Discount Retail Chain Biedronka (owned by Portuguese Jeronimo Martins) opened its first franchise store. It was established in the town of Dobrzyca near Kalisz. The store distinguishes itself by being open on non-trading Sundays, according to unofficial information. Official Biedronka company plans to enter into cooperation with business partners were announced in the fall of last year. The store in Dobrzyca is now the first franchise store of the chain. Franchise an important element of the development strategy 'The opening of the franchise Biedronka store is another important element of our network development strategy', reacts Ewa Micińska, director of business development at Jeronimo Martins Polska, at the opening of the store. 'Cooperation on a franchise basis is a huge benefit for both parties. The local entrepreneur we work with receives full support from the very beginning. First of all - substantive, because we equip him with our know-how, we organize a training package for him and the rest of the employees, and we also take care of marketing, logistics and supply. We also give something that is difficult to evaluate, i.e. a feeling of stability and independence at the same time. We believe that a local franchisor understands the community in which they live best: franchisee know what shoppers need, what their expectations are', he adds. Biedronka in Dobrzyca is to be open every Sunday According to the webportal Wiadomościhandlowe.pl, the Biedronka franchisor in Dobrzyca will be open on also days that are now not allowed by the trade ban. The store will be open on all Sundays, and this was also confirmed by Biedronka's press office of the discount chain. Until now, only seven out of approximately 3,050 Biedronka stores in Poland are open on non-commercial Sundays. We are talking about the stores in Grudziądz, Poznań, Wrocław, Kraków, Świecie and two stores in Warsaw. They are all chain owned outlets, benefiting from an exception on the trade ban for shops located at train and/or bus stations. It is worth adding that Biedronka opened the first facility run by business partners over 10 years ago. At the time, however, it was not doing it as part of an official strategy, but quietly. In October 2019, about 70 franchise outlets were operating across the country. They were created mainly in the countryside and in smaller towns, i.e. where the company does not open its own discount stores. However, the chain identifies them as business partners. See here for more: https://businessinsider.com.pl/firmy/strategie/biedronka-rusza-z-franczyza-pierwszy-sklep-czynny-w-niedziele/kkq0zvm

US e-commerce giant Amazon has launched a new program that directly pays consumers for information about what they’re purchasing outside of Amazon.com and for responding to short surveys. The program, Amazon Shopper Panel, asks users to send in 10 receipts per month for any purchases made at non-Amazon retailers, including grocery stores, department stores, drug stores and entertainment outlets (if open), like movie theaters, theme parks and restaurants. Amazon’s own stores, like Whole Foods, Amazon Go, Amazon Four Star and Amazon Books do not qualify. Program participants will take advantage of the newly launched Amazon Shopper Panel mobile app on iOS and Android to take pictures of paper receipts that qualify or they can opt to forward emailed receipts to receipts@panel.amazon.com to earn a $10 reward that can then be applied to their Amazon Balance or used as a charitable donation. Amazon says users can then earn additional rewards each month for every survey they complete. The optional surveys will ask about brands and products that may interest the participant and how likely they are to purchase a product. Other surveys may ask what the shopper thinks of an ad. These rewards may vary, depending on the survey. The program is currently opt-in and invite-only, and is also only open to U.S. consumers at this time. Invited participants can now download the newly launched Shopper Panel app and join the panel. Other interested users can use the app to join a waitlist for an invite. Amazon claims it will delete any sensitive information from the receipts users upload, like prescription information. But it doesn’t delete users’ personal information, instead storing it in accordance with its existing Privacy Policy. It will allow users to delete their previously uploaded receipts, if they choose. Consumer research panels are common operations, but in Amazon’s case, it plans to use the data in several different ways. On the website, Amazon explains it “may use” customer data to improve product selection at Amazon.com and Whole Food Market, as well as to improve the content selection offered through Amazon services, like Prime Video. Amazon also says the collected data will help advertisers better understand the relationship between their ads and product purchases at