March 2010
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March10Contents
■ inside view
Challenging Times for Tobacco Sector THE European Court of Justice ruling that the Irish Government cannot impose a minimum price for the sale of cigarettes in Ireland fuelled much debate in the retail sector in recent days, with interested stake-holders, from tobacco manufacturers to retailers and anti-smoking groups, waiting to see how the Department Of Health will react to the ruling. Will it mean that multiple groups can create their own label tobacco brands, which would sell at prices far lower than branded cigarettes? Will the Government introduce a Minimum Incidence of Duty to keep prices up? Would such a move mean the end of cigarettes at the lower price point of €7.75? Does the ruling make any difference when up to 30% of cigarettes sold in Ireland are done so illegally? We provide a full news report on the issue (Page 4). Also on the tobacco sector, editor John Walshe talks to Toby Granwal, General Manager, PJ Carroll, about the wider issues facing the sector, including the urgent need for a clamp-down on smuggling and the illegal trade, the fallout from last year’s in-store display ban and the future for tobacco sales in Ireland (Page 22). Elsewhere, we report on the Responsible Retailers of Alcohol in Ireland campaign to highlight how their Voluntary Code of Practice has resulted in “striking changes in the sale and display of alcohol” in Ireland (Page 6), and speak to Sharon Colgan, Programme Director, Love Irish Food, on the initiative’s successes, just six months after its launch last year. We also report on the continued growth of Fairtrade in Ireland. While many sectors are struggling in the midst of continued recession, retail sales of Fairtrade products in Ireland grew by a massive 27% in 2009, reaching an alltime high of €118m, with further growth expected this year (Page 27). “Over 53 years serving the Irish Kathleen Belton, Editorial & Marketing Director
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
7 $ 5 $
WIN A FAIRTRADE HAMPER! RETAIL NEWS, in conjunction with Wish4FairTrade, are giving you the chance to win a wonderful hamper, stuffed with a range of products from the Wish4Fair Trade portfolio, including Muffins, Flapjacks, Bars and Brownies. Founder of Wish4FairTrade, Alan Clayton says the company’s USP is its delicious mix of high quality, hand crafted products with natural ingredients and a 100% commitment to Fairtrade. Clayton, a successful businessman, decided to launch the company after a competition win took him to Malawi to visit Fairtrade certified sugar farmers. Wish4FairTrade have just launched a new range of products, including: ■ Muffins: Toffee (with toffee fudge pieces); Blueberry (with real Blueberries); Chocolate (with real chocolate pieces); and Lemon (with real lemon), with added sauce filling for a delicious moistness, and no artificial colours, or flavours. ■ Bars: Honey & Fruit Flapjack; Traditional Oat Flapjack; Millionaire’s Shortbread; Chocolate Brownie; Fruity Nut Seed Bar and Rich Fruit Cake. ■ Confectionery: Calypso Fruit Mix; Crumbly Mint Balls; Blackcurrant & Liquorice; Vanilla Fudge; Toffee Assortment; and the first Fairtrade sharing box – a 400g Fudge & Toffee Assortment. To be in with a chance to win this great prize, just answer the following question:
NAME TWO WISH4FAIRTRADE PRODUCTS? Email your answers to retailnews@tarapublishingco.com together with your name, address & telephone number or on a postcard to WISH4FAIRTRADE Competition, RETAIL NEWS, Poolbeg House, 1-2 Poolbeg St., Dublin 2.
Published by: Tara Publishing Co. Ltd., Poolbeg House, 1/2 Poolbeg Street, Dublin 2. Tel: (01) 2413095. Fax: (01) 2413010. Web: www.retailnews.ie Email: retailnews@tarapublishingco.com Subscription to Retail News: €95 plus VAT Email: tracy@tarapublishingco.com Origination by: Rooney Media Graphics
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For peace of mind look for the Quality Mark
March10Contents
Contents March 2010
News 4EU Rules Against
Centra Quality Awards 26A total of 326 Centra
Minimum Price for Cigarettes.
5Farmers Call for Regulation in Food Supply Chain
18
stores across the country have received a Centra Quality Award for 2010, which is independently audited by the Excellence Ireland Quality Association.
On The Vine 38Austrian Wine Fair; Gilbeys Portfolio Tasting; Tutored Tasting of Italian Wines.
40
Centra Store of the Year Awards 18Three Centra stores from around the country were rewarded at the recent Centra Store of the Year Awards.
4 6RRAI Calls for Consumer Complaints.
The Retail News Interview 22Toby Granwal, General Manager of PJ Carroll, assesses the changing face of the Irish tobacco market, the crippling effect of illegal sales and the fall-out from the in-store display ban.
27 Fairtrade 27Sales of Fairtrade products in Ireland continue to defy the recession, with 27% growth last year and more expected in 2010.
7Irish Companies Honoured by Deloitte; Kerry Foods Scores in Survey.
30
gossip from the trade.
Regulars 12 Industry News 20 Drinks News 39 What’s New
8Drinks Market Continues to Suffer; Discounters Planning Ahead. 10Consumers Love Irish Food.
Shelf Life 40All the latest news and
Sectoral Reports 30 Baby Food & Care
22
34 Dairy & Chill Cabinet 3
March10News
EU Rules Against Minimum THE European Court of Justice has ruled that Irish legislation setting a minimum price for tobacco products, including cigarettes, is illegal. The ECT also ruled that “the manufacturers and importers of manufactured tobacco are to be free to determine the maximum retail selling price for each of their products”. According to the Commission, the legislation which imposes minimum prices “undermines the freedom of manufacturers and importers to determine the maximum retail selling prices of their products and, correspondingly, free competition”. Basically, the Commission ruled that since the maximum retail selling price determined by manufacturers and importers cannot be lower than the obligatory minimum price, it is capable of undermining competition by preventing some of those manufacturers or importers from taking advantage of lower cost prices so as to offer more attractive retail selling prices. The ruling has been welcomed by Ireland’s tobacco manufacturers. PJ Carroll agree with the position “asserted by the European Commission and confirmed by the European Court of Justice that the practice of setting minimum prices for cigarettes is illegal in the context of EU rules and distorts competition”. John Players, too, were pleased with the ruling: “We’re not surprised at the judgement, as the idea of the EU is all about free competition,” noted Deirdre Healy, Corporate Affairs Manager. A statement from JTI reveals how the company “has taken note of the Judgment”, which it will carefully analyse “and monitor how the respective Governments will amend their existing legislation”. Whether this ruling will mean a drop in cigarette and tobacco prices in Ireland is still up for debate. The ECT argued that the objective of ensuring that a high price level is fixed for ciga4
rettes may adequately be attained by increasing taxation on those products, but Ireland already has the highest rate of taxation on tobacco in the EU. “Ireland also suffers from one of the highest levels of illicit trade in Europe,” notes Toby Granwal, General Manager, PJ Carroll. “Unless the Government were to significantly revise the tax level to help reduce the smuggling problem, with or without a set minimum price, the cost of an Irish packet of cigarettes is still going to be the most expensive in the EU because of the high tax.” Many industry insiders are predicting that the Department of Health will impose a Minimum Incidence of Duty (MIOD), which would ensure a set minimum amount of excise duty per pack of cigarettes. However, that could have the effect of bringing up the prices at the lower end of the market. Considering the illicit trade in cigarettes makes up close to 30% of the Irish tobacco market, the tobacco industry feels that this new legislation
will not have a huge impact on the legal trade. “This minimum retail price ruling will have no impact on consumers who buy cut-price cigarettes on the streets of Ireland today: it will have no bearing on people buying cigarettes from alternative, illegal channels,” Deirdre Healy notes. “The reality is the set minimum price for cigarettes has become irrelevant,” argues Toby Granwal. “Packs of cigarettes are being purchased up and down the country for as little as €3.50 on the black market. This is under half the current minimum price of €7.75.” Convenience Stores and Newsagents Association (CSNA) President, Vincent Jennings agrees: “The consumer market has found ways around the minimum price thanks to the increased amount of smuggling that is going on. Until we have a situation where the only tobacco products sold are sold via registered and licensed retail premises, this problem is going to continue. You just can’t discuss the effects of pricing without making reference to the smuggling problem.” Both the CSNA and RGDATA are concerned that one possible outcome of the new ruling would see a multiple retailer potentially selling own-brand cigarettes at a much lower rate than current branded products, which would impact heavily on their members. Indeed, if the price of branded tobacco products drops, Jennings is worried for the impact on his members. “We currently make on average 8.7% on tobacco products,” he notes. “If the price of the product were to drop, without a commensurate increase in the total of people coming into our stores, due to the continued smuggling, less money is coming into our tills.” Jennings is calling on the Department of Health to sit down with all stakeholders to work out a solution. “We have suggested that they
March10News
Price for Cigarettes [Department of Health] have a series of meetings with all the stakeholders to discuss how they intend to achieve their ends. We don’t want them to come up with a solution that has unseen disadvantages for any one sector.” When contacted by RETAIL NEWS, the Department of Health and Children noted that, while the European Court of Justice ruling found that the practice of setting a minimum price for cigarettes is in breach of Article 9(1) of Council Directive 95/59/EC, it does not effect Article 2 of the Tobacco Products (Control of Advertising, Sponsorship and Sales Promotion) (Amendment) Regulations, 2000 (S.I. No. 35 of 2000), which provides that a “person shall not sell, cause
Vincent Jennings, Chief Executive of the Convenience Stores & Newsagents Association.
Farmers Call for Regulation in Food Supply Chain THE Irish Farmers Association has called for “effective regulation” in the supply chain, or large numbers of Irish family farms are going to be forced to close down. “The clear message to retailers, processors, Government and the EU is that the food supply chain is broken because farm families cannot survive on prices below the cost of production,” argued IFA President, John Bryan, speaking at the launch of a new study into the food supply chain undertaken by the IFA, entitled ‘Equity For Farmers in the Food Supply Chain’. “Farmers are the ultimate price takers at the opposite end of the food supply chain from powerful retailers, which are dictating uneconomic price levels to producers,” Bryan noted, arguing that an average increase of little more than 5% in the farmer’s share of the current retail price would provide producers with a viable income. “Retailers, processors and food suppliers, in addition to providing real value to consumers, must ensure that primary producers are treated fairly,” he said. “The evidence shows clearly that this is not happening.” The IFA President called for both
to be sold or promote the sale of a tobacco product at a price which is so much lower than the price at which tobacco products of a similar type or character are at the material time being sold, that the sale, causing to be sold or promotion for sale at the lower price (a) constitutes in the opinion of the Minister a sales promotion device, and (b) is carried out after such opinion of the Minister is communicated in writing to the person concerned”. Meanwhile, regulations to allow the introduction of combined text and graphic warnings on Irish cigarette packs are currently being drafted by the Department of health and are expected to be implemented before the end of the year.
prices, as well as the best value, quality and range of products and services. “Indeed over the past 12 months, SuperValu has invested in excess of €230m in price reductions to consumers. This has meant a reduction of 9% in the average weekly household basket of goods within SuperValu stores,” noted a company spokesperson. “This has been delivered without sacrificing our commitment to Irish suppliers and Irish jobs.” The spokesperson went on to highlight that “the purpose of our promotional activity is to encourage consumers to buy Irish produce and it is funded by Musgrave and its retail partners, not at the expense of Irish farmers.”
new regulation and the proper enforcement of existing competition law to tackle anti-competitive conduct. “The new statutory Code of Practice promised by the Government must enshrine the principle of fair trade for farmers in the grocery trade by providing a means for the more equitable share-out of the consumer price across the food chain.” In particular, the IFA is proposing that retailers are required to report details of their profitability in this country, as well as the outlawing of unsustainable practices including ‘hello money’, ‘pay to play money’, below-cost selling and forcing suppliers to fund retail price reductions. Other proposals cover proper labelling and the auditing of commitments to source Irish products. The IFA further joined their voice to those calling for an ombudsman to police the Code and investigate complaints. Responding to the IFA statement, Musgrave and its retail partners in SuperValu and Centra stressed that they are John Bryan, committed to providing Irish conIFA President. sumers with the most competitive
5
March10News
RRAI Calls for Consumer Complaints THE Responsible Retailers of Alcohol in Ireland (RRAI) has embarked on a new campaign to highlight the Voluntary Code of Practice on the Sale and Display of Alcohol Products in Mixed Trade Premises, which it claims has resulted in “striking changes in the sale and display of alcohol” in Ireland. The RRAI are urging members of the public to ensure that their local retailer is adhering to the Code and calling on consumers to complain if a retailer is deviating from it. “If a member of the public feels that their retailer is not fully complying with the Code, they have every right to complain to the store and to the RRAI and expect their complaint to be acted upon promptly”, noted Padraic White, RRAI Chairperson. Speaking to RETAIL NEWS, White noted how he has been able to resolve 100% of consumer complaints about stores’ non-adherence to the Code through dialogue with store owners, noting how “these retailers are very committed to the Code and its adherence”. White described as “remarkable” the fact that an independent audit in September 2009 found that over 90% of mixed trade retailers are adhering to the Code, in place since May last year. Another audit will take place this summer and, according to White, it will be even more stringent than last year’s audit. The retail groups who signed up to the Code account for 95% of the alcohol volume sold in the mixed-trade sector. They include Centra, SuperValu, Daybreak, MACE, SPAR, Costcutter, Dunnes Stores, Tesco, Aldi, Lidl, Londis, Gala, Superquinn, Esso and Topaz. Padraic White formally invited all independent stores not signed up to the Code to do so immediately: “we are offering them associate membership, for a nominal cost, and we will provide them will all relevant material”. Also speaking at an event to increase awareness of the Code, at Centra, Store, Dame Street, Dublin 2, Minister for Justice, Equality & Law Reform, Dermot Ahern TD, noted how “the last thing Government wants to do is to over-regulate, to put more expense on already hard-pressed businesses.” He 6
Pictured at Centra Dame Street, Dublin 2, are Enda Martin, Centra Store Owner, with Tara Buckley, RGDATA, and Padraic White, Chairperson, Responsible Retailers of Alcohol in Ireland.
