Retail News JanFeb 2008 by Retail News

January/February 2008

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RN January/February08Contents ●

■ inside view Cut-Price Booze: The Debate Continues A new Government-appointed advisory group will focus attention on off-sales in the coming months in what has been termed an attempt to tackle the public order aspects of alcohol abuse. Established by Minister for Justice, Brian Lenihan TD, the advisory group invited submissions from interested parties, and is liable to include concerns such as alcohol sales, below-unit cost selling, and special price promotions. Minister Lenihan has stated that he intends to propose changes to alcohol legislation after Easter, with a view to enacting the legislation before the summer. See the full report in our News section (Page 4), which also points out that the off trade now accounts for the majority of alcohol sales in Ireland (Page 6). Also this issue, retail consultant Karen Meenan investigates the big changes to the newsagency, both with the merger of Eason and Menzies and the fact that all titles from Independent Newspapers, including the Irish Independent, are now being distributed by Newspread Ltd (Page 20). Karen focuses on what these moves mean to the day-to-day running of your business and, importantly, your bottom line. Elsewhere, renowned motoring journalist Padraic Deane provides our annual RETAIL NEWS Commercial Transport Supplement, reporting on the latest developments in commercial vans, light commercial vehicles, SUVs and carderived vans (Page 45-57); we focus on the continued growth in popularity of Fairtrade products (Page 58) and Barrister at Law Cormac O Neill advises on the legal requirements of employing young people in your store (Page 76).

Velvet’s On-Pack Panda Promotion

“Celebrating 50 years serving the Kathleen Belton, Editorial & Marketing Director.

Irish grocery trade.”

Managing Director: Fergus Farrell Editorial & Marketing Director: Kathleen Belton, email: kathleenbelton@tarapublishingco.com Editor: John Walshe

johnwalshe@tarapublishingco.com

Chief News Reporter: Pavel Barter

Wine Correspondent: Jean Smullen

Financial Correspondent: Carmel Linnane

Advertising Manager: Aaron Stewart

Advertising Executive: Caoimhe St. John, Rory O’Connor.

T A R A Published by: Tara Publishing Co. Ltd., Poolbeg House, 1/2 Poolbeg Street, Dublin 2.

VELVET, the popular family toilet tissue brand manufactured by SCA, is launching a new on-pack promotion to support Velvet’s ongoing partnership with WWF, the global conservation organisation. From February to April 2008, a special limited edition of Triple and Quilted Velvet packs will be undergoing a temporary packaging makeover to reflect the ‘Give Baby Panda a Home’ promotion. Each pack will be offering a free panda plush toy made by Keel, in return for tokens from the packs. Consumers need to collect 3 tokens to send to Velvet along with a €3 cheque or postal order which will go directly to WWF. There is one token on 4-roll packs, increasing to three on 18-roll packs. Each panda plush comes with a unique secret code that will allow the owner access to a secret kids’ area on the Velvet site (www.velvetbabymd.ie), where owners can print out a birth certificate for their panda toy and enjoy games, facts and other exclusive activities.

Tel: (01) 2413095. Fax: (01) 2413010. ISDN: 01 2413050 Web: www.retailnews.ie Email: retailnews@tarapublishingco.com Subscription to Retail News: €110 plus VAT Email: simone@tarapublishingco.com Origination by: Rooney Media Graphics

Printed by: Future Print

The promotion is part of an ongoing PR and Marketing campaign to support Velvet’s partnership with WWF.

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RN January/February08Contents ●

Contents January/February 2008

45 News 4 Alcohol Advisory Group to Focus on Off Sales.

nalist Padraic Deane provides the annual RETAIL NEWS special supplement on commercial transport vehicles.

5 JLC Wage Rates Increase; Seafood Sales Soaring.

6 Retailers Fined for Misleading Price Labelling; Off Trade Overtakes Pub Sales; Musgrave Sells Budgens Stores.

7 Eason/Menzies Merger Makes Headlines; Food Inflation a Myth – ICMSA.

Karen Meenan’s Top Tips 20 With big changes taking place at both main newspaper/magazine distributors, retail consultant Karen Meenan cuts through the jargon and advises on what it means for your business.

8 Newspaper Distribution Stops The Traffic; Jacob’s Tallaght Plant to Cease Production.

The Retail News Interview 26 Sipahh is all set to

10 EU Commission To Overhaul Food Labelling Regulations; Retailers Refused Planning Permission.

change the way people consume milk. RETAIL NEWS talks to Strawtech’s Andrew Robinson, who has introduced this milk flavouring innovation to the Irish market.

Shop Profile 16 December 2007 saw Paul Lynch opening a brand new XL Stop & Shop in the town of Old Leighlin, Co. Carlow, where his family have served the shopping needs of the community for over 80 years.

Commercial Transport 45Top Irish motoring jour-

Londis Advertising Campaign 40 RETAIL NEWS talks to Ruth Norton, ADM Londis Marketing Manager, about the reasoning behind Londis’ new €2m advertising campaign.

Fairtrade Fortnight 58 With Fairtrade

Legal Requirements 76 Barrister at Law

Fortnight 2008 taking place from February 25 to March 9, we look at the rising popularity of Fairtrade products in Ireland.

Cormac O Neill advises on the particular legal requirements placed on retailers when it comes to employing young people.

On The Vine 66 Jean Smullen focuses on the winners at the Diageo/National Off Licence Association Awards 2008.

Money Matters 72 Carmel Linnane looks

Shelf Life 80 All the latest news and gossip from the trade.

Regulars 12 Industry News

at the most crucial decision to be made when starting up a business, finding the right premises.

18 Drinks News

Forecourt Focus 74 Scooping the Best Mace

Sectoral Reports

in Group Platinum Award 2007 was the culmination of a fantastic year for Joe Mannion’s Mace forecourt in Tuam, Co. Galway.

78 Update 79 What’s New

28 Healthy Options 42 Easter 60 Pasta & Sauce 63 By the Bottle 68 Cheese 3

RN January/February08News ●

Alcohol Advisory Group to A NEW advisory group will focus attention on off-sales in an attempt to tackle the public order aspects of alcohol abuse. A representative of the National Off licence Association (NOffLA) has told RETAIL NEWS that off licensees welcome the establishment of the group, which has invited submissions from various parties. The advisory group was established by Minister for Justice, Brian Lenihan TD, in light of recently published figures that reveal a 17% increase in alcohol consumption over the past 10 years and a 35% increase in the number of off licences from 2003 to 2005. The group is to report back to the Minister by March 31, 2008, having addressed concerns such as the alcohol sales, belowunit cost selling, and special promotions in supermarkets, convenience stores and petrol stations. “Overall, the goal is to reduce the public order aspects of drinking,” James Kenny, spokesperson for the Department of Justice, Equality and Law Reform, told RETAIL NEWS. Minister Lenihan noted: “I am determined to tackle, as a matter of urgency, the public order aspects of the sale and consumption of alcohol… I intend to bring forward, after Easter, urgent proposals for changes in the law with a view to enacting new legislation before the summer. I hope to frame my proposals in a manner that will attract bipartisan support.” As part of their submission to the group, NOffLA are looking for various laws to be tightened and new measures

Minister for Justice, Brian Lenihan TD. 4

introduced. “Our submission concentrates on four key areas: availability, responsibility, sales of alcohol, and sanctions and penalties,” said Richard Barry, a NOffLA spokesperson, who owns an off licence in Rathfarnham, Dublin. “We are looking the introduction of a mandatory ID card. We also want mixed environments to segregate their off licence section into a separate area with specialist off licence staff. They shouldn’t be able to licence their whole premises.” Is there a concern that the group might lump in off licences with supermarkets? “I think that is the nature of the beast, because we all trade under the same license,” Barry said. “But a lot of the measures that this advisory group will look at – and a lot of the focus of other submissions – are concentrating on the likes of supermarkets, petrol stations and convenience stores. Any law or recommendations that come out of this will primarily get mixed environments to trade responsibly, looking at the way that they merchandise and promote their products.”

not be excluded on a series of unfounded and unfair suggestions.” “We do not accept that the increase in premises within the convenience or forecourt sector that are full off licences is responsible for an increase in antisocial behaviour,” Vincent Jennings, CEO of the CSNA, argued, “in a disproportionate ratio to the other established licenced or registered premises, namely the public house, nightclub or sporting club.” Jennings argued that to suggest that forecourt stores are different to stand-alone off licences because they also retail fuel “is a misunderstanding of the fundamental and radical changes that have occurred over the past number of years by these vital components to local convenience.” “By what logic can the Group impose sanctions against the local petrol station with a licenced convenience store attached, and not have the same sanctions imposed on public houses with car parks, hotels with valeting services or on-street off licences that can be accessed by a motor vehicle?” Jennings asked.

CSNA Submission

Loss Leader

In its submission to the Government Advisory Board, the Convenience Stores and Newsagents Association (CSNA) stated, “We are confident that we already operate our stores within the requirement of the law, and should

One of the main focuses of this governmental move is likely to be on alcohol as a loss leader. It is evidence, perhaps, of a consequence of the removal of the ban on below cost selling. “Since the abolition of the Groceries Order, we

RN January/February08News ●

Focus on Off Sales

Richard Barry, NOffLA spokesperson.

have been making a lot of representations to the government on a number of issues,” said NOffLA’s Richard Barry. “We want to make it harder for supermarkets to open without having any regard for what they are selling. The removal of the ban on below cost selling completely opened up the door. We want mixed stores to only advertise alcohol in the area that is licensed. In theory, the Government are struggling to come up with a solution to bring back the ban on below cost selling.” The representative body for the drinks industry in Ireland, DIGI, went on the defensive in response to the Department of Justice proposals. Its key points illustrated how the industry “has long supported efforts to tackle the problem” of alcohol misuse, and that “trends in respect of alcohol consumption in Ireland are frequently misunderstood and misreported”. Their submission also had a ‘told you so’ attitude, claiming “the drinks industry had previously lobbied the Government against making alcohol as widely available in shops and off licenses as earlier policies did. But that advice was not heeded.”

Minimum Age Minister Lenihan has indicated that he would be willing to raise the minimum age for the purchase of alcohol in off licences to 21. Richard Barry said that NOffLA would “object strongly” to this move. Besides, he added, it would almost impossible to implement. “I don’t think you could have a system where you have different ages in dif-

ferent categories – if you were to have two different ages, you could legally drink inside a pub, but if you wanted to get a couple of cans on the way home, you couldn’t. Also, you are penalising a lot of people that perhaps can’t afford to go out to a pub or who choose to drink at home.” How about, then, a blanket minimum age of 21 in both pubs and off licenses, as is law in many parts of the US? “This would be out of step with Europe, where they want to set the age at 18,” Barry noted. “Besides, the States have inherent problems from having a minimum age of 21. If anything, that would drive alcohol consumption underground. People would be inclined to get drink from other sources. We would, however, be open to the idea of each shop individually setting a minimum age on products. For example, if the Gardaí came to a shop and said there’s a huge problem with a cheap beer, shops could individually target those products.” Dr Gordon Holmes, former chairman of the Commission on Liquor Licensing, chairs the advisory group, which holds its first meeting in February 2008. Other members include: Chief Superintendent John Twomey, the representative for An Garda Síochána; Robbie Breen from the Department of Health & Children; Seamus Carroll from the Department of Justice, Equality and Law Reform; Dr Declan Bedford, Specialist in Public Health at the HSE; and Professor Ian O’Donnell, Criminologist at University College Dublin.

JLC Wage Rates Increase WAGE rates in the grocery sector have increased, with effect from January 25, 2008. General Sales Assistants, Clerical Workers and General Ancillary Workers under the age of 18 should now earn €6.24 per hour, or €243.36 per week, while job entrants (in their first year after the date of their first employment over the age of 18) should earn €7.13 per hour (€278.07 per week). The rate for experienced adult workers has risen to €8.91 per hour, €9.00 per hour and €9.19 per hour for Point 1, Point 2 and Point 3 workers respectively, while workers in a Post of Responsibility should now earn €9.88 per hour. This increase was ordered by the Joint Labour Committee (JLC), with further increases due on July 25, 2008.

Seafood Sales Soaring SEAFOOD sales are swimming in the right direction, after Bord Iascaigh Mhara (BIM), the Irish Sea Fisheries Board, revealed its annual review of the industry. According to BIM, total sales for Irish seafood in 2007 were valued at €803m, an increase of 6% on the €778m value in 2006. “The seafood sector’s performance has been underpinned by good growth in the domestic market,” said BIM Chief Executive Jason Whooley. “The consumer is becoming increasingly aware of the health and well-being benefits of seafood and this is a significant reason for the growth in consumption, particularly in the domestic market, where growth of 6% in 2007 comes on the back of record growth in 2006 of 17%. The challenge now is to not only drive consumption of the most popular products but to also increase consumption of new product offerings.”

RN January/February08News ●

Retailers Fined for Misleading Price Labelling THE issue of misleading price labelling has been called into play once again, as two Dublin-based retail outlets have been fined large sums. At the end of January 2008, Tesco Ireland was fined a total of €1,500 for failing to display the selling price of two items, twin pack tissues and toilet tissues, at the multiple’s Dundrum Town Centre branch. Meanwhile in midJanuary, the owners of a store on Meath Street were convicted for failing to display prices on a range of products, including milk, breakfast cereals, soft drinks, bread, and washing-up liquid. “Under the Product Pricing Regulations of 2002, there is a requirement to show the selling price and the unit price, which is in reference to measurements,” Catherine Lenihen, Assistant Director in the National Consumer Agency (NCA), told RETAIL NEWS. “In these cases, there was a failure to display both the selling and the unit price for a number of items.” According to Lenihen, the process behind retailer prosecutions usually starts with a consumer complaint. The Association writes to the trader, informing them of the complaint, and sends them a questionnaire, asking about their price display procedures. In some cases, especially if the trader has not responded to the questionnaire, the NCA then undertakes an integrity check. The NCA also undertakes random compliance checks on retailers. The two central complaints are a complete absence of price tags and misleading price tags, said Lenihen. “In the case of a failure to display pricing, we can issue a fixed payment

notice of €300, rather than bring the retailer to court. If they fail to pay the fine within 28 days, we are required to prosecute.” Under the new Consumer Protection Act, incorrect price labelling is regarded as a misleading commercial practice. “We take action more stringently in the context of misleading practices,” she said. “If a consumer has four products in the average shopping basket, he or she could be out of pocket a few euro each week. In these cases, we either issue a compliance notice or pursue prosecution.” The NCA routinely find pricing problems with special offers, Lenihen continued. “For example, the customer will pick up a ‘3 for the price of 2’ deal. Then, when they go to the check out, they are charged for the price of three.” Lenihen called for a culture of compliance, in which retailers comply with consumer legislation: “We have liaison arrangements with the retail sector to ensure that they are displaying correct prices. Our objective is to ensure that retailers abide by the legislation without us forcing them to.”

Off Trade Overtakes Pub Sales AFTER a number of years where home drinking came into fashion, offtrade sales have finally overtaken pub sales, according to new figures from Diageo Ireland. The statistics reveal that the off trade sold 52% of 6

all alcohol in 2007, marking a 22% rise since 2001. Reasons have been attributed to the growth in wine culture, the increase in off licence openings, and the introduction of the smoking ban.

Musgrave Sells Budgens Stores MUSGRAVE Group has sold its 125 Budgens outlets in the UK to independent retailers, who will continue to work with the Musgrave Group. The Cork-based Group, valued at €4.6 billion, achieved its goal in selling all the stores by the end of 2007. By selling Budgens stores to independent retailers, the Musgrave Group aims to partner with local entrepreneurial food retailers to meet the unique demands of the communities they serve with a distinctive blend of products and services and increased emphasis on local sourcing. “We have built a network of progressive entrepreneurs working at the heart of local communities with unparalleled knowledge of local needs and regional trends,” said Daniel Quest, Head of Commercial Development, Musgrave Retail Partners GB. “The fact that our retail partners are independent, benefits both the store owners and the communities they live and operate in. Our retail partners are motivated by the fact that they own their stores and because they tend to live and work in the communities they serve, they can be especially responsive to local needs.”

New Traceability System Established A NEW online traceability system has been established, offering retailers a supply chain information exchange from source to shelf. The website collects, stores and reports forward and backward traces, mass balances and quality data within and between supply chains, within and throughout the global food industry, in real time. More information can be found at www.traceassured.com.

RN January/February08News ●

Eason/Menzies Merger Makes Headlines THE joint venture between Eason and Scottish logistics firm John Menzies appears to be resolving newsagent woes of the past. Vincent Jennings, Chief Executive of the Convenience Stores & Newsagents Association (CSNA) told RETAIL NEWS that he is optimistic about the all-Ireland distribution entity, EM News Distribution, which is reported to have gross assets of €10m. “I’m prepared to accept a series of promises that were made at our meetings with Eason and Menzies over a long period of time - including a visit we had to EM’s Belfast warehouse – and so far, so good,” Jennings said. “Although the same people are delivering the service, the system has completely changed. They have spent a considerable amount of money on IT and a new website. Their invoice system is much more transparent and many of the issues that the newsagents have brought up in the past – prices of products not being visible etc. – have been taken on board.” In the past, ‘box outs’ were one of the most contentious areas in magazine and newspaper distribution. Under this practice, a newsagent might receive magazines that could not be sold – either because they were too great in quantity or because the title was unpopular or inappropriate. Newsagents claimed that ‘box outs’ resulted in undue cost and time, as employees were forced to sort, count, and return leftovers at the end of each week. The practice was also

deemed un-environmentally sound. EM News Distribution, however, appears to have taken heed of the CSNA’s complaints. “They inform retailers of product titles and amounts, two days in advance. We can tell them which ones we want, and which ones we don’t. As a result, the retailer is back in control of his business,” Jennings notes. “The solution has always been there; it’s just that Eason were not prepared to impleVincent Jennings, CEO of the CSNA. ment it. This is the way opportunity to sell additional product. Menzies operate in the UK. In much the But that doesn’t mean that every retailsame way, if Cadburys introduced a new er in the country should receive 50 bar – their rep would ask the retailer if copies of Antique Racing Magazine.” he or she could take six boxes. The retailer can say yes or no. It is for the Jennings concluded that time will retailer to choose.” tell whether the new distribution Traditionally, ‘box outs’ emanated channels are ultimately in the best from distributor/publisher deals, whereinterest of newsagents. “In seven by publishers insisted that their entire weeks time, when the first of the catalogue be made available to news monthlies have all gone through, and outlets in the State. Could a newsagent’s the deliveries have gone through as power to choose stock affect the launch per our requests, I will be in a far betof new publications? Jennings doubts it. ter position to give it our blessing. But “OK and Hello had to start at some point at this point in time, we accept fully as a new publication. A foolish person the bone fides of EM to change the diswould exclude themselves from the tribution environment.”

Food Inflation a Myth - ICMSA FOOD inflation is a myth. That is the message from Jackie Cahill, President of the Irish Creamery Milk Suppliers Association (ICMSA). Cahill has claimed that the price of food has in fact fallen by 50% in the last 50 years, while the farmer’s share of the retail price of beef has dropped from 60% in 1983 to 44% in 2007. “In regard to what has been referred

to in recent months as ‘food inflation’,” he said, “this hype is driven, by and large, by multinational food companies, who have seen a short-term fall in their profits as they fail to pass on the commodity price increases to consumers. This process of ‘catch-up’ retail price increases is now happening.” He illustrated his point, using the example of wheat: “All the chat and

talk about the impact of grain prices and the price of a standard loaf is completely wide of the mark. The cost of wheat for a standard loaf is a mere 8 cents of the total price. Thus, we calculate that even if wheat were to permanently increase by 40%, it should add no more than three and a half cents to the price of a standard loaf of bread.” 7

RN January/February08News ●

Newspaper Distribution Stops The Traffic THE practice of distributing free and priced newspapers at Dublin City traffic junctions is under pressure, as the Health and Safety Authority (HSA) and Gardaí have asked publishers to cease. Around 50,000 newspapers are distributed this way. In Ireland’s capital, these consist of Metro, Herald AM, and the Evening Herald. The issue was brought to light by the Irish Road Haulage Association (IRHA), who said the practice was an accident waiting to happen. The Gardaí, meanwhile, have expressed their concern as to the effect on traffic flow. Metro reviewed its proceedings last November, shifting distribution of 20,000 copies to locations where their employee does not have to mingle amidst traffic. Independent News and Media, however, who publish Herald AM and the Evening Herald, say that their distributors are given sufficient “health and safety training”. “Metro have already stopped and Independent [News and Media] are digging in their heels, saying we can meet safety concerns,” Vincent Jennings, Chief Executive of the CSNA told R ETAIL N EWS . “There’s no way you can meet safety concerns when distributing something at a junction. It’s a distraction.”

Jennings added that the practice, which bypasses the retailer, is unfair competitively. “We don’t have a problem with them selling or handing a free paper, but only under the same conditions as somebody who is paying rent and rates. It’s too easy for someone to go through the whole distribution channel without the costs that the retailer has to pay.” He contended that the decision of the HSA and the Gardaí makes sense

Jacob’s Tallaght Plant to Cease Production JOBS are to go at Jacob Fruitfield Food Group, after the company announced its intention to cease production at its biscuit factory in Belgard Road, Tallaght by early 2009. “The existing biscuit manufacturing facility at Belgard Road is extremely uncompetitive with out-dated manufacturing equipment,” said Michael Carey, Chairman of the Group. “It was built in 8

the 1970s and has been operating for many years at just 16% of its full capacity. It simply does not have the cost structure to compete, either when producing our own brands or undertaking contract manufacturing for export. Given the continued escalation of costs in recent years and the intensity of competition, we simply cannot continue to absorb the losses generated by this facility.”

from a safety perspective: it is also good news for retailers from a business perspective. “It clips their wings somewhat,” he said. “The stronger that a free newspaper becomes, from the publisher’s point of view, the paid one becomes less of an attractive notion.”

Musgrave go Mobile MUSGRAVE are reportedly set to launch a new mobile phone service, which would be Ireland’s sixth mobile phone network. The Group is reported to be in advanced negotiations with Vodafone with a view to launching the service, which would avail of Vodafone’s existing network, in a similar manner to the way in which Tesco Ireland’s service utilises O2’s network. It has further been suggested that the mobile offering will be designed by Cork company, Kinsale Mobile, with a portion of every call cost going directly to charity.

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For further details please contact your local Cash & Carry or your Nestlé Sales Representative * 9am - 5pm Monday - Friday, 11.02.08 - 27.06.08

RN January/February08News ●

EU Commission To Overhaul Food Labelling Regulations THE European Commission has agreed on a proposal to make food labels clearer and more relevant to the needs of EU consumers. The new rules mean that key nutritional information will have to be shown clearly on the front of the package. The draft Regulation also extends the rules on display of allergy warnings to food sold in restaurants and catering. Up to now, allergy warnings have been shown only on prepackaged food. Commissioner for Health, Markos Kyprianou, said: “Food labels can have a huge influence on consumers' purchasing decisions. Confusing, overloaded or misleading labels can be more of a hindrance than a help to the consumer. Today's proposal aims to ensure that food labels carry the essential information in a clear and legible way, so that EU citizens are empowered to make balanced dietary choices.” The draft regulations require that the energy, fat, saturated fat, carbohydrates and sugar and salt per 100ml/g per portion are displayed

clearly (in print size of at least 3mm) on the front of the packet. As well as this, the label should show how much of the Recommended Daily Allowance of each category is taken up by the product.

