Retail Express - 13 December 2022

THIS is the last issue of Retail Express of 2022. It’s been another turbulent year, all while proving how adaptable independent retailers can be. Although there have been lows, it’s important to remind ourselves of some of the highs over the past 12 months.

Let’s start with a moment of history. In May, shop staff were given greater protection, in law, from violent incidents. This now aligns England with Scotland.

This was a landmark ruling, recognising the daily challenges faced by retailers on the front line. These challenges were highlighted in the ACS’ 2022 crime report, which revealed 89% of shopworkers face abuse in their job.

Business rates changes creates ‘window’ for scammers

MEGAN HUMPHREY

STORE owners have been warned to stay vigilant of business-rate scammers likely to take advantage of a ‘loophole’ due to changes in the revaluation list.

bills from April onwards.

However, experts have warned the potential for reductions in rates payable is an opportunity for scammers to target independent stores.

period, regardless of why the reduction happens.

Chartered surveyor Ian Sloane revealed the period from now to April represented a ‘window’ for scammers to get stores into these contracts.

exemption. A contract with fraudsters to pay 25-30% of any saving over the upcoming valuation period would cost the retailer between £13,500 and £16,200.

In the same year, a “groundbreaking” tool, using track-and-trace, was launched to help accelerate the fight against illicit tobacco. As a result, real-time alerts are now sent to police if tobacco is potentially being sold by an illegal trader. My hope is that going into next year, some of the big legislative changes we’ve seen will make a real difference across independent retail.

Most retail premises’ values have fallen, especially in town centres, and, as a result, the reduction will be re�lected in

THIS WAS A LANDMARK RULING

Time will tell, but at least it’s a start. Looking elsewhere, we can’t ignore the generosity and desire from store owners to go above and beyond for their communities throughout the cost-of-living crisis.

We’ve seen retailers delaying sales of over £2,000 to help hard-up customers, as well as teaming up with food banks and mental health charities. I have no doubt we will see this continue into 2023. I know times are hard, but remember how resilient you are. Merry Christmas and a happy new year.

Senior news reporter Alex Yau @AlexYau_ 020 7689 3358

Often, fraudulent rates companies persuade retailers to sign contracts that give the company a percentage of any reduction rates that occurs over the multi-year evaluation

For example, a retailer with rates of £18,000 this year might see their bill fall to £0 due to valuations falling to within the limit for total rates

Sloane said: “Never sign up to any long-term contract, and seek a second opinion. Some retailers are still paying annual fees having signed contracts from before 2017.”

For the full story, go to betterRetailing.com and search ‘business rates’

Ukraine opportunity PayPoint support

A NEW retail scheme is looking to get Ukrainian goods into convenience stores and support victims of the war.

UCARE launched in September, and specialises in helping retailers in Europe create a ‘Ukrainian shelf’, with more than 2,000 eve-

ryday items to choose from, and free point of sale and planograms.

Co-founder Vlad Kytaihorodskyi said the company is already in talks with threeto-�ive retailers, and said 50% of the proceeds will go to aid charities.

PAYPOINT has con�irmed it will be increasing its support for parcel, electronic voucher and cash-out schemes.

Commenting on the company’s �inancial results for the six months ending 30 September, chief executive Nick Wiles revealed PayPoint was

“rebalancing towards growth opportunities”.

He added: “What we most want is a retailer that offers everything on the menu. Retailers can earn the most money from those services and we want to make it worthwhile.”

AG Barr buys Boost

For the full story, go to betterRetailing.com and search ‘Boost’

For the full story, go to betterRetailing.com and search ‘PayPoint’

Blackouts scrapped

STORES will no longer face blackouts this winter after the National Grid con�irmed it would be scrapping plans to activate its emergency strategy.

The move came as of�icials established there would be

enough energy supply, despite previous concerns. Originally, it was threatened blackouts would be imposed between 4pm and 7pm on the coldest days in January and February if Europe cut its gas exports due to the Ukrainian crisis.

Megan Humphrey, editor

Councils fail to take action against shops selling illicit

MEGAN HUMPHREY

NEARLY all (90%) county councils in England carried out less than 30 illicit tobacco raids on dodgy shops in the past three years, averaging just 10 a year.

Freedom of Information (FOI) requests by Retail Express revealed 521 seizures took place by trading standards in the past three years, resulting in 74 temporary closure orders. A total of 2,723 reports of illegal tobacco sales at convenience stores were also recorded.

Thirty-one county councils provided submissions, with North Northamptonshire, Dorset, Somerset, Durham and Southampton unable to do so.

Hampshire was among one of the worst offenders, recording only one seizure over the three-year period. In 2020, it received just three reports of illicit tobacco being sold, followed by four in 2021 and 16 in 2022.

Similarly, Wiltshire recorded only one seizure in 2020 following four reports of illegal activity, but had none in the consecutive two years.

Cambridgeshire carried out just two seizures in three years, both taking place in 2020, after receiving 17 reports, with 10 in 2021 and 14 this year.

When asked why this number was so low, Wiltshire councillor Ian Blair-

Pilling, cabinet member for public protection, said: “We robustly tackle this issue and have prosecuted several businesses for the sale of illegal tobacco. This sends a clear message that it is not tolerated in Wiltshire.

“It’s also worth noting that Wiltshire has a lowerthan-average smoking rate, and complaints are also received about illegal tobacco being sold from private houses, not just retail premises.”

Elsewhere, Lincolnshire had the highest success rate in taking action, carrying out a total of 130 seizures in the past three years, and issuing 20 temporary closure orders.

Lincolnshire’s operational delivery manager, Emma Milligan, told Retail Express the region “takes reports of illicit tobacco sales extremely seriously”.

She revealed an initiative known as ‘Operation Aladdin’ plays an important role in cracking down on illicit being sold in dodgy shops.

“We work directly with landlords of premises where illicit tobacco is found,” she said.

“They often aren’t aware their tenants are trading in illegal products and act swiftly to remove them from the premises, resulting in no further offending from that shop.”

Milligan added: “We act swiftly on public reports, including seeking closure orders on stores found to

be trading in these products, immediately cutting off their trade while we seek further prosecutions through the courts.”

Lincolnshire was followed by Kent, which carried out 51 seizures after receiving 276 individual reports, and Nottinghamshire, which conducted 30 seizures and eight temporary closure orders from 33 reports.

However, �igures from an ACS survey of trading standards of�icers across England and Wales this year revealed almost twothirds (61%) believe they don’t have suf�icient funding to tackle the illicit vaping and tobacco market.

Last year, the Finance Act 2022 gave HMRC the ability to issue ‘on the spot’ �ines of up to £10,000 and suspend tobacco licences in the event of wrongdoing, but despite promising to extend these pow-

ers to trading standards, no further action has yet been taken.

Tobacco supplier JTI stood in Parliament last month, calling for stronger powers and additional funding for trading standards. In response to the FOI analysis by Retail Express, �iscal and regulatory affairs manager Ian Howell explained: “The investigation undertaken by Retail Express further demonstrates why JTI’s recent call for some of HMRC’s powers to be extended to trading standards is so important.

“One of trading standards’ most vital functions is to ensure that all retailers on the UK’s high streets are operating legally, and we know the task they face regarding illegal tobacco is monumental.

“I’m sure every reader of Retail Express knows of a store that has been raided, only to see them continue

to trade illegally. Therefore, the ability of trading standards to issue an ‘on-thespot’ �ine of up to £10,000, instead of having to go through the time and expense of the court system, will act as a quicker punishment and a more effective deterrent.”

The Fed’s national president, Jason Birks, added: “We work hard to raise the pro�ile of all the dangers associated with illicit tobacco and have repeatedly warned the government that it needs to act by allocating suf�icient resources to tackle this scourge.

“We are pleased some councils are taking action but urge others to step up, although we appreciate resource is an issue.”

To report the sale of illicit tobacco to trading standards, call the Citizens Advice consumer helpline on 0808 223 1133.

EDEN FARM: The chilled and frozen food wholesaler is ramping up its support to retailers by helping them tackle rising costs. Sales director Ben Lawrence confirmed a number of developments in its storage facilities and vehicles were being made to improve overall availability.

For the full story, go to betterRetailing.com and search ‘Eden Farm’

MAGAZINES: Waterstones has introduced magazine ranges into a selection of its bestknown stores. One magazine industry insider said dozens of Waterstones throughout the UK, including its Foyles chain in London, are to introduce a selection of titles with new magazine racks installed last month.

For the full story, go to betterRetailing.com and search ‘Waterstones’

BAD WEEK

LOTTERY SALES: National Lottery operator Camelot has revealed sales across retail fell by 4.7% to £2.28bn for the six months ending 24 September 2022. In its latest results, the firm attributed the decline to “difficult conditions in retail”, including a drop in footfall in some sectors and customers favouring more infrequent, bigger shopping trips.

For the full story, go to betterRetailing.com and search ‘Camelot’

HBSC: A total of 114 branches across the UK are set to close, affecting access to cash in local communities and banking for some independent retailers. Stores previously said the closures would lead to more time spent travelling to bank takings, and more demand for Post Office banking services. Once the phased closures are complete, there will be 327 HSBC branches.

“It’s important to remember that a lot of female retailers might not have travelled the country by themselves before to attend work events. This can usually be intimidating, especially when you know the event is going to be male-heavy. Introducing a ‘buddy-up scheme’ where women can travel together might be a more comfortable option, and I know some people have done this in the past.”

Anonymous retailer

“I find the prospect of going alone to industry events intimidating, which is a challenge I want to overcome. Hosting more events like Women in Convenience would really help with this, as it gives us a platform to share our own thoughts and opinions with like-minded individuals, and build confidence in a safe space. This would make me feel like a valued member of the industry, rather than excluded.”

Anonymous retailer

“Reaching out to other female retailers on social media groups or forums can be a really good way to build your own network. I’ve made some good allies and friends doing this, which, in turn, has given me a lot more confidence as I knew someone going through the same experiences as me. I really feel more like myself when I’ve spent time with others like me. Sometimes, we meet up for social occasions as well, which is an added bonus.”

Natalie

How are you building your own network of female retailers to help grow confidence?

Lightfoot, Londis Solo Convenience, Glasgow

Natalie Lightfoot

Menzies to pick up bottles for DRS

MEGAN HUMPHREY

A “DEAL is in the pipeline” for Menzies to use its vehicles to pick up bottles from retailers participating in Scotland’s deposit return scheme (DRS).

Waste management company Biffa is the scheme’s logistics partner, and is responsible for collecting containers collected by return point operators (RPO).

Speaking at scheme administrator Circularity Scotland Limited’s (CSL) conference last month, head of supply chain projects David Wilson said Biffa intends to “tap into existing networks as much as possible”, and is “in talks with retailers about commercial arrangements for pick-ups through existing networks”.

In response, a source told Retail Express a “deal is in the pipeline between Biffa and

Menzies to collect containers when it delivers newspapers and magazines to retailers”.

Retail Express understands the partnership would result in the containers returned using the same vans that deliver newspapers and magazines.

Menzies was unable to provide a comment in response to the claims. From 16 August 2023, every single-use drink container sold in Scotland –including plastic bottles, cans

and glass – will be subject to a 20p deposit. This will then be refunded to consumers when they take back the container to their local shop acting as an RPO, via a return vending machine or manually.

Ireland’s scheme, Re-turn, was announced at the end of last month, with a go-live date of February 2024. England, Wales and Northern Ireland are expected to follow suit in the same year.

For the full story, go to betterRetailing.com and search ‘Menzies’

Covid loan abuser

A FORMER convenience store owner has been slapped with a ban from running a business for 11 years after abusing a government Covid-19 Bounce Back Loan.

Forty-year-old Lewisham retailer David Ocaya Okot, director of B&S Newsagents

on Manor Lane in south-east London, received the disquali�ication last month for transferring £50,000 from the company to his personal account.

He admitted to taking out the loan more than six months after closing his struggling store.

BESTWAY EXTENDS LEVY

COSTCUTTER retailers will continue saving £10.99 on each delivery after Bestway confirmed it will be extending its fuel levy refund.

The refund is available to retailers who spend £7,500 on deliveries per week. Initially, it was available for June, July and August this year to support stores with rising costs, and will now be up for grabs going into next year.

For the full story, go to betterRetailing.com and search ‘Bestway’

A spokesperson for Bestway said: “We are pleased to maintain this refund”, but that a review will be carried out in early 2023.

Fake JTI rep scam

RETAILERS have warned others to stay vigilant of a fake JTI rep visiting stores in London.

CCTV footage from one west London store captured on 16 November shows a bearded man wearing an Apple Watch and a chain entering a newsagent at midday.

A legitimate tobacco rep claimed the impersonator was likely attempting to get behind the counter. JTI �ield sales director Jan Louw urged retailers to always “verify the identity of anyone claiming to be a JTI business advisor”.

For the full story, go to betterRetailing.com and search ‘JTI’

This product contains nicotine and is addictive. For adult nicotine consumers only. *This product is not risk-free and contains nicotine, an addictive substance. For trade use only.

PRODUCTS

Mondelez’s snack support site

JASPER HART

MONDELEZ International has launched Snack Display, a website to support convenience retailers with product news, category advice and bestseller information to help them grow their sales.

The site, an updated version of the supplier’s former Delicious Display website, also offers planograms, PoS and customer loyalty schemes.

To mark the launch of Snack Display, Mondelez is offering retailers the chance to win £1,000-worth of stock. To enter, retailers can register for or log into their Snack Display account and

�ill in a short form.

The competition runs until 31 December. Retailers who currently have a Delicious Display account can use their existing email address and password to access Snack Display.

Susan Nash, trade communications manager at Mondelez, said: “We are proud to be supporting the trade with the launch of our new website, as it’s never been more important to help our retailers make the most of opportunities. We encourage retailers to sign up today, and explore the many informative resources on Snack Display to help them maximise their sales and stay up to date.”

Barratt launches soft drinks range

VALEO Snackfoods has partnered with brand developer Whatever Brands to launch a range of soft drinks under the Barratt brand.

The range has launched initially in Home Bargains, B&M Bargains and Heron Foods with �lavours based on Fruit Salad, Wham and Flumps sweets in 850ml recycled PET bottles.

The drinks are made with 100% natural �lavourings and are fat-free. They are also sugar-tax-exempt and non-HFSS, with less than 5g of sugar per 100ml.

The supplier says it plans to extend the range’s availability as well as its size, with more �lavours and formats set for 2023.

Barr gives Family range new look

BARR Soft Drinks has relaunched its Barr Family range with a new look to create standout on shelf.

The new packaging is rolling out across all 500ml and 2l PET, 750ml glass and 330ml can formats, including multipacks.

New PoS and display units for retailers and wholesalers will also be available from early 2023.

Adrian Troy, marketing director at Barr, said: “We know more shoppers are switching to own label across many other categories, but �lavoured carbonates are not seeing this change in behaviour, as shoppers continue to choose their favourite brands. We are con�ident

that retailers can drive incremental soft drinks sales by stocking the full Barr range in a variety of formats.”

Schweppes launches Xmas ad campaign

COCA-COLA Europaci�ic Partners (CCEP) has brought back Schweppes’ multimillion-pound Christmas marketing campaign.

The ‘We’ve got the tonic, you’ve got the spirit’ campaign is centred around a TV advert, airing from early December, which focuses on family and friends enjoying the festivities together.

It will also run across ondemand, outdoor and social

media advertising. Additionally, the supplier is partnering with mixology in�luencers, who will show people how to make festive serves. These serves include the Raspberry Mule, which includes Schweppes Tonic, gin, Chambord, lime juice and a slice of orange, and the Jolly Gin Collins, which includes Schweppes Tonic, gin, fresh lime juice, Cointreau and a lime wedge.

Dead Man’s Fingers zero-alcohol rum

HALEWOOD Artisanal Spirits is expanding its Dead Man’s Fingers rum into the lowand no-alcohol segment for the �irst time with the launch of Spiced 0.0.

The alcohol-free version of Dead Man’s Fingers’ popular Spiced variety is available now with an RRP of £20.

It has been made with the supplier’s spinning cone technology, which de-alcoholises Dead Man’s Fingers Spiced Rum at a high heat, allowing the liquid to keep its taste.

Rachel Adams, marketing director at Halewood Artisanal Spirits, said: “With very few alcohol-free rum

alternatives currently on the market, our new Spiced 0.0 offers an exciting proposition to tap into the growing low and no trend, all under the strength of the Dead Man’s Fingers brand.”

Soreen launches Christmas Loaf

SOREEN has launched a Deliciously Snowy Christmas Loaf for the festive season, as well as relaunching its limited-edition Raspberry & White Chocolate and Gingerbread Mini Loaves.

The HFSS-compliant vegan loaf (RRP £1.25) contains a mix of raisins, currants and cherries, with hints of citrus and winter spices, with 159 calories per portion.

It also contains 87% less saturated fat and 38% less sugar than the average Christmas pudding choice.

Meanwhile, the Mini Loaves (RRP £1.25) contain fewer than 100 calories per bar.

Liz Jacobs, marketing director at Soreen, said: “Our

Deliciously Snowy range offers families a tasty treat that is low in calories, low in saturated fat and still either on-the-go, after or

Rollover launches cheeseburgers

ROLLOVER has expanded its burger-to-go range with the launch of a Cheeseburger and Double Cheeseburger.

Both burgers include quarter-pounder (113g) beef patties, served with slices of cheese in artisanal buns.

They are available in a pre-cooked, frozen format and served in fully recyclable, biodegradable and compostable packaging made from a combination of wrapping paper and a cardboard tray, which the supplier says retains their temperature and makes them easy to eat on the go.

The launch comes as 63% of the population of Great Britain purchases burgers once a month. Beef

burgers are the most popular type of burger ahead of chicken and vegetarian options, accounting for 65% of total burger sales in foodservice, worth £1.6bn.

KP brings Tyrrells to TV for Christmas

KP SNACKS has followed up its Tyrrells Christmas packaging with the return of the brand’s ‘Tyrrellbly tyrrellbly tasty’ campaign to TV.

Running until 18 December, the advert will show Tyrells Lentil Crisps, which the supplier says have had exponential growth in the past year.

It places the range in classic British Pathé archive footage, and is part of a £1.2m investment supported by social media.

The campaign comes ahead of the Christmas period, as consumers are willing to spend more on higher quality crisps, snacks and nuts (CSN) over Christmas.

Amy Heap, Tyrrells mar-

keting manager, said: “Designed to engage shoppers and drive brand penetration at Christmas, the TV and social media campaign combines creativity and classic imagery associated with the Tyrrells brand.”

What’s Ribena Sparkling?

FOLLOWING the success of Ribena Sparkling’s launch in 2020, Ribena Sparkling Zero Sugar features the refreshing taste of a carbonated soft drink in Ribena’s Blackcurrant flavour, without the addition of sugar.

The Ribena Sparkling range has added more than £11m1 to the flavoured carbonates segment since launch and is also exempt from all HFSS restrictions – just like SBF GB&I’s other favourite soft drinks brands. Ribena Sparkling Zero Sugar is an exciting, new must-stock product for retailers, who can be reassured that they can site and sell it anywhere in store.

Ribena Sparkling Zero Sugar also features the new pack design which has rolled out across the whole Sparkling range, helping the drinks to stand out on shelf and drive sales.

It is available in 500ml and 2l bottles, meeting shopper needs for both ‘drink now’ and ‘drink later’ formats.

“Sugar-free carbonates have grown by 5.2%2 in the past year due to at least a third of shoppers wanting to reduce sugar in their diets2. With HFSS regulations now in place, there is a big opportunity for retailers to maximise sales in zero-sugar soft drinks through category favourites and new additions such as Ribena Sparkling Zero Sugar. As the nation continues to navigate the ongoing economic pressures, we can expect to see a rise in nights in as shoppers become more price-conscious and look to spend time at home. As such, retailers should ensure they’re stocked up on larger soft drinks formats to meet shoppers’ needs.”

Matt Gouldsmith, channel director, wholesale, Suntory Beverage & Food GB&I

Suntory Beverage & Food GB&I (SBF GB&I) has launched Ribena Sparkling Zero Sugar to help retailers meet the growing demand for zero-sugar choices within the flavoured carbonates category.

RETAIL EXPRESS explores the opportunity

PRODUCTS

C-stores vital for Xmas plans

JASPER HART

CONVENIENCE stores are central to nearly 60% of consumers’ Christmas shopping plans this year, according to new research commissioned by Ferrero and compiled by KAM Media.

The research reveals that 42% of shoppers plan to do their top-up shops at their nearest convenience store in the �inal days before Christmas.

Ferrero and KAM Media asked consumers about their spending habits this Christmas and found that 90% of shoppers will stick to chocolate brands they know and love, while 56% plan to

spend the same or more than they usually do on gifts.

The report also found that alcohol is bought alongside chocolate on 68% of occasions and almost half of shoppers purchase snacking products and cards when buying chocolate.

Furthermore, a third of retailers plan to run more in-store promotions around chocolate this year, with 59% of retailers saying they sell more boxed chocolate confectionery during the Christmas period.

More than a third (35%) also see an uplift in self-treat chocolate confectionery, as noted by the report.

According to Ferrero, this shows consumers are not

Yazoo Kids packs go to cardboard

FRIESLANDCAMPINA

has switched Yazoo Kids’ packaging from plastic to cardboard carton packaging, ful�illing part of its aim to make all of the brand’s packaging recyclable or reusable by 2025.

Commenting on the change, Maren Fuhrich, brand manager at FrieslandCampina, said: “Planet-�irst products are of everincreasing importance to consumers and retailers alike. A recent study found that 65% of the population believe that food and nutrition brands need to do more to protect the planet, a number that is only set to grow in the coming years.”

The change comes as the

dairy drinks category has grown by 15.3% in value annually, while Yazoo has seen 3% growth.

only spending on loved ones, but also themselves, and retailers should stock individual treat items close to gifts to capitalise on this festive trend.

Carling and TalkSport partner for World Cup

CARLING has become TalkSport’s of�icial headline radio broadcast partner during the World Cup.

The partnership sees Carling correspondents report from bars and pubs across the UK during home nations �ixtures. The brand is also sponsoring TalkSport’s daily roundups, half-time highlights and online content.

It is also hosting a weekly feature, ‘Shirt Tales’, in which guest stars discuss their favourite World Cup kits.

Additionally, as part of its ongoing partnership with mental health charity CALM, TalkSport is presenting the Carling x CALM Mental Health Show.

Lee Willett, brand direc-

Coca-Cola launches Xmas Truck Tour

COCA-COLA Europaci�ic Partners has launched its Christmas advertising and Truck Tour.

The Truck Tour is in support of food-waste charity FareShare and has seen the supplier donate the equivalent of up to 100,000 meals to the charity.

Additionally, for every person who attends the

Coca-Cola Truck Tour, CocaCola will fund the equivalent of one meal for a person in need, with the aim of reaching 200,000 meals.

The Truck Tour also includes a winter market setting with festive food huts and activities.

Coca-Cola’s recognisable ‘Holidays are coming’ advert is also airing on TV.

tor at Carling, said: “The high-pro�ile partnership will ensure we maintain Carling’s position as the go-to lager brand during the football and keep it front of mind for consumers throughout the tournament.”

Keogh’s Crisps gets UK retail launch

IRISH crisp brand Keogh’s has signed a UK distribution deal with Bobby’s Foods, which will see it available in up to 20,000 stores nationwide, including Costcutter and Nisa.

Keogh’s Atlantic Sea Salt & Irish Cider Vinegar, Mature Irish Cheese & Onion and Irish Atlantic Sea Salt are the �irst varieties to be available through the distributor.

The brand has won 22 Great Taste Awards since launching in 2011. It is also served on Ryanair and Emirates �lights, and has recently won a contract with Singapore airlines.

A family business, its

crisps are hand-cooked in small batches on the Keogh family farm in North County Dublin. Salt is harvested from the Atlantic Ocean off Ireland’s west coast, and vinegars are sourced from a local orchard.

Limited PepsiCo Nutmeg launch

PEPSICO is launching a limited-edition Pepsi Nutmeg variety alongside its FIFA World Cup campaign, after hinting at it in its latest advert.

The supplier hid a code in its ‘Nutmeg royale’ advert, which features famous footballers Lionel Messi, Paul Pogba and Ronaldinho, as well as popular commenta-

tor Peter Drury and journalist Fabrizio Romano.

Pepsi Nutmeg has special packaging that highlights the ‘nutmeg’ skill move in football, when a footballer kicks the ball between their opponent’s legs.

The ad – part of Pepsi Max’s broader ‘Thirsty for more’ campaign – is airing worldwide.

Smirnoff urges moderation this Xmas

SMIRNOFF has launched a global campaign called ‘Drops of advice’ encouraging people to drink responsibly during the festive season.

The campaign will urge people to “be wildly responsible” and consists of six digital animations, stills from the animations as print advertising and pop-up bars across the world.

The videos, featuring on Smirnoff’s and parent company Diageo’s social media channels from this week, were created by Venezuelan animator Igor Bastidas and have themes such as ‘When drinking, food is your friend’ and ‘It’s okay to call it a night’.

The campaign also directs

adults to DrinkiQ – a dedicated responsible drinking website that provides information and practical advice promoting moderate consumption over the Christmas period.

Irn-Bru Snowman on Scottish screens

BARR Soft Drinks has brought back Irn-Bru’s Christmas advertising with the return of the Irn-Bru Snowman to Scottish TV screens.

According to the supplier, many Scottish shoppers associate the advert with the arrival of the festive season.

The advert is airing throughout December, supported by special limited-edition festive packs across all three Irn-Bru variants.

It will also be supported by digital and social media activity, as well as in store through branded PoS.

Last year, soft drinks delivered an extra £14mworth of sales at Christmas.

Barr anticipates shoppers

stocking up early as well as increased sales of takehome packs as shoppers look for value.

Mondelez launches White Creme Egg

MONDELEZ International has announced the launch of White Creme Egg alongside the return of Cadbury Creme Egg’s ‘How do you not eat yours?’ campaign when the product returns to shelves.

The campaign features a special half-milk chocolate, half-white chocolate Creme Egg, which, if customers refuse to eat, they can win up to £10,000.

Additionally, any convenience retailers stocking the special egg can win Amazon vouchers, with a top prize of £1,000 available. There are also two £100 and 20 £50 vouchers up for grabs.

Alongside the campaign,

Mondelez is launching Cadbury White Creme Egg, the �irst innovation in the Creme Egg brand, at an RRP of 72p.

The line has already been spotted by shoppers in selection boxes alongside caramel and regular options, available in Farmfoods stores.

and social and outdoor

Geek Bar upgrades disposables range

GEEK Bar has upgraded its E600 vape range to include new mesh coil technology.

The revamped version of the entry-level E600, itself a smaller, lighter successor to the original Geek Bar, will be on sale in specialist vape retailers and convenience stores after Christmas.

The supplier said its KA1 mesh coil technology provides extra vapour and a more consistent, mellower

�lavour. “The smooth experience is very different from the rough sensation associated with tobacco products and this may encourage more smokers to kick the habit and switch to vapes,” it added.

