Retail News December 2012

DECEMBER 2012

JOBS

LOCAL FARMER

THE FUTURE OF 12,000 JOBS IS IN YOUR HANDS IT’S WORTH CHECKING YOUR MILK THE NDC GUARANTEE ENSURES THAT YOUR MILK IS FARMED AND PRODUCED IN THE REPUBLIC OF IRELAND

1 IN 4 LITRES OF MILK SOLD DOES NOT CARRY THE NDC GUARANTEE For more information go to

www.facebook.com/ObeyYourBodyIRL

www.retailnews.ie|December 2012|Contents|3

Contents Austerity: The New Four-Letter Word IRELAND has officially been in recession for four years. Since the end of 2008, as a nation, we have endured economic hardship after hardship, as ‘austerity’ became our newest fourletter word, never tiring of finding new ways to hurt us. As we approach the end of 2012 and the beginning of 2013, surely the end is in sight.

Ireland’s grocery market has grown, albeit marginally, for the second month in a row (see full story on Page 5) but we’re not getting too excited just yet, particularly with the recent Budget yet to make its full impact known on our brittle consumer confidence. Ireland’s retailers have their say on Budget 2013 (Page 4), with the majority feeling that the retail sector has been let down once again by Government.

This month sees Retail News providing a snapshot of the Irish grocery market, with updates from the leading players on their trading year in 2012 and what they expect 2013 to bring (Page 17-33). The good news is that most of the groups involved, while cognisant of current market conditions, remain positive about the future.

One thing is for sure: if we are to drag ourselves out of the economic mire and rebuild our domestic economy, the importance of retailers stocking and consumers buying Irish brands cannot be over-stated, and hopefully 2013 will see a concerted effort from all concerned to get Irish consumers purchasing home-grown brands as much as possible.

Finally, all that remains for me is to thank all our readers and advertisers for their continued support and to wish you all a peaceful and profitable Christmas and a very happy and prosperous New Year.

News

4

Retailers Feel the Squeeze from Budget 2013.

IGBF Christmas Lunch

14 Almost 1,200 guests turned up for the Irish Grocers Benevolent Fund Christmas Lunch 2012 at the Burlington Hotel, held on Friday, December 7.

4

Marketing Conference provided valuable insights on how to use category management and shopper marketing to differentiate your brand in such a crowded market.

Retail Ireland: Monthly Update

16 Government Will Act 5

New Packaging Rules on the Way.

6

Grocery Market Growth Continues; Aldi Settles Trademarks Infringement Case; SHOP & IFEX Change Ownership.

7

8

DCU Student Wins Responsible Drinking Competition; New Debt Restructure Plans for Small Business; Retailers Welcome Call To Prosecute Black Market Customers

on Black Market; Budget 2013 To Have Negative Impact; 2012: The Year in Review.

17 Retail Group Review

17 A snapshot of the

biggest retail groups in the Irish market, highlighting their performance across 2012, the big moves this year and looking forward to 2013.

POS Displays

the big stories from Ireland’s grocery and FMCG trade across 2012. From the €20m launch of SuperValu’s own brand range to the Bord Bia/Tesco Retail Development Programme, the introduction of contactless payment technology to the update of the Retail Planning Guidelines, these are the stories that helped to shape your industry, and the pages of Retail News, over the course of the last year.

46

34

12 Retailers can harness

Kathleen Belton Editorial & Marketing Director

2012: A Year in Retailing

38 We look back over

eircom WiFiHub in 110 Topaz Stations; Dealz Launch New Grocery Lines; Almost 40% of Employers to Increase Pay in 2013.

the power of in-store Point of Sale and maximise retail sales, according to Dublinbased retail marketing specialist, CJ Services.

38

Category Management

34 ECR Ireland’s recent Category Management and Shopper

Regulars & Reports

8 Industry News

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Reproduction without written permission is strictly prohibited.

45 Drinks News 46 Shelf Life

4|Retail News|December 2012|www.retailnews.ie

News

Retailers from Budg

David Fitzsimons, CEO of Retail Excellence Ireland.

RETAILERS are starting to feel the pain from five austerity budgets. The most recent costcutting exercise, which saw €3.5 billion wrung from the Irish economy, is likely to have a notable impact on business, according to industry sources.

While IBEC called Budget 2013 “equitable and progressive”, retailer representatives felt sidelined.

“There’s nothing that you could say is specifically for retail,” remarked Vincent Jennings, CEO, Convenience Stores & Newsagents Association (CSNA). “We have been very demonstrative in our needs, making a series of suggestions. There’s no sign the Minister and his cabinet are aware of the dire straits retailers are in. There isn’t a

single area you can point to and say, ‘That is a retail industry specific measure’.”

David Fitzsimons, Retail Excellence Ireland (REI) CEO, echoed this opinion. Chief amongst REI’s budgetary requests was that Minister Noonan enforces NAMA Guidelines on state landlords.

This measure was not introduced. “Furthermore, Minister Noonan’s assessment that retail sales are increasing is inaccurate,” stated Fitzsimons.

However, most employer groups agreed the budget could have been worse. Excise duties on petrol and diesel were not raised, and the 9% VAT rate on labour intensive tourism sectors remained. The decision not to introduce a sick pay scheme was applauded. Some serious lobbying clearly paid off.

“We’ve been running a yearlong campaign [on sick pay], getting our members to write to their TDs,” Patricia Callan, Director of the Small Firms Association (SFA) told Retail News. “We did an Oireachtas briefing at the Dáil, hosted by Senator Feargal Quinn, and Senator Mary Ann O’Brien of Lily O’Brien’s Chocolates.

We were trying to persuade the Fine Gaelers and Labour backbenchers that this was

a bad idea. Joan Burton was particularly enthused by the idea [of a sick pay scheme]. We didn’t know in the heel of the hunt if politics would win out.

Certainly, it’s very constructive that they have listened. On a broader message around jobs and growth, she had also threatened us with increased employer PRSI and mandatory pension provision. All those things would have added hugely to employer woes.”

Retailers welcome a lower than expected excise duty increase on tobacco - the price on a pack has gone up by only 10c. “Last year they tried a 45c increase, between VAT and excise duty,” said Jennings.

“There’s no doubt with the flooring of sales in tobacco, they got less in VAT and certainly less in excise.” As part of his budget speech, Minister Noonan pointed out that drastically increasing tobacco excise could lead to greater black market sales, thus leading to a fall in tax take. Frank Gleeson, Retail Ireland Chairperson, commended the Minister for recognising the issue, but insisted that more action needs to be taken to combat illegal sales.

Meanwhile, the decision to pop an additional €1 excise duty on a 700ml bottle of wine

Vincent Jennings, CEO, Convenience Stores & Newsagents Association.

www.retailnews.ie|December 2012|Retail News|5

News

Feel the Squeeze get 2013

Frank Gleeson, Retail Ireland Chairperson.

could foreshadow a return to the bad old days of cross border shopping. “My concern is medium term,” explained Frank Gleeson. “Next year, if we become uncompetitive, we may well find that consumers head North. If they do, they don’t just buy alcohol, they buy other products too. It is a risky one: we’ll have to keep a watchful eye on it.”

Jennings, meanwhile, called for a tiered structure of licensing. He criticised the fact that small retailers and large supermarkets both pay around €500 for a wine and off sales license when “the latter’s turnover is 400 to 500 times more than the retailer.”

Minister Noonan introduced a number of projobs measures as part of Budget 2013, including a new €700m seed and venture

capital scheme to support Irish businesses. Some of this 10 point tax plan is geared toward the agricultural sector, but small retail businesses could benefit from a 25% increase in the threshold for cash receipts basis for accounting VAT. Under the scheme, the threshold will be increased from €1m to €1.25 m. Callan said the government could have gone further: “They could have gone to €2m with no exchequer costs and no requirement for EU approval. That would’ve been a boost in terms of cash flow for small businesses, but it would have had a knock-on effect in Revenue’s own cash flows.”

Retailers are likely to feel the pain from consumer cuts. The property tax, in particular, will take a large sum of disposable income

from people’s pockets. “In the domestic economy, which we operate 100% in, it’s very fragile,” said Gleeson. “I believe we will see a further decline in sales. It is quite bleak from that perspective.”

Callan added: “There’s no way you can take €3.5 billion out of the economy and not have an impact on people.

Every individual being worse off is a concern. The savings rate has gone from 3% to 10%.

It should be about 5% in an economy like ours. In pure number terms, that means there’s a potential €1 billion extra that could be spent in the economy. Anyone in a job, with money, is not spending it or they’re paying down debt.

That’s a problem in terms of consumer confidence. But it is something within our power to change.”

New Packaging Rules on the Way DO retailers really know what’s in the products on their shelves? Not really, according to the Food Safety Authority of Ireland (FSAI), who are championing new rules for product packaging. “The current labelling regulations have been highlighted by many people as being too grey,” said Dr Wayne Anderson, Director of Food Science and Standards at the FSAI. “The new rules hope to clarify that.”

New EU food information regulations are set to overhaul labelling and advertising rules in place since 2000. The new regulation extends beyond food labelling to cover activities concerning the provision of food information to consumers, including by means of internet marketing. It applies to food businesses at all stages of

the food chain and addresses diverse issues such as font size, allergen labelling of nonprepacked foods, nutrition declaration, front of pack labelling and origin labelling.

As it stands, products don’t have sufficient information, according to Anderson: “There is a huge amount of information on products, but is it implemented in the right way? This legislation is trying to make it more readable for consumers. Things have to be highlighted, so it’s clearer and uniform. I think this will improve it a lot for consumers.

At the moment, the information is there, but can the consumer digest it all?”

Issues of concern include composite products where meat is a primary ingredient. “That’s a difficult one,” said Anderson.

“If you have a Chicken Kiev that’s made in Ireland but the chicken comes from France, you’ll have to label it accordingly.”

According to Anderson, the old labelling regulations will apply until December 2014, when the new labels come into force. He encouraged all food businesses to familiarise themselves with the new regulatory requirements and download the FSAI’s industry booklet, giving an easy-tounderstand overview of the new labelling requirements, including timelines for implementation. The booklet, Overview of Changes to Food Labelling Introduced under the New Food Information Regulation, is available to download from the FSAI website: www.fsai.ie.

Dr Wayne Anderson, Director of Food Science and Standards, FSAI, and Anne Marie Boland, Senior Technical Executive, FSAI.

6|Retail News|December 2012|www.retailnews.ie

News

Grocery Market Growth Continues THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending November 25, 2012, show that the grocery market has grown by 0.4% – the second month of sales growth in a row and the highest rate since January this year.

This is a positive sign for the industry, but real-term growth still remains elusive with inflation at 4.2%.

“There is no doubt that household budgets are increasingly stretched and this is reflected in the changing nature of the grocery shop,” explains David Berry, Commercial Director at Kantar Worldpanel.

“To help offset the impact of price inflation,

the ‘little and often’ approach to shopping continues, with the average household making an extra 2.5 grocery trips this year – that’s an additional four million trips across the country.”

For retailers, it has been an encouraging month, particularly at the start of the run-up to Christmas. Fortunes at Dunnes Stores have begun to improve, with sales growth following a dismal September, when sales declined by almost 8%, according to Berry: “Dunnes now has a 23.2% market share and is in a better position to compete as the crucial Christmas trading period approaches.”

Among the other major supermarkets,

Aldi continues to set the pace, with sales growth remaining above 30% for the second successive month. Much of this success has been achieved by attracting more shoppers to the store and encouraging them to shop more often and increase the amount they spend.

Tesco has also grown ahead of the market, leading to a boost in market share of 0.2 points to 27.9%. This is thanks in part to its wide shopper base, with almost 83% of Irish households having shopped in Tesco over the past 12 weeks – an improvement of 3% when compared with last year.

For further information, see www.kantarworldpanel.com.

MARKET SHARE - TOTAL GROCERY Includes all expenditure through main store tills and excludes petrol & instore concessions

Total Take Home Grocery - Ireland Consumer Spend 12 Weeks to 27 Nov 2012 %*

12 Weeks to 25 Nov 2012 %*

change %

100.0%

100.0%

0.4%

Total Multiples

87.6%

88.3%

1.2%

Tesco

27.7%

27.9%

1.3%

Dunnes

24.1%

23.2%

-3.2%

SuperValu

19.5%

19.4%

-0.2%

Superquinn

5.5%

5.3%

-3.1%

10.8%

12.5%

15.3%

Aldi

4.7%

6.2%

31.5%

Lidl

6.1%

6.2%

2.8%

12.4%

11.7%

-5.3%

Total Grocers

Total Discounters

Other Outlets**

*= Percentage Share of Total Grocery **= Includes stores such as M&S, Boots, Spar, Centra, Greengrocers, Butchers and Cross Border Shops

Aldi Settles Trademarks Infringement Case ALDI has won €150,000 in damages and its legal costs, following a settlement of its action against Tesco Ireland. Aldi had alleged infringement of its trademarks in a misleading Tesco in-store price campaign.

In a statement, Aldi described itself as “very pleased with the undertakings given to the Court today by Tesco in relation to its inaccurate advertising campaign with respect to Aldi’s products”.

“Having repeatedly brought the matter to the attention of Tesco, Aldi was disappointed that no action appeared to have been taken and Tesco continued to use inaccurate comparative advertising, which may have had the effect of inducing consumers into making purchasing decisions they may not otherwise have made.

Aldi, therefore, regrettably had no alternative but to issue proceedings for trademark infringement in the Commercial

Division of the High Court against Tesco,” the statement revealed.

“Aldi is, of course, fully in favour of comparative advertising but any comparative advertising must be accurate, fair and cannot mislead the consumer.”

Aldi had alleged that Tesco’s in-store pricing campaign failed to compare like with like, mis-stated the sale price of the relevant Aldi or Tesco product, and failed to compare the relevant quantity of the Tesco product with an equivalent quantity of Aldi product.

“The effect of today’s undertakings is that consumers can expect and demand clear, transparent and accurate information on comparative advertising to enable them to make properly informed decisions about what they buy and who they buy from,” said Niall O’Connor, Aldi Stores (Ireland) Group Buying Director.

Aldi is donating the damages received to their nominated charity,

www.retailnews.ie|December 2012|Retail News|7

News DCU Student Wins Responsible Drinking Competition OISIN O’Neill, a student from Dublin City University, has been named the winner of a Responsible Drinking Competition sponsored by Irish Distillers, in association with drinkaware.ie and the DCU entrepreneurial society. The competition, which was open to all DCU students, resulted in three finalists from the college competing to win a cash prize at a Dragons’ Den style event. The entrants were encouraged to create an innovative and engaging platform for communicating the importance of responsible drinking to their peers.

The three finalists faced a panel of four ‘Dragons’; Bobby Kerr, entrepreneur and member of the RTE show ‘Dragons’ Den’; Rosemary Garth, Communications and Public Affairs Director, Irish Distillers; Fionnuala Sheehan, CEO, MEAS (Mature Enjoyment of Alcohol in Society); and John Egan, CEO, Archipelago.

Oisin’s winning entry was his interactive app for smart phones, entitled ‘No Regrets.

The app aims to help users plan and experience their night out in an enjoyable, safe and responsible manner, giving the user low-risk drinking information (via push notifications on their phone), and by showing nearby food-stops, taxi ranks and Nightlinks. Oisin is currently studying a Postgraduate Diploma in Information Technology at DCU. According to Rosemary Garth, Communications and Public Affairs Director, Irish Distillers, the level of applicants was extremely strong. “We were overwhelmed by the standard of applications we received. Entries greatly varied between marketing campaigns, events, digital tools and products, so we had a great variety of ideas to choose from. Irish Distillers is committed to the on-going promotion of responsible drinking, and it is great to be involved with DCU and drinkaware.ie for this exciting event which supports budding entrepreneurs.”

Pictured at DCU for the responsible drinking competition sponsored by Irish Distillers were: Professor Brian MacCraith (second from left), President, Dublin City University, and three of the judges (from left) Rosemary Garth, Communications and Public Affairs Director, Irish Distillers; Fionnuala Sheehan, CEO, MEAS; and John Egan, CEO, Archipelago.

New Debt Restructure Plans for Small Business SMALL private companies will be able to apply directly to the Circuit Court to have an examiner appointed, in a move which will make it cheaper and easier for viable businesses to restructure their debts.

Minister for Jobs, Enterprise and Innovation, Richard Bruton TD announced his intention to amend the Companies Acts to facilitate the change through a measure to be contained in the upcoming Companies Bill, scheduled for publication before the end of 2012 with enactment by the Oireachtas after that.

These changes will affect small private companies, meaning companies that satisfy two out of the three following conditions: • Balance sheet not exceeding €4.4m; • Turnover not exceeding €8.8m; • Number of employees not exceeding 50.

Retail Excellence Ireland has welcomed the plan. “For the legislative intervention to really benefit SME companies and particularly smaller retailers, it must provide for the repudiation of leases where no claim for damages can be made by the landlord against the tenant,” noted David Fitzsimons, Chief Executive, Retail Excellence Ireland.

Fitzsimons also suggested that the legislation should be extended to larger companies who, due to a lack of reserves, simply cannot afford the standard examinership process, which can cost upwards of €1m.

MORE than 86 jobs have been saved after Musgrave Group bought two SuperValu stores that went into receivership in 2011. The two stores are located in Thomastown, Co. Kilkenny, and Poppyfield Retail Park, Clonmel, Co. Tipperary.

