C&I Retailing Magazine June-July 2019

JUNE/JUL Y 2019

*Source IRI Scan, Australia Grocery & Convenience, MAT TO 05/05/19 VALUE SALES (DOLLARS)

AUSTRALIA’S NO.1 FUNCTIONAL SPORTS WATER BRAND*

FIRST 500 ATTENDEES EACH

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FREE SHOWBAG 14-15 AUGUST 2019

INTERNATIONAL CONVENTION CENTRE SYDNEY

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www.candiexpo.com.au

1300 789 845

REGISTER NOW www.candiexpo.com.au

1300 789 845

VENUE Hall 5, International Convention Centre Sydney, 14 Darling Drive, Sydney, NSW 2000

TRAVEL CAR + PARKING ICC Sydney has two car park facilities located within the Exhibition Centre and ICC Sydney Theatre, comprising a total of 826 car spaces. Additionally, there are secure car parks located in and around Darling Harbour, including Wilson Harbourside Car Park and Wilson Darling Square Car Park.

FERRY Cruise into Darling Harbour on a ferry with direct services from Circular Quay, King Street Wharf or Pyrmont Bay Wharf. Captain Cook Cruises operates services between Darling Harbour Convention Wharf, Barangaroo King Street Wharf No.1 and Circular Quay.

SYDNEY LIGHT RAIL The Light Rail travels right through a number of Darling Harbour stations including ICC Sydney’s stops, Convention Centre and Exhibition Centre. The Light Rail starts at Central Station in the CBD and travels to Dulwich Hill.

TRAIN A short walk from Central or Town Hall will take you directly to Darling Quarter, Tumbalong Park and Sydney Visitor Centre. Town Hall and Central Stations are a 10-minute walk from ICC Sydney.

BUS ICC Sydney has its own bus stop. Bus routes 389 and 501 stop at Harris Street near Allen Street – a 10-minute walk.

TAXI The best taxi drop off and pick up locations include the new Iron Wharf Place next to Harbourside Shopping Centre and Zollner Circuit on the Southern end of ICC Sydney Theatre, both accessed via Darling Drive.

WATER TAXI Water Taxi is a great option for getting to and from Darling Harbour. Water Taxi’s depart from The Rocks, Circular Quay, The Opera House and Luna Park.

AIRPORT Darling Harbour is only 8km from Sydney Airport.

For any enquiries, please contact: Safa de Valois Publisher & Commercial Director t: 02 8586 6172 m: 0405 517 115 e: safa@c-store.com.au

Ben Curtis National Sales Manager t: 02 9660 2113 m: 0415 404 264 e: bcurtis@c-store.com.au

THE CONVENIENCE & IMPULSE EXPO 2019 Organised by: Interpoint Events Pty Ltd in conjunction with C&I Media Pty Ltd

C&I EXPO REVAMPS IN SYDNEY 2019

Categories on trend

Now in its 28th year, C&I Expo is Australia’s largest and most important trade event for Convenience retailers. Unique in this industry, the show is open to retailers and suppliers from all banners and brands and ensures a valuable 2 days of business development.

More networking

If you own or work in independent grocery, a convenience store, a petrol station, a corner store or mini-mart, C&I expo is the one annual event you should not miss. Come and sample new products to bring customers through the door, learn from experts with years of experience growing their businesses and meet directly with suppliers who are actively addressing problem areas for store owners.

Admission to C&I Expo 2019 is free.

The 2019 expo promises to showcase a range of new products that are leading the trends in healthy snacking, meal replacements and functional beverages.

C&I will host the official Happy Hour drinks on the show floor from 4:30pm on Wednesday 14th August. This is the perfect chance for retailers to join suppliers for a free drink or two and chat about business opportunities in a relaxed setting.

AACS Convenience Leaders Summit

C&I is delighted the AACS Convenience Leaders Summit will coincide with the expo again in 2019 and will take place on Thursday 15th August at ICC Sydney. Tickets can be purchased via the AACS website and attendees to the AACS Leaders Summit will receive a complimentary $20 lunch voucher to spend at the C&I Expo.

Confirmed speakers are:

We’re excited to introduce brand new elements to the 2019 expo.

• Jeff Rogut - CEO, AACS

C&I Industry Symposium

• Julie Laycock - AACS Chair, and Head of Marketing, 7-Eleven Australia

The C&I Industry Symposium will launch on Wed 14th August, where some of Australia’s leading retailers and experts will present on the topic “Doing your own thing”, why it’s so beneficial to be clear about your brand and develop your own product offering.

• Beatrice Bowen - Head of New Business and Innovation, Caltex • Jeff Griffiths - Managing Director/Owner, Endeavour Petroleum • Haydn Tierney - Marketing Manager, Vantage Fuels • Michelle Pascoe - Owner, Optimum Operating Procedures & Services The Symposium will be hosted by Nicola Richardson - Sales Director at Lion Dairy & Drinks.

New exhibitors, more technology

More than 100 suppliers will be exhibiting at C&I 2019, including established category leaders and a raft of new companies eager to showcase brand new products and services which benefit owners and operators in retail. From improved technology to make your equipment more efficient, to security systems which prevent store theft, we’re delighted to welcome several new exhibitors in 2019 that specifically address sore points for retailers.

• Frank Beard - Analyst/Evangelist, Convenience Store and Retail Trends, GasBuddy • Corporal Mark Donaldson VC - Australian Army • Shaun Cousins - Executive Director, Retail and Consumer Analyst, J.P. Morgan • Corinne Barclay - Director, Convenience Measures Australia • Presentations by AACS PJ Winners

WHEN IS IT ON? Wednesday 14th August 2019 10am – 12pm

C&I Industry Symposium

12pm – 5pm

C&I Expo Day 1

4:30pm – 5:30pm

Happy Hour at C&I Expo

Thursday 15th August 2019 10am – 3pm

C&I Expo Day 2

10am – 4:30pm

AACS Convenience Leaders Summit

12.10pm

Complimentary lunch at C&I Expo for AACS Summit attendees Sponsored by Lion

6.30pm

Pre dinner drinks then AACS Gala & Awards Dinner at The Star

C&I INDUSTRY SYMPOSIUM Wednesday 14th August 10am – 12pm at ICC Sydney C&I is excited to announce the C&I Industry Symposium as the opening event for the 2019 expo. The symposium is designed to motivate and educate, and we encourage all retailers and suppliers to attend.

The topic for this year’s symposium is “Doing your own thing”. Three of Australia’s leading petrol and convenience retailers will discuss why it’s so beneficial to be clear about your brand and develop your own product offering.

Symposium guests will be then shown how to audit their own brand and how this helps identify and attract customers.

Tickets are $25 ex GST. Seats are limited and tickets are available through the expo registration page.

Confirmed speakers Jeff Griffiths Owner, Endeavour Petroleum Jeff has concentrated his retail efforts into serving the needs of communities in regional cities and towns, rather than sticking to a traditional convenience offer. In some stores, he has ranged hardware, camping equipment, stock and station needs, targeted food offers and so on. If the town hasn’t got it, Jeff tries to provide it.

Haydn Tierney Marketing Manager, Vantage Fuels In 2009, Haydn joined the family business previously known as Tierney Petroleum. Since this time, the company has transitioned to a 30-site network of commission agency and company run P&C locations under the Vantage Fuels banner. Haydn’s ambition to improve the P&C offer and differentiate his sites from competitors has led to the creation of the Bowser Bean brand. This food and coffee focused operation currently operates out of 12 sites within the Vantage Fuels network.

Beatrice Bowen Head of New Business and Innovation, Caltex Beatrice is part of a team leading the charge in transforming the retail business at Caltex. Having oversight of design and implementation of new retail formats and finding innovative ways of solving customers’ problems, Beatrice has a passion for out-of-the-box thinking and more recently ran an accelerator program to attract start-up talent to Caltex. Beatrice has experience in managing multiple test and learns, constantly challenging the traditional ways of doing business and rolling out a number of successful initiatives.

Michelle Pascoe Owner, Optimum Operating Procedures & Services (O.O.P.S) Michelle is an international speaker, accredited trainer, author and podcaster. Establishing her company in 1994, Michelle has a passion for the customer service industry, with a strong focus on mystery shopping and team motivation.

Michelle specialises in every aspect of service operations and processes, looking holistically at the overall impact on the customer experience. In Michelle’s primary role as a speaker and accredited trainer, Michelle combines extensive experience and specialised knowledge with an absolute commitment to igniting the potential in each and every individual.

MC Nicola Richardson Sales Director, Lion Drinks & Dairy Nicola has worked predominantly in the FMCG industry in various sales, marketing and category management roles. Nicola has been in the industry for 18 years, and 11 of those years spent in Drinks & Dairy. After university, Nicola started her marketing career in various brand management roles for Dulux Paints, National Foods and Campbell’s Soup in the UK. In 2006, Nicola re-joined Lion (National Foods) with a move into sales, working in the NSW field team. Nicole has spent time in sales strategy, activation and category management before moving back into marketing. In 2014 Nicola was appointed as the Marketing Director, and shortly after Sales Director.

Nicola is a board member for Vitasoy Australia.

Register today to avoid missing out!

Tickets to the C&I Industry Symposium are $25 ex GST and include a complimentary morning tea.

CONTENTS

EDITORIAL

JUNE/JULY 2019

26 Features and forums and fundamentals

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10 FACETIME

Chrish Graebner, Level Beverages

14 STORE REVIEW APCO x IGA

18 AACS

2018 State of the Industry Report

22 CATEGORY FEATURE: KOMBUCHA

Kombucha is attracting new beverage customers to the convenience chillers

26 CATEGORY FEATURE: CHOCOLATE BARS Blocks and bars still delivering sweet profits for convenience

30 CATEGORY FEATURE: FLAVOURED MILK Flavoured milk is a category that is brimming over with options and choice

34 LEADERS FORUM

Read what the leaders in our industry have to say

54 PRODUCT NEWS

very year we look forward to the release of the Australasian Association of Convenience Stores (AACS) State of the Industry Report.

The report is released annually and ‘shows revenue generated through in-store merchandise sales in 2018 was up $201 million on the 2017 result’.

AACS CEO Jeff Rogut said of the report: “It’s a credit to the leading retailers and suppliers in our industry and a reflection of their efforts to adapt their offer in a way that resonates with their customers and reinforces their value proposition”.

To get insights and for more information about the State of the Industry Report, read C&I’s special four-page spread, focusing on the industry.

We’re also ramping up promotions for the most exciting event of the year– the C&I Expo 2019. Last year’s expo was held in Melbourne and was chock-full of businesses and brands ready and willing to showcase their latest product developments and partner with new clients.

And did we mention that the C&I Leaders Forum is back for another year? This year we’ve widened the scope and spoken to industry leaders, suppliers and retailers within the convenience space to find out what they’re most proud of and what is still to come.

After 27 years of successful expos in Australia, the C&I Expo is making its debut, September 2019 in Auckland, NZ. This is an incredible opportunity for the industry to encourage both individual business growth and further collaboration.

Also in this edition we speak to Level Beverages Managing Director Chrish Graebner about how he came to create his own beverages.

We also get a look inside the new APCO x IGA store on page 14.

Keep reading for your usual dose of convenience industry insights!

Lucy Marrett Editor

C&I Choice, and all the latest in NPD

60 SPECIAL FEATURE: PERSONAL CARE An important category that is often overlooked

54 OPINION PIECES

Charles Watson, Darren Park, Michelle Pascoe

60 INDUSTRY NEWS

Interview with ER Group

74 PETROL NEWS

Dan Armes, Dover, Motor Mouth, roundup

80 SUPPLY FIND 6 June/July 2019 | C&I | www.c-store.com.au

Safa de Valois

James Wells

Keith Berg

Ben Curtis

Jeremy Gough

PRIME TIME

True Wireless Sound Airbudz Harnessing the power of plant protein!

Globally the plant protein market is forecasted to be a $16B category by 2022! Australia is the 3rd fastest growing market globally. This only points to one thing, our consumers are increasingly on the lookout for healthy plant solutions, with the demand increasing exponentially and more commonly toward an on-the-go format. Freedom Foods have recognised this opportunity and launched PEG, a NEW range with enough Plant Energy Goodness to meet this need. The range is packed with protein, iron, zinc and fibre and available in deliciously healthy bars and bites to keep users full of energy and ready to take on the day!

Orders: contact your freedom foods rep or customer service on 1800646231

Nestlé SNAK ‘IT

WalkNTalk 5000mAH LED Powerbank

With a ‘lil bit of sweet & a ‘lil bit of salty the new Nestlé SNAK ‘IT range is bringing shoppers their favourite brands; with a twist!

These unique on the go SNAKs combine a blend of sweet & salty treats into a handy SNAK pack. The range brings KitKat; the #1 bar brand in Australia, along with Milkybar; the #1 White Chocolate brand and your favourite treating brand, Smarties into a winning new format.

SNAK ‘IT combines a unique blend of sweet and salty treats including KitKat bites, Milkbar buttons and Smarties along with pretzels, popcorn and amonds into three variants that are set to change the way you will SNAK! Multiple flavours, multiple textures, multiple trips to the mouth in a new format that will tempt your shoppers to try & try again!

Published by C&I Media Pty Ltd (A division of The Intermedia Group) 41 Bridge Road (PO Box 55) Glebe NSW 2037 Tel: 02 8586 6292 Fax: 02 9660 4419 E: magazine@c-store.com.au

There is enough about life to get tangled up in other than your headphones! Free yourself from a life of wires with the Fuse True Wireless Sound Airbudz. Similar to the most popular simplistic white wireless earbuds in the market, the styling of these Airbudz are sure to resonate with all. Take calls on the move and run the day to your personal soundtrack. What device do you use? Enjoy seamless pairing with any Apple or Android phone or tablet. Added convenience comes in the form of a super compact charging case to keep your Airbudz charged and protected on the go, with a combined listening time between the Airbudz and case of 8 hours plus these little guys will keep with you all day long.

Free yourself from wires today and Ignite your Ears.

Publisher: C&I Media Pty Ltd Safa de Valois Commercial Director: Safa de Valois Editorial Director: James Wells

Have you experienced the convenience of a Powerbank? Charging on the go has revolutionized how we use our devices and ensure we stay connected when it matters most. Until now most Powerbanks display their charge by 4 flashing indicator lights, but how do you know whether that last light is 25% or 2%? Problem solved! The next age of Powerbanks has arrived, featuring a LED Battery Power indicator making every percent count. The WalkNTalk Powerbank comes ready charged and ready to go with Dual USB and 2.1amp output, giving the user the ultimate in convenience charging two devices at one or one larger device from the reliable Lithium Ion Battery. Additional upgrades to the outer casing and a fast recharging USB-C input round out the newest upgrades to the ultimate travel and day companion.

Join the new age of the Powerbank today and stay connected.

Editor at Large: Keith Berg

Features Editor: Jeremy Gough

Editor: Lucy Marrett

Graphic Designer: Adrian Tipper

Account Manager: Ben Curtis

Contributor: Simon King

DISCLAIMER This publication is published by The Intermedia Group Pty Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by Australian and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials.

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.

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Exhibitor stalls are filling up fast for the C&I Expo 2019 Sydney.

Book your stall now!

Contact: Safa de Valois Publisher & Commercial Director t: 02 8586 6172 m: 0405 517 115 e: safa@c-store.com.au Ben Curtis National Sales Manager t: 02 9660 2113 m: 0415 404 264 e: bcurtis@c-store.com.au

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FACE TIME

TAKING DRINKS TO A NEW LEVEL

Chrish considers himself lucky (yet doesn’t make it an integral part of his plan).

C

hrish Graebner was born in Frankfurt, Germany, as the middle son in a family of five. Chrish’s father worked in the banking industry and his mother stayed home to look after Chrish’s older brother and younger sister, a pretty common scenario at that time in Germany.

“I was not a big-of-a-fan of school so I always had little side projects to keep my interest up: my first business idea was a snow-shovelling insurance for the neighbours: instead of paying hourly rates for snow shovelling – a job that almost every German child tried to make some pocket money with – they would pay a flat fee for the entire winter.

If it snowed I had to shovel their drive-ways and sidewalks of all snow, no matter how many hours it took. I ran this business for the three warmest winters on record in the row – which gave the reputation of a shrewd businessman in the neighbourhood.

At a later stage – at the beginning of the 80’s I had a little business of selling cheap but very fashionable sunglasses basically out of my school bag. It taught me many lessons in buying cheap and selling with a profit but also finding the right price points for the kids in the school yard. Something that is still important in my life now.

I realised that the last two years of school before the German HSC is when it counts to put the work in and I knew it would affect the possibilities that I could have after school. And it worked out fine, it taught me that if I have to, I can pull up my socks just as well as the next man. In my last two years at school I also got into computers. I had got my first computer when I was 12, the Sinclair 128. I really got into programming, and I continued to do it all the way through high school and I was wearing nothing but dark clothing, with white bleached hair and always sunglasses – I was this dark cyber guy. I developed a program that was touching on a very relevant topic for students at that time of their school career: 10 June/July 2019 | C&I | www.c-store.com.au

which electives to choose to gain most possible points for the final grade. The German department of education bought that program off me after trailing it at my local high school, I think I sold it too cheap when I look how much money App developers are making today!

Using the computer was what introduced me to Red Bull as a product. Through chat rooms, I had heard that there was a new drink in Austria that would allow you to keep going non-stop which translated for me into using the computer non-stop, but it was illegal in Germany. This had me really interested.

I had a small old car, an 850 Fiat Spider, and I would drive down to the Austrian border which is about six hours from Frankfurt and buy ‘a couple of’ Red Bulls. The gas stations at the border would stock the product by the pallet because Taurine wasn’t yet approved for food other than in Austria.

But given the word about the stuff giving you a buzz got out and everybody wanted some, I went and bought as much Red Bull as I could fit into the car and drove it across the border back into Germany. I then started selling it to kids at school; at this stage I was selling sunglasses and Red Bull (at equivalent of $5/can in 1988).

After my high school graduation I went to the European Business School, and I studied a double degree in computer science and marketing. During my time at university I was able to do an exchange a semester of Economics in London, and a semester of Computer Science in San Diego, California as well as a couple of extended internships in Germany, England, and Argentina.

Luck (or if you like: coincidence) is such a big factor in so much of life, you’ve got to be in the right place at the right time, and I contribute so much of my career to luck.

After I got my degree, there was an opportunity for companies to pitch to graduates but I come from a long line of

FACE TIME FEATURE workaholics and so I was determined not to start working for as long as possible, of course to the dismay of my parents. I was determined to take none of the initial job offers, but to travel instead. I travelled through South East Asia, Africa and trekked through Nepal. While I was in a village in India, I called my mum to say ‘hey I’m still alive’ and she said there was a professor of mine who was trying to get in touch with me. So I called him and he asked me if I was still determined to not work, and when I said yes, he said he had the perfect job for me.

The job was in Uganda, Africa, the task was to install the first ever computer network of the University of Kampala, so I took it. So here I was with my university degree in Africa by myself for three months. I absolutely enjoyed what I jokingly refer to as “my time in Africa”, I met lovely students and teachers and understood so much more of the real problems that many people are facing on a daily basis, which triggered gratefulness to being a lucky one, to have been born in very secure, stable and most importantly healthy environment.

By the time I came back to Germany, my parents were ready to stop speaking with me or cut me out of the inheritance if I didn’t go out and get a proper job.

My girlfriend at that time was about to cancel an interview that she had secured at Philip Morris, as she’d found another job. I had missed the initial round of applications and so I told her not to cancel and that I would go in her place instead.

I went into the interview and after a few more hurdles with the company, they offered me the job. I ended up working for Philip Morris International for 13 years from 1994 to 2007, which included time spent in Munich, Melbourne, Tokyo, and Madrid.

