Heard Under The Sheds – 18/9/2016

A Stink At QVM – this website received a written complaint this week and there was much discussion amongst traders on Friday about deteriorating standards of cleanliness in the market’s public toilets. The smell has been described as “disgusting” in the Queen St. and A Shed toilet blocks. One trader received a customer complaint about the state of the toilets although customers often don’t complain – they just stop coming. Time for action by those responsible.

Fishmongers Grill Malcolm McCullough – Thursday’s meet the CEO session at the Engagement Hub on Queen St. included 8 or 9 Fishmongers concerned about future plans for their hall particularly the possibility of processing facilities under H & I Sheds. The discussion was described as robust and open with many aspects of the fish hall operation being covered.
As we have noted before, these Thursday afternoon sessions are a great way for traders and management to highlight and discuss important market matters in an informal environment.

Table Covers – Just a note that our resident material stall has stock of materials suitable for stall table covers. Just talk to Lana at J shed 41 on Thursday, Friday, Saturday or Sunday. Information on fitted cloths and logo printing are available from the office.

September Can Be Tough – one of our specialty merchandise traders recalls that February and September are his two worst months of the year.

Sprinter Steve – an award should go to T-shirt Trader Steve for sprinting after a thief down K Shed on Saturday and retrieving a wallet stolen from his neighbour’s display.

Have Your Say - click here.

What Some People Don’t Understand About QVM

I read an article in the Herald Sun this week that typified much of the anti-renewal debate and like many similar arguments missed a point that most traders get.

The article was written by an academic and there were some wonderful word pictures – stories of the old days and the emotion of a true community market, the banter, the social exchanges – all things which, as a 35 year plus trader I recognise and embrace. The author talked about the market rejecting the conformity of supermarket chains and reminding us that life is about choices. All those things are true but that is not why the Queen Victoria Market is here.

The Queen Victoria Market comprises a group of individual traders who operate a particular business model. That business model is based on meeting the needs of a population, hopefully the vast majority of that population, because volume is important to how we do business. We are expected to meet those needs in regard to quality, price, and freshness (in the case of food). But our business model is suffering and you only need to look at the empty stalls for evidence of that. Our model has been compromised. It has been disrupted by many things including a communication revolution, and a whole lot of new choices for consumers. There is online ordering, a multi-year supermarket war that has disrupted traditional concepts of food buying, and an over-emphasis on convenience in the lives of consumers that impacts on how retailers do business.

We market traders are here to do business. All those other things, the emotion, the personal exchanges are by-products of doing our job really well. They are not why we are here. We need to focus on what got us here a century and a half ago – being relevant to the needs of the population and excelling at what we do. When we get that focus back and embrace the gift of a market re-investment (renewal is just about making up for lost investment over the last 30 or so years), then we can achieve great things.

Being really good at meeting the contemporary needs of consumers is the most important lesson from our past.

By Greg Smith

Have Your Say - click here.

QVM In The News - 18/9/2016

NEWS
	Queen Victoria Market is authentic heart of Melbourne, says Christopher Bantick Herald Sun MELBOURNE is a city of markets. The Queen Victoria Market, or the”Vic” as it is known, was where my uncle brought his vegetables. He would bring ...

NEWS
	Move for voter poll on Queen Victoria Market revamp Herald Sun “The City of Melbourne and the State Government have signed an agreement regarding the renewal of the Queen Victoria Market.” In a letter from their ...

Retail Webinars & Workshops

Traders can click on this link - Retail Training & Development - to get access to some webinars and workshops including the following - 

Social Media and Marketing

Build a step-by-step plan to create a social media campaign focussed on the customer's needs.

> Melbourne | > Sydney | > Brisbane

Financial Fundamentals & Product Performance

This workshop provides the guiderails to financial control through understanding sales, profit and cash flow.

> Melbourne | > Sydney

{WEBINAR} Augmented Reality - beyond the hype

Learn the applications of Augmented Reality for retail, and practical steps for cost-effective implementation.

