C&C Management Sept 15 by Cash & Carry Management

SPOTLIGHT: SIOBHAN IRONS, BUYER AT MATTHEW CLARK

THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS

TAKEOVER APPROVED Booker seals £40 million Budgens and Londis deal

ANNIVERSARY CELEBRATIONS

Marking 150 years of service excellence at William Yule and Son

EVERY MAJOR BUYING GROUP PROFILED

SEPTEMBER 2015

Contents

September 2015

This month don’t miss... 6 13

Palmer & Harvey boosted by sales and profits increase.

Brakes opens 172,000 sq ft depot at Newhouse, North Lanarkshire.

Siobhan Irons talks bucket lists, boats and travelling.

ESSENTIALS 05 06 22 27

Editor’s Comment Industry News Products & Promotions Achievers

FEATURES 14

Spotlight featuring Siobhan Irons, wine buyer at Matthew Clark.

Behind the Scenes We uncover the secrets behind William Yule and Son’s 150 years of success.

Sales/Marketing & Brokerage How can an outside agency benefit your business?

Time to consider your options? Six buying groups reveal their areas of specialism and suggest why you might be missing out...

Buying Groups Everything you need to know about the major players.

Product of the month

OPINION 18

Employment Law Social media abuse: how to futureproof policies.

CATEGORY INSIGHT 38

Seasonal Your guide to capitalising on events like Halloween and Christmas.

Exclusive insight: Keeping it in the family at William Yule and Son.

New Optiwell yoghurt drink set for £25 million marketing push.

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September 2015

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

[ EDITOR’S COMMENT ]

The buck stops here ack in 1949, what is now known as the Competition and Markets Authority (CMA) was set up as the Monopolies and Restrictive Practices Commission to examine whether proposed mergers and takeovers would have a deleterious effect on a particular trade. Between then and the present day, it has operated under several guises, notably the Monopolies and Mergers Commission, when its work was largely based on referrals made by the Office of Fair Trading. Over the years, the government body has had to sift through countless bids in a plethora of industries to determine whether it would be fair to give them the go-ahead. Many have been focused on the food manufacturing and retail multiple sectors and the green or red light outcome has been a major factor in the present composition of the likes of Premier Foods and Tesco. In the C&C/wholesale industry, the Commission has been required to adjudicate far less frequently because of the structure of our trade. Take Booker out of the equation, and there would be even fewer decisions for it to make. Nonetheless, Booker’s name – because of the company’s sheer size and its growth ambitions – is the one that crops up more frequently than any other in this sector. In 1988, it took over its biggest rival

SPOTLIGHT: SIOBHAN IRONS, BUYER AT MATTHEW CLARK

TAKEOVER APPROVED Booker seals £40 million Budgens and Londis deal

ANNIVERSARY CELEBRATIONS

in cash & carry, Linfood, which was owned by Dee Corporation, in a £90 million deal. This led to the closure of more than 40 branches in areas where there was duplication. Eight years later came the £264 million purchase of Nurdin & Peacock – again resulting in mass closures. More recently came the takeover of Makro, which seems to be progressing smoothly. And now, three months after announcing its intention to purchase the Budgens and Londis chains from Musgrave GB for £40 million, it has been given the go-ahead by the CMA. Such decisions are not taken lightly, with opinions sought from interested parties – for and against – and lengthy internal deliberations all playing their part in the result. Perhaps someone with greater knowledge than I of the workings of the Commission could say whether its regular team of adjudicators contains experts on most major industries or whether specialists are summoned on ad hoc basis. Whichever way you look at it, the ‘Monopolies Commission’, as I still wish to call it, plays a vital role in UK commerce. Without it, where would we be? An organisation of its importance cannot be underestimated.

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.

Marking 150 years of service excellence at William Yule and Son

EVERY MAJOR BUYING GROUP PROFILED

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Address Winlove Publications Ltd PO Box 366 East Grinstead RH19 4ZE Tel (01342) 712100 Email mail.winlove@btconnect.com Publisher Winlove Publications Ltd EDITORIAL Managing Editor Kirsti Sharratt News Editor Mervyn Gilbert Deputy Editor Michael Catling Contributor Siobhan Kielty 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

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September 2015

[ INDUSTRY NEWS ]

Slicing more from meat Fresh meat has become a growing part of Harlech Foodservice since the Criccieth, Gwynedd, company bought a local butchery three years ago. Now, of the total £25 million annual income, around 16% comes from meat. Since purchasing the butchery, the wholesaler has spent £400,000 on this aspect of the business, deriving increased income from its Bwydlyn-branded meat. Purchasing director Ian Woodcock and joint managing director Andrew Foskett said they were encouraged to develop the meat operation in light of market intelligence gleaned by Fairway Foodservice, the group of which Harlech is one of 17

Ian Woodcock (left), butchery manager Emlyn Roberts and Harlech’s meat-cutting team.

member wholesalers. Woodcock said: “Turnover of the butchery has grown from £500,000 when we bought it to the present £4 million. We are forecasting £10 million by 2020. We’re now planning a further £1 million expansion to cope

with projected growth.” Harlech Foodservice sources meat not only from local producers but also from those elsewhere in the UK, in Ireland and from overseas concerns. a Harlech Foodservice (01766) 810810

Today’s launches new baby range Today’s Group has introduced own-label nappies and fragrance-free wipes under the Today’s Select new sub-category, Select for Baby. Available in four sizes – mini (3 x 16 per case), midi (3 x 14), maxi (3 x 14) and junior (3 x 12) – the nappies are price-marked at £3.29 and are claimed to be ‘super absorbent and ultra-breathable’, offering day and night protection.

The fragrance-free wipes and new-look fragranced wipes are price-marked at £1. Own-label trading controller Hilary Nithsdale said: “Nappies and baby wipes are among the biggest impulse buys in convenience stores. About four in 10 parents buy own-label nappies.” “Wipes are now used for more than just nappy changes; consumers are buying them for on-the-go clean-

ups and make-up removal.” The nappies and wipes are being offered at a trial price of £2.99 and 89p respectively until 4 October. a Today’s Group (0844) 247 0700

Parfetts renews equipment deal Parfetts’ arrangement with Shop-Equip will continue ‘for the foreseeable future’. Earlier this year, the C&C operator teamed up with the retail and catering equipment supplier to offer customers the opportunity to 06

September 2015

obtain a wide range of goods, including display refrigeration, modular shelving, counters and cash control items ‘without any additional outlay’. Parfetts’ joint MD Greg Suszczenia said: “The

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scheme has generated a great deal of interest among our customers who recognise the many benefits and advantages that a well-merchandised store can offer.” a Parfetts Cash & Carry 0161-429 0429

Wine firm relocates After nearly 40 years at its Pollokshaws base, Scotland’s largest independent wine & spirits merchant, Inverarity Morton, with turnover of £75 million, has moved its Glasgow headquarters. It has invested £3 million in a 100,000 sq ft unit on the Thornliebank Industrial Estate. Stephen Russell (below), managing director, said that Inverarity Morton had been actively looking for a new depot for some time but had had difficulty finding the right site. He added: “As a wholesale business, delivering goods up and down the country five days a week, we simply outgrew the former unit. This site, on three to four acres of land, will see us well, long after I’ve retired!” The unit was purchased by the Bulloch family, who have a 75% share in the drinks wholesaler, which is leasing the site. All 140 of the Glasgowbased employees have moved to the new location which has 16,000 sq ft of office space. Inverarity Morton, which also has a Milnathort depot, supplies more than 3,000 on-trade outlets in Scotland. The company was formed in 2011 following a merger between Wm Morton and Inverarity Vaults. A year later the renamed Inverarity Morton bought out specialist spirits firm LA Wholesale, and in 2013 it acquired Fifebased Forth Wines. a Inverarity Morton 0141649 9881

[ INDUSTRY NEWS ]

Another tipple, m’Lord? Blakemore Wholesale Distribution has won a twoyear contract to supply alcohol and soft drinks to the House of Lords. The deal, worth £150,000 a year, covers bottled beers, spirits, fortified wines, soft drinks and mineral waters for bars and restaurants. The contract was formerly with Compass Supply Solutions, which continues to provide the Lords with draught beer. Wholesale Blakemore Distribution sales director Tony Bromwich said: “We have created a bespoke, flexible, great value service plan to meet the needs of the House of Lords. “We are committed to providing bespoke delivered wholesale solutions in a way that our larger competitors

As this issue of Cash & Carry Management was going to press, drinks wholesaler Matthew Clark, which has a turnover of around £1.1 billion, was on the verge of changing hands following a £200 million reverse takeover bid by Conviviality,

are often unable to match.” The wholesaler recently unveiled ambitious plans to more than double the size of its operation as part of its 2020 strategy. It aims to utilise the expertise of the wider Blakemore Group to achieve a significant expansion of both its customer and supplier base. It also hopes to win more business across

multiple channels, including retail, catering, hospitality, wholesale and vending, in addition to launching a new export side. Blakemore Wholesale Distribution already services several national contracts, including BP and Roadchef. It has also recently started supplying the NHS in England. a Blakemore Wholesale Distribution (01902) 366066

Dee Bee spurs symbol growth There are now three Today’s stores in Liverpool serviced by Grimsby-based cash & carry/wholesaler Dee Bee. The latest, operating under the Today’s Extra symbol, is at Swanside Parade, owned and managed by Vigi Paskar. There are currently more than 450 Today’s stores in the UK, with Dee Bee, which is part of the Ramsden Group, involved in the development of around 80 sites. Ramsden Group managing director Nick Ramsden commented: “This is an excellent location and we have worked very closely with the owner to develop the site to the highest possible standards. “The area was desperately in need of a new convenience store and in Vigi

Takeover of booze giant

Paskar we have a knowledgeable and experienced owner – someone we know will develop the store to its full potential.” Ramsden added: “We are looking to recruit more Today’s retailers in the Liverpool area and we are confident this latest store will become a flagship that will encourage others to sign up

to this very successful brand.” Paskar said: “Dee Bee has supported me the whole way through this project and we are all delighted with the new store. “As well as providing an exciting new shopping option for the area, it is creating seven new jobs.” a Dee Bee Cash & Carry (01472) 313200

The newly-opened Liverpool store.

owner of the Wine Rack and Bargain Booze retail chains. It is understood the purchase has been agreed by the Bristol-based wholesaler’s joint owners, Punch Taverns and Hertford Cellars. Matthew Clark delivers to around 17,000 customers a year, serving them with 48 million bottles of wine, 22 million bottles of spirits, 171 million pints of beer and 16 million bottles of cider. Conviviality produced an annual profit of £9.7 million last year on sales of £364 million. a Matthew Clark (0344) 822 3910

Irish growth Another eight EUROSPAR stores are due to open in Northern Ireland before the end of next year, according to Henderson Group, which has the SPAR franchise in that country. Six of them will be company-owned. The total will then exceed 50, with the delivered wholesaler owning 22. a Henderson Group (028) 9034 2733

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September 2015

[ INDUSTRY NEWS ]

Profit up but sales dip Continued investment in technology and greater efficiency combined to produce increased pre-tax profit for Glasgow C&C wholesaler JW Filshill – up from £800,000 to £1.3 million in the year to 31 January. Turnover, however, fell by 4.4% to £151 million, which managing director Simon Hannah said came during a tough trading period. The past year also saw the launch of the company’s export subsidiary, JW Filshill International, trading as the Craft Beer Clan of Scotland. Hannah commented: “The independent retail trade remains highly competitive

and challenging. We seek to manage the principal risk of losing customers by offering strong promotions and wideranging advice and support.” Help for retailers came in

the form of store layouts, promotional leaflets for consumers, digital social media marketing and free on-loan EPoS till installations. a JW Filshill 0141-883 7071

Scottish opening Brakes Group has opened a multi-temp depot on a 172,000 sq ft site in Newhouse, North Lanarkshire. Part of a £125 million investment programme by the delivered wholesaler, the new venture has a staff of 340. Deliveries are being made throughout Scotland. The company, which already contributes £68 million to the economy north of the border, supports over 80 Scottish suppliers.

Two council contracts worth £4m Blakemore Foodservice has won two council contracts – one for the county of Leicestershire and the other for the London borough of Barnet. The combined annual value is £4 million. The Leicestershire deal will be serviced by the wholesaler’s Wakefield site while Barnet distribution will be conducted from the Wednesbury depot. Blakemore Foodservice sales & marketing director Jim Dudley commented:

“Our contracts team is constantly adding new customers to its portfolio. We are also continuing to present professional, comprehensive offers.”

