Retail Express - 9 March 2021

HOME DELIVERY

Retailers embracing a trend that will outlast Covid-19 BACK PAGE 9-22 MARCH 2021 betterRetailing.com

ADVICE

40 Some photos on

this page were taken

prior to the Covid-19

pandemic

‘THE DEMAND IS STILL THERE’ how retailers SS TEAM looks at THE RETAIL EXPRE deliveries and whether it have managed home offer that outlives Covid-19 rm could be a long-te

9-22 MARCH 2021 STRICTLY FOR TRADE USERS ONLY THE PROBLEM over the With people self-isolating of the coronapast 12 months because has grown for home deliveries virus, the demand we start to it be sustained as enormously. But can emerge from lockdown?

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Andrew Johnson, Dafarn Newydd Store, Powys

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went into shieldstarted, half our village phoned us, “WHEN the pandemic a system where people three it. We’ve still got ing mode. We introduced and we delivered we’ve put their order in Two of them are elderly ladies and over Just phone us, pay go houses that do that. to about driving to us. said: ‘Don’t worry bring it over to you.’ If anyone has delivery. the phone and we’ll get happy to offer home into isolation, we’re there. For example, if anybody can’t few more who a be “The demand is still might reason, and there a tourist destination out for whatever to normal. We’re coming back, our want it once we return the tourists start for once so shop coming into the for the Midlands, up be a bit wary about locals are going to our Facebook page that you can phonecolon and come and you a while. We’ve put or deliver it to you stay for the long term.” and order, and we’ll that will probably lect. It’s something

Nico Ali, Edinburgh Road Premier, Jarrow, South Tyneside

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with older and vulnerable delivery service who wants a de“WE’VE set up a followed by anyone and people taking priority, Thursday we deliver free bread , every all through the panlivery. Additionally I’ve been doing that milk to the vulnerable.2020 when it kicked off. a little on the bread demic from 17 March �inishes, I’ll cut downwill be there perma“When Covid-19 the delivery option area. and milk count, but been easy, because it’s local in the case have people’s doors in nently. Deliveries l lea�lets through been We’ve sent promotiona We’ve been here for 30 years. It’s up.

Facebook. add on all aren’t this they but little things like and going round an emotional journey, picking up stock for “I’ve driven to Scotlandand hospitals. I’m doing an event to get banks people are going delivering to food and the vulnerable Easter in the area delivered.”

Easter eggs

Nadeem Abassi, Londis Betws-y-Coed

last year for vulnerhome delivery since taken “WE’VE been doing make it into the shop. We had just can’t running a year before able people who 2019. It hadn’t been started doing home we on a store in July got stopped and Covid hit. The refurb in the local newspaper, and Gwynedd things with vulnerable peodelivery. We put Council were liaising Council and Conwy charities then came in to help, telephonThe ple and retailers. it as well. website to make ing on their behalf to have a dedicated keeping home de“This year we want absolutely to order. We’re I and two easier for people we have to do it. us. to stay relevant, livery. If we want in the evening between and do the deliveries to delivery members of staff two vans dedicated takeaway food.

“We intend to have delivering restaurant as well then we’ll have a That’s the plan.”

a helpline and the IAA to provide ronavirus .com Support Hub the betterRetailing betterRetailing.com/co We’ve teamed up with wtrade.co.uk or visit Facing a challenge?

0500, email iaa@ne need. Call 020 7689 for the answers you

MYHERMES PARCEL RIP-OFF • Parcel-processing blunders leave stores out of pocket and retailers manually tracking volumes • Firm admits ‘data issue’ led to months of underpayments, but promises refunds by 19 March P3

BUDGET 2021

ACS RURAL SHOP REPORT

SWEET TREATS

How newly announced government plans will impact convenience stores across England

Local shops praised for being a ‘lifeline’ for communities during the pandemic

How indies can capitalise on changing customer preferences in sugar confectionery

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P4

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our say

Megan Humphrey, editor

Stock your shelves the right way FOR the first time in a long time, I’m feeling optimistic about the country’s route of out of the pandemic.

Boris Johnson addressed the nation last week, revealing his four-stage lockdown exit strategy. We’ve never heard him discuss the potential end of the pandemic, and I think a lot of us have clung on to the prospect of normal life from 21 June.

Although this is a long way off and there’s no room for complacency, there will be ample opportunities to drive footfall back to your store in the meantime.

On 29 March, the ‘rule of six’ will return for outdoor socialising. I’d urge retailers to prepare their stores for an influx of customers wanting more on-the-go products as they plan to spend weekends in the park once again. I know I will.

Katy Moses, managing director of convenience research firm KAM Media, advised retailers to act fast. “They will need to offer varying pack sizes,” she said. “Customers won’t want a pack of six beers if they can only meet one friend.”

THERE WILL Independents are much better BE AMPLE placed to adapt to changing restrictions than supermarkets. So, OPPORTUNITIES start speaking to customers and TO DRIVE ask them what they’d like to see in store, and make it happen.

FOOTFALL Use the next three weeks to stock your shelves with exactly what your customers want, and I’m confident your store will continue to be their destination as we come out of lockdown.

This is a time to impress and retain all those new customers you’ve earned since last year.

The five biggest stories this fortnight 01

Budget 2021: business rates holiday extended to June

ALEX YAU CONVENIENCE stores will see business rates discounts and alcohol duty freezes, alongside an increase to the National Living Wage (NLW) as part of the Budget announcement made on 3 March.

Last week, chancellor Rishi Sunak outlined the government’s strategy to

help the economy recover from the coronavirus pandemic.

He announced the business rates holiday would be extended until 30 June, before dropping to 33% of the usual rate for the end of the tax year.

NLW for employees aged 23 and over will rise from £8.72 to £8.91 in April, worth an extra £350 more per year

to a full-time employee before tax. The rates of income tax and national insurance will also be frozen from April next year until 2026.

This means the basic tax allowance will rise to £12,570 in 2022, but will then be frozen for four years.

The higher rate threshold will also rise to £50,270.

Alcohol and fuel duty are to be frozen for the second

year in a row. However, Sunak made no announcement about tobacco duty.

Retailers closed temporarily could also be eligible for an income support grant of up to £7,500 if they can prove the pandemic had a severe impact on their profits between the November and January trading periods, and they �iled a 2019-2020 tax return.

SEE MORE ON THIS PAGE FOR HOW THE GOVERNMENT’S 2021 BUDGET WILL IMPACT YOU @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 in chief (maternity cover) Tan Parsons 020 7689 3353 Digital content editor Jody Porter 020 7689 3378 Production editor Ryan Cooper 020 7689 3354 Sub editor Jim Findlay 020 7689 3373 Head of design Anne-Claire Pickard 020 7689 3391 Designer Jody Cooke 020 7689 3380

Editor – news Jack Courtez @JackCourtez 020 7689 3371 Senior features writer Priyanka Jethwa @PriyankaJethwa_ 020 7689 3355

Editor – insight Chris Dillon @ChrisDillonNT 020 7689 3379 Senior news reporter Alex Yau @AlexYau_ 020 7689 3358

News reporter Kate Plummer @NewtradeKate 020 7689 3395

Features writer Jasper Hart 020 7689 3384 @JasperAHHart

Production coordinator Nadeem Masood 020 7689 3368

Account manager (new business) Jimli Barua 020 7689 3364

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 Account manager Adelice Tatham 020 7689 3366

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.

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

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Online cashback

INDEPENDENT retailers are taking part in trials of a new online cashback service.

Developed by �inancial �irm Sonect, the ‘Cash in Shop’ app launches next month as part of the government’s Community Access to Cash pilot.

The objective is to improve

cash access in areas without bank branches and ATMs. Customers have a 15-minute window to collect their requested money from a speci�ied store on the app.

A full nationwide rollout has been con�irmed to begin from April.

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Shielding concerns

MORE retailers are set to be told to stay away from their stores as the government adds 1.7 million more people in England to its shielding list.

It’s expected the move could see 50,000 convenience store workers aged over 60 being affected.

In response, NFRN national president Stuart Reddish said: “The impact of increased numbers shielding will vary, but will undoubtedly cause pressures on some businesses. We will continue to support our members at all times.”

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

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Lottery law change

NATIONAL Lottery sales will be restricted to over-18s from 22 April.

Lottery operator Camelot reportedly sent letters to stores last week informing them of the change. The �irm initially said the switch would

occur for digital games in April, but would only take effect in retail later in the summer.

The law is expected to change by 18 October 2021 at the latest, with penalties introduced for stores that don’t abide.

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New eco-grants

RETAILERS across England are eligible for new government-backed sustainability grants.

Last week, it was announced grants of between £1,000 and £5,000 were up for grabs. Stores located in

Berkshire, Bedfordshire, Milton Keynes and Northamptonshire are able to take advantage of the opportunity.

The grants can help fund a third of the cost of eligible projects, including new lighting systems.

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

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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.

To find out if your store is eligible, go to lowcarbonworkspaces.co.uk

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9-22 MARCH 2021 betterRetailing.com

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

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Some photos on this page were taken prior to the Covid-19 pandemic

myHermes caught underpaying on parcel fees MEGAN HUMPHREY INDEPENDENT retailers have been underpaid commission by myHermes for hundreds of missed parcels.

The parcel provider offers retailers 35p commission for each parcel processed.

However, the amount retailers are being paid is reportedly not matching the number of parcels they have in fact handled.

Hardik Patel, owner of Svarn News & Off Licence in Stafford, told Retail Express he is owed payment for 300 missed parcels across a sixweek period.

“Last week, I was underpaid by 74 parcels,” he said.

“This isn’t anything new. I’ve been having issues on and off for more than a year. Between 26 December and 13 February, I was underpaid by 315 parcels.”

Patel stressed the ongoing issue affects the cash �low of his business. “As a small business, I can’t afford for this to keep happening week after week, as it really affects my cash �low. It’s a rip off,” he said.

An anonymous retailer also revealed they have been underpaid 100 parcels every week since December.

“We don’t usually take notice of the �igures, but after Christmas I thought the numbers didn’t add up,” they said. “I don’t mind one or two being missed, but when it’s a lot more than that the money starts to add up and I

can’t afford to lose that.”

Natalie Lightfoot, of Londis Solo Convenience in Glasgow, has also fallen victim to the calculation errors.

“Last week, myHermes only paid me for one parcel when I know I had processed double �igures,” she said. “When I see this, it makes me wonder if it has ever been right.”

As a result of the inconsistencies, several retailers have been forced to manually track the number of parcels they are handling.

“I’m conscious of this happening, so I try and tally up the number of parcels I’ve collected and the ones that have been picked up,” said an anonymous retailer.

“But this is really dif�icult to do because the drivers don’t always turn up at the same time.”

Lightfoot added: “It’s so hard to manually track what parcels are coming into and out of your store because the drivers don’t always scan them in front of you.”

The affected retailers also criticised myHermes for “a lack of communication” when dealing with the complaints.

Patel said he has received no updates from the parcel �irm explaining why the problem keeps happening, despite constant badgering.

“There is a lack of communication when I ask myHermes about the issue, and an absence of transparency,” he said. “I have not been provided with any

express yourself WE will continue offering home delivery as the lockdown eases. We gained a lot of new customers from the service, and more people have realised how easy and useful it is to use. We’ll be making the service more sustainable as that’s a concern customers have. We’re doing a trial to use all-electric vehicles to deliver to customers. It’s part of a strategy to make the store more environmentally friendly.

Arjan Singh Rhoud, Premier Morley Convenience Store, Leeds

GOOD WEEK SALES: A new service paying stores to provide discounts in England launched last week.

