DECEMBER 2015
www.retailnews.ie|December 2015|Contents|3
Contents Looking Forward to 2016 IT seems like only last week we were talking about what 2015 would bring and now we’re approaching its end at a rate of knots. Such is the world of FMCG, where it can sometimes feel difficult to stop and catch your breath. Once the busy festive season is over, however, January can be a good time to reflect on the 12 months gone by and to look forward and plan for the year ahead. With this in mind, Retail News spoke to some of the biggest names in the Irish grocery market about their predictions for 2016. From representative groups like RGDATA and the CSNA to some of the biggest retailers in the country, BWG Foods and Musgrave Retail Partners Ireland, the movers and shakers in Irish retail discuss the issues facing the sector in 2016 (Page 4). We also report on Health Minister, Leo Varadkar TD’s Public Health (Alcohol) Bill (Page 6), from the controversial regulation on structural separation of alcohol products from other grocery items to the new regulations on advertising, marketing and sponsorship. Elsewhere, we report on the Government’s plan to ban tobacco vending machines and its implications for 60 family run businesses throughout the country (Page 18), we catch up with the great and the good at the IGBF Christmas Lunch (Page 30) and we bring you our annual Retail Group Review (Page 37-59), where Ireland’s biggest retailers look back on the year in retailing. Finally, I would like to take this opportunity to thank all our readers and advertisers for their continued support and to wish you all a peaceful and profitable Christmas and a very happy and prosperous New Year.
News 4 2016: Retail News
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navigates the landscape for the grocery trade over the year ahead.
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Topaz to be acquired by the publicly quoted Canadian company Alimentation CoucheTard
Retail Design & Print Production
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Mixed response to the Government’s Public Health Alcohol Bill.
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CSNA launch new corporate image.
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Australian Government delays report into plain packaging; Feeding Ireland’s Future 2016.
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Price no longer top priority for consumers; Glanbia UHT milk plant opens.
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SuperValu reclaims top spot in grocery market; NIIRTA & REI present to North-South Ministerial Council.
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The ECR Ireland Annual Awards showcased just how important collaboration is in growing sales and share in the FMCG industry.
A comprehensive guide to Point of Sale (POS) design, print and production for the retail sector has been launched to the industry and is available as a free download.
Seafood 27
RETAIL GROUP REVIEW
George Stephens, The Fish Market, Blanchardstown, Dublin, has been named the BIM Young Fishmonger 2016.
Retail Group Review 37
The main players in the Irish grocery market assess 2015 and reveal their plans for the coming year.
Music Use In-Store 60
If you play music in your store via radio, TV etc, you need a Dual Music Licence from IMRO, according to Brendan Griffin, Director of Licensing, IMRO.
Retail Ireland: Monthly Update 28
ECR Ireland Annual Awards
Kathleen Belton, Editorial & Marketing Director.
Using tobacco vending machines in retail outlets has much to recommend it for the retailer, including improved cash flow and reduced security risk, but the Government wants to ban them.
Ireland’s Grocery Superstars on the Secrets of their Success
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and suppliers enjoying one of the social highlights of the year for the FMCG trade.
Tobacco Vending
Optimism in advance of Christmas trading; First graduates in Retail Management Practice Degree.
IGBF Christmas Lunch 30
The IGBF Christmas Lunch 2014 saw upwards of 1,200 retailers, wholesalers
24 REGULARS & REPORTS
facebook.com/RetailNews1 Managing Director: Patrick Aylward Editorial & Sales Director: Kathleen Belton kathleenbelton@retailnews.ie Editor: John Walshe johnwalshe@tarapublications.ie Advertising: Brian Clark brian@tarapublications.ie Chief News Reporter: Pavel Barter Wine Correspondent: Jean Smullen Production: Ciara Conway Graphics: Catherine Doyle Printed by: W&G Baird
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12 Industry News 24 E-Cigarettes 32 Breakfast Time 36 Drinks News 62 Forecourt Focus: News 66 Shelf Life
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2016 The Road Ahead
Retail News navigates the landscape for the grocery trade over the year ahead. THE retail sector is emerging from the gloom of recession. According to Retail Excellence Ireland, sales in the three months to the end of September, across 4,000 stores in Ireland, were over €3.3 billion, a 5.5% increase on the same period in 2014 and the best performance since 2007. For the first time in years, retailers have reason to be optimistic. “GDP growth statistics are positive, unemployment is falling, consumer confidence is rising and consumer spend is increasing,” Willie O’Byrne, Managing Director of BWG Foods told us. “Notwithstanding deflationary trends, these indicators point to further momentum in 2016 as disposable income hopefully also begins to grow.” O’Byrne, whose BWG network includes SPAR, EUROSPAR, MACE, Londis and XL, believes convenience retailing can take advantage of this boost in consumer spend. “Our retailers have come through several years of recession, but collectively we are in a stronger place.” This sentiment is echoed at Musgrave Retail Partners Ireland. “There are positive economic indicators moving into 2016, with rising consumer spending, falling unemployment and increased consumer confidence,” said a spokesperson. “We expect that those positive trends will continue as a result of Budget 2016, with more money in consumer pockets potentially leading to further growth in the grocery sector. Price conscious consumers will ensure value remains a priority for food retail in 2016.” Willie O’Byrne, Managing Director of BWG Foods. However, the garden of Irish retail is not all roses, according to Vincent Jennings, CEO of the Convenience Stores and Newsagents Association (CSNA). “We run the difficulty of people thinking we’ve never had it so good for a long time, without caring to understand that we’re not back to the situation of being as profitable as we were in 2006,” he told us. 2016 is an election year, so retailer groups are preparing to set out their stall. Despite the upturn in sales, the grocery sector is viciously competitive at present, with discounters putting pressure on smaller businesses to keep up. Thomas Burke, Director of Retail Ireland, said there has been a
change in consumer mind-set: “Price is a determining factor for a lot of Irish consumers. Discounting is the new norm. That is going to have to be constantly reviewed because if margins disappear, it’s difficult for businesses to keep going.” While competition from discounters has forced established retailers to drop prices and curb costs, the price of business seems higher than ever. “Most retailers are running lean operations, so rises in business costs - rates, insurance costs and Vincent Jennings, CEO, CSNA. bank charges - create additional pressure. These rising costs are wiping out any modest improvements in retail,” according to Musgrave Retail Partners Ireland. Rising costs will be evident from the beginning of 2016, when the minimum wage increases from €8.65 per hour to €9.15. Now there is a campaign to introduce a higher living wage and flexible working contracts. “A number of commitments have been made, for example by the Labour Party, in regard to the living wage,” said Tara Buckley, RGDATA Director General. “Flexible working contracts are completely unworkable and will add huge costs on people doing shift work in shops. We will be making strong representations on that next year,” she added. In 2016, the National Federation of Retail Newsagents (NFRN) will celebrate its centenary anniversary at its AGM. According to NFRN Ireland District President, Peter Steemers, newspaper and magazine sales are a burden due to distributor carriage service charges. “We’re being ripped off,” he told Retail News. “There’s more profit for everybody apart from the newsagent. Newspaper and magazine distributors are hugely compensated by the carriage service charge. I pay one distributor almost €60 a week just for the delivery and collection of magazines. That’s in excess of €3,000 out of my bottom line.” Steemers, who works out of a shop in Bunclody, Co. Wexford, called for politicians to introduce measures that might halt Ireland’s rural decline. Musgrave Retail Services concurred: “There is a twospeed economic recovery evident, with urban areas feeling
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News the most benefit from growth. We need government to support town centre renewal, help businesses to re-establish in regional town centres, and return them to thriving economic hubs. Fostering the growth of Ireland’s digital economy through investment and training also presents a significant opportunity.” RGDATA pledged to ensure retail planning guidelines are upheld in 2016. The organisation Thomas Burke, Director of is working with groups on a Retail Ireland national strategy for town centre regeneration. “We have a proposal going into the Department of the Environment that will involve training, support packages, mentoring, and assisting local authorities and traders to come together to manage regeneration. We’re seeking commitments from the various political parties to support a properly thought-out strategy,” said Buckley. Some matters, due to emerge in 2016, affect retailers across the island. The Public Health (Alcohol) Bill, which Health Minister, Leo Varadkar TD, just published, will introduce restrictions on cheap alcohol, price promotions, advertising, sponsorship, and mandatory structural separation for retailers. “These restrictions can be far more onerous for small or stand-alone operators than for the big multiples,” said Buckley. “Our concern is he’s going to penalise smaller shops, who are not the cause of the problem.” Vincent Jennings wondered how shop-keepers will transition from the current voluntary code to a statutory code without incurring losses. “I hope they ensure there is a sufficient wash-out period for stock, in regard to labelling requirements,” he said. “It’s important the retailer isn’t stuck with something he can’t sell.” See story on Page 6. New categories will rise in prominence during 2016. Hot beverage sales, for example, have increased by over 13% this year, according to David Fitzsimons, Chief Executive of Retail Excellence Ireland. “Consumers are increasingly interested in health and
wellness, with sales of our Live Well range in Centra and superfoods in SuperValu, experiencing significant growth,” added Musgrave Retail Services. “As part of our Centra Live Well programme, calories are already on display on deli counters using countertop flip-charts. At SuperValu, we have reduced calories in our soft drinks category by a third or the equivalent of 120m calories.” Other categories are likely to take a hit next year, notably tobacco Tara Buckley, RGDATA products, with the potential introduction of plain packaging. Director General. Jennings questioned the implications: “What is going to happen to the premium products? Are they going to lose their popularity? Are people going to buy low value brands? Is there going to be a rise in RollYour-Own? The latter happened in Australia, when plain packaging was introduced. That leads to lower profitability for the retailer. Is it going to lead to an increase in people bringing in branded products, legitimately, from elsewhere in the EU? The whole licensing area of tobacco, e-cigarettes and vaping products is going to be an additional issue for retailers.” As we emerge into the election year of 2016, retailers are determined to stay on the path to recovery and convey their David Fitzsimons, Chief concerns to our future political Executive of Retail representatives. Excellence Ireland. “The best thing that can happen is the country continues to recover and we continue to see growth economically,” concluded Thomas Burke. “Some sort of continuity from Government, in terms of policy and how they handle the economy, will be essential to sustaining growth.”
Topaz Sold to Canadian Company TOPAZ is to be acquired by the publicly quoted Canadian company Alimentation Couche-Tard (known as CoucheTard). The two companies signed an agreement on December 2 that will lead to the acquisition by the Canadian company of Topaz Energy Group Ltd, together with linked companies Resource Property Investment Fund plc and the recentlyacquired Esso Ireland Ltd (collectively referred to as Topaz). The transaction is expected to close in Spring 2016, subject to regulatory approvals and closing conditions. Couche-Tard is one of the world’s leading convenience and fuel retail businesses, with approximately 15,000 sites across its network in North America, Europe (Norway, Sweden, Denmark, Poland, the Baltics and Russia), Asia and the Middle East. Emmet O’Neill, Chief Executive of Topaz, described the transaction as a “game changer’ for the retail sector in Ireland. “Couche-Tard is one of the strongest names in retail in the world and their presence in Ireland will transform the retail sector here,” O’Neill said. “I am thrilled that they have chosen Topaz as the foundation for their entry to the Irish market. They will bring enormous skill, energy and resources to this business and this market.” Welcoming the announcement, Topaz Chairman, John Callaghan, said; “The last two years have been a period
of phenomenal development and improvement for the company. With the steadfast support of the Board, our management and staff, we have established a well capitalised group of growing businesses which, Pictured at the announcement that Topaz with the recent is being sold to Couche-Tard are Brian amalgamation of Hannasch, President and Chief Executive Esso in Ireland, Officer of Alimentation, Couche-Tard and is the undoubted Emmet O’Neill, Chief Executive, Topaz. industry leader. “We are delighted to have agreed this transaction with Couche-Tard, who are recognised as world leaders in the fuel and convenience store industry. We know they will build on the foundations we have put in place and bring a new dimension to the industry in Ireland to the benefit of the economy, our customers and our staff. We wish Couche-Tard well and look forward with confidence to an exciting future.”
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Mixed Reaction to Alcohol Bill
as “a true example of nanny-state gone mad”. Under the new law, stores will have to choose to store alcohol either in a separate area of the store or in a closed cabinet. A premises which sells alcohol products will be required to separate the alcohol from ‘ordinary’ or everyday products by:
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DRINKS representative groups have given a mixed response to the Government’s Public Health Alcohol Bill, published by Health Minister, Leo Varadkar TD, on December 9, and due to come into effect in mid-2016. The long-awaited Bill sets out a range of measures in the following areas:
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a minimum unit price of 10c per gram of alcohol in alcohol products, to eliminate very cheap alcohol from all stores and shops; structural separation of alcohol products from other products in outlets, either by containment in a unit or a separate area of the store, so that it’s not sold like a normal grocery product; Prohibition of price-based promotions and tougher restrictions on targeted promotions such as ‘happyhour’; Health warnings and calorie labelling on alcohol products, with corresponding warning signs and information in pubs and off-licences; Regulation of advertising, marketing of alcohol and sponsorship, with criminal sanctions applying for the first time.
“Ireland needs to change its damaging attitude to alcohol,” said Minister Varadkar at the launch. However, the Alcohol Beverage Federation of Ireland (ABFI), argued that the content of the Bill will not meaningfully address misuse. Its Director, Ross MacMathúna argued that additional advertising restrictions on content are excessive and their effectiveness is unproven. The ABFI Director also maintained that sports funding will be hugely diminished, describing it as “a sponsorship ban by the back door”, while he felt that Minimum Unit Pricing will “drive shoppers back over the border...as there has been no agreement with Northern Ireland on concurrent implementation”. He further argued that there are omissions in the Bill that could have had an impact on the target audience, namely regulating online and digital marketing and the provision of education measures. He described the structural separation aspect of the Bill
confining the sale of alcohol to a single area in the premises which is separated, through which alcohol products are not visible, and to which customers do not have to pass through to buy “ordinary” products; or a closed storage unit(s) which contains only alcohol products.
Alcohol products behind check-out points will need to be concealed. Point of sale advertising of alcohol products will now be confined to the designated display area or the inside of the storage cabinet. Tara Buckley, RGDATA Director General, said that the new provisions on structural separation of alcohol products will disproportionately impact on smaller family owned stores with less room to adapt their business premises, but will leave the larger multiple operators untouched. “The main problem with the sale and display of alcohol products in shops has been the irresponsible marketing and promotional policies adopted by some of the largest retailers in the state who have been engaged in the below cost sale of alcohol,” Buckley argued. “They have adopted wholly irresponsible and reckless sales practices, some of which will at last be addressed by this Bill. However, they are also the main retail winners from this new legislation,
Some commentators argue that it is the majority of consumers who consume alcohol responsibly that will be punished by the Bill.
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News as the new rules on structural separation of alcohol products will cause them limited inconvenience and allow them to strengthen their market position in liquor sales. “Regrettably, smaller family owned shops which exercise greater control and restraint on alcohol sales will have the greatest challenge Minister for Health, Leo Varadkar TD. adopting their premises to accommodate new rules on alcohol sales. Many may be unable to comply or will not be able to fund the changes and may have to give up alcohol sales completely.” Buckley said that RGDATA would be making their concerns known to the Minister and seeking changes to the Bill as presented. The National Off Licence Association (NOffLA) and the Vintners Federation of Ireland (VFI), meanwhile, broadly welcomed the Bill. Evelyn Jones, Government Affairs Director, NOffLA, said, “Any legislation that ensures the highest standards around the purchase and consumption of alcohol is not only a positive for local communities, but also local businesses and is very much in keeping with the ethos of our Association.” NOffLA welcomed the introduction of a minimum unit price on alcohol, but argued that for it to be truly effective, the Government needs to introduce a ban on the below invoice cost selling of alcohol. “The promotion of branded discounted alcohol is used as a means to drive footfall into multiples to sell other more expensive grocery products and actively encourages irresponsible retailing, which is a threat to the broader community through alcohol abuse and anti-social behaviour. Such a ban would save the exchequer €24m per annum and is easily achievable using VAT invoices through the Groceries Order or secondary legislation through Section 16 of the Intoxicating Liquor Act 2008.” Jones also revealed that NOffLA welcomed “the commitment to affordable structural separation, which will ensure that alcohol will be appropriately separated from other everyday products in retail premises.”
Pádraig Cribben, CEO of the VFI, said the Bill “addresses the issues of availability, price, information and display, all of which are crucial”. “Looking at the sale of alcohol in supermarkets, our preference is for alcohol to be in a physically segregated area with its own till,” noted Cribben. “Nonetheless, separation is still a positive step in curbing the irresponsible sale of cheap alcohol. However, it needs to be policed appropriately.” When it comes to advertising, marketing and sponsorship, the Bill restricts advertisements so they can only give specific information about the product. Warnings in relation to harmful effects of alcohol consumption in general and during pregnancy will need to be included in any advertisement. The Bill will also prohibit advertising in certain places, including in or near schools early years services, local authority playgrounds, train, Luas and bus stations.
Evelyn Jones, Government Affairs Director, NOffLA.
The Bill also sets out the criteria for advertising in cinemas and publications and prohibits advertising in sports grounds for events where the majority of competitors or participants are children or directly on a sports area for all events (eg. on-pitch). Its effectiveness has been questioned by Ibec CEO, Danny McCoy, who said: “Alcohol misuse is a serious problem that demands a coordinated, effective response. The new Alcohol Bill fails in this regard. The measures proposed on the advertising, marketing and pricing of alcohol will not address the problem. Instead they will penalise the majority who consume alcohol responsibly, along with an important sector that provides quality employment across the country. A collaborative approach that involves government, public health authorities, industry and all other stakeholders is required if we are to make real progress.”
CSNA Launch New Corporate Image THE CSNA unveiled their new corporate image, to their trade partners at the Annual President’s Dinner recently. CSNA President Denis O’ Flynn reminded those present that the CSNA continues to grow each year, both in strength and influence. Vice President Noel Kelly stressed the history of the Association over the past 30 years as they toasted the success of the Association. Pictured at the launch of the new CSNA logo are (l-r): Gus O’Hara, Past President, CSNA; Noel Kelly, Vice President, CSNA; Joe Mannion, Executive Member; Vincent Jennings, CEO, CSNA; and Denis O’Flynn, CSNA President.
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Australian Government Delays Report into Plain Packaging THE Australian Department of Health has delayed the publication of its review into the effectiveness of the country’s plain packaging legislation, prompting many commentators to surmise that the Government in Australia is struggling to hide the failure of the branding ban in curbing smoking rates.
It is now three years since Australia implemented plain packaging for tobacco products and the Government’s delayed publication of its Post-Implementation Review (PIR) is causing concern in Ireland, where a copy-paste of the branding ban was enacted earlier this year. Since the introduction of the Australian branding ban in
December 2012, the government’s own data has shown no change to the pre-existing decline in smoking rates (Source: National Drug Strategy Household Survey 2013: tobacco, alcohol and illicit drugs). Minutes of a Senate debate held in October highlight the uneasiness surrounding the PIR and the difficulty that the Australian Department of Health is having in producing a report which complies with government guidelines (Source: Proof Committee Hansard (Senate), Finance and Public Administration Legislation Committee, Estimates, Monday, October 19, 2015, Canberra, p. 93-95). It illustrates fears that the review may be substandard by not measuring the Tobacco Plain Packaging Act against its original objectives. “Anti-tobacco lobbyists have misrepresented the data to hide the fact that the ban on brands has failed,” argued Igor Dzaja, JTI Ireland’s General Manager. “Australia, the only country where the measure has been introduced, cannot be held up as a model for countries such as Ireland to follow.” Dzaja maintains that Australia’s Department of Health is “desperate to prove the success of this policy but all of the evidence – their own evidence – points to failure. The government should own up to this failure, and the PIR is an opportunity to do that. If this review is not completed and published soon, and if it is not compliant with the government’s own standards, other countries will be misled.”
Feeding Ireland’s Future 2016 Launched ECR Ireland, in support with the Tánaiste and Minister for Social Protection, Joan Burton TD, has announced Feeding Ireland’s Future 2016, an initiative by the Irish food and grocery industry body set up to help support young unemployed people. This is the third year of the initiative and will involve food and grocery companies and foodservice providers throughout Ireland providing free pre-employment skills for young people under 24 years. The core activity is Skills for Work Week, a designated skills training week, which will take place from February 29 to March 4, 2016. During Skills for Work Week, companies will provide a range of initiatives, including free on-site skills workshops and site visits for young people at locations across Ireland. The focus will be on developing pre-employment skills and will include advice on CV writing, interview training and behind the scenes tours of factories, depots and offices. Last year, 27 companies took part in the programme. New to the Skills for Work Week 2016 programme is a partnership with Youthreach, a Department of Education and Skills official education, training and work experience programme for early school leavers aged between 15 and 20 years old. 12 Youthreach centres across Ireland will take part in Skills for Work Week 2016, whereby company representatives will host seminars with groups of 30 young people in each Youthreach centre, giving advice and interactive learning sessions about CV skills, interview techniques, skills training and personal development to the young students. Declan Carolan, General Manager, ECR Ireland, is calling on as many companies as possible to participate in the initiative and offer some pre-employment training during the 2016 programme. “Feeding Ireland’s Future is a great example of how the food and grocery industry can collaborate to further the skills of young job seekers in Ireland and better prepare
Tánaiste and Minister for Social Protection, Joan Burton TD, at the launch of Feeding Ireland’s Future 2016.
them in their quest for work,” he said. “Today’s young people are tomorrow’s workforce, so investing in and inspiring our young people is critical for our sustained business success. We are looking to build on the success of the last two years of the initiative and I am strongly encouraging as many companies as possible to sign up for the 2016 programme.” The programme is being promoted by ECR Ireland, with the support of its members of the retail and grocery industry, in partnership with the Department of Social Protection through its Intreo service. ECR member companies interested in participating in Skills for Work Week 2016 should contact: declancarolan@ecrireland.ie or call 087 2352148.
