New Tesco boss Ken Murphy faces Carrefour and Jack’s challenges
Verdicts are now in following the announcement of Dave Lewis’ surprise departure from Tesco next year and yes, he’s a genius. As no one knows why he is stepping down, I would suggest that – like Terry Leahy – he is hopping off the bus at the top of the hill. His status as consumer […]
Retailers should collaborate, not compete, to cope with Brexit chaos
I have previously avoided the topic of Brexit, but now it seems there’s only one show in town. I always expect the grocery industry to take the lead and set an example, but we seem to be blowing the opportunity to do so with a lack of collaboration. Joint business planning (JBP) is a honed […]
Sainsbury's and Asda have the tools to recover from merger disappointment
When the CMA blocked the Sainsbury’s-Asda merger last week I thought about those spy movies where the torturer suddenly loses the upper hand and has to beg for mercy from the person they were just torturing. Not a good look. Mike Coupe singing while announcing the intended supplier squeeze will sit in the back of […]
Why we must challenge international buying groups
Two weeks back I wrote about the activities of international buying groups, which appears to have touched a nerve among suppliers. In the piece I pointed out that UK suppliers had to date been shielded from this issue by the English Channel. To me, it’s almost a relief that Tesco’s involvement with Carrefour has now […]
How buying groups like Tesco-Carrefour bully suppliers
The Geneva talks are a departure from Tesco’s approach of recent years, but very consistent with that of Carrefour, its strategy buying partner. If ever there was a directional mismatch it’s here, but it makes perfect sense for the two retail giants in different markets to follow the lead of the international buying groups (IBGs). […]
Why the M&S-Ocado deal is positive news for suppliers
What is the collective noun for a group of suppliers? A haul? A deal? A delay? Anyway, the Ocado switch from Waitrose to M&S has positives for many groups of suppliers in the long term. With the negative CMA review of the Sainsbury’s-Asda merger, it’s been a good couple of weeks for suppliers. I’m not […]
The palm oil debate is complex, but Iceland has made a positive difference
Following Iceland’s ‘banned’ Rang-tan advert, many got caught up in the palm oil debate over Christmas as social media did its work, ensuring more saw it than any of the others. But, as it so often does, social media fired the public off on a dangerous tangent. The ad was inspired by Richard Walker’s trip […]
Inexperienced and ignorant buyers are choking the life from suppliers
Retailer buyers have dumbed down to a new depth in the view of many suppliers. Cost-cutting to stay cheap has meant fewer buyers handling bigger ranges through more channels. But now experience is being replaced by cheap youth, too. Many suppliers are complaining they can’t get hold of anyone who is over 23. I’ve heard […]
Advantage Amazon and D2C – retailers face a double threat
The consumer goods industry shake-up is affecting everyone, and its challenges are creating pressure forces in all directions. Discounters put pressure on supermarket retailers, online retailers put pressure on discounters, wholesalers are pressured by them both. To combat this, retailers large and small merge and diversify as best they can, but the lowest common denominator […]
Suppliers are still playing catch-up on price rises
What an excellent performance analysis of the top 150 food and drink suppliers, published recently by The Grocer. There isn’t a positive side to this data for suppliers. The piece refers to £1.6bn input costs (think raw materials) last year to these manufacturers. They tried to pass it on and stay even but of course […]
