Retail Express - 24 August 2021

UP IN SMOKE • After years of hard work bringing together retailers and politicians, important groups in the fight against illicit tobacco are out of action • Stores demand continued pressure on government to crack down on dodgy sellers

24 AUGUST-6 SEPTEMBER 2021 STRICTLY FOR TRADE USERS ONLY

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POST OFFICE BAGS PARCEL DEAL

BOOZY SLUSH

KNOW YOUR SHOPPERS

Deal with Royal Mail rivals DPD to bring new revenue stream to 1,500 Post Office stores in time for Christmas

Experts reveal the licensing traps stores must avoid when selling iced alcoholic drinks

Discover the trends and products that young adults want to find in your aisles

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10 WAYS TO MAKE YOUR STORE MORE SUSTAINABLE

Discover how convenience stores are cutting costs and saving the planet P15-26

24 AUGUST-6 SEPTEMBER 2021 STRICTLY FOR TRADE USERS ONLY

UP IN SMOKE • After years of hard work bringing together retailers and politicians, important groups in the fight against illicit tobacco are out of action • Stores demand continued pressure on government to crack down on dodgy sellers

P3 POST OFFICE BAGS PARCEL DEAL

BOOZY SLUSH

KNOW YOUR SHOPPERS

Deal with Royal Mail rivals DPD to bring new revenue stream to 1,500 Post Office stores in time for Christmas

Experts reveal the licensing traps stores must avoid when selling iced alcoholic drinks

Discover the trends and products that young adults want to find in your aisles

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our say

Megan Humphrey, editor

The five biggest stories this fortnight 01

Rule changes will benefit you I DO truly feel as though we’ve turned a corner with the pandemic.

People in England and Northern Ireland who are double jabbed no longer need to isolate if they come into contact with someone who has tested positive for Covid-19.

Instead of having to quarantine for 10 days, they are now advised to take a PCR test – although this isn’t compulsory. The guidance also applies to under-18s.

This marks a milestone in the fight against the virus, for the nation but also for independent retailers.

The past few weeks have been difficult for store owners having to negotiate unpredictable staff absences due to the ‘pingdemic’.

However, this latest rule change will allow retailers to be more confident there will be THERE IS fewer staff absences, and there will also be far less DEFINITELY disruption across the AN AIR OF supply chain.

This leaves more room for store OPTIMISM owners to turn their attention to retaining customers, and investing in their store. I know we have not beaten the virus yet, but there is definitely an air of optimism.

It’s encouraging to hear retailers sound excited for the future once again rather than everyone just having their nose to the grindstone. More importantly, the value of independent stores in their communities has never been greater.

Post Office click and collect boost for branches

ALEX YAU POST Of�ice (PO) retailers will get more click and collect services this year following a tie up with parcel delivery �irm DPD. The deal announced last week will see 250 branches receive click and collect services in August. The service will then be rolled out to a further 1,500 sites in time for the key Christmas parcel

service period.

This partnership adds to the long-standing relationship with Royal Mail and is the company’s �irst external tie-up with an independent delivery �irm in its 360-year history. Commenting on the partnership, PO group chief executive Nick Read said the deal would help meet the demands of the public working from home more often as a result of the pandemic.

“This is a signi�icant longterm partnership and we will work with DPD to extend this service across more branches in the New Year,” he added.

“Unlike the Amazon trial, this service will be built into Horizon and integrate with existing PO systems. The size of our network gives customers the choice to pick a branch close to their home or, now that we are returning to some normality after lock-

down, close to their place of work.”

DPD chief executive Elaine Kerr added: “This partnership enables us to offer more options at the point of purchase.”

The partnership follows DPD’s acquisition of rival delivery �irm CitySprint earlier this month. DPD said the acquisition would help enhance its same-day delivery service.

SEE THE LEAD STORY ON THIS PAGE FOR MORE ABOUT POST OFFICE’S LATEST PARTNERSHIP WITH DPD @retailexpress betterRetailing.com facebook.com/betterRetailing Editor Megan Humphrey @MeganHumphrey_ 020 7689 3357 Features editor Charles Whitting @CharlieWhittin1 020 7689 3350 Insight reporter Tamara Birch @TamaraBirchNT 020 7689 3361

Editor – news Jack Courtez @JackCourtez 020 7689 3371 Senior features writer Priyanka Jethwa @PriyankaJethwa_ 020 7689 3355 Features writer Jasper Hart 020 7689 3384 @JasperAHHart

Editorial assistant Junior Designer Suhara Pavithri Jayasena Miriam Garofalo @suharajourno Production coordinator Production editor productioncoordinator@ Ryan Cooper newtrade.co.uk 020 7689 3354 020 7689 3368 Sub editor Jim Findlay 020 7689 3373 Sub editor Robin Jarossi Head of design Anne-Claire Pickard 020 7689 3391 Designer Jody Cooke 020 7689 3380

Director of sales and marketing Matthew Oliver 020 7689 3367 Senior account director Charlotte Jesson 020 7689 3389 Account director Natalie Reeve 020 7689 3372

Subscribe online at newtrade.co.uk/our-products/ print/retail-express. 1 year subscription: UK £65; overseas (EU) £75; overseas (non-EU) £85 Retail Express is printed and distributed by News UK at Broxbourne and delivered to news retailers free by their newspaper wholesaler.

Published by: Newtrade Media Limited, 11 Angel Gate, City Road, London, EC1V 2SD; Phone: 020 7689 0600

Editor – insight Chris Dillon @ChrisDillonNT 020 7689 3379 Senior news reporter Alex Yau @AlexYau_ 020 7689 3358 Editor in chief Louise Banham 020 7689 3353

02

Menthol stock block

MANY retailers have reported to Retail Express that they are sitting on hundreds of pounds’ worth of now-illicit cigarettes after they were ‘missed’ by tobacco suppliers during the initial returns phase of the menthol ban.

One retailer, who asked

not to be named, said: “I have got around £800 [worth of stock]. PML and BAT haven’t credited me back. I’ve tried to contact PML’s help desk. I have seen no communication [about the take-back process]. My wholesaler has also tried helping.”

Sales support executive Charlotte Brady 020 7689 3382 Management accountant Abigayle Sylvane 020 7689 3383 Managing director Parin Gohil 020 7689 3375

46,191

Lotto licence delay

THE applications process for the fourth National Lottery licence has been extended, delaying the handover to a new operator to February 2024.

The Gambling Commission (GC) extended phase two of the timeline for the licensing

04

Illicit vaping

RETAILERS have been warned against illicit suppliers trying to take advantage of the disposable e-cigarette trend.

Retail Express received reports from store owners and distributors about ‘back of the van’ salesman trying to sell the products pre�illed with 50mg of nicotine. In the UK, it is ille-

05

gal to distribute vaping products with more than 20mg of nicotine.

Store owners have seen high demand for the products, with some retailers selling between 600 to 700 units a week.

Some units bought at £2.90 wholesale have been sold at £5.99.

process. The new timeline will add four weeks to the application stage and an additional six weeks for evaluation.

The extension, according to GC, aims to “provide opportunity for applicants to further re�ine their proposals”.

For the full story, go to betterRetailing.com and search ‘lottery’

For the full story, go to betterRetailing.com and search ‘menthol ban’

Account manager Adelice Tatham 020 7689 3366 Account manager (new business) Jimli Barua 020 7689 3364

03

PayPoint contracts

PAYPOINT has agreed to remove exclusivity clauses from its contracts, allowing stores and suppliers to work with rival payment service providers.

The decision is the result of pressure from regulator Ofgem last year, following a three-year investigation.

PayPoint said: The Board believes these voluntary commitments are in the best interests of our clients, retailer partners and their customers, and provides a constructive and timely route to the resolution of Ofgem’s provisional �indings.”

Audit Bureau of Circulations July 2019 to June 2020 average net circulation per issue

Retail Express’ publisher, Newtrade Media, cares about the environment.

Reproduction or transmission in part or whole of any item from Retail Express may only be undertaken with the prior written agreement of the Editor. Contributions are welcome and are included in part or whole at the sole discretion of the editor.

Newtrade Media Limited accepts no responsibility for submitted material. Every possible care is taken to ensure the accuracy of information. No warranty for goods or services described is implied.

A range of legitimate disposable e-cigarettes

For the full story, go to betterRetailing.com and search ‘vaping’

For the full story, go to betterRetailing.com and search ‘PayPoint’

@retailexpress facebook.com/betterRetailing

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

megan.humphrey@newtrade.co.uk 020 7689 3357

Anti-illicit groups to disband despite retailer concerns JACK COURTEZ STORES expressed concern that pressure on the government to tackle the trade in illicit tobacco is faltering, after several important groups went out of action.

The All-Party Parliamentary Group (APPG) on the Illicit Trade was set up to tackle the growing threat posed by illegal goods. Despite major concerns raised by trading standards of�icials in recent meetings that illicit tobacco sellers were prospering, the APPG was disbanded earlier this month because “the original purpose of the APPG has been met”.

However, Tobacco Manufacturers Association (TMA) director Rupert Lewis told Retail Express the organisation was ‘very disappointed’ by the disbanding of the APPG. Lewis added: “The trade in illicit tobacco remains a major cause for concern, in�licting misery for retailers and communities across the country, and costing the government over £47bn in lost tax revenue since 2000.”

Meanwhile The Tobacco Retailers Alliance (TRA) is also ‘not currently operational’, according to several individuals close to the organisation. Efforts to relaunch the group were repeatedly delayed due to the coronavirus pandemic, meaning the group failed to represent the views of

03

GOOD WEEK NEW GRANTS: The British Independent Retailers Association (Bira) has announced the potential for new funding for independent retailers to improve economic activity in their stores.

Bira has partnered with a range of metropolitan mayors to discuss the future of the independent retail sector.

The funding is being considered for retailers with innovative ideas. Eligibility criteria will be announced in the future.

PINGDEMIC: The NHS Covid-19 app has had a recent update to try and reduce the current ‘pingdemic’ self-isolation disruption affecting many retailers.

According to the Department of Health and Social Care, the app will now only look back at contact two days before someone who is asymptomatic tests positive, instead of the five days of contacts it was tracking before.

BAD WEEK

its members in the government’s recent consultation on new sanctions for illicit sellers.

Asked about the TRA and APPG’s withdrawal from putting pressure on the government, Graeme Pentland, owner of Ashburton News in Gosforth, Newcastle upon Tyne, said: “It’s farcical. We can all see it’s still here, everyone knows where it is and the punishments don’t �it the crime. Illicit sellers are raided, and open right back

express yourself “WE’RE served by Bestway and we’ve had a couple of issues. It’s mainly the people you’ve expected on a Wednesday, they’ve turned up on a Thursday. With perishable goods you’ve lost a day’s sales. But they’re turning up the following evening, so really you’ve lost a day and half to two days. We’ve had our delivery late three times in the past four weeks. We try and keep well stocked up on the long-life stuff.”

Harj Gill, The Windmill Select & Save, Birmingham

INFLATION: Rollover has confirmed in a letter to retailers that from 9 August it would be increasing its bread line prices by 10%, foil bags by 2p per bag and hot dog trays by 2p.

The hot dog supplier has blamed the price increase on rising fuel prices, labour costs and the national driver shortage. The price increase will affect its frozen distribution and bread range.

up again.”

Lewis responded that a “refreshed and revised TRA” with a different name “will be launched in due course”.

the column where you can make your voice heard

He added that while the TRA had not responded in the recent consultation, the TMA and individual manu-

facturers had highlighted “many of the issues that cause concern for legitimate retailers.”

COMPETITION: Multiple supermarkets have not complied with the Competition Market Authority’s (CMA’s) request for documentation showing they are not blocking rival stores from opening nearby.

The request was sent to Sainsbury’s, Morrisons, Asda, Co-op, Waitrose, and Marks & Spencer.

All six of the chains have delayed carrying out the reviews and have blamed the disruption on the ongoing pandemic.

Have wholesalers done enough to ease the impact of the driver shortage?

“IN this situation, why should we deal with the fallout of driver shortages – suppliers have known this was coming. Londis didn’t prepare themselves. The biggest challenge is when you’re waiting for chilled order, and it comes the next day in the evening. Then you have two days left to sell it. How do you get your stock control right? There has to be more clarity. We’ve lost about £200 over 14 days to food wastage.”

Ketul Desai, The General Store, Tufnell Park

“WE’RE certainly seeing an impact. Normally we have a cut-off of 5pm on the night before, but we’re now having to order a week in advance. Even then we’re seeing out of stock and we’re having to plan way in advance. The supplier is also having to change the cut-off time, depending on when lorries are full. We’ve been shopping around at different places to try to maintain availability, which makes it a lot harder work.”

Jacqui Dales, London Road Bakery, Lincolnshire

Do you have an issue to discuss with other retailers? Call 020 7689 3357 or email megan.humphrey@newtrade.co.uk

Jacqui Dales

NEWS

04

‘Stores must be aware of slush laws’ MEGAN HUMPHREY RETAILERS must pay “extra special attention” when selling alcoholic slush to ensure law compliance, licensing experts have warned.

The comments come as store owners reported a surge in sales from their alcoholic slush machines this summer, a trend that retailers have profited from in recent years.

Store owners don’t need a separate licence to sell slush-containing alcohol if they already have a Premises Licence.

However, Nick Semper, partner at licensing specialists The Licensing Guys, warned retailers to be aware of consumption laws.

“If you hold an off-licence, you must ensure that nobody physically consumes their alcohol slushie within your

shop,” he said. “If you hold an on-licence, then your customers can consume their alcohol slushies on your premises.”

When asked how retailers can maintain compliance, Semper said: “Know the conditions of your premises licence inside out, and act accordingly with them at all times. I’d also recommend having staff trained in Responsible Alcohol Retailing to Level 1 Standard by a repu-

table training provider, and retain their training certi�icates to produce to the police or Trading Standards when required to prove your own due diligence.”

