RETAIL
THE WEEK IN
HEALTH
STOPTOBER
RETAILERS CAN DO THEIR BIT!
RESEARCH
FOOD WASTE
TIME TO THROW IT OUT?
NEW RETAILER FORUM VIRTUAL WORK EXPERIENCE FAKE TOBACCO SEIZED
CONVENIENCE
LOCAL SHOP REPORT
THE LOWDOWN
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Issue 22 Wednesday 16th September 2020
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THE WEEK IN RETAIL
EDITOR’S COMMENT SHARE YOUR NEWS AND VIEWS WITH ME AT ABEGLEY@55NORTH.COM
IT’S THE SAME OLD STORY AS FINE WORDS FAIL TO TRANSLATE INTO ACTION There’s a depressing familiarity to the news breaking today that the Government has concluded that it is “not persuaded” that shopworkers need protection after all. Despite six months of fine words and positive sentiment around the undeniably outstanding role that local retailers have played in keeping communities functioning under lockdown, those words have failed to translate into anything meaningful. Despite major scale studies revealing the sharp spike in abuse of shopworkers during the pandemic – on top of the already unacceptable scale of shopworker abuse that has long been commonplace – and despite the fact that around 60,000 have signed a petition demanding better protection of retail staff, the Government has concluded that it is “not persuaded that a specific offence is needed” because it feels the range of offences that already exist “cover assaults against any worker, including shopworkers”.
The Government accepts instead that the general lack of faith in the way such crimes are dealt with by police is the issue “that requires more urgent action”. In other words, it’s kicking the issue further down the track again – and accepting something that the retail industry has been saying for decades. We’ve known retail crimes have always been way, way down the list of priorities for the police. So much so that most retailers don’t even bother reporting crimes any longer. What’s the point? So we’re back to square one. The heroic key worker role earned by the sector during lockdown that put retail staff theoretically on a par with NHS workers counts for nothing. We’re back to complaining about the same issues we’ve complained about for as long as any of us have been in retail. And does anybody really believe that meaningful change is coming? Words are cheaper than they’ve ever been.
ANTONYBEGLEY ANTONYBEGLEY ANTONYBEGLEY
ANTONY BEGLEY, EDITOR
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 3
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CONTENTS
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 WWW.SLRMAG.CO.UK
6
12
THIS WEEK’S NEWS IN BRIEF The Government lets down shopworkers and a spaniel spells trouble for the illicit trade.
8 COVID-19 UPDATE
A ROUND-UP OF THE LATEST CORONAVIRUS
18
LOCAL SHOP REPORT
FOOD WASTE
The ACS takes its annual look at the state of the convenience industry. How does your store stack up against the competition?
A new report suggests that throwing out food not only hurts profits but also has an impact on the wellbeing of staff.
17 OUT THE BOX: C-TALK
26 MEDIA CAMPAIGNS
PAUL CHEEMA LAUNCHES A ‘BY RETAILERS,
FOR RETAILERS’ FORUM.
28 PICKS OF THE WEEK
NEWS FROM THE LAST SEVEN DAYS.
RUSTLERS REDEFINES ITSELF.
10 INDUSTRY TRAINING
22 STOPTOBER
31 BEFORE YOU GO...
IGD GIVES A GROUP OF SCHOOL LEAVERS A VIRTUAL TASTE OF WORKING LIFE.
TWITTER.COM/SLRMAG
THE ANNUAL EVENT IS A CHANCE FOR RETAILERS TO HELP SMOKERS QUIT.
WWW.FACEBOOK.COM/SLRMAG
HOOTS MON! A NEW AD FORCES US INTO SHARING A VINTAGE GEM.
WWW.SLRMAG.CO.UK
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 5
NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
WIW SCORE WITH GUEST SPEAKER Jack Sullivan, MD of West Ham United Woman and
LEGISLATION
GOVERNMENT ‘NOT PERSUADED’ THAT SHOPWORKERS NEED PROTECTION
subject of a BBC documentary,
THE GOVERNMENT’S RESPONSE TO A PETITION CALLING FOR
Britain’s Youngest Football
A NEW LAW TO PROTECT RETAIL WORKERS FROM ABUSE IS
Boss, has been announced
DISAPPOINTING TO SAY THE LEAST.
as guest speaker at the Women in Wholesale Webinar Conference. The free event takes place on 5 November in place of September’s cancelled conference.
LOCAL HERO Midcounties Co-op has announced a record breaking £10m in sales of locallymade products in the wake of its decision to get behind local suppliers during the coronavirus outbreak. The Co-
The UK Government has responded to a petition launched by Usdaw leader Paddy Lillis that called for new legislation to ‘protect retail workers from abuse, threats and violence’. Despite the level of support for the petition, which attracted 50,000 signatures in a week after opening, the Government “is not persuaded that a specific offence is needed as a wide range of offences already exist which cover assaults against any worker, including shop workers.” In its response the Government cited a 2019 call for evidence –
‘Violence and abuse towards shop staff ’ – which it said showed a general lack of faith in the way in which such crimes are dealt with by the police and employers. The Government said that “it is this issue that requires more urgent action rather than a change in the law”. The Petitions Committee will examine the petition and its response. It can press the government for action and gather evidence. If the petition reaches 100,000 signatures, the Committee will consider it for parliamentary debate.
op, which operates 170 stores, extended its local network to more than 200 suppliers during the pandemic
SWAN STOCK COMP Republic Technologies UK is celebrating the relaunch of its trade Twitter account by giving anyone who follows the tobacco accessories specialist in September the chance to win £50 worth of Swan NPD. Click ‘Follow’ on the @RTUKtrade page to enter.
