Retail Express - 2 May 2023

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• Scottish government bottles it and delays deposit return scheme by another 10 months • Retailers join forces to demand funding to help get their stores ready P3 DELAYED RECKLESS SCANDAL 2-15 MAY 2023 STRICTLY FOR TRADEUSERSONLY ILLICIT TOBACCO P2 BACK PAGE Discover how the ongoing vape scandal is influencing what customers buy New survey reveals a drop in the number of people reporting sales of illegal products P4 EVRI FIGHTS BACK Retailer takes action in response to ‘shocking’ parcel commission cuts STORE ADVICE NEW BORN READY TO TAKE ADVANTAGE OF THE GROWING ALCOHOLIC RTD CATEGORY * STOCK UP TODAY “JACK DANIEL’S” AND “OLD NO. 7” ARE REGISTERED TRADEMARKS OF JACK DANIEL’S PROPERTIES “COCA-COLA” IS A TRADEMARK OF THE COCA-COLA COMPANY. *NIELSEN TOTAL COVERAGE MAT VALUE YEAR END 2022. PLEASE DRINK RESPONSIBLY. TO FIND OUT MORE EMAIL CONNECT@CCEP.COM,CALL 0808 1 000 000 OR VISIT MY.CCEP.COM SCAN TO VISIT MY.CCEP.COM COC1601_CocaCola_JackDaniels_KV_RE-FC_AW3.indd 1 11/04/2023 14:57

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ENERGY DRINKS TRENDS Find out what’s influencing sales growth and change in the category CATEGORY ADVICE ENERGY DRINK TRENDS 18 HOWmuch drinks worth? Depending who you ask, lot, growing 13%, the energy drinks market and table drink-now segment.” We can lines sports caffeinated drinkshavebeen by more lines and focusing offering egory has not to cost-of-living crisis. This means singlepack multipack formats value lines, vital role AN ENERGETIC CATEGORY WHAT’S TRENDING IN ENERGY? JASPER HART explores the factors influencing growth and change in the energy drinks category, and what it means for retailers in 2023 Stock up now Flavours are back P18 ILLICIT TOBACCO P2 BACK PAGE Discover how the ongoing vape scandal is influencing what customers buy New survey reveals a drop in the number of people reporting sales of illegal products P4 EVRI FIGHTS BACK Retailer takes action in response to ‘shocking’ parcel commission cuts STORE ADVICE • Scottish government bottles it and delays deposit return scheme by another 10 months • Retailers join forces to demand funding to help get their stores ready P3 DELAYED RECKLESS SCANDAL 2-15 MAY 2023 STRICTLY FOR TRADEUSERSONLY

I KNOW rising prices are nothing new, but, for some reason, last week I really noticed it doing my weekly shop.

I also saw a video on TikTok by someone flabbergasted that a packet of Hobnobs had reached a mighty £3. Maybe I was naïve, but I thought prices would start creeping down by now. However, I’ve had to suck it up and realise, this is definitely the new normal.

Most ideas to prevent costs being passed onto the consumer have run out. What I would say to independents is not to be hard on yourself. It’s not just in food shops that customers have had to get used to higher prices, it’s happening in bars, restaurants and clothing stores.

Although they are begrudgingly cracking on, it’s not like they are holding small shops accountable. Yes, there’s no denying it’s harder for independent stores to stay profitable at times like these, especially with ongoing high energy bills, but never forget your unique selling point.

Amid rising costs, we have been plagued with availability issues, the latest being eggs.

I heard Walsall retailer Amrit Singh talking on the radio last week about how his prices have shot up by 20%, but that sales are high as shoppers can’t get them anywhere else.

TMA demands simpler system as reports of illicit tobacco fall

THE Tobacco Manufacturers’ Association (TMA) is calling for a simpler system to report the sale of illicit tobacco, following a worrying 3% drop in the number of people logging incidents.

The group polled 12,000 UK smokers for its annual survey, released last week. It showed that seven in 10 smokers still

NEVER FORGET YOUR UNIQUE SELLING POINT

Independents have the edge over supermarkets in this regard. They have strong links to local suppliers, and the ability to shop around utilising more unique wholesalers and cash and carries.

Keep on taking advantage of these opportunities where you can, and your resilience to stay ahead of competition will pay off and keep your business thriving.

@retailexpress betterretailing.com facebook.com/betterretailing

buy illegal products, and that people were “confused” by the number of different ways to report illegal activity.

In response, director Rupert Lewis said: “It is concerning that the police, despite them not being responsible for enforcement in this area, is now the most commonly contacted authority.

“The TMA calls for the adoption of a single number

InPost parcels

A NEW over-the-counter parcel-collection service from InPost is set to launch in May, giving stores an opportunity to grow revenue. The InPost Shop Service scheme marks the �irst time UK stores can partner with the �irm without needing to

install parcel lockers. Participating stores get a mobile phone to scan parcels. Unlike rival companies, InPost is understood to work on a different model to the industry-standard of commission paid per parcel handled.

Retailer delivery app

A PREMIER retailer has launched trials of a new home delivery app, claiming

for the reporting of illegal tobacco, with the information collated and made available to the most appropriate enforcement body.”

Lewis went on to support the government’s new enforcement measures such as imposing on-the-spot �ines of up to £10,000 against those who deal in illicit tobacco, and the recently announced strategy to tackle

illicit tobacco. However, he stressed the �ines need to be higher than £10,000 to make an impact.

He told Retail Express: “The penalties aren’t substantial enough. We think it should be higher and we made that recommendation to government at the time they brought out the consultation in 2021.”

Energy savings

A NEW energy buying group is promising to help independents save up to 20% on their monthly energy bills.

Energy Bubble uses the collective buying power of its members to negotiate cheaper utility prices with its partnered energy suppli-

ers. Managing director Aaron Dardi revealed the �irm was in talks with various symbol groups to see how they can provide their members with support. “We usually add customers when they’re at the end of contracts and about to renew,” he said.

05

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

Vape lines pulled

A LEADING wholesaler told stores to remove 20 lines from three more major brands from sales last month.

Distributor Phoenix Retail withdrew its SKE Crystal, IVG Bar and Elux disposable vapes sold through Booker.

Emails sent on 12 April by Booker said the distributor was “voluntarily withdrawing the lines, and advised stores to return any stock that was purchased with Booker to the wholesaler for full credit”. At least 40 batches were named.

The five biggest stories this fortnight 01 02
04
03
Editor Megan Humphrey @MeganHumphrey 020 7689 3357 Editor – news Jack Courtez @JackCourtez 020 7689 3371 Editor in chief Louise Banham @LouiseBanham Senior features writer Priyanka Jethwa @PriyankaJethwa_ 020 7689 3355 Features editor Charles Whitting @CharlieWhittin1 020 7689 3350 Deputy insight & advertorial editor Tamara Birch @TamaraBirchNT 020 7689 3361 Production editor Ryan Cooper 020 7689 3354 Sub editor Jim Findlay 020 7689 3373 Sub editor Robin Jarossi Head of design Anne-Claire Pickard 020 7689 3391 Senior designer Jody Cooke 020 7689 3380 Junior designer Lauren Jackson Production coordinator Chris Gardner 020 7689 3368 Head of marketing Kate Daw 020 7689 3363 Head of commercial Natalie Reeve 020 7689 3367 Senior account director Charlotte Jesson 020 7689 3389 Commercial project manager Ifzal Afzal 020 7689 3382 Account director Lindsay Hudson 020 7689 3366 Account managers Marie Dickens 020 7689 3372 Megan Byrne 020 7689 3364 Management accountant Abigayle Sylvane 020 7689 3383 Managing director Parin Gohil 020 7689 3388 Head of digital Luthfa Begum 07909 254 949 our say
prices
have to mean falling profit
Rising
doesn’t
to offer the lowest fees
Justin Whittaker,
MJ’s Premier
Oldham,
a pilot of Flash Delivery on 17 April,
shop
Premier Smileys One Stop Shop in Blackpool. Whittaker,
the �irst to
his platform available to other store owners,
10 more independents are
to take up the app. Features writer Jasper Hart 020 7689 3384 @JasperAHHart 41,206 Audit Bureau of Circulations July 2021 to June 2022 average net circulation per issue 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 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. 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’ publisher, Newtrade Media, cares about the environment.
on the market.
owner of
near
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adding his own
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News editor Alex Yau @AlexYau_ 020 7689 3358
Specialist reporter Dia Stronach 020 7689 3375
News reporter Jill Lupupa jill.lupupa@ newtrade.co.uk For the full story, go to betterretailing.com and search ‘delivery’ For the full story, go to betterretailing.com and search ‘vape’ For the full story, go to betterretailing.com and search ‘tobacco’

Scotland pushes bottle return scheme back again

MEGAN HUMPHREY

INDEPENDENT retailers breathed a sigh of relief last month after the Scottish government buckled under pressure and delayed the deposit return scheme (DRS) for a third time.

Newly elected �irst minister Humza Yousef announced the news as he laid out his priorities for government for the next three years.

During his speech, he reinforced his commitment to DRS “as a way to increase recycling, reduce litter and help achieve our net-zero ambitions”, but said the implementation of the scheme would be pushed back by 10 months until 1 March 2024, giving retailers extra time to prepare.

“We will use that additional time to work with businesses, and Circularity Scotland, to address concerns with the scheme and ensure a successful launch next year,” he said.

Yousef effectively blamed the UK government for the delay, claiming it had blocked the scheme under the Internal Markets Act.

However, he went on to claim the government would put in place a package of measures to “simplify and de-risk” the scheme, but no further details have yet been announced.

Responding to the news, the Fed’s deputy vice-president and DRS lead, Mo Raz-

zaq, told Retail Express it was “the right decision” as “businesses are nowhere near ready due to poor communication from the government”.

On the same day as the speech from Yousef, the minister responsible for the policy, Lorna Slater, held a meeting with retailers, including Razzaq.

“Many voices in the meeting said the delay may be until March, but the government only has until September to sort out all the problems businesses have and actually get people behind a DRS,” he said. “The delay should act as a wake-up call that much more work is needed.”

Since the announcement, Scottish retailers have come together to demand grants are made available to small businesses to help them get ready.

Razzaq said �inancial support for stores should re�lect not just the cost of preparing for the scheme, but also of protecting those that face signi�icant losses due to the delay.

“The urgent issue is now what happens for those stores that have taken out leases on machines to start from this August,” he said. “They face thousands of pounds in payments before the scheme launches unless �inance companies understand and accept the need for a delay to the start of payments. The same is true for stores that have already

cleared space ready for machines or storage.”

The move would align itself with the Republic of Ireland, which has already issued tapered support of €6,000 over three years for businesses.

During her meeting with retailers, Slater also said containers under 100ml or businesses selling less than 5,000 units per year would be removed from the scheme,

and claimed the exemptions process for stores had been “simpli�ied”. However, it was unclear as to whether this referred only to changes made last November.

When asked whether it agrees with the decision to delay, scheme administrator Circularity Scotland told Retail Express: “This new launch date now gives those businesses more time to prepare, and those

businesses who have yet to register now have until 12 January 2024 to do so.

“The Scottish government’s announcement puts an end to speculation about the timescales for the launch of the scheme, and we urge all producers and retailers who have yet to register for the scheme to contact us so we can support them through the registration process.”

How are you reducing your store’s energy costs?

“THE alcohol and soft drinks chillers in our store are only switched on just before licensing hours, and they are turned off two hours before the shop closes. We have alarms on phones to alert staff when to switch them on and off. Employees are trained to respond to these alerts. All the staff areas have automatic lights, and appliances, such as coffee machines, are powered down overnight, which all helps to keep our costs down.”

“OUR monthly energy bills went up from £500 to £2,000 since the war between Russia and Ukraine started. It forced us to take our energy usage more seriously. We removed all electric heaters from the premises and replaced them with high-heat-retention storage heaters. This required an initial investment, but it will pay off in the long term. We insulated our entrance and exit points to retain as much heat as possible.”

