C&I Retailing Magazine December 2022-January 2023

Editor’s Note

elcome to the December/January issue of Convenience & Impulse Retailing magazine. Reflecting on the past year in the petrol and convenience industry, there have been highs and lows, as our supply chains remain impacted, staff shortages remain a real problem, and fuel prices continue to climb. But on the flip side, it’s been wonderful to see our Aussie retailers thriving on a global scale, with not one, but two stores being recognised at the NACS Asia Pacific awards this year.

In these pages, we take a visit to APCO Wangaratta, which picked up an assortment of awards in 2022 –NACS Asia Pacific Convenience Retailer of the Year, AACS Store of the Year, and AACS Independent Store of the Year. These awards are testament to the fact that Australian P&C retailers are redefining what makes a successful store model and are putting emphasis on having a ‘sexy’ store layout and a high quality food and coffee offering – setting themselves up for the next five, 10, 20 years of success.

Speaking of having a quality food offering, in this issue Darren Park discusses the recent UCB Stores USA Study Tour, which visited almost 50 convenience stores and came back with a wealth of ideas that Aussie retailers could consider within their stores.

We also have category features on carbonated beverages, healthy snacks, and energy drinks, along with a special feature that talks about sustainability in the supply chain, which is a hot topic at the moment. Also look out for our special international feature which looks at the high incidence of fuel drive offs in the UK.

As the year draws to a close, I’d like to take a moment to thank the team at C&I who have worked so hard to bring these pages to life this year. A huge thanks goes to Safa de Valois, Thomas Oakley-Newell, James Wells, Rachel White, Alyssa Coundouris, and Rosie de Valois.

I’d also like to thank our advertising partners who have supported us throughout the year along with all our wonderful contributors – particularly Theo Foukkare, Darren Park, Dan Armes, and Skye Jackson for the valuable industry insights you have all shared with us throughout the year. We truly appreciate your support and can’t wait to work with you again in 2023.

From all of us here at C&I, we wish you a very Merry Christmas and all the good health and prosperity into the new year.

Until next time, Deb Jackson

Safa de Valois

Keith Berg James Wells

Thomas Oakley-Newell

Lay’s exclusive to The Distributors

The world’s number one potato chip brand, Lay’s, is now available exclusively through The Distributors Group (TDG).

TDG has partnered with PepsiCo to become the exclusive import partner for Lay's potato chips, which are a fantastic and unique product with three core range flavours set to launch in Australia, including Barbecue, Sour Cream & Onion, and Original.

Lay’s are currently ranged in several national accounts including NewsLink and EG Australia. Please contact your local TDG partner for more details or call 1800 989 022.

Lo Bros tackles ocean waste

Lo Bros has launched Not Soda, a new impact-led range with a mission to clean up two million plastic bottles from the ocean by 2025.

Independent retailers Drakes and Ritchies have got behind the effort, with Not Soda to be sold in up to 130 of the two retailers’ stores across the country.

Not Soda is a fizzy, zero-sugar, naturally sweetened soda that comes in four flavours – Raspberry, Lemon, Orange, and Pink Grapefruit.

For every can of Not Soda sold, Lo Bros will fund the removal of the equivalent weight of two plastic soft drink bottles from marine environments through a partnership with Seven Clear Seas.

Musashi Protein Cookie packed full of choc chunks

Musashi is a highly trusted sports nutrition brand that was established in 1987 and named after the famous Japanese philosopher and swordsman, Miyamoto Musashi.

More than 30 years on, the Musashi brand remains renowned for offering a full spectrum of sport nutrition solutions, sourced from the highest quality ingredients.

This includes the Musashi Protein Cookie, which is loaded with 15g of high quality protein, low in sugar, filled with delicious choc chunks and has a ‘melt in your mouth’ soft bake texture, guaranteed to fulfil that sweet craving. Great for your protein hit postworkout, or as an easy snack on the go.

For more information visit vitaco.com.au.

Snackinar Beef Strips available in new Chilli Flavour

Snackinar Beef Strips are the ideal convenience food for people who are carnivores and enjoy red meat as part of a balanced diet.

With a new improved recipe, and a new Chilli Flavour, Snackinar is a class leader when it comes to taste while also having incredible nutritional value with 14 essential nutrients and no seed oils. Importantly, Snackinar is naturally high in Haem Iron to easily combat iron deficiency, which is a growing problem in Australia.

This natural convenience food is designed to sit in the health food aisle and prices have recently dropped due to higher production runs.

For more information visit snackinar.com.

The Intermedia Group takes its Corporate and Social Responsibilities seriously and is committed to reducing its impact on the environment. We continuously strive to improve our environmental performance and to initiate additional CSR based projects and activities.

As part of our company policy we ensure that the products and services used in the manufacture of this magazine are sourced from environmentally responsible suppliers. This magazine has been printed on paper produced from sustainably sourced wood and pulp fibre and is accredited under PEFC chain of custody. PEFC certified wood and paper products come from environmentally appropriate, socially beneficial and economically viable management of forests.

The wrapping used in the delivery process of this magazine is 100% biodegradable.

DISCLAIMER

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The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement.

The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information.

All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded save for those conditions and warranties which must be implied under the laws of any State of Australia or the provisions of Division 2 of Part V of the Trade Practices Act 1974 and any statutory modification or re-enactment thereof. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2022 - C&I Media Pty Ltd.

BUILDING SUCCESS

Iwas born in Melbourne in the inner suburb of Carlton but spent most of my younger years living in rural Victoria with my single mother and three siblings.

I was in the middle with one older brother and one older sister, and a younger sister. We were very close growing up, as we lived in rural areas, on large farms with cattle, sheep, pigs, and lots of horses. It was a great environment to grow up in and we entertained ourselves and had adventures constantly. It made us highly independent – a trait that would be in my favour in later years.

When I was about 11, we moved back to Melbourne, so it was quite a shock to come from the country where I had to walk two to three miles to catch the school bus, to being in Melbourne’s suburbs.

My love of horses never waned – I started riding from about the age of five and by 12 I had my first horse. Riding was my everything, I trained six days a week and competed in showing and dressage mostly, along with some jumping – I had wanted to become an Olympian rider.

Growing up, school bored me, but I loved sports, so I competed in swimming, diving, track and field. I was one of those kids that excelled in most sports, so I was always in demand in team

sports. As I got older in school I wanted to contribute more, so I became School SRC Head, School Sports Captain, and took on as many leadership roles as I could.

My first job was as a retail assistant in Target. I lied about my age to get the job, at the time I was only 13, but being from a single parent family I wanted to contribute, so I worked there throughout my school years. Working from such a young age it taught me to become mature, responsible, and to appreciate hard work and the rewards hard work can provide.

When I was 22, I took my first overseas trip to Italy. The trip was for work, so I lived and worked in Southern Italy, in the Provence of Rimini for more than a year as a Marketing Assistant to an Italian global fashion jewellery house – it was quite the experience. Since then, over the years, most of my travel has been for pleasure, around Australia and to New Zealand and the South Pacific, but trust me, having horses doesn’t allow me to leave home much.

These days I love working as the National Sales Manager for Halo Food Co, an Australian ASX-listed company that has been the number one health and wellness contract manufacturer in Australia for more than 20 years. I’ve been with Halo since last April, I manage our Brands Division, which includes Tonik, our own protein brand, and The Healthy Mummy, an Australian company we acquired last February.

Lisa Schilling-Thomson is the National Sales Manager for Halo Food Co. She is passionate about taking Aussie brands to new heights. She is also a mother of two and once dreamt of becoming an Olympic horse rider. This is her story...

Above: Lisa Schilling-Thomson with Benji the dog and Monty the horse

My FMCG career started at Ferrero Australia, and I spent 10 years working with some of the most iconic brands in the world, Rocher, Kinder, Tic Tac and Nutella. Working those years with Ferrero taught me so much from account management, manufacturing, supply chain, marketing, brand management, customer service, trade marketing, and category management –all the skills and strengths I would use throughout my career.

From Ferrero, I had a stint as the National Business Development Manager with TDG, but soon realised I loved working with brands, so I moved into the sports and diet category when I joined Crankt Protein as the Sales Director in 2016. Crankt was one of the very first Australian protein start-up companies, and it was my first experience taking a new brand to market. Today, Crankt is still a very much-loved Australian brand.

I then went on to work with Vitaco Australia, working with the Musashi and Aussie Bodies brands. I also had a time with Healthier-Tastier Foods, where I developed a new brand called Coco Pet, a range of dog and cat MCT supplement oils.

Then out of the blue one day, Danny Rotman, who recently resigned as CEO of Halo, called, and asked what I was up to, which led me to my current role.

Over almost 20 years I have worked across all channels, from grocery, independents, petrol and convenience, route, foodservice, specialty, and health. I don’t think there’s many FMCG specialists that do all channels, I fortunately can.

A career highlight that comes to mind is winning two of the Account Manager of the Year Awards with JB Metro while I was with Ferrero. The JB team are the best distributors and sales team in this country, as well all The Distributors Group members.

One of my best career highlights was when I got a Crankt Bar onto all international and domestic Jetstar inflight menus, the first protein bar to be on one. I got onto a Jetstar flight one morning, and halfway through the flight looked down the aisle, and saw at least 10 to 15 people eating one of our bars – it was a very proud moment.

What’s your advice for retailers?

I’d really love to see most retailers supporting many more Australian-owned and made brands and products in their stores. If we have learned nothing else from Covid, we should have learned that manufacturing and industry in our own country is essential, having to rely on imported products from other countries is not the position we want to be in.

What’s your advice for suppliers?

Ageism is a real thing in FMCG, particularly for women, I’ve experienced it, and many other women I know have as well. It’s fine to employ university graduates for two years, then off they go to their next role, but there’s real lifelong skills and experience in older employees, experience you can’t learn from a book or a class. You get experience, depth, maturity, and reliability from older employees, so don’t ignore them.

My passion is working with Australian companies that manufacture their own products – new and exciting brands –and taking them to market. So right now, I’m living my best career highlight, working with two amazing Australian brands, and taking them both to the Australian people.

Most of my spare time is spent with my daughter who is a rider with her own horse now, and training thoroughbred horses. For more than 25 years, I’ve rehabilitated, retrained and re-homed ex-racehorses off the track, another passion of mine. If I have any other spare time, it’s usually spent with my family, or trying to get to the gym.

We are a lively bunch, I have a 20-year-old son who’s almost finished his plumbing apprenticeship, a feisty 12-year-old daughter about to go into year seven, and we have three horses, two dogs, and a cat.

Looking to the future, I’d like to see Tonik as being the leading protein brand in Australia, Healthy Mummy the leading women’s supplement company in Australia, and I’d like to be sitting down having a lovely, chilled glass of Aussie Sauvignon Blanc and feeling proud of my achievements.

I’d also love to be in the position to lead and mentor women in FMCG. C&I

I’d really love to see most retailers supporting many more Australianowned and made brands and products in their stores.”

– Lisa Schilling-Thomson

Lisa, her husband Scott and daughter Lana getting into the Christmas spirit with their cat Lizzy and toy poodle Jessie

Lisa’s passion, Tonik, an all-Australian protein brand

WORLD FAMOUS,

FOCUSED

Despite picking up an assortment of awards in 2022 – NACS Asia Pacific Convenience Retailer of the Year, AACS Store of the Year, and AACS Independent Store of the Year – APCO Wangaratta has not lost sight of what makes it so successful.

“We try and offer that great customer service every time a person comes in. It’s an experience. Our vibe and ambience for a service station with a café is very loud. It’s not like a normal, everyday service station. It has a really good vibe about it,” explains Brett Anderson, Owner of APCO Wangaratta.

It’s this dedication to providing quality customer service that sees not only the usual road trippers travelling from Sydney or Melbourne pull in, but a steady stream of locals who know they can grab whatever essentials they need while chatting to a friendly face behind the counter.

“I would say 70 per cent of our customers are local. Our local customers are amazing. We still serve every customer face to face, and I think that helps a lot. We have a lot of elderly people

come in and sit at the café and they can have a chat and we’ll wait the tables for them.”

Such is the popularity of the store; Anderson says they now have customers calling to book a table at the café so they can sit and have a coffee and a cake.

“It’s become a meeting point for a lot of people. The locals really supported us during our renovations two years ago, then during Covid, then when we won the awards; they really embraced us.”

The renovations in 2020 included the addition of an IGA X-press, expanding their offer to give customers access to an extensive range of fresh produce at competitive grocery prices 24/7.

“For us, we just want to be a one-stop store for everyone in Wangaratta. They’re not going to come here to do their $100 shop, but they’ll come here for a $30 shop and have their coffee and cake and grab their meat to make their dinner. It’s just about the convenience of having everything in the one place.”

Brett and Karen Anderson, Owners, APCO Wangaratta

FRESH IS BEST

Operating 24 hours a day, seven days a week, Anderson understands the importance of always having fresh food ready to go. Whether it be a family travelling on holiday from Sydney to Melbourne, or a local tradie coming late at night to grab dinner, there will always be something available.

“You can come off the highway at any time of the night and it’s all good. All our fridges are always full. You won’t come in and just find little scraps of shopping left over. There’s also always someone in the kitchen, 24 hours a day, so you can come in at any time and we’ll make you whatever you want. If you’re travelling down the highway at four in the morning and want a hamburger, someone here will cook it for you.”

It’s not just the midnight snacks though, APCO Wangaratta and its Café 24/7 offer has something for any time of the day, covering breakfast, lunch, dinner, and snacking, both on-the-go and ready-to-eat.

“We try and cater for every meal of the day, so people can walk around our fridges and grab whatever they need to last them for the day. You’ve got your Bircher muesli with yoghurt for breakfast, fresh salads, and sandwiches for lunch, then you could sit in and have a roast or parmigiana for dinner. If you bought a steak at the IGA, you could come in and we’d cook it for you.”

Anderson believes that between Sydney and Melbourne there’s nothing like APCO Wangaratta, with its clean toilets, fresh foods, car wash, and comfortable seating, the store doesn’t do gimmicks, just the essentials very well.

“I guess we’re not Instagram friendly. We’re not a place where you come and spend $50 on breakfast and take a photo, but we’ll do the same breakfast for $20. When locals come in here the baristas know who they are and what they want.”

A WINNING MENTALITY

Despite Anderson’s humbleness, the achievement of winning not only the AACS awards, but the NACS Asia Pacific Convenience Retailer of the Year award, is not lost on him.

“For a small town like Wangaratta to win that award is pretty incredible. A store between Melbourne and Sydney to pick up such a large international award is very impressive. It’s exciting for both Wangaratta and us.”

The locals, former and present, were quick to offer their congratulations to Anderson and the team for the impressive feat.

“In those first couple of weeks after winning the award, the amount of people who came in to have a look around the store was incredible. We’ve had people from Western Australia, Northern Territory, Tamworth, people who used to live in Wangaratta, call up because they heard the news on the radio or TV to congratulate us and just say it’s so nice to hear Wangaratta mentioned so far from home.”

Robert Anderson, APCO Service Station Director, said he was extremely proud of all the team, both at the support office and APCO Wangaratta to achieve this acknowledgement and amazing award recognition.

“I’m extremely proud. It is a testament to the collective effort of everyone to share a vision and then bring this to life, and importantly this is a well-deserved award for Brett and Karen Anderson, our retail partners that pride themselves and are passionate on providing an incredible customer experience.” C&I

I would say 70 per cent of our customers are local. Our local customers are amazing. We still serve every customer face to face, and I think that helps a lot.”

– Brett Anderson, Owner, APCO Wangaratta

Customers can book a table at the Café

Fresh food is available 24/7

Barista made coffee is available every day

Featuring a wide range of freshly baked pies and pastries

For further information, please contact Tru Blu Beverages on (02) 9912 6700, or visit the website trublubeverages.com.au

T he perfect sum m er drink!

THINKING GREEN: SUSTAINABILITY IN THE SUPPLY CHAIN

However you approach it, tackling sustainability along complex supply chains that cross borders, intersect time zones and navigate a multitude of un-aligned priorities is no small task, writes Rachel White

Given the increasing international attention on sustainability over the past few years, businesses are now actively looking for ways to improve their environmental credentials, including the performance of their end-to-end supply chains.

