Retail Express - 17 October 2023 by BetterRetailing

‘THEY KNOW THEY CAN GET AWAY WITH IT’ • Trade bodies and retailers warn of a new wave of organised crime hitting convenience stores • Shop owners speak out about the financial and emotional impact

17-30 OCTOBER 2023 STRICTLY FOR TRADE USERS ONLY

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LEGISLATION

WOMEN IN CONVENIENCE

STORE ADVICE

Retailers react to government plans to phase out tobacco sales with age rise

Leading suppliers reveal the changes they’ve made to tackle gender inequality

Three store owners discuss the ways they are clawing back margin in their shops

BACK PAGE

The leading magazine for retailers selling vape products

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GETTING SAVOURY SNACKING RIGHT

Top tips on how to maximise your sales and stay on top of the latest trends ICE CATEGORY ADVCKS SAVOURY SNA

GROWING SAVOURY SNACK SALES

17-30 OCTOBER 2023 STRICTLY FOR TRADE USERS ONLY

of this staple into the importance ways retailers s the PRIYA KHAIRA delves ience, and outline category in conven and boost sales ers can entice shopp

Y A CRITICAL CATEGOR

what’s even more total alone, and to hold a 23.7% is the exceptional contribute dicted share in 2024 com- remarkable SAVOURY snacks has experienced of sales market with growth it in the face a significant number chan- pared to 23.4% in 2022, year on year, even across the convenienceFood to the sector expected to outpace of rising costs.” eatthe Woosnam seen in the wider nel. According to Trudy Davies, from by Lumina growth market. Go Report 2023 News in Llanidloes, sector grew ing-out shoppers continuing & Davies that savoury Intelligence, the “With a value of hab- Powys, adds staple category by 31.7% in 2022 to to align their snacking snacks are a lifestyles, busy their “Savoury snack £21.4bn. growth its with is in her store. as I While part of this for savoury snacks products are dependable it was demand little sign of slowing know that there is always gowas due to inflation, showing in recovery Aslı Özen also fuelled by a any time soon,” says officer ing to be a consistent customer marketing explains. footfall. base for them,” she sec- Turhan, chief the I 2023, of end UK & Ireland. By the “Unlike other categories,safurther at Pladis is our tor is expected to grow “In fact, this category don’t often worry about £1.4bn in sales – to £22.2bn. sales.” that now worth channel voury snack The report also revealed is pre- in the convenience the food-to-go category

LEGISLATION

WOMEN IN CONVENIENCE

STORE ADVICE

Retailers react to government plans to phase out tobacco sales with age rise

Leading suppliers reveal the changes they’ve made to tackle gender inequality

Three store owners discuss the ways they are clawing back margin in their shops

BACK PAGE

P18 2023 17-30 OCTOBER betterretailing.com

our say

Megan Humphrey, editor

Women in Convenience strives for equality LAST week, I experienced a new career high. Newtrade Media held its second Women in Convenience event in Birmingham, and I’m pleased to report it was a great success. When first speaking about the idea of launching an initiative to better connect and support female retailers within convenience, I couldn’t have dreamed we’d even come close to achieving what we have. We wanted to build upon the foundations that were laid out last year. Our agenda was tailor-made, bringing key players from across the entire supply chain under one roof to discuss existing challenges, and offer workshops to better equip them with the tools to help build their confidence to better execute business decisions. It was truly inspiring to hear how the strong and independent female leaders working in convenience today made their mark on the industry, and turned the darkest of moOUR EFFORTS ments into positives. ARE A STEP I’m incredibly proud to have been responsible for forming IN THE RIGHT Women in Convenience, alongside DIRECTION my colleagues Louise, Kate, Sam and Natalie. As we begin preparations for our next event, and start discussions about how we can continue supporting, empowering and connecting retailers all year round, it’s important to stress that our mission remains the same. We truly feel like we are making a difference, and although a lot more needs to be done to achieve gender equality across convenience, our efforts are a step in the right direction.

The five biggest stories this fortnight 01

Store owners hit back at plans to phase out tobacco

ALICE BROOKER

RETAILERS have expressed concern over the Conservative party’s plans to phase out tobacco sales by increasing the age limit by one year, every year. Speaking at the Party Conference earlier this month in Manchester, prime minister Rishi Sunak outlined a raft of proposals, all set to impact local shops. The tobacco proposal

Fed national president would mean that a child aged 14 would never be able to le- Muntazir Dipoti expressed gally buy tobacco products. concerns over the move fuelRetailers told Retail Express ling a rise in illicit sellers. the move would create con- “While we are supportive of �lict and they’d be concerned moves to raise the age, we would remind the govern“policing” it. Ian Lewis, owner of Cres- ment that illicit sellers will cent Stores Spar in Oxford- continue to sell to those who shire, said: “This would add are underage,” he said. A poll of more than 120 pressure to retailers as we’d be responsible for policing it, shop owners found 23% which could create con�lict agreed with the age increases, between us and customers compared with 17% against. that could be quite scary.”

Fifty-eight per cent claimed the legislation “won’t make any difference whatsoever”. Elsewhere, the party revealed plans to bring forward measures to restrict the availability of vapes to children; increase the National Living Wage to at least £11 an hour next April; and give £20m to 55 “overlooked and undervalued” towns in the UK over the next 10 years to help rejuvenate them.

@retailexpress betterretailing.com facebook.com/betterretailing Editor Megan Humphrey @MeganHumphrey 020 7689 3357

Editor – news Jack Courtez @JackCourtez 020 7689 3371

Senior features writer Priyanka Jethwa @PriyankaJethwa_ 020 7689 3355

News editor Alex Yau @AlexYau_ 020 7689 3358

News reporter Alice Brooker @alice_brooker 07597 588955

Features editor Charles Whitting @CharlieWhittin1 020 7689 3350

Editor in chief Louise Banham @LouiseBanham Features writer Jasper Hart @JasperAHHart 020 7689 3384 Specialist reporter Dia Stronach 020 7689 3375

Production editor Ryan Cooper 020 7689 3354

Production coordinator Chris Gardner 020 7689 3368

Account director Lindsay Hudson 07749 416 544

Sub editors Jim Findlay 020 7689 3373

Head of marketing Kate Daw 020 7689 3363

Account managers Megan Byrne 07530 834 009

Robin Jarossi

Head of commercial Natalie Reeve 07856 475 788

Lisa Martin 07951 461 146

Head of design Anne-Claire Pickard 020 7689 3391 Senior designer Jody Cooke 020 7689 3380 Junior designer Lauren Jackson

Senior account director Charlotte Jesson 07807 287 607 Commercial project manager Iff y Afzal 07538 299 205

Subscribe online at newtrade.co.uk/our-products/ print/retail-express. 1 year subscription: UK £65; overseas (EU) £75; overseas (non-EU) £85 Retail Express is printed and distributed by News UK at Broxbourne and delivered to news retailers free by their newspaper wholesaler. Published by: Newtrade Media Limited, 11 Angel Gate, City Road, London, EC1V 2SD; Phone: 020 7689 0600

Management accountant Abigayle Sylvane 020 7689 3383 Managing director Parin Gohil 020 7689 3388 Head of digital Luthfa Begum 07909 254 949

40,152

Mocktail opportunity 03 Community-led DRS

SLUSHIE supplier Skwishee has launched what it claims to be the �irst countertop frozen mocktail machine, generating stores up to 56% pro�it on each cup sold. The �irst machine, launched in Liverpool last month, saw more than 400 sold in one

week. National sales manager RETAILERS participating in David Bateman said the com- one of the �irst community-led pany is targeting independent digital deposit return schemes convenience stores for a roll- (DRS) in the UK have praised out of the units. the pilot. Three mocktail �lavours are Businesses across Brecon available to stores, including in Wales have been involved margarita, pina colada and in the ‘Scan, Recycle, Reward’ passionfruit martini. trial taking place between 13

For the full story, go to betterretailing.com and search ‘mocktail’

F2G ‘microstation’

JAKE & Nayns’ has launched a ‘microstation’ into convenience, turning its Indian- and Mexican-inspired chilled lines into hot food-to-go offerings. The self-serve microstation enables customers to heat up the products themselves, with

Retail Express’ publisher, Newtrade Media, cares about the environment. Reproduction or transmission in part or whole of any item from Retail Express may only be undertaken with the prior written agreement of the Editor. Contributions are welcome and are included in part or whole at the sole discretion of the editor. Newtrade Media Limited accepts no responsibility for submitted material. Every possible care is taken to ensure the accuracy of information. No warranty for goods or services described is implied.