LAST ORDERS AS NEW STORE REPLACES RUN-DOWN PUB Stamford in Lincolnshire is set to welcome a brandnew convenience store in place of a derelict pub that has been standing empty and in disrepair for more than five years. The site of the former North Fields public house is to be transformed into a modern 3,000sq ft Nisa Local store which is due to open and start trading at the end of October, creating up to 15 local jobs. It will offer fresh produce, a deli counter, hot and cold foodto-go, as well as a comprehensive grocery range. Owner Siva Thievanayagam said: “We’ve worked really hard on the plans for this store. I really want people to walk in and get a good first impression as soon as they enter with a real wow factor.”
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NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
ILLICIT TOBACCO
DIXIE THE DOG SMOKES OUT ILLICIT TOBACCO TRADER
HENDERSON HITS 600 MARK Henderson Technology has marked 10 years of its
SMOKERS IN AN AYRSHIRE VILLAGE CAN BREATHE MORE EASILY
EDGEPoS till system by
AFTER A KEEN-NOSED SPANIEL UNCOVERED A BUMPER HAUL OF
completing its 600th installation
COUNTERFEIT CIGARETTES.
of the technology, at the Maxol Glenabbey site in Northern
Trading Standards officers in East Ayrshire seized almost 16,000 counterfeit cigarettes and 3kg of fake hand rolling tobacco from a shop in the village of Cumnock after members of the public tipped them off. The haul was unearthed by sniffer dog Dixie, who accompanied officers on their search of the premises. Councillor Jim McMahon, Cabinet Member for Community Safety, East Ayrshire Council, said: “Dixie the dog was the star on this occasion, being a spaniel, her nose is so well tuned to finding these products. She’s helped us before and ultimately she is a life saver. We’re all very pleased to be able to work with
her and her handler as part of our operations.” McMahon said Trading Standards protected “hard working” traders: “In this instance, we’ve helped make sure those who play by the rules aren’t losing out to unscrupulous people who would undercut their business.”
Ireland. The installation was part of a contract to supply 17 forecourts owned by Irish oil company Maxol.
SAINSBURY’S SERVES UP ZIZZI Italian restaurant Zizzi has teamed up with Sainsbury’s to launch its first ever grocery range. The supermarket started selling three frozen pizzas based on Zizzi’s popular hand-stretched Rustica Pizza this week. Piccante Pepperoni, Margherita Classic and Vegan Jackfruit Pepperoni are all made from premium restaurant
OCADO AND M&S OVERCOME TEETHING PROBLEMS After a bumpy start, Ocado’s move to delivering M&S food has been a success, according to the online grocer. The new partnership kicked-off on 1 September and the buzz around the launch gave Ocado its biggest-ever forward order day. Unfortunately, the resulting increase in demand meant some customers had their orders
cancelled, prompting several to take to social media to vent their frustration. Ocado was also forced to stop orders from its staff as it tried to work through the backlog. It appears, however, that the initial wrinkles have been ironed out with demand increasing and average basket size on the rise.
quality ingredients.
MFG NAMES NEW COMMERCIAL DIRECTOR Forecourt operator Motor Fuel Group has announced the appointment of David Pitron as its new Commercial Director. He joins from BP, where he worked for the past 16 years in a variety of roles.
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 7
NEWS SPECIAL
COVID-19 UPDATE FOR ALL THE LATEST CORONAVIRUS NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
Morrisons has reported a
LOCKDOWN PROMPTS DASH FROM CASH
25.3% drop in pre-tax profits to
A NEW SURVEY SUGGESTS THAT HALF OF THE UK’S POPULATION
£148m for the six months to 2
HAVEN’T PAID FOR ANYTHING WITH CASH SINCE THE START OF
August 2020. This was despite
LOCKDOWN.
MORRISONS PROFIT PLUNGE
like-for-like sales excluding fuel rising by 8.7% over the same period. The fall was blamed on £155m worth of coronavirusrelated costs. Morrisons also benefitted from £93m in business rates relief.
EOHO EATS INTO GROCERY SALES UK grocery sales grew by 8.0% year-on-year in August, according to the latest Kantar data. The figure is the lowest since April and a result of the success of the government’s Eat Out To Help Out scheme and the slow return to normal routines.
New research from shopping app Ubamarket has revealed that 50% of shoppers, pub-goers and restaurant customers have not used cash since the lockdown began. Furthermore, four in 10 Brits report that they will no longer use cash in shops or hospitality venues due to hygiene concerns and the convenience of contactless payments. Around the same number (43%) want their shopping experience moving forward to require as little human interaction as possible. The survey also found that onethird (34%) of Brits say that selfcheckouts cause significant anxiety due to hygiene concerns and proximity to other shoppers, while 62% of Brits
want to be able to complete their supermarket shop and exit the store in under 20 minutes Will Broome, CEO of Ubamarket, said: “Whilst the Coronavirus raised huge hygiene and safety concerns which destroyed consumer confidence, it also highlighted a number of preexisting problems with the shopping experience in Britain, and now a huge proportion of Brits feel that their shopping experience is outdated.”
