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www.retailnews.ie|December 2013|Contents|3

Contents Retail Ireland: Monthly Update

Season’s Greetings AS 2013 approaches its end, it’s time to reflect on what was another challenging year for the Irish grocery and FMCG market. The pressure on margins remains tight and the cost of doing business is still high, but most observers would be cautiously optimistic that Ireland has finally bottomed out and there are a few chinks of light starting to appear, as we head towards 2014. The Budget was arguably the most business and retailer friendly in years, and the fact that it took place in October, rather than at the beginning of the festive season, was good news for retailers, who could look forward to a seasonal sales surge in November and December. 2014 promises new legislation which will affect the sector, but on the whole, Ireland’s grocery trade can approach a new year with more optimism than we have in years, as our Chief News Reporter, Pavel Barter discovered when he spoke to the country’s leading retail representatives (Page 4 & 5). Elsewhere, we reflect on the year that was in our annual Retail Review (Page 54), while our Retail Groups Report (Page 19-37) sees the country’s biggest retailers reporting on their progress in 2013 and looking forward to the New Year. Finally, I would like to take this opportunity to thank all our readers and advertisers for their continued support and to wish you all a peaceful and profitable Christmas and a very happy and prosperous New Year.

18

4 News 4

2014: What The Future Holds.

5

New Customer Engagement Company Launched.

6

Plain Tobacco Packaging to Cost 1,900 Jobs; Musgrave Group wins Sustainable Energy Collaboration Award.

8

Heineken Publishes Sustainability Report; Food Price Inflation Falls.

Continued Volatility in Retail Sales; Commercial Leases Register a Welcome New Feature for Retailers; Government Proposals on “Standardised Packaging” for Tobacco Products; Retailers Welcome Data on Employment Growth.

52 On The Vine 52

54 19 Retail Group Review 19

10

A snapshot of the biggest retail groups in the Irish market, highlighting their performance across 2013, the big moves this year and looking forward to 2014.

2012: A Year in Retailing 54

38 10

Value the Key to Own Brand Success; Dawn Meats Scores on Environment.

Seafood 16

Kathleen Belton Editorial Director kathleenbelton@retailnews.ie

Bord Iascaigh Mhara recently announced the winner of the inaugural Young Fishmonger of the Year title.

16

Two crippling tax increases have utterly changed the face of Ireland’s wine industry, Jean Smullen reports.

IGBF Christmas Lunch 38

MORE than 1,200 of the Irish grocery industry’s greatest enjoyed the annual Irish Grocers Benevolent Fund Christmas Lunch 2013.

We look back over the big stories from Ireland’s grocery and FMCG trade across 2013. From the controversy surrounding the proposed Tobacco Products Directive to landmark rent reviews, the launch of Centra’s bright new own brand range to the fallout from the horsemeat scandal, these are the stories that helped to shape your industry, and the pages of Retail News, over the course of the last year.

40

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Chief News Reporter: Pavel Barter Wine Correspondent: Jean Smullen

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12 40 50 62

Industry News Breakfast Time Market News Shelf Life


4|Retail News|December 2013|www.retailnews.ie

News

2014: What

The Future Holds

AS Ireland slowly emerges from austerity, Retail News takes a look at the year ahead and speaks to a number of retail representatives about the issues affecting their members. The general consensus is that retail is healthier than it has been for some time. Nevertheless, 2014 promises to be a pivotal year for the sector. New legislation poses problems for retail, threatening consumer confidence and adding costs to squeezed retailer margins. Over the last year, urban areas have seen significant rates increases, while the introduction of the residential property tax means fewer pennies in the shopper’s purse. David Fitzsimons, CEO, Retail Excellence Ireland, wants funding alternatives for local authorities to reduce business rates. “We’d also like to see a modification of the Local Government Rates Act 1970, which has a section, never legislated, allowing local authorities to grant rates waivers to certain business types. That would allow them to create a more bespoke approach to investment,” Fitzsimons noted. Joe Sweeney, President, National Federation of Retail Newsagents Ireland, calls for the Government to mimic Northern Ireland’s policy of levying

large businesses to help the costs of small and medium businesses. “Other costs are continually rising,” added the retailer. “Lighting and power, phone bills... Our margins are continuously squeezed.” Additional costs are due with the reintroduction of JLC wage setting mechanisms in January. Retail Excellence Ireland has a full time employment law solicitor, whose “primary objective is to communicate to Government on JLC issues,” said Fitzsimons, while RGDATA has written to the Minister for Jobs on the issue and believes legal challenges could be posed before the order is implemented. Frank Gleeson, Retail Ireland Chairman, also questioned the legality of the Government’s JLC approach. Retailers are particularly affronted by the discrepancies in the proposed JLC rates. Only certain types of retail businesses will be obliged to pay these higher wage rates, while small symbol group outlets will be lumped in with large multiples. Vincent Jennings, Convenience Stores and Newsagents Association, describes this mixed logic as astonishing. “Some retailers who are much larger in size and turnover, who are not symbol

groups, don’t have an obligation to pay,” said Jennings. “Deals websites, that sell a vast number of products we sell in our symbol group shops, won’t have an obligation. Some of the multinational petrol companies, Esso and Joe Sweeney, President, the like, won’t NFRN Ireland. have an obligation. Off licences don’t have an obligation. Yet those of our members who are symbol groups and sell alcohol, grocery products or magazines may have an obligation to pay. You could be looking at €15,000 to €20,000 extra in staffing costs. That’s not welcome.” Off licence owners face their own set of problems in 2014. High excise rates are impacting on lower priced products, explained Evelyn Jones, Chairperson at the National Off-Licence Association (NOffLA).


Retail News|December 2013|www.retailnews.ie|5

News

David Fitzsimons, CEO, Retail Excellence Ireland.

“It’s harder to find drinkable quality wine for under €10,” said Jones. “Industrial quality wine is consumed, rather than artisan quality wine, because the duty is so high. This has led to a decline in quality and an impact on credit. Over the last year, wholesalers have had to find €18,000 in extra cash flow, per thousand cases retailed.” This poses the risk of a return to cross border shopping. “The North has lower excise

Frank Gleeson, Retail Ireland Chairman.

rates, so we’re concerned people will go across the border

again, particularly for bulk purposes,” she added. Tobacco is perhaps the biggest issue facing convenience retailers in 2014. The Minister for Health is planning to increase the annual fee for tobacco licences from €50 to €500. “We believe this goes against the government’s commentary on small jobs and reducing the burden of regulation on small businesses by 25%,” said Tara Buckley, RGDATA Director General. Jennings noted the po-

Tara Buckley, RGDATA Director General.

tential discrepancy between retailers and properties with cigarette vending machines. “13,500 businesses are registered with the Office of Tobacco Control. 7,500 of those, selling through vending machines, are excluded from the fee. Are the remaining 6,000 still to pay the €5m for the Department of Health?” He added: “Why would we allow the Department of Health to be in charge of a licensing system? Would it not be better if it was licensed by Revenue, who collect for fuel, oil, and alcohol?”

Retailers also potentially face the arrival of plain packaged cigarettes, although tobacco companies are likely to challenge this in court. Retail representatives question the societal benefit of the initiative, arguing that it will drive sales further into the black market. Gleeson suggests the government ban the importation of over 200 cigarettes, whether duty paid or duty free, and make it a criminal offence to purchase illegal cigarettes. Also next year, retailers face the prospect of changing payment technologies. Irish banks are rolling out contactless debit cards, designed to encourage the use of cards instead of cash. “You have to embrace new technology, but it’s always at a cost for the retailer,” said Sweeney. “Like bank charges, a lot of costs are passed on to the retailer.” RGDATA wants to ensure the retailer’s margin is not swallowed up through contactless payments. Likewise, the group hopes to maintain

Vincent Jennings, CEO, CSNA.

the retail margin for National Lottery tickets. David Fitzsimons urges retailers to encourage

Evelyn Jones, Chairperson of NOffLA.

tourists into shops. After the success of 2013’s Gathering, more visitors are likely next year. REI is exploring initiatives such as 24-hour Visa applications. “If the Irish consumer isn’t in the mood for spending, the next best thing is to look to the potential visitors to the country,” said Fitzsimons. “We should promote Ireland as a shopping island and make access to the country a little easier.” Ultimately, the goal for retailers is to encourage consumer confidence in 2014. “We need to play up the positive job news, and the fact everybody in the world wants Ireland to achieve,” said Gleeson. “We’ve taken our medicine and appear to be getting better. Are you staying up to date with customer needs? My advice for any retailer is stick to your basics. Make sure you are offering value for money, good prices, good products and good service. If you have that combination, consumers will stay with you. It’s not always the lowest priced guy that gets the business. It’s the person who is most consistent and delivers the best.”

New Loyalty Company Launches VALUE Nation is a new customer engagement loyalty company which is launching a new loyalty product for Irish stores. LolliPoints allows customers to collect loyalty points across a range of stores, with one card working in all stores and earning LolliPoints in each one. The brainchild of John Paul L’Estrange and Eamonn Dawson, two former senior managers of the highly successful One4all gift card (The Gift Voucher Shop), Value Nation will see the creation of more than 50 new jobs over the coming 18 months in Dublin 17. To subscribe to LolliPoints, the consumer can either use a standard swipe card or download the App, with over 100 merchants participating in the Value

Nation scheme by Christmas. Vital to the success of this scheme is the fact that Value Nation do not seek to take any of the retailer’s hard earned percentages: in fact, they do not seek to earn from the merchant at all. “We intend to be the leading marketing and customer engagement loyalty company in this country,” said Eamonn Dawson. “Our experience as part of the team who brought the One4all gift card to being the leading gift card offering in Ireland leaves us well placed to have the most comprehensive and inclusive customer engagement programme available in Ireland. Minister for Jobs, Enterprise and InnoWe also have exciting plans to launch our vation, Richard Bruton TD, is pictured with Value Nation founders John Paul company in the UK within the next year L’Estrange and Eamonn Dawson. and further afield after that.”


6|Retail News|December 2013|www.retailnews.ie

News

PLAIN PACKAGING TO COST 1,900 JOBS A NEW study estimates that the introduction of plain packaging on cigarettes in Ireland could put up to 1,900 jobs and €125m in tax revenues at risk. The study by Roland Berger Strategy Consultants, commissioned by Philip Morris International (PMI), measures the potential economic impact of plain packaging and forecasts that all legal segments of the tobacco market in Ireland could lose significant market share, whereas the illicit market could grow by up to 40%. This is particularly alarming since the illicit market share in Ireland is already one of the highest in Europe. In 2012, about 3.7 billion cigarettes were sold in Ireland, 45% below the number sold in 2002. A key reason for this is a thriving illicit cigarette market. The tobacco sector in Ireland currently accounts for about 5,500 jobs in manufacturing, wholesale, distribution and retail. It is a major driver of tax revenue of about €1.4 billion per annum. “Most job losses are not expected in the tobacco sector, but rather in the rest of the economy and sectors such as retail,” said Patrick Mannsperger, Partner at Roland Berger Strategy Consultants. “Tax losses are likely to translate into a significant contraction of the Irish economy, much higher than would be expected in ‘normal’ times, i.e. without the current

financial crisis, the tough austerity programmes and the deficit limits Ireland faces today and in the near future. The likely tax losses due to plain packaging are particularly worrying since taxation of tobacco products accounts for almost 3% of the Irish government’s total revenues, far above the EU average.” The report concludes that: • Plain packaging could shift the tobacco market from a highly differentiated product market towards acommoditised market and could lower consumers’ willingness to pay for legal cigarettes by about 17%; • Plain packaging is likely to lead to strong price competition triggered by illicit market suppliers. This will put pressure on legal prices, and all legal segments of the tobacco retail market could lose significant market share; • Tax revenue under plain packaging will likely decline by up to €125m, compared to a situation without plain packaging; • Up to 1,900 jobs could be lost, most of them (about 88%) not in the tobacco sector but in the rest of the economy, triggered by the potential loss in tax revenue and the negative growth effects induced on the Irish economy;

Pictured are (l-r): Damien English; Patrick Mannsperger, Partner at Roland Berger Strategy Consultants; and Joe Sweeney, President, NFRN.

The illicit market could grow by about 40%, i.e. from about one billion sticks in the status quo without plain packaging to 1.4 billion sticks. The authors point out that these effects will take place gradually. The full effect of plain packaging, therefore, is likely to materialise over a few years after its introduction. The study calls for the evaluation of plain packaging regulation, according to the Irish Regulatory Impact Assessments (RIA) standard to achieve “better regulation”. Key questions guiding a comprehensive regulatory impact assessment of plain packaging in Ireland would be: • Is plain packaging effective in reducing smoking prevalence, smoking initiation rates, as well as smoking intensity (the number of cigarettes smoked

per capita)? Is plain packaging a proportionate way to achieve these goals? Is there a better way to achieve the same goals? Good tobacco regulation, the study argues, should help achieve predefined health goals without harming tax revenue, economic operators (for example by impairing intellectual property rights of tobacco manufacturers) and the economy as a whole. “We have shown how the introduction of plain packaging would deprive the economy from tax revenues due to consumers’ substitution of legal products with cheaper and illicit products,” the report concludes. “Legitimate health goals could be pursued through tobacco control measures that, unlike plain packaging, have proven effective without harming tax revenue.”

Musgrave Group Wins Sustainable Energy Collaboration Award MUSGRAVE Group has been named the winner of the Sustainable Energy Collaboration Award for its support to 650 SuperValu and Centra stores nationwide, at the 10th annual Sustainable Energy Awards. The project included piloting SEAI’s Energy Map training in 2008 as well as technology retrofits and store upgrades. “Energy management is embedded in the culture of our retail partners,” said Ciaran McNally, Musgrave Group. “The Musgrave/SEAI Energy Map programme is the largest in Ireland within the SME sector with sustainable savings of up to 30% equating to over €2m annually for our retailers, and a

target of €9m projected.” Hosted by the Sustainable Energy Authority of Ireland (SEAI), and sponsored by Electric Ireland, the Awards recognise and reward excellence in energy management. Overall energy savings of €750m have been made by the 600 organisations that have participated in the Sustainable Energy Awards over the last decade. “These organisations have made massive savings. Given that between them they employ 400,000 people it is impossible to underestimate the importance of this achievement,” said Dr Brian Motherway, Chief Executive, SEAI.

The Musgrave winning group are pictured collecting their Award with Pat O’Doherty, Chief Executive, ESB; Brendan Halligan, Chairman, SEAI; and Minister for Communications, Energy and Natural Resources, Pat Rabbitte TD.



8|Retail News|December 2013|www.retailnews.ie

News HEINEKEN PUBLISHES SUSTAINABILITY REPORT HEINEKEN Ireland has launched its Sustainability Report for 2012, which focuses on the company’s efforts to manage the social and environmental impacts of its business in the fiscal year ending December 31, 2012. The full report is available in an online version, embodying the company’s commitment to reduce both its carbon footprint and impact on the earth’s natural resources. The 2012 report highlights the significant progress made in the three years since the launch of the ‘Brewing a Better Future’ programme, illustrating how strongly the business priorities and sustainability strategy are linked. The report touches on the urgent challenges currently faced by the brewing industry and where the company will focus its sustainability efforts next, declaring new ambitions for 2015. In consultation with key stakeholders, four key areas have been agreed on which Heineken will build a deeper second phase of ‘Brewing a Better Future’. For each of these areas, ambitious targets for 2015-2020 have been set on protecting water resources; reducing CO2 emissions; sourcing sustainably and advocating responsible consumption. “We are on an exciting journey,” said Heineken Ireland’s Corporate Relations Manager, Declan Farmer. “Brewing a Better Future has united all our em-

ployees in the quest to build a sustainable company, and thereby securing the continuity of our business for well into the future.” Some highlights from the 2012 report include: • Heineken Ireland continues to remain one of the most water efficient breweries within the global Heineken group, utilising 3.1hl of water for every hl of beer, having achieved a 5% reduction in 2012 water consumption levels over 2011. • Heineken Ireland continued to expand its local sourcing commitment, with 100% of its malt requirements being sourced locally, supporting near 750 farm households in the process. The brewery also supports local suppliers and services, injecting a €100m spend in the local economy and supporting almost 1,000 local suppliers in Ireland. 35,000 jobs are now linked to Heineken Ireland. • Its partnership with Cork Simon has progressed in 2012, with a Pilot Alcohol Addiction Aftercare Programme launched by Cork Simon and supported by Heineken Ireland. • Heineken reduced its 2012 energy consumption by 10% on 2011 levels and continuing this trend remains a top priority to reduce the company’s carbon footprint. • Continued commitment to the roll

out of green refrigeration across the business has yielded significant energy savings to Heineken’s customer base in the order of 35%. • Heineken maintained its recycling rate of near 100%. • A Global Supplier Code, which includes sustainability commitments, was signed by 98% of Heineken’s suppliers. The full sustainability report, along with other local market reports is available online at www.sustainabilityreport.heineken.com.

Food Price Inflation Falls in Build-up to Christmas THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending November 10, show a welcome boost for shoppers with price inflation dropping to 2.9%. Having remained above 4% for the past 12 months, peaking in January at 6.4%, the drop in inflation is good news for shoppers in the build-up to Christmas. “Fresh food has been the main driver of price inflation over the past year and this has now started to recede,” explains David Berry, Commercial Director at Kantar Worldpanel. “For example, vegetables are now cheaper on average than they were last year. This drop in price inflation has caused the value of the grocery market to slip into year-on-year decline, following six months of sales growth, as consumers continue to focus on value and savvy shopping.” One area which continues to experience significant inflationary pressure, however, is alcoholic drinks. “Increased duty on alcohol as part of the October budget has affected wine in particular, where the average price has increased by 16%,” Berry warns. “As a result, 51,000

fewer shoppers have put wine in their baskets, while those who continue to buy have cut back by almost one bottle over the past 12 weeks.” Among the retailers, Tesco has seen a 6% drop in sales, leading to its share of the market dropping from 28% to 26.5%. Dunnes performed ahead of the market for the third successive month, and has grown its market share from

23% to 23.6%. SuperValu’s share of the market has increased slightly, with sales remaining in line with last year. “Aldi continues to set the pace, although this is the first time its year on year growth has dipped below 20% since April 2012, highlighting stiff competition in the grocery market,” Berry noted. For further information, see www.kantarworldpanel.com.

