Retail News June 2013

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JUNE 2013



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

Contents News

Plain Speaking MINISTER Reilly’s announcement that he is going to introduce legislation effectively banning any branding on cigarette packets has created quite an uproar across the trade, and rightly so. His rationale is that by making cigarette packs less appealing (i.e. homogenised plain white packs), it will discourage young people from starting smoking. Personally, I find his logic extremely flawed. I am yet to meet one young smoker who will cite packaging as a reason for lighting up in the first place. Surely peer pressure is the biggest cause of youth smoking, not just in Ireland but all over the world. The way to tackle this is through education, through teaching kids that smoking is just not cool, and through drilling the possible and likely repercussions into their heads in a very bold and graphic way. Plain packaging is simply another facile move by our nanny state that looks good on paper and ‘shows Europe that Ireland is tough on tobacco’, but will do little to curb youth smoking rates. The biggest repercussion will probably be to drive even more tobacco consumers to the illicit trade, for whom it will be easier than ever to make their product look identical to legitimate brands. One of the biggest challenges to the Minister’s plan, however, is the intellectual property rights of the tobacco companies, who are, let’s not forget, selling a legal product which brings the Government huge revenues each year. Surely, tobacco companies have the same right as any other legitimate operator to branding, logos and their own intellectual property. As reported in Retail News in April, bodies as varied as the US Chamber of Commerce and IBEC have warned banning branding could impact right across Europe if the EU loses its valued reputation for strong intellectual property rights protection through the undermining of registered marks. Expect this one to run and run. Kathleen Belton Editorial & Marketing Director kathleenbelton@retailnews.ie

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Education & Training

Angry Reaction to Minister’s Plans to Dump Cigarette Branding.

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Places are up for grabs on the IBEC Retail Skillnet Degree in Retail Management Practice which starts in September in Galway and Dublin.

Irish Grocers Benevolent Fund 28

IGBF President of Appeals, Leonard Hegarty reveals why the work of the Fund is more important than ever, and why the IGBF Christmas Lunch is the social highlight of the year.

Snack Foods 31 5

Violent Crimes in Local Shops Trebled: RGDATA; EU Steps Up Fight Against Cigarette Smuggling.

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Top Marks for SuperValu stores at Hygiene and Food Safety Awards; Challenging Times for Multiples.

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New EU Rules on Baby Milks; Cash Flow a Problem for 32% of Businesses; New CEO at Tesco Ireland.

International SPAR Congress 18

The 58th International SPAR Congress took place in Killarney in May, as SPAR celebrated 50 years in Ireland.

Exhibition Preview 22

MEP Praises Resilience of Small Business; News of Lotto Margin Protection Welcomed by Retailers; BAI Issues Rules on Food Advertising to Children.

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Business Blooms at Phoenix Park; Employers Urged to be Vigilant with Summer Workers.

Adrian O’Boyle, Marketing Manager, KP Snacks, talks us through the launch of new KP Nacho’s, which have been developed for the Irish market.

A wealth of quality exhibitors are already lining up to support Food & Hospitality Ireland.

Waste Management 24

In order to comply with Irish packaging regulations, you need to either self-comply or join a packaging compliance scheme like Repak.

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Stonehouse Annual Conference 32 The recent Stonehouse Annual Conference took place in Fota Island Resort, Co. Cork, with CEO Tom Shipsey providing a defiant voice for the sector.

Retail Ireland: Monthly Update 38 Retail Ireland

Inaugural Conference; Retailers Play Their Part in Reducing Salt Intake; Action Needed on Retail Following Sales Drop!

Retail Ireland Conference 26

The inaugural Retail Ireland Annual Conference was a resounding success, with cautious optimism very much the order of the day.

42 Regulars & Reports

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News

Plain Speaking Over Minister’s Plans to Dump Cigarette Branding

Vincent Jennings, Chief Executive of the Convenience Stores & Newsagents Association.

THE Minister’s for Health’s proposals to introduce plain packets for cigarette brands may be met by manufacturer resistance, Retail News can report. Minister James Reilly TD, whose cabinet colleagues gave him the go-ahead to draft legislation to remove branding from cigarettes, said he hopes to introduce the legislation early next year. However, a spokesperson for the Department of Health told us “there are no guarantees that will happen” and “the bill may well face legal challenges”. The bill faces a number of legal hurdles that set it apart from Australia, where the same initiative was introduced in December 2012. Frank Gleeson, Retail Ireland Chairman, told us: “The brand and IP laws here are different to Australian laws, so I think there’s definitely going to be a legal challenge from the tobacco industry. I don’t think the retail industry will do

it because they probably can’t they don’t have the resources. I think the tobacco industry will fight this and they will use their international muscle to do it.” Joe Sweeney, National

Frank Gleeson, Retail Ireland Chairman Federation of Retail Newsagents Ireland (NFRN) President,

added: “One of the reasons they managed to get it in so easily in Australia is because intellectual rights are not protected in the Constitution. That’s different here in Ireland.” Under the bill’s guidelines, all branding will be removed from a packet of cigarettes and replaced with a graphic health warning and plain packaging. Brand names will be written in a standardised font. Should the legislation be passed in Ireland, then other European countries are likely to follow suit. “It’s a big ticket issue for the tobacco companies,” said Gleeson. “They sell a regulated product - a licensed legal product. People choose to smoke it at their own risk. They have reason to fight this.” There is also a risk such a law would set precedents. Alcohol branding could be banned to tackle alcohol-related ills, for example, or chocolate bar branding removed to combat obesity. “The list is endless. That is the danger,” said Gleeson. Vincent Jennings, Chief Executive of the Convenience Stores & Newsagents Association (CSNA), added: “There’s no doubt it will be used as a litmus test.” For some industry commentators, the Minister’s move appears to be more about ideology. “We don’t have a difficulty with Ministers doing things on an evidential, scientific basis,” said Jennings. “I don’t see any of

those boxes being ticked.” Others suggested tobacco packaging has never been identified as a credible reason as to why people start, or continue, to smoke. “They’re saying surveys are showing children are attracted to smoking because of the colour of the packets,” said Sweeney. “I don’t believe that. In my family, there’s myself, my wife and four children. The kids have helped us in the business since they were tots. The kids have been looking at cigarette packets, handling them, smelling them. None of them smoke. It’s about education. We’ve never told our children not to smoke, but we told them about the dangers of it. They’re wise to it and they never took it up.” Commentators feel that the Minister has jumped the gun, instead of judging reports on the

Joe Sweeney, President, National Federation of Retail Newsagents Ireland.

initiative in Australia. Around six months ago, the Department of Health undertook a public consultation for a new EU Tobacco Products Directive. Although the consultation, which included the issue of packaging, finished on January 14, the results have yet to be published. Pictorial Health Warnings were introduced in Ireland in February 2013, yet there are no signs of the impact of this regulation on smoking rates. The British government, meanwhile, has abandoned its plans to introduce plain cigarette packaging. “You will never stop young


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

News people starting in Ireland when you have [illicit] tobacco available so easily and cheaply on the street,” said Sweeney. “It’s available on the streets of every town in Ireland. They display it openly in markets and the law is not coming down on them. Unless they do something about that, the regulation is a waste of time.” Plain packaging poses additional problems for retailers, who already have to conceal tobacco products behind plain RGDATA Director General, doors. “It will probably Tara Buckley. make it difficult to control stock and order properly,” said Sweeney. “It will become more confusing for people stocking up units.” Jennings added: “It will require extra time. It’s not just the packaging, but also the outers [containers]. There will be some slow-down in the storeroom, particularly for those for whom English is not their first language.” The industry’s central argument against an introduction of plain packaging, however, is that it will play into the hands of the black market. “There’s no doubt this will exacerbate a situation where people who smoke are increasingly going to illegal sources, or bringing the cigarettes in with no duty paid,” said Tara Buckley, RGDATA Director General. Joe Sweeney continued: “This will make it easier for smugglers and counterfeiters to supply the product at less expense to themselves. They won’t have to differentiate between colours and packaging. I’m quite certain it is playing into the hands of the illicit trade, which is by far our biggest concern. We’re not pro smoking and we understand the health issues. We’re not against regulation, provided it is balanced with clamping down on the black market.” Alongside counterfeiting plain packaging, illicit tobacco dealers could find a lucrative sideline in selling fully branded products, noted Gleeson. Industry commentators believe the Government needs to tackle the illegitimate market before turning its attention to legitimate traders, whether through regulating markets in small towns or introducing greater penalties for those caught selling illicit cigarettes. “We want an outright ban on the sale of counterfeit tobacco products at markets,” explained Sweeney. “We want the owners of those premises, whether it’s a field or building, to be held responsible the same way retailers are held responsible for illicit trade. If I allow any illegal business to go on in my premises, I’ll be held responsible for it and I’ll pay the consequences. If I sell cigarettes to a minor, look what can happen to me: I’ll face a mandatory fine, lose my license, and could go to prison. Believe me, the law would be implemented. “We also want the Government to cut off the demand. We want them to introduce an on the spot fine for people caught in the possession of counterfeit goods. They have done this in Canada. The reports we here from there is it’s working satisfactorily.” Ultimately, the initiative is doomed, said Jennings. “It’s not going to stop the demand. Not one fewer packet will be smoked in the country as a result. But there will there be fewer packs sold through legitimate channels. Is this actually necessary, or is it an indication of [Minister Reilly’s] own personal viewpoint? Extracting as much pain and putting as much cost onto tobacco companies is probably part of his overall objective. This is a knee jerk reaction. People who are ideologically inclined don’t necessarily go for anything other than their gut instinct. But your gut instinct may not be something you can argue too well in court.”

Violent Crimes in Local Shops Trebled: RGDATA THE use of violence in retail crime has almost tripled since 2011, according to a new study by RGDATA. 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. Shop owners said that the violent crimes included the use of guns, knives, hammers and syringes. 60% of retailers said that retail crime was a severe threat to their business in 2012. This has increased significantly since 2011, when just 10% of retailers deemed retail crime to be a “severe threat” to their business. “Crime is an issue at the forefront of retailers’ minds in 2013,” stressed RGDATA Director General, Tara Buckley. “The key issue for shop owners remains the prosecution and conviction of these criminals. The vast majority of the retailers we surveyed were satisfied with Gardaí response times and reactions. However, they are deeply frustrated with the legal system and believe that higher penalties and

zero tolerance needs to be adopted as a matter of urgency. At a time when retailers are fighting to survive, they are forced to pay double what they paid in 2011 on security. This crisis of retail crime without serious repercussion needs to end.” Some of the other findings include: only 25% of perpetrators were prosecuted and convicted this year; 97% of retailers feel more vulnerable in recent years than in the past; 80% of retailers are now concerned about tiger kidnappings, compared to just 10% in 2011.

EU Steps Up Fight Against Cigarette Smuggling

THE European Commission has adopted a comprehensive package to step up its fight against illicit tobacco trade, especially cigarette smuggling. To effectively tackle the problem of illicit tobacco trade, 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; •Measures to improve the security of the supply chain;

•Stronger enforcement of tax, customs, police and border authorities; •Heavier sanctions for smuggling activities. “It’s necessary to stop the illegal activities of sinister criminals that fuel the shadow economy,” said Algirdas Šemeta, Commissioner for Taxation, Customs Union, AntiFraud and Audit. “With today’s package of measures to clamp down on cigarette smuggling, we can help to better protect the public purse, the health of our citizens and legitimate businesses.” The strategy also analyses existing legislation and policies, identifies weaknesses and gaps, and proposes additional reinforced actions. It also seeks to better coordinate existing policies and tools as the fight against illicit trade is a cross-cutting issue, as well as to improve cooperation between the various bodies at EU, national and international level.


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News

Top Marks for SuperValu stores at Hygiene and Food Safety Awards A RECORD number of SuperValu stores throughout Ireland received Excellence Ireland Hygiene & Food Safety Certificates at the annual 2013 SuperValu Quality Awards Ceremony in Killarney recently. These leading SuperValu stores completed the SuperValu National Hygiene & Food Safety programme accredited by EIQA (Excellence Ireland Quality Association) and were presented with certificates by Martin Kelleher, Managing Director, SuperValu, and Irene Collins, Managing Director, Excellence Ireland Quality Association. No fewer than 192 stores received a SuperValu Quality Award for 2013. Additionally, a further record number of 128 SuperValu stores received the Supreme Hygiene Award, which rewards retailers that have performed to a consistently high level over a three year period. “SuperValu stores continue to push out the boundaries of excellence on a daily basis,” noted Martin Kelleher, Managing Director, SuperValu. “The brand is committed to meeting and exceeding the highest standards of food safety. Quality is at the heart of everything we do and the number of SuperValu stores that have achieved an EIQA Award is a real testament to this. The hygiene ethos is embedded in daily standards and is maintained throughout our food chain, from production right through to the supermarket shelf.” Irene Collins, Managing Director of Excellence Ireland Quality Association, added: “The EIQA National Hygiene mark is a wellrecognised programme which incorporates all codes of good hygiene practice, ensuring robust standards and excellence in hygiene and food safety. Today’s consumer expects and demands high standards at all levels: however, it is the consistency in this delivery that ensures an organisation achieves stand out and SuperValu certainly is recognised amongst the wider community for its outstanding results in this area.

Martin Kelleher, Managing Director, SuperValu and Irene Collins, Managing Director, EIQA present the Supreme Excellence Ireland National Hygiene Award to Martina Mullaney, Mullaney’s SuperValu, Grange, Co. Sligo (centre), at the 2013 SuperValu Quality Awards presentations. “Therefore,” she continued, “it is very important that such achievements are acknowledged and applauded and so become an incentive for others to strive to reach the same high standards. SuperValu’s well-deserved reputation for high standards with their approach to hygiene and quality are not just an add-on to what they do, but very much a part of their everyday routine.”

