SPOTLIGHT: JUSTIN SLAWSON, DIRECTOR OF MEVALCO
THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS
CCM Chefs’ Own-Brand Awards 2019: have you entered your top lines?
FEBRUARY 2019
FLAVOUR
CATEGORY MANAGEMENT
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Confex and Bestway introduce new apps
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Contents
February 2019
This month don’t miss... 10 6
12
23
Blakemore unveils plans for the business following its C&C sale.
The Achievers awards celebrate the best operators in Scotland.
Category management is vital to maximise sales and profits.
ESSENTIALS 05 06 20
22
Editor’s Comment Industry News Products & Promotions
FEATURES 12
Achievers Scotland’s leading wholesalers and suppliers are honoured at the 2019 Scottish Wholesale Achievers awards.
22
Spotlight featuring Justin Slawson, joint managing director of Spanish fine food wholesaler Mevalco.
24
CCM Chefs’ Own-Brand Awards Have you sent in your entry for the awards that recognise the top foodservice own-brands?
Sailing and fishing are just two ways that Justin Slawson, joint managing director of Mevalco, enjoys his time away from work.
20
16
CATEGORY INSIGHT 16
Product of the month
Convenience Breakfast Health, portability and social factors are having an impact on the breakfast market.
23
Category Management A definitive guide to enhancing the customer experience, with advice from key suppliers and information from C&C/wholesalers on how they support their own customers.
Suppliers are meeting demand for convenient breakfast choices.
Apple Blast is now a permanent variant in the Lucozade range.
www.cashandcarrymanagement.co.uk
February 2019
03
[ EDITOR’S COMMENT ]
Signing and resigning ith the seemingly interminable Brexit negotiations now appearing to be nearing some sort of conclusion, businesses will be anxiously assessing what the outcome might mean for them. Particularly affected will be suppliers who import a large amount of food from the rest of Europe and cash & carry operators and delivered wholesalers who rely heavily on food manufactured in these regions. Buying and marketing groups, too, could presumably be involved as members weigh up their options. Are the benefits of being part of a combine the same as they were pre-Brexit? Is there another group they could join which could offer greater advantages? It’s not only changing international relationships that are causing wholesalers to consider their options – some have made decisions based on changing relationships here on home soil. Sterling Supergroup, which many years ago shifted from being an amalgam of operators focusing on the retail sector to one embracing foodservice concerns, has experienced a degree of toing and froing in recent years. While several new members have joined, it has lost Harvest Fine Foods to Country Range Group, and Mack Ship Stores, which has gone independent. Now Unitas Wholesale, combining the former Landmark Wholesale and
W
SPOTLIGHT: JUSTIN SLAWSON, DIRECTOR OF MEVALCO
THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS
CCM Chefs’ Own-Brand Awards 2019: have you entered your top lines?
FEBRUARY 2019
FLAVOUR
CATEGORY MANAGEMENT
Today’s Group, has split with Fairway Foodservice. This amalgam of 20 wholesalers was formerly an associate member of Landmark and switched to Unitas when that group’s formation was ratified last year. The relationship wasn’t as straightforward as it seemed. While the two concerns found there were benefits in the link-up, some Fairway affiliates were not, individually, as closely associated with Unitas, and the terms and conditions relating to them were different to other Fairway wholesalers. Although there has been a division, the two groups continue to share some Fairway members – largely those taking advantage of Unitas’s ambient and branded programmes while sticking with the smaller group’s frozen and own-label deals. Meanwhile Sterling Supergroup – once a Landmark member – will continue to plough a lone furrow. Caterforce, too, comprising seven foodservice wholesalers, is also unlikely to link up with another combine. And Sugro, with 80 members and now diversifying into grocery and licensed, will also presumably conclude that keeping its total independence is the best way forward.
Mervyn Gilbert News Editor
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February 2019
05
[ INDUSTRY NEWS ]
Promotions pay off A “powerful promotional strategy centred on great deals for retailers” resulted in AG Parfett & Son recording an 8.1% sales increase to £42.3 million (excluding tobacco) in the six weeks to 31 December. Strong investment in key lines was also a strong contributor. Joint managing director Greg Suszczenia said: “The figures demonstrate the hard work and commitment from our colleagues over many months. “We are pleased that we were able to support our many retailers with some great promotions to pass on to their consumers. “Suppliers continue to be very supportive to our group.” a AG Parfett & Son 0161-429 0429
Bidfood looks to the future Allergens, Brexit, food trends and sustainability are predicted by Bidfood to have the greatest impact on foodservice businesses this year. At the wholesaler’s annual food festival, featuring ownlabel and branded products as well as support services, these major issues were debated and practical solutions suggested for the future. Regarding allergens, the discussion called for greater clarity on allergen labelling in the wake of the Pret a Manger tragedy. Speakers advocated a standardised approach to dealing with allergen information, stressing the need for wholesalers, retailers and other sectors to work together to establish a best practice approach. Bidfood director of technical services Angela O’Donovan predicted there would be increased focus on the use of probiotics and microbiotics, which are thought to play a role in allergy management and prevention. Also discussed was what Brexit could mean for the
foodservice and hospitality sectors. There was resounding agreement among the panellists that ‘business agility’ is of paramount importance. It was agreed that it was not all doom and gloom and that opportunities would still exist for growth in UK food and drink exports. Bidfood’s insights team gave practical suggestions for the adoption of new products and flavours in menus. Consideration should be given to using ‘trash fish’, lesser-known cuts of meat, flavours found in AfroCaribbean food and making vegetables more of a focal point. Food waste reduction, plastic packaging strategy
and more sustainable methods were also discussed. Tim Adams, the wholesaler’s director of marketing and corporate sales, commented: “Helping our customers remain futureproofed and robust in the midst of social, economic and political uncertainty is front of mind for us at Bidfood. “We’re continually looking ahead and analysing what’s set to influence the supply chain, menu development, consumer expectations and loyalty. This is then fed into our whole offering, from food & beverage and non-food to consultancy and menu development.” a Bidfood UK (0370) 3663 000
turned out in December to spend the night outside in
the two cities, as well as in Aberdeen and Dundee. JB Foodservice staff were al fresco at the Edinburgh site in Princes Street Gardens and at Kelvingrove Park in Glasgow. Caterforce donated supplies of its own-label Chefs’ Selections products and both the group and JB provided hot drinks throughout the night. JB’s commercial director Charlotte Thompson said:
“We supported Sleep in the Park last year, which was its first year, and it has already grown to become one of the world’s biggest events of its kind.” Nick Redford, Caterforce MD, commented: “We supplied essential items to help those who were challenged to spend an extremely cold night outside.” a JB Foodservice 0131-440 7550 a Caterforce (01625) 440188
Meat was a major subject of discussion.
JB and Caterforce are sleeping partners
JB Foodservice, of Loanhead, Midlothian, supported Sleep in the Park, a major Scottish fundraising event to tackle homelessness. The wholesaler was an official catering partner at venues in Edinburgh and Glasgow. It was supported in its efforts by Caterforce, the foodservice buying and marketing group of which it is a member. More than 10,000 people 06
February 2019
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Easier ordering at Bestway Bestway Wholesale has unveiled a new ordering app and improved its website. The app allows cash & carry customers to start their order on a phone, tablet or computer and finish it on another device – anywhere, at any time. The trader’s basket is reflected on the app and website in real time as he builds his order. The user can also create personalised lists and save favourite products for faster re-ordering. In addition, he can find out the progress of his order and receive live delivery updates and information on unavailability and recommended substitutions. Salih Sheikh, head of marketing, said: “The new app (built by RNF) and refreshed website are the culmination of 12 months’
A best-one shopkeeper places an order using the new app.
research and development. “We listened to customers, understanding what they do and don’t want when it comes to online ordering. “We wanted to offer an online experience that wasn’t just in line with wholesale, but that rivalled market-leading apps such as Amazon and Ocado. “It’s a part of Bestway’s strategy to utilise digital to
improve the shopping experience and service to customers.” As well as easy access to the latest products and seasonal offers, customers can make use of new barcodescanning technology, manage payments and calculate margins with a profit-onreturn calculator. a Bestway Wholesale 0208453 1234
the second half, with a ‘midsingle-digit’ sales rise ahead of last year. Glancey added: “Despite the current political uncertainty we are increasingly well positioned going into 2019. The new management teams and colleagues at Matthew Clark and Bibendum have delivered an exceptional operating performance over the key Christmas period.
