Retail News April 2017

APRIL 2017

INTRODUCING

NEW DOU LE CAPSULE

S P E A R M IN T P E P P E R M IN T

This advertisement is for tobacco retailers only and should not be made available to the public nor should it be displayed in any area where it is visible to the public.

Toradh caithimh tobac – bás.

Smoking kills.

Retail News|April 2017|www.retailnews.ie|3

News

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Buyers Beware?

IF a new piece of legislation gets the go-ahead, then not only those who sell illicit goods in Ireland face the wrath of the law, as is currently the case, but those who buy them too. The Sale of Illicit Goods Bill was recently tabled by Fianna Fáil TD for Louth/Meath East, Declan Breathnach, and Robert Troy, TD for Longford/Westmeath, and if passed, would make it an offence to purchase illicit goods from unregistered or unlicensed retailers. See the full story on Page 4.

Also inside, we report on the launch of ‘Shaping the Future of Irish Retail – a strategy for Irish retail 2017-2020’, the most comprehensive strategy developed to date by Retail Ireland (Page 16). We talk to proud Kerry man, Paddy Carmody, Marketing Manager for Beiersdorf in Ireland, about the changing face of marketing, the importance of NPD and advancements in the area of shopper marketing (Page 20). Arthur Renshaw of Experian Catalist, explains why Ireland continues to lead the way in forecourt retailing (Page 50).

We also report on a new study from Mood Media, which examines the key milestones in the history of retailing from 1800 to the present day (Page 32). Conducted in collaboration with academics at a leading university in France, it aims to understand the retail innovations that represent key milestones in the evolution of the customer experience and ultimately anticipate what the store of the future will look like.

Kathleen Belton, Editorial & Marketing Director.

Proposed legislation outlaws purchase of black market goods.

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Irish Quality Food and Drink Awards 2017 launched.

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Industry support for Today’s Women in Grocery; Iceland to open nine new stores.

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Deflating news for grocery market; New record for contactless payments in Ireland.

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Enterprise Ireland launches Brexit scorecard for SMEs.

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Tesco profits rise but Irish sales fall.

The Evolution of Retail 32

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Shaping the Future of Irish Retail is a new strategy document for the development and growth of the Irish retail sector, recently launched by Retail Ireland, which focuses on the key challenges facing retail over the next three years.

Paddy Carmody, Marketing Manager for Beiersdorf in Ireland, talks us through the ever-changing world of of personal care, where New Product Development is key to gaining and retaining customers.

Focus On Londis 24

A new study from international customer experience experts, Mood Media, highlights the key milestones in the evolution of retailing since 1800 and predicts what the store of 2050 might look like.

Ireland’s forecourt stores are the envy of Europe, leading the way in terms of range and innovation. Arthur Renshaw, Major Account Manager - UK/ROI at Experian Catalist, analyses why Ireland punches above its weight in the forecourt sector.

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with a number of new fresh food concepts and state-of-the-art store design.

Forecourt Focus: Special Report

Retail News Interview 20

Londis is fast becoming the convenience store of the future,

Healthy Eating 58

Aldi’s latest product lines place the focus squarely on healthy eating.

Finbar McCarthy, Group Buying Director, explains why.

Retail Ireland: Monthly Update 61

Retail prices continue to fall; Shaping the Future of Irish Retail 2020; Brexit challenges come into sharper focus.

Human Resources 62

It is a misconception amongst employers that a company can dismiss an employee without due process while that employee is on probation, explains Kelly O’Connor, HR Consultant, The HR Suite.

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Contents

a il N e w et

Subscription to Retail News: e95 plus VAT Email: ciara@tarapublications.ie Reproduction without written permission is strictly prohibited.

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Industry News

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Ice Cream

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Dairy

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Tobacco Products

49

Drinks News

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Forecourt Focus: News

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What’s New

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Shelf Life

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News

Proposed Legislation Outlaws Purchase of Black Market Goods PEOPLE who purchase counterfeit or smuggled goods will become criminalised under proposed new legislation. The Sale of Illicit Goods Bill makes it an offence to purchase illicit goods from unregistered or unlicensed retailers, in an effort to crack down on smuggling and the illicit trade. Declan Breathnach, Fianna Fáil TD for Louth/Meath East, and Robert Troy, TD for Longford/Westmeath, recently tabled the draft bill in Dáil Éireann.

Breathnach told Retail News the bill is intended to change the culture around illicit goods. “Traditionally, it was Counterfeit and smuggled goods cost the Irish exchequer acceptable to buy these products, but that’s when people were billions of euro each year. dealing with it in small amounts,” he said. “This has become a massive business. It sounds as if I’m hammering the poor The Sale of Illicit Goods Bill imposes an on-the-spot fine unfortunate who can’t afford to buy a packet of cigarettes or of €100 for people who purchase illicit alcohol, tobacco or a bottle of drink, when he can get it at half price. But we are solid fuel, or purchase these goods from an unregistered or obligated as elected representatives and legislators to at least unlicensed retailer. Penalties increase according to the amount try to close loopholes.” of contraband purchased.

According to a recent report from Grant Thornton, The proposed Bill is unclear as to how customers can Illicit Trade 2015-2016: Implications for the Irish Economy, identify illegal products or identify unregistered or unlicensed counterfeit and smuggled goods cost the Irish exchequer €2.4 retailers, due to the sophistication of some counterfeit goods. billion in 2015.

“A person buying diesel from a petrol station would not be Benny Gilsenan, a spokesperson for Retailers Against aware that a product is illicit,” said Jennings. “So you wouldn’t Smuggling (RAS), who owns a shop on Dublin’s North Circular levy culpability on them. However, if you have a product half Road, welcomed the Bill as a means of protecting small the price, without an Irish tax stamp and not sold in a regular retailers. outlet, you’re aware you are the product is not kosher. If the “Illegal cigarette sales take up almost 25% of the market,” same person bought that product in a store, they wouldn’t he said. “Cigarette sales are between 30% and 40% of the have culpability because they can say, ‘I thought I was buying overall turnover for a small retailer, so it’s a significant loss. something legitimate’. That’s not the same as buying in a Losing cigarette sales to criminals also leads to a loss in market, door to door, or via social media.” additional purchases. It might not have the same effect on Retailers must be registered to sell alcohol, tobacco or larger shops, because they have a larger range, and are in a solid fuel, added Breathnach. “If you don’t have a license, it’s better position to do deals and offers, but the smaller ones are fairly obvious. If you go into a shop to buy cigarettes, you will being dramatically affected.” see certification. It’s the same in the certification of solid fuel.”

According to Breathnach, the Bill was drafted on foot of direction from RAS and advice from retail representative groups such as Retail Excellence Ireland and RGDATA. In the debate around plain packaging of cigarettes, the health lobby described tobacco smuggling as a red herring. However, according to Vincent Jennings, CEO of the Convenience Stores and Newsagents Association (CSNA), the reality is troubling.

“Revenue have identified the smuggling of products as a serious threat to state finances,” said Jennings. “Retailers are the only people permitted under law to sell these products. Until now, it hasn’t been an offense to purchase individual illicit products. Were people to do the same with PAYE, PRSI, or were they to defraud social welfare, they would be liable.”

Banning the purchase of such goods would be an effective deterrent, continued Gilsenan. “An element of people will buy stolen goods in the same way they buy smuggled goods. But a large element will buy a bag of coal, briquettes, or a Pictured are (l-r) Benny Gilsenan, Retailers Against Smuggling packet of cigarettes, because they are cheaper: spokesperson and owner of Benny’s Store, North Circular Road, Dublin; ‘I’m not paying €11.50 for a packet of cigarettes Declan Breathnach, Fianna Fáil TD for Louth/Meath East; and Brian when I can get them for €4’.”

O’Carroll owner of Spar Lower Liffey Street, Dublin 1.

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News A Fianna Fáil spokesperson told us: “The Bill makes it an offence to knowingly purchase illicit goods or to purchase goods where the individual at least should have known within reason that the goods were illicit. The onus will be on the Revenue officer or Garda to establish that the goods were purchased knowingly before fining the individual. If you inadvertently purchase illicit goods, you should not be prosecuted.”

The proposed legislation may face enforcement problems, though, particularly in a time of limited Garda resources. The CSNA chief said high profile seizures and court appearances would be enough to dissuade people from the illicit trade.

“At the moment, people buy the product, walk away with it in a plastic bag and that’s it,” said Jennings. “Once you make them more nervous, it creates the possibility of them changing their ways. They will realise they would be better off going to a legitimate shop. We’ve managed to contain social welfare fraud better than we did in the past, through a series of concentrated and co-ordinated measures. I think this will be similar. You need to stem the demand in order to make the supply more difficult.”

If the Bill becomes law, the judiciary’s role would be elevated, said Gilsenan: “At present, if somebody is caught with 200 illegal cigarettes, they are brought to court. The judges give them a slap on the wrist and they walk out. Following this bill, the judge has the remit to impose a €100 fine. I think it would be a huge deterrent.”

Following the tabling of the draft legislation, Breathnach hopes the bill will be pushed through within 12 months. The

CEO of the CSNA, Vincent Jennings. issue of smuggled goods has become increasingly prevalent in the border regions and is likely to become more so with the onset of Brexit, he said.

According to Gilsenan, shoppers need to have responsibility, and culpability, as part of the trade in illicit goods. “The whole idea behind this legislation is to try and discourage the customer from purchasing this type of product, whether it be a packet of cigarettes, bottle of vodka, bag of coal, or bale of briquettes. In buying these illegal products, they are fuelling criminality, depriving the state of revenue and retailers of their business.”

Irish Quality Food and Drink Awards 2017 Launched THE Irish Quality Food and Drink Awards are now open for entry and calling for nominations for the first Irish Food Hero Award, designed to recognise the unsung heroes of the Irish food sector.

The new award is part of the fifth Irish Quality Food and Drink Awards, which recognise excellence in products available to Irish consumers. The year on year success of the awards has led to an increase in both categories and events to cater for the plethora of producers who deserve recognition for their work.

All retailers, food producers and manufacturers across the Republic of Ireland and Northern Ireland are invited to enter products for the chance to achieve industry acclaim.

The awards now include The Irish Quality Food Awards, products for the multiple and independent grocery retail market, and the Irish Quality Drink Awards, alcoholic drinks for the retail sector. New this year are the Irish Food Service Awards, to recognise excellence in the food service sector, and the Irish Good Choice! Awards for the ever growing healthier options categories.

Judging will take place over four weeks in June and July at the Dublin Institute of Technology’s School of Culinary Arts and Food Technology. The results will be announced at a sumptuous gala dinner on October 26 at a new venue, the Clayton Hotel, Burlington Road, Dublin.

“We are very excited about the introduction of the Food Hero Award,” explains Helen Lyons, Publishing Director of event organisers, Metropolis Business Media. “You may have a superb development chef or someone in your innovation department who has done exceptional work this past year. Perhaps it is a producer or grower whose quality is undeniable and who never lets you down? Maybe it is someone who shines brightly in distribution or operations, but is only recognised as a superstar within your own business?

“We know the Irish food market has huge talent within it and this award allows you to put forward your heroes for industry-wide recognition of their passion, drive and enthusiasm. The judges will look at how much of an impact the person has made to the business, not just in terms of financial impact but also in commitment to delivering the business’s strategic goals.”

Last year’s winner of the top prize of the Gold Q was James Whelan Butchers with their Dry Aged Angus Striploin Steak. “Winning the Gold Q Award was fantastic recognition, not only for our business and our products but most of all for our wonderful team of dedicated professionals who work so hard every day, sharing great Irish food with our loyal customers,” noted Pat Whelan, CEO at James Whelan Butchers.

Entries for the awards, which are once again headline sponsored by innovative packaging company, Graphic Packaging International, will be accepted until May 31, 2017.

Other sponsors include Dairymaid, Invest Northern Ireland and Sacla.

The Irish Good Choice Quality Food Awards are working in partnership with the Coeliac Society of Ireland, who will play an important role during the stringent judging process of the new Awards, focusing on the healthier and free from market.

Full category descriptions are detailed on the Irish Quality Food and Drink Awards website: irish.qualityfoodawards.com.

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News Industry Support for Women in Grocery TODAY’S Women in Grocery (TWIG) will host a summer networking event in the InterContinental Hotel, Ballsbridge, Dublin 4, on May 19, 2017. This event will offer women working within the Irish grocery industry an opportunity to meet and network. TWIG was founded by the Irish Grocers Benevolent Fund, in recognition of the need to champion women in the grocery sector. TWIG is unique to the grocery industry, offering a networking initiative targeted specifically to a female audience. The lunch will be attended by a cross section of women working within the supplier base, retailers and support agencies, who are keen to meet and listen to topics of common interest.

Themed ‘Growing Connections’, this event is made possible thanks to the generous support of its sponsors, Musgrave MarketPlace, The National Lottery, CPM and LR Suntory.

“Last year, our Group Commercial Director Sharon Buckley spoke at the inaugural TWIG lunch and a number of women within our business attended,” noted Noel Keeley, Managing Director of Musgrave MarketPlace. “They were really impressed with the event itself and recognised the supportive environment and learnings that it facilitated for women in the grocery sector. Musgrave MarketPlace are delighted to both sponsor and attend the event in 2017.”

TWIG’s aim is to provide a platform for women to grow their connections, learn from other leading inspirational women and discuss issues of concern, while raising funds for the IGBF charity. When TWIG hosted its inaugural event in September 2016, research conducted by B&A of the attendees found that the main driver for attending was networking prospects and the opportunity to gain insight from leading female peers. It is thanks to the generous support of sponsors that TWIG’s follow up event will be even bigger and more exciting this year, with 400 women from across the industry expected to attend.

The National Lottery was a key sponsor at the inaugural lunch and continues its commitment to this important networking opportunity through its sponsorship of the May event. Jenny Fisher, Head of Corporate Affairs in The National Lottery, explained: “We are delighted to be sponsoring what is a vital and indeed innovative event, promoting the role of women working within our industry. The National Lottery is proud to be associated with TWIG and looks forward to participating in what promises to be another exciting event for all attendees.”

Pictured enjoying the reception at last year’s inaugural Todays’ Women in Grocery (TWIG) networking luncheon in the Westbury Hotel are the TWIG committee (l-r): Frances Higgins, BWG; Anne O’Brien, Musgraves; Brigid O’Neill, Birds Eye; Sharon Yourell Lawlor, Think Plan Do Consulting; Paula Donoghue, Bord Bia, Paula Conlon, Heineken Ireland; and Lorraine Butler, CPM. Sharon Yourell Lawlor, Chair of TWIG, said: “The Today Women in Grocery lunch is fortunate to have a mix of sponsors coming from the retail, supplier and agency side of the industry.

This reflects the wide range of companies that work within the grocery sector in Ireland. Each of our sponsors has a long history of supporting the Irish Grocers Benevolent Fund and are we delighted to see this continue with their support of the TWIG initiative.”

The line-up of speaker’s at TWIG’s event on May 19 includes: Louise Ryan, Managing Director, Irish Distillers Pernod Ricard; Áine Maguire, Managing Director, Persuasion; Aoibheann O’Brien, CEO of FoodCloud Hub; and Sheila Gallagher, Commercial Director, Tesco. It will again be compèred by Melanie Morris, Editor-In-Chief of Image Magazine.

Tables are selling out fast and this is a great way to show your appreciation for the female colleagues within your business and to establish strong connections on the day, whilst raising much needed funds for the IGBF. The cost of a table of 10 is €1,750, or €175 per ticket. For further information, contact Roisin Higgins in Hotel Solutions, roisin@hotelsolutions.ie.

Iceland To Open Nine New Stores ICELAND has announced a €12m investment in nine new stores in Ireland this year. 2017 is set to be the biggest year yet for Iceland Ireland, with nine stores announced for Tallaght, Galway, Cork (Douglas, Fermoy, Ballincollig) Letterkenny, Limerick, Shannon, and Gorey in the coming months, creating 270 new jobs.

Its latest store in Tallaght is Iceland’s 13th store in Ireland since its launch in 2013, and this will grow to 21 stores over the next 12 months, including the opening of its Galway store on May 9, Iceland’s largest Irish store to date, spanning 16,000 square feet.

“We have been back in Ireland for four years now and have been committed to expansion from day one,” noted Ron Metcalfe, Managing Director of Iceland Ireland. “This new investment sees 2017 as our biggest year yet with our nine new stores opening. We’re looking forward to bringing great value and a brand customers can trust to Tallaght, Galway, and

Ron Metcalfe, Managing Director of Iceland Ireland, pictured in the new Iceland Tallaght store. across the country this year, as well as welcoming new team members to the Iceland family. And as always, we’re looking forward to expanding and delivering the Power of Frozen to more Irish customers than ever before”.

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News Deflating News for Grocery Market THE Irish grocery market has slipped into deflation for the first time in almost two years, dropping Total Take Home Grocery - Ireland Consumer Spend 0.7 percentage points 12 Weeks to 27 Mar 2016 12 Weeks to 26 Mar 2017 change** month-on-month to %* %* % -0.2%, according to the Total Grocers 100.0% 100.0% 0.7 latest figures from Kantar Total Multiples 89.1% 88.9% 0.6 Worldpanel in Ireland, for SuperValu 23.1% 22.6% -1.4 the 12 weeks ending March Tesco 22.2% 21.2% -3.8 26, 2017.

Dunnes 21.8% 22.3% 3.2 “Only now are we starting to feel the effect Lidl 11.1% 11.4% 3.7 Aldi 10.9% 11.3% 5.0 of the weakened pound Other Outlets** 10.9% 11.1% 2.1 following the EU referendum as the price of British *= Percentage Share of Total Grocers imports drops,” explained **= Includes stores such as M&S, Boots, Spar, Centra, Greengrocers, Butchers And Cross Border shops David Berry, Director at this year is shoppers’ move towards own-label, with these Kantar Worldpanel. “For goods now accounting for 54% of total grocery spend, up 6% in the first time since May 2015, grocery prices are falling so the past four years. Discount retailers Aldi and Lidl are a major consumers are likely to have a little extra cash to hand, though contributing factor; their stock is predominantly own-label so this doesn’t necessary mean they’ll spend more in store. Many they have driven this growth, with shoppers now also more will see the break from inflation as a chance to cut down their accustomed to seeing own-label ranges on shelves. grocery costs and pocket the savings instead.”

Other retailers are fighting back, however, as Berry Meanwhile, SuperValu has regained the title of Ireland’s explained: “SuperValu and Tesco have both responded and largest grocer, having been pipped to the post by Dunnes Stores expanded their own-label ranges. The retailers see this as a real for the past two months. opportunity for growth, with own-label lines offering them the “The battle to attract shoppers remains fierce as ever as chance to set themselves apart from the rest.”

SuperValu makes its way back to the number one spot,” Berry Brands, however, still dominate in Dunnes Stores, with revealed. “After two consecutive months at the top, Dunnes own-label accounting for just 38% of sales this year, up only was unable to remain Ireland’s largest supermarket for a third 1% since 2013, much lower than its competitors. Despite losing month, with SuperValu finishing 0.3 percentage points ahead of market share, Dunnes still has reason to celebrate. Sales grew the retailer.” by 3.2% year-on-year, the 30th consecutive period of growth for The latest figures reflect the impact of Easter on the retailer. consumers and retailers alike. With the Easter weekend not Lidl’s success continues too as the retailer experiences a taking place until mid-April this year, the holiday falls outside 3.7% increase in sales. Shoppers visited the store once more the latest 12 weeks, while it was within the comparable period over the past 12 weeks, compared to the same period last last year. As a result, overall growth in the market fell to year. Aldi remains Ireland’s fasting growing retailer, with sales 0.7%, significantly below the level during the same period in growing by 5%. The retailer increased its market share to 11.3%, 2016, demonstrating Easter’s significant boost to the market. closing the gap with its closest rival Lidl to just 0.1%.

The return to deflation has also contributed to the slowing of For further information, please visit growth. www.kantarworldpanel.

One of the main trends within the Irish grocery market

New Record for Contactless Payments in Ireland VISA has revealed that contactless payments are surging in popularity as Irish consumers are making more than 3m contactless payments with Visa debit cards every week. Usage has almost tripled since the end of March 2016, with weekly transactions jumping from 1.3m contactless payments per week to just over 3m payments at the end of last year. As a result, five contactless transactions are made with Visa cards every second in Ireland.

The spike in usage is driven by both the increase in the payment threshold from €15 to €30 as well as wider adoption of contactless payment terminals by retailers.

While consumers benefit from faster and easier checkout, merchants also benefit from shorter queues and reduced

costs associated with handling cash.

The news came as the Irish Cancer Society introduced contactless donations on its 30th annual Daffodil Day (March 24), where the ‘Tap to Give’ contactless donation devices offered the public a quick and hassle-free way to donate, even if they had no change in their pockets.

In recent months, exciting new contactless payment methods have also been introduced with the launches of Android Pay and Apple Pay. Consumers are embracing mobile as a convenient way to manage their finances, with Visa’s 2016 Digital Payment study revealing that over 80% of people (age 18-24) in Ireland already use their mobile device to monitor their money or make payments

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News

Enterprise Ireland Launches Brexit Scorecard

ENTERPRISE Ireland has launched a ‘Brexit SME Scorecard’, a new interactive online platform which can be used by all Irish companies to self-assess their exposure to Brexit under six business pillars. Based on answers supplied by the user, the Scorecard generates an immediate report which contains suggested actions and resources, and information on events for companies to attend, to prepare for Brexit. The platform can be accessed at www. prepareforbrexit.ie.

By completing the online questionnaire, the Brexit SME Scorecard will provide companies with an assessment of their preparedness under six key pillars - Business Strategy, Operations, Innovation, Sales and Marketing, Finance and People Management. The tool is a starting point for SME management teams looking to develop an action plan to help mitigate Pictured at the launch of the new Enterprise Ireland ‘Brexit SME Scorecard’, are risks and leverage opportunities which Julie Sinnamon, CEO, Enterprise Ireland and Minister for Jobs, Enterprise and may arise from Brexit.

