2020/21
THE CONVENIENCE GUIDE SCOTLAND Insight & advice for convenience retailers
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CONTENTS
6
12
For merchandising advice and FREE display aids please contact
0131 343 7602 remember...
FROZEN IS AS GO AS FRESHOD !
4
8
5 THE CONVENIENCE GUIDE
10
FROZEN DESSERTS
18
Welcome to a retailer’s resource.
6 INSURANCE Forum Insurance offers expert opinion on the state of insurance coverage among retail businesses.
Increasing sales? It’s a piece of cake
As the leading frozen desserts brand in Convenience, Coppen rath & Wiese is helping to shape the whole market in a bid to reinvigorate the category and inspire consumers to purchase more frozen desserts . The frozen dessert category is worth circa £146m1 and presents a huge opportunity for retailers . Cheesecakes maintains its position as most popular sector, accounting for 21.5%2 category share.
“Chocolate Fudge Cake is a fantastic seller due to it being quick and easy to prepare whilst still being ultimately indulgent”
8 EPOS
Increase your sales with promotions
• Meal Deal promotion s encourage the shopper to buy additional items to their normal shop, such as a frozen dessert. Indulge the consumer with your meal ideas to increase sales and introduce new products.
Henderson Technology highlights the features and benefits of an effective EPOS system.
Make the most of your
01977 55 77 37 info@coppenrath-wiese. com www.coppenrath-wiese.c om @coppenrath.and.wiese.uk
“Meal Deals will tempt your shoppers - driving sales through impulse purcha ses”
space In such a small space it is important to keep freezers clean, tidy and well organised so consum ers can easily see and pick up products
Find out more about C&W:
10 HYGIENE Sofidel brings innovation to the market with a product that should help to tackle the spread of coronavirus.
Stock the right produ cts
For Convenience retailers freezer space is a premium so stocking the right products is essential
• A fruit-based cheesecak e and a chocolate • If space permits, it’s gateau are a must-stock great to introduce to ensure that lines that enjoy a bit of shopper favourites are resurgence always available and in popularity thanks to display a good variety baking TV in the freezer. programmes, such as C&W’s Lemon • Always allocate more freezer space for the Meringue Pie or Raspberry bestsellers but don’t forget Pavlova. that shoppers • Christmas and Easter are also interested in new see the highest options. category uplifts. Ensure you stock up for those events.
• Clear pricing is key to avoid shopper fatigue and price confusion.
• To make the freezer an attractive addition to the shopping experience , be bold and creative with displays.
@VickyCoppenrath
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• Merchandise your bestsellers level to catch the shopper’s at eye attention. Cheesecakes and Gateaux are popular categories; together the most they account for 50% of all desserts sold in Convenience3.
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38
12 DELIVERY Edinburgh-based home delivery platform Shoply on one of the hottest trends in convenience retailing and why it has life even as coronavirus restrictions are lifted.
13 CATEGORY MANAGEMENT Top brands in Scottish convenience provide an overview on their category, offering merchandising advice and more.
BOURTREEHILL
J O I N D AY - T O D AY
IRVINE
www.uniteduk.com
UnitedWholesaleScotland
www.day-today.co.uk
MyLocalDayToday
TO BECOME THE V E RY B E S T I N R E TA I L !
www.usave.org.uk
“Day-Today have undertake n a full critique of my store and they have delivered The team at Day-Toda y have made a number on every point. of positive changes to so I’m now making the the store layout sales floor work much harder. My sales have never
been higher and my customer s love what we’ve done with the store.” Imran Ali”
THE BIGGEST & BES T SYMBOL GROUP Community Focused
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34 FASCIA & FRANCHISE The symbol leaders and franchises supporting Scotland’s convenience stores set out their stall for retailers.
IN SCOTLAND
Stores
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CO-OWNER IMRAN ALI
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For merchandising advice and FREE display aids please contact
0131 343 7602 remember. ..
FROZEN IS AS GOO AS FRESH! D
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EDITORS INTRO
Expert insight at your convenience Scottish Grocer editor Matthew Lynas says this year’s Convenience Guide has plenty to offer c-store retailers THIS year’s convenience guide comes to you at a strange time for Scottish retail businesses – but equally, it’s a time with opportunities like never before. Scotland’s convenience retailers have proven throughout the coronavirus crisis that they really are the cream of the crop, but as ever, there’s always room for improvement. Whether that means introducing a new delivery offer, reassessing some key categories in store, or making sure your business has the kit and coverage to prosper in an unpredictable business environment, I hope you’ll find plenty of valuable advice in this year’s Convenience Guide. I know that Scotland’s retailers are an adaptable bunch who aren’t afraid to invest in their business and make changes as and when they are required. The willingness to listen, learn and try new things is one of the most impressive qualities possessed by convenience retailers in Scotland and I’m sure that you’ll take the advice that follows on board and apply it in a way that’s suitable for your business. Inside this year’s Scottish Grocer Convenience Guide, you will find plenty of advice and discussion of categories that are key to c-store success. Things kick off in the world of insurance, with an insightful Q&A from the team at Forum Insurance. Forecourt retailers in particular may wish to take note, as the
Scottish Grocer editor Matthew Lynas.
team at Forum Insurance has plenty to say when it comes to offering bespoke coverage solutions for Scotland’s filling stations. An integrated EPOS system can make a huge difference to the performance of any convenience store and the experts at Henderson Technology have weighed in with their views on what makes for a great package. Effective use of EPOS is one of the core components of a retail business that Scottish Grocer Awards judges look out for in every store we visit and I can say from first-hand experience that when retailers get this right, it’s clear to see across categories throughout the store. If coronavirus has done one thing for Scotland’s convenience sector, it’s been to accelerate the growth of delivery services at a rapid rate.