He added: “Authorise your staff to sell on your behalf and keep a written record of those authorisations. Get your staff to sign that they have been trained in under-age sales prevention as part of that authorisation.”

ASSESS. COMPARE. IMPROVE

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Register your interest to take part Visit betterRetailing.com/IAA or contact Simon Joseph on 020 7689 3363

Self-isolation issues A WHOLESALER has accused the government of leaving them “in the dark” regarding exemption from self-isolation rules. In July, wholesalers were added to the list of those who don’t have to self-isolate if alerted by the test and trace app, provided they test negative through daily testing.

However, speaking on BBC Radio 4’s Today programme last month, Birchall Foodservice HR manager Krissy Freemont said the government should have directly contacted those on the list, but she hadn’t received any communication.

Bottle return delay decision

THE Scottish government is expected to announce whether it will be delaying the deposit return scheme (DRS) for a second time.

In March, minister for rural affairs and the natural environment Ben Macpherson confirmed the government would be conducting an “independent gateway review” into the go-live date due to the pandemic.

A senior source told Retail

Express a decision was expected on the outcome of the review once parliament returns on 30 August.

Promo ban store trials SYMBOL groups are set to conduct store trials and provide extensive �ield support ahead of the government’s high-fat, -salt-and-sugar (HFSS) legislation next year.

Restrictions are due to come into force next October for symbol group stores that are 2,000 sq ft or more. One Stop head of social responsibility and sustainability Liz

Fox said the chain is ramping up preparations.

“We will share a series of measures setting out best practice, including what type of product or promotion is and isn’t covered, how the physical restrictions affect the store layout and how best to meet customer expectations,” she said.

For the full story, go to betterRetailing.com and search ‘promo ban’

PRODUCTS Spooky launches from Mondelez PRIYANKA JETHWA MONDELEZ International has unveiled its 2021 Halloween range with 10 products across its Oreo and Cadbury brands.

New this year are Mini Oreo Spooky Bags (RRP £2.50), which are larger packs containing eight treat size bags of Mini Oreo.

As well as this, Spooky Oreo Rollpack (RRP £1) will be available nationwide, alongside the return of Cadbury Skeleton Fingers (RRP £1.65) – a seasonal play on the brand’s original variety.

The supplier said confectionery will be the “musthave category of Halloween 2021”, and so will also be

bringing back Cadbury Goo Heads (RRP 43p-£2.85), available in Creepy Skeleton, Pumpkin, Frankenstein, Dracula or Werewolf varieties.

Cadbury Oreoooo (RRP £1.49) will also return for 2021, designed to help retailers drive impulse sales in the sharing novelties segment.

As well as this and new for the season, Oreooo and Goo Heads bags will be available with cupboard clip strips.

In addition to these products, the supplier is bringing back its Cadbury Treatsize bags. The range includes Cadbury Family Treatsize (RRP £2.79) and Freddo and Friends Treatsize (RRP £2.79).

Cadbury Treatsize bags of

Crunchie, Dairy Milk Buttons and Fudge are also on offer this year, all with an RRP of £2.79 each.

Ferrero Rocher launches tablets

PVM’s biggest Halloween push

FERRERO Rocher is launching a tablet version of its chocolate, available to convenience retailers from October with an RRP of £2.

The 90g tablets will come in white, milk and dark chocolate �lavours, and will be supported by a £2.55m campaign, including TV and in-store PoS to drive sales.

The chocolate tablets segment is in value and volume growth, with premium options driving a signi�icant proportion of this growth.

Furthermore, the latest additions to the Ferrero Rocher range coincide with a 26% growth of the brand’s boxed chocolate options.

PERFETTI Van Melle has announced a £1m Halloween campaign, ‘All wrapped up’, featuring Fruittella and Chupa Chups.

As part of this, it is adding to its Chupa Chups range with Sour Lollies (RRP £1) and a 300g tub (RRP £3.50).

The campaign will span digital and social media,

ISLE of Wight Distillery has launched a ready-to-drink (RTD) version of its Mermaid Gin, blended with Indian light tonic.

The brand has experienced 57% year-on-year growth and the cans are printed and plastic-free, and 100% recyclable. Orders are also despatched to retailers in plastic-free packaging.

The 250ml cans have an ABV of 6% and an RRP of £2.90, and are now available to convenience retailers via Enotria, Tolchards and Nectar.

RTDs have been a growing trend in the alcohol category, with more brands tapping into the popularity of the format.

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

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Kinder gets new toys licence FERRERO is launching a new licence for its Kinder Surprise eggs featuring a range of animals from North America.

Kinder Natoons, available with RRPs between 99p and £2.56, will be available across single and multipack formats, with 16 ‘Natoon’ animals to collect.

The toys can be scanned by parents and carers to unlock a set of activities for children to complete on the app developed by Kinder, Applaydu.

It will be supported by a £3.2m campaign spanning TV, video-ondemand, digital and instore PoS for retailers.

Peroni offers luxury holiday prize

Coca-Cola’s new Zero Mermaid Gin Sugar look launches first RTD

PERONI Nastro Azzuro is rolling out an on-pack promotion giving consumers a chance to win a two-night trip to the Amal�i Coast, including 2,000 branded designer bottle openers.

The ‘Win the ultimate Amal�i experience’ on-pack promotion will run until 31 December 2021, and is designed to coincide with people now feeling more comfortable going abroad and travel restrictions easing.

It follows the brand’s 2020 ‘Win the ultimate Passeggiata – an Italian Journey’ on-pack promotion, which received more than 300,000 entries.

Haribo’s £4m TV ad for Tangfastics

COCA-COLA Europaci�ic Partners has updated the look of Coca-Cola Zero Sugar vanilla and cherry, and has launched a marketing campaign that will include sampling opportunities.

The new look makes it easier to identify the �lavours, and the supplier said its research showed the new packs are easier for consumers to �ind at the soft drinks �ixture.

The campaign, ‘Open that Coca-Cola’, will target young adults and will include sampling Coca-Cola Zero Sugar at festivals and when students return to university in September.

HARIBO is investing £4m behind a new TV advert for Tangfastics, which is expected to reach 70% of its core audience.

It will follow its ‘kids voices’ theme, and 20- and 30-second adverts will be

running until October.

It will also be the �irst time the supplier has featured its Tangfastics sub-brand in an advert since 2016. The brand is worth £27m, three times the value of its nearest competitor.

including Pinterest (for Fruittella) and TikTok (for Chupa Chups under the hashtag #ChupaChupsHalloween).

As well as TikTok, more content will be generated through Snapchat advertising and interactive in-app �ilters.

Retailers will also have access to in-store PoS that features vinyl-wrapped displays.

PRODUCTS

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Jameson launches orange flavour PRIYANKA JETHWA PERNOD Ricard UK has launched Jameson Orange into the UK market, available now from Booker and Costco with an RRP of £23.95.

The 30% ABV bottled spirit is a low-sugar, �lavoured Irish whiskey, with the �lavoured spirits segment having driven 80% of all off-trade spirit new product sales in the past two years.

Orange has also been one of the key growth �lavours in the past three years, with over 25% of consumers typically picking orange�lavoured drinks.

The supplier said Jameson Orange is set to attract

younger consumers to the brand, with �lavoured imported whiskey having strong appeal among 18-to-34-year-olds.

It added that Jameson is growing in value by 20% in the off-trade, almost twice as fast as the total whiskey category (11.2%), and holds a 78% value share of Irish whiskey in the UK. In the on-trade, pre-Covid, Jameson was growing at 10% in value versus the imported whiskey category, which was in decline.

Most trends show whatever happens in the on-trade typically follows suit in stores, with people wanting to recreate bar-like experiences at home.

The supplier added that it is “investing signi�icantly in the launch [of Jameson Orange]”, and will be support-

ing it throughout October with a campaign spanning digital, social and video-ondemand advertising.

Kinder Cards from Ferrero on sale

Go back to school with Weetabix

KINDER Cards is the latest biscuit launch from Ferrero, following the success of the product in Ireland, Italy, Germany and France.

The launch will be supported by a £1.82m investment, which includes a TV campaign with the opportunity to reach 4.55 million families through targeted viewing.

Kinder Cards come in single-serve packs containing two biscuits, suited for on-the-go consumption.

With 49% of shoppers visiting the biscuit aisle, the range aims to grab the attention of existing shoppers as well as attracting incremental sales to the brand.

THE back-to-school period is the second biggest sales period for cereals, and Weetabix is returning to screens with a £2m investment.

Running across September on TV and video-on-demand, the advert shows various topical serving suggestions referring to the easing of lockdown restrictions.

Weetabix has invested £14m in the past 12 months

to help support growth for the cereal category.

The brand is also running an on-pack football promotion in partnership with The National Football Associations, and is also the headline partner of The Football Association’s girl’s participation programme, the ‘Weetabix Wildcats’, which helps girls aged 5-11 who want to get involved with football.

‘Beautifully Swedish’ Cofresh party packs cider back on TV return once again MOLSON Coors has launched a new campaign for Rekorderlig, including its �irst TV advertisement in four years titled ‘Beautifully Swedish’.

The campaign aims to drive awareness of Rekorderlig’s range among 20–34-year-olds in city centres across the UK. It will showcase Rekorderlig’s core range, which includes StrawberryLime cider, Wild Berries cider, Passionfruit cider, MangoRaspberry cider and the latest additions, Pink Lemon cider and Watermelon-Citrus cider, which are all gluten free and suitable for vegans.

Rebecca Mutty, brand manager for Rekorderlig, said: “This campaign is our

�irst master brand campaign in over four years and aims to bring the Swedish spirit of Rekorderlig to life and get the brand’s name back on people’s lips this summer.”

FOLLOWING the success as a limited-edition snack for Eid earlier this year, Cofresh has made its Party Mixes available in 70g sharing pack formats.

The Party Mix packs of assorted potato-based Grills, Spirals and Hoops come in three �lavours – Jalapeno & Cheese, Sour Cream & Chive, and Sweet Chilli,

with an RRP of 70p each.

“We’re thrilled these snacks are now available all year round. They’re the perfect addition to the big night in and for sharing, while the variety of shapes and �lavours guarantees something to appeal to everyone,” said Jon Roberts, Cofresh brand manager.

Two Thorntons Pearls flavours FERRERO UK is expanding its boxed chocolate range with the launch of Thorntons Pearls in two varieties – Hazelnut Delight and Salted Caramel Sensation.

The chocolates have an RRP of £4.50 each and will be supported by a TV, social media and sampling campaign.

The supplier said the launch comes as the ‘give to share’ segment has grown by 16%, with Thorntons Pearls designed to drive sharing occasions by offering a premium treat alongside the existing Thorntons gifting range.

The chocolates are on sale now.

Actimel launches two Vitamin D lines ACTIMEL has launched two new vitamin D lines available in Strawberry Banana, and Peach �lavours with an RRP of £1.50 for a four-pack.

Each Actimel Kids shot is a source of vitamin B6 and also contains a third of the daily reference intake of vitamin D. Each bottle contains no preservatives, arti�icial colours or arti�icial �lavours.

The supplier said health “continues to be ranked as a priority for consumers and interest in functional food is as strong as ever, with searches around immunity still three times higher than in July 2019”.

The launch will be

supported by TV, digital, in-store and sampling during the peak back-to-school time.

FROSTY Jack’s is now available in a limitededition strawberry �lavour, exclusively available through Bestway Wholesale.

The supplier said the new �lavour offers “increased sales opportunities for independent retailers as warmer summer weather helps drive consumer demand for chilled and �lavoured ciders”.

Frosty Jack’s Frosé is available in 440ml cans and is targeted at 18-to-35-yearold consumers.

While sustainability remains a priority for many, the supplier added it will continue to focus on cans and making the brand more sustainable. This follows the

brand’s move to its plastic bottles being made from 51% recycled plastic.

Frosty Jack’s exclusive flavour

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

BrewDog launches new TV campaign PRIYANKA JETHWA BREWDOG’s new ‘The planet’s favourite beer’ campaign aims to reach 26 million adults throughout August and September, challenging the stereotypes in traditional beer advertising.

It will feature on TV during high-pro�ile ITV shows throughout August, including Love Island, English Premier League Games on Sky Sports and the upcoming Paralympic Games on C4 and All4.

This will be supported by outdoor, digital, social media and print ads.

Plant-based snacks from Harvest Snaps CALBEE UK is launching a new ‘healthier’ range of plant-based products under its Harvest Snaps brand.

The vegetable and pulsebased snacks provide an alternative to fried crisps and snacks, and come in two varieties including Sour Cream & Chive Lentil Rings and Thai Sweet Chilli Lentil Puffs.

These are available in single,

six-packs and sharing bags.

The range also falls below the proposed government HFSS restrictions meaning the product can still be merchandised in promotional display space after the new legislation comes into force in 2022.

Fry’s Turkish Delight in cherry flavour MONDELEZ International has launched a limitededition Fry’s Turkish Delight Cherry multipack, available in three 51g bars.

With an RRP of £1.49, the supplier said it should be ranged among other chocolate confectionery multipacks.

Fry’s multipack range is growing at almost 17% ahead of the ‘adult multipack’ segment, and the supplier said it is most popular among older, mature shoppers.

The supplier said: “We know that cherry is the sixth most popular �lavour in sugar confectionery, so there’s a clear opportunity to bridge that gap into chocolate with a product like Fry’s Turkish Delight.”

Limited-edition summer rum bottles DEAD Man’s Fingers has released three limitededition bottles for its spiced rum, each featuring skull imagery.

The bottles include three designs, including �laming red and green skulls, and come in a 1.75l format with an RRP of £50.