> Register here

Reinventing the brick-and-mortar store

Learn how retailers can maximise the customer experience in-store to increase conversion rates and drive online sales.

> Register here

QVM In The News

NEWS
	Susie O'Brien on Queen Victoria Market needing a facelift Herald Sun The Grand Old Dame is definitely in need of a makeover. I had a good look around last week, and found much of it distinctly underwhelming.

Latest Retail News - 11/9/2016

Latest Retail News – 11/9/2016
1. Surfstitch records $155m loss.
2. Online homewares retailer, Temple & Webster, reports $44.9m loss. Looks for break-even 2018.
3. Woolworths in legal battle with partner Lowes over sale of Masters.
4. Retail spending unchanged in July.
5. Lush triples size of Sydney flagship store.
6. Woolworths replaces directors on Masters Board.
7. Uniqlo to double its floor space at Chadstone.
8. UK department store, Debenhams, to open in Collins St. Melbourne 2017.
9. Supermarkets accused of reducing choice as ranges go in cost-cutting measures.

Free Promotion Opportunity With City of Melbourne

The City of Melbourne offers free promotional opportunities to traders for the coming Christmas trade period. Here is the latest advice from the City:- Christmas promotion reminder Christmas marketing campaign. We’ve received some fantastic responses but we’re still on the look out for more great products, services and festive experiences during the Christmas period.  Expressions of interest (EOIs) close on Wednesday 14 September so complete the application form now. Apply now Complete this short form and your business could be featured in our Christmas campaign* including our: Christmas Gift and Event Guide print radio and digital advertising Facebook and Twitter posts Christmas What's On website What's On blog and weekley newsletter. This is what we're looking for Gifts, services and festive experiences unique to the City of Melbourne such as: special Christmas events markets, festive shopping events bespoke, locally made gifts unique children's gifts gifts under $50 foodie gifts or festive cooking classes sustainable, ethical gifts workshops, create your own gifts gift vouchers for unique experiences festive dining venues. Applications close Wednesday 14 September.

The Richest Man In The World Is A Retailer

For a few days this week Bill Gates was no longer the richest man in the world. That title belonged to Amancio Ortega, the founder of Zara. The fluctuating fortunes of the share market meant that Gates has since regained the number one position but it is obviously an ongoing battle.

But back to the point - a retailer became the richest man in the world, and this man started as a store clerk who opened his first Zara store in 1975. Ortega holds shares in Inditex, the parent company to Zara, Massimo Dutti, Pull&Bear and other brands. According to Forbes he earns a massive $900m per year in dividends.

I have often questioned my role as a retailer, particularly in recent years, but now there are no excuses. The world is my oyster, and I can attain great wealth. Mr. Ortega shows it can be done.

Have Your Say – click here.

The Scientific Solution To QVM Renewal

Like warring factions the pro renewal and no renewal camps are creating an uncomfortable environment that is making it difficult to reach a solution. Both sides want the same thing, a better market, but the current process of politics, propaganda and 5 minute experts seems a crazy waste of time, effort and money. We need some science.

One of our long term traders (45 years with the market) disagrees with both extremes (pro and no) and says we are focussing on the wrong things. The no renewal camp are ignoring the realities of a struggling market. The pro renewal camp are mesmerised by $250m which, if spent in the wrong way, will fix very little. There is a middle road that is more likely to bring results.

Essentially he is saying get back to retail basics, and makes the point that retailing is a science not for amateurs. A full examination of his proposal is beyond this article but here are the main points -

1.    Acknowledge that we have a market/patient in need of revival.

2.    Identify the core reasons for the patient dying within a framework of historical known customer drivers - price, choice, convenience.

3.    Work on each of those core reasons and correct them using modern retailing expertise where appropriate.

4.    When the patient is on the road to recovery (but not before), adopt modern marketing and advertising practices to encourage, develop and grow.

