Thought of the Day:
“The man who does not read has no advantage over the man who cannot read.”
Mark Twain
Did you know?
Venezuela is one of the most violent places on Earth with a person being murdered every 21 minutes.
India:
International:
“The man who does not read has no advantage over the man who cannot read.”
Mark Twain
Did you know?
Venezuela is one of the most violent places on Earth with a person being murdered every 21 minutes.
India:
- First CEO Back at Barista’s Door, with a Plan to Buy It: Barista’s first CEO could be back in charge of India’s oldest coffee chain. Ravi Deol’s UK-based food services company Indian Hospitality Corp (IHC) is conducting a review of the chain preparatory to its possible purchase from Italy’s Lavazza Spa, according to two people familiar with the development. Deol was Barista’s first chief executive when the Turner Morrison-founded company kicked off the specialty cafe culture in India in 2000, setting up 128 stores in India and three in Sri Lanka in his three-year term. The two sides seem to be stuck over the price though. Lavazza is looking to sell the 180-outlet chain for upwards of . 80 crore, but IHC considers that too steep, said one of the persons cited above. A Lavazza spokesperson declined to comment on a potential deal or the ongoing due diligence exercise. Deol told ET that IHC is constantly looking for consumerled investment opportunities in India, but he added, “Barista may not be one of them”. When asked whether this amounted to a denial that they were in talks, he texted back: “As I said we keep getting various proposals. There is no view on Barista yet.” Lavazza bought Barista in 2007 along with the Fresh & Honest coffee-vending machine business from serial entrepreneur C Sivasankaran’s Sterling Infotech Group for $125 million. With around 180 outlets, Barista is currently India’s second-largest coffee chain in terms of number of stores behind Café Coffee Day. The cafe market in the country is estimated at close to . 1,400 crore and is expected to grow at 13-14% a year over the next five years, but the business is struggling amid a sluggish economy and a market that’s not quite taken off.
- P&G, Coke in Talks to Launch Mobile Video Streaming: Procter & Gamble and Coca-Cola are considering launching video channels over mobile phones to deliver branded content and advertisements directly to consumers in India, because it is cheaper than running ads on television and easier to measure the impact. The launch of third- and fourthgeneration mobile technology is making this possible and more affordable for advertisers, allowing them to sidestep, at least partially, the traditional mass media. Airing ads over telecommunication networks will also allow the companies to know who is watching their ads, something that is difficult to measure in TV advertisements. P&G and Coca-Cola, two of the biggest advertisers globally, are in preliminary discussions with India’s top telecom operators to start their own streaming video channels which consumers could access free of charge, three people familiar with the talks said. Another executive at one of the two consumer-goods companies said it was too early to say if his company would launch such a channel. “We have just had a meeting with the telecom operators, that’s it. There is no way to say whether this will happen or if it does when,” this person said.
- Quikr Tops Fund-Raising Chart with 550-Cr Deal: Online and mobile classifieds venture Quikr has raised $90 million (. 550 crore) from a group of investors led by Swedish investment firm Investment Kinnevik in a deal that marks the largest round of funding for an Internet services company in India. The investment was spread across two rounds, with existing investor Warburg Pincus providing the initial investment in September last year, according to a person with direct knowledge of the transaction. The latest deal, signed last week, values Quikr at over $250 million (. 1,530 crore). The firm’s other investors, including eBay, Omidyar Network, venture capital firms Matrix Partners India, Nokia Growth Partners and Norwest Venture Partners, also participated in the funding, said the person. The investors did not reply to emails seeking comments. Pranay Chulet, the co-founder and CEO of Quikr, declined comment. Bankers said institutional investors own majority of Quikr although they did not provide details. Global investment bank and asset manager Investec and mid-marketfocused Avendus Capital acted as financial advisors for the deal. This is the first direct investment in the country by Kinnevik, a family-run listed investment company with a market value of $10.6 billion. It is headed by Cristina Stenbeck. The consumer-focussed strategic investor has also backed Berlin’s ecommerce incubator Rocket Internet, which runs two digital commerce ventures in India – fashion retailer Jabong and online food ordering platform FoodPanda.