Total Take Home Grocery - Ireland Consumer Spend Total Grocers Total Multiples Tesco Dunnes SuperValu Superquinn Total Discounters Aldi Lidl Other Outlets**

12 Weeks to 11 November 2012 %*

12 Weeks to 10 November 2013 %*

change** %

100.0% 88.2% 28.0% 23.0% 19.3% 5.3% 12.5% 6.2% 6.3% 11.8%

100.0% 88.8% 26.5% 23.6% 19.4% 5.2% 14.3% 7.4% 6.9% 11.2%

-0.3 0.4 -6.0 2.3 0.0 -3.9 13.7 19.4 8.2 -6.0

*= Percentage Share of Total Grocers **= Refers to share growth or growth or decline not change in market share ***= Includes stores such as M&S, Boots, Spar, Centra, Greengrocers, Butchers And Cross Border shops


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10|Retail News|December 2013|www.retailnews.ie

News Value the Key to Own Brand Success THE price gap between branded goods and private label has narrowed, according to a new report from FMCG market and shopper intelligence firm, IRI, which examines the private label market in Europe and the US. The report, which outlines where the private label market is today and how it is likely to evolve over the next year, highlights the rising price of retailers’ own brands as they reduce promotions and increase their focus on quality, with many re-launching premium ranges. A reduction in promotions by retailers has increased the product price of private label, while national brands maintain promotional levels as they fight for share in a highly competitive market, with a subsequent reduction in the price gap between the two. The increased price of private label netted retailers a total of half a billion euro (0.4% increase) across Europe and the US. In the UK, private label is on average priced at 27%

Tim Eales, Director of Strategic Insight at IRI.

cheaper than equivalent national brands and this difference has narrowed by 0.3 points in the last year. The price gap has closed the most in chilled and fresh food and frozen food, both categories where retailers have performed well in the last year. “With its three-tier approach, private label continues to play a vital role for retailers as shopper confidence remains fragile,” says Tim Eales, Director of Strategic Insight at IRI. “Shoppers want quality as well as value and so as the

perceived quality increases, with more premium ranges being launched, they are more confident to buy private label and pay more for it.” Retailers continue to give their products more personality as ‘brands’ and focus less on low prices, Eales notes. ”As private label gains ground in the quality and price debate, this creates even more pressure for national brands that must work harder than ever to tell a compelling and shopper focused story. Sharing category level insight and engaging in localised assortment optimisation will maximise sales for entire ranges.” Overall in Europe, private label commands a 47.1% unit share of all FMCG sales and contributes to more than half of the growth in Europe. The UK has the largest share of private label and increased its value share by 0.6 points to 51.1% and unit share by 0.2 points to 57.6%. Retailers must address assortment from a shopping basket perspective to avoid hitting a growth ceiling, the

report notes. Even though private label increasingly takes priority on the shelf, retailers are taking a more analytical approach to avoid stocking duplicate products and reaching the point that too much private label turns off consumers. National brands spend huge amounts of money on marketing to drive shoppers into stores and the importance of their presence on the shelf must not be underestimated. Private label struggles to make a foothold in categories where shoppers are often extremely loyal to their favourite brands, such as tea, chocolate and personal care and some other food categories. IRI advises retailers and manufacturers to collaborate, using predictive analysis tools to find the optimum assortment and price mix for individual products and categories that will benefit everyone, including shoppers.

DAWN MEATS SCORES ON ENVIRONMENT SIMON Coveney TD, Minister for Agriculture, Food and the Marine, recently presented Dawn Meats with their ISO 14001 Environmental Management certificates for sites throughout Ireland and the UK at a special conferral ceremony at the Aviva Stadium, as part of the Future in Food Ireland event. “Having toured Dawn Meats’ facilities I have seen first-hand the care and dedication that they put into their products. It gives me great honour to present Dawn Meats with these Environmental Management certificates that marks the company as true leaders in sustainability,” noted the Minister. Dr John Ryan, Director of Services at Certification Europe, the accredited certification body that assessed Dawn Meats to ISO 14001 Environmental Management standards, praised the company’s “continuing dedication to improving their business”, describing them as international market leaders. The presentation took place at Future in Food Ireland, an event driven by the need for sustainability within the Irish food processing sector, where industry leaders openly discussed the challenges and benefits of a sustainable food processing facility within Ireland. “We were very pleased to have had such a successful event and proud to have hosted the ceremony which awarded Dawn Meats with such an accolade,” said Ronan McGlade, Event Organiser of Future in Food Ireland. “Sustainability in the Irish food processing sector is paramount to the success of any food organisation, large or small.”

Pictured at the presentation of ISO14001 Environmental Management certificates to Dawn Meats are Charlie Coakley, Environmental Manager, Dawn Meats; Minister for Agriculture, Food and the Marine, Simon Coveney TD; and Philip Tallon, Group Operations Manager, Dawn Meats.

Speakers at Future in Food Ireland included Padraig Brennan from Bord Bia, who discussed Origin Green, Bord Bia’s sustainability programme for the Irish food industry; Dr John Ryan, Director of Services at Certification Europe, who advised on certification management; and GS1 Ireland’s Denis O’Brien, Director of Standards, and Jim Bracken, Sustainability Director, who spoke about the work of GS1 Ireland in driving standards and sustainability.


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12|Retail News|December 2013|www.retailnews.ie

Industry News LINWOOD HEALTH FOODS WINS BIG

HEALTH and super foods specialists Linwood Health Foods scooped a coveted eircom Spider award, the longest standing and most prestigious digital awards in Ireland, which reward Irish businesses and community organisations for digital excellence. Linwoods has been in business for over 30 years and manufacture a range of premium bakery, fresh dairy and healthy super food products. They deliver bakery and dairy produce to over 1,600

customers daily and distribute their Healthy Super Food range throughout Ireland, UK, Spain and Holland. Pictured with MC Neil Delamere (left) are Chris Hubbard, Lead Developer (second from left) and Jamie Robinson (right), Creative Director and Owner of Eyekiller, the web design agency for Linwood Health Foods. The Award was presented by Lorraine Butler (centre), Director of Enterprise and Government, eircom Business.

Bean The Best with BWG

SPAR and EUROSPAR have signed new contracts with coffee companies Insomnia and Tim Hortons, which will see their in-store hot beverage offering expanded to another 30 stores in 2014, signifying an investment of €360,000. Sales of hot beverages at SPAR and EUROSPAR are up by 31% in the last four years and 8% year-to-date. The company is predicting revenue from hot beverages to grow from €19m to €23m over the next 12 months and the brand is now one of Ireland’s single biggest sellers of coffee by value and volume. Pictured at the announcement are Leo Crawford, Group Chief Executive, BWG Group, and John Clohisey, BWG Group.

VAYU SIGNS €1.8M ENERGY DEAL WITH BRITVIC IRELAND IRISH energy supplier Vayu has signed a gas and renewable electricity deal with Britvic Ireland. Valued at €1.8m in the first year, the agreement will see Vayu supply Britvic with gas and 100% green electricity to meet all the year-round energy requirements for its three Irish sites – its two factories in Dublin (Kylemore) and Limerick (Newcastle West) and its distribution centre in Dublin (Clondalkin). Pictured are: Stephen Behan, energy specialist at Vayu; Marcel Kahlow, Head of Procurement, Britvic Ireland; and Mat Thewlis, Operations Director, Britvic Ireland.

Neworld Breaks Brands

NEWORLD Associates, one of Ireland’s leading brand building and digital media agencies, recently hosted a branding seminar to tie in with the unveiling of their newly refurbished office space in Dublin’s Harold’s Cross. The seminar, entitled ‘Breaking Brands’, discussed just how important a role branding really plays in helping Irish businesses break new ground to win in international markets. The event was MC’ed by Newstalk presenter Bobby Kerr and a panelist of brand experts spoke at the event, including economist Jim Power, Deirdre O Brien from the Powerscourt Hotel, Sarah O Connor, E&Y, and Richard Cullen from the Jelly Bean Factory, who is pictured (left) with Pat Kinsley, Neworld Associates.

LIDL OPENS TWO NEW DUBLIN STORES LIDL has opened two new Dublin stores this month, creating 40 new permanent jobs recruited from the localities for the two stores, one in Ballycullen and another in Terenure. These latest openings bring the total number of Lidl stores in Ireland to 138 and the retailer received well over 200 applications for the 40 permanent roles.



14|Retail News|December 2013|www.retailnews.ie

Industry News Stonehouse Supports SVP Food Appeal STONEHOUSE Marketing Ltd, owners of the Homestead brand, have always been proud of the role the family run wholesalers play in serving and supporting their local community. This Christmas, 1,700 hampers will be delivered by Stonehouse wholesalers to the St Vincent de Paul as part of the charity’s Christmas Appeal. Stonehouse view this initiative as being

WHEY PROTEIN PRODUCT SHAKING UP MARKET

PRODUCED in Ireland using 100% Irish Whey Protein, new True Life Shake Up 50+ from BR Foods is an all-in-one lifestyle product designed especially for the over 50’s. It is the first of its kind on the market, developed to help fight the serious health problems associated with ageing. The all-in-one food supplement comes in a premium 250g pouch (RRP €10.99) and is easily made up into a tasty, nutritious shake by adding to cold water or milk. It comes in three delicious flavours: vanilla, strawberry and chocolate. Created by BR Foods with a team of food scientists, technologists and nutritionists, True Life Shake Up 50+ promotes healthy muscle, bones and gut and improves energy levels

among the over 50’s. William Rochford, MD of BR Foods, is pictured with the new brand.

SPAR CHINA DELEGATION VISITS IRELAND IRELAND’S convenience retail sector was in the spotlight recently as an influential delegation from SPAR Shanxi, a province in China, flew into Ireland for a specially organised ‘look and learn’ trip of leading SPAR stores across Dublin and Kildare. SPAR Shanxi, which primarily operates the larger hypermarket format, is looking to diversify into smaller convenience SPAR stores typically seen in Ireland and the group of eight visitors - led by Li Aixiang VP of Operations, SPAR Shanxi - were keen to understand more about this country’s success in

local convenience retailing. Pictured with the delegation from SPAR China are Li Aixiang, VP of Operations SPAR Shanxi; Willie O’Byrne, Managing Director; BWG Foods; and Charles McCarthy of SPAR Dame Street in Dublin.

vitally important in assisting those families in need this Christmas, while also maintaining strong community links throughout the length and breadth of Ireland. Pictured are (l-r): Janice Gibney, Homestead Brand Manager; Tom Shipsey, CEO, Stonehouse Marketing; RTÉ’s Ryan Tubridy and Kieran Murphy, National Director, St Vincent de Paul.

SuperValu Talks Turkey

LAURA Kennedy, SuperValu Trading Manager, and Niall Brady, Turkey Farmer, Co. Monaghan, are pictured at the announcement that SuperValu expects to sell €3.3m worth of Irish whole turkeys over the 2013 Christmas period. This Christmas, SuperValu customers can collect points towards a half price turkey as well as receiving 5% off their Christmas shop as part of SuperValu’s Real Rewards Scheme. A variety of turkey options will also be available in-store, including boned and rolled, crowns and joints.

Shay’s Celebrates 40 Years

SHAY’S Costcutter in Whitehall, Dublin 9, recently celebrated as the family run shop celebrated a marvellous 40 years in business. Pictured are Seamus Doherty and his wife Sylvia, with their daughters Hazel (left) and Lisa (right) who manage the business now.


We believe there is a better way. Consideration should be given to targeted and proportionate ways of achieving shared public policy objectives in Ireland such as: Penalising the purchase, or attempted purchase of tobacco products by minors, and the purchase by adults on behalf of minors (“proxy” purchasing) Reinforcing retail access prevention measures, such as the ‘Show Me I.D - Be Age Ok’ programme; www.showmeid.ie More effective, targeted enforcement of the illicit tobacco trade. Evidence suggests that minors in Ireland are currently being used to sell illegal tobacco products in street markets across Ireland. Minors can also easily purchase tobacco from illegal channels as criminals don’t ask for identification Renewing targeted public information campaigns to quickly and effectively raise the awareness of tobacco control measures, such as the criminalisation of proxy-purchasing by minors and negative licensing regime

MAKE SURE YOU HAVE


16|Retail News|December 2013|www.retailnews.ie

Seafood

Young Fishmonger of the Year Bord Iascaigh Mhara recently announced the winner of the inaugural Young Fishmonger of the Year title.

James Kirwan of East Coast Seafood, Naas, Co. Kildare, is pictured with Senator Feargal Quinn, as he was announced winner of the Young Fishmonger of the Year Award 2014.

JAMES Kirwan of East Coast Seafood in Naas, Co. Kildare, has been announced by BIM, the Seafood Development Agency, as the 2014 Young Fishmonger of the Year. He was presented with his award by Senator Feargal Quinn at a glittering ceremony in the Radisson Blu Hotel in Dublin 4. James was selected as the overall winner from a shortlist of five finalists, all of whom exhibited a dynamic and innovative approach to seafood retailing, coupled with an outstanding knowledge of seafood. The other finalists were: Arnaud Lepricey, Wright’s of Howth, Dublin; Graham Rogerson, George’s Fish Shop, Monkstown Farm, Dun Laoghaire; George Stephens, Stephens’ Fish Market, Mullingar, Co. Westmeath and Maynooth, Co. Kildare; and John Feeney, Galway Bay Seafoods, New Docks, Galway. This is the first year of the Young Fishmonger of the Year Award, created by BIM to recognise and reward innovative young fishmongers across the country. Progressive Fishmongers “This initiative is part of BIM’s ongoing commitment to attracting and supporting young people in the seafood sector,” explained Jason Whooley, CEO of BIM. “Young entrants to the industry are crucial to its ongoing development. These finalists bring together some of Irelands most competent, knowledgeable and progressive young fishmongers.” According to the CEO, BIM was delighted with the calibre of entries for the inaugural year of the competition, which paints a bright future for the seafood retailing sector. “Throughout all stages of the competition, the judges consis-

tently said how impressed they were at the overall knowledge, skills and commitment demonstrated by all the finalists,” he said. “We look forward to running the competition again in the years to come and encourage all young talented fishmongers out there to give it a shot!” As overall winner of the competition, James Kirwan will be offered a study trip to France, a placement in a top seafood restaurant kitchen and free attendance at BIM’s retail development workshops. Along with a specially designed trophy, James will also receive a business development package to assist with the future development of his store. “I was very proud to be nominated, to be recognised for excellence,” James tells Retail News. “I was confident beforehand, but then I met the competition, which was very stiff, so I was a bit subdued after meeting them.“ When he was announced as the overall winner, James confesses to being “gobsmacked”. James has been involved in the seafood industry for most of his life. Originally from Clogherhead, Co. Louth, he began fishing as a teenager during his school summer holidays, before, securing a class 3 engineering ticket with BIM. He has fished everywhere from Killybegs to the Bay of Biscay, but came ashore almost four years ago to set up his own retail shop in Naas, which has developed a great reputation for quality seafood. “We built most of our business through word of mouth, and I think that’s the best advertising you can get,” he said. “Since winning the Award, some of my customers rang and texted

Pictured are (l-r): Arnaud Lepricey, Wright’s of Howth, Dublin; James Kirwan, East Coast Seafood, Naas, Co. Kildare; Graham Rogerson, George’s Fish Shop, Monkstown Farm, Dun Laoghaire; Geraldine Lane, Trade Development Manager, BIM; George Stephens, Stephen’s Fish Market, Mullingar, Co. Westmeath and Maynooth, Co. Kildare and John Feeney, Galway Bay Seafoods, New Docks, Galway.


Retail News|December 2013|www.retailnews.ie|17

Seafood me with congratulations. I’ve been getting so much positive feedback.” Changing Attitude to Seafood The Award will hopefully allow James to tap into Irish consumers’ changing attitude to seafood. “Seafood used to be nearly seen as penance,” he laughs. “Friday was the one day of the week they weren’t allowed to eat meat. Now, our customers are looking for different types of fish and new ideas on how to cook it. They are picking up a lot of ideas from cookery shows on television, and we always try to have recipes in-store for customers. Friday is still the busiest day of the week for us, but our business is growing every day and we’re actively trying to build trade earlier in the week. Irish consumers are more aware of the health benefits of fish, which is good news for the seafood sector. It’s definitely a growing industry.” Pictured are the five finalists in the BIM Young Fishmonger of the His views are echoed by John Feeney, from Galway Bay Year Award (l-r): George Stephens Jnr, Stephen’s Fish Market, Seafoods, the youngest finalist in the competition, who feels Mullingar and Maynooth; Graham Rogerson, George’s Fish Shop, that “seafood is growing all the time”. Monkstown Farm, Dun Laoghaire, Co. Dublin; John Feeney, When John joined Galway Bay Seafood two and a half Galway Bay Seafoods; James Kirwan, East Coast Seafood, Naas, years ago, he worked in the wholesale area, where his knowlCo. Kildare, overall winner; and Arnaud Lepricey, Wright’s of Howth. edge of seafood grew enormously. The next move was to the improved greatly and some of them are now better than those in-house smokehouse where the work involved preparing, in France.” High praise indeed. smoking and packing seafood for sale in the shop. John now works in the retail area, where he enjoys sharing his knowlEducating Consumers edge of seafood with customers. Fish isn’t difficult to cook and “People are much more into cooking than they were before,” people are starting to realise that now, he maintains, and says Graham Rogerson, from George’s Fish Shop, Monkstown predicts a bright future for seafood sales in Ireland. Farm, Dun Laoghaire, Co. Dublin. “We get people in asking George Stephens Junior, Stephens’ Fish Market, is also extremely confident in the strength of Irish seafood, predicting for unusual fish and you just know they’re going home to cook something amazing with it.” growth of 20-30% over the next decade. Graham stresses that aside from the more usual fish Before opening his first fish shop in Mullingar in 2008, species, there are other, often better value alternatives, which George trained as a chef and worked in are just as good. He cites the example of some of the top kitchens in the country, Megrim, a flatfish not unlike lemon sole, including l’Ecrivain. The Mullingar shop or White Pollock (also known as Blossom), went from strength to strength under which is very similar to cod. Both are very George’s watchful eye and in December plentiful in Irish waters and are extremely 2012, he opened a second outlet in Maysustainable species. nooth. Pre-prepared dishes like Garlic & “We’re constantly trying to educate Chilli Prawns have proved hugely popular consumers on the different seafood species in both of George’s stores: “It’s all about available,” he says. “But Irish people are making seafood easier for consumers.” definitely more willing to try different sea“There are a lot more people going for food and they’re definitely eating more fish.” prime fish like John Dory, Turbot, MonkGraham comes from a long line of fish and Brill,” he says “They’re starting to fishmongers, his parents having run a very be a bit more experimental. In my shops, successful seafood wholesaling business for we are all chefs so we can advise them on over 30 years. He grew up around fish, so how to cook it, which is a great selling point it is no surprise that four years ago, along for us. Customers are not just eating fish with his sister Lisa, he opened George’s and two veg, now: they’re trying stews, Fish Shop. risottos etc.” “People are getting more and more into fish, especially shellfish” agrees fellow Highlighting Innovation James Kirwan, Winner of the Young finalist Arnaud Lepricey, from Wrights of All five finalists feel that the Young FishFishmonger of the Year Award 2014, Howth. “Irish people are eating more fish monger of the Year Award is a fantastic at work during the skills side of the now than before and a bigger range of fish. way of highlighting the innovation that competition. Before, it was mainly Cod, Whiting and exists in the Irish seafood sector and a great Salmon, but now customers want to try way to promote standards of excellence. different species, like Turbot or Hake: sometimes we sell more The competition judges focused on each of the applicant’s Hake fillet than Cod.” technical skills, product knowledge, business planning and Originally from Normandy in France, as a child Arnaud overall customer service. The applicants underwent three used to go sea fishing with his father, before training as a fish- different stages of scoring, including two unannounced shop monger in local markets and on supermarket counters. After visits, where they were put through their paces by judges completing his degree in accounting and management in 2002, seeking to assess their technical and customer service skills. Arnaud came to Ireland to brush up on his English, where he Each finalist also had to undergo a skills assessment, where worked in a number of fish shops. they were asked to perform a variety of technical tasks within “Ireland is one of the best countries in Europe for seafood,” a 30-minute timeframe. Finalists were also required to discuss Arnaud says. “I started coming to Ireland 20 years ago and their plans, opportunities and challenges for their business I remember then that restaurants maybe were not the best and outline how they would use the business development for seafood, but over the last 20 years, the restaurants have package.