For the full story, go to betterretailing.com and search ‘DRS’

Booker Amex deal

a choice of �illed naan, samo- BOOKER has teamed up with sas and burritos (£2.50 RRP) American Express (Amex) to available. allow its card to be taken at The cost of the one-metre- Premier, Londis, Budgens and wide unit starts from £4,000, Family Shopper stores. while the two-metre-wide Managing director Colm option has a taller chiller and Johnson said the deal will starts from £5,000. “help drive footfall to stores

Audit Bureau of Circulations July 2022 to June 2023 average net circulation per issue

For the full story, go to betterretailing.com and search ‘microstation’

July and 1 November. The scheme is managed by Powys County Council, and requires residents to scan a code on their phone for every empty container collected, and return it via kerbside or speci�ic return points, in exchange for for a 10p reward.

and help with overall pro�itability” and “gives shoppers another reason to choose our symbol stores”. Amex is already accepted at major supermarkets, and the bank is growing its accepted locations by almost a third year on year.

@retailexpress facebook.com/betterretailing

17-30 OCTOBER 2023 betterretailing.com

megan.humphrey@newtrade.co.uk 07597 588972

Shop owners’ fears rise over organised crime ALICE BROOKER INDEPENDENT retailers are in fear of an “unprecedented” threat of organised crime, as the sector tries to get a grip on rising incidents. Organised crime is recognised as advanced shoplifting attacks, carried out by ‘professionals’ who have likely meticulously planned looting high-value stock. Amid what has been described as a “shoplifting epidemic”, in the past few months, one Co-op store in London was looted three times in one day, and claimed the perpetrators are operating without fear of being caught. Sunita Aggarwal, owner of Spar Hackenthorpe in Shef�ield, told Retail Express that last month she became the victim of organised crime, losing £5,000-worth of cigarettes, which cost her up to £12,000 in damages and lost sales. Thieves approached her store in the early hours of the morning and used an angle grinder to cut through the shutters. “They cut the locks on the door, and basically emptied the gantry of cigarettes,” she said. When asked about the impact of the attack on her well-being, Aggarwal explained: “You de�initely feel violated – they’ve been in the store and checked everything out in order to carry this out. “It took them �ive minutes

to steal everything – that’s how professional they are. They came in forensics suits, so there was no chance of them leaving any trace whatsoever. Thieves can take what they want and just walk away. They know they can get away with it. They’re not scared. Everyday it’s something. It affects your morale and it’s disheartening.” Julian Taylor-Green, owner of Spar Lindford in Hampshire, also experienced a break-in through the roof of his store earlier this month. The criminals removed tiles to drop inside, breaking the ceiling. Once in, they smashed the alarms with hammers. “I was initially very calm, but as the week progressed after the break-in, I felt sick to my stomach,” he said. “My family feel the same. It’s like someone breaking into my house – this is my store. “The repercussions last signi�icantly longer than you’d want – you just have to wait for the pain to disappear a bit. It looked like the thieves knew the building. “You ask yourself if it’s a vendetta. Without a shadow of a doubt, they are professionals. This was out of the blue. I hope it’s not the beginning of a tranche of them.” Elsewhere across the industry, the Federation of Wholesale Distributors (FWD) expressed it was becoming “concerned about

express yourself “I USE TikTok and Instagram for product recommendation. It’s all about jumping on products as soon as you see they’re popular. The longevity will vary depending on what the product is and sometimes they may fail, but you have to give them a try. Soft drinks and confectionery from the US have been one example of a popular product we’ve found on social media, and they generate profit margins of at least 40%.” Bobby Singh, BB Nevison Superstore, Pontefract

GOOD WEEK PAYPOINT: More than 1,000 Fed retailers have signed up to become PayPoint Park Super Agents, boosting their earnings by more than £1,000 per year. The savings club helps over 350,000 families spread the cost of Christmas. Every signedup retailer receives access to training, digital support and in-store point of sale. For the full story, go to betterretailing.com and search ‘PayPoint’ RECYCLING: The Scottish Grocers’ Federation has teamed up with vape supplier Elf Bar, to issue 1,000 co-branded in-store vape bins to members. The campaign aims to support the acceleration of recycling points for used vapes in Scotland, with bins expected to be rolled out to stores this month.

BAD WEEK

CCTV footage of a recent tobacco theft, after perpetrators used an angle grinder to break the front shutters

the rising rate of crime in the wholesale sector”. A spokesperson said: “It has become distressingly common for personal belongings and purchases, including tobacco valued at up to £5,000, to be routinely stolen from cash-and-carry car-park facilities, only to be subsequently sold on the unregulated black market.” They went on to plead for more support from the police to combat the issue. Bruno Krssak, a general manager at AF Blakemore & Sons, regularly deliv-

the column where you can make your voice heard

ers stock to Spar retailers in Bedford, and has done since 2021 when a new site was built. Since opening, he revealed vehicles have been targeted “about 20 times” by organised crime gangs. “They’ve drilled the locks on our vehicles and have been speci�ically targeting cigarettes,” he said. ACS chief executive James Lowman said organised criminal activity “exploits vulnerable people”, funds the illegal drug trade, and harms businesses.

This month, politicians have been addressing the state of retail crime at party conferences. At the Conservative Party Conference, policing minister Chris Philp recommended shop staff tackle retail crime by committing citizen’s arrests “where it is safe to do so”, while at the Labour Party Conference, shadow home secretary Yvette Cooper said a Labour government would clamp down on retail crime with a “tough love” youth programme.

PAYZONE: Services by the top-up provider are no longer available via Booker’s central billing system after a “mutual agreement” was made to disable them. One affected store owner said the move would worsen cash flows for retailers by removing rolling credit terms for the Payzone service. The company said: “All affected retailers were offered a replacement billing relationship with Payzone to ensure continuity of service.” WHOLESALERS: Products in breach of the single-use plastics ban are still being listed for sale by major wholesalers, putting local shops at risk of fines. From 1 October, it became illegal for stores in England and Wales to sell single-use plastic products. However, checks by Retail Express found Bestway had continued to list non-compliant packaging for sale on its site for retailers. A spokesperson said the listings were a “timing issue” and would be removed.

How do you use social media to spot trends and boost profits?

“WE have to be careful about which products we stock, as space is a premium in my 1,800sq ft store. Bottles of Prime were really popular when we managed to get the stock in, but that wasn’t the case when the cans were released. We’ve had to drop the price to move the stock to ensure we aren’t left with any. At the moment, we are only making 4% gross profit on them, which shows how quickly trends change.” Ian Lewis, Spar Minter Lovell, Oxon

“I SPOTTED a similar opportunity with high-margin US confectionery through social media. Facebook is a good tool to work out how popular a product could be. I often look at other stores on Facebook to see how much engagement they’re getting when advertising a new product. If it works, you can often generate an extra £5,000 in profit.” Amit Puntambekar, Ash’s Shop, Fenstanton, Cambridgeshire

Do you have an issue to discuss with other retailers? Call 020 7689 3357 or email megan.humphrey@newtrade.co.uk

Amit Puntambekar

NEWS

17-30 OCTOBER 2023 betterretailing.com

Suppliers tackle gender inequality MEGAN HUMPHREY

SUPPLIERS have revealed the changes they have made to their businesses to improve gender representation, following concerns expressed by female retailers. Newtrade Media’s Women in Convenience event, which took place on 5 October in Birmingham, delved into how the sector is working together to create a more inclusive

future, and included representatives from BAT UK, JTI UK and Coca-Cola Europacific Partners (CCEP), alongside two independent retailers. When asked what action BAT has taken, area sales manager Nicola Walters said: “One of the key things that came out of last year’s event was how female retailers didn’t feel like their voice was listened to.” As a result, the supplier set

within leadership”. CCEP’s director of field sales, Samantha Walker, confirmed all reps undertook refresher diversity, equity and inclusion training, following last year’s event, and confirmed the company refreshed its retailer panel, ensuring females were a focus. “We have done a lot of work, and I think there is still more to be done,” she said. “Expect to see more from us on that.”

up its own panel, “to share best practice of things that are working well”. JTI area sales manager Julia Glanville said the company has launched a female-only retailer WhatsApp broadcast list, and makes an effort to host events for women. She also said developing women internally is a priority for the business, noting a female-specific, 12-month training programme, “to develop women

IT’S NOT SO BLACK AND WHITE ANYMORE. STO C K

UP NO W

For more on Women in Convenience, visit betterretailing.com/category/ women-in-convenience

Morrisons Daily boom MORRISONS opened more than 600 Morrisons Daily stores this year, according to the supermarket’s Q3 trading update. The figures include 122 sites launched from May to June 2023, with a further 89

opened since, fuelled by the conversion of McColl’s stores, and independent retailers becoming franchisees. Sales were up by 2.9% on the same period in 2022, and the company boasted that convenience is “now profitable”.

