Retail News June 2008

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June 2008


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June08Contents

WIN WIN WIN

■ inside view

The Great Price Debate The continued strength of the euro against Sterling is having a massive effect on prices, with many multinational retailers allegedly not passing on savings in the euro price to their customers. Indeed, Labour leader Eamon Gilmore TD told the Dáil that UK retailers are profiteering at the expense of their Irish customers, urging the Government to tighten legislation to deal with the issue. In a special report (Page 16 and 17), chief news reporter Pavel Barter gets to the heart of the matter. Also inside, the Convenience Stores & Newsagents Association has urged retailers not to stock a new prepaid tolling system for M50 users (Page 4), due to the service proving costly, rather than profitable, while two of the country’s leading estate agents predict that turnover-based rents, a system by which rents rise and fall depending on trading volumes, could soon be a reality in Ireland (Page 6). Elsewhere, Karen Meenan looks at an area of serious profit potential in your news-rack, Computing and Gaming magazines, a sector which is worth €120m per year in the UK and Ireland (Page 18); Carmel Linnane examines the options open to those retailers seeking to expand (Page 22); while I spoke to celebrity chef Jamie Oliver about the launch of his new Italian food range on the Irish market (Page 26). Finally, new research from Kellogg’s reveals that Ireland could end up with a new generation of ’calorie rich, nutrient poor’ consumers, if current eating trends continue (Page 44).

Get a Taste for Croke Park with Walkers Irish consumers have confirmed that Walkers crisps have the best range of flavours and research has shown that having a great range of flavours is attracting more and more people to the Walkers brand.* The statistics back up this point. According to the latest AC Nielsen market track data Walkers is driving crisps and State is a brand new Irish monthly magazine snacks category growth with an increase on 9.5% MAT in with in-depth coverage of music and valueemphasis and 1.4% on in volume.**

popular culture, as well as strong visual impact. To thank retailers for their support in promoting Walkers great range of flavours, they have teamed up with Retail State is the point where commercial music News to offer a tasty prize – 4 tickets to the All Ireland magazines with specialist titles, We are Hurling Semi Finalscross in Croke Park on 17th August. a also publication that all genres andCrisps. styles with throwing in 10 treats free boxes of Walkers

enthusiasm, knowledge and superb presentation. All you have to do to win is answer the following question. “Celebrating 50 Kathleen Belton, Editorial & Marketing Director.

years serving the Irish grocery trade.”

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

johnwalshe@tarapublishingco.com

Chief News Reporter: Pavel Barter

Wine Correspondent: Jean Smullen

Financial Correspondent: Carmel Linnane

Advertising Manager: Aaron Stewart

Advertising Executive: Rory O’Connor, David Kelly

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

Already lauded by The Irish Times, The Sunday “What is Walkers’ best selling flavour?” Business Post, The Sunday Times, The Examiner and Irish and featured on Today Email your Independent, answer to retailnews@tarapublishingco.com together with your name, address and telephone number, FM, Phantom, Spin, Galway Bay FM and Spin or send a postcard to: South-West, State is a quality title which is generating serious interestCOMPETITION, amongst Ireland’s WALKERS HURLING magazine-loving andStreet, is guaranteed RETAIL NEWS, 1-2public Poolbeg Dublin 2. to fly off your shelves. The judges decision is final and no money will be offered in lieu of prize. Closing date 18th July.

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

Printed by: Graham & Heslip

* Red C Q1 08 research ** Source: ACNielsen MarketTrack SM1WKCRN w/e 20th April 1


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June08Contents

Contents June 2008

News 4 CSNA Urges Retailers

16

Not to Stock Prepaid Toll.

Feels the Squeeze; Bord Bia Leadership Summit.

Stocking For Profit 42 A selection of Ireland’s

6 Turnover-based Rents on

best sellers. the National Consumer Agency.

7 SPAR Ireland Sales Top €1.67 Billion.

8 Teagasc Celebrates 50 Years; Changes to VAT on Irish Property; Barclaycard Enter Irish Card Processing Market.

Shop Profile 14 Sean Littleton’s superb

26

gates the continued rise of South African wine on the Irish market.

5 Irish Poultry Market

the Way? Predicting the Future Supply Chain.

On The Vine 30 Jean Smullen investi-

Karen Meenan’s Top Tips 18 Retail consultant Karen Meenan advises on how to encourage more male readers to your magazine stand – stock computer and gaming magazines, two very different sub-sectors.

Money Matters 22 Carmel Linnane looks

new Londis store in Ballyfermot, Dublin 10, combines the finest modern standards with great service and value for money.

at the pro’s and con’s, and the variety of options, available to those considering expanding their business.

Retail News Special Report 16 Controversy over the

The Retail News Interview 26 Celebrity chef Jamie

difference in prices between Northern Ireland and the Republic has led to a crossborder price survey from

Oliver discusses his new Italian food range, and spills the beans on some of his other campaigns.

Cereals 44 Worrying new research from Kellogg’s shows that many Irish consumers don’t have time for the “most important meal of the day”.

Shelf Life 64 All the latest news and gossip from the trade.

Forecourt Focus 58 Wexford Farmers’ Co-op operate three successful Gala forecourt stores in the county. WFC General Manager, Michael Murphy reflects on what continues to be a truly successful partnership.

Regulars 10 Industry News. 28 Drinks News 60 Update 62 What’s New

34 Sectoral Reports 34 Bread 46 Chill Cabinet 50 Pet Food 54 Fruit & Veg.

3


June08News

CSNA Urges Retailers Not to Stock Prepaid Toll A new tolling system for M50 users has been slammed for “not making business sense” for retailers and consumers. Vincent Jennings, CEO of the Convenience Stores & Newsagents Association, has advised his members not to sell the prepaid toll, which is distributed via Payzone’s branded network. “If anybody has any sense, they won’t touch this with a barge pole, until they are remunerated in a proper fashion,” he said. The new barrier-free tolling system is among the first of its kind to be introduced in Europe. But according to Jennings, the tolling system’s remuneration is the first point of complaint. The service is sold, via Payzone, in the same fashion as mobile phone top-up (as well as via the internet or by telephone), but retailers only make 1% per transaction: three cents, then, on a standard €3 transaction. Jennings pointed out that the time it takes to process the transaction makes Payzone’s service costly, rather than profitable: “The toll’s registration number has two digits, followed by a letter, followed by maybe five digits. The customer calls out their number, which the retailer transposes, prints off, then

makes the financial transaction. That can’t be done in less than 40 seconds. The retailer pays, on average, PRSI included, €10 an hour [for this service]. That works out at 17c a minute. If it costs 17 cents a minute and it’s taking over 40 seconds of your time, why would you want to be rewarded to the value of three cents? It doesn’t stop there, because you also have banking charges and back office administration to contend with.” Jennings also claimed that a consumer issue is at stake, since the CSNA “were advised by Payzone that there will not be a refund facility other than for the most recently sold top up.” “From our point of view, we can not breach people’s statutory rights to a refund simply because the computer doesn’t allow it,” Jennings insisted. “You can’t trample on people’s consumer rights like that.” According to Jennings, retailers in the UK, selling topup for congestion charge tolls, earn a minimum fee of 15p per transaction. Retailers in Ireland, meanwhile, are rewardVincent Jennings, CEO of the Convenience ed around 20 cent per transacStores & Newsagents Association.

4

tion on Payzone’s Bill Pay Service, which covers Bord Gáis, ESB, and Eircom accounts. “We are not here to make life easy for Payzone or the National Roads Authority,” he said. “It is absolutely outrageous that a UK newsagent is rewarded for the job he does, when the Irish newsagent is considered to be less worthy.” Would he welcome a self-service style vending machine for the tolls, bringing footfall in stores without any additional cost or time spent on the part of the retailers? “That’s a matter for the service providers, Payzone,” said Jennings. “They have said that it is not available in a vending format. If the National Roads Authority want barrier-free tolling, let them open their own offices around the country. Then they will see that it costs a lot more than three cent per transaction. It’s not as if this is our glorious opportunity to make money. It does generate footfall, but you shouldn’t have to pay for footfall.” The new tolling system for the M50, which carries in excess of 100,000 vehicles per day, is due to come into operation in August 2008. Payzone could not be contacted for comment.


June08News

Irish Poultry Market Feels the Squeeze THE plight of Cappoquin Chickens has been called upon by Fine Gael Agriculture Spokesman, Michael Creed TD, who has told the Dáil that spiralling input costs and competition from cheap imports threatens to derail the Irish agri-food sector. Cappoquin, the largest poultry farm in Ireland, employs over 200 people, but was recently put into interim examinership. The company has a a winding up basis deficit of €7m. “The Government has failed to heed warnings on the impact of rising feed costs on the poultry sector and it is now clear just how hard these costs are hitting agri-business,” said Creed. “CSO figures this week showed all farm inputs increasing in cost, with feed up 20%. The fact is, daft Government policy on the importation of GM feed, introduced as a sop to the Green Party, is costing the industry up to €160m a

Fine Gael Agriculture Spokesman, Michael Creed TD.

year. The new Agriculture Minister will be keenly aware of the closure of Grove

Turkeys in Monaghan just a few months ago and, with Cappoquin now in trouble, he must undo the damage done by his Government's GM policy shift.” Creed also claimed that flawed labelling laws were undermining Irish product. “The 'substantial transformation' loophole allows produce which has had minimal processing in Ireland, like the addition of breadcrumbs, to be passed off as Irish. Coupled with mislabelling, this means Irish produce and cheap imports are not competing on a level playing field,” he said. His proposed solution? “Fine Gael wants to see the introduction of a Green Ireland label. This single, recognisable brand would help Ireland capitalise in overseas and domestic markets on its reputation as a green, healthy, quality food producer and help secure a premium price for Irish produce and Irish farmers.”

Bord Bia Leadership Summit BORD Bia recently held a two-day Global Leadership Summit, which focused on global retail trends and retailer strategies. “One of the big challenges facing leaders in the Irish food and drink industry is forecasting the future strategies of their key clients – retailers,” according to Dan Browne, Chairman, Bord Bia. “Building successful retail relationships will be critical to the future development of Ireland’s €8.6 billion export business.” He added: “Over the past number of years, retailers have re-invented themselves from being traditional merchants to sophisticated brand owners.” Subjects tackled at the event included: Format Innovation and Shopper Experience, which entailed deeper understanding of consumer trends and changing lifestyles; Brand Control; Services Innovation; Global Development; and Emerging Strategies, which urged retailers to be at the cutting edge of technology. The environment and climate change were also discussed, as the area of sustainability is driving retail strategies in the remit of packaging and shipping, fair trade programmes, organic offerings and natural ingredients.

Pictured at the Bord Bia Global Leadership Summit are Aidan Cotter, Chief Executive, Bord Bia; David Shriver, Strategic Advisor to the CEO, Carrefour; and Dan Browne, Chairman, Bord Bia.

Planning Ahead MARKS & Spencer are set to open their first store in Kerry. The store will be based in Tralee Manor West, in Deerpark Retail Park, and is set to create 79 new jobs. The 22,000 square feet property is M&S’ 18th outlet in the Republic of Ireland and will offer the British retailer’s usu-

al array of products, from food to clothing. Meanwhile, in the Meath village of Bettystown, Tesco is to open a 3,251 square metre store as part of a new €80m commercial development. The shopping centre will include a further 20 shops. 5


June08News

Turnover-Based Rents on the Way? MARKET difficulties are likely to lead to a rising demand for turnover-based rent, according to two leading Irish estate agents. Turnover-based rents, in which rents rise and fall depending on trading volumes, are an American phenomenon that is “starting to creep into the Irish market,” Paul McCoy, Associate Director in Retail at CB Richard Ellis, told R ETAIL NEWS. Hugh Markey, Director of Retail at Lisney, added: “Retailers would certainly prefer it that way. But landlords are reluctant, in most cases, to get involved. There is probably a certain caution and suspicion amongst landlords.” But with the slowdown in the mar-

Paul McCoy, Associate Director in Retail at CBRE.

ket, landlords may not have much choice, and as more turnover deals are conducted, “landlords will get more confidence going forward”. This is likely to be to the benefit of retailers, as are changes and terms in the conditions of the lease. “You will see more extended rent-free periods, lower premiums for leases, becoming more prevalent. The market tends to find its level in these situations,” Markey told R ETAIL NEWS. “Incentives are starting to turn in favour of the tenant,” added McCoy, “by way of break clauses, and overall packages.” How will this effect smaller convenience stores? “The discounters are very active – Tesco and Dunnes will always have an extensive expansion strategy. If anybody was going to feel the pinch, it will be the smaller indigenous retailers – overheads against footfall figures are down. They might feel the pinch more than some of the bigger places that will be able to ride the storm.” The recent closure of the Habitat franchise sent fearful tremors through the market, but McCoy believes that this will not harm prime areas such as Grafton Street, since “international retailers that aren’t even in the Irish market yet, have Ireland and particularly Dublin on their strategy for expansion. They will be willing to pay the passing rents on the main thoroughfares.” Grafton Street was recently ranked as Ireland’s most expensive retail location, commanding rents of $954 (€605) per square foot, to become the sixth

Hugh Markey, Director of Retail at Lisney.

most expensive location in the world. How can a smaller convenience outlet survive with such overheads? McCoy mentions a newsagent at the top of the Dublin Street. “If you watch the footfall go in and out of there, it’s probably a low enough spend, but the volumes are huge. The pattern has been like that for years. Anything that comes up on Grafton Street will be snapped up quickly because there is a queue of retailers waiting to get onto it. When Dundrum opened a couple of years ago, people said that there was going to be a knock on effect with Grafton Street, But they are two separate animals: city centre retail against suburban locations.” However, Markey said, “there is an element of being on Grafton Street purely for marketing purposes. How much it is driven by profitability is questionable.”

Predicting the Future Supply Chain SUSTAINABILITY and supply chains are indelibly linked, according to a new study. The report, ‘Future Supply Chain 2016: Serving Consumers in a Sustainable Way’, published by the Global Commerce Initiative together with Capgemini, presents a new supply chain model for the consumer products and retail industry. The model takes into account sus6

tainability parameters “such as CO2 emissions reduction, reduced energy consumption, better traceability and reduced traffic congestion, as well as traditional measures like on-shelf availability, cost reduction and financial performance”. This supply chain, claims the report, would reduce transport costs per pallet, reduce the handling costs

per pallet, reduce lead-time, lower CO2 emissions per pallet, and improve onshelf availability. “Regulations as well as resource scarcity, climate change, security, require new thinking, new approaches and new collaboration on infrastructures,” said José Luis Duran, Chairman of the Management Board, Carrefour group, and GCI Co-Chairman.


June08News

SPAR Ireland Sales Top €1.67 Billion SPAR Ireland has announced record retail sales of €1.67 billion for the year ending 2007, representing an increase of 15.7% on the previous year. During the period, the group, in partnership with its independent retailers, invested a total of €103m in its store network - opening 52 new stores and creating 1,190 new jobs in the process. Managing Director of SPAR Ireland, Peter Kealy, said 2007 was an exceptional year for the brand, with new store additions and continuous retail innovation driving growth across all three SPAR formats. “SPAR Express, our specialist forecourt retail offering, was the great success story in 2007, with the opening of 19 new stores across the country,” he noted. “Earlier this year, we celebrated the launch of our latest international flagship store in partnership with SPAR International. The SPAR Express store at Spawell in Dublin boasts the country’s first ‘drive-thru’ coffee facility and has one of the highest footfalls of any forecourt site of its size in the country. With SPAR Express, we have strategically developed our stores to drive a combination of food sales and fuel - contributing to the record results announced today. “The success of the EUROSPAR format was also recognised during the year, with the company’s Barrow Street store in Dublin receiving the Global Award for Convenience Retailing in the worldwide Retail Industry Awards – a first for Irish retailing,” he added. SPAR Ireland also confirmed today that it had moved into 5th position in the global SPAR International rankings, up two places from 2006. The ranking is based on overall turnover and confirms SPAR Ireland’s sustained growth in recent years, putting it ahead of its counterparts in Norway, Spain, France and Denmark. Contributing to SPAR Ireland’s outstanding growth in 2007 was the surpassing of the 50-store mark for the first time in its 44 year history in Ireland, with the addition of 28 SPAR, five EUROSPAR and 19 SPAR Express stores. Peter Kealy said the driving force behind SPAR Ireland’s success in 2007 was the company’s innovative approach to convenience retailing: “SPAR Ireland continues to be the leading innovator in convenience retailing. Our strategy to create modern store layouts and improve food and beverage offerings through the development of bespoke product offerings such as Treehouse Juice & Smoothies and Signature Sandwiches, in-store subbrands such as Kitsu Noodle Bar and Russell & Ryan Butchery, as well as partnerships with leading third-party brands such as Insomnia and Tim Hortons, are all aimed at meeting customers’ changing convenience requirements.” He concluded that 2008 will see the company’s focus remaining firmly on the expansion of the store network as well as continued innovation in SPAR’s unique bespoke food solutions. “We are on track to open over 40 new stores in 2008, with 16 having already commenced trading in the first four months of this year,” he said. “New SPAR store openings in 2008 will create up to 1,000 new jobs across the country.

Announcing record annual sales at EUROSPAR Barrow Street were Chairman of SPAR Ireland, Leo Crawford, and Managing Director, Peter Kealy.

