This week, we look at Alibaba’s recent investments in courier company STO Express and how the logistics race in China has stepped up.
The Greater Bay Area, or “China’s Silicon Valley”: What is It, How Will It Develop and How Can Businesses Benefit?
The Greater Bay Area could be China’s answer to Silicon Valley. On February 18, 2019, the Central Committee of the Communist Party of China and the State Council of the People’s Republic of China released a development plan for the Greater Bay Area.
Prada is in the midst of a multiyear strategic transformation that should result in increased brand relevancy.
Adidas AG is a designer and manufacturer of footwear, apparel and accessories, based in Herzogenaurach, Germany. It is the largest sportswear manufacturer in Europe and second-largest in the world (behind Nike).
This is the third report in a short series looking at the application of artificial intelligence (AI) in retail. In this report, we explore what startups are doing with AI in the context of our proprietary CORE framework, which stands for Communication, Optimization of pricing, Rationalization of inventory and Experiential retail.
Dufry (SIX: DUFN) FY18 Results: Solid Year Despite Second-Half Headwinds, Company Expects Strengthening of Revenue Growth
Dufry reported 2018 revenues slightly ahead of expectations, with organic growth of 2.7% versus consensus of 2.4%. Gross profit climbed 4.4% resulting in a 40-bps gain in the gross margin.
Pinduoduo (NASDAQ: PDD) 4Q18 Results: Strong Revenue Growth Thanks to Boost in Active Buyers and Average Annual Spending
Pinduoduo recorded 4Q18 revenue of ¥5.7 billion, up 379.4% year over year while FY18 revenue was ¥13.1 billion, up 652% year over year. Operating expenses continued rising with operating margin worsening to a negative 46.7%.
This week’s note “From the Desk of Deborah Weinswig” discusses how blockchain technology could democratize operations and promote cooperation in retail.
Inditex (BME: ITX) FY18 Results: Revenues Up, Missed Consensus, Integrating Online and Stores Globally
Industria de Diseño Textil, S.A. (Inditex) reported FY18 revenues of €26.15 billion, lower than the consensus estimate of €26.41 billion and up 3.2% from the year ago period. The company reported net income of €3.44, up 2.1% from the year ago period. Comparable store sales increased 4.0% in FY18, positive across all regions and brands as well as both online and in-store. Management projects comparable sales growth of 4%-6% in FY2019.
Insights from China: Slowing Growth, Further Opening of China’s Economy, and Demands to Accelerate the Digital Transformation — Key Points from China’s “Two Sessions”
In our weekly series Insights from China, we curate ongoing developments to distill what international brands and retailers need to know about China to succeed in the country. We cover areas such as policy, consumer behavior, consumer sentiment, government regulations and the competitive landscape – as they affect international companies selling to Chinese consumers or looking to enter the market.
In 4Q18, Adidas net sales increased 3.5% to €5.2 billion, or 5% on a currency-neutral basis, driven by double-digit gains in Asia Pacific and Greater China.
Estée Lauder Investor Day 2019: Share in Prestige Beauty Growing, Online 30% of Business, Affirms Three-Year 6-8% Net Sales Outlook
Estée Lauder is gaining share in prestige beauty, growing from 13% in calendar 2009 to 14.4% in calendar 2017. Global per capita spending on prestige beauty is increasing. The company projects the global middle class will grow by 600 million people by 2028, expanding overall spending power by 50%, which will increase opportunities for prestige beauty spending. Innovations and successful product launches accounted for nearly 30% the company’s net sales in the first half of fiscal year 2019. E-commerce represents approximately 30% of Estée Lauder’s business in its top markets. The company expects double-digit ecommerce growth over the next
New Retail Briefing #5: Alipay Pushes Cross-Border Payment; JD.com Continues Unstaffed Delivery Initiatives Abroad
“New Retail” is a model for integrating online retail, offline retail and logistics across a single value chain powered by data and technology. In this biweekly series, we cover important developments in New Retail in China and beyond.
Costco Wholesale (NASDAQ: COST) Fiscal 2Q19 Results: Solid Quarter with Slightly Light Revenues and Blowout EPS
Costco reported fiscal 2Q19 revenues of $35.40 billion, up 7.3% year over year and slightly below the $35.65 billion consensus estimate. EPS was $2.01, up 26.6% year over year and handily beating the $1.69 consensus estimate. Comps (excluding gasoline and other items) increased 6.7%, and e-commerce comps increased 25.5%.
Blockchain technology has the potential to disrupt retail as it can decentralize processes through which retailers interact with partners, industry players and consumers, making operations more efficient and secure. We looked into the implications for this technology