Innovation, Mary Mitchell O’Connor TD. While the SME Scorecard is available to all companies, Enterprise “Now that Article 50 has been triggered, a two-year time Ireland client exporting companies that utilise the Brexit frame counting down to the UK’s exit from the EU has been Scorecard will then be able to engage with the agency’s set,” noted Julie Sinnamon, CEO, Enterprise Ireland. “Irish experts both domestically and through the overseas offices in companies should start preparing for a hard Brexit and be fully global markets. Enterprise Ireland will also provide funding equipped to meet both the challenges and the opportunities up to the value of €5,000 to exporting clients to support the arising from Brexit head-on. Many SMEs have yet to conduct development of a business action plan and will then work any Brexit risk assessment or put a Brexit-dedicated team in with these companies on a one-to-one basis to support the place. The Brexit SME Scorecard has been developed for Irish implementation of the plan.

SMEs and is an integrated part of Enterprise Ireland’s Prepare

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News for Brexit campaign to encourage SMEs to take the first step of preparation by conducting their own assessment of areas of potential risk and opportunity arising from Brexit and to develop a plan of action in response.”

At the launch of the Scorecard, Minister for Jobs, Enterprise and Innovation, Mary Mitchell O’Connor TD, said, “Maintaining close trading relationships between the UK and EU/Ireland and minimising the regulatory burden for goods transiting the UK are two of the Government’s priorities in the negotiations which will now take place following the triggering of Article 50. At company level, however, time is of the essence for Irish companies to become Brexit ready, in order to curtail and mitigate against market turbulence. The Brexit SME Scorecard is a starting point to help businesses to begin preparing a strategy and ready their teams in terms of planning, shining a spotlight on some of the key operational areas that may be exposed.”

As part of the #PrepareforBrexit campaign, Enterprise Ireland will run a series of Brexit events, featuring expert speakers, throughout the country in May to promote the tool and encourage clients to prepare for Brexit.

Brexit was also top of the agenda at the recent British Irish Chamber of Commerce Conference, where industry titans and political heavyweights from both sides of the Irish Sea debated the issues. A defiant note was set by businessman and Patron of the British Irish Chamber of Commerce, Niall FitzGerald KBE DSA, who insisted: “We don’t have to settle for the status quo. We don’t have to allow ourselves to be carried along on a global wave of alienation, hatred and divisiveness. Ireland doesn’t have to lose out to the challenges of Brexit, of Trump, of Protectionism or to the loss of Trust in Politics or Business.

In fact, it’s my firm belief that Ireland can instead be a unique beacon of openness, diversity and social inclusion. Ethically leading, outward looking, embracing technology and lifelong learning and fairly sharing the benefits among all. But this will only happen if we have a clear and compelling National Development Plan executed through a real partnership between business and the community.”

Addressing the conference, Minister for Health Simon Harris TD said: “Continuing economic growth is key to underpinning continued increased investment in public services and that is why in the Brexit negotiations ahead, we must protect our economy, especially the sectors that are heavily reliant on the UK for their business.”

Also speaking at the conference, Brian Hayes MEP, warned Britain: “If the United Kingdom tries to play chicken with the EU in these negotiations, they will end up as roadkill.

Greece tried to do this during their bailout talks and they learned their lesson the hard way. While the UK does have some cards to play, the EU clearly holds the upper hand in these talks. It is the EU that holds the keys to a transitional deal, single market access, customs union, equivalence and any sort of bespoke deal that the UK wants. If the UK wants to play brinkmanship, they will be facing a very stern opponent.”

Ireland’s food industry has come out fighting, insisting that the agri-food sector must be a top priority for the Irish Government in Brexit negotiations.

“Agri-food is the Irish sector most exposed to trade disruption, and the Irish Government must do all within its control to ensure minimum impact to the free flow of goods,” argued Paul Kelly, Director of Food Drink Ireland.

He said that discussions on the future EU-UK relationship must be commenced early in the negotiating process and must ensure: • Free and unfettered access to the UK market for Irish business.

• An agreement that takes account of the special case of the all-island economy, ensuring that the highly integrated supply chains can continue to operate with free movement of goods and services, • Transitional arrangements, of sufficient length, for businesses to plan and prepare for any new free trade agreement, • Customs procedures are dealt with as part of the first phase of Article 50 negotiations.

His views were echoed by other Ibec groups, including Meat Industry Ireland (MII) and the Irish Dairy Industies Association (IDIA). Cormac Healy, Director of MII said: “A hard Brexit will result in massive trade disruption and job losses, whereas a sensible outcome, aimed at maintaining trading continuity, will be beneficial to both Ireland and the UK.” IDIA Director Conor Mulvihill, revealed that “Disruption to trade between Ireland and the UK has already begun, due to currency pressures. Already this year, 10,000 tonnes less of cheddar have been delivered to the UK by Irish companies, compared to this time last year.”

Tesco Profits Up But Irish Sales Fall TESCO has reported a Stg£1.28 billion profit in the year to February 25, 2017, ahead of industry analysts’ predictions, and 30% higher than the Stg£944m profit the previous year. The retail giant is now “ahead of where we expected to be at this stage”, according to Tesco CEO, Dave Lewis.

“Today, our prices are lower, our range is simpler and our service and availability have never been better,” said Lewis. “Our exclusive fresh food brands have strengthened our value proposition and our food quality perception is at its highest level for five years. At the same time, we have increased profits, generated more cash and significantly reduced debt.”

The CEO is confident that Tesco can “build on this strong performance in the year ahead, making further progress towards our medium-term ambitions.”

He described Tesco’s proposed merger with wholesaler, Booker, which has divided shareholders, as one that “will bring together two complementary businesses, driving additional value for shareholders by realising substantial synergies and enabling us to access the faster growing ‘out of home’ food market”.

In the UK, like-for-like sales rose 0.7% in its fourth quarter, the fifth quarter of underlying growth in a row, but Tesco’s Irish sales reduced by 1.3% in Q4, and were 01% lower for the full year.

Dave Lewis, Tesco CEO.

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Industry News

Spar On the Ball with FAI Masterclass

IT was a dream come true for Spar retailers’ children who had the opportunity to meet and compete with their football heroes recently.

Spar provided more than 70 of their retailers’ children with the opportunity to train with Republic of Ireland players, Seamus Coleman, David Meyler and Jonathan Hayes at the team’s training camp in the National Sports Campus in advance of the Republic of Ireland vs Wales. Children we also joined by Amanda McQuillan, Jamie Finn and Roma McLaughlin of the Republic of Ireland women’s senior team. The retailers’ children learned some new soccer skills and had a fantastic time during this exclusive Spar FAI Masterclass.

BWG Foods Managing Director, Willie O’Byrne (back left) is pictured with Irish internationals Jonathan Hayes, David Meyler and Seamus Coleman, and Colin Donnelly, Spar Sales Director, with Spar Ambassadors. Retail News would like to take this opportunity to wish a speedy recovery to Irish captain, Seamus Coleman, who was badly injured against Wales and faces a lengthy rehabilitation period.

Tayto Launches Personalised Packs TAYTO has launched the winning #Spudbuds pack from Tayto’s Personalised Pack Campaign, ‘Are you Mr. Tayto’s next Spud Bud?’. The Irish public have been looking at the much-loved and iconic pack of Tayto Cheese & Onion for many a decade and last September they were given a chance to join Mr. Tayto through the Personalised On-Pack competition. The lucky winners of this once in a lifetime competition were: Siobhan McManus, Ellen Codd and Anna Sutcliffe, who penned a crisptastic poem to secure their place on pack beside Mr. Tayto.

Keelings

Harvest First Irish Strawberries of 2017 KEELINGS, Ireland’s largest supplier, and producer of fresh fruit, celebrated its harvest of the first Irish strawberries of 2017.

Keelings produce can be found north and south of the border, offering healthy eaters the best taste of quality and freshness. The farm growers nurture the Keelings crop all year round, enabling the strawberries to flourish early in the season. The state of the art strawberry glasshouse on Keelings farm has the capacity to produce over 100m Irish strawberries for the Irish market and extend the season into December. David Keeling, CEO of Keelings Retail, is pictured with Irish rugby players Louise Galvin and Nora Stapleton.

INM Supports Daffodil Day INDEPENDENT News & Media recently showed its support for people affected by cancer by providing high-profile marketing support in the Irish Independent and on Independent.ie, worth tens of thousands of euro to the Irish Cancer Society’s Daffodil Day throughout the month of March. “The Irish Cancer Society works tirelessly to improve the lives of cancer-sufferers, their families and the Irish people, and INM is delighted to help raise awareness in Ireland and internationally,” explained Geoff Lyons, Commercial Director, Independent News & Media. “We hope that featuring the daffodil to the 290,000 loyal readers of the Irish Independent and the 12m unique users of Independent.ie will drive donations at this critical time for the Irish Cancer Society.”

Jane Last, Head of News, Independent News & Media, said: “Everybody in Ireland knows someone – whether it be a partner, family member or friend – who has lived with or is living with cancer.... We are delighted to feature the daffodil and hope to play a part in creating more awareness about the work the Irish Cancer Society does during Daffodil Day’’. John McCormack, CEO, Irish Cancer Society, is pictured with Jane Last, Head of News, Independent News & Media.

NEW TOBACCO REGULATIONS:

The Journey Ahead TPD2 COUNTDOWN TO 20TH MAY 2017

20TH MAY

2017 Only TPD2-compliant products can be sold

WEEK

-4

COMPLETE BACK STORE STOCK CHECK. Ensure all non-TPD2 stock is put in the vending machine.

21 April

WEEK

-3

CHECK DRAWERS AND OTP BOXES FOR NON-TPD2 STOCK Ensure they are placed at the front of the units to be sold first.

28 April

WEEK

-2

MONITOR STOCK LEVELS OF SLOW SELLING NON-TPD2 PRODUCTS. Do not order this week.

05 May

WEEK

-1

12 May

CONTINUE TO PLACE NONTPD2 STOCK AT THE FRONT OF THE UNITS TO ENSURE IT IS SOLD FIRST. All non-TPD2 stock must be removed from Point of Purchase by 20th May.

JTI IS YOUR KEY PARTNER For more information, speak to your JTI contact, call 01 404 0240, email customerservices.ireland@jti.com or visit jti.com/ireland

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12|Retail News|April 2017|www.retailnews.ie

Industry News

Centra’s 21-Day Hiking Challenge HIKING is the third of Centra’s 21-day challenges which kicked off recently with the help of health and fitness expert Pat Divilly.

Centra know it’s not always easy to stay on track when it comes to living well and at the start of each month is encouraging people to sign up to the Restart 21-day challenges on Centra.ie to get back on the wagon. The goal of each Restart challenge is to make small, consistent lifestyle changes that will help you Live Well. The hiking challenge will encourage people to take 10,000 steps a day, swap the lift for the stairs and take a hike each weekend. A list of suggested hikes is available on Centra.ie. 90s’ fitness icon, Mr Motivator, is pictured with Michael Espey, Karen Gaffney and Fitness expert, Pat Divilly, celebrating the launch of Centra’s Live Well Restart Challenges.

Siúcra Announces Catherine Fulvio as Brand Ambassador SIÚCRA has announced that much-loved celebrity chef Catherine Fulvio as its brand ambassador, as it launched its new #minimoments campaign. The award-winning cookbook author has developed a series of sweet and savoury mini recipes exclusively for Siúcra, to showcase the functionality and breadth of the product range, as well as demonstrating how fun, quick and easy it is to make delicious dishes from scratch, regardless of ability. As part of the campaign, Siúcra and Catherine Fulvio are encouraging people to take time out of their busy schedules and enjoy mini moments of indulgence in the company of others. Joanne McAllister, Sales / Marketing Manager with Nordzucker Ireland, said that “with her infectious enthusiasm for food and no-fuss approach to cooking and baking, Catherine was a natural choice for our brand.”

Musgrave MarketPlace Raises Over €43k for Simon Community MUSGRAVE MarketPlace stores across Ireland raised over €43,000 last year for their charity partner, the Simon Community, through a variety of fundraising activities. In 2016, all 10 Musgrave MarketPlace stores participated in national fundraising initiatives, including coffee mornings, Easter egg raffles, and a Christmas Jumper Day, while colleagues also participated in a wide range of local fundraising activity, including a Sleep Out last July in Dublin and Galway.

Pictured are representatives from Musgrave MarketPlace and the Simon Community with the cheque, (l-r): Barry Minnock, Linda McCabe, Patrick Quinn (Simon Community), Eimear Larkin (Simon Community), Tony Nolan, Andrew Dwyer, Helen Storey, and Thomas Williams.

New Country Business Manager for Nestlé Ireland

NESTLÉ has appointed Andrew Shaw as the new Country Business Manager for Ireland.

Andrew assumes responsibility for Nestlé Ireland’s operations and its wide portfolio of products across the confectionery, beverage, food and pet care categories.

Andrew has over 20 years of international experience in the FMCG sector. He has held a variety of supply chain management and leadership roles in Nestlé UK & Ireland and Switzerland. His most recent role was as Head of Demand and Supply Planning for Nestlé UK & Ireland.

Lucozade is Made to Move!

JOHN Kavanagh, Head Coach of UFC Champion Conor McGregor and one of the top MMA coaches in the world, recently kicked off the first of Lucozade Sport’s ‘Made to Move Sessions’ in his Dublin based gym, hosting an exclusive training session for a special group of avid fans. Kavanagh stepped into his infamous Octagon cage, taking participants through the ultimate training regime with a high-intensity MMA workout. ‘Made to Move’ Sessions are a series of high-profile events sponsored by Lucozade Sport, which will take place over across 2017, aiming to champion active lifestyles. The first session allowed 11 fans to get the rare opportunity to train alongside their idol, Coach Kavanagh, learning the fundamental movements that help his fighters achieve their ultimate physical and mental toughness. The fans secured their place through an online competition promoted on Lucozade Sport’s Facebook page www.facebook.com/lucozadesportirl.

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david moroney tel: 086 827 0894 email: dmoroney@bwg.ie

14|Retail News|April 2017|www.retailnews.ie

Industry News

Mace Excellence Awards Presented MACE stores from across the country have been honoured for achieving exceptional standards in retailing at the Mace Excellence Awards, which were held in Lyrath Estate Hotel in Co. Kilkenny on April 4. The Mace Excellence Awards are only awarded to Mace stores that pass gruelling, year-long inspections, including unannounced store audits, legal compliance, financial and food hygiene audits and visits from mystery shoppers. A total of 90 retailers from around the country were awarded a Mace Excellence Award. “All of this year’s winning retailers have worked tirelessly to achieve the high standards that these awards demand and celebrate,” noted Alex Banahan, Mace Sales Director. “They showcase the quality of Mace stores across Ireland and continuously raise the bar for the industry as a whole.” Alex is pictured (left) with Mark Cantillon, Marjorie O’Donovan and Stephen Morrisey, from Maxol Mace Clonakilty, Co. Cork; Willie O’Byrne, Managing Director, BWG Foods, and Val Morrawski, Maxol Mace, Riverside, Navan, Co. Meath.

Ballygowan Goes Gold in Fight Against Cancer BALLYGOWAN has officially unveiled a major new campaign to support increased cancer awareness and fund vital cancer support services for those who battle against the disease each day. Working with the Irish Cancer Society in the Republic of Ireland, and its campaign partner Marie Curie Cancer Care in Northern Ireland, Ballygowan is asking consumers to join the fight against cancer and support the Ballygowan Gold campaign. Ballygowan Gold is available in local convenience stores and supermarkets nationwide in 500ml, 750ml, 1L and 2L bottles until August 2017 and a donation for each bottle sold will be made to cancer services. Pictured at the launch of the Ballygowan Gold campaign are Caroline Hyde, Marketing Manager, Ballygowan; Donal Buggy, Head of Services & Advocacy, Irish Cancer Society; and sisters Rozanna and Rachel Purcell.

New Design for Sunday Times

THE Sunday Times has unveiled a design refresh to underline the title’s purpose to provide readers with quality journalism, information and ideas that prepare them for the week ahead, whether in their professional or personal lives. The creative brief was to rethink a trusted newspaper in an era when the role of Sundays has shifted from catching up to planning ahead. A streamlined design with easier navigation between the sections and a higher story count on each page makes the paper work harder for busy readers. “We’ve reorganised the newspaper to make it easier to read. Featuring an elegant new typeface called Publico, our refreshed design aims to help readers navigate their busy lives by streamlining the sections they love and sign-posting the best of what we offer each Sunday, ensuring that we remain the go-to destination for news you can trust and use,” noted Frank Fitzgibbon, Editor of The Sunday Times,pictured with columnist, Justine McCarthy.

SuperValu Launches

TidyTowns Competition THE 2017 SuperValu TidyTowns competition is open for entries. SuperValu has been confirmed as sponsor of TidyTowns for the next five years, building on 25 years of association between SuperValu and the competition. Now in its 59th year, SuperValu TidyTowns is administered by the Department of the Environment, Community and Local Government and is a catalyst for voluntary activity and community participation across the country. This year, committees are also being encouraged to participate in a new community Upcycling Challenge. “Now in its 26th year, SuperValu TidyTowns is one of the longest running sponsorships in Ireland and one that we are extremely proud to be associated with,” noted Martin Kelleher, Managing Director, SuperValu, pictured with Minister for Regional Economic Development, Michael Ring TD, and Nevaeh Levingston (age 6). For more information see www.tidytowns.ie or www.supervalu.ie.

16|Retail News|April 2017|www.retailnews.ie

Retail Ireland Strategy Document

Retail: The Road Ahead Shaping the Future of Irish Retail is a new strategy document for the development and growth of the Irish retail sector, recently launched by Retail Ireland, which focuses on the key challenges facing retail over the next three years.

Pictured at the launch of Retail Ireland’s 2020 strategy document, are (l-r): Willie O’Byrne, Managing Director of BWG Foods; Danny McCoy, CEO of Ibec; Thomas Burke, Director of Retail Ireland; and Conor Whelan, Managing Director of Eason and Chairman of Retail Ireland.

MINISTER for Jobs, Enterprise and Innovation, Mary Mitchell O’Connor TD recently launched an important retail strategy document at the IBEC offices in central Dublin.

‘Shaping the Future of Irish Retail – a strategy for Irish retail 2017-2020’ is the most comprehensive strategy developed to date by Retail Ireland and features new economic data for the retail sector. It reaffirms the fact that retail plays a crucial role in stimulating economic growth and enterprise,

sustaining employment and supporting lively and vibrant communities across Ireland.

In addition to addressing emerging consumer and retail trends, a wide range of stakeholders, including retailers, policy makers, employee representatives and leading consumer advocates, were consulted in the creation of the document.

The report sets out six key areas and calls to action from Government, including centralising Government

support for the retail sector, introducing a tax credit to support further online sales capabilities, boosting consumer disposable income, reducing the cost of regulatory compliance, increasing support for retail training and education programmes and regenerating Ireland’s high streets.

Serious Challenges Ahead Thomas Burke, Retail Ireland Director, highlighted the fact that the retail sector in Ireland is responsible for generating

Retail News|April 2017|www.retailnews.ie|17

Retail Ireland Strategy Document Report Highlights: •

• •

•

•

Minister for Jobs, Enterprise and Innovation, Mary Mitchell O’Connor TD. over €30 billion in sales per annum.

It employs over 280,000 people, which is 14% of the state’s total workforce.

It contributes 23% of the state’s tax returns and constitutes 12% of GDP. Interestingly, 70% of retail jobs are located outside Dublin, and retail wages in Ireland are the fourth highest in the EU. Despite this strong position, Burke believes the retail sector faces a series of serious challenges in the years ahead.

In recent times, there has been fierce completion and discounting, coupled with a softening of consumer sentiment.

50% of Irish consumers shop online, but 75% of online sales go to foreign websites.

In the near future, the issues of omni-channel, automation, and of

“

Irish retailers are planning a major injection of investment in people, skills, store refurbishments, and technology to address the significant competitive threats facing the industry from global online trading and Brexit.

”

•

•

•

Retail is a critical sector in the Irish economy and the country’s biggest private sector employer. The co-ordinated efforts of all stakeholders will be required if the sector’s competitiveness is to be safeguarded and its potential realised in the years ahead.

Notwithstanding a sustained but modest economic pick-up, the retail sector still lags behind the recovery seen in many other sectors of the economy, and the value of retail sales remains 13% below pre-crisis levels.

In the last decade, the Irish retail landscape has been transformed by increased competition, changing consumer behaviours, evolving customer expectations, accelerating technology innovation and wavering consumer sentiment.

Other factors such as Brexit will pose significant new challenges in the coming years. Weakening consumer confidence and the fall in the value of Sterling have already had an immediate impact on the sector’s performance, as well as on the sentiment of Irish retailers.

These and other factors are having a lasting impact on the profile of the Irish retail sector, breaking the traditional correlation between general economic growth and retail sector growth.

Due to this structural shift, growth in retail sales between 2017 and 2020 is likely to average 1.2% to 2.2% per annum, mostly driven by population growth. At the same time, growth in employment in retail is likely to be incremental in the coming years and may not grow in line with retail sales.

Despite a considerable softening of sentiment since the Brexit vote, Irish retailers remain optimistic about the future, with the majority having ambitions to develop, invest in and expand their businesses in the next three years.

The strategy set out in this document envisages a thriving, world-leading retail industry, which makes a positive impact on the customers it serves, its employees, the economy and the communities it operates in.

course, Brexit, will present a very unique set of challenges. Retail Ireland’s report is designed to outline a strategy between now and 2020.

Working with Government In her address, the Minister for Jobs,

Retail: making a critical and positive contribution to Irish society

Enterprise and Innovation explained how she constantly reminds the cabinet of the challenges facing the retail sector.

