SMOKING KILLSIrish Government Warning

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July/August 2010

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SMOKING KILLSIrish Government Warning

July.Aug IFC+Foldover.indd 1 23/07/2010 10:55

IRELAND’S FMCG sector has come under the spotlight again in recent weeks, with the results of a recent survey from Eurostat, the statistical office of the European Union, sug-gesting that Irish prices are 29% more expensive than the European average. However, Ireland’s food industry hits back at these claims in our lead news story (Page 4), where Shane Dempsey, Head of Consumer Foods, Food and Drink Industry Ireland, contends that the Irish prices quoted are a year out of date, while Vincent Jennings, CEO of the Convenience Stores & Newsagents Association points to the higher costs along every step of the Irish supply chain as a key factor.

Elsewhere in our news section, Tom Harper, MD of Nielsen Ireland, suggests that spending on food is grow-ing for the first time in 17 months (Page 4); Tara Buckley, Director General of RGDATA maintains that Ireland’s Retail Planning Guidelines do not need repeal (Page 5); while recent figures from JTI Ireland suggest that a year after the cigarette display ban was introduced, cigarette sales in shops have dropped by 40%, with the majority of this trade moving to the black market (Page 6).

Meanwhile, Gary Desmond, CEO, Gala Retail Services, talks us through the Group’s decision to relocate their head-quarters in Kill, County Kildare (Page 14), Donal Horgan, SuperValu MD, explains why the Enterprise Ireland SuperValu Supplier Development Programme is a ‘win win’ for suppliers and retailers alike (Page 16), and Peter Foley, Commercial Director, ADM Londis plc, describes the recent developments for the Londis group and the benefits of being retailer-owned (Page 30). Finally, Pauline Madigan, Programme Director for the Media and Public Relations degree course at the Institute of Technology, Carlow, argues that utilising an effective Public Relations specialist could make the difference between success and failure on-shelf (Page 20).

.

Kathleen Belton,Editorial & Marketing Director

■ inside view

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“Over 53 years

serving the Irish

grocery trade.”

July/August10Contents

1

LUCKY tea drinkers throughout Ireland have the chance to win up to €1,000 instantly in an innovative competition. All they have to do is find one of the special Lyons talking tea packs, which will actually talk to them when they open it! One thousand special talking tea boxes are now randomly placed in stores around the country. If the Lyons Tea Master Blender talks when the box is opened, up to €1,000 can be won instantly, with a total prize fund of €25,000 on offer! Lyons also added plenty of talk to its tea when life- sized human talking tea boxes, themed around the characters from the Lyons Tea television and radio ads, hit the streets of Dublin recently to launch the new ‘Lyons talking tea boxes’ competition. Lyons’ tongue-in-cheek ‘Master Blender’ ad series is currently airing on all TV and radio channels.

SEVEN Miss Irelands joined forces to announce details of Lipton Fruit & Herbal tea’s ‘Drink Gorgeous, Look Gorgeous’ competition to coincide with Lipton’s style task on hit programme, Style Wars. To celebrate the partnership of style and taste on TV3’s hottest fashion show, Lipton is running a gorgeous competition to find seven lucky ladies who will each win a Fran & Jane shopping spree to create their own Lipton inspired look. The competition runs on Lipton Ireland’s Facebook page: www.Facebook.com/Lipton.Ireland The six former Miss Ireland beauties Rosanna Davison, Laura Patterson, Lynn Kelly, Lynda Duffy, Adrienne Rock and Anne Marie Gannon, were joined by the newest Miss Universe Ireland winner, Roz Purcell, and are pictured wearing a Fran & Jane outfit, themed from one of the seven tantalising flavours of the Lipton Fruit & Herbal range: Red Fruits, Pink Citrus, Forest Fruits, Crushed Peppermint, Lemon & Ginger, Morocco and Alps.

Lyons Talking Tea Boxes

Miss Irelands Get the Lipton Look!

Developing the Grocery Market

01,03 Contents.indd 1 22/07/2010 15:57

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News4Food Industry Questions Eurostat Report; Food Spending Grows.

5Planning Guidelines to be Repealed? Crawford Appointed IBEC President.

6Cigarette Sales Down by 40%; Legal Expert Appointed to Competition Authority.

7Drinks Industry Sponsorship Vital to Irish Sport; NCA Publishes Annual Report.

SHOP 201012SHOP 2010, which takes place from September 28-30 at the RDS, offers visitors a one-stop shop to meet cur-rent and potential suppliers and secure new contracts.

Focus on Gala14Gary Desmond, CEO, Gala Retail Services, on the decision to relocate the Group’s headquarters, the current success of the group and where the brand is headed.

SuperValu Supplier Development Programme16This year’s Enterprise Ireland SuperValu Supplier Development Programme sees 11 food companies taking part in an ambi-tious scheme which will lead to product listings on supermarket shelves. Donal Horgan, SuperValu MD, talks us through the Programme.

Case Study: PostPoint18Choosing PostPoint as his e-service provider has proved a shrewd move for Mark Malone, owner of Costcutter, Bray, Co. Wicklow.

Public Relations20Pauline Madigan, Programme Director for the Media and Public Relations degree course at the Institute of Technology, Carlow, on the importance of Public Relations, par-ticularly in the current eco-nomic climate.

The Retail News Interview30Peter Foley, Commercial Director, ADM Londis plc, on the benefits of being retailer-owned, the impact of their strategic alliance with Nisa Today’s and how Londis is delivering great value to both its retail part-ners and consumers.

On The Vine: Top 20 Wines33Jean Smullen reports on the best-selling wines in the country.

Shelf Life40All the latest news and gossip from the trade.

Regulars

8Industry News

39What’s New

Sectoral Reports

22Ethnic Foods

23Lunch Box/Back To School

37Canned Foods

3

ContentsJuly/August 2010

July/August10Contents

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4 20

39

33

01,03 Contents.indd 2 22/07/2010 15:14

FOOD industry and retail representa-tives have questioned a report that suggests Ireland has the second high-est prices in the EU for food and drink. The report from Eurostat, the statistical office of the European Union, suggests Irish prices are 29% more expensive than the European average. According to the report, Ireland has the highest tobacco prices in the EU, its bread and cereals are 32% dearer than the EU average, Irish meat products are 20% above the EU average, while alcohol prices are a massive 67% above the average.

However, industry spokespeople have drawn attention to the fact the report is from 2009, and since then, food and drink prices have fallen 8.6%, reflecting 2006 levels. “The information is out of date, as far as we are concerned, to such an extent that it doesn’t reflect the reality of prices in the Irish situa-tion any more,” Shane Dempsey, Head of Consumer Foods, Food and Drink Industry Ireland (FDII), told RETAIL NEWS. “There has been a huge amount of work done in terms of bringing prices down, by retailers and suppliers alike, since 2009. It is continuing in 2010.”

Dempsey added that food deflation in Ireland currently stands at -7%, while other European countries have experienced low levels of food inflation. Furthermore, Eastern European coun-tries with a low business and labour cost base are held in comparison to Ireland, as is Iceland, which has undergone huge depreciation over the last year.

While the statistics may not be up to date, there is little doubt Ireland ranks high amongst EU countries for the most

expensive food and drink. “Various fac-tors make Ireland a little more expen-sive, but they are the ones that affect most businesses in Ireland,” said Dempsey. “It is the dispersed popula-tion, the smaller population that doesn’t release economies of scale.”

Vincent Jennings, CEO for the Convenience Stores and Newsagents Association (CSNA) added: “It’s not a simple ‘aha’. Every single thing along the chain is more expensive.”

The myriad of causes attributed to the high cost of goods in Ireland include an absence of discount stores, the higher cost of doing business, structural issues, energy prices and employment laws. Jennings believes Ireland’s geographi-cal nature, and its subsequent econo-mies of scale, are largely to blame.

“Having an industry on an island has its upsides and downsides, but the cost of distribution is expensive, even though the product is generated within Ireland and is being distributed from one point to another,” he said. “Our road system and our densities are very different to distributing, say, within the greater Manchester or Birmingham area. In the news magazine end of things, the amount of miles cranked up every day to distribute national newspapers is far in excess of any territory or distribution within the UK.”

In the Eurostat figures, dairy pro-duce in Ireland is estimated at 37% dearer than other EU counties. Whether or not prices have declined since 2009,

it remains substantially dearer, despite the fact Ireland has some of the best dairy producing conditions in the world. Dempsey debunks the findings of the Eurostat survey, saying the products surveyed were skewed: for example, high quality Irish butter was compared with butter produced in a country less reputable for dairy products, and high quality Irish milk compared to packaged milk from other countries.

Further reasons for high prices in Ireland have been attributed to insur-ance, energy costs, water charges, and the high cost of regulatory compliance. Ireland also has the second highest minimum wage in Europe: high wages inevitably cause high prices.

But while all these aspects add a sliver of cost, Shane Dempsey believes the efforts of private sector companies to deal with the recession, and bring down costs, should be noted.

“You have seen it on the shelves, with 7% deflation. The Eurostat survey was done at a time that doesn’t reflect all the efforts that have gone into reducing prices. The portrayal of it in the media was inaccurate. It’s frustrating,” he said.

July/August10News

4

Food Spending GrowsTHE green shoots of recovery could be in motion, as consumer spending on food is thought to be growing for the first time, after 17 months of consecu-tive decline. Tom Harper, Managing Director of market research firm Nielsen Ireland, suggested a 0.5% increase in consumer spending dur-ing the month of May 2010, showing positive signs for the grocery sector.

Shane Dempsey, Head of Consumer Foods, Food and Drink Industry Ireland.

Vincent Jennings, CEO, CSNA.

Food Industry Questions Eurostat Report

4,5,6,7 News.indd 1 22/07/2010 12:28

July/August10News

IT ain’t broke, so don’t fix it. That is the message from RGDATA in regard to a current review of the Retail Planning Guidelines.

Published in 2001, the Retail Planning Guidelines ruled out the idea of American-style hypermarkets, which often set up shop outside a town centre, decimating small businesses on main streets. As per the guidelines, a store can not encompass over 3,500 square metres within the greater Dublin area and 3,000 square metres outside Dublin.

“We think there has been a huge amount of retail development in this country since then, so it hasn’t hindered retail development,” RGDATA Director General, Tara Buckley, told RETAIL NEWS. “A large number of new players and new formats have come into the country, so it hasn’t stopped diversity. We believe, going forward, we need to maintain a good, sustainable retail base in this country. We should ensure people have a choice in the type of shops they go to.”

Due to the guidelines, UK retail-ers such as Asda have not entered the Irish market. Although the govern-ment changed the guidelines in 2005, in order to accommodate Swedish retailer, Ikea, which opened a store in Dublin’s Ballymun, RGDATA believe the rules safeguard independent retailers who operate from town centres.

“We are still the envy of many coun-tries around the world. The guidelines have been successful and effective, where applied,” said Buckley.

However, planning consultant Tom Phillips disagrees with RGDATA’s view-

point, calling for greater flexibility for retailers and more guidance for local authorities.

“There seems to be an assumption that out of town retail developments are always detrimental to town centre devel-opment, but this is not necessarily the case,” he said. “Currently, I believe there is too much emphasis placed on assess-ing the potential impacts on existing retail outlets and this can restrict bal-anced development. The Review process offers a clear opportunity to strengthen the role of existing town centres, while allowing greater choice and competition for consumers.”

Phillips feels that the current cap on individual retail warehousing floor space of 6,000 square metres “is restricting sig-nificant further inward investment into Ireland and depriving consumers of a truly competitive retail market”.

