SupermarketNews // December/January 2015

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9.95

Dec/Jan 2016 • Vol. 9 No. 1

To all our readers, advertisers and suppliers, a Merry Christmas and a happy and profitable New Year. For all of us the prospects are bright for a resounding and profitable 2016.

COUNTDOWN’S INCREASED DATA INSIGHTS Progressive is increasingly using data to assist suppliers drive sales and it has now announced a new milestone with Onecard shopper and basket data being available to enhance existing scan data. “This level of insight has not been available before even though it has proved its value in other international markets.

It offers a competitive advantage to those who have access to this type of data,” said Chris Fisher, general manager merchandise. The data is now available on a daily, weekly or monthly basis. n

DAIRY GIANTS TEAMING UP

RED SEAL SOLD TO EBOS FOR $80 MILLION Leading healthcare company Ebos has acquired another New Zealand owned and operated brand, Red Seal, for $80 million, with the sale expected to complete on November 30. According to the sale and purchase agreement, the Red Seal business will be purchased by Endeavour Consumer Health Limited, a fully-owned subsidiary of Ebos Group.

Founded in 1923, Red Seal specialises in natural health products and is bestknown for its supplements, herbal teas and toothpastes, as well as soaps, molasses and manuka honey. Over the years, the brand has built a strong reputation in New Zealand, Australia and overseas, targeting key Asian export markets.

Looking at keeping the business in New

Following a strategic agreement signed amongst Danone, Arla and Chinese producer Yashili International, the three companies will team up to supply products into Arla and Danone’s markets. Yashili’s $220 million new formula plant, opened in Pokeno, New Zealand, is set to play a key role in the strategy. n

SIAL MIDDLE EAST NOW Exhibitors at SIAL Middle East, taking place from 7 to 9 December in Abu Dhabi, will get the chance to showcase their business in a tradeonly event and make their mark in the region. Amongst the participants, CEO, VP and F&B directors, such as Monique Marez (Organic Trade Association), Michelin-starred chef Greg Malouf and Culinary Director Stephan Buchholzer. For further details, visit www.sialme.com. n

committed to continuing to support and promote the Red Seal brand. “We are retaining all Red Seal staff as part of this acquisition. Our plan is to further grow the business, so our people are obviously a critical component of that growth,” he said. Along with Ebos CEO Patrick Davies, Vidler will be part of the new management team, whilst Red Seal’s current senior management team is willing to help with a smooth transition of ownership. n

COUNTDOWN’S ANNUAL TROLLEY REPORT

This year’s top selling grocery item, according to the second annual Countdown Trolley report, was $1 Homebrand bread, which overtook bananas as the most popular item. The top five selling products included Homebrand Standard 2-litre milk, broccoli and avocados.

Based on the consumer behaviour of the 2.7 million Kiwis who weekly shop at Countdown, the report showed a huge growth in the health food category, now worth $400 million and increasing by 20 percent year on year.

Online shopping orders are also increasing, and seem to be spiking when it rains or, oddly enough, when students go back to university and parents order food for them from afar. On the whole, price remains the biggest driver of consumer purchasing habits. n

CHANGES TO DRINKS AWARDS The New Zealand Beverage Council has set up a committee to look into the future structure of its annual awards programme. It is looking to broaden the approach to include suppliers as well as products and put more focus on innovation. n

Zealand, Red Seal found an ideal buyer in Ebos, a major player in the healthcare arena, with more than 2,400 employees in 42 locations across Australasia. For its part, Ebos saw a potential for growth, with an increased presence in the grocery and pharmacy sectors.

“We think the acquisition puts us in a very strong position thanks to Red Seal’s profile in New Zealand and Australia, and there are opportunities for expansion in China and the wider Asian markets,” Andrew Vidler, general manager retail services, Ebos Group, told Supermarket News. “We think the combined strengths of Ebos and Red Seal will take our ability to capitalise to the next level.”

According to Vidler, Ebos is naturally

FOODSTUFFS’ EXCELLENCE AWARDS Foodstuffs North Island Excellence Awards 2015 once again recognised and celebrated staff achievements through a range of prizes, with the awards for the company’s top butchery and bakery apprentices being hotly contested. Award recipients also won the opportunity to complete additional training programmes.

“As one of New Zealand’s largest organisations employing more than 22,000 people across the North Island, Foodstuffs is proud to provide the opportunity for its people to earn trade and management qualifications, and develop their skills so they can build rewarding careers,” said Mark Daldorf, HR general manager, Foodstuffs North Island. At the same time, Daldorf added, investing in staff training and development can maximise the stores’ performance.

Amongst the winners, NW Warkworth’s Ainsley Cole took out Baker of the Year, whilst NW Marton’s Vernon Atutahi and PAK’nSAVE Ormiston’s Kelly Wilde were crowned, respectively, Butchery Apprentice and Bakery Apprentice of the Year. n

FAVOURITE ICE CREAMS REVEALED OOB Organic, Rush Munro’s and Tip Top are New Zealand’s favourite ice cream makers, as reported by a Canstar Blue survey of about 1,800 consumers.

Whilst taste remains the biggest driver of customer satisfaction, packaging appeal seems to be more relevant than value for money. About 50 percent of Kiwis admitted to check the list of ingredients before purchasing, and 33 percent prefer to buy low-fat ice creams.

“Interestingly, older Kiwis are more inclined to buy low-fat products. It seems young people are more likely to get lost in the moment and to put any thoughts of diets to one side to enjoy a treat,” said Jose George, general manager at Canstar Blue. n

editorialcomment Keeping It Simple …

Peter Mitchell Publisher

It was interesting that FGC president Pierre van Heerden chose disruption as his theme for opening last month’s industry conference. His theme was really about avoiding the race to the bottom, an important issue facing the supplier industry that is bowing to the retailer battle for the lowest prices for our consumers.

Certainly the industry is being disrupted by this continuing demand

for lower prices and lack of supplier margin, not that it is anything new. But there comes a point where realistically the answer has to be “no more”. The concern of that is the inevitable switch to lower quality private label and replacement items that could be directly imported from Bulgaria, Bolivia or Bangladesh – wherever.

The centre store is becoming the brand battlefield where many no longer want to play. While we are skirting around the edge and putting our hearts into the likes of wellness, health stars, lower sugars, obesity awareness and other issues raised by the attention grabbing food fairies, it has not mattered a damn to our retail customers who are

March 13-15, 2016

May 5-7, 2016

PRO WEIN Dusseldorf, Germany

SIAL China, Shanghai

June 15-17, 2016

March 17, 2016

Jan 31-Feb 3, 2016 ISM, Pro-Sweets, Cologne

NZACS, Golf Day, Auckland

February 19, 2016

April 12-15, 2016

SIAL Asean, Manila, Philippines

November 10, 2016

Convenience Industry Leaders’ Summit, Auckland

FHA 2016, Singapore

Countdown, Golf Day, Titirangi

squeezing from the other end.

The real question is whether our consumers give a damn about all the work the industry is putting in because their loyalty evaporates with the onshelf pricing and retail will continue to buy that loyalty by racing prices to the absolute bottom. This was once a simple industry where good pricing and fair margins prevailed. The suppliers are being gobbled up internationally and locally by conglomerates that, like the retailers, can only win by volume. The only safe ones right now are the small artisan suppliers who are getting margin on small volume and are different. On the whole, this is not a joyous Christmas for many suppliers.

The NEW ZEALAND BEVERAGE COUNCIL is an industry association whose members cover all aspects of the non-alcoholic beverage market both in New Zealand and the export markets.

The Council members are spread throughout New Zealand and come together annually for an industry conference that covers industry issues and is addressed by international speakers. The organisation monitors product quality and sets standards for the industry and runs national competitions and awards.

THE NEW ZEALAND BEVERAGE COUNCIL (NZBC) P.O. Box 47, AUCKLAND 1140, New Zealand.

