RETAIL
THE WEEK IN
LOCAL SOURCING
2021 ‘LANDMARK’ YEAR FOR LOCAL SOURCING
SPAR SCOTLAND BOSS LOOKS LOCAL NPD
MARS LOW CAL BARS
MARS WRIGLEY UNVEILS 100 CAL RANGE
RAISE A BRU FOR BURNS
WALKERS’ KFC CRISPS VAPING REGIONAL VARIATIONS 2021 PREDICTIONS
COVID-19
MULTS BAN MASKLESS CUSTOMERS
BIG BOYS ASSUME POLICING ROLE
+ YOUR UTILITY BILLS PAID FOR A YEAR! Commercial Partner:
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Issue 38 Wednesday 13th January 2021
Symbol Partner:
Raise a BRU for Burns on January 25th
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Stocking up with BRU’s the thing, If you want your till to go ker-ching
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THE WEEK IN RETAIL
EDITOR’S COMMENT SHARE YOUR NEWS AND VIEWS WITH ME AT ABEGLEY@55NORTH.COM
COVID CHALLENGES MASK A DEEPER PROBLEM The decision by the majority of the big supermarkets and discounters to refuse admittance to their stores to anyone failing to wear a face covering is, on the face of it, a very responsible and sensible thing to do. Fair play. But like most things Covid-related, there’s a little more to it than that if you go digging. The political pressure being heaped onto retailers, particularly the big boys, has been mounting for some time with increasingly frequent rumblings from politicians, industry observers and assorted commentators, all questioning whether letting shoppers go to the supermarket whenever they like is wise and whether the supermarkets themselves are doing enough in and around their stores to prevent spread of the virus. It’s a fair enough question. Supermarkets are one of the very few places where shoppers can go more or less at will. But this is clearly not an issue that the supermarkets want to get any higher up the political agenda. So you could be cynical and argue that the decision to refuse access to customers without face coverings is entirely self-serving. And the fact that virtually every supermarket made exactly
the same announcement within 48 hours of one another could be viewed with some cynicism, or at least a raised eyebrow, if you’re that way inclined. The other issue, of course, is one of policing – this time with a small ‘p’. Ostensibly, by banning shoppers without face coverings, the supermarkets are agreeing to stop customers breaking the law. But this could easily be viewed as the thin end of a very thick wedge. In real-world practical terms, retailers of all sizes are already charged with policing all sorts of legislation. It’s not difficult to argue – and many including the BRC have already done so – that stopping people breaking the law is the job of the Police, with a capital ‘P’ – not of local retailers and their staff. With in-store violence and abuse at record levels, is it really correct and desirable that store staff across the country, often earning minimum wage, should have to risk verbal and physical abuse just to do a job (policing customer behaviour) that isn’t legally theirs in the first place? But the precedent has now been set by the supermarkets and it will be a very tricky task to put that genie back in the bottle.
ANTONYBEGLEY ANTONYBEGLEY ANTONYBEGLEY
ANTONY BEGLEY, EDITOR
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 3
JUUL sales account for 37% of all growth in the closed pod sector.* One of the fastest growing categories for your store is closed pod systems.** JUUL is growing 63% year-on-year.* Do you have the UK’s #1 vape brand in stock?* Become a JUUL retail partner. Email uksales@juul.com today.
Not for sale to minors.
Designed for adult smokers.
JUUL is an e-cigarette.This is an age-restricted product and age verification is required at sale. *Source: IRI Total Market Value Sales 4 Weeks to 27th Sept 2020. **Source: IRI Total Market Value Sales 4 Weeks to 13th Sept 2020. TM and Š 2020 JUUL Labs, Inc. All rights reserved.
WARNING: This product contains nicotine which is a highly addictive substance.
CONTENTS
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 WWW.SLRMAG.CO.UK
6
17
27
THIS WEEK’S NEWS IN BRIEF
THE BIG INTERVIEW: COLIN MCLEAN
PREDICTIONS: JULIAN FISHER
Lidl reveals record Christmas sales while Scotland’s local retailers are exempted from new food-to-go rules.
SPAR Scotland CEO on the growing importance of local suppliers to wholesalers and retailers alike.
What does the boss of all-in-one shopping app Jisp think 2021 has in store for retailers?
8 COVID-19 UPDATE
A ROUND-UP OF THE LATEST
22 FOOD-TO-GO: ST PIERRE GROUPE
41 OUT THE BOX: WALKERS COMPETITION
CORONAVIRUS-RELATED NEWS.
BRANDED BAKERY BUSINESS SEES 400% INCREASE IN SCOTTISH SALES IN 2020.
RETAILERS CAN WIN PAYMENT OF THEIR UTILITY BILLS FOR A YEAR.
13 RESEARCH: VAPING
31 PICKS OF THE WEEK
43 BEFORE YOU GO...
VYPE UNCOVERS DIFFERENCES IN
39 MEDIA CAMPAIGNS: SPAR SCOTLAND
PERCEPTION OF VAPING ACROSS THE
DIFFERENT CITIES OF THE UK.
TWITTER.COM/SLRMAG
OUR LATEST RETAIL RANDOMS FEATURE
CONVENIENCE CHAIN CELEBRATES STAFF
BALLET AS YOU’VE NEVER SEEN IT BEFORE
WHO HAVE GONE ABOVE AND BEYOND.
AND THE CURIOUS ART OF ‘ASPARAMANCY’.
WWW.FACEBOOK.COM/SLRMAG
WWW.SLRMAG.CO.UK
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 5
NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
UNITAS FOCUSES
TRADING
category guides. The guides
LIDL REVEALS RECORD CHRISTMAS
are specifically designed for
LIDL GB ACHIEVED A RECORD CHRISTMAS IN 2020 WITH OVERALL
independent retailers and
SALES INCREASING 17.9% IN THE SAME 4-WEEK PERIOD TO 27
highlight the opportunities that
DECEMBER VERSUS THE PRIOR YEAR.
