Insight ReportHong Kong Retail Sales Gain Momentum, Buttressed by Pickup in Tourism Coresight Research May 15, 2018 Executive Summary The value of total retail sales in Hong Kong in March increased by 11.4% year over year, showing signs of momentum picking up after bottoming in 2016, according to the Hong Kong Census and Statistics Department. A breakdown of retail sales by category, reveals that jewelry and cosmetics products, typically popular among tourists, showed the strongest pickup. This resonates with the increase in the number of tourists to Hong Kong in the first quarter of 2018. The decline of the market for Chinese gifting means that Chinese tourists now purchase items primarily for personal use, likely indicating that the pickup in retail sales is on solid ground. We expect this upward trend to continue, and should the favorable conditions persist, we could see the figure break the HK$494 billion annual record set in 2013 in three years. 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
Event CoverageNotes from Breakfast with the Disruptors, Featuring Retail AI Companies Coresight Research May 14, 2018 Executive Summary Coresight Research recently held its inaugural Breakfast with the Disruptors event, where eight startups that are applying artificial intelligence (AI) to solve retailers’ problems pitched their businesses to an estimated 400 guests. The event was hosted by Global Brands Group (GBG) in the Empire State Building in New York City and was sponsored by Celect, GBG and Li & Fung. The startup pitch competition was followed by a Coresight Research presentation on retail trends and what we can learn from companies in Asia. The pitches were judged by executives from Celect, GBG and FirstMark Capital, and GBG generously provided $2,500 in prize money for the winning startup. The judges convened at the end of the pitch session and awarded the prize to Findmine. While the judges deliberated, Coresight Research CEO and Founder Deborah Weinswig gave a presentation on 1Q18 retail trends and what we can learn from Asia. The date of our next Breakfast with the Disruptors event, which will feature several early-stage companies engaged in robotics, will be announced in June. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportQuick Take: The Boom in Marketplace Platforms Coresight Research May 14, 2018 Executive SummaryIn this report, we review the different types of marketplace platforms. Platform provider revenues in the global sharing economy are expected to more than double from $18.6 billion in 2017 to $40.2 billion in 2022, according to data from Juniper Research. Marketplaces are about much more than just selling products. Portals serve demand among consumers for resale and rental of products, as well as for finding and booking services. Service industries, especially those purchased by consumers, such as local restaurants and hair salons, have traditionally been fragmented. Marketplaces aggregate these providers, making it much easier for shoppers to find, compare and book services. We think the ease that these platforms bring has been one reason for strong growth in spending on discretionary services in the US in recent years: it is now as easy to buy services as it has long been to buy products. 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 UpdateNext (LSE: NXT) 1Q19 Trading Update: Strong Quarter, Raises Full-Year Guidance Coresight Research May 11, 2018 Executive Summary Next reported total full-price sales growth of 6.0% in the first quarter ended May 7, 2018. Full-price in-store retail sales declined by 4.8%, while full-price online sales jumped by 18.1%. Inferred comp growth came in at 5.6% for the quarter. Next raised its FY19 guidance for total full-price sales growth to 2.2% from 1.0% previously, and for group PBT to decline by 1.3% versus the previously expected decline of 2.9%. The company now expects EPS to grow by 3.7% versus previous guidance of 1.4%. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Store TrackerWeekly Store Openings and Closures Tracker 2018, Week 19: Five Below Opens Over 30 New Stores Coresight Research May 11, 2018 Executive SummaryCoresight Research tracks store closures, openings and bankruptcies for a select group of retailers in the US and the UK. Our Weekly Store 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. Highlights from this week’s Store Tracker: Year-to-date 2018, the number of US store closure announcements stands at 3,889 and the number of store openings is 1,789. Five Below opened more than 30 new stores in the first quarter of 2018. Sears is partnering with Amazon to sell and install tires, including its own DieHard brand, at Sears Auto Centers. Year to date in the UK, there have been 447 store closure announcements and 516 store opening announcements. 