Cash & Carry Management Feb 2024 by Cash & Carry Management

SPOTLIGHT: PHILIP ATYEO, CATERFOOD BUYING GROUP

THE BUSINESS MAGAZINE FOR CASH & CARRY/DELIVERED WHOLESALERS

Sheila Gallagher on forming a longer term strategy for Booker

NEW

FEBRUARY 2024

RANGE

MAKING THE SWITCH

AF Blakemore invests in electric HGVs

AS THEY SHOULD

CATEGORY MANAGEMENT

Your ultimate 38 page guide

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Contents

February 2024

This month don’t miss... 05

More mentors available at Women in Wholesale event.

Over 150 people attend CRG business development days.

Philip Atyeo reveals who at Bidfood has inspired him.

ESSENTIALS 04

Industry News

FEATURES 12

Destination 2025 An industry conference shines a light on how some wholesalers are future-proofing their businesses, and raises funds for charity MAG.

Spotlight Philip Atyeo, managing director of Caterfood Buying Group.

CATEGORY INSIGHT 16

Convenience Breakfast Quick breakfast options are an important mission for convenience retailers and their wholesalers.

Vaping & Update

Heated

Tobacco

The development of the vaping and heated tobacco categories offers the potential for additional sales and profits. 23

Category Management An overview of the data-led guidance that wholesalers and buying groups are giving to retailers, plus advice from key suppliers on maximising opportunities in specific product categories.

The category management advice offered by wholesalers is increasingly tailored to the individual requirements of the retailer.

EDITORIAL Managing Editor Kirsti Sharratt Contributor Siobhan Kielty ADVERTISING AND MARKETING Publishing Director Martin Lovell Media Sales Manager Clare Phillips For media rates and feature lists, visit cashandcarrymanagement.co.uk ISSN 1352-254X

Address Winlove Publications Ltd PO Box 366, East Grinstead, RH19 4ZE Tel (01342) 712100 Email mail.winlove@btconnect.com Website cashandcarrymanagement.co.uk LinkedIn linkedin.com/in/martinlovell-98419436/ linkedin.com/company/cash-andcarry-management-incorporatingdelivered-wholesaler Twitter twitter.com/CandCManagement

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February 2024

[ INDUSTRY NEWS ]

McKee promoted Fairway Foodservice has promoted Troy McKee to purchasing director. Formerly purchasing manager, McKee (below) has been with Fairway for sevenand-a-half years. Prior to that, he worked for Country Range Group for 17 years, Today’s for two years, and Batleys for 13 years. As purchasing director, McKee replaces Steve Jeavons, who is now purchasing contracts manager. McKee is joined at Fairway by newly appointed purchasing manager Adam

Snappy deal JW Filshill has appointed Snappy Shopper as a partner to fulfil its ecommerce solutions in its KeyStore retail estate via Snappy Marketplace – Snappy Group’s white-label grocery delivery app and website. As part of this broader partnership between the two businesses, greater marketing of Filshill promotions will be available, plus exclusive new customer coupon codes and 1p store bundles, which allow shoppers to stock up on essentials like cleaning products at a very low price. The agreement will enable seamless use of the Snappy Shopper platform through Filshill’s ReScan till system. 04

February 2024

Williamson, who was formerly foodservice manager at Pacific West Foods. “The expansion of the team is the first step in implementing our new purchasing structure and strategy, to bring members more support, guidance, and of course great products,” said McKee, whose promotion was announced at a recent Meet The Member (MTM) event, held by Fairway at Eastwood Hall, Nottingham. More than 150 people attended the two-day event, with 40 suppliers sharing new product innovations, trend insights and unique deals with members. Fairway event organiser Richard Ellison said: “The Fairway MTM is a fantastic opportunity for our members to meet face to face with suppliers, take advantage of exclusive deals, and find out more about how Fairway can support them, too.”

Purpose-built site

North West Wholesale is celebrating its relocation to a new 20,000 sq ft purposebuilt site in Burscough, Lancashire. The independentlyowned delivered wholesale business, which serves independent retailers, convenience stores and other food outlets, was previously operating from three warehouses, which it had outgrown. “The move is a result of year-on-year growth and fitted in with our internal growth strategy,” explained

Tom Lumsden, managing director of the Sugro member. “Our new premises has allowed us to bring all members of staff under one roof which has made us operationally much more efficient. “We have equipped our warehouse with brand new pallet racking, giving us optimised storage space which will enable us to work even closer with our key suppliers and allow us to purchase a significantly higher quantity of goods on spec.”

‘Bigger and better’ event

James Hall & Co is to host a new one-day retailer event for current and prospective SPAR independents. SPAR Transform will bring together retailers from across the North of England on 18 April at the Harrogate Convention Centre. Keynote speakers include Dominic Hall, joint managing

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director of James Hall & Co, and Tobias Wasmuht, managing director of SPAR International. There will also be personal accounts from independent retailers. More than 40 suppliers will be in attendance. In addition, a showcase of James Hall & Co brands will be offered through pop-ups like

the Cheeky Coffee Lounge, and a spotlight will shine on SPAR own brand through concepts such as the SPAR wine bar. Independent SPAR retailers will also be joined by area managers and store managers from James Hall & Co’s G&E Murgatroyd company-owned stores division. The event will close with an informal evening of food, drinks and entertainment. Peter Dodding (pictured), sales director and chairman of the SPAR Northern Guild of retailers, said: “We are hugely excited to deliver a bigger and better retailer event for our network of independent retailers.”

[ INDUSTRY NEWS ]

Loyalty scheme and new member Confex has announced a partnership with Jisp to launch its own wholesale loyalty and rewards platform for its members and their retailers.

The new ‘Confex Savings Club powered by Jisp’ is designed to provide wholesalers with the opportunity to reward their retailers for buying through them with exclusive product promotions and loyalty rewards at no added cost to the wholesaler. The Confex Savings Club will allow brand owners to offer tailored promotions to retailers exclusively through Confex wholesale members, with them benefiting from an

omni-channel marketing platform with advertising reach to retailers and shoppers. The platform includes AI powered advertising, push notifications across channels, daily news feeds, social media integration and daily digital scratch cards and rewards. Innovations included by Jisp enable instant-win and prize draw campaigns to be deployed in the depot for retail engagement or in store for shopper activation – both of these utilise existing packaging, negating the need to reprint packaging and distribute printed media. The Confex Savings Club also aims to change the dynamics of rewards and revenue share within the sector. Brand investment is shared throughout the supply chain, with 40% being

delivered directly to shoppers, 20% to operators and retailers, and 5% to charity. This shared investment model defines a new approach for connected media and true visibility of marketing return on investment, points out Confex. In other news, Confex has welcomed Alliance, in the Channel Islands, as its newest member.

Alliance has been trading for 30 years and has a turnover of over £37 million, adding to Confex’s £3.7 billion combined member turnover. The multi-channel wholesaler and retailer has stores in Jersey and Guernsey and a home delivery partnership

Caterforce invests in data team Caterforce has invested in its central office data team. Clare Greensmith, who joined the group in 2020 as financial controller, is now head of finance & data. Kieran Hartley, who joined in 2021 as systems administrator, is now information system manager. Caterforce also partnered with Apprentify, an apprenticeship training agency, to appoint a Level 4 data analyst, Ahmed Lawal. He joined the group in October 2023. An additional systems administrator and a Level 3 data technician apprentice will be recruited this year. Managing director Gary Mullineux said: “We are enhancing our in-house data systems, bringing them out

of silos and into a controlled information ecosystem where we can get the best possible outcomes.” Greensmith added: “The team is embracing artificial intelligence to improve product information and support

our members’ ecommerce teams. “In a world that is all about data, we want to help our wholesalers stay ahead and have access to the best information to make fully informed decisions.”

Left to right: managing director Gary Mullineux; data analysis Level 4 apprentice Ahmed Lawal; head of finance & data Clare Greensmith; information system manager Kieran Hartley.

called Orderit.je. The stores have a footfall of more than 10,000 visitors a week, and stock a wide selection of local and international products, including fresh produce, meat, chilled and frozen foods, beers, wines & spirits and household products. Andrew Bagot, managing director of Alliance, commented: “We are delighted to be joining Confex at such an important time for our Channel Islands wholesale and retail businesses. “Our trading environment is experiencing significant change, like most markets, and has many opportunities as a result. “We find Confex an excellent partner, with forwardthinking account management, and have no doubt we will grow together for years to come.”

More mentors Women in Wholesale’s Speed Mentoring event 2024 will feature 14 mentors – up from nine the previous year. The event, which takes place at Convene at 22 Bishopsgate in London on 26 April, is for women working in UK convenience and foodservice wholesale only. The mentors include Coral Rose, CEO of Fairway Foodservice; Emma Senior, MD of Sugro; Martin Holmes, people director of Creed Foodservice; Lana Bhikha, joint MD of Woods Foodservice; Kate Carroll, head of charity at Nisa; and Holly Pennington, HR manager of Parfetts. Tickets cost £179 plus VAT.

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February 2024

[ INDUSTRY NEWS ]

Sports day grants Following the success of last year’s school sports day grants campaign, SPAR UK is offering another £50,000 to support schools.

Electric HGVs join fleet AF Blakemore & Son has added two state-of-the-art electric HGVs to its fleet, marking a significant step towards its commitment to sustainable operations. The zero-emission vehicles, supplied by Hartshorne Group and Volvo Trucks, boast a range of 185 miles. “We are thrilled to be at the forefront of the electric vehicle revolution in the convenience retail sector,” said Caoire Blakemore, responsible business director. “The addition of these electric HGVs demonstrates our commitment to reducing our environmental impact. We believe this is just the beginning of our journey towards becoming a net zero carbon company by 2040 and we are excited to see the positive impact these vehicles will have on our operations and the environment.”

Left to right: James Cowen of Hartshorne Group; Charles Blakemore; Ian Middleton of Crossroads Truck & Bus; Peter Blakemore; Jack Hulse of Hartshorne; and Caoire Blakemore.

The two new Volvo FM Electric trucks are equipped with innovative battery technology and regenerative braking, offering a clean and efficient solution for longdistance deliveries. Additionally, the company is committed to further reducing its carbon footprint by partnering with Certas to utilise fridge trailers powered

by HVO fuel, which offers a significant reduction in greenhouse gas emissions compared to traditional diesel. As part of the UK Government’s Electric Freightway Programme, two additional electric HGVs are set to be delivered in March to service Blakemore’s Bedford depot.

Parfetts promotes from within

Business development

The 2024 SPAR School Sports Day Grants campaign will give SPAR shoppers in England, Scotland and Wales the chance to apply for a £200 grant for their local primary or secondary school to buy sports equipment. The campaign runs until 20 March.

Parfetts has promoted Neil Bradley (right) to general manager of the Middlesbrough depot. He has previously held supply manager positions at the Somercotes and Sheffield depots. In addition, the fast-growing team of retail development advisers has been expanded with two new appointments. Joe Tindle becomes national sales controller east while Steve Miller is now national sales controller west. Tindle has held several positions in the business, most recently general manager of the Middlesbrough depot. Miller has worked within the retail team for a number of years as a retail 06

February 2024

development advisor and latterly as a regional manager for the North West. Other promotions include Jimmy Smith to supply chain manager at the Somercotes depot, having previously been a retail development advisor and, most recently, supply chain manager in Halifax. Jordan Wadsworth has also been promoted –

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from chilled buyer to supply chain manager at the Halifax branch. In addition, Parfetts has promoted Leona Starzec to key account manager to support the growth of its offlicence symbol fascia, The Local. Starzec, who joined Parfetts in August 2023, formerly worked for Bargain Booze from 2010 to 2018 as a franchise support manager. Steve Moore, head of retail at Parfetts, commented: “As an employee-owned business, we invest in our people, and Parfetts promotes people from within where possible to reward people for hard work and dedication to servicing our customers.”