COVID BOOST FOR HALFORDS
£3.5BN COULD BE ‘TIP OF THE ICEBERG’
Halfords saw a 5% rise in
The “missing” £3.5 billion pounds that HMRC has estimated has been fraudulently claimed or paid in error under the Coronavirus Job Retention Scheme may be just the tip of the iceberg, according to tax and advisory firm Blick Rothenberg. Fiona Fernie, a disputes resolution partner at the firm, said the figure was purely an estimate made after
like-for-like sales in the 20 weeks to 21 August on the back of more people holidaying in the UK and an increase in cycling during the coronavirus outbreak. Like-for-like sales of cycling equipment grew by 59.1%, while electric bikes and scooters powered up by 230%.
8 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
HMRC asked 3,000 businesses to check the amounts they had claimed. Fernie warned that the real extent of the problem would only become apparent once HMRC’s investigation programme was fully under way. She suggested that, if people lose their jobs as the scheme ends, many disgruntled employees may turn on employers who abused it.
NEWS SPECIAL
COVID-19 UPDATE FOR ALL THE LATEST CORONAVIRUS NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
NOW WE ARE SIX
ASDA TRIALS VIRTUAL SOMMELIER
A FURTHER INCREASE IN THE NUMBER OF COVID-19 CASES MEANS
A
NO MORE THAN SIX PEOPLE ARE NOW ALLOWED TO MEET INDOORS
Asda’s concept technology store in Stevenage has launched a wine recommendation kiosk to come to the aid of customers who find themselves paralysed by the vast selection of wines they have to choose from in supermarkets these days.
ANYWHERE IN THE UK.
The situation in Scotland is more restrictive. Again, six people can meet – but only from two households and at a distance of 2m apart. Under-12s don’t count towards the total. Wales currently allows outdoor gatherings of up to 30 outdoors. Up to six people from an ‘extended household’ can meet indoors and under-11s don’t count towards the total. The 2m rule applies. There was no change to the rules in Northern Ireland, where up to 15 people can meet outdoors and six from two households indoors. As in Wales and Scotland, people should remain 2m apart.
WALES MASKS UP The Welsh Government has finally followed suit with the rest of the UK and made it mandatory to wear face coverings in shops. The new rule came into force on Monday. Retail trade union Usdaw welcomed the move, something it had long called for, and urged the public to comply and respect shop workers.
Usdaw Divisional Officer Nick Ireland said: “Face coverings are not a replacement for existing social distancing measures, such as screens at tills, distance markers, hygiene measures and limits on the number of customers in stores. We expect employers to keep these in place and support our members.”
Customers simply need to answer several questions around things that they like or don’t like and the kiosk’s artificial intelligence will identify the wines that best suit their palate.
TECH SOLUTIONS
sharp rise in the number of coronavirus cases has prompted Scotland and Wales to tighten restrictions on social gatherings. The rule changes came as a growing number of regions became subject to local lockdowns, which now cover the whole of the west of Scotland, Caerphilly County in Wales and six areas around England. Although six is broadly speaking the magic number, there are variations. In England, six people from multiple households can meet both indoors and outdoors, following the ‘1m plus’ guidance.
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 9
TRAINING
VIRTUAL WORK EXPERIENCE IGD
SCHOOL LEAVERS GET TASTE FOR FOOD AND CONSUMER GOODS INDUSTRY
FOOD AND GROCERY RESEARCH AND TRAINING CHARITY IGD GIVES SOME SCHOOL LEAVERS A TASTE OF WORKING LIFE THROUGH A VIRTUAL WORK EXPERIENCE SCHEME.
10 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
TRAINING
VIRTUAL WORK EXPERIENCE IGD
S
chool leavers were given a taste of working life in food and consumer goods last month, thanks to a virtual work experience programme that saw some of the industry’s biggest retailers and brands come together through IGD to deliver an interactive week of learning, knowledge and skills development. With young people set to be amongst the worst affected by the Covid-19 crisis from a skills and employability perspective, IGD worked collaboratively with the food and consumer goods industry to pull together a virtual work experience programme that not only set out to help school leavers who are unsure of their next steps, but also to bring to life the breadth of careers available in FMCG. Sarah McCarthy, IGD’s Employability Programmes Manager, said: “Progression plans for young people leaving school this summer have been disrupted by the pandemic, leaving them feeling uncertain about what’s next. We also know that the number of 18-24-year-olds not in education, employment or training could surge higher than the 2009 financial crisis. “As the UK’s largest private sector employer, the food and consumer goods industry recognises that it has a responsibility to help young people and support our communities in these challenging times; we also have a great story to tell them about the exciting range of skilled careers available in FMCG. “IGD already has a strong heritage in helping young people develop the skills they need in the workplace; this summer, we also wanted to respond to the immediate needs of Year 13s, most of whom
haven’t had access to the careers advice or traditional work experience programmes they usually would. We knew we had the skills, experience and network in place to deliver an impactful programme, but we needed the help of our industry to make this a reality; and needless to say, the level of support we have received has been fantastic.” Some 80 school leavers participated in the work experience programme, taking part in a whole range of interactive live workshops and hands-on projects which ran across the week. Participants were able to select individual masterclasses in areas that interested them, including marketing and sales, engineering, IT and digital. They heard from 23 industry professionals from 14 major brands and retailers, including many industry leaders; they also had the chance to take on a project with guidance from industry insiders and to get personalised feedback, develop their skills and add to their CV. Some 97% of participants fed back that the programme helped them to develop their understanding of the skills used in the world of work, and there was some great anecdotal feedback too, with many citing the interactive sessions, ability to learn soft skills and explore their strengths as really valuable. Sarah McCarthy added: “The Summer Programme was the pilot of an industry-wide, virtual work experience model and we are thrilled with the results. We will now be exploring how we can work collaboratively with our industry to deliver this programme at scale, to support young people as we head into a challenging recession and a jobs market which will come under increasingly intense pressure.”