“With service levels restored, we now have stable platforms with real growth potential and unparalleled market access to the UK ontrade. “In Scotland and Ireland our combination of leading brands and distribution assets is highly resilient, cash generative and delivering growth. “With a strong balance sheet and normalised cash flow conversion of 60-70% of EBITDA (earnings before interest, tax, depreciation and amortisation) we are poised to provide enhanced shareholder returns.” a C&C Group 003531-506 3900
‘Exceptional performance’
C&C Group, the Dublin-based manufacturer and distributor of cider (Bulmers and Magners), beer (Tennent’s), wines, spirits and soft drinks, has reported that trading for the four months to 31 December 2018 was “in line with expectations”. CEO Stephen Glancey said delivery and customer service at both the recentlyacquired Matthew Clark and Bibendum were “very strong and ahead of plan. We therefore anticipate their combined financial contribution will be as guided at our halfyear results on 25 October”. Across the rest of the group, positive trading momentum continued into
[ INDUSTRY NEWS ]
Interim SPAR MDs Following the recent news that SPAR UK MD Debbie Robinson is to become chief executive of Central England Co-operative, the symbol group has named Chris Lewis and Jackie Mackenzie as interim MDs at the Harrow central office. Lewis has been with SPAR for 19 years, working on a number of projects with the main board, including a new purchasing strategy. Mackenzie joined the group in 2016 as chief information officer. She has been responsible for financial accounts, management information, supply chain and technology operations. She has subsequently been in charge of central HR, legal and governance issues. Martin Agnew, SPAR UK chairman, said a permanent managing director is being sought. a SPAR UK 020-8426 3700
Chef contest The Wing Yip young chef competition – now in its seventh year – has been launched. It is open to chefs and catering students across the UK and Ireland who are aged between 18 and 25. There are two stages: a written entry, including an Oriental recipe of choice, and a live cook-off among the finalists at University College Birmingham (UCB) on 4 April. The winner will receive a £750 cash prize, as well as a stint working with MasterChef finalist Larkin Cen at his Bristol restaurant, Woky Ko. a Wing Yip 0121-327 6618
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February 2019
07
[ INDUSTRY NEWS ]
Brakes to Aviko
Former Brakes UK CEO Ton Christiaanse has become interim CEO of Dutch potato products supplier Aviko. He worked for the UK foodservice wholesaler for nine months in 2017, replacing Phil Wieland, who left to pursue other interests. Before that, he was chairman of Scottish beef producer AK Stoddart and he also spent time with international food business Farm Frites and meat producer Vion. a Aviko (0800) 633 5611
Long-running cereal
Abdul Rajak with Thomas Hughes of Kellogg’s.
Mohammed Abdul Rajak, a Day-Today retailer and a customer of United Wholesale (Scotland), won a year’s supply of Kellogg’s cereals as the result of a Unitas Wholesale ‘After School Club’ promotion. Anita Oakhill, Unitas Wholesale marketing controller, said: “We are delighted to have played a part in supporting Kellogg’s long-standing initiative to help develop breakfast clubs across the UK.” a Unitas Wholesale (01302) 260538 08
February 2019
Full-scale management changes Bestway Wholesale, under the leadership of managing director Dawood Pervez, has appointed Andy Cresswell chief retail officer – one of several changes at the C&C/ wholesaler. His responsibilities cover company-owned and franchised stores, including those under the Bargain Booze, Select Convenience, Central Convenience and Wine Rack names. Cresswell joins from MRH, recognised as the largest independent fuel retailer in the UK, where he was MD, retail. He has also held senior positions with Midcounties Co-Operative, where he worked for 14 years. Before that he was in store management with Somerfield, Tesco and Safeway. Cresswell takes over from David Robinson, who had announced that he would be leaving Bestway Retail this year. Robinson joined Conviviality Retail in 2016. Following its purchase by Bestway last year, he helped strengthen the business, improve availability and retail margin, and develop an enhanced franchisee incentive plan. Another change sees
Tony Holmes become retail director, Bestway Wholesale, overseeing retail sales for the best-one symbol group, retail multiple accounts and Bestpets. Holmes, who joined the company as sales director three years ago, also takes over responsibility for retail business development from James Hall, who is to step down as business development director of Bestway Wholesale in the summer having worked for the business for nearly 20 years. David Livingstone, formerly regional operations manager, has been promoted to the new post of head of catering, and Ashar Rehman has been appointed head of operations; he, too, was previously a regional operations manager. Commenting on the
appointments, Pervez said: “We are committed to ensuring we always deliver the best service to our customers, thus providing a clear solution for everyone, whether that’s a franchise proposition through Bestway Retail, symbol group and retail club through Bestway Wholesale and Bestway and Batleys cash & carries, fullservice delivered catering through BB Foodservice and Drinks Express or a collect catering range for customers in depot. “Splitting the retail and catering elements into two separate teams, and having Bestway Retail reporting to me, will enable all of our brands to be aligned and focused for the benefit of customers.” a Bestway Wholesale 0208453 1234
Booker’s income continues to grow since its alignment with Tesco. Third-quarter figures for the retail multiple (to 24 November 2018) show that like-for-like sales of the C&C/wholesaler grew by 11% (10.7% excluding tobacco) with ‘sustained underlying growth’. In the Christmas period
(six weeks to 5 January) likefor-like growth was 6.7% (8.2% without tobacco). Commenting on Booker’s Christmas performance Tesco chief executive Dave Lewis said: ”This reflects the annualisation of contract wins last year.” As part of the enlarged business’s ‘Joining Forces’ programme, Booker products
are now available in 70 Tesco branches. Under the Booker name, a new distribution depot has opened in Hemel Hempstead, Herts, largely serving most of the One Stop retail chain but also used for the C&C/wholesaler’s other retail customers. a Booker Wholesale (0345) 602 3108
Dawood Pervez and Andy Cresswell.
Beneficial Booker partnership
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New Confex chairman Martin Williams, who left Landmark Wholesale two years ago after 15 years as managing director and 18 years in other capacities, has joined Confex as chairman – a newly-created position. In all, Williams (right) has worked in the food and drink industry for 43 years, 35 years of which have been in wholesale. Williams represented Landmark on the council of the Federation of Wholesale Distributors and was chairman of the FWD for three years.
On leaving Landmark, he became a consultant, working for the FWD, Inspire Field Marketing and Time Wholesale Services.
Commenting on his new post, he said: “I have always admired the work of Nicky White (Confex managing director) and her team in building such a big buying group. “I look forward to helping them drive Confex on to become even bigger and better, enabling their members to thrive and prosper in this dynamic market.” White commented that Williams would help to raise the group’s profile in the wholesale sector. a Confex (01608) 652333
FWD online training course
[ INDUSTRY NEWS ]
Waugh for Sysco Sysco Corporation, the Houston-based parent company of Brakes UK, is to buy Waugh Foods. The East Peoria, Illinois, distributor, which was founded 70 years ago as a frozen foods specialist, has an annual turnover of around $40 million from a diversified range. Sysco Corporation, which bought Brakes in 2016, operates about 330 depots worldwide, serving more than 600,000 customer locations. In the year to the end of June 2018 it generated turnover of more than $58 billion. a Brakes UK (0345) 606 9090
Viennese
An online training course for wholesale channel is a great beginners in wholesale has place for ambitious young been launched by the people to make a name for Federation of Wholesale themselves, and we want to Distributors. offer them a flying start on Designed by e-learning day one in their new job with specialist Bolt Learning, the this comprehensive guide to 20-minute ‘Introduction to the basics of the industry. Wholesale’ module demon“This course gives them strates how the sector operthe knowledge to start buildates, highlights the ing a successful major players and career in this customers, and dynamic market.” shows how brands The course also can grow in partnerprofiles the larger ship with wholewholesalers and salers. buying groups, FWD chief execincluding the market utive James Bielby share of each, and James Bielby commented: “The gives an introduction
to the additional services wholesalers provide for their retail and foodservice customers. Participants receive a certificate on successful completion of the module. AB InBev has been among the first suppliers to adopt the training. Its commercial controller – off-trade wholesale Andy Topham said: “This is a really positive initiative, which is fully aligned with FWD’s strategy of promoting the wholesale channel.” The course for suppliers costs £25 per user. a FWD (01323) 724952
Country Choice, of Orpington, Kent, which has links with Brakes UK, has launched Viennese pastries under the Extravagant label. The range includes three varieties, all 95g, made from butter pastry: muesli & blueberry, triple chocolate and raspberry cheesecake. All three are packed in 60s and have a shelf life of two days wrapped and one day unwrapped. a Country Choice (0800) 521366
create strong profit opportunities and competitive prices for wholesalers and their retail customers’. Steve Grylls, Typhoo’s head of sales – out of home and discounters, said that while the most
powerful sales tool is knowledge, having the capacity to analyse and interpret trends to build a strong knowledge base is a challenge for his lean wholesale team. He added: “This is all
about innovation and renovation in the category, with a view to increasing our market position through understanding where our products are selling well and where there’s headroom for growth.” a TWC (01908) 920602 a Typhoo (0800) 633 5650
Stirring things up in wholesale
Typhoo has appointed insight specialist TWC to interpret the wholesale shipment data it purchases and support its wholesale channel relaunch. A new pack design has been created and key SKUs have been repositioned ‘to
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February 2019
09
[ INDUSTRY NEWS ]
Fairway quits Unitas
Blakemore plans post-C&C
The Fairway Foodservice group of 20 wholesalers, with combined turnover of around £715 million, is no longer an associate member of Unitas Wholesale. It joined Landmark Wholesale as an associate a year ago and stayed in that capacity when Landmark linked with Today’s Group to form Unitas Wholesale. Darren Goldney, MD of Unitas Wholesale, said: “We respect Fairway Foodservice and its members and our open relationship with them allowed a full review of how we can be a synergistically efficient and commercially effective route to market. “We mutually concluded that this would be best served by operating as separate group entities.” Chris Binge, chief executive of Fairway Foodservice, commented: “We did not make this decision lightly, but we have to do what we believe is best for our members to give them the best foodservice product sourcing options we can.” Unitas Wholesale’s existing associate members are Country Range Group and Confex. a Fairway Foodservice (01422) 319100 a Unitas Wholesale (01302) 249909
AF Peter Blakemore, Blakemore & Son chairman, has stressed how the company’s long-term strategic investment plan is enabling it to maximise future growth opportunities across the convenience, wholesale and specialist food sectors. His comments follow the announcement of financial results for the year to 30 April, during which the company’s sale of its cash & carry business enabled it to develop its SPAR retail and wholesale operations. Over this period, pre-tax profit of the retained parts of the West Midlands concern was £8.5 million on sales of £1.06 billion. And in the first 28 weeks of the current year, sales of continuing operations rose by 7.5%. Blakemore said: “The cash & carry sale process has, understandably, had a significant impact on the overall financial performance
of the company, which achieved sales of £1.26 billion and recorded a loss of £18.8 million after tax, with all C&C suppliers paid in full. “I am also happy to say that 50% of our employees from the cash & carry operation maintained their employment, either with AF Blakemore or with the purchasing businesses.” While exceptional provisions of £18 million were made as a result of the C&C sale, the process generated £17 million of surplus cash,
most of this to be received during the present financial year. Long-term debt has been cut and the net asset value of the company’s balance sheet has been reduced from £88.7 million to £74.5 million. The corporate plan includes lower prices for retail customers, innovative store formats and investment in the IT infrastructure. Blakemore services 1,013 SPAR stores, 282 of which are company-owned. a AF Blakemore & Son (01902) 366066
SPAR south-west distributor Appleby Westward has signed a partnership deal with Somerset County Cricket Club. The three-year agreement will see the company become the club’s official ‘Vitality Blast’ main partner.
