Bizcommunity.com
www.bizcommunity.com
Africa's retail news resource for the industry! 10 Nov 2008
Retail, Associations, Banking & Finance, Brand news, Cold chain, CSI, Distribution, e-Commerce, Exhibitions, Franchising, Health & Safety, Hospitality, Import/Export, Informal Retailing, Instore, Logistics, Manufacturing, Merchandising, Packaging, Promotions, Refrigeration, Regulatory, Research, Retail services, Retailers, Security, Shopfitting, Supply chain, Technology, Training.

Jawellnofine
What is the first word that South Africans will say when they're asked if they enjoyed the conference? This question was posed by Michael Broughton of the Consumer Goods Council of South Africa, as a few of my colleagues and I stood chatting to him at the ECR Conference recently. "No" being the correct answer. As in, "No, we're thoroughly enjoying it!" Broughton pointed out that negativity was typical of locals; so much so that even when answering positively, it starts out in the negative. And it's this negativity that has been darkening the ideal of the country's greatest sporting project since the announcement that SA will be hosting the 2010 FIFA World Cup. But as ECR guest speaker Gary Bailey was quick to point out during his talk, the business opportunities are innumerable. And it's about time that we stopped standing in the wings, muttering about how the show won't go on, and actually start getting involved, in whatever capacity we can. Because, let's face it, in two years' time, the country is going to be awash with thousands of soccer fans the world over. Now, are we going to take the opportunity to welcome these people, offer up some local flavour and show them what South Africa is really capable of (while, it goes without saying, making a small mint from their euros and dollars), or are we going to sit around, shaking our heads and moaning that all these tourists are holding up traffic? As a slightly skewed version of the saying goes, when life hands you lemons, serve up the tequila and salt - you'll certainly earn more out of it than if you just simply make lemonade. However, if you're unsure or unaware of your options, from renting out your house to hosting a fan park, Bailey has scripted a game plan for just this reason - see http://www.gameplan2010.com/ for more information. Laduma-a-a!


Shan Radcliffe, Retail editor
retailnews@bizcommunity.com
Responses to this column welcomed in our new online editor's column archive.

Headlines

Retail
Retail sales figures likely to show further drop
[Thabang Mokopanele] Retail sales figures to be released tomorrow are expected to show further deterioration due to a slowdown in consumer expenditure as higher living and debt-servicing costs are demanding a larger chunk of consumers' budgets.

The seven deadly consumer biases
[Scott Brave] More is better, right? Wrong. In The Paradox of Choice: Why More is Less, Barry Schwartz explains how too many options actually cause more psychological distress than good. And nowhere is the overabundance of choice more prevalent than the Internet, where any given Web site can present us with an overwhelming number of alternatives at once.

Now is the time to market and create brand awareness
[Renato Palmi] The meltdown of international, regional and country specific financial institutions and the global economy as a whole and the subsequent trickle-down consequences for consumers is having a negative impact on the apparel industry. However, there are opportunities for companies and in particular for smaller independent boutiques and designers to consolidate their business, revisit their marketing strategy and customer relations in order to capture market growth.

MillerCoors JV reports strong performance
SABMiller Plc and Molson Coors has reported a strong performance by their new US joint venture in its first quarter of combined operations.

World's largest mall opens in Dubai
The Dubai Mall opened its doors earlier this week, with close to 600 retailers under its roof - marking what is said to be the world's largest mall opening in retail history.


World slump impacts on car sales
The international financial crisis is contributing to the slide in new vehicle sales in South Africa with October sales down a huge 31.2% over the same month last year.

Don't be a silly spender this season
During these challenging economic conditions for South Africans, consumers would do well to spend their money wisely and avoid falling into the dreaded debt trap. Christmas is an expensive time for us all, but don't go overboard on gifts and entertainment, advises Peter Setou, Senior Manager: Education and Strategy at the National Credit Regulator (NCR).

