Retail Express: June 18, 2019

PLAIN PACKAGING Plain pack ‘nightmare’ continues as government looks to target your bestselling lines ACADEMY IN ACTION action

Create a shop layout plan with Pernod Ricard nt and the Independe Achievers Academy P16 JULY 2019 18 JUNE-1 betterRetailing.com

ACADEMY IN ACTION

16

Academy Achievers The Independent and development learning (IAA) is a that helps to increase in Action programme profits. Academy sales and retailers like you are the shows how our partners to use working withadvice.

Academy’s

Steven Mahal Stores Name: Premier Chingford Shop: Nottingham Location: 550sq ft Size: Four part-time

Staff:

PARTNER

Hayley Barker Account Development Executive UK Pernod Ricard

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IAA ADVICE

ADVICE

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We’re here to help.

Call 020 7689 0500

SHOP LAYOUT

STRICTLY FOR TRADE 18 JUNE-1 JULY 2019

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EXPERIENCE

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YOUR SHELVES ARE NEXT

18 JUNE-1 JULY 2019 STRICTLY FOR TRADE USERS ONLY

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MAKE SHOPPING

LOGIC COMPACT THE NEXT BIG THING IN VAPING. jtiadvance.co.uk

7 March 2019. Retailers are, of course, free at all times to sell JTI products at whatever price they choose.

RETAIL CRIME

CONTRACT WOES

CORE IN YOUR STORE

Shop owners become ‘easy targets’ after court fails to lock up man who stabbed a cashier

Rogue energy brokers are tricking retailers into signing fraudulent energy contracts

We round up top tips to increase your sales in six key convenience categories

P2

P4

P18-23

P3

ACADEMY IN ACTION

Create a shop layout action plan with Pernod Ricard and the Independent Achievers Academy

P16

18 JUNE-1 JULY 2019 betterRetailing.com

ACADEMY IN ACTION

16

Academy The Independent Achievers development (IAA) is a learning and to increase programme that helps in Action sales and profits. Academy like you are shows how retailers to use the working with our partners Academy’s advice.

Name: Steven Mahal Stores Premier Chingford Shop: Location: Nottingham 550sq ft Size: Four part-time

Staff:

PARTNER ADVICE

We’re here to help.

Call 020 7689 0500

Have a price ladder. Three products at up the same price takes shelf space, but having £15 one at £5, £10 and up. encourages trading

SHOP LAYOUT

18 JUNE-1 JULY 2019 STRICTLY FOR TRADE USERS ONLY

Hayley Barker Account Development Executive Pernod Ricard UK

visit, find In the IAA’s 10th and PERNOD out how the team Nottingham RICARD UK helped improve retailer STEVEN MAHAL his shop layout

easier for customers layout means it’s to key AN EFFECTIVE store guides shoppers shop. Signposting to buy from your additional spend. areas and can drive Hayley Barker worked with Steven his store layout.

Pernod Ricard UK’s action plan to develop opened by Steve Mahal to create an was the first of five Nottingham store Chingford Stores the in customer base for and his family. The the day, with schoolchildren visiting changes throughout workers in the evening.his shop layout and the morning and help Steven improve How can the IAA drive sales?

Want to see more?

Steven’s and to see more of improve your store For more on how to om/Academy-in-Action shop, go to betterRetailing.c

IAA ADVICE

with Equipping his shop and lighting appropriate fixtures

lighting for his grocery are Steven has overhead but high-priced items and chilled products, can to see. What changes hard for customers key categories? he make to better showcase

YOUR ACTION PLAN

1 Walk your shop think be used to help you This is designed like a customer

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MAKE SHOPPING A

BETTER EXPERIENCE

YOUR SHELVES ARE NEXT • Plain pack ‘nightmare’ continues as government eyes up more of your top categories P3

RETAIL CRIME

CONTRACT WOES

CORE IN YOUR STORE

Shop owners become ‘easy targets’ after court fails to lock up man who stabbed a cashier

Rogue energy brokers are tricking retailers into signing fraudulent energy contracts

We round up top tips to increase your sales in six key convenience categories

P2

P4

P18-23

our say

Chris Dillon, editor – insight

Core isn’t sexy, but it’s worth your time and attention

The five biggest stories this fortnight 01

No jail time for shop stabbing is ‘disgraceful’

ALEX YAU We spend a lot of time writing about opportunities, and it’s no secret why. Free-from, premium gin, organic, plastic-free – these buzzwords are rich for headlines and clicks.

On the other hand, ‘core range’ is one of the most boring terms in retail. By its very nature, it rarely changes, which destroys any chance of it climbing the news agenda.

But it is the most important area for retailers to get right. Without a strong core range, your shop will appear chaotic, fixtures will be hard to shop and key products will be missing.

Our core range feature on p18 gives an overview of what retailers should consider in their core range across six categories.

But if you’d like to know the CORE RANGE top 25 products in more than 28 categories, I urge you to seek out a IS THE MOST copy of this year’s What to Stock, IMPORTANT from your news wholesaler.

The 700 products featured are AREA FOR worth £5,577 in weekly sales, and RETAILERS TO with 65 top products stocked by less than 20% of stores, there is GET RIGHT certainly something every retailer can learn.

We’ve looked at different segments of alcohol, soft drinks, confectionery and tobacco, as well as emerging categories such as vaping, free-from and protein.

Core range might not grab headlines, but we have dedicated an entire magazine to it to help you have a stronger business.

TO ORDER YOUR COPY OF WHAT TO STOCK, CALL 020 7689 3394 @retailexpress betterRetailing.com facebook.com/betterretailing Editor – insight Chris Dillon @ChrisDillonNT 020 7689 3379

Editor – news Jack Courtez @JackCourtez 020 7689 3371

News editor Megan Humphrey @MeganHumphrey_ 020 7689 3357

Features editor Daryl Worthington @DarylNewtrade 020 7689 3390

Features writer Priyanka Jethwa @Priyanka_NT 020 7689 3355

Reporter Alex Yau @AlexYau_ 020 7689 3358

Insight reporter Tamara Birch @TamaraBirchNT 020 7689 3361

Head of design Anne-Claire Pickard 020 7689 3391

Production editor Ryan Cooper 020 7689 3354

Editor in chief Louise Banham 020 7689 3353

Head of sales Matthew Oliver 020 7689 3367

Sub editor Jim Findlay 020 7689 3373

Account director George McCracken 020 7689 3364

Sub editor Tom Allaway 020 7689 3395

Account director Charlotte Jesson 020 7689 3389

Head of marketing Jessica SalisburyFielder 020 7689 3352

Managing director Parin Gohil Senior account manager 020 7689 3375 Natalie Reed Management 020 7689 3372 accountant Abigayle Sylvane Production coordinator Business Ashley Reid development executive 020 7689 3383 020 7689 3368 Kurran Jagpal 020 7689 3363

Retail Express is printed and distributed by News UK at Broxbourne and delivered to news retailers free by their newspaper wholesaler.

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

02

police aren’t working hard enough for retailers and we’re becoming easy targets.”

Kamal Thakar, of Stop Shop

What kind of message does it give to future perpetrators?

He should have been given five years.”

Credit: Google Maps

Spar loses 22 stores

SPAR has focused on fresh and own label amid decline from losing 22 stores in the past year.

According to its latest trading report, the chain had 2,598 shops in 2018. However, UK yearly sales grew by 3.6% to €3.3bn (£2.9bn).

News in Edgware, London, added the sentence encourages crime. “I’m absolutely shocked at the sentence.

Spar International managing director Tobias Wasmuht said: “Customer loyalty has been growing, partly attributable to the increased strength of the fresh offer in store, the expansion of the Spar own-brand range and also to innovative online loyalty promotions.”

03

PayPoint shutdown

INDEPENDENT retailers have been warned by PayPoint they have 10 days to contact the company if they wish to continue offering its services to customers.

In a letter, the EPoS provider said it would contact store owners to ‘arrange removal’

of its old yellow terminal, which is being discontinued, if they do not receive notification stating otherwise by 28 June.

According to the company’s latest results, there are 13,248 shops using the latest version of its terminal.

Sales support executive Michela Marino 020 7689 3382

Designer Jody Cooke 020 7689 3380

Subscribe online at newtrade.co.uk/our-products/ print/retail-express. 1 year subscription: UK £65; overseas (EU) £75; overseas (non-EU) £85

RETAILERS are becoming ‘easy targets’ for violent crime after a man was given a two-year suspended sentence for stabbing a cashier with a hypodermic needle.

Kieron O’Kelly, 21, of Smythen Street, committed the attack after he was thrown out of Costcutter South Street in Exeter at 4:30am on 15 July last year.

He admitted to causing actual bodily harm in Exeter Crown Court this month and avoided prison after his oneyear jail sentence was suspended for two years.

He was also ordered to undergo a year of drug treatment and testing.

Samantha Coldbeck, of Wharfedale Premier in Hull, called the sentence ‘shocking’ and ‘disgraceful’. “Words can’t comprehend my disappointment with the criminal justice system,” she said.

“Retailers are members of the public as well. If he committed the assault in someone else’s house, he would have been given five years.

The justice system and the

48,789 Audit Bureau of Circulations July 1 2017 to June 30 2018 average net circulation per issue

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

Newtrade Publishing 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.

04

Welsh MUP battle

WELSH small shops face a ‘battle’ to keep customers once minimum unit pricing (MUP) comes into effect.

Despite plans to launch the policy this summer, an EU delay has pushed it back until 2020.

Mark Dudden, of WHSmith Local in Cardiff, said no official start date has been given. “Bris-

tol is only half an hour away from Cardiff and, with the Severn Bridge no longer charging a toll, it’s so easy for people to get there,” he said.

Andrew Johnson, of Dafarn Newydd Store, added: “It’s already a battle with big supermarkets, and now it’s going to happen even more.”

05

Retail win for Camelot

THREE quarters of Camelot’s National Lottery sales in its past trading year were through instore terminals.

For the year ending 31 March, retail sales grew by £73.8m to £5.3bn, out of £7.2bn in total. Sales from smartphones and tablets

in the same period generated £1bn. Camelot also experienced record sales across scratchcards and Instant Win Games, which generated £3.1bn.

No initial results were released for its Set For Life game, which launched in March.

@retailexpress facebook.com/betterRetailing

18 JUNE-1 JULY 2019 betterRetailing.com

chris.dillon@newtrade.co.uk 020 7689 3379

Health lobby pushes plain pack ‘nightmare’ expansion HELENA DRAKAKIS CONFECTIONERY, crisps and high-sugar drinks are under threat from ‘nightmare’ plain packaging after the government’s chief medical officer (CMO) backed an influential lobby group’s calls for the categories to be treated like tobacco.