The Minister is cognisant of these challenges, from her role as Chair of the Retail Consultation Forum, a role she described as a privilege, and she feels

Retail wages

4th

highest in EU

70%

of retail jobs are outside Dublin

Retail employment as a share of total employment Dublin

14%

23%

of national employment

of State’s Tax Returns

33%

€7

Billion in Tax Revenue

of GDP

Data as of March 1st 2017

19-19.49% 19.5-20% >20% Limerick

Cork

280,000 employees

50%

12%

<17% 18-18.99%

Galway

of Irish consumers shop online

75% online sales go to foreign websites

18|Retail News|April 2017|www.retailnews.ie

Retail Ireland Strategy Document that the Forum is making real progress on key issues facing retail. The Minister reminded the audience that she has experience running her own shop, which helps her understand the pressures of managing a retail business.

She acknowledged the retail sector as being the largest private employer in the State, employing one in seven workers, and crucial to the future of sustainable employment growth and the social and economic fabric of every single city centre, town and village right across the country.

The Minister spoke about the consequences of a so-called “hard Brexit” as the most significant risk currently facing retail, and she is devoting a lot of her department’s resources to dealing with the issue, setting up a dedicated Brexit unit that is committed to supporting Irish businesses.

“For my part, I will continue to work with my colleagues across all departments to ensure that we kepp these issues at the heart of government,” the Minister said. “My overall message to you today is that your voice is being heard by myself, by my colleagues at the cabinet table, and through the Retail Consultation Forum.

We will all work together on these big issues.”

Danny McCoy, Ibec’s CEO, stressed that retail is “an extremely broad church” that encompasses small, large and medium sized businesses. McCoy said that despite the strong economic recovery in Ireland and the average household income increasing by 6%, not all of this is currently being reflected in retail trends. “We are experiencing a period of renewed private affluence, and the challenge is making more of this land in the retail space, because it is certainly landing in others,” he argued.

Brexit’s Potential Impact Conor Whelan, Chairman of Retail Ireland and MD of Eason, summarised the highlights of the strategy document, which foresees modest economic growth in the next four years. Retail Ireland are making plans and forecasts based around two scenarios: the first scenario looks at Brexit having a modest impact, while the second examines the consequences of a significant impact.

Leading retail CEOs were surveyed in August 2016 and February 2017, capturing consumer sentiment on Brexit.

Over two thirds of those surveyed said they found Brexit was already having a modest impact on business in February, and 25% believe it is having a very significant impact.

Six key areas for closer collaboration between the retail sector and Government: 1. Centralise Government support for the retail sector Given the range of challenges facing the retail sector over the coming years, it is now more important than ever to ensure there is clear focus within Government on supporting the growth and competitiveness of the Irish retail sector. In order to achieve this, one State Agency should be tasked with providing support to the sector through enhanced collaboration and engagement.

2. Introduce a tax credit to support further online sales capability In order to ensure the State and domestically based retailers benefit from the recent growth in online retail sales, Government should seek to establish an online investment support scheme aimed at helping Irish retailers invest further in their online and omni-channel capabilities. Such a scheme would help retailers compete more effectively for a greater share of the online sales market and win back some of the 75% of total online sales revenue which leaves the country at present.

3. Grow consumer disposable income Government should promote growth, spending and consumer confidence by reducing the current tax burden on consumers through lower income taxes and no new consumption related taxes. This can be achieved by reducing the marginal income tax rate to 45% over five years. Government should also index the entry point to the top rate of tax to wage growth to ensure consumers get the benefit of future increases in pay.

4. Reduce the cost of regulatory compliance The retail sector has a long track record of high levels of compliance with Government imposed statutory regulation and voluntary initiatives across a variety of industry related activities. Such compliance comes at a high cost to the sector and this burden has been growing in recent years. Government should commit to not introducing any new costs associated with regulatory compliance, and furthermore, should commit to reducing the burden of red tape for the sector which exists currently.

5. Increased support for retail training and education programmes The retail sector, through Retail Ireland Skillnet, which is part funded by the Department of Education and Skills, provides a range of industry specific training solutions for the Irish retail sector. In order to further develop these initiatives and build out a full suite of further education and training supports for retail employees at all levels, increased funding and support will be required.

6. Regenerate Ireland’s high streets Government should work closely with the sector to provide greater funding and support for initiatives aimed at regenerating the cities and town centres of Ireland devastated by the recession and years of decline. Such initiatives will ensure that these spaces are more vibrant, safe and attractive places to live, visit and spend time in and will help reclaim those towns and villages for consumers and retailers alike.

“Against this backdrop, it is crucial that the retail industry, Government and the other key stakeholders are aligned around our future vision,” Whelan insisted. “This vision is to foster a thriving, world-leading retail industry, that makes a positive impact on customers, creates a rewarding environment for employees, contributes significantly to the economy and enhances community life throughout the country.

“Our strategy is grounded around four key pillars - competitiveness, confidence, careers and community -

and we will pursue a wide range of new and exciting initiatives around each of these platforms.” Whelan argued that despite the challenges that lie ahead, he is confident the future is bright for this dynamic and exciting sector.

“We hope our new strategy will raise greater awareness of the importance of the retail sector and the contribution it makes to the wider economy,” concluded Thomas Burke, “and that it will drive wider engagement and inspire positive action for the benefit of our members, retail employees and the millions of customers we serve every day.”

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20|Retail News|April 2017|www.retailnews.ie

Retail News Interview

Paddy’s Day! Paddy Carmody, Marketing Manager for Beiersdorf in Ireland, talks us through the ever-changing world of personal care, where New Product Development is key to gaining and retaining customers.

PADDY Carmody, Marketing Manager for Beiersdorf in Ireland, is a proud Kerryman, who undertook his business degree in IT Tralee, followed up by a Masters in International Marketing at the Robert Gordon University in Aberdeen. He subsequently completed an MBA at Aston Business School in Birmingham, UK. Paddy started working at Beiersdorf in early 2013 in their UK/Ireland HQ in

Birmingham, having spent several years working in London for Burton’s Biscuits, the home of Cadbury biscuits, Jammie Dodgers and other household biscuit brands. “I joined the business to head up their shopper activation and POS team for the UK and Ireland,” he explains.

“After two years, I was offered an international placement as a marketing manager and it just happened to be in Ireland.”

The son of two doctors, Paddy never felt any pressure to enter the family profession. “No, not at all,” he laughs.

“My parents never put any pressure on me and they knew that I would end up in an area that I was really passionate about. The closest I got to medicine is marketing our Elastoplast plaster brand, which is Ireland’s number one plaster brand, so in fact my Mom and Dad were using my brand for years but

Retail News|April 2017|www.retailnews.ie|21

Retail News Interview before my time!”

In a wide-ranging interview, Paddy talks us through his career choice, the changing face of marketing, the importance of NPD and the advancements in the area of shopper marketing.

So why did you choose a career in marketing?

I love it! How many people can honestly say that they work with brands that they love and can see the multiple benefits that their brands can have on people?

Taking our sun cream as a prime example, this is a product that actually prevents skin cancer: how amazing is that.

One of my favourite examples is from my colleagues in Australia. When they talked to mothers about applying sunscreen on their kids, they were told, ‘It’s a nightmare,’ ‘Kids won’t stay still’, ‘It spills in their school bag,’ etc. So my colleagues took that as a challenge and then developed a Nivea Sun roll-on format that makes sunscreen application easy, spill free and fun for the kids to use. Since then, I am delighted to say this is now available in all good stores nationwide.

Once you gain valuable insight, you get to put your creative hat on and that is the part that everyone associates with marketeers. A recent example that comes to mind is for our Nivea Men brand, We sponsor both Liverpool and Real Madrid, so when they played their ‘legends’ game a few weeks ago we got to shoot some great digital content with the Irish Liverpool players, such as John Aldridge, Ronnie Whelan and Jason McAteer. My personal favourite was the players having to take the ‘Shave a balloon’ challenge.

When you started working with Beiersdorf, and the Nivea brand in particular, were you worried as a man entering what was seen very much as a female-dominated sector, in the sense that you would not have the experience of actually using the products you were marketing?

Great question. I will answer that with a Yes and a No (no Kerryman jokes please!). No, in that under the Beiersdorf portfolio we have brands that range from Nivea Men, Nivea Sun, Labello and Atrixo to Elastoplast which were all brands I was familiar with growing up. Also, a good marketer should be able to market any and every product, as the number one rule to remember is that you are not the target consumer. You need to understand exactly who the target

consumer is and what they desire and what they need etc. in order to influence their purchasing behaviour.

Yes, in that Nivea is Ireland’s number one facecare brand so I needed to hit the ground running. I had three months before joining to learn as much as I could. So all of a sudden, I was getting into discussions with my female friends on cleansing/toning/ moisturising etc. and I was probably the only man in Tralee buying women’s magazines! I actually have some great stories about reading women’s magazines at bus stops in Finglas to being asked in a doctor’s waiting room whether I was finished with Cosmo!

How involved were you in the rollout of Nivea Men and its subsequent success?

When I took my current role, we were number two in the Irish market. I saw this as both a welcoming challenge and an opportunity as we were number one in the UK and the number one global men’s brand. It became apparent that the brand had strong awareness levels but that the brand was seen as a bit tired. We knew that we needed to inject some more life into the brand, bring in some of our latest product innovations, proactively highlight the benefits of our products and talk to our target consumers and shoppers via channels that they used.

We sponsored the Irish football team, which was a fantastic success and ran several competitions in store and on social media. We ran several activities at the games, including product sampling.

We launched our new all purpose Nivea Men tin, which was an instant success.

I am happy to say last year, we became Ireland’s number one men’s brand and it’s a position that we want to keep.

Is there room for further growth of the male skincare/grooming category?

Absolutely. This category is growing YOY and we are enjoying double digit growth.

Back in the day, guys in changing rooms might have had one bottle of shower gel…between them. Now you walk into any changing room in the country and guys will have multiple shower gels, deodorants, shaving products and moisturisers. Guys are really starting to take care of themselves and it shows. Just look at three of Ireland’s most popular male personalities at the moment Paul Galvin, Tomás Ó Sé and Aidan O’Mahony and look at how well groomed they are. I’m not exactly sure where they are from but it’s obviously a very stylish county!

“

We have been talking to our Irish consumers through cinema, football games, PR events, online, social media and not just through TV. To get cutthrough now is much harder than ever before and you need to be relevant to your consumer.

”

You previously held the role of Head of POS and Shopper Activation: how do you think that experience helped you to take over the marketing department?

It has helped me to no end. One of the great things about Beiersdorf is that they actively encourage job rotation and personal growth. In my experience, some marketers have only ever been in brand management and they only think ‘consumer consumer consumer’, whereas a good brand manager will be thinking consumer-shopper-retailerbrand.

The SA and POS role gets you into the mindset of the shopper. For example, how many dogs have you seen walking the pet food aisle or babies crawling the baby aisle? Not many, but the products sell. Why? Because shoppers and not consumers are buying them, so your targeting isn’t the consumer but the shopper.

Two health and beauty examples are men’s products and sun products.

Roughly 50% of men’s products are bought by women (mothers, wives, girlfriends) and mothers in particular are the biggest buyers of sun products for their families.

The role also gets you to think about not only the retailer but the actual channels too. A local convenience store doesn’t want a triple pack of face wipes but an online shop might, as it gets delivered. A pharmacy might want a slimline FSDU due to tight floor space but a supermarket might want a large pallet to drive volume.

22|Retail News|April 2017|www.retailnews.ie

Retail News Interview What have been the milestones in your career to date?

I have been extremely lucky in my career to date but some of the biggest milestones would be getting a scholarship to a top 100 FT MBA programme, getting selected by The Grocer magazine in the UK as one of their ‘Top 30 under 30’ and recently getting voted Beiersdorf’s Employee of the Year for the UK & Ireland. One specific to Ireland would be getting two new number one market positions for Nivea Men and Nivea Sun. What are you most Nivea Micellar Wipes have been named Product of the Year for 2017. proud of in your time at Beiersdorf?

In Ireland, Allegro are our distributor and multiple new brands arriving to but to say distributor and not partner the category. Consumers wanted new wouldn’t be doing them justice. They are I think that there is an news, so we introduced Labello Neon, an extension of our team and go above which helped Labello to become the opportunity to bring and beyond to represent our brands in second biggest lip brand in Ireland, the Irish market. They have done such an pipping Nivea Lip. categories together amazing job that not only did they help e.g. how many people us win supplier of the year in 2016 but Any other exciting launches that you they have been held up as best in class can tell us about? buy crackers and in our global HQ. I am very proud to work I am really excited for the body category don’t buy cheese? If alongside them. Every Allegro employee this year. As Ireland’s number one treats the brands as if they were the body brand, we feel that it is our job the answer is low, then brand manager. Fantastic to see. to grow the category and this is why why isn’t cheese sited we are bringing Nivea Senses to the How important is NPD to the personal market, which is a 200ml body cream near crackers or vice care sector in general? that comes in two different variants, NPD is very important to all health namely Rose and Cherry Blossom. versa. and beauty categories. Thankfully These two variants will bring new, we are a very innovative company as younger consumers to the market as we significantly invest into our R&D younger consumers want new news department. Consumers always want Day and in September, we get to work and fragrances. We are also launching to work with the latest formula or ‘hot’ our Nivea magic at Electric Picnic by 400ml Nivea Senses pumps, which ingredient. Take for example Micellar looking after all the festival goers by cater for the avid body user who wants Water. This has been flying off the providing some well needed R&R at the more value in her purchase. So keep an shelves. Last year, we won product of Nivea showers. eye out for the distinctive packaging in the year for our Micellar Water and we store. simply couldn’t keep it on the shelves.

How has the role of marketing changed We then asked our consumers what since you started at Beiersdorf?

What does the next year hold for you else would they like to see within We tend to get a lot of international and your key brands? cleansing and we got answers such colleagues coming over to us, which What an exciting year we have. We as ‘I love wipes, can’t you do anything is great, as you get to hear and see just had Lauren Murphy, who is the with Micellar?’ and ‘I just need more different things. For example, our work backstage make-up artist for The of it’. Taking the feedback from our with the FAI would have come off the Voice UK, over for a Nivea cleansing consumers, we launched bigger bottles back of our work with AC Milan in Italy campaign. Lauren gave a cleansing of Micellar water and we very recently and our work with Electric Picnic came tutorial and demo to some of Ireland’s launched our Nivea Micellar Wipes, off the back of work with the likes of top beauty and lifestyle journalists, which have won the Product of the Year Glastonbury. The biggest difference vloggers and bloggers. She shared her for 2017 already.

I would say has been around one of expertise in the industry, including her If you look at smaller categories the four Ps: ‘Place’. As I mentioned backstage cleansing tips and tricks. We such as lip care, then you will see loads earlier, we have been talking to our Irish then have some fantastic Nivea Men of different flavours being introduced consumers through cinema, football activation plans in place for Father’s

“

”

Retail News|April 2017|www.retailnews.ie|23

Retail News Interview Europe. They make for quick and easy shopping e.g. meal deal sections, coffee and snack kiosks. Some of the offlicences are also fantastic, with great categorisation and education in-store.

They make the shopping experience very enjoyable. When I was in the UK, I loved seeing shops siting condiments with veg together, which I am starting to see here a lot more but I still think we miss out on creative events such as ‘Big Night In’ etc and I don’t think we do seasonal events as well as some other countries.

I also think that there is an opportunity to bring categories together e.g. how many people buy crackers and don’t buy cheese? If the answer is low, then why isn’t cheese sited near crackers or vice versa.

Paddy Carmody, Marketing Manager for Beiersdorf in Ireland: “NPD is very important to all health and beauty categories. Thankfully we are a very innovative company as we significantly invest into our R&D department.” games, PR events, online, social media and not just through TV. To get cutthrough now is much harder than ever before and you need to be relevant to your consumer.

What trends are driving change?

This really depends on the category.

For example, lip is all about new news and new flavours. Men’s facial is all about ‘manscaping’ whilst looking after your skin. Female face is about good cleansing being essential for good skin.

More and more women are cleansing, toning and then moisturising.

In sun care, I am calling this a

‘trend’ as it hasn’t become part of the Irish consumer’s daily usage yet but hopefully it will soon, as it is so encouraging to see signs in creches saying ‘please apply sun cream to your kids’, seeing festival workers using and re-applying sunscreen and people at work applying sun screen when going to the park for their lunch.

How does Ireland compare to other territories when it comes to shopper marketing?

We have made some big advancements in recent times. I would put our forecourts up there as best in class in

How can we improve what we do in this area?

I think this entails a big piece of research: 1) Talking to the Irish shoppers and asking them what they would like in store; 2) Looking at what people buy (i.e. basket analysis) and at what time of the day; 3) Store visits across the globe.

In terms of talking to shoppers, you might hear that some shoppers want to get in at lunch and get out quickly and not have to be in a long queue. This then allows you to change your store to cater for different shopping missions e.g. SuperValu Merchants Quay isn’t a big weekly shop anymore so the layout should reflect that and cater for other missions such as lunch missions.

When I worked in biscuits, we knew that 80% plus of biscuits were consumed with a hot beverage. When more hot drinks sold, the better for us, so we paired up with PG Tips to offer a PG Tips/ Cadbury biscuit promotion. Why not have the top ten biscuit brands with the tea/ coffee fixture?

Store visits can be very illuminating.

In Brazil, there is a hairdressing station in the middle of the hair colourants section and once you buy your hair colour, you can get it coloured on the spot by a professional. In Australia, Coles offer recipe cards at the veg section every week, which allows shoppers to experiment.

Finally, as a proud Kerry man, what are the Kingdom’s chances of toppling the Dubs this year?

Lies, damned lies and statistics...

Interesting choice of words, saying Kerry toppling the Dubs, as this implies the Dubs are the team to beat. Kerry have 37 All Ireland wins and Dublin only have 26…so the question should be will the Dubs ever topple the Kingdom?

24|Retail News|April 2017|www.retailnews.ie

Focus on Londis

Kelly’s Londis, Milltown, Co. Kerry.

Londis Ready for Future Growth Londis is fast becoming the convenience store of the future with a number of new fresh food concepts and state-of-the-art store design.

THERE have been a number of key developments at Londis since joining BWG Foods in 2015, with a particular focus on retail innovation, product offering, store design and layout. BWG has encouraged retailers to modernise stores and in 2015 put in place a

programme of co-investment with Londis retailers to upgrade their stores.

Over the course of 2016, 25 Londis stores were revamped, equating to one store every two weeks.

Developed to suit all Londis store formats, the new design covers various departments, including deli, coffee, bakery, fruit & veg, off licence, grocery and butchery.

According to Conor Hayes, Londis Sales Director, “Londis has gained a great name for quality, fresh food and we intend to build on that over the coming months and years. Londis customers expect to find fresh product, competitive pricing with a local feel and that’s what we deliver.”

Chief among these fresh concepts is the introduction of two new and exclusive Londis deli concepts, Bia Blás and Londis Deli. These concepts have been designed to work well in different

store types to provide flexibility to the retailer, depending on their customer demographic and location.

Premium Coffee Offering The introduction of three branded coffee offerings has been an immense triumph for Londis retailers. As part of their revamp, Londis stores were invited to invest in one of three top class branded coffee offerings, Seattle’s Best, Insomnia or Bewley’s.

These coffee offerings have delivered significant growth for retailers.

Over 70 stores are now enjoying the benefits of a branded coffee offering, showing increased footfall, offering a competitive advantage against stores with a non-branded offering and it is also proven to be a significant cash profit generator.

“Retailers who have upgraded to a branded coffee offering have reported

Retail News|April 2017|www.retailnews.ie|25

Focus on Londis a three-fold increase in coffee sales,” says Conor. “Customers expect to be able to find premium coffee in convenience stores. It’s a savvy investment for any retailer to adopt a strong coffee offering.”

The Butcher’s Shop at Gillan’s Londis Plus in Summerhill, Co. Meath.

The Fresh for You Bakery at Gillen’s Londis, Dublin Road, Trim, Co. Meath.

The Londis Deli at Patterson’s Londis Foxrock, Co. Dublin

Fresh and Chilled The brand’s private label offering has been expanded to focus on fresh and chilled, giving Londis retailers access to BWG’s exclusive sub-brands such as Glenmór meats, Fresh Choice produce and the extensive and exclusive agency wine portfolio.

It is all these initiatives combined that ensures differentiation from competitors, along with driving growth across the Londis estate. Stores that have invested in a full revamp have on average seen a sales increase of 17% and an additional increase of 1% margin. The newly revamped stores offer a new lease of life to the retailers, to their staff and of course their customers too, all of whom are delighted to work and shop in a new, modern store with innovative concepts that meet their changing requirements.

Exclusive Food & Beverage Offerings In addition to the new deli concepts and coffee offerings, several new and exclusive food and beverage offerings, such as The Burger Station, Fresh for You Bakery and The Butcher Shop, have been launched over the last 18 months.

Designed to facilitate the implementation of future retailing technologies and innovations, the overall aim of the new look is to strengthen the brand’s customer appeal in traditional grocery departments, while enhancing its local convenience positioning. This is being done through an improved fresh food offering and newly introduced store design.

2017 is certainly looking bright for Londis. With the combination of ambitious Londis retailers and the key initiatives outlined above, the brand is expected to enjoy strong growth into the future.

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Retail News|April 2017|www.retailnews.ie|27

Ice Cream

Cold Comforts

The ice cream market continues to grow, across impulse, take home and soft scoop categories, as Irish consumers indulge their taste buds, with new launches set to shake up the sector this summer.

IRISH consumers love ice cream.

The market for ice cream and frozen desserts increased by 2% in value terms in 2016, with the category valued at €165m by Euromonitor International.

However, the weather still impacts the sector, with sales soaring as the sun shines, as evidenced by the slowdown in 2015, particularly in the impulse sector, thanks to the relatively bad weather, which saw a corresponding uplift last year to reach its current highs.

The market for take home ice cream is also growing, increasing by 6.5% in value terms in 2016, according to figures from Kantar Worldpanel (see separate panel), with further gains of 3.9% expected this year.

Euromonitor expect the ice cream and frozen desserts category to increase

by 1% per year in the coming years, reaching €169m in 2021. According to the company, growth will remain unpredictable within the impulse category and will remain very dependent on the weather, so here’s hoping for a sunny and warm summer season ahead.