Retail sales to remain in doldrums
Retail sales in South Africa are likely to remain in the doldrums in the months to come given a generally challenging economic and financial environment, says Standard Bank group economics in a research note today. They expect growth in real retail sales to have recovered slightly to around -3% year-on-year (y/y) in September from the very steep decline of -5.5% y/y in August. "Economic growth has slowed down considerably, interest rates remain high, household debt levels are at record high levels, and inflation is eroding households' spending ability," note the economists. The data is due on 12 November. - I-Net Bridge

Have you pumped your brand?
The Playpump system not only helps you to help rural communities to obtain clean drinking water, it also provides you with an excellent medium to advertise and promote your company and its products to the community. For further details, and to see how you can make a wonderful contribution to the wellbeing of rural communities, click here. And have you thought of taking out a Bizcommunity.com Commercial Feature? It's a great way to tell the world about your company. For further details, email junita@bizcommunity.com.


Advertisement:



Associations
No cart required - The Heart and Stroke Foundation SA
The Heart and Stroke Foundation's Bellville Golf Classic takes place on the 28 November. Proceeds raised from this event go towards the Heart and Stroke Foundation's Children's Programme, which educates disadvantaged children on heart healthy habits from a young age and has reached almost 1,9 million children on a national basis.


Banking & Finance
Food, oil dominate 2008 global economy
[Michael Appel] The South African Reserve Bank's Monetary Policy Review (MPR), released on Tuesday highlighted that price increases in food and oil, coupled with a fluctuating exchange rate has dominated the economy in 2008.


Brand news
Game on for an interactive trip to the wild side
Two new multi-award winning board games from Blowfish Entertainment are set to capture the imagination when they launch in South Africa this November.


Liqui-Fruit splashes out with two new flavours
Liqui-Fruit is introducing two new flavours to its 2L range - Tropical and Mango. All Liqui-Fruit packs will also be participating in the juice brand's summer promotion, where one person will win a week holiday to the Rio Carnival in Rio de Janeiro.


Indian hair care company to open third plant in Egypt
Marico India will officially inaugurate Wednesday its third plant in Egypt's Sadat City that will bring Parachute, the company's largest selling hair care brand worth LE 700 million, to the Arab world's most populous market.

A fresh new look
Freshpak teas has launched two flavours to enhance the existing range of Rooibos, Herbal and Green teas, as well as revamping the packaging across the entire range.


New range gets young tails wagging
[ActivRetail] Bob Martin, a market leader in the pet healthcare industry, has launched a new range specifically made for puppies and kittens.


The exploding apple
[ActivRetail] Appletiser SA has just launched a new television commercial that aims to communicate the brand as the ultimate reward, one that can be enjoyed any time, any where.


Deck the halls with Pravda Vodka - Cornucopia Industries
The Christmas season is upon us, and as per usual the eager shoppers will be scanning for gift ideas. The rest of us will be thankful for the accomodating retail industry and their extended shopping hours - a week before Christmas.



Corporate Social Investment
A calendar that celebrates life
Moments In Time bridges the divide with legacy calendar that celebrates the tapestry of life in all its fullness.


Young cyclist won't let diabetes keep her off the road
Few 12-year-olds would be able to tackle the strenuous upcoming Pick n Pay 94.7 Cycle Challenge, even more so if they had diabetes. Team Roche Accu-Chek's youngest member, Michaela da Silva, will not only take on the hills of Johannesburg soon, but also the misperception that people with diabetes cannot live life the way they want to.

Sentient Communications lends a hand to Sibongile and Home from Home - Sentient Communications
Sentient Communications recently signed Home from Home as a pro bono account. The non-profit organisation assists in establishing and facilitating community-based foster homes.


e-Commerce
Keedo gets kitted online
Keedo, a Proudly South African children's clothing company, is taking its shopping experience online with the launch of their new website.


A true internet model for e-commerce fulfillment
[Mark Ayotte] The old-school approach to order fulfillment doesn't fly for many Internet retailers. Warehousing, packing, shipping and return-order processing are labour-intensive and time-consuming. This has led to a growing trend among online sellers - the use of Web technologies to automate order fulfillment.



Exhibitions
Soccerex workshops to focus on licensing, sponsorship
As part of the new industry-focused approach for Soccerex 2008, the inaugural International Football Club Summit (IFCS) will feature essential panels dedicated to licensing and sponsorship.