Of the 300 SPAR stores serviced by Appleby Westward in the West Country, over 30 are based in Somerset. As part of the deal, the symbol’s logo will feature prominently on the front of the club’s shirt.
Mike Boardman, the Saltash-based wholesaler’s managing director, said: “We are proud to be partnering with a great West Country club with roots in many of the communities we serve.” a Appleby Westward (01752) 854000
Confex is rolling out an app that allows its wholesale members to access national promotions and product specifications across all the group’s suppliers. It can also be used to order products via its central distribution facility.
The technology, created by RNF Digital, can be tailored to each wholesaler, including branding, colours and product categories. Confex MD Nicky White said: “This unique business device is both for head office
and our membership. We pride ourselves on looking to the future, with digital at the forefront of our growth plans. We expect this free app to help our members stay ahead of the competition.” a Confex (01608) 652333
Blakemore’s flagship store at Laceby, Lincs.
Appleby Westward cricket deal
New app for Confex members
10
February 2019
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One. Step. Ahead. Introducing our free* app for our members.
Free app with own logo and branding
Central Distribution facility
200 plus suppliers
No membership or joining fee
Confex helping members to deliver more than expected.
Join the Group and get real purchasing power
* minimum annual spend is required for a free app.
Call 01608
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Membership enquiries welcome enquiries@confex.ltd.uk www.confex.ltd.uk
‘Exceptional levels of innovation’
[ ACHIEVERS ]
The top C&C/wholesalers north of the border – and their suppliers – were recognised at the Scottish Wholesale Achievers awards last month.
J
W Filshill was named the best wholesale business in Scotland at the prestigious 2019 Scottish Wholesale Achievers awards, held at the Sheraton Grand, Edinburgh, on 31 January. Now in its 17th year, Achievers recognises professionalism and excellence across all sectors of the wholesale industry in Scotland, rewarding suppliers as well as wholesalers. In addition to winning the Champion of Champions accolade, JW Filshill was triumphant in three other categories: Best Delivered Operation – Retail, Best Symbol Group, and Best Licensed Operation. Archie MacLellan, multiple account executive (independent wholesalers) at JTI, who judged the Champion of Champions award, pointed out that standards were “exceptionally high across the board” but highlighted innovation as the trademark of Achievers this year. “Innovation means many things – be that in use of technology, advances in customer service, investment in staff development, and evolving operational processes to meet the needs of customers,” he said. “Throw into the mix a sprinkling of entrepreneurial flair and what we have here is a buoyant and exciting wholesale sector led by SWA members who are experiencing growth and increased profitability across many areas of their business.” As well as JW Filshill, another Unitas member, United Wholesale (Scotland) was an Achievers winner, claiming Best Marketing Initiative for its ‘Summer of Sport’ campaign to drive a comprehensive wholesale and retail sales and marketing activation across all areas of its business. 12
February 2019
The team from JW Filshill, including managing director Simon Hannah (far right), celebrate winning Champion of Champions and three other awards.
Employee of the Year Craig Shand (right) of Booker Shawfield with award sponsor Gary Bonnington of AB InBev.
Supplier Sales Executive of the Year Linda Fraser of Nestlé with award sponsor John Mills of Unitas.
Michael McCrosson (second on right) of Booker Shawfield, accepts the Best Cash & Carry accolade from (left to right): SWA chief executive Colin Smith, award sponsor Ian Johnstone of AG Barr, and awards host Jennifer Reoch.
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Congratulations to Unitas Wholesale members
who won at the Scottish Wholesale Achievers awards 2019 WINNER Champion of Champions
WINNER Best Symbol Group
WINNER Best Delivered Operation (Retail)
JW Filshill
JW Filshill for Key Store
JW Filshill
WINNER Best Delivered Operation (Foodservice)
Lomond: The Wholesale Food Co
WINNER Best Licensed Operation
JW Filshill
WINNER Best Marketing Initiative
United Wholesale (Scotland)
Champion of Independents Champion of Brands
[ ACHIEVERS ] Bidfood Scotland was also celebrating, with two award wins: Great Place to Work and Best Delivered Operation – Foodservice, the latter as joint winner with Lomond Foods. Booker Shawfield was another double award winner, taking the Best Cash & Carry title and also Employee of the Year for Craig Shand, stock control & replenishment supervisor. In the suppliers’ award categories, Linda Fraser of Nestlé was named Supplier Sales Executive of the Year, while Quorn Foods in partnership with Scot Serve won Project Scotland. AG Barr came out on top in the Best Overall Service award, judged by members of the SWA voting each month for the shortlisted suppliers over a fourmonth period. Meanwhile, a new award for Achievers 2019 – Best Foodservice Supplier – was won by Unilever Food Solutions. Finally, Best Advertising Campaign, which saw wholesalers vote for their favourite advert, went to Bud Light for ‘Dilly Dilly’. Colin Smith, SWA chief executive, said: “We are witnessing unprecedented change in our industry yet our wholesalers and suppliers continue to raise their game. Success is hard won in challenging times such as these and it is only right that we sometimes take stock and acknowledge the success of our wholesaler and supplier members. “Achievers is the perfect vehicle to recognise the very best in our industry and I applaud the exceptional levels of innovation that we are seeing from our members as they seek new revenue streams, develop their operational processes and strive to provide the best possible customer service.” Smith also praised suppliers for their support of the wholesale sector in Scotland. “We are very proud of the way Achievers has evolved,” he said. “We go to great lengths to ensure that the awards remain meaningful for all involved but we couldn’t do it without our supplier members. We are committed to working in partnership with our sponsors to offer them a solid return on their investment in the form of much closer working relationships with wholesalers and a far better understanding of the Scottish wholesale industry gained through the judging CCM process.” 14
February 2019
Lauren Henderson and Jamie Gargett from Lomond Foods (third and fourth on left) and Jon Mack from Bidfood Scotland (second on right) receive their Best Delivered Operation – Foodservice trophies from the SWA’s Colin Smith (left), award sponsor Jan Sardone of Pritchitts (second on left), and awards host Jennifer Reoch.
Naeem Khaliq (second on right) of United Wholesale (Scotland) is presented with the Best Marketing Initiative award by (left to right): the SWA’s Colin Smith, award sponsor Gary Routledge of Quorn Foods, and awards host Jennifer Reoch.
Recognition for 35 years of service Kate Salmon (pictured), former executive director of the SWA, was given a standing ovation as the Association’s president Julie Dunn paid tribute to her decades of service. “Kate has represented us through her curatorship of the SWA for 35 years and in that time the Association has grown from strength to strength. She has cajoled and pleaded, badgered and encouraged member participation.
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“She has remarkable intuition – backed up by insight and experience – as to what’s on the horizon and has been a force for transformation for the Association. “She has put the SWA and our industry front and centre of all her endeavours and has been indomitable in ensuring our voice is heard in a challenging and dynamic world. “Kate is one of the greats of our industry.”
04.07.2019
Plus live demos, STREET FOOD & BARS, games & competitions, ENTERTAINMENT, industry bands and much more! This fundraising event is being held in aid of GroceryAid, the charity for the grocery industry.
