C&C Management Nov 15 by Cash & Carry Management

IT’S BACK! THE COCA-COLA CHRISTMAS TRUCK TOUR

THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS

Exclusive!

Merchandising with Mondelez International

WHOLESALE IN NUMBERS

TIMES ARE CHANGING Revealed! The thriving and just surviving product categories

PRICE CUT INITIATIVE Blakemore introduces new tobacco pricing at eight cash & carry sites

NOVEMBER 2015

Contents

November 2015

This month donâ&#x20AC;&#x2122;t miss... 6 09

Dhamecha opens the doors to its first depot outside of London.

Dee Thaya on why retirement will never be an option.

Revealed! How you can cash in on soft drinks this Christmas.

ESSENTIALS 05 06 18 50

Editorâ&#x20AC;&#x2122;s Comment Industry News Achievers Products & Promotions

FEATURES 12

Industry Statistics An in-depth look at the foodservice and retail customer channels.

Spotlight featuring Dee Thaya, owner of Abra Wholesale.

Supplier Strategy Cracking Easter with Mondelez International.

In Focus Are you merchandising your biscuit and confectionery fixtures correctly?

Doing things right: Susan Nash, trade communications manager at Mondelez International, highlights the best merchandising methods.

OPINION 13

Product of the month

Employment Law The ins and outs of using zero hours contracts.

CATEGORY INSIGHT 22 30 32 44

Breakfast Savoury Snacks Soft Drinks Alcoholic Drinks

Are you making the most of the opportunities in wholesale?

Feel the force! Cheestrings packs are given a Star Wars makeover.

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November 2015

Add a seasonal twist to your snack selection this Christmas with the number one* cheese in snacking! A range of festive Mini Babybel® characters are making an exclusive appearance this Christmas. With a limited edition seasonal pack design, Mini Babybel® is ready for winter and wrapped in these attractive wintery cellophane wraps. Available throughout November and December, the loveable Mini Babybel® characters are the perfect way for wholesalers to help convenience stores and independent outlets looking to expand their Christmas selection and capitalise on the festive season.

The popular household brand, which is renowned for great quality as well as fun and excitement, is great for eating on the go. Bel UK’s preportioned Mini Babybel® provides consumers with the perfect snacking solution and allows consumers a moment of indulgence. Convenient, tasty and with great brand heritage, the 100% natural bite-sized cheese is an essential element of today’s cheese category. Recognised across the convenience and independent channel as a brand

PERFECT FOR ON THE GO

loved by children and adults alike, Mini Babybel® can also be used as part of a nutritionally balanced diet. Rich in calcium and made with 98 percent milk, Mini Babybel® is a natural source of calcium. Steve Gregory, marketing director at Bel UK comments “As the number one cheese in the snacking market, Mini Babybel® remains the go-to cheese snack option for consumers throughout the UK. Its seasonal themed packaging gets everyone in to the Christmas spirit, ensuring smiles all round.”

Mini Babybel® remains the go-to cheese snack option for consumers Steve Gregory, Marketing Director at Bel Foodservice

*Kantar World panel data, value share MAT to 12/09/15

www.cheese-recipes.co.uk

[ EDITOR’S COMMENT ]

Give retailers a bigger share h, the good old days! Not the Victorian times of beach changing huts, long bloomers and men looking naked without their hats. We’re talking much more recently than that. You only have to go back 10 or 15 years when all the leading cash & carry operators and buying groups held lavish award ceremonies for their top suppliers and retail customers. By presenting them with, say, a cup or certificate, plus a sizeable cheque, it was a way of saying ‘thank you’ for their support. Now, while suppliers – and, in some cases, staff – are accorded this recognition, retailers seem to have been pushed into the background somewhat. Of course, not all companies that still honour the businesses with whom they deal all the year round have neglected to reward the hard-working ‘corner shop’. Bestway Group regularly digs deep to make its customers feel wanted, paying out thousands to those selected by a team of judges. Another is Blakemore Wholesale. Bestway hands out awards not only to national and regional winners, but also to those achieving high standards in specific aspects of their business, like tobacco, wines & spirits and retail club membership. Blakemore selects most winners on a regional basis. In this seemingly never-ending period of economy drives, you can understand

IT’S BACK! THE COCA-COLA CHRISTMAS TRUCK TOUR

Exclusive!

WHOLESALE IN NUMBERS

TIMES ARE CHANGING Revealed! The thriving and just surviving product categories

PRICE CUT INITIATIVE

that there have to be cutbacks. And while many leading companies and groups still do their utmost to make life easier for their retailers, such as by providing financial help with fascias, informative publications, data-packed websites and merchandising advice, it’s a shame that private traders are not honoured in the way they once were. Another sector to be feeling the pinch through food & drink organisations tightening their purse strings is charities. While they might still be receiving regular donations from some of our big names through staff initiatives, gone are the days when events at top West End hotels were purely in aid of some of our best-known philanthropic institutions. Again, one of the exceptions is Bestway, through its Royal Ascot charity race day. Two of our leading C&C/wholesale organisations that continue to honour achievements in our industry are the Federation of Wholesale Distributors (at an event later this month in London) and the Scottish Wholesale Association (next February in Edinburgh). And while on the subject of recognition for the top operators, may we remind you that Cash & Carry Management’s own annual AWARDS lunch takes place on 20 November at Danesfield House, Marlow, Bucks.

Mervyn Gilbert News Editor

NEVER MISS AN ISSUE... Cash & Carry Management is free to cash & carry and delivered wholesale directors, buyers and managers. The magazine is available to other subscribers for just £58 a year or £6 per copy. Overseas yearly subscriptions are priced at £85. Back issues dating back to 2011 are available online.

Blakemore introduces new tobacco pricing at eight cash & carry sites

Email mail.winlove@btconnect.com or call (01342) 712100 for more information.

Address Winlove Publications Ltd PO Box 366 East Grinstead RH19 4ZE Tel (01342) 712100 Email mail.winlove@btconnect.com Web cashandcarrymanagement.co.uk Publisher Winlove Publications Ltd EDITORIAL Managing Editor Kirsti Sharratt News Editor Mervyn Gilbert Deputy Editor Michael Catling ADVERTISING AND MARKETING Publishing Director Martin Lovell Media Sales Manager Clare Phillips 4,574 July 2014 – June 2015 Audit Bureau of Circulations Printed by Bishops Printers ISSN 1352-254X All media rates and feature lists can be accessed online by visiting: cashandcarrymanagement.co.uk

THREE WAYS TO GET INVOLVED THIS MONTH 1. ONLINE Catch up on all the latest news via our weekly bulletins, plus take advantage of our Promo Checker service, exclusively for suppliers, and our online magazine edition. cashandcarrymanagement.co.uk

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3. TWITTER Follow us for breaking news and live updates from our exclusive AWARDS lunch on 20 November. @CandCManagement

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November 2015

[ INDUSTRY NEWS ]

Two new Parfetts managers

Dawood Pervez

Apple for fruit & veg? Bestway Wholesale has introduced the Apple Pay system at its Abbey Road, north-west London, depot. It means that the C&C/wholesaler is offering customers the option of paying for goods using their iPhones or iWatch in that branch rather than presenting their debit/credit cards or paying in cash. Dawood Pervez, marketing director, believes that the payment method will prove popular with retailers. He said: “Our customers have a much higher usage rate of Apple products than consumers in general. When we launched the Bestway mobile app, we did so knowing that 85% of customers have Apple rather than Android devices. “The launch of Apple Pay in depot is a natural progression to adding convenience to our customers’ business lives and further establishes us as their wholesaler of choice.” Dawood claimed that the system will facilitate transactions and cut the time spent at the terminal. Unlike the majority of Apple Pay systems operating in the UK, Bestway’s terminal will have no ceiling on how much a customer can spend. a Bestway Wholesale 0208453 1234 06

November 2015

Parfetts Wholesale has made two general manager appointments. John Trueman has taken charge of the Anfield depot while Becky Webster has been given the top job at the Halifax branch. Trueman, who replaces

Gary Kenwright, has been with the Anfield unit since 1979, latterly as buying manager. Webster, who previously worked at the Halifax depot for 15 years, was until recently a trader at head office, with responsibility for catering, chilled and frozen. She takes over from Jason Lough, who

has left the company. Commenting on the two appointments, operations director Andy Whitworth said: “Both John and Becky have experience and an indepth knowledge of their depots and their customers. “I am confident that they will maintain the sales growth and continue depot development for the foreseeable future.” a Parfetts Wholesale 0161429 0429

Liverpool retailer in first place Liverpool retailer Tharmalingam Gnanachchandran, who trades as the Local Zone, won first prize of £10,000 in Bestway Wholesale’s annual retail development awards held in central London. The total prize value was £32,000. The event, in its 15th year, was hosted by group CEO Zameer Choudrey and wholesale managing director Younus Sheikh. Other awards: North: Saghir Hasham & Saqib Mahfooz, Mr Booze, Derby. South: Sanya Ahmed, Falcon Food & Wine, London E2. Scotland: Donna and Bruce Morgan, Brownlies, Biggar. Community award: Jitendra Patel, Arnott Close Post Office, Thamesmead. Best One: Kuperan Muragesu, Peva Petroleum, Runcorn. Northern runner-up: Kalpesh & Meeta Raja, Ishiv, Leicester. Southern runner-up: Daljit Athwal, Shop Around the Clock, Tenterden. Scottish runner-up: Mujahid Islam, Best One, Fintry. Best One runner-up: Vijay

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Younus Sheikh (left) and Zameer Choudrey with overall winners Mr & Mrs Gnanachchandran, of Liverpool.

Joshi, Hunslet Mini Market, Leeds. Chilled & frozen: Zarine Khan & Fahim Hussain, Kashmir Watan Food Stores, Preston. General grocery: Jeyabalan Arumugam, Moxley Food & Wine, Wednesbury. Household, health & beauty: Mathanraj Mahalingam, Daily Stop, Liverpool. Tobacco: Saghir Hasham & Saqib Mahfooz, Mr Booze, Derby. Confectionery: Gobind Takhar, Singhburys, Rowley Regis. Crisps & snacks: Kulvinder Singh Mann, Mann’s Food &

Wine, Woolwich, SE London. Soft drinks: Vacaas Ali, Fenham Stores, Gateshead. Water: Kanahasunderam Jayharan, Supersaver, Litherland. Wines & spirits: Gurpinder Tauk, GS Discount Centre, Ashington. Beer & cider: Ambarish Patel, Anish’s Mini Market, East Grinstead. Petfood: Mohammed Janjuah, Russells Hall Road Post Office, Dudley. Baby food: Dalwinder Bal, Bal’s Foodstore, Winch Wen, Swansea. a Bestway Wholesale 0208453 1234

[ INDUSTRY NEWS ]

Third time lucky at Luton? Abra Wholesale, the Edmonton, north London, C&C wholesaler that opened a 55,000 sq ft branch in Luton at the end of July, has appointed its third general manager there. The original incumbent, Sean Purnell, formerly with Tesco for 11 years, left shortly after joining, having earlier been undecided about whether to take up the offer. His replacement, David Baker, whose long career in the C&C trade has included spells as a senior executive with Nurdin & Peacock, Booker and Bestway, has also quit, blaming the long daily travel to Luton for his decision. When Baker joined the Landmark Wholesale member earlier this year, it was as general manager of the

Edmonton unit, but he agreed to move to Luton when Purnell left. The newly appointed man in charge at Luton is Seliah Ranjan, a former general manager at Bestway Wholesale. Abra Wholesale has also

seen the departure of Mohammed Amjad Bashir, who joined as export manager just a few months ago (Cash & Carry Management: July). His replacement is Nishan Alan. a Abra Wholesale 020-8887 9303

Tobacco prices lowered Blakemore Wholesale has introduced a new tobacco pricing strategy for its cash & carry customers. The change, which was introduced late last month in eight of the 14 branches (Birmingham, Gateshead, Killingworth, Middlesbrough, Swansea, Wolverhampton, Cardiff and Walsall), features reductions on each site’s three top-selling tobacco lines.

Russell Grant, commercial director, said: “We have introduced this new tobacco pricing strategy after listening to customer feedback on ways that we can improve our offer and help maximise profit margins. “We believe the new scheme is simpler and more impactful than our existing price-match initiative and offers unbeatable value for money.

“The scheme has been devised to fit the trading profile of each depot.” Each participating C&C has also launched an ongoing deal offering customers a free 24 x 330ml case of Coke when they purchase 15 full cigarette outers. This replaces Blakemore Wholesale’s ‘Top Ten’ pricematch initiative at the depots affected by the change. All six other depots will continue with current pricing levels and maintain any existing free-stock deals. Referring to these nonparticipating C&Cs, communications officer Rachel Adams commented: “They have different competition and trading profiles to the other eight branches.” a Blakemore Wholesale (01902) 371515

Worthwhile meeting Deals worth more than £520,000 were concluded at the latest ‘Meet the Member’ event arranged by Fairway Foodservice and supported by 38 suppliers. Among the goods on show were 27 new frozen food items, while 11 ambient lines were added to the group’s own-label range, which now stands at around 600 products. This was the second such Fairway event this year. Together, the two shows generated income of more than £1.3 million. The next one will be held on 2-3 February 2016. Group chief executive Chris Binge said: “Our Meet the Member event is valuable for both members and suppliers, providing an excellent opportunity for them to get together and do business. The products that suppliers brought with them have all been well received.” Binge added that annual turnover of £556 million last year reflected an 11% increase on the previous 12 months. a Fairway Foodservice (01422) 319100

kff launch Four varieties of Perkier wholefood snack bars are being launched through foodservice wholesaler kff. They are: cashew, chia & pumpkin seed; goji & cranberry; cacao & cashew; and an oat bar with sprouted buckwheat, cranberry & cashew. They are supplied in cases of 18 and have an rsp of £1.29 per bar. a kff (01622) 612345

www.cashandcarrymanagement.co.uk

November 2015

[ INDUSTRY NEWS ]

Booker tobacco decline

Queenslie improvements.

