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Rite Aid to be acquired by Albertsons

Rite Aid to be acquired by Albertsons

For perhaps the second time in his long career, Bob Miller may be a white knight for Rite Aid shareholders. Albertsons has agreed to merge with Rite Aid as part of a $24 billion deal that will take the privately-held grocer public. “The hallmark of Albertsons Companies’ business has been to become the favorite local supermarket of our customers,” Miller, current Albertsons chairman and CEO who…

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Report: Two supermarket chains possibly eyeing bankruptcy

Report: Two supermarket chains possibly eyeing bankruptcy

Increased pressure in the supermarket industry is taking a toll on regional operators. Bi-Lo LLC and Tops Friendly Markets are preparing bankruptcy filings, Bloomberg reported. Bi-Lo, subsidiary of Southeastern Grocers, operates some 700 supermarkets in seven Southeastern states under the Bi-Lo, Fresco y Mas, Harveys and Winn-Dixie banners. Tops operates some 117 stores, the majority in upstate…

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Walmart Q4 earnings miss mark; sales exceed estimates, but online growth cools

Walmart Q4 earnings miss mark; sales exceed estimates, but online growth cools

  Walmart reported mixed results for its fourth quarter as promotional activity and ongoing investments in its digital operations took a toll on earnings, and online growth slowed dramatically from the previous quarter. The nation’s largest retailer reported net income of $2.17 billion, or 73 cents a share, in the quarter ended January 31, down from $3.76 billion, or $1.22 cents per share, in the…

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Analysis: Walmart takes less profit today for stronger, better business tomorrow

Analysis: Walmart takes less profit today for stronger, better business tomorrow

This morning’s update from Walmart is proof that the world’s largest retailer is still moving full steam ahead in advancing its sales. 4.1% growth in overall revenue is impressive, especially in cash terms as it means Walmart added $5.3 billion to its top line. The downside to the numbers comes from the bottom line, where net income slumped by just over 42%. However, we are not overly concerned…

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Prime Visa members earn rewards for shopping at Whole Foods Market

Prime Visa members earn rewards for shopping at Whole Foods Market

Prime members are entitled to a new perk — but this one is connected to Amazon’s newest acquisition. Amazon Prime members can now earn 5% back on any purchases they make at Whole Foods Market when paying with their Amazon Prime Rewards Visa card. This is in addition to the rewards they already receive, including 5% back on all Amazon.com purchases, 2% at restaurants, gas stations and drugstores,…

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Shakeup at Gap

The head of Gap Inc.’s namesake division is stepping down after failing to improve operations and profit growth at the brand. In a surprise announcement, Gap said that Jeff Kirwan, president and CEO of the Gap brand, is leaving the company. Kirwan joined Gap in 2006 and has served in a number of management roles. He was named to his current in the position since December 2014. Brent Hyder,…

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Guess chairman, co-founder steps away amid sexual harassment investigation

Guess chairman, co-founder steps away amid sexual harassment investigation

Paul Marciano will relinquish his day-to-day responsibilities at Guess? on an unpaid basis pending the completion of a probe into accusations of improper conduct by model/actress Kate Upton. Marciano owns a 17% stake in Guess, which he co-founded in 1981 with his brother. Although he stepped down as CEO in 2015, he has remained very influential in the company in the roles of chairman and chief…

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Home Depot Q4 earnings, sales tops estimates

Home Depot Q4 earnings, sales tops estimates

  The world’s largest home improvement retailer continued to ring up big numbers for the fourth quarter amid digital initiatives and the strong U.S. housing market. The Home Depot on Tuesday posted net earnings of $1.8 billion for the quarter, up from $1.7 billion in the same quarter last year. Earnings were impacted by a combination of the Tax Cuts and Jobs Act of 2017 and a one-time bonus…

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Deadline nears for nominating ‘Under 40’ retail real estate stars