Unilever Ice cream season is here and the market leading company, Unilever Ice Cream, has a number of major launches, including Magnum Crackable Tubs, Ben & Jerry’s Topped and HB’s Minion Bello & Max Duo. Ireland’s love of ice cream continues to grow, across impulse, scooping and take-home channels. Unilever drove the 10% value and 6.5% volume growth within the impulse channel (Source:

Nielsen ice cream MAT December 2016), through a combination of hugely successful NPD like Magnum Doubles, Calippo Cola, Twister Blackcurrant, Ben & Jerry’s ‘Wich, and Cornetto Mint, coupled with massive marketing campaigns such as the award winning #HBGoodbyeSerious activation, driving consumers to the impulse freezer.

Likewise, consumers flocked to purchase ice cream for take home occasions, with Unilever helping to drive overall market growth of 4.3% value sales (Source: Nielsen ice cream MAT December 2016).

2017 looks like a stellar year for Unilever ice cream, with some exciting new product launches tipped to tantalise the taste buds of consumers and propel the ice cream category into continued

28|Retail News|April 2017|www.retailnews.ie

Ice Cream Take Home Ice Cream Sales The value of take home ice cream sales rise from €89.59m in 2015 to €95.39m in 2016 and is expected to grow further to €99.08m in 2017.

52 w/e 01 Mar 15

52 w/e 28 Feb 16

52 w/e 26 Feb 17

Value Sales €000

89,588

95,394

99,068

Volume Sales 000

38,058

39,534

41,510

(Source: Kantar WorldPanel) that was made to be broken.

Consumers can indulge in signature Magnum luxury in an ice cream tub unlike any other, in three core flavours: Classic, White and Almond.

Building on the fantastic success for Magnum Doubles in 2016, two delicious new flavours, Double Raspberry and Double Coconut, will be launched. Double Raspberry is luscious raspberry ice cream dipped in a chocolatey coating and a layer of tangy raspberry sauce, covered in cracking Magnum chocolate. Ben & Jerry’s are planning an even bigger and Double Coconut is velvety better year for the ‘Wich, the on-the-go ice cream smooth coconut cream sandwich, in 2017, supporting the range with a dipped in a chocolatey massive campaign to further push this innovative coating and a layer of and irresistible format. luscious chocolate sauce, Double Raspberry will be available in covered in cracking Magnum chocolate. both multipack and impulse formats, and

Magnum Double Raspberry is luscious raspberry ice cream dipped in a chocolatey coating and a layer of tangy raspberry sauce, covered in cracking Magnum chocolate. strong growth.

“We have exciting innovations and relaunches coming across the majority of our brands, and all will be supported with strong marketing and in-store campaigns,” explained Paul Kelly, Head of Marketing, Unilever. “Among our major launches for 2017 are Magnum Crackable Tubs, Ben & Jerry’s Topped, and HB’s Minion Bello, with a major relaunch for HB HazelBrook Farm.”

Unilever are introducing the classic Magnum ice cream in a crackable tub. It’s a beautiful contradiction; carefully made to be broken. A sensorial experience, enjoy Magnum by the spoonful of rich chocolate shards, swirled in velvety vanilla ice cream, wrapped in a cracking chocolate shell

HB has teamed up with the loveable Minions to create a Banana & Vanilla push-up ice cream, Minions Bello, just in time for release of the summer blockbuster, Despicable Me 3.

the Double Coconut will be available in a multipack.

HB has teamed up with the loveable Minions to create a Banana & Vanilla push-up ice cream, Minions Bello, just in time for release of the summer blockbuster, Despicable Me 3. Available in both impulse and multipack formats, Minions Bello fits under Unilever’s strict “responsibly made for kids” guidelines and so is a perfect treat.

Answering consumer demand for a value proposition in the kids segment, Unilever have created the innovative Max Duo ice cream, bringing together chocolate and vanilla ice creams and wrapping them side by side in a chocolate coating. Available exclusively only in impulse and adhering to their “responsibly made for kids” guidelines, HB Duo is sure to be a massive hit in 2017.

HB HazelBrook Farm ice cream, Ireland’s iconic and favourite ice cream dessert brand, is undergoing a complete revamp in 2017, starting with a fantastic modern new pack design, and extending the number two HB brick flavour,

IntRoduCing the new looK hb ClaSsicS foR suMmer 2017

NO.3

NO.2

NO.1

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ConTact youR loCal hB sUpplIer To mAkE surE yoUâ&#x20AC;&#x2122;re FullY stOckeD foR thIs sUmmeR. SOURCE: NIELSEN MARKETTRACK MAT UNIT SALES TO JAN/FEB 2017

30|Retail News|April 2017|www.retailnews.ie

Ice Cream Raspberry Ripple, into the 900ml tub toppings. HB Happiness Station offers followed by Bounty (Source: Nielsen format. The relaunch will be supported you a point of difference, an in-store Scantrack, Total Ice Cream Market, with a heavily weighted investment destination that will drive footfall and Value Sales, MAT, Data to Sep 11, 2016). campaign, featuring new advertising and consumer engagement.

2016 also saw the successful launch activation. In addition, HB Hazelbrook Unilever’s year-round support, of the best-selling Maltesers Teasers Farm continues to support Down including seasonal activations and in a four-pack. It has quickly become Syndrome Ireland in raising much eye catching point of sale, along with one of the company’s best sellers in the needed funds through the HB ice cream training and operations support, take home category, capitalising on the Fundays campaign. Why not join in by will ensure that you can offer your growing sharing occasion. Maltesers hosting your very own party? Check out customers a consistent, high quality ice Teasers ice-cream features crunchy www.downsyndrome.ie for details. cream experience. New toppings and mini Maltesers pieces floating in creamy After the amazing success of Ben products will be added to this exciting dairy ice cream and dipped in a delicious & Jerry’s launch into the snacking range for 2017. chocolatey coating. It is the number segment in 2016 with ‘Wich, the on-theone Mars ice cream impulse product go ice cream sandwich that comes in Mars Ice Cream (Source: Nielsen Scantrack, Total Ice Ben & Jerry’s two most popular flavours Mars Ice Cream is the third-largest Cream Market, Value Sales, MAT, Data to (Cookie Dough and Chocolate Fudge branded ice cream manufacturer in Sep 11, 2016).

Brownie), Ben & Jerry’s are planning Ireland (Source: Nielsen Scantrack, Take home is worth over 69% of the an even bigger and better year for the Total Ice Cream Market, Value Sales, Irish ice cream market (Source: Nielsen ‘Wich in 2017, supporting the range with MAT, Data to Sep 11, 2016). Its portfolio Scantrack, Total Ice Cream Market, a massive campaign to further push this consists of favourite brands Maltesers, Value Sales, MAT, Data to Sep 11, 2016), innovative and irresistible format.

Galaxy, Mars, Snickers, Twix and and the four-pack size is the most But that’s not all. Ben & Jerry’s Bounty. In 2017, these brands will be popular multipack for stick ice cream, so is taking things to the next level with supported by €2.7m in advertising. it is a natural fit. its latest pint creation – Ben & Jerry’s The shining stars of the Mars Ice For enquiries on stocking any of Topped. Hitting freezers across the Cream portfolio are Maltesers Teasers the products in the Mars ice cream country, the new Topped flavour family is and Galaxy Caramel stick ice cream, portfolio, please contact Sean Conacur, set to add a whole new layer of euphoria and Mars and Snickers ice cream bars, Commercial Manager, Dale Farm RoI, on to the brand’s successful portfolio, which are the number one and number 086 2554594 or Kevin McLaughlin, Van as each ice cream comes with an all two ice cream bars in the market, Sales Manager, on 087 2391257. new layer of spoonable soft chocolatey topping with extra chocolatey chunks on top; what’s not to love about that?

The new collection comes in three unique flavour combinations: Salted Caramel Brownie, Chocolate Caramel Cookie Dough, & Strawberry Swirled.

Carte D’Or is going from strength to strength, doubling in size in the last two years. Unilever have two delicious ranges Classic and Gelateria, and are launching a new exciting flavour this year, Profiterole, It’s a deconstructed dessert like no other, reinforcing that ‘when you have Carte D’Or, you have dessert’.

The Carte D’Or Gelateria Scooping experience is designed to convey the premiumness and sophistication of an authentic Gelateria. Unilever’s high quality ice cream offers superior appearance and taste. Their wide range of flavours, including Candyfloss, new for 2017, are sure to entice the taste buds. From their improved energy consumption cabinets to their branding and operations support, Unilever offer a complete scoop solution that in return offers a high margin and short payback period.

Shop owners and managers can also bring added value to your soft ice cream category by allowing your Mars Ice Cream’s portfolio includes the hugely popular Mars and Snickers ice cream consumers to create their own unique ice cream with the addition of premium bars, as well as the Maltesers Teasers Ice Cream.

STOCK UP WITH THE NATIONS FAVOURITE CHOCOLATE BRANDS IN ICE CREAM

• Maltesers®, Galaxy®, Snickers® & Mars® are all in the top 20 Chocolate Brands in Ireland* • Brands supported by €2.7million advertising investment for 2017 • Mars Ice Cream is the No.1 Ice Cream bar, followed by Snickers** For enquires please contact: Sean Conacur – Commercial Manager RoI 086 255 4594 or Kevin McLaughlin – Van Sales Manager 087 239 1257

Source: *Nielsen, Total Scantrack, Total Chocolate, Value Sales, MAT, Data to Sep 11/16. **Nielsen Scantrack, Total Ice Cream Market, Value Sales, MAT, Data to Sep 11/16. ™®designs/© Mars MARS®, MALTESERS® TEASERS® and SNICKERS® are registered trademarks © Mars 2017.

32|Retail News|April 2017|www.retailnews.ie

The Evolution of Retail

On The Origin of Stores

A new study from international customer experience experts, Mood Media, highlights the key milestones in the evolution of retailing since 1800 and predicts what the store of 2050 might look like.

MOOD Media, a global leader in elevating customer experience, recently released a new study that explores the evolution of instore customer experience throughout three centuries, starting from 1800 to 2050.

The study was conducted in collaboration with academics at a leading university in France and it aims to understand the retail innovations that represent key milestones in the evolution of the customer experience and ultimately anticipate what the store of the future will look like.

Valentina Candeloro, International Marketing Director of Mood Media.

Retail News|April 2017|www.retailnews.ie|33

The Evolution of Retail SHOP WINDOWS • First seen in Department Stores thanks to broader access to electricity and the industrialisation of glass manufacturing

1800-1899 1800 – 1899

Department stores radically transform the customer experience and finally enable the customer to become autonomous in the store.

He/she can touch the clothes and the objects (they are standardised) and no longer needs to ask the salesperson for the price. He/she is informed of new products by the store’s promotional efforts: the modern customer is born!

STORE FORMAT • Rise of department stores: Bennett's of Irongate (Derby, Ang -1734), Tapis Rouge (Paris, Fr - 1784), Trois Quartiers (Paris, Fr - 1829), Austin's (Northern Ireland - 1832) • First public shopping centres “Galeries de Bois” (Paris, FR - 1786), Burlington Arcade (London, Ang -1879)

SERVICES • Department Stores introduce changing rooms, open access, sales by catalogue and free returns

PAYMENT • Price tags, introduced in the 18th century, are now commonly used. Introduction of fixed pricing by the retail chain Woolworth.

(USA - 1879) • Direct cash payment replaces retailers taking on credit in stores

INFLUENTIAL PERSONALITY • Aristide Boucicaut, creator of the Bon Marché (Paris, Fr. - 1852)

Store Format: The 19th century marks the advent of department stores. Its stores distinguish themselves from their predecessors by their splendour and the transformation of the act of purchasing into a recreational activity. They no longer simply line the streets in search of natural light to illuminate the space, but now occupy the space deep where the square meters have a lower value. Thanks to zenithal lighting and industrial architecture, the shops grow bigger and offer even more merchandise to be seen by customers. This retail revolution finds its origins in the French Revolution, which marks the end of guilds and the lifting of the ban on interestbearing loans.

The famous Galeries Lafayette, in Paris, who, in 1925, transformed their shop windows into a theatre to present the Nativity scene for the first time.

Payment: Le Bon Marché make labels become mainstream, guaranteeing a single price to all customers (a move already initiated by some shops in the 18th century) and autonomy in the store.

Another innovation: the cash payment.

Services: Paper bags start to be used to encourage customers to carry their shopping rather than being delivered at home.

THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

Services: Department stores introduce changing rooms, open access, sales by catalogue and free returns.

Shop Windows: The industrialisation of glass manufacturing in the second half of the 18th century allows the installation of shop windows.

Stalls’ small and traditional tiles slowly start to give way to moulded wooden fronts so that passers-by can admire the profusion of merchandise that awaits them.

1900-1919 1900 – 1919

INFLUENTIAL PERSONALITY • Clarence Sounders and his Piggly Wiggly store with the installation of shelves and gondolas and the invention of self-service

SHOP WINDOWS • Rise of the realistic wax models (1910) • Neon signs appear (1910)

Shop Windows: In 1910, shop windows experience a renewal thanks to the introduction of neon signs and the arrival of realistic wax models.

SERVICES • Invention of the supermarket shopping cart by Sylvan N. Goldman (USA - 1936)

1920 – 1939

ATMOSPHERE • Restaurants start to be featured inside stores • Rise of in-store hair salons, giving hairstyle, makeup and posture lessons • Department stores start to become entertainment centres with music rooms, art exhibition, special decorations and book readings

ADVENT OF ADVERTISING • The Department store Mitsukoshi innovates by advertising on Mount Fuji (Japan - 1908)

Store Format: Store formats evolve. Selfridges opens in 1909 in London with the aim to become a place of enjoyment. Until now, it is the former haberdashers who are taking the initiative and sensibly

THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

Atmosphere: Department stores start to become entertainment centres with music rooms, art exhibitions, special decorations and book readings. Restaurants start to be featured inside stores. At the beginning of the 20th century, hair salons multiply, followed by hairstyle and makeup classes as well as posture lessons.

1920-1939

STORE FORMAT • Retailers focus on adding pleasure to the shopping experience Selfridge's (London, Eng - 1909) • Grocers focus on managing flows. 1st self-service store Piggly-Wiggly (Memphis, USA - 1916)

The customer experience becomes dual. Now facing autonomous consumers, the grocery sector transforms its experience using the flow management approach to sell more and innovates, first in terms of logistics, with the first self-service store. Meanwhile, retailers focus on purchase-pleasure. In that period, advertising is at its pinnacle. In 1908, the Japanese department store Mitsukoshi does not hesitate to erect a sign at the top of Mount Fuji, dubbing its store number one in Japan.

SERVICES • Paper bags start to be used to encourage customers to carry their shopping rather than being delivered

helping the trade to evolve: however, the grocers won’t be slow to follow them. In 1916, the first self-service shop opens in Memphis in the United States. Another innovation: the one-price stores first appear in the United States in 1879 with Woolworths.

The 1920s mark the explosion of the ATMOSPHERE • George Owen Squier invents senses: from Christmas shows in elevator music and founds Muzak (1922) shop windows to music broadcasts • Recorded background music arrives in stores at Monoprix (Paris, Fr. - 1927) in stores, retail has taken the path of emotion. On the distribution side, the concept of flow management SHOP WINDOWS • Rise of window stageplays with becomes widespread with the the Nativity scene at the Galeries Lafayette (Paris, Fr. - 1925) STOREintroduction FORMAT of supermarkets and • Introduction of 1 supermarket which will be 40% cheaper than focus on(NY,lower prices. Additionally, the competition: King Kullen USA - 1930) • Simultaneous launch in the first shopping trolleys are France and in the United States of first franchise concepts in launched in 1936.

1930s “The very first supermarkets made the best use of improving plate glass technologies, as windows got larger and larger,” explains Valentina INFLUENTIAL PERSONALITY • George Owen Squier, creator of Muzak, invents Candeloro, International Marketing background music and brings it first to elevators and then to stores (USA, 1865 - 1934) Director of Mood Media.

“This encouraged the customer to be tempted by the goods inside. It also struck a tone of cleanliness and modernity.”

THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

st

34|Retail News|April 2017|www.retailnews.ie

The Evolution of Retail commercial zones. The first indoor shopping centre, the ‘Southdate Center’, opened in 1956 in Minnesota.

Store Format: 1948 witnesses the rise of the discount with the Albrecht brothers, who directly include annual rebates in the sale price.

The store will be named Aldi for Albrecht Distribution. Another innovation: in 1954, the malls – the first large shopping centres – open, while the world’s first hypermarket opens in France in 1963 in Sainte-Geneviève-des-Bois.

Payment: Bank of America creates the first bank-issued credit card in 1958 to facilitate in-store payment.

The first shopping trolleys launched back in 1936.

Store Format: After the creation of permanent establishments – Félix Potin opens his first store in 1844 in Paris selling at fixed prices and displayed under the same brand – the first supermarket, King Cullen, launches in New York in 1930. Self-service, simple displays, “everything under the same roof”, wide array of choice sold 40% cheaper than competitors, ads in the press: the foundations of the concept of the supermarket are laid.

Services: In 1936, Sylvan N. Goldman invents the supermarket trolley. It is foldable and allows customers to purchase more with two baskets, one above the other.

Services: In 1946, 7 Eleven creates the first extended opening hours: 7 am to 11 pm, 7 days a week.

Atmosphere: In 1954, Mood Media France creates the first endless record that covers the duration of the opening of stores and is launched at Monoprix.

1970-1999 1970 – 1999

INFLUENTIAL PERSONALITY • Jeff Bezos creates Amazon in 1994 challenging the traditional store concept of this time

Stores have to deal with more demanding consumers in what is the second golden age of sensory marketing, illustrated Atmosphere: by the spectacular recovery of Sensory marketing progresses with music, starting in the Abercrombie & Fitch. Guests 1920s, with collective broadcast of recorded music finally appreciate experiencing an made possible from a technical point of view. Café owners are SHOP WINDOWS atmosphere. Music and screens • Theatricalisation of shop windows: fake the first to use radio broadcasts to animate their businesses, murder scenes in Bloomingdales's windows become widespread in the 1990s.

(NYC, USA - 1970) followed by Monoprix, which becomes the first retail chain to PAYMENT “The humble barcode • Invention of the bar code in really broadcast recorded background music as early as 1927. In the 1970s Roland Moreno the shop,” revolutionised •chip the wayinvents we smart card (1974) 1934, Muzak Inc. is founded in the United States and invents the notes Valentina Candeloro. concept of soundscape, intended primarily for lifts.

“Hitting shelves from the 1970s - the first was a pack of gum in a ATMOSPHERE Shop Windows: • Abercrombie & Fitch pioneers in sensorial Marsh supermarket in STORE America marketing mix in store (USA - 1992) FORMAT Merchandisers produce real staging. In 1925, Galeries Lafayette • Introduction of in-store music design and • Appearance of e-commerce: Amazon (1994), theplaylists black and white bars helped custom

by Mood Media eBay (1995) • The 1 digital screens start to appear in transform their shop windows into a theatre to present the • Supermarkets, Hypermarkets and Malls all affirm retail as marketing tools grocery traders with two key as store formats across all continents Nativity scene for the first time. challenges. Firstly, it sped up STORE FORMAT checkout lines, creating a faster shopping experience and 1940-1969 • Albrecht brothers’ Aldi marks the advent of discount stores (Germany - 1948) 1940 – 1969 • Lorthland Shopping Center is the 1 big open-air mall (Detroit, USA - 1954) generating more money in the till. Secondly, it gave retailers a • Southdale Center is the 1 air-conditioned mall (Minnesota, USA - 1956) • 1 hypermarket by Carrefour (Sainte-Geneviève-des-Bois, France - 1963) more accurate way to track their stock.

This is the golden age of “While they weren’t an immediate success – the technology the consumer society. The was expensive and required significant staff training – by the experience for customers ‘80s it was estimated that for every barcoded product, the store consists of choice and PAYMENT saved nearly $30 a year,” Candeloro explains.

• Bank of America releases the 1 credit card gigantism: the first Another innovation during this period saw retailers use ever (1958) hypermarkets experience music to influence shoppers’ behaviour in-store. “It’s long lightning growth, and the been appreciated in the wider retail industry that music has an first big malls or shopping impact on shoppers,” Candeloro reveals. “It was first identified ATMOSPHERE centres appear. It is also in the in an American supermarket by R.E. Millman.

• Mood Mediaearly creates the1980s 1 endless record launching at characterised by the rise of Monoprix (Fr. - 1954) Over several days, he played different tempos of music and lower prices, accelerated by tracked this against the supermarket’s total daily profits. the creation of the discount.

“He found that fast paced music made shoppers walk The American concept of INFLUENTIAL PERSONALITY through the store more quickly, giving them less time to absorb • Edouard Leclerc pushes the ‘mall’ is attributed to the "discount" further the ranges driving mass consumption on shelf and make impulse purchases. On the other (Landerneau, FR - 1949) Victor Gruen, originally from hand, slow music led to slower shopping, with more purchases Vienna, who fled Europe SERVICES made.”

• Launch of the 1 7-Eleven opened 7am to 11pm (USA - first ineveryday thefrom 1930s.

His 1946) achievement, the Northland Store Format: Shopping Centre in Detroit From the 1970s to the 1990s, there is no new invention of in 1954 and the Gulfgate in Houston are outdoor pedestrian st

THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

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THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

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The Evolution of Retail format, but existing formats become widespread, grow (mega malls start appearing in the 1980s), expand on an international scale, and therefore merge. This period also witnesses the emergence of specialised stores. However, one innovation goes unnoticed: the birth in 1994 and 1995 of Amazon and eBay, the first e-merchants.

Payment: Paying becomes faster, thanks to the invention of the bar code in the 1970s. The methods of payment diversify and after the magnetic card, the chip smart card is invented in France in 1974 by Roland Moreno.

Services: The 1980s and 1990s witness the launch of loyalty policies, first in the aviation industry, then in the hotel industry and finally the distribution sector, with the launch of a loyalty programme in 1981 by American Airlines.

