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  • Germany: Aldi vs Picnic: Who is the better delivery discounter?

    Discount Retail Chain Aldi Süd (German family owned) has started its new food delivery service "Mein Aldi", which will be activated for the first customers in North Rhine-Westphalia on a trial basis by mid-September, Aldi Süd is strongly oriented towards the model that Dutch-German delivery supermarket Picnic has successfully demonstrated. Online purchases are delivered by Aldi in fixed time slots with small electric vehicles on predetermined routes. The selectable 60-minute time windows should be limited to 20 minutes on the day of delivery. (In contrast to Picnic, however, delivery costs may be charged.) Or, to put it another way: In Mülheim an der Ruhr, parts of Duisburg and Oberhausen, several milkmen are now driving through the city. Meanwhile, Picnic has turned the corner from its long-standing home area of North Rhine-Westphalia and now also supplies customers in other federal states. A few weeks ago, the first peripheral areas around Berlin were added; In mid-August, a new fulfillment center was inaugurated in Vierheim (Rhine-Neckar region), from which parts of Darmstadt, Mainz and Wiesbaden are currently to be supplied, as well as up to 10 cities or regions in the future. In addition, Hamburg has made the "best international start" of a new picnic delivery region this year, the trade press has learned. City hubs, urgently needed At the same time, it becomes clear what potential difficulties of (rapid) expansion lie for suppliers who work with the picnic model. In this process, purchases are picked in large warehouse centers, brought by truck to distribution centers close to the city, where they are reloaded onto small electric runabouts, which then drive to the customer's home. However, "city hubs" suitable for this function are obviously not so easy to find everywhere. In the vast majority of cases, Picnic rents spaces in industrial areas on the outskirts of the city, where the minivans remain parked until their next use. (1,400 of these vehicles are already on the road in Germany; 1,300 more are to be added by the new locations, according to "LZ"). In Berlin-Spandau, "runners" (as Picnic calls its delivery drivers) are ordered to work at the address of a DHL delivery base, for example, where there is obviously free loading capacity. Of course, this is great for a demonstration of how the logistics of a functioning food delivery service can work. Shelter in the Postbahnhof In Darmstadt, on the other hand, where Picnic has just opened, the e-vehicles will be accommodated much closer to the city: in the old Postbahnhof (right next to the main train station), on the side of which the corresponding charging infrastructure has been installed. According to the owner, Picnic has rented around 1,800 square meters there (for at least eight and a half years), where the ready-picked purchases are also reloaded into the e-speedsters. Picnic City Hub near Darmstadt's main train station. This shows quite nicely that the picnic model is simple for customers – but has to overcome some challenges in location logistics because new city hubs are constantly needed for expansion. (Unlike, for example, the model of the Norwegian provider Oda, which wanted to bring purchases from a huge central warehouse with larger delivery vehicles to more distant destinations.) At the same time, however, the decentralised structure makes it possible to test food delivery at locations where central warehouses would otherwise not be built. From Berlin, Picnic probably also wants to open up Frankfurt (Oder), for example. (At least they are currently looking for runners for the Frankfurter Tor Nordost industrial estate.) How does discount work online? At first, customers don't notice much of all this. The decisive factor for them is first and foremost whether the service offered meets their shopping needs – and who, in the case of Aldi vs. Picnic, is better able to translate the discount principle into online food retailing. While Florian Kolf in the "Handelsblatt" tends to see Aldi's chances as positive ("comes at exactly the right time"), Jochen Krisch takes the opposite position at Exciting Commerce ("delivery service [...], which visibly lacks the business model"). Picnic has a decisive advantage in this competition: The