Woolworths loyalty program comes up short
Sue Mitchell April 14, 2016 The Age The giant grocer has missed an opportunity to revamp its culture, but investors should keep a watchful eye. Woolworths may have to redirect hundreds of millions of dollars into cutting shelf prices due to the the poor response to the $500 million loyalty program it launched last year. Analysts believe an underwhelming response from customers and suppliers to Woolworths’ new rewards program may be contributing to weak same-store sales growth and market-share losses in Woolworths’ food and liquor operations. Suppliers have been reluctant to support the Woolworths Rewards loyalty program because they do not receive the same increases in sales volumes as they would by investing in promotions, analysts said. At the same time, consumers have complained they are earning far less than they were under the previous scheme because rewards accrue on only select products marked with orange tickets and on special…
Read MoreC-store Industry Reaped Rewards in 2015, But Risks Are Arising
Brian Berk April 13, 2016, Convenience Store News CHICAGO — 2015 was so good for convenience store operators that Billy Milam, president of RaceTrac Petroleum Inc., said it was “easy” to deliver industry financial data to attendees of the 2016 NACS State of the Industry (SOI) Summit, taking place this week. “Last year was great. It was the best year ever [for c-store retailers],” he said. “Every single month in 2015 eclipsed 2014 in terms of total transactions (fuel and inside transactions). EBITDA was up 32.3 percent last year.” Western Washington University Professor of Economics David M. Nelson, Ph.D., provided more good news to the record 600-plus convenience store retailer and supplier executives who assembled at Chicago’s Hyatt Regency O’Hare hotel April 4-6. Although a seven-year economic recovery is often considered long-in-the-tooth, Nelson expressed no concerns whatsoever that the United States is currently on the brink of a recession. “Economic…
Read MoreSugar tax could save 1600 lives, raise $400 million, Australian research shows
Lucy Cormack April 14, 2016 The Age The celebrity chef tells other ‘weak, pathetic governments’ to follow the UK’s lead after their surprise decision to introduce a sugar tax on soft drinks by 2018. A 20 per cent tax on sugar-sweetened beverages could save more than 1600 lives and raise at least $400 million a year for health initiatives, new Australian research shows. The study, co-writtenby the Obesity Policy Coalition and the University of Queensland’s School of Public Health, is the first of its kind to model Australian population data to assess the impact of a sugary drinks tax. In the first 25 years of a sugary drinks tax there could be 16,000 fewer cases of type 2 diabetes, 4400 fewer cases of heart disease and more than 1000 fewer cases of stroke, according to the study. “This sort of study … provides the evidence base needed to support policy…
Read MoreAACS: BUDGET TARGETS SMOKERS IN A PREDICTABLY LAZY MOVE
May 4, 2016: The Federal Government has shelved its innovative aspirations as the Budget followed the lazy yet predictable path in raising tobacco excise – not even pretending to be motivated by health – in a move that punishes honest retailers, supports criminal gangs and hurts low income earners, says Australasian Association of Convenience Stores (AACS) CEO Jeff Rogut. “The tobacco excise increases that were insultingly glossed over in the Budget presentation will impact many businesses, particularly the small businesses that the Government claims it is trying to support,” Mr Rogut said. “Legal tobacco represent approximately 37% of a typical convenience store’s sales and for each tobacco product sold, the Government already collects a handsome sum. “However with endless excise increases the Government is shooting itself in the foot, as the criminals behind the smuggling and sale of illicit tobacco in Australia benefit every time the cost of legal tobacco…
Read MoreDinner with your newspaper, NYT dines out
MAY 6, 2016 AAP The New York Times, which has delivered newspapers for decades, now wants to deliver food to reader’s door steps. The newspaper publisher has partnered with Chef’d, a meal kit delivery company, to ship boxes of uncooked food based on recipes from The New York Times Cooking site and app. Customers cook up the meals on their own, using step-by-step recipes that come in the boxes. The New York Times, which is licensing its brand to Chef’d, said the meals will go on sale this summer. Customers will be able to order meal kits anytime they want, or subscribe to receive weekly boxes. A box that can make meals for two people typically costs around $US30 ($A40) on Chef’d. The deal is another way for The New York Times to boost revenue outside of its print business. The New York company also sells tickets to its conferences…
Read MoreThe NSW Biofuels debate and issues for retailers
Jeff Rogut The Greens MP in NSW, Dr Mehreen Faruqi made the following speech in the NSW Parliament: “SPEECH: BIOFUELS AMENDMENT BILL 2016 Dr MEHREEN FARUQI [4.31 p.m.]: I make a brief contribution to the debate on the Biofuels Amendment Bill 2016. As my colleague Mr Jeremy Buckingham has indicated, in no uncertain terms, The Greens will be opposing the bill. The bill amends the Biofuels Act 2007 to modify the minimum biofuel requirements and their application. It is largely aimed at attempting to reach the 6 per cent biofuel mandate, which was set as part of the 2007 Act and aimed at being achieved by 2011. That has not even come close to happening and so now the Government has introduced the bill, with a range of measures to try to reach the 6 per cent target, the ethanol mandate, and at considerable cost to the community and the…
Read More