The launch will be supported by a touring van, which will be providing free

slushy samples made with a range of Dead Man’s Fingers rums.

With 22 days of activations across 12 cities throughout the UK, the £250k campaign is set to drive consumer awareness for the brand, reaching more than 80,000 consumers.

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PRODUCTS

08

Premium Xmas chocs from Ferrero PRIYANKA JETHWA FERRERO’S 2021 Christmas range will include refreshed novelty �igures and advent calendars, including new additions to its existing confectionery lines.

Under its Ferrero Rocher brand, the supplier is expanding the range with Grand Rocher Dark 125g. It said the large format is “ideal for gifting and sharing”, with the launch supported by PoS and digital assets.

This will join the classic Ferrero Rocher 300g box, with it being a bestseller in the classic boxed chocolate segment.

Meanwhile, under its Thorntons brand, the

moulded �igures range will be relaunched for 2021 with a new Cheeky Reindeer and Cheeky Elf 90g.

The Thorntons Continental range generated value sales of £14m last year, while the Thorntons Classics range is currently growing at 21%.

“This positive performance showcases a key opportunity for a strong core boxed range all year round, as well as at Christmas, without requiring retailers to create extra space on shelf or run the risk of having residual seasonal speci�ic products left that may lose relevance after the occasion,” the supplier added.

Elsewhere, under its Kinder brand, Ferrero is launch-

ing a 167g Kinder Bueno Advent Calendar, which joins its 110g Santa Hollow Figures, 75g Santa surprise and 100g Kinder Egg. The brand will also be undergoing a total design refresh.

“Expanding our grated range enables us to offer these Extra Mature consumers a more convenient solution for assembling their meals,” he added.

TABASCO Scorpion Pepper Sauce is the latest addition to the brand’s range of hot sauces.

While the pepper mash used to make its Original Red Pepper Sauce falls between 20,000 and 40,000 Scoville Units, the mash used to make Scorpion Pepper Sauce checks in at 100,000 Scoville Units – making it the brand’s spiciest sauce.

The supplier said it will appeal to consumers who want to recreate on-trend social media challenge dishes such as ‘Wings of �ire’.

Tabasco Scorpion Pepper Sauce is available in 60ml bottles, packed 12 to a case.

The cases cost £22.95.

Extra mature cheese in grated format SAPUTO Dairy UK’s Cathedral City Extra Mature cheese is now available in a grated format. It follows its Mature and Mature Lighter grated pack launches, and comes in a 180g resealable pack.

The grated cheese segment has grown by 17% in the past year, within which extra mature cheese options are the most bought.

Cathedral City marketing controller Neil Stewart said: “We know a third of shoppers who buy Cathedral City Extra Mature block cheese – our second most popular variety within block – buy only this strength pro�ile.”

sponsored

Next-gen reverse vending machines ECOVEND’s next-generation reverse vending machines (RVM) are designed for people to deposit their empty single-use beverage containers in return for vouchers to spend in store.

As a simple and effective solution to prevent waste from polluting lands and oceans, the machines can collect, sort, compact and store plastic bottles, aluminium cans and glass bottles – ready for onward recycling.

The new RVM400 model features a voice and touchless operation, and a large screen for advertising.

Find out more details at eco-vend.co.uk.

A scorpion of a pepper sauce

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

French beignets now on sale in Spar MADEMOISELLE Desserts has launched its French Mini Beignets into 100 Spar stores across Scotland.

The mini beignets come in three varieties, including Chocolate & Hazelnut, Speculoos, and Double Choc, with an RRP of £2.49 for a pack of eight.

The supplier told Retail Express it is keen to launch into other stores in the future, but for now it is focusing on Spar, with hopes to be present in all of its sites in Scotland eventually, which amounts to over 300 stores.

It added: “We are providing retailers with Mademoiselle Desserts branded FSDUs which are easy to erect,

visually appealing and robust enough to display a lot of mini beignet packs.”

PEPSICO has launched a new range of Walkers Local Taste Icon �lavours – crisps that taste like restaurant dishes.

This includes Madras Curry – inspired by The Radhuni, Edinburgh; Thai Green Curry – inspired

by Mantra Thai Dining, Newcastle; Fish & Chips – inspired by The Wetherby Whaler; and Chicken Burrito – inspired by Yucca, London.

An on-pack promotion also aims to drive footfall to local establishments by offering a £5 off discount at participating restaurants.

Every packet of Walkers Local Taste Icons directs shoppers to walkers.co.uk local where they can search for their local restaurant and claim £5 off using a QR code voucher.

Support your local eateries with Walkers

Raspberry & Vanilla Xmas with Galaxy, bircher from Nomadic Maltesers & more

NOMADIC Dairy has added two new �lavours to its Breakfast Bircher range – Raspberry and Vanilla (RRP £1.30).

It follows the recent launch of Nomadic’s Chocolate & Vanilla Breakfast Bircher.

Within the chilled yogurt and desserts category, breakfast options are important and the fastestgrowing segment, and

Nomadic commands a 68% share and is the number-one bircher muesli brand.

Bethan Miles, brand manager at Nomadic, said: “With breakfast occasions on the rise, health remains a key focus and consumers are choosing yogurt, oats and fruit as their top three ingredients, which is everything our Birchers include.”

MARS Wrigley UK has announced its 2021 Christmas line-up.

This will include Maltesers Mint Reindeer, building on the success of mint-�lavoured products that have grown in sales by 34% in the past year.

This will join Celebrations in a tub, pouch and new ‘centerpiece’ format. The pouch will also use 20% less plastic this year.

Its premium collection will include Galaxy Truf�les, available in caramel and orange �lavours, and Maltesers Truf�les in milk and white chocolate options.

Finally, it will bring back its Maltesers and Galaxy advent calendars for the festive period.

LEGALLY PREPARED FOR CHANGE Earlier this year, the minimum age to play The National Lottery changed from 16 to 18. Camelot caught up with Aman Uppal to get his thoughts on how he has successfully implemented changes for both his staff and his customers alongside preparations for the legal change which comes into force on 1st October 2021.

Get ahead of the game – early preparation gives you more time to get staff and customers on board We felt prepared for the change because we worked with our franchise partner and our Camelot rep. Our Retail Sales Executive (RSE) had given us a timeline to stick to. We were told about it in advance, which allowed us to prepare really thoroughly.

Being compliant ahead of legal enforcement removes any risk from us, makes the staff feel prepared and lets our customers know that we’re “on it”. It’s the best way to do it. Get ahead of the curve.

Get to know your Camelot RSE and work closely with them. If you don’t ask, you won’t know For us, it’s about carrying on with our high standards and making our staff aware of the changes so they can maintain those high standards.

I would also say that if you don’t ask, you don’t know. If there are parts of the change you’re unsure of, then don’t be afraid to ask your Camelot rep; that’s what they’re there for.

Make your staff aware of your standards, and hold them to those, through continuous training The thing I liked most about the rule change process was the training for my staff. The National Lottery was always the one we had to do separately, but now fireworks, alcohol – all of it – are covered under one training session due to the new 18+ age restriction. It’s a one-size-fits-all rule now, which makes our life a lot easier.

It was an easy transition. It was just a case of just telling staff, “Look, do what you do for alcohol”.

It was the same thing – apply that Challenge 25 mentality.

Advertising feature

Challenge 25 is a simple and effective policy for all agerestricted goods. Make sure your staff are always on top of this I’d feel super-confident we’d pass any Operation 18 Mystery Shop visit. With all age-restricted products now at the same 18+ limit, my staff won’t have to think about whether a person looks 16 or 17. The Challenge 25 policy applies across the board, and it works really well.

THREE KEY THINGS TO NOTE l Players must now be 18+ to buy and play National Lottery games l 16+ play slips will stop working on 1st September 2021, so they must be removed from your Playstation and all other storage places immediately. They must be replaced with new 18+ play slips l From 1st October 2021, it will be illegal for players under the age of 18 to buy or play National Lottery products. Ensure staff correctly ask for ID at all times

Aman Uppal, One Stop Mount Nod, Coventry

FOUR STEPS TO SUCCESS 1 Early preparation gives you more time to get staff and customers on board, especially ahead of the important legislation change on 1st October 2 If you have any queries about the change, check all the literature Camelot has provided or ask your RSE 3 Make sure your staff have access to continuous training. It’s so important to maintain your high standards 4 Train your staff to use the Challenge 25 policy approach so that you’re confident your store would pass any mystery shop visit

OPINION

10

DON’T MISS THE 3 SEPTEMBER ISSUE OF RN

RETAILER OPINION ON THIS FORTNIGHT’S HOT TOPICS

What do you think? Call Retail Express on 020 7689 3357 for the chance to be featured SCOTLAND: Are customers complying to the continued face mask law?

“WE haven’t had too much trouble, although we haven’t been forcing people to wear masks. I don’t want to put my staff in a situation which could cause arguments, so we haven’t forced people to wear coverings if they don’t want to. We certainly haven’t been turning anyone away.”

Mo Razzaq, Jack of Blantyre, South Lanarkshire

Security: how to make your store a safer place to shop

COVID-19: How has your footfall been since the easing of restrictions?

Working with suppliers: how to foster mutually beneficial relationships with symbols and suppliers

There’s easily 10% more customers coming in THE LEADING TITLE FOR NEWS AND CONVENIENCE RETAILERS THE LE ADING ILERS TITLE E RETA National Lottery FOR NE ENIENC Revealed: gov’t in talks to add WS AN CONV ATM services in Lotto terminals D SERVICES Page 4

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“SURPRISINGLY we haven’t had that many issues. I think it was a good idea to keep the mask law. We will be following this until we can get to a stage where they are no longer necessary. We have put signs up around the store telling people to continue wearing a covering.”

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15:46

Graeme Pentland, Ashburton Village Stores, Newcastle-uponTyne

“YES, we have seen a big difference in our footfall. We have seen a lot more people starting to visit that weren’t before. I would say there’s easily 10% more customers coming in since the restrictions eased. Although its not 100%, its definitely on the rise. I’m feeling optimistic.”

Dipak Shah, H&R News, Surrey

NEW PRODUCTS: How do you communicate them to your customers?

“WE normally keep PoS materials from the wholesalers or suppliers and put them in the window. Most of our customers find out about new products through word of mouth as there is a lot of communication in the town. Once you put the poster up it works well.”

Dilip Patel, RM Terry’s Newsagents, Amersham

“THE best way we promote a new product that we have is through social media, but we get the best response through putting up posters. We also rely on word of mouth, it’s the best way to let people know about what products you have and the ones that are due in soon.”

Amit Putambekar, Ash’s Shop Nisa Local, Cambridgeshire

We rely on word of mouth LEGISLATION: Have you had any issues rolling out the carrier bag charge?

The best independent retailers stay ahead by reading RN each week.

Do you?

ORDER YOUR COPY from your news wholesaler today or contact Kate Daw on 020 3871 6490

“MY store has been busier.

Customers who previously had to self-isolate are now coming in. Compared to last year, my footfall isn’t as high, but compared with two years ago before Covid kicked in we are still busier. Our alcohol sales are booming.”

Some customers seem to get annoyed

“NO, I was surprised because the price has gone up with 10p a bag and 20p for a bag for life. People don’t bat an eyelid around it. We are a holiday destination, so I don’t think people react as badly, so paying for a bag just adds on to their holiday expenses.”

Vince Malone, Premier Tenby Stores & Post Office, Pembrokeshire

“I STILL have some issues with it. We thought people would get used to it after a while but some of the customers seem to get annoyed.

However, it’s not everyone.

We have noticed some have started to bring their own bags into the store to do their shopping.”

Anonymous retailer, name and address supplied

LETTERS

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

11

jeet bansi

Letters may be edited

Meon Vale Londis, Stratfordupon-Avon

Credit Dhamecha

Value, upselling and availability

Dhamecha Birmingham pre-pandemic

‘Dhamecha’s Enfield branch is total chaos right now’ I’VE experienced the most dreadful customer service at my local Dhamecha branch in En�ield. The only way I can describe the way things are at the depot is total chaos. I have seen forklift drivers operating machinery and customers walking underneath to pallets. This is so dangerous. In other depots I’ve visited, the aisle is shut if someone is operating a fork-

lift. There just doesn’t seem to be any common sense.

I’ve spoken to so many other retailers who feel exactly the same. In addition, I’ve seen staff tell customers to hurry up when the depot is about to close, and they are still waiting to be served.

I received a phone call from the chief executive a few days ago apologising for what I’ve experienced.

I’ve asked for him to detail what measures he is going to implement to improve things, but I’m still yet to receive anything.

Bhavin Patel, Tylers Green Stores, North Weald, Essex

A Dhamecha spokesperson responded: On receiving the email from Mr Patel, he was contacted within the

hour by our chief executive but was unable to make contact – a message was then left. Mr Patel was spoken to the following day by both our chief executive and the En�ield general manager.

We discussed his concerns and apologised to him for the shortfall in the high standards we offer to all our customers. We hope this concludes the matter.”

COMMUNITY RETAILER

OF THE WEEK

Aman Uppal, One Stop Mount Nod, Coventry - @ OneStopMountNod

‘Olympics display WIN £50-worth of Tropicana and Naked caught athlete’s eye’

PEPSICO is giving Retail Express readers the chance to win £50-worth of Tropicana and Naked stock in time for the brands’ first trade-exclusive juice activation.

Running until 15 September, the wider campaign encourages retailers to maximise the chilled fruit juice opportunity by offering the chance to win a £5,000 cash prize, with more prizes up for grabs.

Simply scan the QR code on the cases or visit tropicana. co.uk/retailsummer and upload an image of the receipt to be in with a chance of winning.

TO ENTER Fill in your details at:

betterRetailing.com/competitions This competition closes on 10 September.

Editor’s decision is final.

