SLR August 2019 by 55 North

PETER STEEL

GroceryAid Scotland rebooted

AUGUST 2019 | ISSUE 196

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SLR REWARDS

Harris Aslam and Mo Razzaq in profile

HEALTHY BOOST CJ Lang trials boost Healthy Living Scotland

MUP CONUNDRUM Sales up as volume falls

JUUL TAKES TOP SPOT

US giant tops closed system league

SMARTER, NOT HARDER

The UK’s only full-scale festival of tech, data and innovation exclusively for the convenience sector returns to Glasgow next month – be there!

Email events@55north.com to reserve your place at #ThinkSmart3

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August 2019

Contents

Contents ISSUE 196

NEWS p4

Appointments Former Nisa boss Nick Read pops up at the Post Office. p5 Wholesalers JW Filshill launches a new click-and-collect service for its cash and carry customers. p6 Retailers Stenhousemuir store claims a social media first with its Facebook page. p7 Vaping US newcomer Juul pushes its way to the front of the closed vaping sub-category. p8 News Extra Minimum Unit Pricing Scots are spending more on booze despite a fall in volume sales. p14 Product News Mondelez starts the countdown to Christmas with a mountain of NPD. p16 Off-Trade News Malibu moves closer to 18 to 24-year-olds as TWE unleashes a Squealing Pig. p18 Newstrade Menzies urged to follow automatic late delivery compensation ‘game-changer’.

INSIDE BUSINESS p19 Research Digest A round-up of the latest surveys that impact the convenience channel. p20 GroceryAid Scotland Reboot A new management committee is headed by industry veterans Peter Steel and Jim Harper. p22 SLR Rewards Harris Aslam’s Greens of Markinch store won our Soft Drinks Retailer of the Year award. Here’s why. p24 SLR Rewards Discover what Blantyre Family Shopper retailer Mo Razzaq did to pick up the 2019 ThinkSmart Innovation award. p26 Healthy Living Spar Scotland trials the Healthy Living Programme’s new and improved in-store display stands. p28 Hotlines The Dutch consume eight cups of Chocomel every second, which goes some way to explaining its UK launch. p46 Under The Counter The Auld Yin manages to get David Beckham mixed-up with Davie Dodds. It’s easily done. FEATURES p30 Back To School It’s the time of year when parents rejoice, but there’s also plenty for retailers to cheer about. p32 Chocolate Confectionery We look at some of the chocolate innovations helping to set retailers’ tills ringing. p34 Low Sugar What does the soft drinks category’s low and no sugar revolution mean for retailers? p36 Fascia Guide We consider the best options for retailers thinking about signing up to symbol group. p42 Tea Is it time for a fresh look at what stubbornly remains the nation’s favourite hot drink? p44 Henderson Technology Installing Henderson’s awardwinning EPoS system has given Westhill Service Station unrivalled insight and control of its operations.

ON THE COVER p12 #ThinkSmart3 Is the local retailing sector at risk of being left behind in the technology and data battle?

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AUGUST 2019 | SLR

News POST OFFICE Hiring of symbol group veteran encouraging sign for convenience

Pay up or stay locked up, illicit tobacco trader told A Sheffield retailer currently serving a three-year sentence for selling illegal cigarettes has been told to repay £494,296 within three months or spend a further four-and-a-half years behind bars – and still owe the money. Serial offender Karim Heabah was busted on numerous occasions by HMRC over a five-year period. Officers even uncovered illicit tobacco in his store just days before he was banged up.

Plastic-free produce gets frosty reception from Iceland customers Supermarket chain Iceland has reintroduced plastic bags for its bananas after it started selling them wrapped in a paper band. Iceland remains committed to

Ex-Nisa boss Nick Read gets PO’s stamp of approval The Post Office has named former Nisa boss Nick Read as its new Group Chief Executive. The appointment could be seen as a sign that the Post Office is starting to take the convenience channel more seriously. Read will join the business in September. After his Nisa stint, he became CEO of Extra Energy. He has also held senior roles at Tesco, Thomas Cook, Vodafone, HBOS and Lloyds Banking Group. Under Read, Nisa went from losing £3m one year to making over £7m the next. Despite the dramatic turnaround in fortunes, some retailers were unhappy with the

Nick Read. former military man’s handling of the company. Post Office Chairman Tim Parker said: “Nick brings to the Post Office a wealth of experience from a range of sectors, including convenience retail, banking, and travel, with a

strong track record of commercial success and a reputation for always putting customers first.” Nick Read commented: “I am really looking forward to working with everyone involved in the business and in particular the thousands of postmasters around the country who are its lifeblood. “I am determined that together we will ensure that Post Offices thrive as successful businesses wherever they are. “It is a privilege to have the opportunity to lead the business towards a sustainable future, meeting the commercial challenges of a rapidly changing world.”

plastic-free packaging on all its own-label goods by 2023 and

LOTTERY Camelot rolls out raft of new features

FORECOURTS

is set to launch new plastic-free

New and improved lottery retailer hub launched

Henderson partners with EdgePetrol

Camelot has unveiled an updated version of its National Lottery retailer hub. With a host of new features, the site offers an array of information and tools. It has also been optimised for mobile, allowing access to current POS, National Lottery news, information and training guides anytime, anywhere. In addition to improved user experience and functionality, new features include a multi-store retailer tool. This enables retailers who have more than one store to centralise them all with one login and password giving access to a single rewards account and Mastercard. Other additions include a new notification function, which instantly alerts retailers to any newly available information using a notification bell in the top right-hand corner of the site. The new hub also offers more ways to get in touch with Camelot. Retailers can now select the new customer service self-serve tool to have a wide variety of questions answered immediately, and a ‘Help’ section lets users perform numerous

EPoS supplier Henderson Technology has announced a partnership with EdgePetrol, a specialist in real-time data for fuel forecourts. Darren Nickels, Head of Henderson Technology, said: “Bringing together EDGEPoS and EdgePetrol is a perfect solution for keeping EDGEPoS at the forefront of forecourt retail technology and adding an additional service for our fuel forecourt customers across the whole of the UK.” EdgePetrol has launched a special offer for forecourt owners, which lets them access EdgePetrol for three months with no commitment. Retailers can sign up at edgepetrol.com/getstarted. Henderson is Northern Ireland’s largest EPoS provider and plans to expand across the UK and Australia. Its EDGEPoS solution was recently installed into Westhill Service Station, Aberdeen.

banana packaging. A threemonth-long plastic-free grocery trial at an Iceland store in Liverpool saw sales drop 20%

Ex-PM Major ﬂags up lottery danger Former Prime Minister John Major has called on MPs to address the threat to the National Lottery from smaller rival draws like the Health Lottery. He said diverting money from Camelot’s draw would cause “immense” loss to local communities and amenities. Major, who played a key role in getting the National Lottery off the ground, was speaking at an event to mark its 25th anniversary.

Scots alcohol sales at their lowest in 25 years The volume of alcohol sold per adult in Scotland in 2018 was the lowest amount recorded since 1994, according to new figures. One year on from the introduction of Minimum Unit Pricing, the NHS Health Scotland Monitoring and Evaluating Scotland’s Alcohol Strategy recorded a 3% drop in the figure to 9.9 litres compared to the year

tasks, including ordering a new card and updating details. Further updates are planned for the site. Camelot’s Retail Director, Jenny Blogg, commented: “Our retailers are essential to the continued success of The National Lottery and we’re always looking for ways to improve their overall experience with us. We hope they like the new retailer hub, which we’ve developed in response to their feedback, and benefit from its improved capabilities.” The new retailer hub can be found at www.tnlretailerhub.co.uk. Once retailers have signed up, they will be able to access their personalised dashboard.

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News WHOLESALERS Filshill meets ‘rising customer expectations’

Filshill launches new ‘click and collect’ service Wholesaler JW Filshill is moving to a click and collect ordering model for its cash and carry customers. Customers who place their orders online before 2.30pm can collect them from the depot the same day, Monday to Friday including bank holidays. Orders can be made 24 hours a day at filshill.co.uk. Currently, orders made after 2.30pm are available for next-day collection apart from Thursday when the cut-off time is 4.30pm for sameday collection as the depot is open until 7pm. Customers ordering on Saturdays and Sundays have a cutoff time of 10.30am for same-day collection – the depot is open until 12 noon both days.

Covering all the options: Filshill’s Craig Brown. All customers who place an online order for click and collect will receive a confirmation acknowledgement email with a second email that states when the order is ready for collection.

Filshill is also creating a click and collect lounge so customers can enjoy a coffee while they wait for their orders. This will be up and running soon. “With new technology comes rising customer expectations,” explained Craig Brown, Filshill’s Retail Sales Director. “It’s about covering all the options and while we will continue to offer the option of ordering via our telesales team, EPoS, sales representatives and email, we are seeing growing numbers of customers choosing to order online or via the Filshill app.” Filshill recently announced plans to relocate to a brand new, purposebuilt distribution centre at Westway Park, near Glasgow Airport.

New online manual handling, ﬁrst aid and GDPR courses for retailers Sursite Group’s trio of self-study modules are suitable for all c-store employees, from new recruits to experienced members of staff. Each interactive course offers the option to stop and start when required. Modules can be completed on any internet-enabled device. Courses cost £25 + VAT per trainee. Certificates can be downloaded upon successful completion.

Sainsbury’s takes sustainability step Sainsbury’s is to remove all hard-to-recycle black plastic trays from its chilled ready meals by the end of the year. They will be replaced by trays made from CPET, which is more easily detected at recycling facilities. The move – which will save over 1,000 tonnes of plastic going

WHOLESALERS Women in Wholesale roster revealed

to landfill every year – follows

WiW announces conference speakers

a similar announcement from

Organisers of the educational Glover of Carol Glover Coaching, networking initiative Women in who was voted top speaker at Wholesale (WiW) have announced WiW’s Speed 2019 event by 61% the speakers for this year’s annual of attendees. She will discuss time conference, which will be held management. under the theme of ‘Progress to Afternoon speakers will support Success’. individual progress delving into The event takes place on topics like resilience, and how to Thursday 10 October at 1 Wimpole tackle imposter syndrome. Street, London. A ‘How to be Brilliant’ panel will Last year’s event was a great success. Keynote presenter Neil Bellamy, showcase award-winning talent, Head of Tech for NatWest, will reveal how the bank has with speakers from Bidfood, JJ Foodservice, KP Snacks transformed its workspace using technology and interior and Caterforce sharing tips that have helped them thrive design to support ﬂexible and remote working – helping in their careers. to attract the best people. Women in Wholesale is for male managers and Other speakers include Costco’s HR manager women of all levels. Tickets cost £200 + VAT. Register at Dominic Flanagan, 443’s Founder Jason Finch and Carol newerapr.co.uk/events/wiw-conference-2019/.

Nestle Waters on lookout for ‘up & coming’ convenience retailers

Waitrose.

This competition is for any convenience retailer who has “shown resilience, commitment and dedication to the Bottled Water category, sustainability or their local community. The prize includes a weekend for two in the Peak District and £200-worth of free stock. Visit buxtonwater. co.uk/terms-and-conditions for more information.

ILLICIT TRADE Burst parcel leads to conviction

Society needs volunteers for

Payback time for dodgy tobacco seller

the 2019 Great British Beach

A 58-year-old Bo’ness woman has been ordered to do 75 hours of unpaid work after she was caught selling illicit tobacco from her home. Linda Robb received the dodgy goods through the post. HMRC launched an investigation after a damaged parcel containing

only takes a couple of hours

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7.5kg of tobacco and addressed to her was intercepted. This included 2.5kg of Robin Hood tobacco, a brand not sold in the UK. A May 2018 search of her home uncovered more tobacco and cigarettes which had unpaid duty totalling £3,709.76.

Tests revealed much of the tobacco to be counterfeit. A spokesperson for HMRC said: “Robb sold illegal cigarettes and tobacco to line her own pockets, while undercutting honest, hardworking retailers who do the right thing.”

Clean (20 to 23 September). Cleaning and surveying a beach at most. Sign up at mcsuk. org/greatbritishbeachclean. If you can’t find an event on your preferred beach, call 01989 566017 and find out how to organise your own.

AUGUST 2019 | SLR

News RETAILERS Facebook first for ﬂedgling store

Green group forecasts huge litter drop post DRS Zero Waste Scotland has predicted the forthcoming deposit return scheme (DRS) will reduce the nation’s litter by 90%. The environmental group reckons Scots get through 694 million plastic bottles every year, with 12.5 million of these carelessly chucked by litterbugs. It reckons DRS will mean over 11 million of these will get recycled instead – a reduction of around 31,000 every day.

Westminster signals energy drinks u-16 ban The UK government has said it will end the sale of energy drinks to under-16-year olds in England. The announcement was made in a green paper published by Health Secretary Matt Hancock. The green paper also revealed

Stenhousemuir store hits social media milestone Husband and wife retailing team Jawad and Asiyah Javed are celebrating after their Day Today express store in Stenhousemuir chalked up over 10,000 likes for its Facebook page. The achievement, which Asiyah said was a first for a local shop, is all the more remarkable given that the store only recently celebrated its second birthday. Jawad and Asiyah cannily tapped into Scotland’s ongoing love affair with original recipe full sugar IrnBru, and stockpiled cans before AG Barr withdrew it from the market. A continual barrage of Facebook posts about their hoard ensures thirsty punters all over the country spread

the word in a bid to win some muchcoveted Bru. The social media wizards marked the milestone by giving customers free kebabs and chips, washed down with complimentary slush.

