Talking Shop ISSUE 97 – October 2018
The magazine for Premier retailers
PLUS
Flying high Retail at the cutting edge in Lower Darwen
Coffee made easy
Three great solutions for Premier retailers
Footfall deal Footfall drivers deal extended
IAA glory
Premier dominates IAA Top 100 list
One part gin.
Three parts
you. with your Gin & Tonic
Talking Shop | October 2018
Welcome Talking Shop ISSUE 97 – Octob
er 2018
A very warm welcome to the latest edition of Talking Shop
The magazin
e for Premier
retailers
as we begin preparing for the coming winter months as a whole new array of opportunities opens up to drive footfall, sales and profits. To help you make the most of the colder months, we have a series of special advice-led features on a number of categories that come into their own at this time of year. Our winter warmers feature discusses a range of food and non-food sales opportunities while a medicines feature brings you up to date with the latest promotions, ideas and advice on how to get the most from this vital seasonal category. With coffee now established as a core part of the convenience store offer we also take a closer look at our new and extensive range of coffee solutions designed to allow you to maximise your profits from coffee and hot drinks. We’re delighted to announce that our EDLP deal on staples like bread, milk and sugar has been extended and we’ve also unveiled a fantastic new set of deals on the Warburtons bread and bakery range, boosting PORs
Flying high
Retail at the cut ting edge in Lower Darwen
PLUS
Coffee made easy
Three great solu for Premier retations ilers
Footfall deal Footfall drivers deal extend ed
IAA glory
Premier dom inates IAA Top 100 list
COVER STORY Constant investment keeps retailer at the cutting edge of independent retail.
THE THREE BIG STORIES 26 Getting ready for Christmas A bumper guide to boosting sales.
49 Winter warmers
Drive winter profits with food and non-food lines.
53 Coffee solutions
Check out our new range of great coffee solutions.
to over 30% on these staple footfall-boosting products. On top of all that we take a look at Christmas, we visit four more Premier stores and we also bring you a host of news, ideas and insight to help you grow your sales and profits. Good trading!
Martyn Parkinson, Brand Director Premier
4 TalkingShop
OCTOBER 2018
Share your shop news
If you’ve got news, tips or feaure ideas, get in touch with Talking Shop. Just pick up the phone and call:
0141 22 22 100 or write to: Talking Shop c/o 55 North Ltd. Waterloo Chambers 19 Waterloo Street Glasgow, G2 6AY or email: talkingshop@55north.com DISCLAIMER: Prices are correct at time of going to press, but may be subject to change.
FREE
53 Three great coffee deals
18 Team work in Lower Darwen
15 Innovation at Dundee University
33
49
Festive fizz deals
Winter warmers
7
9
Premier News
26 Festive favourites
Premier’s new Food To Go Solution
Making the most of confectionery
is already proving hugely popular.
and festive favourites this Christmas.
News
33 Drink to that!
Footfall Drivers promotions on
A guide to maximising alcohol sales
bread, milk and sugar extended.
and profits this festive period.
11 Community News
39 Ones To Watch
57 Launch Review
More retailers going above and
Some of the latest noteworthy
Diageo premix cans and bottles
beyond in their local comunities.
products to hit the shelves.
going down a storm.
15 University challenge
43 Prices Down
61 Guest Column
Premier Dundee University thrives in
A range of amazing Warburtons
Retailer Simon Dixon explains why
a challenging set of circumstances.
deals keep prices way down.
coffee is key to food-to-go growth.
18 Flying high
45 Medicines in focus
63 ACS view
Lower Darwen retailer shelves pilot
A closer look at how to optimise
Independent retail remains resilient
ambitions to fly high in retail.
medicine sales in winter.
despite many challenges, says ACS.
22 Building for the future
49 Winter warmers
Despite a very tough year, it’s full
New revenue opportunities open
steam ahead in Porth Street.
up in the colder months.
24 Torquay tycoon
53 Coffee solutions
Farmer-retailer Steve Palmer’s chain
Premier has three fantastic coffee
of Premier stores is growing fast.
solutions to meet all needs.
45
Choosing the right medicines range
OCTOBER 2018 TalkingShop
5
PremierNews NEWS, ACHIEVEMENTS AND OPINIONS FROM ACROSS PREMIER
New Booker Food To Go package boosts footfall, sales and profits The recent launch of Booker’s new food to go package has been massively well received by Premier retailers, offering a quick and simple way for them to make more of this fastgrowing category. Food to go is arguably the biggest trend in independent retailing, reflecting a dramatic change in the way shoppers consume hot and cold food with more and more of them looking to buy food they can consume on the move as soon as they leave your store. The recent launch of a comprehensive new Food to Go package by Booker has made it easier than ever before for retailers to embrace the category and grow footfall, sales and profits. Whether you are considering doing food to go for the first time or whether you’ve been doing it for a while but want to take it to the next level, the new solution that provides everything you need to capitalise on this megatrend. From equipment, accessories and packaging to a massive range of food and drink products tailored especially
INBRIEF SIMPLE AND EFFECTIVE SOCIAL MEDIA STRATEGY
Everything you need… The new Food to Go package offers retailers everything to need to launch a food to go offering, or improve the one they already have: l Hot beverage machines l Ovens & hot holds l Hot breakfast ingredients l Cold baps & baguettes ingredients l Sweet treats l Accessories & packaging l Hygiene products & equipment
for the food to go market, Booker’s new and improved offer is your ticket to overnight sales growth. A Food To Go brochure has
RETAILER VIEW SIMON DIXON Premier Lower Darwen “Food to go is simply a must have category these days and to make the category work to its optimum level, retailers have to be prepared to invest time, effort and money into delivering a great in-store offer that shoppers will want to buy time and again. “The new comprehensive package from Booker provides literally everything you need to get started.”
As great exponents of using
been produced to help retailers navigate their way around this extensive new offer and it’s worth asking your RDM for a copy if you haven’t seen one yet; it could help transform your business. The category offers PORs of up to an amazing 75% while Booker has committed to holding its prices until January 2019 so that retailers can invest in the category in confidence, safe in the knowledge that these huge PORs will be maintained all the way through the rest of this year. Martyn Parkinson, Brand Director – Premier, commented: “Food to go is a huge opportunity for every Premier retailer and is a great way to attract new shoppers and drive footfall. With margins of over 70%, your store cannot afford to miss the food to go profit opportunity. Contact your RDM to find out more.”
social media effectively, Singh’s Premier in Sheffield recently created a simple but very effective post to highlight to their local community just how much work the business does to support the area. The Facebook post highlights how Premier Singh’s raised well over £18,000 last year. It’s a great and easy to implement idea that other Premier retailers may wish to copy. Mandeep Singh said: “We work hard for the local community and this post just quickly lllustrates that.”
TALKING TACTICS What are you doing in-store to stand out in your local market? Share it with us and your Premier retailer colleagues at talkingshop@55north.com 0141 222 5380
OCTOBER 2018 TalkingShop
7
News
INBRIEF Premier stores take 25 PREMIER SMEATON STORES FEATURED IN THE SUN NEWSPAPER
places on IAA Top 100 list No fewer than 25 Premier stores have been listed in this year’s Independent Achievers Academy Top 100 stores, a remarkable achievement reflecting the high standards set by Premier.
Kirkcaldy Premier retailers Asif and Abada Akhtar became overnight celebrities recently when they were featured in a full page feature in The Sun newspaper. The feature was celebrating the hugely important role that independent retailers play within the communities they serve.
Premier stores have put in yet another fantastic performance with no fewer than 25 of them making it onto this year’s Independent Achievers Academy (IAA) Top 100 stores list. The list features what the independent judging panel considers to be the best 100 stores in the country, with Premier accounting for a quarter of these. Of these 25 stores, seven also made it onto the IAA Finalists list: l Arnold Road Premier Stores, Nottingham (Marketing to Customers) l Tenby Stores & PO (Premier Express), Tenby (Marketing to Customers; Staff Development) l Premier Broadway Convenience Store, Edinburgh (Customer Service, Retail Innovation) l Wharfedale Premier, Hull (Responsible Retailing, Staff Development) l Premier Smeaton Stores, Kirkcaldy (Availability, Service to the Community) l Premier Lower Darwen (Shop Layout) l Premier Linktown Local, Kirkcaldy (Digital Engagement)
Over 1.5 million copies of the newspaper were circulated across the UK guaranteeing massive publicity and PR for the store and for the good work that the couple have long done for their local Smeaton community. Long-standing community champions Asif and Abada were unaware that the piece was going to be so prominent within the newspaper and have been swamped with good wishes and jokes from shoppers. Asif commented: “The
Premier Brand Director Martyn Parkinson told Talking Shop: “Securing a quarter of the places on the IAA Top 100 Stores list is a fantastic achievement and shows the progress that we are making.” Simon Dixon of Premier Lower Darwen near Blackburn was delighted to be shortlisted: “It was such a thrill because we’ve worked so hard over the last year. The team were delighted and it makes it feel like all the investment and work was worth it.” Another retailer over the moon to be shortlisted was Premier Linktown Local retailer Faraz Iqbal in Kirkcaldy. He told Talking Shop: “We’ve been making a huge effort to enter industry awards and benchmark ourselves against other stores so it was a pleasant surprise to find ourselves on the shortlist list for the top independent stores in the UK!”
#IAA18 Premier Stores l Arnold Road Premier Stores, Nottingham l Avon Gold Supermarket (Premier), Bristol l Broadway Convenience Store (Premier), Edinburgh l Cinderhill Premier Express, Nottingham l Circle 8 (Premier Express), Newton Abbot l Jay’s Convenience Store (Premier Express), Nottingham l Narinder’s Convenience Store (Premier), Huddersfield l Pelynt Convenience Store (Premier), Looe l Premier Eldred Drive Stores, Orpington l Premier Extra Bulwell, Nottinghamshire l Premier Extra Gedling, Nottingham l Premier Gostwick Road, Bedford l Premier Green End Store, Huntingdon l Premier Hayers Meadvale, Westonsuper-Mare l Premier Linktown Local, Kirkcaldy l Premier Lower Darwen, Darwen l Premier Smeaton Stores, Kirkcaldy l Premier SNA Supermarket, Southampton l Premier West Side Stores, Dunstable
response we have had is just
l Premier Woodpark Stores, Ayr
hard to explain. I’ve lost count
l Pricekracker (Premier), Dundee
of the number of comments we’ve had and everyone has been so supportive. It’s lovely
l St Mary’s Supermarket (Premier), Southampton l Tenby Stores & Post Office (Premier Express), Tenby
to get a little recognition now
l Vyas Convenience Store (Premier), Manchester
and again”
l Wharfedale Premier, Hull
8 TalkingShop
OCTOBER 2018
News
Footfall drivers deal Retailer extended on bread, VIEW milk and sugar Premier’s massively popular EDLP pricing deal on core essentials like bread, milk and sugar has been extended to help boost footfall for retailers.
20% POR
ANAM MALIK PREMIER VIGO CONVENIENCE STORE, CHESTER-LESTREET
on all promotions
“I think the EDLP deals on staples like bread, milk and sugar are now a critical part of our offering to our shoppers. The fact that they can get the products they need every day at exceptional prices mean that they keep coming back because they know they’re getting a fair deal. “I have no doubt that this deal has increased footfall in my store and I’m also positive that it has helped grow sales of other products too because
Premier’s fantastic Every Day Low Pricing deal on bread, milk and sugar has been extended which will come as great news to retailers who have come to rely on the deal as a proven way of growing footfall as well as sales and profits. The promotion has proven massively successful for retailers as shoppers have enthusiastically taken advantage of outstanding prices on these staple lines. Premier slashed the wholesale prices of bread, milk and sugar to allow Premier retailers to offer market-leading every day low prices on these important convenience products while still achieving great minimum PORs of 20%. The deal means that retailers can offer a
Kingsmill Soft White loaf for just £1, Wiseman milk at 2 x 2 litres for just £2 and 1kg of Whitworths sugar for just 69p. These deals will continue to be exclusive for Premier retailers. Martyn Parkinson, Brand Director - Premier, said: “We have carefully chosen bread, milk and sugar because they are the top three products for sales and for driving footfall in the independent retailing market. Our decision to extend the deal is in recognition of how popular it has been with Premier retailers.” Retailers are advised to retain their POS and use it until the end of Period 10. A limited stock of 8’ x 2’ banners is also available. Please contact your RDM if you are interested in having one.
shoppers invariably buy something else when they come in for a loaf or a pint of milk. “What’s also great news is the fact that retailers will still be getting 20% POR on all of the deals, which is a fantastic margin when you consider how low the prices are to the shopper. “I’m delighted it’s being extended and I’m sure my shoppers will too.”
OCTOBER 2018 TalkingShop
9
CommunityNews OPINION, NEWS AND ACHIEVEMENTS FROM PREMIER RETAILERS
Smart snacking for the kids in Orpington
INBRIEF
Progressive retailer Anita Nye of Premier Eldred Drive Stores in Orpington has introduced a ‘Snack Smart Club’ to encourage kids to enjoy healthier, lower calories snacks. Always on the front foot when it comes to responsible and proactive retailing, Premier Eldred Drive Stores Manager Anita Nye has recently unveiled her latest fantastic idea: a Snack Smart Club for kids which encourages them to eat healthier, lower calorie snacks and rewards them for doing so. She told Talking Shop: “We feel it’s our responsibility to help the next generation develop healthier eating habits so we have created a special loyalty club for kids. The Snack Smart Club works by encouraging children in the store to buy from our special Snack Smart Club fixture which features only healthier snacks of under 100 calories. For every snack they buy then get
a stamp and once they reach 10 stamps they can have a free snack or a small reward like a pen or pencil.” Anita publicised the Club by putting posters in the local Family Centre and working with local schools to highlight the initiative. While the scheme is only a couple of weeks old, Anita says the response has been phenomenal. “It has generated a lot of interest among the local kids and there are many of them actively collecting stamps now. We’ve even had some comments from parents and grandparents who tell me it’s the first time their kids and grandkids have forced them to go to the shop because they want their healthier snack and a stamp on their card!”