The draft Regulation further proposes that all food containing allergenic substances (such as peanuts, milk, mustard or fish) must be labelled or the presence of the allergen must be clearly indicated in another way. This is one step further than the current allergen labelling requirement, which only covers pre-packed food at the Community level. Under the new rules, unpackaged food and food served by restaurants or catering establishments will also have to indicate the presence of allergens, to better protect those who are susceptible to dangerous allergic reactions. According to the EU Commission, the food industry should also benefit from the proposed new rules, as they set up a clearer, more harmonised legislative framework for food labelling and create a level playing field for all operators. The draft Regulation was drawn up following extensive consultations with consumer organisations, industry and other stakeholders.

Retailers Refused Planning Permission IT is has been a miserable few weeks for two of the biggest retailers in Ireland. Firstly, German discounters Aldi were refused permission to build 175 apartments on the former Premier Dairies site in Finglas, Dublin. This was the third time that the supermarket chain had sought to build on the site: this time, local residents appealed, saying that the proposed apartments would be “totally out of scale” with existing buildings. Residents also raised concerns about increased traffic congestion in the area 10

and the demands the new inhabitants of the proposed apartments would place on an inadequate infrastructure, including drainage, water and social and recreational amenities. This is the third time the German discounter has sought planning permission for the large site at Finglas Road, Dublin 11. Meanwhile, residents in Callow, County Kilkenny, have objected to a move by Tesco, leading to An Bord Pleanála decreeing that the retail giant

cannot build a store in the local area. However, local councillor Tom Maher was quoted in the Kilkenny People as saying that the decision will cost the area numerous potential jobs. “This decision is going to make it very difficult for any other outlet to come to the town in the future. They will have to locate in the centre of the town, according to the Board's recommendations, and there simply isn’t space in the town centre unless you intend to locate the business in the sky,” he said.

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RN January/February08Industry News ●

Corona Supports Down Syndrome Campaign JOCKEY Niall Madden (pictured, centre), who rode ‘Numbersixvalverde’ to win the 2006 Aintree Grand National, launched Down Syndrome Ireland’s ‘Happy Paddy’s Day Shamrock Campaign’ in the Osprey Hotel, Naas, Co. Kildare recently. The campaign, which runs from March 10-28, will enable supporters to buy unique St Patrick’s Day Shamrock Cards in their local pubs. Corona Extra, distributed in Ireland by Barry Fitzwilliam Maxxium, and Paddy Power Bookmakers rowed in behind the 2008 campaign with much needed sponsorship, and their teams will canvass pubs and clubs around the country, enlisting their support for this worthy campaign.

Jameson Surges Ahead THE first six months of the financial year 07/08 proved to be a very encouraging period for Jameson, one of Pernod Ricard’s key international brands. “In addition to an accelerating growth trend in both volume (+16%) and sales value (+23%), this period also saw the launch of the new Premium Jameson Reserve Range to great acclaim,” noted Paul Duffy, Chairman & CEO, Irish Distillers Pernod Ricard (pictured). “On the home market, Irish Distillers Pernod Ricard affirmed its leadership in the spirits and wine sector and performed well in the key Christmas period.” Jameson has teamed up again with The Dublin International Film Festival as title sponsor, investing €1m in the sponsorship and the innovative advertising campaign.

Persil Irish Fashion Awards PERSIL have once again teamed up with celebrated Irish fashion designer Paul Costelloe for the coveted Persil Irish Fashion Awards 2008. Currently in its ninth year, the hotly contested award is a once in a lifetime opportunity for young fashion design students hoping to make their mark in today’s competitive market and, with a first prize of €10,000, is a great boost to their budding fashion careers. The winning outfit will also be manufactured and sold through selected Dunnes Stores nationwide. Pictured at the launch are (l-r): Dermot Colgan, Head of Design, Dunnes Stores; designer Paul Costelloe; Miranda Lyons, Dunnes Stores; and Dermot Walsh, Marketing Manager, Persil Ireland.

Tesco CEO Wins Top Award

Top Player!

SIR Terry Leahy, Group CEO of Tesco plc has been named as the 2008 recipient of the Sean Lemass Gold Medal for Business Leadership by the Trinity-IMI Graduate School of Management. Sir Terry’s parents are both Irish and he is regarded as one of the foremost business leaders in the world and was selected for the award for his significant business achievements, his entrepreneurial skills and his Irish roots. Sir Terry Leahy, who is 51, was appointed Chief Executive of Tesco PLC in March 1997. He received a Knighthood for services to food retailing in the 2002 New Year Honours.

MORGAN Lee, Sales Representative for the Galway Region, is pictured receiving his John Player & Sons Excellence Award for 2007 from Jim Joyce, Area Manager, Western Region. Also pictured is Tony Fitzpatrick, National Sales Manager, John Player & Sons. Morgan won this award for his excellent performance within the sales team in 2007.

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Sourcing Northern Ireland food just got a whole lot easier. Give Shane a call. Want fresh food and drink ideas? At Invest NI, our specialist team can offer personal guidance on thousands of products from over 300 suppliers in Northern Ireland and can assist with introductions, sampling, menu development and much more. For any of our food and drink products, be they added value or commodities, our suppliers can provide a complete solution to your customer needs. Produced in Europeâ&#x20AC;&#x2122;s cleanest and greenest natural environment, food from Northern Ireland has an enviable reputation for being full of flavour and wholesomeness. The NI Food industry is also respected globally for its longstanding commitment to food that is ethical, traceable and fully accredited. Let Shane, Our Food Sector Marketing Advisor, help you bring more choice, quality and flavour to the table. shane.mcardle@investni.com +44 (0)78 1717 3516 or visit us online at www.investni.com Invest NI, Drumalane Mill, The Quays, Newry, County Down. BT35 8QS

RN January/February08Industry News ●

SuperValu Launch Kids In Action 2008 PICTURED at the launch of SuperValu Kids in Action 2008 are (back row, l-r): John Treacy, CEO, Irish Sports Council; Sarah Keogh, Dietitian; and Ray Kelly, Marketing Director, SuperValu; with (front row) Fergal & Kevin Moran (who appear in the new ad for SuperValu Kids in Action). The SuperValu Kids in Action Programme 2008 is a multi-layered programme designed to get Irish primary school children more involved in sports and active play. The launch coincided with the release of the most recent research on fitness and activity levels amongst young people, which was commissioned by SuperValu and undertaken by Dr Conor O’Brien of the Royal College of Surgeons in Ireland and found that early intervention is vital and fitness is as important as weight loss in the fight to keep Irish children healthy.

SPAR’s ‘Fabia-ulous’ Prize DEREK Sands from Crumlin (right) was the lucky ‘7UP Christmas On Ice Text to Win’ competition winner and was presented with a fabulous new Skoda Fabia Sport by Caitríona Hayes of SPAR and Colin Sheridan, Sales Manager of Skoda in Ireland. Derek was one of 33,000 people who texted in for a chance to win the spacious and comfortable new Skoda Fabia Sport, in the competition, which ran in SPAR stores nationwide. Additional prizes in the competition included a Panorama sun holiday, a weekend break with Lynch Hotels and 1500 family tickets for 7UP Christmas on Ice.

Superquinn Open Store in Ranelagh

PICTURED at the official opening of Superquinn Ranelagh are (l-r): Kenneth McGrath, Superquinn's Director of Operations & Development; Paul O'Connell, Manager of Superquinn Ranelagh, model Lisa Cummins and Nikita Dixon (4). The new 10,000 square feet store in Ranelagh Village will create 60 new jobs and provide a new supermarket for the local community. Simon Burke, Executive Chairman of Superquinn, noted, “This store will play a big part in what already looks like being a great year for Superquinn. We will be adding further options to our food ranges, including additions to our new and hugely popular SQ Collection.” In addition to Ranelagh, Superquinn plan to open new stores at Rathgar, Portlaoise and Clongriffin, North County Dublin, bringing the total number of stores across the country to 27. 14

Mangan’s Wholesale Open New Cash & Carry MANGAN’S Wholesale have opened the country's newest cash & carry in the Burlington Business Park, Tullamore, Co. Offaly. The new 40,000 square feet warehouse was officially opened by the Tanaiste and Minister for Finance Brian Cowen TD, pictured with Peter Foley, CEO, Mangan’s Wholesale, and Paudie Mulhare, store manager. The €5m investment will provide the widest range of food products for wholesale customers in the food retail and foodservice sectors across the Midlands, as well as delivering 20 jobs for the region. “The new Tullamore facility will have a dual purpose,” said Peter Foley. “It will be a traditional cash & carry for food wholesaling but will also act as a strategic distribution hub for deliveries throughout Leinster, due to the ever improving road connections around Tullamore.”

From the world’s No.1 selling cigarette brand* and the fastest growing premium cigarette brand in the Irish market.**

• Is already a success in 34 markets worldwide • Completes the Marlboro portfolio, offering a smoother taste with a 3mg tar level • Launched in an exclusive limited edition foil with a clean fresh looking white filter • Extensive trade marketing support • Extensively supported with In-store POS materials

* Source: Philip Morris International research. ** AC Nielsen data from approx. 1,700 POS representing 40% of total Irish Market. This advertisement is for the information of tobacco traders only.

SMOKERS DIE YOUNGER Irish Government Warning

RN January/February08Shop Profile ●

Lynch-pins of the Community The Lynch family have been serving the shopping needs of Old Leighlin, Co. Carlow, for over 80 years. December 2007 saw Paul Lynch opening a brand new XL Stop & Shop in the town.

The

Lynch family has operated the village shop in Old Leighlin, Co. Carlow, since the 1920s, with Paul Lynch the current owner, having taken over the running of the store after his father passed away. Originally, Paul’s father had made plans to move the small family shop to a new site that the family acquired in the 1990s. Paul has worked hard to realise those plans and he has created a shop that would surely have made his father proud. Paul tells RETAIL NEWS, “My father had prepared some plans for the site, including the footprint of the shop and the inclusion of three houses at the rear of the development. Since it was a significant development, I felt it made sense to join with a symbol group, even though the shop had always traded fully independently.”

A Real Partnership Paul was attracted to the redesigned XL Stop & Shop “new image” store package, which offers retailers a contemporary store fit-out, comprehensive central billing package, extensive product range - including an improved deli offering, a broader wine range and a coffee-to-go solution, as well as a fast and flexible delivery service through the network of 25

Pictured outside the new XL Stop & Shop in Old Leighlin, Co. Carlow are (l-r): store owner Paul Lynch and John Byrne, XL Stop & Shop Development Manager.

Value Centres nationwide. “The business has always had a long relationship with the Value Centres in Carlow and Kilkenny, so when I was looking at the various packages on offer from different groups I was drawn to the XL Stop & Shop offering,” Paul continues. “I liked the look of the image and had always been happy working with Value Centre, while the people I met in XL Stop & Shop were very enthusiastic about the project.” One example of the partnership between the store owner and the XL group was the decision to include a hardware section. “I had plans to include a decent sized hardware section, as the shop had always sold some hardware because our customers have always needed it,” Paul explains. “It’s not the type of thing you tend to find in a modern symbol group image, but after explaining the importance of its inclusion to the people in XL Stop & Shop, they understood why it had to be there and it was then that my decision was made.” With XL Stop & Shop’s support and advice, the project progressed quickly. It was agreed to compose the full front

RN January/February08Shop Profile ●

of the shop of glass, allowing a huge amount of natural light to the interior. A Coffee Bar at the front of the store takes advantage of the glass front and the view beyond, providing an extremely relaxing spot for a cuppa or a chat. The deli was completely new territory for Paul but XL Stop & Shop and Cuisine De France gave the store owner tremendous support in its design and development. This level of support helped to cement the already good relationship Paul had with the group: “Everything was done in partnership. It was very reassuring to talk through all my ideas with them and when we agreed, it gave me great confidence to push on, knowing that we were on the right path.”

Tripling Turnover Old Leighlin is an emerging rural town and an increasing number of motorists are using the road through the village to bypass traffic in the ever-expanding Carlow town. With convenient parking at the front of the shop, Paul has focused on increasing convenience shopping, while simultaneously developing basket shopping. The XL Stop & Shop format, with its strong focus on both such areas, has already helped him almost triple the turnover since opening on December 3 last year. “The shop has been extremely busy since opening its doors,” Paul enthuses. “Local customers were eager to see the

changes, while passing trade is attracted by the XL Stop & Shop logo, which has quite a strong presence in the region. I had expected things to build slowly: the deli was a brand new element, wine sales were new and we included a large frozen food section. However, from the moment we started trading, sales figures were ahead of our expectations. “Increasing the size of the shop and working with Value Centre and XL Stop & Shop has helped me deliver better prices to my customers,” he notes. “You have to provide good value for money to your customers and we are keen to promote value around the shop. We have access to a great selection of promotions exclusive to XL Stop & Shop, as well as all the Value Centre offers: I can combine these offers to get the best selection for my customers. It has proven to be a great way to drive sales.”

Increased Staff Numbers The larger size of the new shop meant Paul had to increase staff numbers too. Working with XL Stop & Shop, Paul turned this to his advantage. He was able to retain all of the staff from the old shop, who had long term relationships with local customers, and this also left him free to concentrate on hiring new staff with previous fresh food preparation experience so that the deli could hit the ground running. According to Paul, “It was great to get staff with prior deli experience. It really helped the deli get off to a quick start. XL Stop & Shop and Cuisine de France have been fantastic in providing fresh food advice and HACCP training for all my staff and myself. It’s another great benefit of association with the Group. XL Stop & Shop has a wealth of experience and advice, and they are keen to share that knowledge so that I can operate the shop to the highest possible standards.” XL Stop & Shop continues to grow from strength to strength and last year alone a further 35 stores were added to this expanding symbol group. With the addition this year of more new FA C T F I L E stores of the calibre of Paul Lynch’s Owner: Paul Lynch XL Stop & Shop, Location: Old Leighlin, Co. Carlow the group are on course to Size: 1,600sqft surpass the Number of 100 mark of new Staff: 10 full time & part time image stores as Opening early as Autumn hours: 07:00 – 22:00, Mon-Sat; 2008. 08:00-22:00, Sunday. 17

RN January/February08Drinks News ●

Russian Standard Launches in Ireland RUSSIAN Standard, described as Russia’s No. 1 Premium Vodka, is now being distributed in Ireland by FindlaterGrants. The only premium vodka distilled and bottled exclusively in Russia using only the finest Russian ingredients, Russian Standard is the fourth fastest growing spirits brand worldwide, with sales of 1.9m cases in 2007. The launch of Russian Standard will be supported by a multi-million euro ATL advertising campaign, complete with themed on-trade sampling activity, off-trade promo-

Bullseye For Bavaria BAVARIA has announced its Joint sponsorship of the Duleek & District Darts League for the 07/08 season. Bavaria Brand Manager Ealron Kennedy and Duleek & District Darts League Treasurer Patrick O'Brien agreed on a sponsorship deal late in December ‘07. The deal will see the majority of the darts league bars getting Bavaria on draught, Bavaria darts boards and surrounds plus team shirts. The deal will also include a major darts event in the Duleek area, with international darts players in attendance, which will take place this April. Pictured at the announcement are Bavaria Brand Manager Ealron Kennedy (centre) with Kevin Campbell and Patrick O’Brien, Duleek & District Darts League.

tions and an integrated PR campaign. Pictured are Paul O’Brien, National Account Director, FindlaterGrants; ‘Russian’ Alexia Murphy; and Chris Lucas, CEO Western Europe, Russian Standard.

Jameson Offers Graduate Opportunities JAMESON is offering a Graduate Programme, with 12 places available to Irish graduates this year. The Jameson Graduate Programme is targeted at third level students in any discipline, who have an extremely strong desire and passion for brand marketing and sales. Pictured are current Graduate Programme member Suzanne Curley, Jameson Brand Ambassador, Ireland, former Graduate Programme member Simon Fay, Regional Director of the Americas, who entered the Graduate Programme in 1998 and worked for Jameson in South Africa until 2000, and Paul Duffy, Chairman and Chief Executive of Irish Distillers.

BFM Extend Their Portfolio BARRY Fitzwilliam Maxxium has added the international brand leaders Codorníu cavas and Raimat wines to its portfolio. “We have great expectations for these wellestablished brands and look forward to dynamic growth, particularly for brand-leader Codorníu, as the sparkling wine category is doing so well in this market,” noted Michael Barry, MD, Barry Fitzwilliam Maxxium. “The Codorníu Group’s Raimat wines include its monovarietal Cabernet Sauvignon, Syrah and Chardonnay wines and, of course, the renowned Raimat Abadía. Both brands are now ready for distribution, supported by an imminent above and below the line marketing campaign.”

Gallo Launch Fine Wine Range GALLO Family Vineyards have announced the addition of a new range of Fine Wines to their Irish portfolio. One of Gallo Family Vineyards’ leading winemakers, Wayne Donaldson, was in Dublin recently to lead some of the country’s top wine writers through a tasting of the new portfolio. Wayne is pictured (centre) with Raymond Blake and Conor Dardis, Gallo Country Manager, Ireland. The new range includes Gallo Family Vineyards Coastal Vineyards, Gallo Family Vineyards Sonoma County, Gallo Family Vineyards Single Vineyards and the Ernest & Julio Gallo Estate Wines, all of which will be available from March 2008, with prices ranging from €12.99 to €64.99.

Retail News

11/13/07

12:23 PM

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RN January/February08Karen Meenan’s Top Tips ●

How to Manage Newsagency Change in 2008 With big changes taking place at both main newspaper/ magazine distributors, retail consultant Karen Meenan cuts through the jargon and advises on what these changes mean for your business.

Eason

& Son Ltd and Menzies Distribution Ltd are now trading as EM News Distribution. This Joint Venture, known as EMND, is in place since January 28, 2008, and Eason have already booked a

number of road-shows around the country to highlight the differences between the Easons wholesaler we were familiar with and the new EMND procedures. The biggest change relates to the upgrade in IT systems – the initial phase, from January 28, will see all former Easons customers supplied from Dublin (including Galway) converted to EMND customers. The second phase will cover all customers currently supplied from Eason’s trading subsidiary in Cork, News Brothers. The date for phase two is April 21, 2008. In the UK, there has long been a tradition of the 48-hour rule – and with this new joint venture, EMND can now offer this 48-hour rule to Irish customers. What this means is

that on today (say Monday) you can view your account on the EMND web page and see what titles and what quantities are destined for delivery to your store in 48 hours time (say Wednesday). If you see that 7 copies of OK Magazine are destined to come to your store in two days time and you check your sales history and find that you have in fact sold out of OK Magazine for the last three issues, then you can change the 7 on your account to read 10 instead – now 10 copies of OK will arrive on Wednesday. If you also see that 5 copies of Tractor and Plant Machinery are destined to arrive in your store in 48 hours time, you can make a call on that one – either reduce that amount to 1 or 2 to see if you have any

RN January/February08Karen Meenan’s Top Tips ●

customers for this niche title or you can cancel completely. Either way, the new quantity you advise on the web page is the actual amount which will be delivered to your store. At last! A supplier who will give retailers what we want – the titles we want in the quantities we want – or not - as the case may be!

The Catch Now for the catch – if you do not log onto the EMND website every day and do not check what is destined for your store in two days time – then you have lost your opportunity to manage your newsagency and a selection of newspaper and magazine titles in amounts decided by the wholesaler will be delivered to you as before… you have been warned. If you have not already got internet access in your store (you don’t necessarily need broadband access, but this does speed things up considerably), contact Clearwire, Eircom, BT or any other internet provider today and make your back office life easier. You will get a detailed Retailer Pack direct from EMND which will detail specific examples of paperwork and procedures prior to the launch of the joint venture, detailing all the changes – but here is a summary of other changes afoot.

The Daily Approach EMND paperwork will change – you will now get a daily costed delivery note and a daily recall note. Fantastic! In all the courses I give around the country about how to maximise profit in the newsagency, the same question comes up each time: “what day is the best day to do returns?” I always reply, “every day”. If you approach the newsagency department the same way as you approach cash, then the reason becomes very clear. You count tills after every shift and do a trial balance every day to ensure that till differences are managed to within your specified limit – say plus/minus €3 per day. If you have €50 missing from a particular shift, you take steps to recover this loss immediately (count coin station, search drop boxes,

check cameras etc) until you find the €50 note. Similarly, if you manage your newsagency (both magazines and newspapers) on a daily basis, treating new arrivals each day as fresh stock and culling older titles to make room for fresher titles each day, then the likelihood of having late returns or returns to the incorrect supplier is eliminated. If you see an error on Wednesday, the day the invoice is delivered to your store, you have a chance to spot that error and take steps to recover the money that same day. If you leave the task of “doing” all the newsagency returns on one day – say Saturday or Sunday, as many retailers do – then you fall into a trap of the equivalent of trying to balance a week’s worth of cash on one day – an impossible task! So a daily costed delivery note and a daily recall note from EMND is very welcome indeed. In addition to this, EMND has an aspiration to move towards daily uplift of full copy returns of both newspapers and magazines for all customers through 2008. Now this category is getting easier to manage on a daily basis – fresh stock comes in every day and old stock is returned every day: for all the older retailers out there, it will remind you of putting out the milk bottles every night!

Significant Investment So how will EMND handle all this extra workload? Significant investment is being made in this new company EM News Distribution – from state-of-the-art allocation tools for newspapers and magazines, semiautomated packing technology (which will significantly reduce picking errors) and daily returns handling and processing, when this daily service is rolled out throughout the year.

Newspread to Distribute Independent Newspapers Meanwhile, since Monday January 28 (the same date as the launch date of EMND), Newspread are operating as Independent Newspaper’s appointed wholesaler. What this means is that the physical delivery of Independent Newspaper titles will continue as before – Newspread assures all its customers that there will be no impact on delivery times. If you discover a change in this, notify Newspread as soon as this occurs. The returns will be collected and processed as before – no changes here. The big changes will be that the customer service team will be responsible for all queries regarding deliveries and credits for both Independent Newspapers and for

RN January/February08Karen Meenan’s Top Tips ●

Newspread. Deliveries for both will be invoiced on one invoice in the future; effective February 2008. Newspread are contactable on custservices@newspread.ie or a free fax service 1800 453532 or by telephone 023 63850.

Email Your Queries I personally recommend directing all your queries by email – in that way you have a paper trail of who said what and when – and also, you can set up your email so that you get a read receipt of every email you send – so you can be sure that somebody is picking up your emails and working through your queries. Fax queries are the second best option, but you can never be sure who is picking up the fax query. The telephone is frustrating and expensive and particularly difficult for foreign nationals who may be very clear of what credits they require in writing but often get stonewalled when they try to explain the same situation on the telephone. The last invoice from Independent Newspapers was on Friday January 25, 2008, for supplies up to and including Sunday 27 January (did you know, by the way, that you have always been paying for Saturday and Sunday Independent Newspapers on every Friday by direct debit – two days before the news even hits the news stands…) Your last direct debit to Independent Newspapers was on Friday February 1, 2008 – since that date, all direct debit transactions have transferred to your new Newspread Ireland Limited account. Effective Sunday January 27, 2008, all balances less the direct debit of Friday February 1,were transferred to Newspread Ireland Limited and you should receive a final statement confirming the balance being transferred. Deliveries from Monday January 28, 2008, are being invoiced by Newspread Ireland Limited. All this information has been sent to your store by the Independent Newspapers Marketing Department – if you have not received a copy of these changes, ask for a full information pack from either 22

Newspread or Independent News. Now have a close look at the new charges from Newspread – they are introducing a “scaled” charge from €18.50 per week for total invoice values, from 0 to €150 per week, rising to €31 per week for total invoice values in excess of €1,051 per week.

