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CONTENTS
email: info@ulstergrocer.com Volume 50, Number 4 April 2015 Editor: Alyson Magee E: alysonmagee@greerpublications.com Sales Manager: Mark Beckett E: markbeckett@greerpublications.com Contributor: Seamus McCaffrey Senior Accounts Manager: Michelle Kearney E: michellekearney@greerpublications.com
www.ulstergrocer.com
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30-32
Art Editor: Karen Donnelly Production Manager: Stuart Gray Accounts: Gerardine Carson
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Contents
Ulster Grocer is published by Greer Publications 5B Edgewater Business Park, Belfast Harbour Estate, BELFAST BT3 9JQ Tel: 028 9078 3200 Fax: 028 9078 3210 Web: www.ulstergrocer.com
19-27
14
12-13 IN THE HEART OF ARMAGH: Independent, family-run supermarket Emerson’s has undergone a £2m refurbishment, creating 150 new jobs and bringing life back into Armagh’s historic city centre.
14 PASSIONATE ABOUT LOCAL: is the focus on the Henderson Group’s 2015 campaign with ads for SPAR highlighting over 75% of its fresh foods sourced from local suppliers while local suppliers Rockvale Poultry of Armagh, Fresh Fields of Comber and William Orr Potatoes of Crossgar teamed up with EUROSPAR for its Easter ad campaigns. 19-27 The countdown begins: Winners of the UG Marketing Awards will be announced at the GroceryAid Ulster Grocer’s Ball at the Culloden Hotel on May 22. Short-listed entries in each of the eight categories are profiled, alongside the event judges.
29 MY LIFE IN THE GROCERY TRADE: A part-time job in Dunnes Stores got Eugene Wallace, national account manager at Allied Bakeries, started in the grocery trade with stints at PRM and Manor Bakeries following before taking up his current position to deliver profitable sales growth for Allied Bakeries and its customers. Greer Publications © 2015. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form, or by any means, electronic, mechanical, photocopying, recording, or otherwise without the prior permission of Greer Publications.
30-32 CRISPS, NUTS & SNACKS: UK consumers keep it simple when it comes to crisp flavours, while artisan or batch-fired potato crisps have seen the biggest growth over recent years and new introductions to the UK market such as Popchips, popcorn, and lower fat baked products have boosted sales in the snacks industry.
ULSTER GROCER
Publishers: James and Gladys Greer
38-42 GOING DARK: Retailers are ‘going dark’, with the tobacco display rolled out across shop sizes this month. Among those offering solutions are e-cigarettes supplier Nicofresh and BIC.
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NEWS EDITOR’S COMMENT: SHOWCASING THE LOCAL GROCERY SECTOR
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busy month ahead awaits the grocery sector including two of the year’s highlights, the Balmoral Show over May 13-15 and the GroceryAid Ulster Grocers’ Ball on May 22. Now settling into its new home, Balmoral is a marvellous showcase for the agri-food sector from smaller, artisan producers through to major manufacturers, retailers and, of course, farming and ancillary services. Proposals to expand its reach further in future years with an additional weekend day is a great idea, and would draw in more members of the public and their families with potential to build on support for local farmers and processors as well as highlighting the many career options available in agri-food to younger visitors. Scope also exists to bring in more international buyers to see the breadth of Northern Ireland’s agri-food offer. Another great sector showcase, meanwhile, is the Ulster Grocers’ Ball, home to the Ulster Grocer Marketing Awards which have seen a record number of entries again this year across eight categories, with short-listed competitors featured across ps 19-27. If you haven’t yet secured your tickets for this year’s Ball, now is the time as the popular event is approaching sell out (see p28 for contact details). Oh yes, and there’s also a General Election coming up...
Alyson Magee NIIRTA LAUNCHES 30-POINT POLICY PLAN
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he Northern Ireland Independent Retail Trade Association (NIIRTA) launched a 30-point economic plan for Northern Ireland’s MPs and the new Parliament at a working lunch for business leaders and senior candidates from the five main parties earlier this month. Retail First sets out wider policy priorities, which for the most part, are not devolved and fall within the current remit of Westminster, working in partnership with the NI Executive. “Given the real likelihood of a hung parliament, Northern Ireland’s MPs could have a crucial role in shaping the policy agenda of the next UK Government,” said Glyn Roberts, chief executive of NIIRTA. “Retail First is our policy ‘shopping list’ to our local MPs to advise them in any discussions with either the Labour or Conservative parties.”
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GroceryAid calendar of events gets underway T
he Northern Ireland branch of GroceryAid, the charity representing the grocery sector, has a busy few months ahead with a number of its key events coming to fruition including the GroceryAid Ulster Grocers’ Ball (May 22) and a Charity Golf Day, which will be hosted by Belvoir Park Golf Club on Thursday, July 2. Offering a great opportunity to network with the trade, entertain customers or bring a few friends along and play the amazing Belvoir Park course, Cliff Kells, chairman of the Northern Ireland regional branch of GroceryAid, the Golf Day is an important is pictured (centre) presenting Ulster Grocer Publisher James Greer and fundraiser for the charity and Editor Alyson Magee with a Bronze Achievement Award in the seventh annual GroceryAid Achievement Awards programme, recognising further details will follow. contribution to the work of the grocery sector charity. GroceryAid is currently supporting the ‘One Change’ campaign from Turn2us, which encourages low income families who are struggling financially to seek help, and runs from April 15 to May 15. Those seeking support can check what financial support is available by using the free Turn2us online benefits calculator at www.benefitsawareness.org.uk or by contacting the free GroceryAid Helpline, either online at www.groceryaid.org.uk or on 08088 021122. Cliff Kells, chairman of the Northern Ireland regional branch of GroceryAid, recently presented Ulster Grocer with a Bronze Achievement Award in the seventh annual GroceryAid Achievement Awards programme, recognising the contribution Publisher James Greer has made to the work of the Northern Ireland regional branch. In particular, the support of GroceryAid events through advertising and the publication of regular features and news stories on the charity were recognised.
New SPAR enjoy local range represents £25m investment A
new range of locally sourced fresh products has been launched in SPAR and EUROSPAR stores, supporting 22 of Northern Ireland’s finest suppliers to the tune of around £25m each year. Henderson Wholesale, which owns the SPAR and EUROSPAR franchises in Northern Ireland, has unveiled its enjoy local range – the latest addition to its growing fresh business – in over 400 Paddy Doody, sales & marketing director and Neal Kelly, fresh foods director at stores. the Henderson Group are joined by Paula McIntyre to launch the new SPAR own brand range. The range includes 126 fresh and chilled products including dairy, baked goods, fruit, vegetables, freshly baked savoury pies, and a 100% Northern Irish barbecue range including burgers, chicken wings and sausages. Every product in the range has a stamp which lets the shopper know exactly where their product was sourced or produced. (See ps14-15 for further information.)
NEWS
Turnover climbs for the Fane Valley Co-operative Group “A
solid set of results achieved in a challenging market environment,” was reported by Trevor Lockhart, chief executive of the Fane Valley Group at its AGM earlier this month. For the year to September 30, 2014, Group turnover increased by 4% to £553m with pre-tax profits of £6.8m, with Fane Valley Dairies seeing milk powder volumes increase by 20% and a 15% increase in turnover to a record high of £106m while turnover was stable for the Linden Food Group at £336m. Fane Valley’s direct supply milk pool increased through the year to over 240 million litres, while work commenced on a three-year investment programme with a new effluent treatment facility due to be commissioned this spring and a further phase to focus on new evaporation and packaging technology aimed at further enhancing the quality and functionality of products. For major beef and lamb processor Linden Foods, 2014 was “a particularly challenging year which resulted in reduced profitability within the red meat division,” said Lockhart. “Positive performances in our branded and added value beef and lamb activities were overshadowed by the pressures in primary beef processing. The demand for supermarket specification animals was intense in the aftermath of ‘horsegate’ as processors sought to fulfil the requirements of the
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UK multiples. “This initially pushed cattle prices to record highs. At the same time, significantly reduced demand across Europe for manufacturing meat resulted in the build-up of substantial meat stocks. This eventually had a more depressive effect on cattle prices. The lower cattle prices did not however compensate fully for the reduced market returns and the end result was a reduction in processor margins, something that was experienced across the trade.” Referring to the wider agri-business environment, Mr Lockhart highlighted the changing dynamics of the UK retail environment and the associated supply chain pressures. Gaining access for Northern Ireland to global beef markets, particularly the US and China, must be regarded as an economic and political priority, he said, and the key to “unlocking this potential will be obtaining the necessary veterinary and technical certifications. Industry and government have much to do in this regard. “In parallel we must also develop the business models which will allow Northern Ireland to maximise the return from these exciting new opportunities and to fulfil the undoubted potential for the industry. Fane Valley is well resourced and ideally placed to play a full part in realising the vision for the future.”
AFSB strengthens links with China and USA W
ith the aim of boosting export links with the countries, Agri-Food Strategy Board (AFSB) Chairman Tony O’Neill recently met with Chinese Consul General Madam Wang Shuying and Prashant Hemady from the US Consul General’s office in Belfast. AFSB hosted the visitors at the 2015 NIFDA awards, held at the Ramada Hotel, Belfast, where the guests also had the opportunity to sample quality local food. AFSB has targeted export-led growth for the sector, based on the quality, safety and traceability of local produce. Key to growth in the sector will be the ability to access new markets, and to ensure that produce meets the needs of global consumers.
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NEWS
Dunbia butcher wins national award A
Dunbia employee has beaten off competition from across the UK to be named Best Meat Processing Student by the Institute of Meat and the Worshipful Company of Butchers. Craig Cowan from Fivemiletown, who has just completed the Dunbia Butchery Academy Apprenticeship programme, was awarded the prize at a prestigious luncheon in London. Cowan has recently completed his Level 2 PBQ in Meat and Poultry Industry Skills at the Dunbia Butchery Academy in Dungannon, and is now a fully trained butcher working in Dunbia’s Boning Hall. The Dunbia Butchery Academy programme is a mixture of on and off the job training with 1-2-1 tuition and group learning activities carried out by experienced and dedicated BA trainers. “Dunbia prides itself on our awardwinning Butchery Academy which gives young trainees a structured apprenticeship programme with long-term career prospects,” said Steven Dobson, Butchery Academy manager,
Dunbia. “This is the third time Dunbia Butchery Academy Apprentices have won a national award which is a reflection on the individual candidates and also on the calibre of the apprenticeship programme we offer.” Keith Fisher, chief executive of the Institute of Meat, said: “It’s great to see such able young people coming through and being Dunbia employee Craig Cowan received the Best Meat Processing Student Award from recognised. What is Mark Adams, deputy master of the Worshipful Company of Butchers. more, it’s even more or owning them, and of course achieving rewarding to see that over the years many top jobs in various sectors throughout the previous recipients of these Awards have gone industry.” on to great success either managing businesses
Foster addresses grid connections issue T
rade Minister Arlene Foster has met with the Utility Regulator, and representatives of Systems Operator Northern Ireland and Northern Ireland Electricity after concerns were raised by farmers and businesses experiencing difficulty getting connections to the grid. “There is understandably a huge amount of frustration out there
National Doughnut Week to raise funds for The Children’s Trust
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offee shops across the UK will be raising vital funds for The Children’s Trust by promoting sales of their doughnuts and encouraging customers to join in by swapping their sweet treats for a delicious doughnut over National Doughnut Week (May 9-16). As part of its sponsorship, bakery specialist CSM will be lending its support to the week of activity with a discount voucher for doughnut products for all bakers who sign up to National Doughnut Week. For further information, visit www. nationaldoughnutweek.org or contact The Children’s Trust.
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about the cost and time it takes to get connected to the grid,” said Foster. “This initial meeting was a positive start to what will be an ongoing engagement to take a serious and proactive look at every avenue available to get outcomes that best suit Northern Ireland plc.” A further meeting is scheduled for June.
The Dairy Council seeks further saturated research A number of leading nutritionists and scientists including Dr Anne Mullen, director of Nutrition at The Dairy Council, have called for new wide-ranging research to establish the impact of saturated fats on health. The Dairy Council and DairyCo have hosted a series of events around Britain reviewing evidence on saturated fatty acids, dairy and cardiometabolic risk after research challenging advice to cut consumption of full-fat butter and milk, issued in the 1970s and 1980s by the
UK and US governments, was published in the scientific journal Open Heart. “Saturated fat is an umbrella term and there is growing evidence that saturated fatty acids do not all behave in the same way when it comes to cardiovascular disease and diabetes in particular,” said Mullen. “In recent decades, science has progressed from when the guidelines were first instituted and therefore our understanding of saturated fat needs to move on too.”
National Vegetarian Week to be held over May 18-24 N ational Vegetarian Week is to be held over May 18-24, and is sponsored by premium snack company ‘Nothing But’ with a sharing theme this year. “Sharing food brings people together, feasts and meals mark special occasions while festivals offer a variety of tastes to try,” said Lynne Elliot, chief executive of the Vegetarian Society. “National Vegetarian
Week is all about delicious veggie food and sharing - getting people to come together to cook and share. Whether you decide to make veggie dishes for a community group, work colleagues or friends - sharing food can make a moment. There’s no better way to celebrate veggie food and discover how you can be kinder to animals, the planet and yourself.” Visit www.nationalvegetarianweek.org.
RETAIL NEWS - INDEPENDENTS
Gilligan Farm reigns ‘Supreme’ in Angus Steak Tasting Competition R
oscommon-based Gilligan Farm Fresh Meats was named Supreme Champion in the 2015 European Angus Steak Tasting Competition, held recently at the Bannville House Hotel just outside Banbridge. The award for best Fillet Steak in the Under 15 Employees Category went to Glebe Wagyu from Eglinton with Ballymoran Meats, Armagh coming out top in the Sirloin category and Millar Meats from Irvinestown winning the Rib-eye class in this category. Clogher Valley Meats came first in the Over 15 Employees Traditional Beef Sausage Category while K & G McAtamney from Ballymena won Best Gourmet Beef Sausage. O’Kane Meats of Claudy lifted the title for Best Beefburger while Gallagher’s Butchers, Strabane took the top spot in the newly introduced Added Value Beef Product class in this category. In the Under 15 Employees Category, Sloan Meats from Ballymoney won the Best Traditional Beef Sausage class with R & J Family Butchers from Carrickfergus collecting the top award in the Gourmet Beef Sausage class. Abbotts Meats from Belfast took the top prize in the
Beefburger class with H & J Carnduff from Newtownards finishing in top spot in the Added Value Beef Product class. The overall Champion Beef Sausage title in the Traditional Beef Sausage class went to Clogher Valley Meats while R & J Family Butchers took Head judge Paula McIntyre is pictured with, from left, Robert George, Abbotts Meats, the honours in the Belfast, Beefburger Champion; Jordan Neill, R & J Family Butchers, Carrickfergus, Gourmet Gourmet Beef Sausage Beef Sausage Champion; Marc Tierney, Clogher Valley Meats, Clogher, Traditional Beef Sausage Champion; and John Carnduff, Added Value Beef Product Champion. class. Meanwhile, Belfast-based Abbotts “I would like to take this opportunity to thank Meats took the Champion Beefburger title while everyone for entering and also to say a special H & J Carnduff from Newtownards was named thank-you to our guest judge this year, chef and Added Value Beef Product Champion. food writer, Paula McIntyre, Des Brady and his Also in the Added Value Beef Product team at CAFRE and to our sponsors, Devenish,” category, Gallagher’s Quality Meat Centre in said Harry McGaffin, secretary of the European Castlefin was presented with an Outstanding Angus Cattle Society. Presentation Award.
NIIRTA calls on retailers to check rates W
ith thousands of small businesses in Northern Ireland receiving their new revalued rates bills earlier this month, NIIRTA is urging businesses to check their new rating and appeal if they believe it to be wrong. “The outcome of the Rates Revaluation has brought winners and losers among small businesses and independent retailers,” said Glyn Roberts, chief executive of NIIRTA. “Many small shops have done well out of the revaluation, but our focus is on those
who have not done well out of this process. “Whilst we always knew that some businesses would see some increase in their rates bills, we are surprised to hear of a significant number of independent retailers’ bills rise by a staggering 50% and in some cases 85%. NIIRTA would strongly urge those businesses to appeal if they believe their new rates bill is wrong.” NIIRTA has urged the Finance Minister to establish a Business Rates Advisory Forum, made up of businesses representatives to
advise and act as a touchstone group on the impact of any change. “NIIRTA wants the Small Business Rate Relief Scheme to be extended from the current £15k NAV qualifying figure to £17k NAV by 2017 – bringing even more small businesses in to the discount scheme,” said Roberts. “The Empty Premises Relief Scheme, which has helped to create nearly 400 new businesses by giving them 50% rate relief in their vital first of trading needs to continue.”
Donegal butcher triumphs in first Ulster Sausage & Burger competition D
onegal butcher Liam Walsh from EWS Traditional Butchers walked away with Best Traditional and Housewife’s Choice Sausage, Best Steak Burger and Overall National Sausage & Burger Champion at the inaugural Ulster Sausage & Burger competition. Held last month at CAFRE’s Loughry campus in Cookstown, the event was organised by the Butchery Excellence Scheme (BES) and open to all independent butchers across Ulster. Judges included industry expert Peter Simpson from CAFRE, alongside BES Chef Liam 8 36• •Ulster UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
McEvoy and Managing Director Rhonda Montgomery, and renowned chef Sean Owens. The speciality burger range was selected by guest judge Michael Bell from NIFDA, and the Housewife’s Choice was selected by guest judge Ruth Montgomery (Clogher Valley Show). “We have had an amazing first event for BES’ inaugural awards,” said Montgomery. “The response has been overwhelming with over 140 entries being received, and this is a solid foundation for which the awards to grow on.”
