 22 Nov 2010 |
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Leaner times ahead?Not too long ago there was a report in the media regarding textile workers in KZN, who, it seemed, were prepared to work for less than minimum wage - on the eminently sensible grounds that it's better to have a job on a lower salary than no job at all.
Agreed, no one in their right mind wants to see labour exploited, but one sometimes wonders if the unions (and the government, for that matter) really think things through when it comes to their wage demands, and minimum wages, respectively. Today we carry a report on PnP - and the fact that there appears to be a new resolve on the part of management to make the company leaner and more efficient in the future; as it stands, its wage bill places it at a disadvantage with regard to its competitiveness. The company is also looking at improving productivity - a quality in which many in and out of business believe South African labour falls short. The bottom line is that if labour costs continually rise without a commensurate rise in productivity, a company will either go to the wall, or it will reduce its labour force - through retrenchments, layoffs and natural attrition, or a combination thereof - and either way will mean more workers losing their jobs, and more unemployed in SA. We'd all love to make more money, but surely not at the risk of losing our jobs - is there not a middle path? Rod Baker, General Manager: Content Please send retail news to: retailnews@bizcommunity.com Responses to this column welcomed in our new online editor's column archive. Top stories
Banking & FinanceEarners 'grossly underinsured'[Sure Kamhunga] Millions of families could become virtually destitute if the main breadwinner were to die or became disabled, because many income earners are grossly underinsured for both death and disability, according to insurance experts. Read more >>Repo rate hits 30-year low Although the Reserve Bank cut its key repo rate by half a percentage point to 5,5% yesterday - a new 30-year low - and governor Gill Marcus said that scope for further easing "is seen to be limited", it appears that the door is open for another interest rate cut early next year. Read more >>Brand newsMr Price takes aim at Nigerian market [Michael Bleby] Retailer Mr Price is eying Nigeria, a market it says could host up to 100 stores, if it could only end its ban on the import of clothing. Read more >>Woolworths: Susman steps down Woolworths Holdings announced on Thursday last week that Simon Susman has retired as chief executive officer. Read more >>French swimwear launches at Radisson Blu The French swimwear and underwear label, Pull-In will launch in South Africa with an invitation only, St Tropez styled pool party at The Radisson Blu Gautrain Hotel in Sandton on 27 November 2010. Read more >>Foschini Group results show positive signs The Foschini Group (TFG) has released its half-yearly result for the six months up to September 2010. Headline earnings per share were up 16.9% to 272.3c with turnover up by 12.5% to R4.6-billion. Turnover in the first seven weeks of the second half is up 16.1%, and same store turnover up 12%, supporting its cautious optimism. An interim dividend of 138c, 16.9% higher than for the same period last year has been declared. Read more >>ACCC decision 'disappoints' PnP Retailer Pick n Pay said it was disappointed by the Australian Competition and Consumer Commission (ACCC)'s decision to oppose the proposed sale of Franklins to Metcash Trading Limited. Read more >>Plaisir de Merle Sauvignon Blanc 2010 in convenient new screw topSummertime and the drinking is easy with the first screw top wine from Plaisir de Merle - its Sauvignon Blanc 2010. It's crafted to be an ideal lunchtime or picnic accompaniment and, nicely chilled, to enhance the pleasure of dining alfresco. "Although it is beautifully fresh to enjoy now, it will develop well, even after 12 - 24 months," says cellarmaster Niel Bester. It sells for about R77. Go to the website on www.plaisirdemerle.co.za.Huggies launches new nappyTo promote its launch of Huggies Gold, the company is offering a year's supply of the nappies as the prize in its online competition 'say bye-bye to bulky nappies'. The new nappy design is being promoted through Facebook, refer-a-friend, discount coupons and in-store promotions. Read more >>Festive finds from KWV KWV has launched its festive packaging in its 3, 5, 10, 15 and 20-year old brandy range, available in limited numbers. Read more >>Commercial propertyCT's Woodstock poised for growth says JHI Ideally located on the periphery of Cape Town's city centre and within easy reach of all major routes, Woodstock is well positioned to capitalise on its potential when the economy is in a more favourable growth phase, says Selwyn Sharon, leasing sales and investment broker for JHI property services group. Read more >>Corporate Social InvestmentToilet is no longer a dirty word Today, Friday 19 November, is World Toilet Day