Ciarán Cuffe TD, Minister of State with special responsibility for Sustainable Transport, Horticulture, Planning and Heritage, feels the Guidelines need a revamp, since Ireland has undergone considerable economic and demographic

change, since their introduction in 2001. While RGDATA believe the overall reach of the Guidelines should remain the same, they have made a submission, suggesting areas in which they can be improved and strengthened, particular-ly in the areas of data collection, footfall, and retail impact. Do they anticipate objections from the large retailers?

“There is always going to be a couple of people who want everything their own way,” said Tara Buckley. “The good thing about planning is that it is not just about what one big developer or one big retail-er wants: it’s about what is in the best interests of the people who live in the communities. The planners understand that’s what it is about: not the profits of a big retailer, or the bottom line of a devel-oper. People all over this country have been victims of bad planning. Retail is the one area where we have some good guidelines, which, when they have been applied, are very effective.”

A well-known retail figure has been appointed presi-dent of IBEC. Leo Crawford, Group Chief Executive of BWG Group, now fronts the business and employ-ers association, succeed-ing the position from Tom Noonan, Chief Executive of the Maxol Group.

At his inaugural speech

at the IBEC President’s Dinner in Mansion House, Dublin, Crawford called unemployment one of the greatest risks to Irish eco-nomic recovery, and called upon government to foster an environment of job crea-tion.

“Business is the pri-mary creator of jobs,” he

said, “but Government must provide conditions to allow this to happen. A critical next step is a revised capital expenditure programme that prioritises the development of strate-gic infrastructure, helps sustain and create jobs and incentivises private sector investment.”

Planning Guidelines to be Repealed?

Crawford Appointed IBEC President

Leo Crawford, Group Chief Executive, BWG Group and

new IBEC President.

5

RGDATA Director General, Tara Buckley.

4,5,6,7 News.indd 2 22/07/2010 12:28

6

ONE year after the cigarette display ban was introduced, cigarette sales in shops have dropped 40%. However, the reasons for the decline in sales may not be all that they seem. Traditionally, tobacco is not an impulse purchase: peo-ple enter a store with the premeditated plan of buying cigarettes. Furthermore, research suggests Irish adult smokers are extremely brand loyal, with 64% of consumers going elsewhere if their brand is out of stock.

“This highlights the importance of stocking the full range of leading ciga-rettes to prevent customers migrating to another store,” says Cheryl Cullen, spokesperson for JTI Ireland, which markets brands such as Camel, Benson & Hedges and Silk Cut. “JTI trade rep-resentatives visit close to 4,300 outlets to ensure our brands are adequately stocked.”

A display ban, then, is unlikely to put people off purchasing cigarettes.

Yet while sales have dropped, smok-ing rates have increased to 31%, accord-ing to new figures from the European Commission’s Eurobarometer research, marking a 7% increase since the last survey. The skew in statistics, in light of the fact Ireland has the strictest anti tobacco laws in the EU, suggests con-sumers are turning to the black market.

“Concerning our position on the display ban, this has been consistent,” said Cullen. “We did not believe that a display ban would be effective and were concerned that it would have unintend-ed consequences. We highlighted our concerns at the time, outlining the seri-ous negative impacts, for example on competition and on illicit trade, which will divert revenues from legitimate companies and Government to organ-ised crime. Sadly, our fears are proving to be founded.”

According to the Revenue Commissioners, 100m cigarettes, worth €42m in the shops and €33m in tax to the Exchequer, were seized this year alone. Tobacco manufacturers, like JTI, believe the display ban has exacerbated the illicit tobacco trade.

“In 2009, 27% of all tobacco consumed in Ireland evaded Irish excise duty,” said Cullen. “This illegal product is sold at street markets, door-to-door, in car parks,

amongst others. We believe that this per-centage will continue to grow unless ade-quate measures are put in place by the government to effectively halt its growth. These include extra resources for the Customs and An Garda Siochana, impo-sition of revised penalties and adequate regulation of street markets.”

Health campaigners have rejected suggestions the display ban is to blame for an increase in smuggling. Indeed, the high prices of cigarettes are per-haps more instrumental in driving peo-ple to the black market than a display ban. But despite the ban’s questionable merits, a year after its implementation, retailers have been largely compliant.

“Looking at JTI direct accounts, we believe retailers have been compliant with the legislation that was introduced last July,” said Cullen. “As Ireland’s leading tobacco company, we have endeavoured to help retailers across Ireland to comply with the requirements stipulated by the new provisions of the legislation introduced as part of the dis-play ban. Our trade representatives are always available to retailers who may need extra support or guidance.”

Meanwhile, Retailers Against Smuggling, the representative group for Ireland’s tobacco retailers, has praised the work of the Customs with the recent seizure of 8m cigarettes in Meath that had a street value of over €3m.

“We would like to congratulate and thank Revenue’s Custom Officials for their work in this seizure. All we are getting are empty promises and a fail-ure to act by the Government,” noted National Spokesperson for Retailers Against Smuggling, Benny Gilsenan. “National and international criminals are, on weekly basis, taking advan-tage of our failure to punish smugglers.

Cigarette smuggling is perceived as being a victimless crime but it is having a detrimental affect on the Irish retail-er. We need greater collusion between all stakeholders: this is the only way we can tackle the issue effectively.”

Cigarette Sales Down by 40%

July/August10News

Legal Expert Appointed to Competition AuthorityA LEGAL expert has been appointed to the Competition Authority and assigned the role of Director of the Authority’s Cartels Division. Gerald FitzGerald was appointed by Batt O’Keeffe TD, Minister for Enterprise, Trade and Innovation, assuming the role for the next six months. Jonathan Patchell, spokesperson for Enterprise, Trade and Innovation, told RETAIL NEWS that cartels - com-peting firms that fix prices - are the most serious form of anti-competitive behaviour.

“It is the job of Cartels Division to ensure the enforcement of both Irish and EU competition law in this regard,” he said.

FitzGerald, a former partner in McCann FitzGerald Solicitors and now a full-time legal consult-ant, was formerly a member of the Competition Authority’s Advisory Panel. “Mr FitzGerald’s background in competition law, having been involved in several leading competi-tion and merger cases, while partner with McCann Fitzgerald, meets the criteria and he will be considered a valuable asset to the Competition Authority,” said Patchell.

4,5,6,7 News.indd 3 22/07/2010 12:28

GIFT CARDS

M

OBILE TOP UPS

BILL PAY

7

THE Director of the Alcohol Beverage Federation of Ireland (ABFI), Rosemary Garth, has welcomed the recognition of the role the drinks industry plays in sup-porting thousands of sports teams and events across Ireland, as contained in the Report of the Working Group on Sports Sponsorship by the Alcohol Industry.

According to Garth, the Working Group was originally established with a view to phasing out sports sponsorship by the drinks industry, but “it immedi-ately became apparent on the Working Group that such a prospect would be potentially ruinous for sporting organi-sations throughout the country.

“The Drinks Industry provides vital financial support for both Ireland’s flag-ship sporting teams and events - such as the Guinness Autumn rugby inter-nationals or the Hennessy Gold Cup – right down to the local pub sponsoring the parish GAA team,” she continued. “Our support is critical to the survival of

major international sporting events, and small local competitions, especially in the current economic climate. The situa-tion was best articulated by the sporting bodies themselves. The report cites the views given by the IRFU and Football Association of Ireland who stated that ‘their sporting organisations or struc-tures would not exist without the current support from the alcohol industry’.”

Garth contended that Irish com-panies abide by some of the strictest rules on sponsorship to ensure that all activities are targeted at an adult audi-ence and do not promote irresponsible consumption. “There is absolutely no evidence that responsible alcohol spon-sorship leads to alcohol misuse,” she argued. “Removing our industry’s cru-cial financial support for sport in Ireland would simply punish the average fan or the amateur sportsman who would be left with fewer events to attend, teams to play with, or facilities to enjoy.”

THE National Consumer Agency has published its third annual report, reveal-ing significant enforcement activity for 2009. In total, 96 enforcement activities were undertaken by the Agency using the wide-ranging powers it has under the Consumer Protection Act.

“The remit of the Agency covering enforcement, advocacy, research, infor-mation/awareness and education enables us to develop a co-ordinated and multi-faceted approach to consumer welfare,” noted Chief Executive of the NCA, Ann Fitzgerald. “A robust risk-based approach to enforcement is a key element of the Agency commitment to delivering a fair deal for consumers. By acting on infor-mation we receive through a number of channels, this means that we target the areas where we know there is consumer detriment and use our powers to address unfair commercial practices in the most appropriate and most effective way pos-sible. In fact, the majority of cases inves-tigated are resolved without the need to take formal enforcement action but nonetheless, deliver on our goal to create best practice compliance standards and to ensure consumers are treated fairly.”

The enforcement actions taken by the agency in 2009 included 54 on-the-spot fines to 52 traders, 32 compliance notices to 30 traders (directing them to remedy contraventions), six prosecu-tions, three undertakings and one pro-hibition order.

Fitzgerald highlighted the NCA’s two large-scale grocery price surveys in 2009, covering branded and own-brand goods, while they published their first segment-based price survey – a compar-ison of prices charged for over-the-coun-ter medicines and personal care prod-ucts in pharmacies and supermarkets.

NCA Publishes Annual Report

July/August10News

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Drinks Industry Sponsorship Vital to Irish Sport

Ann Fitzgerald, Chief Executive of the NCA.

4,5,6,7 News.indd 4 22/07/2010 12:28

INTERNATIONAL Olympian athlete Olive Loughrane is pictured with Rebecca Walshe (4) ane Eva Dunne (7) at the launch of Rowntree’s Go Free Campaign 2010. Rowntree’s Go Free promotion is one of Ireland’s largest ever sum-mer competitions, which offers families the opportunity to win over 50 family dream adventures. The promotion will air on the RTE 2fm Jim Jim and Paddy Breakfast Show from July 5-30. Families wishing to participate register by texting the code found on Rowntree’s promotional display stands in stores nationwide. Each day, two families compete live on air to win a dream family adventure, such as a trip

to the magical Animal Kingdom in Florida, ice skating in New York, a week-long trip for the family to the idyllic sun soaked Spanish Costa, to trips to Dublin Zoo, Fota Wildlife, Sandyford Ski Centre, Sealife and Funtasia. In a separate promotion on-pack, consumers can also avail of a range of free sporting activities at venues nationwide.

FED up with life in the slow lane, Mr. Tayto will soon be gone in 60 seconds in his new look motor. You’ve heard of Smokey and the Bandit, this one’s more like Smokey and the

Bacon! Specially built with safety as the top priority – this new Spudster will get Ireland’s favourite crisps around the country before you can say Cheese and Onion.

8

Rowntree’s ‘Go Free’ Family Adventures

Mr. Tayto’s New ‘Spudster’

PICTURED launching Fish Ireland 2010, Ireland’s premier trade exhibition for the Irish fishing industry, in Killybegs, Co. Donegal, are Tanaiste Mary Coughlan, Sean Connick TD, Minister of State at the Department of Agriculture, Fisheries and Food, and Busso von Alvensleben, German Ambassador to Ireland, with Mark McCarthy and Anne Murray of The Marine Times. Minister Connick welcomed the invitation to open the exhibition and noted the appropriateness of holding such an event in Killybegs, one of the most modern fishing ports in the EU. “Events like this allow fishermen and their suppliers discuss the ever changing needs of the industry and prepare for future requirements,” he noted. Indeed, his central message revolved around innovation, dif-ferentiation of product and max-imising returns.

PATRICK Bewley is pictured accepting a Lifetime Achievement Award from the Speciality Coffee Association of Europe (SCAE) as part of the Awards for Coffee Excellence at the Caffe Culture trade exhibition in London. Patrick, whose great grandfather Charles established Ireland’s leading coffee company Bewley’s in 1840, is a former executive direc-tor and Past President of the SCAE. He was commended for his role in promoting qual-ity coffee and for developing the work of the SCAE, which seeks to raise awareness and appreciation of speciality coffee through edu-cation, training and business resources.

