All re-initial changes in UK retail?

Given that AH has almost clocked-up one year in Alliance Boots, with MB checking-out the rails at M&S, DP bringing global thoughts to Morrisons, AB now risen above Asda, leaving JK in taken-over financial mode at JS, and TL optimising the profit-mix at Tesco, a change of fiscal-government should make the UK a place where financially-focused key account management really makes a difference…if not a pre-requisite…
Keep counting on Namnews..

Sainsbury's rolls out self-checkouts

News that Sainsbury's are extending the use of self-scanning (cost transfer, HR reduction) raises the question of when it will be worth bar-coding the shopper (easily-assimilated, non-excreted RFID tags), in the interest of optimising resulting shopper-insight, enhancing loyalty card output, and even monitoring the shopper's state of health to prolong lifetime value of favoured customers?

Have a nanny-weekend, from the Namnews Team!

Sheepish-pigs stats confusion in categories…

A trio of Hungarian wooly pigs which look like sheep have arrived at the Tropical Wings Zoo, Essex, in an attempt to save the rare breed from extinction..
Given the need for accurate description, and pre-election political hypersensitivity to immigration transparency, the real issue has to be how the mults will label the resulting exotic produce, not only the edible offer, but also the spun-fabric from the wooly hides…
Also, given the fact that the wooly coats will protect the pigs from burning in the summer sun, can H&B suppliers expect a resulting downturn in demand for suncream protection products from sensitive pig farmers, as the niche enters the mainstream?

Have a wild, wooly weekend, from the Namnews Team!

Airline chaos: another nail in the coffin of discretionary business travel?

The past week's compulsory grounding coupled with the 'regular' delays, body-scans, strip-searches, cost and general inconvenience of air travel has given a shot-in-the-arm to video conferencing and net-based meetings.
Obviously, nothing beats the real thing (?), but business travellers have to question whether the advantage of face-to-face over screen-to-face is always worth the trouble?
Suppose this results in a 20% drop in business air-travel, then there will be a drop in premium-fare revenue. The reduction in this subsidy will then increase the cost of economy travel, further alienating non-business travellers.
As world governments are now insisting that airlines compensate travellers for last week's 'act-of-God' costs, the result will be an increase in insurance cover by the airlines, causing them cut costs including staff-reductions thereby reducing service-levels... This will oviously cause them to raise their prices, making alternative transport and comms-media even more attractive, physically and financially….

Time to re-consider an 'inhouse' EMR-Namnews webinar, tailored to your categories, customers and trade issues, without leaving your laptop?
Contact bmoore@namnews.com for details

The Race for Asda?

The fact that bookmaker Paddy Power is giving betting odds on possible successors to Andy Bond, may cause interested punters to miss the real race at Asda.

Whilst the possibility of growing share via a takeover of Argos and Homebase will possibly share some of the on-course enclosure limelight (Competition Commission permitting), the real issue has to be the fact that Asda has never been able to meet Walmart's scale ambitions in the UK because competition and planning legislation prevented both growth via acquisition and organically.

Perhaps better for Walmart to liquidate its UK interests and use the proceeds from a sale of Asda to fund development in India and China.

Having restructured its financial relationship with Asda by placing it within their UK Corinth Finance operation, it becomes technically easier to sell the company. At something between 5 x earnings and 50% of turnover i.e. between £5bn and £9bn it would appeal to either a Private Equity company or a Sovereign Wealth Fund (China or Middle East)

However, as a Private Equity owner would need a 5 year exit-strategy via flotation at ratios comparable with Tesco, this is a no-go because of the same growth restrictions being experienced by Walmart. Given that Asda is probably in reality 'a nice little earner', our money is on the probability of a Sovereign Wealth Fund being the ultimate winner….

That leaves it a toss-up between Chinese (side-bet Mandarin or Cantonese?) and Arabic evening lessons for Asda NAMs over the coming months.

Getting the last drop?

News that attempts are being made to bring Dracula back to his roots* via a new course at the University of Hertfordshire "Open Graves, Open Minds: Vampires and the Undead in Modern Culture" suggests that there may be an opportunity for the government to jointly promote GSCOP as a means of reducing buyer-pressure on suppliers….

Meanwhile, have a bloody good weekend, from the Namnews Team!

GSCOP: All you need to know, in 2.5 minutes!

Morrisons on the way to cracking a philosophical dilemma, chicken or egg?

News that Morrisons, the first of the multiples to switch to selling 100% British free-range own-label eggs, have introduced an online egg-tracker to help customers trace the origin of the eggs to the farm where they were laid, raises the question of how far back they will want to go….
Presumably their customer relations department have been briefed on how to handle those customers that insist on proof of not only name and ethnicity of the hen but will also require supply chain reassurance that the Original Egg was not born without parents…..

Have a long cracking weekend, from the Namnews Team!