The competition is the first of three that BES will be hosting this year and, towards the end of 2015, champions from each competition will compete in the ‘Ulster Champion of Champions’ event. Other winners included: Runner Up Ulster National Sausage & Burger Champion: Clogher Valley Meats; Beef Sausage, Lowe Bros, Stewartstown; Speciality Pork Sausage, Larmer’s Butchers, Newbliss; Beef Burger, Hoy’s Butchers, Portadown; Speciality Burger: Gallaghers Fresh Food Centre, Strabane; and Butchery Innovation Award, Larmer’s Butchers. 7
RETAIL NEWS - INDEPENDENTS
REI and NIIRTA target tourist visitors R
etail Excellence Ireland (REI) and the Northern Ireland Independent Retail Trade Association (NIIRTA), with Minister Seán Sherlock, launched a report on building retail in Ireland, North and South last month. The report is based on a detailed analysis of 500plus responses from international visitors to Belfast and Dublin, along with a qualitative survey of 40 retail businesses based North and South of the Border. The research was funded through the Department of Foreign Affairs & Trade’s Reconciliation Fund. “Our joint research indicates that there is a major prize for the retail industry on the island of Ireland if we can ensure that the broad choice of retail options is correctly profiled to incoming international visitors,” said Glyn Roberts, CEO of NIIRTA. “Both our organisations will be working in partnership to ensure that policies are put in place to support what is the Island’s largest industry by employment. From a Northern Ireland (NI) perspective, more can be done to attract Republic of Ireland-only tourists to NI. A vibrant retail sector with thriving town centres can play a key role in doing this. Crucial also will be further promoting the new British-Irish tourism visa to attract visitors from outside the EU to the island.”
Glyn Roberts of NIIRTA is pictured, right, with RoI Minister Seán Sherlock and Seán Murphy of REI.
NFRN steps up fight for carriage charge reduction T
he National Federation of Retail Newsagents (NFRN) has stepped up its fight to get news wholesalers to drop their carriage charges in the light of continuing low petrol and diesel prices. After calling in late January for news wholesalers to pass on the fall in fuel prices with an immediate reduction in carriage
charges to no avail, Chief Executive Paul Baxter has written to the managing directors of key wholesalers demanding action. In the letter, Baxter highlights he has been made aware of contract drivers employed by the wholesalers taking pay cuts as a result of the drop in diesel and petrol prices. NFRN President Martyn Brown said:
“Every year the charges go up, with the wholesalers citing increased charges for the reasons behind their actions. Well, this time with petrol and diesel prices so low, there is no reason why they can’t drop their charges and if they don’t we shall be taking our concerns to the new Competition and Markets Authority.”
New councils must deliver for economy, says NIIRTA T
he Northern Ireland Independent Retail Trade Association (NIIRTA) has urged the 11 new super councils taking over at the beginning of this month to hit the ground running in supporting small businesses and helping to regenerate town centres. Last year, NIIRTA published an 80-point Programme for Local Government, Local First, which sets out key economic priorities for the new councils.
“Given that we still have twice the UK average of shop vacancies, leading change in our town and city centres should be the new Councils’ top priority,” said Glyn Roberts, chief executive of NIIRTA. “With their role in supporting new start small businesses, they will be central to laying the foundations for the next generation of entrepreneurs who are central to our economic recovery.”
NIIRTA welcomes Ballymena BID vote N
IIRTA has welcomed a vote to establish Ballymena as the first Business Improvement District (BID) in Northern Ireland. “NIIRTA has long campaigned for the 8 368• •Ulster UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
establishment of BIDs in Northern Ireland and we are delighted that Ballymena traders have shown real leadership for their town, by voting in favour of the proposed scheme,” said Glyn Roberts,
chief executive of NIIRTA. “BIDs are all about giving town centre traders more power to shape their town centre and to make it a more attractive place to visit for consumers.”
RETAIL NEWS - SYMBOLS
S&W Wholesale named Symbol Operator of the Year S
avage & Whitten Wholesale was named 2015 Symbol Operator of the Year, while also highly commended in the 2015 IT Initiative of the Year, at the Today’s Group Trade Show Awards Dinner held at Ascot Racecourse on March 10. The Trade Show allows members and suppliers to negotiate deals and network, while the evening was dedicated to celebrating the achievements and success of members and their retailers. The Symbol Operator of the Year award recognised Savage and Whitten (S&W) growing rapidly over the last five years to become one of the most innovative and professional symbol operators in the country. It operates the Group’s largest single estate of Today’s symbol stores, which currently stands at just over 100 across Northern Ireland. S&W has now ventured further afield and
established a new network of Today’s stores south of the border. It works closely with the Group team in Doncaster to take full advantage of its national marketing and convenience promotional campaigns, and produces a high impact weekly basket price comparison brochure which highlights just how competitive it is versus major multiples. Pictured at the Awards are, from left, Bill Laird, managing director of Today’s Group; Mark Windebank, managing director of S&W Wholesale and chairman of S&W has also invested Today’s Group; and Ian Robertson, BBC rugby commentator. heavily in purchasing five extremely competitive trading environment. company-owned stores to demonstrate best Today’s Extra, Spencer Road, Derry NI practise and reflect the high standards required by (S&W) was, meanwhile, a runner up in the any new prospective retailer to the Today’s brand. category of 2015 Symbol Store of the Year. This alone has had a dramatic impact within an
Centra searches for Top Spots across Northern Ireland C
entra is searching for Northern Ireland’s Picnic Top Spots in a new campaign supported by Tourism NI, asking people across Northern Ireland to nominate their favourite places on Centra’s website with a chance to win fantastic destination prizes. A digital campaign will be held over April 3–May 1, with two lucky entrants each winning a £200 Hastings Hotel voucher and £50 Centra voucher, while the search will continue throughout the year to find more Top Spots including Family Days Out, Most Scenic View and Best Afternoon Tea with further prizes. “We are delighted to be partnering with Tourism NI in our search to find Centra’s Top Spots,” said Nikki McDowell, brand manager at Centra. “As a local brand with 80 stores covering every region, we felt this was a great opportunity for people to share what they really love about Northern Ireland. “We are encouraging everyone to get involved, it doesn’t matter if it’s an obvious choice or a hidden gem, a place that takes you back to your childhood or captures a special
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Pauline Gormley, Destination PR officer at Tourism NI, is pictured with Nikki McDowell, brand manager at Centra, launching the campaign at Stormont.
moment – we want to know your Top Spot.” For further information on Centra Top Spots and for a chance to win prizes, visit www.centra.co.uk/topspots or www.facebook. com/CentraNI.
Lisburn motorist scoops Maxol Fuel Voucher E
ach month, Maxol rewards one lucky customer who has shared feedback on their experience at a Maxol service station via an online survey with a free fuel vouchers. Martin Fisher from Lisburn was the February winner, walking away with £100 of free fuel. Maxol is committed to maintaining high standards both on the forecourt and in store and customer feedback plays a vital role in ensuring it offers the best experience possible across its network, according to the Group.
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Cardtronics partners with Golf Holdings for cash machine access ardtronics UK, a leading independent cash machine provider in the UK, announced a partnership with Golf Holdings earlier this month to operate at least 26 cash machines in Northern Ireland. Golf Holdings operates Northern Ireland’s largest off-licence chain, Winemark, and retail brand Russell’s Food and Drink, and is now Cardtronics’ single largest ATM partner in Northern Ireland. The contract was awarded to Cardtronics in December, finalised in February and rolled out in late March, with Cardtronics taking over the operation of the remaining existing sites from May. It will manage 16 existing sites, with the possibility of expanding in the immediate future to at least a further 10 new sites currently without ATMs. “We look forward to strengthening our relationship with Golf Holdings over the next few years and will continue to support their business with the addition of external and in-store free-to-use ATMs for their customers,” said Jonathan Simpson-Dent, managing director of Cardtronics Europe. “From our own research, we know that the presence of a cash machine can boost footfall, loyalty and spend, and we hope our new partnership proves valuable to Golf Holding’s business.”
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RETAIL NEWS - MULTIPLES
SuperValu Supermums search returns for 2015 S
Suki’s Belfast Brew brings local flavour to M&S
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hoppers at M&S stores in the UK and Ireland are set to experience the richly-flavoured Belfast Brew tea from local boutique tea blender Suki Tea. Based in Belfast, Suki Tea is supplying the product in an innovative and exclusive packaging format to around 200 M&S food stores in what is the company’s first deal with a major multiple retailer. Belfast Brew, blended initially by the company for the Northern Ireland market, has won a series of quality awards including UK Great Taste Awards and was subsequently chosen by foodservice operations including Patisserie Valerie across the UK. “Winning business from such a prestigious retailer as M&S is an immensely important development for us in high-end retailing,” said Oscar Woolley, managing director of Suki Tea. “M&S has been a target for us since the start of the business in 2005. While our focus has long been on foodservice, we always said we’d look at retailing, especially with M&S. We were delighted when M&S approached us about six months ago to see if we’d be interested in becoming a supplier. We jumped at the opportunity and timing was perfect as we had just developed this product with them in mind. “What helped us to secure this hugely important business are the accreditations we have achieved, such as SALSA and for ethical trading by conservation organisations such as the Organic Food Federation, Rainforest Alliance and the Fairtrade Foundation.”
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uperValu SuperMums is back to find Northern Ireland’s ‘Top Mum’ in 2015. The campaign recognises the unsung heroes among family, friends and communities and crowned Co Antrim mother Kathy O’Neill SuperValu SuperMum in 2014. This year’s SuperMums campaign, sponsored by Magnum Pink, Kellogg’s and TV personality Claire McCollum and SuperValu’s Donna Morrison are pictured with Zachary Cameron and Austin Hoey. Robinsons, will award mums across every county in Northern Ireland at a prestigious ceremony in Parliament Buildings, Stormont on September 30. Anyone can nominate a mum for the competition, or mothers can nominate themselves, with the winner receiving a family trip to Disneyland Paris, courtesy of Clubworld Travel and runners-up prizes of ‘pamper hampers’ as well as an opportunity to attend the grand final, hosted by TV personality Claire McCollum. The SuperValu SuperMums competition involves entering online and describing what makes your nominee inspirational or worthy of the title ‘SuperMum’. “It was overwhelming the number of entries received last year but we want to see this campaign grow and would encourage everyone to enter their own mum, an inspirational mother they know or nominate themselves before May 30 if you feel they deserve the recognition,” said Donna Morrison, marketing manager of SuperValu. If you think you or someone you know is a SuperMum who deserves to be recognised at a glittering reception at Parliament Buildings on September 30, simply enter online at www. supervalu.co.uk or www.facebook.com/SuperValuNI before May 30.
Lisnaskea store wins National Lottery Retailer of the Year A
Co Fermanagh store is celebrating after scooping the National Lottery Retailer of the Year Award at a gala event in London last month. Swift’s SuperValu Lisnaskea won the UK-wide award at the 2015 Convenience Retail Awards, and was the only store in Northern Ireland to be nominated. The award-winning SuperValu Lisnaskea store, owned by the Swift family, was opened in 2000 as a 6,000-square-foot store and has expanded over the years to comprise a large forecourt and car park along with a growing household coal business. It is now the largest employer in Lisnaskea town with over 80 staff, and specialises in all areas of fresh food sales. Training is a key focus for the store which has a ‘speak to every person, sell to every person’ sales strategy. Since taking over as manager, Darren Given has driven sales year on year and won a string of accolades.
Yvonne Fennell, Camelot Group, presents the National Lottery Retailer of the Year award to Darren Given, store manager of SuperValu Lisnaskea.
RETAIL NEWS - MULTIPLES
The Co-op and Dunbia win Supply Chain Excellence Award T
he Co-operative Food and its premium Hereford beef supplier, Dunbia, have picked up the Supply Chain Excellence Award at the biannual Northern Ireland Food and Drinks Awards 2015. Dunbia supplies all The Co-operative Food’s own-brand premium, 100% British Truly Irresistible fresh beef as part of The Co-operative Food’s farming groups. “Together with Dunbia, we work tirelessly to develop a sustainable future for the Hereford beef supply and I’m thrilled that our efforts have been recognised with this award,” said Ciara Gorst, senior agricultural manager at The Cooperative Food. “We set up our farming groups to demonstrate our commitment to supporting UK farmers, reduce supply chains and increase transparency. Winning the Supply Chain
Excellence Award is absolute testimony to how our farming groups are benefiting our suppliers, customers and the wider UK farming industry.” Jonathan Birnie, head of Agriculture & Research at Dunbia, said: “I am delighted that Dunbia and The Co-operative Food have won the NIFDA Agri-Food Supply Chain Excellence Award which is recognition of the partnership approach Pictured are, from left, James Duffy, national account manager, Dunbia; John Thompson, award sponsor, Agri-Food Strategy Board; and Kenny Linton, which Dunbia and The agriculture manager, Dungannon at Dunbia. Co-operative Food enjoys for the supply. This award should also go to the and of our joint mission to develop strong, Hereford calf rearers, storemen and finishers long-term relationships with our Hereford beef who have committed to the Hereford Scheme.” farmers, in a bid to secure a sustainable future
Tesco stocks new Clandeboye Estate gourmet yoghurt range
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landeboye Estate has launched a new three-strong gourmet range - a luxury Greek-style layered yoghurt in Lemon Curd, Mango and Strawberry flavoured 150g pots – with Tesco among stockists. The gourmet range is the latest development from Clandeboye Estate, near Bangor, using milk sourced from the farm’s own award-winning Holstein and Jersey herd. “Our milk is taken fresh each morning to our yoghurt makers who handcraft and prepare it in small batches to ensure a delicious consistency and quality,” said Bryan Boggs, general manager at Clandeboye Estate Yoghurt. “We saw a developing market opportunity for a luxury yoghurt in a smaller pot and decided to create the new range. Research shows that consumers are trading upwards towards luxury products that also offer richer flavours. “Feedback has been very positive, particularly from supermarkets such as Tesco which is now stocking the new range.” The small company’s natural and Greek-style yoghurts are hand made using traditional techniques to provide a rich creamy texture without fat content. The milk is prepared and cultured very gently over a 24-hour period in small batches to create exceptional flavour and texture.
Local company premiers gourmet range at Asda D
raperstown-based snack food company Só Popcorn has secured a deal to supply its ‘Pop Notch’ range of gourmet popcorns to six Asda stores in Northern Ireland, marking the local supplier’s first deal with a multiple retailer. The Asda stores will stock three varieties, Sweet & Salty, Salted Caramel and Fancy Marshmallow; flavours unique to the local producer which have proven extremely popular with their growing customer base and won several prizes in the 2014 Great Taste Awards. “We’re really excited that our new deal with Asda will be bringing our product to a whole new audience across Northern Ireland,” said Declan McBride, founder of Só Popcorn. “Popcorn is a fantastic, naturally healthy snack and our range of gourmet flavours strikes 8 36• •Ulster UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
just the right balance between a light but flavoursome nibble and an indulgent treat for the ultimate big night in.” Susanna Hassard, regional Buyer for Asda NI, said: “I am absolutely loving the Pop Notch Salted Caramel Flavour and it’s great to support another local company and help bring their fantastic products to a wider audience. “We originally met the guys from Só Popcorn at our Meet the Buyer event which took place during last year’s Balmoral Show. They are another great example of a local supplier with fantastic potential and a delicious, unique product – the sort of supplier we’re always keen on hearing from.” Michael Heaslip and Declan McBride from Só Popcorn are pictured with Susanna Lloyd from Asda NI’s local buying team.
11
STORE FOCUS
Emerson’s Armagh In the heart of Armagh is one of Northern Ireland’s oldest independent supermarkets. With a £2m refurbishment now complete, Gavin Emerson talks to Ulster Grocer.
