5 Oct 2009

 

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Recession? What recession?

Anyone attending this year's Nedbank Cape Winemakers Guild auction may be under the illusion that the recession is nothing more than a rumour, as the total sales of R5,2 million topped last year's takings by more than 5%. And considering there was 10% less wine on offer, this was no mean feat. Although just over R800,000 of that went to overseas buyers, another local initiative has caught the attention of the international market. The Itlhabolole Waste Management organisation, borne in a village on the SA-Botswana border and manufacturers of haute couture bags, shoes and clothing from recyclable waste, will be exporting its goods to Germany. Another cause for celebration this week is the drop in the petrol price on Wednesday... However, the vox pops I caught on 5fm last week proved that as pleased as the public is about the drop, they're under the impression that what comes down, must go up and are bracing for another hike next month. Till then, happy savings!


Shan Radcliffe, Retail editor
retailnews@bizcommunity.com
Responses to this column welcomed in our new online editor's column archive.
Image: One of the stylish Itlhabolole Waste Management bags on show at Decorex.

Top stories



Editorial news

Retail


CWG auction sales smash records
A record number of buyers at the 25th Nedbank Cape Winemakers Guild broke last year's sales figures by over 5% - despite shorter wine list and recessionary climate. Held in the Stellenbosch winelands over the weekend, the auction brought in R5,2 million rand on the 2009 lineup of wines made exclusively for the auction by members of the Guild. Read more >>

Petrol price to drop in October
South African motorists will be able to breathe a sigh of relief next week - as petrol and paraffin prices are to drop. Read more >>

September another downer for new car sales
Although there has been a slight improvement in new car sales volumes over the previous month, September sales were still down by more than 22% according to figures released by the National Association of Automobile Manufacturers of South Africa (NAAMSA). Read more >>

Good international reviews precede Guild Auction
Two blind tastings in New York saw both James Molesworth of Wine Spectator and Steve Tanzer of the authoritative International Wine Cellar give the 2009 Nedbank Cape Winemakers Guild Auction wines exceptional reviews. Read more >>

Entries open for PE teen fashion show
Entries are open for the Mr & Miss Lollipop fashion show at Pier 14 Shopping Centre in Port Elizabeth on Saturday 17 October 2009 and close on 9 October. Open to teenagers 13-17, entrants need only pay R25 and have a professional photograph taken at Studio 4 at the centre. Unsuccessful entrants may keep their photos. Read more >>

Casting call for SA's first global supermodel search
The search is on for the Joy Star Model SA - a new kind of modeling competition - with casting taking place countrywide in October. Read more >>

The Times and Sowetan 2009 Retail Awards expands reach
Those attending The Times and Sowetan 2009 Retail Awards will discover which retailers have made the grade and came out tops as South Africa's favourite places to shop. Read more >>

Banking & Finance


Going MiWay
One of the youngest financial service brands in the market, MiWay, is on track in terms of growth targets as well as premium income projections after 18 months. This has been achieved despite economic pressure and a very competitive local insurance landscape. Read more >>

MTN rolling out Standard Bank's network infrastructure
Standard Bank South Africa has awarded MTN Business, a wholly owned division of MTN, the contract to rollout the African network infrastructure footprint. The bank, which under Stanbic has a presence in 17 countries across the continent, required the successful provider to ensure maximum uptime and low latency and guarantee data delivery back to South Africa without interruption to business operations. Read more >>

Stokvel banking now possible
Research by Finmark Trust reveals that more than 50% of stokvel members in the mass market do not have a bank account, 94% of members are black and 57% are women. In response to this, FNB has launched its Smart Solutions Stokvel Account. Read more >>

Brand news


Nico Grobler made winemaker at Eikendal
Eikendal Wine Estate, based at the foot of the Cape's Helderberg, has appointed its new winemaker, Nico Grobler - who is anything but a newcomer to the vineyard. Read more >>

Danone settles with Wahaha, sells JV stake
SHANGHAI, CHINA: French food giant Danone said Wednesday, 30 September 2009, it had ended its longstanding feud with Wahaha, China's largest soft drink maker, by agreeing to sell its 51% stake in their joint ventures. Read more >>

New Rosé for summer drinking

click to enlarge
Grünberger, a beloved South African brand, has launched the new Spritziger Rosé an easy drinking off-dry wine with a hint of sparkle, in a slender bottle with its distinctive silver and rose label. Serve with pasta, fish, shellfish, poultry, pizza and cream-based dishes and cheeses. Grünberger Spritziger Rosé retails at around R29.00.