Full Copy Returns These charges are before you add the €1 per day (€7 per week) full copy return collection service which is promised by Paula Murphy, Marketing Director, Independent Newspapers Marketing Limited, to be rolled out to all possible areas during 2008. Full copy returns are welcome so long as they are managed properly: they will reduce your waste costs and allow to you trade in the newsagency on a daily basis – fresh stock in, unsolds out. If you are not getting a full copy returns service, contact both main suppliers to see when they plan to offer this service in your location. The CSNA (Convenience Stores Newsagents Association formerly known as IRNA), the lobby group headed up by CEO Vincent Jennings, is currently in negotiation with Newspread about delivery charges for Independent Newspaper titles, as prior to the invoicing transfer to Newspread, there was an assurance that CSNA

members would not face these charges. Conservative estimates for delivery charges from both Eason and Newspread to Irish retailers net between €5m and €6m per annum. As with EMND, there will be a new Newspread invoice format to reflect all these changes. The new format will be similar to the current format and can also be reviewed on the web, which will allow you immediate access to all your account details. If you have not already set up a web account with Newspread, you should contact Newspread at 01-708 4203 or email newwebuser@newspread.ie for assistance. Once Newspread receive your application by phone or by email (again, I suggest email), they will send you a PIN number by registered post within 3-5 working days. You do need to give bank details to secure a PIN number: some retailers have had an issue with this in the past, but in the event that you mislay or forget

RN January/February08Karen Meenan’s Top Tips ●

your PIN, your account can be identified by your bank details.

Get Online If you are not already using the internet for either Newspread or Eason (now known as EMND), I suggest that the best resolution you can make to improve your back office systems in 2008 is to get online and discover the joys of managing the newsagency without having to use the telephone! I’d like to plug just one other small device, a blackberry, which allows you email access in your pocket. Once you get used to using the blackberry, you will be sending emails to suppliers more cheaply and more efficiently than telephoning or sending text messages.

The blackberry is also a very efficient way to stay in contact with your business when you are travelling at home or abroad or if you are managing a number of stores. And you will be able to provide a written record of all communication if needed

– worth knowing if you find that you are struggling to gain credits from suppliers.

About the Author RETAIL consultant Karen Meenan runs her own consultancy business, Results Training & Marketing, focusing on net profit and how to maximise profit for the retailer. For more information, contact Karen on 086 6027711 or by email kmeenan@eircom.net.

Results Training & Marketing When Results Really Matter

If, like many retailers, you have watched in awe as your children download music and buy clothes on eBay and wonder how they manage technology with such confidence – then help is at hand. Just as your teenagers found it difficult to learn to drive with parents instructing them, many find it difficult teaching their parents how to “get techy”. Scott Griffin of ITXPRESS Ltd understands retailers perfectly. He knows that you don’t want a full technology overload: you just want the basics. In the words of Gus O’Hara, one of Ireland’s leading convenience store retailers, “I’m a very experienced retailer. I just needed someone to set me up with the internet and show me ways of using current technology to make my life more efficient. I run two busy shops and wanted to get both linked so that now I can virtually visit both from my laptop. I knew how to read and send emails once the internet was set up, but setting it up in both shops was the hard part, in my experience. I am now able to manage newsagency returns online and talk to more suppliers and colleagues on email. “I’m particularly excited about the EMND 48-hour rule, I will be able to examine my deliveries every day and make a decision about what enters my newsagency and what does not – farewell to box-outs!” You can contact Scott Griffin of ITXPRESS Ltd at 1890 636636 or email at support@itxpress.ie Two courses organised by CSNA and part funded by FÁS under the One Step Up programme went nationwide during the autumn and winter of 2007. One course was entitled “How to maximise profit in the Newsagency” and the other was called “How to use the Internet in a Retail Environment”. The latter course was conceived and run by Michael Pollock of Hi-Tech and Associates, who can be contacted at 01-882000. If you want further details about “How to maximise profit in the Newsagency”, contact Karen Meenan at kmeenan@eircom.net or 086 6027711.

We see it all around us, a constantly evolving consumer, an increasingly dynamic retail environment and increased prosperity. How can you be a part of it? Mace are happy to announce the shop of the future. A totally new shop designed to respond to consumer needs and guaranteed to be a winner with todayâ&#x20AC;&#x2122;s demanding shopper. From changeable window graphics to clutter-free counters for greater access, from a new deli to a customer services centre, Mace have thought of everything. Early in the morning is a good time to make a great decision, so pour the coffee, wake up to the smell of success and get one of Ireland's finest retail packages working for you now. And into the future.

RN January/February08Retail News Interview ●

Life’s Good When it Sucks Sipahh is all set to change the way people consume beverages. Retail News talks to Strawtech’s Andrew Robinson, who has introduced this milk flavouring innovation to the Irish market.

Andrew

Robinson, CEO of Strawtech, was in his early twenties when he arrived in London with a two-year working visa and barely a penny to his name. The South African wanted to work in investment banking, primarily because the money was good and the notion of a career in high finance sounded romantic. The first recruitment agent he met, however, was quick to laugh off his hopes. Robinson recalls the experience: “He told me, ‘You have a degree that we’ve never heard of. You have no international work experience. You’re here on a working holiday visa. What are you doing? You might as well become a barman. Earn some cash and travel!’ After half an hour of this

abuse, I left. I felt incredibly disheartened. I thought, stuff you, I’m not going to go through the traditional routes.” The young man promptly collated the names of the CEOs of the five banks, phoned them and asked if they would like to meet for a coffee. “They all agreed to see me,” he says. “I flew to Switzerland for one meeting – the most expensive cappuccino I’ve ever had - and secured a job. My theory is, say you that can do it, then figure it out from there. As long as you can deliver, you are okay.”

Natural Entrepreneur Despite his youthful age of 30, Robinson is a natural entrepreneur and a great figurehead for a brand.

“The food and drink space is dominated by the multinationals, so the barriers of entry are high. To get into the game, an entrepreneur needs either a huge amount of cash or a great innovation that has not Here been seen is somebefore.” one who is not afraid to knock on doors, and knows an innovation when he sees it. In promoting the values of Sipahh, a milk flavouring straw that was recently launched to the Irish market, he is on flying form, clearly relishing the unique, innovative qualities of his product. Sipahh straws are filled with tiny beads of flavour that dissolve when cold milk is sucked through the straw. The fresh taste, novelty factor, and convenience, combined with the healthy properties of milk, have made this innovation a huge hit across the world. The product has earned five international best new product awards from the largest food trade shows (including Anuga, ISM, and FMI North America), and has been listed as “one of the 50 great ideas for the 21st century” by British newspaper The Independent. Now Ireland is likely to follow suit in praise for Sipahh. Robinson discovered the product while working as an analyst for a London investment bank. He hated the job, describing himself as “one of the living dead” – the money was good but job was not the romantic endeavour that he had imagined. Then, one day, a colleague dropped a bizarre straw device onto his desk. Robinson rushed to the kitchen to grab a glass of milk. Within two weeks, he had resigned from his job and was on a plane to Australia to meet with Peter Baron, Sipahh’s creator.

Sipahh: The History Peter had a eureka moment about 15 years ago, when he put some chocolate powder in a regular drinking straw, wrapped his wife’s stockings around it, and dipped it into a glass of milk. The result was messy, but Baron

RN January/February08Retail News Interview ●

Here’s to you Mr Robinson Strawtech’s CEO on a university of life “I was raised in Johannesburg, South Africa, to a middle income family. I was always the kid that sat at the back of the class and stared out the window all day. I finished school with a 40% average, but I always knew that I wanted to be in charge of my own destiny and have my own business. “When I finished school, I started my first business, an IT company, and that gave me enough disposable income to travel. Travelling was my university in life. When you are living on a dollar a day, it is amazing how much you learn about budgeting and negotiations. Also, meeting people is my passion. “I spent many a day with my backpack wandering around the world. A lot of time in Asia: India, Nepal, Thailand, Malaysia, Laos, China. I travelled extensively in Africa – I’ve been to most African countries, from Nigeria to Kenya to the DRC. I wanted to become worldlier but to also look for that one great idea. In my years of travelling, I never found it. It was only when I went to the UK that I came across Sipahh. “Even now, I am always asking, ‘What do people really need? Where can opportunities be found?’ I suppose that is what you call an entrepreneurial spirit.” had experience with plastic welding (he had previously invented the first “ant-proof dog bowl”, a small bowl with a moat around it) and, after spending 10 years in development, as well as an enormous amount of money to secure the patent, he created Sipahh. Robinson convinced Baron and his partners to give him the rights to the product for a few countries around the world: all this, despite the fact that Robinson was in his twenties and had no experience in the FMCG space. But his pitch was compelling. Sipahh launched in Australia in October 2005, South Africa in April 2006, and

it was in over 120 countries around time. Some, such as iced coffee the globe by the end of 2007. flavour, will be marketed toward Strawtech owns the rights for 95% of adults, while Baron’s patented Africa, the UK and Ireland. invention is likely to reach out to Sipahh is a rare find in that it has water-flavouring and pharmaceuticreated a new category in the bevercal straws. age consumption market. There is Robinson promises to keep selling nothing else like this product on the the brand to the best of his ability. shelf. Furthermore, it offers a great The youthful entrepreneur says that boost to the dairy space, especially he spends much of his time in supersince it has been a long time since markets, undertaking promotions and glasses of milk were in fashion. Milk, chatting to consumers about the prodin fact, has become more of an accesuct. Of course, one of the most sory for tea, coffee, cereal, etc. remarkable aspects of the Sipahh stoAccording to Robinson, people who ry is how a 30-year-old managed to go never used to drink milk are doing so from zero experience in FMCG to with Sipahh. introducing a product in numerous The fun concept makes it a great markets. product for kids. Furthermore, Sipahh appeals to “In Ireland, there is a lot of milk in health conscious consumers, since milk is one schools but children refuse to of the world’s richest beverdrink it. With Sipahh, children will ages. “In Ireland, there is a lot nag their parents for milk.” of milk in schools but children refuse to drink it. With Sipahh, children will nag their parents for milk,” claims Robinson. “The food and drink space is dominated by the multinationals, so the barriers of entry are high,” he admits. The Irish Launch “To get into the game, an entrepreSipahh, targeted toward kids neur needs either a huge amount of between the ages of 5 and 15, is cash or a great innovation that has launched in Ireland in four flavours: not been seen before. Everyone told Chocolate, Strawberry, Banana, and me, ‘you’re crazy going into FMCG’. Caramel. But the makers have some Well, maybe I am crazy, but look 15 flavours from which they can where it’s got me.” draw on, all of which will come in

Pictured at the Irish launch of Sipahh are twins Rebekah and Caitlin Farrelly (aged 7). 27

RN January/February08Healthy Options ●

Heading for Healthy Profits The consumer shift towards ‘better for you’ products is not just good news for our nation’s health, but also for the retail trade, with massive profit opportunities.

The

last number of years have seen a massive swing in consumer tastes towards products that are healthy, ‘better for you’ or have functional properties. Examples include the phenomenal rise of probiotic drinks, the continued growth of the ‘low fat’ market (across practically every market sector), the rise of organic produce and major moves by the biggest food retailers to promote their health credentials, such as Tesco’s move to provide Guideline Daily Amounts on its ownbrand range or Asda’s decision to remove artificial colourings and flavours from its entire own-label portfolio. In fact, beverages that support healthy diets are among the world’s fastest-growing food and beverage categories, according to the latest study released by ACNielsen Global Services, an operating unit of The Nielsen Company.

“Around the world, consumers are balancing health and nutrition concerns with a desire for convenience and value,” said Alan Purcell, Head of Marketing, ACNielsen Ireland. Consumers are taking greater selfresponsibility towards maintaining their health. “With 65% of US and European consumers taking more active steps to eat more healthily in 2006, better-for-you food and drink options are being consumed on a more regular basis,” notes Michael Hughes , consumer market analyst and author of a recent report from independent market analyst Datamonitor. Datamonitor found that an increasingly strong appetite for nutritional information is emerging among European and US consumers. “With increased emphasis on the nutritional value of food and drink, it is only natural that consumers will devote greater time to studying labels and packaging of food and drink to assess the content of the product. No wonder the debate

over food labelling continues to escalate,” comments Hughes. More than half of European and US shoppers used nutritional information on packaging with greater regularity to make food & drink choices in 2006. “Nutritional labels are seen as a positive and even necessary piece of information,” explains Hughes. “Shoppers will become even more engaged with their food and drink making decisions, based on greater levels of detail”. The well-documented rise in obesity is one of the main reasons for this consumer shift, as the Irish public starts to reassess its diet towards a more balanced, healthy lifestyle. Since 1990 the prevalence of overweight and obesity combined has increased from 6% to 19% in boys and from 15% to 17% in girls, according to a new scientific study into Irish teenagers’ diets. The survey, which was carried out by the Irish Universities Nutrition Alliance at UCD and UCC and funded

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Evian sales are up 43% year on year*

*Scantrack Nov 04/07 Value Sales

JOB NUMBER: DANO108

RN January/February08Healthy Options ●

by the Department of Agriculture, Fisheries and Food under the ‘Food Institutional Research Measure’ (FIRM) and co-funded by the Food Safety Authority of Ireland, found that Irish teenagers have very low intakes of fruit and vegetables, four out of five teenagers are not getting enough dietary fibre, overall fat intake is higher than recommended and daily salt intake is higher than the levels recommended by the Food Safety Authority of Ireland. According to Professor Albert Flynn, Department of Food & Nutritional Science, University College, Cork: “We need clear guidelines for healthy eating for teens – guidelines that focus on appropriate portion sizes, lower consumption of fat, salt and sugared drinks, and higher

Deep RiverRock DEEP RiverRock with its ‘Purer than you’ positioning (‘pure not pious’) has experienced continued growth within the water category. The brand’s iconic 750ml sports cap bottle is going from strength to strength and now has a better rate of sale in units than any other sports cap water in Ireland. It is a key driver of the water category in Ireland in both volume and value (Source: ACNielsen MAT 8 W/E December 2007). Deep RiverRock 750ml is an ideal pack for consumers with active healthy lifestyles. This portable onthe-go pack is perfect throughout the day, on breaks, with food, at lunch time, at home or sports, with no spills, no mess and a re-sealable, convenient sports cap. It is in an easy grip bottle, helps to contribute to consumers’ recommended daily allowance (RDA) of water and contains essential minerals such as calcium, magnesium and potassium.

intake of vegetables and fruit, fibre, vitamins and minerals. The pyramid model used in Ireland to guide healthy eating has been completely revised in the US to tackle obesity, and similar revisions need to take place here.” Meanwhile, the recent ARAMARK / Campbell Catering Food Futures Study which surveyed over 1,000 consumers aged between 15 and 74, found that 55% of respondents claimed to seek a healthier option when eating out. However, one in two Irish consumers (53%) feel they have a very healthy diet - a marginal decline (6%) on 2005. The latest Bord Bia PERIscope (Purchasing and Eating in the Republic of Ireland) research shows that health and wellness continues to be high on the consumer agenda. With increasingly demanding lifestyles, consumers are recognising that food is also a key factor in their mental performance. 73% of consumers in Ireland (+5% vs. 2005) said they ‘eat to enrich or enhance their mental alertness and spiritual wellbeing’. 3 in 10 Irish consumers said they have changed their eating habits in the last year to be healthier. The healthier eating regime means that 77% eat foods that are low in fat and 8 out of ten try to limit the amount of fast food they eat. One of the most interesting statistics for both producers and retailers, however, is the fact that almost three quarters of Irish adults also said they would be

willing to pay more for healthy food, while another study from Glanbia found that 72% of Irish shoppers want more healthy foods ‘on-the-go’ in their local convenience store.

Tayto Tayto Crisps has ambitious plans for the launch of its new healthy range, Tayto Lights. The healthy market, which is valued at approximately €12m, is the fasting growing sector of the market, showing a 22.9% value growth in 2007 (Source: ACNielsen, Markettrack, Total Confectionery, Value, MAT 9th September 2007). Tayto Lights is available in the number one and number two top selling flavours – Cheese & Onion and Salt & Vinegar. Tayto Cheese and Onion continues to maintain its position as the number one crisp pack in Ireland (Source: ACNielsen, Markettrack, Kilos, MAT 4th November, 2007). Due to its strength in the marketplace, Tayto’s six-pack variants include a six-pack Cheese & Onion and a Variety six-pack containing a strong combination of four Cheese and Onion and two Salt and Vinegar packs. The Tayto Lights range has 30% less fat than standard Tayto Crisps and is cooked in 100% Pure Sunflower Oil. Following the success of Tayto Velvet Crunch Cheese & Onion, Tayto are launching a second flavour, Thai Sweet Chilli, into the Tayto Velvet

The Tayto Lights range has 30% less fat than standard Tayto Crisps and is cooked in 100% Pure Sunflower Oil.

RN January/February08Healthy Options ●

New Tayto Velvet Crunch Thai Sweet Chilli, inspired by the Brazilian Cassava plant, the perfect low carbohydrate alternative to the potato.

Crunch range. Bursting with great Thai Sweet Chilli flavour, Tayto Velvet Crunch brings consumers a lighter taste experience with 70% less fat than standard Tayto Crisps. Tayto Velvet Crunch is inspired by the Brazilian Cassava plant, the perfect low carbohydrate alternative to the potato, and the brand is building strong consumer loyalty, demonstrated by strong unit and cash ROS (Source: ACNielsen, Markettrack, MAT, 1st July 2007). Since the launch of Tayto Velvet Crunch in April 2007, the snack has quickly become the number one healthy impulse snack (Source: ACNielsen, Markettrack, Total Confectionery, Cash ROS, 10WE 09 Sept 2007).

gave away a holiday for two every day during January. This monthlong campaign is the biggest holiday give-away The Star newspaper has ever run and Walkers heavily supported it with a new TV advert, radio, sampling and PR campaign nationwide. Walkers’ Marketing Manager, Nicola Wells, comments: “2007 saw the extremely successful launch of Walkers Baked. Our product is driving the ‘Better for You’ sector in crisps and snacks. We are showing commitment to the brand and a real focus on the importance of this sector by starting this promotion on day one of the New Year.” Walkers Baked is the result of a more than €23m investment in research and development and is made using proprietary technology which cannot be replicated by competitors. Walkers are committed to continual investment in ‘Better for You’ products, as they have shown over the past two years with reduced saturated fat and sodium content. Walkers Baked contain 70% less fat than regular crisps and, with a controlled portion size of 25g, contains less than 100 Calories per pack. Walkers Baked are available in two classic Walkers flavours: Salt & Vinegar and Cheese & Onion, as well as multipacks.

Walkers Walkers have reinforced their market leader position in the snacks market over the past year by launching their new ‘Better for You’ product, Walkers Baked. Walkers claim leadership of the ‘Better for You’ category and Baked is driving this growth, with an 11% share of the market (Source: ACNielsen Markettrack 4 Nov 07). To consolidate this winning performance, Walkers kicked off 2008 with a massive €250,000 multimedia marketing campaign. Walkers Baked, in association with Stein Travel and the Star Newspaper, 32

Walkers Baked contain 70% less fat than regular crisps and, with a controlled portion size of 25g, contains less than 100 Calories per pack.

Danone Volvic brands play a key role in the development of the bottled water category, claiming a value share of 23.1% (Source: ACNielsen Scan Track Dec 30th 2007). Volvic Natural Mineral Water has the unique benefit of being the only natural mineral water to be filtered through layers of volcanic rock. The ‘Volvic Regenerates’ campaign will continue the “bringing to life” of Volvic’s volcanic Volvic Natural origin and its unique volcanic mineral com- Mineral Water has the unique benefit position. of being the only Volvic Touch of natural mineral Fruit (available in water to be filtered three flavours: Lemon through layers of volcanic rock. & Lime, Strawberry, and Orange & Peach), has an impressive 27.4% share of the flavoured water market (Source: ACNielsen Scan Track Dec 30th 2007). Volvic Revive is a delicious and stimulating fruit flavoured water drink that’s designed to give an invigorating lift. Volvic Revive with ginseng & guarana is the ideal pick-me -up and is available in delicious Berry Blast flavour in a 50cl format with a sports cap. Also from Danone comes Evian Natural Mineral Water, whose sales have increased by a phenomenal 43% in value terms year Sales of Evian on year. With an extenNatural Mineral sive outdoor and a Water have strong press campaign, increased by a Evian Detox is bigger phenomenal 43% than ever in 2008. in value terms year on year. Evian is purified through a natural fil-

• €750,000 TV,

Press & Outdoor campaign

• Ireland’s fastest growing better-for-you crisp*

• Major holiday promotion with the Irish Daily Star and Stein Travel

Stock up now to meet demand!

* Source ACN Market Track 4 Nov ‘07

43812 Walkers Baked RetailNews FP.indd 1

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RN January/February08Healthy Options ●

tles are available in three tration process that spans sizes – 250g, 340g and over 15 years, deep within 500g. The 250g squeezy the French Alps. One perhas been specifically son who is dexoting with developed with young conEvian is Irish actress Amy sumers in mind and Huberman, star of features the ‘Bizzy ‘The Clinic’. She has Bee’ character. set up her own Boyne Valley “hydration station” in Honey is supported her kitchen for her in 2008 by an extenEvian bottles and is sive marketing camnoticing the benefits New Baxters Healthy Choice Soup is a range of nine full-flavoured, nutritionally paign, including conof drinking 1.5L of balanced, wholesome soups. sumer press adverEvian a day. Evian is tising, heavyweight available in many difradio advertising and NPD. the Kelkin range is Baxters new sinferent formats such as 50cl, 75cl & Also from Boyne Valley Group, gle-serve microwaveable Soup Bowls: 1.5L. Lifeforce’s world of healthy food has an five appetising real soups in a ready exciting, brand new look. Lifeforce Original Irish Muesli is synonymous with wholesome, healthy eating. This satisfying breakfast cereal is high in complex carbohydrates, fibre and other nutrients – essential for the most important meal of the day. Baxters Healthy Choice Chunky Soup: six nutritionally-balanced soups packed full of chunky, Lifeforce Muesli is made wholesome ingredients.

Kelkin New Baxters Healthy Choice Soup is a range of nine full-flavoured, nutritionally balanced, wholesome soups, specially designed to deliver natural fibre, protein, carbohydrate and energy benefits. The entire range is free from artificial additives. Baxters Healthy Choice soup range is made using only natural, wholesome ingredients and takes only minutes to prepare. Also new from Kelkin comes Baxters Healthy Choice Chunky Soup range: six nutritionally-balanced soups packed full of chunky, wholesome ingredients, which, are also free from artificial additives and made using only natural ingredients. Finally, the latest new addition to

made microwaveable bowl for ultimate convenience, meaning no mess or washing up afterwards. Baxters delicious Soup Bowl range is the ideal filling, convenient, healthy lunchtime fix.

Boyne Valley Group Boyne Valley Honey has been available to Irish consumers for almost 50 years and is the most popular brand of honey in Ireland, claiming over 61% market share. Boyne Valley Honey is 100% pure and natural and is a delicious and versatile spread. Boyne Valley Honey is popular with all members of the family and is available in a range of formats to suit every one, from the 225g tumbler right up to the 907g jar. The innovative, no mess, squeezy bot-

Boyne Valley Honey is 100% pure and natural and is a delicious and versatile spread.