Atmosphere: Sensory marketing improves by integrating all the senses. In 1992, Abercrombie & Fitch became the pioneer of the sensory “marketing mix”, combining lighting, music and an olfactory signature. In France, Mood Media introduces music design and custom playlists for menswear brand Célio and beauty retailer, Sephora. The first digital screens appear in-store in the 1990s as marketing tools and become widespread in the 2000s.

The 2000s are marked by the exponential growth of e-commerce. e-commerce. Faced with the erosion of sales, mass distribution also turns heavily to the Internet at the beginning of the decade.

After launching their e-shops, stores integrate internet in-store through the first technological terminals and touchscreens. A single novelty in format marks this period: the creation of popup stores in the United States.

Payment: NFC technology hints at the evolution of payment. Home Depot is one of the first stores to implement this, offering to its customers the possibility to make payments via their mobile phone.

Services: Services are transformed to achieve a more integrated customer experience through three innovations. First, click & collect, introduced by Argos in the 2000s. Second, the development of RFID, a technology used for the first time in 2004 by Tesco in its supply chain management system.

American Apparel becomes the first retailer to use it in 2008.

Third, the virtualisation of the point of sale by Tesco at the INFLUENTIAL PERSONALITY • Steve Jobs reimagines the end of 2010, with the first virtual supermarket via ‘QR code’. store, his legacy took the STORE FORMAT convergence between physical • Exponential growth of digital stores even further by Personalisation is also becoming the Holy Grail for brands; The customer&creating has"iBeacons" changed a lot e-commerce (Apple – • Integration of touchscreens and Levi’s allows its customers, similarly to NikeID, to 2013) for instance in the past years and so has his/technological terminals in the point of sale their jeans in-store. "pop-up store" her path: he/she now juggles • Rise of thecustomise

Shop Windows: From the 1970s onwards, shop windows become popular by taking a theatrical approach, for example with ‘happenings’ showing languorous nudes, cooking scenes completed with broken objects, eggs or even murder scenes, led by the likes of Bloomingdale’s stores in New York.

2000-2010

2000 – 2010

concept

between the web, mobile Atmosphere: and the physical store. To Screens become very prevalent in stores: technical standards continue attracting him/her, the allow them to introduce an event format to stage the point customer experience focuses on services.SHOP Brands WINDOWS add a new become smart ingredient to•andWindows the customer connected: Façonnable (Paris, Fr. - 2010) experience, the element of surprise, with the advent of PAYMENT guerrilla stores blossoming • ’NFC’ Technology is first used in stores by across Europe.

Home Depot (US - 2010)

The grocery sector has been at the forefront of retail innovation for over a century SERVICES • 'Click & collect' first appearance at Argos (UK now, according to Candeloro: 2000s) • ‘RFID’20th Technology first used by Tesco (UK “At the beginning of the 2004) • The 'QR Code' makes the virtualization of the century, thanks to a more point of sale possible: Tesco Korea (2010) • WiFi starts to be offered by stores to autonomous customer within customers the point of sale, grocers have been the ones innovating around THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE in-store customer flow, while retailers started focusing on the concept of pleasure shopping and experience. This trend has continued all along: in 2004, Tesco introduced the concept of click and collect, RFID to better manage the distribution chain, and finally the use of QR-Codes to shop. Today, the lines are more blurred as grocers are also thinking from a customer experience perspective and vice-versa.”

Store Format: The 2000s are marked above all by the exponential growth of

The famous Galerie de la Reine in Brussels, which opened in 1847.

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The Evolution of Retail of sale. They, therefore, serve to support a new in-store experience and to reach audiences on the social networks that have recently been launched (such as the introduction of Facebook in 2006).

technologies like RFID make payment faster.

Services: Services explode in this period. First, after the consecration of click & collect, brands launch into the ‘store to-web’ trend Shop Windows: that allows their customers to order in-store and have their In the late 2000s, the shop windows become smart and items delivered to their homes. Another trend, the augmented connected. In May 2010, the flexible shop tested interactive sales associates: relying on tablets or other applications, they windows in Paris that allowed passers-by to view the stock can connect to customer accounts and better inform them or of the shop without entering it, in an average time span of 65 even order for them. The two pioneers: Burberry and Sephora. seconds.

Services are also enriched by technology. Beacons start SHOP WINDOWS • Introduction of connected windows appearing: in 2016 Apple launches its iBeacon. Virtual reality 2011-2016 • Virgin Megastore and Hugo Boss among the first uses of a passerby recognition system to is also spreading through stores. We see the beginnings of 3D 2011 – 2016 deliver bespoke & real-time content (USA 2011) in-store printing with, for example, the French shoe retailer The lines between retail Eram manufacturing its customised heel in 3D, as well as and e-commerce are now French optician Lissac offering the creation of a pair of glasses blurred: pure players launch designed from a sketch by hand and printed in 3D. their stores, while brands PAYMENT • Google Wallet, 1 mobile develop in-store crosspayment system is launched (2011) Atmosphere: channel strategies. Brands • Appearance self order and touch screens at The customer experience is increasingly refined and unique. that are able to speak to their payment McDonald's (2011) SERVICES Brands like Volkswagen are increasingly using augmented consumers instantaneously • "Cross-channel" strategies spread • 'click & collect’ is more broadly used by brands reality. In 2015, robots become popular, like Sephora’s are in fashion and the retail • 'Store-to-web’ rises as trend • Augmented clerks appear at Sephora (2011) and Nao in its Paris flash store. Another innovation is ‘audio experience is celebrated.

Burberry (2012) • 3D printing enters the retail space: Eram, Lissac (2016) watermarking’, a technology developed by Mood Media in Everything is thought of 2014 that allows brands to deliver branded content with music like a unique and customer results via Shazam. retaining experience. Robots start to appear in-store Shop Windows: as well as online: Amazon The major trend is the introduction of screens in the windows.

China launchesATMOSPHERE virtual reality Augmented reality is used in store by Hollister inaugurates the movement that colonised Oxford shopping with a•Volkswagen robotic (2011) • Robots start to appear in Nao and Sephora Street in London. The windows also start communicating, assistant. points of sale (Paris - 2015) • ‘Audio watermarking’ technology developed with features such as sharing, sending by e-mail, or instant

by Mood Media allows brands to deliver “Despite being a relatively branded content with music results via (2014)and purchasing. They are also able to detect passers-by and to new innovation,Shazam click THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE send them tailor-made content in real time (tested at Virgin collect has proven popular with shoppers in the UK, a service Megastore in the USA) by offering product information, all the major supermarkets now offer,” Candeloro explains. advertising content and even branded games, downloadable “And smaller retailers are in on the act too, as part of the directly on mobile.

Collect+ programme. The UK is one of the leading adopters of 2050 STORE FORMAT • Department Stores develop around bra click and collect, with 79% of shoppers self-collecting in the essence Smaller stores adapt to local communit last year.

2050 – The Store •needs of the • Integration of innovative startups to bra “Another new innovation, contactless has taken off like businesses Future • Connected objects will be a wide reality thanks to AI and Big Data a rocket,” she adds. “In London alone, nearly half of all purchases under £30 are contactless, and there are now 100m In 2050, there will be three contactless cards in circulation in the UK. There is yet to be billion more human beings, SHOP WINDOWS • Connected windows any concrete research into the impact contactless has had and two thirds of the earth’s and holograms in supermarkets. Are we going to see the end of excessive population will live in cities. queuing?”

Retail innovation will have Here in Ireland, at present, there are over 3m contactless to meet many challenges: debit or credit cards in the market and over 35,000 Irish the evolution of societal PAYMENT • Tills have disappeared, replaced b businesses offer contactless payment facilities. About 90% trends in consumption, digital receipts, payment via app an RFID of all debit cards in the country are contactless-enabled and Product personalisation will also le the environmental impact •price personalisation almost 55% of Irish consumers use contactless on a regular of the distribution and ATMOSPHERE • Feel data: personalised content basis. production model, the constantly adapted via neuro-scientific tools and algorithms • Retailment: personalised and unique scarcity of resources, and new experiences via mixed reality technology Store Format: technologies.

There is no more preferred format. From convenience store to SERVICES This leads to two basic • Personalisation: desired products at the best time and the best price • Voice and visual recognition gigantism, to ephemeral, concept or flagship stores, the store trends, the relocation of • 3D printing and visualisation to create bespoke products on the spot • Logistics: trolleys are smarter and will often be actual robots is fully transformed. The customer experience has become production and small-scale predominant and we now speak about ‘connected stores’, production: the technology of hydroponic farming seeks to set ‘workshop retail’ or even ‘festive stores’. Brick & mortar stores up “vertical farms” in the city and that of 3D printing limits the appear to be here to last, with web giants like Google moving production of waste. The objectives: produce on-demand rather into retail and launching its first point of sale in London in 2015. than store, rent rather than buy, repair rather than renew... st

THE EVOLUTION OF IN-STORE CUSTOMER EXPERIENCE : 1800-2050, BACK TO THE FUTURE

Payment: Payment undergoes its greatest transformation since the appearance of currency! In 2011, Google launches the first mobile payment system. That same year, payment on touchscreens becomes widespread at McDonald’s and

Store Format: Above all, a format that integrates Artificial Intelligence combined with Big Data and that creates a unique experience for each client. In 2050, there may be a world that will see the end of the interfaces: no more smartphones, everything is

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The Evolution of Retail to be truly interactive. Whole Foods has developed a robot that talks to customers and offers them cooking recipes.

3D Printing and Visualisation: The prospects of this technology should develop in order to be able to customise a product infinitely. If you combine 3D printing to 3D morphology scanning and personalisation of ready-to-wear models, the future of retail will be ”bespoke-readyto-wear”.

Logistics Adaptation for Customers: The paper bag or trolley are reinvented, as well as delivery by drones or other robots like the “starship” that can follow the customers and carry their purchases or the connected trolley, which will adapt to the customer’s profile or grocery list to drive him/her through the store.

Will trolleys as we know them become a thing of the past, with the advent of new smart trolleys, that can follow customers or adapt to the customer’s profile to drive them through the store? connected from the fridge to our clothes! Store formats may be reduced. Smaller, they will be more suited to local communities and their direct needs, rather than offering a multitude of items that will not always find buyers. The remaining large stores will allow customers to enter the brand’s world by offering a new experience and capitalising on the emotions of the customers.

Payment: Payment at tills will disappear forever: the movement is initiated by the launch of digital tickets: with digitalisation of queues, customers go to checkout when their number is called.

The development of payment via app will kill the queue at the tills. Some apps already allow the customer to pay directly for orders via one’s smartphone through partnerships with banking services. We could also see the end of single pricing: with customisation, prices will adapt to both the supply and the demand (Uber’s tariffs foreshadow it) and also to the settings of the customer who accepts to receive geolocalised notifications when the product is nearby and at the price he wishes.

Services: Personalisation is key, offering customers the products they want at the time they want them and at the best price. The North Face introduces the beginnings of this customisation via the personal shopper created by IBM (cognitive technology, Watson), a tool that learns from the customer for a personalised service. In France, NextUser uses Watson to analyse customers’ personality from multiple sources: their behaviours, online data, personality traits, emotions. For Nespresso’s American pop-up stores, it suggests the type of coffee the buyer will most likely enjoy. These services will keep on growing. Visual recognition and speech recognition tools will enable us to gather data but also to give life to holograms or robots and to allow them

Atmosphere: Using neuro-scientific tools (measurement of sweating and of nervous system reactions, attention and cognitive attention of the gaze) and intelligent algorithms, brands will be able to measure and analyse millions of emotional data, which is anonymous and comparable: the feel data. They will provide information on the emotions experienced in front of audiovisual content, during an in-store experience, on a user’s path on a website or an app or any other experience that provokes an emotion. The ‘feel data’ will allow brands to reset their relationship with customers that they welcome everyday and serve them in the manner of a large hotel that anticipates needs and expectations. Brands will be able to adapt their atmosphere to their customers!

Retailment: Stores become spaces where one can live an exceptional experience thanks to tools like virtual reality (increasingly present) or by being microcosms, the reconstitution of complete universes. These are all the trends of ‘feel at home’ or of the ‘all in one’, in which catering and the proposal of activities are pillars.

Shop Windows: Connected windows will develop, they will also host holograms with which passers-by can interact during closed time – Paul Smith tested this concept. These holograms can also be transparent to be visible all day long and make customers want to come in.

“In the Supermarket of the Future, sensors, robots, interactive screens and apps will help you learn more about the products you’re buying, and help you find the right ones for you,” concludes Valentina Candeloro.

“Customers might download an app, type in their preferred diet - vegetarian, low-carb - and an algorithm will suggest the best products the supermarket has to offer. Other customers looking for inspiration from their fellow shoppers could check in-store infographics that aggregate purchases in real time, ranking the most-bought items. Whatever the future brings, it’s sure to be an exciting time of development for grocery retail.”

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Dairy

The Dairy Air

Irish consumers are well aware of the quality of home produced dairy products, as evidenced by growth right across the dairy category.

IRELAND’S dairy industry is the envy of the world, with our climate and the expertise of our farmers and producers combining to create some of the finest dairy products on the entire planet. Irish consumers, in the main, are cognisant of the quality of the dairy sector here, with the result that the domestic dairy category is in rude health.

Drinking milk products experienced value growth of 3% in 2016, with overall sales estimated at €521m, according to Euromonitor International. Milk production in Ireland has been ramped up due to the abolition of EU milk quotas in 2015. The country’s dairy industry has benefited in volume terms from the ending of the quotas due to the strong presence of milk production in Ireland. However, whilst production has increased, producers are continuing

to focus greater energy on the export market and the global demand for good quality milk, particularly in emerging markets such as China. Economic improvements within Ireland have curtailed the need for reduced price points and value sales have remained strong in 2016 as a result. Euromonitor expect the category to grow by 1% per year in the coming years, to reach €549m in 2021. The majority of sales within the category are expected to continue coming from cow’s milk. New product developments are likely to spearhead growth, particularly those geared towards health and wellness, as well as fortified varieties such as milk with added vitamins and protein.

Cheese increased by 5% in 2016, with sales projected to reach €226m, according to the latest report into the

sector by Euromonitor International.

Sales of cheese grew significantly over the last year due to several factors.

The most important, however, is the continuing improvement within the wider economy, which has led to increased spending power among consumers.

Dairy products are viewed more today as a healthy and natural food source, which are free from additives and artificial ingredients; therefore, health and wellness trends are also driving growth.

Euromonitor expect the cheese sector to see continued growth over the coming years, averaging 3% per year, which would make the market worth €259m by 2021.

Cheese is seen increasingly as a natural and nutritionally beneficial product, with a wide range of varieties and formats available to the consumer.

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40|Retail News|April 2017|www.retailnews.ie

Dairy Value perceptions will also likely remain important within the category.

Nevertheless, discounting and price promotions are expected to occur less frequently, with the continued economic recovery likely to lead to increased consumer spending power.

The yogurt and sour milk products category also saw growth in 2016, this time expanding by 2% to reach value sales of €236m (Source: Euromonitor International). The sugar content of many yogurt products hindered growth within the category over the review period. However, the category has returned to growth, due largely to the continuing rise in the popularity of natural, organic and Greek-style yogurt products and Euromonitor predict continued growth rates in the coming years, reaching €257m by 2021. Yogurt is expected to drive growth within the category. In spite of the increased prevalence of private label within the category, brand innovations and products with higher health perceptions, such as high protein, low sugar and Greek-style yogurt products are expected to facilitate growth.

The dairy category also includes a host of other products, including the ever-popular fromage frais, as well as the fast growing categories of quark and soy desserts, which is worth €143m, growing at 2% per year, and Euromonitor expect it to reach €154m by 2021.

“As a chef, I am passionate about the taste and quality of cheese and love creating new and delicious cheese recipes. I am really looking forward to seeing the exciting recipes entries for this competition and feel the versatility of cheese lends itself so well to a myriad of dishes”.

Further details on the competition The three judges for the NDC Cheese competition include and entry form can Irish chef and author Clodagh McKenna, Irish Olympian and be found at food author Derval O’Rourke and Vanessa Greenwood of www.

Cooks Academy in Dublin. cheeseupyourlife. ie. the taste, versatility and convenience of The six finalists, three from each cheese in everyday life. category, will be invited to Dublin to There are two categories for attend a Cook Off in Cooks Academy on entering your recipe: Friday , May 5, where the two winners Passionate Cooks and Foodies: a will be announced. All entrants must delicious, healthy and nutritious family be available to attend the Cook Off if style recipe that you might cook midselected as a finalist. week. The prize for this is a cooking holiday in Tuscany, including flights Charleville Snackfuls from Dublin and accommodation for Kerry Foods have expanded the two people, plus professional kitchen Charleville Snacking range with the equipment to the value of €500; launch of new Charleville Snackfuls Trainee Chefs/Culinary Students: a Bites, a delicious new on the go snack special occasion recipe that you might from Ireland’s number one cheese cook for a dinner party or celebratory National Dairy Council brand. occasion. The prize for this professional Cheese lovers, your moment has come!

Adult Cheese Snacking is an cooking holiday in Tuscany includes The National Dairy Council is inviting under-developed category in Ireland, flights from Dublin and accommodation food enthusiasts and culinary students with the UK market the equivalent of for two people, plus attendance at a to enter an exciting new cheese recipe 2.5 times the size (Source: Nielsen special Cheese Symposium in Brussels competition to celebrate European 52 weeks ROI, YOY to Feb 22, 2016). on June 7 and 8. cheese. The competition forms part of Following a 2016 Great Taste Award for The three judges for the competition an EU wide programme with the aim of its Charleville Snackfuls Chunky Country include Irish Chef and author Clodagh promoting and creating awareness of Relish & Crackers pack, Charleville is McKenna, Irish Olympian and food perfectly placed to expand this sector author considerably.

Derval “At Charleville, we believe simple O’Rourke pleasures should be celebrated and and Vanessa grabbed with two hands, grabbed in big Greenwood wedge shaped chunks in fact,” noted a of Cooks company spokesperson. “That is why Academy in we’re taking a stand, to banish the bland.

Dublin.

Eat well, live well and get out there and “I am enjoy it. That’s what Snackfuls are all delighted to about: a hearty whollop of flavour on the be involved go.” with this There are two great tasting flavours exciting in the Charleville Snackfuls Bites range. cheese Crunchy BBQ Bites include Charleville competition Cheddar Cubes, BBQ rice puffs, spicy and jumbo corn kernels and roasted black campaign,” beans. Sweet Chilli Bites include The National Dairy Council is inviting food enthusiasts and culinary revealed Charleville Cheddar Cubes, chilli rice Clodagh students to enter an exciting new cheese recipe competition to puffs, chilli & lime peas and soy broad McKenna. celebrate European cheese.

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Dairy beans.

Charleville Snackfuls Bites are ideal for those who are looking for a more nutritious alternative to traditional snacks and with 9g protein per serve, consumers can live the good life on the go. Charleville Snackfuls Bites retail in a 55g pack format for an RRP of €2 and can be found in the dairy aisle.

New from Kerry Foods, GoGo’s provides the goodness of cheese always fresh from the fridge, along with other tantalising ingredients for adults to enjoy and snack throughout the day.

There are two great tasting flavours in the Charleville Snackfuls Bites range: Crunchy BBQ Bites and Sweet Chilli Bites.

GoGo’s Kerry Foods is set to explode adult cheese snacking through the launch of its new range, GoGo’s, which offers shoppers the chance to snack on tasty cheese bites alongside a range of delicious and nutritionally packed ingredient combinations, creating more moments for shoppers to love cheese.

GoGo’s provides the goodness of cheese always fresh from the fridge, along with other tantalising ingredients for adults to enjoy and snack throughout the day, like dark chocolate covered coffee beans. The brand is centred around enlivenment and delivering surprising ingredient, flavour and texture combinations that make nutritious food exciting for shoppers. Initially, the new line-up includes three varieties with further flavour and ingredient combinations rolling out throughout 2017.

The range includes: Full of Beans, roasted edamame beans and chilli and lime peas, reduced fat cheese bites and dark chocolate covered coffee beans and pretzel sticks; Oat-Tastic, spicy roasted corn and roasted edamame beans, reduced fat cheese bites and fruity and seeded flapjacks; and Protein Power, soy broad beans and roasted edamame beans, reduced fat cheese bites and chorizo bites.

“We know that many adults are looking for tasty snacks that make them feel good about what they are eating and that’s what we reflected in our GoGo’s

innovation,” noted Amanda Ryan, Senior Brand Manager at Kerry Foods. “We believe GoGo’s will resonate strongly with Irish shoppers as our research shows that 72% prefer to see healthy snacks over confectionery. Finding a gap in the market, GoGo’s will disrupt snacking and revolutionise the dairy aisle with a range of products that allow shoppers the chance to experience interesting flavour combinations.”

GoGo’s Full of Beans and Oat-Tastic are available in 55g packs (RSP: €2) and Protein Power is available in a 70g pack (RSP: €2.50). The launch will be supported through disruptive shopper marketing, sampling and geo-targeted digital campaigns aimed at disrupting snacking.

Avonmore Super Milk Avonmore Super Milk has teamed up with RTÉ to launch an essay writing competition with the prize for one lucky 5th or 6th class student, to become an RTÉ Weather Star for the day. The weather star winner will record a weather bulletin at RTÉ studios in Dublin that will air on RTÉ during key spots throughout the day.

The competition invites students to use their imagination and write an essay about probably the most talked about subject in Ireland, ‘Our Weather!’

Avonmore have gotten behind this campaign as they recognise our cloudy Irish weather means we don’t get enough Vitamin D from the sun: however,

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Dairy For Goodness Shakes

RTÉ Weather stars Nuala Carey and Karina Buckley predict an emerging ‘Weather Star’ with the help of Ava O’Byrne (11), Bray, and Marek Doyle (10), Finglas, at the Avonmore Super Milk and RTÉ’s ‘Weather Star’ school’s competition.

