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Target’s U.S. stores achieve better-than-expected profits

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Target's U.S. stores achieve better-than-expected profits

Target Corp. has reported a same-store sales increase in the U.S. for the first time in one year as well as a better profit than expected. Its same-store sales grew by 1.2 per cent and earnings per share grew by one cent to $0.55. Target’s shares rose by 5.4 per cent to $71.15 after its earnings report was released.

Meanwhile, the company says it plans to review Target Canada after the holiday season. The Canadian business’ sales grew by 44 per cent this quarter to $479 million, but that was offset by losses of $211 million. This comes after the company made an effort to improve its business in Canada by stocking a larger assortment of products and products that are more relevant to the Canadian market.

Scentuals Body Care from Nature partners with Naturally Perfect Consulting

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Top Chef winner to collaborate with Federated Co-op

Scentuals Body Care from Nature has partnered with Naturally Perfect Consulting to be its new strategic partner in the Ontario marketplace. Tracey Burby of Naturally Perfect Consulting will draw on her 20 years of experience in the industry to support the Scentuals brand in Ontario.

Scentuals manufactures a line of natural body and skincare product that is made to offer a safe, effective and spa-quality alternative to conventional beauty products that use harmful ingredients.

“Scentuals Body Care from Nature remains committed to building our line in Canada and we look forward to working with Naturally Perfect Consulting as well as our current distribution partners in the Ontario market,” said the company in a press release.

Joey Longo is the new CFIG chair

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Joey Longo is the new CFIG chair

Joey Longo, son of one of the founders of Longo Brothers Fruit Markets and current chief operations officer of the company, has been named chair of the Canadian Federation of Independent Grocers, after spending eight years on its Board of Directors.

Longo succeeds Scott Mitchell in the role. He will hold the position for one year, after which the board will elect a new chair at the CFIG’s annual convention and show, which takes place in Toronto.

In his new role as CFIG chair, which he will take over next year, Longo told Canadian Grocer, “We want to make sure we’re adding value to our members.” He added, “I want to make sure independents get heard and that we are treated fairly.”

Longo’s was founded in 1956 by Gus, Joe and Joey’s father, Tommy Longo. The company has grown to encompass 26 stores in and around the Toronto area and remains one of the most successful independent grocers in Toronto.

Karma Nutritionals has started a new strategic partnership with Naturally Perfect Consulting

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Karma Nutritionals has started a new strategic partnership with Naturally Perfect Consulting

Karma Nutritionals has appointed Naturally Perfect Consulting as a new strategic partner for health and retail support.

Naturally Perfect Consulting is run by Tracey Burby and supported by Shelley Tonin, and they will support Karma Nutritionals, which just celebrated its fourth anniversary, and its family of brands within Ontario and abroad.

“With their knowledge of distribution, brand management, retail sales and marketing acumen, we are proud to have them on our team,” said the company in a press release.

Goodness Me! will open a new Barrie location in December

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Goodness Me! will open a new Barrie location in December

Goodness Me!, the natural and organic grocery chain, is opening its eighth location in Barrie, Ont., in mid-December 2014. The chain first opened in Hamilton over 30 years ago, and has added locations in Mississauga, Burlington, Waterdown and Brantford, with locations in Guelph, Waterloo and Paris, Ont. slated to open soon.

The 18,000 square-foot Barrie store will be located at 79 Park Place Blvd., and will offer the region an option for natural and organic groceries, supplements, fresh foods such as local meat and dairy, certified organic produce and a restaurant and bakery which features a salad bar and smoothie station. The store will also carry books, offer a range of educational classes, cooking courses and a ten week healthy living course called Lifewatchers.

“The reason we exist is to help people live longer and healthier lives. A key part of that is finding commuities that are ready to embrace the healthy choices we offer and educate about,” says Mike Jacks, owner of Goodness Me! “Barrie is a perfect fit as a dynamic and youthful community seeking a high quality of life.”