Each of the two foodservice locations has gained a 30% increase in business over the past year. a Blakemore Foodservice 0121-526 8400

Charity support by Bidvest Bidvest Foodservice has been supporting the Dallaglio Foundation charity by hosting employability events at its Gateshead and Chepstow depots. The half-day programme for trainees included presentations by the general managers on the wide-ranging 08

September 2015

jobs available within the company and tours of the two sites. There were also talks on how newcomers can progress through the business and question & answer sessions. Plans are in hand to stage similar events at other Bidvest

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Foodservice locations. The wholesaler has been working on behalf of the charity since 2010 when chief executive Andrew Selley took part in the Dallaglio Foundation ‘Cycle Slam’. a Bidvest Foodservice (0370) 3663 000

Chief executive officer Ken McMeikan (above) said: “As the largest foodservice supplier in Scotland, the opening of the new depot exemplifies our continued commitment to the country. “Newhouse shows our dedication to delivering an outstanding service-based experience.” a Brakes Group (01233) 206000

New website Hunt’s Foodservice has launched a new website, (huntsfoodservice.co.uk), which includes information on products, services and company updates. Other facilities are an online ordering platform, details of promotions, a regular news feed of corporate events and direct links to social media channels. a Hunt’s Foodservice (01935) 810200

Brewed in the UK *Nielsen volume sales MAT to 20/06/15

[ INDUSTRY NEWS ]

UK and Europe deliver Bidvest’s UK and European operations were major contributors to an 11.6% turnover increase by the Johannesburg-based group in the year to 30 June, said chief executive Brian Joffé. Gross profit rose by 20.8%. “Excellent trading results in foodservice reflect pleasing performances in most businesses, delivering real organic growth in local currencies,” he commented. The UK business “performed strongly”, said Joffé, increasing sales by 17.4% to R47.7 billion (£2.3 billion), with trading profit growing by almost 42% to R1.1 billion (£53 million). There was sales growth across all parts of the UK operation. Bidvest Foodservice (previously Bidvest 3663) ended the year “on a high”, with management focusing on increasing free trade volume, reducing complicated procedures and cutting costs. Joffé said that margins were well controlled and cashflow improved. The catering equipment division and Swithenbank Fresh & Fine Foods achieved higher

Brian Joffé at the annual results presentation in Johannesburg.

than budgeted profits. Work began on the infrastructure programme in the south of England, which will lead to modernisation and simplification. Bidvest Logistics grew with the acquisition of chilled products specialist PCL and volume increased, although margins per case came under pressure. Bidvest Fresh returned “pleasing results”, with both seafood and produce performing well. The newlyacquired Hensons meat business did better than anticipated. The European foodservice division saw trading profit rise by 57% to R806 million (£41.7 million) on sales up 18.9% to R24.8 billion (£1.2 billion). Another dip in institutional

business hit Bidvest Deli XL Netherlands, and the Belgian subsidiary also faced challenges in the same sector. However, both the Czech Republic and Slovakian businesses enjoyed their bestever year, said Joffé. There were also good results for Farutex Poland and the Baltic activity, with the Latvian concern moving into a new depot and opening a fish processing plant. New warehouses were also opened in Italy: in Rome, Cartagena and Mallorca. In South Africa, 26% of foodservice business is now derived from online ordering. Other foodservice operations that performed well include those in China, Chile and the Middle East. a Bidvest Foodservice (0370) 3663 000

Best-in sandwich range Bestway Wholesale has introduced a range of 10 ‘everyday’ sandwiches under the Best-in label. They are colour coded according to the filling: blue for fish, red for meat, gold for chicken and green for vegetarian. Category controller for chilled & fresh Steve Carter said that retailers would benefit from extended shelf life and reduced pack sizes. He added that this would 10

September 2015

eliminate previous concerns over wastage. “The range has been devised with recipes that have longevity, with each sandwich having a shelf life of 20 days from manufacture. We have also increased the number of weekly deliveries to depots. “By the time products have gone through the supply chain, this will give retailers a minimum of two weeks’ sell-through period, which

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alleviates their biggest concern in chilled.” Priced at £1.29 and offering a 40% POR, the range is packed in outers of four. The selection comprises: chicken, chicken & bacon, chicken tikka, tuna mayonnaise, tuna & sweetcorn, ham & cheese, all-day breakfast, cheese & pickle, egg mayonnaise and cheese & onion. a Bestway Wholesale 0208453 1234

All-clear for Booker The UK Competition & Markets Authority has given the go-ahead for Booker Group’s £40 million takeover of Musgrave Retail Partners GB. The deal, which consists of the Londis and Budgens retail businesses, was made public in May. As reported by Cash & Carry Management last month, Mark Aylwin, previously managing director of Booker Direct, will be MD of the former Musgrave chains. At the time of going to press, no-one had been named as Aylwin’s replacement as head of the delivered wholesale activity. In the 10 weeks to 28 August, Booker’s total sales (including Makro) fell by 2% compared with the previous corresponding period. While nontobacco income increased marginally by 0.1%, tobacco business dropped by 6.5%, which chief executive Charles Wilson (above) attributed to the ban on small stores being able to display tobacco. Despite the downturn, both Booker Wholesale and Makro enjoyed a good trading period, said Wilson. He added that customer satisfaction improved and profit performance was in line with expectations. The delivered wholesale business – Booker Direct, Chef Direct, Classic and Ritter – also had a good period, and sales in India continue to make progress. a Booker Group (01933) 371000

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

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Online enhancement

Blakemore Fine Foods has launched an enhanced online ordering system, with reduced lead times. The blakemorefinefoods. co.uk site give customers access to any items in the company’s ‘Best of British’ food and drink range of more than 3,500 lines. Caoire Blakemore, commercial director, said: “This will considerably simplify the ordering process for customers, offering them quick and easy access to our full range of fine foods 24 hours a day, seven days a week. “The new system will

benefit our producers too, raising the profile of their products and making them more visible and accessible to customers.” Website users can, additionally, make use of a producer search feature to locate producers within their local area. The company also recently reduced delivery lead times by 24 hours so that retailers can order from the Fine Foods chilled, ambient and frozen ranges on a day-onefor-day-three basis. a Blakemore Fine Foods (01902) 366066

Fair kop for Today’s

Buy a promotional pack, visit: www.game-ready.com and enter the last 4 digits of the barcode for a chance to win. Consumer entry via .cashandcarrymanagement.co.uk single bottle. Trade entry via shrink barcode.

Today’s Group is to hold its next annual trade show and member awards on 8-9 March 2016 at the Liverpool Exhibition centre. Managing director Bill Laird said: “It is on the banks of the River Mersey, gateway to one of the world’s most famous ports, situated in the heart of Liverpool. “A recent ‘Capital of Culture’, the city is a magnet for business and an inspirational setting for our show.” Last year’s event was held at Ascot racecourse and featured 139 national and global brand exhibitors, generating a record attendance from wholesale members. Over two million cases of

product were sold during the two days – more than for any previous show. Today’s members who were present said the deals alone made the event worth attending, while both suppliers and wholesalers agreed it was a key networking opportunity. a Today’s Group (01302) 249909

Profit up £21m Gross profit of Palmer & Harvey increased from £194 million to £215 million in the year to April on sales up by 6% to £4.47 billion. The figures are the first to incorporate annual income accruing from the eight-year supply deal with Costcutter, which was announced in 2013. Presenting the results, chairman and chief executive Chris Etherington reported that P&H’s company-owned Central convenience store chain now comprises 39

outlets in the south of England. He added: “This has been a year of transformation. Our partnership with Costcutter is delivering buying benefits to our customers and is operating well with an expanded number of stores. “Our small drop expertise positions us well for the current changes in the grocery market, which is seeing rapid expansion in convenience format stores.” a Palmer & Harvey (01273) 222100

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No. 27 in the UK Costco is now operating from 27 sites in the UK with the opening last month of a store in Sunbury on Thames. The branch, with an area of around 140,000 sq ft, is open to trade customers from 10am to 8.30pm Monday to Friday, 9.30am to 6pm on Saturday, 11am to 5pm on Sunday and 10am to 6pm on bank holidays.

The manager at Sunbury on Thames is Serge Abreu. Costco has 681 warehouses worldwide, a turnover of $112.6 billion (year to end of August 2014) and 78.7 million cardholders. a Costco UK (01923) 213113

Catering show Landmark Wholesale southwest member L&F Jones Food Services is holding its annual catering trade show at Bath racecourse on 6

October. More than 50 suppliers will be taking stands at the event. a L&F Jones Food Services (01761) 402356

T&Cs: 1) Open to UK/ROI/CI/IOM residents, 18+. Normal exclusions apply. 2) Opens 12.09.15. Closes 12.11.15. 3) Purchase of any “#GAMEREADY” labelled food or drink product necessary (except in NI), packaging must be retained. 4) Internet access required. 5) Max 5 entries per day per person. 6) Entry via www.game-ready.com: enter contact details & last 4 digits of pack barcode. 7) 1 randomly selected winner per day of 2 tickets to a UEFA Champions League group stage home game of the team highlighted on day of entry (Russian teams will not be highlighted) + travel allowance + 1 night hotel stay. 8) One final draw for entries received between 13.11.15 and 21.01.16 for 2 tickets to a UEFA Champions League Round of 16 game of Promoter’s choice. 9) NI residents can enter by sending a SAE to UCL Tickets, PO Box 704, Pinner, HA5 9PF. 10) ROI: lottery license granted by the District Court of Dublin. Held by Simon Community Charity, 1-2 Cope Street, Dublin 2. 11) Full T&Cs apply: see www.game-ready.com. Pepsi, Pepsi MAX and the Pepsi Globe are registered trademarks of PepsiCo Inc.

[ SPOTLIGHT ]

sponsored by

Siobhan Irons, wine buyer at national drinks wholesaler Matthew Clark

A connoisseur of culture What has been the major milestone or turning point of your career? It would definitely be getting a job with Matthew Clark. I love working within a company that has such a wealth of experience in the UK trade. We have a fantastic range of customers and some truly dedicated professionals. Who has been the biggest inspiration to you? I’m sure everyone says this but it has to be my mum. She raised me and my sister on her own, while also establishing her own company which she ran for nearly 25 years. She always had time for us but work was important too. It was all about balance.

week, but at weekends I leave my phone at home so I’m not tempted.

very lucky that I get to travel as part of my job.

What advice would you give someone starting his/her first job? Every industry is so competitive now, so work hard. You’re not owed anything, you have to earn it. Make sure you do.

If you were able to retire tomorrow, would you? Only if I had enough money to constantly travel the world, otherwise life would get a bit dull, wouldn’t it?

What type of business would you go into if it wasn’t C&C/wholesale? Ideally I’d be a travel writer. I love experiencing new places and cultures and wine of course. My only problem at the moment is that my bucket list keeps getting longer, not shorter. Fortunately, I am

If you had a million pounds to invest in business, how would you spend the money? My husband and I have romanticised about buying a boat and starting a dive school. The idea of being in the water CCM everyday seems fantastic.

From cleaning tables to sipping fine wines What most frustrates you in business (and in life generally)? Rudeness and ignorance: there’s no excuse for either. How do you maintain a work/life balance and how have developments in technology affected this? Smartphones are a bit addictive aren’t they? I’m not too good at it during the 14

September 2015

Siobhan Irons’ first experience working in the on-trade came waitressing at a family-owned gastro pub in her late teens. At the age of 21, she left to set up her own restaurant from scratch. A change of heart soon followed and a year later, she enrolled on a three-year course at the University

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of Lincoln in 2003. After attaining a first-class degree in business administration and management, she spent the next three years working in the software industry. In 2009, she left to join Majestic as an assistant manager. Two years later, Irons joined Matthew Clark as a wine buyer.

UNLOCK

category growth through

NESCAFĂ&#x2030; Azera (+40.9% growth over the last 52 weeks)*

*Source: IRI to 18thJuly 2015; Kantar data to 19thJuly 2015 Made in the EU.

[ BEHIND THE SCENES ]

150 years of service excellence Virtually every added-value service that William Yule has developed has been imitated by its competitors. Kirsti Sharratt finds out how the family firm intends to stay ahead. ompanies frequently claim that they focus on service, but how many actually achieve total customer satisfaction? With an average service level of 99.5%, specialist foodservice supplier William Yule and Son has earned its reputation as one of the best service providers in wholesaling. “Service levels are typically abysmal in our industry,” says managing director Mike Patterson. “I won’t pretend ours are perfect, but they are a hell of a lot better than most!” Patterson makes the distinction that William Yule, which focuses on the education and care sectors, sees itself as a service company operating in the food

industry, not a food company that gives service on the side. “If a customer wants something, the starting point for my sales team is to answer yes, whether or not we stock it.” Patterson cites an example of a catering manager from a housing association asking William Yule to source her a new car. “It wasn’t as daft as it sounds because she knew we had experience in buying vehicles for our fleet. She said she trusted us on everything.” Such exceptional service extends beyond products to guidance on a gamut of issues. Patterson explains: “If commercial caterers need something, we want them to ask us first, be that advice on nutrition, how to comply with

the new allergen regulations or how to go about building a new kitchen. We can help our customers with all of these things and we won’t charge them extra for it.” Kirkcaldy-based William Yule and Son has around 430 customers, predominantly in central Scotland but with a few as far afield as Inverness, the Borders and Stranraer. This year, the company is celebrating its 150th anniversary. It began life as a tea importer – there once was a William Yule ship operating from the harbour in Kirkcaldy. Over the years, it acquired several businesses, usually other wholesalers, and switched from serving grocers to specialising in foodservice, in particular the care and education sectors.

Customer focus

Mike Patterson with his son Angus, who has a big part to play in determining the strategy for William Yule’s future.