CMO Dame Sally Davies said the recommendation by the Institute for Public Policy Research “has potential to be part of the solution to the obesity crisis’’. She added that it would be discussed in her

health recommendations report. This was commissioned by the government and is due to be released this year.

Analysis of the newly released RN What to Stock handbook shows that, if implemented, it could force nearly all of the top 25 lines in 13 convenience confectionery, snacks and drinks categories to use plain packaging.

Sam Coldbeck, owner of Wharfedale Premier in Hull, said while many retailers recognised obesity as a challenge, plain packaging was “completely ludicrous”.

“Does the government think that people are so stupid that obesity is caused because of a pretty package?

“There needs to be more education around healthy eating,” she said.

She added that the proposals would be a “nightmare to administer” and would “take away the theatre from convenience stores”.

Responding to the rollout, Charlie Cunningham-Reid, head of corporate affairs & communications at JTI, claimed: “The introduction of plain packaging on tobacco has created a wor-

rying precedent and excessive regulation is no longer specific to tobacco and can easily be copy-and-pasted to any other industry or consumer product.”

The British Soft Drink Association's (BSDA) director general, Gavin Partington, told Retail Express: “This is misguided and does not re-

flect the fact the soft drinks sector has led the way in calorie and sugar reduction, and is more than playing its part in helping to tackle childhood obesity.

“Soft drinks are the only category to have already hit Public Health England's calorie-reduction target of 20% by 2020.”

03

GOOD WEEK VOUCHERS: EPoS provider The Retail Data Partnership (TRDP) has launched a voucher scheme which prints discounts on selected products for customers.

Participating retailers will have vouchers printed automatically from their TRDP till. The scheme currently offers a 30p discount on Eat Natural bars. Retailers are paid 1p for every voucher printed.

EPICURIUM: Specialist wholesaler Epicurium has doubled its retail distribution to 2,800 convenience stores after signing deals to supply forecourts across the UK. The wholesaler signed two contracts with two unnamed forecourt groups earlier this year. Managing director Ben McKechnie said: “These partnerships enable us to offer these customers more of the products.”

Read more at betterRetailing.com/ epicurium-retail-distribution

BAD WEEK

SPAR What does its 2018 international annual report reveal for retailers?

22

3.6%

The number of stores lost across the UK

2,598

“I’m seeing a transition to scratchcards in my shop from customers spending on lottery tickets. Customers see more value in scratchcards because they have more of a chance to win and it can provide instant gratification. I don’t go out of my way to promote scratchcards because I don’t want to encourage gambling. However, when a customer asks, I recommend the newer games because they seem to have a better chance of winning.”

Amit Puntambekar, Nisa Fenstanton, Cambridgeshire

UK yearly sales growth

£2.9bn

The total number of shops in 2018

express yourself

Read the full story online at betterRetailing.com/sparloses-22-stores-in-year

Total UK yearly sales

REACH PLC: Reach plc’s chief operating officer (COO), Neil Jagger, defended the company’s recent cut to retailer percentage margins, stating: “Whatever the shareholders want, we have to follow.” The comments came after what was described as a “threatening” letter sent by Jagger to Cambridgeshire HND agent Brian Webb, after he refused to include unpaid inserts in the Sunday Mirror.

LRS: Lucozade Ribena Suntory has been experiencing supply issues with its Lucozade Energy Cherry range. Retailers had reported the range being unavailable at wholesale depots since March. An LRS spokesperson claimed a 185% sales growth had caused “some short-term supply challenges”.

Read more at betterRetailing.com/products/ lrs-supply-problem

the column where you can make your voice heard

Have Camelot’s latest financial performance figures been reflected in your sales?

“I’ve seen an increase in sales across the board, and in scratchcards in particular. It’s down to the fact Camelot has a better ordering system now. My display is always full now, whereas before there’d be some gaps. The unit looks more appealing to customers and it makes them more likely to purchase a scratchcard. Customers also find the scratchcards provide more value for money when they look at the chances of winning.”

Joe Williams, Spar The Village Shop, Oxfordshire

“We always do really well in sales and we have seen the majority of this year’s purchases come from scratchcards.

This is due to cheaper pricing now and we’re up 1.1% year on year. We encourage sales by using the PoS whenever we receive it and we also advertise a big jackpot. It gets our customers excited and increases the likelihood of them purchasing a ticket. It’s important we do this as customers associate the shop more for its bakery.”

Jacqui Dales, Spar London Road Bakery, Lincolnshire

Do you have an issue to discuss with other retailers? Call 020 7689 3379 or email chris.dillon@newtrade.co.uk

Jacqui Dales

NEWS

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18 JUNE-1 JULY 2019 betterRetailing.com

Energy fraudsters target retailers ALEX YAU ROGUE energy brokers are targeting independent retailers to mislead them into signing fraudulent contracts.

Bolton retailer Vas Vekaria had been made aware of the issue by other retailers.

He said: “They phone you up pretending to be from your provider and ask for nothing but your meter number. If

you give it, they fraudulently make a contract and the first thing you know about it is when you get a bill.”

A former British Gas senior employee had told Retail Express’ sister title, RN, about the issue. The source said: “It does happen and suppliers don’t really care, as long as they are getting new customers and they aren’t making too much fuss.”

When asked what retailers

can do if targeted by a rogue broker, the source added: “The industry’s code of conduct says disputes have to first dealt with between the customer and where they bought it from, even if it was fraudulently done.”

A spokesperson for energy regulator Ofgem told Retail Express that, while it does not regulate brokers, it has powers to punish those who mislead retailers.

“Ofgem has investigated a number of concerns raised under the Business Protection from Misleading Marketing Regulations, but, to date, no formal enforcement cases have been opened against a broker.

“We are conducting a strategic review of the retail market to help us to identify potential issues customers are facing.

We are inviting views and evidence from stakeholders.”

#LSS19

NATIONAL wholesalers are urging retailers to register for track and trace as they continue to sell stock to unregistered stores. Bestway, Booker and Nisa told unregistered retailers they could continue buying stock from them.

A message from Nisa sent to retailers nearly two weeks after the 20 May registration

CONNECT. INNOVATE. GROW. Join more than 100 like-minded retailers looking for ideas, stand-out suppliers and action plans that will help the convenience sector thrive. Take advantage of a full day of panel discussions, strategic sessions and networking opportunities.

Wholesalers sell tobacco to unregistered stores

9 OCTOBER Royal Institute of British Architects, London

deadline read: “While we are not yet stopping supply of cigarettes or rolling tobacco to your store, please can you register for your codes.”

However, HMRC has warned other wholesalers not to sell tobacco to non-registered stores, according to a senior source from a major buying group.

PREMIER SCRATCHCARD LOTTO BOOST PREMIER retailers are using the symbol group’s ownbrand scratchcard to help boost National Lottery sales.

The scratchcard offers customers a chance to win prizes such as TVs when they spend £5 or more.

Vince Malone, of Premier Tenby Stores & Post Office in Pembrokeshire, said: “I’ll tell customers who don’t win to have another go with the National Lottery.”

Bedfordshire retailer Seelan Thambirajah said: “The scratchcards will give customers more reason to shop in my stores.”

Nisa reshuffles its exec team to support retailers Register your interest to attend at betterRetailing.com/lss/register Headline partner

Learning partners

NISA’S executive team is to undergo a major reshuffle to help ‘better align’ its growth strategy to support its retailers.

The symbol group’s sales director, Steve Leach, will lead a combined sales and retail team as part of the changes.

Nisa chief operating officer John McNeill will also be responsible for format and development, marketing, PR and Nisa’s Making a Difference Locally charity. Nigel Gray, Nisa’s

retail director, will step down after five years.

“ With new products making up such a large proportion of sales, knowing which ones to stock is crucial for all stores. In local shops, keeping regular and loyal shoppers excited by your range is very important.”

IS IT WORTH MAKING SPACE FOR NEW PRODUCTS FROM BIG BRANDS?

YES!

JEMMA HEALY, WHOLESALE CATEGORY CONTROLLER, LUCOZADE RIBENA SUNTORY “ Some of my customers visit up to five times a day. This is a village that is afraid of change, so knowing what new products to stock is a difficult balancing act.”

35% of soft drinks sales last year came from new product launches. Giving space to new products from the biggest brands is absolutely key to driving excitement from your customers and bringing new shoppers to your store.

AMIT PUNTAMBEKAR ASH’S SHOP (NISA LOCAL), FENSTANTON

Three Steps To Success 1. MAKE SHOPPERS LINGER

2. DOUBLE-FACE NEW PRODUCTS

3. SHOUT ABOUT NEW PRODUCTS

WHAT WE DID IN AMIT’S STORE We made room on the display by stripping out slow-selling lines, to put new launches from big brands alongside the best-selling core range.

WHAT WE DID IN AMIT’S STORE We kept his big-sellers as the main focal point on shelf but made space to grow the impact of new products by giving them double-facings next to big brands.

WHAT WE DID IN AMIT’S STORE We added in a Ribena Frusion stand for the counter and made sure that the Lucozade Sport Fruit Punch shelf-edge barker was visible in front of the bottles on shelf.

AMIT It’s very easy to get lazy because of our large number of returning customers.

We obviously add in new products, but they can get lost on the display as we’re reluctant to change what we know works.

JEMMA The key when you have a customer base like that is to try and upweight the purchase of your customers.

New products really provide stand-out on shelf and break up the flow of the display.

AMIT We devote lots of space to those big products that we know people come back for often. It also makes it easier for staff to always keep them on shelf.

JEMMA To really maximise the impact of new product launches from big brands, try to double-face them and place them alongside other products from that brand. This will really attract the customer’s eye and make them stand out and interrupt their browsing.

AMIT We’ve got great posters around our store from Nisa which showcase new products and launches, and we use shelf-edge labelling to display the product price.

JEMMA Shelf-barkers, wobblers and stickers interrupt the shelf-edge and provide an invaluable tool in further helping new launches stand out on shelf. They help the shopper to know that they are looking at something new and exciting that they should try.

Did it work? YES! “This display really helps our biggest sellers stand out but also flows brilliantly so we can see how each sub-category sells.

Staff are now re-stocking every day rather than every two days.”

“Customers really like the flavour”

“New products are key. After only a few months on shelf, Lucozade Energy Apple has driven over £2m 1 in sales for retailers, making it the biggest launch for the brand in three years.”