More than 150 member wholesalers and suppliers attended Country Range Group’s latest Business Development Days, held at Doncaster Racecourse on 30-31 January. Delegates were able to sample a wide range of products and ingredients, including new lines from several suppliers such as Kellanova, Mizkan and pladis. In addition, Country Range provided a preview of its upcoming launches for the spring, including a selection of new cakes and a duo of cookie pucks. The next Country Range Group Business Development Days will take place on 24-25 September.

T E OU SID LL- IN PU TER S PO

IF IT’S NOT IT’S NOT A

SERVING SUGGESTION

CADBURY, FLAKE and 99 are registered trademarks of the Mondelez International Group of companies, used under licence.

[ INDUSTRY NEWS ]

NBC recruits National Buying Consortium (NBC) has announced two new recruits to its head office team. Helen Skidmore joins the National Distribution Network (NDN) team as customer services supervisor, taking charge of the team responsible for the order management process. Skidmore was formerly international B2B support manager at Whittard of Chelsea, where she worked for 14 years. Nicola Esson joins NBC as consortium marketing

executive. She will support the team with members’ brochures and various marketing services. Esson was previously a freelance graphic designer, supporting small businesses. The additions to the team follow the news that NBC has recruited six new members: Precision Wholesale, based in Liverpool; Prime Cash & Carry, of Barking, London; Global Brand Supplies, of Thurrock; Tastebuds, of Upminster, Essex; Good One Deals, of Birmingham; and Bada Business, of Northolt.

Helen Skidmore (left) and Nicola Esson.

E-loyalty scheme Sugro has introduced a new rewards and recognition initiative, designed to drive loyalty into members’ ecommerce platforms. The buying group has teamed up with b2b.store to create the ability for members to place a new loyalty rewards hub on their online ordering platforms. The scheme will run in partnership with Sugro suppliers, with rewards on offer for customers that accomplish different tasks associated with participating brands. Tasks will include purchasing a certain quantity of a particular product or a specific product range, taking photographic evidence 08

February 2024

to showcase compliance, or sharing an image of an instore display for evidence of enhanced execution. “Getting our wholesale members to embrace digital solutions and drive even more sales online is a key part of our strategy for growth, and we believe the new e-loyalty scheme will play a big role in this,” said Sugro’s head of commercial & marketing Yulia Petitt.

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Fellowship funded

Lioncroft fellow Ali Timmons and Lioncroft CEO Jason Wouhra.

Birmingham-based wholesaler Lioncroft Wholesale is funding a new fellowship designed to transform the lives of children with cancer and their families. Lioncroft Wholesale, which has C&Cs in Aston and Smethwick, created the Lioncroft Foundation to support charitable initiatives locally and around the world. Founded by CEO Jason Wouhra, wife Daali and family from Lioncroft Wholesale,

the Lioncroft Foundation has made a major donation to The Cancer Awareness Trust. This has enabled the Trust to appoint a dedicated childhood cancer specialist – Lioncroft fellow – in collaboration with the charity Solving Kids’ Cancer UK. The Lioncroft fellow role, filled by clinical researcher Ali Timmons, will support families whose children have been diagnosed with neuroblastoma.

Ideas Exchange To celebrate Cadbury’s 200th year, Mondelez International is engaging in a range of activities, promotions and celebrations. To show its thanks to the retailers who have supported the brand throughout its long history, Cadbury is giving store owners the chance of winning cash prizes through The Great Retail Ideas Exchange. Any retailer who shares an idea via the form on SnackDisplay.co.uk will be entered into a contest to win a cash prize of up to £5,000.

For 200 years, since John Cadbury opened a grocer’s shop in Birmingham in 1824, Cadbury has worked with the trade and helped businesses to share their great retailing ideas. This includes education on display, stock rotation and book-keeping. The new competition, which takes inspiration from this heritage, is running until the end of June and is open to independently-owned convenience stores and forecourts (unaffiliated or affiliated to a symbol group).

EXCEPTIONAL QUALITY AT A LOW PRICE STOCK UP NOW *

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Also available in a new compact format

*Based on ITUK RRP as of December 2023. For the avoidance of doubt, customers are free at all times to determine the selling price of their products. For Tobacco Traders Only.

[ INDUSTRY NEWS ]

Employee awards Thomas Ridley Foodservice recently held its annual Staff Awards in Bury St Edmunds. The top award, Employee of the Year, went to Laura Gilbey-Spring, who is Thomas Ridley’s only female driver. She also won Transport Colleague of the Year, voted for by customers. Other awards: Telesales Person of the Year: Lizzie Game. Sales Person of the Year: Maria Hartland, area sales manager. Business Support Colleague of the Year: Dawn

• • •

Taylor, pricing & promotions administrator, who has worked for Thomas Ridley for 30 years. Star of the Year: Charly Leathers, who started picking orders in the main warehouse and has recently joined the buying team. Warehouse Colleague of the Year: Alistair Marshall, warehouse operator. Above and Beyond the Call of Duty Award: Steve Gooderham, a warehouse forklift driver, whose efforts as a first aider helped to save a colleague’s life.

•

• •

10,000 members Brakes has announced that more than 10,000 customers have now signed up to the mybrakes rewards scheme as it celebrates its first anniversary. As well as benefiting from personalised promotions, customers have earned more than £2.5 million in cashback. For each cashback redemption, Brakes funds tree planting via a certified reforestation programme, and more than 23,000 trees were planted in the past year. The mybrakes rewards programme was introduced in response to customers saying that they wanted more bespoke options, with 10

February 2024

a wider choice of rewards, and to earn cashback rather than points. As well as redeeming cashback on their Brakes spend, customers can save on merchandise including electronics, kitchen items, days out, holidays and gift cards. Alternatively, customers can donate their cashback to selected charities.

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‘Groundbreaking’ United Wholesale Scotland has launched a web ordering analytics reporting platform in partnership with TWC. UWS has extended its partnership with TWC, commissioning additional reports that track online purchasing behaviour on the UWS app and website. The reports are available to suppliers now via the existing TWC/UWS sales reporting platform. They show how retailers interact with the wholesaler’s ecommerce sites and how brand activation and sales performance compare online versus offline. “Connecting retailers’ online behaviour with their offline behaviour has meant we can now get one clear view of a customer’s total purchasing behaviour with us,” said managing director Chris Gallacher. “We think this is pretty groundbreaking in the wholesale industry.”

Chris Gallacher: ‘We can now get one clear view.’

This initiative coincided with UWS recruiting an ecommerce & marketing director in October 2023. Louise McKenzie was formerly ecommerce director at Rightdose. In other news, UWS has formed a new partnership with ShopMate whereby independent retailers who shop at United Wholesale Scotland will have access to their price file and promotions via their ShopMate till.

Higher staff retention JJ Foodservice achieved a 50% reduction in staff turnover for the year 2023, thanks to a profit-sharing initiative among other benefits. Launched in April 2022, the discretionary profit share initiative allocates 5% of pretax profits to employees as recognition of their exceptional efforts. Head of HR Joanna Florczak said: “We’ve had some great stories from colleagues who have used their share for a range of activities, from putting a deposit on a new car to taking their family on holiday. “It was a great way to say thank you and celebrate a successful year. Our team

are happy and staff turnover has reduced, meaning less money spent on recruitment and retraining.” Kaan Hendekli, chief operating officer, added: “We are on a journey to create an environment where all team members feel welcome, appreciated and part of the JJ family.”

[ DESTINATION 2025 ]

‘You need to dream big’ Delegates at the Destination 2025 conference heard from leading industry executives on building the best business strategy for 2025 and beyond.

he Destination 2025 conference, held last month, not only shone a light on how some wholesalers are future-proofing their businesses but also raised nearly £68,000 for the charity Mines Advisory Group (MAG). The event was created by Clare managing director of Bocking, Immediate Impact, who opened proceedings by saying: “There are three reasons to be here today: firstly, to be inspired by industry leaders to build some fantastic plans as we move forward into 2025; secondly, to learn from each other and create commercial opportunities; and thirdly, to raise money for MAG.” Bocking added: “As chair of Women in Wholesale, I want to make a point: we’re able to build an amazing industry conference for the wholesale and convenience sector that has gender parity in speakers and panelists without compromising on content and talent. I think this is a first; today is a benchmark.”

“We looked at the market data that’s available to us, the customer insights that we’ve got, the performance of the categories, and what role each of these categories will play in the medium term and the long term. “Where can we see opportunities for more accelerated growth? What would we need to do to achieve that? Where have we got opportunities for growth in more established categories? So it was quite high-level questions we asked ourselves, and we did that from a retail perspective and a catering perspective.” Booker is implementing a common range across its wholesale and BRP [Booker Retail Partners] businesses. “We’re also starting to look at how we can create hubs – whether a BRP or a wholesale customer, we will use a common branch for deliveries.”

Longer-term approach One of the female speakers was Sheila Gallagher, commercial director at Booker. She told delegates that in recent months, Booker has been looking at its longer-term strategy. “We started with what we are calling our category evolution,” she explained. “Instead of the iterative range reviews that we would normally do, we wanted to do a wholesale review of every single category in one go. I think it was 151 categories over an eight-month period.” Gallagher explained that the aim of the project was to consider the range needed for customers not just today but also in five-plus years’ time. 12

February 2024

Sheila Gallagher: ‘We’ve got this framework for growth.’

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In addition, the wholesaler is exploring automation and simplification of its supply chain processes. “Booker is not famous for investing in tech,” she admitted, “but as we look at our network, we have to look at our supply chain processes and systems that sit alongside that.” For its online business, Booker is using the latest version of Google Analytics and working with a company called Contentsquare with the aim of “flushing out some really rich data”, said Gallagher. “Ultimately the aim here is to ask ourselves, ‘What should a website look like for the future if you want to deliver a really smooth customer journey that successfully adds products to their basket?’” The cash & carry wholesaler is maintaining its focus on sustainability. It is investigating options for equipment, sourcing policies and eliminating waste that take it towards its net zero targets. For its employees, Booker has launched what it calls ‘Our Booker’, a wellbeing app, along with a virtual GP service, which gives members of staff free access to a GP every day of the year. ‘Our Contribution’ is another recently introduced resource, which focuses on training, development and leadership matters. Booker is also putting more investment into its mentoring programme and it now has three employee networks: LGBTQ+ at Booker and Race & Ethnicity at Booker were added to Women at Booker last autumn.

[ DESTINATION 2025 ] Gallagher concluded: “We hold on to the values that Booker has been brilliant at: choice, value, service. We’ve got a brilliant entrepreneurial spirit that runs through the business, but now what we’ve got alongside that is this framework for growth that touches all strands of our business. All going well, we’ve called it right in terms of how the wholesale industry is evolving, and we’re getting ourselves ready for that.”

Authentic values Andrew Selley, CEO of Bidcorp, emphasised the importance of getting a set of authentic values that pulls people together within a business. In Bidcorp’s case, its values are ‘Care, Share, Dare’. They were chosen after consulting the company’s 7,000 employees and forming 50 listening groups to take account of their views. The fact that the words rhyme makes them memorable, Selley pointed out. He added: “Our values are about caring for what you’re responsible for and sharing – working together to make great things happen. Wholesaling, as we all know, is a people business. But it’s a team business. You’ve got to get your sales and warehouse people and your drivers and your marketing and telesales people all working together. Finally, daring: we want innovation, we want to take brave steps to deliver extraordinary results.” He continued: “Every time we launch a new initiative, we go, ‘We’re doing this because we care for our customers or we care for our colleagues. Or we’re doing this because we’re daring to be

Andrew Selley: ‘We want innovation; we want to take brave steps.’

