The Wall Street Journal reported that some US convenience store operators are redefining the retail niche by combining c-store staples with fresh food options. Stores such as Denver's Choice Market and Chicago's Foxtrot are catering to growing consumer demand for fast-casual quality in a grab-and-go setting.  Apparently, they generate 8% of sales from fresh produce.  This is possibly something Coles should look at, given that their convenience segment has declined by 8% during the last quarter.

Reuters reported from Johannesburg that businessman Christo Wiese hit Steinhoff with a $5 billion lawsuit, sending shares of the South African multinational down 17%.  Wiese was chairman and the biggest shareholder until December last year. The claim related to the 2016 capital injection by Wiese to help Steinhoff pay its debt and fund the acquisition of the US company Mattress Firm.

CNBC reported that the discounted apparel brand will add 60 more stores across North America this year, pushing its total to more than 1,000 Old Navy locations in the US by the summer. Gap, which also owns the flagship Gap banner, Banana Republic and Athleta, currently operates more than 3,500 stores globally.  Gap is meanwhile trimming back its fleet of Gap and Banana Republic stores, which haven't performed as well as Old Navy and Athleta of late. This demonstrates that a brick and mortar fleet can be profitable, but its offer and brand mix must be morphed in line with evolving markets.

Reuters reported that Myer has named retail veteran John King as its new CEO. King will take the reins to lead a turnaround similar to the one he engineered during his eight years as CEO of UK department store House of Fraser.  Mind you, House of Fraser is now in trouble…

The Wall Street Journal commented that North Korea’s “cyber army” is becoming one of the world’s most sophisticated and dangerous hacking machines. Over the past 18 months, the skill level of North Korean hackers has rapidly improved and their targets have become more worrisome. Pyongyang is cultivating elite hackers much like other countries train Olympic athletes. How good are they? Dangerously good - South Korean officials estimate their country is targeted 17 times every second.  We have pointed out many times that cyberspace will become increasingly dangerous and, therefore, the need for retailers to develop defense abilities.

According to the South African BusinessDay, Pick n Pay reported sales growth of 8% during the quarter, reaching an annual turnover of over AUD 8 billion.  Yet, the CEO announced a pretty serious shift in Pick n Pay's model, aiming to lift private label form 19% to 30% over the next 18-24 months.  In our view, this signals an entry into potentially dangerous territory. Once 30% of stock is sold under private label, supplier relationships tend to turn hostile.

Reuters reported that Amazon.com has launched an international shopping feature that will enable customers across the world to shop more than 45 million items that can be shipped to their country from the United States.  The international shopping feature will display pricing, shipping costs and import duty estimates, with Amazon managing courier service and customs clearance in case of potential surprises at the time of purchase or delivery.  This initiative will be welcomed by people who needed to purchase items other than books and movies in the US and were forced to use expensive re-mail services such as MyUS.