Email: info@nzbc.nz Phone: +64 9 309 6100 DDI: +64 9 302 9932

contents

04 Supermarkets Declare War 08 Liquor & Beverage News 10 StoreCheck 12 What’s New 14 Columns

7 9 11 12 SupermarketNews is published under license. Please direct all enquiries and correspondence to SupermarketNews. The opinions and material published in this edition of SupermarketNews are not necessarily those of the publishers unless specifically stated. All material in this publication is copyright and may only be reproduced with the consent of the publisher. Copyright 2015

PUBLISHER Peter Mitchell, peter@reviewmags.com MANAGING DIRECTOR Tania Walters, tania@reviewmags.com

EDITORIAL TEAM Thomas Fowler, tommie@reviewmags.com Monique McKenzie, monique@reviewmags.com Rossella Quaranta, rossella@reviewmags.com

EDITORIAL DIRECTOR Sarah Mitchell, sarah@reviewmags.com

ADVERTISING SALES Felicity-Anne Flack, felicity@reviewmags.com

SENIOR DESIGNER Raymund Sarmiento, raymund@reviewmags.com CIRCULATION & DISTRIBUTION Kieran Mitchell, kieran@reviewmags.com

ATTENTION GROCERY SUPPLIERS The Food and Grocery Council is an industry association for grocery suppliers providing members networking, events, industry information and strong advocacy.

Contact us for information on the benefits of membership: Katherine.rich@fgc.org.nz • Networking • Industry Updates • Conference and Events • Education and Training • Advocacy and Law Reform

ISSN NO. 1173-3365

Suite 9, Level 3, 20 Augustus Tce, Parnell, Auckland, PO Box 37140 Parnell, Auckland. Tel (09) 3040142 Fax (09) 3772794

www.fgc.org.nz

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s lu p s ’ Q B B r e m m u S

! t c e f r e p t s u j . . . s b a b e K Ingham 5 PACK

or

4 Modern Flavours Yakitori Pepper, Hot & Spicy, Hoisin Ginger and Tandoori

10 PACK 2 Popular Flavours Satay, Honey Soy

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range‘em... your customers will Love‘em.

For more information about the Ingham Kebabs range call Ingham’s sales department on 0508 800 785.

K LYING IWIS P R O U DLY SUPP

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SUPERMARKETS DECLARE WAR ON PLASTIC

SUCCESSFUL FGC CONFERENCE IN SYDNEY Held in Sydney last November, the FGC Conference 2015 was a great success, hosting specialist workshops and a top line-up of speakers, including The Warehouse CEO Mark Powell, Air NZ CEO Christopher Luxon and Foodstuffs South Island CEO Steve Anderson. Check our photo album at facebook.com/NZsupermarketnews and don’t forget to tag yourself. n

The Packaging Forum, New World, PAK’nSAVE, Countdown and The Warehouse, along with a number of food and grocery brands, have joined up for the Soft Plastics Recycling Programme. Launched at New World Mt Roskill, Auckland, in presence of Minister of Environment Nick Smith, the campaign has received $700,000 from Government. About 70 stores in Auckland have introduced new recycling bins in-store, and over the next three years others will follow throughout the country.

The recycling drive involves a whole range of plastic bags and packaging, including bread bags, frozen food bags, toilet paper packaging and courier envelopes, just to name a few.

“We take basically anything made of plastic which can be scrunched into a ball. We are asking people to collect their packaging at home and drop it into the Love NZ Soft Plastics Recycling bins at their local participating stores, so we can recycle it,” said Lyn Mayes, Project Manager Love NZ. After being processed, the packaging will be sent to Australian manufacturer Replas and made into new items. n

FRESH CHOICE IN AUCKLAND BY 2017

GROWTH FOR HANSELLS

With a passion for producing innovative and quality food products, Hansells have recently launched a shelfstable beverage under the Vitafresh brand following a category decline for powdered drinks since 2009. The Vitafresh brand has been around since the 70s and the brave move into the ambient drinks category has been greatly received with support through Foodstuffs. It took just seven months from inception to shelf and puts margin back in for the retailer. Angled at kids, the product is 98 percent sugar free and is available in apple blackcurrant, orange and mango and tropical flavours with 20 percent fruit content. The newly launched product utilises monk fruit juice to meet the growing local demand for low sugar drinks.

“The monk fruit juice has many advantages over existing low-calorie sweeteners and was ideal to support our first move into the competitive category,” said Jane Bennett, Hansells marketing manager.

Another initiative the company has been involved with this year has been the launch of The Coconut Collaborative’s dairy, soya and gluten free yoghurts.

The everyday option for consumers with dietary requirements is a coconut milk based yoghurt that doesn’t compromise on taste, available in natural, raspberry compote and alphonso mango and passionfruit compote flavours. The Coconut Collaborative has been brought to New Zealand and the yoghurt is produced locally in Christchurch.

Hansells also have taken on UK chip brand Tyrells.

The company has grown steadily from a cottage industry with three staff to a significant food marketing operation with subsidiaries in Australia, Canada and the UK. Majority of its products are manufactured across three New Zealand sites with on-site distribution, selling and merchandising systems that ensure products get to destinations on time and as ordered. n

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NEW BRAND MANAGER FOR STORELINK

Storelink has announced the appointment of Philippa Griffith as Brand/Client Business Manager, who will join the team in early January.

In her new role, Griffith will manage both Client Partner Brands and Key Account relationships, converting strategic plans into operational activities. “In our ever evolving retail environment, we’re committed to providing our partners with integrated sales and marketing solutions. This all starts with collaborative business planning, effective Key Account Management, sharing of category insights and analytics and utilising our experienced Territory Managers to secure coverage in the field,” the company said in a statement. n

SEE-THROUGH KLEAR CAN

Eye-catching and cost competitive, the new multi-layer Klear Can developed by Milacron is the latest innovation in food canning technology.

Made of clear plastic, this see-through packaging solution allows brand owners to show the quality of their products, whilst also being visually appealing to consumers. n 100%

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A new grocery player is arriving in town. Wholesale Distributors (WDL), a division of Progressive Enterprises Ltd, has announced that a FreshChoice supermarket will be built in Auckland by mid2017, as part of Alexandra Park’s urban village redevelopment. WDL currently accounts for 60 FreshChoice supermarkets throughout New Zealand, all locally owned and operated.

“FreshChoice is focused on catering for locals’ specific needs, sourcing quality local and international products and employing local staff. It’s going to be very much a fusion of delicatessen, café, and a fresh food market, particularly exciting for our future apartment residents,” said Dominique Dowding, Alexandra Park chief executive. With more than 5,500 sqm of ground-floor space being available, other lease announcements should follow soon, turning Alexandra Park into a high-end destination. n

SWEETS AND SNACKS BECOME YUMMEX

Just in time for its 10th anniversary, the 2016 Sweets & Snacks Middle East has been renamed ‘yummex Middle East’, with ‘yummex’ being a made-up word originating from ‘yummy’ and ‘exhibition’. The 2015 show featured almost 8,000 visitors, up 13 percent from 2014, and over 300 confectionery and snack manufacturers, about 25 percent more than the previous year. n

PRE-CHOPPED VEGGIES

Pre-chopped vegetables are definitely making waves. A dedicated section recently appeared in New World Te Rapa and New World Brookfield, featuring a pick-and-mix selection for salads, stir-frys and soups, with bins being provided by Prolife Foods. The addition has been introduced a while ago, but it was not until food blogger Ari Eats and Women’s Weekly reported it that the news spread nationwide. “It has been warmly received by customers and is particularly popular during the summer months for BBQ and salads,” Antoinette Laird, Corporate PR Director, Foodstuffs NZ, told Supermarket News. n

New Zealand’s oldest ice cream maker Rush Munro has signed a sales partnership with Storelink.

From December onwards, Storelink Sales will represent the award-winning brand in grocery. Renowned for its 100 percent natural product, Rush Munro only uses local ingredients and real fruit, without colouring or preservative, to create iconic flavours such as Passionfruit, Maple & Walnut and Vanilla Bean.

