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Navigating retail’s new normal: the rise of perpetual peaks

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On this episode of Talking Shop I’m joined by Alain Bejjani—former Group CEO of Middle East retail giant Majid Al Futtaim, and author of the definitive new book, NEXT: Leading Through the New Realities. Drawing on his childhood in war-torn Beirut, and his experience steering a $9.5bn dollar retail and lifestyle empire through a global pandemic, Alain brings an unmatched perspective on leadership under pressure. Today, we break down his crisis survival playbook for retailers operating in distress. We discuss why resilience must always outpace efficiency, the four assets a brand must protect at all costs, and how to turn macro-turmoil into a long-term direction that scales.

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Take-home grocery sales rose 5.7% for the 12 weeks to 18 April 2021, according to data analytics and brand consulting company Kantar.

The group’s figures also show a 6.5% growth for the four-weeks prior to 18 April, reflecting increasing consumer confidence in physical retail.

Kantar found that the over-65 community represented almost half of the increased grocery footfall, which rose 4% in April when compared to March 2021.

In turn, the share of groceries ordered online fell to 13.9% for the most recent four weeks, down from February’s peak of 15.4%.

Fraser McKevitt, head of retail and consumer insight for the worldpanel division at Kantar, said that “there is a growing sense that the worst of the pandemic is behind us”.

He added: “People are becoming more comfortable with venturing out to the supermarket. The past four weeks have been the busiest in store for the grocers in more than a year, as the number of trips made in April increased by 4% compared to March.

“While the market may fluctuate between growth and decline in the months ahead, depending on the year-on-year comparison being made, the fact that trip numbers are up and basket sizes down suggests that habits are slowly returning to normal.”

As for individual businesses, Co-op saw its sales fall 3.1% year-on-year for the 12 week period.

Asda represented the fastest growing of the big four retailers, increasing its market share by 0.4%, while Tesco also increased its market share by 0.2%.

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