“This year will also see significant investment in our training and development programme with the launch of SPAR’s Virtual Academy – an interactive web based training facility for retail staff – and an ongoing retail manager’s diploma course delivered in partnership with Dublin Institute of Technology. Both these schemes reflect our commitment to deliver a leadingedge customer experience.”

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June08News

Teagasc Celebrates 50 Years TEAGASC, the Irish Agriculture and Food Development Authority, is celebrating the 50th Anniversary of An Foras Talúntais (AFT, the Agricultural Institute). As part of Teagasc, AFT provides a national programme of research, designed to underpin the country’s agriculture and food industries and ultimately influence the products that end up on supermarket shelves. As the gross output of farming and food production in Ireland is predicted to double to €40 billion by 2030, according to Teagasc’s Foresight Report, the role of the Institute is more pertinent than ever. “One of the real strengths of Teagasc is that it has all the different components integrated into the one organisation: research, advice, education and training,” Teagasc spokesperson Eric Donald told RETAIL NEWS. Teagasc’s network of centres around the country allows the organisation to provide primary agricultural research on a nationwide basis, while maintaining close contact with the industry. This two-way flow of information was cemented in 1988, when AFT merged with ACOT (the farm advisory and training body). In 1993, Moorepark Technology Ltd (MTL) was established as a joint venture between Teagasc and dairy companies. Moorepark in Cork, alongside the Food Research Centre in Ashtown, has allowed Teagasc to support product innovation, ultimately

feeding into the development of products at retail level. Donald continued: “In Ashtown, a lot of work is carried out in relation to the quality of food products that end up in supermarkets. In Moorepark, work has been undertaken in liaison with food companies to develop products for the marketplace. Food companies use Moorepark Technology Ltd, Teagasc’s private plant facility, hiring the expertise, conducting test marketing and new product development. They also do pilot runs on various products. Moorepark Technology has played a significant role in the development of new products over the years. It has assisted private companies and co-ops in the food industry, generating research and product development.”

Changes to VAT on Irish Property ONE of the country’s leading accounting/business consulting firms has warned that significant changes to VAT rules concerning Irish property transactions are due to come into force on July 1. The Finance Act 2008 introduced significant changes to the VAT rules concerning Irish property transactions, according to Grant Thornton, with most of these changes coming into effect on July 1, 2008. One of the biggest changes concerns the area of leases, and short leases in particular. No new ‘waivers of exemption’ will be granted after July 1, 2008. Most waivers in place on that date will continue to operate, until cancelled. However, in a number of circumstances, these waivers will cease automatically and a large VAT payment may be due to Revenue. This scenario could arise in particular where a landlord has let a property (commercial or residential) to a connected tenant (and the tenant does not have full VAT recovery). Connected is defined very broadly. According to Grant Thornton, all landlords should review such arrangements immediately as it may be possible to amend the terms of the relevant lease(s) now to avoid the large payment to Revenue on July 1, 2008, but it will not be possible to make the necessary changes after that date.

Barclaycard Enter Irish Card Processing Market Barclaycard Business, a payments acquirer with 40 years of experience, is entering the Irish card processing market. According to the Irish Payment Services Organisation report, inefficient payment processes such as cash and cheques are putting a burden on con8

sumers and retailers. Over the coming months, there will be a drive to encourage consumers and retailers to adopt greater usage and acceptance of electronic payments. “Essentially, Barclaycard Business removes the burden of card processing

from merchants, giving them the time and space to manage and grow their business,” said Steve Lappin, Ireland Country Manager at Barclaycard Business. “Fundamental to this offering is the education and training of merchants.”



June08Industry News

Tipperary is Official Water of Cork City Marathon PICTURED at the launch of the Cork City Marathon are (l-r): Marie Cooney, Director, Tipperary Water; with Miss Cork 2008, Jean Kenny, and Kieran Cotter, RSM, Gleeson Group, Cork. Runners in the Cork City Marathon had an added spring in their steps this year, as Tipperary Water was the Official Mineral Water Supplier for the June Bank Holiday Event, which saw over 8,000 runners taking part in the the race, consuming a massive 80,000 litres of water in the process.

Barry Group Named Stonehouse Depot of the Year BARRY Group has been awarded the Stonehouse Depot of the Year Award 2008. This is the fifth time that the company has received this significant award. “This is a fantastic achievement for the company and our excellent team,” noted Jim Barry, Chief Executive, Barry Group. “We operate to strict guidelines to ensure that high standards are met and maintained and this award is further recognition of our hard work and commitment to excellence.” Barry Group operates from a 125,000 square feet state-of-the-art central distribution centre in Mallow, and employs in excess of 230 staff, as well as operating the Costcutter and Quik Pick brands in Ireland. Pictured are (l-r): Tom Shipsey, Chief Executive, Stonehouse, and Niall Hartnett, Head of Operations and Human Resources, Barry Group.

Gala Increases Camogie Commitment AT the launch of this year’s Gala All-Ireland Camogie Championships, Gala announced it’s to sponsor the Gala All-Ireland Championships (inclusive of the Senior, Intermediate and Junior championships) for a further three years. This secures the partnership until the end of the 2010 Championships. The six-figure sum further reinforces Gala’s commitment to one of Ireland’s most indigenous Irish female sports and is reflective of how successful the association has been for the Group. Pictured at the announcement are President of the Camogie Association, Liz Howard, with Gary Desmond, CEO, Gala; Derry captain Claire O’Kane (left) and Wexford captain, Mary Lacey.

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Centra Tops Hygiene Awards THE highest ever number of National Hygiene Award presentations to a single organisation, 340, were presented to Centra retailers by Tony Killeen TD, Minister of State at the Department of Agriculture, Fisheries and Food, at an awards ceremony in the Radisson SAS Hotel, Galway, recently. In addition, 20 Centra stores also received the Supreme Hygiene Award, which identifies and rewards retailers that have consistently performed well, based on the accumulated total of Excellence Ireland audit scores, over the past three years. Kilmartin's N6 Centra, Athlone was also awarded the title of Ireland’s Cleanest Foodstore in the small retailer category by the Excellence Ireland Quality Association (EIQA.) Pictured are Declan Mahon, Centra Council member, and Donal Horgan, Managing Director, Centra, who also announced Centra’s plans to further invest €750,000 on its hygiene programme and on monitoring stores.



June08Industry News

Superquinn Shoppers Raise €75,000 for Temple Street THANK to the generosity of Superquinn’s chocolate loving shoppers, Superquinn and Lindt chocolates presented a cheque for €75,000 to Temple Street Children’s University Hospital. Over two weeks before Easter, Superquinn customers purchased more than 75,000 mini Lindt Gold Bunnies to raise much needed funds for the hospital. Pictured at the Superquinn store in Sundrive are (l-r): Denise Fitzgerald of Temple Street Children’s University Hospital being presented with a cheque for €75,000 by Anthony Cameron, Lindt Country Manager, and Simon Burke, Chief Executive of Superquinn.

Centra Childline Big BBQ THE Centra Childline Big BBQ was launched at a fun-packed event in Dublin recently. This event kicked off a month long campaign aimed at encouraging people all over Ireland to host a BBQ and raise much needed funds for Childline during June. Part of a three year programme of events, Centra, its retailers and customers are aiming to raise funds to support Childline’s primary goal of answering every call it receives from children and young people all over Ireland in distress. Pictured are Donal Horgan, Managing Director, Centra; Lorraine Keane, Xpose Presenter, TV3; Martin King, TV3 Weatherman; and Ashley Balbirnie, CEO, ISPCC.

Lucozade Sport Head2Head Roadshow THE Lucozade Sport Head2Head roadshow will visit sports clubs all across the country this summer, giving the ordinary punter the opportunity to be test their core skills and benchmark their results against some of Ireland's leading sports stars, including Colm ‘The Gooch’ Cooper, Damien Duff, Cora Staunton and Eoin Kelly (all pictured). Speaking about Head2Head, Ronan McClafferty, Lucozade Sport, said, “Lucozade Sport Head2Head has been developed to provide all sportspeople with a true test of their core skills.” See www.lucozadesport.ie for more details.

The Taste of Ulster

Anyone For Tennis?

PICTURED is celebrity Chef Paul Rankin, Nick Price (Owner of Nick’s Warehouse and Taste Of Ulster Chairman) along with Michael Bell, Executive Director of Taste Of Ulster. Speaking at the Taste of Ulster Forum 2008, Paul Rankin called on the Northern Ireland food industry to have more confidence and be proud of its culinary heritage. The Taste of Ulster Forum 2008, sponsored by Deep RiverRock and Henderson Foodservice, hosted talks from Taste of Ulster Chairman Nick Price, Taste of Ulster Executive Director Michael Bell, celebrity chef Paul Rankin and Emmet McCorry of Coca-Cola. There was also a chance for attendees to take part in a workshop and sample local produce at the special exhibition.

CELEBRITY mum and model Vivienne Connolly partnered up with her son Ben Dunne (4) netting themselves game, set and match as they lined out on the courts at Fitzwilliam Lawn Tennis Club, Dublin, to try out for the upcoming nationwide 2008 KitKat Parks Tennis Leagues which will be registering soon. Now in its 31st year, the KitKat Parks Tennis Leagues will be taking place in over 160 venues throughout the country over the summer months, and are expected to attract over 30,000 boys and girls. See www.parkstennis.com for more details.

12


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June08Shop

Profile

Stunning New Londis in Ballyfermot Sean Littleton’s superb new Londis store in Ballyfermot, Dublin 10, combines the finest modern standards with great service and value for money.

Sean

Littleton’s brand new Londis store in Ballyfermot, Dublin 10, blends the cutting edge appearance of modern grocery retailing with a genuine commitment to provide the locality with great service and value for money. Sited on what used to be the ESB’s showrooms, the new Londis store is managed by Rajesh Yadav, who came on board during the construction phase of the development. “When I was brought on board, the shop was already going to be part of the Londis Group,” Rajesh tells RETAIL NEWS. “Their development team were already heavily involved in the project and they were providing tremendous support. As I was brought in to manage the store, I immediately had to work closely with members of the Londis team and I found them to be extremely professional and dedicated individuals.”

Londis Regional Manager Richard Murphy with store manager Rajesh Yadav.

Value For Money The project was run so efficiently that the store opened its doors a full week ahead of schedule. The shop is in essence a city centre convenience location and as such has a very strong focus on fresh food-to-go. “However, our core customer base in Ballyfermot demand good value for money as well as the clean, fresh, modern image that the shop presents to consumers, which I think we deliver,” notes Rajesh. “Our customers are very price saavy,” Rajesh explains. “There is a lot of competition in the area and they know which ones are charging five cent more on a chocolate bar or a loaf of bread, as well as which ones are offering good value on the top-up shopping trips. We have a very strong 14


June08Shop

focus on value for money as a result: saving five cent on an item here isn’t going to make our customers rich, but they appreciate the fact that we are not ‘ripping them off ’. Ensuring repeat footfall is vital to our business and striking a balance between providing competitively priced items and exceptional customer service means they will come back.” The Londis group also plays its role in the focus to drive value perception in-store, offering the traditional cycle of special offers. Rajesh can always find quality KVI offers to give his customers that little bit more for their money. He explains, “It’s not about competing head to head with, say, Aldi on price, but we do have to offer good value for money: part of this is to demonstrate a level of respect for the needs of our customers. But it’s also a simple business strategy. We will take a lower margin to increase volume of sales and the strategy has proven very successful, as we surpassed the sales figures needed to break even for the first year after just six months of trading.”

Profile

“Obviously we use value offers to drive sales in areas of the shop that do not do so well, but I also feel it’s very important to use promotions to further sales in areas where sales are high,” Rajesh notes. “It’s very hard to win customers over in such an extremely competitive sector and it’s also very easy to lose them, so we have to work non-stop to retain the loyalty of our local customers.” Londis Ballyfermot, like the rest of the country, is seeing a big progression towards healthier eating and lifestyles. “We are selling a huge volume of water,” Rajesh explains, by means of example. “Wraps are becoming more popular than baguettes, and brown bread more popular than white. We will be installing a smoothie bar in the near future to make sure we have a full choice of healthy offerings available to our customers. Here again, it’s about being aware of the demands of customers and meeting them as effectively as we can.”

Customer Service Strong Performance in Deli The store’s primary focus is the deli, which is a hive of activity during the morning and lunchtime periods. Having a good selection of product in this area is as important as what ambient goods the store will carry: however, again, it is important to get the right balance. “Customers react well to the promotions and during June and July we will be giving free bottles of Londis water with fresh food purchases,” notes Rajesh. “In addition, our freshly ground coffee offering is also proving to be very popular with our customers.

Offering value for money without good customer service would be an exercise in futility, however, and Rajesh is well aware of this, noting how “customer service is also key to our success”. The store avails of extensive in-house training from the Londis group, as well as running their own training in-store. “The manner in which our staff interact with customers is absolutely critical,” Rajesh stresses. “No matter how good a shop looks, if the staff are surly or unhelpful, then customers will not come back. We have a great team here. Shabaz Khan [Assistant Manager] and all the rest of the staff put in a huge amount of effort on a daily basis and without their efforts, the business would not be as strong as it is.” In closing, speaking on behalf of Londis, Area Regional Manager Richard Murphy says, “Raj and the rest of the team here consistently put in a huge amount of work to keep meeting all of their customers’ needs. It’s a pleasure to work with people who display such a FA C T F I L E high level of comOwner: Sean Littleton, Rajesh Yadav mitment and we Location: 314A Ballyfermot Rd, at Londis look to Ballyfermot, Dublin 10. match that levSize: 1,575 square feet el of dedicaNumber of 18, full time & part time tion to assist Staff: them in any way Opening 06:45-22:00, Monday-Friday; we can to grow hours: 08:00-22:00, Saturday; 09:00the business into 22:00, Sunday. the future.” 15


June08Retail

News Special Report

The Price is Wrong Controversy over the difference in prices between Northern Ireland and the Republic has led to a cross-border price survey from the National Consumer Agency.

Ireland’s

National Consumer Agency (NCA) is currently undertaking a cross-border survey of products, highlighting the difference in prices of groceries between Northern Ireland and the Republic. The survey was instigated at the behest of Taoiseach Brian Cowen TD, after it was revealed that Irish shoppers are paying up to 50% more for the price of goods than consumers in the UK. “The price differentials, which in some cases are significant, can be seen across a range of products and sectors,” John Shine, Director of Commercial Practices at the NCA, told RETAIL NEWS. The investigation will be published in the coming weeks. “We will also carry out cross border surveys on other retail sectors over the coming months. The surveys will involve pricing a basket of items on a particu16

John Shine, Director of Commercial Practices at the NCA.

lar day and making direct price comparisons between the cost of the same basket of items in outlets on both sides of the border,” Shine noted. A recent survey, conducted by The Sunday Business Post, revealed that of 10 British retailers in the UK and Ireland, all but one charged their Irish customers significantly more. Tesco’s products were purportedly 43% more expensive in Ireland.

Tighter Legislation Last month, Labour leader Eamon Gilmore TD told the Dáil that UK

retailers are profiteering at the expense of their Irish customers, and he urged the Government to introduce tighter legislation. Cowen’s Cabinet subsequently discussed the issue, vowing to correspond with UK retailers and to employ the NCA to instigate further investigative campaigns for the benefit of the Irish consumer. “We are not prepared to accept that higher costs in Ireland fully explain these kinds of differentials, or that British retailers should be allowed to charge substantially more for their products here,” said Shine. “There has always been an acceptance that the cost of doing business in Ireland is more expensive but, with the euro strength against Sterling, the large percentage differences (even allowing for higher costs and VAT adjustments), indicate to us that prices in Ireland are also based on what we as consumers are willing to pay. Also, retailers don't talk about


June08Retail

the fact that they pay a much lower rate of corporation tax here.” But surely Britain and Ireland are different markets, with different economies, currencies, and economic conditions, so it stands to reason that there will be price differences? “It is accepted that there will always be different prices between Ireland and Britain for a variety of reasons - including different VAT rates, different costs of doing business, economies of scale etc,” Shine admitted. “However, the large differences in the prices of certain grocery items are not fully explained by these economic conditions. They are also due to decisions by retailers on what price levels the Irish market can bear. We believe that the tendencies of Irish shoppers in recent years have caused retailers to see Ireland as a place where they can maximise their profits. The Agency is concerned that the benefits accruing to retailers, through the lower corporation tax here and nine months of euro appreciation against Sterling, are not being sufficiently passed onto the consumer.”

Competitive Environment Tara Buckley, RGDATA Director General, told RETAIL NEWS that this incident illustrates how local retail convenience is more competitive for consumers. “It has highlighted that the consumer agencies and others who have pushed retailers towards shopping in global retailers have never quite looked at how they price, and whether or not they are really giving value to Irish consumers,” she noted. “It underlines the point that you need a good diversity of shops to create the right competitive environment. That includes good local shops as well as multinational players.” The NCA have yet to undertake any surveys as to whether or not consumers in border regions are travelling to Northern Ireland for their groceries. However, according to John Shine, “anecdotally, this does seem to be the case”. RGDATA members in border regions have told Tara Buckley that, on Friday and Saturday, there is a definite change in the pattern of shopping. “But they find that their shops

are quite busy on Sundays because people buy a lot of the staples that they wouldn’t have been able to purchase on a shopping trip up North. There are a lot of Irish brands that aren’t available in Sainsbury’s and other shops across the border,” she added. Nevertheless, an increased exodus of consumers to Northern shopping towns like Newry “clearly is an issue. The impact is early days, but it is something that we are all keeping a close eye on.” The industry is already reacting to accusations of price differences between sterling and euro zones. Tánaiste and Enterprise Minister Mary Coughlan TD recently met with senior representatives of Retail Ireland in regard to the matter. Retail Ireland have indicated that there have already been “reductions in the price of some goods imported from the UK and that further reductions were in the pipeline”. Meanwhile, Tesco Ireland has claimed that it held a meeting with its UK Tara Buckley, RGDATA suppliers, Director General.