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 11
CONVENIENCE OVERVIEW
LOCAL SHOP REPORT 2020 ASSOCIATION OF CONVENIENCE STORES
THE AVERAGE SHOP IN A FAR FROM AVERAGE YEAR THE ACS HAS PUBLISHED ITS ANNUAL LOCAL SHOP REPORT FOR 2020. SO, IN A YEAR DOMINATED BY A GLOBAL PANDEMIC, HOW DOES YOUR STORE STACK UP AGAINST THE AVERAGE?
CLICK HERE TO VIEW THE ACS SHOP REPORT 2020
12 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
CONVENIENCE OVERVIEW
LOCAL SHOP REPORT 2020 ASSOCIATION OF CONVENIENCE STORES
I
t’s fair to say that 2020 has been a year like no other, and this is reflected in the Association of Convenience Store’s latest Local Shop Report. The report, which provides an annual snapshot of the UK’s convenience retailing industry, includes a whole section devoted to the sector’s response to Covid-19. Although convenience has been touted as the one industry that landed on its feet in the wake of the pandemic, the report paints a mixed picture for retailers. While most (38%) reported a large increase in sales, spare a thought for the 34% whose sales went down. Similarly, almost half of stores (48%) saw basket spent increase greatly, 17% said sales took a considerable hit. One thing that is certain about the pandemic, however, is its role in driving a surge in home deliveries: local shops now make over 600,000 of these every week.
THE BIG PICTURE The ACS puts the number of convenience stores in mainland UK at 46,955, of which almost three-quarters (72%) are run by independent retailers. Of these indies, over half (56%) are
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 13
CONVENIENCE OVERVIEW
LOCAL SHOP REPORT 2020 ASSOCIATION OF CONVENIENCE STORES
unaffiliated, with the remainder part of a symbol group. Between them these stores generate a massive £44.7bn in total sales, add £10.1bn in GVA to the economy and employ 412,000 people, two-thirds of them female. Wales has more stores per head of population than any other part of GB, with one shop for every 1,058 people. Scotland isn’t far behind with one per 1,082 people. Store locations are fairly evenly split three ways between rural (37%), urban (37%) and suburban (26%) areas. The average customer visits their local store 3.7 times per week, spending £7.46 on a basket containing 2.5 items. Tobacco (and vaping) and alcohol continue to generate the bulk of sales for independents at 32.7% and 20.1% respectively. At the other end of the scale, sandwiches garnered 0.6% and hot food-to-go brought in 0.3%.
INVESTMENT Unaffiliated independents spent an average of £8,022 on their stores over the last year. Stores trading under a fascia invested half as much again (£12,178). Unsurprisingly, it was stores owned by multiple chains that saw
14 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
CONVENIENCE OVERVIEW
LOCAL SHOP REPORT 2020 ASSOCIATION OF CONVENIENCE STORES
the most investment – an average of £19,339. The report also reveals the benefit of joining a symbol group. Just under a third (32%) of stores trade under a fascia. These rake in a 35.3% share of sales. This sits in stark contrast to the 40% of unaffiliated stores, which only have a 17.7% share. As for the rest, multiples have a 23.8% share, co-ops 12.4% and forecourts 10.9%. The convenience industry isn’t just about making money though. Local shops are often said to be the backbone of the areas they serve, so it’s no surprise that 80% of independent retailers took part in some form of community activity in the past year, with 71% raising money for charity. The Local Shop Report can be viewed in its entirety on the ACS website.
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 15
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NOW THAT’S A GOOD IDEA…
OUT THE BOX C-TALK
NEW FORUM FOR RETAILERS WELL-KNOWN RETAILER PAUL CHEEMA HAS LAUNCHED A ‘BY RETAILERS, FOR RETAILERS’ FORUM CALLED C-TALK.
friend Raj Aggarwal to Covid-19, Kate just wanted to check in on industry friends, find reasons to smile again and keep connected. She wasn’t paid to, she simply did it because she cares about our industry and the people in it. If you combine her obvious passion for the trade with previous retail and media experience, she is a natural fit for us.”
WHAT’S THE BIG IDEA?
AND WHAT DOES HARDING THINK?
A new forum ‘by retailers, for retailers’ to facilitate discussions around all aspects of the convenience sector.
WHO’S DOING IT? High profile Nisa retailer Paul Cheema, co-owner of Malcolm’s Stores. Cheema recently appointed Kate Harding – a Cadbury, PepsiCo and My Local veteran – as editor and GM.
HOW DOES IT WORK? C-talk has both a website – www.c-talk. co.uk – and app that allows retailers to find out the latest news and views, as well as acting as a platform for retailerto-retailer discussions on any related topic. The service aims to connect retailers, brands and key stakeholders in the convenience industry.
HOW MANY RETAILERS USE IT? Over 1,300 affiliated and unaffiliated independent retailers, says the business.