Sweet award for top five company
Mars Africa, the wholly owned division of Mars Inc a family owned business established in 1911 producing some of the world's leading confectionery, was named as one of the five best companies to work for in South Africa. This was according to the Deloitte Best Company to Work for Survey released yesterday, 29 September 2009. Read more >>

Unilever offers $1.8bn for Sara Lee
THE HAGUE, NETHERLANDS: Anglo-Dutch food and cosmetics giant Unilever said it had made a binding offer of €1.28 billion (US$1.83 billion) for the personal care operations of US giant Sara Lee Corp. Read more >>

Experienced marketer joins Swartland
Robert Riedel, a veteran of the liquor trade, joined Swartland Winery in September 2009 as the new marketing manager. He is known for the successes of Oude Meester brandy and Amarula Cream, and their rise in the global market, during his time at the KWV and early years in Bergkelder. Read more >>

Cold chain


New milk supply arrangements for Nestlé Zimbabwe
The Dairy Board of Zimbabwe yesterday, 1 October 2009, informed the Gushungo Dairy Estate and the seven other farms with whom Nestlé Zimbabwe began working on a temporary basis in February 2009, that it is now in a position to resume purchasing their milk. Nestlé Zimbabwe therefore will no longer be receiving milk from these eight farms from Sunday, 4 October 2009. Read more >>

Nestlé defends buying milk from Mugabe
Nestlé Zimbabwe yesterday, 28 Septemeber 2009, defended its decision to buy milk from Gushungo Dairy Estate, a formerly white-owned farm taken over by Grace Mugabe, wife of President Robert Mugabe. Read more >>

Commercial property


Hermes buys site on New Bond Street
French luxury group Hermes said on Thursday, 1 October 2009, it had bought a property on London's New Bond Street, a venue for high-end retail shops, for £73 million (€80 million, US$116 million). Read more >>

Piazza to get new retail attraction
Johannesburg's mixed-use precinct Melrose Arch is likely to give Sandton and Rosebank a run for their money by turning itself into a retail attraction. Read more >>

Corporate Social Investment


IT skills uplift Cape students
Discovering that of the 1000 job seekers ADT Security interviews every month, the majority do not have the most basic of skills and are therefore unemployable, the company has established the ‘ADT Teach' programme. Read more >>

CRM


NCA necessitates upgrade in ERP, CRM
“The National Credit Act has had a significant affect on businesses like ours. We recognised the need to upgrade our current system, as it is no longer meeting our needs, especially in terms of compliance with the NCA,” states Michael Swanich, credit manager at Capri Linen. Read more >>

Consumer Protection Act crimps loyalty programmes
The majority of the provisions of the Consumer Protection Act come into effect next year on 24 October 2010 and one that must concern companies is its effect on loyalty programmes. These will have to be overhauled to meet consumer protection requirements. Read more >>

e-Commerce


WantItAll goes to Brazil
The online store WantItAll announced its official launch into Brazil on Thursday 1 October 2009. In keeping with the idea of its English name, the Portuguese/Spanish name for the site is CompreUS, meaning ‘buy U.S.' It uses the technology and knowhow, pioneered in South Africa, to allow Brazilians to order whatever they desire from the US off Amazon.com. Read more >>

Exhibitions


Ready-to-wear shows without Lacroix for first time
PARIS, FRANCE: Christian Lacroix, whose show was always one of the hottest tickets in Paris fashion week, will be conspicuous by his absence from the round of ready-to-wear collections for next summer starting today, Wednesday 30 September 2009. Read more >>

Soweto Festival exposes small business to world
[Luphert Chilwane] Since its inception five years ago, the Soweto Festival has created business opportunities and encouraged business owners to take part in the mainstream of the local economy, says a Soweto entrepreneur. Read more >>

Green sustainability


Rags to riches
On the border between Botswana and South Africa, Ikopeleng village produces haute couture items using recyclable waste products and will now export these to Germany. Itlhabolole Waste Management, meaning ‘develop yourself' in Setswana, manufactures fashionable ladies bags from sling to shopping, shoes, traditional Tswana clothing, plastic wreaths, dustbins, peg holders, mats and placemats from plastic. Read more >>

Australian town in 'world-first' bottled water ban
SYDNEY, AUSTRALIA: An Australian town pulled all bottled water from its shelves and replaced it with refillable bottles in what is believed to be a world-first ban. Read more >>

Call for entry: inaugural Nedbank Organic Wine Awards
Wine magazine, in partnership with Nedbank, is launching the inaugural Nedbank Organic Wine Awards to recognise and encourage environmentally friendly wine production. The competition aims to reward producers with the best environmental practices and the best wine made from certified organically grown grapes. Read more >>

Health & Safety


EU warns recall of iPhones if labs show faulty production
BRUSSELS, BELGIUM: The European Union's consumer czar warned that iPhones would be taken off the market if national authorities find manufacturing faults lie behind mystery screen explosions. Read more >>