Musgrave had been working with the Statutory receiver, Declan Taite of RSM Farrell Grant Sparks, to keep the stores open, and have now completed a deal to buy them.

“This is an extremely on the Government to fine people positive result for the who buy illegal cigarettes. employees and It was one of the main management of the points in our pre-Budget two supermarkets, submission this year,” as the local said Benny Gilsenan, employment is spokesman for RAS. protected. Under “We are delighted that terms of the deal, Dublin City Council all employees have is supportive of our been transferred Benny Gilsenan, proposal and has to Musgrave,” Spokesperson, Retailers decided to propose it at noted receiver Against Smuggling. the policing forum.”

Declan Taite.

Retailers Welcome Call To Prosecute Black Market Customers RETAILERS Against Smuggling (RAS) have welcomed Dublin City Council’s call to criminalise consumers who purchase illegal cigarettes. The call was made by Fine Gael leader on Dublin City Council, Gerry Breen, at a meeting of traders, politicians and members of the Gardaí, which convened to discuss the issue of illegal cigarette selling in the capital.

Dublin’s city centre has a particularly bad problem with the sale of illegal cigarettes, with black market products openly on sale in the Moore Street and Henry Street areas.

“For some time, our group has been calling

86 Retail Jobs Saved

8|Retail News|December 2012|www.retailnews.ie

News

eircom WiFiHub in 110 Topaz Stations

SHOP & IFEX Change Ownership

EIRCOM has partnered with Topaz to roll-out eircom WiFiHub in 110 Topaz petrol stations across the country. The service allows people who call into an eircom WiFiHub-enabled Topaz petrol station to access the internet from their smartphones, tablets or laptops.

To access the services, customers simply need to log on to the eircom WiFiHub page. First time users need to register to use the service: once this has been completed, users can automatically log on at any eircom Pictured are Paul Candon, WiFiHub hotspot. Users can also Director of Marketing and download the free eircom WiFiHub app Corporate Affairs, Topaz, and which is available from the Android Elaine Robinson, Director and Apple stores. of Products and Strategy, eircom broadband, eMobile and eircom, at the Topaz Meteor customers can access the Donnybrook Petrol station. internet for free at any of the WiFiHub enabled Topaz petrol stations. eircom landline and non-eircom customers can also avail of the service: the first 10 minutes are free and then there is a flat rate charge of €1 which will allow users to access the service up until midnight that day. This is fantastic value as users can log on to the eircom WiFiHub service at various Topaz locations on the same day.

Paul Candon, Director of Marketing and Corporate Affairs at Topaz, said the company was focused on enhancing the customer experience and the latest initiative with eircom was part of that process: “We are constantly looking at ways of improving the services on offer at our service stations and providing internet access for all our customers via

FRESH Montgomery has acquired two of Ireland’s leading food and hospitality events, SHOP and IFEX, from European exhibition group easyFairs.

Both exhibitions will be run by Fresh Montgomery, with Montgomery’s Irish Services business assuming operational control of SHOP from its Dublin base, with IFEX run out of the Fresh Montgomery Belfast and London offices.

“We’re delighted to get this opportunity to broaden our market leading food and hospitality exhibition portfolio,” enthused Toby Wand, MD of Fresh Montgomery. “We’re extremely well placed to invest in these events and develop them for the benefit of their exhibitors and visitors. This move demonstrates our commitment to the long term, and we look forward to strengthening the events foothold as the market leading food and drink exhibitions in Northern Ireland and the Republic of Ireland.”

Caroline McGuiness is transferring to the Fresh Montgomery business with the sale and will lead the sales operations on both exhibitions.

IFEX is a biennial event serving the foodservice and hospitality industry. The last edition ran in King’s Hall Belfast in April 2012. SHOP is an annual event running each September at the RDS Dublin.

“We have enjoyed running these Irish shows for several years and we are delighted that they have found a great new home with a specialist food and drink exhibition organiser,” says Matt Benyon, Managing Director for easyFairs UK & Ireland. “The divestment will enable us to focus our efforts on our home-grown portfolio, together with recently acquired brands in new territories such as North America and Asia.”

For more information, please visit www.freshmontgomery.co.uk.

Almost 40% of Employers to Increase Pay in 2013 IBEC’s latest pay survey reveals that almost four out of ten (39%) employers expect to increase basic pay in 2013 and nearly six out of ten (58%) will freeze pay rates. Just 3% of employers say they plan to reduce pay in the coming year. IBEC said pay levels in Ireland are 16% above the eurozone average and pay expectations needed to reflect the very significant economic challenges the county still faces.

Across all respondents, the average expected change to basic pay rates in 2013 is projected at +0.62%, with pay increases being linked to improvements in productivity or major change. The results are based on a survey of 370 member companies.

“Pay expectations need to reflect economic realities,” said IBEC Director Brendan McGinty.

“Most employers are still not in a position to award general pay increases and remain focused on regaining competitiveness and getting pay costs back in to line with our competitors.

The ability of employers to sustain and create jobs must not be undermined in the pursuit of unrealistic pay claims.”

Dealz Launch New Grocery Lines EUROPE’S biggest single price discount retailer, Dealz, has expanded on its current existing range by launching over 100 new grocery lines in all 22 stores across Ireland. The new range includes essentials such as fruit juices and brown sugar, which will add to the existing range of tea, coffee, fresh milk and sugar. As well as store cupboard essentials like cooking sauces, pasta, cereal bars and soups, the range sees the introduction of home baking and sweet treats too. Each product is priced at €1.49, as well as a number of multi-buy offers available at competitive prices.

New big brand lines include Kellogg’s Cornflakes 250g, Heinz Tomato Soup 800g, Lloyd Grossman sauces 350g, Ritz crackers 200g and McVitie’s Digestives 500g.

“Grocery is a growth category for Dealz and customers actively come into our stores looking for top brand every day essentials at amazing value prices,” said Richard Lancaster, Trading Director at Dealz. “Initial performance clearly indicates that our customers love the variety and breadth of the range. We will continue to listen to our customers to ensure we’re always improving our offering to meet their needs.”

www.retailnews.ie|December 2012|Retail News |9

Industry News MACE Supporting Local Heroes JOE Duffy has launched a search for inspiring individuals who create jobs in their local community for participation in the new television series of Local Heroes, in association with MACE. This series will celebrate individuals across the country who have come up with new and innovative ways to stimulate job creation in their own villages, towns or cities. “MACE is proud to be supporting this campaign to find and celebrate the country’s Local Heroes,” noted Alex Banahan, Sales Director for MACE Ireland, pictured with Joe Duffy at the launch. “With a footprint across hundreds of towns in Ireland, we appreciate the significance of supporting local business and local employment – something our retailers, staff and customers strive to do every day.”

Tesco Rebrands Marketer Homegrown Ladies Football of the

Thank You Coca-Cola COCA-COLA Ireland have revealed the names of the 11 winning non-profit organisations who will be awarded grants from the €125,000 ‘Coca-Cola Thank You Fund’. The Irish Olympic Handball Association was announced as the overall winner. The organisation, which competed with over 200 applicants for the top prize, will receive a grant of €25k from the Coca-Cola Thank You Fund. The grant will impact more than 10,000 young people. A further 10 organisations, announced as runners up, will each receive €10,000 to help get their innovative projects up and running, including Arthritis Ireland, Autism Initiatives NI, Ballina Boxing Club, Ballyduff AFC, CoisCeim Dance Theatre Ltd, Fortwilliam & Macrory Presbyterian Church, Navan Community Ltd, Northern Ireland at Play, Spraoi agus Sport, and The Alzheimer Society of Ireland. Pictured are Lisa Regan, Development Officer, Irish Olympic Handball Association, and Alan O’Brien, national team captain.

TESCO have renewed their sponsorship of the Ladies Football All Ireland Club Championships and announced that Homegrown will be the umbrella brand for Tesco’s entire Ladies Football sponsorship portfolio. Tesco has signed a three-year deal with the Ladies Gaelic Football Association to extend its sponsorship of the All Ireland Club Championships. The retailer has sponsored the All Ireland Club Championships since 2009 and continued to invest in the sport and expand its association with the LGFA by adding the All Ireland Post Primary Schools Competitions, the Club Person of the Year Award and the All Ireland Sevens tournament to its list of sponsorships.

Tesco also sponsor the Club Championships in both Cork and Dublin across all grades from U12 to Senior Level. All of Tesco’s Ladies Football sponsorships will now come under the Tesco Homegrown banner. The Tesco Homegrown brand highlights seasonal, fresh Irish produce produced by growers and suppliers within Ireland. Pictured are John Prendergast, Head of Local Trade and Marketing for Tesco Ireland, and Helen O’Rourke, CEO of the Ladies Gaelic Football Association, with finalists in this year’s Tesco Homegrown All-Ireland Club Championships: Marie O’Gorman, Cathriona McConnell, Noelle Tierney, Siobhan Browne, and Norah Kirby.

John West Expands ‘Can Tracker’ JOHN West has expanded its unique ‘Can Tracker’ application to include Salmon, Mackerel and Sardines, joining Tuna, which was the first species to be totally traceable.

The Can Tracker launched in 2011 to enable John West customers to trace their fish to the ocean where it was caught and the boat that made the catch. This 100% transparency across the four core species emphasises John West’s continued commitment to prioritising traceability as part of a more sustainable future in fishing. “Tracing the source of the fish we sell not only provides industry transparency but also increases consumer awareness and consciousness of the story behind every can,” stated Paul Reenan, Managing Director, John West.

Year Announced

BRITVIC Ireland Marketing Director, Kevin Donnelly has been named Marketer of the Year 2012. The title, in its 20th year of existence, which is awarded by fellow marketing professionals, was presented to Kevin for his leadership of an autonomous marketing team in Dublin who have delivered standout marketing strategies and plans for iconic Irish brands such as Club Orange, MiWadi and Ballygowan. He has also played a strong role in the Beverage Council of Ireland and has worked closely with IBEC to deliver the Livewell Initiative, a positive contribution from the Food & Beverage Industry to help tackle rising obesity levels.

10|Retail News|December 2012|www.retailnews.ie

Industry News Happy Birthday NDC Guarantee THE National Dairy Council is celebrating three years since introducing the NDC Guarantee that assures consumers in the Republic of Ireland that milk and cream has been both farmed and processed locally. NDC Chief Executive Zoë Kavanagh says that it is an initiative which is in touch with consumer sentiment here: “Shoppers generally assumed that milk is local, but that is not necessarily the case, and there is growing consciousness amongst consumers that supporting local produce is a way of helping our economic recovery.” Kavanagh paid tribute to retailers, including Centra, SuperValu and Tesco, who have supported the initiative strongly. Recent attitudinal research shows that consumers have become very engaged in the jobs debate in the current climate, with 73% of consumers saying that buying Irish food is essential if our economy is to recover; whilst 82% of consumers believe that buying Irish food supports the local community.

Enterprise Ireland SuperValu Supplier Development Programme MINISTER for Agriculture, Food and the Marine, Simon Coveney TD has announced the 11 companies that will participate in the Enterprise Ireland SuperValu Supplier Development Programme.

The programme, now in its sixth year, aims to assist emerging Irish food companies to achieve retail listings with supermarkets. To date, previous participants have benefited from €15m in direct sales from SuperValu and created hundreds of jobs. This year’s participants consist of Kilbeg Dairies, Clotilde’s Fruit Compote, Drombeg Spirits, Biddy Gonzales, Simplee, Jack Molloys, Flatbread Company, Pure Brazen, Kavanagh’s Fine Foods, Bombay Pantry and Pie Irish.

Pictured is Emma Sheehan from Bombay Pantry, Kilcoole, Co. Wicklow.

Bombay Pantry is a leading producer of Indian food in Ireland.

It supplies the retail and food service markets and has seven directly owned Bombay Pantry shops.

In-Store Marketing Specialist Launches in Ireland CJ SERVICES, the leading in-store marketing specialist, has launched in Ireland. CJ Services brings brands and shoppers closer together through improved retail brand delivery. Services provided include store reporting, auditing and POP (Point-of-Purchase) display installation, distribution and maintenance for a wide range of retail categories and sectors. The company uses smart technology POPsysPRO to track in-store activity for both field marketing and display implementation projects, then provides real-time reporting to brand marketers. CJ Services Ireland will also provide a range of contact sales solutions, including the innovative new voice and direct mail service, StoreLink, developed in partnership with SalesOut, to help FMCG marketers engage with symbol group convenience retailers more effectively; close gaps in range and distribution, promote new lines and drive sales growth. Peter Brogan, formerly of Akay Ireland, Bic (Ireland) and Brogan’s Bakery, has been appointed Commercial Director, and Dermot Burke (pictured) is Sales Director, with over 25 years of retail experience, helping leading companies such as Colgate Palmolive, Bunzl Irish Merchants and Georgia Pacific Irl to enhance their brand awareness within the Irish market. For more information, see www.cjservices.ie.

CATEX 2013 Heats Up FORMER National Cocktail Champion Pat Thomas, former Irish Barista winner Vicky Fitz-Henry and award-winning chef Carl Oppermann are pictured at the launch of CATEX 2013, the premier event in the foodservice calendar. Taking place from February 19-21, 2013, CATEX is not just an exhibition, it’s a showcase for the newest and most innovative developments in the industry, a platform for comment and debate and a stage to host the most thrilling and hotly contested competitions in the foodservice sector. New this year, Chef’s Choice will be a dedicated area of the show featuring a cherry-picked gathering of artisan food & beverage suppliers who will showcase and sample their products for the industry. See www.catexexhibition.com for more information.

European Retail Technology Trade Fair EUROCIS 2012, the leading European trade fair for retail technology, takes place in Düsseldorf from February 19-21, 2013. A major focus will be on special innovative payment systems for retailers. Retailers continue to be interested in the subject of mobile payment. A wide range of vendors will be represented at EuroCIS, demonstrating today’s mobile payment options, as well as the most likely trends of the future. “The latest and most important challenges are contact-free cards, online shopping by mobile phone, smartphones and tablets as mini-POS terminals for mobile retailers and mobile wallets for contactfee payment on the internet and at the checkout. Numerous European pilot projects have shown that mobile payment is now ready for a full market rollout,” says Horst Förster, member of the Payment Systems Workgroup of the EHI Retail Institute. For more information, see www.eurocis.com.

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Industry News CrEme Egg Season Begins CADBURY Creme Egg season is here again! As the number one Easter impulse brand (Source: ACNielsen Easter Review 2012), consumers are always excited about their favourite chocolate filled egg. Last year, Kraft Foods was the key growth driver in Easter, with a 3.1% value growth driving total market value growth of 1.1% (Source: ACNielsen, Easter Review 2012). Such is consumers’ excitement of the seasonal return of Creme Egg that 30% of the total Cadbury Creme Egg sales will take place in January, which help make it the number one selling count-line for January and February, with the highest rate of sale (Source: ACNielsen, Easter Review 2012). This all ensures that getting the in-store execution out there from January 1 is the main driver of a successful Creme Egg season. This year, consumers will be treated to a new brand campaign which will bring Cadbury Creme Egg’s trademark fun and playfulness to the fore. The campaign will be backed by a significant ATL spend including TV and outdoor and also features an exciting consumer promotion which will drive footfall in-store in the search for Gooless Creme Eggs worth up to €1,000. The bottom line for retailers this season is ‘Stock, Display and Sell’.

Fair City SPAR Store Wins Award FAIR City’s convenience store lifted the Best Innovation in Sponsorship Award at the recent Irish Sponsorship Awards. The rebranding of the shop as a SPAR franchise also won Best Media Sponsorship. “It’s a perfect case study how once a fair price is agreed, both parties can get on with understanding what each business needs to achieve. SPAR and the Fair City producers worked closely together on the needs of a TV programme to entertain the viewers while also replicating the SPAR experience,” said Gerry McGuinness, RTÉ’s Sponsorship Manager, pictured with Mark Nolan, MD, Amárach Research; Aidan Greene from MediaVest; and Loreto Casas from SPAR.

C&C Make Music for Charity CHRISTMAS came early today for children’s charity, the Musical Youth Foundation, which was presented with a cheque for over €11,000

by Michael Merrins of C&C Group plc. The Musical Youth Foundation, which was established in 2009, is working to provide every child on the island of Ireland with access to a musical education. The generous donation will be used by the charity to establish a Music Education Partnership with Dublin’s Adventure Sports Project. Local Dublin children will be given access to music lessons as part of the charity’s Guitars for Kids and Community Choir programmes. 10-yearold Amy Burnett is pictured celebrating the donation from C&C at the Musical Youth Foundation.

Premium Poitín from Teeling Whiskey Company INDEPENDENT Irish whiskey maker, the Teeling Whiskey Company, has launched a new Premium Poitín bottling to showcase the Original Spirit of Ireland. Poitín is a clear Irish spirit famous for its alcohol strength. In homage to this ancient Irish spirit, the Teeling Whiskey Company has released a contemporary and modern bottling of Poitín to help bring this uniquely Irish product out of the shadows. The Teeling Whiskey Company’s first Poitín release consists of a combination of double distilled spirit made from malted barley in traditional copper pot stills and triple distilled spirit made from maize in modern column stills. This enables consumers to taste the new spirit, that after maturing for three years in oak barrels, makes up many of the leading modern Irish whiskey brands.

Appointment at Empathy Research LIAM Garvin has been appointed Research Director at Empathy Research, a division of Empathy Marketing Limited, which has been operating Pigsback.com in Ireland since 2000. Liam joins from iReach Market Research where he headed up the research team working with leading brands in financial, media and online business.