Challenging Times for Multiples THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending May 12, show the market is becoming increasingly tough for traditional multiple retailers as cash-strapped shoppers continue to flock to the discount stores. “Aldi and Lidl have posted a combined record share of 13.6%, an increase of two percentage points from 11.6% last year,” explained David Berry, Commercial Director at Kantar Worldpanel. “Both retailers continue to secure strong sales growth and win new customers. In the latest 12 weeks, Aldi has recruited an additional 100,000 shoppers and Lidl has added 62,000. “In the face of continued price inflation and the onset of the Local Property Tax, shoppers continue to rein in their spending and look for the best value. Shopping across a range of different retailers is a big trend among consumers, who are making smaller, more frequent trips.” As consumers look to save money and the discounters grow, Tesco and Dunnes have seen their sales decline, with

Total Take Home Grocery - Ireland Consumer Spend 12 Weeks to 13 May 2012 %*

12 Weeks to 12 May 2013 %*

change** %

100.0% 87.7% 28.4% 22.4% 19.8% 5.5% 11.6% 5.2% 6.4% 12.3%

100.0% 88.6% 27.6% 22.1% 19.8% 5.5% 13.6% 6.6% 7.0% 11.4%

0.1 1.2 -2.6 -1.3 0.2 0.2 17.5 27.4 9.4 -7.4

Total Grocers Total Multiples Tesco Dunnes SuperValu Superquinn Total Discounters Aldi Lidl Other Outlets**

*= 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

market share falling from 28.4% to 27.6% for Tesco and 22.4% to 22.1% for Dunnes. SuperValu have again performed ahead of the market, holding onto 19.8% market share, while the recent improved performance of Superquinn continues with share maintained at 5.5%. Martin Kelleher, Managing Director, SuperValu, was delighted with the results. “As the best performing grocery retailer outside the discounters, we are

pleased with the latest figures from Kantar, which is evidence of the work we are doing with our retailers,” he noted. “We have achieved this by listening to our consumers and offering them quality Irish produce at great value. Our Own Brand range is a great example of this, with shoppers happy to switch brands to save on price but without sacrificing on quality. Our promotional calendar, which sees around 300 promotions on

offer every week such as 3-for-2 in personal care, has also proved to be a key sales driver with our customers.” According to David Berry, “Online grocery sales have grown by 7.9% in the past year, compared with an annual instore growth of just 0.2%. With shoppers spending an average of €62 per trip on the internet compared with €22 in-store, online presents a key opportunity for the traditional retailers.”


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News New EU Rules on Baby Milks

THE European Parliament has given 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. “We need to make sure that EU rules on food for specific groups are fit for purpose and evolve at the same speed as market developments,” said Tonio Borg, EU Commissioner for Health and Consumers. “Today’s agreement goes exactly in that direction by maintaining rules to protect vulnerable groups of consumers and by getting rid of outdated rules that no longer serve any purpose.” The new Regulation on food for specific groups will streamline the rules that apply throughout the EU, by eliminating those that are unnecessary and contradictory and by replacing them with a new, simplified Framework. The new Framework will cover: •food for infants and young children; •food for people with specific medical conditions; •food for weight control that replace the totality of the daily diet. The new legislation simplifies and clarifies the rules on the labelling and the composition of infant formula and follow-on formula (for babies between six and 10 months), processed cereal-based food, food for special medical purposes and total diet replacement for weight control. It also includes an exclusive list of substances such as vitamins and minerals that can be added to these foods. The labelling, presentation and advertising of infant formula and the labelling of follow-on formula must not “include pictures of infants, or other pictures or text which may idealise the use of such formula” in order “not to discourage breast-feeding”, the rules say. However, graphic representations intended for easy identification of the formula and for illustrating methods of preparation will still be permitted. The Regulation will only apply from 2016, giving businesses time to adapt their commercial practices.

Cash Flow a Problem for 32% of Businesses

ALMOST one third of Irish businesses feel that cash flow is the main threat to their profitability, according to the latest Payment Practices Barometer from trade credit insurer Atradius, a survey of payment practices experienced by 3,000 businesses across Western Europe. 32% of Irish businesses questioned cited cash flow as the main threat to their profitability. Of those, almost half (48%) were in the Irish wholesale/ retail sector. Yet despite these well documented cash flow constraints, Irish businesses continue to trade on credit, in order to establish long term trade relationships, with figures showing an increase of 39.4% in use of credit for domestic trade and 49.4% for international trade, suggesting it is being used as an incentive to cement trade deals. On average, Irish businesses stated that around 10% of both domestic and foreign receivables remain unpaid 90 days after the due date, notably higher than

the Western European average of just over 6%, which signals a significant potential for default. Indeed, year on year, uncollectable domestic B2B receivables of Irish respondents have increased by 45.9% in the case of domestic trade and 79.3% for foreign B2B customers “The longevity of the downturn means that businesses can no longer count on any supply chain being 100% safe and the evidence of strained cash flow is unsurprising,” explained Stuart Ramsden, Country Manager of Atradius Ireland. “Risks continue to emerge from the most unexpected corners, where one business is impacted by the insolvency of another and we see the subsequent domino effect wiping out a number of businesses simultaneously. Obviously, businesses don’t grow without taking risks – what’s critical is that they put adequate measures in place to manage these unknown risks. This remains key to the survival of Ireland’s businesses.”

New CEO at Tesco Ireland TESCO Ireland is getting a new CEO from July 1, when PJ Clarke takes over from Tony Keohane, who becomes Chairman, having served seven years as CEO. Incoming Chief Executive, Phil Clarke has held a number of senior roles in Tesco since joining the company in 1974, most recently as CEO of Tesco Japan. Following a succession of roles in stores and retail operations in the UK, Clarke was appointed International Format Director and later CEO for Tesco in the combined Czech and Slovak businesses in 2005. In 2010, he was appointed CEO for Tesco’s business in the Czech Republic and last year saw him becoming CEO of Tesco Japan.

Incoming Tesco Ireland Chief Executive, Phil Clarke.


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News

MEP Praises Resilience of Small Business SEAN Kelly, MEP of the Year for Innovation and Research, has praised the resilience of local retailers to strive against the combined challenges of recession, excessive regulation and limited bank credit facilities. In his keynote address, as special guest at the 25th Anniversary Dinner of the Convenience Stores and Retail Newsagents Association (CSNA) in Dublin, MEP Kelly commended 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.

”It is a testament to the resilience of the sector and the valuable contribution that CSNA retailers make in the local economy, that the association is continuing to grow from strength to strength in these trying times,” he said, before encouraging shoppers to support their local retailer and “shop local to ensure that profits remain in Ireland and we can trade our way out of recession.” The MEP also stressed the need to eliminate bureaucracy in business. “Excessive ‘red tape’ regulation has been a major burden on small retailers, in tandem with the other key challenges,

News of Lotto Margin Protection Welcomed by Retailers RETAILERS have welcomed the recent 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. “This is welcome news for hard pressed retailers who are struggling to keep their shops viable and keep their staff in jobs,” said RGDATA Director General, Tara Buckley. “The Minister has listened to our concerns and we are relieved to see that the maintenance of the current modest retail agent’s margin is one of the key elements that those applying for the 20 year National Lottery Licence must adhere to.” NFRN Ireland President Joe Sweeney said, “Since the announcement of the tendering process, NFRN Ireland has met department officials, party members and members of the opposition to discuss the matter. Our message was always centred on the business interests of our members and protecting the jobs they currently provide, particularly in the current operating climate. Our lobbying efforts culminated in a presentation to the Oireachtas Committee on Jobs, Enterprise and Innovation, during which all aspects of the challenges that face retailers were discussed: this included the terms and conditions of National Lottery agents.” NFRN Ireland has long campaigned for the protection of the wider operating terms and conditions, which would include the protection of other income streams such as the bonus paid upon selling a winning jackpot ticket. Buckley also expressed her delight that the percentage of Lottery funds going to good causes remains the same. “Independent retailers are also pleased to see that Minister Howlin has also ensured that the ongoing contribution for good causes will be set at 65% of Gross Gaming Revenues,” she said. “Our members are community retailers and they understand how important these funds are for communities throughout the country.”

Sean Kelly, MEP, Ireland South.

such as the need to boost consumer confidence and improve

bank credit facilities,” he said. “There can be no doubt that a more streamlined approach to business regulations is needed to reduce the burdensome red tape that can hamper the daily operation of SMEs across the European continent.” He went on to express his satisfaction that Minister for Jobs, Richard Bruton TD, “has taken the regulation issue on board in his Action Plan for Jobs.” Describing the heavy burden of EU regulatory compliance as “bureaucracy gone mad”, the MEP stressed that he has prioritised working to defend the interests of SMEs against excessive regulation.

BAI Issues Rules on Food Advertising to Children THE Broadcasting Authority of Ireland (BAI) has issued revised versions of its General and Children’s Commercial Communications Codes. The Codes have been updated to include rules to be applied to the promotion of high fat, salt and sugar (HFSS) food to children. The rules will come into effect on September 2, 2013, and will apply to all radio and television broadcasters regulated in the Republic of Ireland. The new rules state that commercial communications for HFSS food (including drinks) shall not be permitted in children’s programmes. In addition, content rules will apply to commercial communications for HFSS food broadcast outside of children’s programmes but which are directed at children. Such commercial communications shall not: include celebrities or sports stars; include programme characters; include licensed characters e.g. characters and personalities from cinema releases; contain health or nutrition claims; include promotional offers. No more than 25% of sold advertising time and only one in four advertisements for HFSS food are permissible across the broadcast day on radio and television services. In determining whether a food is to be classified as HFSS, advertisers

will use a Nutrient Profiling Model. Notably, any advertiser who wants to promote food during children’s programming or to target children with food promotions outside of children’s programming will be required to provide a signed certificate to broadcasters stating that the food product/service to be advertised is not a HFSS food. However, following huge controversy last year, advertisements and other commercial communications for cheese will be exempted from the Nutrient Profiling Model. Instead, commercials for cheese products that appear in children’s programmes or which are directed at children will be required to carry an on-screen message indicating the recommended maximum daily consumption limit for cheese. This exemption applies to cheese products only and not to products where cheese is an ingredient e.g. pizza.


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

News

Business Blooms at Phoenix Park BLOOM 2013 attracted in excess of 110,000 visitors, an all-time record, exceeding the previous peak of 90,000. Organised by Bord Bia, the show has now more than doubled in size compared with attendance at the inaugural event in 2007. Bloom continues to grow in popularity and with the exceptionally high attendance this year, artisans, exhibitors and garden designers alike reported a surge in onsite sales. “Bloom 2013 has been a hugely successful show, our best to date according to feedback,” said Aidan Cotter, Chief Executive, Bord Bia. “It is now a well-established showcase for the talent, diversity and capability of the Irish food and horticulture sector and its capacity to contribute to economic recovery.” In addition to all the sales and business conducted during Bloom, in an effort to develop further business offsite, Bord Bia brought buyers from key retail outlets including Tesco, Dunnes, Musgrave and Lidl to meet artisan food producThe Cupcake Camp at Bloom 2013, which attracted record visitor numbers to the Phoenix Park. ers exhibiting at the show.

New Formula Special K a Closely Guarded Secret CEREAL maker Kellogg’s has changed the recipe of its biggest selling cereal brand after seeing red over own brand versions. It’s the first time in over 30 years the recipe for Kellogg’s Special K has been changed and Kellogg’s plans to use the trade secrets act to protect the new formula as much as possible. Only a handful of employees will be privy to this new secret recipe in a bid to prevent supermarkets copying the low fat cereal. “There are many copycat versions of Special K on the market, but our new recipe will really stand out from the crowd as a premium, tastier product,” stressed Claire McFerran, Marketing Director for Kellogg’s in Ireland, who revealed that Kellogg’s have invested significant resources in supporting the launch of this new formula “and we plan to keep the new formula a closely guarded secret to stop history repeating itself.” Indeed, Kellogg’s has hit back at a rival’s own brand campaign by creating a spoof viral version of the discount supermarket chain’s low fat cereal advert. See www.youtube.com/ watch?v=fLG5uIhGdUA for the

Pictured are Olivia Hogan and Raisa Johnston re-launching Kellogg’s Special K, which has a new taste and new formula. full advert. Louise Thompson Davies from Kellogg’s said: “They say imitation is the highest form of flattery and our internet spoof is a light hearted way to bring our new recipe to life and highlight

the point of difference against these products and show Special K has a sense of humour. It’s also an exciting first for the brand as our famous Special K girl finally gets a voice after all these years.”

Employers Urged to be Vigilant with Summer Workers THE Health and Safety Authority is urging employers to be extra vigilant when it comes to taking on young workers for the summer. “Accidents don’t just happen,” reveals Joanne Harmon, Education Manager with the Health and Safety Authority. “Our research shows that the vast majority of accidents can be prevented with some forward planning and common sense. Young people, possibly entering the workforce for the first time, are at an early stage in developing the necessary skills and awareness levels, so employers need to pay special attention to them, particularly around their training and induction.” European figures indicate that young people are at least 50% more likely to be hurt at work than older, more experienced workers.