ASIF AND ABADA ARE COMMUNITY CHAMPIONS… AGAIN! Kirkcaldy Premier retailers Asif & Abada Akhtar have a strong track record of scooping industry awards for their outstanding community work and the pair recently added another award for the wall by winning the won Independent Community Retailer of the Year category at the Retail Industry Awards 2018. Abada told Talking Shop: “We seem to be becoming a bit of a specialist in winning community awards these days, which is just lovely! We don’t see what we do as anything other than what a good store should be doing, looking
Moulton retailers back their local team Premier brother and sister retailing team Tony and Tina Patel have gotten behind their local football team to show support for their local community in Moulton, just outside of Northampton. The pair, who run Moulton Village Store, have agreed a three-year sponsorship deal
with Moulton Football Club to have their store name and details displayed on an advertising board at the edge of the pitch.
Tina told Talking Shop: “We’re a community shop and we feel it’s important to support the community where we can. The football club is an important part of that community so we decided we should help them out – and it’s great advertising for the store.”
after its shoppers and the community - but it’s nice to get the recognition all the same.”
TALKING TACTICS What are you doing in-store to stand out in your local market? Share it with us and your Premier retailer colleagues at talkingshop@55north.com 0141 222 5380
OCTOBER 2018 TalkingShop
11
SHEBA 61% share of Super Premium Cat Wet Main Meal Convenience Retailing (Neilson impulse 2017)
ON PROMOTION NOW
47.1% POR
24.7% POR
Pack Description
M code
Case Cost
POR%
SHEBA Classics Cat Tray with Chicken in Terrine 85g MPP 2 for £1.20 SHEBA Select Slices Cat Tray Chicken in Gravy MPP 2 for £1.20 SHEBA Fine Flakes Cat Tray with Salmon in Jelly 85g MPP 2 for £1.20 SHEBA Fresh Choice Cat Pouches Poultry Collection in Gravy 6x50g MPP £1.99 SHEBA Fine Flakes Cat Pouches Poultry Collection in Jelly 12x85g pack
237781 237774 237794 228927 106855
£6.79 £6.79 £6.79 £9.99 £14.25
47.10% 47.10% 47.10% 24.70% 18.60%
STOCK UP NOW
©/®/™ Design Mars 2018
IndustryNews A DIGEST OF NEWS FROM THE INDEPENDENT RETAILING INDUSTRY
Meat-free opportunity INBRIEF set to grow for retailers LOTTERY OVERHAUL TO BENEFIT RETAILERS
The IGD has highlighted the predicted massive growth of plant-based consumption among shoppers as a huge opportunity for independent retailers.
National Lottery operator Camelot UK has unveiled significant changes to Lotto and EuroMillions games, as well as details of a brand
New shopper research from IGD has discovered that over half of all shoppers (52%) follow, or are interested in following, a plant-based diet. This figure rises to 68% for 18-24 year olds, and potentially represents a big opportunity for retailers to meet that demand. The study of more than 2,000 British grocery shoppers found that among 18-24 year olds, some 30% follow or are considering following a vegan diet while 17% of all shoppers are doing likewise. The main drivers have been health and ethics with 45% claiming they are following or
Targeting vegan shoppers: l 22% of grocery shoppers are interested
anticipated that the changes will bring more footfall and sales to independent retailers. On Lotto, new and bigger
in experimenting with
fixed prizes have been
different vegan recipes.
announced from November
l 16% of grocery shoppers
considering a plant-based diet because it is healthier and 41% because of ethical reasons. Younger generation shopppers are more likely than the average shopper to be motivated by ethical reasons (51%), environmental concerns (48%) and to lose weight/look good (25%).
new draw game for 2019. It is
with a guaranteed £1m for
are interested in baking
shoppers matching 5 + Bonus
vegan desserts and cakes.
Ball. The jackpot will also be
l 22% would like more recipe ideas for vegan meals in stores. l 22% would like a greater choice of more convenient vegan options, such as ready meals.
won or shared more often as the jackpot will only be allowed to roll over five times. On EuroMillions from early next year, the prizes on the main game will stay the same but Camelot will run more special draws in which multiple guaranteed £1m UK winners are created.
Public supports call for better protection for shopworkers The vast majority of shoppers - 85% - agree that the Government owes a duty of care to shopworkers charged with enforcing agerestricted sales laws, according to a new poll. The poll was carried out as Parliament prepared for two debates highlighting assaults and abuse directed at shopworkers, with more than 260 violent attacks every day in 2017. Shopworkers union Usdaw is proposing a tough new law to increase criminal sentences for anyone convicted of using threats or violence against a shopworker.
Paddy Lillis, Usdaw General Secretary, said: “Shopworkers will play a vital role on the frontline of policing the Offensive Weapons Bill when it becomes law, as they already do on the sale of alcohol and other age-restricted products. Yet they are offered no additional protection under the law and can be treated like criminals if a mistake is made at the till. “When Parliament passes laws that shopworkers have to enforce, they should also provide legal protection for them. This poll shows that the shopping public agree.”
Camelot will guarantee one UK millionaire in every draw instead of two. Subject to regulatory approval, Camelot will also launch a new annuity game in early 2019, which will have a prize of thousands of pounds a month for 25 years.
TALKING TACTICS What are you doing in-store to stand out in your local market? Share it with us and your Premier retailer colleagues at talkingshop@55north.com 0141 222 5380
OCTOBER 2018 TalkingShop
13
BUY ONE OUTER FOR
£10 SELL 3 BOTTLES FOR MAKE
£10
£8 40% PROFIT*
* POR achieved when purchased at £10 and sold at 3 for £10. Normal MRRP £3.99. You are free at all times to price as you choose. Available at participating wholesalers, offer ends 31 December 2018, while stocks last.
Mcode
Article Description
M237437
Logic LQD Berry Mint 6mg TPD
M237458
Logic LQD Cherry 12mg TPD
M237439
Logic LQD Cherry 6mg TPD
M237457
Logic LQD Menthol 12mg TPD
M237452
Logic LQD Menthol 6mg TPD
M237454
Logic LQD Strawberry 6mg TPD
M237456
Logic LQD Tobacco 12mg TPD
M237455
Logic LQD Tobacco 6mg TPD
Dundee University | STORE PROFILE
Success is
academic in Dundee The Premier store on the Dundee University campus faces several unique challenges and opportunities but is possibly one of the busiest stores in the UK, as Talking Shop found out.
PRIME SITE: The store sits at the heart of the campus, next door to the Students Union.
N Store CV:
Name: Premier Dundee University Owner: Dundee University Students Association Time with Premier: 14 years Manager: Moira Dean Size: 2,280sq ft Staff: 8 full time + 16 students Services: Licensed, food to go, Krispy Kreme unit, clothing, hot drinks Nearest competition: Tesco Express, Lidl, Co-op all within 1/4 mile; Tesco Extra less than a mile Trading hours: 8am-10pm Mon to Fri; 10am-10pm Sat; 10am-8pm Sun BUSY BOSS: Manager Moira Dean enjoys the challenges.
o matter which way you look at it, the Premier store on the campus at Dundee University is not a typical convenience store. For a start, it’s owned by a charity – the Dundee University Students Association (DUSA). Secondly, it has almost no passing trade in the traditional sense. Sited at the heart of the university campus, the 2,280sq ft store’s shopper base is made up almost entirely of students, staff and the occasional workman. Consequently, the store spends long periods of the year quiet but – and it’s a big but – when the students return they do so in droves. How many stores do you know that can take over £12,000 in a single day? Manager Moira Dean explains: “In summer our turnover falls by 75% but the flip side is that our busy periods are hectic. We took over £12,000 on the first day that the students returned after summer. That was OCTOBER 2018 TalkingShop
15
STORE PROFILE | Dundee University
SPECIALIST LINES: Organic, vegan and free-from products are in growth.
LOOKING GOOD: The store stocks a range of DUSA branded clothing.
NUMBERS GAME: Even with four tills the store is incredibly busy.
GREEN MACHINE: The store no longer sells single-use plastic bags.
16 TalkingShop
OCTOBER 2018
GREAT DEAL: The store focuses on providing great value for students through EDLP and Meal Deals.
3,000 transactions in a single day!” And it’s not just the scale of the footfall and sales that is breath-taking; the sales mix is also highly unusual. Consider that the store can take £12,000 in a day but it doesn’t have PayPoint or Lottery. And only 6.2% of its sales come from tobacco. “Not having PayPoint or Lottery helps boost our GP,” says Moira. “but PayPoint is just not a service students need and, as a charity, DUSA decided not to have Lottery as we don’t want to encourage gambling.” Another category conspicuous by its absence is hot food. The store sits next door to the student union (also owned by DUSA) which has several cafes and bars. Moira says: “It didn’t make sense to have the store and the union competing with one another.” Chilled food, however, is an entirely different matter. The store sells more than 700 filled rolls, wraps and baguettes every day, as well as sushi, salad pots and fresh dips and snacks. Interestingly, over 30% of the store’s total sales go through a cashless payment app called Yoyo. Moira explains: “Yoyo is accepted across the DUSA estate so students find it more convenient than cash or contactless. They collect loyalty points
using it which they can redeem in all DUSA outlets. It’s also great for us because our bank charges have plummeted.” A former chef in the RAF, Moira’s career saw her move into retail around 18 years ago but she admits her two years running the store have been an eye-opener. The store clearly had massive promise but was in need of investment: “The store has been with Premier for 14 years and was always successful but it was tired. DUSA agreed to do a refit this summer and we closed at the end of June then re-opened in mid-July. “It was a major refit and took two weeks to complete. We couldn’t expand the footprint so we chose to go upwards with higher shelving. It now feels like a much bigger store.” Moira and her team worked closely with Premier to build what she firmly believes is a “modern store that caters for the needs of modern students”. Asides from a wall of DUSA-branded clothing and a bay of university stationery, the rest of the store would be instantly recognisable to Premier retailers. For Moira, less is more, as she says: “With such a high footfall and turnover of product we couldn’t afford to have stock on the shelves that would take
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
DOUGH MAKER: A new Krispy Kreme unit has been a massive hit.
ON A ROLL: The store sells over 700 filled rolls, wraps and baguettes every day.
weeks to sell through. If it’s not high rate of sale, it’s not in the store.” Moira has concentrated on highlighting growth areas like chilled food and freefrom, and these are a real feature of the store. A huge vegetarian and vegan bay is complemented with an extensive selection of free-from lines that have already proven a big hit with returning students. At the other end of the dietary scale, the store has also installed a new Krispy Kreme doughnut unit. “I think we’re one of the first convenience stores to get one of these units and it’s been really popular,” she says. Another big focus of the refit was to bring in more local and regional suppliers, as Mora explains: “As part of DUSA, we try to buy local produce where we can, and we also have a big focus on the environment, so we stopped selling single-use plastic bags and plastic straws. We only sell recyclable cutlery and napkins.” As a result of the local focus, the store sources extensively from suppliers in Dundee, Perth and Edinburgh. Moira also buys a range of organic and wholefoods from Tree of Life through Central Billing. It’s clear that modern day students are a different breed from generations gone by,
but some things never change. “Yes, they like organic and vegan but they still buy a lot of alcohol!” laughs Moira. “We sell a lot of beers, wines, ciders and spirits and I mean a lot – many thousands of pounds’ worth a day.” As for promotions, Moira runs the same deals as other Premier stores, including the Mega Deals, although there is a much more pronounced focus than in many other stores on alcohol promotions. In addition to her full-time team, Moira recruits around 16 students every year to work evenings and weekends. “It’s part of the DUSA ethos,” she says. “We recognise our obligation to support students in all kinds of ways from keeping prices affordable, making meal deals available and having strong sustainability policies, to providing work opportunities and helping them where we can on the welfare side.” Moira describes the store as a “gilded cage”, explaining: “Yes, we have quiet periods but the busy periods more than make up for them, and it’s all budgeted for. It’s also an interesting challenge to balance the commercial side with our ethical obligations, but I think we’ve done a good job of achieving that balance.”
YOYO SALES: Over 30% of sales come through the Yoyo app.
DRINK TO THAT: The store sells thousands of pounds worth of alcohol daily.
LOCAL FOCUS: Moira works hard to maintain a locally sourced range.
OCTOBER 2018 TalkingShop
17
STORE PROFILE | Lower Darwen, Blackburn
Flying high in
Lower Darwen
Premier retailer Simon Dixon wanted to be a pilot as a boy but has instead succeeded in becoming a high flying retailer with a keen eye for spotting the latest trends.
Store CV:
Name: Premier Lower Darwen, near Blackburn Retailer: Simon Dixon Time as a retailer: 29 years Time with Premier: 24 years Size: 1,500sq ft Staff: 15 Services: Licensed, Payzone, My Hermes, ATM, hot food to go, hot drinks Nearest competition: Londis forecourt and Nisa under half a mile away Trading hours: 7.30am – 10pm
PEOPLE PERSON: Simon says it’s the great team behind him that makes the store successful.
18 TalkingShop
OCTOBER 2018
A
fter almost three decades running a Premier store in Lower Darwen, near Blackburn, owner Simon Dixon admits that he never intended to have a career in convenience retailing: “My parents had a store in Darwen along the road so I grew up in and around retail and at 19 years old, I managed to get the money together to buy this store - but I never intended to make a career out of it. I actually wanted to be a pilot! “The pilot dream never came to much so I ended up being an apprentice engineer for a couple of years but the money was better working in my dad’s shop,” laughs Simon. “I did that for six months then came across this store and decided I could make a go of it myself.” That was 29 years ago and since then Simon has acquired no fewer than five buildings, all next door to one another, which have been knocked together into one much larger unit. “I bought number 9 initially but over the years I just bought the
adjacent premises every time any of them came up for sale,” he explains. “They were all terraced houses that I converted to grow the store footprint. Now they are all a single unit with the exception of number 3 which has a public access alley between it and the rest of the business so we had to leave it as a standalone unit. I converted it into a high end coffee and sandwich shop in January 2015.” Simon’s business philosophy is ‘if you’re not moving forward, you’re going backward’ which explains his relentless quest to develop and grow the business through a strategy of continuous investment. The latest evidence of this strategy was a huge refit at the start of this year. “I work closely with Premier and I had become aware of several very important trends in the market,” he says. “I’m thinking of protein, food to go, fresh and chilled, vaping and coffee and so on. I decided I wanted to completely rework the store to give each of these growing categories more space and allow them to deliver extra footfall, sales and profits,” he says.