THE new Euro-Leaf logo indicates to both retailers and shoppers that a product meets tough organic standards. Welcoming the new logo, Ciarán Cuffe TD, Minister of State at the Department of Agriculture, Fisheries and Food, said, “Customer confidence is vital for the organic sector to survive and grow. Customers need assurance that what they are buying is genuinely organic and conforms to the highest standards. A single symbol in use all over the EU will help to give that assurance. It will also help Irish organic producers and processors to develop the export market, where there is very signifi-cant potential for Ireland.” The Euro-leaf design – cre-

ated by German student Dusan Milenkovic as part of an EU competi-tion for art students - emerged as the winner of an on-line poll which ended on January 31.

July/August10Industry News

Patrick Bewley Scoops Lifetime Achievement Award

New EU Organic logo

Fish Ireland 2010

08 Industry News 1.indd 1 22/07/2010 10:34

JTI Ireland has launched a nationwide youth access prevention programme aimed at providing one con-solidated solution to tobacco retailers in preventing the sale of tobacco to minors. Entitled ‘Show Me I.D – Be Age Ok’, the initiative is part of JTI’s ongoing com-mitment to prevent youth access to tobacco products in Ireland.

“Minors should not smoke and should not have access to cigarettes. It is ille-

gal to sell tobacco to anyone under 18 years old,” noted JTI Ireland’s Sales Director, Derek Mooney. “As Ireland’s leading tobacco company, we take our responsibilities seriously and through this initiative, we aim to contin-ue to assist tobacco retailers to comply with legislation. We hope that retailers and their staff can utilise this initiative as the comprehen-sive youth access prevention programme of choice in their retail premises.”

‘Show Me I.D – Be Age Ok’ centres around a pass-word protected website, www.showmeid.ie, which is the source of advice, sup-port and leading practice on how to avoid underage sales of tobacco. Specifically, the site includes an interactive module on how to refuse a sale to a minor and defuse confrontational situations, while illustrating the impor-tance of recording refusals. It also highlights the legal age for purchasing tobacco

and tobac-co related products.

The pro-gramme has been broadly welcomed by RGDATA, the CSNA and NFRN Ireland.

CELEBRITY chefs Neven Maguire and Catherine Fulvio were out in force to support and launch Bord Bia’s month-long promotional campaign for new season lamb. Pictured

with the chefs are Teresa Brophy, Ireland Market Manager, Bord Bia, Brandon Noble (aged 7) and Holly McGuinness (aged 5). The campaign features adverts across radio, press and outdoor and is further supported by lamb tastings and in-store promotions in over 55 stores throughout the month of July. “This campaign aims to motivate consumers to buy and try more lamb,” noted Teresa Brophy. “Research has shown that people love the taste of lamb, and new season lamb is both delicious and easy to cook. We’ve developed a new range of tasty seasonal recipes to demonstrate the versatility and simplicity of cooking with lamb.” The campaign timing is con-centrated on the main-season period, allowing maximum pro-motion when most product is available at a high quality. The Associated Craft Butchers of Ireland (ACBI) are also support-ing the campaign through the distribution of new lamb recipe leaflets in craft butchers nationwide.

9

JTI Ireland Launch Youth Access Prevention Programme

Bord Bia Launches Major Lamb Drive

PREMIUM spirits business and independent Scottish family distill-ers, William Grant & Sons Ltd is the new owner of a portfolio of Irish spirits and liqueur brands, includ-ing Tullamore Dew Irish Whiskey, Carolans, Frangelico and Irish Mist, following the completion of its acquisition of C&C’s spirits and liqueurs business for €300m. The newly acquired business will oper-ate as William Grant & Sons Irish Brands Ltd with immediate effect, based in both Dublin and Clonmel.

BULMERS Light has announced a new TV sponsorship, Style Wars ‘styled in association with Bulmers Light’, which began broadcasting on TV3 recently. Produced by Toto Productions, the show sees 10 contestants compete in fashion-based chal-lenges that result in weekly eliminations. Pictured at the launch are members of the judging panel: former model and fashion business woman Caprice Bourret; Angela Woods, Head of Design fac-ulty, NCAD;, Irish fashion designer Peter O’Brien and Ian Galvin, Aurora Chairman, with Orlaith Fortune, Marketing Manager, Bulmers Light (centre).

Bulmers Light’s TV Sponsorship William Grant & Sons Acquire C&C Spirits Business

July/August10Industry News

09 Industry News 2.indd 1 22/07/2010 10:37

TESCO Ireland has announced its investment plans for the next year in Ireland, with €113m to be invested to create 748 new jobs across the country. The retailer will open seven new stores and redevelop one other.

New stores, creating 688 jobs, will be opened in Kinnegad, Westmeath (80 jobs), Oranmore, Galway (110), Swinford, Mayo (90), Ballybeg, Waterford (110), Thomas St, Dublin (16), Kimmage, Dublin (16) and Naas (266). The investment plan also includes a replace-ment store in Roscrea, Tipperary, that will result in 60 additional new jobs. A new Express store also opened in Bray last month.

Tesco Ireland CEO, Tony Keohane, stressed that the investment would benefit consumers and create jobs at a difficult time for the Irish economy: “These stores will offer new customers a value proposition at the lowest prices, as well as an excellent shopping experi-ence. The redeveloped stores will also improve the exist-ing offering to customers in those localities through better food and non-food ranges, again at the low-est prices. Moreover, there will be a significant boost in local employment, in terms of 748 new jobs, at a time when Ireland needs to get people into work.”

All new Tesco stores are highly carbon efficient,

with environmental features incorporated into the store design, energy saving meas-ures, advanced lighting, heating and cooling systems and extensive waste recy-cling facilities.

The new stores will come on stream over the

next year, with the Tesco Express Thomas Street in Dublin already functioning and to be officially opened shortly to become Tesco Ireland’s 120th store in the country. The remainder will be opened in the coming months.

BRITISH American Tobacco has entered into a cooperation agreement with the European Commission and the Member States of the EU to collectively tackle the problem of illicit trade in tobacco. Under the agreement, British American Tobacco will be joining forces with and working alongside the European Commission and the law enforcement authorities of the Member States. The agreement will see cooperation in a number of areas for the purpose of tackling illicit trade in tobacco and includes the funding by British American Tobacco of €134m over the next 20 years. “This agreement marks a significant step in strengthening cooperation in the fight against tobacco crime throughout the EU,” noted Jack Bowles, Director of Western Europe for British American Tobacco. “Along with the European Commission and the Member States, we are sending out a very strong message to the criminals who counterfeit our products and evade taxes by smuggling - their activities will not be tolerated. We are confident that by working alongside the European Commission and the Member States, we will make a serious impact on the levels of illicit trade in tobacco.”

10

Tesco Invest €113m in Store Development

BAT To Tackle Illicit Tobacco

WELLNESS Water, the first pure Irish spring water in a 100% environmentally friendly bottle, has been launched by Clare Spring Water Ltd. Wellness Water is packaged in the first biodegradable and compostable bottle in Ireland. It is 75% more environmentally friendly to produce than its oil based counterpart. It is cur-rently being distributed in 550ml bottles to convenience stores nationwide by BR Foods, just nine months after the opening of the Clare Spring Water bottling plant

in Lissycasey, Co. Clare. Almost €5m has been invested in the plant that has seen employment grown from 10 to 26 people. Pictured at the launch are (l-r): Tony Killeen TD, Minister for Defence; Paul Connellan, MD of Clare Spring Water; John Gormley TD, Minister for the Environment; William Rochford, MD of BR Foods; and Pat Breen TD.

SINGING sensations JLS took time out of their busy schedules to help Centra and Childline to officially launch the annual Centra Childline Big BBQ. This is Centra’s third year to be involved in the initiative, which aims to raise funds for Childline throughout the summer, with Irish people being asked to get BBQing to raise money for a great cause. For more information on hosting a BBQ, log onto www.centra.ie or FREETEXT BBQ to 50101. Through its partnership with Childline, Centra hopes to continue to significantly reduce the number of unanswered calls to Childline by raising funds with the big BBQ.

July/August10Industry News

Wellness Water Launches

Centra Childline BBQ

Tesco Ireland CEO, Tony Keohane, is pictured with Minister for Enterprise, Trade and Innovation, Batt O’Keeffe TD, at the announcement of Tesco Ireland’s investment plans.

10 Industry News 3.indd 1 22/07/2010 10:54

Freephone 1800 604 500 for more information

SMOKING CAUSES CANCERIrish Government Warning

For trade use only – not to be left within sight of consumers

2226878_Retail_News_Trade_Ad_IRE_A4.indd 12226878_Retail_News_Trade_Ad_IRE_A4.indd 1 08/07/2010 17:0608/07/2010 17:06

SHOP 2010, taking place from the 28 – 30 September 2010, at the RDS Simmonscourt, Dublin, will have hundreds of top exhibitors, innovative products, international competitions, awards, seminars and learnShops, making it a show you can’t afford to miss. easyFairs, the new organisers of SHOP, have introduced even more reasons for people to attend, with the show now offering 50% more value for visitors.

A Valuable VisitExhibitors will be offering big discounts to visitors over the three days, there’ll be inspirational advice from key note speakers and there’s even a daily cash draw. €1,000 will be given away daily to visitors who have pre-registered their attendance at www.shopexhibition.com. Registration

is now open, so why not book your visit and be in with the chance of winning €1000 cash! Winners will be announced at SHOP at 1.45pm daily.

Visitors to SHOP 2010 will also benefit from the newly introduced ‘Discount Guide, which will entitle visitors to special show discounts on the latest and most innovative prod-

ucts being launched to the market.

Valuable ContentBased on the successful format of easyFairs’ global trade shows, SHOP 2010 will be home to learnShops, a series of content-rich seminars that have been created to directly benefit visitors’ businesses and deliver valuable insight.

Brian O’Connor, a Senior Analyst at Mintel, will be delivering a seminar on Irish convenience retailing in 2010, which is set to be exceptionally well attended due to the huge changes that have swept across the convenience sector in the past few years. Brian will be delivering the results of a spe-cially-commissioned report for SHOP, details of which will be revealed at his seminar on September 29 at 2pm.

Employment and business solu-tions will also be covered by con-sultant, Caroline McEnery, while a variety of other hot topics will be addressed by celebrity key note speak-ers. Seminar topics will include new legislation and how to tackle it, retail design and growing your empire.

Wining and Dining at SHOPThe International Cheese Awards are an established part of SHOP and are back in 2010. To complement the highly prestigious event, easyFairs are introducing a ‘Cheese and Wine Challenge’ which will be hosted by Robert Joseph, an international wine connoisseur, author and publisher. The very best of Ireland’s cheeses will be matched with celebrated festive wines from across the globe, to create tantalising combinations. Visitors are invited to attend the complimentary tasting challenge on the evening of September 29 in the specially designed networking area.

A visit to SHOP 2010 will offer more than ever before. New products, busi-ness solutions, expertise and tasting experiences are all in the mix for this year’s show. Pre-register your attend-ance on www.shopexhibition.com

Floor space for 2010 is almost at capacity, with some of Ireland’s top companies attending, such as CBE Ltd, Country Crest, Daikin Europe NV, Martin Food Equipment, Kestrel Foods and PRM Group. Irish artisan produc-ers will be presented at SHOP under many of the local CEB stands, includ-ing South and West Cork, Carlow and Donegal County Enterprise Boards.

July/August10SHOP 2010

SHOP 2010 is the must-attend event for the food, drink, retail and hospitality sectors, offering visitors a one-stop shop to meet current and potential suppliers and secure new contracts.

