New Retail Concepts: Store-based

Origin’O – health and wellness convenience store

NBO/Operator:Craenendonck NV, Belgium

Description:Health & wellness convenience store specialising in naturally healthy and mainly organic food

USPs:Offers healthy, fresh and packaged food in a trendy environment. Products aimed at breakfast are in the entrance area and are followed by bread, cheese, vegetarian snacks and ready meals.

Launch date and location:May 2006Louvain, Belgium

Potential:Origin’O could successfully attract wealthy young consumers, particularly in areas such as university towns.

Eden Teva Market- organic hypermarket

Potential:

In line with the rising health and wellness trend

Benefits from the growing popularity of health-oriented products among Israeli consumers

NBO/Operator:Blue Square Israel Ltd, Israel

Description:Hypermarket specialising in organic and health and wellness products

USPs:Largest retailer specialising in organic and bio products in Israel

Launch date and location:June 2007, Poleg Industrial Zone

ThreeSixty – supermarket for the health conscious

Potential:A second outlet opened in Oct 2007, with a third planned for 2008. Targets a nichemarket, attractive to a higher-income group but is likely to move into the mainstreamin view of growing health awareness. Jusco and ParknShop supermarkets are alsointroducing organic sections to cater for the growing demand.

NBO/Operator:Dairy Farm International, Hong KongDescription:First organic supermarket

USPs:Offers a large range of organic foodproducts, cosmetics and toiletries and environmentally-friendly household products. Experts in naturopathicand homeopathic medicine stationed in the Wellness Centre to provide free advice on health supplements and beauty products.

Launch date and location:December 2006, Landmark Central, Hong Kong

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Marjane – fairtrade in hypermarkets

Potential:

Marjane chain grew in popularity following these initiatives. Othersupermarket chains such as Label Vie have followed in its footsteps.

NBO/Operator:Group ONA, Morocco

Description:Marjane Hypermarket: offers fairtradeproducts and products made by prisoninmates

USPs:Fairtrade products section in hypermarket, with a share of profits given to less privilegedfarmers. Display of products made by prison detainees – funds to help in their resettlement after release.

Launch date and location:June 2007, Morocco

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Happily - convenience store for women

Potential:Targets a high-spending demographicStrong potential in largest cities in developed

markets

NBO/Operator:am/pm Japan Co Ltd

Description:Convenience store with products specifically tailored to women

USPs:Staffed only by womenPowder room furnished with a dressing tableOffers wide range of skin care products and dietary supplements

Launch date and location:December 2005Tokyo, Japan

Nutradia – convenience store for diabetics

NBO/Operator:Diabeticom, Belgium

Description:Health and wellness convenience store for diabetics

USPs:Offers a complete range of high-quality health and wellness ‘for food intolerance’ packaged food for diabetics but also people suffering from obesity. All saleswomen are dieticians and thus advise customers with professionalism.

Launch date and location:April 2006Brussels, Belgium

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Potential:Although it is set to remain a market niche, Nutradia should benefit from the growing incidence of diabetes II in Belgium, with 8% of the population already diagnosed as diabetic. In addition, the Nutridia brand is already being distributed by other shops (eg Delhaize).

Kidfresh – convenience store for kids

Potential:

Will remain niche, not likely to move into mainstream grocery retailing.Could be converted into a children’s corner in outlets offering similar assortment for adults eg Wholefoods Market.

NBO/Operator:Kidfresh Inc, US

Description:Health and wellness convenience storefor children

USPs:Sells healthy ready meals made in conjunction with paediatric nutritionist Offers additional services: cooking classes and story times

Launch date and location:January 2007Manhattan, New York, US

Just Married Centre – shopping mall for engaged couples

Potential:The population in the immediate catchment area (less than 15 minutes journey) is about 2 million. Future development depends on the composition of outlets, offered goods, services and their price level.

NBO/Operator:Immogrinvest Kft, HungaryDescription:Shopping mall where one can buy everything for weddings

USPs:Located near Budapest, the centre will be 40,000 sqm, including 200 shops and restaurants, banks, a playground for children, party rooms etc. All goods and services needed for a wedding will be available in an exclusive environment. Target group is engaged couples and relatives, as well as friends invited to a wedding. Seasonally changing rental fees for tenants.

Launch date and location:Spring 2009, Biatorbágy, Hungary

Volg – mobile village store

Potential:Higher consumer potential than in normal stores – the investment is about the same for a store and the mobile version.Good potential in rural areas, but not in cities.

NBO/Operator:Volg Konsumwaren AG, SwitzerlandDescription:Village grocery store on wheels

USPs:Present in rural areas where there are no shops. Convenient, particularly in areas with a high proportion of elderly customers, as the store comes to its customers. Offers limited product assortment of 450 products at standard Volg prices.

Launch date and location:June 2007, Switzerland

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Passabene – self scanning

Potential:

Matches increasingly hectic lifestyles of Swiss consumersCost saving from the retailer’s point of viewHelps strengthen the customer-retailer relationship and gather information

about consumer habits

NBO/Operator:Coop Schweiz, Switzerland

Description:Self-scanning option – to be rolled out to Coop stores all over Switzerland

USPs:No more queuing at the cash deskTimesaving self-serviceThe use of self-scanning is limited to holders of a loyalty card

Launch date and location:June 2007, Wankdorf

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Tesco Fresh & Easy – self-operated checkouts

Potential:Tesco sees major development potential within the US market, with consumers responding well to the new format that the Fresh & Easy brand has unveiled

after extensive testing. Possibility that elements such as self-operated checkouts maynot appeal to consumers looking for a more personal approach.