‘MARY’ VAPE BRANDS DISPUTE A LEGAL spat between the owners of the Lost Mary and Found Mary brands threatens to remove some of the bestselling vape lines from sale. On 27 July, iMiracle UK – owner of the Lost Mary brand and Green Fun Alliance, a vape wholesaler trading as ‘Deep Vaping’ – opened a court claim against Found Mary owner Vape Bars. The claim states Found

Mary copied elements of Lost Mary’s design, brand and name. Vape Bars has refuted the claim.

PO U-turn on pledge

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THE Post Office (PO) backtracked on its pledge to work with retailers outside of the NFSP to develop its upcoming profit-share scheme. Last month, PO revealed plans to give retailers a share of profits made from a new

online parcel sales service. However, when asked by the CWU about taking part in the consultation, PO said there had been an “error” and it would “consult with the NFSP only, on all matters relating to postmaster remuneration”.

For the full story, go to betterretailing.com and search ‘Post Office’

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PRODUCTS

MFG and Booker’s RTD coffee PRIYA KHAIRA WORLD Foods supplier Golden Acre Foods has partnered with Motor Fuel Group (MFG) on the creation of a new readyto-drink (RTD) iced coffee brand, Early Bird. Early Bird is available in Caffe Latte and Caramel Latte varieties, launching into around 700 MFG sites via Booker Retail Partners in 250ml cans, each with a £1.49 RRP. Other independent retailers will also have access to the range via the wholesaler. The launch of Early Bird comes as the RTD iced coffee market has seen retail sales increase by 15.3% to £280m

in the past year. Golden Acre is hoping the brand stands out with its dove design and metallic backgrounds, in a market currently dominated by larger brands such as Starbucks and Costa. David Mordecai, director at Golden Acre, said: “We’ve been working in collaboration with MFG for some months to create a ready-todrink iced coffee brand that blends quality and value in a recyclable can. “Early Bird has been developed as an entry point to the category, but which doesn’t compromise on quality, taste or style. “Based on current out-ofhome and RTD consumer

purchasing habits for iced coffee, we know it will have year-round appeal, not just

seasonal. We believe we’ve created a strong brand that will meet consumer needs.”

Pukka launches new New organic clotted cream at Suma pie trio PUKKA is preparing for what it calls “peak pie-eating season” with three new pie recipes – limited-edition Doner Kebab Pie, Cheese & Bacon Pie and Chicken & Chorizo Just For Two. The brand says the trio has been carefully curated to attract a wide range of consumers and increase retailers’ incremental sales. The Doner Kebab Pie and Cheese & Bacon Pie both have an RRP of £1.99, while the Chicken & Chorizo Just For Two Pie has a £3.49 RRP. The new launches come as Pukka has grown retail sales value by 23% to reach £70m, growing more than twice as fast as its market.

Grenade’s second Oreo tie-up GRENADE has launched an Oreo White protein bar, following the success of its initial collaboration with Oreo earlier this year. The new 60g bar contains a protein dough base �illed with Oreo cocoa and a crème layer �lavoured with Oreo vanilla and topped with Oreo pieces, with a smooth layer of white chocolate. It also has more than 20g of protein and less than 2g

of sugar. With an RRP of £2.85, Grenade Oreo White is available to convenience retailers from Booker and Bestway Wholesale. Retailers are also advised to check with their local wholesaler for availability. Rob Page, Grenade head of product, said: “Our collaboration with Oreo has been a fantastic partnership to bring high-protein, low-sugar snacks to the masses.”

DAIRY producer Coombe Castle International has launched its new Devon Cream Company Organic Clotted Cream, through wholesaler Suma Wholefoods. The new variety is available to Suma customers in cases of 12 170g jars. Caron Staddon, Coombe Castle marketing manager, said: “Suma is a natural partner for our Organic Clotted Cream. Their commitment to responsibly sourced products from around the world has given the enterprise a strong USP in UK wholesale distribution. “With market-leading six months’ minimum life on receipt as a chilled product,

our Organic Clotted Cream helps retailers reduce waste, �ills a useful gap in the market and offers a clear point of difference.” Staddon added that Coombe Castle would support the product’s listing through its social media.

SCANDINAVIAN Tobacco Group UK (STG) has unveiled a limited-edition pack of Henri Wintermans Half Corona cigars for the run-up to Christmas. The supplier says the new packaging (RRP £14.17) should appeal to adult cigar smokers, as the Half Corona is the UK’s bestselling medium-large cigar and the �ifth-bestselling overall in value terms, with annual sales currently worth £16m. Additionally, its sales traditionally increase before Christmas as people enjoy it as part of their celebrations. Nataly Scarpetta, UK marketing manager at STG, said: “It’s well known that sales of cigars, and larger

cigars in particular, go up in the run-up to Christmas. These smart new packs should prove especially appealing to adult smokers. We’d strongly recommend retailers stock up.”

Limited Henri Wintermans packs

J2O unveils RTD Mocktails trio BRITVIC is diversifying J2O with the launch of a ready-todrink (RTD) Mocktails range. The range has launched in three varieties: Strawberry & Orange Blossom Mojito, White Peach & Mango Daiquiri and Blackberry & Blueberry Martini. Each comes in a 250ml can format with a £1.29 RRP. They are available to convenience retailers this month, having launched initially in the grocery channel. The launch of the range comes as the non-alcoholic market has seen steady growth, and is predicted to be worth as much as £432m by 2027.

Through the J2O Mocktails range, Britvic wants to offer shoppers a more elevated mocktail experience that they can enjoy at home.

NOMADIC is launching a multi-channel advertising campaign entitled ‘Ready when you are’. The campaign is a nod to the company’s range of convenience products designed for busy, on-thego customers. The six-week campaign covers both out-of-home and digital platforms, including YouTube, on-demand, digital display and other social media sites. The campaign will show different professionals at work taking advantage of Nomadic’s products. This includes its new range of Breakfast To Go drinks or its Yogurt & Oat Clusters pots. Bethan Miles, Nomadic’s

marketing manager, said: “Whether on the move, on their feet or on a short break, our consumers are looking for products that are ready when they are. This is a no-nonsense campaign that demonstrates just that in a striking and fast-paced way.”

GALLO Family Vineyards has extended its range of pricemarked pack (PMP) bottles to include its Pinot Grigio and Merlot varieties. The supplier hopes to build on the 18% incremental volume growth it has achieved since launching peelable price-mark labels across its White Zinfandel and White Grenache bottles. The new peelable £7.99 PMPs are available through Bestway Wholesale, Booker and Imperial Cash & Carry. Gallo Family Vineyards Pinot Grigio is the number�ive New World Pinot Grigio in the UK, while the Merlot holds the highest spend per buyer across branded Merlots.

Mark Stammers, sales director UK & Ireland at E&J Gallo Winery, said: “At a time where the cost-of-living is affecting so many, it’s important to highlight our approachable price-point.”

Nomadic is ‘ready when you are’

Gallo expands price-marked range

17-30 OCTOBER 2023 betterretailing.com

Tropicana expands range with Kids Smoothies TROPICANA is entering the smoothie category with the launch of a new children’s smoothie range, Tropicana Kids Smoothies. The range includes two �lavours: Pineapple & Mango and Strawberry & Banana. The smoothies, which are made with 100% real fruit, provide a convenient way for shoppers to get one of their �ive-a-day.

Liz Ashdown, marketing director and UK&I at Tropicana Brands Group, said: “Tropicana is the UK’s number-one juice brand. “Launching a new kids’ smoothie as part of our expanding range is an exciting step for Tropicana, allowing us to cater to shopper trends and offer a convenient and healthy solution for families.”

HALEWOOD Artisanal Spirits has rebranded JJ Whitley, now simply naming it ‘JJ’. The rebrand retains the brand’s embossed detailing across its bottles, but removes its traditional tree emblem and the ‘Whitley’ wording to give what the supplier calls a “cleaner and more streamlined image”. These changes will be re�lected across the entire JJ range, including its Party Flavours range of drinks,

including Toffee Popcorn and Strawberry Cheesecake. Poppy Williams, group marketing manager at Halewood, said: “JJ is a vibrant, modern British brand with a range of award-winning gins and vodkas in on-trend �lavours. We wanted to bring the packaging in line with this, which is why we have opted for a stripped-back, sleeker design, while still retaining the ‘family distillers’ messaging.”