- Jabong Gets a Haute Partner: In a bid to position itself as an online fashion destination, Delhi-based lifestyle portal Jabong is launching an ethnic womenswear collection designed exclusively for it by wellknown designer Rohit Bal. It is also launching in-house brands covering apparel, shoes and accessories next month. “People now have access to global trends and our customers are demanding the latest in fashion,” said Arun Chandra Mohan, cofounder and managing director of Jabong who was previously a senior analyst at global market intelligence and advisory firm IDC. Fashion has become the most contested category in online retail. Lifestyle, including fashion, accounts for 35% of the $2 billion (over . 12,100 crore) Indian online retail industry. The segment has proved attractive for online retailers as branded apparel typically provides margins of about 30% to 40%, while electronics products have a margin of around 10%. Flipkart, which entered the fashion segment in 2012, is providing stiff competition to both market leader Myntra and Jabong. In June 2013, comScore, a provider of digital business analytics, ranked Myntra above Flipkart and Jabong in terms of number of visitors. The sites have also launched private-label brands that provide better margins upwards of 60% to attract and retain customers. Jabong is launching four inhouse apparel, footwear and accessories brands next month.
- MakeMyTrip Initiates Sale of 4.5 m Shares: Nasdaq-listed MakeMyTrip has initiated a share sale for about 4.5 million shares, which includes stake sales by its venture capital investors and the management. MakeMyTrip may raise a total of $115 million based on its last traded price of $25.75 mentioned in the prospectus. Sierra Ventures, one of the investors, could get about $26 million by selling over twothirds of its 3.99% stake. SAIF Partners along with other selling shareholders may also sell a slice of their stake if the overallotment option is exercised. Besides investors, chief executive officer Deep Kalra, chief commercial officer Keyur Joshi and India CEO Rajesh Magow are also selling a portion of their holding. The share sale plans come at time when MakeMyTrip's scrip has doubled over the last six months from a level of $13 in September 2013. Shares of company closed at $24.87 on Monday, down 3.42%. A spokeswoman for MakeMyTrip declined to comment further on investment strategy, citing SEC guidelines. E-mails sent to SAIF Partners and Sierra Ventures also did not elicit a response. For the nine-month period ending December 2013, MakeMyTrip reported a 12% increase in total revenues to $194.5 million with net loss widening to $18 million from the year-ago period.
- Firefox launches bike range in association with Warner Bros: Firefox Bikes, in association with Warner Bros, today launched in India a range of bicycles for children, aiming at selling over 10,000 co-branded bikes this year. Seven bikes, priced up to Rs 7,520, will be designed based on various cartoon characters - Superman, Batman, Tom & Jerry and so on - and will be available across the company's over 150 outlets across the country. "The new range of bikes has been specifically designed to address the growing demand of bikes for children. This international tie-up augers well for Firefox Bikes since kids relate to Warner Bros characters in a big way," Firefox Bikes Managing Director Shiv Inder Singh told reporters here. The company currently gets more than 50 per cent of its sales revenue from bicycles meant for children below 15 years of age, he added. "Kids segment is a good sale segment for us. We aim to sell over 10,000 warner Brother' co-branded bikes this year," Singh said.
- Exports see first fall in 8 months; rupee's strength mars outlook: India’s merchandise exports in February recorded their first decline in eight months, surprising analysts and dashing policy makers’ hope of meeting the $325-billion target for the current financial year. Given the rupee’s recent strength against the dollar, the outlook for export growth remains weak. The country’s exports fell 3.67 per cent in the month to $25.68 billion, against $26.68 billion in the year-ago period. During the first 11 months of the financial year, exports stood at $282.77 billion, up 4.79 per cent over that in the corresponding period of 2012-13, data released by the commerce department showed on Tuesday. Imports in the month, meanwhile, declined 17.09 per cent to $33.82 billion, against $40.79 billion in February last year. This drop was mainly on account of non-oil imports, which contracted 24.5 per cent to $20.12 billion from $26.66 billion in the year-ago period. Petroleum imports fell 3.1 per cent to $13.70 billion, compared with $14.13 billion in the same month last year.
- Deepika: Leading lady in brand fees: The fight for the top slot among female brand endorsers is getting stiff. Once a square battle between A-listers Kareena Kapoor and Katrina Kaif, Deepika Padukone has become a strong third peg this year. The daughter of former badminton player Prakash Padukone is on a brand-signing spree after a string of hits last year. Padukone will be the new face of Kellogg’s Special K, the breakfast cereal positioned as a healthy alternative for women looking to lose weight, announced last week. She has already taken up the endorsement of Coke, appearing in ads featuring Farhan Akhtar on television these days. Padukone is also rumoured to be talking to Pantene, P&G’s flagship shampoo brand, following erstwhile endorser, Kaif’s switchover to LÓreal. Padukone has also snagged HP and Lux in the last few months, adding to a list that includes Nestle’s Nescafe, Neutrogena, Sony Cybershots, Garnier (face products) and Tissot. Harpreet Singh Tibb, marketing director, Kellogg India, says, “There was no doubt in our mind about bringing Deepika on board. She has always taken it upon herself to maintain healthy habits. She represents the brand’s values impeccably.”
