SYMBOL NEWS Booker to raise Spend & Save threshold

by Alex Yau alex.yau@newtrade.co.uk

Booker is to raise the minimum threshold for its Spend & Save rebate scheme, while including vaping purchases in the qualifying spend for the loyalty scheme.

The changes, which take place from 20 February, were communicated in letters sent to Londis and Budgens stores this month, while Premier retailers were informed in messages from their retail development managers.

The changes mean the firm’s symbol retailers will need to spend more across a four-week period to qualify for varying discounts across different bands.

The changes for Premier stores are:

• Qualifying spend for a 0.5% rebate to change from £10,000-£14,999 to £11,500-£17,249

• One per cent to change from £15,000-£24,999 to £17,250-£28,749

• Two per cent to change from £25,000-£34,999 to £28,750-£40,249

• Three per cent to change from £35,000-£44,999 to £40,250-£51,749

Blakemore invests in retail

AF Blakemore invested £19m in improving its retail and infrastructure operations during its last financial year.

This month, the wholesaler and Spar operator released its annual trading results for the year ending 1 May 2022.

The company’s chairman, Peter Blakemore, said that group sales grew 19% year on year, despite challenges in the supply chain.

• Four per cent to change from £45,000-£54,999 to £51,750-£63,249

• Five per cent to change from £55,000+ to £63,250+.

Meanwhile, Budgens stores have an additional tier of 6% rebate, with the preceding thresholds differing from Premier and Londis.

One Budgens retailer claimed the threshold for the 6% rebate is to increase from £65,000+ to £74,750+.

Londis retailers told RN that they were unaware of any changes to their rebates.

In the same letter, stores were also told that vaping purchases would be included in the qualifying spend.

In it, Booker Group Retail managing director

Colm Johnson said: “Vape is fast becoming an important part of every retailer’s offering, so I hope that you will be able to take advantage and further enhance your Spend & Save rebate on vape purchases from Booker Retail Partners and Booker Wholesale.”

The inclusion of vaping is likely to affect the purchasing of retailers and any loyalty schemes they participate in. One affected store owner, who asked not to be named, told RN: “I purchase all my vaping products from third-party suppliers, and none from Booker. I’m encouraged to go to these suppliers as they have their own rewards programmes, but this decision from Booker will make me rethink how

I buy vapes from now on.

“I spend £5,000 a week on vaping products, but I will probably have to shift a proportion of this to Booker. I’m not worried about meeting the increased threshold, however, as my spend when it includes vaping will be more than enough.”

A Booker spokesperson said: “Following customer feedback, we are delighted to announce that retailers will now have the opportunity to earn discount on their vape spend with Booker.

“This is one way we’d like to say thank you to our customers for choosing Booker and help with their profitability. The new discounts will start from 20 February 2023.”

Bestway bags 3.45% Sainsbury’s share

Bestway has acquired a 3.45% share of Sainsbury’s, according to messages sent to the multiple’s investors.

A notice published on 27 January said the wholesaler and symbol operator had purchased the holding after trading closed the day before.

The holding is valued at approximately £193.4m at the time of purchase.

A statement from

Sainsbury’s said Bestway “is not considering an offer for the company”.

However, former Costcutter founder Colin Graves later told the Telegraph he had advised Bestway managing director Dawood Pervez to make a Sainsbury’s takeover less than a year ago.

Explaining the new shareholding, the supermarket stated Bestway's decision was driven by

“investment purposes”.

Sainsbury’s added: “Bestway Group may look to make further market purchases of Sainsbury’s shares from time to time.”

Sainsbury’s attempted a short-lived expansion into wholesale, beginning in 2020 and ending in 2022, leaving a trail of frustrated convenience store groups and owners in its wake, including the now Bestway part-owned chain SimplyFresh.

Last month, Bestway Group released its annual results for the year ending 30 June 2022. Revenue grew by 11% from £2.66bn to £2.94bn.

The company attributed its growth to the acquisition of Costcutter at the end of 2020.

Pre-tax profit nearly doubled from £37.2m to £70.8m.

He added: “It is a direct result of the team commitment and investment made in the previous year to stabilise outbound supply, invest in new format propositions and continue to develop our IT systems to optimise sales and margin opportunities.

“Opening our Bedford depot provides supplychain security and enables greater stock holding at a time when many manufacturers continue to struggle with inbound availability.”

Co-op in supply pledge

Central Co-op has pledged its stores will not be affected by the company moving its distribution to Co-op.

The regional chain is to shut its three distribution centres down as it plans to transition supply to Co-op from next year.

The purpose is to help Central Co-op support expansion across England.

Central Co-op chief executive Debbie Robinson said: “As we grow and invest in the society to support communities, we need to be ready for the future, and we have now outgrown our current distribution facilities.”