• Store-in-Store Boom
    Amazon and Aldi inside Kohl’s… Carsaver inside Walmart... Local businesses inside of Whole Foods’ 365 stores. Roy White details how retailers are leasing out parts of their bricks-and-mortar sales floors for non-competing or complimentary operators in a modern twist on traditional concessions.
    Roy White
    October 2018
     

    One of the oldest concepts in retailing is store-within-a-store. Department stores have been doing it for years. They call it a “leased department” or “concession.’ Usually it's used by well-known fashion brands and jewelry companies to maximize their presence at a big retailer that attracts lots of floor traffic.

    Now, store within-a-store is finding a home at new locations. Hy-Vee, Walmart, Kohl’s, and Whole Foods have all recently experiemented with the concept.

    Some retailers use the concept to reinforce current offerings with a higher quality extension. An example is Schnuck’s store within a store created in partnership with a premium specialty meat company, Volpi Foods, to supplement its deli operation.

    But most look to a high-profile insertion with utterly different products designed to surprise and intrigue shoppers.

  • Gold in Them Thar Hills
    So-called ‘micropolitan’ areas have long been passed over by businesses, but population shifts are attracting fresh development. Brad Edmondson identifies 101 regions around the country where growth and healthy communities are opening new markets for retailers of all channels.
    Brad Edmondson
    October 2018
     
    Forty-six million Americans live outside of a metropolitan area.  Businesses often skip these folks because they believe rural areas are declining markets or are simply too small.  But Wal-Mart built a vast empire by focusing on these overlooked markets.  These 46 million Americans are great customers for private label.
     

    Nonmetropolitan America is diverse. It is true that many rural areas are not doing well economically, but this category also contains small cities that have dense neighborhoods and thriving business districts.  The Census Bureau calls these places “micropolitan areas.”  They have a downtown with at least 10,000 but fewer than 50,000 people.  There are 536 micro areas in the US, with a population of 27 million. 

    We identified the 101 micropolitan areas that showed population growth in both the first half and the second half of this decade.  We found that the healthiest small cities have several things in common.

  • The Fourth Revolution
    The latest developments in mankind’s industrial evolution combine digital, physical and biological technologies in a manner never seen before. Veronica Carvalho examines how new tech will influence consumer shopping habits and its impact on the retail environment.

    Veronica Carvalho
    September 2018
     

    About two centuries ago, humans learned how to control water and steam and use it in power machinery. It was the first industrial revolution.  The second industrial revolution in the late 1800’s, unleashed the power of electricity and mass production.  Electronics and IT began the third industrial revolution in the late 1990’s when digital came along to replace analog, electronic and mechanical devices.

    Now we are living a new fourth industrial revolution. Swift, deep, more impactful than ever before, it combines digital, physical and biological technologies.  It’s not only self-driving cars or  artificial intelligence that can emulate humans, it’s also humans carrying chips and synthetic biology bringing Man and machine together. If the previous revolutions transformed processes, the fourth Industrial revolution will transform the way the human being sees themselves and function.

  • Brands' C-Suite Exodus
    An unprecedented number of consumer packaged goods CEO's are stepping down in the face of changing consumer attitudes towards brands and the rising preference for private label. David Merrefield names and analyzes the motivations behind these high-profile departures.
    David Merrefield
    September 2018
     

    The CEO of any company that has experienced declining revenues for a while may be in jeopardy. When an entire business sector is in decline, many CEOs may be in jeopardy.

    The latter is certainly the case when it comes to national-brand manufacturers of consumables.

    In the past couple of years, no fewer than 16 CPG CEOs have vacated their corner offices. Conspicuous among them are Denise Morrison at Campbell Soup, Paul Grimwood at Nestle USA and Ken Powell at General Mills. And the list continues to grow. Indra Nooyi of PepsiCo recently announced she’s stepping down.

    And it’s possible that we’ve seen only the beginning. Activist investors are now demanding major changes at 40 more CPG manufacturing companies worldwide, changes such as CEO replacement, asset sales or mergers.

     

     

PLMALive! Archives:
the Best of the Year Past
The Fourth Revolution

The latest developments in mankind’s industrial evolution combine digital, physical and biological technologies in a manner never seen before. Move over water, steam and electricity. Veronica Carvalho examines how new tech will influence consumer shopping habits ‑ and its impact on the retail environment. Click here for video.

Are Supermarkets Becoming Obsolete?

Supermarkets are facing plenty of threats these days—from online competitors, German discounters and casual restaurants. Tim Simmons spoke with Fred Morganthall, former President of Harris-Teeter and Executive Vice President of Kroger, who believes that supermarkets can meet all these challenges if they really pay attention to what shoppers are telling them.

China's O-2-O Could Change Retailing

If you haven't heard about O-2-O, you will. China's e-commerce giants — Alibaba, Tencent and JD — are creating a new form of retailing with smartphone ordering, ultra-modern stores and delivery to customers within five hours. Kroger may already be gearing up for O-2-O in the future. Retailers like Aldi could be perfect for the concept. Join news anchor Jodi Daley and PLMA president Brian Sharoff as they analyze O-2-O. Special reports from Roy White in New York and Emily Wu in Shanghai.

Summertime Is Relaxation Time

Yes, summertime is time for relaxation and catching up on some of the things that you missed during those hectic days at the office or traveling. PLMA Live understands and suggests two newsdesk reports that will help you catch up. First, there's PLMALive's report on Nielsen's study about future store brands growth. Second is Costco and their strategy to deal with e-commerce.

What Do Consumers Really Want?

Consumers are unpredictable, so it isn't easy to keep up with the latest product trends. Tim Simmons interviews Tom Vierhile, Innovation Insights Director at GlobalData. Vierhile says this year consumers are full of contradictions as they decide what new products they want to buy.

What's the Future of Online Shopping?

Take a look at Great Britain, where online grocery retailing has been growing for two decades. Justin King, former CEO at Sainsbury's, one of Britain's largest supermarket retailers, says that while most shoppers there use online to buy groceries, they aren't abandoning brick and mortar stores.

Top Retailers Bring Adventure to New Categories in Store Brands

The great outdoors is a land of store brands, led by chains like Cabela’s and Bass Pro Shops. After their $5 billion merger last year, Christopher Durham explores how these retailers use their own brands of gear, clothing, and even boats to make this segment a powerful contributor to the world of private label.

Science and Research: Real Ingredients Mean Real Sales

As more consumers adopt healthy lifestyles, ingredients like sodium benzoate are being replaced by natural additives like raisin juice and vinegar. Dr. Kantha Shelke explains that it’s not just food. Dietary supplements, pet food and even skincare products are all getting a natural ingredients makeover.

Fermentation Adds Fizz - and Buzz ‑ to Products

Kombucha, Korean-inspired kimchi and even beauty care products are rising to the top of the food industry headlines. It’s all about fermentation, which adds good gut bacteria inside and absorption efficacy outside. Dr. Kantha Shelke explains how fermentation appeals to health-minded consumers, and the way it can help store brands manufacturers.

A Toast to Private Label Wine
Increased wine sales are nothing to sniff at. Discounters like Lidl and Aldi are making store brand wines not only acceptable, but preferable for price and quality. Judith Kolenburg in Amsterdam previews PLMA’s 2018 Salute to Excellence Wine Awards where more than 30 retailers received recognition for private label achievements.