Product Management

Carefully Selected High-Quality Products

FEDS complies with legal regulations to inspect, label, and manage products, establishing regular inventory procedures to ensure rigorous product management, high quality, and enhance consumer trust and satisfaction. FEDS is the only department store company in Taiwan operating its own specialty international food counter, “World Gourmet.” In 2016, it introduced Fair Trade coffee, and since 2020, has continuously introduced Rainforest Alliance certified coffee, embodying “responsible retail and green consumption” and working with consumers to use purchasing power to change the world.

Product Management: Protecting Consumer Rights

FEDS introduces high-quality self-operated products and counters through the Merchandise Department, emphasizing product quality. FEDS requires counter suppliers to comply with government regulations to protect consumer rights. For products that impact consumer health—such as dining, food, and cosmetics—FEDS requires suppliers to comply with government regulations and establishes internal procedures for effective management and conducts irregular spot checks.

For product labeling management, FEDS controls from the source, starting with requiring manufacturers to properly manage traceability for cosmetics, such as clearly marking batch numbers, production dates, and expiration dates, reduceing consumer disputes and achieves a win-win-win outcome. If deficiencies are found during random inspections, responsible units immediately address issues and strengthen on-floor guidance, with floor supervisors conducting daily spot checks with counter vendors to meet improvement goals.

Proper Response to Consumer Disputes

FEDS has established a rigorous handling procedure for consumer dispute letters from government consumer protection agencies, which includes:
Thoroughly Clarifying the Truth: Conduct an in-depth investigation to ensure complete and objective understanding of the facts
Comprehensively Draft Solutions: Develop appropriate and specific solutions for different dispute situations
Announce Collated Information: Summarize processing progress and results, and communicate them to consumers through public channels
Proactive Follow-Up: Continue communication with consumers to ensure issues are properly resolved.

Through this process, FEDS handles each consumer dispute responsibly to safeguard consumer rights.

Clarification

Immediately clarify the truth through various channels

Research and Discussion

Develop subsequent handling plans

Announcement

Announce and explain collated information

Process

Assist in providing consumers with subsequent handling procedures

Immediate Handling of Disputes and Problematic Products

Notification from the competent authority received

Due to an oversight, the listed products violated regulations

Step 1.
Immediate removal
Step 2.
Announcement and temporary suspension of sales
Step 3.
Request for suppliers to provide legal documentation
and relevant explanations
Step 4.
Continuously strengthen staff understanding of
regulations to prevent recurrence

Government announcement of problematic products

Step 1.
Verify the product list with the competent authority
Step 2.
Operations Department has formulated a
subsequent returns mechanism
Step 3.
Notice of return for defective products
Step 4.
Notify relevant government agencies

Self-Operated International Food Stores Providing High-Quality Specialty Products

To further develop representative top-tier products globally, FEDS established self-operated food counters and set up “World Gourmet” specialty sections in branches. The product strategy focuses on introducing premium brands with traditional and iconic status from Europe and America. The strict quality control and regulatory standards of these countries provide thorough frontline assurance for the food hygiene and safety.

Imported products sold at World Gourmet are all inspected and approved under the Act Governing Food Safety and Sanitation before sale. FEDS insists on importing products in original packaging without secondary processing to ensure consistent quality from production to sale, reducing deterioration risk. This allows Taiwanese consumers to experience authentic international foods. In 2024, World Gourmet offered 310 product, including 55 new items, representing a new product introduction rate of 18%.

The Proportion of New Products Introduced

Unit: %

Proportion of Domestic Procurement

Unit: %

Local Procurement Supports Quality Local Products

FEDS supports local suppliers and promotes supply chain localization. Local procurement simplifies import procedures and reduces food carbon footprint. This stimulates local economic development. Local suppliers have a better understanding of Taiwanese consumer demands, facilitating high-quality product selection.

FEDS’ World Gourmet has increased domestic supplier procurement annually, reaching 45% in 2024. This means for every NT$2.20 spent on procurement, NT$1 goes to local Taiwanese suppliers, demonstrating commitment to supporting local development and strengthening supply chain resilience. In 2025, FEDS will continue to leverage its expertise in product selection to support local products, improve supply efficiency, and promote local economic development.

Food Safety Management

In recent years, food and beverage has become the fastest-growing sector in department stores. FEDS has introduced specialty cuisines concepts to its branches in response to leverage dining’s customer-attracting effect to boost sales of other products. With increasing attention to food safety issues, FEDS ensures food safety for consumers, providing safe and high-quality dining services. In 2024, FEDS expanded dining area by 72% compared to the previous year , with annual performance improvements earning consumer confidence, and successfully establishing the “FEDS Good Food Moments” brand image.

FEDS prioritizes food safety by implementing a three-tiered approach: establishing clear regulations, enforcing self-management, and conducting regular inspections. This frontline effort safeguards consumers, builds a reliable dining network, and strengthens consumer trust.

𝟭　Establishing Regulations to Ensure Compliance by Specialty Counters

To ensure the quality and safety of its food and beverage services, FEDS requires all dining vendors to sign contracts committing to management standards for dining environment, ingredient control, and kitchen safety and hygiene. In accordance with food safety and hygiene procedures, FEDS establishes management mechanisms at every operational stage, requiring vendors to comply and proactively manage these standards. FEDS conducts regular inspections of all operations to create a healthy dining environment for customers.

𝟮　Self-Management and Joint Maintenance of Food Safety

To ensure food safety, FEDS requires all counter vendors to comply with government regulations. Floor supervisors and audit units conduct preventive inspections and spot checks of food and kitchen safety and hygiene operations. If any questionable ingredients, oils, or operational deficiencies are found, they will be immediately prohibited from use and corrective actions will be implemented.

𝟯　Regular Audits for Continuous Improvement

FEDS manages its food and beverage operations according to “Good Hygiene Practice for Food,” “Drinking Water Quality Standards,” and the “Regulations on the Maintenance and Management of Drinking Water Equipment,” and other relevant regulations. Each department follows company’s food safety procedures with regular monthly inspections to ensure high-quality and safe food. The supermarket’s food and beverage division reviews food counters’ product inspection certificates and product safety commitment letters. For imported products, FEDS complies with import inspection regulations, ensures Chinese labeling, and implements food safety monitoring plans. Products are regulatory tested to strengthen self-management and ensure food safety.