Sailesh Tanna, Easte Leake Post Office, Loughborough

“I USE special timer plugs to switch off automatically when they’re not needed. This can’t be done with milk chillers due to wastage, but it works really well with drinks fridges and screens. For example, my Rollover machine has a screen, but I time this to switch on an hour after opening and an hour before close when footfall is low. I have saved 50% on bills doing this throughout the shop.”

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

SCAMS: PayPoint has rolled out new terminal warnings to ensure stores are staying vigilant to fraudsters, following a rise in incidents. The news came after Andrew Board, of Core Convenience Store in Durham, reported a suspicious call from someone asking him to issue vouchers through his system. In response, a spokesperson for the firm said: “We have added an additional warning screen on the terminal when processing some eMoney transactions.”

ALCOHOL: The Scottish government has dropped controversial alcohol-display-ban proposals in response to concern from retailers. The move aimed to restrict the advertisement of alcohol by relegating alcohol lines to gantries behind tills, under the counter or in dedicated space off limits to customers.

GOOD WEEK BAD WEEK

CARD FEES: London district Fed member Kishore Chandarana, of Tara’s Londis in High Wycombe, Buckinghamshire, urged MPs and regulators to take action to cut card fees at a Parliamentary event. The retailer spoke to Conservative MP Shaun Bailey at an ‘Axe the Card Tax’ event in late March. Chandarana said: “I laid out the impact this is having on shops and customers. Many shops only process utility top-ups via cash because it isn’t feasible to accept card payments due to these costs.”

EGGS: Widespread availability issues with eggs through independent stores are being compounded as one supplier has reportedly prioritised supermarket supply. Jas Sidhu, of Sidhu Stores in Jarrow, south Tyneside, said he had received communication from supplier Lintz Hall Farm giving notice it was terminating supply due to “cost-cutting measures”. Lintz Hall was approached for comment, but failed to respond when Retail Express went to press

03 betterretailing.com @retailexpress facebook.com/betterretailing megan.humphrey@newtrade.co.uk 07597 588972
2-15 MAY 2023
express
yourself the column where you can make your voice heard
Ken Singh

JILL LUPUPA

AN independent retailer is refusing to process parcels “larger than a shoe box” in protest against Evri’s commission cuts of nearly 40% last month.

The parcel firm informed stores in March that from 16 April, it was enforcing a “new simplified payment structure”, seeing them earn 20p per parcel, instead of 32p,

equating to a 37.5% drop in terms. Stores were left “betrayed”, claiming they would lose hundreds of pounds every month as a result.

In response, one retailer revealed last week they were displaying a poster in store outlining their new parcelsize limits due to the commission cuts.

“The customers understand it’s not our fault,” they said. “We are getting 20p for

a parcel no matter the size, and following a couple of noshows from drivers, which left me with nearly 90 parcels at times, I can’t afford to have huge parcels take up space in my store when I’m earning so much less.”

They added: “I’ve not heard anything from Evri, despite trying to have a conversation with them to understand why they have dropped the commission by so much.”

At the time of the cuts, Atul Sodha, owner of Londis Harefield, said: “It already feels like we are being shafted at a time when costs are going up. These companies are just trying to find ways to squeeze retailers.”

Shahid Ali, owner of Nisa Local in Aberdeen, said he debated dropping the service. “We will review it against our full-month payments, and then decide what to do.”

Retailer takes action against Evri PayPoint site growth

PAYPOINT has seen growth across its retailer estate in the past year, driven by use of its access to cash service and new partnerships.

According to the firms latest trading update for the year ending 31 March, its Counter

Cash service, launched last February, is now live in 5,680 sites, with 1,930 transacting regularly. Meanwhile, stores have redeemed £246m of energy bill support scheme vouchers across the network to date.

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

SNAPPY GOES ECO WITH GANDER

SNAPPY Shopper is the first delivery app to offer reduced-toclear items for home delivery.

Two CJ Lang stores in Scotland are trialling the tie-up with food waste service Gander, for three months.

The app enables customers to purchase discount shortlife items for delivery as part of their normal shops, cutting waste and giving reduced prices.

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

The tie-up is due to to roll out to all Snappy partners soon.

Booker praised

TESCO chief executive Ken Murphy hailed Booker’s 12% year-on-year growth as “the star of the show” in the grocery giant’s newly released preliminary results.

Booker retail delivered 3.2% growth, despite a 5.6% drop in tobacco sales, and

won 451 new retail partners during the year.

Murphy attributed the new sites to the “success story” of Premier, Londis and Budgens, having “the best availability and the best pricing”, and the rollout of 500 Jack’s ownlabel lines.

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BAT UK’S NEW GANTRY

BAT UK partnered with Retail Express and seven retailers to unveil its new alternative nicotine gantry, show how it’s made and gain feedback for future modifications

THE GANTRY

BAT UK has launched a new gantry, specifically for vapes and alternative nicotine products. The manufacturer said the landscape for tobacco has changed and new products are on the rise, and their aim is to help independent convenience retailers update their tobacco gantries.

The gantry is built fit for purpose and highlights new

products, offering more convenience to their shoppers by stocking the right products for their target audience of adult nicotine consumers. With the new gantry, retailers can show their vape and alternative nicotine products in a clear and distinct way with its backlit black design. This also allows customers to browse and make the decision that’s right for them.

Above the gantry are three media screens that help retailers market their Vuse and Velo ranges. The screens can also be tailored to the retailer if a promotion is running, so adult nicotine consumers are informed before they reach the till area.

The first gantries will be installed by June and take a day to install. BAT UK has a dedicated

THE FLAGSHIP STORE

IRFAN Ahmad, owner of DayToday in Glasgow, became the first retailer in the UK to offer BAT UK’s new gantry solution. His decision to install BAT UK’s latest innovation was its modern design and focus on alternative nicotine products.

“Other companies we reached out to could only offer the traditional tobacco gantry,” explained Ahmad. “BAT UK’s

SUPPLIER VIEW RETAILER

Atul Sodha, Londis Harefield, Uxbridge, Middlesex

“I love that a large company, like BAT UK, has invested in a unit that shows off its products well. I like that the new gantry is a modular fit. The digital screen above the gantry also looks incredibly professional.”

Kay Patel, Best-one Wanstead, London

“The gantry is an interesting concept. It looks better in person than the visuals we have seen. I like the modular aspect of the gantry and how BAT UK are open to changing the gantry according to retailer feedback.”

installation team throughout the UK and will work with retailers to determine the best time for installation, including options outside of business hours.

Retailers will enter an initial five-year contract with a 50% requirement of BAT UK’s products to ensure maximum rewards. There is no installation cost for retailers using the My BAT Rewards platform.

Bobby Singh, BB Nevison Superstore, Pontefract, Yorkshire

“The gantry looks sleek and professional; we like the screens. BAT UK’s products are in a prime position and nicotine pouches have been displayed clearly. The back lighting also helps the product stand out.”

SUPPLIER VIEW

Hashim Tahir, B2B executive, BAT UK

new gantry is offering something new by focusing on alternative nicotine products.”

The gantry’s backlit lighting is what stood out to Ahmad the most. “Lighting can help offer customers a new experience of seeing a product,” he said. “The experience they receive means they are more likely to return.”

Ahmad opened his 800sq ft

store in February and is open 24 hours a day, seven days a week. The retailer offers a wide range of products , including foodto-go, grocery and hardware, to meet as many shopper missions as possible.

It was important to Ahmad to offer his customers a wide range of alternative nicotine products, from vapes to modern disposables to nicotine pouch-

es. Within this, visibility was important to Ahmad, as was collaboration with suppliers.

“Working with BAT UK has been great,” Ahmad said. “BAT UK worked with me every step of the way, helping me to understand what’s currently trending within the alternative nicotine category, as well as ensuring we offered the right products,” Ahmad said.

“With the exceptional growth of vapes in the past few years, BAT UK noticed a gap in the market, and we realised retailers aren’t equipped to merchandise and range the category correctly to drive sales and attract adult nicotine consumers to the category.

“We want to help retailers update their tobacco gantries, which can be seen as outdated as retailers transition to drawers underneath the till area. The gantry we have built offers a multi-category solution where retailers are able to display vapes and alternative nicotine products together while having space for tobacco.”

PAID FEATURE BAT UK GANTRY TOUR 06
glasgow

RETAILER VIEWVIEW

BEING SUSTAINABLE WITH BAT UK’S GANTRY

BUILDING a sustainable gantry solution was key for BAT UK. The manufacturer’s latest solution takes environmental and societal factors into account and uses 100% recycled plastic. The gantry also uses a selection of wood and metal and is reduced in weight compared to its previous solutions.

Following the visit in Glasgow, six out of seven retailers joined BAT UK and Retail Express to visit this factory to see how each gantry is made and understand the structural integrity and quality.

The backlit lighting featured throughout is installed at the Zedis factory in Barce-

lona using LED lighting. Retailers in attendance suggested putting the gantry on timers to make it easier for them to further reduce energy consumption. Based on this feedback, BAT UK and Zedis explained that a plug that runs on Wi-Fi can help monitor its overall usage.

UPHOLDING QUALITY

ZEDIS, the company behind BAT UK’s latest innovation, makes each component in-house to ensure quality comes first, while putting sustainability at the forefront, which the six retailers in attendance have now seen first-hand.

Materials used to build the gantry are all sourced within

a 50km radius of the factory, so carbon emissions are kept low. The gantry also has zero wastage, because any leftover material during the building process is either reused or sent away to be recycled. Some areas of the gantry are finished by hand to ensure the units are long-lasting.

The factory uses different moulds, with the electrics running through the design, to ensure there are no loose wires and the gantry’s quality is upheld.

The gantry’s LED lighting is also installed at Zedis’ factory. It uses LED lower and upper package lighting, and the elec-

In addition to LED lighting, the new gantry offers push mechanisms, adjustable shelf height and has a central locking system for the drawers to help keep tobacco secure. Retailers will also benefit from upgradable product labels and unique planogram updates.

Vince Malone, Tenby Stores and Post Office, Pembrokeshire

“It’s clear BAT UK are great at what they do and the factory has been fantastic. From a customer’s point of view, the gantry is really eye-catching. It will capture their attention as soon as they walk in store, and while they might not purchase something straightaway, it brings those products to the forefront of their mind.”

Sunita Aggarwal, Spar Hackenthorpe, Sheffield

“Going on the tour was amazing to see how they put everything together. We also liked how they source all their materials locally, too. It’s nice to be part of the journey, listened and spoken to us and taken on our ideas.”

Trudy Davies, Woosnam & Davies, Llanidloes, Powys

“The factory tour was really interesting and it was great to see how the gantry is made. BAT UK has completely taken on board our feedback from Glasgow, even down to the width and depth.”

Natalie Lightfoot, Londis Solo Convenience, Glasgow

“BAT UK has listened to all of our feedback, both from Glasgow and in Barcelona, and know it’s lots of different things they need to take into consideration. These include the route to market, how it would fit into convenience stores and how we are all different as retailers.”

SUPPLIER VIEW

trical installation is certified. Changes to the gantry can, and have, been made on-site. For example, in Glasgow, the retailer feedback was updating the colour of the shelving panels within the gantry, from oak to black. This was achieved by Zedis’ team in less than a week.

If you’d like to know more about BAT UK’s new gantry solution visit www.betterretailing.com/bat-retailer-visit or call

Afzalur

B2B manager, BAT UK

“The alternative nicotine category is evolving very quickly and it’s hard to determine where it will lead to next. We want to work with independent retailers to create an ideal solution to help them navigate the category and be successful in it too.

“Today’s visit was about showcasing to retailers the process of how each gantry is made, and to gain their feedback to build a strong foundation for convenience stores. What we received was insightful and helped us to understand what could be improved. BAT UK has taken the retailers’ feedback and promised to consider this for future developments.”