*Price includes all food & drink
Getting a quick start
[ CONVENIENCE BREAKFAST ]
Life is hectic and one in three consumers now skip breakfast due to a lack of time. Suppliers are providing options to suit rising on-the-go and out-of-home purchasing, so the convenience channel needs to make sure it is keeping up with the changes.
T
he breakfast occasion is an increasingly rushed affair, and suppliers are finding innovative ways to enable consumers to get a healthy start to the day whatever their time constraints. Eggs are a great source of protein for the growing population of meat reducers and a popular choice for a nutritious start. Turning the traditional breakfast food into a more convenient format, Leathams has launched a ready-to-eat British poached egg that cooks in just 90 seconds. These eggs have the “perfect soft white and runny golden yolk” and are accredited with the British Lion Mark. Unilever has also updated a traditional breakfast product, with the introduction of Reduced Salt Marmite to satisfy consumer concerns over sugar and salt content. “With continued scrutiny of children’s breakfasts, and many parents looking for low-sugar options, our marketing efforts in 2019 focus on showcasing the versatility of Marmite as a savoury option and offering an alternative to sugar-laden cereals and spreads,” says Kyrie Merryman, marketing manager for Marmite. “As health continues to dominate the food agenda, we’re reminding fans that both Marmite Original and Marmite Reduced Salt are vegan-certified and can be enjoyed by the growing number of consumers adopting or trying out vegan and flexitarian lifestyles.” Nestlé Cereals is also highlighting vegan credentials through new packaging out last month on Shreddies and Shredded Wheat, displaying the Vegan Society symbol. “Social factors, health and portability are the top three key trends we are seeing in the market and are expected to continue to drive significant impact over the coming year,” says Toby Baker, marketing director UK & Australia. “It would be great to see an increased focus on these trends in this channel over the next 12 months – if wholesalers can effectively meet the needs of their customers and consumers in these areas we believe it will enable them to unlock their fair share and accelerate growth.” These factors are particularly significant with regards to the breakfast market. A number of single-person households and an increasingly ageing population imply a lean towards smaller, more frequent shops and a rising demand for smaller pack sizes. 16
February 2019
www.cashandcarrymanagement.co.uk
Wholesaler advice from Nestlé Cereals
• Embrace the trends – have a firm understanding of how health, portability and social factors will impact consumer purchasing decisions and act on it. Do not be afraid of unproven NPD – trial new SKUs that directly target key market trends, meet consumer needs and provide breadth of range. Get the right balance between strong sellers and newness – take an in-depth look at the range to ensure customers are still getting their favourites but remove poor sellers that do not add a point of difference to make space for compelling NPD.
• •
Meanwhile, manufacturers have addressed sugar reduction and are exploring further health trends such as the freefrom segment. Finally, busy lifestyles are driving on-the-go purchasing and NPD. “Portable food options are expected to be a key area for growth and innovation in the coming year, particularly within the breakfast occasion,” predicts Baker. The manufacturer is focusing on convenient formats this year with its recent launch of Box Bowls, which are both portable and recyclable. This follows last year’s introduction of Nestlé On-The-Go cereal pots, which are similarly attuned to consumer demands. “This product is definitely one to watch; it targets all three key trends due to its convenient format (portability), individual serving (social factors) and wholegrain as the No.1 ingredient with no artificial colours and flavours (health),” Baker says. “2018 was a year of renovation for Nestlé Cereals, with a focus on sugar reduction and the planned innovation in 2019. The second half of 2019 will see Nestlé Cereals NPD focus on specific health needs.” Breakfast beverages are also seeing a focus on health, such as the rising popularity of chai latte brand Drink Me Chai. Its catering packs enable foodservice operators to respond to the free-from and vegan requirements, as well as answering health trends with its Superblends range. “Drink me Chai is constantly taking inspiration from emerging trends to develop its product range,” says founder & CEO Amanda Hamilton. “Breakfast is expected to grow by 4.8% in 2019 (NPD group). The opportunity this presents operators is substantial, and catering to consumer trends during this profitable day-part is key for success.”
Nestlé Cereals
Right pack, right price, right size!
Shoppers who buy breakfast cereals in convenience have an average basket spend of £13.29 – worth more than double an average food basket without cereal (£5.48)* 84% of shoppers say they would like to see PMPs in their local convenience store** ® Reg. Trademark of Société des Produits Nestlé S.A. Subject to availability. Shreddies is a source of iron which contributes to normal energy-yielding metabolism. Shredded Wheat is low in saturated fat. Reducing intakes of saturated fat helps maintain normal blood cholesterol levels. Enjoy as part of a healthy diet and lifestyle. Price mark packs accurate at the time of printing. Curriously Cinnamon rated on average 4.7 by 371 consumers reviews posted on www.nestle-cereals.com/uk.en as of October 2017. Source: (*Him! CTP 2018 & Kantar 52 w/e 9 Sep 2018)(**KAMera, an eye on convenience retails, March 2017cereal product if it is in a PMP)
[ CONVENIENCE BREAKFAST ] Shoppers are also becoming more adventurous and high-end when it comes to the traditional breakfast beverages, and convenience ranges should reflect these changing demands. Jacobs Douwe Egberts has the leader in the pods market with Tassimo holding a 57% market share (Nielsen), reflecting the popularity of the café experience. “Consumers’ desire for coffee-shop style drinks and an increasing need for convenient on-the-go products are driving growth of specialities and mixes in the coffee category by 1.2%. Furthermore, as more consumers look to replicate their coffee shop experience at home, singleserve coffee penetration continues to grow with value sales up 2.3% versus a year ago (Nielsen),” says Charlea Samuel, category marketing manager premium coffee. “Single-serve pods are no longer the sole preserve of grocery, with a growing presence across impulse and convenience; cash & carry depots need to help retailers offer the most compelling range to their customers.”
‘As more consumers look to replicate their coffee shop experience at home, single-serve coffee penetration continues to grow’ Charlea Samuel, Jacobs Douwe Egberts’ category marketing manager Mondelez advises retailers and wholesalers to highlight the breakfast occasion within the biscuits section as the convenient breakfast solution continues to rise. “Retailers’ main biscuit feature should be easy to shop, helping shoppers to scan the offering and find what they’re looking for. Depots can make this simple for their retail customers by mirroring these groupings in-depot to help them stock up on the right brands,” says Susan Nash, trade communications manager. To help retailers define and segment their main fixture and highlight a ‘breakfast biscuit’ section, Mondelez offers shelf strips through its ‘delicious display’ website, along with a promotional poster and product dispenser. “The key merchandising principles are: group by product type; block by brand; group by pack size; stock your best sellers on best shelves; and align space to share of sales,” Nash advises. The supplier’s belVita brand responded to the changing consumer approach to the breakfast occasion back in 2009 and continues to be at the forefront of breakfast biscuit sales, as well as having one of the highest repeats rates in 18
February 2019
www.cashandcarrymanagement.co.uk
the entire biscuits category at 60% (Kantar). “Breakfast biscuits tap into the consumer need for a convenient and nutritional breakfast that slots into their busy lives,” explains Nash. “The belVita concept was founded on the insight that one in three people in the UK skip breakfast during the working week; the main reason for this is lack of time.” The range has expanded in line with current consumer trends – last year, belVita Breakfast Soft Bakes Blueberry was launched to capitalise on the popular superfood – and continues to lead the wellbeing and breakfast biscuit segments through investment in new products and large-scale marketing campaigns. Also highlighting quick and tasty breakfast solutions for the time-poor shopper is Brioche Pasquier. “Convenience is one of the prime market drivers, particularly for young people,” says Matthew Grenter, sales manager. “Data suggest that nearly half of those who skip breakfast are aged between 16 and 34, and over one-third of Brits who eat breakfast out also fall into this group (Kantar). These are the millennial generation – students and young workers who are looking for easy, convenient breakfast options out of home.” The Viennoiserie category is up by 6.6% in volume (Kantar), with brioche rolls and pains au chocolat the biggest contributors to the growth. Brioche Pasquier has seen a 42% rise in brioche rolls and 7% in pain au chocolat: last year’s range of individually-wrapped products have increased the grab-and-go options from the brand and the baked products have a 21-day shelf life to reduce wastage. “Cost savings from reduced wastage are important in the home, business and in-store, and if a product can be kept longer without the need for preservatives then so much the better,” Grenter adds. The manufacturer also cites an increasing shopper focus on ingredients as a sales driver. “With the growing trend for cleaner, healthier eating there is greater demand for products free from preservatives, artificial colours and flavours, and hydrogenated fats. Consumers want to know that their bakery products are made from high-quality, wholesome ingredients and are baked to traditional recipes,” says Grenter. “Wholesale customers know that they can depend on the vibrant blue and yellow Brioche Pasquier packaging to deliver quality, value and flavour every time,” he claims. The supplier optimises brand exposure through sampling CCM activity, giveaways and regular on-pack competitions.