Instore media
Marin's rides Lama onto local soil
The multi-million dollar point of sale corporation, Marin's, has landed on local ground. Based in France, the company is investing in South Africa with an aim to place the country in the forefront of economic and technological advancement.


Manufacturing
Agave 'tequila' distillery goes to auction
The ClareMart Auction Group will sell what is billed as a first in South Africa, when a local 'tequila' distillery and plant goes under its hammer.



Packaging
Cork recycling programme launched
USA: ReCORK America has begun a recycling programme to reclaim a small portion of the estimated 13 billion natural cork wine stoppers sold into the world market each year.

‘Green' gains ground
Reportbuyer: New report identifies green packaging to be a key trend for booming convenience food and drinks market.

Crafty promo packaging delivers real results
[ActivRetail] The ability to offer customers a wide range of packaging solutions through a single point of contact was demonstrated recently when Nampak Cartons & Labels (Nampak C&L) and Nampak Inspection & Coding Systems (Nampak I&CS) worked together to deliver a cost-effective and efficient pack for the Jungle Oats 2008 winter promotion.



Promotions
Elle Decoration celebrates 10 years of style
Hot on the heels of Visi, Elle Decoration South Africa's extra - and extra-special - issue Celebrate! honours a decade of stylish living. “It's the magazine's 10th birthday, holiday time, the festive season, the end of 2008 and the beginning of the last year of the decade - need any more reasons to celebrate?” asks editor Karen Roos.


Sambuca zaps students with a little TLC
[ActivRetail] South African independent wine and spirit producer and distributor DGB, has again called upon washroom media specialists TLC to run a university washroom campaign for Zappa, the brand's leading sambuca product. Its latest campaign boasts updated creative and aims to instil brand awareness for the month of October and again from 1 February to 31 May 2009.


Bornfree Children's Festival gives new meaning to 31 October - Egg Marketing & Communications
31 October 2008 once again marked a couple of mild attempts by South Africans to celebrate Halloween. It also marked the birth of the Bornfree Children's Festival - an alternative, indigenous way to celebrate this date, courtesy of Egg Marketing & Communications.


Learners make their mark with Coca-Cola - Egg Marketing & Communications
[Charlotte Bradley] South Africa's business sector has an important role to play in the upliftment of the country's children. In 2006, ABI, the soft drink division of SAB, launched the Coca-Cola Make Your Mark School Programme, which focuses on introducing learners to the world of business.



Regulatory
Illicit trade is not a victimless crime
A new business report, presented recently at the East Africa International Business Forum in Kigali, capital of Rwanda, found that illicit trade in the region is not only undermining the formation of a single East African market, it is also costing EAC countries many millions of dollars in lost revenues.

US petition calls for FDA to regulate energy drinks
One hundred scientists and physicians have written a letter to the US Food and Drug Administration asking for more regulation of increasingly popular energy drinks because their high caffeine content puts young drinkers at possible risk for caffeine intoxication and higher rates of alcohol-related injuries.


Revised standards proposed for processed cereal-based foods
[Vivian Warby] In light of the increasing levels of malnutrition coupled with food insecurity and high food prices, a standard for processed cereal-based foods for malnourished infants and young children has been proposed.


Research
Obesity blame game offers market opportunities
Consumers are shifting blame for obesity problems in the US on to food manufacturers, saying they should provide healthier products and holding them more responsible than fast-food firms, according to US analysts.

Buyology: The one lesson you simply cannot afford to miss! - Random House Struik
Martin Lindstrom is one of the world's most highly regarded branding gurus, boasting clients ranging from McDonald's, Disney, Microsoft and Mercedes-Benz.



Retail services
To keep customers coming back, get personal
[Robert Cell] As the economy continues to decline, retailers are fighting a fierce battle for a share of the consumer's wallet. Every customer counts, but the loyal customers are particularly valuable, especially when your competitor is just a click away.

Customers for life
[John Boe] The most successful companies place great value on developing lifetime relationships with their customers. In today's competitive marketplace, they're aware that their customers are aggressively prospected and their loyalty cannot be taken for granted. Customer-focused companies recognise that relationship building and follow-on service are critical components for promoting both customer retention and revenue growth.