It was during this time that I met my wife Katrin; she worked for an advertising agency. I decided she was the one and I spent a year of my life trying to prove to her that I was the one for her. We got married in 1999 and moved to Melbourne.

My last years with Philip Morris were spent in Madrid, Spain, where our twins Lily and Paul in 2006 and I had promised my wife that when we had kids we’d go back to Australia, we started to work out how to make that happen.

While I was still in Spain, I was hired as the Marketing Director for a job at Red Bull and we moved to Sydney when the kids were nine months old. I worked with Red Bull from 2006 until early 201. There was an internal shift within the company and I was getting the word that I couldn’t stay in Australia, that people were looking to transfer me to Hong Kong or Austria maybe, but we were so close to permanent residency so we decided to part with Red Bull.

Then, through yet another amazing coincidence, I was tapped on the shoulder by a private equity company who was in the beverage industry, looking for someone who could help them in the Asia Pacific to launch a German energy drink called 28 Black. After a few years of “expensive learnings”, through which I was able to secure the Distribution Rights for USA’s #1 Iced Tea, AriZona, I ended up buying the Asia Pacific Distribution business from the Private Equity company.

LEVEL BEVERAGES

Since 2013, I have been building the LeVeL Beverages business whilst working on my own idea for a soft-drink.

I had hoped that by using the existing portfolio, I would be able to build sufficient trade relationships as a platform for my own beverage to have a fighting chance within the industry. And now, I’ve been able to introduce LeVeL Lemonade.

With my current portfolio of Arizona and 28 Black, I am in the business of ‘better-for-you’ beverages, not necessarily ‘good-for-you’ and I believe that is a very important differentiation, I believe in ‘better-for-you’ but my drinks do have sugar and unapologetically so.

When it comes to better for you in drinks, it comes down the benefits. It could be a protein or a probiotic, it can’t just be a drink anymore. The main thing at the moment in sparkling drinks is Kombucha. I imagine people drink it for the added benefits, but really I don’t really like it.

So for me, while the growth rate is amazing, I assume the portion of people who don’t like it is still the vast majority.

So I thought, wouldn’t it be great to have a fizzy drink that appeals to people like me. I love sparkling Soft-drinks. I love lemonade. I am somewhat concerned about my sugar intake, and I take a magnesium supplement every day.

'Why not develop a drink that has just the right LEVEL (hence the name) of ingredients?'

This lead me to the construction of a drink that is lemon based, with proper sparkle and then we experimented with lots of vitamins. But I wanted to offer a drink that in people’s mind is a soft drink, and only as a second consideration a healthy drink;. We ended up going with high dosages of Magnesium and Vitamin C, as they worked well with flavour and are something that many Australians are deficient in.

It seems people like the idea of a high magnesium Lemonade...and as I have learnt from Bohemian Rhapsody lately: “Fortune favours the bold” – I hope they are right! C&I Chrish and Katrin with their twins Paul and Lily

The German department of education bought that program off me after trailing it at my local high school, I think I sold it too cheap when I look how much money App developers are making today!”

Advice for retailers: • These are exciting times – consumers are actually looking for alternative options.

• Do allow some innovation – even if not from “the big 5”.

• As the consumer does not think in those categories.

Advice for suppliers: • Be humble enough to appreciate that each and every buyer/ merchandiser has dozens of emails per week from pepole who think they have “the next big thing”.

• Every Wholesaler has hundreds, even thousands of products in their shed. They are not exactly waiting for you to add to their workload.

Create WinWins: Everyone must be able to see a commercial short term benefit!

• Allow time to build up some trust and professional relationships.

June/July 2019 | C&I | www.c-store.com.au 11

FEATURE STORE REVIEW

WHEN THREE FIERCELY

INDEPENDENT BRANDS COMBINE APCO IGA X-press Newcomb

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n 1968, Ron and Margaret Anderson purchased the Mobil Distribution in Warnambool which lead to them becoming an Independent Distributor and the APCO business was born – Anderson Petroleum Company (APCO).

1980 saw the opening of the very first APCO retail store and service station when Victoria’s first APCO Easy Shop store was opened in Warrnambool – it was to be the first of many.

The APCO business specialises in the supply of quality, competitively priced fuels, fresh café style food, quality Barista made coffee, modern convenience offers and grocery top-up solutions. The stores are mostly regionally located, and the Owner/Operator business format and exceptional customer service focus, gives APCO a real community presence in the market which drives strong customer loyalty. APCO continues to be a leader within the industry for innovative store design and extensive foodservice offers under the brand of Café 24-7 and is proud of the quality Barista style coffee business that our customers love and can’t get enough of.

Along with the super convenience store offerings, APCO now also successfully co-brands with IGA X-press in many locations which is providing the ultimate convenience, top-up shopping experience.

The newest APCO IGA X-press location at Newcomb features an extended foodservice offer with Café 24-7 and an IGA X-press supermarket that comprises a modern fuel forecourt featuring Hi-Flow Diesel operating 24 hours / 7 days.

THE ULTIMATE MODERN CONVENIENCE STORE The APCO store at Newcomb teamed up with the well-known IGA brand which has already been a hugely successful model for APCO at other locations; North Geelong, Albury, Bairnsdale and Wodonga. Add to this mix APCO’s very successful foodservice brand, Café 24-7 and you have three independent brands coming together to provide the ultimate modern convenience and foodservice offer. With consumers seeking shopping options that fall between full-fledged supermarkets and traditional convenience, APCO IGA X-press Newcomb has certainly delivered on this expectation with top-up grocery offers boasting competitive supermarket grocery prices, meat produce, fruit & veg, deli items, and extensive dairy and bakery ranges.

The modern one-stop shopping experience is unique; fill up your car, park right out the front of APCO’s IGA X-press, top-up your 14 June/July 2019 | C&I | www.c-store.com.au

STOREFEATURE REVIEW groceries, fresh foods, chilled foods, deli, meat and bakery foods at very competitive ‘supermarket pricing’, then grab a bite and a Barista made Coffee at Café 24-7 before you leave.

Each week APCO’s IGA X-press features and supports the specials across a range of grocery lines, making the modern convenience a strong competitor to the large supermarket chains stores.

APCO Director, Robert Anderson said, “We have tailored our range of grocery lines to give locals more of what they like, including many of their favourite, less expensive brands.

“We like to make things as easy and convenient as possible for our customers. Customers can pay for their fuel and their top-up groceries at the same time before grabbing a coffee and a bite to eat from our modern Café 24-7. It’s all about saving time and making life easier – fuel, groceries, freshly made café food and Barista style coffee, all in one great location, with ample front-shop parking.

The IGA Xpress is guaranteed to satisfy at any time, night and day, 24 hours per day...there’s no more convenient place to shop in Geelong.

STORE DESIGN AND FEATURES APCO IGA X-press Newcomb in Geelong offers a terrific combination of an IGA X-press in-store with very competitive pricing for everyday supermarket grocery items, an expanded fresh food dynamic including deli and gourmet foods, with a captivating Barista Coffee bar featuring Cold Brew.

The APCO IGA X-press blends the best of three different worlds, grocery, café and petrol/convenience, bringing them under one roof for an amazing shopping experience.

With everything from traditional lunchtime café fare like pizzas and bain marie pastas, through to fresh vegetables, salads and ready to go meal solutions to feed the family, APCO IGA X-press has it all.

APCO’s Café 24-7 sprouts ambience and innovation – freshly made hot and cold, on-the-go, ready to eat food – snacking, brekky, lunch and dinner time day parts; barista made coffee and snacking, refreshments at great value prices.

Early birds can launch their day with ready-to-go breakfast products and quality freshly-packed salads, sandwiches, rolls, wraps and a great range of focaccias for lunch, and also caters for evening take-home and eat-in meal solutions; any time of day and night, Café 24-7 can fuel all your hunger and appetite needs.

We sell our fuel at a fair price, always aiming to provide the most competitive prices in town.”

Fill up your car, satisfy your hunger and enjoy fast, friendly service, at our Café 24-7, open all day, all night, every day!

THE APCO DIFFERENCE One of APCO’s founding principles was to provide people in regional areas with quality, essential fuels at competitive prices; this value continues to be a company focus today.

Director Robert Anderson said: “Our overall philosophy is to support the local community and one tangible way of doing this is by being a leader in the field of independent fuel pricing.

“We sell our fuel at a fair price, always aiming to provide the most competitive prices in town.

“We also only sell Mobil and Shell (Viva Energy) fuels, purchased directly from their refineries, picked-up by our own trucks and drivers and delivered directly to our stores. So APCO strongly supports locally manufactured product and further supports Australian jobs.

“We are committed to continuing to support our community by remaining a market leader with our fuel pricing, even when prices are on the rise,” Robert added. “We’re catering to our busy Aussie battlers who want to grab something quick on their way to work or something easy on their way home and that’s where our future lies, becoming a true destination point.” C&I

The store design is customer centric, easy to access and navigate; Café and Grocery are divided into two distinct sections, centred around a POS island hub, although a dedicated POS is located within the Café to better manage food and coffee customers who do not have a petrol purchase.

This is changing the face of convenience customers, attracting a new generation of shoppers to APCO that know and trust they can get all their grocery, fresh produce and meal time needs in an easy to navigate and timely fashion. And still get their fuel at the most competitive prices.

CAFÉ 24/7 APCO IGA X-press Newcomb now takes modern convenience and foodservice to new heights. APCO’s Café 24-7 as the name suggests, never closes and like other APCO Café 24-7 outlets is leading the way in convenience foodservice with a mix of Café ambience and boutique shopping; diners can choose to eat in the café, the undercover al fresco area or of course the food is always ‘good to go’.

Open 24 hours a day, 7 days a week, Café 24-7 provides a welcome stop for both travellers as well as their vehicles to refuel.

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One of the bright spots is the performance of the food and beverage category which continues to show growth in our channel in terms of merchandise sales and margin.”

AUSSIE CONVENIENCE: STRONG GROWTH IN CHALLENGING CONDITIONS The 2018 AACS State of the Industry Report

A

ustralian convenience stores stared down the challenges of difficult retail trade conditions in 2018 to post a strong growth result of 2.4%, boosting the value of the convenience industry to $8.6 billion – and this is excluding petrol sales.

The AACS State of the Industry Report was launched last month to AACS members and shows revenue generated through in-store merchandise sales in 2018 was up $201 million on the 2017 result.

It’s a credit to the leading retailers and suppliers in our industry and a reflection of their efforts to adapt their offer in a way that resonates with their customers and reinforces their value proposition.

Looking at some of the key numbers, the average transaction value over the year was flat at $9.90, while the average merchandise transactions per day was up 1% to 16 June/July 2019 | C&I | www.c-store.com.au

483. The number of shopper visits improved from 2.6 visits per week in 2017 to 2.7 visits per week in 2018.

Retail is ever-evolving and as an industry we need to the embrace the changes that are occurring. From the merchandise we sell, the customers we appeal to, the technology we need, the possibilities of data analytics and more, there are elements of disruption upon us in many spheres.

It is important that our industry not only embraces change, but in some areas drives the changes needed to survive, grow and profit. This way, we can always remain confident in convenience.

FOOD FOCUS PAYS DIVIDENDS

One of the bright spots is the performance of the food and beverage category which continues to show growth in our channel in terms of merchandise sales and margin.

In 2018, food and beverage merchandise outperformed growth of non-food categories for the fourth successive year, recording $3.8 billion in sales, up $101 million or 2.7% over the 2017 result. Non-food still showed growth of 1.9%, representing an increase in sales of $90 million to total $4.8 billion.

The work of leading operators in convenience to position themselves as a viable and healthy food shopping option for busy consumers is being rewarded. Similarly, our success in becoming a coffee destination has been reinforced with the hot dispensed beverages category growing an impressive 14.6%, while take home food was up 10.1% in merchandise sales in 2018.

TOBACCO

Tobacco is still a very important legal category for convenience stores, with the contribution of legal tobacco sales to the overall mix increasing in 2018 to 39.5%.

The AACS is focused on protecting our industry’s share of legal tobacco sales while seeking reform in areas including the development of an appropriate legal framework for the sale of e-cigarettes and other stop-smoking devices through convenience stores, and cracking down on illicit tobacco trade.

The value of tobacco sales grew $204 million in 2018 – growth of 6.4% over the 2017 result – as the industry saw

Petrol theft crimes now cost the industry as a whole $58.5 million in financial losses each year.”

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changes in shopping habits with consumers increasingly switching to smaller pack sizes to combat regulated price increases.

FUEL THEFT ON THE RISE

The State of the Industry Report highlighted a worrying reversal in the incidence of petrol theft crimes being committed against our industry. Petrol theft had been in decline over the last two years but spiked again in 2018 as the increase of the average price of fuel rose over 11%. Theft increased by 4.4% to now cost the average convenience store $169.67 in losses each week.

Petrol theft crimes now cost the industry as a whole $58.5 million in financial losses each year. This is unacceptable and reinforces the urgent need for a more coordinated response from law enforcement authorities and the judicial system to enforce a zero-tolerance stance against people who commit crimes against convenience stores.

TRENDS IN CONVENIENCE

Looking to the future, the report identifies numerous opportunities and challenges for the convenience sector, from the need to prepare for potential declines in fuel-based customers, to the rise of e-commerce, the growth in smallhybrid format stores, investing in frictionless and automated experiences, the development of electric vehicles, and changes in the various costs of doing business.

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The full AACS State of the Industry Report is available for purchase for non-AACS members. Contact jeff@aacs.org.au.

THE AACS OVERSEAS STUDY TOUR: MORE DETAILS REVEALED

You won’t want to miss this. The AACS Overseas Study Tour soon jets off to the US where we’ll visit Los Angeles and San Francisco to see the latest in innovative retail, explore the latest in-store tech and unstaffed store technology, investigate the possibilities of data management and use, interact with key leaders in the famous Silicon Valley; explore on-demand fuelling for cars as well as driverless car deliveries, and much more.

Join the AACS experts for insights into new and developing areas of our industry. More than just a photo tour, you will go behind the scenes to meet innovators and understand ‘why’ and ‘how’ things are done – not just see the end results.

We’re staying in some amazing hotels. Located in the uber cool Soma district, the W San Francisco offers luxurious, edgy accommodation. And in the heart of the glitz and glamour of Hollywood, The Kimpton Everly Hotel is a beautiful property large enough to host our group and small enough to feel like home.

The AACS Overseas Study Tour is always a life-changing experience so lock the dates in: October 7-11. Contact jeff@ aacs.org.au and secure your place now. C&I

FURTHER INFORMATION: Jeff Rogut Chief Executive Officer Australasian Association of Convenience Stores Ph: +61 467 873 789

MEDIA ENQUIRIES: Stephen Naylor Wise McBaron Communication Ph: +61 (2) 9279 4770

June/July 2019 | C&I | www.c-store.com.au 19

The peak body for the Australian Convenience Store industry, celebrating over 25 years of working for the industry.

KOMBUCHA

FRIDGE MAGNET

Kombucha is attracting new beverage customers to the convenience chillers

By promoting kombucha as the healthy alternative to sugary soft drinks, operators will have the most success.”

K

ombucha is shaping up to be the next big thing in the convenience store beverage landscape as increasingly health conscious consumers continue to turn to lower sugar drinks.

The most recent state of the industry report from the Australasian Association of Convenience Stores says that, although it is coming off a relatively low base, kombucha sales through the channel grew by an impressive 37% between 2017 and 2018.

All the evidence suggests that this trend of strong growth is set to continue. Global measurement company, Nielsen, and medical research company, The George Institute, collaborated recently to look at how consumers were changing their purchasing habits when it comes to sugar-heavy products. The data revealed that nearly 30% of Australians were very concerned about sugar consumption, and that more than 20% of sugar-concerned Australian consumers were willing to pay more for low sugar products.

It is against this background that kombucha has emerged over the last few years. Kombucha is basically a type of tea that is put through a fermentation process that both gives it a unique taste and allows good bacteria to form, offering consumers a healthy dose of probiotics and antibiotics which are said to benefit the brain, heart and stomach. The healthy bacteria found in kombucha apparently helps people’s digestive tracts absorb nutrients and fight sickness.

As it has developed a more mainstream appeal, a wide variety of kombucha flavours have been developed including passionfruit, raspberry, lemon, cola, peach ginger and many, many more.

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With a strong appeal to busy and active consumers, kombucha is a good fit with the convenience channel, and its higher premium price point offers operators a chance to increase customer spend.

One of Australia’s market-leading kombucha makers, Remedy Kombucha, said convenience has an exciting role to play in the continued expansion of the product’s appeal.

“Kombucha penetration is at about 10% nationally so that means there are a lot of untapped shoppers out there,” said Remedy co-founder, Emmet Condon. “Kombucha currently occupies between one and two shelves of space in most retailers, and it’s growing exponentially year on year,” he said.

Mr Condon said that, as awareness and penetration grows, people will continue to switch to kombucha from other products, and it will also draw completely new users into the beverage category.

“This might be the consumer who only expects to find flavoured milk, soft drinks and energy drinks in the fridge and is pleasantly surprised to find a healthy alternative.

“While kombucha is becoming more mainstream with growing distribution into major grocery, there are still plenty of new customers to reach.”

Mr Condon suggested operators look to range a minimum of four kombucha flavours in the main fridge and also try to get product in fast lane fridges to ensure exposure to the shoppers who don’t always visit the back of the store.

KOMBUCHA The rapid growth in the popularity of kombucha has seen the emergence of several companies developing an ever growing list of flavours. While convenience stores are commonly restricted by limited fridge space, companies like Liquefy Health – which produces the premium OK Kombucha – says it is vital that operators stock a range of brands.

OK Kombucha assistant brand strategist Allison Bradley said: “Every kombucha has its own flavour profile… it is like beer or coffee, they brew their own kombucha, thus having its own unique flavour and personality”.

“Consumers know which ones they like and which ones they don’t, so providing a range is important.”

Ms Bradley said that while the functional beverage market is a very competitive one, kombucha is very much on the rise so that brands which offer a point of difference and are able to attract new consumers should be given fridge space.

According to Soulfresh, which is responsible for the popular Lo Bros Kombucha brand, the Australian kombucha market has seen a 173.8% increase in the past three years, and represents a huge and growing opportunity that simply cannot be ignored.

Soulfresh communications manager Chloe Sutton said: “Convenience is as important as the grocery channel for kombucha brands as it stimulates trial and also aligns with the usage occasion for consumers – single use, on the go, with lunch or a snack”.

“Similar to soft drinks and other beverages, bundles are a great opportunity with this product… for example, pairing kombucha with a protein bar, or a sandwich,” Ms Sutton said.

She says another good way to drive trial and sales of new brands is to use price offers on launch.

Amanda Carrol, the owner of Rok Kombucha, agrees that stores need to work hard on in-store promotion to encourage trial of the product and maximise the opportunity.

“Gaining fridge space is extremely difficult but C-Stores need to understand that consumers are looking for real and authentic products and they need to be given the choice,” she said. “By promoting kombucha as the healthy alternative to sugary soft drinks, operators will have the most success.”

Ms Carrol said there is an increasing number of ‘kombucha-like’ products out there, some more authentic than others.

Hemp Oz Founder and CEO John Leith said: “It appeals to many different consumers, men and women, young and older, all who are looking for low or no-sugar alternatives to carbonated soft drinks”.

“Kombucha is the perfect alternative – sparkling, thirstquenching and deliciously refreshing.”

He said that it is a product that naturally sells particularly well around mealtimes.

“C-Stores need to give their customers the choice of both lower quality ‘kombucha-like’ offerings and handcrafted, authentic alternatives,” she said. “The world is moving away from soft drinks and juices so C-Stores need to increase their kombucha offerings to meet this demand.”

“Drinking kombucha around lunchtime delivers the beneficial bacteria to the gut to encourage healthy digestion,” he said.