an aggregate level and will help Amazon build models about which groups of customers are likely to be interested in certain products. Amazon may choose to offer data to brands to help them gain feedback on existing products, the website notes. The program’s launch follows increased scrutiny over Amazon’s anti-competitive business practices in the U.S. and abroad when it comes to using consumers’ purchase data. Amazon came under fire from U.S. regulators over how it had leveraged third-party merchants’ sales data to benefit its own private label business. When Amazon CEO Jeff Bezos testified before Congress in July, he said the company had a policy against doing this, but couldn’t confirm that policy hadn’t been violated. The retailer may also be facing antitrust charges over the practice in the EU. At the same time, Amazon has been increasing its investment in its advertising business, which grew by 44% year over year in Q1 to reach $3.91 billion. That was a faster growth rate than both Google (13%) and Facebook (17%), even if tiny by comparison — Google ads made $28 billion that quarter and Facebook made $17.4 billion, Digiday reported. As the pandemic has accelerated the shift to e-commerce by five years or so, Amazon’s need to better optimize advertising space has also been sped up — and it may rapidly need to ingest more data than what it can collect directly from its own website. In a message to advertisers about the program’s launch, Amazon positioned its e-commerce business as a small piece of the overall retail market — a point it often makes in hopes of avoiding regulation: In this incredibly competitive retail environment, Amazon works with brands of all sizes to help them grow their businesses not just in our store, but also across the myriad of places customers shop. We also work hard to provide our selling partners — and small businesses in particular — with tools, insights and data to help them be successful in our store. But our store is just one piece of the puzzle. Customers routinely use Amazon to discover and learn about products before purchasing them elsewhere. In fact, Amazon only represents 4% of U.S. retail sales. Brands therefore often look to third-party consumer panel and business intelligence firms like Nielsen and NPD, and many segment-specific data providers, for additional information. Such opt-in consumer panels are well-established and used by many companies to gather consumer feedback and shopping insights. These firms aggregate shopping behaviors across stores to report data like average sales price, total units sold and revenue on tens of thousands of the most popular products. The retailer then explained that the Shopper Panel could help it to support sellers and brands by offering additional insights beyond its own store. See here for more: https://techcrunch.com/2020/10/20/amazon-launches-a-program-to-pay-consumers-for-their-data-on-non-amazon-purchases/?mkt_tok=eyJpIjoiTVRoak5qQTFZMlZtWWpSaCIsInQiOiJPWmd4R0xESVBkY2dnaDYzQWhadTBVNUM0c280SnA4RkE0OWlpQThpU2ZMUGx1aVwvRUNIMjBQbWlDOG9OM3g4ZXNNTURWR3VzcUI1OW5XSDVlZDVWRWRJcHVMZDZpM0p0byt2aWJUdmM4aGtLUmszcDdlZ1BYdHlCNUtSblU4THIifQ%3D%3D&guccounter=1&guce_referrer=aHR0cDovL2VtLmFzY2VudGlhbGVkZ2UuY29tL2EwMzAwNTAwc00wVzAwMkNCQnBoM3NM&guce_referrer_sig=AQAAALTnFTDvOA6q9AZx9ROPzCLbOUOxzqo0VhNFGZ_rPUw6mA_8y35s0nekateCXHWglirzsMlEyjHGgusoHwUiLVlZLAEp3yyRICqYWNWopxcIJSO-gdyyYvCToT3a7qShbZ2EiEoAY1OlSvUJSESzxcABPttkO7fTHEy0CfQCoQps

The Schwarz Gruppe (owner of discount retail chain Lidl and supermarket chain Kaufland) is considered a young and dynamic company. As everywhere else, the personnel policy is of course being followed with tension. The management wants mixed teams. Preferably with people with different experiences, professions and ways of thinking. Diversity and equal opportunities are the order of the day. Whereby theory and practice sometimes diverge widely. Because 67.9% of employees without a management position are women. If you look at the numbers in management, it is still 40.7% in middle management. In contrast, only 18% in higher management. And at the top level, only 12.3% are women. Personnel policy calls for job rotation and sustainability An exciting approach to the Schwarz Group's personnel policy is the rotating job system. In order to qualify employees holistically, they should take on specialist or management responsibility in another area. The Kaufland, Lidl, Schwarz-Services and GreenCycle divisions are also involved in this idea. An exciting challenge. The aim is to offer employees a job with many opportunities. The employees should develop a close bond with the company over the long term. The company values ​​health. In addition, on the well-being and also individual opportunities for further development. What is irritating, however, is why the numbers on employees look completely different. The bare numbers of the desired personnel