September 2015

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“The biggest single change happened about 40 years ago,” Patterson reports. “Our two major customers were The Salvation Army and the Church of Scotland, and they had a policy at that stage of not dealing with people who sold alcohol and cigarettes. So we stopped selling those products to align ourselves with their demands.” Today, 90% of William Yule’s customers operate in care and education, with the remainder in the hotel, pub, restaurant and club sectors. There is a near-even split between free-trade and contract business. For the last 20 years, William Yule has held the contracts to supply dry, grocery and frozen foods to Fife Council care homes and day centres, groceries to Fife schools, and frozen foods to Stirling schools. It also has long-standing contracts with various housing associations and groups of care homes. A chartered accountant by profession, Patterson joined William Yule in 1992 when his father-in-law, Graham Carson, who had bought the company in 1968, decided he wanted to step back and concentrate on his other business interests. Just one week after Patterson

[ BEHIND THE SCENES ] Customers place their orders with us, the butcher delivers to them, and we deal with the invoicing and any queries. He is now our second biggest supplier – we do more with him than the likes of Premier Brands or Unilever. We have similar arrangements with fresh fruit & veg, fish and meat suppliers, and with Instock for non-foods and equipment.” The company also keeps its customers up to date with trends and assists them in complying with regulations and targets set by the Government and organisations like Healthcare Improvement Scotland. “Virtually every initiative we have come up with in The Complete Package has been imitated by our competitors,” says Patterson. “We just have to keep moving the game forward.”

Succession planning

started his new role, he unexpectedly found himself leading a management buyout of a Robert Maxwell subsidiary, Millar & Bryce, where he had been finance director. “Miller & Bryce was part of a very large organisation so it was a bit of a culture shock coming to a small business with as tight margins as you get in the wholesale world. William Yule didn’t have the luxury of HR or finance departments; you had to roll your sleeves up and do it yourself,” he recalls.

biggest player, but we wanted to be the best.” William Yule then developed a range of added-value services under the banner of ‘The Complete Package’. Initially designed for care homes, this is now accessible by other types of customer. Patterson says: “The Complete Package had the desired effect, which was to ensure that customers placed more value on the service they got from us than the price. There is a perception that, because we are a small player, we

‘We decided that we did not necessarily want to be the biggest player. We wanted to be the best’ Mike Patterson, managing director, William Yule and Son “The business was profitable, but it was drifting a little bit and suffering from a trend that continues today, in that its small customers, such as independent nursing homes, were being swallowed up one after another by large national players. At the same time, although we did have some dealings with Fife Council, we didn’t hold any major local authority contracts because the Council wasn’t that organised.” Patterson sat down with his team to identify the strengths and weaknesses of the business and to devise a growth strategy. “We decided early on that we did not necessarily want to be the

are not as cheap as the big guys. Although we generally are, I wanted to take the discussion away from price.” The strategy was a success: William Yule’s turnover rose from £2 million in 1992 to £7 million today and it was voted Landmark’s Foodservice Member of the Year eight years in a row. As part of The Complete Package, William Yule added to its core range of dry, frozen and chilled foods, plus cleaning materials, by linking with fresh food suppliers. Patterson explains: “Customers had been phoning to ask if we could provide their fresh meat, so we formed a partnership with a local butcher.

While William Yule has no plans to divert its focus from customer service, Patterson does have other pressing matters to attend to: upgrading the company’s technology (both customerfacing and internal), evaluating a possible move to new premises, and dealing with succession planning. To a large extent, all of these issues are linked. “I would like to retire within the next few years, but my son Angus, who has been here for two years as operations manager, is still to decide if he is committed to staying,” reveals Patterson. “If he wants to, then we will look at new premises. We are very much constrained by being in a 300-year-old building – it is not ideally suited to future expansion or to technology such as voice picking.” Whether or not the company relocates, Patterson believes that it has a bright future. “Being a small operator presents a great opportunity because we can react much quicker than the big firms and we are not subject to the whims of shareholders demanding ever-increasing returns. And as the world gets wealthier and we see increased emphasis on service and added value, there is no reason why we cannot continue to prosper.” When William Yule held a race day at Musselburgh earlier this month to mark its 150th anniversary, Patterson encouraged all 45 staff to celebrate its status as a wholesaler that is consistently first CCM across the line.

www.cashandcarrymanagement.co.uk

September 2015

[ EMPLOYMENT LAW ]

Social media abuse: how to future-proof policies Meet the HR expert Cate Ritchie, 121 HR Solutions Cate Ritchie is a fellow of the Chartered Institute of Personnel and Development

n the recent scandal involving Lord Sewel’s behaviour outside of the House of Lords, it looked – for a day or two at least – as though the peer might not resign over the incident, leaving many employers wondering what they would do in similar situations. Do disciplinary policies cover an employee’s activities outside work? What actually constitutes “bringing the organisation into disrepute”? Well, it usually means the employee has acted in a way that is incompatible with the employer’s public profile or values, or has done something deemed to be offensive, such as drug-taking that reflects badly on the employer by association. This might also include the employee making derogatory statements

about his/her employer in the public domain, including via social media. There have been numerous dismissals because of comments made on Facebook, including one where an employee said his work was a “shambles”. This type of response can clearly affect an organisation’s reputation but employers need to be careful. A dismissal in the case Whitham v Club 24 was held to be unfair as the comment posted on Facebook was relatively mild

and there was no evidence of any actual or likely harm to the relationship between the employer and its clients. If an employee has been involved in an activity outside of work that is contrary to the employer’s values but is not directly linked to the employer – such as being involved in an extreme political organisation – then the employee could claim that the views expressed were ‘personal’ and not those of the employer. If an employer is considering disciplinary action, the focus must be on whether the employee’s conduct directly affects the company’s reputation. The seniority of the position the member of staff holds is also relevant. It is possible to ‘future-proof’ policies by making it clear that bringing the employer into disrepute includes comments made via social and professional networking media and covers activities CCM both inside and outside work. If you need guidance about any HR issue, contact Cate at cate@121hrsolutions.co.uk or phone (0792) 121 3890.

Will the living wage have an impact on your business? This year’s Budget announced that minimum pay for the over 25s, rebranded as the ‘national living wage’, will increase from £6.50 an hour at present to £7.20 in 2016, before rising to at least £9 by 2020 under the Chancellor’s plan. However recent research has raised significant concerns about the countermeasures that big businesses may take to pay the national living wage. The Office for Budget Responsibility, which produces independent forecasts for the Government, has estimated that the national living wage will lead to 60,000 job losses and reduce GDP by 0.1% before the end of the decade. It also warned that the response of businesses was

September 2015

“subject to significant uncertainty”. Whilst the Government is suggesting that up to six million workers will get a pay rise as a result of the living wage, the independent forecast indicates that the impact of increasing pay to at least £9 by 2020 will be material for the business world. The move towards higher hourly rates could reduce profits, resulting in potential job losses. It has been criticised as being a “risky strategy” that may not, in the long run, boost investment, productivity and living standards. There is also the suggestion that some of the employees who will receive a pay increase will lose out on family tax credits and therefore will be no better off. The Government’s plan does not

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take into account businesses that offer benefits other than simply hourly pay – such as staff discounts and share schemes. These result in better packages but are not included as part of the living wage. Will such staff benefits be removed as we move towards the introduction of the living wage? Undoubtedly, organisations will have to consider the impact of this move well before the living wage is to be introduced in 2016. It may be that part of this consideration is examining the overall package provided to employees to ensure that the living wage commitment is made, whilst still being sufficiently competitive to retain valued staff who will contribute to the organisation’s productivity.

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

[ PRODUCTS & PROMOTIONS ]

Massive marketing push to promote new Optiwell PRODUCT OF THE MONTH

FrieslandCampina UK is backing the launch of Optiwell – a new yogurt drink for health-conscious women – with a £25 million marketing investment over the next four years. The ‘Optiwell Thank Goodness’ campaign, which will be fronted by This Morning and Surprise Surprise presenter Holly Willoughby, is forecasted to reach 18 million women via online, outdoor and women’s press national advertising. This will be supplemented by digital activity, sampling and shopper marketing initiatives. The new fat-free range comes in a choice of strawberry & raspberry and peach & apricot flavours, and is available in 330ml on-the-go one-litre in-home formats, w an rsp of £1.30 and £1.90 respe tively. The smaller bottle al features an introductory £1 price-mark to encourage trial. A Mintel study shows that 50% of adult yogurt consumers are interested in on-the-go formats that are easier to consume. However, only 6% currently have yogurt as a snack when

Personal touch

on the move, suggesting a substantial gap in the market Optiwell has been manufactured using no added sugar and contains just 64 calories per 200ml serving. Tracey Barney, managing ctor of FrieslandCampina , comments: “Optiwell has an portant role to play in the rket and as a healthy yogurt drink aimed at adults, it will create a new, dairy-based sub-category. “It will appeal to the millions of women who are looking for a healthy alternative to unhealthy snacks and drinks.” a FrieslandCampina UK 0800) 626066

Mondelez International has launched a promotion on eight Cadbury single packs, offering consumers the chance to win a personalised surprise, based on their favourite interests. Consumers can win one of 100 ‘Joynormous surprises’, worth up to £10,000, while another 19,900 prizes are up for grabs to the value of £500. All winners will be supplied with a questionnaire that will help Cadbury create their unique surprise. The promotion, which finishes at the end of November, is running on Twirl, Wispa, Double Decker, Dairy Milk, Crunchie, Boost, Wispa Gold and Starbar – all chocolate singles top selling SKUs. ‘Joynormous’ follows the success of the ‘Win a Banger’ on-pack promotion last year, which added 17% in value sales to Cadbury singles in the 52 weeks to 24 January 2015. The promotion is being supported by a £3 million marketing investment, comprising TV, PR, outdoor advertising, digital and experiential activity. a Mondelez International (08702) 400861

All data unless otherwise stated: Nielsen

‘Next-generation’ Vivid E-liquid to reignite e-cigarette category Nicocigs, which is owned by parent company Philip Morris, has developed Vivid E-liquid Capsule Vaping System – a next-generation format said to deliver improved vaping performance and greater convenience. The innovation features a unique proprietary design with an enhanced single coil that produces greater vapour. Click &

September 2015

connect technology means that only Vivid E-liquid capsules are compatible. This will generate greater loyalty and improved profits for stockists. The starter kit, which retails at around £19.99, includes a USB charging cable, one 650mAh battery, one atomiser with enhanced coil and 3 x 2.5ml capsules in Berry Blast,

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Classic Tobacco and Menthol Breeze flavours. An e-cigarette conversion kit (£6.50) and replacement atomisers (rsp £4.99) are also available, as are packs of 4 x 2.5ml capsules (rsp £4.99) in 10 variants. These comprise: Fruit Fusion, Apricot Peach, Pineapple Rocks, Cinnamon Apple, Red Wings, Golden Tobacco, Citrus Fruit, Classic Tobacco, Menthol Breeze and Berry Blast. The launch is being backed by a £3 million media spend, including in-store promotions, sampling at festivals and PR support. A bespoke PoS toolkit for wholesalers is also available. a Philip Morris 020-7076 6000

From the #1 Drink Now Juice Drink* *Nielsen Drink Now Juice Drink MAT Data Up To 26/06/15. RIBENA is a registered trade mark of Lucozade Ribena Suntory Ltd.

Imperial Tobacco data: Internal

[ PRODUCTS & PROMOTIONS ]

Sticky satisfaction

Flavour fusion

VIP experience

United Biscuits has announced the relaunch of two long-established consumer favourites – McVitie’s Jamaica Ginger and Lyle’s Golden Syrup Sticky Pudding Cakes. The two recipes, which feature modernised artwork and a new reclosable tab, are joined by two new McVitie’s additions – Golden Sticky Lemon Pudding Cake and Sticky Marmalade Pudding Cake. Wholesalers are advised to stock the ‘sticky’ range in the ambient cake fixture. However, their dual usage as a cake or pudding sets them apart from other whole cakes. All four products have an rsp of £1.55. a United Biscuits 020-234 5000

Lucozade Ribena Suntory has expanded its Lucozade Energy portfolio with a new Reduced Sugar Tropical Fusion variant. Comprising an exotic blend of pineapple and kiwi fruit, the new style contains half the sugar of the Lucozade Energy core range and is available in 380ml (95p PMP), 500ml (rsp £1.15), 6 x 380ml (rsp £3.85) and one-litre (rsp £1.99) formats. The launch is being promoted via sampling events and in-store activations by highlighting Lucozade’s suitability for on-the-go consumption, meal deals and social sharing occasions. a Lucozade Ribena Suntory (0845) 722 7222

AG Barr has debuted Irn-Bru’s first-ever national football on-pack promotion. As part of Irn-Bru’s sponsorship deal with The Football League and Scottish Professional Football League (SPFL), consumers can win the ‘Ultimate Match Day Experience’ at any Football League or SPFL match. In addition to the VIP packages, consumers are able to win exclusive IrnBru branded footballs. Concluding in the middle of November, the promotion forms part of a £6 million marketing investment for the brand and is being displayed on 500ml big cans and 4 x 500ml multipack cans, both regular and Sugar Free. a AG Barr (01204) 664295

Keeping cool

‘Win Your Club’