AMIT PUNTAMBEKAR

AMIT PUNTAMBEKAR

JEMMA HEALY

1

Amit sold 10 cases of Lucozade Sport Fruit Punch in the first six weeks.

EXT IRI MarketPlace, latest 13 week data ending 25.11.18

TO FIND OUT MORE ABOUT HOW TO IMPROVE YOUR SOFT DRINKS SALES, VISIT LRSUNTORY.COM/TRADE

PRODUCTS

06

Boost your energy drinks sales PRIYANKA JETHWA RED Bull 250ml, Red Bull Sugarfree 250ml, Coca-Cola and Diet Coke are the top four drinks in the soft drinks category that all retailers should stock. This is according to Red Bull, which said these have the same market share as 2,752 of the worstperforming soft drinks.

By the end of the year, energy drinks and cola will drive 61% sales growth.

Speaking at its soft drinks category summit, Rich Fisher, head of category management at Red Bull, said the refresh and functional sub-categories – to which the drinks mentioned belong – are delivering 89% of the total value

growth, so it is crucial retailers take advantage of this and stock accordingly.

“However, after analysing a range of planograms, functional drinks like Red Bull only get 16% of space in the chiller, despite having a 24% market share. It is underrepresented.”

Within functional drinks, energy drinks are leading the sub-category at 22%, followed by energy waters and juice at 1.1%, and natural energy and teas at 0.3%.

Fraser McKevitt, head of retail and consumer insight at Kantar, added that when it comes to functional drinks, the majority of people will drink them at breakfast, with only 2% choosing them at lunchtime.

18 JUNE-1 JULY 2019 betterRetailing.com

Captain Morgan brings back the creative FOLLOWING its initial launch last year, Diageo is bringing back seven limited-edition bottles of Captain Morgan, designed to help retailers tap into the trend of personalised products.

The Captain Morgan label will replace ‘Morgan’ with seven different names, including: Drama, Banter, Comedy, Genius, Retro, Clueless and Karaoke, giving consumers the opportunity to celebrate the personalities of those in their friendship group. The label has also been updated this year to enhance the font.

The launch will be supported by a campaign, spanning TV, video-on-demand, social media and partnerships with influencers.

Nik Keane, global brand director at Captain Morgan, said: “With the brand focusing on its consumers spending quality time with friends, the labels make an ideal present, tapping into the gifting market, which is now worth £3.2bn in the UK.”

Blu takes campaign to the billboards

A tropical twist on Jaffa Cakes bars

Cheesin’ into the ’90s with Walkers crisps

IMPERIAL Tobacco’s new outdoor campaign for its vaping brand Blu is designed to raise consumer awareness in time for summer.

It uses the straplines ‘I Blu, do you?’ and ‘You Blu too?’, and will span a variety of formats, including posters, branded

TAKING an exotic twist on the original flavour, Pladis has launched McVitie’s Jaffa Cakes Pineapple Cake Bars.

The bars are available with an RRP of £1 and each pack includes five individually wrapped bars.

Each bar contains 97 calories, in line with Public Health England’s new 100-calorie snacking guidelines.

WALKERS is launching its ‘best ever’ Cheese & Onion flavour with its biggest marketing campaign in the brand’s history.

It has teamed up with the Spice Girls in a 90-second advert showing the lengths some

buses and taxi wraps, as well as billboards.

It will be featured at more than 3,000 locations throughout London, including Westfield shopping centres in Stratford and Shepherds Bush, alongside other cities including Leeds and Dublin.

David Carey, senior brand manager for McVitie’s Cake at Pladis, said: “The McVitie’s Jaffa Cake Bars range has become one of the fastest-growing products in the category over the past few years, helping to make McVitie’s the number-one brand in the category.”

people will go to avoid sharing Walkers crisps. The campaign will last throughout June and July.

The flavour will also be supported by new packaging, which includes a gold flash on the front of packs.

Cadbury is still hot with 30% less sugar

Nestlé Waters turns the Strongbow goes the notch up on premium whole nine yards

MONDELEZ has launched a reduced-sugar variety of Cadbury Hot Chocolate.

Available in 280g jars, Cadbury Hot Chocolate 30% Less Sugar will be supported by out-of-home and digital marketing activity.

Paul Smith, senior brand manager for hot chocolate at Mondelez, said: “Cadbury has a 73% share of the £26m hot chocolate market so is positioned to bring consumers this new lowersugar option.

“Reducing sugar is the second-biggest priority for shoppers who are looking to improve their diet, so the launch is set to help drive incremental sales for retailers.”

NESTLÉ Waters has turned up the dial on its premium offering with the launch of S.Pellegrino Essenza.

The new range includes three Mediterranean fruit flavours, including: Lemon & Lemon Zest, Tangerine & Strawberry and Dark Morello Cherry & Pomegranate.

Severine Hemms, shopper marketing manager at Nestlé Waters, said: “The launch will be supported by branded PoS to promote the launch, increase visibility in store and drive shopper demand.”

STRONGBOW is kicking off the summer season with its festival activation, which is expected to be seen by nearly 10,000 people.

Bas Bakker, the brand’s marketing manager at Heineken, said by continuing to present Strongbow as a go-to activation in the festival environment, the experience

aims to drive deep audience engagement with the brand at each event.

“This summer, we’re bringing the Strongbow Yard and its archer back to three major UK festivals, and we can’t wait to welcome festival-goers with the usual mix of ice-cold Strongbow ciders and topclass DJs,” he added.

In partnership with

18 JUNE-1 JULY 2019 betterRetailing.com

07

563,000 volunteers

957,377 bags of litter collected

– enough to fill

239,344

wheelie bins

17,097

litter picking events across the country

Source: Great British Spring Clean, Keep Britain Tidy

THANK YOU! Coca-Cola European Partners (CCEP) would like to say a huge thank you to all the retailers that inspired their local communities and took part in this year’s Great British Spring Clean.

After distributing more than 450 requested litter picking kits, we enabled approximately 2,100 clean-up hours, helping Keep Britain Tidy achieve its most successful campaign to date.

For more information about this year’s Great British Spring Clean campaign and CCEP’s Sustainability Action Plan, visit cokecustomerhub.co.uk Don’t forget to keep using your litter picking kits in your communities all year round!

Advertorial

PRODUCTS

08

Consumer demand for convenient hot breakfast options increases PRIYANKA JETHWA

Gary Elliott Head of category & shopper marketing, Danone Early Life Nutrition

ry

How retailers can drive growth through the baby-feeding category

fe

It should come as no surprise that parents often represent the majority of a retailer’s target audience.

According to market research, young families represent 56% of customers, and spend 38% more than the average shopper1.

We also know from experience that feeding delivers the most value within the baby category2. Therefore, it’s important retailers get baby products right, with nutrition at the forefront.

To make your store a go-to destination for parents of babies and young children, consider offering a comprehensive range of the most popular products and beacon categories and brands within the baby category. Besides nappies, wipes, medicines and toiletries, this should include the top baby milk and food brands. Many stores don’t stock any babyfeeding products at all, so the very fact that you offer them could be a competitive advantage.

Here are some of our top tips for delivering growth: 1. Separate baby food products from others so there is a clear distinction, and ensure you stock an optimal core range in baby milk, food and cereal. Products should be placed in a logical order for easier navigation, such as grouping baby-food jars in ages from four-to-six months to 10 months upwards.

2. Ensure milks represent two-thirds of shelf, in line with their value contribution to the category (64% market split), and foods represent one-third of shelf (36%).2 3. If shelf space is limited, provide the most convenient formats, like ready-to-drink liquids, jars and pouches.

4. Finally, as a high-value category, baby feeding should be located near the front of store. This will help drive awareness and accessibility for parents.

As parents are faced with so many product options, we often work with retailers – both large and small – to help their customers navigate the category and educate them on the feeding journey. We believe that, together, we can help parents get nutrition that can best suit their little one’s journey, and benefit business. *IMPORTANT NOTICE Breastfeeding is best for babies. Infant formula is suitable from birth when babies are not breastfed. Follow-on milk is only for babies over six months, as part of a mixed diet and should not be used as a breastmilk substitute before six months. We advise that use of all formula milks, including the decisions to start weaning should be made on the advice of a doctor, midwife, health visitor, public health nurse, dietitian, pharmacist or other professional responsible for maternal and child care.

Foods for special medical purposes should only be used under medical supervision. May be suitable for use as the sole source of nutrition for infants from birth, and/or as part of a balanced diet from six-to-12 months.

Breastfeeding is recommended for the first six months of life. The Department of Health recommend weaning at around six months. Please speak with a healthcare professional before introducing solid food.

Kantar Worldpanel data based on average weekly usage over a 12-month period IRI: Total Market Data L52 wks, w/e 22/12/18

1 2

WITH breakfast now the second-largest meal after lunch, having a varied breakfast range in store is essential for convenience retailers.

This is according to Monisha Singh, shopper marketing manager at Kepak, who said that sales rates of breakfast are even stronger in the convenience channel, with takeaway breakfasts – options that are quick and convenient – having grown by 9.5% over the past year.

For example, its Rustlers All Day Breakfast Sausage Muffin now accounts for 21% of all microwaveable snacks and

this figure rises to 25% in independent forecourts.

“Rustlers All Day Breakfast Sausage Muffin introduced new consumers to the £120m microwaveable snacks category, attracting almost 900,000 shoppers in less than 12 months,” she said.

Singh described new shoppers in the category as being mainly those under 28 years old.

“Although data shows that people in the UK are happy to cook and eat breakfast at home, catering to the growing on-the-go breakfast option is key to satisfying the millennial lifestyle,” she added.

A little slice of joy and Get 50p off cans with double the flavour this Crooked offer MONDELEZ is launching smaller 75g packs of Joyfills across its Cadbury and Oreo varieties.

The move is designed to bring more shoppers into the £6.2m brand.

Carly Sharpe, brand manager at Mondelez, said: “The new small packs will be a great addition to retailers’ on-the-go ranges to offer their consumers a treat on the move.

“To make the most of the launch of this new format, retailers should look to position in secondary sites for those on-the-go purchases, or on cross-category displays for evening and impulse treat opportunities, as well as at the main biscuit fixture.”

GLOBAL Brands is offering shoppers 50p off cans of Crooked, a range of canned alcoholic sodas.

The promotion will be available on 50,000 special promotional cans and will be running until the end of summer.

Two out of its three alcoholic soda varieties are available in the 50p-off promotion: Midnight Stage and Mother Moon.