and South Africans are joining forces with millions of people around the world to mark the importance of hygienic sanitation for all. Read more >>Fourth Annual Philanthropy Awards At the annual Inyathelo Philanthropy Awards held in Cape Town on the evening of 15 November 2010, 15 exceptional people were honoured for their philanthropic efforts in South Africa. Read more >>Huggies competition winners announcedHuggies has been running a competition with parenting publication, Move Best Parent, in which the prize was R5000 towards a child's school fees, R5000 spending money for the mum and R10 000 for a school makeover. Read more >>The power of philanthropy to drive social change [Shelagh Gastrow] The capacity of philanthropy to serve as the engine room of social change is critical, with philanthropists not answerable to the market or to voters, but having the capacity to take risk with new concepts, cutting edge ideas and social change. Read more >>e-CommerceExhibitions & EventsRecord attendance at FNB Whisky Live 2010 The FNB Whisky Live Festival took place between 3 and 5 November, 2010, in Cape Town and 10 and 12 November in Johannesburg, and organisers reported a substantial increase in the number of visitors, over 18 000 having attended. Read more >>SMME summit opens in East London on Wednesday Wednesday 17 November 2010 sees the start of the fourth annual SMME Summit at the East London International Convention Centre (ICC). Read more >>Green sustainabilityWoolworth releases sustainability report As part of its 2010 annual report and to track its Good Business Journey, Woolworths produces a sustainability report each year, but prints just a limited number of them, in support of the retailer's goals for its Good Business Journey. Read more >>Unilever to halve CO2 impact Unilever has announced plans to halve the environmental footprint of its products by 2020, to help 1 billion people improve their health and well-being and to source all of its agricultural raw materials sustainably. Read more >>HospitalityNew Platter's South African Wines 2011 available Platter's South African Wines 2011, the South African wine guide, is a new "green" issue containing news, reviews and ratings of more than 800 producers and brands, including 58 newcomers, and more than 6000 local wines. Read more >>New management graduates from Arabella, Swiss School of TourismSixty-three graduates of the 2010 Arabella Management Development Programme and the Arabella Supervisory Development Programme received their certificates from Friedrich Schaefer, COO of Arabella South Africa and Beat Wicki, CEO of the Swiss School of Tourism and Hospitality, at a special awards ceremony hosted at the Westin Cape Town on Thursday 4 November 2010. Read more >>PackagingNachtmusik updates packaging Nachtmusik has updated its packaging for the first time in 14 years. By accentuating its intrinsic flavour delivery through a chocolate swirl on the foreground of the label, a more prominent harp motif now features on the swell of the bottle and a neck label with a gold tie provides the finishing touch. Read more >>HSFSA alleges advertising is misleading: issues alert The Heart and Stroke Foundation South Africa (HSFSA) has issued a statement in which it "demands an immediate retraction of all false advertising, marketing and promotional materials related to Helios margarines. The HSFSA insists that Unity Foods issues a corrective clarification of misleading and irresponsible claims. The HSFSA also demands that Unity Foods delivers a formal public apology for misleading consumers with their advertising campaigns. Read more >>New awards for film packaging The inaugural Fima Golden Roll Awards, created by Fima (previously Treophan), a company that specialises in the local production of bi-axially oriented polypropylene (BOPP), saw Nampak Flexible win three awards on 9 November 2010. Read more >>RegulatoryMergers, acquisitions shape SA medical scheme industry The consolidation of South Africa's medical scheme industry is accelerating with a major merger currently underway and another scheduled for early 2011, Lee-Ann du Toit, chief marketing officer of Momentum Medical Scheme Administrators, has told a meeting of the country's top health care professionals in Cape Town. Read more >>Altech Autopage readies for RICAThe Regulation of Interception of Communications and Provision of Communication-Related Information Act (RICA), scheduled to be implemented by 11 June 2011, will not catch independent communications service provider Altech Autopage Cellular unprepared. It has already registered 80% of its customer base in terms of the Act. "We have launched a further education drive aimed at registering the final 20% of customers who face disconnection," said Boyd Chislett, Altech Autopage Cellular MD. Subscribers need to register both voice and data SIM cards to be RICA compliant.ResearchResearch shows IT/telecom investments as essential to business MTN has released its results from a snapshot business survey