Smart Coupons allows 21 trial local shops with RDP or MSP tills to scan one-time barcodes on a customer’s phone. The discount is then applied with retailers receiving a 3p fee and full discount value credit within seven days.

Brands involved include Chicago Town, Pot Noodle and VK. CARRIAGE CHARGES: Smiths News has agreed to freeze carriage charges for 12 months, following pressure from the NFRN. The freeze could save retailers as much as £96. Smiths News CEO Jon Bunting said: “We are hopeful the NFRN and our customers will see this as a positive move that provides some support to newspaper and magazine retailing after such a difficult period.”

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

BAD WEEK

data or a breakdown of the daily �igures to show how particular payments for particular weeks have been calculated.”

Instead, Patel has been told the issue is “under investigation”, with no timescales provided hinting at when he should expect answers.

A different retailer, who wishes to remain anonymous, went on to reveal to Retail Express they had been underpaid a total of 1,114 parcels over an eight-week period, averag-

the column where you can make your voice heard

ing 139 a week.

“I have received credit for four weeks, but it was still not the right amount,” they said. “I am continuing to chase this with myHermes, but it takes a lot of effort when I’m trying to run a business at the same time.”

A spokesperson from myHermes responded: “We can con�irm that a data issue at the end of last year has resulted in a small number of mistakes in payments for some of our parcel shop partners. Once we had identi�ied the problem, it was

quickly �ixed and our team is currently contacting all those affected to apologise.

“The correct payments will be made as soon as possible, by 19 March latest. This will happen automatically and there is no requirement for partners to contact us or provide further information. Moving forward, we would like to remind partners that we can be contacted via the helpline, via the dedicated email or by calling their allocated business development manager.”

HFSS: The government has ignored calls to restrict symbol group stores from upcoming restrictions on the placement and promotion of products high in fat, salt and sugar. ACS chief executive James Lowman said: “Convenience stores, by their nature, are smaller-format stores and the introduction of restrictions on where products can be sited would present retailers with significant practical and operational challenges.”

OWN LABEL: Nisa has pledged to improve the wholesale pricing on some Co-op own-label products after admitting the same lines had a cheaper RRP in the multiple’s own branches.

A Nisa spokesperson said: “We are currently looking to improve our WSP position on a certain number of lines. We will be communicating any WSP changes to partners in the coming weeks.”

How are you preparing for the gradual easing of lockdown?

WE have been in preparation for the past 12 months. There might be an exit strategy now, but the virus is unpredictable and we don’t know whether things will change again during this year. Social distancing guidelines and sanitisers will remain in the shop, and we’ll still be cautious with how many customers we have in the store at once. The virus isn’t going to disappear completely any time soon and it’s only responsible we continue being vigilant against it.

Ken Singh, BB Superstore, Pontefract

THIS year has been a lot quieter compared to March and April in 2020. I can see it getting a lot quieter going forward as the pubs and restaurants reopen. The public will start going to those places more again. I’ve started buying my stock daily now, as opposed to weekly, to help with any changes to footfall. It means I’ll have the right levels available and won’t have to worry about excessive stock in my store rooms or wastage.

Chris Herring, Londis Shiphay Post Office, Torquay

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

Chris Herring

NEWS

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9-22 MARCH 2021 betterRetailing.com

‘Rural shops a lifeline in pandemic’ MEGAN HUMPHREY ONE in �ive customers depend on their local shop more now than a year ago, reinforcing the dependency on convenience during the pandemic.

Published last week, the ACS’ Rural Shop Report 2021 revealed more customers searched for local shops on Google during the start of lockdown (23-29 March

2020) than any other time in the past 12 months.

The top three search phrases included ‘shop near me’, ‘local shop near me’ and ‘local farm shop’.

Facebook generated the highest engagement at 48%, followed by Twitter (33%), Instagram (21%) and WhatsApp (10%).

Speaking at the virtual launch, CEO James Lowman described rural shops as a

“lifeline” for their local community in the past year.

“Not only did they have to adapt to government guidelines and public health measures, but they also adjusted their ranges and sourced products from different areas to make sure supply continued,” he said.

In the past 12 months, the average customer visited their local store four times a week, compared to 3.5

last year. Average basket spend also increased by £1.68 to £7.92, up from £6.24, with a slight increase in basket items.

During the launch, Lowman led a virtual ‘study tour’ of Hopes of Longtown in Herefordshire, with owner Christine Hope.

Virtual ‘study tour’

To read the full report, go to betterRetailing.com and search ‘rural shop’

Spar tackles waste ALL 275 Spar convenience stores across England and Wales operating under Blakemore are now using food-waste app Too Good To Go. The convenience retailer �irst partnered with the platform in January 2020, beginning a trial with 15 stores.

In June 2020, the business extended this to a further 43 stores, completing its rollout on 22 February this year.

Towards the end of each day, signed-up stores make up ‘Magic Bags’ of surplus fresh food, which users can purchase.

To find out why Too Good To Go are targeting more indies, go to betterRetailing.com and search ‘food waste’

ILLICIT TOBACCO SEIZURES

MORE than £13k of illegal tobacco has been seized from shops across Southampton.

A number of retailers were targeted in the latest move from Southampton City Council’s Trading Standards service, as part of a campaign to reduce the illicit trade.

JTI’s fiscal & regulatory affairs manager, Ian Howell, welcomed the news. “Research undertaken by JTI last year found that 20% of

smokers in the south-east had bought cigarettes or hand rolling tobacco that was illegal,” he said.

‘Explosion’ at c-store FOUR �ire engines and approximately 25 �ire �ighters were called out to control a blaze at a central London convenience store last week.

A �ire and subsequent explosion occurred at AP Food Express, located between Water-

loo Station and the London Eye on Chicheley Street, at around 3pm on 23 February.

The London Fire Brigade said a woman was rescued from the �loor above the shop and another �led before the emergency services arrived.

PRODUCT OF THE YEAR

**

***

Excellent *IRi Market Place, Volume Share, Nicotine Pouch Category, Total UK, FY 2020. For more information or to verify comparison contact Nordic Spirit on Facebook or Instagram: @nordicspirit_uk or using our details at nordicspirit.co.uk/contact

ACADEMY IN ACTION

PRODUCTS

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Some photos on this page were taken prior to the Covid-19 pandemic

Snickers protein powder and bar MARS Chocolate Drinks & Treats is expanding its range of protein products with a Snickers Hi Protein White Chocolate bar (£2) and Hi Protein White Chocolate Caramel & Peanut Flavour Whey Protein Powder (£19.99).

The bar contains 20g of protein and 233 calories, while the whey protein powder contains 21g of protein and 144 calories per serving.

The supplier said consumer demand for white chocolate �lavours in protein bars is growing, with some of the bestselling brands now seeing its white chocolate varieties

outperform its core range.

Alongside this, Mintel research shows just 32% of UK households are purchasing protein bars. A major barrier cited by consumers is taste, as 44% of consumers struggle to �ind a product that tastes good.

Michelle Frost, general manager at Mars Chocolate Drinks & Treats, said: “The white chocolate variety of Snickers has proved popular in our confectionary business, and continues to be named on social media as one of the key �lavours consumers would like to see in a

protein product.

“This will be our biggest launch since the introduction of M&M’s Hi Protein Chocolate and M&M’s Hi Protein Chocolate Peanut bars.”

TO MEET the demand for healthier snacks, Babybel has launched Plus Vitamins and Plus Live Cultures varieties, available now with an RRP of £1.

The two additions are rich in protein and calcium, and free from additives, colours and �lavours, similar to the original Babybel.

Plus Vitamins contains vitamin B12 and Plus Live Cultures includes a billion

active lactobacillus, used to improve gut health.

Emily Galazka, senior brand manager at Babybel, said: “Babybel has a 26% household penetration. The launch of the Plus varieties will build on the reputation of the brand as a natural portion-controlled snack, by providing additional functional bene�its that cater to consumers’ interest in healthy snacks.”

JTI IS making its Sterling Dual Capsule Leaf Wrapped variety available in a 20-pack format, RRP £9.10.

The supplier said the cigarillo is the “number-one and fastest-growing cigarillo in the UK market”, and follows the same stick blend as the 10s, with a mentholated Virginia blend tobacco and capsule �ilter that, when crushed, releases a peppermint �lavour.

It added smokers are still looking for new alternatives and choice following the characterising �lavour ban last year when menthol options were banned.

The supplier advises convenience retailers to continue to stock the 10-pack format

alongside the new 20s in order to offer choice and variety in the cigarillo category.

KELLOGG’S has launched limited-edition Strawberry & White Choc Coco Pops.

With 30% less sugar than other chocolate-�lavoured cereals, Strawberry & White Choc Coco Pops follows the launch of White Choc Coco Pops in 2019, with more than three million boxes sold in the �irst six months.

The limited-edition cereal has an RRP of £2.99 (480g), and is available from all major supermarkets and wholesalers now for 12 months only. In convenience stores, only price-marked packs will be available.

Harriet Oakes, activation brand manager from Kellogg’s, said: “When we launched White Choc Coco

Pops in 2019, they sold out in just a few days, so we’re hoping Coco Pops fans will be just as excited to try the new �lavour.”

PRIYANKA JETHWA

Three-month follow-up:

IN-STORE DISPLAY Twelve weeks ago, the IAA and MONDELEZ INTERNATIONAL visited AMAN MANN in Newcastle upon Tyne to discuss how to make his in-store displays more impactful.

We find out what he’s achieved

IAA ADVICE 1

Work with suppliers to make category displays more eye-catching.

2

Dedicate a promotional bay to different events and seasons.

3

Source rustic-looking signage to convey the quality of the range.

THE RESULTS

5%

We created a promotional bay at sales the store entrance to increase drive sales. We used seasonal products, like confectionery, labelled them clearly and changed them every three weeks.

Sales have grown by 5% as a result.

PARTNER ADVICE Adding interest in high-traffic areas can entice customers to pick up extra items. By building a seasonal display, Aman has captured his shoppers’ attention, intriguing his customers, and driving sales as a result.

Susan Nash Trade Communications Manager Mondelez International

INSPIRE SHOPPERS TO BUY MORE Call us on 020 7689 0500 to find out how to pique interest with your displays and see how you can be a part of our next visit programme.

Next time: Staff Development

Babybel launches Plus varieties

New KitKat V and Zebra debut NESTLÉ Confectionery has unveiled plans to launch a vegan version of KitKat, KitKat V, alongside KitKat Zebra.

KitKat V will be made with plant-based chocolate and is set to be launched later this year. The launch is certi�ied by the Vegan Society.

KitKat Zebra, a blend of dark and white chocolate, has an RRP of 85p and is available now from wholesalers, and will be in convenience stores from next month.

Alex Gonnella, marketing director at Nestlé Confectionery, said: “We have seen an incredible response to our vegan Fruit Pastilles since their launch last year, so we know how much people want to enjoy alternative versions

of their favourite treats.

“The most common request we see on social media is for a vegan KitKat, so we’re delighted to be able to make that wish come true.”

New Sterling Dual cigarillos format

Strawberry & White Choc Coco Pops

9-22 MARCH 2021 betterRetailing.com

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SAVINGS, SERVED

Mondelez launches two new Cadbury chocolate biscuits MONDELEZ International has launched Cadbury Sandwich Snack! (RRP £2) and Cookie Bites (RRP £1).

Available now, the Sandwich Snack! is designed as a premium chocolate biscuit snack for evening treating, while Cookie Bites comes in a sharing format and contains chocolate chip cookies dipped in chocolate, ideal for hosting a big night in.

