The Coresight Research team attended the Taobao Maker Festival 2019 in Hangzhou, China, on September 12. Alibaba’s Taobao Maker Festival, first launched in 2016, celebrates the “maker spirit” of Chinese merchants and designers, and how that spirit is resonating among China’s young generation (millennials and Gen Zers). Some of the highlights are The New Technology Zone (ideas and innovation by Chinese merchants to lifestyle, entertainment, education, etc.), China Cool Zone (a modern interpretation and re-invention of traditional culture), and Fashion Zone with (sneaker customization, etc.).
Gap Investor Day 2019: Athleta Opening First Outlet Store; Activewear Fastest Growing Category at Old Navy
Old Navy and Athleta are expanding inclusive sizing. Athleta has grown at a 23% CAGR over the past 7 years and will open its first outlet store.
This week’s note “From the Desk of Deborah Weinswig” looks at how warehouse clubs have been upping their digital games following the Amazon–Whole Foods acquisition.
L Brands Investor Day, 2019: Revenue Growth Driven by Bath & Body Works; Product Innovation at Victoria’s Secret is #1 Priority
Revenue at L Brands has been driven by growth at Bed Bath & Beyond (BBW). L Brands is targeting PINK at 19-year-old college student-like consumers, a demographic that totals 30 million. PINK brand hopes to grow its “Seamless” workout business to $1 billion by 2022.
Singles’ Day, held annually on November 11, began as a festival of young Chinese people celebrating their pride in being single. Alibaba started promoting the day as a shopping day (now officially called the 11.11 Global Shopping Festival) back in 2009.
Alibaba hosted its 3rd NYFW China Cool Event. Emerging brands Songta and I-am-chen’s shows were bold while contemporary brands, Peacebird, Threegun and Rizhuo merged traditional with modern designs.
Short video app Kuaishou achieved sales of over ¥100 million (US$14 million) in its first “Trustworthy Goods Festival” from August 28−30.
The Kaola acquisition represents a meaningful strengthening of Alibaba’s offering in cross-border e-commerce. It will consolidate China’s cross-border e-commerce space, giving Alibaba a dominant share of this market.
This week’s note “From the Desk of Deborah Weinswig” looks at how Costco and Aldi are taking different approaches to entering China.
Alimentation Couche-Tard (TSX: ATD.B) 1Q20 Results: Revenue Below Consensus, Merchandise and Service Drive Growth
Alimentation Couche-Tard reported fiscal 1Q20 revenue of $14.2 billion, down 4.2% year over year and below consensus estimate of $15.1 billion.
Lululemon (NASDAQ: LULU) 2Q19 Results: Revenue and Comps Up in Strong Quarter; Men’s Outperforms Women’s
Lululemon’s 2Q19 revenues grew 22.1% year over year to $833 million, beating the consensus estimate of $845.6 million. The company reported 2Q19 EPS of $0.96, up 35.2% from the year-ago period, ahead of the consensus estimate of $0.89.
On August 27, Costco opened its first store in China. First-day traffic was so heavy the store was forced to close early due to overcrowding. The Coresight Research team was there for the opening day and made a return visit on August 29.
In this report, we continue our Retail-Tech Landscape report series, which spotlights innovative retail-tech companies that are disrupting the retail industry. This retail-tech landscape covers innovation in the supply chain, featuring start-ups in addition to a few more established companies that are disrupting the current scenario.
In this report, we discuss recent macroeconomic indicators from the US and China. US GDP increased by an annual seasonally adjusted rate of 2.0% in the second quarter of 2019, while GDP in China increased 6.2% year over year in the second quarter of 2019, slowing from 6.4% in the last quarter.
Insights from China: China Unveils Plans to Make Shenzhen A Model City with Further Economic and Investment Reforms
Beijing’s new development plan gives Shenzhen an even more favorable position, setting it up for continued growth at the heart of the Greater Bay Area.