18|Retail News|December 2013|www.retailnews.ie

Retail Ireland: Monthly Update CONTINUED VOLATILITY IN RETAIL SALES OFFICIAL CSO retail sales statistics for the month of October 2013 provide yet more evidence of the highly fragile state of the Irish retail sector. Excluding motor and bar sales, the volume of sales decreased by 1.5% when compared with October 2012, whilst the total value of sales dropped by 2.9% over the same period. This represents the third consecutive drop and is all the more disappointing considering the more upbeat trading conditions reported by several retailers over the summer months. Both the volume and value of sales decreased across almost all retail categories, with department Stephen Lynam, Direcstores, pharmacies, book shops, service stations tor, Retail Ireland. and electronics outlets recording the poorest performances. In contrast, there was another very welcome increase in both the volume and value of sales in home furnishings and lighting stores, perhaps representative of the significant rebound in residential property transactions in the Dublin area. Supermarkets also posted a marginal increase in both volume and value terms. “We stated in our media commentary that it is likely that, as in September, the overall drop in sales can be attributed to weaker confidence amongst consumers in the run-up to Budget 2014 early in October,” noted Stephen Lynam, Director, Retail Ireland. “In addition, the significant reduction in sales experienced by electronics stores may be illustrative of the fall-off in sales of new television sets when compared with the same month last year, when large numbers of consumers updated their TVs in anticipation of the digital switchover in late 2012. “Despite October’s poor results, given that the Budget measures have protected existing VAT, PAYE and core social welfare benefits,” he continued, “we anticipate enhanced consumer sentiment will result in increased in spending during the busy Christmas period.”

Retailers Welcome Data on Employment Growth THE CSO has published highly-positive labour market statistics for Q3 2013, reporting that some 58,000 more people were employed in Ireland during Q3 2013, when compared with the same period in 2012. This impressive employment growth rate of 2.5% is set to continue into 2014, supported by buoyant business sentiment. This news is especially welcome for Irish retailers, as increased numbers of those in employment will inevitably lead to an increase in consumer spending and consumption.

Government Proposals on “Standardised Packaging” for Tobacco Products THE Minister for Health has confirmed that the Government has agreed the parameters of new legislation to provide for much larger health warnings on cigarette packets. The Cabinet has also agreed in principle to introduce mandatory “standardised packaging” for tobacco products. The draft Bill, published on November 27, explains the concept of “standardised packaging” as: “all forms of branding – trademarks, logos, colours and graphics – would be removed, except for the tax stamp, other legal requirements and brand name and variant, which would be presented in a uniform typeface for all brands on the market. All packs would be in a plain neutral colour except for the mandatory health warnings, the tax stamp and other legal requirements.” Retail Ireland supports the right of the Minister to take this bold step, but only if done in tandem with renewed measures to combat the enormous black market. We intend to continue our advocacy activities to ensure a pro-retailer outcome in the on-going struggle against illicit tobacco sales.

Commercial Leases Register a Welcome New Feature for Retailers RETAIL Ireland warmly welcomed the Government’s recent launch of a new Commercial Leases Register as a very helpful step in assisting retailers still battling with boom-time rents. The register, managed by the Property Services Regulatory Authority, makes key information on recent lease agreements (since January 1, 2010) publicly accessible for the first time via an internet database, thus allowing retailers to enter into new lease negotiations with a much better knowledge of the market realities of their local commercial property rental sector. While high rents remain a serious problem, this is at least a step in the right direction.

Tel: 01-6051558 www.retailireland.ie



20|Retail News|December 2013|www.retailnews.ie

Retail Group Review

BWG: Brands Working Great!

SPAR Dame Street in Dublin City Centre, one of SPAR’s iconic stores in Ireland.

BWG Foods is one of the strongest voices in Irish grocery, via the SPAR, EUROSPAR, MACE, XL and Xpress Stop brands. BWG Foods is a leading, Irish-owned wholesale and retail company. It operates the SPAR, EUROSPAR, MACE, XL and Xpress Stop brands in the Republic of Ireland, with over 900 stores across the country. The wholesale division of BWG Foods also includes BWG Foodservice and a nationwide network of 22 Value Centre cash and carry outlets. As owners and operators of these leading retail brands, BWG Foods provides retailers with many benefits from a marketing, training and operational point of view, as well as access to years of retail experience. Importantly, support is tailored to meet the ethos of each brand and the needs of the individual retailer. BWG Foods provides dedicated multi-dimensional marketing and advertising campaigns for each individual brand, spanning national and local media, and supported by public relations. There is frequent promotional activity, plus deep discount tactical promotions,

high impact in-store displays, rewards programmes, point of sale materials and consumer promotions to drive consumer footfall. Retailers are supported with bespoke training programmes for staff, food safety and fresh food advice, category management and individual programmes for promoting store standards. Across 2012 and 2013, BWG Foods invested in a number of very significant new distribution facilities to drive the business. The group opened a major new National Distribution Centre (NDC) located in Kilcarbery Business Park, Dublin 22. BWG Foods’ entire ambient distribution, including the company’s bonded warehouse, have now been brought together in this 240,000 square feet, state-of-the-art facility, making it one of the biggest in the country. BWG Foods also opened a new nationwide Fresh and Chilled Distribution facility in 2012. The group entered into an exclusive partnership with Donnelly’s, resulting in the estab-

lishment of a bespoke 35,000 square feet delivery hub at Kilshane Cross in North County Dublin. BWG Foods has relationships with more than 400 suppliers, dealing directly with approximately 14,000 customers in the retail, foodservice and licensed sectors. Through its branded retail estate, BWG Foods and its retailers provide employment to over 20,000 people and serve in excess of one million customers every single day. SPAR SPAR is one of the country’s largest convenience retail groups, and in 2013 celebrated its 50th anniversary in Ireland. From the time it opened its first store in Dublin in 1963, the brand has been a leading light in Irish convenience retailing, bringing consumers the most innovative in-store offerings and retail experience. The group includes SPAR for neighbourhood shopping and SPAR Express for forecourt shopping.


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Retail Group Review While convenience is the foundation on which the SPAR brand is built, the offering is constantly evolving to meet the changing needs of consumers. Today, SPAR is more focused on price and value than ever before, and while the offer is always evolving, it is SPAR’s firm belief that they are not in the food business serving people but in the people business serving food, which means superior customer service is also key to success. Aside from SPAR’s passion for retail and drive to be the best in the market, SPAR offers its retail partners unrivalled support in order to help run sustainable, profitable businesses. Being part of SPAR International means SPAR retailers belong to a brand that is setting best-practice standards right across the world. SPAR continues to invest in new and bespoke products and in-store offerings. The SPAR Own Brand range currently runs to over 700 products. According to independent research, SPAR is ahead of the market in its performance on Own Brand, which is testament to the quality, value, breadth of range, investment in new products and advertising and marketing investment to drive sales. In September 2013, SPAR launched a new Own Brand TV advertising campaign. SPAR also has a number of exclusive offerings, including coffee partnerships with Insomnia

CONTACT INFORMATION: SPAR Head Office: BWG Foods, Greenhills Road, Walkinstown, Dublin 12. Tel. 01-4090300.

SPAR Contacts:

Malachy Hanberry, Sales and Retail Advisory Services Director, 086 6055621, mhanberry@bwg.ie; Colin Donnelly, National Sales Manager 086 3803924, cdonnelly@bwg.ie ; Peter Dwan, Regional Manager (Leinster) 086 0436113, pdwan@bwg.ie; Barry Doyle, Regional Manager (Munster) 086 0230892, barrydoyle@bwg.ie; Sean Carter, Regional Manager (Connaught & Ulster), 086 8285050, scarter@bwg.ie

and Tim Hortons, to drive sales and differentiation for SPAR retailers and the brand. SPAR continually invests in promoting the SPAR brand through a number of high profile sponsorships, including RTE’s Fair City, with ‘Christy’s SPAR shop’, and Donal Skehan’s Kitchen Hero, ensuring the brand stays to the fore of consumers’ minds. 2013 also saw the introduction of a new community programme, the SPAR Helping Hand Community Fund, which gifted charities and community groups across the country with €50,000 to celebrate SPAR’s 50th anniversary in Ireland. The programme was fronted by Ireland’s Olympic gold medallist Katie Taylor.

Tobin’s SPAR Express in Letterkenny, Co. Donegal.

SPAR’s iconic Christmas TV Ad won the best Retail Ad in 2013. The ad showcases the brand’s iconic tree and strapline ‘Under the tree at SPAR’. The SPAR brand has also been very successful in its digital and social media programme, with an impressive following of over 150,000 fans on SPAR’s Facebook page. Above all else, SPAR aims to recruit retailers who share their vision for the SPAR brand and who will collaborate with the group to achieve this vision. SPAR consumers have come to expect a high level of consistency in terms of product, price and service, no matter what store they visit. In terms of new stores openings, 2013 is a record year for SPAR since recession hit Ireland in 2007. EUROSPAR EUROSPAR has been operating in Ireland since 1997. BWG Foods works in partnership with independent local retailers, serving local communities around Ireland and supporting local jobs, suppliers, producers and community groups. EUROSPAR has been awarded many local and international awards for innovation and best practice in retailing and has international scale through SPAR International with stores in over 36 countries worldwide. EUROSPAR is called “The Supereasy Supermarket” because the stores


22|Retail News|December 2013|www.retailnews.ie

Retail Group Review

The 58th SPAR International Congress took visitors to EUROSPAR Hanover Street, Dublin.

are: • easy to get around - they are designed to be open, bright, modern and easy to shop in; • easy to save money in: EUROSPAR promotes ‘Supereasy Savings’ as a way for customers to save every time they shop with EUROSPAR; • easy to get rewards – with the ‘Supereasy Rewards’ programme which also provides a vehicle for targeted communication with local customers; • easy to find help - customer service is one of the pillars of EUROSPAR’s success. The EUROSPAR retailer is supported in such a way that they can become the supermarket of choice in their locality. National and regional advertising campaigns drive awareness and demand to enable the retailer to compete with other supermarkets in their area, as well as marketing programmes which are adapted to the needs of the local store. EUROSPAR retail partners have access to exclusive product offers that can set them apart from competitors – everyday low pricing; strong promotions; exclusive departments such as Chill off-licence, Your Local Butcher, Baker’s Tray and Discounter Deals. The ‘S Budget’ discount range means they can compete with the local

discounter and an ever-expanding Own Brand range gives a quality value alternative for today’s shopper. The EUROSPAR group work with a national charity partner and engage in local community projects. Retailers in the EUROSPAR group have a strong voice through the National EUROSPAR Council of Retailers in driving the direction of the brand’s development and in daily operational activities. The EUROSPAR retailer is customer focused, financially astute and wants to work with BWG Foods to develop the brand at a national and local level. They see the benefit of being an independent supermarket owner in their local community, whilst having CONTACT INFORMATION: EUROSPAR Malachy Hanberry, Sales and Retail Advisory Services Director, 086 6055621, mhanberry@bwg.ie; Sean Lavin, Head of EUROSPAR, 086 2541230, slavin@bwg.ie; Dirk Harding, Retail Operations Advisor (Leinster North), 086-8598525, dharding@bwg.ie; Des Smyth, Retail Operations Advisor (Leinster South), 086-3805488, dsmyth@bwg.ie; Ciaran Quinn, Retail Operations Advisor (Connaught/Ulster), 086 3835900, cquinn@bwg.ie; David Tarrant, Retail Operations Advisor (Munster), 086-0267051, dtarrant@bwg.ie

the backing of marketing, retail operations and store development expertise of BWG Foods. MACE Founded in 1960, MACE is Ireland’s longest established neighbourhood and forecourt convenience shopping brand. With 240 MACE stores around Ireland, MACE retailers have a strong presence on garage forecourts - to serve the needs of people on the move - and neighbourhood stores have the everyday essentials with great Value Deals to make it easier on consumers’ pockets. The MACE brand continues to have a strong pipeline of new stores joining the group in both formats. MACE has been a part of the Irish community for over 50 years so understanding customers remains central to the business. MACE is a convenience retailer that promotes a proposition of “Going the extra smile”, based on the fact that consumer research by Behaviour and Attitudes found MACE is the standout retailer when it comes to valuing its customers. MACE believes in “going the extra smile” by: making sure the right range of products are stocked to meet local shoppers’ needs; store layout is designed and planned to make shopping enjoyable and easy; and customers are greeted with a friendly hello, a smile and a thank you. A MACE retailer has many exclu-


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Retail Group Review

Naeem Butt’s MACE store in Black Bull, Drogheda, Co. Louth, is a prime example of a modern MACE neighbourhood convenience store.

sive offerings that can set them apart from their competitors, including: strong promotions; exclusive Fairtrade coffee offerings in partnership with Bewley’s and Perk; strong deli offers; an extensive MACE Own Brand range, including exclusive wine and spirits products; a charity partnership with Irish Autism Action and local community promotions, including the sponsorship of RTÉ Local Heroes. As a partnership, the CONTACT INFORMATION: MACE Alex Banahan, MACE Sales Director, 086 207 3776, abanahan@bwg.ie; John Tully, Regional Manager (Northern Region) 086-8189312, jtully@bwg,ie and Liam Attridge, Regional Manager (Southern Region), 086-8521362 lattridge@bwg.ie

MACE team at BWG Foods supports MACE retailers in many ways – from helping improve store standards through the MACE Excellence programme to on-line training and marketing toolkits. From a people point of view, the MACE team are very accessible; and pride themselves on being there to listen to and help retailers. The MACE Retail Council is an important structure that helps guide the direction of the brand’s development and members of the Council are there to work with the all retailers so that their views are voiced in a structured and proactive way. XL Established by BWG Foods in 1997, XL was set up by the wholesale division in response to a demand for a local retail concept that offered support, whilst allow-

ing retailers to retain their independence and community identity. XL is now one of the fastest growing symbol groups in Ireland, with 30 new stores opening in 2013 and 32 new stores in the pipeline for 2014. With the support of 22 Value Centres nationwide, XL is a progressive neighbourhood store format, providing all the daily staples you would expect from a local store. XL offers retailers the opportunity to retain their independence and local identity, while benefitting from the many advantages of symbol group membership. The group offers a top quality and flexible package, enabling retailers to tailor their shop to consumer needs and react quickly to changing market conditions to help grow their business. Being part of the XL group is a true business

partnership. The XL team are committed to maintaining the highest standards in stores via the XL Store of the Year programme, with 28 accolades presented across different award categories. The XL tag line, ‘A great deal more at your local store’, is what the brand is all about; by delivering value to consumers and remaining an essential part of the local community. As a group of neighbourhood stores run by independent retailers, XL’s ethos is underpinned by a dedication to community retailing, along with price and value. This year, the message at the brand’s annual Retail Forum was ‘Back to Basics’ and saw keynote speakers focusing on these key issues, in order to promote customer loyalty. 2013 was also the year that the XL message of value was brought out of the shop and onto the forecourt with the introduction of ‘corriboards’ to help drive footfall into stores. A strong social media presence – the XL Facebook page now has more than 12,000 fans just one year after launch – and the use of consumer promotions are also central to the XL group. CONTACT INFORMATION: XL & XPRESS STOP

The XL store at The Glen in Cork City was the group’s 200th store nationwide when it opened in 2012.

Colm Fitzsimons, Business Development Manager, 086 8079051, cfitzsimons@bwg.ie


24|Retail News|December 2013|www.retailnews.ie

Retail Group Review

SuperValu Soars Ahead 2013 saw numerous awards, new product launches, innovative butchery solutions and the amalgamation of Superquinn stores into the SuperValu network.

to achieve certifiperValu range, with 181 new products cation under the introduced in 2013 as part of the continnew Bord Bia Retail ued rollout and growth of the range. Butcher Quality Assurance scheme, Local Commitment In 2013, SuperValu continued to again ensuring our demonstrate its commitment to building meat is fully tracesustainable local communities across able.” Ireland by supporting over 4,000 local The network’s initiatives with charitable contribucommitment to tions in excess of €2.8m. SuperValu is quality was recognised through nu- incredibly proud of its long-standing sponsorship of the TidyTowns commerous awards and petition, which this year witnessed for the second year running, SuperValu record level of entries, with 850 towns taking part. SuperValu also continued scooped the most its sponsorship of the GAA All-Ireland accolades at the Store owners and brothers, Steven, Michael and Joe Nally pictured Senior Football Championship, now in at the opening of the new SuperValu store in Celbridge, Co. Kildare. Blas na hÉireann its fourth year. National Irish Food SUPERVALU is Ireland’s leading Awards, winning 24 in total. community supermarket network, emAddition of Superquinn Stores ploying over 12,000 people in 201 stores 2013 saw the announcement that SuInnovations nationwide and serving over two million perquinn stores will be changing their Recognising changing consumer trends, customers every week. name to SuperValu in 2014. “With the SuperValu introduced ‘Signature “Our unique business model, whereaddition of these 24 stores, SuperValu Tastes’, a new range of over 200 quality by all of our stores are independently will further establish ourselves as the own brand products, which is expected owned and operated by local retailers, number one national Irish retail brand, to generate sales of over €20m in the means that our business is rooted in the enabling more shoppers to access our first year alone. This range is an amaloffer, while incorporating the best of domestic economy and our stores are gamation of the most popular products Superquinn,” Kelleher explains. The at the heart of towns and high streets from the previous SuperValu Supreme integration of these two great Irish across the country,” explains Martin and Superquinn SQ ranges and is 80% brands saw the roll-out of the famous Kelleher, Managing Director, SuperVasupplied by Irish suppliers, demonstrat- Superquinn sausage to all SuperValu lu. ing the group’s on-going commitment stores nationwide during 2013. 2013 saw SuperValu continue to to supporting Irish food, Irish suppliers SuperValu remains focused on expand its network, with the opening and Irish jobs. meeting the needs of their shoppers and of two greenfield sites in Celbridge, SuperValu recently launched demonstrating confidence in the local Co. Kildare, and Miltown Malbay, Co. the SuperValu Sustainable Farming economy, with further developments Clare, which represented a total of 120 Programme, the first Retailer-Farmer in product, range and value planned in new jobs. The Rushe Group of retail outdevelopment programme in Ireland 2014. lets also joined the SuperValu business, designed to create adding a further three stores to the a unique Irish supSuperValu network in Killiney, Dalkey ply chain for beef and Naas. An additional 35 stores were and lamb, which refurbished as part of a €20m investenhances product ment programme. quality, delivers increased efficienQuality Irish Produce cies and improves “At SuperValu, we believe in quality profitability for and together with our retailers, we all partners in the continue to build a brand that is focused supply chain. on delivering unrivalled quality Irish This year, produce,” Kelleher maintains. “This SuperValu demonyear, we became the first retailer in the strated its on-going country to have access to the world’s commitment to valfirst national DNA TraceBack system ue through further for pigs, reassuring our customers of the price reductions, Pictured at the launch of the world’s first national TraceBack system integrity of our bacon products. We also promotions and the for pigs are: Martin Kelleher, SuperValu; Ronan Loftus, IdentiGEN became the first retailer in the country expansion of the Su- Ireland; Donal Brady, IFA Pig Committee member.


Retail News|December 2013|www.retailnews.ie|25

Retail Group Review

Strong Year for Centra Centra has continued to outperform the market in 2013, launching its bright new range and meeting the needs of shoppers nationwide.

Ray Kelly, Marketing Director, Centra, is pictured at the launch of Centra’s bright new Own Brand range.