Unitas Wholesale has launched ‘Focus On,’ a new series of Plan for Profit mini
each mini category presents with the first two focusing on the ‘Healthy breakfast’ and ‘Mini seasons’ categories.
SPAR GETS FIT Spar is starting the new year by partnering with social media influencer Graeme Tomlinson – The Fitness Chef – throughout January. The partnership will see Spar share nutritional advice and recipes over the month to help consumers start 2021 as they mean to go on, helping them towards “a balanced lifestyle”.
German discounted Lidl had its most successful Christmas ever in the UK, with sales up almost 18% compared to 2019, making it the fastest growing retailer among the major supermarkets. Christmas favourites drove customer spend with basket size up 24.8% YOY with Lidl claiming it had grabbed £34.7m of spend from other supermarkets. The retailer sold over 2.7 million servings of panettone over the Christmas period as well as selling over 7,000 glasses of mulled wine and almost 17,000 classic Deluxe Luxury Mince Pies every hour. Overall, Lidl’s
Deluxe range saw sales up 22% in the period YOY. For the third year in a row, the discounter ran its Christmas Eve donation scheme which saw over 180,000 products – the equivalent of £150,000-worth of food – given to charities and those most in need.
POST OFFICE PROFITS
MADL HITS RECORD IN DECEMBER
The Post Office saw an 17%
Nisa’s Making a Difference Locally charity saw a record figure donated to good causes last month, as retailers sought to support local charities in the run-up to Christmas. Some 201 Nisa stores supported good causes with 278 donations throughout December, totalling £303,549, the most ever donated via Making a Difference Locally in a single month. The record month followed an already strong period of generosity from Nisa partners, with almost £165,000 donated between 5 November and 2 December. Since its formation in 2008, Making a Difference Locally has raised over £12.3m and supported charities and other good causes with over 13,000 donations.
increase in total network income during December compared to the same period in 2019, reporting £66.3m in sales. Postmaster variable remuneration also increased on average by an estimated 20% compared to December 2019.
6 I SLRMAG.CO.UK / ISSUE 38 / WEDNESDAY 13TH JANUARY 2021
NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
CORONAVIRUS
LOCAL RETAILERS ‘EXEMPT’ FROM NEW FOOD-TO-GO AND CLICK & COLLECT RULES
SHOPPERS CONFIDENT Shopper confidence remained stable in December, despite increased Covid-19 restrictions over the Christmas period and uncertainty over Brexit, according to the latest IGD
IN THE WAKE OF NICOLA STURGEON’S ANNOUNCEMENT NEW
Shopper Confidence Index.
REGULATIONS RESTRICTING TAKEAWAYS AND CLICK & COLLECT,
Despite sitting at a relatively
SGF CONFIRMS THAT EXEMPTIONS HAVE BEEN SECURED FOR
low level of -6, December’s
LOCAL RETAILERS.
score remained unchanged from the previous month and
Following the announcement by Scotland First Minister that tighter new regulations would be introduced in Scotland, the Scottish Grocers’ Federation has confirmed that, working with other trade bodies including the Scottish Retail Consortium and the NFRN, they had ensured that local retailers are exempt from stricter new rules banning most food-to-go and click & collect services. SGF Head of Public Affairs John Lee told The Week In Retail: “The new regulations are a significant blow to those takeaway business who have already invested heavily in a wide range of protective measures and there
is still at the highest level since February 2020.
ESSENTIAL VAPING is no evidence to justify this decision. However, working with other key trade bodies we have successfully lobbied the Scottish government to exempt convenience stores from these new restrictions. Additionally, ‘essential retail’, such as c-stores, can continue with click & collect services. This is yet more recognition of how important convenience stores are to customers, communities and the local economy.”
MORRISONS TO PAY MINIMUM £10/HR
Morrisons is set to become the first UK supermarket to pay its staff at least £10 an hour. The commitment will go live in April and will increase its minimum pay for up to 96,000 workers from £9.20. The new rate was negotiated by retail trade union Usdaw and represents a rate which is 50p an hour above the voluntary Living Wage Foundation rate. Morrisons said for the majority of its workers the pay increase will be approximately 9%.
The UK Vaping Industry Association has called on the government to consider classifying vape shops as ‘essential retail’ as part of a drive help smokers quit at a time of year traditionally linked to resolutions to live more healthily.
POUNDLAND ‘HIBERNATES’ Discount retailer Poundland has put 44 of its stores into ‘temporary hibernation’ as footfall remains depressed by around 80% during the pandemic. Staff from the affected stores will be furloughed where appropriate.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 7
NEWS SPECIAL
COVID-19 UPDATE FOR ALL THE LATEST CORONAVIRUS NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
CONSUMER SPENDING FALLS Consumer spending declined 2.3% YOY in December, the largest decline since June 2020, according to data from Barclaycard. Spending on
UNION CALLS FOR STRICTER IN-STORE SAFETY MEASURES
essential items, however, grew
SHOPWORKERS’ TRADE UNION USDAW HAS MADE AN URGENT
4.5% year-on-year as Brits
CALL TO RETAILERS TO IMMEDIATELY REVERT TO THE STRINGENT
stocked up for the festivities,
SAFETY MEASURES THAT APPLIED DURING THE FIRST LOCKDOWN.
aided by a 14.7% rise in supermarket shopping overall and online grocery spend surging 88.0%. Local retailing saw a rise of 43.7%.
