Cash & Carry Management Nov 21 by Cash & Carry Management

SPOTLIGHT ON STEVE LEACH OF NISA RETAIL

THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS

The best in foodservice: winners of the CCM Chefs’ Own-Brand Awards 2021

DRIVE TO SUCCEED

Chloe Ball rises through the ranks at Blakemore’s

Leaders discuss ideas to tackle trade challenges

NOVEMBER 2021

Contents

November 2021

This month don’t miss... 09

Co-op chairman Allan Leighton to become GroceryAid president.

SWA provides roadmap for wholesalers to get to net-zero.

Winners of the CCM Chefs’ Own-Brand Awards announced.

ESSENTIALS 05 06

Editor’s Comment Industry News

FEATURES 12

FWD Conference At the FWD Conference, wholesalers considered the multitude of challenges facing the industry.

In Focus Chloe Ball, operations manager at AF Blakemore, talks about smashing barriers in business.

Spotlight Steve Leach, sales director of Nisa Retail.

CCM Chefs’ Own-Brand Awards The best own-brand products from foodservice wholesalers are named by our expert panel of judges.

Nisa Retail’s sales director Steve Leach with Elsie, the Labrador welcomed into his family as a puppy during the pandemic.

CATEGORY INSIGHT 24 30 34 36

Savoury Snacks Breakfast Cigars Update Christmas Drinks A round-up of supplier activity, along with insight from Parfetts’ trading director Gurms Athwall on the key factors that will determine success during the festive period.

Health is a driver of choice for the breakfast occasion.

Will your sales of Christmas drinks sparkle this year?

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November 2021

Financial Grants

Covid-19 Fund & Advice

Counselling & CBT Support

AI Emotional Support

Health and Wellbeing

WE’RE HERE We provide emotional, practical and financial support for all grocery colleagues through the 24/7 Helpline and website.

Online Wellbeing Community for ages 11-25 Family & Relationship Support Workplace Critical Incident Support Managers Help & Information line Telephone Information Specialists Debt Advice

Scan the QR Code

GROCERYAID HELPLINE:

08088 021 122

Gambling Support

Legal Advice

groceryaid.org.uk

A real test of leadership udyard Kipling’s poem ‘If’ has inspired and motivated people across the world since it was first published in 1910: If you can keep your head when all about you Are losing theirs and blaming it on you, If you can trust yourself when all men doubt you, But make allowance for their doubting too… You’ll be a Man, my son! Kipling’s poem – the start and finish of which many know off by heart – still holds relevance today for aspiring leaders, whatever their gender. At just 26 years old, Chloe Ball manages more than 150 people at AF Blakemore and earlier this year won an Amazon Everywoman in Transport & Logistics Award. She spoke at the recent Women in Wholesale conference about leading her team through the pandemic. At the height of the crisis, Ball was checking in with her staff every hour. “We could never be more than one hour out – if something was going wrong we were able to fix it quickly – and that really enabled me to direct my team to deliver what we needed,” she explained. She added: “I think it is important to act as a role model to everyone around you and help your colleagues to raise the overall team performance.” As well as keeping her head in

The best in foodservice: winners of the CCM Chefs’ Own-Brand Awards 2021

DRIVE TO SUCCEED

Chloe Ball rises through the ranks at Blakemore’s

Leaders discuss ideas to tackle trade challenges

Kirsti Sharratt Managing Editor

NEVER MISS AN ISSUE...

SPOTLIGHT ON STEVE LEACH OF NISA RETAIL

THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS

challenging situations, Ball trusted herself when others doubted her. “I’ve definitely been in circumstances where people don’t respect me because I’m a younger woman,” she said. “Others may be more experienced but I know that I can bring things to the table that they probably haven’t thought of…The proof really is in the pudding: your [positive] results will gain people’s respect and confidence in you as a manager.” How leaders act during a crisis is often considered the real test of their capacity to lead. In this issue, there are plenty of examples of effective leadership: see page 15 for the article featuring Chloe Ball and pages 12-14 for suggestions from senior leaders on how to solve some of the industry’s current problems, from reduced availability of stock to product price inflation. One thing that business leaders advocate is celebrating success. We do just that with our CCM Chefs’ OwnBrand Awards (pages 17-23), which are held in partnership with the Craft Guild of Chefs and recognise the best foodservice own-brand products in the UK. The quality of these items is often as good as, if not better, than their branded equivalents, and that’s something to applaud. Congratulations to all of our winners.

NOVEMBER 2021

Cash & Carry Management is free to cash & carry and delivered wholesale directors, buyers and managers. The magazine is available to other subscribers for just £74 a year or £7 per copy. Overseas yearly subscriptions are priced at £95. Back issues dating back to 2011 are available online. Email mail.winlove@btconnect.com or call (01342) 712100 for more information.

[ EDITOR’S COMMENT ]

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 Contributor Siobhan Kielty Contributor Kevin Whitlock ADVERTISING AND MARKETING Publishing Director Martin Lovell Media Sales Manager Clare Phillips 4,448 July 2018 – June 2019 Audit Bureau of Circulations Printed by Bishops Printers ISSN 1352-254X All media rates, feature lists and deadlines can be accessed online by visiting: cashandcarrymanagement.co.uk

THREE WAYS TO GET INVOLVED THIS MONTH 1. ONLINE Catch up on all the latest news via our website, including developments from wholesalers and suppliers, and view our current online magazine edition, as well as back issues. cashandcarrymanagement.co.uk

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3. TWITTER Follow us to receive breaking news, plus live updates from industry conferences. @CandCManagement

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November 2021

[ INDUSTRY NEWS ]

Positive results

Scotland’s SPAR wholesaler and retailer CJ Lang & Son increased turnover by 9.4% to £212.5 million in the year to 30 April 2021. Pre-tax profits doubled to £3 million, but CEO Colin McLean was quick to emphasise that this “was not about a one-hit wonder but about a strategy that is delivering”. There has been a turnaround in the business since a new management team, led by McLean, was brought in three-and-a-half years ago. At that point, profits stood at around £500,000

Company-owned stores saw 10% like-for-like growth.

Data insight Confex has gone live with Confex Data Insight, a sales reporting platform by TWC that is designed to bring competitive advantage to its members and identify opportunities for suppliers. Hosted on TWC’s SmartView platform, the service is designed to give a reliable read on group sales performance, including Central Distribution, and evidence what is happening across the group, providing unique insights to the head office team, its suppliers and members. This will help them to understand market influences and opportunities. a Confex (01608) 652333 a TWC (01908) 101389 06

November 2021

and there had been five years of sales decline. Finance director Craig Tedford confirmed that the company’s growth is continuing: “Six months into our new financial year we are seeing 11% like-for-like growth in turnover over the same period two years ago. “What that says is that the growth trajectory that we were on pre-pandemic is continuing, but what happened during the pandemic was a spike as a result of consumers choosing to shop more locally than they had previously.” Around 20 independent stores joined SPAR Scotland in the past 18 months, taking the total to 244. CJ Lang’s company-owned estate will benefit from a major programme of refurbishment works, commencing in 2022, and this will facilitate an improved chilled and fresh offering. a CJ Lang (01382) 512100

Trade show success

A one-day food and drink show hosted by United Wholesale Scotland at its Queenslie depot boosted sales by 27% and increased footfall by 41% compared to the same day last year. Head of marketing Naeem Khaliq explained: “We set up the show to create awareness of our new United Connect App and to showcase its new features aimed at the cash & carry customer, such as our ability to send notifications/vouchers direct to retailers based on their shopper profile. “We had more than 520

customers visiting the depot, with 294 new app sign-ups (the rest being existing app users).” A total of 67 suppliers attended the event, which featured around 70 deals, with half of these only available through the app. A specific aim of the event was to highlight NPD for Christmas. Khaliq added: “Due to the success of this event and the direct impact it had on supplier and retailer interaction, we will run similar events in the future.” a United Wholesale Scotland 0141-781 6600

for new, innovative and inspirational ingredients. “As the home of exceptional Spanish ingredients, we pride ourselves on the ability to source great food of exceptional quality. Spain still preserves much of the traditional uses of land and food production, so it is a win-win for consumers and the artisan producers that

we partner with. “We help these producers to preserve rural communities by finding new markets and buying directly from source which enables us to offer great value to the consumer but also fairly trade with our producers in a sustainable way.” Menendez added: “The retail market is an exciting market to enter, and we are reaching out to independent retailers as well as farm shops across the UK. “Our new and innovative retail range is unique, highly relevant and represents the very best of Spain.” a Mevalco (0117) 982 6540

Mevalco expands into retail

Spanish fine food importer and wholesaler Mevalco has extended its offering to the independent retail market. A new range has been specially developed and includes meats, artisan cheeses, cheese accompaniments, sweets, olives and pickles, pulses and vegetables, olive oil, vinegars, spices, sauces and seafood. Joint managing director David Menendez said that the retail market was a natural next step for the business: “We know from the growth of our private clients and from our professional customers that there is a growing appetite from consumers

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[ INDUSTRY NEWS ]

Budget relief measures fall short News that the Government is to introduce temporary business rates relief for eligible retail, hospitality and leisure properties for 2022-23 has been welcomed by the FWD, but the industry body is waiting for details to see if the initiative includes wholesalers. Under the scheme, eligible properties will receive 50% relief, up to a £110,000 per business cap. FWD chief executive James Bielby insisted: “This discount must also apply to the food and drink supply chain which supplies our vital public sector infrastructure in this country and which has received comparatively very little help from the Government throughout the pandemic.” The FWD also said that the continued freeze of HGV Vehicle Excise Duty (VED) for 2022-23 and suspension of the HGV Levy for another 12

months from August 2022 were measures that did not go far enough to address the driver shortage. Bielby commented: “The shortage of HGV drivers has been a significant challenge for wholesalers. We welcome the steps announced by the Chancellor to mitigate the impact of the shortage; however, these measures are no substitute for placing HGV drivers on the shortage occupation list, providing access to a greater pool of labour.” The announcement by the Government to freeze fuel duty UK-wide in 2022-23 was “very much welcomed” by the FWD, but the trade body questioned the timing of an increase in the National Living Wage. This will boost the pay for individuals aged 23 and over by 6.6% from £8.91 to £9.50 an hour, effective from 1 April 2022.

James Bielby: Waiting to see if temporary business rates relief applies to wholesalers.

“Whilst our members support the National Living Wage in providing a minimum wage standard, we have concerns regarding the forthcoming increase during a time of major economic upheaval,” said Bielby. “The COVID-19 pandemic and Brexit have seriously impacted wholesalers’ revenues and disrupted the growth of their businesses. Further costs will detrimentally

SPAR adds festive sparkle

SPAR has launched its new own-label Christmas range in a red livery that aligns to the marketing creative in-store and online. The updated range has also been extended with new lines across several fresh food sub-categories. SPAR’s limited-edition sandwich programme continues this festive season with the return of Turkey Feast and the addition of a Brie & Cranberry variant. Both lines will be available from 15 November, and 10p from the sale of each sandwich will be donated to Marie Curie. In-store from 13 December will be two new own-label lines: SPAR Pigs in

A selection of lines from the 2021 SPAR Brand festive range.