The E600 already shares the new, soft mouthpiece seen in more premium Geek Bar products while being cheaper to buy at an RRP of £4.99.

Recommended Retail Price.

Imperial enters disposables segment

IMPERIAL Tobacco has ventured into the disposables segment for the �irst time with the launch of the Blu Bar range.

Appearing in convenience stores now, the disposable’s “compact pocket-size design allows for the ultimate on-the-go convenience”, according to the supplier.

Each Blu Bar device contains 20mg of nicotine in 2ml of e-liquid giving up to 600 puffs, and has a LED indicator

that lights up when in use. Available to buy at an RRP of £5.99 per device, the range comes in six �lavour varieties: Kiwi Passionfruit, Mango Ice, Banana Ice, Peach Ice, Watermelon Ice and Strawberry Ice.

Imperial will be supporting the launch of Blu Bar with a PoR deal of up to 43% at wholesalers, as well as through a new dedicated Blu Bar trade microsite, launching on 3 January 2023.

ON

HOT TOPICS

“IT is good to know that the exemptions guidance has changed as it gives inde pendent retailers more of an option to decide if they want to take part, but I am worried about supermarkets taking over. They have a larger pool of resources to make it more workable, and we will be on the back foot, especially as it will lead to lost footfall.”

“RETAILERS should be mindful that if they secure an exemption, it is likely they will lose their footfall to supermarkets. I would advise them to try and oper ate a manual return process if they aren’t sure what to do. At least this will enable them to gauge how frequently they will receive bottles and in what quantity.”

“CHANGING the entire fixture reinvigorates the products and brings them to the forefront. This means as the retailer you end up forcing shopping habits to change. It makes them look like an entirely different set of products.”

Jeet Bansi, Londis Meon Vale, Stratford-upon-Avon

“ THE best thing to do is look at your data to see if there is any collaboration out there with leaders or second-placed brands in the market. Search the internet and see if you can get help. Then make those changes, and learn from them.”

Atul Sodha, Londis Harefield, Uxbridge , west London

“NOT being able to display alcohol behind the counter would affect me. A closed cupboard would make things look dark. My staff already receive abuse over refus als to sell. The government should be supporting us with retailer safety.”

Natalie Lightfoot, Londis Solo Convenience, Glasgow

“

“IF they have a birthday, we’ll give them a free bottle of something. A lot of people have known us for a long time and a lot of what we do is spread by word of mouth. It’s important to be open with your customers and get to know them, and the only way to do that is to talk to them.”

Zaf Iqbal, Zaf’s Go Local, Liverpool

WE’VE got a box inside the shop at the moment where customers can drop off any food they want to give, and we donate it to a food bank. Whenever somebody is trying to raise money for a cause, we do a raffle prize. Consumers are battling the same cost pressures as us.”

SCOTLAND: How would potential plans to restrict alcohol displays affect you?

Peter Juty, Costcutter Culverstone Green, Meopham

RESPONSIBLE RETAILING: How are you supporting your community?

There aren’t enough licensing officers

It’s about moving products around

You need to be open with your customers

DRS: How will the updated exemptions process affect you?

RANGING: How are you improving under-performing categories?

Anonymous retailer

Anonymous retailer

Letters may be edited

towers

‘Resellers profiteering from Prime is getting out of hand’

I’VE recently noticed an increase in the number of resellers trying to sell the viral soft drink sensation Prime at a silly price.

This has been noticeable on social media, and I’ve had loads of telephone calls from people trying to sell me a case for £70.

The brand has been really

popular in recent months and these trends are good for attracting footfall – I’ve had lots of demand in my own shop – but the people trying to pro�iteer puts good shopkeepers in a bad light.

Some of these resellers are trying to claim they’re providing a “community service”, but that’s really offensive to

RETAILER OF THE WEEK

me. It’s not really a community service. They are trying to justify what they’re charging. If they can’t sell it for their pro�it target, they should just leave it alone.

The trend will probably be dead by January when people get bored and those trying to pro�iteer will be stuck with loads of dead stock. I know

one reseller who has had lots of returns from people saying the goods they’ve bought are fake. It shows we also have to be careful with who we buy from. I don’t want to be associated with these resellers.

Serge Notay, Premier Notay’s, Batley, West Yorkshire

COMMUNITY RETAILER OF THE WEEK

“I CAN’T believe I’ve been given £1,000 to donate to a cause of my choosing within my community. I was told by CCEP they are giving this to every winner of a community category across all the convenience retail awards they sponsor for Christmas. I’m eligible because I was named the Category Star for Service to the Community at the IAA. This will make such a major difference in a community of just 2,500 people. I’m so excited and this is the perfect way to kick off December.”

How

to get ready for a new year

WHILE we do find that dayto-day shopping increases in January, the new year is usually quite a quiet time and is when we look closely at the store.

We take the opportunity to do a big stock take, clean everything out in the store, work through the stock that we’ve got and make a list of events that are coming up in the year so we can prepare for them.

RISING STAR

And this coming January will be an interesting one, with the World Cup and Christmas having passed and the cost-of-living crisis really coming into effect. We still can’t be certain of how things will pan out, so we’ve got to use that time to look at sales, look at the products we should delist and make a bit of plan for what we’re going to do.

I don’t take as many risks in my store, but if I notice things aren’t selling properly, I move my promotions around and then they do start to sell better. Every change you make in store has a cost attached to it, though. You can take out products that aren’t selling, but that’s then wasted stock. The other argument would be to leave that original stock there on the basis that if it’s there long enough, then people will buy it. If you invest in cheaper products, then people may come to expect you to offer cheaper options which can affect your turnover.

Knowing your customers is really important at the moment because things are getting tougher for people. One of the trends we’re seeing is that people are buying cheaper products across the board. Even in categories such as pet food, people are cutting back and buying own-label ones. That’s an investment we’ve got to make.

One thing that’s working for us now is price-marked packs. On soft drinks, we can sell cans at less than a 20% margin, but I’ve been seeing price-marked cans of Rubicon that offer 58% margin, cans of Irn-Bru offering 46% margins and then other bottles with 43% margin. That’s really high and it’s definitely a way that retailers can look at growing profits at a time when wages are going up.

“YOUTUBE star Danny Malin filmed his Christmas music video in our shop last month. He went viral after launching social media review site Rate My Takeaway during the pandemic. He lives opposite the shop and has used us as a filming site before. This is his second Christmas song and he is raising money for Mind and The Trussell Trust. There was a real buzz in the area when he was filming. We always try to support him where we can. We even made an appearance ourselves.”

‘Our store was used for a music video’

Arjan Singh, Premier Morley Desserts & Drinks, Leeds

‘I want to say thank you to CCEP’

Trudy Davies, Woosnam & Davies News, Llanidloes – @trudydavies1964

COMMUNITY

sophie

One Stop Kibble Bank, Burnley

One of two leading retailers shares her thoughts on

the challenges in retail

Davies (top left), finding out the news alongside Newtrade Media’s Samantha Gunston and CCEP’s Amy Burgess (bottom)

TACKLING ILLICIT VAPES

JTI UK has partnered with RETAIL EXPRESS to help educate retailers on the importance of responsible retailing. In our final part, we explore the impact of illicit vapes and what retailers need to look out for to make sure they are doing the right thing

THE ILLICIT VAPE TRADE

IN 2020, it was found 6.4% of the population vaped, equivalent to 3.3 million people – a 14.3% increase on 20161. As with any product that gains traction, there will be attempts to grab a part of the market, legally or illegally.

As a result, an illicit vape trade is gaining traction, with a quarter of products purchased not meeting UK regulations2 Many products have been found to contain nicotine and/or fill levels well above the legal limits.

Disposable devices, which are now the most popular among vapers, are a huge culprit of the illicit vape trade.

Test purchasing conducted by trading standards in February and March this year revealed a non-compliance rate

HOW TO SPOT ILLICIT

IN recently published research commissioned by JTI UK from Broughton Life Sciences, a UKAS-accredited testing laboratory, it was found 25 out of the 28 products tested on the market are not legally compli-

ant in the UK.

In the UK, laws state that e-cigarette tanks are restricted to a capacity of no more than 2ml, a restriction of the maximum volume of nicotinecontaining e-liquid for sale in

VAPES

one refill container to 10ml.

E-liquids can’t exceed a nicotine strength of 20mg/ml and all packaging has to be childresistant and tamper evident. Colourings, caffeine and taurine are banned, and all e-liq-

of 33%, rising to 50% and 52% in mobile phone and discount shops, respectively.

Selling an illicit vape can place you at risk of prosecution and undermines the reputation of your store in your community.

“WE’VE had some struggles with illicit vapes, but it’s the same with illicit tobacco. We feel it’s riper in the cities, rather than residential areas. We have had an issue with someone who mentioned they could buy illicit products and sell them to underage consumers – which is a challenge.

uids and e-cigarettes must be notified and published by the MHRA before they can be sold.

The MHRA suggests if a vape product that contains nicotine indicates a ‘puff count’ above 600, it could be illegal.

“We make sure we’re only selling UK-compliant vapes by buying through One Stop and a vape company we work with. We also do our own research to check the stock. As a multi-store retailer, we’re vigilant with the stock we buy.

“We do most research ourselves surrounding legal vapes and only order our stock through One Stop and a vape company we work with. We work with JTI UK as well, who is always happy to educate our managers on vaping if we ask. As we have quite a few stores, JTI UK plans to help by doing a managers’ meeting to increase the knowledge of my team.”

Danny Wilson, One Stop Huntriss Road, Scarborough

RETAILER VIEW

SUPPLIER VIEW

Howell, fiscal and regulatory affairs manager, JTI UK

“WE’RE seeing evidence of children being able to access vapes, in particular the ever-growing range of disposables. We’re concerned about the use of inappropriate naming and packaging on some items which could potentially appeal to children, including cartoon imagery or imitations of well-known confectionery and soft drinks brands.

“Worse still, many of these products do not meet regulations, exceeding nicotine limits and containing banned chemicals. The UK Vaping Industry Association have said that up to 60% of the disposable vape products on sale are non-compliant3

“We’re calling on retailers to steer well clear of these products and only stock products made by responsible manufacturers, like ourselves. At JTI UK, we are calling on government to impose stricter regulations and implementing our own business practices to prevent minors from accessing our products.”

WHAT IS JTI UK DOING?

THE wide availability of illicit vapes undermines the whole category, places the retailer at risk of prosecution and will damage the reputation of the business involved.

JTI UK is calling for the Tobacco and Related Products Regulations to be amended to ensure all e-liquids, including non-nicotine e-liquids, are regulated in the same way. It’s also campaigning for product, packaging, and marketing communication to not appeal to those under 18 by

prohibiting imagery, flavour names and descriptors, environments or objects that are likely to appeal to children. Spotting illicit vapes can help deter sales of these products. For example, a number of vape products for sale in the UK use inappropriate naming and packaging that could appeal to children, including imitations of well-known soft drinks and confectionery brands, on both nicotine and non-nicotine containing vape products.

“This has been exploited by numerous smaller manufacturers selling low-cost disposable vape products, with names such as Blueberry Bubble Gum, Banana Ice and Cotton Candy, which could appeal to children,” says Ian Howell, fiscal and regulatory affairs manager at JTI UK.

“Retailers may also want to consider whether it is appropriate to stock vape products that resemble children’s toys, such as fidget spinners and illuminated vape devices.”

JTI reminds retailers that the measures in place to prevent sales of tobacco to under-18s must also be applied to vapes – always ask for ID if you have any doubt about the purchaser’s age. We recommend that retailers use the materials in the No ID, No Sale! pack to support them.

If you know of a store that is selling illicit vapes, you must report them to trading standards through the Citizen Advice consumer helpline on 0808 223 1133.

JTI UK outlines how retailers can help tackle illicit vapes

Report any suspicious activity or illicit vape stockists by contacting trading standards via the Citizens Advice consumer helpline on 0808 223 1133.

Educate and train staff on illicit tobacco and vaping. Go to noidnosale.com to download a retail pack.

Only obtain stock from reputable wholesalers, cash and carry depots or company salesforces.

1ONS figures (Dec 2021), 2YouGov survey for ASH, 3conveniencestore.co.uk/your-business/ukvia-up-to-60-of-disposable-vapes-in-the-uk-are-illicit/670785.article

Ian

TOP PRODUCTS OF 2022

TIMES continue to be turbulent in convenience. After the difficulties imposed by lockdown and the subsequent reestablishment of a semblance of normality, 2022 provided its own challenges through supply chain issues and inflation.

For many retailers, the year has been characterised by simply making sure they’re keeping stock at appropriate levels.

“It’s been about sourcing products that you could previously guarantee you could get. The basics have been so hard,” says Chaz Chahal, of SimplyFresh The Forge in Inkberrow, Worcestershire.

Still, this year has offered

several occasions for retailers to drive sales. The Platinum Jubilee gave shoppers plenty of time off, while the Queen’s death in September gave the newstrade a much-needed bump. The World Cup is ongoing, and at the time of writing, England have a quarter-final match with France to look forward to. Meanwhile, despite cost pressures, this Christmas promises to be the first truly ‘free’ Christmas since 2019, after lockdown in 2020 and the anxiety cause by the Omicron variant surge last year.

In a shift reminiscent of the lockdown era, retailers have begun to see sales of big-night-

in products start to climb, as shoppers spend less money on going out, but still want to enjoy themselves at home. This means an increase in sales of large-pack formats of popular sellers a semblance of and premium options on promotion.

“We’ve done really well with people wanting to stay at home, but treat themselves,” says Justin Whittaker, of MJ’s Premier in Royton, Greater Manchester. “We’ve sold bucketloads of Ben & Jerry’s tubs on promotion at £2.50, 22-packs of Walkers and 24-packs of Pepsi Max. People can spend a bit more with us when they’re not going out.”

TOP PRODUCTS OF 2022

“THE Jack’s range has probably been the biggest thing that’s happened to us this year. It’s meant the reorganising of five or six different brands into Jack’s, which has definitely been a good thing in terms of brand recognition and a simplified proposition for the consumer.

“In terms of specific launches, Nik Nak Scampi ‘N’ Lemon has been a huge success and is now a mainstay on our snacks fixture. Our nut sales have also gone through the roof. We’ve put them in HFSS-affected areas and created a whole bay for them, which has really brought them to the fore. We mainly sell KP, but it’s had a halo effect on the whole category. Other brands have seen an incremental sales increase.

“Lucozade Alert has done well, as has V Energy. It’s a big brand abroad and has been in the UK before, but has been reintroduced and remarketed. The star performer within soft drinks without a shadow of a doubt has been Monster, it’s overtaken Red Bull here.”

TRENDING TOPICS

DESPITE the trying times, there have still been plenty of launches in key convenience categories such as confectionery, savoury snacks, soft drinks and alcohol.

New flavours continue to appear across the board, and HFSS regulations are impacting retailers via reformulations and compliant launches, regardless of whether or not retailers have to comply with them.

Meanwhile, disposable vapes have helped to make what has previously been a niche category to many stores a mainstream one, enabling retailers across the country to add thousands of pounds to their weekly sales.

Notably, however, there has not been a social media-driven success story that the whole of convenience could capitalise on akin to Little Moons and Pop It toys.

Prime, the energy drink launched by YouTubers KSI and Logan Paul, has caused a lot of buzz online, but has failed to be a true successor to these products, due to its availability being limited to Asda and select importers.

“Unless I could get a regular supplier, I wouldn’t want

a flash in the pan selling one case, then getting people knocking on doors constantly asking if I’ve got it,” says Chahal.

“There have also been issues where people have been stealing it from stores and staff feel pressure to police it, so I wouldn’t want the headache.”

New flavours, whether it’s

in alcohol, confectionery or snacks, have continued to be important in driving sales and encouraging purchases from new customers, while traditional favourites have maintained popularity as shoppers seek familiarity.

For example, the Monster brand is worth more than £481.1m, but its zero-sugar

Ultra range is its fastest-growing, up 38.5% year on year, as shoppers seek to balance fullflavoured consumption with less sugar.

It’s a similar story in alcohol, where suppliers have launched more low-calorie, lower-ABV drinks to attract shoppers who want to walk the line between enjoyment and moderation.

Avtar Sidhu, St John’s Budgens, Kenilworth, Warwickshire

Steve O’Connor, head of wholesale, Delamere Dairy

“SALES of branded flavoured milks are buoyant, up 11.2% to April 2022, per Nielsen IQ data, with consumers seeking a nutritious drink to consume on the go. Sales of Delamere flavoured milk are ahead of this, with sales up 19% in 2021 compared with the previous year and still showing great potential.

“There’s never been a better time to review your flavoured milk offering and maximise on this growth area. The numbers speak for themselves.

“Delamere flavoured customers are incredibly loyal, they know what they like, and once they have a reliable stockist, they will come back for more, often on a daily basis.”

food launches in 2022

Nik Naks Scampi ‘N’ Lemon

Pladis relaunched Nik Naks Scampi ‘N’ Lemon as a £1 price-marked pack (PMP), after the flavour had been absent as a single since 2008 and missing from multipacks since 2019.

HFSS reformulations

With the introduction of HFSS restrictions this October, key snacking suppliers made several launches and reformulations. A quarter of KP Snacks’ range is now compliant, while Walkers is aiming for 50% of its snack sales to come from non-HFSS products by 2025. Pladis, meanwhile, launched non-HFSS reformulations of McVitie’s Digestives, Twiglets and Mini Cheddars.

Bobby’s first bagged confectionery range Snack supplier Bobby’s launched its first range of bagged confectionery, with 18 lines available in £1 PMPs, along a bespoke metal stand for convenience stores to display the full range.

Bobby’s and Keogh’s Bobby’s also became the UK distributor of Irish crisp brand Keogh’s, making its Atlantic Sea Salt & Irish Cider Vinegar, Mature Irish Cheese & Onion and Irish Atlantic Sea Salt varieties available to convenience.