2-15 MAY 2023 betterretailing.com 07
020 7689 0500
Rahman,
spain In partnership with

PRODUCTS

Booker launches BrewDog stout

JASPER HART

BREWDOG‘S Black Heart Stout has launched in the convenience channel exclusively through Booker Wholesale.

The stout (4.1% ABV) was originally launched in BrewDog bars in February.

It is available from Booker in 4x440ml multipacks at an RRP of £5.79.

Its launch comes as stout is currently worth £150m in the off-trade, with Guinness accounting for 93% of sales. The supplier believes there is an opportunity to drive incremental growth with a distinctive challenger brand, particularly among younger and premium shoppers.

Like Guinness, BrewDog Black Heart cans contain a widget to replicate the draught experience in a can.

Alex Dullard, head of customer marketing at BrewDog, said: “We believe drinking beer is about discovery and experimentation, with a mountain of different types and styles available. However, when it comes to stout, there really is only one choice on shelf currently, that delivers a true draught experience.

“As the experts in taste and quality, we have worked with our brewers to develop a classic draught stout, brewed in and for this century, that can be offered to those looking to try some-

Sensation-al coronation crisps

WALKERS Sensations has launched King Prawn Cocktail and Regal Lamb & Mint limited-edition varieties to celebrate the coronation of King Charles III.

Both varieties are available now in 150g sharing bags with an RRP of £2.50 and 65g £1.25 price-marked packs (PMPs).

The supplier says that during the week of the Platinum Jubilee, Sensations saw a 41% brand growth compared to the same week in the previous year with its special-edition �lavours.

It added that the new �lavours cater to growing crisp trends. Meat �lavours represent 28% of salty �lavour occasions for an

evening snack, while seafood �lavours are growing by more than 5%. Additionally, sharing is the biggest format within savoury snacks, contributing to 33% of sales.

Carlsberg acquires Kronenbourg rights

CARLSBERG Marston’s Brewing Company (CMBC)

will acquire the UK rights for French beer brand Kronenbourg from Heineken UK.

The deal, effective from 1 June, will see CMBC acquire all rights to produce and distribute Kronenbourg 1664 lager, which is owned globally by Carlsberg Group.

Under the agreement, Heineken UK will continue to brew and pack Kronenbourg 1664 under contract, before moving to CMBC in 2024.

Heineken has held the Kronenbourg licence since 2008.

Paul Davies, CEO of CMBC, said: “Kronenbourg 1664 is an excellent beer with a distinctive provenance, that is growing in both volume

thing new. Consumer testing and insight indicates Black Heart has the potential to drive further growth into the category and deliver pro�it

by attracting younger, more af�luent consumers that have all but given up on the chance of an alternative to the category leader.”

Grenade expands protein shake range

GRENADE has added to its protein shake range with the launch of a Chocolate Salted Caramel variety.

Inspired by the supplier’s Chocolate Chip Salted Caramel Protein Bar, the shake contains 25g of protein.

With an RRP of £2.85 for a 300ml bottle, it is available to independent retailers from AF Blakemore, Muscle Finesse and Tropicana Wholesale. The supplier says Nisa and Costcutter availability is also coming soon.

“Following an exceptional start to the year with the launch of Grenade Oreo Protein Bar, Chocolate Salted Caramel Protein Shake repre-

sents an important milestone for our core range,” said Rob Page, head of product at Grenade.

“We hope consumers of the Chocolate Chip Salted Caramel Protein Bar are excited to give the shake a go and that it meets their expectations of that signature Grenade taste.”

and value with strong brand awareness amongst consumers. We look forward to sharing our exciting plans to relaunch the brand with our partners in the on- and off-trade and cementing Kronenbourg 1664 as a leader in the category.”

KP

launches online ranging guidelines

KP SNACKS has unveiled a new set of ranging guidelines, ’25 to thrive’, on its SnacKPartners website.

The guide provides a core recommendation of 25 lines across crisps, snacks, nuts and popcorn (CSNP) for retailers to stock to drive sales.

These include top sellers from brands including Hula Hoops, McCoy’s, KP Nuts, Butterkist, Skips, Nik Naks and Space Raiders.

It also features macro trends, a planogram, market insights and category advice to help retailers across the value and customer mission spectrum.

Matt Collins, trading director at KP Snacks, said:

Peri-Peri Crunch from Graze

“For retailers, simplicity in ranging is key so ’25 to thrive’ highlights 25 core lines covering a spectrum of shopper missions, occasions, and top sellers across the entire value spectrum. By stocking this range, retailers can bene�it from this growth category.”

Sandwiches fit for a king

URBAN Eat is marking the coronation of King Charles III with a limited-edition range consisting of Smoked Ham & Egg and Coronation Chicken sandwiches.

Available until 9 June at an RRP of £3.49-3.69, the sandwiches come in Union Jack packaging to ensure standout on-shelf. They will be supported by in-store PoS, posters and social media activity.

Abigail Nelson-Ehoff, brand manager, Urban Eat said: “With such a historic event just around the corner, it’s only appropriate that we help the UK celebrate with a special lunchtime treat.”

“Not only that, the food to go category has gone from

strength to strength in recent months and we expect this to increase further as the weather warms up and more people are out and about.”

GRAZE has launched a new Peri-Peri Crunch variety alongside a rebrand across its range.

The launch of the non-HFSS Peri-Peri Crunch comes as the supplier’s Crunch range has grown by 18% in the past year.

According to Graze, it is its most appealing �lavour to date, with purchase intent testing at 75%. It is available in a 28g punnet with an RRP of £1.20.

It is launching alongside a rebrand which features an enlarged white logo for easier brand recognition. Packs also feature illustrated hands which guide shoppers to product photography.

The supplier says consum-

er feedback has been successful, saying the new packaging has greater on-shelf standout translating to a higher purchasing intent.

Golden Wonder’s transformative promo

GOLDEN Wonder has teamed up with upcoming �ilm Transformers: Rise of the Beasts for an onpack promotion across its Transform-A-Snack brand.

The promotion, which is live now ahead of the �ilm’s release on 9 June, offers shoppers the chance to win a family trip to New York, as well as unique Transformers: Rise of the

The promotion builds on Transform-A-Snack’s recent growth. According to IRI, the brand’s sales have grown by 25.8% year on year.

“Generations have grown up making cars from tasty Transform-A-Snack and so the opportunity to team up with Transformers: Rise of the Beasts was the perfect partnership,” said Matt Smith, marketing director at Golden

08
mountain Beasts merchandise. Wonder.

McVitie’s promotes biscuit breaks

PLADIS is urging Brits to ‘Bring back the biscuit break’ with its latest campaign for McVitie’s.

The campaign is the supplier’s �irst McVitie’s campaign in almost 10 years.

According to Pladis, it was born out of research commissioned by the brand which found that 70% of overworked employees take less than 15 minutes’ worth of breaks a day.

The campaign is running across social media, outdoor, radio and shopper marketing, and is fronted by actress Martine McCutcheon. Additionally, Absolute Radio’s Tea Break Trivia and Magic’s Tea

Win cash prizes with Birds Eye promo

Breakers quiz shows have been renamed Biscuit Break Trivia and Tea and Biscuit Breakers, respectively.

McVitie’s has also partnered with The Sun to place the brand at the heart of features where people are taking time out, including puzzle pages and TV listings.

Staropramen promo offers BBQ prizes

MOLSON Coors has launched a barbecuethemed ‘BBQ like an expert’ on-pack promotion and campaign for Staropramen beer, in partnership with chef Heston Blumenthal.

The partnership sees the lager brand offering shoppers the chance to win an Everdure by Heston Blumenthal 4K BBQ, as well as Staropramen-branded accessories and supplies.

Promotional packs with QR codes for shoppers to scan to enter are available until 30 June.

The campaign builds on Staropramen’s 11% value sales growth in 2022, following multimillion-pound investment including its

biggest-ever marketing campaign, ‘Brewed by experts, for experts’.

Molson Coors will support the campaign with digital advertising, paid social media activity and in-store PoS.

BIRDS Eye has partnered with retail app Shopt to give 10 independent stores the chance to win a variety of prizes to help them maximise their frozen food offering and contribute towards rising energy bills.

The �irst prize is £3,000, including tailored category advice and Birds Eye, Aunt Bessies and Goodfella’s Pizza stock. There are nine additional cash prizes, ranging from £2,000 to £250. For every qualifying entry, Birds Eye will make a £5 donation to GroceryAid.

Retailers need to open the Shopt app and redeem the Birds Eye competition

Kettle Chips expands range

reward to enter. By uploading an image proving they have bought a case of promotional Birds Eye lines, retailers will receive £3 into their Shopt account.

Meet top footballers with Cadbury FC

MONDELEZ International is offering shoppers the chance to win experiences with leading female footballers through Cadbury FC. The ‘World class wins’ promotion runs until midJuly across a wide variety of Cadbury, Maynards Bassetts and Trebor products.

It offers one winner and three of their loved ones the chance to meet one of top footballers Leah Williamson, Katie McCabe, Kadeisha Buchanan and Pernille Harder. The winner also gets a family holiday worth £8,000 and match tickets to see their chosen player. There are also runner-up prizes including match tickets, signed shirts and Cadbury

Fermented vegetables from Mrs Elswood

SPECIALTY food importer and distributor Empire Bespoke Foods is set to launch a duo of fermented crunchy vegetables under the Mrs Elswood brand.

They will be available to retailers from June 2023 in Crunchy Vegetables and Crunchy Vegetables with Purple Carrot Juice varieties, each at an RRP of £2.99. Each jar contains mini gherkins, red pepper, carrot slices, cauli�lower �lorets and baby silverskin onions.

The vegetables are fermented for a minimum of four weeks before being added to the brand’s signature brine.

Matthew Moyes, marketing controller at Empire,

said: “With our new Crunchy Vegetables we are looking to bring life, colour and modernity to the pickles aisle. Consumers are not only looking for new �lavour pro�iles, but new and improved options for old favourites.”

FC vouchers. To enter, shoppers purchase a participating pack, enter their contact details, barcode and batch number at worldclass.cadburyfc.com and select the player they’d like to meet.

KETTLE Chips has unveiled two new varieties, Sriracha Mayo and Dill Pickle & Jalapeño.

Both �lavours launched in Waitrose in April in sharing bags, ahead of wider grocery and impulse listings from this month onwards.

To drive awareness, Kettle has launched the Kettle Chips Escape Room in Shoreditch, east London, a free experience that gives consumers a chance to discover the new �lavours.

Russell Tanner, marketing director at Kettle Chips, said: “With consumers looking to explore new and interesting �lavours within the

Cono Sur rebrands Bicicleta range

CHILEAN winery Cono Sur has rolled out new packaging across its Bicicleta wine range.

The new look features across the brand’s Pinot Noir, Viognier, Sauvignon Blanc and Malbec varieties, as well as its organic range.

Javiera Moller, Cono Sur brand manager in the UK, said: “We’re so pleased with this new design, which has been a truly collaborative effort with our team in Chile. It looks fresh and contemporary, while still focusing on the bicycles which the brand is famous for.

“Cono Sur has long been known as an innovative and environmentally conscious wine brand, one of the few

certi�ied B Corp wineries globally, and our new look will accompany some really exciting activity we’re launching in May.”

crisp category, we couldn’t be more delighted to share the two new seasonings. By offering something a little unexpected from Kettle, and with the fantastic support of our wider experiential activity, it’s a very exciting time for the brand.”

Tango campaign spotlights Dark Berry

TANGO has launched a £2m campaign focused on its Dark Berry variety, highlighting its ‘Dangerously potent �lavour’.

The campaign went live on 15 April during the opening episode of Britain’s Got Talent, showing a world where Dark Berry’s �lavour is so powerful, that authorities want it banned. Designed to appeal to younger Gen Z

consumers, it will run until June 2023 across TV, digital, social media and in�luencer marketing.