Blankets and Stuffing Balls. In the frozen category, the group has launched five new all-year-round products as consumers continue to look for a value solution and aim to reduce food waste. SPAR Curly Fries, Potato Wedges and Corn on the Cob have

joined the party food range, while two frozen fruit lines (Raspberries and Blueberries) are also new. The SPAR Christmas 2021 range will be supported instore with digital, PoS and marketing activity. a SPAR UK 020-8426 3700

impact the sector. Looking ahead, there should not be a fixed target to achieve 66% of medium earnings – the Government must and should consider the economic impact such decisions will have on the sector and the wider economy.” Bielby also commented on the proposed 5% cut to duty rates on draft beer and cider: “Whilst we welcome steps to reduce alcohol duties, creating a distinction between the on and off-trade is a harmful way of doing so. It will create costly administrative burdens for our members and risk an increase in alcohol duty fraud. We would urge the Government to rethink this approach.” The Government is publishing a consultation on the detail of these reforms, which will close on 30 January 2022. a FWD (01323) 724952

New policy

Brakes has introduced a new packaging policy, reinforcing its commitment to ensuring that suppliers maximise the use of materials that are recyclable, reusable or compostable where appropriate. The wholesaler has also committed to the minimisation of waste, reduction of carbon to produce and transport packaging, and minimisation of the use of resources throughout the production process. In October, the business completed a roll-out of new LED lighting across its UK depots, and M&J Seafood was named the MSC (Marine Stewardship Council) Foodservice Wholesaler of the Year for the eighth year in a row. a Brakes (01233) 206000

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November 2021

[ INDUSTRY NEWS ]

Staffing difficulties

With the number of job vacancies in the UK hitting a record high, pressure on the wholesale industry is “extreme”, according to Mark Jenkins, Brakes’ supply chain & operations director. He told BBC News: “For every two people we hire, only one person stays because there are other jobs in the market. “Wages have gone up by 15% to 20% in some parts of the business in order to attract the right kind of people. And on top of that we’re paying retention bonuses to hang on to the staff we do have.” a Brakes (01233) 206000

Aintree depot expansion Parfetts recently completed an expansion of its Aintree depot. A dedicated loading area has been created for delivered operations, which have grown by 40% in the last two years from the Aintree site. The depot now serves customers across the North West from North Manchester into the Lake District and down to Stoke-on-Trent, and has hired 25 new employees to cope with demand. Fisher-Hibbs, Anthony general manager at Parfetts Aintree, commented: “The expansion of the depot will create the capacity we need to continue to grow our delivered business while

providing a better experience for our visitors.” A new dedicated picking area has also created more room for customers. Fisher Hibbs added: “We have experienced significant

growth through the pandemic as new retailers tried us for the first time and stayed. We aim for turnover to hit £3 million a week over the coming months.” a Parfetts 0161-429 0429

in 1980 and now has 15 employees. Joe Kershaw said: “My grandfather owned J.W. Swithenbank Ltd, which was run by his four sons. My father later bought the business and operated it as Burbank Produce Ltd for 15 years, before selling it to Total Produce, where my brother and I have worked for the last three years. “We felt the time was right to branch out on our own and approached Trevor, who used to work for my grandfather over 40 years ago!” First Choice Naturally supplies more than 2,500 products to catering businesses, schools, retailers, restaurants, bars and nursing homes in West Yorkshire. The Kershaws now plan to expand the footprint of the business across Yorkshire. a First Choice Naturally (01274) 737747

A recent networking event held by NBC at Cotswold Water Park attracted more than 100 delegates, including executives from over 30 suppliers. In addition to individual supplier-wholesaler meetings, NBC’s managing director David Lunt took the opportunity to report on the group’s progress. “Since our inception [in 2019] we have grown our membership to 48, representing over £500 million in turnover; secured trading

agreements through annual plans with over 50 key supplier partners; returned over £2 million in rebates to members, in full and on time; and achieved over £30 million in sales through our central distribution facility, National Distribution Network. “We have also delivered on our promise of providing a unified solution for members and suppliers, and we continue to build the capabilities of the group to go further.” a NBC (01608) 692410

Kershaws branch out

Brothers Joe and Tom Kershaw are following the family tradition after acquiring First Choice Naturally – a Bradford-based supplier of fresh produce. The Kershaws have bought a majority share in the business from husbandand-wife team Trevor and Wanda Hinchcliffe. The Hinchcliffes’ son, Richard, is remaining as a director and shareholder of First Choice Naturally, which was founded

Joe (left) and Tom Kershaw.

November 2021

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‘A unified solution’

Investment and support At this year’s SPAR Retail Show, Blakemore Trade Partners highlighted ways it is investing in independentlyowned SPAR retailers. The event took place virtually and was attended by retailers from across SPAR UK’s Meridian & Welsh Guild, as well as Blakemore employees and suppliers. AF Blakemore’s group commercial managing director Jerry Marwood said: “The SPAR model of independent businesses collaborating for mutual benefit works now more than ever. Being part of an organisation that protects your independence is vital for a vibrant retail community. We are truly stronger together.” A key initiative is the New Era stores programme, and the first store to be involved, Blakemore Retail’s Bala shop in North Wales, has delivered ‘exceptional results’ and is

soon to be followed by several independent stores in the Meridian & Welsh Guild. Blakemore Trade Partners will be working closely with retailers to develop their stores, providing design, range, pricing and marketing support, as well as the finance to deliver the projects. Delegates heard from Conrad Davies, an awardwinning retailer, on how coinvestment from Blakemore’s

enabled him to carry out a store development that has increased fresh food sales to 53% of his total and grown basket spend by 33%. AF Blakemore has launched a support package for retailers to help them to comply with Natasha’s Law. It includes support with providing a compliant food-togo range, production instructions and hardware; help with training store staff; and a network of Blakemore employees who can help retailers maintain compliance. Comprehensive support will also be available when the new HFSS legislation is introduced next October. Blakemore Retail is currently trialling new store layouts so that the business will be able to advise on the best course of action for retailers who will need to alter their layouts. a AF Blakemore (01902) 366066

Nisa’s order capture system to ensure that retailers can easily navigate to the charity’s site and access the support. Matthew Howie, the Nisa retail development manager covering southern Scotland, is the GroceryAid lead for Nisa and a member of the charity’s Scotland committee. He said: “Adding this support for partners is a real step change for us and it demonstrates the value we place on Nisa partners and their wellbeing. “As independent retailers, many partners don’t have

obvious support for their wellbeing, but GroceryAid exists to provide that.” Howie added: “We work in a diverse industry where you will have many different people with different outlooks on life. Some people will bottle it up, some will be open and ask for advice. So, it’s about building that relationship with our partners so they feel they can reach out.” The new president of GroceryAid, effective from 1 January, will be Allan Leighton, chairman of the Co-operative Group, BrewDog and Pizza Express. He will succeed ex-Booker CEO Charles Wilson. a Nisa Retail (01724) 282028 a GroceryAid (0808) 8021 122

Jerry Marwood: ‘The SPAR model works now more than ever.’

Raising awareness of GroceryAid

Nisa is raising awareness among its independent retailers of the wellbeing support available from GroceryAid. All Nisa symbol stores are now being provided with GroceryAid posters and leaflets to display in back offices and spaces dedicated to shop staff. The GroceryAid material has also been added to Nisa’s induction packs, meaning that all new Nisa retailers are made aware of the support available when they join the group. In addition, Nisa retailers can read about GroceryAid in Nisa’s Consortium magazine, and digital signposting is being made available via

[ INDUSTRY NEWS ]

Growing categories Unitas Wholesale has launched three new ‘Focus On’ guides for independent retailers. The categories are confectionery multipacks, Christmas confectionery & biscuits, and big night in.

Plan for Profit category controller Tracey Redfearn commented: “Confectionery multipacks have grown by 24% in the last five years, inhome eating occasions have risen by 60% due to the COVID restrictions, and consumers are expected to spend even more on Christmas-related confectionery and biscuits in 2021.” a Unitas (01302) 249909

£16m fraud

A crime gang that smuggled huge amounts of illicit alcohol into the UK have been jailed for a total of more than 34 years, reports HMRC. Shafqat Majeed, also known as Chas, spearheaded the £16 million VAT and excise fraud. He orchestrated a criminal operation whereby smuggled alcohol was sold via a wholesale company under his control called South Coast Wholesale Ltd. This operated from two premises – Palace Drinks, in Shoreham-by-Sea, and Kaka C&C, in Manchester.

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November 2021

[ INDUSTRY NEWS ]

SWA provides roadmap to net zero

The Scottish Wholesale Association has published the findings of the first phase of its ‘Decarbonisation of the Scottish Wholesale Industry’ project and a roadmap to net-zero fleet emissions. The key findings relating to the Scottish wholesale industry’s fleet emissions are: a The Scottish wholesale industry fleet has a total of 2,198 vehicles. a The baseline vehicle carbon emissions equate to 111,000 tonnes of CO2 per annum. a 75% of the sector’s total fleet emissions are from HGVs. a HGVs account for 48% of the total fleet and represent more than 3% of the total HGVs registered in Scotland. a There are currently no commercially viable zero-

emission HGVs available in the UK. a Hydrogen-powered vehicles would appear to be the only commercially viable option for HGVs. a The prohibitive cost of vehicles/adaptation, and lack of fuelling infrastructure, is preventing wholesalers transitioning to hydrogen.

Hybrid vehicles

As COP26 took place in Glasgow, one of the city’s wholesalers, Lomond – The Wholesale Food Co, took delivery of 20 new 7.5-tonne hybrid refrigerated vehicles. “While the Government monitors carbon emissions from vehicles, they don’t monitor emissions from refrigeration, which is actually six times more polluting than the category six engines,” explained director Barbara Henderson. “We have taken out the red diesel engine and fitted a battery so we now have vehicles where the refrigeration is powered by electricity. In addition to dramatically reducing pollution, this strips out weight which means we can carry an additional 1.3 ton of stock per vehicle.” The new lorries add to the 10

November 2021

Vans account for 16% of the total fleet and contribute 17% of total fleet emissions. a 46% of the vans are refrigerated but there are currently no commercially viable electrically refrigerated vans available with the required payload. a There are simple steps wholesalers can start to take in the transition to net zero but the impactful and meaningful ways of reaching net zero require investment beyond the means of individual wholesalers and will require government incentive and support. As a result of the study, the SWA has asked the Scottish Government for support to continue its ‘Decarbonisation of the Scottish Wholesale Industry’ project.