Import/Export


US importer defends SA wine
New York-based wine importer Cape Classics has defended South African wine in the face of a critical article published in Time Magazine, which claimed the country only exports “crud”. Read more >>

Manufacturing


Finlay shuts down Mara Mara factory
[Carole Kimutai] James Finlay (Kenya), a local tea extracts manufacturing firm, has announced the commencement of a phased shutting down of its Mara Mara Tea Extracts factory located in Kericho, Rift Valley. Finlay's sales volumes have been affected by the economic downturn and increasing competition from lower cost production centres. Read more >>

Clothing workers return to work
Sactwu-affiliated workers in the clothing industry began returning to work on Wednesday, 30 September 2009, as the union sought its members' mandate on whether to accept a wage settlement. Read more >>

Cosatu threatens to bring W Cape to a standstill
[Michael Hamlyn] Cosatu in the Western Cape is threatening to bring the province to a standstill in support of the clothing workers who have been on strike to press a wage claim. Read more >>

Packaging


New face of Sasko
Having been around for 70 years, Sasko Grain has re-energised the Sasko Flour brand making it stand out through a striking design using black and white photography, and red. To increase brand exposure, it has launched its first “Share the Goodness” TV advert, which builds on previous television exposure on shows like Muvhango and Mara and Friends. Read more >>

Traditional wine with a contemporary twist

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Zonnebloem, one of South Africa's major wine brands dating back to the early part of the 18th century, has released its first white wine under screw cap. Viognier 2009 is a classic Rhône varietal, first released in 2008, and is the perfect table companion to spicy foods and seafood. The Zonnebloem Viognier 2009 retails at around R40 per bottle.

Regulatory


Booze costs SA billions
[Alfred Moselakgomo] Trading in liquor contributes R10-billion a year to the country's economy, an indaba in Mpumalanga heard late last week. Read more >>

EU orders MP3 makers to turn down the volume
BRUSSELS, BELGIUM: The European Union has ordered MP3 and mobile phone makers to turn down the volume on their must-have gagdets, warning on the risk of deafness to millions of teenagers. Read more >>

Massmart in consumers' interests
[Sasha Planting] Competition will not be eroded, said the competition tribunal as it overturned a recommendation to prohibit Massmart's acquisition of a single cash 'n carry operation, Finro Enterprises in Port Elizabeth. Read more >>

Research highlights debt-counselling obstructions
The University of Pretoria and the National Credit Regulator (NCR) have produced a 331-page report entitled The debt counselling process: challenges to consumers and the credit industry in general that spells out the shortcomings in the debt restructuring process and applicable law and identifies the parties responsible for delays or prevention of the process finalisation. Read more >>

Retail marketing


Stripey ready for school
Aquafresh announced that Kayla Lemkus was the winner out of 12,000 entries received to ‘Name the Nurdle' competition running throughout this year. Her name ‘Stripey', for the recently created Aquafresh character, will enable the brand to use this colourful messenger in pre-schools throughout Gauteng. Read more >>

Kraft denies Vegemite iSnack2.0 a stunt
SYDNEY, AUSTRALIA: US food manufacturer Kraft on Tuesday, 29 September 2009, denied it was a publicity stunt to name a new creamier version of the iconic spread Vegemite 'iSnack 2.0', but suggested it might yet ditch the unpopular moniker. Read more >>

Retail services


Vodacom lowers tariffs
From 1 October 2009, prepaid customers can choose between Vodacom's existing packages and its new packages: All Day or Per Second Plus Prepaid packages, which offer significantly reduced call rates with reputedly the best all-day and on-net peak prepaid rates, available to the South African market. Read more >>

Retailers


Second-quarter sales up at Marks and Spencer
LONDON, UK: British retailer Marks and Spencer on Wednesday, 30 September 2009, said that sales improved in its second quarter, driven by revamped food, clothing and homeware products, but it remained cautious about the outlook. Read more >>

Independents ‘charge more for drug dispensing'
[Kgomotso Mathe] Customers may be paying more on dispensing and administration fees at independent pharmacies than at their in-store corporate counterparts. Read more >>

Supply chain


Could good procurement save millions?
Bernie van Niekerk, editor of SmartProcurement and founder of Procurementtips.com, says many South African companies, simply by managing their procurement correctly, could double their net profits. Read more >>

Sovereign increase in earnings
In a major turnaround, Sovereign Food Investments recorded diluted headline earnings per share of 70.3 cents for the six months August compared to a loss of 102.9 cents per share for the previous comparable half-year. Read more >>