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ife is getting back to normal following the completion of a £2m refurbishment of Emerson’s, a 125-year-old supermarket in the hub of Armagh city centre. In May 2014, the family-run supermarket began a refurbishment programme which has since secured 150 new jobs and brought life back into Armagh’s historic city centre, as well as placing value on customer experience to make shopping easy and enjoyable for Emerson’s customers. It’s been a lot of hard work for the owner, and his staff, as a lot of upheaval to allow for construction has meant changes within the supermarket. But with diggers and hard hats out the door, Emerson’s Supermarket and The Wine Store are open for business with a variety of additions which are bringing value for money and added value; namely the addition of Uluru Bar & Grill and also the relocation of the city’s Post Office. As well as that, the company has introduced its first ever ‘click and collect’ service through its new e-commerce site designed by PointFour. With four main elements at Emerson’s Supermarket, shoppers, workers, families and 8 • •Ulster 3612 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
tourists are being drawn back into the city centre where they are guaranteed value for money, good customer service, a variety of locally-sourced produce and a cosmopolitan restaurant where customers can enjoy a variety of food and drink for breakfast, lunch and dinner. Over a latte and a freshly baked morning scone, Gavin says: “It has been a major journey for us all over the past year. Our staff has been brilliant. There’s no doubt there has been upheaval but everyone carried on with their jobs with enthusiasm. “It’s not an easy undertaking as this project was a mammoth task which required focus, investment, strategic planning and a vision for growth. We appointed Moss Construction, which is another Armagh company, so we were delighted to keep the overall works programme to benefit people living and working in the area. “Everything we do is about putting our customers first. This has always been vital to our success to date and this will remain the case. For 125 years, Emerson’s Supermarket has been serving people in the Armagh city and district area and this investment shows
our commitment to being an employer, being a service provider and making a contribution to the local economy. “Further to this, our new click and collect service offers our customers even further convenience whether they are shopping in the supermarket or The Wine Store. We also have introduced self service tills, which enables people to do their shopping more conveniently.” As with many independently-owned supermarkets in Northern Ireland, Emerson’s Supermarket aims to sell produce which, where possible, is locally grown. Mark Bell, the manager of the fresh fruit and vegetable section, is responsible for sourcing the store’s produce so it is high on his agenda to pick up locally-grown, in-season produce to support local farmers as much as possible. As much effort is placed on the quality of the store’s new butchery. The butchery is one of only a few in Northern Ireland which boasts a dry-aged salt room where meats are hung in clear view of customers, who can see that the meat is fresh and hung for 28 days. What makes the dry-aged salt room even more
STORE FOCUS special is the fact it has Himalayan rock salt on the back wall which gives the meat a unique flavour. “There are only a few people in Northern Ireland who have this so we are pushing forward with this and we will continue to innovate,” says Gavin. “Our team of butchers, who are led by head butcher Philip Agnew, are very proud of what is being achieved at the new butchery counter.” While putting quality food on families’ tables is a must for Emerson’s, so too is being able to sell a wide variety of craft beers and ciders from its own Wine Store. “The Wine Store is a big pull for our store because of our vast selection of wines, craft beers and spirits which of course can now be bought over the counter or by customers using our click and collect service,” says Gavin. And a major coup for Emerson’s Supermarket is the relocation of Uluru - an award-winning Australian restaurant where head chef, Sydney ex-pat Dean Coppard has built up a fantastic following due to the authenticity of his cuisine. The team in Uluru has been grafting night and day to ensure the new restaurant was ready to open its doors to an eager public. The move to its new look premises has created 25 new jobs including chefs and front of house staff and, if early signs are indicative of what’s to come, there’s a potential for more job creation. Speaking about the team’s achievement’s, Dean said: “Since our doors opened, the feedback has been immensely satisfying which is testament to the hard work put in by our team, the authenticity of our cooking, our attention to customer service and our drive to give people an eating establishment which offers customers a great dining experience.
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Gavin Emerson with his father Henry.
“All our efforts, from sourcing local food from local suppliers, developing our cooking techniques, to enhancing our menu offerings and improving on our capacity to suit everyone, will enhance the experience for all. People are coming in and enjoying our variety of cold and hot drinks, including Thompsons loose tea, our extensive range of coffees as well as beers, wines and spirits. “In the last few months, we have been recommended in the Michelin Guide and The McKenna’s Guide and also are eligible for the Good Food Award which reflects our commitment to our customers and to Armagh. “Armagh is a special city and we will be working hard to ensure that, no matter who comes through our doors, they will leave this
city with a good story to tell.” A further pull to Emerson’s Supermarket is the relocation of the city’s Post Office which is now in-house. The new open-plan Post Office has four counter positions, one modern screened counter and two open-plan positions. There is also a Post Office terminal by the shop’s retail till, which will enable customers to benefit from services during Emerson’s opening hours. “We have now got a fantastic offering for people living and working in the Armagh city and district and for people coming into the city be that for shopping, for tourism and for social occasions,” says Gavin. “Our team have pulled together to make this happen and we are extremely proud of everyone.”
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PASSIONATE ABOUT LOCAL CAMPAIGN
SPAR and EUROSPAR - delivering fresh, local value T
he consumer offering in SPAR and EUROSPAR has come a long way over the past decade. At a time, these stores were thought of as perfect only for the top-up shop or the rushed, last-minute purchase. However, after substantial investment into store design, range and quality of products, their consumer appeal has widened enormously. SPAR and EUROSPAR are now trailblazers in fresh food retailing. 2015 plans will further establish SPAR and EUROSPAR as the destination for fresh and local foods in Northern Ireland, as Henderson Wholesale continues its multi-million pound investment plans. This investment is all about improving the shopping experience for the consumer. Research from AC Nielsen (Homescan Survey, January 2014) shows that value for money, good quality fresh produce and range are the key decision-making factors for consumers when shopping. Added to this, the rise of localism is becoming more important in the decisionmaking process. Consumers know that local food is fresher, better for you as there are less preservatives, better for the environment as there are less air miles and better for the local economy. So, when 60% of NI consumers said that they would be more likely to shop at SPAR knowing that they source over 75% of fresh food locally, it didn’t come as a surprise for the company (Millward Brown, Consumer Tracker, June 2014). This research confirmed the direction for 2015 – the focus would be on fresh, local, and value. This strategy is communicated in the extensive marketing communications for the brands. At the heart of the 2015 campaign is the promise to be Passionate about Local. This passion is realised through the many sponsorships of EUROSPAR and SPAR – for example, EUROSPAR’s commitment to Cancer Fund for Children, where almost £400,000 has been raised in three years, and SPAR’s Platinum Sponsorship of the Balmoral Show in May 2015, for the fifth year running. It is also evident in the commitment to sourcing fresh foods across the island of Ireland. SPAR has a proven record of supporting local suppliers, working with over 200 farmers, growers and distributors for over 50 years. Local suppliers Rockvale Poultry of Armagh, Fresh Fields of Comber and William Orr Potatoes of Crossgar recently teamed up with EUROSPAR to star in their Easter advertising campaign. The commitment to sourcing locally is also highlighted in a new advertising campaign 8 • •Ulster 3614 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
Officially launching the new enjoy local range are Steven Kennedy, Iain Dickson and Neal Kelly, Fresh Trading Team at Henderson Wholesale.
Brenda Mulligan, head of Brand Marketing, and Paddy Doody, Sales & Marketing director, launch the new Passionate about Local marketing campaign.
from local companies Street Monkey and Genesis Advertising, which has gone live across Northern Ireland in April. The Passionate about Local advert tells the story of SPAR sourcing over 75% of its fresh foods from local suppliers by showing a world made up of the fresh, local products sourced for the stores. On top of this, SPAR has partnered with Northern Ireland’s finest farmers and producers to offer a range that will be loved by all. Shoppers can be confident that SPAR’s enjoy local range will provide them with tasty food that’s home grown and at a price they can afford. From potatoes to pancakes, mash to mushrooms, steak to scones, SPAR’s enjoy
local range includes 126 delicious fresh and chilled products and can already be seen on the shelves. Local celebrity chef and ‘enjoy local’ Brand Ambassador, Paula McIntyre, has cooked up a storm with the range already and all her delicious recipes can be viewed on the SPAR website: www.spar-ni.co.uk. For the past 50 years, SPAR and EUROSPAR have been owned by local business people who are passionate about serving their communities, sourcing ethically and supporting local good causes. These retailers have always been Passionate about Local; now 2015 is their time to shout about it.
PASSIONATE ABOUT LOCAL CAMPAIGN
Spotlight on Local Suppliers Among local food and drink companies supplying produce to the Henderson Group for SPAR’s new enjoy local range are:
Using local ingredients to produce award winning pies
Tel: 028 9181 5194 www.clandeboye.co.uk
Tel: 028 8775 8246 www.cloughbanefarm.com
Tel: 028 9037 2200 www.dalefarm.co.uk
Tel: 028 2565 2988 www.dohertygray.com
Tel: 028 9334 0455 40 Hillhead Road, Ballyclare Twitter: @FredCRobinson www.fcrobinson.co.uk
Tel: 028 9187 0105 www.freshfieldsni.com
BOCONNELL MUSHROOMS
Tel: 028 9262 0200 www.prmltd.co.uk
Tel: 07768 046 532
Tel: 028 7963 2465 www.genesiscrafty.com
Tel: 028 9754 1603 info@willowbrookfoods.co.uk www.willowbrookfoods.co.uk
Tel: 028 3752 7451 JStinson@Dailybake.com www.Dailybake.com
Tel: 028 9187 8316 info@mashdirect.com www.mashdirect.com
Tel: 028 9265 1638 info@islandsalads.co.uk
Tel: 028 3833 2421 www.irwinsbakery.com
Tel: 028 8772 3350 info@dunbia.com www.dunbia.com
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15
FOOD & DRINK NEWS
Consumer Insight & Market Update: on consumer sentiment by jason winstanley, moy park senior insight & research manager
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s there a role for promotions in this climate? In recent months, the grocery landscape has been dominated by an almost unprecedented level of price discounting, with the leading retailers investing millions of pounds into lowering prices. In such a competitive price environment, a pertinent question is ‘what has happened to promotions?’ The (perhaps) surprising answer is that, in the last five years at least, there has never been more of them; data from Kantar Worldpanel shows that, in the 13 weeks ending January 4, 40.7% of all consumer grocery spending was bought ‘on deal’1. This figure was up a full 1.4 percentage points versus the same quarter in 2013 and, in fact, all quarters in 2014 recorded a higher proportion of promotional spend when compared to the equivalent period in 2013. What is clear, though, is that there has been a shift in the nature of promotions; BOGOFs have been in long-term decline, and now make up just 0.4% of all grocery spend. However, in recent periods, Y for £x deals have also fallen out of favour, dropping from a peak of
14.2% of purchases in 2010 to just 11.8% in the latest data. So, with multi-buy deals no longer in vogue, what is fuelling the growth in promotions? Quite simply, it is price cutting; although retailers are investing millions into permanent low prices, (a fact they haven’t been reticent about publicising), this hasn’t stopped them from also increasing the number of temporary price cuts within the store. The Kantar Worldpanel data shows that 26.3% of all grocery spend was on products bought on deal, and this was what generated the overall increase in promotional spend, growing by 2.1 percentage points against the same period the previous year. And maybe this fact shouldn’t surprise us; everybody likes a bargain, and buying on promotion has become habitual for many consumers. We have become accustomed to the fact that the phenomenon of savvy shopping is now ingrained for many shoppers, and buying on promotion remains an integral part of this sort of behaviour. The latest research from the
IGD’s Shopper Vista tracking programme shows that prices remain the most important driver of store choice for shoppers, but that promotions remained “extremely or very important” to 61% of shoppers in January, with this figure rising to 69% for online shoppers over the previous three months2. So, given the combination of the importance of price and shoppers’ continued enjoyment of promotions, perhaps it shouldn’t come as a surprise that price reduction promotions are seeing such a strong performance. Another aspect in their favour is that, even as a temporary measure, they fit neatly into the price reduction strategies of most of the main retailers, and therefore help to drive a consistent discounting message home to shoppers. So, whilst retailer price wars appear to be here to stay, at least for the short term, it seems that, so too, are promotions – and price-focused promotions will almost certainly remain the key mechanic. Sources: 1 – Kantar Worldpanel, 13 weeks to 4th January 2015; 2 – IGD Shopper Vista Research, January 2015
Hovis named Northern Ireland’s Best Family Bread
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ovis managed to rise above stiff competition at the recent Families First Awards, recognising people and products that local families couldn’t do without on a daily basis, to be crowned Northern Ireland’s Best Family Bread. “We are delighted to be recognised as Northern Ireland’s Best Family Bread,” said Jackie Kirk of Hovis. “At Hovis, we understand the importance of a great tasting, healthy bread which all the family will love; especially as our bread is free from artificial preservatives. “Whether it’s starting the day with delicious hot toast enjoyed with a cuppa or having a tasty Hovis sandwich for lunch, we know great bread plays a pivotal role in family life we honestly can’t thank our voters enough for acknowledging this.” The Families First Awards took place in Belfast’s Stormont Hotel recently, celebrating the people, products and services that come together to make family lives that little bit easier or more enjoyable. Pictured are Jackie Kirk, Hovis and the evening’s host, Pamela Ballentine.
Moy Park introduces innovative ‘Roast in the Bag’ packaging
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oy Park has developed the first roast-inthe-bag chicken product to use cutting edge thermoformed packaging technology using a printed, sealed pack which can go straight into the oven. The new ‘shelf to oven’ whole chicken product has been launched under the Moy Park Good Kitchen range, developed to target a growing market for addedvalue fresh chicken products. The roast-in-the-bag, ready to cook whole chickens are locally sourced and come in two flavours, Extra Tasty and Garlic & Herb. “Our new roast-in-the-bag range is the first retail ready, ovenable whole chicken product to use this innovative packaging technology,” said Briege Finnegan, brand marketing manager, Moy Park. “The packaging 16
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self vents and enables the chicken to self-baste throughout the cooking process, which results in more succulent meat and an enhanced flavour. “We developed the range to offer consumers a convenient shelf to oven roast in the bag chicken, making it ideal for those who don’t like touching raw meat or don’t have time to prepare a raw chicken from scratch. Due to the innovative nature of the packaging, the chicken browns in the pack without having to open it during cooking. The cooking juices are retained within the pack, which means consumers will be able to create flavoursome stocks and gravy.” The Moy Park ‘Good Kitchen’ Roast in the Bag range is available across Northern Ireland and the Republic of Ireland from April.
FOOD & DRINK NEWS
Dunbia expands operations in Northern Ireland M
ajor beef and lamb processor Dunbia is investing £27m at its headquarters at Dungannon, and creating 209 new jobs, over the next three years. Dunbia NI’s processing operations already employ almost 1,000 people in the procurement, slaughter and de-boning of cattle and sheep, wholesale distribution and retail packing of beef and lamb. The investment will create an intelligent boning hall and upgrade the company’s beef mince and diced burger lines to increase overall productivity levels and support the growth in sales outside Northern Ireland. The investment in innovative technology and production processes will enable Dunbia to maximise the return on its resources and remain cost-competitive. The new boning hall will help the company achieve economies of scale while the installation of new production lines, using the most modern automated retail butchery, will increase retail packing efficiencies. Dunbia NI is part of the Dunbia Group, which employs around 4,000 people over 11 sites. “Innovation has been at the heart of our success and this investment in new
Trade Minister Arlene Foster is pictured with Jim Dobson, managing director of the Dunbia Group.
production technology will create a centre of excellence for beef deboning in Ireland,” said Jim Dobson, managing director of the Dunbia Group. “It will help us to maintain
our position as a leading meat processor in the UK and Ireland and to deliver on our growth strategy over the next three to five years.”
Pictured at the event are Ian Sheppard, regional director NI at Bank of Ireland UK; Anne McGregor, chief executive, NI Chamber; and Michael Murphy, chief executive of Irwins Bakery. Photo credit: Stephen Hamilton/Presseye
Irwin’s CEO delivers keynote speech O
ver 200 businesses from across Northern Ireland and the Republic of Ireland recently joined Northern Ireland Chamber of Commerce and Industry and Bank of Ireland UK for a major cross border networking event at Titanic Belfast. The event featured a keynote speech by Michael Murphy, chief executive of Irwin’s Bakery, and formed part of the Connecting for Growth programme designed to facilitate increased business between companies from Northern Ireland and Republic of Ireland. 8 36• •Ulster UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
For further details contact Robert Roberts (NI) Ltd. 028 9267 3316 or www.robert-roberts.co.uk
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FOOD & DRINK NEWS
Spring weather boosts first early potato crops T
he last few days of spring-like conditions have helped boost the growth of this year’s first earlies, which should be in the shops by the end of May or beginning of June. Early potato production remains an important enterprise for farmers in the Comber area of North Down. “It’s all down to the weather now,” said Angus Wilson, chairman of Wilson’s Country. “Growers can use plastic and fleece to protect new crops. But growers are still totally dependent on the weather over the coming weeks to allow crops to bulk up and to maximise their dry matter contents. It’s all about taste and freshness at time of harvest. “What growers need is an early spring in order to maximise the quality of the new season crop. Angus went on to point out that the market for first earlies remains a very traditional one with varieties such as British Queen and Home Guard remaining firm favourites with local consumers.”
From left, William Gilmore, of Newtownards-based Gilmore Farms discusses the prospects for this year’s Comber First Early Potatoes with Angus Wilson, chairman of Wilson’s Country.
Comber early potatoes were granted protected geographical indication (PGI) status under European law three years ago. PGI officially recognises the regional importance and distinctive characteristics of the Comber spud and means that only new season potatoes harvested from the fields of Comber and the surrounding area can be marketed as new
season Comber earlies. “PGI accreditation has given both the growers and the market for new potatoes a tremendous boost,” said Wilson. “The potatoes are prized for their distinctive earthy, nutty flavour and characteristic soft smooth skin. It is important for the industry to build on its PGI accreditation over the coming years.” Wilson was visiting the Newtownards farm of William Gilmore, a supplier to Wilson’s Country. “Consumers may not be aware of the time, work and effort that go into the growing and management of first early potato crops,” said Gilmore. “For example, all seed potatoes are chitted prior to planting. And where fleece or plastic is used, the additional costs involved are significant. Yes, it’s important to ensure that first earlies get to the shops as soon as possible. But the overriding objective is to guarantee consumers that unique taste experience that is synonymous with Comber earlies.”
Abernethy Butter celebrated for contribution to economy
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bernethy Butter has been recognised by the UK government as one of 50 of the UK’s most promising food and drink entrepreneurs recognised as Food Stars for their contribution to the UK’s growing economy. The company based on a family farm at Dromara in Co Down, was selected from hundreds of award-winning businesses across the UK and was the only business from Northern Ireland represented. Abernethy Butter will receive a package of continued support from the Food and Drink Federation (FDF) and Cranfield University
over the next year, including tailored information services and access to a range of events and development opportunities in agriculture and food, the environment, management and leadership. Leading figures in retail and food— including Justin King, former CEO of Sainsbury’s, and Dame Fiona Kendrick, CEO of Nestle UK and Ireland—launched the Food Stars scheme to help the winners grow their businesses and get more of their produce on supermarket shelves and dinner tables in the UK and across the world. The first initiative of its kind, Food Stars is
part of a wider government drive to inspire entrepreneurial activity across the UK as part of a long-term economic plan.
