termekei-budapesten?utm_source=sendgrid.com&utm_medium=email&utm_campaign=website

Nothing predestined Philippe Ginestet, owner of discount non-food retail chain GiFi, to make a fortune. From cattle seller, he became one of the most powerful bosses in mass distribution. Back on the odyssey of Philippe Ginestet, a self-taught entrepreneur who seems to be successful. Philippe Ginestet: I did not study. Coming from a family of horse traders, I started working very early. From the age of 12, I accompanied my parents to the markets, it was my first real school. My father taught me one very important thing: keep your word. At the time, we didn't sign a contract and we only worked on negotiation. A clap in the hand was enough to close a deal. When I left school in the third grade, my parents were very disappointed and no longer believed in me. It triggered something in me. I then gave myself a goal that has always remained the purpose of my business: to amaze. I wanted to amaze my parents by succeeding. So I went to Normandy to join a large livestock cooperative, for which I cleaned the trucks and the stables. I liked the job, but I had to prove that I was capable of doing something else. Soon after, I was in the markets and my bosses trusted me. One day, while my boss was giving me a misconduct warning, I quit on a whim. I found myself without a job, without a penny and without a car. Fifteen days later, I hitchhiked to Paris because I knew that I could find work there through temporary employment agencies. I spent my first night in a metro and the next day I was a sweeper at Motor Bernard. Shortly thereafter, I was hired at Electrolux as a commission-paid representative. After two weeks of training I was sent to the field, but after three weeks I had not made any sales. As I was about to be fired, an experienced representative decided to take me under his wing in his little shop in Nanterre. I just watched him work and could not help but see that he was a great salesperson. He was not doing anything that I had learned during the training. He spoke naturally and simply, but most of all, he believed in his product. So I started with this new approach and started making sales. After three months, the one Electrolux wanted to fire came in second out of forty. Two years later, I was received by the CEO of Electrolux in Sweden as the best seller in France. While we were asked between 12 and 15 unit sales per month, I made up to 100. Something exceptional was happening: at the Carrefour de Montesson, a lady passed by and noticed the vacuum cleaners while I was putting away my shopping in the trunk. Very interested, she asks me where to get some bags. I delivered it to her and on the spot I also sold her a vacuum cleaner. The following week in that parking lot, I was hoping the same would happen. I closed and then reopened the trunk of my car about ten times until someone stopped. The next day, I went back. As long as I didn't have an address, I would reopen and close the safe. After eight days, the manager of the hypermarket comes to see me and offers to rent a space in front of his checkouts. I then set up my carpet and spread out my vacuum cleaners. At 22, I had become a good salesperson. What I learned was that you always have to listen, to know what to say to capture the attention of the person who is interested in you. At Electrolux, I met my fiancee, then I left the company in the same way I left the business in Normandy a few years earlier. Then came another stage in my life as a salesperson. I would go to the car auction every Tuesday, where I would buy a car or two, to clean them up and sell them with a profit. The process worked, until this little 4L van that I never managed to sell. It was then that I remembered that my brother-in-law was storing a stack of sweaters that he thought he would sell to a gypsy merchant for three cents. I took my van and loaded it with sweaters. I bought two camp beds and an umbrella and without declaring myself immediately, I established myself at the foot of the building where I lived in Franconville. I sold for 800 francs. The next day, I moved to the Nanterre market and sold for 3300 francs. I quickly understood that there was even better than the markets: clearance sales, very popular in France. You had to be in the stand during the day, and at night sometimes drive 500 kilometers to get to other clearance sales. I bought a nice Mercedes truck with which we dragged the trailer. I had really become a gypsy. We lived with our newborn in the caravan, on the roads of the French clearance sales. It lasted three years, we were happy, until my son's school age arrived. We had to make a decision, a new turn ... and made the choice to stabilize. We then decided to open a shop in Villeneuve-sur-Lot. I wanted the best possible location. As I could not afford the city center, on the road to Agen, I found a room to rent of 300 m2 for 4,400 francs rent. I didn't even know what I was going to sell there but I took it right away. As I walked through the markets and the flea markets, I noticed that what was selling the best were the