Last year, the brand also took out the Supreme Award for Boutique Manufacturer at the 2014 NZ Ice cream awards. n

KingSt13321_SUP_A

STORELINK TO SELL RUSH MUNRO

THE latest

secret from

tatua is out Chef de Can

NEW

Strawberry mousse

LASCO SALAMI IS BACK LASCo Salami is back on the shelves. After listening to customer feedback, the new ownership has decided to relaunch the brand with some changes, introducing a number of new smallgoods products to the assortment, including a pure

NZ Venison range.

Using only qualitative local ingredients, the LASCo’s products are Halal-accredited, high in protein and low in fat, as well as free of gluten, soy, dairy, pork and sulphites. n

300 FIRSTTIMERS AT FHA 2016

ANZAC CHOCOLATES RAISED OVER $12,000 More than $12,000 have been raised for the RSA thanks to special commemorative chocolates sold around this year’s centennial ANZAC Day. The chocolates were available in New World, PAK’nSAVE and most Four Square stores. Almost 25,000 boxes were sold nationwide for $6.99 each, 50 cents of which went to the Royal New Zealand Returned and Services’ Association (RNZRSA).

The commemorative chocolates, manufactured in Belgium by Vandenbulcke, were commissioned by Auckland-based food importing business William Aitken & Co, whose namesake founder served in WWI. n

Both established brands and first-time exhibitors will be under the spotlight in a few months at the comprehensive food and hospitality trade show, Food&Hotel Asia 2016. Held from 12 to 15 April in Singapore, FHA 2016 will gather together over 3,000 exhibitors from 70 countries and around 300 firsttimers, including a host of new international group pavilion entrants, namely Algeria, Hungary, Poland and the Netherlands.

“This is a firm reflection of the importance the industry places in the event, and solidifies its position as the event of choice for food and hospitality players, mega and small, from across the region and beyond,” said organiser Ms Ting Siew Mui, Project Director of Lifestyle Events, Singapore Exhibition Services. n

Brought to you by

Available February 2016 from the chilled section of your local supermarket.

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PAK’NSAVE ORMISTON NOW OPEN

(Left: The Hannan family) A new 6,160 sqm PAK’nSAVE supermarket just opened its doors in Ormiston. The store is owned and operated by the Hannan family: (left to right) Emma, Deanne, Harry, Jacob and David. n

NW HOWICK 1st BIRTHDAY

NZ SPECIALISES IN FOOD SAFETY

Named number one supermarket across the country of three months in a row, New World Howick celebrates its first birthday. As a result for owner-operator Brendon Jones’ innovative approach, more than 3,200 individual pieces of feedback were collected through Customer Radar, a live customer technology designed by former Howick resident Mat Wylie, revealing an impressive customer satisfaction score of 98.6 percent. “It’s a win-win for them, knowing their local supermarket is listening, and it’s a win for us, because we give customers what they want and hopefully they will keep returning,” said Jones. During its first year of operations, the store has introduced a plastic bag recycling unit, new food line in the butchery and dedicated organic fruit and vegetable sections.

Originally from Florianopolis, Brazil, NW Howick’s Deli manager Anderson Linhares joined the team after gaining experience as chef, deli manager and store manager. “I’ve always enjoyed working with food, but I also realised how much I enjoy the customer contact. Today, being a part of New World Howick Service Deli is great, because I can do what I love doing, serve people and make their life better,” said Linhares. n

Food safety assurance provider AsureQuality, fully owned by the New Zealand government, is the first Conformity Assessment Body in the world to be both accredited to the new FSSC22000-Q scheme, and to issue accredited FSSC22000-Q certification to a customer. Fonterra’s Te Awamutu was, in fact, the first dairy site in the world to gain this certification. “We are delighted to be able to offer this integrated service to our customers, and it is especially great that the world first has happened in New Zealand,” said John McKay, CEO, AsureQuality. FSSC22000-Q gives organisations the option to have their Food Safety and Quality Management Systems certified under one certification, whereas previously food safety and food quality were audited and assessed separately.

“The incorporation of ISO 9001 with its strong customer focus provides a robust framework for a fully integrated Food Safety and Quality Management System.

This also provides for the management of overseas market access and customer requirements, and helps organisations to ensure that they are able to deliver consistent quality and safe food,” said McKeown, Technical Manager for management systems at AsureQuality, according to whom FSSC certifications are quickly becoming the global benchmark for food safety. With other sites awaiting certification, Fonterra’s commitment to quality has never been so clear. n

INNOVATIVE SALES EXPANDS MANAGEMENT TEAM With the introduction of Richard Skinner, joining Grant Pemberton and Nick Hegh, ISM (Innovative Sales and Marketing Ltd) have expanded their senior Management team.

“With the continued growth of ISM, Richard’s proven relationships and management skills will further enhance the services we currently provide to our brand owners and retail trading partners,” said managing director Grant Pemberton.

For more information, call 021 890272. n (Pictured right to left) Richard Skinner, Grant Pemberton and Nick Hegh

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REGISTRATION OPEN FOR SIAL CANADA

Registration for exhibitors is now open for SIAL Canada, scheduled from 13 to 15 April 2016 in Montreal. More than 15,000 visitors and 850 exhibitors from 60 different countries will attend the international food and beverage trade show. The event promises to be not only essential to the Canadian agrifood industry, but also a privileged entryway to the US and international markets.

A selection of experts from various backgrounds will be on-site to discuss major topics, trends, innovations and issues affecting the sector. For more information, visit www.sialcanada.com. n

COTTONSOFT ACTIVATES SOFT PLASTICS RECYCLING

Cottonsoft Ltd is working alongside The Packaging Forum, government, retailers, suppliers and even competitor Kimberly-Clark to support the Soft Plastics Recycling scheme. As market leader in Toilet Tissue, the Cottonsoft sales and merchandising teams have been hand stickering the packaging of CottonSofts, KiwiSoft, and Paseo brands, plus Tuffy Towel packs, in many of these stores, to help raise awareness of this programme.

ADVANCED TRANSACTION SYSTEMS ACQUIRED

Advanced Transaction Systems NZ has been acquired

by Glory Global Solutions, being now part of its customer improvement strategy in the New Zealand and Asia-Pacific region. The move, according to ATS directors Barry Dow and Greg Jones, will benefit both entities. Both are, in fact, major suppliers of banking and retail cash handling equipment, shar ing a common commitment to providing top-class hardware, software and service solutions.

Following the acquisition, which took effect on November 2nd, the existing ATS executive management remained unchanged, but the company now operates under the name of ‘Glory Global Solutions (New Zealand) Limited’, as a fully-owned subsidiary of Glory Global Solutions. Headquartered in the UK, Glory Global Solutions is, in its turn, a wholly-owned subsidiary of Japan-based GLORY Ltd, which provides a variety of products to the financial, retail and gaming industries in over 100 countries worldwide, employing approximately 9,000 people. n

KUMARA CHIPS ARE SELLING FAST

With new flavours in development and a new distribution centre, Nutritious Foods’ two brands Kenny’s and Sunny Hill are increasing their presence on the shelves. According to CEO and founder Kenneth Wang, the company has been growing so quickly that, although they moved to new premises just a few months ago, they may need to find a bigger one soon.

Nutritious Foods launched into the NZ market almost four years ago, and instantly went sold-out.

Today the company supplies around 10 tons a month of healthy Kumara chips across the country, selling them in supermarkets and even schools and colleges.

“We currently have three flavours and two sizes, 120 g and 40 g, but we are launching another flavour, Sour Cream and Chives, which is already on the way.