‘ONE of our local customers approached us last week after seeing our in-store Olympic display. He is an ex British athlete and asked us whether we would be interested in helping him raise funds for the Uganda Wheelchair Rugby Foundation as part of his Charities of Fire initiative. As a result, we now have a collection pot and are spreading awareness. We have already raised quite a bit and will continue collecting until the end of the Paralympic games.

It is amazing, because we would have never found out about his initiative if we hadn’t put up our display.’

GIVEN current circumstances, we need to balance our upselling and promotional opportunities with availability. It’s about maximising availability while keeping your margins healthy because your availability affects a wider audience, and we don’t want to be selling out of anything. There is a fine balancing act Each issue, one of seven top between ensuring retailers shares advice to that we have items make your store magnificent on promotion that present that perception of value, but that we are also able to take advantage of transient trade.

We were offering two Lucozade Sport for £1 and still making a 17% margin, but we’ve raised that price to £1.29 and it’s now getting a better return. I put it in our impulse fridge right at the front and it’s selling because it’s still very good value and it’s very hot weather at the moment.

You’re paying an extra 30p and you’re getting more Lucozade.

However, it’s important that you’re not cheating your customers or taking them for granted.

New products have been difficult this year in our sector, but they still offer good opportunities to sell to customers.

The Cadbury Caramilk is a good example. It’s normally £1, but we’re selling it at £1.59. It’s still selling because it’s new and people want it. They may not have seen it elsewhere, so they’re happy to pay a bit more for it.

Impulse lines are a very easy place to trade customers up.

When it comes to value lines, I think it’s important to offer those prices all year round. It’s a bit of a surprise for people. In other stores and supermarkets, you often have to get there at the right time to get the deal. With us, they know that they can buy something for a set price.

They know what they’re drinking and they know how much they’re paying for it. We’re creatures of habit and we remember how much things cost in certain stores. We then stop going to where it’s more expensive. We sell Andrex 16-roll toilet paper for less than Sainsbury’s charges, but we still make a 53% margin on it. It’s right by the entrance and people are picking them up. When they need toilet paper, they remember where they can get it cheaper – us.

So we have to balance ensuring that we’re selling good products at good prices, but still maintaining that bottom line for ourselves. We want people to think of us as their first choice. We stock premium products as well, but we also try to keep the prices for those the same throughout the year as well.

Get in touch

@retailexpress betterRetailing.com facebook.com/betterRetailing megan.humphrey@newtrade.co.uk 020 7689 3357

12

ROUNDTABLE

Chris Dillon, Newtrade Media Ruth Forbes, JTI

Jessica Runicles, BITC

Steve Dyas, JTI

Surjit Khunkhun

Ian Lewis

Bart Dalla-Mura

Mo Razzaq

Peter McBride

Alpesh Shingadia

Christine Hope

Alan Mannings

Attendees Retailers

Alan Mannings

Shop on the Green, Chartham, Kent

INVESTING IN SUSTAINABILITY Host

Chris Dillon Alpesh Shingadia

Budgens Southwater and Londis Caterways, West Sussex

Bart DallaMura

Tysoe Village Stores, Warwickshire

Head of insight, Newtrade Media

Retailers

Mo Razzaq

On the back of its announcement to become net zero carbon in the UK by 2030, JTI has teamed up with RETAIL EXPRESS and eight store owners to find out what steps they are taking to reduce their environmental impact

Jack’s of Blantyre, Glasgow

Industry experts

Christine Hope

Peter McBride

Ruth Forbes

Ian Lewis

Surjit Khunkhun

Jessica Runicles

Hopes of Longtown, Herefordshire

Spar Crescent Stores, West Oxfordshire

Owner of 13 Spar stores in Northern Ireland

One Stop Woodcross Convenience Store, Bilston, West Midlands

Head of responsible business projects, JTI

Head of responsible business strategy, Business in the Community (BITC)

In association with

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

13

Promotional feature

01

CUTTING PLASTIC

SWITCHING or reducing plastic bags is a major step that many retailers have already taken, but some are going a step further.

“We brought in our ‘Veggie bags’ initiative, which gives customers 5% off loose fruit & veg if they bring in their own bag. Sustainability for us started with loose veg.

“It was quite a shock for most of our customers who were used to bags, but we got them through it,” says Bart Dalla-Mura. “It’s well worth it because the margins on loose fruit & veg are much higher.”

Christine Hope says her approach to communicating changes to plastic bags was simply to stop providing them.

“We just never told customers that’s what we were doing.

We just said, we have boxes instead of plastic bags and gave customers them instead,” she says.

Peter McBride adds: “We brought in sugar-beet packaging for our delis and salads, which is sustainable and compostable. We’re still struggling with finding a solution for hot food, though.

“We tried compostable packaging, but it just started decomposing before our eyes and after 10 minutes, you’d be eating cardboard. We don’t allow customers to bring in their own containers for hot food to go because you’re not in control of the portions, nor the food

hygiene of the product.”

Refillable solutions for household and grocery products have captured the attention of several of the retailers on the call, but making it work in a smaller shop is a challenge. “We do refills, but we only offer it one afternoon a week. We introduced a prefilled system last year where we fill 5l containers and 1l Schweppes bottles that come back from customers.

“That works well, and means we don’t have to give a large section of the shop to a refill station,” says Christine Hope.

The retailers on the call were clear that they wanted more support from manufacturers to cut down on waste and packag-

ing. “We are working to reduce the environmental impact of our product portfolio and that includes the use of plastics,” says Ruth Forbes from JTI. “This new approach has seen our tobacco business committing to reducing its product packaging (including plastic), ensuring it’s 85% reusable or recyclable by 2025, rising to 100% by 2030.

“Across our UK operations we are also committed to increasing recycling rates of general waste to 75% and reducing general waste by 20% - helping to save 22.8 tonnes of waste being generated and recycling an additional 21.2 tonnes each year by 2030.

“We also want to support re-

tailers to minimise waste and maximise recycling, for example, we no longer send out laminated planograms to our trade partners. Instead, we print our planograms on recyclable synthetic paper to ensure longevity and then send them out in envelopes, which are easy for retailers to recycle.

“All paper and card used in our UK PoSM – such as posters, shelf-edge labels and leaflets – are created using non-toxic inks and recycled content, as well as being FSC-accredited.

“We also recently moved to digital invoicing in the independent channel; retailers can now choose to sign up to receive their paperwork digitally rather than on a till roll.”

JTI’s new approach has seen our tobacco business committing to reducing its product packaging (including plastic), ensuring it’s 85% reusable or recyclable by 2025, rising to 100% by 2030.

RUTH FORBES

You don’t need to have a massive refit all in one go

the stat

66%

BART DALLA-MURA

of retailers believe they should be doing more to improve their sustainability.

02

REDUCING ENERGY USE

JTI is working to decarbonise its energy usage across its UK operations. It will be using 100% renewable energy by 2025, reducing overall energy consumption by 20% by 2030 and investing in its own renewable energy projects.

“Each store will be different, but we’d suggest retailers review energy efficiency levels in their store and install energy efficient refrigeration and LED lighting to help reduce instore energy consumption,” says Forbes.

“In addition, they could look to introduce light sensors or a ‘switch off’ policy for staff in areas that aren’t in constant use, such as a stock room, to

further reduce energy use and cut bills.”

Chiller doors are a popular solution among the retailers on the call. “It used to be that you wouldn’t want a barrier to prevent someone picking up a cold drink from you, but if it’s saving me £250 on my bills a month then someone can open a door to get a beer,” says Surjit Khunkhun. “The price of technology has come down and has made a lot of things more achievable. For example, you can get 600x600 LED panels for less than £20 now.”

Hope agrees that investing in cleaner technology is a positive step for any business, but has concerns about the

waste that comes from changing equipment. “If you’re changing equipment every few years, surely there’s a waste element?” she says.

Dalla-Mura explains: “Having gone through that process, I found replacing the cabinet to get doors on reduced costs by 40-50% and it meant the compressors don’t have to work as hard. I did consider the waste element, but found I could recycle the metal. Before, I had the same fears as Christine but now I’m more comfortable.”

Hope has a warning for any business undergoing this sort of refit. “I did get caught out,” she admits. “I had all units on

the same power system and didn’t separate them, so when I had an outage, I lost all the stock. It’s best to have them all on different plug systems, so I’m retro-fitting that now.”

Jess Runicles from Business in the Community says: “Reviewing your energy usage is a great way to support your journey to net zero carbon.

Look for opportunities to reduce as a priority. For example, are things such as lights and heating on only when they need to be, can you add doors to fridges etc. As a next step look to your energy provider and how much they procure and generate energy from renewable sources.”

ROUNDTABLE

14

03

CUTTING FOOD WASTE

PARTNERING with food waste apps, such as Too Good to Go and Gander, is a profitable way for retailers to recoup some of the money back from food that would otherwise be wasted.

“We’ve been using Too Good to Go for around two years and it’s gone phenomenally well,” says Alpesh Shingadia.

“We use Gander through Spar,” says McBride.

“Customers can go on there, find their local store and it’ll

show them the product taken from a live feed from our store and we can reduce the price by 50% or 75% and that works well. We also make sure 75% of our fresh foods come within the locality so that’s taken a lot of transport costs off it.”

But you don’t always need an app to run this service for your community. “Around three times a week we’ll make food bags up and take them to the town centre,” says Mo

Razzaq. “Any food waste costs us money to get taken away and if we can save on the costs of dumping anything in the bin then that’s a good thing.”

Forbes says: “It’s fantastic to hear about the lengths retailers are going to reduce food waste – from great apps to supporting local charities, such as those helping people who are homeless. I would also encourage retailers to speak to their waste contactors about

any food waste that is still left over,” says Forbes. “We have been working to reduce food waste at our JTI UK HQ office in Weybridge and anything we do have that is left over goes into anaerobic digestion, which naturally breaks down all of the nutrients to create gases and by-products, which in turn, become energy and fertiliser.

Our used cooking oils are collected, treated and turned into biodiesel.”

final thoughts

04

FINDING THE RIGHT NEXT STEP FOR YOUR BUSINESS

“WE’RE going to sign up to the 2030 net zero pledge and that’ll give us a focus.

We’re not sure if it will actually be 2030, but if we don’t have a target and something to measure then we’ll never know,” says Hope.

Runicles advises retailers not to worry too much about “appearing perfect”. “Customers do care about sustainability, but many of them think it’s the responsibility of the business less so than their responsibility.

“The fact is, they do want to hear about what you’re doing.

A lot of the time companies fall foul of trying to have all

the answers but if you can explain that you’re trying to do something, it’s okay to talk about.”

McBride’s business has been thinking sustainably for years – to the point where the mindset is ingrained into every decision they take. “Any kind of refit we do, we’re talking about it. There are always extra things you can do. We’re building a new store and we’ll have solar panels on it, but we’ll also take water from the roof and use it in cleaning and the bathrooms,” he explains.

The investment that comes with introducing sustainable equipment through a store-

wide refit can be daunting and unrealistic for many retailers, but that doesn’t mean they can’t introduce better solutions bit by bit.

“You don’t need to have a massive refit all in one go,” says Dalla-Mura. “Covid-19 delayed the refit we were planning, but we pushed ahead with the sustainability side anyway and just did the chillers. Whenever a fluorescent light went out, we’d simply replace it with an LED.” By doing it this way, retailers can enjoy the longterm cost savings that come with sustainable equipment without breaking the bank

all in one go.

Khunkhun advises looking at what other retailers are doing and how they’re investing.

“If Peter is going to invest heavily across his 13 stores, then you know he’ll have looked into what’s going to save him money in the longterm,” he says.

Alan Mannings says his next step is to introduce new chillers and frozen cabinets.

“We’ve changed the strip lighting to LED, which is already saving us money. We need a lot of advice and guidance to be more sustainable, but we already recycle a lot of plastic and cardboard.”

Watch the video highlights from the event at betterRetailing.com/investing-in-sustainability

01

Christine mentioned that she offers a discount on coffee if shoppers bring in their own cup, which is something I’d like to look at applying in my business.

Alpesh Shingadia

02

I spend a lot of water on the plants outside my store, but now I’m thinking about installing a water butt to capture rainwater.

Surjit Khunkhun

03

It’s easier than you think to make a start.

It doesn’t have to be done all in one go and sometimes it’s the smaller changes that customers notice the most.

Bart Dalla-Mura

04

I’m going to review my plans and make tweaks here and there to make sure we’re considering more sustainable aspects.

Ian Lewis

05

I’d always thought that good communication meant what we were telling our customers, but it’s also handy to find environmental groups in your area to identify the trends in your locality.

Christine Hope

06

Getting your customers and suppliers to feed into your work is a great way to expand your knowledge to find more sustainable solutions. Get into the habit of thinking about whether decisions are the most sustainable, and it will soon become second nature.

Jess Runicles

07

I feel really excited about everything shared at today’s event. For me, I’ve learned that JTI needs to be a bit louder about the environmental progress we’re making, especially as it relates to our retail customers.

Ruth Forbes

cider

CATEGORY ADVICE SUSTAINABILITY

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

10 WAYS TO BE MORE SUSTAINABLE Operating sustainably is an important part of retail, but where should you start? TAMARA BIRCH explores 10 ways to reduce your environmental impact

01 INTRODUCE A SWITCH-OFF POLICY IMPROVING your process in store with sustainability in mind will have an overall positive impact, like introducing a switch-off policy. Are there areas in your store that are regularly empty throughout the day, like your stock room?

If this is the case, Ruth Forbes, head of responsible business projects at JTI UK, says: “Retailers could look to introduce light sensors or a ‘switch-off’ policy for staff in

areas that aren’t in constant use to further reduce energy use and cut bills.”