Baxters new single-serve microwaveable Soup Bowls: five appetising real soups in a ready made microwaveable bowl for ultimate convenience. 34

RN January/February08Healthy Options ●

Flahavan’s Building on the success of the previous advertising campaign, Flahavan’s, Ireland’s leading porridge company, are back on the airwaves with a new TV advertising campaign, titled ‘Cold Mornings, Warm Breakfast’. The action takes place in an early morning kitchen setting, featuring a number of animated pack characters from the wellknown Flahavan’s oat-based breakfast range. The advertising campaign comprisLifeforce is celebrating its new look with some very exciting promotions on offer es two TV adverts and three radio in the coming months as well as some very strong Lifeforce advertising in both consumer press and on radio. adverts, and is running from January to March. The radio campaign further expands the theme to from the finest Irish grown cereincorporate busy ‘on the go’ als and specially selected nuts lifestyles and the importance of and fruits, without artificial having a healthy breakfast, additives or table sugar. The natwhich can sometimes be eaten at urally sweet flavour is attributed work or in an office environment. to the finely chopped dates and As well as highlighting the finest raisins. Lifeforce Original goodness of Flahavan’s Progress Irish Muesli is available in 1.5kg Oatlets range, the new camand 750g packs. paign also focuses on the conA ‘Tried ‘n’ Tested’ taste panel venience of the Microwaveable carried out by the Irish Quick Oats range for ‘people on Independent rated Lifeforce the go’, which was launched in Original Irish Muesli as one of New John West Tuna with a Twist Pouches come in response to changing consumer the best mueslis on the Irish three different marinades: Oven Dried Tomato and lifestyles and tastes. The advermarket. Herb Dressing, French Dressing, and Lime and Black tising represents the full range New to the Lifeforce Muesli Pepper Dressing. of Flahavan’s products from the range are Lifeforce Tropical traditional to the new and more conMuesli, which is certified Fair Trade, even consume directly from the pack. venient microwaveable brands. and Lifeforce Gluten Free Muesli, both Pouches offer consumer all the Flahavan’s is Ireland’s leading available in 500g. benefits of security, assurance and and favourite porridge brand, with in Lifeforce is celebrating its new look quality that cans provide but also excess of one million servings conwith some very exciting promotions on deliver a much more convenient solusumed nationwide each week. offer in the coming months as well as tion in this fast paced society. John Flahavan’s also recently won the ‘Life some very strong Lifeforce advertising West is leading the way in the ambion the Go’ award for its in both consumer press and on radio. ent fish sector with product innovation Microwaveable Quick Oats Range at and packaging design.

John West Ireland New John West Tuna with a Twist Pouches offer tuna with a light dressing that is high in protein, low in calories and very low in fat. Tuna with a Twist delivers on indulgence and health, two vital consumer needs, and is available in three different marinades: Tuna with an Oven Dried Tomato and Herb Dressing, Tuna with a French Dressing and Tuna with a Lime and Black Pepper Dressing. This is a convenient, no-mess alternative for people on the go – there’s no draining required, and the packaging features an easy-open tear strip. Consumers simply open and spread or 36

Flahavan’s are back on the airwaves with a new TV advertising campaign, titled ‘Cold Mornings, Warm Breakfast’.

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Itâ&#x20AC;&#x2122;s All Good for

Healthy Eating After an indulgent Christmas season, January is a time when consumers make their New Year's resolutions and stock up on healthier eating options. Thanks to the Rustic Oven Range from McCain, including Rustic Oven Chips and Rustic Roasts, as well as the ever-popular McCain Oven Chips and Oven Wedges, consumers don't have to give up the food they love this January. Made from two simple ingredients, potatoes and sunflower oil, and containing only 5% fat and NO cholesterol, they are guaranteed to attract consumers looking for a great tasting, wholesome and healthier option. And to make healthy eating even easier for consumers, all McCain products include on pack Traffic Light Labelling and Guideline Daily Amounts. New Year's resolutions don't have to be difficult this year thanks to McCain. Look out for our extra fill packs and in-store promotions to boost your sales.

RN January/February08Healthy Options ●

fect snack for those watching their waistline, Hartley’s Low Calorie pots are a guilt-free treat! Hartley's also offer a range of BR Marketing smaller size ready-to-eat jelly 2007 has proved to be another pots. The 125g pots are available outstanding year for Capilano in Strawberry and Raspberry honey, from BR Marketing. The flavours and are a perfect treat brand has doubled market for kids' lunchboxes. Made with share and now claims the numreal fruit juice and containing ber two position in the market only 10 calories per pot, the pots ahead of private label (Source: are also available in a family valACNielsen, 2007). To further Bounce Balls, the pocket-sized energy snacks that have ue 4-pack - two Low Sugar elevate brand awareness, taken Australia and the UK by storm, are being launched in Ireland. Orange Jelly pots and two Low Capilano has teamed up Sugar Strawberry Jelly pots. with DreamWorks’ latest Premier Foods Ireland will be supGI nuts to keep hunger at bay. release ‘Bee Movie’ with port the brand with a heavyweight marFudgie Walnut Balls (42g) and a consumer on-pack proketing campaign in 2008. Cashew & Pecan Balls (42g) motion to win a trip to taste as though they are full of New York or €5,000 naughty ingredients, but a closcash. The closing date for Yakult er look at the label reveals that the promotion is The joint fastest growthey are deliciously virtuous, as February 29. ing brand in Active well as being wheat- and dairyCapilano is 100% Health drinks at 13% free. Spirulina & Ginseng Balls pure Australian honey year on year (Source: (40g) contain good amounts of and contains no added ACNielsen 7/10/07), these two superfoods, which are preservatives, colours or Yakult looks set to rich in antioxidants and vitaflavours and 0% fat, continue its impresmins. Bounce Balls retail at making it a naturally sive growth in the €2.50 and come in eye-catching great way to start the Irish market with funky display tubs containing day. The range includes an ambitious com40 Balls. Premium, Organic, munications strateCapilano has teamed Coastal, Outback honey gy in place for 2008. up with DreamWorks and newly introduced Investment in Premier Foods latest release ‘Bee Bee Vital Active +6, excess of €1.5m Movie’ with a consumer Ireland on-pack promotion to which is carefully blendwill see an intenFrom Premier Foods Ireland, win a trip to New York Hartley's offer a range of jellies ed to maintain the sive programme of or €5,000 cash. unique Manuka Honey above- and belowin quick to prepare and ready Yakult looks set to properties. It is 100% natural, contains the-line activity, to eat format. Hartley’s recently continue its no preservatives and is independently comprising inlaunched an exciting adult range of impressive growth tested and quality checked. store demos, onready-to-eat Low Calorie Jelly pots. in the Irish market pack promotions, Available in three delicious flavours, with an ambitious communications direct marketing, Mango & Passion Fruit, Blueberry & Bounce Balls strategy in place a television and Blackcurrant and Cranberry & Following successful test marketing, for 2008. print advertising Raspberry, the Low Calorie pots are fat Bounce Balls, the pocket-sized energy campaign and an on-going programme free, with only 10 calories per pot. A persnacks that have taken Australia and of public relations activity to help the UK by storm, are being launched drive awareness and in-store sales. in Ireland. The award-winning Balls Developed over 70 years ago by are now available to the trade sector Japanese scientist, Dr. Shirota, today throughout the country via The Yakult is the global leader in friendly Health Store, Munster Wholefoods bacteria. Available in two variants and Wholefoods Wholesale. Yakult and Yakult Light – the fermentMade from 100% natural ingredied, probiotic milk drink keeps harmful ents and free from artificial additives, micro-organisms in check and encoursweeteners and preservatives, Bounce ages the growth of beneficial bacteria, Balls come in five variants with a low which aid the body’s natural defences. calorie count, which ranges from 169 Consumed daily by 25m people in 30 to 209 per Ball. Premium Protein Hartley’s range of adult ready-to-eat Low Calorie Balls (49g) and Almond Protein Jelly pots come in three flavours - Mango & Passion countries, Yakult is totally natural, Balls (49g) are both satisfying pocket Fruit, Blueberry & Blackcurrant and Cranberry & virtually fat free, completely gluten Raspberry - with only 10 calories per pot. free and has just 51 calories. rockets, packed with protein and low the Bord Bia Food and Drink Industry awards.

RN January/February08Londis Advertising Campaign ●

Engaging with the Consumer Retail News talks to Ruth Norton, ADM Londis Marketing Manager, about the reasoning behind Londis’ new €2m advertising campaign.

ADM

Londis plc has launched a new €2m advertising campaign, including a range of TV commercials, each one elaborating on how Londis provides surprising, convenient solutions in the lives of the brand’s customers. RETAIL NEWS talked to Marketing Manager, ADM Londis plc, about the significant campaign.

In these days of increased competition, how important is advertising/ marketing to ensure your brand stays top-of-mind with consumers? “Most organisations, large and small, rely on marketing to stimulate consumer interest in the products and services they offer. From research we have undertaken in preparation for this new campaign, we 40

Ruth Norton, Marketing Manager, ADM Londis plc.

identified a significant sense amongst consumers that the convenience retail sector in Ireland has, as a whole, demonstrated significant improvements in the past decade, having come on in ‘leaps and bounds’. The general view is that the sector has modernised to such an extent that it is now thriving, with store layouts and atmosphere having vastly improved and increased development of fresh, healthy, food-to-go, all cementing the impression that the sector as a whole, rather than any specific brand, has developed in a modern and dynamic fashion. “But that in itself has further blurred consumers’ ability to identify profound differences between the various retail brands. This trend is further strengthened by a perceived similarity of much of the advertising in this category – consumers feel that there is a lot of activity within this sector, but that very little of it registers as different. In addition, retail brands, from the largest multiple to the much smaller players, are spending more than ever before on advertising and media placement. These factors, combined with the fact that retail advertising tends to be regarded as ‘low involvement’ advertising

amongst consumers, have led to very low recall of brand advertising within the sector. “As such, we recognised that advertising communications for Londis and competing brands operate in a very complex environment. For Londis, the implications of this have meant that one of our key objectives was to ensure that this new campaign would very much ‘punch above its weight’ so that it is spontaneously recalled by consumers and remains very much top-ofmind. We feel we have achieved this level of distinctivity and clarity over competing brand advertising with this new campaign. “Nevertheless, retail brand advertising will not have the desired impact if regarded in isolation. The brands are experiential brands and it is the consumer’s interaction with the brand at all levels which determines ‘top-of-mind’ recall. Whilst advertising is incredibly important towards building ‘top-of-mind’ awareness, this advertising for the Group must operate within a broader context of store number growth, strong internal store layouts offering a bright and inviting shopping experience, a focus on the right consumer offer, such as healthy and fresh food-to-go. It is only when all these elements come together that advertising, as a part of this process, can ensure the Londis brand is ‘top-of-mind’ and a first choice shopping environment for our customers.”

Why the need for a brand new advertising campaign? “One of the key reasons stems from the research we undertook throughout 2007, demonstrating the lack of genuine standout for retail brand advertising and, therefore, leading to a level of consumer confusion as to what each brand represents.

RN January/February08Londis Advertising Campaign ●

“In addition, the retail market has very much evolved over the past few years. Consumers now have a variety of diverse sets of needs which need to be efficiently met by retail brands. We have seen marked changes in the retail focus of convenience brands, where historically these brands focused traditionally on dry grocery and the more ‘distressed’ shopping focus of traditional TSNs. This has moved on considerably, where consumers increasingly view convenience shopping as having huge appeal on a time saving basis, yet demand a thoroughly higher and more evolved quality of offering, not only in the product focused food-to-go and fresh categories, but also in terms of the actual aesthetics of the shopping environment. “Londis has made significant strides in evolving to meet these new consumer demands, and we believed that a new advertising platform was required to succinctly communicate this fresh new focus and offering to our consumers.”

What do you expect the new campaign to achieve in terms of its effect on consumers? “We believe we have achieved the objective of adding memorability and standout to the Londis brand with a built in ‘watchability’ factor, provoking a ‘how did they do that?’ response to the smooth transitions into Londis stores. “In addition, we expect consumers to really engage with the campaign in a way that leaves them even more positively disposed towards both the idea and the reality of shopping in a Londis store. The executions themselves build empathy with our customer base. The situations that our characters find themselves in are those we can all readily identify with and recognise, yet they have been developed with a certain charm, which enhances the impact which Londis as a brand has on their daily lives. “One of the key objectives for Londis with this new campaign is to ensure that we cut through and eliminate consumer confusion, clearly highlighting what the Londis brand and the Londis in-store experience represents. “Taken together, we believe that the variety of executions, the distinctive production treatment, the ‘charm’ of the characters and the predicaments in which they find themselves, and of

course, the music, deliver a thoroughly engaging campaign, with punch and distinctivity, and one which is intrinsically linked to Londis.“

The campaign is very focused on Londis’ role as a community convenience store. How important is this image to the Londis brand? “From research we undertook in preparation for this new campaign, one differentiating factor of the Londis brand for consumers was the sense that, more than other convenience brands, the store owner plays a more prominent role in the identity of the individual stores. When this dynamic works well, the impact can be hugely positive for Londis as a whole. It presents a sense of a more customer-oriented, committed and efficient staff that are highly responsive to customer needs. “We believe that the success of Londis retailers in their communities is

firmly grounded in the reality that the majority of community Londis stores are owner-operated and therefore provide the close customer-focused shopping experience which runs hand-inhand with this reality. “This desire to be ‘close to our consumers’ in the communities in which Londis retailers operate remains of paramount importance to the brand and we believe we have enhanced our ‘close to you’ positioning with the new campaign. The production of the new campaign uses a combination of special effects and clever edits to show our characters moving seamlessly from the situation they’re in to a nice, bright Londis store. It’s a metaphor for the pure convenience and closeness of Londis – what you need is just an arm’s length away. In each case, the transition is similarly magical and perfectly smooth, reflecting the standards of service, support and total shopping experience Londis retailers strive to provide to their consumers.” 41

RN January/February08Easter ●

Egg-citing Easter Ahead With Easter occurring early this year, on March 23, retailers should stock up now on the big brands for this valuable market.

The

Cadbury Creme Egg is back in store for a limited period and has launched an entirely new marketing campaign: ‘Here Today, Goo Tomorrow’.

Cadbury

brand claiming to grow the entire category. This year, Cadbury is re-energising its Easter offering with an updated luxury range, an Easter Egg Hunt pack and new spring-themed designs across the shell egg range. Cadbury Ireland are hosting an Easter Egg Trail event on March 22 in Royal Hospital, Kilmainham, Dublin. All proceeds from the event will go to the Make A Wish Foundation. Details

Easter market is growing all the time, with current estimates valuing the market in the region of €33m, with strong growth of 11%. The market breaks down into kids eggs (19%), teenage eggs (48%) and adult eggs (32%). With a growing variety of eggs on the market, aimed at all sectors of the population and many premium eggs adding value to the sector, Easter is a key opportunity for retailers to grow sales.

Cadbury Creme Egg, the number one Easter impulse line, is back in store for a limited period and has launched an entirely new marketing campaign: ‘Here Today, Goo Tomorrow’. Built around the unique attributes of the fondant filled favourite, the campaign has been designed to leverage the light-hearted, mischievous and playful nature of the brand, whilst also highlighting what makes Cadbury Creme Egg so distinctive i.e. the ‘goo’ in the centre. Launched on January 1, 2008, media support for this €5m brand will cover TV, outdoor and internet and runs until Easter on March 23. Cadbury eggs claim 43% of the Easter Egg market, with the Cadbury 42

of how to take part in this event will be on pack flashes across the Cadbury shell egg range as well as press, PR and a dedicated website, www.eastereggtrail.com. Coupled with this, the introduction of the Cadbury Easter Egg Hunt pack allows those who can’t attend the Dublin event to create their own Easter egg trail. Containing a mixture of hollow chocolate eggs, Cadbury Creme Egg Minis and Dairy Milk Caramel Egg Minis, the pack also contains some props and tips for families to make the most of their own Egg Trails. Advice on hosting an Easter Egg Trail is also on www.eastereggtrail.com. In line with the growing consumer trend for organic offerings, there are four luxurious eggs under the Green & Black’s Organic chocolate brand available for 2008. To date, Green & Black’s is the fastest growing luxury shell egg

The innovative Cadbury Egg Hunt and the Green & Black’s Organic Egg range, adding value to the Easter Egg category.

造5 million Brand at RSP 71% Market Share* No.1 Confectionery Brand from January to Easter* Supported by TV, Outdoor and Online Media Campaign

* Source: AC Nielsen MAT July 2007

RN January/February08Easter ●

brand in the UK and the wide introduction of these premium eggs to the Irish market should satisfy the most discerning chocolate consumers, while having the potential to add significant value to the Easter category. The eggs are available in milk and 70% dark chocolate varieties, with treats such as mini eggs or chocolate bars accompanying the main chocolate egg. Built on a heritage of organic ingredients, Green and Black’s Easter range also focuses on using sustainable packaging, with all eggs boxed in recycled card and using RPET vacforms, wrapping up the ultimate premium gift in line with growing consumer trends.

Nestlé Nestlé, the strong number two player within the Easter category, have an impressive Easter Egg range, tailored to suit the entire family, with gifting solutions for kids, teenagers and adults. Gifting can be separated into two categories, according to Nestlé, Token Gifting and Special Gifting. For token gifting, Nestlé have a range of teen traded eggs like KitKat, Rolo, Aero and Yorkie Medium Eggs, while Nestlé continue to build on their innovative ranges of special gifting. Nestlé claim leadership of the kids’ Easter Egg sector, with a range of unique gifting solutions. With Smarties Gardening Kit Fun Egg and Milkybar Egg Cup Fun Egg, Nestlé are adding value to Easter: it’s not just about chocolate, it is about the interaction and playful value that children get from the gift egg. Some of Ireland’s favourite brands are included in their teen sector. Ideal for gifting are the range of Mug Eggs of Yorkie, Rolo and KitKat. Aero Bubbles Premium Egg plays on the

novelty value of a half milk chocolate and half minty green chocolate shelled egg. Nestlé doubled its share of adult Eggs in 2007. Key to this growth was the success of Black Magic Premium Egg. Black Magic is the number one dark chocolate assortment and the Egg has returned for 2008, alongside the key gifting eggs of After Eight and Quality Street.

Mars Ireland Mars Ireland has an impressive range for Easter 2008, with some of their best-selling ranges, as well as some new and exciting lines to satisfy everyone’s taste. Packaging updates and some new product introductions will ensure that consumers have all they need to indulge themselves this Easter. Filled egg variants Mars and Galaxy are back again, in both single and three-pack formats. Mars and Galaxy mini eggs also reappear. They are joined by a new line, Mars & Friends, a unique mix of Maltesers, Milky Way, Galaxy and Mars mini eggs, all in one bag. These come in shelf-ready packaging for fantastic instore stand out. Ireland’s number one bite-size brand (Source: ACNielsen, MAT November 2007), Maltesers joins Milky Way in the small egg section. Milky Way takes on a fun new design in the small egg section and showcases a new improved recipe with no artificial colours, flavours or preservatives. In the large egg sector, old favourites Mars and Maltesers are back with new eye-catching designs, alongside the new Snickers large egg. Another addition for 2008, and destined to be a winner, is Mars Planets,

Nestle have an impressive Easter Egg range tailored to suit the entire family, with gifting solutions for kids, teenagers and adults. 44

which comprises three different flavoured balls; crispy, chewy and soft nougat. Mars Ireland is in a strong position to leverage the continuing growth of luxury and premium egg market. The Galaxy brand has a number of delicious offerings in this category. After a fantastic first year, Galaxy All About Chocolate Egg is back, while the Galaxy Collection is the ultimate luxury Easter pack, with a full sized egg and a selection of Galaxy bars. Finally, Galaxy Minstrels is back by popular demand, ensuring there is plenty of choice for Galaxy lovers.

The perennially popular Maltesers Easter Egg from Mars Ireland.

Easter Egg Decorating Kits AN innovative range of licensed Easter Egg Decorating Kits are now available from Bon Bon Buddies. Featuring Winnie the Pooh, Disney Princess and Spongebob Squarepants, the Easter Egg Decorating Kits contain six milk chocolate eggs, a carry handle and materials to create and decorate a 3D scene, making them ideal for children of all ages. Bon Bon Buddies, based in Crumlin, Gwent, is Europe’s leading supplier of licensed confectionery and novelty biscuits, including seasonal and year-round product lines.

RN January/February08Commercial Transport ●

Commercial Transport Supplement

Irish Van Market Rises By 6% In

a buoyant Irish 2007 light commercial vehicle (LCV) sales market, Ford again topped the charts for the 18th year in a row. According to the Society of the Irish Motor Industry (SIMI) official figures, close to 50,000 CVs (49,816) were sold in Ireland last year, making 2007 another record year for this sector (an increase of 6.3% over 2006). Of the total CV sales, the Ford brand accounted for more than 19.7% of that figure, with total sales of 9,799 units. Ford’s very strong leading position in the LCV market in 2007 was driven, as in previous years, by the multiaward-winning Ford Transit. The Transit, which was voted 2007 International Van of the Year, was the overall best-selling commercial vehicle in Ireland again last year. In 2007, Ford sold 6,619 Transit units in Ireland –an increase of 43% over the run-out figure for 2006. Volkswagen continues to grow sales, with continuing sales increases of about 500 units each year. It is a strong player and the only real threat to Ford's dominant leadership of the Irish LCV sector. Toyota, largely due to the very dominant Land Cruiser SUV Commercial, again comes in a strong third. “The CV market is a great indicator of the overall strength of the economy and certainly the first half of 2007 was a very strong one. However, we are expecting a slower rate of growth for 2008,” said Ford Ireland Managing

Director, Eddie Murphy. “The Ford Transit remains the lead vehicle of choice for Irish industry. It is heartening that Ford holds the top spot again for the top selling van and car in Ireland – with the Focus retaining its position in 2007 as Ireland’s top selling vehicle.” Ford also had two other 2007 bestsellers in both the car-derived van sec-

tor, with the Ford Focus Van, and the small van sector, with the Ford Fiesta Van. In addition, Ford’s Ranger, the versatile 4x4 pickup vehicle, made a huge impression in Ireland this year, more than quadrupling its sales from 91 units in 2006 to 395 units in 2007. THE Fiat Scudo has been voted Semperit Irish Van of the Year 2008 by the Irish Motoring Writers

C OMMERCIAL V EHICLE S ALES ( LIGHT / MEDIUM / HEAVY ) 2005-2007 2005

2006

2007

(market share)

Ford

6,821

8,008

9,799

(19.7%)

Volkswagen

5,320

5,821

6,355

(12.8%)

Toyota

4,658

5,051

5,341

(12.1%)

Nissan

3,251

4,283

4,241

( 8.5%)

Citroen

2,179

2,216

2,158

( 4.3%)

41,974

46,857

49,816

Total industry

RN January/February08Commercial Transport ●

Fiat Scudo Voted Semperit Irish Van of the Year 2008 Association. The Scudo, with 37 points, finished ahead of the Citroen Dispatch and Peugeot Expert, which both had 28 points and have similar bodies and engines. These were followed closely by the Iveco Daily and the revised Toyota Hiace. All nine voting members of the Irish Motoring Writers Association (including myself as your motoring correspondent) took part. Value-formoney, reliability, versatility and lasting residual value were among the attributes sought by the judging panel. Presenting the award to Geoff Smyth, Chief Executive of Fiat Ireland, Paddy Murphy of Semperit Ireland commented, “The Scudo has won the valuable endorsement of the Irish Motoring Writers. I am sure that the Semperit Irish Van of the Year accolade will support the Scudo’s suc-

cess in the commercial marketplace.” Speaking after the award ceremony, Geoff Smyth, Managing Director of Fiat Group Automobiles Ireland Ltd said that he was delighted with this recognition of the Scudo’s strengths from an expert jury: “We have been monitoring the reaction from customers who have bought the new Scudo since the range was launched here some months ago and we have been delighted with the very positive feedback. The previous Scudo range was very successful, but the new Scudo range is already proving to be an even bigger seller for us and a major contributor to our increasing sales and increased market share. I am sure that the news of this very prestigious award will boost consumer interest and sales.” The Fiat Scudo succeeds the Mercedes-Benz Sprinter, last year's

Pictured are (l-r): model Sara Kavanagh; Cyril McCabe, Commercial Vehicle Sales Director, Fiat Ireland; Ferdia O'Dowd, Chairman of the IMWA; Stephan Kearney, Commercial Vehicle Brand Manager, Fiat Ireland; and Paddy Murphy, General Manager, Semperit Ireland.

winner. At the same ceremony, the Ford Mondeo was voted Semperit Irish Car of the Year 2008.