What is even more important, though, is that we are about to release our new multi-packs, offering our customers a wider selection of packaging options,” said Wang. n

CARTOCAN’S ECO-FRIENDLY PACKAGING

Presented by Ennstal Milch at Anuga FoodTec 2015, Cartocan is an innovative and eco-friendly packaging solution that also provides long-shelf life. All wood fibres used in the production process come from sustainable farmed forests. Thanks to the use of 50 percent renewable raw materials, the process itself requires less energy and releases fewer greenhouse emissions than those involved in the production of primary aluminium.

A consumer survey has also found that, compared to other existing alternatives, Cartocan proved to be easier to dispose of. Appealing to young health-conscious people, it has been

associated with different kinds of drinks, especially iced coffee, chocolate and tea, as well as energy drinks and juice.

Ideal for exclusive value-added products, the innovation comes in several packaging options depending on format (150 or 250 ml) and delivery units. Ennstal Milch’s team offers consultancy services through the whole development process. n

TUFFY BBQ WORLD SERIES In October, the Tuffy Holden ‘4x4BBQ’ rolled out its Mega Masport BBQ in a range of locations. From the 6th Tee at Hastings Golf Club, to the carpark at ASB showgrounds, sausages, steak, bacon, roast beef and hot cakes have been all served from the Davie Holden built 4x4BBQ. Essentially it’s a mobile BBQ & billboard, demonstrating the many virtues of Tuffy Towels. Made in both the Dunedin and Auckland Cottonsoft factories, Tuffy is a true favourite of trade customers, retail consumers and Cottonsoft staff alike. The Tuffy BBQ World Series kicks off this summer with a range of trade, community and media activations around NZ, that will culminate in two lucky winners visiting the US BBQ champs in Kansas. See Tuffy Time on Facebook to learn more and share your BBQ hacks. n

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ALCOHOL BANS HIT STORES BEWARE OF THE BARKING SPIDER

The craft beer family is getting bigger in New Zealand, with the addition of a brand-new, young company based in Canterbury, Barking Spider Brew Co. Released in selected bars in Blenheim and Christchurch only a few weeks ago, their first three varieties of beer (Kiwi Pale Ale, Better than Pils Pilsener and Slumdog Indian Pale Ale) are now ready to hit the supermarket shelves.

“We’re the new kid on the block,” said founder Craig Bull, who also has a winemaking background. Within six months, the brand aims to spread its presence across the country and possibly set foot in the Australian market in 2016. n

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In terms of alcohol enforcement, November has been another tough month for Foodstuffs and Countdown stores. Overturning a previous decision made by the licensing authority, the High Court ruled against two New World supermarkets in Christchurch, stating that their end-of-aisles liquor display was contrary to the law. Meanwhile, a Countdown store in Hamilton lost its appeal against a five-day ban on selling alcohol, ordered by the NZARLA after the supermarket was accused of selling alcohol to a visibly intoxicated man in 2014. n

LIGHT BEER ON THE RISE

Supermarket sales of lower alcohol beer have increased by more than 60 percent over the past 12 months, and about 200 percent in 2013, as a combined result of healthier lifestyles and new drink driving limits.

Revealed by global measurement company Nielsen, the trend has been confirmed

by Heineken-owned DB Breweries. DB spokesman Matt Wilson said that the light beer segment in New Zealand, or ‘moderation category’ as the company calls it, could account for over seven percent of total sales within two years; a significant increase from the meagre one percent achieved before 2013. n

OWNED

COCA-COLA BOTTLE TURNS 100 It all started in 1915, with a brief calling for a design so distinctive that it could be recognised by touch alone (‘in the dark’) and so unique that it could be identified when shattered on the ground. Different companies throughout the US accepted the challenge, later won by the Root Glass Company team with their cocoa bean-inspired design. With hindsight, we can say it was destined to last.

Patented that same year, the iconic Coca-Cola’s bottle now celebrates its 100th birthday; its classic shape made it through the last century without undergoing any change. A

global pop culture icon and notorious muse to legendary artists such as Andy Warhol, the Contour bottle was loved by Marilyn Monroe and Elvis Presley, and appeared several times on-screen. “While the brand has changed and evolved over the years, this enduring design icon has remained at the centre of the brand’s visual identity. Here in New Zealand, we’re delighted to celebrate the actual 100th birthday of the Contour bottle and look forward to the next hundred years ahead,” said Delina Shields, marketing manager NZ, Coca-Cola Group. n

WINE SALES ACADEMY LANDS IN NZ

The Wine Industry Sales Education Academy (WISE) landed in New Zealand.

Based in Napa, California, the academy is the only wine industry education, training and certification program specifically focused on direct-to-customer sales and marketing. The organisation was launched in Cromwell, Central Otago, with an inaugural 3-day Cellar Door Professional course starting on 25 November. n

AUSTRALIA RAN OUT OF FORMULA

MALAYSIA DEBATES NON-HALAL TROLLEYS The Shafi’i school of Islamic thought, which is predominant in Malaysia, states that containers that had touched non-halal items have to be washed seven times with water before they can be used again by a Muslim.

However, Malaysian Ministry of Domestic Trade’s proposal to impose separate supermarket trolleys for nonhalal products, using trolleys of different colours, has been considered ‘unnecessary’ by independent Muslim preacher Wan Ji Wan Hussin. Non-halal food items such as alcohol and pork, he pointed out, are already stocked in segregated sections and packaged, therefore they are never in direct contact with the trolleys. “If the packaged pork is put into the trolley and, after that, Muslims use the trolley, the trolley doesn’t have to be washed,” he said. n

Australian supermarkets are running short of baby milk formula due to a rise in international buying. Both Coles and Woolworth have reduced the number of cans a single customer can purchase at a time, now being two and four cans respectively. Shortages could be caused by a growing demand from China, which increased worldwide after the milk scandal of 2008. Since then, many Chinese have tried to secure supplies of safe formula by buying foreign brands, which often led to stockout issues in the rest of the world. Supermarkets in New Zealand imposed limits on sales a few years ago; the formula is also covered by the Animal Products Act 1999, ruling that only registered exporters are allowed to export dairy products. n

TAXING SUGAR WOULD WORK

According to a report that has allegedly been kept secret by the UK Government since last July, taxing sugar would actually curb the country’s obesity crisis. The study was recently drawn up by Alison Tedstone of Public Health England, fueling fears that ministers might have received pressures from food giants not to unveil it. Neverending promotions in supermarkets, oversized portions and bottomless fizzy drinks sold in restaurants are amongst the dangers cited in the report. n

NO PLANS FOR ALDI IN NZ

Despite announced plans to expand its operations in Australasia over the next few years, discount German chain Aldi still has no intention of setting foothold in New Zealand.

Opened in Australia in 2001, the company now accounts for 340 stores operating across New South Wales, ACT, Queensland and Victoria, and soon will be expanding into Western Australia and South Australia. There are still no plans for New Zealand, though. According to industry experts, the chain may be reluctant to invest in such a competitive yet low populated region. n

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storecheck STORECHECK is designed to rate each store to a set of criteria and is not a comparison of one store to another but a rating system on how well each store performed against the areas listed. A score of 5 means that the store has met all shopper expectations, grading down to 1 where little or no expectations have been met. Stores are checked by the same mystery shopper who is independent of SupermarketNews magazine.

NW BROWN’S BAY - A Tuesday 3rd November, 2.30pm

For this month’s reviews I started off in Brown’s Bay on the North Shore. My first stop was New World. From the outside this building seemed large, bright and new.

The car park was spacious and had plenty of parking available. I headed towards the store where the covered trolley bay was littered with rubbish and low on trolleys. Inside, the store was smaller than expected, but bright. I walked through to the produce which was well stocked, colourful and fresh. The wooden floors in the produce and deli, which also appeared later in the wine section, made it seem slightly more luxurious. The deli was fantastic, a wide range of salads and meat, all displayed appealingly. This followed through to the seafood and meat, where there were fresh gourmet medallions and kebabs on offer. The bright light continued throughout the store, and although the aisles weren’t overly wide the lighting and cleanliness of the shelves made it feel spacious. I noticed the shelves were raised slightly from the ground as well which meant you didn’t have to bend as low to reach the bottom shelf. A minor let down was the bakery, while it seemed fresh, it was running quite low on stock. Fridges and freezers were exceptionally clean, glass was clear and stock was neatly stacked. Stock levels and shelves were consistently good through the store. At the checkouts I was served quickly by a polite staff member. Even though the store was smaller, there was still a good range of products to choose from.