Many have ambitious sustainability targets, with the ultimate goal of achieving net zero emissions in the long term, but it’s not always easy to control or indeed measure outcomes for FMCG companies with established operations and complicated networks.

Among other factors, a key driver for change is a shift in consumer habits as the public increasingly favours sustainable products and services, demanding environmental action with their wallets.

CONSCIOUS COMMERCE

“Consumers are absolutely concerned about the environment, and we see accelerating demand for action on climate change. There is an expectation that brands, and companies are part of the solution,” says Amanda Robertson, Head of Sustainability, Nestlé Oceania.

Brent Gapes, National Sustainability Manager at PepsiCo ANZ agrees, saying that in relation to sustainability, consumers are demanding locally produced products with lower carbon miles.

“We’ve seen a renewed focus on local relevance, purpose and sustainability. Local relevance is increasingly an important metric that consumers seek out,” he says.

These sentiments align with recent research released by commerce platform Shopify in its Future of Commerce trend report, which found a radical change in consumer behaviour globally.

More than ever, people are seeking out products from brands that resonate with them because of geography, company values or sustainability, with 77 per cent of respondents saying they’re concerned about the environmental impact of the products they buy.

“Conscious commerce is growing on a mass scale and plays a significant role in the purchasing decision of today’s consumer,” says Shaun Broughton, APAC Managing Director at Shopify.

Therefore, it is imperative that businesses clearly show consumers strong sustainability goals and achievements that align with widespread consumer values to succeed in the marketplace going forward.

Lisa Rippon-Lee, Vice President, Public Affairs, Communications & Sustainability, Australia, at Coca-Cola Europacific Partners (CCEP), says more than just passively choosing sustainable

products, consumers are now mobilised and prepared to take positive action to do their part to promote sustainability.

“We know consumers are highly motivated to redeem their 10c deposits, in a way [that] they aren’t through mixed-waste recycling bins at home. In locations where the Container Deposit Scheme (CDS) operates, plastic returned via collection depots makes up 80 per cent of all plastic returned for recycling, compared to just 20 per cent through kerbside recycling bins,” she says.

So, it’s important to consumers, but how can large multinational companies like Nestlé, PepsiCo and CCEP ensure sustainability in the supply chain when they have complex relationships with multiple suppliers?

COLLABORATION IS KEY

Many corporations report that their supply chains create more emissions than the processing and manufacturing side of the business, making it hard to guarantee end-to-end sustainability outcomes. This is the case at CCEP, according to Rippon-Lee.

“Our suppliers are responsible for over 90 per cent of our value chain greenhouse gas (GHG) emissions, and we will not meet our own GHG emission reduction targets unless we work in partnership with them,” she says.

By way of an example, she points to a collaborative recycling plant in Albury-Wodonga, a joint venture partnership between Pact Group, Cleanaway Waste Management Ltd, Asahi Beverages and CCEP.

The $45 million plant is “a world-class facility…helping to build a domestic circular economy, increasing the amount of locally sourced and recycled PET in Australia by twothirds, from around 30,000 tonnes to more than 50,000 tonnes per annum.

“Contributing to closing the loop on PET recycling, the site will recycle 30,000 tonnes of PET each year, converting it to raw material that can be used to produce new beverage bottles plus other food and beverage packaging in Australia,” she says.

Along a similar vein, Robertson says the same of Nestlé: “Only five per cent of our GHG emissions globally come from sources within our direct operations. We must collaborate with our suppliers, customers, industry associates and consumers to develop solutions to the challenges of climate change,” she says.

“For Nestlé to achieve our ambitious sustainability goals we need to understand the impact of every part of our value chain. This includes parts we control, such as factories, warehouses, and packaging choices, and parts we only influence like the farmers who supply our ingredients.

The whole company is on a journey as we work with our suppliers, customers, industry associations, and sometimes government to reduce our impact on the planet. We know that we can’t do this alone. When it comes to tackling big sustainability challenges, collaboration is key.”

– Amanda Robertson, Head of Sustainability, Nestlé Oceania

Nestlé’s Global Reforestation Program is part of its plan to scale up regenerative agriculture and deploy natural climate solutions to absorb greenhouse gases, contributing to its net zero target by 2050

We believe that business success and sustainability go hand-in-hand, and we aim to grow our business in a way that manages our social and environmental impacts responsibly and makes our people, our customers and other stakeholders proud.”

– Lisa Rippon-Lee, Vice President, Public Affairs, Communications & Sustainability, Australia, at Coca-Cola Europacific Partners

“The whole company is on a journey as we work with our suppliers, customers, industry associations, and sometimes government to reduce our impact on the planet,” says Robertson. “We know that we can’t do this alone. When it comes to tackling big sustainability challenges, collaboration is key.

“A great example of this is Nestlé’s approach to packaging. Each piece of packaging is being reviewed to ensure it is ‘fit for purpose’ and can be recycled. Nestlé’s Institute of Packaging Science is supporting this effort with 50 packaging experts dedicated to developing the next generation of sustainable packaging materials and developing refillable or reusable packaging systems,” she says.

While collaboration is vital, it also brings with it challenges says Gapes: “Inconsistencies in approaches to sustainability can be challenging and the progress across individual sustainability journeys can be quite varied, not everyone is at the same stage or level.”

IT’S AN ONGOING JOURNEY

While much progress has already been made, there’s no disputing on a local, regional, national, and global level, there’s still a lot to be done to ensure sustainable practices are implemented and maintained for generations to come.

“We are on a journey, and part of this involves learning. With our 2025 commitments, it is clear what needs to be done and so these actions are supported with a detailed set of projects and actions, to achieve these commitments,” says Robertson.

“Longer term goals are still having plans developed against them,” she says of Nestlé’s three phase Net Zero Roadmap with the ultimate long term goal being net zero emissions by 2050.

CCEP is also committed long term, especially to sustainability goals revolving around establishing a circular economy, water stewardship and transitioning to 100 per cent renewable energy consumption by 2025. CCEP’s ultimate goal is net zero emissions by 2040, 10 years ahead of most other corporations.

“We believe that business success and sustainability go hand-in-hand, and we aim to grow our business in a way that manages our social and environmental impacts responsibly and makes our people, our customers and other stakeholders proud,” she says.

A noble idea that’s hard to attain in reality, sustainability in the supply chain is far from guaranteed, even with the sincerest efforts and the best frameworks in place. As consumer spending habits change and shipping and logistics become more expensive post-pandemic, the only constant in commerce is change. C&I

Rippon-Lee says

Nestlé has committed to planting 10 million trees in Australia by 2025

BUBBLING OVER

Despite the rise of a host of new drink segments, carbonated beverages has held its own as one of the most pivotal products in a convenience retailer’s fridge.

Once the king of the cooler, carbonated beverages must now compete with the likes of functional beverages, energy drinks, iced tea, water, sports drinks, and milks.

While this competition has no doubt had an impact on market share, the continual growth of carbonated beverages within independent grocery and P&C is impressive.

Carbonated soft drinks are the second largest category in the convenience channel, making up approximately one-fifth (20.6 per cent) of sales and delivering $282 million in retail sales in the last year*.

Felicity Needham, Vice President of Sales Away From Home, Coca-Cola Europacific Partners (CCEP) Australia, said that the independent grocery and convenience channels are core channels for soft drinks at CCEP.

“At CCEP, our strategic focus for the petrol and convenience channel for 2022 has centred on accelerating growth within the energy, flavours, and no sugar segments, and we have seen great results across each of these as a result.

“Cola-Cola Classic continues to be the number one soft drinks brand within the petrol and convenience channel, while Coca-Cola No Sugar is the largest no sugar total carbonated soft drinks brand (including colas and flavoured CSDs)*.”

For Asahi Lifestyle Beverages (ALB), the P&C and independent grocery channels are incredibly important to the company’s ongoing success.

“P&C delivers almost 20 per cent of the volume in the on-thego channel, playing a key role in getting our iconic Australian brands to as many consumers as possible.”

Ben Faulkhead, Category Manager at APCO, said they have observed strong growth in carbonated beverage sales in the YTD, with double-digit growth in units on prior years.

“While we are seeing good growth across full sugar options in the segment, the strongest performers in the sub segment are particularly around low or no sugar varieties with Pepsi Max, up over 30 per cent, and Coke No Sugar, up over 20 per cent, all increasing significantly in unit share.”

Michael Pillon, CEO and co-owner, Famous Soda Co, said that P&C and independent grocery are equally important to the business as they would like all Australians to have access to their sugar free, all natural, better-for-you alternatives.

Stiff competition in the P&C fridge means the carbonated beverages category must fight harder than ever before to maintain its crown as the dominant drink, writes Thomas Oakley-Newell.

“Our Famous Pink Lemonade is our best seller, followed closely by Passionfruit and Blood Orange. And we think our new to be launched Tangerine will be up there with these three.”

Needham is also pleased at how CCEP’s flavoured soft drink brands are performing within the P&C channel, being up 9.9 per cent in the latest MAT*.

“Sprite continues to be the number one flavoured soft drink brand (in value) within the P&C channel, with Sprite No Sugar delivering strong growth in particular. Fanta has also experienced accelerated growth over the past year, making it the number one contributor to the value growth in flavoured soft drinks in the last year.”

CHANGING TASTES

The increased consumer demand for a carbonated yet low-sugar or no-sugar beverage has seen companies respond in kind, with Asahi Lifestyle Beverages (ALB) stating that the no-sugar market in Australia is booming.

“We’ve been early movers in providing more options for consumers in that space. Asahi Lifestyle Beverages is leading the way in providing zero-sugar alternatives to some of the most popular brands in our range, including Pepsi Max, Solo, Sunkist, Mountain Dew, and Schweppes.

“We provide a range of no-sugar, reduced-sugar, and regular sugar products to meet the wide range of consumer preferences.”

ALB has more than one-third of the market for non-cola nosugar CSDs, driven by the growth of zero-sugar versions of classics such as Schweppes Lemonade Zero and Solo Zero.

“Non-cola no-sugar has grown by 86.5 per cent in value in the latest quarter period to 23/10/2022, against the same period last year.

“Cola no-sugar now comprises over half the total value of the cola market. This has been driven by the ongoing success of products such as Pepsi Max and the ever-evolving Pepsi Max Flavours portfolio. Pepsi Max has grown by 19.2 per cent in value in the latest quarter period (to 23/10/2022) against the same period last year. Its continued success will be driven via a strong innovation pipeline with regular flavour rotations that recruit new consumers to the cola category.”

Needham has identified that reducing sugar intake remains a top three priority for shoppers who are looking to improve their diet.

“Half of all shoppers are claiming to be actively reducing their sugar intake and while sugar content is a concern to soft drink buyers (37 per cent), taste is still the most important factor (67 per cent) when making a purchase**.

“Off the back of this trend, we see consumers continuing to turn to no sugar options within the total carbonated soft drinks category. In the cola segment, no sugar has continued to grow year-on-year and now makes up 42 per cent of total cola value within the P&C channel. In flavoured soft drinks, no sugar is up by 72 per cent compared to last year, gaining an additional 4.4pts of value share*.”

At CCEP, our strategic focus for the petrol and convenience channel for 2022 has centred on accelerating growth within the energy, flavours, and no sugar segments, and we have seen great results across each of these as a result.”

– Felicity Needham, Vice President of Sales Away From Home, Coca-Cola Europacific Partners (CCEP) Australia

Pillon has also noticed the trend of consumers looking for a healthier alternative, which is great for their range, which is entirely sugar-free and 100 per cent natural.

“We have seen the better-for-you space starting to pick up momentum, and in some channels, it is becoming the norm rather than the exception, which we are delighted about.”

Faulkhead said that with APCO being a business that is very customer centric, they believe it is important to put the customer front of mind when making ranging decisions within the category.

“We want to understand what a customer is wanting when they are looking to purchase a carbonated beverage. Is it fulfilling a need such as a morning pick me up, a great combination with a food offer, or a sweet flavour profile without the full sugar intake.”

A DRINK WITH PURPOSE

While the move to reduced sugar has been the biggest change Faulkhead has recognised within the market, he said they are also seeing shifts among other sectors of the carbonated beverage category.

“We are also seeing strong results across traditional flavour variants such as Raspberry, Ginger Beer, and Passionfruit. We have also started to see that younger consumers are being driven to trial brands, flavours, and products that haven’t traditionally been available within the Australian market.”

ALB has also recognised the prevalence of consumer’s desires for functional drinks.

We want to understand what a customer is wanting when they are looking to purchase a carbonated beverage. Is it fulfilling a need such as a morning pick me up, a great combination with a food offer, or a sweet flavour profile without the full sugar intake.”

–

“In the P&C channel, energy drinks solve consumers’ need for a pickup, and continue to experience significant growth (mainly though no-sugar offerings). We expect to see more products enter this category, offering a variety of different functional benefits. These functional benefits include proactive health (e.g., gut health, immunity, and clean energy) which will help drive further growth in the category over the coming years.”

Needham said CCEP is also leaning into the functional market with the release of the company’s biggest innovation of the year.

“Sprite Lemon+ and Sprite Lemon+ No Sugar, which offers consumers an extra hit of zesty lemon flavour, sharp fizz, and a kick of caffeine to refresh their minds when they need it most. Consumers are increasingly seeking out beverages with functional ingredients and this product – with its added caffeine – is designed to appeal to those looking for an energy uplift.”

FRIDGE SPACE

ALB points out that beverages are the third highest shopper mission with the P&C channel and play a key role in driving traffic to stores.

“In the petrol channel, 24 per cent of shoppers’ missions are fuel focused, which presents an opportunity to influence behaviour. Increasing the location of beverages in-store (for example, fast lane fridges where chilled beverages are placed outside the cool room) presents cross-category opportunities that increase basket size and drive average spend.”

Needham said it was crucial for retailers to ensure that soft drinks are allocated sufficient space with the fridges.

“Support shoppers to navigate through the soft drink offer through brand blocking and drive impulsivity at all points of engagement.

“It’s crucial to plan ahead with the field teams to maximise the activation opportunity at key times through the year.”

One of the biggest opportunities for soft drinks within P&C, says Needham, is to maximise events and activations to drive beverage conversion when shoppers are in-store.

“There is also an opportunity to continue to engage shoppers by increasing choice of offers, including providing a range of permissible products and drive excitement through innovation.” C&I

* IRI AU Convenience Scan, value, MAT To 23.10.22

**CSIRO Research Scientist Brad Ridoutt, The Conversation Feb 2022 | Mintel GNPS Australia 20-22, CBL Australia 2019, Mintel GNP

Ben Faulkhead, Category Manager, APCO

Scan

Scan

THE HEALTH HIT

Healthy snacking is a trend that continues to grow in Australia, as consumers become more aware of what is beneficial in a product and what to avoid, they are actively seeking out products that won’t just tide them over until mealtime but will provide nourishment and sustenance.

This expectation that a snack needs to provide consumers with health benefits has led a change in the way brands sell their products, as it is no longer good enough to simply just be tasty, they must also provide nutritional value.

Data from the AACS State of Industry Half Year Report 2022 showed that the snackfoods category maintained its strong momentum of the past two years, backing up 14.3 per cent growth in 2021 with growth of 3.4 per cent in the first half of 2022.

The petrol and convenience (P&C) channel has always been a strong avenue for the sale of snacks, and now as consumers are becoming more health-conscious, the channel must continue to update its retail offer to include these in-demand products.

One brand reaping the benefits of the increasingly health-conscious population is Snackinar, which produces dried meat snacks. Michael Hearne, Founder of Snackinar, believes Australians are increasingly on the lookout for healthy meat-based products.

“Some of the best market research that can be done to understand emerging trends simply comes down to looking at what everyone is Googling. For the past 12 months, Google search data shows Australians have been more interested in a meat-eating diet (carnivore diet) than a vegan diet. Five years ago, interest in the vegan diet was much higher than carnivore.”

Hearne believes that retailers are still behind the eight ball when it comes to stocking natural food products that align with the carnivore diet.

“Thus, we see great opportunities for our newly upgraded Beef Strips, which perfectly align with the carnivore diet. Along with being minimally processed, it’s important to note our products are free from the seed oils and other questionable ingredients our competitors use to make cheap imitations of our products.”