Sustainable supply chain management conference, Pretoria
The Sustainable Supply Chain Management Conference 2009, being held at the Reserve Bank Conference Centre Pretoria on 17-18 November 2009, will bring leading South African experts, policy makers and analysts together to share the latest best practice and thought leadership around sustainable supply chain management. Read more >>

Kenya's tea production drops on drought
NAIROBI, KENYA: The Tea Board of Kenya on Monday, 28 Septemeber 2009, said the country's tea production fell 11.6% in the six months to August owing to the ongoing drought. Read more >>

Technology


PlayStation free offer
The PlayStation Portable go, (PSPgo) released by Sony Computer Entertainment Europe (SCEE) on 1 October 2009, is offering a free copy of Gran Turismo PSP with every purchase until midnight (GMT) on 10 October. Read more >>

New Vodacom offer for special needs
The elderly and the nearsighted can enjoy an easy-to-use cellphone from Vodacom. The launch of the new low-cost ZTE S302 cellphone has a range of benefits for an array of specific needs. Read more >>

Second international recognition for Strategix
Strategix Business Solutions, an international consulting company, dedicated to provide integrated enterprise resource planning (ERP), customer relationship management (CRM) and supply chain management (SCM) solutions to large and mid-market companies worldwide, has achieved Dell Tier One Partner status, making it one of only six in South Africa. Read more >>

What's brewing online?
For coffee lovers, a new consumer website from Nescafé, created by Ledimo Solutions, is aimed at not only providing details on brands but will also offer competitions, recipes and social networking over a virtual cup of coffee. Read more >>

Training


Procurement, supply management conference
The third annual SmartSourcing Conference, hosted by SmartProcurement will take place from 10 - 11 November 2009 at Leriba Lodge in Centurion, Gauteng. The title is ‘7 + 1 key strategies and trends for achieving world-class procurement and supply management throughout the next decade within the context of local preferential procurement targets'. Read more >>

International conference on entrepreneurship at Wits
The second Annual International Conference on Entrepreneurship will be held at Wits Business School (WBS) on 8-9 October 2009. In partnership with the Department of Trade and Industry (dti), Wits Business School's Centre for Entrepreneurship (CfE) will present 22 entrepreneurial experts discussing how traditional entrepreneurial practices are undergoing a major transformation in response to the new demands of the global market economy. Read more >>


Company news

Brand news


I&J Flame Grills Hake with Tangy Apricot Sauce - I&J
I&J Flame Grills Hake with Tangy Apricot, the new addition to I&J's Flame Grills fish range, is low in fat, contains omega-3 fatty acids, has no additives and is Weigh-Less approved. Read more >>

Exhibitions


StrangeLove won the war and the runway - Stimulii
South African designers StrangeLove returned to Sanlam SA Fashion Week to showcase their debut Tropika@Play collection, one year after winning the chance to design the playful collection. Read more >>


BizLounge


Jobs offered
  • Cashier - CBD - City
  • Buyer - Ladieswear - Durban
  • Administrator - Cape Town
  • Shop Assistant - Nelspruit and Witbank
  • Key Account Executive - Johannesburg

  •   OPEN DOOR Recruitment:
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    www.opendoor.co.za

    Events to diarise
  • 3rd Annual BEE Conference EES-SIYAKHA - Johannesburg, 6 October
  • Destination Branding for 2010 BrandOvation - Johannesburg, 8 October
  • The Informant and Current Compeition Law Nu Metro Cinemas - Johannesburg/Cape Town, 8 October
  • Professional purchasing and procurement skills CBM Training - Johannesburg, 14 October
  • 2nd Luxury Marketing Summit Marketing Mix - Johannesburg, 14 October
  • Internal Branding: Delivering the Brand Promise BrandOvation - Johannesburg, 15 October
  • Online Media Planning Seminar - Cape Town, 15 October
  • NICRO Annual Fundraiser - Cape Town, 16 October
  • Online advertising strategies Phoenix Business Solutions - Cape Town, 19 October

  • Upcoming events
  • Re-inventing organisational development The Conference Hub - Johannesburg, 8 October

  • Quotes
    "A budget tells us what we can't afford, but it doesn't keep us from buying it." - William Feather"The more you engage with customers, the clearer things become and the easier it is to determine what you should be doing." - John Russell"If you're a gifted flirt, talking about the price of eggs will do as well as any other subject." - Mignon McLaughlin"The real danger from advertising is that it helps to shatter and ultimately destroy our most precious non-material possessions: the confidence in the existence of meaningful purposes of human activity and respect for the integrity of man." - Paul Sweezy"Great designers seldom make great advertising men, because they get overcome by the beauty of the picture - and forget that merchandise must be sold." - James Randolph Adams

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