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Price No Longer Top Priority for Consumers PRICE is no longer the key driving factor in shopping habits when it comes to branded goods, according to the results of Love Irish Food’s annual Food Barometer, a body of research into the most up to date food & drink consumption habits of Irish shoppers. The research, which was commissioned by Love Irish Food, and conducted by Amárach Research, was carried out among 1,000 adult respondents across Ireland in August 2015. All Alan Wolfe, Niall Phelan and Tom Cronin from respondents were wholly or the Rye River Brewing Company celebrate partially responsible for their winning the Love Irish Food/Exterion Media household’s grocery shopping. Brand Development Award. In investigating buyer decisions with regards to shopping for branded products, the key determinant is no longer price. The primary motivator among shoppers is now a composite of trust in the brand, country of origin and local provenance as the top priorities (35%), closely followed by product quality (25%), and then price (23%). Provenance and product quality are the most important factors when all responses are combined, with 10% making purchase decisions based on ‘family appeal’ and a mere 6% buying certain products out of habit alone. Irish shoppers’ love affair with brands remains strong. Those who claim to only buy or mostly buy brands, account for 43% of shoppers, with those who ‘seldom’ buy brands accounting for a mere 8% of shoppers. Those living in Dublin are far more likely to be ‘brand loyalists’, with 50% of respondents living in Dublin being self-determined brand loyalists, in that they ‘only buy well known brands’. This compares to 21% in the rest of Leinster, 21% in Munster and only 8% in both Connacht /Ulster demonstrating this level of loyalty to branded goods. When it comes to perennial food favourites and much loved brands, respondents were asked which well known Irish brands they believe will stand the test of time and remain on shelf in 20 years’ time, and the top 10 brands were: Barry’s Tea (78%); Cadbury’s (76%); Tayto (75%); Lyons (72%); Dairygold (66%); Kerrygold (64%); HB (62%); Denny (61%); Flahavan’s (59%); and Avonmore (57%). Love Irish Food, in conjunction with Kantar Worldpanel confirms that despite an average of almost 30,000 different products on shelf across grocery retailers, shoppers tend to remain loyal to certain brands and a rather limited array of repeated purchases in their weekly shop – with an average of only 78 different products purchased over any 12-week period throughout the year, despite the staggering choice of products available, highlighting once again the loyalty displayed by Irish shoppers to certain much loved products. “There is enormous value in Irish produced food brands for shoppers,” noted Kieran Rumley, Executive Director of Love Irish Food. “Our research findings demonstrate clearly that what people are looking for is no longer just price but rather their choices are driven to an even greater degree by trust in brands and their origin, quality and now, to a lesser extent, price.” Meanwhile, Love Irish Food, and Exterion Media have announced McGargles from Rye River Brewing Company as the winner of The Love Irish Food 2015 Brand Development Award. This award will see Love Irish Food member McGargles receive €70,000 worth of Out-ofHome advertising space from Exterion Media. In addition, OwensDDB advertising has contributed an €8,000 creative bursary to the Award. This is the fourth year that the prestigious award has been held, attracting a large number of entries from Love Irish Food members.
HPRA Calls for Retailers to Check Defibrillators THE Health Products Regulatory Authority (HPRA) has called on all retailers with automated external defibrillators (AEDs) to urgently check that the recommended safety and maintenance updates on their device have been undertaken. The HPRA is issuing this advice as it has identified some 940 defibrillators in Ireland, incorporating five particular models, where a corrective action remains outstanding. Updates to these AEDs are needed immediately to ensure that the devices will work as necessary in a life-saving situation. In addition, the HPRA warns that weather temperatures will affect a defibrillator’s performance and all AED devices should be stored correctly and regularly checked during the winter months ahead. For more information, see www.hpra.ie.
Glanbia UHT Milk Plant Opens GLANBIA Consumer Foods Ireland officially opened its new €15m state-ofthe-art UHT (Ultra-Heat-Treated) milk processing facility in Lough Egish, Co. Monaghan. With processing capacity for up to 100m litres of milk per annum, the new facility will produce a range of standard and fortified UHT milk and cream products for export under Glanbia’s market leading brand, Avonmore. 40 new jobs have been created at Lough Egish, 21 of which have already been filled, representing a total investment of €15m by Glanbia, with support from the Department of Jobs through Enterprise Ireland.
Minister for Business and Employment Ged Nash TD; Yvonne Kerrigan, Plant manager; Henry Corbally, Glanbia Chairman; Minister for Arts, Heritage and the Gaeltacht, Heather Humphreys TD, and Colin Gordon, CEO, Glanbia Agribusiness, with the plaque at the official opening of the Glanbia UHT Milk Plant at Lough Egish, Co. Monaghan.
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SuperValu Reclaims Top Spot in Grocery Market SUPERVALU has returned to the top of Ireland’s grocery sector. The latest supermarket share figures from Kantar Worldpanel in Total Take Home Grocery - Ireland Consumer Spend Ireland, for the 12 weeks ending November 8, 12 Weeks to 08 Nov 2015 change** 12 Weeks to 09 Nov 2014 show that SuperValu has grown its market %* %* % share to become Ireland’s largest grocery Total Grocers 100.0% 100.0% 2.2 retailer for the second time this year. Total Multiples 89.2% 89.6% 2.7 “The grocery market is arguably the most Tesco 24.8% 24.1% -0.7 Total SuperValu 24.5% 24.6% 2.5 competitive retail sector and the latest figures Dunnes 23.5% 23.7% 3.3 emphasise this, with the three biggest retailers Total Discounters 16.4% 17.2% 7.3 each within one percentage point of each other’s Aldi 8.4% 8.5% 3.6 market share,” explained David Berry, Director Lidl 8.0% 8.7% 11.2 at Kantar Worldpanel. “SuperValu now occupies Other Outlets** 10.8% 10.4% -2.0 *= Percentage Share of Total Grocers the top spot, having seen sales climb by 2.5% **= Includes stores such as M&S, Boots, Spar, Centra, Greengrocers, Butchers And Cross Border shops over the past 12 weeks, increasing its share of year, helping to grow sales by 11.2% and increase market the market to 24.6%.” share to 8.7%. Like Dunnes, Lidl has drawn much of its This is the strongest growth rate recorded by SuperValu success from expansion in the capital, having increased since August 2013, which the retailer has achieved by footfall in Dublin by 33,000 compared to last year. encouraging more repeat shopping trips. “The average Elsewhere, Aldi’s performance remains ahead of the consumer has visited the retailer on two additional occasions overall market, with sales growth of 3.6% and market share and spent an extra €16 over the past quarter when increasing to 8.5%. compared with last year,” Berry noted. David Berry continues: “Tesco continues to see a positive Elsewhere, Dunnes continues its successful performance, volume performance, with more items sold this year but at a with growth in value sales of 3.3%, attributable mainly to lower price point, leading to a slight decline in value sales of larger, more frequent shopping trips. Dublin has been a key 0.7%. Market share for Tesco has dipped to 24.1%, compared source of growth for Dunnes, where it now stands as the with 24.8% this time last year. With the prospect of a boost number one retailer. in consumer spending this Christmas, Tesco’s festive offer Lidl maintains its position as the retailer with the is sure to be geared towards regaining the top spot at such a strongest sales growth, and has been the only grocer to vital time of year.” expand its customer base during the past 12 weeks. The For more information, see www.kantarworldpanel.com. grocer has recruited more than 40,000 new shoppers this
NIIRTA & REI Present To North-South Ministerial Council RETAIL Excellence Ireland (REI) and the Northern Ireland Independent Retail Trade Association (NIIRTA) have for the first time made a joint presentation to a North-South Ministerial Council sectoral meeting on the Economy. Minister for Jobs, Enterprise and Innovation, Richard Bruton TD, and NI’s Enterprise Minister, Jonathan Bell MLA, met with REI Chief Executive, David Fitzsimons, and NIIRTA Chief Executive, Glyn Roberts, in Armagh recently to discuss a joint report on growing the retail industry. Earlier this year, REI and NIIRTA launched the first-ever report on building retail in Ireland, North and South with Minister Seán Sherlock TD, Minister of State at Department of Foreign Affairs with Special Responsibility for ODA, Trade Promotion and North South Co-operation. The report is based on a detailed analysis of 500+ responses from international visitors to Belfast and Dublin, along with a qualitative survey of 40 retail businesses based north and south of the Border. The research was funded through the Department of Foreign Affairs & Trade’s Reconciliation Fund. In joint statement, Glyn Roberts and David Fitzsimons, said: “This was a productive joint meeting with Ministers Bell and Bruton, at which we outlined the growth potential of retail, north and south, in growing the economy of the island. Our joint research indicates that there is a major prize for the retail industry on the island of Ireland if we can ensure that the broad choice of retail options is correctly profiled to incoming international visitors. Both our organisations are working in partnership to ensure that policies are put in place to support what is the island’s largest industry by employment. From a Northern Ireland (NI) perspective, more can be done to attract Republic of
Pictured are: Minister Carál Ní Chuilín, Minister for Jobs, Enterprise and Innovation, Richard Bruton TD; Glyn Roberts, CEO, NIIRTA; David Fitzsimons, CEO of REI; and NI Enterprise Minister John Bell MLA.
Ireland-only tourists to NI. A vibrant retail industry with thriving town centres can play a key role in doing this. Crucial also will be further promoting the new British-Irish tourism visa to attract visitors from outside the EU to the island. With Dáil and Assembly Elections next year, this is a crucial time for both our organisations to be influencing the broader policy agenda to ensure a positive platform to grow our retail industry.” Key recommendations for this report include the establishment of a North-South Retail Forum to bring together key retail business groups and relevant Ministers to ensure effective communication and policy changes and the promotion of cross-border weekend shopping breaks for Dublin, Belfast and other shopping destinations on the island.
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12|Retail News|December 2015|www.retailnews.ie
Industry News TOP AWARD FOR BARRY GROUP THE Barry Group is one of 29 Irish companies chosen for the finals stage of the European Business Awards 2015/16. Now in their ninth year, the EBAs engaged with 32,000 companies from 33 countries at entry stage, a 33% increase from last year. The next round of the competition requires the national champions to make a presentation video to tell their story and explain their business success. The judges will award the best of this group the ‘Ruban d’Honneur’ status, whose recipients will go on to participate in the grand finale in June 2016. The videos will be made public on the European Business Awards website on January 11, 2016, as part of a two-stage public vote. Barry Group MD Jim Barry is pictured being presented with his National Champion award for the 2015 European Business awards with British Ambassador to Ireland, Dominick Chilcott, CEO of the European Business Awards, Adrian Tripp, and Sales Director of Barry Group, Edwina Lucey.
SuperValu’s Clare Winners Nestlé Signs for Simon NINE Clare food businesses who made pitches to Musgrave Group representatives last month have secured shelf space for their products in SuperValu stores. Each of the businesses are participants of the Food Academy Start Programme, an initiative of Bord Bia, SuperValu and Local Enterprise Office Clare, aimed at nurturing start up food companies. Pictured in Fitzpatricks SuperValu Ennistymon are (l-r): Tara Lee Byrne, GRÁ NOLA; Ann Ryan, Delia Keane’s Scones; Vera Muir, Clare Jam Co.; Jordan Kelly, Kelly Sausages Dinner Sausage; Maeve Sheridan, Western Herd Brewery; Darren O’Connor, Magic Magan Raw Chocolate Bars; Jose Antonio Masillo, Posh Mash; Carmel Connaire, Lahinch-based food trainer; Jackie Crowe, Fitzpatrick’s SuperValu Ennistymon; and Shane Gaughan, Local Enterprise Office.
THE Simon Community has renewed its partnership with Nestlé Ireland for ongoing support. Over the past six years, Nestlé Ireland has provided over 2.5m cups of Nescafé coffee to the Dublin and Cork Simon Communities services, which work to prevent and address homelessness by offering support, housing and vital services to people who are homeless or at risk. Nestlé’s involvement with the ‘Food for Simon’ programme has more recently been augmented with Nestlé’s iconic KitKats now being provided to the supported housing services. Pictured at Simon’s Permanent High Support Accommodation, Riversdale House, Palmerstown, are: Carol Anne Deasy, Beverage Marketing Manager, Nestlé Ireland, and Sam McGuinness, Chief Executive, Simon Community.
Winner Winner Chicken Dinner! MOY Park has been awarded a CIM Marketing Excellence Ireland Award for ‘Best FMCG Retail including Online’ for the launch of its innovative Roast in the Bag product range. The brand was also named runner up in the Food and Drink category. The prestigious CIM Ireland Marketing Excellence Awards celebrate, recognise and reward the best marketing achievements and outstanding creativity across various industry sectors in Ireland. “We are delighted to receive two CIM Ireland Awards for marketing impact for the launch of the Roast in the Bag product range. Winning a CIM award is recognition that we have created a communications campaign that delivers real business benefits,” noted Andrew Nethercott, Director of Brand Marketing, Moy Park, pictured at the award presentation with Aisling McTeague, Brand Marketing Assistant; Briege Finnegan, Brand Marketing Manager; and Judith Brannigan, Co-Founder of Libra Events.
Halloween Magic at Children’s Hospital THERE was magic, mystery, dressing up and party games as the children at Our Lady’s Children’s Hospital, Crumlin, had a ghoulishly great time of it with a Halloween party in the hospital thanks to Subway stores in Ireland. Subway recently became a fundraising partner for CMRF Crumlin, the research arm of the children’s hospital, and placed collection boxes in all 140 stores nationwide. Pictured at the party are (l-r): Lorraine Smith, play specialist at Crumlin Children’s Hospital; Muriel O’Grady, Subway; Seamus Griffin, MD, The Griffin Group, and Dr Razmatazz (Aoife Moore).
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14|Retail News|December 2015|www.retailnews.ie
Industry News SWEET SUCCESS FOR LIR LIR Chocolates is gearing up for a bumper festive season, having secured a seasonal contract to supply a range of Tesco finest chocolates to Tesco stores in Ireland and the UK. The contract will see the Meath-based chocolatier generate over €4.8m worth of sales. “We have been working with the Tesco team for over 20 years and 2016 looks set to be one of our best yet as we’re gearing up to supply a range of Tesco finest Valentines chocolates and Easter eggs,” noted Suzanne Frazer from Lir. Pictured at the Lir factory in County Meath are Eliot Hardy, aged five, and India Bonnes, aged seven.
Manor Farm Launches Healthy Eating Campaign
Keelings’ Christmas Giveaway
MANOR Farm has launched a new National Healthy Eating campaign. Currently two out of every three adults in Ireland are overweight or obese. Obesity costs the Irish state in excess of €1.13 billion annually, according to Safefood. “We want to help bridge the gap in people’s knowledge when it comes to nutrition and eating well. When you follow a few simple rules, it’s easy and affordable to eat healthily,” said Vincent Carton, Managing Director of Manor Farm. “There’s a growing need to educate people on proper nutrition in Ireland. The way we eat is intrinsically linked to our overall health and sense of wellbeing. A lot of people lack the basic skills and know-how of how to eat well,” said Marie O’Toole, National President of the ICA, pictured with Caroline Cummins, nutritionist, Manor Farm; Shay O’Connor, Butchery Specialist with Manor Farm, and Vincent Carton. For more information, see www.Manorfarm.ie or the ICA Facebook page and website.
KEELINGS are kicking off the festive season with a prizepacked giveaway running over 12 days of Christmas. All consumers have to do is tell Santa what they want for Christmas by filling out the wishlist on Keelings Facebook page and they’ll be in with a chance to win one of 12 amazing prizes, including a Samsung Tablet, a Spa Weekend trip and hundreds of euro in shopping vouchers, as Keelings wish their customers a Berry Merry Christmas.
Tesco Finest Gets Festive THE Tesco finest seasonal range has a host of special treats to ensure consumers have a truly magical Christmas. The range includes Tesco finest Reindeer Assorted truffles 225g and Tesco finest Starlight Assorted truffles, in addition to Tesco finest Marc de Champagne, Salted Caramel and Strawberry Marc de Champagne truffles. Coffee aficionados will go wild for Tesco’s wide range of coffee machine and pods, including Nestle Dolce Gusto Mini Me (pictured), Oblo, Melody 3 and Piccolo, while cocktail lovers will covet Tesco finest Sloe gin and Tesco finest Salted Caramel Liqueur. The range also features a range of festive fizz, including Tesco finest Premier Cru Champagne, Tesco finest Vintage Champagne, and Tesco finest Bisol Prosecco, as well as a range of options for fans of fortified wines, including Tesco finest 10 year old Tawny Port, Tesco finest Vintage Port and Tesco finest Late Bottled Vintage Port.
One4all Celebrates the Joy of Christmas IRELAND’S leading gift card company, One4all, have launched 14 of Ireland’s happiest faces into the limelight with their brand new advertising campaign. In September, One4all launched a national search in a bid to find faces that radiate joy. The response was overwhelming, with thousands of hopeful entrants submitting their selfies in a bid to appear in One4all’s Christmas advert. From laughing toddlers to gleeful grannies, the best of the nation’s beaming faces appeared on social media to take part, with 14 winners chosen by One4all as representing the very best of Ireland’s happiest faces. Peter Quinn, Chief Finance Officer, An Post, and Michael Dawson, CEO, One4All, are pictured at the official launch of the One4all Christmas Campaign in The General Post Office, Dublin.
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Show Me I.D - Be Age Ok is supported by Retail Excellence Ireland, Ireland’s retail trade associations RGDATA, CSNA, NFRN and also by VFI, NOffLA, ITMAC, the South Dublin Chamber and the Irish Cigarette Machine Operators Association (ICMOA).
16|Retail News|December 2015|www.retailnews.ie
ECR Ireland Annual Awards
Worthy Winners at ECR Ireland Awards
The ECR Ireland Annual Awards showcased just how important collaboration is in growing sales and share in the FMCG industry. THE sixth ECR Ireland Annual Awards featured both a category management award and a shopper marketing award, proving how the two areas have evolved to become very distinct and powerful tools for the FMCG sector.
Encouraging Category Growth First up in the Category Management Awards was Persil Kits for Schools. Kathryn Dodd, Shopper Marketing Executive with Unilever, painted a rather unloved picture for washing and cleaning products. The category is very much driven by sales on deal and bulk purchases. With up to 84% of sales ‘on deal’ and only 30% of customers displaying any loyalty, this is a tough category. The Persil Kits for Schools campaign squarely targeted young mums: they are Pictured at the ECR Ireland Annual Awards presentation are (l-r): Barry Carty, the shoppers who put most thought into Category Manager, BWG Foods; Ed Roberts, MD, Talysis, winners of the Category Management Award; Declan Carolan, General Manager, ECR Ireland; Annmarie detergent and fabric softener purchases and Markey, Channel Marketing Manager, Coca-Cola HBC; Ian Mahon, Trade Planning over 80% like to engage with competitions Manager, Tesco Ireland, winners of the Shopper Marketing Award; and Sarah Love, that benefit their children. The campaign MD, Goosebump. was heavily supported across all channels, including in-store, and delivered impressive that solved the problem. In essence, Talysis and BWG used results, with a 6% increase in market share, a 9% increase in signals from peoples’ smartphones to track the movement of spend and 4% increase in visit frequency, meaning that the individuals in shops and passing the shops, to generate heat campaign also helped introduce a premium element to the maps and movement charts that could be tied to EPOS data, brand. thereby providing incredibly rich information about how The HB Aisle of Joy campaign, also from Unilever, was shoppers use the shop. presented by Julieann Evans, Shopper Marketing Manager, No personal data is captured, as only the serial number of and Fiona Ryan, Category Manager, of Unilever Ireland. the smartphone is tracked, so there are no privacy issues and Ireland has the eighth highest per capita consumption of customers are entirely unaware their movements are known. ice cream on earth and it is the number one category in the frozen food aisle. However, it is often a chilly aisle whose freezer bays and frosty doors rarely inspire a sense of joy in shoppers. Working in close co-operation with Tesco, HB decided to create a bright and colourful aisle where shoppers were given a visual treat to whet their appetite for the temptations on offer. The campaign was a real show stopper, delivering sales increases of 24%, penetration of 22% and an increase in unit sales per visit of 14%. It’s amazing what sharing a little joy can do, along with clear segmentation. Stunning Use of Technology The winner of the Category Management Award was very different from the other two finalists. It consisted of a fascinating, innovative and breathtakingly cost-effective use of technology to provide stunning levels of customer data. Ed Roberts, MD, Talysis, explained how when BWG Foods approached him about getting a better understanding of their customers, it was a clever idea, based around technology
Pictured are Shane Guest, Senior Brand Manager, Mondelez; Marie Burke, Shopper and Category Marketing Manager, Mondelez, and Paul Kelly, Business Operations Manager, Unilever.
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ECR Ireland Annual Awards Therefore, their activity is entirely normal. The solution Talysis came up with for BWG Foods was a very worthy winner, not only because of the richness and value of the data, but because of the level of innovation and value for money as well.
weeks of the campaign, the results demonstrate the importance of identifying and exploiting suitable trends in shopper activity.