CD BROWN’S BAY - B Tuesday 3rd November, 3.15pm

I headed across the road to Countdown. Again, car parking was easy to find. I headed into the store where the entrance was spacious.

The lighting in the store itself could have been a bit brighter.

The produce was well stocked and all seemed fresh. Effective large special signs hung from the ceiling, making the specials easy to find. The bakery was well stocked and the fresh baking smell was apparent. The stock levels in the seafood section were good, but the lighting was dull and made the fish bland and unappealing. The meat fridges were clean and a good range of BBQ meats were available heading into the warmer season. Down the first aisle of canned food, it seemed a bit odd that clothing was also stocked down this aisle. The aisles were wide but shelving was messy in places and had quite a lot of low/out of stocks. I did notice that staff were busy restocking shelves, although five staff members down one aisle crowded it a fair bit. Also, I noticed some staff members were wearing jeans. The end of aisle promotion for bulk toilet paper seemed to take up a bit too much space. This continued down the toilet paper aisle also, with it spilling out onto the floor. I headed to the checkouts where I was served straight away by a very friendly staff member.

CD WARKWORTH – A Thursday 5th November, 9.00am

On a sunny day I took the opportunity to head further up north to Warkworth. My first stop was Countdown. I easily found parking in the underground carpark, which had plenty of trolley bays but did have some litter floating about. The entrance was large and bright and covered with festive decorations, which were also on promotion. The produce was running low on stock in some areas but was presented well , especially fresh chilies and herbs, which were in large round bowls stacked next to each other. The bakery was also running low on stock but was fresh nonetheless. Heading towards the deli I noticed there was a semi decent range of salads

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STORE EXTERIOR

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Was the outside of the building and grounds clean, tidy free of rubbish and with adequate trolley bays? (5 pts.)

3

5

4

5

• Were the windows and exterior clean and tidy? (5 pts.)

5

5

5

5

• Was the signage well presented and up to date? (5 pts.)

5

5

5

5

• Were there enough car parks? (5 pts.)

5

5

5

5

STORE INTERIOR

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Were your first impressions positive?

(5 pts.)

4

4

5

4

• Was the floor clean and free of broken/damaged stock? (5 pts.)

5

4

4

4

• Adequately lighting/heating? (5 pts.)

5

4

5

5

• Instore signage clear adequate? (5 pts.)

5

5

5

3

• Was there good visibility of promo/ seasonal products? (5 pts.)

3

5

5

5

• Was the floor free from unattended boxes/trolleys? (5 pts.)

4

3

4

4

• Were the fridges and freezers clean and tidy? (5 pts.)

5

5

5

4

STORE LAYOUT

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Were the aisles wide enough?

(5 pts.)

5

5

4

5

• Were all shelf edge labels clearly visible? (5 pts.)

5

5

3

5

• Were all shelves clean, neat and tidy?

(5 pts.)

5

3

5

5

• Was there an adequate number of trolleys/baskets available? (5 pts.)

4

5

5

5

PRODUCTS

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Was there a good range of products to choose from? (5 pts.)

5

5

5

5

• Was there full availability of products? (5 pts.)

5

3

2

4

• Was all product packaging in good condition? (5 pts.)

5

5

5

5

• Was there a good range of magazines and cards etc and were they tidy? (5 pts.)

5

5

5

4

• Were the batteries and general merchandise tidy? (5 pts.)

5

5

5

4

STAFF

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Were all staff fully dressed in uniforms and name badges? (5 pts.)

5 3 5 5

• Were there adequate checkouts, considering the time of day? (5 pts.)

5

5

5

5

• Were you greeted in a friendly manner? (5 pts.)

4

5

4

5

• Were you served in a speedy and efficient manner? (5 pts.)

5 5 5 5

• Were you thanked for your transaction? (5 pts.)

5 5 5 5

and the cold cut meats were well stocked. The seafood counter was also stocked and displayed well. The smiling staff member behind the counter was an added bonus. Meat fridges were clean with bags and tissues available for leaking packs. Shelves were tidy but quite a few low stocks were apparent, particularly with the eggs. The international section was great with a large range of products. Ticketing in the store was messy and quite a few tickets were on the ground. Great lighting in the freezers illuminated the product which was clearly visible behind the clean glass doors. I was served by a friendly woman, but unfortunately two staff members behind her were busy gossiping and trying to include her in it while serving me.

FRESH FOOD

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

• Did the produce look fresh?

PRODUCE (5 pts.)

5 5 5 5

FISH (5 pts.)

5 3 5 5

MEAT (5 pts.)

5

5

5

5

NW WARKWORTH – A

DELI (5 pts.)

5

3

4

5

BAKERY (5 pts.)

4

5

4

5

My last stop was New World just down the road in Warkworth. Parking was easy even though construction had taken a few parks out. Across the road there was also double story parking specifically for New World. In the store the entrance was bright with flowers on display and a lotto counter placed off to the side, out of the way. The produce was well stocked, fresh and vibrant. The flooring was a bit tired but was clean, as were the meat fridges. In addition to the packaged meat, there was a gourmet meat section with a great range. A large pick and mix section was off to the side and elegantly displayed with effective lighting.

Shelves were tidy and fairly well stocked, a few empty spaces but nothing too large.

Signage down the aisles itself were nonexistent, making it hard to find particular items.

The deli was fantastic, gourmet pies and a large variety of salads. The bakery was on par with the deli, fresh sandwiches and cakes available. A standout in this store was the extremely helpful staff in the wine area. When I described the particular type I was after they searched for it and, when not found, said they would speak to the rep when they were next in to look at stocking it. This is a great example of going above and beyond for the customer, well done to this store. The checkouts were old and on the smaller side but were clean. My wine was also wrapped in newspaper to avoid breakage. A great experience with customer service in this store.

• Was there a full range of produce?

Thursday 5th November, 10.00am

PRODUCE (5 pts.)

5 5 3 5

FISH (5 pts.)

5 4 5 5

MEAT (5 pts.)

5

4

5

5

DELI (5 pts.)

5

5

4

5

BAKERY (5 pts.)

3 5 3 5

• Was the Fish Counter staffed? (5 pts.) 5

5

5

5

• Was the Deli Counter staffed? (5 pts.) 5

5

5

5

• Was there anything or anyone who stood out? (5 pts.)

5 3 3 5

• Overall shopper experience (5 pts.) 5

HOW THEY SCORE?

3

4

5

NW CD CD NW Brown’s Bay Brown’s Bay Warkworth Warkworth

Maximum available score: 195 pts 184: A 174: B 175: A 186: A

Top Score

December/January 2016

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Mid-Strength Premium Beer Established in 1846, Peroni just extended its offering with Peroni Leggera, a premium, midstrength beer that is brewed using the same ingredients as Peroni Nastro Azzurro.

Lower in carbohydrates, this easy-drinking variant delivers a fine subtle aroma and an unmistakable crisp taste that is the signature of the Peroni brand. What is even more remarkable is that it maintains the taste and quality of a full strength beer, while allowing for longer fun.

Grab Your Pasta Box

Following the success of its Pasta range and ready-to-eat pasta meals under the Tuscan Fresh, Pasta Pronto and 100% Taste brands, 7Chefs has launched its newest brand My Pasta box in New Zealand. “It is a high-quality Pasta-based meal, full of flavour, and provides the shopper with a grab-and-go choice,” said Tony Talevski, General Manager Sales at 7Chefs.