There will also be additional digital marketing for Tango’s limited-edition Paradise Punch featuring in a digital campaign in June.

Tango Dark Berry now has a retail sales value of £13m, having grown by 26% compared with last year.

Retailers Shuda stock new cocktail range

MANCHESTER Drinks Company has launched a new range of Shuda bottled cocktails and added two new �lavours to its range of frozen cocktail pouches.

The new cocktails range is available in Apple Sour, Cherry Sour, Blueberry Sour and Strawberries & Cream varieties (15% ABV). Each is available in 700ml bottles at an RRP of £8.99. The

supplier says they can be enjoyed straight over ice or with a mixer.

It has also added Passionfruit Martini and Raspberry Mojito varieties to its frozen pouches range (4% ABV), joining Strawberry Daiquiri, Pina Colada, Woo Woo and On The Beach.

These are available in 250ml pouches with an RRP of £1.

09 2-15 MAY 2023 betterretailing.com
A MUST-READ FOR PROFIT-DRIVEN INDEPENDENT RETAILERS Find out top sellers, highest margins and biggest profit drivers in stores like yours 30+ CRUCIAL CONVENIENCE CATEGORIES ANALYSED WHAT TO STOCK 2023 INALSOTHIS ISSUE A MUST-READ FOR PROFIT-DRIVEN INDEPENDENT RETAILERS Find out top sellers, highest margins and biggest profit drivers in stores like yours June 2023 CONVENIENCE CATEGORIES ALSO IN THIS ISSUE CRUCIAL ANALYSED A MUST-READ FOR PROFIT-DRIVEN INDEPENDENT RETAILERS Find out top sellers, highest margins and biggest profit drivers in stores like yours June 2023 30+ CRUCIAL CONVENIENCE CATEGORIES ANALYSED WHAT TO STOCK 2023 ALSO IN THIS ISSUE Exclusive data on the top sellers and profit drivers over the past 12 months Detailed sales data on more than 800 product lines across 31 core convenience categories Spotlight on key growth areas and up-and-coming trends, including value, premium and free-from Supplier viewpoints and insight to help you stock a more profitable range INCLUDING: Order your copy from your magazine wholesaler today or contact us on 020 3871 6490 On sale 26 June Only £5.50 EPoS data from 3,705 independent retailers analysed The ultimate stocking guide for independent news and convenience retailers! What to Stock will help you find new opportunities for your store and plan the core product lines that you need to add to your shelves Maximise your profits with What to Stock!

PRODUCTS

New trio from Funkin Cocktails

JASPER HART

FUNKIN Cocktails has added three new serves to its ready-to-drink (RTD) canned cocktail range.

Aperitivo Spritz and Nitro Lime Margarita will be available to wholesalers in the coming weeks, having launched in Sainsbury’s and Morrisons.

Both have a 5% ABV.

Aperitivo Spritz is available in a 250ml can with an RRP of £2.10, while Nitro Lime Margarita is available in a 200ml can with an RRP of £2.10 and a 700ml Bartender Edition bottle (10% ABV) with an RRP of £9.50.

Funkin is also launching Nitro Berry Woo Woo in

Morrisons on 8 May, with no current plans for wholesale availability.

Nitro Lime Margarita and Nitro Berry Woo Woo are made with Funkin’s Nitro format, which infuses them with nitrogen to deliver a bar-quality pour experience.

The supplier is hoping to capitalise on increasing cocktail consumption in summer. Its RTD range saw sales increase by 20% last year, hitting £21.2m.

“With lighter evenings already in full swing and Bank Holiday season just around the corner, refreshing cocktails are going to be front of mind for shoppers, so our new additions are a great opportunity to help

Raspberry Ripple from Brothers Cider

BROTHERS Cider has announced the launch of a Raspberry Ripple variety, continuing its tradition of launching a “weird and wonderful” cider �lavour each year.

The new variety is a combination of raspberry and vanilla. It is launching this spring in 500ml and 330ml single glass bottles, as well as 6x330ml and 10x330ml multipack can formats. RRPs are aligned with the supplier’s other varieties.

According to Kantar data, Brothers is the only fruit cider brand in growth, increasing in value by 3.3% and volume by 9.6%.

The supplier will support the launch with a market-

ing campaign comprising in�luencer partnerships, social media and in-store and in-depot PoS.

them expand their repertoire and drive additional sales in this hugely popular and fast-

Mars cookie launches go gluten-free

growing category,” said Ben Anderson, Funkin Cocktails marketing director. MARS Chocolate Drinks & Treats (MCD&T) has launched two gluten-free cookies under its Galaxy and Twix brands.

The two varieties are initially launching in Sainsbury’s ahead of wider convenience and retail distribution in “the coming months”, the supplier said. They are available in packs of four, each at an RRP of £2.89.

The cookies market is currently worth £148m and is growing in value by 4% annually. Free-from cookies contribute more than £12m to the category and have grown in volume

Lindt Lindor sticks launched in PMPs

LINDT has launched 95p priced-marked pack (PMP) versions of its Milk and Salted Caramel Lindor chocolate sticks.

They are available to independent retailers from Nisa, AF Blakemore, Appleby Westward, Parfetts, United Wholesale, United Grocers, Bestway Wholesale, Dhamecha and Hancocks.

Supplier Lindt & Sprüngli says the launch was in�luenced by trading conditions, with snacks one of the top �ive categories bought in PMPs, according to Lumina Intelligence. Additionally, 63% of shoppers believe PMPs suggest they are not being overcharged.

Imperial updates Embassy Signature

IMPERIAL Tobacco has launched an updated Embassy Signature Silver Edition, available for a limited time. The variety contains reduced smoke smell paper, which limits lingering smoke odour on hands and clothes after smoking, as well as a new shaped �ilter which the supplier says provides adult smokers with an enhanced

experience. Its pack has been designed with a resealable foil feature to fully protect and secure the cigarettes’ freshness. Its trade outer features a modern design with a luxury printed sleeve to further promote the brand’s premium positioning.

Embassy Signature Silver Edition has an RRP of £11.60 for a pack of 20s.

A Lindt & Sprüngli spokesperson said: “We endeavour to assess the market and innovate where demand lies and found that PMPs, although well established, are one of the most successful promotional techniques which represent good value for money.”

Cadbury launches sauce format

MONDELEZ International has launched a Cadbury Topping Sauce to accompany dessert occasions.

The supplier says the sauce is ideal for drizzling over desserts, ice creams and pancakes. It is available in a 950g recyclable bottle at an RRP of £6.99. Each bottle typically contains at least 60 servings.

The sauce is also vegetarian and can be stored at an ambient temperature.

Its launch comes as dessert bars are increasingly popular in stores, according to the supplier. Desserts are also a growing trend in line with consumer demands for special treats.

Lorena Moyano, brand

manager for Cadbury in the away-from-home channel at Mondelez, said: “This is a truly incremental opportunity for retailers to encourage shoppers to trade up and add more special treats to their baskets.”

by more than 6% in the past two years.

There is a further opportunity for brands in the segment, as they represent 69% of conventional cookie value sales, but just 30% of gluten-free cookie sales.

JJ Whitley launches Lemon Citron vodka

HALEWOOD Artisanal Spirits has added a Lemon Citron variety to its JJ Whitley vodka range. The new �lavour is available now in a 70cl bottle with an RRP of £17. It has also launched in JJ Whitley’s updated glass bottles manufactured by Yorkshire-based Beatson Clark. Beatson Clark uses a closed-loop recycling system, which processes postconsumer glass and uses it in the production of new bottles, reducing the environmental impact of manufacturing.

Rachel Adams, global marketing manager at Halewood, said: “We know citrus �lavours rank highly among consumer preference

within the spirits category, and lemon �lavours work particularly well with our smooth JJ Whitley vodka, so we’re con�ident that this will be popular choice as we approach the spring months.”

Buzz Sweets expands northwest

BUZZ Sweets has announced its successful expansion into Manchester, Liverpool and their surrounding areas. According to Philon Parpottas, the supplier’s CEO, it has acquired more than 200 new customers in the area in the past 12 months.

Having started its business in London and the home counties, Buzz now supplies more than 8,000 customers in those regions. Its distribution also covers south Wales, Portsmouth, Southampton, Brighton, Bournemouth and Bristol. Buzz offers a range of bagged sweets, nuts and savoury snacks, as well as fully stocked display stands.

Its products also cater to a range of dietary restrictions, including halal, dairy-free, gelatine-free and gluten-free.

11 2-15 MAY 2023 betterretailing.com

VUSE

Innovative disposable and rechargeable products offering a wide range of fl avours make VUSE Go and VUSE ePod Vivid ideal choices in a fast-moving market. RETAIL

out more

What is Vuse?

DISPOSABLE Vuse Go and closed-system ePod ranges offer trusted, reputable quality in a growing, multi-brand category. They are designed to cater to the higher demand for mint and fruit flavours, and stronger nicotine strength products suitable for those who are more experienced with nicotine.

The ePod Vivid range was created for adult nicotine consumers drawn to bold disposable vape flavours, but also attracted by refills that are cost-effective and reduce waste.

Recent growth in the modern disposables market has been unprecedented – peaking with a year-on-year increase of 3,500%1 last summer. Modern disposables are currently driving the continued volume growth in the vape market overall, which is expected to continue through 2023, along with the expansion of the closed-system products market.

Three bestsellers: Vuse Go

Why stock it?

VUSE Go and ePod Vivid innovate continuously to cater for the ongoing evolution of preferences among adult nicotine consumers.

Vuse is the leading global vaping brand3 and offers the flavours popular in the market today. The ePod Vivid closed-system refillable pod range now gives consumers those same experiences and flavours as with Vuse Go. Both ranges continue to show consistent market growth. Vuse Go total sales are up by around 40% since November 2022 and ePod Vivid has had an increased share by volume of 8% to 23% in the same period4

Vuse Go offers adult nicotine consumers the option of trusted quality among a growing, multi-brand category. Vuse ePod Vivid was created for those who not only enjoy bold flavours in disposables, but who are also attracted to more cost-effective refills in a rechargeable, not disposable, device, which gives 1,900 puffs per pack5.

Three bestsellers: Vuse ePod Vivid 3

RETAIL BRAND SPOTLIGHT 12
EXPRESS fi nds
Blueberry Ice 20mg2 RRP: £3.50 12 Strawberry Ice 20mg2 RRP: £3.50
FOCUS ON:
3
Mint Ice 20mg2 RRP: £3.50 20mg 2 20mg Blueberry Ice 18mg2 RRP: £6.99 12 Strawberry Ice 18mg2 RRP: £6.99 Mint Ice 18mg2 RRP: £6.99

Display your vaping and nicotine pouch range near other nicotine products to showcase the range. They should be clearly visible to adult nicotine consumers at the point of sale.

RETAILER

What’s new?

If space is limited, the minimum amount of stock retailers should have is one facing of each product. Retailers should also focus on bestsellers.

“SINCE we first opened the store, we’ve stocked Vuse. We started with approximately 12 flavours across the ePod and ePen ranges, and have since grown this to more than 20 different flavours across different nicotine strengths. We have also stocked Vuse Go since its launch last year, and have recently started stocking the full range.

“Sales have grown across Vuse – we now have regular Vuse customers. Berry Blend 12mg and Peppermint Tobacco 12mg are popular flavours for us.

“We have separated Vuse Go 20mg and Vuse Go 10mg, as there are customers who are looking to drop down in nicotine strength. The lower-nicotine-strength option isn’t available in other disposable brands, so this does well.”

Vuse Go and ePod Vivid promise much with plans to introduce more new flavours across various nicotine strengths, following launches last year, presenting a prime opportunity for retailers.