described the Code as a clear example of how industry can work with the Government, noting that the Code has worked excellently. Under the Code, alcohol can only be displayed in-store in one separate area; alcohol cannot be displayed or advertised in shop windows; in-store advertising of alcohol is confined to the area where it is displayed; alcohol can only be sold at clearly designed check-out points and the code and complaints procedure is clearly displayed for members of the general public. RRAI members are also limited in the amount of advertising that can be given over to alcohol, with a maximum of 25% of all advertisements they place in newspapers or magazines highlighting alcohol. “This initiative is a prime example of how retailers across Ireland can play a positive and active role in changing the way alcohol is sold in Ireland,” commented Centra Store Owner, Enda Martin. “As a retailer, we have been very happy to comply with the regulations and have had little trouble implementing the Code, training our staff along with other retailers across the country. We have seen a positive response from the public and it gives our customers the security of knowing that we are trading responsibly.” The RRAI is calling for the introduction of a comparable Code for the stand
alone off-license sector. Padraic White noted how “it is almost provocative to have an off-license displaying alcohol in its window, alongside promotional signage, while two doors down you have a convenience store that is totally compliant with the Code.” White also announced that RRAI plan to build on the successes of 2009 with a series of incremental measures in 2010 aimed at increasing overall awareness of the Code amongst the general public and retailers: •
Members have committed to increasing the visibility of the Code document itself within their stores, by increasing its size from A4 to A3, ensuring that a greater number of signs are placed in conspicuous locations in stores and that the complaints mechanism is clearly visible;
•
Members will use the RRAI logo on all alcohol related advertising in print media;
•
An enhanced Training Manual on the sale and display of alcohol is currently being developed and will presently be distributed to the almost 3,000 stores affiliated to RRAI. Member’s application of this training manual will be independently verified at store level.
March10News
Irish Companies Honoured by Deloitte DELOITTE, the leading business advisory firm, in association with Bank of Scotland (Ireland), has announced the winners of this year’s Deloitte Best Managed Companies Awards Programme. Three food, drink and retail companies, The Barry Group, Jacob Fruitfield Food Group and Java Republic Roasting Company, demonstrated superior business performance and were named among the 20 winners. The independent judging panel, chaired by Denis Brosnan, reviewed a broad range of criteria including strategy, capability, commitment, financials and growth potential across all key functions of the business. Given the turbulent economic environment, the judging panel recognised that business and management success can no longer simply be measured by increased sales, profit or turnover. For that reason, a holistic view of the companies, their performance in relation to their peers, and the industries that they are operating
The Barry Group team are pictured accepting their Best Managed Companies Award, (l-r): Paul Roche, Cyril Vickers, Noel Brady, John McAllen, Jim Barry, Ray O’Driscoll, Edwina Lucey, Niall Hartnett, Oliver Savage, Norman Lenihan.
kets, world-class management teams are absolutely critical to achieving success. Awards programmes like this help bring out the best in Irish companies and are hugely beneficial to all participants.” This year’s process found that there were a number of common traits across the winning companies. These included an increased focus on international markets for growth and the recognition that retaining key members of management, despite the pressure to reduce headcount, was extremely important – it will be these people who will see the company through the period of turbulence. Many of the winning companies are also dedicating much of their time to forecasting and budgeting – recognising that they are working in a fast-moving environment and planning needs to be revised on an ongoing basis to ensure a complete understanding of financing needs and key cost drivers, in addition to what variables most influence the business and how to control these.
in was considered in order to determine management success. “In today’s challenging business environment, Irish companies and their management teams need to be more entrepreneurial, ambitious, creative and skilled than ever before,” noted An Taoiseach, Brian Cowen TD. “Indeed, for our companies competing in global mar-
Pictured at the Deloitte Best Managed Companies Awards are: Pat Cullen, Managing Partner, Deloitte, with An Taoiseach Brian Cowen TD, Seamus Kearney, Jacob Fruitfield Food Group (award winners), and David Latto, Bank Of Scotland (Ireland).
Kerry Foods Scores in Survey KERRY Foods has moved up 68 places in the highly regarded survey of the world’s 500 most valuable brands by Brand Finance, the world’s leading valuation consultancy. The Irish group moved from 482 to 414, based in a massive 72% increase in its brand value to US$2,284m (€1,67m). Kerry is the only Irish brand listed in the global 500. Meanwhile, parent company Kerry Group released its preliminary results
for year ended December 31, 2009. Highlights included a 2.2% increase in continuing business volumes and a 3.8% increase in trading profit to €422m. “The Kerry business model performed robustly in what was a challenging environment in 2009 – delivering excellent product and business development opportunities, good margin improvement and cash generation,” noted Stan McCarthy, Kerry Group
CEO. “Our Group trading profit margin increased by 80 basis points to 9.3%, with ingredients & flavours contributing a 90 basis points improvement and consumer foods achieving a 40 basis points margin improvement. Our strategies and investment programmes will enable sustained business margin improvement and we are confident of delivering earnings growth in 2010 to a range of 182 to 185 cent per share (2009:166.5 cent).” 7
March10News
Drinks Market Continues to Suffer THE Irish drinks sector experienced a “dramatic decline” over the second half of 2009, according to the latest set of results from Irish Distillers Pernod Ricard. While not releasing figures specifically for the Irish market, Alexandre Ricard highlighted the decline, which he attributed to the faltering economy, a severe contraction in consumer confidence and a surge in cross-border sales. Despite this, however, Jameson proved the best performer in the company’s 15 strategic brands, performing ahead of the overall market with a net sales growth of 7% internationally, while Absolut Vodka and West Coast Cooler also grew sales, the latter by a whopping 91%. Irish Distillers Pernod Ricard reported a 10% fall in global net sales to €3789m. Meanwhile, Diageo reported a 3% fall in profits to Stg£1.63 billion for the six months to December 31, 2009. “As we had anticipated, this was a challenging six months,” noted Paul Walsh, Chief Executive of Diageo. “The economic and consumer environment remained weak in many markets and we faced a difficult comparison against Q1 last year yet the second quarter did show a return to growth.” Diageo report that Irish alcohol sales decreased by 10% in the second half of last year, with pubs suffering the biggest decline at 14%. Diageo’s net sales fell by 9% but Guinness’ share of the declining beer market increased in both the on and off trade, thanks in the main to the 250th Anniversary celebrations. Guinness now claims 32.3% of the Irish draught beer market. Budweiser and Carlsberg declined in line with the market, while Smithwick’s and Harp grew share. “Our category leading brands, the consistency and scale of our marketing investment, successful innovation and our industry leading sales capabilities have led to share gains for Diageo’s priority brands in key markets,” noted Paul Walsh. Finally, Heineken reported a better than expected rise in net profit in 2009 8
globally. Heineken’s net profit rose by 4.1% to €1.05 billion last year compared to €1.01 billion in 2008. Sales increased by 2.7% to €14.7 billion, despite a 1.5% drop in the volume of beer delivered last year during the global economic crisis, the company said. In Ireland, the company said beer consumption fell by a ‘high single-digit’ percentage, but said it increased its market share. Heineken sales volumes were down 6.8%, but the brand still increased its market share, while the
company also reported growth for the Beamish & Crawford and Coors Light brand in particular. Speaking of the company’s global performance, Jean-Francois van Boxmeer, Heineken Group Chief Executive and Chairman, said: “In one of the most challenging trading environments ever witnessed in our industry, we have delivered an outstanding financial performance, transformed our platform for future growth and built a more competitive business.”
Discounters Planning Ahead ALDI have been given the green light to open a new single-story discount store in Tramore, Co. Waterford. Aldi’s original planning permission, which had been granted by Waterford County Council, was rejected by An Bord Pleanála, but a new planning application for the site, adjacent to the Riverstown roundabout, has recently been granted. It is also expected that Aldi will open another new outlet in the south-west, this time in Clonakilty’s award-winning Waterfront development, subject to planning permission. Meanwhile, Lidl is currently seeking planning permission to open a store in Westport, Co. Mayo, with the discounter hopeful that the new outlet could open its doors by the end of the summer, although the group has run into trouble with Kerry County Council over a proposed development in Kenmare, which the Council claims would materially contravene the zoning on the site and would damage the retail function town centre because of its location 1.2km from the centre of Kenmare.
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March10News
Consumers Love Irish Food SIX months on from its launch, Love Irish Food has proved a tremendous success. “We have had an excellent response to Love Irish Food (LIF), in terms of membership, which has tripled to the point where 73 brands are now part of the initiative, in terms of consumer reaction, and in the tremendous amount of goodwill towards the campaign,” Sharon Colgan, Programme Director, Love Irish Food, tells RETAIL NEWS. In terms of consumer response, BMR Research indicated a massive 64% awareness for the Love Irish Food symbol post-launch, along with a 47% advertising recall by consumers, way above the industry norm, while a phenomenal 81% of consumers were reported as understanding what Love Irish Food stands for. “The campaign really resonated well with consumers,” Colgan notes. “The feedback from member brands is positive. Many brand owners are saying that they are benefiting from the increased media exposure being associated with LIF and that the logo allows them to differentiate their brands as being a ‘real’ made in Ireland brand,” she continues. “Some brands are claiming a growth in shelf space, market share and sales in what is a very challenging climate.” While admitting that when it comes to hard facts and figures, it is quite difficult for many of the brands to isolate the direct effect Love Irish Food is having on their sales, due to all the other variables that can influence sales, such as promotions, their own brand marketing campaigns etc, Colgan is confident that membership of Love Irish Food is having a beneficial effect on sales. Mark Long of Living Flavour reports that “Love Irish Food has definitely helped to lift sales of my brand”. Indeed, following the launch of Love Irish Food in September 2009, Long immediately saw a 27% increase in his sales, which subsequently jumped to 46% during a LIF promotion following on from the launch. He attributes this growth to the increased exposure the campaign has given his small brand. “Being part of this initiative allows Living Flavour to stand alongside the big Irish brands like Avonmore, Tayto, Barry’s Tea and 10
Flahavan’s and it gives us more credibility amongst both retailers and consumers,” Long tells RETAIL NEWS. It’s not just smaller, niche brands that benefit, however. Batchelor’s Kieran Rumley says that “without Love Irish Food, the situation in the retailing grocery trade would be less favourable than it is now. There is a positive connection between LIF and consumer awareness and understanding of it. That’s why we strongly feature the LIF logo on our packs, leveraging our association with LIF and that positive consumer connection.” Another leading brand has said that in a category that is declining 15% in volume sales, they are up 10% yearon-year. This is driven primarily by a mix of promotions and the brand’s own marketing campaign: however, the spokesperson for this brand adds that “our association with LIF is also seen as being a factor in these figures”. Programme Director Sharon Colgan feels that the strict criteria governing who can become a LIF member is one of its strongest selling points: “It is helping consumers to navigate through the grocery aisle and helping them to differentiate products on-shelf.” Colgan praises the “fantastic collaborative spirit” between member brands, which has seen a number of co-marketing initiatives, while she also feels that membership of LIF is helping brands to gain shelf-space, particularly for newer or smaller brands. “We want to change the way consumers think, to get them to understand that if they buy Irish products, it’s better for the economy and ultimately, bet-
ter for jobs,” Colgan explains, while also welcoming the “positive response” from Ireland’s retailers to the LIF campaign. “It is a consumer-focused campaign, so most of our energy is going into creating consumers awareness for the logo and driving purchase intent for LIF with consumers, but with the trade, we want to get across the value message from Irish food brands. Irish food brands can and are offering a huge amount of value back to consumers.” Peter Foley, Commercial Director, Londis, feels that the Love Irish Food initiative has been a success for the retail group too. “We are very conscious of the Love Irish Food initiative from Irish brands,” he tells RETAIL NEWS. “As a 100% Irish owned company, supporting smaller, independent retailers in the marketplace, Londis is extremely aware of the need to encourage Irish consumers to shop locally, keeping spend within their local communities. This heightened awareness meant that when Love Irish Food was launched, we were keen to support the initiative, ensuring that products received strong relative positioning in-store and that regular promotional activity featuring these brands became a key element of our promotional cycles.” He points to a recent promotion with Cully & Sully, which offered “an excellent meal deal to our Londis PLUS retailers”. “This will continue,” stressed Foley, “and we will seek to ensure that Irish brands feature heavily on our promotional programmes, giving our consumers every opportunity to support both local Irish retailers and Irish brands.”