It is also requesting financial backing for wholesalers to participate in an industry-wide driver efficiency training programme to reduce emissions. Financial support is also being sought for implementation of a fleet audit service; research into the establishment of shared green infrastructure clusters; and the transition to green fleets. In the meantime, the SWA has created a carbon calculator for members to evaluate the emissions from individual vehicles. Phase two of the SWA’s project will focus on wholesalers’ buildings and cold storage, and phase three will look at employees and how they move to, from and within their jobs. a SWA 0131-556 8753

During COP26, SPAR Scotland launched a community cashback campaign in support of green projects. It will donate £26,000 to 26 good causes in Scotland, with each receiving £1,000. A public vote will decide which of the projects receive the money. SPAR Scotland wholesaler and retailer CJ Lang has embarked on a number of its own green initiatives. These include: a Zero waste to landfill. a 660 tonnes of cardboard recycled. a 100 trees planted this year in partnership with the Green Earth Appeal – CJ Lang’s Logistics team is a Green World Ambassador. a 5,000 trays washed each

week for suppliers, which reduces the amount of plastic in the supply chain. a With 37 Selectiva 4.0 battery chargers installed, CJ Lang expects to reduce its CO2 emissions by 265,000kg and reduce energy costs and associated battery top-up costs by around £110,000 in the next five years. a Around 40,000 free meals provided since August 2019, working in partnership with Dundee Community Fridge. CEO Colin McLean said: “With COP26 taking place in Scotland this year, we wanted to use the event as a platform to focus on improving the environment and social matters within the communities in which we operate.” a CJ Lang (01382) 512100

fleet of electric company cars that Lomond introduced earlier this year for its field sales team, all of whom have electric chargers fitted at their homes. Lomond directors Sam and Barbara Henderson also drive electric vehicles. In addition, Lomond has taken delivery of a fully electric van to be used in the local area to showcase the wholesaler’s commitment to sustainability and reducing its environmental impact. a Lomond – The Wholesale Food Co 0141-353 6777

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Backing green projects

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Opportunities amid the chaos

[ FWD CONFERENCE]

The multitude of problems facing wholesalers, their suppliers and customers – and suggestions for solving them – was the focus of the FWD’s annual conference last month. he challenges that the wholesale industry is facing are probably as bad, if not worse, than that of COVID, insisted FWD chief executive James Bielby as he opened the organisation’s first in-person conference for two-and-a-half years. “What we’re facing now is known as the effing crisis – the energy, fuel and food crisis. We have worker shortages. We’ve potentially got problems with Christmas supply, and we’ve got the shortage of drivers. We’ve got the C02 issues, the currently escalating gas prices. It really is non-stop. But the effing crisis is only one issue among many that we’re talking about,” he said. Challenges arising from Brexit haven’t gone away, he pointed out. For example, there could be changes to the Northern Ireland Protocol that could affect wholesalers, while checks on imports due to come in at the start of October won’t be happening – in most part – until July next year. “So whilst we have exited the EU, we haven’t ironed out a lot of the problems and we still need to work hard to ensure that the goods coming in from the EU and going out are able to do so in a timely manner,” he remarked. Proposals by the Government to revise or introduce public health policies are also being monitored and if necessary acted upon by the FWD. “The Government has an aspiration to reduce obesity by half by 2030, tackling HFSS (high in fat, salt or sugar) foods, looking

James Bielby: ‘There’s a lot more work to be done.’

November 2021

to educate consumers via changes on things like front-of-pack nutritional labelling,” Bielby noted. “We are working hard with the Government to ensure that things like out-of-home calorie labelling doesn’t disproportionately affect our sector.” He added that B2B advertising is exempt from the online HFSS advertising ban – “a great win because it means that wholesalers are able to promote products to their customers in the way that consumer-facing websites are not”. The FWD is also keen to influence action by the Government on sustainability. One issue it is concerned about is extended producer responsibility. “A wholesaler obligation could mean that all the waste that is placed on the market, even if it’s just passing through to a customer, could be something that wholesalers have to pay for. We want to ensure that any of the policies that are introduced don’t detrimentally affect wholesalers, and we want to maintain the unique status that wholesale has on extended producer responsibility,” Bielby explained. He added: “There’s a lot more work to be done and we really do need to keep the pressure up [on the Government].” Other speakers at the conference offered ideas on how to solve some of the challenges facing the industry. Brakes’ CEO Hugo Mahoney told delegates how his business is currently

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tackling the problem of reduced product availability: “We’re talking to our customers about menu flexibility. We’re saying, ‘We will get you a cheesecake but we won’t necessarily get you four flavours of cheesecake. So please don’t put four on your menu because the chances are that we might not be able to deliver.’ “We’re also saying to customers, ‘Stock up, but for God’s sake, don’t stockpile’. This is a JIT (just-in-time) supply chain. Certainly having a prudent level of stocking up on core items is important, and we’re encouraging customers to be ready with alternatives – so the product codes, the set-ups, the allergen information. All of those things are important so that they can readily switch if they find that their preferred product is not available. “And lastly, we’re saying to our

Hugo Mahoney: ‘We’re talking to our customers about menu flexibility.’

[ FWD CONFERENCE ]

Sue Knowles: ‘We can put something in our warehouses pretty much overnight.’

Colm Johnson: ‘Everyday low prices take out the peaks and troughs.’

Kenton Burchell: ‘We are choosing to see healthier options as an opportunity.’

customers, ‘Embrace local. If you find product gaps, make sure that you have some local alternatives’.” Costco differentiates itself from other businesses selling food and drink in several ways, said marketing & admin director Sue Knowles. “We may have items that other retailers or wholesalers sell, but we’ll package them so that they stand out and are different to what else is in the marketplace. “We only have 3,500 SKUs, so there’s not a great deal of depth in each of the categories we have, but they change pretty constantly. It’s really about keeping the interest going. We look at packaging, we look at innovation, we have bespoke items. “Brand is huge for us,” she continued. “We don’t advertise as the brand leaders do it for us. We make sure that we’re offering the right brands – quality brands – because people always know the price of products. When they come into Costco, they’ve already got a perception of what a product costs elsewhere, so the value that we offer is immediately obvious. “We’re never allowed to make more than 14% on a product, so you know it’s going to be the best price out there,” she revealed. “It’s all about providing value. We need to make sure that our 100 million cardholders across the world really want to come in and pay the membership fee. We currently have a 90% renewal rate.” Knowles added: “We’re also very flexible and nimble. We can put something in our warehouses pretty much overnight if it’s the right product and it’s the right time and it makes sense.”

Colm Johnson, retail managing director of Booker, highlighted the importance of everyday low prices (EDLP) for consumers. “The promotions that we do are great but things like bread and milk – really price-sensitive lines – are very important,” he insisted. “At a time when supply chains are really challenged, I would encourage suppliers to think about how you simplify your supply chain. Think about how you steady that volume. EDLPs are a great solution to that – they take out the peaks and troughs.” Johnson reported that Booker has

worked with Tesco to improve the spec of its fresh produce, and that 90% of the items by the end of the year will be the same quality as the equivalent products sold by Tesco. “At the same time we have reduced our cost prices and have passed on those savings to our customers with a new EDLP campaign on produce, and that is driving footfall into categories retailers didn’t have before.” Healthier options are typically underrepresented in wholesale and convenience retail, and Bestway Wholesale has taken steps to address this, said trading director Kenton Burchell.

Is it time to move away from the £1 price point? With higher costs leading to product price inflation, John Kinney, managing director of Unitas Wholesale, asked the suppliers at the FWD conference to make sure that price rises are equitable across all channels. He added: “Historically, if you have a shared margin issue with your products – and you will know that because

you will have had those conversations with our trading teams and our members – look at the opportunity now to address that. “We heard earlier that the consumer is going to expect price increases. I’m not saying profiteer; I’m saying that now is an opportunity to address some of those issues and make sure we’re thinking about where we put that new price point. “The £1 price mark is a classic example. There does come a point where you can only value-engineer a product so far that the consumer starts thinking they’ve been ripped off – the consumer starts thinking ‘This pack is getting smaller and smaller’. In some cases I do think we have to move off that pound. We know the consumer is probably willing to pay more and we can look at a different price.”

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November 2021

[ FWD CONFERENCE] FWD soundbites Andrew Selley, CEO, Bidcorp: “Our inbound availability from suppliers is running at 78% – that’s 20% lower than normal. If I could sit here knowing that Tesco and Aldi were getting 20% lower availability than normal, I would be happy, but the cynic in me says they’re not. Suppliers really have to recognise the importance of this sector.” Dawood Pervez, MD, Bestway: “We’ve been trying everything – full pallets, full loads, single point of delivery. ‘Okay, we’ll come and get it.’ ‘Okay, we’ll leave the trailer there overnight, whatever it takes.’ It’s interesting how nimble and agile wholesalers are being versus the suppliers. We’re able to organise third-party hauliers to come and collect products; why can’t you?” Mark Aylwin, chairman, Unitas: “Our wholesalers have chucked out just in time and have gone for just in case, and their availability is much stronger – not their inbound availability, but their service levels to customers because they’ve filled their warehouses. They’ve seen that the supply chain has collapsed and they’ve had to react. I think there needs to be a dramatic rethink. The supply chain is too fragile and drivers are too valuable a commodity to treat them the way we treat them.” Coral Rose, chair, FWD: “If something happened now [similar to COVID], I would hope that the Government would have wholesale higher up the agenda. We all have that scar of business rates relief that we’re still very much holding out for, but I’m really proud of how wholesale reacted.” Colin Smith, chief executive, SWA: “The challenge in the next 10 years is how we create a greener, fairer, more sustainable, local wholesale food and drink supply chain. That’s got all the elements in it, from people to digital to product to working collaboratively.”

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In a pilot project, Bestway showed that retailers can grow their business by selling healthy (low-sugar, low-calorie) products. It promoted around 100 SKUs. “We wanted to make sure that our customers had the confidence, through price and promotion, to buy into the products. Our marketing was super simple and we created really good theatre as well,” said Burchell. Sales increased by 18% across the range, and Bestway will roll out the initiative next year to all of its branches. In addition, it will take the idea from the cash & carry into 40 stores in London as a trial. “We are choosing to see healthier options as an opportunity rather than a threat: it’s an opportunity for us, for our customers, for our suppliers, and clearly if we get it right it’s an opportunity for our communities as well,” Burchell maintained. “This doesn’t have to be about specialist ranging. There are lots of simple things that can be done to nudge retailers or customers in the first instance, and then nudge consumers into the right space. It can be about healthy options of the products they love – Coke Zero being a great example.” Burchell issued a warning: “I think it’s very likely that government legislation will increase if this channel doesn’t take steps to make healthy options more accessible for not only our customers but also their consumers in all demographics.” Tanya Pepin, director at TWC, emphasised the importance of wholesaler involvement in providing healthier choices: “We’re already seeing very clearly some well-known, and some less well-known, brands and retailers that are repositioning their offering to meet this new consumer need and becoming congruent with that sort of ‘Do good, feel good’ agenda. “It’s a little unclear at the moment whether wholesalers are on that journey, but the message from all of the research is that wholesalers need to be. So let’s get there and let’s get the nation healthier.” In the same way that the wholesale industry does not wish to be left behind in meeting consumer demand for healthier options, neither does it wish to be left behind in the advancement of digital technology.

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Yulia Petitt: ‘Digital is the fastest growing channel in the industry.’

Yulia Petitt, head of trading & marketing at Sugro, explained: “Why is digital so important? Well first of all, it’s the fastest growing channel in the industry, and digital baskets have been much larger than physical baskets. “Also, it’s about accuracy and efficiency as it significantly reduces the cost of order taking. You don’t need to employ armies of telesales and reps any more because it can be done digitally. “Most importantly, it gives increased customer satisfaction. Consumers nowadays are spoiled for choice. They’re not just looking for a basic digital solution; they’re looking for hyper personalisation, fast and convenient usage of the app, and they want us as businesses to anticipate what they may want at any particular point in the future. And that’s a very difficult job to do. But it is the expectation, so no pressure!” Pettit reported that Sugro currently has 15 members using its app, which is free for the first year. Some of these members are reporting that 30-50% of their total sales are now through the app. “That’s incredible!” she said, “and we have encouraged 14 more members to start using the app in 2022. “We are constantly investing. We’re working with suppliers, and we’re working with our wholesalers to understand what they want from the digital platform.” The introduction of technology solutions has contributed to the growth of Sugro, reported managing director Neil Turton: “Creating different relationships with wholesalers but using common themes – values, technologies – has delivered 15 years of consecutive growth for Sugro. Last year we grew at 12% and this year we’re roaring ahead CCM at 20%.”