Charlie Leave, high energy brand manager at Global Brands, said: “Increased consumer interest in low-sugar and natural ingredients in products has fuelled demand for innovation in the canned ready-to-drink sector.

“This limited promotion will give consumers the chance to try something new this summer.”

Cola-Cola Energy hits Premier win for special the big screens Panini sticker collection FOLLOWING the launch of Coca-Cola Energy, the supplier is investing in a new multimillionpound campaign, ‘Spread your positive energy’.

Throughout the summer, Coca-Cola will partner with music streaming service Spotify to enable listeners to listen to a sponsored ‘energy boosted’

playlist. More than 300,000 samples of the drink will also be given out at festivals across the UK. The campaign will also target commuters through digital escalator panels in London tube stations, and more than 6,000 panels and adverts on more than 1,500 buses.

PANINI has launched a special commemorative newspaper sticker collection celebrating the partnership between itself and the Premier League.

The collection will include QR codes on the album pages for collectors to scan and gain exclusive access to video montages of the season.

Collectors can kick start their album with a starter pack, which includes an album and 20 stickers at an RRP of £3.99. Packets will contain five stickers and have an RRP of 70p.

The Panini Tabloid Sticker Album will be backed by a marketing

campaign that will include sampling, PoS material and social media.

PRODUCTS

10

Juul Lab expands pod range PRIYANKA JETHWA SHOPPERS are now able to buy multiple nicotine strength JuulPods, in a move designed to appeal to a wider range of smokers who want to switch from traditional cigarettes.

The products, from vaping brand Juul Labs, are available in an improved 18mg/ml strength and a new 9mg/ml strength.

The 18mg/ml pod contains the same amount of nicotine as the previous version, but offers a smoother smoke. The 9mg/ml pod offers smokers a lower-nicotine alternative.

Both JuulPods are compatible with the existing device.

The 18mg/ml JuulPods will

continue to be the standard strength in the Juul Starter Kit, and will be available in all five refill flavours, including Golden Tobacco, Glacier Mint, Mango Nectar, Royal Creme, Apple Orchard and Alpine Berry.

The 9mg/ml strength will be available in Golden Tobacco, Glacier Mint and Mango Nectar flavours.

John Patterson, sales director at Juul Labs, said: “Since Juul’s launch into retail, we have increased distribution to give smokers greater access to our products, and we believe the new JuulPods, which will be widely available from this month, will deliver a more satisfying experience to a broader range of smokers looking to switch.”

18 JUNE-1 JULY 2019 betterRetailing.com

A premium spin on Estrella Damm ESTRELLA Damm has unveiled a new outdoor campaign to encourage more people to buy into the premium brand.

The campaign is set to appear on landmark banner sites across eight cities, including London, Manchester, Edinburgh, Birmingham and Bris-

tol, throughout this month. It will also appear in places that have a large millennial demographic, such as east London’s Brick Lane.

James Healey, UK country manager for Estrella Damm, said the brand is outperforming the world beer category.

Young’s targets younger shoppers

Gluten-free baking kits from Essex

New Grenade drink packs low-carb punch

TO encourage younger shoppers to buy more fish, Young’s Seafood has launched Gastro Tempura Battered Fish Fillets with an RRP of £4.

The new Tempura Battered Fish Fillets target the growing number of younger shoppers who are looking for specific

FOR coeliacs across the nation, Essex bakery Davina Steel has launched a new range of glutenfree baking kits.

There are six products in the new range, including Garlic & Rosemary Focaccia, Onion Focaccia, Chocolate Chip Focaccia, White Loaf Mix, Pizza Base Mix (makes four pizzas) and Scone

GRENADE is expanding its Carb Killa protein range with a Strawberries & Cream flavour, available in 300ml and 500ml bottles.

Alan Barrett, the company’s chief executive officer and founder, said the drink is de-

health benefits, such as products that are naturally high in omega-3 fats.

Yvonne Adam, marketing director at Young’s Seafood, said: “The Tempura Battered Fish Fillets offer shoppers the best way to create their own restaurantquality experience at home.”

Mix (makes eight to 10 scones).

Each kit has a two-year shelf life and is free from 13 known allergens.

The Focaccia Kits come in 300g kits with an RRP of £2.99, while the White Loaf Mix (300g), Pizza Base Mix (400g) and Scone Mix (300g) have an RRP of £2.49.

signed as an on-the-go treat or post-workout snack for shoppers looking for a high-protein, low-calorie beverage.

He added: “Grenade strives to give consumers greattasting, high-quality and innovative products.”

Super Noodles back Two-for-one fun from Lucozade Energy kicks on TV after five years Mug Shot noodles off £2m campaign PREMIER Foods is investing £1.5m behind a new advert for Super Noodles Pots, which marks the first time the brand has appeared on TV in more than five years.

Naomi Shooman, brand director at Premier Foods, said: “The Super Noodles brand is recognised up and down the

country. Before launching, we independently tested the advert and it caught people’s attention, performing above industry norms.

“This demonstrates the impact we anticipate it will have with shoppers, helping to drive demand in store for our Super Noodles range.”

SYMINGTON’S has partnered with Alton Towers Resort to launch an on-pack promotion across its Mug Shot range.

Running until October, the promotion will offer shoppers a twofor-one entry to the park worth up to £56 per pack.

It will run across all Mug Shot sachets, Mug Shot Cup Soup and On The Go pots.

The brand will also hit TV screens again, including influencer activity, a branded Symington’s and Alton Towers microsite, and a digital campaign.

LUCOZADE Ribena Suntory (LRS) has launched a new campaign to drive awareness of its £54m Lucozade Energy range.

The £2m campaign will span outdoor and digital advertising, social media and in-store activation, and will feature the brand’s latest flavour addition, Watermelon & Strawberry Cooler.

Bridget Hirst, brand manager for Lucozade Energy at

LRS, said: “The Lucozade Energy flavours range has already contributed a significant £54m-worth of sales to the energy category, showing just how important it is for retailers to carry a diverse selection of flavours in their chillers. In fact, 30% of new shoppers first buy into the brand through our flavours range, so it’s crucial for attracting new shoppers to the category, too.”

ACADEMY IN ACTION

18 JUNE-1 JULY 2019 betterRetailing.com

11

The Independent Achievers Academy (IAA) is a learning and development programme that helps to increase sales and profits. Academy in Action shows how retailers like you are working with our partners to use the Academy’s advice.

Name: Marty Uppal Fixby Stores Shop: Location: Fixby, Huddersfield 1,800sq ft Size: Staff:

We’re here to help.

Call 020 7689 0500

Two full-time, five part-time

PARTNER ADVICE

MERCHANDISING For visit nine, learn how the IAA and MARS WRIGLEY CONFECTIONERY helped Huddersfield retailer MARTY UPPAL merchandise his store to drive sales

GOOD merchandising means consistently promoting and pricing products to help customers. Placing high-margin items at eye level helps shoppers locate items quickly, potentially boosting basket spend.

Julie Driscoll, on behalf of Mars Wrigley Confectionery, helped Marty Uppal create an action plan to improve his merchandising.

Jointly managed with his brother, Marty’s store has been in the family for 30 years. Having recently left their symbol group, the store is now unaffiliated. Its most popular category is alcohol.

How can the IAA help Marty get better at merchandising and boost sales?

Want to see more?

For more on how to improve your store and to see more of Marty’s shop, go to betterRetailing.com/Academy-in-Action

Marty is knowledgeable on merchandising.

Our job now is to work with him to make further improvements to maximise his sales.

Julie Driscoll Team Manager Mars Wrigley Confectionery

YOUR ACTION PLAN 1 Walk your shop

This is designed to be used to help you think like a customer

2 Benchmark your shop

Use the checklist below, ticking all you see evidence of

WHY I TAKE PART We have big plans, so we need help improving practices in the store to make these happen. I’m hoping the IAA and the visit from Mars Wrigley Confectionery will provide me with simple opportunities to improve my merchandising, increase sales and make it easier for my customers to get the products they need.

IAA ADVICE

Arranging products on the shelf to guide purchasing decisions Ensuring everything is priced in a consistent way Promotions to encourage additional purchases Having appropriate checks in place to ensure excellence Research, review and improvement

Having appropriate checks in place to ensure excellence

Promotions to encourage additional purchases

Ensuring everything is priced in a consistent way

Marty is in the process of training his staff about stock rotation and waste. What can he do to ensure each staff member knows about these guidelines?

Marty has a good range in his store. However, products often bought together aren’t stocked together, making it harder for shoppers. How can Marty improve the shopper experience?

Marty recently left his symbol group, but his shelf labels still have his old symbol’s brand on them. How can Marty ensure he’s presenting his stock in the right way?

Julie says: “Training staff about stock rotation and date-checking is vital for protecting profits. Having written guidelines for your store and ensuring everyone follows them is vital. Without these guidelines, products that should be sold first may be pushed further back and even missed.”

Julie says: “Cross-merchandising is a key opportunity to increase spend. Simplifying the customer journey by linking products can have a positive effect and increase sales. Retailers should consider where there is opportunity to relocate products, like having chocolate in the chiller.”

Julie says: “Retailers should look at their labels and ensure they’re easy to read for customers and help staff know where the product is stocked. Having out-of-stock labels is a great and simple way of showing when retailers need to order products.”

ACTION Use merchandising guidelines to reduce waste and ensure consistency.

ACTION Cross-merchandise items that are commonly bought together.

ACTION Change all shelf-edge labels so they are consistent with your store’s brand.

3 Pick one thing to improve Write it down, implement it this week and let us know how you get on using #IAA19

MAKE BUYING DECISIONS EASIER Visit betterRetailing.com/IAA/benchmark to promote and price your products consistently, and see how you can improve in 11 other categories.

Next time: Shop Layout

PRODUCTS

12

JTI Logic Compact enters indies PRIYANKA JETHWA LOGIC Compact, from JTI, will now be available to independent retailers after its initial launch into supermarkets last year.

Logic Compact is a pod device, made to capitalise on the popularity of this type of vaping device, which is currently the fastest-growing segment in the UK’s next-generation tobacco category.

The Compact range includes magnetic refill pods, available in five flavours, including Tobacco (18mg), Menthol (18mg), Berry Mint (12mg), Strawberry (12mg) and Cherry (12mg).

The pods reflect the

UK’s most popular vaping flavours, which are fruit (41%), menthol (29%) and tobacco (19%).

Logic Compact has an RRP of £17.50, while the refill pods have an RRP of £5.99.