Avonmore Super Milk provides all your daily sunshine Vitamin D in just one glass, so even on rainy days, there’s still sun in your milk!

“We are really looking forward to seeing the entries coming in for this competition,” said Linda Sheehan, Senior Brand Manager, Avonmore. “We hope that the students have fun writing their essays. They can be as scientific, abstract or fictional as they wish, as long as they capture the topic at the tip of every Irish person’s tongue, our weather.”

As part of the campaign, RTÉ weather stars Nuala Carey and Karina Buckley have compiled a list of their ‘Tips to Becoming a Weather Star’ to help the aspiring students who have entered the competition to reach their goal.

The lucky winner will also get a tour of the RTÉ studios, an overnight stay in Dublin and a two-night family adventure holiday in Delphi Resort.

Avonmore Super Milk is one of the most accessible sources of Vitamin D and just one 250ml glass, whole or low fat, provides 100% of the reference intake of Vitamin D and is a great source of calcium.

CREATED by athletes for athletes, For Goodness Shakes has been a leading player in protein nutrition for over 10 years, working with high performance sport, elite and professional athletes.

A dairy goodness sports nutrition brand, the milk based formula of For Goodness Shakes is proven to hydrate quicker than water-based fluids; the natural electrolytes and absorption result in optimal rehydration.

For Goodness Shakes are ready for use even after the toughest race or training session and come in kit-friendly bottles, which means they can be kept outside the fridge or in the car for whenever consumers need them most, although there is nothing like an ice cold bottle to cool down after a tough session.

For Goodness Shakes Protein is a For Goodness Shakes are ready high protein, low-fat, delicious shake, for use even after the toughest designed to promote the growth and race or training session and maintenance of functional muscle. It come in kit-friendly bottles. delivers 25g of premium quality whey and casein milk protein, rich in BCAAs, EAAs and Glutamine. Each shake is only 205 calories.

For Goodness Shakes Recovery helps promote recovery after sport and boosts the immune system, which is depressed during and after extreme physical training. It helps to repair and build damaged muscle and also helps sustain energy for longer and aids protein synthesis.

Connacht Gold Connacht Gold is different and unique; it’s a brand that has something to say.

Connacht Gold have a half fat real butter; a product containing no vegetable oils or chemically treated fats, only the delicious natural taste of butter, with all the health benefits of half the fat.

As butter makes a comeback,

Connacht Gold’s Half Fat butter has grown in popularity as consumers move back to real butter, taking advantage of all the taste with half the fat. With the convenience of being packed in a tub, Connacht Gold’s Half Fat real butter has continued to go from strength to strength year on year.

Back on TV in 2016, Connacht Gold featured their Half Fat butter along with brand ambassador, blogger and businesswoman, Pippa O’ Connor. As the commercial aired, Connacht Gold began to educate consumers that Connacht Gold is in fact real butter, even though it’s in a tub format.

Connacht Gold have recently launched a new product, Connacht Gold Love to Bake; made with real dairy cream, this product is ideal for baking and the first of a range of new Love to Bake products that Connacht Gold’s Half Fat butter has grown in will come to market popularity as consumers move back to real butter, throughout 2017. taking advantage of all the taste with half the fat.

9g & 12.5g PACKS STILL AVAILABLE Small & perfectly crafted with filters and papers inside

9g CPB

€5.00 RRP

12.5g CPB

€7.00 RRP

This advertisement is for tobacco retailers only and should not be made available to the public nor should it be displayed in any area where it is visible to the public.

Toradh caithimh tobac – bás.

Smoking kills.

44|Retail News|April 2017|www.retailnews.ie

Tobacco Products

New Rules to Impact Tobacco Sales

The advent of TPD2 and the forthcoming introduction of plain packaging will bring big changes to Irelandâ&#x20AC;&#x2122;s tobacco category.

THERE is a little over a month left until May 20, 2017, from which date all tobacco products sold in Ireland must comply with new European tobacco regulations: TPD2.

TPD2 brings with it the most significant changes to the cigarette and tobacco category since the advent of the retail display ban in 2009. TPD2 effectively brings changes to all tobacco packaging and the introduction of a minimum pack size of 30g for Roll Your Own tobacco (RYO), for example. From this May, only products that comply with TPD2 can be sold in stores and many products have already made the change.

Retailers, however, should ensure

they carry out a full store stock check to identify any obsolete tobacco products that may still be in their possession, and notify the relevant supplier to remove these products.

In last monthâ&#x20AC;&#x2122;s Retail News, JTI Ireland Sales Director, Derek Mooney advised all store owners to appoint a tobacco category specialist. This person will have responsibility for management and replenishment of the storeâ&#x20AC;&#x2122;s tobacco stock, and will be central in arranging the removal of any obsolete packs and ensuring non-TPD2 stock is sold through ahead of May 20 this year.

TPD2 is not the only new legislation on the way, however, with the news that

the Government has brought forward legislation for the plain packaging of tobacco products, which means that all tobacco products manufactured for sale in Ireland must be in standardised or plain packaging from September 30 this year. However, there is a 12-month sell-through period, whereby products manufactured or placed on the market before that date can be sold for a further year.

Ultimately, however, all tobacco packaging will be standardised, meaning that brand names etc will be presented on-pack in a uniform typeface for all brands, all branding (including logos, trade marks, graphics, colours etc) will

IN THE LAST 140 YEARS, A LOT OF THINGS HAVE CHANGED, ONE THING THAT HASN’T IS THE AMOUNT OF CARE AND CRAFT THAT GOES INTO EVERY SINGLE B&H CIGARETTE.

This advertisement is for tobacco retailers only and should not be made available to the public nor should it be displayed in any area where it is visible to the public.

Toradh caithimh tobac – bás.

Smoking kills.

46|Retail News|April 2017|www.retailnews.ie

Tobacco Products be removed, and the packs will all be presented in one plain colour.

Ireland will become the fourth country in the world to introduce plain packaging for tobacco products, following Australia, France and the UK. Aside entirely from the legislative changes on the way, the Irish tobacco market is one of the most dynamic and fastest changing categories in-store. Still a hugely valuable market, with some stores estimating that up to 40% of turnover comes from tobacco products, it nevertheless continues Benson & Hedges Gold is available in a limited to decline in value terms, edition tin, offering existing adult smokers a according to the latest distinctive piece of B&H brand heritage. report into the tobacco sector by Euromonitor International, who blame the decline Nielsen, Extended Scan Track, Cigarette on a combination of high prices, Volume Share, 9.6%, YTD to February 26, constrained disposable incomes and 2017), continues the brand’s on-going greater awareness of the health risks commitment to quality with a limited associated with tobacco. edition tin. Available whilst stocks Euromonitor reveal that economy last, the B&H Gold limited edition tin and value-for-money tobacco products is a highly premium product offering. were the best performers as cashPriced at €11.30, it offers existing adult strapped consumers sought cheaper smokers a distinctive piece of B&H alternatives, which pushed value growth brand heritage. Benson & Hedges: even further into negative territory. distinctive quality since 1873.

Nevertheless, RYO tobacco still recorded positive value growth as it has become American Spirit the tobacco product of choice for priceFor over 30 years, adult smokers conscious consumers, while vapour have been enjoying American Spirit: a products recorded significant current value growth, driven mainly by the health and wellness trend, with increasing numbers of smokers turning to vaping in an attempt to quit smoking.

Cigarette prices in Ireland remain among the highest in Europe, which is increasingly pushing consumers towards economy brands, RYO or, worryingly, the black market, with illicit cigarettes available for as little as €3 per pack in many cities and towns across the country.

For over 30 years, adult smokers have been enjoying American Spirit: a tobacco which is 100% itself, Benson & Hedges Gold unaltered tobacco in its natural state, without Benson & Hedges Gold, the number one cigarette any preservatives, aromas, moisturisers or flavour enhancers.

SKU in Ireland (Source:

NAS Ireland POUCH & PACKS KV image.psd

tobacco which is 100% itself, unaltered tobacco in its natural state, without any preservatives, aromas, moisturisers or flavour enhancers. The taste of the products comes solely and exclusively from the whole tobacco leaves, which are grown using earth-friendly cultivation methods and process in part by hand.

Still available from JTI Ireland are Natural American Spirit 12.5g RYO pouch, as well as Natural American Spirit Blue and Yellow King Size cigarettes. American Spirit: the taste of true tobacco ‘Additive free’, ‘whole leaf’, ‘unaltered tobacco’, ‘natural’, ‘without preservatives, aromas, moisturisers or flavour enhancers’ and ‘earth-friendly’ do not mean less harmful tobacco.

Mayfair Mayfair, from JTI Ireland, is the market leader in the value sector (Source: Nielsen, Extended Scan Track, Value Sector Share, 40.3%, YTD to February 26, 2017). The brand proudly introduces its electrifying limited edition tin,

Mayfair is available in an electrifying limited edition tin. available, while stocks last, for Mayfair Original only, priced at an RRP of €9.70.

Combining affordable quality with unrivalled style, Mayfair is chosen by two in every five value-seeking existing adult smokers (Source: Nielsen, Extended Scan Track, Value Sector Share, 40.3%, YTD to February 26, 2017). Mayfair: a modern expression of quality.

Amber Leaf In recent years, Roll Your Own (RYO) tobacco has become a significant part of a retailer’s tobacco trade, and with Amber Leaf, JTI offers existing adult

€7.00 €11.50

**

12.5g po

uch

**

20 cigar

ettes

100% Whole Leaf. 100% Additive Free*.

The taste of true tobacco. *Additive free natural tobacco does not mean less harmful tobacco. **All prices quoted are recommended retail selling prices. All RRP’s correct at time of printing.

This advertisement is for tobacco retailers only and should not be made available to the public nor should it be displayed in any area where it is visible to the public.

Toradh caithimh tobac – bás.

Smoking kills.

48|Retail News|April 2017|www.retailnews.ie

Tobacco Products As the brand continues to adapt to changing regulations, the high quality and taste expected from Amber Leaf is never compromised.

JPS Silver and Blue Volume Tobacco 30g From John Player & Sons, JPS Silver and Blue Volume Tobacco 30g offers market leading value from Ireland’s fastest growing tobacco brand (Source: Nielsen Scantrack, 4 w/e January 29, 2017).

JPS Blue and Silver Volume Tobacco Amber Leaf, the country’s market leading Roll Your appeals to a Own brand. wide range of adult smokers, from those who roll their own smokers the country’s market leading to those who use a cigarette RYO brand (Source: Nielsen, Extended making machine. The Scan Track, 69.4% RYO SOM, YTD to innovative production process February 26, 2017). gives the tobacco its volume, As Ireland’s favourite Roll Your which works in conjunction Own Brand, Amber Leaf has carved with John Player’s unique its reputation for superior quality and blend to provide consumers market leading innovation from its with a quality smoking ambition to be original. Amber Leaf was experience. the first to launch the Crush Proof Box JPS Blue and Silver format and the first RYO brand to include Volume Tobacco 30g packs filters. Amber Leaf Original 12.5g Crush offer market leading value Proof Box is now not only the most for adult smokers. Retailing preferred product amongst existing adult at €13, adult consumers can Amber Leaf smokers but it is also the roll up to 90 sticks (based single bestselling SKU in the combined on using 0.33g per stick), tobacco market (Source: Nielsen, which is 30 more sticks when Extended Scan Track, 10.1% RYO & RMC compared to 30g of standard Combined SOM, YTD to February 26, rolling tobacco (comparison 2017). between 30g of JPS Volume Recently, Amber Leaf has been Tobacco and 30g of standard making some changes to its portfolio to rolling tobacco). ensure it is compliant with new tobacco For more information legislation. The implementation of on JPS Silver and Blue new European regulations, commonly Volume Tobacco 30g or to called the Tobacco Products Directive place your order, please 2 (TPD2), has already seen the Amber contact the John Player Leaf Original 25g pouch move to a Customer Services Team 30g format. The recommended retail on (01) 2434900 or speak selling price (RRP) of Amber Leaf 30g to your John Player Sales Pouches (available in Original & Blonde) Representative. is €15 and includes 100 rolling papers.

JPS Blue and Silver Volume Tobacco 30g packs offer market leading value for adult smokers.

Retail News|April 2017|www.retailnews.ie|49

Drinks News Bulmers’ New Brand Identity 2017 is the year of the revolution for Ireland’s number one cider, Bulmers, as it gets a whole new brand identity. Forget evolution; Bulmers is taking a seismic leap that will see everything about the brand transform, except the taste, which is sacrosanct. All references to ‘time’ and ‘time honoured traditions’ that worked so well for Bulmers in the past, but are less relevant to today’s fast-paced, everchanging world, have been discarded. The packaging has been transformed as part of this new brand identity, supported by a multimillion euro investment. Copper is the new black and the new Bulmers Original coppertoned packaging has been inspired by the warm tones of the liquid colour of the cider, the russet skin of a ripe apple and even the beautifully-crafted industrial equipment used in the cider-making process. New packaging calls for a new advertising campaign, using statistics to make sharp observations about life in Ireland. “The observations Bulmers is making through our new ads will resonate with people of all ages,” explains Belinda Kelly, Marketing Director for Bulmers.

“They are a commentary on 21st century Ireland and the routine things we do, say or think about. Whatever the observations, the closing line remains the same: 100% Irish cider.”

Barry & Fitzwilliam to Distribute Innis & Gunn BARRY & Fitzwilliam has secured the Irish distribution rights to the iconic craft beer brand, Innis & Gunn, one of the UK’s most successful international craft beer businesses since its foundation in 2003. Available in over 25 countries, Innis & Gunn is the second-biggest craft beer brand in the UK off trade, the number one imported craft beer in Canada and Sweden, and sells 2.5m bottles a year in the USA. “Innis & Gunn are amongst the finest producers of top class craft beers anywhere in the world,” said Michael Barry, Managing Director of Barry & Fitzwilliam. “The addition of this premium brand to our current portfolio will give our customers an unrivaled choice of craft beers, both domestic and international.” Innis & Gunn has won a multitude of awards for its unique range of oak-aged beers and its Scottish premium lager.

Dual Success for Irish Distillers at World Whiskies Awards IRISH Distillers has been honoured with two accolades at the World Whiskies Awards 2017. Redbreast 21 Years Old was named World’s Best Single Pot Still Whiskey, while Jameson Black Barrel was awarded Best Irish Blended Whiskey. Brendan Buckley, Global Innovation & Prestige Whiskeys Director at Irish Distillers, said, “At Irish Distillers, we are constantly searching for new ways to bring Irish whiskey to a wider audience. Jameson has been the iconic brand which has led the way, and Jameson Black Barrel is a tribute to the cooper’s method of charring barrels, which has proved popular with long time Jameson drinkers and new customers alike.”

Guinness and Donuts: A Marriage Made in Dublin THE Guinness Storehouse teamed up with Dublin’s trendiest bakery, Aungier Danger for St Patrick’s Day to create a unique and tasty donut perfectly paired with Guinness draught. The donut was available exclusively at the Guinness Storehouse on March 17 as part of the Guinness Storehouse 2017 St Patrick’s Festival. The collaboration marries the bold flavours of Guinness with a dark cocoa donut, filled with a moreish Belgian chocolate mousse to perfectly complement the malty sweetness and roast character of the beer. A smooth homemade blackcurrant glaze, drizzled on top, delivered a balance of sweetness and distinctive bitterness which mirrored the flavor of hops found in Guinness Draught.

Torres Back on Top BODEGAS Torres has reclaimed its place at the top of the World’s Most Admired Wine Brands’ annual list of 50 wine brands, according to UK-based magazine Drinks International. Bodegas Torres, the only European winery amongst the top 10 brands, is followed by Chilean Concha y Toro and Australian Penfolds, which moved down from number one last year. “This award makes us very proud as it is a recognition of the good work and effort of the whole team and distributors,” said Miguel Torres Maczassek (pictured), General Manager of Bodegas Torres. “The winery has been in the hands of my family for almost 150 years and we are still very involved in the day-to-day decisions from the vineyard to the table, and this gives us direction in the long term.”

50|Retail News|April 2017|www.retailnews.ie

Forecourt Focus: Special Report Ireland’s forecourt stores are the envy of Europe, leading the way in terms of range and innovation. Arthur Renshaw, Major Account Manager - UK/ROI at Experian Catalist, analyses why Ireland punches above its weight in the forecourt sector.

Innovation to the Fore IRELAND continues to lead the way in forecourt retailing, with many of our European counterparts regularly visiting our shores to see just what it is that we do better than everyone else.

“Ireland, both North and South, has always been up to five years ahead of the UK when it comes to forecourts,” explains Arthur Renshaw, Major Account Manager, UK/Ireland, Experian Catalist, who provide a leading global source of information and analysis on petrol and retail forecourts. “That gap has probably narrowed, not because Ireland is underperforming but because the UK has started to catch up.”

Renshaw is ideally placed to analyse Ireland’s forecourt sector, having four decades of experience working in the oil industry. He feels that the market here is essentially polarised into two different types of forecourt: the large service station/motorway developments in the cities and the link roads between them, and the smaller, local forecourts in towns and villages across the country.

“In the Republic of Ireland, you’ve effectively got two separate markets,” he muses. “Companies have been spending massive amounts of money on what we recognise as Motorway Service Areas and developments on major road

junctions: some of these service stations are costing €12m-plus. Companies like Maxol and Topaz are saying they are going to spend up to €40m each year on new developments. Then you have the rest of the country, which is often just two pumps outside a convenience store.

The first sector, the city service stations, is booming and the other is pretty stagnant: it depends how good the shop is as to whether the forecourt performs.”

What is perhaps surprising is that the number of forecourt stores in Ireland dropped by 19 last year, according to figures from Experian Catalist, who counted 1783 open forecourt stores

Retail News|April 2017|www.retailnews.ie|51

Forecourt Focus: Special Report

Arthur Renshaw, Major Account Manager - UK/ROI at Experian Catalist. at the end of 2016, down from 1802 the previous year. These closures are generally in the second category above, the local forecourt/convenience store.

“You’re really talking about fairly small sized outlets, some of which are closing because it’s too much trouble to keep them going and some are closing because a developer feels they can build houses or apartments on the site,” Renshaw opines.

Motoring Ahead The other market sector, the bigger service stations, which are essentially Motorway Service Areas, is showing phenomenal growth. These types of forecourts are a relatively new phenomenon in Ireland, having really only sprung up in 2010.

“Applegreen started it, with the four Motorway Service Areas they got permission to build back in 2010,” Renshaw explains. “The Government always had certain areas where they were prepared to allow Motorway Service Areas to be built. The big operators have built these sites subsequently and the Government seem to have realised that companies like Applegreen, Topaz and Maxol know what they’re doing and are allowing them to build where they want to build, at major intersections of motorways and spine roads into the cities: these are great sites.

“In the UK, we have the same kind of development but not to the same extent, because Ireland is coming from a situation where there wasn’t really anything of this nature on Irish roads just seven years ago, and now, Irish customers are expecting fantastic forecourts, which these new sites are.”

Imitation is allegedly the finest form of flattery and in that case, Irish forecourt operators should feel very flattered indeed, as UK company Euro Garages is currently expanding at pace

across the Irish Sea, building sites that are essentially similar to the Irish service areas, with lots of car parking and a host of food brands, Renshaw notes.

Foodservice Revolution Indeed, the foodservice revolution continues apace in the forecourt sector, both here and in the UK, with the newest outlets offering customers previously unheard of variety and range. “There are now up to five or six choices to eat, from Chinese to Mexican food, whereas it used to be a very limited choice on the forecourt,” Renshaw states.

“There are a lot of vehicles on Irish roads every day and those people have to eat. A decade ago, they would have broken their journey, pulling off the road into a town and perhaps finding a pub for lunch. Now, they know they can stop pretty much on the motorway, there is ample parking and the quality of the food offering is good.”

Coffee remains a staple of the forecourt, too, as Renshaw notes: “If you don’t have coffee, you don’t have any customers. Even before coffee became the most important subject in UK forecourt retailing, Ireland has always experimented with different coffee brands, and was ahead of the market.

We’ve gone from quite a low base to having a fairly saturated market. That is something you put on your sign, whose brand of coffee you’re offering, which can be an attractive offering for consumers.”

Applegreen has been expanding rapidly both in the Irish market and in the UK and US.

52|Retail News|April 2017|www.retailnews.ie

Forecourt Focus: Special Report Irish Forecourt Store Numbers Market Share by Brand Brand Topaz †

Number of open sites 408

Average MF volume per site (kl p.a.)

2,413

% Market share MF volume 34.1

% Outlet share 22.9

Effectiveness 1.49

Applegreen

149

2,352

12.1

8.4

1.45

Unbranded

451

682

10.7

25.3

0.42

Texaco

155

1,944

10.4

8.7

1.20

Maxol

151

1,861

9.7

8.5

1.14

Top Oil

205

1,245

8.8

11.5

0.77

Tesco

21

5,679

4.1

1.2

3.51

Great Gas

65

1,307

2.9

3.6

0.81

Campus

45

1,187

1.8

2.5

0.73

Amber

34

1,344

1.6

1.9

0.83

Minor Brand

32

1,272

1.4

1.8

0.79

Emo

35

1,107

1.3

2.0

0.68

Inver ††

18

1,232

0.8

1.0

0.76

Morris Oils

14

376

0.2

0.8

0.23

TOTAL

1,783

1,621

Note: Brands include sub-brands or subsidiaries as appropriate (identified as Share Brand in the database). Open sites includes all currently operating petrol stations and those sites that are under development at time of publishing. MF Volume refers to all grades of fuel bought on the forecourt by cars, vans and light commercial vehicles (Petrol, diesel, LPG etc.) and is based on Catalist estimates. This excludes fuel sold to the Heavy Goods Vehicle (HGV) commercial sector usually through separate facilities away from the normal forecourt. Effectiveness is Volume Market Share divided by Outlet Market Share. † Esso sites now included under Topaz †† Inver sites previously included under Minor Brand (Source: Experian Catalist)

Fuelling Demand Forecourts, lest we forget, are first and foremost about fuel, whose sales remained static in 2016. Petrol sales, according to Renshaw, are starting to fight back against diesel.