Some of the top brands in Scottish convenience have offered their expert advice.
As the big four supermarkets struggled to meet demand at the start of the crisis, Scotland’s retailers stepped up to plug the gap – and their businesses have benefited in the process. You can hear more about convenience store delivery inside as Shoply weighs in on why the trend may be here to stay even as lockdown measures are eased. There’s also some innovation in hygiene products – which are more important than ever – from specialist Sofidel. The second section of this year’s Convenience Guide focuses on category management. In this section, you’ll find some great guidance from leading brands that can be found in convenience stores across Scotland. Categories covered in this year’s guide include: beer; gin; frozen; cigars; biscuits; forecourt fuel; chilled; tea; and nicotine pouches. All of these categories offer real potential to generate vital incremental sales for your business, so it’s well worth taking a look at what leading brands have to say, Hopefully you’ll come away with a few ideas to implement in your store. Rounding off this year’s Convenience Guide, our fascia and franchise section offers retailers a breakdown of some of the top names in symbol retailing. Signing up to a fascia or franchise is a big decision for any business and one that’s worth researching thoroughly. Thankfully, some of the biggest brands in convenience retailing have set out their stall in this year’s Convenience Guide, so there’s plenty of information for retailers to go on. This year’s fascia and franchise section includes contributions from Costcutter, One Stop, United Wholesale (Scotland), JW Filshill, and CJ Lang. I hope you’ll make the most of this Scottish Grocer Convenience Guide 2020, which comes to you at a critical moment for the industry.
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INSURANCE with Forum
Protecting firms for thirty years
Forum Insurance offers complete coverage How would you assess the insurance coverage of small businesses in the UK? 70 % of SMEs are under-insured. As specialists in retail and forecourt risk, Forum Insurance has helped hundreds of business owners obtain the correct insurance coverage. Often, we find commission operations, sole traders and even full commercial forecourt retail sites are incorrectly insured, usually with considerable gaps in cover or a significant element of under-insurance. Why are so many SMEs under-insured? Traditionally, petrol stations and convenience retail were written under an enhanced motor trader’s policy; these policies have the addition of cover for forecourt canopies and liability, as well as sometimes for air pressure and water plant. However, these policies were never really intended to cover the risks of petrol stations and retail in the way we see petrol station businesses set up today. What risks are there today? Most forecourt and retail operators
have been in “the game” for a long time and very often are more than experts in running their businesses. However, not every business owner will have the time or background to assess their insurance needs with full confidence; this is where Forum Insurance can help. Do you offer reviews and quotations? We offer non-obligatory reviews and quotations, delivered by our specialist insurers and account executives, who all have a minimum of five-years’ experience in the sector. We create bespoke insurance programs to suit every budget and requirement, supporting our clients with the best class policy wording and claims solutions. Call an expert today on 0203 514 0838 or send us an email and we’ll get in touch straight away. How much experience does Forum Insurance have in the insurance sector? Forum Insurance started in 1990, founded by Barry Mamtora, initially with just two people, to now a steadily
The majority of SME businesses in the UK are under-insured according to industry experts at Forum Insurance.
Forum Insurance has been supporting businesses in the UK since the family firm was founded in 1990.
growing team of 15. As a family business, originally providing only personal insurance products such as car and home, Forum Insurance has expanded its roots into the wider insurance market. Building deep relationships with insurers with the support of longstanding clients and family, we are now leaders in specialised areas of insurance such as for petrol stations and retail forecourts in the UK. We are currently writing some on the most complicated risks for commercial sectors and able to place specific policies on cover that others may struggle with due to our healthy insurer relationships. Forum Insurance has been growing over the 30 years, now employing the entire family full-time, with one belief that has been at the core of the company; look after our clients and our clients will look after us. As we are now celebrating 30 years of serving clients, we have set an incredible foundation to move forward to the next stage of our growth, which we are very excited to embark. We thank all of our loyal clients who have been with us year after year. Give us a call if you would like one of our experts to take a look at your business risk, ensuring you are fully protected, on 0203 514 0838. In this challenging time, we wish health and peace to all. Stay safe.
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WWW.FORUMINSURANCE.COM
FORECOURT & RETAIL SPECIALISTS 30 Years in business
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GET A QUOTE
0203 514 0838 Forum Insurance is a trading name of Forum Finance Limited, which is authorised and regulated by the Financial Conduct Authority (FCA) No: 305819. Not all products and services offered are regulated by the FCA. Registered in England and Wales number 02524970. Registered Office: Sai Maa House, 181 Kenton Road, Harrow, Middlesex, HA3 0EY.
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EPOS with Henderson Technology
Reliable tools that get the job done Henderson Technology has plenty to offer retailers EPOS (electronic point of sale) systems are essential to running a good convenience store and retail forecourt sites. When the Henderson Group made the decision in 2010 to develop its own EPOS system to fulfil the demanding and innovative needs of retailers in Northern Ireland, the business undertook a task that was completely different to any other EPOS company. They designed the EDGEPoS system around a number of experiences within the retail environment. Over the past ten years EDGEPoS has continued to develop by responding to retailer requests and market research in order to integrate innovative third party offerings. This allows Henderson Technology to offer a cost effective way of supplying an award winning EPOS system which can include Self-Checkout, ESELs, Scan & Go App, Pre-Order and Pre-Pay Food to Go and Grocery App; and the 2019 Mobile App of the Year, Gander, which shows in real time an individual store’s
reduced items to their community of shoppers in their area. It is essential to provide a reliable EPOS system to the convenience market, which allows each retailer to be flexible in the way they run their business. EDGEPoS offers three key sectors to retailers – Operational Efficiency, Security and Business Development. Henderson Technology offers the complete system in a 60 months lease agreement, taking out any initial up-front payment. New Hardware, EDGEPoS Software, 24/7 365 Software Support and Hardware Maintenance are included in the agreement, and retailers will never be charged for upgrades over the five year period. Some key features included on EDGEPoS are Self Populating PLUs, Customer Loyalty integration, Local Accounts, Advanced Age Checking, Sales Based suggested Ordering, Automated Report Scheduling and Password Audit Trail to name a few. Fuel is fully integrated with full bunkering
Henderson Technology’s EDGEPoS EPOS system offers forecourts full fuel integration with bunkering facilities.