CENTRA is Ireland’s number one convenience brand, with over 460 stores nationwide, serving over three million customers every week. While trading conditions remain challenging, Centra recorded sales of €1.4 billion in 2012 and has continued to outperform the market in 2013. Centra remains committed to local employment and sourcing from local producers. The total purchases of Irish goods made by Centra was worth over €1bn to the Irish economy, serving to both create and protect Irish jobs. Centra employs over 10,000 staff across the country, making it one of Ireland’s largest employers. Expansion 2013 saw significant growth across the Centra store network, with a €20m investment programme and the addition of 20 new Centra stores, including a new 5,000

square foot store on Lower Abbey Street in Dublin. In 2013, Centra succeeded in meeting the needs of value conscious shoppers through an excellent value offering, while remaining loyal to its brand values of supporting local communities. The launch of Centra’s bright new Own Brand range earlier this year represented an €8m investment for the brand and included 900 products. The range demonstrated Centra’s on-going commitment to supporting local suppliers, with 110 Irish suppliers out of a total 150 suppliers. Initial performance of this innovative range has been strong and is expected to continue to grow in 2014. Community Support Centra’s partnership with the Irish Cancer Society’s Action Breast Cancer programme is in its fourth year, with over a million euro raised for the

charity to date. The series of ‘Pink Walks’ continued to grow in 2013 with 200 Centra stores nationwide hosting an event, almost triple the amount of pink walks which were held last year. 23 counties saw their communities turn pink as they took to the streets of their local towns and villages, with e225,000 raised for this worthy cause. In a further effort to raise funds for the campaign, Centra invited students to design a Bag for Life, with the winning design going on sale across the Centra network. 2013 marked the fourth year of Centra’s sponsorship of the GAA Hurling All

Ó hAilpín, got together with Centra to spread the GAA message through a series of family community hurling events in stadiums and clubs throughout the summer. The success of these events was evidenced by the attendance of over 1,200 children at 10 different locations around the country. Bright Ideas This year, Centra helped their customers to overcome the doom and gloom of Budget Day and Blue Monday, widely recognised as the most depressing day of the year, by offering them coffee or tea for just 1 cent. “In 2014, Centra will con-

200 Centra Pink walks took place during October to raise funds for the Irish Cancer Society’s Action Breast Cancer. Over ten thousand participants collectively walked an amazing 50,000 kilometres through villages and cities around Ireland to raise badly needed funds.

Ireland Championship and further demonstrated the group’s commitment to bring the game of hurling to towns and villages all across Ireland. This year, Centra continued to build on the success of its GAA community events. Hurling stars, including Henry Shefflin and Seán Óg

tinue to build on our strong foundations by delivering great value for money offers, product innovation, excellence in our people, an unrivalled consumer experience and above all,” concludes Ray Kelly, Marketing Director, “keeping the consumer at the heart of everything we do.”


26|Retail News|December 2013|www.retailnews.ie

Retail Group Review

Londis Leaps Ahead in 2013

Londis has enjoyed a tremendous 2013,with healthy profits, prestigious awards and a new heavyweight campaign, Local Like You.

Londis CEO, Stephen O’Riordan is pictured with guest speaker, former Irish international rugby star, Keith Wood, at the 2013 Annual Londis Conference in Carton House, Maynooth, Co. Kildare.

EARLIER this year, Londis surveyed its retailers to get a picture of the service and support they receive. The results showed an overwhelmingly positive response, with a 98% satisfaction rating amongst Londis retailers. In such a difficult and competitive market, it is remarkable that a symbol group can enjoy such levels of retailer approval. But with Londis, it’s not difficult to see why. Londis, as a group, are continually striving to develop and sustain crucial points of difference for their retailers and customers and this is evident, particularly in the last three years, with many of the Group’s most noteworthy and innovative initiatives coming hot on the heels of each other. The provision of

iPads and intelligent retailing in 2010 was followed in 2011 by the launch of iSIS©, Londis’ unique intelligent ordering platform and subsequently the launch of the Group’s award winning Centralised Chill facility in 2012. All of this was followed by a significant brand investment in 2013. CEO Stephen O’Riordan credits the Group’s unique ownership structure, “owned by retailers for retailers,” as pivotal to these innovations. “The fact that we are not obligated to non-retailer shareholders, combined with our low net debt position, means that the Group can invest solely for the benefit of its retail members and enjoys a retailer autonomy which other symbol groups may

not,” he explains. “It is as a result of this unique structure and with the support of the Group’s retail directors that Londis has been able to continuously and decisively innovate with the overriding aim of enhancing the net profit position of our retailers.” Londis’ cooperative roots are very much at the heart of the Group’s business and it is this ethos which is central to how the Group is managed. Supporting its retailers through half a decade of economic austerity, the Group’s stated commitment is to pass savings back to Londis retailers and through continued enhancement of its centralised chilled and ambient offerings, it is doing just that.


Retail News|December 2013|www.retailnews.ie|27

Retail Group Review

Londis’ new TV campaign is designed to show the important place Londis holds in the community by personifying the store as a constant presence in everyone’s life.

Profitable Throughout Economic Austerity During a period in which some of the country’s biggest companies across a variety of sectors have incurred substantial losses and carry heavy debt burdens, ADM Londis plc has remained profitable (reporting a profit of €1.23m in 2012) throughout the recession, while continuing to deliver significant price reductions and efficiencies to its retailers. Such continued profitability in such a difficult environment is a very noteworthy achievement, delivered by means of strong management, continued innovation and the support of an exceptionally loyal retailer base. Although 2013 results will not be released until April 2014, the Group expects to continue this solid profitability trend, on the back of strong organic (like for like) trading and good inroads made by its ADM Wholesale offering. Indeed, as the Group maximises the opportunity that both its Centralised Chilled and Ambient facilities present for Londis retailers in releasing savings and bringing even more offers to the table, it’s no surprise that sales are performing so well. The Group has also enjoyed aggressive growth in its ADM Wholesale division, with over 60 new accounts opened since the start of the year (including the extremely competitive DAA tender) and sales growth of close to 60%. Again it is indicative of the Group’s superb pricing and promotional offering that it has made such headway in a notoriously price competitive sector, according to O’Riordan. Centralised Chill: One Year On Last year we looked at Londis’ new Centralised Chill facility, probably the Group’s most significant strategic achievement in recent years. One year on, and it seems that this has been a

defining investment by Londis, as its retailers enjoy the benefits of a well-developed and well managed Centralised Chill facility. In July of this year, the Group picked up a richly deserved industry award, ‘Best Fresh Logistics/ Supply Chain’, in acknowledgement of the innovation and efficiency of the Londis chilled facility. The team at Londis was applauded for delivering a fully-optimised logistics solution which is delivering real efficiencies and savings to Londis retailers. “We are delighted to be recognised by the industry in this way, a little over one year since we launched our Centralised Chill facility,” O’Riordan noted. “Drawing on cutting edge technologies, the chilled facility has streamlined our operations and generated efficiencies and savings both for Londis retailers, and in turn for their customers. The facility now incorporates over 1,500 product lines from 55 suppliers and has become a one stop shop for the chill product requirements of many Londis retailers.”

Local Like You Undoubtedly, one of the highlights of 2013 for Londis has been the launch of a multi-faceted media campaign ‘Local like You’ in July of this year, which followed an extensive brand review process. The group has invested over €1m in the campaign, which highlights exactly what makes Londis different from other retailers in Ireland. Because Londis is owned and run by locals and because each Londis retailer is a part of the community they serve, each Londis is shaped by, and for, the local community in which it operates. In other words – it’s local like you. In developing this new campaign, Londis wanted to show that alongside an excellent range of product and excellent prices, Londis retailers add value in so many different ways to communities around Ireland. The new advert cleverly portrays this, demonstrating a Londis retailer who is incorporated into various parts of community life, including a still life art class, the local five-a-side team, a family movie night and the local needle work club. Putting the Customer First From Londis’ new Local Like You brand positioning has grown another very significant initiative for the Group and its retailers, the launch of the new ‘Customer First’ customer care programme in Londis stores nationwide, an initiative which was launched at the Annual Londis Retailer Conference, held in early October. This new Customer Service Training Programme aims to encourage stores to build on their existing customer service team ethos, bringing an enhanced level of personal service to their customers. It encourages retailers and their employees to use their own local knowledge to deliver a level of personal service which is unsurpassed within their local

FROM THE MOUTHS OF RETAILERS… “GIVEN the margin challenges that face independent retailers, it was imperative that we chose a symbol partner who was best positioned to support and grow our margin. As Londis is overseen by its retailers, I felt no other group could give me the same reassurances in terms of lower prices and margin enhancing initiatives. To date, the support the team in Londis has offered Londis Cleaboy has been excellent and I look forward to working together with Londis to bring the store to a new place competitively”. Kevin Jephson, Londis Cleaboy, Co. Waterford “Being a part of Londis has always contributed to the success of our store in

Malahide. No other group is as well placed to support your margin. And, as one of eight retailer representatives on the Londis board, it’s down to me to make sure it stays that way – for all of our retailers”. John Shiel, Londis Plus Malahide, Co. Dublin “AS a second generation retailer, retail is a big part of who I am. But like many independent retailers today, business can be difficult and the pressure on margin is tough. With Londis, I know I’m with the group who will best support my business. And they’re a good crew to have on my side!” Hugh Martin, Londis Tomnalossett, Enniscorthy, Co. Wexford


28|Retail News|December 2013|www.retailnews.ie

Retail Group Review

an exceptional package to offer prospective retailers, the Group is confident that new retailers will see real benefits to their business in terms of improved net profits. When asked his views on a possible turnaround in retail fortunes, Stephen O’Riordan remarked, “Having the 2014 budget earlier this year should prove positive in the run-up to Christmas, as thankfully, we have avoided creating a climate of uncertainty for consumers. The reduction in the fiscal adjustment required in 2014 and the fact that income taxes remained untouched should also result in improved consumer confidence as we enter 2014. We are, however, concerned at the increase in excise duties on alcohol, which has led to Irish alcohol prices being now 63% higher than the EU average. As a very discretionary spend, it’s likely that consumers will not continue to pay over the odds for this category. On balance, however, indications are that we have overcome the worst of the recession and consumer sentiment is improving, which should lead to growth in 2014.” As a company that has invested heavily over the past few years and whose retailers now enjoy an infrastructure they could only have dreamed about five years ago, it seems that Londis and its retailers have much to be optimistic about when it comes 2014. Londis brings multiple-challenging value to customers across Ireland, whilst delivering excellent margin to Londis retailers.

communities and to tap into what differentiates locally owned and managed Londis stores from larger multiples and discount stores. The programme will help each retailer to demonstrate just how much they care about the community of which they are a part and the local people that they serve. The Road Ahead Following significant infrastructural investment in recent years and this year’s

substantial brand focus, the Group is firmly looking at growth in 2014. Londis’ plan centres on building organic performance through investment in brand image, and focusing on the performance of key fresh categories in stores. The Group will also continue to unlock more efficiencies, savings and better margins for its retail members. Furthermore, capitalising on the Group’s positive recruitment drive in 2013, Londis is very much focused on building momentum around store recruitment in 2014. With

THE BENEFITS OF LONDIS Some of the reasons Londis retailers enjoy a 98% satisfaction rating, include: • An award winning supply chain; • An intelligent order platform, iSIS©; • The Group’s absolute commitment to passing savings back to Londis retailers; • Over 600 promotional offers each cycle; • Strong promotional margins; • A service level of no less than 97%; • One transparent price file for the best possible prices.


r vey u S r e l i a t e R l a Lo n d i s A n n u on i t c a f s i t a S r e Memb

% 8 9

WE’RE WORKING ON THE OTHER 2% N E RS h N I W FRE IN’ t a ‘BES ly ch p ’ 3 1 p 20 F r e s h Su

we’re delighted to announce that a recent survey amongst our retailers showed a massive 98% satisfaction rating overall. n i t ds which means that with our industry leading supply chain, isIs©, ‘BesAwAr 97% service levels and our utmost commitment to passing savings back to our retailers, there’s never been a better time to be part of the Londis group. Visit www.londis.ie/retailer-survey now to download the full survey and find out how joining Ireland’s best symbol group could vastly increase your satisfaction levels too.


30|Retail News|December 2013|www.retailnews.ie

Retail Group Review

Brilliant Year for Barry Group Barry Group, which includes the Costcutter and Carry Out franchises, successfully launched chill distribution during a strong trading year in 2013. called BEACON, allows the retailer greater control and flexibility when placing orders with Barry Group. “Our new chill distribution is best in class,” continues Jim Barry, “and we are confident of our logistical system in the country. Our retailers now have the ability to place orders at their fingertips using the latest technology. Jim Barry, Managing Director of the Barry Group, and Holly Barry, are They have the full pictured at the launch of Barry Group’s €1m nationwide chill distribution solution to make solution. one complete order, IT has been a busy year for the convenience sector, the which will arrive as one Barry Group. In spite of a roll-out of chill distribution delivery, cutting out the time challenging retail market, has been a welcome addiwasted on managing numerthe Mallow-based wholesale tion to our current service ous deliveries by various distributor has continued to offering.” suppliers. There is also the grow its franchise business, added advantage of a threeand successfully launched a Chill Distribution day-a-week delivery service.” nationwide chill distribution Chill distribution was cerservice. With the growth of discounters continuing to take market share from the convenience channel, 2013 was all about expanding the current market offering to improve the standard of service provided by Barry Group to its customers. “When we looked forward to 2013, we wanted to make sure that our Costcutter retailers were not impacted by the challenges faced by others, in particular maintaining a consistent supply of chilled and frozen goods,” says Barry Group MD Jim Barry. “Considering how difficult the trading environment has been, especially in

tainly one of the most significant developments of 2013, following a €1m investment by Barry Group. The Group is expecting significant return on this investment. “This new nationwide distribution channel is expected to generate additional sales in excess of €200m over the next five years,” says Jim Barry. “It will also result in significant increases in sales and profit margins for our Costcutter retailers.” These increases will be generated through cost and time efficiencies achieved by an innovative and intuitive ordering system. The specially developed software supporting chill distribution,

New Franchisees Barry Group have opened 16 new franchise stores in 2013 and are hopeful to match this number again in 2014. “While we expect that 2014 will be another challenging year, we are fully committed to supporting our retailers,” says Jim Barry. “To build on the success of chill distribution, we are al-

ready planning on launching frozen distribution. Through chill, we have been able to help our customers improve their chill offering. Frozen distribution will be another wonderful opportunity to grow our business, and that of our retailers and supply partners.” Forward Planning “We strongly believe in providing a profitable retail solution to our franchisee customers and are proud of the reputation we have earned for providing excellent value of money,” says Jim Barry. “Our key strength, however, is our commitment to customer service. We have worked really hard this year to create a genuine partnership with our customers – both retailers and suppliers – to add value to their business and strengthen their own brand reputation. “We want to be the very best in business,” he concludes. “This means continuously looking for innovation and delivering an excellent service every time. 2013 has been all about getting closer to our customers by spending more time at retail store level. Looking forward to 2014, our customers will remain our number one priority.”

A BIT OF BARRY HISTORY ESTABLISHED by James A. Barry in 1955, Barry Group is one of Ireland’s leading wholesale distribution companies. Operating from a state-of-the-art distribution centre in Mallow, Co. Cork, Barry Group manages 265 franchises under the Costcutter, Carry Out, BuyLo and Quik Pick brands. In business for over 50 years, Barry Group employs 240 people at its headquarters in Upper Quartertown, Mallow, Co. Cork. The company also trades internationally in more than 15 countries.


ANOTHER GREAT REASON TO JOIN CHILLED DISTRIBUTION INCREASE YOUR SALES INCREASE YOUR VALUE INCREASE YOUR MARGIN Proud to be local

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Generous Trading Terms Generous Rebate Package Experienced Account Management A Professional Marketing Package In-house Store Design Being Consumer Focused

For further information: contact Oliver Savage 086 6036 142

Proud to be local


32|Retail News|December 2013|www.retailnews.ie

Retail Group Review

Gala Performance!

The Gala group continues to grow from strength to strength, with 21 new stores opening over the course of 2013.

Models Pippa O’Connor and Daniella Moyles are pictured at the launch of Gala’s Summer BBQ Series, as part of their fundraising initiative with the Jack & Jill Children’s Foundation.

Gary Desmond, Gala CEO.

ESTABLISHED in 1998, Gala is one of Ireland’s premium convenience retailers, employing over 3,000 people in its retail and wholesale operations in Ireland. Operating on the principle of ‘Partnership Through Independence’, Gala enables independent retailers to compete and trade successfully, whilst partnering them with a network of 16 wholesale distribution outlets across Ireland. With over 255 stores affiliated to the Gala group across symbol brands including Gala, Gala Express and Checkout stores, the Gala Head Office works with retailers on a continual basis to optimise elements such as value propositions, store design, customer service and information technology for the success of each store. Gala stores have access to buying power in excess of €2 billion through the Group’s association with the Stonehouse buying group. This buying power ensures that Gala stores can offer quality products at value prices, a combination that is crucial in today’s competitive convenience sector. Gala is known for its great one-to-one service. It also places great importance on developing relationships with local wholesalers and is committed to delivering high standards of custom-

er service, whilst supporting the communities that it serves. Consolidation within the retail sector continues, albeit at a slower pace. Whilst a small number of Gala stores did close during 2013, the Group achieved its objectives and was on par with expectations, despite the continuing challenges within the retail environment. 21 new Gala Group stores will have opened by the end of 2013. Gala’s stores are performing well in the current market, which is a testament to the growing strength of the Gala offering. The Gala Group have a robust group of dynamic retailers who are all committed to excellence in retailing. Gala’s Brand Goals Gala is a young, enthusiastic and vibrant convenience retail brand that prides itself on its professionalism and the quality of all its retailers. Brand research demonstrates that Gala presents a uniquely Irish shopping experience and the Group is actively working towards achieving its ultimate brand goal of being recognised by Irish consumers as their local convenience store; a store that is determined to support Irish producers, while at the same time offering its loyal customers fantastic value. Ensuring Retailer Success Retailer support has always been at the core of what Gala Retail Services offers, playing a critical role within the business proposition, along with innovative fresh food initiatives, enhanced promotional offerings, partnerships with suppliers and category management and investing in new technologies to improve both the Gala retailer and customer experience.


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Retail Group Review

To celebrate Gala’s 15th anniversary, Nadia Forde was on hand to announce Gala’s exciting giveaway, whereby 15 lucky people won the chance to come home to Ireland for The Gathering.

In 2013, the group launched the Gala Training Academy, an online training solution designed to support on-site training. Plans are afoot to add additional training courses in 2014. Gala celebrates retailer success at its annual retail conference with the Gala B.E.S.T Awards. Designed to acknowledge and applaud excellence in retail standards and customer service, the Awards recognise the ongoing commitment to excellence that is at the heart of all Gala stores. The awards acknowledge Gold, Silver and Bronze standard winners, in addition to category awards for specialisms in retailing. Supporting Retailers & Rewarding Customers As the Gala brand name is associated with the very essence of the community, every corporate level decision made reinforces and supports this focus. Gala prides itself on the community support that it provides to each of its retailers, as well as their community-based initiatives, no matter how large or small. This includes all forms of fundraising, community support and online digital promotion. Essentially, Gala is a national brand with a local focus. Gala undertook a number of initiatives in 2013, in part to celebrate its 15th Anniversary but also to further support its retailers and reward its customers. Initiatives included: • A huge giveaway

to celebrate Gala’s 15th Anniversary. Galaunched a nationwide campaign with international appeal to give 15 lucky people the chance to return home to Ireland for a gathering of their choice. Entries

around the country. • An elevated, integrated Gala marketing campaign comprised of social media, above the line, sponsorship, traditional PR and trade elements. • The introduction of ‘Hot and Healthier @ Gala’, a delicious deli sandwich range that allowed customers to build a personalised sandwich while being calorie conscious. • And finally, as part of its corporate social responsibility activities, Gala hosted over 50 BBQs at stores across the country over the summer months in aid of the Jack and Jill Children’s Charity. Gala’s Marketing Strategy Gala believes that innovation is key to the success

Food Managers John Ireland and Ben McGinn are pictured at the launch of ‘Hot and Healthier @ Gala’, a delicious deli sandwich range that allows customers to build a personalised sandwich, while being calorie conscious.

flooded in from all corners of the world, including Abu Dhabi, Australia, USA, New Zealand, Canada, United Kingdom, Spain, Panama, Belgium, Switzerland, Brazil, Cayman Islands, Kenya, Philippines, Latvia, Portugal, Singapore, Sweden and South Africa. An association with Disney surrounding the launches of Wreck it Ralph, Monsters University and Frozen enabled Gala to host preview screenings of the blockbuster animations for Gala customers

of all of its stores, which is why it continues to explore new and inventive ways to enhance the customer’s experience. Its marketing strategy embraces the latest digital and social media platforms, together with abovethe-line activity, sponsorship and trade relations. Each element actively positions the brand as a modern, vibrant and innovative Irish company that is at the heart of communities throughout the country. Group Expansion The group is setting ambi-

tious growth goals for 2014, with plans to add a further 20 new stores to its network. Due to the huge emphasis that Gala places on the consumer shopping experience, it will manage the final roll-out of its ambitious store re-branding project, which is on track for completion by the end of 2014. Gala will also launch its chilled distribution platform, with more details being made available in the new year. Gala will also continue to invest in building the Gala brand, as well as consumer awareness of its offering. This continued commitment strengthens Gala’s relationship with its stores as it looks to expand into a wider geographical area and build its customer base. Partnering With Gala Gala works with each and every retailer to make them the best at what they do. Partnership is essential and helps retailers deliver a professional and competent retail operation that increases customer satisfaction and drives sales growth. Gala prides itself on its ability to bring out the best in retail and, importantly, it listens to the needs and wants of its retailers, who retain their independence on all levels, something that is key to continued success. Gala has an excellent group of forward-thinking, progressive and proactive retailers who share the vision of the Group. The Group continues to look for progressive retailers who want to grow with Gala. If individuality, provision of exemplary service and simply being the BEST in retailing are important to you, find out more by contacting Gala on 045 910066.