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
20% Increase in sales since refit
ON TREND: The store has been fully rebuilt to focus on key growth trends and to deliver a fantastic shopping environment.
The result is nothing short of spectacular and the evidence is in the till: sales are up 20% since the refit. “Planning the refit I sat down with the Premier team and we highlighted the areas we thought we needed to target to make sure we were relevant for today’s shoppers,” he comments. That plan involved doubling the refrigerated space to facilitate growth in key categories like fresh and chilled, alcohol, chilled food to go and soft drinks. It also involved the creation of a new hot food to go station with a hot cabinet for pies and savoury slices and a new bean to cup coffee machine. New sections were created for an extensive protein range and a huge vaping range while growing categories like American candy, gin, craft beers and sparkling wines were accommodated with increased space and some creative shop-fitting the really bring the products to life in-store. Simon also places a lot of emphasis on buying local products which,
he says, are highly valued by his shoppers. “We got a lot of bakery and bread lines locally as well as eggs, we buy gin locally, we stock a lot of local beers and, oddly enough, many of the big vaping brands actually started life in this area so a lot of the lines we stock are made within a few miles of here,” he says. This strategy has been vindicated by growth across the board, as Simon explains: “All of the areas where we have increased the space or introduced categories for the first time have been successful since the refit. Fresh sales have doubled, ready meals have tripled, chilled is growing, vaping is growing, the craft beers and gins are flying. It’s rewarding to see the work you’ve done resulting in growth.” Simon acknowledges that the fantastic summer and major events like the World Cup contributed to an amazing year but believes that the changes in-store have allowed him to capitalise fully. He explains: “Yes, the hot weather and big sporting events helped but I think the reason we were
GOOD TO GO: The food to go station serves quick and convenient hot solutions.
POWER UP: An extensive range of protein products is stocked.
OCTOBER 2018 TalkingShop
19
BOOST YOUR SALES WITH FLAVOURED MILK
FRijj – NOW AVAILABLE IN UHT AMBIENT
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
SOMETHING FOR EVERYONE: Local ales and big brand beers and ciders means there’s something for all shoppers.
COOL CUSTOMER: Locally sourced products and meal deals have helped double chilled sales.
able to grow so strongly was because the refitted store is so in tune with what shoppers are looking for these days. Understanding your shoppers is the key to success in independent retailing and that’s as true in long, warm summers as it is in dark, damp winters. “And at the heart of that is having a great team that really engages with shoppers. My manager Zoe has a fantastic rapport with her team and I think our customers sense that when they come in. It’s always nice to shop in a store where it feels like the staff enjoy being there.” Simon’s Number 3 Espresso Bar has also grown into a great revenue stream in its own right and complements the Premier store perfectly. He says: “Coffee is huge and it’s only getting bigger. The coffee bar helps bring footfall to the store and vice versa. If shoppers want a quick, convenient and high quality coffee they can get it in the shop but if they have a little bit of time and want a real artisan coffee they can get that
next door.” So keen on coffee, Simon even completed a professional barista course himself and has invested over £12,000 in two coffee machines, as well as sourcing his own range of roasted coffee beans both for use in the two outlets and to sell in the store. It’s this passion, enthusiasm and attention to detail that sets the store apart. “I like my coffee and my shoppers do too,” he says, “With so much competition I feel it’s important we offer the best coffee we can and that will keep our shoppers coming back.” Judging from the footfall in both of his businesses, Simon clearly has his finger on the pulse of the modern shopper. “I try to bring passion to what I do,” concludes Simon. “Whether that’s developing my store or playing saxophone with my band The Stumble. Life is for living and you’ve got to enjoy what you do and bring energy and commitment to it. If you manage that, you won’t go far wrong in my experience.”
READY TO GROW: Sales of ready meals have tripled since the refit.
AHEAD OF THE CURVE: The in-store vape station helps drive big footfall and sales.
GIN AND MORE: The store has an extensive gin and spirits range, creatively presented.
OCTOBER 2018 TalkingShop
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STORE PROFILE | Porth
Building for the
FUTURE RISING TO THE CHALLENGE: The store has faced months of roadworks right outside.
It has been a challenging first year in retail for retailers Bikrumjit Singh and Karen Kaur Randhawa with months of roadworks outside the store in the Welsh county borough of Rhondda Cynon Taf - but they’ve used that time well to create a fantastic, modern business that’s ready for take off.
LOCAL LINES: The store stocks a range of locally sourced lines.
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OCTOBER 2018
HOT STUFF: A new coffee machine has added footfall and sales.
MEGA DEALS: Premier’s promotional deals were key to Ricky joining the group.
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
P
art of the challenge of being a successful convenience retailer is coping with the various issues that come your way, particularly those over which you have no control – like an endless stream of roadworks right outside the store. That’s precisely the situation that husband and wife team Bikrumjit Singh and Karen Kaur Randhawa found themselves in at the start of this year, only months after taking ownership of their first store. “We already had our hands full transforming what was a tired business into a modern Premier store,” says Bikrumjit, better known as Ricky. “So when we learned about the roadworks in January, we simply had to roll up our sleeves, make the best plan we could and get on with it.” Ricky and his wife Karen decided that the best plan was to put the quieter weeks during the roadworks to good use by using
them to ensure that when the diggers finally left the store would be fully ready to cash in. The couple acquired the store a year ago when Karen, who ran a hotel at the time, decided that she wanted to run her own business and Ricky, who was in recruitment at the time, quickly decided that he too fancied a change of direction. “Both of our families had been in retail so the industry wasn’t new to us but we had never owned our own store before,” says Ricky. The store they found was a Costcutter but only weeks after acquiring it they were already running into what Ricky calls “severe delivery issues”. He explains: “It was around the time of the collapse of P&H and the service just wasn’t reliable at all, which was just not good enough. We had been buying stock from Booker in the meantime, particularly the own label lines, and they had been doing well so we started
Store CV:
Name: Name - Premier Porth Street Store, Rhondda Cynon Taf Retailers: Bikrumjit Singh and Karen Kaur Randhawa Time as retailers: 1 year Time with Premier: 10 months Staff: 5 Size: 2,800sq ft Services: licensed, PayPoint, Collect+, Lottery, Nescafe & Go, ATM Nearest competition: Morrisons, Aldi, Lidl, Lifestyle Express all within half a mile Trading hours: 7.30am to 10pm Mon – Sat; 10am to 10pm Sun
MUSCLE SALES: The store stocks a range of protein lines including Euro Shopper Protein Shakes.
BRING IT ON: Ricky is thoroughly looking forward to the Christmas period this year.
CHILL OUT: Fresh and chilled lines have become increasingly important.
talking to Premier and quickly decided to switch.” The store had undergone a major refit before they bought it so all that was required was a freshen up and a full reranging and re-merchandising, although Ricky and Karen did invest in a lot of new refrigeration. “We knew the areas we wanted to focus on so we added seven metres of chilled space for alcohol, three and a half metres for soft drinks and seven and a half metres for fresh and chilled,” recalls Ricky. The heart of the new range was Booker’s Core In Every Store range as the couple were keen to focus on only best-selling lines. This is topped up with a range of locally sourced products. The Premier team duly carried out the work in-store, under Ricky’s supervision, and the results were instantaneous. Sales of alcohol, soft drinks and fresh and chill all rose immediately but just as the store was building up a head of steam, the roadworks arrived. Ricky comments: “The first set kicked off in January and lasted months. They then
went away but came back again in summer and they’re still here, although they should be finishing up any day. We can’t wait!” With the prospect of a big surge in footfall, the store is in the process of planning a significant increase in its food to go offer with a new kitchen being built in the store room. “We know food to go is huge and we want to capitalise on that by doing it properly,” says Ricky. “We sell a lot of sandwiches and chilled snacks, as well as coffee from a Nescafe & Go machine, but the new kitchen will let us take food to go to the next level.” Despite the roadworks, the store is still performing solidly with impulse sales in great shape and alcohol sales still growing – but it’s Christmas that is getting Ricky and Karen really excited. “After a challenging year we can’t wait to get a free run at Christmas and hopefully really build on all the work we’ve done this year,” concludes Ricky. “Coping with challenges is just part of the job and, working with Premier, we’ve built a great platform for big growth in the future. Bring it on!” OCTOBER 2018 TalkingShop
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STORE PROFILE | Torquay
Store CV:
Name: Premier Family Store, Torquay Retailer: Steve Palmer Time as a retailer: 5 years Time with Premier: 5 years Stores in chain: 3 Size: 780sq ft Staff: 8 Services: licensed, PayPoint, Collect+, Lottery, ATM, Jack’s Beans coffee machine, Country Choice hot food, store-made filled rolls and sandwiches Nearest competition: Best one and Tesco Express ¼ mile away Trading hours: 7.30-11pm Mon to Sat; 8am – 10.30pm Sun
Making money
till the cows come home!
Farmer and retailer Steve Palmer combines running a huge beef farm with running three Premier stores in the Torbay area. Talking Shop visited his newest store to see a flourishing business. 24 TalkingShop
OCTOBER 2018
T
here can’t be many Premier retailers who are also farmers, but Torquay retailer Steve Palmer is one of them. As if managing a huge beef farm wasn’t enough of a workload, Steve decided with a friend in 2013 that they would buy a store in the picturesque town of Tiverton in south Devon. “We bought the store and were growing it nicely but my partner decided by the end of the year that he couldn’t cope with the long hours so left the business, which was a blow. But there was a silver lining. During the year I got to know Stuart Park,
IN IT TOGETHER: Steve says that it’s his team that makes the store work so well.
the store manager we ‘inherited’ when we bought the store and we decided that we would make a good team and that we could make a go of a retail business.” That was in early 2014 and by December 2017 Steve had acquired three more stores and sold one. “I bought stores in 2014, 2016 and 2017 and late last year I sold the original store in Tiverton, mainly because it was 40 miles from the other three stores and was just too difficult to manage from that distance.” All three stores are now in the Torbay area and all three are with Premier. The Torquay store, the subject of this profile,
FILL IT UP: Steve has recently started preparing filled rolls and baguettes in-store.
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
50%
increase in sales
CHILLED OFFER: New refrigeration has been added to allow Steve to chill all beers, wines and spirits.
underwent a full-scale refit in early 2017, not long after Steve acquired it. He explains: “It was very tired and needed a lot of work. It had become what I would call a ‘last resort’ store as all it really sold was tobacco and alcohol. We needed a full refit to allow us the scope to add and grow categories that we knew would be vital in turning the store into a modern, vibrant Premier.” More recently, Steve has added more chilled space, taking the total to 15m of refrigeration – a considerable amount in a 780sq ft store. “The refit was successful in turning the store into one where our shoppers could find everything they need but it was becoming clear that we needed more chilled space to let us develop categories food to go, fresh, milk and like beers, wines and ciders,” he says. Steve also added a Jack’s Beans coffee machine and a Country Choice hot food offer to the store and believes that he store’s product and services range is now in line with what his shoppers expect of their Premier store. That belief is borne out by the fact that sales have increased by 50% since all the work was completed. “We like to think that our
range means that shoppers can find everything they want when they visit,” he explains. The latest development has been the creation of a dedicated kitchen within the store that produces fresh filled sandwiches and rolls every day for all three stores. Steve explains: “We sold a lot of prepack sandwiches but I wanted to have more control over quality and price by doing the rolls and sandwiches ourself. The new range is a bit more more expensive but the quality is vastly better. We’re already selling around 750 units a week and have plans to triple that.” Also new is a range of burgers and hot filled rolls and that is growing rapidly as well. Shortly, Steve and Stuart plan to start packing and selling their own cakes and doughnuts. The beating heart of the store however is undoubtedly the staff, concludes Steve. “With a great team, we’re made. And we have great teams in all three stores. They’re the guys that make the dream come true and I couldn’t have done it without them.” It’s a far cry from the ‘last resort’ store that Steve bought and shows just what passion, commitment and a desire to truly understand the shopper can do for a store.
GOOD TO GO: New coffee and hot food offers have been hugely popular.
FRESH OFFER: Fresh fruit and veg have been added.
IMPULSE VIEW: The tillpoint tempts shoppers.
ALL FOR ONE: Team work makes the dream work, believes Steve!
NEW LIFE: The refit has transformed a tired business into a modern, bright Premier store.
OCTOBER 2018 TalkingShop
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FEATURE | Christmas Confectionery & Essentials
Get in early to cash in on
Christmas!
The festive period may still be a couple of months away but the time to start cranking up the preparations for a profitable Christmas and New Year is now.
C
hristmas is a wonderful time of year for shoppers and it’s a period when they can be a little more carefree with their spending as they gear up to enjoy a break with family and friends. This presents many opportunities for retailers to cash in on increased footfall and basket spend – but it means being ready with your festive offer early. When it comes to Christmas, there’s one category that truly has the potential to drive huge sales and profit increases for Premier retailers: confectionery. Two statistics should help highlight the main areas to focus on: firstly, 80% of all Christmas confectionery sales are accounted for by the top sellers [Kantar Worldpanel, Dec 2017]. Secondly, 68% of sales come
from ‘Gifting & Sharing’ [IRI, Dec 2017]. So, make sure you have a great range of top products that shoppers can buy as presents or to share.
1. GET OFF TO A FAST START The number one priority is to get a fast start by stocking up early. Shoppers expect to find Christmas lines earlier and earlier every year, so start planning the range and getting it out onto the shopfloor immediately. Set up your main fixture now with a range of cartons and pouches to prompt early gifting and sharing. A few lines of everyday and premium gifting will also help.
2. BUILD MOMENTUM
As we progress through November, it’s time to begin stocking up on a bigger range of more traditional lines, particularly sharing novelties, bag and
RETAILER VIEW PRIYANK MODI Premier Hambledon Road, Waterlooville “Christmas is a brilliant opportunity for Premier retailers to really build sales and profits because shoppers are coming into the store looking to spend a bit more on themselves and others. Premium lines are brilliant for helping them do that, and bigger format lines are also ideal. We try to add a bit of excitement with POS and in-store theatre because happy shoppers spend more! I think shoppers tend to start planning for Christmas earlier and earlier so retailers should be ready to capitalise on that.”