News Special Report

seeking price cuts in line with the rise in value of the euro. The meeting, held over two months ago, resulted in the reduction of around 1,250 prices. However, “half” of their suppliers have yet to pass on the reductions. For RGDATA and smaller retailers, Sterling and euro price differentials bring into focus the pricing policies of the market’s larger retailers. “They are not giving such good value to consumers as they like to tell people that they are,” said Tara Buckley.

Rising Costs At the same time, rising costs mean that smaller independent players are fighting for the best prices from their suppliers. With a global downturn on one side, consumer demands on the other, retailers’ lives are unlikely to get any easier. “There is no doubt that prices have risen considerably over the last year,” said Buckley. “It is very hard for anybody to counteract that, given that there are global issues causing those increases. Independent players are fighting to get as good a deal as possible. But I can assure you that margins have not gone up for retailers. This is the impact of global food price increases. There is certainly no evidence of retailers profiteering on the back of global price increases. Times are tough. It’s still a very competitive market and there are huge cost pressures for small businesses.” 17


June08Karen

Meenan’s Top Tips

Computer and Gaming Magazines Uncovered Retail consultant Karen Meenan advises on how to encourage more male readers to your magazine stand – stock computer and gaming magazines, two very different sub-sectors.

When

you think about all the titles on your magazine stand, two sectors seem to take the lion’s share of space, women’s interests and comics. Women’s interests are hugely important to retailers, as they represent almost half the weekly sales of all titles – 45% in fact – and children’s titles are very significant because they are the purchasers of magazines in the future. The girls have a very clear reading layout: pre-school, primary girls, preteen, teenage, young woman and women’s titles. So I suppose if you were to place these titles in order, your customer buying ‘Disney Princess’ or ‘Barbie’ today could the proud owner of ‘Ireland’s Own’ or ‘Woman’s Weekly’ 60 years from now… 18

So the question really is what magazines on your stand will boys read after they are too old to read comics? Have you a range for young male readers to follow as they develop their reading skills or does your planogram (or lack thereof) offer them the choice of either ‘Spiderman’ or ‘FHM’?

Selling Magazines to boys In order to sell to boys, you must first trawl though the comics and pull out all the pre-school titles (boys and girls 0-5 who have not yet started school) and place them at the very centre of the bottom tier of your magazine stand. Place the girls’ titles to the left hand side of this – easy to find – they are usually pink with fluffy and glittery toys as cover-mounts. Next in line, place the pre-teen titles like ‘Bratz’ and ‘Go Girl’, which lead into the teenage titles ‘Kiss’ (for Irish teenagers), ‘Bliss’ and best seller ‘Sugar’. For boys, the selection is narrower. Pre-school titles preferred by boys are

The Official PlayStation Magazine, one of the biggest selling titles in Ireland.

‘Postman Pat’, ‘Thomas the Tank Engine’ and ‘Bob the Builder’ - a preschool comic with a boy’s name is usually the best indicator! After this, boys will select old favourites like ‘Beano’, ‘Dandy’, ‘Scooby Doo’ and ‘Spiderman’, along with football magazines like ‘Kick’, ‘Match’ and ‘Match of the Day’. If the boys are interested in sport, then you can sell them club specific titles, which will still be favourites in years to come. But what do you sell boys who have outgrown comics and yet have no interest in sport? We are about to uncover the world of Computing and Gaming Magazines…

Computing Vs Gaming

PC Live!, the Irish produced computing magazine, has been around for 14 years.

The sector referred to as ‘Computing’ is a notable player in the total magazine market – with annual RSV of over €120m in the UK and Ireland, which represents about 4% of the total. The sector actually comprises two very distinct sub sectors ‘Computing’ and ‘Gaming’.


June08Karen

games market and have disposable income to spend on Wii, Xbox 360, PS3 and other console games. Before they go to GameStop to part with yet another €100 of pocket money, many boys (and men!) will buy a gaming magazine to study the cheats for new computer games as they launch.

Games Market Worth $40 billion and Growing

The Official Windows Vista magazine is proving popular in Ireland and the UK.

The Computing sub sector is broadly recognised as covering the traditional PC/Mac areas of interest, and accounts for just over half (55%) of the sector. Gaming magazines focus on the various aspects of the computer games industry – both hardware (consoles and peripherals) and software (games), and accounts for 45% of the sector. The Gaming sector is the ideal bridge between boys and men – the ideal range of titles to merchandise between boy’s comics and men’s interests. Why? Because these readers are loyal followers of the computer

To put it in context, the computer games industry is now worth about $40 billion annually. The game ‘Grand Theft Auto IV’ was released at the end of April 2008 and generated over $505m in worldwide RSV, becoming the highest-grossing first week entertainment launch of all-time – bigger than any movie, album or DVD! There are three key sub-sectors within gaming, focused on specific consoles, Sony (Playstation 3), Xbox (Xbox 360), and Nintendo (Wii). The buyer in this sub-sector ranges from pre-teen boys to middle-aged men, but the typical reader is a male in their early twenties. The four best “must-stock” titles in gaming are: Official Playstation Magazine Official Xbox 360 Official Nintendo GamesMaster

Meenan’s Top Tips

(Nintendo) and Edge (multiformat). Also consider ‘Computing and Gaming Value Pack Series’, which is a regular series bumper-pack, containing two computing/gaming titles for a value price, encouraging greater basket spend. Gaming magazine sales are currently at their most buoyant for several years, with many of the magazines noted above achieving best-ever sales in recent months and continuing to grow throughout the rest of the year.

The Computing Consumer As a contrast, the computing consumer, while still mainly male (approx 90% of readers are male), tends to be between 30 and 40 years old. They are usually affluent, with average earnings over €55,000 per year. So in terms of merchandising, locate gaming titles next to comics and place computing titles higher up the stand next to other men’s interest titles. Many of these magazines are bought by men who are already working in this field (research shows almost two thirds of computing magazines are bought and expensed as a necessary work purchase), so these titles are not particularly price sensitive.

These top four titles carry exclusive gifts and reviews which set them apart as market leaders, and readers respond to this. GamesMaster is the biggest selling multiformat title as it covers every console and so appeals to all gaming readers.

Key Unofficial Titles

GamesMaster is the biggest selling multiformat title as it covers every console and so appeals to all gaming readers.

To create more sales, you should stock along with these four key titles, other key unofficial titles. These are usually heavily gifted, thus encouraging dual-purchase, which can take increase the shopper’s spend to over €15 for just two magazines. Key titles to stock here are PSM3 and PlayStation World (Sony), Xbox World 360 (Xbox), Ngamer

The Official Nintendo Magazine covers both the Nintendo Wii and DS, as well as the Game Boy and Gamecube 19


June08Karen

Meenan’s Top Tips

You should ensure that both PC and Mac products are represented in your range. Mac sales have grown by over 50% in the past year, up to 2.2m units per quarter.

Consumer Attitudes & Behaviour UK magazine distributors Seymour have undertaken several pieces of research into consumer attitudes and behaviour when shopping this sector, and the results are worth noting: •

• PSW, a hugely popular games title for PlayStation 3 owners

The best selling title in this sector in Ireland is ‘PC Live!’ which has been on the go since 1994 – a lifetime in the world of computing – and has had to change its editorial focus many times over the years to keep up with the industry. The format for ‘PC Live!’ has evolved to encompass science and research, along with traditional hardware and software features. While the circulation is relatively small, the readership is extremely loyal – mostly male readers over 25 who are not afraid to spend big money on the latest toys for big boys! Best selling UK computing magazines include ‘Linux Format’ and ‘PC Plus’, and impulse titles like ‘What Laptop?’

60% of shoppers plan their purchase before arriving at the store; Over 50% of shoppers will go to Retailers should ensure they cover Mac another store to buy their titles as well as those for PC, as Mac preferred magazine if sales are growing by over 50%, up to 2.2m unavailable; units per quarter. Readers have a wide repertoire of shops – they’ll buy their magazine from 3-4 different outlets; Over 1 in 4 buy one particular The best advice for retailers to magazine at least every 3 or 4 maximise sales of computing and months; gaming titles. Gaming readers buy over 11 gaming magazines per year on 1. Ensure you have the three average; official gaming titles and Computing readers buy 10 GamesMaster on shelf, and, computing magazines per year on space permitting, try to average; broaden your range to include One in three buyers will buy leading unofficial titles. more than one magazine at a time, provided the right titles are 2. Computing: ensure that both available to them; PC and Mac products are Typically, the market is at its represented in your range. most buoyant in Autumn/Winter, particularly October to 3. Fully face the best-selling December. magazines at front of shelf – they act as flags to attract shoppers to your shelves.

Top 5 Tips

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

Results Training & Marketing When Results Really Matter

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4. Readers of computing and gaming titles have a wide repertoire of magazines, so try to have a broad range and resist the urge to stop a magazine that hasn’t sold for a couple of issues. 5. Expand your range to meet seasonal peaks – Easter, the run-up to Christmas and the summer months.


We deliver on Time. We deliver on Service. We deliver on Margins. If you think it’s time to maximise your business potential, it’s time you switched to Costcutter. Find out why many leading retailers have already moved to Costcutter. Call Oliver Savage now on 086 603 6142 to find out more!


June08Money

Matters

When To Expand Your Business Carmel Linnane looks at the pro’s and con’s, and the variety of options, available to those considering expanding their business. “Some business owners prefer to ignore merging as a growth option, because the obvious candidate is often their main rival and they cannot quite bring themselves to get into bed with them. Smart entrepreneurs do not indulge in such myopia.”

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Some

people believe that standing still in business equates to stagnation. But is growth always good? There are times when expanding the business is the best way forward, but not always. To go to the trouble and expense of branching out, the end result has got to make sense. Sometimes a business expands and all that happens is that management have to work harder for the same income, or worse still, the business starts to lose money. The decision to expand your business must be a result of thoughtful consideration. In general, you should expand only if there are untapped opportunities that you can exploit. Perhaps there is some new niche that you want to take on or you may have identified a location that is not adequately serviced. Before you do anything else, you must sit down and draw up a list, starting with the obvious question: what are the advantages of expanding your business?

Advantages Expanding the business does not always mean more profit. You may be turning over more volume by adding a second and third store and working harder, but with the additional overheads, you may not make any more

money. So what can you gain from expanding? One obvious gain is greater ‘economies of scale’. The bigger you are, the more clout you have. You may get better terms from your suppliers as you are now buying for two or three stores. Depending on your size, you could get lower prices for everything from raw materials to transportation, warehouse space and so on. You can also spread the load in terms of administrative costs-per-unit and advertising costs. On the sales side of the business, you will be in a better position to deal with price-cutting by your competitors, as bigger sales volume means you can offset lower per-unit revenue. Your increased size allows you to sell larger quantities at lower per unit prices.

Competition You must make your decision to expand from a position of strength, not panic. If your competitors are increasing their operations, that is not a good enough reason for you to follow suit. The competitors may want to exploit new, untapped opportunities in the market. Why not wait and see how it turns out for them and then hop on the bandwagon if it



June08Money

Matters

makes sense for you? By waiting for the results, you get them to take the risk while you benefit from their results: then you can use their ideas and improve upon them.

Negatives Expanding your stores can be very disruptive to business. You must calculate the cost of this disruption in lost business, customer upheaval etc. Timing is a crucial factor and the best-laid plans can always be thwarted by random events in the marketplace. A downturn in the economy can drastically reduce consumer demand for your products. So make sure that the business environment can support your expansion before you go ahead. Another crucial factor is logistics. The larger you get, the more difficult it will be to manage the business. You may have been the kingpin in the smaller operation but you cannot be everywhere at once, so you must delegate responsibility. If you are opening a second store, you may need someone to manage that store. Growth may force you to let go of the total control you enjoyed when the company was smaller and that may not be an easy adjustment.

Finance Getting the figures right is crucial. You must be practical about your expansion plans, even it expanding seems the right thing to do. First, you must see if your cash flow can support the new investment. Sit down with your accountant and work out how you can pay for the additional stock, new facilities, equipment and ultimately, additional personnel. The ideal situation would be to expand only when you have the funds to hand and you have already proven that demand exists for your products. However, you may need additional funds to achieve your expansion, so you must look at the options open to you. You can increase your debt or sell equity in the business. Make sure that the new venture will be profitable enough to allow you to earn money and repay what you borrow. Many small businesses have met untimely ends due to miscalculations

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when it comes to future revenue streams.

Venture Capital Another route to follow is to try and attract the attention of venture capitalists. If you succeed, then you must be prepared to relinquish part, or even total control, of your business. Some investors will demand equity or a role in the day-to-day operation of your business. Some will even agree to fund you on condition that a person they recommend will run the expanded venture. This type of arrangement will not suit everyone. However, if you do end up with new people on board, be prepared to embrace new ideas rather than fight every change. Your new manager may have some suggestions on how to improve your business. Be prepared to listen and change.

Mergers There are many ways to grow a business but one which is often overlooked or undervalued by small to medium sized enterprises is growth by merger. Some business owners prefer to

“You must make your decision to expand from a position of strength, not panic. If your competitors are increasing their operations, that is not a good enough reason for you to follow suit.�

ignore merging as a growth option, because the obvious candidate is often their main rival and they cannot quite bring themselves to get into bed with them. Smart entrepreneurs do not indulge in such myopia. There are obvious advantages to buying into an existing business. First, there are no set-up costs. Second, the risks associated with starting a totally new venture are absent. Thirdly, the financial health and profitability is apparent in the management accounts. Fourthly, the company will have already established a customer base and the business flow should be quantifiable. Because of these factors, it should be far easier to raise finance for the venture. Even if the target company is not profitable, you may be able to bring new strengths to the venture to maximize its potential, turning it into a viable company. You will have the hindsight of what the company did in the past and can decide what is working and what should be changed. If you are happy with your reasons for buying into this business, then the next thing to do is examine the package you are buying into. You need to do a thorough investigation of the company’s historical performance, its operations, current status, the staff and management, competition, the industry and its future potential. Whatever the motive, the one thing that all acquisition strategies have in common is a desire to strengthen and grow their existing business. However, mergers need careful planning if a successful outcome is to be achieved. There are many ways to grow the business but deciding when to expand requires good research, careful timing and more than a little bit of luck. Like many things, steady, controlled growth is a more managable way for many to proceed. Unless you have the funds to ride out a downturn, you may end up in trouble, no matter how carefully you work out your profit stream. You must be able to quantify the added value your expansion will bring to the table before you make the move to expand.


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June08Retail

“We’ve tried hard to source

News Interview

from small producers, family run places in Italy which are short distances from where the sauces are put in jars, so that none of the natural flavour gets lost. It’s a little more expensive than some competitors’, but the quality is far, far higher.”

Jamie’s Magic Touch Jamie Oliver has launched a new Italian food range onto the Irish market. The celebrity chef explains the reasoning behind the new range and spills the beans on some of his other campaigns.

A

new range of Italian foods developed by Jamie Oliver has just been launched in Ireland, at an event hosted by the Ambassador of Italy, Lucio Alberto Savoia at his stunning residence at Lucan House, Dublin, with Jamie on hand to share his latest new recipes. Marketed by Fresh Retail Ventures and distributed by BR Foods in Ireland, the range includes pasta sauces, pesto sauces, posh bread spreads, grinders and meal kits, using recipes that have come directly from Jamie’s kitchen. The new range of sauces is predicted to capture 20% of the growing Irish market for pasta sauces.