JJ drops ‘Whitley’ for rebrand

World of Sweets adds Zed Candy Shake & Spray can to range

WORLD of Sweets has added the new Zed Candy Screamers Shake & Spray can to its offering. The can comes in Blue Razz and Purple Razz varieties, each at an RRP of £1.20. The bottles have three bubblegum balls at the bottom of the can, which users can twist to open and reveal. Shake & Spray joins the Zed Candy Screamers Big Lick

and the Dip & Lick (RRP 50p), which consists of two candy sticks in blue razz and cherry �lavours, with three powder dips in sour apple, strawberry and lemon �lavours. Chris Smith, partner brand manager at World of Sweets, said: “The new Shake & Spray product will be an instant success due to the innovative spray-can design and shake effect.”

ALWAYS A FAVOURITE 100 YEARS OF QUALITY SAME LOWER PRICE*

Tyrrells campaign hits TikTok KP SNACKS is continuing its run of marketing for premium crisp brand Tyrrells with a £1.5m investment into its ‘Tyrrellbly Tyrrellbly tasty’ campaign, including its �irst foray into TikTok advertising. The campaign is running across various media, including two radio adverts across stations including Capital, Heart, LBC and Magic, as well as Spotify. Meanwhile, a TV ad will

air in November, inserting Tyrrells into Pathé archival footage, promoting its core Mature Cheddar & Chive, Sea Salt & Cider Vinegar and Sweet Chilli & Red Pepper varieties. Tyrrells is also partnering with TikTokker and Young Masterchef judge Poppy O’Toole, who has 4.1 million followers, to highlight its Sweet Chilli & Red Pepper �lavour.

For Tobacco Traders Only. *Based on ITUK RRP as at September 2023. For the avoidance of doubt, retailers are free at all times to determine the selling price of their products. **Based on share of market performance as at March 2023. Source: Combined from IRI, EDFM and Nielsen.

PRODUCTS

Accolade Wines’ new ranges PRIYA KHAIRA ACCOLADE Wines has unveiled a new premium wine brand, Remastered, as well as a new range under its Jam Shed range, Jam Shed Fruits. The new launches will be available to convenience and wholesale from March 2024, following initial launches in Tesco for Remastered and

Asda for Jam Shed Fruits. Remastered comes in Sangiovese and Sicilian Fiano varieties, and taps into the consumer appetite for premium Italian wines. The £7-plus Italian wine segment has grown by £5.6m annually. Remastered carries a £10 RRP, and the supplier hopes its design will attract younger adult drinkers to the premium wine segment.

Jam Shed Fruits is available in Rhubarb & Strawberry and Black Forest Mess varieties (both 10% ABV, RRP £6-£7), to give shoppers more choice in sweeter, fruity wine products. “In a category that’s often traditional, Jam Shed has been a huge success,” said Tom Smith, marketing director – Europe, at Accolade Wines.

Carling continues FA Cup partnership MOLSON Coors Beverage Company is set to release a limited-edition Carling can to mark the brand’s partnership with the Emirates FA Cup. The new can design features the cup’s trophy, the Wembley Stadium arch and cheering fans, and launched at the start of this month. Carling will also be providing retailers with themed

PoS, including gondola end displays. Molson Coors will be supporting the can launch with consumer-facing social media activity.

HARDYS has unveiled a new advertising message, ‘The Joy of Certainty’, which it will roll out across all its global markets. The branding aims to capture the joy of an evening spent with friends and the multiple ways Hardys can be enjoyed as part of such an occasion. It marks Hardys’ �irst major outdoor campaign since 2015, and has been backed by a six-�igure investment.

It will run from 6 November to 4 December across locations including Leicester Square, Manchester’s Arndale Centre, the Birmingham Bull Ring and London tube stations. The launch of the campaign comes as Hardys, which has been the numberone wine brand in the UK off-trade since 2010, is now the �ifth-largest overall alcohol brand, according to Nielsen data.

Hardys launches new campaign

McVitie’s unveils Mini Digestives PLADIS has unveiled McVitie’s Digestives Milk Chocolate Minis, a bitesized version of its popular biscuit brand. The new variety has launched in Tesco in a multipack format containing �ive 19g bags at an RRP of £1.25. It will be launching in convenience stores and wholesalers this autumn, alongside an 80g sharing pouch version, also with a £1.25 RRP. Its launch comes as McVitie’s Milk Chocolate Digestives are worth £108.8m in retail, having grown annually by 23.1%. Pladis is supporting the

launch with marketing activity, including TV advertising, from 4 October. The supplier said the new product was aimed at attracting “a new generation of biscuit snackers” by using its top-selling brands to launch innovative products.

NEWTRADE INSIGHT PAID FEATURE

17-30 OCTOBER 2023 betterretailing.com

In partnership with

This feature is created by Newtrade Insight. Data is gratefully received from the three retailers who participated in a 12-week trial of BrewDog. Any data from other sources is cited.

GROW CRAFT BEER SALES WITH

BREWDOG

Craft beer is growing, but sales are underrepresented in convenience. BREWDOG partnered with RETAIL EXPRESS’ NEWTRADE INSIGHT service to help three retailers trial its products in their stores to boost awareness and bring new customers to the category

GROWING BASKET SPEND THE trial took place between April and July with three retailers from different parts of the UK. It aimed to get an insight into the growth opportunity of the craft beer sector and see how convenience shoppers perceive the category. Each retailer stocked nine BrewDog products – five multipacks and four single formats. Three were sold at their RRP, three were on multibuy deals and three were on promotional prices. During the trial period, all three retailers saw increases in their overall craft beer spend, up by 15.7% across their stores compared with the same period last year. Additionally, BrewDog’s products accounted for 7.7% of the three stores’ beer sales. This compares favour-

ably with BrewDog’s 1.7% value market share in the impulse channel1, showing the opportunity the brand has to grow within the market. Two of the retailers reported yearly growth in either beer or overall alcohol, with Dave Hiscutt’s Londis Westham Road store in Weymouth, Dorset, the exception. This could be attributed to his store’s location in a coastal town where holiday trade, which may have declined due to the cooler summer compared to last year, has a significant impact on sales. Meanwhile, AJ Singh, of Premier Morley in Leeds, saw a 72% increase in beer sales compared with the same period last year, despite his overall alcohol sales declining by 24%.

THE FORMAT SPLIT THE overall volume sales split between singles and multipacks was very even, with single cans accounting for 50.5% of quantity sold. This meant multipacks contributed a higher revenue, due to their higher price points. BrewDog’s merchandising

tips and PoS emphasised grouping the brand together, with singles and multipacks in close proximity. This encouraged customers to trade up to multipacks if they were happy with singles, as well as try new varieties through trading up to the Mix Pack 8x330ml.

ABOUT BREWDOG THIRTY per cent of total UK off-trade beer sales go through the impulse channel, compared to just 9.5% for craft beer, showing the segment’s room for growth2. In the impulse market, Brew-

Dog has outperformed the market, up by 7.8% vs total beer at -0.7% this year3. BrewDog Punk IPA is the number-one craft beer line4, so stocking it can act as a signpost for the category.

BRAND VISIBILITY PUNK IPA is BrewDog’s most popular line, and this was also the case during the trial, where its 440ml can was the top seller across the three stores by volume, delivering 16.8% of sales out of all products trialled. When it came to rev-

enue, however, the Mix Pack 8x330ml format was the most prominent line, contributing 20% of total trialled product revenue. The top four sellers by revenue across all three shops were multipacks. Although, it should be noted that the Punk IPA can was on a two-for-£4.50

multibuy – multibuys accounted for just over half of all products sold. This indicates that shoppers were glad to buy more than one product at a time when there was value to be had from increasing the quantity, but were also happy to trade up to multi-

packs and try new flavours. In AJ Singh’s store, the two top sellers by quantity and revenue were the Lost Lager 660ml bottle and the Black Heart Stout 4x440ml pack. This indicates the impact that differences in location have on sales of particular products.

For more information about working with BrewDog or stocking its products, visit brewdog.com/uk/enquiries/off-trade 1

Nielsen Discover Impulse Channel w/e 15.07.23, 2Nielsen off-trade l12w/e 15.07.23, 3Nielsen 52w/e 15.07.23, 4Nielsen Total Coverage Latest 12 Wks 25.02.23

insight in action

Ronak Patel, Budgens Arbury, Cambridge “THE biggest benefit we’ve seen from the trial is that we’ve been able to stock new products, and these lines have been really good additions. We’ve been able to convert a few of our lager drinkers. The Mix Pack was great because it let people try different beers. We will definitely keep all of the products. By rearranging the chiller and stocking a full range, we can build brand presence which encourages customers to try new products.”