undertaken to ascertain what corporate SA is thinking about IT innovation and maintenance as well as the apparent business-related benefits. The sample was drawn from its key business clients across business sectors and targeted CEOs, CIOs and IT managers. Read more >>FNB/BER Consumer Confidence Index The index held steady at a high level during 4Q2010, the two most noticeable aspects being the further improvement in sentiment about now being a good time to buy durable goods and the widening gap in confidence between high (over R10 000 monthly) and low income earners (below R2000). Read more >>Retail marketingDigital delight as Internet grows, but wait a minute! [Issa Sikiti da Silva] The global Internet market is growing continuously and at a fast pace, generating more websites, more users and ad spaces, more ad impressions and shifting more money from print to online, Adtech head of global CRM Suhela Gremmel declared yesterday, Tuesday, 16 November 2010, in Johannesburg. Frankfurt-based Gremmel was speaking at the 2010 Bookmarks Workshop in Craighall Park. Read more >>Could SA get another international award? The international Mobile Marketing Awards, due to be announced on Wednesday 17 November 2010 in Los Angeles, feature a South African entry in the finals. Read more >>Retail servicesRetailersPnP to go for the leaner cut? [Sasha Planting] There is a new resolve at Pick n Pay, and if the SA Commercial, Catering & Allied Workers Union wasn't aware of it previously, it is now. Read more >>Furniture retailers' 'suite relief' [Sasha Planting] If dividends are anything to go by, the management at JD Group is breathing a little easier this year. Read more >>Food could cost more in 2011If wheat and maize production do not rise substantially in 2011, global food security could be uncertain for the next two years, the UN Food and Agriculture Organization (FAO) has warned. Read more >>Incredible Connection stocking DCC Western Digital products Drive Control Corporation (DCC) has announced that certain products from its Western Digital range, which the company distributes, will now be stocked and sold at Incredible Connection stores countrywide. Read more >>Cavendish Square adds Sporting UnlimitedSport Unlimited has recently launched a new store at Cavendish Square shopping centre in Cape Town. It specialises in surf and skate brands such as Billabong, Quiksilver, Roxy, Rip Curl, Hurley and Fox. The store is described as fresh, functional and contemporary. For more information, go to www.sportunlimited.co.za.Pick n Pay restructures board The current Pick n Pay exco, retail management board and group enterprises board are being replaced by a group executive consisting of accountabilities in marketing and sustainability, buying, operations, supply chain/IS, franchise, group enterprises, finance, HR, transformation and customer. Read more >>SecurityKeep-safe tips for holiday season As a premium short-term insurer, Santam recommends safety and security tips to both its business and personal clients to prevent losses over the festive season. Read more >>Proactive visitor safety plan for Cape Town Following the hijacking and murder of British tourist Anni Dewani in Cape Town this past weekend, Cape Town Tourism and other bodies have issued a statement regarding visitor safety for the forthcoming holiday season. Read more >>Technology2010 - the year for fake antiviruses Panda Security has released a report that shows that 11.6% of all computer threats gathered over the last 21 years belong to the fake antivirus category and that 34,8% of all computers worldwide are infected. Read more >>Next Google phone will be mobile wallet A new Google mobile phone embedded with a chip that makes it a virtual wallet so people can "tap and pay" is poised to make its debut, the Internet giant's chief said on Monday. Read more >>
Why digital means POS is no longer the poor relation [Hugh Boyle] LONDON, UK: There is an industry-wide perception that POS and shopper marketing was the camel with the worst breath. No longer, says head of digital at Ogilvy Action Hugh Boyle. Read more >>US online Hispanic consumers attitude to advertising RESTON, US: comScore, Inc., a leader in measuring the digital world, has released results of a study of US Hispanic consumers, including insights into their online behaviour and engagement with advertising. The study found that US online Hispanic consumers' sentiment towards, and response to, advertising often varies significantly from non-Hispanic online consumers, providing critically important insights for brands looking to reach and engage this dynamic consumer segment. Read more >>The Economist comes to the App Store LONDON, UK: The Economist Group has announced the global launch of its flagship title, The Economist, on two new apps - The Economist for iPhone and The Economist for iPad - available now on the App Store. The free apps include a weekly sample of must-read articles chosen by the editor. Read more >>More International news...