Retailing is a science with known behaviours and known solutions. Tweak it a bit for a public market (just a bit), add in some modern methods of communication, and you have a framework for gradual correction of what ails us.

This sounds like a debate worth having.

Have Your Say - click here.

How Much Food Is Enough

There is considerable debate over just how much ready to eat food should be available at a market like QVM. How do we get the mix right so that our market meets modern consumer expectations whilst ensuring that the category is not over supplied and therefore jeopardising the profitability of current food operators? One thing seems clear - "food is the new shopping."

There is little doubt that food is critical to retail success. With the growth of online shopping, an essential point of difference for bricks'n'mortar destinations is food. And if you get the food attraction right, not only do you get more customers, but they stay longer and spend more. That is great for every retailer. Recent studies show that customers who eat during a shopping centre trip spend on average 27 minutes longer across the shopping centre and spend 18%  more in overall transactions.(marketing data from Coniq).

The space devoted to ready to eat food has grown significantly. According to international retail services company JLL, floor space devoted to food and beverage has doubled in the last ten years from 7% to 15%, and is expected to rise to 20% in the next ten years. Consumers are obviously demanding greater choice in ready to eat food. Shopping centres that used to rely on a single food court to meet their customers needs now have multiple food options throughout their centres. We are not a shopping centre but we do serve very similar clientele and the food options of old simply don't meet modern expectations. Gaining the double whammy of more customers who stay longer is a very desirable target.

Obviously you don't want to over populate the category and this is the point of concerns expressed in a Herald Sun article this week. In an article about the CoM's new food truck policy, Trader Representative Jenny Pyke was quoted as saying "It’s definitely unfair that they’re (food trucks) being put in at a lower rent rate than those already at the market”. Council plans involve placing food trucks around the city including on Peel St. adjacent to the market. The point was made in the article that the introduction of more food outlets could jeopardise the livelihoods of current food traders. Cr. Robert Doyle was quoted in a discussion on 3AW "We think these spots will work, in talking to the various traders, but obviously, depending on the footfall, that’s what makes it, or breaks it, and we want to put them where there are people going past".

Getting the ready to eat food mix right at QVM is critical to our development. This is not just about protecting current food traders or whacking in lots of new food. If we get this right, we will all benefit because more customers will come to our market. Once again we are testing the entrepreneurial appetite for traders to adapt to retail change and testing Malcolm McCullough's team's ability to get it right. It would be unfortunate if the CoM were acting independently and harming the process.

Have Your Say - click here.

Spreading The News

A comment posted on Victraders this week complained that more outside media articles were appearing on this trader's website.

We are publishing links to more outside media content but it is a deliberate attempt to better inform traders. Much is going on in the media about QVM at present and it is virtually impossible for every trader to keep track of them all. Some are printed in newspapers, some are online, and some are restricted to social media. At Victraders we get access to most of them so we decided to share on our pages.

If they seem to be clogging up the system we will stop publishing outside links but in the meantime we hope you enjoy being fully informed. Let us know what you think.

Ed.

Have Your Say - click here.

QVM In The News

NEWS 

- 8/9/2016 Heraldsun
Fleet of food trucks to move into Melbourne CBD permanently.
Queen Victoria Market traders are "gobsmacked".................

NEWS
To market to market … 
CDB News (registration)
The Queen Victoria Market was built in 1869 on its present site just north of the Old Melbourne Cemetery. It has been Melbourne's main fresh produce ...

Have Your Say - click here.

Xenia Says Thank You

Trader Xenia (Sonya) yesterday asked us to pass on her thanks for all the flowers, visits, and positive messages from traders and staff members since she suffered a stroke at the market on Friday 19th August. Xenia is in hospital and is very grateful for the care and attention shown to her by the market community as she takes the road to recovery.

Have Your Say - click here. 

