Articles Worth A Read - 9/6/2019

Worrying Signs For Australian Economy As GDP Tumbles:

The ABC is reporting that Australia’s economy is growing but at a worryingly slow rate. “The result was dragged down by weak household spending, slowing further from last year and up just 1.8 per cent over the year, with households cutting back on their discretionary spending, particularly in new household items, recreation and hospitality. However, spending rose in non-discretionary, essential areas such as insurance, power and health.”

Here is the link to the full article - https://www.abc.net.au/news/2019-06-05/australian-economy-slows-to-levels-last-seen-in-gfc/11180688

And for more information on April Retail Sales - https://www.abc.net.au/news/2019-06-04/retail-sales-april-2019/11176730

The Dilemma Of Empty Shops:

It would seem that the idea to put shops at the ground level of large new apartment complexes has proved a failure and there are other systemic problems creating empty retail shops around Melbourne. Details here -https://www.abc.net.au/news/2019-06-06/ghost-shops-haunting-new-developments/11184644

The Answer to Modern Effective Customer Engagement Is Not Everything:

Omnichannel has been a popular buzzword in retail with its proposition that retailers (Traders) need to be all things to all people - online/bricks’n’mortar/all the social media channels, and so on – but a key retail adviser is suggesting that is all rubbish.

In fact, rather than throw everything out there as some sort of catch-all net, we should be focusing on what is appropriate for our particular customers.

Steve Dennis writes for Forbes Magazine and is considered a top global influencer on many things retail. Here is his article on the death of Omnichannel. - https://www.forbes.com/sites/stevendennis/2019/06/03/omnichannel-is-dead-the-future-is-harmonized-retail/#12617c7e65e8

Ikea, The Furniture & Homewares Company, Moves Into Clothing:

Ikea has compiled a limited range of clothing from sustainable, socially conscious, manufacturers. Details here - https://www.fastcompany.com/90357173/ikea-is-getting-into-fashion-again

Woolworths To Give Greater Focus On Customers:

https://insidefmcg.com.au/2019/06/06/woolworths-plans-store-restructure-and-addition-of-two-new-departments/#daily

Latest Retail News - 9/6/2016

Latest Retail News – 9/6/2019
1. Aldi to launch first China store in Shanghai this week.
2. Kmart Tyre & Auto Service becomes Mycar.
3. Coca Cola sells SPC for $40m.
4. Retail spending down in April but rate cuts expected to help.
5. Darrel Lea releases its first ever chocolate blocks.
6. Major supermarkets look at refill dispensers to cut back on plastic packaging.
7. Topshop is closing all its stores in the USA.
8. Woolworths to revamp its supermarket offer with more customer convenience and service.
9. Toys’R’Us to return to Australia with smaller stores and online focus.
10. ACCC examines APRA’s near monopoly on music licenses for stores and venues.
11. Myer offers AfterPay in store.
12. Daigou Business, AuMake, sets record sales as business with China improves.

Trader Deliveries Receive Committee of Trustees Focus

At the Committee of Trustees meeting on 28^th May a presentation on OH&S issues was discussed with particular reference to safely mixing deliveries and logistics with pedestrian movements and what facilities and timing would best achieve good outcomes. Clearly there are areas where more work needs to be done and new facilities planned for Queen St. will feature in on-going discussions.

From The Executive Summary:

Key Strategic Issue: Market Health and Safety

The Committee received a presentation on Market Health and Safety. The Committee:  

-        - Noted that balancing health and safety with consumer activity is a key challenge and dilemma for market management.  

-        - Explored options to balance hours and mechanisms for delivery and logistics with pedestrian movements, with 8- 10am is the key challenge to minimise risk to consumers but provide a practical solution for traders.  

-        - It shared that increased storage that’s planned as part of the renewal will assist in reducing truck numbers and movements.  

-        - Discussed the layout of some components of the market to improve customer experiences, safety and operational efficiencies, and the design public spaces to ensure pedestrian friendliness and sound market operations.  

-        - Also discussed location for bus drop-off zones and business to business activities.

QVM Operations and QVM Precinct Renewal Update 

- The Committee noted the updates provided. 

- The Committee had a further discussion on trading hours and the lease and licensing approach. 

- Management has incorporated Committee feedback into the Market Square Charter and will now start broader discussions across CoM.

The Queen Victoria Market Committee of Trustees (Committee) provides the highest source of strategic advice to the Melbourne City Council (Council) on both the Queen Victoria Market Precinct Renewal Program (QVMRP) and Queen Victoria Market (‘QVM’) operations.