Morelli recognised at National Ice Cream Awards
First Alpine cheese from local producer
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ocal ice-cream producer Morelli was recently recognised at the National Ice Cream Awards during the Ice Cream Expo in Harrogate, Yorkshire, lifting the cup in the Open Vanilla Class and silver medals in the Dairy Double Cream Vanilla Continuous Freezer and for its Sea Salty Caramel. Based in Coleraine, the business recently celebrated the 80th birthday of its founder and ice cream flavour expert Guido Morelli. “It’s another great year for the family business and establishes us as the UK’s best producer of vanilla ice cream in particular,” said Naldo Morelli, commercial director of Morelli. “What we now want to do is to achieve greater success in the UK Great Taste Awards.” The company sources all its dairy products from Ballyrashane Creamery, also based in Coleraine, and also produces sorbets and frozen yoghurt. 8 • •Ulster 3618 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
rtisan producer Dart Mountain Cheese has recently produced Northern Ireland’s first Alpine-style hand crafted speciality cheese. The small company, based in the rugged Sperrin Mountains near Dungiven in Co Derry, has named the cheese Kilcreen after a local townland. It is the third speciality cheese produced in less than two years from cows’ milk, joining Sperrin Blue and Dart Mountain Dusk. The latest cheese has also been created by cheese maker Julie Hickey, originally from Lincoln in Massachusetts, who runs the artisan business with husband Kevin. Producing an Alpine cheese has been a longstanding ambition of Julie, who studied cheese making techniques before starting the business. “Our Kilcreen cheese is made to an Emmental recipe,” said Julie Hickey. “It’s a pasteurized cheese. At some point soon, I plan to move into raw milk production once I build up proof of a safe process of cheese making through regular testing with an accredited lab.” The husband and wife team also own Tamnagh Foods, which has won Great Taste Awards for its handmade granolas that are now being stocked by Harrods in London.
ULSTER GROCER MARKETING AWARDS 2015 SHORTLISTED ENTRIES
ULSTER
40 years At the heart of the Northern Ireland food industry
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ntries for the Ulster Grocer Marketing Awards 2015 have again exceeded the previous year, with an impressive array of prestigious retailers and manufacturers of all sizes set to compete for the industry’s top accolades. Winners will be named at the GroceryAid Ulster Grocers’ Ball in the Culloden Hotel on Friday, May 22. The gala ball event, which raises funds for the grocery sector charity and is a highlight of the local grocery calendar, is already approaching sell out. Chaired again this year by Michael Maguire of Quintus, the judging panel also includes Alan Egner, commercial sales and marketing manager for Power NI. The Ulster Grocer Marketing Awards are open to any company involved in retail grocery trading, from retailers to producers, suppliers and wholesalers, and are regarded as the leading sector-specific marketing accolades in the local market. Recognised as a mark of professionalism and generator of interest, the Awards offer businesses the opportunity to showcase their services and strengths to peers and clients. Ulster Grocer would like to extend its thanks and best wishes to all the local businesses competing in the Awards, and gratitude to the judges and sponsors.
Market ingAwards
a ma nnua l rk aw etin ar g ds
2015
Meet the Ulster Grocer Marketing Awards 2015 judges Michael Maguire, Quintus Michael Lawrence Maguire is a marketing analyst who specialises in business positioning strategies and brand development. Born in Belfast in 1948, he was educated in Kano and Lagos, Nigeria, and Dublin. In a 40-year career, he has worked and lived in Europe, and the United States. He spent his first decade in management positions in national companies and multinationals, and the second in public agencies involved in business development. For the last 20-plus years, he has worked in management consultancy, providing strategic marketing and business turnaround advice and guidance to many leading enterprises. A frequent columnist and commentator on international business, he is also author of ‘It’s Our Thing – 300 Years of Irish Brands’ published in 2011. He lists his hobbies as history, public speaking and people watching. He is married, has two grown up sons and lives in Crawfordsburn, Co. Down. Alan Egner, Power NI Alan Egner, commercial sales & marketing manager of Power NI, has over 35 years’ experience in the local electricity industry since starting as an apprentice with NIE in 1978. Alan qualified as an electrical engineer and moved into energy sales in 1984, designing and selling space and water heating for commercial buildings. Alan has since worked in a variety of sales, marketing and communications roles before starting in his present role in 2012. Alan was a senior member of the team responsible for the rebranding of NIE Energy into Power NI in 2011; one of the biggest local rebranding projects in recent times. Alan is now responsible for sales and marketing to Power NI’s 37,000 business and farming customers and for growing its customer base through targeted acquisition campaigns. Thanks to a recent easing of regulation in the market, Power NI can now offer bespoke, competitive contracts to larger users and multi-site businesses. Almost 700 businesses have switched in the last 12 months alone to Power NI, which remains the largest supplier in the local energy market. Power NI has also expanded into new energy products including boiler servicing and replacement, insulation packages and the installation of renewables such as PV and solar water heating.
Alyson Magee, Ulster Grocer
ULSTER
Editor of Ulster Grocer, Alyson Magee has been working in journalism as a writer and editor since 1996, initially for UK national daily and US regional weekly newspapers. Since 2001, she has specialised in agri-food trade press, writing and editing for a number of titles at William Reed Publishing including Meat Trades Journal, Food Manufacture, British Baker and The Grocer, and also currently edits UG’s sister title Hospitality Review NI.
Sponsored by:
Market ingAwards
40 years At the heart of the Northern Ireland food industry
2015
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ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES
Best 2014 Marketing Campaign Sponsored by McGowans Henderson Group : Campaign : SPAR ‘Hearts and Minds’ Christmas campaign SPAR’s Christmas campaign was a new departure for grocery retailers in Northern Ireland. Even though Christmas is the key sales period in the year, with 20% of the year’s sales realised over a five-week period, much of SPAR’s Christmas campaign didn’t feature products. Instead, SPAR invested heavily in building emotional affinity with customers, which played a major role in delivering a record sales performance which surpassed every sales target set. Fresh sales alone (its key category) increased year-on-year by over 10% (worth over £8m). Post-tracking research identified that 88% of SPAR retailers thought the SPAR Christmas campaign was ‘excellent or very good’ – again another record for SPAR. Beyond the highly visible and valuable short-term boost in sales (and the positive sentiments created amongst retailers), SPAR continues to enjoy a longer-term brand effect through an affinity dividend generated by the Christmas campaign. Tracking research by Millward Brown had identified that the Christmas campaign has increased customer loyalty levels by 14 percentage points, and Jan and Feb sales in 2015 were up 4.8% over the previous year.
Irwin’s BakeRy : Campaign : Giro d’Italia When Northern Ireland was awarded the accolade of hosting the start of the Giro d’Italia, Irwin’s Bakery was keen to show its support from the start. The Toast the Giro integrated strategy was implemented from April 1 in the run up to the Giro d’Italia Big Start, and turned Irwin’s iconic packaging pink. The race, with such a huge fan base, presented Irwin’s with a unique opportunity to get involved and reiterate its commitment to the local community, family values and health-conscious consumers. As a familyrun business, Irwin’s wanted to target families by creating a sense of fun, aligning with the Giro and strengthening the interaction between consumers and the business. To support the campaign, Irwin’s partnered with 20 SPAR stores around the Giro route to give away 20 bikes to customers. Operating with a limited budget, the aim was to devise and deliver a campaign to raise the profile of Irwin’s Nutty Krust, Softee and Rankin Selection range. Kerry Foods : Campaign : LowLow – Food to Feel Good About The category language and behaviour of healthier food brands was seen by our target consumer as clichéd, patronizing and condescending. As a brand, LowLow needed to create a campaign that would address these issues and drive brand relevance to re-establish it as relevant and modern. It embraced both traditional and new media channels to reach consumers, creating a 74-second online parody which was a humorous send up of the typical clichés seen in the world of diet ads and asked consumers to ‘Have their say’ on the Facebook page. It was supported by a large PR campaign as well as bespoke 10” copy to drive awareness around high affinity TV and VOD, followed by an extensive outdoor, press, point of sale and digital campaign to establish a ‘feel good’ position. Results far exceeded initial expectations with the digital copy going viral and reaching over 2.3 million YouTube views, a position in the YouTube top 10 of the week and positive coverage as far as the Huffington Post, and 100,000 Facebook fans. This led to 25% volume growth in the brand with 11% growth in share, halting the penetration decline.
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2015
8 • •Ulster 3620 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES
Livestock & Meat Commission : Campaign : NIFQA Beef and Lamb Lyle Bailie International’s campaign for LMC was all about building mental and physical availability. Northern Ireland Farm Quality Assured (NIFQA) Beef and Lamb is verified using a world leading traceability system, ensuring that beef and lamb in NI is produced to the highest standards as regards the three pillars of assurance; food safety, animal welfare and care for the environment. But in NI it was being ignored in buying situations, especially NIFQA Lamb. Using 20 sec TV spots, radio work, a new consumer website providing meal inspiration and additional eating occasion ideas, digital advertising activity including social media, and press partnerships. The campaign increased the recognition of the NIFQA brand amongst NI consumers to over 80% for NIFQA Lamb and 82% for NIFQA Beef, ensuring that more outlets stocked the brand and more people bought the brand, and more often. Beef and lamb were able to grow penetration by 0.3% to 94.1% in NI, and the campaign supported an improved price of 8.2% year on year (Kantar Worldpanel). Improved retail presence for NIFQA Beef and Lamb has also resulted.
Mackle Petfoods : Campaign : Brandy Mackle Petfoods successfully relaunched its flagship brand, Brandy in 2012, with an extensive three-year marketing programme. Brandy continued to experience excellent growth during 2014, maintaining its position as the number one Irish-made dog food brand and the second largest dog food brand in the Irish market. A robust marketing strategy was required to help maintain sales and grow the brand’s market share. The creative idea in the relaunch campaign made the link between your dog being a member of the family and, as a family member, they deserve the best. The challenge for 2013 and 2014 was to reinforce why Brandy is the best for your dog, and why customers should continue to buy Brandy. Mackle Petfoods developed a purchase rationale by building upon the key brand message, Brandy – because they’re 100% Family, to create an emotional connection with customers. Delivered through a multimedia marketing campaign, aimed at encouraging repeat purchase by rewarding customer loyalty, an on-pack promotional campaign built upon the key brand message with digital marketing becoming a platform to build an ongoing relationship with Brandy customers and achieve campaign sustainability. Milestone Rathfriland : Campaign : Mini @ the Milestone During 2014, Milestone Rathfriland invested £2m in expanding its Nisa store into a modern, state-of-the-art building with new and innovative ideas in retailing. Owner Tom McAvoy wanted to relaunch with new branding, new products, new labelling and a new concept in shopping. A brainstorming session resulted in the idea of an official opening on November 1, with a Halloween theme encouraging children to come in fancy dress. To convey the quality, freshly prepared food and drinks, convenience and affordable prices on offer, the event was promoted through press, radio and social media including a Mini @ the Milestone draw offered through a raffle with free tickets given to those spending £25 or more. Celebrity illusionist David Meade cut the ribbon and performed at the event. Following the promotion, the store has experience an average sales increase of £30,000 per week, with its customer base expanding alongside footfall and sales.
Moy Park : Campaign : #TeamMoyPark World Cup 2014 Knowing that most people would be somewhat taken aback to find Moy Park, a local employer and leading provider of fresh, locally farmed poultry in the UK and Ireland, all over the pitch-side adverts as sponsors of FIFA World Cup 2014 in Brazil, the company set out to deliver a hugely successful brand communications and tactical on-pack promotional campaign that would raise brand awareness and engage fans. The key objectives were to generate conversations around the consumer brand and drive sales, cover matches in real time, engaging with its audience and activating the sponsorship messaging on and offline. #TeamMoyPark was chosen as the hook, not only as an external tool to invite social audiences into the inner circle of the Moy Park brand but also as an internal mechanic to pull together support from across different departments within the organisation and ensure everyone was behind #TeamMoyPark through the tournament. The campaign was so successful that it influenced Moy Park’s 2015 marketing strateg,y ensuring that the brand has an ‘always on’ digital presence going forward.
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ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES SuperValu : Campaign : SuperMums The SuperValu brand is about Real Food for Real People. It prides itself on authenticity, is down to earth and takes real care in delivering good honestly priced food for individuals and families. The Supervalu SuperMums campaign was designed to connect with this target audience for a sustained period, to create positive media interaction and to drive sales in store. The campaign was championed by two working mums, TV personality Claire McCollum and SuperValu Marketing Manager Donna Morrison. It was launched exclusively with Sunday Life and U105, the campaign’s media partners, and then on SuperValu NI’s Facebook page and website with follow up PR release and pictures sent to all Northern Irish media. SuperMums succeeded as a campaign on many levels. It showcased Northern Ireland’s SuperMums and provided high visibility for the SuperValu brand, drove footfall to stores, highlighted in-store products and built brand links with this key audience segment. The 2015 SuperMums competition was launched in March.
Whites : Campaign : Good days, crafted by White’s Following a recent product relaunch, White’s wanted to create awareness of their new packaging with a TV, outdoor, radio and digital advertising campaign. Building on the new brand positioning message, White’s takes time, so you can make the most of yours, RLA developed a campaign celebrating the expertise, time and passion White’s puts into making good quality oats. The strategic proposition, Good days, crafted by White’s, places White’s Oats at the heart of the communication, and uses a combination of live action and animation to visually portray how starting your day with White’s Oats gives you energy. Music for the TV ad builds on the feeling of energy, passion and craft going into White’s Oats. The 30-second ad was aired on UTV and C4, and supported by radio, PR, digital and social media activity with competitions building on the advertising theme, Make today a good day with White’s run on the Facebook page.
Best New Product Launch/Re-launch Sponsored by Dennison Commercials Kerry Foods : Campaign : Yollies Kerry Foods has long pioneered kid’s cheese snacking across Ireland, GB and more recently Europe. With an aspirational vision to be the number one kids’ snacking brand, Kerry Foods needed to challenge itself beyond its current occasion, category and format and meet consumer needs in new ways. It quickly identified a significant consumption opportunity in the yogurt category, and frustration from parents around new rules banning unhealthy sweet snacks in lunchboxes. Yollies were born from two years of insight, brand and product development to bring a world first innovation completely built around a consumer insight and need. Yollies was a clear winner in the research with 84% purchase intent. The product is an extra-thick, fruity yogurt, firm enough to stay on a stick, packaged in stay-fresh pods with no need for a spoon and no mess. Yollies were launched into Ireland in August 2014 with a fully integrated launch plan. They have achieved 10% of the category penetration and driven 4.8% of the category sales since launch, getting the clear thumbs up from parents, kids and the lunchbox police. Linden Foods : Campaign : M&S Salt Aged Steak Range A lot of market research was completed to ascertain where the market was moving and what opportunities it could provide for Linden Foods, looking at beef and dry aging trends, the premium meat markets and overall food trends for inspiration. Linden Foods has been providing M&S with premium top tier dry aged steak products for over seven years. As part of the continuous improvement strategy and the innovating relationship with M&S, Linden Foods set out to create a new product which was high quality and full of flavour. The artisan nature of the dry aged process meant the processor would have to raise the bar, and the team created a new salt aged steak range. Salt moss ageing adds another dimension to the classics of dry ageing. Salt Aging means all ingredients for Linden Foods’ salt bricks are produced and sourced in the Island of Ireland, 100% natural, contains no artificial additives and are organically harvested.