NBO/Operator:Fresh and Easy Neighbourhood Markets Inc (owned by Tesco PLC), USDescription:New, smaller supermarket format includes 100% self-operated checkouts and a number of health/environmentally- friendly measures

USPs:Smaller format than normal US supermarkets, high proportion of ready meals, checkouts 100% self-operated. Own brand foods include no artificial additives or colours and no added trans fats. Solar-powered distribution centre.

Launch date and location:November 1, Hemet, California, US.

Tesco Poland – talking trolleys

Potential:

The advertisement reaches the customer at the most appropriate time – while choosing the product. This is an advantage for manufacturers and distributorsas a new marketing form and eases choice for customers.As there are lots of ads all around, this could be annoying for the customer, especially when he/she simply passes the product, without the intention to buy.

NBO/Operator:Tesco Polska Sp zoo

Description:Tesco shopping carts have an integrated audio system, activated by infrared sensors

USPs:Carts play advertisements for particular products as the customerpasses the shelf

Launch date and location:June 2007, Tesco Krakow, Poland

New Retail Concepts: Non-Store

Casa Mediashopping – TV shopping

Potential: Strengths - customers become familiar with the idea after a few episodes;

viewers appreciate the sitcom shopping/entertainment mix, and prefer this to other conventional and less enjoyable TV shopping formats. Weaknesses - targets mainly pensioners and housewives; the first group couldfind this innovative format misleading.

NBO/Operator: Media Shopping SpA, ItalyDescription: TV shopping in sitcom format combining shopping and entertainment. Broadcast daily on Mediaset channel 4

USPs: First tv shopping formatted as part of a real half-hour sitcom. The story is set in aflat share and focuses on the actors’/tv sellers’ friendships and daily life. Products are promoted by being used as part of the scene within the sitcom. Products include general household care products, furniture, cosmetics, clothes …

Launch date and location: January 2006

Just Fries – French Fries vending machine

Potential:Great buzz around this machine in terms of media coverage. Appeals especially toyoung consumers because of its convenience and quality. Prolave aims to install a machine in every region in France.Another concept, Just Tapas, is in development and should be launched in 2008.

NBO/Operator:Prolave, France

Description:Vending machine located on the high street, offering a portion of freshly cooked French fries for €2 and in 2 minutes, with a selection of sauces, salt and napkin

USPs:The only vending machine to sell products cooked on demand. Available 24/7 for on-the-go consumption. Just Fries stresses the quality of the fries, with high-quality oil and frozen potatoes, and a new cooking process enabling rapidity and great taste without odours.

Launch date and location:Valenciennes (Northern France) in September 2007

Photo: sent by Prolave for the presentation

Datart – mobile payment terminals

Potential:This solution improves the perceived security of card

paymentand has increased on-line shopping business.

NBO/Operator:DATART International, Czech RepublicDescription:Mobile payment terminals

USPs:Offers its customers the option to order via the internet but pay with credit card on delivery by mobile payment terminal installed in delivery vans.

Launch date and location:June 2007, Prague, Brno

Arome – packaged fresh cut fruit vendingNBO/Operator:Dure CS, South KoreaDescription:Packaged fresh-cut fruits from a vending machine

USPs:For Won1,000-2,000, consumers can select packaged fresh fruits ranging from cherry tomatoes and apples to oranges and kiwi fruit from a vending machine; disposable utensils are included. The vending operation has a refrigeration plant and well-planned logistics so that the fruits are kept fresh at the ideal temperature of 4-5°C.

Launch date and location:Launched 2nd half 2006; located in South Korean sports centres, saunas, rest stops, educational institutions, tourist resorts, etc

Potential:As Korean consumers increasingly focus on wellbeing and health, fruit vending machines can be successful, given the convenience they provide, and the fact that they offer a healthy alternative to products such as carbonated beverages or confectionery.

Retailing via Second Life

NBO/Operator:Linden Labs, US

Description:Retailers are offering sales of their virtual “products” to Second Life users for their residents.

USPs:Users of Second Life are purchasing,with actual money traded into “Linden Dollars”. Mainstream retailers along with outside entrepreneurs are looking to cash in.

Launch date and location:Gained prominence late-05/early-06

Potential:Big names include adidas, Sony, Coldwell Banker, Toyota, & Circuit City. Linden Labs CEO: “There are more than $1.3 million per day worth of interpersonal transactions.” Not verified, but likely only a small portion for retail merchants. Some, such as American Apparel (above), have already decided that the Second Life phenomenon is over, and have left the site.

Source: americanapparel.net

Healthcare For You – OTC vending machine

Potential:Quick and easy way to get basic OTC healthcare productsConvenient for office workersToo expensive for most Chinese consumers

NBO/Operator:Shanghai No. 1 Pharmacy Co Ltd, China

Description:OTC healthcare vending machine

USPs:Has direct phone link to doctor forhelp. Provides wide range of OTC drugs.Can be used in Chinese, Japanese or English.

Launch date and location:March 2007Shanghai metro, China

Comjoin – water vending machine

Potential:Rapidly increasing in terms of market coverage by attracting individual franchisers due to the cheap cost of the machine at only RMB8,500 per unit.Market is currently unregulated, there may be a need for increased regulatory control.Need for further education on health and safety aspects of selling water via vending machines.

NBO/Operator:Beijing Comjoin Water Vending Machine Co Ltd, ChinaDescription:Water vending machine providing filtered water at RMB4 for a 8.9-litre barrel but requiringconsumers to bring their own containers

USPs:Located in residential areas, easy to purchaseConsumers can purchase however much they wantThe water is filtrated by eight processesMuch cheaper than packaged water

Launch date and location:Late 2004, Beijing, China