policy At the present time, 458,355 employees work for the entire Schwarz Group. Last year alone, 107,848 left the company. On the other hand, there are 122,109 new employees. The fluctuation rate is an impressive 24.2%. A deliberate personnel policy? Of the newly hired employees, 65% are under 30 years of age. In contrast, only 4% of employees are over 50 years of age. And as far as the quota of women is concerned, 57.3% of new employees are female. It is known that the turnover rate is quite high throughout the food industry. But why it is so high in the Schwarz Group remains an exciting question. After all, such a high change is also costly and time-consuming. See here for more: https://www.supermarkt-inside.de/die-personalpolitik-der-schwarz-gruppe/

Discount Non-food Retail Chain Poundland (owned by South African Steinhoff International) has launched plans to roll out its chilled and frozen ranges to 40 more stores just days after acquiring frozen specialist Fultons Foods. The discount retailer has lined up 12 stores for new frozen ‘shop-in-shops’ in October. Up to six stores a week are set to receive the installation of chiller and freezer cabinets, from October to December in what has been internally called Project Diamond Ice. Phase two of the program will bring chilled and frozen food to a further 40-plus stores by Christmas, in addition to the 70 stores that were converted by September. The ranges have been developed in partnership with Fultons Foods, which this month became part of the Poundland family in an acquisition that is the start of a £25 million (US$33 mio) investment in chilled and frozen over the next two years. SKUs in the category assortment range include everyday meals and snacks, including ready meals, pies and pizzas, as well as frozen desserts and ice-cream. In this field the UK supermarket chain Iceland emphasizing on the frozen foods, including prepared meals and vegetable is leading. “Now we’re part of the Poundland family, we’re immediately rolling up our sleeves to begin work on the next phase of the Diamond Ice roll-out,” Fultons Foods managing director Karen Rees said. “By Christmas, we’re looking forward to bringing chilled and frozen food to another 40 Poundland stores.” Poundland expects to bring its chilled and frozen offer to as many as 500 stores over the next two years. See here for more: https://www.retailgazette.co.uk/blog/2020/10/poundland-to-roll-out-chilled-and-frozen-ranges-to-40-stores-with-new-acquisition/

Discount Retail Chain Lidl's (owned by German Schwarz Gruppe) 'Climate Offensive' and by joining the science based 'Target Initiative', Lidl is consistently pushing ahead with climate protection. Following on from the offer of the vegan 'Next Level Burger' and vegan 'Next Level minced meat', the company is expanding its climate-neutral range. In order to support customers in making a conscious purchase decision for climate protection, Lidl is now labeling the climate-neutral products in the household handout with the new logo of the Lidl's 'Climate Offensive'. In the case of organic spreads from the private label brand 'Kania' and vegan 'Next Level Nuggets', the retailer offsets all emissions that arise, for example, during production and transport. Lidl will also offset the unavoidable processing and logistics emissions for selected Bioland articles that already have a better CO2 balance due to their production. In addition, Lidl supports certified climate protection projects such as the reforestation of the rainforest in Bolivia and also projects of the Bioland Foundation to build humus in the soil, which contributes to climate protection through its CO2 binding. In the future, the company will continue to examine how CO2 emissions in the supply chain can be avoided, reduced or compensated for in the long term, and is thus gradually offering further climate-neutral products. In this way, the discounter enables more climate-friendly consumption that can improve the CO2 balance. In order to support shoppers in making a conscious purchase decision for climate protection, Lidl is now labeling the climate-neutral products in the household handout with the new logo of the 'Lidl Climate Offensive'. See here for more: https://www.fruchtportal.de/artikel/lidl-klima-offensive-lidl-baut-klimaneutrales-sortiment-aus/046294?i=12d5888d