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2015
8 • •Ulster 3622 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES Linden Foods : Campaign : Lidl Pulled Pork Burger A desire from Lidl, in conjunction with Linden Foods, to offer the customer something innovative in terms of burgers for the BBQ range resulted in a first to market concept. Market research and category indications showed a consumer demand for more premium top quality, innovative burgers at a competitive price. The concept of pulled meat is very much on trend at the moment. With a lot of burger chains and restaurants offering burgers topped with pulled beef, pork or chicken, taking inspiration from the US, Linden Foods identified an opportunity to incorporate it into a burger to allow consumers to recreate the same concept at home. A lot of factory trial work was completed in order to work out the correct process to manufacture the burger so the correct texture was achieved, while extensive packaging trials were conducted as the type of product had never been presented in this format before for the total life Linden Foods was trying to achieve. Product tasting and evaluation within the company staff was followed by consumer focus groups in advance of the product launch. Linden Foods : Campaign : M&S Coriander & Lemongrass Chicken Burger The burger was developed by Linden Foods for M&S to offer customers something innovative for the BBQ range after market research and category indications showed a consumer demand for more premium top quality, innovative burgers at a competitive price. The main driver form the market research was for something new and exciting in terms of fresh burgers, a different protein, as many consumers are health conscious and a chicken alternative is more appealing while many burger chains and restaurants are offering flavoured chicken burgers. SuperValu : Campaign : Signature Tastes With quality, healthy produce at the core of the Musgrave offering, MRPNI created the award winning Signature Tastes range of ‘Dine In’ ready meals for the SuperValu brand. Signature Tastes includes 21 high quality products with ten mains, seven sides and four desserts. The premium range is a key part of SuperValu’s wider own brand strategy to extend the current consumer shopping experience by offering high quality products at a value price. To bring this new product to the market, SuperValu implemented an innovative launch strategy. Signature Tastes launch strategy succeeded in achieving its core objectives of informing and shaping shoppers’ perception of ‘ready meals’ and in communicating the premium quality of the range. The cornerstone of the strategy’s success was gaining retailers buy in first. This was the key to making the ‘in-store’ marketing channel work at its most efficient. When MRPNI coupled this channel with the correct mix of traditional and digital marketing and first class public relations, it hit the ‘sweet spot’ in terms effective product launch. White’s : Campaign : Good days, crafted by White’s Increased competition and innovation from in the oats category threatened to dilute White’s leadership position. White’s needed to reengage with its customers and reassert its leadership, while creating a visual equity with its brand allowing differentiation in a crowded market. The aim was to inject more authority and credibility into the brand, moving it from functional and passive to emotive and relevant with a focus on the quality of the natural ingredient. White’s takes the time, so you can make the most of yours recognises the active attitude of oat eaters, while a new brand positioning leveraged on the values of heritage, provenance, expertise, care and uncompromising quality. New packaging places oats at the heart of the design, improving brand recognition and visibility while a campaign used the positioning Good days, crafted by White’s through a combination of live action and animation visually portraying how starting the day with White’s Oats gives you the energy to make the most of your day. Doherty & Gray : Campaign : Hull’s of Ballymena Ballymena-based family business Doherty & Gray has completed a major relaunch of its successful and much loved Hull’s brand. Working with leading Belfast design company Mark’s, Hull’s has been completely redesigned into a modern, vibrant local brand tailored for Northern Ireland shoppers. The new branding features ‘Hull’s of Ballymena’ on each pack, highlighting to shoppers it is a quality, locally-produced range. This message will continue to flow through on all retail packs and advertising moving forward. The aim has been to deliver further growth for the Hull’s brand province-wide by offering a high quality range of products and driving trial and awareness with shoppers and consumers. This is only achievable by ensuring that Hull’s is an instantly recognisable brand, at an affordable price and with strong distribution throughout the province. Kantar data for the 52 weeks ending Jan 2015 has confirmed Doherty & Gray as the fastest growing fresh sausage manufacturer, in addition to the largest fresh beef sausage manufacturer in NI. ULSTER
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ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES Nisa Retail : Campaign : Heritage relaunch During the last year, Nisa has overhauled its entire own label range following a significant investment by the company. The company assessed the market and observed the trends and influences affecting shopper behaviour such as people being increasingly time poor, the trend towards scratch cooking, eating in being the new eating out and the fact we have an aging population who tend to shop locally, and used this information to create a brand to meet its consumers’ needs. This culminated in the brand new look Heritage range which incorporates three tiers, of which Heritage is its mid-tier range which looks to offer consumers the same quality as their favourite brands. The Heritage range has been developed with passion to deliver on flavour and value, for the first time consumers can pop around the corner for the best own label range available, helping to make Nisa stores the destination of choice. The Heritage tier combines quality and value in a specially selected range of products, from pizza to pork sausages.
Best CSR Initiative/Charity Partnership Sponsored by Hunky Dorys Asda : Campaign : Various charity partnerships With household incomes in Northern Ireland lower than any other region in the UK, Asda launched its Community Life Programme in 2012 with the simple aim to make the areas around each Asda store better places to live, work and grow up. The programme resources a ‘Community Life Champion’ in each store to dedicate their role to building strong links with local charities to support fundraising, offer time volunteering and make the facilities in Asda’s stores available to charity groups free of charge. Asda’s charity partnership focus is supported by the Asda Foundation, which makes funds available to charities if their application is supported by their local Asda store. Successful applicants include FASA with its new Nightingale crisis support centre, for which it has secured capital support of up to £20,000 to help improve facilities. Asda wants each of its stores to be at the heart of their local community, creating a shared value for the business and communities. Henderson Group : Campaign : EUROSPAR & VIVOXTRA/Cancer Fund for Children Henderson Wholesale and its large format supermarket brands, EUROSPAR & ViVOXTRA, have been supporting Cancer Fund for Children since May 2011. 2014 saw a rejuvenation of the partnership to drive further awareness, raise even more funds and extend the support of the organisation further by stepping out of stores and into the community. Staff from EUROSPAR & ViVOXTRA have gone the extra mile to raise funds, not only participating in store-led events and collections, but also committing themselves to larger fundraising targets such as skydives, treks and abseils. Additionally, 2014 brought about the sponsorship of ReadOn, Cancer Fund for Children’s schools reading initiative, a campaign that will not only bring in vital funds for the organisation but also reach out to over 13,000 young people in Northern Ireland. The campaign was designed to raise awareness of the effects of childhood cancer, and what Cancer Fund for Children can do to support families who have been affected. This highly successful year for the partnership, saw a significant increase in staff engagement levels, a consistently high level of fundraising income and valuable PR exposure for both organisations.
Irwin’s Bakery : Campaign : Irwin’s/Helping Hands Irwin’s has a longstanding relationship with its customer base and engaging with its home market as a responsible local employer through local charities and supporting cross-community sporting programmes. Biannually, Irwin’s selects a local charity to support and fundraise for, with the aim of promoting positive family values within the business. The charity is chosen carefully to reflect Irwin’s own values, good governance and commitment, and staff are encouraged to nominate at the selection stage. This past year, Helping Hands was selected; inspired by the experiences of an Irwin’s dispatch employee. Helping Hands is a complementary charity that works alongside The Royal Victoria Sick Children’s Hospital for Northern Ireland to help local sick and vulnerable kids.
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40 years At the heart of the Northern Ireland food industry
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8 • •Ulster 3624 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES Tesco Northern Ireland : Campaign: Tesco NI/Diabetes UK The Tesco National Charity Partnership has raised £18.6m for Diabetes UK, of which £623,274.59 was raised across Northern Ireland. Every day, for the last 500 days, Tesco colleagues up and down the country have been doing something extraordinary for Diabetes UK. Tesco staff have involved their family, and friends, customers and colleagues, suppliers and communities to make this even more amazing. The partnership has generated increased awareness of diabetes across Northern Ireland and the reach is estimated to be over 600,000 members of the public. “The partnership with Tesco has been outstanding in terms of the work and commitment of both Tesco staff and Diabetes UK Northern Ireland volunteers who have thrown themselves into so many events to help raise awareness and funds for people living with diabetes,” said Alan Hanna, interim national director for Diabetes UK Northern Ireland. “There are now nearly 83,000 people living with the condition in Northern Ireland with a further 12,000 living with Type 2 diabetes who have not yet been diagnosed so having a partner like Tesco to help us raise awareness has proven extremely helpful in reaching a wider audience and engaging with the community.”
Green Retailer of the Year Sponsored by Power NI Henderson Retail Henderson Retail is committed to protecting the environment in which its stores operate, and has done so by working with employees and suppliers to implement procedures and practises that aim to improve its impact on the environment. It actively seeks to minimise its impact on the environment, by reducing carbon footprint and focusing on sustainability in all aspects of its supply chain. Two key areas of focus are waste and energy management. Keeping in line with the overall Group’s ‘green’ ethos and maintaining its operational sustainability, Henderson Retail works closely with Group resources and service providers in its quest for continuous achievement of its environmental objectives. From continual analysis of the energy usage (including breakdowns of store equipment), its goal is to reduce units used by 2% through installation of more efficient equipment and better team practices. In terms of waste management, Henderson Retail works closely with ISL Waste Management, with the objective of increasing recycling levels across all stores and reducing the amount of material sent to landfill by 98%.
JC Stewart JC Stewart is a family business that is in, and of, the local community. The decision to make the business more environmentally sensitive was both deliberate and very natural for the current MD, Paul Stewart. And, so began a journey that has involved investment in staff training, state of the art equipment and the establishment of a new way of thinking and operating. The results are meaningful and measurable cost savings and a more energy-efficient set of operations. JC Stewart partnered with The Carbon Trust and has selected suppliers who are also pioneers in green technology. Internally, staff training and the allocation of staff resources to exploring better, more energy efficient ways of doing things, has produced real, tangible results. Many of the initiatives undertaken have also been quite visually evident to customers such as the big hopper for wood pellets in the car park. The cumulative effect on staff, customers and the business is ultimately more beneficial to the wider community and the environment.
BEST brand Cloughbane Farm Shop As a farming family, the Robinsons were struggling to make a living and badly wanted to maintain a farm-based enterprise. Taking the opportunity to be founder members of a farmers’ market, a farm shop followed and was soon expanded into its present cooked foods business. The business used the fact it was situated in a very rural farming location as one of its unique selling points. Initially relying on local press to sell our story the farm shop, Cloughbane has since invested a substantial amount of time and money into its marketing strategy and now uses a broad spectrum of marketing tools, including local press, e-marketing and TV campaigns to gain brand recognition. As the business continues to grow, the working family farm ethos remains constant as evident in its PR and marketing materials. While being a family business in a rural area can be difficult, Cloughbane has turned a negative into a positive by developing the farming and the family aspect into a strong marketing tool. The business has grown from a hobby with a turnover of less than £1,000 a week 10 years ago to a turnover of over £4m this year. ULSTER
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ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES Irwin’s Bakery While the bakery sector is very much price-led within Northern Ireland, Irwin’s has been baking since 1912 and its reputation for quality has given consumers confidence in the range and inspired loyalty across its brands. The strength of the Irwin’s brand provides a fantastic platform on which to launch new products. Objectives for 2014 included advertising the brand among consumers and customers focusing on Irwin’s brand values of family, quality, community and service. Encouraging affection for the Irwin’s brand was of paramount performance, and delved into using a variety of different marketing communications. With launching new products key to growth and attracting new customers, Irwin’s aimed to support all new launches with above- and below-the-line advertising. Irwin’s strategy is to be the top one or top two brand in every market it serves which was a large focus when looking at new products and improving current offerings. Market share has increased by 3.7% over the year, due to new market launches and continued support from the sales and marketing teams through promotions, POS, sampling and online advertising.
Best Food Export Marketing Award Mash Direct In just over 10 years, Mash Direct has grown into a £14m company, with two-third of sales coming from outside Northern Ireland. Exports form a crucial part of Mash Direct’s overall business growth strategy as the company has sought to develop its profile beyond Northern Ireland in order to grow sales and spread risk. In doing so, Mash Direct has achieved success within GB and RoI, as well as establishing itself within high profile supermarket chains across the United Arab Emirates. Retail food sales to Britain increased by 90% since the start of 2014, with sales to Scotland increasing by 59% to over £2m. Meanwhile, foodservice exports to England have grown by over 45% in 2015, with year-on-year sales over £1.1m. Customers in the Middle East increased by one to five, including the UAE and Bahrain and, at current growth, this market will represent £1m in sales within three years. RoI is the most mature market for Mash Direct, where sales increased by 39% to over £2m, eclipsing previous growth despite the difficult market conditions.
Best Artisan Foods Campaign Squeeze Wheatgrass : Campaign : The Adventures of Wilfred Wheatgrass As the UK’s only producer of a ready-to-drink wheatgrass shot with a 12-week shelf life, and Northern Ireland’s fastest growing health food producer, Squeeze Wheatgrass has already benefited from brand awareness and recognition. However, looking outside the box to raise its profile and customer engagement further, the business collaborated with the team at Uproar Comics to get its key messages across in a fun and engaging way with the Adventures of Wilfred Wheatgrass comic strip on its website and social media channels. While the first phase of the strip focused on New Year’s resolutions and Fighting the Toxins, a second phase moved onto Wilfred Wheatgrass on Holiday with the product’s ease of travel meeting the under-100ml flight restriction. In both comic strips, the key was to focus on a particular aspect of the product and brand, and to portray it in a fun, relatable manner, while using a new way to describe and showcase the product and its health benefits.
Best In-Store Consumer Sales Promotion Henderson Group : Promotion : SPAR Shop & Win Promotion SPAR NI has now rolled out two very successful phases of the Shop & Win campaign over the last year. It is a highly engaging and interactive in-store sales promotion, designed to drive shopper frequency and loyalty to SPAR stores across the province, while rewarding shoppers with thousands of instant prizes and the chance to claim a larger daily prize of an iPad or £500 cash throughout the duration of the promotion. The Shop & Win campaign has allowed SPAR NI to shift the needle against strong competition in the convenience channel and deliver on four core marketing objectives of increasing average basket spend amongst shoppers, encouraging younger shoppers to reappraise the SPAR brand and start shopping with SPAR, creating a campaign that the SPAR retail estate would fully support, and increasing engagement levels across social media and other on-line platforms for SPAR NI during the promotion. Results over a six-week period included a sales increase across the SPAR estate of 8%, with an increase in footfall of 4%, a 56% redemption rate in vouchers and 85% backing from the SPAR retail estate in terms of participation and compliance.
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8 • •Ulster 3626 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
ULSTER GROCER MARKETING perspective AWARDS 2015 SHORTLISTED ENTRIES Irwin’s Bakery : Promotion : Back to School Irwin’s focused on the brand values of family, quality, community and service in the run up to Back to School. From August 29, shoppers were able to pick up a free Irwin’s drawstring bag, perfect for lunches or PE kits in SuperValu and Centra stores across Northern Ireland when they purchased three products from the Irwin’s range. Families were able to choose from lunchbox favourites Irwin’s Muffins, Nutty Krust, Softee and Howell Handmade Jammy Joey Bites. With Irwin’s focusing on offering consumers quality products which are value for money and family-friendly, the promotion with the Musgrave group gave families a helping hand at an expensive time of year. Objectives were to generate awareness of the Irwin’s brand, create emotional contact, create traditions and rituals around usage, increase brand loyalty and improve quality to retain users.
CPM/Suntory : Promotion : Lucozade Sport 500ml 99p PMP pack With any major activation plan, CPM works collaboratively with its client Suntory to plan in-store execution. This is core to its overall strategic plan to ensure that all sales and merchandising activities are executed to, at minimum, industry best standards. CPM is immensely proud of the in-store sales promotions it has executed over the past year. The figures speak for themselves when it comes to the success of the Sport 500ml 99p PMP pack promotion. In a declining market, CPM not only maintained Lucuzade Sport in the number one position, it also increased sales with a 35% switching of retailers from standard packs to price marked packs, securing of 147 FSUs and 38 goal posts as well as five window stickers, and the smashing of its target of a 25% increase in sales in Nisa stores with an average sales uplift of 39%. The winning retail store (Nisa Camlough) celebrated uplift in sales volumes of 54% versus the same time period in 2013. This early build up in the year lead to an overall increase in 2014 on the sport brand of 6% revenue and 2% volume growth.
McGowans sponsors Best Marketing Campaign 2014 M
cGowans, a provider of digital printing services with sites in Belfast and Dublin, has joined the Ulster Grocer Marketing Awards as a sponsor of the Best Marketing Campaign 2014 category.
As leaders in the design and print of marketing collateral, it’s great to give something back to the industry we engage with on a daily basis,” said Brian Crawford of McGowans Print. “As one of the most hotly contested categories in the Ulster Grocer Marketing Awards, I am looking forward to finding out the winner and runners up in the Best Marketing Campaign on May 22.”
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‘DATE FOR YOUR DIARY’
DEEP RIVERROCK
BARBECUE EXCITING NEW EVENT! FRI JUNE 19TH 2015 AT THE TITANIC BELFAST
Ulster GROCERs’ Fri 22nd May 2015 The Culloden Hotel, Belfast
! T U O D L O S S T E une 2015 K J h C t I 9 1 T Q B , SOt ERvenRt –YGroceryAid Deep River Rock B Nex
My Life in the Grocery Trade Eugene Wallace, national account manager at Allied Bakeries WHAT DOES YOUR ROLE INVOLVE? I manage a variety of major customers in both Northern Ireland and also in the Republic of Ireland, with the focus on growing sales across our key major brands of Kingsmill, Sunblest, Allinson and Burgen, as well as retailer brands too. The focus is to deliver sales growth in a profitable manner for both Allied Bakeries and our customers, whilst meeting consumers’ needs in terms of quality of product and value for money. BRIEFLY OUTLINE YOUR EMPLOYMENT HISTORY TO DATE I started working in the grocery industry with a part-time job in the old Dunnes Stores Ballymoney grocery store whilst still at school, which I carried on as a week-end job during my university years. When I graduated in 1991, I took up a post as a trainee manager with Dunnes based in Larne. In 1993, I joined PRM as a sales rep and, for most of the next three years, I worked in the Republic of Ireland, working mainly with retailers and agents to increase distribution and drive sales across a range of chilled food products. In 1996, I joined Manor Bakeries, initially as a sales rep and then as their regional account manager for Northern Ireland; a role I held for seven years. In 2003, I moved to Allied Bakeries as a national account manager; a role I have held since. WHAT ARE THE BEST/WORST PARTS OF YOUR JOB? The worst part is easy, the 5:40am alarm call!
8 36• •Ulster UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
The best part is working as part of a great team of people at the bakery in Belfast, not just the sales team but right across all departments. BRIEFLY OUTLINE A TYPICAL DAY I know it’s an old cliché, but no two days are the same. After the shock of the 5.40am alarm call and the 50-mile commute from Ballymoney to the Castlereagh Road, I’m normally at my desk before 7.30am. There will be the usual catch up on emails and setting out what needs done for the day ahead. This could involve preparation for and attendance at meetings, either internal ones or with our customers, reviewing performance figures and working to delivering on the sales plans agreed. On other days, I can be out visiting stores to see the impact of our plans on shelf and seeing what can be done to improve them further. WHAT IS THE BEST THING ABOUT BEING INVOLVED WITH THE LOCAL RETAIL INDUSTRY? I’m very proud to work in the grocery industry in Northern Ireland. You only have to walk into any grocery store in Northern Ireland to see the huge contribution that local brands and producers have and the support that retailers give to them across a myriad of categories. These brands are not there for any sentimental reasons, they have to earn their right to be there and they most certainly do. This is something that you will not come across to the same extent in any other part of the UK. Where else will you get Sunblest Veda, or Tayto crisps! From starting at the age of 17, I have worked for 28 years in the grocery industry
in Northern Ireland and have met some great characters along the way and have learned a lot from them, even though the learning at times has been how not to do things! WHAT DO YOU LIKE TO DO TO UNWIND AWAY FROM WORK? I have three kids so I come to work to unwind! My 10-year-old son Patrick plays for a local football team so I can be found most Saturday mornings in Ballysally, Coleraine cheering him on and hoping one day he’ll play for West Ham Utd. With living near the North Coast, my wife Deirdre and I regularly take the opportunity to go for a walk along one of the many beaches we have to choose from. TELL US SOMETHING ABOUT YOURSELF THAT NOT MANY PEOPLE MAY KNOW. I’m the sixth of nine children; I have four brothers and four sisters.