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

Industry News

Centra Launches New Own Brand Range CENTRA is shaking the market up, with the biggest product launch in its 34 year history. Centra has officially launched its bright new own brand range of over 900 products, across its 460 store network, representing an €8m investment for the brand. “A launch of this size and depth is unprecedented in this market, but it is really needed,” said Martin Kelleher, Managing Director, Centra. “People are shopping more frequently and more local than ever before, in order to manage waste and travel expenses. Centra’s success, even in these difficult times, is proof of this. Consumers are turning to own label products to maintain, or in some cases reduce their weekly grocery spend, and as ever we want to deliver even more for

our shoppers, so today we are launching 900 new Own Brand products that are up to a 1/3 less than the brand equivalent. It is really set to shake up the convenience shopping sector.” The range is predominately Irish, with 110 of the 150 suppliers being Irish, and the extensive product range is innovative

too, with convenient options including fruit pots, granola yogurt pots, steamed veg packs and a new pizza range. Other lines help consumers grab the very things they need, at a great price and guaranteed quality, such as fruity bites for children’s lunch boxes, organic fruit pouches as part of the brand

Robinsons Fruit Shoot Scores with Kids BRITVIC Ireland has launched an exciting marketing campaign for Robinsons Fruit Shoot, which gives Irish kids the freedom to get stuck in, have a go at new activities and increase their skill-base. The €300,000 integrated campaign, appropriately called ‘Show Us Your Skills, runs for 12 weeks and includes TV & cinema advertising and a media partnership with Nickelodeon, an on-pack promotion, in-store POS, an experiential roadshow, as well as PR and social media. The activity aims to celebrate the enjoyment and the self-expression that children get from learning a new skill. The added bonus is that three lucky Irish kids will get the opportunity to feature in a Fruit Shoot TV advert

which will air on Nickelodeon over the summer, by uploading videos of themselves performing their chosen skill to www.fruitshoot.com/skills. Pictured are Caroline Hyde, Brand Manager for Robinsons Fruit Shoot, with Jack Doyle, David Pyke, and model Ruth Griffin.

New Irish Handmade Pizza Bases DELICIOUS, nutritious and perfect for hungry kids and adults alike, the handmade pizza base range from The Artisan Pizza Company under the new brand of Pizza Da Piero, are now available in handy zip lock bags. The popular pizza business is the creation of Italian baker Piero De Vallier, who has more than 20 years of baking experience. Each pizza base is produced by hand using all-natural ingredients. They undergo a two-day long fermentation process, making them easy to digest, so no bloated tummies! They come in bags of two under the new Pizza da Piero label, with an RRP of €3.99. See www.pizzadapiero.com for more information.

new baby range, dishwasher tablets and pet food in hassle free pouches. The new packaging has a distinctive design developed to reflect Centra’s personality and bright brand essence. For more information see www.facebook.com/centraireland or visit www.Centra.ie.

Brennans Summer Recipes MUM of two TV presenter and Brennans Bread fan Lorraine Keane was in summery mood as she joined celebrity chef Andrew Rudd in launching Brennans Summer Recipes, a collection of simple, creative and delicious recipes using Brennans Wholewheat Brown Bread. Brennans Wholewheat Brown Bread, a staple of many family breakfasts, lunches and picnics, is delicious in its own right, but with a little thought and creativity you can literally make a meal with it! Lorraine’s favourite? The Californian Sambo made with brie, baby leaf lettuce, vine ripened tomatoes, garlic mayo and relish! So how do you like yours? Check online on www.brennansbread.ie for the delicious Summer Wholewheat Recipes by Andrew Rudd.



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

Industry News Robert Roberts Invests €350,000 in New Roaster ROBERT Roberts has just invested €350,000 in a new roaster, which will be housed in its Broomhill Road roasting facility. The new roaster, named ‘Gaynor’ after one of the founding fathers of Robert Roberts (E. Gaynor Goodbody), is the first for the company since 1989 and was sourced from Italian company, Brambatti. It combines the latest, state-ofthe-art roasting technology with

Topaz Tops for Customer Service TOPAZ/SPAR at Musgrave Park, Belfast, was announced as the winner of the prestigious Customer Service Award 2012 at the Topaz annual dealer conference, which was held in Dublin recently. Proud winner Eamon Higgins is pictured with Topaz Brand Ambassador Alan Quinlan, RTE’s Miriam O’Callaghan and Paul Candon, Topaz Director of Marketing and Corporate Affairs. The conference also saw the publication of research, carried out by Behaviour and Attitudes on behalf of Retail Excellence Ireland, which saw Topaz scoring the highest brand awareness among consumers, at 92%. When consumers were asked to rank eight brands on the basis of value for money, customer service, quality and range of product, Topaz came first in all four categories.

Tesco HB Ice Cream Fundays THE annual Tesco HB Hazelbrook Farm Ice Cream Funday parties kicked off recently in aid of Down Syndrome Ireland. Supported by HB Hazelbrook Farm, the parties include free activities for all the family, like face painting, as well as plenty of HB Hazelbrook Farm ice cream. Celebrating its eleventh anniversary this year, the Ice Cream Fundays campaign has to date raised more than €2m for a wide range of supports and services to ensure people with Down Syndrome, young and old, reach their full potential. The funds raised go directly to Down Syndrome Ireland, which provides an array of vital supports to its members. To find out more about the campaign or to host a party, see www.downsyndrome.ie or lo call 1890 373737. Rachel Allen and Katie Connolly are pictured getting ready for the HB Ice Cream Funday Party.

improved efficiencies, resulting in reduced gas consumption. ‘Gaynor’ can roast over 4m bags of coffee annually and will be the only roaster used in the manufacturing of all Robert Roberts fresh coffee blends in the years ahead. Ken Maguire, Production Director, and Garath Scully, Master Coffee Roaster from Robert Roberts, are pictured with ‘Gaynor’, the new Brambatti roaster.

Real Results from Real Nation LEADING youth communications and event management company Real Nation have just completed rebranding as the umbrella group for three units; Real Youth (specialists in youth programmes and campaigns); Real Events (legendary events) and Real Plus (promotional and experiential marketing). Real Nation’s clients include Bord Bia, National Dairy Council, Heineken and many more. Pictured is MD Aidine O’Reilly, who also doubles as the trombone and saxophone player with indie reformist band, The Would Be’s.

Citroën’s Sweet Service for SMEs CITROËN Motors Ireland understands the need for Irish business customers to control their costs, and offers great value servicing packages, with a range of mileage limits available to suit the business needs. According to Sean O’Neill, Fleet Manager, Citroën Motors Ireland, Sweet Cicely is an excellent example of SMEs throughout Ireland who are investing in their vehicle fleets and seeing the benefits, with reduced running costs and representing a strong company image by upgrading the fleet. Siobhan Monaghan, owner, Sweet Cicely, is pictured at the handover of the three new Citroën Berlingo vans at Citroën Motors Ireland head office in Airside Motor Park, Swords.



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

Education & Training

Upskilling Your Employees Places are up for grabs on the Degree in Retail Management Practice which starts in September in Galway and Dublin, and is designed by retailers for retailers.

IBEC Retail Skillnet (IRS) in collaboration with Letterkenny Institute of Technology (LYIT) are currently offering individuals employed in the retail sector an opportunity to enrol on their innovative Degree in Retail Management Practice. The programme (which is 50% funded by IBEC Retail Skillnet) will be delivered in Galway and Dublin in September 2013. This hugely successful Work Based Learning Degree programme is delivered over a three year period – two days per month from September to May (with no class during the busy retail months of December and January – 16 days per year). The programme commenced delivery in Dublin in 2012 with the first cohort of learners having just completed year one in May 2013. The Degree has been designed by retailers for retailers. The design, delivery and content of the programme recognises the fact that participants are currently employed full time in the retail sector and have personal and possibly family commitments, so the programme is flexible and takes these factors into consideration. In addition, because many applicants may not have completed formal education in recent years, the first module on the programme is called Learner Development, and equips learners with basic learning, studying and exam skills. Work-Based Assignments Unlike many traditional degree programmes which rely solely on exams, this programme puts much emphasis on workbased assignments, which should result in

Early booking for the September 2013 course is recommended: last year, there were over 200 applications for just 60 places.

immediate improvements in the workplace. Some of the modules covered over the three years include: Retail IT, Retail Marketing, Customer Care, Legal Issues in Retail, E-Commerce, Strategic Retail Management, HR, Communications, Business Organisation, Selling, Retail Store Design and Financial Management. Learners also receive significant recognition and accreditation for learning achieved in the workplace. Retail employees can avail of the 50% funding provided by IBEC Retail Skillnet, meaning you only pay €1,200 per year (additional discounts available if more than one learner per organisation enrols on the programme). Each module is delivered by highly experienced and qualified lecturers from LYIT, supported by high profile subject matter experts from the retail profession. The course will commence again in September 2013 in Dublin and in Galway. Early booking is recommended if last year is anything to go by, when there were over

200 applications for just 60 places! Detailed Insight “The retail management degree has given me a detailed insight into the everchanging retail sector,” enthused Claire Finnegan, owner of an XL shop and Topaz service station in Roscommon, who is currently completing the Degree in Retail Management Practice in Dublin. “The course so far has proven to be informative and enjoyable and given my experience to date in running my own store, I’m satisfied that the modules are both practical and relevant to the industry as a whole. The lecturers delivering the programme are extremely approachable, very supportive and helpful and the environment is at all times conducive to a positive learning experience.” For more information, contact Theresa on 074 9176853 or email Theresa@ibecretailskillnet.com or visit the website: www.ibecretailskillnet.com.



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

International SPAR Congress

SPAR Celebrates in Killarney The 58th International SPAR Congress took place in Killarney in May, as SPAR Ireland celebrated 50 years of SPAR in Ireland.

SPAR Ireland celebrated the 50th anniversary since the first SPAR store opened in Ireland by hosting the 58th International SPAR Congress in May. Following a number of store visits around Dublin, delegates were transported to the Europe Hotel, overlooking the lakes of Killarney for two days of presentations and discussions. Opening the Congress, Leo Crawford, President, SPAR International, welcomed delegates to Killarney. “Despite the fact that we’ve had the worst recession in living memory in Ireland, I think you can see that SPAR Ireland is working very hard to innovate and protect our

business,” he revealed. Describing SPAR Ireland as a great example of how SPAR International works, he described how the partnership with SPAR International has helped SPAR Ireland to develop a “competitive advantage”. “What is happening in Ireland represents the ethos of what SPAR International is all about,” he said. “We have been able to use the expertise from other countries, from SPAR International and in particular, our use of private label has been a great weapon for us in defending our market position in Ireland.” Crawford outlined the effects of the recession on consumer confi-


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International SPAR Congress Pictured are (l-r): Leo Crawford, President, SPAR International, Dr Gordon Campbell, Managing Director, SPAR International; and Willie O’Byrne, MD of SPAR Ireland.

talk about where our failures have been so we don’t make those mistakes again.”

dence throughout Ireland and across Europe. “Consumer spending, in many countries, is remaining flat or in decline,” he said. “Despite this unfavourable environment, we can reveal outstanding figures for SPAR world retail sales, which grew in 2012 by 2.7% to almost €32 billion, which is a fantastic achievement for our organisation.” See separate panel on SPAR International Results on page 20. Finally, Crawford described the SPAR Congress as a “unique opportunity to share our successes and to

Mastering A New Reality Professor Stéphane Garelli from IMD, Lausanne, Switzerland, provided the keynote address on ‘Mastering a New Reality: a Competitiveness Outlook for 2013 and Beyond’. Having spoken at SPAR’s 2008 Congress, Professor Garelli provided a timely update on his previous presentation, with a fascinating examination of the global economy and where it might go from here. “There is no doubt that the world as we knew it is broken down,” he revealed. “The key issue today is to define what is the new normal.” He discussed the debt in the OECD region, describing it as “disquieting, because we are playing with money as if it had no value.” Companies, he said, are still performing very well. “We are dealing with an incredible pace of innovation,” he said, highlighting the growth of companies like Google, Facebook etc. He provided a whirlwind trip around the world, predicting economic growth rates or lack thereof across Europe, the US, South America, Asia etc. “I think the world economy today is

Professor Stéphane Garelli from IMD, Lausanne, Switzerland, provided the keynote address on ‘Mastering a New Reality: a Competitiveness Outlook for 2013 and Beyond’.

in a very difficult situation and it is going to be some time before we get out of this, at least in Europe,” he warned. Our “debt mountain” will be with us for some time, he noted. He pointed to Europe’s Central Bank as a problem, because it doesn’t operate like, for example, the US Central Bank. The Austerity Conundrum Professor Garelli went on to discuss taxation systems, the banking situation, the legislative environment, and asked “Can austerity work?” After five years of austerity measures, debt has increased everywhere “because GDP has been falling faster than debt, so the ratio has increased”. He predicted that “we are going to revise austerity programmes very

quickly, at least in Europe.” Looking at growing economies, he predicted the “globalisation of national champions… One of the biggest revolutions in the world economy today is the explosion of new brands.” There are now over 1,000 firms from emerging economies with revenues of $1 billion: “We have a reshuffle of the world economy and new names, new brands are the name of the game.” He spoke in detail about different economies, from emerging markets, which are a “first buy economy”, where consumers are purchasing items like mobile phones etc for the first time, compared to an economy of replacement (US, Europe, Japan), where the consumer can stop for a full year without buying non-essential goods and not


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

International SPAR Congress Leo Crawford, SPAR International President, addresses the International SPAR Congress.

Willie O’Byrne, Managing Director of SPAR Ireland.

experience a drop in their standard of living. “In the year 2000, the name of the game was ‘Shop Until You Drop’. Congratulations,” he said, “it’s done.” Professor Garelli described unemployment levels as “unacceptable”. “If we don’t provide jobs for our younger generation, we are going to have a huge problem which is not just economical but social and political,” he said. Looking to the future, he examined population trends across the world, with the growth of an emerging middle class and an emerging ‘less poor’, and the emergence of Africa as an economic force. He discussed global energy usage, where the bulk of energy (75%)will remain fossil fuel-based, with gas the big winner. He pointed to an “energy renaissance” in the US, which will produce more gas than Russia by 2015 and more oil than Saudi Arabia by 2020. The result: the cost of electricity in Germany, for example, will be twice that of the US: “imagine the competitive advantage”. Changing Your Mindset “In business, success is caused more by mental attitude than mental capacity,” he stressed. “The mindset is critical for success. One of the key mindsets now is that we have to accept uncertainties.” He concluded by describing the keys to business success as “the management of efficiency, the management of change, the management of complexity.