Although Hearne said that convincing retailers to stock a health food product made from real natural meat has proved difficult.

“However, as more consumers demand natural convenience food that’s minimally processed without seed oils, sugars, and other questionable ingredients, it seems inevitable convenience, grocery, and health food retailers and distributors will carry Snackinar products.”

As Australians become increasingly curious of what they’re putting into their body, the presence of healthy snacks in P&C is growing in importance, writes Thomas Oakley-Newell.

RIDING THE WAVE

Lisa Schilling-Thomson, National Sales Manager at Halo Food Co, producers of Tonik protein bars, says that Australian consumers are educated and discerning.

“They are actively looking for products with less sugar, no added sugar, all natural, no artificial additives, GMO free, gluten free, and are functional to living a healthier life.”

Tonik bars were only launched in P&C in August this year, so for Schilling-Thomson it has been a learning curve, but the decision has been worth it.

“Tonik was conceptualised and developed specifically with the P&C shopper in mind. Protein bars started to trend and really grow within the P&C channel back in 2016 when I was Sales Director launching Crankt Protein into the market.

“Prior to 2016, the category was highly underdeveloped, the only brands really in the Australian market were Musashi and Aussie Bodies, the ‘better-for-you’ category was mostly made up of muesli bars and the like, products not particularly good for you, and full of sugar.”

The immediate and fast growth of Tonik’s range of plant-based protein bars, which were only released in Coles in April, has surprised Schilling-Thomson.

“The plant bar sales at Coles have been staggering. Also, every banner group I have met with in the past three months has taken into range one or two of our plant bars. Even diehard whey protein consumers are loving our plant bars, which have historically tasted pretty average, our Choc Fudge plant bar is unbelievable.”

Another plant-based snack is Purabon, which has also recently expanded its range to include bars. A choice Kerin O’Brien, Sales Director at Purabon, said is all about inspiring consumers to see delicious yet healthy alternatives.

“Our family creates nutritious whole food plant-based snacks. We don’t compromise on taste. After being a market leader in food service balls for the past five years, we’ve now diversified into bars. With a new range of Peanut Butter bars made of Australian

peanuts and featuring 150 calories they make the perfect snack in three delicious flavours; Caramel Peanut Butter, Choc Chip Peanut Butter, and Peanut Butter and Jelly.”

Taste is one of, if not the most, important factor for all companies and Ross Webb, Brands and Partnerships Manager at Musashi, said that consumers are now seeking all the traditional benefits of protein bars combined with the taste experience that confectionery products offer.

“This has forced many sports nutrition brands to become very inventive with new products and a large focus on taste as the main driver. Functional benefits remain a priority for consumers as they remain conscious of selecting low sugar, better-for-you options. As the category begins to broaden, we are also seeing consumers seeking other snacking formats like protein cookies.”

Skye Jackson, General Manager Merchandise at Ampol, said at Ampol they’ve noticed a strong alignment from their shoppers to trusted brands.

“Prioritising local ingredients and companies, sees suppliers such as Barbell entering the P&C channel, which meets this shopper profile.

“Customers will not compromise on flavour or quality when electing to pick up a healthy snack, so there is more focus on items like low sugar versus no sugar, or a balanced formulation rather than a ‘free from’ of years past.”

Traditionally for Musashi, its strongest performing product is its high protein bars, which offer 45g of protein per bar.

“As many new consumers enter the category, more indulgent style protein bars and other protein snacks like cookies are experiencing significant growth due to the comparable taste and texture experience that confectionery offers, without all the nasties.

Australians are actively looking for products with less sugar, no added sugar, all natural, no artificial additives, GMO free, gluten free, and are functional to living a healthier life.”

– Lisa Schilling-Thomson, National Sales Manager, Halo Food Co

“Musashi’s newest protein bar, Protein Crisp, has been the brand’s strongest performer as it still has all the functional benefits while offering a unique taste and texture experience. This bar has driven double digit growth for the brand with the majority of the sales being incremental to the category,” explained Webb.

Ben Faulkhead, Category Manager at APCO, echoes Webb’s sentiment that products featuring higher protein are proving popular.

“We certainly are seeing a strong increase in sales for those products that feature increased levels of protein while low-carb options have declined.”

Faulkhead said that healthy snacks have really evolved over the past few years, and as a retailer, they are tapping into this potential.

“We have introduced a number of grab-and-go options to complement our food offering including crackers, veggie sticks and dip packs, and fruit salad but we have also expanded our range of bars to include protein balls and protein and muesli bars.

“We have seen large unit increases from brands such as My Muscle Chef and Musashi. We believe that there is a large untapped potential here to bundle healthy snacking with both food and beverage offers.”

A NEW MARKET

Articulating to consumers that these healthy products are for everyone and no longer just for the serious gym goer, is a challenge Webb and Musashi are facing head on.

“Musashi is focused on communicating and educating the benefits these products can provide to everyday people looking to place a focus on making smarter nutrition decisions.”

The importance of P&C due to its high visibility means that the channel has become a priority for many of the leading health snack brands, and Webb says the ability to secure visibility in-store, coupled with continuous foot traffic, has enabled the category to experience significant growth.

“New consumers into the category are seeking convenient, low-cost products and quite often these products are unplanned purchases.

“The P&C channel allows Musashi to have a much stronger connection with our target audience, with tradespeople over indexing strongly with sports, energy, and active nutrition products.”

From a retailer perspective, Jackson points to three key drivers when deciding which healthy snacks to range at Ampol.

“Product overlap; demand for format based on customer profile and/or shopper mission; and where the snack sits in regard to daily macros or protein intake.”

Hearne makes the point that Snackinar’s value is based on its nutritional value and convenience, and that means the P&C channel is pivotal to the convenience aspect of that.

“Buying snacks from Amazon and waiting a week is not convenient, thus, convenience and independent grocery stores are extremely important. Many people assume health food stores would be important, and they should be, however, health food stores in Australia are still almost exclusively selling highly processed plant-based food products.”

The P&C channel allows Musashi to have a much stronger connection with our target audience, with tradespeople over indexing strongly with sports, energy, and active nutrition products.”

– Ross Webb, Brands and Partnerships Manager, Musashi

ENERGETIC GROWTH AHEAD

Not a new category, but certainly a booming one, energy drinks are perennially popular in the impulse-driven petrol and convenience channel, where they continue to be a best-selling product, writes Rachel White.

According to the Australian Association of Convenience Stores (AACS) State of the Industry Half Yearly Report 2022, packaged beverages, in general, enjoyed a strong start to 2022, up 5.9 per cent, with energy drinks leading the way in the category, up 8.9 per cent.

As such, the petrol and convenience (P&C) channel continues to be vital for energy drink manufacturers, as Ashleigh Taylor, Channel Category Manager, Frucor Suntory Oceania, explains: “The P&C channel is the heartland of the impulse consumer, the core group who purchases and enjoys energy drinks the most.

“Within the convenience channel, beverages are forecasted to grow by $439m into 2026, and energy will contribute 70 per cent of the growth,” she says.

Felicity Needham, Vice President of Sales Away From Home – Australia, Coca-Cola Europacific Partners, says: “The P&C channel is an incredibly important channel for our Monster Energy Company brands.

“Energy drinks are a standout non-alcoholic ready-to-drink beverage in the P&C channel, making up close to one-third (31 per cent) of total retail sales value,” she adds.

INNOVATION VITAL FOR GROWTH

Such massive sales figures are hard to ignore, and Taylor says innovation is key in an already crowded segment. “Innovation is hugely important to the future success of the energy category. Our research suggests that there are more than 7.5 million people in Australia that are open to drinking energy drinks but currently don’t,” she says.

“The traditional energy drink consumer is male (74 per cent) and under 44 years old,” says Taylor. “But innovation in the low/ no sugar space is bringing more women into the category who we know spend more on average at a total store level.”

For women, the perception that energy drinks are high in sugar and unhealthy is a major deterrent. Needham says innovations with low or no-sugar options are yielding great success across all consumer groups.

“In the last year, no sugar options have increased by an incredible 34.3 per cent, significantly higher than regular variants, which increased by 6.3 per cent. Despite only making up around one-fifth (21 per cent) of sales, diet energy drinks have contributed more than half (53 per cent) of total value growth in the category,” she says.

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V Refresh has experienced the highest level of trial of any energy drink NPD in the last 12 months and has proven to be 30 per cent incremental to the total energy category.”

Ashleigh Taylor, Channel Category Manager, Frucor Suntory Oceania

Taylor relates a similar experience with Frucor Suntory’s new low-sugar, low-calorie energy drink V Refresh. “Since launching 12 weeks ago, the new range has shown exceptional performance within the convenience channel, and as we head into the warmer months, there are no signs of slowing down.

“V Refresh has experienced the highest level of trial of any energy drink NPD in the last 12 months and has proven to be 30 per cent incremental to the total energy category,” she says.

Sam Tsagaris, Category Development Manager at Red Bull, says innovations in new flavours and packaging are also critical as they drive growth with existing and potential customers.

He says innovation increases sales by “appealing to new users who may have barriers to entry such as the taste of energy drinks”. He adds both factors are equally important for “driving incremental traffic and spending among existing energy consumers seeking exciting new flavours and offers to increase their engagement and consumption within the category.”

Flavour innovation has also been vital for new kids on the block Hype Energy, which recently won a Superior Taste Award from the International Taste Institute in Brussels for its original flavour energy drink.

Steve Haider, National Sales Manager at Boomerang Worldwide, Hype’s Australian distributor, says having a product with a unique flavour is the most significant factor setting Hype Energy drinks apart from the established brands.

“It’s a pretty big award,” says Haider, happy to acknowledge the accolade.

ADVICE FOR RETAILERS

“While energy drink sales peak early in the morning, typically between 6am and 8am, when people need an energy hit to get their day going. We are seeing an increase in shoppers purchasing throughout the day, with the biggest growth in penetration between 8am and 11am,” says Needham.

As a high impulse category, Needham says retailers can help themselves capitalise on changing consumer behaviour by offering the right products to “energise”, no matter the time of day.

“One of the biggest opportunities for energy drinks is to ensure that there is enough space allocated within fridges to allow the category to grow to its full potential.

“In conjunction with this, there is also a greater opportunity to drive impulsivity at all points of engagement by working with suppliers to use eye-catching and inventive stock builds, on brand offers, with a focus on the key times of the year,” she says.

Haider says it’s all about position, position, position. “Fridge layout is one of the biggest problems we’ve encountered,” he said. Being a newer product, particularly in the very beginning, Hype was sometimes put in the wrong section of the fridge. “It just doesn’t go,” says Haider. “A consumer coming in for energy is not going to look around for the product.”

Taylor agrees, saying that space allocation matters. “In most fridges, energy drinks have maintained the same amount of space despite strong growth over the last five plus years.”

Tsagaris adds that retailers need to put forethought into their available storage space and should be conscious of space limitations in cold-vaults in-store.

“As the demand for energy drinks continues to grow driven by increased penetration and consumption year-on-year, the range and space allocated for energy drinks must also keep pace with this growth to ensure we can satisfy growing consumer demand,” he says.

It’s clear that energy drinks are a significant and growing category within the P&C sector, with sales showing no sign of slowing down any time soon.

On the contrary, projected growth over the next few years is set to increase exponentially, fuelled by ever-increasing demand and continual innovation from Australia’s leading manufacturers.

Expect to see further releases in the no and low-sugar ranges across the board and plenty of sporting partnership events, including the Red Bull Cliff Diving World Final in Sydney Harbour, the Red Bull Billy Cart in Melbourne, and Monster Ultimate Fighting Championship (UFC) competitions running in BP, Ampol, EG, and NSG. C&I

One of the biggest opportunities for energy drinks is to ensure that there is enough space allocated within fridges to allow the category to grow to its full potential.”

– Felicity Needham, Vice President of Sales Away From Home – Australia, Coca-Cola Europacific Partners

FUNDAY Natural Sweets awarded C&I Choice Product of the Year

The 2022 C&I Choice Product of the Year has been awarded to a product that delivers delicious lollies without the nasties.

After much deliberation, innovative lolly company FUNDAY Natural Sweets has been named this year’s C&I Choice Product of the Year.

With so many fantastic products that could be crowned the winner, it’s a testament to FUNDAY Natural Sweets’ ability to deliver a range of lollies that contains no added sugar and no sugar alcohols, yet still achieves a delicious flavour.

The range currently includes red frogs, vegan gummy bears, sour peach hearts, and gummy snakes, all with up to 91 per cent less sugar than their traditional counterparts and full of prebiotic fibre.

Daniel Kitay, Founder of FUNDAY Natural Sweets, said the entire team was incredibly excited by the news of being named the 2022 C&I Choice Product of the Year, and reinforced that the company is on the right track.

“To be named C&I Choice Product of the Year is a huge deal for a young company (less than two years old) and I think it’s a fantastic representation of the amount of hard work we all put in each day to make sure we have the best products in the market and accessible to our current and potential consumers.

“We continue to engage with our customers and ensure we are hitting the mark and being led by the market each and every step of the way.”

The past 18 months have seen the company make a meteoric rise, with the range now stocked in more than 3,000 stores, including Woolworths, Chemist Warehouse, and Ampol Foodary in Australia and New Zealand.

“As the leader in better-for-you candy in the market it was fantastic to secure a nationwide deal with Ampol early this year. Not only did we recently get the runner up in the Emerging Supplier of the Year Award (Medium) and Sustainability Award runner up (Medium), but through the power of our innovative product and wonderful brand, we have been successful in attracting new faces into the confectionery category who have typically avoided the confectionery aisle.

“It’s been a huge win for both Ampol Foodary and us and the team is excited for our plans with Ampol for 2023.”

Kitay said it has been hugely rewarding to see FUNDAY thrive in the notoriously competitive and tough P&C confectionery channel.

“Through our innovation pipeline, reinvestment into brand, direct to consumer connections and strong community we are so glad to be able to support our retailers throughout launch and beyond.”C&I

Safa de Valois presents the C&I Choice Product of the Year award to Daniel Kitay, Founder, FUNDAY Natural Sweets

To be named C&I Choice Product of the Year is a huge deal for a young company (less than two years old) and I think it’s a fantastic representation of the amount of hard work we all put in each day to make sure we have the best products in the market and accessible to our current and potential consumers.”

– Daniel Kitay, Founder, FUNDAY Natural Sweets

NO SUGAR

Flavoured Milk

Winner: Tonik High Protein Shake

Created by Australasia’s largest sports nutrition manufacturer with over 25 years of experience in producing health and wellness solutions in Australia, Tonik High Protein RTDs provide Australians with accessible on-the-go nutrition.

As Australians become increasingly time poor, and yet, maintain an appetite for an active lifestyle and healthy diet, a clear gap emerged for high quality and accessible, on the go nutrition.

Tonik High Protein RTDs come in six different flavours – Chocolate, Choc Honeycomb, Banana, Strawberry, Vanilla, and Coffee – and each feature 20g of protein per bottle.

Retailers can stock TONIK Pro RTDs via The Distributor Group members, All JB Metro DCs, Accredited, Brisbane Distributors, Nutritional Systems, Fitness Vending, Global By Nature, Health Magic, and The Market Grocer.

Non-Dairy

Winner: Alternative Dairy Co – Barista Oat Milk

Featuring only five ingredients and Australian grown oats, Alternative Dairy Co’s Barista Oat Milk is simple, clean, and delicious.

Tapping into the growing consumer movement towards a plant-based diet, Barista Oat Milk delivers a smooth and creamy experience in your cup which makes switching to plant-based milk easy.

Pet Care

Energy Drinks

Winner: Rockstar Original No Sugar 500ml

Following the success of the recently released new and improved formula for Original Rockstar energy drink, Frucor Suntory has released Rockstar Original No Sugar 500ml.

The energy drink provides all the great taste of the original but without the sugar, providing consumers with 160g of caffeine, B vitamins, and the benefits of guarana and taurine, it is perfect for those who are looking for long-lasting energy without the addition of sugar.

Since its launch, Rockstar Original No Sugar 500ml has become the second best-selling SKU in the Rockstar range. Fore more information on stocking contact Frucor Suntory Support on 1800 237 727.