Retro revamp

Imperial Tobacco has revamped its L&B Blue portfolio by adding an Ice Capsule variant in King Size 19s and 10s. Retailing at around £6.89 and £3.78 respectively, the products sit within the economy sector of the factory-made cigarettes (FMC) category and offer retailers POR rates of just under 6.5%. Madeleine Pearce, brand manager at Imperial, says: “Capsules have claimed an impressive FMC market share of almost 8.5%. Ice Capsule therefore represent another important addition to the L&B Blue family, whose segment of the economy sector has soared to 21.5% since its launch last year.” a Imperial Tobacco (0117) 963 6636

KP Snacks has unveiled a new marketing campaign and on-pack promotion to celebrate McCoy’s second season as the official crisp partner of the Football League. The activity, which was launched last month, is spearheaded by a ‘Win Your Club’ on-pack promotion, which is displayed on McCoy’s 6 x 30g Mighty Meaty and The Classics multipacks, plus all 50g grab-bag variants. The promotion runs until November and offers an array of ‘money can’t buy’ prizes, such as free tickets, branded merchandising and behind-the-scenes club access. a KP Snacks (0845) 601 7583

British sweets manufacturer Swizzels has extended its iconic Refreshers bars into two fizzy rope variants. The Refreshers Rope range, which comes in outers of six, features an Original Lemon or Strawberry fondant centre. The new lines have been added to Swizzels’ 10p portfolio, which has grown by more than 20% year on year, claims marketing manager SarahLouise Heslop. The ‘rope and lace’ category is a thriving area in the kid’s confectionery industry, according to Nielsen, and is currently worth £28 million a year. a Swizzels (01663) 744144

September 2015

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5 1 0 2 H C N LU S D R A W A E V SI LU C X E SAVE THE DATE Friday 20 November 2015 (11am to 3pm) Location: Danesfield House, Marlow, Buckinghamshire Theme: ‘Loyalty and the Cash & Carry/Wholesale Customer’ What’s on the agenda: – Guest speakers from inside and outside the industry – Three-course lunch – Cash & Carry Management awards ceremony

Places are strictly limited. To book, call (01342) 712100 or email: mail.winlove@btconnect.com

[ PRODUCTS & PROMOTIONS ]

Making a splash

Decadent delight

Crunchy creation

Radnor Hills has announced that the Aqua Splash soft drinks range is now available in multipacks featuring a new printed film-wrapped design. Developed to give retailers more versatile display options, the refreshed packaging focuses on hydration and flavour, with each bottle also featuring a colour-coded sportscap. The multipack range, which comes in a choice of Strawberry and Lemon & Lime flavours, is available in 9 x 750ml (rsp £4.39) and 6 x 1.5-litre bottles (rsp £4.49). Smaller 500ml bottles are also available in packs of six and 12, with an rsp of £1.69 and £3.99 respectively. a Radnor Hills (01547) 530220

Mars Chocolate Drinks and Treats has reinvigorated its Galaxy hot chocolate range by adding Marshmallow and White Chocolate variants. Sold in cases of six and retailing at around £2.89, Ultimate Marshmallow Hot Chocolate includes real marshmallows, while Ultimate White Hot Chocolate contains white chocolate pieces. The new additions, which are manufactured in 300g jars with pearlescent packaging, come after Galaxy Instant Hot Chocolate grew by 9% in the 52 weeks to 11 July, outperforming the total instant hot chocolate category by 5.3% (IRI). a Mars Chocolate Drinks and Treats (01664) 411111

Maryland, the UK’s favourite cookie, is now available in a new Gooeys Peanut flavour. The crunchy peanut cookie, which contains a soft chocolate centre, comes in cases of 8 x 160g packs and is pricemarked at £1.39. David Costello, head of customer category management at Burton’s Biscuit Company, forecasts that Maryland Gooeys Peanut will ”capitalise on the surge in consumer demand for peanut butter that is seeing growth year on year”. The release follows the launch of Maryland Soft Baked cookies and Mix’ems earlier this year. a Burton’s Biscuit Co (01727) 899700

All data unless otherwise stated: Nielsen

The big kick-off PepsiCo is celebrating its sponsorship of the UEFA Champions League by giving away match trips as part of a new promotional campaign for Walkers, Doritos and Pepsi Max. The #GAMEREADY promotion, which runs until 12 November, will reward one consumer every day with a pair of group stage tickets and money to help cover travel and accommodation expenses. The campaign is being supported by in-store promotions, a multimedia consumer campaign and TV sponsorship. Branding is also being displayed at stadiums, during interviews and on perimeter boards. a PepsiCo (0118) 930 6666 26

September 2015

New look for consumer favourites Nestlé Confectionery has updated its sharing bags portfolio with the introduction of Caramac Giant Buttons. The innovation, which moves away from a bar format for the first time in the brand’s history, has an rsp of £1.59 and is available in outers of 12 x 110g bags. This follows the release of KitKat Snap & Share – a 170g sharing block (rsp £2) which comes in two variants: Milk Chocolate and Cookies & Cream. Obtainable in outers of 16, the new release is being backed by a media campaign, including TV advertising and outdoor posters. To conclude its latest activity, Nestlé

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has collaborated with fashion designer Matthew Williamson to create two limited-edition Aero wrapper designs. The new-look packaging, which features on Aero Milk Chocolate and Peppermint impulse bars (rsp 62p), incorporates Matthew’s signature butterfly print with cues from Aero’s bubbly texture. The result is a feminine design aimed at Aero’s 35 to 54-yearold female target demographic. Launching on 28 September, the artwork will be promoted as part of a £2 million media campaign for Aero this autumn, spanning outdoor, digital and video-on-demand advertising. a Nestlé Confectionery 020-8686 3333

[ ACHIEVERS ]

Best service Scottish shortlist AUGUST 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

[ ACHIEVERS ]

New judging criteria Wholesalers in Scotland giving points to the top 32 suppliers in contention for the Achievers award of Best Overall Service (see p.27) are asked to use the criteria below over the four-month judging period. All suppliers on the shortlist will be sent their results each month and encouraged to act on the findings to enhance their service. n consultation with leading wholesalers and suppliers, the Achievers award of Best Overall Service has been relaunched with new judging criteria. Cash & Carry Management’s managing editor Kirsti Sharratt, who co-ordinates the judging, explains: “All wholesalers consulted agreed that the most important aspects of a supplier’s service are getting the order delivered in full and on time and accurate paperwork and invoices. When a supplier fails in any of these aspects, it causes a lot of problems and extra work for the wholesaler.” Sharratt adds that wholesalers are also looking for suppliers to agree a business development strategy with

them, whether formal or informal, monthly or annual. Wholesalers also want to be able to speak to their key supplier contacts when necessary, face to face or by email or phone. “A supplier might not have a lot of reps in the field, but that’s not a problem if the key people can be reached,” Sharratt explains. “Similarly, wholesalers want their supplier contacts to be able to respond quickly to any query or request, even if they have to ask their boss first.” Channel development (retail/symbol/ foodservice/on-trade) has become more significant for wholesalers, who want suppliers to support them in their efforts. The right packs – PMPs or added

value – and the right level of innovation, are also important. Finally, category/ market updates are valuable if suppliers can provide them. With this in mind, the criteria has been revised as shown below. For help with shaping the new criteria, thanks go to David Livingstone of Batleys, Stephen Clinton of Booker, Jim Cummiskey of Fáilte Food Service, Derek Cowan of JW Filshill, Stevie Ramage of AG Barr, Peter Wells of Whyte & Mackay, and chairman of the independent judges Graham Benson. The winner of the Best Overall Service award will be announced at the Achievers awards dinner, which will be held at the Sheraton Grand, Edinburgh, CCM on 11 February 2016.

Points to be awarded for: DELIVERIES (INCLUDING ADMIN SUPPORT) For each supplier, if you receive deliveries from your own company’s central warehouse, write N/A

Order versus quantities delivered Accuracy of paperwork/invoices Timescale of deliveries

WHOLESALER SUPPORT

maximum 20 points 7 7 6

maximum 20 points Business development strategy/plan Accessibility of key contacts Quality of account management

CHANNEL/CUSTOMER SUPPORT

7 7 6

maximum 10 points Channel development Relevant pack strategy (PMPs/innovation) Category/market updates

4 4 2 maximum total 50

Any queries, please contact Kirsti Sharratt on (01334) 479695

September 2015

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Achieve success with IT Page 2 Reduce picking errors by 70% with Voice Directed software

Page 3 Hardy Brothers improves visibility and increases turnover with Sanderson

Page 4 9 reasons why you can’t afford to ignore Click & Collect

CASH & CARRY AND WHOLESALE NEWS Issue 17

Anzac Wines & Spirits supports growth with Sanderson solution Anzac Wines & Spirits, one of Northern Ireland’s leading drinks wholesalers, has selected the Sanderson wholesale industry-specific IT solution, including the latest Radio Frequency (RF) and Mobile CRM systems, to support the company’s growth and increase operational efficiencies across the business. Anzac Wines’ customers include restaurants, hotels and retail outlets. Recently, demand for its products and services has grown substantially and so too has the need for greater operational control. Anzac Wines chose the wholesale IT solution, Swords, as it is unparalleled amongst other software systems in the marketplace. Major strengths of the single IT system include its core ability to integrate all operations, which improves visibility of information across the business and offers complete flexibility, so the company can add functionality as it develops. It will also increase efficiencies throughout the company’s sales operation, from order entry

www.sanderson.com/swords

the Mobile CRM app allows staff to work efficiently away from the office with 24-hour access to essential stock and customer information.

through to delivery. Using Swords, the telesales team will have quicker access to customer details and realtime stock data, streamlining the order process and improving customer service levels. The team can also access promotions and offer flexible pricing to eligible customers. The Sanderson solution is set to generate further efficiencies in the warehouse with the latest Radio Frequency (RF) solution. The RF solution is to be used in the ‘goodsin’ area, enabling goods to be checked and matched against purchase orders at the point of delivery. This eliminates errors at goods-in and ensures 100% stock accuracy. Additionally, Anzac Wines is looking forward to the introduction of the Mobile CRM system, which increases staff productivity and boosts the operational efficiency of the sales team. Using the latest mobile devices,

Garry Connolly, Managing Director, Anzac Wines & Spirits, comments: “Sanderson was recommended to us by a fellow wholesaler who has benefited from using Swords. One of the reasons we chose the system was our need for efficient stock control; the RF solution will help us to achieve this by streamlining the stock take process and providing accurate data for reporting. “Also, the team is really excited about working with the Mobile CRM system as it will save valuable time and help staff improve customer relationships. Having real-time information at your fingertips is a welcome bonus for our field sales team, helping them to provide quotes and capture valuable customer feedback.” About Anzac Wines & Spirits Based in County Antrim, Anzac Wines has been supplying alcoholic drinks to shops & restaurants for over 25 years.

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Achieve success with IT

Reduce picking errors by 70% with Sanderson Voice Directed software Our latest Voice Directed warehousing software is helping wholesalers to boost the efficiency of their order picking operations by using speech recognition for accurate hands-free order picking, increasing productivity.

•

How the Voice Directed software works: Fully integrated with the Swords solution, the Voice Directed software communicates with the warehouse management system and sends picking instructions to pickers via a wireless headset and microphone. The Voice Directed software benefits your picker and your business: The system boosts productivity with hands-free order picking, allowing staff to move around the warehouse faster, and costly picking errors are significantly reduced with verbal order confirmations. Benefits achieved by our customers:

• Increased productivity through

Improved picking accuracy and cash savings – J.W. Filshill has significantly reduced pick time – by up to 30%. Also, the increased accuracy and reduction in handling damage – estimated at £10 per error – has enabled this project to achieve ROI within the first full year of operation.

•

faster order picking – Staff at Turner-Price are achieving 25% more picks per shift than with its previous handheld scanning system, and have dramatically reduced picking errors by 70%.

Accelerated staff productivity – Savage & Whitten boosted warehouse productivity by using the Swords Voice solution, with the picking rate rocketing up by 35%. Contact us to learn more about how our Voice Directed software boosts customer satisfaction with increased picking accuracy!

5 top tips to capitalise on seasonal sales Seasonal sales offer great opportunities to increase revenue. The multiple retailers are always at the forefront when it comes to seasonal sales. Savvy wholesalers are also ahead of the game – planning months in advance to fully capitalise on the sales opportunities. Find out how wholesale software can help you. Here are our 5 top tips to capitalise on seasonal sales:

anticipate sales gaps and fill them.

1. Plan ahead for seasonal sales opportunities – for example, Halloween alone is now worth £325m and is the UK’s third highest consumer spending occasion after Christmas and Easter.

3. Be prepared and fully stocked for TV advertising – pre-register customers onto your system so they automatically receive new product lines as and when they become available, minimising out-of-stock issues and increasing customer satisfaction.

2. Invest in a forecasting system – to help analyse what you have preordered from suppliers against what has been pre-ordered by customers, giving you the opportunity to

4. Manage excess stock – no one wants to be stuck with boxes of Halloween themed biscuits or Mother’s Day chocolates. Create hampers for customers and keep excess stock selling with promotions.

Page 2

5. Communicate – keep your customers thinking about seasonal opportunities in advance by highlighting events on notice boards, promotional materials, on customer invoices, emails and your website.