PSA/Fiat Trio Named International Vans of the Year 2008 THE Peugeot Expert, Citroen Dispatch and Fiat Scudo family of compact vans, which were styled and developed by PSA Peugeot Citroen in co-operation with Fiat, has been named International Van of the Year 2008 by European van journalists. Marketed since early 2007, the vans are manufactured at PSA Peugeot Citroen and Fiat's Sevel Nord production plant in France. The award, the most important

for light commercial vehicles in Europe, underscores the features and performance of the new family of compact vans, of which more than 110,000 units have already been produced. In addition to a broad line-up, the title recognises the family's elegant combination of styling, usability and comfort, handling and safety features, which are comparable to those found on the latest passenger cars. The vans are fitted with the latest ABS and EBA primary safety systems as standard equipment, whilst the bodies are engineered to deliver exceptional secondary safety performance, with a collapsible front-end featuring several

impact absorption structures. A driver's airbag is standard, with front passenger and side airbags optional, depending on the version. The award clearly endorses the PSA Peugeot Citroen strategy of developing a consistent, aligned range of light commercial vehicles. The range has either been renewed through the Peugeot Boxer and Citroen Relay (Jumper outside the UK and Ireland) large vans and the Peugeot Expert and Citroen Dispatch compact vans, or broadened in cooperation with Fiat, through the Peugeot Bipper and Citroen Nemo small delivery vans. PSA Peugeot Citroen is Europe's leading manufacturer of light commercial vehicles, selling more than 310,000 units in the first nine months of 2007, a 7.2% increase over the period in 2006 and an 18.5% share of the market.

ONCE AGAIN, THE FIAT SCUDO MOVES INTO FIRST PLACE.

F I AT S C U D O. I N T E R N AT I O N A L & I R I S H VA N O F T H E Y E A R 2 0 0 8 . With its impressive load capacity, hard-working engines and greater levels of comfort, the Fiat Scudo already had a great number of admirers. Now it’s also won over an esteemed panel of judges from 20 European countries to claim the title of ‘International Van of the Year 2008.’ And they aren’t the only ones to have declared the Scudo a champion. The Irish Motoring Writers Association have voted the Fiat Scudo ‘Semperit Irish Van of the Year 2008’. With prices from 314,876*, choose a Fiat Scudo for your business and you’re on to a winner. *Excludes VAT. RRP 317,995. Prices exclude delivery and related charges.

Visit www.fiat.ie or call 1800 342 800 for more.

COMMERCIAL VEHICLES BUILT ON YEARS OF EXPERIENCE.

RN January/February08Commercial Transport â&#x2014;?

New Compact Economy Van from Fiat, Peugeot and Citroen

FIAT, Peugeot and Citroen have just announced a production line for a new entry level light commercial vehicle (LCV) at the Tofas plant in Bursa, Turkey. The new LCVs will be developed jointly by Fiat, PSA Peugeot Citroen and Tofas and will be built by Tofas. With their compact size, useful features and contemporary styling, these vehicles represent a totally new addition to the small panel van segment. Measuring 3.86 metres in length, the new vans are extremely roomy inside, with a load volume of

2.4 cubic metres. A stowable passenger seat enables capacity to be increased to 2.8 m3 for a loading space length of 2.5 metres. These highly functional vehicles feature optimal loading height and large side-hinged rear doors and sliding side doors that make the loading bay easily accessible. The bright, modern, roomy cab combines practical, functional features with advanced ergonomics, designed to ensure comfort and wellbeing for intensive professional use. Standard equipment includes power steering for driving comfort, as well

as ABS and a driver airbag for enhanced safety. Many other options usually found in higher-priced segments are also available, including parking sensors, a separate cab locking system and additional storage space. Proven petrol and diesel engines, both fuel efficient and environmentally friendly (119g of CO2/km in diesel-equipped versions), contribute to lower running costs. Marketed as the Fiat Fiorino, the Citroen Nemo and the Peugeot Bipper, the new vehicles will be gradually introduced to the market.

Medicines and Motoring May Not Mix FEW drivers who take over-the-counter medicines appreciate the affect they can have. This includes professional and part-time van drivers, who are high mileage drivers and often on long journeys behind the wheel. While we all normally pay attention to major health problems that can affect our driving skills, we pay less attention to the host of mundane illnesses that affect many drivers and can 48

increase the risk of having a crash. A cold, a headache, tiredness, stress, indigestion, a stiff neck, a bad back, stiff joints: the list is endless. Hay fever sufferers at the wheel, for example, may pose a risk to themselves and other road users at this time of year. A sudden burst of sneezing can often cause a driver to lose concentration and vision for a considerable distance. This means that if a

hay fever sufferer has a bout of eight or nine sneezes when travelling at 120 km on a motorway, vision could be lost for up to half a mile. If you donâ&#x20AC;&#x2122;t suffer from hay fever, remember that the driver in front or behind you may be one of the thousands of hay fever sufferers in Ireland about to have a bout of sneezing and be affected for some considerable distance.

LOOKs like a car. loads like a van.

THE ALL NEW PEUGEOT EXPERT www.peugeot.ie

Standard Car Features

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• • • • • • • •

• • • • • •

ABS & brake assist Electric front windows Electric door mirrors Stereo / in-dash CD player Driver / passenger seat rake adjustment Driver / passenger seat belt fastened indicator Central locking & immobiliser Front head restraints

Full steel bulkhead 180 degree opening rear doors Twin sliding side doors Choice of short or long wheelbase Payloads from 1000kg – 1200kg Load lugging engines from 1.6 HDi 90bhp – 2.0 HDi 120bhp

FROM €17,901 ex-VAT*

FROM PROFESSIONALS TO PROFESSIONALS Front fogs optional extra. *VAT inclusive price from €21,650. Delivery related charges not included.

RN January/February08Commercial Transport ●

Irish CD Van & Commercial SUV of the Year 2008 winners in the van market. Both of our winLouise Egan, Marketing Manager of ners are excellent commercial vehicles Kia Ireland for the Cee'd Van, while and are great examples of their specifthe Semperit Irish SUV Commercial of ic van segment.” the Year award was presented to Last November, the Kia Cee'd car David Harpur, Managing Director of finished second to the Ford Mondeo Land Rover Ireland and John Paul in the Semperit Irish Car of the Year Mooney, Marketing Manager of Land awards, while last October, the Land Rover Ireland for the Freelander 2 Rover Freelander 2 was voted Commercial. Scottish SUV of the Year. Both the Paddy Murphy of Semperit, Cee'd and Freelander have somethe awards sponsor, commentthing else in common - both have ed: “The van market in Ireland been awarded an excellent five stars is a very healthy 6% up on last for ' Adult Occupancy' and four stars year; you can take that as a for ' Child Occupancy ' in the Euro good indicator of the strength NCAP crash tests. of the Irish economy. In tandem with the growth in the market, the choice to operators continues to grow. I am sure that winning this Semperit Irish Van of the Pictured with the Land Rover Freelander are Year Category Award will Noel McGrath, Semperit Ireland; David Harpur, support the success in the Land Rover Ireland; Tony Toner, IMWA Van marketplace for both the Jury; and Jarlath Sweeney, IMWA Van Jury. Cee’d and the Freelander.” Deciding on these category winOn behalf of the Irish ners, the IMWA jury members (myself Motoring Writers Association, included) took into account such Tony Toner, who jointly presentattributes as: load capacity, reliability, ed the awards, said: “This is only overall versatility, cost of ownership the second year that we have and drive comfort. Pictured with the Kia C’eed are Jarlath awarded these van category titles The Semperit Car-Derived Van of Sweeney, IMWA Van Jury; Noel McGrath, Semperit Ireland; Louise Egan, Kia Ireland; and I believe they recognise two the Year award was presented by Noel Tony Toney, IMWA Van Jury. important and growing segments McGrath of Semperit Ireland to FOLLOWING on from the Fiat Scudo winning the Semperit Irish Van of the Year 2008 award, the Kia Cee’d has taken the Semperit Irish Car Derived Van of the Year title and the Land Rover Freelander has won the Semperit Irish Commercial SUV of the Year award.

10m Transporter Drivers Can’t Be Wrong A remarkable milestone has been reached as Volkswagen Commercial Vehicles has now produced in excess of 10m examples of the iconic Transporter. This year marks the 60th anniversary of the creation of the model. The Volkswagen Transporter is unique. Not only is it one of the most easily recognised vans ever designed, it’s also built up a loyal following. Its popularity has been sustained, remaining Volkswagen’s best-selling van. Volkswagen points out that this success is not just due to the Transporter’s style and design, but also their reputation for quality, dura50

bility and competitive whole life costs, a nationwide network of dedicated dealerships, plus the wide range of derivatives available to suit everyone’s needs. This includes low, medium and high roofs, short- and long-wheelbases, generous payloads, a choice of four and five-cylinder TDI engines; plus the Caravelle people carrier models and even the California campervan. This landmark production figure now being

celebrated is a serious achievement after all ‘10 Million Transporter Drivers Can’t Be Wrong’, can they?

RN January/February08Commercial Transport ●

Volkswagen Unveils New Caddy Maxi THE new Caddy Maxi has made its world debut at the European Road Transport Show late last year. Measuring 470mm longer than the conventional Caddy (bringing the overall length to 4,873mm), the new Maxi lends greater versatility and load-carrying capacity to the popular Caddy range. The new Caddy Maxi is capable of carrying a load weighing up to 800kg in a cargo bay measuring 4.2 cubic metres. The load floor measures 2,250mm in length and can be extended to over 3,000mm in length through the adoption of the Vario partition system and a folding passenger seat. Between wheel housings, the new Caddy Maxi measures 1,170mm in width, while the vehicle is capable of towing a trailer load of

up to 1,500kg. The German market vehicle will be offered with a choice of a single petrol and two diesel engines. The 102 PS petrol engine is joined by 1.9-litre TDI diesel engine, developing 105 PS, and a range-topping 2.0-litre TDI unit, producing 140 PS. The new Caddy Maxi forms the basis for the Caddy Maxi Life people carrier. Capable of carrying up to seven passengers, the Life features three rows of seats – the final row of which can be removed to allow for a greater load volume.

The conventional Caddy will continue to be offered in addition to the new Maxi model. The Caddy maxi is due to go on sale in Ireland in the coming weeks. Pricing and specifications for the Irish market for the Caddy Maxi will beavailable closer to the vehicle’s launch.

New Diesel Engine and Higher Payloads for Transit THE commercial vehicle market continues to evolve, and if you don't want to fall behind, it's important to continue to develop your product range to meet customers' changing needs. With this in mind, Ford is now introducing a number of developments in the Ford Transit range. These have been created to help operators manage the changing needs of transportation. The all-new 3.2-litre, five cylinder, TDCi engine is now available, developing 200 bhp and 470Nm of torque. It meets stage IV emissions and is offered with rear-wheel drive transmission and an upgraded six-speed gearbox. As on all other Transit versions, adaptive ESP is standard. The new model can easily be identified on the street by the unique front styling which features additional air intake. With a move by some operators to climb the payload ladder and other operators downsizing from 7.5-

tonne trucks, the Transit range is being extended to take advantage of these new market opportunities. The 4.6 tonne (N2 class) range of vans, chassis and chassis double cabs is available with both the six-speed 140bhp and the all-new 200bhp RWD powertrains. Emergency services and municipal services, as well as the construction and motor home industries, benefit from high gross vehicle mass (GVM). Both axles have been strengthened for this application to accommodate 1,850 kg in

the front and 3,300 kg in the rear. Also, to cope with the extra payload, these versions come with larger rear brake callipers, a heavy-duty hand brake lever, uprated rear springs, revised front and rear damper settings and a new front damper for the chassis cab. For operators who demand greater loading latitude from their vehicle, whilst remaining within the N1 class legislation, the new 350 Heavy Duty (HD) series of vehicles would seem ideal. The 350HD is now available and will feature on a range of panel vans, chassis and chassis double cabs with both the 140PS and 200PS powertrains. Finally, in line with the market for these new models, an increased capacity fuel tank option will be available, and it increases rear wheel drive Transit capacity from 80-litres to 103-litres for customers requiring greater range.

RN January/February08Commercial Transport ●

Outlander Seals Mitsubishi's 4x4 Commercial Credentials THE Mitsubishi Outlander Commercial has been named ‘Best 4x4 Van’ at this year’s prestigious ‘What Van?’ Awards in the UK. Mitsubishi says that this firmly establishes the Japanese manufacturer as the 4x4 commercial vehicle supplier of choice there, regardless of the job in hand. ‘What Van?’’s Neil McIntee commented that the Outlander Commercial is “capable in the rough and user-friendly around town and on

either, fording streams and tackling muddy ascents and descents, and rutted boulder strewn tracks with ease”. Here in Ireland, the Glen of Imaal Mountain Rescue team have taken delivery of a new Mitsubishi L200 DoubleCab (pictured bottom), which will be a key resource in the team’s front-line mountain rescue operations in the East of Ireland. On receiving the new L200, Mark Casciani, Chairman of Glen of Imaal

rural routes and high speed intercity runs”. He also noted that its specification, handling on-road and off-road and faultless reliability make it “a handy package for everybody from the construction site foreman to the local vet.” Mitsubishi recently announced that it will be adding an additional 20,000 units of production to its Nedcar plant in Holland for 2008 to help satisfy pan-European demand. Meanwhile, Mitsubishi also collected the ‘Best Pickup’ Award for the 11th time since 1993 with the L200. What Van?’s Neil McIntee again commented that the L200 was a good example of a “stylish, well equipped comfortable package… not lacking in punch around town or the motorway”. He also noted that it “is no slouch off-road

Mountain Rescue, added: “The addition of the L200 to our operation is a huge bonus. It’s ideal for carrying personnel and equipment and its 4-wheel drive capability will allow us to move quickly and easily to the scene of incidents. And as a Mitsubishi, we know that it’s hugely reliable.” In addition to these big award winners, Mitsubishi also has the modern and popular Pajero range of 4x4 SUVs.

Mercedes-Benz Adds ECO-Start to Sprinter AN engine that is not running does not need any fuel. This truism helps the Mercedes-Benz Sprinter to save fuel and thereby reduce its environmental impact. If the vehicle is stationary with the engine idling and the transmission in neutral for more than three seconds, the engine is automatically switched off. As soon as the driver depresses the clutch pedal again, the engine re-starts. The potential for saving fuel is considerable: in some cases, depending on application and traffic density, drivers managed to cut their fuel consumption by as much as 20%. On average, the amount saved will probably be around 58%. The system performs to best advantage in urban use involving frequent stops in traffic queues or at traffic lights. Safety is provided by sophisticated electronics. If the vehicle starts to move, the engine is started so as to ensure that servo assistance for the steering and brakes is maintained. In all other cases, the engine does not re-start until the clutch pedal is fully depressed. If the battery voltage is low or if an attempt by the system to start the engine has failed, the ECO-Start function is deactivated. In addition, the system’s safety logic checks whether the bonnet is closed to make sure that no one can be injured if the engine suddenly starts. The driver can also deactivate the system by means of a button on the instrument panel. To avoid cold starts on the one hand and overheating on the other, the system only operates at coolant temperatures of between 40°C and 100°C. The comfort of the occupants is also taken into account: when the outside temperature is below freezing point, the engine is not switched off. ECO-Start is available worldwide for all Sprinters with diesel engines and manual transmissions.

RN January/February08Commercial Transport ●

Van-tastic Results for ‘Green Driving’ THE real benefits of ‘green’ driving came into sharp focus last week when competitors in the 2007 AA/ALD Automotive MPG Marathon proved beyond doubt that skilful eco-driving can dramatically reduce the cost of motoring and cut the amount of CO2 emissions produced by millions of motorists. Vans, or light commercial vehicles, also proved what could be achieved if driven more thoughtfully. The LCV entries were also measured upon ‘cost per tonne’ per mile (CPTM) in the absence of manufacturers’ combined figures. Commercial vehicle drivers in the AA/ALD MPG Marathon in the UK clearly demonstrated the potential for fuel savings that can be achieved through skilful eco-driving. Six commercial vehicles took part in the event that included urban centre driving, motorways and country roads and presented competitors with the sternest possible test of their driving skills. Vehicles competed in separate classes, according to their gross vehicle weight, each carrying the equivalent of half its gross payload, in order to give the event the highest possible relevance to the freight industry. The winner here was the Mercedes-Benz Sprinter, recording the overall lowest cost per tonne mile of 14.85 pence Sterling. The overall winner of Best MPG for vans was the Opel Corsa van which achieved a remarkable 81.02 mpg. The organisers say that the victory sets a new benchmark by which other vans’ productivity will be measured. The objective of the MPG Marathon was to promote eco-driving for all motorists to save lives, money and reduce a motorist’s overall carbon footprint. This is becoming increasingly important in the commercial world, where businesses run large fleets of company cars and vans. Here, reducing costs, wear and tear on the vehicles and improving fuel efficiency add to 54

the business bottom line, as well as helping fleet managers meet their health and safety obligations. In the future, the growing importance of telematics will add to this mix to help control overall business costs. The event highlighted the increased significance of ecodriving and how it will importantly deliver business value for money and play a leading role in reducing CO2 as climate change leads to behaviour change. It will also have a significant impact upon risk management practices within businesses, along with further developments in telematics and fuel technologies, which will reduce a driver’s carbon footprint. “After vehicle depreciation, fuel expenditure is the biggest cost facing every fleet,” noted ALD Automotive Marketing Director, David Yates. “With fleet budgets continually under the corporate microscope, cutting fuel bills is not only financially beneficial to business but vehicle emissions are also reduced.

“Fleets should spend more time examining vehicle choice lists and by operating vehicles with low CO2 emissions, fuel economy is a major spinoff. But just as importantly, we all need to encourage employees to adopt a smoother - and ultimately safer driving style.” The bottom line is that skilled driving techniques work and can make a dramatic impact upon miles per gallon. This leaves the question of how do employers incentivise their van drivers to drive more carefully and not to waste fuel, wear-out brakes and tyres etc? That, I will leave you to decide.

About the Author TOP Irish motoring journalist Padraic Deane has written a special annual feature on commercial vehicles for business in RETAIL NEWS for many years. He is managing editor/ publisher at Automotive Publications, which includes titles such as the Motorshow Car Buyers Guide and the Auto Trade Journal. He also writes a weekly consumer motoring column in several regional newspapers. In addition, he represents Ireland on the 'World Car of the Year' awards, which includes 'Word Performance Car'; 'World Green Car' and 'World Car Design of the Year', as well as being a judge in the 'International Engine of the Year' awards. In addition, he is a former Chairman of the Irish Motoring Writers Association where he still adjudicates on the 'Irish Car of the Year', 'Irish Van of the Year' and the 'Commercial SUV of the Year' awards.

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Isuzu N-Series

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RN January/February08Commercial Transport: BIK ●

Benefit In Kind on Company Vehicles A quick guide to Benefit in Kind on company vehicles, including some potential ways to save money.

The

provision of company vehicles by employers to staff is a valuable incentive in the retention of and the attraction of new employees. Where the company vehicle is available for the private use (travel to and from work is treated as private use) of the employee, the employee is liable to PAYE and PRSI on the value of the BIK. The charge to BIK is calculated by reference to the type of vehicle supplied i.e. passenger or commercial. We have, in the paragraphs below, set out a brief analysis of the calculation of BIK for both passenger and commercial vehicles.

Passenger Vehicles The BIK on passenger vehicles is calculated at 30% of the original market value of the vehicle supplied. This may be reduced for annual business mileage of the employee and any amount which the employee makes good to the employer. The reduction for business miles is set out below: 56

Annual Business Miles % of BIK 15,000 or less 30% 15,001 to 20,000 24% 20,001 to 25,000 18% 25,001 to 30,000 12% 30,001 or over 6%

Exception to the Charge to BIK The only exception to a charge to BIK in respect of the provision of vehicles to employees is where the vehicle(s) is held in what is termed as a ‘pool’. A pool’ means that the vehicle is:

Commercial Vehicles The BIK in respect of the provision of ‘commercial vehicles’ to employees, rather than passenger vehicles, results in a significantly lower charge to BIK for the employee and a saving in PRSI for the employer. A commercial vehicle is distinguished from a passenger vehicle if it meets the following criteria:

1. Made available to, and is actually used by, more than one employee and is not ordinarily used by one employee to the exclusion of others, and

1. It is a mechanically propelled vehicle which is designed or constructed solely or mainly for the carriage of goods or other burden, and

3. It is not normally kept overnight at the home of any of the employees.

2. It has a roofed area (s) to the rear of the driver seat and has no side windows or seated fitting in the roofed area(s). The BIK on commercial vehicles is calculated at 5% of the original market value of the vehicle supplied. This may be reduced by any amount which the employee makes good to the employer in respect of the cost of providing or running the vehicle.

2. Any private use of the van by the employee is nearly incidental to business use, and

Conclusion As illustrated above, employees can save up to 25% of the charge to BIK where a commercial vehicle is provided to them (i.e. depending on annual business miles). In addition to the saving to employees, the employer also benefits from a PRSI saving of up to 10.75% of the value of the reduced BIK. For further information please contact a member of the tax department at Oliver Freaney & Company at 01 614 2500 or email at info@ofc.ie

22173 Mitsubishi BIK A4

07/01/2008

16:04

Page 1

This commercial decision WILL save you thousands! BIK may stand for Benefit-In-Kind but for you and your employer it spells COST! There’s the cost of the vehicle, PAYE obligations, PRSI contributions, depreciation and road tax. But you and your employer can save thousands by having a commercial 4x4 as your company vehicle. Take the Outlander Business, at €29,950. It delivers class leading space, towing capacity and emission levels at 175 g/km – that’s better than many mid size cars. It also delivers significant Benefit In Kind (BIK) savings vs. the cost of a similarly priced passenger car. Price comparison:

Mitsubishi Outlander

Retail Price

€29,950

Employee Benefit In Kind

€614

€3,683

Employer Benefit In Kind

€180

€1,078

Motor Tax

€277

€590

VAT reclaimable on vehicle cost

€4,289

None

Passenger Saloon €29,950

In the first year alone, the combined savings come to €8,569. It’s win-win and makes incredible commercial sense. And when it comes to which commercial 4x4 to go for, there is also only one winner – with 70 years at the forefront of 4x4 development it has to be… Mitsubishi.

