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A.S. Watson has expanded its Watsons One Pass loyalty program to cover over 660 stores in China’s Greater Bay Area.
Alibaba Group announced financial results for the quarter ended 31st March 2019.
The group reported strong performance for the quarter. Daniel Zhang, Chief Executive Officer of Alibaba Group commented that “Alibaba is becoming synonymous with everyday consumption in China, growing our base to 654 million annual active consumers and extending our penetration in less-developed cities. Our cloud and data technology and tremendous traction in New Retail have enabled us to continuously transform the way businesses operate in China and other emerging markets, which will contribute to our long-term growth.”
Top line figures for the quarter ended 31st March 2019 are:
Highlights of the group’s business and strategic updates are summarised below.
Keep up-to-date with the latest retail developments from Asia.
Phoenix Petroleum, owned by Dennis Uy, is acquiring Circle K in the Philippines.
Phoenix Petroleum’s subsidiary Philippine FamilyMart CVS Inc. is in the process of acquiring Circle K in the Philippines. The acquisition aims to help FamilyMart drive future growth, with Circle K stores set to be rebranded to the FamilyMart banner over the next few months.
To establish a stronger presence, the retailer is launching FamilyMart stores at Phoenix retail stations as well as greenfield sites. Circle K in the Philippines is currently operated by Suy Sing Corp’s Super 8 Retail Systems.
Phoenix Petroleum acquired FamilyMart Philippines in late 2017. Last year, it launched Generation 2 concept stores, offering customers a wider selection of food items and an upgraded shopping environment. FamilyMart ended FY2018 with 69 stores in the Philippines.
Alibaba and Bailian Group are planning to open 500 Ego convenience stores in China this year.
The first store, which has opened in Shanghai, operates around 500 sq m and has six key areas: coffee, bakery, foodservice, fresh, grocery retail and leisure/dining.
About two-thirds of the store area is dedicated to fresh or foodservice, including coffee, bakery and hot meals. It features three self-checkout machines in addition to Alipay checkout and Bailian wallet.
With the store almost five times larger than a typical Japanese CVS, it is able provide a greater range of products and services and meet different shopper missions. The store will also double up as a ‘fulfilment centre’ for distributing products to even smaller stores that Alibaba and Bailian plans to launch.
Media reports suggest that Alibaba and Bailian have leased space between 20 to 30 stores in Shanghai for the Ego banner. They also planning to launch two formats: larger central outlets operating between 300 and 500 s qm, and smaller stores of about 100 sq m.
Alibaba and Bailian signed a strategic cooperation in February 2017 and committed to working together on using big data and new technologies to develop New Retail concept stores. It also aimed to maximise Alibaba’s deep understanding of customers and Bailian’s bricks-and-mortar experience.
SM Retail has announced Q1 results for the period ending 31 March 2019, with total revenue up 13% to PHP79.0bn.
The food side of the business continued to see strong growth during the period, driven by positive like-for like sales in existing stores, as well as the opening of 1 SM Supermarket, 1 Savemore and 52 Alfamart stores. Although the retailer didn't open as many new stores in the quarter as it has done historically, it still plans to open 2 SM Supermarkets, 13 Savemore stores, 1 SM Hypermarket, 8 WalterMart stores and approximately 150 additional Alfamart stores throughout the rest of 2019.
The food side of the business at the end of Q1 operated 57 SM Supermarkets, 194 Savemore stores, 53 SM Hypermarkets, 52 WalterMart stores and 578 Alfamart's. Alfamart's rapidly expanding footprint is of particular interest, with sales from the format resulting in PHP2.8bn of revenue during Q1. The retailer is actively searching for new sights around the perimeter of Metro Manila, looking to build scale and market concentration in this area as a priority.
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We've developed a single, universal methodology for calculating food and consumer goods retail data, supported by our programme of primary and secondary research. This makes Datacentre the most reliable and robust source available for data of this type.