How is the discounter Aldi doing in Germany according to its recently published 2018 balance sheets? Some figures are impressive. The comparison of the two sister companies Aldi Nord and Aldi Süd brings the following result. The turnover at Aldi Süd Germany with 1,900 stores was €14.7 billion (US$17.3 Bn), so €7.74 mio (US$9.1 mio)per store per year, at Aldi Nord Germany with 2,212 stores at €11.8 billion (US$13.4 Bn), so €5.4 mio (US$6.4 mio) per store. The sqm sales productivity is top at Aldi Süd and is almost €8,000 (US$9,400) at Aldi Nord this is more moderate at around €5,000 (US$5,900). The personnel costs ratio is relatively similar. And the investments are not that different either. While Aldi Süd invested €363.4 mio (US$427.2 mio), Aldi Nord invested €344.1 mio (US$404.5 mio including the ANIKo facelifts). In the end the net income of Aldi Nord Germany was a loss of €45 million (US$52.9 mio, so -0.4%), the net results after taxes at Aldi Süd Germany was a profit of €157.8 million (US$ 185.5 mio, so +1.2%). Discounter Aldi benefits from its real estate business and some foreign subsidiaries Aldi Nord's operational business is in a serious crisis. In Germany and abroad (Belgium, Denmark, France, Luxemburg, Netherlands, Polands, Portugal und Spain) Aldi Nord is not doing good and under-performs compared to the national retail market growth and losing market share. The national operational businesses are making loses in all countries excluding Belgium&Luxemburg. Fortunately, there is the store and warehouse real estate business unit and US Trader Joe's. That helped Aldi Nord out of a jam realizing profits as a group. In 2018, 20 of the then 35 German regional Aldi distribution & sales companies were in red. The year before it were only seven. The discounter Aldi has of course reacted to this development. Several regional distribution center restructured and (will) close(d) in Germany, Netherlands and Denmark. The stores and employees are divided accordingly to the neighboring Aldi regions. Efficiency was and is highly required throughout the whole company reducing costs as the revenues are not growing enough. The situation at Aldi Nord has not really eased. And, as is well known, the competition never sleeps and still outperforms Aldi Nord. The eternal battle between Aldi and Lidl At Aldi it is worthwhile to take a more differentiated look. As a financial powerhouse, with enormous real estate ownership and financial equity resources, it remains struggling with its sales. Of course Aldi always has a look at arch-rival Lidl. At Aldi Nord Lidl is becoming more and more the benchmark as it is hiring managers and adopting its way of working. A not so unusual step In 2018, Aldi Nord's sales per store were only €5.4 million (US$ 6.4 mio). Lidl generated €6.8 million (US$8mio, with about €6,700 sales per sqm) and is thus sitting closer and closer to Aldi Süd. Nevertheless Aldi Nord and Süd together would create most efficiencies, using and expanding the full available potential of the market leader in German discount, Aldi Süd. Click here for more: https://www.manager-magazin.de/unternehmen/aldi-nord-wie-torsten-hufnagel-jetzt-gegen-die-verluste-ansteuert-a-00000000-0002-0001-0000-000161442701 and here https://www.dlahandlu.pl/detal-hurt/wiadomosci/aldi-poprawia-wyniki-w-polsce-strata-netto-za-2019-r-to-132-6-mln-zl,91879.html?utm_source=gravitec&utm_medium=push&utm_campaign=

by Henryk Hielscher Anyone who is currently shopping in a Lidl discount retail chain stores (owned by German Schwarz Gruppe) can hardly ignore the discounter's loyalty card app. With the Lidl Plus customer card, the discounter has taken up the fight with Payback & Co. But the real advance is yet to come: the app is to be upgraded to a digital payment system. In the entrance area of ​​the stores there are blue and yellow advertising flyers, at the checkout the sales employees ask: “Do you already know Lidl Plus?”. Anyone who is currently shopping in a Lidl store can hardly ignore the discounter's loyalty card app. The permanent presence seems to be working: the smartphone app has already been "downloaded several million times", says a company spokesman. The group is thus in a good starting position for the next step: the app is to be upgraded to a digital payment system. The discounter launched its digital customer card a month ago, following similar examples from competitors such as Rewe (Payback) and Edeka (Deutschlandcard) in the highly competitive food market. Like Aldi, Lidl had not used such a system for a long time. The change of course now seems to be successful. "Since its official launch, the app has almost consistently been number 1 on the download charts in both the Google Play Store and the Apple App Store," says Lidl. The most important argument: price advantages. After successfully registering online in the app on the smartphone, customers receive a welcome discount from a purchase of € 30 (US$ 35.25), and there should be direct price advantages for individual products and competitions in the form of digital scratch cards. First, the discount codes must be activated on the mobile phone. In order to benefit from cheaper offers, customers - similar to the competition - have to open their app at the checkout and hold it in front of a scanner. They started “in Germany with the central functions”, says Lidl Digital Managing Director Dominik Eberhard, “but deliberately did not want to overload the app”. Gradually, however, extensions are to follow. Probably the most important: an integrated payment function. "The payment function will be one of the next enhancements for the German app," Eberhard announced to German economy expert magazine 'Wirtschafts Woche'. In Poland and Spain it is already possible to pay with Lidl Plus today. There, customers can store their credit card details in the app and pull out their smartphone at the checkout.