Intensive Co-Operation The winner of the Shopper Marketing Award was presented to Annemarie Markey, Head of Coca-Cola Hellenic Brands Marketing at Coca-Cola HBC Ireland, Shopper Marketing and Ian Mahon, Trade Finalists Planning Manager, Tesco Shopper marketing Ireland. The Christmas 360 was an almost degree shopper activation unknown job plan between Tesco Ireland description five and Coca-Cola shows just years ago. However, how much value retailers Pilar Abad, Marketing Manager, it has become an and manufacturers can PepsiCo, explains how how Doritos Fiona Ryan, Category Manager, Unilever extremely valuable derive from intensive Roulette reignited the crisp and Ireland, addresses attendees. tool in the arsenal co-operation, support and snacks aisle. of manufacturers and retailers. The finalists in this year’s shopper knowledge. ECR Ireland Shopper Marketing Award displayed that very Featuring a Roadshow, clearly, in a hotly contested category. augmented reality, Brendan Nolan, Marketing Manager, Manor Farm, meticulous planning and showed that when manufacturers understand shopper needs, exceptional delivery, the they can help revitalise the in-store presence of their product. experience for the shopper Most shoppers include chicken in their diet, yet research by was second to none. The Manor Farm showed that 41% of shoppers spent less than 20 support infrastructure that seconds on their decision, despite the variety of products on went into this campaign is offer. tremendous, but the results Manor Farm decided to solve shopper needs, creating a were seriously impressive. display that made it very easy for shoppers to quickly and Roadshow destinations easily see the varieties of chicken on offer. Hints, tips and recorded 32% sales growth menu suggestions were provided for free to shoppers to year-on-year, which is great inspire them and offer meal solutions. The results speak for news for Coca-Cola. For themselves, as the campaign delivered a sales uplift of just Tesco Ireland, destination over 43% year-on-year in test stores. stores recorded 2-3% Pilar Abad, Marketing Manager, and Lisa Deveney, increases in total sales, Marketing Executive, both from PepsiCo, spoke about how which meant customers Brendan Nolan, Marketing Doritos Roulette reignited the crisp aisle. The campaign were coming in-store Manager, Manor Farm, pictured proved that if the brand owner understands shopper needs and spending more. The addressing the ECR Ireland Annual and behaviours, and is willing to collaborate with retailers, campaign will return again Awards. such as Tesco and SuperValu, the results can be staggering. this year and spread the The Doritos Roulette campaign brought not just an aisle to holiday spirit with Irish shoppers once again. life, but an entire in-store and online presence. Both awards proved that collaboration between Given the nature of the key Doritos shopper, including manufacturers and retailers is the key to sales growth, with age profile and interests, the campaign was loud, bold, brash opportunities for supplier and seller to work together to their and very much in the shopper’s face. The in-aisle activity was mutual benefit. supplemented with additional installations around the shop and tied in with alcohol purchases as well. The campaign saw aisle visits increase by 28% and delivered a categorywide sales boost of 17%, with Doritos Roulette accounting for 41% of that increase. These were very impressive results for manufacturer and retailer alike. Aisling Kelleher presented for Knorr, Unilever. By linking their gluten free products to Coeliac Awareness Week, Knorr has been able to drive awareness among coeliac shoppers that their product is suitable for consumption. But more importantly, the broader trend of gluten free among noncoeliac sufferers is growing and through this campaign, Knorr has also raised broader awareness levels that their products fit the gluten free lifestyle. The 360 degree campaign featured traditional media, Pictured are Jenny Owens, Category Insights Executive at Cocaas well as digital and in-store activity, focused on raising Cola Hellenic Bottling Company; Stephen Shallow, Food Category awareness to drive footfall in-store and activity on the aisle. and Insight Manager, Mars Ireland; and Laura Sherry, Customer Developer at Coca-Cola Hellenic Bottling Company. With sales of stock cubes up by just over 5% over the 12
18|Retail News|December 2015|www.retailnews.ie
Tobacco Vending
Defending Vending Machines THE use of cigarette vending machines in retail outlets has been growing steadily as it offers a number of advantages for the retailer. But if the Government gets its way, vending machines could be banned in 2016, which could put 60 family-owned vending companies out of business countrywide. Traditionally seen as a fixture in the licensed trade, vending machines have become much more prevalent in the retail sector. Indeed, Cormac Dunne, owner of Naas Vending, estimates that over the last five years, turnover from More and more retailers have been retail outlets has installing cigarette vending machines increased from 10% in-store. to more than 50%. “We still have more licensed premises as customers but we sell much more product via retailers. It’s our only real source of growth, because the number of pubs in the country certainly isn’t increasing,” Dunne says. The benefits for a store owner are manifold, Dunne maintains: “If you are a retailer stocking cigarettes, traditionally you would buy your stock from a cash & carry or via central billing, and you then stocked the product in your store-room. A typical shop could turn-over up to €8,000 a week in cigarettes, so you could have between €10,000 and €20,000 in cigarettes on the premises at any given time. This can be a major cash-flow problem, as well as a security issue, with insurance implications.” If, however, you utilise a vending company, the vendor installs a machine behind the counter in the shop, stocks and locks it – nobody has access to that machine apart from
Using tobacco vending machines in retail outlets has much to recommend it for the retailer, including improved cash flow and reduced security risk, but the Government wants to ban them.
the vendor. “All the stock inside belongs to the vendor so the shop owner has no investment in stock, freeing up cash to be spent elsewhere in store,” Dunne notes. Then the vendor installs a bill-reader elsewhere in the store, and the shopkeeper feeds credit into the bill-reader, effectively paying for the cigarettes for the day in bulk in advance. “He might put €500 into the machine in the morning and as customers order cigarettes, the shopkeeper then uses that credit, pressing the button on the vending machine for the customer’s preferred brand and serving them as normal. The shopkeeper charges the customer in the normal way, even if the customer has a range of items in their basket as well as cigarettes.” Avoiding Out-of-Stocks How do you ensure there are no out-of-stocks in the cigarette category? Dunne’s advice is simple: “using a reputable vendor will minimise the chances of that occurring. If the vendor is experienced, they should have a pretty good idea what brands sell and in what quantities and should have enough stock to cover that.” Some vendors will use a telemetry device, which is like a modem fitted to the vending machine, which allows the vendor to see when stock is running low: “In the unforeseen eventuality that a more obscure brand gets a rush on it, the vendor should be able to call to the retail customer and restock them.”
Installing a cigarette vending machine in-store has a number of advantages for the retailer.
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Tobacco Vending Naas Vending typically restock vending machines weekly, with exceptionally busy shops requiring a twice weekly top-up. Obviously, a vending company has to make money from their service, so the retailer essentially takes a small margin cut to Cormac Dunne, Naas Vending. use the service. “The margin is negotiated between the shop-keeper and the vendor. If it’s a busy shop, the retailer should be able to negotiate a pretty keen margin,” Dunne reveals. “On a headline margin, the retailer will lose a small bit, but we would argue that the benefits far outweigh that small cut: you’re not placing orders, counting stock, taking in deliveries and you’re reducing the security risk in-store.” The Proposed Ban The Irish Cigarette Machine Operators Association (ICMOA) represents the 60 vending machine companies across Ireland, most of which are small, family-owned businesses. The ICMOA has repeatedly called on the Minister for Health and the Government to reconsider proposals to ban cigarette vending in Ireland. If introduced, the ban will have a devastating impact on the vending industry, resulting in immediate losses of €143m to the exchequer and over 150 jobs across the country. “The Government are trying to shut down vending machines because they are saying that minors are gaining access to tobacco via vending machines, which we feel is untrue,” Dunne explains. “The regulations in Ireland are very strict when it comes to vending machines. Firstly, the vending machine has to be located within view of a bar or reception area; it has to be token controlled, so a customer has to go to the bar to obtain a token before they can purchase cigarettes. We find it implausible that minors are going to a counter, getting a token and then getting cigarettes from a vending machine. It’s surely much more likely that they’re getting them from older siblings or from the illegal trade.” According to Dunne, the Government are basing their argument on a study carried out back in 2010, which found that minors were able to access tobacco in 29% of licensed premises. “At that stage, the regulations on token control had only just been introduced and compliance has improved greatly since then,” he argues. Examining the Evidence Evidence backs up Dunne’s assertion. In 2014, eight retailers were convicted of selling cigarettes to a minor and just one licenced premises was convicted, while another premises was found to be in breach of the legislation, which requires that tobacco must be sold from a vending machine with token. There was only one retailer conviction in the first six months of 2015 and one licenced premises was prosecuted for not having a sign fixed to his machine. Indeed, the ICMOA has
now launched a nationwide campaign reinforcing the need to ask for ID, appearing on machines across the country. “In the ICMOA, we are responsible retailers of tobacco: we don’t want children getting access to tobacco,” Dunne stresses. “In any industry, where you find a breach of regulations, you penalise the offender, not the entire industry. The Government have not examined any alternatives: they are literally saying, ‘five years ago, we did a survey and found a problem, so we are going to ban vending machines completely’. “We would like to see the Government examine alternatives. For example, we’d support bringing in heavy penalties for people who are in breach of existing legislation, but not a blanket ban because a couple of rogue traders are not playing by the rules.” If the Government succeeds in its plan, companies like Naas Vending will be forced to close their doors. “While our retail turnover is increasing, the profit from a pub vending machine is much greater for us, so the bulk of our profits still comes from the licensed trade,” Dunne reveals, sadly. “We have examined the figures extensively because our business is at stake but no matter what way I look at it, if all the pub vending machines were gone tomorrow, there just would not be a case to stay in business.” The ICMOA have been trying to meet with the Minister for Health for the last 18 months but have had no success: “We are not big tobacco: we are small family businesses, trying to make a living and we have been completely ignored.”
Cormac Dunne finds it “implausible” that minors are accessing cigarettes from vending machines: “It’s much more likely that they’re getting them from older siblings or from the illegal trade.”
20|Retail News|December 2015|www.retailnews.ie
Retail Design & Print Production
‘Retail is Detail’ A comprehensive guide to Point of Sale (POS) design, print and production for the retail sector has been launched to the industry. Colour Central, one of Ireland’s leading design studios serving the retail sector, has launched a definitive guide to print and design for the retail industry and it’s available to download for FREE! It’s something the industry has never had and it’s something that’s undoubtedly going to prove very useful to marketing departments in retail businesses up and down the country. For as long as there’s been a retail industry in Ireland, companies within the industry have had various issues relating to POS design, print and production. Some of these questions may probably strike a chord:
• How do I put together a clear and comprehensive brief for a project? • How do we come up with an impactful creative idea that will stand out? • What’s the best and most efficient way to design our point of sale?
• What does “finished artwork” actually mean?
• Are we using the right print process?
• How can we understand all the lingo associated with the production process?
The big question
There’s one over-riding question which encompasses all of the above and that’s “am I using a design agency that knows and understands the retail sector?” Because if not, then finding one might be the ideal solution to designing and producing better POS and helping save your business money in the process by being more efficient. With some of the above questions in mind, an interesting and engaging guide has been launched by Colour Central, one of Ireland’s leading design studios with over 70 years collective experience servicing the retail sector.
Who it will appeal to and why it will be useful The guide should appeal to a wide range of retail workers. It can be a quick reference guide that senior managers will keep close at hand, or a more closely guarded resource for marketing staff dealing with design, print and production on a day-to-day basis. Either way it’s available for a limited time as a free download and well worth checking out at colourcentral.ie/freeguide.
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Retail Design & Print Production
Q&A Your FREE download is now available! It’s packed full of useful information on best practice in the industry. Some of the key highlights include:
• Process and the steps involved in the production of POS • How to prepare a creative brief • The idea - do’s and don’ts of creative thinking • Artwork guide of how to prepare perfect print-ready artwork • Finding the perfect print process to match your project • Glossary of print and digital terms • Where print still fits in to an increasingly digital world
The Guide will be of benefit to a wide range of marketers within the retail sector as a useful resource and reference point. Some of the many benefits of the guide are listed below:
• Gain a better understanding of print and production processes • Ensure more effective and impactful POS design • Save time by generating creative ideas quicker and more efficiently • Clearer understanding of artwork and design • Quick reference glossary of terms to ensure you understand all the lingo • Save money by employing the most efficient print/production process
Where can I get it? The Retail is Detail Guide to Design and Print for Retailers is available for FREE download now and for a limited time at www.colourcentral.ie/freeguide
And as some further food for thought, the first 10 people to download the Guide will be entered in a draw for a meal for two at Marco Pierre White’s on Dawson Street in Dublin 2.
Retail News invited Colour Central’s Managing Director, Gary O’Connor to participate in a Q&A session. Q. What’s your favourite saying or quote?
A. I believe that if life gives you lemons, you should make lemonade... then try to find somebody whose life has given them vodka, and have a party (Ron White). Q. What would your super power be?
A. To be able to touch someone and cure them. Q. What single thing would improve the quality of your life? A. About 20 years.
Q. What is the trait you most deplore in others? A. Arrogance.
Q. What is your guiltiest pleasure?
A. I don’t admit it to many people but… I actually love Fair City…even have it recording on series link! Q. Who would you invite to your dream dinner party?
A. Kate Bush, Ozzy Osbourne, Richard Branson, Elvis Presley and Marilyn Monroe. Q. What music do you listen to?
A. It changes a lot. At the moment it’s Hozier, some old Aerosmith albums and whatever is on Spin FM as I drive my daughter Holly to school each morning…painful! Q. What song would you like played at your funeral? A. The Bare Necessities.
Q. What is your favourite Irish brand?
A. The Credit Union (and Guinness… for different reasons!). Q. What is your least favourite Irish brand? A. Uisce/Irish Water.
Q. What is your favourite Irish TV commercial?
A. The Guinness ‘snow falling on Christmas Eve’ ad. Made back in 2003, it’s been a part of Irish Christmas ever since. Q. What is your favourite recent TV campaign?
A. Aldi’s “as Irish as” trio of BBQ, hanging up the phone and can’t take a compliment campaign. Hilarious take on Irish personality traits! Q. And a serious one to finish…What is the biggest mistake retailers make with in-store POS?
A. A big rule when it comes to signage in retail design is to not obstruct the customer’s view. Also packing a sign with too many words or images will discourage customers from stopping to read it and a cluttered sign gives the same ‘visually exhausting’ impression as crowding merchandise.
NEW
E-LITES CURV
ELECTRONIC CIGARETTE
A CURV MAKES THE DIFFERENCE
DISTINCTIVE OVAL SHAPE
ONE-CLICK E-TIPS
SWISS MADE E-LIQUID
FAST, HASSLE FREE CHARGING
INTERVIEW WITH IGOR DZAJA GENERAL MANAGER JTI
Q: What is JTI Ireland’s ambition in entering the e-cigarette market? A: The e-cigarette category is still relatively new and is constantly evolving, with great opportunities for manufacturers and retailers to benefit. JTI is supporting this continued evolution and development and like any business our goal is to be the market leader in this area. E-Lites’ popularity among existing adult smokers and vapers is growing all of the time, so we feel we are definitely moving in the right direction.
Q: Why should retailers stock E-Lites Curv? A: E-Lites Curv is the fastest growing E-Cigarette brand in Ireland*, so the signs are very positive. In a crowded market with a broad range of devices on offer, E-Lites’ focus on quality is clearly meeting the demand for reassurance on product standards and e-liquid quality. For retailers, the obvious benefit of this success is that it is driving footfall in stores.
Q: What is the key to the growth of E-Lites Curv? A: In a nutshell, we have listened to what existing adult smokers and vapers demand and given them what they want. E-Lites Curv provides them with a superior and convenient vaping experience, with extra reassurance on e-liquid quality. We only use Swiss-made, pharmaceutical grade nicotine in our products, and I think that consumers appreciate this extra attention to detail.
Q: How will JTI be supporting the brand moving forward? A: We believe in a long-term approach for E-Lites Curv. So not only have we been maximising in-store visibility since the launch of the brand, we have invested in an extensive print, broadcast and online advertising campaign. Added to this, retailers can take confidence in the fact that JTI’s Salesforce is on hand to provide expert support and advice to help them maximise sales.
Q: What future trends do you predict for the e-cigarette category? A: Irish e-cigarette sales are expected to reach over €40million** in 2015 and rechargeable devices like Curv currently lead the way, with tank devices growing in popularity. Clearly, consumer demands are evolving constantly, so we look forwar to working with our retail partners to continue to develop our portfolio and innovateto meet the needs of Ireland’s existing adult smokers and vapers.
Q: What role will future regulation play in the category’s development? A: Regulation will certainly play a part in the development of the category and it is essential that it is evidence based and balanced. Numerous studies from both Ireland and abroad show that e-cigarettes are used overwhelmingly by adult ex-smokers, so excessive regulations that prevent adults choosing these products should be avoided. At the same time, any regulation should focus on keeping them out of the hands of minors and ensuring high product quality standards for adult consumers. *Nielsen Extended Scantrack, MAT 23rd Nov 2015 vs Mat Nov 2014. **JTI Internal Estimates
24|Retail News|December 2015|www.retailnews.ie
E-Cigarettes
The Electronic Revolution The popularity of e-cigarettes continues to grow, as more and more consumers embrace ‘vaping’. A recent statement from a UK health body should see those numbers continue to rise. SALES of e-cigarettes have exploded in recent years. Indeed, industry commentators estimate that the e-cigarette or ‘vaping’ market grew by over 400% in 2014, with similarly impressive expansion figures expected for 2015 as more and more Irish smokers change their tobacco habits. E-cigarettes provide users with a nicotine hit without burning tobacco leaves. When the user sucks on the e-cigarette, liquid nicotine is vaporised and absorbed through the mouth. When they breathe out, a plume of what appears to be smoke is emitted but it is actually largely water vapour. A batterypowered heating coil heats the liquid to form the vapour, with some of the designs involving a pressure sensor that is activated by the user taking a puff, while others have a button to heat them automatically. Not all e-cigarettes are the same. In fact, there is a large variety of products on the market, and many different flavours. The first e-cigarettes to hit the market were ‘cigalikes’, which were designed to look very similar to traditional cigarettes, and use either disposable or replaceable cartridges. They are now regarded as ‘entry level’ e-cigarettes, before users trade up to larger vaping models, which can be refilled with ‘e-liquid’. Indeed, e-liquid products are predicted to dominate the market in the coming months and years. The recent decision by the Department of Health not to extend the smoking ban to include e-cigarettes and vaping devices was an interesting one for retailers. The law effectively leaves it up to individual premises and business owners to allow the use of e-cigarettes or not. However, the Department is introducing special licensing conditions for those selling e-cigarettes and equipment, in a similar manner to the tobacco licence, and products are restricted for sale to those over 18. Other EU regulations, meanwhile, introduced as part of the European Tobacco Products Directive, will also apply to e-cigarettes here from May 2016. These include limiting nicotine strength in e-cigarettes, as well as introducing a maximum bottle size of 10ml. All contents will have to be listed and new products will have to be submitted to the authorities six months in advance of launch, while the regulations will also
serve to make health warnings and information leaflets obligatory. The Department of Health decision not to extend the smoking ban was down to lack of evidence on their harmful effects. August of this year saw Public Health England, one of the UK’s strongest health bodies, claiming that e-cigarettes were at least 95% less harmful than smoking tobacco, going on to recommend that they are considered as part of a programme to completely eliminate tobacco smoking. However, other countries, including Wales and Portugal, are reportedly planning to extend their smoking bands to cover ‘vaping’.
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26|Retail News|December 2015|www.retailnews.ie
E-Cigarettes Nicocigs Ltd There is significant investment in the Vivid E-liquid Capsule Vaping product, with a €5.5m spend to drive trade and consumer awareness. Marketing support will include point of sale units, in-store promotions and starter kit discount vouchers. Vivid will also be the subject of TTL campaign activity, sampling at festivals and events, as well as PR support. Sales Reps will be on hand to offer tailored support to ensure that retailers make the most of Vivid merchandise. The EU Tobacco Products Directive (which comes into force in May 2016) outlines a number of regulations which e-cigarette brands must comply with, such as product and quality standards, packaging requirements and reporting obligations. Vivid is well placed to comply with the additional requirements, enabling them to continue to research, develop and deliver innovative new products, and thereby create a sustainable product in the longterm. More and more consumers are The recent moving away from the cig-a-like announcement from variety of e-cigarettes and on to renowned UK health E-Liquid starter kits like the Vivid E-Liquid Capsule Vaping System. watchdog Public Health England that e-cigarettes are “around 95% less harmful than smoking” is big news, especially in an industry where there remains much scepticism from the consumer and experts alike. More and more consumers will move toward using E-Liquid products as they begin to discover the enhanced performance and increased variety they offer, predicts Nicocigs Managing Director, Nikhil Nathwani, who feels that ‘cig-a-likes’ will continue to offer a solution for current smokers who want to try e-cigarettes, but E-liquid will soon dominate the market. “The challenge is to remain on the counter, which our TTL marketing campaign will fuel,” Nathwani notes. “We have a strong field sales team, which we will continue to support and at Nicocigs we continuously focus on NPD to drive innovation and lead the way in vaping technology. The main trend is that consumers are moving away from the cig-a-like variety and on to E-Liquid starter kits like our new E-Liquid Capsule Vaping System.” With regards to merchandising, Nathwani maintains that it is essential for retailers to stock E-Liquids, as well as other elements of a system, especially batteries and atomisers, which can require
E-Cigs on the NHS REPORTS in the UK media allege that e-cigarettes will be prescribed on the NHS in 2016 to smokers who want to quit. The Sunday People reported that the UK’s Public Health Minister, Jane Ellison tried to keep the news out of the public domain until e-cigarettes are available via prescription. Minister Ellison is on the record as saying that the British Government believe that vaping is significantly less harmful than smoking. This follows the recent decision by the UK’s Medicines and Healthcare Products Regulatory Agency to license British American Tobacco’s e-Voke. Several firms have submitted licence applications to the drugs regulator.
With increasing use of E-Liquids and a wide range of flavours to choose from, there is plenty of scope for retailers to capitalise on the burgeoning E-Liquid sector.
replacement from time to time. E-liquids are the most buoyant element of the market and with so much choice available, consumers also tend to try a range of different flavours rather than sticking to one variety, he notes. With this in mind, Vivid has produced a range of high quality E-liquids, including Berry Blast, Fruit Fusion, Apricot Peach, Pineapple Rocks, Cinnamon Apple, Red Wings, Menthol Breeze, Citrus Fruit, Classic Tobacco and Golden Tobacco. “The E-cigarette industry is constantly innovating and at Vivid, we are looking to lead the way in vaping technology,” Nathwani stresses. “With increasing use of E-Liquids and a wide range of flavours to choose from, there is plenty of scope for retailers to capitalise on the burgeoning E-Liquid sector. Also with the TPD coming in to force in May 2016, Vivid is prepared for the new regulatory environment and will adapt accordingly, ensuring that retailers will not be impacted.”
Vivid has produced a range of high quality E-liquids in a range of flavours and continues to develop new innovative new products to attract consumers.
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Seafood
Young Fishmonger of the Year Named George Stephens, The Fish Market, Blanchardstown, Dublin, has been named the BIM Young Fishmonger 2016. BORD Iascaigh Mhara (BIM) has announced George Stephens, The Fish Market, Blanchardstown, Dublin, as the overall winner of BIM’s Young Fishmonger 2016 competition. The announcement was made at a BIM hosted awards dinner in Martin Shanahan’s Fishy Fishy restaurant in Kinsale, Co. Cork, recently. The competition was tough, with George’s fellow finalists (Peter Shanahan, Fish Seafood Deli, Rosscarbery, Co. Cork; Stephen Fagan, Kish Fish, Coolock, Dublin; Lidia Ulaszek, Dunnes Stores, Knocknacarra, Co. Galway; Eoghan Crowe, Quinlan’s, Killarney, Co. Kerry) all demonstrating high standards throughout the judging process.
George Stephens, The Fish Market, Blanchardstown, Dublin, proud winner of the BIM Young Fishmonger 2016 award, pictured with Tara McCarthy, BIM CEO, and Martin Shanahan, TV chef and owner of Fishy Fishy restaurant, Kinsale.