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According to Jamie, his new Italian food range is for people who appreciate the importance of good food and healthy eating, but don’t always have the time or know-how to do it themselves: “These are authentic Italian recipes that taste how they should, with big hits of chilli, great bites of olive, and large chunks of ingredients to give brilliant flavour and a real homemade taste.” The pasta and pesto sauces come in mouth-watering flavours including aubergine & olive, red onion & rosemary, and chilli & garlic. Simple tips on the pack also make it easy for all amateur chefs to produce a great tast-

ing meal that looks homemade, Jamie explained at the launch in Dublin. The Essex born celebrity chef has made 11 different television series which are broadcast in over 60 countries worldwide, and has written eight cookery books which have sold over 14m copies. Why did you feel the time was right to launch a range of retail products? It’s something I’ve been thinking about for a while. A lot of people need help to eat well and ideally, they’d be making their own meals from scratch but I appreciate that sometimes there isn’t the time to do that and it’s quicker to just open a packet or a jar. I wanted to make products which were delicious, full of good stuff but convenient at the same time. What do your products offer the consumer that competitor offerings do not? Well, mine taste better for a start. I hope you can taste that when you try them. We’ve tried hard to source from small producers, family run places in Italy which are short distances from where the sauces are put in jars, so that none of the natural flavour gets lost. It’s a little more expensive than some competitors’, but the quality is far, far higher. You have a reputation for sourcing quality, fresh and ethically produced/grown ingredients: was it difficult to find suppliers for


June08Retail

News Interview

your new range where the traceability was transparent? It wasn’t easy, but we have a great team working with us and managed to source from a variety of places across Italy. With the well documented rise in obesity, is there an argument that offering ready-made convenience products to consumers is merely adding to the problem? No, because these sauces are full of authentic ingredients, with no bad stuff like hydrogenated fats or whatever. The pasta sauces, for example, are simply tomatoes, herbs and spices and a bit of salt and oil. Everyone talks about today's cash-rich, time-poor consumer and the continued growth of takeaway culture: but have you some tips on eating healthily without spending hours each day cooking? Well, I like to cook things in bulk at the weekends and then freeze them in batches so Jools or I can have them during the week or the week after. I also think that pasta is one of the quickest, simplest things you can cook up – between 15 and 20 minutes from putting the water on to boil to having a meal on the plate. You have had a very successful campaign to get children eating healthily (Jamie's School Dinners etc): are you fighting a losing battle? How is this worthy cause sustained when the media frenzy has died down? It’s a project that’s going to take another 10 years, really. Some of the things the British Government promises, they’ve given. Other things they’ve promised haven’t materialised. But the fact is that food in schools has improved. Numbers are up in a lot of primary schools and things are moving in the right direction. I’m taking a back-seat at the moment and watching how things go, but I’ll come back to it in a year or so. While we are on the subject of campaigns, your Fowl Dinners TV programme caused a huge stir. You were successful in getting many of the supermarkets on side

Pictured with Jamie Oliver in Superquinn Lucan are William Rochford, BR Foods, and Valerie Rice, Marketing Director of Superquinn.

but has there been much of a backlash from the producers of farmed chicken? I haven’t had a backlash at all. In fact, I spoke to a lot of farmers during the making of the show and all of them, without exception, were wanting to convert to a system which was acceptable under the RSPCA Freedom Food Rules. They were worried that people would turn their backs on British chicken and buy from overseas, but the public movement towards free range and organic birds and eggs has surprised a few people, I think. While you encourage consumers to eat organic, free range or higher welfare birds, there is still the big issue of cost, particularly now that the price of poultry feed, especially organic, has risen dramatically world wide. I know of one organic producer in Ireland that has had to pull back on organic production as he cannot afford the feed. Do you have any comment on this? What I always say is this: buy the best welfare bird you can. If you can’t afford organic or free range, go for the Freedom Food standard. I also think people need to know how

to use their bird economically. You can often get three meals out of one bird – roast chicken on a Sunday, then take off any leftover meat for sandwiches and use the carcass to make a stock as a base for soup, stew or risotto. What do you think are the big trends in food for the coming year? Seasonality continues to be high on everyone’s list. That and affordability on the high street. If you bring your wife or a colleague out for a meal, do restaurateurs appear terrified when they see you walking in the door? I have had a few funny looks but I tend to go places where I know the chef. Having said that, I had a delicious steak in Dublin at the Town Bar & Grill. Is there a particular food or ingredient that you will never taste or use? Ready meals, that’s it really. What is your most frequent and favourite meal that you cook at home? Probably roast chicken. Or it might be a simple tuna pasta that Jools loves. 27


June08Drinks

News

Heineken On Song! NICK Cave, pictured with Shane McGowan, was one of the headline acts at the 13th Heineken Green Energy Festival in Dublin Castle over the May Bank Holiday Weekend 2008. Heineken also gave away tickets exclusively on www.heinekenmusic.ie for the much anticipated Irish premiere of Radio Soulwax ‘The Weekend Never Dies’ screening on May 4 in the IFI. The film documentary was screened at both 14.00 and 15.30 on the Sunday as the

Bud Light on TV BUD Light has launched its first television advertising campaign developed specifically for the Irish market, as part of a new integrated campaign centred on Bud Light as the smarter choice. The heavyweight campaign features an intensive programme of above- and below-the-line activity, incorporating advertising on radio, outdoor, transport and TV, as well as sampling, sponsorships and PR activity over the summer months. The executions, developed by DDB London, focus on Bud Light drinkers finding smarter ways of doing things, with a humorous, tongue in cheek style and tone.

warm up for the Radio Soulwax headline performance at Dublin Castle later that evening. Over 15,000 people attended the festival this year.

Smirnoff Ten in Dublin THE Smirnoff Ten were in Dublin recently to experience the best of the capital’s nightlife. One of the Smirnoff Ten, Abdul Kareem Minhas is pictured with top Irish models, Ruth Griffin and Aoife Coogan, on the night, where cocktails and dinner in Diep La Shaker were followed by dancing in Krystal. Having visited many of the world’s cities like Moscow, Buenos Aires, Salvador, Cape town, Sydney and Shanghai, the Smirnoff Ten were unanimous in adding Dublin to their top five list of hip destinations. The Smirnoff Ten are a group picked by Smirnoff to travel the world in search of original nightlife. The team continue to produce films, blogs and photography about their trip, all of which is available at www.youtube.com/smirnoffexperiencetv and www.smirnoff.com.

Bushmills Trek TO mark the celebration of the recent 400th anniversary of the licence to distil, which was granted to the Bushmills area in 1608, Bushmills is offering four lucky people the chance to experience an unforgettable journey with The Bushmills Trek, where one lucky winner from the Republic of Ireland and one from Northern Ireland (plus partners) will experience three continents in three months, living in some of the most breath-taking locations in the world. Pictured at the launch of the Bushmills Trek is Bushmills Trek hopeful, Fionnan Kennedy; Bushmills Assistant Brand Manager, Orla Flanagan; and model Sarah Morrissey. See www.bushmillstrek.com for further details.

Heineken Kinsale 7’s THE 20th Heineken Kinsale 7's was once again an action packed and fun-filled weekend, with 10,000 visitors attending the event over the May Bank Holiday weekend. 96 teams played in over 200 games throughout the course of the weekend for a prize fund of €30,000. For the first time ever, the IRFU entered a development team and they enjoyed huge success over the weekend. Heineken has furthered its commitment to the tournament by extending its title sponsorship until 2011. Pictured are the winners of the Men’s Senior Cup, the Adidas Marauders, with Gerrit van Loo, Managing Director, Heineken Ireland, and Pat Maher, National Events and Sponsorships Manager, Heineken Ireland.

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FLORA LAUNCHES COOKING WITH SCHOOLS TOKEN COLLECTION PROGRAMME

Image shows Kevin Dundon with a group of children at national launch of Flora Cooking with Schools

Over 400 schools throughout Ireland have already registered to take part in The FLORA Cooking with Schools Programme which aims to get primary school children all over Ireland both cooking and learning about healthy food. Flora is on a mission to make the world’s hearts healthier and diet is a great place to start. The aim of this latest schools campaign is to start education about healthy nutrition early and help children to understand the importance of a healthy balanced diet. Many children struggle to eat a healthy diet and increasing numbers of children are leaving school without learning how to choose and prepare healthy food. Schools from all over the country have already registered on www.cookingwithschools.com and pupils, parents and friends can get busy over the summer collecting ‘Cooking with Schools’ tokens from special packs of Flora. Anyone can simply register their tokens for their local school on the website. Each school can then redeem their tokens against a range of cooking equipment so the more tokens they collect the more equipment they can get for their school. With everything from cooking utensils, weighing scales and cake tins right up to mini ovens available schools all over Ireland will be all set to cook up healthy dishes. Each one of the 400 schools registered to date on www.cookingwithschools.com will receive a free multi media resource pack. The curriculum linked pack is full of nutritional advice and recipes presented in a fun and informative way for school children aged from 6-11. The Flora Cooking with Schools programme is being supported with PR activity including endorsement by celebrity Chef Kevin Dundon and a sustained media relations campaign.


RN

June08On

The Vine

South Africa Rising! Jean Smullen examines the continued rise in popularity of South African wine on the Irish market.

Let

us go back to February 10, 1990, when Nelson Mandela walked down the drive of Pollsmore Prison. In those days, in wine buying terms, South Africa was still an international outcast. Bulk wine sales account for most of South Africa's market share. Move forward 18 years and the South African wine industry is beginning to match the Australian model. The industry is dominated by a group of corporations, who account for up to 75% of the branded wholesale wine industry, with the fine wine market dominated by a number of small to medium sized companies who are now making significant inroads into the global export market. South African wines first appeared on the Irish market in 1992. Nederburg was one of the first big South African brands to make a major impact here and today, Nederburg, which is owned by Distell, is one of the biggest South African producers distributed here by Edward Dillon & Company Ltd, who also distribute another key South African quality wine brand, Durbanville Hills. Other South African wines which feature strongly here in terms of wine sales, include Kumala (Allied Drinks); Bellingham and Douglas Green (Cassidy Wines); Hutton Ridge and Boschendal (Barry Fitzwilliam Maxxium); Robertson Wines (Coman's Wines); Drostdy-Hof and Two Oceans (Febvre & Co); De Wetshof and Neil Ellis Wines (Findlater/Grants); Du Plessis/Havana Hills and Mont Rochelle from GHS Classic Drinks; Fairview (Wines of Charles Back) which includes the imaginative Goats Do Roam range of wines, distributed by Gilbeys Wines. Long Mountain Wine Company, which is owned and distributed by Irish Distillers/Pernod Ricard, is

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wine market in 2007 was 8.2%, which extremely popular, while KWV, equates to 672,000 cases of wine. who once controlled the wine Total case sales on the Irish market industry in South Africa, have for 2007 were 8.7m, which was up 6% their wines distributed in Ireland on the previous year. by Kelly & Co. (Dublin) Ltd. Spier & L'Avenier Estates are distributed by Galvins Wines A Little History & Spirits. Niel Joubert wines It is important to take a look at are widely available through the bigger picture when reviewing Supervalu/Centra stores and South Africa as a producing counimported by Newgate Wines. try. The vine has been grown in Klein Constantia Estate and South Africa for over 300 years. Lourensford are distributed by The father of the South African Gleeson Group and last but wine industry was a 33-year-old not least, Graham Beck wines Dutch surgeon, called Jan van are distributed here by Riebeeck who was appointed by Woodford Bourne. Brand new the Dutch East India Company to to the market is the new set up a supply station in the mid South African “uber” brand 17th century and who brought Golden Kaan, whose distribusome vines (vitis viniferia) from tion rights have just been France (alleged to be Chenin Drostdy-Hof, the secured by Ampersand Blanc) to plant, to see if they hugely popular Sales. would grow. South African According to the latest Doctor van Riebeeck found wine brand, figure to December 2007, that the Cape was an ideal available from South Africa's share of the Febvre & Co. Ltd. place for the viniferia vine to

Irish Wine Market Overview 2007 THE Irish wine market has undergone phenomenal growth in recent years. Between the early 1990s and 2006, the number of cases of wine sold in Ireland more than tripled in volume, from 1.7m cases in 1990 to 8.7m cases in 2007. Alcohol accounted for 8% of total consumer spend in Ireland in 2007, a figure of €7 billion. Wine consumption as measured by retail sales value in 2007 accounted for 17.9% of retail sales of alcohol. During this period, beer sales dropped from 58.3% of the total alcoholic beverage market in 2000 to 50.6% in 2007. In 2007, wine consumption stood at 18.1 litres per capita. Although this figure represents a significant increase on consumption levels of previous years, Ireland continues to have one of the lowest wine consumption levels in Europe. The European average is estimated to be 30 litres per annum and per capita consumption of wine is expected to increase further in the coming years due to greater adoption of wines into the repertoire of Irish drinkers and the greater affordability of wine. Source: Wine Board of Ireland - May 2008


June08On

Ampersand To Distribute Golden Kaan GOLDEN Kaan have engaged the experienced, family-owned distributor Ampersand as their new Irish partner for their hugely successful South African brand and are looking forward to a successful launch and a penetration of the Irish market this summer. The launch of the wine range, developed and managed by the joint venture between the Racke Company and KWV International, will encompass four popular varietals available through Ampersand, Sauvignon Blanc, Chardonnay, Merlot and Cabernet Sauvignon, each with a promotional RSP of €7.99 supported by bottle collars. The launch of Golden Kaan onto the Irish market will also receive marketing support as a sponsor of the successful show ‘Afrika! Afrika!’, when the show hits Dublin from September to November later this year. The South African wine range is the exclusive sponsor of this fabulous, international spectacle, where Golden Kaan will be exclusively served at each event. Ampersand are offering through RETAIL NEWS the opportunity for their readers to win three sets of two tickets to this fantastic show. To be in with a chance to win, simply answer the following question and send all entries with your name and contact details to info@ampersandsales.ie.

Golden Kaan, the South African ‘uber’ brand is the latest addition to the Ampersand wine portfolio.

The closing date for entries is July 25, 2008.

Grape Varieties In South Africa, a wine variety is known as a cultivar. Chenin Blanc is

that isn't Sauvignon Blanc or Chardonnay! For red grapes, Cabernet Sauvignon is South Africa’s most planted international variety and accounts for a high proportion of the total red plantings. Shiraz has also become very popular on its own and blended. Pinot Noir is also planted, as are Grenache, Carignan, Cinsault and Mouvedre, all of which contribute to the Rhone look-alike styles that are now increasingly a feature of wine making in South Africa.

Pinotage

Q. How many Golden Kaan varietals are available from Ampersand?

thrive successfully and the Cape wine industry was born. The quality vineyards of South Africa are widely dispersed through the Western and Northern Cape, strung between the Atlantic and Indian Oceans. The climate is Mediterranean, which gives long hot summers from November to May moderated by cold, wet, blustery winters, with snowfall on the higher mountains. Late frosts are rare, so are heavy summer rains. The Benguela current from Antarctica also cools the weather in the Cape Region. Average summer daily temperatures are 23 Celsius/73 Fahrenheit between February and March. This warm climate produces very ripe grapes.

The Vine

by far the most widely planted white grape variety. There has also been a marked increase in the plantings of Chardonnay and Sauvignon Blanc, with both these grape varieties producing wines which have their own slightly softer New World style. Chenin Blanc is known in South Africa as Steen and has been the dominant white grape variety in South Africa for many years. If ever there were a grape with huge personality, the Chenin is it. It’s a grape seemingly at odds with itself in the dual roles of major player in the New World but also a creator of fantastically long-lived wines of all levels of residual sugar, from bone dry to amazingly sweet and rich. The varietal has a high natural acidity, great for making crisp wines in the New World, which offers the wine consumer a choice

The Pinotage blend was first created in 1925 by a well know Stellenbosch oenologist Abraham Perold when he crossed Pinot Noir with Cinsault (then known in South Africa as Hermitage). The idea was to combine the latter’s hardy high yielding traits with Burgundian complexity and flavours. The union was a great vineyard success and the new grape’s early ripening and good colour attributes made Pinotage an achievement beyond Professor Perold’s imagination. The wine’s unusual combination of cloves, plums, bananas, cherry and chocolate flavours results in a blockbuster wine with character. The added advantage for the grape is that it can produce medium full-bodied wines with balance and great versatility, which also offer good value for money. There are many quality producers also available on the Irish market and four companies in particular specialise in quality boutique wines from South Africa. Wineries to look out for include Dieu Donne, distributed by Tony Angelosante of The Wine Seller; Hazendal and Eikendal Vineyards which are part of the portfolio of Table View Wines; Two Oceans, from Febvre & Papillion Wines, who have Co. Ltd, is an a comprehensive range of easy-drinking South African wines, and very including Thelema versatile range of food- Mountain Vineyard and friendly wines. Mulderbosch, Cabriere

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RN

June08On

The Vine

Concours Mondial THE 2008 Concours Mondial de Bruxelles took place this year in April in Bordeaux Aquitaine. Concours Mondial is an international wine tasting competition which offers optimal conditions for tasting wines and spirits from the four corners of the world, awarding top-class producers with medals to reflect the quality levels of the wines. This year, 48 countries took part and a huge range of wines and spirits were tasted by a panel of 230 wine experts and journalists from 45 different countries (including two representing Ireland), all of whom worked for three days on the tasting panels to assess and judge the 5,890 wines and 299 spirits. At the end of each tasting, each sample is allocated a mark out of a hundred. These results are then assessed and computed using an accredited method, overseen by the statistical institute of the Catholic University of Louvain. Medals are then awarded as follows: Great Gold, Gold, and Silver. As well as the medals, a series of ‘Best Wine’ trophies are also awarded to those wines which have obtained the highest marks in the relevant category, eg. Best White Wine, Best Red Wine, Best Sparkling Wine and Best Sweet Wine. It was interesting to see that out of the 58 Great Gold Medals, France was in first place with 11 medals, followed closely by Chile with 10 and Spain with 9. All three performed well in the Gold Medal category, with France ahead with 159 Gold medals, Spain in second place with 122 and Chile in third with 39. Portugal too had an impressive 5 Great Gold and 37 Gold Medals, putting it in fourth place overall. Italy came next with 3 Great Gold and 32 Gold Medals. See http://www.concoursmondial.eu/ for more information.