useful objects: textiles or even household linen. I decided to put everything in it. I inquired about a wholesale center in Aubervilliers where I could buy this type of merchandise. This is how I opened the first store in Villeneuve-sur-Lot. It is 1981, and a name had to be found for this new store. I knew that the word “discount” tended to attract people, I had to integrate it: Philippe's “Fi”, Ginestet's “Gi”, and that gave GiFi the discount store. As the publicity had to make an impression, I decided to “GiFi the real discount”. After finding the name and logo, it was time to advertise and it was to free newspapers that I turned. The next step was to open a second, bigger store, which performed better than the first. The third store opened in Sarlat in a 1,200 m2 premises, which also performed very well. An opportunity then arose in Bordeaux for 800 m2. My wife held the first, my mother the second and my godmother the third, and I didn't know how I was going to make the fourth work. As the publicity had to make an impression, I decided to “GiFi the real discount”. Was it necessary to work with family? Until then, yes. But I had to start recruiting. I discovered a new world. I really enjoyed working with people. After the fifth store opened, we made a decision with my wife: we have five stores, we are rich and happy with our son, so we stop there. This decision was only short-lived as a month later, an overly attractive opportunity presented itself. I could have two large stores in Pau and Tarbes for only 600,000 francs. At that point, I accepted without knowing how I was going to pay. The banker who gave me the loan to finance the premises believed in me, and he was right. We are then in 1986 and I continue to open stores with new collaborators. I had a leitmotif. As the son of a horse dealer, I always wanted to buy at the right price, by avoiding middlemen and going through importers. Until the day I decided to go directly to the factories in Italy and Spain. The next step was Asia. I then thought to myself: “Why shouldn't I go to Asia? I decided to go there, knowing that I didn't speak a word of Mandarin or English. I hired a translator with whom I carried out all the group's business in Asia. The year 1988 was an important year for the company. This is where the Ginestet group, GPG, was born. In 1996, I became fully aware of the value of the company when I was approached by financiers with whom I partnered in the form of an LBO. Together, we had the objective of listing the company on the stock market, which was done in February 2005. Only then, a month later, it was the stock market crash that lowered the group's rating by 70%. There, I thought of all the people who had invested, who had believed in it, and who were losing. I said to myself: "The misfortune of failure, we must make it a success. Starting from this premise, I began to redeem. In 2011, failing to respect the rigor of the stock market, the company broke away from it and became a 100% family business again. In 2016, GiFi had no more debts and a proposal was offered to me: to take over Tati. I know it's dangerous ground because the last 15 years have been very complicated for them, but I remembered the 80s, when everyone was talking about Tati, and I had the opportunity to buy this legendary brand. What I saw was that 1,500 people were going to be unemployed. My competitors on the Tati file joined together to create a consortium against me, discrediting my actions in the press. It motivated me even more, I wanted to prove that I could go to the end and that I really wanted to save these jobs. We won the case. I wanted to prove that I could go to the end and that I really wanted to save these jobs. We won the case. I wanted to prove that I could go to the end and that I really wanted to save these jobs. We won the case. What lessons have you learned from your failures? Failure is what builds a man. You have to know failure in your life. I had one, but Tati's takeover was not. Finally, I experienced my failures at the best time of my life. In 2005, we needed to open a second depot in the north of France. We then had about 300 stores, I hired a service provider to take care of it. He let us down and the goods got stuck and the stores in the North were not delivered. All this unbalanced society and caused us to lose a lot of numbers. I suffered a second failure. At the same time, I had taken over a small textile company and created another brand. The idea was very good, but I realized that I could not be on all fronts. I had to solve the group's problems before I spread out on the market. The openings of this new brand had to be canceled. This is one of my biggest failures. The idea that was needed? Make this failure a chance. It is this kind of event which provokes a questioning and which allows to see things from another angle. It was a beautiful lesson in life. I understood after that that, when you invest, you always have to plan for the unexpected and have a plan B. For Tati, I had a double objective. Save the 1,500 employees, but also the brand. I did not succeed. Obviously, there