facilities. The upcoming Self-Checkout launches for BP and Texaco sites will allow more fuel sites to offer a Self Serve option in-store. Park’s Motor Group in Lanarkshire, which operates four Keystore Express and JET branded forecourts, have become the latest retailer to install the award winning EDGEPoS system. Ian Mackay, director of the group, said: “EDGEPoS was recommended to us by a local JET retailer who had it installed in 2019 and we decided to look at the system for all four of our locations. We quickly made the decision to install EDGEPoS and it has gone live this week across the Group, including the Head Office system which now gives us full control of all four sites remotely. “The system meets our needs for the fuel side of our business, while providing an easily operated and efficient frontend till. The installs all ran smoothly with minimum disruption and full on-site training was provided at each site.” Darren Nickels, retail technology operations director of Henderson Technology, said: “We are delighted that Park’s Motor Group made the decision to install EDGEPoS across their four sites. “We are growing our EDGEPoS network across Scotland, and having Park’s Motor Group on board is a great additional to our network. We look forward to a long and productive business relationship with the entire team.” EDGEPoS is live in more than 600 sites globally, and provides an all-in-one retail platform that delivers EPOS, selfcheckout, home delivery and click ‘n’ collect app, ESELs, and much more to forward-thinking retailers. Henderson Technology is in the top ten largest EPOS companies in the UK and celebrates ten years of EDGEPoS and the 600th install in March 2020. • www.henderson.technology sales@henderson.technology
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TAKE CONTROL OF YOUR FORECOURT
Work with a team who can deliver the most dynamic EPOS system in the market today. > Reliable, fast and flexible software > 24/7 customer support > Global customer base > Award winning innovation > Easy to use
www.henderson.technology
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Call today on 028 9094 1900 or e-mail us at sales@henderson.technology
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HYGIENE with Sofidel
Helping to keep shoppers safe Disposable wipes to help tackle coronavirus Nicky Defend – a new way of living? 2020 will be a key milestone of our time. Marking the vital change of human behaviour and how we live our lives. The pandemic has brought a dramatic transformation, regarding the importance of hygiene safety. At Nicky, we are continuously looking for innovative paper solutions with added value to offer our customers. As a result we have created our new Nicky Defend Hand Towels, to provide an innovative method of maximising the use of hand towels. Supporting a key element of Scotland’s FACTS campaign, which emphasises cleaning your hands and surfaces regularly, Nicky Defend is perfect to offer support in this crucial matter. It is a unique disposable hand towel, providing a safer approach for personal, household hygiene and for all other uses. One of the key elements of the product is that it includes antibacterial – helping to reduce the spread of germs and bacteria on hands, towels and surfaces in and out the home. Nicky Defend is a more hygienic approach than using a traditional hand
towel. It is not a wet towel but a unique dry towel. It is a compact pack which can easily be placed in any storage space assuring better performance. The product can easily be disposed of, in bins and is a soft 100% biodegradable towel made with unique advanced technology, which enables the paper to dissolve harmlessly individually in water. Our sales manager Richard Neave states: “We are currently operating in very challenging times, therefore it is essential to recognise customer requirements. Nicky Defend marks a crucial innovative growth within Sofidel, not only have we created a bespoke product but have also reacted promptly to current market requirements.” Nicky Defend is currently available at JW Filshill Ltd and United Wholesale Scotland Ltd. • Founded in 1966, Sofidel is an Italian manufacturer of hygiene products and one of the largest tissue paper makers in the world.
Sofidel said its new Nicky Defend hand towels can help consumers comply with government advice.
Sofidel, the firm behind Nicky, has created a new disposable antibacterial hand towel which helps to reduce the spread of germs and bacteria across surfaces.
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DELIVERY with Shoply
Delivering success John Robertson, chief executive of delivery platform Shoply, talks growth in convenience THE pandemic has impacted all life to an extent that we’ll never fully revert to the way life was pre-COVID. How we consume information and goods and how businesses in return engage with us has changed. The highstreet, traditionally dependent on footfall for sales, has had to react swiftly and deftly to counter a damaging drop in in-store traffic and revenue that was brought on by a government directive to lock down the nation and compounded by a widespread fear of transmitting the virus. These two factors have influenced consumer behaviour across every segment of society; people who would typically choose to visit stores have relied on community support to buy
groceries, or have turned to retailers who can deliver to them. So great was the pull on home delivery at the start of lockdown that supermarkets were quickly overwhelmed and simply could not cope with the demand. In stepped local convenience stores, bridging the gap to get provisions out to people within significantly reduced timeframes. In the first six weeks of lockdown, sales to retailers on the Shoply platform soared by over 500%. We added up to ÂŁ10,000 a week in additional sales to our retail partners, with an average online basket spend three times that of in-store. Diversification out of necessity has unexpectedly demonstrated to business
owners a new, and Shoply boss John Robertson. perhaps more sustainable, pathway to the future. The HIM & MCA Insight UK Recovery Report 2020 revealed that 29% of shoppers are now shopping online for food and drink more than before the lockdown began, and 20% of these shoppers plan to continue to use grocery delivery services. This rises to 36% of 25-34-year-olds, the research finds. The Association of Convenience Stores has also reported that c-stores are making around 600,000 deliveries every week across the UK. Convenience has therefore taken on a digital not physical form; home delivery is here to stay.