Big spend by UWS Glasgow operator United Wholesale (Scotland) is spending around £800,000 to enhance its 170,000 sq ft Queenslie cash & carry. Managing director Asim Sarwar said the changes, which are expected to be completed by next April, will include a five-fold expansion of the chilled & frozen area plus the launch of UWS’s own chilled distribution operation. He told Cash & Carry Management: “We are also planning big changes at the M9 cash & carry in Falkirk which we took over at the end of last month. “The 32,000 sq ft depot has been renamed as United M9 and it will include more chilled and frozen foods as well as milk and bread. We are also introducing more competitive pricing and regular promotions.” The Today’s Group member has also been expanding its club representation. There are currently 530 traders operating either as Day-Today, U-Save or M9 Retail. UWS also has a 40,000 sq ft cash & carry at Maxwell Road, Glasgow. No changes are being earmarked for that branch. a United Wholesale (Scotland) 0141-781 6600 08

November 2015

Latest trading figures from Booker Group show the effect that the ban on displaying tobacco products is having on independent stores. Presenting results for the 24 weeks to 11 September, chief executive Charles Wilson said that overall sales dipped by 1% to £2.2 billion, largely due to tobacco income falling by 3.7% as a result of private traders having to sell cigarettes and tobacco out of sight. Like-for-like non-tobacco income was only marginally up – by less than 1% – because of the ‘challenging consumer and market environment’. Despite the negative impact on sales, Booker increased pre-tax profit by 10% to £74.1 million.

One of several divisions making good progress.

Wilson reported that internet sales grew by 11% to £461 million, that Booker Direct, Ritter Courivaud, Classic and Chef Direct continue to make good progress, and that the Indian C&C operation is on track. There are now almost 50 Family Shopper discount stores and the aim is to have

around 300 within three years. The Londis/Budgens acquisition is likely to have a £3 million negative impact on operating profit in the year to March 2016 but should make a £5 million contribution in the following 12 months. a Booker Group (01933) 371000

Two new clients for BCP Supply chain software specialist BCP has added Middle East wholesaler Inter-Food Imports to its overseas client list. The Bahrainbased concern has ordered the Accord Foodservice solution. The deal comes shortly after the IT company secured a contract with Indus Foods, of Birmingham, for the installation of a 10-user Accord Voice WMS (Warehouse Management System) at its 30,000 sq ft distribution centre. Recently- established Inter-Food Imports was set up initially to service the Al Noor chain of hotels with food from across the world. The Middle East company’s general manager Mark Huggins said: “I’m

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familiar with Accord, its reputation as a market leader in the foodservice sector and BCP’s track record of delivering successful implementations from my previous roles in the foodservice industry. It really is second to none in the sector.” The investment covers the complete Accord solution, which includes purchasing, sales order management, telesales, radio frequency stock control & warehouse management, multi-

currency and financial accounting. The BCP installation at Indus Foods is claimed to be the first involving Voice technology at an ethnic foods company anywhere in the UK. The Midlands firm supplies businesses across the catering, retail, wholesale & food manufacturing sectors in the UK and the rest of Europe. The family-run business started with a general store in Birmingham in 1962. Commenting on the WMS installation, Indus Foods’ operations director Amir Chaudhary said: “We are excited at the possibilities of what we will now be able to achieve for our customers.” a BCP 0161-355 3000

[ INDUSTRY NEWS ]

Free school meals plea Foodservice wholesalers are urging the Prime Minister to honour an election pledge to retain the Universal Infant Free School Meals (UIFSM) scheme. According to the Federation of Wholesale Distributors’ chief executive James Bielby, the service has created jobs in distribution and helped school kitchens to operate profitably. Introduced under the coalition Government, the scheme provides free meals to 1.6 million children but is now believed to be under threat within the present Conservative regime. The FWD represents companies that have supplied 6.6 million extra items into schools over the past year.

It estimates that, as well as the educational and nutritional benefits for children, up to 250 jobs would be lost by its members if UIFSM is scrapped. Investment in extra delivery vehicles would be wiped out and schools would lose the economies of scale of larger shipments.

An end to this?

Bielby said: “Members report an increase in demand for food from schools by up to 20% following the introduction of universal free school meals. “They have invested in staff and equipment to meet the demands of the programme, and they are delivering a service which is helping children eat and learn well. This is raising the quality of school meal provision, and helping parents save up to £15 a week.” The FWD has written to the Department for Education to ask for clarification on the Government’s policy on UIFSM and to urge it not to reduce or end the scheme. a FWD (01323) 724952

Bestway pharmacy eyes £1bn Well Pharmacy, the former Co-op business acquired by Bestway Group for £620 million last year, has set a target of £1 billion turnover by 2019 from an estate that is planned to increase from the present 782 outlets to 1,000 within two years. Under chief executive officer John Nuttall, in March

the subsidiary acquired seven Care4u pharmacies in Devon as part of a £200 million five-year expansion programme. The purchase of further pharmacy chains is expected to be announced by the end of the year As reported last month, Well plans to have a fleet of

400 liveried vehicles carrying goods to the stores. It has also moved to new 22,000 sq ft office accommodation in the Castlefield area of Manchester. There is no confirmation yet that an own-label range will be introduced. a Well Pharmacy (0333) 010 2222

Negativity of currency changes Although like-for-like sales of Metro Cash & Carry in the fourth quarter rose by 1.1%, overall income dipped by 3.2% to 7.4 billion euros, blamed by the Dusseldorfbased parent company on the effect of negative currency changes and store disposals. A company spokesman said that the like-for-like decline in the German C&C

operation was less pronounced than in the two previous quarters. In the rest of western Europe, sales were slightly ahead, most significantly in France, Italy and Spain. There were also upward

movements in eastern Europe, while in Russia growth was ‘in the mid to single-digit range’. Elsewhere, the Japanese and Pakistani C&C businesses achieved like-for-like sales growth and the Chinese operation secured ‘large sales volumes’. Metro Cash & Carry has 764 outlets worldwide.

Directors Pradip (left) and Manish Dhamecha (centre) with Mukesh Vithlani.

Leicester C&C opens The opening of Dhamecha’s eighth cash & carry, in Leicester, was marked with a day of ‘extra special’ deals on hundreds of branded products, as well as celebrity appearances and free refreshments. In addition, the cash & carry/wholesaler has announced that it will be running a daily raffle for four weeks, with one lucky customer each day able to walk away with a prize valued at up to £500. Speaking at the official opening of the 80,000 sq ft depot, which has a staff of 60, chief executive Pradip Dhamecha said: “We have a reputation of offering competitive, long-term pricing and excellent product availability across our vast ranges of grocery, soft drinks, beers, wines & spirits. “We look forward to providing all these things for retailers in the east Midlands at what is a modern, purpose-built and environmentally friendly depot, run on the same principles as our seven other cash & carries (Wembley head office, Barking, Croydon, Enfield, Watford, Hayes and Lewisham.” a Dhamecha Group 0208903 8181

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November 2015

[ INDUSTRY NEWS ]

Investing in ecommerce Hancocks Confectionery has launched an improved ecommerce website. This follows completion of the specialist cash & carry operator’s best-ever year, with sales growing by 13.4% to £129 million. Chairman Mark Watson said: “Our ecommerce venture has seen remarkable growth across both 2014 and 2015, with web sales up more than 60% on previous years. “Continued investment in our web presence and online marketing efforts reflect our serious commitment to the digital channel. “The latest evolution of our ecommerce site is a combination of the need to improve overall site performance to cope with the increase in demand and the complexities of our fulfilment operation.” a Hancocks Confectionery (01509) 216644

Charity support Glasgow-based delivered wholesaler Dunns Food and Drinks is supporting the Movember charity. Every time a customer buys any case of wine from its range online over the course of the month, £1 will be donated to the initiative. Niall Deveney, digital marketing executive, said: “Movember is a bit of fun, but with great intentions. I can’t think of many easier ways for venues and outlets to get involved than by joining in with us.” a Dunns Food and Drinks (01698) 727767 10

November 2015

Energetic own-label A sampling programme of Best-in energy drinks, conducted over a week in 10 Bestway and Batleys depots in the run-up to Halloween, will be repeated with other own-label lines. The energy drink initiative was supported by a free prize draw to win £150 worth of Best-in vouchers with each case of product bought. Category manager for own-label Nick Brown said: “In sports & energy drinks, a Best-in Stimulation or Isotonic product is sold every second of every day. “The next stage is to get a greater share of shelf presence, and one of the ways

In-depot displays put across the message.

we are doing this is through the sampling campaign.” The cash & carries involved in the own-label activity are in Sheffield, Newcastle, Doncaster,

Glasgow (all Batleys) and Abbey Road, Leicester, Manchester, Stockport, Enfield and Exeter (Bestway). a Bestway Wholesale 0208453 1234

Parfetts’ Anfield staff cash in Staff at Parfetts’ Anfield cash & carry have earned an extra bonus by increasing sales by more than 11% over the past year. As an employee-owned concern, the operator pays all workers a bonus based on a 3% share of annual profits. The best performing depot can earn an additional 4% by achieving a rise of 10% or more.

Congratulating staff on their success, operations director Andy Whitworth

(pictured) said: “Anfield had an exceptional year. I am delighted the employees will receive this combined bonus, which amounts to approximately £700 each, tax free. “I’d like to thank them all for their hard work and commitment over the past 12 months.” a Parfetts Cash & Carry 0161-429 0429

A cut above the others

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JJ Food Service has combined with kitchen equipment supplier Goodfellows in a promotion that offers one customer the chance to win £100 worth of British beef and a set of Victorinox knives. The cutlery includes a 10cm paring knife, 12cm boning knife, 16cm filleting knife, 22cm cook’s knife, vegetable peeler, 20cm

palette knife, 25cm steel and a canvas knife wallet. Entrants need to take a picture of a home-cooked beef dish and send it to the foodservice company via Twitter, Facebook, Instagram or by email. The one considered to be the most innovative and original will win the prize. a JJ Food Service (0843) 309 0991

Boost your YOU COULD

sales

Highly Incremental

50%

of cups bought in addition to instant coffee1

Kantar, Non Foaming Mixes incrementality to Core coffee, June 2012 IRI, NESCAFĂ&#x2030; Original In1 value growth, Traditional Convenience, YTD to 18 July 2015

Speed of Growth

+36%

One of the fastest growing brands in Traditional Convenience2

[ INDUSTRY STATISTICS ]

Wholesale in numbers

Food for thought... IGD Wholesaling Conference 2015

The Retail Customer Channel – Sales Summary Categories

Primarily Cash & Carry

Delivered Grocery

Ambient Food

£826m (-2.1%)

£1.204bn (-3.2%)

Chilled & Fresh Food

£302m (+6.4%)

£1.076bn (+5.8%)

Frozen Food

£32m (-3.1%)

£273m (+7.9%)

Soft Drinks

£341m (+7.7%)

£622m (+11%)

Beers, Wines & Spirits

£974m (+4.3%)

£1.06bn (-2.1%)

Tobacco

£4.35bn (+0.2%)

£3.658bn (-1.5%)

Non-Food Consumables

£211m (-2.9%)

£299m (-5.5%)

Non-Food Durables

£21m (-4.7%)

£144m (+8.1%)

Total

£7.057bn (+0.9%)

£8.335bn (+0.2%)

Performance drivers/inhibitors: a

Constrained consumer demand, falling inflation and intensifying competition from discount stores kept sales growth to a minimum once again. Revenue remains heavily dependent on tobacco which, despite marginal growth in value terms, is suffering from a decline in volumes. During 2014, symbol networks were impacted by rationalisation, and independent retailers faced strong competition from high-street discounters. The benefits of consolidation occurring in 2015 should, however, offer improved price competitiveness in 2016 and beyond.

“Wholesalers can make it easier for retailers purchasing online. We don’t have the time or resources to create our own algorithms and software – that’s where wholesalers and suppliers come in. We want to be educated about our purchasing habits, and we need that information to become more data driven.” Raaj Chandarana, Tara’s News, High Wycombe “The Bestway and Batleys range has always been a great strength, but it can also be a weakness and we have ended up with a proliferation of SKUs. We are now looking to cut each product range by cluster and geographic region before December next year. New lines are massively important, but we are now going to be more selective because otherwise we will need to review each range every three months, rather than every six. It’s the right thing to do for the category and retailer.” Martin Race, group trading director

The Foodservice, Catering & Hospitality Customer Channel – Sales Summary Categories

Primarily Cash & Carry

Delivered Foodservice

Ambient Food

£880m (+0.1%)

£1.863bn (+1.1%)

Chilled & Fresh Food

£795m (+1.9%)

£2.651bn (+4%)

Frozen Food

£162m (+4.8%)

£1.284bn (+4%)

Soft Drinks

£216m (+3.1%)

£642m (+5%)

Beers, Wines & Spirits

£602m (-1.5%)

£72m (+7.5%)

Tobacco

£138m (-3.7%)

£3m (N/A)

Non-Food Consumables

£185m (+5.8%)

£239m (+2.3%)

Non-Food Durables

£37m (-5.2%)

£38m (+5.6%)

Total

£3.016bn (+0.8%)

£6.791bn (+3.3%)

All data unless otherwise stated: IGD

Performance drivers/inhibitors: a

Although areas of public and institutional catering still face challenges from austerity constraints on government spending, the introduction of free school dinners for children up to the age of 11 created additional demand for wholesalers supplying into this ‘contract’ sector last year. Delivered foodservice operators, supported by multi-temperature capabilities, are best placed to benefit from the proliferation and growth of multi-site restaurant chains looking for effective out-sourced supply chain solutions. Operators in the foodservice channel will get a more immediate benefit from improving consumer spending, boosted by a vibrant out-of-home market.