“Bundling with a healthy lunchtime meal would be ideal for customers looking for a quick, yet nutritious meal on the go.”

Another kombucha producer, Hemp Oz, says that this shift towards low-sugar health beverages such as kombucha was so widespread that it wasn’t limited to a single demographic.

Hemp Oz Kombucha said its point of difference is that it is Australia’s first kombucha made with the superfood hemp, and that it is unpasteurised.

Kombucha currently occupies between one and two shelves of space in most retailers, and it’s growing exponentially year on year.”

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KOMBUCHA

For its part, Remedy says it is constantly adding to its repertoire and, in the past six months, has launched Remedy Switchel made with a base of raw organic apple cider vinegar and fresh organic ginger, and Remedy Coconut Water Kefir which is a handcrafted, live cultured coconut fizzy water.

“We’re big on new product development at Remedy and reaching those untapped markets is definitely about innovating and pulling together a range of products and flavours to suit a variety of people and occasions,” said Remedy’s Emmet Condon.

AT A GLANCE • Kombucha is a type of tea that is put through a fermentation process that both gives it a unique taste and allows good bacteria to form, offering consumers a healthy dose of probiotics • According to the Australasian Association of Convenience Stores, kombucha sales through the channel grew by 37% between 2017 and 2018 • Kombucha penetration is at about 10% nationally, meaning there are a lot of untapped shoppers out there • As awareness and penetration grows, people will continue to switch to kombucha from other products, and it will also draw new users into the beverage category

“We have another couple of new product launches to come this year so we’re on the move and definitely shaking fizzy drinks up!”

While kombucha drinks are sold in a range of sizes of cans and bottles, Chloe Sutton from Soulfresh said the kombucha category has a higher index of glass packaging than many other beverages as it represents a premium offering.

“The 330ml bottles continues to be the most popular Lo Bros product size in convenience as it is a natural switch out for most soft drinks,” she said. “It also is resealable which is great for people travelling in cars.”

With kombucha being promoted as a quick way for people to improve their gut health and overall wellbeing, its appeal to busy and health-conscious convenience customers is clear. Operators seeking to tap into the potential for further growth need to embrace the product and allocate it sufficient space in the fridge and stock a sufficient range of brands and flavours to ensure consumers can meet their needs.

Soda Press Co has partnered with SodaStream and is selling a syrup that is made into a kombucha using the sparkling water system.

“We saw an opportunity to make kombucha more accessible for consumers,” said the founder of Soda Press Co, Cameron Romerill. “So that they have it when they want it, how they want it… stronger, weaker, with more bubbles, with a different flavour… and also at a more affordable price point.”

The range is fast expanding to gain presence in all retail channels, including convenience.

Mr Romerill said that while the company had already seen consumers switching from pre-bottled kombucha to syrup because of the affordability and convenience, it was not trying to replace pre-bottled kombucha.

“We are offering the benefits of home consumption and as such are creating new-to-category consumers,” he said. “By partnering with SodaStream, we are reaching an audience who may not be regular kombucha consumers but are regular SodaStream users and so we are reaching a far wider range of consumers than just kombucha lovers.”

Mr Romerill said the company’s kombucha had more than one billion live probiotics per serve, which is on average 200% higher than ready-to-drink kombuchas and less than one gram of sugar per serve.

HOME RUN

“So far, our kombucha is by far our biggest seller and with SodaStream we only expect that to grow,” he said. “We also have a few other innovations that we are looking to launch down the line, including a Cola Nut and Kaffir Lime flavour kombucha syrup.” C&I

As the kombucha boom really takes hold, an innovative Australian is offering consumers an affordable way to make the beverage at home.

* Convenience and Impulse Retailing would like to thank Remedy Kombucha, Liquefy Health, Soulfresh, Rok Kombucha, Hemp Oz, the Australasian Association of Convenience Stores, and the Soda Press Co for supplying information for this article.

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CHOCOLATE BARS

CHOCOLATE HEAVEN Blocks and bars still delivering sweet profits for convenience

D

espite the challenges presented by the ongoing health and wellness trend, Australia’s enduring love affair with chocolate has ensured the segment remains a critical part of convenience store success.

in convenience is driven by the want for immediate consumption, generally to fill a hunger need or that chocolate craving.

Chocolate bars and blocks sell well throughout the year but enjoy stronger seasonal sales in the cooler months. Blocks and bars actually represent two differing occasions for customers.

Blocks are treated as a destination purchase whereas bars are more highly impulsive, especially when positioned on or near the counter. Chocolate bars are skewed towards a younger shopper, with the majority of consumers purchasing for themselves as a treat/indulgence. In contrast, the block chocolate shopper is skewed towards a slightly older demographic, with a high proportion of them buying blocks to share with their family.

According to the most recent State of the Industry Report from the Australasian Association of Convenience Stores (AACS), chocolate – which represented a 59% dollar share of the confectionery category – enjoyed growth of 1.6% through the channel last year.

Both chocolate bars and blocks performed strongly.

Convenience has also had to contend with the near continuous discounting of chocolate in grocery, with the big supermarkets commonly offering medium bars for $1 on special. While convenience operators can run price promotions of their own to at least narrow the price differential between the channels, the channel’s key advantage is its sheer convenience.

On-the-move consumers looking for a quick snack or treat are often prepared to pay that little bit more for the convenience of buying in a C-Store. The channel is well used by chocolate lovers buying an impulse treat or doing a quick top-up shop.

The AACS said that confectionery as a whole remains the most impulsive category, with 28% of shoppers buying more than they planned. It says the main mission for the confectionery shopper is mostly fuel rather than snacking.

Australians love chocolate so everyone is a potential buyer. Bars perform particularly well in convenience as they are bought by busy people on the go, or drivers stopping at service stations. Buying 26 June/July 2019 | C&I | www.c-store.com.au

If possible, operators should utilise data to establish which products are purchased together to maximise success.”

The challenge for convenience operators is to effectively capture the customer’s attention, within a short window of time and amongst significant competition. With chocolate bars representing approximately 36% of all confectionery sales, it is critical to ensure they are visible and available. Using front of store display bins and counter displays are highly effective in generating ‘grab and go’ sales.

It is also very important that stores offer a variety of chocolate brands as there will be customers who know exactly which product they are after, and others who are looking for inspiration. Having a breadth of offerings enables stores to satisfy different tastes and capture the breadth of the market.

There are a broad range of consumer need states, such as portion control, indulgent treating, on-the-go consumption or a ‘less-guilty’ treat with some health benefits, and stores need to cater to the varied customer repertoires.

CHOCOLATE BARS Similarly, there will be a demand for share bars, medium bars and small bars, all serving to meet a variety of consumption need states.

While share bars have been seen as the most important sub-segment of chocolate bars in convenience, medium bars are now playing an increasingly important role.

The chocolate landscape is dominated by players such as Nestlé with brands like Kit Kat and Milky Bar, and Mondelez International, which owns the Cadbury brand, and boasts the likes of Cherry Ripe, Marvellous Creations, Twirl, Cadbury Dairy Milk, Turkish Delight, Crunchie and Boost.

Market research company Euromonitor International says rising health consciousness has had a major influence on product innovation as brand owners have focussed on delivering consumers ‘permissible indulgences’.

While there has been increasing trend towards ‘premiumisation’ as shoppers look for greater flavour and textural variety in chocolate bars and blocks, this does not mean customers are deserting ‘core’ variants. They are often looking for a ‘premium’ offer alongside more mainstream offers so a balanced portfolio offer will remain an important part of the retail offer.

Traditional big hitters like Nestlé’s KitKat are then still seeing strong sales growth due to impressive performance of the KitKat 45g four finger medium bar, and the KitKat four finger 65g share bar. KitKat’s highly successful flavour rotation strategy is also continuing to deliver incremental growth to the category, with the 2019 Red Velvet & Mint Whirl variants adding close to $1m in sales in the channel.

As well as ensuring consistent availability of the big-selling established favourites, operators need to make the most of innovative new products from manufacturers as they seek to keep chocolate consumers engaged and excited.

Biscuit giant Arnott’s has recently entered the chocolate fray, reimagining some of Australia’s favourite classic biscuits to inspire a completely new format – chocolate blocks and bars. Arnott’s chocolate is now available in five classic biscuit-inspired flavours; Iced VoVo, Scotch Finger, Wagon Wheel, Ginger Nut and Jatz.

An Arnott’s spokesperson said: “With over 150 years of biscuit baking expertise, and more than 50 years of chocolate knowledge, making chocolate blocks and bars was an exciting but natural innovation for our business”.

“Arnott’s has spent the last few years developing this concept; perfect smooth and creamy chocolate, blended with real biscuit pieces to create an exciting new chocolate experience,” the spokesperson said.

The company said that with Australians loving Arnott’s biscuits and chocolate, it was keen to combine the two in order to give people the best of both worlds.

“To date, we’ve seen above forecast trial rates for our Arnott’s chocolate blocks, with strong consumer sentiment,” the spokesperson said.

“We are confident that our blocks and bars will be extremely well received, not just because they are Arnott’s but because they taste great.”

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CHOCOLATE BARS Re-sealability and portion control will then play a growing role in the packaging for chocolate bars, blocks and bags; and at some stage it is expected that reduced or non-sugar offers will also emerge as key category trend.

While ensuring chocolate blocks and bars are highly visible is an important way that operators can capitalise on the impulsive nature of the segment, a variety of promotional mechanics can also be used to attract different shoppers in different ways.

Bundling can be a great tool to encourage shoppers to add a chocolate bar or block to their basket, even if they weren’t initially planning to do so.

Robern Menz said all retailers need to consider sampling, trial packs, and introductory offers. The company says while it is worth operators experimenting with bundling, it can be a bit ‘hit and miss’ depending on the product selection.

With over 150 years of biscuit baking expertise, and more than 50 years of chocolate knowledge, making chocolate blocks and bars was an exciting but natural innovation for our business”

AT A GLANCE • Chocolate enjoyed sales growth of 1.6% through the convenience channel last year, with both chocolate bars and blocks performed strongly • Confectionery as a whole remains the most impulsive category, with 28% of shoppers buying more than they planned • Making chocolate available at front of store display bins and counter displays is highly effective in lifting sales.

• Having a breadth of bar and block offerings enables stores to satisfy consumers’ different need states

Robern Menz, which owns the Violet Crumble brand, said its 50g bar has had limited distribution in convenience in recent years, but its efforts to re-introduce the bar and additional SKUs to the channel has been well received.

A Robern Menz spokesperson said: “We have just launched our new 100g Violet Crumble bites convenience pack into petrol and convenience and initial sales have been really solid”.

“Our flagship brand, FruChocs is still doing very well in South Australia...it’s the number one in the Choc Bite category in the state, which is virtually unheard of for a brand that is independently owned and has limited distribution out of its home state.”

Robern Menz said changes in the public’s dietary requirements are also becoming an increasing issue, and confectionery brands and retailers need to be on the front foot.

“Australia is the third fastest growing vegan market in the world, so it’s important not to discount this as a passing fad... we have recently introduced a vegan version of our iconic Menz FruChocs,” the spokesperson said.

“Gluten free products have also hugely grown in popularity, not exclusive to those who are Coeliac and all of our Robern Menz and FruChocs products are gluten free as we want as many people as possible to be able to enjoy them.”

The company believes share formats will also continue to grow in popularity.

“Eating well and being healthy is fixed in the public consciousness, so we anticipate more people exercising portion control with bag, bite-size formats that they can share with family, friends and colleagues, or that just allow them to eat over time, not in one go.”

“We’ve also just launched our 45g sample bags which not only ensure portion control but offer the opportunity to sample and reach new customers.”

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“If possible, operators should utilise data to establish which products are purchased together to maximise success,” the company spokesperson said. “Consider seasonal trends and maximise the opportunity here – maybe a complimentary or discounted coffee with a multiple chocolate bar purchase.”

Associating chocolate with beverages such as hot coffee and water can definitely play an important role in boosting shopper conversion and value. Similarly rounding out a meal deal with a meal, drink and chocolate bar is also attractive to some shoppers.

Two-for-one deals can be highly effective in boosting promoted sales, as indeed can single price points. Other retail opportunities include aligning a chocolate bar offer with a fuel deal and attracting shoppers with deals advertised through a range of social media platforms. Upselling by store staff will always remain a great means of communicating a promotion to shoppers.

Despite the challenges then, a continued in-store focus on range, presentation, promotional activity, and on capitalising on the excitement surrounding new product innovations, will ensure chocolate bars and blocks help drive convenience traffic – and profits – for many years to come. C&I Convenience and Impulse Retailing would like to thank Robern Menz, Arnott’s, and the Australasian Association of Convenience Stores for supplying information for this article.

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FLAVOURED MILK

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FLAVOURED MILK

PINK MILK, GREEN MILK, MILK OF ALL FLAVOURS D

Flavoured milk is a category that is brimming over with options and choice.

airy Farmers and Arnott’s recently joined forces to bring two new, modern, fresh flavours into the fridge. The limited-edition flavours were inspired by some of Arnott’s most iconic biscuit flavours, Iced Vovo and Mint Slice.

The flavoured milks are marketed as the perfect choice for consumers who want to indulge in a trip down memory lane.

Dairy Farmers said the move to partnering with Arnott’s was a way to carve themselves a new slice of the snacking market. The company said it looked forward to bringing joy to the millions of Australians who grew up (and are still) eating Arnott’s biscuits.

Lion Dairy & Drinks Marketing & Innovation Director Darryn Wallace said: “We’re thrilled to be teaming up with Arnott’s, a brand that is synonymous with the arvo snack”.

“While I love the classic choccy milk, this partnership presents a great opportunity to bring some fresh, yet reminiscent flavours to the market,” he said.

Dairy Farmers are also responsible for delivering the delectable range of Creamery & Co. Creamery & Co is inspired by Australia’s generous terrain and stunning landscapes, the luxurious collection takes customers on an indulgent taste journey across the country.

From mouth-watering Great Southern Caramel to decadent Murray River Salted Chocolate and delicious Raspberry Pavlova – Dairy Farmers Creamery & Co has paired fine ingredients, with full cream Australian milk and added cream, for the ultimate indulgent treat.

Mr Wallace said: “Dairy Farmers Creamery & Co encapsulates our great land.”

“As Australia continues to establish itself as one of the foodie capitals of the world, Aussies are seeking out bold flavours and exciting tastes to treat themselves.”

In the last 6 months $1 in every $8 spent on Flavoured milk was on NPD in National convenience and as high as $1 in every $6 in some retailers”

“Now more than ever our customers are looking for great tasting, premium products and we’re excited to be able to offer them a range that focuses on delicious, quality ingredients.

“When our customers treat themselves, they don’t do it by halves, they are looking for generous flavours that excite their taste buds and we are delighted to be able to provide a product that promises to do just that.

IN-STORE SALES Lion Dairy & Drinks Managing Director Kathy Karabatas said: “Lion Dairy & Drinks offers a wide range of delicious flavoured milk and Iced Coffee products under many of your favourite brands”.

“There is certainly a great opportunity for flavoured milk within convenience and petrol retailers, and it is important to us that we continue to provide a variety of products, in the right formats for consumers,” Ms Karabatas said.

“Increasingly, consumers want to have the choice of a core range of their favourite beverages, as well as new drinks to try, be that better for you options, something with an energy hit or a treat to suit different occasions.

“We also know that more and more consumers are seeking out on-the-go products because of their busy lifestyles, and with nine out of 10 Australians not getting their recommended serves of dairy or alternatives each day, there is a real opportunity to deliver nutritious on-the-go products to meet these consumer needs in milk beverages.

“We work closely with our petrol and convenience partners to suggest location, flow and positioning of key beverages instore, using tools such as planograms. We also liaise with them on an ongoing basis to ensure that the products we are providing are in the format they require for front of store fridges.

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FLAVOURED MILK

As Australia continues to establish itself as one of the foodie capitals of the world, Aussies are seeking out bold flavours and exciting tastes to treat themselves.”

in Australia. Australians consume a whopping 10.1 litres of flavoured milk each year which makes Australia the highest consumption per capita in the world. Our love for flavoured milk makes it the number 1 RTD category accounting for 28% of RTD value in National convenience, and larger than Water and Cola combined. This share swells to 38% in SA and 33% in QLD and WA. With such a high value share it is important for retailers to ensure enough macro space is allocated to the category.

NPD Lactalis Australia category manager beverages Corie Dickeson said: “Flavoured milk is far less planned than other RTD categories so more than any other beverage can be influenced instore via engaging POS, promotions and secondary locations to increase basket spend”.

“NPD is vital to the continued growth of flavoured milk and continues to bring in new users and drive AWOP with existing user’s trialling,” Mr Dickeson said.

“In the last 6 months $1 in every $8 spent on Flavoured milk was on NPD in National convenience and as high as $1 in every $6 in some retailers.

“Dedicated iced coffee makes up 63% of flavoured milk sales and continues to grow in total market (+1.3% MAT) despite the evolution of hot coffee. RTD iced coffee drinker’s palates are changing however and it is important to take the lead of hot coffee trends to keep moving forward. In recent years iced coffee growth has been driven by strength of coffee flavour and by flavour additions to coffee.

“SKUs with a main call out of coffee strength have grown 29% in the last three years, whilst standard strength sales have declined -12% in the same time. Flavour additions albeit a smaller base has grown by 55%.

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“Understanding these growth drivers, Ice Break has launched Ice Break Dark Chocolate Espresso across the ESB and South Australia following the breakthrough innovation of Ice Break Bold Espresso last year. Available in 500ml and 750ml bottles, Ice Break Dark Choc Espresso is made with the award winning Bold Espresso recipe, with 3 shots of Robusta coffee and fresh full cream milk, blended with rich dark choc flavour, for a more mature and intense iced coffee experience.

“Ice Break Dark Choc Espresso is supported by significant marketing investment across Out Of Home media, digital media and sampling – getting into the hands of hundreds of thousands of consumers.

“Available across all petrol and convenience stores in NSW, QLD, SA and VIC. “Within the Rainbow segment, OAK and Queensland heritage brand Breaka plays a significant role nationally accounting for 57% of Rainbow sales. In a recent Shopper Intelligence survey, flavoured milk was identified as the number one category purchased by consumers for snacking.

“OAK certainly plays its part here in continuing to 'Kill Hungry Thirsty Dead' via innovative and differentiated launches with OAK Plus launching in the Protein segment in 2017, followed by OAK Thick launching in 2018. These products have successfully brought new consumers into the category and driven new consumption occasions to drive category growth.

“Breaka launched its on-trend limited edition flavour Chocolate Hazelnut to drive excitement and trial with its teenage target audience in March. This launch is supported by out of home advertising and digital media in the Queensland market, and will drive increased focus and sales of the brand in stores.” C&I

Find the best news in store at

www.c-store.com.au Convenience and impulse retailing is fast paced and exciting, and staying up to date with the latest news, trends and products is crucial for the success of your business.

Subscribe to C&I’s free weekly e-newsletter C&I Week to have the latest news delivered to your inbox every Tuesday & Thursday.

LEADERS

FORUM 2019

Following hot on the heels of 2018’s ‘Round Table’, C&I has returned with the 2019 Leaders Forum. This year, we’ve widened the scope and have spoken to industry leaders, both suppliers and retailers within the convenience and impulse space. Coffee is one of the hot-topics of the moment and fresh food is also taking prime position on our shelves. Read on to hear what these leaders have to say about now and what’s to come.

34 June/July 2019 | C&I | www.c-store.com.au

FEATURE

Jeff Rogut CEO, AACS What do you enjoy about working in convenience?

Having worked in this industry for almost 30 years and seen many changes, convenience remains dynamic. It’s fast evolving, growing, and the role convenience stores play in communities is more important than ever. We’re a barometer for consumer sentiment. People visit convenience stores daily as part of their routines, so we have a first-hand insight into customer behaviours, shifting preferences, even people’s lifestyles.