company already has many years of experience in how customers buy groceries online and what they value – in other words, exactly what Aldi now has to work hard to achieve. (Which the e-commerce expert from the Niederrhein University of Applied Sciences, who was interviewed by dpa, curiously thinks is "smart" – well.) At the same time, the Dutch and their head of Germany, Frederic Knaudt, can continue to belt out their greatest hit: free delivery thanks to fixed delivery routes. Free delivery from 50 euros Aldi Süd fails to catch up with this promise: If you want to be delivered by "My Aldi", you pay 4.50 euros in delivery costs, at least if you order for less than 50 euros. Purchases with a value of goods above this limit are then free of charge. And even if Aldi has to interpret this as a disadvantage in a direct comparison with Picnic, the challenger has set by far the lowest value for free delivery in the German online grocery trade. Bringmeister delivers free of charge from 100 euros; Rewe from 120 euros (except on region-specific free delivery days); Amazon Fresh from 80 euros, but with an additional paid Prime subscription as a prerequisite. Aldi can also top the previous frontrunners Flaschenpost and Flink, which no longer charge delivery fees from a value of 59 euros (location: Berlin). Only Gorillas/Getir are currently below this due to the promotion, but it is unclear how long this will last. In any case, the free delivery limit can be understood primarily as an incentive to let customers make a comprehensive discount purchase via Mein Aldi, 50 euros should be a realistic value for Aldi regular customer households in which several people live. What size of assortment would you like? Picnic and Mein Aldi differ most clearly in their product ranges: Picnic wants to offer its customers around 10,000 items via app, 20 percent of which, according to media reports, will be private labels from its co-owner Edeka and increasingly also under its own PL name. A total of 3,000 items are currently available at Mein Aldi, including branded products (to be precise: 3,019, as of 31.8.). However, this does not have to be a disadvantage if customers who have previously shopped in the store either keep themselves or even let themselves be poached by the discount competition. (The extent to which Mein Aldi emphasizes its organic range in the main menu is another indication of which target group you may have in mind.) On the other hand, Aldi also allows orders to be placed via a classic web shop; Picnic allows purchases to be made exclusively via the app. Customers still have to live with restrictions such as those found in classic discount stores with both providers: The milkman heirs cannot deliver drinks in reusable crates due to the limited space in the e-speedsters, but only in six-packs. "Bonus bundle" for stock buyers Nevertheless, Aldi will probably have to learn a few moves from other delivery services over time: Picnic, for example, gives its customers discounts on brands and private labels if they order several packs of them in stock. The Dutch have even registered their own trademark for it: "Bonus bundle". The former Edeka investment Bringmeister has been doing the same for some time; and Rewe now also promises different discounts from its delivery service, especially on private labels, if customers buy in advance. Meanwhile, the "bonus bundle" at Picnic hasn't really settled in yet. For example, in the case of several products that have currently been reduced in price, the change has not yet been reflected for the bundles: Fresh pasture milk from Arla Bio currently no longer costs 1.99 euros (at the Berlin location), but only 1.49 euros. In a bundle of four, however, the price is still 1.85 euros per unit. It's the same with the handkerchiefs of Picnic's own brand: instead of 1.45 euros, they now cost only 1.29 euros, but in a bundle of two, they still cost 1.39 euros. Instead of placing bundles in the shopping cart, it is therefore advisable to increase the quantity of the individual item for the stock purchase. (And for Picnic to do its assortment work a little more carefully.) Only one thing is certain: the delivery discount is spreading. He just hasn't quite decided yet what exactly form he wants to take. Read more: Aldi vs Picnic: Who is the better delivery discounter? - Supermarket blog (supermarktblog.com)