November 2015

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“The sector is seeing plenty of consolidation, most notably the recently agreed purchase of Musgrave Retail Partners GB by Booker. Customer numbers are falling and those that remain look set to be bigger, more capable businesses with an even wider variety of needs. One opportunity will lie in the growth of symbol groups and retail clubs, which will become even more important for wholesalers as they look to build and maintain customer loyalty.” James Walton, IGD chief economist

What suppliers want from wholesalers 1. Penetration through to the consumer 2. Less complexity 3. The best people 4. Customer insight and data 5. Evidence of investment FWD Council survey

[ EMPLOYMENT LAW ]

Zero hours contracts: when they can and cannot be used Meet the HR expert Cate Ritchie, 121 HR Solutions Cate Ritchie is a fellow of the Chartered Institute of Personnel and Development

s Christmas approaches, many wholesale businesses need to ramp up their staff numbers to cover peak trading. Zero hours contracts are often used to cover this type of trading pattern. So what is a zero hours contract? ‘Zero hours contract’ is a non-legal term used to describe many different types of casual agreements between an employer and an individual. Generally speaking, a zero hours contract is one in which the employer does not guarantee the individual any hours of work. The employer offers the individual work when it arises, and the individual can either accept the work offered, or decide not to take up the offer of work on that occasion.

hospitality, leisure and catering. The following are all examples of when a zero hours contract may be appropriate: a When a new business starts up, it may need to build up a customer base. Therefore, in the beginning, it may decide to employ people on zero hours contracts in addition to any permanent staff to manage fluctuating demands.

‘Everyone employed on a zero hours contract is entitled to statutory employment rights. There are no exceptions’ Regardless of how many hours are actually offered, the employer must pay at least the National Minimum Wage. Everyone employed on a zero hours contract is entitled to statutory employment rights. There are no exceptions. Zero hours contracts are useful where work demands are irregular or where there is not a constant demand for staff. They can also provide a level of flexibility for the individual, which allows him or her to work around other commitments, such as study or childcare. Some types of work are driven by external factors that are out of the employer’s control and this can happen in a range of sectors, including

A business may know that, for short periods of time, additional staff are required to manage surges in demand, such as retail sales at Christmas. a Employers may need to be ready to cover periods of unexpected staff sickness and be able to call on experienced staff, for example, a pharmacist in a chemist or a lifeguard at a leisure centre. a A wedding venue, restaurant or a bar may need to be able to call on experienced staff when a function is booked. Zero hours contracts allow flexibility for employers and individuals. However, they should not be considered as an alternative to proper business planning and should not be used as a permanent a

arrangement if it is not justifiable. They are not appropriate if the job offered will mean the individual will work regular hours over a continuous period. For example, if an individual is asked to work from 9am to 1pm, Monday to Wednesday for a 12-month period, this should be managed as a permanent parttime contract or a fixed-term contract. Employers should plan ahead and give as much notice as possible when offering work. Those who work on a zero hours contract may have caring responsibilities or studies and may need to plan for childcare or around exams. However, employees cancelling work at late notice is unacceptable unless truly unavoidable. Employers should consider putting into place a policy explaining the circumstances when and how work might be cancelled, and how they try to avoid this, and whether the individual can expect any compensation for caring costs they may have incurred. When recruiting for a zero hours contract, the job should be clearly advertised as such and the individual should be clear that hours are not guaranteed, and that work may cease if there is a fall in demand. The Small Business, Enterprise and Employment Act prohibits the use of exclusivity clauses or terms in any zero hours contract. This means an employer cannot stop an individual from looking for work or accepting work from another employer. Therefore, the business must allow the individual to take work elsewhere in order to earn an income if it does not offer sufficient CCM hours itself.

121 HR Solutions provides employers of all sizes with professional, cost-effective human resource support. If you need further advice about zero hours contracts or any other HR matter, please contact Cate at cate@121hrsolutions.co.uk or phone (0792) 121 3890.

www.cashandcarrymanagement.co.uk

November 2015

[ SPOTLIGHT ]

sponsored by

Dee Thaya, owner and managing director of Abra Wholesale

Dee Thaya (third on left) and his team at Edmonton have been shortlisted for the Gold Medal Cash & Carry Team of the Year.

‘Taking risks is the key to success’ What has been the major milestone or turning point of your career? The decision to sell my group of convenience stores in 2003 and to invest all the funds into a small warehouse in Enfield, North London. I started with household goods, toiletries and pound lines. It was a big risk which thankfully proved to be a success. Who has been the biggest inspiration to you? The team of dedicated Abra people are my biggest inspiration every day. They constantly prove that great results are possible when everyone is pulling hard in the same direction. How do you maintain a work/life balance and how have developments in technology affected this? This is a constant struggle. My family (inset) is very important to me and I do try to set aside quality time for family and friends. Unfortunately, this is not always possible as running a fast-moving business can be very time consuming. I find that modern technology makes me more accessible and, if anything, works against a sensible work/life balance. 14

November 2015

What most frustrates you in business (and in life generally)? When deadlines are not met – both in the workplace and in life generally. There is a big hidden cost to missing time targets. If you were able to retire tomorrow, how would you spend your time? I really enjoy working and can’t foresee a time when I will ever retire. What advice would you give someone starting his/her first job? Set out to learn as much as possible about your chosen career. Be prepared

to do any job in the business. Never forget that people need people – customers and colleagues are vital to success. What type of business would you go into if it wasn’t C&C/wholesale? It would be health and food related. Probably retail. If you had a million pounds to invest in business, how would you spend the money? I would invest in a health-related food business. I believe there is a good opportunity in this sector, with room for CCM growth.

From retail to wholesale in one fell swoop Dee Thaya came to the UK in 1990 from Sri Lanka. He started his career working for various retail companies, before opening a small store in 1993. In the initial stages, he combined the day-to-day running of the shop with driving mini cabs at night. Over the next decade, he built a mini empire of eight convenience stores, before

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selling the lot to fund Abra Wholesale. In 2010, Thaya started his own export division. A year later, he relocated the business to a 75,000 sq ft site in Edmonton, North London. Since then, the company has increased its product range to include tobacco, alcohol and grocery. Earlier this summer, Abra opened a second depot in Luton.

UK’s Premier Manufacturer & Supplier ‐ Expert Advice & Solutions

email: info@palletower.com

UK’s Largest Stocks Immediate Delivery Exceptional Prices

www.palletower.com 0161 905 2233

Bespoke Design ‐ Over 100 Product Lines ‐ Buy or Rent Options

Hancocks is hiring! Salary: Negotiable (DOE) Contract: Permanent, full-time (42.5 hours) Location: M25 west London corridor Closing Date: Friday 4 December 2015 We are currently seeking two depot managers and one assistant manager to join our expanding team at Hancocks. Established in 1962, Hancocks is the leading UK sweets and chocolates wholesaler to independent businesses. Through our 20 depots around the UK, we sell a huge confectionery range including branded chocolate and sweets and wholesale pick & mix sweets. We are looking for highly motivated, dynamic forward-thinking managers with previous retail or wholesale experience to oversee the performance and overall day-to-day management of the depot and teams. The right candidates will need to possess excellent organisational and planning skills, and be able to work seamlessly in a fast-paced environment. The ability to think on your feet and make decisions quickly is of integral importance, as is ensuring that high levels of service are maintained at all times. You will take great pride in delivering high standards and enhancing the customer service experience, as well as the training and development of the depot team to ensure standards and procedures are met across all areas. We are looking for individuals with a proven track record of managing and controlling the profitability of a business, through effective control of sales, margins and overheads. To apply, you will need to be passionate about people, obsessed with sales and have a real drive for pushing the business forward.

Please send your CV and covering letter to rebecca.matthews@hancocks.co.uk

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

[ ACHIEVERS ]

Mixed fortunes for suppliers COMPANY

SCORE (max. 50)

JTI

43.29

38.73

C&C Group

42.88

39.23

Imperial Tobacco

41.57

38.87

Maxxium

41.38

37.25

AG Barr

41.00

38.80

Britvic Soft Drinks

40.91

36.38

Whyte & Mackay

40.89

35.94

Heineken

40.67

39.03

Pernod Ricard

40.22

34.39

Mars

40.11

35.86

Diageo

39.44

38.82

Red Bull

39.40

38.17

Nestlé 1st Choice

39.10

35.46

Tata

39.09

36.41

Müller Wiseman

39.00

36.13

Premier Foods

38.73

36.85

Kellogg’s

38.67

34.74

KP Snacks

38.30

35.26

Lucozade Ribena Suntory

38.20

35.77

United Biscuits

38.10

34.29

AB InBev

37.57

33.83

SHS

37.44

35.00

Molson Coors

37.22

31.94

Coca-Cola Enterprises

37.00

36.44

Bacardi Brown-Forman

36.89

32.73

Tayto

36.82

35.72

Tunnock’s

36.58

38.64

PepsiCo

36.50

33.24

Danone

35.70

32.00

Mondelez

34.25

32.67

Carlsberg

33.57

33.33

Heinz

32.18

28.49

SEPTEMBER PERFORMANCE 18

AUGUST score/position

POSITION

November 2015

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[ ACHIEVERS ]

Make your vote count OCTOBER PERFORMANCE

Deliveries inc Admin Support (max. 20 points) N/A if not direct

Wholesaler Support (max. 20 points)

Channel/Customer Support (max. 10 points)

TOTAL (max. 50)

AB InBev AG Barr Bacardi Brown-Forman Britvic Soft Drinks C&C Group

(inc Magners/Tennent’s)

Carlsberg Coca-Cola Enterprises Danone Diageo Heineken Heinz Imperial Tobacco JTI Kellogg’s KP Snacks Lucozade Ribena Suntory Mars Maxxium Molson Coors Mondelez Müller Wiseman Nestlé 1st Choice PepsiCo

(retail/confec)

(inc Walkers)

Pernod Ricard Premier Foods

(inc Foodservice)

Red Bull SHS Tata

(Tetley)

Tayto

(Golden Wonder)

Tunnock’s United Biscuits

(McVitie’s)

Whyte & Mackay

Contact name & company ..............................................................................................

Please email your completed form to: kirsti.sharratt@btinternet.com

[ SUPPLIER STRATEGY ]

Merchandising the Mondelez way Susan Nash, trade communications manager at Mondelez International, reveals her top tips to help optimise your biscuit and confectionery fixtures. What are the key principles wholesalers need to consider when they are merchandising a category? The retailer is just like any normal customer and there are ideal locations when shopping a fixture in depot. Bestselling lines should always be positioned as the main focal point, ideally around eye level. We provide category planograms to help cash & carries segment a fixture according to different types of products, such as countlines, gifting and bigger eats. Within that, we focus on the best-sellers and the bestselling locations. We also update our PoS ahead of a new season or to promote a specific campaign. It is a continuous process but we try to retain consistency with the look and feel. From your experience, what are customers looking for when they shop at a cash & carry? It is hard for retailers to manage the confectionery and biscuit categories, so having a neat and tidy rack does help them to pick out the best-sellers. It is important to make sure that information on pricing is clearly visible. After all, who wants to go to the till and baulk at the price? It’s embarrassing and the customer may not return in the future. PMPs remain popular because of the clarity and the confidence they give

‘An area that is under-exploited in depots is cross-category merchandising. On-the-go occasions and the ‘big night in’ are two key shopper missions.’ – Susan Nash.

consumers. The golden rule for retailers and wholesalers is that they need to be clear on what they are charging people. How can wholesalers make the most of a new product launch/promotion? Any kind of branded PoS display, like pallet wraps, free-standing display units (FSDUs) and hod units, works fantastically well in capturing the imagination of the retailer. A big display can take a couple of hours to erect, which is a fairly big investment in time, but it is very worthwhile. We know it makes a big difference. What is your biggest source of frustration when you visit a cash & carry depot? An area that is under-exploited in depots is cross-category merchandising. Onthe-go occasions and the ‘big night in’ are two key shopper missions, but wholesalers seem a bit reluctant to really push these opportunities. A simple display or poster can have a big influence and may even inspire retailers to expand their product range. Where does the industry fall short in terms of meeting customer demands? Suppliers and wholesalers definitely need to work harder at providing more category advice and information.