BIG ISSUES As England entered a third lockdown, Big Issue North vendors have once again been told they are not permitted to sell the magazine. This means that they are not eligible for furlough, and as they cannot work from home, hundreds
As the majority of larger food and drink retailers announce a ban on entry to shoppers not wearing a face covering, shopworkers’ trade union Usdaw has made an urgent call to retailers to immediately revert to the stringent safety measures in stores that applied during the first lockdown. The union says it has been inundated with complaints from members deeply concerned about their safety as customers blatantly flout the rules. Usdaw is calling for a number of safety measures to help protect its members, including:
Q Customer numbers limited, ‘one in one out’ policy, proper queuing systems. Q Clear signage telling customers to wear face coverings. Q Customers to be reminded to shop alone where possible, to shop less frequently and only visit a shop for essentials. Q 2-metre social distancing strictly observed. Q Enhanced cleaning on the shop floor and in back areas. Q PPE, hand sanitiser and cleaning products available for all staff.
of homeless and vulnerably housed people now find themselves without a source of
SCOTTISH LOCKDOWN RULES TIGHTENED
desperately needed income.
B&M’S PANDEMIC BONUS Variety store chain B&M is to pay an extra week’s wages to its staff in recognition of their efforts through the exceptional challenges of the coronavirus pandemic.
Scotland’s lockdown restrictions have been tightened once more today following concerns the ‘stay at home’ message is not having the same impact it did during last year’s lockdown. The changes come into effect on Saturday. The key changes include: Q Click and collect services will be limited to retailers selling essential items such as clothes, footwear,
8 I SLRMAG.CO.UK / ISSUE 38 / WEDNESDAY 13TH JANUARY 2021
baby equipment, homeware and books. Q Customers will no longer be allowed to go inside to collect takeaway food or coffee. Businesses will have to operate from a serving hatch or doorway. Q It will be against the law to drink alcohol outdoors in public in mainland Scotland.
RE HE R K TE IC EN C L TO
The Scottish Retail Food & Drink Awards
‘A growing number of shoppers are turning to local products during lockdown. Get noticed by entering your products and be in with a chance of winning a listing in retail outlets across Scotland including our Small Producer Partner SPAR Scotland’s stores.’ SPONSORS Small Producer Sponsor
Scottish Grocers’ Federation
M E D I A PA RT N E R S
RETAIL
THE WEEK IN
PA RT N E R S
Entry deadline Friday 26 Feb 2021 Awards presentations take place April 2021. Full information & entry online www.scottishretailfoodanddrinkawards.com Follow us on Twitter @ScottishRFD
TENNENT’S AND THE RED T ARE REGISTERED TRADEMARKS OF THE C&C GROUP
@TennentsLager
NEWS SPECIAL
COVID-19 UPDATE FOR ALL THE LATEST CORONAVIRUS NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
HANCOCK OPENS DOOR FOR SHOP WORKER VACCINATION PRIORITISATION
H
WALMART TRIALS HOME DELIVERY ‘SMART COOLERS’
HEALTH SECRETARY SUGGESTS SHOPWORKERS COULD BE AMONG THOSE PRIORITISED FOR COVID VACCINATION.
make those decisions based on the data.” The NFRN has welcomed the announcement with National President Stuart Reddish commenting: “Thousands of independent retailers and their staff have been at the frontline throughout the pandemic. While safety measures have been put in place to protect staff and their customers, our members still put themselves at risk day in and day out to keep the population supplied with food and other essential goods. A new petition asking for frontline retail staff to be prioritised for the Covid-19 vaccine has been launched.
MULTS TAKE HARD-LINE ON MASKS Supermarkets Tesco, Asda, Aldi, Sainsbury’s, Morrisons and Waitrose have reportedly confirmed that they will not allow shoppers into their stores unless they are wearing a face covering. The UK government has expressed concern about the spread of the virus in supermarkets and the leading players have all decided to take a hard-line. The move will put additional burdens on store staff, including security staff, who will be required to police the policy in-store. The British Retail Consortium has already commented that it was the police’s responsibility to enforce face coverings and wasn’t down to retailers.
TECH SOLUTIONS
ealth Secretary Matt Hancock yesterday announced that shopworkers could be among those who will be prioritised to receive the Covid vaccine. Hancock was speaking in the House of Commons and said: “I want to thank shop workers in essential shops who have to be there for all of us, even in these difficult times when the virus is widely spread. “We will be looking very carefully at those professions that will need to be prioritised in phase two of the prioritisation programme. We will look at teachers, police and others, but we will also look at shopworkers and will
US retail giant Walmart is to trial grocery home delivery services to a ‘smart chiller’ sited outside shoppers’ homes, meaning customers no longer have to plan their day around delivery times. The pilot will kick off in the coming weeks in the retailer’s home town of Bentonville in Arkansas. It will see deliveries made to an internet enabled threetemperature smart cooler provided by HomeValet that can store frozen, chilled and ambient products.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 11
VAPING
REGIONALITY IN VAPING VYPE RESEARCH
THE REGIONALITY OF VAPING NEW RESEARCH FROM VYPE UNVEILS SOME INTERESTING DATA ABOUT HOW VAPING IS PERCEIVED DIFFERENTLY ACROSS THE DIFFERENT CITIES AND REGIONS OF THE UK.
£7M
SPENT ON VAPING PRODUCTS BETWEEN JAN & OCT 2020
40%
OF TOTAL VAPE SALES OCCUR IN LONDON
WELL I NEVER... Q Leeds is home to the most vape shops per square mile (18/sqm) Q London adults spend the most on vape products per year, followed by Birmingham and Glasgow Q Brighton is home to the most amount of people unbothered by people vaping near them (43%)
U
18
VAPE SHOPS PER SQUARE MILE IN LEEDS
K adults spent close to £7m on vape products between January and October of 2020 – but there are significant regional differences across the UK as to how vaping is perceived by both vapers and nonvapers, according to a survey of 2,000 over-18s by Vype. With around three million adults now vaping, the research
was carried out to delve into these regional variations. Q In terms of pure sales, London leads the way, spending more than double that of Birmingham residents in the same time frame. Purchases made by Londoners make up 40% of Vype’s total UK sales to date in 2020, and 83% of the sales from the top 10 biggest spending cities.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 13
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VAPING
REGIONALITY IN VAPING VYPE RESEARCH
Q Leeds is home to the most bricks-and-mortar vape shops
NON-VAPERS ON VAPING
per square mile (18) followed by Edinburgh (17), York (15) and Sheffield (14). Q The top selling (Vype) flavours across the UK were consistent across England, Scotland, and Wales. Crisp Mint leads with Blended Tobacco second and Dark Cherry third. The only region this differs in is Northern Ireland where Crushed Mint is the best-selling Vype flavour.