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CATEGORY MANAGEMENT
It’s never the wrong time to make sure each category is working in a convenience store, it makes all the difference
Managing your way to success
THIS year has seen many convenience stores enjoy unprecedented growth, although it hasn’t come without challenges. Scottish shoppers seem to have woken up to the benefits of supporting their local shop. Convenience stores acted as a crucial lifeline for many during the height of the coronavirus lockdown and for many retailers, the job now is to keep those customers coming back as restrictions ease. Maintaining footfall is challenging enough, but when customers do cross the threshold it’s vital that retailers make the most of the opportunity. That’s why category management is so important to retailing success and well worth the effort in store. At its core, category management is all about what goes where, when and how. • Is that beer display working on a Friday night? Are customers able to find what they’re looking for easily? • Can commuters popping in for a top up shop be tempted by ‘something for tonight’? • What can be done to help that highmargin NPD take off?
• How can we generate in-store Striking the right balance theatre? of brands, variants and • Are customers aware of new and emerging categories in store? Do staff pack formats in an easy to have the product knowledge to explain navigate format requires the latest NPD? local knowledge, which Store flow is also, of course, key to a pleasant shopping experience. Scotland’s convenience • Where are the snacks in relation to the retailers have in spades. off sales area? • How easy is it for customers to find knowledge, and it’s up to retailers to their way to grocery staples, and what decide what will work and what will not in brands and categories might they see their store. along the way? Striking the right balance of brands, • What SKUs sit at eye level? variants and pack formats in an easy to • Where do promotions work best in navigate format requires local knowledge, store? which Scotland’s convenience retailers • How can you get complementary have in spades. categories working together to improve But some things are universal and there performance for both? can’t be a customer in the country who When customers visit a convenience wouldn’t welcome an engaging yet easy store, they want a simple, to navigate fixture. straightforward, speedy and pleasant Hopefully, you’ll pick up some helpful shopping experience. It’s down to hints and tips overleaf that you can give the convenience retailer to make a try. that happen, while generating some There is certainly plenty to consider incremental sales along the way. when getting down to the nitty-gritty of If category management is done right, category management, but those who customers will feel like they are in a wellcan present a well-merchandised section managed store and should be able to for any category should reap the rewards navigate fixtures with ease. a the till. Customers will of course have their preferences, favourite brands, variants and pack formats that have become their “go-to” purchases over the years. But preferences can change and effective category management should also entice shoppers to try something different. Retailers know how to sell, but there’s no harm in tapping into the latest insights from the big brands. In this next section, category leaders will share their Easy to navigate categories should keep tills ringing in store.
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BEER
Launching
1st Sept 2020
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FROZEN DESSERTS
Increasing sales? It’s a piece of cake As the leading frozen desserts brand in Convenience, Coppenrath & Wiese is helping to shape the whole market in a bid to reinvigorate the category and inspire consumers to purchase more frozen desserts.
“Chocolate Fudge Cake is a fantastic seller due to it being quick and easy to prepare whilst still being ultimately indulgent”
The frozen dessert category is worth circa £146m1 and presents a huge opportunity for retailers. Cheesecakes maintains its position as most popular sector, accounting for 21.5%2 category share.
Find out more about C&W: 01977 55 77 37 info@coppenrath-wiese.com www.coppenrath-wiese.com @coppenrath.and.wiese.uk
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@VickyCoppenrath
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Stock the right products
For Convenience retailers freezer space is a premium so stocking the right products is essential • A fruit-based cheesecake and a chocolate • If space permits, it’s great to introduce gateau are a must-stock to ensure that lines that enjoy a bit of resurgence shopper favourites are always available and in popularity thanks to baking TV display a good variety in the freezer. programmes, such as C&W’s Lemon Meringue Pie or Raspberry Pavlova. • Always allocate more freezer space for the bestsellers but don’t forget that shoppers • Christmas and Easter see the highest are also interested in new options. category uplifts. Ensure you stock up for those events.
Increase your sales with promotions • Meal Deal promotions encourage the shopper to buy additional items to their normal shop, such as a frozen dessert. Indulge the consumer with your meal ideas to increase sales and introduce new products.
“Meal Deals will tempt your shoppers - driving sales through impulse purchases”
Make the most of your space
In such a small space it is important to keep freezers clean, tidy and well organised so consumers can easily see and pick up products • Clear pricing is key to avoid shopper fatigue and price confusion. • To make the freezer an attractive addition to the shopping experience, be bold and creative with displays.
1 KantarWPO;frozdessexcIC;52w/e29.12.19
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• Merchandise your bestsellers at eye level to catch the shopper’s attention. Cheesecakes and Gateaux are the most popular categories; together they account for 50% of all desserts sold in Convenience3.
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CIGARS
A CATEGORY YOU The UK Cigar Category
Stocking the best-selling products
The Cigar category is well established and may not be as dynamic or fast moving as something like Vaping, but it is still worth just under £195m in annual UK sales, and the products within it typically offer three times better profit margins than cigarettes, so it’s absolutely one that is worth getting right. Scandinavian Tobacco Group is by far the biggest player with just over 60% of all cigars sold in Scotland.