  • Nigeria: The new market leader is a discounter

    Last weekend hard discounter Bokku Mart opened their 26th and 27th store in Lagos (Mushin area) and became the largest store chain in Nigeria (> 220 miljoen inhabitants!). Bokku Mart surpassed market leader Shoprite, which operates 25 stores, and the runners-up, like Market Square (24 stores), Grocery Bazar (17 stores) and Justrite (17 stores). However, Shoprite stays the undoubted market leader in sales. The original South-Africa- based Shoprite was acquired by a Nigerian investment group back in 2021. This investment group owns also the successful discounter Jara. Next to the above-mentioned banners, there's also Addide with about 40 locations which operates as a traditional mom & pop store in the "street retail channel". Source: DRC #smartdiscount #bokku #bokkumart #nigeria #lagos #aldi #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting #atreos

  • USA: Aldi will convert a ‘significant’ number of acquired stores from Win-dixie and Harveys

    Aldi’s move to acquire 400 Winn-Dixie and Harveys Supermarket stores was a power move in the Southeast territory. Aldi now appears as confident as ever and aims to make an impact. Batavia, Illinois-based retailer is now in position to be a major player in the grocery market industry, but there are still hurdles to clear. The deal still needs to receive regulatory approval and transitioning hundreds of stores is not going to be an easy task, says CEO Hart. Hart does hint that a majority of the stores acquired will be converted to the Aldi layout. Why now? What opportunity was Aldi seeing in this deal? What was the timeline leading up to this decision? Aldi: the fact is that Aldi has been on a strong growth trajectory, opening about 100 stores per year for the past decade. The acquisition of Winn-Dixie and Harveys Supermarket is a natural extension of that growth in the Southeast, a region where we have deepened our presence. In fact, earlier this year, we opened our 26th distribution center in Loxley, Ala., to better serve surrounding stores and states. Through this acquisition, Aldi will be better positioned to help more people save on their grocery bills in a part of the country that’s been an excellent market for us. With increased customer demand for Aldi in the Southeast region, we have a meaningful opportunity for Aldi to naturally fill the gap for great products at the lowest possible prices during a time when they need it most. Ultimately, this acquisition provides Aldi speed-to-market with quality retail locations, great people and a solid core business. It brings us closer to our customers to deliver even more convenience and value. Will Aldi likely convert all or most of the stores to Aldi? What’s the plan there? Will Aldi experiment with store format? What could a more conventional supermarket with a larger format look like? Aldi: for now, nothing changes, and it will be business as usual for each of the banners. As we shared in our announcement, Aldi is evaluating which Winn-Dixie and Harveys Supermarket stores will convert to the Aldi format. We’re focused on growing Aldi and intend for a meaningful amount of Winn-Dixie and Harveys Supermarket stores to continue operating under their respective banners after the transaction closes in the first half of 2024. These are trusted brands that have done an excellent job serving their communities and customers over many decades and we see these brands continuing to have value into the future. For the stores we do convert, we’re committed to making the process a positive and seamless one for everyone involved. Aldi completes a high volume of store openings and remodels year after year, positioning us well for a smooth transition. This is an exciting opportunity to meet the call for more Aldi locations across the region, introduce ourselves to new shoppers and prove to Southeastern communities they can rely on us for savings up to 40% off their grocery bills. With the looming Kroger, Albertsons merger, we’re hearing “consolidation, consolidation, consolidation.” How much was Aldi’s acquisition of Winn-Dixie and Harveys Supermarkets driven by the consequences of the potential Kroger, Albertsons deal? Aldi: the acquisition builds on this strategy and is fueled by customer demand for Aldi stores in their communities. When I visit stores, the most common question I hear is, “When are you going to open more stores closer to where I live?” Customers know that when Aldi comes to town, they can save time and money on every trip. With food prices remaining high and stretching consumers’ budgets, people can count on Aldi for quality, affordable groceries and a simple, easy-to-shop