Dave Hiscutt, Londis Westham Road, Weymouth, Dorset “AGAINST the rest of our beer range, the BrewDog products have done really well. During the trial, our BrewDog sales comfortably outperformed the rest of our beer range. It isn’t part of a standard grocery shop, but we get a lot of nuts and crisps bought alongside it. The customers are mainly people in their 30s, but we are getting a lot of repeat business. We will keep the products. The PoS and merchandising have brought the fixture to life.”

AJ Singh, Premier Morley, Leeds “CUSTOMERS are buying the BrewDog products as well as their usual choices. We will keep the products. Craft beer is going to become more important for us going forward. The merchandising worked really well – not a lot of shops around us stock BrewDog and we’re seeing people come in who are pleasantly surprised we have it as they can’t get these products anywhere nearby. It’s also interesting that people who don’t drink lager are trying it.”

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THE RETAILERS BEHIND 150 YEARS OF BENSON & HEDGES

To celebrate 150 years of one of JTI’s most trusted and well-known tobacco brands, Benson & Hedges, we speak to some of the retailers who have supported the brand throughout the years. We caught up with Hailey Hodd, from Cuff Miller Forecourt in Littlehampton, to discuss all things Benson & Hedges and the important role tobacco plays in store. Q: How do Benson & Hedges products perform in your store? Benson & Hedges performs really well. It has always been a popular choice with customers and has consistently been one of our top-selling tobacco brands over the last decade. Q: Why has Benson & Hedges continued to resonate with shoppers? Benson & Hedges has a lot of brand loyalty and customers like to stick with what they know when it comes to tobacco.

Q: Has value become more important to your customers in recent years? There are certainly some customers who will ask for the cheapest option. However, a lot of our shoppers know the brands they want, so will carry on purchasing their favourite products as a result.

Q: How important is the tobacco category to your store and how has this changed over time? Tobacco still plays an important role in the Q: What are best-selling SKUs in the shop. As a petrol station shop, additional range? purchases such as tobacco or soft drinks The top seller is definitely Benson & Hedges are vital to our business, and we’ve built a Blue, both Super King and King Size. This strong reputation locally for our stock has been influenced by its strong value offering and value. Traditional tobacco has price point. Benson & Hedges Gold also continued to sell well in recent years, even continues to be popular with our with the growing awareness of other customers. nicotine alternative products.

Q: What support do you receive from JTI? Our JTI Business Adviser regularly visits the store. He is always available to help when needed, sharing knowledge about new products or any pricing changes. It is a really useful service for the store and they are friendly to work with. For more information on Benson & Hedges, retailers can reach out to their Business Adviser or visit JTI’s trade retailer website, www.JTIAdvance.co.uk.

Benson & Hedges has a lot of brand loyalty and customers like to stick with what they know when it comes to tobacco.

OPINION

12 RE A D E R Y: GIVEAWA MONEY FREE UV ! CHECKER

COMING UP IN THE 20 OCTOBER ISSUE OF RN

RETAILER OPINION ON THIS FORTNIGHT’S HOT TOPICS

What do you think? Call Retail Express on 020 7689 3357 for the chance to be featured RECRUITMENT: How are you filling vacancies? “I’VE hired someone from Wilko. I’d urge other retailers not to be afraid to approach other employees from the chain. It’s important to look at what suits your business. This is a good avenue if other business owners are wanting to recruit good, quality employees.”

Make your store a destination: how you can attract more customers

Sue Nithyanandan, Costcutter Epsom, Surrey

“WE’VE been using Facebook to advertise our vacancies. Our last round of recruitment using this was successful, and we picked up three members of staff. We also reached out to employees of Barclays this month, after our local branch closed. Nowadays, it’s important to be proactive.” Fiona Malone, Tenby Stores & Post Office, Pembrokeshire

Cigars & cigarillos: all the latest trends and tactics for your tobacco sales

We picked up three members of staff

Pricewatch: see what other retailers are charging for vodka and boost your own profits

CHRISTMAS: How are you planning to maximise sales this year?

At RN, our content is data-led and informed by those on the shop floor

3,451

retailers’ sales data analysed for every issue

69+

unique retailers spoken to every month

71%

of RN’s news stories are exclusive

We will be getting a lot of stocking fillers “MARGINS is one of the big metrics. You also have to look very carefully at your staff turnover ratio, because if it doesn’t match up, you won’t be in business for very long. That is something that changes. You must adjust spending accordingly.” Terry Mulkerns, Mulkerns Eurospar, County Armagh

“WE have a big wallchart where we compare and track each category on a weekly basis. This helps give us a better understanding of whether we need to change the layout, or introduce something new. We’ll always ask what’s doing well and why.” Ronak Patel, Budgens Arbury, Cambridge

Shumaila Malik, Withington Costcutter, Manchester

Margins is one of the big metrics WINTER REMEDIES: How are you selling stock to increase sales?

ORDER YOUR COPY from your magazine wholesaler today or contact Kate Daw on 020 7689 3363

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Ian Lewis, Crescent Stores Spar, Oxfordshire

“CHRISTMAS for us this year will be more about small things. We will be getting a lot of stocking fillers in, like chocolate coins rather than bigger selection boxes. I will also be trying to put on as many deals for my customers as possible to help them make savings.”

FINANCES: How do you successfully stay on top of your accounts?

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“WE put our order in back in June. We make it a priority to compare our sales from last year and figure out worked well. We will be putting up all our usual displays and maintaining availability of all the right stock. We also receive great support from Blakemore.”

We place them behind the counter

“NOT many people buy medica- “BRANDED names are always preferred. It’s also important tion on impulse, so location to expand your range to cover isn’t too key. Somebody comes less obvious winter remedies. with the intention, so is more We find that products such likely to ask. We place them as Gaviscon, clip strips of lip behind the counter due to balm, cheap pocket-size hand shoplifting, but in an easily creams, pocket tissues and visible area, and customers tend to ask for what they need.” hand sanitisers all sell well at this time of year.” Muhammed Rashid, Attock Superstore, Oldham, Greater Mike Nijjer, Costcutter Bull Manchester Street, Birmingham

LETTERS

17-30 OCTOBER 2023 betterretailing.com

Paid feature

Letters may be edited

Ross Davison Head of convenience UK, foods division, Kepak

‘I’ve been recruited as an ACS board member’ I’M really excited to be a part of the ACS Independents Board. It’ll be a great opportunity to expand my contacts. I’ve been to two meetings so far, with one being virtual. We are just �inding our feet, but I’ll look to take more of an active role at the next meeting. Whenever I start something new, I like to stop

and listen before giving my opinions. It’s really nice to be recognised as a female retailer – quite often you get overlooked. I have a largerthan-life husband who is very proli�ic in the sector, so it’s easy to get stuck in the background. I’m looking forward to having a more active role in

COMMUNITY RETAILER

OF THE WEEK

Castledown Radio – @radiocastledown

discussions about things that are impacting the convenience industry. There is also a wealth of people on the board who are very knowledgeable, so I’m looking forward to making the most of the opportunities to learn from them.

Fiona Malone, Tenby Stores & Post Of�ice, Pembrokeshire

James Lowman, chief executive, ACS, responded: “We are delighted to welcome Fiona onto the ACS Independents Board. Both Fiona and Vince are committed members of ACS, getting involved with events, engaging with decision makers and sharing their insights on running their business with other like-minded retailers.”

COMMUNITY RETAILER

OF THE WEEK

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

‘We are so thankful to ‘We’ve been making Susan Connolly’ up goody bags’

“SUSAN Connolly generously donated £500 that she was given by Coca-Cola Europacific Partners. Castledown Radio is an Ofcom-registered FM community radio station, established in 2008 with more than 40 active volunteers. We will use our donation to continue to promote the station’s community work by replacing some very old equipment and we are in desperate need of some voice recorders so our schoolwork-experience placement students can plan and conduct interviews.”

“WE have been making an effort to fill goody bags to be donated to the raffles and bingo evenings in Llanidloes, which are held at the rugby and cricket club. The concept has been set up to raise money for the Christmas Lights Committee. It’s great to get people and businesses working together to help create something that everybody will be able to enjoy. Our Independent Achievers Academy bags are an added touch, helping highlight the importance of local shops.”