November 2015

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Retailers like to take advantage of new offers, but they also value education. They need help when it comes to understanding the best ways to merchandise a category. We all need to work together and provide an extra service element to retain loyalty. For example, highlighting TV advertising is key to increasing rate of sale and it’s important this is communicated in a timely manner. How can Mondelez help wholesalers to improve their customer service? We know that retailers hold in high regard the promotional material and insight they receive at their depots and from delivered wholesalers. We have a specific team that deals with cash & carry depots and we often run demonstrations and sampling days to help educate staff and customers about our products, particularly those that are new. We have over 200 people in our sales force, which is probably one of the biggest in the UK. We call on so many retailers but it’s almost impossible to visit all of them. Cash & carries play a massive part in filling those gaps, as do delivered wholesalers. We organise lots of ‘Ra Ra Days’ and we try to work closely with telesales teams to get them excited CCM about our products.

[ IN FOCUS ]

Going the egg-stra mile this Easter ondelez International has revamped its Easter range for 2016, with seasonal innovations, pack designs and bigger investments in its power brands. The company has set aside £10 million to promote its Easter portfolio, with Cadbury Creme Egg receiving 40% of the marketing spend between January and March. Last year, Cadbury Creme Egg was ranked as the UK’s number one self-eat product at Easter and generated sales worth £29 million – more than the rest of the self-eat segment combined. A Cadbury Creme Egg advert, which breaks on 1 January, will run in conjunction with the popular Gooless Egg promotion, which is returning for 2016. The instant-win mechanic will be targeted exclusively at the convenience channel, giving shoppers the chance to claim £1,000 if they unwrap a Cadbury Creme Egg without any filling. Independent retailers that sell a winning egg will also receive the equivalent prize fund in Mondelez stock or ‘Love To Shop’ vouchers. The campaign will run in addition to a ‘Take a Shelfie’ competition next month, which encourages cash & carries to display Gooless PoS material and upload a picture via the Delicious Display website to win £250 worth of ‘Love To Shop’ vouchers. The competition will then roll out to convenience stores in January and February. Susan Nash, trade communications

manager at Mondelez, explains: “Easter is a short season this year and every day that you don’t have a Gooless display is a fantastic opportunity missed. Cash & carry depots need to have their displays out in December to ensure the season is front of mind for retailers.”

Top tips to crack Easter a

Help retailers get off to a fast start by displaying a tight self-eat range from 1 December. Shoppers tend to start purchasing seasonal treats for themselves as soon as we enter the New Year. In the middle part of the season, start introducing sharing products, and in the final third, complete your range with a small shell egg and gifting range for top-up sales. Use branded PoS and stock a strong core range of leading brands, including the market leaders Cadbury Creme Eggs and Cadbury Mini Eggs handy bag.

While it’s true that Easter would not be complete without Cadbury Creme Egg, the same could be said about Cadbury Mini Eggs. The brand was not only ranked as the second biggest in confectionery last spring, but also its handy bags were the best-selling Easter product for the third consecutive year. Unsurprisingly, the bags are back by popular demand, as are the tubes and a gift egg pack. Other returning favourites

include Bassetts Jelly Bunnies – the number one Easter-themed candy sharing bag in 2015 – and Cadbury Dairy Milk (CDM) Egg ‘n’ Spoon, the bestselling Easter novelty. One noticeable change throughout Mondelez’s Easter portfolio is a new consistent look, which includes an illustration of the iconic purple egg cracking open and releasing the first rays of sunshine. Several new products are also joining the range for the first time, including a CDM Oreo mini-wrapped egg bag (rsp £1.49) and an Easter version of CDM Snowman Vanilla Mousse, the number one self eat at Christmas. CDM Bunny Vanilla Mousse (rsp 65p) is debuting alongside two gifting varieties – CDM Mini Hollow Freddos (rsp £2.99) and a selection of CDM Bunny packs. The latter range features five Mini Hollow Bunnies (rsp £2.99) and an individual Hollow Bunny in both small (rsp £1.49) and large (rsp £3.09) sizes. Completing the line-up of new Cadbury innovations for Easter 2016 is a Dairy Milk small shell egg (rsp £1.85), plus two new medium-sized variants – Dairy Milk Freddo Faces and Dairy Milk with Mini Oreo (rsp £3.49 each). “Cadbury continues to be the nation’s brand of choice at Easter, with eight of the top 10 shell eggs within the segment,” says Nash. “There is a place for shell eggs in convenience stores for top-up and distress purchases, so wholesalers should make sure they stock a selection of medium and small CCM formats.”

All data: Nielsen

www.cashandcarrymanagement.co.uk

November 2015

[ BREAKFAST ]

The breakfast boom Breakfast is having a renaissance. Consumption rates are growing and manufacturers are responding to changing lifestyles with reduced sugar cereals and convenient breakfast bites. But with biscuits and protein-enrichened drinks entering the breakfast space, does your range reflect the different shopper missions and best-sellers? Michael Catling reports. reakfast behaviour is changing, particularly among the younger generation, and the days when the entire family eats together at the breakfast table are diminishing. Over a quarter of adults say they eat breakfast at their desk, while 66% of Millennials tuck in away from home (Allegra). An extra 10 minutes in bed does always seems so much more appealing, especially now that a grab ‘n’ go culture has infiltrated society. Where options were once restricted to oversized boxes of sugary cereals or calorific pastries, time-sensitive Brits can now enjoy anything from cereal pots to breakfast biscuits, and from protein-based drinks to breakfast sandwiches. “The on-the-go category offers a great proposition for forecourts and high-street retailers,” says Samantha Duhig, senior category manager for grocery and non food at Palmer and Harvey. “Breakfast biscuits and drinks, like belVita and Weetabix On The Go, have seen significant growth over the last few years, particularly as cereal is having a difficult time in the industry due to sugar content criticism. “On the go is incremental to the category and so space should be expanded from slower performing SKUs within the takehome range to make more room for it.” Earlier this summer, Weetabix introduced a selection of On The Go Protein drinks to capitalise on the number of younger consumers seeking a protein-rich diet. Available in Vanilla, Strawberry & Raspberry and Blueberry & Blackberry flavours, the 275ml bottles (rsp £1.99) were introduced less than a month after 450g boxes of Weetabix Protein Crunch and Weetabix Protein Crunch Chocolate debuted on shelves with an rsp of £3. Richard Lawrence, head of brand for Weetabix, explains: “Consumers now believe that high protein products will keep them feeling fuller for longer and help build lean muscles. In fact, our research shows that 38% of people want to get more protein into their diet.” With this in mind, the company has devoted £10 million towards outlining the nutritional benefits of Weetabix cereal – the brand’s biggest marketing investment in seven years. The ‘Incredible Inside’ above-the-line campaign is currently being activated with an online engagement strand of activity for the remainder of 2015. This follows a TV advertising drive that ran between June and October. The healthy lifestyle trend has also contributed to a “massive uptake in sales” of porridge and muesli, according

All data unless otherwise stated: IRI

November 2015

www.cashandcarrymanagement.co.uk

Stat attack: More than 25 million Brits eat breakfast out of home (Allegra), while 24% of adults buy ‘breakfast to go’ at least once a week (him!).

to Kellogg’s. This explains the reasoning behind the introduction of Kellogg’s All-Bran Muesli range, featuring a choice of Cranberry & Sultanas with pumpkin seeds or Fruit & Nut with banana, coconut, sultanas and hazelnuts. Retailing at around £2.99 per 550g box, both varieties boast 30% more fibre than the average muesli, making “AllBran the best choice for consumers who want to look after their digestive health”, says Nick Dawson, Kellogg’s sales director for specialty channels. The range, which will soon be available in £2.49 PMPs, was part of a raft of NPDs for Kellogg’s this summer, led by three new Special K Super Porridge variants. The new offering, which is available in porridge pots (rsp £1.19) and 5 x 30g sachets (rsp £1.99), comes in three different flavour combinations: Apricot, Linseed & Pumpkin Seed; 5 Grains: With Raspberry, Pomegranate & Pumpkin Seed; and 5 Grains: With Almond, Pecan & Sunflower Seed.

The e t i r u o v a F s â&#x20AC;&#x2122; n Natio

Source: Nielsen Scantrack data 06.06.15 - Total Impulse

All data unless otherwise stated: IRI

[ BREAKFAST ]

With seven out of 10 households choosing to purchase porridge throughout the year (Kantar), Matt Goddard, head of impulse field sales at PepsiCo, says it is not surprising that the breakfast category continues to present a huge sales opportunity for retailers. “Products that are quick and easy to prepare are among the top motivations for breakfast choice,” notes Goddard. “Quaker Oat So Simple Cuppa Porridge and the Quaker Warm & Crunchy range meet these demands, creating an opportunity to drive sustained growth of the hot cereals category.” PepsiCo’s sales force are currently urging retailers to take advantage of the longer winters, which have lengthened the porridge season and contributed to a 10% uplift in category sales since 2013 (Nielsen). Hamlyns of Scotland, whose sales are handled by The JFK Partnership, is now offering its full range of Scottish porridge products in shrinkwrapped cash & carry packs, including its traditional range of Scottish Porridge Oats, Scottish Oatmeal, Scottish Porridge Oats & Bran, and the instant porridge pots and microwave sachets. The packs are being promoted by in-depot sampling and demonstrations throughout Scotland, with individually cash & carry-branded money-off coupons obtainable by request. The company is also investing in a “significant” trade and consumer marketing programme over the coming months. The activity is spearheaded by the launch of a new website, which showcases a range of recipes from Scottish celebrity chef Nick Nairn to encourage consumers to use oats in sweet and savoury dishes outside of breakfast. Extensive advertising, event sampling and sponsorship of the Scottish Slimmers ‘Slimmer of the Year’ awards are also being used to promote Hamlyns’ portfolio. John Kerr, director of The JFK Partnership, says: “Our shrink-wrapped packs have been very well received by the trade. Many already carry our traditional range, and we are making inroads with our pots and sachets because the packaging design and price point make them very attractive to consumers.” 24

November 2015

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Despite the proliferation of on-the-go pots entering the market, P&H’s Samantha Duhig maintains that take-home lines still have a place in convenience stores. “Two of our best-selling lines are Kellogg’s £2.19 pricemarked range and Weetabix Original,” she says. “Both brands have benefited from strong above-the-line campaigns, along with category focused NPD, product improvement and commitment to invigorating the category.” Georgia Brown, trade marketing manager at Nestlé Cereal Partners UK, believes that offering a wide range of breakfast cereals is very important to independent retailers, particularly as the average food basket in a convenience store is worth £11.74 when it contains cereal, versus £6.39 when it does not. “Cereal features in 57% of all breakfast occasions, making it the ‘go to’ solution in the morning for most UK families,” says Brown. “The category also has 96% penetration (Kantar) and is part of the higher valued top-up mission. Therefore, having the right core range is important for retailers.” To help customers drive incremental sales, wholesalers should make sure that price-marked versions of the UK’s best-known cereals, such as Shreddies, Cheerios and Shredded Wheat, are prominently displayed in depot. Brown explains: “Evidence suggests that PMPs can double sales versus standard packs. Nestlé Cereals plays a key role in the range of any convenience store, so much so that value sales grew by 21.3% in the channel last year.” Top 10 hot cereals in independents and symbols (value sales MAT to 13/09/2015) 1

Quaker Oat So Simple £2,743,221

Scott’s Original Porage Oats £787,544

Quaker Oats £677,085

Ready Brek £506,342

Kellogg’s Special K Porridge £197,729

Mornflake Superfast Oats £166,408

Alpen Porridge £157,400

Kellogg’s Pop Tarts £155,282

Weetabix Porridge £144,355

Mornflake Oats £136,119

Win in the mornings with the No.1 Breakfast biscuit

p Top Uk pac

On the-Go pack

*Kantar data to 2015 **The Nielsen Company, 05.09.15

[ BREAKFAST ] Top 10 ready-to-eat cereals in independents and symbols (value sales MAT to 13/09/2015)

A combined spend of more than £8.5 million has been dedicated to promoting Cheerios and Shredded Wheat this year, while Coco, Honey and Frosted Shreddies all featured as part of a new TV advert that aired last month. The trio will be back on TV screens in February. “Beyond the success of our top brands, we introduced Nature Valley Protein Granola and Nestlé Gluten Free Cornflakes in July last year,” reports Brown. “The launches and category success have led to both brands being shortlisted for a Product Launch of the Year award.” Gluten Free Cornflakes (rsp £1.99) is already ranked as one of the top five best-selling gluten free cereal brands, while the Nature Valley range (rsp £2.49) has delivered incremental sales worth 14% to the total category (CPUK). PepsiCo has recently put its focus on the granola segment, up 20% by value in the 52 weeks to 25 April 2015, by introducing Quaker Oats Oat Granola (rsp £2.69), Warm & Crunchy Oat Cluster (rsp £2.69), and Wholesome Crunch Granola (rsp £3.89). Matt Goddard believes that the segment has “enormous headroom for growth”, especially as only 20% of UK households currently consume granola (Kantar).