Raising the Bar Tara McCarthy, BIM’s CEO congratulated George on a “phenomenal achievement” and explained why this competition appeals to the public: “BIM’s Young Fishmonger is more than an accolade; it showcases the personality and expertise behind our quality seafood. It tests all of the requisite skills a good fishmonger must possess from product knowledge, customer service to filleting and business acumen and in doing so, it raises the bar across the sector. George demonstrated and proved exceptional skills across all of these categories and we are looking forward to seeing how he further develops his business in 2016. “BIM recognises the importance of encouraging young people to seek careers in this industry,” she continued, “and the talented young fishmongers in this competition are a reflection of the passion and drive required to succeed in this
competitive retail space.” All five finalists were extensively judged over a two month period, with mystery shopper visits, judging visits and a practical skills test and business interview in BIM’s Seafood Development Centre in Clonakilty on the day of the awards. Passion for Seafood George is not only an experienced fishmonger but his culinary background and business acumen has led to an expansion in the business with three retail outlets in Maynooth, Blanchardstown and Mullingar town. A professional chef with eight years’ seafood retail experience, George knows all there is about preparing and cooking seafood. Supported by his wife and business partner Anne, George has a real drive and a passion for developing his business further. He is constantly working on new ready-togo seafood products and has recently launched a new range of freshly fried fish in his Blanchardstown store, which has proved hugely popular with his customers. “I am over the moon to win BIM’s Young Fishmonger award,” said a delighted George. “I have always been passionate about seafood and I can honestly say I thoroughly enjoy every day in the shop, from the early morning delivery of local fish and shellfish to advising customers on how to cook and prepare everything from monkfish to mussels. We have a number of exciting business plans underway to develop new innovative seafood products in-store and the prize fund and the recognition from this award will really boost our business. Thank you to BIM and to my fellow finalists who are all exceptional at what they do.” George received a specially designed trophy, a study trip to France and a cheque for €1,000. All four finalists received a trophy, a place on BIM’s retail development workshop, a set of professional knives and a cheque for €500. In advance of the awards, all the finalists were treated to a masterclass in seafood cookery from Martin Shanahan in his own kitchen in Fishy Fishy.
The BIM Young Fishmonger finalists: Eoghan Crowe, Quinlan’s, Killarney, Co. Kerry; overall winner George Stephens, The Fish Market, Blanchardstown, Dublin; Stephen Fagan, Kish Fish, Coolock, Dublin; Peter Shanahan, Fish Seafood Deli, Rosscarbery, Co. Cork; and Lidia Ulaszek, Dunnes Stores, Knocknacarra, Co. Galway; at the BIM Young Fishmonger 2016 Awards in Kinsale.
28|Retail News|December 2015|www.retailnews.ie
Retail Ireland: Monthly Update
Bright Festive Season Predicted First Graduates in Retail Management Practice
The latest edition of the Retail Ireland Monitor outlines the extent of optimism in advance of Christmas trading. RETAIL Ireland recently published the fourth edition of Retail Ireland Monitor, our quarterly analysis of the latest statistics and trends in Irish retail sales, featuring expert insights from industry leaders and Ibec’s renowned team of economists. Setting out retail’s solid performance during Q3 and describing the industry’s return to optimism, the paper predicts the best performing Christmas in seven years for Irish retailers, with Budget 2016’s tax cuts helping to enhance positivity among consumers and boost spending. The weak euro is also stimulating unprecedented levels of tourist spend, with operators in Dublin city centre benefitting particularly well from foreign shoppers. Core retail sales during December 2015 are now expected to top €4.05 billion, up by 3.5% over 2014. Strengthening momentum means that consumer spending growth will top 3.1% in the full year of 2015 versus last year. Retail Ireland estimates that personal consumption expenditure on core retail goods during December will be equivalent to about €2,450 per household, approximately €600 more spending per household than in any other month of the year. Meanwhile, the Government’s recent decision to double the tax free allowance on gift vouchers from €250 to €500 and to implement this change from October rather than in January 2016 has been warmly welcomed by retailers as another important stimulating factor as they prepare for the Christmas rush.
ON November 11, at a special event in Dublin’s Royal College of Physicians, Retail Ireland joined with Retail Ireland Skillnet in the company of the Minister of State for Skills, Research and Innovation, Damien English TD, to celebrate the inaugural graduation of our Bachelor of Business Studies degree in Retail Management Practice. As a rapidly evolving industry, education and training is fundamental to the future success of Irish retail and as Ireland’s longest established and most successful Skillnets initiative, Retail Ireland Skillnet has worked tirelessly to make this flagship degree programme a reality. The BBS Class of 2015 join over 12,000 other retail professionals who have benefited from the unique training and upskilling courses offered by Retail Ireland Skillnet and we look forward to building on the success of these graduates as we proudly continue to deliver the future skills needs of Ireland’s largest private sector employer and most geographically diverse industry: retail. For further details about Ireland’s leading retail education and training body, Retail Ireland Skillnet, visit www.retailirelandskillnet.com.
Pictured at the inaugural graduation of the Retail Ireland Skillnet BBS degree in Retail Management Practice are (l-r): Minister of State for Skills, Research and Innovation, Damien English TD; HR Manager at Brown Thomas Group and Chair of the RI Skillnet Steering Committee, Gretta Nash-Cadden; Director of Retail Ireland, Thomas Burke; and Department Manager at Brown Thomas and graduate of the Class of 2015, Sarah Williams.
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Retail Ireland: Monthly Update Using the latest statistics from the CSO, Retail Ireland Monitor sets out that growth has been recorded across virtually all categories during the first nine months of the year. The total value of Irish retail sales in the year to the end of September is up 2.4%, with a particularly strong rebound in furniture, homewares, fashion and electronics. While growth has been strong, demand for value remains obvious, with growth in sales volumes running at two-and-ahalf times that of sales values, indicating the extent to which discounting and promotions remain a prominent feature of the Irish retail landscape. In addition, while the sector is now certainly in recovery mode, not all parts of the country are keeping pace, with sales in Dublin and other major urban centres significantly outperforming regional towns. The paper’s key findings include the following: Supermarkets and convenience stores: Falling consumer prices still significantly hampering value growth, despite a more robust performance during Q3; Department Stores: Despite a reported dip in the number of high-spending Chinese visitors, Q3 returned another solid period, with value growth at 4.1% and volumes up 7.8%, driven primarily by fashion accessories, beauty and homewares; Pharmacies: Positivity slowly returning, despite continued impact of Government action on the cost of drugs; Fashion & Footwear: Fashion is certainly back in style, with record tourist spend, together with a strong end to the summer sales and a busier back to school rush seeing Q3
values surge 8.4% with volumes up 12.4%; Furniture and home accessories: With total sales value jumping 12.2% and volume soaring 18.4% versus last year’s Q3, furniture and homewares once again dominated as Ireland’s best performing retail category; Books and news: Despite modest improvements boosted by higher average spend, books and news remain challenged by Sterling exchange volatility and consumer preferences for digital formats. With the Christmas shopping period accounting for over 30% of total annual sales for some operators, the coming weeks will prove crucial in determining 2015’s overall performance. We take this opportunity to wish our member companies a busy and successful Christmas and we look forward to analysing Q4’s performance early in the New Tel: 01-6051558 Year. www.retailireland.ie A copy of the latest edition of Retail Ireland Monitor Need more? and our accompanying press For more information about what we do and how your retail business can statement can be accessed benefit from our unique services via the link on our homepage and supports, please visit us at www.retailireland.ie at www.retailireland.ie.
30|Retail News|December 2015|www.retailnews.ie
IGBF Christmas Lunch
Yuletide Celebrations at IGBF Lunch THE Irish Grocers Benevolent Fund Christmas Lunch 2014, which took place on Friday, December 4, at the DoubleTree by Hilton Dublin, saw upwards of 1,200 retailers, wholesalers and suppliers enjoying one of the social highlights of the year for the FMCG trade. There was a special presentation of a gold IGBF camel lapel pin to both Donal O’Shea, IGBF Chairman and Sales Director of Nature’s Best, and Paul Nimmo, Vice Chairman of the IGBF and Senior Trading Controller at Musgrave, for their outstanding work on behalf of the Fund. President of Appeals for 2015 is Noel Keeley, MD, Musgrave Wholesale Partners Ireland, described the
lunch as the “most significant in our fund-raising calendar” and so it proved, raising more than €250,000 for the charity. Noel thanked attendees and sponsors for supporting the IGBF, which assists over 300 families across the country who find themselves in challenging circumstances. It was, of course, Noel’s last event as President of Appeals and he will be succeeded for 2016 by Neil Finlayson, Sales Director at Mars Ireland. The lunch was, as ever, a roaring success and special thanks must be made to the range of sponsors, who included PRM, Alpro, Philip Morris Ltd, Mars Ireland, The Las Vegas Convention and Visitors Authority, Heineken and Findlater Wine & Spirit Group.
Philip Morrow, MD, PRM Ltd, and Paddy McGarry, IGBF Trustee.
From Musgrave Wholesale Partners Ireland are (l-r): Catherine Halligan, Alan Cunningham, Janine Watson, Kathy O’Neill, Mary Nevin and Dermot Connolly.
From the IGBF: supermarket owner Gus O’Gorman and former Londis Chairman, Leo McCauley.
Pictured are Orla McLarnon, Ciaran Dorney and Sophie Van Dijk, three of Tesco Ireland’s Buying Management team.
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IGBF Christmas Lunch
Declan Burke, Area Sales Manager, and Jim O’Connor, Dublin Sales Manager, Premier Lotteries Ireland.
From Britvic Ireland are Commercial Finance Managers Annette Hurcombe and Barry Fleming
Michael Stewart, Commercial Manager, PRM Ltd, with Will Breeze, Sales Director for Ireland at Ferrero.
From RB Ireland are (l-r): Gill Irvine, Head of Marketing; Niamh Duffy, National Account Manager; Niamh Donnelly, Brand Activation Manager; and Richard Boland, National Account Manager.
Paul Kinch, Sales Director – Household; Fran Egan, Operations Director; Paddy Prendergast, Director, all from Boyne Valley Group.
Sheila Moran, Carmel Egan and Kathleen Cahill, all from RGDATA.
Niall Andrews, Head of Sales, Premier Lotteries Ireland; and Colm O’Kane, Head of Foodservice Sales at Musgrave Wholesale Partners.
Eric Raethorne, National Account Manager, Tennant and Ruttle, with Brian Keogh, Sales Director, Flanagan’s Foods.
Pictured are Jenny Madden, Account Executive, Valeo Foods; Joe O’Callaghan, Head of Field Sales, Valeo Foods, and Philip McDonald, Commercial Account Controller, Aryzta.
From Mars Ireland: Mary Carruth, Customer Account Manager; Robert Jacob, Field Sales Manager; Jeff Dalton, Customer Investment Analyst; Carla Reynolds, Customer Account Executive; and Keri Duffy, National Account Manager.
All photos by Clodagh Kilcoyne.
Pictured are (l-r): Joe Grennan, IGBF Honorary Secretary, Tim Nolan, IGBF Trustee; Eugene Baker, Head of Sales & Marketing, Pat the Baker; and former IGBF Chairman, Joe Keane.
32|Retail News|December 2015|www.retailnews.ie
Breakfast Time
Cereal Thrillers When it comes to breakfast, Irish consumers eat more cereal per capita than anyone else in the world. BREAKFAST cereals are big business, with Irish people the highest per capita consumers anywhere in the world and 25% ahead of our neighbours in the UK (Source: Europanel Data/CSO 2012). Sales of cereals last year were valued at a whopping €219m, according to the latest report into the sector from Euromonitor International, who predict that it will add another €8m between now and 2019. Euromonitor forecast a slight decline in ready-to-eat cereals, but predict that growth in hot cereals will continue to drive value sales in this category. Consumer demand for cereals in Ireland remains robust, with volume up over 1% in the latest quarter (Source: Kantar 12 w/e June 22, 2015), while another interesting statistic reveals that cereals is one of the most important categories in-store: a shopper basket with a cereal in it is worth up to four times more than the average (Source: Dunnhumby & EYC Symphony Data 2015). Granola is another key area, with industry commentators reporting an explosive growth in granola, which highlights consumer appetite for innovation, which will continue to be a key sales driver for 2016 and beyond. Indeed, ACNielsen report that “well-loved brands like Crunchy Nut and Special K launching new products has seen granola sales more than double since 2013”. Weetabix The massively popular Weetabix family of brands includes Weetabix, Alpen, Ready Brek, Weetos, Oatibix and Alpen Cereal Bars. The Weetabix brand has been manufactured and sold since 1932 and is exported to more than 80 countries around the world.
Weetabix: a real winner with Irish consumers.
Weetabix On The Go Breakfast Drink is a deliciously smooth portable drink, designed specifically for breakfast times. Delivering quick and easy breakfast fuel, it has all the energy, fibre and protein of a Weetabix cereal in milk. Its launch was a pioneering move for the breakfast category, which attempts to provide alternative consumption options that are better placed to meet the needs of a more mobile and time-sensitive generation of consumers, without forcing them to compromise on taste or nutrition. With a vision to identify key drivers in order to unlock breakfast growth through innovation, Weetabix is the first to market ‘breakfast drinks’ and aims to capitalise
INCREDIBLE INSIDE
W E E TA B I X
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34|Retail News|December 2015|www.retailnews.ie
Breakfast Time ® and TM – Trade Marks of Weetabix Limited
Winner Breakfast Category. Survey of 10,175 people by TNS.
Weetabix On The Go Breakfast Drink is available in a 250ml single serve, resealable bottle.
on a category with massive potential. Weetabix On The Go Breakfast Drink aims to replicate similar nutritional breakfast requirements by being the only drink that can offer the same protein, energy and fibre equivalents as a Weetabix cereal in milk, and fortified with vitamins and minerals. With an ambition to fuel modern lifestyles, the milkshake drink is available in a 250ml single serve, resealable bottle in four different flavours: Chocolate, Strawberry, Banana and Vanilla. The Breakfast Drink should be located within the ambient cereal aisle for shoppers to chill at home. It will also be available ready-chilled in c-stores and garage forecourts for consumers who purchase breakfast while commuting. Weetabix recently unveiled a new communications platform, which, for the first time, encompasses the Weetabix portfolio of cereals. The new campaign reminded consumers of the incredible feats that our bodies perform every day and show how Weetabix cereals are specially designed to deliver the nutrition that we need to be at our best. Having previously focused on families, the new campaign aims to widen the brand’s appeal. A major step change for the brand, the ‘Weetabix. Incredible Inside’ brand platform has been developed in response to consumer research, which demonstrates the confusion around nutritional claims within the breakfast cereal sector. Given the negative perceptions of the category around nutrition, many consumers are not clear of the benefits of breakfast cereals and the specific nutrients they The Weetabix brand provide. is synonymous with Featuring ordinary people doing quality.
everyday activities such as lifting the shopping, dancing and playing the drums, the advert surprised consumers with little known facts about their bodies. Did you know, for example, that human bones are, ounce for ounce, stronger than steel and the human heart beats 2.5 billion times in a lifetime? Also part of the Weetabix portfolio, Alpen Original Muesli is the original Swiss style muesli, packed full of the finest natural ingredients and classic muesli taste, including juicy raisins to help provide fibre, crunchy nuts, creamy rolled oats and wholegrain wheat flakes. Meanwhile, Ready Brek, also part of the Weetabix range, continued to build on its existing Easy Sachets porridge range by adding two delicious new flavours to the mix. Available in Chocolate and Gingerbread flavour, these childfriendly smooth oat porridges are a great winter warmer and the perfect addition to any breakfast table. Designed to appeal both to parents, looking to ensure their kids have a wholesome and nutritious start to the day, and kids who just want something tasty, the new flavours boost all of Ready Brek’s nutritional credentials. Made from wholegrain oats, a serving of Ready Brek is high in fibre, as well as delivering 50% RDA of Calcium and 25% RDA of Iron and Vitamins. Ready Brek is also re-launching its Original Easy Sachet Porridge. First appearing on shelves back in 2012, the porridge has proven so popular with parents and kids alike that it was re-launched with fun new packaging to bring it in line with the rest of the range. Flahavan’s Consumers can transform into a zestful morning person in just two minutes with Flahavan’s new Red Berry and Lemon Curd Quick Oat flavours. The newest varieties of Ireland’s favourite porridge will give winter mornings a pep with little or no ‘prep’! Made with Flahavan’s traditional oats, the two new fruity flavours come in a handy sized pack of five Quick Oat sachets, ideal for popping in a bag and bringing to wherever consumers breakfast. With easy instructions on each sachet pack, oat experts Flahavan’s have ensured that consumers will achieve perfect porridge every time in just two minutes. Ireland’s best-loved porridge brand has made these new additions to the Quick Oats range free from additives and
Flahavan’s Blueberry and Red Apple Quick Oat Sachets are coming in the New Year.
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Breakfast Time preservatives. So whatever consumers’ porridge preference, sweet Red Berry or zingy Lemon Curd, they can enjoy each satisfying spoonful with this reassurance. These healthful and quick breakfast options have an RRP of just €2 so consumers can breakfast like a king for just 40c a day! Look out for new Blueberry and Red Apple Sachets joining this exciting new range in the New Year. The new varieties will complement the already existing range of Flahavan’s sachet products available nationwide. These include the Quick Oats Natural Sachet; Quick Oats Multi Seed Sachet; Quick Oats Apple, Raisin & Cinnamon Sachet; Quick Oats Golden Syrup Sachet and the Quick Oats Organic Sachet. Flahavan’s continue to be the preferred consumer choice in convenience porridge, with a 73% share of the convenience porridge segment in the Irish market. For more information, see www.flahavans.ie or www.facebook.com/flahavans. White’s Oats White’s Oats, Northern Ireland’s producer of porridge, granola and oat snacks, has won a coveted award from the Chartered Institute of Marketing Ireland (CIMI) for excellence as the best-integrated marketing and communications campaign for its new branding. The CIMI recognition is the latest in a series of prestigious awards won by the company, which is based at Tandragee in Co. Armagh, in the past 12 months for a range of oat-based products, especially porridge. Other awards this year include: Irish Quality Food and Drink Awards for Lidl Deluxe Organic Wafer Oats, Aldi Stores Instant Oat Sachets and Aldi Stores Organic Porridge; UK Great Taste Awards for Hazelnut, Almond and Honey Granola and Quick Cook Porridge; a Blas na hEireann, Irish National Food and Drink Awards Gold Award for Porridge Pots with Golden Syrup and Silver for Porridge Pots with Berry Fruits; and an Ulster Grocer Award for best new product launch. Mark Gowdy, Marketing Manager at White’s Oats, described the CIMI Excellence Award as “an immensely important and encouraging award for the excellence from front-line marketing professionals of our strategic and fully integrated marketing and communications campaign for the launch of our complete rebrand and packaging.
“The awards celebrate, recognise and reward the best marketing achievements in Ireland. Our award acknowledges the professionalism of our campaign and the tremendous contribution made by the team at White’s Oats with Pearlfisher, our branding consultants.” White’s was founded in 1841 and currently employs 36 people in its milling and processing operations to produce a range of branded and private label porridge products and oat snacks. Northern Ireland’s only oat miller, White’s also supplies products to other manufacturers of breakfast cereals and has grown sales in a host of export markets, including the Republic of Ireland, the Netherlands, Spain, the US, Russia, the United Arab Emirates, Malaysia, Hong Kong and China. White’s Oats is part of the Fane Valley Group of Armagh, Northern Ireland’s biggest farmers’ co-operative. Valeo Foods Exercise places increased demands on the body, making it work harder. To perform at their best, consumers need to train and fuel their body with the best. At Kelkin, they know that staying committed to healthy eating and exercise isn’t always easy and that’s why they’ve developed delicious High Protein Muesli & Granola, making the healthy choice the easy choice. With 20g of protein per 100g of muesli and 22g of protein per 100g of granola, 100% more protein than existing Kelkin granolas and mueslis, these High Protein Cereals contribute to muscle growth and maintenance, as well as the maintenance of normal bones. So much so, that as an official supplier to the IRFU, Kelkin is supplying the Irish rugby team with this new high protein range.
New Kelkin High Protein Muesli & Granola help to make the healthy choice the easy choice.
White’s has been milling quality porridge oats and oat based cereals since 1841.
In recent research, Kelkin identified that cereals containing high protein are the perfect product to target gym-goers and fitness fanatics. In a survey carried out by Kelkin, consumers reported the new range to be a good way to start the day. The new recipes created by the team at Kelkin contain delicious toasted oats, fruits, nuts and seeds. For more information on these products, contact the customer service team at info@valeofoods.com.
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Drinks News CARRY OUT HITS 100 STORES EIGHT Dublin off licences in the Fitzgerald Group are to trade under the independent Carry Out brand, Ireland’s leading specialist off licence franchise. The new trading partnership brings to 100 the number of independently owned Carry Out off licences now operating in Ireland. The 100th group store is Louis Fitzgerald’s Carry Out off licence at The Penny Hill, in Lucan, west Dublin, recently rebranded in this major trade deal. Jim Barry, Managing Director of the Barry Group in Mallow, said that having the Fitzgerald Group as part of the Carry Out operation was a major vote of confidence in the independent off licence brand. Pictured are (l-r): David O’ Keeffe, Carry Out National Sales Manager; Jim Barry, Managing Director of the Barry Group; and Edwina Lucey, Sales Director at Barry Group
Smithwick’s Winter Spirit Returns
A NEW report on the drinks sector, by economist Ciaran Fitzgerald (pictured), entitled Sustainable Growth of the Drinks Industry, commissioned by Alcohol Beverage Federation of Ireland (ABFI), states that the industry has the potential to grow exports in excess of €2 billion over the next 15 years, and to create an additional 13,000 jobs, with the majority of those jobs in Ireland’s rural economy. Fitzgerald claims, however, that this potential expansion is being compromised by the ’double regulation’ of the industry, which is undermining competitiveness and is at odds with the Government’s expansion plans for the sector. “There is a disconnect between the targeting of the sector for growth and expansion as per the Government’s recent Foodwise 2025 strategic plan, and the government’s policies on price, taxation and regulatory costs,” Fitzgerald argued. “This inconsistency will ultimately act as a barrier to local and inward investment. The imposition of high taxes and regulatory costs is not economically sustainable and will only serve to undermine the economic contribution of the sector and curb its growth.” See www.abfi.ie for more information.