Jack Matthews, of Bradley’s Supermarkets in Quorn, Leicestershire, did this after participating in Newtrade Media’s Academy in Action programme. Light sensors were installed in his stock room, switching off after 90 seconds of inactivity. This has helped him reduce his electricity usage in store, improving his

sustainability credentials and cutting overhead costs.

Trudy Davies, of Woosnam & Davies in Llanidloes, Powys, did something similar, finding a cost-effective solution online.

“The sensors cost £10 each and they allow the lights to go on for two minutes and then switch off. Before, they’d be on for a couple of hours before anyone noticed and switched them off. It’s prevented us from using unnecessary electric pro-

key dates

21-27

cesses,” she said during an Independent Achievers Academy Community Stars interview.

In addition to installing sensors, it’s possible to implement the process by asking your team to make sure the lights are switched off when they leave the room. Over time, this will reduce your energy usage and bills.

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18

02 HAVE YOU GOT LED LIGHTING? “EVERY store will be different, but we’d suggest retailers review energy efficiency levels in their store and install LED lighting to help reduce instore energy consumption,” says JTI’s Ruth Forbes.

LED lighting can be a costly investment, but the savings you could make outweigh this initial outlay. Claire Tonkin, of Bridge Stores Goonhaven Londis & Post Office in

key dates

5 June 2022 is World Environment Day

Perranporth, Cornwall, introduced LED lighting across her store following a refit last year.

“As well as lighting up the store, we also introduced LED lighting in all of our chillers, which we have for fresh and chilled and alcohol. It’s a costly investment, but in the long run, you’ll save money and it’s better for the environment, so it’s a no-brainer,” she says.

Also, reach out to suppliers about how they can help.

Suntory Beverage & Food GB&I (SBF GB&I), for example, helped Amit Patel, of Premier Sandiacre in Derby, make a series of changes that have had a big impact on his sustainability credentials.

“We installed new lighting throughout the store, replacing 10-year-old 30W tube lights with energy-efficient

LED panels,” explains Matt Gouldsmith, channel director, wholesale at SBF GB&I. “The changes we made in store will help Amit save £600 a year.”

Retailers have reported they’ve used local electricians to install LED lightings, as it can work out cheaper than using other companies. When researching, make sure to compile a couple of quotes to compare.

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

We have a plan to make all of our plastic bottles 100% sustainable by 2030.

Driving a circular economy

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20

CATEGORY ADVICE SUSTAINABILITY

ENERGY-EFFICIENT 03 INSTALL CHILLERS AND REDUCE ENERGY IT’S no secret that installing chillers with doors will help the environment, reduce your energy usage and cut down monthly costs. But have you checked your chillers are as energy-efficient as they can be? Technology is consistently upgraded, so make sure to review your chillers often to ensure they’re running at optimal efficiency.

If you’ve yet to make the

investment, reach out to suppliers to see if they offer any options. Coca-Cola Europacific Partners (CCEP), for example, has its own equipment. Amy Burgess, senior trade communications manager at CCEP, says: “Our CCEP coolers use natural refrigerants, LED lighting and advanced insulation technology, and we’ve introduced Energy Management Systems, which cut power con-

sumption by 30% on average.”

Another option is exploring renewable energy tariffs to reduce the store’s environmental impact or implement new processes that will regulate the temperature throughout the store.

Will Williams, strategy and sustainability director at 100% Group, says: “Energy efficiency is only part of the sustainability journey. Source

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

RETAILER

VIEW

green energy from a business supplier, use energy-saving business equipment and use a thermostat to control the temperature in store.”

Amrit Singh, of H & Jodies Nisa in Walsall, West Midlands, installed doors on his chillers last year following a refit. Tonkin also invested in energy-efficient chillers last year. “When we had our refit, sustainability was at the forefront of our decisions. Having doors on the chiller looks better, keeps products fresh and our bills are likely to be lower,” Tonkin says.

Claire Tonkin, Bridge Stores Goonhaven Londis & Post Office, Perranporth, Cornwall “Look forward and think long-term. It might be an initial investment to install LED lighting or doors on your chillers, but long-term, you’re more likely to save money on your bills, while being more sustainable.

Being more sustainable and offering a choice of products gives you a wider variety of customers. Some can’t afford to buy environmentally friendly products, so we offer branded lines, too. This offers them a choice, which is good because we show we’re trying to reduce our environmental impact, while catering to their needs, too.”

04 REDUCE WASTE REDUCING waste is a challenge many retailers face, especially if they’re looking to find the right products for their customers, which can make waste inevitable. But there are ways to do it well.

Regularly check your sellby dates and utilise your sales data to find out what’s selling, and what’s not. Lines near their sell-by date should be reduced accordingly to avoid waste. Check these lines yourself or delegate to staff to check in the morning, early

afternoon, and the evening.

Overall, there’s plenty that retailers can do to ensure they’re not wasting food. Any food near its sell-by date that doesn’t sell, consider donating it to a local food back. Contact your local food banks to find out what’s acceptable for donation, or if they’re in need of anything specific.

For retailers with a foodto-go area, use any fruit and veg approaching its shelf-life date as ingredients for larger meals. This will cut down on

the amount of deliveries you receive each week, helping to reduce your overall carbon footprint and cut down on waste.

Make sure to highlight your efforts to your customers on social media or through PoS. Matt Collins, trading director at KP Snacks, says: “Retailers should look at their operating models and ensure they accommodate sustainable practices, and at the same time, empower their consumers by rewarding them for their sustainability efforts.”

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CATEGORY ADVICE SUSTAINABILITY

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

05 RECYCLE, RECYCLE, RECYCLE RECYCLING is at the core of sustainability. In fact, research conducted by Britvic for Recycle Week last year found that 15% of people claimed they don’t feel educated enough on recycling.

“It’s highly important for products to include this information in a clear and simple way to make it easier for consumers to have a strong understanding of recycling and how products can be recycled,” says Tom Fiennes,

GB commercial director at Britvic.

By recycling regularly, it’s possible to help lower emissions and reduce waste, and there are plenty of initiatives to get started.

Most retailers receive multiple deliveries a week, but are you separating the different types of plastic? Delegate this responsibility to each staff member and ask your wholesaler if they return plastic to be recycled at the depot.

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Amy Burgess, senior trade communications manager at Coca-Cola Europacific Partners “RECENT research showed that 61% of consumers are making more environmentally friendly, sustainable or ethical purchases, with 81% likely to continue postpandemic. By working to reduce the environmental impact of our packaging, operations, and equipment, we’re helping our customers respond to the demand.

“Retailers should look to engage directly with shoppers and discuss the importance of recycling with them. When a customer picks up a product that can be recycled or is made from recycled material, why not have a conversation about it? The customer might have picked the product because of its packaging, but then again, they might not have realised. Bringing it to their attention can help to influence future behaviour.”

Become a recycling point of call for shoppers on the go, especially as it gradually returns. Many customers will have been recycling at home for years but won’t be aware of recycling points outside. This gives retailers a unique opportunity to become that point of call for shoppers and drive repeat purchases.

KP Snacks, for example, has partnered with Terracycle to make recycling more acces-

sible for consumers. “There are now 500 public drop-off locations around the UK where you can drop off your used KP Snacks for recycling.

100% Group’s Will Williams recommends reviewing any disposable items in store, too. “Look at your retail displays, which can be anything from floor stickers, to printed PoS materials to permanent displays. All of these items can be made more sustainable.”

06 REDUCE PLASTIC TWENTY-FIVE per cent of people admitted they would do more if they understood the recycling messaging on products better, according to Fiennes.

“The increasingly complex area of recycling is a good example of how important it is that we help consumers do the right thing through clear communication on-pack and through wider marketing activity, which is a key part of our current and future plans,” he says.

Reducing plastic is no easy task, but it’s a cost-effective solution to becoming a more sustainable store. Tonkin, for

example, removed all singleuse plastic bags from the store, replacing them with compostable bags and bags for life. “We also looked at our hot food-to-go area. Shoppers don’t want to handle food loose right now, but we use paper bags where possible and boxes for our baps. The less plastic you use, the better,” she says.

Suppliers have taken note of the demand to reduce plastic, too. Weetabix, for example, created smaller wrappers for its Alpen Light bars, saving 24 tonnes of plastic per year.

John Petre, supply chain and technical director, who leads

the Weetabix Sustainability Steering Group at Weetabix, says: “We’ve also removed 28% of plastic in our Weetabix wrappers, saving 102 tonnes of plastic per year.”

Molson Coors has done similar, removing more than 700 tonnes of single-use plastic from their operations. “We removed single-use plastic rings and introduced a fully recyclable and sustainable cardboard sleeve for can multipacks for all major brands, including Carling and Coors,” says Kevin Fawell, off-trade sales director at Molson Coors Beverage Company.

Heineken has also done similar things to cut down its plastic

usage. A spokesperson for the company says: “We wanted to find a solution that would be 100% plastic free and would fit across all brands, without making any compromises. In October 2019, we announced our ambition to remove plastic from all consumer-facing secondary packaging by the end of 2021.”

Make sure to highlight a supplier’s efforts to be more sustainable to your customers by talking to them and using PoS. It not only highlights your good customer service, but shows you’re concerned for the environment and clued up on ways to improve your impact.

We’re new bottles made from old plastic

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To find out more email connect@ccep.com, call 0808 1 000 000 or visit my.ccep.com *Except label and cap. **From September 2021 onwards. ©2021 Coca-Cola Europacific Partners. All rights reserved.

COCA-COLA, COCA-COLA ZERO SUGAR, DIET COKE, SMARTWATER, FANTA, SPRITE, DR PEPPER are registered trade marks.

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CATEGORY ADVICE SUSTAINABILITY

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07 STOCK SUSTAINABLE PRODUCTS SBF GB&I unveiled new packaging for its Ribena 500ml range earlier this year and it’s now made from 100% recycled material and is 100% recyclable. “By stocking popular soft drinks brands, which also invest in being as sustainable as possible, retailers can make the first steps towards a more environmentally friendly range

that will drive long-term sales success,” says SBF GB&I’s Matt Gouldsmith.

“Not only will this help retailers make changes to their store, but it is crucial to appeal to what the shoppers want and are looking for.”

BAT UK’s Vuse range has become the first global vape brand to be certified as carbon

neutral by Vertis, an environmental commodity trading and carbon advisory firm. “Vuse packs are now made from 100% recyclable cardboard and our Vuse ePod device kits and pod packs are also free from plastic film,” says Adrian Del Popolo, B2B manager at BAT UK. Alternatively, Tonkin stocks a range of loose soap bars for

customers to use in lieu of shampoo and conditioner. “We also stock the normal, everyday brands because you need

to offer a choice,” she says.

“Everything is biodegradable, making it better for the environment.”

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Stocking products that are 100% recyclable or using recycled materials not only makes for a more sustainable store but won’t take up additional space if it’s a product you already stock. In fact, one third of shoppers are now choosing to buy from brands they believe are doing social or environmental good.

IT’S no secret that local products offer convenience stores a point of difference above the multiples, but they also reduce your carbon footprint, too. Products sourced locally typically come from a location within a five-mile radius, so the journey time is reduced, and less fuel is consumed as a result. This will also save fuel over time, reducing your overhead costs.

Tonkin stocks a wide variety of local products, to help reduce her carbon footprint.

“Our next goal is to offer loose fruit & veg, but space is an issue at the moment.

There are many avenues we can look at, including removing the plastic packaging it’s delivered in and recycling the plastic. Every little bit helps,” she says.

If you offer loose products, ensure it’s Covid-19 safe – even with restrictions now over – as some customers will be apprehensive to buy stock they believe has been

handled by others. This could result in a lost sale, even if you’re trying to be more sustainable, so take this into account when planning.

Meanwhile, refill stations can be an option. Tonkin, for example, has a refill milk station from Rodders. “We use glass bottles instead of plastic, which helps to reduce our usage. The milk also stays fresher for longer and customers can reuse the bottles.”

Matthews offers ambient products loose, which he installed as part of his refit. He now offers 15 different products, including pasta and oats, to increase their sustainability credentials and reduce their environmental impact. Offering refill stations might not be a viable option for some, due to space. However, it’s likely these stations will free up shelf space, allowing you to increase your range and better serve your customers.

s a t t i n t g a e b r r a g n f d o s e g n * a cals AR r

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OUr GOOD FOR

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CATEGORY ADVICE SUSTAINABILITY

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09 ENGAGE WITH YOUR CUSTOMERS WHILE there are plenty of ways to become more sustainable in store, there’s also lots to do within your local communities, like a community cleanup. CCEP’s Amy Burgess, says: “A community clean-up isn’t just about getting people to improve public places in the short term, it’s about empow-

ering people to do their bit and changing behaviour for the better in the long term.”

Use social media to gauge interest for a community litter pick and talk to customers in store about potential dates.

Some customers will want to get their kids involved, so try and include this in your plans.

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Ruth Forbes, Head of responsible business projects, JTI UK “PROMOTING awareness around sustainability initiatives can be tough for retailers, even if they are fully committed to acting in a more environmentally friendly way. That said, it’s important that they do what they can to get customers on board and engaged. As a starter for 10, we recommend simply starting a conversation with customers to find out what changes they would like to see in store. This will not only help to come up with new ideas and ways to drive sustainability, but it also lets customers feel part of the journey and therefore more likely to engage with green initiatives.”

Make sure to engage with your customers about all of your sustainability efforts every step of the way. When working with Amit Patel, SBF GB&I introduced new PoS materials to help advertise the changes to build local loyalty. Check any material used is recyclable, or find ways to reuse it in store – for

example, enhancing a fixture.

Weetabix’s Petre says talking to your customers is the most effective tool. “Talk to customers about what green products they want to see in store, as well as looking out for brands with sustainable credentials. Small changes can make a big difference.”