All data unless otherwise stated: Nielsen

Reviving a stale category Tradition has often dictated that breakfast is not complete without the sound of the toaster popping. But while prepackaged loaves remain a staple product in most households, a 8.4% decline in total category sales (IRI) suggests that this may not be the case for much longer. The popularity of low carbohydrate diets, coupled with TV shows such as The Great British Bake Off reviving interest in homemade and artisanal varieties, has seen revenue drop for three of the UK’s biggest bread brands. Warburtons, Hovis and Kingsmill each suffered a doubledigit decline in sales in the year to 28 March 2015, equating to a combined loss of more than £120 million in turnover. Hovis, which has now overtaken Kingsmill as the second biggest-selling bread, has sought to revitalise interest in the category by developing Hovis Good Inside – a three-strong range of pre-packaged loaves containing natural omega 3, wheatgerm and fibre. Sophie Lyons, marketing manager at Hovis, comments: “We know that consumers are gradually reducing their consumption of bread. They love bread but are feeling guilty about eating it due to perceived health concerns. The new 26

November 2015

www.cashandcarrymanagement.co.uk

Weetabix £7,377,069

Kellogg’s Corn Flakes £4,277,091

Kellogg’s Coco Pops £4,207,258

Kellogg’s Crunchy Nut £3,886,484

Kellogg’s Rice Krispies £2,745,628

Kellogg’s Frosties £2,169,335

Kellogg’s Variety £2,149,624

Nestlé Shreddies £1,945,512

Kellogg’s Special K £1,878,859

Nestlé Cheerios £1,780,963

range is baked with ingredients that help to make bread a positive health choice, rather than something to be avoided.” The new product carries an rsp of up to £1.45 and comes in a choice of Best of Both (750g), Soft White (800g) and Wholemeal (800g) varieties. The launch is being supported by a £5 million integrated campaign until December, spanning TV, video-on-demand, radio, digital, PR and in-store media. This also forms part of a wider £10 million brand investment package over the next year. The release comes less than six months after Hovis launched a print advertising campaign and a packaging redesign for its Seeded and Granary range, highlighting recipe improvements and health benefits. Allied Bakeries has been just as active and recently pioneered the launch of Kingsmill Crumpet Thins – a thin crumpet that contains just 54 calories. Retailing at 75p for a pack of six, the addition responds to a rise in shoppers seeking lighter versions of their favourite foods. The healthier bakery sector has grown by 6.9% in the last three years, with thins proving an incredibly popular format. The sandwich thins market grew by 33% in the 52 weeks to 3 October and is now worth an estimated £68 million. Breads and spreads go hand in hand at breakfast time and despite the healthy living trend, sales of chocolate spread grew by 16.2% between March 2014 and 2015. Nutella from Ferrero is the UK’s number one breakfast spread and has three variants ranked inside the top six best-selling spreads (200g, 400g and 750g). Levi Boorer, customer development director at Ferrero, says:

his has this

written ritten

s e l a s

all a ll over it

Shoppers receive a free personalised label with every purchase of nutella 400g & nutella 750g ÂŁ1.7m media support Featuring across 5.8m promotional jars nutella is currently worth ÂŁ45m*

*Nielsen: Total coverage â&#x20AC;&#x201C; Data to WE 13.06.15

Terms and conditions apply

For more details please visit our trade website ferrero-trade.co.uk

[ BREAKFAST ]

Did you know? Breakfast is now ranked as the fastest growing day part in the UK, according to NPD Group.

“Consumers are looking beyond traditional staples such as jam and marmalade, with chocolate spread, peanut butter and honey attracting new shoppers to the category. “The popularity of on-the-go breakfasts is ever-increasing and Nutella is the perfect solution to making a variety of breakfasts more exciting, such as on top of crumpets or stirred through an instant porridge pot.” Nearly six million tubs of Nutella (400g and 750g) are currently carrying an on-pack promotion, offering consumers the chance to order their own personalised name label by visiting the brand’s website and submitting the unique code found on every jar. The ‘Your Nutella, Your Way’ initiative, which runs until December, is being supported by a £1.7 million integrated marketing campaign. A 20-second TV advert kicked off the activity last month, and this is now being complemented by out-of-home, digital, social media and in-store promotions. Although breakfast is widely recognised as ‘the most important meal of the day’, a study by Omnibus has revealed that one in three people are regularly skipping conventional breakfast options in the UK. Instead, consumers are turning to retailers and foodservice operators for convenient, on-thego bites that fill a gap until lunchtime. “With 70% of adults snacking when on the go (Mintel), it is vital that distributors are ready to help retailers meet the increasing demand from snacking behaviour, and to stock the right products,” says Susan Nash, trade communications manager at Mondelez International. The biscuits fixture is often the first port of call, and

Mondelez has devoted £8 million to promoting its belVita brand this year. Although total breakfast biscuit sales fell by 1.6% in value in the 52 weeks to 18 July (IRI), the category is worth nearly £2.5 million in the convenience and impulse channel. Within this, belVita boasts a market share of 82.6%. “The breakfast biscuit category is relatively new, with fantastic scope for development,” claims Nash. “The growth and success of belVita has been driven by incremental NPD recruiting consumers to the category. Wholesalers can maximise the morning occasion by stocking on-the-go formats, such as belVita, the UK’s number one healthy biscuit, for a quick and convenient breakfast.” Last December, Mondelez debuted belVita Tops in the convenience channel with a Choco-Hazelnuts or Strawberry topping. In the five months that followed, 56% of volume sales were incremental to the category (Dunnhumby). Elsewhere, Kellogg’s has sought to replicate the success of its Frozen and Star Wars cereals, which have been the top performers in the category this year, by introducing two Multi-Grain Biscuits. Flavoured with milk and cereal, the Frozen Biscuits come stamped with Olaf and Sven visuals, while the Star Wars biscuits are chocolate-based and feature TIE Fighter and X-Wing designs. Nick Dawson, sales director for specialty channels at Kellogg’s, notes: “Frozen and Star Wars are two of the top toy licences in the world, and the drive to purchase will be very strong come Christmas when the new Star Wars film is released and everyone gathers around the TV to watch Frozen.” The Star Wars and Frozen packs, which each contain four biscuits, are available in multipacks of 10 and single-serve formats, with an rsp of £2.49 and 49p respectively. The September launch coincided with the release of Kellogg’s Nutri-Grain Granola Crunch Biscuits. The new snack, which comes in 40g bars (rsp 55p) and multipacks of six (rsp £2.49), is backed by a £500,000 marketing spend. This comprises giveaways, mobile coupons, car park and CCM ATM advertising, and in-store activation.

All data unless otherwise stated: Nielsen

For further information: Allied Bakeries (01628) 764300 Ferrero (01923) 690300 Hovis (0800) 022 3394 Kellogg’s (0800) 626066 Mondelez International (08702) 400861 Nestlé Cereal Partners UK (01707) 824400 PepsiCo (0118) 930 6666 The JFK Partnership (01343) 541496 Weetabix (01536) 722181

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[ SAVOURY SNACKS ]

Take your rightful share Although sales of crisps and snacks in impulse are flat, there are several growth areas, including premium-style crisps, savoury biscuits, sharing bags and price-marked packs. he crisps and snacks category in impulse is worth £485 million per year. Although handy packs dominate, volume sales of this format are down by 4.7% year on year. However, the sharing category is up by 6.1%. Kettle Foods is currently running a ‘50% extra free’ promotion on its pricemarked sharing range of Kettle Chips, offering 150g for £1.29. In time for the key Christmas sales period, Kettle Foods has launched a new Soy, Ginger, Chilli & Honey variety of Kettle Chips. It is available in 150g sharing bags (rsp £1.99). The company has also announced the introduction of Kettle Chips Chef’s Signature, which features exciting new seasonings created by the company’s chef, Chris Barnard. There are three varieties: Gressingham Duck, Plum Sauce & Spring Onion, Yorkshire Wensleydale Cheese & Cox Apple Chutney, and Maldon Sea Salt Flakes. They are obtainable in 150g sharing bags (rsp £2.29) with a resealable sticker. Backing Chef’s Signature is an above-the-line campaign, including press advertising in November and December. Other support includes consumer PR and social media activity. Cash & carry is a crucial part of All About Food’s Nando’s crisps business. Its Nando’s Groove Cuts are exclusive to the convenience and wholesale market. This is part of a focused strategy, and the company is looking to work with different C&Cs to execute campaigns that suit their shopper behaviours. All About Food points out that there is a correlation between Saturday night TV shows and a rise in snacking. To ensure that depots are making the most of this trend, the company urges cash & carries to highlight key events with ‘big night in’ PoS, relevant product promotions and inspiring displays. It is arranging promotions with Bestway, Booker and Dhamecha “to drive awareness and support the need for cash & carries to be competitive and different”. In addition, it is running ‘Best Display’ and ‘Best Sales’ incentives. Nando’s Groove Cut crisps come in Spicy Chicken, Sizzling

All data unless otherwise stated: Nielsen

Hot and Smokey BBQ flavours. To fulfil different shopper missions, there are three formats: single bags (12 x 40g), £1 PMP grab bags (12 x 90g), and sharing bags (8 x 150g). PepsiCo has launched 75p pricemarked packs of Walkers grab bags for its core brands. Matt Goddard, field sales director at PepsiCo, says: “By stocking Walkers grab bags at 75p, retailers have the opportunity to increase sales by 7%.” To help impulse retailers capitalise on the opportunity, the company has produced a three-case stacker that includes best-selling lines. KP Snacks has also introduced new price-marked packs. McCoy’s Cheddar & Onion now comes in a 70g sharing pack priced at £1, while Space Raiders Pickled Onion is available in a 95g pack, also at £1. The new Space Raiders PMP follows the recent introduction of a Beef flavoured grab bag. Fish ‘n’ Chips, from Burton’s Biscuit Company, is the top-performing product in the bagged savourity biscuit snacks sector, which is growing by 34.2% (Nielsen/Kantar). Burton’s, which also produces Cathedral City Baked Bites, recently unveiled two new flavours of Fish ‘n’ Chips – Pickled Onion and Curry Sauce. These come in 40g grab bags (20 to a case), 5 x 25g multipacks (in 12s) and 125g share bags (also in 12s). The rsps are 59p, £1.59 and £1.39 respectively. Mondelez International launched Ritz Crisp & Thin earlier this year with the aim of shaking up the snacks aisle. The product scored ‘outstanding’ in independent taste tests and ranked in the top 25% of all European savoury snacks initiatives in the last 10 years. Ritz Crisp & Thin is available in 30g singles and 100g sharing bags in four flavours: Cream Cheese & Onion, Sea Salt & Vinegar, Sweet Red Chilli and Sea Salt & Black Pepper. CCM

For further information: All About Food (01695) 556427 Burton’s Biscuit Company (01727) 899700 Kettle Foods (0800) 616996 KP Snacks (0845) 601 7583 Mondelez International (08702) 400861 PepsiCo (0118) 930 6666

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[ SOFT DRINKS ]

Stacks of opportunities What is Christmas without a little indulgence? Drinks, confectionery and snacks are already being readily purchased up and down the country, but are you making the most of a lucrative opportunity, asks Michael Catling. hink Christmas, and wild celebrations, calorific treats and a table lined with an enticing array of drinks immediately springs to mind. The festive season is the perfect excuse to indulge in almost every guilty pleasure imaginable. The end result is that purse strings are loosened and a shopping spree ensues. Good news, then, for wholesalers and retailers alike. Last year, a study by him! revealed that 42% of consumers planned to trade up to more premium food and drink for their Christmas shopping. Appearance is everything, or so we are often led to believe, and in-home social occasions are rarely complete without adding a bit of extravagance. While Abra Wholesale expects multipacks of Coca-Cola to be one of its biggest sellers this winter, the company has similar hopes for onelitre Rubicon Juice drinks and a range of 750ml non-alcoholic sparkling celebration drinks. Staying in is the new going out, so it makes sense that Brits are looking to replicate out-of-home experiences and to celebrate in style. “Wine, beer and champagne always have a place on the table during Christmas gettogethers, but premium soft drinks are starting

All data unless otherwise stated: Nielsen

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to become just as popular,” claims Robert Roden, store manager designate at SPAR Leegomary, Shropshire. “Christmas is the one time of year that shoppers think outside the box and are prepared to spend a little bit extra and experiment with their selections. Many will scour the soft drinks cabinet carefully to find something extra special to impress their guests.” To help retailers capitalise on the popularity of the adult soft drinks (ASD) sector, which grew by 7.2% in the 52 weeks to 4 July 2015, Coca-Cola Enterprises (CCE) is offering Schweppes sparkling juice drinks in 750ml bottles (rsp £2) and 330ml cans (rsp 79p) for the first time this Christmas. The range, which consists of Grapefruit & Blood Orange, Orange & Cranberry and Lemon & Elderflower variants, has been designed to offer a selection of sophisticated options for celebrations. It also meets demand for lighter drinks, with 20 calories per 100ml serving – the lowest count within the adult special sector. “Adult soft drinks are often popular during celebrations like Christmas, as they effectively replace a bottle of beer or wine on a table for those who are not drinking alcohol,” says Amy Burgess, trade communications manager at CCE.

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[ SOFT DRINKS ] New PMPs for Fruit Shoot Hydro

All data unless otherwise stated: Nielsen

Stat attack: Last Christmas, more bottles of Shloer (11.9 million) were sold than turkeys (10 million).