Due to our prominence, there’s scope for convenience stores to play a greater role in the lives of our customers by providing additional products and services that we know they want, in the most convenient environment possible.

Highlight one company achievement you’re particularly proud of in the last 12 months.

As the peak body for the industry, I’m proud of the training programs, study tours, educational resources, research and advocacy we provide to support the businesses and people in convenience.

“AACS membership is a powerful tool and we’re constantly reviewing and improving the resources we deliver.

In 2018, we arranged an amazing overseas study tour to see the latest technology and developments in China, and locally we lobbied for and received government support for the first Crimestoppers campaign targeting petrol theft in Victoria.

What is your organisation doing to meet changing customer demands?

We are focused on providing training, support, education and experiences to help members navigate the evolving the retail landscape to ensure their offer remains relevant and compelling today and tomorrow. What customers expect from convenience stores is changing, so we provide the support stores need to anticipate and meet these changing demands.

What does your crystal ball say about the year ahead in convenience?

We’ve recently outpaced the growth of the grocery sector but that headline growth, like the rest of retail, is slowing. It’s a challenging time. It’s also the perfect time to innovate with the customer firmly in mind. That’s what we’re doing.

We offer fresh food, ready to eat meals, quality coffee, a broader range of beverages, and much more. Visiting a convenience store today is a different experience to ten years ago and will be different ten years from now.

Looking ahead, data analytics will help us better understand customers to meet and anticipate their needs; supply chain remains a huge challenge and opportunity; technology such as ‘frictionless checkout’ will make the experience faster and more convenient; mobile ordering; payment apps, the list goes on. This is what it means to be part of a dynamic industry that keeps evolving.

Stephen Eyears Head of Strategy, Innovation, Business Development, 7-ELEVEN What do you enjoy about working in convenience?

Convenience is at an interesting stage in its evolution with innovation and digital key focus points for the industry as we think about what consumers will want, not just tomorrow, but in the next 10 years. Helping form that vision of what the industry is going to be, and leading a great team who are dedicated to the broader innovation and digital projects that will be cornerstones of that evolution, is something I really enjoy.

Highlight one company achievement you’re particularly proud of in the last 12 months.

The last 12 months have seen our team make great progress in transforming our stores and offer. We’ve opened our concept cashless cardless store in Richmond, Victoria, our CBD transformation formats have continued to rollout in Melbourne, Sydney and Brisbane CBDs, our delivered fresh daily bakery range is now available in every Victorian store, and we have approximately 130 Parcelmate parcels lockers installed across our 7-Eleven network with many more to come.

What is your company doing to meet changing customer demands?

The rate of change in our customers’ needs is getting faster every day. Good is no longer enough to stand out from your competitors, your offer has to aim to be extraordinary. At 7-Eleven, we’re pushing ourselves to look beyond the next 12-18 months, to think about how we can accelerate our sustainable growth. From store formats and product offer to digital customer experiences, we want to invest in the areas we see as the big win opportunities of the next 10-20 years.

Part of that thinking and investment is the challenge around how you build the foundations of digital and process that will help support those opportunities, and enable faster, more agile concept development, trial and implementation.

What does your crystal ball say about the year ahead in convenience?

Providing an extraordinary offer and service to our customers is going to continue to be a priority in the year ahead. For us digital, food and our people will be focus areas. We’ve got a number of innovations being trialled at the moment including our cashless and cardless concept store in Richmond, a catering trial, and a mobile checkout solution. I think these trials are going to provide some really useful insight about what convenience customers will want in the future.

June/July 2019 | C&I | www.c-store.com.au 35

FEATURE

Peter Jaeger Senior Business Manager, Sanitarium We’re driven by a mission to help every Australian realise their healthy potential, and we believe eating well is integral to living well.”

What do you enjoy about working in convenience?

I’ve been working in the convenience sector with Sanitarium Health Food Company for about 10 years. In terms of openness and collaboration, I like that it still has a small business feel to it – the opportunity for retailers and suppliers to work together to create mutually successful businesses is a rewarding part of the job for me. Relationships are built on mutual respect and hard work, whilst also allowing a sense of fun and comradery.

Highlight one company achievement you’re particularly proud of in the last 12 months.

While Sanitarium is home to some of the most loved and trusted health food brands in the country, in the convenience sector we’re a relatively small player. We set ourselves the challenge to change this and in the past year we’ve worked on improving our responsiveness to the needs of convenience retailers and their customers.

For us, the motivation in doing this transcends the business opportunity. We’re driven by a mission to help every Australian realise their healthy potential, and we believe eating well is integral to living well. So when we see Australians moving away from main meals to snacks, and more and more consumers refusing to compromise on nutrition when it comes to eating on-the-go, the role of the convenience sector in helping Australians make healthier choices is an obvious one.

Unfortunately the task isn’t as simple as inserting our grocery format products into convenience, although some products like UP&GO™ are inherently an easier fit. That’s why we threw down the challenge to our business: “how can we better deliver enjoyable nutrition in more convenient formats?” It’s been a huge team effort, but some of these new products are now in the final stages of trial and we can’t wait to share them with our convenience partners.

What is your company doing to meet changing customer demands?

Australians say they want healthier food which is great to see, but it has to be easy, it has to be affordable and it has to taste great. So the challenge for us remains meeting consumers where they are. For example, if they aren’t having a healthy breakfast at home anymore, where and how can 36 June/July 2019 | C&I | www.c-store.com.au

we deliver them the nutrients they need to support a healthy lifestyle at another location in a more suitable format?

The other challenge is remaining responsive to demands for healthier food, while staying true to what the credible science says constitutes good nutrition. Over the years, we’ve seen countless fad diets, super foods and shonky nutrition advice come and go, which has only added to confusion about what to eat and drink. So when we examine demand for foods that have no added sugar, are high in protein, or deliver gut health benefits – probably the three biggest health food trends right now – our food scientists and dietitians do so in a way that ensures delivering good, honest, evidence-based nutrition remains our focus.

What does your crystal ball say about the year ahead in convenience?

No doubt the year ahead will be one of significant change for the convenience sector. There are so many potential factors at play – economic uncertainty in an election year, cost of living pressures, supply chain changes, new players and technology are just some of them.

We have all been aware of the fight for convenience to stay relevant and competitive with the major supermarket chains as they battle it out on price. Not only has it required retailers in the convenience sector to get smarter about how they pitch their in-store offers, but the major players are also actively looking at how they can cut costs out of their supply chains.

In some cases this may see a complete re-set over the next year, while others will make incremental changes over a longer period of time. Another benefit that supply chain changes are likely to bring are more regular service to sites and a greater focus on fresh and chilled deliveries to fill the ‘Food to Go’ demand. This will bring the Australian convenience sector inline with European and Asian counterparts.

But I think the biggest change that will face the convenience sector are changing consumer behaviours driven by new technology. Take for instance the trend of online shopping, even for meals and snacks. Who would have thought we would see the day when a consumer could order any meal of the day from their local convenience outlet and have it delivered to their door? Frictionless shopping and personalised meals are also very much on the rise.

Keeping pace with these elements, can be the difference between being successful or not. So strap yourself in – and enjoy the ride!

FEATURE

Steve Wrightson Head of Coffee, Suntory Coffee Australia There is no better example than the explosion of fresh coffee in the convenience channel. It has become the number one reason that consumers visit convenience outlets, even more so than fuel purchases.”

What do you enjoy about working in convenience?

Where do I start!

It’s a fast paced sector with a hyper-evolving consumer.

Evolution in consumer need/offering from pure convenience to quality and innovation. Convenience as a proposition is no longer at the expense of product quality, instead the convenience sector is at the forefront of quality and coffee consumers are rewarding this with an increasing move from café to convenience. And then balancing that with differing day-to-day needs and 24/7 solutions.

There is no better example than the explosion of fresh coffee in the convenience channel. It has become the number one reason that consumers visit convenience outlets, even more so than fuel purchases. Consumers now recognise that they can purchase quality coffee on-the-go just like their local café.

It’s great working with lots of passionate people across the industry that are dedicated to make a difference for the benefit of the consumer.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Quality in the world of coffee is all about consistency.

Coffee is an emotional purchase, loaded with consumer expectations. As boring as it sounds we’re most proud of driving consistent quality that allows our convenience customers to build repeat behaviour day in and day out with their consumers. And then to surround that with new products and new offerings to excite and entice new consumers, new occasions and new purchases.

Our ambition is to provide consumers with the freshest, highest quality and consistent coffee every time.

We are fortunate to partner with some of the most innovative retailers in the country that are willing to do things differently and invest. In the end the winner is ultimately the consumer!

What is your company doing to meet changing customer demands?

We meet consumer needs in close partnership with our convenience customers. We have the ability to adapt our offering from bean to cup and work closely with our customers to deliver excellence in product across large volumes of transactions, large periods of time, and large 38 June/July 2019 | C&I | www.c-store.com.au

geographical areas. We then surround that with surprise and delight innovation to attract new consumers.

What does your crystal ball say about the year ahead in convenience?

Consumers understand and appreciate that they can purchase quality on-the-go products from convenience stores. On this basis I predict that more retailers will adopt loyalty strategies that have a real impact on footfall and visit frequency.

The notion of on-the-go is no longer a fad, it’s gaining more relevance due to busy lifestyles. The competitive set will no longer be the convenience store up the road. We will see the product offer from the likes of convenience outlets, supermarkets and even quick service restaurants become more and more similar, and the differentiation will be blurred in the eyes of the consumer.

The consumer will seek out a higher standard of quality and customer experience. Technology is no doubt a part of the future offer, as is delivery platforms. The only constant will continue to be change.

The future looks bright!

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FEATURE

Wade Death Director, Jack & Co. What do you enjoy about working in convenience?

What is your company doing to meet changing customer demands?

Highlight one company achievement you’re particularly proud of in the last 12 months.

What does your crystal ball say about the year ahead in convenience?

I still have to say the customer interaction that goes with the industry. I think to survive long term in the industry you have to enjoy being around customers somewhere, or assisting a business to make a difference to customers. I still get a huge kick out of customers going out of their way to track me down and say something positive about an interaction they’ve had in a store.

Secondly convenience is always changing. It’s not only dynamic, but it has so many constraints regarding formats, labour costs, staffing, physical shop sizes, supply chain.To effect change and move the needle you need to have a good comprehension of all of the challenges that exist with our formats, so deep down I enjoy that challenge as well.

We’ve worked very hard to refresh and reinvigorate our food offer. We’ve largely run the same food format for the last six years and it was time to move the needle on that.

Most of it is rolled out, with a few bits and pieces to come.

Food is the most challenging aspect of the new age of convenience stores and my opinion has always been ‘do it properly or not at all’.

I think we’ve always set about to meet the modern day consumer’s demands but they are certainly changing quickly and their expectations are definitely increasing as time goes on. As an industry I think in most respects we’ve turned the corner on being known as ‘grotty petrol stations’ with the outstanding work so many people have done in this industry to reinvent experiences. It’s a brilliant time to be in this industry.

From mobile ordering, to extensive food to go, to digital integration instore, to high end barista coffee, to revamped bakery formats, to new grocery formats. Certainly the modern consumer is a more demanding, discerning and costly customer to serve… but they’re increasingly time poor and willing to purchase to support their lifestyle on the move.

There’s absolutely no doubt about it we’re having to work harder than ever for growth. Be it value or quality (and I believe both have their place), I think we’ll need to ramp up our various points of difference to remain relevant when discretionary spend seems to be getting tighter and competition (particularly from other channels) is getting sharper. I’m not a pessimist but I think there’s a change in the air that we need to ensure we give some attention to.

Ange Meredith Senior Executive, APCO Service Stations What do you enjoy about working in convenience?

The convenience customer and their behaviours are constantly changing and evolving, and today's challenge is to be ahead of the game and ensure the product offer is evolving to meet their on-demand needs. Classic convenience store retailing is a thing of the past and while the continual demand for fuel brings a high amount of foot traffic through our doors every day, it is the diversity and innovation in convenience retailing product offer where we can truly excite our customers. The convenience industry to me has always been the ‘fun channel’ to work in and with the direction the industry is going with food and coffee being such an important focus for continual business growth, the future really looks exciting for convenience.

Highlight one company achievement you’re particularly proud of in the last 12 months.

We have recently opened our 5th APCO IGA X-press store in Newcomb and I had a lot of involvement in the physical store layout and design process. We are extremely proud of the design elements and the product offer we have in this store and believe that our fresh food zones and Café is up there with the best in class for convenience retailing.

40 June/July 2019 | C&I | www.c-store.com.au

What is your company doing to meet changing customer demands?

Continuing our focus on fresh food and quality coffee to deliver customer solutions for all day parts and to appeal to the on the go and on demand culture of our customers.

Technology is also high on our agenda as we know today's customer and the customer of the future are driven by technology and instant gratification and we need to ensure we have solutions to meet this behaviour and desire.

What does your crystal ball say about the year ahead in convenience?

Competition from the supermarket chains will increase with their continued expansion into small format retail supermarkets with food and coffee offers. This will put pressure on convenience retail pricing and the need to further diversify the product and service offer will continue.

The supplier relationship with retailers is also changing and this will continue as the channel blurring happens in our industry and the need for deeper understanding of each other’s needs will be crucial.

FEATURE

Deborah Rowlingson Senior Category Manager, Puma What do you enjoy about working in convenience?

I most enjoy the rapidly changing environment we must adapt to in order to entice and engage customers to shop within a competitive landscape. In my role as a category manager I have plenty of opportunities to trial new and innovative ideas to meet the growing needs of today’s consumer.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Over the last 12 months Puma Energy Australia has strengthened our supplier partnerships through trading agreement negotiations that resulted in greater efficiency, cost reduction and increased competitiveness. Through this, we have been able to implement a consolidated range which has seen solid in-shop growth over the last two quarters.

What is your company doing to meet changing customer demands?

I read an article recently that summed up customer convenience really well: Customer convenience ‘is any element of customer experience that saves the customer time and effort’ and has a major impact on buying decisions.

Puma Energy Australia believes that saving the customer time and effort with each convenience experience is pivotal.

We achieve this by improving service offers at selected sites,

including parcel pick up, dry cleaning and water top up machines. We were one of the first petrol and convenience groups to provide ready to eat meals like Youfoodz, which we introduced three years ago for the increasingly time-poor consumer. In addition to this, we have entered the self-serve coffee space and grouped low dollar offers in the fast lane so customers can easily pick up a snack or drink. We have also decluttered our point of sale to improve the messaging to customers.

What does your crystal ball say about the year ahead in convenience?

We all know customer experience is a critical factor in how customers make decisions about what to buy, what services to use, where to go and with whom to engage with and this will only become more important. Customers are time poor and don’t want to spend too much effort in getting what they need. Understanding your customer’s journey in buying your products and services, how they interact with your products and staff is crucial for sites to succeed in the convenience industry. By investing in research, data and new technologies, like facial recognition, we will be able to better understand the customer and effectively tailor the right initiatives.

Darren Park Senior Executive, UCB What do you enjoy about working in convenience?

Convenience retailing is the pointiest end of retailing. My team, our members and our trade partners are forever learning, anticipating and adjusting what we do, to reflect the changing nature of what shoppers want. What challenges me, is knowing that there isn’t one single solution or best practice for converting all customer types.

Every customer comes with his or her own set of needs, and as retailers we have to acknowledge this uniqueness and tailor our approaches accordingly. And that requires a team effort.

Highlight one company achievement you’re particularly proud of in the last 12 months.

I am always incredibly proud of my UCB team and our UCB members. Our marketplace is tough, stakeholder expectations are very high and there are many cost pressures that challenge viability. Our overall business is in growth, which I take as a sign that the work we are doing to highlight the value that trade partners with market leading brands generate from investing in our members, is heading in the right direction. Our most recent CMA results are outstanding, right across the board. If you are interested in working with us to help us improve again, we are open.

What is your company doing to meet changing customer demands?

Customer demands are a moving target, that’s for sure. As UCB and our members become more agile (we know for example NPD support is critical) and responsive to customer demands, customers change what they’re looking for and all with increasing unpredictability. For the past few years we’ve had our hands on raw sales data and the analysis was manual, but we have some new capabilities. Rather than focus on the use of syndicated data, we’ll use our own data to help inform our decisions, with greater fact.

What does your crystal ball say about the year ahead in convenience?

On the go, tech enhanced daily lives have led to the fragmentation of routines that many of us grew up with.

Everybody today is a shopper and with that, we are doing our best to understand the trends that are present and how our members need to execute instore to make shoppers happy. For me the future is about what we do now to understand the people we serve, and that’s where we ask questions of our trade partners, members and our industry.

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GLUTEN FREE

ORGANIC

GLUTEN FREE

ORGANIC

FEATURE

Beatrice Bowen Head of Format, Design and New Businesss, Caltex Australia What do you enjoy about working in convenience?

Customers are more time poor than ever and as a result we’re seeing fast moving trends, such as wanting more quality, fresh food on the go. There’s a great pace in meeting the changing needs of customers which makes for a very dynamic and customer focused industry to work in.

Highlight one company achievement you’re particularly proud of in the last 12 months.

We recently launched a pilot of delivery services using UberEats and Deliveroo across 27 sites nationally to determine whether customers wanted convenience products delivered on demand. I’m very proud to say our operational teams are doing a great job of keeping up with customer orders and our ratings have been excellent. We’re really excited to see where this goes in the next 12 months.

to ensure we’re meeting more customer missions than ever before. An example of this would be delivery services bringing convenience products to customers on demand wherever they want them.

What does your crystal ball say about the year ahead in convenience?

It would be great if I had a crystal ball! I think there’s going to be an increasing emphasis on convenience stores delivering on more customer missions and closing the gap between service stations and supermarkets. If we look at overseas trends, service stations deliver on a greater proportion of convenient top up shopping than supermarkets and I think there’s a great opportunity for Australia to follow.

What is your company doing to meet changing customer demands?

Here at Caltex we’re constantly researching the needs of customers and actively listening to what they need via our ‘Voice of the Customer’ program. This year we’re looking to bring a suite of convenient services to the customer,

Diann Melas Operations Manager, Gascorp What do you enjoy about working in convenience?

Convenience is an ever-changing industry, especially in NSW. At Budget Petrol, we really have to make sure we are active within the industry and keeping up with competitors to keep our consumers coming back to our stores time and time again.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Having been supplied by Mobil for the last 30 years, we are now a Mobil Branded Wholesaler and have four co-branded Mobil – Budget Stores in NSW; Faulconbridge, Silverdale, The Oaks, and Port Kembla. The sites look fantastic and offer quality fuels in their local areas. We have recently launched our own Budget Store branded Spring Water which is locally sourced from Mangrove Mountain, which is available across our network now. We will be offering promotions surrounding this product through the network.

What is your company doing to meet changing customer demands?

We are offering new products every day and are actively looking for that point of difference to ensure we differentiate ourselves from the competition by offering Quality Products at Budget Price. Our Budget Store Spring Water is an example of this.

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What does your crystal ball say about the year ahead in convenience?

The year ahead is will see more innovation and more competition. We will continue to aim to maintain our offering and will always offer Quality Fuel at Budget Price to keep our consumers coming back.

*Source IRI Scan, Australia Grocery & Convenience, MAT TO 05/05/19 VALUE SALES (DOLLARS)

AUSTRALIA’S NO.1 FUNCTIONAL SPORTS WATER BRAND*

FEATURE

Justin Rejske Managing Director, Melitta Coffee Marketing and Product Management play a major role when we we're defining the requirements for a new coffee machine however we regularly request input from sales, customer service and our field staff, working at trade fairs or in foreign markets.”

What do you enjoy about working in convenience?