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 ReportWalmart to Invest $16 Billion to Acquire a 77% Stake in India’s Flipkart Coresight Research May 10, 2018 Executive Summary On May 9, Walmart announced the signing of a definitive agreement to invest $16 billion for a 77% stake in Flipkart, a leading online retailer in India. The company said it supports Flipkart’s ambition to become a publicly listed subsidiary in the future. Walmart believes the acquisition will create significant long-term value for shareholders through entering a critical growth market, acquiring a leader in e-commerce, acquiring local talent with global expertise and achieving long-term growth. The investment includes $2 billion of new equity funding, supported by newly issued debt and cash on hand. The company expects the investment to reduce FY19 EPS by $0.25–$0.30 and FY20 EPS by $0.20, assuming a close in the second quarter of this fiscal year. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Event CoverageTakeaways from the Berns Communications Group/Story VIP Breakfast: Author and Media Guru Joanna Coles Talks Digital vs. Real Relationships Coresight Research May 10, 2018 Executive SummaryOn May 9, the Coresight Research team attended a breakfast event hosted by Berns Communications Group (BCG) at Story, a retail concept store in New York City. The event is part of BCG’s series honoring female leaders in the retail, fashion, media and technology industries. The event’s featured guest was Joanna Coles, Chief Content Officer of Hearst Magazines and author of Love Rules: How to Find a Real Relationship in a Digital World. Rachel Shechtman, Story’s Founder and CEO, and Stacy Berns, President of BCG, cohosted theevent, which drew more than 75 attendees. Bernsnoted the exciting news thatStory was acquired earlier this week by Macy’s, where Shechtman will act as the company’s first Brand Experience Officer. Joanna Coles, Chief Content Officer of Hearst Magazines and author of a new book called Love Rules: How to Find a Real Relationship in a Digital World, discussed how digital dependency is affecting relationships. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportChina Tech Briefings: Alibaba to Bring Its Tmall Genie Smart Speaker to Mercedes, Audis and Volvos in China Coresight Research May 10, 2018 Executive Summary This is our inaugural China Tech Briefings In this series, we will track news and developments related to China technology companies and share our viewpoints on how these will impact the retail sector and the overall economy. Alibaba recently announced another tie-up with global automakers, this time with Daimler, Audi and Volvo,that will allow owners of several models of Mercedes Benz, Audi and Volvo vehicles in China to connect to Alibaba’s smart speaker Tmall Genie using voice commands in Mandarin Chinese. Tmall Genie, with over 2 million units sold in China, provides entertainment and interactive education functions, much like Amazon’s Echo, and allows users to monitor their homes and offices. Now, Tmall Genie users can also monitor their vehicles and perform simple in-car tasks such as locking the doors, adjusting the air conditioning (A/C) and even planning a route. Alibaba is working on integrating its AliGenie, Tmall Genie’s open development platform for voice-assistant applications, more deeply into vehicles’ operating software to develop more use cases to reinvent and improve the car experience. 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 ReportZalando (XTRA: ZAL) 1Q18 Results: Beats on Top Line but Greater Discounting and Mounting Costs Lead to Operating Loss Coresight Research May 9, 2018 Executive Summary In the first quarter, Zalando grew revenues by 22% year over year, but discounting pressured the gross margin and operating costs climbed by 25%. Revenues for its core Fashion Store business grew by 20%. Management reiterated its guidance for FY18 revenue growth of 20%–25% and adjusted EBIT of €220–€270 million. 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 ReportRetail Real Estate M&As: A Sign of Renewed Investor Confidence in US Retail? Coresight Research May 9, 2018 Executive SummaryIn this report, we examine recent consolidation among retail real estate companies. In the past few months, two major mall operators in the US have received acquisition offers from large commercial property firms. Unibail-Rodamco offered to acquire Westfield in December 2017 and Brookfield Property Partners offered to acquire GGP in March 2018. Mall property firms have been trading at a discount relative to past years, which may be prompting investors to buy shares in these firms. We think that the ongoing transformation in the shopping center offering is one factor that is contributing to consolidation among retail real estate firms. 