Delivery Merger

 

Evri will merge with DHL's UK parcel delivery business to create a combined courier firm handling more than a billion parcels and a billion letters a year.  DHL focuses on faster, secure higher-value deliveries of items such as computers or phones, whereas Evri handles much larger volumes of lower-value goods such as clothing. Evri's deliveries are handled by self-employed couriers using their own vehicles, while DHL's parcels are delivered by a combination of couriers and the company's own fleet of vehicles. The companies hope that combining the two operations will offer "greater choice" and "cost-competitive solutions" in the UK. Evri said the deal will also expand its international delivery capacity by giving it access to DHL's global network. DHL's e-commerce business will be renamed "Evri Premium – a network of DHL eCommerce". DHL delivers a billion letters a year in the UK, mainly for businesses sending out bulk mail to clients – and the merger will see Evri offer a letter service for the first time. It hopes to use this service to handle deliveries of smaller items as well as letters. The group said its combined operation will have access to a network of 15,000 out-of-home delivery points in shops and lockers. With about a billion parcels a year, the merged business would get closer to Royal Mail's parcel volumes. It delivered 1.3 billion parcels and 6.7 billion letters last year, according to its annual report. DHL's other services in the UK, such as the DHL Express international delivery service are not included in the deal. The merger is still subject to approval from the Competition and Markets Authority.

BBQ - What are the benefits and drawbacks of the merger? Why might it not get approval from the CMA?

Delivery Merger

Burberry Cut Jobs

 

Luxury fashion firm Burberry has said it could cut some 1,700 jobs as part of plans to reduce costs by 2027. The British designer brand - famed for its distinctive camel, red and black check pattern - announced the proposed savings on Wednesday as it reported a £66m loss in the last financial year. The proposed job cuts would reduce its global workforce by almost a fifth and include potential redundancies at its Castleford factory in West Yorkshire. Burberry chief executive Joshua Schulman said most job losses would come from its head office teams around the world, but said the cuts would "naturally" be focused in the UK, where most of its staff are based. He confirmed staff rotas would be reorganised and that night shifts at its factory in Castleford, which makes trench coats priced from £1,000 to £10,000 each, would be scrapped. "For a long time we have had overcapacity at that facility, and that is simply not sustainable," Mr Schulman said. Burberry said it would align "schedules with peak store traffic" in its shops, which would result in the reduction of some jobs. It added savings would also come from "operating expenses, with increased efficiency of spend in procurement and real estate". The company said the cuts were "subject to consultation where applicable". Burberry was founded in 1856 and has been making its famous raincoats in Yorkshire since 1972. The designer brand previously announced £40m cost-savings programme in November, meaning it now plans to create the combined annualised savings of £100m by Spring 2027. Burberry's sales have been struggling amid weaker demand for luxury goods in general, with trading in China and the Americas seeing some of the biggest falls last year.

BBQ - What impact will these cuts have on staff motivation? Would there have been a better way to deal with the under capacity seen at Burberry?

Burberry

Shades Sweet Release

YouTuber Niko Omilana has launched a confectionery brand positioned to appeal to “the next generation of sweet lovers”. Called Shades, the brand will debut with three vegan and halal-certified variants (rsp: £1.70/150g): Straight Up Strawberry, Tropical Blast and The Originals. All packs feature gummies in the shape of sunglasses, in a nod to Omilana’s 2021 high-profile campaign to run for London mayor, during which he wore a pair of children’s sunglasses. The sweets will hit supermarkets and convenience stores nationwide on 21 May, rolling into Sainsbury’s, Co-op, WH Smith Travel and Booker. Omilana teased the launch in a three-minute video posted across his and Shades’ social media channels on Friday, in which he vowed to take down a bear called ‘Harry Bowe’, who didn’t make sweets suitable for him. By the time of writing, the video had been watched 969k times on YouTube alone. Shades is the latest project from Tuckshop London, an investment fund which supports creator-fronted fmcg brands. Tuckshop London was founded by Candy Kittens co-founders Jamie Laing and Ed Williams, along with Katjes managing shareholder Bastian Fassin, in 2021.

BBQ - Is there a gap in the market for this product? Can social media backed brands become long term successes or are they only ever short term?

