Starbucks, Alice.com, ‘Citysumers’

Published on February 02, 2011 | Comments: 0
Starbucks' technology investments and its use of social and digital media channels are "increasing and becoming a significant competitive advantage," said Howard Schultz, the chain's founder, chairman, president and CEO, during a recent conference call. As reported by RIS News, Starbucks’ recent social/digital media successes include signing up nearly 250,000 consumers to receive a daily text message announcing the specials during the “12 Days of Sharing” holiday promotion, as well as a mobile payment application and 2.5 million new loyalty club members.

E-commerce & Multichannel Retailing

  • Alice.com, an e-commerce platform and online marketplace for household essentials, will provide CPG manufacturers with complimentary Facebook commerce integration as part of its e-commerce suite of products and services.

Stats & Research

  • Consumer insights firm trendwatching.com has identified “Citsumers,” a consumer trend based on serving the needs of hundreds of millions (and growing) of experienced and sophisticated urbanites, from San Francisco to Shanghai to São Paulo, who are ever more demanding, more open-minded, but also more proud, more connected, more spontaneous and more try-out-prone, eagerly snapping up a whole host of new urban goods, services, experiences, campaigns and conversations.
  • Smartphone penetration is higher among mobile users who are part of ethnic and racial minorities in the U.S. – namely Asian/Pacific Islanders (45%), Hispanics (45%) and African-Americans (33%), populations that also tend to skew younger.
  • A quick look at Compete.com data reveals that shoppers are visiting Shutterfly about 10% more than they are visiting Snapfish.
  • Gallup's Job Creation Index shows employees' reports of hiring activity at their places of work in January were unchanged, at +10, for the fourth consecutive month.
  • Compared to last year, Americans feel slightly more secure about their financial situation.
  • According to shopping cart recovery services provider SeeWhy, a company with $200 million in annual revenue loses $1.2 million a day from cart abandonment.

Legal & Regulatory

  • Borders Group, Inc. may file for bankruptcy in February, according to media reports.

Promotions & Appointments

  • Scott Wheway, chief executive of Best Buy Europe, is leaving the group to make way for chief operating officer Andrew Harrison.
  • Art Peck, the leader responsible for growing Gap’s outlet business for the past three years, will take on the role of president of Gap North America.
  • Ernie Herrman has been promoted to president of The TJX Companies from his post of senior EVP, group president.
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