C&I Choice category winners

Each year C&I awards one product as the C&I Choice Product of the Year along with our pick of the best new product releases in several categories. Here are the winners...

Confectionery

Winner: Allen’s Inspired by Kirks

Allen’s brought party icons together with their collaboration with Kirks, producing a range of Kirks inspired lollies.

The three Kirks flavours that inspired the range are Kirks Classic Pasito, Creaming Soda, and Lemonade, meaning there is something for everyone to enjoy.

Joyce Tan, Head of Marketing Confectionery at Nestlé, said they were so excited to introduce the range as a celebration of party memories.

“So many Aussies share moments of Kirks soda flavours and Allen’s lollies at their social celebrations – and now we’ve brought these icons together for the ultimate classic party combo.”

The Allen’s Inspired by Kirks range is available in a 170g pack for RRP $3.60 from convenience retailers and major supermarkets.

Winner: Purina Supercoat with Smartblend

Using a specially formulated combination of high-quality natural ingredients plus 22 essential vitamins and minerals, Supercoat Dog Food with Smartblend provides dogs with everything they need to live their best lives.

Every ingredient in Supercoat serves a purpose and has been added with the dog’s health in mind, from the Smartblend Puppy formula designed to have the right ingredients to support immunity and healthy bones as well as providing for that puppy energy.

Chocolate Winner: KitKat packed with Milo

In its biggest collaboration ever, KitKat has paired with Milo to create KitKat packed with Milo in block, bar, and chunky formats.

KitKat packed with Milo combines the crisp wafer and smooth milk chocolate of a classic KitKat, but with the addition of delicious Milo choc-malt fudge filling.

Joyce Tan, Head of Marketing Confectionery at Nestlé, said they were beyond thrilled and proud to announce KitKat’s biggest ever collaboration with KitKat packed with Milo

“We know KitKat lovers are passionate about how they eat their KitKat and similarly, Milo fans have unique ways of enjoying their hot or cold Milo. So now, we can’t wait to see how Aussies enjoy their KitKat packed with Milo.”

KitKat packed with Milo is available in three formats: KitKat packed with Milo Block (170g, RRP $5), KitKat packed with Milo Bar (45g, RRP $2.00) and KitKat Chunky packed with Milo (47g, RRP $2).

Coffee Winner:

BOSS Iced Caramel Latte

Three years after launching in Australia, Japan’s Suntory BOSS Coffee has added a new blend to its successful canned coffee range, Iced Caramel Latte. It joins the already popular line-up of Suntory BOSS Coffee, including Iced Long Black, Iced Double Espresso, Iced Latte, and Iced Vanilla Latte.

Iced Caramel Latte is a blend that will appeal to those who love the taste of quality coffee but also have a bit of a sweet tooth. The new blend taps into the younger audience’s coffee and flavour preferences and will help recruit new consumers into the category, driving incremental sales.

Carbonated Beverages

Winner: Level Lemonade & Cola

The latest flavour to be added to the Level range, Level Lemonade & Cola, is the perfect balance to cater to all the angels and devils out there, providing a better for you option for Cola enthusiasts.

Snackfoods Winner: I am Company Yog ‘n Oats

With demand for both grab-and-go meals and betterfor-you options steeply on the rise, it was only a matter of time before we saw a delicious and healthy on-the-go breakfast option.

Enter Yog’n Oats.

Through rigorous consumer taste-testing and research of more than 21 flavour variants, I am Company landed on four mouth-watering Yog’n Oats flavours: Blueberry Coconut, Cranberry Walnut, Apple Cinnamon, and Apricot Almond, which all come in 180g pots.

Using Australian-grown wholemeal oats that have been steamed to denature the enzymes and rolled into flat oats, the products include 11g of natural protein with 4g of digestible fibre in every pot, achieving a minimum of a Four Health Star Rating across the range.

Since Yog’n Oats launched in Melbourne in March of 2021, the brand now has ranging in more than 120 stores, primarily in P&C.

Food On The Go

Winner: Four’N Twenty Traveller Hi-Protein

The iconic Four’N Twenty has introduced its latest innovation, the Four’N Twenty Traveller Hi-Protein Beef, providing consumers with 20 grams of protein per serve and a four-star health rating.

The Hi-Protein Traveller is jam-packed with the classic Four’N Twenty beef filling and delicious gravy we all know and love, wrapped inside their famous golden pastry. With each Hi-Protein Traveller packed with 25 per cent more than the Four’N Twenty Traveller Classic Meat Pie and a four-star health rating, consumers can now make more conscious choices at the checkout.

From those consumers on-the-go, to tradies picking up a quick lunch, the Hi-Protein Traveller is sure to hit the spot for many Four’N Twenty lovers.

Much like the company’s current Level Lemonade range, the new addition is low in sugar, and contains 160mg of magnesium and 100 per cent of the recommended daily intake of Vitamin C. It is also marketed as 100 per cent Australian made and owned.

LeveL Lemonade & Cola will be available through the proven wholesale partners as well as in Ampol, EG, Coles Express, New Sunrise, OTR, Ezymart to name but a few.

Functional Beverages Winner: Calm & Stormy

Calm & Stormy is a premium range of 100 per cent Australian made and owned still, sparkling, and fruit juice infused mineral waters.

The Calm & Stormy flavoured range contains no added sugar, sweeteners, additives, or nasties of any kind. It is flavoured with nothing but real fruit that is sourced locally, Blood Orange from Griffith, Tasmanian Raspberry from the Derwent Valley, Pink Lady Apple from Officer and Lemon Lime from Mangrove Mountain.

Calm & Stormy is available for sale as single serve cans in 300ml or 500ml for the still mineral water and sparkling mineral water. And the fruit juice infused sparkling water is available in 300ml cans.

HOICE•C&ICHOICE

ECIOHCI&C

V Energy’s refreshing twist on a classic

Our C&I Choice product for this issue is V Refresh, a sugar-free and low-calorie sub-range of Frucor Suntory’s most popular beverage line – V Energy.

Available in two delicious flavours Citrus Lemonade and Pineapple & Watermelon, V Refresh delivers the iconic V taste but with added refreshment and energy boost consumers seek.

Nikki Apostolidis, Product and Innovation Manager for V Energy, said they know their consumers love the taste of V Energy but are also starting to look for more options that are better for them.

“This led us to develop a new refreshing range that continues to offer that boost of energy with the iconic V taste.”

Research by Datamine, reveals energy drinks with low or no sugar are expected to deliver 40 per cent of growth in the energy drink category by 2025, and that currently those that drink both full-sugar and sugar-free make up 24 per cent of all consumers, representing 49 per cent of energy sales.

V Refresh uses a new vibrant packaging, combining the contemporary design with pastel colours to help consumers differentiate between the V Energy range options.

The range is available in 250mL, 500mL, and 250mL multipack varieties. V Refresh looks fun and has a sophisticated twist. It’s the full package and worth a taste!

A vibrant summer, powered by Aerial

Think of the last time you were beachside, lakeside or poolside, enjoying the warm sun beaming down, and having a good quality chin wag with your bestie and just enjoying yourself. Well, that time is here again. You know, summer! The season of sun, good times, festivals, outdoor music, community events, summer sports, days at the lake, beach, or waterhole. The season that Aerial is born for, to keep you covered while you adventure through Australia.

While summer is here, this year it will be a little different. After the Covid lockdown induced misery of last year we are free, and it’s time to express our freedom with fun colours – you might say dopamine inducing colour. Check out the windows of the fashion stores in your local shopping mall, you will see it, calling you to join in the celebration of summer with shows of yellow, blue, green, and pink (yes even for the gents). Well, colours are on point and telling you it’s time to ‘Get Shady’.

More convenient than an hour-long car park tour at your local mall (yes people are shopping for Christmas already), Aerial is directing thousands of people to get to their local convenience store and shop the latest trends with you. Aerial’s ‘Get Shady’ campaigns are running through social media and Google Display tells shoppers to get to site and embrace the bright. Aerial Hats and Sunglasses will be the bright light in-store this summer with on trend styles that people will be delightfully surprised to find in a convenience store.

On top of being bright, on trend, and exciting, Aerial’s Sunglasses are crafted and then independently tested to ensure they meet the Australian and New Zealand Standard AS/NZS 1067.1:2016. Are you ready for summer? Do you want to maximise your sales? Aerial has got you covered – visit pacificoptics.com or email orders@pacificoptics.com.

Salted Caramel is Tonik High Protein Bar’s much-loved hero flavour

Caramel as a flavour has been an Australian favourite for decades, it’s been an iconic, gooey ingredient in confectionery for all of us as kids that we all loved – tell me who didn’t love a Cadbury Caramello Koala with caramel dripping all over their hands and face.

Salted Caramel became popular around the 90s, with salted caramel ice-cream, sauce, toppings, it was all about balancing the saltiness and the sweetness.

So, what better way to honour Australians than to create and manufacture a true Aussie favourite, Halo Food Co’s Salted Caramel Tonik High Protein Bar. The unique dual layering manufacturing technology enables them to create a bar with two separate layers, a creamy soft fudge layer, atop a gooey delicious caramel layer, balanced perfectly between the salty and the sweet, satisfying the confectionery desire, but without all the sugars and unhealthy ingredients.

“We developed our protein bars after seeing a gap in the Australian market. What was missing were protein bars that were providing the consumer with the highest quality ingredients, the best tasting products, made by Australians,” says Lisa Schilling-Thomson, National Sales Manager, Halo Food Co.

“Our R&D team created our own proprietary protein blend, a blend of whey protein concentrate, calcium caseinate, whey protein isolate, hydrolysed whey protein concentrate, soy protein isolate, and soy protein nuggets.

“This very special blending is the key to a creamy smooth texture and exquisite, delicious taste.”

Tonik High Protein Bars have all natural flavours and colours, no added sugar chocolate, they are high in natural fibre, low carbs, low sugar, and are gluten and gmo free.

So, what do you have? A classic Australian flavoured bar, Salted Caramel, which is bloody great for you.

Starbucks Frappuccino hits P&C shelves

Starbucks has launched Starbucks Frappuccino, a collaboration with Nestlé, which brings consumers the classic Starbucks flavour in a convenient ready-to-go format.

The result is a delicious, perfectly blended coffee with creamy milk and just the right amount of sweetness available in two different flavours – milk coffee latte and mocha.

Ready-to-drink coffee is a fast-growing category in Australia and Starbucks will continue to develop a strong innovation pipeline to further grow the category.

Rebecca Dobbins, General Manager of Dairy at Nestlé, said through this new collaboration, Nestlé and Starbucks are bringing Australians the signature taste of Starbucks coffee in an easy, ready-to-drink format.

“These new products will enable us to grow our younger consumer segment, with a tailored and new beverage offering. We are confident Australian coffee lovers will love these products in the summer months when a cold beverage is perfect for on-the-go.”

Nestlé will have the exclusive rights to market, distribute, and develop the Starbucks ready-to-drink coffee beverages in Australia, leveraging its local footprints and distribution.

The launch of the range will be supported by a media and influencer campaign to drive awareness of the new format.

Currently, the Frappuccino range is available in IGA, 7-Eleven, bp, Woolworths, and EG Group, in 280mL bottles at an RRP of $4.25.

A Toatl-ly unique flavoured milk!

Toatl brings plant-based flavoured milks to the fridge.

The newly launched Toatl flavoured oat milk combines the deliciousness of traditional flavoured milk with the growing trend of plantbased options.

The three flavours include a decadent chocolate, a smooth caramel, and a fruity flavoured strawberry, all made using Aussie oats, by an Aussie company, right here in Australia.

Toatl plans to disrupt the flavoured milk segment with its oat milk based offer, using the knowledge that oat milk has been outgrowing other milks in the category over the last two to three years, and predicting that this trend will continue as more consumers add plant-based milk into their repertoire.

Recognising that plant-based eating is on the rise, and with an increasing number of consumers adopting plantbased milk into their diet, Toatl capitalised on the fact that there was no plant-based options in the flavoured milk category.

Tim Clarke, Shopper Strategy Manager at Sanitarium, producer of Toatl, said the flavoured milk segment thrives on innovation.

“With more consumers at the fridge looking for a plant-based option, Toatl provides the opportunity to convert these shoppers with a great tasting offer. This will bring new consumers into the segment and drive incremental sales. It’s a must have!”

Most importantly, said Clarke, is that they wanted to make a plant-based flavoured milk option that didn’t compromise on taste.

“We know that flavoured milk is a bit of a treat, and we couldn’t be happier with how delicious Toatl tastes. We have three of the most popular flavours – everyone loves chocolate and we’re sure our smooth and creamy tasting Chocolate Flavour will be a hit. Fruity Strawberry Flavour is a delightful treat, and our silky-smooth Caramel Flavour is a standout.”

Appealing to a younger generation that is increasingly health focused, Toatl provides a tasty alternative to traditional flavoured milk.

“This younger generation wants to eat healthy without taste compromise and are embracing plant-based eating. They are likely to consume dairy and plant-based milk, so having Toatl Flavoured Oat Milk provides a plant-based option to meet changing taste and preferences,” explained Clarke.

The initial launch will see the new flavoured milks packaged in 500ml PET bottles.

“Quick and easy, grab and go convenience with a 500ml PET bottle you can consume immediately or reseal to enjoy later.”

With ranging already secured across 7-Eleven, Coles Express, Ampol, and bp, Toatl can be found in the majority of buying groups throughout the petrol and convenience channel.

With more consumers at the fridge looking for a plant-based option, Toatl provides the opportunity to convert these shoppers with a great tasting offer.”

– Tim Clarke, Shopper Strategy Manager, Sanitarium

Heaps of My Data

Packed with heaps of included data you can use at Vodafone’s fastest available speeds.

Data Bank

Bank up to 200GB unused My Data when you recharge on any Prepaid Plus plan before expiry.

Save $5 on every recharge

Get $5 off every recharge when you set your $30+ Prepaid Plus on Auto Recharge. You can opt-in to Automatic Recharge when saving your payment details when you activate your SIM or by texting ‘ATR’ to 1263 or through My Vodafone.

Flexible Expiry

With recharges from 7 days to 365 days.

Data that never runs out on Prepaid Plus with 28 day expiry.

First use all other data, then use infinite data at speeds up to 1.5Mbps. With 1.5Mbps you can check your socials, browse the web and stream music but its not suitable for HD videos.

International Calling

Stay in touch with your friends and family with your included international minutes. See Zone 1 and Zone 2 countries at vodafone.com.au/prepaid-iddrates

of up to 1.5Mbps until your recharge expires. Data Banking: You can save up to a maximum 200GB of unused My Data, when you recharge on eligible Prepaid Plus plan before expiry, otherwise forfeited.Data Bank balance forfeited will rollover (up to max $250) if recharge before next expiry & maintain an active Pay and Go Recharge. If you switch to an ineligible plan, unused credit will be forfeited. See vodafone.com.au/prepaid/plans/pay-and-go for more increments. International Roaming rates subject to change – check vodafone.com.au/prepaid-roaming. International Roaming charges deducted from Pay and Go credit first, then My Credit balance. Vodafone Services subject within 72 hours following successful recharge or activation of Starter Pack. Limit 2 per Eligible Customer. Unused included data will rollover once into your next recharge period (up to 50GB) when you recharge before expiry. of 04.08.21. See website for current pricing. T&C apply, see vodafone.com.au/mobile-broadband/prepaid

Prepaid Plus plan.

pack by 31.01.23. $30-$60 Starter Packs incl. total data + unlimited int’l calls as advertised above for first 6 eligible recharges each time you recharge before expiry. Data for use in Oz. All 6 eligible recharges must be on $30-60 Your included data (My Data) and any data saved in your Data Bank data will be used first, this is data at the fastest speed the Vodafone network can deliver, depending on device/time/place;thereafter, data is available at speeds forfeited if recharge on ineligible plan, or do not recharge within 90 days of expiry or service is disconnected or deactivated. For more info and full T&C check vodafone.com.au/prepaid/plans. Prepaid Pay and Go: Unused credit more information. Standard international voice calls: To selected countries + rates may change. See vodafone.com.au/prepaid-idd-rates for list of current countries and rates. Charged from your Pay and Go Credit in per minute subject to network availability, individual device capabilities + limitations of overseas networks. Vodafone services such as video calling + PXT may not be available whilst roaming. Prepaid Mobile Broadband: Bonus data applied It will be available for use until the expiry of your current recharge. Any unused rolled over data will be forfeited. Unused bonus data does not rollover. For use in Australia. Usage is calculated in 1kB increments. Pricing correct as LBR220145

A convenient purr-chase from Purina

Featuring a wide variety of flavour options, the Fancy Feast Classic Singles range allows shoppers to quickly and easily purchase cat food that will keep them and their feline friend happy.