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March10Industry
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Gala Celebrations in Kerry STAFF at Holly’s Gala, Moyvane, Co. Kerry, are pictured celebrating entering National Lottery record books by becoming the first National Lottery agent store to sell a winning Scratch Card worth €250,000 – the biggest prize ever won on a National Lottery Scratch Card. Martin Manley, National Lottery Field Sales Representative presents Emma O’Brien of Holly’s Gala with a €2,500 bonus cheque for selling the lucky Scratch Card. Also in picture are, Jack O’Brien, Eileen Mulvihill, Noreen O’Flaherty, Denis Holly, Beata Figas, Irena Malkowska and in front is Lizzie Murphy, who sold the winning ticket. A Kerryman in his twenties, who wishes to remain anonymous, won this fantastic prize on a ‘Quarter Million Cash’ Scratch Card
Centra Sponsors GAA Hurling All-Ireland Championship
Dee’s Team Up With Superquinn
DEE’S Eat Well Be Happy are celebrating the announcement that their 100% Organic Wholefood Burgers are now being stocked on the shelves at Superquinn stores. This award-winning range of gluten-free burgers are made from natural, non-processed ingredients such as protein
rich seeds, wholegrains and vegetables, and are meatfree, wheat-free, gluten-free and made without using dairy ingredients, soy or eggs, salt or sugar. Dee’s 100% Organic Wholefood Burgers are available in two varieties, the Omega Burger and the Spicy Bean Burger (pictured).
Appointment at Dairygold Food Ingredients DAIRYGOLD Food Ingredients have appointed Alaster Siddle to the new role of Foodservice General Manager as the company continues its ambitious expansion programme. Siddle, 38, has a wealth of food service sales experience, built up during more than ten years with Brakes Food Service. His appointment comes as Dairygold looks to step up its plans for growth, with the introduction of more new and unique products and formats to the food service sector.
THE GAA has announced a new partnership with Centra and its 558 retail partners, who have been confirmed as an official sponsor of the GAA Hurling All-Ireland Championship with immediate effect. “Centra is passionate about being local and Irish, and over the years our stores have become the meeting place and focal point for many communities,” said Donal Horgan, Managing Director, Centra. “It is where a team’s prospects are discussed leading up to the weekend and where the very important post mortem takes place on a Monday.” Pictured at the announcement are GAA stars Ollie Canning, Galway; David O’Callaghan, Dublin; Neill McManus, Antrim; Henry Shefflin, Kilkenny; John Mullane, Waterford; Ben O’Connor, Cork; and Eoin Kelly, Tipperary; with the Liam MacCarthy Cup.
Dundrum Town Centre’s Fifth Birthday DUNDRUM Town Centre has celebrated its 5th birthday, with The Fabulous €50,000 Goodie Box Giveaway, where one lucky customer walked away with a Dundrum Town Centre goodie bag worth a staggering €50,000. The prize includes a private cinema screening for over 100 people with Moveis@Dundrum, a Milano’s pizza making party, a stunning Tipperary Crystal chandelier from House of Fraser, a luxury 5 star Jamaican holiday and year-long Educo gym membership. “We are delighted to be celebrating our 5th birthday, having welcomed in excess of 75m customers since we first opened our doors,” noted Don Nugent, Dundrum Town Centre Director. 12
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March10Industry
News
Sweet Success for Ina’s Kitchen Desserts INA’S Kitchen Desserts has signed a deal to provide luxury cupcakes which are locally produced and 100% Irish to SuperValu and Centra stores across the country. The stores expect to sell in excess of 800,000 units this year, with the handmade cupcakes retailing at €1 each, while the deal will see four new jobs created at Ina’s Kitchen Desserts. “Our partnership with Ina’s Kitchen Desserts is an exciting new initiative to bring great value, luxury handmade cupcakes to our customers. It’s fantastic to see that this deal with lead to the creation of some new jobs in this small, family-run business and further demonstrates the valuable contribution Irish food producers make to our economy,” noted Ciara McClafferty, Category Manager, Musgrave, with is pictured with Ina Broderick, founder, Ina’s Kitchen Desserts.
Nature’s Best Win Top Award DROGHEDA-based food company, Nature’s Best beat stiff competition from 166 products to take home the prestigious title of ‘Best New Creation’ for its recently launched Salad Shakers range at the Bord Bia Marketplace 2010 event in Croke Park, Dublin. The Salad Shakers range was chosen by the judges as the most innovative, inspiring and creative range launched within the last 12 months. The product range also received the ‘Best on Trend’ award in the Fluid Lives category. “We firmly believe that innovation and a consumer-focused approach are key to successfully competing in a crowded marketplace, and we aim to continue to invest in the Nature’s Best brand to build on the success of Salad Shakers,” commented Paddy Callaghan, Founder Director of Nature’s Best, who is pictured with Des Ferris, Managing Director; and Minister for Agriculture, Fisheries and Food, Brendan Smith TD.
M&S Sign Green Power Deal MARKS & Spencer have signed a major new ‘green power’ deal with energy provider Energia. The new renewable electricity contract, effective from April 2010 until 2013, is another major step towards achieving the retailer’s ‘Plan A’ objective to source or generate 100% ‘green’ electricity for M&S stores, offices and distribution centres in the Republic of Ireland. Energia will supply M&S with renewable electricity from a range of wind farms. Pictured announcing the deal are Gavin McLean, Energia, and Mervyn Bowden, Head of Energy Management, Marks & Spencer.
Connacht Gold Seek Junior Master Chef THE Connacht Gold Junior Master Chef competition, part of the inaugural So Sligo Food and Culture Festival, is open to all secondary school pupils in County Sligo and offers blossoming young Jamie Olivers and Gordon Ramsays the chance to show off their gourmet skills and have them judged by award-winning Irish chef Neven Maguire. “As one of the biggest food producers in the region, Connacht Gold is delighted to be sponsoring this competition and supporting the So Sligo Festival,” noted Seamus Hannon, Sales Manager at Connacht Gold. The Junior Master Chef Champion will win a specially commissioned trophy, a €100 voucher for Ticketmaster, a Connacht Gold super family hamper and a one day working
scholarship at McNean House Restaurant. Pictured are chef Joe Shannon of the Radisson Blu Hotel, Ballincar, with Ursline College students Aisling Forde, Emma Robinson and Jean Jordan at the launch of the Connacht Gold Junior Master Chef competition.
Topaz Raises €50,000 for Haiti TOPAZ and UNICEF Ireland have confirmed that their ‘Help Us to Help Haiti’ campaign has so far raised over 50,000 for the victims of the earthquake in Haiti. Topaz placed collection buckets in over 100 company owned sites and selected dealer sites all over the country. All monies raised through customer and employee donations and fundraising will go to UNICEF Ireland’s 14
Emergency Appeal for the children of Haiti. “We wanted to do something practical and meaningful, something that will get aid to the people who need it most as quickly as possible,” said Eddie O’Brien Chief Executive of Topaz. “We are already in a partnership with UNICEF Ireland so it makes perfect sense – given the scale of the disaster - to use our nationwide network for a specific Haiti campaign.”
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March10Industry
News
SuperValu Sponsors GAA Football Championship SUPERVALU has signed a new threeyear sponsorship deal with the GAA Football Championship, beginning with the 2010 season. “SuperValu is immensely proud of its Irish heritage, so it gives me great pleasure to announce the brand’s sponsorship of the GAA Football Championship,” said Donal Horgan, Managing Director, SuperValu. “As with the GAA, we have a long and distinguished history of being at the heart of building thriving and vibrant local communities in all the locations in which we operate.” Uachtarán Chumann Lúthchleas Gael, Críostóír Ó Cuana welcomed SuperValu’s decision to support the Association’s flagship inter-county football competition: “SuperValu’s commitment to Irish produce and the communities it serves across the island is testament to the importance that they place on community life and we are happy to align ourselves with a company that shares so many of our own values.” Donal Horgan, Managing Director, SuperValu, is pictured at the announcement with Uachtarán Chumann Lúthchleas Gael, Críostóír Ó Cuana.
Make-A-Wish for Flora Women’s Mini Marathon THE Make-A-Wish Foundation are calling on entrants to this year’s Flora Women’s Mini Marathon to give wings to children living with a life-threatening medical condition. Help them soar above it by supporting the Make-A-Wish Foundation and running on their behalf in this years Flora Women’s Mini Marathon on Bank Holiday Monday, June 7, 2010. Those who register with Make-AWish before April 27 will be entered into a draw to win a spa package for two at the Ritz Carlton Hotel Powerscourt Estate. Email Anne on anne@ makeawawish.ie for more information. Pictured making the announcement is beauty expert, Laura Bermingham, who is running the Flora Women’s Mini Marathon for the Make-A-Wish Foundation. 16
Bulmers Berry Launches BULMERS Ltd has launched a new variant onto the Irish cider market, new Bulmers Berry. The new fruit cider enters a largely untapped, growing market with considerable potential. “After carefully exploring the opportunities for the brand following the successful launch of Bulmers Pear last year, it became evident that the fruit cider market presented an exciting and logical extension for Bulmers, driving our commitment to growing the cider category whilst responding to consumer demand,” noted Michael
Merrins, Managing Director, Bulmers Ltd (pictured). “Our research has shown that the blend of apples with blackcurrants, raspberries and strawberries in Bulmers Berry is spot on in terms of consumer tastes and initial feedback has really filled us with confidence about the potential for Bulmers Berry in Ireland.” Bulmers Berry will be supported by a heavyweight national TV, outdoor, online and sampling campaign and the new product is available in pint bottle and longneck in the licensed trade and 500ml can in grocery.
Topaz Working Well TOPAZ has been recognised as one of the Best Workplaces in Ireland for the third year in a row. This year, Topaz secured its highest ever position, making the top ten in a list of the best large workplaces in Ireland at the Great Place to Work Awards. Pictured are: Cliona Carroll, Irish Independent; Paul Candon, Topaz’s Marketing and Corporate Services Director; Kendra Ryan, Human Resource Development Manager; and Robert Kinsella, Irish Independent.
For expertise and excellence when shopping for seafood or dining out, look for the Circle
seafoodcircle.ie
BIM SEAFOOD CIRCLE 2011 BIM/Irish Sea Fisheries Board, the State agency with responsibility for the Irish fishing and aquaculture industry, developed the Seafood Circle initiative to support and encourage restaurateurs and retailers that consistently deliver the highest standards of seafood and service to their customers. There are three categories of membership – Hospitality, Seafood Specialist and Supermarket Seafood Counter, with a total of 175 members nationwide this year. Check out the designated Seafood Circle website on www.seafoodcircle.ie for a full list of members.
Retail Membership There are two categories of membership for the retail sector.
Supermarket Seafood Counter All multiple, symbol groups and independent supermarkets offering a range of seafood from a wet fish counter, as part of a much greater offering of other foodstuffs, are invited to apply for membership in the Supermarket Seafood Counter category.
Seafood Specialist The Seafood Specialist category is open to seafood retailers who derive in excess of 60% of their turnover from seafood sales and where the retail portion of their premises does not exceed 250 metres square. The retail element of the programme is assessed by experienced BIM personnel and independent
assessors. Applicants receive unannounced visits during the assessment period and report their findings to an independent approvals committee. Spot checks are carried out as required. For 2011, the criteria for membership will again focus heavily on the quality of fish, customer service and of course adherence to correct labelling and hygiene practices. It is important to note that carrying a minimum range of 12-14 species on the wet fish counter is a basic requirement for membership. The Seafood Circle is all about offering excellent quality seafood and service to consumers and we are introducing a range of “Best in Category” awards to acknowledge members that go the extra mile. Award categories will include Seafood Specialist/ Supermarket Seafood Counter of the year and Best Newcomer of the Year. Category winners will be selected as part of the audit process. If you feel your premises is a candidate for membership in 2011 please contact us on 01-214 4100 or email obyrne@bim.ie to request an application form. Closing date for receipt of applications for 2011 membership is 30th April 2010.
March10Centra
Store of the Year Awards
Centra Scores on Quality Three Centra stores from around the country were rewarded at the recent Centra Store of the Year Awards.
Centra
Stores in Dublin, Limerick and Offaly scooped the top awards at the recent Centra Store of the Year Awards ceremony. A tough contest, which saw fierce competition from seven other excellent finalists from around the country, announced Courtney’s Centra, East Wall, as the overall winner of the contest, receiving the Gold Award. Reidy’s Centra, Foynes, came second, winning the Silver Award and Leavy’s Centra, Tullamore, received the Bronze Award. The National Awards were presented at the group’s National Conference by Donal Horgan, Centra Managing Director, along with Michael Morgan, Centra Sales Director, and Mícheál Aherne, Corporate Sales Manager O2, award sponsor. All 474 Centra stores throughout the Republic of Ireland are assessed for the Centra Store of the Year competition by independent retail consult-
Store owners Kevin and Julie Reidy, Centra, Foynes, are congratulated on winning the Silver Award at the recent Centra Store of the Year 2010 competition by Mícheál Aherne, Corporate Sales Manager O2; Donal Horgan, Centra Managing Director; and Michael Morgan, Centra Sales Director. 18
Mícheál Aherne, Corporate Sales Manager, O2; Donal Horgan, Centra Managing Director; and Michael Morgan, Centra Sales Director; congratulate store owner Lil Courtney, Courtney’s Centra, East Wall, and store managers Barry Faye and Mohammed Sajjad on winning the title of Centra Store of the Year 2010.
owner, Courtney’s Centra, East Wall, paid tribute to her team and said that their constant dedication and professional approach was what singled out the Dublin store for the award. “We work hard as a team on a daily basis to provide our customers with top class customer service and a great range of products at good value prices,” she said.
ant, Joe Comerford. The audit focuses on value, fresh food offering, product range, hygiene and customer care.