A BRIEF HISTORY OF GALA THE first Gala store opened in Portlaoise in September 1998, with symbol brands now including Gala, Gala Express and Checkout Stores. The Gala Group now has 255 stores affiliated to the group.


34|Retail News|December 2013|www.retailnews.ie

Retail Group Review

Daybreak Dawns Bright in 2013 Daybreak remains Ireland’s fastest growing convenience group, with 30 new stores in 2013. DAYBREAK is still Ireland’s fastest growing symbol group and this year an additional 30 new stores joined the Daybreak brand. Currently benefiting from 200 stores nationwide, the Daybreak brand is well positioned for future growth. Retailers have made the smart move in switching to Daybreak, where they can avail of enhanced sales and margin through the Musgrave Group buying power, strong promotional offers and a competitive development cost and marketing fee. The Daybreak brand is committed to ensure that the right range is available when the consumer wants it, with a particular focus on key categories. Another area of focus for the Daybreak

Daybreak’s new in-store bakery range has been carefully selected and includes popular favourites such as French Breads and Danish pastries, alongside a range of artisan and traditional loafs and scones.

new Hot Burrito wraps, Hot Sub rolls, handheld snacks and a range of ‘Our Favourite’ sandwiches. The new Daybreak fresh bean to cup coffee concept, Perfect Blend is now a 100% Arabica espresso bean, which has been carefully roasted to coax the flavours from every bean to create a smooth, full bodied coffee every time. The new products are supplied directly from Musgrave Wholesale Partners and are complemented with new in-store branding and packaging elements to help drive sales in these hero categories. Daybreak stores are independently owned by local retailers who understand and respond to the everyday needs of their communities.

brand is developing “hero categories” to drive consumer footfall.

Daybreak retailers can avail of enhanced sales and margin through the Musgrave Group buying power, strong promotional offers and a competitive development cost and marketing fee.

New In-Store Concepts To support this, Daybreak has launched new in-store concepts, including fresh in-store bakery, hot & cold deli, Perfect Blend coffee and a new range of wines. The new in-store bakery range has been carefully selected and includes popular favourites such as French Breads and Danish pastries, alongside a range of artisan and traditional loafs and scones. The hot and cold deli in-store offering has been rejuvenated to include

Daybreak stores are independently owned by local retailers who understand and respond to the everyday needs of their communities.


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Retail Group Review

Top Year for Topaz

Topaz has had an exciting year and has ambitious plans for an even better 2014. amazing and not surprisingly, we’ve already signed up over 200,000 customers.”

In February Topaz launched its new interactive loyalty game Play or Park, offering prizes like luxury holidays in Rio, Thailand, Monaco and the Maldives, a new car with free fuel for a year, and an all expenses paid shopping trip to New York. Pictured at the launch are Paul Candon Marketing and Corporate Services Director at Topaz; John Williamson, CEO of Topaz; and Brazilian Samba dancer, Tatiane Aragao.

TOPAZ, Ireland’s largest fuel and convenience retailer, believes consumer confidence is growing once again and as a result the outlook for 2014 is much more positive. In the past year, the company launched a new loyalty game, opened a new flagship site at Dublin Airport, unveiled plans for several new motorway sites and was recognised as one of the best 25 companies to work for in Europe, the only Irish company nominated. It also added 17 sites to its network. Paul Candon, Marketing and Corporate Services Director, says that with 331 sites all over Ireland, the question of standing still in today’s fast moving retail environment simply does not arise. “Enhancing the customer experience is at the heart of everything we

do and that is what drives us forward,” Candon notes. “For example, we wanted a unique and fun way to reward our customers for their loyalty and in February we launched our new loyalty game, Play or Park.” To enter the game, customers collect points, which enable them to ‘Play’ for an experience of a lifetime prize every month – or they can choose to ‘Park’ them and carry them forward to participate in a following month’s game. The key difference with other loyalty schemes is that everyone who plays each month is eligible for a complimentary Topaz treat eg: coffee and muffin, car wash etc. “We have really enjoyed giving away fantastic prizes every month,” Candon says. “The response has been

Flagship Dublin Airport Site Just before Christmas, Topaz unveiled its new flagship site at Dublin Airport. The €3m re-development has transformed it into one of the most modern and best equipped 24/7 service stations in the country. Paul Candon reveals that the company wanted to give customers, especially visitors to Ireland, a five star service. “Close to 20m people travel through Dublin airport every year – that’s over 50,000 a day,” he notes. “Whether customers are having the first retail experience of their visit to Ireland or leaving our shores, we want to ensure it’s a hugely positive experience.” €8m Expansion Plans In October, Topaz an-

nounced details of an €8m investment in two new motorway sites on the Dublin/ Cork and Dublin/Waterford motorways. One of the stations will be located at Junction 3 on the Dublin/ Cork motorway (M8) near Ballacolla in County Laois, while the other will be situated at Junction 5 on the Dublin/Waterford motorway (M9). Work on the Laois site will start in January and it’s hoped work on the Carlow site will start in summer 2014. “After some very challenging years, we believe the recovery is gaining pace,” Candon concludes. “We are in expansion mode and are constantly looking at sites with good potential near motorways. Indeed, if any dealers would like to join Topaz or hear more about the benefits of being part of our nationwide network, we would love to hear from them.”

DAA’s Head of Commercial Revenue, Hugh Madden; Paul Candon, Marketing and Corporate Services Director at Topaz; and station manager Mari Nolan are pictured studying the plans for the €3m redevelopment of the Topaz service station at Dublin Airport. The state-of-the-art site opened just before Christmas.


36|Retail News|December 2013|www.retailnews.ie

Retail Group Review

Aldi Excels in Ireland

Aldi continued to be the Irish grocery market’s standout performer in 2013, while opening its 100th store and a second major distribution centre. 2013 was a milestone year for Aldi’s Irish operations, which saw the retailer open its 100th Irish store, open a second major Regional Distribution Centre, announce plans for further growth, store development and job creation and maintain its position as the fastest growing supermarket in the country. In April, Aldi celebrated the opening of its 100th Irish store in Callan, Co. Kilkenny, while at the same time announcing plans to develop and open 20 new stores. Spanning across a number of towns and cities throughout the country, the new stores are part of a three-year expansion drive that will see 300 new jobs created.

With over 70 loading bays, it has the capacity to service in excess of 100 Aldi stores. The facility will support Aldi’s continued expansion throughout Ireland, primarily servicing Aldi’s stores in Cork, Kerry, Limerick, Tipperary, Waterford, Clare, Mayo, Galway, Kilkenny and Wexford. Standout Performer Aldi continued to be the standout performer in the Irish grocery market, maintaining its position as the fastest growing supermarket in the country, a position it has now held since July 2008. Figures from Kantar Worldpanel for the 12 weeks ending November 10, 2013, found Aldi to have grown its

With over 70 loading bays, Aldi’s new Regional Distribution Centre has the capacity to service in excess of 100 Aldi stores.

Aldi opened the doors of its new Regional Distribution Centre in Mitchelstown, Co. Cork, in early September. Generating 160 new jobs, the new state-of-the-art 59,535 square metre facility is Aldi’s second major distribution hub in Ireland.

share (of sales) by 19.4%, increasing its share of the Irish grocery market to 7.4%. Aldi’s focus on providing Irish consumers with a high quality, award-winning range of Irish sourced ownbrand groceries at consistently low prices has been

Aldi opened the doors of its new Regional Distribution Centre in Mitchelstown, Co. Cork, in early September.

key to its continued success. Aldi launched the ‘Swap and Save Challenge’ in February, aiming to help consumers save thousands of euro on their annual grocery shopping bill. The campaign demonstrates that by swapping your regular weekly grocery shop to Aldi, consumers can maximise their disposable income and save in the region of €3,000 a year, without having to compromise on quality. Multiple Award Wins Aldi’s Irish suppliers and Irish sourced products once again performed exceptionally well at the leading national and international food awards programmes and schemes. Aldi’s Irish suppliers won 21 awards the 2013 Blas na hÉireann National Irish Food Awards, while 10 Aldi products scooped awards at the inaugural Irish Quality Food and Drink Awards. At the prestigious international Great Taste Awards, Aldi products received a total of 59 awards. This included a

three gold stars award, the highest accolade possible, for its Kilcree Gold Organic Honey. Aldi now has the most decorated grocery range in Ireland, with well over 120 quality award winning own-brand products found on the shelves of its Irish stores across the country. Highlighting its strong Irish sourcing credentials and long-standing partnerships with Irish farmers, Aldi launched a successful new advertising campaign in 2013, ‘100% Irish Fresh Meat’, which centres on the Aldi fresh meat supply chain, essentially bringing the product from the farm to the kitchen table. Partnering with over 30 of its long-term Irish suppliers, Aldi also showcased its Irish fare at the National Ploughing Championships. Aldi plans to build further on its success in 2014, adding new stores to its existing network, creating additional jobs and bringing great value to more Irish consumers.


Retail News|December 2013|www.retailnews.ie|37

Retail Group Review

Lidl Lights Up Market

Lidl continues grow its share of the Irish market, attracting new customers to the brand. “OUR aim is to be able to offer Irish consumers top quality products at the lowest possible prices,” explains Aoife Clarke, Head of Communications, Lidl Ireland. Lidl continues to go from strength to strength and 2013 has been a good year for the group, who opened five new stores over the course of the year, with a number of potential stores at the planning stage at present. “We also have a modernisation programme in place to upgrade older stores, which is a large investment for the company,” notes Clarke. “Our Purchasing team have worked tirelessly to develop and expand our locally sourced own brand ranges.” 2013 has seen a host of

developments at Lidl Ireland, including store openings, the continuing success of their own brand products in prestigious food awards and the expansion of their Xmas Deluxe range to over 200 products - an increase of 250% in just three years. For 2014, the plan is simple, according to Clarke: “We will continue to try and attract new customers in order to grow the company.” Lidl was founded as a wholesaler in Germany in the 1930s. The company bought the rights to the Lidl name from a retired teacher, Ludwig Lidl. The first Lidl store was opened near Ludwigshafen, Germany in 1973. The 1980s saw the Lidl discount concept grow nation-

ally in Germany and then internationally in the 1990s. Today, Lidl is a privately

owned recognised leader in European retail with more than 10,000 stores in 26 countries. More than 120 Regional Distribution Centres operate these stores. In Ireland, Lidl has four Regional Distribution Centres and just over 4,000 employees.

DoubleTree by Hilton Dublin - Burlington Road

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IGBF Christmas Lunch

IGBF Lunch a Roaring Success MORE than 1,200 of the Irish grocery industry’s greatest enjoyed the annual Irish Grocers Benevolent Fund Christmas Lunch 2013. Held at the newly refurbished DoubleTree by Hilton, formerly the Burlington Hotel, on Friday, December 6, the event was a roaring success. The sight of Outgoing President of Appeals, Leonard Hegarty, who is General Manager of G&M Industrial

Cleaning Products/Textile Recycling Ltd, and the IGBF’s Joe Keane holding aloft a giant cheque for the €200,000 raised on the day was the culmination of Leonard’s sterling year of keeping the Fund top of mind with everyone in the trade. The 2014 President of Appeals was revealed as Willie O’Byrne, MD, BWG Foods. Congratulations to Tesco Ireland’s Don Berkery, who won first prize

in the raffle, getting his hands on a brand new moped. The wonderful event was organised, as usual, with great efficiency and panache by Michelle Thornton and her team at Hotel Solutions, and special mention must go to comedian Neil Delamere, who provided a hilarious look at Ireland’s FMCG market in his own unique style. All photos by Clodagh Kilcoyne.

IGBF’s President of Appeals, Leonard Hegarty, General Manager of G&M Industrial Cleaning Products/Textile Recycling Ltd, is pictured addressing the Lunch. Joe Keane, IGBF, and Leonard Hegarty, President of Appeals, are pictured with the cheque for €200,000.

Stuart Cahill, from Mars Ireland; Joe Curran, Pat the Baker; and Susan Nicholson, Mars Ireland, pictured at the Lunch.

Ciaran O’Meara, from Coca Cola, and Colm Hatton, Boyne Valley Foods.

The IGBF’s Jim O’Connor and Tim Nolan, pictured enjoying the Lunch.

Pictured are (l-r): Jerry McDonnell, Gala; Duo Calitz, Boyne Valley; Tony Cluskey, Gala; and Malachy McCloskey, Chairman, Boyne Valley Group.


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IGBF Christmas Lunch

Londis Chairman, Leo McCauley, pictured with Gus O’Gorman from SuperValu Carrickmacross, Co. Monaghan.

John Mee, Heather Sheriden, and Declan O’Reilly, all from Glanbia, are pictured at the event.

From Unilever Ireland: Nascienza Nardone and Jaimie Patrick.

Sabrina O’Leary, Coca Cola, and Karl Murray, Range & Space Planning Manager at Musgrave Wholesale Partners.

Nigel Scully, The National Lottery, and Heineken Ireland’s Thomas Brady.

From SCA Hygiene Products: Katy Connell and Paul McAllen.

Antoinette Moloney, Daniella Smith and Elizabeth Ivory, from Johnson and Johnson. From Heineken Ireland:Jill Irvine, Michael Bernie and Aoife Collier.

Eileen Murphy and John Ward, both from Procter & Gamble.

Pictured are (l-r): Leonard Hegarty, IGBF President of Appeals; Pat O’Meara, BR Marketing; Fergus Murphy, Stafford Lynch; Michael Morrissey, Magnet; and Darragh Monaghan.

Seamus McCormack, Tennant & Ruttle, and Garry Kennedy from Bayer Consumer Care.

Joe Grennan, Director, SMA, and Margaret McLaughlin, Commercial Marketing Manager, BWG Foods.


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Breakfast Time

The Big Breakfast A healthy, balanced breakfast is vital for energy and health. REGULARLY referred to as “the most important meal of the day”, breakfast is crucial for energy and for health. After all, consumers have probably gone up to 10 hours without food or drink, and their energy reserves are depleted. A healthy, balanced breakfast can really help, and not just in terms of energy levels. It’s seriously good for your health. A recent study by the Harvard School of Public Health in the US revealed that men who regularly skipped breakfast have a 27% higher risk of heart attack or death from coronary heart disease than those who routinely eat breakfast. The research also reported that those who skip breakfast are usually hungrier later in the day and eat more food at night, perhaps leading to metabolic changes and heart disease. Here at home, Flahavan’s recently commissioned a survey amongst Irish women of their attitudes to breakfast, with 89% of women describing breakfast as the most important meal of the day, but 52% admitting to skipping a morning meal because they are in too much of a rush. Of those who do manage to eat, 62% of female respon-

dents said the meal was rushed during the week, compared to just 8% at the weekend. It is generally accepted by nutritionists and dieticians that breakfast sets you up with energy for the morning ahead and can help improve your attention and concentration. Johnston Mooney & O’Brien As Ireland’s oldest bakery, Johnston Mooney & O’Brien have over 175 years of experience in selecting high-grade flour from the finest wheat grown harvests. Over time, they have refined their recipes so that all the quality ingredients come together perfectly to make consumers’ favourite fresh-baked breads, buns and rolls. A healthy balanced diet has always been essential for living a full and active life and Johnston Mooney & O’Brien believe their baked goods play an important role in maintaining health. With Johnston Mooney & O’Brien’s Goodness of Both products, consumers

With Johnston Mooney & O’Brien’s Goodness of Both range includes a whole sliced pan, Lunch Rolls and Deli Rolls.


www.jmob.ie

GREAT TASTE FOR OVER 175 YEARS


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Breakfast Time can enjoy the smoothness of white bread with all the goodness of wholemeal, offering a nutritionally attractive option for those who prefer the taste of white bread. The Goodness of Both product range includes a whole sliced pan (800g and 400g), Lunch Rolls and Deli Rolls. These innovative products are also a good source of fibre in the daily diet. The Lunch and Deli Rolls are sure to be a lunch box favourite with the kids over the winter months! Consumers can take a little inspiration from Johnston Mooney & O’Brien’s recipes to make the most of their tasty products: www.jmob.ie/our-recipes/. Irish Pride

Targeting the growing Healthy bread sector, Irish Pride have recently launched additions to their best-selling Irish Pride Sandwich pan range, including White & Wholemeal Sandwich.

Irish Pride meets the needs of families and commuters every morning across Ireland by delivering the widest range of fresh breads for breakfast time: white, wholegrain, wholemeal, white & wholemeal, thick bread, baps, fruit bread, soda bread and lots more! The breadth of Irish Pride’s range serves to deliver real choice to the Irish consumer when it comes to achieving a healthy balanced diet. Principal brands for breakfast include Irish Pride Big Toast, the first branded extra thick sliced bread and still a great winner today; Sandwich Pan White & Wholemeal and their

unique best-selling Healthy Grain loaf. Targeting the growing ‘Healthy’ bread sector, Irish Pride have recently launched additions to their best-selling Irish Pride Sandwich pan range: Wholegrain

New Irish Pride Farmhouse Soda is proving extremely popular with consumers.

Sandwich and White & Wholemeal Sandwich, as well as new Crunchy Hi Fibre Wholemeal Cob and Irish Pride Farmhouse Soda in their Traditional range. Key trends, such as rising obesity, healthcare costs and an ageing population are making consumers more conscious of what they eat. Irish Pride continuously strive to be an innovator by leading the field in producing bakery products with nutritional benefits to address some of the significant public health issues in society. New Irish Pride Slimsters is a thin sliced brown bread for people trying to reduce their calorie intake. Slimsters Sandwich Squares combine the goodness of wholemeal flour with wheat flour and are dressed with a light dusting of maize to give outstanding flavour and texture at only 100 calories per square. A special fermen-

tation process gives Slimsters Squares its original bread flavour. Conveniently sliced to ‘fill and go’ for those extra busy days! Irish Pride’s fleet of 150 vans and trucks have the greatest reach in the bakery sector, delivering fresh breads 24/7 to more than 3,000 outlets across the country. So it’s no wonder Irish Pride is a clear favourite in Irish households with 68% household penetration (Source: Kantar World Panel 2012). Irish Pride’s ongoing programme of market research keeps their product offering relevant to consumer needs and as consumers continuously seek increased value, their targeted in-store promotional plans deliver on this need. Looking to the future, they have identified a number of key platforms that will bring growth opportunities in value added bread, including health & wellness and convenience. With more exciting innovations and promotions in the pipeline for 2014, retailers can look forward to growing incremental sales in this key grocery segment. Weetabix New Weetabix On The Go Breakfast Biscuits are designed to be a delicious breakfast solution, boasting the famous Weetabix wholegrain fuel credentials for those mornings when there isn’t time for a bowl of breakfast cereal. The product launched in singles and multipacks and

Weetabix On The Go Breakfast Biscuits boast the famous Weetabix wholegrain fuel credentials for those mornings when there isn’t time for a bowl of breakfast cereal.