Clare Bocking: ‘Destination 2025 has gender parity in speakers and panelists.’

different. That constant reminder of why we’re doing something helps to reinforce the values and also the authenticity of them.” An example of the ‘Care’ element is the recent launch of a scheme whereby employees can get a payroll advance. “People don’t always manage their finances effectively, and they have unexpected costs. So payroll advance allows them to borrow against their salary, and they pay it back through their salary. That’s been used by a lot of our people. It gives them a little bit of respite and it means they don’t have to go to loan sharks or anything like that,” said Selley. The company also offered a health and wellbeing matched payment whereby employees put in £500 and the company matched it, so that they had £1,000 to buy a set of golf clubs or take yoga classes, for example. Another area of focus for Bidcorp is looking at how it can be a positive force for change in terms of caring for the planet. Its latest initiative in this area is looking at carbon labelling – it is working with a company to apply a carbon value to all of the products it sells so that it can start to offer guidance to customers about creating more carbonfriendly menus. Selley commented: “Customers are far more willing to talk about things that help both sides, and a lot of them are asking, ‘How can I get my costs down?’ We’re saying things like, ‘You’re getting six deliveries a week; if we can make two or three deliveries a week, that

means bigger jobs for us, a bigger margin per job, and more efficient vehicles, and we can share some of that benefit with you.’” Night-time deliveries are another solution, he added. “We say to our customers, ‘If we can deliver to you overnight, give us the key. We’ll go in, put all the stuff away in the chiller, in the freezer. That allows us to double utilise our vehicles. We have to change shift plans with the drivers, but then we just recruit people on a Tuesday to Saturday or Wednesday to Sunday shift. So again, lots of collaboration.” Bidcorp carries out values-based training so that people in different roles know how the company’s values apply to them. For example, said Selley, “we really push hard on driving the values through our drivers because they are our biggest ambassadors – they’re the people who see our customers the most.” As regards its ‘Dare’ value, Bidcorp uses technology to improve its processes and customer service. For instance, it utilises Q Drop driver handheld technology and a dynamic routing system, and it has its own Bid IQ CRM system for the independent trade. “We’re using our ontological expertise. We can tell the customer what similar customers are buying, what’s doing well, and offer special promotional prices.” In addition, the company is just implementing a new AI stock replenishment system. “It is algorithmic learning around forecasting and seasonality and regionality and other things, and the claim is that it’s going to reduce

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February 2024

[ DESTINATION 2025 ] our stock by £20 million, which would be awesome. Even if it’s half of that, there would still be a massive impact on our working capital.” Bidcorp is using AWS to enhance its telesales operation. “If you get the information right, you’re going to have pertinent products and great prices you can speak to the customer about. We’re also aligning with that promotional coding. We’re not wasting money by promoting to people who are already buying the product, and we’re able to offer better value targeted promotions, such as a lockdown price on a specific product for three months.” Selley concluded: “Care, Share, Dare could be a nice little three-word rhyme that sits on a mouse mat, but what we try to do is demonstrate these values to our colleagues, to the planet, to our customers and to our suppliers.”

Employee engagement Cathal Geoghegan, the managing director of Belfast-based Henderson Foodservice, also spoke of the importance of having values that mean something to the whole of the workforce. “Everybody within the business – 466 colleagues in foodservice – lives and breathes our values every day of the week. They are Ambition, Customer First, Teamwork and Integrity.” He added: “Our vision is to be the largest and most dynamic foodservice provider on the island of Ireland and our mission is to deliver the best service to every customer. “We’ve grown phenomenally. I joined the business in 2018. We were at

Cathal Geoghegan: ‘Resilience is a core ingredient for growth and success.’

February 2024

It is important to have Big Hairy Audacious Goals, said Cathal Geoghegan.

just over £100 million. We’ve over doubled that in the last five years, and we want to double that again and get to a half-a-billion-pound business in 10 years. I’d like to get there sooner.” Geoghegan insisted: “With any business, you need to have BHAG: Big Hairy Audacious Goals. Our Big Hairy Audacious Goals are of reference to the half-a-billion-pound target. Our business commenced in Northern Ireland. Of the £225 million that we out-turned in 2023, about £175 of that is in the north of Ireland and £50 million is in the south. Our market share is about 1.3% in Dublin, so it’s a fraction. We want to have equilibrium between north and south in the next five years. “We’ve got a range of about 6,500 products at the moment. We want to grow that to 10,000, and we want to have 50% of that as a fresh proposition. The right strategic partnerships with suppliers will ensure that we have the right product offering for our customer base.” As far as customers are concerned, Henderson Foodservice “does not want that leaky bucket”, said Geoghegan. “A lot of the focus in terms of our turnover has always been about growth and getting a new customer set, but we also pay a lot of attention to our existing customer base – account manager meetings, business entertainment, etc. Customer mix is important too. We’re in every category – nursing homes, schools, bars, hotels, you name it. “We are growing our team as well. There are 65 in our sales team and I think the budget mark is another five or six members. We’re always reviewing our people structure to bring additional

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expertise into the business. We’re constantly investing in our teams in order to make sure they collaborate more. For example, we have product training days one week a quarter.” Another key ingredient for success is agility, said Geoghegan. During the Covid pandemic, Henderson Foodservice revamped its digital estate. “We were doing about 11/12% of our business online. We’re now doing about 45/46% online, and I want to get that to 90% in the next five years.” He continued: “We’ve all been hit with challenges over the last number of years. You need to be proactive, but you need to be reactive too. We’re a resilient bunch. And that’s one of the core ingredients for growth and success.” The latest issue that Henderson Foodservice is having to address is the introduction (on 1 February) of a deposit return scheme in the south of Ireland. Diversification is another focus for the wholesaler. It recently announced an exclusive partnership with a butchery in Northern Ireland for five years, with the option to extend it for a further five years. In addition, it has signed an exclusive arrangement with the Kaufman Group to offer its potato products on the island of Ireland. “We’re always looking to premiumise our product range,” Geoghegan explained. Henderson Foodservice introduced Barista Bar coffee-to-go around eight years ago and it is now the largest premium coffee-to-go brand in Northern Ireland, with roll-outs in Scotland and England in progress. Geoghegan commented: “You need to CCM dream big.”

[ SPOTLIGHT ] Philip Atyeo, managing director, Caterfood Buying Group What approach do you take in business (and in life)? Honesty is important to me, so I would definitely describe myself as an open and honest person. I like to keep things simple, but I also enjoy a challenge and don’t necessarily take the easy route! I tend to surround myself with likeminded people who have a ‘can do’ attitude and strong opinions to challenge the norm or offer me an alternative view.

‘I love to be active’ What have been your biggest achievements in work and outside work? My biggest achievements in work have been opening my first account as a business manager, leading an underperforming depot to become the most profitable depot in the Bidcorp estate and taking on my current role as managing director of the Caterfood Buying Group. Outside of work my biggest achievements are my three children: I have two sons and one stepdaughter who I am incredibly proud of and I look forward to seeing what wonderful adults they will become. Who has been the biggest inspiration to you? The first is Bob Rogers, Bidfood’s former managing director for specialist businesses and acquisitions. Bob was very inspirational in his approach to team building and engagement, and he was someone who took a risk with me. The role I find myself in today may not have happened had it not been for Bob, and that has driven me in the way I approach, inspire and build my team. Andrew Selley, our current CEO, has also been someone who has inspired me over the years. He has an incredibly

cool, calm, collected approach, as well as the confidence in his people to allow them to make independent decisions and grow into their role, while also offering support whenever it is required. What were your ambitions when you were growing up? I wanted to be a police officer, which I think came from watching American crime dramas, most notably Starsky & Hutch. However, my early career in retail and often having to deal with shoplifters changed my opinion! What are your interests outside work? I love to be active – walking, especially with my dogs, climbing mountains and kayaking. I also enjoy watching international rugby, which gets very competitive with the Welsh side of my family during the Six Nations! The nature of my role does mean I’m away from home for most of the week, but it also provides me with the opportunity to work from home, and having that flexibility really does make a difference. Having the time to switch off when I’m at home with my family and friends is important; having a family who understand my role also helps.

What is your favourite film, book and song/piece of music? James Bond films – Daniel Craig has been the best Bond for me, followed by Sean Connery. I love a thriller novel and particularly enjoyed Dan Brown’s books. As for my favourite bands, I’d have to say The Killers and Oasis. If you won a holiday, where would you go and who would you take with you? A trip to Peru to climb Machu Picchu. As I got married last year I would take my wife with me – it is on our bucket list. What would people be surprised to know about you? My dad played for the England football team. However, despite his sporting success, I got my sporting prowess CCM from my mother!

17 years to date Philip Atyeo started working parttime in a supermarket while doing O Levels. He was then offered a fulltime job in management, which he did for 11 years before having some time out as a driver for an independent wholesaler. After a short period, he became the manager and ran the business for seven years. He joined Bidfood in 2006 and subsequently worked in a number of roles, including regional sales controller and general manager at Bidfood’s Salisbury depot, before being appointed as MD of the Caterfood Buying Group in 2019.

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February 2024

[ CONVENIENCE BREAKFAST ]

Getting a quick start As consumers gravitate back towards convenient on-the-go purchases, wholesalers and retailers need to ensure that there are healthy, low-cost options available.

he shift back to consumption on the move continues, so wholesalers should be ensuring that they are offering their retail customers value and a trendled range to make the most of the resurgence. Quick, healthy breakfast options are an important mission for convenience retailers and Mondelez International has established its presence in this area with the belVita brand. Now that food-to-go habits are back up to around pre-pandemic levels, further sales opportunities are available to retailers, who need to consider their ranging requirements. “When returning to these on-the-go routines, we know that shoppers are seeking snacking options for their mornings that not only taste delicious but provide sustenance too,” says Susan Nash, trade communications manager. “belVita is the UK’s number one healthier biscuit brand (Nielsen), with offerings that consumers trust to keep them going throughout busy mornings and beyond. Their trademark recipe includes five wholegrains, which make the biscuits high in slowly digestible starch, fibre and magnesium – ideal for on-the-go energy.” For shoppers planning ahead rather than on an immediate consumption mission, Mondelez has introduced a pricemarked multipack format of belVita Honey & Nut variant in convenience. “The PMP taps into the healthier multipack space within the convenience channel and communicates value to price-conscious shoppers,” Nash explains. The range grew further last year as belVita Breakfast biscuits in Honey & Nut and Milk & Cereals flavours were rolled out with new non-HFSS recipes. “These new offerings also provide retailers with even more choice when it comes to ranging, merchandising and promotion in-store, which means wholesalers should also ensure they stock them,” says Nash. Mondelez also caters for those looking for a more indulgent start to the day with its Cadbury Brunch bars. The range includes Raisin, Peanut and Chocolate Chip variants, and the original Cadbury Brunch Oats is now joined by Cadbury Brunch Nuts. Glebe Farm is also harnessing the value of oats as a breakfast draw for consumers. The granola range has undergone a reformulation and consists of Choco Chip, Maple & Banana and Strawberry variants. The inclusion of vegan chocolate 16

February 2024

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in the Choco Chip flavour means that the entire range is vegan and gluten-free, responding to the growing dietary demands from consumers. “Straightforward and nutritious is key; more and more people are opting for breakfasts with three or less components and 15.4% of food and drink occasions win share for their boosted health benefits such as vitamins or fibre (ibid),” says Tony Holmes, chief operating officer. “At Glebe Farm Foods, we produce the purest, British gluten-free oats that deliver not only on quality but also taste. Our broad portfolio of products therefore helps retailers offer delicious breakfast options that also deliver against certain lifestyle needs. Our PureOaty brand of gluten-free oat drinks, granola, and porridge oats are Coeliac UK certified.” Nomadic is another on-the-go healthy breakfast supplier, tapping into the market with its Good To Go range of pouched snacks. The 150g pouches contain a blend of smooth oats, yogurt and fruit in three flavours: Raspberry & Blueberry, Mango & Passionfruit, and Banana & Honey. “Expect more, similarly focused, new products from us this year,” says Bethan Miles, marketing manager. The pouches are best served chilled but have an ambient shelf life of four months, minimising the risk of waste for wholesalers and convenience retailers. Weetabix highlights the importance of communicating value to breakfast shoppers, as many are feeling the effects of the cost-of-living crisis. “The breakfast occasion is already often the cheapest mission of the day, and against the backdrop of the current economic landscape, with 67% of adults worrying about rising food and drink prices (Mintel), we may see customers switch from lunch on-the-go to breakfast on-the-go as it represents a more affordable treat,” points out Scott Bayliss, head of sales. “We also anticipate that front of store meal deals in major mults will soon include more breakfast options in response to this evolution in need state.” Last month, Weetabix launched its #Debatethebix campaign to encourage consumers to participate in the ‘hot or cold’ debate. A £2 million investment supported this visibility boost, which included TV, CCM digital, social media and in-store activity.