DOES THE APPOINTMENT OF AN EDITOR SIGNAL GROWTH PLANS? Yes. Cheema said he was inspired to hire Harding after joining a Zoom call she hosted for those in the retail industry during lockdown. He says: “After the tragic loss of our retailer
“Some in the trade know my love of independent retail dates back to before I could talk because I grew up in Harding’s Newsagents run by my parents. But not many will know I wanted to become a journalist. From the age of 15 I spent every spare hour I could doing work experience for BBC television news and documentary programmes. Not only is getting to work for Paul Cheema a real honour but I found the opportunity to combine my backgrounds in both retail and media together absolutely irresistible.”
HOW DO I FIND OUT MORE?
Visit www.c-talk.co.uk, email kate@ctalk.co.uk or download the app.
RESEARCH
FOOD WASTE TOO GOOD TO GO
TIME TO BIN FOOD WASTE? SOCIAL IMPACT COMPANY TOO GOOD TO GO HAS COMPILED A REPORT ON THE AMOUNT OF WASTE IN THE FOOD-TO-GO SECTOR WHICH SUGGESTS A QUARTER OF BUSINESSES ARE THROWING AWAY MORE FOOD AFTER LOCKDOWN THAN BEFORE AND THAT THE ISSUE IS AFFECTING STAFF WELLBEING.
W
ith the UK food-to-go market predicted to be worth northwards of £21bn in 2020, it’s little wonder that more and more businesses are trying to get a piece of the action. However, the need to attract shoppers with well-
18 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
stocked displays often leads to a surplus of food at the end of the day, which often ends up being discarded. Against this backdrop, social impact company Too Good To Go surveyed over 2,000 consumers and more than 250 food-to-go employees to
include food waste best practices
employee sessions
RESEARCH
FOOD WASTE
46%
TOO GOOD TO GO
45%
Women are more concerned than men about sustainability when making purchasing decisions
51%
Case Study
discover the causes of food to their shorter shelf life Managing waste is essential. These days the public is very aware of sustainability, so we want to be waste and its impact. compared otheratproducts, managing our waste correctly and not discarding it without thought. We should all beto looking ways firstly minimise waste,that and then secondly manage it. Completely eradicating wastealso is unrealistic, as be Its to report found but it could potentially our pretzels have to be made in advance - rather than to order - due to the nature of our business and unpredictable customer footfall was impacted by the fact that less than 10% customer behaviour. the main reason why food waste occurred. Despite of Brits are likely to buy a healthy snack when on Ensuring our surplus food doesn’t to waste is verythe important us. This is are whynot Tooaccurately Good To Goadapting is very many Brits (40%) considering their go purchasing go, and to businesses useful. It gives our stores the confidence to anticipate - and prepare for - high demand, knowing that if behaviour as “sensible”, almost half buyoption. their stocks to purchasing trends. we don’t sell all the products, there(43%) is another food on the go at least once per week with no Covid-19 rocked supply chains and had huge Antony Baker, Senior Manager of Retail Operations, Auntie Anne’s designated day and over a quarter always consider implications for food waste levels across the the weather before deciding what to eat. This rises board. For food-to-go businesses, the impact of to over two- thirds for 25-34 year olds. lockdown on food waste levels has been divided. But food waste also happens because many A third of employees (33%) reported that businesses are underprepared. Almost two-thirds their business saw an increase in food waste levels (60%) of employees state their workplace does during the lockdown. Experiences as the country not have a stock management system in place has eased out of lockdown have also been mixed. to reduce food waste. Considering poor stock Half of businesses (51%) have seen a decrease management accounts for a third of food waste, in food waste levels after the lockdown, whereas this is an area for improvement within the sector. over a quarter (26%) have experienced increased Over half of employees (57%) said fruit and food waste levels. vegetables are the most wasted food types in the This reduction could be a result of businesses food-to-go sector. It is possible that this is due being more cautious and therefore offering limited
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 19
RESEARCH
FOOD WASTE TOO GOOD TO GO
Almost two thirds of businesses do not have a stock management system in place to reduce food waste
60%
Fruit and veg is the most wasted food in the food-to-go sector, with over half of employees stating it is the most likely to be wasted
menus as they adjust to the new normal. With are likely to spend more money eating out after unpredictable footfall a major factor influencing Covid-19. Fruit added & veguncertainty and a 58% Brits’ decision making is not going food waste anyway, Generally, decrease in confidence levels will cause further to be impacted by ease of access concerns when problems for food-to-go businesses. grabbing food on the go. With the UK workforce Pre-prepared The research also gave some insight into 42% continuing to work from home rather than in city how consumers meals are feeling about their return to centres, this is a positive sign for the food-to-go normal. Although 48% of Brits see themselves sector. eating at home moreMeat often than before lockdown, 37%Aside from the waste of resources and almost half of Brits surveyed (45%) do not expect monetary costs involved when food is wasted, the their food-on-the-go purchasing behaviour to issue is having an impact on employee wellbeing. change in the wake of Covid-19. Fish 36% Employees in the food-to-go sector are It is those in the 25-34-year-old demographic concerned about how much food is wasted. For who expect their behaviour to change the most, most employees (64%), this is on an environmental with almost two thirds (60%) expecting some level, with financial concerns and social concerns Poultry 32% change in their purchasing. And it seems that also being raised. women are more cautious, with double the Female employees are more concerned about number of male respondents stating that they the environmental costs of food waste than male
N/A
20 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
2%
RESEARCH
FOOD WASTE TOO GOOD TO GO
employees. This concern feeds into employee emotions, with nine in 10 employees of food-togo businesses feel negative emotions when food is wasted. Half (49%) feel disappointed, whilst over a third (39%) state they feel frustrated. Guilt, sadness and anger were also expressed when asked how they feel when food is wasted. These high levels of negativity could be because less than half (46%) of food-to-go businesses have operations guidelines or documents that detail best practices for dealing with and reducing food waste. In the same vein, less than half (45%) of businesses hold sustainability awareness or employee sessions on reducing food waste. On-the-shelf use-by and sell-by date offers are one tool which food-to-go businesses implement to reduce food waste in store. Interestingly, this type of promotion does not have a huge impact on consumer decision-making when purchasing food on the go. Those most interested are consumers in Edinburgh, where almost a quarter (24%) of consumers say it would encourage them to spend more money. When it comes to consumers and how they feel about sustainability, Northern Ireland is the most sustainably driven region. Over half of those who answered the survey (56%) see sustainability as critical or somewhat critical to their purchasing decisions. Jamie Crummie, Too Good To Go’s CoFounder, commented: “Covid-19 made people more aware of the fragility of our food system, and this might be a useful factor to consider for the food-to-go sector. Many food-to-go businesses over-stock their shelves to satisfy customers’ needs throughout each day, but this is a dangerous
cycle. Now that customers have experienced not being able to get what they want, when they want it, there is an opportunity for food-to-go to shift operations that better manage expectations as well as waste levels. “Our research has found that employees are concerned about food waste, yet there is a gap in training and procedures to help them manage food waste levels better. Introducing training programmes, adopting new tools, implementing technology and building these into operations guidelines will ensure that food-to-go businesses are prepared from the ground up.”