Great brands from the Weetabix Food Company

www.weetabix.co.uk


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Breakfast Time is being rolled out across both major multiples and convenience outlets. The crunchy breakfast biscuits, baked in the distinctive Weetabix lozenge shape, are available in two delicious flavours, Milk & Cereal and Apple with a hint of Cinnamon, to appeal to a wide range of consumers who are looking for a tasty on-thego breakfast solution and know and trust Weetabix to deliver the fuel they need. This exciting new range comes in case sizes of 16x50g packs, with each pack containing 4 biscuits. Multipacks are also available, with the additional flavour of Fruit and Fibre in 5x50g packs. Containing real wholegrain Weetabix, the tasty breakfast biscuits are crammed with goodness to fuel those extra busy days. Flahavan’s Flahavan’s, Ireland’s favourite porridge, has launched a new Golden Syrup sachet as part of its popular Quick Oats range. Flahavan’s Quick Oats Golden Syrup sachets, available in 10 x 40g servings, are deliciously tasty and easy to prepare in the microwave in just two minutes. Flahavan’s Quick Oats appeal to on-the-go consumers because they are simple and quick to make for an instantly nutritious breakfast! The new Flahavan’s Golden Syrup sachets are the latest addition to the Quick Oats range, following the recent launch of its Apple, Raisin & Cinnamon sachets. The range also includes natural, multiseed and organic sachets, drum and portable porridge pots in natural, multiseed, strawberry and organic varieties. Oats are a nutritious warming food that are high in fibre, low

in salt and saturated fat, with no White’s Oats artificial flavours. They contain White’s Oats, Northern Ireland’s all the healthy ingredients needed only oat cereal processor, recently to warm up any cold morning. celebrated a record win at the Flahavan’s has also introduced Great Taste Awards 2013, scoopa new individual sachet format, ing up 12 gold stars for its oat where consumers can use the free based cereal products - taking its reusable liquid measure providtotal number of Awards to 32. ed or simply pour milk or water Receiving a double seal of directly into the sachet and fill approval and best in category to the splash line, making it the with two Gold Stars was Organic ideal portable healthy start to any Quick Cook Oats and Toasted day either at home or in the office. Oats Apple & Cinnamon Crunch, Grown, milled and produced in Ireland, Flahavan’s Quick Oats range provides a wholesome breakfast that’s packed with taste, ready in minutes and keeps you going right up to lunch, making your breakfast a pleasure every day. As an independent Irish family business, FlahaPictured celebrating White’s success in the Great Taste Awards van’s has been are Farmer Tim McClelland from Tandragee and supplier to White’s milling quality oats Oats, with his children Rachel, aged 7, Cameron, aged 9, and Hanat the family mill nah, aged 3, together with White’s Oats Brand Manager, Danielle McBride. beside the River Mahon in Kilmacthomas, Co. Waterford, for over a Great Taste winner for the 200 years. Flahavan’s is Ireland’s second year running. But topping favourite porridge oat brand and the pack once again was White’s has been delivering continuous Organic Jumbo Oats, which has growth to the oats category in received a Great Taste accolade line with consumers’ increasing for six successive years. interest in porridge as a healthy Toat’ly Oaty Original Instant breakfast cereal choice. Porridge has also had success Flahavan’s is proud to support for a second year running, being Love Irish Food - an initiative led awarded one gold star, alongside by Irish manufacturing brands the recently launched Toat’ly seeking to promote Irish food and Oaty with added multi seeds. drink brands in Ireland. For more White’s has also had success with information, see www.flahavans. its export brand, where Irish Oatcom or www. meal Old Fashioned Oats picked facebook.com/flahavans. up one gold star. ”We are delighted that our oat based cereals have been so highly recognised at this year’s Great Taste Awards which signals the huge amount of passion we have for our business and our products,” noted Danielle Mc Bride, Brand Manager of White’s Oats. White’s products are available across Ireland in Tesco, Dunnes Stores, SuperValu and SPAR/EUROSPAR.

Flahavan’s Quick Oats appeals to on-the-go consumers because they are simple and quick to make for an instantly nutritious breakfast!

belVita Mondelez Ireland recently announced a €600,000 breakfast partnership with UTV Radio


The lighter bite...

Only Calories per Slice

Only 100 Calories per Slimsters Square

Superquinn Sausages on Sale in SuperValu SUPERQUINN sausages have just gone on sale in all SuperValu stores. All stores will stock the popular Superquinn sausage 12-pack, which will retail for €4. SuperValu expects additional sales of €2m of the sausages in the first year. Taking the sausage nationwide is not only great news for the consumers, but ABP Ireland, the company who produce the award winning Superquinn Sausage, has created 12 new jobs in order to cater for this new demand at its processing facility at Cahir, Co. Tipperary. The Superquinn sausage has always been one of Superquinn’s most popular products and initial sales in a handful of SuperValu stores have seen the product sell out. Model Daniella Moyles is pictured at the announcement that nationwide distribution of the sausages has been brought forward to cater for demand.


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Breakfast Time for biscuit brand belVita which includes sponsorship of FM104’s Strawberry Alarm Clock breakfast show. The 12-month partnership will promote belVita’s range of breakfast biscuits during FM104’s Strawberry Alarm Clock through a mix of on-air features and sponsorship credits. The partnership will also include a series of time check ads across the UTV Radio network and product sampling with the station’s on-street team. The Strawberry Alarm Clock, hosted by JimJim and Mark Noble, is FM104’s flagship show, attracting 102,000 listeners from 6am-10am weekdays. Jonathan Ryan, Brand Manager for belVita, commented, “JimJim and Nobby are known for getting out of the right side of bed each morning with their energetic four-hour show. Many people love starting their day with Strawberry Alarm Clock so it’s a great fit for belVita.” belVita biscuits, specially designed for breakfast, are rich in cereals, a source of fibre and contain a selection of vitamins and minerals. Scientifically proven to slowly release energy over four hours, since launching in 2010, belVita is now found in

Connacht Gold Low Fat Butter is real butter but with half the fat

treated fats, and with only 19 calories per serving, the whole family can enjoy the delicious natural taste of butter at breakfast time, with all the health benefits of half the fat. Connacht Gold Low Fat butter can be enjoyed smothered on hot toast, on favourite brown bread or a bagel at breakfast time, or even melted on soldiers and dunked in a boiled egg for the kids! Its great taste has been proven, with Connacht Gold Low Fat butter winning numerous prestigious awards, the most recent being a gold star at the internationally recognised Great Taste Awards. Since the Connacht Gold’s Low Fat butter TV ad aired last year, Connacht Gold has beStrawberry Alarm Clock presenters Mark Noble and JimJim Nucome a popular choice gent pictured with Jonathan Ryan, belVita Brand Manager (centre), for consumers right at the launch of belVita’s breakfast partnership with UTV Radio across the length and which includes sponsorship of FM104’s Strawberry Alarm Clock breadth of the country, breakfast show. leading to increased one in four households in Ireland sales and market share for the (Source: Kantar World Panel, 52 growing brand. w/e Dec 2012). Kenco Millicano Connacht Gold As Ireland’s number one WholeConnacht Gold Low Fat butter, bean Instant coffee (Source: from Aurivo, is a great tasting, ACNielsen, MAT, June 16, 2013), natural product. It’s real butter Kenco Millicano has revolutionwith just half the fat. Containing ised the coffee market and is the no vegetable oils or chemically most sector-defining innovation in

Ireland in coffee for over 50 years. The brand leads the Wholebean Instant category, accounting for 71% of total category growth over the last year (Source: ACNielsen, Total Scantrack data (not including Dunnes and Discounters), MAT, w/e June 16, 2013). Kenco Millicano offers the convenience of instant with the quality and taste reminiscent of roast and ground coffee. Kenco knows that busy lives mean coffee lovers don’t always have time to make ‘proper’ coffee, so Kenco Millicano serves to fill the gap between wanting a roast and ground coffee taste with the convenience of making an instant coffee. Like the rest of the Kenco range, all of the beans for Kenco Millicano are 100% sourced from Rainforest Alliance Certified farms, which means every sip taken helps coffee-growing communities and helps to protect the environment. Kenco Millicano is available in 100g fully-recyclable tin, an 85g refill pack and a 10 individual portion stick pack. Kenco Millicano is now available in a decaff version: Millicano Caff Free 100g tin and 85g refill pack. Kenco Millicano also recently announced a major fashion collaboration with acclaimed Irish designer Orla Kiely, who created a limited edition coffee travel mug exclusively for the brand. The Ireland-exclusive ceramic eco mugs are the



48|Retail News|December 2013|www.retailnews.ie

Breakfast Time

Kenco Millicano offers the convenience of instant with the quality and taste reminiscent of roast and ground coffee.

stylish way to enjoy coffee-on-thego and bear the distinctive bold print and colours that have made Orla Kiely famous worldwide. Nescafé &GO Consumption of coffee is on the increase in Ireland. According to a Euromonitor International report in July 2013, coffee will continue to buck the recessionary trend in Ireland and increase in size between 2012 and 2017 (Source: Hot Drinks in Ireland, Euromonitor International, July 2013). Early starts and busy days mean that customers today live their lives very much ‘on the go’. They need a coffee that they can rely on 24/7, which is why Nescafé &GO is the perfect answer. Launched in 2007, the self-serve coffee machine provides customers with the great taste and flavour of Nescafé that they know and love. Research shows that the typical Irish consumer drinks on average 15% more coffee than tea in

a year, and buys on average three cups of coffee per week (Source: One Poll, February 2013). Coffee poses a huge opportunity for retailers. Not only is the coffee shop market huge, but the ‘on-the-go’ opportunity is considerable, as consumers expect access to quality coffee wherever they are, at whatever time of day. Millions of cups of coffee in the out of home market are currently ‘lost’ each year due to a lack of convenience for the customer (Source: OOH Profiling Study, May 2010) and this is where the trend for selfserve can really take off. The food service sector, which covers the sale of all food and drink eaten outside the home, generates more than €6 billion in consumer spending, according to the Irish Foodservice Channel Insights report, carried out by Mintel on behalf of Bord Bia (Source: OI Research, September 2011). Nescafé &GO is a profitable hot beverage solution with a potential 34% profit on return per cup - based on an RSP of €1.49 per cup (resale prices are at the sole discretion of the reseller). With 45c profit opportunity per cup, businesses could recoup the cost of the machine in just three weeks (machine price €129 exc. VAT). The typical Nescafé &GO drink retails at €1.49 and at this price, retailers can make an estimated profit of 45c per cup. Based on selling 20 cups per day, six days per week, 48 weeks per year, at an estimated cost of €1.04 per cup, retailers have the potential to make additional turnover of over €8,582 per year. The Nescafé &GO machine offers seven

hot drinks varieties from trusted brands including five delicious Nescafé coffees, bubbly Aero Hot Chocolate and Tetley Tea. The standalone machine is quick, clean and convenient, with a small footprint and no plumbing is needed. This self-service option

Nescafé &GO is a profitable hot beverage solution with a potential 34% profit on return per cup.

The Nescafé &GO machine offers seven hot drinks varieties from trusted brands including five delicious Nescafé coffees, bubbly Aero Hot Chocolate and Tetley Tea.

The typical Nescafé &GO drink retails at €1.49 and at this price, retailers can make an estimated profit of 45c per cup.


Retail News|December 2013|www.retailnews.ie|49

Breakfast Time will not only satisfy customers but also business sales too. seven hot drinks varieties from trusted brands including five delicious Nescafé coffees, bubbly Aero Hot Chocolate and Tetley Tea. The standalone machine is quick, clean and convenient, with a small footprint and no plumbing is needed. This self-service option will not only satisfy customers but also business sales too. Barry’s Tea Barry’s Tea is a family owned business, spanning over 100 years. The longevity of the business is a testament to the high quality teas that are consistently produced from its home in Cork. As always, Barry’s Tea keep a keen eye on their consumers’ needs. With an increasing demand for smaller pack sizes, Barry’s Tea launched their new pack of Gold Blend 20s this autumn. This pack is ideal for people that are shopping to a tight budget, but still want a good cup of tea as one of life’s little pleasures. The pack is also very useful for top up shops mid-week, or indeed a handy travel pack to take on holidays or to work. The new 20s pack comes in a unique dispensing unit. This

With an increasing demand for smaller pack sizes, Barry’s Tea launched a new pack of Gold Blend 20s this autumn.

unit is ideal as it saves valuable shelf space at the tea fixture, but it will also allow retailers to dual site the product in the store near complementary products like cakes, biscuit and magazines. Barry’s Tea are proud supporters of Love Irish Food and are very much committed to supporting Irish jobs. Mallon’s Olhausen Sausages, from Mallon’s Foods, have been a Dublin

TOPAZ LAUNCHES BREAKFAST CAMPAIGN TOPAZ has revealed that sales of its Fairtrade coffee have risen to five million cups a year. That’s an increase of 20% over the last two years. The figures were released at the launch of the company’s new Breakfast Campaign in Dublin, which includes radio advertising and digital and social media platforms, including daily giveaways on Facebook. “Enhancing the customer experience is what Topaz is all about and we want to create awareness of our excellent breakfast offering,” said Paul Candon, Marketing and Corporate Services Director. “Our Fairtrade coffee is hugely popular with our customers but we also offer an increasing range of top quality breakfast options to people on the move from 7am every morning. From jambons to fruit pots and sausage rolls to smoothies, we have something for everyone.” Today FM radio presenter Louise Duffy is pictured launching the Topaz breakfast campaign.

tradition since 1896, when Freddy Olhausen started making the award winning products on Talbot Street. Today, Olhasuen Sausages are still winning awards, with victory at the prestigious Blas na hEireann Food Awards 2013. Olhausen Sausages are always made with 100% Irish pork and are blended with a mild aroma of white pepper and warm spices, a taste that their loyal customers love. Also from Mallon’s, Kearns Sausages have gone from strength to strength in 2013 and the brand is one of Dublin’s favourite sausages. Specially made with a unique recipe handed down from generation to generation since John Kearns starting making the sausages in Parnell Street in

The Kearns brands stays loyal to the old traditions and the sausages are still made with 100% Irish Pork, with a fragrant black pepper aroma.

1905, today the Kearns brands stays loyal to the old traditions and the sausages are still made

Olhasuen Sausages are still winning awards, with victory at the prestigious Blas na hEireann Food Awards 2013.

with 100% Irish Pork, with a fragrant black pepper aroma. Kearns claims the number one status in the Leinster market and is a must stock for any retailer.


50 |RetailNews|December News|December2013|www.retailnews.ie 2013| www.retailnews.ie 10|Retail

Market News KNORR SHAKES UP GRAVY TRAIN KNORR is building on the success of its Gravy Pot range with the launch of a new Onion variant, available to retailers now. As the first jelly gravy to be introduced in July 2012, Knorr Gravy Pots present one of the most innovative entries into the Gravy market in recent years. Vanni Cataldi, Brand Manager for Knorr at Unilever UK & Ireland, said: “Strengthening the Gravy Pot range to include another classic flavour is a natural fit for us and we’re confident that it will continue to drive growth. We’re sure that our Onion variant will be just as popular as the existing Chicken and Beef flavours – we know that consumer interest in alternative, convenient formats that offer robust homemade taste credentials remains strong.”

LIDL GETS FESTIVE DUBLIN-based Manning’s Bakery has secured a national contract with Lidl to supply 500,000 mince pies to its network of 136 stores across Ireland between now and Christmas. Made following a traditional recipe specially developed by the Manning family, the Christmas order for mince pies will use approximately 11.5 tonnes of rich fruit, brandy filling and a further 20 tonnes of buttermilk shortcrust pastry. Rozanna Purcell is pictured at the announcement.

LIMITED EDITION IRISH WHISKEY THE Ryan Family are celebrating 100 years of owning the Beggars Bush Public House on Dublin’s Haddington Road by recreating the taste of a classic Irish Whiskey, which they produced in association with Dublin Whiskey Distillery until this famous distillery closed its doors in 1946. The Ryan Family has teamed up with The Teeling Whiskey Company to produce a limited release Jack Ryan ‘Beggars Bush’ 12 Year Old Single Malt Irish Whiskey and a very limited edition Cask Strength Single Malt with an abv of 56.5%. Only 1,450 bottles of Jack Ryan ‘Beggars Bush’ Single Malt have been produced, and 250 bottles of the limited edition Cask Strength Single Malt, hand signed and numbered by Eunan Ryan.

NPD AT MCVITIE’S CAKE COMPANY McVITIE’S Cake Company (MCC) has announced the arrival of an assortment of new product launches that will enable retailers to enjoy an additional slice of sales from the cake category. Building on the success of its McVitie’s Digestive Slice launch last year, MCC is extending the range to include two new products, McVitie’s Hobnob Milk Chocolate Slice and McVitie’s Digestive Caramel Slice, while the McVitie’s Hobnob Flapjack range is set to get even bigger with a fresh new look and improved recipe ready for the New Year. As well as a new look, MCC will be launching a number of new additions to the Eat Now range including McVitie’s Digestive Slice and McVitie’s Double Chocolate Muffin, while the popular M&M Chocolate Brownie and Snickers Flapjack products move into a ‘duo’ format in mid-December.

INNOVATION FROM MAGNUM UNILEVER Ice Cream is tapping into the continued growth of the snacking market with a range of innovative new products from its number one ice cream brand, Magnum. Available to retailers now, Magnum After Dinner, Magnum Mini Pots and Magnum Mini Baileys provide consumers with an array of in-home options during the impending winter nights, for both indulgent mid-week treats as well as something to share with friends and family at weekends. “Our new ‘treat’ formats from Magnum After Dinner, Magnum Mini Baileys and Magnum Mini Pots provide a quick, convenient and tasty product from a brand consumers love, but in a smaller, portion-controlled size that is perfect for snacking,” notes Caterina Di Felice, Brand Manager for Magnum at Unilever UK and Ireland.

UNITED BISCUITS RELAUNCHES MCVITIE’S UNITED Biscuits is embarking on a major re-launch of its McVitie’s brand to rejuvenate and drive strong growth into the biscuits category. The re-launch will kick off with a brand redesign and the company’s biggest ever multimillion euro media campaign. Sarah Heynen, Marketing Director of Sweet Biscuits at UB, noted: “Everyday Biscuits, with brands such as McVitie’s Digestives, are the biggest segment and the heartland of the biscuit barrel. It is this segment which is at the heart of our refreshed strategy and key to unlocking growth in the overall Biscuit category.” A new design will be unveiled in January, created to drive an ownable, distinctive and consistent brand identity across the entire McVitie’s range.



52|Retail News|December 2013|www.retailnews.ie

On The Vine

The Wine Intervention!