Asiyah said the store, which was shortlisted in the Confectionery Retailer of the Year category in this year’s SLR Rewards, had seen increased footfall as a result of the online marketing activity.

Westminster plans to extend the soft drinks tax to “sugary milk

CHARITY Sore legs but smiles all round after fundraising effort

APPOINTMENTS

drinks” if “the evidence shows

GroceryAid cyclists raise £60k on epic Welsh ride

Scotmid hires Local Food Sourcer

industry has not made enough progress on reducing sugar”.

Doorless fridge ban petition gathers steam A petition on the parliament website to “ban energy-wasting open fridges and freezers in all retail outlets” has been signed by over 21,000 people. It states: “If all supermarkets had doors on their fridges and freezers it would save energy the equivalent of the entire residential population of Poland.” The government will consider the issue for debate in Parliament if the petition hits the 100,000 mark before 14 December.

Cow’s milk usage dries up A Mintel study has revealed that the younger generation is turning its back on cow’s milk. Use among 16 to 24-year-olds fell to 73% in 2019, with kids citing health concerns and the environmental impact of dairy farming for the drop. The white stuff is most popular with the over-45s, with over nine in 10 (92%) using it. The survey also found increasing popularity for

Sixty industry colleagues completed this year’s GroceryAid Welsh Coast to Coast Cycle, raising over £60,000 for the charity in the process. The 348km course from north to south Wales was completed in three days, with the riders rolling into Cardiff on 13 July. By the end of the journey each cyclist had clocked up a staggering 5,000m of climbs. The wholesale and convenience sectors were well represented with Bestway boss Dawood Pervez and OneStop MD Jonny McQuarrie among those taking part.

Booker Commercial Director Andrew Thompson said it was a “fantastic Coast to Coast event” that was “as always, quite brilliantly organised”. The sum raised from the event, which was sponsored by Coca-Cola European Partners, will allow the charity to provide 70 crisis grants for working colleagues. You can contribute to the riders’ fundraising page at bit.ly/2H4eKdo. The Coast to Coast Cycle will return in 2020. Register your interest by emailing events@groceryaid.org. uk or by calling 01252 875925.

Kirsty George has joined Scotmid Co-operative as Local Food Sourcing Manager. George will work closely with store managers to rationalise store ranges to ensure local store offers reflect the needs of customers, and review store supply chains so new products find a quicker route to market. She joins the Scotmid team from Luss Smokehouse where, as General Manager, she played a key role in the growth of the business. Prior to this, the Edinburgh Uni Business School graduate worked with Scotland Food and Drink on its ‘Ambition 2030’ strategy. Kirsty George commented: “I feel really passionate about championing Scottish produce, delivering exciting NPD and being first to market with new ideas and concepts. This will mean being fleet of foot and ensuring our supply chain is as efficient as possible.”

non-dairy alternatives. KEEP UP WITH THE LATEST NEWS AS IT HAPPENS – FOLLOW US ON TWITTER @SLRMAG

SLR | AUGUST 2019

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News VAPING US newcomer pushes its way to the front

JUUL claims top spot in closed vaping sector The latest data from IRI for August has revealed that JUUL has become the number one closed vaping brand after just eight months in the UK market. Launched in traditional retail in November with Sainsbury’s, the brand then secured listings in a number of retailers and now has a 6.8% share of the total vaping market in traditional retail and 36.8% of sales of the top four closed pod systems (JUUL, myBlu, Vype Epen3 and Logic Compact). John Patterson, Sales Director for JUUL Labs, commented: “Closed pod systems now account for almost 20% of the total vaping market in

John Patterson. traditional retail and they continue to be the main driving force behind the category with over 12% like-for-

like sales growth in the past month alone. “This follows continuous growth since the beginning of the year while open system sales actually fell by over 2% in August.” JUUL says it is driving the growth with a 27% uplift in August sales compared to May and believes that it is the only major pod brand to have achieved double-digit sales growth every month this year. The US-based company has recently embarked on an extensive consumer advertising campaign featuring real-life JUUL users who have successfully made the transition from combustible cigarettes.

Tony Holmes and Bestway Wholesale part company Tony Holmes has left his post as Bestway Wholesale’s Retail Director after only six months in the job “to pursue new challenges”. He was responsible for the Best-one symbol group’s retail sales proposition, retail multiple accounts and Bestpets. His departure is part of a wider management shake-up that also sees two other Directors – Carolyn McMenemie and Edward Smeaton – leave the business.

Machete thugs menace Edinburgh retailer Four robbers – one armed with a machete – held up an Edinburgh c-store last month. Police described the Saturday night attack (6 July) in Biggar Road as a “very frightening ordeal” for the 54-year-old retailer who was

PAYMENT SERVICES

MultiPay ‘key’ to PayPoint’s future PayPoint delivered “a good financial and operating performance” during the first quarter of 2019, according to its CEO Patrick Headon. Commenting on PayPoint’s trading update for the three months ended 30 August 2019, Headon also said its MultiPay platform and eMoney services were key to driving future growth and profits. These grew 38.5% and 16.3% respectively over Q1, helping to push PayPoint’s UK bill payments net revenue up 7.5%. Overall, group net revenue increased by £1.0m (3.6%) to £28.7m. Service fees increased by £700,000 (30.7%) driven by the roll out of PayPoint One to 13,633 sites at 30 August 2019 and a 2.8% improvement in the average weekly service fee. The company is on track to reach its year-end target of 15,800 PayPoint One installations.

TRADING Miller optimistic despite profits slump

thankfully uninjured. The bandits

McColl’s making progress but more to do, says boss

made off with a four-figure sum

McColl’s still has more work to do to stabilise its business, according to Chief Executive Jonathan Miller. Commenting on the retailer’s half-year results (26 weeks to 26 May 2019), Miller said McColl’s had made “good progress” in H1 following a challenging 2018, when the business struggled in the wake of supplier Palmer & Harvey’s collapse. He expected full-year results to be “broadly in line with expectations”. His prediction came despite a highly competitive market with challenging trading conditions, which Miller ascribed to the usual fall guys of bad weather and an uncertain economic climate. Total half-year revenue crept up 0.1% to £611.1m while like-for-like sales grew 1.0%, reversing a 1.4% drop across the whole of 2018. This was despite sales falling in May, as the UK experienced a prolonged period of poor weather compared to the start of last year’s long hot summer. Profit before tax was £0.2m, considerably lower than 2018’s £2.3m, and took a hit from a

of cash and some cigarettes. They are described as being of South Asian appearance and spoke with English accents.

General Mills helps parents General Mills, owner of the Old El Paso and Nature Valley brands, has announced that employees – regardless of gender, type of relationship, or how they became parents – will now be eligible for 26 weeks of paid leave and will

Jonathan Miller.

retain pension contributions for the entirety of their leave. The

decrease in gross margin which fell to 25.4% from 26.1% last year. Margin was down principally as a result of higher cost prices following the transition to a new wholesale supply contract. It was also affected by the diluting effect of a stronger tobacco mix and softer sales of higher margin impulse lines, driven by the poor weather. Investment in the McColl’s estate continued, with three new convenience stores opened and a further 17 refurbished. A total of 41 underperforming newsagents and smaller c-stores were shed over the period, while a trial of the ‘Morrisons Daily’ fascia commenced at 10 stores.

company is also investing in external coaching for employees to help with the transition to parenthood, and back into the workplace.

Retailer ‘scared to death’ after drunk wrecks shop David De Montfalcon, 64, suffered a fatal heart attack after unemployed Alan Rooney, 35, trashed his shop during a boozefuelled rampage. Appearing in court, Rooney admitted culpable homicide and was remanded in custody until sentencing. De Montfalcon had a history of heart problems but pathologists said he would probably still be alive if not for the incident.

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AUGUST 2019 | SLR

News Extra

Minimum Unit Pricing

NewsExtra BACK TO SCHOOL BONANZA – P30 OFF-TRADE Government policy doesn’t stop Scots spending more on booze

Convenience Matters with the SGF As many retailers will know the Scottish government’s new ‘Best Start’ programme begins on 22 August. The scheme is designed to replace the old Healthy Start Voucher system – usage of the old system had reduced quite markedly. The new scheme is part of a much bigger policy picture: the Scottish government now has control over a wide range of key welfare benefits and is keen to take these forward in a distinctively Scottish way. Customers will now use a payment card and the overall aim is to develop an inclusive, widely used system, free of any stigma. In the development and consultation phase, SGF argued strongly that retailers should not be under any burden to police or monitor the new system. The government have agreed to this, which is good but what this means for the overall effectiveness of the policy remains to be seen – essentially customers will be free to buy anything they like. The communications campaign to raise retailer and customer awareness has been reasonably effective and the lead-in time has been realistic, based as it is on the learnings from a range of pilot projects. What all of this tell us is that retailers are absolutely central to the success and effective implementation of a whole range of government policies. The co-operation and involvement of retailers is vital but given the pressure retailers are being put under as a result of government policy in other areas – staff costs, business rates, DRS anyone? – this goodwill cannot be taken for granted.

SLR | AUGUST 2019

POST-MUP ALCOHOL SALES UP £100M DESPITE FALL IN VOLUME

Despite the Scottish Government making much of the findings that alcohol sales in Scotland have fallen to their lowest level since 1994, the amount of money spent on alcohol has risen by £100m – and Buckfast sales are up by almost a third in value.

The Scottish Government has made much political capital out of the fact that alcohol sales in Scotland have fallen to the lowest level by volume since 1994 when the current format of record-keeping began, implying along the way – without stating it outright – that the sole cause was the introduction of Minimum Unit Pricing (MUP) in May last year. The latest Kantar data however shows that the amount of money spent on alcohol by Scots has actually grown by £100m, despite the fact that they drank almost 20 million fewer litres. Sales of Buckfast have also grown by almost a third by value over the same period. On the face of it this looks like good news for local retailers, growing sales in a shrinking market but the most prominent trend unveiled by the

Kantar data is a significant shift among shoppers towards smaller products and packs to offset price rises. This is most notable among those shoppers who consume the most alcohol. The data appears to vindicate some of the concerns of those who opposed MUP on the grounds that it unfairly punished consumers with lower levels of disposable income. Despite the fall in consumption by volume, per capita consumption in Scotland remains around 9% higher than in England and Wales. With the strong possibility that England and Wales will follow Scotland down the MUP route, this gap could be increased as a staggering 42% of all alcohol sold in the off-trade in England and Wales falls below the 50p minimum unit price threshold. www.slrmag.co.uk

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Comment

IT’S TIME TO THINK SMARTER...

EDITORIAL

It’s something we’ve been banging on about for years, long before the world of retail was turned on its head by rocketing costs, draconian legislation and unfathomable levels of competition: the future is all about working both smart and hard. In the past, working harder and harder has been enough to keep the industry buoyant and positive, but those days are rapidly drawing to a close. There’s only so many hours that retailers can work when they can no longer afford to employ as many staff. There’s only so many costs that can be cut before service and quality starts to be affected. And there’s only so much mileage in offering cheaper and cheaper product to the consumer, all the while eroding margins. It becomes a death spiral. No, the future will be much more around thinking smarter. That means focusing on the parts of the business that you can control to generate more cash profit, more sales and more footfall. There are some obvious ways of doing that and many retailers are already heading down that path: differentiated stores with new USPs, food-to-go and coffee with its higher margins, more local sourcing and so on. But that will only take you part of the way towards a sustainable future. The other area where retailers must look to grow profits, cut costs and enhance the customer experience is in the exploitation and leverage of technology and data. Our long-standing USP in this sector is the unique relationship we enjoy with our customers. But that USP is under threat. Online retailers and increasingly the mults and discounters are bridging that customer relationship gap using data and technology. Amazon knows its customers far better than we do, let’s be frank. Every transaction they’ve ever made, every promotion they’ve ever bought, every email they’ve ever responded too. And the supermarkets are spending vast sums trying to emulate that. So it’s time for local retailers to take that USP back as their own – and they can only do that using technology. In its simplest form, that means relying on computers to do the spade work for us. Running a store using what’s in your head belongs to a bygone age. Integrated systems that link your EPoS to your ordering to your loyalty club to your marketing system to your promotional programme to your home delivery software to your social media platform – and ultimately to your database – is the future. That’s why I would urge you all to attend our forthcoming #ThinkSmart3 event on 25 September in Glasgow to hear some expert thoughts on how we can leverage tech and data much more profitably. The future is much closer than we think.

Publishing Director & Editor Antony Begley 0141 222 5380 | abegley@55north.com Web Editor Findlay Stein 0141 222 5389 | fstein@55north.com Editorial Contributor Karen Peattie

ADVERTISING Advertising Manager Robert Aitken 0141 222 5302 | raitken@55north.com

DESIGN Design & Digital Manager Richard Chaudhry 0141 222 5388 | rchaudhry@55north.com

EVENTS Events & Operations Manager Kirsty McDowall 0141 222 5383 | kmcdowall@55north.com

CIRCULATION & SUBSCRIPTIONS Scottish Local Retailer is distributed free to qualifying readers. For a registration card, call 0141 222 5381. Other readers August obtain copies by annual subscription at £50 (UK), £62 (Europe airmail), £99 (Worldwide airmail). 55 North Ltd, Waterloo Chambers, 19 Waterloo Street, Glasgow, G2 6AY Tel: 0141 22 22 100 Fax: 0141 22 22 177 Website: www.55north.com Twitter: www.twitter.com/slrmag DISCLAIMER The publisher cannot accept responsibility for any unsolicited material lost or damaged in the post. All text and layout is the copyright of 55 North Ltd. Nothing in this magazine may be reproduced in whole or part without the written permission of the publisher. All copyrights are recognised and used specifically for the purpose of criticism and review. Although the magazine has endevoured to ensure all information is correct at time of print, prices and availability may change. This magazine is fully independent and not affiliated in any way with the companies mentioned herein. Scottish Local Retailer is produced monthly by 55 North Ltd.