We need to have a mindset of imagination that asks ‘Why not?’ rather than ‘why?’. We need a mindset of energy, a mindset of commitment. You have to ground that in a concept of legitimacy: why us?” SPAR Ireland’s Success Following Professor Garelli, Willie O’Byrne, MD of SPAR Ireland, spoke of the passion the SPAR Ireland team bring to their work. He provided a brief history of SPAR in Ireland, which started back on April 2, 1963, when SPAR was launched in Ireland by three wholesale companies, Amalgamated Wholesalers, Munster United Merchants and Looney & Co: “Many years later, these companies would come together to form BWG Foods, the parent company of SPAR in Ireland today.”

O’Byrne described SPAR Ireland’s 50th birthday as a milestone, crowning a period of unprecedented change for the country and the retail industry: “Over the years, SPAR developed a reputation for innovation and we have changed the face of retailing here.” Retail Never Stands Still He noted Ireland’s economic woes, but stressed that “whether the economy is booming or busting, retail never stands still.” Last year saw SPAR Ireland forming a new plan for sustaining the business, having taken on board the opinions of their shoppers. “A strong price and value image was essential. SPAR has been associated with convenience retailing and its pricing reflected these economics and the low price elasticity of this sector in boom times. That price perception was a big negative,” he noted. SPAR Ireland have worked hard to improve this image, through a range of

SPAR International Results 2012 SPAR worldwide retail sales grew to €32 billion in 2012, an increase of 2.8% on the previous year. SPAR now has retail operations in 34 countries and the global partnership encompasses 12,322 stores. SPAR will have retail operations in 36 countries when the first SPAR supermarkets open in Qatar and Lebanon later this year. Speaking at the 58th International SPAR Congress in Killarney, SPAR International Managing Director, Dr Gordon Campbell said SPAR worldwide celebrated the 80th anniversary since its foundation in the Netherlands in 1932 with another year of continued growth.

This is a good result in the context of continued financial crisis in many SPAR countries. SPAR China and SPAR Russia both broke through the €1 billion sales barrier. Austria, by far the largest SPAR country, saw retail sales of €5.560 billion. South Africa’s sales in 2012 were € 4.563 billion, Italy’s were €3.611 billion and the UK’s were €3.149 billion. SPAR Spain’s retail sales of €1.248 billion were up 8.3%, with 170 new stores in Murcia and Catalonia. SPAR Poland opened their 100th store in the autumn and they opened their 115th store before the end of the year.


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International SPAR Congress Delegates at the International SPAR Congress 2013.

Dr Gordon Campbell, Managing Director, SPAR International, introduced the new SPAR International strategy, ‘Growing our Future Together’.

initiatives, including value offers, growing own brand, price matching with multiples etc. However, “sophisticated strategies cannot compensate for failing to do the basics well,” O’Byrne revealed. “In essence, our strategy is to grow the ways in which we are different and not become fixated on narrowing the gap with our competitors.” He described the transformation of SPAR’s wholesale service in Ireland, with the opening of their new National Distribution Centre in Kilcarbery, and another distribution centre at Kilshane Cross. “Next month, we will transform our ordering systems with the roll-out of a cloud based computer solution which will run on PC, tablet and smartphone,” he said. “We strive for best-in-class supply chain solutions and our recent investments and quality focus is paying off. But people buy from people and even as we improve the technology and use more automation, we are working hard to maintain personal relationships with

our retailers. Each one has an account manager, is encouraged to attend regular local cluster meetings and also attends an annual guild meeting, where the plans for the year are revealed and feedback taken.” He explained how SPAR Ireland’s “strong people focus is a balance to the dangers that engineering excellence can dehumanise the business. While you can achieve fantastic efficiencies, you can end up with a colder experience.” Growing Our Future Together Dr Gordon Campbell, Managing Director, SPAR International, followed with an enlight-

ening presentation which introduced the new SPAR International strategy, ‘Growing our Future Together’. Dr Campbell informed delegates that international expansion has been a strategic goal of SPAR International since its establishment in 1953: “We seek to work with local partners who have the vision and capability of providing modern food retailing in their local market and who subscribe to the SPAR retailing principles.” SPAR International will continue to work in developing markets with a key focus on Russia, China and the Middle East to expand the partner network. In each market, SPAR International promotes a multi-format retail strategy of Hypermarket, Supermarket, Neighbourhood store and Convenience stores.

The 58th International SPAR Congress attracted delegates from across the 34 countries in which SPAR operates.


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Exhibition Preview

Strong Support for Trade Event

A wealth of quality exhibitors are already lining up to support the inaugural Food & Hospitality Ireland event, which takes place in September at the RDS. COMPANIES from across Ireland, north and south, have pledged their support to this year’s inaugural Food & Hospitality Ireland trade show, incorporating SHOP. Interest in the show, which is taking place on September 18 and 19 at the Industries Hall in the RDS, Dublin, has been steadily gaining momentum, with floor-space in sought-after locations now at a premium. Generating New Business Food & Hospitality Ireland has already attracted support from former SHOP exhibitors and from new exhibitors, all of whom are hoping to make new contacts and create opportunities for their businesses at the event. “The new look show, comprehensive features - such as the Spotlight Stage - and new show partners have really ignited interested in the first-ever Food & Hospitality Ireland,” explains Caroline McGuinness, Event Manager of Food & Hospitality Ireland. “Past exhibitors who haven’t been at the show in the last few years have returned in 2013 and with a renewed focus on hospitality, reflecting our visitor demographics, we have brought many new exhibitor names on board. “Last year, 91% of visitors who attended SHOP had purchasing authority and over one in two visitors reported finding new suppliers at the show: therefore, the show

has proven credentials in helping exhibitors generate new business.” Phenomenal Results Catering for visitors from the food, retail and hospitality sectors, exhibitors include EPoS solutions provider, CBE – a stalwart of the show – and quality butchery and catering equipment provider, AR Systems. “We had a phenomenal three days at last year’s event that resulted in almost 100% of enquiries being converted into new business,” enthuses Duncan Banks, Managing Director of AR Systems, reflecting on the 2012 show. “People attended the show to do real business. For AR Systems, the audience profile, combined with our solutions, service and price, led to a substantial increase in sales and I’m looking forward to an equally successful show this September.” Explaining what CEB will be promoting at Food & Hospitality Ireland, Seamus McHugh, Marketing Manager, adds: “We will be showcasing our new SaaS product for the retail sector. This new initiative will reduce capital expenditure on new equipment for retailers and allow them to manage

their cash flow more effectively.” New to the event is UK company, Velox Grills, while other exhibitors include Advanced Pneumatic Technology Ltd from Balbriggan, Write The Record recording systems, Alan Nuttall interior fit-out and displays and Lyreco office supplies. Showcasing New Products South Cork and West Cork County Enterprise boards are just two of the Country Enterprise Boards who will be helping local companies to meet new customers at the show, while the Embassy of the Republic of Poland will also be at the event, showcasing a number of Polish food companies. Currency and cash solutions provider, Cummins Allison will be at stand D16 and also attending Food & Hospitality Ireland are Milano coffee systems, DWS, Airlux, Timepoint and AS Gaard, amongst others. Features at Food & Hospitality Ireland include the two-day Spotlight Stage, the Associated Craft Butchers of Ireland’s annual awards and the Restaurants Association of Ireland’s Chefs’ Table feature, which will showcase the very best of local produce.

IF you would like to be a part of Food and Hospitality Ireland, contact Caroline McGuinness by emailing Caroline.Mcguinness@freshmontgomery.co.uk or call 048 90431000. Alternatively, email Victor Dunne at Victor@exhibitionsireland.com or call 01 2888821. See www.foodhospitality.ie or @FHIexhibition for more information.


PACKAGING REGULATIONS are putting your business under

pressure

Repak membership will lighten your load. Any business with a turnover of 1million that places 10 tonnes, or more, of packaging on the market, must comply with the amended packaging regulations 2007 – or face prosecution. Compliance is as easy as joining Repak, from a little over 1per day. Repak is the most effective compliance option chosen by over 2300 companies. Over 50 companies have already been prosecuted and, with over 2,000 inspections a year, your business could be next. Why risk heavy fines and even prison? Find out more about your company’s obligations under the amended packaging regulations - and how Repak membership can help – by visiting repak.ie or call 01 – 4670190.

- FUNDING PACKAGING RECYCLING


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Waste Management

Repak:

Debunking the Myths In order to comply with Irish packaging regulations, you need to either self-comply or join a packaging compliance scheme like Repak. We debunk some of the myths surrounding this thorny issue.

The rules for packaging compliance are set out in the Irish Waste Management Packaging Regulations 2007 and are governed by two variables – the turnover of the company and the amount of packaging they supply on the goods they sell to their customers. THE Irish Waste Management Packaging Regulations (2007) are complex and as a result there are many myths about packaging recycling compliance and the role of Repak. We have collated many of the common myths to try to help retailers to understand the scheme better and to determine if they are legally obligated and how the Repak funds are utilised. I recycle all the waste on my premises so I don’t need to pay Repak. False: Recycling the packaging that terminates on your premises or back door waste is a requirement of the Packaging Regulations. However, membership of Repak is about meeting your separate obligation to help fund the recycling of packaging that your customers take home on products you sell to them. This is called producer responsibility. If I join Repak, they will recycle my waste. No: Repak is a packaging recycling compliance scheme and does not collect or recycle anything itself. Rather, it helps fund packaging recovery/recycling on behalf of participating companies. Repak collects

funds from companies who by law have an obligation to pay towards the recovery of the packaging they supply. Repak then uses these monies to fund packaging recycling collections for used packaging, covering household recycling bins (green bins), recycling centres and bring banks, as well as subsidising commercial recycling collections. Recycling is free. No: Recycling is costly and the income from selling these materials is positive, but this amount varies wildly and does not cover the cost of the collecting and sorting process necessary to market materials. Compliance is only for very large companies. The rules for packaging compliance are set out in the Irish Waste Management Packaging Regulations 2007 and are governed by two variables – the turnover of the company and the amount of packaging they supply on the goods they sell to their customers. These are known as the ‘De Minimis’ or threshold, after which a company is obligated. The threshold in the regulations is a turnover of over €1m and supplying over 10 tonnes of packaging on the goods you sell or supply your customers.


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Waste Management Over 80% of the annual fees paid to Repak go directly to fund packaging recycling collections, including green bins, bottle banks, recycling centres and collections from businesses.

There is no alternative to Repak. False: Under Packaging Regulations, if a business exceeds the above mentioned threshold, also known as ‘De Minimis’, then they have two options, either Self Comply (take back packaging themselves) or alternatively join a collective recycling scheme called Repak. Currently, Repak is the preferred option of the majority of compliant companies, with nearly 2,200 businesses choosing Repak versus 140 companies who have chosen to correctly register as self-compliant. Repak is expensive, and a high cost scheme. False: Repak is the preferred route of compliance versus Self Compliance for the majority of companies in Ireland for cost reasons. Repak’s minimum fee is just over €400 (excluding VAT), with 55% of Repak members paying less than €1,000, and 75% paying less than €3,000 per annum for their compliance. Repak costs, when benchmarked against comparative schemes in Europe, ranks in the lower quarter of schemes.

It’s not my packaging: therefore, I don’t need to join Repak. False: The Regulations are in effect a packaging tax and operate on a shared responsibility model, with all businesses in the packaging supply chain being obligated if they met the ‘de miminis’. But under Repak, the local brand holder or importer pays the most, while those selling others brands pay a lesser amount. In the Repak scheme, companies pay proportionally, based on the amount and type of packaging that they produce, making it as equitable as possible and ensuring that those who do not make packaging decisions pay substantially less. Where does the money go that is paid into Repak? Over 80% of the annual fees paid to Repak go directly to fund packaging recycling collections, including green bins, bottle banks, recycling centres and collections from businesses. The remaining amount, excluding overheads, is used to help promote packaging recycling education programmes and packaging prevention programmes to reduce the amount of packaging on the market in the first place. Educational programmes

undertaken by Repak have been critical to the success in helping to drive Ireland’s packaging recycling rates from under 15% in 1998 to almost 72% (according to the latest EPA figures) over the last 16 years. What has Repak achieved with its funding? Repak has helped Ireland achieve its EU packaging recovery targets for 2005 and 2011, as well as: •Diverting over 7m tonnes of used packaging from landfill; •Contributing €250m to support packaging recycling over the last 16 years. Repak also promotes packaging reduction and helps organisations to reduce the packaging they produce through its ‘Prevent and Save Programme’, as well as running awareness programmes throughout the year, such as Repak Recycling Week, Repak Green Christmas and Repak Easter Recycling appeal, encouraging people to recycle more and recycle better. Self compliance only means registering with the local authority. Self compliance is the alternative to joining Repak, but it is

complex, can be costly and is the less preferred route for most companies. Registration with the respective local authority, is a minimum fee of €500, rising up to €15,000 per premises, but this is only one of a number of obligations. Businesses are also required to accept back used packaging supplied on the goods they sold or packaging of a similar material, not only from customers but from the general public. This means that stores need to have staff trained on collecting, storing and recording used packaging on-site, whilst managing waste contractors and ensuring they have dedicated additional space to hold returned packaging. This can have implications for Hazard Analysis & Critical Control Point (HACCP) procedures. Businesses must also put up signs notifying the public that used packaging will be accepted back, submit quarterly packaging returns to their respective local authority and advertise this fact twice a year. Freeriders never get caught. False: Since the introduction of the Regulations, there have been over 60 businesses prosecuted for non-compliance. The fines, which can be on average €15,000 per business, excluding court costs, are generally multiples of the Repak annual membership fee. In addition to these costs, law breaking companies also face the negative publicity generated through court reports and local media. Repak is happy to assist in any queries companies have regarding compliance with the packaging regulations and offers free advice to any potentially obligated company. To check out your compliance obligations, call Repak on 01 4670190 and ask for the Repak sales department.