As part of the launch, a promotional price of £10 per device will run across all channels and retailers will have access to merchandising and PoS material.

Nick Geens, head of reduced-risk products at JTI, said: “With the vaping category growing by 8.4% in the past year, JTI is continuing to innovate to ensure we meet the needs of the ever-growing number of vaping consumers in the UK.”

18 JUNE-1 JULY 2019 betterRetailing.com

Grab a piece of the summer of sharing WALKERS Sensations, Doritos and Max Strong are teaming up in PepsiCo’s new campaign designed to drive impulse sales under the strapline ‘Grab summer by the snacks’.

The brands will also be joined by 7up Free and Pepsi Max in the promotion,

which is live from now until 27 July.

Retailers will also have access to in-store PoS and stackers, which will have interchangeable headers, meaning retailers can switch up the messaging depending on their store’s location.

Relentless Origin is A very British saucy Break through with cooking up a Stormzy makeover hits shelves new Buxton campaign COCA COLA European Partners has announced a new brand partnership for its energy drink brand Relentless with UK grime artist Stormzy.

The partnership will include limited-edition Relentless Energy Origin cans featuring Stormzy’s official Merky branding hitting stores across the UK on 1 July. This will be supported by in-store PoS and off-fixture displays.

A uni ue code on cans of

Relentless Energy Origin, and the wider range, including Apple Kiwi, Passion Punch, Cherry and Sour Apple, bought between July and September will give shoppers the chance to win a place on a fan experience event.

Stormzy’s hit singles include ‘Shut Up’ and ‘Vossi Bop’, and has four million monthly listeners on Spotify.

This year, he will be one of the first grime artists to headline Glastonbury Festival.

KRAFT Heinz is commemorating the 160th birthday of iconic British landmark the Elizabeth Tower and its famous bell, Big Ben, with a bottle redesign.

Launching across both retail and foodservice, the update will be the first major design change to the sauce in

123 years and will be live until 2021, when Big Ben will be restored to its usual rhythm.

The launch will be supported with a design featuring a builder against the Houses of Parliament and the Elizabeth Tower to celebrate those currently working on the restoration.

TO CELEBRATE breakthrough talent in the UK, Nestlé Waters is investing £1.8m behind a new campaign for Buxton.

The ‘Here’s to the up & coming’ campaign will follow upand-coming sport, music and dance artists. It follows from Buxton’s major brand refresh in

spring this year that included an updated pack design.

For convenience retailers, Buxton will be launching a trade competition with the NFRN, celebrating up-and-coming independent retailers who excel in category, sustainability and community.

Filippo Berio launches The Proper way to 100ml bottle enjoy lentil crisps

Mars unveils the new milk choc on the block

FILIPPO Berio has introduced a new 100ml Extra Virgin Olive Oil bottle with an RRP of £1.29.

The new size was created to help grow the category by delivering additional sales, making olive oil more accessible to almost 11 million households that aren’t currently buying the category.

Walter Zanre, managing director at Fillippo Berio, said: “The format is perfect for impulse purchase and convenience stores, and for secondary locations in larger stores, sitting alongside salads or foodto-go ranges.”

MARS Chocolate Drinks & Treats is expanding its milk drinks range with new price-marked Twix Milk Drink (350ml), which can be stored chilled and ambient.

Flavoured milk continues to deliver strong sales, with the category growing at 13.4% and worth £374m.

Within this, chocolateflavoured milk remains the most popular segment, growing by 11.6% year on year, and worth £103m, giving it a 27% market share.

Within convenience, the category is outperforming the market as a whole, growing at 16%, worth £155m.

MARKING the brand’s first move outside the popcorn category, Propercorn is launching new Properchips.

Properchips are lentil crisps that come in four flavours, including Barbecue, Sweet Sriracha Chilli, Sea Salt and Sour Cream & Chive.

The range is vegan and contains 30% less fat than leading crisps brands,

and is under 100 calories per serving.

Co-founder Cassandra Stavrou said: “There’s nothing on the market that’s ticking these boxes while really exciting shoppers, so we have no doubt that Properchips will enjoy the same success as our popcorn.”

FEATURE CATEGORY ADVICE

In association with

18 JUNE-1 JULY 2019 betterRetailing.com

13

Promotional feature

FRESHEN UP YOUR SOFT DRINKS SALES RETAIL EXPRESS rejoins category expert Jemma Healy from LUCOZADE RIBENA SUNTORY to see how her

advice and changes to your soft drinks display can boost sales THE OPPORTUNITY

£1.7bn The size of the soft drinks category in independents and symbols2

FOR every 1° temperature change1, soft drinks sales increase by 1.6%, so it is important retailers have their impulse soft drinks range ready for added demand as the weather warms. Retail Express visited two stores with Jemma Healy from Lucozade Ribena Suntory to show them how an improved range and great displays can grow sales. Here, we join Aqueel Farid at his north London store.

FOCUS ON

EXPERT ADVICE

Save More Food & Wine, London

Commercial activation controller, Lucozade Ribena Suntory

AQUEEL FARID

“WITH so much excitement in such a fast-moving category, it’s hard to know what the must-stock brands are. I have to give plenty of space to food to go in my chiller, so there’s limited room for soft drinks facings.

We are lucky to have the chiller next to the door, which drives impulse sales, but people can’t always find what they want immediately.”

JEMMA HEALY

“AQUEEL’S shop is compact, but he has a good core range that caters to his shoppers’ needs. I would like to make it easier to shop. By separating his food to go from his soft drinks, adding low-sugar varieties and better segmenting his soft drinks section, I’m sure he’ll see an improvement.”

ACTION PLAN

1

CHOICE: To cater to shoppers on specific missions with specific needs, we created a better flow from soft drinks to food to go in the chiller.

2

SUGAR CONSCIOUS: To help sugarconscious shoppers, we made room for low- and no-sugar lines like Lucozade Sport Low Cal Orange.

3

MAKE AN IMPACT: To help shoppers easily see and pick up their favourite products, we put bestselling soft drinks at eye level.

BEFORE

1 2 3

LUCOZADE RIBENA SUNTORY’S TIPS Place top-sellers at eye level so shoppers can find their favourite brands.

Maximise year-round sales by focusing on layout, range and stocking up.

Make it easy for shoppers by blocking categories and brands.

WHAT HAPPENS NEXT? Over the next six weeks, Aqueel will follow Jemma’s advice. We will track the sales data to see what changes.

Keep a look out for Retail Express on

2 JULY

GROW SALES IN YOUR STORE

EXT IRI Marketplace, GB, Data from IRI’s temperature sales index model based on 30 categories, 2 years of sales data for supermarkets and convenience stores. The analysis controls for (i.e. excludes) the effect of price, promos, festivals and other marketing factors, to arrive at a pure measure of the impact of temperature on sales. 2IRI EXT MarketPlace, GB, latest 52-week data ending 27.01.19

1

To see more of Aqueel’s shop, and for more advice and tips, go to betterRetailing.com/ refresh-your-soft-drinks

14

DON’T MISS THE 28 JUNE ISSUE OF RN

Get your sugar confectionery range ready ahead of the summer sales spike PLUS Your guide to getting the most out of the summer festivals near you

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RETAIL NEWS THAT MATTERS

Quick responses help us thrive

How Amit Puntambekar’s shop moves faster than the competition STORE TOUR Page 16

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LEADING INDUSTRY OPINION ON THIS FORTNIGHT’S HOT TOPICS

What do you think? Get in touch for the chance to be featured in Retail Express

BUSINESS RATES:

Is the Welsh gov’t helping retailers?

“SMALL shops make an invaluable contribution to the Welsh economy and communities. The Welsh government is committed to supporting small businesses, providing more than £210m of rate relief this year, and I am committed to working with the sector as we develop our approach to local taxation.”

“WHILE measures taken by the Welsh government to reduce the impact of rising business rates bills have been welcome, we need to ensure the system allows retailers to grow in the long term. A system that encourages investment, rather than punishing it, is crucial to the success of thousands of Welsh shops.”

Rebecca Evans, minister for finance

Janet Finch-Saunders, chair, Small Shops Cross Party Group

We need to ensure the system allows retailers to grow in the long term

ATMs: Have retailers been hit by the govt’s appeal on ATM rates?

“CONTINUED delays in the case will be of concern to retailers who are having to make difficult decisions about whether they can continue providing the service. We urge the government to change the policy for free-to-use ATMs, removing them from the rating list altogether.”

Retailers continue to be penalised for picking up the slack

James Lowman, chief executive, ACS

“IT [the appeal] could lead to retailers withdrawing facilities and impeding access to cash as they seek to reduce their rates liabilities. Banks are closing branches and people are now facing an uphill battle to access their cash, yet retailers continue to be penalised for picking up the slack.”

Robert Hayton, head of UK business rates, Altus Group

NATIONAL LIVING WAGE (NLW): Will gov’t review affect indies?

Learn from three retailers who have cut shoplifting in ways that can work for you Page 26

SYMBOLS

»

NEWSPAPERS

Senior team es chPublishers’ shake-up Aldi ditandWaitrose at Nisa news deal risk s relying Group plans to forceare mags ute’Titles

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Vol 130 No 23 £2.50 FOR TRADE USE ONLY

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Track and trace confusion

Wholesalers continue selling tobacco to stores that haven’t registered Page 4 »

19 18:03

d 1

p1 Cover

OPINION

USE.ind

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

Do you?

ORDER YOUR COPY from your news wholesaler today or contact Kate Daw on 020 7689 3394 TO ADVERTISE in RN, please contact Matthew Oliver on 020 7689 3367

“WE are calling for substantial minimum wage increases.

Under-27s are more likely to be paid less than older colleagues.

They also often work hours that are not guaranteed in their contract, so they really need fairer and better pay alongside protection against insecure work.”

Paddy Lillis, general secretary, Union of Shop, Distributive and Allied Workers spokesperson

“WE ARE seeking views on the path for the minimum wage beyond 2020. The target for the NLW will be met by April 2020.

The government intends to consult the Low Pay Commission (LPC) on this, and we are inviting views on how the existing target has worked and potential future arrangements.”

We are calling for substantial minimum wage increases

David Massey, secretary, Low Pay Commission

NISA: What does the management reshuffle mean for retailers?

This shows the intention to build better relationships with retailers

“HAVING successfully led the retail team through the first year of Co-op ownership, Nigel [Gray] has now decided to leave the business. Meanwhile, I have every confidence that John [McNeill], Steve [Leach] and Martin [Rogers] have the experience, expertise and drive to build on Nisa’s recent success.”