Two crippling tax increases have utterly changed the face of Ireland’s wine industry, Jean Smullen reports. THE stand-out issue for 2013 for the wine trade was the imposition of two tax increases on wine by the Irish Government, the first one in December 2012 and the second, just 10 months later in October 2013. The net result of these tax hikes is the addition of approximately €3 to the retail price point of each bottle sold. The Irish wine market is now all about entry level wine bought “on offer” for approximately €8. Despite the increases, the average price has not moved over €8 per bottle and the consumer has only moved up in terms of their wine spend by approximately 40 cent. What is left in terms of the quality of the wine in the bottle as the tax take increases and the cost price of the wine descends is very little. The consumer seems to be fixed with the notion that a bottle of wine costs €8, regardless of its quality. Given the current economic climate, the €10 price point is impossible to breach. Mid-priced wines at €10-15 struggle to achieve sales. The wine industry now appears polarised into two groups: the first, the €8 price category accounts for over 93% of all wine sold in Ireland; the second is premium wine in the €18+ price point category, which

is mainly for purchased for special occasions or as corporate gifts. A Grim Epitaph This is a grim epitaph for a once vibrant industry, felled as a result of a desperate Government, who refuse to consider the detrimental effect these increases are having on wine industry job numbers. The range of ancillary jobs lost since 2008 because of these taxation increases includes van drivers, warehouse staff, bonded warehouse employees, off licence staff, off licence owners, marketing staff, wine educators, sales representatives, shop assistants, among many others who once worked in the wine industry. This fact appears to be totally overlooked by officials in the Department of Finance when it comes to making their policy decisions. By way of example, the National Off Licence Association can list 11 off licences in Meath, Dublin and Kildare who have closed down since January 2013, with a loss of over 60 jobs. They anticipate that by the end of 2014, as a direct result of these taxation increases, a further 20-25 off licences will have closed down. If you were to research this industry-wide for the pe-

riod 2008-2013, the effect in terms of social welfare costs now being paid to the unemployed from the wine sector would be far in excess of any gain in revenue made from increasing excise duty on wine. Based on the current projections and in anticipation that the Government is likely to increase duty on wine by a further 50 cent in the 2014 budget, wine is now poised to make the Government more from excise duty in 2015 than any other alcoholic beverage. In 2013, wine volumes decreased by 10%, while revenue for the same period, as a result of the duty increase, was up by 30%. Figures Do Not Lie Last year, excise duty on a nine-litre case of wine was €23.60. By October 2013, that had jumped to €38.24, an increase of nearly €15 per case in less than 12 months. To put that into stark context, if the average consumer is paying €8 for a bottle of wine, the VAT plus excise costs for that bottle of wine is now €4.7798 or 59.7% of the cost of the bottle. This can be broken down as follows: €8 bottle less VAT & Duty €4.7798 = €3.32.


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On The Vine This €3.32 must account for the cost of the bottle, labels, capsule, carton, shipping and delivery costs, which doesn’t leave a huge amount over in terms of the cost of the wine. Add to that the margin for the importer and the retailer who sells it and you see the reason for the job losses within the industry. Even more incongruous is the taxation on sparkling wine, whereby a €14 bottle of Prosecco Spumante incurs €8.993 in terms of excise and VAT. Unless something is done about this, we will have a wine industry made up of a handful of self employed individuals brokering bulk wine in containers directly into the supermarket groups. There will be no sales reps, no individual off licences, no marketing staff, no educators, no retail staff and a lot of unemployed people who have put their heart and soul over a 25-year period into developing a market for wine in Ireland. It appears they will be left with nowhere else to go except the dole queue. The big companies will focus on spirits and craft beers because that’s where the profits lie and given that Ireland is a producer of these products, will the Government then turn their beady tax eye in that direction, when the wine cash cow can no longer be milked? The Quest for Good News As we move forward into 2014, in an endeavour to find some positives, I spoke to a number of key wine trade individuals to see if I could find some encouraging news as I finalise my review of 2013. A number highlighted the premium wine category and how their focus for 2014 will be to develop wine sales in the upper price category through education and promotion, utilising visits by visiting wine makers and principals. From a country of origin perspective, Chile and Argentina are driving the New World category. Chile has a lot of wine available, the price/quality ratio is still good and their entry level wines punch well above their weight at key price points. Santa Rita is still leading the pack and innovating on this market, which should help to keep them as the number one Chilean wine brand in Ireland. Argentina is the next new big thing and there is huge interest in Argentinean wine here. There was a very successful Argentinean wine fair in Dublin this year and that will be repeated in 2014. Argentinean wine brands such as Dona Paula, Trapiche

and Catena, the brand leader on the market, are driving these sales. Argentina only has 1% of the Irish market but that is poised to change in 2014 as more and more importers look to Argentina for new wines. One note of caution in relation to New World wines: prices are on the increase, America and China are eating up all the available volume. The wine glut no longer exists, which is going to impact overall on New World pricing throughout Europe. Worlds Old & New Speaking of Europe, European wines are most definitely on the cusp of a major return to the Irish wine market. Interestingly enough, this is being driven by the discounters Aldi and Lidl, whose Christmas offering was decidedly premium. This should be taken as a lesson by the other multiple groups. When the discounters are leading the way in terms of growing premium wine sales during the key Christmas period, the wine industry needs to take a long hard look at itself. As the industry struggles to find a new sweet spot in relation to wine pricing, the lower alcohol wines offer opportunity. As well as hitting the spot in relation to lowering the volume of alcohol consumed, these lower alcohol wines incur a lower duty rate, allowing a better margin for everyone. Expect to see a lot more of them coming on stream in 2014. Eastern Europe is also another source of untapped quality. Romania, Bulgaria, Hungary, Slovenia and Moldova are all starting to offer commercial New World-style wines at competitive ex-cellar prices. Expect to see more from these former eastern bloc countries appearing on our shelves during the next 3-5 years. For a Few Euro More… Pricing confusion also has to be resolved. With so many wines on offer at Christmas, the consumer is in for a major reality check into spring 2014 when the effect of the duty increases really starts to bite. At that point, the consumer price point will have to find a new level, which may have to breach the magic €10 mark. The positive side of this from a wine perspective is that if the consumer accepts paying €10+ for a bottle of wine, it may get slightly easier to trade people up to a higher price point, once they realise they get better quality in their wine glass by paying a few euro more. The Gold Star Awards initiative from NOffLA (National Off Licence Association) also seems to be garner-

ing great support from the importing trade. These wines are mostly in the mid-price category and although this initiative has been around for over a decade now, the importing trade are only now starting to realise how vital it is to the industry. Overall, there is much more support in terms of pricing and promotion and this can’t be a bad thing for the independent off licence sector whose business continues to be impacted by duty increases and competition from the supermarkets. Finally, however, we have a success story. E&J Gallo appear to have bucked the trend in terms of market growth in 2013. Their wines are 100% varietal-driven and they don’t sell any blended wines. The focus on consumer wines and the in-store consumer promotions have made Gallo the fastest growing brand in Ireland for 2013. Their Barefoot range has also taken off (albeit from a small base) and the introduction of varietals such as in the E&J Gallo range, including Moscato and Pink Moscato, is driving the appeal with the novice wine consumers in their early 20s. In conclusion, the review of the wine industry in Ireland for 2013 can be summed up in three words: two tax increases. This means that four words are increasingly important as we enter 2014: how do we survive?


54|Retail News|December 2013|www.retailnews.ie

The Year in Review

2013: A Year in Retailing JANUARY TOPAZ secures the future of 82 jobs by investing in five petrol stations which were set to close in Kildare, Westmeath and Wicklow. SUPERVALU launches the first grocery shopping app in Ireland, which allows both Android and iPhone users to do their shopping from the palm of their hand.

fully integrated across its purchasing, warehouse and finance functions. The web-based solution is enabling the company to carry out electronic data interchange, data synchronisation, supplier collaboration, invoice matching and new supply chain reporting. THE Ladies Gaelic Football Association unveils Tesco Ireland as its new title sponsor of the National Football Leagues. THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending January 20, 2013, show Dunnes Stores’ improving fortunes in recent months accelerating into the New Year with sales growth of 4.6%.

LUCOZADE Sport is announced as the Official Sports Drinks to the IRFU. Irish players Brian O’Driscoll, Jonathan Sexton and Rob Kearney, are pictured with Jim Geraghty, Lucozade Sport Marketing Manager. Under the agreement, Lucozade Sport will provide financial and product support to the IRFU, as well as access to nutritional and sports science advice for management and players. TESCO open a new Tesco Metro store in Terenure, Dublin, creating 34 jobs in the local area. THE Tuffy family open their second Gala store on Main Street, Bonniconlon, Co Mayo. BWG Foods partners with award-winning supply chain software company, Atlas, in a €300,000 investment to automate its entire purchase to pay process, handling in excess of 4.8m transactions annually. The new system, BWG Tradelink powered by Atlas Universal, has been configured to BWG’s specific business requirements and

licences by the end of 2013, which they claim will reduce the burden of licences by 33%.

IRISH food and drink exports in 2012 surpassed €9 billion for the first time, according to figures released by Bord Bia. LYNX embarks on its most ambitious marketing campaign to support new variant Lynx Apollo, with one lucky fan winning a trip into space. KELLOGG’S is the sponsor of the new ‘Breakfast With’ segment on TV3’s Ireland AM.

FEBRUARY THE proposed Tobacco Products Directive from the EU, if implemented, would may have a serious impact on Irish retailers. The proposed rules, from EU Health & Consumer Policy Commissioner, Tonio Borg, include minimum sizes for RYO, a ban on menthol cigarettes, increased sizes of health warnings on cigarette packages, restrictions on internet sales, and enforcements on health warnings on herbal cigarette packets. THE Government announce plans to have a single portal for 50 retail

RGDATA calls on the Government to save town centres from desertion by providing new national guidelines on car parking and smart travel. “Cash strapped local authorities are destroying the vitality of town centres in Ireland with extreme parking policies,” said RGDATA Director General Tara Buckley. “High rates, fines and the threat of clamping are driving people out of town centres. This has created a nightmare on every street that requires urgent action.” A NEW EU Directive, Late Payment Directive 2011/7/EU, is aimed at tackling the issue of late payment of invoices across the EU and could make a massive difference to Irish businesses, particularly SMEs. EUROSPAR and Cuisine de France are sponsors of Comórtas Peile Páidí Ó Sé 2013, the world’s largest GAA Club gathering, which takes place all over the Dingle Peninsula in Kerry. EU member states move to deal with the horsemeat scandal with large-scale product testing taking place throughout the EU. In an extraordinary meeting of the EU Standing Committee on the Food Chain and Animal Health (SCOFCAH) held in Brussels, food safety experts from across Europe endorse


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The Year in Review the Commission’s proposals for largescale testing of beef products to check if they contain horse DNA.

MARCH COSTCUTTER are the new sponsors of Cork Camogie, with Barry Group’s franchise chain having signed a six-figure, three-year deal that will see Costcutter sponsor all grades of the Cork county camogie teams from Under-16 right through to Senior level.

Cheese and Onion 6-pack designed completely ‘as Gaeilge’. A new report from IBEC suggests consumer sentiment will recover during 2013, in the absence of further bad news. Figures from IBEC’s Irish Consumer Monitor suggest that Irish household spending will stay at +0.2% in 2013, and increase to 0.7% next year. A complete rate revaluation of the country is underway, the first in Ireland since the 19th century, which it

SUPERVALU reports retail sales of €2.1 billion in 2012, “a very good performance, which is ahead of the overall market”, according to Martin Kelleher, SuperValu Managing Director, pictured (centre) at the SuperValu Annual Conference with Michael Morgan, SuperValu Sales Director; and Edward Dick, SuperValu Council Chairman. SuperValu announce at the Conference that they hope to add a further 300 new jobs to their 12,000-strong workforce, as the group is set to open three new stores, and extend and refurbish a further 40, as part of a €20m investment programme by their retail partners.

THE Subway brand announces a new partnership with Applegreen, which will see new Subway stores open in two of Applegreen’s leading service station locations, Gorey in Co. Wexford, and Uckfield in East Sussex, UK, with more sites due to open later this year.

is hoped will bring a fairer and more equitable system for all businesses. THE latest figures from MS Intelligence show that the level of non Irish duty paid cigarettes in Ireland has risen to 28.2% in 2012, making it the second biggest tobacco supplier in the country. The research, which was carried out by collecting empty packs from 22 towns and cities across the country, indicates a large increase since 2011 when NIDP was measured at 24.5% in Ireland. FIGURES from the Revenue Commissioners show that alcohol consumption in Ireland declined once again in 2012, thus continuing a trend of falling consumption levels evident since 2001.

AN Taoiseach, Enda Kenny TD is pictured at Lily O’Brien’s Chocolate Factory in Newbridge with Senator Mary Ann O’Brien to celebrate 21 years of Lily O’Brien’s and to mark the company’s sponsorship of The Big Egg Hunt in aid of the Jack & Jill Children’s Foundation. NESTLÉ SA’s global financial results highlight the UK & Ireland as growth markets for the company in 2012, despite the tough economic environment. TAYTO launch a limited edition Tayto

THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending March 17, show Superquinn growing ahead of the market for the first time in five years – increasing its sales by 1.9%.

APRIL CADBURY unveils a deliciously stylish new chocolate bar called Crispello and teams up with TV3 to sponsor Xposé for the next 12 months. TESCO launches a healthy eating promotion aimed at families across Ireland, offering customers collectable plush toys to encourage children to eat

more fresh fruit and vegetables. THE National Dairy Council (NDC) are the new sponsor of RTÉ Radio 1’s agricultural affairs programme, Countrywide. THE biggest lager launch in over a decade sees Canada’s most iconic lager, Molson Canadian, launching in Ireland. THE Association of Irish Farmhouse Cheesemakers (CAIS) host the 5th European Farmhouse and Artisan Cheesemakers Congress at University College Cork on April 26, where industry stakeholders from Ireland and other EU member states come together to share knowledge and initiate collaborations across the farmhouse dairy sector. A COURT ruling to reduce the rent of Bewley’s, Grafton Street, to fall in line with current market conditions, is unlikely to have significant repercussions for upward-only rent reviews. The High Court case sees the famous Dublin establishment succeed in preventing its landlord, Ickendel Limited, a company controlled by developer Johnny Ronan, from hiking its rent. Ambiguous wording in the rental contract led to the favourable ruling.

SHIEL’S Londis in Malahide is named Food Retailer Off Licence of the Year at the National Off-Licence Association awards, the second year in which the store has won this prestigious accolade, having previously won in 2011. Pictured are (l-r): retailers Frank, Rufina and John Shiel of Shiel’s Londis Plus Malahide. A NEW independent study commissioned by LowLow on the attitudes of Irish women reveals that 77% believe that advertising campaigns selling diet and weight loss foods portray women having an unhealthy relationship with food. TOPAZ is recognised as one of the Best Workplaces in Ireland for the sixth year in a row, the only retailer to make the Top Ten.


56|Retail News|December 2013|www.retailnews.ie

The Year in Review THE Maxol Group announce that they will partner with the Make-A-Wish Foundation as their new charity of the year. ADM Londis plc announces a robust performance in 2012, reporting profit before tax of €1.23m in 2012 after a once-off operating cost of €200,000 relating to the successful introduction of its new centralised chill distribution solution. Shareholders’ funds in the period increased to €19.1m.

BWG Group celebrates the official opening of its major new 240,000 square feet, state-of-the-art National Distribution Centre located in Kilcarbery Business Park, Dublin 22. 30 new jobs have been created in the process, bringing the total workforce at the facility to approximately 110 people. BWG’s entire ambient distribution, including the company’s bonded warehouse, have now been brought together in this, making it one of the biggest in the country. Staff and management from the BWG Foods National Distribution Centre are pictured with Irish runner Fionnuala Britton and Dublin footballer, Alan Brogan.

MORE than 270 delegates from 30 countries across the globe arrive into Dublin for the 58th International SPAR Congress and a week-long visit to Ireland. The event is hosted by SPAR Ireland to coincide with the brand’s 50th anniversary in this country. Delegates participated in a three-day retail conference where they heard from expert speakers such as Professor Stephane Garelli of the Institute of Management Development, Lausanne, and Paco Underhill, CEO and Founder, Envirosell. SPAR also announces a €50,000 ‘Helping Hand’ Community Fund, together with Olympic Gold medallist Katie Taylor, prompting local groups, clubs and organisations throughout the country to apply for funding. Leo Crawford, SPAR Ireland Chairman and CEO of BWG Group, is pictured

FROM April 29, 2013, the company name of Kraft Foods changes to Mondelez International Inc. From that date, Kraft Foods Ireland is known as Mondelez Ireland Limited.

Cookie Nut Crunch.

FOOD and Drink Industry Ireland (FDII), the IBEC group that represents the food sector, calls for legislation on a statutory code of practice for the grocery sector to be introduced as a matter of urgency.

THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending April 14, show the discounters continue to set the pace, with Aldi and Lidl posting respective growth rates of 28.5% and 7.3% and gaining a record 13.1% share of the market.

MUSGRAVE Wholesale Partners sign a contract worth €6m over three years to supply chilled, frozen and ambient foods to Debenhams Ireland.

MAY A NEW Report into the illicit trade in Ireland, published by Grant Thornton and Retail Ireland reveals that retailers in Ireland are being hit harder than ever by black market products.

11 innovative food companies complete the Enterprise Ireland SuperValu Supplier Development Programme at SuperValu’s Head Office in Cork.

Joan Burton TD, addresses the Retail Ireland Council in April, speaking on a wide range of issues of importance to the retail sector. Minister Burton is pictured with Retail Ireland Chairman, Frank Gleeson. BORD Iascaigh Mhara (BIM), the Irish Sea Fisheries Board, hosts a Seafood Summit entitled ‘Irish Seafood – Becoming a Global Seafood Player’, aimed at key seafood industry players and the investment community.

NESTLÉ appoints Deirdre O’Donoghue as the new Country Business Manager for Ireland across the confectionery, beverage, food and pet care categories.

FINCHES soft drinks get a new look across each of the product categories.

CADBURY Dairy Milk brings a touch of the marvellous to retailers this April, with the launch of Cadbury Dairy Milk Marvellous Creations – two wacky yet wonderful flavour combinations covered in delicious Cadbury Dairy Milk chocolate: Jelly Popping Candy Shells and

VINCENT Jennings, CEO of the Convenience Stores and Newsagents Association, calls on the Government to allow retailers to set the prices for tobacco products. SUPERVALU partner with Kepak and Oliver Carty Ltd to establish a €250,000 fund for Irish farmers to purchase fodder, following increased demand due to severe weather conditions. The fund is administered by the Irish Farmers Association (IFA). As part of this assistance, SuperValu, which has one of the biggest truck fleets in the country, offers to transport fodder arriving in Dublin Port to co-ops or internally between food suppliers across the country. COSTCUTTER teams up with award-winning chef Noel McMeel as part of its TV3 Ireland: AM cookery sponsorship. DIAGEO Ireland announces the full


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The Year in Review details of the 2013 ‘Gifted’ programme, which will see €50,000 awarded to charities and voluntary groups across Ireland. ALCOHOL Beverage Federation of Ireland (ABFI), the association which represents alcohol manufactures and suppliers in Ireland, slams comments by Alcohol Action Ireland that the drinks industry is ‘grooming’ the next generation of drinkers through sponsorship as “misinformed and sensational”. THE National Lottery reports sales of €735.1m in 2012, a robust performance in what continues to be a very difficult retail environment.

A new study by RGDATA reveals that the use of violence in retail crime has almost tripled since 2011. The survey of independent retailers reveals that over 90% of retailers were victims of crime in the past 12 months. Violence was used in 28% of these crimes, compared to 10% in 2011. SEAN Quish, Managing Director, Quish’s SuperValu, Ballincollig, Co. Cork, is pictured with customer Ellen Martin at the launch of new self-scanning technology for customers. The store is the first SuperValu in Ireland to allow shoppers to pick up a handheld scanner at the door to scan products and pack their groceries while moving along the aisles.

€4.9 billion for 2012, up 11% on the previous year, delivering a profit before tax of €72m, an increase of 3%, in its financial results for the year ended 31 December 2012. MUSGRAVE Retail Partners Ireland wins the Green Retailer Award at the 2013 Annual Green Awards. PICTURED at the official opening of Aldi’s milestone 100th Irish store in Callan, Co. Kilkenny are hurling legend Henry Shefflin and Store Manager, Kenneth Harrison. Aldi announces plans to open 20 new stores within the next three years, creating 300 jobs in the process.