Exceptional Stores Located in the heart of their communities, Courtney’s, Reidy’s and Leavy’s extensive range of products, with a concentration on hot food, deli, fresh bread, bakery and an exceptional selection of fresh fruit and vegetables, all combine to provide exceptional stores for both local shoppers and passing trade. “These stores are an excellent example of how a top class store should operate,” noted competition judge, Joe Comerford. “While catering for the busy lifestyles of consumers in their areas, with a range of hot food and takeaway meals, all stores also compete to provide the best value for money offering on a full range of goods to meet their customer needs. “Courtney’s, Reidy’s and Leavy’s place a huge emphasis on providing good customer service and a range of services to ensure a unique shopping experience. Local sponsorship of many community initiatives within the East Wall, Foynes and Tullamore areas makes these Centra stores and their staff an integral part of their individual communities.”
Professional Approach Delighted with her Centra Store of the Year title, Lil Courtney, store
Pictured are Michael Morgan, Centra Sales Director; Mícheál Aherne, Corporate Sales Manager, O2; and Donal Horgan, Centra Managing Director; congratulating store owner John Leavy and Store Manager Brian Scally on winning the Bronze Award at the recent Centra Store of the Year 2010 competition.
Excellent Auditing Standards Donal Horgan, Managing Director of Centra, said the group’s auditing standards in all areas of the business are second to none and are important to the overall success of Centra as a group. “Centra stores such as Courtney’s, Reidy’s and Leavy’s work hard to succeed in a very competitive market, by meeting the needs of their local community and providing choice, good value and excellent service in a modern convenient location,” Horgan noted. “These stores are perfect examples of local independent retailers working hard for their local community and delivering stores that are recognised as the best in Ireland.”
March10Drinks
News
Guinness On the Ball SOUTH African rugby hero and Rugby World Cup winning captain, Francois Pienaar, jetted into Dublin recently to check out Guinness AREA 22 with Irish Rugby player and Guinness Area 22 team member, Jamie Heaslip (left). At www.guinness.com/ area22, rugby fans can engage with the game like never before – the site provides fans with the latest stats on the Irish rugby team, live rugby news feeds, and player insights on Facebook from inside the Irish camp with the Guinness Area 22 team: Jamie Heaslip, Tommy Bowe and Jerry Flannery.
Superquinn Sells 100,000th Bottle of Own Label Wine SUPERQUINN has announced that its own label Classic Collection wines have reached a significant milestone, with the 100,000th bottle sold recently. “We launched the Classic Collection last year with the aim of delivering great value classic wines which would also over-deliver on quality,” wine buyer Richard Moriarty explains. “We’re delighted to reach the 100,000 milestone, which clearly tells us that these wines are proving popular with our customers.” The range now includes five French varieties priced from €7 to €12, as well as four Australian and five Chilean wines, with Superquinn expecting to add further new wines to its Classic Collection brand in the coming months.
Cooley Named Distillery of the Year COOLEY Distillery has been named Distillery of the Year at the 16th Annual Malt Advocate Whisky Awards. The Whisky Awards run by the Malt Advocate, North America’s leading whisky magazine, are the oldest and longest-running annual whisky awards program. John Hansell, Editor of the Malt Advocate, commented, “The most compelling justification for selecting Cooley for this award isn’t just the variety of the whiskeys they make. It’s the quality. They are now putting out the best whiskey they have ever produced. In an era where hundreds of small distilleries are starting up across the globe, Cooley can be an inspiration to them all.” Cooley has now made a clean sweep of all major whisky awards. The 2010 trophy sits beside World Distiller of the Year 2008 (IWSC), European Distiller of the Year 2008 and 2009 (IWSC), Irish Distiller of the Year 2007 (Icons of Whisky), and World Best Whiskey 2009 (IWSC).
Earthquake Hits Miguel Torres Winery ONE of Ireland’s top selling Chilean wine makers has been affected by the Chilean Earthquake, which struck on February 27, 2010. The Miguel Torres Chile winery situated in Curicó, in the area of Maule, has been affected by the earthquake, with significant material losses. Around 300 casks were smashed, while a stainless steel vat with a capacity of 100,000 litres was cracked, losing all the wine, and thousands of bottles were also destroyed in the quake. Thankfully, there was no loss of life at the winery, while the main structure of the buildings withstood the quake, and the company hopes to recover soon. Torres is sending €50,000 to the Curicó council to help alleviate the difficulties faced by those most in need. Meanwhile, Rene Merino, President of the Board, Wines of Chile, has thanked “everyone around the world for the generous and sincere outpouring of concern, support, and offers of help” received since the earthquake. Expressing his deepest sympathy and support to the members of the extended Chilean wine family who have been affected by this tragic earthquake, Merino noted how “the Chilean wine industry stands united and confident about our ability to deal with the challenges that this unfortunate natural disaster has presented to us.”
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March10The
Retail News Interview
Toby Granwal, General Manager of PJ Carroll, assesses the changing face of the Irish tobacco market, the crippling effect of illegal sales and the fall-out from the in-store display ban.
Burning Issues The
Irish tobacco market is a very different environment from just 18 months ago, and it looks like further changes are on the way with the recent EU decision on the Irish Government’s minimum pricing on cigarettes and tobacco products, whereby the European Court of Justice ruled that Irish legislation setting a minimum price for tobacco products, including cigarettes, is illegal. “We agree with the position asserted by the European Commission and confirmed by the European Court of Justice that the practice of setting minimum prices for cigarettes is illegal in the context of EU rules and distorts competition,” notes Toby Granwal, General Manager of PJ Carroll. However, Granwal feels that in reality, “the set minimum price for cigarettes has become irrelevant. Packs of cigarettes are being purchased up and down the country for as little as €3.50 on the black market. This is under half the current minimum price of €7.75.” New Zealander Granwal has been in a prime position to witness Ireland’s changing tobacco market. Working 22
with British American Tobacco (BAT) since 1998, in Saudi Arabia, Dubai, Iran and London, Toby took over as General Manager of PJ Carroll in 2007 and has been at the coalface of a sector that seems to be in a state of near-constant flux, thanks to an every-changing legislative environment. “I arrived two years ago and there are times when I think maybe I should have passed on the option of taking this job, given how much things have changed,” laughs the affable Kiwi. “We definitely have to take a new approach.” Aside from illicit trade, the biggest change to hit the market in some time arrived on July 1, 2009, with the advent of the in-store display ban on tobacco. “This is not having an impact on consumption, but is exacerbating our illicit trade problem,” explains Toby. “We have always had a black market: if you look back to 2005, illegal trade stood at around 5%, which should have reflected legal cross border trade, people going on holidays, people going up North. What’s different now, certainly over the last 18 months, is how sophisticated the supply networks are, how well established and entrenched they have become. With fly-
March10The
“People think that the tobacco market is almost immune to the recession in that people will always smoke, but our retailers are under severe pressure, with a squeeze on working capital, stock levels and indeed store closures.” ers through doors, classified ads and internet sites, this is at a scale which we never saw before. This level of sophistication is particularly worrying.” It is not just the display ban that is pushing Irish tobacco consumers to the illicit market, however, which Toby admits. The recession too is having a big impact. “People think that the tobacco market is almost immune to the recession in that people will always smoke, but our retailers are under severe pressure, with a squeeze on working capital, stock levels and indeed store closures. Consumers have far less disposable income, which for most sectors means down-trading, but for us what that means is consumers are switching from the legal market into illicit trade.” It’s not all bad news for tobacco companies, however, with the General Manager noting that more Irish adults are smoking today than were just 18 months ago, which calls into question the effectiveness of the display ban (more of which later).
Legislation In a sector that is so legislation-heavy, with operating procedures regularly affected by changing laws, how can a company like PJ Carroll get its voice heard? Can the tobacco industry play a role in shaping legislation, which is generally driven by the health lobby? “It is all about engagement. PJ Carroll as a company are in favour of sensible regulation: we’re against youth smoking; we want to see tobacco sold through legal channels, where it can be regulated; we want to see those legal channels making good on their obligations not to sell to minors. The way in which we set about making that happen is through engagement with our retailers and the regulators, working with them to ensure the regulation is proportionate and able to be implemented.” He cites the introduction of duallanguage health warnings on-pack as a good example of industry and Government working together to achieve results. “It comes down to engagement with stakeholders, be they Revenue, Customs, the Gardaí, Justice, Finance, TDs, both from an operational level and in terms of raising awareness of the issues with the public and with Government,” he notes.
VAT Reduction and Pricing While welcoming the Government’s recent VAT reduction, which they
Retail News Interview
have since passed on to consumers in terms of lower prices, Granwal feels that more needs to be done from a pricing perspective to reduce the differential between legal and illegal tobacco prices. “Anything that can narrow the gap between the legal and illegal markets is welcome,” he stresses. “Given that we’re talking about a few cents difference in the price before and after the VAT change, whilst we would love to see a big uptake in share, we don’t expect to see big changes in terms of share. It’s more about signalling that we’re willing to work with the Government to tackle the problem of illicit trade and we’re prepared to play our part in the battle. The price issue needs to be addressed. We’re still by far the highest priced market in the EU and that is what fuels the illicit trade. One of the most effective ways to tackle the problem would be to remove the price differential, in terms of an excise cut.” The Government’s recently introduced Finance Bill dramatically increased the maximum fine that can be handed out a person caught smuggling cigarettes into the country, from €12,695 up to €126,970. While welcoming this decision, Granwal feels that “it’s a great start but it’s definitely not enough on its own”. “We need to see increased resources, particularly for the Gardaí and Customs,” he argues. “I think they do a great job with the resources
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March10The
Retail News Interview
they have – there was another seizure of 30m sticks of tobacco recently in Dundalk – but they need more resources to improve detection. We also need the judiciary to be prepared to utilise the new penalties they have available to them: we would love to see some fines and custodial sentences handed out, which reflect the serious nature of the crime.” One of the big problems in recent years has been the common misconception that tobacco smuggling is a victimless crime. “When you look at the amount of organisation and sophistication required to make local brands to order on the other side of the world and then ship them over to here, it’s clear that there is a level of resources required that is beyond the level of what people see in the street,” Granwal notes. “It is fuelling criminal elements. That has to be a concern, not just for the tobacco industry, but for society as a whole.” The fact that illegal cigarette and tobacco sales account for nearly 30% of the Irish market is extremely worrying. Recent months have seen the Government starting to make the right noises about dealing with the problem, and actively engage in dialogue with industry stakeholders. A recent cross-departmental working group, sponsored by the Department of Finance, saw all the stakeholders in one room to discuss the problem and what could be done to curb it. “This is exactly the sort of model that we have been pushing for,” Granwal notes. “In that room, we had the Department of Health, the anti-tobacco groups like ASH, the Department of Finance, Department of Justice, the Revenue Commissioners,
24
customs officers, the Gardaí and retailers, talking about some of the ways we can tackle the problem.”
In-Store Display Ban From a retailer’s point of view, the biggest change to the tobacco market in years was the in-store display ban, which the tobacco industry has consistently argued would not reduce the incidence of smoking in Ireland. “At PJ Carroll, we made it known to the Government that we felt the display ban wouldn’t work in terms of reducing smoking, would fuel the illicit trade and would damage retailers’ trade. Unfortunately, we’ve been proved right,” Granwal
“We’re still by far the highest priced market in the EU and that is what fuels the illicit trade. One of the most effective ways to tackle the problem would be to remove the price differential, in terms of an excise cut.”
notes. “In every country where they have introduced the display ban, the consequences have been adverse. In Canada, you have some states where the illicit trade makes up 50% of all tobacco sales. Here in Ireland, small retailers have been hit particularly hard.” He cites the latest Nielsen data, which reveals that tobacco volumes sold through TSNs in 2009 declined by 16% over the previous year, while independent grocers saw a 26% decline in tobacco sales. At the same time, there has been no decline in smoking incidence, despite the OTC reporting almost 100% compliance levels amongst retailers. “The issue is not whether or not legal retailers are in compliance, because retailers made a big effort and are in compliance. The issue, however, is the street traders and street markets where the regulations are being ignored. The retailer is being held accountable to a very high standard, with very strict and potentially punitive penalties, while the OTC choose to completely ignore the black market, where 30% of tobacco is being sold. The OTC is responsible for enforcement of the Public Health Tobacco Act, yet the illegal market breaks almost every requirement of the PHTA.”
Declining Market According to Granwal, Ireland’s legitimate tobacco market is in slow decline. “The amount that people smoke has come down over time, even though the number of people smoking has remained relatively stable. The smoking rate of 29% is basically the same level that we as a country were at before the smoking ban in 2004,
March10The
so the legislation hasn’t made a difference. The display ban has had an impact on industry volumes in that people aren’t buying from their local shop. Has it accelerated since the display ban came in halfway through 2009? Yes, I think you can see that, especially in smaller newsagents and independent groceries, which have been hit particularly hard. Consumers are turning to alternative, cheaper sources for their tobacco needs.” So are similar display bans likely to be implemented across the EU? “It’s difficult to say,” he admits. “In the UK, the display ban regulations are working their way through the Houses of Parliament. We at BAT remain optimistic that Governments across the EU will take note of unintended although not unforeseen consequences of the introduction of a display ban, and it is up to us, working with other interested parties, to make sure that the downsides of display bans are highlighted, and the need for proportionate and fact-based regulations, rather than emotive regulations.”
