Flash ReportNCR Acquires Online and Mobile Banking Technology Provider D3 Coresight Research July 3, 2019 Executive SummaryOn July 2, 2019, NCR announced the acquisition of D3 Technology, a leading provider of online and mobile banking for the large financial institution (LFI) market, for an undisclosed figure. D3 provides software APIs and tools for banks and credit unions to offer digital banking services across many platforms, including mobile, as well as enhancing usability and design to enhance the customer experience. NCR commented that the acquisition would expand NCR Digital Banking into new market segments, including US large banks and, over time, international banks. The transaction will enable the company to capitalize on new market opportunities and bring top-tier capabilities to its mutual and future clients, it said. The addition of D3 will also provide a leading on-premise solution built for the needs of LFIs. The company envisions the acquisition will accelerate its digital first banking strategy, which includes integration of the customer experience across all self-service channels such as online and mobile banking, ATMs, interactive teller machines, complemented by the company’s consulting, advisory and support services. The D3 acquisition strengthens NCR’s banking software portfolio, expanding its reach from banking hardware such as ATMs to incorporate digital and mobile technology. This document was generated for
Insight ReportNew Retail Briefing: Alibaba Collaborates With Yiwu City to Build a Digital Trading Platform for SMEs; Xiaolu Clinic Boosts Traditional Chinese Medicine Consultation Services Online Coresight Research July 2, 2019 Executive Summary“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. Here’s what’s happening: Alibaba will build a digital trading platform for merchants in Yiwu – China’s wholesale hub city. Xiaolu Clinic, an online platform that connects traditional Chinese medicine doctors to patients, has received new funds to power growth. Swiss watchmaker Omega has launched a pop-up store on Tmall Luxury Pavilion and started pre-selling its new watch edition exclusively on the platform. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Flash ReportCoty Unveils Turnaround Plan Coresight Research July 2, 2019 Executive SummaryOn July 1, 2019, Coty announced a turnaround plan, designed to improve performance, especially in consumer beauty and to optimize its luxury and professional beauty businesses. The announcement also covers the financial outlook and provided information on management changes. The plan focuses on three strategic pillars: rediscover growth, regain operational leadership and build a culture of pride and performance. For FY20, Coty expects a moderating decline in net revenues, constant currency adjusted operating income to be up 5-10% and moderate improvement in free cash flow. By FY23, Coty forecasts 0-2% growth in net revenue, an operating margin of 14-16% — and hopes to attain a leverage ratio of net debt to EBITDA below 4x by that year. This document was generated for
Insight ReportGrocery Outlet’s IPO: The Discount Context Coresight Research July 2, 2019 Executive SummaryOn June 10, Grocery Outlet Holding announced the pricing for its initial public offering (IPO). We look at the company’s business, its IPO and competitors in the discount grocery segment. Grocery Outlet, which calls itself an “extreme value” retailer, issued 17,187,500 shares of common stock at an offering price of $22 per share, garnering net proceeds of $346 million. The company said it will use the funds to repay long-term debt and has set an ambitious store expansion goal. Since 2015, Grocery Outlet has grown its comparable sales at an average rate of 4.2%. However, comparable-store sales growth will have been flattered by the annual 10.1% increase in store numbers: Stores take a number of years to reach maturity but they will be included in the base for comparable sales just one year after opening. The US grocery market remains unusually fragmented. This means strong growth at discount chains such as Grocery Outlet and Aldi does not simply represent shoppers trading down, it could also represent consolidation in the value segment. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Flash ReportThe RealReal Raises $300 Million in IPO Coresight Research July 2, 2019 Executive SummaryThe RealReal raised $300 million in its June 28 NASDAQ IPO. The stock went up 44.5% to $28.90 per share in its first day. The company reported 1Q19 GMV of $224 million, up 41.8% year over year. Authentication is one of the company’s key characteristics. Buyer acquisition cost decreased to $121 in 1Q19, from $224 in 2014. This document was generated for
Question of the WeekWhich Retailer Is at the Forefront of R&D in AR and VR? Coresight Research July 1, 2019 QUESTION OF THE WEEK: Which Retailer Is at the Forefront of R&D in AR and VR? In US retail, Amazon leads the pack in terms of the most reality technology related patents granted. Alibaba Group leads by number of patent applications. This document was generated for
Insight ReportRetail-Tech Landscape: Last-Mile Delivery Coresight Research July 1, 2019 Executive SummaryThe relentless growth in e-commerce means the volume of packages is also booming. While volumes climb, customers are demanding faster, more transparent and more convenient delivery. In fact, delivery speed is often an important consideration in purchasing decisions, alongside shipping cost. Last-mile has become a crucial component of supply-chain logistics. Retailers and logistics providers, vying for market share and looking to minimize cost, are responding with heavy investments in last-mile innovation and infrastructure. And of course, equity stakes and outright acquisitions of startups are supplementing retailers’ diet of in-house innovation. Want to know more about the retail-tech landscape, the key startups and companies innovating in the last-mile logistics space? Read our deep-dive report here. To view more of our Innovator Landscapes spotlighting innovative retail-tech start-ups that are disrupting the retail industry, click here. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportInnovator Intelligence: Solving Retail’s Most Expensive Problem With AI-Powered Returns Reduction Coresight Research July 1, 2019 Executive SummaryThis report forms part of our Innovator Intelligence series, which focuses on emerging companies disrupting traditional retail and fueling innovation across the retail value chain. Returns are a costly and growing headache for retailers. As e-commerce continues to grab a greater share of the retail market, the overall retail return rate will continue to climb. Customers increasingly consider fast, free and easy returns to be a basic right of online shopping, making return costs one of the retail industry’s most expensive problems. Shoppers returned $396 billion worth of purchases in 2018 – brick-and-mortar and online, according to the National Retail Federation (NRF). To control costs and improve the customer experience, retailers are continually looking for technology solutions that identify the root causes of returns by expanding return-centric knowledge about suppliers and customers. Newmine’s Chief Returns Officer is an AI-powered returns reduction platform that helps retailers manage and reduce returns by collecting internal and external data, incorporating data science for analysis, alerting the relevant teams to root causes in near real time, managing resolutions and measuring success. See below for the full report. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateWalgreens Boots Alliance (NYSE: WBA) 3Q19 Results: Slow Performance at Boots UK, Company Reviewing Its US Store Estate Coresight Research July 1, 2019 Executive Summary Walgreens Boots Alliance reported marginal revenue growth of 0.7% in 3Q19, to $34.6 billion, in line with the consensus estimate. Diluted EPS came in at $1.13, down 16.3% year over year and below the consensus estimate of $1.19. Comps for the Retail Pharmacy USA business fell 1.1%, while Retail Pharmacy International comps decreased 6.8%. For FY19, Walgreens maintained guidance for roughly flat EPS at constant currency. This document was generated for
Insight Report30 Global Retail Cities: Miami Coresight Research June 28, 2019 Executive SummaryWith this series, 30 Global Retail Cities, we profile the world’s major shopping cities – from fashion capitals such as Milan to shopping hubs such as Honolulu and Bermuda. We curated the top retail stores in each city, along with must-see shopping districts, major retail events and innovative store formats. Click here to view the full 30 Global Retail Cities series. Highlights: Miami is the most populous metro region in the southern US after Washington, D.C., is home to people from a variety of cultural backgrounds – and has the largest concentration of international banks of any city in the US. Iniva Boutique is a concept store that features arts, crafts, décor, apparel, accessories and home design pieces from Africa. Upper Buena Vista is a no ordinary shopping mall: It’s a quaint collection of shops and eateries and dubs itself a “retail sanctuary” – all set in a jungle-like atmosphere. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportMay 2019 Monthly Consumer Update: US, UK and China Coresight Research June 28, 2019 Executive SummaryCoresight Research’s monthly reports keep you up to date on US and UK retail sales, US retail traffic and in-store metrics, selected US retailers’ same-store sales and key global consumer indicators. Click here to view our full collection of Monthly Reports. Each month, we round up key metrics that reflect consumer demand in the US, the UK and China. In these updates, we focus on direct, leading indicators of the health of the consumer economy — namely, wage growth, price changes and retail sales growth. In May: US wage growth softened a little, as did inflation. UK retail sales were weak, with a slowdown across several major sectors. China retail sales growth picked up to 8.6%, but inflation was high in food. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Analyst CornerWEINSWIG’S WEEKLY JUNE 28 2019 Coresight Research June 28, 2019 Executive Summary This week’s note “From the Desk of Deborah Weinswig” looks at the state of US retail amid an ongoing wave of store closures. Walmart’s Mexico business Walmex will let customers order groceries for delivery using messaging service WhatsApp. Customers send a shopping list to Walmart’s WhatsApp number and pay by card or cash on delivery. French hypermarket chain Carrefour will sell 80% of its China business to retailer Suning.com. Carrefour will retain a 20% stake and two of the seven board seats. German cash-and-carry retailer Metro has responded to a takeover offer of €5.8 billion ($6.6 billion) from EP Global Commerce (EPGC), an acquisition entity owned by Czech and Slovak investors, saying it significantly undervalues the company. This document was generated for
Store TrackerWeekly US and UK Store Openings and Closures Tracker 2019, Week 26: Fred’s Set to Close More Stores Coresight Research June 28, 2019 Executive SummaryCoresight Research tracks news about store closures, openings and bankruptcies. Our Weekly US and UK Store Openings and Closures Tracker focuses on department stores and specialty retail stores, including, but not limited to, those selling softlines, hardlines, consumer electronics, groceries and furniture. Click here to view our full collection of Weekly US and UK Store Trackers. In the US, year-to-date announced closures have already exceeded the total we recorded for the full year 2018. Coresight Research estimates announced US store closures could reach 12,000 by the end of 2019. So far this year, US retailers have announced 7,037 store closures and 2,992 store openings. This compares to 5,864 closures and 3,251 openings for the full year 2018. Year to date, UK retailers have announced 325 store closures and 444 store openings. Following Ascena Retail’s June 10 quarterly report which revised its store closure numbers, we updated the Coresight Research estimate for the company’s store closures, which lowered the previously announced total figure for 2019 announced store closures. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateH&M (STO: HM-B) 2Q19 Results: Gains Market Share, Cuts Markdowns, Points to Long-Term Benefits of Transformation Coresight Research June 28, 2019 Executive Summary H&M confirmed its 2Q19 sales came in ahead of estimates and reported EPS of SEK 2.76, down 1.4% year over year and missing the consensus of SEK 2.81. Gross margin contracted 73 basis points (bps) to 55.4%, slightly below consensus of 55.5%, due to investments in transformation work. H&M reduced its store opening target and now plans a net addition of 130 stores in 2019 compared to 175 stores targeted earlier (including 295 openings and 165 closures). This document was generated for
Company Earnings UpdateNike (NYSE: NKE) 4Q19 Results: Strong Performance in Direct and Wholesale, Brand Gains Global Market Share Coresight Research June 28, 2019 Executive Summary Nike 4Q19 revenues rose 10% at constant exchange rates, driven by growth across Nike Direct and wholesale. Sales in China grew double digits at constant exchange rates for Nike brand in all categories. The outlook for FY20 is high-single-digit revenue growth offset by foreign exchange effects (which are expected to abate in 2Q20), about 50 bps gross margin expansion and high-single-digit SG&A expense growth, in line with revenue growth This document was generated for