Planning a ‘Valuable’ Visit to SHOP 2010

SHOP 2010 will be home to learnShops, a series of content-rich seminars that have been created to directly benefit visitors’ businesses

and deliver valuable insight.

12

To book your stand for SHOP 2010, contact show manager, Leyla Mulvihill on +44 (208) 622 4411. Find details at www.shop-exhibition.com

12 Shop Preview.indd 1 22/07/2010 15:00

THE SNACK

ATTACKThe Snack Brand was first launched in the Irish market in the mid 1950s and has since grown to be the No. 4 chocolate brand in Ireland worth over €13m a year.

Snack Wafer, Shortcake and Sandwich have long been Irish favourites. Indeed, Snack is the number one CBCL brand with 26.4% share which is far ahead of its nearest rival. Three out of the top five CBCL products (sales value) are Snack products, while the 3 Snack variants are in the top 40 selling products within Impulse.

NPD:Snack Shots is an exciting new format for the Snack brand which will see it enter the bitesize category. This delicious new treat offers Shortcake balls covered in the unique taste of Cadbury Milk Chocolate and comes in two great offers, meeting different consumer needs: a pouch bag perfect for those sharing occasions and an impulse pack for on-the-go consumption.

The Bitesize category is worth €38.9m a year and accounts for 12% of the total chocolate confectionery sales with Cadbury posting a healthy Year on Year growth of 7.2%

Packaging Design:• Snack has undergone its first major packaging revamp since 2004, now

boasting a vibrant eye-catching design which will achieve even greater stand-out on shelf and bring the brand personality alive on pack.

• The new designs will also bring Snack’s Irish heritage alive on pack using brand taglines and

through proud display of the Team Ireland logo - Cadbury is the official treat provider to Team Ireland for the 2012 Olympics. The three taglines are:

- ah go on..... (Snack Shortcake) - ‘tis lovely (Snack Sandwich) - Sure why not (Snack Wafer)

• Complementing the new design, is updated SRP which will have even greater stand out on shelf.

Value:This August, Snack Sandwich, Shortcake and Wafer impulse will have a delicious 2 for €1 value offer, allowing retailers to offer the shopper even greater value than before(all market data from ACNielsen Marketrack, w/e 18/04/10).

Cadbury Snack.indd 1 22/07/2010 12:17

Gala has invested €400k in a new 5,000 square feet headquarters in Kill, County Kildare – Summit House, further cementing Gala’s confidence in the future of the business and affording the convenience group room to expand in the future. Housing 22 employees in operations, finance, IT, marketing and promotional roles, Gala has recently relocated from its former home in Dundrum Business Park, to Embassy Retail Park in Co. Kildare. CEO of Gala Retail Services, Gary Desmond, talks us through the move.

Why did you decide to relocate Gala Retail Services to Kildare from Dublin?We had outgrown our previous offices in Dundrum. The rate in which Gala has grown over the past 12 years is extraordinary and it became apparent that we needed room to expand. Our new location will enable Gala Retail Services to grow. Being situated off the N7 made logistical sense as it’s more central to our retailers and suppliers, and can be used by our regional sales and development team, who are based across the country.

Can you tell us about the growth of the Gala Group so far?Gala is the fastest growing premium convenience retailer over the last 10 years, which is quite a feat. We opened over 200 stores in a phenomenally short period of time, re-launched the Gala corporate identity and widened the reach of the Group.

Our investment in the Group’s future has been cement-ed with recent activity, including everything from our €400k investment in the new HQ, to Gala’s sponsorship of RTE’s Nationwide. The TV sponsorship is the perfect fit for Gala as our geographical reach is now nationwide, with 275 stores, of which 200 are Gala franchise stores, from Listowel to Letterkenny. Akin to Nationwide, Gala is proud of its Irish heritage and culture and we want to ensure the programme has continued support. The reaction of our

retailers and shoppers to the sponsorship has been extremely positive and this is something that we hope to build on.

Tell us about your new premises.The new 5,000 square feet HQ - Summit House – is based in Embassy Retail Park, Kill. We have fitted it out to the highest spec, reflecting Gala’s modern and contemporary corporate identity. State-of-the-art IT systems have been introduced, with the Group equipping itself for future expansion.

How are the Gala stores performing, overall?Our stores are performing well in the current market, which is a testament to the growing strength of the Gala offering. Although it’s been a challenging couple of years, many of our retailers are reaping the benefits of investing in store re-brands and incorporating additional services for customers. This has delivered increased business for the stores, enabling them to meet the needs of their communities. The recent sunny spell has also been welcomed, with retailers benefiting from increased sales.

In fact, Gala’s value-for-money offering for retailers has resulted in 15 new-to-Gala branded stores joining the Group since the start of 2010, a net increase of five additional stores. Gala is now a confident and progressive Group with quality retailers who will maintain our positioning as a pre-mium convenience retailer.

What else can we expect from Gala in the coming years?We’re currently working on a number of major initiatives that will be of real benefit to Gala’s retailers and customers. 2010 is a year of progression for Gala and with our new HQ, group expansion is the next target.

14

July/August10Focus on Gala

Gary Desmond, CEO, Gala Retail Services, on the decision to relocate the Group’s headquarters, the current success of the Group and where the brand is headed.

Gala Opens New HQ

14 Gala 1p.indd 1 22/07/2010 10:52

Enjoy COORS LIGHT Sensibly. Visit

NOW THE… NO.4 LAGER BRAND

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CONTACT YOUR HEINEKEN IRELAND REP TO FIND OUT HOW COORS LIGHT CAN INCREASE YOUR SALES THIS YEAR

*SOURCE: AC NIELSEN MAT MAY 2010

Last month saw the official launch of the 2010 Enterprise Ireland SuperValu Supplier Development Programme, the fourth year of the scheme, which was developed by Enterprise Ireland in partnership with SuperValu to support small or emerging food processing companies achieve the service standards, product quality and innovation necessary to achieve product listings on supermarket shelves.

The programme, which is assisted by Bord Bia and Teagasc, has seen 16 Irish food companies, including Sunshine Juice, Dunhill Cuisine, Kohinoor, and Fresh Cut, participate in the scheme since its inception in 2005, with participants recording a collective €12m in direct sales to SuperValu.

“75% of everything sold in SuperValu is either produced or man-ufactured in Ireland, and as a brand we are committed to supporting Irish suppliers, Irish jobs and the Irish food sector. This represented a com-mitment of more than €2.85 billion to Irish suppliers in 2009,” explains Donal Horgan, Managing Director, SuperValu.

“Due to our reputation in this area, in 2005 we were approached by Enterprise Ireland to partner them in a programme aimed at developing small start-up companies into enter-prises that could drive and create employment, by getting the knowl-edge and know-how to get listed by

a major supermarket chain such as SuperValu.”

Ambitious and Innovative SchemeIn the first and second year of the programme, four companies were invited to participate, while the number grew to eight companies last year, and this year, there will be 11 companies involved. So how successful has it been to date?

While admitting that it is “an ambitious and innovative scheme”, Horgan feels that the Enterprise Ireland SuperValu Supplier Development programme has “already borne fruit for both ourselves and the companies involved”.

“The programme has already had 16 Irish food companies complete the course, including Sunshine Juice, Dunhill Cuisine, Kohinoor and Fresh Cut,” he explains. “To date, there has

16

July/August10SuperValu Supplier Development Programme

This year’s Enterprise Ireland SuperValu Supplier Development Programme sees 11 food companies taking part in an ambitious scheme which will lead to product listings on supermarket shelves. Donal Horgan, SuperValu MD, talks us through the Programme.

Nurturing Ireland’s Food Entrepreneurs

Donal Horgan, MD of Supervalu; Billy Kelleher TD, Minister of State at the Department of Enterprise, Trade and Employment; and Frank Ryan, Chief

Executive Officer of Enterprise Ireland, pictured at the launch of the Enterprise Ireland SuperValu Supplier Development Programme in Cork.

16,17 SuperValu 2p.indd 1 22/07/2010 11:14

17

been around €12m worth of sales between us and the participant com-panies. For them, this has obviously driven sales, while for us, we have found a number of excellent supplier partners who have each brought something different and better to our business. We are already excited by the potential of this year’s participant companies.

“Additionally, this year the number of participating companies has grown to 11, the biggest number of partici-pants in any one year so far, while the scope of products has also widened. This year, there is a wide ranging product mix, including environmental-ly friendly straw fire logs from Strogs in Dublin and artisan, specialist, gluten free cakes, breads and sweet treats from the Delicious Gluten Free Bakery in Cork.”

Supporting Irish SuppliersIn an era where some supermarket groups are being criticised for de-listing or cutting down the amount of home-grown products on-shelf, how important is a programme such as this for entrepreneurial Irish suppliers?

“SuperValu is committed to con-tinuing to support Irish suppliers and producers and even during last year in the height of the supermarket price war, we maintained this commitment, while still delivering over €230m worth of savings to the consumer, as others moved away from Irish sourc-ing. 100% of our meat, including beef, lamb, pork and poultry, is Irish,

while 67% of our fruit and veg are also sourced here in Ireland,” Horgan stresses.

“We are committed to continuing our support for Irish jobs and Irish suppliers and there is no better way to do this then help mentor and grow companies that are trying to get a foot-hold in the sector, particularly if they are Irish. For SuperValu, this is a win, win!”

The MD describes the benefits to SuperValu as “the continued develop-ment of a healthy and vibrant local manufacturing base, which can supply our stores directly, ensuring we can continue our values of buying local and Irish”.

Supporting Irish suppliers is obvi-ously a key objective for SuperValu, as Horgan explains: “We know that

given the choice and at the right price, Irish consumers want to buy Irish and SuperValu is committed to ensuring consumers can get Irish brands and produce at the right price. We believe this is an approach that differentiates our brand from the rest of the market and why in 2009, SuperValu out-per-formed the grocery sector in market share terms.

“Supporting entrepreneurship is at the very heart of what we do: across the country our 191 SuperValu stores are owned and operated by independ-ent retailers, who are each entrepre-neurs in their own right, so this pro-gramme is very close to our hearts.”

Opening Doors to New BusinessBut you don’t just have to take Donal Horgan’s word for it. Minister for Trade and Commerce, Billy Kelleher TD, described it as “a highly practical industry-led programme that has already opened doors for early-stage Irish food companies”.

Enterprise Ireland CEO, Frank Ryan highlighted how the Programme “enables small start-up food compa-nies to fully understand the work-ings of the retail sector and the best approach to take in order for them to secure a listing with a retailer such as SuperValu.

“For Enterprise Ireland, this is exactly the type of partnership we want to see between producers and retailers in the food sector,” Ryan con-cluded, “and it is an important part of our strategy for the further develop-ment of the consumer foods sector.”

July/August10SuperValu Supplier Development Programme

ONE of the companies who have undoubtedly benefited from the Enterprise Ireland SuperValu Supplier Development Programme is Waterford-based Dunhill Cuisine. Edward Spelman, Managing Director of Dunhill Cuisine, points to the support he has received from SuperValu as being crucial to Dunhill’s success and their ever-expanding product range: “They have great appetite for new products, which is fantastic. We are a small business and Musgrave are one of the biggest grocery businesses in the world. They have worked with us from the very beginning; developed with us, helped us to understand their systems of ordering and invoicing, right down to product development and packaging.”

About the ProgrammeTHE six month long programme consists of a combination of workshops, delivered by both SuperValu and food industry experts and 1-to-1 mentoring. It is offered to companies that have the potential to meet Enterprise Ireland’s criteria for High Potential Start-Ups and also have the potential to offer SuperValu and its retail partners a prod-uct or service which adds value and difference for its customers. This is the fourth running of this innovative business development programme.