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Retail Ireland Conference

Facing the Future with Confidence Minster for Jobs, Enterprise and Innovation, Richard Bruton TD addresses delegates at the Retail Ireland Annual Conference. Pictured at the Retail Ireland Conference in the Aviva Stadium are (l-r): Dr Maureen Gaffney, Psychologist; Margaret E. Ward, Conference Chair; and Sean Carlin, IBEC Retail Skillnet Manager.

had stabilised and was now poised for growth. The fundamentals are in place, he argued, but confidence has not yet returned to the economy. 85% of austerity has been delivered, O’Brien argued, and the Government now has choices. They can choose to support growth, he said, accruing more tax revenue through a growing economy rather than raising taxes. We have to “let the confidence genie out of the bottle, without tax increases,” he argued.

The inaugural Retail Ireland Annual Conference was a resounding success, with cautious optimism very much the order of the day. ‘INSPIRING The Consumer’ was the title of the inaugural Retail Ireland Annual Conference, held at the Aviva Stadium, Dublin, on May 23. Chaired by journalist and broadcaster Margaret E. Ward, the half day event featured a wide range of speakers, including Tonio Borg, EU Commissioner for Health & Consumers; Minister for Jobs, Enterprise & Innovation, Richard Bruton TD; and Danny McCoy, IBEC CEO. Welcoming delegates to the half-day event, Retail Ireland Director, Stephen Lynam called for action on rents, rates and energy costs, noting how “these are tough times to be a retailer, but great times to be your representative”. Sean Carlin, IBEC Retail Skillnet Manager, sponsor, and Gretta Nash Cadden from Brown Thomas, provided an enlightening presentation on how training can help employees to see

their role as a having a career in retail as opposed to simply a job in a shop. Poised For Growth IBEC’s head of economics and taxation, Fergal O’Brien, then provided an insightful and hopeful talk, where he noted how following an extremely traumatic period, Ireland’s economy

Flourishing Under Fire Keynote speaker, psychologist Maureen Gaffney, gave an entertaining presentation on ‘Flourishing Under Fire’, advising on how individuals and business teams can be at their best. She outlined the importance of first impressions and how hard it is to change them, while also offering practical advice on how we can become more optimistic in our outlook, which brings very real benefits to business performance. Mark Nolan, MD, Amárach Research, concluded the first session by focusing on ‘Future Trends’, particu-


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Retail Ireland Conference Tonio Borg, EU Commissioner for Health & Consumers, is pictured (centre) with Retail Ireland Director, Stephen Lynam (left) and Chairman, Frank Gleeson (right).

IBEC CEO Danny McCoy argued that we have elongated our recession by “keeping down with the Joneses”.

larly with reference to online shopping. This coincided with the publication on the day of Retail Ireland’s online retailing survey, which showed that two thirds of retailers were preparing to improve their online offering to consumers. Nolan spoke of the need to see shoppers as people as opposed to simply statistics, and warned that “shoppers are not sympathetic to your plight” and you have no right to expect them to be. He described the growth of ‘showrooming’, whereby consumers test out products in-store before buying them on-line. There has been no recession in digital shopping, he warned, which continues to cannibalise other retail sectors. Irish shoppers spent €3.6 billion online in 2012, a figure which is expected to rise to €5.7 billion by 2016. “Online shopping is not a

threat,” he argued. “It is a call to action.” Call To Arms The second session began with a call to arms from IBEC CEO Danny McCoy, who argued that there is real potential for 5-6% growth in Ireland in money terms, but that we have elongated our recession by “keeping down with the Joneses”. We need to change the narrative, he argued, loosening the grip of price deflation and moving to an inflationary mindset. He also used his presentation to argue against the introduction of a legislative Code of Practice for the retail sector, arguing that the forthcoming voluntary EU Code of Practice would more than suffice. Minster for Jobs, Enterprise and Innovation, Richard Bruton TD, began his presentation by extolling the benefits EU membership

has brought for Ireland in terms of raising standards, fostering enterprise and innovation. He described Ireland as in many ways a poster boy of having faced up to our economic problems. The challenge, he pointed out, is to move away from an economy built on debt and the construction sector and towards innovation and exports. He noted how the Government are “making real progress” on this, from renegotiating with the Troika to reforming wage setting mechanisms and introducing a €72 per week subsidy for employers to take people off the Dole, expressing his confidence in the route and reforms the Government is taking. “We are seeking to create an environment in which innovation can thrive,” the Minister stressed. Maintaining Consumer Trust The main address from European Commissioner for Health and Consumers, Tonio Borg, saw the Maltese Commissioner admitting that he came from a family of shopkeepers and thus had an affinity with the retail sector. He defined an inspired consumer as “someone who feels what they buy is safe, legitimate, high quality and sustainably produced, someone who takes full advantage of the single market,

thus contributing to the economy.” In a fascinating presentation, Commissioner Borg stressed the importance of consumer trust, citing the recent horsemeat controversy as evidence of the effects of losing that consumer trust: sales of frozen beef burgers are down by 40% in the UK and Ireland, he noted. New EU rules will, however, minimise risks and help to find fraud. When it comes to fraud, the penalty has to be proportionate to the illicit gain made, he argued. While calling for the harmonisation of rules across the EU, Commissioner Borg urged lawmakers not to throw legislation at micro problems. Retail Round-Table A Retailer Round-table followed, where the panel of Lulu O’Sullivan, Chief Executive of giftsdirect.com, Keith Harford, retail consultant from RTE television’s ‘Retail Therapy’, and Edel Clancy, Director of Communications and Corporate Affairs for the Musgrave Group, discussed a range of issues relevant to the sector. Edel Clancy, in particular, stressed that the importance of retailers grabbing the innovation agenda, providing customers with every retail channel they are looking for. Staying Motivated Finally, Retail Ireland Chairman and Topaz Retail Director, Frank Gleeson, ended proceedings by noting the challenges faced by retailers in recent years, with the retail sector shedding 25% of its turnover and in the region of 50,000 jobs. He talked about the ‘human capital agenda’, the importance of investing in people, and called for sensible regulation of the retail sector, noting how the proposed Irish Code of Practice “does not benefit the consumer, retailer or supplier”. There is, he insisted, a bright future for retail in Ireland, providing we stay positive and motivated.


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

Irish Grocers Benevolent Fund

Helping Those in Need…

Michelle Thornton, Denise Bolger and Ciara Halpin, from Hotel Solutions are pictured at the 2012 IGBF Annual Ball: this year’s event takes place in the Shelbourne Hotel, Dublin, on October 19.

IGBF President of Appeals, Leonard Hegarty reveals why the work of the Fund is more important than ever, and why the IGBF Christmas Lunch is the social highlight of the year. “THE work of the Irish Grocers Benevolent Fund is more important now than ever.” Such is the message from Leonard Hegarty, current IGBF President of Appeals and General Manager at G&M Industrial Cleaning Products and Textile Recycling Limited. A former Head of Corporate Purchasing at Tesco, Leonard acknowledges that “It was a great honour to be asked to be President of Appeals. You’re following in a long line of high profile figures in the grocery trade.” The main roles of the President of Appeals, according to Leonard, are “to build awareness of the Fund, to let people within the trade know that the Fund is there and what we do: then, the most important thing is to try to raise as much funding as possible.” Countrywide Events He is quick to highlight the great work being done by the IGBF’s regional committees, who regularly run events right across the country to raise funds for this most worthy cause. Leonard himself is heavily involved in the Fund’s three

national events: the IGBF Golf Outing, which ran in May, raising almost €50,000 for the Fund; the IGBF Annual Ball, which takes place in the Shelbourne Hotel, Dublin, on October 19, and has sold out; and the IGBF Annual Christmas Lunch on Friday, December 6, which for many in the trade is the social highlight of the year. “The first Friday of December sees the Grocers’ Lunch taking place in the Dublin’s Burlington Hotel. It’s a really great day,” enthuses Leonard. “Everybody really lets their hair down. Last year we had more than 1,200 people there and we’re looking for similar numbers this year.” Other regional events of note include the North East Golf Outing in Ballymacscanlon Golf Club on August 28, the North West Golf Outing in Westport Golf Club on September 2, and the Stonehouse Golf Outing in the Heritage Golf Club on September 25 (see www.igbf.ie for more details). “As President of Appeals, my job is to tap into the major multinational, blue chip companies, both suppliers are retailers,” he notes, while the President of Appeals also travels to


Retail News|June 2013|www.retailnews.ie|29

Irish Grocers Benevolent Fund regional fundraising events to lend support and build awareness. History of the IGBF The Irish Grocers Benevolent Fund was founded in 1981 to provide financial relief for persons in need who have been involved in the food and beverage trades, including retail grocers, wholesalers, manufacturers and general suppliers to the industry. During the past two decades, enormous work has been done to relieve hardship amongst members who have fallen on difficult times because of ill health, death in the family or unemployment. The Fund continues in its efforts to reach more people in need. “We currently have 278 families nationwide who are being supported by the Fund, right across the country,” Leonard reveals. “In 2012, we

gave out €685,000 in grants. All these grants are given on a confidential basis, and can be anything from helping to cover funeral expenses to providing support for a family whose shop has gone out of business or even educational grants. It can take the form of a once-off payment or ongoing support.” Incredible Generosity 99.9% of the work done by the Fund is carried out on a voluntary basis. The biggest challenge facing the IGBF is raising money, given the current economic climate. “It is getting harder and harder to get support for events, as suppliers’ budgets are being stretched,” he acknowledges. “It’s all about picking up the phone and asking people and companies for their support: a quiet priest never got a parish,” Leonard laughs. “You have to

knock on doors and make the phone-calls. The generosity of Irish companies and Irish people is amazing. “The key is not to lose sight of what the Fund is all about. These days, people realise that they might be availing of the Fund themselves in a few months. It can affect anyone.” Last Port of Call How important is it to have a fund like the IGBF, which is run by the grocery trade, for the grocery trade? “The Fund is the last port of call for most of the people who avail of it. A lot of them were self-employed and have no entitlement to social welfare payments or the Dole. If someone is running a shop on their own for the last 20 years, they qualify for nothing in terms of social welfare. So the Fund is more important now than it ever was.” He concludes with advice for

anyone who knows somebody from the grocery trade who may need help from the IGBF: “If anyone is aware of somebody who could benefit from help from the Fund, they can contact myself, the national committee or regional committee and they will be dealt with in a very confidential and understanding manner.”

Leonard Hegarty, current IGBF President of Appeals and General Manager at G&M Industrial Cleaning Products and Textile Recycling Limited.

To contact the Irish Grocers Benevolent Fund, visit www.igbf.ie, email info@igbf.ie or phone, (01) 4566619.

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Retail News|June 2013|www.retailnews.ie|31

Snack Foods

New KP Nacho’s Launch in Ireland

KP Nacho’s are available in 175g sharing bags in three great flavours: Queso Cheese, Lightly Salted and Picante Chilli.

Adrian O’Boyle, Marketing Manager, KP Snacks, talks us through the launch of new KP Nacho’s, which have been developed for the Irish market. KP Nacho’s is a brand new range of Tortilla chips inspired by the legend of a Mexican Restaurateur affectionately known as ‘Nacho’. Finding his kitchen bare for some late evening customers, Nacho created an impromptu dish of tortilla chips topped with melted cheese (Queso) and chillies. Based on this legend, KP has developed a range of delicious Tortilla chips. Nacho’s are available in three great flavours: Queso Cheese, Lightly Salted and Picante Chilli. Nacho’s come in 175g sharing bags, perfect to tap into the growth of adult sharing in the category. “KP have been delighting Irish consumers with their products for over 30 years,” notes Adrian O’Boyle, Marketing Manager,

KP Snacks. “Over the past few years, we have seen a shift in the market to sharing formats, with the segment now representing 20% of total crisps and snacks. KP have responded with a sharing offering on some of our favourite brands and now we see a gap in the Tortilla market for a fresh new brand, offering great quality and flavour. Utilising our expertise in product development, Nacho’s have been created to fulfil this gap.” Sharing Formats According to Adrian, the crisps and snacks market in Ireland continues to perform strongly. “Sharing formats in particular are a key growth area, out-performing both total crisps and snacks and also the total grocery market,” he notes. “The market is very competitive and driven by NPD and promotional activity.” So what are KP’s hopes for the Nacho’s brand in Ireland? “We sold our first Nacho’s at the end of May and have been delighted by the performance to date,” Adrian says. “Nacho’s have received a great response from the trade and consumers alike. In this context, we are confident Nacho’s will become a real consumer favourite.”

The Dine In Market The Marketing Manager feels that Nacho’s will fit into consumer desire for quality products at the right price. “It is well documented that Irish consumers have been under financial pressure over the last few years, with less and less disposable income,” he admits. “This looks set to continue over the coming year. Consumers will continue to seek value and brand owners will need to demonstrate value for money, with quality products at affordable prices. “Staying in is definitely the new going out. We see multiples, in particular, tapping into this growing occasion with ‘Dine In’ and ‘Night In’ offers. The onus is also on brands to adapt and deliver consumers innovative offerings to allow them reward themselves and experience the social aspect of going out, but within the home.” Quality & Great Flavours He expects KP Nacho’s to perform very well in Ireland, having been developed specifically for the Irish market: “Irish consumers love Tortillas, consuming over €13m worth annually. KP Nacho’s provide consumers with the quality that KP are known for, together with great flavours.” The launch of Nacho’s is being supported with an in-store marketing and promotional campaign, support by PR and social media. This will be followed up by an integrated marketing campaign later in the year.