Outlander Business (€29,950) 2.0L DID Engine On demand 4 wheel drive system 40 mpg Loads of cargo space Greenest SUV in its class – 175g/km

Pajero Commercial (from €36,495) Cruise Control Traction Control Super Select 4 wheel drive Air conditioning 12 Paris – Dakar Rally wins

2,000kg of Great re-sale towing capacity value

For further information get in touch with our dedicated Business Sales Team at: www.mitsubishi-motors.ie or call 1890 41 51 61. Taxable Employee BIK is based on 30% of the retail price of the passenger vehicle and 5% of the commercial, and calculated at the applicable PAYE rate of 20% or 41%. 41% is applied in this example. Taxable Employer BIK is calculated at 12%. BIK on a passenger vehicle can be reduced on a sliding scale based on the level of business mileage that an employee undertakes in a year. The road tax rate for the passenger saloon example is based on vehicles in the 1901cc - 2000cc engine range. All prices quoted for vehicles include VAT but exclude dealer delivery and related charges.

RN January/February08Fairtrade Fortnight ●

Fairtrade’s Fair Outlook With Fairtrade Fortnight 2008 taking place from February 25 to March 9, we look at the rising popularity of Fairtrade products in Ireland.

2007

saw significant growth again in Ireland for sales of Fairtrade certified products. The increase in sales is significantly above the international average of approximately 40% growth per year. The growth in sales of Fairtrade certified products is being driven by a number of factors. A consumer survey conducted in April 2007 showed that 53% of Irish adults were now aware of the Fairtrade Mark and

over 33% of respondents claimed to have a bought a Fairtrade product in the previous four weeks. Around the country, there are now about 60 voluntary Fairtrade groups, who promote Fairtrade in their local areas, which helps to raise awareness of the issues involved. As a response to this increasing consumer awareness about Fairtrade, some retailers have significantly

increased the range of Fairtrade Mark products which they stock and this trend is likely to continue.

The Company Decision But Fairtrade isn’t only about customers making decisions – it’s also about companies making their own decisions. Ireland has seen an increasing number of coffee shop chains like Insomnia, Esquires and Nude changing

Kinsale Distribution Co. – A Fairtrade Adventure AT last October’s SHOP event in Dublin, the cream of Irish food experts awarded Kinsale Distribution Co. (KDC) two awards for new Fairtrade products that are now available nationally. In May 2006, KDC took an initial Fairtrade package, including over 100 lines, to the trade, and by October that year, they shipped their first orders. With support from Tesco, Dunnes Stores, and several individual SuperValu owners who share something of the Fairtrade vision, the business has grown rapidly. Fairtrade nowadays goes beyond coffee and tea, and includes chocolate, healthy cereal bars, juice, confectionery and bakery. So KDC provides a full Fairtrade section for any retail store. As customers get used to using their wallets as their only weapon against poverty, exploitation, and corruption in global food markets, KDC continue to bring the very latest products to market. The latest additions to the range are the first Fairtrade cola, and a new range of savoury nuts. Contact: Kinsale Distribution Co. 32 Rincurren Rise, Kinsale, Co. Cork. Tel: 021 4773273. Mob/Text: 087 2219266. Email: alan.clayton@indigo.ie. Blog: http://tradefairireland.blogspot.com/ 58

RN January/February08Fairtrade Fortnight ●

over to 100% Fairtrade certified coffee and this trend towards category conversions is also now happening in the retail sector. In other countries, some of the largest retailers have converted 100% of their own-label products like tea, coffee and bananas to Fairtrade. All of Marks and Spencer’s tea and coffee is now Fairtrade. Other recent examples of

this kind of thing happening in Ireland include the decision by Robert Roberts to convert 100% of their retail black tea to Fairtrade by the end of 2008; the Lidl supermarket chain will convert all of their organic bananas to organic Fairtrade bananas early in 2008 and Dunnes Stores are launching a range of towels made from Fairtrade certified cotton, also early in 2008. These kinds of decisions and the continued interest from Irish customers are likely to ensure that growth in sales for Fairtrade certified products continues in 2008 and beyond.

Kenco Sustainable Development Coffee

Green & Black’s Organic Chocolate

KENCO Sustainable Development Coffee offers consumers a 100% ethically sourced cup of coffee, made from 100% Arabica beans that are carefully selected from farms certified by the Rainforest Alliance. Kenco Sustainable Development is available in two great formats suitable for the retail convenience channel. In the Kenco FreshSeal cup, loose ingredients are kept secure under a foil seal so that drinks are fresh every time. Simply pull back the foil to remove the seal, then add hot water. Just add a sip lid and go! For the consumer, Kenco FreshSeal looks and feels like a coffee shop paper cup, but features strong plastic fins and a branded wrap to minimise heat transfer. Alternatively, Kenco Singles have a new machine that allows you to serve drinks up to 12oz, satisfying the trend towards larger cup sizes. Kenco Sustainable Development Coffee singles capsules are available to fit these machines - perfectly suitable for retail convenience, providing convenient and high quality hot drinks to your customers. Contact: The Kenco Coffee Company. Tel: 01 6052665. Email: info@kencocoffeeco.ie.

GREEN & Black’s are passionate about making the ultimate chocolate, whether it’s sourcing the finest organic ingredients, or using traditional techniques designed to produce the best possible flavour. The Green & Black’s story began in 1991 when Craig Sams, founder of Whole Earth Foods, and his wife, journalist and confirmed chocoholic, Josephine Fairley, founded the UK’s first organic chocolate brand. They launched with a high-quality, bittersweet Dark organic chocolate bar, packed with 70% cocoa solids. Green & Black’s Maya Gold chocolate is a rich blend of intense dark chocolate and refreshing twist of orange, perfectly balanced by the warmth of cinnamon, nutmeg and vanilla, and was the first product to be awarded the Fairtrade mark in 1994. The Green & Black’s range now spans Dark, with 70% cocoa solids, to creamy vanilla White Chocolate bars, which are delicious eaten straight from the pack, or used in cooking.

W IN A F AIRTRADE H AMPER TO be in with a chance to win a fabulous Fairtrade Hamper, courtesy of Kinsale Distribution Co. and RETAIL NEWS, all you have to do is answer the following question:

How many awards did Kinsale Distribution Co. win at last year’s SHOP exhibition? Was it (a) one, (b) two or (c) none? Answers on a postcard to RETAIL NEWS Fairtrade Hamper Competition, Tara Publishing Co. Ltd; Poolbeg House, 1-2 Poolbeg St, Dublin 2; or email: info@tarapublishingco.com with your answer.

RN January/February08Pasta & Sauce ●

The Italian Job Convenient, tasty and nutritious: it’s no wonder the pasta and pasta sauce market continues to grow.

The

pasta market in Ireland is growing in size, popularity and mainstream appeal as the Irish consumer increasingly becomes time-poor, and seeks time-saving meal solutions. Indeed, it is estimated that the market for pasta and noodles increased at an average rate of 2.9% per annum between 2000 and 2005, while the pasta and pasta sauce market grew by a phenomenal 66% between 1999 and 2004. With Irish consumption levels still lagging behind most of our EU counterparts, however, the future looks very bright for pasta and pasta sauce, particularly as new products feed into consumer trends towards easy-to-prepare meals. Pasta and pasta sauces dovetail neatly with Irish consumers’ desire for quick, nutritious and tasty meal solutions, with Spaghetti Bolognese now as popular as ‘meat and two veg’ on dinner tables the length and breadth of the country. The recent snacking trend has also had an important effect on the pasta market

and has led to the launch of many new products, including instant pot snacks. The pasta market continues to enjoy strong market growth, underpinned 2008 is set to be a very exciting year for the by the pasta sauces segment, with Roma brand, which celebrates its 50th uptake highest among the most birthday. affluent in Irish society, with sales of fresh pasta showing strong growth. With over 80 different products, the Indeed, lifestyle and employment Roma portfolio includes tomatoes, olive changes are also helping to boost pasoils, pasta sauces, rice, passatas, puree ta consumption, as increasing numand antipastos. The brand’s focus on bers of cash rich, time poor consumers providing these quality, affordable value its versatility and convenience. Italian food ingredients and meal solutions has been central to its success to date. This success is most evident in Shamrock Foods the dried pasta category, where Roma 2007 was an extremely successful enjoys a 48% market share, along with year for Roma dried pasta, which strong market positions in the tomaaccording to ACNielsen (MAT Dec toes and olive oil categories also. 02/07) enjoyed a 10% growth in sales. 2007 proved to be yet another busy The brand contributes this success to year for the brand, with the Roma its continuous commitment to providorganic range undergoing a signifiing quality, affordable Italian ingrecant packaging redesign. Comprising dients and its focus on strong cusof 10 high quality products such as tomer promotions and new product tomatoes, olive oil and five different innovation. pasta varieties, the new look range 2008 is set to be a very exciting reinforces Roma’s commitment to proyear for the brand, which celebrates viding high quality organic products. its 50th birthday. The Roma brand This new distinctive packaging is was established in 1958 and has being rolled out over the coming grown to be one of Ireland’s leading weeks and, with a host of new prodfood brands. Roma could not have ucts on the way, the Roma brand met this milestone without adaptlooks set to go from strength to ing to changing consumer tastes, strength in the coming year. none more evident than products such as Roma Organics. The birthday is set to be marked with strong Mars Ireland marketing activity and customer Dolmio from Mars is Ireland’s number promotions. one Italian sauce brand with a 61.6%

R ●N January/February08Pasta & Sauce

recently re-launched its Bolognese sauce range, which now only contains 100% good, honest ingredients and still no artificial colours, flavours or preservatives. The premium segment of the Italian sauce market has grown significantly over the past number of years and Dolmio has responded to consumer needs Dolmio’s Taste of Italy range consists of four and changing trends by delicious pasta sauces that capture the introducing a new range of authentic flavours and tastes of the four premium, ready made pasta Italian regions from which the recipes sauces – Dolmio’s Tastes of originate: Calabria, Tuscany, Sorrento and Rome. Italy. The Taste of Italy range consists of four delishare of the pasta sauce market (Source: ACNielsen Total Scantrack MAT Share Dec 30/07). Dolmio offers a wide range of pasta sauces that are tailored to consumer needs, enabling them to prepare nutritious and tasty meals with minimal fuss. Bolognese sauces are at the core of the Dolmio brand with 69.6% share of the Dolmio offers a wide range of pasta sauces Bolognese market (Source: that are tailored to consumer needs, enabling them to prepare nutritious and tasty ACNielsen Total Scantrack meals with minimal fuss. MAT Share Dec 30/07). Dolmio

Dolmio Launch Recipe Booklet DOLMIO have launched a Best Ever Bolognese Recipe Booklet, with the support of six Irish ‘Mamas’ and Celebrity Chef, Lesley Waters (from Ready Steady Cook). Thanks to their prize-winning Best Ever Bolognese recipes, six Irish Mamas (currently appearing on www.rte.ie/dinnerwithdolmio cooking with Lesley Waters) have been given the chance to share their solutions to common ‘Dinnertime Dilemmas’ by including their very own Bolognese recipes in the booklet. The six winning Mamas were Nancy Hennessy (Co. Westmeath), Fiona Lavelle (Co. Kilkenny), Susan McDonald (Co. Galway), Mary McKenna (Co. Kilkenny), Kathy Leo (Co. Galway) and Mary Jackman (Co. Limerick), who as part of their prize, won a long-weekend break for two in Bologna.

cious pasta sauces that capture the authentic flavours and tastes of the four Italian regions from which the recipes originate: Calabria, Tuscany, Sorrento and Rome. Consumers simply heat and pour over freshly cooked pasta for a delicious meal for two. Offering a complete meal solution in a matter of minutes, Dolmio Express is perfect for those occasions when consumers want a quick and easy to prepare meal, without having to compromise on taste or nutrition. The Dolmio Express range consists of a wide choice of pasta sauces and pasta. As well as catering to adult needs, the Dolmio range also includes an innovative range of microwaveable pasta and pasta sauces for kids. The ‘My Dolmio’ range offers a complete meal solution for parents who struggle to find convenient, healthy food that kids enjoy. All of these innovative new developments, as well as Dolmio’s full range of products, including lasagne, pasta bakes and stir-ins, the brand's memorable advertising, in-store programme of activity and PR, ensure the brand will stay one Ireland's most loved brands for years to come.

Knorr Ragu Knorr Ragu bolognese sauces offer Irish consumers a great tasting, easyto-prepare meal that is crammed full of tomatoes. More tomatoes means more lycopene - a naturally occurring antioxidant, which helps to protect your body’s cells – making taste not the only reason to choose Knorr Ragu. Knorr

Knorr Ragu bolognese sauces offer Irish consumers a great tasting, easy-to-prepare meal that is crammed full of tomatoes. 61

RN January/February08Pasta & Sauce ●

Ragu is also completely free from artificial flavours, colours and preservatives. There are seven flavours to choose from – each one thick and chunky enough to have with mince or try it on its own with pasta - it is incredibly versatile and incredibly tasty. Knorr Ragu Lasagne Kit also remains a popular choice for a tasty meal from Knorr.

Real Irish Food Company The Real Irish Food Company is a range of premium pasta sauces, relishes, dressings, preserves and salsas which have been recently launched into the Irish marketplace. The company is 100% Irish owned and all of the products in the range are produced at their manufacturing facility in Drogheda, Co. Louth, and distributed

New Buitoni Pasta for One can be found in tortelloni and cappelletti varieties and Buitoni Pesto Genovese is now available in a handy 80g portion.

Nestlé

Carroll Cuisine

Buitoni, the leading authentic Italian fresh pasta brand in Ireland, has recently launched a fantastic new single serve range. Buitoni Pasta for One can be found

Carroll Cuisine continues to lead the way with what they claim is the number one branded chilled ready meal in the Irish market – Carroll Cuisine Fresh Lasagne. This hugely successful product enjoyed vast growth throughout 2007 and further established its position as market leader. Carroll Cuisine Fresh Lasagne is made up of fresh pasta layers, a delicious meaty base, and is topped with a creamy sauce and grated cheese. The key to the success of the Carroll Cuisine Lasagne is an extremely convenient meal ready in minutes, with no compromise on taste, and one that offers great value to consumers. It is available in two convenient sizes, 350g and 1kg, designed to meet consumers’ needs for individual or family meals.

The Real Irish Food Company premium pasta sauces contain no artificial colours, flavours or preservatives.

by the Jacob Fruitfield Food Group. Only the finest ingredients are used to make the Real Irish Food Company products and there are absolutely no artificial colours, flavours or preservatives. All products are made in small batches, ensuring that the full flavour and texture of the ingredients are maintained, giving the best flavour. There are three sauces to choose from in the pasta sauce range: Roasted Red Pepper & Garlic Sauce, Vine Tomato & Jalapeno (for that extra kick) and Tomato & Fresh Basil (the classic Italian). All sauces are extremely convenient, allowing consumers to prepare tasty meals in minutes. 62

in tortelloni and cappelletti varieties and Buitoni Pesto Genovese is now available in a handy 80g portion. With a neat shelf ready outer, it’s perfect for convenience opportunities. Buitoni is also back on TV with a fantastic new ad which asks 'How good is your Italian?' The ad, which was produced in Ireland, focuses on the quality of the ingredients used in Buitoni products and demonstrates the versatility of the newly extended range. Consumers can also log onto the relaunched website, www.buitoni.ie, to find out more about ways to enjoy Buitoni fresh pasta and sauce.

Carroll Cuisine Fresh Lasagne enjoyed vast growth throughout 2007, with further growth predicted for 2008.

RN January/February08By The Bottle ●

The New Generation of Drinks A number of new bottled alcoholic drinks are really shaking up the market, with massive profit opportunities for retailers.

number of brands across a variety of sectors (beer, cider, PPS) are making a massive impact in Irish bars and offlicences, particularly with students and trend-setters, an important and growing market. This new breed of drinks are sophisticated, premium products from around the world, which are hitting all the right notes with Irish consumers.

Coors Light Coors Light, from Heineken Ireland, now ranks as the 5th biggest lager in Ireland and has become one of the fastest growing lager brands in the country, thanks to the massive growth of Coors Light draught and the continued strong performance of Coors Light in bottle and can. While the increasing availability of Coors Light on draught throughout Ireland has greatly helped the brand grow faster than its major competitors, the Coors Light bottle remains a favourite among Irish

Coors Light, from Heineken Ireland: one of the fastest growing lager brands in the country.

Ireland (MAT Nov 07). Overall, the brand is continuing to grow faster than the off-trade lager market year-onyear. 2007 saw the brand enter the bottle box market for the first time with a great offer on its 15-bottle pack. Due to the success of this SKU and the trend towards larger bottle packs in the off-trade, Coors Light will be moving into bigger and more competitively priced bottle box deals in 2008. The Coors Light can now claims 3.3% market share (MAT Nov 07). Coors Light is also looking forward to the introduction of a new 8-can fridgepack in March, along with other exciting initiatives for the off-trade channel, which the brand will be progressing throughout the year. After the phenomenal success of the brand’s latest above-the-line campaign, ‘Amazing Things Happen High in the Rockies’, Coors Light will be on TV from February with the second ad in the series. The latest ad was shot in Colorado in December and once again brings the dynamism of the Rocky Mountains to life in a way that only the Coors Light brand can.

consumers. In the on trade market, where the bottle market is increasingly competitive, the Coors Light bottle is now the second biggest bottle beer in Ireland, claiming 19.7% share of the market (MAT Nov 2007). It continues to hold its top position in the lucrative Dublin region, outselling all other bottle brands with a market share of 20.3% (MAT Nov 2007). To add to the success of the bottle, Coors Light draught is now the 5th largest draught in the country and has grown by 17.3% in the past year (MAT Nov 07). Carlton Cold is a In the off-trade, Coors Light genuine Australian performed strongly in both bottle import PPL, which and can throughout 2007. The offers a fresh Coors Light bottle claims 4.7% of alternative in this the total off-trade bottle market in fast growing sector.

Carlton Cold Recently launched by Richmond Marketing, Carlton Cold is a genuine Australian import PPL, which offers a fresh alternative in this fast growing sector. It’s targeted at 18-25 year old males and females seeking an alternative to mainstream beer brands 63

RN January/February08By The Bottle ●

and is Australia’s most popular young adult beer brand. This would apply particularly to students, first jobbers, and surfers. Cold has an ABV of 4.6% and has a crisp, clean, and refreshing light beer taste, packaged in a distinctive 375ml clear bottle and 6-packs. Backed up by a €250,000 promotional campaign, including national radio surf reports, extensive real Australian sampling teams and surfboard giveaways, the brand is sure to establish its Australian and surfing credentials. The brand also kicks off its first Carlton Cold Classic surfing competition for the best surfers in the country in February. Time and location will be dictated by the waves!

Crown Lager Richmond Marketing have also launched Crown Lager in the Irish market. It is Australia’s Gold Standard and is one of the finest imported beers on the market. Elegant and contemporary, it is Australia’s foremost premium beer and a revered iconic brand. Crown Premium lager combines the finest natural ingredients, expertise and craftsmanship, with a classic elegant design. First crafted in 1919 at the Abbotsford Brewary in Melbourne, this exquisite creation was originally something of an exclusive beverage and was not released to the rest of the nation until 1953. Crown has an ABV of 4.9%, packaged in an impressive 375ml bottle and available Crown Premium in 6-packs. Crown lager combines the is targeted at 25finest natural ingredients, 40 year old males expertise and and females who craftsmanship, appreciate quality, with a classic elegant design. distinctiveness, 64

and understated elegance that a premium beer like Crown provides. Crown is painstakingly brewed with a very special “doublelagering” process, which delivers depths and layers of flavour, seldom found in New World beers.

Tiger Beer Also from Richmond Marketing, internationally renowned Tiger Beer is brewed to be full flavoured and refreshing, with a low aftertaste. It is the genTiger Beer, the uine Asian beer world’s most popular Asian and is Ireland’s beer, is brewed (and the world’s) to be full most popular flavoured and refreshing, with imported Asian a low aftertaste. beer. Imported by Richmond Marketing for the last seven years, it has shown progressive growth every year and is now the leading style beer offering in Ireland with a sales increase in the off-trade last year of over 20%, according to Richmond Marketing. Amongst its accolades, Tiger has won over 35 international medals, including the 2004 World Beer Cup, representative of its quality credentials and thanks to a unique ‘tropical lagering’ process. Its marketing campaign this year will include a new TV advert launching in February and authentically Asian promotions including a Dragon Boat Race for Chinese New Year, which took place on February6, and city centre rickshaws transporting people. Tiger is an essential brand in any ‘World Beer’ category offering.

Kopparberg Cider Kopparberg Cider, from Richmond Marketing, is a range of premium natural fruit ciders made exclusively in the beautiful small town of

Kopparberg in the heart of the Swedish countryside. The brewery uses only the locally sourced soft water to produce the semisweet cider that is so characteristically Kopparberg. Kopparberg is the fastest growing cider brand in Ireland, according to Richmond Marketing. The Mixed Fruit variant is proving particularly popular, with sales in the offtrade running on par with Kopparberg Pear Cider, which is the topselling pear cider in the world.

Corona

Kopparberg Pear Cider, which is performing extremely well in Ireland, is the topselling pear cider in the world.

Ireland has the highest per capita sales of Corona Extra (outside of the USA and Mexico) and is now a brand leader in the bottled beer market, enjoying phenomenal growth. Distributed in Ireland by Barry Fitzwilliam Maxxium, Michael Barry (Managing Director) told us: “I introduced Corona to Ireland in 1990 after spotting the beer being served with slices of lime on a trip to New York in the 1980s. In 2007, we saw sales volumes of Corona Extra climbing 32%, a great achievement considering the disastrous summer weather we had.” The Corona brand is marketed as a premium beer and supported by extensive marketing activity, with key sponsorships including the Corona Cork Film Festival and other events throughout Ireland. 2008 will see the roll-out of several new marketing initiatives to

RN January/February08By The Bottle ●

below-the-line activity focusing on its key brand benefit as a premium and great tasting light beer. The above the line campaign comprised of two TV executions, ‘Reggae’ and ‘Locker Room’, encouraging consumers to ‘Enjoy the lighter side of life’. The campaign also ran on outdoor, radio and press, featuring the ‘Best Tasting Light Beer’ brand message. In addition, July 2007 saw the inaugural Bud Light Revue take place in Dublin, where over 14,000 comedy fans flocked to the Iveagh Gardens to see some of the best Irish and international comedians perform. In 2008, Bud Light will continue to invest in promotional Corona Extra is a brand leader in the bottled activity above- and below-thebeer market, enjoying phenomenal growth line, generating visibility in the throughout the country. off-trade with heavyweight investment in all channels. include TV, adshels, outdoor, proBud Light is available in an extenmotions and ambient media. sive range of standard and promotional pack formats in leading multiples, Bud Light groups and independent off-licences Bud Light has performed extremely nationwide. Leading the field in innowell since its launch in November vation, Bud Light also introduced the 2006 and has secured distribution in 300ml bottle to the off-trade in large most of the leading on-trade accounts bottle formats in 2007, extending its in Ireland. 2007 was a busy year of range of pack formats and variants to activity for the brand, with heavysuit an even wider range of consumer weight investment in above- and drinking occasions. In 2008, Bud Light will be supported with an extensive programme of promotional activity to drive consumer trial, category growth and market share in the off-trade throughout the next year. Alex Smith, Marketing Manager for Bud Light, said, “Bud Light has performed extremely well since its launch and achieved the same percentage market share in six months that it took other leading light beers six years to reach. The light beer category offers immediate sales growth potential as it is outpacing the traditional lager market, with growth in the take home trade in Ireland at 36% year-on-year compared to just 1% for Bud Light is available in an extensive lager (Source: 3 Month Volume Sales, range of standard and promotional pack formats in leading multiples, ACNeilsen Sept 07). This mirrors the groups and independent off-licences trends we have seen in other markets, nationwide.

such as the US, where Bud Light is the number one beer, even outperforming Budweiser. The brand’s success is due, in some part, to its broad appeal to both male and female consumers and the increased consumer demand for light beers.” Bud Light is a premium, full strength beer at 4.1% ABV and is available in 500ml can as well as 300ml and 330ml bottle formats.