The convenience channel is fast paced and always innovating to meet new consumer trends. Recently we’ve seen convenience store chains providing improved products as a result of emerging trends in snacking, as well as hot and cold beverages. The demand for coffee on the go continues to increase and has been one of the few categories with positive year on year growth.

Over many years Melitta has partnered with leading QSR chains to deliver scalable solutions to meet the growing consumer needs. This is attributed to Melitta’s high quality, consistency and reliable products. Consumers are now demanding these same high quality products from convenience stores, through self-service machines, with more beverage choices and value pricing.

Highlight one company achievement you’re particularly proud of in the last 12 months.

In 2019, Melitta celebrates its 111th birthday. For 111 years we have been enhancing people’s enjoyment of coffee. We started with the world’s first coffee filter in 1908. Today, our family business is a multinational group with a wide variety of products, competencies, markets and people. For 111 years we have been building bridges between progress and tradition.

With solid foundations that bear us, and a vision that drives us forward. We are proud of our achievements and curious about the future. Celebrate with us – and discover Melitta!

What is your company doing to meet changing customer demands?

Simply enough it’s about listening to our customers, identifying opportunities, understanding their future needs and innovating.

46 June/July 2019 | C&I | www.c-store.com.au

At Melitta Professional our goal is to establish long-term partnerships with our customers. This fosters relationships with a high level of mutual trust especially with chain customers where joint projects that can last several years. Whether these projects succeed or not depends to a large extent on our willingness and ability to innovate. That’s why we’ve focused our efforts on strengthening this aspect, by recruiting the right employees, systematically researching new developments and trends, and constantly questioning existing processes.

To be a highly innovative company, our staff across all departments needs a good eye for new trends and developments. Marketing and Product Management play a major role when we we're defining the requirements for a new coffee machine however we regularly request input from sales, customer service and our field staff, working at trade fairs or in foreign markets. Then it’s R&D to provide the motivation and drive the development through to product delivery.

What does your crystal ball say about the year ahead in convenience?

As a whole, we see the convenience channel continuing to invest in technology, digital platforms and loyalty, striving to meet consumer demand for better experience.

From a hot beverage category, we believe the convenience channel will once again see significant growth in terms of unit sales. The quality / value relationship is now an interesting proposition for customers to grab a barista quality coffee at the touch of a button.

FEATURE

David White Executive General Manager, METCASH I love retail, I have worked in and around retail all my life. I love the pace and urgency that comes with convenience and it's great for a numbers junkie like me; in convenience if you get it right you know straight away. I am especially proud of being part of the Metcash team and our core purpose of championing successful independents.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Our new wholesale pricing project; with the support of our suppliers, we now have more than 4000 lines in our range on every day wholesale pricing, providing our customers with products at consistent prices that allow them to compete in the market and offer their shoppers great value while making a reasonable margin themselves.

What is your company doing to meet changing customer demands?

Customer demands for smaller, more frequent shops and food for now and food for later solutions are changing the face of convenience retailing. We need to reconfigure our

where it tastes –– best.

At home –– wherever you are. www.111yearsmelitta.com

supply chain to meet these needs and we have two very successful daily fresh delivery trials currently under way in two states. The team are very excited and we hope this will set the foundations for a true one-stop shop wholesale platform for all Australian convenience businesses now and in to the future.

What does your crystal ball say about the year ahead in convenience?

Recent corporate activity in both the retail and wholesale channels will see the pace of change accelerate in the convenience market this year. New competitors with the capacity to invest will be keen to get their businesses fit to meet the changing market. Consumers will be the winners and we need to ensure that we are up to that challenge and able to equip our retailers with the means to compete.

One challenge that faces us all equally in the convenience space is how, in this consume-now, disposable world to reduce our impact on the environment. Convenience for the consumer often comes at the cost of high levels of packaging waste and we must work with all our suppliers to not only stabilise but significantly reduce that impact on our environment.

® Registered trademark of a company of the Melitta Group.

What do you enjoy about working in convenience?

FEATURE

Luke Driver Head of Petrol and Convenience, Unilever I would have to say that food on the go, coffee and fresh will continue to drive the agenda appealing to current and new shoppers with focus towards the female shopper.”

What do you enjoy about working in convenience?

I enjoy the diverse customers we work with, the opportunity to do things differently and the rapid speed of change within a challenging convenience space. The only thing constant in the channel is change and it’s our role as a supplier to ensure we are moving with pace to stay relevant to our customers and consumers. Each of our customers are at different stages of growth and have varying expectations.

Understanding the DNA of the customer is super important and it’s our role to ensure our strategic direction is aligned our business is imbedded within theirs.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Specifically within the convenience space, I’m proud of an award we picked up in Oct 2018 for Gaytime Sanga at the UCB conference. We won product of the year as voted by UCB sites. A huge amount of work went into the launch by both the UCB and Unilever teams to ensure we had brilliant execution and a flawless launch via strong speed to market and stock-weight. It’s awesome to see the team get rewarded for their effort and commitment to driving growth.

What is your company doing to meet changing customer demands?

From a consumer perspective, we have a huge amount of insights at our finger tips and we are fortunate that we have a presence both

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locally and globally to understand different market trends.

This helps us identify what to go after from an innovation perspective and where to focus support and resource.

The ‘Better For You’ trend is a great example where our customers are supporting it within their strategy and we see the same trend via our insights and trends analysis locally and globally – this is an expectation from our consumers – eg low sugar, protein, permissibility, Vegan and Dairy Free / Gluten Free and where a strong alignment can take place.

What does your crystal ball say about the year ahead in convenience?

It’s a great question, particularly when you look at the change that has occurred within the last few years. I would have to say that food on the go, coffee and fresh will continue to drive the agenda appealing to current and new shoppers with focus towards the female shopper. Standalone sites will continue to pop up and evolve – we are seeing more customers jump on board with this with varying success. Delivery will become an important category and will grow exponentially over the next 12 months – it’s here to stay. ‘Better For You’ options will continue driving growth in multiple categories and fundamentally help shift the consumer mindset about P&C. Lastly, I would like to say that liquor will be approved to be sold in P&C but unfortunately I think this is still a while off…

FEATURE

The smoking rate decline in Australia has remained relatively similar since 2014, whereas overseas, the rate of decline is accelerating as more and more smokers switch to smoke-free products.”

Tammy Chan Managing Director, Philip Morris What do you enjoy about working in convenience?

Convenience is an incredibly dynamic industry full of highly energised retailers and highly engaged consumers. Change is constant and rapid, with the channel offering a fantastic platform to showcase product and retail innovation. Philip Morris Australia has established some fantastic retail partnerships across the industry, with collaboration being a critical element to success.

Highlight one company achievement you’re particularly proud of in the last 12 months.

In April, the world’s most respected regulator, the United States Food and Drug Administration (US FDA), determined Philip Morris International (PMI)’s most advanced smokefree product, IQOS, which heats tobacco rather than burning it, is “appropriate for the protection of public health” and can therefore be sold in the US. This decision means 40 million Americans will now have access to a product that produces up to 95 per cent fewer dangerous chemicals than cigarettes. Our vision at Philip Morris is to one day stop selling cigarettes. With the US FDA decision, we are now one step closer to making that vision a reality. Under the US FDA’s careful oversight, American adult smokers who do not quit will now have the option of switching to a scientifically substantiated better alternative such as IQOS. The first step in solving any problem is recognising there is one. The smoking rate decline in Australia has remained relatively similar since 2014, whereas overseas, the rate of decline is accelerating as more and more smokers switch to smoke-free products. It’s extremely disappointing that in Australia, adult smokers are still denied the opportunity to switch to less harmful alternatives.

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What is your company doing to meet changing customer demands?

PMI has spent the last 20 years researching, scientifically substantiating, developing and commercialising smoke-free products that are a less harmful, and yet satisfying alternative for adult smokers.

At the core of our smoke-free portfolio is IQOS – an electrically heated tobacco product.

In just two years, 7.3 million people around the world have abandoned cigarettes and switched completely to IQOS which is available for sale in 47 markets in key cities or nationwide. All of us at Philip Morris are determined to replace cigarettes with smoke-free alternatives that combine sophisticated technology and intensive scientific validation.

What does your crystal ball say about the year ahead in convenience?

It is going to be a challenging environment for all retail channels over the coming year, however convenience is well positioned through their strength and completeness of offer to be able to continue to grow sales during this period.

From a tobacco perspective, ongoing government excise will continue to place affordability pressure on smokers.

To drive category performance, convenience retailers must continue to maintain a strong understanding of smoker demographics and purchasing behaviour within their retail catchment, as more and more smokers are looking for experience. Convenience retailers are well placed to deliver such experience and in some cases, even product knowledge. Of course, range efficiency and stock management will continue to be important in the fast changing environment to avoid lost sales.

FEATURE

Adam Arnold General Manager, BP Australia What do you enjoy about working in convenience?

I’ve worked for competitive, customer-centric brands for almost 20 years. A lot has changed over that time, however, the pace of change has accelerated dramatically in the past few years. New partnership models within the traditional fuel and convenience retail market, a continuous blurring of the lines between retail formats and offers, a shift in online versus bricks and mortar sales channels – actually, digital innovation more broadly – are just a few changes influencing consumer shopping habits. The convenience retail sector is bursting with opportunity right now and I’m excited to be a part of it.

Highlight one company achievement you’re particularly proud of in the last 12 months.

I’m very proud of our flagship retail store in Melbourne – BP Kings Way – which I believe is one of the most thoughtfully designed convenience stores in Australia. The Kings Way experience is built around choice. Customers in a rush can ‘bust the queue’ by using the BPme app from their car, or a self-serve kiosk immediately accessible upon entering the store. We believe giving these options provides an improved in-store experience for those customers wanting to spend a little more time browsing our tempting food offers, using our facilities, or jumping online via in-store Wifi.

What is your company doing to meet changing customer demands?

Among many other things, we’re building our internal capabilities. Of course, some of this involves investing in people and systems that support current and future digital initiatives. But probably more important is adjusting our organisational mindsets and priorities to think differently, work differently and act differently to become more customer focused, faster moving and more responsive to changes in customer or competitive dynamics.

What does your crystal ball say about the year ahead in convenience?

Consumers will continue to look beyond our industry as they redefine convenience as any shopping experience that saves them time, energy or frustration. So, my crystal ball says that most of the change and disruption – that will have the biggest long-term impact – won’t come from our direct competitors, but rather from outside. For this reason, partnerships and cross-channel offers will be imperative for success.

Haydn Tierney Bowser Bean What do you enjoy about working in convenience?

Changing people’s perceptions of what going to a service station should be. Traditionally fuel was considered to be a grudge purchase. Bowser Bean however provides customers with a different experience using great food, coffee and fit-outs. It is rewarding to see my customers exiting my locations with a smile of their face rather than pain in their hip pocket.

comfortable and relaxing surrounds to enjoy coffee and egg and bacon muffin.

What does your crystal ball say about the year ahead in convenience?

Traditional convenience lines and allocation floor space will be scrutinised. Retailers will look to broaden offers into new categories and methods to better serve and reward their customers.

Highlight one company achievement you’re particularly proud of in the last 12 months.

Evolving and growing the Bowser Bean network. Our new Bowser Bean sites present exceptionally well. These high-end fit-outs combined with a quality food and coffee focus are resulting in positive shop results.

What is your company doing to meet changing customer demands?

Ensuring the best post instore experience for our customers. Be it fast and friendly service, a broad convenience product range, great value in our food deals or June/July 2019 | C&I | www.c-store.com.au 51

WHY JOIN UCB? Purchase Power. It’s as simple as that.

UCB’s combined group buying power helps you as an Independent to remain competitive, giving you the benefits of belonging to a larger group without losing your identity or individuality!

Experience the Power of Independence, with UCB’s support enjoy…

Benefits from group negotiated pricing and trading terms Access to volume based buying power and promotions Improved pricing control and profitability Keep direct accounts with Trade Partners Stay Independent and grow your own brand Trade, Learn & Relax at UCB’s Annual Trade Show and Conference

UCB brings the power of Big Brands and Trade Partner Support to life in your store. UCB Proudly Supporting Convenience, It’s What We Do.

Become a UCB Member today and experience our simple, affordable and transparent retail program.

Call 02 9899 4800 or email info@ucbstores.com.au UCB proudly supports

PRODUCT NEWS

A biccie in a block

Arnott’s biscuits are a must have in every cupboard across Australia.

They’re the go-to, they’re the biscuits our grandma gave us as kids, and the biscuits we dip in our tea and the biscuits we top with cheese. Well now Arnott’s have upped their game and blown everyone else out of the water (kitchen) with the introduction of the Arnott's Chocolate Blocks.

Yes you read that right – Arnott’s Chocolate Blocks: a combination of five of our favourite Arnott’s classic biscuits and chocolate. Imagine dipping a row of chocolate into tea and getting your chocolate and biscuit fix all at once... well wonder no more. Those dreams are now a reality my friends.

FLAVOUR NOTES

• Iced VoVo Milk Chocolate Block Irresistible milk chocolate, playfully blended with crunchy biscuit bits, coconut & raspberry flavoured jellies and pink fondant pieces.

• Scotch Finger Milk Chocolate Block Crunchy, buttery biscuits mixed into delicious milk chocolate, a classically indulgent bite.

• Wagon Wheel Milk Chocolate Block Creamy milk chocolate packed with

crunchy biscuit bits, raspberry flavoured lollies and fluffy marshmallows, a totally unique chocolate experience.

• Ginger Nut Dark Chocolate Block Decadent dark chocolate mixed in with spiced ginger biscuit pieces for a sophisticated chocolate experience.

• Jatz Milk Chocolate Block A sweet and savoury blend, combining rich milk chocolate with slightly salty cracker pieces.

Arnott’s five new chocolate blocks & four new bars are made in Australia using sustainably sourced cocoa. (NB. Arnott’s Chocolate Ginger Nut is not available in bar form).

Energizer® Introduces a Powerful New Look Looking for a partner with super strength, an upbeat outlook, quick wit, endless endurance and dedication to powering the next adventure or achievement, big or small? Look no further. Mr. EnergizerTM is your answer, and he’s more vibrant than ever.

Energizer®, makers of Energizer® Ultimate Lithium™, the world’s longest-lasting AA battery, have announced a re-energized look for the brand, including new packaging, in-store displays, logo and advertising for its battery product lines, as well as an even more prominent role for Mr. EnergizerTM, the brand’s beloved charismatic character. The new visual treatments will provide a contemporary look with a lighter, brighter presentation and a helpful new approach, with distinct colors deployed to help consumers more easily and intuitively find the best product to suit their needs. Whether it’s the world’s longest-lasting Energizer® Ultimate LithiumTM AA battery, a lithium coin battery or an Energizer Recharge® rechargeable battery, the new packaging and color schemes will help consumers quickly identify the right choice and be on their way.

“We spent three years developing our new look, talking with consumers and researching their preferences to deliver an experience that’s both powerful and fun,” said Lori Shambro, Vice President, Global Marketing at Energizer Holdings, Inc. “They told us they want bright, clear and helpful packaging that will stand out in a cluttered aisle. And we know they love Mr. EnergizerTM, so we’ve made sure consumers will get more of him and his larger-than-life personality everywhere, from in-store to our advertising.”

Mr. EnergizerTM is the embodiment of physical energy, a living Energizer® battery who’s quick with a wink and a smile and always up for a new challenge or a friendly competition. He’s an animated character who lives in the real world and marvels at it with curious enthusiasm. His lasting endurance and fun-loving personality reflect the spirit of the Energizer® brand.

The changes represent the first major update to the Energizer® look since 2008, and will come to life across the entire Energizer® portfolio, starting with batteries.

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PRODUCT NEWS

Listerine Go Tabs for liquid freshness

Listerine has been defining oral care since 1914, with brand scientists driving foundational research on the many powerful benefits of mouthwash in fighting plaque, helping protect gums, supporting strong teeth, and delivering longlasting fresh breath. Now, Listerine is excited to announce the launch of a new product Go Tabs in Australia and New Zealand.

Listerine Go Tabs come in the form of a solid tablet, that transforms into a liquid once chewed, to be easily swished around the entire mouth and then swallowed – all in less than one minute, leaving you feeling whole mouth fresh for up to three hours.

In a report commissioned by Listerine Go Tabs, it found that almost eight in 10 Aussies believe they have bad breath to some degree and are equally anxious about it; so much so they would prefer to confront a friend about their partner cheating. The report also revealed Australians are so anxious about bad breath, they’d rather be bitten by a spider or speak in public than be confronted about their bad breath.

Listerine Go Tabs provide an on-the-go solution for fresh breath, especially when brushing your teeth or rinsing with mouthwash isn’t an option. Whether you’re on the train to work, leaving your favourite coffee shop, after a long-haul flight, or even before an interview, these chewable tablets transform from solid to liquid in seconds and leave your mouth feeling as clean as brushing and rinsing at home. The innovative technology in the product helps to neutralise those bad breath odours, not just masking it, providing long lasting fresh breath in an accessible format.

Try new Listerine Go Tabs and feel whole mouth fresh for up to three hours.

REFERENCES: The GO! TABS™ Bad Breath Anxiety Report, Galaxy Research Group 2019. Commissioned by Johnson & Johnson. March 2019.

Data on file Johnson & Johnson Consumer Inc.

PRODUCT NEWS

Go4® Raw snack bars

If you’re looking for vegan, gluten free and organic bars, Go4® raw bars is your right choice.

We are committed to cleanliness, environmentally friendly lifestyles and environmental protection. Therefore, we market affordable and quality organic certified products, 100% raw and gluten-free, with no added sugar, lactose-free, GMO-free, with no preservatives and optimizers.

WHO RATED US?

The Go4® bars have become a real event at world fairs. The Go4® is a finalist in the category Natural and Organic Awards Europe 2016 and at the prestigious Nord organic food fair in Malmö, Sweden. The Go4® bars won the award of “Best New Organic Food Product”.

HOW IS IT PRODUCED?

Each of the Go4® bars is produced based on the latest Australian Health Star Rating system in mind, which, in addition to product quality, evaluates the most appropriate proportion of nutrients.

The raw Go4® bars do not undergo any heat treatment, thus their beneficial properties have a maximum effect. Each Go4® bar contains superfoods such as Chia, Inca Beri, Spirulina, Goji Beri, Hemp Protein and others.

Go4® ingredients originate from some of the best suppliers of organic certified foods. Strict monitoring system is in place in the production process from A to Z to guarantee the golden combination of quality and affordable price.

For Orders and Enquiries, please contact on (02) 9748 1100 or info@allfect.com.au Go4Raw Half Page.pdf 1 2/05/2019 1:47:48 PM

Hot news in hot chips

Research shows that your customers are more willing than ever to try something different, whether it is a healthier option or an innovative twist on an old favourite.

That’s why it pays to keep an eye on industry trends and consider adding a second chip to your menu. Here are three innovative new chips from Simplot Foodservice that are set to add variety and interest to your menu.

First up is a genuine breakthrough: Vegetable Chips by Edgell. Made from carrot, beetroot and parsnip, these crunchy taste sensations are perfect as a side dish or for casual snacking.

Vegetable Chips have a natural appearance and are lightly coated for taste and texture. They can be oven baked or deep fried to minimise preparation time. With more and more Australians choosing to eat healthier food, adding Vegetable Chips to your menu will help to keep your business on point.

Also new to the Supa Crunch range is the Ultrafast Skin On chip by Edgell. With a rustic exterior and authentic potato flavour, these 10mm chips feature our special coating for superior hold time and crunch.

Supa Crunch Ultrafast Skin On chips have a visible skin, and their handcut appearance gives them an authentic home-style profile.

Also new to the Supa Crunch range is the extension into the popular 13mm cut variety, now available with a special coating that addresses the need for improved hold time with an eating experience that’s second to none.