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

Stonehouse Annual Conference

RESILIENT STO Holds Its Own The recent Stonehouse Annual Conference took place in Fota Island Resort, Co. Cork, with CEO Tom Shipsey providing a defiant voice for the sector. “STONEHOUSE, its suppliers and customers need to drive back up margin while remaining competitive,” was the rallying cry from Tom Shipsey, Stonehouse CEO, at the Stonehouse Annual Conference, held recently at Fota Island Resort in Cork. 2012 was by no means a good year for grocery or foodservice, admitted Shipsey, “unless you were a German discounter”. Stonehouse sales were down in 2011, but the good news is that they performed in line with the overall sector, Shipsey stressed. “2013 has started again slowly,” he continued. “Neither the economy nor the weather has for the first five months of the year helped consumer confidence. Nor has retail or foodservice confidence helped. Driving around Dublin and the country, I am dismayed by the number of store, hotel and pub closures I see.” The Big Question The big question for Stonehouse members now, he said, is not ‘Am I getting the best deals?’ because this question will always be relevant, but ‘Where am I going to find new customers,

as the market continues to shrink at a very fast pace?’ The CEO acknowledged that suppliers too are under tremendous pressure, with a huge decline in margin and profitability in recent years. “We are in a vicious race to the bottom,” he warned, before offering some advice for how the sector can get back on track: “Suppliers need to support us to again grow what is profitable and look to those lines that will grow our cash margin.” Stonehouse Leads the Field Some better news came with the results of the Advantage Group’s benchmarking exercise, which saw Stonehouse rated against its competitor base. Shipsey was delighted with the fact that the Stonehouse Central Office was rated first out of the Cash & Carry Head/ Central Offices in personnel/ organisation, first in executing promotions as committed, and Stonehouse was deemed first among its peers in companies with which to do business. “Stonehouse continues to fight to maintain share of a decreasing cake, and we are doing it well,” Shipsey stressed. “We have met ad-

Tom Shipsey, Stonehouse CEO, addresses the audience at the Stonehouse Gold Standard Awards.

versity in the past. This one is going to last a bit longer but I am encouraged by the attitude of members to get on with it.” He cited the example of Tuffy’s of Ballina, whose Cash & Carry business was destroyed by fire at the end of March. Undeterred, Padraic and Maureen Tuffy have continued to serve their customers, with stock from Clonlara, and will be

back in operation within weeks. Confidence For The Future 2013 is going to be another tough year, according to the CEO. “I would love to be more upbeat on when we will see improvements but it would be disingenuous to throw out false confidence on the economy,” he concluded. “What I can say with


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Stonehouse Annual Conference

STONEHOUSE

Padraic Prunty, McCarrick Brothers Ltd, is pictured receiving the White Hat Sales and Support Award 2013 from Brian Elliott, White Hat Brand Manager, and Paddy Shortall, Chairman of Stonehouse Marketing Ltd. Peter Duffy, Valeo Foods, is pictured accepting the Stonehouse Supplier of the Year 2013 Award from Paddy Shortall, Chairman of Stonehouse Marketing Ltd.

confidence is that I see before me members who are determined to ride out this recession, members who are out there taking business from our competitors, members who are getting into products not stocked before and members who don’t give up. That gives me confidence in the future and I and my team in Central Office will work hard with our members as they drive to survive.” Award Winners The Conference also saw the presentation of the Stonehouse Gold Standard Awards (see panel) and the Supplier of the Year Awards, where Valeo Foods won the Promotion of the Year Award for Jacob’s Gang Packs, which were price flashed at €2; and Mars Ireland lifted the Product of the Year Award for the new Maltesers Teaser Bar. Other winners included John McBride Cranford Ltd, who won the Homestead Sales & Support Award, and McCarrick Brothers Ltd, who took home the White Hat Sales & Support Award.

Michael McBride from John McBride Cranford Ltd accepts the Homestead Sales and Support Award 2013 from Janice Gibney, Homestead Brand Manager, and Paddy Shortall, Chairman of Stonehouse Marketing Ltd.

Stonehouse Gold Standard Award Winners • 4 Aces Wholesale Ltd, Portlaoise, Co. Laois.

• Sean Glennon & Sons Ltd, Birr, Co. Offaly.

• Barry Group, Mallow, Co. Cork.

• MJ Hanley Ltd, Athlone, Co. Westmeath.

• Better Deal (Navan) Ltd, Navan, Co. Meath.

• JA Lumley & Son Ltd, Tullamore, Co. Offaly.

• Better Deal Cash & Carry, Clonmel, Co. Tipperary.

• McCarrick Brothers Ltd, Longford.

• JR Byrne & Sons Ltd.

• H.Murphy & Co. Ltd, Arklow, Co. Wicklow.

• George Cooke & Co. Ltd.

• H.Murphy & Co. Ltd, New Ross, Co. Wexford.

• Cox’s Cash & Carry Ltd, Newbridge, Co. Kildare.

• M&P O’Sullivan Ltd, Cork.

• Fegan’s Food Service, Finglas, Dublin 11.

• Sheehan’s Cash & Carry Ltd, Wexford.


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

Pet Care

A Retailer’s Best Friends

The pet care sector continues to perform strongly, as Irish consumers spend liberally on their four-legged friends. WE all know that Ireland is a nation of pet lovers, but now we have the proof. The pet care sector is one of the few categories in-store that has pretty much bucked the recessionary trend, as Irish consumers continue to spend on their pets. Despite the downturn and high unemployment rates, Irish pet owners sustained volume sales for premium dog and cat food in the face of strong price pressure from manufacturers and private label, according to the latest report into the sector from Euromonitor. However, after years of discounting, value sales of pet care have declined as Irish consumers had increased trouble remaining optimistic about the future and justifying high expenditure on their pets.

Innovation amongst manufacturers continues to be dominated by unit price considerations, Euromonitor maintain. Bulk purchase deals, larger pack sizes and price promotions have all reigned supreme as leading branded players fought off increasingly fierce competition from private label manufacturers and cheaper branded offerings. As the green shoots of recovery start to show, however, we can expect Irish pet owners to continue splashing out on their four-legged friends, as evidenced by the growth of the pet treats sector, which adds ancillary spend to the overall category.

Brandy

Brandy, from Mackle Petfoods, was successfully re-launched



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

Pet Care

The Brandy range includes six-packs in a variety of flavours and formats, including Traditional Loaf, Brandy Variety Chunks in Jelly and Brandy Variety Chunks in Gravy.

in 2012 and has shown excellent growth during the past year, with the brand continuing to maintain its position as the number one Irish made dog food brand and the second largest branded dog food in the Irish market. Brandy has a strong local heritage dating back to 1972. Brandy is made using only 100% Irish meat sourced from across the island of Ireland. The use of 100% Irish meat is unique to the brand. Brandy is

Brandy, from Mackle Petfoods, was successfully re-launched in 2012 and has shown excellent growth during the past year.

and dog lovers alike the opportualso fully traceable from farm to nity to engage with the brand and can. Irish consumers are concerned also to enjoy some doggy facts and about the provenance and quality of features. the product they feed their dogs and Brandy will also be running a they have really embraced the fact quirky dog birththat Brandy uses only day card app, 100% Irish meat and whereby conhas full traceability. sumers can send Dog owners their dog a birthview their day card! Brandy dog as a will also be key memgiving dog owners ber of the the chance to win family so various prizes by they want posting funny famto feed them ily dog clips which the best. will feature on our Shoppers are new Brandy You also looking Tube channel. The for value and best clips will win Brandy offers a monthly prize, customers high while they will also quality products at a be featuring ongovalue price. ing interesting and A new departure for factual dog posts. Brandy was the introduction of two new chunk six-packs, Brandy Variety Mars Petcare Chunks in Jelly and The Dog Care & Brandy Variety Chunks Treats market is in Gravy, to complement worth €14.355m its loaf product range. and growing at In September, Brandy 1.3% MAT (all six-packs will feature an figures sourced exciting on-pack competifrom Nielsen, tion, not to be missed by MAT, April 21, customers. 2013). Pedigree As part of its reclaims a maslaunch, sive 60% share Brandy also Brands like Pedigree Dentastix, of the market and introduced two together with innovative camis growing ahead new promopaigns such as Dental Care Month of the market at tional variety and the Pedigree Adoption Drive, 3.1%. three-packs, represent a significant opportunity The Dog Care for retailers to capitalise on the Brandy Vaand Treats cathigh margin treats segment. riety Tradiegory is a great tional Loaf source of incremenand Brandy tal sales growth, as this is one of Variety Chunks in the fastest growing sub-categories Jelly, both price within pet care. Innovative cammarked at €2, offering paigns such as Dental Care Month the customer value for and the Pedigree Adoption Drive money and the retailer represent a significant opportunity strong margin. Both for retailers to capitalise on this packs have performed high margin segment. Pedigree exceptionally well has the leading brands within the since their introduccategory, with Jumbone, Rodeo & tion and have proven Schmackos, as well as functional to be key selling lines, treats such as Pedigree Dentastix. particularly for the Occasions such as Christmas, convenience sector, Valentine’s and Easter are key due to their keen €2 times of the year for potential giftvalue price point. ing and an uplift in sales is driven In June, Brandy by pet owners buying treats as preswill unveil an exciting new ents for their pets. They represent a Facebook campaign. This will enable Brandy customers, dog owners key opportunity to expand the cat-


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

Pet Care

Cat treats like Dreamies are an incremental purchase for all cat owners and can help retailers to grow their pet care business.

egory beyond pet owners and to target non-pet owners purchasing gifts for the pets of family and friends. The Cat Care and Treats market is worth €2.275m and the category is experiencing significant growth of 20.4%, MAT with Whiskas and Dreamies having 83.5% share of the market.

The Pet Set NEW product development is key to success in pet care and the leading players engage in significant R&D so they can freshen up the market with regular new product launches, particularly those with health benefits for pets. New launches tend to focus on offering a wider variety to consumers and greater specialisation, in line with the anthropomorphisation trend, which is also true in private label. Market segments like dry food, treats and single serve pouches have proved particularly popular. Indeed, dog and cat treats are adding incremental sales growth to the category, as they are growing well ahead of the market, and represent a big opportunity for retailers to grow their pet care business.

Cat treats, including Dreamies and Temptations, are an incremental purchase for all cat owners as they are served as well as main meal products like pouch and dry food, representing a significant opportunity for retailers to grow their pet care business. Butcher’s is a complete pet food for dogs: no artificial colourings, flavourings or preservatives ensure natural nutrition, while the fresh meat Strong brand support ensures it tastes great. throughout 2013 is dedithem both fit and healthy. No artificial cated to driving consumer penetration colourings, flavourings or preservatives further through PR, TV, in-store and ensure natural nutrition for the dog. digital advertising. Mars Petcare have Plus, the fresh meat ensures it tastes also invested significantly in brand great. placement and positioning through Butcher’s is the only main brand of a nationwide sampling campaign wet dog food that doesn’t contain any designed to reach 125,000 consumers cereal, soya or gluten, which ensures directly at events and an additional tasty meaty goodness for dogs. The 225,000 through sampling with the Butcher’s range consists of wet and dry Sunday World. treats, offering a complete solution for Key to driving sales for retaildogs. ers will be highlighting the product Also part of the Butcher’s range is offering in-store and Mars Petcare Classic Cat, which was specially dehas a number of options to assist, veloped and enriched to contain all the including pre-packed display units vitamins and minerals a cat needs to and clip-strips. Care & Treats remains keep them healthy, fit and active. It’s an impulse category and interrupting nutritionally balanced and complete the shopper on their path to purchase so purchasers do not need to suppleis critical to delivering growth. A full ment the food with any extras. It’s also range of tailored POS, featuring the gluten-free and fortified with taurine dogs and cats from the various camwhich is essential for cat’s heart health paigns, is available to retailers to drive and vision. There are nine different awareness and engagement in-store. flavours within meat and fish varieties.

Butcher’s

The Butcher’s brand celebrated its 25th birthday in 2012, showing the heritage Butcher’s has developed over the years, as well as the strength of the core natural nutrition values that lie at the heart of the brand. Butcher’s is a complete pet food for dogs. The unique recipes ensure that dogs have Classic Cat was specially developed and enriched to contain all the vitamins and minerals a cat needs to keep them healthy, fit and all the essential nutrients to keep active.


38|Retail News|June 2013|www.retailnews.ie

Retail Ireland: Monthly Update Retail Ireland Inaugural Conference RETAIL Ireland’s first annual conference took place in the Aviva Stadium, Dublin on Thursday, May 23. The event was held in partnership with IBEC Retail Skillnet, Ireland’s leading body for retail education and training. Chaired by journalist and broadcaster Margaret E. Ward, the half day event brought together retailers, industry experts, stakeholders and everyone with an interest in our sector, with an impressive range of speakers. The keynote speaker was Tonio Borg, EU Commissioner for Health and Consumer Affairs, who spoke of efforts in Brussels on the consumer agenda as well as on issues like food labelling and the recent horsemeat scandal. Other speakers included Minister for Jobs, Enterprise and Innovation, Richard Bruton TD, Pictured at the inaugural Retail and Danny McCoy, IBEC CEO, who spoke on IBEC’s continuing push to drive Ireland’s domestic Ireland Conference are (l-r): Stephen Lynam, Retail Ireland economy and what Government and others can do Director; Conference Chair, to instill consumer confidence. Margaret E. Ward; and IBEC The most popular speaker of the morning was Retail Skillnet Manager, Sean Dr Maureen Gaffney, the psychologist who works Carlin. with companies on areas including leadership, emotional intelligence, and management of change and transition. She spoke about flourishing in a business context. Mark Nolan, MD, Amárach Research presented on ‘The Digital Consumer’ and the continued development of online retailing. This coincided with the publication on the day of Retail Ireland’s online retailing survey, which showed that two thirds of retailers were preparing to improve their online offering to consumers. The day ended with our retailer roundtable, which allowed delegates to discuss the issues raised during the morning’s presentations and debate what the future may hold. This session saw contributions from Lulu O’Sullivan, Chief Executive of giftsdirect.com, Keith Harford, retail consultant from RTE television’s ‘Retail Therapy’, and Edel Clancy, Director of Communications and Corporate Affairs for the Musgrave Group.