12|Retail News|December 2012|www.retailnews.ie

POS Displays

Getting Return on Your POS Retailers can harness the power of in-store Point of Sale and maximise retail sales, according to Dublin-based retail marketing specialist, CJ Services.

SAVVY retailers and brands are investing more in POS displays.

Peter Brogan, Commercial Director at Dublin-based retail marketing specialist CJ Services Ireland, shares his views on achieving in-store success.

“In today’s highly competitive retail environment, engaging and influencing shoppers at the last point before they make a purchase is vital,” Peter says.

“Used correctly, POS material is a ‘silent seller’ – an essential marketing tool that can help make the shopping experience easier, more stimulating and more enjoyable.”

So what is the most common obstacle to achieving POS success?

“A great deal of investment goes into identifying the insight that will drive shopper action and developing creative POS displays. But the challenges don’t end when the POS arrives in-store,” he explains. “Retail marketing trade

Peter Brogan, Commercial Director at Dublin-based retail marketing specialist CJ Services Ireland.

association POPAI UK & Ireland estimates that £1.3 billion is spent annually on POS, but compliance is often less than 50%. In other words, only half of POS delivered actually finds its way onto the sales area. It’s the reason why more and more brands are turning to specialists to ensure displays are properly installed.”

Addressing the Information Gap

Brands spend significant time and money planning, executing and evaluating in-store activity. But many face an information gap in retail stores, making it difficult or costly to know how their products look on the shelf, Peter feels: “This is why retail audits can perform such a vital function for brand marketers, enabling them to gain visibility into the execution of POS, out-of-stocks and the compliance of promotional displays, and to begin closing the gap between what they have planned and what actually happens in-store.”

Data quality is becoming paramount to in-store success, he feels. “The most sophisticated reporting solutions currently on the market, such as that offered by data specialist SalesOut, can provide brands with an unprecedented level of insight into retailer activity, such as total value of product purchased during a campaign, sales per customer and incremental revenue forecasting,” Peter notes. “Armed with historical sales and ordering data, brands can better understand issues around sales, category and regional performance.”

CJ Services Ireland, retail marketing specialists, can help to ensure displays are properly installed.

Embracing New Technology

He feels that technology can be used to improve P-O-P effectiveness: “Embracing technology is becoming an integral part of delivering successful POS campaigns. The popularity of real-time information, such as our own POPsysPRO reporting, provides management with an effective means of monitoring projects, managing display inventory and improving estate visibility.”

The growing convenience market offers great opportunity for brands but the challenge is how to influence the buying decision makers. However, innovative new services are now combining a unique blend of “phone and feet”. “These send bespoke branded direct mail to stores, targeted according to historical sales and ordering data,” Peter concludes. “Follow-up visits are also conducted to stores, allowing outsourced sales teams to develop relationships between the retailer and brand, and for purchasing decisions to be investigated and probed in a way that telephone calls alone cannot.”

Now we’re even better connected – from our new Dublin headquarters.

From POS installation and maintenance services to dedicated field activation teams, backed up by award-winning telesales and direct mail experts, we’ll tailor our full range of services to deliver the results you want.

For leading edge solutions that bring your brand to more consumers Call 01604 0310 Email enquiries@cjservices.ie visit www.cjservices.ie

Bringing brands, retailers and consumers together

14|Retail News|December 2012|www.retailnews.ie

IGBF Christmas Lunch 2012

IGBF Lunch

a Massive Success ALMOST 1,200 guests turned up for the Irish Grocers Benevolent Fund Christmas Lunch 2012 at the Burlington Hotel, held on Friday, December 7. It was great to see so many members of the Irish grocery

and FMCG market turn up to support this most worthwhile of causes, raising much needed funds for those in our industry who have fallen on hard times.

The objective of the Fund, which was founded in 1981, is to provide

financial relief for persons in need who have been involved in the food and beverage trades, including retail grocers, wholesalers, manufacturers and general suppliers to the industry.

All photos by Clodagh Kilcoyne.

Current President of Appeals, JTI’s Sales Director, Derek Mooney, addresses the guests.

Pictured are (l-r): IGBF Chairman Joe Keane, Kevin Ronan, IGBF Limerick, and the legendary IGBF founder, Tim Nolan.

From Unilever Ireland are (l-r): Kathy Meade, Marguerite O’Gorman, Dave Jones and Vincent Reddy.

Pictured are (l-r) Janice Gibney, Suzanne Ryan and Laura Brabazon, all from Stonehouse, with Trevor Tanner from Kraft.

Nestlé Ireland’s Brian Keane and Marisa Murray.

Barry Redmond and Jenny O’Keeffe, Crossell, pictured at the IGBF Lunch.

Paula Marnell, Linda McGrath and Ciara Cronin from Reckitt Benckiser, pictured at the IGBF Christmas Lunch.

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IGBF Christmas Lunch 2012

Rebecca Crotty, Andy McDowell and Suzy McDonald from JTI Ireland.

Heineken Ireland’s Brian Daly is pictured with Judy Wilson from Topaz.

Pictured are (l-r): Kathy Boles, Evelyn McLoughlin, Shay Flood and Mary Nolan, Robt. Roberts.

IGBF Chairman Gus O’Gorman is pictured with ADM Londis Chairman, Leo McCauley.

Pictured are (l-r): Stephen Brennan, Kathy O’Neill, Dervel Horgan, Maria Kelly, Janine Watson, Karl Murray, John McGinnity and Dermot Connolly, from Musgrave Wholesale Partners Ireland.

Pictured are (l-r): Tony Quinn, GlaxoSmithKline, Laura McDonnell, Keelings, and Gareth Smith, GlaxoSmithKline.

Margaret Collins, ADM Londis; Andy Turner, PepsiCo.; and Kevin McDevitt, Lite; pictured at the lunch.

Nicola Keane from Tesco Ireland.

From Heineken Ireland: Martin Byrne, Steven Donohoe, Gillian Irvine and Paul McInerney.

Jill Higginbotham, AIB, and Grace Boland, Arthur Cox, pictured at the IGBF Christmas Lunch.

16|Retail News|December 2012|www.retailnews.ie

Retail Ireland: Monthly Update

Government Will Act on Black Market RETAIL Ireland continued its campaign against the black market by hosting a special round table event, attended by retailers, Government department officials, the Revenue Commissioners, An Garda Siochana and industry representatives.

The meeting was addressed by John Perry TD, Minister for Small Business, who listened to the various recommendations from those present on how best to tackle Pictured at the Retail Ireland Black Market and Retail Crime the problem that costs Round Table event recently are Frank Gleeson, Chairperson of retailers and the State Retail Ireland, John Perry TD, Minister for Small Business, and over €800m every year, Stephen Lynam, Director of Retail Ireland. according to Retail Ireland’s recent report, ‘Tackling the Black Market and Retail Crime’. Minister Perry said he will consider all the ideas and make proposals to Government next year.

Budget 2013 To Have Negative Impact RETAIL Ireland believes this month’s Budget will negatively impact on consumers and retailers.

“The Budget is unlikely to entice consumers back into stores,” Director Stephen Lynam said. “The increase in alcohol excise may drive consumers north of the border again as the price of beer, wine and spirits rises. The increase in tobacco excise, although smaller than last year’s, will only further encourage criminal elements to supply illicit cigarettes on the black market. However, the decision to freeze VAT is welcome, as is the decision to freeze excise duty on fuel.”

Chairperson and Topaz Energy Retail Director, Frank Gleeson said, “As a practicing retailer, I know how difficult things on the ground are for shop owners.

The fuel rebate for hauliers is very welcome, as is the decision to allow for the early release of a portion of Additional Voluntary Contributions (AVCs) for private pensions. This could help stimulate the domestic economy and is an issue Retail Ireland has campaigned on this year.

“I am also delighted to hear from Minister Howlin that this may be the final year that the Budget will be announced just as the Christmas shopping season starts. Consumers need clarity much earlier in the year to plan their spending. Ministers should resolve to hold next year’s Budget well in advance of December.”

On Budget Day, Retail Ireland thanked all their members who helped in their pre-Budget advocacy. Retail Ireland were the only retailer organisation to meet with Minister Noonan prior to the Budget, following the publication of their preBudget submission and meetings with TDs and Senators.

2012: The Year in Review RETAIL Ireland is marking the end of 2012 and a number of key achievements. At the start of the year, we rebranded with a new logo and tagline, ‘Advancing Our Industry’ which sums up our aim to promote retail and help your business in the current difficult economic environment. We have also welcomed new members and expanded our team.

All of this has allowed us to better represent you and tell the story of retail in Ireland and how important the sector is to the economy and the communities in which we trade.

We have had a number of successful campaigns, including our work on the black market, the responsible retailing of children’s clothing and on the urgent need to reduce the costs of doing business for retailers.

Also, our new website, retailireland.ie is now live. The site will allow us to communicate more effectively with you, with the stakeholders we need to influence on your behalf and with the wider public.

The site will tell visitors about the work of Retail Ireland, the importance of the Irish retail sector and the myriad of issues of importance to Irish retailers. We urge you to log on and provide us with any feedback you may have.

2013 will be another challenging year for the retail industry. There is still no sign of the turnaround in consumer spending that is vital to the recovery of the domestic demand. Retail Ireland will continue to campaign for this important sector in the year ahead.

Tel: 01-6051558 www.retailireland.ie

Retail Group Review

Success Stories: The Big Players in Ireland’s Grocery Sector Reveal Their Secrets

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Retail Group Review

The

Musgrave

2012 marked another challenging yet successful year for the SuperValu brand.

Effect

Through its SuperValu, Centra and Superquinn brands, Musgrave holds a commanding position across Ireland’s grocery sector. We profile the three brands and their performance across 2012.

MUSGRAVE works in partnership with entrepreneurial retailers in Ireland, the UK and Spain, delivering the sourcing, sales, marketing and supply chain expertise so local businesses can go head-to-head with the international supermarket chains.

Here in Ireland, the SuperValu and Centra symbol groups go from strength to strength, while the Musgrave Group’s purchase of Superquinn in 2011 has seen market share grow even further.

SuperValu

SuperValu is Ireland’s leading independent supermarket network with 195 stores, serving over two million customers each week. With a store in every county, SuperValu plays an important role in communities all over the country, providing both local employment and contributing directly to Irish business and social life.

2012 marked another challenging

yet successful year for the SuperValu brand. Despite a difficult trading environment, the business continues to perform well. This has been achieved by pre-empting market trends, responding to consumer needs, investing in the brand and improving efficiencies across the entire business.

SuperValu continues to collaborate with its retail partners and the communities they service to build a brand that is different and better. The business remains focused on delivering excellent service and expertise at lowest cost.

In addition to delivering value to customers, SuperValu continues to maintain its focus on innovation. The SuperValu Real Rewards loyalty card scheme continues to go from strength to strength. 750,000 customers have signed up to the scheme to date and 56% of all transactions involve the Supervalu Real Rewards loyalty card.

In addition, SuperValu continues its

roll-out of online shopping and is the first grocery retailer in Ireland to launch a fully transactional grocery shopping app this year.

One of the main objectives of SuperValu in 2012 was staying close to the Irish consumer and their needs.

The group continues to shape its offer to reflect the changed circumstances its customers find themselves in, while at all times, staying true to SuperValu’s strong brand heritage.

A good example of this is the SuperValu own brand range: SuperValu announced contracts worth in excess of €80m with 104 Irish suppliers for 2012 as part of the continued roll-out of the range.

The contracts are an indication of the success of the SuperValu own brand range, which was launched last February and is experiencing a 10% year-on-year sales growth.

In 2012, SuperValu also revealed the findings of a report by David

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Retail Group Review

Pictured at the launch of the Enterprise Ireland SuperValu Supplier Development Programme are (l-r): Frank Ryan, CEO of Enterprise Ireland, Clotilde Fitzgibbon from Clotilde’s Fruit Compote, Mitchelstown Co. Cork; Minister for Agriculture, Food and the Marine, Simon Coveney TD; and Martin Kelleher, Managing Director, SuperValu.

McWilliams’ Economic Clinic, which revealed the contribution SuperValu store owners make in local communities across Ireland.

Key findings revealed that in 2011, SuperValu stores, in addition to the €1.6 billion worth of Irish goods purchased centrally, choose to also work directly with local suppliers, resulting in a further spend of €75m on products sourced from suppliers within their own communities.

As the biggest supporter of the Irish food industry, SuperValu needs to help ensure the long term sustainability

of the sector. Now in its fifth year, the SuperValu Supplier Development Programme, developed by Enterprise Ireland in partnership with SuperValu and assisted by Bord Bia and Teagasc, is designed to support small or emerging food processing companies achieve the service standards, product quality and innovation necessary to achieve product listings on supermarket shelves. This year, 11 companies were chosen to take part in the six-month programme, which has recorded a collective €15m in direct sales to SuperValu to date.

Celebrated Irish chef, Kevin Dundon is pictured with Luke Darley and Danielle Evans at the launch of the new SuperValu Christmas Range. Created by Kevin and 10 of SuperValu’s own local Irish suppliers, the range consists of 15 Christmas food items, which will result in over €841,000 being generated in retail sales for Irish suppliers, alongside the creation of 22 jobs.

The group also recently announced the SuperValu Better Together Sustainable Farming Programme, in association with Teagasc and Kepak Group. It is the first retailer-farmer development programme in Ireland and is designed to create a unique Irish supply chain for beef and lamb, which enhances product quality, delivers increased efficiencies and improves profitability for all partners in the supply chain. Participating farmers will be rewarded for their participation through additional price bonuses and increased profitability.

Once again, in 2012, SuperValu’s involvement in local communities stretched beyond business. The group marked 21 years of SuperValu’s Sponsorship of the Tidy Towns competition, something they are incredibly proud of. An established part of communities all over Ireland, this year saw a record level of 855 entries and it is SuperValu’s intention that it will be even bigger and better in 2013.

SuperValu also continued its sponsorship of the GAA All Ireland Senior Football Championship, which is now in its third year. This sponsorship confirms the commitment of their 195 stores to bringing GAA into the very heart of local communities across the country. They recently announced a partnership with the GAA and Tickets.ie to create Ireland’s largest ticket sales network.

With over 93,000 tickets sold this year, SuperValu expects to become the GAA’s single biggest ticket outlet.

20|Retail News|December 2012|www.retailnews.ie

Retail Group Review

Centra Rochestown, Co. Cork, winner of the Insight NACS International Convenience Retailer of the Year Award 2012.

Centra

Centra is Ireland’s number one convenience brand, with 459 stores, serving over three million customers each week. While trading conditions remain hugely challenging, Centra recorded sales of €1.4 billion in 2011 and continues to outperform the market.

Customer buying habits have changed fundamentally over the last number of years. However, consumer insight reports that Centra remains in a very strong position, as it continues to embed its ‘Brighten Up Your Day’ positioning and retailers continue to raise the bar across all aspects of their business.

In 2012, Centra responded to consumer insight, not only through

its innovative approach and product offering, but across each and every consumer touch point in stores. It gave the value-conscious consumer an excellent value offering, while remaining loyal to its brand values of supporting local communities, local suppliers and local jobs.

Centra delivered on its promise to not only provide true value through promotions, big brand price cuts, rounded price points and a large own brand range, but also through a wide range of innovative products and services. In particular, rounded price points helped budget-conscious consumers calculate their bills more efficiently. Its introduction on a number of ranges helped turn around

Centra remains in a very strong position, as it continues to embed its ‘Brighten Up Your Day’ positioning and retailers continue to raise the bar across all aspects of their business.

performance in many areas.

Centra remain committed to local employment and sourcing from local producers. In 2011, the total purchases of Irish goods made by Centra was worth over €1 billion to the Irish economy, serving to both create and protect Irish jobs. Centra employ over 10,000 staff across the country, making it one of Ireland’s biggest employers.

2012 brought Centra to its third year of its sponsorship of the GAA Hurling All Ireland Championship and once again demonstrated its success at bringing the game of hurling to communities across Ireland. Centra not only positioned itself as proud sponsors but real supporters at local level. Building on the enormous success of its Hurling Skills Tour in 2011, Centra spread the GAA message even further across local communities throughout Ireland with the ‘Brighten Up Your Day‘ community events.

These family events ran in 15 locations around Ireland and featured some of the country’s greatest inter-county players.

Centra continued its support of the Irish Cancer Society’s Action Breast Cancer Campaign. Now in its third year, this partnership has seen Centra retailers raise over €850,000. This year, retailers held 84 walks in aid of ABC in communities around Ireland.

In addition, Centra stores sold pink umbrellas to further raise funds for the campaign.

Through its shared vision and strategy for the brand, Centra will continue to build on its strong foundations through delivering great value for money offers, product innovation, excellence in its people, an unrivalled consumer experience and above all, keeping the consumer at the heart of everything they do.

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Retail Group Review Superquinn

With its reputation for fresh food, customer service and support of Irish suppliers, Superquinn fits well into the Musgrave stable of quality retail brands. Now part of a new division called Musgrave Operating Partners Ireland, its acquisition in 2011 brought the Musgrave Group’s overall market share to 22% in the Dublin area.

2012 has seen Musgrave stabilise the Superquinn business which had been severely impacted in recent years by changes in the marketplace and declining consumer spending. The latest Kantar Worldpanel grocery market share research indicates a recovery in Superquinn’s market share.