were closed stores and a hundred layoffs, but we created a lot of jobs by reopening all these stores under the GiFi banner. I always have in mind to protect the interests of the company, but I also know how to put myself in the shoes of the collaborators. It's easy to hire, but harder to spot talent. Once found, you have to know how to support them in the business. The strength of a leader lies in listening to and understanding his collaborators. This spirit and this corporate culture have always been present since the creation of the first store in 1981. What made the strength of my company is that I fell in love with my employees. Today, How do you cultivate this closeness with your employees? It's quite simple, showing that I love them. When I started, I privatized a nightclub to celebrate New Year's Day with my teams at La Mongie. We reserved a few rooms and settled on mattresses on the floor. I always stayed with my collaborators, I also organize many seminars for up to 500 people in Morocco, Mauritius, or in Las Vegas. 12 weeks a year, with my wife, we receive around 600 employees in Megève for motivational seminars bringing together around fifty people each time. When they forget that I am their president, it is a satisfaction for me. I take a lot of time to meet with the managers of each store and to discuss each one's goals and issues. Proximity with employees is important, regardless of the workforce. It was when I visited all the GiFi stores that I understood the extent of what I had created. I don't live for financial charts. I take care of my staff, and it's always a pleasure. I am very proud to have made this passion for teams the cement of the entire Gifi management team. What has been your investment strategy throughout your career? All my investments are strategic. I don't want to confine myself to one sector of activity, and that allows me to make great encounters. Our investments are all aimed at the sustainability and independence of our GPG group. Today we have about fifteen participations in digital, data, entertainment and health. Our investments cultivate a close bond with our clients. For example, I took over Mességué laboratories because I am a lover of nature and I firmly believed in their products. I also invested in advertising on the telephone, a market that we dominate today. I have always wanted to amaze, and this also applies to my investments, like VieConnect, a Toulouse start-up which works with nursing homes on incontinence issues. At the request of the Lot-et-Garonne region, I also took over an old castle to turn it into the Stelsia, a 4* hotel and its Michelin-starred restaurant, which has become an essential address in the South-West. In a few years, I have created a truly unique ecosystem in its distribution; I always invest in people because for me, any business is above all a human adventure. See here for more: https://www.forbes.fr/entrepreneurs/philippe-ginestet-lincroyable-success-story/

Since 2010, GfK has been researching how customers perceive food retailers in Germany every year. GfK is a leading global provider of data and analytics for the consumer goods industry. It is based on a survey in the GfK Consumer Panel FMCG in connection with the purchase data collected. The latest survey results confirm: Discount Retail Chain ALDI SÜD achieved the best survey results this year compared to other discounters. In April 2020, GfK carried out an online survey on the perception of food retailers in Germany among 7,500 households as part of the GfK Retailer Perception Report. The result is impressive: because ALDI SÜD is the best discounter. The discounter achieved fourth place in the overall report. The food retailers were examined according to the following dimensions: range, image, store design, price alignment, service / staff and location. ALDI SÜD is rated more positively by households than other discounters, especially in terms of image, range and store design. This is also confirmed by the survey results for the sub-dimensions range, freshness, private label and availability. Channel-specific above-average rating results "We are constantly investing in a great range and an optimal shopping experience for our customers," says Simon Gelzer, Managing Director Buying at ALDI SÜD. "That is why we are very happy about results like those of GfK, which show us that we are on the right track with our wide selection, our attractive and particularly fresh range of fruit and vegetables and our strong own brands." In almost all sub-dimensions, ALDI SÜD achieved above-average evaluation results in comparison with the competition of the discounters. Particularly noteworthy are the "spacious design" of the branches, in which one can "easily orient oneself". In addition, ALDI SÜD ranks second out of the 16 food retailers (excluding drugstores) in the "overall satisfaction" rating. The fact that there are actions behind the words is confirmed by the second place in the measured loyalty to the ALDI SÜD shopping center. * Source: Source of the retailer rating: (1) Measured loyalty in food retail based on the GfK Consumer Panel FMCG, gross sample of 30,000 households, May19 - Apr20, ongoing, electronic recording of private consumption. Represented by weighting and extrapolation of all households in Germany (housekeeping from 16 years); (2) Subjective retailer rating based on the GfK Retailer Perception Report, Apr20, sample: n = 7,500. GfK SE, Nuremberg See here for more: https://www.presseportal.de/pm/108584/4773899?utm_source=digest&utm_medium=email&utm_campaign=push