For further information: Brioche Pasquier (01908) 266700 Drink me Chai (01689) 854270 JDE Professional (0845) 271 1818 Leathams (0115) 968 3190 Mondelez International (01214) 582000 Nestlé Cereals (01707) 325100 Unilever UK (0800) 731 1597
FREE Member Event
Sharing The Vision Part of our “What’s Next” series of events Chief Executive, Colin Smith, shares his Strategic Vision for the Scottish Wholesale Association. This event will combine presentations on our key pillars of greatness, along with a unique business-building workshop to build stronger links between our wholesale and supplier members.
Thursday 28th March Hampden Park Glasgow To book, please email joanne@scottiswholesale.co.uk with your contact details, delegate names and any dietary requirements. This is a FREE event for wholesalers and suppliers.
Collaboration . Consultation . Communication
[ PRODUCTS & PROMOTIONS ]
LRS looks to excite convenience shoppers PRODUCT OF THE MONTH
Lucozade Ribena Suntory is bringing a new addition to its permanent range this year with the Apple Blast variant. The flavour came to market last year as a limited-edition release from the brand’s partnership with the Lara Croft franchise. Well received by convenience shoppers, it became Lucozade Energy’s third most popular flavour in independents and symbols, behind Lucozade Original and Lucozade Orange.
Surprise Minions
Apple Blast is now available in 380ml and 500ml bottles and a supporting consumer marketing campaign is planned for later in the year. The supplier is also backing functional water brand Lucozade Sport Fitwater with marketing activity. A campaign was launched across social media in January, and influencer partnerships with actress Gemma Atkinson and social media fitness star Vic Spence will drive further brand awareness. LRS 020-3727 2420
Ferrero has brought out new products from its Minions licence, introducing special-edition eggs with seven new toys incorporating an ‘all around the world’ theme. Backed by a £2 million marketing investment and bespoke retail solutions, the small eggs have an rsp of 86p and the 100g Easter egg, containing a larger toy, has an rsp of £6.35. “Minions has been the best-ever performing licence for Kinder Surprise to date: the range has surpassed expectation, driving value and volume growth of 30%,” says Levi Boorer, customer development director. Ferrero 020-8869 4000
British fruits
Sugar-free sweets
Spicing up snacks
Fentimans, the botanically brewed drinks producer, is adding a new variant to its award-winning craft beverage range. In time for spring comes Apple & Blackberry flavour, a high-quality soft drink featuring two quintessentially British fruits. The NPD fits in with the current consumer demand for craft and premium drinks and is being launched to the wholesale channel in a 275ml bottle (rsp £1.25). A supporting marketing campaign features outdoor, digital and experiential activity including a British Garden Games activation. Fentimans (01434) 609847
Mondelez has introduced its first sugarfree hard-boiled offering from Trebor. The brand is the leader in the mint market and this NPD is designed to bring new consumers into the category while driving incremental sales. Cool Drops Sugar Free candies come in a 28g flip-top box (rsp 60p, also 50p PMP), in Extra Fresh and Lemon variants. At fewer than 100 kcal per pack, the product taps into the consumer demand for sugar reduction, as well as being in a format suited to the on-the-go occasion. The launch is supported by a digital campaign. Mondelez (01214) 582000
Sun Valley Nut Co has added some heat to its range of nut mixes through a partnership with iconic hot pepper sauce brand Tabasco. The launch is accompanied by PoS materials, along with a short video guide in partnership with the UK’s first female beer sommelier, Annabel Smith. The video is the first in a series of bitesize beer and nut pairing ‘how-to’ guides from Sun Valley. The new flavour comes in an 800g catering format, 45g individual carded bags and 50g bar pots, tapping into the trend for interesting snacking options. Sun Valley Nut Co 0151-482 7100
20
February 2019
www.cashandcarrymanagement.co.uk
[ SPOTLIGHT ] Justin Slawson, joint managing director of Mevalco
‘Do what you love to do’ What has been the major milestone or turning point of your career? Setting up Cheese Cellar with my partner Luke Fenwicke-Clennell after being ‘let go’ from London Cheese Company. Who has been the biggest inspiration to you? There are two. The first is Maggie Thatcher. Luke and I set up Cheese Cellar in an era where we were allowed to believe that anything was possible and one should just go out and do it. Even if it did not succeed, at least we could say we tried. Brian Baker, my joint managing director at Cheese Cellar, was also a big inspiration. He taught me that it is fine to change your mind as an MD and also to slow all decision-making processes and problems and to break them down into bite-sized pieces. It is much easier to make the right decision by thinking things through – and if it means people waiting on a decision, then so be it. What advice would you give someone starting his/her first job? Follow your passion. Do what you love to do as then it isn’t a job, it’s a vocation. 22
February 2019
How do you maintain a work-life balance? In the early days it was all work but nowadays it’s more about realising that you can’t do everything and to spend more time doing the things you enjoy the most. What most frustrates you in business (and in life generally)? Everyone’s over-reliance on emails and all things IT – people don’t use the phone any more and give people a call. We are forgetting how to access people! What type of business would you go into if it wasn’t wholesale? I would have been a lawyer. I always wanted to work in wholesale as it is technologically straightforward and all about customer service which is what I enjoy. If you had a million pounds to invest in business, how would you spend it? I would invest it in property – as a serious investor I have gained the greatest returns from investing in property – although I am always happy to listen to good ideas.
www.cashandcarrymanagement.co.uk
If you were able to retire tomorrow, how would you spend your time? My wife wouldn’t let me retire! However, if I were to retire, I would spend more time fishing, sailing, cycling and lunching, as well as travelling more and exploring new and exciting CCM cuisines.
Canny director Justin Slawson graduated from Swansea University with a degree in Management Science and his first job was as a sales service representative at aluminium producer Alcoa. His first venture into wholesaling was in 1985 when he joined the London Cheese Company as office manager – he had previously worked there part-time while at university. Two years later, he set up Cheese Cellar. That business was sold to H&B Foods in 2007. Slawson has been a director of Mevalco, a wholesaler of fine foods from Spain, for two years. He is also a director of PR consultancy The Canny Group.
FEBRUARY 2019
E ID U G T N E M E G A N A M Y R O CATEG
E GET TH S BASIC ! RIGHT
YOUR DEFINITIVE GUIDE TO CATEGORY MANAGEMENT
26
Category Management – the wholesale perspective
28
Beers, sponsored by Carlsberg
30
Caribbean Foods, sponsored by Grace Foods
32
Chewing Gum, sponsored by Mars Wrigley Confectionery
34
Cider, sponsored by Heineken
36
Coffee, sponsored by Nestlé Grocery
38
Confectionery, sponsored by Mondelez International
40
Dairy, sponsored by Kerry Foodservice
42
E-cigarettes, sponsored by JTI
44
Energy Drinks, sponsored by Red Bull
46
Pet Food, sponsored by Nestlé Purina
48
RTDs, sponsored by Global Brands
50
Spirits, sponsored by Halewood International
52
Tea – Retail, sponsored by Tata Global Beverages
54
Tea – Foodservice, sponsored by Tata Global Beverages
56
Tobacco, sponsored by Imperial Tobacco
58
Wines, sponsored by E&J Gallo Winery
The lay of the land
[ CATEGORY MANAGEMENT ]
While retailers may be confident navigating traditional convenience product segments, emerging consumer trends and category shifts mean that support and guidance from cash & carries and delivered wholesalers is essential for effective category management.
N
ow, more than ever, wholesalers and retailers need all the support they can get to ensure the industry remains strong. Aside from margin squeezes, availability issues and discounter competition, the past year has brought further challenges for the sector from legislation, channel blurring and the increasingly messy Brexit. In times such as these, it’s good to see that wholesalers are standing firm and supporting their customers as best they can. Buying groups have responded similarly – whether it’s the merger of Landmark and Today’s Group to create the powerful Unitas, or the tech drive that Confex has invested in with its free member app. For all, category management is a vital tool. “We have loads of information within our member web portal,” says Tom Gittins, business development manager at Confex. “Our suppliers offer lots of POR and category management support both online and in person, with our account contact very willing to help with bespoke requests at end-user level.” The group also uses its weekly Delivered! newsletter to keep its members up to speed on supplier activity. “We find that category management is
26
February 2019
now very much event-focused, with changes required in-store around religious festivals,” he states. “My one ask would be for suppliers to give us more info at an earlier stage when it comes to seasonal lines. It’s never too early to start planning for Christmas or Easter and we do sometimes seem to be a step behind the major retailers in this area. The growth of ‘event’ selling is a great asset for the independent convenience store and the key message to suppliers is that Confex members have the appetite and would like to be more involved.” At Bestway Wholesale, the approach to category management is multifaceted. “We offer category advice on three levels,” says Richard Booth, director of trading, category management & tobacco. “One is to provide category advice reports that are available on our website and in printed form; another is for our development managers to regularly visit customers and work with them to develop categories within their store, appropriate to the local consumers; and the third way is to highlight the best-sellers by category in each of our 65 depots so that cash & carry customers can easily stock up on those products that we think will sell well.”