Since the acquisition, Musgrave has applied its knowledge and experience in its offering to Superquinn customers. This has involved improving the store experience, as evidenced by the investment of approximately €2m in Superquinn Blackrock and price reductions across the network. Renowned for its fresh food and support of local Irish suppliers, Superquinn has rolled out long-term price cuts of up to 40% on over 200 fresh food products across bakery, fresh meat, fruit and vegetables and cheese. Superquinn has remained committed to the ethos of being Ireland’s fresh food specialists, with 51% of sales via fresh food.

With the support of the Musgrave Group, Superquinn is now able to offer customers even better value

Superquinn recently launched the Ultimate Chocolate Biscuit Cake to raise money for 24 local charities across the country.

than before, while maintaining its reputation for quality and taste.

Superquinn prides itself on being an innovator and has embarked on a range of initiatives to drive consumer footfall and engagement, all of which have increased sales. For example, Superquinn ran two ‘Over 65’s’ days this year, which offered anyone over 65 years of age 10% off their shopping bill. Another example of this success was Superquinn’s spectacular Steak and Wine Sale, which saw steak and wine master-

Musgrave has applied its knowledge and experience in its offering to Superquinn customers, including an investment of approximately €2m in Superquinn Blackrock.

classes take place in-store to help educate customers as they shop, in addition to great savings across its steak and wine range. Throughout this activity, Superquinn created real and differentiating stand-out for Superquinn in a competitive marketplace by highlighting its fresh food leadership and reinforcing consumer loyalty.

Superquinn has also increased its consumer engagement through its CSR activity. For example, Superquinn recently launched the Ultimate Chocolate Biscuit Cake to raise money for 24 local charities across the country. The Ultimate Chocolate Biscuit Cake, which is freshly baked in-store, is priced at €1.99, of which 80c goes to charity. The initiative is expected to raise over €250,000 for local charities across the country in the next 12 months. Each Superquinn store has chosen a local charity in their area to support, and a wide selection of charity sectors are represented, including children’s charities, care centres and local hospices. Each Superquinn store will also run various initiatives throughout the year which will enhance the partnership, such as bag-packing and product donations.

The initiative underlines Superquinn’s reputation for its fresh in-store bakery, while helping to make a difference for local communities.

Musgrave remains focused on getting the Superquinn offer right for shoppers with further improvements in product, range and value planned in the coming months.

22|Retail News|December 2012|www.retailnews.ie

Retail Group Review BWG Foods has approximately 900 stores across Ireland with its SPAR, EUROSPAR, MACE and XL brands.

BWG’s

Big Ambition Leo Crawford, Chief Executive, BWG Group, Olympic Boxing hero Katie Taylor, RTE presenter Miriam O’Callaghan and Willie O’Byrne, Managing Director, BWG Foods, are pictured marking the start of SPAR’S 50th anniversary celebrations for 2013, at the SPAR Convention in Killarney.

BWG Foods is a leading, Irish-owned wholesale and retail company. It operates the SPAR, EUROSPAR, MACE and XL brands in the Republic of Ireland, with approximately 900 stores across the country. The wholesale division of BWG Foods also includes BWG Foodservice and a nationwide network of 22 ‘Value Centre’ cash and carry outlets.

As owners and operators of these leading retail groups, retailers receive many benefits from a marketing, training and operational point of view, as well as access to years of retail expertise. Importantly, support is tailored to meet the ethos of the brand and the needs of the retailer.

There are dedicated multidimensional marketing and advertising campaigns for each brand, spanning national and local media, and supported by public relations. There is frequent promotional activity, plus deep discount tactical promotions, high impact in-store displays, direct mail and point of sale materials and consumer promotions to drive consumer footfall.

There are bespoke training programmes for staff, food safety and fresh food advice and individual awards programmes for promoting store standards. BWG retailers have access to more than 500 local and national suppliers through Central Billing, as well as own brand ranges particular to the brands. They have access to exclusive agency wines via BWG Wines & Spirits, as well as advice and support on category management, financial planning and IT. BWG Foods provides employment to over 20,000 people through its branded retail estate. The company has relationships with more than 400 suppliers, dealing directly with approximately 14,000 customers, and serving in excess of one million customers every single day.

SPAR

SPAR is one of the country’s largest convenience retail groups, and will next year celebrate 50 years in Ireland.

From the time it opened its first store in Dublin in 1963, the brand has been

a leading light in Irish convenience retailing, bringing consumers the most innovative products and in-store offerings. The group includes SPAR for neighbourhood shopping and SPAR Express for forecourt shopping.

Innovation can take many forms and it is important for BWG to leverage this differentiator so SPAR always stays relevant to the times we live in. While convenience is the foundation on which the SPAR brand is built, their offering is constantly evolving to meet the needs and wants of customers. Today, SPAR are more focused on price and value than ever before, and while their offer is always evolving, some other elements of the business never do: “It is our firm belief that we are not in the food business serving people but in the people business serving food, which means superior customer service is also key to our success,” notes Malachy Hanberry, Sales and Retail Advisory Services Director.

Aside from their passion for retail and our drive to be the best in the market, SPAR offer their retail

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Retail Group Review partners unrivalled support in order to help them run sustainable, profitable businesses. And being part of SPAR International means that SPAR retailers belong to a brand that is setting best-practice standards right across the world.

BWG have not been shy about promoting the SPAR brand and their innovative sponsorship of RTE’s Fair City – through ‘Christy’s SPAR shop’ – and Donal Skehan’s ‘Kitchen Hero’ have ensured that the SPAR brand stays to the fore of consumers’ minds.

SPAR continue to invest in new and bespoke products and in-store offerings. The SPAR own brand range currently runs to over 700 products, while they also have an exclusive range of sub-brands, including Kitsu noodles, Glenmór Irish Meats and an exclusive range of wines and spirits.

“Above all else, we try to recruit retailers who share our vision for the SPAR brand and who will collaborate with us to achieve this vision,” sums up Malachy Hanberry. “Over the years, our customers have come to expect a high level of consistency in terms of product, price and service, no matter what store they visit, so we rely on our independent retail partners to deliver on that promise. SPAR retailers are committed to the values which underpin our brand and this is evident through their participation in our annual 5 Star Excellence Programme, which seeks out and rewards the highest standards in retailing.”

EUROSPAR

EUROSPAR, the ‘SuperEasy Supermarket’ brand, has been operating in Ireland since 1997.

BWG works in partnership with

independent local retailers, serving local communities around Ireland and supporting local jobs, suppliers, producers and community groups.

EUROSPAR has been awarded many local and international awards for innovation and best practice in retailing and has international scale through SPAR International, with stores in over 34 countries worldwide.

EUROSPAR is called ‘The Supereasy Supermarket’ because their stores are: - Easy to get around: they are designed to be open, bright, modern and easy to shop in; - Easy to save money – BWG promote “Supereasy Savings” as a way for customers to save every time they shop with EUROSPAR; - Easy to get rewards – with the ‘Supereasy Rewards’ loyalty programme, which also provides a vehicle for targeted communication with local customers; - Easy to find help - customer service is one of their pillars of success.

The EUROSPAR retailer is supported in such a way that they can become the supermarket of choice in their locality. National and regional advertising campaigns drive awareness and demand to enable the retailer to compete with other supermarkets in their area, as well as marketing programmes which are adapted to the needs of the local store.

“Our EUROSPAR retail partners have access to exclusive product offers that can set them apart from competitors – everyday low pricing; strong promotions; exclusive departments such as Chill Off-licence, Your Local Butcher, Baker’s Tray

Harrington’s EUROSPAR Kinsale which opened in the summer

Contact Information: Head Office: BWG Foods, Greenhills Road, Walkinstown, Dublin 12 SPAR & EUROSPAR Contacts: Malachy Hanberry, Sales and Retail Advisory Services Director: 086 6055621, mhanberry@bwg.ie; Sean Lavin, Head of EUROSPAR: 086 2541230, slavin@bwg.ie; Colin Donnelly, SPAR National Sales Manager: 086 3803924, cdonnelly@bwg.ie; Peter Dwan, Regional Manager (Leinster): 086 0436113, pdwan@bwg.ie; Barry Doyle, Regional Manager (Munster): 086 0230892, bdoyle@bwg.ie; Sean Carter, Regional Manager (Connaught & Ulster): 086 8285050, scarter@bwg.ie.

MACE Contacts: Alex Banahan, MACE Sales Director: 086 2073776; John Tully, MACE Regional Manager (Northern Region): 086 8189312, jtully@bwg.ie; Liam Attridge, MACE Regional Manager (Southern Region): 086 8521362, lattridge@bwg.ie.

XL Contact: Colm Fitzsimons, XL Business Development Manager: 086 8079051, cfitzsimons@bwg.ie.

and Discounter Deals,” explains Sean Lavin, Head of EUROSPAR. “The S Budget discount range means they can compete with the local discounter and an ever-expanding own brand range gives a quality value alternative for today’s shopper. We work with a national charity partner, currently Rehab, and engage in local community projects.”

EUROSPAR retailers have a strong voice through the National EUROSPAR Council of Retailers in driving the direction of the brand development and in daily operational activities. The EUROSPAR retailer is customer focused, financially astute and wants to work with BWG Foods

24|Retail News|December 2012|www.retailnews.ie

Retail Group Review partnership with Irish Autism Action and local community, promotions, including the recently announced sponsorship of RTÉ Local Heroes.

“As a partnership, we want to support our MACE retailers and we MACE do this in many ways – Founded in 1960, MACE is Ireland’s from helping improve longest established neighbourhood and store standards through forecourt convenience shopping brand. the MACE Excellence With 240 MACE stores around Ireland, programme to on-line their retailers have a strong presence training and marketing on garage forecourts – to serve the toolkits,” Alex Banahan needs of people on the move – and sums up. “From a their Neighbourhood stores have the people point of view, the Pictured at the official opening of XL’s 200th store at The everyday essentials with great “Value Glen in Cork are (l-r): Tony Cowhig, XL, The Glen; Willie MACE team are very Deals” to make it easier on consumers’ O’Byrne, John Moane and Colm Fitzsimons, all from BWG accessible: we pride pockets.

Foods; and Ciaran Lynch, XL The Glen. ourselves on being there MACE has been a part of the to listen to and help our retailers. The all the daily food staples you would Irish community for over 50 years, MACE Retail Council is an important expect from a local store. so understanding their customers structure that helps guide the direction As a group of neighbourhood stores remains central to everything they of the brand’s development and run by independent retailers, XL’s do. “We are a convenience retailer members of the Council are there to ethos is underpinned by a dedication that promotes a strapline of ‘We make work with the all retailers so that their to community retailing, along with it easy’ and all our programmes tie views are voiced in a structured and price and value. “Our ongoing aim is back to this, whether that is making proactive way.” to improve the shopping experience for life easy in stocking the products our consumers and ultimately drive consumers want or in how we lay out footfall and sales for our XL retail our stores or making it easy through XL partners,” explains Colm Fitzsimons, the value deals available every day,” Established by BWG Foods in 1997, XL Business Development Manager. states Alex Banahan, MACE Sales XL was set up by the wholesale “That means delivering a more Director. “And importantly, delivered division in response to a demand for customer-centric category management with a welcome hello, a smile and a a local retail concept that offered system, coupled with innovation and thank you!” support, whilst allowing retailers expansion in popular categories such A MACE retailer has many to retain their independence and as coffee, fresh food and wine.” exclusive offerings that can set community identity. XL is now the XL offers retailers the opportunity them apart from their competitors, fastest growing symbol group in to retain their independence and local including: strong promotions; Ireland, with the brand celebrating identity, while benefiting from the exclusive Fair-trade coffee offerings in the opening of its 200th store in many advantages of symbol group partnership with Bewley’s and Perk; The Glen, Co. Cork, this year. With membership. They offer a top quality strong deli offers; an extensive MACE the support of 22 Value Centres and flexible package, enabling retailers own brand range, including exclusive nationwide, XL is a progressive to tailor their shop to consumer needs wine and spirits products; a charity neighbourhood store format, providing and react quickly to changing market conditions to help grow their business.

XL’s affordable fit-out cost is one of the many attractions.

“We look for retailers who want to enter a true business partnership, who are receptive to trying new ideas and concepts and who are willing to contribute to wider group activity for the betterment of the brand,” says Colm Fitzsimons. “We also look for retailers who are committed to maintaining the highest standards in their store via the XL Store of the Year programme. The XL tag line, ‘A great deal more at your local store’, is what we’re all about; by delivering value to consumers and remaining an essential part of the local community, our retailers can drive sales and help build Joe Duffy and Alex Banahan, Sales Director MACE Ireland, are pictured with RTE employees at the launch of ‘Local Heroes, in association with MACE’. the XL brand.” to develop the brand at a national and local level. They see the benefit of being an independent supermarket owner in their local community, whilst having the backing of marketing, retail operations and store development expertise of BWG Foods.

www.retailnews.ie|December 2012|Retail News|25

Retail Group Review

Good Year

for Barry Group

The Barry Group, which includes the Costcutter and Carry Out franchises, reports a very satisfactory year in 2012 and is looking forward to some big developments next year.

BARRY Group have had a very satisfactory year trading in 2012, considering how difficult the trading environment has been, especially in the convenience sector. “Our performance is brought in line with 2011, which meets our expectations for the year,” explains Jim Barry, MD. During the year, Barry Group have explored expanding the range of products they deal in, and as a result, they will be rolling out a number of range extensions for 2013, particularly in the non-food and hardware sector.

“We have built on our

already solid offering to our customers during the year, by upgrading our marketing approach, as well as our promotional activity, which enables our retail partners to out-perform the market,” Jim Barry notes. “At retail level, we have had huge success with the re-vamped, new look of our Store of the Year competition. Our new approach includes a mystery audit: this has had a very notable impact on the standards at store level, particularly in customer service and retail execution, which ensures that our retail partners are offering our consumers ‘best in class’ service.”

Responding to Changing Consumer Habits

The change in consumer shopping habits has been noticeable, according to the MD, but both the Barry Group and their retail partners have responded in a very positive fashion, which places them in a good position for 2013.

“One of our mantras for 2013 is to get even closer to our customers and plans are in place to achieve this by spending more senior management time at retail store level in order to keep us close to our customers,” he says.

One of the most exciting projects for 2013 will be the roll-out of Chilled Distribution for the Barry Group.

Project teams are in place for the last number of months and plans will roll-out in the first half of 2013.

“This project will certainly enable our customers to up their chilled offering, which creates an opportunity for our Group,” Jim Barry stresses.

New Franchisees

Jim Barry, Managing Director, Barry Group.

During 2013, Barry Group expect to open up to 15 new Costcutter

stores, as well as 10 Carry Out off licence stores.

“When we are talking to new franchisees, we are looking for people who will buy into our Costcutter and Carry Out mindset,” the MD notes, citing such qualities as being consumer focused, standards driven and hardworking, alongside offering a great team environment, with strong backoffice skills.

“These are just some of the skills that are vital for a successful retailer,” he explains. “Again, these are some of the values that Barry Group possesses by being customer focused, providing good value, with a full suite of support services available. We have friendly and effective teams who operate in a highly efficient manner.

“These claims of service are backed up by the awards we have won, such as the Great Place to Work and Excellence Through People awards,” Jim Barry sums up. “It is our belief that our company places value and trust in our team and this is what enables us to give the very best service and value to our customers.”

Tom and Mary Liddy, owners of Costcutter Roslevan, Ennis, Co. Clare, are pictured receiving the Costcutter Supermarket Store of the Year and the Best in Outstanding Customer Service Awards from Jim Barry, MD, Barry Group.

26|Retail News|December 2012|www.retailnews.ie

Retail Group Review

ADM Londis’

Big Chill ADM Londis recently revealed the significant impact of its Centralised Chill facility, receiving the unanimous support of Londis retailers as it delivers average savings of 6%.

Pictured at ADM Londis’ National Retailer Conference in October were MC Miriam O’Callaghan; Stephen O’Riordan, CEO, ADM Londis; and guest speaker Niall Quinn.

ADM Londis plc prides itself on maintaining a cooperative retailer family ethos as the reference point of all Group decisions and initiatives.

Established in 1954, many of their retailers have long standing relationships with Londis, which is testament to the benefits of the Group’s structure and ethos. “It is this ethos and structure which enables Londis to continue to innovate and refine its grocery retail offering for the benefit of our retailers and consumers alike,” notes Stephen O’Riordan, Group CEO. “Furthermore, Londis retailers enjoy a stronger net margin position as a result of this unique ownership structure, as we can prioritise passing savings back to our retail members in the form of lower costs and lower prices.”

The CEO describes 2012 as “a defining year for Londis and our retailers”. The Group reported a robust performance in 2011, recording a 37% growth in pre-tax profits and a dividend payout to shareholders of

€0.25 per share. The Group’s likefor-like performance in 2012 has been very positive, with Londis stores trading ahead of the symbol market.

The launch of the Group’s Centralised Chill facility in June 2012 has proven to be an excellent investment and has already had a direct impact on the performance of Londis retailers, who are seeing very clear turnover and retailer margin growth at store level, since launch.

“This launch of the Group’s Centralised Chill facility represented the biggest project the Group has ever delivered for the benefit of Londis retailers,” O’Riordan explains.

“From mid-June, our network of 250 retailers across Ireland were, for the first time, placing their chilled orders directly with Londis through the Group’s iSIS web platform and

receiving these products in a timely and efficient single delivery, marking a major strategic shift for the Group and our retailers. We have enjoyed unanimous support from Londis retailers as the new Centralised Chill platform delivers to their businesses, price savings, increased margins, operational efficiencies and wider brand selection and value.”