The former will be supported by a marketing campaign across outdoor, social media and digital advertising, alongside in-store support for retailers.

Anna Petsi, brand manager for Cadbury biscuits at Mondelez International, said: “With consumers continuing to spend more time

at home, these two launches from Cadbury Biscuits are perfectly placed to help retailers tap into the bignight-in occasion.”

Between 2012-2016, by implementing simple changes to chillers we had supplied to retailers, including replacing non-LED lights, pre-setting thermostats to 5°C and fitting energy management devices, SBF GB&I were able to save retailers a combined £11M1 on their energy bills.

competition will be supported with in-store PoS and digital advertising.

Accolade Wines’ head of brand, Peter English, said: “Launching our ‘Taste the adventure’ campaign last year helped to drive the brand’s standout performance in the category.

We want to build on this by forming connections between consumers and the winemaking team at Mud House.”

Mud House offers a range of premium red, white and rosé wines, available across grocery retailers, convenience stores and pubs and bars.

from the brand will be driven by the “desire to act

RETAILER Amit Patel STORE NAME Premier Town Street, Sandiacre STORE SIZE 900sq ft

AFTER

THE CURRENT SITUATION

“Making this more efficient while maintaining a range that caters for his customers and is easy to access in a hurry is key,” says Andy Pheasant, National Account Manager at SBF GB&I.

differently from anyone else in the market”.

STORE PROFILE

BEFORE

Amit has two large chiller units at the front of his store, showing off soft drinks, dairy and food-to-go range. The soft drink chiller is almost 15 years old and, aside from his oven, the highest wattage appliance in store.

Burton’s Biscuits promises to ‘Keep it kookie’ with Maryland ‘KEEP it kookie’ is the new campaign from Burton’s Biscuits for Maryland Cookies, aimed at promoting the brand as “unashamedly different”.

Backed by a £750,000 investment, ‘Keep it kookie’ will be supported by adverts running across social media – YouTube, Facebook and Instagram – and on primetime TV. The supplier said the campaign is set to reach 14 million consumers, including 91% of core Maryland consumers almost seven times, heightening brand awareness and driving shoppers to �ixture.

It added future campaigns

Suntory Beverage & Food GB&I (SBF GB&I) has teamed up with Energy Saving Trust and retailer Amit Patel to show how making simple sustainabilityfocused changes to your store can help reduce overheads and deliver real savings, making them truly #GoodForBusiness in every way.

Chillers involve a sizeable cash outlay and can be expensive to run. But updating or replacing your chillers with a more energy efficient model can make a huge impact on your store’s energy bills, make your store more appealing to customers, and dramatically improve your sustainability credentials.

Meet the winemakers at Accolade Wines’ virtual tastings AS PART of its ‘Taste the adventure’ campaign, Accolade Wine’s ‘Meet the winemakers’ promotion for Mud House will offer shoppers the chance to win experiences that include a variety of activities, such as a foraging walk and a virtual winetasting lesson.

Other activities will include a multi-course tasting menu and an educational lesson on how each dish is made.

The campaign will be promoted on 1.2 million neck tags of Mud House Sauvignon Blanc and Rosé, with additional prizes consisting of 500 Mud House-branded backpacks.

Running until 31 May, the

CHILLED

Implementing new chillers will help Amit save money and make his store more sustainable, and better show off his great range of soft drinks, dairy products and food-to-go.

A SUSTAINABLE FUTURE When your chillers are coming to the end of their life, you can calculate the annual energy consumption of your current chiller and compare it to a new model, using the power rating and the number of hours per day you have your chiller on. Sites like www.ukpower.co.uk/tools/running_ costs_electricity can help.

If you’re not ready to replace a chiller, there are steps you can take to mitigate energy use.

“Retro-fitting doors or installing nightblinds are both affordable options that can made a real difference to your energy use,” says Andrew Tod, of Energy Saving Trust.

“You should also ensure the chiller isn’t running too cold for the products in it, 5°C is the recommended temperature for soft drinks. And keep your chiller fully stocked – it takes a lot more energy to chill an empty unit,” he adds.

WHAT WE CHANGED “Amit’s main soft drinks chiller has an estimated running cost per year of £515. By selecting a more efficient replacement model, we can save up to £104pa,” adds Andrew Tod, of Energy Saving Trust.

Similar savings were made by replacing his dairy deck at the same time.

“The difference is astonishing,” says Amit. “These new chillers take up the same space in store but have a more modern design with more space inside, so I can show off my full range more clearly”.

“My customers will love them, and the savings that I will make on my energy bills thanks to these two new units will be the icing on the cake”.

1 SBF GB&I estimated energy savings based on testing carried out in a warehouse and projected across the number of assets with the interventions. The cost savings are based on the energy savings multiplied by a typical cost per KW.

To get regular updates on the project, follow SBF GB&I on Twitter at @suntorybf_gbi

ACADEMY IN ACTION

PRODUCTS

08

Some photos on this page were taken prior to the Covid-19 pandemic

Britvic tonic water on sale now PRIYANKA JETHWA

Three-month follow-up:

MARKETING TO CUSTOMERS Three months ago, the IAA and SUNTORY BEVERAGE & FOOD GB&I visited THUSHY SUBRAMANIAM in Canterbury to advise how to build loyalty and better market his offering. We find out what he’s achieved

IAA ADVICE 1

Use signs to communicate your offer and attract passers-by.

2

Run online-only offers to build engagement with your community.

3

Create a sign to increase visibility of highmargin products.

THE RESULTS

20%

We’re using PoS increase in online orders to highlight new products, helping to attract passers-by. We launched a home delivery service and use Facebook to market it to customers. As a result, we’ve had a 20% sales increase and received 300 orders in three weeks.

PARTNER ADVICE It’s great to see that by advertising his delivery service, Thushy has been able to boost sales and drive footfall.

Making small changes to effectively market to customers can deliver big results and increase spend.

Craig Starling Business Development Manager Suntory Beverage & Food GB&I

ATTRACT NEW CUSTOMERS Call us on 020 7689 0500 to find out how to up your marketing strategy and see how you can be a part of our next visit programme.

Next time: Customer Service

BRITVIC has launched its branded Indian Tonic Water into convenience, exclusively available via wholesale with an RRP of £1.65.

The 850ml bottles, available in classic and low-calorie varieties, were previously only available to the on-trade.

The supplier said by making them available to independents as well, it will help retailers to capitalise on the rising demand for take-home mixers, which are up 58% in value in the channel as a result of the pandemic.

It added in the total market, mixers continue to

outpace other soft drinks, up 29.7% versus 13%, as gin sales have surged.

The trend for drinking mixers without the addition of alcohol has also grown in value by 6.4% convenience in the past year.

Phil Sanders, out of home commercial director at Britvic, said: “At-home mixers have the potential to unlock value for retailers by trading customers up from own label.

“Although own label traditionally dominates the category in terms of volume (44%), branded mixers are adding more value with over three times the price per litre (£1.80 versus 50p) in convenience.”

Peroni Libera 0.0%’s New Caramel Latte F1 partnership from Boost Drinks ASAHI has announced a multi-year partnership between its premium alcoholfree beer brand, Peroni Libera 0.0%, and the Aston Martin Cognizant Formula One Team.

The new partnership celebrates the global launch of Peroni Libera 0.0% and comes as the Aston Martin Cognizant Formula One team prepares to make its return to Formula One after more than 60 years.

Peroni Libera 0.0% will be served at events across the global Formula One calendar, including in the Aston Martin Cognizant Formula One Team motorhome at most Grands Prix, and across a number of city activations

aimed at engaging new and current consumers.

The partnership plays a key role in the supplier’s plans to have 20% of its range made up of non-alcoholic products by 2030.

MARS Wrigley has teamed up with Liverpool Football Club’s manager, Jürgen Klopp, for a new football-focused campaign.

The ‘You’re not you when you’re hungry’ ad features Klopp playing table football,

also known as foosball, getting irritated at the miniature �igures, before taking a bite out of a Snickers bar.

The comic ad is a continuation of previous campaigns from the brand with the same tagline.

Snickers partners with Jürgen Klopp

BOOST Drinks is expanding its range of ready-to-drink coffee products with a Caramel Latte variety.

With the iced drinks market worth £25.6m and growing at 49%, the supplier said the category is an “incremental growth opportunity” for retailers.

Caramel latte is the fastest-growing and secondlargest variety in the iced coffee category, with a 21% market share.

The new variety joins the Caffe Latte and Double Espresso lines, which were �irst launched in 2020, now the third-fastest-selling lines within the independent iced coffee market.

To support the launch,

Boost will be launching a digital, outdoor and sampling campaign, with shelf wobblers available for retailers.

PERNOD Ricard UK has made Lamb’s Spiced Rum available in a new £13.99 price-marked pack (PMP), aimed at capitalising on the rum category, which has grown in value by 70% in the past year.

The brand has grown ahead of this at 86.3%, with 61% of shoppers believing PMPs offer better value for money than a standard pack. The packs follow the brand’s redesign in 2019, targeting younger consumers aged 18-28.

Chris Shead, off-trade channel director at Pernod Ricard UK, said: “Spiced rum represents a signi�icant opportunity for convenience retailers and Lamb’s Spiced

Rum performance has been on the up since the brand introduced the new packaging in 2019.”

Lamb’s Spiced Rum in new £13.99 PMP

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09

Paid feature

Rustlers 100 pounder Aromatic Thai Chilli on-pack promo nuts from KP Snacks KEPAK Consumer Foods’ new ‘100 pounder’ on-pack promotion for Rustlers will give shoppers the chance to win £100 to spend however they choose when they buy the brand’s Classic Quarter Pounder.

The promotion is designed to reinforce the burger’s quality credentials and move away from negative perceptions of the brand, building on from its ‘Surprise yourself, it’s better than you think’ campaign last year.

It will run from 22 March for one month across 2.7 million packs, supported by instore and online advertising.

“As the UK’s number-one chilled ready meals brand,

we recognise convenience cannot afford to come with compromise. While Rustlers is synonymous with convenience and speed, it is also a quality product, which will be dialled up as part of this promotion,” said Monisha Singh, shopper marketing manager at Kepak Consumer Foods.

SWIZZELS has entered the chocolate category for the �irst time with the launch of Drumstick Chocolate bar.

The block chocolate bar features chocolate �illed with a raspberry & milk fondant centre, alongside raspberry pieces.

Currently available in a standard pack, the supplier will launch a £1 pricemarked pack later this year.

The supplier said large chocolate blocks are currently growing at 22% and are the fastest-growing subcategory in confectionery.

It added this format has been particularly popular over the course of the pandemic, with sales up £136m in 2020 compared to 2019, amounting to an extra 105m blocks sold in that period, making it a must-stock for retailers.

KP SNACKS has launched Aromatic Thai Chilli Coated Peanuts available in £1 price-marked bags.

The nuts feature a crispy outer shell with a peanut inside, and are available now.

The launch will be part of a month-long two-for-£1.50 promotion, which will also run across the brand’s other nut varieties.

The supplier said the new variety is aimed at younger consumers, and will help drive sales in the category.

Jennifer Blanco Barcia, marketing manager at KP Snacks, said KP Nuts are the UK’s leading nut brand, worth £77.9m and growing in value at 19.7%.

Capitalising on sharing bags with Hancocks

Drumstick Chocolate Tanqueray Gin bar on sale now follows 0.0% trend DIAGEO is launching an alcohol-free version of Tanqueray Gin as the supplier looks to capitalise on the growth in the low- and noalcohol category.

Tanqueray 0.0% comes in 70cl bottles at an RRP of £16, and is set to launch into wholesale in April.