We’re very fortunate to have a portfolio which ticks all the boxes when it comes to the UK Cigar market. The Signature range accounts for over 50% of all cigars sold in Scotland, led by Signature Blue, which is the UK’s favourite cigar, well renowned for its smooth taste. It is complemented in the brand family by Signature Original, Signature Finos Blue, Signature Red Filter and our recently launched Signature Filter Cigarillos which come with an acetate filter containing a peppermint capsule under a lasered marker. In addition, a carefully selected blend of Virginia tobacco and a light real leaf Ecuadorian wrapper deliver a smooth taste. All this for a low out of pocket price of just £4.95!
Recent trends The key trends in the cigar category have remained pretty consistent over the last Over few years. First, there is the 68% continued rise in Miniature of cigars sold cigars which now account are miniatures for over 68% of total sales in Scotland. Secondly, we have seen a consistent growth in the popularity of value for money cigars amongst adult smokers. More recently during the coronavirus pandemic, we have seen sales of our larger format cigars being particularly positive. In fact, sales out from our warehouse of our Henri Wintermans Half Corona were up 20% in April, compared to the same time last year.
...during the coronavirus pandemic, sales of larger format cigars have been particularly positive.
UK’s No.1 Med / Large cigar
UK’s No.1 selling cigar brand
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CAN COUNT ON Aside from Signature, we also have Moments Blue, which is the UK’s fastest growing cigar and second best-selling Miniature cigar, and finally our Henri Wintermans Half Corona holds the position as the UK’s favourite Medium to Large cigar, so if convenience retailers stock these three number one brands as a minimum, they should be able to perfectly meet the needs of each and every one of their cigar customers. It’s worth noting that the top ten cigar brands account for nearly 90% of total sales, so there’s little point offering your customers a huge range.
As Value for Money sales are still growing, Moments Blue is a key brand to stock
Importance of your cigar customers The regular adult smokers who visit your store throughout the week might very possibly be among your most loyal and highest spending customers, so it makes sense to treat them accordingly! We all know that their associated basket spend can often be significant too, so always keep their brands in stock and don’t give them a reason to shop elsewhere.
THE LATEST ADDITION TO THE BEST SELLING RANGE
P E PPER MINT C L I CK FILT ER
10
PACK LOW OUT OF POCK ET PR ICE
Data source: IRI MarketPlace. Total market. Market Share. Time period: w/e 14-06-2020, unless otherwise stated. All quotes attributable to Alastair Williams. Country Director, Scandinavian Tobacco Group UK Ltd.
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BISCUITS
Take a bigger bite of biscuits A £2.7bn category1
99% Bought by 99% of households2
£100 On average, biscuits are purchased 47 times per year3
and eaten 3.2 times a week by households4
Biscuit shoppers spend £100 per year on the category5
Today’s shoppers As shopping habits change due to COVID-19, stocking the bestsellers is more important than ever
12.7% Biscuit category sales surged 12.7% during the height of the pandemic in the UK6
Pre-lockdown, household favourites performed well as consumers stocked up on their favourite brands
During lockdown, more time at home meant there were many more hot drink occasions…
…This meant Everyday Biscuits and Everyday Treats performed particularly strongly
More time at home means more sharing, moments of togetherness and hot drinks, so stock products like sharing bags and bestselling everyday biscuits or treats to cater to these
“
The impact of COVID-19 will likely change the way we shop – and products and formats we favour – for the foreseeable future
“
Scott Snell, Vice President of Customer, pladis UK & Ireland
Suppliers have successfully unlocked £66 million of biscuit category sales growth – leaving
£264 million
left for retailers to take a bite out of over the next two to three years6
1 Kantar Worldpanel 52 w/e 29.12.19 2 Kantar Worldpanel 52 w/e 29.12.19 3 Kantar Worldpanel 52 w/e 17.05.20 4 GlobalData Per Capita Consumption 2019 5 Kantar Worldpanel 52 w/e 17.05.20 6 Kantar Worldpanel 12 w/e 17.05.20
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of biscuit sales come from only
of products – so stocking the bestsellers is vital7
We should never underestimate the importance of core products in the biscuit category. Focusing on the core by optimising product range and following our ‘Better Biscuits’ merchandising principles should be a top priority for retailers Scott Snell, Vice President of Customer, pladis UK & Ireland
“
gs
80% 8%
“
Top tips for merchandising Visit betterbiscuits.com for your personalised planogram, based on your store type and location
Primary travel:
Commuter:
Local Convenience:
Introduce branded shelf stripping for grab-and-go formats
Beacon brand with McVitie’s to help shoppers spot your fixture quickly
Place sharing, treatlines at the top of your fixture to drive visibility for higherpriced biscuits
Village Travel:
Rural Route:
Place everyday and lower value biscuits on the bottom shelf, with pricing progressing as you move up
Place higher value treat lines at eye level to encourage shoppers to trade up
Top 10 bestsellers in Scottish convenience8 1 McVitie’s Chocolate Digestives
6 McVitie’s Jaffa Cakes
2 KitKat
7 Blue Riband
3 Tunnock’s Caramel Wafer
8 McVitie’s Club Orange
4 McVitie’s Digestives
9 McVitie’s Gold Bars
5 McVitie’s Milk Chocolate Hobnobs
10 McVitie’s Rich Tea
Seven of the 10 bestsellers are McVitie’s Visit www.pladisglobal.com to download pladis’ Annual Biscuit Review 2019 and learn more about the biscuit category 7 IRI Info Scan - 52 w/e November 2019 8 EDFM, 26W to end 2019.
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FORECOURT FUEL SUPPLY AND BRANDING
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CHILLED
HOW TO GROW CHILLED SALES & CUSTOMERS
CREATE OCCASION SHELVES 62% of adults aged between 18 - 34 consume at least one ready meal each week.**
STOCK BEST SELLERS • MCINTOSH 250G MACARONI CHEESE • MCINTOSH 340G HAGGIS, NEEPS & TATTIES
Chilled meals make a great lunchtime purchase. You could offer a chilled category meal deal to encourage lunch sales. Quick, impulse dinner purchases are also key for chilled sales, merchandise meals with accompaniments such as salads or garlic bread for example.
