Global round-up: new ownerships and M&A activity

Europe: Focus on sustainability, meal inspiration and retail media, plus new ownership for SPAR Switzerland

Albert Heijn launches ‘Last Chance Bargains’ app initiative

Shoppers can use the AH app to discover discounted products that are nearing their sell by date at their local store in the Netherlands in real time. Nienke Tjerkstra, VP Quality, Sustainability & Health stated:

The closer the products are to their expiration date, the higher the discount for customers, which can reach up to 70%. Thanks to this smart system, we expect to sell 25% more discounted products and thus significantly reduce food waste.

Harriet Cohen, IGD Senior Insight Analyst’s view:

Albert Heijn is one of Europe’s leading retailers in terms of sustainability innovation. Parent company Ahold Delhaize aims to reduce food waste by 50% by 2030, versus a 2016 base. This latest innovation is a key step toward that goal. Discover more in our new Strategic outlook for Ahold Delhaize and gain inspiration on best-in-class global sustainability initiatives from Q2 here.

Spar Switzerland finds new owner

The underperforming retailer, previously owned by South African SPAR Group, has been sold to newly founded Tannenwald Holding AG for CHF46.5m (€49.8bn). Little is known about this business, but it is reportedly owned by a Swiss family. No changes to the operating model are planned, although there will be improvement measures to future-proof operations, including digitalisation.

Michela Pearson, IGD Insight Analyst’s view:

There is ongoing consolidation happening in Europe, with many retailers taking over the operations of others. Spar in Switzerland seems to be an exception to this, as none of the other established players in the market showed an interest in acquiring it. It will be interesting to see what changes the new owners bring, as the previous business model did not prove successful. Competition in Switzerland is fierce, with the market dominated by Migros and Coop Schweiz, and discounters Aldi and Lidl continuing to gain ground.

Coop Norge launches new meal solution to compete with takeaway businesses

The retailer’s new initiative, Middagsdisken, is being rolled out to all Coop’s stores. It aims to provide dinner inspiration for shoppers and increase convenience. The initiative brings together recipes, ingredients and deals in one area of the store. The concept will be updated regularly with new dishes and inspiration. It starts with Italian Week, with dishes developed by one of Extra's Italian chefs, Chef Safina. The protein in each recipe will be on offer, ensuring meals can be purchased at low prices and providing an affordable alternative to takeaways.

Rachel Sibson, Senior Insight Analyst’s view:

Innovation in meal solutions remains high on retailers’ agendas as they look to provide affordable alternatives to eating out or takeaways. Retailers will continue to invest in dine-in options, which represent value and convenience to cash-strapped shoppers looking for a treat. Coop Norge does a great job of balancing quality and inspiration with affordability with promotions based around its new meal solutions concept.

Les Mosquetaires and Valiuz announce joint retail media operations

Following the creation of the Aura Retail purchasing alliance in September 2024, of which Intermarché, Casino and Auchan are members, Les Mosquetaires has announced a merger between Valiuz's Retail Media business and its own Infinity Advertising. The goal is to be a leader in the European FMCG retail media space across key consumer verticals such as food, DIY, and home. The reach spans 10,000 points of sale across six countries in the region.

Michela Pearson, IGD Insight Analyst’s view:

Retail media is booming in Europe, with many retailers investing in this space. By joining forces, Les Mosquetaires and Valiuz will be able to leverage their combined expertise and reach to be a major player in Europe. Their omnichannel approach, with targeted campaigns, will support their success.

Asia-Pacific: Seven & i restructures business, plus retailer’s delivering better value and responses to supply issues

Seven & i Holdings sells off larger store formats to focus on convenience

Seven & i Holdings has sold off its subsidiary that operates various banners, including its Ito-Yokado hypermarket chain and York Mart supermarkets, to US private equity firm Bain Capital. Most of these stores are found in Japan. This leaves Seven & i with its core 7-Eleven convenience operations, where Japan and USA are its largest markets, but it also has a presence across more than 20 markets globally.

