24 Oct 2011

Retail | South Africa

 

Trials and negotiations

The hearings into the Wal-Mart/Massmart merger finally got underway in the Competition Appeals court last week and have centred around efficiencies and labour. Three government ministers maintain that the Tribunal erred in its decision, while Judge Dennis Davis has said that the merger will set a precedent in SA law. On Friday, Judge Davis appeared to reject union Saccawu's demand to become the central bargaining representative with the retailer and, while showing his concern for suppliers who were not multinationals, Davis said that Wal-Mart would not be a threat if SA had a serious manufacturing sector. It is not yet clear when the judgment will be handed down and, should any party be unhappy with the ruling, whether the case could be taken to the Supreme Court of Appeal.

After seven years, SA is a step closer to concluding trade negotiations as the EU has agreed to improve market access for over 80% of the agricultural products SA has submitted. Trade on!


Shan Radcliffe, Retail editor
Please send retail news to: retailnews@bizcommunity.com
Responses to this column welcomed in our new online editor's column archive.
Image: Salvatore Vuono / FreeDigitalPhotos.net

Top stories


Editorial news

Retail


Raymond Ackerman receives Lifetime Achievement Award
The CNBC Africa All Africa Business Leaders Awards' (AABLA) Lifetime Achievement award was given to Pick n Pay founder, Raymond Ackerman, late last week for having achieved phenomenal success as a businessman and for highlighting the importance of philanthropy in business. Read more >>

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Fairlady announces Best of Beauty Awards
Last night saw the inaugural Fairlady Best of Beauty Awards take place at Johannesburg's Turbine Hall with Theravine MusculaVine Bath Soak taking top honours for Best South African Product. Read more >>

Retail trade sales up 7.1%
South African retail trade sales at constant (2008) prices for August recorded a 7.1% growth year on year (y/y) after a revised 3.0% (2.8%) growth in July, figures released on Wednesday, 19 October 2011, by Statistics SA showed. Read more >>

Brand news


Pick n Pay launches new private label
Following international trends and two years of research, Pick n Pay launched its new private label brand, 'Finest', positioned as the ultimate offering in its branded range of products. It has been developed as a range of sophisticated food products made from premium ingredients, raw materials and flavours sourced from around the world. Read more >>

Clothing & Textiles


Commercial property


Corporate Social Investment


CRM


Orchestrating specialist expertise to develop spatially aware CRM systems
[Mike Steyn] Creating a spatially aware system to solve a client's business problem often means orchestrating three different sets of specialist expertise. The client, who knows his or her business; a specialist in spatial thinking and Geographic Information System (GIS) knowledge to integrate information and a third party, who knows the intricacies of the system design for a particular sector. Read more >>

Distribution


South African wines at Old Trafford
Vergelegen Estate has concluded a deal with the world's wealthiest football club, Manchester United, to serve two of its premium wines in the VIP hospitality boxes at Old Trafford. Don Tooth, MD of the estate said the one-year contract is to supply 750-1000 cases of the estate's premium Cabernet Sauvignon/Merlot blend and Sauvignon Blanc wines.

Exhibitions & Events


FMCG


Franchising


Taste goes fishing
Taste Holdings is in negotiations to acquire the 160 franchised outlet businesses of The Fish and Chip Company. The chain is described as the largest chain by number of outlets and a market leader in the take-away fish category. Should the deal proceed, it will join Taste's subsidiaries - Scooters Pizza, Maxi's, St Elmo's Woodfired Pizza and NWJ brands. Read more >>

Excellent franchisors honoured
At its 21st FASA Awards for Excellence in Franchising, the Franchise Association of South Africa (FASA) named its 2011 winners at an awards event this past weekend. The Franchisor of the Year award, sponsored by Standard Bank, went to DoRego's. Read more >>

Import/Export


SA and the EU trade negotiations - A step closer
[Claire Bisseker] Seven years of SA trade negotiations with the EU could be nearing an end with access for agricultural goods set to improve. Read more >>

Inferior imports killing SA business, says SABS
Substandard imports flooding the South African market are killing local business, the SA Bureau of Standards (SABS) said on Thursday, 20 October 2011. Read more >>