It comes as Diageo estimates that low- and noalcohol options are expected to account for 23% of total adult drinks growth over the next three years.

Low- and no-alcohol spirits are also currently the fastest-growing segment within the alcohol category in the UK, having grown by 33% last year.

Tanqueray 0.0% has been made with the same blend of botanicals as used in Tanqueray London Dry gin, including juniper, coriander, angelica and liquorice.

Get Shreddie for Scott’s oats get a anything with Nestlé 2021 refresh NESTLÉ Cereals’ new campaign for Shreddies will focus on families who are tackling life’s everyday challenges head on.

The ‘Shreddie for anything’ campaign includes a TV advert starring presenter Nick Knowles. It will also roll out on digital media.

The campaign follows the introduction of a new on-pack design for the brand featuring a simple and modern look.

The supplier said the brand experienced an 8% increase in volume sales and 10% increase in value sales during 2020 compared to 2019, highlighting the brand’s popularity.

SCOTT’S is launching a new look across its oats range, Original and Old-fashioned Oats, to highlight the brand’s heritage.

With 57% of hot food sales happening during the colder months, the supplier said shoppers will be on the lookout for well-known oats brands.

The revamp will see Scottish humour on pack, with additions including Scottish phrases and their English translations, instructions on the traditional way to cook oats, and the way of spelling of ‘porage’ according to the founders.

A wider campaign will also be launching in Scotland, including shopper marketing activations.

HANCOCKS, the UK’s largest confectionery wholesaler, is introducing a wider range of products to help retailers make the most of sharing bags, following a rise in demand.

With shoppers forced to reduce their time outside due to the Covid-19 pandemic, there has been a significant growth in sharing bags, blocks and pre-packed pick-and-mix formats in our stores and online channels, as families look to entertain themselves at home.

The Sweetshop Favourites bags from Bonds of London are proving popular as shoppers look for those feelings of nostalgia. The new additions of Bonds pre-packed pick-andmix Shaker Cup have sparked even more interest in pick and mix within convenience. The cup format offers a small footprint on shelf, better portion control and good value, with an RRP of £1-£3.

The giant sharing retail bags are also performing well in convenience. Retailers can buy Pick & Mix’d Fizzy Mix 1kg and Vimto Juicy Mixups 750g in these giant sharing bag formats. These are great for the changing shopper needs within sharing and the resealable pouch format, allowing for a more portion-controlled treat.

BONDS OF LONDON NEW TIPPLES FOR 2021 We now stock the range of Bonds of London ‘Tipples’ bags, just in time for spring, and have already had great retailer feedback on their innovation and taste comparison to ontrend drinks. They consist of three flavours: Let The Good Times Be Gin, with rhubarb gin-flavoured gummy sweets; Shakin’ It From Mo Head To Mojitoes, with mojito-flavour gummies; and Sip, Sip Hooray, with fizz-flavoured gummies.

Tipples are available in 12x130g bags (RRP £1).

All of the above products are available at Hancocks confectionery wholesaler. Shop in any of the 14 UK stores or shop online at hancocks.co.uk

PRODUCTS

10

Walkers £2 PMP sharing debut CHRIS DILLON WALKERS is aiming to capitalise on the growth of sharing bags with a range of bigger packs, pricemarked at £2, as well as new multipacks, exclusive to convenience retailers.

Doritos Chilli Heatwave (200g), Doritos Tangy Cheese (200g) and Walkers Sensations Thai Sweet Chilli (170g) are all now available in this larger format for retailers to stock.

Meanwhile, Quavers Cheese six-packs and Walkers classic six-packs are now available in £1.65 pricemarked packs for the �irst time, with multipacks having

grown by 15.6% in indepedents and symbol stores.

Matt Goddard, wholesale trading director at PepsiCo, said the launch would help retailers offer comparable value to the supermarkets. “As we begin the slow transition out of lockdown, larger packs will likely continue to dominate over singles,” he said.

“Additionally, 65% of shopping trips to symbols and indies consist of take-home products, but 88% of sharing purchases occur outside of the impulse channel.

“This presents an opportunity for these stores, as retailers can capitalise on a bit of the market traditionally purchased elsewhere.”

Get indulgent with Magnum Double

#retailtogether Got something you’d like to share? Join #retailtogether – our digital networking event for independent retailers. Join us every other Thursday at 4.30pm

Next session

11 March

4.30pm

Register for the next session at betterRetailing.com/ retailtogether or call the team on 020 7689 0500

UNILEVER is adding to its Magnum Double range with the launch of a Gold Caramel Billionaire variety, inspired

by Millionaire’s Shortbread.

The supplier said now more than ever, shoppers are looking for new ways to treat themselves, and are turning to indulgence in everyday life, so the new line is designed for retailers looking to tap into the inhome ice cream occasion.

It will be available in a 3x85ml stick pack (£3.69), a 440ml tub (£4) and an 85ml stick (£2).

Jennifer Dyne, ice cream brand experience director at Unilever UK&I, said, last year, the ice cream category grew

the fastest on record, with Magnum marking its most successful year in more than half a decade, with a 40% distribution in UK households.

IN its biggest ever on-pack promotion, Wagon Wheels is giving consumers the chance to win a track experience with Top Gear’s racing driver, The Stig, at the Top Gear test track in Surrey.

The promotion also includes a temporary name change for the brand, from Wagon Wheels to ‘Stig on wheels’, with the The Stig featuring prominently on all Wagon Wheels lines.

The promotion runs from now to the end of May, with 30 experience prizes up for grabs, and 90 runners-up receiving subscriptions to Top Gear magazine.

It will be supported by a social media campaign on Top Gear’s Facebook, Instagram and Twitter pro�iles, which have a combined reach of over 27 million followers, boosted by activity on topgear.com.

The Stig takes over Wagon Wheels

Müller Corner launches £1 PMPs MÜLLER has launched £1 price-marked packs (PMPs) of Müller Corner, available from 1 April to wholesale and convenience retailers.

The £1 PMPs varieties include a two-pack of Strawberry yoghurt and a two-pack of Vanilla Chocolate Balls yoghurt. Targeting the growth of this category in independent stores, the product will also be available in stacked packs, which take up less room on shelves.

The supplier said the brand grew considerably last year, with more packs of Müller Corner yogurts sold during the �irst lockdown compared to any period in the past three years.

Meanwhile, the company’s

Frijj brand now comes in a fully recyclable bottle with a long-lasting ambient recipe – this is also available in £1 PMPs.

Coca-Cola partners with Tyler, The Creator COCA-COLA’S new campaign, ‘Open that cola’, will focus on the ‘refreshing’ taste of Coca-Cola when people �irst take a sip, with global artist Tyler, The Creator having created an original track to be featured in the ad.

The campaign will span TV, online, radio and outdoor advertising, including a social media activation where fans are invited to recreate the dance as featured in the ad, and express their CocaCola experience on their own social media channels.

Meanwhile, as an extension of the campaign, the suppler is also launching a new sleek design for its Zero Sugar variety with a ‘New taste’ �lash.

betterRetailing.com

PAID FEATURE GROW YOUR SALES

In partnership with

9-22 MARCH 2021 betterRetailing.com

11

DRIVE SALES WITH CAMPO VIEJO PERNOD RICARD UK is launching a £1m campaign for Campo Viejo to help retailers make the most of the wine category. RETAIL EXPRESS finds out more

WHAT’S THE OPPORTUNITY FOR CONVENIENCE RETAILERS? THE wine category has grown during the lockdown period, fuelled by at-home drinking occasions, due to the closure of the on-trade, with shoppers turning to their favourite brands and trading up into premium wine. Campo Viejo is the number-one Spanish wine brand in the UK1 and its Tempranillo line is the UK’s bestselling red wine1.

In fact, Campo Viejo is leading the growth in the Spanish wine category, growing faster than the total Spanish category at 22.5% value and this growth is stronger in convenience, growing by 37.4% value2.

The award-winning range includes Campo Viejo Rioja Tempranillo, a fresh and lively fruit concoction crafted from 100% premium Tempranillo grapes; Campo Veijo Rioja Reserva, an approachable yet complex blend capturing the very best that Rioja has to give; Campo Viejo Rioja Blanco, derived as a natural mutation of the red from Pernod Ricard’s wine-making team; and Campo Viejo Rosé, a pale pink-coloured and vibrant rosé that uses the fresh aroma and flavour of a classic Spanish rose.

WHAT’S TRENDING IN WINE? TEMPRANILLO is the fastest-growing grape variety within Spanish wine in convenience, growing by 36.4%4. Campo Viejo is driving value back into the category with a new £7.99 pricemarked pack (PMP) on this varietal. PMPs are a key driver of sales in convenience, with 82% of shoppers looking to purchase them as part of their weekly shop5.

Rosé is growing by 32.5%2 in convenience and retailers

WHAT’S NEW? PERNOD Ricard UK is continuing to invest in Campo Viejo and will launch the second phase of a multimillion-pound marketing campaign ahead of Easter 2021. The campaign is an extension of a new communications platform launched in autumn last year that brings to life the Spanish way of life, ‘Decanta la vida’. The campaign aims to capture the spirit of sharing, whether that’s a bottle, stories or feelings. Reflecting the aspirations of consumers to once again come together and share real time with each other.

The brand will also be highlighting the breadth of its range through the campaign. Tempranillo, Reserva, Rosé and Blanco will feature in the lead advert on TV, on demand and socialmedia assets, which will coincide with PR, in-store and ecommerce activity.

should be prepared to capitalise on this trend as the warmer months set in. Campo Viejo Rosé relaunched with a new label design in December for a fresh, elegant, bold and modern new look thanks to a vibrant turquoise and silver design. The packaging was selected by consumers from three new design routes3, and features a new screwcap for easy and convenient opening, while conserving the flavour of the 2019 vintage.

If you’re interested in stocking Campo Viejo or need any support in store, contact Emma Thurlow at Pernod Ricard UK by emailing emma.thurlow@pernod-ricard.com or calling 07342 062 280.

Nielsen Total Coverage Wine MAT, Period Ending: 02.01.21 2Nielsen Total Impulse, Period Ending: WE 02.01.21 3Pack Research UK: N=120 to 180 per cell, regular Rose drinkers in the UK, 22-64 years old 4Nielsen Total Impulse, Period Ending: WE 02.01.21 HIM! 2019

1 5

OPINION

12

IAA #COMMUNITYSTARS

9-22 MARCH 2021 betterRetailing.com

Some photos on this page were taken prior to the Covid-19 pandemic

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 LOCKDOWN: How will the schools reopening impact your footfall?

“WE are preparing by making sure we have fruit bags, small water bottles and other items ready for children to have in their lunchboxes. We want to provide healthy items as they aren’t allowed crisps. We expect the early morning rush to positively impact us.”

Anita Nye, Premier Eldred Drive Stores, Orpington

The Independent Achievers Academy (IAA) joined ANDREW NEWTON, of Nisa Local Halesowen in Dudley, to uncover how he’s using delivery, social media and word of mouth to fight the post-pandemic sales slump and market his store to new and current customers

Andrew involves his customers in deciding which products to launch in store next, which helps to ensure success. If a customer suggests something new, Andrew will offer them free samples or money-off vouchers.

2

Andrew regularly posts about new products on social media, which helps him expand his reach and target new customers. After advertising pulled pork sandwiches on Facebook, he sold 241 in three weeks.

3

Recognising not everyone is on social media, Andrew sent out 10,000 leaflets to local residents about the store’s delivery service, while using word of mouth and speaking to customers in store about what’s available.