For Discount Retail Chains Aldi (privately owned) and Lidl (owned by Schwarz Grupp) city centers were taboo for a long time. The rents were just too high. But now discounters are crowding more and more into Germany's pedestrian zones. An experiment that also harbors risks for companies. The image of German city centers is changing. More and more fashion stores have to give up because of online competition and the effects of the Corona crisis. Instead, completely different stores are now pushing into the shopping streets: Aldi and Lidl. "Wherever it works from the rental price level, the discounters try to get into the absolute prime locations," said Dirk Wichner, Head of Retail Letting Germany at the international brokerage group JLL. For years, the much-visited city centers were a kind of no-go area for low-cost discounters. The rents were simply too high to be able to sell groceries there at discount prices. "That has changed fundamentally since more and more textile retailers had to give up," emphasized Wichner. The discounters make no secret of their plans. Aldi Nord is realizing "more and more stores in direct inner-city locations, shopping centers and pedestrian zones at central urban hubs," reported a company spokesman. Such central locations would not least be made possible by the increasing number of retail spaces in the city centers. Aldi Süd already has seven stores in German city centers, one of them in Düsseldorf. Aldi Süd is also finding branches stores of future opportunities and, as a frequency anchor, to close gaps in city centers," said a company spokesman. In cooperation with Galeria Karstadt Kaufhof alone, the discounter has already realized seven inner-city stores. In Düsseldorf, the discounter also has two stores in the pedestrian zone, and in Stuttgart it will soon be found on Königsstraße. Arch-rival Lidl has also long been on the way to the city, for example with stores on Carlsplatz in Düsseldorf or the Isartor in Munich. "We deal intensively with high street locations at junctions with public transport connections," said Lidl property manager Marek Franz of the German "Lebensmittel Zeitung". In addition to residents, the target group of the new city shops are also commuters who want to do their daily shopping quickly on the way home. The high footfall made the shops in the city centers attractive, Wichner reported. "There is a tough competition between the discounters for the best locations. The fight is tough." That doesn't necessarily mean that success is guaranteed. "That is not necessarily a sure-fire success," warned trade expert Marco Atzberger from the Cologne trade research institute EHI. "It is not without reason that classic discount stores have large parking spaces in front of the door. Customers should make the largest possible purchase and then comfortably transport it home." That is not possible in a pedestrian zone and will have an impact on the size of the store. "These are experiments," said Atzberger, referring to the city stores. With discounters through turbulent times The fact that the discounters are ready to dare the "pedestrian zone experiment" in spite of the associated risks is not only due to the lower rents in the inner cities. For them, the city centers are the last blank spots on their Germany map. And the pressure on discounters is great to open up new growth opportunities. Because the Corona crisis brought all grocery retailers significant sales increases. "The city centers are still uncharted territory for the discounters. But I am sure we will see a lot more stores there in the next few years. The discounters are really stepping on the gas in the fight for locations there," says Wichner. This trend is not only visible at Aldi and Lidl in Germany, but also in other countries were they are present such as in UK (London), France (Paris), Belgium (Brussels), Poland (Warsaw), USA (New York), Australia (Melbourne), China (Shanghai). Other retailers are also in the process of venturing into the inner cities that have so far been dominated by fashion retail. Real estate expert Atzberger reported: "It is not just the discounters who are flirting with new locations in prime locations in inner cities. DIY stores and furniture retailers such as Ikea are also experimenting with them." See here for more: https://www.xing-news.com/reader/news/articles/3652878?cce=em5e0cbb4d.%3AKwhZg4xfprD6q3xtnsz0AB&link_position=digest&newsletter_id=69743&toolbar=true&xng_share_origin=email