[ IN FOCUS ]

‘The sky is the limit for me’ AF Blakemore’s Chloe Ball (right) heads up a team of more than 150 people, and at the Women in Wholesale conference she spoke about challenges she has faced at work and her wish to continue smashing barriers.

hen Chloe Ball was 18 she was told by her school teachers that she “wouldn’t amount to anything” because she decided not to go to university. “I had been going to study law but I started working at AF Blakemore, and my hunger to learn and my drive for success told me that I could build a career there,” she recalled. She began as an administrative assistant and was an operations team leader within two years. She continued to progress and by the age of 24 was ambient warehouse manager. And then in March this year, Ball (now 26) was appointed to her current role of operations manager, heading up a team of 150 warehouse operatives and 13 managers across a 24/7 operation that last year processed £63 million of sales. What’s more, in July she won an Amazon Everywoman in Transport & Logistics Award – “probably the highlight of my career so far”, she said. “I think that trying to prove my school teachers wrong was good for me,” she told delegates at the recent Women in Wholesale conference. “I’ve always had the perception that the sky is the limit for me. “I really want to keep doing well, smashing barriers,” she added. “There were no other females in the management team at AF Blakemore when I joined, and there are three others now. I get my determination and motivation from paving the way for other people like me. If I can do it then anybody can.” Ball believes that women have a different perception of the world of work and can therefore put forward different

ideas. “For example, before I worked in warehousing we didn’t offer part-time roles for working mothers, which is something I have brought in. I think it is important that we have a more diverse team because we are only going to go one way if we only have one set of people. “It’s about providing brilliant opportunities to progress. There are a lot of wholesale leaders who started on the shopfloor, but because those shopfloor roles aren’t necessarily attractive to women, we need to keep our focus on making them more appealing.”

‘Remain focused on your goals and don’t give up, even when things aren’t going your way’ Chloe Ball, operations manager, AF Blakemore Ball said that she has consistently tried to do over and above what was expected of her in her job role. “Whilst dedication, flexibility and loyalty have aided me in getting so many promotions in such a short space of time, I think that ultimately what matters is my inherent will to do the best work possible. And because of that I have been able to achieve some of the best productivity outputs and financial results that my department has ever achieved.” However, Ball’s rapid progression has not been without its challenges: “I’ve definitely been in circumstances where people don’t respect me because I’m a younger woman,” she said. “I have

walked into a room where people thought I was the tea maker, when actually I was the senior person in that room. “It’s people’s assumption that because you’re young, because you’re a woman, you don’t have the same purpose that older men would have. However, I don’t see myself as any different to them. Why should I feel inferior to them because I’m a woman? Why should I feel inferior to them because I’m younger than them? They may be more experienced, but I know that I can bring things to the table that they probably haven’t thought of. “It is important in those situations to turn your fear into power, to be confident, to embrace your differences,” she maintained. “Your passion and hunger to learn and to succeed will always be your power. Remain focused on your goals and don’t give up, even when things aren’t going your way. Never ever doubt that you’re valuable and capable of achieving the things that you want.” Ball admitted that she has had to work hard to gain people’s respect and trust. “You sometimes have to demand respect as a woman, but the proof really is in the pudding: your [positive] results will gain people’s respect and confidence in you as a manager,” she explained. “I also do a lot of things with my team – for example, we walked up Snowdon for charity,” she said, adding that the team bond has been particularly important during the pandemic: “There really is no ‘I’ in team, especially when you are going through a tough time. I would have been lost without my team during the pandemic. “My advice to others who are going through a work crisis is firstly always communicate transparently about the situation as it plays a huge role in how your group reacts, and secondly celebrate the wins. It would be easy to dwell on everything that’s going wrong in times of crisis, which eventually would result in low morale, but celebrating even the small wins gives the team reminders that their work is valuable.” Ball concluded her presentation with some advice to aspiring managers: “Step out of your comfort zone, be brave, and you will maximise your potential.” CCM

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November 2021

[ SPOTLIGHT ] Steve Leach, sales director of Nisa Retail How would you describe your personality and what approach do you take in business (and in life)? I live my life based on three core personal values of honesty, integrity and trust. I would describe myself as very driven, results orientated and competitive but increasingly self-aware, and if the last couple of years have taught me anything it is to question what is truly important in life and how to achieve a better balance whilst not taking life (and myself) too seriously.

Role was in the blood What have been your biggest achievements in work and outside work? Inside work, I was very proud to lead the integration of Nisa into Co-op; I worked very closely with both businesses whilst still doing my existing day job. It was a really challenging time and extremely hard work juggling many priorities and new ways of working, but was definitely the right decision as the pace of change had gone off the scale – even before the current trading climate! Outside work, without doubt my biggest achievements are how my daughters have turned out. My eldest daughter Izzie is in her third year as a medical student at Sheffield Uni, and Phoebe, my youngest daughter, is studying Fine Art in Edinburgh. I am a very proud (and protective) Dad. Who has been the biggest inspiration to you? My Grandfather was my biggest inspiration and influenced my decision to have a career in retail. He joined Joshua Wilson (a North-East based wholesaler) as the post boy at 15 and retired many years later as its marketing director, after successfully working his way up. He was well known for his sense of humour, after-dinner speeches and interpersonal skills, and he also had a love of Sunderland football club that he 16

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passed down to me. I found a TV documentary from 1971 that showed him chairing a trading meeting. I bought the rights to the programme so that I could show the film as a surprise to my Gran when she turned 100. There were an awful lot of similarities between Joshua Wilson and Nisa – you could say this role of mine was in the blood! What were your ambitions when you were growing up? Initially I thought about a career as a police officer, but my eyesight wasn’t good enough. I soon fell in love with a retail career and have never looked back. What are your interests outside work? Watching comedy and following Sunderland football club – the two are often combined! I love walking, and over the last couple of years I have walked more than 2,500 miles as part of the #NisaMiles initiative, whereby our Making A Difference Locally charity donates to good causes based on Nisa employees’ mileage. It’s a great way for me to get fit, improve my mental health and spend time with my family. The highlight was walking the Great Wall of China on our last family holiday. During the pandemic we welcomed a Labrador puppy, Elsie, into the family who makes sure I have to keep walking, twice a day!

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What has been your biggest challenge and how did you overcome it? That’s easy – the current trading context. I’m still trying to overcome it and will be for a while. Resilience, determination and the support of a fantastic team around me have helped enormously. What is your favourite film, book and song/piece of music? The Comedy Store by William Cook is my favourite book, and my go-to piece of music is Bonkers by Dizzee Rascal as it sums up retail in one song. If you won a holiday, where would you go and who would you take with you? New Zealand – No.1 on my bucket list – and my immediate family of course. What would people be surprised to know about you? I did a 15-minute stand-up comedy routine in a London comedy club and CCM appeared in Time Out magazine.

M&S trained Steve Leach joined Marks & Spencer at 18 on the Young Management Trainee scheme instead of going to university. He subsequently worked all over the UK with M&S, Sainsbury’s, Boots and Vodafone. Leach joined Nisa in January 2014 as sales director and was appointed as a trustee on the board of Nisa’s Making A Difference Locally charity in 2017.

CCM Chefs’ Own-Brand Own-Brand A Awards wards 20 2021

Cash & Carry Management in association with the Craft Guild of Chefs announces the

2021 1 WIN NNERS CCM Chefs’ Own-Brand Awards

[ CCM CHEFS’ OWN-BRAND AWARDS ]

Awards celebrate a new high in the standard of foodservice own-brands

he standard of foodservice own-brand products has reached a new high, so that there is now a much more level playing field between own-brand lines and their branded equivalents, declared Andrew Green, chief executive of the Craft Guild of Chefs at the 2021 CCM Chefs’ Own-Brand Awards earlier this month. Held at the prestigious venue of The Royal Horseguards Hotel in London, the awards lunch for winners and special guests celebrated the top foodservice own-brands available from wholesalers across the UK. The hotly-contested awards are now in their fourth year, and the judging is conducted in blind tastings by highly experienced chefs. This year, alongside Green on the judging panel were Matt Owens, chairman of the Craft Guild of Chefs and development chef of Alliance Group, and Jason Gordon, catering manager for the General Medical Council.

“The judging was very tough because the quality of the products has risen so much,” commented Green. Indeed, several of the own-brand products were rated so highly that they were awarded a ‘Best of the Best’ accolade. He added: “Nowadays, many foodservice professionals purchase own-brands not just because of their price, but because of their quality. This shows how much progress has been made in this area.” Martin Lovell, managing director of Cash & Carry Management, added: “We had a record number of entries to our awards this year, and this, together with the high standard, clearly shows that wholesalers have been investing in their own-brand ranges – despite the pandemic. “A special feature of these awards is that we will be providing feedback on each and every product entered. By CCM doing so, we hope to raise the bar even further.”

Category: Best Innovation (Savoury) Winner: Country Range Vegan Mayo

Category: Best Innovation (Sweet) Winner: Country Range Spiced Pear, Toffee & Cranberry Naked Cake BEST OF THE BEST

Left to right: Martin Lovell, managing director, Cash & Carry Management; Ton Christiaanse, chairman of Country Range; Andrew Green, chief executive of the Craft Guild of Chefs.

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Left to right: Martin Lovell; Ton Christiaanse of Country Range; and Andrew Green.

[ CCM CHEFS’ OWN-BRAND AWARDS ] Category: Antipasto Winner: Brakes Pickled Watermelon

Category: Biscuits Winner: Bestway best-one Rich Tea Biscuits

BEST OF THE BEST

Left to right: Martin Lovell; Jo White, category manager at Brakes; and Andrew Green.

Category: Bakery Winner: Confex CORE Bar Marked Panini

Left to right: Martin Lovell; Matthew Norman, Confex senior business development manager; and Andrew Green.

Category: Baking Winner: Caterforce Amaretti Coffee Cake

Left to right: Martin Lovell; Joanna Halucha, Caterforce group buying, own brand & technical manager; Andrew Green.

Left to right: Martin Lovell; Richard Booth, director of trading at Bestway; and Andrew Green.

Category: Butchery Winner: Bidfood Farmstead Red Tractor Rump Steak

Left to right: Martin Lovell; David Kinder, head of food & drink at Bidfood; and Andrew Green.

Category: Canned Winner: Fairway Foodservice Fairway Assured Baked Beans in Tomato Sauce

Left to right: Martin Lovell; Richard Ellison, marketing & events manager at Fairway Foodservice; and Andrew Green.

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November 2021

[ CCM CHEFS’ OWN-BRAND AWARDS ] Category: Delicatessen Winner: Brakes Greens Cuisin’ Easy Sunny Vibes

Left to right: Martin Lovell; Vanessa Baker, senior category manager at Brakes; and Andrew Green.

Category: Desserts Joint Winner: Brakes Yuzu, Lime & Pistachio Crunch Dessert Jar

Category: Egg Products Winner: Brakes Fully Baked Caramelised Onion, Mature Cheddar & Red Leicester Cheese Quiche

Left to right: Martin Lovell; Suzy Sapmaz, category manager at Brakes; and Andrew Green.

Category: Fish & Seafood Winner: M&J Seafood Gluten-Free Breaded Argentinean King Prawns BEST OF THE BEST

Left to right: Martin Lovell; Caroline Dorey, technical manager at Brakes; and Andrew Green.

Category: Desserts Joint Winner: Fairway Foodservice Fairway Excellence Caramel Apple Pie

Left to right: Martin Lovell; Ivonne Goetsch, Brakes technical & product development manager; and Andrew Green.

Category: Fork Buffet Winner: Brakes White Chocolate & Raspberry Cheesecake Dessert Jar BEST OF THE BEST

Left to right: Martin Lovell; Laura Schofield, category manager at Fairway Foodservice; and Andrew Green.

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Left to right: Andrew Green; Matt Lake, senior product development manager at Brakes; and Martin Lovell.

[ CCM CHEFS’ OWN-BRAND AWARDS ] Category: Frozen Vegetables Winner: Brakes Pinguin Mixed Green Vegetable Pouches

Left to right: Martin Lovell; Vanessa Baker, senior category manager at Brakes; and Andrew Green.