Supa Crunch Classic 13mm is a great choice whether you serve chips in house or as a takeaway option. The benefits are obvious: improved customer satisfaction and reduced waste compared with cold and soggy chips that can’t go the distance.

Simplot Foodservice is the exclusive manufacturer of Edgell chips, prized for taste, quality, convenience and value for money across the entire range.

Today, Edgell has grown to become Australia’s premier potato and vegetable brand with an eye for innovation that helps keep your business a step ahead of its competition.

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For a free Chiko Shop Poster, please call 1800 061 279.

simplotfoodservice.com.au

PRODUCT NEWS

SHOJO grows Nutri-Tonics category

Nutri-Tonics are a well-established category across Asia, having started with Lipovitan in Japan in 1962. The category is deeply rooted in the various traditional medicine practices within most Asian cultures such as traditional Chinese medicine, Kanpo (Japan), Jamu (Indonesia) and Ayurvedic (India). All of these practices focus on the functional benefits of herbs, spices and other natural ingredients to provide or support health and wellness benefits to people. The category has recently emerged in the USA and Europe and is experiencing rapid growth. However, in Australia, it is still in its early stages of development as consumers have little exposure or access to these types of tonics.

SHOJO is a brand from Rogue Beverages that combines proven Asian tonics and functional ingredients into a modern beverage. The Turmeric tonic, SHOJO’s first product, is based on a Japanese beverage that targets liver health. SHOJO Turmeric tonic contains Curcumin, Vitamins B1, 2, 3 and 6 plus Vitamin C, ingredients scientifically proven to have anti-inflammatory and fatigue fighting properties, plus promote healthy liver function. Made in Australia, the Turmeric tonic is the first in a range of functional shots that will be rolled out over the next 12 months.

Co-Founder and Director Myles Davis said: “SHOJO is already on the market and we are finalizing our range extension of new flavours with different functional benefits”.

Rogue Beverages believe that there is significant opportunity for Nutri-Tonics in Australia based on: • Proven demand and size of this type of category across Asia for more than 50 years.

• Recent launch and rapid growth of similar drinks in the USA and Europe.

• The significant Asian population in Australia.

• The ever increasing demand for health and wellness or better for you products by Australian consumers.

• The ever increasing awareness and usage of natural functional ingredients and supplements by Australian consumers.

Increase impulse sales in snacking and confectionery using a bulk bin fixture Convenience store retailers can help boost their sales, create in-store theatre and differentiation with a bulk bin display.

There’s more and more demand from consumers who wish to shop locally which means the pressure on these stores to provide customers with a wide selection of product, is always increasing. However, there is a solution to one of these issues when it comes to snacking and confectionery!

The 3eBin™ scoop bins can display all manner of products but are especially effective with confectionery, dried fruit & nuts and healthy snacking options allowing plenty of impulse purchases while customers browse in store. This helps drives sales and increases margins because the products are delivered in bulk.

The 3eBin™ scoop bins are available in 12.5L and 20L versions. The 20L features a divider that allows two products in one bin at the same time without increasing the size of the fixture, particularly important if you have limited floor space.

The 3eBin™ bins are manufactured to last and made in RPET (recycled PET) which is completely food safe, UV safe and dishwasher safe for cleaning (up to 40 degrees).

Since 1954 HL Display has been manufacturing retail display solutions for some of the largest brands and retailers around the world and are in over 295,000 stores worldwide.

Our bulk bins have sold worldwide into large grocery chains such as Auchan, ICA, Spar, Coop, Leclerc, independent zero-waste stores, farm shops and convenience stores and have been in the retail environment for well over a decade providing customer's with a plastic free shopping experience.

Not only is this a better way to stock products, it is also meeting one of the consumers biggest concerns, plastic waste. By replacing products that are usually packed individually in plastic bags, with bulk bins, retailers will reduce the amount of waste created from their premises.

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In addition, a bulk bin fixture will provide retailers with a valuable additional revenue stream and a healthy ROI within months of installation.

More importantly it will show customers that the store is invested in reducing plastic packaging waste.

For more information or an obligation free quote please contact: Tony Hall – 0408 855 567 email: infoAUS@hl-display.com

PRODUCT NEWS

Yamas Ice Tea – Greece’s summer drink of choice is finally here

® Registered trademark of a company of the Melitta Group.

Bringing an exceptional twist to everyone’s favourite summer drink, Yamas is here and ready for you to enjoy. Each Yamas Ice Tea is the unique blend of the very best that nature has to offer: freshly brewed tea leaves, the sweet nectar of fruit juices, and delectable honey. It offers an array of natural goodness in one thirst-quenching hit.

Yamas Ice Tea is available in four delicious flavours: green tea with mango juice and honey, green tea with lemon juice and honey, white tea with pomegranate and honey, and black tea with peach juice and honey. The honey and juices replace all artificial sugars, making for a high-quality, fresh and extraordinary flavour that’s previously been unseen on Australian shelves.

With no artificial preservatives and colours used in its brew, Yamas allows the natural flavours of the tea, fruit and honey to shine through. Each Yamas Ice Tea is offered in a beautiful 335ml glass bottle, and is rich in antioxidants and natural refreshment, thanks to its beautiful ingredients.

Find out more about Yamas Ice Tea today. Get in touch with Olympian Products & Distribution on 1800 413711 or admin@olympianproducts.com for further details.

where moments matter.

At home –– wherever you are. www.111yearsmelitta.com

June/July 2019 | C&I | www.c-store.com.au 59

SPECIAL FEATURE

PERSONAL CARE Often forgotten but it’s a valuable category

Pricing is important as we do have a reputation for being very expensive on some of these items.”

O

ften, the personal care segment in the convenience industry is overlooked. However, the segment covers all products related to personal hygiene and cleaning such as soap, gels, deodorants, bathroom products (including cosmetics) and shaving products.

The size and main purpose of the convenience store will be a determining factor in how much product each store will stock.

Smaller stores often keep the personal care products behind the counter with them, while larger convenience stores, often petrol stations will carry multi-packs of toilet paper and a larger range of product.

According to Statista, sales in this segment are driven by price rather than by brand, and often this segment underperforms when compared to other segments.

RANGE AVAILABILITY Since 2017, the American convenience chain 7-Eleven has been selling cosmetics for budget-loving beauty shoppers. ‘Simply Me Beauty’ offers affordable makeup, tools and skincare products with prices ranging from $2.99 to $4.99USD. There are 37 products available in the range.

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In a press release regarding the beauty line, 7-Eleven category manager Joy Pico said: “Much of the time, makeup items like lip and eye colours are spur-of-the-moment, impulse buys. If the price is right, that makes it easier to justify. For a millennial working woman wanting to refresh her makeup while grabbing lunch at 7-Eleven stores, Simply Me Beauty is a welcomed offering and is priced just right for her”.

Johnson & Johnson have recently released Listerine Go Tabs – for fresh breath on-the-go. This kind of product fits perfectly into c-stores as it is designed to be a product used on-the-go.

Johnson & Johnson Pacific Marketing Director Belinda Driscoll: “We know that bad breath anxiety can be crippling, especially in a social or work setting. We are very excited to be offering a new way to eliminate bad breath odours, allowing those worried about breath freshness to get on with their day, with total confidence”.

FACTS AND FIGURES According to a report by the Australian Competition and Consumer Commission (ACCC), nearly all businesses removed GST on menstrual products from January 1st 2019 which resulted in lower prices.

SPECIAL FEATURE The ACCC welcomed this move and the ACCC Acting Chair Delia Rickard said: “The vast majority of retailers sampled were well prepared for the removal of the GST, and reduced retail prices of menstrual products by the expected 9.1 per cent”.

“There was no legal requirement for businesses to reduce their prices, but post 1 January 2019 and the GST removal, most consumers would have expected the tax ‘saving’ to result in lower prices,” Ms Rickard added.

According to the Australasian Association of Convenience Stores (AACS) State of the Industry Report 2018 (SOI), the household and self-care and medicinal segment equated to an increase in sales for Household +1.3% and Medicinal +1.2%, and a decline for Personal Care -4.0% The SOI revealed that the category had a gender split of sales, males 53% and 47% female, with an average spend of $12.20 per visit.

AACS CEO Jeff Rogut said: “Personal Care is a category of merchandise long stocked by C-Stores. As the focus of operators has shifted to the food and beverage categories, in some cases the basics in Personal Care have been neglected and even eliminated.

“Much will depend on the store location, competitor offers and customer base as to the extent to which personal care products are stocked. Pricing is important as we do have a reputation for being very expensive on some of these items. Given that they are currently not major sellers, stores could be more competitive to show greater value which may in fact increase demand. The category sales in 2018 were -4.0% on the previous year according to our AACS 2018 State of the Industry Report.”

Much of the time, makeup items like lip and eye colors are spur-of-themoment, impulse buys. If the price is right, that makes it easier to justify. For a millennial working woman wanting to refresh her makeup while grabbing lunch at 7-Eleven stores, Simply Me Beauty is a welcomed offering and is priced just right for her.”

As convenience stores are in direct competition with grocery stores, personal care is a category that could be more competitive with pricing to drive sales. C&I

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If you own or work in independent grocery or a convenience store, service station, dairy, corner store or mini-mart, C&I NZ is the one event you should not miss in 2019.

Admission to C&I NZ Expo 2019 is free.

3 GREAT REASONS TO ATTEND: • Your favourite suppliers exhibiting brand new products, and new market entrants to meet for the very first time.

• Network with suppliers and retailers over a few drinks and chat about business opportunities at the Convenience Cocktails event • Hear from a stellar line-up of industry leaders at the C&I Industry Symposium, discussing the importance of innovation in their businesses.

Visit www.candiexpo.co.nz to learn more.

ORGANISED BY Interpoint Events Pty Ltd in conjunction with C&I Media Pty Ltd and the New Zealand Association of Convenience Stores.

41 Bridge Road Glebe NSW 2037 Ph: 1300 789 845 Fax: 02 9660 4419 Email: exhibition@c-store.com.au www.c-store.com.au

“NZACS are thrilled to partner with C&I to bring the first show targeted at the convenience channel to New Zealand. We have already had interest from suppliers and significant retail groups in our sector around bringing large groups to the show” Dave Hooker, Executive Director NZACS

In partnership with

CONVENIENCE & IMPULSE NEW ZEALAND EXPO 2019 THE CLOUD, AUCKLAND

18-19 SEPTEMBER 2019

REGISTER NOW www.candiexpo.co.nz 0800 455 785

OPINION

WHY WOULD ANYONE WANT TO WORK FOR YOU?

CHARLES WATSON Senior Adviser Workforce Guardian

charles.watson@workforceguardian.com.au

Does anyone else leave a retail outlet feeling like they have just been mugged?”

A

s a consumer I am neutral on most customer service I receive. Occasionally, I walk out feeling great, becoming a convert, and drinking the KoolAid. Sometimes, I’m driven to wonder how a business is going to survive when it is employing untrained, uncaring, disengaged employees and in a saturated marketplace where I can either purchase the same thing somewhere else, or worse still, shop online! Does anyone else leave a retail outlet feeling like they have just been mugged?

I wonder what those businesses were thinking or hoping for when onboarding those particular individuals? During my occasional whinge on the subject, some colleagues state along the lines that ‘What do you expect from them? How engaged do you expect them to be in that sort of role?’. Well geez Karen, I don’t think the owners asked them to make me feel like [insert negative] and never go back there again.

So, who is to blame? Well it’s not me, and not really the customer service person, so that leaves...

if you are selling, make sure you don’t allow your workers to let it become a bearpit or a gladiatorial process where sneaky employees use a range of tricks to appear to make the most sales, all the while disengaging those others around them.

I have a strong feeling that other than being taught to use the point of sale system and how to restock, the onboarding process was a bit light on. I’m pretty sure that was never the real intention, but it just worked out that way. It feels like it’s just about selling me something… anything. In turn, this approach disengages customers. In truth you only need rockstar behaviour when you first open, then you need a little more substance to ensure longevity.

Simple solution – make actual customer service the priority, and not the sideshow alley kind. Teach workers properly and they will have greater pride in what they do and be greater brand ambassadors.

CREATING BENEFICIAL RETURNS

PAY RATES

Undertaking just a few proven steps within your business will improve your bottom line.

VALUES AND PURPOSE

When was the last time you reiterated these values with your workers and motivated them along the way? If you are part of a franchise group or similar, I am sure you have well drafted mission statements, values and standards easily available. If you aren’t, and don’t have these in place already, get some assistance. It might not be a forever job, but while they are employed feeling part of something bigger, and feeling valued makes a big difference to workers' attitudes. Further, if the work they undertake can become repetitive and mind numbing at times make sure you mix it up a little for each worker.

Simple solution – genuinely encourage and motivate workers through mentoring them to learn new skills within the business. Encourage workers to think from a systems improvement perspective where their involvement makes your business better.

IT’S NOT ALL ABOUT THE QUANTITY

Many retail related businesses appear to rely upon a worker’s quantitative results only. While the doors stay open 64 June/July 2019 | C&I | www.c-store.com.au

The last few years have seen a large number of wellknown brands, via their franchisees, get slammed for failing to pay workers properly. Sometimes this has been through oversight, and sometimes it has been deliberate.

Either way with the workplace advisory services and payroll systems available, neither should be happening. I would not become a shareholder in a company that can’t even do basic payroll accounting properly.

Surprisingly even after the last couple of years where such well known logo brands have been front page news over their underpayment of workers, more are happy to take their place. The Valiram Group, parent of brands such as Victoria’s Secret in Australia, are being considered by authorities for alleged underpayments of young retail workers. What a great way to disincentivise those who are new to the workforce and should be helping to build the brand in Australia.

Simple solution – pay appropriate rates of pay and on time, every time (Captain Obvious is right).

Find your balance with your workers somewhere between self-control and micromanagement. However you manage things take 100% ownership of staffing issues. Improve the processes already in place, solve any problems as they arise, keep employees engaged and reap the benefits. C&I

OPINION

DARREN PARK CEO United Convenience Buyers

Long term sustainability and success takes more than hard work and a little luck, I think we all know that to be true.”

ARE THERE SECRETS TO BUSINESS LONGEVITY? I was asked recently about longevity in business, more specifically about being in the Convenience Industry for almost 30 years, and what knowledge could I share? It was a great question and one that I answered as best as I could. It was also a question that I have since thought more about.

As I have been thinking about this opinion piece, I was reflecting on my journey so far, and how this question if answered honestly, could propel me and UCB to new heights in the future.

Long term sustainability and success takes more than hard work and a little luck, I think we all know that to be true. What are the keys of longevity that have worked for me and can they work for others? Only you the reader will be able to answer that.

Everyone loves a list, so let’s start one;

1. INTEGRITY IS CRITICAL

I think Integrity is critical. In fact, it’s a personality trait that almost all of us admire, since it means a person has a moral compass that never appears to change. In all my dealings with members, trade partners, colleagues and competitors, it is the one building block of business longevity that if you get it wrong, nothing else you do can compensate. In my experience, the most important display of integrity is around promises. When a promise is made, you must follow through.

2. BE TRUE TO YOUR MISSION

This one is my favourite. It’s impossible to be all things to all people, but you can always be true to your mission.

Mine is helping the Australian Convenience trade and UCB members prosper. Always has been and always will be. What is your mission? Well, what struggle or sacrifice 66 June/July 2019 | C&I | www.c-store.com.au

are you willing to tolerate to make a difference? Not every action I take every day fills me with joy, I am prepared to tolerate these rare tough days, because I know if I do, there’s a good chance Independent Retailers will benefit.

3. IT’S ABOUT BUILDING FAIR RELATIONSHIPS, NOT JUST TRANSACTIONS

UCB have been and are in this business for the long term.

We want to assist members and Trade Partners in making the right decisions for their long term benefit, not our shortterm profit. The best question to ask here is, how can I move this this relationship from benefitting me to how can I benefit this relationship?

4. HIRE GOOD QUALITY PEOPLE

Hire good quality people, treat them the way you would want to be treated and invest in them. Know what makes them tick, know their families if you can. They’ll be great representatives of your business and brand. There’s no doubt that I ask a lot of my team. Apart from the effort they put in each day, they display the first three points above and they hold me to the same standards.

Ultimately, I think longevity is the function of these four key behaviours. A company is ultimately judged by actions and behaviour, not words and mission statements and if you pursue longevity as a goal on its own, you may very well fail. If you pursue integrity, clarity and consistency of mission, an enduring model of partnership rather than day to day trading and you find the very best people to join you, you’ve set yourself up with the very best foundation.

I’d be interested to hear, what works for you in return. Until next time. C&I

OPINION

ANALYSING THE PERFORMANCE OF YOUR PEOPLE FROM A CUSTOMER’S PERSPECTIVE MICHELLE PASCOE Researcher, Trainer, Speaker

Measuring your performance identifies where you are succeeding and where there are opportunities to improve. It is the first step to raising your operating standards.”

T

he Employee Handbook has been written and the training complete outlining the service standards and the experience that you expect your team to provide to your customer, so what’s the next step?

MEASURING PERFORMANCE

Why should you measure the performance of your team from a customer’s perspective? The public and workforce are extremely diverse; multiple generations, cultures, languages and expectations. The 'service' benchmark today is more than just a 'smile, please and thank you', instead the customer expects the service to be extra ordinary with the experience providing a long lasting memory that will have them returning and telling others. Turning your customer into an 'Advocate' for your business.

Consistent service that is delivered by all your team (AND YOU) every day, even when you're short staffed or a previous customer has not been very nice is what sets your business apart from your competitors.

Measuring your performance identifies where you are succeeding and where there are opportunities to improve.

It is the first step to raising your operating standards.

Given the increasing competition for the customer dollar, it is critical to implement measuring into your business.

And believe me your competitors certainly will be if they want to succeed.

MEASURING TOOLS

There are some tried and tested research tools that are continually changing and morphing into a tool that engages your existing customers as well as prospective customers.

• Focus Groups • Online Forums • Surveys (Questionnaires) • Mystery Shopping • Competitor Audits So often I hear of business owners having one of their friends pop in and then give feedback over a coffee. There is nothing wrong with this form of analysis, however, in the majority of cases it is not measured and no guidelines were given before the 'friend' went in. Perhaps even their view was 'skewed' because of what you have told them about the 'team' before they have made their own opinion?

Using a professional research company is well worth the investment, whereby you receive data that is tailored for your specific business and the analysis is 'easy' to understand with suggestions on how to improve. Over the past two decades my company Optimum Operating Procedures and Services (OOPS) have developed our own 68 June/July 2019 | C&I | www.c-store.com.au

proprietary software Mystery Shopping reports to deliver what our clients want and more importantly what they need.

A customer experiences your whole business therefore not only do you accurately measure the performance of your team you have to be prepared to look at every working part, from the restrooms (if you have them), décor and the placement and design of your fixtures and fittings.

Without that information, you are not really measuring what matters.

WHY MEASURE AND ANALYSE?

Asking questions provides a clearer understanding of: • Customer Experience • Employee Engagement • Employee Knowledge • Image – Personal and Premises • Marketing and Promotions • Staff training required • Facilities to be added or enhanced • Identifies cultural changes in the workplace and customers Too often we assume that individual team members will have the same drive, knowledge and enthusiasm that we do as owners and managers, therefore measuring and then analysing the results will provide you 'real time' feedback on those in your team who are going beyond the expectations of your customers along with the opportunities to improve service and even identify where resources or further training are required.

SHARING THE ANALYSIS

Analysis must not become a 'draw liner' in your desk!

Instead share the information with your whole team and let them have the opportunity to make suggestions, ideas and clearly understand the perception that customers have of them, the team and the business. This can be confronting and emotional, but it’s not about the 'blame game' instead it’s about learning and growing from the data.