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Achieve success with IT

Moving forward with success Benefiting from a longstanding relationship with Sanderson and its wholesale industryspecific software, Swords, renowned delivered wholesaler Hardy Brothers has strengthened operations, supported business growth and improved customer service, all whilst staying true to its roots as a small, family-owned company. Established in 1973, Hardy Brothers supplies a wide variety of confectionery, snacks and soft drinks to retail outlets in Northern Ireland. Based in County Antrim, Hardy Brothers has seen a huge amount of growth for more than two decades since the implementation of the Swords solution; turnover has grown to a very healthy £8 million, from £3 million. “The Sanderson solution has given us the tools to grow. We knew where we wanted to go with the business, and Swords helped us develop our ideas through to fruition,” says Declan Hardy, Director at Hardy Brothers. Advanced sales reporting The Business Intelligence (BI) solution within Swords has completely transformed the way the company approaches sales analysis. The information it provides is central to every operation in the business; it helps Hardy Brothers to generate cost efficiencies, make informed purchasing decisions and identify growth opportunities. “We can access sales reports and margins within seconds, and it helps us to identify areas of weakness and strength. We can then isolate and examine sales by region, by representative, by customer, then target promotions that benefit our

“It’s extremely useful if you’re out on the road. You can give your customer copies of invoices or credit notes and you can answer price queries, and check stock,” says Declan.

KEY FACTS Challenges: Implement system to support growth Improve traceability of stock Reduce time-consuming manual processes

• • •

Benefits achieved following Sanderson solution implementation: Turnover increased from £3m to £8m Sales opportunities easily identified Strengthened customer and supplier relationships Improved companywide visibility Stock picking compliance now at 96-97%

• • • • •

clients,” explains Declan. “Business Intelligence has been fantastic for us.” Increased productivity A recent upgrade to the latest version of the Swords solution has also brought efficiencies to Hardy Brothers. The new Swords IT solution is technologically advanced, delivering higher system performance levels, faster access to data, and more time-saving features which help to boost productivity. “We’re already seeing benefits of the latest Swords solution. The new user interface is more user-friendly, making it quicker and more efficient for daily tasks,” says Declan. The company is now trialling the powerful capabilities of Mobile CRM, an app which allows for 24-hour access to the Swords system via a smartphone, tablet and other devices.

www.sanderson.com/swords

This increased visibility is strengthening relationships with customers, as well as improving efficiencies. Mobile CRM allows for orders to be processed directly via mobile devices and then transmitted straight to the back office system, saving time and reducing paperwork. “Mobile CRM suits the way we do business, and allows us to maximise face-to-face time with our retailers for example, answering stock queries and providing quotes which increases our productivity,” says Declan. Taking stock The Sanderson wholesale solution has also improved warehouse management and enabled better traceability of orders and stock, which has supported the company’s growth. Stock replenishment is more controlled, as Hardy Brothers has visibility of real-time stock information, assisting them with purchasing decisions when stock levels are low. Stock location information is also regularly updated, reducing manual picking errors in the warehouse. As a result, customer satisfaction and order compliance has increased: “Our stock picking compliance is at 96-97 per cent now and we’re aiming for 99 per cent.” “The Sanderson solution is perfectly designed for wholesalers. Since implementing Swords, we’ve improved visibility, strengthened customer and supplier relationships and seen consistent substantial business growth,” reflects Declan.

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Achieve success with IT

9 reasons why you can’t afford to ignore Click & Collect We all have experience of shopping online, whether it’s for clothes, general groceries or music. The trend is showing no sign of slowing. Click & Collect services in retail will more than double over the next three years, with threequarters of people deciding to shop online and pick up in-store. But it’s not just the general consumer that’s shopping online – your customers are too. Whether your wholesale business supplies products to independent retailers, pubs, restaurants or caterers, your customers want convenience. Savvy wholesalers are investing in the right software to deliver it. Here are 9 reasons why introducing Click & Collect in your business can increase sales & profits, boost service levels and deliver the ultimate in convenience for your customers. 1. Be prepared for a new generation of retailers The new generation of retail and foodservice customers are changing – armed with smartphones, they are reluctant to take hours out of their working day to push trolleys around a depot. Instead, they want to order online, on the go and choose a collection or delivery at a time that’s convenient for them. 2. Your customers will spend more online When you make the shopping experience easy for a customer, they are more likely to spend more. Wholesalers that get online ordering right enjoy better sales as a result and further boost sales with ‘suggested alternatives’ to alleviate out-of-stock situations. 3. Increasing choice means attracting new business When a customer has more choice about how they can shop with you, your business is more likely to stand out from the competition. The increase in choice not only builds loyalty with existing customers but also helps to attract new ones. 4. Results are fast – from 0% to 16% in 18 months Whether you are a multibillion pound

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8. You save space for customers and increase flexibility Space is a premium in many independent retail and foodservice customers’ stores, so a Click & Collect option gives customers the chance to do smaller, more frequent shops – saving them space and allowing them to collect goods at a convenient time.

operator or a smaller establishment, moving to online ordering can deliver rapid results. Savage & Whitten introduced online ordering for its customers and it accounted for 16% of group sales after just 18 months. 5. Improved efficiency means cost savings JJ Food Service’s Click & Collect service has had a massive impact on online sales, accounting for more than 50% of its £183m business and also it has reduced its truck fleet by 25%, saving fuel mileage and other costs. 6. Service levels will improve Increasing the use of technology in your business frees up your staff to increase ‘face time’ with customers, enabling them to focus on delivering a better service. 7. Collating data means you will understand your customers better than ever Online ordering allows you to capture customer contact details, helping you to build a picture of their shopping habits, eventually allowing for the use of targeted marketing campaigns.

9. Even the traditional cash & carry kings are moving online The pace of technology is growing in the wholesale industry, being used in more businesses than ever before. Technology is driving improvements in operations and providing opportunities for wholesalers. Is your business ready?

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Publishing Director: Martin Lovell Published by Winlove Publications Ltd on behalf of: Sanderson Sanderson House, Manor Road, Coventry, CV1 2GF Tel: 0333 123 1400 Fax: 0333 123 1401 Email: info@sanderson.com www.sanderson.com/swords

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[ SALES/MARKETING & BROKERAGE ]

Providing focus and expertise Using an outside agency as a sales, marketing and distribution resource can offer manufacturers significant advantages. Siobhan Kielty reports. or brands looking to outsource sales, marketing and distribution elements, non-food specialist distributor Robinson Young believes that it can offer several benefits. The company, which has an annual turnover of £50 million and more than 40 years’ experience in the sector, considers its responsiveness to buyer and wholesaler requirements to be a major part of its success. It also highlights the advantages of choosing a sales and distribution partner that offers non-food specialism and owns no major brands itself. “We can provide the focus, insight and passion for non-food brands that many companies with other priorities can’t match,” says managing director Michael Robinson. “Furthermore, being one of the longestestablished distributors we are well known, with a great reputation across the sector. This helps us to open doors others often can’t.” Recent client ACE has already reaped the rewards of this expertise. According to Robinson Young, the laundry additive and stain remover brand has doubled its previously declining market share in the UK and continues to grow. “Delivering impressive sales growth for new clients is rewarding, particularly in a competitive market against strong market leaders,” says Robinson (below). “We have adapted our methods to suit changing consumer habits, utilising our insight into consumer and market trends, and mixed traditional marketing methods with social media and impactful trade marketing programmes.” Over the past six

Robinson Young’s key clients a

Household: Zoflora, Tiger Tim, Scotchguard, ACE, Bizzybee. Health & beauty: Covonia, Wilkinson Sword, Bodyform, Tena, Vosene, Simple, Harmony Lizotin. Stationery: Energiser, Velcro, Post-It, UHU, Rhino, Uniball, Masterlock. Catering/foodservice: Caterpack, Finesse, Scotchbrite, Solo, Dart.

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months, ACE Gentle has amassed more than 6,000 followers on Facebook and in excess of 2,000 on Twitter with an online campaign that Robinson Young says has averaged over 550,000 users per month. Firelighter brand Tiger Tim will be hoping to enjoy as much success from its new relationship with Robinson Young, which was appointed as sole UK distributor for the brand at the start of the year. Although it’s still early days for this pairing, the signs are encouraging, with a campaign heavily focused on the cash & carry and wholesale sector with the aim of market penetration across the UK. A recent contract with a well-known jointcare company is another addition to the health and beauty area of the Robinson Young portfolio, where well-known brands such as Vosene, Simple and Wilkinson Sword are already represented. Alongside these new clients is a substantial number of longstanding relationships, with more than 70% of its major partners working with Robinson Young for 10 years or more. The company is quick to move with the times, embracing market trends to exploit opportunities. “Our teams are some of the most experienced in the market and are adept at changing their approach to gain maximum results for our clients,” explains Robinson. The company attributes its success partly to its knowledge of buyer and wholesaler needs at a time where the growth of the convenience market and local shopping has highlighted the need for knowledge in this sector. “We are ideally placed to help brand owners make the most of this growth, while simultaneously helping cash & carries to have access to, and good service on, the brands they need,” says Robinson. The sales team still provides a face-to-face service to present products, deal with queries and set up promotional activities. He believes that the face of retailing has changed significantly over the past five years. “The rise of online shopping, combined with consumers seeking ever more value, has changed consumer buying habits,” he says. “The rise of the discounters, the growth of online and the resurgence of the convenience market are seismic changes that are here to stay. Understanding the market changes and the consequent changing needs of our customers, along with the brands we represent, and then adapting to them, is key to us delivering success.”

HELPING BRANDS SOAR FOR OVER 40 YEARS

Proven outsourced solution for NON-FOOD: • Sales Development • Brand Building • NPD • Logistics • Warehousing To grow your sales and your brands in all retail, wholesale and cash & carry channels contact Michael Robinson on 01284 766 261 or email m.robinson@ry.tm

Robinson Young Ltd

Ibson House, Eastern Way Industrial Estate Bury St Edmunds, Suffolk IP32 7AB Telephone: (01284) 766261

www.robinsonyoung.co.uk

[ SALES/MARKETING & BROKERAGE ] Three decades of experience SHS Sales & Marketing, which offers sales, marketing, logistics and insight expertise, has an enviable portfolio of national and international brands and more than 30 years’ experience in FMCG retail. It represents brands from many sectors, including health & beauty, household, ambient grocery, soft drinks, alcoholic beverages, confectionery and hot drinks. The company prides itself on the continuing development and evolvement of its services, and this has contributed to its success, with clients seeing double-digit sales uplifts. Manufacturers of brands such as Twinings, Zip, Vileda and Dorset Cereals have all chosen to join the SHS Sales and Marketing portfolio during the past few years. In addition, existing clients such as Johnson & Johnson have increased their scope due to strong results. “Our results speak for themselves, with SHS Sales and Marketing consistently driving sales for brand owners, wholesalers and retailers across the trade,” says the agency’s managing director Marcus Freer (left). During the past year, the SHS Sales and Marketing team produced a wholesale promotional campaign for granola brand Jordans that delivered the highest level of support ever experienced in the £1.7 billion cereal industry. When added to wide-reaching van sales backing, the campaign generated a rise in distribution of more than 17%. Another recent success comes from the wholesale team working alongside RTD brand WKD. Following the launch of WKD Vegas – a limited-edition packaging replacing the 2014 Brazilian variety – the team at SHS Sales and Marketing brought the brand to life by implementing depot displays and activity to align with the national launch. For example, there have been national promotions in-depot such as ‘Win a Trip to Vegas’ for the best displays and trade days with Las Vegas in-store theatre. WKD Vegas will be available in the trade until the end of the year. The SHS Sales and Marketing team has ensured the

SHS’s key clients a

a a a

a a

Health & beauty: Johnson’s Baby, Nivea, Listerine, Nurofen, Gaviscon, Strepsils. Packaged grocery: Ryvita, Dorset Cereals, Jordans, Farmlea. Hot beverages: Douwe Egberts, Twinings. Confectionery: Chewits, Ricola. Household: Vileda, Marigold, Reckitt Benckiser (Finish, Vanish, Dettol). Soft drinks: Shloer, Pago, Mars Milk Drinks, Bottlegreen. Alcohol: WKD, Sagres & Savanna, Merrydown.

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continuing success of the company by developing an insights-led approach that focuses on understanding the shopper and applying this to in-outlet activity. It couples this with the building and maintaining of relationships with key decision-makers across the industry to ensure the smooth execution of any initiatives in depot or store. The company has also developed capability in areas such as back-office administration, invoice processing, logistics and integrated marketing. This multi-level approach means that each brand owner can benefit from a range of services and support most suited to its needs. With the recent changes in the nature of grocery shopping, it is increasingly important for companies to cater to the modern consumer. The team at SHS Sales and Marketing draws on its knowledge of the wholesale and convenience channel to offer insight on the current behaviour of shoppers; this information is invaluable to brand owners, decision makers and depot teams, ensuring that they are stocking and promoting the brands that retailers and their customers want. Freer says: “With over three decades of experience across the entire UK retail environment, I’m confident we have the skills, experience and insight within SHS Sales and Marketing to work proactively with brand owners to drive distribution, visibility and sales across the channels.” The company is well positioned to anticipate likely obstacles from wholesalers to a brand owner’s plan and can develop alternative strategies to overcome the issues. As a result, depots are more likely to receive the most suitable support which in turn makes the process of stocking and selling brands more efficient. Wholesalers have a line of communication to brand owners to explore future initiatives, while suppliers have the risk of rejection by their key customers minimised and can CCM maximise the route-to-market opportunities.