Available in an extensive portfolio of flavours, with the most popular being Fancy Feast Grilled Chicken in Gravy, the range features an extensive array of delicious and mouth-watering meals in a variety of flavours and textures, meaning there is something for every cat.

The Fancy Feast Classics range is packaged in small single serve 85g cans, as well as the option for multipacks, that allows consumers to pick and choose between the range to provide many delicious options for even the fussiest of cats.

During Covid, the pet space grew substantially, with research by Animal Medicine’s Australia (AMA) revealing that nearly 70 per cent of Australians now own a pet.

This huge of number of pet-owning Australians means an increased number of consumers are in search of convenient purchases of pet food, and Purina has made these products available to the P&C channel to align with shopper insights.

Purina has identified a shift away from multi-serve wet cat food and has seen a significant uplift in single serve options, and the Fancy Feast Classics range provides these shoppers with a convenient and competitively priced option.

The Fancy Feast Classics range retails for $1.65 per item and is available through The Distributors.

Get your pre-orders in to capture the Tiko breath of the dragon

The most talked about slim Tiko lighter has seized the attention of social media worldwide, receiving rave reviews and praise for its impressively unique design. And, following its searing success in the US, it has arrived in Australia and sold out within weeks.

But great news, more stock is on its way and now is the time to get your pre-orders in to be guaranteed stock in the new year.

This masterpiece is the only dual flame lighter ever created and the metallic dragon blueprint just takes things to a whole new level.

One press of the switch button ignites the blue jet flame that works at any angle and once the switch is released, magic happens. The soft open flame comes direct from the dragon’s mouth, which looks fierce and stunning.

The 3D engraved dragon head design gives it a savage look making it a star attention grabber. And it is coupled with an inbuilt safety switch, which makes this lighter pocket friendly and 100 per cent safe.

This brand-new Tiko lighter is available in four colours – Black, White, Gold and Blue and will RRP at $13.95, which means it’s a great margin for the retailer. Stock has absolutely flown out the door, so make sure to get your pre-orders in to secure stock for your store. Distributed exclusively by Peleguy Distribution.

For more information, please contact your Peleguy Representative on 1300 377 341, orders@peleguy.com.au or visit peleguy.com.au.

NEW LOOK

Tabsol launches cannabis derived terpene vape

TabSol Australasia has developed TSVT – Tribal Spirit Vape with Cannabis Derived Terpene (CDT) as its base flavour, providing consumers a legal choice and access to better alternatives.

TSVT – Tribal Spirit Vapes with CDT meets all legal guidelines. The terpene is of superior quality and does not contain any CBD or THC – the active ingredients that create the ‘high’ that people experience when they use cannabis and therefore is legal for retailers to sell. TSVT is available in four flavours.

TabSol Australasia has launched the TSV Vape device that is specially calibrated for the TSVT e-liquid. The rechargeable pod system comes with two refillable/replaceable pods and will also be available soon in a convenient disposable vape format.

To Order the TSVT E-Liquids and the TSV Vape pod system contact the TabSol team on 02 9037 1478, 0413 690 069, or email info@tabsol.com.au.

Breaking boundaries: How Hype Energy is disrupting the Australian energy drink market

Hype – the European energy drink powerhouse – has well and truly arrived in Australia. After the brand’s bold introduction to the Aussie market in 2020, Hype Energy has firmly planted its flag as the anti-hero of the status quo.

The brainchild of former F1 race car driver Bertrand Gachot, who took ownership of the brand in 2000, Hype Energy has become a symbol for breaking away from the norm and challenging convention. With its edgy attitude, innovative product range and sustainable vision, Hype Energy is set to make waves in the Aussie market.

With a challenger spirit that redefines the quality value of functional products, extending the choices for consumers worldwide, Hype Energy’s mission is to challenge and revolutionise the energy drink industry with its unique range of beverages.

The brand is on a mission to create products of the highest possible quality while also pushing the boundaries of what an energy drink can offer. Packed with natural ingredients and functional benefits, Hype Energy is transforming how Australians think about energy drinks with a bold approach to packaging and flavour choice.

Award-winning flavours like Hype Energy MFP and Hype Energy Sugar Free or trialled and tested Aussie favourite Hype Energy Enlite are headlining a line-up of innovative products that are taking the energy drink category to a whole new level.

Bertrand Gachot, CEO and Owner of Hype Energy said: “We’re heavily invested in product development and innovation, and our wide portfolio of products is proof of this. We’re passionate about creating beverages that offer a variety of benefits for the consumer, and we’re excited to see how Aussies react to Hype Energy’s ever-expanding product range.”

Hype Energy doesn’t just want to quench your thirst – it wants to spark a revolution. Its ‘Hack the Algorithm’ brand ethos is about stepping outside of conformity and celebrating individuality. Don’t be afraid to be different – have the courage to defy societal pressures and “enjoy your own freedom”.

The rebellious energy of the brand is set to take Australia by storm, and Hype Energy’s ambition to challenge the system is only just getting started. Stay tuned for more.

Theo Foukkare...

Get set for summer with Riviera

Premium soft drinks have had a resurgence in recent years, especially as a result of Covid. They represent an inexpensive luxury that can be purchased anywhere and enjoyed at any time of the day.

What defines premium? At least three characteristics: firstly, luxurious brand identity and/or packaging; secondly, unique concept or claims such as provenance claims, better-for-you etc, and thirdly, containing or made from unique ingredients.

Kombucha is a notable example of a premium soft drink that has captured the imagination of consumers in recent times. The combination of a fermented drink with health benefits helped it garner instantaneous attention from people looking for something completely new and original.

Less obvious but no less impressive is Tru Blu Beverages’ Riviera Sparkling Fruit Drink range. Made form five per cent organic juice and natural flavours, Riviera is a delicious sparkling drink that is a cut above standard soft drinks. With a full-bodied taste and with unique flavours like Tahitian Lime, Sweet Watermelon and Golden Pineapple, Riviera instantly transports your tastebuds to the Mediterranean coastline from which it is named. Who wouldn’t want to be in the Riviera?

Packed in 330mL glass bottles and presented in eye-catching, aspirational labels, Riviera is available nationally and is sold through delis, cafés and other good beverage outlets. To order yours today, contact Tru Blu Beverages on (02) 9912 6700.

Dare Iced Coffee now Rainforest Alliance Certified

The entire Dare Iced Coffee range will now be brewed using a blend of 100 per cent Rainforest Alliance (RFA) certified arabica and robusta coffee beans.

With new packaging featuring the green RFA frog, the brand’s manufacturer says consumers can expect the same taste, with the added benefit of feeling good about their choice.

Adelle Cosgrove, Senior Brand Manager for Dare, says they are always looking at ways to improve sustainability and the RFA certification signals a new chapter of ethical coffee production and consumption in Australia.

“We are always looking for ways to make Australia’s favourite iced coffee better for the environment, which is why we are proud to brew Dare with 100 per cent Rainforest Alliance Certified coffee beans.

“When you choose Dare and see the Rainforest Alliance frog seal, you can be confident that you are supporting a product that utilises coffee beans that have been grown, harvested and produced in a sustainable way from certified farms and forests,” she says.

Playing a role in Bega Group’s Australian Packaging Covenant Organisations targets for the end of 2025, Dare says RFA certification is just the first step on its quest for sustainability. The next step will begin in 2023 when Dare bottles will start being manufactured with recycled plastic.

To celebrate the launch, Dare drinkers can scan the QR code on the new packaging to be transported into a virtual rainforest experience.

Viennetta celebrates 40th birthday with new Birthday Cake flavour

Streets is celebrating the 40th birthday of its much-loved Viennetta with the release of the Viennetta Birthday Cake.

Launched in 1982 by British ice cream company Walls, the Viennetta quickly spread across the globe arriving in Australia in the mid-80s.

Since its introduction into Australia, Viennetta has been a go-to frozen dessert for Aussie birthday parties as well as many other special occasions.

Perry Varol, Unilever Brand Lead, said that the Viennetta is still as popular as ever with sales steadily increasing since July 2020 until now.

“We are thrilled to be marking the 40th birthday of the Viennetta in 2022, with close to 40 years of memories, joy and satisfied customers across Australia that can attest to why Viennetta still holds such a special place in our heart,” said Varol.

To celebrate the 40-year milestone, Streets is encouraging Australians to get their hands on the newest Birthday Cake flavour.

The Viennetta Birthday Cake is layered with delicious waves of creamy vanilla flowing over a classic chocolate ripple throughout the centre, topped with celebratory rainbow sprinkles.

“We are so excited to be bringing this scrumptious new flavour to the classic Viennetta recipe and give Aussies even more reason to roll out the Viennetta at their next birthday celebration,” said Varol.

“With such a strong identity for Australians we’re always looking at ways to surprise consumers with new flavours and experiences.”

The Viennetta Birthday Cake is available now in IGA and Coles across Australia.

Worth Foods – creating snacks worth pausing for

Worth Foods is a new Australian family-owned business that was founded on a love of food with integrity. Its goal is to offer a delicious, premium, and convenient range of Australianmade snack foods using thoughtfully sourced ingredients. Snacks that will never be overprocessed or gimmicky but reflect the quality of their natural premium ingredients.

Convenient snacking does not have to be fast and furious. Worth Foods believes that enjoying a snack is an opportunity to pause for a moment, even when on-the-go.

The team at Worth Foods has more than 35 years of experience in FMCG, and the healthy snacking category within the convenience and grocery channels. The first phase of its journey is the launch of a new range of macadamia bars, as well as organic oat and macadamia slices. An opportunity to highlight the delicious Australian macadamia nut as its hero ingredient.

By sourcing the best tasting ingredients from Australia and around the world, Worth Foods has created a ‘next level’ nut bar and oat slice by incorporating premium ingredients including Belgian chocolate, honey from native Australian forests, Australian pink lake salt, chilli from India, sustainably harvested coconut, organic oats, and Sri Lankan cinnamon.

The 40g macadamia bars are all gluten free, contain no added refined sugar, or nasties and come in four flavours: Honey & Pink Lake Salt, White Chocolate & Caramel, Dark Chocolate, Coconut & Cherries, and Dark Chocolate & Chilli.

The 70g oat slices are made with organic oats and macadamias, contain no added sugars, fillers, or nasties, and come in three premium flavours: Dark Chocolate & Cocoa, White Chocolate & Blueberries, and Raisin, Cinnamon & Apple.

For any retailer interested in a premium snack bar range please contact sales@worthfoods.com.au.

THEO FOUKKARE CEO AACS

FORGING FORWARD

What a year 2022 has been! What seems like an eternity ago is only actually 12 months since Australia hit its Covid-19 peak infection rate and the end of mandatory lockdowns, restrictions, and the beginning of the new normal.

We started the year with a lot of uncertainty and are now ending the year with a clear focus on what’s required to succeed in a challenging retail environment. Flexible work arrangements have seen businesses large and small rethink how they operate, how to maintain culture and build new teams while continuing to innovate and succeed in this new way of working.

Under immense pressure from all angles, reduced consumer mobility, labour shortages, rising business operating costs, high fuel prices and an exploding black market in illicit tobacco and nicotine vaping, our industry continues to forge ahead. Investment into new store offer development has continued in all states and territories with a continued focus on food, coffee, technology investment, training, and emerging categories.

One of the highlights of my year was being in Singapore with APCO Petroleum at the Asia Pacific Summit to see them take out the NACS Asia Pacific Convenience Retailer of the Year. What a huge achievement for a local, regionalbased second-generation Australian retailer to be recognised for their decades of hard work, persistence, and dedication to their local community. APCO, among many other leading Australian convenience retailers continue to challenge the status quo of what convenience retailing will look like in the future, not only delivering customers with on-the-go products, but also great quality food, extended grocery offers, café style seating, barista coffee and loyalty programs that drive repeat purchase.

Having spent two weeks in the US visiting leading convenience offers, it reminded me how developed the

Australian market is, but at the same time how far we must go in developing our food offer to continue increasing our shop-only customers seeing our channel as a true threat to the QSR industry. We have seen some great examples of leadership by both retailers and suppliers in the areas of sustainability, healthier product ranges, and future energy initiatives being launched.

We have seen brand new and exciting food concepts launched across the independent and corporate channels –think 7-Eleven’s trial of Johnny’s Deli, bp Wild Bean’s world first new food range, Oliver’s Food by EG, continual evolution of leading independent brands like Urbanista, Bowser Bean, X Convenience, Jack & Co just to name a few. The independent retail community has continued their strong growth, especially in the regional areas focusing on their local communities.

Our advocacy efforts in our strategic initiatives around deregulation of alcohol continue to progress well and I’m hoping that 2023 will be the year of achieving a level playing field for our retailers and provide consumers with choice. Our efforts with Federal and State Governments on illicit tobacco, illicit nicotine vaping and proposed licensing schemes in Queensland and Victoria, to address the black market have been strong, and I am proud of the progress that we have made to date. I am more passionate on these topics and am all in to deliver results for AACS members.

Even though Australians are currently living through a cost of living crisis and businesses are experiencing the highest operating costs that they have been faced with in a long time, there is strong optimism as we head into 2023.

Convenience retailers and suppliers have shown resilience, determination, and continual passion to deliver their customers with the best shopping experience that they can offer. I personally can’t wait for 2023, a fresh start after the most challenging 12 months that most of us will ever face in

careers. C&I

our

I personally can’t wait for 2023, a fresh start after the most challenging 12 months that most of us will ever face in our careers.”

– Theo Foukkare

Theo Foukkare, CEO, AACS, reflects on the past 12 months and provides an outlook for the year ahead in 2023.

We must get moving on the FOOD JOURNEY

Food is critical to a convenience store’s success, without it, you are just another convenience store, writes Darren Park.

– Darren Park

I

read recently that the average Australian (work with me here, I’m not sure how to spot an average Australian) spends approximately 34 per cent of their weekly food expenditure on ordering take-away foods or eating out, which works out at between two to three times per week.

This is partially backed up by Convenience Measures Australia (CMA) Shopper Research (2022), which indicates shoppers engage with Food on the Go in Australian convenience stores, around 2.4 times per week.

A general trend towards less structured meal occasions is something we’ve all seen happen in our marketplace. Changing family structures, for example couples with no children, and the rise in single households are influencing food consumption habits. Busy lifestyles, longer and more unpredictable working hours and a rise in the number of females in the workforce are also contributing factors. Traditionally, meals took place at set hours of the day, however now meals are dictated by work, leisure activities and opportunity.

Convenience stores by geography and number, are ideally positioned to take advantage of both these trends. That’s the good news, so what’s the not so good news?

Well, we aren’t alone in the food game. By some estimates there are around 50,000 QSR/fast food outlets in Australia with a market size estimated at $20b (that’s 20 with nine zeros following) in sales per annum. So, whatever we choose to do when it comes to food, we have to be good, we have to be consistent, and we have to be known for it.

In this opinion piece, there’s not enough space to talk about the why and how, you can call me anytime you want, and I’ll give you my thoughts personally. What I’d like to do is to give you some pointers that you can review

yourself from the recent UCB Stores USA Study Tour, where we visited nearly 50 convenience store sites, eating our way across the USA. These sites are super well known for the food they offer and the absolutely brilliant focus on store cleanliness – many were a joy to eat in.

In no particular order.

1. Wawa: If you’re on the east coast, residents there mention Wawa with absolute adoration. The hoagies (like a sub sandwich) are everyone’s favourite. Fast, fresh, and enjoyable. It’s hard to make a bad one.