Discount Retail Chain Aldi UK (privately owned) has announced plans to introduce 100% recyclable packaging for its private label cereals by the end of this year. The move will see the retailer replace the plastic inner bags containing cereals with a recyclable alternative. Plastics and packaging director at Aldi, Chris McKenry, said, “Making such a popular product range fully recyclable will have a huge positive impact. “Our focus is to offer quality at the lowest price on the market, and we believe that means more than simply offering great products, we have to provide customers with environmentally-sustainable options they can afford too.” Sustainable Packaging The initiative will help the retailer to remove 650 tonnes of non-recyclable plastic from its operations annually. Aldi UK seeks to switch to recyclable, compostable, or re-usable packaging for own-brand products by the end of 2022. In July, Aldi pledged to remove two billion single-use plastic items from its operations by the end of 2025. It recently introduced several plastic saving initiatives, including the removal of single-use bags for loose fruit and vegetables across its UK stores by the end of the year. See here for more: https://www.esmmagazine.com/packaging-design/aldi-uk-to-introduce-fully-recyclable-packaging-for-own-brand-cereals-115163?utm_source=ESM

The Schwarz Gruppe (owner of discount retail chain Lidl and supermarket chain Kaufland) is developing a cloud platform called Stackit for internal use. This infrastructure should also be able to use external customers, fitting within the Schwarz Gruppe profit center strategy. Internal use will begin in January, and there will also be test access for selected companies, as the group told Handelsblatt. “Productive use on the external market”, that is, marketing, should begin in mid-2021. Until then, the development of new services will be driven forward and the stability of the infrastructure will be “further hardened”. In competition with AWS, Microsoft and the other large providers, known as hyperscaler in technical jargon, the Schwarz Group wants to distinguish itself through high standards of data protection and security. In a press release, the group promises to use data centers in Europe and wants, for example, to do without components from the controversial Chinese network supplier Huawei. "In particular, medium-sized companies that value high European security standards," they want to address. On the one hand as an alternative to the existing providers, on the other hand as a supplement to a so-called multi-cloud strategy in which several platforms are used in parallel. The project represents a great opportunity for a German start-up: Cloud & Heat, which is based in Dresden, is working closely with the Schwarz Group to develop the architecture for Stackit. The company, which specializes in energy-efficient data centers, is to contribute its expertise in the development of cloud infrastructure. Own platform with open source "We are very happy about the cooperation and are convinced that we can jointly set up a high-performance and future-proof infrastructure", explained Marius Feldmann, Chief Operating Officer (COO) of Cloud & Heat. An expansion of the cooperation to adjacent business areas, for example in the area of ​​sustainable data centers, is being examined. The cooperation is intended to show that German medium-sized companies now have a place where they can safely store their data, ”said Feldmann. "There is also the issue of sustainability, which is in our DNA and which is also very important to the Schwarz Group." The structure of Stackit is about the use of the manufacturer-neutral and open software Openstack - this serves as the technical basis. It contains several components for cloud platforms, for example computing power, storage and network management. Additional services are also being developed in the project, such as an identity service, virtual machines or an environment for software development. It is one of the largest open source projects in the world. Many companies from the IT and telecommunications industry are members of the foundation, IBM, Hewlett-Packard and VMWare, for example, in Germany SAP, Telekom and Volkswagen. A community of more than 8000 programmers works on the system. "Openstack is the Linux of the cloud world," says René Büst from the Gartner analysts, making a comparison, a kind of operating system for the IT infrastructure in the network. Stackit and Cloud & Heat want to develop their own version of Openstack, in technical jargon they speak of a distribution. "OpenStack is a kit with various components that you have to put together yourself," says Cloud & Heat Manager Marius Feldmann. Essentially, it is about making it easier to update the software during operation. Other developers should also be able to participate: "We hope that others will join in and support the distribution." The Schwarz Group is developing the cloud platform for its own companies with its subsidiary Schwarz IT. The goal is to transform IT in order to be ready for new business models, said IT director Christian Müller to the Handelsblatt in May. The group wants to turn this cost center into a profit center by opening it up to external customers. Tough competition with US corporations Schwarz