Category: Gluten Free Winner: Country Range Gluten Free Chocolate Ginger Cake

Category: Hot Beverages Winner: Confex CORE Premium Blend Roasted Coffee Beans RFA

Left to right: Martin Lovell; Matthew Norman, Confex senior business development manager; and Andrew Green.

Category: Ice Cream, Sorbet & Gelato Winner: Bidfood Yarde Farm Premium Black Forest Gateau Ice Cream

BEST OF THE BEST

Left to right: Martin Lovell; Ton Christiaanse, chairman of Country Range; and Andrew Green.

Category: Gravies, Stocks & Bouillon Winner: Brakes Beef & Red Wine Gravy

Left to right: Des Cloke, product development manager at Brakes; Martin Lovell; and Andrew Green.

Left to right: Martin Lovell; Rachel Cook, category manager at Bidfood; and Andrew Green.

Category: Pizza & Pasta Winner: Bestway best-one Fusilli 100% Durum Wheat

Left to right: Martin Lovell; Richard Booth, director of trading at Bestway; and Andrew Green.

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November 2021

[ CCM CHEFS’ OWN-BRAND AWARDS ] Category: Potato Products Winner: Bidfood Gourmet Selection Triple Cooked Coated Chunky Chips

Left to right: Martin Lovell; James Johnson, buyer at Bidfood; and Andrew Green.

Category: Processed Meats Winner: Confex CORE Back Bacon

Left to right: Martin Lovell; Matthew Norman, Confex senior business development manager; and Andrew Green.

Category: Ready Meals Winner: Bidfood Simply WorldFoods Butter Chicken Curry

Left to right: Martin Lovell; Rachel Hartwell, buyer at Bidfood; and Andrew Green.

November 2021

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Category: Sauces & Condiments Joint Winner: Bestway best-one Tomato Ketchup

Left to right: Martin Lovell; Richard Booth, director of trading at Bestway; and Andrew Green.

Category: Sauces & Condiments Joint Winner: Country Range Sweet Chilli Dipping Sauce

Left to right: Martin Lovell; Ton Christiaanse, chairman of Country Range; and Andrew Green.

Category: Seasonal Products Winner: Country Range Jaffa Chocolate Mountain Cake

Left to right: Martin Lovell; Ton Christiaanse, chairman of Country Range; and Andrew Green.

[ CCM CHEFS’ OWN-BRAND AWARDS ] Category: Soft Drinks Winner: Brakes Priory Falls Still Spring Water

Left to right: Martin Lovell; Suzy Sapmaz, category manager at Brakes; and Andrew Green.

Category: Spices & Seasonings Joint Winner: Brakes Spiced Garlic & Herb Seasoning

Left to right: Martin Lovell; Ivonne Goetsch, Brakes technical & product development manager; and Andrew Green.

Category: Spices & Seasonings Joint Winner: Fairway Foodservice Fairway Assured Chilli Powder

Left to right: Martin Lovell; Toby Jordan, marketing strategist at Fairway Foodservice; and Andrew Green.

Category: Street Food Winner: Brakes Vegan Belgian Sweet Waffles

Left to right: Martin Lovell; Caroline Dorey, technical manager at Brakes; and Andrew Green.

Category: Vegan Winner: Brakes Plant-Based Cumberland Sausage

Left to right: Martin Lovell; Jo White, category manager at Brakes; and Andrew Green.

Category: Wines, Beers & Spirits Winner: Bestway Deporte De Reyes Malbec

Left to right: Martin Lovell; Richard Booth, director of trading at Bestway; and Andrew Green.

www.cashandcarrymanagement.co.uk

November 2021

A time for sharing

[ SAVOURY SNACKS ]

Wholesalers and retailers are optimistic that festive plans will boost sharing spend, while healthy snacking innovations offer consumer appeal in the longer term. By Siobhan Kielty. he crisps and snacks market is currently worth £3 billion and is showing year-on-year growth of 3% (IRI). The convenience sector alone has seen strong recent growth of 6.2% and is worth more than £600 million. Tayto continues to perform well in pork snacks, with its Mr Porky, Midland Snacks and Real Pork Co leading brands. Next year the supplier will continue its brand investment with activity following on from Tayto’s biggest-ever advertising campaign that ran earlier this year. “Pork snacks have been growing faster than the market, as consumers continue to enjoy the ultimate pub snack at home – a behaviour encouraged by lockdown pub closures that shows no signs of stopping,” says Matt Smith, marketing director. “Scratchings are synonymous with the pub but, surprisingly, almost half of purchases are in retail.” The supplier is also supporting its crisp brands with activity into next year – which sees Golden Wonder’s 75th anniversary. “Having achieved a number of notable firsts, such as the inventors of Ready Salted and the launch of Cheese & Onion way back in 1962, we have some exciting plans to celebrate this milestone that will continue to excite and engage our loyal consumers and drive sales and profit for our ever-supportive retailers,” Smith says.

“We overtrade in the wholesale channel and so have a dedicated team to support and advise wholesalers. With a unique range of snacks from Golden Wonder to market-leading pork snack brands, to the premium foodservice-exclusive REAL hand cooked crisps, Tayto has snacking sorted. This breadth of range enables us to offer fully flavoured, affordable snacks for customers – and great promotional deals and profits for retailers,” Smith concludes. KP Snacks has also found that at-home snacking has boosted multipack and sharing sales this year. “We’re seeing dynamic change across the CSN (crisps, snacks & nuts) category and retailers can bank on bagged snacks to drive sales and footfall by stocking the right range and formats. Using the strength of our brand portfolio, we hope to help our retail partners adjust to these new norms and help them retain the new shoppers that they have won and bigger baskets that have been gained,” says Matt Collins, trading director. “Our snacks are consumed by more than 20 million households and our diverse portfolio has delivered 45% of category growth in the past five years.”

‘Retailers can bank on bagged snacks to drive sales and footfall by stocking the right range and formats’ Matt Collins, trading director, KP Snacks

For now, Tayto is focusing on the all-important sharing sector, with family and friends get-togethers on the horizon. “Just in time for Christmas, we are launching a new range of £1 PMP sharing crisps that offer even more – premium flavours, more sales and more profits for retailers,” continues Smith. “Sales of sharing packs have sky-rocketed over the past 18 months, making big bag formats a must-stock for independent retailers.” The additions to the portfolio are in the Golden Wonder line-up and comprise Mature Cheddar & Spring Onion, Smoky Chargrilled Steak and Crispy Smoked Bacon flavours. The launch is being supported over the next few months with a digital campaign, a national Share & Win competition and extensive trade marketing support. 24

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The manufacturer has also ‘read the room’ this year and is at the tail end of a £50,000 prize fund promotion that is looking to champion positivity. Shoppers are offered the chance to ‘Win The Year In Cash’ by texting a number featured on Hula Hoops, McCoy’s, Skips, Nik Naks, Discos and Wheat Crunchies brands. The premium Tyrrells brand is targeting Christmas sharing opportunities with festive packaging. ”Our quintessentially British crisps range is perfect for any premium sharing occasion, with many shoppers looking to trade up over the Christmas period. Tyrrells has performed extremely

[ SAVOURY SNACKS ] strongly in premium crisps and snacks. The Christmas makeover will deliver a premium and special consumer snacking experience while growing sales,” says Beth Minch, marketing manager of Tyrrells. Envis Snacks is preparing for Christmas by ensuring that its focus remains on availability. The company is the importer and distributor of Lorenz and Wanted in the UK, and has also added new ontrend flavours suitable for sharing with its WOW range. “The new WOW lines, including Jalapeno & Cream Cheese Inferno, have really hit the spot with retailers and their shoppers as they look for new and interesting options, so they are certainly one to look out for as wholesalers look to develop ranges moving forward,” says Andy Brown, sales director. “We have very much focused this year on ensuring good stock levels of bestselling lines and therefore being able to offer wholesale partners good service levels to keep availability high. This has been a real focus, particularly in the last few months, and we are finding that it is really helping sales of some of the differentiated lines, such as Pomsticks and Curlys, as well as allowing good choice with products such as Crunchips X-cut and Wanted Tortilla Chip £1 PMP bags. The supplier’s Lorenz brand has also invested in sustainability, so the company is also addressing environmental demands. “Lorenz has been actively looking at sustainable initiatives and is pleased to now be able to offer recycled and recyclable outer cases for cash & carry customers and continue to offer exceptional shelf life across the range,” Brown continues. “Looking forward to 2022 there will be a rebrand across the Lorenz range, with some eye-catching PoS available for cash & carry environments, along with some refreshed display solutions for stores.” Valeo Snackfoods is investing £2.6 million in a campaign for its Kettle Chips brand. A new creative showcases a change in direction for the brand, appealing to a wider, younger target audience with humour and vibrancy. The national activity runs for three weeks to increase brand awareness ahead of the vital Christmas sales period, and features on TV and radio. “This campaign will reach a massive 78% of ABC1 adults in the run-up to Christmas,” says Claire Hooper, head of brands. “It will demonstrate the 26

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breadth of Kettle Chips’ range of seasonings, encouraging consumers to try something new, while keeping us front of mind for consumers’ festive get-togethers.” For the occasion, Kettle Chips have been given a festive makeover, with limited-edition packaging that features a bow and blank gift tag, allowing consumers to add a personalised touch for any festive gatherings. The design will be showcased on the eight corerange sharing bags. The supplier is also giving on-trade and foodservice businesses a boost this Christmas, with three chances to win £10,000. Runners-up will receive stock including the new Steakhouse Barbecue variant, plus branded PoS materials. Customers simply need to buy three cases of Kettle Chips 18 x 40g by 31 December then enter their details at kettlechips.co.uk/chipsin. Nut snack manufacturer Sun Valley is expanding its healthy treat offering in the retail sector. Its Nuts For... brand appeals to a younger, health-conscious demographic, producing single-serve treats in interesting flavours and eyecatching packaging. “We’re delighted with Nuts For’s disruptive design that delivers a loud and proud look with huge shelf stand-out. Sure to catch shoppers’ attention, the range is packed with flavour and personality,” maintains Alison Robson, marketing manager. ”Importantly for shoppers looking for great-tasting, healthy snacks, our packs shout out the impressive product benefits – including source of protein, high fibre content plus vegan credentials. All of this makes them hot tickets in retail.” Calbee UK is another manufacturer optimistic about the growth potential of healthy snacks. “The ‘better for you’ category is now worth £381 million, up 0.2% year on year,” reports commercial director Jon Wood. “Better for you enjoys a 12% share of the total crisps, snacks, nuts and popcorn market, with a penetration rate of 74%. We predicted that the ‘better for you’ category would go from strength to strength as restrictions were eased and consumers embraced attitudes to holistic health once again.” With this in mind, Calbee UK recently unveiled its ‘most innovative UK launch’ – a plant-based range under the Harvest Snaps brand. “The exciting new range for the UK is based on extensive research into ‘better for you’ shoppers’ needs and hit shelves in mid September,” says Wood. “The vegetable and pulse-based snacks provide a healthy alternative to traditional fried crisps and snacks, being baked not fried, with under 100 calories per portion.”