Driving sales in chilled ready meals IN the last issue of Retail Express, we revealed how Rustlers has helped retailers boost their chilled ready meal sales with merchandising advice, PoS and trial to stock. After three weeks, we caught up with each store owner to find out how they got on. Harj Gill, of Select & Save The Windmill in Birmingham, said: “We had a huge difference in our Twin Pack and BBQ Rib sales during the trial. We made Rustlers more noticeable in our chiller and saw a 75% uplift in BBQ Rib and a 70% rise in Twin Cheeseburger, which we linked with Jimmy’s Nachos and a take-home bottle of Coca-Cola to boost big-night-in spend.” Sue Nithyanandan, of Costcutter Epsom in Surrey, said: “We saw a 25% uplift in brand sales compared with the three previous weeks. The exercise has really hit home the importance of ensuring key brands are doublefaced and merchandised in the centre of the chiller. It’s been really useful to work with Rustlers and unlock more value from the category.” Amit Puntambekar, of Ash’s Shop (Nisa Local) in Fenstanton, Cambridgeshire, said: “We tried the range in a few different locations to find what works – and the food-to-go chiller worked best. We saw brand sales increase by 20%, just by giving it more visibility and installing PoS.” For more information on how you can drive double-digit sales in your store, email foodtogo@kepak.com or visit kepaktrade.co.uk/contact

CATEGORY ADVICE HOT BEVERAGES

17-30 OCTOBER 2023 betterretailing.com

A STRONG AND STEAMING SECTOR As the weather gets colder, CHARLES SMITH finds out how to brew fresh sales and profits in the hot beverages category

THE RIGHT COFFEE OFFER DESPITE uncertain times, hot drinks remain bestsellers in local stores. As autumn sets in, people look to hot drinks to cheer them up, so retailers should focus on raising interest and increasing purchases in this key area. People often call Britain a land of tea drinkers, yet Bestway says coffee generates over two-thirds of convenience stores’ hot drinks sales. On top of this, Juliette McConnell, Jacobs Douwe Egberts’ (JDE) demand accelerator controller, says two-thirds of consumers are looking for coffee shop-quality drinks to enjoy

at home. Higher-price formats like roast and ground are growing, while pods can also be considered. “We can’t get coffee shopbranded coffees through Booker, but Starbucks cold coffees sell all year round,” says Jeet Bansi, at Londis Meon Vale in Stratford-upon-Avon, Warwickshire. “Our biggest recent coffee success was introducing JDE’s L’or freeze-dried instant coffee capsules, a super-premium brand, after shoppers requested it, and it’s done well.” With nearly a third of adults reportedly owning coffee pod machines, Bansi says local

retailers should stock coffee pods. “People don’t expect to see them in a convenience store, but they do well here. We crossmerchandise them with biscuits,” he says. Retailers should also look to diversify their coffee range further to take advantage of growing trends and customer preferences. For example, flavoured coffees make up over a third of speciality coffee sales and Mintel’s 2022 Coffee Report says two-fifths of coffee drinkers are trying to reduce their caffeine intake, so a decaf option is recommended.

TOP TrendS Tea trends to watch 77% of consumers drink tea to feel less stressed 48% of over-18s buying and drinking tea sometimes drink it as an alternative to alcohol 43% of UK adults agree hot malted drinks are good for helping get to sleep 26% of adults are interested in trying fruit/herbal tea made with UK-made ingredients Mintel 2022 UK Tea Report

CATEGORY ADVICE HOT BEVERAGES

RETAILER

VIEW

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

Gifting hot beverages

Premium hot drinks present a great last-minute gift option for Christmas Ahmad Tea’s new Tea Bouquet Collection in stylish, collectable caddies are affordable yet indulgent presents for tea lovers. Cocoa Canopy’s drinking chocolate gift sets include Ecuador Dark, Rich Dark, Smooth Milk, Milk & Dark and Salted Caramel, with chocolate beads, a mini whisk and vegan marshmallow toppers. Cocoa Canopy’s products are made with sustainably sourced cocoa and come in plastic-free packaging. Mars Chocolate Drinks and Treats’ new Celebrations Hot Chocolate Selection pack contains eight sachets of Galaxy, Mars, Milky Way, Maltesers, Twix, Snickers, Galaxy Caramel and Bounty.

Lor_decorative_jars_Retail Express_540x150_artwork_v2.indd 1

THE IMPORTANCE OF VALUE COFFEE WHILE premium options are attractive, it’s important to remember that instant contributes half of total takehome coffee sales, led by granules and freeze-dried, and four out of five in-home coffees are made using these soluble products. According to the Mintel 2022 Coffee Report, 38% of consumers would be willing to buy coffee from discount stores to save money. This means having a dedicated value range on the shelves – and promoting it accordingly – is key this winter. McConnell says soluble speciality coffees such as Kenco Iced/Hot Salted Cara-

mel and Vanilla Lattes have gained more penetration than any other segment since 2017 and are key to recruiting younger shoppers. While Bansi’s shoppers are still going for premium hot beverages, value options and price-marked packs (PMP) are also an important part of his range. “In the current climate they’re looking for value, like in other categories,” he says. “PMPs confirm it’s not us setting the price, but where possible, we reduce prices further, for instance, selling Nescafé Gold Blend 95g £3.99 PMPs for £3.05 in the front promotional area.”

“PEOPLE here buy hot drinks for home and for work, whether everyday favourites like Nescafé or something more special. Tea and coffee sell all year round, as does coffee to go, but hot chocolate picks up noticeably with colder weather and shorter days. “My main hot beverages are in a one-metre bay with seven shelves in the first grocery aisle, opposite canned and ambient groceries. Premium products are at eye-level, everyday ones below. “The left half is coffee, starting with coffee beans, then other coffees, hot chocolate, and sweeteners and long-life milk at the bottom. The right half is tea and tea bags, again premium uppermost then everyday. “We stock Percol, Douwe Egberts and Kenco Millicano Americano. Provided they’re all selling, you can’t have too many brands or promotions. “Some people are trading down to value brands and smaller packs, but when they see deals in the promotion area, they often come back and buy two or three before the offer ends. “We also have a Tchibo coffee machine at the front of the store in the food-to-go area, and it’s busy all day long. We have a KitKat stand alongside it, and a hot food ‘case’, breakfast bars, flapjacks and bakery nearby. “We keep it clean and filled, and it looks after itself.”

17-30 OCTOBER 2023 betterretailing.com

A CALMING CUP OF TEA WHILE coffee is very on-trend, “tea holds a comforting constancy”, according to analyst Angharad Goode in Mintel’s 2022 UK Tea Report. She says the cost-of-living crisis “has “ boosted tea’s appeal, as consumers seek emotional support in stressful times, while cost-saving through at-home occasions should prevent a steeper sales drop”. The decaf dilemma affects tea, too, says Adele Ward, Clip-

per Teas marketing director, with one in three tea drinkers watching their caffeine levels. Gary Winslade, Ahmad Tea’s UK business development manager, says 2022 saw tea’s strongest value growth in a decade, with a shift from classic SKUs to premium and more exotic blends. Loose tea is also enjoying revived popularity, offering more freshness and flavour intensity than teabags, and a

lower carbon footprint. Speciality tea companies like Ahmad and Clipper are doing well in convenience, but the big brands are also going all out to wow shoppers. Liptons is relaunching PG Tips with a new blend across Original, Gold and Decaf, a square, biodegradable teabag and new packaging, no plastic outer wrap and 33% more compact for easier stacking, backed by a big ad campaign in 2024.

Hot tips to sell more hot beverages

HOT DRINK ALTERNATIVES CONCERN about impacting health, sleep and emotional well-being has seen a growing demand for hot beverage alternatives beyond tea and coffee staples. Younger shoppers in particular are turning to hot drinks to play a key role in alcohol moderation, while consumers also increasingly expect hot drinks to measure up on ethics and sustainability.

Clipper Teas’ Ward says shoppers are increasingly buying herbal infusions for health and well-being. Clipper’s infusion sales are up annually, 66% in volume and 81% in value. Ahmad Teas’ Winslade also reports rising demand in convenience for their herbal and green tea infusions. Ahmad’s award-winning Natural Benefits range includes Energy, Beauty, Immune, Digest, Slim

‘REFILL & REUSE’ SET TO GROW 5% ANNUALLY TO 2027*

and Sleep varieties. On top of this, hot chocolate accounts for 70% of ‘food beverage’ sales, which includes traditional bedtime favourites Horlicks and Ovaltine. Michelle Frost, Mars Chocolate Drinks and Treats general manager, says hot chocolate’s gone from a seasonal buy to all-year-round purchase, with gifting playing an important role.

TOP TIPS

Stock a diverse range of products from trusted and familiar brands, as well as different subcategories. Speciality drinking chocolate maker Cocoa Canopy’s spokesman says millennials and Gen Zs particularly are buying clean-label products like theirs. Customisation is important for these shoppers, including selecting the cocoa percentage, flavours, milk alternatives and toppings. Cocoa Canopy’s premium no-caffeine drinking chocolates include vegan-friendly options.