Deadline nears for nominating ‘Under 40’ retail real estate stars

You have until the end of the month to call our attention to a budding superstar in your midst. Chain Store Age is still accepting nominations in its annual search for 10 future leaders in real estate whom we dub “retail stars.” Honorees will be featured in the May/June 2018 issue of CSA with bonus distribution at the International Council of Shopping Centers’ RECon event in Las Vegas. The award…

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Study: Consumers not all that happy with conventional supermarkets

Study: Consumers not all that happy with conventional supermarkets

Shoppers want more from their grocery stores. Americans, who shop at traditional grocery stores 3.9 times each month, have some very definite opinions about how the outlets could improve. And a more convenient shopping experience heads the list, according to “The Store of the Future” study from Phononic. Eighty-nine percent of Americans (89%) reported they want to shop in a grocery store that…

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Study: Retailers’ omnichannel investments drive online sales by 16%

Study: Retailers’ omnichannel investments drive online sales by 16%

Brick-and-mortar retailers’ increased investments in omnichannel platforms are driving up the overall growth of online sales. E-commerce retail sales increased by 16% to $453.5 billion in 2017, accounting for 8.9% of total retail sales for the year, according to a U.S. Census Bureau report. (E-commerce retail sales include both the revenue of pure-play “e-tailers” and the online sales of…

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Developer: Albertsons-Rite Aid deal is good for future of retail

Developer: Albertsons-Rite Aid deal is good for future of retail

Kimco Realty Corp., which holds an ownership stake in Albertsons, is of the opinion that the grocer’s merger with Rite Aid is a positive one for brick-and-mortar retail. Albertson’s agreement to acquire all outstanding shares of the pharmacy chain “will result in a stronger, more diversified company that combines health, wellness, and convenience to deliver an enhanced customer experience,…

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Niche retailer ramps up expansion in 2018

Niche retailer ramps up expansion in 2018

Batteries Plus Bulbs is expanding its footprint. The company opened 26 stores in 2017, with three corporate locations and 23 franchise-owned. It plans to open 47 stores in 2018, including 14 corporate locations and 33 franchise locations. Batteries Plus Bulbs niche postitioning, investment in category expansion and emphasis on franchising has proved increasingly successful, with sales growth of…

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Indochino in new brick-and-mortar expansion

Indochino, the digitally-native made-to-measure menswear brand, continues to expand in the physical space. The company, among the receipients of Chain Store Age’s 2018 Breakout Retailers Awards, will open four locations this spring, with three in Texas (The Galleria, Houston; The Domain, Austin; and Dallas), and one at SouthPark Mall, Charlotte, North Carolina, giving it a total of 24 sites…

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Walmart has big online plans for 2018

Walmart has big online plans for 2018

Walmart’s online results for the fourth quarter spooked investors, but the discounter is confident that it will regain momentum this year. Walmart reported a 23% increase in online sales for the quarter, compared to a 50% increase in the previous quarter. The chain said part of the decline was expected as sales growth on Jet.com, which it acquired in 2016, cooled. It also cited operational snags.…

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Report: Walmart’s weapon of choice in its war with Amazon—the cloud

Report: Walmart’s weapon of choice in its war with Amazon—the cloud

A discount giant has found a way to narrow the gap with its online rival, Amazon. Walmart hopes to take on Amazon in its e-commerce war by crunching almost limitless swathes of customer data in-house. Its weapon of choice: six giant facilities, or “server farms,” that connect to the cloud, according to CNBC, which cited Reuters. According to the report, each facility is larger than 10 football…

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Report: Business division consolidations could be to blame for Amazon layoffs

Report: Business division consolidations could be to blame for Amazon layoffs

An online giant is working on merging two consumer retail business units — but at the expense of its workforce. Amazon is working on consolidating its Amazon Prime Now and AmazonFresh divisions — a move that is believed to have caused this week’s layoffs at the company’s headquarters, according to Yahoo Finance. The merger of these two consumer retail business units could eventually streamline a…