• MCINTOSH 340G FLAVOURED MACARONI CHEESE
CONTACT JOHN BUTTAR FOR STOCKING ENQUIRIES: 07860739240 * 52wks ending Feb 2019 - Kantar Worldpanel **Levercliff 2020 *** Nielsen Insights 2019 Strathmore - CG - linda.indd 1
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No1 READY MEAL
Our 250g Macaroni Cheese pot is the best selling ready meal in Scotland selling 2.9m units every year.*
WHY STOCK
MCINTOSH
IT’S MADE LOCALLY McIntosh ready meals are made right here in Scotland using locally sourced ingredients where possible. 58% of customers prefer to purchase local when the option is available.***
KEY BASKET ITEM McIntosh ready meals are often purchased with other staples such as bread, milk, TV magazines and more.
WE ARE SCOTLAND’S FAVOURITE 65% of all branded ready meal sales in Scotland are McIntosh* making us Scotland’s favourite ready meal brand!
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TEA
The calming taste of normality that’s tea This year has been anything but ordinary. Health concerns and worries over financial stability, whether personal or business have changed many things including how people shop. A Changing Landscape From the early days of lockdown, tea and other everyday essentials have been in great demand and with more people at home, the opportunities for tea have increased; tea occasions in home and carried out have grown 785m yoy. Kantar Usage yr to 17.5.2020
The rush to stock up boosted volume sales by 29% across impulse. In Scotland heightened focus on health saw ‘healthier’ segments like every day decaf and redbush rise 27% and 15.5% respectively. 12 weeks to 16.5.20 AC Nielsen Volume Sales Total Scotland.
With the worst of lockdown hopefully behind us, sales are beginning to settle down into more normal patterns, but tea sales within convenience and impulse have remained steady - good for sales of tea and complementary items like breakfast products, cakes and biscuits.
More people opting to shop locally means opportunities to stock not only items for the everyday and weekly shop, but also, to help strengthen relationships with new shoppers and build on the growth seen during the pandemic, products which shoppers might usually purchase in larger grocery stores. Size and Mix As well as type of tea pack, size needs to be considered. Smaller pack sizes popular for the top up shop continue to do well, but with more people deciding to shop more locally and less frequently, larger pack sizes like 80s, 60s and 160s are becoming essential stocks. For bigger stores, 240s are worth consideration. As shopper confidence returns, the mix of teas will be increasingly important. Look to cater to different tastes and complement the big sellers of everyday
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black with a mix of teas you think will suit your customers. A select range of green and fruit and herbal teas, plus an essential decaf is a good place to start. Tetley has the top seller in everyday black and decaf and the number 2 in green, but also don’t forget the focus on healthy living, this can be an opportunity for functional food and drinks with added vitamins like Tetley Supers and for warmer day sales, consider Tetley Cold Infusions, great to add to water bottles to give a fruity burst to plain water for on the go hydration. Boosting Shopper Confidence Although shoppers have been trialling non branded products in the absence of their normal brands, tea shoppers like known brands, so keep an eye on the best sellers in each category and consider them for your list. For long term loyalty, stock availability, ease of shop and value will be top of mind for
shoppers. Make teas easy to find and place them close to complementary items, demonstrate value with select price mark packs and packs with extra free. This combined with an easy flow around store and a quick and easy checkout will help give customers confidence and help with customer retention. Keep an Eye on Developments No matter who we are, we have all felt a little out of touch recently. To help keep on top of all things tea, Tetley has a mobile, iPad and android friendly guide to the tea category at www.tetleyconvenience-sales-guide. co.uk with marketing insights, shelf plans, tips on what to stock, what’s selling best and how to maximise sales. We’re working to enhance the site to invite retailers to share their challenges and experiences so that we can learn from each other whilst keeping the tea market buoyant; good for customers and good for business.