2. Buc-ee’s: Recognised by its mascot, a beaver, Buc-ee’s is proof that everything is bigger in Texas. They also proclaim to have ‘the cleanest bathrooms in America’. If you want to try some local food, grab a bag of Beaver Nuggets. My favourite was the Buc-ee’s Brisket Sandwich.

3. Sheetz: Chicken Tenders and Mozzarella Sticks. Yes indeed.

4. Royal Farms: Take a moment to enjoy the world famous Chicken and Western Fries.

5. Rutter’s: Rutter’s is a family-owned chain of convenience stores and gas stations with 82 locations, mostly in Pennsylvania. Its breakfast sliders and warm cinnamon rolls, just make me want to go back.

The point to be made here again, is that food is critical to each of these stores’ success. Without it, they are just another convenience store. If we are to continue to prosper in a changing world, we in Australian convenience also need to be known (positively) for our food.

We must get moving on the convenience food journey now.

Until next time, Darren Park

DARREN PARK

CEO United Convenience Buyers

If we are to continue to prosper in a changing world, we in Australian convenience also need to be known (positively) for our food.”

TASTE BUDS YOU WON’T BELIEVE IT’S NOT MEAT

At BUDS we know it’s not impossible to go beyond. Our BUDS range is the best plant-proteins Australia has to offer. So, if your customers love meat, love local and want to be part of the switch, let’s ‘Meat’ to taste BUDS... you won’t look back!

A call to change strategy and a plan for uncertainty in retail

Uncertainty is defined as doubt, but for retailers, the message is clear – don’t get defensive, get smart, writes

It is important for retailers, to own the change and not let the change own you. Some of the greatest advancements have happened for retail business in difficult times, and while dealing with uncertainty may well present hurdles to clear, it also allows opportunities to re-strategise and open the door to new opportunities.

MELISSA KIRBY Head of Melbourne Q5

There is no doubt across Australia, retailers’ resilience has been tested to the brink – a cocktail of rising inflation, increasing interest rates, labour shortages, a hike in the minimum wage and the highest food costs in over a decade. Coupled with these hurdles, the Australian Bureau of Statistics has just released figures showing workers’ absences due to illnesses was double that of previous years this winter period. As the warmer months come, along with it, we may get a lighter view of the pressures facing the industry and some brighter solutions. Employers are hopeful there is some relief not far away with workers returning in greater numbers to their jobs to help lead the way out of uncertainty to certainty.

The pandemic, supply chain woes and food shortages have shown us that if anyone can thrive in a crisis, it is retailers. However, the sheer number of factors contributing to the current economic uncertainty suggests that retailers looking to ‘thrive not just survive’ in the next 12 months need to consider sustainable structural change. By structural change, I mean the way they are set up, but also in their deep-rooted way of operating when it comes to investment in employees and project delivery.

Here are three tactics to re-strategise and plan for this next phase in the retail sector.

1. Make it easier to deliver value to your customers

So, what should retailers do? Firstly, they need to identify how they generate value for their customers. This isn’t just value in terms of ‘dollars and cents’ based on what customers buy, it is value in terms of what customers value in their experiences. Once this is clear, they must understand how their teams are arranged to deliver that experience, what factors facilitate better experiences and what is causing points of friction. This often triggers a review of how the organisation is designed; how do you best organise your capabilities to deliver exceptional value.

It is worth noting that pulling this picture together requires a strong tripartite relationship between organisation design, data insights and change management capabilities, which are often in scarce supply in retail organisations.

2. Invest in your employees Investing in people while under considerable economic pressure might sound counterintuitive but hear me out.

The cost to replace an employee ranges anywhere from 30-400 per cent of their salary. This is due to a combination of time to hire, lost productivity and time to upskill a new employee to the same standard. Throw high performers into the mix with estimates that they can deliver approximately 400 per cent more productivity than an average employee, and you’ve got a very strong business case for not only retaining but investing in your existing people. Look after those already employed.

3. Do it once and do it well Many Australian retailers have been forced into considerable technology and systems investments, with the pandemic highlighting cracks in legacy systems falling short of customer expectations. With this has come a tidal wave of capital spend, and some of the biggest projects retail organisations have ever needed to deliver.

Retailers are brilliant at delivering quickly, and due to their ‘daily trade’ mindset and shareholder reporting, oftentimes need to favour short-term over long-term thinking. These additional realities make multi-year programs of work anomalies in a retail environment. For this reason, retailers should carefully consider the real timelines to deliver these projects in upfront planning, and the associated investment to support these timeframes. In addition, they must consider the scale of changes beyond getting the system in place – to realise the full potential of benefits they require behaviour change, culture change, redefinition of processes and upskilling in new ways of working. Retailers need to ensure they invest in the right capabilities (beyond systems implementation expertise) to ensure these big programs of work are delivered once and delivered well.

The retail sector faces challenges that calls for them to understand how they deliver value, and how they can think differently to forge organisational resilience in the face of uncertain times ahead. C&I

The retail sector faces challenges that calls for them to understand how they deliver value, and how they can think differently to forge organisational resilience in the face of uncertain times ahead.”

– Melissa Kirby

Melissa Kirby.

MIKKO KÄRKKÄINEN

RELEX Solutions

– Mikko Kärkkäinen

The benefits of optimising your store replenishment process

Optimising store replenishment operations means more efficient product replenishment, more profit, and a more efficient supply chain, writes Mikko Kärkkäinen.

Store replenishment is often overshadowed by higher profile activities such as buying, merchandising, and marketing in retail operations. However, the efficiency of store replenishment has a significant impact on profitability. The accuracy and effectiveness of store ordering affects shelf availability and impact handling, storage, and wastage costs across the supply chain.

Given that stores can have thousands of items, it is increasingly evident to most retail executives that accurate, item-level control is virtually impossible to achieve with manual store ordering. Over the years, automated and system assisted replenishment has become the default because the results are so dramatic. The gains from optimising the store replenishment process are significant, often amounting to savings of several percentage points of total turnover.

OPTIMISED STORE REPLENISHMENT ISN’T JUST A ‘NICE TO HAVE’

An automated replenishment system constantly monitors stock, sales, and demand and eliminates human errors. It also factors in forecast changes in demand and adjusts the replenishment orders accordingly, increasing service levels and sales while improving customer satisfaction.

A well-calibrated store replenishment system classifies products individually and assigns different attributes to them. This allows service level targets to be set higher for the products customers consider most important and purchase most frequently. Using a system that recognises sales frequency, profit margin, or sales value allows a company to manage its inventory in a way that best ensures long term profitability.

Inventory turnover is also improved because the replenishment system can manage safety stocks more accurately than any human buyer. If inventory management is done manually, it is impossible to accurately evaluate each SKU’s safety stock requirements accurately. Instead, items are managed as groups, using basic rules. Consequently, if the overall service level needs to be increased, the inventory buffer is typically enlarged for a wide range of items, resulting in overstocks for many of them.

A competent store replenishment system calculates the safety stock level for each SKU separately. It sets them to meet service level targets as efficiently as possible, considering the predictability of demand, delivery lead time, and delivery accuracy of each item. The greater degree of accuracy in inventory management offered by a good replenishment system makes it possible to increase service levels and inventory turnover simultaneously.

A good replenishment system will also make the replenishment process more cost-effective. Automating stock level monitoring and routine replenishment orders saves considerable management time that can be redeployed to more challenging tasks such as assortment planning, supplier negotiations, sales support, exception management, and staff development.

Exception management can also be made more effective through system support. A good replenishment system can anticipate product shortages, late deliveries, seasonal products (where there’s a risk of excess stock), and other exceptions faster than any human. The system can, in many cases, respond to the exceptions automatically and, in others, flag them to managers for expert attention.

PICKING THE RIGHT TECHNOLOGY

Companies are like people – they all have unique personalities. Replenishment systems need to fit the company rather than require the company to fit the system. Such systems must be capable of being customised to support the specific features of each supply chain – and the system’s supplier must understand the customer’s business in all its complexity.

Optimising store replenishment operations means more efficient product replenishment, more profit, and a more efficient supply chain. Store replenishment is an area where many retailers’ operations are not following best practices. While a single retailer may not be able to employ all best practices, they should prioritise the most feasible and impactful development areas from the business’ perspective. C&I

CEO and Co-founder

The gains from optimising the store replenishment process are significant, often amounting to savings of several percentage points of total turnover.”

delicious, convenient, The Foodservice and Retail range includes Australia’s favourite flavours of Vanilla Bean, Lemon, and Mango, and are proudly all natural – we don't use any our Cheesecake

SKUs are available in single and twin packs, making them easy to display, sell and consume.

C&I NZ EXPO RATED ANOTHER HUGE SUCCESS

The Convenience & Impulse Retailing New Zealand Expo and Symposium returned to The Cloud in Auckland on 19-20 October, for two days of education, networking, and business building.

The C&I NZ Expo featured an excellent line-up of speakers at the Symposium, sharing insights from across Australia and New Zealand. The two-day event also included a vast array of new product launches to discover and excellent networking opportunities.

As you walked around this unique trade-only expo, attendees were able to discover new products and new companies to connect with, along with some exclusive deals.

Across the two days, attendees were able to see, hear, touch, taste and try the latest that the industry has to offer.

The success of the C&I NZ Expo proves that there is nothing quite like dealing face to face with people in your industry, developing relationships and catching up with colleagues again. Rubbing shoulders, sharing a coffee, and tossing around a few ideas with other retailers and suppliers can be a tonic for both you and for your business.

The inaugural C&I NZ Expo in 2019 brought together hundreds of retailers and suppliers from all banners and brands, and after a few setbacks due to the pandemic, the 2022 event exceeded all expectations, proving there is a hunger for a dedicated trade event for the New Zealand market.

A new addition to the C&I NZ Expo this year was the Great Retailer Pallet Giveaway where one lucky attendee walked away with a pallet of stock valued at more than $20,000.

The pallet giveaway was supported by more than 34 suppliers and included a wide range of products from beverages to snack foods, packaging, ice cream and more, which was a welcome addition to the shelves of the lucky winners in the lead up to the busy Christmas trading season.

Safa de Valois, Group Publisher and Commercial Director of C&I Media, said that the Great Retailer Pallet Giveaway had created a huge level of excitement and that he hopes it will become a permanent addition to the show.

Diane Holmes of Lakeside On The Spot in Te Anau on the South Island was the lucky winner, and although she wasn’t there for the draw, the C&I team was able to give her a call to let her know, and she was absolutely thrilled.

“It’s just so exciting. We’re from a small tourist town on the South Island and Covid just ruined us,” Holmes told C&I. “Trying to find money for stock has been such a challenge as all our money has gone into keeping staff, so we are just so thrilled.

The 2022 C&I NZ Expo and Symposium exceeded all expectations and proved there is a hunger for a dedicated trade event for the New Zealand market.

Alex Wright and Bowie Lam from Alt

Kerin Dickey (Bluebird) and Will Grigor (Night ’n Day)

– Diane Holmes, winner, C&I NZ Expo’s Great Retailer Pallet Giveaway

“We really are over the moon. This stock is going to be such a great help to us coming into Christmas. We’ll have to have a big staff party to celebrate because our staff has been so wonderful and stuck with us through the last few years.”

C&I’s Safa de Valois was delighted to give Holmes the news, and her reaction brought a tear to the eye of the whole C&I team, who were delighted for the prize to go to such a wonderful person and deserving business.

“We’d like to thank all of the sponsors who have supported the C&I NZ Expo and donated to the Great Retailer Pallet Giveaway, valued at more than $20,000,” said de Valois.

“We have had such a great response to this giveaway from attending retailers and can’t wait to do it again at the next C&I Expo.

“A big congratulations to Diane Holmes of Lakeside On The Spot Te Anau who was the winner of the $20,000 worth of stock.”

Another major giveaway at the C&I NZ Expo was from Pump TV, which gave one lucky attendee a prize of $20,000 worth of digital hardware for their petrol station forecourt.

Lewis Preston from NPD Retail was the lucky winner who walked away with the Pump TV prize.

Vern Brickman, Principle of Pump TV, congratulated Preston and provided some wonderful feedback about the C&I NZ Expo.

“On behalf of Pump TV, we’d like to congratulate Lewis for being drawn for this exciting digital prize and we offer all back end support to ensure that his journey into the digital age will be a smooth one,” said Brickman.

“This has been the most successful expo that we’ve been involved in for the last 10 years all over the world. We have found that the New Zealand business associations are very savvy and have adopted the digital footprint from a nice to have to a need to have. We expect to see huge growth here in New Zealand and we look forward to a new chapter with New Zealand being one of our most exciting markets.” C&I

We’re from a small tourist town on the South Island and Covid just ruined us. Trying to find money for stock has been such a challenge as all our money has gone into keeping staff, so we are just so thrilled.”

C&I’s Safa de Valois presents Cookie Time with the Retailer Giveaway Donor prize of a Series 8 Apple Watch

Sam McCool popping the questions to Rajiv Prasad of Panpac Distributors

Frucor Suntory’s Robyn Wake and Katherine Ledger

Anne Scholl, Brent Kennedy and Rebekah Cheeseman from Chantal Organics

Director, NPG Retail

From humble beginnings working at his father’s petrol station in Sydney’s West, now 30 years later, Eddy Nader sits at the helm of NPG Retail, a 55 million litre per annum petrol convenience business with seven retail locations and more than 80 staff members.

A passionate and engaged operator, Nader has created a trusted and recognised brand identity across NPG’s sites based on an unwavering commitment to quality and a willingness to try new things in a saturated and highly sophisticated coffee and convenience market.

“Our DNA is all about customer service and that stems from the time when we used to do driveway service,” Nader told the C&I NZ Symposium audience. “Mum and Dad would fill customers’ cars up, they checked the oil, they checked the air in their tyres and we’ve made sure that level of service is following through into our convenience arm.”

Changing things up in 2014, Nader shifted his focus to food service in-store and a baristafocused coffee offering that appealed to his core demographic, which saw the launch of Urbanista Café & Convenience.

“You don’t really expect to get a quality burger from a metro station or a convenience store,” he said. “We’ve been able to master that. What makes our burgers special is simple, we just make them with love.”

Nader credits the success of Urbanista Café & Convenience to a few factors, including his store’s sexiness, cleanliness, openness, and freshness. “But overall, I think it’s our award winning Urbanista coffee,” he said. “It’s our hero product.”

Bruce Cotterill, Motivational Speaker and Transformation Coach

Five-time CEO, business advisor, and author Bruce Cotterill was the keynote speaker on day one of the C&I NZ Symposium, outlining the key areas for business success in the current inflationary economy.

A lifetime leader who focuses on clear objectives to enhance personal engagement and improved customer orientation, he started his presentation by addressing the “terrible economic picture,” facing business in 2022.

“You can’t do anything about the oil prices, you can’t do anything about government policy, you can’t really do anything about the currency,” he said, highlighting the need to focus only on the aspects of business operations you have control over.

Cotterill then spoke of his seven principles of profit – dealing with change, leadership, back-office finance and administration, products and services, sales and marketing, people and customers.

“Everything we do in business falls under one of those seven headings,” said Cotterill. “So, as you think about your business if it doesn’t fall under one of those headings, really sit down and say to yourself, am I really in control of that? Can I do anything about it?”

This is especially important as we enter a tougher economic market, said Cotterill.

“We’ve got to focus on the stuff that we can do something about.

“We complicate the hell out of business generally, and my whole focus on business is about keeping things simple, and leadership is no different.”

Melinda Baillie, Head of Trents Wholesale Ltd

With almost two decades in the convenience retailing industry, Melinda Baillie is an experienced leader with vast experience in sales, marketing, operations, and management. She’s led award-winning teams since joining Cerebos Foodservice in 2003 and is now the Head of Trents Wholesale Ltd, a large food and beverage wholesaler covering the South Island of New Zealand.

Described by Dave Hooker, expo MC and Executive Director, New Zealand Association of Convenience Stores (NZACS), as a “futuristic thinker and straight talker who is passionate about people and strategy,” Baillie spoke at the C&I NZ Symposium about the evolution of her leadership style over the years.

Baillie said her style went from “directing and controlling” to a more collaborative approach shaped by observing the good and bad examples of leadership she saw around her.