Salted caramel bars

Following in the footsteps of the chocolate-orange craze of 2020, this year saw limited-edition salted caramel bars from Mondelez in the form of Wispa Gold Salted Caramel and Twirl Caramel, and Nestlé’s KitKat Chunky Caramel.

Caramilk Buttons

After its Cadbury Caramilk launch was the brand’s biggest of 2021, Mondelez expanded the range with the launch of Caramilk Buttons, which it launched in 105g and 90g packs.

alcohol launches in 2022

CATEGORY ADVICE TOP PRODUCTS OF 2022

RTD launches

This year saw a host of ready-to-drink (RTD) alcohol launches from suppliers including Dead Man’s Fingers, Whitley Neill, Gordon’s, Smirnoff, Au, Absolut and Kopparberg, as well as launches from BuzzBallz and Twistea.

Flavoured spirits expansion

Suppliers continued to expand their flavoured spirits ranges. Smirnoff launched Mango & Passionfruit Twist, Berry Burst and Cherry Drop varieties, while Cîroc relaunched Summer Citrus as a permanent line before launching a limited-edition Passion variety. Dead Man’s Fingers also launched a range of tequila liqueurs.

Guinness Cold Brew Coffee Diageo expanded its Guinness range with the launch of a Cold Brew Coffee variety, aiming to capture shoppers’ growing interest in flavoured alcohol. John Burns, head of Guinness GB, said: “There is already a natural connection with coffee notes in Guinness’ signature offerings like Draught and Extra Stout, so the creation of Guinness Cold Brew Coffee Beer was a perfect match.”

Blood orange ciders

Both Rekorderlig and Thatchers helped to expand fruit cider’s horizons with their Blood Orange launches. According to Kantar figures, Thatchers Blood Orange attracted more shoppers than any other launch within beer, wine and spirits this year, making it the most successful launch in the category of 2022.

Strongbow Ultra

This version of the popular flavoured cider contains 95 calories per 330ml can. As the original Dark Fruit is the second-most popular cider in the UK, supplier Heineken aimed to attract calorie-conscious shoppers who still liked the Dark Fruit flavour profile.

Heineken Silver

Heineken also launched Heineken Silver, a low-alcohol, low-calorie beer. With its lower ABV and lighter profile, it is aimed at Gen Y and Gen Z drinkers, among whom sales of lager have declined by 2% since 2019.

RETAILER VIEW

Sunita Aggarwal, Spar Wigston, Leicester

“WE’VE done well with nachos from a supplier called Invictus Products. They supply a cheese sauce and a salsa sauce, so with everyone staying at home because it’s cheaper, they’re a good package for people to have if they want to have a night in.

“Prime has been the buzzy drink this year, but we can’t get hold of it because it’s Asda-only or from importers. When it comes to the latter, the cost isn’t worth it for the price we’d have to sell it for compared to Asda. We are looking forward to white chocolate Creme Eggs, which we’re trying to source.”

TOP PRODUCTS OF 2022

soft DRINKS launches in 2022

Global Brands and Bang Energy

Global Brands has become the UK distributor of Bang Energy, an American energy drink brand popular with Gen Z. Bang has reached $5bn (£4.3bn) in total sales across Australia, Africa, America and Europe. Global Brands is also distributing Bang brands Meltdown and Vooz.

Ribena Sparkling Zero Sugar

Suntory Beverage & Food GB&I expanded its Ribena Sparkling range with a zero-sugar variety, motivated by HFSS restrictions and increasing shopper appetite for sugar-free carbonates.

Boost Juic’d

Indie-exclusive energy drink brand Boost launched its first range of 500ml canned drinks, with the pack format the fastest-growing in energy drinks.

Coca-Cola Creations

Coca-Cola has launched a series of limited-edition zero-sugar drinks, starting with Intergalactic. “Twentyseven per cent of shoppers who bought into Intergalactic were new to Coca-Cola Zero Sugar, demonstrating how we’re broadening the appeal of the brand,” says Amy Burgess, senior trade communications manager at Coca-Cola Europacific Partners GB.

Tango Berry Peachy

Berry Peachy is the first in Britvic’s Tango Editions range, a sugar-free rotating series of drinks. Tango’s sugar-free flavours represent a third of its sales and are in growth.

SUPPLIER VIEW

“FOX’S Burton’s Companies’ (FBC UK) sales growth of 4.7% over the past year has been driven by the strong performance of its core lines. On-the-go occasions continue to grow with 238 million out-of-home sweet biscuit occasions last year, with the ‘children’s biscuits’ segment accounting for one in five out-of-home occasions.

“Following growth from Jammie Dodgers and Fox’s Party Rings – the number-one and number-six selling brands, respectively, in the children’s-biscuits segment of the GB biscuit market, FBC UK added to its Minis range with Choccie Dodgers Minis and Party Ring Choc. Offering consumers a wide range of products and tapping into a range of occasions at various prices will be important for retailers to consider.”

Colin Taylor, trade marketing director, Fox’s Burton’s Companies

Sponsored viewpoint paid for by Fox’s Burton’s Companies

worth of sales to the energy drinks sector this year

the stat

Monster has delivered an extra

CATEGORY

TOP PRODUCTS OF 2022

SUPPLIER VIEW

Tom Gully, head of consumer marketing UK&I, Imperial Tobacco

“GIVEN the growing cost-of-living crisis and rising energy costs, the shift towards value tobacco products is a trend that is likely to continue for some time and one that retailers should not ignore – especially given tobacco customers can generate much wider sales in store. Tobacco shoppers spend more, visit more and have a higher basket spend than other shoppers so are key shoppers to attract.

“With household costs and inflation soaring, shoppers are now even more aware of how much they are spending. As a result, we’re seeing a move towards low priced propositions across the entire category as a whole, resulting in the lower-price-tier products making up a majority of tobacco sales.

“In fact, the sub-economy segment now makes up 63% of factory-made cigarette sales, while the economy segment accounts for 56% of roll-your-own, with these value segments growing at an impressive 3% and 5% year on year.”

Chahal, SimplyFresh The Forge, Inkberrow, Worcestershire

“VAPING has been quite unrelenting this year, it’s just gotten stronger and stronger. In the past eight weeks, we have seen an increase in food such as pizzas to take home and meal solutions. We’ve seen an increase in sales on Friday and Saturday instead of people going out themselves, so there is a jump in basket spend on certain evenings based on the current economic environment.

“It’s been a challenge getting products in and we have to go to different places to plug gaps and get like-forlike products. Once you get a different product, you have to configure it to your system, then when the existing item comes back you have to sell the new product through before. There’s a lot of work that goes behind sticking a product on a shelf.”

Chaz

AFTER the indulgence of Christmas this year, many are predicting a serious belttightening from customers as the cost-of-living crisis starts to bite and people try to get through the cold, dark months of January and February.

The Easter weekend might seem far away in April, but retailers need to use it and promote it early if they are to reap the rewards and see stronger sales and footfall in early 2023.

“Easter sales add to incre-

mental sales profit as consumers will be preparing to have family get-togethers and will be purchasing chocolates, food and drinks.

“It is important that convenience stores stock early on the categories for those shoppers who are passing by the store and see early promotions of Easter products,” says Kenton Burchell, trading director at Bestway Wholesale.

And with the multiples pushing Easter products ear-

lier and earlier every year, retailers need to be quicker off the mark themselves if they are to compete. Avtar Sidhu, from St John’s Budgens in Kenilworth, Warwickshire, has already put in his Easter presells for all his sites and tends to get his products and promotions out there early.

“Shout loud and proud early on,” he advises. “We’ve put in a £12,000 order for Easter eggs. You want to create big, abundant displays.”

EASTER

CREATING THAT EASTER ATMOSPHERE

ONE of the advantages of starting early is that it generates a more positive atmosphere in the store and serves as a reminder to customers to start stocking up for the big day.

Sidhu has also found that many people who purchase Easter products from him early will still be spending right up to the day itself, giving retailers the chance to get a second

bite at the egg, so to speak, and increase sales across a wider period.

“You’d be surprised at how early people start stocking up,” he says. “We’ve already got Mini Eggs and blocks of Easter confectionery, and they’re already selling.

“People will look at you wondering why you’ve got it out so early, but those same

people will still start buying. And with the bigger Easter eggs, they’ll often buy them early to keep them for Easter, but then they’ll end up eating them themselves. So then they’ll come back to you to buy some more.”

To generate interest and atmosphere, Sidhu usually holds Easter egg hunts at his store as well, which go down well with

parents and families.

“Create in-store ‘theatre’ to attract customers, create an instore competition for customers to join and attract purchase on impulse.

“Use window displays for those customers who are passing by to create an invitation to visit the store and check the items,” Bestway’s Kenton Burchell adds.

Easter campaign

Mondelez International has announced the Cadbury Creme Egg’s ‘How do you not eat yours?’ campaign will return when the treats reappear on shelves. Shoppers will be warned once again to keep an eye out for an extra-special half-milk chocolate, half-white chocolate Cadbury Creme Egg. If they can resist eating it, the unique treat can win them up to £10,000. For retailers, there are more than 20 Amazon vouchers up for grabs if a winning egg is found in store.