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[ SAVOURY SNACKS ] Available in two flavours, Sour Cream & Chive Lentil Rings and Thai Sweet Chilli Lentil Puffs, Harvest Snaps meet consumer demand with a variety of pack formats including portion-controlled six packs, single handy packs and sharing bags. The entire range is vegan and gluten-free, with all green and amber GDAs. “The government-proposed ban on promotion of HFSS (high fat, salt and sugar) products provides retailers with a major issue given that there are very few non HFSS products currently available in the snacks market. “We predict that this will inevitably lead to an overhaul of ranging and pricing within the category to ensure there are products on fixture which meet the new guidelines and will be allowed in feature space; traditional snacks will be required to optimise sales from within the aisle. Products that can achieve this will be the market winners after the proposed 2022 changes,” Wood maintains. PepsiCo has brought Kurkure, one of the biggest snack

brands in India and Pakistan (OnePulse), to the UK market, giving the brand a new audience while celebrating the heritage of Asian cuisine. The range comprises Naughty Tomato and Masala Munch variants, available in 100g packs (rsp £1) and 80g £1 PMPs. “We have stayed true to the authentic taste profile of Kurkure,” says Akash Beri, research senior scientist within global flavour at PepsiCo. “We have spent the last 18 months recreating the delicious fusion of rich spices and fragrant herbs for the UK market.” Josephine Taylor, senior brand manager, adds: “We are thrilled to be introducing such a popular and authentic Asian brand to mainstream British culture, an opportunity to celebrate a multicultural Britain. And we don’t want to stop here – we’re already developing an exciting innovation pipeline to CCM continue the momentum beyond its UK debut.”

For further information: Calbee UK (0330) 660 0015 Envis Snacks (023) 9262 7130 KP Snacks (0845) 601 7583 PepsiCo (0118) 916 0000 Sun Valley Nut Co 0151-482 7147 Tayto (01536) 204200 Valeo Snackfoods (0800) 616996

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[ BREAKFAST ]

Rise and shine! How has the pandemic affected breakfast? Kevin Whitlock maps some of the consumer trends that are affecting this important meal occasion and highlights supplier activity.

ust as our industry was getting used to the changing patterns of the most important meal of the day – increasingly taken on the move rather than at home or at the works canteen – the pandemic struck, and people stopped moving around. Therefore, in the past 18 months the wholesale channel has had to readjust yet again. So, where are we in November 2021? According to Darryl Burgess, head of sales at Weetabix: “Cereal brands performed really well during the pandemic, suggesting people were looking for familiar products during a period of uncertainty. “Consumers have returned to cereal because of its versatility – it’s quick and convenient but can also be personalised with additional toppings and different milks, which taps into the trend for personalised breakfasts.” Health will come back to the forefront of the breakfast category in the months ahead, predicts Burgess. He adds that Weetabix has worked closely with wholesalers to ensure product availability over the past year, as well as offering advice to retailers so that they stock the top-selling cereal brands to cater for the rise in at-home breakfasts. “We’ve invested in the category as well, with exciting NPD such as Weetabix Melts, available as a £2.99 PMP, and Weetabix On The Go Caffe Latte, which launched exclusively in the impulse channel and was supported in depots with world-class PoS displays,” he says. PepsiCo has launched a new, purpose-led campaign for Quaker Oats. Comprising a multi-million-pound activation including TV, digital and social media, ‘The Fire Inside’ will ‘focus on Quaker Oats’ ability to fuel the soul, igniting the fire every one of us has inside’. The campaign will also see Quaker build on over 10 years of support for the charity Magic Breakfast in its goal to end child food poverty. Limited-edition packs of Quaker Oat So Simple and Quaker Traditional Oats will show empty bowls to drive awareness of the issue, and for each pack sold up to 30

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a maximum of 500,000, Magic Breakfast will receive one bowl of porridge. This is on top of the 2.9 million bowls of porridge Quaker will supply in the 2021/22 school year. Healthier eating is perhaps the key trend that has emerged from the pandemic, says Charlotte Hulbert, retail sales manager at Brioche Pasquier. “We updated our packaging and advertising last year to make sure that we are clearly communicating that our products are baked with recognisable, wholesome ingredients like fresh eggs from uncaged hens, flour, butter, no artificial colours, preservatives or flavours. Our individually-wrapped products also help to allay concerns with hygiene,” she explains. Brioche Pasquier has promotions planned for 2022. “We are always working to raise the profile of our products with consumers, and are working with family-based influencers to help drive people to purchase,” adds Hulbert.

Scott Oakes, commercial manager for St. Pierre Groupe, which includes the St. Pierre and Baker Street brands, says that recent trends – some accelerated by the pandemic – open up new opportunities for retail and foodservice breakfast opportunities away from the classic fry-up, especially on bakery items such as croissants, brioche or pain au chocolat. “For busy consumers and time-pressured workers, the chance to grab and go is often a welcome one. Add in a greater emphasis on hygiene, and it becomes clear why breakfast on the move will prove popular,” he says. “There is also a wealth of evidence to suggest that consumers – particularly younger consumers – want healthier food and in many cases they’re willing to pay more for it.” Breakfast is one of the fastest-growing areas of the food market, with consumers taking a vested interest in not only what they consume and how they prepare their meals, but also how the end result looks, notes Levi Boorer, customer development director at Ferrero.

[ BREAKFAST ] Cereal suppliers support Action on Fibre Kellogg’s, Nestlé, Cereal Partners and Weetabix have announced their support – along with other food and drink companies – for a new initiative that aims to boost Britain’s fibre intake. Developed by the Food & Drink Federation, the ‘Action on Fibre’ industry programme is designed to close the gap between how much fibre we’re eating and how much we should be eating as recommended by scientists and the Government. Last year, Kellogg’s launched All-Bran Prebiotic Oaty Clusters as the latest addition to its portfolio of fibre-rich cereals. Chris Silcock, MD of Kellogg’s in the UK, said: “Whether it’s our new additions or classics like All-Bran, we work hard to provide a wide range of healthy choices for UK shoppers. That’s why we’re proud to get involved with Action on Fibre and play our part in providing tasty, high-fibre products people know and love.”

“The popularity of the ‘Instagramable’ meal, particularly brunch, is helping to evolve traditional morning meals as consumers look for versatile ingredients, such as Nutella, to add a layer of excitement and visual appeal.” An enduring breakfast favourite, toast, mirrored the growth of at-home breakfast occasions during the pandemic and this contributed to volume growth of 8% of butter and spreads (IRI). “New hybrid working norms will pose an interesting challenge for wholesalers and retailers as we continue to monitor and flex to the legacies of lockdown,” predicts Emilie Grundy, butters & spreads marketing controller at Saputo Dairy UK – maker of Cathedral City, Clover and Country Life. Although healthy breakfasts dropped down the list of priorities during the first lockdowns, health as a driver of choice then made a comeback (Kantar), with the number of servings selected for being ‘lower in fat/salt/sugar’ and ‘for general health benefits’ both showing growth. Demand for ‘free from’ (including dairy-free) alternatives also continues to grow. As for future developments, Grundy says: “As the country continues a gradual move back to the workplace, we’ll undoubtedly see a shift back towards out-of-home breakfasts, but we don’t expect this to be a quick change.” One breakfast trend that was growing pre-pandemic which multiple lockdowns have done nothing to slow down is convenience. Monisha Singh, shopper marketing manager at Kepak Consumer Foods, owner of the £114 million Rustlers brand (Nielsen), believes that retailers and their customers will continue to demand convenience, and as the country starts to get back to some sort of normality, this desire for convenient solutions 32

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will only increase again. Rustlers All Day Breakfast Muffin is worth £1.7 million in the impulse channel (Nielsen) and “meets shopper demand for a quick and convenient hot breakfast solution”. There is also the liquid element of breakfast – tea and coffee remain an essential part of the occasion. “Yorkshire Tea is a key driver of the market and pairs perfectly with most morning goods like crumpets, toast and cereal, making it a popular choice for breakfast,” reports Helen Boulter, multisector sales controller at Taylors of Harrogate. Boulter also points out that lockdown has prompted coffee lovers starved of their favourite takeaway brew to take more care in preparing coffee at home, starting their day with a proper roast and ground coffee. Taylors of Harrogate is the UK’s favourite ground coffee brand (IRI). Taylors of Harrogate Coffee Bags contain fresh roast and ground coffee and work just like a tea bag, brewing in two minutes. “They present a great sales opportunity; however, despite their success, many cash & carries are still unaware of the format,” points out Boulter. Consumers continue to look for quick and convenient coffee drinks that deliver coffee shop tastes for their morning pick-me-up, agrees Hannah Morris, category team leader at Jacobs Douwe Egberts. “With over 24 million households in the UK buying coffee (Kantar), the category has a clear significance, with an evergrowing demand for great taste and a diverse range of coffee styles, especially within the breakfast occasion,” she says. JDE offers Tassimo, L’OR and Kenco products to cater to consumer demands, and it recently added a Salted Caramel Latte variant to its Kenco Duo range. “Coffee trends in retail are led by demand in out-of-home coffee consumption, as consumers seek to bring the coffee shop experience to a quick, convenient home format,” notes Morris. “Stocking a full range of coffee solutions is key to CCM reach all customers to suit their coffee needs.”

For further information: Brioche Pasquier (1908) 266700 Cereal Partners UK (01707) 325100 Ferrero UK & Ireland 020-8869 4000 Jacobs Douwe Egberts (0845) 271 1818 Kellogg’s 0161-869 2000 Kepak Consumer Foods (01772) 688300 Nestlé UK 020-8686 3333 PepsiCo (0118) 916 0000 Saputo Dairy UK (01372) 472200 St. Pierre Groupe 0161-946 1355 Taylors of Harrogate (01423) 814000 Weetabix (01536) 722181

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[ CIGARS UPDATE ]

Stock up for the seasonal spike Thanks to the fast-growing cigarillos segment, the cigar category has performed well over the past year, and with Christmas coming up, larger cigars are also expected to get a boost.

he rise in sales of cigarillos has benefited the independent trade: whereas only a third of all cigar sales used to go through independents, the figure is now just below 50% (IRI), and that is largely due to so many cigarillos being sold in that channel, reports Alastair Williams, country director at Scandinavian Tobacco Group UK (STG UK). However, he notes, “in the run-up to Christmas we know that it’s usually the sales of larger format cigars which go up, so it’s really important for cash & carries to get their range right so they can enjoy those extra sales and rewarding profit margins, which are typically three times those of cigarettes.” He adds: “Make sure you have brands like our Henri Wintermans Half Corona in stock as it is easily the UK’s best-selling medium/large cigar and a real festive favourite.” Williams points out that when it comes to ranging decisions at other times of the year, it is worth noting that nearly 90% of total cigar sales in the UK come from the top 10 brands. “There’s little point in offering a wide variety,” he says. “The most important thing to consider is to make sure you are catering to your local customer base and tailoring your range to their needs. Having said that, the first cigar on any cash & carries’ list should of course be Signature Blue which is by far the best-selling traditional cigar in the UK.” Signature Blue is worth nearly £35 million in annual sales. The performance of traditional cigars is fairly static but when the fast-growing cigarillos segment is included, the combined category has grown strongly over the last year or so and is currently worth just over £273 million in annual sales across the UK (IRI). The cigarillo segment is worth just over £75 million and accounts for 39.4% of all cigars sold in volume terms (IRI), but the growth in the total category has also been supplemented by the continual growth in the medium/large segment, albeit from a smaller base, Williams notes. Medium/ large cigars have increased in value by nearly £4.5 million in the past 12 months (IRI). Miniatures are still the largest segment within cigars, worth around £105 million in annual sales, while the small cigar segment is seeing a slow but consistent decline (IRI). According to Williams, it is difficult to say with any certainty how the pandemic has affected the cigar market. “We certainly feel it’s possible that more people being at home 34

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with additional time on their hands may well have played a part in the recent resurgence of the medium/large segment, but aside from that it’s difficult to link trends specifically to the pandemic,” he says. “I wouldn’t expect adult smokers to shop much differently this Christmas compared to the last one. We know cigar sales go up at this time, so my message to retailers and cash & carries is to stock up and make the most of those extra sales and high margins.”