For further information: Robinson Young (01284) 766261 SHS Sales and Marketing (01452) 378500

Part of the SHS Group

[ SEASONAL ]

Take your pick of the season ith Halloween coming up, closely followed by Bonfire Night and Christmas, this is the time of year when wholesalers and retailers can really tap into the excitement of the season. In addition to promoting best-sellers, manufacturers in almost every product category – from biscuits to pet food, and from confectionery to soft drinks – are releasing limitededition lines and festive specials to appeal to consumers looking for something a bit different.

All data unless otherwise stated: Nielsen

Confectionery cheer Ferrero grew by 24.5% last Christmas, adding £12.6 million to the category, and the company is ramping up its seasonal offering this year with new lines and a £3.6 million marketing investment for its pralines portfolio. This Christmas sees the introduction of a T48 Kinder Surprise winter pack in the convenience channel. Available in a counter-top unit, the new line has an rsp of 86p. The Kinder brand is now worth almost £93 million, of which Kinder Surprise represents £52.5 million. Kinder Chocolate Happy (rsp £2), a sharing bag of 12 individually foil-wrapped Kinder Chocolates in seasonal shapes, has also joined the festive line-up, as has a bigger version of Ferrero Grand Rocher (240g, rsp £8.99). In addition, consumers have the chance to win one of 10 fashion prizes every day until Christmas in the latest promotion on Kinder Bueno. It is appearing on 19 million packs of the Classic and White variants and is being supported with 38

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extensive sampling, in-store PoS and digital activity. Last Christmas, Ferrero boxed chocolates grew significantly ahead of the market. Value and volume sales were up by 12.2% and 5.5% respectively. This time around, the company is investing a total of £3.6 million in multi-platform campaigns for Ferrero Rocher, Ferrero Collection and Raffaello. Ferrero Rocher will be backed by the same TV creative as last year, plus video on demand, digital activity, in-store shopper marketing and nationwide sampling. Ferrero Collection will also benefit from tailored TV and press activation, while Raffaello will be supported with video on demand, digital and print activity, in-store media and nationwide sampling. Tangerine Confectionery has launched a new Sweet Champions Tin (500g, rsp £5) for Christmas and a 500g Sweet Champions Halloween Pouch with an rsp of £4 (£3 on promotion). Both products feature iconic childhood favourites such as Dip Dab, Sherbet Fountain, Refresher, Wham and Dolly Mix. Christmas is the busiest time for the confectionery sector, worth over £130 million in 2014, and Halloween is also a big focal point – it was valued at just under £100 million in 2014. Tangerine has also launched two limited editions of Butterkist in 150g packs. Grim Green Sweet popcorn comprises bright green popcorn in a Halloween-themed bag, while Gingerbread flavour popcorn comes in a bag with a snowflake-shaped gingerbread biscuit design. Both lines have an rsp of £1.49.

...with the No. 1 Christmas Confectionery Supplier*

For Further Category Advice go to www.deliciousdisplay.co.uk *Source ACN Total Coverage Confectionery w/e 01.09.14 â&#x20AC;&#x201C; 31.12.2014

All data unless otherwise stated: Nielsen

[ SEASONAL ] The popcorn market is currently worth £107.5 million, and Butterkist has a 37.6% share. During Halloween specifically, its share rises to 42%. Butterkist is investing £2 million in above-the-line marketing and flavour and format developments during 2015. Walker’s Nonsuch is urging the trade to stock up on its Treacle Toffee, which has been enjoyed traditionally at Bonfire Night and Halloween for many years. Made with whole milk and butter, Walker’s Treacle Toffee is presented in packaging that is fitting for the occasion as it is predominantly orange. It comes in 50g and 100g bars, retailing at around 35p and 69p respectively, and 150g bags (rsp £1). Nestlé Confectionery is focusing on its big brands for Christmas 2015. Quality Street will benefit from new TV advertising and digital media activity, as well as updated packaging and improved recipes for four of the 12 sweets. Newcomers to the range include a 315g lantern-shaped gift carton (rsp £3.99), a 240g mini tin, which has an rsp of £3, and a 550g pouch bag (rsp £4.99). Twistwrap remains one of the key categories for retailers at Christmas, accounting for 30% of all seasonal confectionery sales (Kantar), while boxed chocolates are bought by six million more households during the festive season than throughout the rest of the year (IRI). The After Eight brand has been extended with After Eight Straws (rsp £3.49). Also new are Dairy Box Selection and Black Magic Selection. Both have an rsp of £3. In the children’s novelties category, Nestlé Confectionery has unveiled Smarties Santa’s Chimney (rsp £3), which contains 10 boxes of Mini Smarties. Furthermore, in the adult novelties sector, it has launched KitKat Tin Bus (rsp £5.99). For Halloween, innovations include Mini Smarties Trick or Treat Pumpkin (rsp £3) and Rowntrees Randoms Spooky Mix (rsp £1) – sweets shaped as ghosts, bats, pumpkins and skulls. This year’s Christmas offering from Mars Chocolate UK sees the return of favourites from last year, including Maltesers Merryteaser Reindeer and Galaxy Gift For You White. New for 2015 is a Maltesers Mini Merryteaser Reindeer sharing bag with an rsp of £1.29, and a Mini Merryteaser Reindeer Gift Card (rsp £3). A PoS range has also been developed to maximise impulsive purchases. For Halloween, Mars has introduced M&Ms in limited-edition treat bags and ‘More to Share’ packs. The sweets are black, orange and green – colours that are synonymous with the occasion. Meanwhile, Mars’ subsidiary Wrigley 40

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has released Halloween limited-editions packs of Skittles and Starburst. Skittles Darkside feature flavours such as Forbidden Fruit, Midnight Lime, Blood Orange, Pomegranate and Dark Berry. The 174g pouch retails at around £1.29, while the single pack has an rsp of 51p. Starburst ‘Trick or Treat’ 165g sharing bags (rsp £1.29) contain apple, raspberry and orange flavoured chews. In a concept derived from the trick-or-treat game, consumers have to chew a sweet to find out if it is sweet or sour. According to Mondelez International, seasonal self-eats are a great way to get customers excited about Halloween and are now worth £1.1 million. To drive impulse purchases, focus should be put on bestsellers, says the company. These include Cadbury Screme egg, with its ‘goo-lish green’ fondant centre, and Cadbury Crunchy Spider, featuring Cadbury chocolate filled with green crispy bites. Meanwhile, Mondelez is investing £10 million to promote its festive range – its largest ever media spend (Cash & Carry Management: August 2015). Seasonal impulse favourites, such as Cadbury Dairy Milk (CDM) Snowman – the most popular self-eat brand at Christmas – and Toblerone 60g – the third biggest chocolate NPD in 2014 – return for another year. CDM Snow Bites is also back by popular demand, after selling out in 2014. The company promises that it won’t run out of stock this year! New lines include a 93g Heroes pouch (rsp £1.49) – exclusively for convenience – and CDM Mini Hollow Santas, with five characters in each pack (rsp £2.99). Also new are: Bassetts Santa Babies 165g bags (rsp £1.32), CDM Oreo and Snow Bites baubles (rsp £4.99), CDM Freddo Faces (packs of five) and a 205g CDM Marvellous Creations gift box. These two lines retail at around £3.99.

Boosting biscuit sales Sales of Halloween sweet biscuits in 2014 were worth £1.3 million, with Burton’s Biscuit Company accounting for a 72.1% market share, up 14.7% year on year. The company has unveiled its Halloween and Christmas lines for 2015. The Halloween range comprises four Cadbury Biscuit lines, including new Cadbury Screme Egg Biscuits (rsp £1.79) – a pack of six biscuits covered in Cadbury milk chocolate, with a white and ‘ghoulish green’ fondant filling that has the same taste as Creme Egg.

BRV312214_15

[ SEASONAL ]

It joins Cadbury Mini Animals Halloweenies, Cadbury Halloween Mini Fingers and Cadbury Trick or Treat biscuit assortment. In the first seasonal promotion of its kind for the company, Burton’s is partnering with the film Hotel Transylvania 2 in an on-pack promotion to run across all of its Halloween lines. The promotion gives consumers the chance to win a family holiday for four to Transylvania, as well as runner-up prizes that include DVDs and Sony electronics. Burton’s Christmas range consists of nine SKUs. New this year are Cadbury Delights chocolate biscuits (rsp £1.79), Cadbury Milk Fingers Twin Pack (rsp £3.78) and a Cadbury Dairy Milk Cracker – a Christmas cracker-style carton containing CDM Biscuits (rsp £5). A total of £95 million was spent on seasonal sweet biscuits in the Christmas period last year (16 weeks to 3 January 2015). A new 100g variant of McVitie’s Victoria chocolate biscuit assortment has been launched by United Biscuits (UB). The product has an rsp of £1 and is designed for impulse. Another newcomer from UB is McVitie’s Victoria Sapphire, comprising a selection of chocolate-covered biscuits presented in a 385g pack (rsp £6.50) with a mirroredeffect finish. The McVitie’s Victoria brand is returning to TV this year with a repeat of the popular 2014 advert featuring a chorus of young animals. UB boasts several top performers in the biscuit category,

All data unless otherwise stated: Nielsen

Wholesaler’s perspective “Soft drinks and confectionery have always been strong seasonal categories and Coca-Cola has probably set the benchmark with its hardcore and iconic advertising programme,” says Fida Hussain, general manager at Bestway Brighton. “Suppliers that invest heavily in marketing really thrive during the Christmas period. We have, however, noticed a year-on-year decline in sales of traditional sharing boxes. “We are now being squeezed by the major multiples on price and I know loads of retailers buy these products in bulk at a supermarket because the deals are so attractive. It’s a very competitive market and that’s why we make sure that we regularly replenish and reorder stock to build trust and loyalty.”

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including McVitie’s Family Circle, Jacob’s Biscuits for Cheese Selection, Carr’s Assortment, and Twiglets Antler pack. Elsewhere, McVitie’s Cake Company has introduced three new lines: McVitie’s Chocolate & Orange Digestives Slices and Chocolate & Mint Digestives Slices – both in packs of six – and McVitie’s Orange & Cranberry Jaffa Cake Bars, which have a layer of orange and cranberry jam and are topped with dark chocolate.

Nutty additions According to KP Snacks, 40% of all KP Nuts sales occur at Christmas. The company has reintroduced Christmas designs for its KP Nuts caddy range (rsp £4.29) in three variants: Jumbo Salted peanuts, Honey Roast peanuts and Dry Roasted peanuts. A new addition to the range is KP XL Crunchy Coated Sweet Chilli and Lemon flavour peanuts, aimed at attracting younger consumers into the nuts category at Christmas. Two KP Snacks favourites have also undergone a festive makeover. Pom-Bear Snowmen and Hula Hoops Stars are available in packs of 120g and 210g at an rsp of £2.19. Cheese Footballs are back by popular demand this Christmas and are joined by new Salt & Vinegar Reindeer Bites. Both have an rsp of £3.29.

Soft drink specials Boost Drinks has launched a limited-edition Winter Spice energy drink that is designed to bring a new dimension to the market and an exciting profit opportunity for the independent channel. Winter Spice is a rich and warming drink infused with plum, cloves and cinnamon flavours. Available in 49p pricemarked 250ml cans, it comes in cases of 24 and gives a minimum POR of 45%. Supporting the launch is a fully integrated marketing campaign, including sampling and digital activity and free PoS material. A social media package will promote the product throughout the sales period and will include focus on #spiceupyourwinter. Boost’s sales director Al Gunn comments: “Our Champion of the Independents initiative is seriously building momentum and so we are delighted to have developed this limited-edition product that will not be available in the multiples. “Following recent research, we know that flavours are a key growth area in the energy drinks category and, indeed, our 250ml flavoured SKUs are currently enjoying a 45% yearon-year increase in sales. So we have high hopes for Winter Spice!” Along similar lines, Lucozade Ribena Suntory has added Ribena Winter Spice to its No Added Sugar squash range. The limited-edition variant, which is designed to drive hot drink consumption, has the classic Ribena blackcurrant taste but also features aromatic spices.