 

Annual consumer report says Canadians may be confident enough to spend

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Retailer fees for credit card purchases will be reduced

Nielsen’s 2014 Global Consumer Confidence Report came out recently and shows the results of a survey of over 30,000 people in more than 60 countries, taking into account local job prospects, personal finances and immediate spending plans. According to the report, global consumer confidence increased by one index point to a score of 98. This number has been steadily rising for two and a half years and has exceeded the pre-recession index value of 94 for three consecutive quarters.

The report showed that North Americans are more confident in the economy, as Canadians have indicated their spending intentions have increased to 51 per cent. This coincides with 27 per cent of North Americans saying the economy was one of their largest concerns, but that number is down from 34 per cent in the previous survey. Worries over food prices dropped to 15 per cent from 21 per cent.

56 per cent of Canadians are also more confident that they will be able to find employment, an increase over the 50 per cent of Canadians with a positive employment outlook in the last quarter.

“It is still early to tell, but the newly created jobs may lead to broader gains in consumer spending, given that they bring a meaningful wage growth with them,” Carman Allison, vice president of consumer insights at Nielsen told Canadian Grocer. “For starters, consumers are regaining optimism which is a first step to a spending revival.”

Wal-Mart experiences third-quarter growth

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Walmart Canada raises grocery prices at its Supercentres

Wal-Mart Stores, Inc. has released its third-quarter financial report. Earnings per share reached $1.15 from continuing operations, compared to $1.14 in the same period last year.

Walmart U.S. experienced an increase in net sales of $2.3 billion or 3.4 per cent to a total of $70 billion. Consolidated net sales for the store increased by $3.2 billion or 2.8 per cent to a total of $118.1 billion.

Walmart forecasts its fourth quarter earnings per share will reach between $1.46 and $1.56, including an estimated $0.03 per share related to the upcoming closures of underperforming stores in Japan. Last year’s fourth quarter earnings per share reached $1.34.

The company’s e-commerce sales increased by 21 per cent based on a constant currency.

Walmart Canada may cut up to 200 staff

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Walmart Canada raises grocery prices at its Supercentres

Walmart Canada may cut about 200 staff, most of whom work at its Mississauga head office, according to a report from the Globe and Mail. The company is doing this to offset pressure in the highly competitive retail space, according to industry analysts. The company is expected to announce this latest staffing change next week.

This move comes only months after cutting 750 jobs across Canada, promoting 1,300 employees to more senior managers and hiring about 200 new store managers as part of store management restructuring.

While Walmart Canada has experienced disappointing numbers over the last several quarters, its most recent quarter saw an increase in gross profit and same-store sales. According to the company, overall sales grew by 3.3 per cent.

“I’m especially pleased by the sales and profit improvements this quarter in Canada, both sequentially and over last year,” said CEO Doug McMillon in his third-quarter management conference call. “The investments we’ve made to remodel our stores and drive supercentre expansion are resonating with customers.”

Whole Foods is opening a new location in Ottawa

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Whole Foods to cut 1

The grand opening of Whole Foods Market at Lansdowne Park in Ottawa will be happening on Nov. 19.

The grand opening starts at 8:00 a.m. with local refreshments and live entertainment, and the bread breaking ceremony will happen at 8:45 a.m. Doors will then open at 9:00 a.m. The new store will treat guests to demonstrations and samples throughout the day.

Whole Foods will be giving away gift cards with a mystery value between $5 and $50 for the first 500 customers, and is holding a giveaway for free groceries for one year.

Mrs. Green’s Burlington location will be closing its doors

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Sobeys is closing down 50 locations

After opening for business in March, Mrs. Green’s Natural Market in Burlington will be closing its doors at the end of November.

According to a company spokesperson, the company had considered its options in order to achieve expand the business, and had to find the right strategy to achieve long-term growth.

Even though this location is closing, the company is still looking for opportunities in the Canadian market, including other stores within the Natural Markets Food Group, Richtree and Planet Organic. The company plans to make a series of announcements in 2015 regarding the expansion of the entire brand in Canada.

“While we had to make this difficult decision, we will continue to put our associates first – working with each member of our team to ensure they transition effectively. We continue to be very committed to the Toronto market and will continue to look for new opportunities to provide all-natural, organic food and healthy living products to its residents,” said the spokesperson.