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 21
SMOKING CESSATION
STOPTOBER TOBACCO ALTERNATIVES
AS THE SMOKE CLEARS
NEW DATA FROM THE OFFICE OF NATIONAL STATISTICS HAS SHONE A LIGHT ON SMOKING PREVALENCE AROUND THE UK. THE GOOD NEWS IS THAT THE NUMBER OF SMOKERS IS FALLING, AND THE ANNUAL STOPTOBER EVENT IS AN OPPORTUNITY FOR LOCAL RETAILERS TO DRIVE IT DOWN FURTHER.
22 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
SMOKING CESSATION
STOPTOBER TOBACCO ALTERNATIVES
T
here has long been a large dose of healthy rivalry between the home nations, particularly around sports like football and rugby. However, there is one non-sporting title that England has never been in the running for – and there’s nothing healthy about it. Scotland has long held the dubious privilege of being the smoking capital of the UK but in a little publicised development during the summer, Northern Ireland puffed its way to the top – with Wales a close second. According to the latest data published by the Office of National Statistics (ONS), the proportion of over18s in Northern Ireland who smoked in 2019 stood at 15.6%. The figures for Wales and Scotland were 15.5% and 15.4% respectively. So, you can barely separate the three nations with a cigarette paper. England sits further back at 13.9%. The ONS survey put the overall UK figure at 14.1% and the good news is that this number has been consistently falling every year since data was first collected in 2011, when it stood at 20.2%. Next month’s annual Stoptober campaign is a chance for local retailers to help drive the figure down further by shifting smokers onto nicotine products that a lot less harmful than burning tobacco. In an ideal world, smokers would quit completely but this is easier said than done, hence the growing number of options available to retailers help move shoppers away from tobacco.
VAPING Vaping is widely regarded as one of the most efficient ways of transitioning shoppers out of cigarettes and roll-your-own and, as Public Health England repeatedly
reiterates, vaping is 95% safer than smoking tobacco. The category is now reasonably well established, and most stores will offer at least a basic range, often from the biggest brands like Logic, blu, JUUL and Vype; the inexorable shift towards ‘pod mod’ systems seems clear. There are still many vapers who prefer their big ‘mods’ and creating their own concoctions at home but new legislation and pure convenience means that more and more shoppers are looking for a simpler ‘click and play’ solution that involves a minimum of fuss and mess. The options for local retailers are basically twofold: stock a good basic range that will cater for most vapers, or go all in and become ‘famous’ for vaping in the local area by stocking a much wider range of products, including devices, liquids and accessories. It’s a complicated category however, so going ‘all in’ requires a fair bit of research and a lot of training. Buying a new pack of pods for a JUUL device or a Logic unit is a straightforward transaction, but dealing with complex queries from shoppers around subohm mods, shortfills, drippers, coils and much more requires a greater degree of commitment to making the category work in-store. The key to success is training but there’s plenty of support available. However, the bad news for the vaping category is that its growth has effectively stalled. The ONS put the number of UK vapers at nearly three million, or 5.7% of the population. There has been no real rise since 2016, when the figure stood at 5.6%. The Menthol Ban in May should have given a boost to vaping and other nicotine replacement categories although, at this early stage, it doesn’t appear to have
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 23
SMOKING CESSATION
STOPTOBER TOBACCO ALTERNATIVES
had as dramatic an effect as many had predicted, or hoped. Heat-not-burn is one such category which, despite being very popular in Japan, hasn’t quite taken off here yet. The market leader is the IQOS device, the result of a research and development programme that burnt a $4.5bn hole in the pocket of Philip Morris International.