Shloer, the UK’s biggest-selling adult soft drinks brand, accounted for 44% of all ASDs sold in the take-home sector in December 2014. During this period, an estimated nine out of 10 bottles of Shloer purchased in impulse stores came from White Grape and Red Grape variants, making these two lines absolute ‘must stocks’ this Christmas. Amanda Grabham, marketing director for soft drinks at brand owner SHS Drinks, comments: “More than one in five adults (21%) do not drink alcohol (Kantar) and there is undoubtedly a much greater demand from adults looking for more sophisticated soft drinks. “Being grape-based, Shloer is very much the no-alcohol alternative to wine and it is the ASD brand that consumers purchase when they are socialising and entertaining at home, which is why the brand sells so well over the Christmas period.” Grabham points to the fact that more than a third (36%) of ASD annual sales come from the 12-week festive period. By way of comparison, the season accounted for 22% of annual sales of total soft drinks in 2014. SHS recommends that wholesalers stock Shloer adjacent to cordials and carbonates, and use a selection of bestselling flavours to act as a signpost for the ASD section within the soft drinks bay. To help retailers differentiate their offer from the supermarkets, SHS has introduced £1.69 price-marked 750ml bottles of the two best-selling Shloer variants – Red Grape and White Grape – exclusively for the convenience channel. The two flavours will be used to spearhead an in-store sampling programme, as well as a number of bespoke trade days pre-Christmas. Wholesalers will also be able to negotiate special deals on pricemarked Shloer stock, providing retailers with the opportunity to offer Shloer at an rsp of £1.29, rather than the standard £1.69 price point. Britvic Soft Drinks expects that premium beverage solutions will enjoy a 34

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Fruit Shoot Hydro, the no-added-sugar spring water drink from Britvic Soft Drinks, will be available in 79p pricemarked 350ml bottles from January 2016, Cash & Carry Management can exclusively reveal. The PMP sports-cap range will feature two lead flavours – Blackcurrant and Orange & Pineapple – and will be packaged in smaller cases of 12 bottles. The existing plain packs will remain available in outers of 24 x 350ml bottles. The development will be supported with a full in-outlet launch plan in the wholesale and independent sector, including a bespoke PoS package and exclusive trade promotions. Ranked as the fastest growing member of the Fruit Shoot fam ily, the Hydro range is growing by 26% year on year and accounts for an estimated 13% of total volume sales for the overall brand. Britvic has also revealed plans to release J20 Spritz in the retail channel, following its successful launch in the on-trade earlier this year. The lightly carbonated range, which comes in Pear & Raspberry, Apple & Watermelon and Peach & Apricot flavours, has already amassed a 20% repeat purchase rate (CGA) and was valued at £2 million after just 24 weeks in the market.

significant sales spike in the on and off-trade this Christmas, as consumers look for mixers and non-alcoholic alternatives. “Lemonade is particularly popular as a mixer at food outlets and pubs, and sales of R Whites increase dramatically around Christmas and Easter,” says Trystan Farnworth, director of out of home for wholesale at Britvic. “But J20 is without doubt our main hero brand during the festive season, and in the four weeks leading up to Christmas last year, around two-and-a-half million households bought into the J20 brand (Kantar).” For the remainder of 2015, Britvic is devoting £2 million to help promote the J20 range. To ensure the brand remains front of mind in the on and off-trade, Britvic released a new TV advert earlier this month. This is running in conjunction with a through-the-line campaign, comprising PR, digital, social media and in-store activity, to support the launch of a new J20 flavour. J20 Midnight Forest is the brand’s specialedition variant for winter 2015 and

[ SOFT DRINKS ]

Demand for larger pack sizes is driving double-digit volume growth in independents and symbols, compared to just 4% overall market growth (IRI).

contains a blend of real orange and cherry fruit juices, combined with an indulgent chocolate taste. The new addition is available until 20 December in 4 x 275ml (rsp £4.39) and 10 x 275ml (rsp £9.90) packs. As part of its ‘Pour More Flavour’ campaign, Britvic is rolling out a new season-specific PoS toolkit, containing pallet shrouds and free-standing display units (FSDUs), to promote some of its key brands this Christmas.

‘As footfall increases on the high street during the Christmas rush, the availability of on-the-go drinks is just as important as take-home packs’

All data unless otherwise stated: Kantar

Trystan Farnworth, Britvic Soft Drinks’ director of out of home for wholesale “In the lead up to Christmas, it is even more important to make sure stock availability remains high and the best sellers are given strong visibility,” explains Farnworth. “It’s also easy to forget about the immediate refreshment opportunity, particularly smaller bottles and cans that can be consumed on the move. “As footfall increases on the high street during the Christmas rush, the availability of on-thego drinks is just as important as take-home packs. This is something wholesalers need to actively communicate to their customers and make sure they do not get caught short in terms of availability.” Nevertheless, Farnworth admits the majority of space should still be devoted to larger take-home packs and multipack versions of Pepsi, Tango and 7UP. “People wouldn’t necessarily buy these pack sizes in a small convenience store during a normal week, but they do at Christmas,” says Farnworth. “We have also rolled out a 12-pack case format for our new 330ml glass 36

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bottles of 7UP, Pepsi Max, Pepsi Diet and Pepsi Regular. “There has been lots of demand via our wholesale customers to reduce our case size from 24 to 12 for the licensed trade. The change should now help individual licensees manage cash flow and stock levels better, and increase penetration and footfall for wholesalers in depot.” As staff numbers get stretched during Christmas time and footfall reaches its peak, wholesalers are encouraged to “keep things simple” and build their fixtures around three key components. These are best-selling lines, special-edition packs and brands that are being supported by Christmas marketing campaigns. “The most important thing for both retailers and cash & carries is to be prepared for a spike in popularity by getting their product ranges right, to ensure they make the most of the 95% of households enjoying soft drinks,” says CCE’s Amy Burgess. Just over eight soft drink purchases are made per shopper in the run-up to Christmas, with the category enjoying the second biggest penetration of any food and drink sector. “The festive period traditionally delivers the same sales uplift as large sports events such as football’s European Championship and World Cup,” reports Tom Gittins, business development manager at Confex. “We also know that people don’t want to have to rush out on Christmas day to restock on soft drinks, so

Play the game and win big Make no mistake, the festive season is the busiest time of the year and it can leave many shoppers floundering as they make their way through a sizeable Christmas list of ‘must-have’ items. Of course, kids are often the biggest culprits as parents frantically search for the latest ‘blockbuster’ video game. The major franchises, like Fifa, Call of Duty and Assassins Creed, retain such a loyal following that people queue for hours on end to get their hands on a latest release. It makes sense, then, for food and drink manufacturers to cash in on the excitement surrounding a new launch. Monster Energy, which is distributed by Coca-Cola Enterprises, has once again teamed up with Activision Publishing to offer fans the chance to win double experience points (gaming currency) for use in Call of Duty: Black Ops III Zombies mode, ‘Shadows of Evil’. The on-pack promotion, which runs until the end of March, features on single and multipack cans – both of which display artwork from Call of Duty: Black Ops III. The branded cans offer consumers a guaranteed prize every time and are supported by a PoS toolkit comprising dump bins and case stackers.

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[ SOFT DRINKS ]

The iconic Coca-Cola Christmas tour truck will hit the streets for the first time this year on 20 November.

multipacks of 10, 12 or even 24 will probably be the most popular SKUs during this period. “Coca-Cola is the biggest soft drinks brand by quite some way, with the exception of perhaps Irn-Bru in Scotland, and it is the same around Christmas,” adds Gittins. “Coca-Cola Enterprises have been very shrewd with their advertising over the festive period, not to mention their red branding, which is a perfect fit with Father Christmas.” To mark the start of the festive season, CCE has unveiled a new on-pack promotion on a range of Coca-Cola pack formats, including 500ml and 1.75-litre bottles.

‘Soft drinks are hugely important at this time of the year and are the most frequently bought category in the eight weeks running up to Christmas’

All data unless otherwise stated: Nielsen

Caroline Cater, Coca-Cola Enterprises’ director of operational marketing A unique code has been added to every label, giving consumers the chance to win a £5,000 hamper, plus a twohour visit from the popular Coca-Cola Christmas truck to their hometown. The truck, which is stopping off at more than 40 locations in Britain over a six-week period, will feature in the much-loved ‘Holidays are Coming’ TV advert, which returns for the 20th year in a row later this month. “When people think of Christmas, they often think of Coca-Cola,“ claims Caroline Cater, director of operational marketing at CCE. “Soft drinks are hugely important at this time of the year and are the most frequently bought category in the eight weeks running up to Christmas (Kantar). It is therefore important for us to provide captivating campaigns that allow retailers to maximise their Christmas sales. This year is no different.” In the 12 weeks leading up to Christmas 38

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last year, soft drinks generated £629 million turnover for independents and symbols, with take-home sales up by 6.4% versus 0.5% in the total market. To put this into perspective, more than a third (36%) of all soft drink sales took place in the convenience channel. Taking this into account, wholesalers are warned to expect a spike in demand for larger bottles, cans and multipacks, as retailers hastily stock up on sharing packs to cater for family gatherings and parties. Adrian Troy, head of marketing for AG Barr, comments: “Getting your offering right is essential, and lemonade and cola are particular ‘must stocks’ at this time of year. “Lemonade’s share of all soft drinks sales increases by more than two-thirds at Christmas, with two-litre packs seeing an uplift of 98%. “Meanwhile, in the two weeks before Christmas, there’s an uplift of 64% on large cola PET bottles and 35% on cola multipack cans. Wholesalers and retailers should note these trends and ensure the soft drinks fixture is well stocked with Barr Cola and Lemonade in key pack formats.” This year, AG Barr is once again calling on the popular Snowman character to front a new campaign for Irn-Bru, the UK’s number one flavoured carbonate brand. As part of a £6 million brand investment this year, the Snowman graphic will feature on every Irn-Bru two-litre bottle throughout November and December. The packs will be promoted via a digital advert, which goes live from the start of next month. This will be supplemented by social media support and a new PoS toolkit that encourages consumers to have a ‘phenomenal Christmas’.

The ones to watch this winter... “Ribena have a new Winter Spice variant which is a great non-alcoholic twist on the traditional hot punch. I can imagine it will work well for Christmas dinner within the education and care sectors. Boost have also launched a limited-edition Winter Spice 250ml can which I am sure will tempt users young and old to try. “Christmas is always seen as a time to treat yourself, and at Confex, we expect to see an uplift in the higherend soft drink brands such as San Pellegrino and Bottlegreen.” Tom Gittins, business development manager at Confex

STOCK UP NOW

For more information, visit store.nielsen.com/ColaUKReports

[ SOFT DRINKS ] Top 25 soft drinks in the total market (value sales MAT to 15/08/2015 – Nielsen) 1

Coca-Cola – £1,163,797,146 (-1.1%)

Pepsi – £411,636,987 (+2.8%)

Lucozade Energy – £290,137,540 (-1.5%)

Red Bull – £267,923,619 (+1.1%)

Tropicana – £233,398,401 (-2.2%)

Innocent – £197,264,385 (+1%)

Volvic – £189,006,641 (0.0%)

Ribena – £155,610,693 (-2.8%)

Evian – £150,760,408 (+0.6%)

Robinsons Fruit Squash – 142,807,915 (-2.5%)

Fanta – £135,742,043 (-0.8%)

Monster – £123,379,698 (+3.6)

Lucozade Sport – £102,622,223 (-4.5%)

Irn-Bru – £100,795,002 (-2.3%)

Capri-Sun – £97,861,702 (+0.3%)

Buxton – £96,097,471 (+1.7%)

Danone Actimel – £92,843,628 (+1.2%)

Dr Pepper – £91,021,852 (-1.7%)

Oasis – £84,662,194 (-0.6%)

Highland Spring – £84,543,264 (-1.5%)

Robinsons Fruit Shoot – £71,148,142 (+2.4%)

Schweppes Mixers – £71,056,948 (-0.7%)

Vimto – £68,920,883 (-1.3%)

Euro Shopper – £66,753,325 (-2.7%)

Relentless – £61,484,087 (-2.4%)

All data unless otherwise stated: IRI

The soft sell With the colder months now upon us, CBL Drinks believes retailers will continue to adjust stock levels to cater for the ‘big night in’. Maurice Newton, sales & marketing director at CBL Drinks, notes: “Consumers enjoy replicating experiences such as going to the cinema, resulting in a spike in sales for larger items such as multipacks and two-litre bottle formats. “This should be considered when deciding upon stock levels of carbonated drinks, particularly for wholesalers attracting a large number of small independents who will often favour two-litre bottle formats above other sizes if space is an issue. “Many retailers will also be looking to stock cheaper alternatives to market leaders, ensuring their customers can make impulse purchases without feeling guilty.” The CBL Drinks portfolio includes various affordable options such as two-litre Zack’s Classic sodas – all of which retail at around £1.50. The range features party favourites 40

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such as Cream Soda, Dandelion & Burdock, Sarsaparilla, Lemonade and Ginger Beer. When it comes to celebrating Christmas, however, nothing quite evokes the senses like mulled wine. In September, Lucozade Ribena Suntory introduced Ribena Winter Spice – a non-alcoholic mulled wine option – to its no-added-sugar squash range, which aims to drive hot squash consumption. The limited-edition flavour combines a blend of aromatic spices with the classic Ribena blackcurrant squash, and is obtainable in a 850ml bottle at an rsp of £2.49. A £1.69 price-marked option is also available in a smaller 600ml format. Boost Drinks, meanwhile, has pioneered its own Winter Spice variant, which is infused with plum, cloves and cinnamon flavours. The special-edition energy drink, which is available in cases of 24, comes in 49p pricemarked 250ml cans and offers retailers a minimum 45% POR. Al Gunn, sales director at Boost, urges wholesalers not to underestimate the importance of energy drinks during the Christmas period, with potential sales from the mixer market, designated drivers, tired travellers and hungover partygoers. Within the last three years, sports & energy drinks have delivered over 40% of total category expansion (Mintel), and have become the UK’s second biggest soft drinks segment. Red Bull, the number one functional energy drink, is currently growing at 2% in volume and value terms within independents and symbols, driven by the performance of its price-marked family packs and larger formats. Bigger cans of Red Bull are currently growing by nearly 20% versus last year, with the 355ml PMP can delivering 41% more sales this year compared to 2014. Boost remains one of the strongest advocates of pricemarked packs and is currently promoting its one-litre Original and Sugar Free PET bottles at £1, down from the standard £1.39 price. Elsewhere, AG Barr has unveiled a new look and taste for Rockstar Original. The 500ml standard and 99p price-marked big cans now feature more impactful artwork and include references to a ‘reformulated superior taste’.