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Stir up your tea sales with Scotland’s favourite tea brand Now we‘re talking Find more help and advice at www.tetley-convenience-sales-guide.co.uk
We are proud to be partnered with
*Source AC Nielsen 23.02.20
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NICOTINE POUCHES
Never Miss a Moment with Nordic Spirit WHAT IS NORDIC SPIRIT? • 100% tobacco-free nicotine pouch • A convenient, discreet nicotine product that can be used in situations where smoking or vaping might not be possible • The product has a gum base, which allows the pouch to fit comfortably under the top or bottom lip • Available in the popular Mint and Bergamot Wildberry flavours, and more recently Elderflower, in both 6mg and 9mg strengths – offering even more choice to existing adult smokers and vapers • Nordic Spirit has an RRP of £6.50* and recently unveiled a new design and Price Mark Packs to help drive sales
WHAT DO RETAILERS SAY? People have been asking for Nordic Spirit for over a year, and as soon as it became available in the UK, I made sure I was the first person to stock it in my area. A lot of people come back and say how good Nordic Spirit is, saying they’ve recommended the product to their friends and colleagues at work. The best way to stock Nordic Spirit is on the counter because they spark conversation with customers.” Mr Amin, Owner of ‘The Centre’, London
WHY STOCK IT? • Nordic Spirit is the UK’s leading tobacco-free nicotine pouch brand, with an 90.5% market share1 • Nordic Spirit has been the fastest growing nicotine pouch brand in the UK over the last 10 months2 • Currently, 88.9% of nicotine pouch sales in the UK come through the convenience channel3 • The nicotine pouch category in the UK is growing and is now worth £380,4104 a month, which equates to approximately £4.6 million a year5
TOP TIPS KNOWLEDGE IS KING: • Having up-to-date knowledge and keeping up with trends in the category is key • Customers will look to trusted retailers to advise them on new products like tobacco-free nicotine pouches, meaning retailers must be knowledgeable about the category and the different brands they stock to maximise sales and encourage repeat custom PRICE AND AVAILABILITY: • Through stocking a full, consolidated range and maintaining good availability, retailers can provide a successful nicotine alternative offering to their customers • Price remains a key factor for existing adult smokers and vapers when choosing where to shop, so retailers should look to remain competitive by selling at the RRP or below* to help drive sales DISPLAY: • 100% tobacco-free nicotine products should be placed in a prominent countertop display to help existing adult smokers and vapers understand the category and give them a chance to ask retailers about the product • Retailers are of course free to sell JTI products at whatever price they choose
To find out more, retailers should visit JTIAdvance.co.uk, or speak to their local sales representative. 1 IRi Market Place, Unit Share, Nicotine Pouch Category, Total UK, May 2020 2 IRi Market Place, Unit Share, Total Nicotine Pouch Category, Total UK, over the last 10 months to May 2020 (based on slope calculation) 4 IRi Market Place, Value Sales, Nicotine Pouch Category, Total UK, May 2020 5 IRi Market Place, Value Sales, Nicotine Pouch Category, Total UK, Annualised Figure Based on May 2020
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VAPING
Aquavape offers a range of retail solutions
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quavape have been a rising star within the world of Vaping and their focus within retail and convenience is really starting to bear fruit says Andy de Caso, operations director. “In 2014 we set our strategy to be retail focused as we always believed that over time the category would evolve from its specialist routes to market, to that of the mainstream bricks and mortar that shoppers frequently use every day. Over this time period we have built excellent trade relationships working with the likes of Asda, Sainsbury, Coop, Argos, Spar, Euro Garages, Bargain Booze, Moto, Welcome Break,
WHSmith’s, Road chef…. and many more. “We’ve worked hard to develop and evolve a portfolio of e liquids and devices that are relevant to all types of vaper and have created some great UK made flavours that are proven to drive repeat business for all Aquavape stockists. We’ve got something for every vaper with a wide product range featuring disposable and pod solutions plus our open tank kits, 50/50 & 80/20 e liquids. As part of developing the retail portfolio further, Ebrahim Kathrada, director, says: “We’ve recently signed an exclusive agreement to supply retail and
convenience with international multi-award winning brand, Vampire Vape. This allows us to supply Aquavape Liquids along with a recognised brand that is established as a leader within the vape shops, making our portfolio offering even stronger. FULL CATEGORY SOLUTION Two of the key category challenge’s retailers face is that of display and the knowledge and information they need to be able to provide to their customers. Kathrada goes on to say: “This is something we have been working on over the last few months and we believe that we have found a
range of retail solutions that are helping address these challenges. “Everywhere we have installed one of the display solutions, category sales have increased between 4050% with one store even achieving over £1,000 per week equating to 10% of sales, versus that of tobacco.”
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The Aquavape display units help address the following key areas: • Provides a full category home • Clearly displays all SKU’s and makes it easier to shop • Where selected, the interactive display allows customers to learn more about the products available, providing the relevant level of education and selection recommendations • Reduces queues at the till, freeing up staff time • Increases category sales As you will see from our adjacent advert, we have a range of solutions that can be adapted based upon the space available and the retailer’s requirements. Kathrada concludes: “We exhibited this range at this year’s National Convenience Show at the NEC, and response has been superb with a signcant number of leads going live with an AquaVape category solution.
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PosterUnits2019.pdf
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10:48
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FASCIA & FRANCHISE
Making the right decision is key CONVENIENCE stores work best when they offer something that the multiples and the discounters can’t compete with – an offer that is tailor made for their local community. Each store in Scotland will have shoppers with different needs, which means each shop should be different. This makes choosing a fascia or franchise option a vital decision for any retailer. Get it right and a store can thrive with the right range at the right price point for its customers. There is a lot to consider, but over the next few pages some of the biggest brands in convenience retailing will set out what they can do for you. Each offer is different and there’s plenty for retailers to consider. • Cost When choosing a symbol it’s worth considering the cost of goods – how competitively priced is the wholesale service? Does it feature structured pricing based on purchasing volume? If joining a symbol is going to require a refit, will there be financial support? If so, how much? • Obligations
What is the length of the agreement? Should you wish to change again, how would you get out of your agreement? Would you be subject to a minimum spend through the symbol’s wholesale package? • Range Flexibility is what gives an independent retailer an edge over the supermarkets, so how much of this will be retained through a symbol group agreement? Is there flexibility to respond to changes in demand? Will you have scope to change your offer to mirror trends and changing shopping habits? How does the symbol’s range line up with your customers’ needs? What’s their fresh offer like? Chilled? Food to go? Do they have arrangements with a specialist distributor? Is the supply line strong enough to maintain availability? Have they introduced a home-delivery solution? • Promotions Does your prospective symbol partner offer attractive promotions as part of a regular programme? Are they supported by marketing activity? • Technology How well integrated is the symbol group with the latest improvements to EPOS systems? Does the symbol have its own dedicated system, or does it have a recommended provider? Is the group going to help you keep updated with new technology, mobile apps, in-store beacons, mobile payments and digital loyalty schemes? • Own Label What does the symbol’s own-label offer
look like? Is the range extensive enough for your needs? Does the symbol offer own label at a quality and price point to match your competition? • Size Does the deal you’re considering suit the size of your store? Is there room for you to grow? Are there purchasing obligations that could be tough to meet? • Support What support does the symbol offer? Will you have access to planograms, merchandising support and other aspects of marketing? If your business runs into difficulties could you expect support from the symbol group?