POUCHES One newish category that could prove interesting to retailers now and in the near future is nicotine pouches. These are popular in other parts of the world, particularly Scandinavia, and offer extreme convenience in that they can be used anywhere, anytime – including in places where vaping is off limits like on public transport, at the office or even behind the till. Smoke- and tobacco-free, nicotine pouches have shown to be extremely popular with the single biggest challenge being how to encourage shoppers to give them a try. The brand making the biggest headway in nicotine pouches is Nordic Spirit from JTI, the runaway leader. Launched into the UK just over a year ago, the product has found a solid base of users and is set to grow further with a recent relaunch and rebrand and launch of a new flavour, Elderflower. The new line joins existing variants Mint and Bergamot Wildberry. All three are available in 6mg and 9mg strengths, with an RSP of £6.50 for 20 pouches. Key changes to the design include enlarging the brand name, in particular ‘Nordic’, to emphasise the product’s deep connection to its Swedish heritage. Additionally, the varying strengths are now represented with four hexagons in line with other products in the category for consistency and ease for the customer. Stephane Berset, JTI’s UK Head of Marketing, comments: “Since its launch in 2019, we have seen Nordic Spirit go from strength to strength as more adult smokers and vapers look for alternative nicotine products.” Berset says the rapidly evolving category, already worth £380,410 a month, presents a “huge” profit opportunity.
24 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
GET SOCIAL To squeeze some benefits out of Stoptober month, retailers need to shout about it to the shoppers and the easiest way of doing that is on social media. You could run a campaign incentivising your shoppers to try giving up tobacco next month and remind them of the alternative solutions you have available. As well as helping your shoppers improve their health, a social media campaign like this could also help simply draw attention to the fact that you stock a vaping and nicotine replacement range so that shoppers who have already quit know that they can get what they need at your store. Stoptober is a great opportunity for you to engage with community, demonstrate that you care about their health and wellbeing, and also shift them into higher margin products that will still drive footfall levels similar to tobacco products.
JUUL LAUNCHES RICH TOBACCO
JUUL Labs has recently added a new tobacco flavour to its JUULpods range to offer adult UK smokers a wider range of alternatives to combustible cigarettes. Rich Tobacco JUULpods replicate the taste profile of Virginia tobacco, the blend found in 93% of factorymade cigarettes sold in the UK. Packs of four pods are available now in 18mg/ml nicotine strength at an RSP of £10.99. The new flavour is the first launched in newly updated JUULpods branding, featuring redesigned packaging and graphics, which will roll out across the JUULpods range over the coming months. Rich Tobacco is the latest addition to JUUL’s UK portfolio of flavours, which includes Glacier Mint, Menthol, Mango Nectar, Golden Tobacco and Alpine Berry.
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ME
NT H BA OL N CO MP LIA NT
MEDIA CAMPAIGNS
BETTER THAN YOU THINK RUSTLERS
RUSTLERS REDEFINES ITSELF IT’S LONG BEEN A STAPLE OF STUDENT LIFE, BUT NOW RUSTLERS IS TRYING TO WIDEN ITS CUSTOMER BASE BY CHANGING PERCEPTIONS OF THE MICRO SNACKING BRAND.
R
ustlers is trying to shift public perceptions of the brand with the launch of a national marketing campaign. ‘Better Than You Think’ puts the brand’s quality credentials at the heart of its identity. It is designed to elevate quality perceptions and position Rustlers as the perfect meal solution for time pressed consumers by challenging them to ‘Surprise Yourself, it’s Better Than You Think’.
“As the No. 1 micro snack, with sales over £110m, growing at 11%, we know we have a large loyal following who love our products and buy into the brand time and time again, but we’re going to accelerate growth by challenging and changing perceptions amongst people who have yet to try it,” said Adrian Lawlor, Marketing and Business Development Director at Kepak, Rustlers’ brand owner. “The ‘Better Than You Think’ advertising platform has been developed to build the quality credentials of Rustlers into the long term. The initial focus will be on landing the message that Rustlers beef burger range is made with ‘100% British & Irish Beef ’ and we have worked hard to deliver this in a ‘Rustlers’ style which is honest, selfdeprecating and humorous. Extensive
26 I SLRMAG.CO.UK / ISSUE 22 / WEDNESDAY 16TH SEPTEMBER 2020
research has been positive, highlighting that it will increase frequency of shop with our current customers whilst also recruiting new shoppers.” The campaign launches on 21 September and includes in-store activity, text-to-win competitions giving away free product and shopping vouchers, and a Deliveroo partnership alongside out-of-home advertising, radio and social media campaigns that will generate over 88 million opportunities to see the Rustlers brand. A tandem convenience channel campaign will encourage retailers to ‘Surprise Yourself with Strong Sales’. Retailers will be supported with several incentives including case deals on the Shopt app, free POS kits and merchandising advice designed to maximise impulse sales and boost basket spend. “We have already had a full packaging relaunch and this has helped boost an already strong brand performance. We are confident that the relaunch, combined with the new advertising strategy will set the brand up for sustained growth in the years ahead” concluded Lawler. Request your free POS kit on Kepak’s trade website.
MADE IN ENGLAND’S OLDEST WORKING GIN DISTILLERY
PROPER LEGEND
SUPER PREMIUM GIN GROWS
+9% YOY,
CONTRIBUTING 14% OF GIN CATEGORY VALUE.*
STOCK UP NOW
Please drink Plymouth Gin responsibly.