IT and Cloud & Heat are positioning their cloud platform as an alternative to American providers such as AWS, Microsoft and Google. In a direct comparison, however, there should be clear differences: US corporations are continuously developing new functions in addition to their infrastructure. This applies, for example, to the networking of machines and artificial intelligence. Customers can also incorporate the technology behind the Alexa voice recognition system into their own products. According to industry experts, the big providers AWS, Microsoft and Google are several years ahead of their small competitors: There is a “clear functional gap,” said Christa Koenen, IT manager at Deutsche Bahn recently. Many German corporations therefore work intensively with American providers. For example, Volkswagen is building an “Industrial Cloud” with AWS to increase productivity in the factories. BMW, in turn, is cooperating with Microsoft in setting up a platform. It is currently unclear which functions the Schwarz Group intends to offer. On the website, the Group only names a few exemplary services that should be available "soon". One thing is clear: if you want to compete against the hyperscalers, you have to develop such functions yourself, as Gartner analyst Büst emphasizes. “The infrastructure is just the basis for further applications.” So the work for Stackit has only just begun. See here for more: https://www.handelsblatt.com/technik/it-internet/schwarz-gruppe-nudeln-obst-speicherplatz-lidl-mutter-startet-anfang-2021-ihre-cloud-plattform/26658744.html

Discount bed Retail Chain Dänischen Bettenlager (owned by non-food discounter Danish Jysk Group) presents a 2.3% sales increase to 1.128 billion euros (US$1.34Bn). These are the figures from the Dänischen Bettenlager for the 2019/20 financial year (until August 31, 2020). The discount chain has thus achieved a new record. The operating result (EBIT) was EUR 101 million (US$120m). “The last financial year was in parts a rollercoaster ride where it wasn't clear what to expect around the next bend. We concentrated on our strengths and made the best of them with our good process organization: We actively used the lockdown time to carry out planned renovation work in our stores, store the maximum amount of goods for the expected reopening, ramp up logistics and online capacities and in Hygiene concepts and workflows developed in coordination with the authorities. We were then well prepared to make up for the losses caused by the store closings, which fortunately we have completely succeeded in doing,”explains Christian Schirmer, Country Manager Germany. And it goes on: “My special thanks go to our committed and competent employees, without whose commitment, flexibility and corporate spirit we would not have been able to achieve our excellent result. I am pleased that on the basis of the record sales we have achieved, we are able to pay our employees attractive bonuses for their performance. We have distributed a total of over 6 million euros to our employees." The range, which currently comprises around 4,000 SKUs, has developed with a significant increase in sales, especially in the product groups of garden and outdoor furniture, mattresses and duvets. Overall, the omnichannel concept has also proven its worth. But not only the German market has developed successfully despite the pandemic. The Jysk Group, which operates a total of 2,900 stores in 51 countries, was also able to announce record results with total sales of 4.1 billion euros (US$4.9Bn) and an EBIT result of 502 million euros (US$600m). Jan Bøgh, CEO and President of Jysk, is very satisfied with the results. “I think we can say that we saw the strength of our business model very clearly in the last financial year. Like most companies, we are affected by the effects of the coronavirus. The first priority is of course to ensure the safety of our customers and employees. But it is also important that the virus does not use more resources than necessary. We think long-term, which means that we have to continue investing in the future and be prepared for a time when corona is no longer the focus of society. " Internationally, another 150 new stores are to be opened in the next 12 months. In addition, the group wants to focus on the topic of sustainability. See here for more: https://www.moebelkultur.de/news/rekordumsatz-in-corona-zeiten/