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 ReportUrban Farming: From Community Development to Agriculture Technology Coresight Research May 8, 2018 Executive Summary In the US, we are seeing a growing trend of government-backed initiatives to turn unused urban land or vacant lots into community gardens and/or urban farmlands, bringing a multitude of benefits to the communities. The rise of urban farming has attracted millennials to the industry, and the demographics of farmers are changing as result. The number of farmers under the age of 35 is growing—only the second time this has happened in the past 100 years. Investment in agriculture technology, or agtech as it is known, has risen significantly in the past few years, growing almost tenfold to reach $4.6 billion in 2015 from$0.5 billion in 2012. In the first half of 2017 alone, agtech investment had already reached $4.4 billion, and was almost certain to surpass the peak in 2015. We are seeing agtech investment in a number of areas, and expect urban farming to become more sophisticated with the application of better farming techniques, big data analytics and farming automation through artificial intelligence (AI) and machine learning. In this report, we highlight several startups helping to disrupt the agriculture industry. 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 UpdateAlibaba (BABA) 4Q18 Results: Strong Revenue Growth, Although Margin Was Squeezed Coresight Research May 8, 2018 Executive Summary Alibaba reported 4Q18 revenues of ¥61.9 billion, up 61% year over year. The company attributed the strong results to the robust revenue growth from its core commerce segment, as well as the Alibaba Cloud business. Core commerce revenues reached ¥51.3 billion, up 62% year over year.International retail revenues were up 63% year over year, primarily driven by robust gross merchandise volume (GMV) from AliExpress and Lazada. Cloud computing sales reached ¥4.4 billion, up 103% year over year, driven by robust growth in paying customers, as well as increased usage of cloud services. Alibaba expects revenue growth for 2019 to be over 60% year over year, although its margin will continue to be squeezed due to heavy investments to sustain long-term growth. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportChico’s Brand Apparel and Accessories Will Be Sold on Amazon Later This Month Coresight Research May 7, 2018 Executive SummaryChico’s FAS announced that it will offer Chico’s brand apparel and accessories on Amazon.com beginning in mid-May 2018. Selected Chico’s brand merchandise, including the company’s core Travelers, Zenergy athleisure, No-Iron shirts, So Slimming pants and jewelry collections will be available on Amazon. Chico’s items purchased on Amazon will be eligible for free shipping through Amazon Prime. The company’s other brands, White House Black Market and Soma, could be added to the platform if Chico’s brand sales are strong. 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
Store TrackerWeekly Store Openings and Closures Tracker 2018, Week 18: GNC to Close 200 Stores, Asda to Merge with Sainsbury’s Coresight Research May 4, 2018 Executive SummaryCoresight Research tracks store closures, openings and bankruptcies for a select group of retailers in the US and the UK. Our Weekly Store 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. Highlights from this week’s Store Tracker: Year-to-date 2018, the number of US store closure announcements stands at 3,889 and the number of store openings is 1,759. GNC plans to close around 200 stores this year. Asda, the UK arm of Walmart,announced a merger deal with Sainsbury’s worth $10 billion. Year to date in the UK, there have been 447 store closure announcements and 516 store opening announcements. In the UK, Poundworld could close up to 100 stores and is considering a CVA. House plans to open 75 stores in the UK in three years. House of Fraser is looking to close stores as part of turnaround plans to create a leaner business. 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 May 4, 2018 Coresight Research May 4, 2018 Executive Summary This week’s note “From the Desk of Deborah Weinswig” discusses the proposed merger of UK grocery retailers Sainsbury’s and Asda, which would create the country’s largest grocery retailer. Many of America’s biggest retailers have been slashing staff even faster than they have been closing stores, a dynamic that has left fewer clerks and longer checkout lines at remaining locations. Two of the UK’s biggest grocery retailers, Sainsbury’s and Asda, plan to merge. The merger would result in Asda owner Walmart holding 42% of the new company and receiving £2.975 billion ($4.1 billion) in cash. Chinese consumers living overseas represent an increasingly lucrative segment for China’s leading e-commerce companies, including Alibaba and JD.com, especially as online spending growth in China is expected to slow as e-commerce penetration plateaus in major cities. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