“We were absolutely blown away by the response to our ‘How do you not eat yours?’ campaign last year. Our fans rose to the challenge of resisting the temptation of these delicious half-and-half Creme Eggs to win their prizes,” says Lyndsey Homer, brand manager for Cadbury Creme Egg.

RETAILER VIEW

“WE sell a huge range of vegan products, so we’ve got lots of vegan chocolate. We sell them as part of a deal all the time because there are lots of health-conscious customers out there for us. We sell lots of vegan Easter eggs at Easter. They’re very expensive, but people do buy them.

“As always, with any event, we’ll do a big display in the window. We did it for Guy Fawkes Night and we’ve got our Christmas one ready now. That’s one of the things that we do. For Easter, we’ll have a big display with grass, chicks, rabbits and the rest right by the store entrance on the right-hand side. You won’t be able to miss it as you come into the store.”

WHAT TO STOCK

WHEN it comes to Easter, chocolate is the core category and chocolate eggs are the main event.

“The key brands for Easter impulse are Nestlé, Cadbury, Haribo, Kinder and Mars,” says Bestway’s Burchell. “The key brands and their popular product lines for Easter are: Cadbury Creme Egg Medium Egg, Cadbury Mini Eggs Bag, Galaxy Easter Eggs, Maltesers Bunny, Mars Medium Egg and Kinder Surprise Large Egg.”

Any new products that retailers can get their hands on are also likely to be popular,

as parents and children look to try something they’ve never tried before. By working with suppliers, retailers can get good ranges of stock into their stores and also utilise national promotional campaigns to spread the word further.

This year, Mondelez International is launching the first innovation in its Creme Egg brand. The Cadbury White Creme Egg aims to take advantage of the growing popularity of white chocolate. Additionally, Mondelez is launching a new 1kg bag format (RRP £11.25) of its Mini Eggs brand. The 80g bag is the

number-one Easter line, with 115 bags bought every minute.

On top of chocolate, retailers should also be stocking up on other seasonally appropriate confectionery to provide for children’s parties over the weekend. Easter gifts can also provide an additional last-minute revenue stream. Sidhu has a local supplier that provides him with themed cakes designed especially for Easter and he sells a lot of them.

“Hot cross buns will be huge. We tend to get them in quite early on and by the time you get to Easter itself, you find

that people have been consuming them for a while,” he says.

“Flowers are another category that are important, particularly as you get very close to Easter.”

Jay Patel, Jay’s Budgens of Crofton Park, south London

GENERATING LAST-MINUTE SALES

it’s important for retailers to be selling and promoting Easter products well in advance of the weekend itself, many feel the majority of sales come through in the final days before Easter, as people make last-minute purchases and top up what they’ve al-

ready bought.

“We’re not expecting things to be that different at Easter,” says Sasi Patel, who runs five stores in Greater Manchester.

“We’ll get that normal rush of sales in the week before Easter. We stock up early, but we usually don’t see anything until Easter is about to arrive, apart from the odd bit of stuff.

The supermarkets tend to get that early market.”

While there is a general concern that the cost-of-living crisis will impact people’s spending habits, retailers aren’t treating Easter 2023 any differently in terms of how they’re preparing and how much stock they are bringing into the store. While Easter

eggs have a serious seasonal cachet and retailers might be concerned about having leftover stock after the weekend, it is better than running out before or on the big days themselves.

“For that final week of Easter, I need a minimum of 100 eggs in stock because I know they’re going to go,” says

Sidhu. “The amount of lastminute purchases is huge. On the morning of 1 December, we still had 37 advent calendars and we’d sold out by the end of the day. If I’d had 50, they all would have gone, too. It’s the same with Easter – if you have a lot, they’re going to sell and you’re not going to disappoint customers.”

Top tips for Easter from

Burchell,

Retailers need to use the main category aisle to merchandise HFSS products.

The HFSS products cannot be displayed within two metres of designated queuing areas. Retailers need to review the range of products that are in stock that are compliant with HFSS regulations.

Retailers affected may need to do a refit or change the layout of the store to make it compliant.

Retailers need to review which previous promotions were profitable and fit this to the HFSS regulations.

For those affected by the HFSS regulations, retailers need to make use of merchandising the main aisle units for these categories.

Having a dedicated section for these categories will make it a convenient shopping experience for customers as they can browse in one location to purchase.

Kenton

trading director,

BE MORE SUSTAINABLE IN 2023

TAMARA BIRCH explores cost-effective ways to improve your environmental credentials next year

WHY 2023 IS THE RIGHT TIME TO BE SUSTAINABLE

GLOBAL searches for ‘how can I save energy?’ have risen by 49% compared with this time last year, according to Philip Linardos, CEO and co-founder of ShelfNow.

This doesn’t just apply to consumers; many retailers are concerned about increased bills. And with the National Minimum Wage increasing next year, reducing costs is imperative.

Matt Gouldsmith, channel director, wholesale at Suntory Beverage & Food GB&I (SBF GB&I), has noticed this and says: “With energy costs rising rapidly, the need to save money wherever possible has never been greater. Cutting energy bills is necessary for cashflow, as well as the environment.”

Becoming more sustainable in 2023 will not only help the planet, but will reduce overhead

costs. For example, reviewing your back-office operations and turning unused appliances off will reduce everyday electric usage and be better for the planet. Similarly, going paperless will lower the number of trees being cut down each year.

The challenge for retailers, however, has always been the investment. But there are costeffective ways to improve your environmental credentials in

2023. Start by writing down short- and long-term goals –which we’ve highlighted over the course of this feature – and set a goal of when you’d like them completed. The long-term goals will probably involve a larger investment or will take more time to implement, while the short-term goals are something that can be implemented in the next few months and should take less time.

LOOK AT YOUR BACK-OFFICE OPERATIONS

BACK-OFFICE operations are the quickest thing to review to improve your environmental footprint – and something you can incorporate in your dayto-day operations. For example, did you know having multiple tabs open on a computer uses more energy, and is thus

likely to increase bills? Similarly, leaving your monitor on standby also uses energy.

While CCTV is usually in operation 24 hours a day, seven days a week for security purposes, think about whether any computers used for daily tasks are needed on all the

time. When you leave the store, can the computer be switched off? If it needs to be on, consider tidying up your desktop or closing documents that aren’t needed – this will all help the appliance use less energy overall.

Next, review your lighting

system. How often throughout the day do you have office lights on? Are they needed on all the time? Consider installing sensors – which can be ordered online for a small charge – to ensure lights are turned off when they don’t need to be on.

Matt Gouldsmith, channel director, wholesale, Suntory Beverage & Food GB&I

“OVER the course of a year, we made changes to help Premier Sandiacre retailer Amit Patel in Nottingham save more than £600 – savings that, if carried forward across the channel, could save convenience stores more than £16m a year. Key to the changes we made was that being more sustainable isn’t always about investing many thousands of pounds – small changes can make a big difference, and progression, not perfection, should be the aim of every business in their sustainability journey.”

Below are three cost-effective ways retailers can be more sustainable in 2023:

1. Consider purchasing more energy efficient equipment Review current electrical devices to see whether more efficient units are available to save money on energy bills.

2. Look for energy monitoring solutions Track your total consumption so changes can be made on usage.

3. Optimise chiller temperatures Increasing the chiller temperature slightly at certain times of day can result in significant savings.

CATEGORY ADVICE SUSTAINABILITY

ENERGY EFFICIENCY

WITH energy costs – electric and gas – sky high, moni toring your usage and cut ting down where possible is at the forefront of many retailer’s minds.

ShelfNow’s Linards says: “Many customers will enter their stores wearing warm clothing in the autumn and winter, which means the in-store temperature

can be slightly reduced compared to other times of the year.”

To help achieve this, consider allowing staff to wear additional layers or keep the door closed. Avoid deterring customers by put ting a sign on the door or doing a post on social me dia explaining why you’re keeping the doors closed.

RETAILER VIEW

“THIS year, we’ve done a lot of research around our energy consumption and how else we can be as efficient and sustainable as possible. We wanted to be more on the ball with sustainability and cutting costs. We put measures in place so we can improve where we can. For example, we looked at our energy use and realised it would be better long-term to invest in energy-efficient fridges and freezers as this would reduce our costs over time. We know it’s a big investment, but do the research and you might be surprised by the savings.”

GO PAPERLESS

“RETAILERS should look at all areas of their business, not just the front-of-store areas, when it comes to making sustainable decisions,” says Alex Winyard, UK FMCG sales man ager at The Cheeky Panda.

“Plastic pallet wrap, case wrap and even the plastic tape used on cases can be swapped out for paper-based alterna tives. Many brands look at re ducing plastic in their products but forget about the plastic use

that doesn’t reach the shelf.”

Are you aware of how plastic is sorted and recycled in your delivery? If you don’t, make it a priority in 2023. Task or challenge your team to begin recycling as much plastic and cardboard as possible, and re view it regularly.

Review what paper you use in store. Do you print out your orders? Do you receive your bills in the post? Think wheth er this is needed or if you can

go digital and have any deliv eries and bills emailed to you. These can also be accessed through your online account. Also, ask your customers if they need a receipt instead of having it instantly printed.