Red Bull has three of the top 10 branded SKUs within the diet energy category. Red Bull Sugar Free Original 250ml is number one, with Red Bull Zero at number four.

[ SOFT DRINKS ] CBL Drinks has also been active in relaunching its children’s soft drink Fruit Squeeze with zero sugar and a new sports cap. As the sugar debate rumbles on, the new recipe contains natural flavours and only three calories per 330ml bottle. The flavours available are Apple & Blackcurrant, Orange and Strawberry (rsp 49p). “Customer concern about sugar is at an all-time high, particularly when it comes to children’s drinks,” Maurice Newton points out. “With the post-Christmas dieting season also in sight, wholesalers should increase their offering to include more zero-sugar carbonates and juices, giving retailers the ability to react to changing demand.”

Wholesalers grab a cash boost Eight wholesalers have been rewarded by Boost Drinks in recognition of supporting the brand’s ‘Grab a Grand’ merchandising promotion. Cash & carries were incentivised to display PoS material and pallets of Boost at the front of their depots, for the chance to win £1,000 cash for the best brand showcase in each of three categories: 2-3 pallets, 4-6 pallets and 710 pallets. The three main prize winners for the respective categories were TB Cash & Carry Leeds, Bestway Edgware Road and Dhamecha in Lewisham. Five Highly Commended awards were presented to Bestway Leicester, BA Cardiff, Today’s Chetan, Parfetts Sheffield and Bestway Enfield.

‘Customer concern about sugar is at an all-time high, particularly when it comes to children’s drinks’ Maurice Newton, CBL Drinks’ sales & marketing director Although juices continue to come under attack from antisugar campaigners, one-litre formats of Del Monte and Just Juice from Refresco Gerber are experiencing 17.1% and 9.1% growth in value terms respectively, bucking a downward trend in the ambient multi-serve market. To build on this success, the company has added two exotic flavours to its one-litre Del Monte range. The low sugar Mango & Coconut Water and Apple, Pink Guava & Lime variants (rsp £1.59) both contain the natural sweetener stevia and come in cases of six resealable cartons. Just Juice, which is exclusive to the independent sector, has also been extended with a new Orange & Carrot flavour. The £1 price-marked addition represents the brand’s first fruit & vegetable juice combination and comes in outers of 12 x 500ml PET bottles. As well as concerns surrounding sugar content and pack sizes, CBL Drinks believes wholesalers “need to be aware of issues facing the soft drinks category as a whole”. “Currently, there is a trend in the continued growth of the water-plus sector, led by the flavoured water category which is showing almost double-digit year-on-year growth (Zenith),” reveals Maurice Newton. In celebration of Perfectly Clear’s 20th year on the market, CBL Drinks launched a new collection of premium, sparkling flavoured waters earlier this summer. Available in a 500ml bottle (rsp 89p), the Clear Sensation range contains two-thirds of the recommended daily amount of key vitamins and comes in four flavours. These comprise Lemon & Mint, Strawberry & Raspberry, Pomegranate & Blueberry and Apple & Pear. 42

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“As consumers continue to move away from high carbohydrate products, proactive retailers are giving more shelf space to this growing category and will no doubt revisit their range over the coming year,” says Newton. “Therefore, it is important to respond to this by stocking accordingly.” Highland Spring, the UK’s number one sparkling water brand (Zenith), has undergone a festive revamp with a new shrinkwrap design added to selected multipacks. The limited-edition artwork, which depicts a view of the Scottish landscape through a festive glass bauble, now features on the shrinkwrap of 6 x 500ml, 12 x 500ml and 4 x CCM 1.5-litre Highland Spring Sparkling packs.

For further information: AG Barr (01204) 664295 Boost Drinks (0113) 240 3666 Britvic Soft Drinks (0845) 758 1781 CBL Drinks 0191-516 3300 Coca-Cola Enterprises (0845) 722 7222 Highland Spring Group (01360) 312121 Lucozade Ribena Suntory 020-3727 2420 Red Bull (0203) 117 2000 Refresco Gerber (01278) 441600 SHS Drinks (01452) 378555

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HYPERAMA

WHOLESALE

Trade enquiries welcome

and many other leading wholesalers.

[ ALCOHOLIC DRINKS ]

Trade up to higher booze sales As well as introducing NPD and festive packs, suppliers are offering cash & carry/ delivered wholesalers and their customers more support and advice to help drive sales. s the party season approaches, wholesalers can maximise their alcoholic drinks sales by focusing on the leading brands, which over-trade at this time of year, and local favourites in line with consumer demand. Fida Hussain, general manager at Bestway Brighton, comments: “Spirits, wines and flavoured ciders are incredibly popular during Christmas as consumers look to uptrade and spend that little bit extra to ‘show off’. “New innovation makes a big difference, but a lot depends on location and demographics. This often dictates shopper purchasing habits. Prosecco, champagne and vodka are big sellers in affluent regions like Brighton, whereas beers remain incredibly popular up north all year round.”

All data unless otherwise stated: Nielsen

Beer Guinness, from Diageo, has launched Hop House 13 lager – the latest beer from The Brewers Project – in Great Britain. It is available in 330ml bottles (rsp £1.79) to wholesalers that service the off-trade. Named after an early-1900s hop store building where hops are still stored today, Hop House 13 is a golden lager brewed with Guinness yeast, Irish barley and hops from Australia and the USA. It was launched in Ireland in February. Hop House 13 is the fourth release from The Brewers Project, joining Guinness Dublin Porter and Guinness West Indies Porter – which have been the number one and two NPD within the premium bottled ale category for the past 52 weeks – and also Guinness Golden Ale, which was introduced in April this year. Molson Coors has launched ‘60 Second Shop’, an initiative designed to help convenience store owners optimise their offering and merchandise their outlet so that shoppers can find what they need more quickly. Built on over two years of shopper insight, 60 Second Shop urges retailers to make it easy for consumers to shop in their store; get behind events like Christmas and ‘nights in’; and offer value for money, such as through giveaways or value-added packs. The recent Carling on-pack football promotion delivered an additional £1.3 million for the impulse channel in just five weeks. As part of the initiative, Molson Coors has launched a new website, 60secondshop.co.uk. This will be frequently updated and includes planograms that can be downloaded. 44

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Growth driven by duty cuts The UK market for premium lagers and beers (defined as over 4.5% abv) and ciders (over 6% abv) is estimated to have grown by 1.2% year on year in 2014, according to Key Note. This performance is attributed to the economic recovery, lower duty rates and a return to growth in volume beer sales, following a decade of consistent, annual declines. Value growth, and the annual increase in volume sales, have mainly been driven by the recent reductions in the level of duty paid on beer and cider products. Owing to cuts in cider duty for the year ending March 2016 and the third consecutive reduction in beer duty levels, combined with sustained economic growth in the UK and the return to growth for volume beer sales, Key Note is predicting stable, albeit slight, annual growth in value sales of premium lagers, beers and ciders over the next five years.

Alpesh Mistry, customer marketing director at Molson Coors, says: “In the 12 months to April 2015, the convenience market generated £37.7 billion in sales, representing year-on-year growth of 5.1%. This is being driven by Generation C – shoppers who do not have time to do a full shop and choose to shop at convenience stores.” Little Valley Brewery is based in West Yorkshire and its range of beers includes Ginger Pale Ale, made with fresh ginger; Vanilla Porter, which uses fresh vanilla pods; and Withens Pale Ale. All of the beers are brewed with 100% organic agricultural ingredients. Co-owner Sue Cooper says that in the winter months it is often darker beers, such as it own Stoodley Stout, that see a sales increase. The company is keen to establish a bigger presence in cash & carries. Cooper explains: “The cash & carry market is becoming increasingly important for Little Valley as it allows us to get our beers in front of a wider variety of people from across the country. The cash & carry market is one that we are currently pursuing and are eager to move into further.”

STOCK UP ON AN EXCEPTIONAL BROOD OF AWARD WINNING HENS THIS CHRISTMAS • Grow sales with “Old Speckled Hen” Britain’s No.1 premium ale* • 206,000 new shoppers** • Supported by a media campaign reaching 13M shoppers • £45M brand with growth double that of the Category*

TOP 5

RATE OF SALE***

NO.1

PREMIUM ALE*

NO.1

GOLDEN ALE*

BOTTLED NPD SUCCESS STORY*

*AC Nielsen October 2015. **Kantar Worldpanel September 2015. ***AC Nielsen brands with distribution over 40% in GM.

[ ALCOHOLIC DRINKS ]

All data unless otherwise stated: Nielsen

Wine The wine category is worth over £800 million annually to the wholesale channel (IRI), driven by strong penetration across the UK. Over 30 million households buy wine through the off-trade regularly (CGA/WSTA), and around 47% of wine consumers drink weekly, a number that has been increasing in recent years (Wine Intelligence). According to Brand Phoenix, wine sales rise by approximately three times the usual sales level in the weeks leading up to Christmas. “Wine is particularly important to convenience stores around Christmas, being the third most likely product category they are planning to buy into after chocolate and crisps and snacks (him!),” says managing director Greg Wilkins. He adds that it is important for retailers to stock a range of wines across different price points to meet the needs of those consumers who are prepared to pay more. FirstCape is now the number two wine brand originating from South Africa and is worth over £46 million at retail (IRI). It is among the top 15 most recognised wine brands and has recently won two Decanter Bronze awards in recognition of its quality and taste. Wilkins notes: “As we move into the winter season, consumers may be more likely to look for richer varieties of wine and move away from some of the lighter summer wines. Products such as FirstCape Limited Release Sauvignon Blanc and FirstCape Limited Release Cabernet Sauvignon are perfectly placed to meet the needs of consumers through the winter season, and therefore wholesalers can maximise their sales by ensuring their range reflects this.” Cash & carry depots are advised to segment red, white and rosé wine separately and then group products from the same countries together, moving through the price bands from good, to better and best. Wilkins also recommends that wholesalers have a key price-led section. In addition, “off-fixture displays will be of benefit to retailers, but these don’t necessarily need to communicate a deep-cut price deal; they could reflect a new variety or award winner”. FirstCape has taken a proactive stance towards building long-term sustainability for growers, distributors, wholesalers and retailers. As part of this, it has decided to move out of deep-cut price promotions in favour of long-term value pricing. “At a total market level, wine value sales have increased by just over 2%, outperforming the total alcohol market which is relatively flat (IRI),” Wilkins reports. 46

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“However, amongst the most concentrated group of wine buyers, who account for over a quarter of all wine drinkers, volumes have remained flat but values have increased, demonstrating that shoppers are prepared to pay more for quality and confidence in their purchase (Wine Intelligence). “Therefore, in moving away from deep-cut price promotions, FirstCape has demonstrated a recognition of the key dynamics within the market and has developed a strategic response that meets consumer needs whilst also delivering commercial benefit for wholesalers and retailers.” FirstCape is distributed through the UK wholesale and convenience channel by Kingsland Wines. International Brands (IBL), a family-run wine distribution company, has extended its Broadleaf wine range with two prosecco lines in time for the key Christmas period. IBL has worked with award-winning Vinicola Serena, based in Conegliano, Italy, to develop Prosecco Spumante (rsp £8.99) and Prosecco Frizzante (rsp £6.99). Retail sales director Paul Hinks comments: “The demand for prosecco continues to boom, with 79% volume growth (IRI). Consumers are increasingly choosing it over champagne for its accessibility in terms of both taste and price but also increasingly over wine as it takes ownership of the ‘everyday celebration’ occasion.” Distell, a leading producer and marketer of alcoholic drinks in Africa, has unveiled a new packaging design for its Nederburg range of wines. The new look will be rolled out from December. Alongside the redesign, a Spanish blend of Nederburg Ingenuity has been launched. It joins a three-way Italian red blend and an eight-way White blend in the Ingenuity range. UK distribution of Nederburg is by Matthew Clark. Premium Brands Distribution (PBD) has launched two wine brands, South African Wild Flower and Chilean Castillo Valle, both with an rsp of £5.79. There are five wines available in each range. PBD is also promoting Belvini Collezione, its existing range of Italian wines, in particular Prosecco, in time for the Christmas trading period. The company is determined to bring consistently high quality, affordable wines to the UK cash & carry market. Harj Aujlay of PBD says: “Having worked with wholesalers and retailers for many years, we felt the time was right to add to our range by creating two more very high quality, good value wine brands exclusively for the independent retail market in the UK. Our wines are sourced from award-winning suppliers and we are committed to offering outstanding value for money as we seek to build our exciting company. In 2016 we will be expanding further into the spirits market.” Reh Kendermann has taken a share in Yapp Brothers, one of the leading importers of French wines in England.