ANDREW’S TOP IDEA “We use Facebook to expand our reach. By encouraging engagement and post likes, you have a higher chance of targeting new customers. This also helps to make sure product launches are successful.”

Read all the tips from Andrew’s session and find out how to join the next IAA #CommunityStars event on 17 March at betterRetailing.com/ andrew-newton-community-stars

Mo Razzaq, Jack’s of Blantyre, Glasgow

We want to provide healthy items TRAVEL: How will people starting to go on holiday affect your store?

KEY TAKEAWAYS 1

“SCHOOLS reopening will positively affect our sales, as the school children will come back in again in the morning, and at lunchtime to buy snacks.

Other people returning to work will also be a footfall driver, so we expect our levels to be much better.”

We expect local trade to increase

“PEOPLE will be more inclined to have their breaks in the UK this year because of the pandemic. My store is based near Hampton Court Palace and we have a lot of footfall from people visiting to go on walks. It’s a busy route with lots of cyclists. I expect footfall to pick up.”

Kiru Nadarajah, Everydays, Hampton

“WE’RE adjacent to Hadrian’s Wall, which helped us receive business from tourists before the pandemic. Although we don’t expect international tourists, we expect local trade to increase as hospitality opens up again. We stock a variety of maps to cater for visitors for the day or weekend.”

Mike Mitchelson, Brampton Post Of�ice, Cumbria

PREMIUMISATION: How do you decide which premium products to sell?

“I TRY to source local lines. It changes every year and there seems to be some new things that have become the centre of attention. We’ve got Bolton Gin – they also do a vodka, a rum and a tequila – while AU Vodka and Cîroc are still the big thing at the moment.”

Swarti Rabadia, Rabadia Convenience, Manchester

“WHEN a new product comes in, we �ind out what we can and we run a new promotion and place it on our stand, which is located by the entrance. Most people will have seen it on social media, and we push it online as much as possible.”

Jey Sivaplan, 1 Stop Go Local, Derby

We run a new promotion and place it at the entrance PETCARE: How are you expanding the category in store during the pandemic?

We stock pet food and pet waste bags

“WE focus on being a top-up shop rather than a destination as we’re quite small, but the demand was there to offer a wider variety of products during Covid-19. We stock pet food and pet waste bags.

Although we stock PMPs of pet food, our Happy Shopper range is more popular.”

Anthony Thileeban, Dee’s Newsagents, Hampshire

“I STOCK 12-packs of Whiskers, and the brand sells really well. Winalot dog food is also a strong seller. Dog treats sell well if they’re priced right.

I’ve found pricing them at £1, they �ly out of the shop. We stock the category towards the back end of the store because it’s not impulse.”

Tapan Choi, Nisa Local Branhall, Greater Manchester

REFRESH YOUR G&T

E N J O Y R E S P O N S I B LY

PMP BO AVA I L A T T L E FROM A BLE PRIL

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LETTERS

9-22 MARCH 2021 betterRetailing.com

sam coldbeck

Letters may be edited

Wharfedale Premier convenience store, Hull

Indies have stepped up to the challenge

‘I’m receiving screwed-up mags on top of tote boxes’ WHEN a customer requests a magazine that’s different to my normal order, I receive it attached to the top of the tote box with no covering. By the time it arrives, it’s all screwed up, and the customer doesn’t want it.

I have a Co-op nearby that I’m in competition with, and

more often than not they head over there to get the magazine in better condition.

It’s then really hard for me to get them come back to my shop. I have to then also send the magazine back because its unsellable, and this leaves my shelves looking empty. I have tried to get this resolved with Smiths for three months,

but all I’ve been told is that they are short of tote boxes.

I don’t understand this, though, because last week there were only three magazines in the box, with the added one on top when there was space for others inside.

Munir Butt, Butts Super News, Reading

A spokesperson for Smiths News responded: “We have contacted Mr Butt to understand his issue and the local team are working with him to �ix the problem. We would like to apologise to Mr Butt and thank him for bringing this matter to our attention.”

COMMUNITY RETAILER

OF THE WEEK

WIN £50-worth of Lucozade Zero

LUCOZADE, the UK’s biggest energy and sports drink brand, has partnered with Retail Express to give five retailers the chance to win £50-worth of its new drink.

Lucozade Zero Tropical is available in 500ml bottles and 4x380ml multipacks, with the flavour variety exclusive to the Zero range.

TO ENTER Fill in your details at:

betterRetailing.com/competitions Our competitions remain online for four weeks from publication date.

Editor’s decision is final.

Mo Razzaq, Jack’s of Blantyre, Glasgow – @morazzaq

‘We are making up food bag donations’

I’VE been hanging bags of food off fences near the shop for people who are struggling financially to take. We make bags of food up that is about to reach its sell-by date and put it in heavy-duty bags. We put bread, meat, fresh vegetables and anything you would need to make a meal in the bags and put them on the fences by a quiet road near a miner’s club in case people are embarrassed. Before we donated the food to a foodbank, but this initiative has taken off on a much larger scale than expected.

AS WE approach the first anniversary of lockdown in Britain, many of us haven’t drawn breath yet.

It has been a rollercoaster, with many of us remembering queues outside cash and carries across the land, stock availability issues as customers rushed to buy toilet roll, pasta and flour, Each issue, one of seven top and disillusionment retailers shares advice to as we navigated make your store magnificent social distancing, sanitising and screens.

We’ve bounced along from one lockdown to the next, with the majority of us feeling very lucky to be in the sector we’re in, as we’ve seen friends and family members travel very different paths.

Someone joked that stacking shelves was the job teachers threatened you with if you didn’t concentrate in school, now it’s the only guaranteed job out there.

It’s fair to say, independent retailers really stepped up to the challenge. Many of us implemented safety measures in our stores well before it was a requirement; we kept our shelves full by shopping around; we tested the suspension of our cars and vans to get the stock from cash and carries back to store and developed ways of delivering groceries safely to our customers’ doorsteps.

We’ve seen our footfall dwindle as many elderly and vulnerable customers have avoided the shops, but we’ve also seen our basket spend soar as customers have shopped less often and stayed local.

As someone who is fascinated by figures, I’m not looking forward to running the financial summaries in the months ahead. How can we possibly compete with last spring and summer? The simple answer is we can’t, but we should do everything we can to retain the customers we’ve gained. We should encourage the elderly and vulnerable customers out of hibernation with a safe, welcoming shop and a friendly team. We should source new and exciting product lines as manufacturers continue to play catch up with the launches that were put on hold last year. The easing of lockdown restrictions will bring its own series of challenges for independent retailers, but by drawing on the resilience and creativity we’ve shown over the past 12 months, we can make 2021 a successful year.

Bring on the sunshine!

Get in touch

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

SPICED RUM VOLUME

+66%

IN IMPULSE*

STOCK UP NOW

NEW

£13.99 PRICE-MARKED PACK

ENJOY LAMB'S RESPONSIBLY *SOURCE: NIELSEN SCANTRACK, TOTAL IMPULSE, WE 02.01.20

CATEGORY ADVICE SUGAR CONFECTIONERY

16

9-22 MARCH 2021 betterRetailing.com

IMPULSIVE TREATS Sugar confectionery is a diverse and dynamic staple in convenience stores, but as shopper habits continue to change, where are the opportunities for retailers? TAMARA BIRCH finds out

SUPPLIER

POST-LOCKDOWN TREATS IT’S no secret that shopper buying habits have changed as a result of the Covid-19 pandemic, whether it’s trading up to sharing bags of sugar confectionery, trying new flavours or switching to healthier alternatives.

While a large portion of sugar confectionery products rely on commuters buying on the go, the pandemic halted this, with suppliers reporting a decline in category sales across the board.

Russell Tanner, marketing and category director at Valeo Confectionery, says although the category suffered as shop-

pers worked from home, sharing bag sales have increased.

“Different formats and types of sweets have been affected very differently. Aside from the impact of the first lockdown, sharing bags have been growing for much of the year,” he says.

Gum and chews are the main driver for this growth, according to Tanner, as they’re popular with families and can act as a mood-booster to enjoy at home.

Victoria Gell, fruity confections portfolio director at Mars Wrigley, agrees: “Forty-two per cent of gum consumers said their top reason for buy-

ing was to feel relaxed, with 30% of gum chewing taking place while relaxing in the afternoon or evening,” she says.

Similar to most categories, though, sugar confectionery has adapted, with shoppers treating themselves more.

“Consumer behaviour has changed during Covid-19 with a demand for treats as a way to escape under the lockdown restrictions,” says Kenton Burchell, trading director at Bestway. “Consumers are turning to nostalgic products that remind them of the past, increasing the demand for traditional flavours that pro-

VIEW

vide moments of comfort.”

Create an area of your confectionery display dedicated to sharing bags that offer shoppers a treat, such as Skittles Giants or Haribo Starmix.

Combine this with social media posts and make it interactive running a poll to see which your customers prefer.

This will help to drive e ng a g e m e n t and sales.

Levi Boorer, customer development director, Ferrero “SHOPPERS trust and recognise the well-known brands for their quality, and stocking a core range also provides retailers with relevance all year round. The three biggest flavours that consumers are looking for are mint, fruits and extra-strong mint. The Tic Tac core range – Lime & Orange, Strawberry Fields, Fruit Adventure, Intense Mint and Fresh Mint – includes products that suit each of those needs, catering for different shoppers’ tastes.

“Our Fresh Mint flavour is arguably what Tic Tac is most recognised for, and the ever-present product has been joined by Intense Mint as part of the core range. Both of these products recognise the growing demand for mint products and are available as T1 and T100 packs.”

CATEGORY ADVICE SUGAR CONFECTIONERY

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THE FUTURE OF IMPULSE SUGAR confectionery is a highly impulsive category, with most purchases unplanned prior to entering the store. Product availability is key to capturing those impulse sales, according to Levi Boorer, customer development director at Ferrero.

“Prominent space should be dedicated to the category, as well as PoS units helping to capture attention and consideration.

“By having well-known sugar confectionery brands available, such as Tic Tacs, retailers can entice shoppers to pick up something extra that can give them a little treat,” he says.

As lockdown eases, shop-

pers’ buying habits will become more aligned to prepandemic patterns, but some are likely to remain. Some will return to the office, but other businesses will make the move to work from home on a permanent basis, ultimately changing the way shoppers make impulse purchases.

Suppliers have predicted the demand for feeling refreshed while wearing face masks will be the reason behind impulse purchases in the next few months.

“As we are all currently required to wear face masks, consumers have highlighted the need for gum to help fresh-

en breath underneath them,” says Mars Wrigley’s Victoria Gell. “Research has indicated that as consumers wear face masks more often, they are also chewing more gum than previously.”

Drive cross-category purchases by stocking mints and gum near face masks to increase sales and meet shopper needs.

“Prioritise availability and price-marked packs (PMPs), and place bestsellers in the most prominent positions, as well as secondary sitings to capitalise on impulse sales,” says Claire James, trade marketing manager at Haribo.

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Wendy Bancroft, Muir Lea Stores, Robin Hood’s Bay, North Yorkshire “WE’VE had to adapt our offering due to Covid-19 restrictions and shoppers not being able to travel.

Before the first lockdown, sugar confectionery was a strong category as families holidaying in the area would buy them often as a sugar boost to tackle Robin Hood’s Bay. “Shoppers are looking to save money wherever possible and single bar formats have declined.

Nestlé Smarties and KitKat remain popular as they’re price-marked at two-for-£1 and customers know they’re still saving money. Starburst is a popular product, too.

“We don’t stock a wide range as there’s a traditional sweet shop nearby and people on holiday prefer to go there and buy sweets, rather than buy products they can get anywhere. We stock a core range, which shoppers will buy impulsively with soft drinks.”