QVM In The News - 8/9/2016

NEWS
	Former MP Phil Cleary declares he will run for Melbourne Lord Mayor Herald Sun FORMER federal MP Phil Cleary will run for Melbourne Lord Mayor at next month's council election on a Save the Queen Victoria Market ticket.

Have Your Say - click here.

COMMENTS:
09/09/2016 12:26:07 Phil Cleary "Much better alternative" A & J Renwod  E Shed

Latest retail News - 4/9/2016

Latest Retail News – 4/9/2016
1. Scentre Group and Cbus Property to buy David Jones Market St. Sydney store and convert into luxury retail and apartments.
2. Aldi named EFTPOS Retailer of the Year 2016.
3. H&M to open its eighth NSW store at Campbelltown.
4. RMIT launches new food and innovation campus at Bundoora Campus.
5. David Jones to relocate head office from Sydney to Melbourne.
6. Baby Bunting lifts profit by 38% after 2015 IPO.
7. Harris Scarfe to restructure its apparel offering including frequent range updates.
8. Jeans West to open first mega-store at MacArthur Square.
9. JB HiFi lifts full year profit.
10. Tag Heur opens new flagship store in Sydney CBD.
11. Dominos beats profit guidance.
12. Apple hits back at Australian Banks looking to block its payment system.
13. Beacon Lighting posts significant sales rise for 2016.
14. Newspower to launch new concept stores in traditional newsagency realm.
15. Retail landlord Stockland says not worried by increasing number of retailers entering administration.
16. Wesfarmers profit drops 83.3% after writing down value of Target and coal operations.
17. Reject Shop reports profit rise.
18. Australian retailers criticised for poor delivery services.
19. Webjet posts record profit.
20. Woolworth’s takes billion dollar hit from Masters writedown.
21. Super retail experiences profit drop following lower BCF performance.
22. Retail Food Group (Gloria Jeans, Donut King etc.) posts record profit.
23. Shares in Godfrey’s fall following poor results.
24. Tiffany’s same store sales decline particularly in Asia.
25. Harvey Norman’s profits soar on back of international stores.
26. Apple gets $19b tax bill over arrangement with Ireland.
27. Australia Post returns to profit.
28. Retail spending unchanged in July.
29. Walmart says 7000 back office job losses are not downsizing with workers transferred to shop floor.

QVM In The News

NEWS
	Preston Market revamp to start in October The Sydney Morning Herald Mr Spiteri said the market's owners had failed to properly consult with ... City of Melbourne's multi-million dollar makeover of the Queen Victoria Market.

NEWS
	Queen Victoria Market: Actor Sigrid Thornton joins chorus opposing redevelopment The Age The Melbourne City Council was the underbidder "by quite a long way" when it spent $76 million for the block opposite Queen Victoria Market, says ...

NEWS
	Proposed permanent street closures CDB News (registration) Franklin St was soon to be realigned through the Queen Victoria Market carpark to connect directly into Dudley St as part of the plan for the market ...

The Death Of Shopping Centres As We Know Them

A mall in the US has just announced a new key tenant. It is the Ford Motor Company, and they are not selling cars. Ford has taken over the ex department store space to locate one of its business hubs. The former retail space will become an office and this change in use is being echoed in other shopping centres across America.

Those other shopping centres are transforming parts of their complexes to accommodation and lifestyle experiences like health centres. Forbes magazine says this is part of an adjustment in consumer behaviour - a move from shopping to more experience based activities. Consumers still want to congregate and socialise but not just for pure shopping. The most obvious demonstration of this trend is in ready to eat food although there are other "entertainment" options and this would appear to be a rich source of speculation for retail centre designers and entrepreneurs generally.

So, a mall that accommodates offices, hotels, entertainment, and also allows you to buy a shirt or cosmetics, has more relevance than a mass of shops. Clearly this wasn't the plan when these malls were built so there is plenty to play out here although consumers do appear to be sending a clear message - give me a good reason to congregate, enhance the experience, and I will join the party, but pure shopping doesn't do it anymore.