ANTONY BEGLEY, PUBLISHING DIRECTOR © 55 North Ltd. 2019 ISSN 1740-2409.

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why not buy ? shoppers do. N E W M Y B L U. H A N DY A N D E A S Y VA P I N G.

This product contains nicotine. 18+ only. Not a smoking cessation product. ÂŠ Fontem 2019. 2019

Cover Story

#ThinkSmart3

SMARTER, NOT HARDER

It’s hard not to be convinced that the local retailing sector is at risk of being left behind in the technology and data battle that is unfolding all around us – but it’s not too late to fight back. BY ANTONY BEGLEY

THIS YEAR’S VENUE This year, #ThinkSmart3 will be held at the mightily impressive and highly relevant Technology & Innovation Centre in Glasgow. Part of Strathclyde University, the purpose-built venue was created specifically to facilitate events just like #ThinkSmart3 that aim to encourage attendees to leverage the massive power of data, technology and innovation to transform and future-proof their businesses. The venue includes an amphitheatre which we will use for the main presentations and dedicated demo areas where attendees will be able to get hands-on with an array of fantastic solutions that will help them run more profitable businesses.

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#ThinkSmart3

ou don’t have to look far for examples of technology being employed to transform the customer experience both in-store and digitally and, for the smartest retailers at least, that tech is normally only the front end of a database. Every customer touchpoint – in-store, social media, websites, loyalty cards – generates important data that can be collected and harnessed in order to deliver a better, more personalised experience for every customer. And that, whether we like it it or not, is the ultimate goal: a one-to-one relationship with every single customer, based on all the information we have been able to gather about their past behaviour, transactional history and preferences. If it all sounds a little futuristic and Matrix, that’s because it is. But the reality today is that the future is approaching us far quicker than many of us may assume. Consider the case of the cause célebre, Amazon. From being a start-up business in 1994, Amazon has gone on to become a global behemoth that recently posted a $2.6bn profit for the quarter – yes, three months – that still managed to be “a disappointment” to both the company and the markets. What’s important here is that Amazon has been built on one thing and one thing only: data. All online retailers rely almost exclusively on data. Data drives everything they do. The vast majority of decisions – be they sales or be they operational – are made off the back of hard data. No gut feel, no intuition. It’s a “computer says” model and it very clearly works. And while Amazon and co have always relied on data, an increasing number of bricks-and-mortar retailers are spending enormous sums of money playing catch-up. What does all of this have to do with local retailers? To answer that, ask yourself another simple question: what are local retailing’s biggest USPs? Chances are most retailers would say location and customer relationships. We are convenient and have fantastic personal relationships with our customers. Now look ahead to two or three years in the future. Will location matter? When online and real-world retailers will be delivering product to customers’ doorsteps by drone in under 10 minutes, why bother walking to a local store? Which only leaves our unique relationship with our customers. But if we’re being honest, how important is that relationship to our shoppers? Do they value it more than price or range or quality? Some do, some don’t. But it’s getting more and more difficult to argue that we still know our shoppers

Cover Story

better than everyone else. It’s the easiest job in the world to argue that Amazon knows its customers far better than we do, certainly at a level that converts into pound notes. We may know all about Mrs Hutcheson’s angina through our regular chats with her and she may be a loyal customer, but Amazon knows far more about her than we do and almost certainly sees more of her spend than we do. They know everything she has ever spent with them – because she paid by credit card and thereby identified herself to them. They know every time she responded to an email and what she bought. They know everything she has ever searched for, even if she didn’t end up buying it. They know her sensitivity to price. They know a whole world of information about her that we as local retailers could only guess it. Ok, the point has been laboured a little but the consequences are clear: our biggest USP is being undermined by our refusal to accept that the personal relationships we enjoy with our customers are not enough to guarantee future success. Will Mrs Hutcheson still buy her milk and Tunnock’s Teacakes from us when Amazon or someone else will deliver it to her door, and probably charge less into the bargain? It’s unlikely. This threat is set to be escalated as the supermarkets and discounters get their data act together too, joining up the pieces of the jigsaw to allow them to understand their customers far, far better and give them much more of what they actually want. But what is the solution? The solution is in embracing the new world order and getting to grips with technology and data ourselves – and the sooner the better. It’s not too late to wrest the initiative back from our online and major multiple cousins. We’re still hanging on to our uniquely valuable relationship with our customers – but for how much longer? One way forward is to beat our competitors at their own game. The good news is that much of the technology that would be required to do just that is already out there, and it’s getting cheaper every day. And being small and nimble, convenience retailers can move quickly and act fast, learn and move on. And that’s exactly why we will be hosting our third annual #ThinkSmart event next month in Glasgow. #ThinkSmart3 is our contribution to encouraging retailers to embrace a technology, data and innovation-driven future – because it’s likely to be the only future there is. Love him or loathe him, retail billionaire Philip Green got one thing right when he said: “If you’re not investing in technology you’re going to get left behind.”

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AUGUST 2019 | SLR

News

Products

SOFT DRINKS

Coke kicks-off Premier promo Coca-Cola GB’s latest on-pack promotions gives football fans the chance to win tickets to see their favourite team play. In partnership with the Premier League and under the ‘Where Everyone Plays’ campaign banner, the promo runs until 2 September, with 120 pairs of tickets given away every week, and is supported by TV, radio and out-of-home advertising. It runs across multiple brands in the Coca-Cola European Partner’s portfolio, with codes found on immediate consumption and future consumptions packs of Coca-Cola original taste, CocaCola zero sugar, Diet Coke, Fanta, Fanta Zero, Sprite, Sprite Zero, Dr Pepper, Dr Pepper Zero, Oasis and Oasis Zero. As well as winning tickets, consumers can help local causes benefit from access to football pitches and expert coaching in communities where facilities are difficult to access. Coca-Cola GB has committed to donating £200,000 to sports charity StreetGames, and shoppers may vote for which local cause they would like the charity to support when entering the online prize draw. StreetGames is committed to changing lives through sport, supporting over 1,000 community projects throughout Great Britain and together with Coca-Cola GB has been able to deliver improved sporting experiences for over 400,000 people since 2010.

ProductNews CHOCOLATE MARKET HOTS UP – P32 BREAKFAST Muesli brand offers £1,000 cash

You can ‘reach your peak’ with Alpen’s £1m campaign Alpen has hidden 20 golden tickets in selected packs for the launch of its new ‘Reach Your Peak’ marketing campaign – inspired by the brand’s mountain heritage. The £1m campaign, which includes the on-pack promotion on core Alpen bars and muesli, is designed to increase consumer awareness and drive sales this summer. Consumers have the chance to win a range of prizes including £1,000 cash. The campaign will be live from mid-August until October and will be supported

by a wide range of POS, as well as digital activity. Helena Blincow, Marketing Manager for Alpen, said: “By injecting some excitement and engaging consumers we’re aiming to increase visibility instore and online, driving sales and wider category growth too. Retailers should make sure to stock up on the limited-edition packs and make use of the engaging POS available to showcase the Alpen range and bring the campaign to life in store.” For more information on Alpen, retailers should visit weetabixfoodcompany.co.uk.

CONFECTIONERY

Trebor ﬂashes the cash at shoppers Trebor has unveiled ‘Cash in a Flash,’ a brand-new consumer promotion activated exclusively in the convenience channel via bespoke point-of-sale materials and live now. Available across the complete range of Trebor products, the off-pack promo gives consumers the chance to win by purchasing any Trebor product and sharing a snap of the pack on treborcash.com. Over 1,000 cash prizes are up for grabs on the spot, including £1,000. Winners are guaranteed every day of the promotional activity. ‘Cash in a Flash’ is the second convenience-exclusive campaign from Trebor this year. ‘Get Minted’ delivered a 6.2% sales uplift across the brand’s singles range in independent and symbol group stores. Mondelez advised retailers to display the promotional pointof-sale materials in store for the duration of the competition to

encourage entries. These include wobblers, posters and counter-top units. Amy Lucas, Brand Manager for Trebor UK at Mondelez, said: “We know 50% of mint purchases are made on impulse, so product visibility is absolutely key to sales success. Our ‘Cash in a Flash’ promotion will help create a buzz in-store and drive incremental sales for retailers. “The top three best-selling candy singles in Independents and Symbol stores are Trebor packs – Extra Strong Peppermint, Softmint Spearmint and Softmint Peppermint – so it’s important we lead the category in supporting retailers with fun and rewarding promotions to continue to drive mints sales.” For further enquiries, retailers can telephone Mondelez on 0870 600 0699, email retailer.services@ mdlz.com or visit deliciousdisplay. co.uk.

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Products

News

Soft Drinks Q&A with Britvic Britvic’s Out-of-home Commercial Director Rachel Phillips shares her thoughts on the sugar tax, changing customer tastes and DRS. CONFECTIONERY The countdown to Christmas commences for Cadbury

Cadbury hopes NPD will bring in a bumper Chrimbo Britain’s shoppers spent a recordbreaking £937m on confectionery over Christmas last year and Mondelez is doing its best to ensure that performance is bettered in 2019, with a host of new Cadbury products. The confectionery giant advised retailers to split Christmas into four phases to enable them to stock the right range at the right time. STARTING FAST

The season begins in September, when stores can kick off with a ‘Fast Start’ for sharing confectionery as the nights draw in. Dairy Milk Classics Pouch contains a selection of individually wrapped, bitesize chunks of Dairy Milk, Wholenut and Original. This mix is aimed at consumers over the age of 30 looking for a classic sharing pouch (380g, RSP £6.29, 8 per case). GAIN SPEED

In October ‘Build Momentum’ kicks off as the core season starts and shoppers start to treat themselves and loved ones to self-treat and novelties confectionery. These include Dairy Milk Little Robins, available in two variants – Original and Daim (93g & 86g, RSP £1.49, 22 per case). To support tablet sales over the Christmas period, the brand will also unveil a special-edition Dairy Milk Winter Gingerbread Edition (120g, RSP £1.49, 19 per case). Lastly, the new Dairy Milk Orange Snowman offers shoppers a little treat in another popular flavour (30g, RSP 65p, 33 per case). COUNTDOWN COMMENCES

In November, retailers should begin the ‘Countdown to Christmas’ in store with advent calendars and tree decorations. The forthcoming Angry Birds Movie 2 has teamed up with Cadbury this

Christmas for the first ever advent calendar from Cadbury to combine chocolate with toys and stickers: Dairy Milk Angry Birds Advent Calendar (212g, RSP £9.99, 8 per case). Also new is the Cadbury 3D Advent Calendar, which holds a mix of Dairy Milk, Buttons, Freddo, Chomp, Fudge and Curly Wurly alongside a selection of stickers (312g, RSP £10, 6 per case) and a reinvented Heroes Advent Calendar (230g, RSP £4.99, 8 per case).

WOULD YOU SAY THE SUGAR TAX HAS IMPACTED NEGATIVELY ON SALES OR HAS IT DRIVEN NEW/ DIFFERENT OPPORTUNITIES? While the Soft Drinks Industry Levy (SDIL) has certainly impacted the sector, sales remain strong across the board. Since the SDIL came into effect last year, we’ve seen a significant uplift in people switching from full sugar drinks into low and no added sugar alternatives – showing that consumers have embraced the change, and manufacturers are adapting their brands.

IS BRITVIC PUTTING MORE FOCUS ON LOW/NO SUGAR ALTERNATIVES IN LIGHT OF REGULATION AS WELL AS CHANGING CONSUMER LIFESTYLE HABITS? Health is an ever-increasing concern, with 65% of people agreeing that they are proactively trying to lead a healthy lifestyle [CGA Brand Track Consumer Confidence Survey Q4 2018]. As such, low and no sugar alternatives have been

FINAL STRETCH

a key focus for us and meant that 90% of our innovation

Finally, as December comes around, retailers can deliver a ‘Festive Finish’, when shoppers are increasingly looking to trade up, by stocking up on gifting and selection packs to drive maximum festive sales. Dairy Milk Moneyboxes contains either Dairy Milk Freddo Faces or Buttons and can be reused as a moneybox. (120g, RSP £4, 8 per case) Alongside the advent calendar, the Angry Birds tie-in has yielded the Cadbury Angry Birds Plush Toy, available in two characters alongside a selection of chocolate treats (71g, RSP £5.99, 8 per case). This year sees a relaunch for the Dairy Milk Hollows range (100g & 45g, RSP £2.99 & £1.49, 8 & 15 per case) alongside the new Dairy Milk Secret Santa Gifting Hollow (175g, RSP £5, 8 per case). The Dairy Milk Medium Selection Box offers shoppers a ‘scan and play’ The Angry Birds Movie 2 app with each purchase. (153g, RSP £2.99, 8 per case) Bournville is adding its newest variant, Bournville Orange, to the Cadbury Bournville Selection Box to offer dark chocolate lovers something new (400g, RSP £5.95, 8 per case).

in 2018 was focused on low and no added sugar products [Britvic Annual Report 2018]. For the convenience channel, it’s important that we continue to offer choice in this growing market to help retailers drive soft drink sales among health-conscious shoppers. One of our latest pieces of innovation includes Pepsi MAX Raspberry which delivers on all three category drivers – taste, health and relevance.

DOES BRITVIC HAVE ANY THOUGHTS ON THE INTRODUCTION OF DRS IN SCOTLAND? Britvic is an enthusiastic supporter of the introduction of a well-designed GB-wide DRS scheme. We welcome the Scottish Government’s announcement; however, we are concerned about some of the principles which go against what we would consider to be a “well designed” scheme that is created to maximise success. International best practice suggests that the deposit level should be determined by the management company on the basis of what is needed to drive returns. In setting the fee level in advance, the Scottish Government is diminishing the scope of the system to adapt according to need. The inclusion of glass raises costs and complexity which creates unnecessary risk to the successful launch of a DRS. We also remain concerned about the feasibility of introducing a well-designed and effective DRS in such a short timeframe. We continue to believe that a GB-wide full DRS for all plastic and can beverage containers remains the best way to increase recycling levels. Read this article in full at slrmag.co.uk/britvic.

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AUGUST 2019 | SLR

News

Off-Trade

El Bandarra bring rosé vermouth to UK Craft vermouth brand El

Off-TradeNews

Bandarra has launched a new Vermut Rosé. Joining the Red and White in the El Bandarra range, the pink El Bandarra Vermut Rosé (ABV 15%) is the lightest and freshest of the trio, containing 30% less sugar. It is available in a one-litre swing top bottle with an RSP of £22. For more information call Love Drinks on 0207 501 9630, email info@lovedrinks.co.uk or visit lovedrinks.com.

Single malt sales surge from Inver House Inver House Distillers has reported a sales increase of 7.4% for the year to September 2018. Significant growth for its core brands saw sales of Inver House Single Malts growing by over 12% in the year. The company’s flagship single malt Old Pulteney led the charge, growing sales by 20%. Inver House’s super premium Scottish gin Caorunn also reported double digit growth.

THE LOW-DOWN ON LOW-SUGAR DRINKS – P34 WINE Treasury creates new ‘new and exciting’ brand

TWE hopes multi-country range will bring home bacon Treasury Wine Estates has launched its first multicountry of origin wine range, Squealing Pig, into the UK market. A six-strong portfolio lets consumers discover wines from Australia, New Zealand, France, Argentina and Italy all under one brand. The brand has been created to appeal to consumers who “like to discover authentic products first-hand and who crave new and exciting experiences that they can share with their peers”. To this end, the Squealing Pig range features TWE’s Living Wine Labels augmented reality technology. The full range includes: Q Sauvignon Blanc – Marlborough, New Zealand Q Chardonnay – Padthaway, Australia Q Malbec – Mendoza, Argentina Q Primitivo – Puglia, Italy Q Picpoul de Pinet – France Q Grenache Syrah Carignan – Languedoc, France

The wines are available from Bestway Wholesale with an RSP of £10 for a 75cl bottle. The launch is supported by in-store, social, digital and sampling activity. Kirstie McCosh, European Marketing Director at Treasury Wine Estates, said: “We are giving consumers something new and exciting.”

GIN

Boë Gin puts its faith in Paloma Paloma Faith is the face of a new campaign for Scottish-based Boë Gin. The somewhat eccentric songstress fronts a 30-second advert hosted on Boë’s social channels in which she talks about the importance of standing out from the crowd and being unique. The partnership forms part of a £400,000 summer marketing campaign for the blossoming gin brand, which recently reported a £1.1m increase in operating profits. Andrew Richardson, a Director of Boë Gin, said: “Paloma is the perfect fit for the brand, sophisticated and yet stand out, and we are really excited to have her be a part of our biggest campaign to date. Her unique and authentic style is recognised the world over and gives us a great opportunity to introduce our flavoured gins to a bigger audience.”

SLR | AUGUST 2019

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Off-Trade

News

Scottish Alcohol Industry Partnership relaunches The Scottish Alcohol Industry Partnership has relaunched with a new website and logo. The organisation has also

LIQUEURS Fun and games from Pernod Ricard brand

Summer’s tasty with Malibu

produced a report which gives a

Malibu has launched ‘Taste the Summer’, a new digital-first marketing campaign intended to bring the Pernod Ricard brand closer to its target audience of 18 to 24-year-olds. As well as a media partnership with youth news site The Tab and influencer activity from the likes of Gabby Allen, Olivia Buckland and Sam Thompson, the campaign includes the Malibu Games, described as “five funfilled days designed to test teams with a series of challenges”. The games take place this month in Liverpool’s Great Baltic Warehouse, which will be transformed into three tropicalthemed zones inspired by Malibu flavours Original Coconut, Passion Fruit and newest addition

jointly through the Partnership or

snapshot of the many initiatives and programmes the alcohol industry are supporting either individually. The report is free to download from saip.org.uk.

Not much mystery about Sweet Little Drinks ruling The Portman Group has upheld an ASA complaint about Sweet Little Drinks. The advertising watchdog was concerned the company appeared to promote alcohol to children through – among other things – product names like Glitter Bomb Love Heartz. Sweet Little Drinks is now

Strawberry Spritz. Besides giant team games, the event features live DJs and a Malibu Beach Bar. Chris Ellis, Commercial Director for Pernod Ricard UK, commented: “We continually strive to provide fun and engaging

social occasions that fans of the brand can get involved in with friends. This year’s campaign is no different and will be branded as the hottest summer moment, with Malibu serves at the core of the experience.”

“working very closely” with the Portman Group on a rebranding exercise.

India’s ﬁrst craft gin arrives in UK The first craft gin brand from India – birthplace of the gin and tonic – has been launched in the

RTDs

Funkin launches biggest-ever marketing push Funkin Cocktails has kicked-off a £1m nationwide advertising campaign for its new Nitro Canned Cocktails. Running until September, the out-of-home and digital activity targets on-the-go consumers and appears at railway stations, roadside and on taxis and social media. Around 7.2 million 25 to 44-year-olds will see the campaign. The move represents Funkin’s largest investment in the brand’s 20-year history. Packed in cases of 12 x 200ml cans and with a 12-month shelf life, each Nitro Canned Cocktail has an RSP of £2.29 and 5% ABV. To stock call 020 7328 4440.

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WINE

UK by Nao Spirits. Greater Than

Echo Falls taps into Malbec surge

London Dry Gin was founded

Accolade Wines is extending its Echo Falls portfolio with the launch of Malb-Echo Falls. American Malbec is growing at 19% year-onyear, and Malb-Echo Falls comes in response to this boom in sales and not because someone at Accolade thought it was a clever name. That would be a reasonable assumption however, given the company launched ProsEcho Falls earlier in the year. At any rate, the new offering has a flavour profile consisting of raspberries, cherries and blackcurrants, with toasted oak and a touch of mocha. It is available now in 75cl bottles (ABV 12.5%) with an RSP of £6 from Bestway and Today’s. David White, Marketing Director at Accolade Wines, commented: “Echo Falls is perfectly placed to drive further category growth and consumer interest in Malbec as it is a brand of mass scale and popularity which gives consumers the confidence to try a new style of wine.”

Singh in 2015. It is distilled in

by Anand Virmani and Vaibhav copper pots in Goa and infused with botanicals sourced from India and around the world. The award-winning tipple has been selling-out at gin shows and should be available in Scotland before the end of the year.

No-alcohol premium pilsner piles into off-trade German premium beer brand Krombacher has launched an alcohol-free version of its flagship pilsner in the UK. Krombacher Pils Alkoholfrei 0,0% is available in cases of 24 x 33cl bottles through Morgenrot and Oakham Ales. The isotonic brew contains fewer than 90 calories per 33cl. Call Morgenrot on 0845 070 4310 or email enquiries@ morgenrot.co.uk for more info.

AUGUST 2019 | SLR

News

Newstrade

Herald owner sold to rival Gannett, the parent company of Herald owner Newsquest, has

News& Magazines

been bought by rival New Media Investment Group for £1.1bn.

FASCIA FOCUS – P36

New Media said it will rebrand as Gannett upon completion of the deal later this year. Gannett hopes the deal will speed up its digital transformation as it becomes part of the largest news group in the US. Newsquest, the second largest regional publisher in the UK, was bought by Gannett in 1999 for £1.6bn. The Gannett board had reportedly unanimously decided the deal would provide “significant and immediate value” for shareholders, employees and audiences. Upon completion of the deal, Gannett shareholders will hold 49.5% of the merged company with New Media shareholders holding the remaining majority. Speculation has already begun around Newsquest potentially becoming collateral damage in any deal as the UK company was repeatedly omitted from public statements on both sides.

DISTRIBUTION Newsagents in England benefit from move by Smiths

Menzies urged to follow automatic late delivery compensation ‘game-changer’ The NFRN has urged Menzies to follow the lead of Smiths News who have introduced an automatic compensation system for retailers affected by late distribution. The NFRN has warmly welcomed what it calls a “groundbreaking” automatic £5 compensation payment scheme for late deliveries by Smiths News customers down south – and has urged Menzies to follow suit in Scotland. The new payment scheme means that Smiths’ customers will automatically receive compensation when papers are “materially late”. The move has been described as a “major game-changer” by the NFRN. National President Stuart Reddish said: “The NFRN’s news team has campaigned long and hard for news retailers to be automatically compensated for late papers so we welcome this bold step by Smiths News. We are pleased that a key industry

player has finally recognised that it can no longer do nothing when the service it is paid to give its retail customers fails. “At the earliest opportunity we will be working closely with Smiths News to further enhance this scheme, given that the £5 payment will only come into effect when papers are two or more hours late reaching retailers’ shops and reruns and claims are excluded.” Reddish continued: “The NFRN will not give up campaigning for supply chain improvements and we hope that publishers will take heed of this new scheme and look again at their arrival times into wholesale depots. I will be urging both Menzies Distribution and News UK DTR to follow suit.”

CHARITY News UK titles help out retired industry colleagues

The Times donates £15k to newstrade charity The Times and The Sunday Times has donated £15,000 to Old Ben Homes – a charity providing sheltered housing for people who have worked in the distribution of newspapers and magazines in the UK, and their immediate dependents. The donation will go towards refurbishing bungalows for the residents of the Seaford housing development in East Sussex, all of which spent their careers working in the news trade in retail, wholesale or circulation. In 1957 The Times provided the build cost of one of the bungalows on the Seaford site. The £15,000 donation will pay for a full refurbishment of that bungalow. Graham McDougall, The Times and The Sunday Times Head of Casual Sales, presented the cheque to David Blundell, Chairman of Old Ben Homes. Blundell said: “With the help of sponsors such as The Times, we have been able to refurbish 20 of our 40 bungalows at Seaford which will ensure that we continue to provide quality accommodation for those in need from the news trade.” KEEP UP WITH THE LATEST NEWS AS IT HAPPENS – FOLLOW US ON TWITTER @SLRMAG

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Research Digest

CBI: Retail sales fall for longest period since 2011 The latest CBI monthly survey shows that sales fell for the third consecutive month, the longest period of decline since 2011.

etail sales fell for the third consecutive month in the year to July, marking the longest period of decline since 2011, according to the latest CBI monthly Distributive Trades Survey. While the survey is from a relatively small sample – including 46 retailers – the figures showed that sales volumes fell in the year to July, albeit to a lesser extent than in August. Orders placed on suppliers also declined for the third consecutive month, but at a slower pace than the previous month. Both sales and orders are anticipated to be broadly flat next month. Grocers were the largest positive contributor to headline sales growth this month. Some 26% of retailers said that sales volumes were up in April on a year ago, whilst 42% said they were down, giving a balance of -16%. This was a slower than in May (-27%) and August (-42%).

A quarter of retailers placed more orders with suppliers than they did a year ago, whilst 43% placed fewer orders, giving a rounded balance of -19%. This was a less severe fall than the previous month (-33%). Similarly, a quarter of retailers reported that their volume of sales for the time of year were good, whilst 45% said they were poor, giving a balance of -20%. A total of 30% of wholesalers reported sales volumes to be up on last year, and 31% said they were down, giving a rounded balance of 0%. Volumes are expected to improve slightly next month (+8%). Across the economy more broadly, growth has been volatile in the first half of 2019, driven by companies’ stockpiling uncertainties ahead of previous Brexit deadlines. Looking to the future, the CBI said it expected the economy to grow modestly further ahead, though a no-deal Brexit would likely hit activity and financial markets significantly.

Impulse sales falling as younger shoppers look elsewhere

mpulse purchases are declining in the convenience channel as younger shoppers turn to other channels for their food and grocery needs, says an HIM and MCA Insight report. According to exclusive research, the average age of shoppers in convenience has risen to 48, with the share of shoppers under the age of 34 declining by 2% in the last year. The recently launched HIM UK Convenience Report 2019 highlights that 28% of shoppers in the convenience channel are under the age of 34, compared with 30% last year. This fall in younger shoppers is one of the catalysts for a decline in the number of shoppers purchasing on impulse in the channel – 13% of shoppers made an impulse purchase this year, compared to 17% of shoppers in 2018. Shoppers aged 18-24 are the most likely to purchase on impulse in convenience, with 16% doing so in the last year. Driving footfall from younger shoppers is key to ensuring a store remains relevant to future generations. The report highlights factors that are key to attracting younger shoppers, such as 18-24’s are +46% more likely to buy a Meal Deal compared to convenience average and 16% of Gen Z year olds and 23% of Millennials are currently following a high protein diet compared to only 6% of 45-54 year olds. Blonnie Walsh, Senior Insight Manager at HIM and MCA Insight said: “Younger consumers are the shopper of the future, yet they under index in the convenience channel. Retailers need the support of wholesalers and suppliers to understand the needs of younger shoppers and the best ways of engaging them better. “Food-to-go has been a talking point for some time, however strong competition from foodto-go specialists is eating away at convenience’s share of the market. In general, younger shoppers behave differently to older generations and retailers need to adapt their approach in order to cater for both. Speed and ease of shop are more important to younger shoppers than older shoppers.”

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Inside Business

SCOTTISH FOOD WASTE RECYCLING UP 40% Scots are recycling more food waste than ever with the total volume and its associated carbon savings leaping by more than 40% in recent years, according to new reports published by Zero Waste Scotland. Approximately 158,500 tonnes of household and commercial solid food waste were collected in 2017, compared with the 2013 figure of 111,500 tonnes. People and businesses are increasingly doing their bit to help the planet as the additional increase in food waste sent for recycling (47,000 tonnes) has prevented the release of 41,500 tonnes of carbon dioxide equivalent being released into the atmosphere, as it has been saved from the general waste bin. The figure is the equivalent of taking 22,004 cars off the road in the UK for a year or driving around the world 5829 times. Iain Gulland, Chief Executive of Zero Waste Scotland, said: “Scotland should be proud, the recycling of more food waste into sustainable energy is an incredible achievement. The rise in recycled food waste is welcome news for Scotland’s economy and for the planet. When we waste food, we also waste the resources that went into growing, processing, transporting and packaging it, so it is hugely important that we use what we have. The rise has been helped by the introduction of the Waste (Scotland) Regulations 2012 compelling businesses to recycle food waste. As of 2016, Scottish businesses producing more than 5kg of food waste per week have been required to present food waste separately for collection.

AUGUST 2019 | SLR

Inside Business

GroceryAid Scotland

GROCERYAID SCOTLAND REVITALISED UNDER NEW COMMITTEE

The GroceryAid charity supports hundreds of Scottish grocery and convenience trade industry colleagues every year but has been something of an unsung hero – however that’s all set to change under a new management committee headed by industry veterans Peter Steel and Jim Harper.

GROCERYAID SCOTTISH COMMITTEE Q Peter Steel & Jim Harper – Joint Chairs Q Scott Black, Senior National Account Manager, Highland Spring – Branch Treasurer Q Stephen Wilkes, Regional Customer Business Manager, Warburton’s – Branch Secretary Q Lynsey Graham, National Account Manager, Ian MacLeod Distillers Q Mark Graham, Field Sales Representative, AG Barr Q Gordon Neil, Strategy & Marketing Director, McCurrach Q Eddie Lynagh, retired (ex-Booker) Q Geraldine Bruce, Senior Regional Buyer, Sainsbury’s Q Colin Pearse, Regional Manager, Morrison’s Supermarkets Q Craig Milne, Off-trade Commercial Manager, Heineken

SLR | AUGUST 2019

or a charity dedicated to helping people in need across the entire grocery and convenience trade industry, including hundreds in Scotland, GroceryAid has historically flown a little under the radar north of the border. Formerly known as the National Grocers Benevolent Fund, it merged in 2012 with the confectionery trade body Sweet Charity to form GroceryAid. While Sweet Charity was reasonably well known in these parts, GroceryAid has yet to really make its mark in the Scottish local retailing trade. All that is about to change if a brand-new Scottish committee’s ambitious plans come

The Barcode Festival was a huge hit down south – time for one in Scotland?

to fruition over the next few years. Jointly chaired by industry veterans Peter Steel (exMcCurrach) and Jim Harper (ex-Scotmid), the Scottish committee aims to bring GroceryAid’s message – and support – to a wider audience in Scotland. Steel explains: “We believe that GroceryAid is an ‘unsung hero’ in Scotland – supporting hundreds of Scottish industry colleagues across all the trade sectors including independent retail and wholesaling. It’s worth noting that the majority of beneficiaries are currently in work and may actually work for businesses who are not engaged in the charity. That’s something we need to change. We can, www.slrmag.co.uk

GroceryAid Scotland

Jim Harper and Peter Steel are driving the Scottish committee.

and want to, support more colleagues but we need help from more of the Scottish trade.” That’s where the Scottish branch committee comes in, but it’s also where the wider local retailing community has a part to play. “I don’t think awareness of the charity and the great work it does in Scotland is as high as it might be,” says Harper. “But we’re intent on changing that because the support that GroceryAid can provide to people who have fallen on tough times can be absolutely vital. We need more retailers to be aware of what the charity can offer so that they can spread the word and hopefully allow us to bring even more help and support in Scotland to those who badly need it.” To support this drive, the pair have recruited a committee of people from across the industry [see panel] who are volunteering their time to raise the profile of the charity and, obviously, raise funds to help colleagues in need. GroceryAid is wholly funded by charitable donations and the fundraising efforts of colleagues and companies in the trade. There is no charge to businesses for the range of support services from which qualifying industry colleagues can and do benefit. These include: Q Financial help – both long term funding and short-term ‘crisis’ grants Q A confidential helpline which gives access to advice and support in a number of areas including: Q Relationship counselling Q Emotional support and advice Q Debt advice Q Health and Wellness www.slrmag.co.uk

Inside Business

SCOTTISH CASE STUDY Q Disability Q Housing Q Workplace Critical Incident support The final item on that list – Workplace Critical Incident support – was recently launched to help industry colleagues who have experienced some form of traumatic event. This is hugely relevant in Scotland where our independent sector in particular continues to be blighted by violent crime. The charity spent £4.25m on welfare last year of which over £500,000 was spent in Scotland. That spend in Scotland was roughly split three ways: a third to colleagues in independent retailers, a third to colleagues in the major multiples and the final third to those in the manufacturing and wholesale sectors. The charity truly touches every sector of the trade. And the support that GroceryAid can provide has never been more important. Over the last year, there has been an 8% increase in the number of colleagues supported. There has also been a 10% increase in people accessing confidential advice and an increase of 35% of people seeking financial advice. “If anyone thinks the need for charitable support isn’t growing, then think again,” concludes Steel. “This year, the committee has set out new aims for the next three years in Scotland with one overriding target: we want to double the number of Scottish beneficiaries from around 500 to over 1,000 people – but to do this we need the support of the Scottish local retailing community.” To get in touch with the Scottish committee, email peter.steel@groceryaid.org.uk.

To bring home how important the work that GroceryAid does in Scotland, consider the true case of Maggie* who works in an independent store in Scotland and who had her life turned upside down overnight: “On the 20th of April we received an application for help from Maggie. She included a supporting letter from her employer who owns two independent newsagents in Scotland, where she has worked for the last seven years. In her early 40s, Maggie is a single mum with two daughters aged 19 and 5. Maggie has been diagnosed with terminal cancer and is receiving palliative care. Unable to work she is in receipt of Statutory Sick Pay at £94.65 per week. On 24 April we awarded the family a one-off grant of £1,500 and referred them to Law Express who can offer legal advice around the children staying together in the future.” *Name changed to preserve anonymity.

AUGUST 2019 | SLR

Inside Business

SLR Rewards 2019 | Soft Drinks Retailer of the Year

BUILDING ON THE BASICS DELIVERS SUCCESS FOR HARRIS

In a category as important as soft drinks it’s vital to ensure the fundamentals are in place before starting to get clever. That’s exactly what Harris Aslam’s Greens of Markinch store did to secure this year’s Soft Drinks Retailer of the Year award. BY ANTONY BEGLEY

S The main fixture offers a strong but tight core range of big performers.

Feature displays attract attention and grow sales.

SLR | AUGUST 2019

A variety of pack formats offers choice and drives basket spend.

oft drinks is undeniably one of the most important categories in convenience, driving a greater volume of unit sales than probably any other category in most stores. In a category that vital, the importance of getting the basics right cannot be over-stated. The rocket science of funky merchandising solutions and the like is great, but getting the fundamentals right first is the basis upon which a great soft drinks offer is built. Harris Aslam’s Greens of Markinch store does just this – and adds a little bit of rocket science on top for good measure. The main soft drinks fixture is pretty much the first things shoppers see as they enter this bright, modern and spacious store, and the fixture is carefully thought out and nicely merchandised. It’s a big fixture but the range is kept tight with precise blocking and great space allocation to ensure that the big lines that deliver the sales and profits have plenty of room to breathe. There’s a core range of low and no sugar products too. Harris and his team have still found room for important NPD but range proliferation has been carefully avoided. There are no space fillers on this fixture: if a line doesn’t hit a minimum rate of sale, it’s delisted. Secondary and tertiary soft drinks fixtures are also sited strategically around the store to drive impulse sales while a great mix of pack sizes and formats, including an extensive multipack offer, means shoppers are continually tempted with great deals, great brands and great products to add into their basket.

With plenty of space at his disposal, Harris has also chosen to go for highly impactful floor stacks and feature displays which help ram home the soft drinks message, while careful siting means spirits buyers have plenty of encouragement to pick up mixers too. Availability was fantastic – bear in mind that SLR judging visits are unannounced – and compliance was also spot on, with no missing tickets, no gaps and great use of manufacturers’ and Nisa POS to draw shoppers to each fixture. Then there’s the Skwishee machine, Harris’s own brainchild, that has been driving sales and profits in stores across Scotland, but which began life here in Markinch. All told, it’s an immaculately presented example of how to get soft drinks right in convenience. Kerry McAlpine, CCEP Field Sales Manager, comments: “Greens of Markinch has a great range of soft drinks covering all key sectors and pack formats offering shoppers choice for a variety of occasions. The range also included regular and zero sugar variants, a good selection of new products supported by POS to drive awareness and trial and cross category displays with crisps and snacks to help drive linked purchases. A well-deserved win, congratulations.” www.slrmag.co.uk

Congratulations to Soft Drinks Retailer of the Year, Greens of Markinch To ďŹ nd out more visit www.cokecustomerhub.co.uk or call Customer Hub on 0808 1 000 000 ÂŠ2019 The Coca-Cola Company. All Rights Reserved. High caffeine content. Not recommended for children or pregnant or breast-feeding women (caffeine 32mg/100ml). Consume moderately. Niacin (vitamin B3) and vitamin B6 contribute to normal energy-yielding metabolism. Consume as part of a varied and balanced diet and healthy lifestyle.

Inside Business

SLR Rewards 2019 | ThinkSmart Innovation Award

Family Shopper Blantyre was one of the first stores in Scotland to add Tango Ice Blast.

Mo embraces a range of in-store tech solutions.

The store was among the first to add a DRS machine.

Roxy’s Dessert Bar.

The DRS machine in action.

Tech and innovation drives proﬁt for Mo Blantyre Family Shopper retailer Mo Razzaq has long been a trailblazer when it comes to passionately embracing technology and innovation in his store to drive footfall, sales and profit. Mo’s motion-sensitive talking merchandising unit adds interest.

BY ANTONY BEGLEY

here is absolutely no doubt that technology, data and innovations will transform the local retailing sector in the years to come yet many retailers seem reluctant to embrace the revolution. That’s not an accusation that can be levelled at Blantyre Family Shopper retailer Mo Razzaq. Mo has made it a point of pride to be among the first to both adopt new technologies and innovation in his store and commit the investment of time and money required to ensure that the solutions have the best possible chance of succeeding and delivering new footfall, sales and profits. Mo was among the first to bring in a Subway, add a Tango Ice Blast machine and create a fully-fledged dessert bar in his store, and the last year or so has seen him continue to push the boundaries with a raft of new ideas and innovations. He was among the first retailers in Scotland to add a Deposit Return Scheme24

SLR | AUGUST 2019

compliant reverse vending machine and has been one of the first, if not the first, store to not only implement a home delivery scheme but to give it scale and make it a core part of his offer. He also operates a highly sophisticated loyalty scheme that enables truly personalised one-to-one communications with his shoppers and has also embraced several unusual in-store merchandising technologies to help drive excitement and theatre, not to mention sales and profits. His motionsensitive talking unit which physically thrusts products at shoppers in front of the fixture is a fine example. It’s the courage to continually trial new solutions and execute them well that really made him stand out to the judges this year, as Steve O’Neill, Marketing Director of category sponsor PayPoint commented: “The world is changing and retailers need

to change alongside. Mo has shown himself time and again to be willing to embrace the new world of technology and data to build his relationship with his shoppers and offer them a different kind of experience when they shop with him. It’s that courage and commitment that really stands out and makes him a worthy winner of the ThinkSmart Retailer of the Year category. A true innovator!”

www.slrmag.co.uk

ThinkSmart Innovation Award winners 2019 Congratulations to Mo & Roxy Razzaq of Family Shopper, Blantyre

Get more out of your business and join 13,000 retailers now live with PayPoint One Find out more about the fastest growing EPoS platform in the UK at www.paypoint.one or call 01707 537014

Inside Business

SGF Healthy Living Programme

HEALTHY LIVING REBRAND GATHERS MOMENTUM WITH SPAR SCOTLAND Spar Scotland is supporting the relaunch of the refreshed SGF Healthy Living Programme with trials of new in-store stands across 12 Spar stores.

he relaunch of the refreshed SGF Healthy Living Programme is gathering momentum with retailers across Scotland beginning to adopt the new imagery and in-store promotional materials. One of the latest groups to get involved is Spar Scotland, who have begun trialling new-style in-store stands in 12 stores. Each stand is merchandised with the same range of healthy products including loose fresh fruit, water, porridge and more. Paula Middleton, Marketing Manager of Spar Scotland, comments: “We are delighted to work with the SGF Healthy Living Programme on this trial. We will monitor sales throughout the test period to see what impact the stands have in store. “We continue to support the SGF Healthy Living Programme and the work they are doing to highlight healthier products in convenience stores. It is very important that we encourage customers to embark on a healthy lifestyle and eat healthily.” Gillian Edgar, Field Manager from the SGF Healthy Living Programme, adds: “The Healthy Living Programme is excited to be given the opportunity to trial our new stands with Spar Scotland. The trial will see the stores promoting not only fresh produce but other healthier products at the front of the store. This is a positive example of how Spar Scotland is taking on the role of responsible retailing and ensuring their customers have a healthier option to choose from.” The SGF Healthy Living Programme has been working with convenience retailers since 2004 and highlights the importance of ensuring fruit, vegetables and healthier products available in all convenience stores in Scotland. The programme is fully funded by the Scottish Government and aims to connect local schools with convenience retailers. So far it has engaged with over 13,000 school children across the country. 26

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www.slrmag.co.uk

Hotlines

Product News & Media Watch

Walkers Oven Baked with Veg PepsiCo This new range taps into the growing demand for savoury snacks with two spicy ﬂavours: Beetroot & Sweet Chilli, and Sweet Potato & Paprika. Both are available in 35g singles (RSP 70p), 6 x 23g multipacks (RSP £1.80) and 140g sharing bags (RSP £1.99). For more information on Walkers products, telephone 0800 274 777 or complete the form on the Walkers trade website at countsformore. co.uk/contact-us.

Cadbury Dairy Milk 30% Less Sugar Mondelez Available as an 85g tablet (RSP £1.49, 18 per case) and a 35g single bar (RSP 65p, 24 per case), Cadbury Dairy Milk 30% Less Sugar is supported by a £2m spend on out-of-home and digital marketing activity. For further enquiries, retailers can telephone Mondelez on 0870 600 0699, email retailer.services@mdlz.com or visit deliciousdisplay.co.uk.

Maynards Bassetts Soft Jellies Scary Safari Mondelez Mondelez has kicked-off the 2019 Halloween season with Maynards Bassetts Dead Chewy. Cases of 12 x 162g packs of individually wrapped chews are available now with an RSP of £1. Also available from the brand is Soft Jellies Scary Safari, a ‘bag of bags’ product that contains 17 x 16.7g mini bags. It comes in cases of 10 x 284g packs (RSP £2).

SLR | AUGUST 2019

Dutch treat hits Brits FrieslandCampina has officially launched Chocomel – a premium chocolate drink popular in the Netherlands – into the UK’s convenience and wholesale channels. The Dutch are apparently so keen on Chocomel they get through eight cups of the stuff every second. There are no cups involved over here though; aimed at the impulse market, Chocomel is available now in cases of 24 x 250ml cans with an RSP of £1.65. Kate Allison, Marketing Manager for FrieslandCampina, said: “For more than 80 years, Chocomel has been a firm favourite in the Netherlands. We’ve already seen this success replicated in other countries such as Belgium and now the time feels right to bring it to the UK. “Chocomel has a unique premium taste. We’ve created an exceptionally smooth and chocolatey recipe that we’re really proud of. Thick and indulgent, it offers consumers a truly luxurious treat. “We know it’s going to be extremely popular, as it has already accumulated over £500,000 within convenience, and this was driven by guerrilla distribution alone.” The move comes a month after the company’s new boss Will Jones announced ambitious plans for FrieslandCampina and hinted at further UK launches. To find out more call 01403 273273 or visit frieslandcampina.com.

Baker Street baking range St Pierre Groupe Baker Street has launched into the Home Baking category with new Sponge Flan Cases (100g, RSP 99p), Large Sponge Flan Cases (200g, RSP £1.29) and 3 Sponge Cake Layers – Chocolate or Classic ﬂavours (RSP £1.50). All are available from CJ Lang. To find out more call St Pierre’s commercial team 0161 946 1355 or email enquiries@ stpierregroupe. com.

Vype ePod British American Tobacco The ePod delivers around 275 puffs per cartridge and offers an “all-day” battery, ceramic heating and a magnetic charging connector. Cartridges (also magnetic) come in five nic salt ﬂavours: Tropical Mango, Very Berry, Chilled Mint, Vanilla Medley and Golden Tobacco. Starter kits RSP at £19.99 and include a device, charging cable and an 18mg/ml Tropical Mango cartridge. A pack of two cartridges RSPs at £6.99.

McCoy’s Thai Sweet Chicken £1 PMP KP Snacks In a convenience and impulse exclusive, KP Snacks has added McCoy’s Thai Sweet Chicken to its £1 PMP range. The new SKU is available now in cases of 16 x 65g packs. The launch follows the addition of three new PMPs in February: Pom-Bear, Wheat Crunchies and NPD McCoy’s Muchos. The new ﬂavour brings the number of £1 PMPs from KP to 21.

www.slrmag.co.uk

Product News & Media Watch Aero Bliss Single Nestlé

Cadbury Oreoooo Mondelez

Aero Bliss Milk Chocolate Single is available now with an RSP of 85p. Each pack contains three individually wrapped milk chocolates filled with a cocoa aerated centre and delicate cocoa pieces. The launch is supported with a widereaching campaign that includes out-of-home, social and digital advertising as well as sampling and experiential activity.

KitKat Green Tea Matcha Nestlé

A new Oreo product developed specifically for the spooky season, Cadbury Oreoooo is a 256g bag of individually-wrapped Oreo Mini Filled Eggs, with Halloween branding. Available now in cases of 12 from 5 August, it has an RSP of £4.19. For further enquiries, retailers can telephone Mondelez on 0870 600 0699, email retailer. services@mdlz. com or visit deliciousdisplay. co.uk.

Dinosaur Sprinkles Dr. Oetker

The result of consumer demand, this new limited-edition is inspired by one of the most popular of the 350 or so KitKat variants available in Japan over the years, and is made with no artificial colours, ﬂavours or preservatives. The four-fingered bars are available in outers of 24 x 41.5g packs (RSP 85p) to One Stop retailers and from Booker. The launch follows the introduction of KitKat Ruby last year.

The home baking brand’s Dinosaur Sprinkles (cases of 5 x 52g, RSP £2) includes a variety of coloured sprinkles and shapes to be used as a bright cake decoration. The sprinkles can also be used as an ice cream topping and come in a novelty pack which has a dinosaur head as the cap. A second variant – Unicorn Sprinkles – is also available. For more information, call 0113 823 1400 or visit oetker.co.uk.

MEDIAwatch

Hotlines

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KP sends Pom-Bear back to school KP Snacks has kicked-off a two-month-long £2.3m media campaign for its Pom-Bear brand. It expects to reach over five million people via out of home, digital and social media support. KP has also created content to run across both Facebook and Instagram, as well as seeding video content across targeted websites and publishers.

Juul’s advertising debut US vape brand Juul has launched its first UK marketing campaign, featuring testimonials from adult smokers who have switched to Juul from cigarettes. The out-of-home campaign runs until late September in cities – including Glasgow – with a high prevalence for smoking. It is backed by an educational PR campaign and local brand ambassador activity.

Mischief-loving biscuits Jammie Dodgers’ new campaign reminds people that no matter how mischievous children can be, we love them for it because they’re ‘Sweet at Heart’. The marketing drive comprises an integrated Facebook and YouTube campaign, bolstered by outdoor advertising targeting shoppers on the move, and social media inﬂuencer activity.

Sunshine makes Lipton taste better Fentimans light range Fentimans

Kids’ confectionery Spar Brand

The range consists of Rose Lemonade, Gently Sparkling Elderﬂower and Sparkling Raspberry ﬂavours and rolls out in September in 250ml bottles – available both as singles and 4-packs. For further details on stocking and price contact sales@fentimans. com. The launch will be supported by print advertising, sampling, digital and instore activity. Each drink contains less than 60 calories per bottle.

Spar Brand has added a range of on-trend additions to its kids’ confectionery offering, to keep the line-up fresh and relevant for shoppers. Three new products – Ice Cream Cones, Myles the Meerkat Jellies and Sour Snakes (all 60g and price-marked at three for £1) join the range. An extensive marketing campaign will support the new products, including POS, Spar Live Radio, social media and website activity.

Britvic has invested £3m on ‘Sunshine Makes It Taste Better’ – a summer campaign for its Ice Tea brand Lipton. The campaign runs for a seven-week period, including five weeks on TV. It will be supported by out-of-home, digital, social, sampling and in-outlet activity. The brand currently commands a 70% share of the UK’s ice tea market by value.

NY Bakery buddies-up with Friends New York Bakery Co. is sponsoring Friends on Comedy Central and Comedy Central Extra until the end of September with a new recipe collection inspired by the hit show’s characters. A total of six TV idents, one per recipe, are playing at the beginning and end of each Friends episode, and around the advert breaks during episodes.

for all the latest product news, head to www.slrmag.co.uk/category/product-news/ www.slrmag.co.uk

AUGUST 2019 | SLR

Feature

Back To School

BREAKFAST KEY TO HEALTHIER RETURN TO SCHOOL It’s almost that time of year again when pupils get ready to return to school for a fresh start to a new term – and healthier foods have never been higher up the agenda with a nutritious wholesome breakfast the idea way to start the school day.

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he annual ‘back to school’ period is a big opportunity for retailers as Scotland’s pupils return en masse for the new term. That means there will be parents across the country also beginning to prepare for sending their kids back to school and many of them will be aiming to ensure that they are proving their little loved ones with healthier, balanced meal solutions. That might mean setting them up for the day with a nutritious breakfast or it might mean packing their lunchbox with some tasty but healthy options to keep them going through afternoon classes. Back to school is an opportunity that applies to stores in practically every village, town and city in Scotland so it’s one every retailer has the chance to cash in on. One of the best ways of setting kids on the right path each school day is with a tasty, wholesome breakfast. There’s no point in reinventing the wheel when a traditional bowl of cereal provides many of the nutrients that kids need to maintain an active brain and body. Every serving of naturally low fat Kellogg’s kids cereal, for instance, contains three nutrients that are essential for good health: B vitamins, vitamin D and iron. And all packaged up in a format that kids know and love. Plus, cereal with milk is a leading source of 10 nutrients in children’s diets including calcium, carbohydrates, vitamins, proteins and fibre.

Fibre in particular is something that most people don’t get enough of each day. It helps keep our digestive tract in good working order, can help reduce high blood cholesterol and keep blood sugar levels stable. Yet in spite of the strong evidence of the benefits of fibre to overall health, 80% of people don’t get enough fibre, a trend that often starts in childhood and carries through to adult life. The Guideline Daily amount of fibre for kids aged 5–10 years is 15g. To put that into context, one 30g bowl of Kellogg’s Bran Flakes, for instance, provides 4.5g of fibre. A great start to the day. Offering a range of wholegrain cereals is another good way of giving your shoppers back to school solutions that are as healthy as they are delicious for kids. A healthy diet rich in wholegrains can help reduce the risk of several diseases, including heart disease, certain types of cancer and type 2 diabetes. As the name suggests, wholegrain foods are ones that contain all three parts of the grain. Together, these parts work to provide a rich source of dietary fibre, ‘healthy’ fats, B vitamins and vitamin E. Important nutrients that are essential to good health. There are many popular wholegrain cereals available including Bran Flakes, Honey Loops and Fruit ‘n’ Fibre and all deliver the benefits of wholegrain with a great taste that will ensure kids enjoy them every morning. A good range of popular cereals is the perfect place to start when building a healthy, wholesome back to school offer in-store. www.slrmag.co.uk

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RRP 89p

Feature

Chocolate Confectionery

NEW CHOC ON THE BLOCK SLR looks at some of the chocolate innovations helping to set retailers’ tills ringing at the moment.

t’s been a decent year for the chocolate confectionery category with plenty of exciting new lines to drive trial and generate excitement in-store.

CDM FREDDO TREASURES Cadbury Dairy Milk, the nation’s favourite chocolate, brought ‘treasure’ to the market earlier this year with an innovation in the Freddo family. Cadbury Dairy Milk Freddo Treasures comes in the form of a purple treasure chest filled with Cadbury Dairy Milk Buttons and, at 76 calories per chest, Cadbury Dairy Milk Freddo Treasures is aligned with Mondelez’s broader strategy to increase wellbeing choices across its portfolio. Susan Nash, Trade Communications Manager at Mondelez International, says: “Cadbury Dairy Milk Freddo is now worth £25.1m [Nielsen, Oct 2018] with 76% brand awareness. Freddo Treasures offers the great taste of Cadbury Dairy Milk Buttons, made with quality ingredients including a Glass and a Half of Fresh Milk, and a toy which is suitable for kids of all ages. With the portion of Cadbury Dairy Milk Buttons coming in under 100 calories per chest it’s a treat parents can feel good about giving their children.” The launch was supported by a £6m campaign, which included Freddo’s first ever TV ad, to drive additional sales for independent retailers with this new product.

£1 PMP HANGING BAGS Chocolate sharing formats, like bags and tablets, are key and bags are the fastest growing standard chocolate segment. To help retailers capitalise, Mondelez International has introduced new size £1 promotional pricemarked packs to improve price perception among their shoppers and help drive sales. The new £1 (RSP) 95g promotional PMPs are available across some of its bestselling bags: Cadbury Dairy Milk Giant Buttons, Cadbury Dairy Milk Caramel Nibbles, Cadbury Twirl Bites, Cadbury Bitsa Wispa and Terry’s Chocolate Orange Minis. 32

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TOP TIPS FOR RETAILERS Confectionery is one of biggest food and drink categories in convenience and the category is the most impulsive, so availability and display are really important. Follow the basics from Mondelez International below to maximise sales in the category and capture the attention of shoppers. Q Focus on the bestselling lines Q Have a range that covers all need states: self-eat, sharing and gifting confectionery Q Use manufacturers’ point of sale material where available Q Make the most of brand investment – have displays ahead of advertising or media investment Q Don’t forget the basics; keep displays fully stocked and tidy

DARKMILK SALTED CARAMEL The premium market is the fast-growing chocolate segment that is incremental and bringing in new, higher value shoppers. To capitalise on this popularity, Cadbury Darkmilk was launched to meet consumer demand for higher cocoa content products. The range launched with two variants – Cadbury Darkmilk Original and Cadbury Darkmilk Almond – and earlier this year a new Cadbury Darkmilk Salted Caramel variant joined the range in single format.

BOURNVILLE ORANGE This year also saw the return of an old favourite, Cadbury Bournville Orange. First launched in 1927, the bar combines strong cocoa notes with the thick, chunky texture of Bournville and real orange fruit pieces. It is now a permanent offering for the brand to tap into the trend for orange chocolate and is also now available as a PMP.

M&M’S BLOCK VARIANTS Mars Wrigley UK is bringing four brand-new M&M’S block variants to the UK market: Chocolate, Crispy, Hazelnut and Peanut. Considered the brand’s biggest launch in a decade, the four M&M’S Block variants will contain mini M&M’S alongside pieces of peanut, hazelnut or crispy and will be encased in milk chocolate. By combining Block – the biggest chocolate segment – with the biggest chocolate brand in the world, M&M’S aims to drive new consumers to the segment.

Matcha is a traditional drink made from powdered green tea that has been enjoyed for centuries in Japan. In KitKat Green Tea Matcha, it is combined with smooth white chocolate to give a sweet and fragrant flavour. KitKat Green Tea Matcha is made with no artificial colours, flavours or preservatives using Matcha green tea. This green coloured four-finger treat will be available as a limited edition and has an RSP of 85p. Each outer contains 24 x 41.5g bars.

AERO BLISS Following the launch of Aero Bliss in a carton format earlier this year, Aero has introduced a new premium single variant, in milk chocolate, which contains three individually wrapped pieces. The Aero Bliss Single is available across the market with focus on the convenience channel. Each individually wrapped smooth milk chocolate is filled with a cocoa aerated centre and the addition of delicate cocoa pieces. The velvety, whipped bubbles inside the chocolate shell melt in the mouth with every bite, creating a smooth chocolate sensation. The single carton has an RSP of 85p and is available now. The launch is being supported with a wide-reaching media campaign, including out-of-home, social and digital advertising as well as sampling and experiential activity. The Aero brand in total will benefit from a £3m media spend across 2019.

GREEN TEA KITKAT Nestlé is bringing the flavour of Japan to the UK this summer with the launch of KitKat Green Tea Matcha, inspired by one of the most popular of the 350+ KitKat varieties that have been available in Japan over the years and follows requests from chocolate lovers to make innovative KitKat flavours available to consumers outside of the country. www.slrmag.co.uk

Feature

Low & No Sugar Soft Drinks

HOW LOW CAN YOU GO?

In a miraculously short period of time the soft drinks category has been revolutionised with the vast majority of the focus from the major manufacturers shifting onto low and no sugar products. What does it mean for retailers?

ike so many legislative changes that have turned categories on their head, the Soft Drinks Industry Levy has already become something of a nonissue. Just as they have they done with so many any other categories battered by change like tobacco and alcohol, retailers have simply rolled up their sleeves and done the best job they could with the New World Order. Let’s not forget that many observers were predicting doom and gloom in the run up to the introduction of the soft drinks tax in April last year, yet it seems to have passed with more of a whimper than a bang. The impact of the introduction of the new tax was clearly softened considerably by last summer’s spectacular weather but it appears that, to all intents and purposes, both shoppers and retailers have coped with the shift away from sugar extremely well. Yes, the soft drinks market remains challenging, but the last year or so has been marked by a huge programme of NPD and innovation from the category leaders. Mark Bell, Strategy and Planning Manager at Red Bull UK, comments: “In a challenging year for the soft drinks category, Red Bull remains a genuine leader. Driving brand and sales success with range extensions, new shopper recruitment and all while remaining true to the core values that have made the brand one of the most recognised and successful in UK retail.” Overall, Red Bull is growing 15.1% in value and +8.9% in volume [IRI, April 2019], and performing solidly across all channels within the UK. “We’ve performed particularly well in the Symbols where we’ve seen 21.9% growth by value,” says Bell, citing the same data. “In 2018, a total of 6.79 billion cans of Red Bull were sold worldwide, representing an increase of 7.7% against an already very successful 2017.” In Scotland, Red Bull enjoys a 28.8% value share, making it the number one sports and energy brand. Scotland is also the fastest growing region in the UK for the brand, up 21.4% since last year. Additionally, Red Bull Sugarfree is the leading low calorie SKU in Scotland. And it’s in this low and no calorie space that the future lies for more and more shoppers and retailers. 34

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RANGING AND MERCHANDISING ADVICE Rich Fisher, Category Development Manager at Red Bull UK, offers the following three top tips: Space: Q Red Bull advises retailers to stock the most effective range to drive the greatest value Q Category space should be aligned with share of value sales to maximise sales Focus on top five brands Q 50-60% of Soft Drinks space should be allocated to the top five brands Q Ensure 60-70% of space for Sports & Energy brands, in line with share of the category Vertical blocking: Q Shoppers only see products within a 1.3m breadth Q Vertical blocking helps shoppers to easily find the product they are looking for improving their ease of shop

“We kicked off 2018 with the extension of our Sugarfree range, gearing up for the Soft Drinks Industry Levy,” says Bell. “Offering choice is at the centre of the Red Bull range with the portfolio expanded to include a Sugarfree variant for every Energy Drink pack regardless of size or flavour. “Tapping into the growing market for flavoured energy, we also added Red Bull Coconut Berry Edition in February this year. This introduction aims to remove one of the key barriers of trial in energy drinks – taste. The launch offers the energy boost of Red Bull with the flavour of coconut and is available in both Energy and Sugarfree variants (250ml), priced respectively at £1.29 and £1.25 per can.” Senior Trade Communications Manager at Coca-Cola European Partners (CCEP) Amy Burgess says that consumer tastes are moving towards choices with less sugar: “Consumers have a greater awareness of health and wellness than ever before, and this is impacting the way they shop, with 40% of convenience store shoppers rating a range of healthy products as important [HIM, 2018]. As more consumers look to make positive changes in their lifestyles to be healthier, sugar content has become a major factor in their choices and they’re continuously on the lookout for more low-sugar options in their food and drink.

“We have seen an increasing love of low and no sugar products in their own right. Diet Coke remains the most popular light cola brand in GB [Nielsen, March 2019], with a value of over £472m, while Coca-Cola zero sugar is growing significantly, currently up 53.3% in value in GB.” Burgess also points out that the same data shows CCEP’s range of flavoured carbonates, which includes zero sugar variants, is growing at 17% by value, highlighting the popularity of brands like Fanta Zero amongst consumers. “To make the most of this, we evolved our portfolio even further earlier this year with a new grape-flavoured addition to our Fanta Zero range, Fanta Grape Zero,” she says. Burgess highlights how premium and artisan options are also helping to drive the growth of low and no sugar soft drinks, with products like Appletiser proving popular whether being enjoyed on their own, or as an ingredient for cocktail or mocktail making at home: “As well as delivering on taste and refreshment, Appletiser helps retailers offer a sophisticated alternative to alcohol that the growing number of teetotal consumers are happy to drink while others may be having beer, wine or cocktails.” But while it’s important to ensure you have a wide range of low and zero sugar products in stock, Burgess urges retailers not to reduce space given to current best sellers. “CocaCola original taste remains the most loved and consumed cola in GB, showing that www.slrmag.co.uk

Low & No Sugar Soft Drinks

consumers still want choice when it comes to soft drinks.” She also advises siting lower and zero sugar soft drinks next to the original variants and removing slower selling lines to make space for new lower and zero sugar variants such as Coca-Cola zero sugar Raspberry and Diet Coke Twisted Strawberry. “Shoppers’ spending on zero and lowsugar drinks has increased by 33% and 29% respectively, showing just how important this segment of the market is,” says Matt Gouldsmith – Channel Director, Wholesale at Lucozade Ribena Suntory (LRS). “This is mirrored at the other end of the market with a decline in high-sugar drinks (with over 8g sugar per 100ml), which were down by 8% in the months following the sugar levy. These patterns of behaviour illustrate the relevance of our range to today’s consumer as they increasingly make healthier choices. “Our category-leading reformulations mean Lucozade Energy and Ribena now contain less sugar, and our core brands are also available in very low or zero-sugar alternatives in the form of Lucozade Zero, Lucozade Sport Low Cal and Ribena Light to offer consumers a full range of choice.” The recent launch of Ribena Frusion will help retailers take advantage of the trend towards healthier choices even further. The brand’s latest innovation sees Ribena move into the enhanced and flavoured water category for the first time. Ribena Frusion is unique in the soft drink category as it uses blackcurrant water that has been naturally infused with real fruit, offering shoppers great-tasting hydration on the move. Meanwhile, Barr Soft Drinks has also been doing its bit to help retailers satisfy changing shopper needs. Adrian Troy, Marketing Director, says: “Our research has highlighted that many carbonates shoppers in particular are looking to reduce their sugar and calorie intake, so it’s crucial that the convenience channel reacts accordingly to cater for shopper needs and maximise sales.” Low calorie carbonates in Scotland are currently growing at +18%, faster than regular carbonates at +10%. This growth in low calorie is being delivered across all of the subcategories – Cola +15%, Flavoured Carbs +15% and Energy +22%. [IRI, Apr 2019]. Barr Soft Drinks mid, low and no-sugar carbonates offer now includes: Irn-Bru sugar free and Xtra variants, the Barr Family with 14 variants which are all low or zero sugar, Barr Cola zero sugar Xtra variant and Rockstar with all variants now now sugar levy free. Barr Soft Drinks is urging outlets to review their soft drinks in line with shopper trends for healthier lifestyles, to make the most of this significant profit opportunity. www.slrmag.co.uk

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WINGS TO MAKE YOUR SALES FLY.

With demand growing, Red Bull Energy Drink is the nation’s favourite soft drink1. In 2018 our 250ml can outsold the nearest competitor by 25%2. What’s more, Red Bull Sugarfree is growing at 22% 3 and with even more flavours to try, if you want to help your sales fly, it’s easy to see:

1,2,3

IRI Infoscan, Total Coverage, Single Serve Soft Drinks, Value Sales, 52 w/e 29.06.19

AUGUST 2019 | SLR

Fascia Focus

UNLOCK NEW PROFITABLE GROWTH

Feature

There’s arguably never been a more pressing need for all of Scotland’s local retailers to find new ways of unlocking new profitable growth and one of the quickest fixes available is by harnessing the power of a supportive fascia group.

SLR | AUGUST 2019

et’s be honest: running a profitable local retailing outlet has never been more difficult. The minimum wage adds thousands to the overhead every year, the cost of utilities is rising, sales in traditionally key categories are being routinely squeezed with new legislation, margins are falling across the board – we could go on. Finding new ways of reducing costs and driving up footfall, sales and profits has never been more pressing and has never been more challenging. Evolving your business to embrace vital trends like coffee, food-to-go, fresh and chilled and such like is one way that retailers can drive bigger margin sales, but possibly the most effective quick fix that any store can implement is by joining a symbol group to gain access to the huge array of benefits that they can bring. Or, if you are already part of a symbol group, perhaps it’s time to consider if a different one might be more appropriate for your model? The lure of becoming part of something bigger is an enticing one and is one of the few decisions that an unaffiliated retailer can make that is all but certain to improve the business. Access to much greater buying power and all the benefits that come with being part of a larger organisation can be the difference between profit and loss in today’s ultra-competitive market. Joining a symbol group or fascia doesn’t mean that retailers need to lose their independence – in fact, the opposite is true. While the different groups all have different criteria that members must meet in terms of buying commitments and compliance, the one thing they all share is commitment to allowing local retailers to retain their independent status, something that’s nonnegotiable for most. But joining a symbol group offers all the benefits of being part of a nationwide collective of like-minded retailers with access to big buying power and the many invaluable support mechanisms that membership brings. The number of stores that now belong to one symbol group or another is fast

approaching the 50% mark today, and that’s for a reason. One other point worth noting is that very, very few retailers decide to return to being unaffiliated after joining a group. They may subsequently switch symbols, but they don’t tend to go back to being unaffiliated once they’ve had a taste of what’s on offer as part of a bigger group. So whether you are considering joining one of these groups for the first time, or are considering moving from one to another, this guide will provide you with the key data you need to make a fully informed decision as to which fascia is right for you. The great news is that the range of choices available has never been greater. Each partner has its own strengths, but they all offer buying power, a household name above the door and a comprehensive support network covering everything a retailer needs to remain competitive in today’s retail environment. Choosing a symbol group can seem an intimidating task. It is a big commitment, especially if you are already tied into a contract or faced with joining fees – whether this is in the form of an admin charge, buying shares or paying for signage or delivery. But there is no doubt it can pay huge dividends. How to decide which symbol group is right for you will ultimately depend on your shoppers and what they want you to offer them. The pros for retailers considering joining or switching symbol groups are numerous and the cons are few. Sometimes there will be a fee, but it may be worth the cost as often it gives additional industry-specific information that will support any application. This information, when backed by the weight of a symbol brand, can add an influential supporting voice to any finance application. Retailers should ask themselves whether remaining unaffiliated is detrimental to their potential as a business. Whatever level you decide to go in at, do your research before determining which group is right for you – then when you do commit, make sure you commit fully to give your refreshed business the best possible chance of building longterm sustainable growth. www.slrmag.co.uk

O T D E T T I M M O C

S R E L I A T E OUR R SINCE 1977

“It’s the range that’s available to us through Nisa that sets the group apart from all the others, especially the fresh range and even more so since the arrival of the Co-op own label. It allows us to compete at a higher level and we can target shoppers and get them through our doors without them having to think about going to a supermarket.