www.cashandcarrymanagement.co.uk
For Time Wholesale Services, the most effective way of helping retailers manage their ranges is understanding and personalising customer needs. “It depends on your community as to what you are selling most of each month. Everyone selects what they think is beneficial for their store and their customers,” says Daniel Antenyi, marketing and promotions supervisor. The wholesaler’s visits to customers’ stores helps the team further understand what works and it passes on the information to suppliers. “Most of the time customers are happy with what they have been provided with; whatever they are not satisfied with I’ll address during supplier meetings and see how we can improve on that. We try to provide every service that’s beneficial for them – and for us, because as long as our customers are happy, we’re happy.” The same focus on local knowledge is highlighted by Bestway as a tool to compete with the major retailers: “We recommend that independent retailers stock local lines relevant to their customer base, to give them a point of difference against the multiples,” says Booth. “In our category advice reports we provide market insights such as
[ CATEGORY MANAGEMENT ] category growth information, upcoming NPD, insight into the type of consumer who will shop the category and guidance on how to drive sales. We also list the 20-30 core ‘must-stock’ lines for driving basket spend and include planograms that outline how the products should be laid out in-store. “Tobacco, beers, wines & spirits, confectionery, soft drinks and snacks are strong areas for our independent retailers but there are always trends developing and our category advice and activity throughout the year draws attention to emerging trends and changing shopper behaviour. Even in the stronger categories in convenience, there are still opportunities. From pink gin to healthy snacking options and pet treats, we highlight lines and emerging trends that will accommodate opportunities and that we believe will sell.” At Confex, Gittins agrees that a wholesaler’s knowledge of its customer base has to inform a category management approach: “Sometimes Confex head office find ourselves taking learnings from the category management we are given by suppliers but having to adapt this to suit our member needs. This works well in the main, especially with those suppliers who embrace the ‘collaborative ethos’ and have a keen interest in really unlocking the potential of the independent wholesale sector,” he says. Technology is key to developing opportunities, and wholesalers are working to ensure that their customers can access information. The new Confex app gives the buying group’s members details of current national promotions, with NPD highlighted in featured products, along with interstitial and banner advertising. This is in addition to the updated website that offers further
resources to wholesalers: “This web portal has planograms, product specs, pricing and promotional info, plus an industry-leading image library with high-res jpeg product images,” says Gittins. At Time Wholesale, the ‘My Shop’ facility enables retailers to revisit an order history that allows them to add or subtract from their previous purchases. “It only takes about five minutes to do your shopping and within four hours your items are ready for you with click and collect,” explains Antenyi. Customers often choose to go inside and browse the depot once their main order has been placed and see what promotional activity and NPD may interest them beyond their regular purchasing, saving time while being able to keep up to date on category activity.
‘We find that category management is now very much event focused, with changes required in-store around religious festivals’ Tom Gittins, Confex Bestway has also developed the tools available to its customers. “We offer a range of planograms for differentsized stores, and retailers can decide which categories they want to expand on to fit a bigger planogram. This guidance gives advice on both the range the retailer should stock and then how they should lay out the products in-store,” says Booth. “In terms of technology, we have just launched an app for independent cash & carry customers, so that these stores can independently implement the category advice. “Our team at Bestway Vans Direct also visit 20,000 independent retailers every two weeks, carrying out surveys on our bespoke technology developed for iPads to understand which products are selling well. A customer can order directly from the Bestway Vans customer sales representative who can then immediately fill the shelves with the stock they carry in their vans. This again will ensure the shelves stay full and the planograms are followed.”
While core ranges form the basis of category advice, NPD can be a trickier path to negotiate. “New products are a key opportunity to drive additional sales and shopper interest. They always come with risks though, in case the product does not sell well,” says Booth. “At Bestway, we work with customers on new products to forecast consumer take-up and only stock the products we think will be successful, and then we help retailers to create theatre around the new products in-store. Bestway Vans Direct also carry NPD in the sweets and snacks categories on their vans and the customer sales representatives are geared up with knowledge about the products to help the retailer understand the key selling points.” Similarly, Time Wholesale’s Antenyi believes that NPD success requires wholesalers to understand and highlight the potential to customers: “I don’t think there’s a reason we shouldn’t try to bring in NPD. It’s all about marketing, merchandising and, most of all, communication,” he says. A positive attitude from wholesalers towards supplier NPD is advocated by Confex, but with a qualifier: “Providing suppliers have done their research regarding NPD that it will fit within the wholesale channel then we would recommend all Confex wholesalers to get on board with new products, as the consumer is always looking to try something new,” says Gittins. “However, there have been occasions when NPD has been produced for a different channel and just won’t work with our CCM members’ customer base.”
www.cashandcarrymanagement.co.uk
February 2019
27
HOW TO WIN IN BEER!
1.
TOP TRENDS!
+7%
INCREASE BEER SALES BY KEEPING UP WITH THE LATEST TRENDS!
Total Value Sales
+5%
50.82%
Total Volume Sales
Total Impulse Channel L12wks Value Sales Vs YA
15.00%
NAB
9.18%
World
9.17%
Standard Plus
Premium Lager
4.66%
3.76%
1.15%
-0.89%
-5.36%
-5.38%
Craft
Super Strength
Standard Lager
Premium Ale
Value
Standard Ale
Help your customers to continue growing beer sales by stocking lines that play to the latest trends of Moderation (NAB), Experiences (World) and Engagement (Craft).
2.
SOURCE: NIELSEN SCANTRACK L12wks to we 05.01.19
MUST-STOCK BRANDS! THESE TOP 10 BRANDS ALONE ACCOUNT FOR 61% OF ALL SALES
£6.5
Peroni Nastro Azzurro
£6.1
Heineken (5%)
£7.0
Carlsberg Export
£7.5
San Miguel
£9.0
Kronenbourg 1664
Total Impulse - Value Sales (£M) L12wks
SAN MIGUEL & HEINEKEN BOTH UP +26%
STELLA ARTOIS +16% & CARLSBERG EXPORT +9%
£13.2
Carlsberg
£20.9
Carling
£23.8
Budweiser
£25.7
Fosters
£41.2
Stella Artois
SOURCE: NIELSEN SCANTRACK L12wks to we 05.01.19
SHOWCASING THE RIGHT RANGE! YOUR BEER RANGE MUST WORK TO PROMOTE SALES GROWTH BY OFFERING A SOLUTION FOR EACH SHOPPING MISSION, WHILST ENSURING EACH SEGMENT IS GIVEN THE RELEVANT SPACE ON SHELF!
SHARE OF SALES BY PACK SIZE: SINGLE (1)
25.3% NAB & VALUE
1%
STANDARD LAGER
25%
SMALL (2–7)
53.9% STANDARD PLUS
4%
LARGE (16+)
MEDIUM (8–15)
19.1% PREMIUM LAGER
38%
IDEAL CORE RANGE LAYOUT AND SHELF SPACE SOURCE: NIELSEN SCANTRACK L12wks to we 05.01.19
WORLD LAGER
18%
+
1.8% CRAFT & ALE
8%
Rebrewed from head to hop. Introducing the New Carlsberg Danish Pilsner. NEW Brew NEW Taste NEW Glass Still iconically Danish.
Grace Foods UK, the one-stop-shop for all your Caribbean food and drink needs. Call
01707 326 555 or email customer.services@gracefoods.co.uk
Caribbean Food Week
Seasons & In-Store
Promoting these brands strongly by giving The UK’s biggest celebration of Caribbean end of aisle space and using striking POS,prior food, drink and culture is now in its 7th to Easter and Christmas, as well as Carnival, year and during this time, Caribbean is critical and can deliver an incremental food and drink typically sees a
25% increase in sales against standard promotions.
Follow us on
40% value growth
to the Afro-Caribbean category.
Not Just London
Caribbean food and drink is growing across the UK, not just in major cities. Shoppers of all nationalities now look to the category for innovation and authenticity.
www.gracefoods.co.uk
Source: Global Cuisines (UK) – February 2018.
Maximise Key Occasions To Take Advantage Of Increased Sales.
Source: UK Caribbean Food & Drink – Retail Sales, Period: MAT 52w/e 5th January 2019.
PROMOTE FOR GROWTH
ON A MISSION:
CONTROL
Consumer shopping habits are changing and retailers need to think about making stores easier to navigate based on key shopper missions at different times of the day. Understanding these individual shopper missions will enable retailers to merchandise effectively, and in turn boost sales.
77%
of consu useful to h mers find it ave purchased commonly pro merchand ducts together 1 ised
Retailers need to think about making stores simple to navigate through cross merchandising and cross category promotions. Mars Wrigley Confectionery has identified its top two missions to ensure efficient mission management in store.
Food to go represents 15% of all shopper missions2 in the
convenience channel , as shoppers look for simple solutions and value for money via meal deals and promotions, such as sandwiches, soft drinks, confectionery and gum merchandised together so they are easy to find.
EFFECTIVE MISSION MANAGEMENT FOR RETAILERS: USE ADDITIONAL MERCHANDISING UNITS to locate impulse lines such as gum and confectionery beside food to go to drive additional sales
Hot Beverages on the Go
provides retailers with a shopper mission which enhances the possibility for dual siting’s. With 29% of chewing occasions
taking place directly after consuming hot drinks3, retailers
can place small gum displays beside coffee machines to encourage additional impulse purchases and boost product visibility.