Q Just under a third (31%) of respondents said it doesn’t
PERCEPTIONS ACROSS THE UK Q Adults in Brighton are the least affected by others vaping
Q Q
Q
Q
Q
around them, with 43% of respondents saying it doesn’t bother them. In Belfast, people were most likely to allow another person to vape in their home or car (23%). Belfast also hosts the largest group of adults who vape as an alternative to smoking (21%), alongside Glasgow (also 21%). Almost half of Glaswegians (48%) say they don’t feel judged by others for vaping in public, followed closely by Nottingham (44%) and Liverpool (42%). Liverpool is home to adults who have vaped the longest – almost two thirds (58%) of respondents say three years or more. Adults in Liverpool are also the most likely to vape at their place of work, with 33% admitting to doing so. In Manchester, over a third of respondents (39%) already or would consider vaping in the future, more than any other city.
Q Q Q
Q
bother them if someone vapes near them. 10% of respondents who don’t vape said they would still allow someone else to vape inside their home and car. Females are the least likely to be bothered by someone vaping near them – but only just: 32% v 31% of men. 45-54-year-olds are the least bothered by someone vaping near them, followed by the over-55s at 33%, and 18-24-year-olds at 31%. Of adults who would consider vaping as an alternative to smoking, Bristolians lead the charge with 6% saying they would consider it in the future.
VAPING FREQUENCY Q Residents of Plymouth have taken up vaping the most
lately, with the biggest number of new vapers – 50% of respondents from Plymouth have been vaping for less than one year. Q Plymouth is also home to the greatest number of vapers who only vape once a week (75%) with Sheffield a distant second at 23%. Q Cardiff has the most residents that have been vaping for between one and two years (72%).
PRIDE IN VAPING Q Two in five (40%) adult vapers are
open about vaping. Q Females are more likely to be open about it, with 42% saying that everyone knows they vape, compared to only 39% of men.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 15
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ZOOM CALL OF THE WEEK
THE BIG INTERVIEW
COLIN MCLEAN LOCAL SOURCING
2021 A LANDMARK YEAR FOR LOCAL SOURCING? THANKS TO THE BIZARRE YEAR WE’VE ALL LIVED THROUGH, RELIANCE ON LOCAL SUPPLIERS HAS NEVER BEEN MORE CRITICAL – AND 2021 COULD BE A MASSIVELY IMPORTANT YEAR FOR SMALL LOCAL
O
PRODUCERS, SAYS SPAR SCOTLAND CEO COLIN MCLEAN. BY ANTONY BEGLEY
ne of the many major shifts to take place during the turmoil of 2020 was an increased reliance among retailers and wholesalers on local suppliers – and one man who understood this shift perhaps better than most is CJ Lang & Son CEO Colin McLean. The Spar Scotland retailer and wholesaler works with over 150 local suppliers and that number has grown over the last year as elements of the global and UK-wide supply chain crumbled under the weight of coronavirus-inspired panic buying, as well as a number of other important factors that meant many wholesalers – and thus retailers – couldn’t get their hands on a whole array of products from big name brands. Those availability issues forced wholesalers like Spar Scotland to look closer to home for reliable supply of key products and categories. As well as ensuring availability, however, Spar Scotland and most other wholesalers and retailers learned that there are many other benefits to working more closely with seller local suppliers, as McLean explains.
WHAT IMPACT DID 2020 HAVE ON YOUR RELATIONSHIP WITH SMALLER LOCAL SUPPLIERS? We have always been keen to support good local producers, but there’s no question that 2020 and the pandemic forced us to rely on Scottish suppliers more than ever. We work with over 150 local suppliers and the relationships with
SPAR SCOTLAND’S CJ’S FOOD-TOGO CONCEPT SOURCES PRODUCT FROM LOCAL BAKERS.
existing suppliers were taken to a new level in 2020 while we also developed strong relationships with new suppliers and that’s been to the benefit of everyone: the local suppliers themselves, Spar Scotland, Spar retailers and, of course, Spar customers. We also made a number of key appointments including Head of Food-To-Go Stephen Brown and Trading Director Richard Collins, whose vast experience in local sourcing has clearly helped us embrace the opportunity.
WAS PART OF THIS SHIFT IN 2021 SHEER NECESSITY? Absolutely. We had to move to using more local suppliers because it was the only way that we could guarantee the
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 17
Up to
Circa
Additional Weekly Revenue
New Weekly Transactions
£10k
400
£26
+400
Sell
Full
Average Spend
at on-shelf prices
New Customers
Tech Training & Support
ZOOM CALL OF THE WEEK
THE BIG INTERVIEW
COLIN MCLEAN LOCAL SOURCING
availability we needed. Scotland remains a very brand-focused nation of shoppers, which is great for CJ Lang as a business, but this migration towards stocking more local products gives our retailers and customers the best of both worlds: great brands and great local products.