store layout. We see this acquisition as a tremendous opportunity to meet this demand by opening more stores in the Southeast in addition to the more than 335 stores already in the region with 20 more to open by year’s end. What are some of the challenges Aldi will face with the Winn-Dixie, Harveys acquisition? Aldi: Aldi has a strong track record of opening and remodeling stores across the country each year, so we’re confident we can make this a smooth transition. In the early days, there won’t be any immediate changes and Aldi will remain focused on doing what we do best: Delivering great products at the lowest possible prices. We have great respect for the Southeastern Grocers brand and leadership team, and we look forward to working closely to ensure we are providing excellent service to our customers so we can best serve these communities in the years to come. Aldi’s growth plan already included 2,400 U.S. stores by the end of this year, before this transaction; now adding these 400 stores will put the company at 2,800 U.S. stores; more than any of Kroger, Albertsons, Ahold Delhaize, Publix or HEB. What does this amped up growth say about Aldi’s plan to position itself within the market? Aldi: Aldi is one of America’s fastest-growing retailers because shoppers are looking for a different grocery experience that consistently delivers on quality, affordable groceries, and a curated selection. We’re able to offer great products at the best prices because of the things we do differently. From our smaller store formats, which are easier to shop and operate, to our quarter cart system, and stocking our shelves with 90% Aldi exclusive products, everything we do helps shoppers save money. In fact, our basket of groceries is 40% less than traditional grocery stores, and 15% less than the big-box discounters. That resonates with consumers because no one wants to pay more for groceries than they have to. When customers shop Aldi for the first time, they quickly discover they don’t need to sacrifice quality to meet their budgets. With this acquisition, we can champion value in more communities across the Southeast, a region we’ve been expanding in given population growth and consumer demand for Aldi. Any future Aldi rollouts we can expect…perhaps involving technology, store layout, etc.? Aldi: We’re always putting our customers first. Our focus will always be on how we can offer the best products at the lowest prices in the market. As we find new ways to make our operations more efficient, like investing in electronic shelf labels to help save on paper and resources, we’ll continue to evaluate changes to further cut costs and pass on savings to our shoppers. It’s why we’re one of America’s fastest-growing retailers. What is the timeframe for this acquisition…when do you expect it to be complete in terms of which stores will be Aldi and which stores will be left alone? Aldi: the transaction is expected to close in the first half of 2024, subject to regulatory approval and other standard closing conditions. In terms of stores, we are working through all those details and will be very thoughtful and purposeful on that. We’ll convert a significant amount to the Aldi format after the deal is approved, over the course of several years. However, a meaningful amount of Winne-Dixie and Harveys Supermarket stores will continue to operate under their respective banners. Can you discuss any other terms of the acquisition, like price? Aldi: Aldi can’t go into the financials of the deal but what I can tell you is we’re excited to continue our growth in the Southeast to bring affordable groceries to more communities when they need it most. Will Aldi be stepping into the traditional supermarket format with this acquisition? Aldi: our unique business model is what’s driving consumer demand for Aldi and helping make us one of the fastest-growing retailers in the country. We’ll continue to focus on offering a simple approach to retail that saves customers time and money. With smaller format stores and a carefully selected range of products, Aldi operates its stores more efficiently to cut costs and pass on savings to customers. Our curated selection removes the frustrating guesswork from grocery shopping and allows customers to get in, get out, and get on with their days. In fact, our smaller, simpler stores turn out more volume and sales than many of our competitors. You’d be amazed at how much of your grocery shopping you can get done in a typical 20,000-square-foot Aldi store. Source: Supermarket News #smartdiscount #aldi #usmarket #acquisition #windixie #harveys #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting #usa #expansion