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CONFECTIONERY MEGA DEALS!! PREMIER HAS ARRANGED TWO FANTASTIC CONFECTIONERY MEGA DEALS FOR PERIODS 9 AND 10 IN THE RUN UP TO CHRISTMAS: PERIOD 9 (PRICES ONLY AVAILABLE FOR THIS PERIOD) Quality Street Matchmakers Mint Case size:10x120g WSP £7.00 RSP: £2.99 Deal: £1.00 Quality Street Matchmakers Orange Case size:10x120g WSP £7.00 RSP: £2.99 Deal: £1.00 Quality Street Matchmakers Salted Caramel Case size:10x120g WSP £7.00 RSP: £2.99 Deal: £1.00 PERIOD 10 (PRICES ONLY AVAILABLE FOR THIS PERIOD) Dairy Box Deluxe Case size: 8x400g WSP £19.80 RSP: £6.00 Deal: £3.50
SHOPPING LIST – CHRISTMAS CONFECTIONERY TALKING SHOP RECOMMENDS THE FOLLOWING PRODUCTS ON AMAZING DEALS FOR PREMIER RETAILERS TO HELP SHOPPERS MAKE THE MOST OF THE FESTIVE PERIOD: Thorntons Classic Collection Case size: 5x248g £15.59 RSP: £7.00 Deal: £4.99 Thorntons Continental Case size: 6x 142g WSP: £16.79 RSP: £6.00 Deal: £4.49 Rocher T16 (5x4) Case size: 20x200g WSP: £53.00 RSP: £5.39 Deal: £3.99 Rocher T24 Case size: 6x300g WSP: £27.99 RSP: £8.75 Deal: £7.49 Raffaello T15 (NEW) Case size: 6x150g WSP: £13.49 RSP: £4.39 Deal: £3.39
THE KEY 5 CONFECTIONERY OPPORTUNITIES Try to ensure you stock a good selection of product formats and sizes to cater for every taste and occasion. That means having a good range of the following options:
1 GIFT TO SHARE l Cartons are a great option to ‘signal’ early gifting and get shoppers into the Christmas gifting mindset. l 43% of cartons are purchased as a gift. 2 SHARING NOVELTY l Focus in growing sharing opportunities with a higher price per pack. 3 TRADITIONAL CHRISTMAS l Advent calendars and Selection Boxes build the seasonal momentum. l Advent Calendars are growing 24% in convenience. 4 PREMIUM GIFTING l Premium gifts drive spend per head by trading shoppers up from ‘everyday’. l Premium gifting is growing by 70% in convenience. l Confectionery crackers are worth an incremental £1.2m to the category.
5 SEASONAL SHARING
l Larger formats offer great value and big basket spends. l These formats account for 10% of all Christmas sales. l Tines are growing by 6%. [Source: Mondelez International]
Kinder small hollow Santa Case size: 12x75g WSP: £14.00 RSP: £2.69 Deal: £2.00 Ferrero Grand Rocher (NEW) Case size: 8x125g WSP: £17.39 RSP: £5.59 Deal: £3.49 Quality Street Tub (NEW) Case size: 1x720g WSP: £3.45 RSP: £8.49 Deal: £5.00 Quality Street Pouch (NEW) Case size: 8x500g WSP: £16.99 RSP: £4.99 Deal: £3.00 Smarties Orange Giant Tube (NEW) Case size: 15x130g WSP: £10.00 RSP: £1.39 Deal: £1.00 Milkybar / Caramac Buttons giant tubes Case size: 15x100g WSP: £10.00 RSP: £1.39 Deal: £1.00 After Eight Carton Case size: 18x300g WSP: £24.00 RSP: £4.00 Deal: £2.00 Quality Street large carton Case size: 6x265g WSP: £7.99 RSP: £3.00 Deal: £2.29 Dairy Box Small carton Case size: 8x180g WSP: £15.89 RSP: £3.39 Deal: £3.00 Malteaser Selection Pack (NEW) Case size: 12x92.5g WSP: £7.99 RSP: £1.39 Deal: £1.00 Galaxy Large Selection Box Case size: 8x246g WSP: £13.29 RSP: £4.29 Deal: £3.00 Galaxy Advent Calendar Case size: 11x110g WSP: £11.00 RSP: £2.79 Deal: £2.00 Celebrations tub Case size: 1x680g WSP: £3.45 RSP: £10.99 Deal: £5.00 Maltesers box Case size: 16x100g WSP: £10.59 RSP: £1.90 Deal: £1.00 Maltesers Truffles (New) Case size: 4x200g WSP: £9.29 RSP: £4.99 Deal: £3.49 Cadbury Small Selection Pack (New) Case size: 24x95g WSP: £15.99 RSP: £1.49 Deal: £1.00 Terry’s chocolate orange Case size: 12x157g WSP: £11.49 RSP: £3.49 Deal: £1.49 Heroes / Roses large carton Case size: 6x290g WSP: £11.79 RSP: £4.59 Deal: £2.99 Milk tray medium box Case size: 6x360g WSP: £17.89 RSP: £8.49 Deal: £4.99 Cadbury dairy milk hollow santa Case size: 8x100g WSP: £9.29 RSP: £2.99 Deal: £2.00 Cadbury Advent Calender (NEW) Case size: 12x90g WSP: £15.99 RSP: £2.09 Deal: £2.00 Lindor Cornet Mint (NEW) Case size: 8x200g WSP: £20.49 RSP: £5.49 Deal: £3.99 Elizabeth Shaw Dark Mint Crisp Case size: 8x175g WSP: £12.50 RSP: £3.99 Deal: £2.50
OCTOBER 2018 TalkingShop
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What are your views? Call 0141 222 5380 or email talkingshop@55north.com
£44bn
The total value of Christmas. That’s bigger than Easter, Valentine’s Day and Mother’s day combined! [Mintel, Dec 2017]
£101m
The value of Christmas confectionery in 2017. [Kantar Worldpanel, Dec 2017]
80%
Sales accounted for by the top sellers. [Kantar Worldpanel, Dec 2017]
68%
Sales that come from ‘Gifting & Sharing’. [IRI, Dec 2017]
No 1
Seasonal chocolate is the number one impulse buy at Christmas. [Kantar Worldpanel, Dec 2017]
>50%
Shoppers who purchase on impulse at Christmas. [IGD, 2016]
40%
Shoppers more inclined to try a new product at Christmas. [IGD, 2016]
MAKE CHRISTMAS SPECIAL! Talking Shop offers the following great tips to help make sure you make the most of a vital sales period: l Stock your Christmas goodies early so your shoppers know they’re available right through the festive period. l Stack displays are great for highlighting your best deals. l Ensure you have the widest possible promotional offer for your shoppers. l Encourage staff to dress up and get in the Christmas spirit and ensure you use all POS to create that theatre in-store. l Dual site promotions for maximum impact. l Complete your presell to make sure you’re guaranteed the stock you need and order extra leaflets for distributing in the local area. l Review your opening times, is this an opportunity to open later and gain more sales. l Give your premises a spruce up – you want your store to be looking its absolute best! l Offer great customer service as always. l Make use of social media to communicate your offers to shoppers consistently. l Why not run a Christmas competition to drive engagement with your local community?
block lines. Many products bought early are ‘for me’ but the later in the season we get the more this turns into a ‘for us’ and then a ‘for you’ opportunity as shoppers embrace sharing and gifting.
3. FINISH WITH A FESTIVE FLOURISH
As we move through December, shoppers are now actively planning for Christmas so availability and visibility is key. This is a great time to put some in-store theatre to work and to add in secondary and tertiary sitings of festive confectionery around the store. Advent Calendars are a must at this time. Not only are they on-trend and in growth, they also tend to offer higher PORs. As Christmas approaches the focus shifts firmly to sharing and gifting and are often looking for more premium lines to trade up to. Making a big deal out of Christmas, in every conceivable way, is the key to unlocking big sales so use all of your POS, encourage your staff to wear their best Christmas jumpers and use as much instore theatre as possible to create excitement among your shoppers. Xxx/xxx 2018 TalkingShop
29
What are your views? Call 0141 222 5380 or email talkingshop@55north.com You could try the following tips: l Use social media to communicate some of that Christmas excitement. l Organise a competition or even a festive event such as carol singers in your store. l Order extra promotional leaflets to target a wider audience than usual. l Consider extending your opening hours as a way of gaining even more sales. l Use floor stacks as an arresting, eye catching feature, particularly on promoted lines. And of course, don’t forget the basics: make sure your store looks clean, bright and attractive and redouble you and your team’s efforts to deliver the outstanding customer service that Premier stores are renowned for. CHRISTMAS FAVOURITES Confectionery doesn’t have a monopoly on festive sales however as shoppers will be on the lookout for a whole array of products that make Christmas special for them. Steve Kelly, Convenience Channel Director at Premier Foods, advises: “The festive season presents retailers a fantastic opportunity to drive sales of branded products which shoppers rely on at Christmas. The rise of top-up shopping in the convenience channel, especially around Christmas, means that brands such as Bisto, Oxo, Paxo, McDougalls, Ambrosia and Bird’s – all synonymous with Christmas – are perfectly placed to help increase basket spend.” Premier’s Core In Every Store list is the ideal reference point when
MERCHANDISING ADVICE
building your range and covers all of the key sauces, dressings, stock cubes, flours and desserts that you will need. These little items can help increase footfall, sales and profits at Christmas - and remember that it’s not just the traditional Christmas Day dinner that shoppers are preparing for. Families will be cooking up hearty, comforting meals all the way through the build up to the big day and into the New Year. Classics like Bisto Favourite Gravy and Bisto Chicken Gravy are the perfect partner for celebratory meals while Paxo Sage & Onion Stuffing is a firm favourite with families for the traditional Christmas dinner. Christmas is also a time for shoppers to treat themselves at the end of a meal, whether that’s through home-made cakes, biscuits and desserts, ready to serve items that minimise the fuss or half way houses like Bird’s Strawberry Trifle Mix which makes it quick and easy for shoppers to make the traditional dessert of custard, jelly and topping. Why not set-up a one-stop, seasonal, end-of-aisle fixture to display all of your Christmas ingredients meal solutions from trusted brands? That way you could inspire your shoppers to increase their basket spend.
SHOPPING LIST – CHRISTMAS FOOD TALKING SHOP RECOMMENDS THE FOLLOWING LIST AS A GREAT PLACE TO START WHEN BUILDING A COMPREHENSIVE FESTIVE FOOD RANGE: HS Crm Horseradish Sauce PM85 Case size: 6x180g WSP: £3.29 RSP: £0.85 POR: 35.5% HS English Mustard PM85 Case size: 6x185g WSP: £3.29 RSP: £0.85 POR: 35.5% HS Mint Sauce PM85 Case size: 6x175g WSP: £3.29 RSP: £0.85 POR: 35.5% HS Tartare Sauce PM85 180g 6x180g WSP: £3.29 RSP: £0.85 POR: 35.5% Colmans Sauce Bramley Apple Case size: 8x155g WSP: £5.99 RSP: £1.19 POR: 37.1% Colmans Sauce Classic Mint Case size: 8x165g WSP: £5.99 RSP: £1.19 POR: 37.1% Colmans Sayce Horseradish Case size: 8x136g WSP: £5.99 RSP: £1.19 POR: 37.1% Colmans Sce Cranberry Case size: 8 WSP: £5.99 RSP: £1.19 POR: 37.1% Colmans Mustard English Case size: 8x100g WSP: £7.99 RSP: £1.55 POR: 35.6% Hellmanns Mayonnaise Light PM219 Case size: 6x400g WSP: £10.29 RSP: £2.19 POR: 21.7% Hellmanns Mayonnaise Real PM219 Case size: 6x400g WSP: £10.29 RSP: £2.19 POR: 21.7% Paxo Sage & Onion Stuffing PM139 Case size: 8x170g WSP: £8.49 RSP: £1.39 POR: 23.7% Oxo Cubes Chicken 12s Case size: 12x12x71g WSP: £11.79 RSP: £1.49 POR: 34.0% Oxo Cubes Red Beef 12s Case size: 12x12x71g WSP: £11.79 RSP: £1.49 POR: 34.0% Oxo Cubes Vegetable Stock 12s Case size: 12x12x71g WSP: £11.79 RSP: £1.49 POR: 34.0% Ambrosia Devon Custard PM100 Case size: 12x400g WSP: £8.99 RSP: £1.00 POR: 25.1% Bisto Gravy Grnules Favourite PM149 Case size: 12x170g WSP: £12.89 RSP: £1.49 POR: 27.9% Birds Custard Powder PM119 Case size: 6x300g WSP: £5.49 RSP: £1.19 POR: 23.1% HS Flour Plain PM75 Case size: 8x1kg WSP: £4.09 RSP: £0.75 POR: 31.8% HS Flour Self Raising PM75 Case size: 8x1kg WSP: £4.09 RSP: £0.75 POR: 31.8%
Premier Foods offers the following tips to help drive festive sales: l Use secondary siting and create a Christmas display with key products like Oxo Chicken Stock Cubes or Bisto l Drive interest in your Christmas display by advertising a shopper competition on the fixture – give your customers the chance to win a selection of festive goodies l Remember cross category promotions can increase basket spend. Why not try housing wine recommendations alongside all the components shoppers would need for a roast dinner? l Consider a complete meal solution by stocking ambient items such as gravy, stuffing and custard as part of one display. l Stock price-marked packs from popular brands, such as the £1 can of Ambrosia, to help drive impulse purchases. l Use social media to promote any deals or offers you are running over the festive season.
Xxx/xxx 2018 TalkingShop
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A RE YOU S TO CKING THE UK ’ S BE S T-SE LLING FRUIT CIDER BRAND?
STOCK UP NOW IRI, Total Market – Single bottle fruit cider category, Value Sales, MAT IRI 12.08.18. Cider case size: 15x500ml. Now available in Booker & Makro. While stocks last.
Christmas Alcohol | FEATURE
Here’s to amazing Christmas drinks profits!
With a huge selection of fantastic exclusive alcohol deals available, Premier retailers have everything they need to make sure that they maximise footfall, sales and profits over the next couple of months. OCTOBER 2018 TalkingShop
33
FEATURE | Christmas Alcohol
F
or many shoppers, Christmas is the perfect time to settle down with a few drinks with friends and family, either to relax and chill out or to get the party started. Either way, the festive period brings a great opportunity for Premier retailers to make more of the alcoholic drinks category. Maximising sales of alcoholic drinks in the run up to Christmas can be the difference between a great festive period and a fantastic one. The key to unlocking this opportunity and making the very best of it over the next couple of months is to focus on the premium brands and the lines that deliver the best profits. Many shoppers loosen their purse strings and trade up to premium products during Christmas and New Year, offering a great chance to boost basket spend, footfall, sales and profits for retailers.