Nestlé Cereals

RIGHT PACK, RIGHT PRICE, RIGHT SIZE!

SOURCE OF FIBRE NO ARTIFICIAL COLOURS OR FLAVOURS ® Reg. Trademark of Société des Produits Nestlé S.A. Shreddies is a source of iron which contributes to normal energy-yielding metabolism. Shredded Wheat is low in saturated fat. Reducing intakes of saturated fat contributes to maintaining normal blood cholesterol levels, as part of a healthy diet and lifestyle. Cheerios Multigrain is a good source of calcium which is needed for the maintenance of normal bones. It is important to have a varied and balanced diet as part of a healthy lifestyle.

[ VAPING & HEATED TOBACCO UPDATE ]

Sales are hotting up Although a ban is in the pipeline, disposable vapes continue to see strong growth. Heated tobacco products are also gaining sales as smokers seek smoke-free options.

aping continues to reflect strong category growth as adult smokers move to next-generation alternatives to cigarettes. While the market is indisputably buoyant, manufacturers are keeping a close eye on where this category is heading next in terms of sales. Imperial Tobacco has a range of vaping products in its blu brand. “The vaping sector in the UK alone is forecast to be worth almost £3 billion in 2025,” says Tom Gully, head of consumer marketing UK & Ireland. “It’s clear that there will be continued demand from consumers for vaping products throughout 2024. To tap into this trend, wholesalers need to ensure they are dedicating sufficient space for vaping products and stocking the right range for their customer base.” Blu’s line-up includes the disposable blu bar brand, which has 13 variants in the range, and the blu 2.0 device in the pod system segment. “No two depots are the same so it’s important for wholesalers to take time to consider what customers are buying most frequently, or not buying at all, and then adapt the range accordingly,” Gully advises. “The wholesalers who can remain agile will be in the best position to cater for their customers.” As consumer demand for disposable vapes is currently high, Imperial has launched its blu bar 1000 to the independent and wholesale channels. The device (rsp £5.99) features casing that means the liquid level is visible through the translucent mouthpiece. There is also a removable battery that can be disposed of at a local collection point, as well as a security lock feature.

Disposable vapes to be banned The sale and supply of disposable vapes is being banned in England, Scotland and Wales because of their appeal to young people (gov.uk). Northern Ireland will also consider introducing this in future. The Government aims to bring in the legislation as soon as possible. There will be a buffer period of at least six months to allow businesses to adapt. Alongside this, new powers will be introduced to restrict flavours which are specifically marketed at children and ensure that manufacturers produce plainer, less visually appealing packaging. There will also be restrictions on how vapes are displayed in shops, moving them out of sight of children and away from products that appeal to them, like sweets.

February 2024

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The blu bar 1000 has been introduced in eight flavours, with more due to be rolled out in the spring. “The new device offers an array of new features, all from the well-known blu brand that consumers know and trust,” says Yawer Rasool, consumer marketing director. “Our new blu bar 1000 is a must-stock product for any retailers or wholesalers looking to grow their vape sales.” JTI has won the Heated Tobacco category at the Product of the Year Awards 2024 with its Ploom X Advanced device. “Just a few months after the launch, we are thrilled that Ploom X Advanced has come out on top in the Product of the Year Awards 2024. In response to consumer feedback, we made some positive changes when we launched Ploom X Advanced, and the brand has gone from strength to strength with device sales doubling and EVO tobacco stick sales tripling year on year,” says marketing director Mark McGuinness. “With the heated tobacco category continuing to grow at a rapid rate, this award shows not only the success of our product, but the clear consumer interest in the category.” Philip Morris also highlights the importance of the heated tobacco category. “While use of smoke-free products has increased, the progress of some products in helping smokers to transition away from cigarettes for good has stalled,” reports Duncan Cunningham, external affairs director. “Though vaping has made some headway into helping legal-age smokers to move away from cigarettes, the data shows that it isn’t completely effective: between a third and half of all vapers in the UK are still dual-using with combustible tobacco products. While 83% of current adult smokers in the UK have tried vaping, 43% have returned to smoking cigarettes (ASH). “It’s therefore important to ensure smokers are aware of all the credible, scientifically substantiated options available to them beyond vaping – including nextgeneration products like heated tobacco. “More and more legal age smokers are recognising this technology as a viable option and as a result the category has grown by 400% in the last three years (Nielsen).” CCM

The power of a continuous mindset It’s no accident STL has emerged as the dominant provider of IT solutions for wholesalers. For 20 years, we’ve pursued a policy of ‘Kaizen’, the Japanese philosophy of continuous improvement – underpinned by continuous investment in new solutions, skills and services to help power you forward.

Android terminals Our Android-based terminals extend and future-proof your investment. The wearable units simplify picking and reduce errors, while the multi-function handhelds can handle: • Product enquiry • Creation of sales orders • Goods inward • Barcode capture

• Stock taking • Merchandising • Order picking • Queue reduction

Q-Buster Cut queues and customer frustration. Running on a mobile device (including our Android Handheld), this app can scan orders across the depot and send them live to your POS. Kai = change

Zen = good

The power of information We designed STL Evo to help wholesalers better understand, control and strategically plan their operations. Based on Microsoft and SQL technology, Evo makes it easy to query and collate information from the warehouse to the point of sale or delivery. Its library of customisable management reports, ability to export data to documents like Excel or Word, and the Sales Order Processing (SOP) graphical dashboard makes it easy to monitor performance and plan proactively.

Tobacco track & trace split pack This module has automatic split pack handling for half outers (5x packs of 20), allowing you to scan individual pack trace codes at the till when you take your customer’s Economic Operator ID. Guy Swindell, Joint MD of Parfetts, said, ‘It’s a real winwin: it’s made the process faster for our customers at the POS and is less labour-intensive for us whilst keeping us fully compliant with HMRC reporting requirements.’

The power of innovation Evo’s open architecture makes it easy to seamlessly add new functionality as needed and we’re continuously growing our suite of optional modules.

Open banking >L»]L WHY[ULYLK ^P[O ,JOV7H` [V KL]LSVW [OL ÄYZ[ M\SS` integrated card payment/open banking solution for the wholesale POS – providing a faster, easier and more secure way to pay. EchoPay is helping the likes of Lubna Foods, United Wholesale Grocers, United Wholesale (Scotland) and Venus Wine & Spirit Merchants reduce their banking charges from pounds to pence.

Sage API Our latest API seamlessly integrates Evo with Sage Standard. This enabled Bestwines to automatically update its accounts system every minute – eliminating the rekeying chore and the associated risk of human error.

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The power of expert support We’ve hired new talent with wholesale business as well as IT expertise, and fully revamped our UK-based help desk with a responsive, transparent ticketing system – and more real humans! We’ve also streamlined our migration processes to make it even easier to move from legacy systems to the modern Evo platform.

First Choice revolutionises IT in 4 weeks STL’s deep understanding of both wholesale processes and IT helped First Choice Foodservice migrate from its ageing system to the new, functionally-rich STL Evo in just four weeks. Thanks to its open architecture, Evo seamlessly shares information with First Choice’s Sage accounting system, SwiftCloud ordering app and Sales-i sales enablement tool. The many improvements include: • Statement run reduced from 3 days to 2 hours • Increased telesales productivity • Quicker, slicker order processing • ,ѝJPLU[ ZWSP[ WPJRPUN • Consolidated customer invoices and supplier payment • Real-time performance reports

Easier than expected Similarly, STL helped delivered wholesaler Chapple & Jenkins modernise with Evo. It had been struggling with a lack of responsiveness from its legacy system. :;3»Z ZPTWSPÄLK TPNYH[PVU WYVJLZZ HUK ZLY]PJL JVTTP[TLU[ ensured that the transition to STL Evo was completed on schedule and that the business was trading successfully from the go-live. Martin Jenkins, Director, Chapple & Jenkins, said, ‘STL’s team are not only tech experts but understand wholesale. So, while an IT project this big inevitably had some teething issues, STL knew how to minimise their impact. Going with STL and Evo was a great decision.’

Sub Ohm is smoking after going digital Our service experts also helped Sub Ohm embrace 300% growth in the vaping sector by helping it migrate from a paper-based system to STL Evo.

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Amair Ahmad, Sub Ohm’s Operations Manager, said, ‘Transitioning from well-established processes to new ones can be a choppy voyage. So it was invaluable having an experienced partner like STL at the helm.’ Key gains have included: • Picking time halved • Increased picking and receiving accuracy • Streamlined order processing • Better forecasting; tighter buying • Attracting new customers

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Time to power your business on

It’s never been a better time to make waves. Next-generation IT is here STL Evo, our dynamic business management platform for wholesalers has proved very successful and is already carrying more than £3b of customer revenues. And our range of optional functionality is growing rapidly thanks to our dedicated development roadmap. Next-level support - based in the UK We’ve hired new talent with wholesale operational as well as IT expertise, and fully revamped our UKbased customer support services with a responsive, transparent ticketing system – and real humans!

Follow in Lubna’s wake Bradford-based bulk distributor, Lubna Foods, has taken advantage of this tax regime to fully fund its investment in STL Evo. Evo gives Lubna tight control of its whole product management process, from sourcing and importation to processing and distribution, even as it expands. Evo’s open architecture has enabled seamless integration with Lubna’s new STL tilling, Track & Trace and picking solutions as well as its existing SwiftCloud eCommerce app. Evo also allows the company to transfer sales data to the Unitas trend-tracking database at a click.

100% tax relief The Full Expensing tax relief scheme, which runs until 31 March 2026, allows you to claim 100% capital allowances for qualifying investments in IT, in one go. This equates to a tax cut of up to 25p for every pound spent.

So don’t delay, contact us today! Find out how we can help you power your I\ZPULZZ VU ¶ HUK ^YP[L VɈ VM [OL JVZ[

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The power of results

+LSP]LYLK LɉJPLUJPLZ Two leading drinks distributors have installed STL Evo to help them reduce operating costs and improve productivity. Venus Wine & Spirit Merchants is impressed with how Evo supports multiple pricing schemes and ad hoc purchases, and integrates seamlessly with specialist systems – like the SwiftCloud eCommerce app, Fourth Hospitality order management platform and Tableau Business Intelligence.