GUINNESS OPENS EXPERIMENTAL BREWERY TO THE PUBLIC CONTINUING in a long-standing tradition of brewing innovation and excellence, the Guinness brewers at St James’ Gate have launched The Open Gate Brewery. For over 100 years, there has been an experimental brewery at St James’ Gate where the brewers are given license to explore new recipes, reinterpret old ones and experiment freely to bring exciting new beers to life. Now, for the first time in history, the brewers will welcome the public into the brewery, the home of experimentation and innovation, with the launch of The Open Gate Brewery, an intimate brewing experience at St James’ Gate. As well as pouring the famous Guinness stout and the latest Brewers Project beers, the brewers will be sharing early, small batch versions of their experimental beers to try, which will only be available in The Open Gate Brewery, as will a selection of other new Guinness beers from around the world, which have not been available to date in Ireland. Pictured are Aisling Ryan, Feodora Heavey and Jason Carroll.
Craft Brewing Fair Returns to Dublin THE popular Alltech Craft Brews & Food Fair will return to the Convention Centre Dublin in 2016. The Fair, now in its fourth year, will host the best of Irish and international craft breweries and distilleries over three days from February 5-7, 2016. Last year, more than 10,000 people attended the event, which hosted breweries from 24 countries worldwide. The 2016 Fair will host more than 60 Irish and international breweries and distilleries and exhibitor space is already almost completely sold out. Visitors will have the opportunity to sample more than 300 craft brews from all over the world while enjoying live music, Six Nations Rugby on the big screen and the best of Irish artisan foods. For more information, see eu.alltechbrewsandfood.com.
INDEPENDENT IRISH WHISKEY BRANDS HAMPERED BY LACK OF SUPPLY A REPORT prepared by Compecon for The Wild Geese Irish Whiskey has found that without the establishment of a wholesale market for bulk Irish whiskey, smaller Irish whiskey brands may face demise due to a lack of supply of mature whiskey. The creation of a bulk wholesale market, similar to that in Scotland, would remove some of the main obstacles facing new entrants. The report was commissioned to analyse the performance of the Irish whiskey industry and its potential to contribute to growth in the Irish economy through comparison with the Scotch Whisky industry, whose exports in 2014 were in excess of €5 billion, compared to Irish whiskey exports of €350m. An increase in Irish whiskey brands would yield significant economic benefits in terms of exports, output and employment at little or no cost to the Exchequer. Pat Massey, Director of Compecon, stated; “While there is a significant demand at home and abroad for Irish whiskey, the potential of these small producers and the industry at large is being stifled by a lack of adequate measures to support the industry.”
RETAIL GROUP REVIEW
Ireland’s Grocery Superstars on the Secrets of their Success
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Retail Group Review BWG Foods’ award winning National Distribution Centre located in Kilcarbery Business Park, Dublin 22.
Brilliant Year for BWG Foods BWG Foods enjoyed another landmark year in 2015, with the acquisition of Londis making it the leading convenience retail operator in Ireland. BWG Foods is a leading wholesale and retail company. It operates the SPAR, EUROSPAR, MACE, Londis and XL brands in the Republic of Ireland, with almost 1,100 stores across the country. The wholesale division of BWG Foods also includes BWG Foodservice and a nationwide network of 22 Value Centre cash and carry branches. As the largest convenience operator in the country, with a family of leading retail brands, BWG Foods provides retailers with many benefits from a marketing, training and operational point of view, as well as access to years of retail experience. Importantly, BWG Foods deploys a multi-brand strategy, which means support is tailored to meet the unique ethos of each brand and the needs of the individual retailer. With dedicated teams, BWG Foods provides integrated marketing and advertising campaigns for each individual brand, spanning national, local and social media, and supported by public relations. Regular promotional activity is run across each brand to drive consumer spend and footfall, supported by strong in-store displays and Point of Sale material. BWG Foods provides bespoke staff training programmes for retailers, covering a range of topics, including food
safety, fresh food advice, category management and store standards. BWG Foods operates an award winning National Distribution Centre (NDC) located in Kilcarbery Business Park, Dublin 22. This 240,000 square feet state-of-the-art facility opened in 2012 and caters for BWG Foods’ entire CONTACT INFORMATION: Head Office address: BWG Foods, BWG House, Greenhills Road, Tallaght, Dublin 24 D24PW77. Tel. (01) 4090300. SPAR Contacts: • Colin Donnelly, SPAR Sales Director 086 3803924, cdonnelly@bwg.ie; • Peter Dwan, Regional Manager (Leinster) 086 0436113, pdwan@bwg.ie; • Barry Doyle, Regional Manager (Munster) 086 0230892, barrydoyle@bwg.ie; • Eric Shally, Regional Manager (Connaught & Ulster), 086 8122157, eshally@bwg.ie.
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Retail Group Review ambient and alcohol distribution. This year, operations were expanded to fresh and frozen supplies, making it a fullservice facility. BWG Foods has relationships with more than 500 suppliers, dealing directly with approximately 14,000 customers in the retail, foodservice and licensed sectors. Through its branded retail estate, BWG Foods and its retailers provide employment to over 20,000 people and serve in excess of one million customers every single day. In 2014, BWG Group announced SPAR South Africa’s investment in the business, which continues to be led by Group CEO, Leo Crawford and the existing management team. In what marked another exciting year for the company, BWG Foods completed the acquisition of Londis, making it the largest operator of convenience brands in the country. SPAR SPAR is one of the country’s largest convenience retail groups, bringing consumers the most innovative instore offering and shopping experience for over 50 years. The group operate SPAR stores for convenience and neighbourhood shopping and SPAR Express for forecourt shopping. While convenience is the foundation on which the SPAR brand is built, the offering is constantly evolving to meet the changing needs of consumers. Today, SPAR is more focused on price and value than ever before, and while the offer is always evolving, it is SPAR’s firm belief that they are not in the food business serving people but in the people business serving food, which means superior customer service is the key to success. Being part of SPAR international, SPAR retailers have unique access to some of the best practice in retail from around the world. In return, SPAR Ireland is a leading light on a world stage, responsible for pioneering some of the latest and greatest thinking in convenience with new store designs, such as the one currently being rolled out across the estate, and also in food solutions. SPAR is particularly focused on supporting local Irish suppliers and giving them a platform to reach thousands of
customers on a daily basis. SPAR and EUROSPAR were the sponsors of the inaugural Bite Food Festival, showcasing the best of artisan suppliers, where one producer, Grandma Henvey, was selected as a new supplier to the brand. SPAR has a number of exclusive offerings, including Tasty Deli and coffee partnerships with Insomnia, Tim Hortons, Bewley’s and most recently, Seattle’s Best Coffee, only launched in 2015. SPAR has had a busy year on the marketing front, continuing to invest in promoting the brand through a number of high profile sponsorships and activities. In early 2015, SPAR unveiled its new sponsorship of the FAI and its Primary School 5s Programme. The brand continued with its sponsorship of the TV3 Christmas Toy Show for the second year running: the theme of this year’s Toy Show was ‘Under the Tree’, a perfect match for the SPAR brand strapline and iconic fir tree. SPAR is also a long-term sponsor of Donal Skehan’s popular cooking programme on RTE and in late 2015, a new look SPAR store was unveiled on the set of the nation’s favourite soap, Fair City, as part of the ongoing sponsorship. SPAR continues to support athletics with the SPAR Great Ireland Run and a series of international athletics events. Above all else, SPAR aims to recruit retailers who share their vision for the SPAR brand and who will collaborate with the group to achieve this vision. SPAR consumers have come to expect a high level of consistency in terms of product, price and service, no matter what store they visit. In terms of new store openings, 2015 has been a record year for SPAR.
EUROSPAR The first EUROSPAR supermarket opened in 1997 in Lucan, Co. Dublin, and the network has expanded over the years to what it is today. EUROSPAR supermarkets and their retailers are at the heart of local communities around Ireland: family run businesses, committed to servicing the local neighbourhood. The EUROSPAR brand is owned by BWG Foods, a leading wholesale and retail company. Working in partnership with independent retailers, BWG ensures a profitable business model and world class supermarket offer, constantly innovating through product development, cutting edge store design and service. Through its wide network of stores, BWG Foods supports local jobs, suppliers, producers and community groups. EUROSPAR has been awarded many local and international awards for innovation and best practice in retailing and has international scale through SPAR International, with stores in over 36 countries worldwide. EUROSPAR focuses on six key elements: the best fresh foods; giving shoppers the best value; rewarding them for shopping with EUROSPAR; stocking product ranges that shoppers want; providing exceptional customer service and the best possible shopping experience. SPAR is constantly evolving to meet the changing needs of consumers. In 2015, a new look
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Retail Group Review
EUROSPAR Lucan was the first EUROSPAR supermarket to open in Ireland.
supermarket store format was unveiled for the EUROSPAR brand, with a renewed emphasis on fresh food offerings in response to shopper demand. Boasting an innovative range of in-store departments, there are lots of new product offerings in fruit & veg, bakery, butchery, off licence, health & beauty and baby-care, as well as discounter deals. The EUROSPAR retailer is supported in such a way that they can become the supermarket of choice in their locality. National and regional advertising campaigns drive awareness and demand to enable the retailer to compete with other supermarkets in their area, as well as marketing programmes which are adapted to the needs of the local store. EUROSPAR retailers have access to exclusive product offers that can set them apart from competitors: everyday low pricing, strong promotions, along with exclusive departments. The ‘S Budget’ discount range means they can compete with the local discounter and an ever-expanding SPAR Range gives a quality value alternative for today’s shopper. SPAR Select is a range of premium products sourced from local Irish and international suppliers. EUROSPAR retailers have very strong ties to their local communities and pride themselves on engaging with local community projects. They work with nominated charities in their areas to raise much needed funds through collection EUROSPAR Contacts: • • • • • •
Malachy Hanberry, Managing Director EUROSPAR, 086 6055621, mhanberry@bwg.ie; Sean Lavin, Head of EUROSPAR, 086 2541230, slavin@bwg.ie; Dirk Harding, Retail Operations Advisor (Leinster North), 086 8598525, dharding@bwg.ie; Des Smyth, Retail Operations Advisor (Leinster South), 086 3805488, dsmyth@bwg.ie; Ciaran Quinn, Retail Operations Advisor (Connaught/Ulster), 086 3835900, cquinn@bwg.ie; David Tarrant, Retail Operations Advisor (Munster), 086 0267051, dtarrant@bwg.ie.
boxes, donations made from the sale of a range of SPAR Range products and local fundraising activities. As an integral part of the local community, EUROSPAR stores are home to a broad range of community services such as the post offices, dry cleaning and café style coffee and food offerings where shoppers can meet and mingle. The EUROSPAR retailer is customer focused, financially astute and wants to work with BWG Foods to develop the brand at a national and local level. They see the benefit of being an independent supermarket owner in their local community, whilst having the backing of marketing, retail operations and store development expertise from BWG Foods.
MACE Founded in 1960, MACE is Ireland’s longest established neighbourhood and forecourt convenience shopping brand. With approximately 240 MACE stores around Ireland, MACE retailers have a strong presence on garage forecourts, to serve the needs of people on the move, while neighbourhood stores have the everyday essentials with great Value Deals to make it easier on consumers’ pockets. The MACE brand continues to have a strong pipeline of new stores joining the group in both formats. In November 2015, at the biannual MACE retailer convention, it was announced that MACE is the most dominant convenience brand on Irish forecourts, with a presence on almost 160 sites around the country, including the Maxol MACE alliance stores. MACE has been a part of the Irish community for over half a decade, so understanding customers remains central to the business. MACE is a convenience retailer that promotes a proposition of ‘Going the extra smile’, based on the fact that consumer research found MACE is the standout retailer when it comes to valuing its customers. MACE believes in going the extra smile by: making sure the right range of products are stocked to meet local shoppers needs; store layout is designed and planned to make shopping enjoyable and easy; and customers are greeted with a friendly ‘hello’, a smile and a ‘thank you’. In 2014, MACE named the Irish Hospice Foundation as their charity partner and MACE retailers and customers continue to raise money for this very deserving charity. Donations are made to the charity through the sale of a selected range of MACE own brand products, from collection boxes in stores and through locally organised fundraising activities. MACE retailers have many exclusive offerings that set them apart from their competitors, including: strong promotions; exclusive Fair-Trade coffee offerings in partnership with Bewley’s, Insomnia and Seattle’s Best Coffee; strong deli offers; an extensive MACE own brand range, including exclusive wine and spirits products. A more recent emphasis for the MACE brand is on its
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Retail Group Review MACE Contacts: • • • •
Alex Banahan, MACE Sales Director, 086 207 3776, abanahan@bwg.ie; John Tully, Regional Manager (Northern Region) 086 8189312, jtully@bwg.ie; Liam Attridge, Regional Manager (Southern Region), 086 8521362 lattridge@bwg.ie.
healthy food offering, with the brand launching MACE Right Options in a group of trial stores to give customers more choice across all meal and snack offerings. As a partnership, the MACE team at BWG Foods supports MACE retailers in many ways, from helping improve store standards through the MACE Excellence programme to on-line training and marketing toolkits. From a people point of view, the MACE team are very accessible and pride themselves on being there to listen to and help retailers. The MACE Retail Council is an important structure that helps guide the direction of the brand’s development and members of the Council are there to work with retailers so that their views are voiced in a structured and proactive way.
Londis joined the BWG Foods estate in 2015, and there are many exciting plans in store for Londis in the year ahead.
MACE is Ireland’s longest established neighbourhood and forecourt convenience shopping brand.
Londis Londis joined the BWG Foods estate in 2015, making it another landmark year in the history of the brand, following on from its 60th birthday celebrations. Londis was originally founded by a group of like-minded retailers who wanted to secure better trading terms from suppliers and to enhance their businesses through collaboration and co-operation. This sense of community and co-operative ethos remains at the forefront of how Londis does business today, as does the brand’s unique market
proposition. Londis has a very distinct personality and set of brand values, which is brought to life in the ‘Local Like You’ marketing programme and showcases just how much Londis retailers care about the local communities which they serve. There have been lots of developments at Londis since officially joining BWG, with a particular focus on retail innovation, product offering and store design and layout. Several new and exclusive food and drink offerings have been launched in recent months. Chief among these is a focus on foodservice with the introduction of ‘Bia Blas’, a new and exclusive deli offering, as well as a new bakery concept and three new coffee offerings. The brand’s private label offering is being 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 agency wine portfolio. Londis retailers also have access to a new category management system to improve effectiveness of product layout and drive sales. Significantly, BWG has put in place a programme of co-investment with Londis retailers to upgrade and modernise stores, giving retailers access to funds which may not have been readily available in recent years. This is supported by the launch of a brand new store concept, due to be rolled out in 2016. It is all these initiatives combined that ensures differentiation from competitors, along with driving growth across the Londis estate. Importantly, these new changes will allow the retailers more time on the shop floor, enabling them to deliver on what matters most; giving the local Londis customer the best shopping experience possible. Londis Contacts: • •
Conor Hayes, Londis Sales Director 087 7975483, chayes@bwg.ie David Moroney, Franchise Implementation Manager 086 8270894, dmoroney@bwg.ie
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Retail Group Review XL XL is a progressive neighbourhood store format, providing all the daily staples you would expect from a local store. Established by BWG Foods in 1997, XL was set up by the wholesale division in response to a demand for a local retail concept that offered support whilst allowing retailers to retain their independence and community identity. XL is now one of the fastest growing symbol groups in Ireland. XL offers retailers the opportunity to retain their independence and local identity, while benefitting from the many advantages of symbol group membership. The group offers a top quality and flexible package, enabling retailers to tailor their shop to consumer needs and react quickly to changing market conditions to help grow their business.
promotional support, and in the XL network at supply level, through the continued upgrade of the nationwide Value Centre network, is helping the XL brand go from strength to strength. Value Centre Value Centre is Ireland’s largest network of wholesale Cash & Carry’s, with 22 branches nationwide, serving in excess of 22,000 customers, offering both a walk-in and delivered service. At Value Centre, solutions are built around customer needs in the retail, licensed and hospitality trades. Conveniently located, and ideal for top-up needs, each Value Centre has an extensive product range which is competitively priced and both local and national promotions run on a regular basis across all product categories. Value Centre continues to receive investment from BWG Foods in upgrading the network to ensure it remains a top destination of choice. Most recently, Value Centre completed a €2m investment programme in its South Western network, involving the expansion of chilled and frozen facilities, the implementation of market leading technology solutions, and the roll-out of a significantly enhanced distribution network to cater specifically for Kerry businesses. As a result of the upgrades, over 1,800 chilled and frozen products are now available through the online ordering platform, which can be accessed 24 hours a day.
XL is one of the fastest growing symbol groups in Ireland.
Being part of the XL group is a true business partnership. The XL team are committed to maintaining the highest standards in stores via the XL Store of the Year programme, with 28 accolades presented across different award categories. The XL tag line, ‘A great deal more at your local store’, is what the brand is all about; by delivering value to consumers and remaining an essential part of the local community. A commitment to continued investment at store level, through enhanced technology solutions, category management tools and XL Contact: •
Colm Fitzsimons, Business Development Manager, 086 8079051, cfitzsimons@bwg.ie. Value Centre: Ireland’s largest wholesale cash & carry network.
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Retail Group Review
Barry Group: 60 Years A-Growing Barry Group celebrated its 60th anniversary in 2015, with the Carry Out off licence brand passing the 100-store milestone. BARRY Group, which operates the Costcutter, Quik Pick and Carry Out franchises in Ireland, celebrated its 60th birthday in 2015. “Barry Group is very much a family owned, professionally run business,” explains Jim Jim Barry, Managing Director, Barry Group. Barry, MD. “This year, we celebrated our 60th year in business and throughout all of that time, the family has been very much at the core of the business. I think this understanding of a family business puts us in a unique position to understand and relate to the needs of other family businesses and that’s at the heart of our strong relationship with our retailers.” The MD describes Barry Group’s trading performance for 2015 as “very satisfactory”. “We have had growth in all of our key selling channels,”
Barry Group enjoyed a very satisfactory trading performance in 2015.
he reveals. “While we are very happy with the Costcutter performance, Carry Out has performed beyond our expectation. We are especially pleased to have passed the 100 store mark recruited to the Carry Out franchise model, which further consolidates its position as Ireland’s leading independent off licence brand.” New Costcutter Image From a Costcutter perspective, Barry Group rolled out a new image in 2015, with a special focus on fresh food, hot & cold deli, coffee, confectionery, soft drinks and alcohol. “Our pilot store in Bishopstown has been received very well and has driven many store re-developments,” Jim Barry explains, “with many more planned for the next six months.” From a Carry Out viewpoint, Barry is delighted to have surpassed the 100 store mark, which he describes as “a great milestone for the brand” before revealing that “it is likely we will reach 110 stores before our year end”. Key projects that have been developed and roll-out commenced include: wine range extension, craft beer range extension, as well as range review of high-end spirits. “Other new concepts will be announced in January 2016,” the MD explains. “It is our intention to further consolidate Carry Out as the leading independent off licence brand.” Best Managed Companies From a team perspective, Barry Group were successful again in 2015, being awarded Gold Standard in the Deloitte Best Managed Companies Awards, as well as being listed as one of Ireland’s Great Places to Work for the fourth time. “We are especially proud of the fact that we are the only wholesaler in Ireland to hold both awards,” the MD notes. “From a personal point of view, I was honoured to be named ‘Ireland’s Most Trusted Leader’ at the 2015 GPTW awards and accepted that award on behalf of our whole team.” Across their suite of franchise offerings, Barry Group have opened in excess of 40 stores in 2015 and expect to grow this number to 50 stores for 2016. Great Potential “We believe when everything is taken into account, that a retailer will have greater potential to earn more cash profit when dealing with us,” Barry
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Retail Group Review
Pictured are (l-r): Niall Hartnett, HR Director; Paul Fitzgerald, Finance Director; Edwina Lucey, Sales Director; and Jim Barry Managing Director of Barry Group.
stresses. “Our positive team approach, which comprises of a professionally run, family business approach, ensures that we are close to our customers and offer a level of support that exceeds that of most of our competitors. “We provide a full suite of services to make it as easy as possible to either open a new store or upgrade a store currently trading,” he continues. “Our services include store design, store layout, IT advice, range management and financial advice, as well as all of the ongoing services that you would normally expect.” Delivering High Standards When it comes to retailers, Barry Group look at the
OPEN UP YOUR OFF LICENCE TO BETTER VALUE FOR YOUR CUSTOMERS & BETTER MARGINS FOR YOU Carryout_RetailNews_210x145 1
relationship as one of partnership. “We look for retailers who are prepared to deliver to a very high standard to ensure that for both Costcutter and Carry Out consumers, they experience a superior standard of shopping experience Celebrating 60 years of the Barry Group every time they are company founder, James A. Barry, and shop in either Managing Director, Jim Barry. of our franchise offerings,” Jim Barry explains. The MD is looking forward to 2016 as what he hopes will be a very exciting year for Barry Group. “As a team, we have upgraded our approach to the business and have identified many improvement opportunities, which will further enhance both our offering and service to our customers for 2016,” he says. “We are on a continuous journey to keep improving our service to our customers. We will be announcing a number of strategic projects at both our Costcutter and Carry Out cluster meetings in January and we expect double digit growth in all of our selling channels for 2016.”
Barry Group, Upper Quartertown, Mallow, Co. Cork Contact: David O’Keefe 086-7740885 www.barrygroup.ie
07/05/2014 11:52
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Retail Group Review
SuperValu Strides Ahead in Ireland
SuperValu ends 2015 as Ireland’s largest grocery retailer, a statistic that caps off a fantastic year for the retailer.
AS we approach the end of 2015, the latest results from Kantar Worldpanel in Ireland show SuperValu as Ireland’s largest grocery retailer, claiming 24.6% of the market, the second time this year the retailer achieved this milestone and its strongest growth rate since August 2013. This comes on the back of a robust 2014, which saw the brand recording retail sales of €2.58 billion, announced at its national conference early in 2015. “We are pleased to be recognised again as the largest grocery retailer in Ireland with 24.6% market share in the latest Kantar research and would like to thank customers for their loyalty,” said a delighted Martin Kelleher, SuperValu Managing Director. “It reflects the strength of our community retail model, where independent retailers in cities and towns across the country are clearly seen to give Irish shoppers what they want.” Shoppers continue to vote with their feet for a number of reasons, according to Kelleher, including:
• • •
through a variety of charitable causes and initiatives like Tidy Towns. “The market continues to be highly competitive and we remain focused on offering our customers the best combination of fresh quality food, commitment to Irish suppliers and value as we count down to Christmas,” Kelleher notes.