START AT THE BEGINNING
The best place to start when building a profit-boosting range this Christmas is with Premier’s outrageously good selection of exclusive festive wine promotions on lines that are sure-fire winners this November and December. Detailed on the panel on p37, this heavily discounted range covers wines everything from Canti and Freixenet Proseccos to
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mulled wine, port, sherry and even the ultimate festive tipple, Moet & Chandon Champagne. Not only does the range feature the best known and most loved brands in the business, it also offers Premier retailers exclusively discounted WSPs which helps boost POR while also ensuring amazing deals for shoppers. Take the Freixenet Prosecco DOC: the standard WSP is £47.99 a case, yet Premier retailers can buy a case for just £39.99, a whopping saving of £8 a case. This allows retailers to sell each bottle for under £10 and still make a POR of 20%. The majority of the other deals also deliver over 20% POR while allowing retailers to build a promotional offer to their shoppers that is second to none. For shoppers looking for something truly special this Christmas, Premier’s deal on Moet & Chandon Brut Imperial NV is just the trick. The WSP has been slashed from £161.99 a case to just £125.94! This lets retailers offer the bottle at just £27.99 to shoppers while still making a POR in excess of 10%.
IN THE SPIRIT
It’s impossible to over-emphasise the importance of the festive period to sales of spirits in convenience stores. Over 30% of
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
RETAILER VIEW JATINDER SINGH PUNIAN Premier Victoria Dock, Hull “Christmas is all about getting the simple things right when it comes to alcohol. A good core range of mainstream products will deliver the volume, especially if you have room to use floor stacks and have a big display. Then you can use premium lines to drive margins as lots of shoppers like to trade up at Christmas whether it’s for a treat for themselves, or a gift for someone else. Then you have to make sure you’re staying on top of the latest trends. Gin and craft beers are the two most obvious ones at the moment but we also do really well on high end wines so I’m hoping we see decent sales of those over the next couple of months.”
annual alcohol sales take place in just the 12 weeks over the festive period [Nielsen Scantrack, Dec 17]. An even higher percentage – 34% – of malt whisky sales occur over that same period while an astonishing 48% of liqueur sales are made over the festive period. Baileys in particular remains a festive best-seller and last year Bailey’s Original was the 4th biggest selling spirits brand over the Christmas period, accounting for around 7% of total spirit sales. Establishing a great range of spirits and liqueurs that is well presented and highly visible in-store is vital for maximising sales and profits.
SIZE MATTERS
VISIBILITY RULES: High visibility stacks of larger packs increase visibility and backet spend.
When building your spirits range for the festive period, remember that offering smaller pack sizes can be vital in driving impulse sales, particularly when it comes to gifting. Around 22% of spirits shoppers in convenience stores say that smaller pack format options are the most important factor to them when selecting products in store [HIM CTP 2017]. With that in mind it makes sense to offer a range of fractionals and miniatures to grow festive sales. They don’t take up much space on shelf but can deliver excellent PORs and great sales - particularly from shoppers who don’t want to buy a full bottle. Xxx/xxx 2018 TalkingShop
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THREE DISTINCT WOODS S M O O T H E R TA S T E New name. New look. Our smooth, rich, mellow whisky is the fastest growing Scotch in the off-trade*.
*+7.4% MAT (NIELSEN SCANTRACK TO 11.08.2018)
What are your views? Call 0141 222 5380 or email talkingshop@55north.com
PREMIUM LINES
Another key factor in maximising festive profits is offering a strong range of premium products. Premium spirits continue to demonstrate a strong performance accounting for 84% of total spirits growth in the last year as shoppers look to treat themselves and impress their guests. Approximately two in five premium spirits are purchased over the 12 weeks of Christmas so now is the time to ensure that your premium range is in great shape. As well as permanent winter favourite Baileys, Premier retailers should also consider making a focus of gin which is still the most ‘on-trend’ of the spirits. Gordon’s Pink Gin is worth stocking as is the original Gordon’s gin.
GET REAL: Real ales and craft beers are in growth and can help boost festive sales.
SHOPPING LIST – CHRISTMAS SPECIALS!
MERCHANDISE WELL
To maximise premium spirits sales, retailers should follow some simple, best practice merchandising guidelines. l Premium spirits should be sited on the top shelf to maximise impact. l Use big brands on that shelf will also act as a ‘beacon’ for shoppers, making it easier for them to find the fixture and l Group products by subcategory, then brand, then size. l Last but not least, site products moving from light spirits at one end of the shelf to dark at the other.
more multipacks to your order around this time. Licensing laws permitting, creating impactful stacks of larger format packs will help unlock big basket spends by driving impulse buys as Christmas approaches.
BEER, CIDER & CRAFT
GRAPE EXPECTATIONS
It’s not just in spirits and liqueurs that premiumisation is the driving force. Shoppers are also increasingly trading up when it comes to beers and ciders so make sure that your fixture reflects that fact this festive period. But while premium is the key to growth, don’t lose sight of the fact that standard, mainstream beers and ciders still account for the bulk of sales. One other area certainly worth considering if you don’t already stock them is craft beers. Demand continues to grow, particularly for locally and regionally sourced beers so it might be a good time to introduce a few more options over the next month or two.
THINK BIG
Big pack formats come into their own at this time of year so it is wise to add a few
Booker’s EDLP wine range is a great tool for growing your wine sales and profits this year. With many shoppers looking for great value and great prices at an expensive time of year, the EDLP range offers great value pricing on great quality wines from a range of hugely popular brands like Hardys, Secretary Bird, Shy Pig, I Heart, Isla Negra and Distant Vines. With a price point to meet every shopper need, from Distant Vines at just £4 a bottle to Secretary Bird at £6, the expanded range caters for all tastes and will help deliver more sales and more profits for Premier retailers this Christmas and New Year.
TALKING SHOP RECOMMENDS THE FOLLOWING SPECIALLY PROMOTED LINES OVER THE FESTIVE PERIOD: Canti Prosecco Brut Case size: 6x75cl Normal WSP: £38.49 Premier WSP: £33.75 Deal: £7.50 POR: 10.00% Freixenet Prosecco DOC Case size: 6x75cl Normal WSP: £47.99 Premier WSP: £39.99 Deal: £9.99 POR: 19.94% Harvest Fruits Mulled Wine Case size: 6x70cl Normal WSP: £15.99 Premier WSP: £11.99 Deal: £3.00 POR: 20.07% Bucks Fizz Case size: 6x75cl Normal WSP: £13.49 Premier WSP: £10.49 Deal: £2.75 POR: 23.71% Moet Brut Imperial NV Case size: 6x75cl Normal WSP: £161.99 Premier WSP: £125.94 Deal: £27.99 POR: 10.01% Croft Triple Crown Port Case size: 6x75cl Normal WSP: £45.29 Premier WSP: £38.99 Deal: £9.79 POR: 20.35% Harveys Bristol Cream Sherry Case size: 6x75cl Normal WSP: £49.49 Premier WSP: £38.99 Deal: £9.79 POR: 20.35%
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To purchase these products now, visit www.booker.co.uk
Ones to
watch
A selection of key products that will deliver for you in-store
Bangers and cash! WHAT? DISCOVER THE CHOICE SAUSAGES WHEN? AVAILABLE NOW WHY? Following the hugely successful brand change on the beef and lamb meat lines earlier this year, the Farm Fresh retail packs of Pork, Cumberland and Lincolnshire sausages have been moved out of the Farm Fresh brand and into the growing Discover the Choice brand. The sausages are still made with Red Tractor assured British pork and have the same great taste and competitive retail price of £1.99 but the packaging has been completely revamped and modernised. WHO? The new pack features inspiring photography and a transparent window so shoppers can see the top quality product through the parchment film, in line with modern packaging trends. This will help broaden the appeal of the products to a wider audience, while the prominent and great value price mark will bring new shoppers into the category. WHERE TO STOCK? The lines should be stocked within the chilled food cabinet, alongside other raw meat products where the revamped packaging will drive rate of sale and the fantastic quality of the product will encourage repeat purchase. DISCOVER THE CHOICE PORK, CUMBERLAND AND LINCOLNSHIRE SAUSAGES CASE SIZE: 6X454G WSP: £8.95 RSP: £1.99 POR: 25% OCTOBER 2018 TalkingShop
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To purchase these products now, visit www.booker.co.uk
Water great idea! WHAT? CANO SPRING WATER CAN AND RADNOR HILLS SPRING WATER CARTON WHEN? AVAILABLE NOW WHY? With many shoppers embracing a shift away from plastic, alternative packaging materials have started to grow in popularity in independent retailing. To cater for this market and capitalise on fresh opportunities as well as growing their own environmental credentials, Premier retailers now have the chance to stock two innovative non-plastic water lines. CanO Spring Water is available in a striking metal can while Radnor Hills Spring Water is available in a tetra carton.
WHO? Consumer demand for non-plastic packaging is growing fast and these two lines will allow retailers to meet that demand. Not only are the two lines free of plastic, they are also 100% recyclable and will appeal strongly to environmentallyconscious shoppers. WHERE TO STOCK? The products should be stocked within the chiller where the striking packaging formats and designs will help draw attention and generate extra sales and profits in a key category. CANO SPRING WATER CAN CASE SIZE: 24X330ML WSP: £9.99 RSP: £0.99 POR: 49.54% RADNOR HILLS SPRING WATER CARTON CASE SIZE: 24X250ML
WHEN? AVAILABLE NOW WHY? The original and still the biggest brand in energy, Red Bull is a must stock line for all Premier stores. The brand is capitalising on evolving shopper tastes with an expanded range of sugarfree variants, including two pricemarked options that will help Premier retailers grow sales in the increasingly important low and no sugar soft drinks category. The Red Bull Sugarfree 355ml can is available price-marked at £1.49 while the larger 473ml Sugarfree can is price-marked at £1.85. WHO? The core Red Bull can is the biggest selling SKU in the entire soft drinks category and the sugarfree variants are helping the brand grow sales even further
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WHAT? FREIXENET PROSECCO WHEN? AVAILABLE NOW WHY? Sparkling wine continues to grow strongly with year-on-year sales increases of 6% and the undoubted star of the show is Prosecco which now accounts for 81% of all sparkling wine sales. Presented in a striking cut-glass bottle, Freixenet Prosecco combines a premium quality wine from a highly respected brand with an exceptionally eye-catching presentation that is sure to grow sales. Using its extensive sparkling winemaking expertise, Freixenet has created a standout, high quality and stylish wine that is the perfect for any occasion. It will also be running on a special Christmas promotion with a WSP of £39.99 at a POR of 30.4%.
WSP: £5.79 RSP: £0.60 POR: 51.75%
Keep them sweet WHAT? RED BULL SUGARFREE PMPS
Sparkling sales
as more and more shoppers seek out functional drinks that provide the energy boost they need but without the sugar. The pricemarked cans offer great value to shoppers and are sure to bring new shoppers into an already huge category. WHERE TO STOCK? The new lines should be stocked in the energy drinks section of the chiller alongside other Red Bull variants where the prominent price marks will help drive footfall, sales and profits.
WHO? Made from the finest Glera grapes in Italy’s Prosecco region of Veneto, Freixenet Prosecco is a distinctive and premium quality wine that will appeal to a wide range of shoppers for a wide range of occasions. WHERE TO STOCK? To maximise sales and capitalise on the striking design, it is recommended that retailers stock the wine in the chiller alongside other sparkling wines and Champagnes. FREIXENET
RED BULL SUGARFREE PM£1.49
PROSECCO
CASE SIZE: 12X355ML
CASE SIZE: 6
WSP: £10.99 RSP: £1.49
x 70cl WSP:
POR: 26.24%
£47.99 RSP: £11.49
RED BULL SUGARFREE PM£1.85 CASE SIZE: 12X473ML WSP: £13.65 RSP: £1.85 POR: 26.21%
POR: 16.5%
To purchase these products now, visit www.booker.co.uk
Westons has the bottle
Blending in
WHAT? HENRY WESTONS OAK AGED VINTAGE CIDER
WHAT? 19 CRIMES RED BLEND
WHEN? AVAILABLE NOW
WHEN? AVAILABLE NOW
WHY? As the number one glass bottled apple cider in the off trade, Henry Westons Vintage Cider is a must-stock line for Premier retailers. Crafted only from apples grown in a single year’s harvest from the three counties of Herefordshire, Gloucestershire and Worcestershire, the cider is slowly matured in aged oak vats for a smooth and rounded cider.
WHY? A premium blend of Australian Shiraz, Cabernet Sauvignon and Grenache, the 2016 blend from 19 Crimes is aged in American oak and is sure to expand the popularity of the brand. Named after the list of 19 crimes that saw convicts from the UK transported to penal colonies in Australia, the brand has become popular with younger wine drinkers, thanks in part to innovative augmented reality labels which can be scanned using the 19 Crimes app to allow shoppers to hear the historical stories direct from ‘The Infamous’ characters featured on each label.
WHO? Regularly purchased by over 700,000 households a year, the cider is actively sought out by many shoppers and will help drive footfall. Continued investment into TV advertising by the brand has broadened the shopper base which includes younger drinkers as well as the discerning traditional cider drinker. WHERE TO STOCK? The brand should be stocked prominently within the Beer & Cider section within the chiller, notably in the bottled cider section. It will appeal to shoppers looking for a high quality, authentic apple cider that is more premium than the likes of Bulmers and Magners. With an RSP of £2.49 for a 500ml bottle, it will deliver 36.9% POR. Premier customers will enjoy a further case cost saving, so the POR actually achieved through that channel is even higher. Weston’s Vintage is also in the very successful “3 for £5” bottled cider deal in Premier. The vintage is the No1 performer in that basket, delivering the highest cash sales & volume, so if you are a Premier retailer, please make sure you stock this product prominently within that deal and display all relevant promotional point of sale.”