Laki Christoforou, Chairman of Venus, said, ‘We love the fact that STL’s platform is always evolving, which puts us ahead of the curve whatever direction the market moves in.’ Bestwines likes how Evo’s Goods In functionality helps it track high-value products and combat the ever-present threat of theft. Darrpan Chawla, Director of Bestwines, said, ‘STL Evo IBT HJWFO PVS CVTJOFTT B SPCVTU ZFU nFYJCMF QMBUGPSN GPS HSPXUI

Best business decision for Jones Jones Wholesale Business Store updated to Evo from its legacy system which had been thwarting its growth ambitions – and found it so much easier to use, query and navigate. Now users can: • Generate purchase orders from a tablet • *YLH[L J\Z[VT YLWVY[Z VU [OL Å` • (JJ\YH[LS` HUK LѝJPLU[S` WLYMVYT Z[VJR JV\U[Z • Pick faster • Save time on shelf-edge price checks 4JNPO "MMJUU %JSFDUPS PG UIF XIPMFTBMFS TBJE A6QHSBEJOH UP 45- &WP XBT POF PG UIF CFTU EFDJTJPOT XF IBWF NBEF GPS PVS CVTJOFTT

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Stax of savings STL Evo has also given Stax Trade Centres, the UK’s biggest non-food cash & carry operator: • Centralised control • Clear, real-time view of operations • Streamlined, accurate order management • Faster checkouts, shorter queues • Total control of stock status • Greater purchasing power • Increased responsiveness

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FEBRUARY 2024

E ID U G T N E M E G A N A M Y R O CATEG

Here to help GroceryAid is a charity that support supports ts anyone working in the groceryy ential industry with free and conﬁdential ar. support, 24/7 365 days a year.

We’re always open Follow us on Instagram and Facebook for regular updates on our emotional support, ﬁnancial guidance and practical solutions. You may even be eligible for a nonrepayable ﬁnancial grant.

Scan the QR codes and get connected! For immediate support, call our FREE and conﬁdential Helpline, any time of the day or night.

08088 021 122

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HE GET T S BASIC ! RIGHT

YOUR DEFINITIVE GUIDE TO CATEGORY MANAGEMENT

Category Management – the wholesale perspective

Bag Snacks, sponsored by KP Snacks

Beer, sponsored by AB InBev

Biscuits, sponsored by Mondelez International

Cereal, sponsored by Kellanova

Chewing Gum, sponsored by Mars Wrigley

Cigars, sponsored by Scandinavian Tobacco Group

Coffee, sponsored by Nestlé Grocery

Confectionery, sponsored by Mondelez International

Dairy, sponsored by Kerrymaid

Flavoured Milk, sponsored by FrieslandCampina

Meat Snacking, sponsored by Jack Link’s

Tea, sponsored by Yorkshire Tea

Vaping, sponsored by BAT

Wines, sponsored by Concha y Toro

[ CATEGORY MANAGEMENT ]

Using insight to drive growth Wholesalers and their buying groups are using sales data and supplier insights to ensure that the products they stock, and the guidance they offer retailers, meet customer needs.

holesalers are working harder than ever to ensure that the category management advice they offer their customers is up to date, tailored to the type and size of store, and focused on driving growth. Booker has recently conducted what it calls a category evolution. “Instead of the iterative range reviews that we would normally do, we wanted to do a wholesale review of every single category in one go. I think it was 151 categories over an eight-month period,” says commercial director Sheila Gallagher. With an eye on the longer term (fiveplus years), Booker looked at market data, customer insights, the performance of the categories, and what role each of the categories will play in the medium term and the long term. It completed that exercise from a retail perspective and a catering perspective. Gallagher adds: “We looked at delivering an optimum range for convenience retailers. It does take into account the of Sheila Gallagher: ‘We nuances looked at delivering whether you’re an optimum range.’ a forecourt, you’re a small corner shop or you’re a neighbourhood small grocer. “We’re also very respectful around regional lines and local lines that are needed as part of the range. But actually it [the range review] has allowed us to tighten up a range that had become a little bit bloated and was under pressure from an availability point of view.” Alongside that, Booker is looking at categories like fresh, which offer retailers good growth potential. “It’s a nice balancing act for them in terms of profitability, and there’s a demand for it from their customers,” says Gallagher. “And then you’ve got other fast growing categories, like vape, that would also 26

February 2024

Categories like energy drinks have really taken off, reports JW Filshill.

come into that accelerated growth programme.” For catering, Booker conducted a similar exercise, exploring opportunities to “drive either our market share or growth with our customers,” Gallagher explains. The third strand of the work that Booker has done on category evolution is to look at own brand. “We’ve seen a real uptick in own brand. We already had a fairly significant contribution to our sales from own brand, across both catering and retail, but with the cost-ofliving crisis and people leaning into where they can save money and still rely on great quality, our own brand has gone from strength to strength. And that’s interestingly across all tiers – even our Chef's Larder Premium; I think 42% was the last read I had on the growth of that,” Gallagher notes.

Desire for innovation “There’s a real desire for customers to see more innovation in the own-brand space so that’s an area that we’ll stay focused on for the longer term.” The most obvious change in consumer habits that has affected advice given by JW Filshill to retailers is the move towards own label/value lines/

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price-marked packs, reports category range planner Iain Main. “These products are supporting both retailers and their customers just now – even retailers in quite affluent locations are seeing a change in consumer behaviour,” he reports. “There’s also the ‘TikTok phenomenon’, with products like giant pickles getting a cult following; spicy noodles are another trend. Social media can be influential, whether it’s suppliers using platforms like Facebook/TikTok or influencers. “We have a customer in the north of Glasgow who is especially proactive on social media. The retailer wanted to create a dedicated section for products that gain traction on TikTok so we have them all focused in one bay – they’re always changing and the retailer has added £1,000 per week to their sales. When the retailer’s customers lose interest in a product it’s replaced by the next big thing.” Main adds that categories like energy drinks have really taken off again, with Prime the brand that everyone wants to get their hands on: “It was a bit of a craze to start with but it’s now a permanent fixture in sports and energy drinks.” He believes Iain Main: ‘It’s about getting to that seasonal know the retailer.’ categories also need to be managed carefully and efficiently for the best results for the retailer. “Generally, if you consider that 20% of your overall range will account for 80% of sales, that’s always a good starting point,” he says. The advice that Filshill gives to its KeyStore retailers can be anything from an overview of a specific category to a complete overhaul – it depends on the retailer and their needs at any specific time. Some retailers want to know what

[ CATEGORY MANAGEMENT ]

Category management advice improves the range of products sold, says SPAR.

categories are growing and declining and some are always keen to support new products. “It’s about getting to know the retailer and understanding them and their store,” Main explains. “A lot depends on their location and the type of store but generally most retailers are very receptive to any advice. Retailers know each other so if you do something for one and it works well, they tell others.” About 120 of Filshill’s customers use its EPoS system and that number is growing. “It gives us a sizeable piece of data which we share with suppliers but also tells retailers what is selling and what is not – it’s very valuable data and it’s robust,” says Main.

Key categories Planograms for the key impulse categories such as soft drinks, crisps & snacks and confectionery are updated more regularly than other categories because they tend to attract the most NPD. “NPD is the lifeblood of convenience,” Main insists. “Sometimes it can be challenging to make a retailer understand that more space should be turned over to soft drinks and the energy/sport drinks category, for example, and I worked with a customer to help make soft drinks work harder for them. The retailer doubled their chiller size which meant they were selling more, staff didn’t have to be constantly replenishing

it and there was less stock lying in the back.” Categories like pet products and household goods don’t change quite so much, Main points out. However, Filshill adjusts all planograms when pack sizes change or there are problems with availability. “Also, our buyers are always securing special deals with suppliers so we take that into account too,” he adds. “Our buyers work closely with suppliers who can give us valuable category insight and help identify future trends – it’s important to be ahead of the game.” All five SPAR wholesalers – AF Blakemore, Appleby Westward, CJ Lang & Son, Henderson Group and James Hall & Co – offer category management advice to all SPAR retail members. “Category management advice delivers an improved commercial package, grows sales, and modernises and improves the range of products sold. It also helps set pricing and promotions,” maintains Ian Taylor, SPAR UK retail director. “We see more people choosing to shop little and often, locally in Ian Taylor: ‘We are convenience quick at adopting stores and they NPD.’ are shopping

more of the store. Therefore we will continue to review and develop customer ranges and merchandising plans, and launch category reviews, which means we are quick at adopting NPD.” The category advice that Bestway gives to its retailers comprises an overview of how the market is performing and an indication of which subcategories are in growth or decline, which then shapes the range selection and allocated space on planograms. Within this category advice Bestway identifies ‘must stock’ SKUs. Kenton Burchell, group trading director, says: “We are continuously looking for ways to bring the right proposition to our customers and improving how we approach category advice. For example, this year we are working closer with our business development managers to ensure they are able to give our retailers the best category advice. “We are hosting customer forums to help our retailers with category advice and attending trade shows to help us ensure we can continue to offer our retailers the very best and up-todate category advice and insights. “To keep it unbiased, we Kenton Burchell: ‘Bestway reviews use a minimum of two key cat- planograms monthly.’ egory supplier captains who review the planograms and provide us with an overview of the category in the market. “The data is reviewed so that we can see what the common factors are – we also look at category sales, feedback from retailers of the category and market data from third parties to help us make informed decisions on category product ranges.” Bestway performs an annual range review of each category, but also reviews category planograms monthly to ensure SKU changes are reflected. Burchell adds: “As the cost of living continues to rise and consumers are more careful with their spend, we see them constantly looking to add more value to their baskets. “At Bestway, our own-brand

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February 2024

[ CATEGORY MANAGEMENT ]

Within its category advice, Bestway identifies ‘must stock’ SKUs.

ranges are performing strongly, especially on soft drinks and kitchen and toilet rolls, mainly driven by our PMPs.” The wholesaler recognises the importance of PMPs to show value to the consumer. “PMPs feature more heavily in some categories than others – for example, for impulse drinks we see a significant increase in volume when we move to PMP; however we do offer a plain pack alternative on some products. “We are reviewing all of our planograms this year based on supplier, customer and market feedback to ensure we offer both the retailer and customer a credible range,” says Burchell. Fresh is a particular focus for Bestway. “Research from market data suggests customers want a credible fresh offer in line with a growing trend for personal health and welfare. We are growing our fresh offering and expanding our produce and meal solutions.”

Subscription service Nisa has introduced a planogram subscription service that offers its retailers tailored support to grow sales based on their individual requirements. “For example, we now provide a bespoke service to all of the UK’s biggest holiday parks, with planogram/ranging advice to support sales growth and ensure holiday makers get everything they need whilst enjoying their vacation,” says space planning manager Ross Wright. More generally, Nisa has a team of micro-space planners that provide category ranging and product placement 28

February 2024

advice. They work closely with the store development team who create the store layouts in line with the concept layouts, ensuring that Nisa retailers receive the correct commodity space recommendation for their store size, location, demographic and customer mission. Planograms are loaded onto a retailer’s MyPlans system and can be viewed/downloaded as required. “Those who use planograms typically see an increase in sales,” Wright points out. “For many of our customers, the reason for choosing Nisa is the unrivalled range of SKUs we stock in our depots. The benefit of using Nisa planograms is that it helps them navigate so much choice and provide their consumers with a curated range relevant to their individual needs.” Nisa creates and updates Ross Wright: ‘We monitor current and planograms in future trends.’ line with the Co-op’s range review activity. Additionally, it undertakes activity with its colleagues in trading and category supply partners. All range review activity is checked against Nisa’s internal sales data to ensure that the recommendations are right for Nisa customers. What’s more, planograms are updated weekly in line with depot location changes so that Nisa retailers are provided with the

www.cashandcarrymanagement.co.uk

most up-to-date information possible. “We also work with marketing to create testimonial assets which can be communicated to Nisa retailers to encourage planogram/ranging usage,” says Wright. The group monitors current and future trends to ensure its planograms are relevant. It recognises consumer demand for value and constantly reviews its planograms and ranging to ensure that Nisa retailers utilise the strength of Co-op own brand along with Co-op Honest Value lines where appropriate. In addition, it has created chill planograms for fixture sizes from three bays up to 30 bays in light of the opportunities for retailers to increase their chilled food sales. While appreciating that all categories benefit from category management, Nisa recommends that, in the first instance, its retailers focus on impulse categories that deliver most of their sales – like soft drinks, beers, wines & spirits, confectionery, and crisps & snacks. “Nisa has invested heavily in price to remain competitive and we review these SKUs to ensure they are ranged in our most common planograms sizes,” says Wright.