Phase II of the centralised chilled distribution was announced in October, and has also been very well received by Londis retailers. The product range has now grown to over 1,300 product lines, with a wide range of household brands such as Muller, Galberts, Clonakilty Blackpudding, Irish Yoghurts, Glenisk and Carroll Meats now available to Londis customers nationwide.

“As we approach the festive season, our retailers will continue

Pictured at Londis’ Centralised Chill facility in Swords, Co. Dublin are (l-r): Stephen O’Riordan, CEO, ADM Londis plc, and Mark Boulton, Director, Norbert Dentressangle Logistics Ireland.

www.retailnews.ie|December 2012|Retail News|27

Retail Group Review package to offer prospective retailers and are confident that we can bring real benefits to their business in terms of enhancing their net profit position through a range of initiatives.”

Why Join Londis?

According to the CEO, there are “obvious advantages” for a prospective retailer in joining the Londis Group. “Firstly, you are becoming part of a retailing family with a cooperative ethos at its heart,” he stresses. “Our ownership structure means that our focus is on passing savings back to retailers and this is a key point of differentiation for us in the Irish market.

The Group is not managed for the benefit of other institutional investors.

“The other primary reason for joining Londis is to take advantage of our significant innovative programmes which place our retailers at the very forefront of modern retailing practices,” he adds. “Essentially, we believe that by joining Londis, prospective retailers will enjoy significant opportunities to enhance their net profit position.

We have the technologies and systems to lower a retailer’s cost base, through maximising efficiencies and reducing waste. Our expert buying team will deliver lower costs, whilst leveraging our ambient and chilled warehouses and the Group’s marketing investments drive brand awareness and sales. We believe that the Londis group is the best partner for independent retailers in Ireland.”

So what do Londis look for in a potential retailer? “Most importantly, we are looking for business people who welcome our unique ‘owned by retailers, for retailers’ ethos and who will work hand in hand with the team in our Group Support Office, so that together we can apply our collective talent to building a thriving business in their local community,” the CEO explains.

Founded in 1954, Londis is the only Irish symbol group where retailers can own the company through share holdings and realise the value in their shares at market price.

to enjoy many additional benefits, including the continued expansion of the Londis Private Label chilled product range and for the first time, will be guaranteed a consistent level of festive stock, including turkeys, hams, fish, puddings, fruit and veg, which will all now be delivered via the Chilled Programme, avoiding any seasonal supply issues,” notes Stephen O’Riordan.

ADM Londis’ priority in 2012 was to bring their vision for a Centralised Chill facility to fruition, according to the CEO: “That said, we have maintained a series of new store openings, particularly since the launch of our Chill facility, with our emphasis on recruiting quality stores and retailers who will make a long lasting contribution to the Londis Group.

“2013 will see our focus return to recruiting progressive and likeminded retailers to the Londis group,” he continues. “We have a fantastic

Londis brings multiple-challenging value to the fore, whilst delivering excellent margin to Londis retailers. This excellent value perception, together with the Group’s many other strategic investments, has brought about a dramatic change in the power of Londis retailers to compete in today’s market.

The Road Ahead

Looking ahead to 2013, O’Riordan expects “a continued solid performance” by the Group and its retailers: “This performance will be underpinned by the successful roll-out of further phases of our Centralised

A Brief History of ADM Londis FOUNDED in 1954, ADM Londis plc provides independent retailers with franchise opportunities in both the convenience and supermarket retail markets, reinforced with industry experience and expertise and established infrastructure and support services.

An unlisted plc since 2004, ADM Londis is the only Irish symbol group where retailers can own the company through share holdings and realise the value in their shares at market price. The Group’s unique ‘owned by retailers for retailers’ ownership structure means that the company is not managed for the benefit of other private interests, rather solely on behalf of its retail members.

Chilled Programme and by delivering successful marketing and sales programmes.”

“Whilst we expect economic conditions in 2013 to remain challenging, we can continue to mitigate the impact of these difficult economic circumstances on our retailers, by providing strong margin support and ensuring they have a very solid value offering, enabling them to compete toeto-toe with larger competitors in the market place,” he says.

The CEO further maintains that Londis consumers will also notice a new vibrancy in the Group’s 2013 product offering, “as we are now in a better position to bring new and niche brands to the shop floor, via both our ambient and chilled warehouses”.

“With the many initiatives we have delivered throughout 2011 and 2012 Londis retailers are simply in a new place competitively,” he concludes.

“Our focus in 2013, will be working with our retailers to ensure that, as a Group, we are harnessing the benefits of these investments and competing more effectively, efficiently and profitably.”

28|Retail News|December 2012|www.retailnews.ie

Retail Group Review The Gala group continues to grow, with plans to add 25 new stores to the Gala brand in 2013.

Gala

20 new Gala stores will have opened by the end of 2012

Performance

for Convenience Retailers ESTABLISHED in 1998, Gala is one of Ireland’s premium convenience retailers, employing over 3,000 people in its retail and wholesale operations in Ireland.

Operating on the principle of ‘Partnership Through Independence’, Gala enables independent retailers to compete and trade successfully, whilst partnering them with a network of 18 wholesale

distribution outlets across Ireland.

With over 250 stores affiliated to the Gala group across symbol brands including Gala, Gala Express and Checkout stores, the Gala Head Office works with retailers on a continual basis to optimise elements such as value propositions, store design, customer service and information

technology for the success of each store.

Despite the continuing challenges within the retail environment and the national economy as a whole, 20 new Gala stores will have opened by the end of 2012.

The group is setting ambitious growth goals for 2013, with plans to add a further 25 new stores to the Gala brand. Gala stores have access to buying power in excess of €2 billion through the group’s association with the Stonehouse buying group. This buying power ensures that Gala stores can offer quality products at value prices, a combination that is crucial in today’s convenience environment.

Gala is known for its great one-toone service. Gala also places great importance on developing relationships with local wholesalers and is committed to delivering high standards of customer service, whilst supporting the communities that it serves.

Ensuring Retailer Success

Pictured at the Gala Annual Conference 2012 are (l-r): Liam Peters, Gala Chairman, and Gary Desmond, CEO, Gala.

Retailer success is at the very heart of the Gala business model and the group’s response to the downturn has been to renew their commitment to their retailers, investing in new technologies to improve both the Gala

www.retailnews.ie|December 2012|Retail News|29

Retail Group Review retailer and customer experience.

Retailer support has always been at the core of what Gala Retail Services offers, playing a critical role within the business proposition, along with innovative fresh food initiatives, enhanced promotional offerings, partnerships with their suppliers and category management.

Gala celebrates retailer success annually with the Gala B.E.S.T Awards. Designed to acknowledge and applaud excellence in retail standards and customer service, the Awards recognise the ongoing commitment to excellence that is at the heart of all Gala stores.

The group recently launched the Gala Training Academy, an online training solution, designed to create savings for Gala retailers by minimising downtime, which allows staff to take courses wherever they have an internet connection. HACCP, Manual Handling and Health &Safety courses are currently available, with plans for additional courses afoot.

Innovative Pilot Schemes

2012 has also seen Gala undertake a number of pilot schemes to explore the potential for rolling out across the group’s network of stores. Kevin Bracken’s Gala store in Portlaoise is trialling an innovative EDI solution, designed to create significant monetary and labour savings for Gala retailers and wholesalers, as well as piloting a cash management and security system.

Celebrating 15 years in business next year, Gala has ambitious plans for 2013, with Fresh Food and Community Values playing pivotal

A Brief History of Gala

THE first Gala store opened in Portlaoise in September 1998, with symbol brands now including Gala, Gala Express and Checkout Stores. The Gala Group now has 250 stores affiliated to the group. 200 of these are Gala franchise stores, with 45% of these operating in a forecourt environment.

roles across all elements of the group’s strategic direction.

2013 will see the completion of the roll-out of the Gala Baker’s Corner concept to all stores across the network. The concept has already been adopted by over 75% of retailers, proving a phenomenal success since its launch at the end of 2010.

2013 will also see the launch of the Gala app for smartphones and tablets.

The app’s localisation feature is what sets it apart from competitor apps, allowing retailers to engage customers in their community with local news, promotional offers, vouchers and competitions.

Significant Marketing Activities

Gala will be announcing significant marketing activities in 2013, with a focus on brand awareness, retail footfall drivers, wow offers, new concept development and customer recruitment. The Gala marketing strategy embraces the latest digital and social media platforms, combined with above the line activity, sponsorships and trade marketing, to communicate Gala’s brand essence, ‘Your Local Market’, placing Gala at the heart of local communities. This position is substantiated through store level support for retailers and their

2013 will see the completion of the roll-out of the Gala Baker’s Corner concept to all stores across the network.

community-based initiatives, no matter how small.

Gala’s ongoing rebranding project will continue through 2013. Over half of all Gala stores have now made the move to the new brand image, with completion of the rebranding project on track for the end of 2014. This project will ensure that all shoppers visiting their local Gala store enjoy a consistent Gala shopping experience, wherever they are in Ireland.

Gala is a young, vibrant and growing brand, providing a compelling proposition for progressive and innovative retailers who share the customer service and communitycentric values that drive the Gala business model. Innovation is a key consideration in the success of Gala stores, which are constantly evolving their portfolio of in-store offerings to ensure a first class service to the communities that they serve. Customer service and meeting consumer expectations are values that are at the heart of each Gala retailer, which is why the group is always exploring new and inventive ways to enhance the customer experience.

Helping You to Achieve Goals

The Gala sales team, headed up by Jerry McDonnell, National Sales Manager, is at the disposal of all retailers within the network, working at store level to develop and achieve business goals, using latest category management recommendations and advising on best-in-class business solutions for contract management and fresh food set-up.

Gary Desmond, CEO of Gala, is optimistic about 2013, “We at Gala are committed to backing local entrepreneurs, be they retailers, suppliers or wholesalers, and doing all we can to build a successful Irish brand that encourages enterprise and employment.

“Partnership is our top priority,” he sums up. “It’s what the Gala team strives for every day. If successful partnership is at the top of your priority list, I urge you to call us today to find out how the Gala team can help your business.”

30|Retail News|December 2012|www.retailnews.ie

Retail Group Review

Daybreak:

Ireland’s Fastest Growing Convenience Group No fewer than 25 new stores joined the Daybreak group in 2012, making it Ireland’s fastest growing convenience store group.

SINCE launching in 2005, Daybreak has gained in strength to become Ireland’s fastest growing convenience

There are now over 190 Daybreak stores nationwide, with 25 new stores joining the group in 2012.

store and the partner of choice for today’s independent retailers.

There are now over 190 Daybreak stores nationwide, with 25 new stores joining the group in 2012. Retailers have made a smart choice in switching to Daybreak, where they can avail of enhanced sales and margin through the Musgrave Group buying power, strong promotional offers and a competitive development cost and marketing fee. Daybreak retailers can also gain longer term savings through the Musgrave Group affinity deals.

Stores are supported by a team of experienced and dedicated Territory Managers, as well as a wider team of HR, Trading & Marketing professionals, who are available to advise and help retailers at any time.

Daybreak stores are independently

Daybreak retailers avail of enhanced sales and margin through the Musgrave Group buying power, strong promotional offers and a competitive development cost and marketing fee.

owned by local retailers who understand and respond to the everyday needs of their communities.

Daybreak stores are independently owned by local retailers who understand and respond to the everyday needs of their communities.

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Retail Group Review Ireland’s largest fuel and convenience retailer enjoyed a good year, adding 26 stations to its network, and is looking forward to an even better 2013.

Topaz Fuels

Network Growth TOPAZ, Ireland’s largest fuel and convenience retailer, is one of the largest private companies in the country, with an annual turnover of around €3 billion and over 1,700 employees. In the short time since its launch in 2008, following the acquisition of the Shell and Statoil networks, this dynamic, multi-award winning company has exceeded market expectations. “Topaz has established itself as the leader of the Irish fuels and convenience industry,” states Paul Candon, Marketing and Corporate Services Director. “Topaz has presented a vision of the station of the future. It is now delivering on that vision to its customers on a day to day basis.”

Topaz prides itself on placing the customer at the heart of its business.

Model Tiffany Stanley is pictured at the launch of the Topaz Mobile App.

“It was clear to us that customers wanted quality and innovative products at a competitive price, delivered in a professional yet friendly manner,” Candon notes. “Once Topaz determined what was required, it put the framework in place to deliver it on a daily basis. We adopted the slogan, ‘Topaz, that’s better’ and set about raising the bar for the Irish forecourt sector to a new level. The focus was on getting the ‘little big things’ right all the time. From our efficient fuels, which offer more kilometres per litre, to our quality Fairtrade coffee, from our delicious fresh food and our warm friendly welcome to our cutting edge Apps, we’re committed to doing everything better. It’s all about enhancing the customer experience.”

Expanding the Network

Pictured at the launch of the partnership between Topaz and Aware Ireland are Topaz CEO John Williamson, former Ireland and Munster rugby player Alan Quinlan, and Rebecca Rushe from Aware.

Topaz are “quite happy” with their performance in 2012, given the economic climate: “In a very challenging market, we continued to grow our business, expanded our network and created over 150 new jobs,” Candon explains.

“This year, we have increased or brand and network by signing new stations. We have expanded our company-owned network of sites from 112 to 120 and also expanded our dealer network by 18 stations to a total of 212. This brings our total network of service stations

to 332, which is by far the largest in Ireland. In addition, we have been on a programme of refitting existing stations and have completed 15 refits this year, which have boosted sales.

“We are always on the lookout for new opportunities and we are confident that 2013 will see us grow the network even further and strengthen our position as Ireland’s largest fuel and convenience retailer.”

Developments in 2012

May 2012 saw Topaz officially launching their new Mobile App for both iPhone and Android smartphones.

The App includes a station finder, route planner and mileage check, along with monthly app-specific offers, redeemable in store via QR codes, which customers can self-scan at the new customer facing 2D scanners which they have installed.

2012 also saw Topaz announce a new CSR partnership with both Aware Ireland, their Charity of the Year, and Paralympics Ireland, which saw Irish Paralympic double gold sprinter Jason Smyth brought on as Topaz’s first ever Brand Ambassador.

Overall, Topaz are positive about 2013. “We believe Ireland is now slowly moving in the right direction and as a fully Irish owned and managed company, Topaz is looking forward to playing its part in the economic recovery,” concludes Paul Candon. “We have exciting plans for the coming year and are looking forward to bringing them to fruition.”

32|Retail News|December 2012|www.retailnews.ie

Retail Group Review Aldi was joined by over 30 of its Irish Suppliers at the 2012 National Ploughing Championships, showcasing the very best in Aldi’s multi-award winning range of Irish sourced groceries. Pictured at the Aldi marquee are (l-r) Dermot Woods, Silver Pail Dairy, Fermoy Co. Cork; Niall O’Connor, Group Buying Director, Aldi Stores (Ireland); and Louise Pickford, Silver Pail Dairy, Fermoy Co. Cork.

Aldi increased its market share by over 30%, making it the standout performer in the Irish grocery sector in 2012.

Aldi:

The Big Winner in 2012

ALDI was the standout performer in the Irish grocery market in 2012, maintaining its position as the fastest growing supermarket in the country.

Figures from Kantar Worldpanel, for the 12 weeks ending October 28, found Aldi to have grown its share of sales by over 30%, increasing its share of the Irish grocery market from 4.6% to 6.1% in the space of a year.

Aldi firmly believes its focus on offering Irish consumers brand quality

Irish own-brand products at consistently low prices has been key to its success.

The approach has proven increasingly popular with Irish consumers, resulting in more and more consumers visiting its stores every week.

Aldi has invested heavily in expanding its Irish sourced range. It has tripled its annual spend on Irish products over the past five years, helping maintain over 20,000 jobs across the Irish food industry. Since 2008, Aldi has recruited over 60 new Irish suppliers, doubling its Irish supply base. Aldi now partners with over 125 Irish suppliers, producers and manufacturers, whose products are responsible for generating over 50% of grocery sales at Aldi.

Love Ireland, Like Aldi

Pictured at the Aldi marquee at the 2012 National Ploughing Championships are (l-r): Micheal Coughlan, Project Manager, Europharma Concepts, Clara, Co. Offaly; Aldi Buying Director James Deeney; and Declan Lenehan, CEO of Europharma Concepts, Clara, Co. Offaly.

Aldi’s own-brand Irish product range has proven a huge hit with both Aldi’s customers and the food industry, winning a number of national and international awards for its excellent quality and taste. Aldi’s Irish suppliers have won 45 Blas na hÉireann National Irish Food Awards since 2009, picking up more awards than the suppliers of any other retailer in Ireland over the last three years.

Aldi also performed strongly at the

prestigious 2012 Great Taste Awards in London, picking up a total of 47 titles, 29 of which were for products sourced from Irish suppliers.

Aldi launched a successful new advertising campaign in 2012, ‘Love Ireland, Like Aldi’, which focuses on promoting buying Irish, highlighting Aldi’s strong Irish sourcing credentials and long-standing partnerships with Irish farmers and producers. Partnering with over 30 of its long-term Irish suppliers, Aldi also showcased its Irish fare at the National Ploughing Championships, where its marquee was voted ‘Best in Show Retailers’ by the Irish Farmers’ Journal.

New Store Openings

Aldi opened a new store in Donegal Town on November 29, bringing the total number of Aldi stores in Ireland to 99. Indeed, Aldi opened eight other new stores this year in Ballyfermot, Bray, Bunclody, Carrick-on-Shannon, Fermoy, Naas, Nenagh and Sligo Town.