Shades

Race for Humanoid Robot

The race is on to build a humanoid robot. At a recent industrial trade fair the G1 humanoid robot built by Chinese firm, Unitree was standing at about 4'3" (130cm) greeting passers by. The G1 is smaller and more affordable than other humanoid robots on the market, and has such a highly fluid range of motion and dexterity that videos of it performing dance numbers and martial arts have gone viral. Unitree is just one of dozens of companies around the world developing robots that have a human form. The potential is huge - for business it promises a workforce that doesn't need holidays or pay rises. It could also be the ultimate domestic appliance. After all, who wouldn't want a machine that could do the laundry and stack the dishwasher. But the technology is still some way off. While robotic arms and mobile robots have been common in factories and warehouses for decades, conditions in those workplaces can be controlled and workers can be kept safe. Introducing a humanoid robot to a less predictable environment, like a restaurant or a home, is a much more difficult problem. To be useful humanoid robots would have to be strong, but that also makes them potentially dangerous - simply falling over at the wrong time could be hazardous. So much work needs to be done on the artificial intelligence that would control such a machine."The AI simply has not yet reached a breakthrough moment". Unitree underlines that advantage - its G1 is cheap (for a robot) with an advertised price of $16,000 (£12,500).

BBQ - What year do you think we will see a humanoid robot as part of the workforce?

Humanoid Robot

, externa

Fish & Chip Sauce?

Heinz has unveiled its latest condiment, which the company is calling a revamp of the traditional tartare sauce. The food manufacturer is encouraging consumers to view the new sauce, named Fish & Chips Sauce, as "Tartare 2.0". The packaging lists the contents as "Tartare Sauce" and details ingredients such as gherkins, dill, salt, parsley, and mustard. Tartare sauce is typically composed of mayonnaise, chopped gherkins, capers, and herbs like tarragon and dill and is a classic addition to seafood dishes like fish and chips. Heinz described its new product as a “fresh and herby condiment” which was “poised to become Britain’s new go-to pairing for fish dinners – and, of course, the nation’s beloved dish, fish & chips”. It went on: “If tartare is the OG fish condiment, then think of Heinz Fish & Chips sauce as Tartare 2.0 – 2025’s hot new upgrade… Love tartare? You’ll be obsessed. Never tried it? Consider this your tasty gateway to next-level fish & chips.” Heinz Fish & Chips Sauce has a recommended retail price of £3.39 and is available from Tesco. Heinz said its own research suggested that Britons were eating more fish – up almost 5% year on year – with 37% of these occasions being fish and chip meals. It found 81% of Britons used various sauces with the dish, with 66% using ketchup, 50% mayonnaise and 45% Tartare sauce. Some 90% of 18 to 34-year-olds expressed an interest in a “brand new” sauce for fish, the brand said. Thiago Rapp, director of ‘taste elevation’ at Heinz, said: “At Heinz, we’re always exploring bold and exciting flavours, inspired by the latest food trends and what people across the nation are really craving.

BBQ - Do you think this will become a star product for Heinz?

Fish & Chip Sauce

Abu Dhabi Disney

 

Walt Disney has announced plans to open its first theme park in the Middle East. The resort, which will be in the United Arab Emirates (UAE) on Abu Dhabi's Yas Island, is a collaboration between Walt Disney and local leisure and entertainment company Miral. Disney already has six theme parks spanning North America, Europe and Asia. Its most recent opening was in 2016 in Shanghai. Miral is responsible for the development of Yas Island as a tourist destination and already operates SeaWorld and Warner Bros World where it is developing a Harry Potter-themed park. In a statement announcing the new facility, Disney said the UAE was located within a four-hour flight of one-third of the world's population, making it a "significant gateway for tourism". It added that 120 million passengers travel through Abu Dhabi and Dubai every year, making the Emirates the biggest global airline hub in the world. The 10-sq-mile (25-sq-km) Yas Island is 20 minutes from downtown Abu Dhabi and 50 minutes from Dubai. The company's first theme park, Disneyland, opened in Anaheim, California in 1955. It was followed in 1971 by Walt Disney World in Orlando, Florida. International expansion began in 1983 with a park in Tokyo; Disneyland Paris opened in 1992, then came Hong Kong in 2005 and, most recently, Shanghai in 2016.