“ In Germany we are currently developing a direct debit payment system. Other retailers cooperate with providers such as Google Pay or Apple Pay. The drugstore chains dm and Rossmann also work together with the payment service provider Alipay. However, so far mainly Chinese tourists and Chinese living in Germany have used the offer. Samsung Pay is also due to start soon in Germany. Why doesn't Lidl also use one of the existing systems? The reason could be the fees that merchants have to pay for electronic payment transactions. In addition, many retailers are not comfortable with providing data to outside companies. Especially not when they are growing as fast as Lidl. Breakfast coupons for the morning hours Initially, the discounter wants to use its app for customer loyalty and as a marketing tool anyway. The importance of the flyer as an advertising medium is "tending to decrease," says digital boss Eberhard. The discounter now wants to use an app to show its customers special offers on their smartphones, but also to increase sales in the branches in the long term. Unlike the competition, Lidl focuses more on the marketing of individual items. "We do not want to create another system for collecting points, but rather give users discounts on specific products," said Eberhard. There is also the possibility of playing coupons on the app in certain time windows and thus influencing customer frequency in the branches. “In Berlin, for example, there were breakfast coupons for the morning hours from 7 am to 9.30 am - that was used intensively,” says Eberhard. Before Lidl Plus was launched on the German home market, the Group already gained experience in eleven European countries.Overall, a three-digit number of employees in a founded digital hub in Barcelona, Spain, takes care of the operation of the app. About 20 years ago, the pioneer for nationwide loyalty cards in retail was Payback, which is now part of the US credit card company American Express. Discount and premium promises, for example for collecting points, ensured a run on the newcomers in credit card format, today the main business here is also in smartphone apps. Click here for more: https://www.wiwo.de/unternehmen/handel/lidl-plus-lidl-will-eigenes-smartphone-bezahlsystem-starten/26276820.html?social=linkedin&Echobox=1603032848#utm_medium=Social&utm_source=LinkedIn

Ipsos published its first E-Commerce Experience Report which surveyed the US retailers on their e-commerce activities concerning in-store and curbside pickup and delivery services. The report surveyed 2,000 Americans on their shopping habits and perceptions then conducted 150 “mystery shops” for each brand. Challenging year For many traditional grocers, adapting has been a challenge since March, and tech-savvy services have attempted to fill the gap. One of the most difficult aspects of accurately fulfilling e-commerce orders for grocers is predicting what is in stock, particularly in periods of high demand. Instacart, for example, altered its machine learning models this spring to predict grocery stocks every hour, rather than every three hours, in order to improve stock accuracy. The Ipsos survey indicated that proper signage at pickup locations indicating where customers can gather their orders is also important. The firm said that while retailers like Walmart do a good job here, 27% of locations it recently studied had poor signage or pickup areas that were difficult to locate. For all grocers, evaluating how they use their aisles and backrooms to fulfill online orders has become a key concern and has exposed logistical issues with store-centric models. Many grocers have begun to take the long view, integrating new delivery systems into their operations. Aldi, has an expanding partnership with Instacart. Accuracy rates H-E-B, Whole Foods and Aldi perform best in delivery among grocery brands, with 95% or greater accuracy rates on orders, the first e-commerce experience report from market research firm Ipsos has found. H-E-B ranked first in grocery delivery for their 99% accuracy rate on delivery orders. Whole Foods closely followed, with a 95% order accuracy rate. ALDI performed well across the board, and predominantly excelled at providing delivery notifications on 95% of orders. In-store pickup The top brands in buy-online-pickup-in-store (BOPIS) in the grocery category were as follows: Walmart performed the strongest across all measured attributes. Most notably, Walmart excelled at posting visible