Practical tools Unitas Wholesale’s Plan for Profit (PfP) guidance is designed to be accessible to all of its wholesale members and their customers. Its printed guides and online tools provide latest category advice, channel specific insight and practical business tools that retailers can interact with directly or through their wholesaler. A total of 84 of the group’s 150 wholesale members operate within the retail channel, collectively reaching and influencing around 31,000 stores. “44 of these wholesalers support the scheme further by placing dedicated identification labels in front of each PfP SKUs so Mark Langohr: ‘We that their pride ourselves on customers can PfP’s impartiality.’ clearly see the

[ CATEGORY MANAGEMENT ] impulse ranges and alcohol ready-todrink & pre-mix cocktails. “These are areas that can offer convenience retailers greater flexibility versus competitors and satisfy these emerging trends locally.” He adds that polarisation is evident across most categories, with consumers seeking both a ‘value’ proposition and ‘premiumisation’.

Everyday essentials

Unitas produced a guide to ARTDs to help retailers add a point of difference.

individual lines that make up the PfP core range at the shelf edge in depot or the equivalent on their digital platforms,” explains category controller Mark Langohr. “These wholesalers are achieving over 96% compliance in the PfP core range across their depots and online platforms.” The Plan for Profit team use data from a wide a variety of sources to ensure its impartiality, and there is not a listing fee for a product to be included within PfP. “We understand how important it is for our consumers to be able to purchase the products they require and pride ourselves on PfP’s impartiality by using data from multiple sources including NielsenIQ, Lumina, IGD, suppliers, EPoS information from retail club and symbol stores and wholesalers’ data from TWC, our data partner,” Langohr reports. While the printed category literature undergoes an annual review, the digital platforms and planograms may be updated throughout the year, particularly where NPD warrants inclusion or to remove discontinued products. Langohr says: “As always, NPD plays a big part, primarily in licensed and impulse categories. Once our retailers can achieve meeting core range distribution within their stores, we offer further advice on how to expand that offer into the ‘extended range’ or introduce new categories to add a point of difference to their store, such as American

“Everyday essentials need to be satisfied by a strong own-brand offer in store, and Unitas has a full roll-out programme under way to support this with its Local Living own-brand ranges across grocery, LSV within energy drinks, and licensed and tobacco ownbrand offers,” notes Langohr. “We are seeing consumers still on a ‘treats mission’, with premium brands showing significant growth, particularly in beers, wines & spirits and hot beverages,” he says. In addition, ‘trade-up’ to larger pack formats, which offer better value for money, is driving value growth across the confectionery, soft drinks, and crisps, snacks & nuts categories. Langohr maintains that PMPs are a vital part of convenience retailing, reinforcing the value and price trust message to consumers.

Reviewing PMPs “We have seen significant price increases in PMP packs throughout 2023 and whilst we hope this has now settled down, we understand there is still uncertainty due to the continuing global issues. In most cases the consumer has reluctantly accepted these increases, but we have seen many retailers reviewing PMPs and looking to alternative brands – either PMP or not – to provide a cheaper offer to their consumer,” Langohr observes. “This is understandable with the current cost-of-living challenges, but our consumers would still prefer trusted leading brands where they can afford them,” he continues. “We are working tirelessly to ensure price increases are justified and there is still an appropriate shared margin available to avoid retailers stocking cheaper tertiary brands which may result in the consumers turning to the discounters or

multiples to source their favourite brands.” He adds that PfP will still advocate supporting the main brands, with an own-label value proposition and where possible in a PMP format. “However, the consumer is seeking value so promotional activity is also critical to reinforce that there is great value available in the independent convenience channel.” Unitas recognises that the shopper’s mission into a convenience store is varied – it could be a distress purchase, a top-up shop, a treat for now or a gift – so ranging a small store is a challenge. “It is imperative that a convenience store firstly gets the basics right: the core range they offer, meeting that distress purchase requirement then building upon this, depending on where they see the offer for their location within their local community,” Langohr advises. “Impulse and beers, wines & spirits are the categories where the independent retailer outperforms both the multiples and discounters, so it is important they remain strong in these areas with great choice at great value. “Retailers need to keep up to date on the changing trends within these categories and especially NPD to remain a destination as these categories drive the footfall and provide the opportunity for further basket spend once the consumer is in their store,” he points out. “Other categories that we know benefit from category support are pet, health & beauty and especially baby care.”

In its ‘Focus On’ guides, Unitas dives deeper into individual categories.

www.cashandcarrymanagement.co.uk

February 2024

[ CATEGORY MANAGEMENT ] PfP provides further category insights through its ‘Focus On’ guides where it dives deeper into individual categories to give retailers insights behind both existing categories and also the emerging trends for incremental sales.

Supplier input Sugro works closely with its supplier partners to give its members and their retail customers relevant category advice through its educational ‘Drive Your Sales with Sugro’ magazine and web portal. “We provide planograms, advice on top 20 bestsellers by category and details on core range and ‘must stock’ lines,” explains trading controller Imran Ambalia. “We also produce bespoke category leaflets containing category information around but not limited to Christmas, Easter and mini seasons.” When it puts together Imran Ambalia: ‘The advice we give must its planograms, be relevant to trends.’ Sugro uses IRI or Nielsen data – as well as working with suppliers – to ensure that the planograms are unbiased but more importantly data led. In this way, any changes in consumer habits and pricing are taken into consideration. “This approach ensures that the retail customers have the right information on which SKUs they should be stocking to maximise the rate of sale.” says Ambalia. The planograms are produced annually and based on the 52week data read. “The category advice we give must be relevant to market trends in order to help our members and their retail customers make informed decisions,” notes Ambalia. He adds: “All categories benefit from category management as we are seeing more and more consumers purchasing locally, which makes it vital for wholesalers and retailers to be stocking the right range that consumers are looking for in their local shops. 30

February 2024

Sugro’s ‘Drive Your Sales’ web portal and magazine provide detailed advice.

“Our ‘Drive Your Sales with Sugro’ magazine and web portal provide category advice across all categories from confectionery and soft drinks to grocery and pet care.” Parfetts uses the Unitas ‘Plan for Profit’ category management tool and backs it up with specialist supplier advice, such as the Heineken Star Retailer scheme. In addition, Parfetts’ retail development advisors, as part of their call cycle, review different categories in stores to ensure that key SKUs have not gone off sale and that the space given reflects store sales to maximise the retailer‘s sales and profits. As regards own label, head of retail Steve Moore told Cash & Carry Management: “We know how important own label is to a retailer’s sales mix and margin. When we introduce new

ranges, we communicate these to our retailers, so they can gain immediate benefits and have time to plan to delist slower moving lines within a specific category. Planograms in the main are changed annually. However, we keep abreast of new lines and seasonal ranges.” He continues: “We have seen a shift towards retailers buying more of our award-winning own-label range, and in the main suppliers have been maintaining current PMP ranges.” According to Moore, all categories can benefit from category management, although typically in convenience, impulse is always a big footfall driver. He adds: “We should not lose sight of core household ranges such as packet and tinned grocery as these form an important part of a retailer’s overall CCM offer.”

Category management is important for big footfall drivers like impulse.

Steve Moore: ‘We should not lose sight of core household ranges.’

www.cashandcarrymanagement.co.uk

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for 2024 A year in review

What’s in store for 2024

Whilst the beer market in the UK saw a value increase of +1.6%, the Convenience channel grew behind the market with +0.7% value growth vs 2022. This was driven by declining shopper penetration. As a result, there is a need for convenience stores to drive penetration and they can do this by targeting more affluent demographics which are in +6% growth vs three years ago in convenience, alongside younger demographics.

Budweiser Brewing Group UK&I is forecasting a steady year for the beer category in 2024, with the beer category expected to grow +0.4% and the convenience channel to perform in line with the market . This growth will be driven by higher disposable incomes, and retailers entering the convenience channel such as Asda Express and Morrison’s Daily.

Whilst we are seeing beer volume slightly down over the last year, the increase in value highlights consumer demand for premium and super-premium options, highlighting a key area to focus on in 2024.

In addition, key sporting moments such as the Euros and the Olympics, provide strong incentives for consumers to purchase beer. Retailers can capitalise on this by having the right packs and segments in range.

“

“As the first month of the year ends, our expectation for the convenience channel remains high. There is an opportunity for the convenience sector to drive sales but understanding who the convenience customer is and their purchasing power is key,” says Joshua Hart, Wholesale Category Manager in the UK at Budweiser Brewing Group. “Shopper behaviour has changed over the last few years and will continue to, so it is key for stores to understand these shopper trends and adapt their offering accordingly.”

Budweiser Brewing Group’s Convenience Vision Budweiser Brewing Group has launched its new Convenience Vision to work with Convenience customers to drive growth within the Beer category.

“

“At Budweiser Brewing Group, we are working collaboratively with our customers to unlock for convenience growth,” says Sjors Brandsma, Retail Convenience Category Manager in the UK at Budweiser Brewing Group. “The vision provides key shopper trends, recommendations, and key actions to take for retailers and suppliers to drive incremental sales. Starting in March, Budweiser Brewing Group will be running monthly webinars to go in detail through the vision and share the recommendations.”

Sjors Brandsma, Category Manager Retail Convenience

To find out more about Budweiser Brewing Group’s Convenience Vision and sign up to the next webinar, please contact BBGnewpartners@ab-inbev.com

1. Stock up for success

3. Enhancing the Meal Occasion

We have seen an increase in consumers wanting to bring the premium drinking experience in-home and this is something we foresee to continue throughout 2024. While premium lager (e.g. Stella Artois & Budweiser) remains by far the largest segment in convenience, we have seen growth in categories such as World Beer (e.g. Corona) and Craft Beer (e.g. Camden).2

No matter lunch, dinner, or a quick snack, convenience retailers can drive sales through food and beer pairings - 63% of at-home beer consumption now takes place with food.7

There is also an opportunity to increase footfall and penetration in-store by adding more NABLAB products to store’s offering.

Given limited space in-store, convenience owners must consider what food options to stock. Pizza, salty and chilled snacks all present the strongest sales opportunity and will drive basket value up.

Over the last 3 years, there has been a +64% value growth in the no-and-low alcohol category - now worth £34.2m in the convenience channel.3

With these cross-category combinations, we see the average basket spend increasing by £9.20.8

4. The (Higher) Value Perception

When looking at pack sizes, can packs are also becoming the pack type of choice for convenience shoppers with small and mid-pack sales growing mainly at the expense of bottle packs.4 Convenience stores can capitalise on this demand by introducing new products and providing the right share of assortment, shelf space and promotion slots to these growing segments.

In the face of growing economic uncertainty,

2. Fast & Convenient

While price competitiveness poses a challenge for convenience stores, they can differentiate themselves by highlighting their added value.