Each year, cigar sales follow a very similar seasonal pattern, with a spike in volume in December (IRI), agrees Ross Hennessy, sales vice president at JTI UK. He makes the point that the Characterising Flavour Ban has paved the way for new innovative cigar variants. “With menthol and capsule smokers now unable to purchase their preferred traditional tobacco product in the wake of the ban, many are seeking alternatives,” he says. Sterling Dual Capsule Leaf Wrapped includes a mentholated Virginia blend tobacco and capsule filter that when crushed releases a peppermint flavour. “Products such as Sterling Dual Capsule Leaf Wrapped have been a crucial footfall driver in recent months and will continue to be,” he maintains. “Wholesalers should monitor this category trend to ensure they’re able to capitalise on any developments and potential profit opportunities.” Sterling Dual Capsule Leaf Wrapped also caters to the growing demand for cigarillos; the brand is No.1 in cigarillos, with a 93.9% share (IRI). “It offers a good value and highquality product, with an affordable rsp,” points out Hennessy. “We’d recommend that wholesalers stock up on both the 10s and 20s formats to offer more choice to customers and make CCM the most of this successful brand.”

For further information: JTI (01932) 372000 Scandinavian Tobacco Group UK 020-8731 3400

[ CHRISTMAS DRINKS ]

Ready for a return? The weeks leading up to Christmas are a key time for retailers to highlight promotions and NPD, encourage increased spend with attractive merchandising and capitalise on brand loyalty. Wholesalers should offer the range and advice to enable this. Siobhan Kielty reports. f the past 18 months have taught us anything, it’s that celebrating with family and friends is important to consumers. People are excited to plan ahead and willing to trade up in order to make this year’s festive season extra special, so it’s vital that wholesalers and retailers stay ahead of changing trends and behaviours to ensure that they are offering the range that will maximise sales.

Beers & ciders Manufacturers are hopeful of significant consumer spend for festive get-togethers after last year’s non-event. Heineken recommends that wholesalers prepare for retailers selecting their range early, as consumers look to take advantage of promotions in the lead up to December. “Families and friends will look to make up for 2021, and with New Year’s Eve falling on a Friday it will be a huge celebration,” predicts Matt Saltzstein, brand unit director. “This provides an opportunity for retailers to dial up their ‘Biggest Christmas Ever’ messaging to customers and to secure strong sales for beer and cider – particularly in the 18-44 market, who will be looking to stock up for the occasion.” Heineken’s Inch cider is the latest brand to 36

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join the portfolio and is particularly appealing to the18-34 age group, due to its green credentials. The Old Mout premium cider range was expanded earlier in the year to include Old Mout Watermelon & Lime. In the beer segment, consumer willingness to trade up has seen Birra Moretti show growth of 32% in the past year in the impulse channel, while the swiftly-growing low and no alcohol category has Heineken 0.0 as the No.1 low and no alcohol beer in the impulse channel (Nielsen). BrewDog advises wholesalers to bear in mind the likelihood of big night in occasions replacing on-trade sales. “We expect to see some return to the hospitality industry this season, with after-works drinks and Christmas parties likely to be back on the cards as people return to workplaces. However, we expect this to take a couple of years to return to pre-COVID levels, so there is certainly an opportunity for retailers to maximise on the big night in occasion,” says Alex Dullar, head of customer marketing. The supplier has introduced a mixed case for this festive season. BrewDog Eight Beers of Christmas is exclusive to the convenience channel.

[ CHRISTMAS DRINKS ] “Craft credentials are increasingly important to shoppers as they look to experiment with different tastes and products. Craft beer shoppers are more inclined to try new products and explore, meaning that retailers should showcase any new listings to drive trial with this engaged audience. Mixed cases also offer great gifting potential for any beer lover,” says Dullar. He adds: “6-12 can multipacks over-index in the two weeks before Christmas, with their share jumping from 17% at the end of November to 23% at the end of December. 50% of first-time purchases come from multipacks, and larger mixed formats significantly over-index with first-time buyers, so it’s important to have a mix of formats available to meet different shopper needs.” KBE Drinks has new brands to showcase this Christmas, since its distribution deal in August with the Yeastie Boys craft beer brand. “This partnership will look to capitalise on the current trend for flavourful yet easy-drinking lagers and pale ales from credible craft brewers so we will be focused on driving distribution for Big Mouth Session IPA and a brand new super-drinkable lager, Superfresh,” says John Price, head of marketing. “We were also pleased to announce a new flavour for Peacock, our award-winning cider brand. Peacock Lychee & Lime matches the current trend for premiumisation in the cider category, and 25p from the sale of every bottle will be donated to charity partners Hospitality Health, Hospitality Action and Only A Pavement Away.” Price also highlights the benefits for wholesalers and retailers of premium products over the festive period: “At this time of year many people are in a celebratory mood and are increasingly willing to spend more to treat themselves to better quality and authentic options, which is in turn driving increased value in-store. That’s why premium world lagers like Kingfisher and Sagres are a great option for cash & carries and independent retailers to stock, as they can typically charge a minimum of 30% more than other more mainstream options.” Aston Manor cemented its prominent position in the cider category with ‘World’s Best Range Design’ for its premium cider brand Friels at the World Cider Awards, along with accolades for the Kingstone Press brand and Malvern Cider Co. This was followed with further success at the Great Taste Awards, which saw results for Malvern Cider Co and Friels. “The strong performance of our ciders was exciting to see and further enhances our reputation for producing great ciders,” says Calli O’Brien, marketing controller. She advises wholesalers to ensure that a breadth of price points and formats is covered to cater for emerging shopper habits. “The UK is sensibly planning for tough times ahead. An ‘affordability reset’ is upon all of us, whether it’s shoppers 38

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looking to pay less but buy better – such as premium ciders like Friels in larger can formats – or switching from mainstream brands for great value alternatives such as Crumpton Oaks. As well as offering a breadth of choice of brand to consumers, retailers need to offer a range of price brackets to retain customer loyalty,” she explains. “We know that cider sales increase around Christmas, which we expect to remain the case this year. An additional half a million UK households buy apple and fruit ciders during the Christmas period versus the summer months. So, for cash & carries, this means that stocking a range of brands, flavours and pack formats is key to success,” she adds.

‘As well as offering a breadth of choice of brand, retailers need to offer a range of price brackets to retain customer loyalty’ Calli O’Brien, marketing controller, Aston Manor On the heels of a redesign for Aston Manor’s Crumpton Oaks brand comes a new format. A £4 price-marked pack of four 568ml cans of Crumpton Oaks will be on the shelves in time for shoppers stocking up for festive socialising. “Last year, Crumpton Oaks underwent a rebranding which clearly communicates the love and passion that goes into every glass. The revised design reflects the heritage of the brand in a modern way using bright colours, energetic typeface and clean illustration. It is great to bring this new identity to life again in a pint can,” says O’Brien. “Crumpton Oaks has been offering consumers excellent money from day one with bigger pack formats and affordable pricing across our range and we’re delighted we can now provide a four-pack pint can format, especially in the current economic climate.” The brand won silver in the Sparkling Cider category at the 2021 World Cider Awards.

[ CHRISTMAS DRINKS ] Wines & spirits Diageo highlights the rising demand for at-home cocktails as a key sales driver. “With people likely to spend more time at home, there is an opportunity for the off-trade to provide experiences that consumers can create themselves,” says Hannah Dawson, head of category development, off-trade. “Gin is driving the biggest growth in spirits, with flavoured variants making up 45.8% of total value share MAT (Nielsen). Therefore, offering the right choice through range is important to driving sales this Christmas. Gordon’s SKUs currently occupy the top eight spots in the impulse channel. “Cross-merchandising spirits with premium mixers which form the basis of easy-to-create serves can also inspire customers to try new cocktails. Retailers could also consider placing high quality snacks nearby to help customers create great at-home experiences whilst increasing basket size,” Dawson adds. “This festive season, retailers may want to consider shifts in consumer behaviour and effectively engage with their customers when they are in-store through their drinks range.” Dawson also points to the gifting opportunity: “Every Christmas, malts and whiskies prove popular as they make great gifts for family and friends.” During Christmas 2020, malts had a strong presence in the Scotch whisky category, making up 17.2% in value share (Nielsen). Otterbeck Distillery, an award-winning distillery in Yorkshire, recently launched Otterbeck Cotton Garden Gin (rsp £37.95). It contains warming botanicals including juniper, cassia, cardamom, yarrow, elderberry and coriander leaf. Pernod Ricard’s craft gin brand Plymouth Gin has undergone a design makeover ahead of the festive period. This has been approached with sustainability in mind and has resulted in a bottle design that has eliminated all single-use plastic and reduced the overall weight of the glass by 15%.

“The new bottle design is just one of the many initiatives Plymouth Gin will unveil in its journey to ensuring sustainability is front and centre,” says Toni Ingram, global brand director. “Consumer research highlighted a love of the iconic sea green bottle and on opportunity to enhance our superpremium craft credentials.” ICB Brands is tapping into the festive flavour trend with its Chocolate Orange offering from the TW Kempton range of gin liqueurs. “At ICB, we’ve seen the popularity for flavoured gin liqueurs continue to rise,” says Amy McLeod, marketing manager. “Christmas is a time for indulgence, so sweet 40

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View from HQ Gurms Athwall, trading director, Parfetts What do you envisage will be the key consumer trends in drinks this festive season? With consumers having more drinking occasions/parties at home during the festive season, we feel there will be an even bigger opportunity for the drinks categories during Christmas, with the trends seen during COVID continuing to play a big part. These include premiumisation, indulgent flavours, home-made cocktails, high price point wines, along with the usual larger value pack formats across beer & cider that are always popular during key times of the year and even ongoing in key disciplined retailers. Low & no alcohol has seen good growth over the years off a low base, with more and more quality products and different sub-categories entering the market. At Parfetts we have extended this category and we’re looking at ways to highlight it more in-depot and online to retailers and their customers, especially as it can also be very profitable for all parties involved across the supply chain. Which categories and sub-categories do you think will perform particularly well? We feel that premium spirits with the return of flavoured vodka and flavoured rum will play a major role in the spirits category. The RTD (ready-to-drink) category is also in growth by 30% year to date and we see this continuing to grow along with world beers and pint can formats. We don’t envisage much NPD between now and Christmas, so we have a strategy in place to focus on the key brands and also ensure we cover off all key areas (value to premium) across the Go Local and The Local retail estate and capitalise on incremental sales where possible. What factors will play a part in festive drinks sales? The main factor this year will be the availability of stock, especially key lines within the convenience channel as we are already seeing consumers stocking up for key events and switching back to a bigger spend with their local stores rather than just topping up. The overall basket spend with consumers and our customers is continuing to grow and will do so even more once the usual premiumisation/trading up starts to take off nearer to Christmas. We also then have the usual impulsive purchases opportunities. The traders, RDAs (retail development advisors) and digital team at Parfetts continue to work collaboratively with our category partner suppliers to ensure best-in-class instore retail execution, relevant promotions/ranges/offering and marketing plans to back it up – whilst ensuring the correct forecasts are in place along the supply chain.

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SOURCE: ¹NIELSEN SCANTRACK, TOTAL COVERAGE, MAT W.E. 24.07.2021

DON’T HAVE A HOLE IN YOUR FESTIVE STOCKING.