CONSIDER CROSS MERCHANDISING confectionery, snacks and soft drinks to create a ‘Food to go’ fixture UP-WEIGHT BASKET SPEND by offering a cross-category promotion with coffee and gum
DUAL SITING’S boost product visibility and an association with the product and the mealtime occasion USE GONDOLA END DISPLAYS to engage shoppers with a specific mission area
TOP 10 SELLING GUM
RECOMMENDED GUM RANGE:
4
1. Extra Peppermint 10pc single 2. Extra Spearmint 10pc single 3. Extra White Bubblemint 10pc single 4. Extra Cool Breeze 10pc single 5. Extra Peppermint Bottle 46pc (PMP)/60pc 6. Extra White Bubblemint Bottle 46pc 7. Extra Spearmint Bottle 46pc (PMP)/60pc 8. Airwaves Menthol & Eucalyptus 10pc single 9. Extra White 10pc single 10. Extra Ice Peppermint 10pc single
BENEFIT FROM BOTTLE SALES! Bottle formats are seeing increasing success, with the trend towards snacking at work and eating and drinking on the road being key to their performance. Now worth £8.52m for total Independents6 and having grown in value sales by +10.2% (£0.79m)7, the bottle format offers consumers with a convenient way to keep their teeth clean and healthy, when brushing isn’t possible.
Work with your Mars Wrigley Confectionery representative to help maximise your gum sales, or visit www.Mars.co.uk Ref 1:HIM! Ref 2:HIM! 2016 CTP – Available at: http://www.hscic.gov.uk/catalogue/PUB17137/ CDHS2013-Executive-Summary.pdf. Last accessed October 2015 Ref 3:Ipsos Reasons to Chew 2014 Ref 4:Nielsen Last 26 Weeks to 29.12.18. Total Independents (Symbols & Traditional Independents) and ranked by Value RoS Wtd. Ref 5:Nielsen Scantrack – Total Gum – Total coverage MAT w.e. 09.09.17 Ref 6:Nielsen MAT to 29.12.18 Ref 7: Nielsen MAT to 29.12.18
RETAIL ERS C CASH IN AN IMPULS ON E SALES BY STO CKING T HE BOTTLE FORMA T
THE EXOTIC TASTE YOU'VE BEEN PIN(E)ING FOR Exotic premium flavoured cider grew 20% last year1 +50% growth in the impulse channel2 100% recyclable packaging
Source: 1. Nielsen scantrack 8 weeks vs. YA to 16/06/2018, total coverage. 2. Nielsen MAT sales value data in the Impulse channel to 01.12.2018
deliciousdisplay.co.uk
Steps to sweet success... The UK confectionery market is growing and worth £5.2bn* so make sure your depot gets its share.
Recommended must stock chocolate singles^: 1 Cadbury Twirl
10 Cadbury Star Bar
2 Cadbury Wispa
11 Cadbury Wispa Gold
3 Cadbury Crunchie
12 Cadbury Picnic
4 Cadbury Double Decker
13 Cadbury Dairy Milk Freddo
D isplay a core range covering singles, duos, tablets, bags and gifting
5 Cadbury Boost
14 Cadbury Fudge
6 Cadbury Dairy Milk
15 Cadbury Dairy Milk Buttons
Allocate the space according to sales potential, allocating more space to best sellers
7 Cadbury Wispa Duo
Confectionery Top Tips
H ighlight best selling lines H ave clear pricing Offer both PMP and non PMP lines E ncourage retailers to make the most of the seasonal opportunity, for example by displaying on rack ends at appropriate times
16 Cadbury Dairy Milk Freddo 8 Cadbury Double Decker Duo Treasures 17 Cadbury Dark Milk 9 Cadbury Boost Duo
Recommended must stock candy singles^: 1 Trebor Extra Strong Peppermint 2 Trebor Softmints Spearmint 3 Trebor Softmints Peppermint 4 Halls Mentholyptus Extra Strong 5 Maynards Bassetts Wine Gums 6 Halls Soothers Blackcurrant For the full Mondelez International core range recommended list go to www.deliciousdisplay.co.uk
E nsure NPD and promotional products are stocked in advance of consumer media C reate impactful displays to catch retailers eyes when they are making purchase decision in depot W ork with key suppliers- use their category knowledge and help to promote best practice to retailers Advise retailers about spending strategy – some retailers go for best margin, that’s not always the best approach – a great margin on a product that doesn’t sell isn’t helpful * Nielsen Insight Studio Total Coverage incl. Discounters MAT 29.12.18 ^ As recommended by Mondelez International
For great retailer category advice go to www.deliciousdisplay.co.uk Supporting convenience retailers online 24/7 • Confectionery • Biscuits • Hot Beverages • Cheese
Helping caterers meet customers’ needs with a portfolio of great tasting dairy ingredients With 30 years’ experience in dairy, Kerrymaid has a deep understanding of what is best about dairy – the rich flavour, creamy texture and unparallelled mouth feel. However, acknowledging that dairy is not a straight forward ingredient in the professional kitchen, Kerrymaid fine tunes its products for added functionality to bring the pleasure of dairy to everyone.
Kerrymaid Ready To Use Sauces
Kerrymaid Cream Alternatives and Kerrymaid Custard Offering great taste, functionality and consistent performance Kerrymaid Cream Alternatives and Custard are the perfect addition to a dessert menu.
Kerrymaid Bechamel and Hollandaise ready to use sauces give chefs the confidence to create consistently great meals time and time again.
Kerrymaid Bechamel & Kerrymaid Hollandaise – 1l Consistency in quality and taste
Kerrymaid Cream Alternatives - 1l All the taste of fresh cream No hydrogenated fats
Taste like they are made from scratch
Does not split with acidic or alcoholic ingredients*
Meets 2017 salt targets
Nine month ambient storage
Can be used as a versatile base for creating other sauces
Kerrymaid Custard - 1l Can be used in hot and cold applications
Gluten free
Brought to you by
Kerrymaid Hollandaise is gluten free
All day application
Reduces waste from splitting and curdling when made from scratch
Save time and space
Kerrymaid Slices
Kerrymaid Spreads
The perfect addition to any burger, Kerrymaid Slices are convenient whilst offering a great creamy taste.
The complete Kerrymaid spread and baking portfolio includes a multipurpose spread and a baking block – great tasting, versatile products that can cater to every chefs needs whatever the outlet. Kerrymaid Buttery has 78% less saturated fat than butter
Kerrymaid Original Slices – 112 slices (1.4kg) The perfect melt for burgers
Easily peelable for quick service
Great taste and structure
Kerrymaid Cheese Sauce Made with 25% cheddar cheese and stored frozen, the new Kerrymaid Cheese Sauce is the perfect consistency for loaded fries, topping burgers and dips.
Kerrymaid Buttery – 2kg Spreads straight from the fridge
Kerrymaid Cheese Sauce – 500g Consistency in quality and taste
The great taste of Irish butter
Gluten Free
Ease of use, 365 days’ frozen shelf life
Bain Marie stable
Spreads, Bakes, Cooks
Kerrymaid Cheese Bites Combining the creamy taste of melted cheese with a tasty sauce, Kerrymaid Cheese Bites are great served throughout the day as a starter, side or snack.
Kerrymaid Premium Baking – 250g Dairy Free
Easy-to-measure guide on pack
Kerrymaid Cheese Bites – Approx. 55 bites (1kg) Increase transaction spend Operating efficiency, 365 days’ frozen shelf life
Quality convenience & easy to cook
Differentiation from competitors
For channel insight and inspired recipes visit:
www.kerrymaid.com @KerrymaidDairy
WN O SH E TB O N N A S C N T O S EN A M E E R S I L T A R E EG V L D A R O S I F TH
WN O SH E TB O N N A S C N T O S EN A M E E R S I L T A R E EG V L D A R O S I F TH
MORE WINGS TO MAKE SALES FLY.
These days, more and more shoppers want a low-calorie alternative to their favourite drinks. That’s why the Red Bull Sugarfree range has grown, offering shoppers new flavours, new sizes and a choice in how they get their wings. As Red Bull Sugarfree 250ml is the number one low kcal drink in the Sports & Energy category (+7% vs 2017 )*, selling Sugarfree alongside Red Bull Energy Drink can help your category sales fly. So if you want to give your business a lift, it’s easy to see:
*IRI £SALES LOW KCAL SPORTS & ENERGY SINGLES (TOTAL COVERAGE | 52 WKS 20.01.18)
WHY STOCK SUGARFREE ALONGSIDE ENERGY? TO GIVE SHOPPERS WHAT THEY WANT.
250ML RED BULL SUGARFREE NO.1
NO.1
LOW KCAL S&E SKU
NO.1
SINGLE SERVE SOFT DRINK SKU
355ML RED BULL ENERGY
355ML RED BULL SUGARFREE These shoppers are health conscious who may be new to the Category. Aged between 25-34 and mainly female, this new SKU will encourage them to trial.