Ask suppliers if they can supply recyclable PoS that is plastic-free. The Cheeky Pan da, for example, offers this, which can be used to highlight the benefits of switching to Bamboo alternatives.

EXPLORE NEW WAYS TO ENCOURAGE RECYCLING

MANY symbol groups will collect plastic and cardboard for you, as noted by Alison Greenow, of Pugh’s Hay-on-Wye (Londis) in Herefordshire. Introducing a bat tery collection point can also en courage recycling.

TerraCycle offers a paid-for Zero Waste Box Solution. Julien Tremblin, general manager at TerraCycle Europe, says of the programme: “Zero Waste Boxes are an all-in-one paid-for solu

tion, which includes the storage, shipping and recycling of a par ticular type of waste that isn’t currently recycled through local councils or traditional recycling facilities.”

Retailers can recycle almost anything under TerraCycle’s Zero Waste Box Solution, from coffee capsules to snack wrappers, VHS tapes to PPE. The box starts at £108, which includes the trans portation, a prepaid shipping

label and the cost of processing the waste.

Other cost-effective options include installing clothing banks or becoming a recycling hub. Suraj and Tejal Agath, of Whis sendine Village Shop & Post Of fice in Oakham, Rutland, have a bin outside their store to recycle their and their customers’ cardboard. This helps them to drive footfall as many customers will then buy products in store.

Bobby Singh, BB Nevison Stores & Post Office, York

NewstrAid Cost of Living Crisis Fund

Created in response to the current Cost of Living Crisis, the fund offers grants of up to £250 per household to help bridge the gap between income and costs for anyone with a newstrade connection. That means people who work or have previously worked in the sale and distribution of newspapers and magazines for a minimum of 2 years, full time. Eligibility criteria apply.

INDUSTRY NEWS: CO-OP LAUNCHES RECYCLING TRIAL

RECYCLING is a way of being more sustainable in 2023. Suppliers across the board are updating their products to use recycled plastic, but the challenge is ensuring these products are recycled once purchased.

To help achieve this, recycling technology company Polytag has partnered with Co-op to help accurately identify how much of its plastic packaging is being recycled.

The trial will use Polytag’s UV-tag-reading technology, enabling brands to acquire never-before-seen data, including the exact number of

plastic containers that are being sorted and handled in material recovery facilities.

During the trial, invisible UV tags will be printed onto the labels of one of Co-op’s ownbrand spring water lines.

When the bottle reaches a specific recycling centre in North Wales, the UV code will be read by specialist equipment fitted to the sorting machines. The data collected will be uploaded to an analytics dashboard, providing Co-op with real-time insights on packaging lifecycles.

This will enable Co-op to improve its understanding

of recycling figures and help benchmark future rates for the industry.

Polytag is working with governments and waste-handling businesses to extend the rollout and installation of more UV-tag readers across the country to deliver richer, more useful data to businesses and enable brands and retailers to better understand if their products are being recycled, as well as helping them measure the success of initiatives to improve recycling rates over time.

Matt Hood, managing director at Co-op Food, said

of the trial: “We all have our part to play when it comes to recycling and, as a retailer, we want to gain a greater understanding on a product’s journey in the recycling chain to help paint a clearer picture and support future traceability.

“This new trial will enable Co-op to gather valuable insight to provide guidance and measurement for future initiatives to encourage more people to recycle and it will also support the industry with true benchmarks for recycling rates in the UK for the very first time.”

FIND ALTERNATIVES

SIXTY-FOUR per cent of consumers are looking to reduce their plastic usage, according to The Cheeky Panda, and more than 50% of 25-to-54year-olds are looking on pack for sustainable messaging and certification, so retailers should look for suppliers who are doing this.

Mondelez International, for example, makes its products using less energy and less water than before, resulting in reduced waste.

“We want to drive change at scale and concentrate on the areas where we can make a real difference,” says Susan Nash, trade communications manager at the supplier. “In the UK, six of our production sites now use 100% renewable electricity, including our Bourneville factory. This tran-

sition means we can offset the equivalent of 2,900 people’s annual CO2 emissions.”

Similarly, Nestlé Confectionery launched its confectionery products in paper packaging, while Coca-Cola Europacific Partners uses 100% recycled plastic, and many alcohol companies use cardboard for their multipack options.

Greenow stocks glass milk bottles to reduce their plastic use. “We’ve encouraged customers to buy them by offering money off their next milk purchase. Customers get 5p off if they return the glass bottles,” she says.

Smaller, independent businesses can also operate more sustainably as they work on a smaller scale, offering a point of difference for your store.

TOP TIPS

Write a list

Use your phone or a spreadsheet to write a list of ways you’d like to implement to improve your environmental credentials. Include a goal of when you’d like to achieve these, too.

Determine your short- and long-term goals

You don’t need to be a completely sustainable business straight away. Instead, separate these tasks between short- and long-term goals, and who will manage implementing each goal. Will you, as owner, be managing this or will you delegate it to a team member?

Small changes make a big difference

It’s easy to think being sustainable is making huge changes to your shop, but smaller changes can have a big impact. Reducing your paper usage or recycling more will all be positive changes to your environmental footprint.

RETAILER VIEW

Greenow, Pugh’s Hay-on-Wye (Londis), Herefordshire

“BEING sustainable in the next few years will be a challenge, as costs continue to rise. Similar to the past few years, we’re going into the unknown. We went on to a fixed rate for our energy for two years, but my sister and I are very careful on how we use energy in store. We’re always looking at ways to reduce it, for cost reasons and the environment. For example, if we aren’t on the computer, it’s switched off, and we switch off lights as soon as we leave the stock room. It might not seem like much, but it all mounts up. Small changes make a big difference.”

“SEVENTY-EIGHT per cent of consumers want to see more being done to promote sustainable packaging. When it comes to the perceptions of sustainability for leading brands like Weetabix, there is no doubt that packaging is front and centre within the minds of consumers. That is why we have a commitment to continually improve our packaging to lower its impact.

“We formed our ‘Change for better’ sustainability strategy in 2018 to draw together all of our initiatives and ambitions under a clear vision, supported by four key pillars of action – sustainable ingredients, low-impact packaging, efficient operations and health & well-being.

“This commitment drives us to optimise all the materials we use so we achieve the best balance of product protection and lowest impact. This helps make progress on sustainability, but it also keeps us at the forefront of what is right in the context of policies and taxes to ensure our business operates as effectively as we can.”

Alison

John Petre, supply chain, procurement & technical director, Weetabix

SUPPLIER VIEW

LESSONS FROM 2022

The RETAIL EXPRESS team looks back at 2022 with three retailers to find out what lessons they’ve learned

“OVER the past year, a lot of things have changed, with energy bills skyrocketing and prices going up. We’ve usually represented ourselves as a cross between Waitrose and a farm shop. and we’ve got a good higher market range of products. Over the past year, however, we’ve been introducing more cheap-andcheerful products because that’s what people are buying more of at the moment.

“We’ve been visiting other wholesalers and cash and carries, and we’ve found good biscuits we can get for £1. Even with Christmas coming up – a time when we don’t like to get in cheap goods because you want to be making your customers trade up at Christmas – we were so nervous that we’ve continued to get massive deliveries of products from the cash and carry, and sales are not slowing down. That says a lot about the current situation. We want to give the customer the choice this Christmas.”

“THIS year it’s been about getting hold of stock. Some places will have it and some places won’t. We’ve focused on making sure everyday things like milk, bread, butter and eggs are always fully stocked.

“That means looking around for things. For two or three months, we couldn’t get bottled water from the cash and carry, so we had to look around and stock up when we could get hold of stuff. We’ve expanded our supplier base as well. I used to use two cash and carries, but now it’s more like four or �ive. We get 60% of our stock from Parfetts, but they’re happy for us to buy from other places. They’ve looked after us.

“We’ve rented out a new space for holding stock because our stockroom couldn’t hold enough. I’ve got about £15,000-20,000 of stock in reserve. It keeps us going and makes sure we’ve got what the people need.”

“THE past 12 months have been completely different to 2021 and 2020. With the lockdowns ended, we’ve seen customers start to drift back to supermarkets and sales did drop off in the community stores. But in the high street, sales have picked up because people are on the move again. Events like Christmas, Halloween and Bon�ire Night did really well for us, but the period between January and summer was really tough.

“Customers are very wary of where they’re shopping now and the low-cost supermarkets are getting more involved and picking up trade. We’ve seen so many price increases this year and it will only get worse next year. It’s been across the board, so it’s not just convenience stores who have been affected. It means consumers are used to it and expect prices to be high. We need to work with our pro�it margins, which means we’ve had to sacri�ice competitiveness to a certain extent.”

In the next issue, the Retail Express team finds out what retailers are planningfor 2023.

If you have any problems you’d like us to explore, please email charles.whitting@newtrade.co.uk

Andy Miles, Dike & Sons, Stalbridge, Dorset

2Zaf Iqbal, Zafs Go Local, Ancoats, Manchester

Ricky Dougall, Nisa Millennium, Coventry

The past 12 months have definitely been our toughest year. What would retailers consider to be their biggest lesson? – Andrew Johnson, Dafarn Newydd, Llanwddyn, Powys