#1 PREMIUM INSTANT BRAND IN THE COFFEE CATEGORY

Offer good, better, best brand ranging and availability, so customers don’t have to shop around. Communicate with your customers through tastings and samplings. Inspire customers by cross-selling with milk alternatives, and, if you can, upgrade for mixing coffee with alcohol such as Baileys. Elevate the experience and offer ‘bundles’ with other products. With premium hot chocolate, use gondola ends to promote seasonal products alongside inclusions like marshmallows, cream and cinnamon.

DRIVE

COLLECTABILITY AND REUSABILITY AMONGST CONSUMERS

Smithers: The Future of Refillable and Reuseable Packaging, July 2022 – predicts +4.9% refill & reuse forecasted CAGR 2023-27

25/09/2023 11:56

CATEGORY ADVICE SAVOURY SNACKS

GROWING SAVOURY SNACK SALES PRIYA KHAIRA delves into the importance of this staple category in convenience, and outlines the ways retailers can entice shoppers and boost sales

A CRITICAL CATEGORY SAVOURY snacks contribute a significant number of sales across the convenience channel. According to the Food to Go Report 2023 by Lumina Intelligence, the sector grew by 31.7% in 2022 to a value of £21.4bn. While part of this growth was due to inflation, it was also fuelled by a recovery in footfall. By the end of 2023, the sector is expected to grow further – to £22.2bn. The report also revealed that the food-to-go category is pre-

dicted to hold a 23.7% total market share in 2024 compared to 23.4% in 2022, with the sector expected to outpace growth seen in the wider eating-out market. “With shoppers continuing to align their snacking habits with their busy lifestyles, demand for savoury snacks is showing little sign of slowing any time soon,” says Aslı Özen Turhan, chief marketing officer at Pladis UK & Ireland. “In fact, this category is now worth £1.4bn in sales in the convenience channel

alone, and what’s even more remarkable is the exceptional growth it has experienced year on year, even in the face of rising costs.” Trudy Davies, from Woosnam & Davies News in Llanidloes, Powys, adds that savoury snacks are a staple category in her store. “Savoury snack products are dependable as I know that there is always going to be a consistent customer base for them,” she explains. “Unlike other categories, I don’t often worry about our savoury snack sales.”

17-30 OCTOBER 2023 betterretailing.com

CATEGORY ADVICE SAVOURY SNACKS

SaleS opportunities

Merchandising is key when it comes to increasing savoury snack sales. This means thinking carefully about your customers’ needs and preferences Keep a clear view Keeping a core range of savoury snacks in clear view in your display will help drive sales and loyalty from customers who know they can come to your store for their favourite snacks. Stock familiar brands A spokesperson from Saputo Dairy UK says: “Retailers should stock a core range of bestsellers. Product quality and brand familiarity remain important drivers of choice, and products from well-known brands can help instil consumer confidence and drive conversion, so should be a key inclusion in core ranges.” Drive incremental sales Aim to encourage shoppers to participate in meal deals or promotions on drinks or food to go when they shop for savoury snacks. This will encourage basket spend and drive incremental sales. Bolster any cross-merchandising opportunities with sandwiches or drinks by keeping your on-the-go snacks close to your chiller, for example. Signpost Keep your meal-deal offerings clearly signposted with any items that are included clearly marked out. This will help gain the attention of on-the-go shoppers.

USING SOCIAL MEDIA SOCIAL media can be a strong asset for retailers with limited space. For many retailers, it can prove difficult to build an extensive savoury snacking range or to display their range with clear signage or with a dedicated fixture due to space constraints. Social media is therefore a great way for retailers facing this challenge to bring their savoury snack ranges to a wider audience, and to engage with customers inside and outside of stores. Mike Chapman, head of wholesale at PepsiCo, explains that social media can benefit retailers looking to increase savoury snack sales specifically. “It is important

that retailers look across the spectrum when it comes to making sales,” he says. “We know savoury snack consumers are very much online. With many consumers being Gen Z, social media plays an important role in making sure that customers know where they can go to purchase their favourite snacks. Creating that excitement online, but also in stores, will really help with getting that purchase.” When it comes to Gen Z customers, social media is also key to recognising, sourcing and promoting ontrend products from overseas, like Takis Crisps, with TikTok and Instagram key platforms.

17-30 OCTOBER 2023 betterretailing.com

Products and promotions

Pladis is expanding its Jacob’s Cheddars range with the introduction of Jacob’s Cheddars Cheese & Pickle along with Jacob’s Rosemary Mediterranean crackers. This year, Pladis has launched a version of its Jacob’s Crinklys Salt & Vinegar PMP that has 33% less fat. Babybel has introduced the new Mini Babybel Original two-pack format as a standalone line to stores not yet stocking the brand. For vegetarian and vegan snacking options, Babybel has launched Babybel Plant-Based, a vegan alternative to the original Babybel.

SUPPLIER

VIEW

Walkers Max has recently paired with Pizza Hut with the creation of new Pizza Hut flavours, including Walkers Max Pepperoni Feast and Walkers Max Texan BBQ. Wotsit Giants is also launching in a PMP format across the Walkers Wotsits Giant Flamin’ Hot flavour.

Mike Chapman, head of wholesale, PepsiCo

Doritos has partnered with Burger King for the launch of Doritos Burger King Flame Grilled Whopper Sharing Tortilla Chips Crisps. Pukka is bringing out two launches with its All Day Breakfast Slice. The launch will also see the addition of a new Chicken Pasty pie. Pork Farms is expanding its range with the launch of its Hog Roast & Apple Medium Pork Pie in time for holidays such as Bonfire Night, Christmas and New Year’s Eve on the horizon.

*Source: Savvy Shopper Panel, Base: 1,000 UK shoppers, May/June 2023.

DRIVE BIG NIGHT IN SALES WITH OUR BEST SELLERS 70%

of shoppers think RETAILERS SHOULD RUN MORE FAKEAWAY MEAL DEALS*

70%

of shoppers intend to

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STOCK UP NOW www.kepaktrade.co.uk

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*Source: Savvy Shopper Panel, Base: 1,000 UK shoppers, May/June 2023.

“IT’S important to make sure that you have a core and versatile range. Core is key. We advertise our hero 25 list of products, which features our strongest sellers, in particular our PMPs. Several of these items include Doritos, Walkers, Wotsits, Quavers and Sensations. “It is crucial that retailers keep their core ranges and popular items in clear view for shoppers. We also know that 22% of category growth comes from new product developments, so it is key that retailers give new products clear and visible shelf space on a main fixture.”

CATEGORY ADVICE SAVOURY SNACKS

USE HOLIDAYS AND SPECIAL OCCASIONS THERE are various occasions that present an opportunity for sales in savoury snacking. Big nights in are inherent to the growth of the category and can present an increase in multipacks, sharing formats and price-marked savoury snack sales, as well as the potential to introduce more premium sales. Retailers should make the most of big holidays like Christmas, as well as events that form part of big nights

in, such as sports fixtures, but they should also have good stock availability for big nights in of any kind, be they birthdays or family movie nights. Turhan, from Pladis, says: “It’s certainly true that shoppers are becoming more conscious of how they spend their money, but they’re also placing more value on spending quality time with their families and friends – and snacking is right at the heart of this shift in priorities.

“The trend towards spending more quality time at home with loved ones has driven a surge in demand for larger pack sizes, which are experiencing double-digit growth (15.1%). “With inflation prompting careful spending, these bigger packs will drive higher volume sales for retailers as they often offer a lower cost per kg.”

TOP Trends What are the trends? Affordability Savoury snacks offer consumers quick and accessible treats. Price-marked packs (PMPs) provide cost conscious customers reassurance that they are getting value for their money. “Independent retailers have a unique opportunity to drive higher volume sales through PMPs – a channel-exclusive format that is flying off shelves now more than ever thanks to its perceived value,” says Pladis’ Turhan. Bold flavours Shoppers are displaying a preference for bold and innovative flavours. PepsiCo’s Chapman says: “Gen Z contributes to a significant portion of savoury snack sales. Among this demographic, we are seeing a preference for exciting and on-trend flavours. For example, where we’ve launched Flame Grilled Whopper-flavoured Doritos through our partnership with Burger King.” Add healthy options to your range There is an increase in consumers opting for healthy snacking options. More than six in 10 shoppers want to see healthy snacking options in their local convenience stores.