According to him, the ready meal and snack category is experiencing strong growth of 25 percent year on year, driven primarily by increased penetration, aggressive promotional strategy, in-store positioning and exposure to impulse consumers. To drive awareness and build on the snacking habits of consumers, the brand will be also supported by an extensive campaign.

The products include a fork, require only two minutes’ cooking time and have patent designed cool-to-touch packaging. Available in four variants; Rich Bolognese, Creamy Carbonara, Chilli Chorizo and Triple Cheese Macaroni.

Contact Enterprise Foods on 021 0824 2149.

The Borges Balsamic Vinegar of Modena, 250 ml comes all the way from the Modena region of Italy and, along with Red Wine Vinegar 335 ml and White Wine Vinegar 355 ml, is part of the new range released by Borges this summer.

Delicately aged in wooden barrels, the Balsamic Vinegar has a rich, dark character that makes it ideal for dressing salads, fresh veggies, fish and seafood. Both the Red Wine and the White Wine vinegars are traditionally made using grapes sourced from the region of Catalonia, Spain. They suit marinades, relishes, dressings and any other dishes that need that extra zing. All three products retail at $3.99 each.

For more information contact your James Crisps representative.

Nutribombs Delivered

Festive Salmon

This festive season Regal Marlborough King Salmon is spicing up the menu with a new taste, inspired by the Thai Larb dish. Besides adding a Sweet chilli, Lime and Mint flavour to its wood roasted range, the brand also brought back the popular Ready to Roast seasonal fillet with the same piquancy. “Just pop it in the oven at 200 degrees and cook for 20 minutes, it’s that simple.

You can roast or barbecue the fillet and serve in a myriad of ways, it’s a great healthy alternative to ham or turkey,” said NZ King Salmon General Manager of Marketing, Jemma McCowan.

Healthy Coconut Yoghurt

The Coconut Collaborative’s dairy, soya and gluten free coconut yoghurts are now available in New Zealand, serving as a great everyday option for those seeking a tasty yet healthy treat. Locally produced using coconut cream and coconut water, this yoghurt comes in three flavours (Natural, Raspberry and Mango & Passion Fruit compote), and is packed full of flavour, vitamins, minerals, electrolytes and friendly fats.

Contact Hansells on 09 579 7199.

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As the weather warms and shoppers around the country dust off their barbecues, Ingham has released its new 5 and 10-piece pack chicken kebab range. With a fresh new look and modern zingy new flavours of Yakitori Pepper, Hoisin Ginger, Hot n Spicy and Tandoori in the 5-piece pack size and popular favourites Honey & Soy and Satay in the 10-piece packs, the products are sure to be hot sellers this summer.

Extra Zing For Summer

Designed For Shelf Impact

With the latest revamp of their Slider Bags, Reclose Bags and Baking Paper, D&A Marketing have completed the rebranding of their 4U range, now upgraded with a premium-looking packaging designed to create shelf impact. “Our aim and passion is to develop our 4U range of products into a nationally competitive brand, offering the best quality at the lowest pricing,” said D&A marketing manager Christine Chang. For more information contact 09 263 9781.

Kebabs For Summer

It took Rebelfood eleven months of planning, brand building and innovation, but its range of raw snack balls is finally out. Called NutriBombs, they are tailored to deliver specific nutrients without burdening the body with anything unnecessary, as RebelFood’s philosophy is no gluten, no dairy, no added sugar, no additives and no preservatives. NutriBombs contain fruit, nuts and seeds, and each flavour is a nutritional weapon for consumers’ little daily battles – ‘Yoga’, with Lemon, Lime & Goji; ‘Performance’, with Apricot & Blackcurrant; ‘Endurance’, with Strawberry & Mint; ‘Recovery’, with Cacao & Strawberry.

For more information call Joe Swatland on 021 0224 6325.

Strawberries On Top

Tatua’s latest addition is about to be launched, and will appear in stores next February. The dairy co-operative has developed its new Chef de Can Strawberry Mousse, which joins the brand’s existing Chocolate Mousse. The new product is gluten-free and has a long shelf-life, without artificial colours or flavours added.

It can be used as a topping or on its own, to make family dessert quick and easy. Contact Tatua on 07 889 3999.

Red Pepper-Stuffed Olives

When she first started importing Greek food products, Mary Etheridge became known as ‘The Olive Lady’. Twenty years later, Etheridge Trading Ltd launched ‘The Olive Lady’, a new brand of authentic Greek olives and antipasto products for the Kiwi market, now featuring Green Olives stuffed with Red Pepper. Green olives grow in abundance around the Olive Lady’s hometown in northern Greece. Her green olives are an eye-catching, ‘mammoth’-sized variety and have a crisp, tangy flavour. As there are no stones, they are ideal for platters and for children. At around $5.99 a jar, these huge olives are great value. For more information 04 389 6668.

New Packs For Instant Noodles

In 1958, Japanese food company Nissin invented and introduced instant noodles to the world.

Renowned for their quality, Nissin Cups are now available in New Zealand with new pack graphics aligned to the international market, making them visible to all ethnicities that enjoy Nissin noodles. The wheat used in the noodle cake comes from a special type, giving the product a natural light colour and a better texture, which allows it to be cooked beyond three minutes without breaking.

For more information, contact Oriental Merchant NZ Ltd on 0800 10 33 05.

Versatile Olive Oil Trio

Perfect for both cooking and dressings, the Borges Olive Oil trio is a versatile option for all homemade dishes. Borges Robust Extra Virgin Olive Oil (1 litre, RRP $13.29) comes from the highest quality olives cultivated under the Mediterranean sun, and boasts a robust, balanced taste accompanied by a full-bodied aroma.

Extracted from organically grown olives, the Borges Organic Extra Virgin Olive Oil (500 ml, RRP $9.99) is created and pressed using organic farming methods. Last but not least, the Essences Olive Oil (500 ml, RRP $6.63) is seasoned with garlic and makes a perfect additive for summer dishes.

All products come with duo caps, offering the option of pouring for cooking or drizzling for dressings. Contact your local James Crisp representative.

It’s All About Coconut

Little Island has expanded its dairy-free ice cream range with a summery new flavour, Toasted Coconut Caramel.

Featuring golden toasted coconut threads, a coconut caramel sauce and a vanilla coconut base, the flavour debuted at the Auckland Food Show earlier this year and was met with an extremely positive reaction from existing and new fans alike. For more information 09 579 1350

Energy Efficiency And Design

Philips is now delivering a greater choice and flexibility of lighting solutions, with the release of three new LED bulb ranges that meet all interior design needs. Coming in eight different designs, the LED Deco Classic filament bulbs join classic vintage styling with energy efficiency. The Scene Switch LED bulbs are 2-in-1 bulbs allowing homeowners to enjoy the benefits of warm white light and cool daylight in a single item, without extra wiring. Philips has also introduced a next-generation (Gen5) LED bulbs range, featuring a full moon design which provides a wider angle of light distribution and gives more ambient, nonglaring lighting that is bright yet comfortable for the eyes.

“With lighting making up around 8 percent of the average New Zealand home’s electricity bill, converting to efficient lighting is one simple and effective way to reduce overall energy consumption and cost,” said Gordon Wiffen, general manager, Philips Lighting NZ. Contact Philips on 0800 454 448

Enjoy The Gluten Freedom

A reliable sandwich bread with great flavour, soft texture and a high fibre content, Gluten Freedom Everyday Sandwich Bread Brown is as flavorsome as non-gluten free bread, with the added advantage of being soy and dairy free. Created with brown rice syrup, flax fibre and gluten-free flours including tapioca, rice, coconut and sorghum, the product can be frozen or refrigerated in an airtight container. Sold at a recommended retail price of $6.49. Contact Venerdi on 09 813 5481

Free-Range Chicken Option For the first time, Tegel has released a number of free-range options made with 100% New Zealand chicken, raised to the highest NZ welfare standards, without added hormones. The assortment features two variants of Tegel Freerange Butterflied Chicken (Sweet Pepper BBQ and Peri-Peri), Free-range Kebabs in Chilli & Lime and Teriyaki flavours, and Free-range Hot Rotisserie Chicken.