GO BIG 10 DON’T STRAIGHT AWAY Becoming more sustainable isn’t something you’ll achieve overnight, so making big investments straight away isn’t advised. Instead, focus on the small changes you can make instantly in store that aren’t going to cost huge amounts.

Are you able to recycle? Are you ordering more than you’re selling and wasting stock? Are you able to introduce bags for life? Are you constantly wasting the same product? If so, it’s time to review your range and processes to see how you can save money and

reduce your environmental impact.

Make sure to utilise supplier and symbol group support, too. “Many, including Britvic, are undergoing larger scale improvements and may have ideas on how to incorporate these into your store,” says Britvic’s Tom Fiennes.

BAT UK’s Adrian Del Popolo echoes this and recommends educating yourselves and your customers. “Education is the key to growing sales and customer loyalty. We advise our retailers to know which of

their brands are in fact becoming ever more sustainable so that they can communicate this effectively to their customers.”

Some suppliers will have recyclable PoS material that can be used in store to highlight some sustainability credentials or create of consumers are signage yourself. These making more sustainable signs could be chalkboards highlighting a suschoices tainable product, which will also help bring the display to life.

the stat

61%

JTI UK LEADING THE WAY TO NET ZERO Last year, we launched our UK Environmental Plan, outlining a series of commitments to foster a more sustainable environment for future generations.

Focusing on five key areas, we will be working closely with all our employees, suppliers, and retail and wholesale customers to make the below pledges a reality:

OUR WASTE TARGET

OUR ENERGY TARGET

We’ll divert 100% of on-site waste from landfill

We’ll be using 100% renewable energy

by 2023, as well as increasing recycling rates

within the next four years – saving

of general waste to 75% - recycling an

675 tonnes of CO2e per year.

additional 21.2 tonnes each year by 2030.

OUR EMISSION TARGET

OUR WATER TARGET

We’re committing to reducing emissions

We’re investing in water efficiency

from our own operations by 80% and

measures to reduce water usage

becoming carbon net zero by 2030.

across our UK sites.

OUR ENGAGEMENT TARGET

We’re working with employees and suppliers to achieve our targets, and as of this year all UK Procurement Tenders include sustainability criteria and we will be supporting our customers on their own sustainability journeys.

It is time for us all to think and act more sustainably. And, with every business needing to work towards the government’s target to reduce greenhouse gas emissions to net zero by 2050 or before, we’re encouraging our retailer partners to join us and start thinking about changes they can make.

For more information on JTI UK and its sustainability initiatives, visit www.ukrb-jti.com

FORECOURT FOCUS

Turn to page 30 to uncover why it’s vital this forecourt showcases value

Major companies push for electrification of UK transport DARYL WORTHINGTON SEVEN British companies, including BP and Tesco, have pledged to work with the government in a bid to help the mass adoption of electric vehicles across the country.

Working together as the Electric Vehicle Fleet Accelerator, the seven companies published a report in late July outlining a series of actions which it claimed were urgently needed if the UK’s ambitions for the electri�ication of road transport are to be met.

The companies involved include the operators of some of the largest commercial van �leets in the country, alongside businesses involved with infrastructure, EV charging, retail, insurance and repair. Alongside Tesco and BP are BT, Direct

Line Group, Royal Mail, Scottish Power, and Severn Trent.

The report argues supportive government policy could help unlock investment from the private sector of £50bn over the next �ive years. Put simply, the members have committed to converting the �leets involved to electric vehicles by 2030, and to ‘buying British’ – speci�ically 70,000 British built vans, if the government delivers on the agenda.

“This report from the EVFA highlights the points where government policy can unlock private sector investment to deliver the necessary charging infrastructure, overcome �leet demand obstacles and create vehicle manufacturing capacity,” said Bernard Looney, chief executive, BP. They argue that upgrad-

ing of the grid and expansion of national charging networks will boost con�idence in using EVs. In addition, with �leets and businesses accounting for 60% of new vehicle registrations, their electri�ication will bolster a second-hand market.

“As part of our commitment to net zero, we will fully electrify our �leet by 2028,” said Tesco CEO Ken Murphy.

“Businesses can support the UK’s transition to zero emissions transport by switching to electric company �leets and helping customers do the same.

If implemented the recommendation in this report will deliver game-changing EV infrastructure for businesses and the public. We look forward to working with the government along-

side members of the EVFA to achieve this ambition.”

Prime minister Boris Johnson said: “I wholeheartedly welcome this commitment by leading employers to fully electrify their van �leets by 2030. The announcement will be a major boost to British vehicle production. The government is committed to providing the electric charging points and other infrastructure the UK needs as we build back greener.”

Among the recommendations in the report are the expansion of the supply of UK-made electric vehicles, by creating more demand from manufacturers with �leet expansions, increasing requirements for zero emissions vehicles from manufacturers, and using a VAT exemption to incentivise the second-hand market.

InstaVolt units reduce EV Drivers go 16 extra miles Strong second quarter for used car market charging time by 50% to avoid narrow lanes INSTAVOLT is to deploy rapid chargers from BYD to the UK market.

According to the company, the new units will reduce charging time by up to 50% compared to a 50kW charger, adding more than 100 miles of range in 15 minutes.

Ten of the chargers are already live in the InstaVolt network, while the new chargers will be installed at all future InstaVolt installations, including the company’s McDonald’s and Costa Coffee sites, nationwide.

“Offering new and improved public charging technology across the UK is vital to increase the uptake of EVs,” said Adrian Keen, chief executive of�icer of InstaVolt.

“We’re incredibly pleased to be the �irst charging network to install BYD public chargers in the UK. Delivering the new and improved technology across locations such as McDonald’s and Costa will mean that any EV driver passing through these locations can speedily charge their car.”

DRIVERS are so worried about passing through narrow country lanes that, on average, they’re willing to add another 16 miles to their journey to avoid them, according to new research from car insurer Ageas and the RAC. City dwellers are particularly concerned about driving down narrow country lanes, with 76% saying they �ind the type of road stressful, and 27% saying they will always stick to wider roads instead.

“We understand that getting

to your holiday destination can be stressful at the best of times,” said Robin Challand, claims director at Ageas Insurance.

“Between packing, long car journeys and hot weather, there’s a lot to get �lustered about.”

“Our research shows the type of roads we drive on can also be a cause of stress, with crashes and scrapes high on the list of people’s concerns, so we’re urging people to stay calm and stay safe this summer.”

THE UK’s used car market grew by 108.6% in the second quarter of 2021, according to �igures from the Society of Motor Manufacturers and Traders (SMMT).

With 2,167,504 vehicles changing hands, it was not only up by 6.6% on pre-pandemic levels, but also marked the best second quarter performance to date.

The biggest growth came in April, up 307.4% compared to the same month in 2020.

Nevertheless, the year to date remains 4.9% or 200,000 ve-

Have you made any big changes in your forecourt that have grown your sales and profits?

Let us know on 020 7689 3390 or at editorial@newtrade.co.uk

hicles down on 2019. The topselling vehicle in the quarter was a Ford Fiesta (94,206).

“More motorists are turning to used cars as supply shortages continue to affect the new car market, and the increased need for personal mobility, with people remaining wary of public transport,” said SMMT chief executive Mike Hawes.

“A buoyant used car market is necessary to maintain strong residual values which, in turn, supports new car transactions.”

FORECOURT FOCUS PROFILE

30

Driving value TAMARA BIRCH ISMAIL Bhattay and his family bought Mibsons Service Station Uplands in Handsworth, Birmingham, in 2012, operating independently until 2016.

“We went through a refurb and joined Premier. We joined them because they shout good value, which reaches our demographic.”

The store operates in an area where customers live on a set budget. “We don’t class them as price-conscious because they aren’t. Our customers have a set budget because

that’s all they can afford. They don’t have the capability to spend more, and we have to cater for that,” Ismail says.

Without much competition, Ismail has built strong relationships with his clientele and makes sure the store covers every category. “Many of our customers come back daily as they live on a daily budget, rather than weekly.

“They’ll visit for the basic chilled essentials, like milk, frozen products and take-home lines, like confectionery and crisps and snacks,” he says.

Outside the store, Ismail op-

01

erates an eight-pump forecourt under Esso, as well as a jet wash, vacuum, tyre pressure, an Amazon locker, and an outdoor laundry service, helping him to attract local and passing customers.

“We joined Esso in June 2020, as it’s a premium brand that customers recognise, but there were delays due to the lockdowns. Since joining them, though, our fuel sales have steadily increased. Our laundry service is owned by an outside company, but we get a percentage of the sales, helping spend.”

02

03

Looking after your staff

The need to offer value

Striking a balance

“MY staff are my responsibility. Staff are dependent on me to run the business and keep them safe,” Ismail says.

The store employs eight members of staff and has created a year-round rota, which helps staff know when their days off are, as well as helping to run the forecourt efficiently.

What’s more, each of Ismail’s team will be the same level no matter when they enter the business. The key for Ismail is ensuring everyone is aware of their responsibilities and what’s expected of them. For example, each of Ismail’s team has different responsibilities, whether they’re on the till, stocking up shelves or cleaning the store.

“I oversee everything, but if it’s busy and I need someone extra on the till, I’ll muck in and do my bit. I’m a very handson manager and they respect that.

“My team would go to the ends of the earth for me, and I’d do the same. My staff are my business,” he says.

VALUE is vital in the success of Mibsons Service Station Uplands due to its demographic. Ismail only stocks larger formats, so customers get more for their money and can continue to live within their means.

“If a customer comes in store with £5, they know they can fill a basket with five items,” he says. “Some of our lines are even on a permanent two-for-£1 multibuy.”

Ismail focuses on £1 price-marked packs and strikes a balance between branded and own-label lines. He also uses Booker’s monthly mega deals.

“This month, we’ve got a big take-home option that retails at approximately £4.99. On its own, it would cost £9.

Customers notice the savings, buy it and return the next day.

“Some deals have a four-weekly cycle and we’ll continually change it around to keep customers interested,” he says.

WHILE it’s important for Ismail to stock a well-rounded range for local customers, he says he’s a forecourt first and foremost. “I still stock a full car care range because you never know when someone might need it. If someone comes and purchases a litre of oil, the margin we achieve pays an hour’s wage for the staff. It’s more than just a line. It’s fundamental to our business,” he says.

By continuing to stock car-specific lines, Ismail is able to reach a wider customer base and increases the chances of a repeat purchase. “We already have that customer who’s driven to the store and filled up, but why take away an important line they might one day need?”

The next steps for the forecourt and Ismail is to monitor new and upcoming trends and react accordingly. “If and when we see a shift, we’ll then think about how we can develop our business in line with the shift,” he says.

FORECOURT FOCUS FEATURE

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FINDING YOUR CORE A forecourt’s core range is designed to entice customers to stay in store for longer, whether it’s through a strong fresh & chilled range, being a destination. TAMARA BIRCH finds out more

WHY SHOULD FORECOURTS HAVE A CORE RANGE? A CORE range is different for every store, but it differs massively between a forecourt and a convenience store. While a convenience store tends to cater for their local shoppers, forecourts must contend with transient customers as well.

But why is a core range so important? A strong core range not only helps sales but instills trust within your customers that they get what

they need time and again.

This could be on-the-go lines, food to go or larger formats for those buying a top-up shop.

What’s more, a core range allows those living on a budget to plan ahead and stick to that, especially as shoppers become more price conscious.

The key is understanding your customers and knowing which products the majority continue to buy regularly. It’s

also recommended to review your core range throughout the year to capitalise on seasonal opportunities.

For example, Adrian Hipkiss, marketing director at Rio Drinks, says: “Summer is the optimum selling period for the soft drinks category as a whole and with questions still over concerns about international travel, we anticipate consumers will be exploring vicariously

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by experimenting with new flavours.”

Keep on top of what your customers are buying by consistently reviewing and understanding your sales data.

A core offering doesn’t necessarily just mean stocking the right products, but having processes and technology that are fundamental to running a successful forecourt, like a strong EPoS system.

WHAT SHOULD A FORECOURT’S CORE RANGE ENTAIL? BEFORE deciding which products to stock, knowing what a forecourt’s core range should include is important. The key to finding the right core range is through trial and error, so expect some waste, especially if you’re trying to grow fresh and chilled.

Value is also something to bear in mind when reviewing your core range. A spokesperson for Saputo Dairy UK says value for money will continue

to rise in importance. “We anticipate a resurgence of the lunchbox as shoppers look to save money.

“The sandwich remains king, with cheese one of the nation’s favourite fillings, so expect convenience cheese formats, such as sliced and grated, to benefit. Resumed freedoms are driving a resurgence of grab-and-go snacking, with cheese snacks a nutritious alternative to tra-

ditional savoury snacks,” the spokesperson says.

In addition to the on-thego missions, make sure to include the essentials, like bread and milk. Also, talk to your customers about the products they buy week in week out. This will help you to understand which lines should be part of your core range.

The biggest challenge for David Wyatt, of Crawley Down

in Crawley, West Sussex, is keeping up with an ever-changing core range.

“Because of the news nationally, we’re having trouble maintaining availability. It’s ever changing.

“Frozen food isn’t sold nearby, so it’s now part of our core range, but we’ve struggled to get stock from anywhere,” he says.

Matt Collins, Trading director, KP Snacks “THE most important factors influencing shoppers to purchase crisps and snacks are price at 85%, brand at 77% and pack size at 72%. What’s more, crisps, snacks and nuts sales in multiple forecourts are growing faster than the total market at 6% year on year. Forecourt retailers should ensure they are aware of long-term and new shopper trends in order to drive sales and encourage customers to browse for longer and add more items in their basket. For example, sharing is growing in importance within forecourts, with a 24% share of trade and growing at 14% year on year.