Contact your BAT UK representative, visit vapermarket.co.uk or head to the My BAT Rewards platform

2-15 MAY 2023 betterretailing.com 13 In partnership with
Palash Medhwani M&V HUB, Turnham Green Terrace, Chiswick, London BAT UK recommends retailers range their merchandising solution from high to low nicotine strengths keeping stock together – and grouping by brand, strength and flavours.
In
action
1 Nielsen data, year to date, w/e 04.06.2022, 2 Nielsen total coverage sell out data w/e 18.03.2023, Based on Vype/Vuse estimated value share from RRP in measured retail for vapour (i.e. total vapour category value in retail sales) in the USA, Canada, France, UK, Germany. These fi ve markets cover an estimated 81% of global vapour closed-system NTO, calculated in May 2022, 4 Nielsen Traditional Retail sell out data w/e 18.02.2022, 5 Up to 1,900 puffs per pack. Based on laboratory testing (including recharging) of Vuse ePod 2 device and may vary depending on individuals’ usage behaviour.

RETAILER OPINION ON THIS FORTNIGHT’S HOT TOPICS

What do you think? Call Retail Express on 020 7689 3358 for the chance to be featured

VAPES: How are you reacting to ongoing product removal notices?

“WE keep seeing these product withdrawals, and each time suppliers tell us not to worry and to keep selling them, but if it lands stores in trouble, it will be the store that has to deal with it. The suppliers should be responsible for sorting this out, and not us. We have enough on our plates.”

Hemanshu Patel, Saltwood Post Office Generate Store, Hythe, Kent

“IT’S difficult to understand why some wholesalers withdraw products while others continue to sell them. It also just adds to all the confusion around the category. Shops are reliant on their suppliers to advise on what should be sold, so why are they taking different approaches?

Martyn Ward, Cowpen Lane Convenience Store, Billingham, Teeside

The suppliers should be responsible

PROMOTION: How do you generate interest from new customers?

“WORD of mouth has resulted in lots of new customers. With social media, you want to say what you’re getting in and what you’re offering. We’ll post when we get a delivery, and we posted when we got the Fanta and F’real machines going.”

Ajmer Kaur, Premier Ken’s Convenience Store, Winsford, Cheshire

ALCOHOLIC SLUSHIES: How do you sell them responsibly and legally?

“I HAVE three machines. It’s a legal grey area, but if you do it right, then you’re covered. It’s important to show them the alcohol content because they need to know what they’re drinking. I mix it in the tank, so it’s usually lemonade and whatever vodka is on trend.”

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

“WE open a big bottle, measure the shots into the cup and seal it. The customer makes the drink, has it in their hand and then they can open it once they’re off our premises. We check the IDs of anyone buying one. You’ve got to cover your own back.”

Amit Patel, Premier Sandiacre, Derbyshire

Staff are told to walk behind them

“WE use TikTok. When we had our first Prime delivery, I posted the time it was due to arrive – 3.30pm – and we had kids queuing outside the store at 3pm. Within two hours, I’d sold 200 bottles. So, we made another video telling people when the next delivery was.”

Shuayb Hamid, One Stop Keresley Post Office, Coventry

You’ve got to cover your own back

CRIME: How are you working to minimise incidents in your store?

“WE tell people they’re not welcome in the store, but they will still come in. As soon as they do, staff are told to walk behind them, so they get the gist they’re being followed and don’t come back. We find most theft comes from sweets or crisps, followed by alcohol and babycare.”

Vrajesh Patel, Londis Dagenham, east London

“WE wouldn’t confront them at the expense of them either causing themselves, our staff or stock any harm. It’s always done in a way we can manage the outcomes and consequences, and if we feel it’s going south, then we allow them to leave and contact the police.”

Vince Malone, Premier Tenby Stores & Post Office, Pembrokeshire

14
OPINION
Word of mouth has resulted in lots of new customers
UP
5 MAY ISSUE OF RN Pricewatch: see what other retailers are charging for sports & energy drinks and boost your own profits Low- and no-alcohol beverages: a guide to stocking up on beer, cider, wine, and spirits Pressing your advantage: how to capitalise on what sets your store apart from supermarkets + STAY INFORMED AND GET AHEAD WITH RN betterretailing.com/subscribe ORDER YOUR COPY from your magazine wholesaler today or contact Kate Daw on 020 7689 3363 3,451 retailers’ sales data analysed for every issue 69+ unique retailers spoken to every month 71% of RN’s news stories are exclusive At RN, our content is data-led and informed by those on the shop floor
COMING
IN THE

aren’t able to get core lines from Mars Wrigley’

DOES anyone know what is going on with a couple of Mars Wrigley products?

I haven’t been able to get hold of Spearmint or Juicy Fruit chewing gum �lavours, or Bounty Chocolate for about three months.

“I’ve been to so many cash

and carries who all tell me they don’t know when they will have any more stock arriving.

One of them told me they haven’t had any of the products for nearly three months, and some can’t even remember when they

COMMUNITY RETAILER OF THE WEEK

last had any at all. This has been noticed by my customers already, who keep asking me when I will have it back in. I’m also losing sales as a result.

Munir Butt, Butts Super News, Reading, Berkshire

Summer success is all about being prepared

SPRINGTIME brings many new opportunities in retail.

Lighter nights mean the steady evening trade will increase as people begin to venture out, socialising more after hibernating during the long winter months.

Cider sales increase as warmer weather drives an impulse for crisp, fruity drinks, and an opportunity to build sales on butchery meat, salads and charcoal re-emerge as people begin to enjoy their gardens and roll out the barbecue.

Each issue, one of seven top retailers shares advice to make your store magnificent

A spokesperson for Mars Wrigley responded: “We are experiencing high levels of demand on some of our treats. We are producing signi�icant quantities, and our much-loved brands remain available nationwide.”

Success depends on being prepared. We often have one opportunity to capitalise on seasonal events. If we don’t have what customers want at the exact moment they need it, we’ll likely lose the sale, and sometimes even the customer to a competitor. We are fortunate enough to enjoy an all-year-round opportunity to sell charcoal. We have a reasonably large customer base who like to escape reality and venture out in all weathers to go night fishing. They also prefer to light a barbecue and not rely on Deliveroo to provide their dinner for the evening. This gives us an opportunity to be the fisherman’s friend when it comes to being a one stop shop for their nights away from home. This stands us in good stead when the nice weather arrives as we’re halfway there in our preparation.

With cider sales increasing as the weather warms up, it’s a good time to look at new trends and flavours. Promotions are a great way to introduce customers to new products. We tend to offer multi buys across ranges so customers can buy what they know and experiment with a new flavour at the same time. We also look at shelf plans, opening up more chilled space for take home ciders so customers can enjoy their drink as soon as they get home. This gives us the edge over supermarkets as most of them don’t offer a chilled option.

“WE’VE collected old coins and notes of any currency for nearly 20 years. The money raised goes to the British Heart Foundation (BHF) and the Meningitis Trust. I had Meningitis in my 20s, so I’m always grateful for the support. Several family members have also been helped by the BHF – so it’s important to choose charities that affect a lot of people. We’ve had the same customers continue to bring in coins for years.”

WEEK

COMMUNITY RETAILER OF THE

A change in seasons can also play havoc with our EPoS system. We often have one eye on the weather forecast when we’re placing orders. As good as our ordering system is, its not yet learned to predict a bit of sunshine, a rise in temperature and the pain a retailer feels because they’ve sold out of Lemonade or Ben & Jerry’s due to a spike in trade. By manually overriding orders, we tend to stay on the right side of sales, which keeps our customers coming back as the temperatures build to what I hope will be, a spectacular summer for us all.

“WE work with five local primary schools – and like us, they are part of the recycling group, Bonnie Blantyre. I told the group we’re trialling the deposit return scheme (DRS), so one of the schools came to visit us last week to see it in progress. I gave the children free ice cream and Fruit Shoot bottles to reward them for paying an interest in their recycling. Part of helping the environment is looking after the community – they’re our customers.”

15 betterretailing.com 2-15 MAY 2023 Letters may be edited
LETTERS
sam coldbeck Wharfedale Premier convenience store, Hull
‘We
‘We taught the local school about DRS’
Mo Razzaq, Premier Mo’s, Blantyre, Glasgow – @BlantFamily
Get in touch @retailexpress betterretailing.com facebook.com/betterretailing megan.humphrey@newtrade.co.uk 07597 588972
‘We collect old coins for charity’
Trudy Davies, Woosnam & Davies News, Llanidloes, Powys –@trudydavies1964

VELO

Why stock it?

VELO is the UK’s number-one nicotine pouch1 and the brand is proud of its continued innovation to cater for adult nicotine consumers, including the flavours and variety of nicotine strengths they prefer. The Velo range has 10 flavours and seven strengths, plus slim and mini sizes available.

New high-strength nicotine pouches include the ‘High Nic’ Max and Ultra variety for more experienced adult nicotine consumers.

Velo’s convenience is a major draw for adult nicotine consumers. They can take Velo with them anytime, anywhere –and it’s hands-free once the lid is off.

The overall modern oral market has grown by 89% so far this year compared to a year ago2. Velo continues to improve on its significant overall share by volume, reaching 55% by February –up from around 25% on December 20212.

NICOTINE pouches, such as Velo, give adult nicotine consumers a modern, convenient way to consume nicotine with no butts, tobacco, smoke, smell or mess from start to finish3.

The slim pouches contain nicotine and other high-quality ingredients, including flavourings, sweeteners, plant-based materials and water, and come in a nifty pack. The pouches are placed under the upper lip, where the nicotine is released and absorbed. They appeal to adult consumers keen on quality, sustainability and convenience.

The current favourites in terms of sales in the category are mint flavours, particularly the stronger nicotine pouches, which recorded a 54% share in February this year. The lowernicotine 6-9mg-strength mint products also have a significant share of sales by volume at 21%, with the lower- and higher-strength fruit flavours enjoying a 14% share combined2.

RETAIL BRAND SPOTLIGHT 16
VELO continues to feature strongly as part of a growing nicotine pouches category characterised by ongoing evolution in the preferences of adult nicotine consumers, RETAIL EXPRESS reports
FOCUS ON: Three bestsellers Velo Freeze, 11mg RRP: £6.50 1 2 Velo Ice Cool, 10mg RRP: £6.50 3
Velo Freeze, 17mg RRP: £6.50
What is Velo?

Your nicotine pouch products should be displayed ideally near other nicotine products – they should be clearly visible to adult nicotine consumers at the point of sale.

When space is limited, why not minimise the amount of stock in your display area by keeping just one product per line facing the customer – focusing mainly on your bestsellers.

Product news

“WE’VE stocked Velo since we opened the store. We have expanded the flavours and strengths available since then. Higher nicotine strengths sell best for us.

“Freeze Max and Ruby Berry high strengths sell well for us, and the newest Cooling Storm flavour is already selling well, too.

“We try any new flavours to see how they perform and because we have a great relationship with our sales representative, this benefits us with being able to expand our range and always get the best deals.”

Watch out for the new Velo ‘high sensations’ campaign to promote a new, more intense menthol flavour product, Cooling Storm 11mg pouch – Velo’s most menthol product to date4.

2-15 MAY 2023 betterretailing.com 17 In partnership with
Palash Medhwani M&V HUB, Turnham Green Terrace, Chiswick, London BAT UK suggests ranging your merchandising solution from high to low nicotine strength, keeping stock together – and grouped by brand, strength and flavours.
In
RETAILER
action
1 Based on NielsenIQ RMS data for the Nicotine Pouches category for the 12-month period ending 04.02.2023 for the UK total retail market (Copyright © 2023, Nielsen Consumer LLC), 2 Based on Nielsen Traditional Retail sell out data week ending 18.02.23, 3 This product is not risk-free and contains nicotine, an addictive substance, 4 When compared to the menthol level in Velo Freeze
Contact your BAT UK representative, visit vapermarket.co.uk or head to the My BAT Rewards platform

Flavours are back

WHAT’S TRENDING IN ENERGY?