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New Pack from Arniston Bay THIS month, FindlaterGrants has launched an exciting new pack format from the popular South African fine wine makers Arniston Bay. The new, easy to carry and resealable 1.5 litre lifestyle pouch offers consumers a new packaging format and comes with an easy-pour tap. The pouch fits easily into a fridge, chills quickly and is lighter to carry than the traditional bottle format. It is an ideal solution for people on the go and for outdoor occasions, especially during the summer period. . Once opened, the product stays fresh for up to one month of opening. Arniston Bay’s new, The new Arniston Bay easy to carry and pack comes in two of the resealable 1.5 litre brand’s most popular varilifestyle pouch comes etals: Chenin Chardonnay with an easy-pour tap, and is available and Pinotage Rosé. The new format is also extreme- in the hugely popular Pinotage Rosé ly environmentally friendly varietal. and offers a 80% lower Carbon footprint and takes 90% less landfill to fill than two glass bottles, making it very desirable to the Chenin Chardonnay, ethical wine drinker. one of the two varietals Retailing at €15.99, the new Arniston Bay pack from Arniston Bay formats are available across all channels. available in the new easy to carry, For further information or to order please call resealable 1.5 litre FindlaterGrants Customer Care 1850 200 569 or lifestyle pouch. email Customercare@candcgroup.ie. Estate and Seidelberg. Finally, Wine Time distribute Ridgeback here in Ireland. Other key wines which are a must on any list are the incomparable wines of Springfield and Warwick Estates, distributed in Ireland by Searsons Wine Merchants; Boland and Cape Point, which are brought in by Mackenway; Kaapzicht and Newton Johnson, distributed by Karwig Wines; and Sumaridge Wines, which are distributed by Inis Wines. Contact details for some of the specialist importers of South African wines are as follows:

Table View Wines (Tom Dunphy) Tel: (01) 285 2322 email: tableviewwines@yahoo.com

The Wine Seller (Tony Angelosante) Tel: (086) 852 2563 email: tony@the-wine-seller.com

Inis Wines (Liam & Alice Sweeney) Tel: (074) 954 2940 email: iniswines@eircom.net

Wine Time (Noel Reid) Tel: (086) 254 2453 email: winetime@eircom.net

Karwig Wines (Joe Karwig) Tel: (021) 437 2864 email: info@karwig-wines.ie

Papillon Wines (Jennifer Sanford) Tel: (01) 479 4300 email: jennifers@oyster.ie Searsons Wine Merchants (Jeff Corbett) Tel: (01) 280 0405 email: shop@searsons.com Mackenway Distributors (Robert, Christine & Bren Smith) Tel: (01) 284 8411 email: Robert.Smith@mackenway.com


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GOLDEN KAAN – the benchmark for exceptional South African winemaking and quality. Join the success, join GOLDEN KAAN! For orders please contact: , Naas Road, Clondalkin, Dublin 22 Tel: 01 4130150

Internationally awarded:


June08Bread

Our Daily Bread Despite the massive rise in commodity prices, the Irish bread market is holding its own, thanks to the growth in healthy, functional breads and speciality and continental products.

2007

was a difficult year for the Irish bread market, due primarily to the dramatic rise in wheat prices on the global commodity market. This led to a series of significant price increases in flour – the principal ingredient in bread manufacturing. The Irish Bread Bakers Association (IBBA) coordinated a media relations campaign to explain to consumers the pressure that the commodity price hikes were placing on the sector. By September 2007, the cost of bread wheat (pre-milled flour) on international commodity markets had risen year-on-year by 70%. This record increase followed a 40% yearon-year rise during 2006. Paul Kelly, Director of Food and

34

Drink Industry Ireland, speaking on behalf of the Irish Bread Bakers Association, commented, “The bakery sector is of significant importance to the Irish economy, employing over 4,000 individuals throughout the country. However, the cost of doing business in today’s market is becoming increasingly difficult. We have already seen a number of bakeries close over the past few years because of cost pressures. Considering this recent spate of cost increases, I would not be surprised to see more casualties, as businesses can’t continue to absorb these kinds of cost increases.” Kelly noted, however, that medium term responses to increase supply are already on track. “The EU has directed all set-aside land to be allocated into production for the first time in many years (potentially increasing cereal production by up to 17m tones) and the US Department of Agriculture is forecasting a 6% increase in the area planted for wheat next year in the US. However, the effect of these measures will not be felt by the marketplace and the food sector for some time and even then, the improvement will only be marginal.”

In terms of the retail market, higher costs have meant higher prices for consumers. However, the bakery industry has worked hard in its attempts to expand the bread market by means of new product development (NPD), particularly in the area of premium branded products. The continual consumer interest in healthy eating has also helped market growth, with growth in brown bread and wholemeal bread. Meanwhile, the ethnic and speciality breads sector continues to grow and develop, particularly the phenomenal rise of continental breads in-store.

Cuisine de France Cuisine de France has unveiled a new range of Artisan French breads and a premium selection of viennoiserie pastries, Cuisine de France Première. The Cuisine de France Première range offers Irish consumers even more authentic tasting French products - a true French Boulangerie experience - by providing a unique range of breads and pastries truly inspired by typical French Boulangeries. Cuisine de France Première celebrates all that is good about tradition-

The Cuisine de France Multiseeded Grain Baguette is a delicious fusion of traditional grains crammed with a mouth-watering blend of seeds.



June08Bread

convenient way of incorporating an end independent retailadditional source of fibre into their ers, as well as select daily diet. Dunnes and Tesco stores. Cuisine de France Taste of Italy is Cuisine de France has a range of premium Italian breads also launched the which are inspired by recipes and Multiseeded Grain ingredients from the regions of Italy. Baguette, an exciting To continue on the success of the ever new line to complement popular Tate of Italy Durum Wheat the existing French Ciabatta, Taste of Italy Rosemary bread range. The Cuisine Panfocaccia and the Taste of Italy de France Multiseeded Tomato & Oregano Panfocaccia, Grain Baguette is a deliCuisine de France have recently cious fusion of traditional launched the Taste of Italy Mixed grains crammed with a Pepper Panfocaccia. This new addimouth-watering blend of tion to the Taste of Italy range deliseeds, from sunflower ciously combines the airy moist texseeds and linseeds to ture of traditional Italian Panfocaccia sesame seeds, all comwith succulent red, green and yellow bined to delivery a tasty Cuisine de France Première celebrates all that is baguette packed full of peppers. good about traditional French bread and With the summer months fast goodness and flavour. viennoiserie. approaching, the wonderfully tasting In response to changTaste of Italy mixed pepper ing consumer lifestyles, Panfocaccia taps into the trend of dintastes and profiles, Cuisine de al French bread and viennoiserie. The ing al fresco, combined with the move France continues to create excitebread is not just an epicurean pleastowards the Mediterranean Diet. ment through innovation in the inure but also pure, made from the store bakery category. The Cuisine finest French flour, free from addide France Multiseeded Grain tives, with a long slow fermentation Johnston Mooney & Baguette taps into the consumer process that develops the characterisO’Brien trends towards health and wellbeing tics and taste. A factor in setting this In early 2007, Johnston Mooney & and offers consumers further choice range of Artisan breads apart from O’Brien took a strategic decision to for all their usage occasions. As the the rest is that the bread is baked on review their brand. A major part of Cuisine de France Multiseeded a granite oven floor, mirroring the trathis review was to create a brand Grain Baguette is a proven source of ditional French baking process, to strategy that defines the brand’s fibre, it provides consumers with a deliver an authentic thin and crisp uniqueness and relevance for cuscrust. The mouth watering arotomers, while simultaneously ma, distinctive crust and a rich developing a fresh, modern logo golden colour all combine to creand strapline that captures their ate the unmistakable flavour of new brand positioning. Cuisine de France Première. They believe that the brand’s The emphasis on premium new identity positions Johnston, taste experience and texture Mooney & O’Brien as one of the extends to the selection of most courageous, innovative and Cuisine de France Première refreshing bread brands in Viennoiserie. High quality butIreland. ter from the Poitou Charentes Having engaged in extensive region of France gives the market research and brand develViennoiserie its delicious aroma opment, their extensive product and unique taste. range, now newly branded, offers Cuisine de France has been consumers a real choice in the synonymous with French bread marketplace. The Johnston since 1989. The new Cuisine de Mooney & O’Brien brand is being France Première range draws on supported with an aggressive the expertise and experience of a national sales and marketing network of craft bakers to delivcampaign. This support proer a truly exceptional range of gramme includes an exciting new artisan French breads and fine range of TV, radio, outdoor and Viennoiserie. The range is avail- The Taste of Italy Mixed Pepper Panfocaccia combines press ads in 2008, along with the airy moist texture of traditional Italian able in-store now at select retailextensive trade and consumer Panfocaccia with succulent red, green and yellow ers such as EUROSPAR, high promotions involving all their peppers.

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June08Bread

Doorsteps from Johnston Mooney & O’Brien: offering consumers a real choice in the marketplace.

trading partners. Major investment has been spent on developing and redesigning their product packaging, resulting in a modern and fresh look and providing stronger uniformity to their products on-shelf.

Worlds Apart brioche from Irish Pride appeals to consumers of all ages and it is the ultimate treat and indulgence in the bread market.

Irish Pride

Irish Pride Bakeries pride themselves on the wide range of tasty, fresh and healthy breads that they deliver nationwide. Irish Pride offers one of the widest range of products in the bread market, from standard white and wholemeal sliced pans to delicious fruit breads and indulgent brioche. They continuously monitor changes in the market place and have positioned their range of breads to meet the needs of the Irish consumer. One of the major trends in the market The hugely popular Toastie brand from Johnston Mooney place continues to be & O’Brien. the move towards ‘Health and Wellness’. Irish Pride Healthy Grain is the leading malt bread in the market, according to the company, offering consumer health benefits that include being high in fibre, fortified with folic acid and no hydrogenated vegetable oil, as well as Johnston Mooney & O’Brien’s Hearty Grain brand is great taste and freshproving a real winner with Irish consumers. ness. The success of their Healthy Grain 800g has led Their future lies in ongoing prodIrish Pride to develop a complete uct innovation and increased efforts range of Healthy Grain breads that to attract new customers to their wide includes a half pan, cob, bap and range of quality breads, buns and snack roll, ensuring that consumers rolls. In the coming months, Johnston can enjoy Healthy Grain at any meal Mooney & O’Brien will launch a numtime. ber of exciting new products. 38

The fruit bread sector in Ireland is very limited, according to Irish Pride, offering the consumer a range of traditional sliced bracks. Irish Pride Bakeries recognised the need for a modern fruit bread that would appeal to a younger consumer and help to revitalise the category. This led them to develop the delicious and mouthwatering Irish Pride Red Berry Fruit Loaf. Packed full of cranberries, strawberries and raspberries, this bread is truly unique in the marketplace and

Irish Pride Healthy Grain is high in fibre, fortified with folic acid and contains no hydrogenated vegetable oil, as well as offering great taste and freshness.

will help to add value to the Morning Goods sector. Research carried out by Bord Bia identified the trend whereby consumers aim to ‘live life to the full’. This means that they like to enjoy ‘treats’, even when they are following a healthy diet. In addition to the core Irish Pride brands, Irish Pride Bakeries also distributes the market leading brand Worlds Apart. Their Worlds Apart


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June08Bread

Irwin’s Nutty Krust

Brioche range includes a traditional brioche loaf, mini milky brioche and mini milky brioche with chocolate chips. They recently added Worlds Apart Brioche Loaf with Chocolate Chips to their range. Worlds Apart brioche appeals to consumers of all ages and it is the ultimate treat and indulgence in the bread market.

Brennans Brennans is by far and away the leading bread brand in Ireland and the brand’s leadership is

tent, heavy advertising investment over many years and they are committed to continuing this investment. The newly launched Brennans Half & Half has the taste and versatility of White bread but with benefits of Brown bread. Half n Half is free from artificial flavourings and does not contain any ‘bits’. This will have particular appeal to kids. The launch of Brennans Craft Bakery Wholewheat has been a big success in the morning goods range. Also included in the range are Buttermilk Soda, Hi-Fibre Bran, Wholewheat Soda and Traditional Brown Soda. This strong range has become ever popular with consumers

Pictured welcoming Irwin’s Nutty Krust to Ireland for the first time is Karolina Kobylaƒska from Tesco Ireland, with Brendan Lappin, Irwin’s Business Development Manager.

NORTHERN Ireland’s top selling batch bread, the iconic Irwin’s Nutty Krust is now on sale in the Republic of Ireland for the first time thanks to a ‘batch’ of important new supply contracts secured by Irwin’s Bakery with leading Irish retailers. In separate deals representing a combined 300,000 additional Nutty Krust loaves each year at a potential retail value of some €500,000, Irwin’s has achieved listings for the top-selling batch bread with Tesco Ireland, Dunnes Stores and the Musgrave Group. It is supported by an investment of €100,000 by Irwin’s in production upscale, supply chain and marketing costs. In a landmark move for the brand, Irwin’s launched three new Nutty Krust varieties in spring 2008 – Nutty Krust Sunflower & Pumpkin Seed, Malted Grain, and Half Loaf, the traditional loaf only in a half-size pack. The introduction of health-giving seeds and grains to Nutty Krust reflects the bakery’s focus on responding to consumer needs, developing innovative products that support their well being. Tesco Ireland and Dunnes will list all three new varieties, while the Musgrave Group will stock Nutty Krust Sunflower & Pumpkin Seed and Malted Grain. Irwin’s already distributes a number of key product lines to multiples and independents in the Republic of Ireland, including its award-winning Rankin Selection traditional Irish breads range, which it makes in conjunction with celebrity chef Paul Rankin, as well as Irwin’s branded items such as Muffins, Low GI White Pan and Low GI White Rolls

40

The launch of Brennans Craft Bakery Wholewheat has been a big success in the morning goods range.

attributed to the bakery’s constant refining of the baking process, updating equipment and improving technology, as well as consistent investment in branding support. The Brennans brand has been built and maintained by consis-

who want the healthy ‘home away from home’ taste and quality. Despite some changes in eating habits and the increasing presence of international food, the sliced pan is seen by Irish consumers as very much central to their requirements. The Brennans Family Pan, in its distinctive premium wax packaging, is synonymous with freshness.

The newly launched Brennans Half & Half has the taste and versatility of White bread but with benefits of Brown bread.



June08Stocking

For Profit

A Selection of Ireland’s Best Sellers

Boyne Valley Honey

Don Carlos Olive Oils

BOYNE Valley Honey has been available to Irish consumers for almost 50 years and is the most popular brand of honey in Ireland. Boyne Valley Honey is 100% pure and natural and is a delicious and versatile spread. Boyne Valley Honey is available in a range of formats to suit everyone, from the 225g tumbler right up to the 907g jar. The innovative no mess squeezy bottles are available in three sizes: 250g, 340g and 500g. Boyne Valley have recently launched a range of Varietal Honeys, specially selected from around the world and available in 350g squeezies, including Organic Acacia, Wildflower, Orange Blossom and Eucalyptus, as well as new Boyne Valley Manuka Honey Active 10+.Contact: Boyne Valley Group. Tel: 041 9870300.

DON Carlos Olive Oil, sourced from the finest olive groves in the heart of the Spanish countryside, has a brand new look. Clean and contemporary, the packaging features a photograph of the elusive Don Carlos making his way through his olive grove to decide just the right time to harvest his crop of olives. Clear communication on-pack makes it easier for consumers to chose the right olive oil – whether that’s Extra Virgin, Pure or Mild & Light. The range has also expanded to include three new variants: Don Carlos Extra Virgin Olive Oil enriched with Omega 3; Don Carlos Extra Virgin Olive Oil enriched with Vitamins; and Don Carlos Organic Extra Virgin Olive Oil. Contact: Boyne Valley Group. Tel: 041 9870300.

Batchelors

Sqeez

BATCHELORS lead the baked beans market with a 66% share (Source: ACNielsen April08). The brand continues to meet the needs of the market with a wide range of sizes and varieties. Batchelors continue to create innovation in this category with the introduction of Heartwise Beans available in 420g and 225g sizes, with 20% lower salt and sugar and added Omega 3 and vitamins A&E. Batchelors Peas dominate their category and continue to grow strongly year on year. New Heartwise Peas boast 20% lower salt and sugar than standard peas and contain added vitamins and Omega 3 for heart health, while new Batchelors Herb Butter Peas offer a delicious new twist to an old favourite. Contact: Batchelors. Tel: 01 8380133.

SQEEZ is the number one in the ambient juice category with almost 30% value share of the market (Source: AC Nielsen April 08). The extensive range is sub-divided into Originals, Benefits and Smoothies, so consumers can easily find their favourite product. There is still plenty more to come from the biggest Irish-made juice brand! Keep a look out for further innovation and new product development throughout the year. Contact: Batchelors. Tel: 01 8823244.

Tayto

Kitchenmate

TAYTO maintains its leadership position in the crisp market through extensive advertising and promotional campaigns. Tayto has also been active in the new product development arena with particular focus on the ‘Healthy’ and adult ‘Sharing’ product categories, where consumer interest is very strong. The introduction of Tayto Bistro handcooked crisps has resulted in Tayto achieving strong growth in the past year within the hugely important adult ‘Sharing Crisp’ category, while the launch of Tayto Velvet Crunch and Tayto Lights have been very well received in the Healthy Snacks category. Largo Foods has planned further marketing activities during 2008 to ensure that Tayto continues to grow its number one position. Contact: Largo Foods: Tel: 01 8350611.