“Free-range is a rapidly growing segment of the supermarket and we’re excited to have launched our offerings for the BBQ season,” said Jo Davidson, Tegel Head of Marketing.

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Phone: 0800 426 735 www.coconutco.co.uk

NOODLE CUPS

Red, White or Balsamic?

How do you like it?

productwatch

Sole agent for NISSIN contact:

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For more information contact James Crisp on 09 309 0802 or email thomas.jasper@jamescrisp.co.nz

productwatch

When it comes to quality noodles, you can’t go past Nissin; the inventor of the 3 minute & cup instant noodle. Nissin Cups are now available in NZ with new pack graphics aligned to the international market making them highly visible to all ethnicities that enjoy Nissin noodles.

ORIENTAL MERCHANT (NZ) LTD Tel 0800 10 33 05 Fax 0800 10 33 11 Email: nzenquiries@oriental.com.au Website: www.oriental.com.au

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Free from gluten, soya and dairy. Available in natural, raspberry, mango and passion fruit compote.

SUPPLIERS GET SUPERMARKET BRIEFINGS, TRENDS Katherine Rich

CEO, New Zealand Food & Grocery Council

Suppliers to the New Zealand food and grocery industry must be prepared to innovate and develop new products if they are going to continue to grow. That was the key message to come out of the Food & Grocery Council’s recent annual conference.

It was probably our most successful conference ever, with close to 350 delegates representing suppliers and key retailers listening to 22 top guest speakers on subjects ranging from inspiration, retailing, nutrition, and advertising, to leadership, selling, packaging, and business wisdom.

Our chairman, Pierre van Heerden, opened the conference, saying that while the past year had been a good one, companies must think differently if they are going to grow because “the game is changing”. They must think about how to add value for consumers, themselves and others in the food chain.

It was the first conference attended

by Chris Quin since being appointed Managing Director of Foodstuffs North Island. He made Foodstuffs’ customary appearance alongside Steve Anderson,

the Managing Director of Foodstuffs South Island, who was there for the 15th year. Chris talked of getting himself integrated into the business by visiting 127 stores and doing jobs such as serving at checkouts to get a feel for a business that is very new to him, after coming from a technology background.

I believe that delegates would have come away with a feeling that he already has his feet firmly under the desk and that he will introduce an urgency often only a fresh pair of eyes can bring, despite his lack of experience in grocery. Both

of “click and collect”, which involves customers ordering online and then either picking up their goods from the store or having them delivered.

Another trend is the growth of “endless aisles”, where customers can order goods online that are not stocked in their smaller local store and have them delivered for collection from that store.

He predicted significant growth in these areas as customers look for more convenient ways to shop. I understand they are trends similar to those in the supermarket sector.

They must think about how to add value for consumers, themselves and others in the food chain. men gave a rundown on how their companies are trading, their plans for the immediate future, an update on their brands, stores, current customer and buying trends and likely upcoming trends, support for customer education and healthy eating, and health and safety in stores, to name a few. Progressive Enterprises were again invited to make a presentation but declined.

Mark Powell, the Chief Executive of The Warehouse, during a presentation on retail from a mostly non-grocery angle, drew attention to the growth

The conference received a briefing on the year and coming trends from Lance Dobson of research company Nielsen.

He talked at length on what products are on the move, his company’s supplier survey of how supermarkets rate, and the trends driving market growth. He also highlighted the latest changes in convenience store offerings in overseas markets as a predictor about what New Zealand can perhaps expect next.

For example, in the United Kingdom there is an emphasis on convenience and portability. He displayed some of

TRADING HOURS DEBATE TURNS NASTY Trina Snow

Executive Director NARGON

The Government’s Shop Trading Hours Amendment bill has passed it’s first reading in Parliament by a vote of 75 to 45. It would give local councils the power to decide whether shops in their area could open on Easter Sunday.

NARGON has argued that allowing councils to make this decision will make the current confused situation much worse. We support a wideranging review of all holiday trading hours in the modern New Zealand environment.

All 59 National MPs voted for the Bill as it was whipped vote but it was a conscience vote for other parties. In a conscience vote, MPs vote either based on their personal beliefs or to reflect the beliefs of their constituencies.

All New Zealand First MPs voted in favour, as did the sole MPs for United Future and Act, Maori Party co-leader Te Ururoa Flavell and two Labour MPs, Phil Goff and Clare Curran.

All Green MPs and the vast majority

Parliamentary rules, politicians enjoy of Labour MPs voted against the bill wide ranging freedom of speech progressing. although calling other members New Zealand First’s deputy leader, relatively innocuous names such as Ron Mark, voted for the bill but during “hypocrites” or “neo-Marxists” are the debate controversially attacked two specifically banned.

National politicians. Melissa Lee, a Ron Mark also drew Indian-born National List MP based in Auckland, National List MP Kanwil Bakshi noted in her speech that when she came into the debate even though he had to New Zealand 30 years ago she had not spoken. Mr Mark argued there been surprised to discover shops closed were numerous at 5pm. She said religious holidays “that was really, in India when no really surprising… The Race Relations one worked. In in other cities Commissioner called reply, Mr Bakshi they opened till told Parliament 10 or midnight, them “offensive”. that shops were or 24/7.” In New Zealand First open during all response, Mr religious holidays Mark said “if you has defended the in India and shut don’t like New only for two Zealand, go back comments and told secular holidays. to Korea.” people to “grow up.” Mr Mark This comment interjected “no” was described as several times during the speech. “borderline racist” by Maori Party coNew Zealand retailers and consumers leader Marama Fox and simply “racist” deserve better than this level of debate. by political journalist Andrea Vance.

It is disappointing that the Government The Race Relations Commissioner has not amended the bill after hearing called them “offensive”. New Zealand the disapproval from the retail industry First has defended the comments across the board, including NARGON. and told people to “grow up.” No We hope that the Commerce Select action was taken in Parliament. Under

the latest convenient food solutions happening there, and one that caught my eye as a mother was rather ingenious packaging for apples – a cardboard sixpack which enables each apple able to be separated still protected by their own cardboard box and packed into a lunch box! Now, that’s an idea that may even encourage the apple to be eaten.

Nutritionist Nikki Hart gave a fascinating rundown on the history of nutrition to the present day, where the obesity epidemic is at the top of many minds. She talked about how she saw the answer as being the “energy gap” – the difference between what we put into our bodies and the amount of exercise we do. It’s a point that FGC has long been at pains to point out. The main take-outs from her presentation were: the food industry produces only what consumers want; sugar isn’t bad for us if we move a lot – “are we moving enough?

No. We need to ramp that up”.

There were many other great speakers who presented on business in general and the food as well as the grocery industry: Barbara Chapman of ASB Bank, industry veteran Peter McClure, Richard Stevens and Mike O’Sullivan of BrandWorld, Christopher Luxon of Air NZ, Mark Weldon of MediaWorks, Craig Armstrong of NZTE, Marc Childs of Childs Davidson, Rebecca Smith of NZ Story, Peter Huskins of ShopAbility, Bill Ralston and Janet Wilson of Bespoke Media Training, Lindsay Mouat and Grant Hartley of the Association of NZ Advertisers, Lyn Mayes of Mad World, Carly Shamgar of RangeMe, and motivational speaker Peter Davidson. n

Committee, made up of MPs from across the political spectrum, will give the legislation the consideration that it deserves and look at the broader issue of holiday trading hours in the 21st Century.

In Britain, the Conservative Government faces strong opposition on their plan to liberalise normal Sunday trading hours. Currently, larger shops are only allowed to open for up to six hours on a Sunday between 10am and 6pm. The Government wants to relax those restrictions and allow local councils to have some discretion over where those restrictions should still be imposed.