The Supplier Viewpoint

16,17 SuperValu 2p.indd 2 22/07/2010 11:14

Mark Malone opened his 3,600 square feet Costcutter store in Bray, Co. Wicklow, on April 22, 2009, and knew he needed to offer his customer base a mobile phone top-up and bill payment option in-store right from the beginning. Having examined the options, he chose PostPoint as his electronic service provider and 15 months later, he is delighted with his decision.

“I looked at the options available in the market and felt that PostPoint was the best option for us, thanks mainly to the range of services they offer and the system’s ease of use,” he explains. “I’m delighted that I made that decision because we haven’t looked back since. The system is extremely simple to use and the range of products covered is huge.”

Strong Working RelationshipMark has developed a strong working relationship with PostPoint over the course of the last 15 months, and pays particular tribute to sales representative Eoghan Lynch: “If we have a query, there is always somebody at the end of a phone. The back-up service is second to none.”

PostPoint were extremely active in terms of helping Mark to promote the services his shop offers to his local catchment area, with a number of leaflet drops highlighting to potential customers the amount of services on offer at Costcutter, Bray, including:

- Their BillPay system, whereby over 120 bills can be paid using PostPoint’s e-technology on terminal or on existing EPOS till systems. Once a retailer is BillPay enabled, they can simply scan the customer’s bill and accept payment.

- Mobile phone top-ups across all the main providers.

- International calling cards.

Benefits to Business“PostPoint have invested a lot in getting the message out to consumers that they can pay their bills in-store and top-up their mobile phones, in terms of strong POS material, permanent signage and regular promotions,” Mark notes. “That has been a definite benefit to my business, and it is an ongoing process. The number of people using the PostPoint services in my store is growing all the time, particularly in terms of the BillPay option, with increasing numbers of consumers using the service to pay their household bills.”

While the PostPoint service suite is important for customers and a valu-able addition to Mark’s retail offer-ing, its benefit for the store owner is increased by the fact that it generates added footfall in-store. “It is definitely a draw for consumers,” Mark con-cludes. “It brings people into the shop, and then they see the range of gro-ceries and services we have on offer, helping us to increase our regular customer base.”

18

July/August10Case Study: PostPoint

Choosing PostPoint as his e-service provider has proved a shrewd move for Mark Malone, owner of Costcutter, Bray, Co. Wicklow.

A Partnership Approach

18 Postpoint 1p.indd 1 22/07/2010 10:39

PostPoint Trade R News 3.indd 1 07/07/2010 14:54:42

Here’s a little story for you. A retailer was dismayed when a competitor selling the same type of product opened next-door to him, displaying a large sign proclaiming “Best Deals”. Not long after that, he was horrified to find yet another competitor move in next door, on the other side of his store. Her large sign was even more disturbing—“Lowest Prices”.

After his initial panic and concern that he would be driven out of busi-ness, he contacted his Public Relations (PR) agency who looked for a way to turn the situation to his PR/market-ing advantage. He didn’t have much of a budget to work with. Finally, they recommended a solution to him. He organised a welcome evening for guests, invited key press and integrat-ed his story online when he proudly unveiled a new and huge sign over his front door. It read: ”Main Entrance!”

OK, that story might just be made up, but it does emphasise how impor-tant it is for the grocery and FMCG sector in Ireland to consider the benefits of utilising a good PR firm, particularly in this competitive envi-ronment.

Some companies tend to look at their overall marketing communica-tions budget first, when profits begin

to decline. “We’re dealing with an intangible cost here – we just can’t afford to advertise, sponsor or pro-mote our product in this climate,” they say. But they should say quite the opposite.

FMCG companies do not exist in isolation. The retail history is lit-tered with companies that did not spot changing industry trends quickly enough and adapt. A good Public Relations company would ensure that doesn’t happen to your retail outlet or to your product/service.

So why Public Relations and what exactly is PR? Let’s deal with the what first.

What is Public Relations?It is difficult to try and explain in a few sentences what exactly Public Relations is. Literally, thousands of definitions exist for what Public Relations is, but in essence Public Relations means what the words imply – it is about the relationships organisations have with various publics, both internal and external. Those publics comprise people who are, in turn, affected by developments and trends in society.

As the PRCA (Public Relations Consultants Association) says on its

website, a PR company can (or at least should) do the following:

• Disseminate information to the public through the media - including national, local and international media, and, more than ever before, online social media;

• Develop the content of communications materials such as websites, leaflets, reports or mailshots;

• Provide strategic advice on communications to organisations. This includes defining the audiences the organisation needs to communicate with, developing key messages for each audience and identifying the best mechanisms by which to reach each audience;

• Advise on and manage major corporate (and consumer) events and launches;

• Liaise with advertising agencies on advertising campaigns;

• Liaise with graphic designers on corporate design and imagery;

• Advise on and manage corporate partnerships and sponsorships.

According to Colm Cronin of Pembroke Commuications, the main

20

July/August10Public Relations

Public Relations: Why Bother?Pauline Madigan, Programme Director for the Media and Public Relations degree course at the Institute of Technology, Carlow, on the importance of Public Relations, particularly in the current economic climate.

20,21 Public Relations 2p.indd 1 22/07/2010 10:48

21

benefits a good PR agency will bring to a brand are hot-shot creative ideas that will position the brand to key targets ahead of the competition, par-ticularly in a recession, and do so on a budget that delivers value-for-money.

“While advertising will always be the main spend for a retailer/FMCG company, a PR agency that’s strong on strategy can bring an extra dimen-sion to a marketing budget by pro-moting current offers and new lines through creative seasonal promotions and strong editorial coverage,” Cronin notes. “They can also help promote customer service and build customer loyalty, and all at a fraction of the ad spend.”

What Could Public Relations Do for Your Business?So what could a PR company do for your product or your retail business? One has to just look at the recent Tayto, Coca-Cola or Denny campaigns (check these out at www.prii.ie or www.aim.ie for more details) to see the benefits of getting a brand/product/service involved with a good Public Relations agency.

Of course, all of these use (or at least should use) an integrated mar-keting communications approach to their business – i.e. their agencies ensure their key messages are com-municated across a range of mar-keting communications techniques. Depending on one’s budget, these could include anything from advertis-ing, PR, direct marketing, spon-sorship, sales promotion and personal selling in con-ventional and social media.

The recent award winning ‘Denny – Home is’ campaign by ‘Bespoke with Direction’ Public Relations Agency, is a typical example of the benefits of using Public Relations. Using an ambitious and engaging 360° cam-paign, their ‘Home Is’ campaign included a mass roll-out of PR, print, outdoor, radio, TV and online adver-tising radio promotions, competitions, direct mail, a new dedicated website, social media and experiential market-ing activity. Basically, Bespoke PR agency created a cohesive commu-nications model that clearly put the consumer and the message of home at the centre.

But was it successful? According to Tricia Burke, Marketing Manager, Kerry Foods, the whole campaign “ultimately raised the brand platform for Denny. We expect the real value is still to come over the coming months.”

Of course, that specific campaign allegedly cost in excess of €50k. What if you don’t have such a budget?

Having a great idea and making it work can sometimes cost little to nothing. Remember the Campbell’s Soup placement on the shelves shown to us by www.drewsmarketingminute.com? The placing of the soup with cold and flu remedies got people to see the Campbell’s product in a new light. While consumers were thrown at first as to why the chicken soup was beside the Lemsip, they quickly thought of how comforting chicken

soup can be. Hence, increasing sales of

their product.

Why Bother? Quite simply, the answer to this is, you’re in bother if you don’t. Public Relations is about three things – communications, relationships and reputation. Integrated across other forms of marketing communications techniques, it is a key part of keeping one’s head above the parapet in these difficult times. It is difficult to see how FMCGs and retailers are managing when they do not utilise the experience of a good public relations company.

So, in summary, because of the credit crunch, we know that promo-tional budgets can be the first market-ing budgets to be cut. Public Relations agencies have, however, to ensure that they are giving a good return on investment. The issue of evaluating public relations continues to challenge even the more experienced PR profes-sional. Anyway, that’s all for another day.

But remember, the Public Relations company you choose is an important one. An established and relevant PR firm to your business should have extensive ties throughout the FMCG/retail community. After all, if they can’t network for themselves, then you should question what they will do for you.

July/August10Public Relations

About the AuthorPAULINE Madigan is Programme Director for the Media and Public Relations degree course (BA hons) at the Institute of Technology, Carlow. She is on Twitter and Facebook.

The famous Campbell’s Soup placement amoungst cold and flu remedies from

www.drewsmarketingminute.com.

Pauline Madigan, Programme Director for the Media and Public Relations degree course at the Institute of Technology, Carlow.

20,21 Public Relations 2p.indd 2 22/07/2010 10:48

BR Foods are fast becoming the authentic ethnic foods specialists in the Irish market with their ever-increasing range, including the Levi Roots, Patak’s and Blue Dragon brands.

Levi RootsCaribbean food entrepreneur Levi Roots has expanded his range of ‘squeezy’ bottled sauces with the launch of two new relishes - Mango & Chilli and Reggae Reggae Relish, marking the brand’s first venture into the relish category and sitting alongside Reggae Reggae Tomato Ketchup and the newly introduced ‘squeezy’ Reggae Reggae Sauce to create the brand’s exciting new ‘squeezy’ sauces portfolio. Furthermore, the new relishes are set to revitalise and add value to the pickles, chutneys and relishes category, which is showing strong growth.

Mango Chilli Relish is a mango-based sauce with a combination of Caribbean Herbs and Scotch Bonnet Chillies. Reggae Reggae Relish incor-

porates the original Reggae Reggae Sauce flavour with a mixture of vegetables, including onions and carrots.

The brand’s original and best selling condiment, Reggae Reggae Sauce is also now available in a conven-ient ‘squeezy’ bottle. The jerk sauce and marinade has already proven to be extremely popular, particu-larly during barbecue season.

Launched in February 2009, Reggae Reggae Tomato Ketchup was the first of the Levi Roots range to become available in a ‘squeezy’ bottle. Best described as a unique Caribbean style of ketchup, the sauce includes ingre-dients such as red Scotch Bonnet chillies, allspice and herbs, and has been designed to add value to the tomato ketchup category.

Blue DragonAlso from BR Foods, pan-Oriental food specialist Blue Dragon continues to drive the ambient Oriental food category with the extension of its market leading Dipping Sauce portfolio. Blue Dragon has taken its successful Thai Sweet Chilli Original recipe and created a Thai Sweet Chilli Mild variant, available in a 190ml glass format.

“Recent research proved that consumers perceive products with ‘chilli’ in their title to be hot, creating a pur-chase barrier for those who don’t enjoy eating spicy food,” notes Tracy Hughes, Blue Dragon Consumer and Trade Marketing Controller. “To overcome this preconception, we’ve toned down the heat levels and created Sweet Chilli Dipping Sauce Mild, a great tasting convenience

product, versatile with both Oriental and Western dishes.

“Its subtle chilli flavours make it ideal for adults and children alike, therefore broadening appeal and entic-ing new shoppers into the category who would have previously rejected the product on the basis of heat. Overall, we’re confident this new variant will drive market growth and widen consumer choice, whilst maintaining Blue Dragon’s high levels of authenticity.”

Patak’sFinally, Patak’s, the iconic Indian food brand, is launching its first ever starter dish, Patak’s Easy Onion Bhaji for Two, available in two variants:

Standard and Hot & Spicy. The easy-to-follow, accessible instructions are printed on the back of pack and serves two people, making six bhajis. The packaging features a vibrant, authentic design which creates strong stand-out on shelf and at fixture.