5 SECON

[ CHRISTMAS DRINKS ] and delicious liqueurs are a must-stock, including those which can also be used within boozy festive bakes and desserts, such as the Carthy & Black range of cream liqueurs, Palm Beach rum liqueurs and TW Kempton gin liqueurs. Liqueurs are bound to be a popular choice; with a lower abv than traditional sprits, they offer consumers a less alcoholic option for seasonal gatherings.” Halewood Artisanal Spirits has added a blue Raspberry Russian Vodka variant to its JJ Whitley vodka portfolio. The launch is supported by out-ofhome activity up until Christmas to increase brand awareness. “Following the launch of our JJ Whitley Artisanal Gold Vodka, we’re continuing to expand our range with the addition of our Blue Raspberry flavour. This latest release offers the same eyecatching metallic bottle, guaranteed to stand out on-shelf,” says Simon Jackman, senior global marketing manager. “Plus, the bright blue liquid provides shoppers with a great opportunity to create a range of impactful, Instagrammable serves at home.” Rum brands from Skylark Spirits are also answering the call from home mixologists looking for something more premium and attractive. “With consumers’ knowledge of rum evolving all the time here in the UK, cash & carries will need to keep up with demand for variety and wider, premium offerings so customers aren’t forced to purchase through online sites,” points out Indy Anand, director. “There is also a financial gain from investing in the premium rum category. The margins are much higher per bottle – for example, our Arrangés range offers around £8 per bottle cash margin for the retailer. By selling a bottle of a more premium rum, there’s a triple win: the rum category value goes up, the retailer gets more margin and the cash & carry selling a higher-value product will see a turnover increase.” Campari Group UK also predicts the rum premiumisation trend to influence retailer stock selection. “As consumer demand for high quality rums grows, wholesalers can benefit from retailers looking to position premium rums as a musthave this Christmas,” says Sandra Brunet, marketing director. “Appleton Estate Jamaica Rum should form a core part of retailers’ rum offering in the run-up to Christmas.” The manufacturer also highlights the festive opportunities for its Aperol brand, with 84% of consumers saying they find the idea of a spritz served at a special celebration very

appealing. “Wholesalers can help to premiumise the prosecco moment with Aperol Spritz this Christmas by advising retailers to merchandise Aperol alongside prosecco, soda and oranges in-store, creating a convenient shopping experience,” suggests Brunet. “Merchandising Crodino – the Italian non-alcoholic aperitivo – and Aperol alongside aperitivo light bites and sharing foods such as deli meats, crostinis, cheeses and olives creates a seamless premium shopping experience.” Accolade Wines forecasts a consumer desire to create a special family celebration during the festive season, with purchasing reflecting this. “We expect there to be an increase in smaller, everyday celebrations in the run-up to Christmas Day, with wine and sparkling playing a key role,” says Tom Smith, marketing director – Europe. “Christmas Day will see a greater emphasis on celebrating and treating. For some, that means trading up to premium options, while for others it may be an extra bottle of their everyday favourite, so it’s important to remember tiering and pushing big brands alongside premium options.” The supplier’s Hardys and Jam Shed brands will be driving purchase with promotional campaigns in the lead up to Christmas, while premium brand Mud House has introduced new Chilean varietals this autumn.

Soft drinks & energy The soft drinks market is a top three category for independent retailers and is worth £1.84 billion (IRI). At Boost Drinks, visibility is a key focus to help wholesalers and retailers make the most of the Christmas spend. “Wholesalers can utilise eye-catching PoS to entice their retailer customers to the compelling price points, deals and cross-promotions on offer,” says Simon Gray, founder and managing director of Boost Drinks.

‘Wholesalers can utilise eye-catching PoS to entice their retailer customers to the compelling price points, deals and cross-promotions on offer’ Simon Gray, Boost Drinks’ founder and managing director “Not only can PoS highlight NPD, but it also serves to disrupt the retailer while in depot and highlight compelling price points and deals, leading to increased spend in depot, which is key for the busy Christmas period. “We know PoS is essential for key seasonal moments such as Christmas, which is why we support wholesalers by supplying in-depot PoS to entice the retailers to our extensive offering,” he continues. “We also offer free PoS on our website specifically for retailers, to help increase sales by drawing attention to key offerings in-store.”

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[ CHRISTMAS DRINKS ] Boost advises retailers to dedicate at least a third of their drinks chiller/fixture to the sports & energy drinks category, and emphasises the importance of offering a good selection of formats and flavours. “With large family gatherings expected around Christmas, larger take-home options are perfect for the holiday season – with 28% of take-home format sales of stimulation happening during the last three months of the year,” says Gray. “As well as offering soft drinks from trusted brands at various price points and with a good selection of flavours, wholesalers need to ensure they’re offering a good selection of pack formats to cater to both the impulse market and the take-home market.” The supplier also highlights how effective a merchandising tool price-marking is, giving shoppers confidence in value. “Currently, PMPs account for more than 60% of soft drink sales in independent and symbol convenience stores, and since the start of the pandemic 43% of retailers have stated that they will now offer more PMPs in their stores,” Gray notes. “As a result, wholesalers should ensure they are capitalising on this demand by offering a wide range of PMP products, especially in the competitive Christmas market. At Boost, we offer PMPs across our entire portfolio, enabling both wholesalers and retailers to communicate value to the end consumer without compromising on excellent cash margins for which Boost is well known.” CCEP’s energy brand, Monster Energy, has partnered with gaming brand Apex Legends for a new promotion. Until the end of the year, must-stock variants from Monster’s core, Monster Juiced and Monster Ultra ranges feature unique codes found under the ring-pulls of cans. Consumers have until 31 March to enter their codes online, which will then be uploaded in their EA account and earn them points towards prizes and in-game content. The promotion is supported with PoS materials available from My.CCEP.com and social media activity. “We ran a hugely successful gaming promotion this time last year and we’re confident of the same again. That’s why we’re encouraging retailers to get behind us and take full advantage as we bring together these two iconic brands,” says Martin Attock, vice president of commercial development at CCEP.

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Red Bull sees a significant increase of 51% in multipacks sales over the Christmas period, and the manufacturer contributed 20% of the sports & energy growth in soft drinks at Christmas last year (Nielsen). The increase in sugar-free variants continues to reflect shopper health priorities and the Red Bull range includes a sugar-free variant of almost every pack in the range. The Red Bull Energy Drink 250ml remains the best-selling SKU and is also the No.1 single-serve soft drink in the UK (Nielsen). It is worth more than £145 million to the category and is expected to show a strong performance over Christmas. The sports & energy segment has seen growth of £176.6 million versus 2020 and was the second fastest growing category in soft drinks at Christmas last year. The Red Bull Editions range grew by 167% in value last year (Nielsen) and is a must-stock for retailers over the Christmas period. The company recently announced

Ones to watch Nic Ponticakis, head of Signature Brands at LWC C Drinks, highlights trends to consider for the festive season. Low and No Alcohol In the run-up to Christmas, we expect to see many more of the low and no alcohol options being favoured, not only by the Gen Z’s – who are much more focused on health and wellbeing and less likely to drink – but also through those choosing to be the designated driver when attending social gatherings and Christmas events. For example, South West Orchards is a craft cider range, distributed by LWC’s Signature Brands, which features a craft cider at only 0.5%. Aligning to Sustainable Brands Consumers who are choosing to make better and more eco-conscious lifestyle choices look to their drinks selection to ensure the brand aligns with their own motivations and concerns, and are much more likely to actively seek out brands that are sustainable, engage in ethical practices and are committed to ‘going green’. One such brand is Marlish, distributed by LWC’s Signature Brands, a sustainable water company that produces a number of tonics, mixers, canned waters and canned sparkling flavoured waters.

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[ CHRISTMAS DRINKS ] that its latest Summer Edition – Cactus Fruit – first launched in March 2021, will be made a permanent SKU. Over 1.5 million cans of Cactus Fruit were sold over the summer (Nielsen). Indeed, Cactus Fruit accounts for 29% of Red Bull Editions’ £7.3 million value growth and is the second best-selling Edition behind the Red Edition. Other Editions are Coconut Berry and Tropical. Although many consumers are buying with festive indulgence in mind, the wellness angle is still a significant seller. iPro has announced a new partnership with the parkrun brand to mark the launch of the wellness drinks range iPro Hydrate. The range is available in 500ml bottles in Berry Mix, Orange & Pineapple, Citrus Blend, and Mango variants. Britvic recommends including low and no sugar offerings as part of cross-category promotions, enabling consumers to restrict their sugar intake even during a period of indulgence. This also offers an opportunity to increase basket spend through the larger take-home formats. The supplier’s Britvic Tonic Water is now available to wholesale in an 850ml bottle for at-home celebrations. Festive purchasing is also a key moment for trading up, so wholesalers and retailers should stock accordingly. “Christmas is a special occasion and people look forward to elevated experiences, particularly when we consider that the majority of people will want to make up for missed experiences in the absence of celebrations last year,” says out-of-home commercial director Phil Sanders. “Stocking J2O Glitterberry during the Christmas season will appeal to those looking for an alternative to alcohol, while encouraging shoppers to trade-up. This festive blend is perfect for adding some sparkle to any Christmas drinks occasion, and is rare in its appeal across age categories.” Refresco has extended its Old Jamaica ginger beer range with two ginger ales, to meet increasing demand for ginger ale mixers. Old Jamaica Ginger Ale and Old Jamaica Rhubarb & Ginger Ale are made with authentic Jamaican root ginger and are available in one-litre PET bottles (rsp £1). The mixers have the versatility to work with clear or dark spirits, as well as being enjoyed on their own. “Our range of ginger ales tap into consumers’ growing demand for quality, versatile, flavoursome mixers that pair perfectly with a variety of spirits,” says Terri Cooper, senior commercial manager. In addition, the Old Jamaica soda range has been extended to include a take-home two-litre bottle format for its pineapple soda, grape soda and new tropical soda variants. “As more people 46

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Cocktails and mocktails are a growing at-home trend, with shoppers looking to elevate the big night in.

enjoy soft drinks at home and to suit all drinking occasions, we have added a new two-litre format,” says Cooper. “When it comes to Old Jamaica Sodas, our range has proven popular with younger consumers but to ensure its continued success we need to offer variety and choice.” The products are also sporting a new modern and vibrant look. In addition, the brand is featuring a promotion, running until the end of the year, giving away one million Jamaican dollars. The on-pack competition involves scanning or entering the barcode digits to be entered into a prize draw. Christmas soft drinks are synonymous with Coca-Cola Europacific Partners, but the manufacturer has a bigger message for consumers at present. Coca-Cola’s Real Magic is a new platform to celebrate humanity and experience. The platform refreshes the brand’s trademark promise – to unite and uplift people every day – with renewed relevance for the world we live in today, and is built from lessons of the last 18 months. The campaign includes TV, out-ofCCM home, social media, digital and cinema advertising.

For further information: Accolade Wines (01483) 690000 Aston Manor 0121-328 4336 Boost Drinks (0113) 240 3666 BrewDog (01358) 724924 Britvic Soft Drinks (0345) 758 1781 Campari Group UK (0203) 1009600 Coca-Cola Europacific Partners (0808) 1000 000 Diageo 020-8978 6000 Halewood Artisanal Spirits 0151-480 8800 Heineken 0131-528 1000 ICB Brands (01423) 872747 IPro 020-8300 3333 KBE Drinks (01622) 351110 Otterbeck Distillery (01756) 536536 Pernod Ricard 020-8538 4000 Red Bull (0203) 117 2000 Refresco (01509) 674915 Skylark Spirits (07962) 347067