Discount Retail Chain Lidl Portugal (owned by German Schwarz Gruppe) plans to invest up to 180 million euros this fiscal year, investing in 24 stores and improving the yields of its 7,500 workers. Lidl is "preparing for difficult times", admits Alexander Frech, Lidl's CEO. Precisely a year after taking over the leadership of the food retail chain, a pandemic breaks out and the country goes into confinement and the economy begins to skid, impacting household income. The most recent measures to contain the spread of the new corona virus also did not pass by the German discount chain that saw supermarkets close last weekend from 1 pm. However, the discounter has, in this period of crisis, gained market share. It was the only one, together with Intermarché, to strengthen its share until August. Fruit of the bet in the expansion of the chain of stores and in an assortment more and more Portuguese, believes Alexander Frech. In this fiscal year of 2020, which ends in February, Lidl expect to invest between 150 to 180 million euros (US$ 179 - 215M) renovating and opening 24 stores. At least four are new stores, the next one is already in December, in Braga, and, in a time of crisis, it has taken steps to ensure that, next year, the 7,500 workers in the more than 250 stores and 3 logistics centers, will have salary increases. Measures at a time when the economic situation makes the discussion about the increase in the minimum wage, forecast for next year, even more lively. "I cannot speak for others, but I hope that our approach is a signal for other companies, who have the possibility of making this type of investment, to do so too". At the beginning of the pandemic, the rush to stores generated record revenue levels. In September, 36 million euros (US$43M) more were spent on the discounter than a year ago. Was it repeated in the following months? Will it remain until the end of the year or is the money available shortening? People need to eat. In the first phase of the pandemic, with schools closed, with almost everyone telecommuting, with restaurants and bars closed, there was a change in consumption for supermarkets, so the market is growing and we are seeing these numbers. If the Government's restrictions continued in this direction, of course there will be greater demand in supermarkets, but at the end of the day, it is a change within the different channels and sales. Money is getting shorter, I think it is evident, the economy is in crisis, we still don't know how big it will be, the price orientation will be increasing. Lidl will have more sales, the question will be what kind of products will we sell more than before covid. There will be a shift towards cheaper products, but also in the investment made in security systems. At Lidl we invest a lot in the safety of employees and customers - we were among the first to introduce the visor, acrylic separations, traffic lights at the entrance to ensure that we do not reach the maximum number of customers per square meter in cleaning. Just to have an idea in these 9 months we spent 9 million just to ensure the safety of teams and customers. In the last few years, even before the covid, we have always been growing a little above the market and gaining share. We are reaping the rewards of our investment in people, in infrastructure, in stores and in its modernization, in the assortment, in greater Portugal. We were also among the first to implement security measures. Customers appreciated that, so we’re doing better than others. Lidl Portugal will invest between 150 to 180 million euros He says that the share gain is also due to the investment made. In the past fiscal year they estimated to invest 150 million, 20% more than in the previous year. In fact, we estimated to invest 150 million last fiscal year, but ended up investing 180 million. Some opportunities have arisen to invest in the future, in sectors such as Lidl we have to take positions now, to reap benefits in a few years' time, it is the basis of our market growth. It was a mix of logistics, infrastructure and stores. We have major investments to strengthen our logistics structure, because of our growth and future expectations we have to ensure that the logistics are prepared. We ended this year with the "go live" of the center in Torres Novas, the conclusion was in May, more or less at the end of last fiscal year. And Santo Tirso started last year, we are in the post-start phase and the investment was divided in the years 2019 and 2020. This was one of the reasons why we increased the investment and, on the other hand, we found some opportunities to invest in the portfolio stores, to be closer to our customers. The investment plans for this fiscal year 2020 are to have, more or less, this level of investment in terms of value and number of interventions in stores. We intend to intervene in 24 stores, the same as last year. The start of the fiscal year was challenging in terms of construction, obtaining construction materials, we had a better time in the summer and now we are facing some unknowns again, so I cannot give you a firm answer. But, with what has already been done and what is to come, we will end up with the same level as last year. We will invest between 150 and 180 million euros. Competitor Discount Retail Chain Aldi announced 60 million in a logistics center in Moita, looking for a location in the North, where they want to open 25 stores next year and open 100 in five years, investing another 45 million. For those who were almost silent for so long, only this year launched the first TV campaign, it seems to be posing a challenge to the market. From an economic point of view, I think it is good to invest in Portugal now. If you compare Aldi's numbers with Lidl's, we are prepared. Lidl has been talking to the Portuguese for 25 years, we know