“I got to watch and hear about the great, and not so great leaders,” she says. “The great leaders were the ones that were helping enable the teams who always had their team’s backs. The not so great ones weren’t very people-focused.”

Letting those examples shape her approach, she recounted particularly good advice she got when she started as the only senior female executive at Trents.

“I was told – walk the halls, go and see people. Don’t just sit at your desk and email them,” she said. “So, I have made sure that I’m visible and I’m approachable. I smile at people. I greet them. I engage with them. And I don’t pretend to be anything I’m not.”

Eddy Nader, Managing

Julie O’Toole, Country Lead, Coca-Cola Oceania

Julie O’Toole, Country Lead for Coca-Cola Oceania, spoke of some of Coca-Cola’s key pillars including packaging and the aim to use less and create a circular economy, and CocaCola’s target of reducing sugar in its beverages by 20 per cent per 100mL by 2025, as well as diversity and inclusion.

O’Toole said Coca-Cola has a target of reaching 100 per cent recyclable packaging, 50 per cent of packaging to be made from recycled content, and to be collecting and recycling a bottle for each one it sells, all by 2030.

“Across our entire portfolio within our plastic bottles, 100 per cent of bottles less than one litre are made from recycled plastic. That means that we’re starting to reduce our virgin plastic. In the year to October 2021, we reduced the virgin plastic produced by 3,700 tonnes. For people that need to visualise that kind of thing, that’s the weight of 1,000 elephants.”

Moving onto sugar, O’Toole said that New Zealand has the third highest rate of obesity in the OECD, and as a leading beverage manufacturer, they need to encourage New Zealanders to make healthier choices by providing low and no-sugar beverage options.

“We’ve reduced sugar in our beverages by 13 per cent since 2015, so we’re well on our way to a 20 per cent target. We’ve achieved this by reformulating our recipes and by creating and providing new low and no sugar beverages.”

Finally, O’Toole said that Coca-Cola is about creating equal opportunities, building inclusion in the workplace, and mirroring the society that we live in.

Haydn Tierney, Founder and Managing Director, Bowser Bean Café

The Founder and Managing Director of Bowser Bean Café, Haydn Tierney, is a leader with a retail focus and a passion for creating seamless and unexpectedly pleasant customer experiences.

With 18 locations throughout regional Victoria and NSW, Tierney has grown the network’s food and coffee sales by more than 500 per cent and established Bowser Bean as a world-class petrol and convenience offer. Speaking to the C&I NZ Symposium, Tierney explained what he’s done to differentiate the business successfully.

Originally flying under the bp banner, Tierney established the Bowser Bean brand to set his food and drink offering apart from the petrol side of the service station business.

Across the network, Tierney reports 24 per cent of shop transactions are fuel only, meaning three of four transactions are fuel as well as shop or just shop. “How do we do that?” asked Tierney. “Burgers and coffee. That’s pretty much what we’re about.”

Crediting the success of Bowser Bean to several factors, Tierney says shop fit-out is an important consideration that is often underestimated. “It’s really important with our fitouts that we don’t get overly focused just on food and coffee and we remember that we are petrol and convenience.

“We have petrol customers, and we have convenience customers who want traditional chips, chocolate and even tobacco or drinks. So, it’s important that our shops work in well together with all those categories.”

Andy Baird, General Manager of Retail, Z Energy

Andy Baird, General Manager of Retail at Z Energy, who had just returned from the NACS trade show in Las Vegas, discussed the challenges and opportunities he believes will face the industry, both suppliers and retailers, over the next three to five years.

“There are going to be winners and losers, and those that win will be those who are tuned into what they’ve got to do, are prepared to invest, prepared to take risks, and are prepared to do it now to set themselves up for the future.”

Baird spoke of how retailers in New Zealand need to capitalise on the change in wholesale supply by expanding more into selling groceries, and of the impact that Smokefree Aotearoa 2025 will have on the channel.

“I’m not sure if retailers are completely tuned into the Smokefree implications. For many businesses, tobacco trade accounts for anywhere between 30 and 70 per cent of their business. If you’re doing 50 per cent, you’re literally going to be out of business overnight when this new regime likely occurs in 2025.”

Baird said that retailers need to stop being so heavily reliant on tobacco, and start looking at fresh food, coffee, grocery, confectionery, and see tobacco as just a category sale and not something retailers are dependent on.

Mondelez celebrates 50 years of Philadelphia production in South Australia

Mondelēz International is celebrating 50 years of manufacturing Philadelphia at its Mount Gambier factory in South Australia.

Philadelphia is Australia’s most popular cream cheese, with the Mount Gambier factory producing 20,000 tonnes of it annually – this equates to around 80 million tubs. And the business sources close to 150 million litres of fresh milk from local dairy farms annually.

To mark the 50 year milestone, Premier Peter Malinauskas, Minister for Primary Industries Clare Scriven, past and present employees, and local dairy farmers gathered in Mount Gambier.

“The Mount Gambier Philadelphia factory is one of South Australia’s quiet export success stories, taking the Limestone Coast’s quality fresh produce to Australia and the Asia-Pacific,” said Premier Malinauskas.

“The Limestone Coast is a key economic driver for South Australia and has so much untapped economic potential, which is why my government is investing more than $130 million in the region.

“I congratulate Mondelēz International and its workforce on this significant milestone.”

The 50th milestone has sparked great pride and a huge sense of achievement for staff at the Mount Gambier Philadelphia factory, many of whom have been making Philadelphia for more than 20 years.

Site Manager Adam Borchers says he feels humbled and honoured to work with such an iconic and loved product enjoyed in Australia and around the globe.

“Philly is a brilliant example of taking the best of South Australian dairy to the world. A third of our volumes are exported to international markets including South Korea, Japan, and Taiwan. It’s a

thrill to know there’s a taste of South Australia in every cheesecake and on every bagel made using our brand.”

The Mount Gambier plant has no plans to slow down, with the business investing $50 million in the last decade to support growth ambitions and export opportunities. Local demand for cream cheese has surged since the Covid pandemic, with Australians inspired to spend more time in the kitchen.

The cream cheese maker has also recently teamed up with Cadbury, to developed Marble and Caramilk-inspired Philadelphia products, proving winners with Aussies and Kiwis.

“We’re incredibly proud of the last 50 years and look forward to continuing to be Australia’s favourite cream cheese spread for many years to come,” said Borchers.

DoorDash and Wing announce drone delivery pilot program

DoorDash and Wing have announced the commencement of a pilot program of a drone delivery service in Logan.

The initial service will be available to a select number of suburbs in the Logan community, delivering a range of convenience and grocery items, pantry staples, snacks, and household essentials by drone.

Rebecca Burrows, General Manager Australia at DoorDash, said drone delivery can provide an excellent complement to the company’s ground delivery services.

“Delivery drones create a quick, efficient delivery option for smaller orders weighing just over a kilo, and free up ground delivery services for larger deliveries that provide better compensation to drivers.

“This partnership will bring the most popular delivery bundles that customers can expect to receive in less than 15 minutes. Whether it’s

Vegemite and butter, iced coffee, corn chips and salsa, baby food and even band-aids, this will make accessing those last-minute necessities a whole lot easier.”

Eligible customers in the suburbs of Browns Plains, Crestmead, Heritage Park, Kingston, Logan Central, Marsden, Regents Park, and Waterford West, will be invited to participate via the DoorDash app.

Customers place their order and select drone delivery, and within 15 minutes their purchase will be delivered by drone.

Simon Rossi, General Manager at Wing Australia, said as Australia’s first on-demand drone delivery service, Wing is investing in a range of local pilot programs.

“Over the last few years, we’ve seen an acceleration of consumer demand for fast, contactless delivery options, and now people expect quicker, on-demand access to food, medicine, and convenience items.

“While Wing has traditionally provided delivery services directly to residential and business customers, to further accelerate our technology development, we’ll be increasingly working with marketplaces and logistics partners to expand their delivery options, making fast drone delivery afordable and sustainable for them, and their customers.”

Peter Jaeger joins Emma & Tom’s

Emma and Tom’s has appointed Peter Jaeger as National Business Manager – Retail to help drive visibility and sales across all major retail channels.

Jaeger brings more than 30 years of experience in the FMCG and health and wellness space. In this time, Jaeger has built a strong commercial understanding across multiple channels but also an understanding of the importance that the ‘better-for-you’ and ‘healthy foods’ categories play in peoples’ lives.

Jaeger said that he was attracted to the role due to Emma and Tom’s being very much like a family built on trust and respect with a positive approach to business.

“Their philosophy is ‘Look After Yourself’, and this means not only yourself nutritionally, but also in supporting the Australian farmers who grow the fresh produce for them. They are also committed to looking after the planet generally, through sustainability and caring for the environment, and are a Certified B Corporation.

“They are also 100 per cent committed to doing whatever it takes to get the job done and their products into the hands of consumers.”

Emma and Tom’s is an Australian-owned and operated company that has been around since 2004, producing healthy, nutritious, and minimally processed juices and snacks. The products are made free from preservatives, artificial flavours, and colours, and are also made with kids’ healthy eating habits in mind.

Jaeger said his new role will be focused on driving visibility and sales across all major retail channels including P&C and supermarkets.

“This will be through developing strategies for promotion, range, category development, and product innovation. What is also vitally important is building on the great relationships already in play and continuing that great record of service and support for their retail partners.

“I hope to build the reach of the business across all food channels, through developing strong partnerships with retailers and providing great product and category insights, service, and support.”

REDcycle announces temporary pause of operations

Announcing a temporary pause of its soft plastic collection service, REDcycle says it is committed to having the program up and running again as soon as possible.

While REDcycle reports a 350 per cent increase in demand since 2019, it says several unforeseen challenges, compounded by pandemic-related stresses, means it must halt services in the short term.

During significant supply chain challenges, REDcycle’s recycling partners have stopped accepting and processing post-consumer soft plastics, making the REDcycle business model unsustainable for the time being.

For now, REDcycle encourages customers to recycle their plastic waste in their usual home rubbish, as soft plastics are not recyclable in designated recycling bins, which only accept hard plastics.

The company can’t confirm how long their hiatus will last but assures clients and retail partners that everyone is working hard to find alternate solutions.

Since launching more than 10 years ago, REDcycle has diverted 5.4 billion pieces of soft plastic away from landfill and the natural environment and remains determined to keep its operations onshore.

Born from a desire to enable and empower individuals in her local community, founder Liz Kasell says she’s always sought to do the right thing for her community and the environment, and at this stage, the only way forward is to take a short break.

Oliver’s appoints new Chief Executive Officer

Tammie Phillips has announced that she will step down as CEO of Oliver’s on 21 December to pursue new opportunities within the health food consumer brand sector.

Phillips joined Oliver’s as CEO in June 2020 and has been instrumental in guiding the business through a period of significant transformation and strategic repositioning. She has overseen a complete restructuring of the business, its operations, culture, menu, and management, with demonstrable success.

Phillips will be succeeded by Natalie Sharpe, Oliver’s current Head of Supply Chain and Product. Sharpe has been the primary driving force in the Oliver’s menu development, bringing strong and experienced nutritional expertise to the company, which will underpin the forward momentum of Oliver’s.

Martin Green, Oliver’s Chairman, said the Board’s priorities in selecting a new CEO were identifying someone who truly understands the operations of Oliver’s and who will maintain the momentum in the business.

“Natalie has the ideal capabilities and attributes to lead Oliver’s through its next phase of growth and we are delighted that our new CEO comes from within the organisation,” he said.

Sharpe, who will transition into the CEO role on 21 December, said that Oliver’s has an exciting future and that she is passionate about the opportunities that exist for the company.

“I am honoured to have the opportunity to lead Oliver’s and I look forward to working with the Board and leadership team to deliver the next phase of growth.”

Phillips will continue to advise Oliver’s on key strategic projects in a consulting capacity until 31 March 2023.

Speaking about her tenure as CEO, Green thanked Phillips for her stewardship during a period of major change for Oliver’s.

“Tammie’s exceptional leadership and dedication allowed Oliver’s to trade through the pandemic.

“With the transformation complete, as reflected in the delivery of our most recent quarterly results and one of our best performing quarters since the onset of the pandemic, Tammie leaves Oliver’s well placed for the opportunities ahead. We wish her all the best in her future endeavours,” he said.

Natalie Sharpe is the new CEO of Oliver’s

SPAR Australia has announced the winners of its 2022 Supplier Awards recognising the support of key suppliers across various categories.

The awards were presented at a dinner hosted by Robin Bailey, radio broadcaster and TV presenter, with Bulla Dairy taking out the 2022 Supplier of the Year.

SPAR’s theme this year was ‘Better Together, Progress with Purpose’ and Lou Jardin, Managing Director of SPAR Australia, presented to the group and spoke about the critical role SPAR’s suppliers play in the success of the business – from support of SPAR’s merchandise team in category reviews and consolidating support to promotional support.

Jardin shared SPAR’s five key strategies – presenting a value statement, implementing a focused range, clearing the clutter, merchandising for sales, and keeping it clean and fresh.

Mark McGuinness, the recently appointed Chief Operating Officer, was also introduced by Jardin. McGuinness shared insights about the journey towards the newly built Australian SPAR distribution centre and head office.

Presenting the awards were Jardin and Colin Dwyer, National Merchandise Manager at SPAR Australia.

“SPAR Australia would like to thank all of the suppliers who supported SPAR Australia both at warehouse and retail levels throughout 2022 and congratulated both the nominees who made the judging process extremely competitive and the winners on their success.” C&I

SPAR Australia Supplier of the Year – Bulla Dairy. Eamon Voege with Lou Jardin

Convenience Foods Supplier of the Year – The Smiths Snack Food Company, received by Jared Wellington Robin Bailey Chilled and Frozen Foods Supplier of the Year

Bulla Dairy, received by Eamon Voege

FIXING AUSTRALIA’S VAPING CRISIS

VAPING IN AUSTRALIA HAS GONE COMPLETELY MAINSTREAM. SOME 1.2 MILLION AUSTRALIAN ADULTS ARE NOW VAPERS AND ONLY 12% ARE ACCESSING THEIR PRODUCTS THROUGH LEGAL CHANNELS*. THE POLICY IS A MESS.

How did we get here?

Retail sales of nicotine vaping banned in October 2021

Prescription required

Created black market now estimated to be over $2 billion in retail sales in Australia

Risks to consumers as all products being sold are unregulated with no standards

For the retail industry, the black market trade comes at a cost to foot traffic, drawing away people who may have previously bought tobacco but have switched to vaping. The retail industry’s reputation is also on the front line as renegade retailers sell under-thecounter, unregulated products, putting all Australians at risk.

It’s chaos. But we can fix it with

• Retail sales on production of age ID

• Product standards

• Electrical safety standards

• Packaging standards

• Ingredient standards

• The Ban of online sales

• Strong penalties for sales to minors

Supplying children

Currently costing the Australian Government over $800 million in GST revenue over 4 years

Taking up GP time and could cost Taxpayers $50 million

We are fighting for sensible, practical change.

Add your support and stay updated at aacs.org.au

* Roy Morgan and Convenience Measure Australia research, 2022

HOW TO EXPLAIN FUEL PRICES

CUSTOMERS

With fuel prices being at record highs, changes to the fuel excise and intense media coverage we are seeing an increase in customers demanding answers from fuel retailers as to why fuel prices are so high.

So why are fuel prices so high? As a fuel retailer, it’s not only important that you have a good understanding of how to answer this question but that your staff are also able to answer the questions customers throw at them.

Consumers enter the petrol station armed with accusations as to why they are being ‘ripped off’. To give customers a good answer to their questions we need to be clear on the facts behind fuel pricing in Australia.

There isn’t a simple answer to these questions as there are a range of factors that affect fuel prices in Australia.

A large percentage of fuel that is sold in Australia is brought into the country as finished product. This finished product is ready to be sold to consumers and is sourced from a range of suppliers, mainly through Singapore.

In the past Australia refined a lot of its own fuel, but in recent years due to the age of our refineries and the cost of production, many of our refineries have been closed. This has resulted in an increase in imported fuels. As a country,

we are now more affected by changes in international benchmark prices and global influences in fuel pricing.

Some of these global influences include tensions in the middle east, crude oil prices set by OPEC, supply and demand and political unrest.