signage directing consumers to the grocery pickup area in 86% of locations audited. Target performed exceptionally well against the categories surveyed and had grocery orders ready when promised at 98% of visited locations. Curbside pickup The top brands in curbside pickup in the grocery category were as follows: Sam’s Club ranked first with a near perfect performance, and notably for providing designated curbside parking at 100% of locations audited. Kroger closely followed in the categories customers noted caring about most, and had orders ready when promised at 97% of locations. As e-commerce offerings expand, brands must continue taking steps to ensure consumers have a positive end-to-end experience. While several retailers have started shifting to meet consumer demand, there is still a tremendous growth opportunity for all brands offering BOPIS, curbside, and delivery. Across the board, customers look for clear communication, but more than a quarter of all pickup and delivery shoppers say there is room for improvement with communication. When it comes to brands offering delivery, order accuracy is critical, and 9% of shoppers say their order was not accurate. Retailers providing pickup need to denote designated locations and visible signage and make it easy for consumers, but 27% of BOPIS locations were poorly marked or difficult to find. Ipsos will be conducting Wave 2 of the E-Commerce Experience Report, looking into curbside retail shopping just in time for the holiday season and 3rd party delivery fulfillment for grocery and food and beverage. Click here for more: https://trademagazin.hu/en/kiszallitasi-toplista-elmezonyben-az-aldi?utm_source=sendgrid.com&utm_medium=email&utm_campaign=website

Discount Retail Chain Lidl (owned by Schwarz Gruppe) and Lietuvos Paštas announce cooperation installing LP EXPRESS parcel self-service terminals at Lidl stores in Lithuania. It is planned to build terminals near most Lidl stores by the end of the year alone, about 40 of them. "Self-service parcel terminals are in demand like never before. Back in the spring, we started the active development of the terminal network, the main goal of which is to make it as convenient and simple as possible for everyone who wants to send or receive parcels. We place at supermarkets because they are convenient and frequently visited places for customers. Cooperation with Lidl is exclusive, shoppers will no longer have to think about where to find the LP EXPRESS terminal, it will always be close to the Lidl store. In addition, we will be the first network of parcel terminals that will allow you to conveniently send and receive near these stores,” says Norbertas Žioba, Head of the Marketing and Sales Department of Lietuvos paštas. Installation of LP EXPRESS terminals at Lidl stores just started. The terminals can already be found near stores in Klaipėda (Smiltelės St.), Šilutė, Telšiai, Mažeikiai, Šiauliai (Pramonės St.), near most Lidl stores in Kaunas. Two terminals are being completed in Vilnius, near the shops located at S. Nėries and Dūkštų st. "We take into account the wishes of our shoppers and are happy to offer them more and more convenient solutions. Shoppers will soon be able to find postal terminals at our stores. They will be gradually installed in all Lidl chain stores, so the number of terminals will grow with our expansion. In the future, we plan to offer more convenient solutions that will allow Lidl shoppers to implement as many needs as possible in one place,” says Marius Kybartas, Head of the Central Service of Lidl Lietuva, Member of the Board. This step is part of the planned development of the terminal network by Lietuvos Paštas. By the end of the year, there will be 285 parcel terminals in the LP EXPRESS parcel self-service network. A total of 115 new terminals will be installed per year, as well as existing terminals will be expanded - additional columns will be added. In total, Lithuanian Post's investments in the development of the parcel terminal network will reach LTL 4 million (US$1.35mio). Following the implementation of the development plans, LP EXPRESS will be the network with the largest number of mailboxes, their total number will reach more than 40,000. This means that customers will be able to send and receive the most shipments through these terminals. Click here for more: https://imone.lidl.lt/media-centras/pranesimai-ziniasklaidai/2020/prie-lidl-parduotuviu-atsiras-lp-express-siuntu-terminalai