  • Germany: In these three cities, Aldi Süd is launching its own delivery service

    Discount Retail Chain Aldi Süd (German family owned) is launching its own delivery service called "My Aldi". Initially, deliveries are to be made in the German cities of Mülheim an der Ruhr (where Aldi Süd Headoffice is located) and neighbour cities Duisburg and Oberhausen. The project began last week, the discounter confirmed to the German newspaper Handelsblatt. deliveries do not come from the markets, but from special small warehouses, which are called "dark stores" internally. According to the report, customers can choose between 1,300 items in the online shop. Initially, Aldi Süd delivered to its own employees near the company's headquarters, a kind of pilot project. This apparently went so well that the delivery service is now being tested on the market. However, only in the regions where deliveries have been made to employees so far. From the discounter's point of view, the critical point is whether and to what extent customers are willing to accept delivery fees. Because without fees, it will not be possible from Aldi's point of view to offer this service permanently, the business newspaper quotes the discounter. However, there is also a way out here, namely a minimum order value above which there could be free deliveries. Read more: Aldi: In these three cities, the discounter is launching a delivery service - Business Insider

  • Netherlands: New Action stores increase turnover

    Discount Variety Retail Chain Action (owned by PE company 3i group) has again experienced strong growth in the first six months of this year. The discounter opened another ninety stores in eleven different countries. This brings the number of stores to 2,353. Action achieved a turnover of 5.2 billion euros in the first half of the year, an increase of 33.5 percent compared to the same period last year. Following the example of the Netherlands, the discounter also opened a webshop in Belgium. Online, the company sells many products that are not available in stores, for example, because of their size. "In the first half of 2023, we will also see more customers coming to our stores, which has increased our turnover. The growth requires a lot of commitment from our employees," says CEO Hajir Hajji. Action has more than 80,000 employees and is active in the Netherlands, Belgium, Luxembourg, France, Germany, Poland, Austria, the Czech Republic, Italy and Spain. Read more: New stores increase turnover at Action | Economy | NU.nl

  • USA: Aldi far outpaces rival Lidl in share of wallet

    Discount Retail Chains Aldi and Lidl are two German grocery retail rivals on different paths in the U.S., but despite these opposing routes, the discount grocers do have some similarities, according to an analysis by customer data science specialist Dunnhumby. Dunnhumby's “Aldi, Lidl – Their Different Trajectories in the U.S. and How Each Should Still Scare Competitors Going Forward” report published Tuesday found that both retailers share the same playbook, especially when it comes to private-brand success. “Both have north of 80% of sales on private brand, far above the industry standard of 20-25%,” Dunnhumby reported. Dunnhumby’s Grocery Retailer Preference Index (RPI) study also noted that both grocery retailers rank in the top five when it comes to customer perception of “private brands can save me money.” Aldi ranks first, while Lidl is fifth, the report indicated. But there is a clear winner in this rivalry: Aldi is leading when it comes to shopper spend. According to Dunnhumby’s RPI database, Aldi captures 22% of a shopper’s grocery budget, while Lidl captures 16%. From a growth perspective, in the past three years, Aldi U.S. has expanded more than any other major retailer, Dunnhumby reported in its latest findings. And with the recent deal to acquire Winn-Dixie, Aldi is set to add some 400 stores to its portfolio. Lidl, on the other hand, has had its challenges, especially when it comes to leadership in the U.S. The grocer has had five chief executives since debuting in America in 2017. And new leader is set to start next month. Last Thursday, Lidl told WGB that “as of September, Joel Rampoldt will be responsible for Lidl's U.S. market as chief executive officer. Joel has many years of extensive retail expertise and has worked at Alix Partners, a global consulting company, as a Partner & Managing Director, and at KPMG.” Owned by the Schwarz Group, Lidl US last month closed 11 of its grocery stores in the eastern part of the country. And in February, Lidl US laid off about 200 workers at its corporate headquarters in Arlington, Virginia. Lidl's decision to plant its flag on the East Coast also contributed to its difficulties, the report said. “Lidl could have avoided going head-to-head with Aldi by starting on the West Coast instead of the East Coast, but they didn’t,” Dunnhumby said. “As a result, Aldi is cross-shopped by 55% of Lidl customers in the U.S.” With its pending acquisition, Aldi will grow its presence in Publix's territory in the Southeastern U.S., something the discounter is comfortable with, the report noted. Forty-five percent of Publix shoppers in Florida already shop at Aldi, Dunnhumby said, adding that, "They’re shopping there for produce, dairy and other fresh items (Publix’s wheelhouse), not just packaged food.” Despite its weaknesses when compared to Aldi, the report said Lidl has "done a good job driving app adoption." Source: Winsight Grocery Business #smartdiscount #aldi #lidl #usmarket #dunnhumby #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting #usa #expansion