International:
- Swatch Files Lawsuit Against Target Corp.: Swatch AG has filed a lawsuit against Target Corp., alleging the discounter of selling watches that copy its designs. According to the suit, which was filed in U.S. District Court, Southern District of New York, Swatch claims Target is committing trade-dress infringement, unfair competition, false advertising and false designation. The filing includes images of Swatch and Target watches with zebra-printed wristbands, as well as multi color watches from both companies. Swatch’s round, brightly colored face without numerals are among the item’s elements, the suit notes. Swatch’s multi color watch trade dress includes a band designed to wrap around the wearer’s wrist twice, a face that has white numbers one through 12, and a round silver metal winding crown, among other features. The suit alleges that Target “willfully and intentionally used the Zebra Watch Trade Dress and the Multi-Color Watch Trade Dress” in a manner that is likely to cause confusion, mistake or deception. Executives at Swatch AG declined to comment Tuesday, as did representatives at its law firm Collen IP.
- H&M's COS Set to Cover the Coasts: H&M’s plans for COS’ arrival in the U.S. are taking shape. After the first COS store in the U.S. premieres this spring at 129 Spring Street in New York’s SoHo neighborhood, the sleek, professional sibling of H&M has set its West Coast debut by signing a lease for an estimated 13,000-square-foot unit at 357 North Beverly Drive in Beverly Hills. COS, which stands for Collection of Style, has about 80 stores worldwide, but has yet to open stores in the U.S. On Beverly Drive, COS will join an increasingly crowded row of fashion retailers. Among those that have signed leases within the last two years are Alice + Olivia, Theory, Sandro, Maje, AllSaints, Scoop, Intermix and Iro. Jay Luchs, executive vice president at Newmark Grubb Knight Frank, said, “Beverly Drive has become the street in L.A. for contemporary brands. The foot traffic and cotenancy are the main reasons for this change.” COS isn’t only coming to America via its own stores. The retailer will continue a partnership started last year with Opening Ceremony by opening pop-up stores at the designer retailer’s outposts in New York and Los Angeles on April 17. The COS pop-up stores at Opening Ceremony will last until supplies run out. COS will be made available on opening ceremony.us as well.
- Microsoft hopes 'Titanfall' can boost Xbox One: Tech titan Microsoft -- which has struggled to keep pace with Sony and its PlayStation 4 -- is pinning its hopes on a new action video game, ironically named "Titanfall." The highly anticipated game for the new generation Xbox One console lands this week in a major global release, with Microsoft betting it will keep the company in the forefront of the battle for the living room and home entertainment. "The challenge is finding the 'killer game,'" says Avi Greengart of research firm Current Analysis. "Titanfall appears to be the first must-have, first-person mutliplayer game that takes real advantage of the Xbox One's additional horsepower." Technology analyst Rob Enderle at Enderle Group said the new game -- featuring elite assault pilots and heavily-armored, 24-foot (six-meter) titans -- will be a critical test for Microsoft. "Titanfall is really the big title for Xbox One," he said. "Game consoles live and die on blockbusters, so it is really important that the audience likes this game." The game is produced by Respawn Entertainment, using designers of the "Call of Duty" blockbuster series, and distributed by Electronic Arts exclusively for Microsoft's Xbox and PC platforms. It carries a US price tag of $60.
- Brendan Hoffman to Exit Bon-Ton: After a roller-coaster year confronting several headwinds, The Bon-Ton Stores Inc. faces another hurdle — finding a new chief executive officer. Bon-Ton’s current president and ceo Brendan Hoffman has decided not to renew his contract when it expires in February 2015. He’s leaving the struggling regional chain in the middle of turnaround efforts he initiated. Hoffman joined the retailer in January 2012. Hoffman told WWD that he resigned because he was away from his family too much, commuting every week from New York, where his family lives, to Milwaukee, where Bon-Ton is based. “I underestimated the toll it would take on my family with the commuting, especially with my kids being the age they are,” Hoffman said. “I am very focused on the business and what we need to accomplish. Because we are a public company, this needed to be disclosed when it did.” He has a 12-year-old son and a 10-year-old daughter. Sources said he wife did not want to relocate the family. Hoffman has time to continue to implement changes to strengthen the business, which has been struggling for years under the weight of more than $800 million in debt and operating dated stores in economically challenged markets, but a turnaround under his watch seems remote now. Bon-Ton operates 270 department stores in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner’s, Boston Store, Carson’s, Elder-Beerman, Herberger’s and Younkers nameplates.