AS the number one brand in household cleaning (Source: ACNielsen), Killeen continues to provide best-selling cleaning products to the retail trade. Still going strong, Kitchenmate continues to be a best-seller, due to its flexibility and durability in the kitchen. Providing a powerful combination of high quality and value for money, Kitchenmate is the real deal! Don’t be fooled by the poor imitations: stock your store with Kitchenmate today. Contact Ken Wall at Boyne Valley on 041 9870300.

42


A Selection of Ireland’s Best Sellers

June08Stocking

For Profit

Nescafé Gold Blend

Goodfella’s Friday Fever

IRELAND’S leading brand of soluble coffee Nescafé Gold Blend has a new pack design. The premium golden tones that are synonymous with the brand have become more enhanced on the label, giving more prominence to the gold hallmarked coffee bean. The words ‘Nescafé’ and ‘Gold’ have become more prominent, giving the overall jar a really sophisticated look that stands out onshelf. The label also highlights the fact that coffee is naturally rich in antioxidants. Nescafé leads the premium sector of the soluble coffee market with a 60% value share and Nescafé Gold Blend is the overall brand leader within soluble coffee, and is the subject of a new TV campaign. Contact: Nestlé. Tel : 01 4497777.

AVAILABLE since March 2008, Friday Fever is Goodfella’s largest pizza, sizing up at 11.5 inches in diameter. The innovative range has been created to provide a convenient, high quality pizza to suit less formal eating occasions, and nights in with friends and family where a larger pizza is required. Each of the three variants, Meateor, Fajita Chicken and Cheese Supreme feature a stonebaked base and extra toppings to offer consumers the ultimate takeaway experience from the comfort of their own home. The innovative packaging imitates a takeaway box with fun and quirky illustrations and a large product shot to ensure strong standout in the freezer. Contact: Green Isle Foods Ltd. Tel: 045 848000.

Donegal Catch

Green Isle

THE frozen fish market continues to grow +6.2% yoy (value) with Donegal Catch leading the sector, with a 63.7% market share (Source: ACNielsen April 08). Moving the brand on from the traditional and battered formats has been key to its sustained success, including the Naturals range, the new BBQ and Summer offerings, plus the recent launch of the Seafood Lovers range, including Prawns, Artic Charr and Seafood Medley. The new Summer range includes Seabass & Lightly Smoked Salmon, line extensions to the Seafood range plus Skewers & Hake. Contact: Green Isle Foods Ltd. Tel: 045 848000.

GREEN Isle are the number one supplier of frozen food in Ireland and provide a full selection of winning products across the frozen food category, including a complete vegetable range, oven and fry chips, an assortment of potato products and garlic bread. Green Isle have enjoyed 60% growth in the frozen vegetables category in the last year alone and the recent product launches have a ‘SuperFoods’ stamp of approval and are clear winners for consumers aiming to increase their daily intake of vegetables. Contact: Green Isle Foods Ltd. Tel: 045 848000.

Heinz Tomato Ketchup

Roma

HEINZ Tomato Ketchup is the number one selling tomato ketchup brand in Ireland with a 67.8 % volume share (Source: ACNielsen, April 2008). Heinz Tomato Ketchup is available in an extensive range of formats and sizes including glass, squeezy and Top Down. With the added benefit of its innovative no mess, no waste, stay-clean cap, Heinz Top Down Tomato Ketchup offers all the taste of Ireland’s favourite tomato ketchup in a choice of 570g, 910g or 1.2Kg sizes. Contact: HJ Heinz Company Ireland. Tel: 01 2805757.

ROMA, which was founded in 1958, has a large portfolio, including tomatoes, olive oils, pasta sauces, rice, passatas, puree and antipastos. The brand’s focus on providing these quality, affordable Italian food ingredients and meal solutions has been central to its success to date. This success is most evident in the dried pasta category, where Roma enjoys a leading market share, along with strong market positions in the tomatoes and olive oil categories. Contact: Shamrock Foods Ltd. Tel: 01 4051500.

43


June08Breakfast

Cereals

Kellogg’s Warns Over Impact of Skipping Breakfast If current eating trends continue, Ireland could end up with a new generation of ‘calorie rich, nutrient poor’ consumers, according to new research from Kellogg’s.

A Massive

60% of Irish consumers believe breakfast is a very important meal, yet over a quarter of the Irish population don’t have much time for breakfast, according to research published by Kellogg’s, Ireland’s largest selling cereal maker. The Kellogg’s Consumption Study 2008 reports that: - 97% of all households surveyed have cereals in the home; - 70% of consumers believe that cereals are important to help children concentrate; - 86% believe that milk is an essential part of everyone’s diet. - However, 26% of families ‘never have much time for breakfast’. Worryingly, this response is highest among 15-34 year olds, with 36% admitting to being

44

Kellogg’s Marketing Director, Hylton Banks.

-

time-poor when it comes to breakfasting. The survey also reveals that timepoor families are spending less time dining together as a family. 28% of households surveyed report that they ‘never seem to sit together at meals these days’ – an increase of 10% since 2005.

Methodology The survey was a quantitative in-home placement of diaries, in which all household members recorded details pertaining to their cereal consumption for a seven day period, across a sample

Kellogg’s Let’s Get Active Programme: -

Jump for Joy Schools Challenge Tour of Ireland Cycle Swim Challenge Barnardos Mini Marathon Challenge

See www.letsgetactive.ie for more information. of 718 households. The average household size is 2.81: therefore, the survey represents the consumption of over 2000 individuals. Food diaries were completed by 1,298 individuals and quotas were applied on these to represent the population, based on social class, gender and age. Fieldwork was conducted by Lansdowne Market Research between October and December 2007.

Key Findings 60% of consumers believe that breakfast is a very important meal.

The findings of the survey show some worrying trends, namely:


June08Breakfast

- People in Ireland are missing key nutrition targets. - Awareness of healthy diets is high, but there is little evidence of corrective action being taken. These consumption trends are being driven by a combination of demographics, modern lifestyles and knowledge and understanding of food. According to Kellogg’s, positive and collective action is required by food manufacturers, Government and consumers themselves. Otherwise, if the current trend continues, the risk is that we will end up with a new generation of ‘calorie rich, nutrient poor’ consumers, with attendant modern disease implications.

-

important part of a healthy diet; 62% eat foods that help them manage their shape; 66% of consumers avoid food with additives; 80% agree that salt is bad for you; 56% are concerned about how much sugar their family consumes.

“What stands out from this research,” added Banks, “is that most of us are very aware of what we should and should not be eating these days, but we are struggling to put this knowledge into action because we live such busy lives. Our time-poor culture

Benefits of Eating Breakfast Cereal -

People who eat breakfast perform better - eating breakfast improves concentration.

-

Positive impact on health and weight management.

-

Fortified cereals provide 25% of the daily recommended intake of vitamins and 15% of the daily recommended intake of iron.

Making A Difference Kellogg’s has been actively seeking to make a difference. Since 1998, the company has been voluntarily reducing the salt content of its cereals, achieving a 41% reduction in average salt intake from Kellogg’s brands. Indeed, Kellogg’s are quick to point out that in terms of sugar intake, on average, breakfast cereals contribute only a small proportion of sugar to the diet , equating to about 6% percent of the average daily intake of added sugar among Irish children.

Cereals

A massive 97% of all households have cereals in the home.

The Importance of a Healthy Breakfast Speaking at the publication of the survey, Kellogg’s Marketing Irish consumers increasingly haven’t got much time for breakfast.This response is highest among 15-34 year Director, Hylton Banks said, olds, with 36% admitting to being time-poor when it “Our survey indicates that people comes to breakfasting. still recognise the importance of eating a healthy breakfast every day. In particular, parents know that having a good breakfast ensures that children get a good start to the day. Unfortunately, our research shows that over a quarter of the Irish population are so busy, they may feel under pressure to skip the most important meal of the day.” In terms of food trends, Irish consumers are voicing a preference for healthier products: 70% of consumers believe that cereals are important to - 73% believe fibre is an

is seen as a big obstacle to achieving a healthy lifestyle. 63% of the people we surveyed admit that they don’t get enough healthy exercise these days. “For 100 years, Kellogg’s has built a legacy of leadership in health and nutrition. We believe that balance - or ‘calories in, calories out’ must remain the central tenet of achieving weight management and a healthy lifestyle. We have a long-standing commitment to helping consumers successfully manage both sides of that equation through our products, packaging, community efforts, sponsorships and nutrition education initiatives.” In Ireland, Kellogg’s actively partners with a variety of charities, community groups and sporting organisations to communicate the importance of a balanced diet and physical activity. “For example, we are currently working with the FAI on their Inner-city Futsal programme and with the GAA on their grassroots coaching programme,” Banks notes. “The Kellogg’s Let’s Get Active programme provides tips, tools and targets that everyone can be part of. Visit www.letsgetactive.ie for simple and practical ways of getting your 30 minutes exercise per day.”

help children concentrate.

45


June08Chill

Cabinet

Chilled In! The chill cabinet is a highly profitable area in-store, with a wealth of tasty, convenient and healthy options that dovetail with consumer demands.

offers a range of cheese snacks to meet the entire family’s snacking needs. All Dairylea cheese snacks provide calcium and dairy goodness for growing children of every age. They appeal to both children and parents: kids love the great taste and parents love Dairylea because they know it's good for them. Dairylea offers a wide variety of unique cheese snacks perfect for lunch boxes or afterschool snacking for kids of all ages. Dairylea Dunkers are driving

flavours. Dairylea TriBites are the perfect addition to any lunchbox. They taste great, are a good source of calcium, and are a convenient mess-free choice.

Philadelphia

Philadelphia is the market leader in the Irish cheese spreads category and has long been loved because of its delicious creamy Dairylea Strip Cheese is a fresh taste and smooth unique snack for families texture. While big and small: each pack is a great source of calcium, a Philadelphia Original low sugar food with no has been performing artificial flavours. well, Light and Extra Light Philadelphia have become increasingly popular as they are ideal for those who are health conscious and want to reduce their chill cabifat intake. net was once one of Philadelphia mini the slower sectors in tubs are unique in the a retail store. But no market; they consist of longer, thanks to four individual portions of massive investment and innovation by Dairylea Tri-Bites taste great, are a good source of calcium, and are a convenient Philadelphia, so each portion remains Ireland’s top manufacturers, the chill mess-free choice. sealed and intact. This format has cabinet is now a hive of proved very popular as they are the strong growth, due to activity, with new prodperfect size and portion controlled. their unique dunkable ucts fuelling market Philadelphia Mini Tubs come in Light fun. There is a range of growth. Chilled products and Extra Light varieties. five flavours, including generally tie in with conthe new delicious sumer demand for freshDunkers Nacho. ness, convenience and Dairylea Strip Cheese portability, while the is a unique snack for new generation of chilled families big and products includes a small. Available in wealth of foods that have 4, 8 and now 12functional wellness packs, the strips properties, perfectly are easy to peel meeting the desire for so that they are suithealthy eating. able for younger kids to eat. Each pack is a Dairylea Dairylea Dunkers are great source of calciCheese Snacks Philadelphia has long been loved by Irish driving strong growth, due um, a low sugar food Kraft’s Dairylea, a longconsumers because of its delicious creamy to their unique dunkable with no artificial time kid’s favourite, fresh taste and smooth texture. fun.

The

46


a really good catch. The freshest tasting prawns

As market leader, Rob Roy continue to come up with healthy and exciting prawn options for your customers to enjoy. With a newly extended range including Pick & Dip Prawns, Marinated Prawns as well as Black Tiger and Jumbo Prawns, there’s something for everyone. Our Black Tiger and Jumbo Prawns, use new modified atmosphere packaging to extend shelf life and keeps freshness sealed in. This also eliminates the need for brine. To meet the convenience requirements of your ever changing consumer, our Ready to Eat Marinated Prawn Selection is perfect for easy entertaining, with our Pick’n’Dip platter being ideal for outdoor dining. So make sure you stock up today and start hauling in higher profits.


June08Chill

Cabinet

now plan to emulate that success with the launch of Ugo’s Deli Café. For busy consumers, who are bored with the same old sandwiches and want an alternative, Ugo’s Deli Café offers the Rob Roy ideal solution, with authentic The Rob Roy range of prawns paninis filled with deli-inspired fits perfectly with today’s ingredients, which are great for increased demand for healthier snacking both at home, in the and more natural foods. Rob Roy office and on the move. prawns are a good source of Marketing support in 2008 Omega 3 fatty acids, an excellent will include press advertising, insource of protein and a great store activity including sampling way to easily incorporate iron, and price promotions, online zinc and vitamin E in the diet. The Rustlers range of tasty, hot, filling, advertising and consumer press. They are quick and easy to microwaveable snacks can be fully cooked in just 70 Approximately nine out of 10 cook, whether steamed, boiled, seconds. consumers now have access to a fried, grilled, baked or barbemicrowave at work or university/colConvenience Foods lege, which fuels the demand for hot is unveiling the snacks that can be prepared quickly biggest annual marand conveniently. Rustlers and Ugo’s keting campaign Deli Café fill this need perfectly, so ever seen in the hot retailers should ensure they have snacking category. both available at all times. Rustlers, the hot snacking brand leader, will spearFlora head its activity No food lowers cholesterol more than with TV advertising Flora Pro.activ which is scientifically to ensure the brand proven to lower bad cholesterol by 10stays front-of-mind 15% in just three weeks when used among its core martogether with a healthy lifestyle and ket of 16-25 year diet. Recent ACNeilsen figures for Rob Roy Marinated Prawns are available in three different flavours, while Rob Roy Pick & Dip prawns come in a ready- olds. Philadelphia maintains its position as number one through continued product innovation and above-the-line support.

to-serve platter with a tangy cocktail sauce.

cued. Recent innovation in the range has seen the launch of Rob Roy Marinated Prawns in three different flavours, and Rob Roy Pick & Dip prawns in a ready-to-serve platter with a tangy cocktail sauce.

Ugo’s Deli Café Paninis are one of the recent success stories and Kepak Convenience Foods

Rustlers In recent years there has been a huge increase in the demand for hot snacking products. Food on the move, and hot snacking in particular, is a fast-growing profit opportunity for Irish retailers. Rustlers, from Kepak Convenience Foods, is a range of tasty, hot, filling, microwaveable snacks that can be fully cooked in just 70 seconds: the perfect solution without compromising on quality or taste. The range now comprises seven products, including the popular Quarter Pounder, Chicken Sandwich and BBQ Rib, with limited editions planned for 2008. Now brand owner Kepak 48

Flora Pro.activ yogurt drinks are driving growth in the yogurt drinks sector.

Ugo’s Deli Café offers authentic paninis filled with deli-inspired ingredients, which are great for snacking both at home, in the office and on the move.

heart health mini-drinks sales clearly show that Flora Pro.activ yogurt drinks are continuing to drive the sector’s growth rate of 6.5%. Total heart health yogurt drinks are now worth €21m and the latest data shows Flora Pro.activ at 19.2% value share and


June08Chill

Cabinet

in 130g packs and is continues to drive the marguaranteed to delight ket through increased cash consumers. rate of sale improvements. Their award winning These rate of sale hams are made from improvements have proven only the finest young an ongoing success followIrish pork, with full ing the introduction of the tractability to farm. ‘6 for price of 4’ pack, offerCarefully hand-crafted ing consumers a simple and following an age-old effective way to lower chomethod, Brady Family lesterol in a convenient one Ham is a natural, non -a-day format. processed, rich succuPadraig Harrington will lent ham with no continue as brand ambassaretained water. dor for Flora Pro.activ in Being the first Irish 2008 in extensive advertisham producer with the ing and PR support for the Brady Family Thickly Carved Ham is available in 140g consumer Bord Bia Quality brand. 2008 will also see the pack and comes in three varieties: Traditional, Glazed and Assurance Mark, Brady intensification of an inforCrumbed. Family Carved Ham is a mation campaign for healthmust-stock line for all care professionals dealing discerning retailers. And it is now with patients at risk from high chotaste of Brady Family Deli ham but in readily available in a branded shelf lesterol. a convenient pre-pack. ready merchandising box to further Brady Family Thickly Carved Ham enhance its appearance on-shelf. is available in 140g consumer pack and Brady Family Hams A personalised, quality, pro-active comes in three varieties: Traditional, Crafted in the time honoured tradisales and delivery service is provided Glazed and Crumbed. Newly launched tional way, Brady Family Ham tastes to all customers through the compathis month, Brady Family Traditional like ham used to taste. Their ‘new ny’s own professional van sales team. Carved Ham in parchment is available look’ premium range offers all the

49


June08Pet

Food

Pets Win Prizes The pet-food market continues to grow, as consumers trade up to treat their four-legged friends.

