Shoprite shines in tough marketplace by Lans
July 16, 2009, 9:01 am
Filed under: Local News, Retail

By Florence de Vries

Retail analysts say they are not that concerned about the investigation by the competition commission into possible anti-competitive behaviour by Shoprite as the group had not shown gross margin expansion in the year to June.
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Hulamin: BHP Billiton to keep up supply by Lans
July 7, 2009, 12:52 pm
Filed under: Local News, Retail

BHP Billiton had agreed to supply Hulamin with raw materials until December next year, after the mining company warned that a local smelter might be unviable, Hulamin said yesterday. BHP Billiton would supply extrusion billet until September and rolling slab until December next year. Hulamin was studying how to ensure future needs and maintain growth plans. About half of its extrusion billet and 30 percent of its rolling slab were supplied from BHP Billiton’s Bayside plant. – Bloomberg

Down the hatch by Lans
July 7, 2009, 12:46 pm
Filed under: Local News

One of the biggest problems facing King Consolidated Holdings (Kingco) is the lack of a South African pub culture. So says one retail analyst, who believes the group should consider delisting from the JSE.
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Profile: Selling luxury by invite only by Lans
June 12, 2009, 8:41 am
Filed under: Local News, Retail, Trends

By Thabiso Mochiko

South African shoppers may be holding on to their purses as recession bites, but this hasn’t stopped Arnd Herrmann from starting an online shop selling luxury branded goods.

Shopping is by invitation only at Luxury4Less and potential customers need to be registered members who have been introduced by the company or friends.

Luxury4Less, which started in March, has agreements with about 40 international suppliers to sell their limited edition designs, off-season goods, overstock items and new products still unavailable in the domestic market. Herrmann says he intends adding local brands to what he calls a “VIP shopping club”.

Www.luxury4less.co.za sells products by brand-name retailers such as Gucci at up to 80 percent below recommended retail price.

It offers clothing, jewellery, accessories, high-end electronic goods and home appliances, as well as luxury outdoor furniture.

“We help those brands to off-sell excess stocks,” says Herrmann. He says that a large chunk of the discounts that he negotiates with his suppliers is passed on to his customers.

If a supplier provides a 50 percent discount, Luxury4Less might pass about 45 percent to its customers, Herrmann says.

The company has tripled its customers in the past two months to more than 15 000.

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Lewis: Downgrade not fair – analysts by Lans
June 12, 2009, 8:28 am
Filed under: Local Company News, Local News

Two analysts disagreed with Morgan Stanley’s underwieght rating of Lewis Group yesterday. They said the bank failed to consider the quality of the furniture retailer’s management and that its customers were less affected by higher interest rates. But analysts agreed with the overweight given to JD Group, ascribing it to the firm’s settling of contingent liabilities. RMB asset managers said Lewis was a better candidate at this point in the cycle. – Florence de Vries

Jobless seek hope in the franchise industry by Lans
June 2, 2009, 7:37 am
Filed under: Local News, Retail, Trends

Interest in sectyor grows, but banks are getting stricter
May 28, 2009

By Lucky Biyase

Retrenchments triggered by the deepening economic meltdown have driven more people to look at investment opportunities in the franchise industry, according to industry specialists.
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Customers flock to new Edcon shops by Lans
June 2, 2009, 7:35 am
Filed under: Local News, Retail, Trends

Edcon, which has been delisted following its acquisition by Bain Capital, had acquired more customers buying on credit after opening 92 new stores, lifting the total number of stores to 1 233, the retail chain said yesterday.

It had raised retail sales by 9.4 percent. Stores existing before the current financial year accounted for 3.2 percent of this rise.

About 52 percent of sales were on credit.

Adjusted earnings before interest, tax, depreciation and amortisation rose to R3.4 billion.

Job losses slow growth in retail sales to 6.6% by Lans
June 2, 2009, 7:32 am
Filed under: Local News

Growth in retail sales slowed to an annual 6.6 percent last month from 7.1 percent in March as job losses undermined consumer spending, the Retailer Liaison Committee said yesterday. Sales of garments rose 7.4 percent, furniture gained 6.9 percent and CDs and DVDs 1.9 percent. The industry group collates data from firms like JD Group, Woolworths and Shoprite. The figures usually do not tally with data from Statistics SA, which surveys more firms and uses different methods. – Bloomberg

Massmart profit under threat by Lans
April 2, 2009, 12:59 pm
Filed under: Local News

By Rebecca Harrison

MASSMART Holdings might face shrinking profit margins in the next fiscal year as food inflation slowed and sales growth would likely deteriorate before any improvement, its chief executive said yesterday.
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Investors upbeat about Gugulethu mall by Lans
March 23, 2009, 9:24 am
Filed under: Local News

By Tom Robbins

Investors in Cape Town’s most ambitious black township shopping mall, the R350 million Gugulethu Square, expressed confidence on Wednesday that there was a market for the retail space despite the small number of black middle-class consumers in the city’s townships.

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