WHO? The bold style of the wine will appeal to all red wine shoppers while the eye-catching packaging and interactive label will attract younger shoppers. At £8.99 a bottle, the wine delivers strong PORs of 26.6%. WHERE TO STOCK? Stock the wine prominently at eye level within the red wine fixture and use POS to highlight the augmented reality labels. Encourage staff to talk about the labels to your shoppers too. 19 CRIMES RED BLEND CASE SIZE: 6x75cl WSP: £32.99
HENRY WESTONS OAK AGED VINTAGE CIDER
RSP: £8.99 POR: 26.6%
Case size: 8X500ML WSP: £10.49 RSP: £2.49 POR: 36.9%
Canned profits WHAT? STOWFORD PRESS CANS 500ML PMP 4-PACK WHEN? AVAILABLE NOW WHY? The can format is now a crucial driver of mainstream cider, worth £604m and growing at 12.4% according to IRI data from July this year. The Stowford Press canned range is growing ahead of the market at 65.2% by value in the latest 12 weeks (and 102% in convenience). WHO? Price marked at £4.49 and delivering 26.6% POR, Stowford Press’s 4-pack is an award-winning cider that attracts a more premium shopper and will help grow footfall and sales in Premier stores. WHERE TO STOCK? The 4-pack should be stocked in the cider section of the chiller where the brand will bring more shoppers into the category. STOWFORD PRESS CANS PMP 4-PACK Case size: 6 X 4 X 500ML WSP: £16.49 RSP: £4.49 PM POR: 26.6%
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£1 RSP WITH
30% POR 1.4l
CLAIM YOUR
FREE CASE
FOR PREMIER MEMBERS
• NO.1 MILK BRAND WORTH £148M† • THE MOST LOYAL SHOPPERS!
*Stays fresh for 7 days opened, and 21 days unopened. Drink before ‘use by’ date. † Nielson data July 2018, 52 & 12 weeks ending 11.08.18. Calcium is needed for the maintenance of normal bones.
• FILTERED MILK DRIVING GROWTH AT +4.1% YOY† • TRADE SHOPPERS UP FROM STANDARD FRESH
PricesDown
FANTASTIC OPPORTUNITIES TO SAVE ON COSTS AND BOOST YOUR PROFITS
Warburtons deal sees prices fall – and profits soar! Premier is helping retailers boost sales and profits with a fantastic new set of deals that sees the price of a range of leading Warburtons bread and bakery lines slashed and PORs boosted to over 30%. Product Warburtons Medium Sliced Bread Warburtons Slice Toast Loaf Warburtons Medium Wholemeal Bread Warburtons Soft White Farmhouse Warburtons Med Sliced White Bread Warburtons Toast Loaf Warburtons Medium Wholemeal Bread Warburtons Danish White 400g Warburtons Fruit Teacakes Warburtons Crumpets
Case size 1 x 800g 1 x 800g 1 x 800g 1 x 800g 1 x 400g 1 x 400g 1 x 400g 1 x 400g 1 X 4’s 1 X 6’s
Old WSP £0.99 £0.99 £1.15 £1.15 £0.79 £0.79 £0.85 £0.85 £0.95 £0.79
New WSP £0.89 £0.89 £0.89 £0.89 £0.59 £0.59 £0.59 £0.59 £0.59 £0.59
T
RSP £1.29 £1.29 £1.29 £1.29 £0.89 £0.89 £0.89 £0.89 £0.89 £0.89
New POR 31% 31% 31% 31% 33% 33% 33% 33% 33% 33%
here are very few categories that drive footfall quite like bread and a new set of lower price deals on key Warburtons bread and bakery lines is set to see profits and sales soar in Premier stores. Many of Warburtons bestselling lines are included in the inbranch deals with WSPs on huge lines like Warburtons Medium Sliced Bread and Warburtons Slice Toast Loaf falling from 99p to 89p while the increasingly popular 400g range of smaller loaves are now available
for the amazing WSP of just 59p, boosting PORs up to a whopping 33%. Similarly, the WSP of Warburtons Fruit Teacakes has been slashed from 95p to just 59p and Warburtons Crumpets are also now available at 59p, down from the standard WSP of 79p. The deals mean that every line listed now offers at least 31% POR, which is excellent news for retailers. Martyn Parkinson, Premier Brand Director, comments: “Bread is a staple category for shoppers and a massive footfall driver for retailers. These new deals mean that retailers are securing over 30% POR on all of the most important and fastestselling Warburtons lines.” * Specially discounted deals on these lines are also available through Central Billimg.
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BetterService IDEAS TO GIVE YOUR BUSINESS THE EDGE
Make more of medicines this winter The colder winter months bring great new opportunities to grow sales in profitable categories like medicines which see a sales spike at this time of year. Talking Shop offers some ideas on how to get more out of medicines this winter.
Ă‚ MORE
OCTOBER 2018 TalkingShop
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ALL SEGMENTS WERE IN GROWTH, WITH SORE THROAT LEADING THE WAY
COLD & FLU
SORE THROAT
£118M +8%
DECON
£93M +11%
E
£85M +4%
very season brings exciting new opportunities to drive footfall, sales and profits and winter is no different. With the colder, wetter days come lots of important new revenue streams with over-the-counter medicines l Consumers traded up in peak being near the top of the winter priorities season last year to more list. premium products as ailments Data Source: Nielsen STD Making the1.9.17-24.3.18 most ofvs YAevery sales got worse therefore the right opportunity all year round is key to range is key. maximising profits so a little thought l ‘Sore throat’ was the fastest and preparation now to build a solid growing category last year medicines range and merchandise it well driven by Strepsils and Jakemans. will go a long way to boosting basket spend and footfall this winter.
RECKITT BENCKISER OFFERS SOME TIPS
l All ailment segments were in growth in 2017/18.
l Impulse locations such as till points are a massive opportunity since only 3 in 10 shoppers walk to healthcare in aisle. l 80% of over-the-counter medicines are bought for immediate use. l ‘Cold & Flu’ over-indexes for immediate use missions making this ideal for impulse locations.
Key Lines
l Lemsip Max Capsules l Lemsip Max Blackcurrant Sachets
l Lemsip Max Lemon Sachets l Nurofen Express Liquid Capsules
l Nurofen for Children l Strepsils Honey & Lemon
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RANGE
COUGH
If your medicines range needs a refresh, the best place to start is by checking that you have the top selling lines in independent retail. To help you analyse your current range and see where there might be room for improvement, we have listed the top 20 selling medicine lines in Premier stores on the right. The range covers both branded and Booker own label products and is a great starting point when building an offer that will meet the vast majority of your shoppers’ requirements over the coming months. Even better, Premier retailers are benefiting from a bespoke selection of POR-boosting promotions on many of these lines. For example, the third biggest selling medicine line of all – Nurofen tablets – are available to Premier retailers at a discounted WSP of £16.09 which is £1.40 cheaper than the standard WSP. This boosts the POR available from 34.61% up to over 40%. Similarly, Rennies Peppermint are available to
£72M +8% Premier retailers at the fantastic WSP of just £14.09 (compared to standard WSP of £16.45), taking the POR from 30% to over 40%. There are even deals on the already exceptional WSPs of Happy Shopper Ibuprofen Caplets, the ninth biggest selling medicine line in Premier stores. The standard WSP of £5.49 has been *Strictly Confidential slashed to just £4.89, boosting PORs from 33.05% to 40.37%. All of the deals highlighted on the panel on this page are available to Premier retailers throughout Periods 8, 9 and 10 (through to 1st Jan, 2019).
MERCHANDISING
To maximise your returns from the medicines category over winter it makes sense to ensure that your extensive range is merchandised effectively in-store to make sure that all shoppers are aware of the great products and prices you can offer. While many retailers choose to stock their medicine lines behind the counter, there is an increasingly strong argument for putting at least some of the range on the shopfloor to increase visibility and allow shoppers to check out your offer at their leisure. This can be a great way of driving up basket spend as shoppers will often decide to pick up an extra product or two, particularly if they suffering from a cold or flu, or have aches and pains that they are actively trying to manage. One way of making these lines visible to customers while simultaneously keeping them under supervision is to have a dedicated fixture somewhere near the tillpoint where staff can still keep an eye on it.
SHOPPING LIST – TOP 20 LINES WHEN BUILDING A SOLID RANGE OF MEDICINES TO MEET THE VAST MAJORITY OF YOUR SHOPPERS’ REQUIREMENTS, THE PLACE TO START IS WITH THE BEST-SELLING LINES. TALKING SHOP LISTS THE TOP 20 LINES IN PREMIER STORES BELOW AND HIGHLIGHTS THE LINES WHERE PREMIER RETAILERS BENEFIT FROM SPECIALLY DISCOUNTED WSPS IN PERIODS 8, 9 AND 10:
Healthcare impulse sales are a massive opportunity
Infant 2+ Months Bottle FitsCalpol in with
Case Size: 6 x100ml WSP: £14.79 RSP: £4.25 POR: 30.40% Happy Shopper Ibuprofen Tablets Case size: 12 x16s WSP: £2.99 RSP: £0.65 POR: 54.00%
Healthcare impulse sales are a massive opportunity
Nurofen Tablets Case size: 12 x12s WSP: £16.09 (Standard WSP £17.59) RSP: £2.69 POR: 40.19% (Standard POR 34.61%)
Fits in with
Low HC footfall
Low stock-up
Low HC
Only 3 in 10 shoppers walk footfall down the Healthcare aisle Only 3 in 10 shoppers walk down the Healthcare aisle
Bring front of mind
Low Immediate Corporate Only 35% of Healthcare 80% of OTC med purchases stock-up use strategies shopping occasions are stock up are for immediate use
Only 35% of Healthcare shopping occasions are stock up
Bring front of mind
Immediate use
80% of OTC med purchases are for immediate use
Trigger purchase
Trigger purchase
Pressure on retailers to remove unhealthy snacks
Happy Shopper Paracetamol Tablets Corporate Case size: 12 x16s WSP: £2.35 RSP: £0.60 POR: 60.83% strategies Imodium Capsules Case size: 6 x 6s WSP: £13.79 RSP: £3.79 POR: 27.23%
Pressure on retailers to Rennies Peppermint remove unhealthy snacks Case size: 12 x 24s WSP: £14.09 (Standard WSP £16.45) RSP: £2.35
Improve UK Health
POR: 40.04% (Standard POR 30.00%)
Nurofen Express Liquid Caps Case size: 6 x10s WSP: £10.15 (Standard WSP £12.35) RSP: £3.39 POR: 40.12% (Standard POR 27.14%)
Improve UK Health
Source: Nielsen 2017, Kantar Worldpanel Shopper Missions June 2017 Happy Shopper Paracetamol Capsules
Source: Nielsen 2017, Kantar Worldpanel Shopper Missions June 2017
Case size: 10 x16s WSP: £4.55 RSP: £1.15 POR: 52.52% Happy Shopper Ibuprofen Caplets Case size: 12 x16s WSP: £4.89 (Standard WSP £5.49) RSP: £0.82 POR: 40.37% (Standard POR 33.05%) Happy Shopper Paracetamol ETS Caplets Case size: 12 x16s WSP: £3.49 RSP: £0.69 POR: 49.42% Calpol Six Plus Bottle Case Size: 6 x 80ml WSP: £14.79 RSP: £4.25 POR: 30.40% Rennies Spearmint Case size: 12 x 24s WSP: £14.09 (Standard WSP £16.45) RSP: £2.35 POR: 40.04% (Standard POR 30.00%) Happy Shopper Paracetamol Extra Tabs Case Size: 10 x16s WSP: £3.75 (Standard WSP £4.25) RSP: £0.75 POR: 40.00% (Standard POR 32.00%) Anadin Extra Case size: 12 x 8s WSP: £11.39 RSP: £1.59 POR: 28.36%
RETAILER VIEW MOIRA DEAN Premier Dundee University “Medicines is one of those strange categories that often gets overlooked but it’s actually a hugely important category, particularly in winter. When shoppers have something wrong like a sore throat or a cold, they’re looking for the most convenient solution which is generally just nipping down to their local store and picking up what they need. “Putting your medicines out on open display can definitely help with visibility and will drive sales. Site them where they can be seen from the till and you can keep a close eye on them.”
Strepsils Honey & Lemon Case size: 6 x 16s WSP: £8.95 (Standard WSP £11.99) RSP: £2.99 POR: 40.13% (Standard POR 19.80%) Anadin Extra Case size: 12 x16s WSP: £19.19 RSP: £2.65 POR: 27.58% Gaviscon Tabs Peppermint Case size: 12 x 8s WSP: £9.89 (Standard WSP £11.45) RSP: £1.65 POR: 40.06% (Standard POR 30.61%) Pro Plus Case size: 8 x 24s WSP: £12.49 RSP: £2.40 POR: 21.94% Lemsip Max Cold & Flu Caps Case size: 6 x 8s WSP: £8.65 (Standard WSP £9.89) RSP: £2.89 POR: 40.14% (Standard POR 31.56%) Lemsip Max Cold & Flu Sachets Case size: 6 x 5s WSP: £11.95 (Standard WSP £14.39) RSP: £3.99 POR: 40.1% (Standard POR 27.87%)
OCTOBER 2018 TalkingShop
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M224312
M224313
M175575
M175572
M175573
23.3% share of single serve in convenience**
Growing at 20% YOY*
NO. 1 Regular Cereal Bar in the Category*
NO ARTIFICIAL FLAVOURS, NO COLOURS, NO PRESERVATIVES. *Nielsen Total Coverage Regular Cereal Bars MAT WE 28.07.18 Value Sales. **Source KantarWP OOH Purchase, 52 w/e Feb 2018.
BetterService IDEAS TO GIVE YOUR BUSINESS THE EDGE
Hot sales in the colder months
STAY WARM: Non-food items like gloves and hats can help build an entirely new revenue stream.
After a great summer of fantastic weather, the colder months of winter bring fresh opportunities to grow footfall, sales and profits in both food and non-food categories.
T
his summer was one of the best in recent memory with endless sunshine and fantastic events like the World Cup, but the end of the sunshine needn’t mean the end of big footfalls, sales and profits. The winter months open up a whole new range of opportunities for Premier retailers in both the food and non-food categories.