Given that shoppers spend an average of five minutes in-store, convenience owners need to attract time-conscious shoppers effectively through self-checkouts, clear navigation, and streamlined shopping experiences.5 In addition, with 96% of convenience beer sold cold and consumed within the initial three hours by 74% of shoppers, 6 stores should prioritise optimising fridge space to tap into shoppers looking to pick up a beer to drink on the go. Small changes like this will not only boost basket spend but also make the shopper journey easier encouraging customer loyalty. Alongside this, convenience shoppers tend to buy beer impulsively compared to shoppers at grocery mults. Convenience stores should capitalise by having in-front-of-store displays and gondola end shelving to grab the attention of shoppers and trigger impulsive purchases.

36% of shoppers have opted for more affordable supermarkets, contributing to a shift in spending habits.9 Shoppers continue to be price-sensitive, by comparing prices across a diverse range of channels.

This can be demonstrated through uplifting the overall experience with clear store navigation and working with brand partnerships. Additionally, the lower perception of time and convenience are the two core reasons why people purchase in convenience stores, and this can be further improved by digitalising the store and creating a one-stop shop through increasing store accessibility. The value equation consists of costs vs perceived benefits, meaning rewards, costs and time can all influence shoppers perceived value. Optimising these will give convenience store owners a competitive advantage against Grocery.

5. Loyalty and Promotions To boost sales and uplift shoppers’ experiences in-store, Convenience stores should appeal to a range of shopper demographics and invest in cross-category promotions with loyalty schemes. Through elevating the shopping experience, rewards play a pivotal role in making consumers feel valued. As 70% of consumers desire more discounts10, stores can utilise coupons or subscription models to enhance perceived value. By offering exclusive deals and enticing loyal customers, retailers can boost shopping frequency while sustaining customer excitement.

1. Nielsen – Total Coverage & Convenience – Value sales - FY 2023 vs 2022 2. Oxford Partnerships Snapshot Convenience -1/08/23; Kantar WPO (OOOLtrs) Class split Convenience Total Beer and Cider 03-sep-23 52 w/e vs 2022 & 2021 3. BBG Internal forecast - 2024 4. Nielsen - -Volume share of sales - Total Convenience - FY 2023 5. GB Total Impulse / NABLAB Segment - Latest 52 Weeks Vs Year Ago - WE 27 January 2024 6. Kantar - % spend through promotion – Convenience channel – MAT WE 29.10.2023

7. BBG – Global C-store playbook 8. RTP Canal Moderno y Online Cerveza, 2021; 2 Cstore Macro Trends, 2019 Budweiser CAL review for retail convenience 2023 9. Kantar Alcovision | 1 m/e 30th April 2021 10. BE: GFK FY 22 Basket Analysis; UK Kantar Worldpanel Take-Home 52w/e 16 April 2023; 11. Global Convenience trends 2023 – IGD & Lumina intelligence 2023

ARE YOU GROWiNG THE VALUE FROM YOUR BiSCUiT RANGE? The biscuits category is in growth – now worth £4.01bn1 – and biscuits were purchased by over 28 million households in the UK in 20232. The category can be broadly split into 3 segments: Healthier*, Savoury and Sweet, which are all in growth3, and there are two consumption occasions: In-home and ‘on-the-go’. Everyday Biscuits, Everyday Treats and Savoury are key value drivers, while Special Treats and Everyday Biscuits are driving volume. 4

BISCUITS TOP TIPS Have a display of both take-home and on-the-go biscuits (we recommend 80% of space is take-home) Group products clearly into sweet, savoury and healthier biscuits %lock by brands to help retailers ǫnd what they are looking for

RECOMMENDED MUST-STOCK BiSCUiTS – TAKE-HOME** 1. 2. 3. 4. 5. 6.

Oreo Vanilla Original gers Cadbury Dairy Milk Chocolate Fingers Cadbury Time Out Ritz Crackers Belvita Honey Lu Chocolate

RECOMMENDED MUST-STOCK BiSCUiTS – ON-THE-GO 1. 2. 3. 4. 5.

Lu Mikado Belvita Soft Bakes Choc Chip Grenade Oreo Grenade Salted Caramel Grenade Cookie Dough

Allocate the space according to sales potential, giving more space to bestsellers. Do ensure growing sectors that drive value are represented, however, including Healthier, Savoury and Special Treats Highlight bestselling lines Display clear pricing, showing cash margins 2ǿer both 303 and non-303 lines Encourage retailers to make the most of the seasonal opportunity by creating impactful displays to catch their attention when making purchase decisions in depot Select brands that are aligned to consumer trends like wellbeing, sustainability, value and occasions Ensure 13D and promotional products are stocked in advance of consumer media and work with suppliers who are supporting launches

)or the full 0ondele] ,nternational core range

recommended list go to www.snackdisplay.co.uk

Digital marketing guidance for wholesalers4 Retailers’ use of digital channels has increased so a focus on retaining these customers is key:

• Understand top search terms • 3roduct images are key6 – reach out to suppliers for these

• /ook at your data, and use a ‘test and learn’ approach

• Have facilities to ǫlter pages by brand

• Have fast-working pages and consider having lists, past orders and favourites

• Don’t forget telephone sales as these tend to peak at busy times so are still important

For market best-sellers, product information, latest trends, category information and retail display advice, visit www.snackdisplay.co.uk Bringing snack sales to life in independent retail: Confectionery • Biscuits and Snack Bars • Hot Beverages • Cheese 1

1ielsen ,4, Total market incl discounters, / wks w e 0.1 . .antar :32, Total 0arket, w e .1 . 1ielsen ,4, Total market incl. Discounters, / wks w e 0.1 . 1ielsen ,4, Total market incl. Discounters value and units, <TD,w.e 0.1 . ,GD :holesale 2nline %est 3ractice 0 1 6 ,GD :holesale 2nline %est 3ractice 0 1 As deǫned by 1ielsen 3rice marked packs available. 5etailers are free to set their own prices. 1ielsen ,4, Total market incl. Discounters value and units, <TD,w.e 0.1 .

Subject to availability. Non PMP also available. Retailers are free to set their own prices.

MAXIMISING YOUR CHEWING GUM OFFERING 8ļ ðĳ œðļºą ļě éºœÖ ÖƋÖÊļðœÖϖ ÖśÖϻÊºļÊéðđâ ũðŚļŃīÖĳ ļéºļ ºīÖ Öºĳś ļě ĳéěĨ ļě âÖđÖīºļÖ ðđÊīÖĎÖđļºą âŃĎ ĳºąÖĳϕ 8đ ěīÐÖī ļě ÊºļÖī áěī ÐðƋÖīÖđļ ĳéěĨĨÖī Ďðĳĳðěđĳϖ ĳļěīÖĳ ĳéěŃąÐ ąěěā ļě ĳļěÊā ÐðƋÖīÖđļ âŃĎ áěīĎºļĳ ºđÐ ũąºœěŃīĳϕ wðđâąÖĳ ļÖđÐ ļě ÉÖ ĨěĨŃąºī áěī ěđϻļéÖϻâě ĨŃīÊéºĳÖĳ Ŕðļé ÊěđĳŃĎÖīĳϖ ĳě īÖļºðąÖīĳ ĳéěŃąÐ ÖđĳŃīÖ ļéºļ ļéÖś ºīÖ ĳļěÊāðđâ ĨěĨŃąºī ĳðđâąÖ wG ĳ Éś ļéÖ ļðąąϖ ŔéðÊé ðđ ļŃīđ Ŕðąą éÖąĨ ļě Éěěĳļ ðĎĨŃąĳÖ ĳºąÖĳ ºđÐ ðđÊīÖºĳÖ ÉºĳāÖļ ĳĨÖđÐϕ +ŃĎ ÉěļļąÖĳ ļÖđÐ ļě ÉÖ ĎěīÖ ĨěĨŃąºī ºĳ º ĳéºīðđâ ěĨļðěđ áěī ÊěđĳŃĎÖīĳϖ ðÐÖºą áěī ĨąºÊðđâ ěđ ļéÖðī ÐÖĳāĳ ºļ Ŕěīā ěī éěĎÖ ěī ðđ ļéÖðī Êºīĳ áěī ÊěđœÖđðÖđÊÖϕ

MERCHANDISING

TOP TIPS:

RECOMMENDED

CORE GUM RANGE

VISIBILITY

Place popular SKUs just below eye level, at ‘buy level’, to take advantage of incremental sales.

NPD

Champion new products in store in order to raise sales and capitalise on early consumer demand.

SECONDARY SITING

ſÖÊļðœÖ ĳÖÊěđÐºīś ĳðļðđâ alongside core till point merchandising can boost impulse sales with all shoppers.

OF SALE

Increase awareness of new campaigns and new products by making use of point of sale in store. Consumers will be intrigued by what catches their eye.

For more information visit www.extra.co.uk and www.availabilityintoaction.co.uk

STOCK UP FOR

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WITH FRUITY GUM, AND NEW WATERMELON FLAVOUR!

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1/3 of Fruity Gum shoppers only buy Fruity Gum**

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Winning in Convenience with 4.1%

96.1% of UK Households buy Hot Beverages2, with Coffee and Tea being the third and seventh largest ambient

4.4%

grocery categories respectively3. Range, availability, and feature space for Hot Beverages are all determining factors for which retailer shoppers choose to shop in. Historically in the UK, we have been a nation of Tea drinkers, but we are fast becoming a nation of Coffee

28.5%

63%

drinkers. Coffee accounts for 63.0% of all Hot Beverages sales1, worth £1.67bn1 and is the most important category for retailers to be winning in. In terms of cups, Coffee is forecast to overtake Tea to become the UK’s most consumed Hot Beverage. Since 2019, Coffee has delivered +£263M value growth4 with every single segment contributing to the strong growth. This growth is expected to continue over the next 3 years, with all segments continuing to contribute to future growth.

Coffee

Tea

Hot Chocolate

All other hot bevs

Coffee in the Wholesale & Convenience (W&C) Channel Coffee in Wholesale and Convenience is worth £88M5,

Coffee is made up of four segments: Instant, Mixes

with the W&C channel growing +1.2% in 2023 versus 20225.

Sachets, Roast & Ground and Pods. In Convenience,

Convenience shopper missions over index in Needs for

Instant and Mixes Sachets are the most important

Today and Top Up Shop. Due to these shopper missions,

segments as they overtrade versus the Total Market.

ranging and merchandising have become ever more

Ensuring enough space is given to both segments is vital

important for convenience retailers. Retailers need to

for retailers, with needstates in all segments prioritised.

ensure they are covering as many different need states

For R&G and Pods, having offerings in Ground Coffee,

as they can with the space that they allocate to Coffee.

Dolce Gusto Pods and Tassimo Pods is essential to cover the need states and satisfy the shopper missions.

Segment Share of Coffee (%)

Format Share of W+C Coffee (%)

2.3% 17.0%

8.4% 15.4%

43.8%

18.6%

61.6%

11.4%

Instant

PMP

Mixes

Non PMP

73.8% R&G 56.2%

53.0% Pods

Total Market

Convenience

38.4%

Year Ago

Last Year

The second most important factor for convenience retailers is to prioritise Price Marked Packs (PMP) where possible. This is because PMP has grown its share of W&C to account for 56.2% of all channel sales5. PMP can allow shoppers to plan ahead and guarantee a fixed price all year round. For retailers, it also allows a call out on promotions as shoppers can compare the promotional price to the PMP.

Which products are essential for retailers to list?

How should retailers merchandise these SKUs?

Nescafé Gold Blend PMP 95G (Instant)

Merchandising is important for all retailers as it enables

Nescafé Original PMP 95G (Instant)

shoppers to navigate fixtures quickly and efficiently. Even

Nescafé Original 3in1 PMP 6s

Nescafé Azera Americano PMP 90G

to right so higher pence per cup propositions should sit

Kenco Smooth PMP 100G

further right.