Retailers Against Smuggling The development of Retailers Against Smuggling (RAS) was an important step in recent months, giving Ireland’s small retailers a media voice in terms of the amount of business being lost to illegal tobacco sales. “It’s great to see RAS having such an impact,” Granwal notes. “We would encourage every retailer to become part of RAS, to talk to their local Council, their local Gardaí and their local TDs. It’s one thing when you have a big multinational tobacco company talking about the impact on the country, but it’s different when a retailer comes in and explains that he’s having to let staff go and his livelihood is at stake.”
Sales to Minors Obviously, nobody in the tobacco industry condones the sale of tobacco products to minors and yet according to the latest OTC figures, 32% of under-18s were able to purchase cigarettes and tobacco products in retail outlets. What can retailers do to reduce this figure?
“First of all, I think we need to give retailers some credit because the number is coming down,” Granwal stresses. “Still, it is too high and nobody wants to see it remain at those levels. Put simply, it’s a case of ‘if in doubt, ask’. It is about staff education and training. We have worked, both as a company and as an industry, with retailers in the past and we’re happy to give guidance and training materials to any readers who would like them.” According to Granwal, one unfortunate consequence of the display ban was the removal of the majority of ‘No ID, No Sale’ materials from a number of retailers, as they were informed that any signage with the word ‘tobacco’ or ‘cigarettes’ allegedly contravened the legislation which required retailers to have just one A4-sized sign that referred to tobacco, which he refers to as “slightly short-sighted”. “If we could have a joint industry/ Department of Health/anti-tobacco pressure group awareness campaign, that would help, but the simple fact remains that it comes down to staff education. It is that simple.” One interesting case in December saw the OTC taking action against a Wexford-based retailer, with the result that the staff member who sold the tobacco products to a minor was fined and not the store owner, who was able to prove that they had provided adequate training to staff regarding the sale of tobacco products. “That’s a great example of how retailers can protect themselves, because if you’re looking at a potential three-month ban from selling tobacco, that could be catastrophic for most retailers.”
The Future So what of the future for tobacco sales in Ireland? While predicting the advent of pictorial warnings on-pack and the concentration of trade due to store closures, Granwal feels that the overriding issue is that of illegal tobacco sales. “Everything else seems to pale into insignificance in terms of challenges. If you can’t get a handle on the illicit market, you can be struggling away at the edges, trying to drive share growth, but if the market is slipping
Retail News Interview
“The smoking rate of 29% is basically the same level that we as a country were at before the smoking ban in 2004, so the legislation hasn’t made a difference.” though your fingers, it’s almost irrelevant. “We need action on the issue of illicit trade or we run the risk of handing even more of the business over to smugglers, with the catastrophic impact that would bring. In 2007, the illicit trade was estimated to make up about 17% of the Irish tobacco market, which was bad enough then, but now it is hitting 27% and going up. If we don’t get a grip on it as a country, it is bleak for all concerned.” He is keen to point out, however, that 29% of Irish adults continue to smoke, and that the tobacco industry has proved itself to be hugely resilient over the years. “As an industry, we have had to change an awful lot over the last year or two, but we’re still here,” he summarises. “Like all the other legislative-driven changes that have impacted on the market, we will have to adapt, changing our approach to how we service the market to reflect the new environment and the new challenges. We have to change the way we go about driving business performance, but we have had those sort of challenges before as an industry and we have been able to overcome them. If as a country, we can get a handle on illicit trade, the future will start to look a lot brighter for everyone, but if we lose control, it’s going to get very tough.” 25
March10Centra
Quality Awards
Centra Top for Hygiene A total of 326 Centra stores across the country have received a Centra Quality Award for 2010, which is independently audited by the Excellence Ireland Quality Association.
No
fewer than 326 Centra stores were rewarded with a Centra Quality Award for 2010. The Centra Quality Awards are independently audited by the Excellence Ireland Quality Association and this is the highest number of Awards given to any single organisation in the country. A further 39 Centra stores received the Supreme Hygiene Award, which rewards retailers that have performed to a consistently high level over a three-year period. Hygiene and quality are not just an additional extra in Centra stores across the country, but a way of work-
ing that is engrained in how the independent retailers that make up the Centra store network carry out their business.“Being awarded no fewer than 326 National Hygiene Awards highlights the fact that the Centra retailer is consistently achieving the highest retail standards in the country,” noted Donal Horgan, Managing Director, Centra, who maintained that the high number of awards demonstrates Centra’s commitment to rigorous quality measures, the highest of standards and excellence in customer care. “In the area of hygiene standards, the Irish food sector has an increasing
responsibility to its customers. This duty, which is of the utmost importance, is in addition to responsibility in areas of offering good value, service and product range.” Horgan explained that Centra is also conscious of wider stakeholder interests. “We do not just pay lip service when we talk about supporting Ireland Inc. and the communities in which we live and work,” he argued. “Our level of local purchasing far out-weighs any of our competitors, with 75% of all products purchased by Musgrave on behalf of its retail partners in Centra either produced or sourced in Ireland. Between us, we employ over 14,000 across our network, offering consumers great choice and value, no matter where they live.”
Raising the Bar
Donal Horgan, Centra Managing Director (left) and Irene Collins, Managing Director of Excellence Ireland Quality Association (far right) presenting store owners, Mary McGroarty and Terry Murphy, Murphy’s Centra, Rochestown Road, Cork, with the Excellence Ireland Hygiene Award.
Michael Morgan, Centra Sales Director (left) and Soraid McEntee, Excellence Ireland Quality Association (far right) presenting Aibhe and George Gaskin, Gaskin’s Centra, Glasnevin, with the Excellence Ireland Hygiene Award. 26
Michael Morgan, Centra Sales Director (left) and Soraid McEntee, Excellence Ireland Quality Association (far right) presenting store owners, Shaun and Kitt Boyce, Boyce’s Centra, Carrigart, Falcarragh and Dunfanaghy, with the Supreme Excellence Ireland Hygiene Award.
Donal Horgan, Centra Managing Director (left) and Irene Collins, Managing Director of Excellence Ireland Quality Association (far right) presenting store owners, Lynn and Jason O Sullivan, O Sullivan’s Centra, Castlelyons, with the Supreme Excellence Ireland Hygiene Award.
Irene Collins, Managing Director of Excellence Ireland Quality Association, explained how the Hygiene Mark indicates that a business competes with the highest standards of hygiene and food safety within their given industry. “The food retail market currently leads the field in terms of hygiene and quality compliance within the Irish food sector and Centra is certainly one of our leading lights within that sector,” she said. “What impresses me most about Centra, is the way they continue to raise the bar every year. “It is very important that such achievements are acknowledged and applauded and so become an incentive for others to strive to reach the same high standards. Centra has a welldeserved reputation for high standards with their approach to hygiene and quality, not just an add-on to what they do, but very much a part of their everyday routine.”
March10Fairtrade
Fair Outlook for Fairtrade Sales of Fairtrade products in Ireland continue to defy the recession, with 27% growth last year and more expected in 2010.
Retail
sales of Fairtrade products in Ireland grew by a massive 27% in 2009, reaching an all-time high of €118m, with further growth expected this year. “We expect Fairtrade sales to grow again in 2010,” says Peter Gaynor, Executive Director, Fairtrade Mark Ireland. “In the last few months, some of the best known brands in Ireland have announced they are switching over to Fairtrade.” Gaynor was speaking during the recent Fairtrade Fortnight 2010, which ran from February 22 to March 7, with the theme, ‘The Big Swap’. “The Big Swap is all about encouraging people to swap some of their usual purchases – tea, coffee, chocolate and bananas, for example – for a Fairtrade Certified product,” says Gaynor. “Thousands of Irish consumers have already made the big swap; regularly switching some of their spending to Fairtrade products and in doing so making a real difference to the lives of producers in developing countries.” In recent months, significant conversions to Fairtrade have been announced by Cadbury Ireland and Nestlé, while the most recent announcement saw Ben & Jerry Ice Cream predicting that it will complete the global conversion of its entire product range to Fairtrade ingredients by 2013. “The big manufacturers are realising that Fairtrade is also good for business,” claims Gaynor. “It’s also important to acknowledge that Fairtrade’s growth in this country is a testimony to the work of our volunteers – they believed in Fairtrade when it was perceived as a worthy but unrealistic niche business.” Three overseas producers toured the country during Fairtrade Fortnight 2010 to share their first
hand experience of the difference that Fairtrade’s support has made for their families and communities: Hella Alikuru from Kenya, Africa Region Coordinator for the International Union of Food & Agricultural Workers; Josephat Sylvand, coffee producer and the Assistant Export Manager of Kagera Co-operative Union Ltd in Tanzania; and Oscar González, Communications Director, Coomprocom Coffee Co-operative, Nicaragua.
The History Fairtrade Mark Ireland was established in 1992 to promote justice in trade between Irish consumers and producers and workers in developing countries. Fairtrade products are sourced directly from the producer, ensuring the producer receives a fair and stable price for their products. The first two tonnes of Fairtrade coffee beans were imported into Ireland in November 1996. This increased to over 655 tonnes in 2009. Meanwhile, an IMS consumer survey conducted in April 2009 found that
64% of respondents were aware of the Fairtrade Mark, compared to just 16% in 2002. Tesco, Dunnes Stores, Marks & Spencer, Lidl, Superquinn, Londis, SuperValu/Centra, and SPAR all stock Fairtrade Mark coffees and teas and have also extended their ranges to include new Fairtrade products such as wine, rice, chocolate, fruit, juices, snacks and clothing. Other high profile nationwide chains and companies, including Topaz and the Insomnia Coffee Company, continue to expand their commitment to Fairtrade products.
KitKat Goes Fairtrade KitKat, Nestlé Ireland’s leading confectionery brand and Ireland’s most loved chocolate biscuit, has recently been certified Fairtrade in Ireland and the UK. This follows the launch of Nestlé’s global Cocoa Plan which represents a €72m investment over the next 10 years in programmes to address the key economic, social and environmental issues facing cocoa farming communities. 27
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deal with the UK’s leading fair-trade organisation Traidcraft to distribute a further 70 Fairtrade products to retailers in Ireland. The deal is worth more than €500,000. “This is a very significant deal for the company and one which will no doubt increase business and employment levels in the coming 12 months,” noted Gerard Barry, Managing Director of KDC. “Retail sales of Fairtrade products have increased steadily since we began in 2004 and the core business remains buoyant in spite of the recessionary environment.” Barry predicted that the deal with Traidcraft “will strengthen the Fairtrade sector in Ireland and will give retailers and consumers alike a KitKat, Nestlé Ireland’s leading confectionery brand and Ireland’s most loved chocolate biscuit, has recently been certified Fairtrade in Ireland and the UK.
Focusing predominantly on the Ivory Coast (Côte d’Ivoire), the world’s largest cocoa producing country, the aim of The Cocoa Plan is to use Nestlé’s agricultural and scientific know-how to improve the quality and yield of cocoa plants, offer farmer training and education and improve the social conditions for farmers and their communities. Fairtrade certification of KitKat will facilitate long term direct commitments to cocoa co-operatives, including additional payments for the farmers to invest in community or business development projects of their own choice, such as improving healthcare and schools. Nestlé has been working in the Ivory Coast, one of the poorest countries in the world, for over 50 years. As a leader in cocoa and coffee plant science, Nestlé has pioneered techniques to producer higher quality seedlings and help farmers increase productivity, investing almost €39m in sustainability initiatives in the last 15 years and supplying over 17m coffee and cocoa plantlets to producer countries.
Kinsale Distribution Company Kinsale Distribution Company (KDC), one of Ireland’s leading distributors of Fairtrade products, has signed a 28
Bewley’s Extends Fairtrade Coffee BEWLEY’S recently announced a 65% increase in Fairtrade certified coffee purchases from the Soppexcca Farmers Co-operative of Jinotega in Nicaragua. The development ensures a further $1 million contract for Soppexcca, in addition to an existing $1.5 million three year deal announced by Bewley’s in 2008. The move forms part of Bewley’s long standing policy of direct partnership with coffee growers. Soppexcca particularly supports the involvement of women in society and the economy. With this new deal, Irish coffee lovers will now enjoy over 7m cups of fairtrade certified coffee sourced from Soppexcca in addition to Bewley’s other ethical supply arrangements in Nicaragua and Central America. During Fairtrade Fortnight, customers at Bewley’s Grafton Street Café were invited to sign their support for Fairtrade on ‘The Big Swap Wall’. For each signature received on the wall, Bewley’s donated €1 directly to the purchase of new coffee milling equipment by Soppexcca. Through its Fairtrade initiatives, Bewley’s supports sustainable and ethical procurement from coffee producing communities. Currently, 30% of all Bewley’s coffee is fairtrade certified. The company sources all produce ethically and is working to have all of its coffees independently certified to that effect. “Ireland and Bewley’s provide a shining example of what can be achieved when developed nations work to support long term, sustainable and ethical business relationships with primary producers in developing countries,” noted Nicaraguan Ambassador, Dr Ricardo Alvarado. Patrick Bewley of Bewley’s commented: “I was personally involved in bringing Fairtrade coffee to Ireland in 1996 together with Fairtrade Ireland. We take a very long term perspective on our commitments in this area. We will continue to be concerned with The Ambassador of Nicaragua, His Excellency the livelihoods and social wellDr Ricardo Alvarado greets barista Elvis being of all our coffee and tea Matiejunas at Bewley’s Grafton Street producers and for this reason, Café where Bewley’s announced a further we will also continue to cham$1,000,000 fairtrade certified contract with pion Fairtrade in our buying the Soppexcca Farmers Co-operative of practices.” Jinotega in Nicaragua.
