retail news in context, analysis with attitude

• The Financial Times reports that Tesco saw a UK sales turnaround during the month of July, with sales up 5.1 percent for the period - a higher growth rate than any other UK chain.

The growth comes just six months after the company issued the first profit warning in its history because of concerns about stagnant growth; experts say that Tesco's performance improved largely because of an aggressive promotion strategy.

• The New York Times reports that state of New York yesterday hosted a first-ever "Yogurt Summit, presided over by Gov. Andrew Cuomo.

According to the story, "Cuomo has been a vocal champion of the yogurt industry, in part because it has emerged as an unexpected and rare growth sector in economically struggling areas of upstate New York, and in part because it has become a reliable magnet for positive publicity. The industry has been growing because of the exploding popularity of Greek-style yogurt, which requires significantly more milk to produce than does regular yogurt, and which has benefited from a proximity to New York’s dairy farms."

The Times notes that there were so many people and so much yogurt that there was an unintended consequence - they ran out of spoons.

• The Pittsburgh Business Times reports that Delhaize-owned Bottom Dollar Food is scheduled to open two new stores in the Pittsburgh market today, including one that is right next door to a new Valu King store scheduled to be opened later this year by Giant Eagle.

According to the story, "the new locations will bring the total number of locations for North Carolina-based Bottom Dollar to 13 in the region after it opened 11 stores within two months earlier this year."

• The Los Angeles Times reports that Starbucks plans to open a new factory in Rancho Cucamonga, California, next year "that the company said would quadruple the production and distribution capacity of its Evolution Fresh juice business.

The story notes that "Starbucks moved into the $3.4-billion cold-crafted juice category in November when it bought Evolution Fresh for $30 million," and currently operates two Evolution Fresh stores in Washington State, with another slated to open this fall in San Francisco.

• The Miami Herald reports that Aldi plans to step up its presence in Florida, and by the end of the year hopes to be operating at least 56 stores across the state, "including new ones in Kissimmee, Orlando and West Palm Beach."

• The Dallas Morning News reports that 7-Eleven "has signed an agreement to purchase retail and wholesale assets from San Antonio-based Tetco Inc. The deal includes at least 180 stores that will be rebranded as 7-Elevens and a wholesale gasoline supply network of about 550 customers."

Terms of the deal were not disclosed. It is expected to be closed by November.
KC's View: