RETAIL THE WEEK IN
RETAIL CRIME
THEFT ON THE RISE OVER 250K INCIDENTS OF SHOP THEFT REPORTED
CRIME PREVENTION
FACIAL RECOGNITION
SOUTHERN CO-OP FACES LEGAL CHALLENGE
● Cash still king for
staycationers
● Yorkshire store
undergoes elaborate refit BUSINESS
FOOD-TO-GO RECOVERY
● Spar stores join
coastal clean-up
CATEGORY TO BECOME ‘FIERCELY COMPETITIVE’
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Issue 115 Wednesday 27th July 2022
T H E W E E K I N R E TA I L
EDITOR’S COMMENT
Face off There was worrying news this week in the form of new ONS data which shows there has been a 21% increase in shoplifting over the previous year. While there has been an 11% decrease over the last decade, the increase is a worrying reversal of the recent downward trend, and there are fears that the figure may continue to rise as the cost-of-living crisis bites. The news comes as technology that could potentially stop theft and other retail crime is coming under increasing pressure to be switched off. Earlier this week it was revealed that privacy campaign group Big Brother Watch has filed a legal complaint against Southern Co-op for its use of live facial recognition in stores, marking the first legal challenge brought against a retailer for using the technology in the UK. The system scans people’s faces with a single camera as they enter the store. It then converts the captured images into numerical data – or hashes – so that it can compare the faces against a pre-defined ‘watchlist’ of people that the co-operative believes have stolen from its shops, or been violent. Southern Co-op announced it was using the technology in stores in October 2020, with Loss Prevention Officer Gareth Lewis claiming in a blog post that it “has helped reduce theft in the stores where it is deployed”. Meanwhile, in Australia, it is being reported that DIY, garden and hardware chain Bunnings and
department store chain Kmart have temporarily halted use of facial recognition in their stores while the Office of the Australian Information Commissioner investigates the privacy implications of their systems. The two chains were trialling the technology to prevent refund fraud and reduce theft. However, consumer group CHOICE revealed the retail giants were using the controversial technology following an investigation that saw it analyse the privacy policies of 25 major retailers. The investigation found that 17 retailers, including major supermarket chains Woolworths, Coles and Aldi, are not using facial recognition in their stores and have no plans to introduce it. The report led to significant criticism from many Australian shoppers, who shared their concerns across social media. It’s a hard one to call. Yes, being secretly filmed is a bit creepy and I would worry that the footage was being misconstrued in some way. On the other hand, the benefits the technology offers society, by protecting people working in retail and stopping criminals, make it appealing. Hopefully, both sides of the argument can get their heads together to make the technology work for everyone.
LIZ WELLS, DEPUTY EDITOR
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 3
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CONTENTS
WEDNESDAY 27 JULY 2022 / ISSUE 115
6
9
10
23
THIS WEEK’S NEWS
COVER STORY
COMMUNITY
Jisp saves shoppers over £265,000 at convenience stores and Southern Co-op faces a legal challenge to its facial recognition cameras.
Is an increase in shop theft offences – as revealed by new data from the Office of National Statistics – being driven by the cost-of-living crisis?
Seaside Spar stores are organising and taking part in community coastal clean-ups as part of the Million Mile Clean initiative.
Covid-19 update
13 Store refits
17 Cost of living
21 Supermarket sales
Around two-thirds of households are setting
The summer heatwave gives UK
A Nisa store in North Yorkshire sees sales
strict limits on the amount they spend on
supermarket grocery sales a boost,
explode after an elaborate refit.
their weekly food shop.
14 Own brand
18 Retail sales
according to new NielsenIQ data. 24 Suppliers
Shoppers at the newly developed Nisa
The Platinum Jubilee helped slow the
Forecourt operator Pricewatch appoints
Tout’s store in Somerset have been
decline in UK retail sales, says ONS.
Riverside Greetings as its sole greeting
sampling Co-op’s Irresistible own brand. 15 Food-to-go IGD predicts the UK food-to-go market will be worth £23.4bn by 2027, while out-of-
19 Consumer confidence
card category provider.
Consumer confidence remains at an
25 Picks of the week
historic low, according to GfK’s July figures.
29 Out the box: home delivery
20 Cash
Uber Eats is to refresh its grocery
home eating occasions increase 12% year-
A Post Office poll reveals 40% of those
delivery service with new app features for
on-year, according to new MealTrak data
carrying cash do so as it helps them
consumers and retailers.
from TWC.
budget and keep track of spending.
31 Before you go...
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 5
NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
CALL FOR FUEL CARD FEE REVIEW The Petrol Retailers Association has launched a campaign to highlight the low level of fees paid by fuel card
COST OF LIVING
Jisp saves shoppers over £265k at convenience stores
The all-in-one shopping app is working with brands and retailers to help fight increasing inflation.
issuers, warning they are not sustainable. It says that with the current high fuel prices, and the media questioning whether retailers are taking a fair margin, the issue needs to be addressed.
TESCO CUTS PLASTIC Tesco is scrapping multipacks of its own label drinks as part of a move to save 45 million pieces of plastic a year. Individual cans will continue to be sold at the same price per unit as a part of a multibuy promotion. In addition,
Shopping and rewards app Jisp has saved shoppers more than £265,000 at convenience stores nationally. Scan & Save has achieved 366,724 scans, 226,831 vouchers issued, and 202,420 redemptions since its launch in September 2021. The average shopper redemption per visit is 2.57 items and average saving per visit is £3.22. However, Jisp’s most loyal shoppers using its reward scheme visit
three times more than the average user and add two more items per visit. Greg Deacon, Chief Customer Officer, Jisp said: “We know shoppers are facing increases of over £400 annually in grocery bills. However, we are working with brands and retailers to help all fight inflation right now in a sustainable and measurable way. Building stronger engagement between Jisp app, shoppers and retailers. “Our growth with Nisa is exceptional, we are piloting with Booker and soon to be Bestway Retail. In addition, come September non-affiliated independents will bring exclusive savings to shoppers locally through our exciting partnership with Payzone.”
shoppers will be able to mix and match purchases.
HANCOCKS CELEBRATES Hancocks in Birmingham has celebrated the wholesalers 60th anniversary with its biggest store event so far this year. The 309 customers who attended were able to take advantage of hundreds of offers. The event also offered prize draws and giveaways.
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ACS appoints new directors to its board The Association of Convenience Stores has appointed Darren Nickels (Henderson Technology), Susan Connolly (Connolly Spar), and Rob George (McColls) to its board. The new board appointments replace Debbie Robinson, Paul Cheema, and Andy Cresswell, who are leaving the board. Meanwhile, Paul Cheema will remain on the ACS Independents Board. ACS Chief Executive, James Lowman, said: “We are delighted to
welcome these new appointments to the ACS board, who bring with them a diverse range of skills and experience which will strengthen our strategic planning during what is a challenging time for the retail sector. The ACS team is looking forward to working closely with new and existing board members on continuing to deliver the best representation, advice, and industry-leading networking opportunities for our members.”
NEWS DIGEST
THIS WEEK’S NEWS FOR ALL THE LATEST NEWS, HEAD TO WWW.SLRMAG.CO.UK/CATEGORY/NEWS/
CRIME PREVENTION
Southern Co-op faces legal challenge to facial recognition
Big Brother Watch and data rights firm AWO claim the biometric technology is infringing on the privacy rights of people.
EXPRESS CUTS RETAILER TERMS The Sunday Express will increase in price from £2 to £2.10 from this Sunday (31 July). At the same time, the newspaper’s publisher Reach is
A legal complaint has been filed against Southern Co-op’s use of live facial recognition cameras in 35 of its stores. Big Brother Watch and data rights firm AWO claim the biometric technology is infringing on the privacy rights of people and have filed a complaint to the Information Commissioner’s Office, which regulates privacy laws. Silkie Carlo, Director of Big Brother Watch, said: “The Southern Co-op’s use of live facial recognition surveillance is Orwellian in the extreme, highly likely to be unlawful, and must be immediately stopped by the Information Commissioner. “The supermarket is adding customers to secret watchlists with no due process, meaning shoppers can be spied
cutting the percentage margin paid to retailers from 19.5% for each copy sold to 19%. NFRN officials are due to meet with Reach bosses soon and will raise the issue.
on, blacklisted across multiple stores, and denied food shopping despite being entirely innocent.” In response, a spokesperson for Southern Co-op, told the BBC: “We take our responsibilities around the use of facial recognition extremely seriously and work hard to balance our customers’ rights with the need to protect our colleagues and customers from unacceptable violence and abuse.”
BP’S ELECTRIC TRUCK SITE OPENS BP has opened its first ultrafast-charging facilities aimed at medium- and heavy-duty electric trucks. Operated by BP’s Aral brand, the site at Schwegenheim in RheinlandPfalz, Germany, now offers two state-of-the-art 300kw ultra-fast charging points.
Food prices accelerate strongly in July
ALDI RAISES PAY
Food inflation “strongly accelerated” to 7.0% in July, up from 5.6% in June, according to the BRC-NielsenIQ Shop Price Index. In addition, fresh food inflation accelerated in July to 8.0%, up from 6.2% in June, and is the highest inflation rate since May 2009. Ambient Food inflation accelerated to 5.7% in July, up from 4.8% in June – the fastest rate of increase since April 2012.
Aldi is giving around 26,000
Mike Watkins, Head of Retailer and Business Insight at NielsenIQ, commented: “The grocery industry is under intense pressure as retailers try to shield customers from the full impact of inflation.” He added: “At the same time there has been an increase in competitive intensity so customer retention over the summer holiday season will be key to help stem any further fall in volumes.”
store staff a second pay increase this year. From September, all hourly paid employees will receive an increase of 40p an hour on their current hourly rate, taking Aldi’s minimum pay rates for store assistants to £10.50 an hour nationally and £11.95 for those inside the M25.
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THE SCOTTISH BUYING GROUP FOR INDEPENDENT RETAILERS SINCE 1976 Scotland’s best kept retail secret, working with independent retailers for over 40 years providing access to one of the leading convenience retail groups while allowing you to run your store, your way with great ranges and great support delivered direct to your store. Delivery direct to store, small minimum order quantities. 14,000 SKU count across all categories including Food to Go Access to the excellent Co-op Fresh Range 3 weekly promotion cycle available Year round Seasonal sales opportunities Fascia and branding opportunities through the well established brand Rebate scheme for qualifying members, spend level applies Extensive supplementary Direct to Store ranges and services Central Invoicing*, 1 weekly statement and 1 Direct Debit
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NEWS SPECIAL
COVID-19 UPDATE
VOLUMATIC UPGRADES CASH COUNTER
Scotland sees Covid cases rise again
Cash handling solutions company Volumatic has
The current wave is being driven by the Omicron BA.4 and BA.5 variants, which are more transmissible than other strains.
unveiled its latest upgraded money counting scale – the CountEasy 2. The compact machine can accurately count the entire contents of a till in less than one minute, with the ability to count both notes and coins.The CountEasy 2 provides additional features to the original CountEasy, including: ● A larger backlit configurable display screen ● Configurable in up to 32 ● A float capability feature
getting seriously infected is far lower compared to the number being infected. But it is still substantial and there is still quite a number of people who are getting serious illness, including long Covid, who have no obvious reason why that is occurring so we need to be aware of that.” It was confirmed last week that everyone over the age of 50 would be offered an additional Covid booster jab in the autumn. Other groups of people at higher risk from the virus will also be given another dose of the vaccine to boost their immunity.
● USB port ● Additional currency
TECH SOLUTIONS
O
ne in 15 people in Scotland were estimated to have Covid last week as cases increased for the seventh consecutive week. The Office for National Statistics estimated that 340,900 people would have tested positive for the virus in the week ending 14 July. The current wave is being driven by the Omicron BA.4 and BA.5 variants, which are more transmissible than other strains. Professor Rowland Kao, of the University of Edinburgh, told BBC Radio’s Good Morning Scotland programme: “Overall, the number of people who are
languages
capacity ● Real-time clock The CountEasy 2 also offers the option of an integrated printer, with the CountEasy 2 IP. The IP version has the same features and benefits as the CountEasy 2, but also allows retailers to print a hard copy of the count, for enhanced accountability.
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 9
C OV E R
RETAIL
Theft on the rise
ONS data shows there has been an increase in shop theft offences reported to police and there are fears that the figure may continue to rise as the cost-of-living crisis bites.
T
here were 274,999 incidents of shop theft in the year ending March 2022, a 21% increase from a year earlier, according to new ONS data for police recorded crime, sourced to the Home Office. The figures only account for the number of incidents that ended up being recorded by the police, so is likely to be just a fraction of the number of crimes committed. Figures from the 2022 ACS Crime Report show that there were almost a million incidents of theft committed against convenience stores over the past year, costing an average of more than £1,000 per store. More than half of those committing offences were identified as
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repeat offenders, and the top motivations for repeat offending were addiction and an organised group of criminals. ACS Chief Executive, James Lowman, said: “The overall increase in shop theft is likely to be partially due to many retailers being closed or partially closed during the period of Covid restrictions. Additionally, many convenience retailers were operating on reduced numbers of customers in store for safety reasons, which can make it more difficult for thieves to steal from stores. Shop theft continues to be a massive issue for convenience retailers and is mostly driven by organised groups stealing to sell on elsewhere and those who are suffering from a drug or
alcohol addiction. Retailers have told us that they do not see any evidence of the cost-of-living crisis driving ordinary people to steal from stores, it is still the same
“We urge all police and crime dealing with shop theft ... as there is a strong likelihood escalate to violence, rob groups looking to cash in at the expense of hard-working business owners. “We strongly urge all Police and Crime Commissioners to prioritise dealing with shop theft in their plans for local
R S T O RY
L CRIME
forces, as if there is not intervention there is a strong likelihood that these so-called ‘low level’ crimes will escalate to abuse, violence, robberies and burglaries as the
me commissioners to prioritise s if there is not intervention these ‘low level’ crimes will bberies and burglaries.” criminals become more confident that they won’t be caught.” Earlier this month, supermarket chain Iceland’s Managing Director Richard Walker said shoplifting in his stores
is on the rise due to “people struggling” amid the cost-of-living crisis. He told Good Morning Britain: “We’re not the police and we do have security guards in some stores, but they will give a written warning or ban the customer from the story if they get aggressive... I get the serious incident reports every week of aggressive behaviour that goes on in our stores and unfortunately it is going up because people are struggling.” Paddy Lillis, Usdaw General Secretary, agrees that the increase in shoplifting may well be a consequence of Covid restrictions being lifted in stores last year and calls for action to ensure this reversal of a downward trend does not continue.
He said: “We are aware that the costof-living crisis may also lead to more shoplifting. However, the answer to the squeeze on household budgets is not to turn a blind eye to theft from shops, which in itself contributes to rising prices as retailers try to recover losses. The Government must take immediate steps to help people who are struggling to make ends meet, with a new deal for workers on pay and employment rights, a reduction in VAT and an uprating of in-work benefits in line with inflation.” He added: “Shoplifting is not a victimless crime, theft from shops has long been a major flashpoint for violence and abuse against shopworkers.”
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 11
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S TO R E R E F I T S
NISA
Grassington store sees sales soar after refit
The store has doubled in size, every fixture and fitting has been replaced, and the grocery offer has been overhauled.
T
he Nisa Local Dales Market Square in Grassington, North Yorkshire, has seen sales grow by more than one-third since it completed an elaborate refit. Retailer Colin Graves, who purchased the store two years ago, undertook the work to create a new offer for locals and the large population of walkers and cyclists that visit the store. For the first year of ownership, the store operated in its original state at less than 1,000sq ft, but work then began to transform the premises, and the shop re-launched at Easter 2022.
The store has doubled in size to more than 2,000sq ft, every fixture and fitting has been replaced, and a full convenience grocery offer has been introduced that combines a strong presence of locally supplied lines teamed with Co-op own-brand and branded goods. Year-on-year sales grew by 50% between July 2021 and July 2022, with the chilled range proving particularly popular, increasing by around 80% during that time. In addition, figures for the first three months post-refurbishment show growth of more than 37%.
Business manager Stacey Brookes, said: “We had to work hard to re-build the confidence of our shoppers and show them what we had done and that they could rely on us for all their grocery needs. “Before we bought the shop it had become quite run down and there was not much of a range so when we took it on, we had a lot to do to bring it back up to standard. But the customers all love it. They love the store, and they love what they can now buy from us, all on their doorstep.”
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OWN BRAND
NISA
Somerset store showcases Co-op Irresistible A recent tasting event let shoppers sample Co-op’s Irresistible own brand.
S
hoppers at the newly developed TOUT’S store in Cleeve, Somerset have been sampling Co-op’s Irresistible own brand. The Co-op Irresistible Tasting Van parked up for the afternoon outside the new-look store and shoppers were tempted by some of Irresistible’s favourite lines alongside some new products recently introduced for summer. The list of Co-op Irresistible products sampled during the day included:
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Rib & Brisket Burger, Pork Sausages, Bhaji Burger, West Country Cream Mango & Raspberry Swirl ice Cream, Passion Fruit & Lemon Roulade, and Sea Salt & Chardonnay Vinegar Crisps. Rob Tanner, Head of Retail at TOUT’S, said: “The Co-op own label range is very popular with our shoppers and so the tasting van was a great way for us to let them try before they buy and encourage greater participation in the Irresistible products we stock.”
Jonathan Lambert, Wholesale Category Lead at Co-op, added: “The event was part of a trial to explore different opportunities available to Nisa retailers, to help increase the uptake in the Co-op own-brand range. The tasting van, which showcased some of the great products on offer at TOUT’S, was well received and something we will consider making use of again in the future to help introduce our Irresistible range to even more people.”
BUSINESS INTELLIGENCE
FOOD-TO-GO
Food-to-go recovers but challenges lie ahead IGD predicts that price point, range and execution of meal deals will become fiercely competitive, as providers aim to capitalise on the opportunity.
T
he UK food-to-go market is predicted to be worth £23.4bn by 2027, 26% more than pre-pandemic levels, according to a new IGD forecast. IGD predicts the UK food-to-go channel will be worth £18.9bn this year, 3% more than its pre-Covid value in 2019. The market has performed better than predicted since the pandemic, but this will slow by the end of the year and throughout 2023 as consumers battle rising costs, says IDG. Nicola Knight, Senior Analyst for Food-to-Go and author of the forecast, said: “Inflation is already affecting many consumers but until now food-to-go has continued to perform strongly. This
will change as the true impact of rising prices really kicks in in the last quarter and takes hold next year. So, while inflation will boost the overall value of the market, volume will, at best, stay the same in 2023. “The next 18 months will be a challenging period for the sector, mainly for coffee and food-to-go specialists.”
IGD predicts that price point, range and execution of meal deals will become fiercely competitive, as providers aim to capitalise on the opportunity. Knight added: “During the pandemic, retailers deprioritised food-to-go space in favour of in-demand categories, leaving them on the competitive back foot as footfall returned and consumers sought a change from homemade meals. However, if they can get their price, offer and format right, by 2027 retail could more than regain the share lost to foodservice operators during the pandemic to claim 23.7% of the foodto-go market, compared with 22.9% in 2019 and 20% in 2020/21.”
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BUSINESS INTELLIGENCE
FOOD-TO-GO
Out-of-home eating increases MealTrak data from TWC shows that ‘staples’ and ‘treats’ are driving the recovery in food-to-go.
O
ut-of-home eating occasions increased 12% year-on-year, according to new MealTrak data from TWC. In the latest 12-week period, the number of out-of-home eating occasions was 8% higher than in 2021. There were 786 million out-of-home eating occasions in the 12 weeks ended 13 June 2022. The research shows sandwich shops (-9%) and coffee shops/cafes (-6%) have gone into decline over the past 12 weeks and they join fast food (-16%) and high street as the channels in decline. Convenience stores (-1%) also continue to struggle compared to other channels. However, forecourts are rebounding
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well – with a 32% increase in occasions in the previous 12 weeks compared to 2021. Food-to-go occasions also increased by 2% in the 12-week period. The sub-sectors driving growth in the past 12 weeks are predominantly ‘eating out’ venues: restaurants (+148%), pubs (+99%), and hotels (+96%). The research also shows that ‘staples’ and ‘treats’ are driving the recovery in food-to-go. Cakes and pastries, crisps and nuts, sandwiches, savoury pastries, breakfast foods, and hot and cold drinks are all showing growth of 20% year-on-year. Tom Fender, Development Director at TWC, said: “The latest MealTrak data
reflects the continued recovery of the eating out sector, supported by a modest increase in food-to-go, most notably in the multiple grocers over the last 12 weeks. We are seeing fast food and particularly takeaways – which significantly benefitted from the lockdowns – beginning to fall back. “With increasing pressure on household budgets due to rising bills and food inflation, we anticipate that channel performance could change quickly. Whilst the eating out sector is currently seeing the strongest growth, its performance is based on poorer comparatives from last year. Meanwhile, food-to-go may well see growth in the coming months as an affordable treat.”
BUSINESS INTELLIGENCE
COST OF LIVING
Households cut back as spare cash falls £135 per month Research shows 63.4% of households are setting strict limits on the amount they spend on food shops and 29.6% of households expect to if living costs continue to rise.
A
rou nd t wo thirds of households are setting strict limits on the amount they spend on their weekly food shops and three-quarters are set to cut back spending on takeaways, according to new insight from Retail Economics and HyperJar. The Cost of Living Tracker shows the average household continues to face double-digit declines in discretionary income – seeing falls of 12.1% in June compared with the same month last year, leaving them with £135 less to spend on non-essential items. Major grocers including Asda have increasingly seen consumers set payment limits at checkout as take-home pay erodes. Two-thirds (63.4%) of households are setting strict limits on the amount they spend on food shops because of rising living costs and 29.6% of households expect they will start having to if living costs continue to rise.
As more than nine-in-10 households look to reduce discretionary spending, 74.1% are set to cut back spending on takeaways. Eating out is also set to feel the brunt of spending reductions going forward, with more than 70% of households likely to cut back on this area. Richard Lim, Chief Executive of Retail Economics, said: “The amount of
spare cash available for families continues to vanish at an astonishing rate – especially for the most vulnerable in society. “Many households have no choice but cut back across all areas of their discretionary spending as their financial positions are plunged into the red. For others, the bleaker economic outlook has encouraged a much more cautious approach to spending, and they are trading down and delaying across many discretionary areas. “The challenge for the next Conservative leader is implementing policies that will have a significant impact on consumer sentiment. Around two-thirds of households believe that potential tax cuts would be swallowed up straight away by rising food and utility costs.”
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BUSINESS SALES
RETAIL SALES
Retail sales decline slows
ONS data shows the proportion of sales made online has fallen to its lowest level since March 2020.
T
he decline in UK retail sales slowed in June as grocery stores were boosted by shoppers celebrating the Queen’s Platinum Jubilee, according to figures from the Office for National Statistics (ONS). The ONS data reveals that food store sales volumes increased by 3.1%, picking up after a recent downward trend for the sector as people returned to restaurants and pubs after the easing of pandemic restrictions. Fuel sales saw a sharp drop for the month, falling 4.3% in response to a record jump in petrol prices in June. The sales decline was the biggest since October last year, when labour shortages
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and supply issues led to shortages at forecourts across the UK. The ONS said that consumers’ appetite for internet shopping also continued to decline, as the proportion of sales that were made online fell to 25.3% in June, the lowest since the 22.8% recorded in March 2020. Total retail sales fell by 0.1% in June as the increase in food sales was more than offset by the slump in fuel sales. It came after a heavier than previously thought slump in retail sales in May, with the ONS revising down its original prediction of a 0.5% decline to 0.8%. Heather Bovill, ONS Deputy Director for surveys and economic indicators,
said: “After taking account of rising prices, retail sales fell slightly in June and although they remain above their pre-pandemic level, the broader trend is one of decline. After a fall in May, food sales picked up due to the jubilee celebrations, but this was the only sector to report an increase.” Helen Dickinson, Chief Executive of the British Retail Consortium, added: “The cost-of-living crunch caused by record inflation continues to damage consumer confidence and stifle household spending. Discretionary spending and particularly bigger purchases were put off as consumers become increasingly concerned about the future.”
BUSINESS INTELLIGENCE
CONSUMER CONFIDENCE
Consumer confidence remains at historic low
GfK’s July figures show two measures of consumer confidence up, one down, and two the same compared to last month.
C
onsumer confidence remains flat in July, according to GfK’s Consumer Confidence Index. This finds consumer confidence flat at the historic low of -41. Two measures of confidence were up, one was down, and two were the same in comparison to the last announcement of 24 June. The index measuring changes in personal finances over the past 12 months stayed the same at -23; this is 22 points worse than July 2021. The forecast for personal finances over the next 12 months has increased two points to -26; this is 37 points lower than this time last year.
The measure for the general economic situation of the country during the last 12 months is down one point at -66; this is 23 points lower than in July 2021. Expectations for the general economic situation over the coming 12 months have stayed the same at -57; this is 52 points lower than July 2021. Joe Staton, Client Strategy Director at GfK, said: “Consumer confidence remains severely depressed this month as the impact of soaring food and fuel prices and rising interest rates continues to darken the financial mood of the nation. Despite a two-point uptick in
our hopes for our personal financial situation for the next 12 months, which might reflect optimism over imminent change at the top of the UK government, the overall index languishes at a historic low amid acute concerns for the general economic situation. “Against this financial backdrop, the UK electorate is looking for a new leadership with a commitment to unleashing growth, tackling inflation, and cutting taxation. The successful candidate will need to deliver a much-needed shot in the economic arm of the country if they are to help improve consumer confidence.”
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BUSINESS INTELLIGENCE
CASH USEAGE
Cash still king for staycationers
Post Office poll reveals that 40% of those carrying cash do so as it helps them to budget and keep track of spending.
O
ver half of Brits are planning on a UK holiday this year, with this week set to be the busiest week for UK staycations, according to new research from the Post Office. The findings reveal Brits carry twice as much cash with them while on holiday in the UK compared to their dayto-day lives – more than £50 on average. The poll also finds that paying for ice cream is the most common cash-spending occasion for staycationers, with parking and tipping at restaurants also shown to be common reasons for going cardless.
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More than 70% of Brits planning on going on holiday in the UK this year plan to take out cash before leaving to go on holiday, the study shows. Meanwhile, the survey also reveals that only 14% of Brits want to live in a cashless society and that 40% of those carrying cash do so as it helps them to budget and keep track of spending. Martin Kearsley, Banking Director at Post Office, said: “Our research has shown that in recent years the UK has become a top choice holiday destination for Brits. Hard-earned holidays are a time for relaxing, not worrying about
being caught out by not having enough cash. Whether you’re heading to the seaside, scenic countryside or a festival, no matter the staycation destination, postmasters are on hand to help with any holiday cash essentials. Free cash withdrawals to the penny are available at all branches across the UK.” The results show that 52% of Brits lining up a UK staycation this year will be heading to the coast. However, British staycationers are more likely to be caught out by not having cash at the seaside than at any other destination.
BUSINESS INTELLIGENCE
SUPERMARKET SALES
Heatwave lifts food and drink sales
Sales of sandwiches, mineral water, ice cream, prepared salads and prepared fruit all benefited from the hot weather.
T
he data shows that 60% of under 45s claim freshly baked items are the biggest incentive to purchase. When consumers were asked what they like best about a Danish pastry, its 24 layers of crisp, flaky pastry came out on top (48%). This suggests that for Millennials and Gen Zs, the choice of purchasing a Danish pastry is about more than taste alone; quality is key. In addition, 56% of Millennials and Gen Zs confirm that a hot or cold drink and a Danish pastry pairing would increase their desire to purchase. The research also highlighted that 29% of consumers are likely to make a purchase more frequently with price promotions. The study also shows that
consumers are split almost equally when asked whether smaller (34%) or larger (28%) sizes would help convince them to make a purchase.
Likewise, they were split over whether multipack (28%) or individual pastry (31%) options were their preference. The research shows that by far the most popular format is the Danish Pastry Swirl, with 54% of consumer choosing this as their preferred option. Meanwhile, 32% of consumers enjoy cinnamon, and 27% prefer maple flavours. The study also shows that there is an opportunity for retailers to customise these products with additional toppings. Consumers were drawn to products with dark, milk or white chocolate (50%) while customising with additional nuts, chocolate pieces or sweets help create the ultimate Danish Pastry for a further 40% of consumers.
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 21
THE NATIONAL LOTTERY RETAILER REWARDS PROGRAMME
Enter SITE STOCK SELL ONLINE via the TNL Retailer Hub for a chance to be entered into the quarterly draw for £10k*
PLUS…ENTER EACH MONTH AND EARN £10! Upload photos of your lottery standards in store via the TNL Retailer Hub
Score 8,9 or 10 *Score 8, 9 or 10 to be entered automatically. Eligible retailers only. Ts&Cs apply.
COMMUNITY
SPAR
Stores join clean-up initiative Stores got involved in the scheme for last month’s World Ocean Day and will continue taking part in clean-ups throughout the summer.
S
par stores along UK coastlines are organising and taking part in community coastal clean-ups as part of the Million Mile Clean initiative. The scheme, which collaborates with marine conservation charity Surfers Against Sewage (SAS), brings communities together and cleans several miles of the coast. Spar stores started taking part in the coastal clean-up initiative for World Ocean Day (8 June) and will continue participating in clean-ups during the summer months. The symbol group provides stores with the opportunity to participate in the Million Mile Clean and organiser SAS provides all the tools and kits to conduct the initiative. These kits include
rubble sacks, gloves, and first aid kits for up to 30 volunteers. Spar UK Brand and Marketing Director, Suzanne Dover, said: “We have arranged with Surfers Against Sewage that Spar stores can sign up to participate in the Million Mile Clean. This is an initiative that involves bringing our communities together as well as helping the environment. “We are delighted to see 11 Spar stores already getting behind this initiative and helping to clean up their local beaches. It has made an enormous difference to local communities.” Fiona Drummond, Company Stores Director at James Hall & Co, said: “An important part of a community is its assets and the Coastal Clean-up
provided our staff in Seaton Carew with a fantastic opportunity to look after the jewel in its crown, which is the town’s beach. “Spar stores are part of the fabric of their communities and we were delighted that members of the public joined the store team for the clean-up to improve the beach for all who use it.” Jack Middleton, co-founder of the Million Mile Clean, said: “Our campaign reconnects communities with the environment and makes it as easy as possible to do and feel good. Beach cleaning boosts your mental health and wellbeing and provides a great opportunity to meet like-minded people. Plus, we send out a free beach clean kit to everyone who registers.”
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SUPPLIER NEWS
GREETINGS CARDS
Pricewatch agrees card deal with Riverside Greetings Riverside is supplying a complete range of greeting cards, gift wrap, and gift bags for sale in participating Pricewatch forecourt and convenience stores.
P
ricewatch has appointed Riverside Greetings as its sole greeting card category provider, with a range of cards introduced into nine of its Power Petroleum-branded forecourts. The deal sees a complete range of greeting cards, gift wrap, and gift bags from Riverside available for sale in participating Pricewatch forecourt and convenience stores. Installation into sites begun in June with the rollout programme completed in early July.
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Andrew Glen, Riverside Greetings Managing Director, said: “We are delighted to have been selected by Pricewatch through a competitive test and trial process to roll out Riverside Greeting cards across nine Power Petroleum branded forecourts. “Being appointed as Pricewatch’s category partner is a reflection of the positive difference that Riverside makes when we work with a progressive retailer. We are looking forward to growing the
greeting card category for Pricewatch and delighting their shoppers.” Riverside Greetings cards have been trialled in three sites for over six months and Pricewatch’s decision to move Riverside Greetings into all sites was based on the sales and profit performance in the trial sites. “In general forecourts have smaller displays than convenience stores. When we work with our clients we range with a greater emphasis on general birthday and blanks rather than a broad range of occasions,” Glen added. “We will be employing our vendor-managed active category management approach utilising our field team to service, replenish, merchandise and category manage each store on a regular basis.” Mark Caldwell, Retail Area Manager from Pricewatch, said: “We have appointed Riverside Greetings as our categor y par tner because they deliver significantly improved category sales and profitability and are aligned with our ambition to grow the category and delight our shoppers.”