We receive a very high level of service from Nisa with really reliable deliveries that I don’t think can be beaten elsewhere and we also enjoy the freedom of independent retail that we retain by working with Nisa.”

Join the family... Visit: www.join-nisa.co.uk

Working with Nisa enables us to compete at a higher level. Dan Brown, Pinkie Farm, Musselburgh

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Fascia Guide

FACTS: Current number of stores: 1,560 Minimum store size: Criteria varies by brand, but our retailers are independent stores ranging from 700 sq ft to 7,000 sq ft. Joining or membership fee: No joining or membership fee.

Minimum order commitment: Our minimum order quantity is 80 ambient/bws/tobacco and 30 chill/freeze.

GROW YOUR BUSINESS WITH COSTCUTTER’S INNOVATIVE ‘SHOPPER FIRST’ PROGRAMME

Delivery frequency: We match delivery frequency to our retailers’ volume to ensure we provide a service that delivers high levels of availability and freshness for their shoppers. Own label range: Access to the Co-op Own Brand is a major highlight within our range. Now featuring over 2,000 products, we are seeing footfall, basket spend and sales increase across our stores as shoppers value the quality and appeal of Co-op products.

Our mission is to help independent retailers thrive. That’s why we have invested in the offer, insights and innovations that our retailers need to grow their businesses.

t the heart of this investment is our unique Shopper First: Drive Five to Thrive business growth programme, which provides indepth shopper insights and data to help our retailers tailor every aspect of the store – from range and missions to marketing and in-store execution. By using Shopper First: Drive Five to Thrive, our retailers are able to grow their business by attracting new shoppers into their store. Since its launch in 2017, we have delivered impressive sales and profit growth of over 20% among participating stores by helping our retailers put their shoppers first. We have now made significant additional investment into the programme to expand and broaden the shopper insights.

For entrepreneurial retailers who are looking to grow their business, our supply deal with the Co-op is also clearly a major factor in the decision to join our Group, as we bring together their wholesale strength and grocery retailing expertise alongside our in-depth understanding of the independent convenience sector. In addition, we’re seeing footfall, basket spend and sales increase across our stores as shoppers value the quality and appeal of Co-op products. We have also been rewarding our retailers’ loyalty with our best-in-sector commercial terms that includes no fees or surcharges and a rebate of up to 6%. As a result, we have been attracting some of the best store owners in the sector to join Costcutter Supermarkets Group.

CONTACT DETAILS: 01904 488663 WWW.COSTCUTTERSUPERMARKETSGROUP.COM

SLR | AUGUST 2019

www.slrmag.co.uk

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unique Are you looking for a partner that customer will work you to grow your insighwith ts business to its fullCome potential? Look and meet the team at what Costcutter can offer you! Unique shopper insight to drive your sales

Modern, contemporary store brand to drive footfall

n Highly competitive price and great rebate of up to 6% Right range including award-winning Co-op Own Brand

f Leading the sector marketing to todayâ&#x20AC;&#x2122;s digital shoppers Unrivalled BDM support for your business

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Tea

TEA – AND WHY IT MATTERS

Tea remains the nation’s favourite hot beverage but you’d never know it, judging by the lack of attention the category often gets – so is it time for a fresh look?

MAXIMISE YOUR TEA SALES:

t’s easy to overlook the fact that tea – not coffee – is the nation’s favourite hot beverage. According to Kantar data from as recently as August, buyer numbers were actually up 0.3%, despite the fact this is one of the most mature categories in the industry. That tea has been around a long time doesn’t mean that the category isn’t constantly evolving Core black tea still accounts for 78% of all tea sold but a wave of innovation has brought new shoppers into the category. Peter Dries, Director of Customer and Shopper Marketing at Tata Global Beverages, explains: “Evolving lifestyles and interest in health has created space for new products delivering different taste experiences to shoppers and higher value sales to retailers. “The challenge for retailers is to keep pace with changing tastes and what drives purchase, and use their knowledge to adapt their tea range to maximise sales.” Don’t forget too that the tea shopper is a valuable shopper to local retailers. Of everyone buying hot beverages, tea buyers are more likely to buy complementary products with their tea purchase. Milk, bread, cakes and biscuits are common basket companions, as well as cakes and pastries for on-the-go purchases. (HIM! CTP 2018). As highlighted above, core everyday black teas still account for more than three quarters of all teas sold, so remain a critical backbone of the category, with the big brands driving nearly 80% of those sales. But to give your store the chance to grow the tea category, it’s vital to include a selection of different teas. In grocery multiples, for instance, noneveryday black teas account for 45.3% of 42

SLR | AUGUST 2019

category value sales. This drops to just 18.1% in total impulse. Are local retailers overreliant on everyday black tea? Dries certainly thinks so: “Returns will come from having a strong black tea offering, balanced by a mix of non-black teas selected to appeal most to your customers. Repertoire tea drinkers who drink different types of tea are important to cater to as they drink more tea more often.” Options to consider: Decaf – it’s a good idea to complement every day black tea with a decaf option. Decaf drinkers won’t choose an alternative, so if one isn’t available, a sale won’t be made. Health – tea’s good fit with health continues to be a draw and value sales are up across the board in impulse for products that fit the bill here: Fruit and Herbal (up 18.4%); Green (up 16.5%) and Redbush (up 8.9%). Tea with functional benefits – according to a study by Kantar, 31% of consumers select products for their health benefits, naturalness and positive nutritional content. Tetley has led the way in functional teas with its suite of Tetley Super teas. These have added vitamins and EFSA approved health claims ranging from immune system support to reducing tiredness and fatigue. Cold infusions – The desire to hydrate and quench thirst are the biggest drivers of cold drinks sales [Kantar Usage Study] and Tetley Cold Infusions are an easy and tasty way to add a fruity burst of flavour to water – perfect for warmer seasons and for customers to enjoy on-the-go. Available in packs of 12 infusions they have an RSP of £2.49 and come in five flavours. To boost sales Tetley has launched a new clip strip carrying 12 units of three infusions with an RSP of £1 each.

Q Complement core black with a selection of teas that suits your customer base Q Stock the top sellers Q Block best-selling brands together and place teas in a logical sequence from everyday black through to decaf, greens, fruit and herbals and speciality Q Signpost different types of tea and highlight anything new Q Offer a mix of pack sizes to cater to different shopper missions Q Demonstrate value with price marks and strikethrough pricing Q Don’t be tempted to overpromote, leave room for higher value sales from products that can stand alone without further discount Q Think of different tea occasions where you can bring products together in a theme and benefit sales across difference categories Q Keep on trend with products like functional teas and new cold infusions which meet the needs of health and hydration and appeal to younger buyers

TOP EVERDAY BLACK TEA SKUS IN SCOTLAND: Q Tetley 240s (23% vol share) Q Tetley 160s Q Tetley 80s All are in volume growth. [Nielsen, Jun 2019]

TOP GREEN SKUS IN SCOTLAND: Q Tetley Pure Green 50s (8.2% vol share) Q Twinings Pure Green 20s (6.3%) Q Tetley Green Lemon 50s (6.2%) [Nielsen, Jun 2019] www.slrmag.co.uk

Advertorial

EDGEPoS | Henderson Technology

EDGEPOS GIVES ABERDEENSHIRE RETAILER THE EDGE Installing Henderson Technology’s awardwinning EPoS system has given Westhill Service Station in Aberdeenshire unrivalled insight and control of its operations – and many more Scottish retailers are set to benefit from the future-proofed EDGEPoS solution in the near future.

SLR | AUGUST 2019

DGEPoS is an awardwinning EPoS software system, designed by retailers, for retailers. It has been developed specifically for the convenience and fuel forecourt market by Henderson Technology. Henderson Technology is the largest EPoS supplier in Northern Ireland with over 460 sites. In 2018 Henderson Technology embarked on a major sales expansion outside of Northern Ireland with customers in Scotland, England and Wales now coming on as EDGEPoS partners. EDGEPoS covers the three main areas of running your business: operational efficiency, security and business development. Westhill Service Station in Aberdeenshire has been serving its community since 1968. Branded Spar and BP, it is run by Robert Simpson. Darren Moir, the store manager, has worked for the family-run business for 28 years. Darren says: “We had been researching EPoS systems for 18 months to ensure we chose the right solution for us. The ease of use of the system drew us to EDGEPoS when we looked at it initially. That, alongside the ability to install the system within our timeline and the competitive pricing model.” Was it the right decision? “Undoubtedly,” says Darren. “The whole process was extremely smooth. From installing the back office PC to the full install and even the after training, service was first class. The support we got was second to none, and is still the same now. The fact our customers never noticed a change, and we had no disruption is a testament to EDGEPoS and the Henderson Technology team as a whole. “We now have all the benefits of the additional functions and features on the EDGEPoS system, including the Azpiral staff loyalty integration, allowing us full control and visibility in every area. “It was a seamless swap over from the old system and I can’t recommend it enough to other retailers looking for a new system.” Henderson Technology caters for both convenience stores and fuel forecourts but what makes it different to other EPoS

systems is the fact 90 Henderson Retail company-owned stores in Northern Ireland rely on the system. This gives Henderson technology both the retail expertise and the technological expertise to set them apart. The Henderson Group is one of the only companies worldwide selling an EPoS system it actually uses in its own business. This gives Henderson’s a unique perspective while the constant drive to keep their stores ahead of the competition ensures EDGEPoS continues to evolve and retailers continue to beneﬁt. Darren Nickels, Head of Henderson Technology, says: “We are excited about what the future holds in Scotland. We launched in GB at the end of 2018 and are now working with a variety of wholesale and fuel brands. We have a number of installs already booked in Scotland this year.” Scott and Andrew Aitken, owners of Bypass Service Station and Rigg Service Station, are also installing EDGEPoS in their sites. “Henderson Technology invited us to Northern Ireland for an EDGEPoS study tour earlier this year,” says Andrew. “After seeing the system in a number of stores, we were extremely impressed with how it coped in a range of size of stores and with the advanced features of the system. We then visited Westhill Service Station to get honest feedback from Darren and were delighted with what we heard. It was an instant decision to proceed with EDGEPoS. We were looking for the most innovative company with state-of-the-art technology. Henderson Technology has come up with the goods. EDGEPoS is cutting-edge technology. It does more than what it says on the tin.” Darren Nickels concludes: “With the launch of our innovative and cost-effective self-checkout solution, and upcoming launches of Appetite, Gander and Ubamarket integrations, EDGEPoS really is the future of retail technology. We offer 24/7 support as we know that businesses do not stop at 5pm. Get in touch today.” www.henderson.technology sales@henderson.technology Tel: 028 9094 1900 www.slrmag.co.uk

Take control of your forecourt EDGEPoS, developed for the convenience and fuel forecourt market by Henderson Technology provides a forward-thinking EPOS solution for retailers. Reliable, fast and flexible software 24/7 customer support Global customer base Award winning innovation Easy to use and implement

Are you tired with the lack of support and service from your current EPOS supplier? Work with a team who can deliver the most progressive system today and discover how EDGEPoS can prepare your business for the future. Visit www.henderson.technology to learn more. +44 (0)28 9094 1900 | sales@henderson.technology |

@_HendersonTech

UTC

IN-STORE COMMS. YOU’RE DOING IT WRONG.

You must be very careful these days as a business when it comes to ‘living your values’, as the current jargon would have it. In other words, it’s no good just saying you care, you actually have to care. Which, granted, can be difficult when your job basically involves having to deal with staff and the general public all day every day. But if you don’t live your values, there’s always a smartarse with a smartphone willing to give you a good rinsing via the awesome power of the worldwide interweb thingy. Step forward Walmart...

DAVIE, WHERE ARE YOU WHEN WE NEED YOU? An avid collector of sales pitch dressed up as legitimate research, UTC’s favourite example from last month was a release highlighting new research that some football fans in England – yes, only in England – are putting their sex lives on the line because of their undying loyalty to their clubs. How are they doing that, you might ask? Well, in Greater London, for example, apparently 27% of Premier League supporters have admitted to having thought about footballers while having sex. The auld yin’s subconscious immediately conjured up an image in his head of Davie Dodds, the ‘unacceptable face of Scottish football’. Remember him? Astonishingly, it isn’t Davie Dodds that people think of while getting it on, but David Beckham. (At this point you’ve probably realised that you had been assuming we were talking about male footfall fans, and maybe we are because the press release doesn’t clarify that issue.) Worse, almost 50% of southern English supporters have admitted that winning a trophy is better than sex. Being a Hamilton Accies fan, the auld yin has never experienced the unbridled joy of winning a trophy and, somewhat harshly, admitted that he can only vaguely remember the last time he experienced any unbridled joy with Mrs UTC. He made mention of a bus shelter in Girvan, but we didn’t probe. 46

SLR | AUGUST 2019

AND THE TWEET OF THE MONTH GOES TO...

Politics can be very thin ice for the auld boy to skate on, so he ordinarily avoids it like the plague. But when politics and the convenience retailing trade come together nicely, as they rarely do, he feels he is compelled to step onto the ice and to hell with it. So here goes with a cracking Tweet from a certain Tommy Umami. Sounds legit.