SuperValu’s commitment to providing the best quality locally-sourced Irish food to their customers; Unrivalled expertise from people like SuperValu’s expert butchers and bakers; Support for communities across the country Martin Kelleher, Managing Director of SuperValu.
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Retail Group Review “That’s what makes SuperValu different,” Kelleher stressed. “By shopping at SuperValu, our customers know that they are getting the very best in quality, taste and value, while also helping to support jobs and the economy of the local community.” Food Academy Advance SuperValu also announced recently that 24 small food producers have graduated from the inaugural Food Academy Advance programme. The participation of these 24 small businesses has resulted in €5.3m in retail sales at SuperValu stores over the past 12 months, helping to support 216 jobs. Food Academy is a joint programme supported by Bord Bia, the Local Enterprise Network and SuperValu that helps hundreds of small food businesses gain their first retail listings in SuperValu stores. As SuperValu Martin Kelleher, Managing Director of SuperValu, is pictured with stores are independently owned and operated, representatives of the 24 small food producers who graduated from the individual retailers are able to source directly inaugural Food Academy Advance programme, as well as representatives from Bord Bia and the Local Enterprises offices. from local suppliers on a one-to-one basis, helping small food producers gain their first retail listing SuperValu Car and Home Insurance and expand their operations on a sustainable basis as part of The latest market share news caps off a superb year for the Food Academy programme. SuperValu, with a number of milestones, including the “These graduates are a real endorsement to the Food launch of SuperValu’s new car and home insurance offering Academy initiative, which allows us to bring community in association with AIG, following on from the successful based food start-ups to market and provide them with the introduction of its travel insurance offering late last year. potential to grow their businesses even further,” Martin “With trust in financial institutions at record lows, we Kelleher noted. “This in turn provides employment for had a lot of interest from customers who were looking to themselves, members of their community and for some avail of a range of services from SuperValu beyond our – family members. It is great to nurture the energy and traditional food offer,” explained Martin Kelleher. “As one passion of these entrepreneurial producers and harness this of Ireland’s most trusted brands, we believe that we can into producing a range of products that we, as the number combine great discounts for our customers with the quality one Irish retailer, are proud to stock on our shelves.” and service you would expect from SuperValu. By partnering SuperValu also opened new stores in 2015, including a with AIG, we have been able to fulfill this vision and roll out 13,000 square feet store in Newbridge, Co. Kildare, and a car and home insurance that rewards the customer.” 10,000 square feet store in Athlone. SuperValu will focus on their customer base by rewarding SuperValu serves over 2.6m customers every week shoppers who sign-up for home or car insurance with money and now has 223 stores nationwide. 75% of everything off vouchers up to the value of €20 to spend in-store and on SuperValu’s shelves is sourced or produced in Ireland. also give them the opportunity to avail of a 30% multi policy SuperValu continues to source locally wherever possible discount for customers who have a Real Rewards number. and purchases almost €2 billion worth of goods from Irish Key benefits of SuperValu’s Home Insurance product suppliers, which help to sustain 30,000 jobs in the Irish include a 20% discount if the policy holder has a monitored economy. burglar alarm, a 24 hour Home Emergency Assist Helpline For more information, see www.supervalu.ie. and up to €1,000 in SuperValu Vouchers to replace freezer contents. SuperValu’s Car Insurance product also offers a range of features, including breakdown assist and home start as standard, as well as offering protection for possessions in a customer’s car for up to €300. Irish Quality Food & Drink Awards The retailer also scooped 11 awards at the prestigious Irish Quality Food & Drink Awards in September. “We are very proud of all of our suppliers who won awards at this year’s Irish Quality Food & Drink awards,” noted Martin Kelleher. “Together, we are committed to providing customers with quality produce they can really trust and we are delighted that this commitment has been recognised with these prestigious awards. As the number one supporter of the Irish agri-food industry, we source from over 2,200 Irish suppliers. In fact, 75% of everything on SuperValu’s shelves is sourced or produced in Ireland.” The MD went on to highlight how SuperValu’s commitment to Irish suppliers represents an annual contribution of almost €2 billion to the Irish economy.
Pictured at the launch of SuperValu car and home insurance are Edel Russell. Innovation, Consumer & IT Director, SuperValu; and Aidan Connaughton, Consumer Lines Manager, EMEA, South Zone, AIG.
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Retail Group Review
Centra Embraces Healthy Living Centra had a great 2015, launching a high profile healthy eating initiative and raising funds for Action Breast Cancer.
Pictured at the launch of Centra’s Walk The World initiative are (l-r): Kathryn Thomas; Laura Curtin, Communications Manager, Centra; and Mark Mellet; Head of Fundraising; Irish Cancer Society.
THE Centra brand enjoyed a super 2015, adding a number of new stores to the network, as well as launching a major new healthy eating initiative, Centra Live Well. Centra Live Well aims to redefine everyday convenience retailing in Ireland by providing shoppers with choices and information about healthy and nutritious food. Under the new Live Well banner, Centra is offering shoppers healthy and nutritious choices across a range of 300-plus products, whatever their needs are throughout the day. In addition, Centra will provide health and nutrition information instore and on its extensive digital and social channels, which will educate, inspire and ultimately encourage shoppers to make that healthier choice. The Centra Live Well initiative will also be encouraging people to add activity to their daily routine through walking initiatives and involvement in Centra’s GAA community events. The summer saw a selection of the finest inter-county GAA stars, past and present, travelling the length and breadth of the country to give healthy eating and training tips to the next generation of hurling stars. Centra introduced a special new GAA endorsed product range,
perfect for all budding Henry Shefflins, including a variety of low calorie sandwiches, along with delicious ‘Fruit Pots’ and nutritious strawberry and mango smoothies – one of your five a day. October 17 saw Centra’s ‘Walk the World’ initiative, as the convenience retailer aimed to get thousands of people to collectively walk 40,075km, the circumference of the earth! Over 200 Centra stores hosted a walk in their local community to promote walking and help raise much needed funds for the Irish Cancer Society’s Action Breast Cancer programme. In order to ‘Walk the World’, Centra needed 8,000 people to walk 5km each. Pride of Centra Awards Earlier this year, the inaugural Pride of Centra Awards took place in Croke Park, where a selection of outstanding Centra employees were honoured for their commitment and dedication shown in the workplace. The awards were established to acknowledge the Centra employees who consistently live and demonstrate the Centra brand values each and every day. Just 10 Centra employees were selected as finalists out of a total of over 10,000, demonstrating the significance of their achievement. The overall winner was Brenda Donagher from Daniels’ Centra, Portarlington, Co. Laois, was a stand-out winner for her remarkable pride, enthusiasm, and thoughtfulness in everything she does. At its annual conference in Killarney early this year, Centra announced that it recorded retail sales of over €1.5 billion in 2014, a 3% increase on the previous year’s performance, underpinned by increased Own Brand sales, the introduction of its all day fresh food range, innovative products and services and delivering great value across all categories.
Pictured at the launch of Centra Live Well are top blogger Pippa O’Connor and GAA Legend Henry Shefflin.
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Retail Group Review
Bright Future Dawns for Daybreak Ireland’s fastest growing convenience group, Daybreak can look forward to 2016 with confidence.
DAYBREAK is Ireland’s fastest growing convenience group with 200 stores nationwide. All stores are independently owned by local retailers, ensuring that each store can respond to the everyday needs of their local community. The Daybreak brand is well positioned for future growth. Retailers have made the smart move in switching to Daybreak, where they can avail of enhanced sales and margin through the buying power of the Musgrave Group, along with strong promotional offers and a competitive development cost and marketing fee. With hard work, Daybreak experienced a strong sales performance in 2015. A Brief History Daybreak is part of the Musgrave Group. Established in 1876, Musgrave is Ireland’s largest grocery and food distributor, serving over five thousand shops across Ireland. The Daybreak brand was launched in late 2005, with the aim of catering for independent retailers who want to remain independent. Over the past number of years, Daybreak has perfectly balanced retailer flexibility and support, providing the benefits of a structured symbol group with the freedom to localise stores for local market and shopper needs. The concept of Daybreak emerged following much research and referencing the vast experience Musgrave had within the convenience store sector. Daybreak provides existing and new retailers with the full support they would expect from a contemporary brand, including uniformed image, retail advice, central billing, central warehousing, development support, category management, exclusive
promotional activity and marketing campaigns. This allows independent retailers to experience the rewards that come from having a clearly defined brand identity, brand pillars and definitive hero categories in-store. Daybreak retailers enjoy the benefit of extensive marketing and promotional support, a vibrant brand image, food to go solutions that enhance profitability and an experienced and responsive retail support team. Daybreak Store of the Year Awards Daybreak Clonliffe Road, in Drumcondra, Dublin 9, was named ‘Store of the Year’ for 2015 at the annual Daybreak Store of the Year Awards. The awards, which took place
Daybreak retailers enjoy the benefit of innovative food to go solutions that enhance profitability.
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Retail Group Review • • •
Daybreak retailers enjoy a clearly defined brand identity, brand pillars and definitive hero categories in-store.
recently at the Lyrath Hotel in Kilkenny, recognise retail excellence across Daybreak stores nationwide. Daybreak Clonliffe Road is owned by Damien Osborne and employs 16 people. As well as scooping the overall title, the store also won the top prize in the ‘Best Food and Beverage To Go’ category. The Daybreak Store of the Year Awards recognise retail excellence across Daybreak outlets nationwide. Nine retailers were shortlisted for the overall award that focuses on four key areas: Products & Services, Environment, Communications and People & Behaviours. Throughout the competition, a series of mystery shopper audits are conducted on store standards and stores are assessed against these criteria. Daybreak Clonliffe Road was awarded the top prize thanks to their impressive customer service and outstanding product offering. As well as the coveted overall Store of the Year accolade, there were eight other awards on the night, focusing on key in-store categories. These were:
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Availability Award, won by Daybreak Ballina, Co. Mayo; Mystery Shopper Award, won by Daybreak Blanchardstown, Dublin 15; Best Impulse award, won by Daybreak Camolin, Co. Wexford; Best Off Licence award, won by Daybreak Clerihan, Co. Tipperary; Best Forecourt, won by Daybreak Dungarvan, Co. Waterford;
The Daybreak brand is well positioned for growth throughout 2016.
Best Convenience, won by Daybreak Raven Terrace, Galway; Best Wine, won by Daybreak Raven Terrace, Galway; Best Food and Beverage To Go, won by Daybreak, Clonliffe Road, Dublin 9.
“These awards recognise and reward excellence across our retail network and I would like to congratulate Damien and the team at Daybreak Clonliffe Road on their welldeserved win,” said Paul Kerrigan, Musgrave MarketPlace Director, Musgrave Wholesale Partners. “At Daybreak, we are passionate about providing an excellent and convenient customer experience and Daybreak Clonliffe Road has really excelled this year.” Commenting on the win, store owner Damien Osborne, said, “We are absolutely thrilled to have been named Store of the Year and also get recognised in the Food and Beverage To Go category. This award is testament to all the hard work that our team put in throughout the year. It’s always a huge team effort at our store and we are extremely customer service focused. I would also like to sincerely thank our loyal customers who continue to support us.” Charity Partner – Irish Heart Foundation At its annual awards, Daybreak also announced that it will partner with the Irish Heart Foundation (IHF) in 2016 to raise much needed funds for the invaluable work of the charity. In Ireland, more people now die from heartrelated illnesses than from cancer, road deaths and suicide combined.
Daybreak will partner with the Irish Heart Foundation in 2016 to raise much needed funds for the invaluable work of the charity.
“We’re working with the Irish Heart Foundation to build an engaging and interesting programme for staff and customers to be part of next year,” explained Paul Kerrigan. “We believe that all funds raised will make a strong impact on families affected by heart illnesses. Daybreak will launch this initiative nationwide by supporting the Irish Heart Foundation’s Happy Heart Pins fundraising appeal next year with lots of in store and online activities.” For further information visit www.musgravemarketplace.ie/First-ForService/Franchise-Info/Daybreak-Concepts
50|Retail News|December 2015|www.retailnews.ie
Retail Group Review
A Special Year for Gala!
2015 was a special year for Gala Retail Services, as the Group embarked upon a number of new and extremely successful partnerships in Ireland.
GALA is one of Ireland’s premium convenience retailers, operating a model where the retailer is key to all activities. It enables its retailers to compete and trade successfully, whilst partnering them with a network of wholesale distribution outlets across Ireland. A 100% Irish owned operation, it prides itself on being in touch with its retailers and customers through a heavy on-the-ground presence. With over 235 stores affiliated to the Gala group across symbol brands, including Gala, Gala Express and Checkout stores, Gala Retail Services work with retailers on a continual basis to optimise elements such as value propositions, store design, their chilled distribution solution, customer service and information technology for the success of each store. Gala stores have access to buying power in excess of €800m through the Group’s association with the Stonehouse buying group. This buying power ensures that Gala stores can offer quality products at value prices, a combination that is crucial in today’s competitive convenience sector. Gala is known for its great one-to-one service. It also places great importance on developing relationships with local wholesalers and is committed to delivering high standards of customer service, whilst supporting the communities that it serves. This has been and will continue to be core to its strategic development. 22 Gala group stores will have opened by the end of 2015, including new locations on the Long Mile Road and Mount Brown in Dublin, and two new stores in Westmeath, amongst others. There’s a growing number of new retailers committed to new Gala store openings in 2016 and signs are good for the year ahead. “There’s been a marginal increase in new store openings across the board on 2015,” notes Group CEO, Gary Desmond. “We mightn’t be at 2007 levels but consumer confidence is continuing to grow and the Gala Group is performing well.” The Gala Group has a robust set of dynamic retailers who are committed to excellence in retailing, borne out by the highest number of Gold Award winners this year of its B.E.S.T (Business Excellence Standards Tool) Awards. Designed to acknowledge and applaud excellence in retail standards and customer service, the Awards recognise the ongoing commitment to excellence that is at the heart of all Gala stores. The awards acknowledge Gold, Silver and Bronze standard winners, in addition to category awards for specialisms in retailing. Gala’s Brand Goals Gala is a young, enthusiastic and vibrant convenience retail brand that prides itself on its professionalism and the quality of all its retailers. With its tagline of ‘The national brand with local focus’, the Group is actively
Pictured at the launch of Gala’s partnership with Special Olympics Ireland are Christy O’Connor Jr; Paul Kirrane of Team Ireland; CEO of Gala Retail, Gary Desmond; Matt English of Special Olympics Ireland; and Senator Eamonn Coghlan.
working towards achieving its ultimate brand goal of being recognised by Irish consumers as their local convenience store; a store that is determined to support Irish producers, while at the same time offering its loyal customers fantastic value. Ensuring Retailer Success Retailer support has always been at the core of what Gala Retail Services offers, playing a critical role within the business proposition, along with innovative fresh food initiatives, enhanced promotional offerings, partnerships with suppliers, category management and investing in new technologies to improve both the Gala retailer and customer experience. Chilled Distribution In 2014, Gala invested €1m in a new centralised chilled distribution network for its stores. 2015 has seen its continued roll-out and the operation goes from strength to strength. The solution offers all retailers greater access and availability across a wide range of products and allows them to be even more competitive in terms of price and more efficient in terms of the ordering process. The system has significantly reduced administration work for Gala retailers and has in turn, led to increased margins and better stock control management.
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Retail Group Review glamorous awards ceremony, presented by host Amanda Byram, which was aired on TV3 the following evening.
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‘Your Choice with Gala’ is the Group’s new health and wellness strategy, that was launched at the Gala conference in Killarney in late September. Delivering more choice for its shoppers, Gala pledged to invest over €300,000 in a number of initiatives to further this strategy, including the launch of the Gala healthy choices range with Unislim, Ireland’s longest-established slimming and health organisation, in early January. Gala has also been named as the first commercial sponsor of parkrun Ireland, the free, weekly, 5km runs that have grown to almost 40 locations nationwide, and of junior parkrun. A three-year deal which commences in 2016, Gala’s sponsorship of parkrun Ireland embraces ‘Your Choice with Gala’ as parkrunners can choose to walk, run or jog at the weekly parkruns and there’s no age limit on participation.
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An ongoing association with Disney surrounding the launches of Inside Out and The Good Dinosaur enabled Gala to host preview screenings of the blockbuster animations for Gala customers around the country. They are currently working on a special project in conjunction with Disney, so keep your eyes peeled for a very special event in conjunction with the Star Wars movie release in December.
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With an online audience that’s grown phenomenally over the past four years, Gala has and will continue to invest in its online communication channels, which are delivering huge levels of engagement. Gala’s Facebook community now stands at almost 120,000, with its Twitter audience doubling since the start of 2015.
Pictured at the IFTA Gala Television Awards are TV3’s Martin King, UTV’s Alison Comyn, RTE’s Miriam O’Callaghan, Tristan Rosentock of TG4, Aine Moriarty of IFTA and Gary Desmond, CEO of Gala Retail.
Community Focused Retailing As the Gala brand name is associated with the very essence of the community, every corporate level decision made reinforces and supports this focus. Gala prides itself on the community support that it provides to each of its retailers, as well as their community-based initiatives. This includes all forms of fundraising, community support and online digital promotion. Gala’s Marketing Strategy In 2015, Gala made considerable strides within its marketing efforts. All activities were filtered through the Group’s brand values and also decisions were made that would help the Group to deliver upon its goals at a strategic level. Marketing played a central role in 2015 and major partnerships were formed, many of which will continue in the years ahead. A very ‘special’ sponsorship that Gala embarked upon was its support for Team Ireland at the Special Olympics World Summer Games in LA. This initiative was one of Gala’s most successful to date, and was named as Best Sponsorship by a Retail Group earlier in the year. Some of Gala’s marketing highlights from 2015 are as follows:
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Special Olympics: As one of the official sponsors of Team Ireland, Gala helped to fund 88 Special Olympics athletes’ travel and participation at the World Summer Games in LA. From the initial idea and the announcement of the partnership, to the campaign execution and 10-day Games in LA, Gala helped to facilitate some very memorable #GalaSpecialMoments for Team Ireland. Gala stores across the country got 100% behind the partnership, decorating stores, sporting branded t-shirts and hats, and connecting with their local athletes and Team Ireland throughout the duration of the Games. Team Ireland brought home an incredible 82 medals, making a nation very proud and Gala truly humbled to have been part of such a special sponsorship.
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IFTA Gala Television Awards: Celebrating the very best of Irish creative talent and home-grown TV programming, Gala announced its headline sponsorship of the IFTA Gala Television Awards. Joining forces with an iconic Irish institution, IFTA, Gala implemented a 10-week activation programme, which included instore consumer promotions and online voting via Gala’s social media channels. The sponsorship culminated in a
Partnering With Gala The Group is setting ambitious growth goals for 2016, after a successful 2015. Marketing will be central to the Group’s continued growth, and its ‘Your Choice’ strategy will be key to attracting both new retailers and customers. There are also plans in place for innovation within Gala stores, for the launch of a Pictured at the Gala conference new sub-brand and Gala’s in Killarney in late September, coffee-to-go offering will launching the ‘Your Choice with Gala’ health and wellness strategy, be unveiled in the first are Gala CEO, Gary Desmond, with quarter of 2016. Fiona Gratzer, MD, Unislim, and Gala works with each and every retailer to make Matt Shields, Country Manager, them the best at what they parkrun Ireland. do. Partnership is essential and helps retailers deliver a professional and competent retail operation that increases customer satisfaction and drives sales growth. Gala prides itself on its ability to bring out the best in retail and, importantly, it listens to the needs and wants of its retailers, who retain their independence on all levels, something that is key to continued success. Gala continues to look for progressive retailers who want to grow with Gala. If individuality, provision of exemplary service and simply being the BEST in retailing are important to you, find out more by contacting Gala on 045 910066.
52|Retail News|December 2015|www.retailnews.ie
Retail Group Review
Tip-Top 2015 for Topaz
Paul Candon, Topaz Group Corporate Services Director, reports on what was a momentous year for the brand. THE highlight of our year, hot off the presses, is clearly the agreement by leading global retailer Couche-Tard to acquire Topaz. We will now be joining a publicly quoted business with a worldwide network of 15,000 convenience stores and service stations. This is a hugely exciting deal for the company which our CEO Emmet O’Neill rightly described as a “game changer” for the retail sector here. Couche-Tard’s network is spread across North America (U.S. and Canada), Europe (Norway, Sweden, Denmark, Poland, the Baltics and Russia), Asia and the Middle East, and employs 100,000 people. In a town hall meeting at our head office in Dublin, Brian Hannasch, President and Chief Executive of CoucheTard, outlined the company’s history and the scope of its operations. He pointed out that management at CoucheTard had visited nearly every Topaz store on the island of Ireland and that they had been hugely impressed with what they had seen. He said the deal was very positive news for everyone involved with Topaz and from Couche-Tard’s perspective was a significant investment in one of the outstanding retail businesses in one of Europe’s best-performing economies.
Pictured at the opening of the Ballacolla service station, winner of the NACS Insight 2015 International Convenience Retailer of the Year Award, are hurling legend DJ Carey, with MJ Tierney, Topaz Brand Manager, and Charlie Flanagan TD, Minister for Foreign Affairs and Trade.
the company over the past two years; “In the last two years, Topaz has moved from being a challenged business to one which has been transformed at every level and which now leads the market here. We have refinanced the company, upgraded the infrastructure, acquired and built new sites and convenience stores and ultimately acquired the business of Esso in Ireland. This transaction is a reflection of the immense effort made by everyone on the team and across the company over that time.” Esso Takeover In a year of many highlights, the other stand-out deal was our purchase of Esso Ireland’s fuels and convenience business in Ireland. Following the acquisition, the Topaz network extended to 465 service stations, 162 of them company owned. As a result, we now have a 35% share of the Irish fuel market, with a presence in every county on the island of Ireland. We are very much looking forward to working closely with our new colleagues as Topaz begins the next chapter of its development with Couche-Tard.
Paul Candon, Topaz Group Corporate Services Director; Emmet O’Neill, CEO, Topaz Energy; Elaine Brennan, Store Manager; and Sean Moriarty, Retail Director, are pictured at the launch of the first Re.Store store in Westview, Swords, Co. Dublin.