Jarred Neubronner, IGD Senior Insight Analyst’s view:

Selling off its large formats makes sense as the retailer has been struggling with poor performance in recent years. It has also streamlined its store numbers to focus on the Tokyo Metropolitan area, allowing for greater cost and supply chain efficiencies. This was expected as shareholders had been pressuring the business to divest this less profitable unit for some time. The selloff will allow Seven & i to focus on its core convenience business, where it can build on its strengths in its food-to-go offerings and wide store network to offer shareholders greater value.

Wellcome Hong Kong has launches ‘Everyday Value’ campaign

Wellcome, part of DFI Group, has locked the prices of 100 fresh and grocery essentials, with discounts of up to 40%. The initiative uses a playful, local tone and aims to deliver consistent savings and quality to neighbourhood shoppers across the city.

Stephanie Leung, IGD Insight Analyst’s view:

With this bold pricing initiative, Wellcome responds to the growing importance of value in Hong Kong’s grocery sector, amid rising cost-of-living pressures and cross-border retail competition. By combining cultural relevance with deep discounts, the retailer strengthens its local positioning and builds shopper trust, an important step in navigating regional retail dynamics. Check out our Q3 round up of global best-in-class value initiatives.

Caged eggs to stay on supermarket shelves in Australia for longer

Coles has reversed its earlier pledge to eliminate caged eggs by 2025 and will extend the transition until 2030. The decision came amid persistent bird flu outbreaks which severely impacted egg production, leading to empty shelves and price surges. Coles emphasised that over 85% of its branded shell eggs are already cage-free. Coles’ revised 2030 timeline remains ahead of the nation-wide target to phase out caged egg farming by 2036.

Tan Soo Eng’s, IGD Senior Insight Analyst’s view:

This is likely to have a split reaction among shoppers. Animal welfare advocates will be disappointed by the decision. However, price-sensitive consumers will appreciate the delay. I expect Woolworths to face the same constraints and to keep availability levels high and affordable options available for longer, especially as cost-of-living continues to be a concern for Australian shoppers.

North America: Ongoing elevation of the deli category

New Kroger store to feature ‘deli of the future’

Its new Kroger Marketplace, which cost over $25m to build, is set to open on 19 September in Edgewood, Kentucky. The 108k sq ft store will feature a 6.5k sq ft prepared foods area - several times bigger than a typical Kroger deli. It will feature both counter and high-top seating that will enable customers to watch chefs prepare food in an open kitchen. Gourmet made-to-order sandwiches are on offer, made from house-roasted meats, in addition to homestyle sides such as mac-and-cheese and roasted sweet potatoes. The department will also feature Murray’s Cheese and Snowfox sushi counters.

Oliver Butterworth, IGD Senior Insight Analyst’s view:

The new deli, launched in a location close to Kroger’s Cincinnati headquarters, is a prototype for its future delicatessens. Kroger took inspiration from “restaurants and classic neighbourhood delis”, and this will undoubtedly be a focal point of the new opening. The initiative follows a growing trend of US grocers elevating their deli offering, and/or expanding their assortment of made-to-order, grab-and-go and heat-and-eat products. This offer is giving customers an alternative eating out destination to QSR’s. We explore this trend in closer detail in North America retail trends 2025 and our report covering How grocers compete with the Away From Home sector.

Africa: Walmart increases regional presence

Walmart stores set to open in South Africa

The retailer will open its first Walmart branded stores in the market by the end of the year. Sites are already in development, with opening dates to be announced in October and locations TBC in the “coming months”.  Walmart is working with suppliers across 12 African markets to source products that are made, grown or assembled in the region. Kath McLay, Walmart International President and CEO, commented:

By partnering with South African suppliers and entrepreneurs, Walmart will bring its signature Every Day Low Prices and global standards to the market, while celebrating the country’s rich culture.

Oliver Butterworth, IGD Senior Insight Analyst’s view:

While Walmart has operated home improvement and garden centres, electrical appliance stores and cash-and-carry stores in the market for some time, this will be its first stores under the Walmart banner. It looks to quickly build trust through its well-oiled EDLP model, and by offering an exceptional in-store experience, aided by friendly and helpful service. The stores will feature digital and omnichannel features, further enhancing the shopping journey. It’s assortment of locally sourced products will help it meet the needs of South African shoppers. Walmart's presence will have a positive impact on local communities, which will also benefit from its commitment to supporting local causes.