“Some time last year, diesel sales

peaked,” he reveals. “Since then, petrol is just beginning to grow. The majority of new cars coming into the car stock are petrol, but it will take a while to dilute the existing car stock. The growth in diesel has stopped but it will be a while before we see a noticeable switch in

favour of petrol.”

Price is an important factor when it comes to fuel, but it’s not the only one, as Renshaw explains: “If you ask people, price is right up there at the top of their reasons for choosing a particular forecourt, but if you track people,

Maxol’s stunning M3 Mulhuddart Service Station involved a €6m investment on a huge 2.5 acre site.

Retail News|April 2017|www.retailnews.ie|53

Forecourt Focus: Special Report Comparison of Shop Sales in Relation to Shop Size Brand

Average Shop Sales (€’000 p.a.)Sales

Average Shop Size (sq m)

Average Shop Sales/ Average shop sales in €/’000 litres Sq Metre Shop Space fuel sold

Amber

527

54

9,765

63

Applegreen

686

66

10,360

290

Campus

514

49

10,580

394

Emo

444

53

8,379

388

Great Gas

456

55

8,362

354

Inver ††

334

44

7,578

250

Maxol

552

58

9,584

277

Minor Brand

349

50

7,040

259

Morris Oils

275

37

7,534

881

Tesco

257

26

9,818

45

Texaco

577

61

9,386

276

Top Oil

437

51

8,603

325

Topaz †

601

63

9,553

240

Unbranded

338

43

7,881

448

The table gives average shop sales per annum and average shop size and looks at the relationship between the two. It also shows average shop sales per annum per thousand litres of fuel sold, which gives an insight into the strength of the relationship between fuel and shop sales across the various brands.

(Source: Experian Catalist)

location is much more important. If a site is on the way to somewhere or on their way home from somewhere, it’s key, and consumers will continue to use those locations until they get put off by perhaps a rude cashier or a ridiculously high price. So while consumers will say price is the most important factor, that doesn’t really apply in real life.”

Consolidation With Esso leaving the Irish market, there has been some consolidation in terms of brands. I wondered if Renshaw believes that could continue, with more brands swallowed up by bigger concerns?

“It’s always a possibility,” he admits.

“If you have companies like Topaz, Maxol and Applegreen spending in excess of €30m a year, there might come a time when they decide that they would be better served by buying existing sites from someone else, rather than building their own, depending on the locations of those sites. There is always the opportunity for people to buy sites at the right price at the right time.”

One interesting statistic to come out of the various buy-outs and take-overs of recent years is that, with the exception of Texaco, the Irish market is dominated by Irish companies, and most of them are in expansion mode, as Renshaw explains: “Topaz, Maxol, Applegreen, Top, Great Gas, Campus, Amber, Emo, they have all been putting money into the market.

“The Irish market has looked bright

The Topaz Manor Stone Ballacolla service station, which is situated at Junction 3 on the M8, lifted the NACS Insight International Convenience Retailer of the Year Award in 2015. for the last few years and it continues to look bright,” Renshaw concludes. “The money will continue to pour into the big cities and the major routes, which is probably about half of the market’s 1700-plus sites, and the other sites will still go along as they have been performing, depending on how good their convenience store is. What we have seen, both North and South, is that the people operating their convenience

stores tend to be really good: they focus on their local community, they have a really good food offering, so there is life in that sector still.

“It’s a good market with lots of opportunities and it’s now very much an Irish market dominated by Irish brands.

And those Irish brands are starting to encroach in the UK market and Applegreen have sites on the East coast of the USA.”

54|Retail News|April 2017|www.retailnews.ie

Forecourt Focus: News Maxol Maynooth Supports Feeding Ireland’s Future MAXOL were delighted to participate in the recent Feeding Ireland’s Future initiative. The programme, initiated by ECR Ireland, encourages young unemployed people to spend a full day of training with retailers, suppliers and service providers to the Irish food and grocery sector. The participants had the opportunity to take CV and interview tips from Conor Sherry, licensee of Maxol Maynooth, along with learning a range of different skills, including customer service, stock takes, and deli operations.

Regional Manager John Hadnett also attended on the day, and gave a site tour of Maxol Maynooth.

“As a family owned business, we are only too pleased to support Feeding Ireland’s Future for a second year running at our award winning Maxol Maynooth service station,” noted Brian Donaldson, CEO Maxol and Retail Chair of ECR. “In conjunction with our licensee partner, Conor Sherry, we feel it is the least we can do to help young unemployed people gain necessary skills and confidence in their search for employment.”

Conor Sherry, licensee of Maxol Maynooth, added, “We are delighted to welcome the young adults here today at Maxol Maynooth where we hope they will gain a solid understanding of the different roles in our business, such as delivering great customer service, making the best barista coffee and preparing

Pictured taking part in the Feeding Ireland’s Future programme are Gabriele Malevicinte and Stephen Whelan, along with Maxol Maynooth licensee Conor Sherry. the best Moreish sandwich in our deli.”

Maxol recently announced the creation of 50 new jobs with the opening of Maxol Greenhills, Maxol N7 Kill and Maxol Longmile Road.

Top Oil Launches Amateur Photography Competition TOP Oil is calling on Ireland’s top amateur photographers to enter the Top Oil 2017 Amateur Photography Competition.

Ireland Through the Lens is the theme of this year’s competition, which was launched by comedian and Today FM presenter, Al Porter.

The photo competition, now in its 11th year, is open for entries and any amateur photographer from across Ireland can submit their image on what they think best represents the beauty of ‘Ireland Through the Lens’. The competition is open until June 1, when Top Oil will then select an overall winning image and a further 11 of the best images to create the Top Oil 2018 Calendar.

“We are delighted to once again announce the launch of the Top Oil 2017 Amateur Photography Competition,” explained Gerard Boylan, Chief Executive of Top Oil. “The competition is a great platform to showcase some of the best work of amateur photographers from across Ireland. We look forward to seeing some beautiful images of Ireland that reflect this year’s theme of ‘Ireland Through the Lens’, and the 12 winning images will then form our annual Top Oil calendar, which has become a firm favourite, not just with our customers and staff, but for amateur photographers across Ireland.”

Over 40,000 copies of the 2018 calendar will be distributed

Comedian and Today FM presenter, Al Porter launches the Top Oil 2017 Amateur Photography Competition. across Top Oil’s portfolio of depots and forecourts nationwide, which will feature the 12 winning photographs from this year’s Amateur Photography Competition.

For more information and to enter the 2017 Amateur Photography Competition, visit www.topphotocompetition.ie.

Always FRESH MILK

and the SAME BEANS as our coffee shops

Retail News|April 2017|www.retailnews.ie|55

Forecourt Focus: News Applegreen Announces 2016 Results APPLEGREEN has announced its preliminary results for the year ended December 31, 2016, which include a 16% increase in gross profit on FY 2015 (20% in constant currency).

Other financial highlights include: • Adjusted EBITDA increased by 11% from €28.9m in FY 2015 to €32.0m in FY 2016 (14% on a constant currency basis); • Like for like growth in non-fuel gross profit (food and store) at constant currency of 9%; • Revenue up 9% to €1,178m.

Applegreen grew its estate to 243 sites over 2016, up from 200 the previous year, including new sites in Ireland, the UK and the USA, with 28 company owned sites and 15 dealer sites.

The main area of network expansion has been the UK, with 15 additional sites, including two service areas, one Motorway Service Area (‘MSA’) and one Trunk Road Service Area (‘TRSA’).

In addition, two Petrol Filling Stations (‘PFSs’) were upgraded to TRSAs. In Ireland, eight sites were added, comprising three TRSAs and five PFSs, while one PFS was disposed of and one PFS was upgraded to a TRSA. In the USA, an additional site was added in Long Island, while five sites were taken over in New England as part of a nine site deal with CrossAmerica Partners.

Applegreen also launched a new food offering , Freshii, and, in the USA, 7-Eleven as franchise partners during the year, further enhancing their retail and food-to-go offer.

“We are pleased to report another strong set of results for the business,” noted Bob Etchingham, CEO. “Our food and store sales were particularly strong in the Republic of Ireland during the year, while the UK had a good performance in the second six months. Fuel margin was impacted by the rising oil price and in Ireland by the rising proportion of fuel card of the total fuel volume. The UK’s decision to exit the EU has resulted in a weaker sterling, which has impacted on the consolidated euro results for the company. To date this decision has had no further impact on the business.”

In the 12 months to December 31, 2016, revenue in the Republic of Ireland increased by 11.4% and gross profit increased by 15%. Like for like food and store sales increased

year on year by 9.3% and related gross profit grew by 10.2%. Total fuel gross profit increased by 8% compared to 2015 but on a like for like basis declined by 4.8%. This Joe Barrett, COO of Applegreen. reflected the impact of the rising oil price throughout the year, as well as the growth of fuel card volume, which has a lower margin than retail fuel. The rise in fuel card volume did help drive the strong non-fuel performance.

Applegreen also lifted the prestigious NACS International Convenience Retailer of the Year award for M1 Lisburn South.

2017 has seen Applegreen continue to expand with the addition of 12 sites since the start of the year, including a new service area in Waterford and added a petrol filling station in Dublin, as well as a new MSA in Lisburn, heading north to Belfast.

At the beginning of the year, Applegreen entered into a conditional agreement to acquire a 50% share in the Joint Fuels Terminal in Dublin port from the Topaz Energy Group for €15.7m. The acquisition is subject to the satisfaction of a number of conditions, including the approval of the Competition and Consumer Protection Commission and is expected to complete in Q2 2017.

Joe Barrett, Chief Operations Officer of Applegreen, said, “We’re still looking at lots of opportunities to expand in the UK, and we have a lot to do there. The Republic of Ireland is also still growing strong for us. In addition to this, most people don’t realise just how vast the United States is, so we have still massive growth potential and opportunity there. Our presence in the US is small at present, but that market is good for us, so we have a lot on our plate.”

Maxol Gears Up for GAA

PICTURED wearing their new sports gear, thanks to the Maxol Group, are members of the Naomh Pádraig Donabate GAA Club under 12 team, along with Maxol’s Head of Retail and Marketing, Dermot O’Toole; former Dublin footballer, Ciaran Whelan, and Fergal Ralph, Maxol Donabate licensee.

To find out what Costa Express can offer you contact: ROI tel: 021 500 3526 NI tel: 02892 580207

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Forecourt Focus: News Texaco Roads to Adventure Convenience store owners in Texaco service stations across Ireland will likely notice a growth in traffic over the coming weeks, following the launch of a ‘Texaco Roads To Adventure’ promotion which runs until early-May. The promotion invites motorists purchasing fuel valued €30 or more to enter a draw for one of eight holidays to Italy’s stunning Amalfi Coast, each one valued at €3,000.

Texaco Marketing Manager, Thanks to the use Bronagh Carron, pictured of image recognition at the launch of ‘Roads To technology, being used Adventure’. in the motor fuels sector for the first time, those purchasing the qualifying amount of fuel can upload a picture of their receipt via smartphone, with name and contact details, to a dedicated website (www. texacoroadstoadventure.ie) together with a test-of-skill answer to a simple Texaco brand related question.

Maxol Educating Kids on Healthy Eating MOREISH, Maxol’s fresh food brand, is bringing its series of children’s healthy cookery workshops to national Pictured at the recent Kater4Kidz event schools at Adamstown Educate Together National across the School are Carmel Kavanagh from Maxol country in Moreish, along with pupils, Garreth Tarrega, conjunction Harits Nezaruddin, Muslih Taqiyuddin. with Kater4kidz. The purpose of the workshops is to teach young people important cookery skills, which they can use at home, and to encourage them to look at healthier options when it comes to choosing ingredients.

The students enjoy a practical workshop, each with their own workstation. At a recent event at Adamstown Educate Together National School, the menu featured tasty broccoli and cheese bakes and delicious flapjacks. The students were encouraged to make both recipes from scratch and were taught general cookery skills such as measuring, weighing, and cooking on the hob, all supervised by a Kater4kidz expert.

“This healthy initiative shows there is a demand for healthy cookery workshops such as Kater4Kidz in schools,” explained Dermot O’Toole, Head of Retail & Marketing, the Maxol Group.

“We are delighted to be part of the Kater4Kidz partnership, which encourages children to eat well and cook delicious recipes. Moreish ‘Fresh Food at Maxol’ brand is all about healthier alternatives and fresh, tasty ingredients – all of which are available in-store at Maxol Mace around the country.”

Top Oil Announce Company Award Winners

TOP Oil has named Patrick Cleary, Depot Manager of its Ballina and Castlebar facilities, as Top Oil Person of the Year for 2016, and its Kilkenny depot was awarded Top Oil Depot of the Year for2016. The awards were announced as part of the annual Top Oil mid-season review meetings, which took place across the country and were attended by Top Oil Chief Executive Gerard Boylan, and members of the senior management team.

Gerard Boylan, Chief Executive of Top Oil, presents the award for Top Oil Depot of the Year for 2016 to staff from Top Oil’s Kilkenny Depot.

Patrick Cleary, winner of Top Oil Person of the Year 2016, pictured receiving his award from Gerard Boylan, Chief Executive of Top Oil, and Martin Daly, Sales Director, Top Oil. Patrick, a native of Sligo, is the Depot Manager at Top Oil’s busy depots in Ballina and Castlebar. Patrick manages a team of 24 people on site and has been with Top Oil since 2009, overseeing the busy depots in key strategic areas for Top Oil. Patrick was awarded this honour of Top Oil Person of the Year for 2016 in recognition of his consistent dedication and hard work ethic at Top Oil, in spite of ongoing personal health challenges in his life.

The Kilkenny depot, based on the Hebron Rd, has a staff of 17 people, and is a very busy facility in the region for Top Oil. The Kilkenny depot beat off stiff competition, including from previous winners Galway, to be crowned Top Oil Depot of the Year for 2016.

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Subway

Subway Seeking New Franchisees THE Subway brand is one of the most recognised franchise opportunities in the market, with over 44,000 stores open in more than 110 countries. More than 2,400 of these Subway stores are located in the UK and Ireland and the brand is actively seeking new franchisees to be part of the success story, as it continues its expansion.

With 170 Subway stores currently located in the Republic of Ireland, and many more to come, the Subway brand sees this growth not only from high street locations, retail parks and shopping centres, but also from nontraditional locations, which includes convenience stores, petrol forecourts, transport hubs, universities and hospitals. At the end of last year, the brand celebrated the opening of its 750th non-traditional store and the momentum is continuing to build.

There are numerous opportunities available for convenience store and forecourt operators to partner with the franchise and open an outlet within an existing location. Partnering with the

Subway brand provides many benefits, including excellent dual branding opportunities, high rental returns and increased customer market share.

Fantastic Achievement “The level of growth that the Subway brand has experienced in the UK and Ireland is a fantastic achievement,” noted Subway Development Agent for the Republic of Ireland, Adam Heyes.

“Expansion in the Republic of Ireland is going strong and we are looking forward

to opening more stores throughout 2017.”

One franchisee who has enjoyed success with the Subway brand is Eamonn Duggan, who has been running his store in Cork for over a decade. Eamonn has this advice for anyone thinking of buying a Subway franchise for the first time. He said: “Do as much research as you possibly can. The more information you have, the better equipped you will be to make strategic decisions. I also found it invaluable talking to people who had experience within the franchising business – you can put into practise their successes and also take away knowledge about the things that might not have worked as well.”

For more information: Tel: 1800 413076 (ROI) or 0800 0855 058 (UK) Email: franchiseopportunities@subway.co.uk Web: www.subwayfranchising.com

PARTNERSHIP OPPORTUNITIES Over 750 SUBWAY® stores now open

l High rental returns

in non-high street locations including convenience stores, transport hubs, forecourt sites, and visitor attractions

l Increased customer market share

To find out more visit

l Excellent dual branding opportunities l Flexibility in terms of space and design l Proven control systems l On-going training and support

www.subwayfranchising.com or contact Alice Chalmers 07908 548559 SUBWAY® is a Registered Trademark of Subway IP Inc. ©2017 Subway IP Inc.

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Healthy Eating

Aldi Focuses on Healthy Eating

Aldi’s latest product lines place the focus squarely on healthy eating. Finbar McCarthy, Group Buying Director, explains why.

THERE is a curious contradiction in eating habits in Ireland at the moment, as both the healthy eating and the indulgence categories are performing very strongly. We are at once trying to live healthier and treating ourselves, hopefully after having done the right thing.

Large retailers like Aldi have a wealth of information about their customers at their fingertips and Aldi has noticed that an increased interest in scratch cooking and healthy living attitudes has delivered strong growth in

fresh fish, fruits and vegetables, as well as fresh meat and chilled products.

As a result of these in-store trends, Aldi has placed a particular focus on healthy eating products in its newest lines, featuring increased availability of wholefood products such as coconut oils, nuts, seeds, dairy free drinks, dried fruits and superfood powders.

During 2016, Aldi recorded a 50% year-on-year increase in sales across this range and the group is looking to further drive sales in the healthy eating category.

“We’ve been the fastest growing supermarket in Ireland for most of the last 10 years,” Finbar McCarthy, Group Buying Director, tells Retail News. “In that time our customers have come to understand and trust our promise: the best Irish food at the best possible prices. We need to keep surprising people, however, and customers may not be as aware of the phenomenal range and quality we have across health food products, which might once have been the preserve of specialist stores at a much higher price point.”

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Healthy Eating and the buying team, Retail News was presented with healthy treats that were genuinely tasty, with price points from just 26c per serving up to a high of €1.58 per serving for delicious Courgetti with Basil Pesto & Balsamic Tomatoes.

“It can be every bit as cheap to eat healthy, cheaper even, if you shop right,” McCarthy insisted. “It’s up to retailers like Aldi to make sure people know what sort of value they can find in the healthy and wholefood categories. We’ve invested heavily in procuring top quality fresh and healthy food for our customers and now we have to let everyone know what we have to offer.”

Aldi has placed a particular focus on healthy eating products in its newest lines, featuring increased availability of wholefood products such as coconut oils, nuts, seeds, dairy free drinks, dried fruits and superfood powders.

Significant Investment The investment by Aldi in fresh and healthy eating has been significant, including: • •

•

• • • • •

Doubling its fresh fruit & veg lines in the last three years; The Super 6 range of discounted fruit & veg has helped Aldi record sales of more than 3m units of fresh fruit and veg per week; Chiller space has increased approximately 40%, allowing additional fresh & healthy product sales; The standalone chiller for fish in stores helped sales increase by 40% in 2016; The introduction of ranges of Superfood Powders at market leading prices; Establishing a Wholefoods section in all of its Irish stores; Continued increases in gluten free options; Since 2014, Aldi has expanded its range of organic fruit and veg by 400%.

According to information provided

by Aldi, a recent survey by Empathy Research found that 65% of Irish consumers feel that they have had to choose a food item which wasn’t as healthy as they would have liked it to have been because the healthy option was more expensive. In addition, 43%

of Irish said they cannot eat the types of healthy foods they want to all the time because they cost too much. Aldi is working hard to make healthy eating affordable for everyone in Ireland by developing and offering a wide and varied product offering at market leading prices.

In a tasting morning with Finbar

“

We work very hard to listen to our customers and meet their needs and we have been building relationships with top quality Irish producers. Since we’ve been working so hard doing all these things, we think it is time to talk publicly about these innovations and Aldi’s ongoing commitment to providing affordable fresh Irish food to all customers.

”

Supporting Irish There is a very strong team spirit in Aldi. The organisation has grown quickly over recent years and many of its management have been promoted from within, including McCarthy. Aldi has been recruiting some of the best Irish talent to its team, and that buying team has turned its talents towards fresh, healthy and wholefoods.

Likewise, Aldi is very keen to source products locally within Ireland. The Irish consumer strongly associates quality with local: we produce top quality fresh food all around this island and the Irish consumer wants to see that produce on the stores of their local supermarket.

This is yet another area where Aldi has placed a strong focus, seeking out top quality Irish producers to form working relationships with.

The Aldi Attitude Traditionally, Aldi has kept rather quiet about the details of its operations. But the group has become much more enthusiastic about engaging directly with the media and members of the public to share what it does.

“We work extremely hard as a team,” McCarthy stressed. “We work very hard to listen to our customers and meet their needs and we have been building relationships with top quality Irish producers. Since we’ve been working so hard doing all these things, we think it is time to talk publicly about these innovations and Aldi’s ongoing commitment to providing affordable fresh Irish food to all customers.”

Aldi arrived in Ireland with a value focus that Irish consumers very quickly became familiar with. As the group grows and matures, it very much retains that core value focus, and it is now pushing that value proposition into the wholefoods category - which can only be good news for consumers looking to eat healthily on a budget.

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Retail Ireland: Monthly Update

RETAIL PRICES CONTINUE TO FALL THE latest release of the Consumer Price Index for the month of February showed that consumer prices increased 0.5% year-onyear in February of 2017, following a 0.3 % rise in the previous month. The main factors contributing to the annual change are higher petrol and diesel prices and increases in health, motor and home insurance premiums. Services inflation rose by 2% in February compared to the same month in 2016.

Almost all retail-specific categories returned a drop in prices in February, the largest falls being in personal and home

Shaping the Future of Irish Retail 2020 ON March 23, Retail Ireland launched ‘Shaping the Future of Irish Retail 2020’, a blueprint for the development of the Irish retail sector over the next four years.

‘Shaping the Future of Irish Retail 2020’ was developed by Retail Ireland and its members, and is the most comprehensive strategy developed for the sector to date. Retail Ireland’s new strategy is grounded around four pillars: competitiveness, confidence, careers and community. Retail Ireland will be pursuing a wide range of new and exciting initiatives around each of these pillars over the coming year.

To access a copy of ‘Shaping the Future of Irish Retail 2020’, visit www.retailireland.ie or call (01) 6051500 to order a hard copy of the document.

See our comprehensive report on the launch on Page 16.