Off Trade Continues to Shine THE Irish take-home beer market is enjoying a period of strong growth, at the expense of its ontrade sibling. 2007 saw off trade alcohol sales overtake pub sales for the first time ever, according to the latest figures from Diageo Ireland, selling 52% of all alcohol over the course of 2007, with pubs accounting for the remaining 48% (down from 70% just six years ago). Indeed, it is esimated that pub sales will be down by a further 5% this year. The reasons for the growth of the off trade are many, including the introduction of the smoking ban, the repeal of the Groceries Order, the increase in random breath testing throughout the country and the perceived high cost of alcohol in the on trade, thanks in the main to high excise duties. Changing consumers tastes are also fuelling growth in the off trade. The modern Irish consumer wants authentic tastes and isn’t afraid to experiment with premium products, hence the continued growth in premium bottled beer and cider brands. What was originally seen as a student trend is now a national phenomenon, with this new breed of bottled drinks gaining in market share all the time. Indeed, Heineken Ireland estimate the off trade beer market is growing at 17.4% in volume terms. This can only be good news for off licences throughout the country as more and more Irish consumers engage in at-home entertaining rather than our more traditional pastime of going to the pub. 65

RN January/February08On The Vine ●

Diageo/NOffLA Awards 2008 Jean Smullen focuses on the winners at the Diageo/National Off Licence Association Awards 2008.

One

of the key features of the 2008 Diageo/National Off Licence Awards was the number of women working within the off trade sector who prominently featured on the podium at the awards dinner. This trend was duly noted by Terry Pennington of Gilbeys Wines, Master of Ceremonies, the award presentation in the Guinness Storehouse. Featuring on the night were Mary Callan of Callan's Off Licence in Dundalk; Ruth Deveney of Deveney's Off Licence in Dundrum; Siobhan Gibney of Gilbeys in Malahide; Sarah Coyne of Harvest Off Licence in Galway; Ann Marie Holland of Hollands Fine Wines in Bray; Julie Cullen of Jus de Vine in Portmarnock; Mary Lillis of Next Door @ Myles Creek in Kilkee, Co. Clare; and Evelyn Jones of The Vintry in Rathgar. The Diageo/National Off-Licence Association Awards was set up 11 years ago to promote and reward standards of excellence in the independent off-licence sector. Members of NOffLA who take part in the competition are assessed by

Pictured are David Lonergan & Evelyn Jones, The Vintry, Rathgar, Dublin 6, Diageo/NOffLA 2008 National Off-Licence of the Year, with Tom Fleming, Diageo (left) and Reggie Walsh, NOffLA (right).

three independent judges, Martin G. Molony, Fíona M. Keane and John Wilson, who are appointed by Diageo and NOffLA. Judging commenced in July 2007 and marks are awarded in a variety of categories, including overall appearance, customer service, hygiene and product range. The final stage of the judging also comprised a blind-tasting test which is conducted by Lynne Coyle of Gilbeys Wines.

Overall Winner

McHugh’s Off-Licence took both the Specialist Beers Award (for their Malahide Road store) and the Specialist Spirits Award, (for their Kilbarrack Road store). Pictured are (l-r): Tom Fleming, Diageo; Cathal McHugh, McHugh’s Off-Licence; and Reggie Walsh, NOffLA.

The overall winner was Evelyn Jones of The Vintry, Rathgar, Dublin 6, who this year won the coveted title of 2008 National Off-Licence of the Year, having faced stringent judging criteria and tough competition from leading independent off-licences nationwide. Speaking at the awards dinner, Evelyn noted that the huge effort put in had paid off. The awards process, she said, is a positive thing, encouraging the off licence owner to reassess their business, up-grade, up-date and review what is needed in order to stay on top of new developments in the retailing of wines, beers and spirits. The Vintry emerged as the overall winner out of 25 finalists from around the country and was presented with the

award by Tom Fleming, Diageo and Reggie Walsh, the administrator of the National Off-Licence Association. Other Dublin finalists included: Deveney’s Off Licence, Dundrum, Dublin 16; Donnybrook Fair Off Licence, Dublin 4; Gibney’s, Malahide, Co. Dublin; James Redmond & Sons Ltd, Ranelagh, Dublin 6; Jus De Vine, Portmarnock, Co. Dublin; McCabe’s Off-Licence, Blackrock, Co. Dublin; McHugh’s Off Licence, Kilbarrack Road, Dublin 5; McHugh’s Off Licence, Malahide Road, Dublin 5; Sheils Off Licence, Lower Dorset Street, Dublin 1; and Uncorked, Rosemount Shopping Centre, Rathfarnham, Dublin 14.

Regional Award Winners In addition to the overall winner, four regional awards were also presented. Dicey’s Bottle Store, Ballyshannon, Co. Donegal, was the Connaught/Ulster Regional Winner; World Wide Wines, Waterford, was voted the Munster Regional Winner; Holland’s Fine Wines, Bray, Co. Wicklow, was the Leinster Regional Winner for the second year in a row; and Gibney’s, Malahide, Co. Dublin were voted overall Dublin Regional Winners.

RN January/February08On The Vine ●

Irish Trade Wine Diary AS the busy spring promotion season gets underway, a good way to keep track of the various trade tastings is to check out the Irish Trade Wine Event Diary. The diary is updated on a daily basis and the website includes news items and information about current developments within the wine trade in Ireland. The service is free of charge. To register, log onto www.jeansmullen.com

Julie Cullen (centre), from Jus De Vine, Portmarnock, Co. Dublin, accepts the Specialist Wine award from Tom Fleming, Diageo (left) and Reggie Walsh, NOffLA (right).

Three Specialist Awards were also presented, Aidan O'Neill of McHugh’s Off-Licence, Kilbarrack Road, Dublin

5 was on hand to accept the award for Specialist Winner in the Spirits category. Frank Hughes from the sister shop, McHugh’s Off-Licence, Malahide Road, Dublin 5, took the Specialist Award in the Beer category. Finally, Julie Cullen of Jus De Vine, Portmarnock, Co. Dublin, was the second woman to win one of the top awards, this time in the Wine Specialist category.

New Zealand Wine Fair 2008 2008 started with the now traditional New Zealand Annual Trade Tasting in Dublin. There was a very good turnout from both the on and off trade, as well as the wine press. New Zealand is currently one of the easiest categories to sell on the Irish wine market. Their Sauvignon Blanc and Pinot Noir is very much in demand and seems to, quite literally, walk off the shelves. It seemed apparent at the tasting that the 2007 grape harvest of 205,000 tonnes is set to produce superb wines. The current vintage is a new harvest high for the industry, up 11% on the previous mark of 185,000 tonnes set in 2006, according to results from the New Zealand Winegrowers 2007 vintage survey. With global warming the key buzz word for 2008, the world is becoming much more environmentally aware. One of the most recent initiatives is the New Zealand's wine industry commitment to a World Class Sustainability programme. Their aim is to have all New Zealand grapes and wine produced under an independently-audited sustainability scheme by vintage 2012. According to MAT New Zealand Winegrowers export figures (September 2007), 1.34m litres were exported to Ireland in 2007. Ireland now represents 1.6% of New Zealand's exports (worth €6.72m). There were 49 wineries represented at the Dublin Fair and 26 winemakers and principals travelled all the way from New Zealand to attend the tasting in Dublin. Wineries featuring at the 2008 ATT of New Zealand wines included: Allan Scott Family; Babich Wines; Bouldevines Wines; Cloudy Bay Vineyards; Craggy Range; Delta Vineyards; Domaine Jaquiery; Esk Valley Estate; Forrest Estate Winery; Gibbston Valley Wines; Hawkeshead; Hellion Wines; Hunter's Wines NZ; Jackson Estate; Kim Crawford Wines; Lawson's Dry Hills Wines; Man O'War Vineyards; Matua Valley Wines; Mitre Rocks Vineyard; Montana; Mount Difficulty Wines; Mystery Creek Wines; Omaka Springs Estates; Otuwhero Estate; Oyster Bay New Zealand; Palliser Estate Wines of Martinborough; Saint Claire Estate Wines; Siefried; Sileni Estates; Spy Valley Wines; Staete Landt Vineyard; Stirling Vines; Stoneleigh; Summerhouse; Te Awa Winery; The Mud House Wines; Tinpot Hut; Villa Maria Estate; Vinoptima Estate; Whitehaven Wine Co; Winegrowers of Ara; Wines from Martinborough (Martinborough Vineyard; Paddy Borthwick, Schubert Wines, 12,000 mile,; Matahiwi Estate, Murdoch James) ; Wild Earth; Wollaston Estates.

Paying tribute to the efforts of all 25 finalists, Jim McCabe, Chairman of NOffLA praised the work done by all 25 finalists in getting to this stage of the competition. He explained that one of the most important elements of being an independent specialist is being able to maintain control over the many responsibilities which go hand-in-hand with retailing alcoholic beverages. He thanked those who stepped up to the plate to enter this year and said that he hoped to encourage more NOffLA members to enter the competition next year, as the competition helps to promote excellence in retailing.

Responsible Trading NOffLA, he noted, are keen to promote responsible trading within the community and wish to support the Government's new task force, which is currently being set up by Minister Brian Lenihan to look at this issue. Irresponsible trading does not benefit the industry and all NOffLA members have been actively involved in putting in place initiatives which are aimed at curbing underage and binge drinking through their innovative RTC scheme. The recent changes in legislation on below cost selling, he said, mean that in the multiple sector, bottled water is often cheaper than beer. The trade now need action not words on the issue of responsible trading, he stressed, before noting how responsible trading is at the core of the philosophy of the National Off Licence Association. “The RTC scheme which has been built up by NOffLA over many years is now seen as the benchmark in alcoholic retailing in Ireland,” he argued, before expressing the desire that this scheme is made mandatory everywhere that alcohol is sold, especially in multiple supermarkets and petrol stations.

RN January/February08Cheese ●

The Dairy Best! The cheese market is extremely valuable, and enjoys phenomenal household penetration of over 95%.

The

Irish cheese market has diversified greatly in recent times. Just a few short years ago, you would be hard-pressed to find much variation from the traditional ‘Cheddar’ on convenience store shelves but today, the range and variety of cheese and cheese snacks available is incredible. The growth in cheese snacks, in particular, has been phenomenal, and not just in terms of products aimed at children. The adult cheese snacks sector is blossoming and the good news for retailers is that these are, in general, high value products, offering significant margins. Overall, the Irish dairy industry produces more than 119,000 tonnes of cheese each year. The main growth sectors include natural slices, grated, processed snacks and speciality. The speciality cheese sector in particular continues to grow, with consumers experimenting across a variety of cheese types across the soft, semi-soft and hard cheese sectors. The good news is that not all speciality cheeses are imported, with Irish

The phenomenally popular Low Low brand: going from strength to strength.

ing a new programme of work to support the quality and safety of Irish farmhouse cheeses.

Kerry Foods

farmhouse cheese more than holding its own against continental products. There are now more than 55 speciality cheese manufacturers in Ireland, and researchers at Moorepark Food Research Centre, Teagasc, are start-

Low Low’s success in dairy spreads continues in the cheese category with Low Low cheese doubling its market share in the last three years. Low Low Creamy & Light Cheddar is available in block, grated & sliced, along with deliciously smooth & creamy Low Low Chunky Triangles & Low Low Cheese Spreads. The Low Low brand has been recently extended to include the tasty

Charleville claims leadership of the natural cheese sector and continues to drive growth in this market.

RN January/February08Cheese ●

EasiSingles: a firm favourite with Irish families.

Low Low Emmental slices along with the Low Low Toastie Slices and Low Low Burger Slices, giving consumers the perfect melt every time. Low Low cheese will continue to be heavily supported in 2007 with dedicated TV advertising. Charleville claims leadership of the natural cheese sector and continues to drive growth in this market, according to Kerry Group. Claiming a share of 19% and growing at 11%, Charleville’s vast range and

al for snacking and sandwiches, burgers and toasties. Healthy snacking is even more on consumers minds these days and Kerry Foods’ leading Cheestrings brand continues to go from strength to strength, with sales up 8% in the Irish market over last year. A new TV advert for Cheestrings titled ‘Cheestrings Just Gotta’ shows how kids who've “just gotta play” love Cheestrings. This advert is the start of a €500,000 campaign in Ireland which, as well as TV advertising, covers press advertising and an on-pack promotion, as well as the launch of new pack sizes and varieties of Cheestrings throughout the year. Kerry Foods’ Brunchettas brand is enjoying early success in the new adult cheese snacks sector in Ireland and is returning to TV screens with sponsorhip of a new series of the award winning Charlotte Church Show - perfectly matched to the brand's female target market.

Kerry Foods’ Brunchettas brand is enjoying early success in the new adult cheese snacks sector.

The Cheestrings brand continues to go from strength to strength, with sales up 8% in the Irish market over last year.

Glanbia Consumer Foods

consistently strong support package Glanbia Consumer Foods continues to have guaranteed its success to date. develop the natural cheese market by Charleville boasts a large portfolio of bringing together tradition and innoproducts, including a significant natural block, sliced and grated range, as well as a continental range of Emmental, Gouda and Edam, to ensure there is an offering for everybody and for all occasions. The Charleville brand will be supported above the line throughout the year. EasiSingles is the brand leader in the cheese slices market in Ireland, according to Kerry. With a share of 29% (Source: ACNielsen, 24th December 2006), it is a firm favourite with Irish families. Available in a range of original and Avonmore Breaded Snacks combine continental light slices as well as tricheeses with complementary sauces and dips. angles, EasiSingles is ide69

RN January/February08Cheese ●

Kilmeaden earns its reputation through its consistent high quality and traditional craftsmanship in the cheese sector, as well as its distinctive packaging.

vation. Its award-winning cheese brands Kilmeaden and Avonmore, enduring favourites with Irish consumers, continue to lead their respective sectors, Kilmeaden as the number one natural block cheese and Avonmore in natural grated cheeses, according to the company. Renowned as the ’fillet of cheese’, Kilmeaden earns its reputation through its consistent high quality and traditional craftsmanship in the cheese sector, as well as its distinctive packaging. These attributes were acknowledged again recently with another Gold Medal at the World Cheese Awards. Recent new products added to the Kilmeaden range are Natural Farmhouse Blocks and Fused Slices. These quality products join Kilmeaden’s Mature Red and White, Creamy & Smooth, Fully Mature Red and White, Vintage Red and White

and Thick Cut Red and White Slices. Further additions to meet the changing requirements of consumers are planned. The range has also moved to fixed weight measurement contained in an easy-open re-sealable pack to reflect modern consumer preferences. The packs reflect the tradition of Kilmeaden, with muted, natural earthy tones and featuring a cheese grader to illustrate the long-established cheese-making skills still used today. Avonmore provides the total cheese solution for the Irish consumer, with a range of blocks, grated, slices and speciality options. The latest additions to the Avonmore range are Continental Grated cheese and the unique Avonmore Mini-Grated range. The successful launch of these new products is attributed to the fact that they

meet prevailing consumer health and nutrition trends, with an emphasis on convenience, product quality and portion control. The Avonmore range also includes Breaded Snacks, which have attracted attention on the shelves with new redesigned packaging. Avonmore Breaded Snacks combine continental cheeses with complementary sauces and dips. The range – Camembert, Mini Camembert and Mozzarella sticks – responds to the Irish consumer’s growing interest in ‘cheese experimentation’ and demand for convenient snack options. These initiatives reflect the brand’s drive for innovation and re-enforce its position as the joint market leading natural grated cheese. Some very exciting developments are planned for the Avonmore brand in 2007, including the launch of the Avonmore Cheddar Fun range, a range of Kids 100% Natural Cheese Snacks.

Horgan’s Delicatessen Supplies Horgan’s Delicatessen Supplies are specialists and innovators in the sales, marketing and distribution of chilled food products. The company has been a leading supplier of speciality foods to supermarkets, independent retailers, speciality food stores and the food services sector in the Republic of Ireland and Northern Ireland since 1977. Horgan’s Delicatessen Supplies works closely with a global panel of large and small producers to bring the finest foods to the market, while ensuring that the highest quality and safety criteria are met. The extensive product portfolio ranges from Irish farmhouse and con-

Cheesy Does It! • Cheese is bought by over 96% of Irish households. • Cheese is a concentrated form of milk. It takes 10 litres of milk to make one kilogram of Cheddar. • A small matchbox sized piece of Cheddar (30 grams) contains about 30% of the recommended daily calcium intake for adults; it also con70

tains valuable quantities of protein, vitamins and other minerals, 10.5 grams of fat and only 125 calories. • Coloured cheeses like Red Leicester, Double Gloucester and coloured Cheddar and Cheshire get their red colouring from Annatto, a flavourless vegetable extract from the seed of a South American tree.

• Cheese can be made from all sorts of milk – not only cows’ milk but also sheep, goat, buffalo and yak milks. • Eating a piece of cheese after sugary snacks and after meals can help remineralise tooth enamel and protect against tooth decay. • The making of cheese dates back more than 4,000 years.

RN January/February08Cheese ●

the requirements of any retail delicounter, whatever its size.

Wexford Cheddar

Boursin, one of the popular speciality cheeses from Horgan’s Delicatessen Supplies.

tinental cheeses to speciality cooked and fermented meats, pate, salami, antipasto and fresh pasta. Foods are sourced throughout Europe and from Ireland, with frequent visits to international food fairs and constant monitoring of consumer trends in order to ensure that the product range is both comprehensive and relevant. Horgan’s Delicatessen Supplies brand portfolio includes the President range, the Castelli range, Boursin, The Laughing Cow, Mini Babybel, Cheez Dippers and Cambozola. The first truly low-fat portion, The Laughing Cow Extra Light offers “all the taste but none of the waist” - all the goodness and creamy cheese taste that cheese fans have come to expect from The Laughing Cow, yet with only 3% fat.

The Laughing Cow Extra Light offers all the goodness and creamy cheese taste that cheese fans have come to expect from The Laughing Cow, yet with only 3% fat.

Wexford Cheddar, who have recently secured their fourth Gold Medal in a row at the World Cheese Awards, have launched a major national advertising campaign to support the brand. The Wexford farmers who supply milk for the cheese appear in both the press and TV executions. Both Wexford's natural environment and a diet of fresh grass ensure that the milk used to make all varieties of Wexford Cheddar is always of the highest quality. Wexford Cheddar was launched in the Irish market in June 2006 and has achieved great success since its launch. Wexford Mild and Creamy is available white and red cheddar in a 200g and 400g block and 200g slices. The Strong & Vintage and Rich & Mature (white and red cheddar) varieties are available in 200g blocks. A unique feature of the brand is its re-closable stay-fresh packs, which in addition to giving the consumer extra convenience and less wastage, ensures the cheese stays fresh that much longer. The brand is being supported in 2008 by an advertising, sampling and creative public relations campaign.

The Laughing Cow claims the number one position in the Irish processed cheese portions market with a 69% value share (Source: ACNielsen MAT Dec 24/06). The brand has ongoing support above the line with TV advertising, as well as ongoing trade promotions. The new ‘devil’ press creative will certainly reinforce the brand’s position as the truly low fat cheese. Trade customers are supported by their sales and marketing team, as well as their telesales team. Marketing is an everyday art at Horgan’s Delicatessen Supplies. Expertise ranges from monitoring upto-date primary and third party research and knowledge of consumer trends/market needs, to sourcing of top quality produce utilising market intelligence, supported by participation in international food fairs. Their continuous policy of generating new ideas and marketing innovations is easily demonstrated with examples such as the introduction of the Pick’n’Mix concept for speciality cheeses in retail outlets. This service offers retailers an extensive range of mini-portion packs of cheeses, allowing customers to try different types of cheeses without waste and which are designed for a variety of in-store refrigerated locations. The development by Horgan’s Delicatessen Supplies of the facility to freshly cut cheeses, combined Wexford Cheddar was launched in the Irish market in June 2006 and has achieved great with concept packaging, provides success since its launch. a range of over 150 cheeses to suit

RN January/February08Money Matters â&#x2014;?

Investing In a Premises Carmel Linnane looks at the most crucial decision to be made when starting up a business, finding the right premises. â&#x20AC;&#x153;It is important to look at this investment in the long-term, assuming you are convinced that your business is a long-term prospect. Buying versus renting will look more attractive, the longer the view.â&#x20AC;?

Whatever

aspect of the retail trade you are in, you will need a premises from which to operate. Even if your service is over the internet, you will still need a warehouse or someplace to store your products. For those outlets that interface directly with customers, a well located, attractively outfitted premises is a major asset. The first decision to be made when setting up or expanding is whether to buy or lease the outlet. Secondly, and equally important, is to decide on the best location. These decisions will, of course, will be tempered by the amount of money you have to play around with. Prime high street premises come at a hefty price but an outlet that is hidden down a back alley may mean no trade.

Purchasing Many new entrepreneurs will not have the capital to buy a premises, so renting may be a more viable option. However, for those that do have the capital, buying a premises can offer a number of advantages. Firstly, it means you have the right to change the building as suits you best, subject to planning regulations. You will glean the profits from selling the premises at a later date, perhaps to fund your retirement. Your premises may be the ideal investment for your company

pension scheme. Or you might let the property and enjoy an income stream from it. You are not tied into a lease or fixed term contract. You can use your asset to raise money, take on an additional mortgage and perhaps sublet part of it to help repayments. It is important to look at this investment in the long-term, assuming you are convinced that your business is a long-term prospect. Buying versus renting will look more attractive, the longer the view. Paying rent in the longer term is money down the drain, while investing in the premises gives you a solid asset for the future. Even if the business fails, you still have the asset to sell, depending on how you set up your company. With property on your balance sheet, your company will look more solid and well established. If you are lucky enough to buy when the market is down, you may end up with a valuable investment.

Disadvantages There are disadvantages to owning your own premises, however. First of all, you have tied up a large sum of money in bricks and mortar, so there is the opportunity cost of capital, as this money cannot be used to set up and invest in your business. The overall cost of buying a premises is usually

RN January/February08Money Matters ●

higher than renting for the first five years and these five years are generally the most crucial for a start-up business. If you have a large mortgage, there is always the risk that you cannot keep up repayments. You also have the responsibility of implementing regulations for fire precautions and health and safety, although you may have some of these when leasing: if repairs and alterations have to be done, the buck stops with you to find the funds to do so. By buying a premises, you make property ownership a core part of your business and take on the associated additional risks. If you buy at the wrong time or in the wrong place, you may end up losing money. In a recession, it may be hard to sell or let the property. You must also consider the prospect of relocation or expansion later – is this premises going to be a ball and chain around your neck when you want to move or expand? A good lease may allow you more flexibility to move elsewhere quickly.