  • Spain: Aldi advances in the implementation of its new refrigeration

    Discount Retail Chain Aldi Spain (German family owned) has in 30% of its stores a refrigeration system that uses only carbon dioxide (CO2), a natural refrigerant that does not harm or damage the environment. In total, there are already 126 of the 411 discounter stores in the country. In fact, practically all the stores opened more than two years ago by the company, already only use carbon dioxide in their food refrigeration systems, dispensing with other types of materials such as fluorinated, which would cause the emission of 43 tons per year per store. Thanks to this environmentally responsible cooling system, Aldi avoids the potential emission into the atmosphere of 5,368 tons of carbon dioxide per year. In addition, in case of leaks in such systems, they would be natural and would not affect the atmosphere. Thanks to this environmentally responsible cooling system, Aldi avoids the potential emission into the atmosphere of 5,368 tons of carbon dioxide per year. On the other hand, the company has also continued to make progress in the use of solar energy and, in 2022, the company avoided the emission into the atmosphere of more than 3,600 tons of carbon dioxide. During the past year Aldi Spain incorporated more than 19,230 modules to its network of photovoltaic installations, which allowed to close the year with more than 37,430 plates (equivalent to more than 85,640 square meters of surface). Currently, Aldi's photovoltaic installations are located in around 210 stores throughout the country and allow to take advantage of 97% of the energy generated for the establishment's own consumption and reduce greenhouse gas emissions. In terms of energy, all the stores of the chain have LED lighting and more than half, specifically 210 supermarkets, have home automation to improve efficiency in air conditioning and lighting, as well as the supervision of facilities and use and management of energy in stores. In addition, the discounter has 390 charging points for electric cars in more than 150 stores. Regarding the reduction of the use of plastic, in the last three years, and through the elimination of disposable plastic products, the redesign of packaging or the replacement of virgin plastic with cardboard or recycled plastic, Aldi has saved more than 1,730 tons of virgin plastic and expects to achieve that by 2025 all own Private Label brand packaging is recyclable, reusable and/or compostable. Read more: Aldi advances in the implementation of its new refrigeration (revistainforetail.com)

  • Russia: Neighborhood discounter Pyaterochka installs energy-generating solars at windows

    Pyaterochka retail chain (X5 Group) has piloted solars in one of its stores in Samara. Solars are special solar panels that are installed on the façade windows of the facility. They create optimal lighting in the room due to the adjustable angle of inclination of the slats, generate electricity and protect the room from overheating and hypothermia, reducing heating and air conditioning costs. This solution is used for the first time in a store. In addition to protection from the active sun, solers additionally protect the windows of the building from rain, heavy snowfall or hail, as well as minor vandalism, which has great potential for use in urban environments. Its average daily electricity generation with solars is about 23 kWh/day, thereby saving more than 700 kWh per month. "Our team continues to look for and implement energy-efficient solutions, as this helps us contribute to the achievement of the goals of X5 Group's sustainable development strategy, use resources responsibly and reduce greenhouse gas emissions. After testing solars at one of the stores, we plan to install them in other retail facilities with suitable criteria. Such solutions are not only useful and sustainable, but also beneficial to business, as they help save on electricity," said Ilya Dobroradnykh, Head of Energy Efficiency at Pyaterochka. Pyaterochka is developing several sustainable energy projects: 10 of its own distribution centres have been converted to green energy from hydroelectric power plants. The retail chain is also piloting solar panels in the Krasnodar Territory and introducing a smart store system that reduces energy consumption in retail outlets by 4.9%. In 2022, 793 facilities were equipped with this system. In 2021, the company began to convert its stores to renewable energy sources (RES). For the stores in the Republic of Karelia X5 closed an agreement for the purchase of electricity from hydroelectric power plants. The leased distribution centre (DC) in Kursk, utilizes green energy from Rosatom's nuclear powerplant. Source: Retail.ru:

  • Nigeria: Hard discounter Bokku Mart opens 25th store

    Discount Retail Chain Bokku Mart (owned by Nigerian Atreos Ltd.) opened last weekend its 25th store in Lagos. The copy-cat of the Nigerian Aldi seems to be successful in the largest economy in Africa with more than 210 million inhabitants. Bokku Mart operates its concept on 200 - 250 m2 and it covers about 350 commodity essential grocery products. Discount concept Jara opened their first store in 2019 successfully. The Jara concept differs from Bokka Mart, as the latter is a basic discount concept while Jara operates on 800 m2 with 2,000 SKUs, serving take-away food and offering a wider range of fresh on-spot-baked bread products. Source: DRC #smartdiscount #bokku #bokkumart #nigeria #lagos #aldi #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting #atreos

  • Mexico: The success story behind Tiendas 3B Stores

    Discount Retail Chain Tiendas 3B (owned by Anthony Hatoum and PE Group Quilvest Capital Partners) is a mini-supermarket in a 'hard discount' format, also known as discount stores. According to its internet site, it emerged as an alternative to offer quality products to the Mexican market, but with an affordable cost. This has allowed it to place almost 1,000 branches since its creation in 2005. The owner and founder of Tiendas 3B is the US - Libanese businessman Anthony Hatoum. According to his LinkedIn profile, he has remained CEO of the chain since its inauguration in 2005. According to several media, he founded it with only two employees. Hatoum opened 3B Stores with its own capital and from some investors. As he explains, in several interviews, he wanted to build on the successful model of the German ALDI stores and BIM in Turkey. Who is Anthony Hatoum, the owner of the brand? According to El Financiero, Anthony Hatoum is an American engineer of Lebanese origin. As he said in an interview with the media, he founded Tiendas 3B by hiring two people and renting an office. With this, he was able to start the brand in 2005, a year after having arrived in Mexico. His profile on the social network LinkedIn indicates that he studied a career in Engineering at Columbia University. Subsequently, he attended a Master's Degree in Engineering at the prestigious Massachusetts Institute of Technology (MIT). Finally, Hatoum added an MBA from Stanford University to his resume. Prior to founding Tiendas 3B, he had professional experience in companies such as JP Morgan and McKinsey. In addition, he held various management positions at Boyner Holding and Merryl Lynch. This is how he founded Tiendas 3B After jumping into the world of mini-supermarkets in 2005, Hatoum began the expansion of the discount retail brand in Mexico City and its metropolitan area, explains on the company's website. A year later, it opened its first distribution center in Cuautitlán, State of Mexico. At the same time, he launched Lactibu, his first own brand. By 2008, Tiendas 3B already had 100 branches in various locations. In addition, it registered 6 own brands of various categories. In 2016, the brand already accumulated 5 distribution centers and about 500 stores. This allowed it to enter the Top 500 of Grupo Expansión, says its site. Currently, its website reports 990 branches in several states of the country. In addition, it claims to maintain a distribution channel through the MercadoLibre portal. In its stores, it reports selling more than 750 products, so it is in the average of its format. This is the business model of Tiendas 3B In his profile, Anthony Hatoum points out that the business model of Tiendas 3B is based on that of the German ALDI stores. In an interview with ExcelsiorTV, he deepened that this modality emerged after World War II, where it was necessary to have low-value products due to the scarcity that the European country was going through. Its official website explains that its 'hard discount' model is based on offering own brand products. He points out that 60% of his catalog is made up of his own items, acquired with strict negotiations and low operating costs. Therefore, they can offer lower prices than their competition. In addition, its page attributes part of its success to its distribution process. He narrates that it is fast and efficient, which guarantees to reach the network of stores with quality. He even explains that it only incorporates an assortment with qualities equal to or superior to the leading brands in the market. Read more: Tiendas 3B: ¿Quién es Anthony Hatoum, el CEO y dueño del minisúper?