“Patak’s continued popularity with consumers can be attributed to our ability to adapt to changing consumer needs by producing great tasting and credible products,” explains Piyank

Dutta, Product Manager for Patak’s. “The launch of Patak’s Easy Onion Bhaji for Two is exciting for us as we are building on the success of our sin-gle-use ‘Easy’ paste sachets and reaching those consumers who want delicious starter dishes to accompany their main meal to recreate an authentic restaurant experience at home.”

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July/August10Ethnic Foods

BR Foods’ extensive ethnic foods portfolio is striking a chord with Irish consumers.

BR Foods Have Ethnic Covered

New Blue Dragon Thai Sweet Chilli

Mild Dipping Sauce is available in a

190ml glass format.

Levi Roots’ Reggae Reggae Relish incorporates the original Reggae

Reggae Sauce flavour with a mixture of vegetables, including onions and

carrots.

Patak’s is launching its first ever starter dish, Patak’s

Easy Onion Bhaji for Two.

22 Ethnic Foods 1p.indd 1 22/07/2010 15:06

Lunch times have changed for Irish consumers. Once happy to shell out on restaurant lunches and gourmet sandwiches, today’s consumer is more likely to prepare their food at home and bring their lunch to the office, college or school. Belt-tightening has become very much the order of the day right across consumer spending habits and lunch-time is no different.

However, consumers still want to treat themselves, so stocking premi-um lunch box treats with added value potential can make sound financial sense. Just like the continued rise of take-aways in lieu of restaurants, the lunch market still presents opportuni-ties for food suppliers and retailers in terms of meal occasions to develop or promote their products around.

Industry figures suggest that more than 30% of consumers are taking food and drink out-of-home over a two-week period. With more consum-ers bringing their own lunch to work, this provides more product and mar-keting opportunities for a range of suppliers, including bakery, soup, deli meats, prepared salads and yogurts, amongst others. The trend towards lunch-time ‘meal deals’ is growing all the time, as consumers want their favourite products and brands, but at the right price.

Of course, lunch time isn’t just about adults. With the advent of the busy Back To School period fast approaching, it’s vital for retailers to cater for kids and students as well.

One of the big trends when it comes to kids’ lunch boxes is that parents are increasingly seeking control over their children’s diets, driven predominantly by the trends towards health and nutrition. Indeed, health is the main driver of what goes into kids’ packed lunches, as parents try to include more fruit, vegetables, yogurts and other healthy options in their kids’ lunches.

According to Kellogg’s, the impor-tance of the Back To School period in the grocery retail calendar can sometimes be under-called. However, in terms of opportunity, it can be as important as Christmas.

Consumer research shows that the Back To School shopping period starts about two to three weeks before schools return from the summer holi-days and stretches out a further two to three weeks “back at school”. The main spike in sales is generally seen during the last week in August.

Kellogg’sThe breakfast cereal category is the most shopped category during the

Back To School period. As consumers return to their routines and focus once again on healthier eating habits, breakfast cereals are at the very top of their shopping lists. The cereal snack category also offers a significant opportunity during this period, as parents stock up on permissible school lunch box fillers.

In 2009, Kellogg’s launched one of its most successful ever back to school campaigns – Sorted4School – a massive through the line consumer campaign that consisted of TV, radio and outdoor advertising, in-store POS and a substantial trade promotional plan that delivered added-value on the core range of Kellogg’s cereals and snack bars.

This year, Sorted4School is back and aims to capitalise on some key learnings from the 2009 campaign to make it even bigger and better. Where the right displays and promotional offers are in place during this key period, a 400-500% uplift in sales is very much achievable, as seen dur-ing the 2009 Sorted4School campaign with Kellogg’s cereal snacks. Having

23

July/August10Lunch Box / Back To School

With the busy Back To School market fast approaching, allied to the growth of desk dining for adults, stocking the right product mix is more important than ever.

The Lunch Bunch

Kellogg’s Sorted4School campaign delivers added-value on the core range of Kellogg’s cereals and snack bars,

including the hugely popular Rice Krispies Snack Bar.

23,24,26,27,28 Back to School 5p.indd 1 22/07/2010 16:42

24

the right sales displays in place is therefore crucial to capitalise on this key profit opportunity. Talk to the Kellogg’s account team today on (01) 8429100 to find out how your business can get Sorted4School and sorted-4profit.

Britvic IrelandThe Squash market is in strong growth over the last year as consumers see it as a recession-friendly category. The market is up by 17% in volume and continues to be driven by Britvic Ireland brands. MiWadi and Robinsons command almost two thirds of market volume in this category. MiWadi is the market leader with almost 40% while Robinsons commands 25% of the market.

The Squash category is recruit-ing more users and is a category for all seasons, as consumers move

into Squash throughout the year. Consumers are looking for cost effective ways to give their children the drinks they love and Miwadi & Robinsons are leading the way in doing that. MiWadi and Robinsons are the perfect, delicious and refresh-ing options for hydrating the whole family.

MiWadi is a truly iconic Irish brand and continues to go from strength to strength in the market-place, appealing to all age groups. From small beginnings in 1927, when it was filled by hand in Dublin’s Nassau Place and distributed by horse and cart, MiWadi has become one of Ireland’s best-loved brands and continues to be the largest squash brand in Ireland. It is still produced in Dublin to this day and around 16.5m litres of MiWadi are consumed every year. MiWadi is a key brand in the Love Irish Food Campaign and we know that buying Irish is important to Miwadi consumers. The LIF logo will be on all MiWadi packs in the coming months.

MiWadi fruit squashes are all pre-pared from sun-ripened fruit and con-tain real fruit juice. They are sold in 1-litre and 2-litre bottles. MiWadi has been a fruity and flavoursome part of childhood in Ireland for over 90 years and has always remained relevant to Irish families, with a wide range of flavours in both regular and NAS for-mulations. No Added Sugar is the key driver of category growth in Squash, as consumers look to reduce the sugar intake for their children. Watch out for exciting innovation from MiWadi over the coming months.

The Robinsons brand is the No. 2 brand in the Squash market and has the largest Squash range on the mar-ket, cultivated over a number of years, and prides itself on having something in the range for all the family, young and old. There are four main vari-ants in the range - Robinson’s Fruit Squash, Robinson’s Fruit & Barley,

Robinson’s Barley Water and the recently launched Robinsons Select.

New Robinsons Select is a range of squashes for the modern fam-ily. Robinsons Select is made with high quality and carefully selected fruits, expertly blended to make mod-ern flavour combinations: Orange, Mandarin & Peach No Added Sugar, Apple & Wild Blueberry, Red Grape, Pomegranate & Raspberry. Robinsons Select contains no artificial colours or flavours and comes in a new premium and contemporary 850ml PET bottle, offering 17 servings (250ml each once diluted).

The latest 4 week AC Nielsen period shows Robinsons Fruit Shoot enjoys 12.1% value share of the RTD market, which is a fantastic growth of 5.2 share points versus the same period last year (Source: ACNielsen, Total Scan, May 16, 2010).

Robinsons Fruit Shoots are the original on-the-go drink specially designed for kids. The core Fruit Shoot range are all No Added Sugar varieties, offering parents a great way to keep kids hydrated on-the-go, and loved by kids for the great flavours and packaging.

The Irish squash market is growing by 17% in volume, driven by Britvic

Ireland’s MiWadi and Robinsons brands.

Robinsons Fruit Shoot H2O is a still spring water with natural fruit flavours,

handily packaged in an easy-squeezy sports bottle.

July/August10Lunch Box / Back To School

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26

A key part of the Fruit Shoot range is Robinsons Fruit Shoot H2O – per-fect for kids’ lunch boxes. Robinsons Fruit Shoot H2O is a still spring water with natural fruit flavours. Fruit Shoot H2O Spring Waters are sugar free, as well as free from arti-ficial colours and flavours. Available in three delicious refreshing and crisp flavours - Orange, Blackcurrant and Apple - they’re an easy and tasty way to ensure kids enjoy drinking water and keep hydrated. And because they’re handily packaged in an easy-squeezy sports bottle, they’re ideal for helping to keep active kids hydrated after sport, play and when they’re out and about. Watch out for the new packaging currently in stores!

PandaPanda Dippers, from Boyne Valley Group, have been a tremendous success since their launch last year. These little pots include mini crunchy breadsticks and hazelnut and vanilla dip. Available in a four-pack – Panda Dippers are an ideal fit for school lunchboxes, picnics and handy treats.

The Panda Peanut Butter range is excellent for use in sandwiches or on crackers and comes in three flavours, Smooth, Crunchy and new Extra

Crunchy, which are avail-able in both a 1kg and 510g jar. Panda Peanut Butter has a special recipe to give an authentic American style taste.

HeinzHeinz Snap Pots are ideal for consumers who seek an even quicker way to enjoy Heinz delicious and iconic Baked Beanz and Spaghetti Hoops. Both Heinz Baked Beanz and Spaghetti Hoops are available the truly innovative, Snap

Pot format. Each Snap Pot pack offers four individual 200g portions that are ready from the microwave in just one minute, making them ideal for busy families and lunch and snack occasions both at home and at work. In addition, because Heinz Snap Pots can be popped directly into the microwave, there is no need to hover by the hob or add to the washing-up.

Tipperary KidzTipperary Kidz water is the perfect water for packed lunches and for quick

re-hydration throughout the day. Designed especially for kids, Tipperary Kidz water comes in an easy-to-hold bottle with a fun sports cap for instant refreshment. Not only is it fun for kids but parents can be happy too in the knowledge that water is the healthiest option.

Launched in 2003 and available in a 10-pack or sin-gles, Tipperary Kidz continues to lead the way in the kids’ water category.

Tipperary Kidz will be sup-ported on television this autumn for the Back To School period, with in-store consumer promo-tions planned also, as well as

exciting product developments and marketing plans in the pipeline.

Horgan’s Delicatessen SuppliesMini Babybel is an instantly recognisable brand with its distinctive red waxy jacket. Its novel ‘zipper’ opening makes it a fun cheese to be enjoyed at any time. Mini Babybel has all the natural flavour and nutritional goodness of real cheese, making it a perfect lunchbox snack solution. Mini Babybel Original is sold in nets of six and 12, and the Light and Cheddar varieties are sold in nets of six. Mini Babybel is supported by ongoing TV

Both Heinz Baked Beanz and Spaghetti Hoops are available the truly innovative, Snap Pot format, offering four individual 200g portions that are ready from the microwave in just one minute.

Designed especially for kids, Tipperary Kidz water comes in an easy-to-hold bottle with a fun sports

cap for instant refreshment.

Panda Dippers, which include mini crunchy breadsticks and hazelnut and

vanilla dip, have been a tremendous success since their launch last year.

July/August10Lunch Box / Back To School

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27

advertising, as well as strong trade promotions.

KingsmillThe lunch box occasion is a key growth opportunity for the bakery category. With 12% of all sliced bread eaten during this time (Source: TNS Worldpanel Usage – in Home/Lunchbox 12 m/e Aug 09 - % serving), it a key opportunity to increase retailer sales.

The number of lunch box occa-sions are growing each year, which led family bread brand Kingsmill to commission research into the factors contributing to this consumption trend. “Category research highlights a growing demand for healthier lunch box options, with 28% of food choices made with health benefits front of mind,” noted Michael Harris, Marketing Controller, Kingsmill.

“This, com-bined with the current eco-nomic climate and consum-ers’ desire for great tasting lunch box products, has led to a resurgence in the lunch box market.

Kingsmill’s Bakery port-

folio, currently growing at a rate of 7% year-on-year, is well positioned to take advantage of this growth.”