JASPER HART explores the factors influencing growth and change in the energy drinks category, and what it means for retailers in 2023

AN ENERGETIC CATEGORY

HOW much is the energy drinks category worth? Depending on who you ask, it’s either a lot, or even more. “Within the soft drinks category, sports and energy account for £817.9m,” says Adrian Hipkiss, marketing director at Boost Drinks, citing IRI figures.

“More and more shoppers have bought into energy this year,” adds Adrian Troy, marketing director at Barr Soft Drinks. “Worth £1.7bn and

growing by 13%, the energy drinks market is the biggest and most profitable drink-now segment.” We can go slightly further: “Sports and energy continues to perform well, worth £1.9bn, up by 15.7%,” says a Red Bull spokesperson. Whatever the category’s precise worth, it’s undoubtedly one of the key soft drinks columns. Estimates vary so much partly due to different definitions of the segment. Tradi-

tional lines such as isotonic sports drinks and caffeinated energy drinks have been joined by more functional lines and brands focusing on offering a slower release of energy.

Zero-sugar varieties of established popular sellers are also finding larger audiences.

Furthermore, while characterised by ubiquitous market leaders which are unlikely to stick around on any retailer’s shelves for too long, the cat-

egory has not been immune to the cost-of-living crisis. This means larger singlepack sizes, multipack formats and value lines, particularly own label, have a vital role to play in influencing a store’s energy drink range.

There’s plenty of opportunity within the energy segment, but that also means retailers have their work cut out crafting a range that is optimised for their customer bases.

CATEGORY ADVICE ENERGY DRINK TRENDS 18
VITAMIN B3 HELPS REDUCE TIREDNESS LUCOZADE, LUCOZADE ENERGY AND THE ARC DEVICE ARE REGISTERED TRADE MARKS OF LUCOZADE RIBENA SUNTORY LTD. Stock
now
up

THE RISE OF HEALTHIER OPTIONS

LOW- and no-calorie flavours have been in growth for some time across soft drinks, but they are now almost on a par with full-sugar versions. “We’ve been seeing a long-term trend towards drinks with lower sugar, as consumers become aware of their health and wellbeing,” says Matt Gouldsmith, channel director, wholesale, at

Suntory Beverage & Food GB&I (SBF GB&I). “The low- or nocalorie segment continues to perform brilliantly, accounting for almost 48.3% of total soft drink sales. Lucozade Zero, for example, is seeing recent growth of over 58.5%.”

According to Amy Burgess, senior trade communications manager at Coca-Cola

Europacific Partners (CCEP), Monster Energy’s zerosugar Ultra range is not only the number-one zero-sugar energy brand in the UK, it is the fastest-growing Monster range, up 29% annually.

Ben Mckechnie, managing director at wholesaler Epicurium, says the advent of “natural energy” drinks is

PACK PREFERENCES

WHILE energy drinks have always sold themselves as instant energy-boosters for on-the-go consumption, the pandemic and subsequent increase time spent at home have meant larger formats have more importance in places where shoppers aren’t travelling as much.

The increased pressure on shoppers’ finances and price per litre also play a role.

“As a result of household budgets and the subsequent increase in the ‘big night in’ occasion as consumers stay home to save, our larger format packs are growing in relevance,” says SBG GB&I’s Gouldsmith.

However, some retailers say the cost-of-living crisis also means that customers are wary of paying over the odds, regardless of format. Coupled with an overwhelming impulse/

on-the-go customer mission, this means multipacks usually come into play only when on offer.

“Occasionally we get some four-pack offers that come through from Red Bull or Monster,” says Richard Inglis, of Welcome Harbour Parade in

helping drive the lower-calorie sales.

These drinks highlight their specific vitamins or branchchain amino acids (BCAAs).

“They’re making energy an allday option by providing a gentle perk-up and aiding concentration, rather than the jittery palpitations of the big cans,” he says.

RETAILER VIEW

Southampton. “They can sell on that price, but the second they’re off, they become quite expensive and they don’t really appeal. You can’t afford to have what might have been four cans for £4 going up to £6.50, it just doesn’t wash with the customer.”

“I DIDN’T stock Prime. We had a lot of enquiries, but maybe once it settles and becomes a mainstream drink I might stock it. The market leader is still Red Bull. It makes up more than 75% of my energy drink sales, then Monster is very good, then Boost, which serves a younger demographic. Relentless also does quite well, they’re my four major brands. Generally the office workers and nurses all go for the Red Bull. Sales are mostly singles, it’s not something you buy and keep.

“I did put some Monster multipacks we didn’t sell through on offer in the fridge and they didn’t go that fast, I don’t think people buy these things to put in a store cupboard, it’s more of an impulse thing. I also put them in my meal deal because now there’s not much difference in price between a can of Red Bull and a bottle of Coke. People are buying more sugar-free versions.”

Flavours Stock up now

19 2-15 MAY 2023 betterretailing.com
VITAMIN B3 HELPS REDUCE TIREDNESS LUCOZADE, LUCOZADE ENERGY AND THE ARC DEVICE ARE REGISTERED TRADE MARKS OF LUCOZADE RIBENA SUNTORY LTD.
are back

CATEGORY ADVICE ENERGY DRINK TRENDS

ELSEWHERE, the cost-ofliving crisis and the increasing popularity of functional/ performance energy brands is influencing the sizes of single packs. “Big can energy plays an important role in the category, driving growth of 22%,” says Barr’s Adrian Troy.

“It delivers against many consumer needs – shoppers see it as better value, the range of flavours in big cans tick the box for those looking for

SUPPLIER VIEW

Innovation is key to energy drinks growth, so keep an eye out for the latest flavours that are going to get shoppers excited.

Offer a choice of zero-sugar options, and include performance energy drinks as part of your energy line-up too.

Get the right balance of on-the-go and take-home packs.

taste and refreshment, and of course, the bigger the can, the bigger the boost.”

According to Boost’s Adrian Hipkiss, sales of 500ml cans are the fastest-growing in energy drinks, currently worth £503m having grown by 16% annually. This influenced the launch of the brand’s Juic’d range exclusively in 500ml cans last year.

Price-marking is also an influential factor. Although Red

Bull is best known for its 250ml can, its 355ml and 473ml pricemarked packs (PMPs) are the top two fastest-growing PMPs in sports and energy, based on Nielsen figures.

Own-label is another key part of countering the cost of living, even though branded spend in soft drinks remains higher than own-label spend overall. Euro Shopper’s sugarfree energy drink is the topselling line at Sudesh Patel’s

Londis Coulsdon store in Croydon, south London.

Inglis views an own-label representation important as important for shoppers for whom brand loyalty isn’t a concern. “We sell some Co-op own-label, which is a pretty constant mover. There are people who want branded drinks such as Red Bull and people who don’t really care as long as it’s some sort of energy drink,” he says.

20
Amy Burgess, senior trade communications manager, Coca-Cola Europacific Partners
THE FORMAT AND VALUE SHIFT Contains vitamins C+, B3 (niacin) and B6 which contribute to the reduction of tiredness and fatigue. A varied and balanced diet and a healthy lifestyle are recommended. *NielsenIQ RMS, Total Coverage, Stimulants, Britvic Defined, Value Sales, 52 weeks to 18.02.23 (MAT Moving Annual Total) FANTASTIC TASTING NEW ROCKSTAR FLAVOUR WITH NO SUGAR! Flavours & No Sugar are growing the category!* · Flavours: +24% value MAT · No Sugar: +22% value MAT Energy your customers Want. Taste THEY’ll love. 35822_Rockstar Refresh_DPS_Halfpage_540x150mm_v1_HR.pdf 1 29/03/2023 12:13

THE FLAVOUR REVOLUTION

MUCH of the growth in larger cans is down to new flavours hitting the scene. A strong energy drink range means walking a tightrope between mainstay top sellers and the flurry of new launches every month. “People go crazy for the Monster and Relentless flavours,” says Inglis. “I struggle to keep track of what’s current because there are lots of special editions and launches.”

“Flavoured energy accounts for over half of all volume sold,” says Troy, “so it’s important that retailers offer a wide range to cater for all tastes. Shoppers are demanding an exciting and varied category so flavours are crucial to success. More than £131m of category sales was generated from flavoured NPD last year.”

Tropical flavours are currently spearheading flavour growth, according to the Red Bull spokesperson. He says: “This is because shoppers look for variety and are particularly interested in discovering new flavours, especially during summer. As a result, flavoured sports and energy drinks are up by 22% year on year versus

unflavoured at 11%, with tropical flavours a core opportunity, growing by 23% versus mainstream flavours at 15%.”

Red Bull’s Editions range of annual special-

edition cans is proof of the power of flavours: its past three launches under the range have all become permanent lines.

Top tips

Start by getting the right amount of space per category. Sports and energy is 35% of soft drinks – so take a look: have you given it over a third of the chiller?

Don’t scrimp on facings for your bestsellers. For example, if Red Bull sells more than any other single-serve soft drink in your chiller, it will be near impossible to keep this, and your other bestsellers, perfectly chilled and available if they don’t have multiple facings.

Put your bestsellers at eye level – Red Bull signposts energy and Coca-Cola does the same for cola. That ‘power shelf’ at eye level should always highlight your bestselling and most iconic brands.

21 2-15 MAY 2023 betterretailing.com
NEW
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love.
Red Bull’s top energy-drink-ranging tips
Vitamin c
Only 21kcal Per Can

CATEGORY ADVICE ENERGY DRINK TRENDS

WHAT ENERGISES YOUR SHOPPERS?

DESPITE (or perhaps because of) the many fluctuations in the market, most retailers Retail Express speaks to for this feature keep organised energy drink ranges.

“We’re focusing the range a lot more,” says Sudesh Patel. “Monster, Red Bull and Euro Shopper are all doing well. We’ve stopped some lines like Relentless because of space factor and not giving enough space to products like Monster which are selling a lot more. We’ve given a few of those lines a couple of facings each.”

Patel is mindful that any of the myriad new launches in the space could become the next big thing, so tries to give them a fighting chance: “If I

haven’t sold a case in a month, it gets delisted and I bring in something else.”

Knowing what your customers’ missions are will go a long way in ensuring you’re offering what they want. Jeet Bansi’s Londis Meon Vale store in Stratford-upon-Avon in the West Midlands has a nearby gym, meaning he’s selling lots of Lucozade Sport four-packs for £2.50. Regular gymgoers are stocking up for repeat gym visits, but quickly return to replenish their supplies thanks to their regular regimens.

“Understand the difference between different shopper missions that customers are coming to your shop for and choose the ranging options

that are going to hit those,” says Epicurium’s Mckechnie. “It may not necessarily be the big brands/sellers that you usually hear about, it may well be some of the smaller challenger brands that are going to suit the needs better.

“It is about matching the range towards the wants of the shoppers rather than just the big brands, and getting a real understanding of what shoppers want. This will also create customer loyalty.”

This strategy has also worked for Bansi, who has a dedicated fridge for growing BCAA drink Nocco which caters towards his customers looking for low-sugar soft drinks with stated health benefits.

SUPPLIER VIEW

“WHEN taking a closer look into the energy subcategories, it’s energy stimulation drinks which play a significant role in contributing to the value growth of the soft drinks category, growing by 15% year on year, and accounting for 26% of all soft drink value sales.

As the nation has become accustomed to flexiworking following the pandemic, take-home purchases have become more prominent, resulting in a growing consumer demand for 1l and multipack formats. These products continue to be a huge growth opportunity for retailers, with sales witnessing an increase of 10% year on year.

“To boost this growth even further, flavours in energy now account for 38% of stimulation sales and have shown a huge 48% growth annually, showing that there’s a significant thirst for a range of flavour variants to suit all tastes. Considering that 39% of stimulation shoppers actually make their purchase based on flavour alone, it’s important to stock a wide variety of flavours to cater to this.