All data unless otherwise stated: Nielsen

[ SEASONAL ] Ribena Winter Spice comes in two formats: a 600ml bottle price-marked at £1.69 and an 850ml bottle with an rsp of £2.49. Jo Padwick, marketing manager for Ribena, says: “As the colder weather approaches, so do a number of seasonal events, including Halloween, Bonfire Night and Christmas, which we know are key sales opportunities. “We have developed Winter Spice to target these occasions as a non-alcoholic mulled wine option, as well as being an alternative to tea and coffee.” The launch of Ribena Winter Spice is being supported by a £750,000 investment, which includes in-store activation, press activity and sampling. Britvic Soft Drinks has unveiled a new limited edition for J2O. J2O Midnight Forest is designed to drive new consumers into the adult soft drinks category with its blend of orange and cherry fruit juices combined with an indulgent chocolate flavour. With the strongest ever marketing activation for a J2O limited-edition range, Midnight Forest will benefit from a £2 million campaign, running from October to December. This includes in-store, digital, social media and PR activity. J2O will also be back on TV from November. In addition, by using the mobile phone app Blippar, consumers will be able to ‘blip’ the J2O Midnight Forest bottle or PoS to reveal a bewitched clock. By simply tapping the clock, consumers can instantly win Amazon vouchers worth up to £500, access exclusive drinks recipes using J2O Midnight Forest or take an ’enchanted selfie‘. This initiative is running until 20 December. Kevin McNair, GB marketing director of Britvic Soft Drinks, comments: “As the UK’s largest juice drink brand worth £269 million in retail sales value, we’re confident that J2O’s fantasyworld-inspired Midnight Forest blend will capture the spirit of the season and help drive adult soft drinks sales. “J2O has a strong track record in delivering incremental sales through limited-edition variants in winter – the brand is chosen by over 2.5 million households in the four-week run-up to Christmas (Kantar). J2O Midnight Forest is available in 4 x 275ml packs (rsp £4.39) and 10 x 275ml packs (rsp £9.90). Coca-Cola Enterprises (CCE) has launched special Halloween packs for its Fanta range. A design featuring spooky jack-o’-lanterns appears on the two-litre Orange, Orange Zero and Fruit Twist bottles, as well as the 6 x 330ml and 8 x 330ml can multipacks. The Halloween designs are being supported with themed 44

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in-store visuals, pointof-sale material and an outdoor advertising campaign. In addition, Fanta has partnered with MTV to launch a #TrickorTreat prize draw, which will be amplified on the MTV channel and the brand’s online and social media sites during October. Winners will be unaware if they have won a terrific treat or a terrifying trick until the moment the prize is delivered.

Treating pets too! Last year the dog care & treats category grew by 7.6% over Christmas, while the cat care & treats sector was up by 16.5%. Mars Petcare’s Christmas 2015 treats range includes Pedigree Christmas Dog Stocking, which contains Rodeo Beef, Schmackos Chicken, DentaStix and a rope tug toy. In addition, Whiskas Christmas Cat Stocking features 60g packs of Temptations in salmon and chicken & cheese flavours, as well as a cat treat dispenser toy. Both stockings have an rsp of £3.99, and the Whiskas version is available in pre-filled clip strips, ready to hang in store. Other products from Mars Petcare include limited-edition Pedigree Jumbone in Turkey flavour, Pedigree Schmackos in Festive Turkey flavour, Dreamies Super Mix, and limitededition Dreamies Turkey. Rsps range from £1 to £3. Stephanie Case, category & customer marketing director at Mars Petcare UK, says: “Consumers not only want to treat themselves at Christmas, but they also look to give their pets CCM something special.”

For further information: Boost Drinks (0113) 240 3666 Britvic Soft Drinks (0845) 758 1781 Burton’s Biscuit Company (01727) 899700 Coca-Cola Enterprises (0845) 722 7222 Ferrero (01923) 690300 KP Snacks (0845) 601 7583 Lucozade Ribena Suntory (0800) 096 3666 Mars Chocolate UK (01753) 550055 Mars Petcare (01664) 410000 Mondelez International (08702) 400861 Nestlé Confectionery 020-8686 3333 Tangerine Confectionery (01977) 692500 United Biscuits 020-234 5000 Walker’s Nonsuch (01782) 321525 The Wrigley Co Ltd (01189) 317030

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[ BUYING GROUPS ]

Profile: Sugro/Acorn with Philip Jenkins, managing director What can Sugro offer an unaffiliated delivered wholesaler? The pure goal of Sugro is to provide our members with commercial development, growth and profitability. We are impulse specialists and we provide strong commercial platforms, which are made up of general (Money Maker), value (Quidz In) and retail club promotional structures (Sugro Retail Club). We also offer the equivalent of a cash & carry trading day at our three trade shows a year. As a commercial proposition for retailers, it is one of the strongest in the buying group marketplace. On top of this, 100% of all overrider earnings are paid out, in full, to our members. Unlike other buying groups, we do not implement any form of retention. How has Sugro helped its members to develop their businesses? Communication, coordination and commercial development form the lifeblood of any buying and marketing group. We have a commercial development department, run by Ian Irvine, which assists our wholesalers on a regular basis. This can range from training field sales reps to relaying fixtures. We visit every Sugro and Acorn member at least once a year and we are currently involved in a number of projects to help our members develop their respective businesses. We do things other buying groups can’t do and we do them effectively. We work closely with our members because we know that if they grow, so does Sugro. It’s a win-win situation.

’We have seen huge commercial growth as a consequence of modifying every promotion to suit each wholesaler’s locality’ What separates Sugro from other buying groups? We produce our promotional leaflets in house and we provide an element of personalisation which makes a massive difference to the success of our members. We tailor our national promotions for each member – this not only strengthens the compliant structure for suppliers, but also increases our members’ dedication to run the promotions. We have seen huge commercial growth as a consequence of modifying every promotion to suit each wholesaler’s locality.

What are your plans for the future? EClub and click & collect will continue to be a major focus moving forward as both dovetail perfectly with the work we are currently doing to update our online ordering system. We are embracing technology and looking at ways to make order capturing much more sophisticated. We are currently experimenting with individual depots where customers are presented with an online ordering service, which provides a high-resolution product image with a detailed product description containing prices and CCM nutritional guidance.

Head office: Nantwich, Cheshire Website: sugro.co.uk/acornbuying.co.uk Tel: (01270) 628728/613341

Sugro/Acorn fast facts Sugro members: 57 Acorn members: 25 Combined Sugro and Acorn group turnover: £870 million Largest Sugro member: Kitwave Group New Acorn members in 2015: Seven Acorn membership fee: £0

September 2015

Sugro testimonial: Iain Hill, Renfrewshire “Two of the main drivers in joining Sugro 12 years ago were to gain access to supplier promotions and to benefit from the increased buying power of a large group, whose membership was made up of businesses similar to us. Sugro was the first buying group to recognise the significance of the £1 price point by

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introducing Quidz In Pound Zones, which have been phenomenally popular with our customers. Sugro’s Retail Club also allows us to offer a point of difference, and participating in Sugro’s retail initiatives has generated growth for our business.” Iain Hill, managing director

SERVING INDEPENDENTS

RECOGNISED BY RETAILERS FOR SERVICE AND RELIABILITY • Strategically Commercial

Sugro UK Ltd

Whitewell House

69 Crewe Road, Nantwich Cheshire CW5 6HX T: 01270 628728

F: 01270 623069

E: info@sugro.co.uk

ONLINE

• Provider of Industry Leading Promotions • Supporter of Brands

www.sugro.co.uk

[ BUYING GROUPS ]

Profile: Sugro/Acorn with Ian Irvine, head of commercial development What differentiates Acorn from Sugro? One of our unique selling points is that we do not operate a membership or joining fee. At Acorn, we want to provide a stepping stone for smaller wholesalers to expand and eventually graduate to Sugro. There are a lot of frustrated smaller independent wholesalers who want to grow, but can’t grow. That’s where we think Acorn can serve a real purpose. We set up Acorn in 2010 because we identified that there are many wholesalers who don’t have the mass or volume to get on the radar of major suppliers. We remove these barriers to entry and provide exposure to national account managers to help transform their business. Every member can access our central distribution system, where they can take advantage of group promotions and are able to order smaller pallets. We put the framework in place for our members to potentially open a direct account status with suppliers in the future. Can Acorn members benefit from some of the services afforded to Sugro wholesalers? For the last four years, Sugro members have been able to use our EClub facility to contact their retail customers directly with bespoke promotional deals, alongside generic information. Earlier this year, we rolled out the service to Acorn members and now all our members can use the facility for free to broaden their customer base. How does Acorn’s membership size compare with Sugro? It is still some way short, but we have recruited 11 new members during the past 18 months. We now have 25 wholesalers in total, including Jet Business Solutions in Staffordshire which joined two months ago. Why should a wholesaler choose to join a buying group? The landscape of the industry is changing and more brand owners are now recognising the opportunities that exist within the wholesale industry. The 48

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’At Acorn, we want to provide a stepping stone for smaller wholesalers to expand and eventually graduate to Sugro’ outlook for convenience stores is a lot more positive than the high-street multiples, and buying groups are the first port of call for suppliers looking to trade in the wholesale sector. Every wholesaler should be affiliated to a buying group because many suppliers are increasingly unwilling to open new accounts with small businesses. The criteria is very strict, and as the minimum drops increase and credit checks get more stringent, it’s very difficult to transform a small business without the support services provided by a buying group.

What development opportunities currently exist in the marketplace? The discounters like Aldi and Lidl are making great strides forward, but what people don’t realise is that there is a plethora of independent and unaffiliated discounters out there on the high street. We are always on the lookout for relatively untapped category outlets and we use our business development team to identify new business opportunities. We work hard to match up prospective customers with our Acorn and Sugro CCM members.

Acorn testimonial: PLA Soft Drinks, Liverpool “Since joining Acorn in 2014, we have enjoyed the benefits of better prices, promotions and overrider retro discounts. Upon joining the group, we were also contacted by a number of prospective suppliers and this has enabled us to expand our existing range of soft drinks and to diversify into snacks, too. But perhaps the greatest benefit of being a member of

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Acorn is having access to the central office team, all of whom are extremely helpful with any queries. Our main commercial development contact has been especially helpful during the setup process, showing us how to access promotions and recommending products that would complement our existing ranges.” Les Ashton, manager

Calling all Wholesalers... ...is your business ready to GROW Join our Specialist Impulse Buying and Marketing Group... The benefits of joining this NEW exciting Group:

Underpinned by the strength, experience and achievements of Sugro UK. Industry best promotional activity designed to grow your business. Provide your customers with the full benefits of drop shipment.

No Membership fee. Our Business Development Team have a proven track record in working with small and medium sized independent impulse wholesalers, and taking them to the next level... by significantly growing volume and profit! Simply go to the Acorn Buying & Marketing Group website www.acornbuying.co.uk and fill in the application page; you will then be contacted to progress your application. Alternatively, you could e-mail registration@acornbuying.co.uk or simply pick up the telephone and dial 01270 613 341.

Acorn Buying & Marketing Group

Join the winners at Acorn

[ BUYING GROUPS ]

Profile: Today’s Group with Bill Laird, managing director What sets Today’s apart from other buying groups? We constantly scan the environment for changes that will present us with either challenges or opportunities. We have recently created a new presence in the on-trade sector by providing licensed outlets with a wider choice and range of services via our members, who collectively represent £500 million. We have also invested in the breadth of support services we give to our members to ensure their customers get the latest and best advice, guidance and practical assistance. Which of your support services are valued the most by your members? We invest significant time and effort in building relationships with suppliers to minimise the very blunt transactional attitudes which perhaps exist amongst the major multiples. We highlighted a few years ago that creating trust and a higher level of interdependence with our wholesalers and suppliers would create sustainable growth. What is the biggest challenge facing wholesalers at the moment? One of the biggest risks for wholesalers is complacency – every retail and catering customer has an option to spend their money elsewhere, therefore regular reviews of in-depot service standards, stock availability, promotions, and maintaining a relevant core range are all must-dos. Simply doing what

you’ve always done will no longer be good enough. How can your members achieve and maintain customer loyalty? For those focused upon retail, they should ensure that availability, ranging, promotions and retail support services are 100% all of the time. This is a great time to be in the convenience sector, given the current performance of the mainstream multiples. Those wholesalers who exploit this will lock in customer loyalty for the long term. In terms of foodservice, it’s all about differentiation from the main national players. Regional operators have a unique opportunity to excel at customer service. They may know their main customers and users by name and may

also have long-standing relationships with them. Price is not the only way to retain loyalty, although I appreciate that it’s an attention grabber at times. What technological trends should your members be taking advantage of? Earlier this year, we launched a new Plan for Profit app in response to a number of retailers accessing the website via their mobile phones and tablets. The app enables retailers to locate their nearest Today’s member depot, as well as giving our wholesalers the ability to upload their latest deals and enabling their customers to access the promotions that are available in the local area. This represents a great opportunity for our members to increase visibility with CCM customers digitally.

Head office: Doncaster, South Yorkshire Website: todays.co.uk Tel: (01302) 249909

Today’s fast facts Wholesale members: 160, operating out of 182 depots Total group purchasing power: £5.7 billion Three divisions: Retail, foodservice and on-trade Own-brand lines: 137 Retail club members: 1,600 Symbol group retailers: 434 Latest recruit: Pricecheck Toiletries

September 2015

Member testimonial: Hughson Bros, Shetland “We are one of the original founding members so we have been with Today’s right from the start. We were moved from a group three member to the group one category some years ago and we now benefit from far more support services. The deals they negotiate at central office have helped to develop our business considerably and they even create pointof-sale material for our trade days as well.

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If we ever have any issues, they are always available to help and we remain loyal for that reason. The head office team have been instrumental in our growth and without them, we would not be as big as we are. Personally, I have experienced being part of other buying groups but Today’s really stands out above any other.” Carl Cross, director

DO YOU FEEL VALUED BY YOUR SYMBOL GROUP?

YES Congratulations, you’re probably with Today’s. When asked, 81o/o of Today’s retailers said they felt valued, the highest score out of all 12 symbol groups that took part.*

NO You have our sympathy. If you’d like to develop a great relationship with a Symbol group, talk to us at Today’s and benefit from the support of independent wholesalers who recognise and value independent retailers. To join our winning team visit www.todaysplanforprofit.co.uk or www.todays.co.uk.