The rolls category is heavily skewed to seasonal sales. Rolls are not a household staple and are therefore purchased differently to sliced bread, with an occasion in mind. While consumers can expect to find them in-store all year round, the Back To School period is a key time of year when retailers should expect demand to rise.

Kingsmill’s pre-sliced six-pack rolls, including Great Everyday White, 50/50 and Tasty Wholemeal, cater to this annual peak. Kingsmill Rolls are currently

growing 26% year-on-year in vol-ume and 13% in value.

Kingsmill Rolls offer consumers a unique combination of taste, health ben-efits, value-for-money and above all, con-venience. Kingsmill is also in a unique position, because just like its popular Kingsmill 50/50 loaf, the Kingsmill 50/50

Sliced Rolls in a six pack are the only branded white rolls on the market that are baked with 50% wholemeal flour, providing consumers with 40% of their daily wholegrain in just one roll.

SqeezSqeez, the number one Irish-made juice brand, continues to produce quality pure orange juice and pure apple juice in a range of pack formats. With each 200ml portion contributing one portion of the recommended five-a-day, it is easy to see why Sqeez is a firm favourite with Irish families.

Sqeez is delighted to confirm its continued partnership with The Make-A-Wish Foundation of Ireland. It is a wonderful opportunity to con-tribute to granting wishes for special children living with life-threatening illnesses and Sqeez is proud to pro-mote it on-pack. This autumn will also see exceptional value in-store, with fantastic offers on many packs, including an additional 25% extra free on all 200ml Sqeez packs.

For more information on any of the Sqeez range log onto www.sqeez.ie

Kingsmill’s pre-sliced six-pack rolls, including Great Everyday White, are currently enjoying strong growth

in both volume and value.

Mini Babybel has all the natural flavour and nutritional goodness of real cheese, making it a perfect lunchbox snack solution.

Sqeez is delighted to confirm its continued partnership with The Make-A-Wish Foundation of

Ireland, promoting this association on-pack.

July/August10Lunch Box / Back To School

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Innocent SmoothiesInnocent smoothies claim the number one spot in the Irish smoothie market, with 80% market share (Source: ACNielsen, Scantrack data, 4 w/e May 16, 2010).

Innocent smoothies for kids are a blend of whole crushed fruit and juice and nothing else and contain one por-tion of fruit.

Earlier this year, innocent launched fruit tubes, a healthy snack for lunch boxes. Innocent fruit tubes are made from 100% pure crushed fruit and a dash of juice. Like inno-cent smoothies for kids, they contain no bits, no preservatives, no added sugar or sweeteners, no dairy and no colourings. These new fruit puree fruit tubes are available in two reci-pes: Strawberries & Raspberries and Pineapples & Mangoes.

Innocent smoothies for kids are available in packs of four 180ml wedge cartons (RRP €3.99 per pack of 4) and Fruit Tubes are available in packs of six 40g tubes (RRP €2.59 per pack of 6). Both products can be found in the chilled juice aisle of retailers nationwide.

“At innocent, we want to make the transition Back To School a lit-tle nicer for kids,” noted a company spokesperson. “We’ve been making healthy drinks for kids for a while now so thought it was about time we made something else that’s just for kids. Lots of mums and dads told us they wanted healthy snacks for lunch

boxes that would help get fruit into their kids. And lots of kids told us they like squeezie things. So we com-bined both ideas and came up with innocent squeezies for kids. 100% pure fruit snack in a squeezie tube.”

Gem Pack Foods LtdThe Sun-Maid raisin brand, distributed in Ireland by Gem Pack Foods Ltd, is one of the 10 most recognized brands in the world. Introduced onto the Irish market in 1994, Sun-Maid has become a popular brand, and consists of wholly natural raisins with no oils or glazing agents.

Children love the freedom of snacking with their own mini-box of Sun-Maid Raisins, making them ideal for lunch boxes. They are also great

for everyone in the family, and perfect for packed lunches or quick snacks, contributing to consumers’ recom-mended five-a-day fruit and vegetable consumption. Sun-Maid Raisin Mini Snacks go anywhere, are always ready to eat, won’t spoil, don’t require refrigeration, and are 100% natural.

Innocent smoothies for kids are a blend of whole crushed fruit and juice and nothing else and contain one portion of fruit, while innocent fruit tubes are made

from 100% pure crushed fruit and a dash of juice.

Sun-Maid Raisin Mini Snacks go anywhere, are always ready to eat, won’t spoil, don’t require

refrigeration, and are 100% natural.

July/August10Lunch Box / Back To School

Consumers Stick With HenkelWhether at home, at school or in the office, Pritt Sticks have revolutionised our gluing habits ever since Henkel launched the world’s first glue in 1969. 40 years later, a Pritt Stick is purchased almost every second of the day, testament to the brand’s popularity amongst both children and adults.

The superbrand has become such an integral part of everyday life that, in many cases, ‘Pritt Stick’ directly replaces the word ‘glue’ in conversation. Safe, solvent-free and made from natural resources, including sugar as a core ingre-dient, Pritt Sticks have always been immensely popular with children and have become a big hit in office culture too.

Pritt’s long-term goal is to continue the tradition of com-ing up with new ideas and concepts that meet the needs of everyday life. Time doesn’t stand still and neither will Pritt; its products will become stronger, faster, safer and more colourful as time goes on, which is why it will always be the nation’s favourite glue.

A Pritt Stick is purchased almost every

second of the day,

testament to the brand’s popularity

amongst both children and

adults.

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Henkle_Pritt ad.indd 1 22/07/2010 11:38

How has ADM Londis been performing since the advent of the recession? Like every other group, headline sales have come under pressure. Nevertheless, we reported a profitable 2009 which was commendable from many perspectives. Whilst volume sales are holding up, particularly through our own ware-house facility, investment by the Group in promotional and pricing support programmes for our retailers has impacted value sales. Yet, we’re starting to see the benefits of this investment coming through at store level, with organic sales trending positively since the start of the year. Our focus over the past 18 months has been to position the group’s ‘new’ value agenda firmly within the market and the response from Londis retailers and our consumers has been very positive. In fact, many of our larger stores are outperforming the market.

What difference does the fact that ADM Londis is retailer-owned have on the business? As we’re not managed for the benefit of private interests, we are able to offer more attractive prices and significantly lower franchise costs than other groups. Our members earn top class margins at very competitive price points and we have real examples of where we have been able to increase the scanning margin of new retailers, compared to what they were previously achieving with other symbol brands.

Furthermore, any dividends paid by the group go directly back to our retail shareholders - we’re not lining any pock-ets other than those of our retail members! The group is overseen by a board of Retail Directors, themselves Londis retailers, so all our members can be assured that the busi-ness is managed with their very best interests at heart. There’s a ‘sense checking’ and challenge at board level which keeps us all on our toes!

Has consumers’ increased push for value impacted on retailer margins? We’ve certainly had to realign retail prices to ensure competitiveness. However, we are very pleased with our alliance with Nisa Today’s, one of the UK’s leading whole-salers, which we negotiated in 2009. This has enabled the group to secure access to a private label range which offers on average 20% margin to Londis retailers at highly competitive retails. In fact, we’ve just completed a piece of work which suggests that the range is on average 60% cheaper than branded alternatives! A 20% margin at this price level is extremely compelling for Londis retailers. The buying power of Nisa Today’s approaches €6 billion, so immediately, we’re aligned to a group which can buy as well as, if not better, than any of our symbol group competi-tors. We can secure international brands at exceptionally competitive price points, again delivering strong margin to our retail members. Our focus is one of driving sustainable cash margin for our retailers’ businesses. We are not in the

Peter Foley, Commercial Director, ADM Londis plc, on the benefits of being retailer-owned, the impact of their strategic alliance with Nisa Today’s and how Londis is delivering great value to both its retail partners and consumers.

30

July/August10The Retail News Interview

Delivering on Value

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31

game of bringing promotions to the market which deliver zero margin to our retailers, as we know some groups are. This is simply unsustainable for any retailer’s business and puts them under pressure to make it up elsewhere, which itself damages any value perception you hope to generate.

How has ADM Londis responded to consumers’ need for value? We have negotiated hard with our supplier base to enable us bring lower prices and exceptional deals to con-sumers. Combined with an increased investment by the Group in value communication, we are now on TV with price and item advertising which was a first for the group in 2009 and not something we could necessarily have considered as a long term strat-egy before now.

What does your strategic alliance with Nisa Today’s mean (a) for ADM Londis retailers, and (b) for consumers? In short, it means better prices for our retailers and our consumers! The Nisa Today’s alliance has also opened other opportunities for the group.

We’ve recently commenced a chilled and frozen distribution trial with Nisa Today’s, whereby we’ve been able to start delivery of a carefully selected range of leading international brands at very competitive price points to our retailers. The majority of the branded lines we are bringing in match multi-ple retails, whilst maintaining an over-all attractive margin for Londis retail-ers; again a very strong proposition for both our retailers and our consumers. The chilled and frozen Heritage pri-vate label offering has also proven very successful, with a good selection of desserts, frozen vegetables, cheeses, hams, snacks etc at very compelling price points. It’s still early days for us yet, but our retailers have seen a good uplift in sales and have expressed sat-isfaction in the entire package; logis-tics, consumer proposition and cost reduction. We will see over time how it can evolve.

More recently, we’ve taken deliv-ery of wine from Nisa Today’s, which enables us to bring excellent wine brands at compelling price points to our retailers and consumers. We expect beers to flow fairly swiftly on the back of this. Again, this is a great result for Londis retailers and our consumers, who will benefit from some market leading price points over the coming months.

How will it effect pricing structures in ADM Londis stores? Prices will be lower whilst sustaining retailer margin!

Is the Nisa Today’s alliance geared specifically towards addressing consumers’ value concerns or will it have further reaching implications for ADM Londis and its retailers? We believe the alliance positions us very competitively within the symbol group market in Ireland. We’ve been fortunate enough to sign new retailers this year, and of course, for all the rea-sons I’ve mentioned, the Nisa Today’s alliance is a strong attraction from a recruitment perspective. Nisa Today’s has a similar retailer-owned ethos to Londis, so the fit with our group is a natural one and one that brings fur-ther security to our retailers in that they appreciate that neither business is operated to line the pockets of a few private investors. I’m confident that with our own strong credentials, the Nisa alliance is another string to our bow and prospective retailers can appreciate what we can, as a combined force, bring to their business.

July/August10The Retail News Interview

30,31,32 Londis Interview 2p.indd 2 22/07/2010 12:15

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July/August10The Retail News Interview

The group has invested considerable resources in upgrading its distribution network, IT systems etc. How important is it to ensure your supply chain and indeed, entire business ethos, is based around a lean operating system? We’re focused on delivering low fran-chise costs to our retailers, and these investments simply help us to deliver this.

We are quite a lean organisation in terms of staffing levels, yet the service we offer to our retail mem-bers is paramount. No retailer query can come into our Group Support Office without being logged, assigned to the relevant person to deal with and tracked through to resolution. Through many investments in cus-tomer service technologies, we know our customers as well as they know themselves!

We’ve invested over €2m in our warehousing and distribution facility over the past number of years, and with the launch of voice picking tech-nology, securing a bonded facility and building extra space, we’ve been able to increase our pick rates, enhance our range and overall, offer a better service to our retailers. Irish suppliers have started to recognise our facilities in this regard and we are in discus-sions with many around facilitating central distribution of their products to our retailers. This in turn, through maximising our warehouse efficien-cies and negotiation with our sup-pliers, will ultimately lead to lower prices for our retailers.