“Despite the challenges of the past three years, with various lockdowns and restrictions impacting the sports drinks sector, there has not only been a return to pre-pandemic normality, but a rapid rate of sales in the category. Over the last 52 weeks, sports drinks have become the second-fastest growing category within soft drinks, with a 28% value growth year on year.”

22 2-15 MAY 2023 betterretailing.com
FLAVOURED ENERGY DRINK BRAND ENERGY DRINK FLAVOURS +15% YOY TASTE & FLAVOUR SHOPPERS *IRI SYMBOLS & INDIES/NI CONVENIENCE 52WE 28/11/22. *DOHLER, MINTEL GNPD & GLOBAL DATA, 2021 MAKE YOUR MARGINS ZING TASTE & FLAVOUR #1 FOR ARE NEW

CATEGORY ADVICE ENERGY DRINK TRENDS

RTD COFFEE’S ROLE IN ENERGY

AS a part of the energy drinks category, it’s worth considering whether the ready-todrink (RTD) iced coffee segment has a role to play in your store. It has seen sustained growth in the past 18 months to be worth £228m and, though led by popular coffee brands such as Starbucks and Costa, also has a presence in the form of ranges from independent-focused energy brands including Boost and Hell Energy.

“Iced beverages continue to be a popular option for consumers as an afternoon pickme-up or a convenient beverage that travels well when on the go,” says Hipkiss. The category has grown as chilled coffee is seen as more versa-

tile than its hot counterpart, which gives retailers more potential customers to sell it to.

“Chilled drinks peak during the summer as people search for cold refreshing drinks on the go, but more and more iced coffee is becoming a mainstay as it replaces fizzy and carbonated pop drinks and offers refreshment and value within the chiller,” says Rob Owen, head of sales at Jimmy’s Iced Coffee.

“Typically, iced coffee has been ranged next to flavoured milk and milkshakes but more frequently it’s being moved into more prominent locations within the chiller, marking its place among the on-the-go refreshment offerings.”

What’s new

2023’s major energy drink launches

Red Bull Juneberry

Juneberry is the latest Editions launch from Red Bull. Apricot, the supplier’s previous Editions launch, was the supplier’s most successful to-date, contributing to 30% of Editions sales and 54% of Editions growth.

Carabao Sport

Carabao has launched an isotonic Sports range in Mixed Berry and Orange varieties. It is aspartamefree, which the supplier said is due to research saying 60% of regular isotonic drink drinkers are concerned about the presence of the sweetener in sports drinks.

Boost Sport Raspberry & Mango

This limited-edition launch comes off the back of Boost Sport seeing 63% annual growth. Additionally, raspberry and mango flavour profiles are seeing 55% and 58% growth, respectively.

24 2-15 MAY 2023 betterretailing.com a
MORE CHOICES. MORE SALES. RED BULL GIVES YOU WIIINGS. NEW SOURCE: NIELSEN SCANTRACK, TOTAL COVERAGE, SPORTS & ENERGY, VALUE % SALES, MAT W.E. 18.02.23 12518_May_2023_Retail_Express_Trade_Ad_297x210mm_V1.indd 1 11/04/2023 09:14
MAKING MORE FROM ENERGY DRINKS. AMRIT’S GOT A PLAN. HAVE YOU? NAME: AMRIT SINGH STORE: H & JODIEʼS LOCATION: WALSALL Planogram developed by category teams with further growth opportunities included. ©2023 Monster Energy Company. All rights Reserved. MONSTER ENERGY®, ®, MONSTER ENERGY ULTRA® are all registered trademarks of Monster Energy Company. Source: *Nielsen: MAT Indies and symbols Value w/e 28.01.2023 **Nielsen: Values Sales, Total Coverage, MAT to w/e 28/01/23 COC1547_Sales Supercharged Amrit Ad_RE DPS_AW1.indd All Pages

ENERGY SPACE

1 in 3 on-the-go so drinks sold are energy drinks* so give them the room they deserve! Hero the fastest growing brands like Monster to maximise sales.

RIGHT RANGE

Kick out the slow sellers. Double face the SKUs that really deliver. Include zero sugar energy too, like Monster Ultra, the No.1 zero energy brand.** And don’t forget flavoured favourites like Monster Juiced.

MERCHANDISING

Help shoppers navigate the fixture by grouping energy brands and create clear segments for Traditional, Zero Sugar and Flavoured energy sectors.

MULTIPACKS

Single cans are great for on-the-go but don’t forget to keep your multipacks chilled for shoppers who want energy now and for later.

For planogram advice and to hear from Amrit and other retailers just visit: salessupercharged.co.uk

INNOVATION

Innovation drives sales, so create fixture excitement with the latest launches. Remember, 67% of energy innovation sales are from Monster.**

20/04/2023 16:21

MAKING THE MOST OF MINTS AND GUM

Mints and gum continue to offer a major impulse sales opportunity, writes CHARLES SMITH, but the market is changing, and retailers need to take note and respond

A GROWING DEMAND FOR HEALTH

AN estimated 30 million Brits chew gum, and, for them, buying mints and gum is a frequent shopping mission on the way to work or school, building store traffic and giving convenience retailers consistently strong sales and profits.

Mintel’s UK Sugar and Gum Confectionery Market Report 2022 says four in five consumers had eaten mints and other sweets or used gum in the past three months, and the market is set to continue benefiting from the demand for these

products for breath freshening and cleaning teeth. But there are some trends retailers need to be aware of that are affecting purchases.

First, increasing numbers of consumers are actively reducing their sugar intake. Mintel’s report predicts future innovation revolving around flavour improvements and wider flavour choices, including adult options. Many mints and gum products are sugar-free, with the research showing sugarfree varieties currently appeal

to one in three consumers.

Sam Coldbeck, of Wharfedale Premier in Hull, has noticed kids’ gum purchases slowing in her store. She believes the reason for this is that “parents generally don’t encourage their kids to eat sweets because of the sugar content”.

Another trend to be aware of is declining smoker numbers. “Smokers are historically big mints and gum purchasers,” says Coldbeck. “When they quit, they’re less likely

HOW VALUE IS AFFECTING MINTS AND GUM

THE most pressing concern for retailers is the margins they’re achieving. Amy Sohal, at Ken’s Convenience Store in Winsford, Cheshire, says: “Mints and gums offer good margins, but it’s getting harder, with margins being squeezed and prices impacted by the cost-of-living crisis.

“Booker and suppliers do promotions on mints and gums, and we feature them, even though it means lower margins for us, because people like them and it keeps them coming back.”

Sarj Patel, at Pasture Lane Stores in Sutton Bonington, Loughborough, echoes this

and adds: “We often do promotions on mints and gums, like 50p price-marked for a roll of mints, or two-for-£1.

“We also do offers on multipacks, but you can’t really do big promotions, because these products sell all year round.”

Offering the category on a

to buy.” Coldbeck says there’s also a gender divide. She says: “Male smokers are still buying chewing gum and mints, but many women smokers have gone over to vaping, and buy less of them.”

As the mints and gum market develops, even with smoker numbers declining and people reducing their sugar intake, the suppliers and wholesalers are set to continue to offer ranges, brands and flavours that bring new shoppers into the category.

promotion highlights value to your customers, but retailers have stated in the past that as a highly impulsive product, price isn’t usually a factor.

“It’s worth asking other retailers about how they’re pricing the category and see where you’re able to attain higher profits.

CATEGORY ADVICE MINTS & GUM 28

GET THE PRODUCTS AND FORMATS RIGHT

THE key to capturing on the go and passing trade sales of mints and gums is knowing your customers and using your EPoS to tell you what’s selling, and to help get the offer right for your shoppers. Coldbeck’s store is in the Hull Docks area, with a mix of residential properties and businesses.

“There’s a prison nearby as

well, so we get a lot of the visitors coming in,” she says. “For us, mints and gum are crucial to on-the-go sales. Our biggest mints brand is Trebor, and we sell Soft Mints and Fruit. In gum we sell a lot of Wrigley’s Extra Blue, but not so much Extra Green.

“We offer the full range of gum pack formats, but sell more

single packs than bottles or tubs. It’s worth stocking multipacks for big buyers. If people see them, they’ll buy them. You need to give these products high visibility.”

Sohal adds: “We’re on an estate, and our mints and gum sales are quite gendered. People buy them with cigarettes or beer. Men come in for the beer

FOCUS ON FLAVOURS

“FLAVOURS are very important in mints and gum,” says Coldbeck. “You need to get the range right – 80% of our sales are mint, across both.

“In mints, our biggest selling ‘other flavours’ are fruit and soft fruits. In gum, the big ‘other flavours’ are lemon and blackcurrant mixed.”

Mars Wrigley has also noticed a shift towards fruit gum, which has doubled year on year, and can help stores attract new customers to the category.

According to the supplier, 50% of fruit gum is from new shoppers, while 32% of fruit gum shoppers are exclusive to the category.

“More than half our sales in both mints and gum are mint. We sell a lot of smaller packs of flavoured Mentos because people like to have

a variety,” says Sohal. “The bestselling flavours are orange and the mixed ones.”

Mintel’s report says two thirds of gum users would like a wider range of flavours, but in Patel’s store, he says some of the new gum flavours Mars Wrigley launched recently haven’t taken off. He does, however, have huge success with mint flavours and tubs of spearmint and bubble gum.

The different formats are ideal to catering for on-thego consumers and for sharing missions.

Mars Wrigley says retailers should stock single formats by the till area for those buying on-the-go and to boost impulse buys, while gum bottles are more popular for desks at home or in their cars for convenience.

cave, and buy gums and things like Mentos. Women with families buy them as part of their general shop. A lot of teens and kids who buy mints and gum are also into sweets, especially American sweets and Fanta and Tango Ice Blast. Our biggest selling mints are Soft Mints and Extra Strong Mints.

“In gum, our biggest sellers

are Extra Green standard packs and tubs, and tubs of bubble gum, bought by kids in the mornings on the way to school.

Airwaves is a big brand generally, but it’s a slow seller here.”

Patel says: “We’re an independent village convenience store. For men, the big buys are Mentos and Airwaves chewing gum. Women tend to buy

soft mints, mints and chewing gum. Kids buy Hubba Bubba and fruit mints.

“There’s a junior school nearby and the children come in with their parents and grandparents, and buy Wrigley’s chewing gum, and US chewing gums we get from Parfetts. We have a lot of elderly people and have herbal mints for them.”

top TIPS

Visibility

Place popular lines just below eye level to take advantage of incremental sales. Moving chewing gum from below to above the counter is proven to drive a 20% increase in sales.

New products

Retailers should champion new products in store in order to raise sales and capitalise on early consumer demand. A secondary siting by the till can boost both awareness and sales alongside displaying PoS materials that highlight new products.

Secondary siting

Effective secondary sitings alongside core till point merchandising can boost impulse sales with all shoppers as more than half of all gum purchases are unplanned.

Use PoS

Retailers can increase awareness of new campaigns or new products by making use of PoS in store. Consumers will be intrigued by what catches their eye.

MAKE THE MOST OF MERCHANDISING

“WITH a large majority of consumers only buying mints and gum when it’s visible in store, and with PoS displays accounting for a large percentage of sales, it is vital to have effective, eye-catching till fixtures that are easy to shop,” says Hannah Lee, senior brand manager, Extra, at Mars Wrigley.

The supplier also recommends dual siting to further boost impulse sales.

Sohal brand blocks her mints and gum ranges, dedicating

seven shelves to them so her customers have a wide range to choose from. She then uses Booker planograms, but also uses other areas in the industry for advice.

Coldbeck, however, uses two satellite units for her gum. “We also put mints with confectionery in a separate aisle, as people come in specifically for mints and we encourage them to cross-purchase,” she says.

“We take our own merchandising advice, and our EPoS

tells us what’s selling. We read trade press and see what’s new, and if Booker sells it, we’ll try it.”

Planograms and supplier websites are key sources of information on how best to merchandise mints and gums. Some retailers are now moving away from the till area entirely to avoid it cluttering up and moving the category towards the confectionery sections –especially if they are affected by HFSS legislation.

