Aldi Süd and Aldi Nord to take over American Tescos

Aldi Süd and Aldi Nord to take over American Tescos

Both chains of Aldi want to take over American Fresh & Easy, currently owned by Tesco. The British chain had seriously underestimated the cost of conquering a place in the very competitive American market.

Ambitious plans stifled by crisis

Fresh & Easy is a chain of about 200 smaller supermarkets along the West Coast and in Arizona. In the financial year 2011/2012, the company had sales of approximately 750 million euro.

 

Owner Tesco had ambitious plans for the chain, which started in 2007, and invested around 1.1 billion euro in it. The last few years big losses piled up and thus the project was halted. Apparently a lot of chains underestimate the cost to compete in a competitive market such as the United States. Even finding decent locations is hard work. The added stress of the economic crisis also is not helpful.

 

Aldi Süd already has Aldi locations in the US, while Aldi Nord has a cooperation with discounter Trader Joe’s. Together both Aldi groups have 1400 locations in the US, so splitting up Fresh & Easy between them both is far from impossible.

Questions or comments? Please feel free to contact the editors


Record turnover for Yoox Net-a-Porter in 2017

16/01/2018

Online retailer Yoox Net-a-Porter (YNAP) achieved a record turnover in 2017, surpassing two billion euro. That is a growth of more than 10 % compared to the year before, when it just missed that milestone.

Hugo Boss reaches growth targets for 2017

16/01/2018

German fashion brand Hugo Boss managed to reach its targets for 2017, partially thanks to strong fourth quarter growth. For its full fiscal year, turnover grew 3 % if we ignore exchange rate fluctuations.

C&A owners consider sale to Chinese investors

15/01/2018

The Dutch Brenninkmeijer family is considering to sell clothing chain C&A according to German magazine Der Spiegel. One option is to sell to Chinese buyers.

Gucci opens restaurant and museum in Florence

12/01/2018

Fashion brand Gucci opened a museum and a restaurant for fifty people in Florence. Three-star chef Massimo Bottura will serve high-quality meals there.

 

Kering hands over control of Puma

12/01/2018

French luxury group Kering will get rid of 70 % of German sports brand Puma’s shares and wants to turn its attention to its luxury brands. Puma does not fit into that category.

Luxury group Richemont grows 7 percent

11/01/2018

French luxury group Richemont achieved a 7 % third quarter revenue increase. Unfortunately, exchange rate fluctuations eliminated nearly everything.

Back to top