SPAR SCOTLAND BACKS SCOTTISH RETAIL FOOD & DRINK AWARDS
AND YOU’VE RECENTLY SUPPORTED THE SCOTTISH RETAIL FOOD & DRINK AWARDS? Yes, we decided to sponsor the Small Producers Category at the inaugural Scottish Retail Food & Drink Awards because it’s a great fit with our own business model and ambitions. The Awards are all about getting more great quality Scottish food and drink products onto more Scottish shelves and Spar Scotland has long championed Scottish suppliers, so it meshes nicely. We’re delighted to help small producers make the next step by securing listings in retail outlets in Scotland and we have long experience of how beneficial these can be. We have seen many small producers flourish in the time we have been working with them and I think 2021 could be an important year for smaller producers in Scotland.
Spar Scotland recently confirmed their sponsorship of the vital Small Producer of the Year category at the inaugural Scottish Retail Food & Drink Awards 2021. The Awards have been created to get more great Scottish food and drink products onto more Scottish shelves, a goal that fits perfectly with Spar Scotland’s long-standing commitment to championing small Scottish producers. The Awards will be held virtually in
DO YOU SEE THE GROWING INTEREST IN LOCAL PRODUCTS CONTINUING IN 2021?
April and will celebrate some of the best
Very much so. It could be a landmark year for producers who seize the opportunity that is there for them. The growth of the local retailing sector over the last year has helped raise the profile of our channel and I think a lot of small suppliers are now viewing convenience as an important potential route to market for them. Being based in Scotland with a full distribution network and a full Scotland-based buying team means Spar Scotland is in a great place to work with more small local suppliers and help them get their products out to more shoppers. It also benefits Spar retailers by helping them offer a differentiated range to shoppers and drive footfall, sales and profits.
products available in Scottish stores.
DO YOU SEE FOOD-TO-GO REMAINING KEY IN 2021? We do. We have already rolled out our CJ’s food-to-go brand to 40 company-owned stores and we expect to have the brand in every company-owned store by the end of the year. Food-to-go is now a core element of convenience for us and, again, we work closely with a number of local suppliers for the CJ’s range including local bakers Asher’s, Browning’s the Bakers, JG Ross, McGhee’s and Stuart’s.
branded and own label food and drink Colin McLean said: “As a familyowned business with more than 100 years of history in serving hundreds of communities across Scotland, we understand just how important it is to support the country’s many fantastic small local producers. That’s why we are absolutely thrilled to sponsor the Small Producer of the Year category at the first ever Scottish Retail Food & Drink Awards. We view this as a fantastic celebration of Scottish food and drink but with a clear commercial aim: to grow sales for both small producers and the retailers who stock their products.” To find out more or to enter, visit the Scottish Retail Food & Drink Awards.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 19
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FOOD TO GO
ST PIERRE GROUP CHRIS MCLAUGHLIN
ST PIERRE QUADRUPLES SALES IN SCOTLAND THE WEEK IN RETAIL CATCHES UP WITH COMMERCIAL DIRECTOR CHRIS MCLAUGHLIN TO HEAR ABOUT ST PIERRE GROUPE’S 400% INCREASE IN SCOTTISH SALES IN 2020.
H
ot off the heels of sponsoring the Scottish Local Retailer of the Year category at the SLR Rewards, St Pierre Groupe has revealed the scale of the success it achieved growing sales north of the border in 2020. In what as an astonishingly successful year for the company, it managed to more than double sales in wholesale and quadruple sales in retail in Scotland last year, bucking the category-wide trend in bakery. The Week In Retail caught up with Commercial Director Chris McLaughlin to find out more about how the company
“St Pierre Groupe bucked the trend in foodservice, with wholesale sales in food service increasing by 25%.”
did it, why Scotland is such a priority, and what lies ahead for 2021.
WAS SCOTLAND ALWAYS A FOCUS FOR 2020? We went into 2020 with a very clear UK strategy: to drive our core range into deeper distribution. Part of that strategy was developed to deliver growth in Scotland. As customers shop slightly differently in Scotland to the rest of the UK, it offered unique opportunities.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 23
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FOOD TO GO
ST PIERRE GROUP CHRIS MCLAUGHLIN
CLEARLY THAT STRATEGY WOULD HAVE BEEN AFFECTED BY THE ONSET OF THE PANDEMIC? Absolutely. By the end of Q1, we had to reassess our routes to market to maintain growth, but decided to stick with the overall plan. Rather than reduce efforts, we reassigned supply, ensuring that product destined for food service was re-routed to meet demand in retail.
THE STRATEGY CLEARLY WORKED... Yes, we’re pleased. Retail sales increased dramatically year on year, up 255% on 2019’s figures with a quadrupling of retail sales in Scotland. This is predominantly due to new national listings with Tesco but St Pierre Groupe brands have also enjoyed continued success with Sainsbury’s, Morrison’s and Ocado.
WHAT ARE THE GROUPE’S BRANDS? The business includes the St Pierre, Baker Street and Paul Hollywood bakery brands in its portfolio.
WITH MAJOR SUCCESS IN THE MULTS, HOW IS THE BUSINESS PERFORMING IN THE WHOLESALE CHANNEL? In overall wholesale, the story is equally upbeat, with figures up 51% YOY amidst a category in decline by 18%. Wholesale figures for retail tell an even more impressive story, up 66% on 2019. The business has grown the presence of its brands with major players including Booker over the past 12 months, but has also maintained its stronghold with convenience and independent retailers, thanks to partnerships with distributors including Van Sales Direct.
WHAT WAS THE SECRET TO YOUR SUCCESS IN 2020? Our success is a result of staying agile, despite all the challenges 2020 threw at us, and being able to launch new products that responded to changing customer needs. This
included new additions to our morning goods for St Pierre, to take advantage of the huge boost in take-home coffee sales and decline in in-store bakery and new catering-specific products for Baker Street, which helped save money for operators thanks to the extended-life, ambient proposition.