Changes in international fuel prices take around two weeks to filter through the supply chain and affect the retail price in Australia.

Because international fuel prices are in US dollars, a change in the value of the Australian dollar can affect fuel prices in Australia.

If the value of the Australian dollar decreases, we pay more for crude oil and finished product, which increases the retail price of fuel.

As with any business, fuel wholesalers and fuel retailers have costs associated with supplying a product and service. These costs are reflected in fuel prices. Some of these costs include transport, storage, utilities, insurance, and staff costs.

Many consumers don’t realise how heavily fuel is taxed in Australia. There are two taxes that are associated with fuel. GST and the fuel excise.

DAN ARMES

Founder ServoPro

Consumer frustration with the price of fuel comes from a lack of understanding about the retail fuel market, writes Dan Armes.

TO YOUR

The fuel excise is a government tax that is indexed twice a year in line with the consumer price index (CPI). This increase usually takes place in February and August. The last increase in the fuel excise was set at $0.46 per litre in September 2022.

All retail fuel prices in Australia have the normal GST component of 10 per cent.

It is interesting to note that GST is calculated on fuel after the fuel excise has been added. This means when purchasing fuel in Australia consumers are paying a tax on a tax. When talking to consumers, it is important to remind them that when they purchase fuel, almost half the cost is government taxes.

Although all these factors affect fuel prices in Australia, it is important to note that a change in one of these may not have a direct impact. All these factors need to be taken into consideration when looking at the domestic fuel market. Many consumers in Australia are under the impression that fuel prices should change according to any one of these factors, including the Australian dollar or oil prices. This simply is not the case.

Leading up to Christmas, Easter, and other holidays the media starts spruiking that every time there are school holidays or a public holiday the price of fuel goes up. In recent years, the ACCC has reviewed this and found that on average there were no increases in the price of fuel

associated with holidays. If there was a rise in fuel prices leading up to a holiday, it was part of the normal price cycle we see in Australia’s metro areas.

Petrol price cycles are a normal part of the fuel pricing landscape in Australia. Price cycles can cause consumers to become frustrated as they see the retail fuel price fluctuate without the change being directly related to changes in wholesale prices.

Price cycles are caused by pricing strategies of fuel retailers and mainly occur in metro areas including Sydney, Melbourne, Adelaide, Brisbane, and Perth. The length of the price cycle varies by area. The ACCC has indicated that price cycle durations range from 11 days to 61 days. While many consumers find the price cycle frustrating, those savvy customers who watch the cycles are able to fill up while the price is low.

Price cycles are mainly seen in metro areas because there is a greater concentration of petrol stations and stronger competition. At the high point of the price cycle, fuel retailers, while enjoying a higher profit margin, decide to lower their retail price to drive more volume. Their competitors then drop their prices to compete, and we see prices steadily go down until they reach a point where profit margins are unsustainable.

It is at this low point that fuel retailers need to raise prices to make a profit. When one fuel retailer raises their prices, their competitors do the same. Reviews by the ACCC have shown that prices tend to go up a lot faster than they go down during the cycle.

Most consumer frustration with the price of fuel comes from a lack of understanding about the retail fuel market. The retail fuel market is highly competitive, which ensures consumers are paying a fair price.

Through our work with independent fuel retailers at ServoPro, we have found that on average, it costs a fuel retailer around 10 cents to sell a litre of fuel. This takes into consideration staff costs, insurance, utilities etc. With this cost in mind, it leaves a very small net profit for petrol station owners.

With a sound knowledge of how fuel prices work in Australia, ServoPro members are educating their customers on the facts surrounding the price they pay for their fuel. C&I

Changes in international fuel prices take around two weeks to filter through the supply chain and affect the retail price in Australia.”

– Dan Armes

FIRST IMPRESSIONS COUNT

PUMPS FROM GILBARCO VEEDER-ROOT THAT DRIVE A BETTER CUSTOMER EXPERIENCE

With a sleek, contemporary design and uncluttered, easy-to-use interface, Gilbarco VeederRoot’s latest SK700-II Dispensers make a fantastic first impression, combined with your own brand identity that will have drivers wanting to make a fuel stop at your forecourt.”

The quality and appearance of your fuel dispensers plays a major role in enticing motorists to choose your location over others, and once on-site your offers can attract them to make in-store purchases that will boost profit for your business.

With a sleek, contemporary design and uncluttered, easy-to-use interface, Gilbarco Veeder-Root’s latest SK700-II Dispensers make a fantastic first impression, combined with your own brand identity that will have drivers wanting to make a fuel stop at your forecourt.

In even better news, for a limited time, Gilbarco VeederRoot is making it more attractive than ever to upgrade to SK700-II Dispensers, by offering an additional six months of extended warranty on top of the units’ standard 12 months of coverage. And unique in the Australian market, Gilbarco Veeder-Root’s on-site warranties include both supply and fitment of new parts installed by one of the company's qualified technicians – that’s peace of mind.

Along with this attractive extended warranty and the better customer experience, there are other important reasons why operators should strongly consider upgrading their dispensers to the SK700-II range, particularly if they’re currently using aging pumps. Older pumps and dispensers typically require more maintenance and can accrue expensive technician call-out fees – increasingly, parts supply can also be an issue, turning relatively simple repairs into a drawn-out process that ultimately leads to increased downtime and reduced revenue for your business.

This won’t be a problem with SK700-II Dispensers, which feature industry-leading accuracy along with advanced safety features such as secure interface pulser, password protected electronics, and anti-fraud software. Flow rate control software, electronic calibration, magnetic nozzle switching and ‘pay at pump’ capabilities also add to the overall convenience and customer experience.

Upgrading to a SK700-II Dispenser is a relatively fast process, with a like for like replacement normally only taking a few hours, with limited disruption to business operations. The SK700-II range is also versatile, with a dispenser available to suit just about every size of forecourt. On offer are single hose/grade units through to 10-hose, five grade variants in a selection of standard, high and ultra-high flow rate formats. The dispensers are also designed and manufactured to integrate with increasingly popular alternative fuels and supplements such as Adblue, E85 and Biodiesel.

To begin reaping the benefits that Gilbarco Veeder-Root’s latest SK700-II Dispensers can deliver to your forecourt, as well as enjoying the added assurance of a six month extended warranty and Australia’s most comprehensive on-site support program, contact your representative today. Gilbarco Veeder-Root has a variety of dispensers available in stock for immediate delivery and fitment. Visit gilbarco.com for more information or contact sales.oz@gilbarco.com or phone 1300 131 867.

*Offer valid until 31 January 2023. Some terms and conditions apply. C&I

Gilbarco Veeder-Root’s industry leading SK700-II Dispensers now come with the added assurance of an extended warranty*.

SPAR convenience stores partner with Till Payments to modernise payment infrastructure

SPAR will partner with Till Payments to overhaul its current payment infrastructure with 5,000 new payment terminals and updated payment processing services at SPAR headquarters.

Stores under the care of SPAR headquarters in Northern NSW and Southeast Queensland will be the first to trial the new payment processing and terminal solutions, with franchised stores to follow.

Chris Hicks, Chief Revenue Officer at Till Payments, said the partnership is a natural fit as both businesses have goals and values that align.

“We’re very proud to be assisting SPAR Australia in modernising their payment stack. The SPAR Australia network is noted for its community and partner-centric approach to business. In a Canstar Blue survey last year, it was rated Australia’s most popular convenience store, which is a clear testament to the great work they do across the network.

“When the opportunity to win the business presented itself, we were

Uber and bp announce new strategic partnership

Bp and Uber have announced a new partnership that will give Uber driver partners access to offers on bp fuels and convenience products.

The partnership was independently signed in Australia and is the first partnership signed under bp’s new BP Rewards Unlocked initiative to provide incentives to business customers and partners in Australia.

Frédéric Baudry, President of bp Australia, said the new partnership reflects bp’s commitment to continue to respond to the mobility and convenience needs of its customers and is another major milestone for the business.

Uber driver partners and delivery people will have access to offers at participating bp service stations such as discounts on fuel, Wild Bean Café barista coffees, Mini Wash Car Wash, and other shop offerings at select sites.

Dom Taylor, General Manager at Uber ANZ, said its driver partners and delivery people are the beating heart of the Uber platform, and they’re always working to improve their experience and make it more meaningful.

“We’re always listening to feedback from our earner community, and we’re excited to introduce these new discounts in partnership with bp. We’re always looking for ways to leverage the power of Uber’s network to deliver value for the people powering the platform.”

confident in our ability to create an end-to-end payment solution that could further enhance the network’s top-tier customer experience, and we’re thrilled that our vision clearly resonated with SPAR Australia,” said Hicks.

Lou Jardin, Managing Director at SPAR Australia, said the Till solutions were in-line with SPAR’s dedication to excellent customer service.

“Till presented us with a complementary suite of end-to-end payments solutions that offered various benefits to our franchisees and the endconsumer. As a business built on our reputation for superior customer service, we couldn’t pass up the opportunity to further enhance our already award-winning customer experience,” said Jardin.

Benefits of the new technology include improved cash flow and sameday funding seven days a week, seamless integration with existing POS systems, enhanced connectivity with dual SIM and wifi-equipped terminals, automated reconciliations and round-the-clock customer service.

Frédéric Baudry, President of bp Australia and Dom Taylor, General Manager at Uber ANZ

Ü Envirotank double-wall tanks are fully compatible with all modern fuel types including alcohol blends and low sulphur diesel.

Ü Double-Walled Envirotanks fully comply with the secondary containment requirements of AS 4897. This is in addition to the design meeting AS 1940 and UL 1316.

Ü Two (2) 100% corrosion proof and structural walls provide the ultimate in leak protection.

Ü The Hydroguard® System is a proven hydrostatic testing system that continuously monitors the integrity of the inner and outer tank walls in all installed conditions.

FUELLING CRIME

Rising incidents of unpaid fuel, in the UK, have pushed the latest Forecourt Crime Index to a new record high of 244, according to the British Oil Security Syndicate (BOSS). Simon King looks at the rise of fuel theft in the UK, as well as closer to home in Australia and New Zealand

During the three months to 30 September 2022, the BOSS Forecourt Crime Index increased 16.7 per cent to 244.1, from 209.2 in the second quarter of the year, reaching the highest level since the Index was introduced in 2015.

Forecourt fuel crime falls into two categories. Firstly, a drive-off from a forecourt means without paying for fuel, and secondly, drivers may claim to have No Means of Payment (NMoP), so they then agree to pay within an agreed time scale, and subsequently fail to pay.

The Index collates reports of NMoP and drive-off incidents made to BOSS Payment Watch, the specialist forecourt fuel loss recovery service.

BOSS has found that during the third quarter of 2022, NMoP incident reports increased by 18.3 per cent, while the number of drive-off incidents climbed by 13.8 per cent. Incidents of unpaid fuel are 32 per cent higher than in Q3 2021, BOSS said.

Claire Nichol, Executive Director of BOSS, said that since BOSS began recording data about unpaid fuel incidents, the not-for-profit organisation has found a correlation between rising fuel prices and increases in the number of incidents.

Nichol said: “Escalating fuel prices during 2022 indicate that the unpaid fuel incidents are likely to be costing forecourt retailers more than £100 million (A$176.5m) per annum.”

In terms of actual incident numbers, BOSS members record around 800,000 unpaid fuel incidents annually, and while petrol prices in the UK have stabilised, the cost-of-living crisis is set to increase the number of unpaid fuel incidents.

BOSS estimates that incidents of unpaid fuel can cost busy forecourts as much as £10,000 (A$17.653) in lost revenue every year.

Nichol continued: “To combat forecourt crime, BOSS operates Payment Watch, the UK’s largest and most successful debt recovery service designed specifically for forecourt retailers.

“Payment Watch was devised to provide a sensitive and simple way to allow drivers to confirm they’ve no means to pay for fuel that has been drawn. Payment Watch allows motorists to return and pay for unpaid fuel, either in person, online or via phone.

“Sixty-five per cent of drive-off incidents involve a motorist filling up, failing to pay, and then driving away without making payment for fuel.”

Nichol said that more than 80 per cent of NMoP are settled within seven days, and where vehicle information is valid, which is not always the case, 97 per cent of drive-off incident debts are collected.

In a similar way, Forecourt Eye collects payments on behalf of around 1,000 forecourts across the UK. The company said there are up to 3,000 attempted thefts a month at sites where Forecourt Eye is working.

When pump prices reached record levels, stealing fuel from cars and forecourts came from two types of thieves –the desperate and the organised.

Luke Bosdet, fuel price spokesperson for the Automobile Association, said: “Some fuel is stolen because the thief is someone who relies on their car, motorbike, or scooter

to get to or go about their work, but their finances have been broken by the cost-of-living crisis; stealing fuel then becomes an act of desperation.

“And then you have the organised thieves who see the high price of an essential item as highly lucrative and easily sold on.”

OPERATORS REPORT MIXED PICTURE

WHEN IT COMES TO

FORECOURT CRIME

Ilyas Munshi, Group Commercial Director at the Euro Garages Group, which operates 400 forecourts across the UK and 540 sites in Australia, said that the company has not seen any change in the volume of drive-offs.

Munshi said: “The reason for this is that we have invested in our sites. People that are going to target drive-off theft are being recorded and our forecourts are well lit; they will take that into account, and they don’t tend to come onto our sites.”

He said that independents are being hard hit by fuel crime.

“Independent operators need to invest in cameras and lighting if they want to reduce incidents of drive-offs,” he said.

“Most sites have Automatic Number Plate Recognition, so we register vehicles when they come on our sites.”

In Blackwood, South Wales, a spokeswoman at the Euro Garages Group-owned Texaco site, said: “Drive-offs do happen every now and then; they pay up if the police catch them – if you fill up and have NMoP, we give customers 24 hours to come back with payment.

“Obviously, the onus is on the customer to come and pay us, but drive-offs are getting progressively worse.”

Just off junction 28 of the M4 motorway in South Wales is the High Cross petrol station, which features a Texaco petrol station and Co-Op store.

A spokesman for the site said that it has an ongoing problem with Drive Offs and NMoP.

“Drive-offs happen fairly regularly here,” the spokesman said. “We have around 20 drive-offs a month – that’s five a week – and lose about £2,000 (A$3,500) a month.

“We get the vehicle registration plate and pass it to the police, but there’s a five-day leeway for people to come and pay before we do that.”

In Haywards Heath, West Sussex, a spokesman for the Shell-branded The Birch petrol station, said that the challenge of drive-offs is not as prolific at that site, but has been at other sites he has worked at.

“Drive-offs do happen in Haywards Heath occasionally, but when I worked at forecourts in Gloucester and Cardiff, people purposely filled their cars with fuel and then did not pay,” the spokesman said.

“In terms of payments, pay-at-pump is a deterrent, as you need to insert your card and enter your PIN, before the pump can be accessed.”

In Blackwood, South Wales, a spokeswoman for the Esso-branded Blackwood Service Station, which is owned by D.K. Forecourt, said that if customers have not returned to pay for fuel within seven days, then their details will be passed to police.

At the branded Crown Cross Service Station, owned by D.K. Forecourt, in Pontllanfraith, South Wales, a spokeswoman said: “Drive-offs happen here from time to time, and I think it’s going to get worse as the cost-of-living crisis starts to bite this winter.” C&I

Fuel crime in Australia and New Zealand

Australia’s National Roads and Motorists’ Association (NRMA) reports that fuel theft costs the country’s forecourt sector A$82m annually.

NRMA spokesman Peter Khoury said: “It’s illegal, it’s wrong and you have a good chance of getting caught; regardless of what the petrol price is, you shouldn’t be stealing fuel.

“The A$82m cost of theft works out to be a cost of A$10,000 a year for every single service station in the country.”

Victoria-based business Drive Off Alert works with 300 forecourt sites in

Australia, and recently started offering a service in New Zealand.

Mal Bandyala, Managing Director of Drive Off Alert, said that lack of effective deterrent at store level is entrenching fuel theft behaviour.

“Stores without a dedicated system lack this capacity and may end up helping to entrench this erroneous behaviour,” he said.

“Back in the day, systems like ours used to be cost prohibitive, but with the latest innovations, technology has become versatile and modular.”