Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  London Stock Exchange  >  Unilever    ULVR   GB00B10RZP78

UNILEVER (ULVR)
My previous session
Most popular
  Report  
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsTweets

Unilever : FAMOUS BRANDS PLOT TO CUT OUT SUPERMARKETS

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/02/2017 | 01:36pm CEST

Nov. 02--HOUSEHOLD names are planning a shopping revolution by cutting out supermarkets and selling direct to consumers.

In a move that could slash consumer bills, hundreds of popular products could be sold straight to customers through a new website.

It would bypass mainstream supermarkets, allowing firms such as Unilever, Reckitt Benckiser and Mars -- which are understood to have signed up to the initial proposal -- to cut the costs of some of their leading products.

And the service, being developed by tech company INS, poses a new threat to supermarkets already faced with rising numbers of shoppers going online and a push by Amazon to sell groceries.

Bosses behind the project say it will help consumer goods firms fight back against an onslaught of cheaper 'own-brand' products, which are squeezing their market share.

But one analyst warned it could spark a war between supermarkets and manufacturers.

Research by Kantar Worldpanel shows the 'Big Four' -- Tesco, Sainsbury's, Asda and Morrisons -- control almost 70pc of the groceries market.

Peter Fedchenkov, the founder of INS, accused UK supermarkets of 'abusing' their position, which meant they could dictate pricing, packaging and promotions, and even threaten to remove products from the shelves if their demands were not met.

He added: 'Our platform would let manufacturers sell directly to customers and run bespoke rewards programmes, much like Air Miles but more advanced, to save them money. Today's grocery supply chain is highly inefficient and so, by cutting out parts of it, we can reduce costs.

'In the UK you have 25m households and 7,000 manufacturers but just four big retailers with 70pc of the market -- that gives so much power to the retailers.'

Last year a row broke out -- dubbed 'Marmitegate' -- after Tesco pulled Unilever's products from its website and threatened not to replenish supermarket stocks. It came after Tesco refused to pay an extra 10pc for goods demanded by Unilever.

The INS website is being developed and is due for a trial run, probably in Moscow, next year. Fedchenkov said it could be rolled out globally in 2019, with the UK seen as a core market.

Nick Carroll, a retail analyst at Mintel, said the proposal was a big challenge to supermarkets and could spark a showdown. He said: 'If big brands got on board with this, the danger is they could then alienate their supermarket customers, who could decide there is no longer space for their products on the shelves.

'The UK has one of the most advanced online grocery markets and it is still only worth about 6.5pc of the grocery market.'

A spokesman for the British Retail Consortium, which represents the Big Four and other retailers, said: 'This platform will no doubt encourage retailers to continue to innovate to deliver the best deal possible for consumers, who are the real winners from the intense competition in British retailing today.'

Mars yesterday confirmed it had signed a memorandum with INS but did not comment further. A source close to Unilever last night said it was looking at whether it could work with INS, but added: 'There are no plans to do this in the UK or elsewhere at this time.'

A spokesman for Reckitt Benckiser claimed 'no agreement' had been made with INS.

___

(c)2017 the Daily Mail (London)

Visit the Daily Mail (London) at www.dailymail.co.uk/home/index.html

Distributed by Tribune Content Agency, LLC.

© Tribune Content Agency, source Regional News

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on UNILEVER
04:32aUNILEVER : Zim marks Global Handwashing Day
AQ
10/15UNILEVER : United Purpose, Unilever take hand washing campaign to school childre..
AQ
10/15UNILEVER : In the future of work it’s jobs, not people, that will become r..
AQ
10/15Credit of Interim Cash Dividend of Unilever Pakistan Foods Limited
AQ
10/15UNILEVER PLC : quaterly sales release
10/15MCA CRICKET : Division 'B' weekly roundup
AQ
10/15UNILEVER : CDB fairer and lovelier than Unilever by 1 wicket
AQ
10/15UNILEVER : bosses braced to face shareholders
AQ
10/12NIGHTFOOD HLDG : Holdings, Inc. October Investor Call Recap
AQ
10/12GLANBIA : SHAKE IT UP Weight-loss brand Slimfast bought for $350m by nutrition f..
AQ
More news
News from SeekingAlpha
10/15At 13.0x TTM P/E, Spread Some J.M. Smucker Into Your Portfolio 
10/13RETIREMENT : How To Manage Risks And Prepare For The Next Downturn 
10/10PROCTER & GAMBLE : Bulls Vs. Bears 
10/09FEVERTREE : Is The Panic Selling Warranted? 
10/094 WAYS TO PREVAIL OVER AUTOMATION : Asset Allocation Daily 
Financials (€)
Sales 2018 50 868 M
EBIT 2018 9 242 M
Net income 2018 5 985 M
Debt 2018 20 597 M
Yield 2018 3,38%
P/E ratio 2018 18,83
P/E ratio 2019 20,00
EV / Sales 2018 3,02x
EV / Sales 2019 3,05x
Capitalization 133 B
Chart UNILEVER
Duration : Period :
Unilever Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends UNILEVER
Short TermMid-TermLong Term
TrendsBearishNeutralNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 14
Average target price 50,7 €
Spread / Average Target 11%
EPS Revisions
Managers
NameTitle
Paulus Gerardus J. Polman Chief Executive Officer & Executive Director
Marijn E. Dekkers Chairman
Graeme David Pitkethly Chief Financial Officer & Executive Director
David Blanchard Chief Research & Development Officer
May Lung Cha Independent Non-Executive Director
Sector and Competitors
1st jan.Capitalization (M$)
UNILEVER-2.96%151 532
PROCTER & GAMBLE COMPANY-13.95%196 320
UNILEVER NV (ADR)-5.08%151 984
UNILEVER (NL)-1.70%151 532
RECKITT BENCKISER-5.48%60 066
COLGATE-PALMOLIVE COMPANY-17.10%54 104