Manufacturing


Packaging


Nampak launches R14 million wine closure production line in Cape Town
The new production line from two leading international suppliers, PackSys Global (PSG) and Alfons Haar was opened at the Nampak Closures Epping plant on 14 October 2011. The R14 million wine closure production line is currently being used to produce 30mm x 60mm screw caps for the wine industry and is capable of at least doubling the company's capacity. Read more >>

Regulatory


Wal-Mart hearings focus on efficiencies, labour
[Paul Vecchiatto] The Competition Appeals court hearings into the Wal-Mart/Massmart merger turned mainly around labour and economic efficiency issues that the giant US retailer could bring into the local market. Read more >>

Wal-Mart merger to set precedent in SA law
[Paul Vecchiatto] The R16.5 billion merger between giant US retailer Wal-Mart and Massmart would set a precedent in SA's competition and commercial law, said Judge Dennis Davis. Read more >>

Tribunal erred in its Wal-Mart decision: ministers
[Paul Vecchiatto] The Competition Tribunal erred in that it conducted the Wal-Mart/Massmart merger as if it were an adversarial process. Read more >>

Generic article fails to take South Africa law into account
[Alexis Apostolidis] When commenting on the recent report by the American Federal Trade Commission (FTC), the equivalent to South Africa's competition authorities, on the short and long-term effects of authorised generics, Business Report's article did not address the differences between the legal and regulatory framework in South Africa versus that of the United States. An authorised generic is an approved brand name drug marketed as a generic. Read more >>

Research


Annual JSE Black Ownership Survey released
The 2011 JSE Black Ownership Survey has been released, stating that black people own at least 17% of the top 100 JSE companies. The DTI's methodology of the exclusion principle is used, whereby certain mandated investments can be excluded from the ownership calculation. This includes shares held by pension funds on behalf of policyholders, shares held by government, shares where it is impossible to identify the demographics of the shareholder, or where the shareholder has no control over which shares are purchased by his unit trust. Read more >>

Retail marketing


Retail services


Valuing art - Citadel Art Price Index launched
Citadel, a private client wealth care company, has partnered with Econex, a leading independent economics consultancy, to launch a robust model for its Citadel Art Price Index (API), which will provide accurate information over time. This is reportedly the first local index to track the value change of art sold at auction in the country, beyond the headlines of record sale prices achieved for prominent works sold at auctions locally and abroad. Read more >>

Retailers


Clicks diluted HEPS up 18.1% to 249.7c
Retail group Clicks (CLS) on Thursday, 20 October 2011, reported a 18.1% rise in diluted headline earnings per share (HEPS) to 249.7 cents for the year ended August 2011. Diluted earnings per share were up 19.4% to 248.0 cents. Read more >>

Pick n Pay posts lower first half earnings
Retailer Pick n Pay on Wednesday, 19 October 2011, reported diluted headline earnings per share of 40.59 cents for the six months ended August 2011 from 73.74 cents a year ago. Read more >>

Security


Reducing cash in transit heist risks over year-end
[Grant Dunnington] Statistics show that cash in transit (CIT) heists are highest from November onwards and though there has been a reported decrease in CIT heists over the last couple of years, retailers are still not immune to attacks and should take the time to review security and be alert of suspicious activities on their premises. Read more >>

Shipping & Transport


Using IT to mitigate toll costs
Faced with the tool costs on Gauteng roads, companies need to start thinking strategically about the impact that this change will impose on their business models and immediately take the necessary action to manage and restrict these costs as much as possible. Read more >>

SA business critical of port tariffs plans
[Andries Mahlangu] South African transport costs are some of the highest in the world, contributed by the year-to-year "uninformed" tariff increases, according to Business Unity South Africa (Busa). Read more >>

Technology


Training



International news
September 2011 US online video rankings
RESTON, US: comScore, Inc has released data from the comScore Video Metrix service showing that 182 million US Internet users watched online video content in September for an average of 19.5 hours per viewer. The total US Internet audience engaged in 39.8 billion video views. Read more >>

Final Eurobest jury presidents announced
LISBON, PORTUGAL / LONDON, UK: The final jury presidents for Eurobest, claimed to be Europe's premier creative advertising and communications awards taking place next month, are announced. Daniel Bergmann to lead Craft; Sergio Valente will chair Integrated. Read more >>

US social networking on-the-go
RESTON, US:- comScore, Inc has released results of a study on mobile social media usage based on data from its comScore MobiLens service, which showed that 72.2 million Americans accessed social networking sites or blogs on their mobile device in August 2011, an increase of 37% in the past year. Read more >>

Global advertising spend up 5.7% in Q2 2011
NEW YORK, US: Despite overall growth of 5.7% for the advertising industry in Q2 2011, adspend fell in nearly half the world's key markets in the second quarter of this year as economic concerns continued to impact the advertising industry, according to Nielsen's quarterly Global AdView Pulse report released recently. Read more >>

Top online activities and ad networks in Australia
SYDNEY, AUSTRALIA: comScore, Inc, a leader in measuring the digital world, has released a report on the top Internet activities and ad networks in Australia from its comScore Media Metrix service. Read more >>

More International news...


Company news

FMCG


Get your Canderel Cuppa - Fore Good Investments
Canderel has added a limited edition Canderel Mug to specially banded 2x100 stick packs in selected Checkers stores in Gauteng from the last week in September while stocks last. Read more >>


Galleries
Music Network - Cape Town launch

More


Motoring
New baby Beemer tops its class
[Henrie Geyser: motoring editor] The BMW 1 Series has shed its drab, rather cheap-looking interior and boring boxy body to mature into a really sexy premium compact hatch with a snazzy, youthful cabin and a cute and cocky stance. Read more >>

GM: Self-driving vehicles could be ready by end of decade
Vehicles that partially drive themselves will be available by the middle of the decade with more sophisticated self-driving systems by the end of the decade, General Motors vice president of Global Research and Development Alan Taub says. Read more >>

More Motoring news...


Travel
It'll be all white on the night
[Brian Berkman: contributing editor, travel] ... And on the day, for that matter too... Here's a really cool idea - pardon the pun - for a breakaway with a real difference... Head due South to where the penguin is King, well, Emperor*, actually, and there's ice as far as you can see... It's a life-changing experience. Read more >>

More Travel news...


Sport
More Sport sport...


BizLounge
What a final!
[Corné Krige] I have said this a couple of times, but I am going to say it again. A week in rugby is a long time! I did predict a week ago that the All Blacks would be crowned world champions, but that is just about the only thing I predicted correctly. I really felt that it would be a one-sided final and that the All Blacks would win comfortably by no less than 14 points. Read more >>

Seether to headline at Cape Town Bike Festival
International rockers Seether will be the headline act at the Cape Town Bike Festival, which takes place at the Cape Town Stadium from 16 to 18 December, 2011, the organisers have announced. Read more >>

Old Mutual Summer Sunset Concerts artists announced
The line-up of artists for the 2011 Old Mutual Summer Sunset Concerts at the Kirstenbosch National Botanical Garden, which starts on 20 November, 2011, and runs until 1 April, 2012, has been announced. There will be a mix of old and new from a variety of musical genres. Read more >>

Intimate dining at Masala Dosa on Long Street
[Justin Williams] Masala Dosa is a cosy, south Indian eatery nestled on Long Street, instantly recognisable by its friendly pink-and-white signage. We made use of a CityMob deal on Tuesday night, 11 October 2011, to experience what this popular restaurant has to offer. Read more >>

More BizLounge news...


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Quotes
"A satisfied customer is the best business strategy of all. (via Book of Famous Quotes)" - Michael Leboeuf
"In order to change we must be sick and tired of being sick and tired. (via Quote Garden)" - Author Unknown
"I've been shopping all my life and still have nothing to wear. (via Quote Garden)" - Author Unknown
"Nothing good comes in life or athletics unless a lot of hard work has preceded the effort. Only temporary success is achieved by taking short cuts. (via Book of Famous Quotes)" - Roger Staubach
"Good, engaging creative has one core feature: stickiness. Stickiness is the quality of something which catches our eye and makes us stop; something original, intriguing and enjoyable; something that pushes the attention button in our brain and makes us investigate further. (via Warc)" - Jimmy Maymann


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