FOOD
From soups and baked beans to hot snacks and desserts, the coming months present many chances for retailers to zoom in on the winter shopper with a targeted range, but one thing to remember is that the prevailing shopper
trends will largely stay the same. This means your winter range should be in line with the key shopper megatrends like food to go, meal deals, free-from products, reduced sugar and salt lines and products with generally ‘healthier’ credentials. With 46% of food shoppers stating that they are on a ‘top up’ mission when visiting a convenience store [IGD, June 2016], they will often be looking for recognisable brands such as Bisto, Paxo, Ambrosia and Heinz. Premier Foods says that now is the time of year when shoppers start stocking up on cupboard staples that are essential during the winter months. Shoppers will seek out products that make meal preparation easy but are still packed OCTOBER 2018 TalkingShop
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Wow! 60% POR!
SHOPPING LIST – OTL CLOTHING AVAILABLE THROUGH CENTRAL BILLING, OTL’S RANGE OF TOP-SELLING COLD WEATHER CLOTHING ALLOWS PREMIER RETAILERS TO PROVIDE THEIR SHOPPERS WITH A GREAT RANGE OF POPULAR PRODUCTS WITH EVERY SINGLE LINE DELIVERING 60% POR FOR RETAILERS! Boys Beanie Hat Case size: 24 WSP: £19.20 RSP: £1.99 POR: 60% Boys Gripper Gloves Case size: 24 WSP: £19.20 RSP: £1.99 POR: 60%
with flavour and deliver on quality. But it’s not just about staples; Premier Foods also advises retailers to keep one eye on special treats that can help round off a meal and boost basket spend into the bargain. Top-selling lines like the Ambrosia custard and rice pudding ranges offer shoppers go-to brands for affordable luxury this winter. The impact of the growth of food to go on the winter warmers categories will be huge. Suppliers like Premier Foods and Heinz have added new, more convenient formats to capitalise on that growth. Offering a range of quick meal solutions is the ideal way to provide shoppers with appropriate everyday favourites that fit into
Girls Animal Ear Muffs Case size: 12 WSP: £14.40 RSP: £2.99 POR: 60% Girls Chunky Knit Bobble Hat Case size: 12 WSP: £14.40 RSP: £2.99 POR: 60% Girls Super Soft Feather Gloves Case size: 24 WSP: £19.20 RSP: £1.99 POR: 60% Mens Beanie Hat Case size: 24 WSP: £16.08 RSP: £1.99 POR: 60% Mens Classic Gloves Case size: 24 WSP: £16.08 RSP: £1.99 POR: 60% Ladies Chunky Knit Hat Case size: 12 WSP: £12.00 RSP: £2.99 POR: 60% Ladies Super Soft Feather Gloves Case size: 24 WSP: £16.08 RSP: £1.99 POR: 60%
OTL CAR CARE OTL’S RANGE OF TOP-SELLING CAR CARE ITEMS WILL ENSURE YOU HAVE ALL THE MOST POPULAR ITEMS AVAILABLE FOR YOUR SHOPPERS WITH EVERY LINE DELIVERING BETWEEN 45% AND 52% POR. THE RANGE IS EXCLUSIVELY AVAILABLE THROUGH CENTRAL BILLING. De-Icer Trigger Case Size: 6 x 500ml WSP: £4.08 RSP: £1.49 POR: 45%
GET SMART WITH YOUR FREEZER!
Concentrated Screen Wash Case Size: 6 x 1l WSP: £4.08 RSP: £1.49 POR: 45% Comfort Grip Ice Scraper Case Size: 24 WSP: £14.16 RSP: £1.49 POR: 52%
While ice cream may still sell in winter, the rate of sale will undoubtedly fall so it makes sense to make better use of your impulse freezer to grow footfall, sales and profits.
LED Keychain Lights Case Size: 24 x 2pk WSP: £16.32 RSP: £1.49 POR: 45% Automobile Anti Mist Cloth Case Size: 24 x 5pk WSP: £16.32 RSP: £1.49 POR: 45% Dash Wipes Case Size: 16 x 50pk WSP: £9.44 RSP: £1.49 POR: 52% Woodland Car Air Freshener Case Size: 24 x 4pk WSP: £14.16 RSP: £1.49 POR: 52%
Talking Shop highlights three top tips for success: 1. Reduce space on impulse ice cream while still maintaining a basic offer for shoppers.
COLD WEATHER
GROW FOOTFALL SALES & PROFITS
2. Dual merchandise your frozen meal deal and make use of your free vinyl. 3. Use the additional space to display top sellers such as pizza, chips and ice.
MAKE THE MOST AUTUMN & WINTER IN YOOF UR STORE 26th
Pricing available
September - 12th
March
1
50 TalkingShop
their busy lifestyles. With rice, pasta and noodles continuing to be a popular snack among shoppers, Batchelors Super Noodles and Batchelors Pasta ‘n’ Sauce pots are perfect. These lines are all available in £1.09 PMPs. Also available in plain pack and PMP is Batchelors Cup a Soup, perfect for warming up in the cold. Indeed, for many shoppers, winter weather means increased consumption of one meal: a hearty bowl of soup. Nielsen statistics show that sales of soup rise 4% for every degree drop in temperature. It’s important then to signpost the category and one of the best ways of doing this is using the classic red Heinz Soup cans.
OCTOBER 2018
SHOPPING LIST – CAR CARE & WINTER FUELS TALKING SHOP RECOMMENDS THE FOLLOWING CAR CARE AND WINTER FUEL LINES AT SPECIALLY DISCOUNTED WSPS FOR PREMIER RETAILERS:
WINTER FUEL Kindling Wood Super approx 3kg Case size: 1 X SGL WSP: £3.49 (Standard WSP: £5.29) RSP: £6.99 POR: 40% Kiln Dried Logs approx 10kg Case size: 1 X SGL WSP: £4.99 (Standard WSP £7.49) RSP: £7.99 POR: 25%
Almost 80% of the population buy into the soup category and the average shopper buys almost every month, picking up an average of 2.4 items every time. Around half of total soup sales come from just four lines: Heinz Classic Tomato, Chicken, Vegetable and Mushroom. It makes sense to use these as the core of your soup range and complement them with Booker own brand soups to meet all shopper needs. Heinz is supporting Premier stores with an EDLP 2-for-£1.50 promotion on the Classic 400g range until March 2019, now available in cases of 12. Another important winter sales opportunity is the pasta, noodle and bean meals and accompaniments market which is worth £449m annually [Nielsen], with the average shopper picking up two items on every shop. Almost 90% of the population buy into the category so it’s crucial for retailers to merchandise their grocery offer carefully, with the Core In Every Store range the perfect reference point. Heinz soups are are amongst other great products on offer winter long through Premier’s every day low price promotion including Bisto and Paxo stuffing at only £1.
NON-FOOD
It’s not just food that will offer Premier retailers the opportunity to grow footfall, sales and profits this winter. Non-food items become more important throughout the winter, with products like winter fuels, car care and winter clothing bringing in entirely new revenue streams. Premier retailers have access to a phenomenal range of non-food items in-branch, with many also available through Central Billing, delivering fantastic PORs of up to 60%. Building a good core range of these non-food lines can really help drive incremental sales and boost basket spends by meeting all the specific needs of your shoppers this winter. They can also help drive vital footfall at an important time of year.
Premium Housecoal Case size: 1 X 10KG WSP: £4.29 (Standard WSP £5.29) RSP: £6.99 POR: 36% Happy Shopper Firelighters PM99 Case size: 24 X 15’s WSP: £11.49 RSP: £0.99 POR: 41%
CAR CARE Holts 600ML De-Icer (Top Seller!) Case size: 12 X 600ML WSP: £12.99 (Standard WSP £13.99) RSP: £2.49 POR: 48% FREE FSDU AVAILABLE FROM YOUR RDM Holts Screenwash Concentrated (Top Seller!) Case size: 12 X 1LTR WSP: £8.49 (Standard WSP £9.99) RSP: £1.49 POR: 43% Holts Screenwash Concentrated Case size: 4 X 5LTR WSP: £8.99 (Standard WSP £13.99) RSP: £5.49 POR: 51% Holts Screenwash ReadyTo-Use Case size: 4 X 5LTR WSP: £7.49 (Standard WSP £11.99) RSP: £3.99 POR: 44% Redex Ad Blue Case size 4 X 4LTR WSP: £14.99
OCTOBER 2018 TalkingShop
51
BetterService IDEAS TO GIVE YOUR BUSINESS THE EDGE
Take your coffee offer to the next level! Booker’s new Food To Go solution offers three fantastic coffee solutions for Premier retailers looking to add a coffee machine to their store for the first time, or upgrade their existing machine with a minimum of fuss and cost. OCTOBER 2018 TalkingShop
53
OPTION C
Douwe Egberts Barista One
Cups per day: 55 Potential Annual Net profit:
£12,200 C DOUWE EGBERTS BARISTA ONE
Deal: Lease Minimum RSP per cup: £1.49 Approx cost per cup: 53p Profit per cup: 96p Cups per day (over 6 days): 55 Potential Annual Net profit: £12,200
RETAILER VIEW RICKY SINGH BANDHAWA Porth Street Store, Rhondda Cynon Taff “We’ve only installed a coffee machine for the first time earlier this year and and it’s already making a huge difference in terms of bringing new shoppers to the store. “I think it’s one of those categories that shoppers just expect to find in a store these days and they also expect to be able to get a decent quality coffee too. “It’s still early days for us with the machine but I’m already convinced we’ve done the right thing and we may decide to move up to a bean-to-cup machine soon.”
54 TalkingShop
OCTOBER 2018
offee is no longer a ‘nice to have’ category in a modern convenience store, it’s an absolutely vital offering and shoppers now fully expect to be able to buy a coffee at their local Premier store. Not only that, today’s discerning shoppers are increasingly looking for not just any old coffee, but will instead settle only for a high quality brew, expertly made to order and well presented. To help retailers meet that demand with the very minimum of inconvenience and outlay, Booker has negotiated three fantastic deals for three different self-service coffee solutions. From the entry level, but nonetheless still high quality MillicanoTo-Go option, right up to the all-singing, all-dancing Douwe Egberts Barista One model, there is something to meet the needs of every Premier store OPTION A - 15 CUPS PER DAY Choosing which option is right for you couldn’t be easier. Simply working out how many cups of coffee you believe you can sell in a day will help highlight whether your best choice is to begin with the basic Millicano-To-Go machine which is available free on loan. Even selling an average of just 15 cups a day at £1 a cup, your annual profit from the instant coffee machine would be £550.
MILLICANO-TO-GO
FREE
Deal: Free on loan Minimum RSP per cup: £1 Approx cost per cup: 84p Profit per cup: 14p Cups per day (over 6 days): 15 Potential Annual Net profit: £550
OPTION B - 35 CUPS PER DAY If you think you can sell more cups than that, or perhaps you already sell more cups than that from the machine you have, then the two bean-to-cup Douwe Egberts options may be more in line with your requirements and those of your shoppers. Both machines are available to lease with the Douwe Egberts Espresso Bar option best suited to retailers who can sell around 35 cups a day at the suggested RSP of £1.29 a cup. At 80p profit a cup, if you can hit that level of sales you’ll make a whopping profit of £6,200 a year. The leasing fee is from £47.50 a week. OPTION C - 55 CUPS PER DAY For retailers who can sell around 55 cups a day, the top-of-the-range Douwe Egberts Barista One is available for a lease fee of from £71.95 a week and delivers a profit of 96p a cup off a sale price of £1.49. This machine will deliver an astonishing £12,200 profit a year! The quality of all three machines is exceptional with the Douwe Egberts machines producing truly outstanding coffees time and time again with a minimum of attention required from store staff. These great deals on top quality machines can help set your store apart and drive new footfall, sales and profits.
OPTION A
MillicanoTo-Go
Cups per day: 15 Potential Annual Net profit:
£550 OPTION B
Douwe Egberts Espresso Bar
Cups per day: 35 Potential Annual Net profit:
£6,200 DOUWE EGBERTS ESPRESSO BAR
Deal: Lease Minimum RSP per cup: £1.29 Approx cost per cup: 49p Profit per cup: 80p Cups per day (over 6 days): 35 Potential Annual Net profit: £6,200
RETAILER VIEW COLIN SMITH Prospect Lane Convenience Store, Solihull “We have a growing food to go operation and our coffee offer sits right at the heart of it. Coffee is just like any other core category these days. I think it’s something that every Premier store should be offering, regardless of size or location. “Shoppers just expect to be able to buy a coffee wherever they go now and if you disappoint them you risk never seeing them again. They’re also getting used to being able to buy good quality coffee so my advice would be to invest in a machine that gives shoppers the quality of coffee they’re looking for.”
FOR FURTHER INFORMATION OR TO ORDER, CALL 0800 585 084 OCTOBER 2018 TalkingShop
55
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LaunchReview FEEDBACK ON THE LATEST BOOKER PRODUCTS
Diageo’s range of price-marked RTDs delivers for retailers
Ready-to-drink, ready to sell
The winning mix of big brand names with great value price-marks is a hit with Premier shoppers. Today’s time-pressed shoppers are increasingly on the look out for great quality and great value on-the-go products from big brands that are ready to consume with no fuss or preparation. This helps explains the huge success of Diageo’s pricemarked range of ready-to-drink (RTD) range in Premier stores, ideal for instant consumption and for parties and get-togethers. Not surprisingly, the winning mix of big brand names like Gordon’s, Smirnoff, Captain Morgan and Pimm’s coupled with fantastic value price points has led to a resurgence of the premix market in convenience. Premier retailers have access to an extensive
range of price-marked Diageo RTD lines, all delivering at least 20% POR and some delivering over 30% POR. HIM data suggests that pricemarked lines enjoy a rate of sale twice that of plain packs and chilling the entire range in-store will also help add to the shopper appeal. The latest Nielsen data shows that premix cans now account for almost half of all RTD sales which means the Diageo canned range is a great place to start when building or growing your range of RTDs in-store. On top of that, Smirnoff Ice has long been a favourite in convenience and adding these bottled lines would certainly help grow footfall, sales and profits.