Ken Towle, CEO, Nisa

“NISA’S decision to combine its retail and sales team shows the intention to build better relationships with its retailers. However, changes don’t happen overnight, and retailers will wonder how long before they start seeing the benefits.”

Alex Yau, symbol and wholesale reporter, Newtrade

LETTERS

18 JUNE-1 JULY 2019 betterRetailing.com

15

Harj Mickleton Village Stores, Dhasee Gloucestershire

Letters may be edited

Building relationships with local suppliers has helped us expand our range and boost our margins

‘There should be automatic penalties for Smiths News’ I AM writing in anger and frustration about the extremely poor standards of service from Smiths News, Birmingham. Last month, I was left without paperwork for seven days.

After submitting numerous complaints through the Smiths call centre and NFRN, nothing has improved and I’ve been given false commitments from the wholesaler. I received an email and call from Smiths just to learn of another false commitment about improved service.

Missing credits and supplements are the everyday problem I face. There was a week where I did not get my paperwork on Sunday, Monday and Tuesday. Instead of improving the service, Smiths is making life harder for newsagents, which is putting me off selling newspapers and magazines.

I have already reduced my newspapers and magazines display by half.

There should be an automatic penalty on Smiths if they don’t meet the required service standards.

I would like Smiths to refund my three weeks of overcharged delivery charges because of the pathetic service I’ve received, which has resulted in hassle, stress, time and telephone calls.

They should also automatically refund weekly delivery charges and compensation if there is a poor show of service in the future.

I’ve received a call from my night manager promising a resolution.

Kamal Sharma, Maryvale News & Wine, Birmingham

Rob Drummond, Smiths News area distribution manager (Nottingham and Birmingham group), said: “The senior team in Birmingham will work closely with the retailer to resolve all service issues in a timely fashion. We will also support Mr Sharma in reviewing his range and driving sales wherever possible.

“For any retailer that does experience missing paperwork, there is the facility within SNapp for a customer to print copies themselves, which would help regarding returns or invoice checking.”

Tweet us to get featured!

TWEETS OF

THE WEEK

WIN £50-worth of Tango

TO celebrate the recent launch of Tango’s new flavours, Britvic is offering five retailers the chance to win £50-worth of Sugar Free Tango flavours, including Tropical, Strawberry & Watermelon and Orange.

All three flavours are available in price-marked packs, exclusively for the convenience and wholesale channels. With a £2.2m marketing investment in place to ensure the launch is unmissable, the activity marks the brand’s biggest spend in eight years, with a new TV ad live across the summer, as well as sampling and digital activity.

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.

@retailexpress

Fresh and food on the go is an opportunity area for convenience and symbol retailers – we are currently missing out on this share of the market #CSGInsight @CSGCorporate

WITH prices and costs going up, local suppliers are key to driving margins and adding value to your store.

Our chilled range is really important for us, so we’ve been working hard on getting a balance there between locally produced items and our Co-op range.

We’ve teamed up with local supplier Cotteswold Dairy Each issue, one of seven top to drive the organic retailers shares advice to and free-range make your store magnificent milk. Their milk is responsible for 90% of our milk sales. We still have a low-priced footfall driver, but we’re offering the more premium free-range and organic milks to add extra value for the store.

To do this, we’re working closely with Cotteswold Dairy to help us boost volume and value. Building relationships like this isn’t easy – you need to be open and honest.

There’s no point trying to hammer them on price all the time – instead, you need to have a sensible conversation about what you want to achieve. Deciding what’s going to be your value offering to get people into your store, and what premium items you’re going to make some profit out of. I’ve found you need a ‘good, better and best’ option, and you’ll find that it’s usually the better and best that are driving your gross profit.

We also work with a local craft drink company, allowing us to offer in-store tastings on local ale, cider and gin.

We’re about to do a promotion on Cotswolds dry gin, where customers get a glass and a tonic free with every bottle.

Great promotions like this are much easier to organise when you’re working with local suppliers. Again, it’s all about building these relationships and understanding each other’s needs. For instance, the supplier understands that we still need a value offering in our local ale that competes with the bigger brands. We do one local ale at three for £6.50, while our generic ales are three for £5.50.

So, what we’re doing is getting people to buy local and add some more value into that category, rather than trying to compete directly with the multiples.

Couldn’t help but do a little R&D whilst in NYC. Always lots to learn from some of the world’s best retailers! @sewellonthego @PatrickSewell1

Sneak peek… A few of the confirmed traders we’ve been lucky enough to collaborate with and secured to trade with us! @bcsnackbar @ChurrosHermanos @LoveKimchiToGo #stretford #shoplocal @StretfordFH

Get in touch

@retailexpress betterRetailing.com facebook.com/betterRetailing chris.dillon@newtrade.co.uk 020 7689 3379

ACADEMY IN ACTION

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18 JUNE-1 JULY 2019 betterRetailing.com

The Independent Achievers Academy (IAA) is a learning and development programme that helps to increase sales and profits. Academy in Action shows how retailers like you are working with our partners to use the Academy’s advice.

Name: Steven Mahal Premier Chingford Stores Shop: Location: Nottingham 550sq ft Size: Staff:

We’re here to help.

Call 020 7689 0500

Four part-time

PARTNER ADVICE Have a price ladder. Three products at the same price takes up shelf space, but having one at £5, £10 and £15 encourages trading up.

SHOP LAYOUT

Hayley Barker Account Development Executive Pernod Ricard UK

In the IAA’s 10th visit, find out how the team and PERNOD RICARD UK helped Nottingham retailer STEVEN MAHAL improve his shop layout

AN EFFECTIVE store layout means it’s easier for customers to buy from your shop. Signposting guides shoppers to key areas and can drive additional spend.

Pernod Ricard UK’s Hayley Barker worked with Steven Mahal to create an action plan to develop his store layout.

Chingford Stores was the first of five opened by Steve and his family. The customer base for the Nottingham store changes throughout the day, with schoolchildren visiting in the morning and workers in the evening.

How can the IAA help Steven improve his shop layout and drive sales?

Want to see more?

For more on how to improve your store and to see more of Steven’s shop, go to betterRetailing.com/Academy-in-Action

YOUR ACTION PLAN 1 Walk your shop

This is designed to be used to help you think like a customer

2 Benchmark your shop

Use the checklist below, ticking all you see evidence of

WHY I TAKE PART We are excited to see how we can maximise space and increase sales at this store. One of our main goals is to be convenient for our customers to help meet their needs. I’m hoping this visit will open my eyes to new ideas. As busy retailers, we can often miss simple things that could result in increased sales.

IAA ADVICE

Ensuring the shop is comfortable and accessible Arranging categories to guide shoppers through their journey Making your layout work for you Equipping your shop with appropriate fixtures and lighting Reviewing and improving your shop layout

Equipping his shop with appropriate fixtures and lighting

Arranging categories to guide shoppers through their journey

Making his layout work for him

Steven has overhead lighting for his grocery and chilled products, but high-priced items are hard for customers to see. What changes can he make to better showcase key categories?

Steven has a frozen meal deal he struggles to communicate to customers as these products are located in different parts of the store.

What can he do to highlight deals?

Steven’s customers often enter the store and head straight for the till. With plans to expand his shop, how can Steven better highlight all of his categories?

Hayley says: “There are some really simple, temporary solutions that can help showcase particular products, such as high-priced items that can’t afford to be missed. Attaching LED strip lights to fixtures is a simple and cost-effective way to highlight key products, such as spirits behind the counter.”

Hayley says: “Steven wants to grow his frozen and grocery categories. He can do this by guiding customers to complementary products. Using gondola ends to promote these types of purchases encourages impulse buys as shoppers think about meal deals.”

Hayley says: “Consider what shoppers usually buy and how you can then guide them to additional categories. Small changes – like bringing spirits out from behind the counter or using clip strips to promote spirits next to mixers – provide inspiration and generates impulse purchases.”

ACTION Showcase high-value products by attaching LED lights to fixtures.

ACTION Use gondola ends to highlight the meal deals on offer.

ACTION Think of shoppers’ journeys and how to entice them to visit new categories.

3 Pick one thing to improve Write it down, implement it this week and let us know how you get on using #IAA19

MAKE SHOPPING A BETTER EXPERIENCE Visit betterRetailing.com/IAA/benchmark to make your store easier and more pleasant to shop, and see how you can improve in 11 other categories.

Next time: Service to the Community

VANS EXPRESS VOLKSWAGEN CADDY

18 JUNE-1 JULY 2019 betterRetailing.com

THAT’S ALL, VOLKS Small but mighty, the Volkswagen Caddy’s size and tight turning circle makes it an excellent choice for inner-city retailers CHRIS DILLON takes it for a spin

INTRODUCTION THE Volkswagen Caddy is a great option for inner-city retailers that only use cash and carries for a quick top-up, or need a van for picking up products from small suppliers. Despite its small size, its load compartment can easily fit a full-size pallet and its payload of 645kg (or around 50 cases of soft drinks) is more than enough for a quick top-up.

The Caddy is front-wheel drive with a five-speed manual gear box and can hit 60mph in 12 seconds. It also boasts good efficiency, with 67mpg on country roads and motorways, and 50.4mpg in urban areas. It comes with a three-year warranty and breakdown assistance, as well as 12 years of body protection. Standard features include cruise control, heated windscreen, rear parking sensors and built-in navigation, with roof rails optional for an extra £222.

fast facts Model: Volkswagen Caddy C20 2.0 TDI 102PS 5spd manual Price: starts from £23,244 (incl VAT) Doors: two rear, one sliding door left

DRIVING TEST IF you’re unsure about getting behind the wheel of a panel van or you’re located in a built-up area, the Volkswagen Caddy is a strong contender for you. Its rear windows and low seats feel just like a standard-sized car to drive – and that’s before you’ve had a chance to enjoy the power behind it.

The steering is light and effortless, and a tight turning circle combined with its parking sensors make challenging manoeuvres simple, even on narrow London roads.

The van’s sat nav was a little less user-friendly than other vehicles we have tested and took a bit of getting used to, but that was mainly because of the wealth of features that is on it.

All in all, it was a great experience to drive and felt completely natural and easy.

VERDICT THE Caddy is possibly the best mix of fun and function that we have tested so far. Its large load area gives plenty of space for top-ups, while its small size makes it a breeze to drive.