International. Pouch formats continue to drive sales, as pet owners find the pouch format to be more convenient, hygienic (as there is no need to store open Brandy is the number one Irish dog-food brand and the second cans next to largest branded dog-food in Ireland. human food) and less wasteful, with portion control a big plus. Brandy tinned dog-food is availThe market has seen increased available as a 400g triple pack in each ability of pouch multi-packs, and this flavour (Original, Beef, Chicken & has led to a big increase in retail Rabbit) and for those who prefer to is expected to see continsales, pushing volume up, particularly purchase in bulk, in two six-pack ued growth in the pet-food sector, as in the premium wet cat food category. offerings, Brandy Variety and Brandy consumers increasingly trade up to valThe continued growth in disposOriginal. Brandy is also available as a ue-added offerings, including the move able income for Irish consumers has 12x400g Variety Pack. to different foods for pets at various impacted greatly on pet treats. The Brandy Complete is a dried food stages of their life-cycle. The last few majority of treats feature a functional that fulfils the Brandy offering. years have seen a number of human element, such as dental chews or Brandy Complete provides 100% comfood trends crossing over to pet-food, sticks enriched with calcium, and are plete nourishment and is formulated according to the latest report into the in keeping with the trend of giving to support the long-term health and sector from Euromonitor International, pets more nutritional foods. well-being of dogs. It is available in with products marketed using lantwo flavours: Original and Chicken & guage designed to appeal to the owner Rice. Both flavours can be purchased rather than the pet. Mackle Petfoods in 2.5kg, 9kg and 15kg bag sizes. Buzz words like ‘natural ingrediBrandy is a name familiar to every Cat Club is the number one Irish ents’, ‘low-fat’ and ‘improved dental dog owner in Ireland. Brandy is the cat-food brand, according to Mackle hygiene’, coupled with products tainumber one Irish dog-food brand and Petfoods. Prepared with the finest lored to suit the different life stages of the second largest branded dog-food quality ingredients and manufactured pets, struck chords with consumers in Ireland. Brandy offers the customer to the highest standards, Cat Club who looked for products to cater for a top quality product at value-forwill completely satisfy cats’ nutritiontheir pets’ various dietary requiremoney prices. Brandy is made from al needs. Cat Club is made with 100% ments. Many of these ranges carry vetnatural ingredients and 100% real Real Irish Meat Chunks in Jelly and erinary endorsements and guidance, Irish meat, with no artificial flavours, comes in a choice of three Variants: which is adding to their popularity. no artificial colours and no soya. Chicken & Liver, Beef & The life stage element of these Game and Salmon & Trout. brands also has the added benCat Club is also available in efit of attaining consumer loythree convenient pack sizes. alty, as pet owners can now Cat Club 3-pack is available in stick with a brand throughout each flavour while the variety the lifetime of the animal. 6- and 12-pack offers convenConvenient packaging has ience at an affordable price. been a big hit with pet ownCat Club Complete is a ers, and an easy way for mandried food that fulfils the Cat ufacturers to claw back some Club offering. With calcium value in the pet-food market, Prepared with the finest quality ingredients and manufactured to the highest standards, Cat Club will for strong teeth and bones, according to Euromonitor

2008

completely satisfy cats’ nutritional needs. 50



June08Pet

Food

snacks and treats segment, which is designed to ease joint stiffness and keep dogs’ joints healthy when fed daily. According to ACNielsen data, Whiskas is the number one brand leader within the cat-food market. Whiskas range includes quality products across the dry complete, pouch, can, snacks and treats categories, in Mars Ireland addition to a strong kitten range. Cat Mars Ireland claims leadership of the single serve is the fastest growing Irish pet-care sector, with more than segment within the cat-food sector 59% share (Source: ACNielsen April and as a result, Whiskas is driving 20, 2008). The company maintains growth in premium plus with the that it is driving growth in the market Whiskas Oh So range. through continuous innovation, with Cesar continues to drive growth in its Pedigree and Whiskas brands the super premium category, offering claiming market leadership within consumers a naturally delicious their categories. Mars Ireland’s range, while ensuring their pets brands also include Cesar, Sheba, Pal, receive a nutritious meal. Available in pouch and tray format, the Cesar range offers high impact packaging, excellent quality recipes and convenience to the consumer. A new addition to the Mars Ireland Mars Ireland, Ireland’s favourite pet-food supplier, has range is the recent been successfully driving growth in the premium launch of Sheba pouch segments of Pouch, Complete and Snacks & Treats. to meet the consumer trend of trading up to higher value Kitekat, Catsan and Frolic. segments. The company attributes Pedigree’s continued success to their quality range that caters for every dog’s size Nestlé and life stage, from puppy to old age. A significant player in the Irish petThe extensive Pedigree Complete care category, Nestlé Purina Petcare range drives growth in the dry doghas been driving the premium and food market. Pedigree is also driving super premium categories within the growth within the premium pouch pet-food sector in recent years and snacks and treats segments. through high quality NPD and conTheir range includes DentaStix, sumer education. The company’s core which they maintain is the fastest value of being ‘passionately commitgrowing functional treat, catering for ted to making pets’ lives better’ the daily dental care needs of all size ensures that all products are of the dogs. More recently, Pedigree highest quality with advanced nutrilaunched JointCare+ as part of their tional benefits. fats and oils to provide energy for the body and a healthy glossy coat, this vitamin-enriched food offers complete nourishment for cats. It is available in two flavours: Chicken & Liver and Salmon & Tuna, both available in 400g plastic bags. Cat Club Complete is also available in a 2kg bag.

Nestlé Purina Petcare has been driving the premium and super premium categories within the pet-food sector in recent years through high quality NPD and consumer education. 52

Consumers trading up to higher value segments within pet-food, such as Complete Dry Food, Single Servings and Treats, is a trend that has been in evidence for several years now. Within cat-food, Purina brands such as Gourmet, and Felix with its ‘As Good As It Looks’ subbrand, have been helping consumers to choose the convenience and high quality of the premium single serve market. Within dry cat-food, Purina has over 50% value market share of the dry cat-food category (Source: ACNielsen 4 w/e 20th April 2008), and is continuing to drive growth and value in the category through its Go-Cat and Purina ONE brands. Within dry dog-food, Purina continues to introduce market leading new innovation, with the Bakers Gravy Bites sub-brand launched at the start of 2008 to great success, contributing to Bakers achieving 24.9% market share and growing at 38% year on year. With impactful TV advertising, and a new relaunched range of dog treats coming this summer, Bakers is set for continued growth into the future.

Whiskas Celebrates 50th Birthday THIS year, leading cat-food brand Whiskas is celebrating its momentous 50th birthday in Ireland. Since 1958, Whiskas has been making millions of cats happy by offering delicious meals that suit all feline tastes, with a full range of enjoyable, quality products across the pouch, can, dry and snacks & treats categories, in addition to a strong kitten and senior range. Whiskas' success can be attributed to its unyielding commitment to quality and constant development over the past 50 Years.


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June08Fruit

& Veg.

Fresh Produce Sector Continues to Grow The market for fresh produce in Ireland was worth €1.2 billion at retail level in 2007, an increase of 5.4% over 2006.

The

market for fresh fruit and vegetables continues to grow, as consumers increasingly seek out a healthier lifestyle. Added value products, such as pre-chopped and washed vegetables, are helping to grow the sector, as they tie in with consumer desires for convenience, without compromising on taste or health properties. The total value of retail fresh produce market was €1.2 billion in December 2007, which was a growth of 5.4% when compared with the previous year. Overall, volume purchased was down 7% year on year. The increase in value of the market was driven by an increase in the average price per kilo for produce. The decrease in volume purchased was driven primarily by a decrease in potato purchases (down 14% year on year). Value of individual sectors within the produce category at the end of 2007: • Vegetables €285m • Potatoes €201m • Fruit €546m • Salads €171m Key product lines value within 54

each sector for 2007: Vegetables: Carrots €55m; Mushrooms €42m; Onions €33m; Broccoli €27m. Salads: Tomatoes €89m; Peppers €37m; Lettuce €24m; Cucumbers €10m. Fruit: Apples €241m, Bananas €97m; Oranges €85m; Grapes €66m.

Growing Horticulture Sector Horticulture has grown significantly within the overall agricultural industry. The horticulture sector, including potatoes, has performed well over this decade and now contributes some €400m to farm output. Field vegetables crops, protected food crops and fruit crops had a farm output value of €120m, the potato sector is valued at around €100m and mushroom output was €100m in 2006. Nonfood crops, including Nursery stock, Christmas trees and other ornamentals were valued at €75m. The industry makes an important economic contribution to the Irish economy in terms of employment and the local supply of quality food and plants. Consumers generally have a preference for locally grown fresh produce and it is important that the high quality attributes of Irish produce are adequately promoted and that the labelling information is transparent so consumers can exert choice at the supermarket shelf.

Potato Sector There are 12,300 ha of potatoes grown annually, valued at approximately €100m. Production is dominated by large-scale growers. Of the 568 commercial growers in 2006, the largest 100 in terms of production accounted for 71% of total production area. Meath and Dublin account for 45% of the national production. The most widely grown varieties are Rooster (38% of total production), followed by Kerr's Pinks (21%) and British Queens (11%).

Strawberry Sector The strawberry industry in Ireland is worth close to €30m annually, and is one of the areas of commercial horticulture that is expanding rapidly, according to Teagasc researcher, Dr Eamonn Kehoe. Dr Kehoe believes


Fresh produce, pre-packed potatoes wholesale fruit & vegetables

Logistical Solutions for the Retail Sector K&K Packs Ltd, Broughan Lane, The Ward, Co. Dublin. Tel: 01-834 7586 Fax: 01-836 2837 Email: kkpack@eircom.net Web: www.kkpack.ie


June08Fruit

& Veg.

that the industry could grow to be worth up to €50m in five years time as consumer demand increases due to higher disposable incomes and a huge interest in eating healthy foods. Dr Kehoe highlighted results from research trials carried out at Teagasc Kinsealy Research Centre, which demonstrated a doubling of yields, increased timing of crop production, and increased fruit quality. “Growers are now using the information gleaned from trials in Kinsealy with very profitable success; achieving increased yields by as much as 100% and substantially reducing the importation of strawberry plants from countries where plant disease risks are always very high”, he noted. James Kearns, Vice Chairman of the Irish Soft Fruit Growers' Association, added, “It is a huge development that we are now able to grow this type of plant and to be much less reliant on imports.”

the foresight process. “Agriculture is on the cusp of profound change,” noted Director of Teagasc, Professor Gerry Boyle. “There are immense challenges and opportunities but we can look with confidence to a good future in farming.” The keynote address at the conference was delivered by Dr Gale Buchanan, from the United States Department of Agriculture. He told delegates that applying science and education to agriculture has improved human health and environmental quality. Science and education have also

Exports Two sectors of Irish horticulture, in particular, are important sources of foreign revenue. 80% of all mushroom production is exported to the UK, with Irish owned production operations in Ireland and the UK supplying close to half of the fresh market there. In addition, a significant proportion of nonfood horticultural products, such as cut foliage, bulbs and Christmas trees are exported to other member states.

The Future An exciting new era in farming and food production in Ireland is anticipated, leading to a doubling in the value of the agri-food sector to €40 billion by 2030. A vision of the agrifood sector playing a wider role in a broader knowledge-based bioeconomy is one of the central themes of a new Teagasc foresight report. The report, Teagasc Foresight 2030, was presented at the Teagasc 2030 Foresight conference in Dublin Castle recently. The sector is facing change at an increasing pace, driven by issues such as energy supply and security, commodity price trends, climate change and market and consumer changes. The impact of these drivers of change have been evaluated and studied over an 18-month period as part of 56

improved human nutrition; safer food; improved animal health; better soil management; improved use of fertilizer; enhanced varieties of crops;

advanced control of insects, diseases and weeds; and superior methods of harvesting, storing, transporting farm products and many other contributions. Dr Buchanan said, “Investment in agricultural research and development is one of the prime drivers of growth in agricultural productivity. Productivity studies worldwide indicate that the rates of return to investment in agricultural R&D are high in developed as well as developing countries.” He continued: “If we are going to be able to meet the world’s future needs for food, feed, fibre, and fuel, we will need all the science and technology tools available.”

Tesco Launches New Season Irish Potatoes TESCO launched this summer’s 1kg pack of fresh new Irish potatoes, with the first batch grown at a north county Dublin farm by one of Ireland’s major packers, Paul Sweeney & Co. in Newcastle. Commenting on the fresh new arrivals, Paul Sweeney said, “In today’s competitive marketplace, nothing compares to that of the Irish potato, in terms of its goodness, by way of nutritional value and taste as it arrives from our farm gate to the consumers plate within hours of being harvested. Our crop of Irish Home Guard Potatoes are the very best we have had and with Tesco’s new 1kg pack, they are ideally suited for the single and small family shoppers. “With 2008 being the International Year of the Potato, it is important that the Irish public support the Irish spud as never before as it is the best in the world and there is little doubt that ‘The Potato is Ireland’s Favourite Vegetable’.” Tesco’s new 1kg package allows the Irish consumer sealed in freshness that the new season potato is so famous for. The new packaging has been designed for Pictured are (l-r): Minister of State for convenience, easy use and keeps Food and Horticulture, Trevor Sergeant TD, model Roberta Rowat and James produce fresher for longer and is Canavan, Vegetable Buyer for Tesco available at all Tesco and Tesco Ireland. Express stores.


Sony Professional Solutions unveiled a new digital photo finishing system at a showcase event in Dublin this week. The Sony SnapLab‚TM captures, enhances, and prints superb digital images at the push of a button. Sony's high-speed roll dye sublimation technology creates vibrant colours and natural, continuous tones. The Sony SnapLab takes all form of memory card, has Bluetooth capability, and comes with one year’s prime support. With easy-to-use editing tools, and a compact body, customers can print high-quality, long-lasting digital images on Sony's UV-archival quality paper. This unique, entry-level system is small, light and portable; prints in just 11 seconds, and is a cost efficient solution for retailers. The package includes the SnapLab, point of sale material, media, the stand and the remote control. A Sony representative will set up the machine, merchandise it and train staff on use of the SnapLab. As an added bonus, Sony will give 400 free prints with all Sony SnapLabs sold before 1st August, valued at €200. The Sony SnapLab is a quick, easy-to-use, portable solution for customising and printing highquality digital images. A very flexible system, the SnapLab accepts today's most popular media to load and transfer image data to the printer. Once media is inserted into the printer, customers can simply view, edit and enhance digital images with the user-friendly interface integrated on the touch-sensitive color LCD panel. The SnapLab can print passport photos, design postcards, invitations, announcements, IDs, photo novelties and more with its integrated editing tools. Paul Hennessy, Director of Media and Professional UK and Ireland, said: “The Sony SnapLab is an ideal system for retail outlets wishing to offer their customers a convenient, high-quality and easy to use digital photo printing service. This entry level machine is a cost effective way for retailers to get that first step on the run to offering a complete digital print service on quality Sony paper.”

The Sony SnapLab is available at €2,895 + vat or finance for €16 + vat per week. For further information, please contact Jonathan Boyle, GSI Global Solutions Ltd 01-4055740/ 087-2273392


June08Forecourt

Focus

Gala Performance in Wexford Wexford Farmers’ Co-op operate three successful Gala forecourt stores in the county. WFC General Manager, Michael Murphy reflects on what continues to be a truly successful partnership.

For

this month’s Forecourt Focus, RETAIL NEWS travelled to County Wexford to investigate a group of Gala shops owned and operated by an agricultural co-operative. Wexford Farmers’ Co-op (WFC) was founded in 1968. Over 30 years later, WFC opened its first Gala shop in Enniscorthy. Michael Murphy, General Manager of WFC, explains how the successful partnership with Gala came about: “The grocery retail sector has advanced at a startling rate for the last 15 years or so,” he notes. “When we [WFC] decided to open a group of shops, together with a strong symbol group partner, back in 2001 we checked out the various choices that we had. WFC already had a good working relationship with local wholesaler H. Murphy [a member of Stonehouse] and we were introduced to the Gala image. The Gala Group was relatively young at the time but it already had a strong presence in the South East and it was undergoing significant developments.” The timing for the start of the partnership between WFC and Gala was obviously auspicious, as the WFC now owns and operates three Gala forecourt shops: the Enniscorthy store and two in New Ross. The group of three shops represents a perfect microcosm of the forecourt sector in Ireland, as the location of each shop means they are all targeting a different consumer demographic.

Pictured are Michael Murphy, General Manager, and PJ Darcy, Chief Executive, Wexford Farmers’ Co-op.

The Enniscorthy forecourt is adjacent to a Town & Country Store, owned by WFC, and is located at the edge of the town in a commercial area. It means there is a steady queue of hungry customers testing the efficiency of the deli on a daily basis. Meanwhile, the shop at Raheen, New Ross, targets repeat passing trade: its stylish looks, strong focus on top quality fresh food-to-go and rich roasted coffee pitches it as a destination shop for busy commuters. The other shop in New Ross, in The Bosheen, is set in a more residential environment and pursues the basket shopper, with strong value promotions supported both by Gala and H. Murphy & Co. Ltd.

Successful Partnership “Our relationship with Gala has been very successful,” boasts Michael. “The group has a very strong name recognition in the region and provides us with support on absolutely every aspect of our business. There is a constant stream of advice and information coming to us from Gala on leg58


June08Forecourt

islative changes, technical developments, plans for the group’s future. Gala also holds regular cluster meetings, where we meet with other members of the group. “It’s very important that your symbol group partner works with you to build your business, as well as the group at large, and Gala works long and hard to do exactly that.” The three Gala Group shops owned by WFC may have distinct characteristics, but they have far more similarities. All three are presented in the fresh Gala image and operate to the highest standards of customer service. All staff are engaged in regular training programmes and each store competes in the Gala Group Store of the Year Awards, further helping to ensure that the highest standards are maintained at all times. Across all the shops is the firm commitment from Gala and WFC to serve the local community with the best quality products, good value for money and the best possible service at all times.