Action Needed on Retail Following Sales Drop! CSO figures published for retail sales in April showed the second consecutive annual fall and pointed to the serious need for a set of actions to help the domestic economy. The value of sales, excluding motor trades and bars, fell by 0.8% in April compared with the same month last year. “These figures are very worrying,” said Retail Ireland Director, Stephen Lynam. “We are now seeing a reversal of the trend in overall sales growth that we saw late last year and earlier this year.” Retail must be put on a sustainable path to recovery, Lynam argued: “The imminent establishment of the inter-departmental group on retail, announced as part of the Action Plan for Jobs, must come up with proposals to stimulate the domestic economy and tackle issues like high retailer costs. “The number one priority for the Government from now until Budget season must be to give consumers hope and a reason to start spending,” he concluded. “Until that happens, the domestic economy cannot hope to see growth.”

Retailers Play Their Part in Reducing Salt Intake RETAIL Ireland attended the recent Food Safety Authority of Ireland (FSAI) Salt Reduction Seminar, which heard of the great work that retailers have carried out in helping Irish consumers to reduce the amount of salt in their diet. Since 2003, the FSAI has coordinated a salt reduction programme, working in partnership with the food industry, Food and Drink Industry Ireland (FDII), Retail Ireland, various State bodies and organisations to achieve voluntary, gradual and sustained reductions in the salt content of processed foods. Since efforts to reduce salt in processed foods began in 2003, the average daily salt intake in adults has decreased by 1.1g.

However, the FSAI stated that while levels of salt have dropped in processed foods, the average dietary salt intakes in Irish adults continue to exceed the recommended daily intake of 6g salt per day. Addition of salt by consumers at the table and during cooking can represent up to 30% of total salt intake. The FSAI reiterated its call on consumers to select low salt or salt free options when choosing products and to cut back on the discretionary salt added during cooking and at the table. Retailers and Retail Ireland will continue to play their part in encouraging healthy choices.

Tel: 01-6051558 www.retailireland.ie



40|Retail News|June 2013|www.retailnews.ie

Keep It Irish

GUARANTEED IRISH: GUARANTEED QUALITY

At the launch of analysis by Amárach Research on the economic impact of Guaranteed Irish products and services on the economy were: Isabel Singh, Sophie McDonough, Cameron Singh, and Lucy McDonough.

The work of Guaranteed Irish is more relevant than ever in today’s climate. “GUARANTEED Irish is now more relevant than ever.” Such is the message from Elizabeth Hunt, Marketing Manager. “People have become very engaged in the jobs debate and, especially in the current market, they are concerned about saving jobs in Ireland.” According to Elizabeth, we all need to do our bit to help the economy: “People are very conscious that if they buy Irish, buy local, they are keeping jobs in the community and the ripple effect is helping the overall economy. Let’s face it, nobody has been unaffected by the downturn in

the economy, but the emphasis has to be on supporting jobs in Ireland. Consumers are making that deliberate choice to buy Irish.” As an organisation, Guaranteed Irish has never been as busy. “During the boom years, companies maybe didn’t feel the need to promote their Irishness, but now companies are continuously approaching us,” Elizabeth explains. “They want to use the Guaranteed Irish symbol because they really want to differentiate themselves: they really want their buyers to know that they are an Irish company, because they know that consumers are more likely to pick up a product if it is Irish. “Research has shown us that if consumers see two identical products, and one has the Guaranteed Irish symbol, they are more likely to choose that product.”

Tom Rea, Director, Guaranteed Irish


Retail News|June 2013|www.retailnews.ie|41

Keep It Irish Improving Quality

Elizabeth admits that back in the 1980s, Guaranteed Irish’s role was arguably tougher, in that the quality standards of Irish goods weren’t perhaps as high as they are today. “Back then, people supported Irish brands simply because they were Irish and not necessarily because of the high quality of the products. Today, however, Irish products and Irish brands are up there with the best in the world. Irish food and drink products are renowned the world over for their excellent quality and consumers know that when they buy an Irish product, not only are they helping to safeguard Irish jobs, but they are getting a product that is second to none.” Of course, the current economic climate means that consumers’ drive for value remains probably the most important factor when shopping, something that Elizabeth and the Guaranteed Irish team are very cognisant of. “Price is hugely important,” she admits. “But there is a misconception out there that Irish products are more expensive than imported options, which is simply not the case. Irish brand owners have worked very hard to bring their costs down, so that they can offer the consumer, and the retailer, great value, without compromising on quality.” What Irish brands can also offer to both retailer and consumer is choice. “The range and quality of products produced in Ireland, right across the grocery spectrum, is fantastic, especially when you look at some of the artisan producers, who are creating wonderful products.” Indeed, she feels that perhaps retailers could focus more on these artisan products in-store, perhaps by organising special ‘tasting days’, whereby consumers can sample a range of tasty products in one go, like a mini food fair in-store.

Elizabeth Hunt, Marketing Manager, Guaranteed Irish.

Long History

The Guaranteed Irish symbol was introduced back in 1975 with the purpose of supporting jobs in Ireland. 38 years later, its mission remains the same: to help Irish companies to market and promote their products or services and to

campaigns to highlight this fact, and to promote the importance of buying Irish in general. Last year saw Guaranteed Irish launching a nationwide St Patrick’s Day Colouring Competition for primary school-children, aimed at encouraging young people about the importance of buying Irish. “Our children are our future and we are appealing to everyone, young and old, to look for Irish substitutes when shopping for gifts, food, clothes or services,” said Guaranteed Irish Director, Tom Rea, at the time. “This will help secure jobs and give young people a future.” November 2011 saw the launch of the ‘Shop For Ireland’ campaign, encouraging Christmas shoppers to look for the Guaranteed Irish

If every household in the country increased their spend on Guaranteed Irish brands by just €4 per week, this would create an additional 6,000 jobs. create awareness amongst consumers of the great range and quality of products and services from indigenous companies. The iconic Guaranteed Irish symbol is instantly recognisable, and has become very much a stamp of quality, craftsmanship and high standards. Indeed, research shows that 69% of all adults recognise that buying products and services that display the Guaranteed Irish symbol helps employment in Ireland. And they’re right. If every household in the country increased their spend on Guaranteed Irish brands by just €4 per week, this would create an additional 6,000 jobs (Amárach Research, 2011). Guaranteed Irish have embarked on a number of high profile marketing

symbol when purchasing gifts. This high profile campaign included heavyweight radio advertising, as well as bringing 12 Irish companies to the National Crafts & Design Fair at Dublin’s RDS in December, which proved a great success. “The vibrant home-grown enterprises which have sprouted since the recession began, sometimes born from redundancy payments, are the kind of ventures and businesses which will drive the country’s economic recovery going forward,” Elizabeth notes. “They could provide future jobs for hundreds. “Visitors to the Crafts & Design Fair at the RDS last Christmas were amazed at the variety and quality of Irish products available,” Elizabeth reveals. “This

year, we’re planning an even bigger campaign. Watch this space.”

Benefits to Licensees GUARANTEED Irish is run by like-minded business people as a non-profit organisation to educate, network, innovate and support both members and consumers. For licensees, Guaranteed Irish provides an ongoing series of seminars, talks and trade events. By creating consumer interest, awareness and passion for the Guaranteed Irish ethos and symbol, they can help members to increase their market share. They also actively promote Irish member companies dedicated to the principles of Guaranteed Irish, as can be seen in their recent TV advert. By joining Guaranteed Irish, you can: •Increase sales by reassuring consumers that your product or service is Irish; •Benefit from awareness campaigns which drive consumers to seek out Guaranteed Irish products and services; •Create stronger impact and differentiation at exhibitions or in-store promotions through free point of sale material; •Keep up-to-date with all the recent events through the Guaranteed Irish quarterly newsletter; •Benefit from the members network. To qualify, you must be an Irish registered company and comply with Guaranteed Irish’s terms and conditions. For more information, contact: Guaranteed Irish Ltd., 1 Fitzwilliam Place, Dublin 2, Ireland email: info@guaranteedirish.ie Tel: 01 6612607 Fax: 01 6612633


42|Retail News|June 2013|www.retailnews.ie

Keep It Irish

CHAMPIONING THE

IRISH CAUSE We profile some of Ireland’s biggest indigenous brands. SOME of Ireland’s most popular brands are home-grown affairs, from hot beverages to breakfast cereals, dairy products to soft drinks. Irish consumers love Irish brands, and that love affair is good news for Irish retailers, Irish jobs and the overall economy. We look at some of Ireland’s most recognisable brands.

Flahavan’s

As an independent Irish family business, Flahavan’s has been milling quality oats at the family mill beside the River Mahon in Kilmacthomas, Co. Waterford, for over 200 years. Flahavan’s is Ireland’s favourite porridge oat brand and has been delivering continuous growth to the oats category in line with consumers’ increasing interest in porridge as a healthy breakfast cereal choice. Grown, milled and produced in Ireland, Flahavan’s product 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. Flahavan’s has launched a new Apple, Raisin & Cinnamon sachet, as part of its popular Quick Oats range, which also includes natural, multi seed and organic sachets, drum and portable porridge pots in natural, multiseed, strawberry and organic varieties. The new product combines red apple pieces, juicy raisins, and a hint of cinnamon with all the wholegrain goodness of Flahavan’s porridge oats. Designed for maximum shelf impact and available in 10 x 40g servings, Flahavan’s Quick Oats Apple, Raisin & Cinnamon sachets are deliciously tasty and easy to prepare in the microwave in just two minutes. Flahavan’s has also introduced a new individual sachet format, where consumers can use the free reusable liquid measure provided or simply pour milk or water directly into the sachet and fill to the splash line,

Flahavan’s, Ireland’s favourite porridge oat brand, has launched a new Apple, Raisin & Cinnamon sachet, as part of its popular Quick Oats range.

making it the ideal portable healthy start to any day, either at home or in the office. For more information, see www.flahavans.ie or become a fan on www.facebook.com/flahavans.

Avonmore

Avonmore has been a family favourite since the 1960s. Avonmore is the number one brand in the Irish milk market, while also claiming leadership of the €36.5m Irish cream market, with 45% market share (MAT, March 24, 2013). Produced by Glanbia Consumer

Foods, Avonmore cream is made locally in Ballytore, Co. Kildare, from fresh Irish milk. The cream range offers the great fresh taste shoppers expect from Avonmore in convenient formats and pack sizes suitable for today’s lifestyles. Avonmore has a cream to cater for all occasions. The Avonmore range consists of the ever popular Fresh Cream, tangy Sour Cream, convenient Freshly Whipped Cream, and delicious Cooking Cream, which contains 50% less fat than standard cream and has a smooth thick consistency, which has been specifically developed for savoury cooking. The speciality cream sector is growing at 30% (MAT, March 24, 2013) and the latest addition to the range is Avonmore Fresh Dessert Cream, which is driving this success. Fresh Dessert Cream is luxuriously thick and ready to pour directly over apple pies, brownies, berry compotes and all consumers’ favourite summertime treats. Fresh Dessert Cream is available in an easy pour bottle and is available in a 250ml and 500ml format. The Pre Whipped Cream sector is growing at 9% (MAT, March 24, 2013) and is being driven by Avonmore Whipped Cream, which is already whipped and ready to serve, making it convenient for consumers to just spoon straight on to their favourite dessert. Avonmore Whipped Cream is available in a re-closable 350ml and 500ml format. The sour sector is growing at 15.8% (MAT, March 24, 2013) and Avonmore Sour Cream is available in a handy 200g & 350g re-closable tub, guaranteeing freshness and convenience for shoppers. Each of these product offerings capitalise on the trend towards eating in and

The Avonmore Cheese range has undergone a revamp, with a fresh new design and new improved packaging.


Retail News|June 2013|www.retailnews.ie|43

Keep It Irish entertaining at home and offer consumers convenient product

Avonmore Whipped Cream is a must stock item for summer, when consumers are stocking up on fresh berries and are seeking easy dessert solutions

offerings to suit all occasions. Avonmore are committed to growing the cream category through strong marketing, in-store support and strong innovation, attracting new customers to the category. The total cheese market is valued at €108m and the grated and sliced cheese sectors account for 22.8% and 21.7%

of this figure (Source: Nielsen, MAT, March 24, 2013). The Avonmore Cheese range is a long standing family favourite. Avonmore Cheese is available in both grated and sliced formats and the range encompasses red and white cheddar, mozzarella, cheddar and mozzarella and light cheddar. The beauty of the Avonmore range lies in its convenience for the entire family, its versatility and many uses throughout the day. The Avonmore Cheese range has undergone a revamp, with a fresh new design and new improved packaging. The new redesign uses a fresh green background to create stronger impact and stand out on-shelf, and also uses serving suggestions to create usage and appetite appeal. Each variant is colour coded on pack to ensure consumers can easily distinguish between variants and shop the cheese category easily. The new redesign mirrors the Avonmore Soup design, giving a fresh new integrated look across Avonmore’s soup and cheese ranges for stronger brand impact and consumer recognition. As part of the re-launch,

Avonmore Grated Cheese has also introduced a new block bottom bag with new re-closable zip, which helps ensure the pack is sealed correctly. In addition to packaging changes, Avonmore are transitioning their cheese from a mild cheese to a medium cheese for better flavour and texture. The Avonmore Cheese redesign, combined with packaging and product changes, will enhance the look and feel of the Avonmore range significantly, giving much stronger stand-out on-shelf, as well as delivering strong consumer benefits in terms of taste and re-closable fresh seal packaging. Avonmore Cheese is a long standing family favourite, a highly recognised and trusted brand. As a household staple in many homes across the country, Avonmore Cheese is a must stock item for retailers nationwide.