AND YOU EVEN MANAGED TO GROW FOODSERVICE SALES? Yes, perhaps our most commendable success has been the continued expansion of the business’s food service sector. For many businesses, the pandemic led to a drop in foodservice sales, thanks to 10 months of intermittent lockdowns which brought with them the closure of many of Scotland’s food outlets. However, St Pierre Groupe bucked the trend in this area, with wholesale sales in food service increasing by 25%.
THAT’S AS IMPRESSIVE AS IT IS SURPRISING... We took the pandemic as an opportunity to work alongside our foodservice partners, strengthening our relationships with Monterey Jack’s and launching a co-branded TV campaign in one of the most challenging years hospitality has ever faced.
SO YOU ENTER 2021 POSITIVELY? Being able to maintain growth, whilst supporting our partners in retail, wholesale and food service when it mattered most was a real achievement for St Pierre Groupe and we’re heading into 2021 with renewed energy and excitement about how our brands can deliver more for our customers in Scotland. As well as significant growth in 2020, St Pierre Groupe also sponsored the Retailer of the Year Award with Scottish Local Retailer and committed marketing spend to bolster business for Van Sales Direct and Monterey Jack’s. In addition, the business won ‘Exporter of the Year’ at the 2020 Grocer Gold Awards and increased its company headcount by 50%, securing its place on the Sunday Times International Track 200 for the fifth year running.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 25
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WHAT CAN RETAILERS EXPECT FROM 2021? JULIAN FISHER, CEO, JISP
WHAT DOES 2021 HAVE IN STORE FOR RETAILERS? TRYING TO PREDICT WHAT 2021 WILL LOOK LIKE FOR RETAILERS IS A TOUGH ASK, BUT IT’S A CHALLENGE THAT JISP CEO JULIAN FISHER IS UP FOR AS HE GETS HIS CRYSTAL BALL OUT FOR THE WEEK IN RETAIL.
WHAT CAN RETAILERS EXPECT FOR 2021, JULIAN? If 2020 is any guide, retailers can expect more disruption and uncertainty. What might have been considered a gentle shift from the High Street to online became an avalanche in the last quarter. With Black Friday turning into Black ‘whole of November’ and Cyber Monday becoming Cyber ‘every day-of-the-week’ the question nobody has asked is whether shoppers will have any confidence returning to bricks and mortar retailers. It’s a tricky question because, of course they will. However, it will be different with newer, faster and slicker brands moving into the positions once held by the long standing, unmoving and arrogant brands of old. 2021 will be the year that brands listen to their customers, adopt and master communication on their level and adapt to the pace needed to survive.
HOW WILL COVID-19 AFFECT RETAILERS IN 2021? The Covid effect has already been felt. Cruelly, those who have survived may yet tumble in the new year. The high street adjustment is not finished and, until the virus is defeated, we may yet face changes of a kind we could have never forecast and would not have dared to imagine possible. As more businesses move online, competition will deepen. Customers will see some benefits and a
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 27
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WHAT CAN RETAILERS EXPECT FROM 2021? JULIAN FISHER, CEO, JISP
narrowing of those ‘in charge’ – the gatekeepers of devices and marketplaces – will thrive where boundaries might be beyond any control. An indirect consequence of Covid on retail will be defined by a precious few, not by consumers and certainly not by retailers.
WILL THE VACCINE ROLL-OUT AFFECT HOW RETAILERS TRADE? Today retailers trade ‘with permission,’ when tiers and lockdowns are relaxed. The only difference to trade will be when the vaccine removes the fear of infection allowing barriers, one-way directions, masks and quantity limitations to be removed. When the numbers of those vaccinated reach into the many millions the first effect will be on levels of confidence, and this alone will be the most notable.
IS EXPERIENTIAL RETAIL A THING OF THE PAST, THEN? No. It will eventually come to define how and why we love to shop. In the decade that should have seen ‘experiential’ flourish, the shopping centre has been hard hit but remains the host. And centres will recover, even if it takes several years. One thing, above all else, has been apparent during this pandemic – we are naturally drawn to be together and to share – the hallmarks of experiential retail.
HOW WILL BREXIT AFFECT RETAILERS? For the most part, not much. Whilst we are led to believe that costs will go up and some supplies will face additional bureaucracy, and perhaps some delays, the most immediate effects will be felt, absorbed and ‘normalised’ within six months. This, like many other ‘new’ norms are quickly adjusted to and will become the familiar ways we do business day to day.
HOW WILL THE REMOVAL OF TAXFREE SHOPPING FOR INTERNATIONAL TRAVELLERS IN THE UK AFFECT RETAIL? People, especially tourists, buy goods because they want them, need them or simply because they can. Tax-free
shopping was always a nice-to-have, not a necessity and certainly not the driver of retail sales.
WILL RETAILERS BECOME MAJORITY ONLINE BASED? There is clearly scope for many more online-only retailers than high-street-based ones. In 2019 many online retailers saw the only chance to grow their business was to open up a physical store, and the trend was expected to grow in 2020 until Covid struck. The correct response to the question is to ask another: where do retailers want to meet their customers? And since a ‘customer’ is the same person whether they shop online or visit the retailer’s shop, the answer is to have a unified approach and be ubiquitous. Exactly what Jisp was created to deliver when it was introduced to retailers in 2015 – long before anyone realised that omni-channel defined the approach that would slowly but surely kill high street retailers.