Sharing the analysis will also allow the opportunity to celebrate what is 'working' really well and so often how the little things that the team do impacts positively on the customer experience.

WHERE TO FROM HERE

Are you currently reviewing the performance of your team from the perspective of the customer? If not, how could you implement this practice so that it becomes a key part of your business in identifying opportunities of growth in your business and team. C&I

What’s coming up in the August September Edition

Energy drinks

Fresh food & sandwiches

Ice cream

UK INSIGHTS “They did that and saw shop sales triple and fuel sales double.”

Back in 2001, the UK was in recession and the forecourt industry suffered with independent owners and oil companies pulling the plug on sites, but for the Issa brothers, the downturn brought opportunities to add to their business.

“At that time, the oil companies were only selling sites in ones and twos. Up to about 2012, the biggest package of sites the company bought was nine in the Midlands. Then Esso came along and said it was looking to sell its sites in the UK over a three-year period and each year it would release packages of sites,” Mr Munshi said.

GLOBAL DOMINATION Simon King sat down with Ilyas Munshi, the Group Commercial Director, of Euro Garages at the company’s head office in Blackburn, UK.

Over 60% of our gross profit comes from non-fuel.”

E

uro Garages was founded by brothers Zuber and Mohsin Issa in 2001. In April 2019, the UK-based company completed a deal to buy the Woolworths forecourt business in Australia.

Euro Garages began life in Bury, Greater Manchester, when the Issa brothers purchased a single petrol filling station for £150,000 (A$281,662). Today, the business operates in nine countries, owns more than 5,500 sites and employs over 35,000 people.

Speaking at the company’s head office in Blackburn, Lancashire, Group Commercial Director Ilyas Munshi said: “After buying their first site, Zuber had a vision to invest in the site. They knocked down the kiosk shop offer and made a large convenience store and improved the forecourt offer, which included a new canopy and having all grades of fuel available at all pumps”.

“In the convenience store, they put a larger range than had been possible in the old kiosk and Zuber’s idea was to put a better food-to-go and fresh offer inside the store,” Mr Munshi said.

70 June/July 2019 | C&I | www.c-store.com.au

“Over the three years, Euro Garages was the only partner sat around the table with Esso. We secured 2014 sites from Exxon and we became Esso’s largest branded wholesaler – its term for retailer – in the UK. Subsequently, we’ve become the largest wholesaler for Esso globally,” he said.

The company added 70 sites from Shell, taking it to around 360 sites.

In 2006, Euro Garages started working with Spar, through James Hall, one of the symbol group’s four brand partners in the UK. Today, the forecourt retailer works with all four of the Spar brand partners.

At this time, the company acquired a few sites which had Burger King and Subway outlets. The traditional model of food-to-go on petrol stations was to have them separate to the forecourt as somebody else would be operating it.

“Zuber and Mohsin thought they could operate these brands themselves. They did the training and made the investments – the rest is history,” Mr Munshi said.

Euro Garages has made a significant commitment to delivering a modern consumer retail offer, by creating a true ‘one stop’ retail destination.

As part of its strategy to deliver profitable growth, Euro Garages partners with premium brands across its product and service offerings. On the fuel side, Euro Garages partner with prominent fuel brands such as Esso, BP, Shell and Texaco.

Euro Garages’ food-to-go partners include globally recognised brands such as Starbucks, Burger King and Subway.

Mr Munshi added: “Typically, in forecourt retailing, the gross profit contribution is 70-80% from fuel retail and 20-30% coming from the shop. In the UK, we have a business where roughly a third of gross profit comes from fuel, the convenience store and food-togo. That means that over 60% of our gross profit comes from nonfuel. I always describe the business as a convenience store, with a food court, which, ironically, sells fuel”.

With site valuations going through the roof in the UK, the company realised that it would get better value by investing in international markets.

In October 2016, the company identified TDR Capital as its private equity partner, which owns 50% of Euro Garages, while the Issa brothers own the other 50%.

UK INSIGHTS “One of the reasons we chose TDR Capital is that in August 2014, it had acquired Delek Europe, a business servicing about 1,100 fuel stations and convenience stores in France, Belgium, the Netherlands and Luxembourg. In September 2017, the combined business was rebranded to be known as the EG Group,” Mr Munshi said.

“We then went on an acquisition trail, securing 1,200 sites in Italy and 1,200 sites in Germany. In the United States, our acquisition of Kroger added 750 sites, which was soon followed by 250 sites from Travel Centres of America. We’ve subsequently added another 500 sites in the United States,” he said.

There is no doubt that the business, which is still headed by the Issa brothers, has been on a phenomenal growth journey, from one site in 2001, to 5,500 sites in nine markets, with 35,000 employees and turnover of €23 billion (A$36.8bn) in 2019.

Mr Munshi said: “The big challenge for us now is to replicate the business model that we are known for in the UK across the other markets. The minimum blueprint should be at least one food-togo brand, a nice convenience store and a good fuel offer – some of our sites in the UK have up to five food-to-go brands because of the space we have”.

“If you look at Continental Europe, we have started to roll-out the food-to-go partners. We’re just starting the process in the US now and it’ll come in Australia, which we have just taken over,” he said. C&I

EG Group completes deal to buy Woolworths’ forecourt business EG Group completed its $1.8bn acquisition of Woolworths’ forecourt business in April, after agreeing the deal in November 2018. The deal includes 537 sites and around 4,000 staff.

“Traditionally, we have acquired assets from the oil majors and have integrated them into our network, however, our last couple of significant acquisitions have been from supermarket chains,” Mr Munshi said.

“Our vision is quite clear – we want to deliver a world class fuel/convenience store/food-to-go offer. Where we differ from a lot of operators is everything you see at a site level, we own and operate. It’s a very onerous business model, especially when we have dedicated staffing for each of the brands as well – the people overhead is quite significant. The reason we invest in that way is so that we can deliver the necessary brand standards and customer experience.”

Mr Munshi acknowledged that there are a lot of food-to-go brands in Australia and he said that the EG Group will review local brands and see who has the appetite – no pun intended – to work with the company.

He continued: “A lot of food-to-go brands have grown out of the Australian market, such as Oporto, Guzman and Gomez and Gloria Jean’s – these are all brands that have done well in Australia. Our line-up in Australia might include international brands but we also might work with new brands as well”.

The 537 sites are in a mixture of locations and roughly half have a kiosk offer next to a Woolworths supermarket.

“With space limited on these sites, the opportunity could be to put a strong coffee offer in there along with the staple products of bread, milk and eggs. For the other half of the estate, these are bigger sites where we can do a lot more and we can introduce a lot more food-to-go brands.”

On the fuel side, Munshi said that the business will also look to introduce premium fuel into the market.

“When we acquired sites in the UK, we introduced premium fuel on some of the Esso sites,” he said. “Historically, Esso didn’t invest in the premium fuel offer; we did and we saw an upsurge in these locations,” he said.

“For us, Australia presents a phenomenal opportunity for our company owned and operated method of site operation. We have a transition service agreement in place with Woolworths, where our staff are based at its head office in Bella Vista, Sydney.

“Our immediate priorities include a new head office, getting the staff settled in and there is a big focus on systems. A good part of this year will be around these elements. In parallel with that, I’ll be working on nurturing brand partnerships.

“It’s all about investing and making the offer that the consumer has access to today, better tomorrow.”

We want to deliver a world class fuel/ convenience store/food-to-go offer.”

June/July 2019 | C&I | www.c-store.com.au 71

INDUSTRY NEWS

Matthew Blake moves to Rok

Matthew Blake recently took up a position at Rok Kombucha, having previously worked in the beverage segment.

“Having been in the FMCG for over 13 years, it is in your blood. In particular, the petrol and convenience industry which is so diverse and forever changing. I have previously worked for Pacific Optics and most recently Bundaberg Brewed Drinks, a premium brewed soft drink business.

I really loved working with beverages in the petrol and convenience channel and have seen Bundaberg’s share of soft drink almost double over the time I was there. Unfortunately, after five years with Bundaberg Brewed Drinks, a companywide restructure forced me to rethink my career.

I was super keen to stay in beverages and after watching trends towards better-for-you in the category, I was keen to find a position with an up and coming business with a focus on better for you. Plenty of networking actually led me to a discussion with Amanda, the founder and managing director of Rok Kombucha. From there, things really fell into place with an alignment on direction between us. For those unfamiliar with Rok, Rok Kombucha is produced in the pristine Margaret River region – the centre of Western Australia’s premium wine and gourmet food production – by former AFL footballer and award winning winemaker, Trent Carroll. Carroll’s goal is to bring Australia an authentic, premium, probiotic kombucha made from a blend of quality white and green tea and flavoured with raw, cold pressed juices and Australian native herbs – Rok is free from extracts, lab-created natural flavours, sweeteners, and contains one quarter of the sugar found in traditional soft drinks.”

Level Beverages appoints new sales manager Alex Wormald has been appointed as he National Sales Manager for Level Beverages.

“When I graduated from Barker College in 2009, I had the with goal to attend university and get a traditional 9 to 5 job, I wasn’t even sure which industry would appeal most to me. Upon leaving school I got my first job as a glassie at Greenwood Hotel and quickly fell in love with hospitality and customer service, putting university to hold. I loved the team work behind the bar, the fact that no day is like the previous and to be able to communicate with various people from all walks of life. Over the next few years I had the opportunity to work at several Sydney venues in various roles, finishing up as General Manager of the Terrace Hotel in 2018. In my on-premise roles I found a passion for pushing new products through the venue and working hand-in-hand with on-premise reps and creating the best customer experience possible.

But in 2015 I decided that a university degree could open new doors for me, and I started the demanding juggle of uni and a full-time job. At the end of 2018, I finally finished my Bachelor of Business and decided to take my knowledge and experience from working behind the bar and apply it to the other side of the bar in a sales capacity.

I was lucky enough to get a chance to meet with Chrish and the Level Team and be offered a national sales manager role, working very closely with Chrish.

Level Beverages is a small company and operates with a small team, so my role can be quite challenging, to get everything done that I want to do. Right now, it is a very exciting time for me and the team as we are launching of our new product, Level Lemonade, a high magnesium low sugar lemonade. This drink will solidify our position in the ‘Better for you’ beverages segment as we are offering a unique alternative to carbonated soft drinks currently on the market. Our big challenge is getting the product out there to be in a top position for the coming summer 2019/2020. I am also excited to use my industry knowledge to push our natural energy drink 72 June/July 2019 | C&I | www.c-store.com.au

28 Black into more on-premise venues as well as continuing to grow our Arizona Iced Tea share in the Iced Tea market.”

Link Differently ProGauge Wireless Probe w w w. d o v e r f u e l i n g s o l u t i o n s . c o m

©2019 Dover Fueling Solutions. All rights reserved. DOVER, the DOVER D Design, DOVER FUELING SOLUTIONS, and other trademarks referenced herein are trademarks of Delaware Capital Formation. Inc./Dover Corporation, Dover Fueling Solutions UK, Ltd. and their affiliated entities. 031819V2

PETROL NEWS ROUNDUP

Top 10 FAQs about electric vehicles

S DAN ARMES Founder of ServoPro

Take the demand for fuel away and we would see petrol stations struggling to find ways to get customers in the door.”

ome people are in the industry are calling it a threat, others are calling it an opportunity.

Whatever way you look at it, Electric Vehicles (EVs) are going to dramatically change the way we do business in the retail fuel industry.

Fuel is the biggest reason consumers visit a petrol station. Take the demand for fuel away and we would see petrol stations struggling to find ways to get customers in the door.

The second biggest reason consumers visit their local petrol station is coffee. We are seeing proactive fuel retailers who are ramping up their coffee offer and looking to diversify their business in order to attract new customers with the impending drop in fuel sales.

There are a lot of questions around EVs and how they will impact the retail fuel industry. There is a lot of confusion around the actual EVs themselves, as well as how we are going to change as an industry to make sure it is an opportunity and not a threat.

Let’s look at the 10 most frequently asked questions from ServoPro members …

1. DO EVS NEED SERVICING?

EVs do not have a traditional combustion engine which need regular servicing. The Tesla Model S only has 17 moving parts under the bonnet. EVs don’t have oil, oil filters, spark plugs, fuel filters or exhaust systems to service.

A typical EV service would consist of checking the tyres, brakes, air filters and the computer system.

The Tesla Model S has regenerative braking, which means the car slows down when you take your foot off the accelerator, this requires much less servicing. Tesla recommends that their vehicles are inspected every 12 months or 20,000 km.

2. ARE EVS SAFE?

The fact that EV’s don’t have a combustion engine with flammable liquid such as fuel on board means they are much safer. This makes them much safer in a head on collision. Tesla vehicles have a very low centre of gravity which greatly reduces the chances of a roll over.

Tesla have the highest safety rating of any car ever made. Other EVs on the market have similar safety ratings.

3. WHAT SORT OF RANGE CAN YOU EXPECT FROM AN ELECTRIC CAR?

Depending on the type of car and battery that has been installed in the car the range will vary. Generally the higher the capacity of the battery the further the range is.

74 June/July 2019 | C&I | www.c-store.com.au

Technology is improving rapidly in EV’s and the range of most electric cars available in 2019 is close to 600km.

For example, the 2019 Tesla Model S has a range of 595km. Jaguar, Hyundai and other manufacturers are manufacturing EVs with similar ranges.

With most EV models you will find that the larger the battery the more expensive the car. As mentioned previously, the larger the battery the better the range.

4. HOW LONG DOES IT TAKE TO CHARGE AN ELECTRIC CAR?

Again, this depends on the type of car and the type of battery. It also depends where you are charging the EV. EVs can be charged at a range of locations. We are seeing charging stations at hotels, carparks, parks and obviously petrol stations.

Tesla recommends charging their vehicles up to 90% by topping up the battery at home every night. At home where three-phase power is available, a Tesla Model S can be fully charged in around 5 hours. Where three-phase power isn’t available the time taken to fully charge a Tesla Model S is around 12 hours.

The chargers that you typically see at Petrol Stations can charge much faster and generally charge a Tesla

PETROL NEWS Model S to 50% in 20 minutes, 80% in 40 minutes and 100% in 75 minutes. There are new superchargers coming out soon which will charge much faster.

We are seeing most consumers only using a charging station to top up their batteries in order to get them to their destination.

5. HOW LONG DO THE BATTERIES LAST?

Batteries in EVs will last about 10 years. Like all batteries, over time, they lose the capacity to hold a charge. After 10 years the battery will only be able to hold around 70% of its original charge.

When it comes time for the battery to be replaced the old one is taken out and a new one installed.

6. WHAT IS THE PERFORMANCE LIKE OF AN EV?

Unlike combustion engines, EVs have instant torque. This means that electric motors don’t need to rev up through the gears. This makes them accelerate very quickly.

The Tesla Model S can go from 0 to 100 km in 3.2 seconds. Most people are surprised by the acceleration of EVs.

7. DOES AUSTRALIA HAVE THE INFRASTRUCTURE FOR EVS?

Most EV owners charge their vehicles at home but Australia has a growing network of charging stations. Most EV drivers are using these charging stations to top up EV batteries to get them to their destination.

Charging stations can now be found in shopping centres, hotels and car parks to allow customers to top up their EV batteries.

As the technology of batteries improve and the range is extended there will be less need for EV batteries to be topped up.

8. CAN YOU TOW WITH AN EV?

Tesla demonstrated the towing capacity of their Model X by towing a Qantas 787 aircraft. The weight of the trailer or caravan would reduce the range of the vehicle as more power would be required.

9. WHEN WILL EVS START TO IMPACT THE FUEL INDUSTRY?

With EVs becoming more popular it is only a matter of time before we see fuel sales start to decline in Australia. There are a lot of new petrol stations being built and very rarely are we seeing charging stations being installed.

Instead we are seeing fuel retailers starting to diversify their business options. The traditional petrol station is more and more looking like a food outlet and cafe as well as a convenience store. Petrol Stations are now being seen as a great location to drop off your dry cleaning and pick up parcels. We will see these dynamics change more and more over the coming years.

Fuel retailers who don’t look to diversify and continue to rely just on fuel as a draw card to attract customers will be left behind. There is plenty of opportunity to provide new products and services to customers. ServoPro members are benefiting from the opportunity to get up to date advice on the best ways to diversify and the variety of options available to service station owners.

Technology is improving rapidly in EVs and the range of most electric cars available in 2019 is close to 600km”

10. SHOULD I INSTALL A CHARGING STATION NOW?

ServoPro members who have EV charging stations at their sites are not seeing them used a great deal. This will change over time. There is a substantial cost involved to install charging stations so at this stage there is no urgent need to install this infrastructure at your site. We find there are many other, less financially draining options available to service stations owners which should be considered first. C&I

June/July 2019 | C&I | www.c-store.com.au 75

PETROL NEWS

Retail Prices for Unleaded and Diesel fuels for 2019 (so far)

Motorists using Unleaded petrol have been better off than those using Diesel by approximately 10.2 cents per litre (cpl) nationally – based on the difference between the Year-to-Date Averages over the January to April period for 2019.

UNLEADED – A CLOSER LOOK

The Year-to-Date (1 January to 30 April 2019) Averages for Unleaded across the five major centres show Sydney as the cheapest city at 132.1cpl and Brisbane as the most expensive, with a gap of 3.9cpl between the two locations. Perth comes in as the second most expensive city, followed by Melbourne.

However, this order changed on a month to month basis with the gap between the highest and lowest Unleaded Month Average ranging from 3.1cpl in April to 8.6cpl in January.

It is important to consider the impact of petrol price cycles on point in time (daily and/or monthly) comparisons… as it is the timing of each city’s price cycle that will influence a higher or lower reported month average rather than the overall price sensitivity of the market. Analysis over longer periods is therefore advised for prices of petrol grade fuels.

The lowest Unleaded price since the start of the year was recorded in Adelaide during March at 96.2cpl, while the highest Unleaded price was recorded in Brisbane during April at 175.5cpl.

City

2019 Month Averages – Unleaded Jan Feb Mar Apr

DIESEL – A CLOSER LOOK

The Year-to-Date (1 January to 30 April 2019) Averages for Diesel across the five major centres show Adelaide as the cheapest city at 142.7cpl and Melbourne as the most expensive, with a gap of 2.7cpl between the two locations. Brisbane is the second most expensive city, followed by Perth.

On a month to month basis the gap between the highest and lowest Diesel Month Average across these cities ranged from 2.2cpl in March to 7.3cpl in January.

The lowest Diesel price since the start of the year was recorded in Adelaide during January at 120.7cpl, while the highest Diesel price was recorded in Brisbane during April at 178.5cpl.

City

2019 Month Averages – Diesel Jan Feb Mar Apr

YTD

NATIONAL

143.6

145.2

149.4

151.0

147.3

Adelaide

133.1

139.0

147.3

148.8

142.7

Brisbane

139.7

143.2

148.1

150.0

144.9

YTD

Melbourne

140.1

143.6

148.8

148.2

145.4

NATIONAL

129.6

133.0

139.0

146.3

137.1

Perth

140.4

142.2

146.6

148.8

144.6

Adelaide

121.4

132.8

137.3

145.7

134.5

Sydney

137.9

141.3

146.6

147.4

143.0

Brisbane

124.8

130.2

139.9

148.3

136.0

Melbourne

124.3

129.0

137.3

146.2

135.1

Perth

127.7

129.8

137.1

145.9

135.2

Sydney

119.1

128.4

135.5

145.2

132.1

Data supplied by Informed Sources 76 June/July 2019 | C&I | www.c-store.com.au

Data supplied by Informed Sources

As Australia’s most comprehensive source of accurate fuel price information, Informed Sources (www.informedsources.com) provides effective solutions for businesses of all sizes.

PETROL NEWS Viva Energy Executive General Manager Consumer Megan Foster said: “We are thrilled to welcome someone with Andrew’s skillset to Viva Energy.