  • Malaysia: Mr DIY reduces sale of plastic bags

    Discount Variety Retail Chain Mr DIY ((listed at XKLS: MRDIY) reduces the sale of plastic bags by switching to eco-friendly sackcloth bags, chic, chic, environmentally friendly. It is known that waste of 1 plastic bag has a more serious impact than it seems because it is difficult to decompose. It took hundreds of years. Leaves a lot of residue. It pollutes the environment and harms life both in the water and on land. How to get rid of plastic bags Currently, there are 2 ways to get rid of plastic bags: 1. Landfill This method requires a lot of space and that area will never be farmed again. Because plastic bags are not biodegradable naturally and also damage the soil used for cultivation. 2. Incineration Of course, it produces carbon dioxide that warms the planet. But if it burns incompletely, toxic gases will come out, harming the earth and all living things. What we can do to save the world now Simple ways to relate to everyday life Just turning to cloth bags instead of plastic bags has helped the planet a lot. Many people may already have cloth bags attached to their homes. Don't forget to take it out now. Let's see what are the advantages of using cloth bags instead of plastic bags. Easy to wash Reusable frequently The fabric is soft and will not hurt your hands when you hold things. Reduce waste and do not generate greenhouse gases. Easy to take anywhere, with you, in the car, ready for any occasion. Today, Mr. DIY has a green sackcloth bag. Minimalist, beautiful, chic, eco-friendly, cute design, easy to match. Appeal to teenagers Let's have one with you to use instead of a plastic bag. Read more: Reduce plastic bags, switch to eco-friendly sackcloth bags, chic, chic and environmental friendly | MR.DIY Trading (Thailand) Co., Ltd | (mrdiy.com)

  • Ireland: Unlike in the UK Lidl performing better than Aldi in Ireland

    Lidl and Aldi ranked fourth and fifth place with 13.8% and 12.6% respectively. Worldpanel by Kantar data for 12wks to 06/08/23 sees #Dunnes and #Tesco joint top on 22.6% each and #SuperValu in third place with 20.9%. Grocery sales have been sluggish recently thanks to the wettest July on record and lots more outbound overseas travel. Private label remains strong with sales growing +13.0% versus brands at +5.7%. Some takeouts: Tesco Headline news is that Tesco are in 1st place, albeit jointly with Dunnes for the first time since August ’22 when they were also joint 1st place. With 22.6% value share and a lower average selling price than Dunnes or SuperValu we can safely say that Tesco are leading the market on volume share by a good stretch. But doesn’t it just illustrate the point that if you’re not pushing really hard then you’re likely going backwards! Inflation Inflation is still a major feature. The headline number is moderating but mainly because we are overlapping last year's increases. Shoppers aren’t feeling any real benefits yet. Looking at inflation on a two-year basis is interesting though. Despite the Irish food inflation is at 16.5% on a two-year basis, it’s still well below the EU, UK and USA regions. Possible reasons? Ireland: o has a high discounter market share (>25%); o also has one of the highest Private label shares globally; o retailers reach 10 years of widespread price-matching activity; o retailers pushing back very hard against CPIs. Source: Kantar, Malachy O'Connor #smartdiscount #ireland #lidl #aldi #tesco #supervalu #dunnes #kantar #smartdiscount #sainsbury #aldi #aldipricematch #pricematch #lidl #ukretail #supermarkets #competition #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting #marketshares #grocery #supermarkets #groceryindustry #supermarketinsights #competition #discount #discountfoodretail #discounter #foodretail #retail #drc #consultancy #discountretailconsulting #retailconsulting #consulting

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