March10Fairtrade
Gerard Barry, Managing Director of Kinsale Distribution Company, pictured with some of the new Fairtrade products from Traidcraft.
greater selection of products to choose from”. Products which are now available exclusively through KDC include Clipper beverages, Divine Chocolate, Dove Farm Foods, Buchanan Sweets, Percol Coffee, Natural Beverage Co, Zaytoun, and One Water.
Wish 4 Fair Trade Delicious new ranges of muffins, bars and sweets have been produced by a new company based in Kinsale, Co. Cork, dedicated to Fairtrade - Wish 4 Fair Trade. These include the first Fairtrade sharing box and muffins, which will be available in vending machines, offering consumers on the go a Fairtrade option. Founder of Wish 4 Fair Trade, Alan Clayton says the company’s USP is its delicious mix of high quality, hand crafted products with natural ingredients and a 100% commitment to Fairtrade.
Clayton, a successful businessman, decided to launch the company after a competition win took him to Malawi to visit Fairtrade certified sugar farmers. The Wish 4 Fair Trade muffins range includes: Toffee (with toffee fudge pieces); Blueberry (with real Blueberries); Chocolate (with real chocolate pieces); and Lemon (with real lemon). All the muffins have added sauce filling for a delicious moistness, and no artificial colours or flavours. The bars range includes: Honey & Fruit Flapjack; Traditional Oat Flapjack; Millionaire’s Shortbread; Chocolate Brownie; Fruity Nut Seed Bar and Rich Fruit Cake. All are hand-made using butter, and contain no artificial colours, flavours, E numbers or preservatives. Finally, their range of sweets includes: Calypso Fruit Mix; Crumbly Mint Balls; Blackcurrant & Liquorice; Vanilla Fudge; Toffee Assortment;
and the first Fairtrade sharing box – a 400g Fudge & Toffee Assortment. Wish 4 Fair Trade was created after Clayton won a trip to the Kasinthula Fairtrade sugar cane farmers co-operative in southern Malawi two years ago, as a result of his home town, Kinsale, winning the first ‘Best Fairtrade Town in Ireland’ award. Clayton has previously established the Fairtrade brand , ChocAid, and and launched several UK Fairtrade brands into Ireland. Wish 4 Fair Trade products are available in distinct and smart packaging via Aroma Beverage Systems (Bewley’s), Cork or from www.wish4fairtrade.com
Topaz Get the Balance Right TOPAZ only sells Fairtrade coffee. Indeed, Topaz stores sold 4,145,693 cups of Fairtrade coffee last year. The company believes it is all about getting the balance right between taste and value for Irish consumers and a fair price for farmers and producers in countries like Brazil and Nicaragua. To mark the ongoing success of its sales for Fairtrade Fortnight, Paul Candon, Marketing & Corporate Services Director at Topaz, was joined by Sammi Deakin from Sao Paulo in Brazil and Oscar González, who works for a Nicaraguan co-operative which has 178 members, all of whom are small scale organic coffee farmers. Candon pointed out that while awareness of Fairtrade coffee and products is heightened during Fairtrade Fortnight, the coffee is on sale in company owned sites all year round.
Millionaire’s Shortbread, one of the stunning new range of confectionery items from Wish 4 Fair Trade. 29
March10Baby
Food & Care
Junior Certs The baby food and care market has proved relatively recession-proof, as consumers want the best for their babies.
Baby
food is big business and despite economic difficulties, the market continues to develop throughout Western Europe, as time constraints for modern parents have seen home-made baby food dwindle and a corresponding swing towards commercially produced baby food. In global terms, the baby food market is expected to be worth US$37.6 billion by 2014, recording annual growth rates in the region of 5% up to 2014 – the European market is expected to reach US$10.8 billion over the same period, with annual growth rates of 4.4%. Bottled baby foods account for the bulk of this market, while baby cereals and frozen baby foods are growing sectors, as are the relatively small but growing baby soup and baby snacks markets. The market for baby drinks in Western Europe increased at a compound annual growth rate of 0.8% between 2003 and 2008. The infant formula category led the baby drinks market in Western Europe, accounting for a share of 91.6%. Ireland’s baby food market is worth over €80m. The biggest sectors in the market here include: infant milks, accounting for the bulk of category value; wet meals and jars; dry meals; juices; finger foods. The biggest baby food companies are focusing primarily on developing fortified baby food that is easily digestible at a competitive price. With evolving food technologies, they are increasingly introducing varieties of baby food products such as baby soup and frozen baby foods. The technology enables them to offer quality products to their customers with enhanced benefits like optimum nutrients content for babies. 30
Heinz Baby Food Heinz has been taking care of little appetites for generations with its comprehensive baby food range offering everything for baby, from Heinz Mum’s Own Recipe jars and trays to Rusks, baby cereals, juice, potted fruity custard desserts and the Heinz Cook at Home range. The highly successful Heinz Mum’s Own Recipe range is a unique concept, in that all the varieties in the range are based on recipe suggestions that Heinz have gathered from real mums. Heinz Mum’s Own Recipe, in its bright, eye-catching packaging, offers lots of delicious breakfast, savoury and dessert varieties across all age stages, so babies can enjoy their favourites, such as Cottage Pie, Spaghetti Bolognese and Sunday Chicken Dinner, for longer while still discovering new, exciting textures.
Heinz Cook at Home makes it easy for parents to cook for baby confidently at home with minimum effort.
Heinz Mum’s Own Recipe, in its bright, eye-catching packaging, offers lots of delicious breakfast, savoury and dessert varieties across all age stages.
Heinz understand that parents believe that home-cooked food is the best food for their baby so the Heinz Cook At Home range of premium pastas, sauces and gravies have been specially developed for babies and toddlers. Suitable from 7 months onwards, Heinz Cook at Home makes it easy for parents to cook for baby confidently at home with minimum effort. Heinz Fruity Custard Desserts are a delicious blend of creamy custard and fruit purees such as Fruit Medley, Apple & Mango and Banana. Suitable for all ages from 4-6+ months, each pack contains 4x100g desserts in convenient plastic pots, making them the ideal dessert or snack solution at home or on the move. Heinz Farley’s Rusks, available in packs of nine or eighteen, are rich in calcium, iron and vitamins and contain no added colours, flavourings or preservatives. Heinz Rusks are also available in Reduced Sugar and Gluten-Free varieties. The popular Heinz Farley’s cereals range is ideal for breakfast or dessert, and includes all the favourites, such as Sunrise Banana Cereal and Strawberry Yoghurt, which are available in 125g packets. The Heinz baby food range also offers a range of recently repack-
March10Baby
Heinz Farley’s Rusks, available in packs of nine or eighteen, are rich in calcium, iron and vitamins and contain no added colours, flavourings or preservatives.
aged baby juices with varieties such as Pear and Apple in handy 750ml packs.
Danone Baby Cow & Gate Little Gourmet range of meals are bursting with flavour,
Food & Care
babies from 12-36 months, helping taste and texture. These meals are to further toddlers’ taste discovery: the perfect way to provide variety, Beef Fasciole, Chicken Cacciatore and introduce new and exciting flavours, Creamy Cod Bake. vegetables and herbs into babies’ Also from Cow & Gate, Milupa diets. They are produced with up provides a wide range of nutritious to six different types of steamed cereals for growing babies, introducvegetables, and contain no artificial ing a variety of flavours and textures. ingredients. They also contain a Milupa cereals are based on the highhint of herbs to develop babies’ taste est quality ingredients and they probuds, while their packaging locks in vide essential nutrients such as iron, freshness in foil sealed bowls and calcium and vitamin C, which are they are steam cooked, which helps to vital for babies’ healthy growth and preserve vitamins and taste. development. There are four exciting recipes to choose, suitable for babies from 7 months: Sole a la Crème, Tuscan Style Chicken Tagliatelle, Tender Beef Stroganoff, and Beef with Steamed Vegetables and Penne. The Cow & Gate Little Gourmet range now includes three new tasty Cow & Gate Little Gourmet range of meals are bursting with flavour, taste and texture. recipes, suitable for
Oral-B Stages GONE are the days when the children’s toothbrush category took a ‘one size fits all’ approach to brushing, with kids’ brushes often just being smaller versions of adult products. The launch of Oral-B Stages revolutionised the way we look at children’s brushing by introducing a range designed to meet their special needs at different stages of their development. Oral-B Stages is a range designed for every stage of a child’s gum and tooth development. The primary target for Oral-B Stages is parents, whose child’s oral health is of the utmost importance. Oral-B Stages continue to be the best selling children’s toothbrushes in the dental profession and are designed to meet the needs of every child’s development. In order to keep kids interested in their oral hygiene and make tooth-brushing fun, Oral-B Stages ensure the brushes and paste are a desirable commodity in themselves, with regularly refreshed character licensing. It’s important for retailers to stock toothbrushes featuring new characters to tap into consumer trends outside of oral care and reap the profits.
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March10Baby
Food & Care
Milupa Wholegrain cereals are a nutritionally tailored cereal for babies from 8 months. Made from a combination of wholegrain cereals that are low in salt, parents simply add their baby’s usual milk for a tasty, nutritious breakfast. Milupa Wholegrain also comes in a bigger 250g box - ideal for bigger appetites. According to research from Cow & Gate, eight out of 10 toddlers aren’t getting enough iron. Iron is essential for growing toddlers. It is important for brain development, strong bones and teeth and healthy growth. Even with a balanced, varied diet, it can be tricky to reach the recommended 8mg of iron a day. That’s why Cow & Gate have launched The Big Irish Iron Count
Jacob Fruitfield Food Group
Cow & Gate have launched The Big Irish Iron Count to help parents check if their toddlers are meeting their daily requirements.
to help parents check if their toddlers are meeting their daily requirements. Parents can log onto www.thebigironcount.ie to check
For over 50 years, Irish parents have trusted Liga as a nutritious and energy rich addition to baby’s diet. This iconic range, which includes Liga Original, Junior, Snack Packs and Liga C, has a product suitable for every stage of infant development, from four months upwards, and has enjoyed strong YOY growth. Liga Original, fortified with vitamins and minerals, is a must-stock item in the baby category. It is free from artificial colours, flavours and preservatives, while having the added reassurance of reduced salt and sugar. Like all products in the Liga snack portfolio, it is also portion-packed for handy on-the-go eating. Liga Junior and Snack Packs are suitable for children aged 9 and 15 months old respectively and perfect for busy toddlers on-the-move. Each
The iconic Liga range includes Liga Original, Junior, Snack Packs and Liga C.
Milupa provides a wide range of nutritious cereals for growing babies, introducing a variety of flavours and textures. 32
their toddlers iron intake. Here, they will also find lots of ironrich recipes and food ideas to help improve their toddlers’ daily iron intake. According to Cow & Gate, cow’s milk is a really low source of iron and it would take up to 12 litres of cow’s milk to meet a toddler’s daily requirements, while just two 150ml beakers of Cow & Gate Growing Up Milk meets 50% of a toddler’s daily iron requirements.
Snack Pack contains fun-shaped biscuits, easy for little hands to hold, whilst Liga Junior is free from artificial colours and preservatives. Liga C, made with the natural juices of blackcurrants, rosehips and guava pears, is a rich source of Vitamin C. The Liga brand will be supported this year by a programme of highly targeted activity, including direct mail and in-store consumer promotions.
INTRODUCING
PREPARED MEALS Brought to you by:
Our range of fresh, tasty and convenient meals can help you dramatically increase your lunch-time and evening trade. s Full range of fully-cooked meal centres and side dishes from traditional Irish to ethnic favourites. s Ready-to-use from conveniently-sized containers. s Chilled – no thawing required. s Serve hot for immediate consumption or cold (to “heat & eat” at home or at work.) s Supplied with full Point of Sale Kit to inform & tempt your customers.
Visit www.kerryfresh.ie to find out more, or speak to your local area Business Developer
#!,, s WWW.KERRYFRESH.IE
March10Dairy
& Chill Cabinet
The Big Chill Your dairy wall and chill cabinet is an important part of your store, with the dairy sector in particular showing strong resilience in the face of recession.
