Longo’s opens its 25th grocery store.

 A family grocery chain that came to Mississauga as an outdoor market some 45 years ago  has grown to 25 stores across the province.

Business is booming. Anthony Longo tours his new store in Leaside. The family grocery chain is a Mississauga favourite. Toronto Star photo

The family-owned Longo’s chain is in expansion mode, having more than doubled its number of stores in the GTA since 2000. The new 48,000-sq.-ft. Leaside store opens today, bringing the number of Longo’s stores in Ontario to 25.

CEO Anthony Longo’s father opened the first store on Yonge. St. in Toronto in 1956. The family lived upstairs.

The Longos moved their base of operations to an open-air market at the four corners in Malton in 1967.

Longo’s opened its first real supermarket at Goreway Dr. and Derry Rd. in 1980. It closed in September 2008 but the chain still has three stores in Mississauga, where it was based for many years.

In all, 14 family members work full-time in the business.

“As a family, we set out to decide, how far do we want to grow? We decided we’ll stop when we can’t execute great stores anymore. I don’t know when that is,” said Longo.

Longo said the competition in the grocery market is “very fierce.” Despite that, there is room for growth, he said. In the GTA, groceries is a $13-billion a year business.

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Subway to Open 1,000 Stores in India by 2015

Quick service restaurant chain Subway today said it plans to operate 1,000 stores in India by 2015 through franchise route, which will entail an investment of $58 million (over . 300 crore).

The Connecticut headquartered brand is present in 50 Indian cities with 263 franchisee-run restaurants across the country. Commenting on the potential of the market, Subway President and Cofounder Fred DeLuca said: “India is a promising business destination with a young, educated population having growing disposable income.”

Subway will continue to evolve and adapt its product offerings to suit the Indian taste and plans to grow here through franchise route, he said in a statement. While the investment of $58 million (over . 300 crore) to set up the planned number of stores will be made by franchisees, Subway will invest in providing training and technical know how to its partners.

The brand is aiming to expand aggressively in tier-II and tier-III locations. The planned expansion will generate employment opportunities for another 15,000 people, the statement said.— PTI

Sainsbury looks to promote Fairtrade with the help of QR codes

The Fairtrade Fortnight event has begun in the United Kingdom. The event aims to promote awareness of Faritrade goods – those produced through humane means. Sainsbury, one of the world’s largest supermarket chains, has announced that it will be taking part in the event by adding QR codes to many of its products. The company hopes to inform consumers about how beneficial purchasing Fairtrade products is to farmers in the world’s most impoverished countries.

Sainsbury's QR Code
All of the Fairtrade branded products carried in Sainsbury’s stores throughout the UK will feature their own QR codes. When scanned with a smart phone, consumers will be taken to a mobile website where they will learn the various aspects of Fairtrade. The company notes that money generated from selling Fairtrade goods is making a profound difference for businesses and communities around the world. At present, all of Sainsbury’s lines of bananas, roast and ground coffee, plain cotton t-shirts, roses and tea are acquired through Fairtrade means.

In 2010, Sainsbury’s efforts to support Fairtrade brought in over $3 million in investments to the Fairtrade Foundation. This money has been used to improve the quality of life for workers living in impoverish countries. Sainsbury expects to see continued success in this endeavor and believes that this success will be enhanced through the use of QR codes and, in the future, other mobile technologies.

For more information on Fairtrade: http://www.fairtrade.org.uk/

Pets at Home to open 300th store

Pets at Home to open 300th store | Manchester Evening News – menmedia.co.uk.

Global Brands Rake in Moolah.

Indian Stores Among Best in generating revenue per square feet per year.

What is M.A.C?” The question, posed by Govind Shrikhande of Shoppers Stop, must have taken the top brass at Estee Lauder Companies by surprise. 

To the top managers of the New York cosmetics group, the question may even have come across as a case of rare ignorance about Make-up Art Cosmetics or M.A.C, especially surprising from the boss of India’s largest department store chain who had been pitching for a partnership with Estee Lauder in India.
But just four years later, two of the 20-odd stores that Estee Lauder runs in partnership with Shoppers Stop in India rank among their top 10 worldwide in terms of revenues.