WHAT WILL HAPPEN TO LOCAL RETAILERS IN 2021? Making a success of retail is incredibly hard at the best of times, something we haven’t seen in several years. Small, local businesses were once best placed to survive, knowing their market, serving niches and addressing local needs. The cry in 2020 has been to support local, and we have seen many convenience stores delivering in lockdown to people stuck at home, where bigger supermarkets failed to. In 2021 we will see fewer small stores but what I predict is more collaborations – small businesses sharing the same space to afford its rent and rates and, more importantly, its customers.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 29
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WALKERS AND KFC UNITE FOR MAX SALES Walkers and KFC are partnering to launch two new signature flavours of Walkers crisps that are set to be a huge hit with shoppers over the coming months. Two of the biggest brands in the business – Walkers and KFC – have united to help kickstart 2021 with the launch of two new co-branded signature flavours of Walkers crisps: Walkers MAX Kentucky Fried Chicken and Walkers MAX Double Crunch Zinger. To celebrate the launch of its partnership with the iconic fried chicken aficionados, Walkers is running an on-pack promo on both flavours offering consumers a 2-for-1 KFC Meal with every pack. The packs will be available in a range of sizes from 50g grab bags to 140g sharing bags, as well as in multipacks and will start appearing on-shelf from today with a huge scale marketing campaign to follow in February. KFC has apparently dug into its famously secretive recipe book to ensure that the two new flavours perfectly replicate the taste of its fried chicken KFC meals… in a crisp. The new flavours will be available all year round. Q Walkers MAX Kentucky Fried Chicken: Walkers classic ridged MAX crisp with the signature flavour of KFC Kentucky Fried Chicken Q Walkers MAX Double Crunch Zinger: Walkers newest, deep-ridged MAX Double Crunch crisp (2x crunch of MAX) with the hot and spicy KFC Zinger flavour Katherine Cook, Walkers MAX Senior Brand Manager at PepsiCo, says: “Our shoppers are all-in, they want bold flavour and excellent value – and they don’t want compromise. The new Walkers MAX x KFC flavours offer the ultimate fulfilling snack, delivering the epic KFC signature taste that people know and love, with the familiar and satisfying crunch of Walkers MAX.” The on-pack promo will operate for both takeaway / drive-thru purchases currently as well as for dine-in purchases when restaurants re-open in the future. Pack formats across both lines comprise: Q 50g Grab bags (85p RSP) Q 70g and 65g Price Marked Packs (£1 RSP) Q 140g Sharing bags (£1.99 RSP) Q 6 packs (£1.70 RSP)
2-FOR-1 KFC MEAL OFFER WITH EVERY PACK
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 31
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MARS FAVOURITES GO LOW CAL Mars Wrigley is launching 100kcal or less variants of its massively popular Mars, Snickers and Twix lines – but made to the same recipe. For shoppers keen to keep a closer eye on their calorie intake but still enjoy the occasional treat, Mars Wrigley has extended its range with the launch of a new range of Mars, Snickers and Twix bars with a reduced portion size which means all three lines are only 100kcal or less. Additionally, the lines also have a reduced RSP of just 40p per bar. The new lines hit the shelves this week with the new bars retaining the exact same recipes that consumers know and love but at a reduced size. With many manufacturers choosing to reformulate their products, Mars cites research which says that more than two-thirds of shoppers would rather have less of a favourite chocolate than a larger amount of low-sugar chocolate. Kerry Kavanaugh, Mars Wrigley Marketing Director, says: “Our new 100 calorie format gives consumers their favourite brands’ original recipes but in a size that is a meaningful snacking choice. This new range is for consumers who want a sweet treat but in a smaller portion size.” RSPs: Q Single Bar – 40p Q Multipacks – £2.79
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 33
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NEW LOOK BEEFEATER
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London dry gin Beefeater has
Cheese brand Président is
Scottish brand McIntosh of
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Channel 4 show Come Dine
a new augmented reality
the current bottle, including
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WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 35
Two Iconic Brands Back Together Ready to go the distance? Contact your local Area Manager
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NPD AND MEDIA
PICKS OF THE WEEK TO GET YOUR PRODUCT LISTED PLEASE CONTACT RAITKEN@55NORTH.COM
QUAVERS GOES RETRO
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Quavers is bringing back
Quorn Foods has launched a
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WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 37
Create shelf edge labels quickly & easily with PayPoint One EPoS Printing shelf edge labels in-store could not be easier! • Simply scan products through the PayPoint One Stock Manager app • Send your newly created lists to print via the PayPoint One EPoS • Create ad hoc lists as you walk around your store or remotely for new products and updates The labels will bring to life your shelf edges engaging customers with information they need about products in your store
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UNSUNG HEROES
SPAR SCOTLAND MEDIA CAMPAIGN
SPAR RECOGNISES ITS UNSUNG HEROES
S
SPAR SCOTLAND LATEST MEDIA CAMPAIGN CELEBRATES ITS STAFF WHO HAVE GONE ABOVE AND BEYOND TO SUPPORT THE BUSINESS DURING THE PANDEMIC.
par Scotland is sharing behind the scenes stories of staff who have been instrumental in supporting the business and communities through Scotland during the pandemic. The campaign rolls out through Spar Scotland’s social media channels and website this month and recognises the vital role that the company’s unsung heroes have played on the front line, helping people to adapt and respond to the coronavirus crisis while also having to adapt to different circumstances and ways of working themselves. Colin McLean, CEO of Spar Scotland, said: “We have a number of individuals who have gone above and beyond to support our business during the coronavirus crisis, working tirelessly to ensure people can work remotely for the first time, or field questions from colleagues concerned about their health, delivering supplies all over the country or serving customers in Spar stores.
“We wanted to launch a new campaign to recognise the hard work and commitment of our people and take some of our key workers and bring them to the forefront so our customers could also see the people behind the brand. “The coronavirus outbreak is challenging every organisation, forcing us to rapidly adapt and rethink priorities. But it is also giving us a sense of purpose and belonging. The crisis has reminded us how much we all rely on the work of others – be it retail staff, delivery drivers, administration staff, all of whom are risking their lives to keep the rest of us fed, healthy and safe. “These challenging times seem to be bringing out the best in our people and I want to say a big ‘thank you’ to our hardworking team. This crisis is a huge test for business agility, and it will bring a new meaning to the idea of ‘team work’ that we have supported for so long.”