OFFER SUGAR-FREE ALTERNATIVES WITH 92% of consumers actively trying to reduce their sugar consumption, the pressure is on for retailers to offer healthier treats. Fortunately, suppliers are helping retailers meet these demands by launching sugar-free or portion-controlled products.

“An important consideration should be given to low-sugar, vegetarian and portion-controlled options,” says James.

“Adding variety with new products that meet these trends and seasonal lines to the fix-

ture will help sales.”

By having a dedicated area for healthy alternatives, those looking for products lower in sugar or calories will be able to shop more efficiently, in turn creating a higher chance of repeat purchases.

Jas Ghag, trade marketing executive at Perfetti Van Melle (PVM), says the ‘better for you’ confectionery market is worth £31.6m and recommends stocking bigger packs that can be shared, which cater for shoppers looking for value.

Bestway’s Kenton Burchell, meanwhile, suggests building a ‘better for you’ area in store.

“Eighty-eight per cent of shoppers are looking to eat more healthily, so having a dedicated area in store will attract more custom.”

Offering an alternative is more than catering to health trends. More and more shoppers are choosing to be vegetarian or vegan, meaning a lot of sugar confectionery lines no longer apply to them.

“The vegan market is expect-

ed to soar to £1.1bn by 2023, with Veganuary welcoming its one millionth participant this year. The appetite for alternatives is not going anywhere, especially since more than 650 new products were launched during Veganuary,” says Ghag.

Those with specific dietary requirements, such as not having gelatine or being vegan, still want recognisable brands, such as Fruittella, so work with suppliers or your symbol group for ideas on what products to stock.

CATEGORY ADVICE SUGAR CONFECTIONERY

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SUPPLIER

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top products

Claire James, trading marketing manager, Haribo Haribo Starmix Available now in multiple formats, Haribo has added more fruit juice to its Haribo Starmix. The new Starmix aims to enhance the taste of the product, now including a blackcurrant-flavoured purple bear, an apple-flavoured green bear and an apple & lemon-flavoured ring. The updated mix was developed to meet the expectations of consumers who are looking for fruity and juice confectionery, according to the supplier.

“RETAILERS should stock top-selling sugar confectionery treats from recognised brands to support sales.

“Haribo’s ‘core to the store’ products are Tangfastics, Starmix, Supermix, Giant Strawbs, and Maoam Stripes and Pinballs.

“Key trends within the market relate to formats. In the past 12 months, the market has shown growth of sharing bags, which is the largest pack format.

“To help grow their sugar confectionery sales, we encourage retailers to stock the best range, maximise rates of sale, use incremental space, leverage new products and consider events and seasons.

“We know 32% of convenience shoppers state that being able to find something new and exciting is a key factor when buying sweets. As such, new products should drive extra sales that sit outside of the existing range.”

Tic Tacs “Mints and gum are a great way to unlock impulse purchases,” Ferrero’s Levi Boorer says. Tic Tacs are available in several flavours, including Lime & Orange and Fresh Mint. The range is available in a variety of sizes, including 49g 100 Tic Tacs packs and 18g 37 Tic Tacs packs to help retailers capitalise on impulse sales.

Skittles Giants In 2020, Mars Wrigley launched Skittles Giants.

According to the company’s Victoria Gell, research has shown that fruit-flavoured confectionery shoppers expect a variety in flavours and textures. Skittles Giants are available in a single 45g pack, £1 PMP treat bag, and 141g and 170g pouches.

Mentos Xtra Strong Mentos Xtra Strong mint flavour is available in a roll and multipack. Retailers can stock the brand’s sugar-free peppermint flavour. According to the supplier, the flavours aim to help independent convenience stores attract younger shoppers by providing that point of difference and offer indulgence to shoppers.

Chupa Chups Good for You Chupa Chups Good for You is a sugar-free smaller lollipop made with stevia. Chupa Chups Good for You is part of PVM’s ‘better for you’ products, offering a range of reduced-sugar, sugar-free and gelatine-free products.

Barratt Wham and Fruit Salad Barratt Wham and Fruit Salad will be a huge focus for Valeo Confectionery later this year. “We’ll be launching the two flavours in new formats and flavours that are true to the Barratt brand,” says Valeo Confectionery’s Russell Tanner.

Fox’s Glacier Mints In April, Fox’s Glacier Mints will undergo a rebrand to help retailers capitalise on the brand’s 100 years of heritage and 91% brand recognition. The launch will be supported through a seven-figure campaign. The packaging will include the Fox polar bear to drive awareness and attract new customers to the brand and shelf in store.

Drumstick Squashies Squashies are available in four flavours: Original, Bubblegum, Rhubard & Custard and Sour Cherry & Apple.

“Squashies Original flavour has the highest rate of sale out of all £1 price-marked sugar confectionery packs in the market, and Squashies is set to be a big focus of our summer marketing activity,” says Mark Walker, sales director at Swizzels.

Swizzels Loadsa hanging bags Swizzels Loadsa hanging bags range includes sweets, lollies and chews varieties. The range is available in £1 price-marked packs, highlighting value and catering to those shopping on a budget. Each of the products is individually wrapped and contains a variety of well-known lines for all shoppers.

SEASONAL TREATS SOME seasonal events will be different, even with the news of lockdown easing in the coming months.

Shoppers think of confectionery as a ‘fun and exciting’ category where they’re more likely to try something new, and building an impactful display will only be positive for sales.

James says: “Space is often at a premium, so using events and seasons can maximise sales with minimum risk. Us-

ing these seasonal opportunities to create theatre creates new reasons to purchase sugar confectionery lines.”

What’s more, shoppers are increasingly open to spending more on seasonal lines. “Last year, the UK market had growth in Easter treats, including sugar confectionery, in terms of volume and value,” says Bestway’s Burchell. “Value growth was the highest, suggesting consumers are invest-

ing in more premium products as brands expand their offer,” he explains.

Not everyone enjoys chocolate on Easter or Mother’s Day, so dedicate a shelf or two on your promotional bay for sugar confectionery products in addition to chocolate lines or use a clip strip for sharing bags to help drive sales. Also, make space for premium lines and use signage to encourage trade up.

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RETAIL

IN ACTION

PAID FEATURE ONE MINUTE CATEGORY MANAGER

PERFETTI VAN MELLE (PVM) recommends what to stock and how best to merchandise any refreshment display.

What to stock FLAVOUR is key and fruit flavours are popular among teenage and young adult shoppers as they provide a point of difference, as well as indulgent elements to feeling refreshed. The sugar-free aspect targets health-conscious consumers, too. Mentos, the global number-three candy brand1, Smint and Fruittella deliver on sales in independent convenience stores.

Mentos Pure Fresh Tropical roll

Mentos Pure Fresh Bubble Fresh roll

Mentos Pure Fresh Freshmint roll

Mentos Pure Fresh Spearmint roll

Smint Sugar-free 8g dispenser

Mentos Fruit roll

Mentos Mint roll

Mentos Spearmint roll

Fruittella Strawberry stick

Fruittella Summer Fruits stick

How to stock it

1

CATEGORY M

RETAILERS should focus on tapping into one of the three key shopper missions: refreshment, indulgence and on the go.

TOP TIPS Stock a variety of flavours, textures and formats to offer choice in the leading brands – they provide peace of mind and always sell first.

1

2

Add signs and PoS for a standout fixture that increases visibility. Talk to your rep about deals to advertise at the till, such as two for one.

Where to stock it

3

Include sugar-free products in your offering. Mints and gums are not exempt from the rise of the healthconscious consumer.

VISIBILITY is key. Shoppers respond well to crossmerchandised fixtures and clearly signposted sections in store that target specific occasions.

THREE TOP TIPS

1

Countertop units should ideally sit at arm’s reach from the main till area to drive impulse sales.

2

Multi-sitings are recommended to drive purchases, such as near food to go and coffee displays or by newspapers and magazines and at the till.

3

Front-of-store PoS that sits at eye level can capture attention and hijack purchases to increase basket spend.

MINU

PERF VAN M

9-22 MARCH 2021 betterRetailing.com

In partnership with

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Equipment needed WE can offer quality, permanent display solutions, such as counter units, which can be designed to fit perfectly around high-traffic areas in store.

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UTE

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1

Vibrant, impactful or disruptive display units like wobblers or hangers are guaranteed to catch shoppers’ eyes and drive incremental sales.

2

Whole brand range PoS, with consistent designs, trigger trust associations for consumers and can lead to upsell.

Now shout about it TOPTIPS

1

Ask your rep for existing marketing tools that you can use on your own channels, such as the latest new product launches, a poster or a digital advertising image.

2

Regularly post on social media about new flavours you’re stocking in store, as well as any promotions you’re running, too.

Who took part Anthony Thileeban, PVM loyalty scheme member Dee’s Newsagents (Premier), Yateley, Hampshire “SUGAR confectionery as a category is more popular with younger shoppers and we’re near a school, too, which helps to increase sales. A PVM rep visits us regularly, and always ensures we have the right range and promotions, and that our availability remains strong. The rep also helps us to effectively merchandise our confectionery display to strike the right balance and drive sales. Sharing bags are becoming more prominent in confectionery and the PVM rep helps to ensure I offer the right selection at a competitive price.”

For more information on how PVM can help, email pvm@mercieca.co.uk

Sources:

1

Euromonitor 2020

CATEGORY ADVICE SOFT DRINKS

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9-22 MARCH 2021 betterRetailing.com

SOFTEN YOUR OFFER Soft drinks are a critical part of a convenience store’s offer, with a variety of categories and products. CHARLES WHITTING explores what retailers can do with their soft drinks this year

the stat

45.8% of soft drinks shoppers try to lead a ‘healthy lifestyle’

THE IMPORTANCE OF FAMILIARITY THE soft drinks sector has seen changes in customer preferences during lockdown, but its popularity hasn’t waned.

A strong soft drinks offer remains one of the most important aspects for convenience store retailers.

According to Amy Burgess, senior external communications manager at Coca-Cola European Partners (CCEP), soft drinks are the second-most valuable category for convenience stores, worth more than £2.4bn, and with the potential to grow even further. “With half of adults in the UK making

an effort to cut down their alcohol consumption, the category is arguably more important than ever,” she adds.

The category is constantly evolving, with new flavours livening up existing brands, as well as new lines entering the marketplace as well. However, while it is important to keep one’s offer fresh, it is essential that retailers don’t neglect the biggest sellers.

“There’s a balance for retailers to find, between stocking the classics that consumers know and love, while flexing their ranges to include the lat-

est innovations,” says Burgess.

As people shop less often, spend most of their time at home and try to limit how long they spend in store, a prominent display of bestselling brands makes their decisionmaking process easier, with price-marked packs (PMPs) quickening decisions further.

“People go for brands that they know,” says Tapan Chotai, from Nisa Local Bramhall, Greater Manchester. “The top three sellers are CocaCola, Pepsi Max and Lucozade.

They come with a printed twofor-£2 offer.”

The largest selling Soft Drinks brand

with bottles made from 100% recycled plastic. *

STOCK UP NOW *Cap and label not made from recycled content yet, but are recyclable. **Recommended retail price. RIBENA is a registered trade mark of Lucozade Ribena Suntory Ltd. Source: LRS sourced packaging information and IRI MarketPlace Total GB, Value Sales, Soft Drinks, 52 we 23rd August 2020.