The Company plans to build further on its success in 2013, opening additional stores through the country and a second regional distribution centre, which will be located in Mitchelstown, Co. Cork.

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Retail Group Review This year saw the launch of www.marksandspencer.ie as M&S transforms into a truly multi-channel international retailer.

MARKS & Spencer are one of the UK and Ireland’s leading retailers, with over 21m people visiting their stores each week. M&S employ over 3,500 people in Ireland, and have 21 stores in the Republic of Ireland. 51% of their business is in food, where they sell everything from fresh produce and groceries to partly-prepared meals and ready meals.

“In a challenging marketplace, M&S has performed well, as we continue to make progress against our plans,” said Marc Bolland, CEO, M&S. April saw the launch of www.marksandspencer.ie and since then, they have seen a steady growth in site visits and online sales. Customers can choose from over 10,000 high-quality, stylish M&S products across womenswear, lingerie, menswear and kidswear, as well as a selection of homeware products. The site also features over 400 online exclusive products.

New Website Launch

In July, they launched Shop Your Way in Ireland, giving customers a flexible range of order and delivery options, whereby they can access the entire product range available on www.marksandspencer.ie. Whether they are shopping from home or through in-store ordering, customers can opt to have their orders delivered straight to their door or to a nominated delivery address, where a delivery charge will apply. Shop Your Way also now offers customers the option

The bakery at M&S Dundrum.

M&S Head of Ireland, Jonathan Glenister and model Aoife Cogan are pictured at the launch of www.marksandspencer. ie earlier this year.

M&S

Makes Progress

of collecting their orders in store for free, from any of the 18 full offer M&S stores in the Republic of Ireland.

In Ireland, M&S have also been working hard to engage with customers on the Marks & Spencer Ireland Facebook page and now have over 60,000 fans of the page. This has been largely done through creative competitions and keeping fans updated and engaged to ensure constant interaction with the brand.

The company also recently issued an update on Plan A, their eco and ethical programme that aims to make M&S the world’s most sustainable major retailer by 2015.

Richard Gillies, Director of Plan A at M&S, commented: “We continue to engage our customers in more sustainable living and passionately believe they are the central force for driving change. 35% of the products we sell, including some of our most popular food and clothing, now have an eco or ethical attribute. That’s over a billion items sold a year.

And we’re driving change in consumer behaviour

with campaigns like Shwopping, our clothes recycling initiative. Over two million items of clothing have been shwopped already, that’s 865 tonnes of clothes that may otherwise have gone to landfill being re-sold, re-used or recycled by Oxfam.”

More Accessible to Customers

M&S opened 26 new international stores in 2012 and their international revenue was up 5.8% to £1.1 billion.

“We did not open any new stores in the Republic of Ireland in 2012 and we do not comment on future store plans,” noted a company spokesperson.

“However, we have continued to make the M&S brand more accessible to customers throughout Ireland as we launched a new website and new services, such as Shop Your Way. “We cannot comment on future performance but we have a clear plan in place to transform M&S into a truly multi-channel international retailer,” the spokesperson continued. “We will continue the development of our multi-channel retail platforms and to continue exploring new and innovative ways to engage with and excite our customers about our fantastic product.”

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Category Management Pictured are (l-r): Declan Carolan, ECR Ireland, with the winners of the ECR Ireland Category Management Award 2012, Sharon Doherty, Baby Buyer from Tesco Ireland, and Karen Moody, Shopper Based Design Manager, P&G. Also pictured are Linda Williams, Irish Distillers Pernod Ricard, and Jane Ryan, Topaz.

ECR Ireland’s recent Category Management and Shopper Marketing Conference provided valuable insights on how to use category management and shopper marketing to differentiate your brand in such a crowded market.

Attracting the Savvy Shopper THE third ECR Ireland Category Management and Shopper Marketing Conference focused on the revolution that is taking place globally and in Ireland.

Category management and shopper marketing now places a greater emphasis than ever before on digital marketing, data analysis, the savvy shopper and their path to purchase.

Businesses and brands are aiming to intercept the consumer’s decisionmaking process, grab their attention and influence their actions. Due to advances in technology, they are armed with more information and more methods to do so than they have ever had at their disposal.

Technology has also created a consumer with more ways to purchase and more ways to find out information on available product choices and prices than in the history of the free market economy, hence the so called ‘savvy shopper’. The focus of the conference was how to use category management and shopper marketing to differentiate

yourself in such a crowded market.

As in previous years, the conference attendees included some of the largest names in the Irish grocery and FMCG market.

In keeping with the theme of the conference this year, leading Irish and international data analysis and digital marketing companies were also well represented.

Pictured are (l-r): Cormac O’Rourke, JTI, Judy Wilson from Topaz, Declan McGinn, JTI, and Paul Candon, Topaz.

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Category Management

Bridget Quille and Andrew Bolger from Johnson & Johnson are pictured with Sarah Morris, Musgrave Retail Partners Ireland.

Analysis & Insight

Adrian Sanger, Global Head of Shopper, Nielsen, set the tone of the morning with his presentation on the savvy shopper. The extensive data he presented clearly demonstrated global market conditions.

He demonstrated that while consumers are engaging in more bargain hunting and promo seeking activities, it is not only so called austerity products that are performing well. Goods traditionally seen as more luxury products that offer a compelling value proposition are performing well, even in the Irish market.

Sanger highlighted the need for manufacturers and retailers to co-operate in order to deliver the right product, in the right way and pointed out the importance of engaging the savvy shopper at every part of their path to purchase. In short, that means using the huge amount of data there is on customers and their shopping habits to place the right product in their path, be that physically in a shop or online.

Clodagh Ashe from Delphi Analytics expanded on the topic of data analysis. There is a huge amount of information on consumers, shopping habits and customers’ needs and wants. The challenge that faces category management and marketing is how to filter out the relevant information and then what to do with it in the real or virtual world. It is the practical implication of this knowledge that is driving the current market revolution, as Clodagh says: “It is what you do with the information that counts.”

Paul Corcoran, Range & Space Planning Manager, Musgrave Retail Partners Ireland, with Declan Carolan, ECR Ireland.

Category Strategy

Rob Mullen from Kerry Foods presented a fascinating insight into category vision in chilled grocery that ably demonstrated the practical implication of analysis and insight into category strategy. Irish consumers have been buying more sliced meats, but paying less. Research clearly demonstrated that consumers gave little thought to sliced meat purchases and engaged primarily in deal hunting, with little or no time spent making their choice in-store.

Through a combination of signage, colour and suggestion, Kerry Foods developed a concept designed to

increase sales and margin on presliced meats. By focusing on four key drivers of usage – better for you, lunch, fridge snack and meal – Kerry Foods created a concept that can be easily implemented that has delivered a 20% increase on turnover in sliced meats.

Kimberly Clark’s presentation, delivered by Jonathon Poole, Kleenex Marketing, and Jennifer Fielden, Category Development Manager, Kimberly Clark, showed how a combination of investment in packaging, engagement with consumers to reposition the usage of tissues, and tailoring the brand to the image of the customer, have delivered

Kellie Whelan, Next Generation, and Jill Moloney, Nestlé Cereals.

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Category Management

Damien O’Reilly from DIT’s School of Retail Management is pictured with Hugh O’Neill, P&G.

sales in a long-established market.

Improved in-store visibility, as well as packaging and signage inspired by key usage drivers, was combined with consumer engagement and package design. One element of the consumer engagement was to allow customers to make suggestions for new designs. It was the combination of engaging with the savvy shopper from production through to retail, via online and in-store activities, that delivered success.

Co-operating on Category Management

Paul Corcoran, Range & Space Planning Manager, Musgrave Retail Partners Ireland, provided an insightful presentation on ‘Taking Category Management to the Next Level in a Franchise Model’. Consistent with best practice, SuperValu and Centra have accumulated a vast array of information on their shoppers and types of trip to the shop, from the single male to the budget-conscious mum, and the various shopper categories can be sub-divided and targeted, particularly via loyalty cards.

Utilising this information and developing category management strategies for everything from a rural village SuperValu to a city centre Centra would be a challenging undertaking for a multiple, but in a franchise model there are even more challenges.

Not only has Musgrave had to correctly use the information it has

gained, in association with the latest approaches to category management, to refine and develop its category management model, it has had to engage very closely with its franchise partners in order to ensure consistent implementation.

Implementation of the latest planograms and category management models is up 11% across the two brands and it is driving sales in key areas of SuperValu and Centra outlets, with some shop areas recording double digit growth postimplementation. Through increased

engagement with regional managers and cluster meetings, the increased implementation rates were delivered by clearly demonstrating the benefits to operators of SuperValu and Centra.

Another category management project highlighted at the conference was the partnership between HB Ireland and BWG Foods, which stood out due to the excellent co-operation throughout the entire supply chain from manufacturer to franchise retailer. Barry Carty, Category Manager, BWG Foods, explained how BWG and HB Ireland set out to show that impulse ice cream purchases in this country are not seasonal, through a combination of increased visibility, transparent pricing and new POS branding for cabinets. If you are reading this article and there are newspapers piled around your ice cream freezer and it gets obstructed in the winter, then go and move them, then come back and finish the article.

As part of this project, HB created attractive freezer decals in keeping with the brand colours and implemented a clear and simple pricing structure for all its brands that is clearly displayed on the unit.

They had identified lack of clarity around price as a barrier to purchase for the product and lack of visibility as a barrier to purchase at the point of sale. Initial implementation of a threepoint pricing strategy with increased visibility delivered increased sales but no margin difference. Changing the

Georgieann Harrington from Kantar Worldpanel is pictured with Phillip O’Meara, Kerry Foods.

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Category Management penetration and spend, retain loyalty and develop a long term relationship with mum. The Baby and Toddler World concept was tested in Tesco stores in Maynooth and Bloomfields, creating an environment where every one of the barriers to purchase they had identified for mums is removed.

All baby products are contained in a single one-stop environment, including less common items such as safety gear, travel gear, etc.

The concept also includes information provision for experienced and new mums, entertainment for children, and even has an online social presence to enable mums to talk. In short, between manufacturer and retailer, they have delivered a complete package for customers, consolidating all their needs into one easy shop and adding value to their shopping and life experience. That is what you need to do to keep the savvy shopper loyal.

The Shopper

Rob Mullen, Trade Marketing Controller, Kerry Foods, addresses the Conference.

Shopper behaviouralist, Ken Hughes from Glacier Consulting concluded events with a fascinating and insightful presentation on the fact that, savvy as the modern consumer is, they are still not entirely rational Barry Carty, Category Manager, BWG Foods, is pictured addressing the Conference.

pricing structure to a four-point model delivered increases in value sales, unit sales and margin for retailers.

2012 ECR Ireland Category Management Award

The winner of the 2012 ECR Ireland Category Management Award was the Baby and Toddler World initiative from Procter & Gamble and Tesco Ireland. Once again, this is an extraordinary example of cooperation between manufacturer and retailer in accumulating data, interpreting it correctly and creating a category management strategy designed to utilise that information.

Research conducted by both Tesco Ireland and P&G had showed both companies that Irish mums tended to be fairly dissatisfied with baby shopping. They found it inconvenient and were not always satisfied with the range of choice on offer. They found the experience fragmented and difficult.

Given the nature of the customer, they often had one or more children with them, facilities were not good and staff were often poorly informed.

Working together, P&G and Tesco Ireland developed a concept that aims to surprise shoppers, drive

Shopper behaviouralist, Ken Hughes from Glacier Consulting, concluded the Conference.

individuals. The savvy shopper has access to a huge amount of information, but the fact remains they can still react to that information in emotional and irrational ways.

Understanding how to spark those reactions is key and a great deal of it is about perception. He cited a particularly relevant example, which saw a value offer of a branded frozen pizza and branded luxury ice cream for €5, which offered very good value.

But if you display the offer as €5 for a quality branded pizza with a tub of branded ice cream absolutely free, you create a different perception with the same promotion. We’re all a little bit crazy and as savvy as we are, everyone is still a human being at the end of the day.

The psychology involves not just what you say but how you say it, visually, verbally, in-store, through the environment presented to the senses, and online. Indeed, the virtual experience and reputation the brand or product offers online is critical when it comes to intercepting the irrational side of the savvy shopper.

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The Year in Review

2012: A Year in

Retailing

January A GOVERNMENT report calling for retail restrictions on alcohol sales neglects to include crucial information about alcohol consumption, and is broadly slammed by the Alcohol Beverage Federation of Ireland.

following the resignation of Eddie O’Brien, who has taken up a senior position with DCC. BOYNE Valley Group acquires the Irish brands of Premier Foods: McDonnells, Chivers, Erin and Gateaux.

BWG Foods upgrade their customer service management systems to Microsoft Dynamics CRM 2011, representing a €300,000 investment.

BORD Bia, in co-operation with Food & Drink Industry Ireland, launch a new structured mentoring initiative where the expertise of leading indigenous food and drink companies is to be shared with small food firms. Pictured are Aidan Cotter, CEO, Bord Bia; Simon Coveney TD, Minister for Agriculture, Food and the Marine; and Shane Dempsey, Head of Consumer Foods, FDII.

THE latest grocery market figures from Kantar Worldpanel in Ireland show growth of 1% for Christmas 2011, with SuperValu, Dunnes Stores and Tesco performing ahead of the market.

JOHN Williamson is appointed as the new Chief Executive of Topaz,

February OVER 520 food buyers from 28 countries across four continents, gather at Dublin’s Convention Centre for Marketplace International 2012, a major one-day business development event organised by Bord Bia. Some 177 Irish food and drink companies, ranging in size and profile from small enterprises to multinationals, meet with targeted buyers during 4,500 prescheduled ‘speed-dating’ style meetings throughout the day.

A NEW Gala convenience store is officially opened at Rosse Court Square, Lucan, Co. Dublin, by proprietors, brothers Paul & Alan Whitty, creating up to seven full-time and four part-time jobs for the local community.

DUNLEAVY’S XL store in Portsalon, Co. Donegal, is named XL Store of the Year 2011 at the national awards. The store, run by Nigel Carr, also picked up the award for Best Off-Licence, sponsored by BWG Wines & Spirits.

Pictured are (l-r): Colm Fitzsimons; National XL Business Development Manager; Willie O’Byrne; Managing Director, BWG Foods; Nigel Carr; Store Manager, Dunleavy’s XL, winner of the XL Store of the Year; Thomas McAree, XL Development Manager; and John Moane, Wholesale Managing Director, BWG Foods.

LONDIS announce the renewal of their highly successful sponsorship of Come Dine With Me on TV3, which includes Come Dine With Me UK, Celebrity Come Dine With Me UK, Come Dine With Me Ireland, and for the first time ever, Celebrity Come Dine With Me Ireland.

AERO, the iconic brand from Nestlé Confectionery, gets a new look, which sees the bar divided into ten easily snappable ‘bubbles’.

BLUEBERRY Smirnoff launches in Ireland.

STEPHEN Lynam (pictured) is appointed Director of Retail Ireland, the national representative body for the entire retail sector.

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The Year in Review Stonehouse Hosts National Foodservice Trade Show MORE than 30 of Ireland’s largest food and drink suppliers gather at Croke Park for a national trade show organised and hosted by Stonehouse Marketing Ltd, with more than 500 of their retail customers invited. Tom Shipsey, CEO, Stonehouse Marketing (centre), discusses the benefits of White Hat with customers at the Stonehouse Foodservice & Alcohol Trade Show.

SuperValu Own Brand Range SUPERVALU launch a new own brand, which sees 1,500 product lines introduced across the SuperValu store network. Simply called the SuperValu Range, the new line-up represents a €20m investment for the retailer, the biggest product launch in SuperValu’s history. Pictured celebrating the launch of the new SuperValu Range are Síle Seoige and Maura Derrane at a giant size breakfast table and chairs in Dublin’s IFSC.

for retail employees which set wage rates above the minimum wage.

NESTLÉ Confectionery becomes the first major confectioner to remove artificial colours, flavours and preservatives from its entire confectionery range.

RETAIL Summit held in Dublin highlights the high price of interchange fees, which are paid by the retailer to a cardholder’s issuing bank. CMS Payments Intelligence warn that Irish retailers could face an estimated €10m increase in costs when debit cards are introduced in place of Laser cards.

TOPAZ and AA Ireland team up to provide a new discount fuel card available to all AA Ireland’s members.

The new easy to use swipe card guarantees 2 cent off a litre of petrol or diesel at any of 320 Topaz service stations nationwide.

RETAILERS are concerned that the proposed reintroduction of Joint Labour Committees [JLCs] could herald new wage setting mechanisms

THE latest grocery market figures from Kantar Worldpanel in Ireland show the grocery market has slid back into decline, following four months of modest sales growth.

APRIL CARTE Noire launches its first Wholebean Instant coffee in the shape of Carte Noire Instinct.

THE Irish dairy industry reacts angrily to a Broacasting Authority of Ireland (BAI) proposal to ban cheese advertising to children, accusing the BAI of using “unrepresentative” data.

JOHNSTON Mooney & O’Brien is named as the official baked goods supplier to the Irish Cricket team.

KNORR Season + Shake announces its sponsorship of Coronation Street on TV3.

GLANBIA plc announces its results for the full year ended December 31, 2011, with revenue increasing by 26.2% to €2.7 billion, while adjusted earnings per share grew by 26.7%.