2009
was a difficult year for the grocery sector – but within this, milk and dairy products succeeded in sustaining or even improving volume. Such was the message of Helen Brophy, Chief Executive of the National Dairy Council, speaking at the launch of the NDC Annual Review. Overall in 2009, total volume of milk sales was up by 1% on 2008, with corresponding sales value showing a decline of 4.9% (excluding independent and doorstep sales). The total volume of butter and spreads grew marginally. Sales of butter declined 2% but returned to a positive position by the end of the year – by contrast, the sales value of branded health spreads fell by 11%, reflecting increased promotional and reduced price activity. The cheese category grew marginally in volume over the year, but the value of the category fell by 5.2%. A trend towards home cooking is reflected in the sales of cream which, (excluding doorstep and independent sale figures) grew in volume by 4.9% in 2009, with a positive increase in sales of 1.2%. In volume terms, yogurt was the exception within the dairy category, recording a 3.4% decrease in 34
volume in the first half of 2009, which reduced to 0.4% by the end of the year. The cheese category was valued at €179.5 million at the end of 2009 and grew by 0.7% over the year in volume terms. Within the category, there was a move by consumers at two levels. Firstly, there was a decline in the value added sectors (eg. grated cheese, sliced cheese) with contrastingly, the everyday standard block cheese showing value growth. However, at the other end of the category, speciality cheese was the best performing sector within the category which demonstrates the consumer emphasis on value for money but at the same time the desire to treat themselves more at home and the increased emphasis on home dining. Yogurt was the exception within the dairy category in 2009, recording a 3.4% decrease in volume in the first half of the year which reduced to 0.4% by the end of 2009. Again, functional yogurts (eg. probiotic drinks) were hardest hit and were subject to heavy concentration on promotions throughout the year. “Price deflation was a feature of 2009. According to the CSO, the overall price fall for all food was 7.8%. By comparison, in this difficult climate, dairy held its value better than many other categories,” stressed Helen Brophy, who noted how “the dairy sector has worked hard and shown
its resilience, with the result that consumers continue to enjoy milk and dairy products, whilst being more discerning about what they choose.”
The Impact of Recession “The shock of recession caused many Irish consumers to radically change their shopping patterns at the start of 2009,” explained Brophy. “According to Nielsen, the Republic of Ireland’s decline in spend on fast-moving consumer goods (FMCG) during 2009 was one of the most severe recorded in Europe.” The consumer focus shifted to value – such as larger pack formats or extra filled promotional packs. Growth of private label (PL) overall was a trend in the food/grocery sector in 2009, with total private label share within multiples reaching 19% by the end of the year. In the dairy retail market, private label grew in volume in multiples from 24.9% to 27.5%. The double digit growth experienced by the multiples in Northern Ireland came at the expense of the 8% decline experienced by the supermarket chains in the Republic of Ireland. In the Republic of Ireland, the discounters (Aldi/Lidl) were the clear winners in the battle for market share in 2009, with their retail grocery market share growing from 9.6% to 11.8% by the end of 2009. The symbol or franchise groups and forecourts
March10Dairy
experienced a decline from 28.2% to 25% last year, whilst the multiples, who started the year at 62.2% share, fought hard to grow this to 63.3% by the end of 2009. “The ‘flight to value’ by the consumer did rebalance as the year progressed and we believe consumers have largely adjusted their shopping patterns at this stage. The small increase in consumer confidence in the second half of 2009 gives us a glimmer of optimism,” said Helen Brophy. “It is clear that the bottom line is not always price. Consumers here are actively looking to buy local and environmentally friendly products, with 25% willing to pay more for them and trends increasing as 2009 progressed.”
Pictured at the launch of the National Dairy Council 2009 Annual Review were NDC Vice Chairman Henry Corbally, Helen Brophy, Chief Executive of the NDC and Barry Jones, Managing Director of BMR (Business & Market Research).
Major Milestones Milk Facts • Ireland exports 85% of its milk production or approximately 4.5 billion litres, accounting for almost 12% of global trade. Hence, Ireland’s milk producers rely on the world market for demand and the price paid closely tracks world commodity prices. • 2009 saw a collapse in world dairy prices for a number of reasons which were exacerbated by global recession and intensified in Ireland by the collapse in the value of Sterling against the euro, which impacted particularly on cheese exports. The result was a significant reduction in the domestic milk price paid to producers and a year of turbulence for the Irish dairy sector. • While demand lifted in the latter half of 2009, expectations for 2010 remain cautious, with no real sign of any significant increase in price. While developing economies are forecasting GDP growth of 1.7% in 2010, which should boost demand levels, there remains much uncertainty in the market, particularly in respect of the disposal of the current EU stock levels of butter and skimmed milk powder (SMP).
& Chill Cabinet
In the context of domestic milk prices for farmers, which are intrinsically linked to the global market, it has been a turbulent year for our dairy sector. However, speaking at the NDC Annual Review briefing, NDC Chairman Dominic Cronin said that despite this, 2009 was a successful year for the National Dairy Council where targets were met and, in many cases, surpassed. “In 2009, the NDC again demonstrated its ability to be highly impactful in its various programmes which work with diverse audiences – ranging from consumers to health care professionals, to schoolchildren or dairy farmers,” said Dominic Cronin. Cronin highlighted the launch of the National Dairy Council trade mark – Farmed in the Republic of Ireland, which he claimed “brings much needed clarity to consumers in the Republic of Ireland about where their milk has been both farmed and processed”. An extensive NDC advertising campaign started in November 2009 to coincide with the roll-out of the trade mark on milk and cream packaging, with some 340 packs now carrying the mark, including both branded and private label produce farmed and processed in the Republic of Ireland. Personalities involved in the campaign included George Hook, Micheál Ó Muircheartaigh, Mary Kennedy and Paul O’Connell. Speaking at the NDC Annual Review briefing, Barry Jones, Managing Director of BMR (Business
& Market Research), described the NDC mark as more than an icon printed on milk or cream cartons: “The mark has an ideal which means something in the hearts of consumers.” Jones presented the results of consumer research into the NDC mark and its advertising campaign undertaken in January 2010, showing strong consumer awareness and a campaign which is more than meeting its objectives in a relatively short space of time: • 68% had seen the TV ad a few times or more, whilst 72% commented favourably about it. • 80% agree the ad informs people about the existence of the NDC mark. • 82% believe the advertising asks them to look out for the NDC mark when buying milk. • 79% believe the NDC advertising explains that the NDC mark means supporting our local dairy farmers and dairies in the Republic of Ireland. • 55% stated that milk with the NDC mark is now either the only milk they would consider, or the milk they would look out for first. In January 2010, 100% of the dairies participating in the NDC trade mark initiative, confirmed that their retail customers were fully aware of the NDC mark whilst 80% have had retail customers specifically ask for the mark or who have included the NDC mark in tender requirements. 35
March10Dairy
& Chill Cabinet
Dairy Facts • The dairy market at retail level (excluding independent and doorstep sales) was valued at €1.01 billion in 2009 with the total value of sales declining by 6.5% on 2008. It is interesting to compare this decrease to CSO figures, which show an overall price fall of 7.8% for all food at retail level in 2009. The fall in dairy prices is therefore below this average. • Consumption of milk and dairy products remained stable in 2009 and was not adversely affected by the difficult market environment. However, 2009 did record a marked increase in the consumer search for value within the dairy category, which translated into larger pack formats and extra-fill promotional packs, for example, in yogurt. • The discounters increased their market share within the dairy category from 7.1% to 9.3% over the year, largely at the expense of the convenience channels, which similar to overall grocery trends, resulted in a decline in their dairy category market share from 37.1% to 34.4% over 2009. It is important to note that historically, symbol groups and forecourts have held a larger market share for the dairy category in proportion to their overall grocery share of the market. • Growth in private label was a feature of the retail dairy market, with the multiples showing an increase in volume from 24.9% unit volume share to 27.5% in 2009. The same trend occurred within the convenience channels, where private label volume increased from 6.7% to 11.9% over the year.
Action & Progress In 2009, the NDC expanded use of its nutritional expertise with the establishment of a Scientific, Nutrition and Technical Committee, the development of a newsletter for some 4,700 health professionals, health advisory literature for members of the public, the provision of sciencebased evidence on the role of dairy, the continuation of the Dairy Den information programme for mothers and a number of Health and Wellbeing events held in different regions. The year has seen extensive programme activity, ranging from the launch of the NDC Quality Milk Awards, to the development and nurturing of strategic partnerships, for instance with counterparts in Great Britain or the Irish Osteoporosis Society. There was further development of marketing resources such as Segmentation Tools and a ‘National Dairy Week’ initiative. Meanwhile, a revitalised School Milk & Dairy Programme launched in April 2009 saw the introduction of a new ‘Fresh Milk Club’.
Positive Start to 2010 2010 has started on a positive note, with news in December that a new three year campaign to promote the 36
particular cheese and yogurt, in the battle against osteoporosis. In 2010, the NDC intends to continue to drive and stimulate the consumption of milk and dairy products in the Republic of Ireland. The year will also form the mid-way point of its strategic action plan, with a palpable sense of momentum gathering. “We certainly hope that 2010 will see a recovery of confidence, leading to a brighter outlook for the entire industry,” concluded Helen Brophy.
Chill Cabinet Of course, there’s more to a chill cabinet than the dairy wall, with everything from chilled ready meals to convenience foods, fresh snacks and dips and chilled desserts. Indeed, the chilled foods market has been expanding rapidly for the last six years, driven by a number of factors, including mounting demand for convenience foods and growing interest in health, which has helped to boost sales of functional products that claim a particular health benefit. The chilled prepared foods market is one of the most dynamic areas of the food market, with the result that the chill cabinet is one of the biggest areas in-store, packed with high-value, convenience products that tend to have a healthy image and, therefore, appeal to increasingly time-pressured and health-conscious consumers.
nutritional benefits and consumption of dairy was approved for EU co-funding. The NDC and its Chief Executive Helen Brophy, will be responsible for overall management of the project, ‘Milk in Action’. A prerequisite to the EU cofinancing was that the industry in the Republic of Ireland, through NDC members, will fund 30% of the campaign costs. 20% of funding is coming from the member state and 50% from the EU. The NDC ‘Milk in Action’ Rob Roy’s Lucky Dips campaign will receive, over three Rob Roy prawn dips, from Boyne years, €728,470 funding from the Valley Group, bring an alternative EU; €291,388 from the Department healthy and delicious snack to the of Agriculture, Fisheries & Food chilled convenience market. With (approximately €100,000 a year); an attractive pack providing great and, over three years, €437,082 raised by the industry through NDC members in the Republic of Ireland. The programme will complement existing NDC activities and is scheduled to commence in April 2010. It aims to increase consumption of milk and dairy products in specific target groups of 11-20 year olds through an association with sport; and young women particularly aged 20-35, with a focus on the nutritional benefits Rob Roy prawn dips, from Boyne Valley Group, bring an alternative healthy and delicious snack of milk and milk products, in to the chilled convenience market.
March10Dairy
& Chill Cabinet
Giovanni di Firenze EATING healthily at a reasonable price is still a consumer priority. The Giovanni Di Firenze olive range, from Boyne Valley Group, fits this market perfectly with a full range of flavours and stuffings, including: Feta, Garlic, Pesto and Italian Spices. Not only are Giovanni Di Firenze Olives loaded with healthy monosaturates but also have a new and reduced RRP of €3.79, for a limited time only. Giovanni Di Frienze has been bringing the best of authentic Mediterranean food to Ireland for the past decade, including pizza, balsamic vinegar, olive oil, fresh breads and ready meals. They are perhaps best known for their top-selling range of attractive spice grinders, which The Giovanni Di Firenze olive range, from add a touch of Italy to each and every meal. The range includes: 4 Seasons Boyne Valley Group, includes a full range of Pepper Corns, Black Pepper, Mediterranean Sea Salt, Garlic and Chilli. flavours and stuffings, including: Feta, Garlic, For more information on GDF products, please contact your Boyne Valley Pesto and Italian Spices. Rep or call 041-9870300. stand-out on shelf and a keen price for a 100g MAP pack, they tick all the boxes for the retail trade. Available with both garlic and chilli dips, Rob Roy prawn dips can be promoted as a lunchtime snack, a convenience appetiser or even as an accompaniment to a main meal. Rob Roy provide customers with only the freshest prawns and ensure that only the best quality fish make it to consumers’ tables. The range includes Tiger Prawns, Black Prawns, King Prawns, Crab Meat, Seafood Chowder, Indonesian Shrimp Chowder and Anchovy Fillets.
Mash Direct Mash Direct is a unique, awardwinning farming enterprise, producing innovative quick-serve mashed root vegetable, potato, cabbage and other quality vegetable products with the taste and texture of homemade food. All vegetables are
grown, steam cooked and packaged on the farm, using no artificial additives, preservatives or colourings. Their products offer consumers a healthy, nutritious and convenient meal solution. Mash Directs products are suitable for microwave or oven reheating. Mash Direct leads the market and now supplies 14 product lines throughout Ireland. Due to consumer demand, Mash Direct has introduced a range of individual portions (200g) incorporating all the familiar favourites. A recent addition to the Mash Direct range is Batoned Carrots with a Tangy Orange Sauce, which is available in a selection of stores throughout Ireland. Mash Direct’s products are available to both retail and food service and the company recently attended the IFEX Exhibition at the Kings Hall, Belfast. See www.mashdirect.com for more information.
Kerrigan’s Mushrooms
A recent addition to the Mash Direct range is Batoned Carrots with a Tangy Orange Sauce.