Evolution of the retail industry in the 21st century
Gone are the days of quaint tailors on cobbled streets, shopkeepers that know your name and product preference by heart, and shops that thrived off a client base of a mere 40 customers. Looking back to the 19th century a lot has changed over the years but the customer focus remains the same and has again come into the limelight, only this time on a much larger scale.

Stop giving your customers reasons to leave
[Irwin Kramer] Most retailers experience a downturn in a weak economy. As consumers rein in spending, a downturn is usually not distributed equally among all retailers. The extent of the downturn depends on a number of factors, including geographic location of stores, product categories being sold and specific market segments. In order to survive a tightening economic climate, retailers must focus on their short- and long-term objectives.


Retailers
Tough times ahead for retailers
Retail sales are likely to remain in the doldrums in the months to come given a challenging economic and financial environment, said Standard Bank group economists in a research note on Friday.

Lewis posts lower interim earnings
[Tiisetso Motsoeneng] Furniture retailer Lewis has reported a 0.9% decline to 305.7 cents in headline earnings per share for the interim period ended September compared with the same time a year ago.

Dressed for future success
[Sasha Planting] Analysts are careful not to suggest that Foschini is a bellwether for retail sales - they prefer to look at Truworths or Edcon.

Musica relaunches magazine
Local entertainment retailers Musica are the founding brand partners in new quarterly entertainment magazine Play. Published by The Publishing Partnership (TPP), the consumer magazine will be launched in December 2008 as part of the retailer's new branding positioning.


Gauteng names top forecourt retailer
BP Express is Gauteng's most popular forecourt retailer according to the recent Ipsos Markinor Retail Survey commissioned by The Times and Sowetan newspapers.


Truworths 18 weeks sales up 14% to R2.065bn
Apparel retailer Truworths reported today that sales for the 18 weeks of its full year 2009 rose 14% to R2.065 billion, but said the environment remained challenging.

Circuit City may become ghost town
[Renay San Miguel] USA: The same credit problems that have hit many a home mortgage holder are also threatening to unplug troubled electronics big-box store Circuit City. The nation's second-largest seller of consumer electronics said Monday it will close 155 stores, lay off up to 17% of its 43,000-employee US workforce, and consider all options to restructure its business.


JD Group expects lower full year earnings
Furniture retailer JD Group said today that for the 12 months ended August its headline earnings and earnings per share attributable to shareholders are expected to be between 47% and 57% lower than those reported for the previous corresponding period. Its operating profit before debtors costs, net finance costs and taxation for the 12 month period is expected to be between 25% and 35% lower than reported for the previous corresponding period, it said in a trading update. The group's results will be released on 17 November. - I-Net Bridge


Security
Cape Town copperheads expose fuel theft syndicate
[Luyanda Makapela] A fuel theft syndicate, responsible for stealing thousands of Rands of petrol has been uncovered in the Western Cape. Authorities have since urged other large corporations to be on the lookout for similar crimes.


Technology
Online ad targeting: From 'maximize' to 'optimize'
[Mike Troiano] When's the last time you heard an online retailer complain that their banner ads were too well targeted? How about an online publisher lamenting the torrent of accurate user data they were able to capture, or for that matter a user who just wanted more of the ads they were getting to be irrelevant to them?

Now prepaid airtime purchases cross borders
South African FNB customers registered for Cellphone Banking can now buy prepaid airtime and instantly send it to the cellphone of a friend or relative in Namibia.

Fujitsu invigorates LifeBook line
[Walaika Haskins] Fujitsu debuted two updated models and an entirely new model in its LifeBook line of notebook computers Tuesday. The new U820 and P1630 are new versions of models the hardware maker released in 2007. The all-new LifeBook N7010 features two screens - a traditional 16-inch wide display as well as a 4-inch colour touchscreen situated near the keyboard.