New Zealanders arriving in Britain have long been bemused by the seemingly archaic opening hours for most shops, particularly in the weekend. Telegraph journalist Matthew Lynn captured the ridiculousness of the current situation in the Internet age when he noted that “you can buy a lizard online on a Sunday evening - but you can’t shop at Sainsbury’s.”

New Zealand may be ahead of the United Kingdom on Sunday trading but that is no reason not to modernise and standardise our holiday trading hours. Delegating the responsibility for Easter Sunday to a multitude of councils will only complicate the situation. The Government needs to engage in a serious debate and then make some courageous decisions. n December/January 2016

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BACK TO THE FUTURE OF ALCOHOL IN SUPERMARKETS Matt Wilson

Corporate Relations Manager DB Breweries Ltd

I read in the newspaper recently that a prophetic utterance of Marty McFly in Back to the Future II may actually come true – the Chicago Cubs may make the World Series in 2015 after a 107 year drought. It got me thinking, as you do, about what alcohol sales in supermarkets might look like in 2025. Without the assistance of the DeLorean or the Sports Almanac (well the grocery merchandise manual maybe), I have gone with four alternate universes instead of just one.

1) FEWER SKUS, BIGGER PACK-SIZES After legislation was introduced in 2012 requiring supermarkets to only display alcohol in a single area, supermarkets had to re-think exactly how much floor-space was dedicated to alcohol. Once floorspace previously allocated to alcohol throughout the store (such as aisle ends and other displays away from the alcohol aisle) was removed, this ultimately lead to less total space

being dedicated to alcohol. With less space came tougher decisions about what got ranged with high margin obviously preferred but also high rate of sale.

The need to rationalise floor space forced a move away from stocking hundreds of single bottles of craft beers with low rates of sale that were fiddly to stack. Larger pack sizes of bigger brands with very high rates of sale were preferred as we moved into the CostCo era. Craft beer had by no means declined, and in fact dedicated craft sections were retained, but on a smaller scale and bigger craft moved into bigger pack sizes as they chased greater volume.

Craft’s real domain became specialist liquor stores where you would go if you wanted to paw over 100 specialty beers and pick one or two out. For anything from a known brand or in any scale, supermarkets increasingly dominated.

2) ALCOHOL LEAVES GROCERY

It all started back in 2013 when a strawberry flavoured sparkling wine was banned from grocery for not being compliant as a product supermarkets could legally sell.

Then in 2015, a flavoured cider was equally evicted by MPI for using

non-compliant flavourings. Sadly producers and retailers failed to heed these early warnings and kept pushing the boundaries of what supermarkets could legally sell. The instances of flavoured beverages made from a grape wine, cider and even beer base grew steadily until the early 2020’s when the Government, no longer knowing if it was comparing apples with apples or raspberries with cabbages, pulled the pin on supermarkets selling alcohol full stop.

3) SEPARATE LIQUOR STORE-WITHIN-STORE

In the early 2020’s futurists who had predicted scenarios one and two above got ahead of the eight-ball and pre-emptively followed Australia’s lead. Following continued pressure from Government over what they could or couldn’t sell and restricting the ways in which they displayed alcohol, stores took matters into their own hands. They installed an internal wall to seal off the single area, cut a hole in the exterior wall, put a till in and set up a separate liquor store within their existing footprint. This “new” store was no longer part of the same liquor licence and traded as an independent liquor store. All of the restrictions on what they could sell and how they displayed alcohol no longer applied.

Shoppers had to deal with making two purchases instead of one when doing their weekly shop but could

finally buy beer again without being made to feel like school children in the naughty aisle.

4) THE RETURN OF PROHIBITION

Back in 2014/2015 the Ministerial Forum on Alcohol Advertising and Sponsorship recommended severe restrictions on alcohol advertising and sponsorship. These recommendations were eventually adopted over time leading to New Zealand becoming one of the most highly regulated alcohol markets in the world. The inability for producers and retailers to differentiate products by advertising their values and qualities led to them only having one remaining tool on which to compete with each other – price. This led to a sharp price war which saw alcohol pricing revert to 1960’s levels and the peak of binge drinking rivalling the days of the six o’clock swill. No one knew what they were drinking so they drank whatever was cheapest.

They bought it by the boot load and drank it like it was going out of fashion as it had no fashion left. The terrible spike in harmful drinking left the Government with no choice but to ban all alcohol and revert to prohibition. History repeated, bootleggers rejoiced and home brew finally completed its progression from nerdy hobby to hipster to mainstream. n

lastword smuggled into the country by organized crime and sold through small traders across the country. Most illegal packs are sold for about half the normal price.

Peter Mitchell Publisher

There’s been some question flying around the industry of late over the entry of GS1 into commercial competition with part of our industry.

While the organisation clearly states it is “not for profit” and is doing a good job in the bar-coding and data area as a service operation, it seems an unlikely twist for it to be competing in the product photography segment at prices drastically undercutting the long established industry supplier. Frankly there is no way product photography can be done, (even at break even) for $10 unless it is heavily subsidized by a wealthy backer – and clearly GS1 has plenty of money. Someone recently suggested this may be a way to reduce its funds to ensure it remains not for profit. Perhaps it could explain its rationale.

I never cease to be amazed at the Australian tobacco market where the latest trade report reckons that 14.3% of total tobacco consumption across the ditch is illegal loose tobacco and cigarettes. That’s 2.5million kilos

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Progressive needs to know that the industry was disappointed that it didn’t front up at last month’s FGC conference and present a retail aspect alongside Foodstuffs. It is understood the company is still smarting from last year’s Commerce Commission enquiry but of course the company does already present quite openly to suppliers at a couple of major functions during the year and perhaps one more to the same people is a time waster. Could be they were saving money to make the $10m severance pay package to Grant O’Brien this month after 28 years that is getting up shareholders’ noses.

And on the subject of fronting at that conference, it was interesting to hear the first outing of FSNI’s new chief Chris Quinn and the last outing of The Warehouse’s Mark Powell. After a couple of months in, Quinn brings a machine gun approach to his commentaries with little reticence (and a little overwhelming for the more quietly polished Steve Anderson). Powell of course is off to Massey University in Auckland as the first CEO-in-residence.

OWNED

WHEN you get a bit past it and there’s all these new, young faces around, a conference can get a bit tricky. The problem is that not a lot of them know each other either so name tags are critical. The best conference I went to recently did the right thing and printed the names on both sides of the swinger so no matter the wind, the movement or anything else, you always knew who you were talking to. How about the FGC considering it for their next meeting ?

US comedian Roger Dangerfield reckons that bi-sexuality is a good thing because it immediately doubles your chance for a date on Saturday night.

And his ancient cigar-smoking mate George Burns believes it is not premarital sex if you have no intention of getting married.

Got to be happy for the Hilke family who picked up around $80m in the sale of their beloved Red Seal business to EBOS subsidiary Endeavour Consumer Health the other day. A great deal for a worthy couple who have been great contributors to the industry and have produced some exciting results in both product and marketing long term and particularly over the past five or six years.

Loved the story from Mark Powell of The Warehouse who as chairman of a school’s board of trustees, officiated at the school prizegiving. The headmaster got up and told the kids they had to work hard or they would finish up at Countdown or The Warehouse.

Whoah !

The FGC conference in Sydney the other day was my last – and I know I’ve said that before. But after attending that and its forerunner the GMA since 1973 (I missed one so it’s only 41 years) I reckon it’s time to give it away. And that was suggested by a couple of other older delegates who, like me, didn’t know half the young faces who now run the industry – or at least are on their way up. It has been a lot of fun over the years and the stories that can never leave Vegas will stay locked away in case a couple of you were sweating on it. It was interesting to hear retiree Pete McClure reminisce on some of the industry’s history and people – I should have offered to do a double act and bring out some real characters and deals. But thanks for tolerating me over the years. My daughter Sarah is now taking over as editorial director of the family business but I still might be talked into this column for a while yet.