“Stock a core range that covers the top-selling lines, which will deliver category growth – 60% of sales go through the top 50 bestsellers. Also, 38% of shoppers buy something from a secondary siting, so make use of PoS to increase spend.”

FORECOURT FOCUS FEATURE

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CAPITALISING ON SOFT DRINKS AND FOOD TO GO A TRANSIENT customer base means forecourts need to offer a strong range of food to go in their core range to drive repeat custom, should they pass through again. Food to go took a hit for many forecourt retailers when the pandemic hit, but now that restrictions have ended, it’s expected to make a return.

“Food to go remains a long-term, resilient growth trend,” says Matt Colllins, trading director at KP Snacks. “The category is insulated for recovery, and we expect the market to rebound to growth as restrictions continue to cease and footfall and frequency return.”

Many forecourts will have a coffee to go machine, including Costa, or a bakery to

go option. For example, Nick Blight, of Blights Motors in Bideford, Devon, offers hot food, including Rollover Hot Dogs, pasties, sausage rolls, bacon rolls, and a bacon and cheese turnover. “We recently expanded it to include a bigger stand, slush puppy and Dunkin’ Donuts.”

Make sure to offer a balance of goods and merchandise close by to increase spend.

For example, make sure a chocolate bar, bag of crisps or breakfast bar is merchandised near a coffee machine.

Inside your fresh range, make sure to include a sandwich, snack and soft drink option as part of your core range.

Moreover, ensure your range caters to the latest trends, like health. A spokesperson for Red Bull

says: “Sugar-free varieties are growing penetration by 42.7%, displaying growing demand for low-calorie options. As well as the trend for zero varieties, flavoured options are also becoming increasingly in demand.”

Health has been growing for the past few years, so make sure there’s a low-calorie option in your core range.

What’s more, it’s recommended to stock a sugar-free option merchandised next to its full-sugar counterpart to offer customers a choice.

Wyatt says: “Soft drinks is a key part of many forecourts’ core range, but the effect of the pandemic and Brexit is making it difficult for us and it’s vital we react quickly and address any problems before they happen.”

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MERCHANDISING EFFECTIVELY KNOWING what to stock in your core range is only half the battle. Merchandising your range effectively is key to achieving higher sales.

Rio Drinks’ Adrian Hipkiss says it’s key that forecourt retailers draw attention to promotions. “Use eye-catching PoS to highlight attractive price points, deals and crosspromotions. This will encourage impulse purchases, which in turn will have an increase on basket spend in-store,” he says.

KP Snacks’ Matt Collins, echoes this and says: “Make

use of impactful branded displays and PoS, such as stackers and dump bins to drive spend.”

Collins also recommends ensuring your fixture is easy to shop by blocking similar type products together.

“Forty-five per cent of purchases are made in under 60 seconds, while 79% of shoppers like commonly purchased products merchandised next to each other, so in order to maximise spend, place crisps, snacks and nuts next to categories that shoppers buy together most frequently, like

soft drinks,” he says.

Watch what your customers buy, or walk your store and think to yourself: can I buy everything I need within five to 10 minutes? If you can’t, it’s likely you might need to rethink your displays to increase spend. Within your core range, are you stocking at least one different flavour in each of your main categories?

Do you have options to create a full meal solution, whether it’s breakfast, lunch, or dinner? If you don’t, consider reviewing your ranges to introduce more of a variety.

MORE THAN FOOD AND DRINK IT’s clear that with so much competition in the retail trade, retailers need to offer something more than food and drink to drive footfall. Having a reverse vending machine in store can help to do this, encouraging customers to shop around, picking items up for a top-up shop.

Travis Way, group director at Reconomy, says the company has a range of reverse vending machines designed to help retailers offer a way to increase footfall. “The Reconomy Group

provide sustainability solutions for forecourts that are compact and efficient, providing the additional incentive and draw for their customers to visit via the monetary or non-monetary reward returned when containers are deposited.”

The future of the deposit return scheme is still uncertain, but the key is ensuring your customers understand it. While it might not seem an obvious choice to have as a core option in your forecourt, it’s one that will ensure you remain ahead

of the curve, do your bit for the environment, and increase loyalty among your customers.

From a technology standpoint, having the right EPoS system is imperative. A good EPoS system can help you to understand your best and worst selling lines, whether you’re over-ordering or underordering a line, and how each category is performing. This will ensure you’re able to offer the right options for your customers, driving sales, spend and repeat visits.

top tips Four top tips to drive sales

Talk to your customers Utilise your EPoS data Find a point of difference, like a reverse vending machine Understand it’s about trial and error

David Wyatt, Crawley Down, Crawley, West Sussex “COVID-19 has had a major bearing on core range and what it means. Back in the day, it was all conveniencebased, like food to go, off licence, cigarettes and impulse lines. A lot of our impulse customers weren’t travelling during the pandemic, so we had to switch out our business in the first year when shoppers were furloughed. We’re now in this transition where some are still furloughed, others are going on staycations, while others are returning to work. It makes predicting what our core range should be a lot more difficult. For me, it’s about trial and error. The biggest thing is getting stock.

When the restrictions dropped, I looked ahead by a month or two. Now retailers are struggling to get stock, I’ve already planned ahead so I can continue to maintain availability and be there for my customers.”

FORECOURT FOCUS FEATURE

In partnership with

Deposit return scheme ECOVEND supplies convenience stores and forecourts with reverse vending machines. RETAIL EXPRESS finds out more

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WHAT IS THE DEPOSIT RETURN SCHEME? THE introduction of deposit return schemes (DRS) means retailers will soon have to cater for shoppers who want to return used plastic or glass bottles and drinks cans, as well as buy them. Convenience stores and forecourts are likely to be an attractive option for people who want to recycle on the go or don’t want to visit larger stores just to recycle. As a result, having a compliant DRS return system in store will be another important factor in helping forecourts to attract and retain customers.

WHY SHOULD RETAILERS WORK WITH ECOVEND? WHILE there may be concern that major supermarket chains will monopolise the supply of large reverse vending machines, there are practical options for smaller convenience stores, such as Reconomy’s EcoVend technology. The EcoVend machines accept used (empty) beverage containers in return for a monetary or nonmonetary reward, such as vouchers, discounts or even charitable donations. It also has an automated function that collects, sorts, compacts and stores bottles and cans ready for reprocessing.

WHAT PRODUCTS DO YOU OFFER? IF space is limited, the RVM200 measures in at just 1850 (H) x 850 (W) x 850mm (D), with a 24” digital screen that can compact and segregate circa 250 plastic bottles and 350 aluminium cans. This model includes a unique barcode, shape, material and weight sensors.

Our RVM400 footprint of 1900 (H) x 1270 (W) x 1020mm (D) includes a large 55” for video content and 2 backlit side boxes. The machines can compact and segregate circa 500 plastic bottles and 750 aluminium cans. Includes unique/ barcode, shape, material and weight sensors.

The RVM2000 has a footprint of 1900 (H) x 1500 (W) x 1020mm (D) large 65” for AV content plus 2 backlit side boxes. The machines can compact and segregate circa 400 plastic bottles, 600 aluminium cans and 300 glass bottles.

It Includes unique/barcode, shape, material and weight sensors.

WHY INVEST? REVERSE vending machines are a quick and easy way for consumers to recycle their empty beverage containers, giving customers an option to recycle at their local convenience store or forecourt. Not only are customers instantly rewarded, but they can also benefit from the satisfaction of knowing their bottle will be recycled. With less plastic finding its way onto our streets and oceans, our wildlife, habitats and humans will all benefit from a cleaner environment.

For more information, retailers can visit eco-vend.co.uk or by emailing info@eco-vend.co.uk or call 01992 765206

CATEGORY ADVICE BEER & CIDER

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BOOSTING BEER AND CIDER SALES Beer and cider have enjoyed growth during the pandemic, but as we emerge from it, CHARLES WHITTING finds out how retailers can keep sales strong

A GROWING CATEGORY BEER and cider are a wideranging and popular pair of categories that have plenty of brands and new products.

There are usually local connections that stores can use to their advantage, while the bigger brands have significant customer loyalty.

Beer sales have grown in recent years, with Covid-19 seeing customers recreate pub experiences in the living room. But even now, sales remain high.

“2020 saw a significant 29% year on year (YOY) growth for the beer category in the off-trade, as many drinking occasions moved into households during periods of lockdown,” says Jessica Markowski, convenience sales director at Budweiser Brewing Group UK&I. “Twenty-five per cent of Brits shopped more frequently at their nearest local store because of the pandemic, contributing to a 1.7%

growth in volume share of beer for convenience across the total market during the last year. This year, beer value sales have so far risen by 8.3% YOY across the total offtrade compared with the same period in 2020. We’re forecasting that 2021 will be another huge year for beer.”

For Sharon Rimmer, from Bilsborrow Post Office and Village Store in Preston, Lancashire, beer sales have remained

constant, with peaks in the summer, but also when college students return at term time.

It’s a category that almost looks after itself. “We run Costcutter promotions, which we have to do, but otherwise we don’t do anything to promote our beers and ciders,” she says.

There are upselling opportunities as well, so having clearly marked trade-up options situated prominently is a great way to increase sales.

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

Meals & Missions: The opportunity for increased sales and profits

The Retail Success A MUST-READ FOR PROFIT-DRIVEN INDEPENDENT RETAILERS

August 2021

Handbook

MEALS & MISSIONS HOW TO MAKE YOUR STORE A FOOD AND DRINK DESTINATION

On sale 24 August

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New products are key to keeping your shop relevant, and rather than the more traditional categories such as confectionery and soft drinks, research* shows that the top two categories where convenience shoppers are looking for new products are fresh & chilled and food to go. The Retail Success Handbook: Meals & Missions will help you get these categories right, so your store profits.

The issue will contain expert advice, cutting-edge market insight, and tips from retailers who have made them a success on the following areas: • Core meals – breakfast, lunch and evening meals • Big night in • Impulse snacking • Occasions • Home delivery

Order your copy from your magazine wholesaler today or contact us on 020 7689 3363

*The Perfect Launch, Newtrade Insight retailer research, April 2021

This edition of The Retail Success Handbook will help make your shop more attractive for customers shopping for full meal solutions and other lucrative occasions, from the big night in to special celebrations.

CATEGORY ADVICE BEER & CIDER

36

LOCAL OPPORTUNITIES WHEN it comes to creating a range of beers and ciders that will appeal to your customers, it is important to look at the local area. Geography and customer demographics can provide insights into what customers will like, but there are also likely to be local brewers and cider makers who can give your range

an individual and pleasing look. Jenny Owen, from Trunch Corner Store in North Walsham, Norfolk, sells more lagers when the tourists are in town, but her local clientele prefer local ales and ciders.

“We sell local Humpty Dumpty ale, which is near Yarmouth, and St Peter’s beers, which is

near Bury St Edmunds,” says Owen. “We sell a lot of ale. My husband is an ale man, so he has that knowledge. We approached them at craft beer fairs. These two craft brewers are in regular contact, which is good. There are some craft breweries that aren’t as good on communications and deliveries.”

the stat

26%

top tips

of 18-35-year-olds are cutting down on alcohol consumption

Merchandising advice from Heineken With 39% of shoppers more inclined to trade up to more premium food and drink options when dining at home, implementing cross-category merchandising for beers and ciders that are ‘great with food’ will see an uplift in sales as consumers make the natural link between the two categories.

Ensure that premium options are displayed in prominent positions, either at the end of aisles or as part of larger displays, to remind customers to stock up for the key consumer events and sporting occasions.

Retailers should ensure that they are allocating enough space to the most popular lines to avoid having to continually re-merchandise when managing consumers’ demands. In particular, retailers should ensure their chilled offering is always stocked to cater for those looking to spend time outdoors or at BBQs. For no- and low-alcohol, retailers should stock a strong range that includes shopper favourites, such as Heineken 0.0. This will help ensure they aren’t missing out on one of the fastest growing segments in the market.

TRENDS IN FLAVOUR AND REDUCED ALCOHOL WITH over a quarter of adults aged 18-35 actively cutting down on alcohol consumption and over half of them consuming more low- and no-alcohol products, it is little surprise that suppliers are introducing no- and low-alcohol versions of some of their most popular lines.

Another area where innovation and experimentation are enjoying growth is in flavours.

With beers, this is more commonly found in the craft scene, but there are also mainstream brands that are getting into flavours and, with staff recom-

mendations and correct promotion, retailers can generate significant sales and customer goodwill.

“I’ve got Desperado, which is a brilliant seller,” says Sasi Patel, who runs four stores in Manchester. “As soon as someone picks up a Desperado, we put them on to Desperado Red. If someone is a big Desperado fan, we offer them all the other Desperado products new to the UK, like Whisky and Red. Unless you mention it, the customer might not make the switch. The flavoured Desperados are making a 40%

margin compared to 18% on the others.”

Of course, flavoured ciders have been enjoyed mainstream popularity for some time, with the appetite for new flavours showing little sign of abating.

“Innovation is driving growth in the fruit cider category, and we expect this to continue over the next year,” says Nicola Randall, senior marketing manager at Brothers Drinks Co. “Recent research suggests that there is a desire to explore and discover new flavours, with 42% of ci-

der drinkers expressing an interest in more unique flavours, rising to 49% among women and 48% among 25-54s.”

PAID FEATURE EURO 2020 COMPETITION

CAPITALISING ON SPORTS EVENTS Earlier this year, Retail Express publisher, Newtrade Media, partnered with HEINEKEN UK to host a competition to offer the chance to attend the Euros 2020 semi final, and increase beers sales

THE RESULTS THE excitement of the UEFA Euro 2020 tournament last month gripped countries worldwide and despite England narrowly missing out on their biggest win since the World Cup in 1966, the squad did the UK proud. With a total of 12 games in the UK welcoming fans back to stadiums, including the big UEFA Euro 2020 tournament final, it will long live in the memory of the nation.