Usually, the in & out promotional goods in the iconic large metal baskets at Aldi and Lidl are often sold out quickly. At the moment, however, the baskets are overflowing with masses of remaining items from the non-food in&out items that are actually only available for a short time. Shoppers report that tills and entire aisles are sometimes full, both in Aldi stores. At Aldi Süd, the “Wow Weeks” were promoted in its leaflets and website, during which promotional in&out goods that were left behind are sold for special prices between €1 and €10 (US$1,17 - US$11,70) in the store. The reason: The corona pandemic has shaken up the planning of the discounters, reports the "Lebensmittelzeitung". According to a request of the industry journal at Aldi Süd, the company said: "The extraordinary circumstances of the Corona crisis present us with special challenges, as we plan our non-food campaigns well in advance." For example, supply chains were interrupted during the pandemic, this has delayed deliveries. Goods that otherwise come from China and other Asian countries came into the stores later. Since last year Aldi Süd also changed its approach regarding left over promotional goods. It started discounting most leftover promotional in&out goods after several weeks in its stores, in line with a long time Aldi Nord way of working. This approach is stocking space for new promos. Previously Aldi Süd, in line with Lidl, returned the promotional left-overs after maximum 6 weeks back to the central warehouses to redistribute. An Aldi-Nord spokeswoman also explained to the “Lebensmittelzeitung”: “Due to the corona-related restrictions, particularly in the Asian economy, our postponements occurred in the second and third quarters." Aldi has put additional assortment products in the metal baskets in the meantime, when the planned promotional goods could not be delivered. Because the goods that were actually ordered were added on later action dates creating limited space to present goods properly. That is why the goods are currently piling up in the stores and will have enormous negative impact on the P&L of Aldi also this year to solve this issue. And discounter competitor Lidl also seems to be struggling with the problem, but here the problem only becomes apparent at second glance, writes the “Lebensmittelzeitung”. Lidl redistributes its stocks via its central warehouses and sells the remaining stock in dedicated special (regional / store) sales. There are currently significantly more special sales dates than before the pandemic. In the next three weeks alone, nine special sales are planned, according to the "Lebensmittelzeitung" newspaper. Further Lidl uses it digital e-commerce platform more effectively for selling overstocks for promotions as well national as international. Here Lidl uses the advantage of the standardised European in&out promotional goods branding, packaging and multi languages. Click here for more: https://www.businessinsider.de/wirtschaft/handel/warum-sich-bei-aldi-und-lidl-aktionsware-jetzt-stapeln/

During the COVID-19 pandemic, soft discount retail chain Pyaterochka (part of the market leader X5 group) became the most demanded brand of consumers in Russia. Based on research data from BCG and "Romir" "Russian consumers - a new reality". The new reality affected up to 30% of the consumer spending market and pushes brands to find new sales niches with a focus on the development of online channels, delivery and remote services. This is the general conclusion of an joint research between BCG and the research holding "Romir". It was executed by 1,500 respondents from different socio-demographic groups and in-depth qualitative research in Moscow. The sample represents the urban population of complete Russia and analyzes data on consumer spending in 40+ product categories. “Some brands have been able to secure strong customer support in this situation. Thus, the discounter Pyaterochka turned out to be the most favorite brand in the quarantine period, Sberbank took the second line, YouTube - the third, grocery retail chain Magnit and VKontakte, respectively fourth and fifth. Reflecting consumer preferences in various areas, from routine purchases of products and banking services to online content, said Ivan Kotov, BCG Managing Director and Partner, Head of Expert Practice for Consumer Products and Retail in Russia and CIS. In general, we see an increase in trends that were manifested before the pandemic: an increase in the spread of e-commerce and digital technologies (~ 40% of respondents plan to spend more in e-commerce channels), an increase in demand for goods, related to health and personal care (10% of respondents are going to spend more on these goods), the desire to buy at a low price and the hunt for great deals (~ 59% of respondents feel financially insecure), changing offline experience and accelerating automation (30-40 % of consumers will spend less in malls and shopping centers). All these trends have serious potential to gain a foothold and maintain their influence after the pandemic. " According to consumers, categories such as "Travel" and "Entertainment" still carry a high risk of contracting the virus, although anxiety levels are decreasing. In general, the proportion of those who assess these activities as associated with the risk of infection, compared