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CRISPS, NUTS & SNACKS
Classic flavours & artisan snacks lead market growth Steve Chandler, director general of the Snack, Nut and Crisp Manufacturers Association (SNACMA) talks to Niamh Wallace. WHAT ARE THE LATEST FLAVOUR TRENDS IN THE SNACK SECTOR? Flavour variety is one of the greatest drivers for innovation in this category. It is possible to create almost any flavour you can think of but delivering the taste and eating experience consumers demand is never an easy challenge. So whilst Brits can’t get enough of more exotic cuisines such as Indian and Mexican, when it comes to their crisps and snacking, they just want to keep it simple. It seems the public is maybe tiring of crazy flavours and just want something that tastes great, like cheese. According to SNACMA, the top 9 potato crisp flavours are: 1) Cheese and Onion 2) Ready Salted 3) Salt & Vinegar 4) (Thai Sweet) Chilli 5) Lightly salted 6) Prawn cocktail 7) (Flame Grilled) steak 8) (Smokey) bacon 9) Sea Salt and balsamic vinegar This pattern is supported by sales figures from data analysts IRI which also indicate that cheese crisps are the nation’s favourite flavour, knocking plain ready salted into second place. More exotic flavours like chilli and its variants (cheese/beef/tomato) made the top 10, and sour cream and onion and BBQ flavours have both grown significantly since 2011. Beefy flavours remain popular and there has been steady growth for sausage flavours over this period. Off-the-wall flavours such as jalapeno crisps fell out of favour along with other herb and tomato based products. Fastfood inspired flavours like pizza and burgers did not match consumer expectations and were short-lived. ARE SNACKS OTHER THAN CRISPS INCREASING IN POPULARITY? While standard potato crisps remain the mainstay of the potato crisp category, it is the artisan or batch-fried potato crisps that have seen the biggest growth over recent years. The development of brands such as Kettle, Tyrrells, and Tayto Real crisps have been at the forefront of these developments, whilst KP McCoy’s and Pepsico’s Ridged crisps (and latterly Market Deli products) have also fared well. Meanwhile the iconic Pringles brand now under the Kellogg umbrella - has grown significantly across the UK and Europe. New introductions to the UK market such as Popchips, popcorn, and lower fat baked 8 • •Ulster 3630 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
products have seen the snacks (non-potato crisps) segment of the market grow ahead of the potato crisps segment, although the balance of potato crisps to other savoury snacks remains at around the 50:50 level. DO YOU EXPECT THE MARKET TO CHANGE MUCH IN THE FUTURE? Sales of crisps, savoury snacks and nuts have grown over the last five years, driven by a combination of inflation as well as consumers trading up to higher value products. However the actual market volume has remained fairly steady over the same period. Predictions for the next five-year period to 2019 suggest that volumes will show only marginal growth and sales value growth will be slower than the period 2009-14. HOW BIG AN ISSUE IS HEALTH FOR CRISPS, NUTS AND OTHER SNACKS? The challenge for the industry, as always, is to meet changing consumer demands. Interest in, and concern about, health and wellness mean producers need to develop betterfor-you products but ultimately these must deliver what consumers want which is a tasty, convenient treat. The sector has made significant investments in new technology/ingredients which in turn have helped deliver very significant reductions in the salt (50% less), fat (20% less) and saturated fat (70% less) levels in their core products. In addition, a whole raft of new products offering increased levels of fibre, natural ingredients, and cleaner labels, has given consumers a wide variety of choice. According to the government’s own statistics, savoury snacks are only small contributors to overall dietary intakes (salt <2%/ fat ~3%/ saturated fat <1%/ calories ~3%, sugar<0.5%) and it is generally accepted by key stakeholders that savoury snacks can be part of a healthy balanced diet. By offering consumers a wide portfolio of products that are made from everyday staple food ingredients (potato, maize, rice, wheat), with improving nutrition profiles, clear labelling and different pack sizes, we are helping consumers to make informed choices in this respect. There is no doubt that the pressure on our products will continue for the foreseeable future but we are committed to ensuring that savoury snacks remain as popular as they are today. They’ve been around for over 150 years and I’m sure they will be about for a long, long time to come.
Steve Chandler
Fact File I
n its latest sector publication, Celebrating the UK snacks industry, SNACMA reports: • The savoury snacks industry in the UK is estimated to be worth £3,229m. In 2013, the UK crisps and savoury snacks market was estimated at £2,778m. For the same period nuts were valued at £379m and popcorn £72m. • The sector’s input is equivalent to around 4% of the total UK food and drink manufacturing sector. UK savoury snack manufacturers directly employ around 9,800 people at over 70 sites located across the country. In particular, the sector supports UK farming jobs, with 96% of all potato crisps manufactured in the UK being made from home-grown potatoes. • As a sector, we buy around 14% of all the potatoes grown in the UK, equivalent to more than 750,000 metric tonnes. This is a significant amount and manufacturers who process potatoes are becoming more and more important to UK farmers due to a longterm decline in sales of fresh potatoes. • In 2013, the sector exported more than £70m worth of products, with year-on-year growth at 12%.Top export markets are Ireland, Germany and France. • SNACMA membership is open to any savoury snack manufacturer operating within the UK, with its current membership responsible for over 90% of all UK sales. It represents manufacturers of potato crisps, extruded snacks, corn chips/tortillas, baked snacks, savoury crackers, pretzels, popcorn, meat snacks, peanuts and other snack nuts.
CRISPS, NUTS & SNACKS
Tayto donates Springtime crisp profits to Marie Curie
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andragee-based Tayto has launched a new seasonallyinspired crisp ‘Springtime’, as part of its ongoing charity partnership with Marie Curie. With fresh flavours of lemon and basil, the special edition crisps are available in 100g bags from various multiples and convenience stores, costing £1. All Tayto profits from the sale of ‘Springtime’ crisps will be donated to Marie Curie. Tayto undertook a targeted PR and marketing campaign to launch the crisps with Mr Tayto searching for love though a Lonely Hearts ad and via social media. After receiving many suggestions of potential girlfriends, he found his perfect partner in Miss Daffy, Marie Curie’s mascot, as the two organisations continued to work closely together. Mr Tayto was then inspired to create the special ‘Springtime’ crisps in her honour. “Tayto has been supporting Marie Curie for a number of years, raising money through various fundraising initiatives,” said Paul Allen, CEO of Tayto. “In the last two years, we have Pictured launching the new Tayto lemon and basil flavoured ‘Springtime’ crisps are, from donated more than £120,000 and the launch of a special edition left, Ciara Gallagher, head of Fundraising, Marie Curie Cancer Care Northern Ireland; Mr Tayto; Paul Allen, CEO, Tayto Group; Miss Daffy, Marie Curie’s representative; and Elly Marie Curie crisp could raise a further £25,000 for the charity, Hunter, marketing director of Tayto. which would equate to 1,250 hours of nursing care for patients in Northern Ireland. “Our teams across our five Tayto Group sites in the UK have got really involved in raising money for the charity and corporately, we have been working on various CSR projects which benefit Marie Curie. As the biggest crisp and snack manufacturer in the UK, we produce more than five million bags of crisps across our factories every day and launching a special Marie Curie crisp, produced in our Co Armagh factory, to raise money for the organisation was a logical next step in our ongoing partnership.” Elly Hunter, marketing director of Tayto, adds: “Springtime crisps are flavoured with the fresh tastes of spring – zingy lemon and aromatic basil and the Daffodil covered packaging clearly indicates that the crisps have been created to benefit Marie Curie. As we are donating all Tayto profits from the sale of these crisps to the charity, we really hope that customers enjoy and spread the news about ‘Springtime’ crisps, helping us to raise as much money as possible for Marie Curie.” Activity for the ongoing charity partnership can be found on www.facebook.com/TaytoNorthernIreland or @MrTaytoNI #TaytoMarieCurie.
Kettle Chips launches new seasonal flavour
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ettle Chips is the UK’s leading hand cooked crisp brand (1), with research indicating 80% of target consumers enjoy entertaining people at home (2) and when they do, Kettle Chips is often their first choice as a premium snack. Kettle Chips is introducing a new seasonal flavour to its range of hand cooked, sharing chips in time for the summer sales period. Available for a limited period, Kettle Chips Thai Sweet Chilli, Lemongrass & Coriander is perfect for barbecues, or simply for sharing with friends and family this summer. “The Seasonal Editions play a key role in delivering flavour innovation in the category and generating consumer excitement,” said Andrew Slamin, marketing director at Kettle Foods. Thai Sweet Chilli will give a seasonal boost to our strong core range and offers retailers something new for their customers. As a top three sharing brand (1) Kettle can help to capitalise on consumer trends towards better quality snacking options and the continuing popularity of entertaining at home.” Packaged in a vivid bag to create on-shelf stand out, Thai Sweet Chilli, Lemongrass & Coriander was developed by the Kettle Chips Chef, who was tasked with creating a tasty seasoning which captures the spirit of fresh summer food. The Asian-inspired result combines spicy, sweet heat with aromatic lemongrass and the freshness of coriander, and tastes great coupled with a beer or glass of wine. Last year, Kettle unveiled a range of delicious Baked Chips aimed at health-conscious consumers who are looking for lighter, ‘better-for-you’ snacks without compromising on taste. Kettle Baked Chips were devised with the intention of creating a truly authentic alternative to other low-calorie snacks on the market, with great taste central to the product. In keeping with the Kettle ethos, the Baked Chips are made from real food ingredients. The Better for You range consists of single serve Baked Potato Chips, as well as sharing bags of Baked Sweet Potato Chips. Offering under 100 calories per pack and 70% less fat than standard crisps, Kettle Baked Potato Chips provide a lighter alternative when snacking on the go, or to partner a sandwich at lunchtime. They are made from the finest potatoes, which have been sliced with the skins on and then oven-baked to offer a crispy chip, and are available in two tasty variants – Sweet Chilli and Cream Cheese & Chive. Kettle Sweet Potato Chips are a unique and innovative snack – they are the first baked sweet potato crisps to be launched in the UK. 1 Nielsen data to 31st January 2015 (total market 52 weeks value sales data). 2 TGI 2014 .
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CRISPS, NUTS & SNACKS
Primula Dips targets snack pairing opportunities Sarah Turnbull, marketing manager at Primula Dips, looks at trends in the market for dips
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e’re a nation of snackers and UK adults undertake an estimated 13 billion athome snacking occasions per year. Interestingly, when consumers are purchasing snacks, around 60% buy paired items; for example, crisps and dip. The consumer sees dips as a dual purchase which are, therefore, often placed alongside crisps or crudités by retailers. The UK ambient dips market is currently worth £34.6m, which is a positive growth in value sales of 2.3% year-on-year. An increase in household penetration and purchase frequency has resulted in volume (kgs) of ambient dips sold also growing by 10.6% and we’ve taken this progression in the sector as an opportunity to re-design and re-engineer the Primula Dips range in keeping with consumer tastes, and have re-launched into the UK and Republic of Ireland. Understanding our consumers has been central to our product development. Extensive consumer research has indicated an impressive 87% of people when questioned agreed our
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new Primula Dips have strong appeal with clear flavour identification and would be highly likely to purchase. Furthermore, 70% of those questioned liked the new imagery and characters, and would happily serve Primula Dips to their friends. Through closely monitoring consumer behaviour, we know the main snacking occasions are at lunch time or after returning home from work and that snacks are purchased
an average of 807 times per year. Consumers are familiar with and enjoy the ‘core range’ of dip flavours – salsa, sour cream and chives, nacho cheese – and often buy more than one per purchase.
AGRI-FOOD NEWS
Agri-food advice: Capital Gains Tax planning Seamus McCaffrey, managing director of Omagh-based Matrix Business Services, is an expert columnist for Ulster Grocer covering tax and business issues.
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apital Gains Tax is the tax payable on the increase in the value of a business asset, for example business property, shares and goodwill. Capital Gains Tax is concerned with beneficial ownership not legal title, and, gains up to April 5, 1982 are exempt. The gain is calculated by looking at the difference between the sales proceeds, or current market value if a gift, and the original cost or, if the asset was acquired before April 1982, the valuation of April 1982. Enhancement expenditure since the date of acquisition and disposal costs are allowable, as is an allowance for inflation up to 1998. There are three rates of Capital Gains Tax dependent on the particular circumstances giving rise to the gain: 10%, 18% and 28%. Each individual making a taxable gain has an exemption of £11,000 of a gain but if the vendor is a trust, the exemption is only £5,500. A limited company has no exemption. There is no Capital Gains Tax payable on transfers arising at death. There are many and varied reliefs against Capital Gains Tax. Firstly, the gain on the sale or gifting of your principal private residence is exempt. If you move out of a dwelling house before it is sold or gifted, you are allowed a further period of 18 months where contracts are exchanged on or after April 6, 2014. If, during the period of ownership of the house, it was let out, then there is lettings relief which can be claimed, subject to a Revenue formula. Secondly, there are a number of reliefs against Capital Gains Tax on the sale or gifting of business property. Where a property from which a trade is carried on is sold and the proceeds are reinvested in the purchase of new business property, improvement to existing property or the construction of buildings used for business
property, then the gain on the sale of the first property is ‘rolled-over’ and the payment of Capital Gains Tax is deferred until the second property or subsequent properties are sold. The new business property must be acquired one year before the sale or three years after the sale of the first property. The gain on the transfer to the next generation of a business property from which a trade is carried on is eligible for ‘hold-over’ relief. This means that no Capital Gains Tax is payable at the time of gifting the business property provided that both the transferor and transferee jointly sign a written election stating that the amount of the gain arising on the transfer is ‘held-over’ until the business property is eventually sold. Where the business owner sells all or a major part of the business but does not reinvest the proceeds in new business property, then Entrepreneurs’ Relief may apply, resulting in Capital Gains Tax being paid on the gain at 10%. In order for Entrepreneurs’ Relief to apply, there must be a very significant reduction in business activity or a complete cessation. A recent tax tribunal decision ruled that a significant change in a business was a cessation of one trade and the start of a second business and, therefore, the taxpayer was able to claim Entrepreneurs’ Relief against the gain on the disposal of the first business. The decision will be of interest to business owners who are contemplating a shift of emphasis in the business, and the disposal of assets used within that business. Entrepreneurs’ Relief is also available to the gain on the sale of shares in trading companies and to shares in companies which are approved by Revenue and Customs under the Enterprise Investment Scheme (EIS). Up to December 3, 2014 individuals and
partnerships incorporating a trade into a limited company could avail of two tax reliefs. The first was to pay 10% on the goodwill which they sold to the company. The purchase price became a debt owned by the company, allowing a tax free drawing as the company made profits and could repay the debt. Second, if the business was incorporated after April 1, 2002, corporation tax relief was available to the company as it amortised that goodwill. With immediate effect from December 3, 2014, Entrepreneurs’ Relief ceased to be available on such a sale of the goodwill and tax relief can no longer be obtained on depreciating it once in the company. The new rules apply for assets acquired by the company from December 3, 2014 unless acquired under an unconditional contract before then, with an accounting period straddling December 3 split into two for the purpose of apply the rules. Capital Gains Tax planning is a key ingredient in implementing an effective succession strategy. Seeking timely advice ensures that the business can avail of the many tax reliefs which are available.
NI agri-food innovation showcased to EU Commissioner
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U Commissioner for Agriculture and Rural Development Phil Hogan recently met with representatives of the Northern Ireland food, animal feed and farming sectors to learn about the innovative work taking place throughout the supply chain, including an initiative driving new standards in quality control and ground-breaking developments in the area of agri-nutrition. Moy Park, Devenish Nutrition and the Institute for Global Food Security at Queen’s University Belfast presented a showcase of pioneering projects to the Commissioner during his visit to Northern Ireland in late March. Pictured are, from left, Prof Aaron Maule, acting head, School of Biological Sciences, QUB; Prof James McElnay, pro-vice chancellor, QUB; Owen Brennan, executive chairman, Devenish; Phil Hogan, European commissioner for Agriculture and Rural Development; Alan Gibson, UK and Ireland director, Moy Park; Robin Irvine, chief executive, Northern Ireland Grain Trade Association. Photo credit: Simon Graham/Harrison Photography
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AGRI-FOOD NEWS
AFSB outlines priorities to EC Agriculture Commissioner A gri-Food Strategy Board (AFSB) Chair Tony O’Neill, along with UFU President and AFSB Member Ian Marshall, recently met with EC Commissioner for Agriculture and Rural Development Phil Hogan to outline AFSB’s vision and the role the EC might have in helping to deliver it. The AFSB’s strategic action plan Going for Growth identifies an increase of 60% in turnover and 15,000 additional jobs in the agrifood sector. For this growth to be sustainable, it must be based on the foundations of environmental sustainability, strengthened supply chains and increased innovation in products, processes and technologies; common threads running through the EC’s Rural Development Programme. “We took the opportunity to outline the importance of developing the local supply chain to secure the sustainability of the agri-food sector in Northern Ireland,” said O’Neill. “The AFSB’s aspirations for growth in the agri-food sector mirror the principles of the European Union’s own jobs and growth strategy, Europe 2020, which aims to create the conditions for smart, sustainable and inclusive growth. “The Commissioner is aware of the role that the 2014-2020 Rural Development Programme will have in delivering the aims and objectives of the Agri-Food Strategy Board, particularly with our shared commitment to supply chain integration and the importance of
Pictured are, from left, Tony O’Neill, chairman of the Agri-Food Strategy Board and Phil Hogan, EC Commissioner for Agriculture and Rural Development.
maintaining our clean, green image when seeking new markets across the globe. “We were also interested to hear about the Commission’s recent announcement regarding financial instruments and we believe that consideration should be given as to how these might be used alongside existing plans within the draft RDP.”