29 2-15 MAY 2023 betterretailing.com
Hannah Lee, senior brand manager, Extra, Mars Wrigley

CATEGORY ADVICE READY-TO-DRINK ALCOHOL

GET READY TO SELL RTDS

A CONVENIENCE DRINK FOR CONVENIENCE STORES

IF a convenience store exists to offer quick and easy shopping solutions for its customers, then the ready-to-drink (RTD) alcohol category seems custom-made for the industry.

With customers looking for easy options on the go and when preparing for socialising at home, having a strong range of ready-made mixed drinks and cocktails chilled and on hand can be a key addition to a store’s offer.

RTD options can drive footfall and loyal customers, but can also be a useful impulse purchase as people pick up

other items on the way home from work.

“RTDs are exceptionally important for convenience stores, as consumers are increasingly looking for better quality but most importantly, ease, from their shopping experience. In fact, research shows that 55% of people will choose to buy a canned cocktail out of convenience,” says Abby Matthews, director of The Cocktail Co.

“The market is one that is only forecast to grow for convenience stores too, with research predicting that RTDs are set to grow by 11.4% in

2023, making it hugely important for stores to ensure they keep up with this rising customer demand.”

To make the most out of your RTDs, it is important to recognise what customers are looking for when purchasing them.

Well-known brands are important for driving sales, with the lower interest in seltzers deemed by some to be caused by a lack of recognition of brands leading to a lack of understanding about the category.

The RTD market is also diversifying as it evolves beyond spirit and mixer varieties to of-

fer more nuanced ready-made cocktails as a trade up option that could work well.

“To make the most of the category, retailers should remain focused on the RTD market leaders; brand recognition and flavour profile will help boost sales in their stores,” says Matt Rounding, off-trade sales director at Mark Anthony Brands UK.

“With White Claw being number one in value and volume in the UK for hard seltzers, it is important retailers have a variety of single-can choices available for shoppers.”

30 2-15 MAY 2023 betterretailing.com
CHARLES WHITTING finds out why ready-to-drink options are a growing opportunity for convenience stores and what they need to do to take full advantage this summer

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POSITIONING AND SELLING RTDS

GIVEN the impulsive nature of many RTD purchases, it’s important to position them prominently among other alcoholic options with plenty of facings to give them added stand out.

“We have a section of RTDs in our beer cave,” says Mandeep Singh, from Singh’s Premier in Sheffield. “It’s something you can easily go

RETAILER VIEW

into overkill with. You need around 10-12 varieties, with a minimum of three facings for each. We sell them in singles, but also multipacks of three as well. They’re all kept chilled.”

Keeping RTDs chilled is essential for sales as many of them will be consumed very soon after purchase. In many instances, the category is

quite easy to sell, but there are ways for retailers to make things even easier and simpler for their customers.

“Ensure you have plenty of chilled RTDs in the fridges for the on-the-go opportunity and for taking to parties and gatherings,” says Jo Taylorson, head of marketing and product management at Kings-

land Drinks. “Simplify the fixture and organise the drinks by ABV with higher-strength cocktails together, and lowerstrength and lower-calorie ones together.”

For on-the-go purchases, single cans and bottles will be most in demand, but with plenty of summer gatherings expected this year, multipacks

are also recommended as customers look for something to take to a garden party, festival or picnic.

“We’re expecting May to be a very big month for RTD cocktails. With three bank holidays in the diary, there are even more opportunities for shoppers to celebrate. Throw in some sunny weather and re-

tailers could find it difficult to keep stock on the shelves. Last year’s double bank holiday at the start of June saw nearly double the number of Funkin Cocktails Passion Fruit Martinis sold compared with an average week, so it’s important that retailers stock up,” says Ben Anderson, marketing director at Funkin Cocktails.

“WE sell quite a lot of RTDs. We’ve got around 10 or 12 different varieties stocked in our store. We keep them in the chiller with the beers, ciders and wines. The bestseller is Jack Daniel’s & Cola in a can. Then it’s Captain Morgan & Cola and then it’s the gin & tonics. There’s a Mojito in a can that sells well, too.

“Because we’re a town centre store we don’t want to do too many promotions on alcohol because it can encourage the wrong sort of people. If people want to bulk buy alcohol, they’ll generally go to a multiple. The RTDs basically sell themselves and 90% of the customers who buy them will start drinking them soon after leaving our store.

“I stick with price-marked packs and the top brands – Jack Daniel’s, Captain Morgan, Gordon’s, Southern Comfort and Malibu Piña Colada.”

Product launches

What’s new in RTDs?

SHS Drinks is introducing WKD cans in a range of multipack formats. Launching this spring, 250ml cans are being introduced in WKD Blue four-pack and 10-pack formats, and in WKD variety 10-packs. SHS Drinks believes that the introduction of aluminium cans will open up significant additional usage occasions for WKD. The introduction of WKD cans will have no impact on flavours, ABV or multipack RRPs; the brand’s range of 700ml single glass bottle varieties remains unaltered.

Diageo and Coca-Cola Europacific Partners have partnered up to launch a Jack Daniel’s & Coca-Cola. Made with Jack Daniel’s Tennessee Whiskey and Coca-Cola, the new variety (5% ABV, RRP £2.30) is inspired by the popular bar mix and will replace the existing Jack Daniel’s & Cola RTD can. It is the result of a global agreement struck between the two brands last year and was initially launched in Mexico in November 2022. In the UK, it is also available in a Coca-Cola Zero Sugar variety.

BuzzBallz is a new RTD, launched in the UK last year. Six lines are available to retailers via distributor Hammonds of Knutsford: Choc Tease, Tequila ‘Rita, Strawberry ‘Rita, Lotta Colada, Chili Mango and Espresso Martini. All 200ml balls have a 13.5% ABV with an RRP of £3.75 each. The UK launch strategy is to target 25-to-40-year-olds in urban areas who enjoy socialising while on the go, in the garden or park, and on their way to parties, events and festivals.

Funkin has launched three additions to its Nitro Can range. The Aperitivo Spritz, the Lime Margarita and the Berry Woo Woo all have a 5% ABV and come in nitro cans with an RRP of £2.10. “Last summer, Funkin Cocktails accounted for the top three cocktail lines sold in the convenience sector, and 35% of all RTD cocktail sales, so making sure you’re stocked up with customer favourites as the warmer weather sets in will mean retailers are set up for success,” says Anderson.

CATEGORY
READY-TO-DRINK
32
ADVICE
ALCOHOL
Andrew Cruden, Market Square News, Northampton
betterretailing.com 2-15 MAY 2023 33 CLASSIFIED Refrigeration Remote Unit (Motor sited externally) Osaka Finance available Chillers and freezer (available in 3 doors) Electronics Stocktaking Professional stocktaking services FOR ALL YOUR STOCKTAKING NEEDS Stocktakers to independent: TEL: 07899 002692 Retailers/wholesalers Grocery stores DIY stores Specialists in CTN O licences Forecourts For competitive rates and professional service call now on... Fax: 020 8360 6348 nikharstocktaking.com ajit.nikhar@gmail.com H/O: 13 Green Moor Link, London N21 2NN 020 8360 2491 Mob: 07802723561 Advertise with us Contact Natalie Reeve to find out more commercialteam@newtrade.co.uk 020 7689 3372 Thornbury Refrigeration, an Arneg Distributor, has advertised in Retail Express for years. The regular positive response we receive leads to confirmed sales and contented customers. Robin Ranson, Thornbury Refrigeration

THE VAPE SCANDAL FALLOUT

The RETAIL EXPRESS team finds out how the Elfbar scandal impacted vape sales, and how retailers are now approaching the category to stay on the right side of the law

“THE scandals with El�bar and other disposables have really made people look more closely into the category and educate themselves more. The best thing that any retailer can do is get the slightest bit of information on these products if they’re going to be stocking them. There are so many stores that are selling illegal disposables and they’re not even aware of it.

“People at cash & carries are not trained in these products, they’re not specialists. I think more retailers need to start getting in touch with specialists and people in the vape industry and asking for their recommendations because there are so many knock-off, illegal and just poor quality versions of disposables out there. If you can talk to a customer con�idently and you know what you’re talking about, they are going to come back to you again and again. We’re working to convert people away from disposables in our store.”

“THERE was some confusion around El�bar, but as far as we can see it, they’re a product we can and do sell. But we need to educate customers because they were being told by multiples that they weren’t allowed any more. It meant that El�bar sales have dropped but then sales have increased with other brands. So we’ve diversi�ied our range, looking into disposable crystal bars, Bloody Marys and Lost Marys. You have to be clever and savvy to know which ones are going to sell. You can’t just buy something because it looks good. For many customers, it’s about the price, not the brand or the quality.

“Another big change is the need to have recycling stations for the disposables. I can set up a collection box that someone else will collect for £199 a year. My concern is that the people who smoke disposables won’t recycle them because if they cared about the environment, they wouldn’t be smoking disposables.”

“IN terms of disposables, there’s been no impact on our sales. Our customers have heard about the recalls but they don’t seem to care. In fact, some customers still try to ask me to stock the 3,500 puff vapes even though they know they’re illegal. It’s crazy. I explain to them that it’s illegal but they still want it.

“I recently received a letter from Midlothian Council and they made it very clear that those vapes are illegal and if any stores are caught with them they will be seized. Are you really going to risk your reputation for a few hundred pounds? Long-term, it also makes sense to sell the 600 puff vapes because it means customers will come back more often to buy more and they might buy other things when they’re in the store.

“In terms of pods and liquids, every now and again someone takes them because they’re better value for money but no many people are really going for them.”

In the next issue, the Retail Express team finds out how retailer are adapting their range in the current climate. If you have any problems you’d like us to explore, please email charles.whitting@newtrade.co.uk

ADVICE 34
1
Derbyshire
2
Arjun Patel, Premier Cavendish Square, Swindon, Wiltshire Asim Iqbal, Premier Roslin Convenience Store, Roslin, Midlothian
3
The scandal has boosted sales in my store. What are other retailers experiencing?
2-15 MAY 2023 betterretailing.com
– Anish Panchmatia, One Stop Wylde Green, Sutton Coldfield, West Midlands

Articles inside

POSITIONING AND SELLING RTDS

3min
pages 34-35

GET READY TO SELL RTDS

1min
page 32

GET THE PRODUCTS AND FORMATS RIGHT

3min
page 31

MAKING THE MOST OF MINTS AND GUM

2min
page 30

RTD COFFEE’S ROLE IN ENERGY

1min
pages 26-29

WHAT ENERGISES YOUR SHOPPERS?

2min
pages 24-25

THE FLAVOUR REVOLUTION

1min
page 23

CATEGORY ADVICE ENERGY DRINK TRENDS

1min
page 22

PACK PREFERENCES

1min
page 21

THE RISE OF HEALTHIER OPTIONS

1min
page 21

Flavours are back WHAT’S TRENDING IN ENERGY?

1min
page 20

Product news

1min
page 19

VELO

1min
pages 18-19

aren’t able to get core lines from Mars Wrigley’

3min
page 17

VUSE

4min
pages 14-16

PRODUCTS New trio from Funkin Cocktails

4min
page 13

Win cash prizes with Birds Eye promo

4min
pages 11-12

KP

2min
page 10

PRODUCTS Booker launches BrewDog stout

2min
page 10

UPHOLDING QUALITY

2min
page 9

BEING SUSTAINABLE WITH BAT UK’S GANTRY

1min
page 9

THE FLAGSHIP STORE

2min
pages 8-9

THE GANTRY

1min
page 8

Retailer takes action against Evri PayPoint site growth

1min
pages 6-7

Scotland pushes bottle return scheme back again

5min
pages 5-6

InPost parcels

1min
page 4

TMA demands simpler system as reports of illicit tobacco fall

1min
page 4
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