And Estee Lauder is not alone.
Scores of leading international brands – Swarovski, Accessorize, US Polo, Aldo and Promod, to name a few – are realising that some of their stores in still third world India are among their most successful across the world, helped by a constantly expanding army of consumers with increasing disposable incomes and high brand awareness.

Such is the level of awareness that it has even taken retail industry veterans by surprise. Shrikhande drew a blank then about M. A.C, but consumers in India knew about the Canadian brand that Estee Lauder had acquired in 1994. “Many consumers knew about the brand and were using the products even before it entered the country officially,” he says.

And now M.A.C stores at Select City Walk shopping mall in south Delhi and at Dynamix Mall in Mumbai’s Juhu are generating revenues in excess of $1,000 per square feet per year, executives who did not wish to be named said.
High-end crystal products maker Swarovski’s stores at Bandra in Mumbai and at the T3 terminal at Delhi airport rank among its top stores by sales, says Sukanya Dutta Roy, director of the company’s consumer goods business.

Similarly, British fashion accessories retailer Accessorize’s store at Ambience Mall in Gurgaon is the company’s second biggest revenue earner, clocking sales of about $600 per square ft per year.

Two of apparel brand US Polo stores also rank among the top ten globally. The 1,000 sq ft stores in Delhi and Bangalore generate sales of around $700 per sq ft a year, says J Suresh, managing director of Arvind Lifestyle Brands, which launched US Polo in India barely two years ago. Sales at the company’s other stores across the world usually vary between $200 and $500 sq ft a year.
Women’s fashion brand Promod’s store in Delhi reports the highest sales per sq ft in Asia, while Canadian shoe and accessories brand Aldo has two of its top 50 stores in India.

While some analysts believe that the performance at Indian stores may reflect the declining offtake in the more developed markets, others argue that several brands generate above average sales for short periods because they have a few stores servicing a large catchment.

“The reason could be initial attraction of the brand and fewer points of sale compared to the size of the overall consuming population,” says Ramesh Tainwala, CEO, Planet Retail.

At German sportswear brand Puma, executives do not look at sales figures alone but also factor in the exchange rate fluctuations. “We compare performance of Puma stores on a percentage profitability basis as opposed to sales per square feet,” says Rajeev Mehta, managing director of the company which counts three of its stores among the top ten globally.

Even as some analysts view the strong sales at Indian stores of global brands with caution, Raghav Gupta, principal at management consulting firm Booz & Co, points to the emerging big picture. “It links back to the overall position that India is starting to take in the global economy,” says Gupta.

Global India Stores

M.A.C
Juhu in Mumbai and Select Citywalk in Delhi

Swarovski
Bandra and Delhi Airport Terminal 3

Accessorize
Ambience Mall, Gurgaon

Puma
Bangalore’s Garuda Mall, West Gate Mall in Delhi, and Church Road in Pune

US POLO
Select Citywalk Mall at Saket in Delhi, and The Forum, Bangalore

Promod
Select Citywalk Mall in Delhi

Aldo
Select Citywalk Mall and Palladium

Vester opens second supermarket in Minsk

Grocery operator Vester launched its second outlet in Minsk, the capital city of Belarus. Investments in the supermarket, taking up 2,400 m2, comprised some $2m. The store features 10,000 SKUs.

Overall, Vester is to open three new hypermarkets in Ukraine by the end of 2008, Interfax reported. Vester Hyper outlets will appear in Khmelnitsky, Kharkov and Severodonetsk. The store in Khmelnitsky will be opened in Q3 2008 on an area of over 4,500 m2. The investments in this outlet will exceed $3.2m.

In addition, this year Vester is to start projects on the opening of hypermarkets in Borispol and Sevastopol, Interfax reported. Overall, the company aims to invest some $41m in the launch of 13 outlets, jointly covering over 45,000 m2 in Kharkov, Mariupol, Sevastopol, Khmelnitsky as well as in Lvov and Dnipropetrovsk Provinces. By 2011 Vester is to open 50 hypermarkets and 24 supermarkets, taking up 307,000 m2 in 35 Ukrainian cities. Currently, Vester operates a chain of 52 outlets in Russia, Ukraine, Kazakhstan and Belarus.

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