Its purpose is to ensure a broad range of views are considered and to advise the Council on matters of strategic importance to the renewal or trading operations of the QVM. Chaired by the Lord Mayor, the Committee is comprised of 13 members, including market traders, community representatives, independent nominees and Councillors.

QVM In The News - 9/6/2019

Truffle Melbourne 2019: the tastiest game of hide and seek begins Herald Sun If takeaway is more your speed check out the Truffle Truck at Queen Victoria Market. It's a new addition to Truffle Melbourne and will be serving ...

Truffle, horti and regenerative ag events worth a visit The Weekly Times ... of the lucrative fungi takes place at Queen Victoria Market on June 22-23, but ... “The harvest of truffles in Victoria grew exponentially and beyond all ...

Mirvac pounces on Queen Victoria Market site in build-to-rent bid The Sydney Morning Herald Property giant Mirvac will transform a key site next to the historic Queen Victoria Market into Melbourne's first build-to-rent complex after striking a deal ...

Heard Under The Sheds - 2/6/2019

Shocked Trader wants to know how the  minimum wage all of a sudden became an attractive option.

Another Trader said - “$740.80 per week - Are you serious? That is the MINIMUM wage?”

Whisper is that the back of at least some of our SBA Containers will be decorated.

The new Queen St. seating and plant boxes seem to get a big thumbs up from traders despite some concern about traders who have been displaced. However the changes are generally considered to open up the shed entrances and as one trader said “it is good to see the facilities are being embraced by the public”.

A Trader is contemplating a side business in lemonade and olive oil. Apparently the planter boxes in Queen St. contain a lemon tree with lemons and an olive tree bearing fruit.

Some more rumours that new traders in SBA will include a barber and a bookshop.

There has been much speculation about how Betty Jennings will adopt new trading arrangements. None of the speculators had actually spoken to Betty so we will leave that alone.

A Trader wonders whether the Fremantle Dockers shock win over Collingwood might inspire more of their fans to come to Melbourne and the Queen Victoria Market. “Freo way to go!!!!!!!!!”

Have Your Say - click here.

Articles Worth Reading – 2/6/2019

Amazon is reported to be shifting its e-commerce strategy to concentrate on larger suppliers  - https://www.bloomberg.com/news/articles/2019-05-28/amazon-is-poised-to-unleash-long-feared-purge-of-small-suppliers

The ACCC focus on Kogan’s discount practices raises questions about discount philosophies - http://theconversation.com/the-behavioural-economics-of-discounting-and-why-kogan-would-profit-from-discount-deception-117895

How to battle anxiety and depression as an entrepreneur - https://readwrite.com/2019/05/29/how-to-battle-severe-depression-as-an-entrepreneur/

7-Eleven’s new checkout free store – no cash, no cards - https://www.smartcompany.com.au/industries/retail/checkout-free-7-eleven/

Why most Americans are NOT shopping for groceries online - https://finance.yahoo.com/news/why-most-americans-arent-shopping-for-groceries-online-185650902.html

Latest Retail News – 2/6/2019

Latest Retail News – 2/6/2019
1. Nespresso launches world first subscription service in Australia.
2. PayPal says two-thirds of Aussie’s always look for a sale.
3. Auspost says online retail grew 24% in 2018.
4. Coca-Cola adds new milk drink to its range.
5. Aussie alcohol consumption declining.
6. 7-Eleven opens Australia’s first cashless and cardless store for mobile phone users.
7. Harvey Norman rebrands 4 stores to Harvey Norman 2nds World.
8. Amazon expected to get rid of its smaller suppliers.
9. Shoe brand, Ziera, to close stores in favour of online.

In Praise Of Tourists

Specialty Merchandise Traders in the Upper Market rely heavily on tourists for successful trading days. They will tell you that there is a world of difference between locals and tourists when it comes to buying attitudes (pun intended).

So we have compiled a table of customer attitudes that might just explain this phenomenon and illustrate why tourists are the lifeblood of the Upper Market.

LOCALS THINK	TOURISTS THINK
Do I really need that?	I’m on holiday and I’m a buying machine.
I can get it anytime I like.	I’m only here for a day or two.
Maybe I’ll go home and think about it.	I need to make a decision now.
It will still be here next week.	I won’t be back for 12 months.
I don’t have to rush.	I may never see this again.
I’ll check out the local shops or online.	I may never see this again.
Why is every second stall a souvenir trader?	This is a treasure chest for souvenirs.

I’ve got a budget.	I’m on holiday and ready to spend.
The stock market just went down.	I’ve cancelled all my news feeds.

Have Your Say - click here.

String Bean Alley – Moderating Expectations

The term “Great Expectations” was recently used to describe the renewal of String Bean Alley, and while this is an exciting development at QVM perhaps our expectations deserve a bit more scrutiny.