Owen Brennan awarded at UFU 2015 Annual Dinner
Pictured are, from left, Cormac McKervey, senior agriculture manager, Ulster Bank; Colin McDonald, chief executive of the RUAS; and Andy Mills, regional director Business Banking, Ulster Bank.
Pictured are, from left, NI Agriculture Minister Michelle O’Neill; winner of the Belfast Telegraph Cup Owen Brennan; EU Agriculture Commissioner Phil Hogan; and UFU President Ian Marshall.
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lster Farmers’ Union President Ian Marshall was delighted to welcome over 230 guests, including UFU members, key representatives from the agriculture industry and politicians to the UFU’s Annual Dinner held in the Canal Court, Newry at the end of March. Notable attendees included European Agriculture Commissioner Phil Hogan; NI Executive Ministers Michelle O’Neill, Danny Kennedy, and David Ford; Agricultural Attaché for the U.S Embassy Stan Phillips; and the presidents of the National Farmers’ Union, NFU Scotland, NFU Cymru, and the Irish Farming Union. “The UFU annual dinner is not only an opportunity to celebrate Northern Ireland’s farming industry but also a chance to network with industry partners, policy makers and politicians, which is especially timely given the current CAP implementation situation, and I had a long conversation with EU Commissioner Hogan with regards to issues such as regional reserve, land availability, ‘young old farmers’ and greening,” said Marshall. Also during the evening, the award for outstanding agricultural achievement was presented to Owen Brennan from Devenish Nutrition. 34
Ulster Bank highlights lending potential at Balmoral Show launch
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orthern Ireland’s food and drink sector is set to benefit from significant support in the coming months, according to speakers from Ulster Bank at last month’s launch event for the 2015 Balmoral Show. While the King’s Hall was the setting for the launch event, the Balmoral Show will be held at its new home of Balmoral Park over May 13-15. With £1.5bn available to lend to businesses this year, Ulster Bank said that it will be able to provide even more sustained support to food and drink companies and the wider agri-food sector. “The Balmoral Show is an important opportunity for us to speak to the industry face-to-face, to hear their concerns and demonstrate our commitment to supporting growth across the country,” said Andy Mills, regional director of Business Banking at Ulster Bank. “We’ve taken customer feedback on board, and created a dedicated food and drink proposition to support local companies. This means that we’re well positioned to support local firms.”
MARKETING NEWS
Claire O’Reilly (right), event manager of the Belfast City Marathon is pictured with Danielle McBride, brand manager of White’s Oats.
Healthy diet means healthy finish time, says White’s W
ith the countdown on to race day and long runs reaching high miles of 20 plus, it’s important to eat the right breakfast to guarantee success. Claire O’Reilly, event manager, is delighted to have White’s Oats on board as sampling partner of the 34th Deep RiverRock Belfast City Marathon and would encourage all athletes participating in the event to use oats as part of their daily diet. She says “eating porridge for breakfast is the perfect choice for athletes whether you are participating in the full 26 miles or the 5k fun run, owing to its slow releasing energy properties.’’ White’s will be providing 19,000 sachets of its new high protein porridge – ActivOat High Protein to all participants on race day which takes place on Monday, May 5. “With an increased focus on healthy natural and nourishing whole foods, we are proud to announce our involvement again with the Deep RiverRock Belfast City Marathon and to offer our porridge to all race participants,” said Danielle McBride, brand manager of White’s Oats. “The marathon provides an ideal platform for us to promote the benefits of porridge and oats to so many active and healthy lifestyle consumers. “This year we are giving athletes and race participants a fantastic
opportunity to sample our recently launched White’s ActivOat High Protein porridge. ActivOat was developed with active lifestyles in mind to enhance training and performance. It provides all the key nutrients from Oats to release energy slowly with the addition of soy protein. “Protein is essential to the growth and repair of muscle and so is a perfect choice when training. White’s ActivOat High Protein provides all nine essential amino acids, the vital building blocks of muscle growth and delivers over 10g of protein in a 40g sachet.” So get the balance right for a successful event – eat healthy, train well and don’t forget to sign up online at www.belfastcitymarathon.com. Marie Curie is this year’s official charity and is Northern Ireland’s leading provider of palliative care services to people and families living with a terminal illness. The charity provides specialist nursing care free of charge in a person’s home, local communities and at its Belfast Hospice. By fundraising for Marie Curie, you will be helping to ensure these vital services can continue. A donation of £20 will play for an hour of nursing time, while £180 will provide nursing cover in someone’s home overnight. For more information, please contact Marie Curie on Tel: 0845 052 4184 or email: daffodil.team@mariecurie.org.uk. 35
MARKETING NEWS
NI Farm Quality Assured Beef and Lamb recognition reaches an all-time high
Opening still from TV spot highlighting the quality mark for Northern Ireland Farm Quality Assured Beef and Lamb.
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2014 advertising campaign from the Livestock and Meat Commission increased recognition of the Northern Ireland Farm Quality Assurance (NIFQA) quality mark amongst NI consumers to over 80% for NIFQA Lamb and 82% for NIFQA Beef, ensuring more outlets stocked these products and more people bought these products more often.
The figures, from Millward Brown Omnibus surveys in March and November 2014, followed an intensive TV, radio, outdoor, press and digital campaign. A new website (www.beefandlambni.com), launched in September 2014, added further to consumer engagement with a range of delicious recipe ideas, information about NIFQA farmers and butchers, a retail stock check, competitions
and email updates for subscribers. Website traffic – at 4,133 uniques per month – beat expectations of 900 per month. With over 1,000 subscribers, a loyal audience is now in place and email open rates and click-through rates, at 44% and 6.5% respectively, are well above the industry average. “We are keeping up activity in 2015, with more TV, radio, outdoor press, website and digital activity planned for Spring, Summer and Autumn,” said Colin Smith, industry development manager at the Livestock and Meat Commission for Northern Ireland. “NIFQA Beef and Lamb will be unmissable at over 90% coverage province-wide. “The maintenance of an extremely strong retail presence for NIFQA Beef and a vastly improved presence of NIFQA Lamb has been a result of our existing efforts, and retail outlets who wish to benefit from stocking NIFQA products can contact their supplier(s) or the Livestock and Meat Commission for more information. “With high brand recognition scores of 80% and 82% respectively, you can be confident that stocking NIFQA Lamb and Beef will keep multiple, discounter, convenience and butcher tills busy.”
Rankin Selection evokes the luck of the Irish I
rwin’s Bakery has called on bread lovers to pick up a special edition pack of ‘Rankin Selection’ Irish Brown Soda Bread to be in with a chance of winning a city break for two to Ireland. Rankin Selection teamed up with Tourism Ireland to feature the competition on over one million packs of Irish Brown Soda Bread, which were produced in limited edition green packaging. Five lucky shoppers are offered the chance to win return flights to Dublin or Belfast and two nights B&B in a 4* hotel, with the competition open until May 17. “At Irwin’s we are proud of our reputation for producing authentic Irish breads including the Rankin Selection range – made using the best local produce and drawing inspiration from traditional recipes,” said Colette Wilson, marketing manager at Irwin’s Bakery. “In partnership with Tourism Ireland, we are delighted to offer consumers the chance to win a fantastic city break, where they will get to enjoy Ireland’s famed hospitality – and the best of Irish cuisine.” David Boyce, deputy head of Great Britain at Tourism Ireland, said: “Tourism Ireland is delighted to join forces with Irwin’s Bakery and Paul Rankin for this special promotion. Ireland is a wonderful food tourism destination, known for the quality of its food, with a reputation for high quality, natural products used in both traditional and innovative dishes. We’d like to call on all bread lovers to make sure they’re not green with envy by picking up a special pack of Rankin Selection Irish Brown Soda Bread to be in with a chance of winning one of these amazing city breaks.” 36
David Boyce, deputy head of GB at Tourism Ireland with Irish chef Paul Rankin.
EXPORT NEWS
Gold for MAC Ivor’s IN International Cider Awards 2005
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ocally-produced Mac Ivor’s Cider struck gold in the latest International Cider Awards, leading the Open Apple with 2.57.5% abv Class with its Traditional Dry Cider in the prestigious event at the National Brewing Centre, Burton on Trent. “What a marvellous boost for our business from the panel of expert judges,” said Greg MacNeice, brew master at Mac Ivor’s Cider. “It will be tremendously important as we seek to grow our sales particularly in target markets such as Great Britain and the Republic of Ireland.” Handcrafted using apples from the family orchards in Co Armagh, including bramleys and Cox’s Orange Pippins, the bottle ciders were launched in 2011 and are already on sale in Britain, Ireland, Germany, Sweden and Finland. The International Brewing Awards and International Cider Awards are unique in requiring all judges to be commercially active brewers or cider makers. A panel of around 40 judges from around the world was recruited to assess the beers and ciders in Burton-upon-Trent.
Local business offers a twist on fortune cookies A
Northern Irish artisan business has come up with a new twist on the traditional fortune cookie, a feature of Chinese restaurants around the world. Grace’s Irish Foods, based in Bangor, has developed the first Irish Fortune Cookie using a traditional Irish butter shortbread biscuit individually wrapped with examples of Irish good wishes and humour and available in a box of 10. The family-run company specialises in a small range of designer artisanal food, including Titanic jam and drink brands. “Irish humour is appreciated worldwide and it seemed logical to combine this with our famous butter shortbread,” said William Bullock, founder and managing director of the business. “We use traditional biscuit recipes that have been passed down through generations in attractive and contemporary packaging.”
INI helps Ewing’s increase productivity
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eafood Ewing’s has received assistance from Invest NI to improve profitability and overall competitiveness by harnessing the latest information technology systems. A UK Great Taste Award winner, Ewing’s produces award-winning smoked salmon and other fish from its own kiln in Belfast. The company used Invest NI support, part-funded by the European Fisheries Fund, to develop and install Crawford Ewing of Ewing’s is pictured with Olive Hill of Invest NI. a bespoke, comprehensive factory Photo credit: Parkway Photography. and office management system which has enhanced traceability and made it easier to retain the British Retail Consortium Grade A accreditation demanded by major retailers in particular. “The management information system that our experts developed with Ewing’s is designed to assist the business improve its productivity and to encourage it to exploit opportunities for products for markets outside Northern Ireland including Great Britain and the Republic of Ireland,” said Olive Hill, director of Innovation and Technology Solutions at Invest NI.
New cashew nut butter launched by Keen Nutrition A
new 100% cashew nut butter has been developed and is now being marketed throughout the UK and Ireland by Keen Nutrition, an award-winning Northern Ireland specialist in nut butters. The company, which was launched by nutritional expert Aimee Beimers in 2012 in her home kitchen and initially specialised in almond nut butters, has recently moved into a new factory in Bangor and increased its workforce to 12. The new factory, and investment in roasting technology, enabled the company to develop cashew nut butter. Keen has recently expanded into the UK with distribution deals with Diverse Fine Foods and Green City Wholesale in Scotland. “We’re currently available in 29 independent retailers in England, including Delilah’s Fine Foods, the Royal National Theatre Café and the Caracoli group of shops,” said Beimers. “Our sales to England now account for approximately 15% of our total sales, with total export sales including to the Republic of Ireland accounting for 70% of our business. “Growth has been particularly strong in the Republic of Ireland as well as in Northern Ireland, with nearly 220 stores now selling Keen Nut Butter.” 37
TOBACCO, E-CIGS & ACCESSORIES
A leading FMCG category under threat from retail display ban Jeremy Blackburn, head of Communications at JTI, looks a the latest trends, issues and market performance in the tobacco category. MARKET OVERVIEW Worth £455m a year in Northern Ireland(1), tobacco is the biggest FMCG category by sales value, with 37% of convenience shoppers existing adult smokers(2), and almost one in five of these on a top-up mission; the most valuable mission in convenience(3). As a result, they spend 80% more per trip than the average shopper(4). JTI MARKET SHARE Ready made cigarettes (RMC) • The growth of tobacco in the convenience channel is largely driven by cigarettes; more specifically Value cigarettes such as Sterling, with Value currently the biggest price segment in Northern Ireland, accounting for 47.6% volume share of the total cigarette market(5). • JTI’s Value brand Sterling is Northern Ireland’s number one Value cigarette brand(6), and the best-selling cigarette brand in Northern Ireland overall(7). • Berkeley is JTI’s second best-selling Value brand in Northern Ireland, and holds an 8.5% volume share(8) of the Value RMC segment. • Mayfair is the biggest selling Mid-Price cigarette in Northern Ireland. A must stock line for retailers, the brand delivered over £72m(9) in retail sales in Northern Ireland last year. • JTI holds a 39.1%(10) share of the Premium RMC segment in Northern Ireland, with Silk Cut holding a 24.9%(11) share.
Rank
Top 10 RMC Brands in Northern Ireland YTD 2014
1
Sterling
2
Mayfair
3
JPS RMC
4
Regal
5
Lambert & Butler
6
Silk Cut
7
Berkeley
8
Richmond
9
Players
10
Marlboro
Source: Nielsen Market Track FY 2014
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Roll Your Own (RYO) • The RYO market is worth £39m in Northern Ireland(12). • JTI’s RYO portfolio accounts for a massive 55%(13) volume share of the RYO market in Northern Ireland and includes Northern Ireland’s number one tobacco brand Amber Leaf, accounting for over £18m in retail sales value(14). • The Amber Leaf house has the top four best-selling RYO SKUs in Northern Ireland; Amber Leaf 25g, Amber Leaf 3-in-1 12.5g, Amber Leaf 12.5g and Amber Leaf 50g.
Rank
Top 10 RYO SKUs in Northern Ireland YTD 2014
1
Amber Leaf 25g
2
Amber Leaf 3-in-1 12.5g
3
Amber Leaf 12.5g
4
Amber Leaf 50g
5
Golden Virginia Classic 25g
6
Golden Virginia Classic 12.5g
7
Golden Virginia Classic 50g
8
Gold Leaf 12.5g
9
JPS MYO 50g
10
Gold Leaf 25g
Source: Nielsen Market Track FY 2014
• Existing adult smokers are continuing to seek out greater value for money, with over one in three choosing to smoke RYO tobacco(15). JTI has successfully matched this growing trend with new product development (NPD) and innovations. • For example, in November 2014, B&H Silver RYO launched into the Value RYO segment with a lower price point. Available in 12.5g, 25g and 50g packs, the lower price point aims to offer existing adult smokers better value for money from the same quality product. TRENDS Value • Price and Value have become a key driver of choice in the RMC and RYO markets, with increasing numbers of existing adult smokers looking to the Value segment. • JTI currently commands 59.7%(16) volume
share of the Value RMC segment in Northern Ireland, with Sterling holding a 43.7% share(17). • Sterling Rolling is one of the leading RYO brands in Northern Ireland with a 22.2% share of the Value RYO segment(18). Smaller pack sizes • We have seen smaller pack sizes launched across various FMCG categories, including RYO and RMC, e.g. Holborn Smooth Taste 9g and Sovereign Menthol Superkings 19s. • As this trend takes hold and the tobacco market continues to evolve, retailers should ensure they’re offering a wide choice of tobacco brands and pack formats, including a range of 9g, 10g, 12.5g, 20g, 25g and 50g packs as well as 10s, 19s and 20s from the RMC segment. Organically grown tobacco • Research indicates that more than 70% of UK existing adult smokers declare an interest in organically grown tobacco(19). • In response to this, JTI launched Amber Leaf Signature Blend, a unique, Brazilian blend containing organically grown tobacco leaf, a European first for the RYO segment. RETAIL DISPLAY BAN What essential regulatory changes do retailers need to be aware of ahead of April 6? • From April 6, all stores under 3,000-squarefoot will be prohibited from permanently displaying tobacco products except in the limited circumstances permitted under law. • Importantly there will be a number of changes to the way retailers must serve customers in order to remain compliant: – A key difference will be the point at which a customer must be asked for ID during a tobacco sale. While it is currently illegal to sell tobacco to anyone under the age of 18, postimplementation of the retail display ban, it will be illegal to display tobacco products (e.g. open a gantry to anyone under the age of 18). – ID must be requested prior to opening the tobacco gantry in response to a request to purchase or see tobacco products. As a result, No ID, No Sale! automated till prompts will become obsolete so retailers must remember to challenge for ID before opening the gantry.
TOBACCO, E-CIGS & ACCESSORIES been developed in line with trends in the market place. Look out for JTI’s educational point of sale material in cash & carry depots, designed to highlight product development and help decision-making. Sales – Take time to understand what’s happening in the tobacco category. Make sure you know which areas are in growth, what the most popular pack formats are and what sells well in your region. Technology – Data and information is vital for the retailer of today. The key to profitable tobacco is range and availability so running out of stock could be a critical error. Understanding what is happening in your store and being able to pinpoint key sales trends is a priceless insight. A good EPoS system will help get the balance right.