At a base price of under £20,000 excluding VAT, it’s great value for money and its average fuel efficiency of 60.1mpg places it just behind the Ford Fiesta Sport Van we reviewed last month, but for a considerably bigger load space. For retailers that want to react quickly to trends or visit local suppliers, this van must be a strong contender for your business.

Length/width/height: 4.4m/2m/1.8m Fits a full pallet Bluetooth connectivity Built-in sat nav

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CATEGORY ADVICE CATEGORY MANAGEMENT

18

CORE ACHIEVERS DARYL WORTHINGTON finds out how to get your core range working harder for your store

CORE IS KEY GETTING core ranges right is vital to all independent retailers, allowing them to grow footfall and keep customers coming back.

Core products are those that are the most popular in each range, the well-established names, which customers are most likely to look for when they come into your store. If a shopper comes in looking for condiments and

sauces, for instance, tomato ketchup is one of the products they’ll be keeping their eye out for to show them where the rest of the category is.

Certain core ranges will be the same for almost every independent retailer, while others will vary. As channel director at Lucozade Matt Gouldsmith says: “The key is to understand what shoppers are looking for.”

People want to feel there’s a range tailored for them MADELEINE BEDFORD, DIAGEO

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Advertorial

FOCUS ON GUM

Dan Newell, confections marketing director, Mars Wrigley Confectionery “IT’S important that gum is readily available at the till point. Gum isn’t just good for shoppers’ teeth, it’s good for impulse sales, too. Almost half of shoppers chew gum weekly and expect to find it at the front of store – it is therefore the number-one location to range gum.

Ranging gum here ensures your shoppers’ ‘must have’ product is visible.

“The food-on-the-go trend provides an opportunity to encourage gum as an additional purchase. For example, cross category-merchandising displays that focus on different consumption occasions throughout the day, such as ‘a sandwich and pack of chewing gum for £2’.”

Matt Gouldsmith Channel director, wholesale, Lucozade Ribena Suntory

How you can get your share of a £179m soft drinks opportunity The key is to understand what shoppers are looking for.

To help us understand the soft drink shopper of today, we have conducted a detailed piece of research across the channel that has identified a £1.4bn growth opportunity in the category – of which £179m is purely through the independent and symbol channel.

Through our category insight, we’ve highlighted six key drivers, the big occasions that soft drinks consumers are buying for. Those are:

Top

tips Getting your core range right Managing your core range is a great way to boost footfall to your store and keep customers coming back.

01

Keep your core ranges well-stocked If customers enter your store and the item they’re looking for isn’t there, they’ll lose trust.

02

Know your customers Core ranges vary between stores. Use EPoS data to work out what your core items are.

03

It’s not all about the latest products Don’t downsize your bestselling lines to chase the latest trends.

04

Keep your core ranges balanced Offer a mixture of value and premium items, at different sizes and prices.

05

Display key products clearly Well-known products will signpost your core ranges.

Make sure they’re displayed clearly.

1. Active & effective lives – shoppers looking for mental and physical support through energy, coffee and sports drinks.

2. Healthy goodness – shoppers looking for drinks such as juices and smoothies, juice drinks, kombucha and water.

3. With food – shoppers that will buy a soft drink – flavoured carbonates, juices, waters, squash and iced teas – with their meals and snacks if encouraged to do so.

4. Special experiences – shoppers looking for the best soft drinks, including premium lines, in the most important moments.

5. Tastier healthier refreshment – shoppers that want to switch out regular soft drinks for low- and nosugar varieties.

6. Water lovers – shoppers focused on health and wellness that want more excitement than water can provide, perhaps from flavoured water and infusions.

By looking at soft drinks in this way first, and then by category and then by brand, retailers can drive growth.

We know retailers can grow sales if they look at who is coming into their store and getting the right range on their shelves. By making simple interventions across six future sales opportunities, you can set your store up for real soft drinks success.

FIND MORE ON OUR CATEGORY INSIGHT STRATEGY AT AD.BETTERRETAILING.COM/SOFT-DRINKS

CATEGORY ADVICE CATEGORY MANAGEMENT

20

FOCUS ON BISCUITS AT PLADIS’ recent Annual Biscuit Review, the company stressed that getting core biscuit ranges right can lead to better profits for convenience stores.

Specifically, it was pointed out that in convenience, 80% of sales come from just 8% of products, meaning that although new product development is important, core is key.

18 JUNE-1 JULY 2019 betterRetailing.com

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Speaking at the event, Pladis customer marketing director Stuart Graham said: “It’s been shown very clearly you need the right balance between core and new products.

“There’s a massive opportunity in stocking the right product all the time, giving people what they expect to find every day.”

FOCUS ON SNACKS

Matt Collins, trading director, KP Snacks

Core range according to Pladis is: Digestives, Chocolate Digestives, Rich Teas, Hobnobs and Jaffa Cakes.

“WHEN it comes to big national brands that have high awareness, core range remains mostly the same.

Geography does play a small part, but it’s minimal. The big change you see with geography is in flavour – for example, Scotland has a bias towards pickled onion.

But, typically, that doesn’t affect our range too much. It more depends on the size of store.

“New products are important because that brings excitement. But they have to be right for your store and not be stocked at the expense of your bestselling lines.”

TO D E T T I M COM

OUR RETAILERS SINCE 1977

“Nisa are world class when it comes to delivery. We’ve always enjoyed over 95% of deliveries arriving on time and in-full, so have never had issues with availability or stock.

But when Nisa suggested that we switch to the new Nisa store of the future format we couldn’t have predicted what an impact it would have, it really has taken our business to the next level.

The Nisa team remodelled the whole store to take advantage of extra space made possible by a reduction in size to our stock room. It was a big jump, but the move was made possible due to the reliability and frequency of Nisa’s deliveries, meaning we could easily

FOCUS ON SAUCES AND CONDIMENTS

work around the smaller stock room and maximise our selling space.

Nisa carefully worked out the range by identifying the main missions first, then location and category space. Only then was range selected. The promotions that Nisa provide are perfect for our customers and mean we can offer real value on the products our customers want to buy every day.

The results have been a hit with the locals. The customers love what we’ve done here and they tell us that they feel the store is larger and more open than before, so we want to adopt the same format across our portfolio.”

Nisa’s phenomenal delivery service is unrivalled and better than we could ever have expected.

Anish Keshwara, Nisa Local, Whittlesey

Join the family... visit www.join-nisa.co.uk 14647_NISA_TradePress_Anish Keshwara_2017_240x172_AW01.indd 1

23/04/2018 15:40

ACCORDING to Unilever’s retailer advice initiative, Partners for Growth, ketchup and mayonnaise account for more than half the total table sauces, dressings and condiments category sales, making them core items for any store.

Heinz Tomato Ketchup and Hellmann’s Mayonnaise are key lines that shoppers look out for to find the dressings category. Space depending, add lighter versions of the bestsellers, as more than 40% of consumers use these and are not prepared to buy alternatives.

On top of the core ranges, Partners for Growth stress it’s

important to make seasonal adjustments to get the most from this category. This can include stocking different ranges in different seasons, for instance more salad dressings and mayonnaise in the summer months, or cranberry sauce near Christmas.

“With 99% of households buying these products, they are key top-up items in convenience stores. That’s why it is so important to have the top-sellers available. If the customer can’t see it or it isn’t available, they will simply shop elsewhere,” says Matthew Trembath, channel category manager at Unilever.

We’ve had a refit

Faster access, 24/7 Refreshed membership packages Recommended content based on your preferences New tools and downloads Plus all the exclusive news and insight crucial to making better-informed business decisions, better stocking and pricing comparisons, and better relationships with your shoppers — and suppliers Harness the power of

to improve your bottom line.

Build the most effective range for your store A MUST-READ FOR PROFIT-DRIVEN INDEPENDENT RETAILERS

WHAT TO STOCK

700 products analysed

How to build the most profitable range for your store Pet food

Alcohol

Confectionery

Biscuits

Crisps & snacks

Protein

Bread

Free-from

Soft drinks

Cereal

Household & laundry

Tobacco

Chilled

Ice cream

Vaping

Don’t miss our essential What to Stock guide Compiled using exclusive EPoS data from 3,000 independent stores across the nation and covering 28 core convenience categories.

With easy-to-use tools, it’s never been so simple to compare your range, price and profits with retailers just like you.

+

• A look inside one of the UK’s best-ranged shops • Alcohol, confectionery, soft drinks and tobacco mini-features • All you need to start offering free-from and protein products

Order your copy for only £4.99 online at betterRetailing.com/tools-and-insights/what-to-stock or from Kate Daw on 020 7689 3394

CATEGORY ADVICE CATEGORY MANAGEMENT

18 JUNE-1 JULY 2019 betterRetailing.com

FOCUS ON ALCOHOL THE alcohol category is changing, and with it, retailers’ core ranges as well. It’s therefore vital that all the key items your shoppers are looking for are in stock. For instance, according to statistics from Diageo’s 2019 Drinks Report, there are now 6.1 million consumers in the UK who don’t drink alcohol.

This means retailers should look at including low- and no-

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FOCUS ON TOBACCO

alcohol products within their core ranges.

Balancing the core range is crucial, ensuring there are a range of different sizes of bottle to meet different shopper needs, missions and price ranges.

“It’s about choice,” says Madeleine Bedford, senior customer category manager at Diageo.

“People want to feel there’s a tailored range for them.”

AS A category, tobacco has probably seen the most changes in the convenience sector in the past few years, with new legislation seeing sales and margins on tobacco products shrink massively.

For many retailers, there are question marks over whether tobacco should still be considered a core category. However, RN’s recent What to Stock guide found Amber Leaf to be the most valuable line for the whole of the independent sector, with average weekly sales of £154.97 per store. For cigarettes, meanwhile, JPS Players Real Red Superkings 20s had average weekly sales of £143.

If your store is an area where there are still a lot of

LOOK IT UP

Nigel Masters, Spar Oswaldtwistle, Accrington

smokers, a strong and wellstocked tobacco range is still vitally important to building footfall and keeping your regular customers happy.

“In recent years, we’ve decreased the amount of space given to cigarettes because of the increase in vaping,” retailer Marty Uppal, from Fixby Stores in Huddersfield, says. “However, our cigarettes sales stable throughout the year, and although trends are changing, I’ve found customers know what they want.”

Get your copy of the RN’s What to Stock – call Kate Daw on 020 7689 3394

“WE look up how much we sell per week through our EPoS system and via our wholesaler, James Hall. James Hall keeps us informed on what I am buying on a weekly basis, and what products need replenishing. It also advises us on what products we should stock through their website.