Method If you make the decision to purchase a premises, then you must decide on the best method of doing so. Should you buy your new premises personally or through a company? Buying the building personally would allow you to receive rent from the company and benefit personally from any capital appreciation of the building. There may also be personal tax advantages. However, if you have a high level of personal borrowings or insufficient cash flow, you may consider purchasing the building through the company. Another consideration before you decide how to proceed should involve your succession plans for the business. Do you have a succession plan in mind and how will this gel with the way you buy the business? You would need to talk to a professional adviser on this matter. In addition to the purchase cost, you will have stamp duty, building alteration costs, insurance costs, and the cost of repayment of your mortgage. And this is before you buy products, pay wages, or pay employee and corporate taxes, service charges and so on.

Premises However, if you are still undaunted by the prospect of ownership, then your next step is to find the right premises. To narrow your search for a premises, you must decide on exactly what are you looking for. Once you have finetuned your requirements, circulate your specifications to commercial property agents and they should be able to provide you with a list of likely properties. Draw up a short list of suitable premises and tick off their aspects against your criteria. • Is the premises in the right location? A good location for your business is vital. Should you aim for a city centre outlet or would you be better off in a retail park, a densely populated residential area or perhaps in a shopping centre? These questions can be narrowed down by talking to retailers who have already survived the test of time. You can also ask advice from those who specialise in helping set up such businesses.

“A good location for your business is vital. Should you aim for a city centre outlet or would you be better off in a retail park, a densely populated residential area or perhaps in a shopping centre?”

•

• • •

Is it in good structural condition? Also consider what special features and facilities you will require - for example electrics, plumbing, heating, parking and see how easily it can be altered to suit your needs. Is the price right? Can you alter the building to meet your specific needs? Is there adequate space, parking etc? Do you want the outlet to include space for an office, storage facilities, food bar/café?

Next, you must look into the situation of the vendor: • • •

Is he or she in a hurry to sell? Why are they selling? Are there any other interested parties?

When you decide you have found the right premises, then you can make a conditional offer in writing. You should take advice on this. Make an offer below the asking price to give yourself room for negotiation. Find similar premises on the market and have a good idea of the real worth of the property. Have an idea of any repairs and alterations you will need to make. List the problems with the property, such as layout, space etc. to use as negotiating points. Try to get the vendor to agree to a ‘lockout agreement’. If you do not do this, the vendor may seek other potential buyers while indicating that the property is ‘under offer’. You will need a surveyor to check out the premises. A full survey is essential before you buy or you could end up with a pig in a poke. Your solicitor will carry out property searches and you or your accountant will conduct a ‘due diligence’. The first should throw up any restrictions or anomalies tied into the building and the second will show if the figures are right. Finally, assuming all is to your satisfaction, you exchange contracts with the vendor. The purchase contract is then binding on both parties and the deposit must be paid. You pay the balance plus stamp duty etc. at an agreed completion date. Once you get the keys into your hand, then the real work begins.

RN January/February08Forecourt Focus ●

Top of the Class Scooping the Best Mace in Group Platinum Award 2007 was the culmination of a fantastic year for Joe Mannion’s Mace forecourt in Tuam, Co. Galway.

Mannion’s

Mace forecourt in Tuam, Co. Galway, has won the most prestigious prize in the entire Mace Group by scooping the Best Mace in Group 2007 Platinum Award. This is an even more impressive feat when you learn that the shop’s owner only took over the shop in December 2005 and that it was his very first shop. Store owner Joe Mannion used to work for Glanbia and his work brought him into contact with a number of symbol group shops. In recent years, Joe had yearned to be his own boss and he considered various businesses where he could go to work for himself. Although his experience of grocery retail was relatively limited, when the opportunity arose in late 2007 to begin operating a forecourt in Tuam, Joe knew the time was right.

Improving Trade Levels The forecourt had already been trading as a Mace and had undergone a full revamp two years earlier and so was ready for Joe to step in and take control of operations. He was already familiar with the Mace Group from his days in

Glanbia and knew that he could form a strong partnership with the Group. Indeed, Joe joined Mace at an auspicious time, just as they had developed the Country Deli package in association with Kerryfresh Foods. ”Although the shop had been revamped not long before I took over, I was prepared to invest in any areas that the Group thought would benefit trade levels,” Joe explains. “The Country Deli package had only recently been developed at that time and we were one of the first stores in the Group to incorporate it into the existing deli. While I did not have to make many changes after taking over the shop, the stunning new image in the deli announced very clearly my intentions for the future of the shop.”

Three-Pronged Business Strategy

Store owner Joe Mannion and his staff, pictured outside his Tuam Mace store. 74

Joe breaks his business strategy down into three key areas: forecourt/fuel; grocery; and fresh food. “The N17 is an extremely busy road so we have a huge amount of passing trade, but there is a lot of competition,” Joe notes. “There are five other forecourts within a mile, as well as a number of shops and supermarkets. So we have to work very hard to differentiate ourselves, on the basis of convenience, service, selection, quality and value for money.”

RN January/February08Forecourt Focus ●

When Joe took over the shop, it had a relatively small number of basket shop sales. Part of Joe’s plan to improve the store’s grocery sales included creating clear value branding across the grocery selection. He also increased the selection of wine on offer, using advice from his nephew, Eanna, and Tom Fleming from Mangan’s Wholesale, to create an impressive offering to add value to grocery sales. The Country Deli leads the fresh food offensive: its gourmet sandwich offerings have proven very popular. Mannion’s Mace has another string to bow when it comes to fresh food, however, as the store provides a deli delivery to local businesses for breakfast and lunch. Joe canvassed local companies to get them on board from the beginning and the reaction has been incredible, while also allowing the deli to get a head start on food preparation and reduce queues in the shop. Such initiative, combined with the extremely high standards of operation in the deli, is why it has an award of its own, the Mangan’s/Kerryfresh Foods Country Deli Award 2007. Getting the product mix is only part of a winning formula, however. Ensuring you have well-trained, polite and efficient staff is equally important. Joe retained six staff who had worked at the store before he took over in 2005. “Since

then, I have had to hire many more staff and created a number of management positions. That has been a critical factor in the development of the shop. Good staff are absolutely vital to the performance of a shop. In order to get good staff, you need good morale, good motivation and good training. Mace is fantastic in terms of training and development. The Group’s Fresh Food Advisor, Frank Fortune, gives great support for developing the deli and, of course, Kerryfresh Foods help us there too.”

Customer Service Having the right staff ensures good customer service, as Joe explains: “The most important thing is to look after your customers, because if you don’t, somebody else will. In order to do that well, there are layers of preparation required, from stock to shop to staff. You have to excel in every aspect in order to deliver the type of shopping experience that makes you a destination shop. And you have to provide every type of service that you are capable of delivering. In short, it’s a lot of hard work. Our success in the Group’s awards for shop and deli are a reflection of the tremendous effort that all of us put in on a daily basis. While the awards themselves are not why we do it, they are a tremendous testament to just how much every part of the team here and the Mace Group put in.” In closing Joe was keen to say, “I would like to thank every member of my staff, all the dedicated people at Mace and Kerryfresh Foods and of course all my customers. With the continued support of all those people, we will build on our success last year to continue that success in the future.” Mannion’s Mace in Tuam now has the awards to match its aspirations. The professionalism and standards of excellence in all areas of operation from management, staff and Symbol FA C T F I L E Group partner have made that possiOwner: Joe Mannion ble. Such stanLocation: N 17, Tuam, Co. Galway dards are the hallmark of a Size: 2,000 square feet winning comNumber of bination in the Staff: 19 full time & part time highly competiOpening tive convenience hours: 06:30 – 23:00, Monday - Sunday retail sector. 75

RN January/February08Legal Requirements â&#x2014;?

Employing Young People in Your Store Barrister at Law Cormac O Neill advises on the particular legal requirements placed on retailers when it comes to employing young people.

For

as long as I can remember, shops of all kinds have been a sought after place of employment for young people in Ireland. Perhaps it is the nature of the work which has attracted so many young people for so long, or perhaps it is the fact that often the hours of employment combine very well with other aspects of their lives. Many young people will seek out employment in retail premises during the summer months and usually at the weekends as well. Some of these young people will develop their interest further and continue on to obtain third level qualifications in the area and become retail managers after they leave college.

Retailers have very specific legal requirements when it comes to the employment of young people, aged 16 and 17.

Perhaps they seek out this work so that they can observe the work in shops and supermarkets before they make college choices and commit to professional careers. From time to time, I have been asked various questions by retailers concerning their duties under the law with respect to the young people they employ. Below, I will outline some of the most common areas of concern which arise from time to time and I will explain how retailers should respond in order to discharge their duties to young people employed. Although children over fourteen can work outside school term under certain limited circumstances, this article addresses retailersâ&#x20AC;&#x2122; obligations with regard to 16 and 17-year-olds only and who are employed for general duties only.

Permission of Guardian Before employing the young person, a retailer must obtain the written permission of their parent or guardian. In accordance with the Protection of Young Persons (Employment) Act, 1996, before employing the young person, the employer shall require the production of a copy of the birth certificate, or other satisfactory evidence of their age. Once this information has been obtained, a photocopy should be kept on the employeeâ&#x20AC;&#x2122;s file so that it can be verified that this requirement has been complied with. Obtaining the consent of a parent or guardian should also include consultation with the retailer on arrangements to get the employee home after work. This is of particular importance to retailers who operate extended opening hours.

RN January/February08Legal Requirements ●

S t a t e m e n t o f Te r m s It is necessary for retailers to provide all employees with a statement of terms when they commence employment. This letter should state the rate of pay for the job and the starting and finishing times. The requirement to provide written terms and conditions of employment was set down by Section 3 of the Terms of Employment (Information) Act, 1994. All retailers should provide this letter and keep a hard copy on the employee’s file. There is a special requirement with regard to young people that they also be provided with a summary of the Protection of Young Persons (Employment) Act 1996. If you are not already doing this, you should start immediately in case you ever have to defend yourself from an allegation made under employment law. The retailer, as with all employers of young people, is required by the same Act to provide this information within one month of the young person commencing their employment.

National Minimum Wa g e A c t Once the employee has been recruited and the necessary paperwork has been complied with, the retailer should direct their attention to the requirements of the National Minimum Wage Act, 2000. While many retailers choose to pay in excess of the minimum amount, compliance with the Act is of fundamental importance. Any businessperson not familiar with the legislation should seek advice promptly. Furthermore, all young people should be given a written statement of wages and deductions pursuant to Section 4 of the Payment of Wages Act, 1991, on every occasion that they are paid.

P ro v i d i n g f o r E m p l o y e e ’s E x a m s Most young people seeking employment in shops and supermarkets will be engaged in further education. It will be necessary for the retailer to provide for students who have impending examinations. The retailer should

be aware that employees are required to give at least 4 weeks’ notice of such leave to allow the employer to make the necessary arrangements. The student must not be required to work excessive hours during the time prior to the examinations and must be allowed the required time off to sit the examinations themselves. It will be in both the retailer’s and the employee’s best interests that the student’s job will be protected and made available to them should they choose to return to their employment after the examinations. It is advisable that the retailer allows the same arrangements to extend to young people engaged in training, as well as those engaged in education.

About the Author CORMAC O Neill is a Barrister at Law on the Dublin and Southwestern circuits. He is also a Chartered Management Accountant and worked as a Financial Accountant in Banking for many years. He can be contacted on 087 6571124 or at the Law Library in Dublin.

S a f e t y, H e a l t h a n d We l f a re a t Wo r k An employer’s legal requirements do not end with the selection and recruitment of young people, however. Retailers should pay adequate attention to the risk assessments in the Safety Statement required under the Safety, Health and Welfare at Work Act, 1989. They should take account of the particular needs of young persons in employment, with particular regard to the Safety, Health and Welfare at Work (Children and Young Persons) Regulations, 1998. This can be a very difficult exercise and some retailers employ external consultants to assist with this work. The risk assessment should be an ongoing exercise and not simply a task performed annually.

Bullying, Sexual Harassment and Equality Bullying, Sexual Harassment and Equality Issues are now well legislated for. The retailer should have grievance and disciplinary procedures drafted and kept on the premises. The employee should be given copies of these documents and if a complaint is received by the retailer, the procedures should be followed. If the retailer decides that the issue is very serious, they would be well advised to seek legal advice

Barrister at Law Cormac O Neill.

on how best to deal with the complaints. Also, if the retailer is dissatisfied with the performance of an employee, they should follow the correct disciplinary procedures. Employment law and the law surrounding the employment of young people has become an increasingly complicated area for many employers, particularly retailers, who come into contact with many employees from a variety of backgrounds. Increasingly, retailers face the need for more and more professional advice in this area. It is readily available and is not overly expensive. By consulting a lawyer, proper procedures can be put in place which will ensure that the retailer is compliant with all of the relevant legislation. Finally, as with most things in life, it can be said that conflict avoidance is less expensive that conflict resolution. A simple review by a lawyer in advance of a problem will place the retailer in a better position. 77

RN January/February08Update ● Oat So Versatile! AWARD-WINNING chef, Paul Flynn proves that oats can be used for more than just breakfast with a selection of delicious oat-based recipes created in association with Flahavan’s. The mouth-watering recipes include Black Pudding Stuffed Chicken with Oatmeal Crust, Oatmeal & Thyme Pancake with Spinach & Soft Poached Egg, Carrot & Oatmeal Cake, Oatmeal & Raisin Shortcake and Paul’s delectable Creamy Porridge with Whiskey Poached Winter Fruits. Pictured at the launch of the recipes at the Tannery Restaurant, Dungarvan, Co. Waterford is John Noonan, Sales & Marketing Director of Flahavan’s and Paul Flynn, masterchef. Details of the recipes can be found on www.flahavans.com.

Walkers’ Big Holiday Giveaway MODEL Rosanna Davison and Nicola Wells, Marketing Manager of Walkers, are pictured with the latest addition to the Walkers Baked range, Sour Cream & Chive, launching The Star’s biggest-ever holiday giveaway in association with Walkers Baked and SteinTravel.ie. There was a holiday up for grabs each day during January to popular sun destinations like Gran Canaria, Costa del Sol, Lanzarote and Portugal. Walkers’ Marketing Manager Nicola Wells said: “We are delighted by the success of Baked in 2007 and are investing heavily again in 2008 to grow the brand. We want January to be ‘Better for Being Baked’ so we are delighted to team up with Steintravel.ie and the Star to help bring a little sunshine to January!”

SMA Search for Supportive Pregnancy Partner

TV3's Lorraine Keane launches the SMA Nutrition Pregnancy Partner competition, with Ben Smith, aged 4, and Roisin Murphy, aged 3. The SMA Nutrition Pregnancy Partner award will recognise the support and encouragement they offered to an expectant mother during this important period in their life. Nominators are asked to fill in a questionnaire on www.rollercoaster.ie. The winning partner and their family (partner, mum and baby) will receive five nights at Kelly’s Resort & Spa in Co. Wexford, alongside €500 in spending money to go towards a whole host of pampering treatments. There will be SMA Baby hampers for 20 lucky runners-up. 78

Lucky Londis Winners LONDIS finished a fantastic 2007 with a highly successful nationwide partnership with Paramount Pictures as Official Retail Sponsors of ‘Bee Movie’, the hilarious DreamWorks animated film. The hugely successful four-week campaign included an in-store nationwide colouring competition, and was supported by a national radio competition on 2FM and regional promotions on Galway Bay FM, LMFM, South East Radio, Cork’s 96FM and Kerry FM. Over 200 winners joined 26 talented young artists and their families from all over the country for a special preview screening of ‘Bee Movie’ in Dublin, while Sarah Doyle (5) from Carnew, Co. Wicklow was the overall winner of the in-store colouring competition and won a trip of a lifetime to New York City, and Laois O’Brien, Greenmount, Co. Cork was the overall winner of €10,000 after a successful week-long promotion on the Colm and Jim-Jim Breakfast show on 2FM.

IFEX 2008 is ‘Calling All Retailers’ IFEX, Ireland’s largest International Food, Drink, Hospitality and Retail Exhibition, running from April 29 to May 1 at the King’s Hall, Belfast, is calling all retailers. Garret Buckley, Joint Managing Director, Expo Events, notes: “IFEX has a reputation for attracting key suppliers from across the food, drink, catering and retail industries. The event presents one of the best opportunities for retailers to develop their business, to source new, innovative products, to research alternative suppliers and to exchange information and so, once again, IFEX is proving to be extremely popular.” Gareth Buckley is pictured with Jennifer Fannin, Marketing Manager, Martin Food Equipment, who will be showcasing their new profit concepts for food-on-the-move at IFEX ‘08. See www.ifexexhibition.co.uk for more details.

RN January/February08What’s New ●

Lyons Green Tea

Moy Park Cornfed Chicken

LYONS Tea, Ireland’s number one tea brand, has diversified its range with the launch of Lyons Green Tea. The launch will be supported by an intensive programme of above- and belowthe-line activity, including in-store sampling, advertising and public relations. To mark the launch, Lyons has teamed up with Life Coach Shalini Sinha, Nutritionist Paula Mee and Fitness expert, Padraig Murphy, to offer consumers 10 simple and sustainable steps to lead a healthier lifestyle in 2008. Lyons Green Tea is available from leading supermarkets and retailers nationwide at the recommended retail price of €3.49.

MOY Park, Ireland’s largest producer of specialty birds in Ireland, have recently introduced their new Cornfed chicken into the marketplace. All Cornfed, free-range and organic birds are raised on their long-contracted family farms in Ireland’s northern counties and are fully traceable back to the farms they were reared on, ensuring that the chicken is produced to the highest quality. Available on-shelf as a whole bird or as Cornfed fillets, these new products will make any meal a special occasion.

M&S Launch Lower Alcohol Wines M&S is launching a pioneering new range of lower alcohol wines. These three new M&S L%wer Alcohol Wines include a red, white and rosé, made using conventional wine making techniques, but boasting a naturally lower alcohol content (9.5% ABV). The 50cl bottles contain five units of alcohol. Additional guidance is offered in the form of the recommended daily allowance details and actual alcohol units per bottle and per glass, printed on the back label.

Shamrock Just

Marlboro Silver

SHAMROCK Just is an exciting and varied range of dried fruit & nuts that aim to satisfy increasing consumer demand for healthier snacking options. The brand’s quirky personality centres around the idea of balance: ‘Just Goodness’ includes the healthiest dried fruits and nuts, while ‘Just Indulgence’ is a cheeky and tempting range of chocolate coated treats, and an assortment of salted and roasted nuts. The range will be supported by a comprehensive marketing campaign, including sampling, in-store activity and a PR and online campaign.

THIS February, Philip Morris Limited will extend its premium portfolio with the Irish launch of Marlboro Silver, a smoother-tasting cigarette. To provide context, according to the official measurement standard, the new blend has a 3mg tar level, versus the more traditional Marlboro offers at 6 and 10mg. Marlboro Silver is well known throughout Europe and global volumes have grown almost 10-fold in the last decade. To reinforce the premium credentials of the brand, Marlboro Silver will be sold in a limited edition silver foil overwrap during the introduction phase.

125 Years of Lyle’s Golden Syrup LYLE’S Golden Syrup, from Premier Foods Ireland, is celebrating 125 years in existence with a series of special edition anniversary tins of its classic Golden Syrup. A twist on the iconic green tin with gold logo, the special editions are gold, with a green logo featuring a quirky substitute for the Lyle’s brand name. ‘Perfect in Puddings’, ‘Fantastic in Flapjacks’ and ‘Pour it on Porridge’ describe exactly what most people do with their golden syrup. This special anniversary is being promoted with onpack coupons, competitions, consumer press advertising and PR activity.

RN January/February08Shelf Life ●

Shelf Life

THE John West Website is now fully operational at www.john-west.com. “It has been the one item, above all else, that I have strived to have in place within our first 12 months of operations and I’m very pleased to be able to confirm that this objective has been met,” enthused Brendan Murphy, Country Manager, John West Foods Ireland. EIMEAR Hughes has been appointed as Corporate Account Manager for leading telecommunications firm Magnet Business, with a specific focus on and responsibility for the retail and grocery sector and its related industries. Eimear’s appointment will provide further support for Magnet’s retail and grocery industry business customers countrywide.

BENECOL is the new sponsor of ‘The Tubridy Show’ on RTÉ Radio 1. The sponsorship commenced on Monday, February 4 and lasts for 12 months. This is the first time the show has been sponsored. Pictured at the announcement are presenter Ryan Tubridy and Helen O’Hara, Benecol Marketing, who noted “In supporting the show, we are in a position to communicate the role Benecol can play in the daily lives of our core consumers, which delivers on our key objectives for 2008 and beyond.”

INSIGHT Research and NCAS are hosting a Global Convenience Benchmarks Conference at the Gresham Hotel, Dublin, on March 12. The impressive line-up of speakers includes Donal Horgan, Musgrave MD, who will provide an overview of opportunities and challenges in the Irish market; and James Dorling, Head of Tesco Environmental, who will discuss Tesco’s brand new c-store. For more details see, www.insightresearch.co.uk. OVER 220,000 children are being challenged to grow their own potato crop for the 2008 United Nations’ ‘International Year of the Potato’. A potato growing kit has been sent to every national school in the country free of charge for Agri Aware’s ‘Meet the Spuds!’ Potato Growing Challenge. Pupils are being challenged to sow the seed potatoes in February and harvest their crop in June. During the course of the plants’ growth, pupils will create a class scrapbook and monitor its progress with diagrams, photographs and written observations; the harvested crop will then be washed and weighed and the scrapbook will be sent for assessment. Participating schools have the chance to win over €10,000 in garden development funds. CONGRATULATIONS from all at RETAIL NEWS to Ruth Norton, Markeing Manager, ADM Londis, on the birth of her baby boy, Luke.

THE former Brands Director with Irish Distillers Pernod Ricard, Brendan Buckley, has left the Ballsbridge multinational to join Galway-based advertising and marketing agency, Impact Media, as Managing Director. Founded in 2003 by Niall McGarry and Tom Lynskey, Impact Media was originally set up to service the regional market for advertising and marketing services. The agency quickly established a reputation for its high-quality, distinctive work and is now making its mark on the national stage. “My decision to team up with Impact Media was based on my experiences commissioning advertising for a wide range of brands, large and small,” explains Buckley. “I found myself increasingly seeking out smaller agencies, which could provide world class creativity, attentive account management and cost effectiveness.”

OSRAM, one of the world’s leading lighting manufacturers has launched the world’s first energy efficient halogen light bulbs in Ireland. The new Osram Halogen range uses 30% less energy than standard incandescent bulbs and lasts up to five times longer.The Halogen bulbs will retail from €2.99 to €4.99 and are distributed by Electrical Powerline in Tallaght.

NORTHERN Ireland's best selling bakery brand Kingsmill recently smashed the world record for the most people tossing a pancake simultaneously, enlising the help of the Belfast Giants ice hockey team and its supporters. Kingsmill’s Andrew Hollywood and Mary-Frances Loughran of the Belfast Giants G-Crew are pictured at the event, where 206 people tossed Kingsmill Giant Pancakes simultaneously for 30 seconds, breaking the previous record of 108. 80

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