Completing SBA certainly has great potential. Completing the full story of unique Melbourne offerings ticks many boxes -

-     Creating an identity for an aisle on the fringe.

-     Potential for special events.

-     Adding craft/homemade element to our market.

-     A unique component of “the market of markets”.

-     Convenience for traders.

-     Enabling more complex equipment (e.g. laser engravers)

-     A contributor to the Night Market concept.

But what will it do for business? When the decision to complete SBA was announced some months ago, the current residents took a fairly pragmatic view on how their business would be affected. They felt that a 15% increase in day trade was probably achievable. Adding more trading days (Tuesday and Thursday) would increase that percentage.

If SBA does succeed in creating a desirable new destination in our market them we can expect all traders to benefit. Another good reason for customers to visit QVM is another good reason to check out the whole of the market.

Just how 12 additional containers will work is crystal ball stuff. Logic (whatever that is here) suggests that a unified aisle will be a success. It will certainly attract new interest, and have potential for some focused marketing. It would seem that some new trading concepts will be trialed in the containers and nobody can really be sure how they will go.

If we waited for surety in retail, nothing would get done. SBA does have great potential, but like everything in retail right now, it will probably require some very serious evaluation and tweaking as we go along.

In basketball parlance SBA is not a “slam dunk” but maybe the ball is already bouncing around the rim at least for some traders and hopefully it rolls in for a score.

Have Your Say – click here.

This Could be The Single Most Important Element In Our Market

Are we talking about sales, marketing, facilities, or consumer sentiment? Well no, we are talking about our market friends.

Trader friends could be one of the single most important ingredients in our market -  a great source of knowledge, a sounding board for ideas, a mood switcher, a distraction from worrying events, an opportunity to give (and take) and a source of warmth and comfort.

Personal engagement is seen everywhere in our market and financial profit comes from the way we deal with customers while emotional support comes from the traders around us. And when you think about it, the reverse can also apply. The emotional satisfaction from a “good” sale can be fantastic and the gems of wisdom from traders can be very influential in how we direct our business.

Our associations are sometimes organised - that morning coffee with fellow traders to discuss latest world issues (OK, often soccer or football scores) or perhaps a simple greeting and handshake before getting down to work. Talking with someone who has “been there, done that” can be very reassuring. And that doesn’t mean that you have to agree. Discussions that challenge us, and force us to see other points of view can be very important in reaching meaningful conclusions. You can discuss things with a market friend that you may not even discuss with family members.

Distracting conversations are one of my favourite types. When you are deep into serious business considerations, not sure which way to turn, and worried about financial issues, finding out  that your neighbours pet dog went missing for two days, or that their new 75” TV is absolutely fantastic can be just the thought breaker you need.

Yes, friendships and personal engagement are very important to market life and just another reason why it is great to work at QVM. My Bank Manager on the other hand keeps on insisting there needs to be more.

By Greg Smith

Have Your Say - click here.

Traders Get Digital Access To Their Business Information

The online Traders Portal will go live in a staggered roll-out from this week. At last Traders will be able to use modern technology for a number of important yet procedural tasks.

Want to know how much leave you have? – Go online to the portal.

Want to know how your rent account looks? – Go online to the portal.

Want to ask a question or make an application? – Go online to the portal.

Here is the full blurb from the latest Trader Bulletin –

TRADER CONNECT ONLINE LAUNCHING TO SUPPORT TRADERS

As you may be aware, QVM management have been working with a number of traders to develop a dedicated online trader portal to support traders’ business management and access to important Market information. Following a successful trial involving twenty traders, Trader Connect Online will now be launched to the trader community. From Tuesday 28 May, traders will receive access to Trader Connect Online in a staggered roll-out to ensure all traders receive appropriate IT support during their first week of online account access. QVM management are committed to supporting trader businesses operating in the Market, and the arrival of Trader Connect Online will bring a valuable new resource for traders to access information and manage their businesses at the Market. With the new online portal, traders will have access to: View account balances and print invoices or statements; Request maintenance, operational or administrative support; Report an incident to QVM; Schedule and manage trader leave (SL/PE Licence holders only); Manage and update your contact information; Catch up on the latest Market news; QVM marketing promotions and opportunities; and Find out what’s on at the Market and around Melbourne. More information will be shared with traders in the coming weeks. Read the full email here or contact Peter Tingate, QVM Trader Connect Online Administrator on 0499 500 052 or email Trader.Connect@qvm.com.au.

Have Your Say – click here.

Heard Under The Sheds – 26/5/2019

A Trader hopes that the appointment of a new Operations Manager (Cleaning) will see a push on improved toilet facilities.