“We own a 3,000sq ft store with a weekly average of 10,000 customers, so making sure we have a good range in all categories is important. I’d say, out of all of them, bakery, dairy and grocery are the biggest. Food to go is another category that is growing.”

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CATEGORY ADVICE YOUR FESTIVAL GUIDE

24

PARTY TIME Summer festival season is upon us, presenting great opportunities for retailers across the country, reports DARYL WORTHINGTON

STOCKING UP FROM Glastonbury to innercity and local food and culture festivals, summer is full of events that independent retailers can take advantage of.

Even if your store isn’t close to the site of a major festival, shoppers are more likely than ever to turn to their local shops to stock up on supplies and avoid festival premiums.

Meanwhile, if your store is in a city that holds a major festival, such as Brighton

or Manchester, then there’s a massive opportunity to be found through stocking the items visitors to the city could need.

As Thomas Bennett, trade marketing controller at Global Brands, explains: “Festival season provides a huge opportunity for retailers to generate more sales, cater towards existing customers and attract new ones into stores, whether they are in close proximity to an event or not.”

the stat

4,000,000 The number of people who will attend music festivals in the UK this year

18 JUNE-1 JULY 2019 betterRetailing.com

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SELLING MORE OF EVERYTHING

Abdul Qadar, Ramzan & Sons, Edinburgh

U P D AT I N G A

CLASSIC SMIRNOFF UNVEILS NEW BOTTLE DESIGN

EACH summer, the city of Edinburgh hosts a number of major festivals, from the International Film Festival to the renowned Edinburgh Festival and Fringe. Abdul Qadar, from Ramzan & Sons Newsagents, explains the effect these events have for retailers in the city.

How big is the impact that festivals have for retailers?

“It feels like we have a festival all year round in Edinburgh, from the film festival that starts in June and then all through the summer. We’re fairly central, and when the big festivals are on, it feels like the city doubles in size.

“The film festival brings celebrities and film premieres to Edinburgh, and that really gets people into the swing of the festival spirit. It gets people coming to the city from around Scotland and further afield.

“Once the Fringe kicks in, the streets are alive with performers, and every space in the city is filled. It’s bustling.”

What lines do well in your store when the festivals are on?

“Newspaper sales go up, which is a big bonus. Especially broadsheets like the Guardian and the Times. That’s because they’re covering the events – what’s happening and when, especially the Scotsman; papers have listings for all the events.

“We also get a huge amount of international tourists – this means we sell a lot of SIM card top-ups. Having these kinds of services really pays off. When customers come in for these things, they’ll buy sweets, soft drinks and other items like that.”

How do you prepare for the festival season?

“A lot of the suppliers will have special offers. They’ll come around to our store. There’s a huge support service that kicks in for retailers, because the suppliers are pushing their products and trying to increase their market share. There’s a huge mark-up out there for the retailer as well.

The effect is that soft drinks and alcohol companies are doing special offers.”

Do you do any special promotions in the festival season?

“We don’t really need to. The increased turnover of people coming into your store is the time to make some money, not give it away in special offers.

“You’re not trying to attract customers – they’re already on the streets. For me, special offers are not the purpose of this new revenue stream that becomes available during the festival period.”

What sales uplift do you see?

“You can see an uplift of about 20-30%, sometimes more. If the weather picks up, you can also get a boost in ice cream sales. The sheer volume of people on the streets has an automatic knock-on effect for our store.

“It’s a huge opportunity for Edinburgh’s retailers. A lot of them do things around the festival period and get rewarded with extra revenue.”

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CATEGORY ADVICE YOUR FESTIVAL GUIDE

26

SUPPLIER

DIFFERENT NEEDS FESTIVAL-GOERS will have a variety of different needs, depending on the kind of event they’re attending.

If your store is close to the site of one of the many music festivals that have sprung up in the UK in recent years, shoppers stopping off at your store will have very specific missions.

“At most festivals, glass bottles are off limits, which is where canned pre-mix can shine,” says Bennett. “Con-

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GETTING SOFT DRINKS RIGHT

Amy Burgess, senior trade communications manager, Coca-Cola European Partners (CCEP)

venient and easily transportable, pre-mix is a category currently worth £280m in the off-trade, growing 16.8% year on year, with cans dominating this growth.”

Meanwhile, if your town or city is hosting a major festival, tourists are likely to be looking for soft drinks and snacks on impulse, alongside things like top-up for their mobiles, and local newspapers to get information on events.

“SOFT drinks are an essential addition to any festivalgoer’s backpack – particularly as statistics show that as many as over one-fifth of under-24s in the UK are now choosing to not drink alcohol at all.

“As the weather is often warm, people look for ways to keep themselves refreshed and hydrated throughout the day and into the night, which is why it is important for retailers to stock up with a range of formats and flavours to make the most of the opportunity and offer consumers choice.

“As many festival-goers choose to remain on site for the duration of the event, most soft drinks purchases are made in the days beforehand, or on the way, as people look to stock up in readiness for the weekend.”

GET ALCOHOL FESTIVAL-READY

Toby Lancaster, category and shopper marketing director, Heineken “AS soon as the summer season begins, retailers should be prepared for an increase in demand for beer and cider, as shoppers begin to look for more refreshing alternatives to take to festivals. Many shoppers will be looking to consume drinks within a few hours after purchase. If shoppers are unable to find the ciders and beers that they are looking for, retailers risk losing them to other stores. Where possible, it’s key to offer a chilled selection to cater for shoppers that are looking to consume on the day of purchase.

“What’s more, ensuring that the chiller is fully stocked and easy to navigate, by ranging categories and pack formats together, will improve the shopper experience, driving repeat sales. Convenient formats such as cans are essential in driving sales from festival-goers as they look to consume drinks on the go, often within two hours of purchase.

Retailers should also focus on the key brands that appeal to festivalgoers such as Desperados, Strongbow, Old Mout and Red Stripe, to ensure they have a range to suit customers to maximise profits.”

the stat

Top

tips Five top tips for making the most from the festival season

01

20% of under-24s do not drink alcohol

02 03

04

05

Think about all the things your customers might need Whether they’re attending Glastonbury or a local food festival, shoppers will have a wide range of needs, such as sun cream, umbrellas, soft drinks and glitter. If your town or city is hosting an event, ensure you’re well stocked on the items tourists might be looking for.

Cross merchandise Put the items festival-goers will be looking for together in your store. For example, put summer drinks close to items such as sun cream and snacks.

Seasonal promotions Make your festival and summer events section as prominent as possible. Consider promotions and link buy offers on items customers could be looking for on their way to a festival to encourage upselling.

Have a strong chilled alcohol offering Fifty-five per cent of alcohol is consumed within two hours of purchase, according to Global Brands. Have a selection of your bestsellers pre-chilled and ready for grab-and-go customers.

Get on trend Every summer, festival-goers will be interested in new trends. Use social media, TV ads and magazines to get a sense of what your customers might be looking for.

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18 JUNE-1 JULY 2019 betterRetailing.com

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PROFILE

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18 JUNE-1 JULY 2019 betterRetailing.com

RETAILER PROFILE ALAN MANNINGS SHOP ON THE GREEN Location: Chartham, Canterbury Shop size: 500sq ft Staff: Three full-time

‘I WANT TO BE DIFFERENT’ TAMARA BIRCH ALTHOUGH only starting his business 18 months ago, Alan Mannings has found supporting the local community is vital for running a successful village shop.

The Shop on the Green supports an ADHD group, and a runners group which encourages the community to participate in the ‘Couch to 5k’ movement.

“Before we donated, organisers of local groups were worried about funds,” he says. “Now, the ADHD group has space to meet weekly and the running group has hired three coaches.

“I’ve discovered over the past two years it’s not always about me as a retailer, or my store. It’s customers and the community that will keep me in business, so I get as involved as I can,” he continues.

Like many independents, Alan knows how important getting online is to driving sales and increasing a store’s presence. He recently ran a raffle via social media to boost digital engagement with his customers.

“Facebook has played a huge part in increasing our presence as a store,” he explains. “Our most recent project, hosting a

raffle, was a huge success and we gave the winner a bottle of gin, and donated the proceeds to charity.”

Mannings puts his customers at the forefront of his business, letting children scan their parents’ shopping, for example, as a way to build the friendly atmosphere in his shop. “Children and their parents love it because they learn something new, too.

This screams to me how close we are to our customers, and how valuable we are as a business,” he adds.

Mannings’ store is now stocked with a large range of locally sourced products and leading brands. The challenge for him was stocking a range that appealed to the village residents. “Finding the right products to stock has been a challenge. When I took over the store, only Polish brands were stocked,” he explains. “I thought

Why should you care about illegal tobacco?

about who my customers were and what I wanted from this business, so I now stock the essentials, like bread and milk, plus that little extra. I also didn’t want to run a store that’s exactly the same as my competitors.”

Local ale was a key investment for Mannings, and is now one of his most popular ranges.

Recently, the shop became part of the Londis brand, but he is determined to maintain his relationships with local businesses.

He says: “Before I started building these relationships, many of my customers didn’t

IT’S CUSTOMERS AND THE COMMUNITY THAT WILL KEEP ME IN BUSINESS

even know Canterbury produced a local ale.”

“I’ve made it a mission to support local businesses, and now we’re joining Londis they’ve encouraged us to keep supporting them as best we can. Helping local businesses has increased our presence in the community, which is what it’s all about.”

With a short history in retail, Mannings says he’s been faced with many obstacles, but has learnt from his mistakes.

“I’d advise any retailer to avoid stocking up more than you need.

Retailers may have a popular product, but there’s no guarantee how long it will stay popular for,” he explains.

Alan is certain he’s made the right decision moving into the retail sector, and is enjoying getting involved with his community.

He says: “I enjoy the social interaction I get every day, and the support I get from my team makes it all worth it. We learn from each other, which is a valuable skill to have.”

customers the way you want to be treated 1 Treat “You never know what your customers are going through, so strike up a conversation with them and ask them how their day is,” Alan says.

“Giving a personalised service makes their day better.” yourself with a great team 2 Surround

“A good team will be a valuable asset,” he advises.

“I couldn’t run a store without mine – we’ve learned and grown together in the past 18 months. My team also want to improve the business.”

To see more photos of Alan’s store, go to betterRetailing.com/ shop-on-the-green-chartham

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involved in the community 3 Get

“I want to create a community hub, and the local area will visit often and offer to help with deliveries,” he says. “I’m involved in the community because running a business is not always about yourself.”

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