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 39
SUPPORTING GROCERY COLLEAGUES The GroceryAid Covid-19 Fund is designed to help colleagues who need support now and throughout the full impact of the pandemic. Grocery colleagues have access to:
“Amid the huge challenge of Covid-19 our trade has done a great job of keeping the nation fed. GroceryAid has raised a special Covid-19 fund to help our industry colleagues at this time of need. The 24/7 Helpline will deal with concerns and assist with financial stress caused by this terrible virus.” - Charles Wilson, GroceryAid President
Mental Health Support Offering ‘in the moment’ emotional and practical support for colleagues dealing with shock, anxiety and stress through BACP trained counsellors, our Health and Wellbeing portal and Woebot, our AI Robot App. Bereavement Financial Assistance Providing financial assistance for the loss of a loved one through Covid-19. Available to colleagues who lose a partner or the immediate family of a colleague who has passed away as a result of Covid-19 whilst working in our industry. Crisis Grants Non-repayable grants, designed to help with financial emergencies. This is available for colleagues experiencing unexpected financial difficulties due to Covid-19 with a year’s industry service.
GroceryAid Helpline: 08088 021 122 Visit: www.groceryaid.org.uk Follow us:
NOW THAT’S A GOOD IDEA…
OUT THE BOX WALKERS RETAILER COMPETITION
WIN YOUR UTILITY BILLS PAID FOR A YEAR! WALKERS IS LAUNCHING A NEW COMPETITION WITH BESTWAY OFFERING RETAILERS THE CHANCE TO HAVE THEIR UTILITY BILLS PAID FOR A YEAR – AND ALL THEY HAVE DO TO IS BUY THE NATION’S MOST POPULAR CRISPS!
THAT’S IT? That’s it. And alongside the main prize are 13 other great prizes.
IS IT LIVE NOW? Yes, it went live this week and it runs right through until the end of March.
IS IT OPEN TO ALL BESTWAY CUSTOMERS? Anyone who shops in Bestway is eligible to enter.
WHAT’S THE BIG IDEA? Walkers has hooked up with Bestway to offer the wholesaler’s customers the chance to win their utility bills paid for a year.
DID WALKERS NOT ALREADY DO A BIG PROMO WITH BESTWAY? Yes, this year they handed over the keys to a brand new van to a Bestway customer in a similar competition. The project was so successful in terms of driving awareness and sales that Walkers and Bestway are doing it all over again with a new mechanic and prize.
HOW DOES IT WORK? Pretty simple. Buy any case of product from the Walkers Hero 20 range or any of its latest NPD and get an entry. The more entries you get, the more chances you have of being the lucky winner with the top prize being your utility bills paid for a year.
WHAT ARE WALKERS SAYING? PepsiCo Wholesale Trading Director Matt Goddard told The Week In Retail: “It’s been a tough, tough year for local retailers and we were looking for a way to help ease the strain for them a little. Utility bills are a significant cost to all retailers, so we figured that by removing that concern for a lucky retailer, we could help them enjoy a more profitable and enjoyable 2021. It’s that simple. “Our previous competition with Bestway which saw us give away a van worked exceptionally well. We saw enormous engagement levels on social media and it really captured the imagination of retailers across the UK because it was a real, easy to understand, relevant competition – so we thought we would go again in 2021 – but we wanted to freshen it up and I think we’ve hit upon another great competition that will be popular with local retailers. We’ve also expanded the range of products that are included in the competition, which makes it even easier for retailers to earn entries and increase their chances of being among the winners.”
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 41
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BEFORE YOU GO
RETAIL RANDOMS BALLET BEFORE VEGETABLES / ASPARAMANCY
ALBERT BALLET: TATTIES AND TIGHTS You’re probably all familiar with Albert Bartlett spuds and you’re also probably aware of ballet, at least loosely – but we have the greatest confidence that you’ve never seen the two together. This is a story we’ve covered before... but now we have the video. To cut a very long story mercifully short, it goes a little something like this: Albert Bartlett, for reasons best known to themselves, employs Royal Ballet first soloist Reece Clarke as a brand ambassador. Unlikely as it seems, the company
and the ambassador decided it would be a right laugh to perform a ballet in an Albert Bartlett factory in Jersey. That’s pretty much all you need to know. Ladies and gentlemen, we give you... Tchaikovsky’s The Sleeping Beauty as you’ve never seen it before.
2021 PREDICTIONS... FROM AN ‘ASPARAMANCER’ January is a great time to unveil your list of predictions for the forthcoming year, so we thought you’d be keen to hear from Jemima Packington who is, according to the press release, a “world famous asparamancer and international TV celebrity”. We’re sure you already know what an asparamancer is but just in case... an asparamancer apparently throws spears of asparagus onto a table and analyses the way they land to predict the future. Probably as sensible a way to predict the future as any other at the moment, to be fair. Just to be clear, these predictions were made using Vale of Evesham asparagus spears.
1. The vaccines will bring a return to the new normal by June 2021. 2. Prince Harry will return to the UK on his own in March when he will be advised there will not be an extension to his current terms. 3. The Queen will make an important announcement in June including at least two Royal divorces.
4. Trump will be disowned by GOP members. 5. The world’s population will become kinder and more tolerant. 6. Big salaries for star sportsmen and the obsession with celebrities will become things of the past. 7. Foreign travel will become an occasional option rather than the annual norm. 8. Extremes of weather will continue. 9. There will be no second Scottish referendum. 10. Vale of Evesham asparagus will continue to be recognised as the world’s best and Gus will become a popular name for baby boys born in 2021.
WEDNESDAY 13TH JANUARY 2021 / ISSUE 38 / SLRMAG.CO.UK / 43
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