NPD AND MEDIA
PICKS OF THE WEEK – JTI
THIS WEEK JTI CADBURY WARBURTONS McVITIE’S URBAN EAT + MORE
JTI LAUNCHES NORDIC SPIRIT COMPETITION FOR RETAILERS Retailers can win high-value prizes, including an expenses-paid trip to the Nordic region and a year’s supply of nicotine pouch range Nordic Spirit.
JTI has launched a nationwide search to discover
The winning regional stores will then qualify to
the ‘perfect’ Nordic Spirit stores among its
enter the national Nordic Spirit Perfect Store
independent retail trade partners. Running until
competition. With the help of their JTI Business
December 2022, stores that perform best against
Advisers, retailers will have the opportunity to
a new points system will win high-value prizes.
showcase their stores and one national champion
Retailers must follow the advice in the Nordic
per JTI region will be crowned. The winner will
Spirit Perfect Store Guide available from JTI’s
receive the following prize bundle, worth up to
trade website to be in with the chance of winning
£20,000 per store:
the prizes on offer. The guide includes five simple
● Expenses-paid trip to the Nordic region,
pillars that retailers should follow to generate prod-
including some fantastic excursions
uct awareness in-store, entice new customers, and
● £2,000 wholesaler credit
boost sales. Each pillar is worth a certain number of
● Apple iPad Air
points, which their JTI Business Adviser will score
● Tickets to some great events
them on during scheduled monthly store visits.
● Nordic Spirit Perfect Store Makeover
At the end of the year, the competition will close and the 10 stores with the highest scores from each JTI region will win a prize bundle worth up
● National trade press coverage, profiling winning retailers and their store ● Trophy and certificate
to £2,000 per store, including: ● One year’s supply of Nordic Spirit
Retailers can prepare for the competition by
● Fitbit Versa 3 Smartwatch
speaking to their local JTI Business Adviser and
● £125 restaurant voucher
visiting jtiadvance.co.uk – where the guidebook, full
● Limited-edition Nordic Spirit merchandise
terms & conditions, and other assets are available.
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 25
NPD AND MEDIA
PICKS OF THE WEEK – CADBURY
MYSTERY BARS UNWRAPPED The alliance forms the first part of Florette’s campaign which seeks to reposition the brand, highlighting its farmer-owned credentials and passion for sustainably produced, fresh and tasty salads.
Cadbury is launching a nationwide competition in
nation to solve the flavours of Cadbury Mystery
stores this summer, giving consumers the chance
Bars. We can’t wait to see the public’s reactions
to solve the flavours of two new Mystery Bars to
and creative guesses as friends and family come
win a prize worth £5,000.
together to solve the mystery flavours.”
The newly launched bars combine Dairy Milk
She added: “All I can tell you for now is that the
chocolate with two mystery-flavoured fillings. Cad-
two new bars are the nation’s favourite Cadbury
bury Mystery Bars 01 and 02 will be available in
Dairy Milk, but with a delicious mystery flavour
43g single bars and 170g tablets.
filling for shoppers to try and solve. All will not be
The campaign will engage consumers to solve
revealed… yet.”
the mystery and give them the opportunity to enter
The two new Cadbury Mystery Bars flavours
the competition online or via a QR code on-pack.
will be hitting shelves from mid-July in single (43g)
The promotion is bolstered by a significant con-
and tablet (170g) formats and will be available until
sumer campaign including in-store support, digital,
October. The single bars have an RSP of 69p and
out-of-home, social media, audio and PR activities.
the tablet has an RSP of £1.50.
Cadbury Mystery Bars is the latest in a stream of highly impactful consumer activations from the nation’s favourite chocolate brand. Pippa Rodgers, Brand Manager Cadbury Dairy Milk at Mondelez International, said: “We are incredibly excited to launch this brand-new competition from Cadbury Dairy Milk and challenge the
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Retailers can visit deliciousdisplay.co.uk for more advice and information on further boosting the chocolate category in their store.
NPD AND MEDIA
PICKS OF THE WEEK
PRICE CRUNCH Warburtons is putting its Toastie
SUBLIME LUNCHTIME
GUMMY BEARS Bebeto, Kervan Gida UK’s con-
loaf into price-marked packag-
Sandwich brand Urban Eat has
fectionery challenger brand, has
ing from September. The wax
launched a new range of Sub
launched Bebeto Just Bears. The
paper-wrapped 800g Toastie Loaf
Rolls. The three-strong range is
bear-shaped treats are availa-
(£1.39 PMP) will join Warburtons’
available now and comprises a
ble in a £1 price-marked sharing
existing range of PMPs: Whole-
new recipe for the brand’s best-
bag. The launch is supported by
meal 800g (£1.29 PMP), Half
selling Ham & Cheese sub and
a social media campaign, that
& Half 800g £1.29 (PMP), and
new additions Chicken Salad and
includes promoted content and
Crumpets (99p PMP).
Tuna Crunch.
Instagram giveaways.