Commitment to the Community The commitment to the community is also clearly demonstrated by the fact that WFC has sponsored the Wexford Camogie team for 10 years. In 2007, the Wexford ladies became the All Ireland Senior Camogie Champions, to the delight of everyone in the county. On a national level, the Gala Group sponsors both the Senior and Junior Camogie Championships, which helps to generate terrific levels of recognition for WFC and the Group’s Gala shops. All of the group’s shops also engage in regular charity activities at a local level. WFC is also in the advanced stages of a project that will allow the group to offer bio-diesel on their forecourt sites. “You can never stand still in retail,” avows Michael. “Just like Gala, WFC is working all the time to develop its core business and explore new business opportunities as and when the market presents them. It’s 40 years this year since WFC was established by County Wexford Marts and we are celebrating four very successful decades thanks to the

Focus

efforts of all the stakeholders over the years. I’d like to take this opportunity to thank all the staff in all our shops and everyone at the Gala Group who has provided us with such tremendous support.”

Double Celebration It is a double celebration this year as the Gala Group turns 10 in 2008. Gary Desmond, CEO of Gala says, “WFC is one of our most progressive retailers country-wide. The business is a credit to their commitment and dedication to innovation and quality and we’re extremely proud to have the three stores in the Gala Group. “Reiterating Michael’s thoughts, retailing is an extremely competitive business and it’s crucial that Gala is constantly evolving. Last year, we unveiled Gala’s new corporate identity and this year, to mark the Groups’ 10th year in business, there’s a full calendar of activities in place. This ranges from sponsoring the National Event Guide on TV3, continuing our award-winning sponsorship of the Gala AllIreland Camogie Championships and launching a high-profile charity partnership, to embarking on the Group’s biggest-ever consumer promotion. “I would like to wish Michael and the team at Wexford Farmers’ Co-op continued success with their thriving business.” The prosperous partnership between Gala and WFC has already stood the test of time. According to Michael, WFC will open more shops with the Gala Group FA C T F I L E as opportunities Retailer: Wexford Farmers Co-op arise. The dedicaLocation: Enniscorthy, Raheen & Bosheen tion of the Gala Group and all New Ross. Size: 1,000 square feet, 2,500 square of WFC’s stakeholders feet, 1,000 square feet. Number means that this of Staff: 45, full time & part time is one successful Opening partnership that’s hours: 07:00-22:00 set to run and run. 59


June08Update

Lyons Tea Introduces New Flavours PICTURED at the launch of Lyons Green Tea with Lemon and Lyons Green Tea with Mint is Model Baiba and Keith Farrell, Marketing Manager, Lyons Tea, in the beautiful surroundings of the Lyons ‘Green Retreat’ Garden at Bloom 2008 in the Phoenix Park. Following on the from the success of original Lyons Green Tea, which was launched in January of this year, Lyons have now extended the range to include Lemon and Mint varieties also. Lyons Green Teas are available from leading supermarkets and retailers nationwide at the recommended retail price of €3.49.

New Paul Rankin Soup Range BREEO Foods have teamed up with renowned Irish chef and TV personality Paul Rankin to launch a delicious range of natural and wholesome fresh Irish soups. Paul has spent over a year developing the range at Cayenne, one of his award winning restaurants in Belfast. The Paul Rankin premium soup range is available in three flavours and comes in a handy microwavable pack. Made with only natural ingredients, this premium product range contains no artificial flavours or preservatives. The range consists of Home-Style Vegetable Soup, Chicken Chowder and Tomato and Roast Pepper Soup. Clare Ellis, Brand Manager, Breeo Foods, and Paul Rankin team up to launch their delicious new range of natural and wholesome fresh Irish Soups

National Lottery Millionaire Raffle THE National Lottery is now offering consumers an amazing chance to become a millionaire, with the brand new game, Millionaire Raffle, with two top prizes of €1m, which must be won. The tickets, which are limited to 300,000, cost €20 each, and each ticket contains a unique six digit number. On Thursday, August 26, the first ever Millionaire Raffle draw takes place and two new millionaires will be born. There are 532 prizes on offer, ranging from €500 to €1m, including five prizes of €100,000.

Ribena 100% Pure Juices FOLLOWING on from 70 years of heritage, the Ribena range continues to adapt and evolve with the exciting launch of new Ribena 100% Pure Juices in two mouth-watering flavours, Blackcurrant Blend and Raspberry & Blackberry Blend, in a handy 250ml PET bottle. Naturally rich in antioxidants and with no added preservatives, colours or flavours, this delicious 100% pure fruit juice paves the way as a healthy and convenient option in the ready to drink sector, satisfying the emerging demands of the busy consumer. Pictured are (l-r): Siobhan Drummond, GlaxoSmithKline; Des Jeffares, Blackcurrant Grower for Ribena; and Ruth Martin, GlaxoSmithKline.

60

Baileys’ Packaging Revamp DIAGEO is introducing a new bottle and outer casing design for Baileys Original Irish Cream Liqueur, Baileys with a hint of Mint Chocolate and Baileys with a hint of Crème Caramel. The new label communicates the heritage and authenticity of Baileys Original Irish Cream Liqueur through artwork featuring a contemporary execution of the Irish countryside. The new bottle is slightly taller and more confident, as befits the creator and leader of the cream liqueur category, yet retains the distinctive Baileys bottle shape. The new Baileys bottles are both impactful and practical, reinforcing the brand’s leadership position in the category and providing consumers with a clear signpost for the liqueurs category.


June08Update

Kellogg’s/2fm Community Challenge COMMUNITIES all around the country are being urged to get up, get out and get active this summer by Kellogg’s and RTÉ 2fm. Whether it’s a miniOlympics, an egg-and-spoon race or a sports day, Kellogg’s and RTÉ 2fm want to be there and want to share the fun with the nation. Communities nationwide are being invited to enter their event in the competition and be in with a chance to win a free, live, nationwide broadcast from RTÉ 2fm this summer. Community based events that encourage people to get active and take place during the month of August 2008 are eligible. Pictured are RTÉ 2fm DJs Colm and Jim Jim, Rick O’Shea and Nicky Hayes with Stephen Twaddell, Managing Director, Kellogg’s.

Old Tarts Hit Dublin GOURMET patisserie baker Old Tarts, based in Crossmaglen, County Armagh, has secured its first retail sales in the Republic of Ireland with help from Invest Northern Ireland. The small artisan bakery is supplying its handcrafted tartlets and desserts to all five upmarket supermarkets in Dublin run by Fresh, The Good Food Market. Discerning Dublin shoppers are now able to enjoy the bakery’s unique and popular pecan pies, pear and almond, key lime pie, apricot frangipane tart and a host of other savoury treats. Pictured are Sarah-Jane McGrath, Old Tarts, and Shane McArdle, Republic of Ireland Market Advisor, Invest Northern Ireland.

Hayfever Awareness Week MARKING the launch of Hayfever Awareness Week, in association with Kleenex, are model Aoife Cogan and TV presenter Daithi O'Se. The public information campaign aims to highlight the emotional effects of hayfever, of which there are almost 600,000 sufferers in Ireland. Consumers are advised not to forget their antihistamines, tissues and water when they’re out and about during this hayfever high alert season.

The Art of Artisan Baking MODELS Chloe and Sara celebrate the launch of the new Cuisine de France Première Artisan French bread range, which is now available in selected stores nationwide, along with a premium selection of viennoiserie pastries. The Cuisine de France Première range offers Irish consumers even more authentic tasting French products - a true French Boulangerie experience - by providing a unique range of breads and pastries inspired by typical French Boulangeries.

Appointments at Bord Bia DAN Browne (pictured) has been appointed as Chairman of the Board of An Bord Bia, while Vincent Cleary, Managing Director of Glenisk Organic Ireland, and Paul Cusack, Principal of the Amenity Horticulture College, National Botanic Gardens, have been appointed as ordinary members of the Board. Outgoing members Joe Hyland and Ray Carolan have been reappointed. The term of appointment in each case is three years. 61


June08What’s

New

Sensodyne Pronamel for Children

Bisto Book of the Year Awards

SENSODYNE Pronamel for Children is the new generation in children’s toothpaste, helping to strengthen tooth enamel, while protecting against the effects of acid erosion. Building on the success of Sensodyne Pronamel since its launch in 2006, Pronamel for Children is a unique formulation, expected to be a formidable player in the oral care market. The child-friendly pack reflects the brand's recognisable feature, yet is easily distinguishable as a children's toothpaste and comes in an easy to manage 50ml tube, with a colourful stand-up cap. Sensodyne Pronamel for Children will be supported by an informative and dynamic marketing campaign throughout 2008.

THE results for the Bisto Book of the Year Awards ‘07/’08 were announced recently, the 18th year that Bisto has sponsored these prestigious awards, which recognise excellence in the field of children’s literature by Irish authors, illustrators and publishers. The overall winner was Siobhan Dowd for her book ‘The London Eye Mystery’. Siobhan, aged 47, sadly passed away in August 2007 after a long illness. The Bisto Book of the Year Trophy and a cheque for €10,000 was accepted on her behalf by her husband Geoff Morgan and her friend and publisher, David Fickling. Pictured are Geoff Morgan, David Fickling, Senator David Norris, Ciara Dilley, Marketing Director of Premier Foods Ireland and Seamus Cashman.

Veuve Clicquot Non Vintage Rosé VEUVE Clicquot introduces the long awaited Non Vintage Rosé to Ireland, just in time for the summer season. Veuve Clicquot was the first champagne house to sell Rosé in 1775 and now takes centre stage to launch its first non-vintage rosé here. Caroline Sleiman, Market Development Manager Moet Hennessy commented “Veuve Clicquot Non Vintage Rosé is a champagne full of energy, romanticism and daring, that appeals to all the senses and is a delight to savour.” Veuve Clicquot Rosé will be available in selected premium offlicences for €59.99 and selected on-trade venues.

62

Bulmers Summer TV Campaign SHOT on location in the picturesque countryside in and around Clonmel, Co. Tipperary, the home of the Bulmers brand, ‘Outdoor Celebration’ is the latest addition to the Bulmers’ awarding winning suite of television adverts. The campaign will be supported by a new 48 sheet outdoor campaign, also entitled Lazy Days, featuring somebody enjoying a cool, refreshing pint glass of Bulmers Original Cider over ice, on a perfect summer's day, from the vantage point of a deckchair - how perfect!

Wakefield’s 80 Acres Launches FINDLATERGRANTS has launched a new range of award-winning wines from Australian winery, Wakefield. The 80 Acres brand, from the Clare Valley in South Australia, has been awarded several coveted industry titles for its quality and taste and will now be available exclusively to the on trade across Ireland. The new 80 Acres offers four varietals; Chardonnay Viognier, Semillon Sauvignon Blanc, Cabernet Shiraz Merlot, and the formidable Shiraz Viognier, winner of several prestigious awards, including the Double Gold Medal at the 2007 San Francisco International Wine Competition.

FindlaterGrants Launch Promised Land Wines

FINDLATERGRANTS has launched its range of award winning wines, Promised Land, from South Australian winery Wakefield’s to the Off Trade. Four Promised Land wines are being introduced to the off trade: Semillon Sauvignon Blanc, Unwooded Chardonnay, Shiraz Cabernet and Cabernet Merlot. Each wine is created from the high quality grapes found in the renowned Clare Valley and Limestone Coast regions of Australia. Promised Land is available at €42.50 for six-bottle cases.


June08What’s

Lucozade Energy ‘Chase Is On’ LUCOZADE Energy is causing a sensation this month with a new, energy-packed ‘Chase Is On’ national promotion to really get consumers’ pulses racing, with the top prize of a newly launched BMW 1 Series Coupé. A combination of radio and online competitions, this innovative national promotion will also offer consumers the chance to win daily prizes of a range of city breaks, including return flights for two to a four star hotel in a range of beautiful locations, such as Prague, Venice and Budapest.

WKD’s New Packaging AS part of a continued programme of activity, WKD, the number one PPS brand in the on and off trade market (Source: ACNeilsen, April 2008), will introduce a new look to its packaging this summer. The design changes will refresh the brand’s visual appearance and ensure continued relevance to WKD consumers. Rather than reinventing the bottle, the new bottle labels feature a strengthened logo and text, which will enhance its current design. The aim of this evolutionary bottle is to further strengthen the brand’s association with its core target audience.

New

Oreo Launches in Ireland

The world’s number one biscuit brand (Source: Euromonitor 2007) is to launch in Ireland. Billion dollar biscuit brand Oreo is bringing its global ‘twist, lick and dunk’ success to Ireland in Kraft’s largest launch of the year. Retailers should stock up in preparation for a surge in customer demand from the middle of June, when the TV ad campaign goes live in Ireland. It will be complemented with a nationwide sampling programme, special introductory price on the 165g and POS units. There are four-strong Oreo formats available in Ireland, providing a biscuit for every time and occasion.

Oreo 165g are perfect for the biscuit barrel, which continues to be at the centre of Irish culture; Oreo 176g snack packs are ideal for the lunchbox; Oreo 66g for those wanting a quick biscuit on the go, and Mini Oreo 115g which offers the same eating experience but in miniature!

Sacla’s Premium Whole Cherry Tomato Sauces SACLA’ have introduced four premium whole cherry tomato sauces to their range of contemporary Italian foods. The Whole Cherry Tomato sauce range contains mouth-watering, sweet and succulent vine-ripened whole cherry tomatoes in every jar. Designed to appeal to the growing premium mainstream pasta sauce market, the new range includes three best-selling variants – Whole Cherry Tomato & Basil, Whole Cherry Tomato & Roasted Vegetables and Whole Cherry Tomato & Chilli, plus one of the fastest growing flavoured sauces with cheese, Whole Cherry Tomato & Parmesan. Each sauce comes in a handy, family-sized 350g jar. 63


June08Shelf

Life

Shelf Life GRAHAM’S Bakery, a family-owned bakery in Dromore, Co. Down, has announced a new partnership with children’s charity Barnardo’s, which will make life better for hundreds of families across the island of Ireland. Graham’s Bakery will offer longterm funding and increased awareness of the charities through on-pack promotions and staff fundraising events. Hundreds of thousands of boxes in the Graham’s cake range will carry information about Barnardo’s work and how families can access their services. Joint branding and information about the partnership will make clear what Barnardo’s services are. Some cake lines will see a donation per pack to the charities typically 33 cents (£0.25) per cake.

CORONA Extra have moved firmly into the digital marketing age with the launch of mycorona.ie, its funky new website, by Glenda Gilson in Dublin. Now live, mycorona.ie is positioned to become a popular medium for free-spirited consumers who have a common penchant for Corona and wish to become part of the ‘virtual’ Corona fan club, posting their favourite pictures online to win competitions. The best entrant will be in with a chance to win prizes on a monthly basis and ultimately could win a one week holiday for two in Cancun, Mexico, at year end.

CONGRATULATIONS to Panini UK, whose highly acclaimed children’s comic, Spectacular Spider-Man, has received the Favourite British Colour Comicbook Eagle Award 2008 (the Oscars of the comic book world). It was presented to Spectacular Spider-Man Editor, Ed Hammond, by legendary comic writer and artist Jim Starlin.

THE Bionade Body Painting Roadshow travelled the country to mark the launch of Bionade, a new non-alcoholic refreshment drink, in Ireland. Models Paul and Petra are pictured at Nude on Suffolk Street, Dublin. Brewed in accordance with the German Rheinheitsgebot, Bionade is the first and only non-alcoholic refreshment drink produced by a purely organic process – through the fermentation of natural, organic raw materials, and is available in four flavours (Lychee, Elderberry, Ginger & Orange and Herbs).

CHIARA Ercole, 24, from the town of Asti, Italy, is pictured on a recent visit to Dublin, where she helped celebrate L’Arte di Sacla’ as part of Italian National Day. Chiara’s father, Cavaliere Del Lavoro Lorenzo Ercole, Chairman of Sacla’, co-hosted the soiree alongside the Italian Ambassador at the Ambassador’s private residence in Lucan House. The Sacla’ brand is still run by a family of passionate Italian food lovers, whose Pesto, pasta sauces and antipasti are based on authentic and traditional recipes, and made in the Piedmont region of Northern Italy. 64

WE all know about certain television programmes almost guaranteed to induce sleep (Big Brother anyone?) but a Cork-based company have just secured the exclusive licence to produce sleepinducing milk. Ardrahan Farm have obtained the exclusive licence for Ireland to produce Lullaby Milk from the University of Kuopio in Finland, where definitive scientific research was done to validate the sleep-inducing properties of milk produced before daybreak. The melatonin-rich milk, Ardrahan Lullaby Milk is currently listed with the major supermarket multiples. ASDA found themselves at the centre of a sizzling storm recently, with the UK’s Guild of Fine Food slamming their introduction of the 2p sausage. “Will supermarkets ever look beyond the next set of trading figures and consider even the medium term impact of their quest for cheap food?” asked Bob Farrand, National Director of the Guild of Fine Food. “Of course people want cheap food,” he argued, “just like they want gasguzzling four-wheel drives, cheap flights, flat screen TV’s in every room and the freedom to bingedrink. It’s not always possible, or desirable and as the planet warms up, it could become positively dangerous.” THE staff of RETAIL NEWS would like to express our sincere condolences to George Cooke Senior, George Junior and the rest of the Cooke family, on the recent passing of Grace, beloved wife and mother.


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


THE CLEAR

CHOICE


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