He also emphasised that it would be very much business as usual at Topaz and that the focus, as always, would be on the customer. Emmet O’Neill said the deal followed a transformation of
International Retailer of the Year In June, our new motorway site at Ballacolla, Co. Laois, won the NACS Insight 2015 International Convenience Retailer of the Year Award. NACS is the Association for Convenience and Fuel Retailers and represents retailers and suppliers worldwide. It’s the second time Topaz has won the award, with our Cashel site, also on the M8, having won the award in 2011. The fact that Ballacolla was only open four months
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Retail Group Review
Munster and Ireland star Alan Quinlan and Irish footballer and FIFA Puskas Award finalist Stephanie Roche are pictured alongside Paul Candon, Corporate Services Director at Topaz, at the opening of Topaz Clonshaugh, Co. Dublin.
at the time and beat stiff competition from the UK, Norway, Switzerland and Argentina, made the win all the sweeter. Meanwhile, Cashel has continued on its winning ways, jumpstarting the New Year by winning Best Forecourt Store 2016 at the recent Retail Excellence Awards. Investment Investing in our network, providing the best services for our customers and creating employment are very much part of our ongoing plans for growth. For example, we also invested €5m in a state of the art motorway site at Clonshaugh in north Co. Dublin and like Ballacolla, that station has been trading extremely well since it opened in February. We have several new motorway sites in the pipeline and continue to look for suitable locations as the motorway network expands. Re.Store In April, we launched Re.Store, which is a new concept designed to meet the growing demand from customers for fresh, healthy food options on the move, including barista coffee. We wanted to completely redefine our food and coffee offer, in keeping with the changing habits and desires of our two million weekly customers. While the branding may change in the future, our commitment to offering customers an unrivalled selection of healthy food, along with an unprecedented range of quality coffees, as well as more traditional offers, remains.
Topaz ambassadors Alan Quinlan and Fiona Coghlan joined Ballyhale Shamrocks and Kilkenny hurler Henry Shefflin and former Kildare and Sarsfields Newbridge footballer, Dermot Earley at Lansdowne RFC to launch Cash for Clubs.
Rocket’s at Topaz Our aim is to make our stores a chosen destination for the best coffee and food offering around and we’re very confident that is what they will become. As part of that process, we recently launched ‘Rocket’s at Topaz’ which we believe is the perfect fast food offer with the focus very much on high quality Irish ingredients and casual style Topaz Customer Insights Manager, Elaine dining. This is Kearney, and Marketing Director, Margaret bang on trend Barron, joined CEO and founder of the Jack and our first & Jill Foundation, Jonathan Irwin, to launch restaurant, their partnership, along with a new Topaz which opened fundraising initiative called ‘Small Change for in Douglas in Big Change’. Cork, has been performing well ahead of expectations. Community One of our most successful initiatives and one of the most enjoyable was Cash for Clubs. Topaz fully recognises the vital role clubs play in communities across the country but we know fundraising can be an issue. That is why we launched Cash for Clubs and created a fund of €200,000 to distribute among different types of clubs all over the country. Every club which met the criteria received a cash amount but prizes of up to €10K were also available. Many of the stories about the clubs and the people who run them are available on our Facebook page. Partners Recently, Topaz staff chose the Jack and Jill Foundation as our new charity partner. The Foundation provides nursing care and support for children with severe neurological development issues, as well as providing respite to parents and families. With the support of our customers and staff, we hope to raise €400K for the Foundation and the incredible work it does. During the year, we also partnered with Goal and helped raise vital aid for that charity’s Syrian Appeal. Employees & Partners Earlier in the year, we were recognised as one of the Best Workplaces in Ireland for the tenth time, while in June, we were recognised as one of the Best Large Workplaces in Europe for the third time. Our staff, along with our dealers, continue to be our most valuable resource and their enthusiasm and professionalism ensure we maintain our position as industry leaders. For example, just recently our Brand Partner for 2015, Tobin’s of Letterkenny was crowned National Convenience Store of the Year. Since its foundation, Topaz has been driven by an ethos of continuous improvement and innovation. The aim has always been not just to enhance the customer’s experience but to exceed their expectations. That aim will remain constant as we look forward to an exciting 2016.
54|Retail News|December 2015|www.retailnews.ie
Retail Group Review
Maxol Makes Its Mark
Maxol continues its evolution into one of the most progressive forecourt operators in the country, responding pro-actively to customer needs.
THE Maxol Group tagline, ‘At the Heart of It, pretty much sums the company up. “Our ethos lies in providing a true destination experience in communities all over Ireland, which are operated by independent, local licensees and dealers who are part of their communities,” explains Maxol Group GM, Brian Donaldson. “This engagement with our independent retailers is fundamental to how we operate and we pride ourselves on our relationships with our business partners and customers. We aim to trade in a profitable and responsible manner, and to generate opportunities for our stake holders associated with our business.” Maxol listens to, and responds proactively to the ever-evolving needs of the customer, Donaldson explain. One such response is their award winning fresh foodservice brand, Moreish, which gives Maxol a crucial point of difference. It meets the needs of a wide range of consumers for all times of the day, from breakfast right through to evening. “But we don’t and won’t stop there,” Donaldson insists. “The big challenge remains how to keep our service offering interesting to our customers and we are always evolving, with many innovative and interesting things in the pipeline!” Maxol is a 100% Irish, family owned business. Maxol have engaged in fuel marketing since 1919 and the Maxol brand is synonymous with quality and with the creation of long-term value for all stakeholders and building profitable business throughout the island of Ireland.
the last two years, with five in the last six months alone, including a wonderful new format at Dublin Road, Dundalk. “We are proud to say that Maxol, as a company, has evolved into one of the most progressive forecourt operators in the country,” Donaldson stresses. “We have continued to invest and expand throughout 2015 to the point where we currently have a network of 236 service stations, 104 of which are company owned. We also introduced our vibrant new image to over 200 service stations as part of these expansion plans.
Exceeding Expectations Maxol continues to develop and invest in the business and while the economic environment has been challenging, the retail group has met and in many respects exceeded its business expectations Maxol Group GM, Brian Donaldson visits the Maxol site in Mulhuddart, North Dublin, the biggest development Maxol has introduced to Ireland to date. for 2015. Maxol have opened 22 stores over
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Retail Group Review The GM feels that Maxol have many of Ireland’s most progressive retailers working as independent licensees and dealers in both Republic of Ireland and Northern Ireland. “That model of partnering with independent, local business people is at the core of Maxol,” he says. “Many retailers realise that being part of that is a special opportunity. It certainly keeps us all on our toes, which is what you want in a career and in business.”
Make-A-Wish ambassador Martin King is pictured as Maxol team up with Make-A-Wish Foundation at Maxol’s Service Station in Sandyford.
“Forecourts are, after all, no long just about fuel. They are convenience destinations for people who are passing by or live locally. We have been investing heavily such that our facilities appeal to as wide an audience as possible.” The Secret of Moreish One of Maxol’s greatest achievements this year has been establishing their new food brand, Moreish – Fresh food at Maxol, which was launched in 2014 and has continued to roll out across their service stations this year. Moreish currently operates in 22 Maxol service stations and continues to grow. It won ‘Best Oil Company Initiative’ at Ireland’s Forecourt and Convenience Retail Awards 2015. “It’s a destination where customers can enjoy a choice of meal solutions for all times of the day, and we are introducing more and more low calorie and healthy options,” Donaldson says. “By doing this, we hope to continue our business growth and to develop long lasting relationships with our customers all across Ireland.” Another big development in our brand has been the continued development of their network – with several new forecourts opened in 2015. The company also announced plans to open its largest service station to date, on the N3 at Mulhuddart, north west of Dublin City. “It will be our biggest ever development in the almost 100 year history of our business, and will create 50 new jobs for the local area. We very much look forward that station’s opening in early 2016,” the GM enthuses. The Maxol group are investing to improve customers’ experience, based on their growing expectations, and since 2012, have given about 200 Maxol service stations a new look and makeover, as well as opening 22 new stations in two years. “We have ambitious plans, and expect to continue to grow our business in progressive and responsible way,” Donaldson explains. “Our next upcoming developments in Mulhuddart and Donabate will open in Q1, with many more in the pipeline over the coming year.” Maxol appreciate enquiries from retailers considering joining the group, with further information available at www.maxol.ie. “We always welcome inquiries from ambitious, like-minded retailers,” Donaldson says. “They will be joining one of the most progressive and ambitious forecourt operations in the country who are expanding every year and will continue to do so into 2016 and beyond. Partnering with Maxol is about being like-minded in our primary objective of creating a destination forecourt that inspires and entertains our customers.”
Drive and Determination So what do they look for in a potential retail partner? “We look for like-minded ambitious, customer focused business people who have a flair for retail and foodservice. That doesn’t necessarily mean someone who has come from a forecourt; it could be someone who was involved in high street retailing, or in the restaurant or fast food business. The main thing is that it is someone with a real passion for delivering excellence in terms of the customer experience, combined with the drive and determination and of course the ability to run a business successfully,” he says. The group has ambitions plans for 2016 and beyond. “At Maxol we are ambitious, and to feed that ambition we have plans in place to continue to invest in our network, in our brands and in our people,” Donaldson states. “While we are almost 100 years in operation as a family owned business, in many respects the journey is just beginning. The forecourt and convenience sector is ever improving, and with the innovation we have and continue to bring to the market, together with the support of our key partners, including MACE in the Republic of Ireland and SPAR in Northern Ireland, we are at the heart of that evolution. We look forward to meeting the needs of more and more customers, and to remaining at the heart of communities all over Ireland.” With an ever increasing customer focus, and the continued investment and development of their network, Maxol are well placed to continue the company’s proud tradition as it approaches 100 years in business.
Their award winning fresh foodservice brand, Moreish, gives Maxol a crucial point of difference.
56|Retail News|December 2015|www.retailnews.ie
Retail Group Review
Big Year for Tesco Ireland
Tesco Ireland enjoyed an exceptional 2015, with the company the biggest buyer of Irish food and drink in the world. 2015 was a busy year for Tesco Ireland, which saw the retailer commission a comprehensive report into its impact on the Irish economy. Testament to Tesco’s ongoing support of the Irish agri-food sector, the report’s key findings demonstrated that Tesco remains the world’s biggest buyer of Irish food and drink, purchasing €1.6 billion of Irish food and drink, including €931m for export. In September, Tesco Ireland launched a new brand campaign leading with a ‘Big on Community’ message, highlighting the positive impact that the Tesco Community Fund has had on the local communities around each of the 149 Tesco stores throughout Ireland. The campaign aims to show customers that as a big business, Tesco can do lots of little things to help customers and communities. Tesco invested significantly this year in lowering the prices of everyday items that matter most to customers through ‘Staying Down’ prices. To date, the response from customers has been encouraging, with an increase in sales transactions, positive volume growth and an improvement in customer loyalty this year. An increased focus on customer service has also seen more colleagues on the shop floor during the busiest times of the day. Tesco continues to offer the most extensive grocery home shopping service, with over 87% population coverage and 30% more home deliveries in the first half of this year compared to the same period last year. So far this year, Tesco has improved the customer experience of using their Grocery Home Shopping service by reducing delivery service charges, putting 10% more delivery vans on the road, and opening new and extending existing delivery hubs, bringing their total nationwide to 30. 2015 also saw continued strong growth for Tesco Mobile, with 40% growth and passing 300,000 customers earlier this year. Tesco Mobile is the most recommended network in Ireland, according to research conducted by Coyne Research in June. Big on Healthier Choices Tesco was first in the queue for sweet-free checkouts, with January seeing the implementation of sweet-free checkouts in all Tesco stores in Ireland. Removing sweets and chocolates from checkouts is part of a much wider ongoing effort from Tesco to help customers make healthier choices, which also includes the reduction of salt and calories across soft drinks, sandwiches and ready meals, without compromising on flavour. Big on Quality Andrew Yaxley joined Tesco Ireland in May as Chief Executive. Prior to joining Tesco Ireland, he held the role of Managing Director of Tesco’s London business. He hosted a supplier conference in September and outlined Tesco’s business plans for the year ahead.
Heidi and Callum Farrell are pictured as Tesco introduced sweet free checkouts in all Tesco stores in Ireland.
In May, Tesco and Bord Bia unveiled the newly rebranded annual supplier development programme called Taste Bud. 20 Irish food and drink companies joined the programme this year, which helps Irish companies to secure, grow and maintain a listing with Tesco at home in Ireland and in Tesco markets overseas. To date, 50 Irish food and drink companies have completed the programme, recording over €30m worth of sales to Tesco stores, with nearly a quarter of this revenue generated in the UK, highlighting the export opportunities realised through the programme. To coincide with the launch of the programme, Tesco commissioned a comprehensive report into Tesco Ireland’s impact on the Irish economy, conducted by independent international economists, Indecon. Testatment to Tesco’s ongoing support of the Irish agri-food sector, the report’s key findings demonstrate that:
• • • • •
Tesco is the world’s biggest buyer of Irish food and drink; Tesco is responsible for nearly 47,000 jobs; employing 14,500 people directly in stores, head office and their depot and supporting a further 32,180 jobs in their supply chain; Over 13,000 Irish farm families supply their produce to Tesco; Tesco now works with over 480 small and medium Irish local suppliers; Tesco purchases €1.6 billion of Irish food and drink, including €931m for export;
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Retail Group Review since the launch of the Tesco Community Fund last year. Tesco remain Foodcloud’s only national retail partner and to date have donated over 1m meals worth of surplus food to people right across the country. Over the last 12 months, customer’s blue token votes have revealed what causes matter most to their communities, with almost 300 different types of causes being put forward for the Fund. These nominations per county have shown that midlands customers are “Offaly” tidy in comparison to the rest of the country, backing a higher number of local Tidy Town projects within the county. The ‘home of hurling’ stayed true to its name, with Tipperary shoppers backing more local GAA clubs than their neighbouring counties, but Kildare too packed a punch, championing their local community boxing clubs. Further south, the Cork community were quick to show their favour for their furry friends with animal welfare causes topping the poll, while Clare shoppers Pictured are (l-r): Luca Fogarty, Marc and Caolann McCrum, Sofia swung their votes in support of community playgrounds. Hearns, Aoibheann Regan and Calvin O’Sullivan at the announcement Louth drummed up support for local brass bands, while that over 3,500 local charities and community groups across Ireland have shared a donation of €1m through the Tesco Community Fund the community in Wexford rallied to give a little help to since its launch last year. elderly care services. In the west of Ireland, Mayo customers get top marks • Tesco’s international stores are a major purchaser of for their support of the local community schools. Elsewhere, Irish food and drink, buying 11.7% of Ireland’s food and the ‘Crystal City’ shoppers came together to help their local drink exports in 2013, a figure which is growing year on community centres which were damaged by a fire earlier this year; year, with the five Tesco stores in Waterford pooling their • Tesco’s total value of Irish food and drink exports funds to support a renovation campaign – the true meaning exceeds France and Spain combined; of community spirit! • Indecon estimate that the full economy-wide impact of Tesco is €3.26 billion per year; Big on Little Heroes • 100% of the fresh lamb, beef, pork, eggs and milk Tesco Tesco colleagues have raised nearly €1m for Temple sells is Irish. Street Children’s Hospital over the past year to fund the purchase of life-saving medical equipment for the hospital. In September, Tesco returned to the National Ploughing Fundraising events in stores have included the ‘Lemonade Championships, showcasing fresh and in-season produce & Lollipops’ fundraiser in August, which saw Tesco stores from over 40 Irish suppliers. Visitors to the Tesco tent were nationwide host ‘Lemonade & Lollipop’ stands to raise funds treated to cookery demonstrations, with renowned chef for Temple Street Children’s Hospital. Eugene McSweeney serving up delicious dishes with a focus In December, on fresh, local ingredients. Tesco launched a limited Big on Awards edition Tesco brand products garnered 32 awards at this year’s Christmas prestigious Great Taste Awards and 10 awards at the Irish sandwich, with Quality Food & Drink Awards, with a further 15 products 50c per pack highly commended. Recently, eight Tesco brand products donated to won Blas na h’Eireann awards, including six silver and two Temple Street. bronze awards. December Tesco wines received 132 medals at the International also sees Wine Challenge, with an impressive 98% of the wines Tesco entered receiving a medal. In addition, two Tesco wines were Tesco stores nationwide awarded two stars at this year’s Great Taste Awards and two wines were recognised at the Irish Quality Food & Drink host Magical Reindeer Food Awards. Temple Street patient, Ria Byrne, aged six, sales for the Tesco introduced some attention-grabbing products in is pictured at the launch of the ‘Lemonade & children’s 2015, including Komodo Dragon chilli peppers. In August, Lollipop’ fundraiser, which saw Tesco stores hospital and Tesco set heat levels rocketing in kitchens across Ireland nationwide hosting Lemonade & Lollipop Tesco has stocking a limited amount of the hottest ever commercially stands to raise funds for Temple Street also launched grown chilli pepper sold on a supermarket shelf. Grown Children’s Hospital. ‘The Temple exclusively for Tesco, the Komodo Dragon chilli pepper Street Toy Review’, a video featuring some little heroes from measures up to an excruciating 1.4m Scoville units. To Temple Street reviewing the top 10 toys for Christmas. The give some idea of that potency, the lively jalapeno pepper video and in-store fundraising activity aim to raise much measures 35,000 Scovilles, while the very hot Scotch Bonnet needed funds for Temple Street by calling on people to text can measure up to 350,000 Scovilles. TEMPLE to 50300 to donate €4 to the children’s hospital this Christmas. The Tesco Christmas fundraising campaign Big on Community is hoping to raise €100,000 to help to buy vital medical Tesco have also continued to support local communities with equipment that will treat some of the 145,000 little patients 3,500 local good causes sharing a donation of €1,000,000 that attend the national hospital each year.
58|Retail News|December 2015|www.retailnews.ie
Retail Group Review
Aldi’s Recipe for Success
Aldi enjoyed a tremendous 2015, winning a plethora of product awards and opening nine new stores. ALDI Ireland went from strength to strength in 2015, with the retailer opening its 122nd Irish store, leading the market in attracting new customers, continuing its reign as Ireland’s most awarded supermarket and announcing plans for further investment and the recruitment of over 400 new staff. More than 50,000 new households had shopped at Aldi by October of this year compared to last year (Source: Kantar Worldpanel, October 11, 2015), attracted by its award-winning quality at incredible value. Quality Products The commitment of Aldi and its Irish suppliers to provide the very best in Irish products was recognised time and time again this year. Aldi reigned as Ireland’s most awarded retailer, winning 62 awards at the Great Taste Awards, nine awards at the Irish Quality Food and Drink Awards and 22 awards at the Blas na hÉireann Aldi’s exhibition at the 2015 National Ploughing Championships. Irish Food Awards. Aldi’s innovative marketing and year partnership with leading youth organisation Foróige, communications team produced several memorable including sponsorship of The Foróige Youth Citizenship campaigns during 2015, including its ‘100% Irish Meat – Awards. As Irish As’, ‘Unbelievable Value’ and ‘Favourite Things’ Aldi received numerous plaudits for its ‘Prime by Aldi’ series of adverts. In March, Aldi reaffirmed its commitment pop-up restaurant at the 2015 Taste of Dublin, which took to the communities its stores serve, announcing a three place in June. Its exhibition at the National Ploughing Championships in September included the National Brown Bread Baking Competition and the Foróige Time Travel Garden with Diarmuid Gavin.
Aldi’s Irish suppliers celebrate at the 2015 Blas na hÉireann Irish Food Awards.
Outstanding Customer Service In September, the outstanding customer service Aldi’s employees deliver day after day was recognised by CEXi, whose 2015 report named Aldi as the top retailer in Ireland for customer experience. Aldi’s success is built on the work and commitment of its employees, who are Aldi’s most important resource. 2015 was another landmark year for Aldi’s store opening programme, with nine new stores opening across the country. In October, Aldi announced plans to further invest in its store network, adding seven new stores in counties Cork, Dublin, Kildare and Westmeath, and recruiting and training over 400 staff. Aldi is committed to delivering the best value, prices and quality to all its customers.
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Retail Group Review
Lidl Breaks New Ground
The opening of its first new concept store in Ireland and its commitment to introduce the living wage for staff were highlights of an exceptional 2015 for Lidl. 2015 has been a year of firsts for Lidl, including the opening of the first new concept store in the country in Gorey, Co. Wexford, as well as being the first large nationwide retailer to introduce the living wage for staff. The opening in Gorey, which was the result of five and a half months of construction, represented a multi-million euro investment into the locality by the retailer. The state-of-the-art building, which measures nearly 30,000 square feet and stands at eight metres high, is the largest Lidl store in Ireland and the first of its kind to be built in the country. Boasting a brand new architectural design and spacious layout, incorporating a bigger warehouse, wider aisles, as well as improved staff and customer facilities, the state-of-the-art building represents the future of Lidl stores in Ireland. The innovative lean orientated design also features high spec operational facilities to maximise efficiency and streamline processes, which will allow staff to spend more time in a customer facing role, further improving the customer shopping experience. The new store will also ensure a greater focus on energy efficiency with a reduction of around 40-50% on standard electricity costs via features like a Smart lighting system and an energy efficient heating system.
Lidl’s new concept store in Gorey, which measures nearly 30,000 square feet and stands at eight metres high, is the largest Lidl store in Ireland.
won an All Ireland Marketing Award for Best Market Research. The charity partnership with Barretstown also was named ‘Best Corporate Charity Partnership’ at the Fundraising Ireland Awards. For products, Lidl Ireland has won 157 awards to date this year, ranging from Best Nappy Range to Gold for Western Gold Bourbon Whisky and Gold for Inisvale Selection Irish Hereford Fillet Steaks. Lidl also welcomed three new appointments to its Board of Directors, with John Paul Scally being named Managing Director in September 2015. He was joined by Matthew Heslop, Director of Operations, and Liam Casey, Commercial Director, on the board. A Lidl History Lidl was founded as a wholesaler in Germany in the 1930s. The company bought the rights to the Lidl name from a retired teacher, Ludwig Lidl. The first Lidl store was opened near Ludwigshafen, Germany, in 1973. The 1980s saw the Lidl discount concept grow nationally in Germany and then internationally in the 1990s. Today, Lidl is a privately owned recognised leader in European retail with more than 10,000 stores in 26 countries. More than 120 Regional Distribution Centres operate these stores. In Ireland, Lidl has four Regional Distribution Centres and over 4,700 employees.
Paul Martin and Cathy Behan from Lidl’s HR team take the top award at the Irish Institute of Training and Development Awards.