CATEGORY ADVICE SOFT DRINKS

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DISPLAYING YOUR SOFT DRINKS RANGE SOFT drinks should hold pride of place in your fridges and shelves, but positioning them in the most profitable way might require some trial and error. While the larger takehome bottles – which have enjoyed greater growth with people staying at home more – can be stocked on ambient shelves, smaller options need to be refrigerated for maximum appeal, particularly as the weather warms.

Given the multiple opportunities for selling soft drinks, it is also worth positioning some near the till for impulse

purchases, as well as close to crisps, snacks and other complementary items.

“Ensure soft drinks are well represented across the store to maximise sales, with additional touch points for consumers on take-home and onthe-go formats,” recommends Angela Reay, brand and innovation controllers at Nichols.

“Show consumers the value by stocking a combination of PMP and non-PMP. During warmer summer months, allocate extra space to soft drinks ranges and keep them chilled at all times.”

Grouping your soft drinks categories together gives customers the choice of a value or a premium option within their chosen area, while placing your bestselling brands in the centre of the fridge will continue to drive further sales. Making sure that the fridges are clean and that all the bottles and cans are facing forwards is also essential.

“Analysis of the decisions consumers make at the shelf show that the main soft drinks segment is still their primary decision, followed by a still/sparkling option,” says

Jacob Hall, category manager at Danone Waters. “Brand, flavour and sugar content then held equal influence in the final shopper decision. So, managing shelf space to capitalise on those main performers in recent months as well as anticipating the recovery of other segments is key.”

Mixers should be stocked closer to the chilled alcohol fridges, not only providing a link for customers buying spirits, but also serving as a useful barrier between drinks that are appropriate for children and those that aren’t.

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SUPPLIER

VIEW

Phil Sanders, out-of-home commercial director, Britvic • Back the bestsellers, such as Robinsons, J2O, Purdey’s and Pepsi Max, with the potential to drive scale.

• Showcase new products – Give new lines extra visibility to to encourage customers to try something different. Include PoS to highlight the fact that it is a new addition.

• Cross-category merchandising – Create dedicated fixtures to locate complementary products together, to encourage cross-category purchases and increase basket spend. For example, site larger soft drinks formats with crisps, snacks and confectionery for bignight-in occasions.

• Use social media as a tool to promote any offers you are running in store. This will encourage customers to come in and check them out, even picking up other items along the way.

• Understand that wellness drinks are a future growth driver of the soft drinks category.

what to stock Key areas to focus on Cola “Cola is the second-most-consumed mixer with spirits, and this is growing at a faster rate than overall cola consumption,” says Britvic’s Phil Sanders. “Pepsi Max flavours (Ginger, Cherry and Raspberry) now make up 53% of the total flavoured cola segment.”

new launches Key areas to focus on

Popular brands “The pandemic has helped us all to re-evaluate our priorities,” says Sanders. “As part of this, we are seeing consumers turn to brands that they know, trust and love.

Robinsons, the number-one GB squash brand, is a prime example of this, having seen 27% value sales growth during the first lockdown.”

Ribena Sparkling Ribena’s entry into the growing flavoured carbonates category comes in two flavours: Ribena Sparkling Blackcurrant and Sparkling Raspberry. Both are available in 500ml and 2l bottles, and 330ml single cans. According to Suntory Beverage & Food’s Matt Gouldsmith, they are “designed to sit alongside retailers’ flavoured carbonates range in the chiller – separately from Ribena’s core juice drinks”.

Low- and no-sugar “We know that the rise of low- and no-sugar soft drinks is a key trend within the category that shows no sign of slowing down,” says Sanders. “We have seen an increase in the value of low-calorie soft drinks (9.4%), so it’s vital to cater to those looking for low- and no-sugar alternatives of the core range, with products such as Tango Sugar Free and Pepsi Max.”

Ribena Raspberry & Rhubarb Squash With new flavours proving popular with customers, Ribena has introduced a new 600ml bottle of squash.

“Squash sales have experienced 25.8% growth in the independent and symbol channel,” says Gouldsmith.

“Additionally, raspberry flavours are growing at 10% and are 61% incremental to the soft drinks category.”

Premium options “With people spending more time at home, many are looking for ways to make nights in feel special – especially if they’re marking an occasion,” says CCEP’s Amy Burgess. “Adult soft drinks like Appletiser offer a sophisticated, soft alternative to beer, wine and cocktails to enjoy alongside a meal in.”

Feel Good Drinks Feel Good Drinks has been relaunched by Nichols and is available in three flavours: Peach & Passionfruit, Rhubarb & Apple and Raspberry & Hibiscus. “All of our drinks contain 15% real fruit juice, no artificial flavours, added sugar or sweeteners, and less than 27 calories per 330ml can,” says Ed Woolner, Feel Good general manager.

PMPs “Thirty-five per cent of consumers say their income has taken a hit as a result of the pandemic – and many remain focused on saving money as a result,” says Burgess.

“PMPs have a key role to play, accounting for more than 60% of total soft drinks sales in convenience stores, and can reassure shoppers that they can get the products they want, at an affordable price.”

Aqua Libra Raspberry & Blackcurrant Following on from its rebrand last year, Britvic plans to launch a Raspberry & Blackcurrant flavour of its Aqua Libra brand this spring, with a first multipack format scheduled for May. “This will attract more healthconscious shoppers to the brand and help retailers offer more choice in this area,” says Sanders.

PEPSI MAX CHERRY

PEPSI MAX FLAVOURS

PEPSI MAX RASPBERRY

DELIVERED 61% OF DEFERRED FLAVOURED COLA GROWTH IN 2020 AND GREW 27% YOY*

ADELIVERED £34M IN SALES IN THE LAST YEAR & 43% OF TOTAL FLAVOURED COLA SALE**

WORTH OVER £20M SINCE ITS LAUNCH IN 2019***

STOCK UP NOW *IRI, Value Sales, Deferred Cola, Convenience, 52 w/e 27/12/20 **IRI, Value Sales, Total Cola, Convenience, 52 w/e 27/12/20 ***£20.317m - Nielsen ScanTrack, Total Coverage value data to w/e 21.11.2020

Time to

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CATEGORY ADVICE SOFT DRINKS

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the stat

49% The growth of mixers

RETAILER

PANEL

Amish Shingadia Londis Caterways, Horsham, Kent “WHAT’S on sale tends to dictate what sells. If CocaCola is on offer, Pepsi won’t move, and vice versa. We’re seeing trends towards customers looking for lower prices, which makes complete sense at the moment with people on furlough.

“The small bottles have been on a decline for us because of lack of school kids and fewer people going to work. The 2l bottles have been pretty good. Families are at home now with their children.

“Water and healthier drinks tend to sell better during the summer, whereas people prefer sugary drinks in the winter. I haven’t seen that fluctuation this year which has surprised me a lot.”

Sunny Sahota One Stop Henlow, Bedfordshire “ABOVE all else, I’ve noticed an increase in energy drinks sales. Water and flavoured-water sales have risen as well, while impulse sales are up for soft drinks.

“There’s always a promotion every two weeks. It’s more or less the same. Our customers are happy with our prices, so we get a lot of impulse sales.”

Tapan Chotai Nisa Local Bramhall

“WE have introduced the new Fanta flavours – Cherry, Sour Apple and others. We tried them, and they sell, even if we price them quite high. If there’s something new, people like to try it. In summer I also stock coconut water, which people also quite like.

“We usually try to keep the soft drinks near the sandwiches and the crisps. When people come to buy their lunch, they’re close to each other.

“Try to display as wide a range as possible and keep it stocked up. Some shops will say, ‘I’ve tried this, I don’t like it.’ But you don’t know every customer.

“If you don’t stock it, you won’t sell it. If you get a good range, they’re bound to pick up. The customer isn’t going to go away empty-handed.”

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THE IMPORTANCE OF BEING HEALTHY OVER the course of the pandemic, people have become more interested in looking after their health, a trend that is expected to last beyond the end of Covid-19.

An increased interest in soft drinks that contain natural ingredients, help improve energy levels or bring other health benefits means that retailers should consider adding some of these premium options to their range.

“Thirty-one per cent of shoppers are interested in premium soft drinks that contain additional functional benefits,” says Phil Sanders, outof-home commercial director at Britvic. “Purdey’s, the sparkling vitality drinks brand, delivers the important benefits customers look for in functional soft drinks – taste, wellness and energy.”

Michael Ratheram, customer engagement manager at Epicurium Drinks, also expects to see rises in demand for products with natural ingredients, such as natural caffeine alternatives or alkaline water, which is “one of the fastest-growing trends in the soft drinks and water category”.

Additionally, low- or no-sugar options are proving popular with people who want to watch their calorie intake as their ability to exercise has reduced.

Sunny Sahota, from One Stop Henlow in Bedfordshire, saw the biggest surge in soft drinks sales come from Pepsi Max, as did Tapan Chotai, as customers look to reduce their sugar intake.

Suppliers have reacted to the growing demand for low- and no-sugar soft drinks by expanding their ranges. CCEP has reduced the sugar in its range in the UK by 22% since 2015, with two-thirds of its British volume now coming from lowor no-sugar sugar soft drinks.

This has been supported by launches such as Fanta Raspberry. “The new variety has

already delivered sales worth almost £3m in the UK, contributing to an impressive 31% of the Fanta Zero brand’s growth in the last year,” says CCEP’s Amy Burgess. “Earlier this year, we expanded our range with Diet Coke Sublime Lime, which combines the taste of Diet Coke with a citrus twist, which has delivered £5m-worth of sales since January 2020.”

how to stock Suntory Beverage & Food worked with Umesh Patel of UP1 News in Silvertown, London, to find out how small changes can help to grow soft drinks sales Block by category It’s important to group the same types of drinks together.

After putting all flavoured carbonates together in one block in the chiller, sales in this category grew 7.1%. This will also help shoppers find what they want more easily.

Arrange by format Range formats within each category together so they flow smoothly. Putting colas together, for example, and then segmenting this section further into cans and formats, will improve the ‘shopability’ of the category by making it easier to find the right format.

Block energy by category Energy and sports drinks account for 30% of total soft drinks sales in convenience, so it’s an important segment of any retailer’s chiller. Start with stimulants, flowing into sports, then energy and finally natural energy – customers will be able to easily find the right drink for the right occasion.

+£3.5m incremental value to soft drinks over 4 years*

+70% value growth over 4 years**

STOCK UP NOW *Kantar Worldpanel, Total Take Home Soft Drinks, 52w data to 27.12.2020 **Nielsen Total Coverage, Value Growth Actual, 52we to 19.12.20 vs 24.12.2016

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CATEGORY ADVICE SOFT DRINKS

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the stat

35%

of shoppers like trying new things when grocery shopping

MILKSHAKES AND ICED COFFEE LIKE many soft drinks categories, flavoured milk saw a decrease in on-the-move sales, but this was offset by sales of larger take-home options.

An increase in innovation in the category brings plenty of opportunities for retailers to create a stand-out offer, with creative new lines such as ready-to-drink (RTD) coffee, protein, and low- and no-sugar varieties all contributing to its new appeal.

“Fresh recipes and flavours

are entering the category and innovation has led to growth in dairy drinks and innovation across sub-categories such as RTD coffee, which appeals to health-conscious and timepressed consumers,” says Adam Hacking, head of beverages at Arla, home to Starbucks iced coffee. “With a prediction to grow at a minimum 15% CAGR across the next three years, RTD coffee continues to be one of the fastest-growing sub-categories within soft drinks.”

While iced coffee and other newer entrants to the category can bring variety and growth to a store’s sales, there is also plenty of opportunity to be found in existing options, with sweet treats a particular favourite when people are looking to reward themselves.