- Tod's Profits Fall 8% in 2013: Italian luxury goods maker Tod’s SpA on Tuesday said net profits in 2013 decreased by 8 percent to 133.8 million euros, or $176.9 million, affected by weakness in its largest market, Italy, and by unfavorable exchange rates. Tod’s confirmed its previously published preliminary sales figures for the full year: 967.5 million euros, or $1.27 billion, up 0.5 percent on 2012, as the group’s strategy to rationalize Italian wholesale distribution countered gains in international markets and the growth of the Tod’s and Roger Vivier brands. The firm was also hurt by currency headwinds, as sales would have grown 1.7 percent in the year at constant exchange. The company said earnings before interest, taxes, depreciation and amortization, or EBITDA, was 236.3 million euros, or $307.2 million, compared with 250.2 million euros, or $332.8 million a year ago, equal to a 24.4 percent margin on sales. Dollar amounts are converted at average exchange for the periods to which they refer. Chairman and chief executive officer Diego Della Valle, whose group controls the Tod’s, Hogan, Fay and Roger Vivier labels, said the past year’s results “confirm the positive path of international growth, driven by Tod’s and Roger Vivier.”
- Global Sales Growth Lifts Salvatore Ferragamo: Salvatore Ferragamo SpA on Tuesday said double-digit growth in all markets, except for Japan, and gains in its core footwear and leather goods categories helped drive a 43 percent jump in net profits in 2013. In the 12 months ended Dec. 31, the Florence-based luxury firm saw its bottom line climb to 150 million euros, or $198 million, compared with 106 million euros, or $135.7 million, in the previous year. Confirming preliminary figures reported in January, revenues rose 9 percent to 1.25 billion euros, or $1.65 billion, in the year ended Dec. 31. This compares with revenues of 1.15 billion euros, or $1.47 billion, in 2012. Dollar amounts are converted at average exchange for the periods to which they refer.
- Sequential Taps Jameel Spencer as CMO: Sequential Brands Group Inc. has hired brand strategist Jameel Spencer as chief marketing officer, a new position. Spencer will report to Sequential chief executive officer Yehuda Shmidman. Prior to joining Sequential, Spencer was cmo at Iconix Brand Group, and oversaw the marketing for brands such as Ed Hardy, Ecko, Umbro, Rocawear and Roc Nation. In his new role at Sequential, Spencer will develop and lead global marketing initiatives for the firm’s portfolio of brands that include William Rast, DVS, Caribbean Joe, Ellen Tracy and Revo, among others. Sequential’s portfolio of eight brands so far have a global retail volume of $1 billion, according to Shmidman. “We have over 50 licensees. The missing link to the management team we have here was the cmo position, which Jameel has filled,” the ceo said. He explained that while each brand has to have its own identity, the marketing and branding synergies and the strategies to push social and digital media will be part of what Spencer will oversee. One of the big campaigns on the agenda is Ellen Tracy’s 65th anniversary celebrity campaign set for the fall, as well as the continued expansion of the William Rast brand in Europe, also in the fall.
Currency:
· 1 USD= ₹ 61.112
· 1 EUR= ₹ 84.680
· 1 GBP= ₹ 101.589
· 1 AUD= ₹ 54.773
Glitter Meter: India
Gold (INR/10g) | Silver (INR/kg) | |||
City | Current | Change | Current | Change |
Chennai | 30320.00 | -20 | 45870.00 | -5 |
Mumbai | 29840.00 | -20 | 45870.00 | -5 |
Delhi | 29600.00 | -20 | 45870.00 | -5 |
Kolkata | 29720.00 | -20 | 45870.00 | -5 |
World Indices:
Exchange | Last | Change |
DJIA | 16351.25 | -67.43 |
FTSE 100 | 6685.52 | -3.93 |
CAC 40 | 4349.72 | -21.12 |
DAX | 9307.79 | +42.29 |
Nikkei | 14893.65 | -330.46 |
Hang Seng | 21937.99 | -331.62 |
Sensex | 21793.32 | -33.10 |
NASDAQ | 4307.19 | -27.26 |
*Disclaimer:
World One Consulting Pvt Ltd will not accept any liability for loss or damage as a result of reliance on the information contained within this newsletter including data, quotes, charts and buy/sell signals.
World One Consulting Pvt Ltd will not accept any liability for loss or damage as a result of reliance on the information contained within this newsletter including data, quotes, charts and buy/sell signals.