*Source: him! Symbol Track 2014

[ BUYING GROUPS ]

Profile: Country Range with Coral Rose, managing director Head office: Altham, Lancashire Website: countryrange.co.uk Tel: (0845) 209 3777

Country Range fast facts Wholesale members: 13, operating out of 18 depots Own-brand lines: 813, including 44 NPDs this year Latest recruit: Dunns Food and Drinks Largest members: Thomas Ridley Foodservice and Creed Foodservice Stir It Up magazine circulation: 21,000 independent caterers

What philosophy does Country Range abide by? Our mission is to make sure our members grow the fastest and most profitability. We are all about quality, not quantity. We grow through the growth of our members and our combined group turnover is up 8% year on year. We are focused on making sure our members become the foodservice wholesaler of choice for independent caterers and the main route to market for suppliers. What is the group’s main point of difference? I don’t think anybody else can deliver a magazine as relevant as Stir It Up. Speaking to suppliers, Stir It Up is regarded as the best-in-class publication. In a recent survey, 80% of our readers said that what they read in the magazine directly influences their business or menu decisions. This also adds credibility to our members because they are the ones delivering the magazine to the caterer.

to augment these developments by providing central access to improved group promotions and added-value services. We recognise that implementing certain initiatives is cost-prohibitive for our members to do themselves. How have your support services evolved to correspond with customer demands and latest market trends? When we first launched Key to Nutrients (K2N) in 2011, the software was more specific to education and providing schools with recipes that are compliant with nutritional guidelines. Our business was mainly conducted in the cost sector and we then developed K2N Plus to provide a clear menu plan and diary tool that is ideal for care homes to track the weekly consumption of a resident. Since then, K2N has become more relevant to the profit sector because of the allergen information. Caterers can now add their

What investments have been made over the last 12 months? We have recently moved to a larger head office in Altham, Lancashire, and we now have a professional development kitchen on site which is a fantastic facility to develop our own-brand range. We previously struggled to host meetings at central office, but we can now hold trade, sales, telesales and board meetings. Our members are investing in their businesses tremendously and we are trying 52

September 2015

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own recipes and substitute ingredients to make sure they adhere to specific diet requests. What are your plans for the future? Foodservice training is fairly limited in the industry and we will be extending our CRG Sales Academy in two ways. Firstly, we will be developing additional modules for the field sales team and the training will be devised in a format so that it can be delivered at a pace and culture to suit each member’s business. We are also constructing a new training programme for telesales and investigating opportunities for training across other functions. To boost our profile, we are also looking at ways to enhance Stir It Up. The magazine is the main catererfacing element of County Range and we want to use it to connect with our members customers’ more and to better CCM understand their needs.

With the resource of a national group and the personal service of regional wholesalers, we have a winning combination which is serving an increasing number of caterers in all sectors of the industry.

Sharing category and customer sales data to accelerate the growth of your brands. Sales data Performance tracking Country Range is a professional foodservice brand trusted by caterers to consistently deliver quality and performance at great value. From store-cupboard essentials to fantastic finished products there are over 800 lines available. Visit our website for recipe inspiration.

countryrange.co.uk

K2N – The secure online tool that helps you take control of nutrition as well as many other aspects of your food preparation and planning.

Customer Channels Performance and penetration

• Over 9000 ingredients in our database including all 14 allergens

Insight Group, member & product analysis

• More than 300 set recipes of ours to choose from or easily create your own

Data History Up to 3 years back

k2n.co.uk

Personalised Report Emailed to your inbox

• Vision • Scale • Independence Foodservice Inspiration

Read by over 50,000 caterers every issue “Proven to influence caterer purchasing behaviour”*

@stiritupmag * Stir It Up Readers Survey 2015

Visit our brand new website

stiritupmagazine.co.uk

[ BUYING GROUPS ]

Profile: Confex with Tom Gittins, business development manager What sets Confex apart from other buying groups? We have such a diverse membership and supplier base. We cover every single product category and deal in everything from condoms to washing detergent. Soft drinks is our biggest category, but the breadth of our supplier base is increasing as our members diversify into other markets. We try to encourage a synergy of growth by improving the link between our members and brand owners. What promotional benefits can your members take advantage of? Our eSavers programme continues to grow and this is a real attraction for prospective members. Based on our national promotions, members can tailor their own brochure by rebranding and adding their own products and prices. We are now producing £250,000 hard copies a month, plus digital versions, and this provides a great marketing tool which is on par with national wholesalers like Booker and Bestway. Why should a wholesaler/cash & carry join Confex? We are always looking for new members and ways to strengthen the group’s buying power. We recognise that smaller wholesalers in particular do not have the time or resources to perform the same functions as a national business. Our marketing expertise and services have become a vital component in assisting

our members to run their own promotions, social media platforms and mobile apps. We are focused on helping all wholesalers to sell more so they can stay competitive and concentrate on winning new business and offering their customers a complete service. What does the membership application process involve? One of our unique selling points is that we do not operate a membership fee. This helps to remove the barriers to entry, which perhaps prohibit smaller wholesalers from joining other buying groups. Confex is also independently owned, which means we don’t have a committee of members who approve a new recruit. As long as they deal with at least five of our existing suppliers and can add something to the group, the

location of a wholesaler/cash & carry is irrelevant to the decision process. Do you request that your members invest in/transform their respective businesses in any way? As a group, we encourage our members, especially delivered wholesalers, to embrace technology by connecting with their local community. The nextgeneration of wholesalers are already implementing digital strategies and have a strong online presence. We provide our members with an online social media handbook, as well as access to our social media consultant. We also hold a product image bank which displays every range, NPD and promotion. This is updated regularly and enables our members to log in and promote specific CCM lines on their own website.

Head office: Moreton-in-Marsh, Gloucestershire Website: confex.ltd.uk Tel: (01608) 652333

Confex fast facts Founded: 1972 Wholesale members: 312 (including associate members) Total group turnover: £1.997 billion, up 1.4% on 2014 Largest member: Millennium Cash & Carry Latest recruit: Seldon UK Own-brand lines: Over 2,000 Supplier sales growth: Up 14.6% in last 12 months (8.2% year to date)

September 2015

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35% Proportion of members using the eSavers brochure

We understand the uphill struggle... ...it takes a team effort to achieve your full potential Circa £1.9bn Member turnover ● Over 200 Official Suppliers ● Wide range of product categories ● Preferential Trading Terms ● Central Distribution facility ● Bespoke brochure production ● Annual Trade Show ● Weekly Payments ● Developed Own Brand ● No Membership Fee ● No Joining Fee ●

“As a key buying group partner, Confex manages complex communication between us, its Wholesale Members and their Retailers, generating mutual business benefits for all parties.” Bruce Simpson, Coca Cola Enterprises

“My overall margins have increased and it is now a lot easier to compete with the purchasing power of national wholesalers.“ Nick Walden, Sales Director of Ashton Farms

35 NEW

Memb ers in 2014 Call 01608

652333

Membership enquiries welcome enquiries@confex.ltd.uk www.confex.ltd.uk

Don’t be left on your own, join the Group and get purchasing power

[ BUYING GROUPS ]

Profile: Fairway Foodservice with Chris Binge, chief executive Head office: Huddersfield, West Yorkshire Website: fairwayfoodservice.com Tel: (01422) 319100

Fairway fast facts

Fairway’s ‘Meet the Member’ event in March 2015 generated over £830,000 of purchases, with new frozen, chilled and ambient lines listed by group members.

What is Fairway’s unique selling point? We’re passionate about enabling independent wholesalers to be exactly that – independent. Each member knows its own locality and customer base, so we don’t dictate how they operate. We respect their desire to retain control of their business, and focus on providing the advice, tools and solutions they need to increase their profitability, professionalism and sales. We complement what they do by providing better buying power than most independents can achieve on their own. The bottom line for us is that we are a professional buying and marketing organisation that’s owned exclusively by our members and works only for our members. What investments have you made in the group over the last 12 months? We’ve invested heavily in implementing new educational systems to help members and their customers. Our most recent development is a menu planning and nutritional system, which is so simple to use and is now going through testing with customers before a general launch. In light of our growth as an organisation, we moved to a new head office in Bradley, Huddersfield, last month. What are your plans for the next 12 months? We will be looking to make our Erudus database available for caterers to use through Fairway members as an added 56

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customer benefit. We will also continue to develop our own-brand range, which gives members and caterers the quality, functionality and value they demand. We believe that we under-trade in chilled products, and we will be looking for national logistics solutions to address this for our members. Are you actively seeking to recruit new members? We’re keen to welcome new members to the group. We are looking for businesses to join who are principally involved in distribution to foodservice customers or have clear plans to move into supplying foodservice. Businesses must be financially sound and have some form of external accreditation (BRC, STS or similar). Above all, we are looking for businesses who have a desire to join and can ‘bring something to the party’ – whether it be experience, knowledge,

Founded: 1984 Wholesale members: 17, operating from 24 depots across the UK, Ireland and Spain Combined group turnover: £556 million in 2014, up 11% on 2013 Own-brand lines: More than 560 SKUs Product database: Access to 25,000 products via Erudus

purchasing power involvement.

enthusiastic

What advice would you give to wholesalers/cash & carries looking to expand and increase turnover? Maintaining a strong individual identity is crucial for successful independent wholesalers. Everyone talks about service as being crucial to success, but how many really understand what good service actually is? The other aspect that is taken for granted is relationships. Foodservice is all about relationships at every level of business – people buy from people they like. One of the real benefits of our twice-a-year ‘Meet the Member’ events is that it gives wholesalers an opportunity to get their heads together and talk about the industry, how they’ve grown and what challenges they’re currently facing. CCM There’s wisdom in crowds.

Member testimonial: Q Catering Supplies, Kent “We joined Fairway Foodservice in April 2014, and it’s already made us a lot more competitive. We’ve traditionally operated in ambient and chilled but branched out into frozen five years ago. Fairway’s strong background in frozen attracted us to the group. We’re now on course to achieve a 12% rise in turnover to £7 million this year. We get a lot else besides the buying power

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and access to the very good own-label ranges. The networking and ideasharing with other members is invaluable – we’ve just taken some advice about updating our IT systems – and the Erudus database, which Fairway has championed, is probably the most up-to-date and complete database in the UK at the moment.” Roger Snelling, managing director

*Subject to purchases from nominated suppliers

Would you like a bigger bite of the cherry?

GUARA NTEED TO

INCREA YOUR INCOMSE E! *

Fairway Foodservice has over 30 years experience in the foodservice wholesale sector. Comprising of 17 member companies throughout the UK, Ireland and Spain and a group turnover of £556m, Fairway supports independent wholesale companies with Purchasing, Marketing and Technical assistance.

Our members receive... ✓ Market information and data ✓ Over rider payments based on purchasing ✓ Two Price Lists a year FREE ✓ Two Brochures a year FREE

✓ Year Planners & Calendars FREE ✓ VIP access to our online systems ✓ Erudus One subscription discounts ✓ Invitations to our Meet The Member Events

If you are interested in joining our friendly, innovative and progressive organisation then please visit fairwayfoodservice.com or call 01422 319100 for more information.

Founders of:

erudus

[ BUYING GROUPS ]

Profile: Landmark Wholesale with Martin Williams, managing director over-invest in our own-brand range. All 450 products under the Caterers Kitchen brand have just been relaunched with new packaging. We finished our financial year with 3% growth across own-brand, but we are now looking to increase this figure with enhanced promotions and a new pricing strategy.

Landmark fast facts Wholesale members: 37, operating out of 110 depots Total group turnover: ÂŁ3 billion Latest recruits: EDA Quality Foods and Country Fare Largest member: AF Blakemore Own-brand ranges: 19 Lifestyle Express fascia stores: 1,800

What support services can your members take advantage of? Our members are able to benefit from a very competitive trading terms package and have access to everything from customised IT support and insight data to overriders and central distribution. We are working on a new communication and online-ordering app, and continue to

Are you looking to expand your membership? We have 37 members, which is probably the most we have had in a very long time. We are just about to announce a new addition to the group and we are very close to securing another member, which will be very big news for the industry. We have never put a cap on our membership, but we are mindful about expanding above 40. We try to avoid our resources becoming stretched because we want to work closely with our

members and ensure they receive the best possible service. How do you allocate your resources across the different sectors? Retail is still our heartland and this is being driven by Lifestyle Express. Our sales into Lifestyle Express stores were up by 13% last year and we have refurbished several sites since as well. We have also made massive inroads in expanding our foodservice proposition. We have recently launched Caterers Connection to provide our members with better access to pricing, marketing tools and supplier investments. Foodservice has been very fragmented in terms of buying and trading so we are now maximising the strength of the group by coordinating business with members and suppliers collectively, rather than CCM individually.

Head office: Knowlhill, Milton Keynes Website: landmarkwholesale.co.uk Tel: (01422) 319100

Promo Checker is a website reporting national promotional activity from suppliers in key wholesale outlets

â&#x20AC;&#x153;Promo Checker enables me to quickly get a rounded view of all relevant promotional and competitor activity. This is mainly down to its concise and informative format.â&#x20AC;? John Sutcliffe, out of home & convenience channel controller, Taylors of Harrogate

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