with April, decreased by 16% for the category "Travel", 18% for the "Entertainment" and 15% for the "Restaurants". In almost all categories of spending, economists have seen positive changes. The survey results show that the fastest recovery in spending will be in categories such as food, clothing and footwear. “E-commerce received a huge boost in development during the pandemic ,… today 66% of respondents say they plan to maintain the current level of online consumption. All of this clearly demonstrates the significantly increased popularity of various forms of digital communication channels. The beginning of the “second wave” will consolidate the emerging new habits and force the majority of companies to reconsider approaches to the management of purchasing paths,” said Maxim Bakhtin, partner at BCG. Click here for more: https://www.retail.ru/news/pyaterochka-vozglavila-reyting-samykh-lyubimykh-brendov-rossiyan-v-lokdaun-13-oktyabrya-2020-198610/

The electronic shelf labels (ESL) could not only reduce food waste, customers could also save money through more frequent discount campaigns. The switch to digital pricing is the "harbinger of a game changer in retail," says an expert. Really does it, electro store Saturn does it and as Lidl was the first discounter to advance, followed by Aldi: More and more retailers are using digital price tags. Aldi Nord has now also installed electronic shelf labels in a store in Essen. Another store in Gelsenkirchen and a store in France are to follow. The "Electronic Shelf Labels" (ESL), in technical jargon, are to be tested first in the three stores to see how they are received by employees and shoppers. The high-tech labels are usually directly connected to the central inventory control system of a discount store, which sends important product information such as product name, price, quantity and ingredients to the shelves almost in real time. This means that in the future, Aldi employees will no longer have to print and attach new paper price tags to these shelves every time the price changes. This saves the discounter a lot of time and thus also personnel costs. Aldi Nord is now the third discounter in Germany after Lidl and Aldi Süd to test this type of labeling. A company spokeswoman for Aldi Nord said to the food newspaper: "Aldi Nord is serious about digital change." Previously, the discounters would have preferred to avoid the high investment that a redesign of the branches would entail. However, Aldi goes even further than Lidl, whose test branches initially only apply digital signs to promotional goods and fruit and vegetables. The discount chain from Essen also includes the standard assortment range of almost 1,600 items as well as perishable SKUs such as fruit and vegetables. In these segments, prices change frequently. This could, also curb food waste from fresh products such as fruit and vegetables. Aldi is following a trend with digital price tags For a long time, however, Lidl stores in Switzerland, France, Belgium, Bulgaria and Lithuania have also been equipped with ESL. And Aldi Süd is also testing the labels in a store in Duisburg, according to information from the “Lebensmittelzeitung”. Because the digital price tags may initially be a little more expensive to buy, but pay off in the long term: Aldi and other retailers not only save time, money and personnel and material costs with them, they can also react to competitor price changes at short notice. David Gordon, head of research at the market research firm Edge by Ascential, says: “ESL enables discounters to work inexpensively and easily. It is only beneficial for them. " Electronic labels enable dynamic prices With the switch to digital, there is also a discussion about dynamic prices, which theoretically can change every minute depending on the market situation. According to Boris Planer, head of the Go-to-market Insights department, also at the market research company Edge by Ascential, says that the greatest challenge in dynamic pricing is not to lose customer trust. Too large and frequent price jumps could give the buyers the impression that they are being ripped off. The discounters couldn't afford such a pricing strategy. E-labels weren't from yesterday. Planer explains why they are only now slowly finding their way into German discounters: “These labels used to be quite expensive. The prices are now falling, which means that the point at which a return on investment is achieved comes faster. ”He thinks it is conceivable that at least Aldi and Lidl will equip all their branches with it in the future. In the long term, this step is "the harbinger of a game changer in retail". Click here for more: https://www.businessinsider.de/wirtschaft/handel/aldi-testet-digitale-preisschilder-kunden-koennten-sparen/?utm_source=rss&utm_medium=rss&utm_campaign=aldi-testet-digitale-preisschilder-kunden-koennten-sparen&xing_share=news