He brings with him a wealth of retail expertise and a proven track record in delivering consumer marketing and loyalty programmes across a number of relevant retail sectors.

“As we continue to grow our retail sites and price competitiveness across the country, Andrew’s market oriented and customer centric approach brings a breadth of skills, knowledge and expertise which will be invaluable to our retail channel’s long term success.”

Mr Andrew Egan said: “I’m delighted to be joining one of Australia’s leading and most respected energy companies. I look forward to leveraging my experience in data and consumer insights to help Viva Energy grow its retail offering and brand across the country.”

Rising oil prices slash earnings Viva Energy has reportedly taken a $35 million hit to its earnings following rising oil prices.

According to the Sydney Morning Herald, the company made a statement to the ASX saying: “Challenging trading conditions in 2019, predominantly due to sharp increases in the oil price, have impacted fuel margins”.

“This has negatively impacted Viva Energy retail segment’s underlying earnings in the range of $30 million to $35 million through to the end of April 2019,” the statement said.

“Variability in retail margins is a typical feature of the retail fuel market, influenced by the competitive pricing cycle in major markets as oil prices and foreign exchange rates rise and fall”.

“Despite the current challenging trading conditions, Viva Energy is in the initial stages of implementing strategies to improve retail price competitiveness and remains focused on lifting sales volumes through the Alliance network [with Coles Express],” Viva said.

Viva Energy appoints Andrew Egan as General Manager Marketing

Fuel reporting grace period ends The three month grace period that was put in place, following a recent implementation of a fuel reporting trial law in QLD has ended.

The grace period was to allow petrol retailers time to comply with the trial.

The trial laws were brought into effect in early December 2018, and require fuel retailers to report all changes in fuel prices within 30 minutes of the change being made.

Data collected is then made available to fuel price app developers and publishers, who then pass on the information to motorists via websites and phone applications.

The Australasian Convenience and Petroleum Marketers Association ACAPMA said the QLD government has advised that more than 1400 service stations have so far complied with the laws which equate to 95% of QLD fuel retailers.

ACAPMA CEO Mark McKenzie said: “The high rate of compliance by fuel retailers to date is a credit to both the co-operative approach advanced by the Queensland Government to encourage compliance and the positive efforts of the vast majority of fuel retailers to ensure their business is compliant with the new laws”.

“With the three-month grace period ending on Monday 15 April 2019, those retailers who have not yet complied risk being fined for non-compliance and should therefore address this issue urgently,” Mr McKenzie said.

There is a financial penalty risk for fuel retailers who don’t comply with the requirements.

Viva Energy Australia announced that Andrew Egan has been appointed as General Manager Marketing. Egan has most recently held senior marketing, brand and consumer roles at Myer.

This appointment signals Viva Energy’s renewed focus on retail customers, and in using market-driven insights to drive strong brand and value perception of the retail business in a highly competitive category.

Egan’s career spans across both an agency and marketing background, with a strong understanding of the customer, brand building and driving strong commercial returns across multiple sectors including; retail department stores, aviation, FMCG, publishing, liquor, insurance and financial services.

Most recently, during his tenure with the Myer business, Andrew’s role as Group General Manager of Marketing saw him lead the omni-channel brand management across marketing, digital, loyalty and data which was closely aligned to customer insights.

With his customer focused brand, retail and trade experience, Egan will bring a broad spectrum of skills to the role, helping drive the strategic direction of the Viva Energy retail channel.

June/July 2019 | C&I | www.c-store.com.au 77

PETROL NEWS

Police investigating petrol theft in VIC

Police are investigating a string of petrol thefts in Moorabbin and Frankson in VIC. According to Baysidenews.com.au, investigators were made aware of a woman in a Mercedes with false number plates who was filling her car with petrol and then driving off without paying.

Police noted the incident may be related to another petrol theft in Frankston.

The woman has been described as Caucasian in appearance, aged between 20 and 30 years with short blonde hair.

Police are urging anyone with information is urged to contact Crime Stoppers on 1800 333 000 or submit a confidential report online at www.crimestoppersvic.com.au

BP opens modern Chinese site BP has opened a new-look store in China, through its joint venture partnership with Dongming Petrochemical.

The branded station in Shandong, China, is the first in China to reflect the company’s new look and feel as part of its plan to add 1000 new sites across the country over a five year period.

According to PetrolPlaza, the new site offers Wild Bean coffee, free wifi along with other benefits including fast charging for electric vehicles.

BP China Retail President Hanna Hofer said: “We want to offer our Chinese customers a friendly and welcoming experience”.

“In this site, we are testing a new design and service offer, reflecting the uniqueness of the fast-changing retail environment and customer needs in China.”

BP Downstream chief executive Tufan Erginbilgic said: “China is an important market in our downstream growth strategy. This is the first BP site with our full offer, demonstrating our continued intent to provide charging solutions, fuels, and high quality retail offer to our consumers”.

A Growing Install Base of Wayne Dispensers Dover Fueling Solutions (DFS), a Dover company that delivers advanced fuel dispensing equipment, electronic systems and payment, fleet systems, automatic tank gauging and wetstock management, is now a major player in the Australian fuel industry through a growing install base of its Wayne Fuel Dispensers.

Wayne has been shaping the retail and fleet fueling industry since designing its first pump in 1891, a product which won the distinction “The Best Self Measuring Oil Pump” at the Columbian Exposition in Chicago just two years later. Once the motor vehicle entered the scene, Wayne’s purpose and mission was solidified – to create a reliable, accurate way for motorists to refuel cars – leading to the introduction of its first gasoline pump in 1907.

In 1918, Wayne introduced the first “visible” pump so motorists could see and control the amount of fuel going into their tanks. It was one of the first of many industry-changing products; Wayne would go on to introduce the mechanical computing dispenser, the blending pump, the electronic dispenser and the first Customer Activated Terminal (CAT), a product that heralded the age of self service and pay-at-the-pump. As the company grew in product development and innovation, Wayne also grew in size and global scope, opening offices and production facilities all over the globe.

Wayne re-entered the Australian market a number of years ago, and has continued to grow from strength to strength. You can now see a Wayne dispenser at every major branded site in Australia, including BP, Caltex, Puma, United, Viva and Mobil.

DFS Sales Director Ludo Wilmann said: “Our position in the market continues to strengthen off the back of a great product offering at 78 June/July 2019 | C&I | www.c-store.com.au

competitive prices, a strong distribution channel, along with excellent customer service and through life support.”

Today, Wayne fuel dispensers for the Australian market are manufactured in DFS’ production facility in Dundee, Scotland. The DFS operation in Australia, trading under the name Wayne Fueling Systems Australia Pty Ltd, is based in Melbourne, Australia. For more information on Wayne dispensers, or the full suite of DFS products, please reach out to Ludo Wilmann on +61 439 346 182 or ludo.wilmann@doverfs.com.

PETROL NEWS

EG Group finalises purcahse

The EG Group has finalised the purchase of the Woolworth’s petrol business.

Founder and co-CEO Mohsin Issa said the company was pleased to start the new chapter.

“We are pleased to have turned the page on this exciting new chapter for the EG Group,” Mr Issa said.

“Australia is a key market in the Asia Pacific region and this acquisition allows the EG Group to establish a solid base for further growth in the region.”

According to the Australian Financial Review, the EG Group has already appointed former Caltex executive Mike McMenamin as CEO. The acquisition, worth around $1.7 billion was completed on April 1.

The deal allows the EG Group to expand into Australia, with the purchase of the Woolworth’s network of 540 sites.

With the new acquisition, the EG Group now owns and operates about 2,250 sites across Europe, the US and Australia.

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Visit www.envirotank.com.au or call 1800 818 354 for more information

June/July 2019 | C&I | www.c-store.com.au 79

Petroleum equipment and services

Action Installation & Services

ELGAS SWAP’n’GO®

Action Installation & Services was formed in 2006 when Michael Mintilakis and Ron van der Meer decided to create an installation and service company that was second to none. Over 50 years of combined fuel industry experience and knowledge has enabled them to build a business which continues to lead change in the downstream petroleum industry.

Action Installation & Services continually strive to achieve the highest standards of environmental and safety performance, through the use of well informed, highly trained people. Action currently employs 40 staff across admin, installation, pump and electronic service.

Action Installation & Services strives to satisfy the requirements and expectations of every client every time in a professional and cost effective manner. Regular reviews ensure the quality of all products and services and business operations; and that all employees have appropriate job skills training; and quality management, contractual obligations and ongoing process improvement is maintained.

Elgas SWAP’n’GO® is the leading BBQ gas exchange program brand in Australia. The program offers your business the opportunity to increase sales and profits with a very well-known and respected brand.

SWAP’n’GO® also provides your customers with fast, safe and easy transactions. Out-of-date bottles are accepted at no extra charge.

You can add to or replace your declining refill sales, and low margins, with a reliable, convenient and secure swap program that has low labour costs for you.

SWAP’n’GO® maintains a record of excellence in safety, with comprehensive staff training in the safe handling of LPG. Elgas SWAP’n’GO® is backed by a national network of refilling plants and branches to ensure that your business receives quality service. SWAP’n’GO® also creates a massive summer stockpile to provide uninterrupted service during the seasonal peak periods.

Contact Elgas today to become a SWAP’n’GO® dealer.

Contact: Michael Mintilakis Phone: 1300 785 425 Email: michael@actioninstall.com.au Web: www.actioninstall.com.au

Phone: 1300 652 003 Email: swapngo@elgas.com.au Web: www.elgas.com.au/swapngo

Cardtronics

Gallagher Fuel Systems

When you see an ATM in a supermarket, convenience store or Petrol location, there’s a good chance it’s from Cardtronics, a proud supporter of the convenience, café and fuel industries.

Cardtronics understand the needs of a variety of establishments and the commercial environments that retailers in the P&C channel face.

Cardtronics know that you need your ATM up and running without any issues to service your patrons and provide them with safe and easy access to cash.

For your business premises a Cardtronics ATM will mean more customers with cash to spend in store, reduced eftpos fees, 24-hour service and support.

It is a fact that a percentage of the cash withdrawn from a Cardtronics ATM is spent on the premises, which will improve your revenue streams.

At Cardtronics we know from proven experience that an ATM can deliver more sales to your business. If you want to create more foot traffic in your business, an ATM does that.

Cardtronics is Australia’s largest independent ATM provider and part of the global Cardtronics brand. We operate a real 24 hour service, we operate our own technically trained help desk, offering nationwide support with a national network of spare parts warehouses and dedicated in-house technicians.

Gallagher Fuel Systems designer, manufacturer and supplier of quality fuel dispensing systems. The innovative PULSE fuel dispenser range combines advanced electronics, corrosion resistant metal work, the highly accurate Tatsuno meter and a modular design.

All Gallagher PULSE dispensers are internet capable. With the Data Centre application, each dispenser performance can become visible, via any internet enabled device. This powerful tool with its automated configurations and tools can fix issues remotely and reduce site visits. It brings pro-active servicing to the industry and significantly reduces overall servicing costs.

Gallagher Vapour Recovery solutions fully comply with environmental regulations, provide comprehensive compliance reporting and reduce forecourt pollution, creating a healthier working environment and community.

Gallagher’s latest edition to the PULSE range are the 5 product dispensers. The pressure only model offers one of the smallest footprints at only 2100mm. Mixed pressure and suction models are available with integrated LPG as an option.

Phone: 1300 305 600 Email: sales@cardtronics.com.au 80 June/July 2019 | C&I | www.c-store.com.au

Contact: Derek Hjelm, Business Development Manager Australia Phone: 0424 164 814 Email: derek.hjelm@gallagher.com Web: www.gallagher.com

SUPPLY-FIND

Flowsell Flowsell, providers of an innovative gravity-based drink merchandising system, say that when it comes to saving staff time, managing stock and increasing sales, “it’s all about gravity”.

Cool rooms with flat shelving, incur a range of ongoing and unnecessary costs.

By comparison, Flowsell’s drink merchandising system, reduces labour costs removing the need to double handle products and continually face up product.

The system also ensures proper FIFO (first in, first out) stock rotation, reducing product wastage and – better still – fridges maintain an attractive, fully stocked appearance as customers buy throughout the day.

The Flowsell full rack drink system is used extensively in all areas that retail drinks from a cool room.

This includes service stations, convenience stores, bottle shops and function centres. Other options available from Flowsell include a specialised Retrofit Bottle Slide Kit. This kit enables a customer to convert an existing flat shelf into a gravity feed system.

This system has been successfully used in convenience stores, bars, sporting clubs, cafes, bakeries, fast food outlets and anywhere that has a fridge with flat shelves.

Flowsell also supplies a gravity feed milk trolley for use in supermarkets with a dedicated cool room.

Free your staff to deal with customers in store and let gravity do the grunt work. Contact Flowsell on www.flowsell.com.au or Ph: 03 9708 2276 to find out how you can start saving today.

10 Sonia Street, Carrum Downs, VIC 3201 Phone: (03) 9708 2276 Fax: (03) 9708 2279 Hours: Mon - Fri: 9am - 5pm www.flowsell.com.au

Gascorp Pty Ltd – Budget Petrol

North Cross Australia Pty Ltd

Budget Petrol, established in 1985 is one of the oldest and largest groups of independent service stations in NSW, with over 60 locations in the Sydney Metropolitan area. Our Retail stores strive to provide our customers with Quality Fuel at Budget Prices.

Our Wholesale arm – Gascorp Pty Ltd offers independent operators a business model which enables them to run their own business without interference, while utilising the backing of a competitive, professional and reliable brand.

We offer competitive Mobil supplied fuel prices, Valvoline Oil, LPG Supply, In Store Programs, ATMs, Banking Partners and Environmental Regulation Support. We also operate our own fuel transport company which allows us to offer the highest levels of service for fuel deliveries and logistics.

North Cross Australia Pty Ltd is a multi-disciplinary firm that has offered a wide range of services to the Service Station Industry since 1990.

Our body of work is impressive and ranges from design, construction, civil, environmental, specialist petroleum services, demolition and local & statutory authority compliance.

We have worked with property owners and site operators for: • Underground Petroleum Storage System (UPSS) compliances.

• Fuel System Modifications.

• Design, Installation and Commissioning of new Fuel Systems.

• De-commissioning and Demolition (Unrestricted Licence) of existing fuel systems (incl Tank Removal or Abandonment).

• Asbestos Removal.

• General Construction Work.

• Civil Work.

• Environmental and Remedial.

We can help independents looking to: • Lease their property to a reputable company • Sell their property freehold • Reimage and brand their site • Change fuel supplier and retain their independent brand

Contact: Diann Melas Phone: (02) 9564 2355 Email: fuels@gascorp.com.au Web: budgetpetrol.com.au

To be listed here, please contact Safa de Valois on 0405 517 115 or email safa@c-store.com.au

North Cross Australia Pty Ltd ABN 30 130 834 329 Unit 14, 54 – 60 Links Rd, St Marys NSW 2760 Phone: (02) 9673 4004 Fax: (02) 9623 5823 Mobile: Norman Badaoui 0401 564 566 Email: norm@northcross.com.au Web: www.northcross.com.au

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SUPPLY-FIND

Shipman King Pty Ltd Shipman King Pty Ltd is an Australian designer, manufacturer and distributor of equipment for the service station forecourt industry.

Under their ESKAY brand, Shipman King’s long history has enabled the company to become a major supplier of this equipment throughout Australia, New Zealand and the Pacific region.

With an extensive product range and ability to service the whole of Australia, Shipman King is truly your one stop shop. Australian owned, Shipman King’s product range includes: •F ill Adaptors and Caps, Dip Cap Assemblies •U pflow Vents, Pressure Vacuum Vents • Dip and Fill Product Markers •V apour Recover Equipment, Stage 1 and 2 • Overfill Prevention Valves complete with aluminium tube ready for retro fitting

• Monitoring Wells and Ground Boxes • Durapipe PLX Polyethylene Piping System • Underpump Containment Sumps and Browning Spill Safe Boxes • Adblue Equipment • Sloan-LED Canopy Lights • Cim-Tek Spin-On Filters • Husky Fuelling Products • Aboveground Tank Equipment

For their complete product range, please visit Shipman King’s website.

Contact: Nigel Howlett Phone: (03) 9459 9900 Email: sales@shipmanking.com.au Web: www.shipmanking.com.au

Other suppliers Abacus Stocktaking Services Pty Ltd Accor Action Installation & Services Pty Ltd Active Eye Advanced Lighting Technologies Australia Inc Aitken Rowe Testing Laboritories PtyLtd Augusta Properties AusSport Pty Ltd Australian Enviro Services B&B Industrial Benchmark Business Sales & Valuations BP Australia Caltex Australia Capricorn Society Ltd Cavvanba Consulting Pty Ltd Coffey Environmental Services Commercial Indemnity Pty Ltd Compac Sales Pty Ltd Conservelec Pty Ltd Douglas Partners Earth Air Water Consulting & Monitoring P/L ECL Group Energy Action Environmental Monitoring Solutions Pty Ltd Envirotank Pty Ltd Envirowest Consulting Pty Ltd EquipCo ETP International Pte Ltd F&M Supplies Fuel Data Solutions Fuelgear Geo-Logix Pty Ltd

Gilbarco Australia HMC Pty Ltd Intertek Testing Services Jeffery & Katauskas Pty Ltd Jon Jen Trading Pty Ltd Leighton O'Brien Pty Ltd Liberty Oil Liquip International Pty Limited Metro Petroleum Mobil Oil Australia MPHP Architects Pty Ltd MTAA Superannuation Fund Pty Limited North Cross Australia Pty Ltd Northern Petroleum Equipment Services Pacific Guage Park Pty Ltd Perich Constructions Pty Ltd Perisale Australia Pty. Ltd. Petroleum Tank Technology Precision Stocktaking Services Puma Energy RCA Australia Pty Ltd SGS Australia Pty Ltd Spill Station Australia Pty Ltd Tank Solutions Pty Ltd Tennco Pty Ltd The Remediation Group Trans Tasman Energy Group Trax Retail Solutions Unigas Pty Ltd United Petroleum Urth Energy Valvoline Wayne Fuelling Systems

SI Retail SI Retail is an Australian owned family business that has been operating since 1974. With extensive technical knowledge, their professional team have developed a range of versatile shop fittings and point of sale solutions to suit a variety of retail industries.

With the petrol and convenience industry in mind, SI Retail has created a range of displays for retailers to showcase their products in the most costeffective and efficient ways. This will assist your business by driving product sales, whilst decreasing operational costs and maintaining a neat and attractive environment to promote a positive shopping experience for your customers.

Whether you require signage, shelving, shelving accessories (such as roller gravity shelves, LED lighting or shelf management), shopping baskets, hooks or data strips, SI Retail have the solutions for you!

Phone: 1300 434 775 Email: info@siretail.com Hours: Mon - Fri (8.30am - 4:30pm) Web: www.siretail.com

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Petroleum equipment and services C&I Supply-Find is a detailed listing of suppliers of products for resale, business services, maintenance providers, and manufacturers and suppliers of capital equipment for shop and forecourt. It is included in every issue of C&I Retailing Magazine, six times per year to a circulation of around 22,795 businesses.

The rate for posting in C&I Supply-Find is $2,950 + GST for one full year (six print issues and 12 months on our website). Bookings are a minimum of one year. For a 1/2 page, the rate is $5,900 + GST per year.

For all advertising enquiries with C&I Media, please contact

Safa de Valois

Mobile: 0405 517 115 Email: safa@c-store.com.au

FUEL. FOR LIVING.

A HIGH PROTEIN, HEALTHY ENERGY RANGE

to help you go harder for longer whatever the adventure ORDERS: CONTACT YOUR FREEDOM FOODS REP OR CUSTOMER SERVICE ON 1800 646 231

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