Nescafé Gold Cappuccino PMP 8s

Nescafé Original Decaf PMP 95g

Nescafé Gold Latte PMP 8s

Merchandise by Segment First

Taylors of Harrogate Rich Italian Ground 200G

Merchandise by Subsegment within each Segment

Merchandise by Brand by Subsegment

retailers with limited space can merchandise efficiently. Shoppers read a fixture like they would a book, from left

Retailers must abide by merchandising principles:

10 Tassimo Kenco Americano 16s 11 Nescafé Dolce Gusto Cappuccino PMP 12s

On larger fixtures there is then scope to broaden ranges in the biggest segments and introduce different brands. The fixture show is a best in class example, listing the best selling SKUs in each subsegment, which adheres to the merchandising principles.

Core Instant Decaf

Regular

Premium

Mixes Super Premium

IN1s

Frothy

R&G Ground

Pods Dolce Gusto

Tassimo

STEPS TO SWEET SUCCESS The confectionery market saw growth in 2023,1 with consumers returning to on-the-go consumption, renewing the importance of singles and duos formats. Research shows when it comes to purchasing confectionery website and depot purchases are the most popular for retailers, with 40-50% of retailers purchasing from depot, so it’s important to have a strong aisle display to help increase sales2.

RECOMMENDED MUST-STOCK LiSTS* CHOCOLATE SiNGLES

Display a core range covering singles, duos, blocks, bags and gifting

1. 2. 3. 4. 5. 6. 7. 8.

Allocate the space according to sales potential, allocating more space to best sellers

DUOS

CONFECTIONERY IN DEPOT: TOP TIPS

Highlight best selling lines Have clear pricing, showing clear cash margins 2ǿer both 303 and non 303 lines Encourage retailers to make the most of the seasonal opportunity, for example by displaying on rack ends at appropriate times

Cadbury Twirl Cadbury Wispa Cadbury Wispa Gold Cadbury Starbar Cadbury Dairy Milk Caramel Cadbury Crunchie Cadbury Dairy Milk Cadbury Picnic

1. Cadbury Twirl Xtra 2. Cadbury Wispa Duo o 3. Cadbury Double Decker Duo

MINTS 1. Trebor Extra Strong Peppermint intt 2. Trebor Softmints Spearmint 3. Trebor Softmints Peppermint 4. Halls Soothers Blackcurrant 5. Halls Menthol )or the full 0ondele] ,nternational core range

recommended list go to www.snackdisplay.co.uk

Digital marketing guidance for wholesalers** Ensure 13D and promotional products are stocked in advance of consumer media and work with suppliers who are supporting launches and creating consumer awareness

Retailers’ use of digital channels has increased so a focus on retaining these customers is key:

36%3 of retailers purchase confectionery from main aisle so create impactful displays to catch the eyes of retailers when they are making purchase decisions in depot. Displaying products by the till point is one of the most eǿective placements

ƿ Look at your data, and use a ‘test and learn’ approach

Use the category knowledge of suppliers who help to promote best practice to retailers, including sharing planograms Advise retailers about spending strategy – some retailers go for best margin, that’s not always the best approach– a great margin on a product that doesn’t sell isn’t helpful

ƿ Have fast-working pages and consider having lists, past orders and favourites

ƿ Understand top search terms ƿ 3roduct images are key - reach out to suppliers for these ƿ Have facilities to ǫlter pages by brand ƿ Don’t forget telephone sales as these tend to peak at busy times so are still important

For market best-sellers, product information, latest trends, category information and retail display advice, visit www.snackdisplay.co.uk %ringing snack sales to life in independent retail &onfectionery ƿ %iscuits and Snack %ars ƿ Hot %everages ƿ &heese 1 Nielsen, w/e 30.12.2023 2 Lumina Study November 2023 3 Lumina, &73, -uly 2023. 3rice marked packs available. 5etailers are free to set their own prices. Lumina :holesale 2nline 5eport 2021 ,*D :holesale 2nline %est 3ractice 2021

YOURS FOR

YEARS

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LI MI TE D E D I TI O N PAC KS AVA I L A BL E N OW Subject to availability.

RISE TO THE CHALLENGE INSPIRING CONFIDENCE IN THE INSP KITCHEN WITH KERRYMAID, FROM KITCH OPENING UP TO LIGHTS OUT AND OPEN EVERYWHERE IN-BETWEEN. EV DISCOVER HOW TOGETHER WITH DISCO KERRYMAID, YOU CAN ACHIEVE A KERR SMOOTH FINISH TO EVERY DISH. SMO

SMOOTH & CREAMY

KERRYMAID CREAM ALTERNATIVES Our Rich & Creamy Kerrymaid Single, Whipping and Double Creams have a long shelf life, they can be stored ambient until needed and designed to give consistent results in sweet and savoury dishes.

THE PERFECT MELT KERRYMAID ORIGINAL SLICES

Easy peel slices that melt evenly eliciously c heesy burgers. for deliciously cheesy

SILKY SMOOTH SAUCES

KERRYMAID CULINARY SAUCES High quality, ready-made sauces, without the fuss.

EASY PEASY VEGAN CHEEZY KERRYMAID VEGAN SLICES

Kerrymaid Vegan Slices are a truly tasty and fully functional, sliceon-slice that melts magniﬁcently and binds brilliantly.

AVAILABLE IN: 1L, 5L & 10L

SOFT & SMOOTH

KERRYMAID ANGELITO ICE CREAM MIX

FOR RECIPE INSPIRATION AND TOP TIPS VISIT US AT: WWW.KERRYMAID.COM @KerrymaidDairy

The no.1 base for taste... with 40% more yield than other soft serve mixes!*

Sources: * Consumer Testing, Base 100 - Date 12.23, Based on a 143g serving, 7 servings per 1ltr carton.

DRIVE FLAVOURED MILK R A N GI N G EFF FFEECTIVE IVELLY AS the UK’s number one flavoured milk brand1, purchased by one in nine households2, Yazoo knows a thing or two about maximising fridge sales and unlocking the value of the category. A muststock of any fridge, Yazoo has a range of products that meet all shopper’s needs. Our bestselling Yazoo core range provides a deliciously refreshing afternoon pick me up, perfectly suited for on the go in our 400ml format or for those social occasions with

our 1l sharing pack. Breadth of range and ensuring all shoppers needs are met are key ranging principles to drive more sales, so Yazoo recently launched the Yazoo Thick N’ Creamy range of 300ml Indulgent Chocolate and Creamy Strawberry onthe-go packs. These sit perfectly beside the core Yazoo range, as they are for the thicker milkshake lover. Stock up on both ranges to meet the needs of all flavoured milk shoppers.

THREE TIP IPS S TO R ANGI GIN NG

VIEW

Ensuring there is a visible shelf-edge label for your products is crucial. Shoppers don’t have time to dwell and price is a critical point of reference when it comes to purchasing decisions.

Adam Tidbury, category manager out of home, FrieslandCampina

“THE shopper’s experience is paramount to ensuring retailers drive sales – if shoppers

Flavoured milk should be merchandised within soft drinks, and bestsellers should be stocked in the middle of shelves at eye level. Extra facings should be given to topselling flavours including strawberry and chocolate.

Yazoo has invested in a £3.1m TV campaign, so shoppers will be on the lookout. Ensure you are stocked up and it

front-of-store chiller areas.

elsewhere. Ensure you are stocking Yazoo, the number-one flavoured milk brand, to clearly signpost your flavoured milk range to shoppers. “Factors such as flavours, pack size, price and consistency are all key considerations for shoppers. To drive sales you need to make shopping as easy as possible for your customers using these tips.”

To range, visit yazoo.co.uk 1

IRI Infoscan, To Total Ma Market, Vol Voluume Sa Sales, Fl Flavoured Mi Milk, 52 52 w/ w/e 23 23 De Dec, 23 23, 2Kantar Wo Worldpanel , YA YA ZOO Pe Penetration, 52 52w/e 23 23 De Dec, 23 23

*Source: IRI infoscan, Total Market, Volume Sales, Flavoured Milk, 52 w/e 30 Dec 23

CATEGORY TIPS FOR WHOLESALERS FROM THE

GLOBAL LEADERS IN PROTEIN MEAT SNACKS CORE CHILLED MEAT SNACK RANGE

No.1

CHILLED MEAT SNACK BRAND

£1.25 PMP OR 2 FOR £2.00

Sources: 1. The Grocer’s Top Products 2022 in association with Nielsen IQ: 52 weeks to 10 September 2022. 2. Lumina Convenience Tracking Feb 2021 3. Value Sales, Nielsen MAT data to Nov 2023.

NEW PRODUCTS Display units available

NEW!

BBQ SALAMI FOR MORE INFORMATION, CONTACT: POS.UK@JACKLINKS.COM

TREND

G R OW T H

TRADE UP

Protein has become mainstream, now nearly 1 in every 3 households in the UK buys a meat snack

Meat snacking growing ahead of chocolate and bagged snacks1

Meat snacking shoppers spend +27% more than the average snacks shopper 2

JERKY & BILTONG RANGE

PROTEIN SHELF LIFE

Y K R E J 1 # N I D N A BR 4 K THE U MERCHANDISING Display units available Source: 4. Value Sales, Nielsen MAT data to Nov 2023

PLACE ON FIXTURE NEXT TO BAGGED SNACKS

FOR MORE INFORMATION, CONTACT: POS.UK@JACKLINKS.COM

FLAVOURS AS THEY SHOULD

TASTE Vuse e-cigarettes contain nicotine which is addictive. Dispose of responsibly. 18+ only. This product contains nicotine and is addictive. For adult nicotine consumers only. For trade use only.

NEW

RANGE

Available at most Wholesalers and Cash-and-carries Discuss with your BAT Key Account Representative

DISCOVER GREATER P Malbec is the largest red varietal in the GB market and is seeing very strong growth Malbec +6.5% Merlot -2.4%

Shiraz -1.7% Blend +5.3% Variety % change (volume sales)

Tempranillo +0.9% Cab Sauv -0.5% Bordeaux Rhone +5.8%

Trivento Reserve Malbec is over 3 times the size of the nearest competitor SKU Top 10 Malbec 75cl SKUs, Value Sales (‘M), MAT

£74.0m

TRIVENTO RESERVE JAM SHED

£20.9m

TRIVENTO PRIVATE RESERVE

£17.7m

BAREFOOT

£16.1m

TRAPICHE RESERVE

£14.8m

CASILLERO DEL DIABLO

£13.1m

YELLOW TAIL

£12.8m

LAS MORAS

£8.5m

BEEFSTEAK CLUB BEEF & LIBERTY

£8.1m

TRAPICHE PURE

£5.3m

ROFITS with TRIVENTO Malbec is a premium red varietal Top 4 Red Wine Varietals, Average price per 75cl, MAT

£6.93 £6.58 £6.33 £6.06 MALBEC

SHIRAZ

MERLOT

BLEND

Trivento has 2 of the largest premium Malbec SKUs in Private Reserve and Golden Reserve, and they are seeing strong growth Top 5 Premium* Malbec SKUs, Value Sales +/- YA (‘M), MAT

1. TRIVENTO PRIVATE RESERVE

£17.7m +£1.82m 2. TRAPICHE PURE

£5.3m -£0.3m 3. TRIVENTO GOLDEN RESERVE

£5.0m 4. VINALBA RESERVE

£4.2m +£0.98m 5. LAS DALIAS

£3.5m +£0.61m Source; NielsenIQ Scantrack data to 30.12.23