• There will also be strict regulation around how much of their tobacco range a retailer is allowed to reveal when opening the gantry – restricting this to an area of 1.5 square metres in Northern Ireland. • Ensuring staff are familiar with the law relating to the display ban is essential. In Northern Ireland, a breach of the display regulations could result in a fine of up to £5,000, or imprisonment from six months to two years. • In Northern Ireland, accessories, such as, papers, filters, matches, lighters, fuel lighters and lighter fuel etc can continue to be displayed and kept in public view. Retailers may need to consider new arrangements if accessories are currently kept in the main gantry as it will be an offence to display tobacco products when serving customers with non-tobacco products. JTI Retail Display Ban – Guidance Booklet JTI has created a guidance booklet to further help retailers comply with the tobacco retail display ban. It contains advice on the following areas: • Displaying and selling from merchandising equipment • Assessing stock levels and restocking • The importance of availability • Equipment refurbishment, cleaning and maintenance • Display of prices • Operational best practice The Guidance Booklet is available to download at www.jtiadvice.co.uk. What do we already know about how the display ban will affect independent retailers? • If retailers prepare early, ensure their staff understand the legislation and are familiar with the gantry layout then the transition to a retail display ban environment should be a smooth one. • It is also important that the independent retailer understands that customer relationships, availability and depth of range are vital to maintaining regular custom and footfall both in the run up to the display ban and once it comes into effect. • Retailers should see the retail display ban as an opportunity; when a customer walks into a shop, it needs to be the same experience as it was before the gantry was covered up. • The independent retailer may have an advantage over the multiple in that they will know who the customer is and which brand they smoke, given that tobacco is one of the most loyal of all categories. These retailers can potentially already know the existing adult smoker’s brand of choice before they even reach the counter. What best practice advice do retailers (and their staff) need to be aware of in relation to the ban? • Retailers should get their planogram in
place now and train staff to ensure they are familiar with product location. This will increase speed of service post retail display ban and reduce queue times. • Retailers should also continue to offer a range of pack sizes, as well as price marked and non-price marked packs. This will demonstrate to existing adult smokers that they are getting the best possible choice and value ahead of and beyond the ban. • It is important to maintain 100% availability on the tobacco gantry 24/7 as outof-stocks will only lead to lost sales. • In a retail display ban environment, the key principles of category management will be more important than ever before. To help maintain sales, JTI has developed an approach called ARTIST which stands for Availability, Range, Training, Innovation, Sales and Technology – a simple six step guide to maximising tobacco profits: ARTIST Availability – It’s vital that the tobacco gantry remains well stocked – 100% availability 24/7 is key. Remember to review stock levels each morning and prior to peak trading times. Out-of-stocks will only lead to lost sales, as 28%(20) of shoppers choose to buy elsewhere if their intended item is unavailable. Range – Offer a wide choice of cigarette, RYO and cigar brands. A range of pack sizes, as well as price marked and non-price marked packs, will demonstrate to existing adult smokers that they are getting the best possible choice and value. Training – Ensure staff are well trained on the law surrounding the sale of tobacco and are kept up-to-date with the latest regulatory and legislative changes. Visit www.jtiadvance. co.uk for further information, support and guidance on retailing tobacco responsibly. Innovation – Support new tobacco products and pack innovations in store. These have
What support and resources will you be providing retailers with ahead of the ban? • JTI has committed to covering up over 13,500 independent gantries and the process began in October 2014. While it is a hugely complex project, JTI continues to make excellent progress in providing solutions that meet smaller stores’ varying needs ahead of the April 6 implementation date. • JTI is working closely with retailers to reinforce the ‘be prepared’ message, providing easily digestible tips and advice on category management, along with full details of the new legislation to help retailers remain compliant. Key to this is ARTIST (see above). • Alongside this, JTI has put its awardwinning sales force through an intensive training programme to ensure they are well equipped with the essential skills to assist retailers in the challenges that lie ahead in a display ban environment. • Customers can expect JTI Business Advisors to deliver an unrivalled service, not only in the quality of support but also in the frequency of visits to provide invaluable strategic insight and help to maximise the value of their tobacco sales. • JTI has also created a unique and innovative website, JTI Advance (www.jtiadvance.co.uk) – an invaluable support tool for retailers facing the challenge of the coming months. Here, they can download a Retail Display Ban Guidance Booklet and access key category insights, news on product developments and up to date industry and legislative information. 1: Nielsen Market Track 2014; 2: HIM! CTP 2013; 3: HIM CTP 2013; 4: HIM! CTP 2013 (£9.57 vs. £5.25); 5: Nielsen Market Track FY 2014; 6: Nielsen Market Track YTD December 2014; 7: Nielsen Market Track FY 2014; 8: Nielsen Market Track FY 2014; 9: Nielsen Market Track FY 2014; 10: Nielsen Market Track FY 2014; 11: Nielsen Market Track FY 2014; 12: Nielsen Market Track 2014; 13: Nielsen Market Track FY 2014; 14: Nielsen Market Track FY 2014; 15: TNS Omnibus MAT November 2014; 16: Nielsen Market Track FY 2014; 17: Nielsen Market Track FY 2014; 18: Nielsen Market Track FY 2014; 19: Consumer Research, Q1, 2014; and 20: Ipsos Q1-Q4, 2013.
39
TOBACCO, E-CIGS & ACCESSORIES
BIC offers commitment to retailers B
IC is the leading branded pocket lighter manufacturer in Ireland and the world, selling six million lighters every day*. The brand’s commitment to retailers is why BIC says it has grown to establish itself as the industry leader in what is an increasingly competitive space. BIC recognises that consumer habits are constantly changing, and so the demands on retailers are permanently in transition. Recent figures highlight the growth of roll your own tobacco sales, which are increasing by double digit figures year-on-
BIC aims to provide its retail partners with consistency and quality: ultimately ensuring that, despite the changing habits of Irish consumers, BIC products remain easy to stock and sell.” 8 • •Ulster 3640 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
year, indicating that Irish adult smokers are adapting to, what has proven to be, a greater value option. As a result, BIC aims to provide its retail partners with consistency and quality; ultimately ensuring that, despite the changing habits of Irish consumers, BIC products remain easy to stock and sell. Recently BIC rolled out gantry branding across 50 retailers in RoI, resulting in a positive uplift in lighter sales and proving that when BIC is seen, BIC is sold. Through its impactful in-store displays and unique
lighter designs, BIC offers a market-leading product which stands out, appeals to everyone, everywhere and can guarantee to drive your rate of sale. Aside from its market-leading pocket lighters, BIC also boasts the BIC Megalighter range, a useful household essential which can be used in lighting household fires, candles and barbecues. *Source: Online Harris Research: Consumer preferences for cigarette lighters in Southern Ireland. January 2013 – 502 respondents.
TOBACCO, E-CIGS & ACCESSORIES
Electronic cigarettes should shed light in the darkness
Some of the wide range of e-liquids available from Belfast-based Nicofresh.
T
he Tobacco Display Ban, or Going Dark as it is known in the trade, has been introduced this month, and retailers will have to wait to see how tobacco sales are impacted drastically in the coming months and years. A Northern Ireland company has argued that the introduction of the Tobacco Display Ban means that retailers need to pay extra attention to alternate revenue streams. “E-cigarettes are appealing to increasing numbers of smokers, but what’s in it for retailers and how can they make the best of the commercial opportunities?” asks Brian Geraghty, managing director of Belfast-based Nicofresh. “Electronic cigarettes, crucially, provide retailers with much greater profit margins than traditional cigarettes, and bring the promise of repeat business – as customers return to purchase e-liquids and other replaceable parts of the electronic cigarettes. “However, consumers of electronic cigarettes quickly become educated and discerning, and it is essential that retailers are knowledgeable about their products, and that they offer a quality product, and a sufficient choice of flavours. “Sales of the product usually take some time to build as customers become aware that the shop stocks a sought-after brand of e-cigarettes, and as people from a particular 42
Our sales continue to grow substantially year on year. Nicofresh is aimed at existing smokers, over the age of 18, who want to continue smoking but in a less harmful and much less expensive way.” locality try them and give feedback to family and friends. For those who took e-cigarettes seriously, and sought the feedback of their customers, the product has quickly become a significant part of the sales mix. “Our research shows that around four to six months after stocking the product in a good position, sales of Nicofresh can reach around 8% of traditional tobacco sales. If a shop is selling £4,000 per week in cigarettes, then after a number of months, that retailer should be selling around £320 per week in electronic cigarettes. “However, the retailer’s margin on traditional cigarettes is around 5%, and that will make around £200 in gross profit. The profit on Nicofresh products is around 45%, so the sales of just £320 will produce a gross profit of £144, almost three quarters of the
profit produced by traditional cigarettes. “Our sales continue to grow substantially year on year. Nicofresh is aimed at existing smokers, over the age of 18, who want to continue smoking but in a less harmful and much less expensive way. We have a large share of the Northern Ireland electronic cigarette market because we focus on delivering a high quality product, meeting consumers’ demands, and we work hard to educate retailers and retail staff on dealing with their customers’ queries and requests. “Many retailers depend heavily on cigarette sales to survive financially, and have concerns over the reducing sales of traditional cigarettes. Nicofresh can help address those concerns, with a profitable product for which customers will return again and again.”
email: email. markbeckett@greerpublications.com lauragirvan@greerpublications.com
SHELFLIFE
shelf life
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To see your product featured in Shelf-life, contact Mark at markbeckett@greerpublications.com or Tel: 028 9078 3235
Ginsters microwaveable New flavoured waters breakfast range launched from Maine Soft Drinks M G
insters is expanding its portfolio with the launch of its first ever microwavable breakfast range. The initial two SKUs – Bacon Roll and Breakfast Wrap – will launch into convenience, impulse and forecourt channels this month. The launch will be supported with in-store POS and merchandising to showcase Ginsters’ breakfast range to busy morning consumers and drive incremental sales for the retailer. In addition, a humorous and engaging social media campaign will encourage trial and awareness amongst consumers. With more than a quarter (28%) of Food to Go purchases now being hot, Ginsters has identified an opportunity to tap into this growing trend.”
aine Soft Drinks is moving into flavoured water, introducing three initial flavours – Lemon and Lime, Strawberry and Kiwi and Forest Fruit – in 330ml PET bottles. All three contain natural flavourings, are sugar-free and are designed for packed lunches and consuming on the go. The fourth generation family business, which employs over 100 people in Ballymoney, has specialised in recyclable glass bottles for home delivery in Northern Ireland and already has some sales in the London area as well as in the Republic of Ireland. “What we are doing with Maine Refresh is to use our reputation of over 60 years in soft drinks to develop a gap in the market that we believe exists for flavoured waters in 330ml format,” said Jonathan Harkness of Maine Soft Drinks. “We’ve always produced still waters and now see an opportunity to expand this. It’s also the first time that we’ve produced in six pack format.”
Lights by TENA recognised as hero health product for mums T
he lights by TENA Liner has been named ‘mum’s hero health product’ after picking up a coveted silver award in the annual Prima Baby and Pregnancy Awards. The Prima Baby and Pregnancy Awards 2015 recognise and reward the best products, brands and services in the baby and parenting industry, where lights by TENA was lauded for its ongoing commitment to UK mums. Each shortlisted entry was subjected to a grueling judging process that included being vetted by a team of industry experts and a real-life panel of parents who put each product through its paces. As one of the UK’s most trusted parenting magazines in the industry, the awards help inform and influence consumers and their choice of brand, providing lights by TENA with a great source of recognition amongst this key target audience. Unlike regular sanitary products, lights by TENA, manufactured by SCA, are specifically designed for light bladder weakness so they absorb more and faster than regular liners. 00
43
APPOINTMENTS
People on the move...
in association with
Willowbrook Fine Foods ‘plants’ new manager in England C o Down-based Willowbrook Fine Foods is continuing to grow its commercial reach with the appointment of a new sales development manager, Jude Ashworth, responsible for England. Willowbrook Fine Foods was established six months ago to target growing consumer demand for fresh, high quality convenience products across the UK and Ireland. The firm now boosts a diverse range of products – such as Potato and Turnip Gratin and Honey and Mustard Parsnips – popular with retailer and foodservice companies. Ashworth is based in Lancashire and will be in charge of identifying new business opportunities for Willowbrook Fine Foods and developing sales potential and growth through existing customers. She previously worked as a commercial manager for BJP Enterprises, and has a strong track record of growing sales within the FMCG sector. “Since Jude joined the Willowbrook Fine Foods team, she has been proved to be an invaluable sales manager, noted for her instinctive ability to understand consumer trends and customer needs,” said John McCann, joint managing director, Willowbrook Fine Foods. “Growing our premium range of Fine Food products across England is a key goal for us, and Jude’s flair for sales and knowledge of the food sector make her the perfect manager to support this ambition.”
Barry Williams named GroceryAid fundraising president 2016
G
roceryAid has named Barry Williams, chief customer officer of ASDA as the new president of its Fundraising Committee from April 2016. Williams will take up his new position next year, following on from Jason Tarry, chief commercial officer of Tesco, who is the current president of Fundraising. In his new role, Williams will become involved in the strategic planning of GroceryAid’s fundraising Barry Williams and assist in raising the profile of the charity across the whole of the industry. “I’m absolutely delighted to be taking on this role on behalf of ASDA,” said Williams. “Everyone at GroceryAid does an amazing job and I’m so proud to have the opportunity to build on all that hard work and continue to help our grocery colleagues in need.”
44
Jude Ashworth
Consumer Council appoints new chief executive
J
ohn French has been appointed as chief executive of the Consumer Council, with his starting date yet to be confirmed. French joins the Consumer Council from firmus energy, where he was director of Regulation and Pricing since 2012.
JTI appoints new UK head of Affairs & Communications
J
TI has appointed Charlie Cunningham-Reid as the new Head of Corporate Affairs & Communications of its UK Division, effective from March 31. With a 25-year career in marketing and commercial roles, including 14 years in the tobacco industry, he brings a wealth of knowledge and expertise to the position. Cunningham-Reid joined JTI in 2001 at the international headquarters in Geneva, where he worked in various roles including brand management for Winston, Benson & Hedges, Silk Cut and Sobranie. Since January 2013, he has been leading the markets of Romania, Bulgaria and Moldova (RoMoBu) as general manager. Charlie Cunningham-Reid
Q&A WHAT DO YOU ENJOY MOST ABOUT YOUR JOB? The fact that it changes every day. I love the buzz of achieving sales and closing deals. Having a great bunch of staff certainly makes things easier and more enjoyable. It’s also great having the autonomy to run the business as if it were my own. WHAT IS YOUR MOST DIFFICULT TASK? Sometimes reigning in my ‘enthusiasm’. WHAT IS THE BEST ADVICE YOU HAVE EVER RECEIVED? To try my best to become the best at what I do. WHAT IS YOUR BIGGEST GRIPE? Red tape and barriers to doing business. There’s often too many hurdles for retailers to overcome. Less of this could help the industry move forward at a quicker pace and allow retailers the chance to drive their business and make it more sustainable. WHAT TALENT WOULD YOU LIKE TO HAVE? I would love to learn to play a musical instrument; something like the guitar, where I could play a few tunes. WHAT ARE YOUR FUTURE PLANS/ AMBITIONS? Who knows what the future holds; however I have retail in my veins (as well as strong coffee) and cannot see me ever leaving the industry. Right now, my plans are to continue to make Swifts a successful company and improve our shopping experience. We have an exciting future ahead of us.
In the Hot Seat Darren Given, manager at Swifts Supermarkets TELL US ABOUT YOURSELF I am from Omagh, am married to Brenda and we have two girls, Neamh and Naomi. I have been a manager with Swifts Supermarkets for ten years, having previously worked in management roles for O’Kane Supermarkets, Lidl and Culmore Mace. WHAT DOES A TYPICAL DAY INVOLVE? There’s no such thing as a typical day. Usually I leave home before 7am for work and arrive home around 8pm. Any day I could be found packing out, ordering, having meetings, training staff and handling 8 • •Ulster 3646 UlsterGrocer Grocer| JANUARY | JANUARY2011 2011
everything that the day fires in my way. It’s often unpredictable, which makes it more enjoyable. WHAT HAS BEEN THE HIGHLIGHT OF YOUR CAREER TO DATE? I’ve been so lucky to have many highlights. I have been lucky enough to have won the inaugural NI Manager of the Year, been named in the UK Top New Talent List, UK Manager of the Year and an Irish GRAM awards. It was also an honour to be named among the Top 5 Convenience Store Managers in the World. As a store, we have also been lucky enough to have won so many store specific awards.
WHOM DO YOU MOST ADMIRE? In retail, it has to be Justin King, former CEO of Sainsbury’s. His ability to get the job done was excellent and his knowledge of the industry was unquestionable. WHERE IS YOUR FAVOURITE PLACE? My wife would say it’s my work. But I would have to say my side of the sofa in front of the fire with the ipad in one hand and a coffee in the other. WHAT IS YOUR FAVOURITE FOOD PRODUCT? I suppose I should say a Swifts Famous Chicken Curry or something the wife makes. However I cannot resist a good steak. HOW DO YOU RELAX? I never really relax. If I’m not in the shop, I’m looking at ways to improve things in the shop. It’s what I love to do. Having two young girls means that, even on a day off, I have an early rise. Apparently daddy isn’t allowed to sleep on.
For further details contact Robert Roberts (NI) Ltd. 028 9267 3316 or www.robert-roberts.co.uk