New competition emerges in MNS market
[Rhonda Ascierto] Demand for managed network services (MNS) providers is growing quickly as enterprises of all sizes grapple with increasing network traffic and complexity. At the same time, enterprises are seeing their services budgets shrink. This has created an intensely competitive landscape among global MNS providers, and even the industry's bellwether providers face new and significant competitive threats.

Shuttleworth in no hurry to make a profit
Canonical isn't making a profit, but founder Mark Shuttleworth isn't too worried about it. He's still got lots of money left from when he sold his security company, Thawte, to VeriSign. To Shuttleworth, Ubuntu is a "good investment," but might never make huge profits.


Training
Helping you to choose the right MBA
The number of MBA applicants in the world continues to rise. Offering these prospective MBA candidates the opportunity to meet face to face with the world's top international business schools, the Access MBA One-to-One event is crafted to be a unique and effective way to find the right MBA.


Galleries
The summer of good food and wine


More  
More...  
 

Events to diarise
World Halal Expo SANHA - Dubai, 11 November
Halal World Expo is more than an exhibition - it's a business platform catering to the needs of the global Halal producers, traders and business leaders.
 
6th African Business Leaders Forum Business In Africa Magazine - London, 19 November
A gathering of Africa's most distinguished senior business leaders, public sector decision-makers and entrepreneurs will converge for the 6th African Business Leaders Forum in London(UK).
 
The Annual Advertising Conference - Cape Town, 25 November / Johannesburg, 27 November
Join Jeremy Maggs for an insightful and hard-hitting morning conference as he attempts to find out where advertising, branding and design is heading in these uncertain economic times.
 
 

Jobs offered    Specialising in Media Sales, Advertising
and Marketing placements
OPEN DOOR Recruitment:
Planner - Womenswear - AA - Cape Town
Skilled Affirmative Action merchandise planner required for leading retailer in Cape Town, to take responsibility for developing, implementing, controlling and revise/adjust all elements of merchandise planning to ensure profitability. read more

  • Trainee Regional Manager - Gauteng/Western Cape
  • Assistant Budget Analyst - Finance - Cape Town
  • Shipping Clerk - Cape Town
  • Trade Creditors Clerk - Cape Town
  • Analyst Programmer - Northern Suburbs
  • Analyst Programmer - Northern Suburbs
  • Oracle Database Administrator - Bellville
  • HR Manager - Bellville
  • HR Manager - Pretoria
  •  

    Quotes
    "You can never get enough of what you don't need to make you happy." - Eric Hoffer
    "Whenever you see a successful business, someone once made a courageous decision." - Peter F. Drucker
    "We see our customers as invited guests to a party, and we are the hosts. It's our job every day to make every important aspect of the customer experience a little bit better." - Jeff Bezos
    "You create your opportunities by asking for them." - Patty Hansen
    "The achievement of your goal is assured the moment you commit yourself to it." - Mack R. Douglas
    More...  Submit a Quote
     

    Print - Print any item in this newsletter.
    Email - Email any item in this newsletter.
    Comment - Comment on any item in this newsletter.




    PRESS RELEASES: Distribute your news professionally to our subscribers throughout Africa. Press office info.

    EDITORIAL: We welcome your news, views or discussion topics: please send these to retailnews@bizcommunity.com

    ADVERTISING: We welcome your sales enquiries: cheryl@bizcommunity.com, Advertising rates.
    Cape Town: (021) 680 3500, 24 On Main, Main Street, Rosebank, Cape Town, 7700, South Africa
    Johannesburg: (011) 612 3003, Sutton Square, The Business Centre, 8 Gemsbok Rd, cnr 12th Ave, Rivonia, Gauteng

    Invite your friends, colleagues, suppliers, customers and partners to subscribe.

    Unsubscribe. Subscribe. Change email address. Change frequency to DAILY.
    Copyright (c) 2008 Bizcommunity.com. All rights reserved. Bizcommunity.com, its sponsors, contributors and advertisers disclaim all liability for any loss, damage, injury or expense that might arise from the use of, or reliance upon, the services contained herein.

          
    Partnered with:

    ActivRetail-fmcg.co.za provides information on retail sector companies, their brands, products and services, plus an extensive range of information on related subjects including research, certification, regulations, and much more.



    Companies in the news