Kilmeaden

Also from Glanbia Consumer Foods, Kilmeaden claims leadership of the branded cheese block sector in Ireland. A cheese made locally from a traditional recipe unique to Kilmeaden that has been

Lyons Brings The Talk Home LYONS Tea has launched a new Bring The Talk Home Competition, where consumers win the chance to bring loved ones homes from abroad. To take part in Lyons Tea Bring The Talk Home, consumers simply pick up a special promotional Lyons Tea pack and enter the Bring The Talk Home competition via Lyons Facebook (www.Facebook.com/lyons.ireland) or post. Lyons Tea will give eight people a month the chance to fly a friend or family member home from abroad, with flights up for grabs for the next year. Lyons Tea unveiled some interesting research into the tastes and trends of the Irish diaspora as part of the launch of the Bring The Talk TV Presenter Liz Bonnin is pictured launching the Lyons Home campaign. Although Irish Tea Bring The Talk Home Competition. people are famed for enjoying a pint in the pub, a surprisingly 69% of Irish and female populations ranked spending time people surveyed said they missed enjoying a with family and friends as the most missed cup of tea most, ahead of a pint in the local. activity, the national pastime of cups of tea and Tea was the most missed Irish product for Irish chats came second, ahead of attending local men abroad (54%), while Irish chocolate and GAA matches or watching sporting events with crisps came in close behind. While both male friends.

in use for over 40 years, Kilmeaden is renowned for superior quality and a unique taste, thanks to the

Kilmeaden Grader’s Choice Waxed Wheel is a full bodied mature cheddar with a rich mellow flavour.

craftsmanship and care that goes into every block. The quality and uniqueness of Kilmeaden Cheddar can be attributed to a strict selection process to ensure only the best cheese goes into Kilmeaden. Kilmeaden is matured for up to 10 months, giving it all the time it needs to develop its distinctive flavour and unique taste. Kilmeaden’s successful portfolio has recently been extended, with the launch of Kilmeaden Grader’s Choice Waxed Wheel. This cheese is specially selected by the Kilmeaden Master Grader. It is a full bodied mature cheddar with a rich mellow flavour, perfect for cheese boards, crackers or enjoyed on its own. It is carefully coated in wax, the traditional method of preserving cheese, and coincides with the trend towards ‘dining in’ and entertaining at home. The Kilmeaden Grader’s Choice Waxed Wheel retails at €3.99. Kilmeaden is supported nationwide with an ATL plan which includes TV advertising, digital and in-store promotions. The Kilmeaden website, Facebook page and digital programme focus on the grader message and driving loyalty among younger audiences. Kilmeaden recently took Gold in the Mature Cheddar category at the 2013 Irish Cheese Awards.


Win a luxury break for two at Carton House Spa and Golf Hotel!

As well as giving your customers the chance to win a luxury Dubai break, to celebrate its sponsorship of this year’s Irish Open, Moy Park, Ireland’s number one poultry brand, is giving you the chance to win an overnight stay including breakfast and dinner for two people at the luxury 4 star Carton House Spa and Golf Hotel. Moy Park is the biggest processor of Irish chicken under the Bord Bia quality assured scheme and the company is also recognised as one of the largest producers of free range and corn fed poultry in Europe. To be in with a chance of winning a weekend away for two, please answer the following question and send, together with your name, address and telephone number, on a postcard to MOY PARK COMPETITION, Retail News, 14 Upper Fitzwilliam Street, Dublin 2 or email your details and correct answer to: retailnews@tarapublications.ie Please include ‘Retail News Competition’ in the subject line. Which poultry brand is the official sponsor of the Irish Open 2013? Closing date for entries is 28th June, 2013. Terms and conditions apply. Judge’s decision is final. No cash alternative will be offered. Restrictions may apply to travel dates. For information on products and distribution call Aidan Fisher at Moy Park 028 3835 2233. For news and updates visit www.moypark.com.

#iloveirishchicken


Retail News|June 2013|www.retailnews.ie|45

Market News Cadbury Tasters Required! CADBURY have embarked on a search to find the ultimate chocolate fans for their new Taster campaign, which is about to hit stores throughout the country. Cadbury Dairy Milk will be searching for eight lucky fans who will become the inaugural ‘Joyville Tasters’. The Tasters will be recruited through the Cadbury Ireland Facebook page and will be immersed in the wonderful world of Joyville, Cadbury’s mythical communications platform. Each will receive eight amazing prizes along the journey, which concludes with a chocolate banquet. The campaign will be supported by innovative outdoor, digital and in store POS. See Facebook.com/Cadbury Ireland for more details.

Goodfella’s Extra Thin Pizza Range GOODFELLA’S Pizza has launched its brand new Extra Thin pizza range with three mouth-watering variants; Vegetable & Goats Cheese, Mozzarella & Pesto and Chorizo & Pepperoni. Priced at €3.69, this latest range of 10” pizzas have an extra thin 4mm base and are infused with olive oil, offering a lighter, crispy, eat with a 10-12 minute cooking time. The new range will target females and young adults and is the perfect ‘me time’ snack. Independent research (Bord Bia Pizza Research Groups, Feb 2013) identified that consumers not only demand premium cues in base thickness but also unique toppings to satisfy their palettes. See www.goodfellaspizzas.ie, Facebook/ GoodfellasIreland or Twitter/GoodfellasIE for more information.

Cadbury Wispa Hot Chocolate CADBURY Wispa has shaken up the instant hot chocolate category with the launch of its first ever hot beverage, Wispa Hot Chocolate. This exciting new product development introduces the famous Wispa bubbles to cups across the country, with a luxurious, frothy, foamy top helping to create a coffee-house experience at home. This new innovative hot drink will bring younger consumers to the instant hot chocolate category, giving them a great tasting drink with the added fun of froth and bubbles. Available in a 246g jar and a convenient 27g sachet, both of which are Fairtrade Certified, Wispa Hot Chocolate’s launch is supported by a fun creative TV advertising campaign featuring the Frothy Beast, digital activation and in-store activity to help drive awareness and trial purchases.

Impulse Limited Edition Scent IMPULSE is set to brighten up the body spray category with the launch of new Impulse Secret Smile, the latest limited edition scent to be revealed from the brand’s new collection of designer fragrances. Rolling out now, the new limited edition variant, Secret Smile, features exotic top notes of raspberry and gardenia, which combine to produce a light, fruity and floral scent. The new fragrance forms part of Impulse’s multi-million euro brand relaunch for 2013, which includes: a new premium pack design, 11 high quality fragrances - developed in collaboration with internationallyrenowned perfumer Ann Gottlieb – and TV support, including a current TV sponsorship package with Hollyoaks.

Heineken Unveils New Campaign HEINEKEN has launched its brand new campaign, ‘Voyage’, the fifth instalment of the successful Heineken ‘Legends’ series. Set in colourful India, a new TV commercial follows our Legend arriving in a remote Indian outpost, finding himself in all sorts of awkward and bizarre situations when he loses his pet goat. The integrated campaign, which will live on a variety of platforms across broadcast, digital and mobile, will allow Irish consumers to have a truly immersive experience, where one Irish person will get the chance to put themselves to the ultimate test. Heineken is also undertaking its most daring experiment yet, with ‘Dropped’, which takes men from across the world and drops them in remote global locations with nothing but the most basic of supplies and directions, and can be seen on the Heineken Dropped YouTube channel.

Philadelphia Stirs Up Sauces Sector PHILADELPHIA Simply Stir is a brand new range of simple cooking sauces that taste delicious. This latest mouth-watering innovation from Philadelphia is available in two flavours, Mushroom Sauce and Garlic & Herbs. In just a few short minutes, Philadelphia Simply Stir can help consumers make a tasty meal from pouch to plate, and the end result is always smooth, creamy and fantastically Philly! Creating a Philadelphia Simply Stir dish is easy: consumers simply stir in the Philadelphia Simply Stir sauce of their choice, heat and enjoy! To get things stirring in the kitchen, check out the Philadelphia Simply Stir recipes at www.philadelphia.ie or download the Philadelphia recipes app.


46|Retail News|June 2013|www.retailnews.ie

Shelf Life A TEAM of 14 pupils from the 4th class of St Joseph’s BNS in Rathkeale, Co. Limerick, are the national winners of the inaugural Moo Crew, The Primary Dairy Moovement initiative from the National Dairy Council (NDC). Each pupil in the winning class has won an individual Samsung Galaxy 7” Tab 2 tablet. Moo Crew: The Primary Dairy Moovement was introduced for the first time this year for 3rd to 6th class primary school children. It was developed by the NDC in consultation with teachers, based on findings that 37% of girls and 28% of boys aged from 5-12 years in Ireland have inadequate calcium intake in their diet. Pictured are pupils Evan Barrett and Evan Wallace from St. Joseph’s BNS, with Olympic boxer and primary school teacher Darren O’Neill. SÍLE Seoige takes time out of her busy schedule to enjoy Keelings’ new fruit Snack Pots. Keelings identified a distinct gap in the market for individual fresh fruit portions for people leading busy lifestyles who want to incorporate “1 of their 5 a day” into their daily diet. Keelings’ Snack Pot varieties include Blueberries, Strawberries, Cherries, Mixed Berries and Grapes. Snack Pots are now available in Dunnes and Superquinn stores nationwide, with an introductory offer of 2 for €3 for a limited a time. THE 12 winning recipes in the ‘Flora Cookbook’ competition were unveiled at a VIP pre-race reception at the start line of this year’s Flora Women’s Mini Marathon recently. This year, celebrating its 10th year as sponsor of the Flora Women’s Mini Marathon, Flora teamed up with Masterchef’s Nicha Maguire to invite participants to share their favourite family recipes for inclusion in this new Flora Cookbook, entitled ‘Recipes For the Heart You Love’. There was a fantastic response to the campaign and Nicha Maguire and the Flora dietician Harriette Lynch worked together to introduce small changes to the recipes to make them even more nutritious, such as replacing salt with herbs, adding more vegetables and using healthier fats. Nicha Maguire is pictured with the winners at the start-line of the Flora Women’s Mini Marathon.

PICTURED at the launch of the 5th Corona Fastnet Film Festival in Schull, West Cork, are Festival Chairman Maurice Seezer (right), and Chairman of the BFI and the FA, Greg Dyke (left). Thanks to Barry & Fitzwilliam, the Corona and Lime was flowing, as was the conversation on film, as Schull played host to filmmakers Lenny Abrahamson, Andrzej Bartkowiak, David Quin and Jack Gold, who were on the scene for the duration of the Festival.

COCA-COLA employees Kylie Dunlop, Ronan Neary and Roseann McEntee are pictured with fitness expert Karl Henry at the launch of the Coca-Cola Thank You Fund Roadshow, designed to spread the word about the Fund, which has donated €250,000 to non-profit organisations on the island of Ireland each year since 2011. Fitness expert and TV personality Karl Henry will speak at each of the four events which take place in Cork, Dublin, Galway and Limerick, starting on June 27. As a judge for The Coca-Cola Thank You Fund, he’ll also be offering advice on the types of initiatives that could benefit from a grant from the Fund. Paula Mee, nutritionist, will join Karl and will offer ideas and inspiration on healthy eating options to suit busy lifestyles. For details on the free events, see www.coca-cola.ie/thankyou. THIS September 11, Spanish wines will celebrate all the way from Madrid to Dublin in style, to toast the 10th edition of the Annual Spanish Wine Fair at the prestigious Shelbourne Hotel. The event will see 23 Irish importers exhibiting the best from their Spanish portfolio, with over 350 wines, alongside 10 Spanish wineries from exciting regions around Spain and new to the Irish market. There will also be a pop-up series of five masterclasses held throughout the day. For more information, see http://winesfromspaininireland.wordpress.com. EUROSHOP, one of the world’s leading retail trade fairs, which takes place every three years, will be held in Düsseldorf from February 16-20, 2014 and interest is already high. Exhibition space at EuroShop 2011 has already reached 108,000 square metres. Posting particular growth is the EuroShop segment EuroConcept, including shop fitting, lighting and cooling cabinets, as well as the EuroExpo segment. EuroSales is the name of the segment presenting all facets of Visual Marketing and Merchandising, while the EuroCIS sector is dedicated to Retail Technology. For further information, see www.euroshop.de.


IRISH

2013

now open for entries www.irishqualityfoodawards.com For the Irish retail and food service sector Recognising excellence in product development Deadline for entries 28 June 2013 Contact Helen Lyons for more information 00353 (0)1 817 6360 helen@irishqualityfoodawards.com

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UP FOR GRABS... 5 pairs of VIP tickets to Castlepalooza. 5 iPad minis. 20 €25 Love2Shop Vouchers. Visit www.showmeid.ie from 17th June 2013 For full terms and conditions please visit www.showmeid.ie

Show Me I.D - Be Age Ok is supported by Ireland’s trade associations RGDATA, CSNA, NFRN and also by VFI, NOffLA and the South Dublin Chamber.


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