Wayne Thompson, business unit controller for out of home at FrieslandCampina, expects chocolate-based flavours to continue to grow “as consumers are more likely to crave a sweet

comforting treat during this unprecedented time”.

It is also worth considering the introduction of fresh, take-home milkshakes to make your store something of a destination for customers as well.

Sunny Sahota recently installed a F’Real milkshake machine and has been selling 24 milkshakes a day even in a month as cold as February. “My milkshakes are flying. Imagine what it will be in summertime,” he says. “It’ll be 60 a day, I reckon. That’s crazy.”

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CATEGORY ADVICE CRISPS & SNACKS

32

BACK TO THE SNACK Customers’ hunger for crisps and snacks hasn’t wavered over lockdown, but their preferences have evolved. Retailers should be modernising their offer accordingly, as JASPER HART finds out

CHANGING HABITS CRISPS and snacks are evergreen for independent retail, but retailers shouldn’t rest on their laurels when thinking about how they stock the category.

From shoppers’ shifting size and product preferences due to the closure of hospitality and altered shopping patterns, to a steady rollout of new products from suppliers, there’s enough happening in the category to keep retailers on their toes.

“Bagged snacks remain a vital driver of growth within convenience and demand shows no sign of slowing,” says Matt

Collins, trading director at KP Snacks. “Since the beginning of the pandemic there has been a marked increase in savoury snacking occasions within the home, which were up by 47% at the start of lockdown, with CSN (crisps, snacks and nuts) continuing to perform ahead of other impulse snacking categories such as biscuits and chocolate.”

With Covid-19 shining a spotlight on the need for value for many consumers experiencing financial hardships, the growth of sharing sizes and multipack sizes cannot be ig-

nored, while it pays to have a mixture of popular mainstays and emerging new products.

Customers generally trust the crisps and snacks category enough to try different products, and the category is flexible enough for cross-promotion with other food manufacturers as well as popular media, which drives interest.

Additionally, the closures of pubs has led to sales rises in previously unexploited areas such as nuts and pork scratchings, as people look for the right accompaniment to a drink at home.

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THE IMPORTANCE OF SHARING THE biggest trend in the past 12 months has been the rising popularity of quantity when purchasing, a trend which broadly mirrors that seen with chocolate. Sharing bags, multipacks and £1 price-marked packs (PMP) bags have all grown at the expense of smaller singles, as shoppers are less likely to pop

in and out for a lunchtime purchase, and seek higher value.

“Within the segment, sharing has dominated and multipacks have emerged as important additions to the range,” says Kenton Burchell, trading director at Bestway Wholesale.

“According to Nielsen, sharing and multipacks are up by 16%

SUPPLIER

VIEW

Jon Wood, UK commercial director, Calbee “CONSUMER needs, behaviour and lifestyles have shifted in the past year as a result of Covid-19.

Nonetheless, consumers are still desiring snacks that are great-tasting, satisfying and substantial. The total Seabrook brand is now worth £51m. Growing at 20.9% in the last 12 weeks, the brand is ahead of the market at 11.1%. Seabrook penetration grows at 12.3%, and we are the fastest-growing crisps manufacturer within the top 10 manufacturers.

“In 2020, we entered into licence agreements with Viacom/Nickelodeon to develop a range of Paw Patrol oven-baked pea snaps. We identified a gap in the market as snacks tend to jump from the baby aisle with few products suitable for two-to-nine-year-olds.

“Our Paw Patrol gluten-free snacks contain all green and amber GDAs, are lower in calories, fat and saturates than standard potato crisps, and are vegetarianfriendly. The pea snaps are available in 6x15g multipacks and 19g single bags, and are the ideal bridge from the baby aisle into the snacking aisle.”

SUPPLIER

VIEW

and 18% versus last year.

“With more people eating in the home, instead of on the go or in their workplaces, there’s been a rise in sales of takehome products from convenience stores,” adds Burchell.

“It’s important retailers maintain their focus on sharing and multipacks.”

Matt Collins, trading director, KP Snacks “IN the past year, we have seen significant increases in multipack and sharing-format sales, with familiar, trusted and well-known brands doing exceptionally well. The sharing segment is strong and growing. Worth nearly £1.3bn – the largest within crisps, snacks and nuts – it is experiencing growth of 10.4%.

“The number-one driver in this category is taste, and we are in the business of making great-tasting snacks that serve a number of customer and shopper occasions, across all snacking segments, delivered in all formats and up and down the value spectrum.

“Looking ahead, we are likely to see a dialling-up of long-term trends, including a focus on healthy snacking, ‘together time’ as people spend more time at home, and a heightened importance in the role of PMPs in convenience as shoppers’ budgets are squeezed.

KP Snacks has a range of products that covers all of consumers’ ‘together time’ needs.”

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RETAILER

VARIETY IS THE SPICE OF LIFE CRISPS and snacks cover an incredibly wide range of products and lines, and this is reflected in purchasing habits.

Of course, there are favourites among shoppers, but many core brands are well recognised after years of shelf presence, and this translates to flexibility when choosing what to buy.

“It’s rare we see someone walking out with absolutely

nothing having come in with a specific product in mind,” says Serge Khunkhun, of One Stop Woodcross in Bilston. “We’ve got enough of a range to satisfy most customers – there’s always something there.”

Jon Wood, commercial director at Calbee UK, adds: “At a time when consumers are looking for at-home treats and snacks to share in their house-

holds, operators should look to incorporate a variety of flavours, as well as new product launches in their ranges.

“Shoppers are looking to try

35

VIEW

something different to shake up daily routines, particularly as lockdown and working from home fatigue continue to take their toll.”

Priyanka Mohanan, Stop & Shop Express, Macclesfield “THE category has increased a lot in the past year because consumers are staying in and kids are at home.

We mostly stock £1 PMP bags, but people with children prefer multipacks, so we have a few options. McCoy’s, Seabrook and Kettle are good £1-bag sellers.

“We don’t stock a lot of Walkers Crisps because we get our crisps from van sales, which tend not to have them, but people aren’t very fussy about it. If Walkers isn’t there, then Kettle Chips sell well, as do McCoy’s. We have a lot of variety, and people usually just buy something else if what they’re after isn’t there.

“Because the pubs have closed, more people are buying nuts. We never used to stock pork scratchings, but the volume we have sold in lockdown is unbelievable. We stocked different flavours and low-fat versions, but sales slowed down.

Our customers preferred the original flavour.”

STOCK UP

HERE

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CATEGORY ADVICE CRISPS & SNACKS

9-22 MARCH 2021 betterRetailing.com

TRYING SOMETHING DIFFERENT LAST year saw Cadbury Orange category, retailers would be Twirl take the confectionery wise to be alert to new lines.

“Shoppers are demanding category by storm, and Mondelez International has rewarded a greater range of products the product’s success by mak- from their convenience stores, ing it a permanent fixture. It’s something that we’ve seen not certain what, if any, new over the past year with 54% of crisps and snacks will see sim- shoppers now using a conveniilar success in 2021, but with ence store every week,” says shoppers showing their flex- Guy Harvey, impulse category Pringles 70g Small Can Retail Express Mini Page 172x240mm ibility when purchasing in this management controller at Pep-

siCo. “Our new Drive 25 range ing that customers are willing offers a tailored approach to to experiment when buying ensure retailers add breath the crisps alongside a familiar and excitement to their range sandwich and drink. Of course, with the right products that that line in particular has also attracted interest due to will lead to strong sales.”

Vip Measuria, of One Stop its association with the popu@ The Prior Way in Derby, lar fast-food chain, and ashas found success selling the tute retailers will note recent new Walkers Max KFC line product launches that conJan 21.pdf 03/02/2021 17:24 jure up images of hot foods as a part of1 a meal deal, find-

that able such Fries

aren’t as readily availdue to lockdown. Lines as Seabrook Loaded and Burton’s relaunched

Fish ‘n’ Chips imply a more substantial snacking experience that might appeal to shoppers.

RETAILER

VIEW

Serge Khunkhun, One Stop Woodcross, Bilston “SALES have been steady, but we’ve certainly seen much bigger uplift in multipacks and bigger formats. We now have 24-packs of Walkers as a permanent line, and sixpacks are very popular as well.

“As a One Stop franchise, our permanent lines are not price-marked, and tend to be bigger than equivalent PMP bags you would get from normal cash and carry routes.

“The clear sales frontrunner is Walkers Classic 24-packs, and the rest is a nice even split. We don’t seem to order more of one box than another. As a 750sq ft store, our shelving is quite small and we don’t like holding too much back stock, so we have a nice pattern of ordering different boxes at different times. We’re always ordering something in terms of crisps, but never the same thing – you’re not relying on one particular brand or pack to hold the category together.”

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Some photos on this page were taken prior to the Covid-19 pandemic

‘THE DEMAND IS STILL THERE’ THE RETAIL EXPRESS TEAM looks at how retailers have managed home deliveries and whether it could be a long-term offer that outlives Covid-19

THE PROBLEM With people self-isolating over the past 12 months because of the coronavirus, the demand for home deliveries has grown enormously. But can it be sustained as we start to emerge from lockdown?

1

Andrew Johnson, Dafarn Newydd Store, Powys

“WHEN the pandemic started, half our village went into shielding mode. We introduced a system where people phoned us, put their order in and we delivered it. We’ve still got three houses that do that. Two of them are elderly ladies and we’ve said: ‘Don’t worry about driving to us. Just phone us, pay over the phone and we’ll bring it over to you.’ If anyone has to go into isolation, we’re happy to offer home delivery.

“The demand is still there. For example, if anybody can’t get out for whatever reason, and there might be a few more who want it once we return to normal. We’re a tourist destination for the Midlands, so once the tourists start coming back, our locals are going to be a bit wary about coming into the shop for a while. We’ve put on our Facebook page that you can phone up and order, and we’ll deliver it to you or you and come and collect. It’s something that will probably stay for the long term.”

2

Nico Ali, Edinburgh Road Premier, Jarrow, South Tyneside

“WE’VE set up a delivery service with older and vulnerable people taking priority, followed by anyone who wants a delivery. Additionally, every Thursday we deliver free bread and milk to the vulnerable. I’ve been doing that all through the pandemic from 17 March 2020 when it kicked off.

“When Covid-19 �inishes, I’ll cut down a little on the bread and milk count, but the delivery option will be there permanently. Deliveries have been easy, because it’s local in the area.

We’ve sent promotional lea�lets through people’s doors in case they aren’t on Facebook. We’ve been here for 30 years. It’s been an emotional journey, but little things like this all add up.

“I’ve driven to Scotland picking up stock and going round delivering to food banks and hospitals. I’m doing an event for Easter in the area and the vulnerable people are going to get Easter eggs delivered.”

3

Nadeem Abassi, Londis Betws-y-Coed

“WE’VE been doing home delivery since last year for vulnerable people who can’t make it into the shop. We had just taken on a store in July 2019. It hadn’t been running a year before Covid hit. The refurb got stopped and we started doing home delivery. We put things in the local newspaper, and Gwynedd Council and Conwy Council were liaising with vulnerable people and retailers. The charities then came in to help, telephoning on their behalf as well.

“This year we want to have a dedicated website to make it easier for people to order. We’re absolutely keeping home delivery. If we want to stay relevant, we have to do it. I and two members of staff do the deliveries in the evening between us.

“We intend to have two vans dedicated to delivery and then we’ll have a restaurant as well delivering takeaway food.

That’s the plan.”

Facing a challenge? We’ve teamed up with the betterRetailing.com Support Hub and the IAA to provide a helpline for the answers you need. Call 020 7689 0500, email iaa@newtrade.co.uk or visit betterRetailing.com/coronavirus