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CATEGORY ADVICE TECHNOLOGY

17-30 OCTOBER 2023 betterretailing.com

KEY AREAS WHERE TECHNOLOGY CAN HELP CHARLES WHITTING finds out where technology can help retailers to run their stores more efficiently and effectively

LAtest tech

HANDLING EPOS DATA A STORE’S EPoS is so much more than a till system. By getting the right supplier on board, alongside training to understand and use all the tools EPoS provides, you can make significant impacts on many aspects of the store, not least automating tasks that might previously have taken

valuable time. “A good EPoS system can automate many aspects of store administration, leaving owners and managers time to run their businesses,” says Bryony Walton, marketing executive at ShopMate. “Automated pricing and promotions, price analysis reports, product

reviews such as slow sellers and key selling lines, stock holding reports, suggesting ordering – all these aspects support retailers looking to maximise their margins and sales while reducing costs.” A good EPoS system needs to be easy for retailers and their team members to use,

New technology to consider Faizan Khan, senior marketing specialist, UBuy adaptable so that things don’t get stuck in autopilot should tweaks, changes and manual overrides be required, and fast-moving to allow for price fluctuations, new product launches and further advances in technology. Getting the right EPoS tech is key for your business.

FASTER PROMOTIONS WITH prices changing rapidly at the wholesalers as inflation and availability issues continue to mount, having accurate and up-to-date prices on your products can make a huge difference to margins and customer confidence. In addition, many retailers

need to reduce prices as they reach their best-before date or bring a store-wide promotion on certain products. Electronic shelf-edge labels (ESELs) enable retailers to change prices instantly and across entire ranges. It can also be done remotely without

the retailer needing to leave the counter or even be in the store. While the initial cost is considerable, for stores spending money on staff who are just adjusting prices, it can be a serious money-saver, so retailers should bear this in mind. “There is a serious outlay for

ESELs but the savings are also considerable – since all the prices update automatically, there is no need for the manual time spent – especially when prices are fluctuating so much. You need to have the right EPoS system to ‘talk’ to the labels,” says Walton.

Contactless payment systems After the outbreak of Covid-19, contactless methods, such as NFC-enabled card terminals or mobile wallets, have become an essential technology. These methods enable customers to uphold a speedy and hygienic transaction. Technology for operations Technology such as inventory management systems, digital shelf labels and surveillance cameras should not be avoided by any retail stores. They improve efficiency, reduce errors and make the store more secure. Digital signage Digital signage can display promotions, advertisements and real-time information about product availability, attracting customers’ attention and influencing their purchasing decisions. Just-walk-out technology This enables customers to purchase the desired items without going through the traditional checkout process. The billing happens automatically with the computer vision and sensors tracking purchases. Although this technology is not common in many places, it is the future of retail stores.

CATEGORY ADVICE TECHNOLOGY

SUPPLIER

REDUCING ENERGY COSTS THERE are technological gadgets of all kinds that can help retailers to reduce their energy usage and save money on bills. From LED lights to timers that turn off if no one is in the room, there are a host of options available at a variety of prices.

“Retrofitting DoubleCool’s cast acrylic doors on fridges are proven to save retailers up to 50% on energy costs, making an instant impact on the bottom line,” says a spokesperson for DoubleCool. “They also boast the same range of

features, such as UV-stable and condensation-free, with safety features such as rounded edges, door stops and quiet selfclosing hinge systems.” Investment into energysaving technology can range from the massive cost of solar

VIEW

panels to smaller light timers, but with rising electricity bills across the board, there will always be some form of return of investment. Talk to other retailers and suppliers about how to calculate this before spending your money.

Darren Windsor, director, Image Retail Solutions “AN EPoS system with links to all the major FMCG wholesalers is essential. This should allow for price comparisons between suppliers for an individual order and offer alternative products to end-of-life lines. Bear in mind that wholesaler-funded systems often come with strings attached, such as a minimum-spend requirement, or stunted functionality that prevents competition. “Integrated card processing is essential as it avoids keying errors and prevents staff from mistaking a declined transaction as authorised. Webcam monitoring and recording of the counter area, with footage archived against each receipt, allows instant playback of ‘wrong change’ queries or age-refused sales. A good system should also allow for shelf-life tracking and reporting on short-life products. Stock ordering should go above and beyond simple min/max stock levels and should be predictive in nature, taking into account sales trends and buying patterns of customers, even the weather. “In recent years, it’s hard to envisage an industry that hasn’t been impacted by the boom in smartphone apps, and retail isn’t an exception. ‘Bring your own device’ (BYOD) is becoming more commonplace, where employees can use their own kit in the workplace. “With our systems, retailers and their staff can use their own smartphones as handheld terminals within the store to check stock, place orders and print labels from the shop floor using the device’s camera as a barcode scanner.”

KeY Questions What to ask before taking on a technology supplier Cost Ask suppliers how much it will cost up-front to get hold of the technology, how much it will cost to install, and what further costs and bills you should expect to pay. With contracts around Tango Ice Blast in particular dominating news cycles in convenience retail, rubber-stamping any contract is crucial before moving forward. Size Space is a premium in convenience stores, so finding out how much space a new machine will take up is key to deciding whether it will actually work within your shop. Reliability Talk to other retailers about their reliability experiences and ask suppliers what support is on offer if something goes wrong. How fast will they get to you to fix the issues? Training Find out how much training is required to use this equipment and what training is provided by the supplier. It’s also important to know if this training will apply to staff members hired long after the technology has been installed. Who else is using it? Talk to other retailers and look outside convenience to see what businesses in other industries are doing to streamline and improve their services.

STREAMLINING PAYMENTS SELF-SERVICE technology can come in a variety of formats. Self-service tills can speed up the paying process and reduce the need for extra staff on the tills, meaning you can either reduce hours and wage bills or put those team members’ time to better use. Additionally, there are self-service machines, such as slushie, coffee and juice machines, that can add an extra high-margin dimension to your store’s offer that will attract customers and grow basket spend. “With our fresh juice machines, most retailers will be selling between 70-400 bottles per week and they will be making a margin of between 20% and 40% on each bottle

sold,” says Elias Ebert, founder of iSqueeze. “It is really important to situate iSqueeze juice machines within the produce and food-to-go sections of the store.” There are also other arenas where automation can save time and resources. Open banking reduces card-transaction and cash-handling charges. “Many wholesalers are incentivising retailers to use open banking in preference to other payment methods. This means retailers are passed on some of the savings made, meaning they benefit with cashback on future orders, exclusive discounts and other offers,” says Rob Mannion, CEO of b2b.store.

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HIGHMARGIN ITEMS

The RETAIL EXPRESS team finds out where retailers are clawing back margins in their stores

We can get margins on meat from a local farmer, but where else are retailers generating good margins? – Jonathan Cobb, Miserden Stores & Post Office, Gloucestershire

Eugene Diamond, Diamonds Newsagents, Ballymena, County Antrim

“TOYS are usually where we get a high margin. We can get a good turnover of them as well if we get the right trends or get some kind of novelty toy in stock. Five years ago, for example, it was �idget spinners, and we had a really good year with them. “This past summer, we were selling bucket hats and it was surprising just how well they did. They caught the eye as well. A wholesaler friend of mine �inds these sorts of things for me and gives me the heads up and helps me source them. “Vapes are another big winner. We got into them quite early and they’ve been a big market for shops like mine. People are crucifying them at the moment with underage sales, but I just keep a book of the people we refuse to sell them to. “Another good margin driver is bottled water, although it’s not as good as it used to be.”

Atul Sodha, Londis Peverills, Uxbridge, west London

“WE have been thinking a lot about our margins and categories and trying to see what can work better. You are not going to get high margins in every category – breakfast cereal, for example – so you have to think about where you are buying your stock from and if you can get a better deal from somewhere else. “One category where it is really hard is alcohol because of the government’s duty increase. It’s hard to understand where the cost of the product is down to the deal you are getting with your supplier or wholesaler and where it is down to the duty increase. “To get the best margins, you have to be entrepreneurial and willing to try new lines, even obscure ones. You have to just see what happens. My advice would be to keep listening and always look for what the latest trend is in all your core categories. Talk to your customers and �ind out what they are looking for. ”

Dilmeet Singh, Londis Gerrards Cross, Buckinghamshire

“FESTIVE occasions like Halloween and Christmas offer a good opportunity for high margins. Halloween costumes have good margins and so do chocolate boxes at Christmas. We can get 50% margins on chocolate boxes, but we can only really get hold of them at Christmas. There’s not much demand for them the rest of the year. “In the summer, we look at ice cream and bottled water for margins. If you order in pallets of them, you can get that better bulk discount, which also helps. “We introduced a toy section next to the magazines recently and it’s doing far better than we thought it would. We’re sourcing them from household cash and carries, and we can get 50% margins at least on them as well. We keep changing things around with the toys and every time we sell out of something, we bring in something different instead.”

In the next issue, the Retail Express team finds out what affordable changes retailers are making in their stores. If you have any problems you’d like us to explore, please email charles.whitting@newtrade.co.uk