The Diageo RTD range: CAPTAIN MORGAN & COLA Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% GORDONS & SLIMLINE TONIC Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% GORDONS & TONIC Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% PIMMS & LEMONADE Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% SMIRNOFF & CRANBERRY Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% SMIRNOFF & DIET COLA Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% SMIRNOFF & COLA Case size: 12x250ml WSP: £11.99 RSP: £1.50 POR: 20% SMIRNOFF ICE Case size: 6 x 70cl WSP: £11.95 RSP: £2.99 POR: 20% SMIRNOFF ICE Case size: 6 x 4 x 275ml WSP: £19.89 RSP: £4.99 POR: 20%
OCTOBER 2018 TalkingShop
57
WIN 1 OF 5 BOSE SPEAKERS
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shopper’s view… Careen Thomson, Glasgow I’m fond of a can of Gordon’s & Tonic now and again because I’d rather buy something I can drink immediately without having to splash out on a whole bottle of gin just because I fancy one or two cold drinks in the evening. It’s the same with Pimm’s because I don’t drink it that often so I wouldn’t buy a whole bottle but I occasionally get a little notion for one and the can is perfect. The premix range means I can just buy what I need and I’m guaranteed the quality because brands like Smirnoff and Gordon’s are all great quality brands. The price-marked cans and bottles mean I know I’m getting good value and a fair price for a good product.
RETAILER VIEW
IN SUMMARY
RETAILER VIEW
1
Diageo’s range of household name brands is sure to inspire shopper confidence and bring new shoppers into the RTD category.
2
The price-marked range will help grow rate of sale with price-marked lines often significantly out-selling plain pack equivalents.
3
The full range is of the highest quality which will make sure that repeat purchase levels are high.
4
Excellent PORs of between 20% and 31% mean that the lines will be just as popular with retailers as they are with shoppers.
ASHLEY HUGHES Premier Old Post Office, Nefyn “With the price of a bottle of vodka or gin these days, it’s no surprise that many shoppers would prefer to just buy what they need for that night than investing in a bottle that might take them weeks or months to drink. “I think in today’s world too, people are looking for solutions that give them instant gratfication and the Diageo RTD range provides that: you don’t have to buy a spirit and a mixer and then take it home and chill it in the fridge - you just open it up and start enjoying it straight away.”
RETAILER VIEW MOIRA DEAN Premier Dundee University “RTDs are very popular on the University campus, as you might imagine, but students can be quite discerning so I think they definitely like the reassurance that a big brand like Captain Morgan, Smirnoff or Gordon’s gives. “Students can also be quite thrifty so it’s much easier for them to spend a few pounds on a few premix cans than to buy a whole bottle of vodka or gin. We chill all the premix cans and bottles too which helps drive sales, as does the price-mark. They know they’re getting a good deal.”
LISA BONNEY Premier Sea Palling Village Stores & PO, Norwich “Sitting not far from the beach, we can be a very seasonal store and during the summer months RTDs can be massively popular with tourists looking for something quick and easy to enjoy on the beach. The Diageo price-marked range gives them everything they want: a big brand name, a great quality product and a top value price. “Having said that, it’s not just in summer that the lines sell. Many of the locals pick up a can or two in the evening because it’s a bit less hassle than having to make a drink from scratch themselves.”
RETAILER VIEW EMYR JONES Premier Sip Gwalia, Carmarthenshire “I believe today’s shoppers are more discerning than ever. They want everything all in one go and that usually means great quality at a great price. The price-marked Diageo RTD range gives them that and if the retailer chills the range, then they have just whst the shopper is looking for: a product they can trust at a superb value price and ready to drink as soon as they get home. “Merchandising the products well in-store is key, making them highly visible so that thirsty shoppers can’t miss them.”
OCTOBER 2018 TalkingShop
59
BE THE SHOP WHERE BEER LOVERS GO...
AUTHENTICITY
TORY
DS
BR
EN
AN
PRI CE
L ID T
Y E X P E RIE N C E
SUPER PREMIUM COMMANDS A HIGHER PRICE:
SUPER PREMIUM SHOPPERS SPEND
MORE THAN STD. & PREMIUM
IN STORE PER YEAR
+£1.19
Beer brands that shoppers consider high quality & ‘worth more’
V I S UA
IT
STE TA
ARE YOU SUPER PREMIUM READY?
WHAT IS SUPER PREMIUM?
+19%
*Average £/Litre
AND THE CATEGORY IS GROWING, WITH SUPER PREMIUM VALUE SALES UP
30% YOY
USE SUPER PREMIUM’S BROAD MIX OF TYPES & STYLES:
Flavoured Lager, Cider and RTD’s
CRISP & REFRESHING LAGERS HOPPY & AROMATIC CRAFT
Traditional Apple and Cider
RICH & COMPLEX BEERS
TO FIND OUT MORE VISIT UK.ASAHIBEER.CO.UK
Standard and Premium Classic Lager
Super Premium Lager and Ale
SUPER PREMIUM BEERS
MAKE SPACE FOR SUPER PREMIUM ON YOUR SHELVES MODERN IMPORTS
CRAFT BEERS
HERITAGE BEERS
COFFEE | GUEST COLUMN
Simon Dixon of Premier Lower Darwen near Blackburn takes his coffee offering very seriously indeed, even sourcing his own blend of roasted beans and completing a professional barista course.
MAGIC BEANS: Simon’s customers love his custom-blended coffee so much he also stocks packs in-store.
It pays to put coffee at the heart of your food to go offer
W
e all know that food to go is a massive opportunity for Premier retailers and it’s only going to grow as our shoppers continue to seek out convenient, tasty, great value and high quality food on the go solutions that fit in with their busy lives. In my opinion, a key element of a great food to go offer is a fantastic coffee offering. Shoppers are much more discerning these days about their coffee. Gone are the days when a watery cup of instant was good enough for them. With so many specialist coffee shops around, my customers are used to getting really top quality coffee, prepared well and served quickly. In my store we used to have a basic Nescafé machine a few years ago but I quickly realised that repeat purchase levels were very low so I decided to up my game a little and invested in a second-hand bean-to-cup machine that I picked up on eBay. The difference in quality was very noticeable and the impact that the new machine had on sales was even more pronounced. That machine served us well for a year or so but it became increasingly unreliable, so when I was doing a major refit at the start of this year I decided that the time was right to bite the bullet and buy a brandnew Darenth Roma top spec bean-to-cup machine. It certainly wasn’t cheap at £4,000 but the quality of coffee it
produces is exceptional. It’s a self-service machine so it doesn’t require much from my staff and we charge £1.50 a cup (and £1 for our loyalty club customers). I actually used the machine as the centrepiece of a new hot food station that I installed as part of the refit. We had never sold hot food in the store before so we now offer our shoppers a range of pies and pasties and so on and, of course, a superb cup of coffee. My customers just love it and I would thoroughly recommend bringing in a hot food and quality coffee range to any Premier retailers that haven’t done so yet. I love a coffee myself and I’ve actually become a bit of an expert. I’ve even done a barista training course and sourced my own house blend of coffee beans from Beanmachines in Manchester. They make the blend to my own specifications and then bag it up with my own logo so I can sell the beans on the shelf as well as using them in the machine. As part of the business we have a hot food, sandwich and coffee shop next door called No 3 Espresso Bar and in there we’ve recently just installed an £8,000 artisan coffee machine which is even more impressive. The two businesses complement one another nicely and I buy everything for both businesses through Booker so they couldn’t be any easier to run. Great coffee is the way forward, if you ask me! OCTOBER 2018 TalkingShop
61
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FPO
Local Shop Report | ACS Viewpoint
James Lowman ACS recently published its Local Shop Report once again highlighting the vital role the sector plays in employing over 360,000 people.
IF YOU WOULD LIKE TO GET INVOLVED IN THE POLITICAL WORK OF ACS ....................... CALL ......................
01252 515 001 The latest ACS Local Shop Report shows how ............. OR LOG ON TO ........... www.acs.org.uk retailers are coping with increasing staff costs while retaining flexible employment opportunities.
W
e recently launched the 2018 Local Shop Report, providing new information to government (and the wider retail industry) about the importance of the UK convenience sector. Every year, there is usually one statistic or new figure that stands out as a headline change in the sector, and this year the main shift has taken place in the way that stores employ people. Overall, the sector employs almost 365,000 people, providing flexible employment for people that typically live very close to the store where they work, and are often juggling childcare or looking after other family members. This flexibility shows up more than ever this year, with an increase in the proportion of staff in the sector that work shorter part-time hours. The average number of people working in each store has actually gone up, but the total hours worked has gone down, enabling retailers to off-set annual increases in employment costs, notably the National Living Wage. The balance here is fine and needs constant review and attention. Jobs and hours can only be cut back so far before
staffing levels fall below the minimum needed to run a store effectively. Convenience stores are one of the most popular services in the community, and a large part of this being the case every year is down to the customer service and personal touch provided by people working in stores. It’s encouraging to see that retailers are reacting not by cutting back on what makes them so popular among consumers but by making smart choices about the efficiencies that can be made in store. The convenience sector mirrors changes in the UK’s employment market as a whole: more people in work, but more part-time work and more flexibility. In some sectors, notably the short term contract economy where working hours peak and trough over the course of the day, these practices attract concerns about the security and quality of work, because the risk and commitment seems to be stacked against the worker. I would strongly argue that the convenience sector is an example of greater flexibility working for everyone. Colleagues will have times when they can work more or less, retailers tweak their rotas to cope with absence and staff busy periods, and because most colleagues live locally, that flexibility
works for them. Also, of course, the tax burden on part-time workers is lower from both the employee and retailer perspective. The Local Shop Report also tells us that our colleagues value their jobs in convenience stores, and that most of them want to stay in their current roles, get promoted in the business, or continue their career within the sector. The real proof of the value of jobs in the sector is that many colleagues have been with us for years. We are working closely with the government on implementing the Taylor Review into the gig economy and new working practices, and our objective is to see changes to legislation to stop imbalanced working practices, but also champion and support good flexible working such as that we see in the convenience sector. The Local Shop Report provides the facts to make this case more effectively. Overall, the Local Shop Report paints a positive picture of a sector that is still investing, still putting in new technologies and services and is more relevant to the everyday lives of consumers than ever. You can check out the entire report at ACS.org.uk/research. OCTOBER 2018 TalkingShop
63
YOURSHOUT GOT A QUESTION? Want to post a question or raise an issue with the Premier Team? Get in touch by email at talking shop@55north.com or call 0141 222 5380.
YourShout WHAT’S ON YOUR MIND? RETAILERS PUT THEIR QUESTIONS TO PREMIER
Cashing in on winter woes
Is it time to upgrade my coffee machine? Coffee seems to be one of the absolute must-haves these days in independent retail and in our store we’ve certainly seen growth since we added a machine. It’s a pretty basic Nescafe & Go machine which does decent quality coffee at a value price – but my question is whether you think I would benefit from investing in a bean-to-cup machine to help grow the category even more in-store? RICKY SINGH RANDHAWA, PREMIER PORTH STREET STORE, RHONDDA CYON TAF
MARTYN PARKINSON, BRAND DIRECTOR – PREMIER SAID: “There’s no doubt coffee is a massive category these days for every Premier store, regardless of size or location. As shoppers become more discerning, it’s certainly a good idea to ensure that the coffee you have is of a quality that will drive repeat purchases and return visits. Premier has recently launched three excellent new packages for great quality coffee machines – you can find out more on p53 – which make upgrading quick and easy and could potentially help generate a very significant increase in footfall, sales and profits.”
As autumn moves into winter we’re already seeing an increase in demand for medicated products that treat common winter complaints like colds, sort throats and flu. We stock a decent range but I have the feeling that we’re not making the most of this category as it doesn’t always get the attention it deserves. Do you have any suggestions for how I make more if it? FARAZ IQBAL, PREMIER LINKTOWN LOCAL, KIRKCALDY MARTYN PARKINSON, BRAND DIRECTOR – PREMIER SAID: “A solid range of medicines, well presented in a high visibility area is a must over the winter months. When shoppers come down with something they expect their local Premier store to be able to help. You’ll find some great advice on p45 on how to build a strong core range, and also on how to merchandise it to increase sales. A great idea is to bring a selection of products out onto the shop floor, in view of shop staff if necessary, as this will increase visibility and sales dramatically.”
Is is time to begin this year’s festive fun? It seems to me that shoppers are getting into the festive spirit earlier and earlier every year with shoppers already asking about Advent Calendars and Selection Boxes. Do you think we should be getting our festive fixtures in place a little earlier this year to capitalise on this excitement? KRISHNA DAS, PREMIER HIGHFIELD CONVENIENCE STORE, FARNWORTH
MARTYN PARKINSON, BRAND DIRECTOR – PREMIER SAID: “It’s clear from all the feedback we’re getting from Premier retailers that shoppers are indeed devloping an interest in Christmas earlier and earlier each year which presents great opportunities for retailers that get started early. I would advise beginning the festive preparations immediately. You’ll find more advice on precisely how to do this on p26.” OCTOBER 2018 TalkingShop
65
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Low Res Not for Printing
INCREASE YOUR SALES
PROMOTIONAL RING-PULLS ARE ONLY AVAILABLE ON MONSTER ENERGY® PRODUCTS FEATURING THE CALL OF DUTY®: BLACK OPS 4 PROMOTIONAL ARTWORK. Open to residents of UK, IOM, ROI &/or Mauritius aged 18+ only. Promotional ring-pulls available 01.10.2018 to 31.12.2018, or whilst stocks last. Register the code found under the ring-pull online by 31.05.2019. To register and for full terms and conditions go to www.callofduty.com/monsterenergy. Each single can code provides 1 token of 2XP and each can within a multipack provides 2 tokens of 2XP. Each token doubles the experience points awarded for 15 minutes within public online multiplayer matches of the Game. Max of 1hr redeemable per person per day and 40 hours per person for the promotional period. Entrants require: internet access; Xbox One, PS4 console or PC and the compatible Xbox Live Gold, PlayStation Plus, PlayStation Network or Blizzard account; a Call of Duty® account; and a Call of Duty®: Black Ops 4 (PEGI 18) game. Promotion is managed and administered by Monster Energy Europe Limited. ©2018 Activision Publishing, Inc. ACTIVISION, CALL OF DUTY, CALL OF DUTY: Black Ops and the shield logo are all trademarks of Activision Publishing, Inc. All other trademarks and trade names are the properties of their respective owners. All rights reserved.
meet the family
Goose Island Family is growing
stock up at your local booker now!
SESSIONABLE
Nielsen, Value Sales, MAT Data to 21.04.2018
INNOVATIVE
CRAFT
+102.9% year on year
Talking Shop
Issue 97 OCTOBER 2018