Newtrade Media, publisher of Retail Express, in partnership with Heineken UK, official UEFA Euro 2020 sponsor, worked together to host a fantastic competition for retailers.

The competition not only helped them increase their beer sales during the tournament but also offered three lucky retailers a chance to win two tickets to the UEFA Euro 2020 semifinal on 6 July, which turned out to be one of the most exhilarating matches of the tournament and saw Italy go into the final against England after beating Spain 4-2 on penalties.

To be in with a chance of winning this fantastic prize, retailers were encouraged to send in pictures of their most creative UEFA Euro 2020 displays, incorporating Heineken products.

With more than 50 retailers entering, it was a difficult decision for our judges however, after much deliberation the three semi-final ticket winners were announced as: Khalid Iqbal, of Day-Today in Coatbridge, North Lanarkshire, Aman Uppal, of One Stop Mount Nod in Coventry and Hitesh Modi, of Londis BWS in High Wycombe.

Three additional winners, Subothini Shivendrakumar, of Londis Lewisham in South London, Mohammed Rajak, of Buywell Day-Today in Glasgow and Daljit Sunner, of Nisa Michaels in Derby, all won a Smart HD TV. Matt Saltzstein, brand unit

director at Heineken UK, says: “Heineken is synonymous with sporting occasions, so we wanted to do something extra special to celebrate the sponsorship of the UEFA Euro 2020 tournament.

“Having been postponed from 2020, the anticipation was greater than ever and so we really wanted to dial up the excitement for retailers. Through encouraging them to take part and create their displays, we hoped that their sales would improve, and that they’d also be able to further engage in the tournament in a way that’s fun and beneficial.”

Smart HD TV winners Subothini Shivendrakumar, Londis Lewisham, South London Mohammed Rajak, Buywell Day-Today, Glasgow Daljit Sunner, Nisa Michaels, Derby

37

In partnership with

THE

WINNERS Aman Uppal, One Stop Mount Nod, Coventry “THE displays and our participation in this competition stemmed from a ted talk with the NFRN and a different supplier. From there, I wanted to make sure we were shouting about the offers I had and the partners supporting Euro 2020.

“We dedicated different games to different suppliers, which helped our relationship with them. Prior to this competition and one I had won from our symbol group; I had no working relationship with Heineken UK. This has since changed. On the back of this competition and the one from our symbol group, I’ve since forged a strong relationship with them.

“We also had a Heineken chair in store and we had to keep this in store for a few weeks after because customers wanted their pictures taken on it. Overall, it’s been an outstanding success in terms of the shop recognition, with the display – and others – appearing in trade press and retailers across the country asking about it.”

Hitesh Modi, Londis BWS, High Wycombe “WE worked with Heineken UK and our rep to build an impactful display. The display was built in the middle of our alcohol area as we keep this separate to the rest of the store.

“Customers immediately responded to the display, which helped our engagement and drive sales. We received samples from our rep to help capture our customers’ attention, as well as free glasses, which only added to the theatre we created in-store.

Some customers even bought a whole stake of Heineken products. ”

Khalid Iqbal, Day-Today, Coatbridge, North Lanarkshire

Heineken was the fastest growing major mainstream premium lager during the Euro’s.1

Nielsen Scantrack 4w/e 24/07/21 vs. previous year

1

24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

Heineken 0.0 is the number one alcohol-free beer1

Heineken UK has removed 100 tonnes of plastic to date with the new ‘green grip’ can topper.

“OUR 10 and 12-pack multipack sales increased by up to 500% during the Euros, and the display played a huge part in this. Before the Euros, I would buy five cases a week, but during, this increased to 30 cases of both packs.

“I was surprised by this outcome, but it’s a good thing. We always make a full display during big events, like sports, because customers really get involved and like to see their local store do the same. Customers noticed the display and were surprised to see such a display in their local store, but we’re lucky to have the additional space to do this regularly.”

CATEGORY ADVICE YOUNG ADULTS/FRESHERS

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24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

FRESH HORIZONS Young adults and university students offer retailers a chance to refine their stores’ entire offer, as JASPER HART explains

RETAILER

A BROAD RANGE OF OPPORTUNITIES BEYOND the stereotypical view of young adults and university students as hard partyers and lazy cookers, they represent an opportunity for retailers to freshen up all aspects of their stores. Young adults are often experiencing independence and extended time away from their family homes for the first time, so they will be looking for the best deals across food and drink to make their student loans go as far as possible. According to student finance experts Save the Student, groceries are the highest proportion of students’ monthly expenses, second

only to rent, averaging around £100 per month.

“Whether they’re starting out as a fresher, or returning for their final year, students will be seeking to stock up their kitchen when they arrive at university or college, and convenience stores need to be ready,” says Allison Wallentin, convenience category manager at Saputo Dairy UK. “Ensuring that shelves are well stocked with a strong range of everyday grocery staples such as milk, bread, cheese and butter, as well as easy-to-cook student favourites, is paramount.”

Additionally, as a generation growing up in the shadow of climate change, younger generations are mindful of sustainability, and of companies that make certain commitments around packaging and supply chain, so make sure your suppliers are transparent about how they are cutting down on consumption.

Furthermore, young adults are a chance for retailers to really brush up on their social media marketing game, broadcasting all their special offers and integrating it with any delivery services they offer.

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Jay Patel, Jay’s Budgens, Brockley, London

“WE serve a lot of young people, with a lot of universities and colleges in this area and schools where young people work, as well as good transport links to universities and jobs in the city. They want snacks and food to go, as well as travel card and Oyster top-ups.

We also sell a lot of craft beer and mixed RTD cans. We also offer a UPS parcel service, and do crazy business with our deliveries – there are so many factors that are beneficial with young people.

“We always deliver leaflets to the to-let properties, and when the students move out after a year or two they always leave them so the next person comes in and sees them. We also use the universities’ noticeboards on campus and at the students’ union, and we help them as well by sponsoring their events with food. We also offer refills of washing up liquids.”

CATEGORY ADVICE YOUNG ADULTS/FRESHERS

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FRESHERS REFRESHED AS the upcoming academic year looks as though it will be free of restrictions, retailers will have considerations to make around how to appeal to keen-to-party students.

With pubs and clubs now a viable option for young people, the pre-drinking occasion will be heading back towards pre-Covid-19 popularity, with big nights in likely to suffer as a result. This means fewer mission-based snack sales, and more smaller formats of alcohol coming off shelves.

“Single-serve and can formats continue to grow in popularity, because of ease and price point,” says Tom Smith, head of marketing at Accolade Wines. “These formats have been particularly successful

in the convenience channel, also indicating that health, moderation, and sustainability (with reduced chance of waste from small formats) remain a priority for consumers. Students are often buying drinks on their way out, so mini bottles, bottles and cans in the chiller are important.”

A lot of students will also be buying alcohol regularly for the first time, leaving a lot of room for experimentation initially, but also a swift attraction to category favourites. Retailers should therefore ensure that their alcohol sections are cleanly blocked by category and price, so that younger shoppers can find what best suits their palate with maximum ease.

But it’s not just alcohol sales that are set to change: the university nightlife experience should be back to normal, but so should the academic and social side of university, with in-person classes and clubs fuelling impulse food and drink purchases. “We anticipate the demand for on-the-go formats to increase as students return to normality with classes and social activities resuming,” says Adrian Hipkiss, marketing and international business director at Boost Drinks. “Impulse formats are popular with students as they make the perfect accompaniment for a study session in the library, or to their sports matches.”

ALCOHOL TRENDS THE rise of low- and no-alcohol options has been well documented in recent years, and health-conscious young people are definitely fuelling their growth. Non-alcoholic preferences have risen to the point where retailers should have at least one option as part of their core range.

However, alcohol is far from on the wane among younger people. “2020 saw alcohol over-performing in the convenience sector, with 70.1% growth driven by an increase in shoppers and in-home occasions,” says Accolade Wines’ Smith.

“We have seen people pick up wines more often, including students, and the convenience channel has been vital

in increasing these impulse sales.”

Jack Matthews, at Bradley’s Supermarkets in Quorn, Leicestershire, finds that young people are driving growth across different sections of the alcohol category: “We see a lot of ready-todrink (RTD) spirit sales growing massively, and after that craft beers and no- and low are also growing, and the younger shoppers are fuelling it.” RTD cans cater to the shopper that doesn’t want to necessarily change their drinking habits, but is more

calorie-conscious, and the major new launches (including seltzers such as Three Fold and Bud Light Seltzer) all tout low calorie counts.

Ultimately, retailers should find the balance between what has worked for them in recent years, and the new trends and developments in flavours and pack sizes, especially with consideration of the uniqueness of last year.

Young people may be initially eager to experiment, but will settle into regular purchases once they know what they like.

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Liliana Jauregui, Brand manager, Good Earth

VALUE AND MISSIONS MANY young adults are only a few years into financial independence, and with generally lower wages (and in students’ case, loans), they will always be seeking out perceived value. “As students learn to manage their independence, with that comes an increased awareness around budgets, which is why price-marked packs (PMPs) are a must-have to entice students and encourage impulse purchases,” says Hipkiss.

“PMPs account for over 60% of total soft drink sales in independent and symbol

convenience stores, and since the start of the pandemic, 43% of retailers have stated that they will now offer more PMPs in their stores. We offer PMPs across our entire portfolio, as they communicate great value to the consumer while also offering excellent cash margins for the retailers.”

Clear pricing is important for young people, who are out and about and perhaps not comfortable with doing a weekly shop that sorts them out in advance. “Between social commitments, lectures, and getting to know a new

area for most, being able to grab and go is one of the key purchase drivers,” says Paul Baker, founder of St. Pierre Groupe. “Retailers can entice students in with merchandising that delivers complete meal solutions, too. Many students use ‘top-up’ shopping a few times a week, typically

because it’s easier to carry without a car or on public transport. Merchandising meal solutions in this way is helpful for customers in a hurry.” A meal deal offer is very important for students, so making sure you have a visible chiller with ample soft drinks, sandwiches and crisps can go a long way, and drive repeat, if not daily, purchases.

“IT’S been well documented that Gen Z are drinking less alcohol than previous generations. Recent research shows that 36% of 18-24 year olds are drinking less alcohol than they did before Covid-19, and 98% of these plan to continue to moderate their drinking. The same study suggests, however, that no and low drinks options are under-represented in convenience, with 18-24s less satisfied with the no and low options available in convenience stores compared to supermarkets or out of home locations.

“When curating a new soft drinks offering in time for the new university year, awareness of the attitudes and behaviours of this target group will help. Lower sugar and calories fit well with this group’s needs, as well as offerings in the functional wellness space, such as energy and beverages linked to gut health. Increased popularity of plant-based diets is enhancing appeal of drinks with natural ingredients, which can create opportunities for food pairings in store too. Social and ethical credentials are another important consideration.

Gen Z and millennials are more socially conscious than previous generations and are happy to spend a little more on products that align well with their own values.”

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24 AUGUST-6 SEPTEMBER 2021 betterRetailing.com

DELIVERY DRIVER CRISIS The shortage of delivery drivers has been a growing issue that is now reaching fever pitch. The RETAIL EXPRESS team talks to retailers about how they are meeting their challenges

All retailers are thinking about deliveries because this is a problem that is ongoing.”

– Devlatta Patel, Goodnews Newsagent, Eastbourne, East Sussex

1

Bay Bashir Go Local, Middlesbrough

“I GET a delivery twice a week from Parfetts and there are things that aren’t there. But we’re quite lucky because we’re so close to the depot and we’ve got such a good relationship with them.

There’s always something you can replace things with and you’ve got to be able to adapt. Covid-19 has just happened and this is just another thing.

“You can moan about it, but my answer is always to �ind a way – take the good with the bad, take things into consideration and make it work for you. If we don’t receive something, I’ll go to the depot myself to get it, and if they don’t have it then we have to manage.

“The amount of products I get from Parfetts is good – they don’t show anyone special treatment, which I like. I could push them but they treat me like someone spends a tenth of what I spend and I like that. Everyone is in the same boat.”

2

Julian Taylor-Green Spar Western Downs, Staffordshire

THE customers biggest challenge we’ve got is staff talking to customers – pacifying them about where we are and where we’re likely to be. They’re offering alternatives, while we’re having to make decisions on the hoof. It’s extremely challenging. I think customers anticipated that after convenience stores helped them through the pandemic that they would always be able to maintain high availability, which we are struggling with due to driver shortages.

“We’ve moved staff around to adapt to routes being delivered late and we’re having to �ind alternative sources, which isn’t easy because everyone is doing the same. It’s not the norm for me, but I’ve built up a list for the cash and carry, and I’ll be out tomorrow. We’re trying to focus on meeting customer demands, while getting them to understand what’s going on and that the nicer things in life have be put on the back burner.”

3

Uthay Soundararajan Costcutter Inverleith Row, Edinburgh

“IT’S a big hassle now. There are so many issues. There was a routine before where we were stocked, but the stock isn’t coming in from the online wholesalers now. It’s almost not worth asking them now. It’s worth asking anyone else instead. Deliveries are not coming and they’re not at the cash and carry. So then I have to go to other cash and carries to get what I need over the course of the same day. I’m used to going to one place once a week, but now it’s become three or four rounds to three or four cash and carries. I have to spend more time and more money to get the stock in.

“Some weeks certain things won’t be available and I’ll have to go to the cash and carries to �ind them. Then suddenly, everything is available again the following week. It’s a short-term issue but it’s affected us a great deal. The supermarkets are doing well because they get �irst priority.”

In the next issue, the Retail Express team looks at how retailers are preparing for Halloween and Bonfire Night. If you have any problems you’d like us to explore, email charles.whitting@newtrade.co.uk.