Exhibitions & EventsExperiential marketing at its best - The Baby Expo - MamaMagic How many times have you looked at an advertisement and decided you had to have that? Not too often these days. We've become somewhat of a jaded market. What most of us prefer to do is to actually see the product, touch it and speak to someone face to face who can tell me how owning this or using this product will change my life. Read more >>Instore mediaRed Squares include retail digital TV - Moving TacticsFreshly Ground Insights (FGI) was recently commissioned by Moving Tactics - specialists in retailer advertising - to ascertain the efficacy of in-store digital TV (DTV) in Red Square stores. Read more >>LogisticsEWC acquisition strengthens IMPERIAL Logistics' retail offering - IMPERIAL Logistics IMPERIAL Logistics has acquired a majority shareholding in break bulk consolidation expert and domestic and international document courier, EWC Express, strengthening the Group's small parcel, high speed delivery retail offering. Read more >>
  More Huggies® Love the Joyride marketing campaign   More
Oh the joys of flight... [Brian Berkman: contributing editor, travel] The reason that not much is written about positive experiences in flight is that unless one is travelling in first class it is at best bearable. Most often, however, it is unpleasantly challenging to our very core. Read more >>More Travel news...
Will gender cheating win the African Women's Championship? [Dr Nikolaus Eberl] When Banyana Banyana crashed out of the semi-final of the African Women's Championship (AWC), losing 3-1 to Equatorial Guinea in extra time, a spectre raised its ugly head that many believed should have been dealt a deadly blow at the previous edition of the AWC in 2008. Read more >>Johnson stands out from the shadow of Brel [Michael Britton] Godfrey Johnson rocks. Not in the sense that he plays rock and roll, you understand, although given his talent and versatility, he could, should he feel so inclined. Read more >>Thai to die for [Brian Berkman: contributing editor, travel] Rightly or not, the thought of Thai massage parlours conjures thoughts of paid-for sex. Despite the Kingdom of Thailand's efforts to promote its broader appeal, I couldn't walk through the streets of Bangkok without seeing a decrepit old man with a Thai teen or being proffered sex for sale by everyone from the tuk-tuk driver to the lift operator. Read more >>Goldfish at Century City Goldfish rocked out at Century City on Sunday 14 November 2010, for the launch of their latest hit album "Get Busy living". With warm weather on their side and an amazing family filled crowd, the concert was an enormous success. Read more >>Not so studly, Spud [Patricia Pieterse] This Donavan Marsh-directed coming-of-age movie is based on the first of the popular Spud series of books by John van de Ruit. It's about a young boy (John Milton, or Spud, played by Troye Sivan) who goes to boarding school in Kwazulu-Natal on a scholarship and experiences many things like friendship, crushes, awkwardness and growing up. Read more >>More BizLounge news...
Visual Merchandise Co-ordinator - Sports Division - Cape TownAn opportunity has become available for an energetic creative individual to join the sports division marketing department. Read more >>
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"A successful man is one who can earn more money than his wife can possibly spend. A successful woman is one who can find that man." - Anonymous "Computers make it easier to do a lot of things, but most of the things they make it easier to do don't need to be done." - Andy Rooney "Shopping is a woman thing. It's a contact sport like football. Women enjoy the scrimmage, the noisy crowds, the danger of being trampled to death, and the ecstasy of the purchase." - Erma Bombeck "However beautiful the strategy, you should occasionally look at the results." - Sir Winston Churchill "To invent, you need a good imagination and a pile of junk." - Thomas Alva Edison Print - Print any item in this newsletter.
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