The mall in the US that inspired this story is in Detroit. The two storey department store that Ford is taking over was a Lord & Taylor site and has been vacant for some time. Other anchor department stores operate in the mall although a Saks Fifth Avenue store was recently demolished to make way for restaurants.

Consumers are looking for a variety of stimuli from their retailing destinations and it will be important for retail centres to have the flexibility to adjust. Does this mean that shopping centres will be based more around smaller independent and flexible retailers in the future? Hell, we’ve been doing that for decades at QVM although the transition in malls doesn’t exclude smaller size chain operations and that is still a bone of contention at our market.

By Greg Smith

More Retail News Briefs

Visa Introduce Payment Ring

No, this ring is not a group of customers, it is the jewellery type of ring, and Visa have now made it available to the general public. Customers can tap the ring at a store terminal without having to pull out their card or phone. The ring is expected to be available in the US by the end of the year at a cost of $53.

The Co-op Buys Australian Geographic Stores

The Co-op is an on-campus retailer with an online presence and over 60 bricks’n’mortar stores around Australia. It sells text books, homewares, toys and office supplies, and has a strong student and ex-student following.

The acquisition of Australian Geographic’s 66 retail stores and online business is expected to be completed early September.

Water Adds To Coca Cola Bottom Line

Coca Cola have reported falling demand for traditional soft drinks and are concentrating on water, energy, and dairy drinks. Softness in fizzy drinks was countered with a 9.3% increase in still beverages following the introduction of new brands including FUZE Tea and Monster Energy.

High Tech Towing Takes Out Telstra Small Business Award.

This years national New Business Award went to a two year old towing company called Tow.com.au. The company started in Queensland, securing a partnership with Queensland Police for a state-wide contract. Operations are now national with plans to expand into NZ.

Two More Fashion Businesses Bite The Dust

Women’s clothing retailer, Seduce, has entered voluntary administration. The chain operated 9 Australian stores specialising in fashion for women aged 25-35. The brand has stores in Dubai and China and supplies a number of other retailers including Myer and The Iconic.

And it was recently announced that fashion label Willow is to shut up shop after owner Apparel Group (JAG, Sportscraft and Saba) decided it no longer fits their long term strategy.

Queensland Appoints Chief Entrepreneur

In a move designed to emulate the success of Israel’s start-up culture, the Queensland Government has appointed Blue Sky Alternative Investments founder, Mark Sowerby, to head up their Advance Queensland program.

Sowerby’s role will be to oversee all start-up and entrepreneurial related projects and he says he will be concentrating on developing ideas, taking them to market, and creating jobs along the way.

Retail News Briefs – Hardware Retailers

Masters To Shut In December

Masters hardware stores have announced that they will close all their stores this December with many jobs to go.

A group comprised of aged care provider, Aurrum, the Spotlight Group, and Chemist Warehouse have agreed to buy the 82 Master sites subject to agreement from Lowes, the partner with Woolworths in the failed Masters venture.

Stock will sold down by a specialist divestment group over coming months and, together with real estate sales, is expected to recover about $1.5b from the billions originally invested.

Metcash Buy Home Timber & Hardware

Woolworths have sold their Home business to the owners of Mitre 10 for $165m cash after paying $88m for it in 2009. Woolworths purchased Home as part of their campaign to compete with the hardware champion Bunnings, and followed up with the now failed Master concept.

For Metcash, the deal will add scale to their Mitre 10 brand and give them a network of around 1800 hardware stores generating $2b in sales. Metcash will continue their strong focus on trade customers.

Six Reasons Why QVM Revamp Is Needed

NEWS
	Six reasons why Queen Victoria revamp is needed The Age Melbourne City Council's director of city design Professor Rob Adams at the Queen Victoria Market. Photo: Penny Stephens. "They're going to sterilise ...