What 3 things do traders in the Upper market want? – according to one trader it is more relevant trading hours, more advertising, and fewer stall gaps (i.e. curation).

Is Joe Favata a doppelganger of Ed Kavalee? Comedian Ed Kavalee will be well known to watchers of the TV show “Have You Been Paying Attention”. Joe is a market trader well known for his commentary on market issues. Ed is a little taller but we think Joe is funnier.

A Trader asks why traders in L Shed are not invited to place display opposite their stalls while container installation is going on. The empty south side of L Shed is a bit of an eyesore.

One of our new traders is seeking some racking as he takes the next step in formalising his business at QVM. If you have some spare racking for sale, please email us at generalmerchandisetraders@iinet.net.au and we will pass on the details.

One of our traders had a first when the young lady ahead of him in the cash register queue at his local service station paid for his $15 worth of petrol. We have two questions – What fragrance does he wear and who buys just $15 worth of petrol these days? All jokes aside, it is nice to hear of a real example of paying it forward. This trader was impressed.

A trader asks who, or what, is going to kickstart buying after the election “because the current trend is going to send many of us broke.”

Wednesday night’s compulsory induction meeting for all Winter Night Market Traders included the warning that some traders were being swapped from their normal positions to keep the Night Market fresh and dynamic.

Also from the Night Market induction meeting – some new stall positioning has been necessitated by the installation of containers in SBA. It will be interesting to see how that changes customer flow and how it impacts on business.

A Trader noted that some of the “Welcome” light boxes in K/L Sheds were not lit this week. Maintenance has been alerted.

We have heard that an injunction brought by a Trader over a stall move was thrown out by the VCAT judge this week with no case to answer.

A customer from China was surprised to see ATMs around our market. He claims they are now very rare in China with almost all transactions conducted by card. Presumably he was from Hong Kong.

A trader noted a fancy new “Market Stalls” section in the Visitor Centre in SBA which highlighted some of the special produce available from our food halls. He thought it looked very professional.

Have Your Say - click here.

NOTE: A Trader has complained that our Have Your Say facility is not as easy to use as it used to be.  Google have changed their processes and made commenting a little more complicated but we have now included an option to email us directly if that is preferred. - Ed

COMMENT:
28/5/2019 12:24 - "I did not complain I just made the comment that it was simpler to use previously."
Noted - and it would seem the email option works fine. Thanks for your contribution. - Ed.

Latest Retail News – 26/5/2019

Latest Retail News – 26/5/2019
1. Coalition victory and tax cuts should stimulate spending.
2. Focus On Furniture’s 38 stores into liquidation, blaming rents.
3. The Iconic posts 38% increase in revenue.
4. Reject Shop CEO leaves as anticipated profit downgraded to loss.
5. ACCC tackles Kogan on discounts.
6. 2nds World falls into administration.
7. New 2500sqm dining precinct opens cnr Elizabeth/Latrobe St.
8. Popular fashion retailer, Urban Outfitters, to introduce rental business.
9. Avon cosmetics may sell out to Body Shop parent.
10. Target US reports first quarter sales up 4.8%.

Has Target Found The Answer?

Target US has posted a first quarter sales rise of 4.8% with a significant contribution from a 42% rise in digital sales.

That beats the other positive perfomer in the US, Walmart, and certainly puts many other key retailers to shame. According to Fortune Magazine, store remodelling, ecommerce and order pick-up, and own brand merchandise are important aspects of their success.

You can find more detail from the article here - http://fortune.com/2019/05/22/target-results-3/

QVM In The News - 26/5/2019

Market shame: Fremantle operators pocket nearly $11m The West Australian The private operator of the Fremantle Markets has pocketed nearly $11 ... Central Market and five times that of Queen Victoria Markets in Melbourne.

How Queen Victoria left her mark on every corner of the planet Telegraph.co.uk Queen Victoria Market (qvm.com.au) is a contemporary of its namesake, having opened in the autumn glow of March 20 1878 - and remains a ...

Melbourne Express, Thursday, May 23, 2019 The Age Depending on your style, there's usually both trash and treasure to be found at Queen Vic Market. But Melbourne City Council has found some very ...

Ugly blocks set to go by year's end CDB News State Library of Victoria;. Queen Victoria Market; and. Southern Cross Station. The temporary bollards have been criticised as aesthetic blots by ...

QVM bans plastic CDB News Queen Victoria Market (QVM) is telling shoppers to bring their own bags after moving to ban plastic bags and straws. As of May 14, traders were ...

Artefacts from early Melbourne found in excavation of site near Queen Victoria Market The Advertiser ... early Melbourne found in excavation of site near Queen Victoria Market ... been unearthed during an archaeological dig near Queen Victoria Market.