what the client expects of us, we just have to continue this long-term relationship with the client with a Portuguese base. Lidl represents good quality, a good basket where you find what you need, we are also focused on organic products, we are following the needs of customers and, therefore, we are prepared for whatever the competition may present us. Seeing our market share and our performance, I think we did our job. We can talk about Aldi, Mercadona, Continente, but if we do our homework, if we are focused on our mission, we have nothing to fear. Just do our job and continue on our way. That's what we're doing. In times of crisis, consumers want to buy national products. Continente, Pingo Doce, Intermarché reinforced purchases, Auchan bought another 21.2% tonnes. The Government appealed to the sector to serve as an outlet for small producers. What are the Lidl numbers? I spent a lot of time in stores, to understand teams, customers, needs, see the competition. I have already visited 200 of our Lidl stores, I think I will visit them all this year. The first was in Arganil, one of our first stores. The theme of regionality came up every time I went to a store, people are always proud of their region, they often invite me over for a coffee and find out what the specialty of pastry is. And they question why we cannot have these regional flavors? Why can't we have these Arganil flavors in Lagos or Porto? It was always on my mind and, as an idea to help the national economy, we launched the project A Minha Terra a few weeks ago, giving small producers the opportunity to present their products to sell in stores. We received 180 applications, we are in the final pitch presentation phase, we do not know the results yet. It was a success and we will have a chance to have or products in stores in the region or promotion with these items. It is a good way to support smaller local suppliers who would not have a chance to enter this retail. In the first half of 2020, there was an increase of 15%, in value, compared to 2019. In the fixed assortment we have about 2,000 SKU's, of these 850 SKU's are of Portuguese origin. In fruits and vegetables, when there is a chance of having a partner, we look in Portugal; another major focus on portugality is meat (95% is Portuguese); last year we "exported" 150 million euros, two million more than the previous year, we bought more than 70% of citrus fruits from the Algarve and started exporting organic carrots, as well as oranges and lemons to Germany. For this fiscal year I still don't have the numbers, but I haven't heard any negative news. I do not expect a decline, but if there is growth it is difficult to predict. For Lidl Online we have to wait for the right moment to enter the market with a solution that is for the long term and the future. The Portuguese "discovered" that they could buy from us online. In 2018 they started with a pilot in Madrid for the non-food area - selling clothes, electronics and there was talk of expanding to Portugal. If we take into account the market growth in terms of store business, we see that there is still a need for customers to make purchases physically in stores. The Portuguese have a close relationship with people and they need to go to the store, they need to be inspired. Our future strategy was, and will be, physical stores, there is still potential for growth. We know the challenges of online business, especially in terms of freshness and quality, sustainability, logistics ... All big questions. We are monitoring waiting for the right moment until all these questions are answered. I don't know when that future will be, for now, let's focus on the standard retail. The good thing about being an international discount chain is that we don't have to have 32 tests in 32 countries. We are benefiting from that experience. In Spain we work with Glovo, in Italy with Supermercato24, there are some partnerships going on. We have some small projects within the group, so we are looking everywhere. We have to wait for the right moment to enter the market with a solution that is for the long term and the future. In order to have a long-term relationship, which we want, since we invest in training - we have to offer prospects, which may be related to development opportunities: 65% of our management team started as an operator in a store or in a logistics center. It is not something that is on paper, it happens every day. People realize that there is a chance of promotion which leads to greater motivation and satisfaction including salary. The government's outlook for 2021 is a recession of 5,4%, a deficit of 4.3%, which consumption is expected to increase by 3,9%, with the unemployment rate of 8,2% expected to fall 1,7%. What is your outlook for the next fiscal year? Making a prediction is very difficult, I can say what we have done in recent years and I think we will continue with this approach. We are preparing for the worst case scenario and help See here for more: https://www.dinheirovivo.pt/empresas/todas-as-pessoas-que-trabalham-para-o-lidl-recebem-mais-dinheiro-no-proximo-ano-13057404.html