[ ALCOHOLIC DRINKS ] Reh Kendermann is the largest exporter of premium branded wines from Germany. Its main brand is Black Tower. Alexander Rittlinger, managing director of Reh Kendermann, says: “In addition to the off-trade, we will now be increasingly represented in the on-trade, specialist retailers and the dot.com business thanks to this partnership.” Pernod Ricard UK has launched Graffigna Centenario Elevation Red Blend – a full-bodied wine created from premium grapes from some of the highest peaks in Argentina.

All data unless otherwise stated: Nielsen

Spirits One-quarter of spirits sales take place in the last 12 weeks of the year and 50% more than average during the week leading up to Christmas. Maxxium UK is advising traders to focus on spirit categories that over-index at Christmas, including whisky, cognac and sherry. It adds that, with 50% of consumers saying they stick to the brands they know, it’s important to stock the UK’s leading brands in each of the categories, such as The Famous Grouse, Courvoisier and Harveys. The company emphasises the importance of fractional sizes, especially for premium brands, to allow customers to choose a lower-priced option for more expensive spirits. Through its ‘Know Your Store’ guide, Maxxium is urging retailers to offer cards, bottle bags and other add-on products for spirits being given as gifts and to provide mixers, ice and fruit to complete impulse purchases made for consumption the same day. Diageo is supporting Baileys – the fourth biggest selling spirit at Christmas (IWSR) – with a £4.3 million above-the-line campaign during the key seasonal sales period. The ‘It’s Not Christmas Without You’ initiative is running during November and December with TV, out-of-home, PR and social media activity, as well as sampling events at shopping centres, retail stores and Christmas markets. Diageo has also introduced a new dedicated counter-top unit for 20cl Baileys Original and PoS material highlighting the ‘Baileys with coffee’ serve. A total of 73% of shoppers have stated that they would buy spirits as gifts from convenience stores (him!). The company is again offering the limited-edition gold 50cl Baileys Chocolat Luxe bottle for the festive period. Pernod Ricard UK has unveiled new designs for both Chivas Regal 12 Year Old Scotch whisky and Absolut, the number one premium vodka in the UK. Absolut is currently benefiting from a ‘Taste Perfection’ digital and social media campaign that celebrates classic vodka cocktails. Pernod Ricard has also released a number of gifting options for its premium brands for Christmas. Highlights include seasonal presentation makeovers for The Glenlivet Founder’s Reserve, Chivas Regal and Jameson, and a 48

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They are 50% more spirits sales than average during the week leading up to Christmas.

necktag competition for Plymouth Gin, with a chance to win a ‘Plymouth experience’, including a distillery tour and a sailing adventure. Fun activations include a free mug and Christmas jumper cosy with Malibu, and free retro posters with Kahlúa. The company has also produced a Twitter guide to help retailers make the most of the social media opportunity.

Cider Henry Westons has relaunched its Mulled Cider. Available until January, the product (4% abv) is a classic rich English cider blended with cinnamon and mulled spices. It needs only to be warmed before serving. Henry Westons Mulled Cider comes in a 20-litre bag-inbox for the on-trade, and a 2.25-litre bag-in-box for the offtrade. It keeps for six weeks once opened. Earlier in the year, Westons introduced Caple Rd Cider, which is said to be the UK’s first craft cider in a can. Diageo claims to have revolutionised cider with the launch of Pimm’s Cider Cup earlier this year. The product combines Pimm’s No.1 with British cider and is blended with a hint of classic Pimm’s strawberry and cucumber flavours. Fruit cider is the fastest growing category within cider, and flavour and serve innovations have been a factor in the CCM incremental growth of the market overall (Kantar).

For further information: Diageo 020-8978 6000 Henry Westons (08702) 400861 International Brands (01753) 217800 Kingsland Wines 0161-333 4300 Little Valley Brewery (01422) 883888 Matthew Clark (01275) 891400 Maxxium UK (01786) 430500 Molson Coors (01283) 511 000 Pernod Ricard UK 020-8538 4484 Premium Brands Distribution 020-7100 7551 Reh Kendermann (01295) 261144

ARE YOU STOCKING THESE WINNING BRANDS? Jack Daniel’s Tennessee Honey is the No.1 spirit launch of the last five years3

Jack Daniel’s is the No.1 American Whiskey2

BACARDÍ Carta Oro is the fastest growing major Gold Rum brand1

BACARDÍ is the No.1 Rum brand in the UK: 17% bigger New BACARDÍ than its nearest Carta Fuego. competitor4 A bold yet BOMBAY smooth spiced SAPPHIRE rum spirit drink. is the No.1 Enjoy as a shot Premium Gin, outselling its nearest competitor by 2 to 12

Benefit from the growth in Spirits by contacting Bacardi Brown-Forman Brands

on 01254

277865

Or email telemarketing@bacardi.com quoting code BBFB9 to find out how we can support you. Lines open Monday to Friday 9.00am to 5.00pm. Point of sale subject to availability. 1) GB CGA MAT to 11/7/2015 - volume 2) GB CGA MAT to 11/7/2015 - volume and value 3) IWSR 2015 - volume & value 4) GB CGA MAT to 11/7/2015 - value

MARTINI is the No. 1 vermouth brand and over 4 times Southern the size of the Comfort is the No.22 No.1 American GREY GOOSE Whiskey is the No.1 Liqueur2 brand in Super Premium Vodka outselling its nearest competitor by 4 to 11

ENJOY RESPONSIBLY © 2015 BACARDI BROWN-FORMAN BRANDS. BACARDI, THE BAT DEVICE, OAKHEART, GREY GOOSE, THE GEESE DEVICE, BOMBAY SAPPHIRE, 42 BELOW, CAZADORES, NOILLY PRAT, MARTINI, THE “BALL AND BAR” LOGO, DEWAR’S, ‘WHITE LABEL’, AULTMORE, CRAIGELLACHIE, ABERFELDY, OXLEY, LEBLON, ERISTOFF, ST~GERMAIN, PATRÓN AND THEIR TRADE DRESS ARE TRADEMARKS. DRAMBUIE IS A REGISTERED TRADEMARK OF WILLIAM GRANT & SONS LTD. JACK DANIEL’S, JACK DANIEL’S TENNESSEE HONEY AND OLD NO.7, SOUTHERN COMFORT, CHAMBORD, WOODFORD RESERVE, FINLANDIA AND SOUTHERN COMFORT ARE TRADEMARKS. ALL RIGHTS RESERVED.

[ PRODUCTS & PROMOTIONS ]

Anniversary celebrations

All data: IRI

Charity pledge To mark the 10-year anniversary of Pampers’ partnership with UNICEF, Proctor & Gamble (P&G) has announced the launch of a new ‘1 pack = 1 vaccine’ initiative. The campaign, which is fronted by brand ambassador Emma Bunton, is publicised on special-marked packs of Pampers nappies and wipes until the end of December. For every pack purchased and each video viewed or shared, Pampers will donate the cost of one vaccine to help UNICEF continue its fight against tetanus. The on-pack promotion forms part of a splurge of investments across P&G’s leading brands. New price-marked versions of Ariel 3in1 Pods, Bold 2in1 Liquitabs and Daz Go Pods have just been launched exclusively for convenience retailers. A £3.99 PMP sticker features on the label of Ariel 3in1 Pods, with a £3.49 and £2.49 flash added to the Bold and Daz packs respectively. This coincides with the release of a new limited-edition Aussie Winter Miracle collection, featuring shampoo, conditioner, deep treatment, and dry shampoo. The four haircare lines, which retail from £3.99, are backed by a social media campaign throughout the winter months, encouraging fans to share their ‘Aussome’ winter moments on Facebook, Twitter and Instagram. To conclude its latest activity, P&G has developed Pampers Baby-Dry Pants – a new easy-tochange nappy that provides up to 12 hours of dryness. The new concept comes in sizes 4-6, with rsps starting at £5 for a carry pack. a P&G (01932) 896000 50

November 2015

Napolina is marking its 50th anniversary with an integrated marketing campaign featuring primetime TV sponsorship, an aligned PR partnership and 30 million bespoke anniversary packs. The Italian cooking brand, which sits within the Princes Group portfolio, will sponsor the third series of ITV’s Gino’s Italian Escape – a cooking and travel programme hosted by chef Gino D’Acampo – during November and December. Napolina has also entered into a sixmonth partnership with The Telegraph online, and will be giving away 50 Napolina prizes as part of a new consumer competition. The brand also now has its own YouTube channel, entitled ‘Cooking with Napolina’, to help consumers cook simple Italian dishes. In a separate development, Princes Group has announced the reintroduction of Crisp ’n Dry in a new £1.99 price-marked format. The one-litre bottles feature the

new price point on the neck, but the body label remains unchanged and is consistent with seasonal products. To improve stock management for retailers, Crisp ’n Dry is now packaged in smaller cases containing eight bottles. Neil Brownbill, marketing director at Princes, says: “Crisp ’n Dry can be used for most dishes, from stir frying and basting to braising and roasting. Its versatility makes it ideal for the convenience sector where shelf space is limited.” a Princes Group 0151-966 7000

Quality sourcing

Mint marketing

Taylors of Harrogate has released a new TV campaign featuring celebrity foodie Jimmy Doherty to help communicate the brand’s quality credentials and its commitment to sourcing great tasting coffee. The 60-second creative, which broke on Channel 4 last month, marks the start of a £800,000 promotional push over the next two months. A 30-second edited version of the commercial is now being used online to promote Taylors’ new range of Nespresso-compatible coffee capsules. This is supplemented by social media, in-store and digital activity. a Taylors of Harrogate (01423) 814000

Mentos, the UK’s fastest growing mint brand from Perfetti Van Melle, is back on TV screens as part of a nationwide marketing and advertising programme. The ‘Who Says No to Mentos’ campaign represents the brand’s largestever marketing investment and includes everything from branding and Spotify billboard advertising to interactive brand booths and video-ondemand promotions. The advert, which first aired last month, runs into December and is currently being supported by a four-week sampling and advertising initiative in Birmingham. a Perfetti Van Melle (01753) 442100

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[ PRODUCTS & PROMOTIONS ]

All data unless otherwise stated : Nielsen

PRODUCT OF THE MONTH

Feel the force

Premium potatoes

Spreadable fun

Kerry Foods has unveiled new Star Wars imagery on packs of Cheestrings to capitalise on the excitement surrounding the movie release of Star Wars: Episode VII – The Force Awakens in December. A promotion features two collectable cards inside every pack, with individual Cheestrings redesigned to look like lightsabers. The packs, which will be available in the independent channel at the end of November, will be supported by a £1.5 million through-the-line campaign. This will be spearheaded by a TV advert, which kicks off on 23 November for four weeks. a Kerry Foods (01784) 430777

Aviko has added to its chilled specialties range with a selection of fullyprepared Premium Gratins. Available in Creamy Cheese, French Herbs and Rustic Vegetable variants, the products comes ready to heat and serve, and can even be cooked straight from the packet for a no-mess solution. The Creamy Cheese Gratin offers the most luxurious option and contains 40% extra cream. The French Herbs alternative is made using ‘Herbes de Provence’ and garlic, while the Rustic Vegetable recipe combines freshly diced carrot, swede and parsnip. All three Gratins come in 6 x 2kg bags with an eight-week chilled shelf life. a Aviko (0800) 633 5611

Arla Foods has commissioned a TV creative to showcase Anchor’s limitededition range of Christmas-themed tubs. The 30-second advert, which concludes on 28 December, focuses on Anchor Spreadable and runs in tandem with a special on-pack promotion. The brand, which accumulated 20% of its sales from the festive season in 2014, is giving away thousands of presents in the lead-up to Christmas this year, including a family trip to Florida. The promotion is displayed across the entire Anchor Spreadable range which, along with Anchor Block, has been revamped to look like a Christmas present. a Arla Foods (0113) 382 7000

Cheeky monkey

Lunchtime twist

Festive fragrance

Kepak Convenience Foods is devoting £1 million towards launching a multichannel TV campaign for Rustlers, the UK’s leading micro-snacking brand. The four-week initiative, which breaks on 23 November, will reach 10 million 16 to 34-year-olds and includes wide-ranging social and digital media activity. “The combination of a major brand investment and a proven, highly successful creative campaign, with the distinctive ‘Satisfy Your Hunger Monkey’ strapline, will generate a real buzz amongst micro-snackers,” says Angela Daulby, channel director at Kepak. a Kepak (01772) 688 3004

Hovis has extended its Good Inside portfolio by introducing two alternative sandwich varieties – Sandwich Thins (rsp £1.29) and Flatbreads (rsp £1.59). Sandwich alternatives are seeing huge levels of growth (+30%) within the ‘other bakery’ category, according to IRI. The new lines tap into the healthy living trend and contain 14 essential vitamins and minerals, including omega 3. Both products are available in Soft White, Best of Both and Wholemeal packs, and will feature as part of a £5 million integrated campaign for the Hovis brand. This comprises TV, radio, digital, PR and in-store media activity. a Hovis (0800) 022 3394

Surf and Comfort, two of the UK’s leading cleaning brands from Unilever, have joined forces for the first time to bring a limited-edition seasonal offering to the laundry market. Rolling out now, Surf Winter Violet & Mistletoe Liquid and Comfort Creations Mistletoe & Crocus Fabric Conditioner use the same silver, purple and white colour scheme, with mistletoe artwork incorporated on both packs for dual siting in the seasonal and laundry aisle. The new Surf variant comes in a 875ml format (rsp £5), while the Comfort equivalent retails at around £3 per 1.16-litre bottle. a Unilever (0800) 731 1597

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November 2015