250ml shoppers are looking to energise their everyday lives. They are the broadest group, typically between 18-35 and 50:50 male to female split.
NEW 355ML LOW KCAL SKU
NO.2
355ml shoppers trade up to larger sizes to support their busy lifestyles. They are typically older and mostly male.
BIG CAN ENERGY SKU
473ML RED BULL SUGARFREE
473ML RED BULL ENERGY
Target shoppers who are looking for value for money while also looking for a healthier option. Aged between 18-24 and lowmid affluence, this new SKU will encourage them to trial.
473ml appeals to those looking for more value for their money. They are typically younger and mostly male.
NEW BIG CAN LOW KCAL SKU
NO.3
BIG CAN ENERGY SKU
Stock side-by-side in all 3 sizes to offer your shoppers the choice they demand.
SOURCE: IRI TOTAL UK, MAT 18/02/17.
Sugarfree shoppers are the most health-conscious. They are usually a bit older with a 60:40 female to male split.
250ML RED BULL ENERGY
INCREASE YOUR PET FOOD PROFIT BY FOLLOWING SOME TOP TIPS KNOW YOUR CONVENIENCE PET FOOD SHOPPER
LUXURY CAT FOOD
• Growing strongly in convenience (+8.4%*) but often under represented within store • Shoppers will pay a premium for luxury and this will drive value in your store
TOP TIP! Offer a range of luxury
WET DOG POUCH GROWTH
• Trends show shoppers want a quick and convenient pet food solution • Pouch has grown £1 million in convenience YOY
TOP TIP! Introduce a dog pouch
CAT POUCH
• 50% of cat food sold in convenience is Pouch. 4x more than cat cans • Top 2 selling lines are Felix AGAIL • Stock singles and multipacks
TOP TIP! Drive growth with pouch
TREATING
• Treats are a great way to drive additional sales • Shoppers like to buy across different needs for health, indulgent treating and everyday biscuits to drive incremental sales • Over 1,800 shoppers buy cat treats in convenience daily°
TOP TIP! Stock a range covering different needs
S
MERCHANDISING TIPS S
1. Stock a core range of top sellers 2. Include products from each segment to meet your shoppers needs
S
3. Make it easy for your shoppers to find products with a simple fixture flow 4. Offer premium options 5. Range price marked packs where possible
S
RETA S CHO CAT LI
S
SPEND MORE
The Pet Food Category is worth over £2.5 Billion*
Pet food shoppers spend £11.37 which is 74% more than the average convenience shopper**
OWNERS
50% of shoppers visiting convenience stores own a pet**
*Source Kantar World Panel Total Stores MAT 15th July 2018 **Source HIM CTP 2018
DRIVE VALUE FOR YO RTDS ARE A GROWING CATEGORY What’s trending? 1 RTS COCKTAILS
+33% +38%
70cl BOTTLES make up 71% of the
70 cl
CA N
S
SPIRIT & MIXER CANS
RTD market
Stock brands in growth
+48%
+133%
2
2
+17%
3
+47%
3
+49%
How to make the most of RTDs KEEPLEITD CHIL
f Over halfl iso alcoho d consumeours within 2 hhase 4 of purc
Offer a range of top-selling core brands for your customers to stock in their chiller.
Sources: 1 Nielsen 52 we 01.12.18 Impulse (MAT volume) 2 GBL Volume Data (9lc) MAT to December 2018 3 Nielsen 52 we 01.12.18 Impulse (MAT volume) 4 GBL Data, 2019 5 Nielsen 52 we 01.12.18 6 Nielsen 52 we 01.12.18 Impulse (MAT volume) 7 GBL Data, September 2018 8 him! CPT 2016 9 NUS Drinks Tracker 2014, 2015, 2016, 2017, 2018.
3
+37%
3
UR RETAILERS WITH RTDs TOP TIPS FROM GLOBAL BRANDS, THE SUPPLIER THAT ADDED £2.6 MILLION TO THE CATEGORY IN 2018 5 Flare cocktails are a top five value driving RTS brand6. Exclusive for independent retailers, Flare offers an important point of difference.
KEEP IT
EXCLUSIVE
STOCK
IN DEMAND
NEW FLAVOURS
DRIVE
VALUE – WITH –
PMP
61% of convenience shoppers think Price Marked Packs offer more value than supermarket equivalents. Help retailers drive value by stocking a wide range of price-marked packs.8
BE INSTA FAMOUS
ATTRACT A
YOUNGER AUDIENCE
Consumers love innovation and trending new products. VK Watermelon was unveiled after a public search for a new flavour, voted for by over 33,000 consumers7.
Encourage retailers to stock products with creative packaging. Consumers want stylish looking artistic cans they can snap and share on Instagram.
Keep an 18-24 year old audience engaged by stocking RTDs. VK has been the number one RTD for students for the last 5 years.9
believes in supporting convenience retailers. To stock or for more information contact Global Brands on: 01246 216 016 or email: info@globalbrands.co.uk
FOODSERVICE
MAXIMISE YOUR TEA SALES OUT OF HOME GET YOUR BLEND RIGHT
BLACK
+
4%
BLACK TEA SALES GROWING YoY
value share 66%
1
SPECIALITY TEA
DECAF
12%
+
GREEN TEA SALES GROWING YoY
value share 4%
Tetley Tea Report 2018, 2 Salesout Consolidated Tea Category Report MAT 8th July 2018.
Tel: 0800 028 3728
FRUIT & HERBAL ENVELOPES
13%
+
GREEN
FRUIT & HERBAL TEAS SALES GROWING YoY
value share 11%
2
OUT OF HOME
Tetley IS THE N.o 1 Wholesale Tea Brand
2
THE OPPORTUNITY
WITH 3.1 BILLION OUT OF HOME OCCASIONS, THE UK FOODSERVICE TEA MARKET REMAINS BUOYANT, WITH VALUE GROWTH AT 13.6% FROM 2015 TO 2017,1 PRESENTING A KEY OPPORTUNITY FOR WHOLESALERS TO ASSESS AND REVIEW THEIR TEA PRODUCTS IN DEPOT TO ENSURE THEY HAVE THE CORRECT RANGE IN PLACE TO MEET OPERATOR REQUIREMENTS.
AVERAGE TEA COST PER CUP
2016 £1.73
2017 £1.77
BREAKDOWN
COST
Tetley English Breakfast Tea Bag
£0.07
Takeaway Cup and lid
£0.15
Milk
£0.02
Sundries – Stir stick and Napkins
£0.01
THAT’S OVER £40 MARGIN PER BOX SA L E S
£1.80 P RICE
MAR
£1.55 PE
R CU
P
%
G R OS S
£0.25
SH
N GI
Approx. Cost
2018 £1.80
CA
2015 £1.69
86% M
A R GIN
TETLEY’S TOP PLANOGRAM TIPS 2.
1. Stock a variety of formats, flavours and sizes to cover your customer’s needs
Allocate adequate shelf space for premium and current growth sectors, such as Fruit & Herbal envelopes.
TEA 4.
3. Help customers to shop in depot and maximise sales by blocking fixtures by brand & format with clear POS signage.
Tea has higher sales in summer vs other hot beverages. Changing your POS and menus to reflect this will help increase sales
Visit tetleyfoodservice.co.uk to find out more Join the conversation @TetleyTeaOOH Follow us on LinkedIn @Tetley-Foodservice
WN O SH E TB O N N A S C N T O S EN A M E E R S I L T A R E EG V L D A R O S I F TH
WN O SH E TB O N N A S C N T O S EN A M E E R S I L T A R E EG V L D A R O S I F TH
Boost your sales with Premium U.S. Wines Premium wines are driving the UK wine growth!
5%
+54M added YoY!
1% Total Still Wine Category Growth
Premium Still Wine Category Growth
USA: 2nd largest contributor to Premium Wine growth
Accounts for 73% of the growth!
Focus on the category winners!
2
ND
largest contributor to Premium Red Wine Growth*
NEW MALBEC
• Fastest growing grape varietal** • No.1 contributor to Still Wine Growth
Malbec, a must have for your premium portfolio £6.3M
+6M Revenue sales YoY!
£1M
£.9M
£.8M
£.8M
£.8M
Negroamaro
Castelao/ Tempranillo/ Touriga Nacional
Nero D’avola
Grenache/ Mazuelo/ Tempranillo
£1.3M
Nebbiolo
£1.5M
Merlot
Shiraz/Syrah
Cabernet Sauvignon
Malbec
£1.8M
Zinfandel
£2.7M
Red Grape Varietals – Premium Category Sales Increase vs Year Ago *GB Nielsen Scantrack – Total off trade MAT 29.12.18 – Still wine 75cL – Premium is defined as brands with av. Selling price of £7+ **GB Nielsen Scantrack – Total off trade MAT 29.12.18 – Still wine 75cL
WHEN IT COMES TO GREAT COFFEE, THE COFFICIONADO MEANS BUSINESS. PREMIUM KENCO COFFEE, IN A GREAT VALUE CATERING RANGE.