M AR C H

a strong focus on in-store tastings nationwide.

PHILADELPHIA with Cadbury, Kraft Foods’ biggest cross category innovation since its integration with the Cadbury business, launches with a light-hearted advertising and marketing campaign which tackles consumer scepticism about the combination of two of the nation’s biggest household brands, Philadelphia and Cadbury, head-on. The €400k ‘Choccy Philly? Don’t Be Silly’ campaign sees Jennifer Saunders parodying people’s extreme reaction to the idea of Kraft’s completely new snacking proposition.

PALL Mall pioneers capsule technology in the value tobacco segment, with the launch of the unique, Pall Mall ‘Click On’ cigarette.

AVONMORE launch new Heart Active Milk, with added plant sterols, which have been proven to reduce cholesterol. The launch is supported by a heavyweight brand marketing campaign, including advertising, digital, PR, on-pack adverts, and

Bord Bia/Tesco Retail Development Programme BORD Bia and Tesco develop a programme to help food and drink companies to develop the required skills to achieve sustainable growth at multiple retail level. This comprehensive retail programme will equip participants with the necessary skills required to secure, grow and maintain a listing with Tesco. The programme will involve three different levels – Local, National and Export – to assist small, medium and large sized companies in growing to the next level of business with Tesco.

The programme, supported by Enterprise Ireland, sees 16 companies covering the dairy, seafood, ready meals, beverage, frozen and ambient sectors, selected to participate, with clear objectives and targets set for each company to help them achieve key opportunities identified for their business with Tesco. Pictured at the launch of the Bord Bia/Tesco retail development programme are (l-r): Aidan Cotter, Chief Executive, Bord Bia; Minister for Agriculture, Food and the Marine, Simon Coveney TD; and Tony Keohane, CEO, Tesco Ireland.

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The Year in Review RETAIL Ireland welcomes the discovery of a huge illegal fuel laundering plant near Virginia, Co. Cavan. The plant had a capacity so large that the State was being deprived of €5m per year in lost revenue.

TOPAZ announce a new three-year deal with Musgrave Food Services worth €30m, which will see Musgrave Food Services supply over 115 Topaz deli outlets nationwide with fresh and frozen produce such as salads, meats, pastries and sandwich fillings etc.

DUNNES Stores rolls out trial bakeries in at least six of its stores.

PAYZONE announces the appointment of Brian Rouse to the position of Retail Key Account Manager.

BWG Launches Visa Contactless Payments CONOR Langford, Vice President Ireland, Visa Europe, and Willie O’Byrne, BWG Foods Managing Director, are pictured at the announcement that BWG Foods is one of the forefront businesses in Ireland to go contactless, in partnership with Visa Europe.

BWG begin accepting contactless payments from the end of April, and the company plans to expand its contactless acceptance across Ireland during 2012 with the majority of its 900 stores being able to offer contactless payments by year-end.

GALA opens two new convenience stores, one in Bray, Co. Wicklow, and one in Monkstown, Co. Dublin.

NEW from Danone, Actimel Powerfruit is an exciting addition to the hugely successful Actimel drinking yogurt range.

DONEGAL Catch announce a partnership with Responsible Irish Fish, a group dedicated to developing a brand and label to allow Irish fishermen to differentiate their

products in the marketplace and to promote Irish fish being caught in a responsible manner.

JOHN Pearson, Managing Director of Edward Dillon and Co. Ltd, retires from the Company on April 30 after 19 years’ service. He is succeeded by Andy O’Hara, former Commercial Director for the company.

AN EU Report calls for a tough legislative solution to tackle abuse of power by multiples against suppliers

M AY RETAILERS welcome Ireland’s new Retail Planning Guidelines, an update on the 2005 guidelines, telling Retail News that the modification to the size of large-scale supermarkets is “marginal”. Under the cap, the size of stores can be increased from 3,500 square metres to 4,000 square metres in the Dublin area, and from 3,000 square metres to 3,500 square metres in the cities of Cork, Waterford, Galway and Limerick/Shannon. Tara Buckley, Director General of RGDATA, describes the Guidelines as “very protown centre”. The new Department of the Environment Guidelines reduce the amount of locations where warehouse stores can be built. Stores over 6,000 square metres, such as Ikea, could previously be built in a number of towns around the country, including Athlone and Dundalk. Now such stores are restricted to the larger cities due to the potential detrimental impact to town centres.

RETAIL Ireland claims there is no evidence of abuse by large retailers against suppliers in Ireland. Reacting to last month’s EU Report, Models of Enforcement in Europe for Relations in the Food Supply Chain, Chairman Frank Gleeson says, “Retailersupplier relationships are commercial transactions. They’re based on volume and value. There have not been any reported cases of dominance or bad practices by any of the multiples.”

ADM Londis plc report a robust performance in 2011, recording a 37% growth in pre-tax profits and a dividend payout to shareholders of €0.25 per share. This very creditable performance was underpinned by careful cost control and a significant strategic focus on procurement that saw profit before tax increase to €1.5m in 2011 on wholesale sales of

Oireachtas Committee Criticises Proposed Ban on Cheese Advertising THE Oireachtas Joint Committee on Communications, Natural Resources and Agriculture condemns the Broadcasting Authority of Ireland’s proposal to ban cheese advertising. Pictured leaving the Oireachtas following a meeting with the Joint Oireachtas Committee on Communications, Natural Resources and Agriculture about the Broadcasting Authority of Ireland’s proposed children’s advertising code are (l-r): Maeve Guthrie and Dr. Catherine Logan, The National Dairy Council, with independent economist Ciaran Fitzgerald.

€220m. This positive outturn was achieved despite intense margin support initiatives by the Group for its retailers.

A NEW study finds that underage drinking in Ireland is declining. The Health Behaviour in School-aged Children Survey 2010 (HBSC) is a cross-sectional study conducted in collaboration with the World Health Organization (WHO) Regional Office for Europe, with the Irish survey carried out by the Health Promotion Research Centre at NUI Galway.

MUSGRAVE Group reports a sales increase of 1.6% to €4.5 billion in its financial results for the year ended December 31, 2011. The Group delivered a profit of €71m, 1% below last year. Debt increased from a net cash position of €21m in 2010 to €187m at year end, following the acquisition of Superquinn.

“Despite the economic challenges and a consumer that is focused on spending less, we have delivered a good performance with turnover and profit remaining steady for the third consecutive year,” noted Chris Martin, Musgrave Group Chief Executive.

“2012 continues to be tough but our brands are performing well, benefiting from customers who want to shop locally for value.”

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The Year in Review MUSGRAVE Retail Partners Ireland signs a €3m contract with Corkbased companies Trag Limited and Coppinger Limited to provide staff uniforms for the 30,000 employees across the SuperValu and Centra network over the next three years.

The National Lottery releases its annual results. 2011 marked the 25th successful year of Ireland’s National Lottery, with a further €231.9m raised for distribution by the Government to good causes. “We look forward to building on the success of the last 25 years of Ireland’s National Lottery with a strong focus on our vision of providing exciting and engaging lottery games that bring fun and entertainment to our players,” said Dermot Griffin, National Lottery CEO. DRAGONS’ Den winner Jason O’Reilly signs a contract to supply his silicone sports watches exclusively to over 195 SuperValu and 459 Centra stores throughout Ireland.

GLEESON Group signs a €250,000 contract with international mobile technology solutions provider Heavey RF Group to deploy advanced voice warehouse solution technology across its distribution operations throughout Ireland.

MINISTER for Small Business, John Perry TD meets with the National Off-Licence Association to discuss the independent off-licence sector.

SHARON Walsh is appointed Marketing Director of Heineken Ireland, having held the role of Marketing Manager since joining the company in July 2011.

CUSTOMS officials seize 5.3m illegal cigarettes in Dublin Port at the end of May.

CRIMES cost small businesses €1.5bn annually, according to the 2012 ISME Crime Survey, which also discovered that 20% of companies do not report crimes to the Gardaí, due to the time, money, and resources involved.

COCA-COLA launches the ‘Coca-Cola Thank You Fund’ and announces the availability of €125,000 in funding to community and voluntary groups promoting active lifestyles throughout the island of Ireland.

MINISTER for Public Expenditure, Brendan Howlin TD, indicates that retailers will keep their 6% margin on sales from National Lottery products.

MOY Park secures a two year sponsorship deal with the European Tour to support the 2012 Irish Open at Royal Portrush and the 2013 Irish Open at Carton House, Kildare.

THE Barry Group wins the prestigious Stonehouse White Hat Award for 2012 for demonstrating best performance across the White Hat portfolio throughout the year.

KERRY Group is named the most reputable food manufacturer in Ireland in the annual Corporate Reputations RepTrak 2012 study.

A pan-European study by SymphonyIRI Group reveals that promotions across the FMCG sector have proved crucial to sustaining volumes during a period of austerity that has seen consumers become more frugal about what and how they purchase.

OWN brands continue to appeal to shoppers in the face of depressed household incomes, growing at 2.3% year on year, as shoppers focus on saving rather than spending, according to the latest figures from Kantar Worldpanel.

Flahavan’s Scoop Top Award FLAHAVAN’S scoop the International Marketing Award at the prestigious 2012 All Ireland Marketing Awards. Pictured are (l-r): Cera Ward, Google EMEA, presenting the International Marketing Award to James Flahavan, International Business Development Manager, Flahavan’s, and John Noonan, Sales and Marketing Director, Flahavan’s.

J UNE EU judges uphold a 2007 decision that prohibits “multilateral interchange fees” (MIFs), finding them contrary to European law. MIFs allow the cardissuing bank to keep a percentage of the payment card transaction. The move is welcomed by Irish retail representatives. The EU ruling only pertains to cross-border credit and debit card payments in Europe, although Retail Ireland calls on the government to replicate this ruling for card transactions within Ireland.

BALLYGOWAN Natural Mineral Water teams up with McDonald’s in a deal which will see the Limerickbased company become the exclusive bottled water supplier to McDonald’s 81 restaurants across Ireland.

TOPAZ launches a new free ‘Topaz App’ which will enable customers to find the Topaz site nearest to them from the network of over 300 sites nationwide.

KRAFT Foods unveil an interactive digital out-of-home campaign, which combines the use of a 6-sheet with digital camera technology and Facebook. The Cadbury Unwrap Gold digital 6-sheet on Charlotte Way in Dublin invites passers-by to take a photo and be in with a chance of winning a pair of tickets to the London 2012 Olympic Games.

GARETH Smyth is appointed General Manager, GSK Consumer Healthcare Ireland. Gareth joins GSK from Keelings, where he held the position of Sales and Marketing Director and sat on the Board.

SPAR Texaco Junction 14, the landmark motorway services site on the M7, is to create 20 new jobs and invest a further €500,000 in expansion of the premises.

FOLLOWING a successful launch in the UK market earlier this year, the new range of Weight Watchers Soft Drinks is now set for a major roll-out across the island of Ireland.J U L Y

JULY THE Department of Environment, Community and Local Government announces details of a public consultation on Producer Responsibilities Initiatives, which are the schemes designed to reduce waste at various points along the supply chain, including Repak.

THE National Off-Licence Association calls on the Government to introduce a mandatory training programme for all retailers of alcohol.

ORGANIC Focus, the new national group which aims to drive the development of the organic sector in

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The Year in Review Ireland, meets for the first time. The group is made up of representatives of the Department of Agriculature, Food and the Marine, Teagasc and Bord Bia, as well as stakeholders from across the spectrum of the organic sector, including meat, dairy, poultry, horticulture, cereals and aquaculture.

BORD Gáis Energy announces a partnership with Siemens Ireland that will allow Irish businesses, including those in the food and drinks industry, to avail of a full, end-to-end energy efficiency service for the first time.

The two brands will combine their extensive expertise to the benefit of Irish companies looking to increase energy efficiency and reduce energy consumption.

ALCOHOL and tobacco is more expensive to buy in Ireland than any other European country, according to the Eurostat survey, which found that alcohol and cigarettes are 63% more expensive than the EU average.

THE Irish Payment Services Organisation warns retailers about a credit/debit card scam, which has already cost some retailers thousands of euro.

THE first contactless payments take place in retail stores around the country.

Centra Clonroadmore in Ennis is the first Centra store in Ireland to offer Visa contactless technology to customers, while Brady’s SPAR Mulhuddart in Dublin 15, Brogan’s EuroSPAR Belmullet in Mayo and Talty’s MACE Ennis in Clare are pioneering the launch of contactless for BWG stores.

A NEW look Gala convenience store opens in Ballyroan, Portlaoise.

BORD Iascaigh Mhara and University College Cork join forces to drive sustainable innovation in the marine sector by developing the first ever Diploma in Seafood Innovation.

BORD Bia announced plans for a comprehensive national sustainability development programme, entitled ‘Origin Green’, to help Ireland become a world leader in sustainably produced food and drink.

A u g u st THE illicit tobacco trade is on the rise and is estimated to account for up to 30% of the Irish tobacco market.

RETAIL Ireland publishes a major

RETAIL sales continued to disappoint during the second quarter of 2012 according to Retail Excellence Ireland’s (REI) Irish Retail Industry Performance Review Q2 2012.

However, some sectors, such as hot beverages and pharmacy, actually bucked the trend, both increasing sales levels in Q2 2012 compared with Q2 2011.

Londis’ Big Chill!

ADM Londis plc successfully launches its Centralised Chilled Distribution facility, which sees the group’s 250 retailers placing their chilled orders directly with ADM Londis through the Group’s iSIS web platform and receiving these products in a timely and efficient single delivery, marking a major strategic shift for the group and its retailers. Central to this programme is the completion of a €20m partnership agreement with warehousing and logistic experts Norbert Dentressangle. Marking the launch of ADM Londis’ Centralised Chill facility at the Swords based warehouse are (l-r): Claude Tonna Barthet, Customer Operations Director, ADM Londis plc; Stephen O’Riordan, CEO, ADM Londis plc; and Mark Boulton, Director, Norbert Dentressangle Logistics Ireland.

new report called ‘Tackling the Black Market and Retail Crime’, which reveals that the Exchequer is losing €861m annually because of illegal black market activity and retail theft across illicit fuel, smuggled cigarettes and shoplifting.

RETAIL group Retailers Against Smuggling (RAS) launches ‘Smell a Rat’, Ireland’s first campaign to make the public aware about the dangers of buying illegal cigarettes.

TWO Irish stores are amongst the finalists for the 2012 Insight NACS International Convenience Retailer of the Year Award: Centra, Rochestown, Co. Cork, and Junction 14 Mayfield/ SPAR Express on the M7 motorway in Kildare.

REPAK announces its 2011 results, which revealed that Ireland continued to exceed EU used packaging recovery and recycling targets by recovering and recycling 652,000 tonnes, an increase of 4.1% on 2010.

SPAR Ireland and Newstalk 106108fm’s business show, ‘Down to Business’, join forces for a new competition which will see the winning company given the opportunity to sell their product in SPAR’s local community network of 450 stores, with over half a million customers visiting SPAR stores daily.

THE TASTE Council of Ireland calls for the protection of food labelling terms, such as ‘farmhouse’ and ‘artisan’, in order to generate and grow sustainable jobs for Ireland’s speciality food industry.

THE Dairylea brand breaks the processed cheese mould by launching a brand new Dairylea, made from all natural ingredients, the culmination of two years of work by Kraft’s R&D experts.

S E P T E M BER SPAR begins offering customers a new rewards programme ‘My SPAR Rewards Club’, with those signing up paying less on certain products as part of a dual-pricing rewards system – the first of its kind in Ireland.

CENTRA opens a new store and café at the Kevin O’Leary Group showrooms on the South Douglas Road in Cork, creating new jobs.

SARAH Mansfield is appointed Media Director of Unilever’s marketing services team, who are responsible for the company’s UK and Ireland digital, mobile, social, advertising and local marketing, including managing the extensive media budget.

CHAMPAGNE Bollinger launches a limited edition special presentation box: ‘Bollinger 002 for 007’, celebrating the 50th anniversary of 007’s appearance on screen.

GUINNESS Black Lager launches, combining the refreshing taste of lager with the unique taste of Guinness

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The Year in Review for a completely unique lager taste sensation.

SEPTEMBER 28, 2012, is declared National Volunteer Day (V- Day) in Heineken Ireland, with all employees throughout the 32 counties embarking on a company-wide volunteerism initiative in support of the Simon Community.

THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending September 30, 2012, show that Aldi has posted market share growth of almost 30% – an all-time record for the retailer.

O C T O BER RETAIL representatives and grocery groups demand improved Government communication for consumers in the run-up to Budget 2013.

IN its pre-Budget submission, Retail Ireland urges the Minister for Finance, Michael Noonan TD, to consider the potential that the retail sector has to drive the economy forward and to take steps to advance the industry.

Londis Store of the Year

Customer Service Celebrated at Costcutter Awards Tom and Mary Liddy, owners of Costcutter Roslevan, Ennis, Co. Clare, are pictured receiving the Costcutter Supermarket Store of the Year and the Best in Outstanding Customer Service Awards from Jim Barry, MD, Barry Group.

to-date, with an additional €3m to be invested in branch revamps over the next three years.

THE Irish Times launches a new marketing campaign, which will run for a 3-6 month period and will also support a range of initiatives in the newspaper over that time period: ‘The Story Of Why’.

CENTRA Rochestown, Co. Cork, beats a host of international retailers to be named the Insight NACS International Convenience Retailer of the Year 2012.