Shaping the future of Irish retail 2020 A strategy developed by Retail Ireland and its members

computing (-24.3%); games, toys and hobbies (-13.6%); hair products (-11.4%); gardens, plants and flowers (-11.7%) and home entertainment systems (-9.3%) Categories such as combined tobacco products (+7.1%); other medicines (+1.6%) and newspapers and magazines (+0.7%) recorded an increase in average consumer prices.

Inflation in the UK continues to rise following last summer’s Brexit referendum. Britain’s inflation rate increased to 2.3% in February, the highest rate for more than three years.

Brexit Challenges in Focus IN March, British Prime Minister Theresa May triggered Article 50 and initiated formal EU exit negotiations.

Brexit has already had a significant impact on the outlook and confidence of Irish consumers and businesses. As a sector, retail is one of the most exposed to Brexit pressures and the full year sales data for 2016 confirms that this impact is already telling in our sector.

Total retail sales values grew by 3% in the first six months of 2016, while the second half of the year recorded growth of a mere 1%.

In our new strategy document, ‘Shaping the Future of Irish Retail 2020’, Retail Ireland outlines some of the specific challenges for the Irish retail sector posed by Brexit.

Short term: • Weaker consumer sentiment, driven by uncertainty around the potential fallout from the decision of the UK to leave the European Union.

• Increased exchange rate volatility: implications for import prices and consumer prices resulting from currency fluctuations.

Medium term: • Loss of competitiveness: shifting exchange rates and market uncertainty has the potential to deter investment and restrict future growth.

Long-term: • Reintroduction of customs controls: potential new EU Customs controls and duties at Irish ports could disrupt product supply and add cost to the supply chain.

• Higher logistics costs: added complications and costs to the

•

supply chain due to product originating in or in transit through non-EU territory.

Shift away from an all-island economy: increased costs associated with regulatory divergence between jurisdictions and an inability to operate on an all island basis from a product and people perspective.

Retail Ireland will continue to closely monitor and evaluate the potential short, medium and long-term impact of Brexit.

While certain macroeconomic impacts of Brexit are difficult to predict at this time, Retail Ireland will continue its engagement with Government and other stakeholders to put in place measures aimed at safeguarding this vital sector with a view to: • • •

Protecting employment and supporting retail growth; Minimising further cost pressures or regulatory burdens; Maintaining/increasing cost competitiveness to minimise the impact on consumer prices.

Negotiations between the UK and the EU are likely to start by the end of May or early June. During this time and throughout the negotiations, Retail Ireland will focus on the following key risks through are engagements with Ministers, department officials, state agencies and members of the Oireachtas.

• • •

Supply chain disruption; New tariffs, cross border trade and supplier related issues; Free movement of people and employees between Northern Ireland and the Republic of Ireland.

Tel: 01-6051558 www.retailireland.ie Need more?

For more information about Retail Ireland and details of how your retail business can benefit from our unique services and supports, please visit us at www.retailireland.ie

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Human Resources

Probation and Unfair Dismissals It is a misconception amongst employers that a company can dismiss an employee without due process while that employee is on probation, explains Kelly O’Connor, HR Consultant , The HR Suite.

THE Unfair Dismissals Acts 1977-2001 are intended to provide employees with legal protection from being unfairly dismissed from their jobs and to establish an adjudication system to provide redress for any employee who is found to be unfairly dismissed.

It is, therefore, a misconception among employers that a company can dismiss an employee without due process while the employee is still on probation.

What is Probation?

A probationary period is a period of evaluation and training, but the advantages of a probationary period are more in terms of putting a time reference as to when a decision to retain or dismiss the employee will be made.

Protection of Probation The employer’s actual protection in a probationary period comes more from the fact that the employee has not yet gotten sufficient service to enable him/ her to take a case under the Unfair Dismissals Acts.

An employee who does not have the required one year’s service can make a complaint in relation to the manner of their dismissal under the Industrial Relations legislation. There is no service qualification under this Act, unlike the Unfair Dismissals Act 1977-2007, which requires a minimum period of one year. Section 20(1) of the Industrial Relations Act, 1969 [as amended] allows for employees with less than one year of service to take a case for unfair dismissal.

Tips The below are tips on how to ensure that your company is protected should a claim of unfair dismissal arise taken under the Industrial Relations legislation

due to a poorly managed probation process.

• Contract: The employee must know in advance that their employment is subject to probation.

The employment contract should specify a defined probationary period, which can be extended up to 11 months. Any offer letter extended to the employee should also confirm the probation period attached to the role. It needs to be very clear to both parties that the employee will be subject to probation.

• Policy: Have a clear probation policy in place, separate to the disciplinary policy. This should clearly define what length the probation period is, to what length it can be extended and what notice period is

required during this probation period.

For retailers, it is advised that the probation period is between six and 11 months to avail of the correct length of period of training and induction into the workplace. During this time, you should be able to confirm the employee’s work ethic, their attention to detail, their fit into your organisational culture and their attitude, amongst other performance aspects.

• Induction: The new employee should be briefed on the contents of the Employee Handbook and sign an attendance sheet for such a training session, in addition to acknowledging receipt of the company handbook or policies and procedures. This will provide a paper

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Human Resources About the Author THE HR Suite are based in Tralee, Co. Kerry, and provide human resources consultancy, employment law advice, training and recruitment services to businesses throughout Ireland. MD Caroline McEnery has over 20 years’ experience in providing HR services to Irish companies. She is a member on the Low Pay Commission and is also an adjudicator in the new Work Place Relations Commission.

If you have any queries, please feel free to contact our office on (066) 7102887 or (01) 9014335 or email info@thehrsuiteonline.com.

Website: http://thehrsuiteonline.com.

trail for the company that the employee was informed of the policies, had an opportunity to ask questions and has agreed to be bound by the company’s policies. This will help in addressing noncompliance issues during the probation process. For example, if an employee fails to attend for work and does not notify the company, this is a probation issue and the employee has signed confirmation of the absence procedure via the handbook or policies and procedures. The employer does not want a situation to arise whereby the employee’s response to the same issue within a probation meeting is “I didn’t know I had to call” as the onus is on the employer to confirm the same.

• Continuity: It is advised that probation is a continuous process. A common issue The HR Suite encounter is that employers often leave the management of the probation process until too late (i.e. month 10, when the probation outlined in the contract is 11 months).

It would not be deemed fair to start the process at 10 months and finish up in advance of the 11 month mark, bearing in mind the one week of notice the employee is entitled to. It is advised that all employers are proactive in managing probation for all employees. This would include at least three meetings with the employee in which time is given between each meeting to improve on the underperforming aspects.

• Paper Trail: The operation of good probation process

requires the maintenance of adequate records. It is important to have a paper trail, documenting each step of any probation, including invitation letters.

During the meetings, it is important to document the discussion and to ensure that follow up documentation is sent, confirming what was discussed in the meeting. In addition, employers should be aware that verbal communication on the same will not provide any protection should termination of probation occur.

Remember, if it’s not in writing, it didn’t happen.

Please see below a Labour Court decision in Herbert Park Hotel and A Worker. Take into account the above tips and imagine you have them implemented in your retail business: could you defend a claim of unfair dismissal via the probation process?

Case Law A Labour Court decision in Herbert Park Hotel and A Worker highlighted the standards for treating probation in the workplace, when the employee was dismissed after a little over two weeks without any adequate explanation of the reason for her dismissal.

The employee applied for the position of Conference and Banqueting Co-ordinator in the Herbert Park Hotel, although it meant she was paid less than her previous job. She commenced her new job on April 11, 2005, and received two days’ basic training while on the job.

The employee received little training but was expected to perform her job to a high standard after two days.

The employee stated that in her

first week, she was approached about changing her appearance, wearing more make-up and high heels, and she complied with this request. The employee stated that apart from finding her line manager both difficult and unapproachable, she had no problems with the role.

On April 28, 2005, the employee was asked to attend a meeting and was told that she was being dismissed with immediate effect. When the employee asked why, she was told it was due to cut-backs in the hotel. The employee was given no indication that she was to be dismissed and there had been no complaints regarding her work.

The employee referred her case to the Labour Court on June 9, 2005, in accordance with Section 20(1) of the Industrial Relations Act, 1969.

After she was dismissed, the employee noticed a number of jobs being advertised in the hotel, including one in the Sales and Marketing Department where she worked.

The employee’s contract of employment provided for a six-month probation period and, in the Labour Court’s view, the employee was entitled to expect that she would have had the benefit of that period to establish her suitability for continued employment.

The employee was awarded €15,000 in settlement of her claim.

Contact The HR Suite The HR Suite can advise you on establishing and maintaining a proactive probation process in your organisation.

If you require further information, please do not hesitate to contact us on 066 7102887.

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What’s New ALPRO ON TV ALPRO is boosting visibility of its high-in-plant-protein Go On soya alternative to yogurt range with a fresh round of TV advertising, set to air during the key pre-summer sales period. The ad showcases the brand’s successful Mango, Passion Fruit and Blackcurrant 150g Go On pots, and shines the spotlight on the newest additions to the portfolio, including a Strawberry & Raspberry 150g pot, and a Plain 400g Big Pot which is set to extend the range into cooking and mealtimes. The creative highlights Go On as a high-in-plantprotein option with a thick, satisfying texture to keep you going throughout a busy day. This latest TV run is designed to build awareness and drive product trial throughout the UK and Ireland.

GIVE YOUR SALES A BURTON’S BOOST BURTON’S Biscuit Company’s iconic biscuits range is helping retailers to meet consumer demand for quality products and excellent value for money. Burton’s produces a variety of popular treats and biscuit barrel favourites, including Maryland Cookies, Wagon Wheels and Jammie Dodgers, alongside Viscounts and Toffypops under the trusted Lyons’ brand. Lyons’ Biscuits, first baked back in 1938, have remained a firm favourite with families across Ireland ever since, with the brand’s value now exceeding €1.5m (Source: Kantar Ireland WPO Total Biscuits 52 w/e 01/01/17). Lyons’ Viscount and Toffypops are purchased by almost one in five households in Ireland.

KITKAT ADDS EXTRA MILK AND COCOA

DEEP RIVERROCK REVIVE AND RELAX REVIVE and Relax is a new water range offering hydration plus benefits from the home of Deep RiverRock. The new Revive and Relax range is infused with minerals and herbal extracts to help direct the body where it wants to go.

With four new products on offer, Deep RiverRock can help to Revive with Magnesium or Zinc and Relax with Lavender or Mint. The new range supports consumers to achieve balance with a ‘Revive’ offering to help them keep going or stay ahead or a ‘Relax’ offering to help them ‘stay in the mood’ or ‘simply relax’, and it all starts with hydration, thanks to Deep RiverRock’s quality Irish water sourced from the Glens of Antrim.

NESTLÉ’S flagship confectionery brand, KitKat now contains extra milk and extra cocoa, as Nestlé continues efforts to reduce sugar.

The improved recipe will see sugar replaced by more milk and cocoa and is being introduced across the KitKat milk chocolate range. It can be identified by newly designed ‘Extra Milk & Cocoa’ packs that began appearing on shelves from early April.

Earlier this month, Nestlé announced that it would reduce sugar by 10% across its confectionery portfolio through a range of methods that includes reformulation. Nestlé is working on a number of initiatives within its confectionery business to deliver further sugar reductions towards its 10% saving by 2018.

NEW OREO THINS OREO’S thinnest incarnation, Oreo Thins, have landed in Ireland. The perfect, mouthwatering treat for all cookie loving grownups looking to add a little wonder to their favourite snacking moment, Oreo Thins are a thinner and crispier version of the original cookie and available in two delicious flavours, vanilla and chocolate crème in packs of 96g. To find out more about Oreo Thins, check out Facebook at www. facebook.com/oreo #OreoThins.

Outcider Sponsors Bingo Loco!

IRELAND’S newest cider has announced its first sponsorship and it’s not one for the faint hearted. Outcider, which was launched earlier this year, has teamed up with Bingo Loco, Ireland’s craziest night out that is changing the way we think about bingo forever. Bingo Loco has hit Ireland by storm with, yes, bingo but also conga lines, rave rounds, danceoffs and an insanely entertaining evening; this one is not for your traditional bingo-loving granny. Outcider and Bingo Loco got together for the first time on Sunday, April 16, at the Wright Venue in Swords, for the first in a series of Outcider-sponsored Bingo Loco events, with 90s’ pop sensations, B*Witched, taking to the stage. The Bingo Loco/Outcider tour also takes in Limerick, Letterkenny, Galway, Carrick, Sligo and Maynooth.

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What’s New BANISH THE GUILT WITH GREEN COLA

NESTLÉ REDUCES SUGAR IN ROWNTREE’S FAVOURITES

GREEN Cola, a revolutionary “guilt-free” cola, is set to launch in Ireland and add plenty of fizz to the already intense competition in the soft drinks aisle. What makes Green Cola unique is that it is the only no calorie cola with natural sweetener on the market: unlike competitors in the market, it has no sugar, no aspartame and no phosphoric acid, and is sweetened with Stevia – a natural sweetener extracted from the stevia plant, a member of the sunflower family. Green Cola was launched in Greece in 2013 and took the market by storm, overtaking Pepsi in just three years, after claiming the New Product of the Year award in 2015. Commenting on the launch Paul Woodward, CEO of Green Cola UK and Ireland, said: “The launch of Green Cola in Ireland is something of a watershed moment for the cola market, a category that is crying out for some level of meaningful innovation, and our brand will help to genuinely address increasing consumer concerns about their own wellbeing.”

NESTLÉ’S Rowntree’s brand has unveiled brand new 30% less sugar versions of two of its best-selling products, Rowntree’s Fruit Pastilles and Rowntree’s Randoms.

As part of the recipe change, the sugar removed has been replaced by increasing the fibre content in these brand new versions that are being offered alongside the existing, classic products to promote choice on the confectionery aisle. As well as having 30% less sugar, the new products also have fewer calories and remain free from artificial flavours, colours and sweeteners, ensuring 100% fruity flavour. 9,000 consumers have already had the chance to try the new products as part of a large-scale blind taste test, led through social media, and initial feedback has been overwhelmingly positive.

DOHERTY’S DEAL WITH MUSGRAVE GROUP GLUTEN-FREE burgers, meatballs and traditional Irish pork sausages from Doherty’s Meats in Derry have been listed by Musgrave Retail Partners in Cork for its network of over 500 SuperValu and Centra stores throughout Ireland. Described by the NI company as “immensely significant”, the deal will see gluten-free pork sausages in 454g packs, cocktail pork sausages 400g, beef burgers 454g and beef meatballs 450g on shelves nationwide. All the products feature attractive new branding launched recently by Doherty’s as a key element in a new strategy to grow sales in key markets such as the Republic of Ireland and Great Britain.

JUICY NEWS FROM VEGIFIED VEGIFIED is a new tasty and affordable vegetable & fruit juice drink range that offers a healthy boost on-the-go. The new delicious, nutritious and affordable vegetable and fruit drink from Vegified is fortified with vitamins, making a healthy boost easier in a busy lifestyle. With four exciting flavours, the new great tasting Vegified range includes Beetroot & Strawberry; Pumpkin Ginger & Orange; Cucumber & Lime; and Bell Pepper & Orange. All varieties contain 30% vegetable and fruit juice, are fortified with vitamins and contain 60 calories or less per 300ml bottle. Each bottle of goodness contains six vitamins: Vitamin C, Niacin, B6, B1, Biotin and B12. The launch is supported by a full marketing campaign to include OOH, digital, PR, experiential sampling and a full suite of impactful displays and equipment in-store.

PEPERAMI LAUNCHES NEW BEEF STICK PEPERAMI is launching a new beef variant to sit alongside its iconic and much loved pork sausage snacks. This is the first time the brand has introduced a new meat into the range for over 10 years, and comes as consumers are looking for more snacking variety and alternative sources of protein. The six-figure campaign surrounding the launch of the new Beef variant comprises of three main elements: a TV sponsorship and branded partnership deal with Comedy Central UK, a dedicated ad campaign, and a Beef Tour sampling campaign throughout June and July. The new Beef variant is available in two flavours – Classic and Peppered Beef. This comes as Peperami also launches an evolutionary new pack design and outer case format to increase brand awareness, shelf presence and drive sales.

Vodafone Duo Lead the Lion!

PADDY Carberry and Rachael Crawley from Vodafone have been named as the winners of the ‘Young Marketers’ category of Cannes Young Lions Competition 2017, which is sponsored by Core Media, Ireland’s largest marketing communications group. Paddy and Rachael, who worked as a team to create their entry for the competition, will now travel to the Cannes Lions Festival in June to represent Ireland in the global ‘Young Marketers’ contest, competing against the best young creative marketing talent from over 100 countries. They will have just 24 hours to answer a brief set by a non-profit organisation and use the opportunity to demonstrate their strategic thinking and creative approach to solving important marketing challenges.

66|Retail News|April 2017|www.retailnews.ie

Shelf Life EASON has appointed Liam Hanly, the current Group Finance, IT and Logistics Director, as its new Managing Director.

This follows the decision of Conor Whelan to step down as Managing Director at the end of June 2017 to pursue other interests. Whelan has been Managing Director of Eason since 2009 and is the outgoing Chairman of Retail Ireland. He informed the Board of Eason of his intention to step down as Managing Director earlier this year, following agreement with the board on the new Eason 2020 strategy and plan and the successful identification of a new Managing Director. Conor Whelan will remain with the business for the next few months to ensure a smooth transition. Pictured are (l-r): James Osborne, Chairman of Eason; Liam Hanly, the new MD; and Conor Whelan, outgoing MD. MOY Park’s latest consumer marketing campaign, ‘Rule the Roost’, kicked off on Saturday, April 8, on the official Moy Park Chicken Facebook page. ‘Rule the Roost’, which is presented by Radio & TV presenter Hector Ó hEochagáin and RTE’s Mairead Ronan, sees four families across Ireland take part in a series of challenges to find out who ‘Rules the Roost’ in each home. Based on the format of a traditional Saturday night gameshow, but streamed on social, the first of a four part series featured the Gallagher family from Macroom in Cork (pictured).

PANINI has announced the launch of Elena of Avalor magazine, a four-weekly, 36-page magazine, aimed at children aged 4-7 and is based on the hit Disney Junior and Disney Channel series. Each issue is packed with a variety of content, including stories, puzzles, crafts, competitions and fun learning activities. “We are delighted to be working with Disney on the new Elena of Avalor magazine, which is jampacked with engaging creative that will both educate and entertain,” noted Cheryl Davenport-Thomas, Product Marketing Manager at Panini. “The strong editorial and retail marketing support makes a great launch platform for the magazine.”

COMEDIAN, TV host and 1987 All-Ireland Minor winner with Down, Patrick Kielty was joined by a host of GAA AllStars at Croke Park recently to launch Kellogg’s GAA Cúl Camps 2017. Last year, 127,000 children took part in Ireland’s largest summer camps, enjoying a week of fun, GAA coaching, nutrition education and a free kit. See kelloggsculcamps.gaa.ie for information and registration. At the launch in Croke Park, Dublin, are Kellogg’s GAA Cúl Camps ambassadors, from left, Wexford camogie star Kate Kelly; Mayo footballer Lee Keegan; Patrick Kielty; Tipperary hurler Seamus Callanan; and Monaghan Ladies Footballer Caoimhe Mohan, with Lilyanna Healy, age 9, Tom Healy, age 11, and Oliver Healy, age 8, all from Rathmines, Dublin.

PICTURED at the launch of the Knorr Gluten-Free Guide, which has been produced in association with the Coeliac Society of Ireland are (l-r): Fergal O’Sullivan, CEO at the Coeliac Society of Ireland; Mark McCarthy, Business Development Chef, Unilever Food Solutions; and Jim Reeves, Customer Director Ireland at Unilever Food Solutions. The guide, which is available to download free of charge at ufs.com/glutenfree, is the first of its kind to be produced in Ireland. It has been designed to promote simple steps on how to safely manage gluten in a professional kitchen. It also provides insights from an industry, operator and consumer lens, as well as showcasing recipes and Unilever Food Solutions’ gluten-free product list which includes an extensive Knorr offering. The launch coincided with a showcase of Knorr’s new Jelly Bouillons, available in beef, chicken or vegetable variants. These new products are gluten-free and have no allergens to declare.

ONE of Ireland’s leading consumer and corporate PR agencies, Walsh:PR has announced the appointment of Maeve Governey as Deputy Managing Director. She will be responsible for client service quality and new business development with the support of a talented client service team. An experienced and skilful PR practitioner, Maeve joined Walsh:PR in 2014 as a Client Service Director. She previously held senior positions in a number of other Irish PR agencies, as well as managing her own business.

CONGRATULATIONS to Teeling Whiskey, who collected the coveted awards for World’s Best Irish Single Grain and World’s Best Irish Single Malt at the highly prestigious World Whiskies Awards, held recently in London. “We are honoured that our whiskeys continue to be recognised as some of the best in the world,” noted Jack Teeling, founder of Teeling Whiskey. “To be acknowledged as the best in the world in two classes reinforces our ability to lead the renaissance for independent Irish whiskey producers.”

UCC Coffee has just launched a new, unique approach to coffee training with a measurable training programme called Coffee Works: Measure. Train.

Excel, to help customers consistently deliver exceptional coffee, regardless of scale. The new training concept can be delivered on-site at a customer’s location or at UCC Coffee’s Portlaoise site. Coffee Works training includes three new interactive courses: Becoming a Barista, Journey Through Coffee, Manager Critique, as well as SCA accredited diploma courses. “In an increasingly competitive market, consistency is more important than ever,” explains Gareth Davies, head of coffee excellence, UCC Coffee UK & Ireland. “To achieve it, you need three things – good coffee, good machines and good baristas. Controlling and maintaining your coffee and machines is simple. Ensuring uniform quality across all your baristas is the challenge. That’s why we’ve developed Coffee Works – a tailored, practical and hands-on approach to training that can be delivered at scale, ensuring exceptional coffee, every time.” For more information, see ucc-coffee.co.uk.

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