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Emart Everyday cashier-less store in Gangnam, Seoul

Posted by Thomas Andersson on

We recently visited Seoul and Emart's latest cashier-less store which opened a few weeks ago in the upmarket Gangnam area of Seoul, South Korea. Source: We found out about the store opening from an article in Yonhap News. Perhaps our expectations were too high when we finally arrived. However, the main news appears to be that the store accepts payment via the SSG (parent company) mobile application. There is no tracking of what customers put in their baskets and every customer is required to self-scan each product before being given the option of using SSG's app to pay for the...

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Farfetch IPO - Our view

Posted by Thomas Andersson on

After a relatively long period of media speculation, Farfetch has finally filed an intention to list on NYSE (source). At the time of writing this blog there were no specifics on its pricing and the company is no doubt working the funding circuit hard to explore the level of interest and promote the pricing. While pricing is not known, there are a few other details that we know of. JD.com stepped in as an investor earlier in 2018 and have an option on about a third of the business. What is Farfetch? Farfetch is an aggregator platform for luxury fashion...

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The story of House of Fraser

Posted by Thomas Andersson on

01 August, 2018 The saga about House of Fraser has now rolled on from the Spring without any resolution. Today BBC News reported two developments; a) Sports Direct founder Mike Ashley have been asked for a loan by the House of Fraser management and that b) the House of Fraser management has approached turnaround specialists Alteri (among others). The background is that the Chinese owner, Sanpower, has been unable or unwilling to invest in the ailing department store group. In addition, its original investment included a plan to roll out House of Fraser stores across the Chinese mainland, something that...

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What CEO's need to know about cannibalisation and exponential complexity of the omni-channel

Posted by Thomas Andersson on

Online has led to widespread high-street store cannibalisation putting profitability at risk. CEO's need to look at organisational fundamentals to remedy the damage done to the many multi- or omni-channel (whatever you want to call it) retailers. At its most basic - retailers have not given any thought to new business when rolling out the online channel and have continued to focus on existing customers and demographics hence inviting channel cannibalisation. For example, John Lewis (excl. Waitrose) increased revenue by 5.6% CAGR 2008-18. In the same period online has grown as a share of revenue from 13% to 42% at...

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The real reason for the demise of high street retailers - customer service

Posted by Thomas Andersson on

Retail is detail... and customer service.  Long gone are the days when you could instruct your store staff to decline any returns or refunds for whatever reason. However, in an online world the ability of customers who feel they have been wronged to broadcast their grievance has empowered customers to a level which legacy retailers do not appear well prepared for. Following the [again] lacklustre results from Arcadia Group we took it upon us to go through their finances to see if there is anything alluding to why the company is not doing well and gaining online traction where Asos...

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