CARTON Brothers from Shercock in Cavan scoop the National Q Mark award for ‘Best Hygiene and Food Safety Standards in the Country’, in the category of Meat, Poultry, Dairy & Fish.

ADM Londis unveil Phase II of their Centralised Chill Distribution programme at the Group’s National Retailer Conference in Killarney.

CORK based food entrepreneur, Úna’s Pies, is named Grand Champion at the Blas na hÉireann Awards for her Chicken, Leek and Cheese Pie.

SUPERVALU announces contracts worth in excess of €80m with 104 Irish suppliers for 2012 as part of the continued expansion of its own brand range.

DIAGEO announce details of a new Guinness multimedia advertising campaign that will run in both Great Britain and Ireland, entitled ‘Made Of More’.

THE Broadcasting Authority of Ireland rules that cheese will be exempt from their proposed new advertising rules, the Children’s Commercial Communications Code, and can continue to be advertised to children in broadcast media. The move is broadly welcomed, with Minister for Agriculture, Food and the Marine, Simon Coveney TD expressing delight that “common sense has prevailed”.

MOLSON Coors launches the second phase of its biggest ever all-Ireland marketing campaign for Carling: ‘Have The Next One On Us’.

MUSGRAVE Wholesale Partners officially open their new MarketPlace cash & carry outlet at a new site on Kilbarry Road, Co. Waterford. €2m has been invested in the new outlet, bringing Musgrave’s total investment in its MarketPlace network to €10m

THE 2012 Londis Annual Conference takes place Killarney, with the theme ‘Londis, The Next Chapter’. The Conference also sees the presentation of the Londis Store of the Year Awards.

Pictured receiving the Overall Londis Store of the Year Award from Stephen O’Riordan, CEO, Londis, are Maura and Ray Keating, owners of Keating’s Londis Plus, Cobh, Co. Cork. Also pictured are Leo Jones, Regional Development Manager for Londis, and event MC, Marty Whelan. Keatings Londis Plus Cobh were the proud recipient of three awards on the night, including the Londis Supermarket Store of the Year Awards.

TIPPERARY Water is announced as ‘Official Mineral Water’ to the Football Association of Ireland.

BULMERS Ltd awards a one-year rolling contract to Field Management Ireland Ltd (FMI), to manage sales and implementation for the Irish cider brand within the multiple grocery sector, creating 25 part-time jobs at FMI. THE new Tullamore Dew Visitor Centre opens in Tullamore.

CENTRA launches a limited edition pink milk carton in aid of Action Breast Cancer.

NEW Brennans Chia Wholegrain is a delicious low fat, wholegrain bread, with no added sugar and packed with Chia seeds.

FOLLÁIN wins the Love Irish Food Brand Elevator Award, in association with Independent Newspapers.

The company, based in rural West Cork, beat off competition from 66 other companies to win a €200,000 advertising campaign from Independent Newspapers.

THE Irish grocery market grows by 0.1%, the first increase recorded since the Easter boost in April, according to the latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending 28 October 2012.

N O V E M BER RETAILERS and drinks manufacturers react angrily to rumours that soft drinks could be hit with a new tax in the upcoming budget. The “Sugar Sweetened Drinks tax” is described as discriminatory and potentially having a negative affect on consumer sentiment and behaviour.

44|Retail News|December 2012|www.retailnews.ie

The Year in Review EMPLOYERS are accused of treating jobseekers to invasive character checks, according to Esther Lynch, legislation and legal affairs officer for the Irish Congress of Trade Unions.

CONSUMERS and businesses worried about whether a product they are considering purchasing complies with European and international safety requirements can now look it up in the new Global Recalls portal: globalrecalls.oecd.org/.

UNILEVER Ireland (Holdings) Ltd reports after-tax profits of €7.3m in its accounts for the year ended December 31, 2011. This compares to an after tax loss of €10.1m in 2010, representing a turnaround of over €17m, which includes the full year effect of the export sales business and the positive impact of exceptional items.

SPAR’s Christmas TV Campaign SPAR’s €800,000 Christmas campaign includes a brand new TV ad, ‘SPAR Delivering Christmas’.

The ad is a celebration of Christmas in Ireland and ties in with the SPAR slogan, ‘Under the Tree’ by featuring Christmas trees in obscure - and not so obscure - locations across Dublin, Cork, Carlow and Wicklow. Pictured are (l-r): Ronan Nulty, Publicis; Willie O’Byrne, Managing Director, BWG Foods; Suzanne Weldon, Marketing & Communications Director, BWG Foods; with directors Mike Ahern and Enda Loughman from DADDY.

TOM Durcan Meats, the award winning butchers in Cork’s English Market, secures a contract for €250,000 to exclusively supply SuperValu with its award winning Spiced Beef.

GORTA enters into a strategic partnership with Irish-owned company Glenisk. A dairy food processing facility in the Rift Valley in Keringet, Kenya, which is financially supported

by Gorta, will be at the centre of the partnership and will aim to create gainful employment and develop skills in the area.

XL Opens 200th Store XL opened its 200th store at The Glen in Cork City, marking a major milestone in the brand’s history.

Approximately €170,000 has been invested in the new site by owners Ciaran Lynch and Tony Cowhig, together with brand owners and operators BWG Foods. Pictured at the official opening are (l-r): Tony Cowhig, XL, The Glen; Willie O’Byrne, MD, BWG Foods; John Moane and Colm Fitzsimons, both from BWG Foods; and Ciaran Lynch, XL, The Glen.

GALA’s Annual Conference sees the progressive retail group sharing plans for a future where all stakeholders can work ‘Together Towards Tomorrow’ to achieve mutual success. In his keynote address, Gala CEO Gary Desmond imparts his belief in the strength of local retail stores and the part that local enterprise has to play in the recovery of the national economy.

D E C E M BER RETAILERS are starting to feel the pain from five austerity budgets.

“There’s nothing that you could say is specifically for retail,” remarks Vincent Jennings, CEO, Convenience Stores & Newsagents Association (CSNA).

IN a significant milestone for dairying in Ireland Glanbia Society and Glanbia plc approve a joint venture, which plans to invest €180m in new and enhanced milk processing facilities.

THE Food Store in Claremorris, County Mayo is named National Retail Store of the Year at the Retail Excellence Ireland Awards, in partnership with Barclaycard.

RETAIL Ireland publishes a new retail crime survey that showes that shoplifting, cash robberies and fraud are a major and increasing problem for Irish retailers.

EUROSPAR Kilkenny is shortlisted for this year’s coveted Kilkenny Chamber of Business Award in the Family Business and Retailer category.

MOY Park secures a deal with Tesco Ireland to launch three new products under the Jamie Oliver brand in the top 75 Tesco stores across Ireland.

Nestlé UK & Ireland is to double its commitment to Fairtrade from January 2013 by gaining certification of its twofinger Kit Kat. KEPAK announces the creation of 100 jobs as a result of on-going innovation, growth and investment at the company’s Consumer Food facility in Watergrasshill, Co. Cork.

THE latest supermarket share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending November 25, 2012, show that the grocery market has grown by 0.4% – the second month of sales growth in a row and the highest rate since January this year.

ALDI wins €150,000 in damages and its legal costs, following a settlement of its action against Tesco Ireland.

SMALL private companies will be able to apply directly to the Circuit Court to have an examiner appointed, in a move which will make it cheaper and easier for viable businesses to restructure their debts.

EIRCOM partners with Topaz to rollout eircom WiFiHub in 110 Topaz petrol stations across the country. The service allows people who call into an eircom WiFiHub-enabled Topaz petrol station to access the internet from their smartphones, tablets or laptops.

IBEC’s latest pay survey reveals that almost four out of ten (39%) employers expect to increase basic pay in 2013 and nearly six out of ten (58%) will freeze pay rates.

MORE than 86 jobs are saved after Musgrave Group buys two SuperValu stores that went into receivership in 2011. The two stores are located in Thomastown, Co. Kilkenny, and Poppyfield Retail Park, Clonmel, Co. Tipperary.

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Drinks News Jameson Sales Reach 4m Case Milestone JAMESON Irish Whiskey, produced by Irish Distillers Pernod Ricard, has achieved another significant landmark, with global sales having reached an annual level of four million cases.

This figure includes the sale of over one million cases in the United States alone, the single largest market for the Midleton distilled whiskey.

Jameson has now achieved 23 years of successive growth. “To have reached the 4 million cases milestone, which equates to over 1.3 billion glasses of Jameson consumed around the world last year, is a true reflection of the growing international success of Jameson, and the future potential of the company’s entire Irish Whiskey portfolio,” noted Anna Malmhake, CEO, Irish Distillers Pernod Ricard (pictured).

Moët & Chandon Snaps Up Tennis Ace

Coca-Cola Rewards Designated Drivers SAFETY-conscious Designated Drivers have something extra to smile about this Christmas with the news that more than 1,000 pubs, clubs, hotels and restaurants will be giving away free non-alcoholic beverages this festive season, courtesy of Coca-Cola. Model Sarah Morrissey is pictured taking control of the wheel at the launch of Coca-Cola’s Designated Driver campaign, with Noel Brett, CEO of the Road Safety Authority; Fionnuala Sheehan, CEO, Drinkaware.ie; Garda Aidan Reid, Chief Superintendent Garda Traffic;and Brian Maher - National Customer Manager, Licensed Trade, Coca-Cola. The award-winning road safety initiative offers safety-conscious Designated Drivers three free soft drinks, juices and bottled waters from the Coca-Cola range. The full list of participating premises is available at www.designateddriver.ie.

Superquinn’s Ultimate Festive Wines WITH over 350 wines on offer at Superquinn this Christmas, it can be hard for consumers to choose, so Superquinn’s Senior Wine Buyer, Richard Moriarty, has picked a few of his favourite wines that match perfectly with some of the nation’s favourite Christmas dishes for the Ultimate Christmas Wine Selection, with wine to the value of €151.94 on sale for €80. The Ultimate Christmas Wine Selection includes: Duvergey-Taboureau Chablis, Sancerre Blanc René Carroi, Chateauneuf du Pape Cellier des Princes, Chateau Sissan Grande Reserve Bordeaux, Superquinn’s exclusive Champagne Louis d’Or NV and Crémant De Loire Premier Cru Rosé.

Tullamore Dew Wins Top Award TULLAMORE Dew, one of the world’s fastest growing Irish whiskeys, has rounded off a fantastic 2012 by being awarded ‘Best Irish Whiskey of the Year’ at the third annual New York International Spirits Competition (NYISC) for the 10 Year Old Single Malt. This capped an extremely successful year in which it also opened the new Tullamore Dew Visitor Centre, introduced its distinctive new packaging and announced its intention to bring whiskey-making back to Tullamore for the first time in 60 years with the construction of a new distillery in the Midlands town.

MOËT & Chandon has announced 17-time Grand Slam champion and global icon Roger Federer as the House’s new brand ambassador. “It’s more than just an honour to be Moët & Chandon’s brand ambassador, it’s an invitation to be part of a very glamorous tradition,” enthused Roger Federer. “Moët & Chandon has always been the Champagne of international trendsetters and I’m proud to be part of a brand that is as dedicated to the pursuit of excellence as I have been throughout my career.” In his new role as brand ambassador, Federer will take centre stage in the House’s upcoming advertising campaign, certain to generate lots of buzz when it is revealed in March 2013. To celebrate a legendary partnership between two living legends, renowned photographer Patrick Demarchelier shot a series of pictures of Roger Federer for Moët & Chandon in Paris.

46|Retail News|December 2012|www.retailnews.ie

Shelf Life

BWG Foodservice, part of the Wholesale Division of BWG Foods, has been selected by St. James’ hospital in Dublin for the exclusive supply of food and non-food catering requirements. As part of the €2m per annum contract, BWG Foodservice will supply over 700 products across 10 categories which had previously been serviced as part of a multi-source arrangement, making it a new and unique arrangement in the Irish hospital system, John Moane, Managing Director of BWG Food’s Wholesale Division, said St. James’ and BWG Foodservice were pioneering an innovative new supply solution in the sector and the company’s ability to meet St. James’s single-source objectives, including compatibility and cost effective solutions, were the key factors in winning the contract. John Moane is pictured (left) with Vincent Callan General Support Services Manager from St. James’ Hospital.

CONNACHT Gold has acquired the Organic For Us brand from The Different Dairy Company.

The acquisition further strengthens Connacht Gold’s consumer food portfolio and follows on from the company’s acquisition of Donegal Creameries PLC’s milk business earlier this year.

“We are delighted to add yet another prestigious and quality brand to our award winning dairy portfolio,” said Eoghan Sweeney, General Manager of consumer foods at Connacht Gold.

TRULY Irish Country Foods are offering a 100% Irish, locally produced, DNA traceable Christmas ham this year, with purchases helping to support over 8,000 Irish jobs.

UNITED Biscuits have announced a host of new products for 2013. The McVitie’s go ahead! range will see the addition of a new go ahead! Chocolate Thins in a Forest Fruits variant, as well as a new strawberry flavour for go ahead! Crispy Fruit Slices.

McVitie’s is also adding more chocolate to its Milk and Dark Chocolate Digestive biscuit ranges, while February will see the addition of McVitie’s Double Chocolate Digestives. McVitie’s is continuing to invest in its highly successful Medley range in 2013 with exciting new products to drive distribution further still, such as a McVitie’s Medley Rocky Road variant. Finally, new McVitie’s Mini Pirate Crew and McVitie’s Mini Jungle Friends include biscuits shaped as a pirate crew and jungle animals which crack ’n’ snap into four mini individual characters.

LIDL has launched a brand new male fragrance in response to enormous public demand after the success of its female fragrance, Madame Glamour, last year. Retailing at €3.99 for 50ml, the new Lidl fragrance G.Bellini X-Bolt beat leading designer brands up to 10 times the price in a blind test by 108 people carried out in London in June. “We had the most incredible response to our female fragrance when we launched that last year so we knew we had to create something really special that would blow people away again,” notes Lidl spokesperson Aoife Clarke. “We’ve definitely achieved that with the X-Bolt.”

CLONAKILTY Blackpudding Co. has enjoyed a hugely successful product roll-out in the UK throughout 2012. A leading producer of black and white pudding in Ireland, the Cork company now supplies over 600 stores across the UK, including household retail names such as Budgens, NISA, ASDA, Harrods and Fortnum & Mason, as well as a wide range of butchers, farm shops and independent stores. A selection of the Clonakilty product range is supplied to these stores, including Clonakilty Black Pudding, Clonakilty White Pudding and Clonakilty Sausages This expansion includes a recently secured supplier agreement with Tesco, resulting in the Clonakilty black pudding product now available across 340 stores in England and Wales. Pictured at a celebratory lunch event in London was Colette Twomey, Managing Director, Clonakilty Blackpudding Company, and Aidan Cotter, CEO, Bord Bia. PICTURED at the launch of the Knorr Student Chef of the Year 2013 at IT Tralee are members of the Judging panel: TJ O’Connor, chef lecturer, IT Tralee; Martin Shanahan, chef proprietor of Fishy Fishy, Kinsale, Cork; and Mark McCarthy, Business Development Chef, Unilever Food Solutions. The 16th annual Knorr Student Chef of the Year 2013 competition will see some of the country’s most talented student chefs from catering colleges in the Republic of Ireland – and for the first time in Northern Ireland – go head-tohead as they battle it out for the coveted title of Knorr Student Chef of the Year. The top prize includes a fabulous trip to Girona in Spain, where the lucky winner will dine in style at the three Michelin-starred El Cellar de Can Roca in Girona, recently voted the second best restaurant in the world.

ARIEL, the Procter & Gamble-owned laundry brand, is undertaking a major overhaul of its UK and Ireland marketing strategy. Recognising the shift in the modern consumer’s expectations of new brand campaigns, the new My Ariel campaign is aimed at increasing its relevance to modern audiences and building an emotional connection. This marks the departure from the historic demoled, proof of performance campaigns, to a shift of focus using storytelling to emotionally engage audiences and concentrating more on the role that clothes and specific garments play in relationships. Marrying traditional and digital platforms for the first time in the brand’s history, it will be supported

by TV, digital, print and PR activity, as well as the launch of two dedicated social media platforms – a new You Tube channel and Facebook group.

The charm of the Burlington lives on - it’s simply refreshed daily Deep-rooted tradition with a cosmopolitan twist, The Burlington Hotel is Dublin’s premier 4 Star Hotel located in the heart of the city.

Boasting 500 luxury bedrooms and 24 meeting rooms including a grand ballroom, the hotel is a long-standing favourite of times past and present.

The hotel’s bars and restaurants are a buzzing hive of activity by night where

Bellini’s bar adds a hint of panache to an evening where guests can sip a cocktail in a low-lit ambience, amidst the busy chatter of local clientele.

Ample car parking and immediate proximity to Dublin’s City centre, Bus, Aircoach and DART lines mean that guests can enjoy the hotel as an ideal base from which to explore the city and its surrounds.

The Burlington, Upper Leeson Street, Dublin 4, Ireland.

T: +353 (1) 618 5600.

F: +353 (1) 618 5693.

E: reservations@burlingtonhotel.ie W: www.burlingtonhotel.ie

â‚Ź750k

Marketing Support including TV, outdoor, PR events, radio, press, digital and POS

30% of total

Egg sales r C Cr Creme are sold in January*

Stock, Display, Sell! *Source: Ac Nielsen Easter Review 2012.

Promotion Terms & Conditions apply, see www.cadbury.ie/nogoo for more details.

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