Through geospatial data analysis techniques, CentralAmericaData carried out an analysis of five Walmart distribution centers in Florida, United States, with the aim of identifying patterns in the supply chains of these five centers and their relationships with commercial establishments and other logistics complexes in the State.
Through this analysis, whose objective is to show how geospatial data science techniques can be applied to solve problems in the logistics sector, the existing relationships between Walmart distribution centers and their supply sites were identified and characterized, so that different large commercial chains can evaluate and at the same time improve processes in their respective supply chains.
By analyzing the large volumes of anonymous data generated by mobile devices, it is possible to establish whether a distribution center has a commercial relationship with other logistics complexes, and even with establishments that serve the end consumer.
Using the most advanced Big Data tools, it is possible to understand the behavior of the supply chains of companies in the retail sector, since by monitoring delivery parts and counting mutual visits between suppliers and vendors, it is possible to identify and establish which are the most important relationships between distribution centers and points of sale to the end consumer, such as stores.
In the region, it is estimated that more than 4 million people show interest in the digital environment for supermarkets, being Walmart, Pricesmart, Paiz, La Torre, La Colonia and Super Selectos, some of the chains that have better positioned in the minds of consumers.
An analysis of the interests and preferences of consumers in Central America, prepared by the Trade Intelligence Unit of CentralAmericaData, gives interesting results on the preferences and tastes of people in various products, services, store chains, brands and activities.
Indians preferences in consumption are starting to change as the purchasing power of the middle class grows.
From a press release issued by the Costa Rican Foreign Trade Promotion Office (Procomer):
The retail market in India presents opportunities for the food trade, due to the increase in disposable income of an emerging middle class population of over one billion people, growing urbanization and higher aspirations, especially among the younger generation, who have become a conduit for the market.
At two months time the chain will open two new stores, adding about 12 thousand square meters of retail space.
According to an article in Elmundo.com.sv, Claudia Ibanez, manager of corporate affairs for Walmart, said: "The shops will be located in Colonia Escalon and Mejicanos, having an investment of $25 million each."
"... The branch in Colonia Escalon will open this Friday September 20th and is located on Alameda Manuel Enrique Araujo, where there used to be another hypermarket. "
There is an urgent need to improve livestock production methods in order for Central American to face the impending competition from North American livestock farming.
The possible entry of U.S. beef into Central America is worrying Nicaraguan meat exporters who continue to produce in the same way as they did 200 years ago.
"It is important to introduce livestock, we are producing in almost the same way as we did 200 years ago, this is happening because of the loss of competitiveness of Central America in meat exports," said Juan Sebastian Chamorro, president of the Nicaraguan Chamber of Beef Exporters (Canicarne).
Considering the advantages offered by the Trade Promotion Agreement, U.S. retail chains are evaluating the possibility of setting up operations in the canal country.
Among the factors attracting the attention of these companies are the presence a large number of American and Canadian retirees in the country, economic growth and the benefits of the Trade Promotion Agreement (TPA) in force with the United States (U.S. ).
The Mexican and Central America division of the retail giant plans to invest almost $1.5 billion in the six countries of their jurisdiction, adding over 400 stores to the chain.
Mexican and Central America Walmart has with ambitious plans for 2012. With an investment of $1.4 billion, it aims to open 410 to 436 new stores in its geographical area of coverage (6 countries), generating 25,000 direct jobs and 52,000 indirect ones via building construction. The giant aims to increase its sales by 12% in Mexico and 9% in the 5 Central American countries.
The store chain began implementing the strategy "Every Day Low Cost", seeking deep discounts, especially from suppliers of high rotation products..
Everyday Low Prices (EDLP, for the acronym), involves offering consumers the lowest market prices for all products, the basic concept of the chain's positioning as a world leader in retail.
The article by Ana Cristina Camacho Sandoval in financierocr.com, reported that a Wal-Mart supplier, requesting anonymity, said the store "asked him to calculate how much he invested in marketing, promoting his product, shelf headers and promotions, and to have the amount discounted from the price offered to the chain.”
Manufacturers should prepare for the not so distant day in which mandatory labeling for carbon footprint will arrive.
Approval in France of the so called Gernelle Act 2 in July of this year, states for the first time obligations regarding environmental labeling.
It is adequate to note that the driving force for such measures came not from governments but from supermarket chains, including Wal-Mart, which leads the market in Central America.
Wal-Mart will start shipping Guatemalan meat to supply its Salvadoran stores.
The company aims to supply 50% of its stores in El Salvador. Starting on July 26, it will ship three weekly containers carrying 10.000 pounds of meat each.
As of today, the meat processing plant known as ICI (Spanish initials for “Industrias Cárnicas Integradas”), handles three million pounds of meat each month, including beef, pork, chicken and shrimp.
The company expects the region to add 33 million consumers between 2000 and 2025.
Scot Rank, CEO of Wal-Mart Mexico, explained they have detected 300 cities in Mexico and Central America where they don’t have stores but plan to expand to.
Rank also valued Central America’s retail market at $44 billion, and Mexico’s at $197 billion.
He added that in 2010 they plan to increase their retail surface in 3.5% in Central America and 11% in Mexico.
With a $3.12 million investment, the multinational supermarket chain inaugurated the first of seven new stores planned for the second half of 2010.
Located at Mix Shopping Mall, in the City of San Cristóbal, the new facility has already created 91 jobs.
Marcio Cuevas, Wal-Mart corporate affairs manager, told Elperiodico.com.gt: “we’ll open seven new stores of our various brands (Supertiendas Paiz, Despensa Familiar, Maxi Bodega y ClubCo), in the second half of 2010”.
In 2010 the supermarket chain plans to open 30 business units in Central America.
Eduardo Solórzano, Wal-Mart’s new president and CEO for Latin America, explained that the investment plan comprises 26 discount stores, two warehouses and two supermarkets.
From Laprensa.com.ni: “Solórzano remarked that in addition to opening new stores, Wal-Mart will continue buying textile products from Nicaragua and Guatemala, and agricultural ones from Costa Rica, for example, to sell them in its stores in the United States and other countries”.
For this transaction, Walmex will pay $110 million in cash and issue stock for $593 million.
Wal-Mart Central America is owned by Wal-Mart Stores Inc. (51%) and minority shareholders (49%). It operates 519 stores, 11 distribution centers, and agri-industrial operations in 5 countries (Guatemala, El Salvador, Honduras, Nicaragua and Costa Rica).