HYPER TOBACCO
HIGH FIBRE
KIND BARS
BAT has unveiled the glo hyper
New McVitie’s Go Ahead Fibre-
Kind is launching a new Thins
X2. The new heat-not-burn
Jacks are made with wholegrain
range in two flavours – Dark
device features advanced induc-
oats and are available in Rasp-
Chocolate Nuts & Sea Salt and
tion heating technology encased
berry and Blueberry flavours. The
Caramel Nuts & Sea Salt. Both
in a small, lightweight device.
range has an RSP of 65p for a
are high in fibre, gluten-free, and
It also offers a boost function
single bar and £1.99 for a four-
under 100 calories. Kind Thins
for faster heating, battery status
pack. The new products will be
will be available in August in mul-
LED indicator and a protective
available in select convenience
tipacks (RSP £2.50/4x19g bars)
iris-shaped shutter.
stores from August.
and singles (RSP 85p/19g).
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 27
Let’s create a great recycling experience. The deposit return scheme (DRS) is coming to Scotland. Make it easy with TOMRA.
The global leader in reverse vending technology tomra.com/uk | Get in touch to find out more: tcs.uk@tomra.com
NOW THAT’S A GOOD IDEA…
OUT THE BOX
Appy days
The improved Uber Eats app will feature a more efficient inventory management and real-time support to fix any problems.
Uber Eats is to refresh its grocery delivery service with new app features for consumers and retailers.
WHAT’S BROUGHT THIS ABOUT THEN? Therese Lim, Senior Director of New Verticals and Grocery Product at Uber, explained on a Zoom presentation: “My experience over the past few years has started to make me… ask why it is that, in the past, the paradigms we’re stuck with in terms of being able to for example, shop for groceries, always involve a constraint instead of a possibility.”
We suspect that’s corporate-speak for “the app’s a bit rubbish”.
first available window or scheduled for their convenience. In addition, an ‘item replacement option’ will also be offered, giving shoppers the chance to pick an alternative ‘back-up’ for those items that are low in stock, and not available when the order is fulfilled.
SO, THEY’VE MADE IT BETTER THEN?
AND WHAT ABOUT RETAILERS?
Apparently so. For consumers, the updated app will support ‘closed store shopping’ that enables shoppers to place orders after hours, with delivery in the
For grocers, improved capabilities include barcode scanning, more efficient inventory management, a more streamlined route to add item images, and real-time support to fix any issues that come up.
COULD SOMEONE TRANSLATE THAT INTO ENGLISH?
ANYTHING ELSE? Meanwhile, the US version of the app will also offer consumers live order tracking, so users can follow the shopping experience every step of the way.
LUCKY YANKS. I BET DELIVEROO AREN’T TAKING THIS LYING DOWN. Certainly not. It is also being reported that the Uber Eats rival is also working on improvements to the usability of its app for groceries on both the consumer and retailer side.
WHAT IS UBER EATS SAYING? WITHOUT THE GOBBLEDEGOOK. Uber Eats UK Head of Grocery and New Verticals Alex Troughton commented: “The UK has one of the world’s most sophisticated audiences when it comes to grocery delivery. “We want to continue to invest in our world-class technology to provide them the best delivery service possible from their favourite supermarkets and local grocers.”
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 29
01.09.2022
George Bowie • DJ Cassi • Pretty Ugly Simon Cordiner • Rebecca Vasmant BOOK NOW
For tickets and information visit groceryaid.org.uk/events/checkout-scotland
Money raised from this event will go to GroceryAid, the grocery industry charity. A Registered Charity Reg No. 1095897 (England & Wales) & SC039255 (Scotland). A company limited by guarantee. Registered in England & Wales No 04620683
G O L D PA R T N E R S
S I LV E R S U P P O R T E R S
BEFORE YOU GO
RETAIL RANDOMS
EALS T S L E R IR U Q S : B&Q LTS O B D N A NUTS It’s bad enough that grey squirrels are driving their much cuter red cousins to the brink of extinction and wreaking havoc in Britain’s woodlands, but it now appears the pesky tree rats are taking their antisocial behaviour to a whole new level. Police in Norwich had to take a break from sweeping up drunks on Saturday night (July 23) when the intruder alarm at a local B&Q store went off. Investigating officers then found a squirrel in the Outdoor & Garden department helping itself to wild bird food. Despite having a paunch full of peanuts, the bushytailed bandit managed to evade the pursuing flat-foots – who were no doubt distracted by the prospect of getting 25% off some spa accessories for the station jacuzzi – and made its escape out the store and up a nearby tree. At which point the cops handed the case over to their colleagues in Special Branch.
MELTDOWN MOONSHINE You couldn’t make it up. Apparently, a social enterprise led by a team of UK and Ukrainian scientists is
producing high quality artisan spirits (or “moonshine” as the makers describe it) in the part of Ukraine abandoned after the Chernobyl nuclear reactor meltdown. The Chernobyl Spirits Company is not a joke, but the result of an experiment studying the transfer of radioactivity to crops on land that can’t officially be used for agriculture in the main exclusion zone around the reactor. And it has started producing spirits under the – wait for it – ATOMIK brand. These are available from The Whisky Barrel. At least 75% of profits from sales will support wildlife conservation efforts in the area and help rebuild communities impacted first by the Chernobyl accident and now by Russian aggression. That should give you a nice warm glow inside and out.
WEDNESDAY 27TH JULY 2022/ ISSUE 115/ SLRMAG.CO.UK I 31
Make sweet profits with
Grow your confectionery sales Chances to win monthly and quarterly cash prizes Join the 4,500+ retailers who have already signed up
“It’s already helped us to grow our sales in such a short period of time” Samual, Valley Convenience Store Manager and the latest winner of a £1,000 Buy A Gift Voucher
scan the QR Code to access a digital copy of the membership brochure
For further detail please contact the team at Mercieca E: perfettivanmelle@mercieca.co.uk