*Source: Nielsen, Total Coverage, Value Sales, MAT to WE 13.06.20
NPD AND MEDIA
PICKS OF THE WEEK TO GET YOUR PRODUCT LISTED PLEASE CONTACT RAITKEN@55NORTH.COM
KP GROWS £1 RANGE
TOFFIFEE BACK ON TV
ROALD RETURNS
KP Snacks has added McCoy’s
Toffifee is back on screens with
Premier Foods has launched
Hot Mexican Chilli, Penn State
a new £1.8m TV and video-on-
its Roald Dahl-inspired Mr
Sour Cream & Chive, popchips
demand campaign. A new ad,
Kipling Halloween seasonal
BBQ and popchips Sour
running until 1 November, aims
range, that includes two new
Cream & Onion to its £1 PMP
to increase brand awareness,
limited-edition products, Grand
range. McCoy’s and popchips
and drive sales by showcasing
High Witch’s Chocolate +
are available now, with Penn
Toffifee’s ability “to bring
Vanilla Slices and Formula 86
State from October onwards.
the family together with its
Chocolate Tarts.
RSP: £1
delicious ingredients”.
RSP: £1.50
PUT THAT LIGHT OUT
FRUITY FINGERS
#VISITNATURE
Hobgoblin is targeting
Spiced rum brand Dead Man’s
Nature Valley has teamed up
Halloween drinkers with a new
Fingers has launched a new
with Tripadvisor to encourage
campaign, ‘Best Sipped In The
Mango Rum (ABV 37.5%),
Brits to explore more of the UK
Dark,’ that runs across out-
available now from Booker.
beauty spots in a new £1.8m
of-home and social channels
The new bottle boasts the
campaign, #visitnature. The
until November. It includes
distinctive Dead Man’s Fingers
six-week long promotion is
‘Hobtoberfest’ – a virtual
branding and bold colour
expected to reach 5.6 million
festival weekend with various
palette.
people within the brand’s target
activities and giveaways.
RSP: £22
audience.
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 28
NO .1
RED WINE IN THE UK**
NO .1
BEST KNOWN WINE BRAND IN THE UK*
NO .2
FAVOURITE WHITE WINE IN THE UK†
ENJOY RESPONSIBLY
*Source: Prime database, IPSOS fiscal YTD 2020 until end of Dec 2019 **Source: Nielsen Total Coverage, Value share % MAT 21.03.2020 †Source: Nielsen Total Coverage, Value Sales MAT 21.03.2020
Helping you to make an extra 3% Gross Profit Ease of use
Simple to use touch screen till software
Backoffice admin software
Cigarette Gantry integration
Indepth reporting and analysis
Touch screen handheld device to control the shop from the shopfloor
Supplier Data links with all major Wholesalers
Credit Card integration
Weekly health check reports to guide you to improve your sales and margin.
Access to background database with over 100,000 products
Benefits of MPos ✓ Built around a retailer, not a computer user ✓ Simple to use till, powerful admin tools ✓ Built from retailers perspective ✓ Reduces labour by downloading products, price changes, invoices and promotions
✓ Reduces labour by allowing one click order generation and one click invoice downloads - easily shave off 10 hours of work per store
✓ Increased control on stock; all stock deliveries downloaded and all stock adjustments emailed to the owner; NO stock is unaccounted for
✓ Emails store performance to the user with real actionable data once a week rather than stats heavy reports that overwhelm the user
✓ Based in Scotland with excellent support and training program
✓ Easy to use Hand Held terminal to control the store from shop floor ✓ Integration with Credit Card terminals, Zapper, Cigarette Gantry, Loyalty Schemes and more ✓ Developed and supported by people that know the retail trade
So How much Could our System make for you? We can demonstrate a 3% uplift in Gross Profit in using our system.
£5,000 £10,000 £15,000 £20,000 £25,000
£7,800 Current Weekly Turnover Extra profit per annum
£15,600 £23,400 £31,200 £39,000
Even a Single Lane system can more than pay for itself in the first 4 months!
MHouse, 349 Shields Road, Motherwell, ML1 2LD
Tel: 0800 242 5360 email sales@mhousesolutions.com
BEFORE YOU GO
RETAIL RANDOMS MAYNARDS BASSETTS / CADBURY TWIRL ORANGE
JUICE ON THE LOOSE AGAIN MAYNARDS BASSETTS IS ONCE MORE ASKING THE NATION TO “SET THE JUICE LOOSE” WITH ITS LATEST OUTDOOR AND DIGITAL CAMPAIGN. THE NEW ACTIVITY IS OK IN A POSTMODERN SLIGHTLY INTIMIDATING JELLY BABY SORT OF A WAY, BUT IT CAN’T HOLD A WINE GUM TO THE ORIGINAL 1993 TV AD. TWENTY-SEVEN YEARS ON THE BARRAGE OF SCOTTISH STEREOTYPES STILL RAISES A SMILE, ESPECIALLY NORTH OF THE BORDER.
ANOTHER WHIRL FOR TWIRL TWIRL ORANGE HAS MADE A MUCH-ANTICIPATED
MIND YOU, WHO WOULDN’T BE ALL FIRED UP IF
RETURN TO THE CONVENIENCE CHANNEL, WITH
EVERY SUPPLIER DROPPED OFF STOCK THE WAY
EXCITED RETAILERS TAKING TO SOCIAL MEDIA TO
CADBURY APPARENTLY DOES…
LET THE WORLD KNOW THEY’D GOT THEIR HANDS ON SOME.
WEDNESDAY 16TH SEPTEMBER 2020 / ISSUE 22 / SLRMAG.CO.UK / 31
R o f Y ENERg F F U T S L A E E R H T th the i w k n i r d y g r e n e e n i u e r f b f a n r i f o high c e t s a t e l b a b i r indesc
FROM THE UK'S NO.1 FLAVOURED * CARBONATE BRAND