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Turn your lifeline shoppers into lifelong shoppers Costcutter Long Buckby
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01904 232
505
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meet the team & Let us show Sector leading marketing for today’s digital shoppers you our stores Unique shopper insight to drive your sales
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and meet the team and let us show you our stores. Y Come www.costcuttersupermarketsgroup.com/fresh-start
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Supporting our Franchisees through COVID-19 Start getting the support you need
As we, and the country, found ourselves in unfamiliar territory, it has never been more important to feed our communities and support our franchisees who go above and beyond for their customers every day. Throughout the last few months, we have implemented a range of measures across our business to try and protect both our customers, colleagues and franchisees during the coronavirus outbreak. Their safety and needs have been at the heart of all we have done and continue to do.
providing POS. To further maintain availability we sourced additional lines and swapped out some fresh and ambient lines to Tesco branded products saving franchisees time sourcing these elsewhere. These are just some of the ways that we help support our franchisees daily, to make their lives simpler and is a great reason to partner with One Stop.
At no extra cost to our franchisees, we provided items such as; POS, screens, visors and hand sanitiser. As well as providing daily communications as the situation with COVID-19 evolves, keeping our franchisees updated with any changes and informing them of the latest advice from the government. To support our franchisees to continue to provide essential items to their customers, we advised on how to restrict bulk sales including
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Lets hear it from our franchisees “Great support from One Stop Franchise over the past week in giving us regular updates regarding stock availability on in demand lines. Also following their guidance, we are restricting sales on certain lines to 2 products per customer, a move that’s been well appreciated by customers.” One Stop Mount Nod, Aman Uppal
“Great support from One Stop, helping us to protect our team, in these difficult times, thanks guys keep up the great work! Thank you” One Stop Matlock, Dee Sedani
“We have had great support from One Stop, screens at counter, floor vinyls, 2 meters apart POS and hand sanitiser for customers and staff. Keeping us all safe and at no cost to the retailer.” One Stop Leamington Spa, Sunder Sander
Get in touch to find out how we could support you OneStopFranchise 01543 363003
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openaonestop.co.uk
@1stopfranchise JoinUs@onestop.co.uk
28/07/2020 13:55
BOURTREEHILL IRVINE
www.uniteduk.com
UnitedWholesaleScotland
www.day-today.co.uk
MyLocalDayToday
www.usave.org.uk
“Day-Today have undertaken a full critique of my store and they have delivered on every point. The team at Day-Today have made a number of positive changes to the store layout so I’m now making the sales floor work much harder. My sales have never been higher and my customers love what we’ve done with the store.” Imran Ali”
CO-OWNER IMRAN ALI
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CO-OWNER S AY I A D H A M I D
28/07/2020 14:00
J O I N D AY- T O D AY T O B E C O M E T H E V E R Y B E S T I N R E TA I L !
THE BIGGEST & BEST SYMBOL GROUP IN SCOTLAND
Community Focused Stores Best In-Store Promotions Award-winning marketing support Social Media training Dedicated Development team
C O N TA C T C R A I G LY N N
07469 149 375
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In-House Chill & Freeze Free POS Market Leading Technology Dedicated Support Team, Project Managers, Business Development Managers and an In-House Merchandising Team
“Our stores take great pride in servicing their local communities, providing a ‘one-stop-shop’ for all your essentials. Join Today!”
28/07/2020 14:00
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Roy Williams BDM East Scotland 07809903501 roy.williams@filshill.co.uk
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Robert Paton BDM West Scotland 07803518591 robert.paton@filshill.co.uk
Jeanette Gordon BDM England 07718486783 jeanette.gordon@filshill.co.uk
28/07/2020 14:00
Become a member of the most recognised symbol group in Scotland. Having decided that our existing symbol partner was no longer serving our needs as a business or the needs of our customers, we started the journey of looking for a new direction to take our business. We had productive meetings with various symbol groups but a chance conversation led to us contacting SPAR and the rest as they say is history. Initial meetings and a visit to the SPAR distribution centre in Dundee, made us feel that we were really valued, a feeling we had never had with any other group. From there it was all systems go. We negotiated our deal, SPAR designed a new store for us and we couldn’t be happier with the end results. From there a team moved in to restock and merchandise the store with new products, including a fresh range that is second to none. Our launch day was a great success with goody bags, a face painter and balloons as well as a leaflet distributed to support all the great deals in store. Feedback from customers has been fantastic and although we know our journey continues, we’re looking forward to the future knowing we’re in good hands as part of the SPAR family. It may sound like a cliché but for the first time ever, we feel like we’re part of a great symbol group, one that we would willingly recommend to anyone. Mohammad & Michelle Razzaq. SPAR Blantyre
Don’t just take our word for it. To join the best, award-winning business in Scotland.
Call us now on 01382 512000 SparScotlandOfficial
@SparScotland
@SparScotland
CJ Lang & Son Limited
CJ Lang & Son Ltd, Longtown Distribution Centre, 78 Longtown Road, Dundee, DD4 8JU
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Why SPAR? • • • • • •
A trusted brand A business partner 100 years of experience First class store development Offering best in class availability and distribution Award winning, market leading, exclusive SPAR brand products • Dedicated Account management In partnership together, we’ll help you drive profitability and grow your business – after all, we’ve been doing this for a long time.
www.cjlang.co.uk www.sparscotland.co.uk
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The Convenience Guide Scotland is a special supplement produced by: Scottish Grocer, The Albus, 110 Brook Street, Glasgow, G40 3AP | Tel: 0141 567 6000 Email: scottishgrocer@peeblesmedia.com www.scottishgrocer.co.uk
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