TOPAZ/SPAR at Musgrave Park, Belfast, is the winner of the prestigious Customer Service Award 2012 at the Topaz annual dealer conference.

THE European Commission adopts a comprehensive package to step up its fight against illicit tobacco trade, especially cigarette smuggling. The Commission’s strategy sets out a number of coordinated measures at national, EU and international level, including measures to decrease incentives for smuggling activities and to improve the security of the supply chain, the stronger enforcement of tax, customs, police and border authorities, and heavier sanctions for smuggling activities. 192 SuperValu stores throughout Ireland receive Excellence Ireland Hygiene & Food Safety Certificates at the annual 2013 SuperValu Quality Awards Ceremony in Killarney. Retail Ireland Inaugural Conference

Centra Launches New Own Brand Range

INDEPENDENT TD for Waterford, John Halligan calls on supermarkets to freeze prices in order to combat food poverty in Ireland. GALA Retail Services appoints Helen Oldridge as Financial Controller.

CENTRA shakes up the market with the biggest product launch in its 34year history as it officially launches a new own brand range of over 900 products, across its 460 store network, representing an €8m investment for the brand. The range is predominately Irish, with 110 of the 150 suppliers being indigenous companies.

JUNE

TESCO Ireland announces increased sales of €3.15 billion in the year to February 24, 2013, compared with sales of €3.09 billion in the previous year, growth of 1.9%. MUSGRAVE Group reports sales of

THE Minister’s for Health’s proposals to introduce plain packets for cigarette brands may be met by manufacturer resistance, Retail News reports. While the Government gave Minister Reilly the go-ahead to draft legislation to remove branding from cigarettes, the bill is expected to face legal challenges in terms of breaching intellectual property and branding laws.

PICTURED at the inaugural Retail Ireland Conference at the Aviva Stadium on May 23 are (l-r): Stephen Lynam, Retail Ireland Director; Conference Chair, Margaret E. Ward; and IBEC Retail Skillnet Manager, Sean Carlin. The half-day event brought together retailers, industry experts, stakeholders and everyone with an interest in our sector, with an impressive range of speakers.

ALDI and Lidl post a combined record share of 13.6% in the latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending 12 May. SuperValu again performs ahead of the market, holding onto 19.8% market share, while the recent improved performance of Super


58|Retail News|December 2013|www.retailnews.ie

The Year in Review quinn continues with share maintained at 5.5%.

Bloom 2013, which attracts in excess of 110,000 visitors, an all-time record.

THE European Parliament gives the green light to EU plans to introduce clearer rules on the labelling and content of baby milks and foods for special medical purposes. The aim is to provide better protection for consumers and help them distinguish more clearly between foods for normal consumption and foods for specific groups, such as coeliacs. The new rules also cover some low-calorie diets.

RETAILERS welcome the announcement by Minister for Public Expenditure and Reform, Brendan Howlin TD, that bidders for the National Lottery Licence must maintain the current retail agent’s margin.

JULY

IN his keynote address, as special guest at the 25th Anniversary Dinner of the Convenience Stores and Retail Newsagents Association (CSNA) in Dublin, Sean Kelly, MEP of the Year for Innovation and Research, commends the fundamental role that small local retailers play in supporting the local economy and through re-investing their profits in local communities, including sponsorships of parish sports clubs. THE staff at Nestlé Ireland renew their partnership with the Jack & Jill Children’s Foundation as their ‘Charity of the Year’ for 2013. MARSHALL’s Londis PLUS in Mullingar officially opens its doors. GALA Retail Services host up to 50 barbecues held nationwide at various Gala stores throughout the summer as part of their fundraising initiative with the Jack & Jill Children’s Foundation.

TOPAZ’S Dealer Team and Dealer Business Manager, Jonathan Diver, are winners of two of the top awards at the Irish Sales Champion Awards: Champion Field Sales Manager of the Year 2013 and Best Sales Training Programme Award. Jonathan Diver is pictured (centre) with the Topaz team of Dealer Area Managers (l-r): Richard Stones, Peter O’Connor, Jonathan Diver, Tony Buckley and Declan Murphy. KILMEADEN Cheese is awarded Gold in the Mature Cheddar Category at the 2013 Irish Cheese Awards at

THE recommendations of the Joint Oireachtas Committee on Transport and Communications on sponsorship of sports by the alcohol drinks industry, which effectively opposed any proposed ban on sports sponsorship by alcoholic drinks companies, is broadly welcomed by the trade as common sense prevails. ORGANISERS of the inaugural Irish Quality Food and Drink Awards are delighted with the response from Irish food and drink manufacturers, with more than 300 entries submitted.

AUGUST IMPROVING consumer confidence is foremost on retailer wish-lists for Budget 2014. While retailers recognise the need for continued austerity, they want the Government to send a signal to consumers that the future is not bleak, so they can loosen their purse strings. FOLLOWING a year-long consultation process, UK authorities axe plans to introduce plain packaging legislation for cigarettes and tobacco products. TESCO Ireland gets a new CEO from July 1, when PJ Clarke takes over from Tony Keohane, who becomes Chairman, having served seven years as CEO.

THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending July 7, reveal that Aldi, Lidl and SuperValu are the only retailers to increase market share, growing to 7.0%, 7.4% and 19.5% respectively.

AN RGDATA delegation addresses the Government’s Interdepartmental Group, which is tasked with progressing the Action Plan for Jobs 2013 in the retail sector, urging them to “crack the whip on banks”. RGDATA member Hugh Doyle of Donnybrook Fair, Tara Buckley, Director General, RGDATA, and RGDATA Director Colin Fee are pictured outside the Department of Jobs, Enterprise & Innovation.

MODEL Roz Purcell is pictured with Gala Head of IT, Eamonn King, at the launch of the new Gala smartphone app. The convenience store app offers users a store finder facility, a monthly photo competition, the latest offers from Gala stores around Ireland and local store and community news. AXA partner with Topaz to provide a new fuel card, as part of the AXA Plus Programme. The fuel card guarantees 2 cent off per litre on Topaz petrol and diesel at any of the 320 Topaz service stations in the Republic of Ireland. SUPERVALU officially open a new store in Miltown Malbay, Co. Clare, which represents a total local investment of €5.5m by local businessman


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The Year in Review John Jones and is set to create 50 new jobs. BIM launches its 2013-2017 strategy, revealing that it is set to deliver 1,200 jobs and €1 billion seafood sales by building scale and enhancing competitiveness in the Irish seafood sector. THE second annual ‘Show Me I.D - Be Age Ok’ Awareness Week takes place, with the unveiling of smartphone and tablet accessible online training at www.showmeid.ie. LONDIS launches a multi-faceted media ‘Local Like You’ campaign to cement its position within the Irish grocery market. The group will invest more than €1m in the campaign over the next 12 months, which includes TV advertisements, digital activity and instore promotion, highlighting the fact that Londis is owned and run by locals and each Londis retailer is a part of the community they serve. THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending August 18, show a €30m uplift in consumer spend as a result of the heat wave, when compared with the same period the previous year.

SEPTEMBER

THE Irish Grocers Benevolent Fund (IGBF) appoints Des Redmond as Development Director.

ALMOST three million people in Ireland read newspapers regularly, according to the latest Joint National Readership Survey (JNRS) 2012/2013. The majority of adults in Ireland (62%) read a daily newspaper and the figure for readership of Sunday newspapers is almost as high (60%). THE revised version of the Broadcasting Authority of Ireland’s General and Children’s Commercial Communications Codes comes into effect on September 2, 2013. THE board of Repak terminates its

contract for the services of Andrew Hetherington as Chief Executive, following an inquiry into alleged financial irregularities. Repak is now in the process of seeking a new Chief Executive to take the organisation forward to a fresh phase of development.

of Ireland, including a new TV ad, billboard advertising, a new website and a new look Moy Park logo on all packs.

CONVENIENCE retailers of the future converge at the Insight NACS Future of Convenience event in London on September 25 & 26.

WEXFORD Town is the location for a 1c and 2c rounding trial, which takes place for a period of eight weeks from mid-September.

RETAIL Ireland meets with the Minister for Finance, Michael Noonan TD ahead of Budget 2014.

THE 2013 ECR Ireland Annual Conference takes place in the Guinness Storehouse, considering the major leadership issues for the Consumer Goods sector in Ireland.

THE first ever Irish Quality Food and Drink Awards 2013 prove a massive success, as no fewer than 36 products from right across the island of Ireland are awarded the title of IQFA winners. An impressive 250 guests, entrants, judges and spectators come together at a black-tie dinner to celebrate the achievements of Ireland’s best food and drink producers at a spectacular ceremony in the Round Room, within Dublin’s grand Mansion House. ALL Superquinn stores are to be rebranded as SuperValu in 2014. Musgrave is confident that combining SuperValu and Superquinn will create an unrivalled Irish national retail brand, offering customers an improved in-store experience. THE EU Commission proposes new rules to cap charges on debit and credit card payments across the EU. The package would also see increased security for payments and clearer rules for all operators.

LIDL returns to the 2013 National Ploughing Championships with an eye-catching cheese tractor sculpture, which is hand crafted across the three day event by world famous food artist Prudence Staite. Prudence is pictured with five-year-old Bill Cahill from Ballingarry, Tipperary, beside the cheese tractor. A NEW initiative where retailers and suppliers in the food supply chain agree to comply with a set of principles of good practice is launched in Brussels. The initiative is supported by seven representative bodies (including European retail trade association EuroCommerce) and already 82 companies have signalled their intention to sign up.

OCTOBER

XL is on track to add 30 new stores by the end of this year.

RETAIL groups warmly welcome the inclusion of a number of pro-retailer measures in Budget 2014, including Revenue’s new stop and search powers, as part of a package of measures to tackle the black market and illicit trade. However, significant increases in excise duty on alcohol are broadly slammed, with off licence closures and job losses predicted.

MOY Park re-launches with a new marketing campaign across the island

SPAR Ireland launches a new €1m own brand campaign, which sees an exten

TO celebrate its 15th anniversary and The Gathering, Gala announces an exciting giveaway whereby 15 lucky people will have the chance to come home to Ireland for The Gathering.


60|Retail News|December 2013|www.retailnews.ie

The Year in Review sion of its own-brand product range, as well as a fully integrated marketing campaign, anchored by a new TV advertisement. THE Irish Grocers Benevolent Fund announces the development of a new logo and the launch of its new website, www.igbf.ie. DISCOVER Farmhouse Cheese, a new EU co-funded campaign organised by Bord Bia to celebrate farmhouse cheese in Ireland, takes place over the month of October. ODLUMS are named as the official sponsor of The Great Irish Bake Off on TV3 this autumn. CORK based Dairymaid Foods Ltd, a subsidiary of JDS Foods, wins the Love Irish Food Brand Development Award, which sees them winning a lucrative €200,000 advertising campaign from Independent Newspapers. GROCERY symbol groups are being bundled together with multiple supermarkets in a Government plan to reintroduce wage setting mechanisms under Joint Labour Committees

champions, Tony Kelly and Colm Galvin, along with the Liam McCarthy Cup, are special guests at the official opening of Laurence and Susan O’Brien’s third Gala store in Cloughleigh, Ennis. THE 2013 Stonehouse Golf Outing on behalf of the Irish Grocers Benevolent Fund (www.igbf.ie) proves a major success, raising a whopping €42,000 for the charity. GROCERY market growth slowed to 0.6% in the run-up to the Budget announcement, according to figures from Kantar Worldpanel in Ireland, published for the 12 weeks ending October 13. THE Government’s alcohol policy is published, providing for the Government to set a minimum price for alcohol, which will be calculated based on the number of grams of alcohol in each product, at a level yet to be decided. The Government intends to introduce minimum pricing in tandem with the authorities in Northern Ireland, thereby minimising the potential for a return to the highly-damaging phenomenon of cross-border shopping.

NOVEMBER

RETAIL Ireland Chairman Frank Gleeson is appointed to the Executive Board of NACS (National Association of Convenience Stores), the international association for convenience and fuel retailing.

a statutory code of practice for retailer/ supplier relations, the establishment of a supermarket ombudsman and the introduction of minimum pricing on alcohol. THE Department of Health confirms on its website that a new €500 annual licensing fee for retailers to sell tobacco products is on the way. RGDATA addresses the National Retail Crime Conference, calling for higher penalties and zero tolerance when it comes to retail crime. THE 2013 Daybreak Conference is the biggest to date, with 350 delegates present to focus on the theme, ‘Winning in the New World’.

DECEMBER (JLC’s), Retail News reveals. ADM Londis plc announces the roll-out of ‘Customer First’, its new Customer Service Training Programme, in Londis stores nationwide. The programme is launched at the 2013 ADM Londis Retailer Conference ‘Londis - Local Matters’ in Carton House, Maynooth. Pictured are (l-r): Norah Casey, Harmonia CEO, Ruth Norton, Group Marketing Manager, Londis, and Keith Wood, former Irish rugby international. INDEPENDENT Senator Feargal Quinn’s proposed bill to abolish Upward Only Rent Reviews is passed in the Seanad and now goes to committee stage. CENTRA opens a new 5,000 square feet store on Lower Abbey Street, Dublin. TWO of Clare’s All Ireland hurling

PICTURED at the official opening of Value Centre Castlebar are (l-r): John Moane, Managing Director Wholesale, BWG; Leo Crawrod, Group CEO, BWG; An Taoiseach Enda Kenny TD; and Willie O’Byrne, Managing Director, BWG Foods. The official reopening of Value Centre Castlebar, which closed following extensive fire damage last year, also saw BWG Foods unveiling plans to invest €7m in its national Value Centre cash & carry network over two years, upgrading and refurbishing sites around the country. RGDATA urges Finance Minister Michael Noonan TD to extend the reduced Employers’ PRSI rate for workers earning under €356 for a further 12 months. THE Oireachtas Joint Committee on Agriculture, Food and the Marine’s report on the grocery sector recommends

A NEW study estimates that the introduction of plain packaging on cigarettes in Ireland could put up to 1,900 jobs and €125m in tax revenues at risk. MUSGRAVE Group is named the winner of the Sustainable Energy Collaboration Award at the 10th annual Sustainable Energy Awards. VALUE Nation is a new customer engagement loyalty company which is launching a new loyalty product for Irish stores called LolliPoints. AS we approach 2014, the general consensus among retail groups is that our sector is healthier than it has been for some time. Nevertheless, 2014 promises to be a pivotal year for the sector. New legislation poses problems for retail, threatening consumer confidence and adding costs to squeezed retailer margins.


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Come visit us at moyparkchicken.com

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62|Retail News|December 2013|www.retailnews.ie

Shelf Life NORTHERN Ireland’s Newforge House & Glastry Farm Ice Cream took the major Culinary Haven of the Year Award and Producer of the Year Award at the Good Food Ireland Awards in association with Kerrygold. An Taoiseach, Enda Kenny, TD presented the awards, a coveted honour in the world of food and tourism. RTE’s Kathryn Thomas hosted the Awards Ceremony, attended by 350 guests from agri-food and tourism hospitality businesses. Pictured are (l-r): Margaret Jeffares, Good Food Ireland; Aisling Helm, Newforge House; An Taoiseach Enda Kenny TD; Margot Slattery, Sodexo; and Louise Mathers, Newforge House.

DUBLIN teenager Amy Keatinge has just been named a European Youth Entrepreneur of the Year 2013 during a ceremony in Brussels. Amy, from Tallaght in Dublin, travelled to Belgium to represent Ireland in the prestigious competition, which saw young entrepreneurs from across Europe outline their business plans to a panel of judges from some of the country’s leading companies. She was announced as a Gold First winner in the competition for her business ‘CoZey SoundZ’ which manufactures and sells customised ear muffs and cushions with inbuilt ear phones. GREEN ISLE has appointed Cawley Nea\TBWA as creative agency for all through-the-line marketing communications, following a competitive pitch process. A new campaign for Green Isle, entitled Beat the Mealtime Brain Freeze, was created by Cawley Nea\TBWA to drive awareness of the Green Isle portfolio. A mealtime brain freeze is the moment of bafflement that ensues when you simply can’t decide what to prepare for dinner or you’ve left the shopping list at home. The campaign features on outdoor, in-site specific locations, while also appearing in press, on radio and across digital platforms.

THIS Christmas, as part of the Discover Farmhouse Cheese programme, Bord Bia is encouraging cheese lovers to celebrate Christmas with the perfect farmhouse cheese board. Whether it’s creating your own cheese board for some home entertaining, or bringing it as a gift when visiting friends, Bord Bia has a host of helpful tips and advice to ensure your cheese board is a success, including avoiding too much choice; selecting cheeses to ensure different sizes, shapes, flavours and texture; placing cheeses in order of strength – try not to have strong pungent cheeses beside delicately flavoured cheeses. The Discover Farmhouse Cheese programme is a new EU co-funded campaign organised by Bord Bia, to celebrate farmhouse cheese in Ireland. See www.DiscoverFarmhouseCheese.ie for more information. PICTURED at the launch of the 17th annual Knorr Student Chef of the Year competition is the new judging panel of (l-r): Catherine Fulvio, Ballyknocken House and Cookery School; Mark McCarthy, Unilever Food Solutions; and Pat Zaidan, chef lecturer at Dublin Institute of Technology, Cathal Brugha Street. To mark the European Year Against Food Waste in 2014, the theme of this year’s competition is ‘Wise Up on Waste’ and will challenge students to take a traditional dish and give it a modern twist using sustainably-sourced ingredients and limiting the amount of food waste generated. The year’s top prize is an amazing trip to Italy, where the winning student will enjoy an incredible dining experience at the three-starred Michelin restaurant, Osteria Francescana in Modena, voted the number three restaurant in the world. LEADING Australian winery Wolf Blass was named International Winemaker of the Year at the 2013 International Wine and Spirit Competition (IWSC) in London recently. This is the third time that Wolf Blass has won this highly acclaimed award, the first being 1992, followed by 2002. In addition to being named International Winemaker of Year, Wolf Blass dominated the competition, being awarded four trophies, including: Australian Producer of the Year; Best Single Vineyard Red Wine for the Wolf Blass Platinum Label 2008; Best Single Vineyard White Wine for the Wolf Blass White Label Riesling 2001; Best Riesling for Wolf Blass White Label Riesling 2001. Pictured are (l-r): G. Garvin Brown IV, IWSC President; Steven Frost, Senior Winemaker; Wolfgang Blass; and Chris Hatcher, Chief Winemaker, Wolf Blass Wines.

VODAFONE and OMD have teamed up with Kinetic, the Out of Home media planning and buying specialists, to run a magical Christmas campaign across the month of December. Vodafone Ireland and Spotify have joined forces to make Christmas sound better by offering Spotify Premium to its mobile consumers. To help consumers sample the new offering from Vodafone, Kinetic organised five ‘Plug-In’ Adshel Bus shelters to bring music to the streets of Dublin, Cork and Galway, allowing people to plug-in their earphones and listen to a collection of Christmas classics. Pictured at one of the Vodafone Plug-In’ Adshel Bus shelters are (l-r): Stephanie Butler, Brand and Communications Manager Vodafone; Aoife Joyce, Account Director, OMD; and JoJo Cox, Account Director, Kinetic.

CONGRATULATIONS

to the winner of the PostPoint/Retail News Christmas Competition, Gearóid Moloney from Ballina, Co. Mayo, who is the lucky winner of a €100 One4all gift card.

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Marketing Support including TV, outdoor, PR events, radio, press, digital and POS

Cadbury Creme Egg is 44% of Easter Impulse category*

30% of total Creme Egg sales are sold in January*

Stock, Display, Sell! *Source: Ac Nielsen Easter Review 2013. Promotion Terms & Conditions apply, see www.cadbury.ie/nogoo for more details.

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