John and Karen Kerrigan, to start the consumer brand development process. “Our customers were telling us that while they wanted value, they still preferred local Irish products but they also wanted to offer their consumers added value and convenience,” explains Karen Kerrigan, Key Account Manager. “We’ve therefore developed our own brand, Kerrigan’s Mushrooms, and a range of oven ready stuffed mushrooms, alongside a more traditional range of pre-packed button and sliced mushrooms. We used the family name in this new brand to convey premium, Irish family and fresh values”. In addition to a range of different packaging formats, Goldshield have also recently launched their own website for the first time (www. kerrigansmushrooms.ie). “With the addition of the new brand, plus the continuing growing sales of our more traditional button and sliced mushrooms, we aim to expand the mushroom category, a market which is now worth over €50m,” notes John Kerrigan.
In response to a challenging market and an increase in home cooking, John & Karen Kerrigan of Goldshield Mushrooms have launched the first Irish mushroom brand onto the market. The mushroom market has recently faced the same challenges as all Irish food companies, particularly those in the commodity food segments, where the prime focus of competition is on price. This challenging environment was the driver behind the decision Kerrigan’s Mushrooms, offering added value and of father and daughter team, convenience to the Irish mushroom market.
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March10On
the Vine
Austrian Wine Fair Let’s get this over with here and now: the Austrian Wine scandal was in 1986, nearly 25 years ago and it still continues to be cited by people who don’t know much about the modern Austrian wine industry. The good news is that today, nearly a quarter of a century later, that industry is vibrant and alive and producing wines of outstanding quality at an extremely good price. The Austrians have also managed to buck the trend of the global recession by gaining market share in shrinking markets, a development partly brought about by their big harvest in 2008, which mean that lower priced products were sold in all price segments. Their wine laws are now the toughest and most strictly policed in the world and they have a new ‘denomination of origin’ (DAC) to make things simpler. There are now six DAC’s in Austria, including: Kamptal DAC; Kremstal DAC; Wachau/Traisental DAC; Leithaberg DAC (incorporating Neusiedlersee-Hugelland); Mittelburgenland DAC: Eisenberg DAC (Sudburgenland) and Weinviertel DAC. The Austrian wine growers and makers are best known for their Rieslings and for Gruner Veltliner, which is an indigenous grape, not terribly well know outside Austria but responsible for lovely full bodied wines with smacking grapefruit flavours. However, you will find a huge range of wine styles including sparkling wine, white wine styles, rose wines, as well as red wines made from grapes such as Zweigelt, Blaufrankisch and St Laurent, as well as classics like Pinot Noir and Cabernet. Austria is also well known for world class sweet wines which have natural residual sweetness and highly concentrated acidity. Many of these outstanding wines were on show at the recent Austrian Wine Fair which took place in Dublin. Organised by the Austrian Wine Marketing Board, in association with the Austrian Commercial Office in Dublin, 45 wineries took part in this show, which offered a very comprehensive tasting. Most of the wineries were seeking representation but there are 11 Irish companies who sell and distribute Austrian wines here. They include: Atlas Wines (Weingut K& K Kirnbauer), paul@atlaswines. ie; Febvre & Co. (Sepp Moser, Tement, & Weininger), www.febvre.ie; Henry J Archer & Sons (Johanneshof Reinish & Lenz Moser), www.pauldubsky.com; James Nicholson Wine Merchants (Hopler), www.jnwine.com; Karwig Wines (Wohlmuth), www.karwigwines.ie; Mitchell & Sons (Domaine Muller), www.mitchellandson.com; Quintessential Wines, (Laurenz V), seamus@quintessentialwines.ie’ Searsons Wine Merchants (Kracher), www. searsons.com; The Wicklow Wine Co. (Birgit Eichinger & Schloss Gobelsburg), www.wicklowwineco.ie; Wines Direct (Steininger), www.winesdirect.ie; and Wines Select, (Hirsch & Winzer Krems), www.wineselect.at. If you are interested in sourcing an Austrian wine, contact Dagmar McGuinness at the Austrian Commerical Office in Dublin. Tel: (01) 283 0488 Email: dagmar.mcguinness@austriantrade.org or visit www.austrianwine.com.
38
Gilbeys Portfolio Tasting THERE was a huge turnout for the Gilbeys Portfolio tasting which took place at the Guinness Storehouse. Over 300 key trade customers attended the comprehensive tasting of Gilbey’s products. A feature of the day was their blind tasting challenge and the launch by Adrian Cummins, CEO of the Restaurant Association of Ireland, of the Santa Rita Irish Restaurant Awards 2010. Gilbeys have a world class portfolio of “must stock” wines which include, among others, Barton & Guestier; Black Tower; Blossom Hill; Bodegas Faustino; Champagne Laurent-Perrier; Château Magnol; Château Phélan-Ségur; Château de Sours; Croser; Domaine Drouhin; Domaine Louis Latour; Fairview; F E Trimbach; Goats Do Roam; Hunter’s Estate; Knappstein; Maison Joseph Drouhin; Marqués de Murrieta; Nativa; Navarro Correas; Paul Jaboulet Aîné; Pedrotti; St Hallett; Santa Rita; Six Hats Fair Trade; Spring Creek; Terra Andina; Thomas Barton; Trevini Primo; World’s End and Yellow Tail. For more information about the range of wines available from Gilbeys, contact Julia Kennedy. Tel: 01 4292272. email: julia.kennedy@diageo.com.
Tutored Tasting of Italian Wines A “promotion through education” campaign try to create greater awareness of Italian wine is being organised by the Italian Trade Centre. The objective is to create greater knowledge for Italian wine and to highlight the regionality of Italy’s DOC and DOCG wines. The focus will also highlight commercial developments within the Italian wine industry. An Italian Wine Course, made up of five modules, has been devised by Helen Coburn to fulfil this objective. The tastings are free of charge and are open to trade customers from all sectors of the Irish wine industry, including wine retailers. The Italian Wine Course will take place in Dublin, Cork and Galway as follows: Dublin (Off Trade & Retailers): Monday, March 22 and 29, Italian Cultural Centre. Cork (Off Trade & Retailers): Monday, May 10, Clarion Hotel, Lapps Quay, Cork. Galway (Off Trade & Retailers): Monday, May 24, Westwood House Hotel, Galway. To sign up to this educational initiative contact Simon Keating of the Italian Trade Centre. Tel: (01) 2375490. email: s.keating@ice.it.
March10What’s
New
Ballygowan Bottles Go Pink
Silk Cut’s Brand New Look
BALLYGOWAN has officially unveiled a major new campaign to raise much-needed funds for breast cancer awareness on the island of Ireland. Supporting the Marie Keating Foundation and its campaign partner in Northern Ireland, Action Cancer, the first phase of the Ballygowan ‘Be Part of It’ campaign is the launch of its Ballygowan Pink Bottle. Ballygowan Pink contains the same still pure, Irish still water, which Ballygowan is known for, presented in stylish pink 500ml and 2 Litre bottles, with every bottle sold helping to raise money for cancer support projects, aimed at providing all women with the necessary information to minimise the risks associated with breast cancer and detect it at its earliest possible stage. The Ballygowan ‘Be Part of It’ campaign will also be supported by a marketing campaign featuring Ronan Keating.
SILK Cut has been modernised, with a new design which combines an innovative, textured feel with the same taste consumers expect from Ireland’s number one brand. As market leader, Silk Cut is committed to introducing unique, premium smoking experiences to Ireland. The new pack design, with its updated brand mark, dynamic colours and fully embossed surface, consolidates Silk Cut’s reputation for premium innovation and iconic style to ensure its continuing position at the forefront of the market: new pack, same taste. Look out for the new packs, in a distinctive new outer wrap, in your next order.
New Marlboro Gold Pack PHILIP Morris has just introduced a sleek new look for the world’s best-selling cigarette. The new pack for Marlboro Gold is part of the brand’s pan-European approach to branding and will be rolled out in Ireland from this month. This new look is supported with a trade programme including trade advertising and posters in major cash and carry outlets. In order to reassure the trade that the product is still the same but with a new look, a nationwide Mystery Shopper campaign will be carried out over the coming weeks. This campaign will give retailers the opportunity to win a €25 One4All voucher when they are visited by a mystery shopper. Alongside the new Marlboro Gold packaging, the Irish market will also see a brand new look for Marlboro Menthol, now called White Menthol.
Dove Enters Male Grooming Market UNILEVER Ireland’s much loved Dove brand is launching an assault on the Irish male grooming market with Dove Men+Care, targeted at the mature male market. Dermatologically tested, Dove Men+Care Body and Face Wash contains Micromoisture, a revolutionary technology developed by Dove skin care experts that is clinically proven to fight skin dryness better than regular men’s body wash. The Dove Men+Care launch will be supported throughout the year with heavyweight through the line marketing activity that includes TV, outdoor, print, online and PR investment. The
Dove Men+Care collection is available in a face and body wash, anti-perspirant deodorant and roll on. For more information, see www.dovemencare.ie.
Parisienne from Country Choice MADE with French flour, the new Harvest Grain Parisienne from Country Choice is the perfect addition to any French bread display, and provides a tasty alternative to the best-selling White Parisienne. Country Choice’s new 400g baguette - produced from a blend of brown flour and malted wheat grain - is HVO and GMO free, with no added sugar or fat. It should be baked from frozen: simply remove the required amount from the outer case and bake for 12 minutes in a pre-heated oven. Shelf life, once baked, is one day. To help launch the new Harvest Grain Parisienne in-store, a range of colourful POS, including shelf talkers and promotional posters, is available free of charge. See www.countrychoice.co.uk for more information. 39
March10Shelf
Life
Shelf Life NIALL McMullan, Head of Sales (NI), and Niall Phelan, Country Manager for Molson Coors, raise a glass as it is announced that the company is setting up its own direct sales and marketing operations in Northern Ireland, creating up to 14 new jobs. The multi-million pound investment for Molson Coors, whose portfolio includes popular beer brands Carling, Coors Light and Grolsch, comes just three months after the opening of a dedicated office in Dublin as the company, the fifth largest brewer in the world, expands its operations on the island of Ireland.
GALA’S first new store of 2010 opened in Ashbourne, Co. Meath, recently. Situated in the newly built, state-of-the-art M5O Oil Ltd forecourt, the 2,500 square feet store houses a sit-in deli bar and café, coffee dock and much more. Owned by Brian King, the store is an excellent example of the new Gala corporate identity being applied at its best and has created over 20 jobs in the local community.
THE winning recipes in the inaugural Flahavan’s National Porridge Making Challenge have been announced. Antoinette Sweeney from Dublin won the Perfect Porridge award for her healthy morning kickstart – High 5-Superfood Breakfast Delight. The award for Most Innovative Oat-based Dish went to Patricia Hennessy from Carlow for her wonderfully tempting Oat and Almond Crusted Lamb Croquettes. The overall winners of the two categories - Perfect Porridge and Most Innovative Oat-based Dish received €1,500 each for their culinary skills, while two runners-up received €500. The winning recipes can be viewed on www.flahavans.com. RETAILERS can take full advantage of the anticipated football frenzy this summer by stocking up on the brand new Football Decor Lighters from BIC. These colourful lighters feature images of goals, tackles and celebrations sure to attract football fans from across Ireland. As with all BIC lighters, the new collection fully complies with the new Child Resistant requirements and with ISO 9994 International Safety Standards for Lighter. THE UK’s Daily Telegraph created some controversy recently when it featured Black Garlic on its front cover. Far from a clove of regular garlic past its sell-by date, however, Black Garlic enjoys an original and sweet flavour, its health benefits outstrip regular garlic by 98%, and it leaves no after-smell once eaten.
ORIENTAL food specialist Blue Dragon has become the first Oriental food brand to pioneer the emerging consumer trend for Japanese cuisine by launching an authentic tasting range to the masses. The new Japanese portfolio consists of eight new innovative products, including three Noodle variants, three Yaki Sauce variants, a Katsu Curry Sauce jar, and a key component to the range - a Katsu Curry Meal Kit. “By demystifying what is perceived as a challenging cuisine, Blue Dragon’s aim is to attract new consumers into the ambient Oriental food category whilst still maintaining authenticity,” notes Tracy Hughes, Blue Dragon Consumer and Trade Marketing Controller.
IRELAND and Leinster player Shane Horgan is pictured with Louisa Moran from Knocklyon at a special evening hosted by Guinness as part of their Area 22 rugby campaign to celebrate Ireland’s RBS Six Nations encounter with England. CONGRATULATIONS to Gerard and Margaret Kirwan of Goatsbridge Trout Farm, based in Thomastown, Co. Kilkenny, finalists in the JFC Innovation Awards for Rural business. The Kirwans have been instrumental in promoting the return of Irish trout to our kitchen and restaurant tables and have recently launched a hot smoked boneless trout Irish trout fillet, the very first of its kind.
PICTURED at the launch of the programme for the 2010 Carlsberg Cat Laughs Comedy Festival are Karen Murphy, Carlsberg Senior Brand Manager, with comedians Neil Delamere and Karl Spain (right). With a fresh new line-up that boasts the very best of local comedy heroes and handpicked international stars from the UK, USA, Canada and Australia, the Carlsberg Cat Laughs Comedy Festival will run for five days over the June Bank Holiday Weekend (June 3-7), showcasing over 47 artists in 70 shows across 16 venues. 40
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