NEWS
Supermarket counter closures a ‘golden opportunity’ for independent retailers By Greg Pitcher
Retailers have urged independent food businesses to make the most of their service areas after Tesco announced the closure of 317 of its staffed counters. The supermarket giant blamed falling customer demand for its decision to remove meat, fish and hot snack kiosks from stores around the country. It is the latest in a series of similar announcements by large retailers. Sainsbury’s announced in late 2020 that it would not reopen the in-store cheese, cooked meat and nibble counters it closed at the start of the pandemic. Data from retail insight specialist IGD showed that just 6% of shoppers used an in-store counter in the last quarter of 2021 compared to 9% in the previous three months. Steven Salamon, owner of Wally’s Delicatessen &
Counters like those at Wally’s are a valuable point of difference
Kaffeehaus in Cardiff, said it could be “very tempting” for smaller retailers to copy some of the larger chains and remove service spaces. “You could cut down on staff and just have someone on a till,” he said. “But then you are no different to a supermarket. “The fact we have served counters with goodquality personal service is why people come to an independent.” Supermarkets often did a poor job with their deli counters, Salamon added, and fine food
Prince Charles in good spirits as he visits Kent whisky distillery HRH The Prince of Wales paid a visit to Copper Rivet Distillery in Kent, following an official visit to the nearby Historic Dockyard in Chatham. Famously a whisky connoisseur, Prince Charles was intrigued by the distillery’s three Masthouse Whiskies, made with Kentish grains grown by local farmers Ryan McCormack and Dale Burden; but, in addition to these exciting English Whiskies, it was the distillery’s commitment to architectural restoration, urban regeneration and to the agricultural community which caught the Prince’s eye. During his distillery tour, The Prince of
Wales set to work as he hammered in the bung for a Masthouse Grain Whisky cask, which the family have offered his Royal Highness as a gift when the whisky comes of age. copperrivetdistillery.com
retailers should focus on presentation and training workers. “You need staff who remember a customer’s name, preferences and can have a nice chat while understanding the balance when there is a queue of people.” Antonio Picciuto, owner of Buongiorno Italia in Hertfordshire, said he always made a point to his team that customers had a choice of supermarkets available. “When a client walks into a deli they usually want to be served,
inspired, stimulated and presented with choices and opportunities to try something new or of higher quality,” he added. “Smaller retailers should be looking at their deli counters and thinking ‘how much more quality fresh produce can I put in there? This is a golden opportunity for all in the independent fine food sector.” Nick Gladding, senior UK retail analyst at IGD, said the pandemic had accelerated a long-term decline in customer use of in-store counters. “Improvements to the quality and merchandising of pre-packed deli lines means that fewer shoppers see the need to use a counter,” he added. “At the same time, the expense of running counters, combined with the need to reduce costs to be more competitive, is prompting more large retailers to close them.”
Sourced Market closes after going into liquidation Sourced Market has ceased trading and has been placed into liquidation by its directors, with all three of its remaining retail sites now closed. The retailer and food-to-go specialist had its flagship outlet at London’s St Pancras railway station, as well as branches at the Leeds Skelton and Cobham motorway service areas, and is understood to have been impacted heavily by a lack of footfall at transport hubs during the pandemic. An email sent to suppliers, seen by FFD, confirmed that insolvency practitioner Begbies Traynor would be handling a Creditors’ Voluntary Liquidation and that all creditors would be contacted in due course about making a claim. One producer said that orders had been dwindling in the run-up to the announcement. They added: “It’s the location of their sites, like at St Pancras, that’s been their downfall with COVID. I know I haven’t been on a train much in the last 18 months.” Sourced Market had already closed its other sites near Victoria station and in the Barbican area of the Capital. As FFD went to press, Begbies Traynor had not responded to a request for further comments.
WHAT THEY ARE SAYING ABOUT... TESCO DELI COUNTER CLOSURES ANTONIO PICCIUTO BUONGIORNO ITALIA
“This is a golden opportunity for all in the independent fine food sector. A deli counter is our biggest asset and the area of our business where we can differentiate the most from the supermarkets. If we had more room we would be investing in a bigger deli counter.” STEVEN SALAMON WALLY’S DELI & KAFFEEHAUS
“It is brilliant news for indies. Served counters with goodquality service is why people come to an independent. Discerning shoppers who want to be served with unusual products have to come to the delis more. It is a fantastic opportunity. The move may be because customers are now shopping with independents.” NICK GLADDING IGD
“We don’t see food counters coming to an end – they are just evolving to meet changing shopper needs. For smaller retailers serving more affluent catchments, counters could remain an opportunity. For farm shops, counters should still have a positive future.” Vol.23 Issue 2 | March 2022
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