BBQ - What are the advantages of this type of growth?

Disney

iPhones No Longer Made in China

 

Apple says it is shifting production of most iPhones and other devices to be sold in the US away from China, which has been the focus of President Donald Trump's tariffs. The majority of the iPhones bound for the US market in the coming months will be made in India, while Vietnam will be a major production hub for items like iPads and Apple Watches, chief executive Tim Cook says. It comes as the technology giant estimated that US import taxes could add about $900m (£677.5m) to its costs in the current quarter, despite Trump's decision to spare key electronics from the new tariffs. The Trump administration has repeatedly said it wants Apple to move production to America. However moving production lines to India will take time and significant investment, costing billions of dollars. Apple shares had plummeted after Trump announced his administration would levy "reciprocal tariffs" on products imported to the United States, with the aim of persuading companies to manufacture more in the US.For now, trade turmoil has left Apple's sales unscathed. The company said revenues for the first three months of the year rose 5% from the same period last year, to $95.4bn.

BBQ - Why are Apple not making the phone in the USA?

iPhone India

Starbucks to Hire More Staff

 

Starbucks will hire more baristas and scale back plans to roll out automation, the coffee shop giant's chief executive Brian Niccol says. The move, which is part of his strategy to win back customers, comes as other food and drink chains increasingly adopt technology to cut costs. Also on Tuesday, the firm announced worse-than-expected financial results as its sales continue to fall. Mr Niccol was brought into Starbucks last year tasked with turning the business around as it struggles with rising prices and consumers cut back spending. "Over the last couple of years, we've actually been removing labour from the stores. I think with the hope that equipment could offset the removal of the labour," Mr Niccol said during a call with investors. "What we're finding is... that wasn't an accurate assumption with what played out." Increasing staff numbers was tested in a handful of stores around the time Mr Niccol joined the firm in September 2024. He has been expanding the approach to include around 3,000 stores this year. Mr Niccol highlighted that taking on more staff would mean higher costs but said he was "banking on some growth to come with the investment". Alongside recruiting more baristas, Starbucks is also revamping its coffee shops, menus and the company's dress code. Starbucks said in April that its baristas would wear dark, single coloured shirts to "allow our iconic green apron to shine and create a sense of familiarity for our customers".

BBQ - Can Brian Niccol turn around Starbucks? Will more staff be the best decision?

Starbucks

, externalStarbucks said in April that its baristas would wear dark, single coloured shirts to "allow our iconic green apron to shine and create a sense of familiarity for our customers".

Xbox Price Hike

 

Microsoft has significantly raised prices for its Xbox console, citing increasing development costs and what it called "market conditions". The increases vary from country to country, with Xbox Series S consoles going up by £50 to £299.99 in the UK. The US has seen even steeper price rises, with the Series X increasing in price by between $100 (£75) and $130, depending on the model. It comes as US tariffs - which experts predict will increase prices for consumers - stir global economic uncertainty. However, Microsoft has not explicitly said tariffs were behind the increase. Xbox prices are also rising in other countries around the world, with the Series S increasing by €80 in Europe and $50 in Australia. It represents a big change in an industry which would typically see prices go down in the years after a console's launch. Kedhrin Gonzalez, founder of Rip & Tear studios, told the BBC he felt the price rise was "inevitable" and "catalysed by current tariff disruptions". "Gamers will suffer most, with little hope of prices decreasing," he said. "This could significantly impact Microsoft's already modest Xbox sales and potentially trigger broader industry repercussions. "This probably won't be the last price hike we see." Sony originally listed the PlayStation 5 digital edition at £360 in the UK when it launched in 2020, but over the years its price has increased to its current £429.99 RRP. Meanwhile, the cost of future Xbox games is also in question, with the firm revealing it anticipated "some of our new, first-party games" would cost $79.99 in 2025. This is the same retail price Nintendo announced for its upcoming Mario Kart World - a cost which caused concern amongst gamers who called it "inaccessible". But unlike Mario Kart, which will cost less if bought digitally rather than in a physical box, Microsoft said its new price would be the same across the board. It also clarified it did not plan to increase the price of existing games, only certain new titles developed by the firm itself.

BBQ - What will the impact be on the price rise for Xbox?

Xbox Price Hike