Product and Industry Awards Lidl has won a number of awards this year both for products and industry. Lidl’s Communications Department won ‘In House Team of the Year’ at the 2015 Social Media Awards, while the HR team scooped the top award at the Irish Institute of Training and Development Awards, in addition to taking the award in two individual categories: Best Graduate Programme and Best Learning & Development in a Large Organisation. Lidl was named ‘Best Workout Wear’ at the U Magazine High Street Style Awards, ‘Retail Recycling Champions’ at the PakMan Repak Awards and
Lidl’s new state-of-the-art Gorey store includes wider aisle and represents the future of Lidl stores in Ireland.
60|Retail News|December 2015|www.retailnews.ie
Music Use In-Store
Striking the Right Note with Customers If you play music in your store via radio, TV etc, you need a Dual Music Licence from IMRO, according to Brendan Griffin, Director of Licensing, IMRO. ON January 1, 2016, it will be possible to obtain from IMRO both an IMRO and a PPI licence to use copyright musical works and sound recordings in one Dual Licence Contract. To date, both licences could only be obtained separately but that all changes on January 1, 2016. If you are playing recorded music in your Brendan Griffin, Director of Licensing, IMRO. store, you need to obtain a Dual Music Licence from IMRO (Irish Music Rights Organisation) to do so. Just like any other input into your business, the use of musical compositions and sound recordings has to be paid for. When you use copyright music and sound recordings in your business, you must first obtain permission from the copyright owners to do so. You do this by obtaining and paying for a Dual Music Licence. “It is a legal requirement,” explains Brendan Griffin, Director of Licensing, IMRO. “If you perform copyrighted music and sound recordings in public, and that musical work and sound recording is within IMRO’s and PPI’s repertoire respectively, you need a Dual Music Licence from IMRO to perform that music.” IMRO exists to help businesses and community groups to legally access the worldwide repertoire of music and, via its agency agreement with PPI, original sound recordings in a cost effective and efficient manner, while making sure that songwriters, composers, music publishers, record producers and performers are rightly rewarded for the public use of their music.
A Dual Music Licence gives you access to a vast repertoire of music that you can use to transform and add value to your business. Music has the power to relax, enhance and entice. Consumers and employees enjoy better experiences when they’re surrounded by music. Ultimately the objective is to attract customers into your shop and enhance the chance of them making a purchase. Reducing the Administrative Burden Currently under copyright legislation, businesses in Ireland that play recorded copyright music are obliged to obtain two separate licences covering different copyrights; • one which covers the public performance of the musical work on behalf of composers, songwriters and music publishers; and • the other which covers the public performance of sound recordings on behalf of record producers and performers. To date. these licenses have been administered separately by
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Music Use In-Store The Power of Song • • • • • • • IMRO and Phonographic Performance Ireland (PPI). From January 1, 2016, one Dual Music Licence covering both of these copyrights will be administered by IMRO, providing a quick and efficient way for a business to get the permission it needs to play music in public. Music Adds Value “If you want to use music in your business, you are using it for a reason: that reason is because it adds value to your business,” Brendan notes. “It hopefully will help you to obtain customers and as importantly, retain them. It is just like any other aspect of your store, from the façade at the front, the ambience inside or the product offering on the shelf: all are geared towards bringing customers through the doors to purchase your products or services and hopefully retaining them as customers. Music can help you to do that and a Dual Music Licence from IMRO ensures that you get access to the best repertoire in the world, from the very best songwriters, composers and performers, 365 days a year.” Administration wise, 2016 will be a transition year from the current separate IMRO and PPI licences to the Dual Music Licence. However, IMRO staff will be on hand to help guide all licensees through the process so that from 2017 onwards, a business receives only one music licence invoice each year. So how much does it cost? The licence fee for retail premises varies, depending on the size of the store. Brendan explains, “For a store that is 100 square metres, the total Dual Music Licence fee is €304.45 for the second year of the licence onwards, which is less than €1 per day: the first year IMRO element of the fee is 50% higher. As the store size increases, so does the fee. For a store that is 500 square metres, the cost is €715.46 per annum in the second year, and a 1,000 square metre store would expect to pay €1,110.53. All prices quoted exclude VAT. All the money collected goes to the songwriters, composers music publishers, record producers and performers, once IMRO and PPI have deducted their respective administration costs. “The way IMRO and PPI do that is by using logs from radio stations, who are required to tell us all the music they play, alongside the charts, which let us know what music is popular in a particular year,” Brendan notes. “We use these criteria to determine which copyright owners get the money.” IMRO also regularly run songwriting workshops at their offices and encourage and foster up-and-coming songwriters and artists to perform in venues throughout Ireland. Some retailers will argue that if they are playing their
90% of people would select a shop that was playing music over one that was not. 60% of customers agree they would spend more time in a shop if they hear music they like. 55% would be more likely to return to a store that plays music they like. 23% would be prepared to pay 5% more for goods if music was being played while they shopped. 84% of shoppers like shops that play in-store music. 63% agree that playing music encourages customers to spend longer in-store. 79% say music helps create a better atmosphere for customers.
(Source: www.musicworksforyou.com) own CDs, which they bought, they should not have to pay a licence fee. This, however, is not the case. “If you are performing recorded music in public, which is anywhere outside the home, the owners of that song are entitled to be recognised and recompensed for their creative endeavours,” Brendan notes. “If you look at the small print on a CD, for example, you will see that the CD is sold for use in a private or domestic setting and not for public performance.” The Fee Structure Given the straitened nature of our economy and the pressures on businesses, particularly those in the retail sector, who have seen margins squeezed relentlessly, many retailers argue that there are too many licences needed to operate in Ireland and that the cost of these licences is disproportionately high. Have IMRO looked at their fee structure, given the difficult trading environment? “All our fees are linked to inflation,” Brendan says, “so when we had deflation a few years back, our fees fell. Indeed our prices for 2016 will be marginally down on 2015, as Ireland has experienced deflation in 2015.” If a business approaches IMRO to avail of a Dual Music Licence in advance of using music in their premises, they can avail of discount on their first year IMRO licence fee. In addition, assuming a business has not up to now availed of a direct debit discount from IMRO, if a business signs up to a Dual Music Licence and commits to paying their annual licence fee via Direct Debit, they can obtain a further one-off 5% discount on both the IMRO and PPI royalties due. Full details on this 5% Dual Licence Discount are available at www.imro.ie/duallicence. The Director of Licensing concludes by stressing the value of music to a store owner: “Music can help to retain customers in a store for longer, so they are browsing for longer and thus, it increases potential sales. There is no doubt that music brings value to the owner of the premises. If it brings value, there is a value to it, and that is why we represent the owners of that music in a fair, transparent and reasonably priced manner. Have a look at the voxpops on our website at www.imro.ie and hear how some of our customers use music to help them drive their business.” If you have any query regarding your need to hold a Dual Music Licence, please contact the IMRO Licensing Department at 1800 661 030, email duallicence@imro.ie or visit the FAQs at www.imro.ie/duallicence.
62|Retail News|December 2015|www.retailnews.ie
Forecourt Focus: News Maxol’s Cork Retailers Raise over €2,000 for Make-A-Wish
THE Maxol staff and customers in Clonakilty and Carrigaline raised more than €2,000 for Maxol’s sponsored charity, the MakeA-Wish Foundation. Both staff and customers helped make a difference by collecting generous donations in the forecourt and selling tickets to be in for a chance to win a hamper bursting with goodies. In addition, all sales made on Maxol’s coffee were added to the Make-A-Wish collection pot and a ‘€5 carwash day’ topped it all off, where all donations went to Make-A-Wish. “I want to thank each and every person who generously gave up their time and kindly donated to the Make-A-Wish Foundation,” said Shane Cantillon, licensee at Maxol Clonakilty and Carrigaline. “Throughout the course of these events, I felt a great sense of community spirit. These amazing results wouldn’t have been possible without our brilliant Maxol staff and loyal customers”.
Maxol Regional Manager Eddie Devine and local licensee of Maxol Clonakilty & Carrigaline, Shane Cantillon are pictured with Maxol staff, Marjorie O’Donovan, Jane Hromek, Natalia Makowska, Ruth O’Regan and Kris Strot, with a cheque representing Maxol’s staff and customer achievement of raising over €2,000 for the Make-A-Wish-Foundation.
Topaz Visit to Lubrizol
TOPAZ recently brought a number of its customers to the chemical facility in the UK where its unique fuel additive was developed. A total of 15 customers made the trip to Lubrizol’s Hazelwood plant, which is located about an hour’s drive from Birmingham. Hazelwood is the largest additive company facility in Europe and is a key R&D facility within the Lubrizol Corporation, which is owned by Warren Buffet’s Berkshire Hathaway group. Topaz Commercial Director, Liam Mulcahy said they received an in-depth explanation of the science behind the additive during the day-long visit. “One of the additive’s key qualities is its ability to clean engines by removing carbon deposits from building up on the fuel injection system. This leads to an improvement in fuel economy of between 3 to 6%, as well as reduced emissions. Lubrizol is a world leader in this area and just like Topaz, everyone in the company is passionate about what they do,” Mulcahy said.
Pictured during the visit to the labs at Lubrizol’s Hazelwood plant are Paul Toner, J Toner & Sons; Paul Stevenson, Senior Research Chemist, Lubrizol Hazelwood; Eoin Gavin, Eoin Gavin Transport; Derek Campbell, Campbell Bulk; Jason Sawyer, Sawyer Transport; and Topaz Commercial Director, Liam Mulcahy.
Moreish launches Children’s Healthy Cookery Workshops
Charlie Ennis, pictured at the Moreish Children’s Healthy Cookery Workshop in Maxol Ardcavan.
MOREISH, the Maxol fresh food brand, has commenced a series of children’s healthy cookery workshops at its café outlets across the country to teach children key cookery skills and to encourage children to look at healthier options when it comes to choosing ingredients. The children enjoy a practical workshop, each with their own workstation, and are taught numerous techniques, including measuring, weighing and cooking on the hob, while following recipes for healthy flapjacks and summer berry smoothies. The workshops are held in conjunction with Kater4Kidz, which specialises in educating children about healthy eating and food skills.
Always FRESH MILK
and the SAME BEANS as our coffee shops
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Forecourt Focus: News MACE is Named as the Number One Forecourt Convenience Retailer in Ireland
MACE is now the most dominant brand on Irish forecourts, with nearly 160 sites across the country, retailers were told at the MACE Retailer Convention in Killarney. Plans for the brand over coming years were revealed to more than 200 attendees from around the country. As part of the push towards offering consumers more healthy food choices, MACE hopes to gain traction in this category with the launch of its new MACE Right Options range. The initiative will cover everything from deli and meal options to snacking and grocery items. Right Options has been trialled in several stores around the country, with a view to roll-out in 2016. As part of this new focus, the brand’s Fresh Choice house brand is also being extended across 30 lines including fruit & veg, prepared salads and cut fruit, and wholefoods. Technology will also be a big focus for MACE in the year ahead and was identified as a key enabler for continued growth. The development of new consumer mobile apps is already in train and there will be a major emphasis on integration of back-office systems to derive greater benefit from data for business intelligence purposes. Addressing retailers, Group CEO, BWG Group, Leo Crawford said, “In a sluggish grocery market, MACE has bucked the trend, performing well in terms of increasing brand awareness, market share, store numbers and retail sales per square metre. The Irish economy is turning a corner and consumer spend will start to gain momentum in 2016, which means there is a great opportunity for MACE to grow. The dominance of the MACE brand on Irish forecourts outstrips all of the competition and we want to continue to cement our leadership position here, particularly through our exclusive partnership with Maxol.” MACE has 157 forecourt sites, including 55 which are operated through an exclusive partnership with Maxol. Customer service is a key pillar of the MACE positioning
Pictured are (l-r): MD of BWG Foods, Willie O’Byrne; dietician & TV presenter, Aoife Hearne; Group CEO, BWG Group, Leo Crawford; and Sales Director of MACE, Alex Banahan.
and the brand will be expanding on its Going the Extra Smile campaign by creating a new Customer Service Champion programme, supported by new marketing investments in 2016. As part of other details revealed, the MACE coffee offer is being expanded with the addition of Seattle’s Best Coffee and Insomnia options now available to retailers, alongside the existing Bewleys Eco Grounds. A new barista service will be launched in high volume sites. The bi-annual MACE Convention included business strategy updates from the group’s management, as well as high profile speakers from the sporting and media worlds. Chaired by radio host Anton Savage, retailers heard from Operation Transformation dietician Aoife Hearne, international retail expert Ken Hughes, IBEC CEO Danny McCoy and former rugby star Shane Horgan. MACE retailers were also treated to a special performance from Imelda May at the Winter Wonderland themed Gala dinner.
Maxol Dublin TLC Winner Named
MAXOL has announced its Dublin winner in the company’s Customer Feedback programme. Maxol Regional Manager, Mark Walsh is pictured presenting Tracey Hennessey with€100 in fuel vouchers, alongside licensee Tony Harnett. Tracey participated in the Maxol customer feedback
programme at Maxol Station Sandyford Dundrum. The customer feedback programme is just one part of Maxol’s TLC awards, which awards retailers for their high standards and excellent customer service.
To find out what Costa Express can offer you contact: ROI tel: 021 500 3526 NI tel: 02892 689204
64|Retail News|December 2015|www.retailnews.ie
On The Vine
Educate Or Die If Ireland’s wine trade is to grow again, it must invest in educating consumers about the benefits of spending a little more on their bottle of wine, writes Jean Smullen.
ANECDOTALLY, it would appear that during 2015, sales of wine in Ireland started to improve a little, with evidence of trading up featuring mostly in the on trade. Autumn 2015 saw a substantial increase in trade and consumer promotional activity specifically aimed at trading up the key trade customer and the consumer by educating them about what they are drinking and what is available. The diary was full of generic events and importer generated promotions. Rhone Wine Week (November 2-8) was enormously successful, with many nationwide events attracting good support. Sherry wine week (also November 2-8), though less visible, also had an impact. The regions of Rueda and Ribera del Duero organised Spain Uncorked, an event which focussed on the on trade consumer. A number of smaller specialist importers grouped together for SPIT, a consumer wine show in Dublin and many importers and retailers organised consumer focused events to highlight their wine range. The reason for all this activity is simple: unless the trade gets more pro-active in terms of promotion and education to encourage the consumer to spend a little more on their bottle of wine, the wine trade will not survive. Crippling Excise Duties The reality is there has been a 62% increase in excise since 2012, which has had a hugely detrimental effect on the cash flow of wine distributors and importers. The total excise payable to revenue is now â‚Ź14,640 higher per 1,000 cases of wine than it was in 2012. Tax take on a standard bottle of wine is now over 50% and Irish wine excise is the highest in the EU.
Indeed, excise on wine is now 106 times higher in Ireland than in France. Another obvious challenge to wine sales is the explosion of craft beer. Many of the smaller retailers have decreased their shelf space for wine and replaced it with a larger range of Irish craft beers, which is also going to impact on sales. In the retail sector, it is still all about price: discounted wine sells, and once it goes off promotion, it does not. As each brand enters a
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On The Vine Wine producers love to emphasise the fact that their winery is generational; they come to Ireland and tell us they are the seventh generation of their family to make wine. However, it never seems to strike anyone that the customer is generational too. There is now a whole generation of emerging wine customers who think that wine is Pinot Grigio and it costs €10 a bottle, when they are not buying four bottles of craft beer on offer for the same price. The wine industry in Ireland now has to focus on educating their customers about wine. The wheel has turned full circle. Today, more than ever, it is imperative that this includes a very strong focus on the responsible use of alcohol. Selling wine involves education, with a focus on matching wine with food, as well as educating about the different styles and showcasing the reality that a decent bottle of wine costs upwards of €14.
promotional cycle, the consumer switches to the wine on offer. Brand loyalty is a thing of the past. Fighting Back So how does the wine trade fight back? Promotion and education: it’s as simple as that. 30 years ago, the industry set up the Wine Development Board with a brief to increase consumption of wine through promotion and education. The Wine Board was closed down in 2009 and since then, the gap has been filled by small budgets from the generic bodies and promotional activity aimed at the consumer, instigated by key brands and their marketing teams.
2016 Events That said, the wheels are set in motion for 2016. Already a number of generic events are planned for the new year, kicking off with the New Zealand Wine Fair on Thursday, January 21, in the Hilton Hotel in Charlemont Place, Dublin 2. This is followed by Wine Australia’s Annual Trade Tasting in the Royal Hibernian Academy (RHA), in Ely Place, Dublin 2 on Wednesday January 27. The Austrian Wine Fair will take place on Wednesday, February 10, with the Wines of California Wine Fair following in the Merrion Hotel on Monday, February 29, followed by the French Wine Fair on Wednesday, March 9 in Dublin. Already a number of key importers are planning their portfolio tastings for Spring 2016. Santa Rita will be hosting a trade dinner in the Vaults in Christchurch for key customers and press on Friday, February12. The number one selling wine brand in Ireland has been to the fore in terms of their promotional activity in recent years and it shows! However, other Chilean brands are starting to up the game as well. Concha Y Toro have just appointed Annmarie Nagle as their new Country Manager for Ireland. Expect to see more activity from them and their distributor, Richmond Marketing. Meanwhile, Tindal Wine Merchants host their portfolio tasting in Dublin’s Marker Hotel on Tuesday, February 23. The emphasis now for the Irish wine trade is to go back to grow for the future. We must educate, promote and upsell. This is vital for the industry’s survival. A stronger lobby about the high rate of tax on wine must also continue to be a focus. We must educate, promote and keep wine visible and relevant: if we do not, there will be no Irish wine industry within a decade.
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Shelf Life
LIDL and An Post have been announced as title sponsors of Christmas FM, the hugely popular charity radio station which raises hundreds of thousands of euro for deserving organisations every year. This year, Christmas FM will be raising awareness and funds for MakeA-Wish Ireland, the charity which grants wishes to children with life threatening medical conditions. Pictured at the launch of Christmas FM in Dublin’s Ballsbridge Hotel are Joanne Ferris, Marketing Communications Manager at An Post; Fergal Ryan, Manager of the Ballsbridge Hotel; Garvan Rigby, Co-founder of Christmas FM; and Claire Moran, Senior Communications Manager at Lidl. DIAGEO and Gorta Self Help Africa have announced a new partnership that aims to boost the incomes of smallholder farming communities in Ethiopia. The new agreement will see Gorta-Self Help Africa connecting small-scale barley farmers with the brewing company as part of an economic development project that is being backed by the Irish Government. Under the plan, barley seed will be produced by the Gorta-Self Help Africa supported farmers, who will make improved seed available to many more Ethiopian farmers in years to come. Diageo, through its local subsidiary brewery Meta, is supporting the partnership by providing these farmers with training, fertilizer, crop insurance and improved barley seed. Pictured are Shewangiza Andarge, Dejene Melka and Getachew Miko, cereal growers in Dirma village, Ethiopia, who will benefit from the partnership. THE Irish Independent, in association with the Croke Park Hotel, hosted its 27th annual Sportstar Awards on December 16. Since November, readers of the Irish Independent have been voting for their Sportstar of the Year and Young Sportstar of the Year, while Kevin Moran will be inducted into the hall of fame on the night. Pictured is last year’s winner, Katie Taylor, with Stephen Rae, Editor of the Irish Independent and Alan Smullen, General Manager, Croke Park Hotel. SOME shoppers at Tesco over the festive season got more than they bargained for when the retailer’s self-checkouts performed their best Santa impressions. The voice at the self-checkouts says ‘Ho ho ho: Merry Christmas’ to customers passing through, which provided for as much puzzlement as merriment while shoppers figured out where the voice came from.
THE call is out for teams from across Ireland to splash and make cash for next year’s McVitie’s Jaffa Cakes Mud Madness, one of Ireland’s messiest “off-road” challenges, which is holding four events across two days in April next year, after it was revealed that more than €63,000 (£46,000) was raised by the events in 2015 for the charity, Marie Curie. Over the past four years, over €165,000 (£120,000) has been raised by McVitie’s Jaffa Cakes. The twice-yearly event is one of the most popular and talked about adventure experiences, which supports Marie Curie nurses working night and day in people’s homes, offering vital emotional support and specialist round-the-clock care. Children aged six to 11 years old can enter the McVitie’s Jaffa Cakes Mini Mud Madness on Saturday April 16 at 5pm, with a second event for 12-16 year olds taking place at 5.45pm. For participants over 16, there are two events on Sunday, April 17 at 11am and 2pm, with all four challenges guaranteed to generate loads of muck and mayhem for the hundreds of participants expected to enter, which involves walking, running, falling, wading and diving through obstacles with varying degrees of mud-soaked fun at Foymore Lodge, Portadown, Co. Armagh. WICKLOW Wolf Brewing Company have released a new coffee brown ale. When master brewers with a love for innovative, hand crafted beer collaborate with master roasters with a passion for fresh, hand roasted coffee, they produce A Beer called Rwanda. For their latest special, Wicklow Wolf Brewing Company teamed up with the original Irish hand roasters, Java Republic, to produce a roast coffee brown ale using a lightly roasted Rwandan bean in the brewing process. To create this limited edition beer, the ground coffee beans are steeped in the fermenter until the flavour reaches the desired intensity. The result is smooth blend of malted barley, wheat and hops with a deep caramel and cocoa finish. A Beer Called Rwanda, 5.1% ABV, is available in leading independent off-licences nationwide. MOREISH, Maxol’s new fresh food brand, has commenced a series of children’s healthy cookery workshops at its café outlets across the country. The workshops are held in conjunction with Kater4Kidz, which specialises in educating children about healthy eating and food skills. Enjoying the second workshop that took place at Maxol Portarlington recently were sisters Amy and Ava O’Connell. DECEMBER 2, 2015, marked 15 years since the Guinness Storehouse first opened its doors to the public. Housed in the heart of St James’ Gate, Dublin, the €42m redevelopment of the 113-year-old former fermentation plant is the result of an ambitious plan to build a brand new ‘Home of Guinness’. The Guinness Storehouse proudly welcomed 650,000 visitors in its first year; 15 years later it has welcomed over 14m visitors from 25 countries all over the world and is now acknowledged as an iconic brand in its own right, having been named ‘Europe’s Leading Tourist Attraction’ in the World Travel Awards in September 2015. “When we first opened, our target was to welcome one million visitors. I saw that as very far off in the distance and stretching things to say the least,” recalls Managing Director of Guinness Storehouse, Paul Carty, who has headed up the Guinness Storehouse from day one. “Fast forward 15 years and we are on track to welcome a record 1.4 m visitors this year, totalling over 14m since opening.”
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