How will the recent VAT hike in the UK impact on the Irish grocery sector, with particular regard to stores adjacent to the border? We had already begun to see a slow-down in the movement of business across the border. The euro hit a peak against Sterling in October of last year which, together with the lower UK VAT rate, had significant implications for the Irish market as

there were real savings to be made for consumers, especially across the key Christmas period. However, over the past six months, we’ve seen a gradual weakening of the euro against Sterling, which has nega-tively affected the real savings a cus-tomer can expect to achieve though shopping in the North. The increased UK VAT rate will further negate the value of potential savings, which can only be positive in terms of keep-ing consumer spending within the Republic.

What other plans has the group in place for the coming months/year? Our focus over the coming months and certainly within the medium term is to continue to invest in our value posi-tioning and to ensure this is strongly communicated to our consumers. For example, we have a very exciting Christmas coming up which will see Londis retailers offering market lead-ing value to consumers! Our aim is to ensure our retail members are very well supported in terms of promotion-al and value-led initiatives and that they can continue to trade strongly into 2011. Recruiting new stores is also important to the group. We believe we are now, more than ever, in a position to bring strong benefits to new retailers and we’re keen to speak to like-minded retailers who welcome our ‘retailer owned’ structure and can understand and appreciate the value this can bring to their business.

When we finally emerge from recession, how ready is ADM Londis to take advantage of consumers’ increased buying power? Over the past number of months, the group has made real progress in addressing some of the key challenges within our business. Through strate-gic alliances, strategic procurement practices, strong value-led marketing campaigns and strategic cost manage-ment, I believe the group is better positioned than ever before to manage today’s changed market. It also posi-tions us very strongly to benefit from any future uplift in consumer confi-

dence and increased buying power. Londis retailers are now bringing significantly more value to our con-sumers and in many cases going toe-to-toe, and competing well, with our multiple and discount competitors. Our retailers are also heavily involved in their local communities. Their abil-ity to build solid relationships with their customers is an advantage we have over the major supermarket and discount brands. Consumers are responding well to this combination of strong value and a strong community focus and I’ve no doubt that our retail-ers are, therefore, very well positioned for the future.

“We are not in the game of bringing promotions to the market which deliver zero margin to our retailers, as we know some groups are. This is simply unsustainable for any retailer’s business and puts them under pressure to make it up elsewhere, which itself damages any value perception you hope to generate.”

30,31,32 Londis Interview 2p.indd 3 22/07/2010 12:15

Nielsen figures indicate that the wine market in Ireland has shown an increase of +4.1% to April 2010. Though the value has declined by 1.4%, this is certainly good news for the beleaguered wine trade in Ireland. Supermarkets now account for approximately 60% of off trade sales, which amount to just over 70% of all wine sales in Ireland: the bal-ance are sold in the on-trade. In terms of country of origin, Australia remains the strongest performer, followed by Chile and then France. Sales of South African, Spanish, Italian and New Zealand wines are also showing an increase in volume sales, which is

good news for all concerned.What is maybe not so good is the

pressure that the recession has been putting on wine brands. Wine brands are extremely important to our mar-ket. By their very nature, they create visibility and awareness of country of origin and wine styles. Over 70% of all wine sales on the Irish market are New World wines and much of this market share has been built over the last 15 years by the strength of the New World wine brands.

A look at the Top 20 Wine brands reflects this, with Australia, Chile and the USA leading the way. Leading the pack in the top five is No. 1, Blossom Hill (California), followed by No. 2, Wolf Blass (Australia), No. 3, Santa Rita (Chile), No. 4 Jacob’s Creek (Australia) and No. 5, McGuigan (Australia). Hardy’s and Lindeman, both Australian brands, come in at No. 6 and 7 and it is not until you reach No. 8 that you find a European wine, which in this case is Torres (Spain). Rosemont (Australia) at No. 9 and Concha y Toro (Chile) complete the top 10. This gives a clear indica-tion of what the consumer preference is and backs up why Australia and Chile are dominating the charts.

The Question of PriceBrands are good, and worth having on your shelves. During the Celtic Tiger boom days, when the market grew exponentially, they created visibility and awareness of country of origin wine styles and were benchmark examples of well made, fruit driven wines, which the consumer liked to buy and drink. Now, however, in these days of belt tightening, growing unemployment and fiscal restraint, we are seeing less brand loyalty as multiples and retailers present cheaper versions which they import

directly to sell at an entry level price point. This would explain why Ireland in 2010 has seen a return to growth in the volume sales of wine but a decline in value. It’s all about price these days and as the consumer looks only at the price points, we have to ask the question: what about quality?

It would be fair to surmise that the quality of a €6.99 to €7.99 direct import is going to be pretty limited. Given that the tax take (including VAT and Excise) is just under 50% of the total cost of the wine, there isn’t a lot to offer in quality terms, consider-ing the base cost of the wine itself, which will be well under the €1 mark. Quality suffers and after a while, drinking cheaper, poor quality wine is going to put the consumer off. The perception will be that wine is not, after all, that nice.

Trading UpWhen, as it will, consumer confidence returns, imagine the joy of trading up again and tasting something that is actually palatable? For a few euro more, the leap is going to be very noticeable and this is the point that the retailer must prepare for. When the consumer returns to their brand of choice, the quality will become more apparent. This is when we are going to see the resurgence in the wine market. These brands offer relia-bility, they offer visibility, and though they have been suffering weaker sales during the past 36 months, they are still there, waiting for the moment that the consumer realises that by spending a little more, or buying a little less, the quality is there. The job then will be for retailers to realise this and to seize the moment.

Let’s take a look at the top five wine brands currently available on the Irish market.

Ireland’s Top 20 Wine Brands

33

July/August10On the Vine

Jean Smullen looks at the 20 best-selling wine brands in Ireland.

[yellow tail] [yellow tail] has been ranked as one of the most powerful Australian wine brands in the world. According to the Power 100 report by British consultancy firm Intangible Business, [yellow tail] is ranked number four in the global wine industry and number 34 in the top 100 wine and spirits brands glo-bally. Produced by the Casella family in Australia its easy drinking style, consistency of quality and val-ue for money has resulted in a mas-sive global follow-ing for the brand.

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No. 1: Blossom Hill (California) - Gilbeys WinesBlossom Hill is the best-selling wine brand in Ireland. Strong sales con-tinue to be well supported by advertising, PR, quality Point of Sale material and regular promo-tions. The light, fruity, off dry style and attractive packaging are par-ticularly popular with young female customers look-ing for a ‘no fuss’ wine to enjoy with friends. Blossom Hill has recently undergone a superb new pack-aging upgrade, which

gives even more shelf appeal and research shows that consumers have responded to it very positively. Blossom Hill will sponsor Ladies Day at the Failte Ireland Dublin Horse Show on Thursday, August 5.

This Californian winery has been leading the way by expanding its offering of wines from outside of the US. New ranges such as their Italian Pinot Grigio range or their Shiraz from South Africa have helped to boost this strong brand’s image and encourage greater sales. The strategy is working because they have now overtaken Wolf Blass and are the No. 1 brand on the Irish market.

No. 2: Wolf Blass (Australia) - Edward Dillon & Co.Wolfgang Franz Otto Blass, one of the world’s best known wine makers,

was born in 1934 in what used to be East Germany. His knowledge and experience in the making of spar-kling wines led him to Australia in 1973, where he set up Wolf Blass International, develop-ing wines which were full fla-voured, soft in the mouth and easy to drink, and the rest, as they say, is history. Today, Wolf Blass is the number two selling wine brand on the Irish market. The total sales include both the Wolf Blass range and their second label, Eagle Hawk.

No. 3: Santa Rita (Chile) - Gilbeys WinesSanta Rita is the best sell-ing Chilean wine in Ireland. Three million bottles are purchased by Irish consum-ers every year. The quality, balance and elegance of the Santa Rita range has helped it become Ireland’s best-selling Chilean wines. The company has a 130-year history and is renowned for its quality, reli-ability and innovation.

Santa Rita was founded in Alto Jahul in 1880 by

Domingo Fernandeaz Concha. From the late 1800s until mid 1970s, the vineyards were developed by his fam-ily. In 1980, the Claro group took control of the vineyard and have built up a strong brand. Santa Rita

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July/August10On the Vine

The massively popular Wolf Blass

brand, distributed by Edward Dillon & Co.

Ltd.

Blossom Hill, from Gilbeys Wines, the top-selling wine range in

Ireland.

Paul MassonPAUL Masson, from Barry & Fitzwilliam, in its distinctive carafe-shaped bottle, is one of the great success stories from California in the last number of years. Sales continue to boom here in Ireland, with 2010 looking to be a record year.

Oyster Bay FROM its very first vintage, which won gold and the cov-eted Marquis de Goulaine Trophy for ‘Best Sauvignon Blanc of the Competition’ at the 22nd International Wine & Spirit Competition in London in 1991, Oyster Bay, distributed by Cassidy Wines, has continued to define the very stature and style of New Zealand wines. Taking its name from the local ‘Oyster Bay’ on the tip of New Zealand’s majestic South Island, Oyster Bay’s reputation has been built from vines grown in Marlborough’s central Wairau Valley, recognised as one of the great wine growing regions of the world. Small wonder Oyster Bay has consistently won so many of the world’s most-prestigious wine awards and the hearts of so many wine lovers from Sydney to New York.

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has surged ahead in the last 12 months. Their ‘local heroes’ campaign was a good initiative, building the links between Chile and Ireland in this, the year of Chile’s bicen-tenary. Bernardo O’Higgins led the revolution in 1810 and the cellars at Santa Rita played a prominent part in the history of this rebellion, a fact seized upon by the savvy mar-keting team at Gilbeys. Chilean wine is show-ing good growth in this market: Ireland is the 7th most important market globally for Wines of Chile and brands such as Santa Rita and Carmen go a long way towards the

strength of this market share.

No.4: Jacob’s Creek (Australia) - Irish Distillers/Pernod RicardJACOB’S Creek has been Australia’s leading export brand for more than

a decade and is widely rec-ognised as spearheading the country’s export growth. More than 80% of Jacob’s Creek is now enjoyed in over 60 countries around the world, making it Australia’s most popular wine. The range has expanded and gone upmarket with a super selec-tion of sparkling wines and other good quality vari-etals. The mid-price point has cost it in terms of volume growth. However, this wine brand will benefit when the consumer starts to trade up. The qual-ity is extremely good and they are innovative in terms of their offerings, which include a range of grape varie-ties and more innovative wine styles. Jacob’s Creek will be back at the top again before too long.

No. 5: McGuigan (Australia) - Barry & Fitzwilliam The McGuigan family are considered to be one of the Australian wine industry’s best know winemakers. This year, two of the world’s most

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July/August10On the Vine

Chilean wine is showing good growth in Ireland and Santa

Rita, from Gilbeys Wines, is the star

performer.

Jacob’s Creek is now enjoyed in over 60 countries around the world, making it Australia’s most

popular wine.

Hardy’sHARDY’S wines, from Barry & Fitzwilliam, have garnered a fantas-tic reputation from wine writers the world over and are very popular with the Irish consumer. The brand is strongly supported with heavyweight advertising, includ-ing a high profile radio campaign.

Lindemans LINDEMANS’ wines, distributed by Findlater Wines & Spirit Group, promise more than the partnering of quality grapes and craftsmanship: every wine also con-tains the spirit and passion of their founder, Henry J Lindeman. The Lindemans’ Bin Range is internation-ally recognised as one of the best value-for-money wines ranges available throughout the world. Renowned for consistency and quality, this is achieved by Lindemans’ firm adherence to sourcing the best parcels of fruit each vintage from a wide array of premium growing areas throughout the southern states of Australia. Lindemans’ Bin 85 Pinot Grigio is new to the Bin range. It’s unoaked, highlighting the variety’s distinctively fresh palate of white nectarine, crunchy apple and pear, while finishing with its trademark crisp freshness.

FaustinoTHE Faustino brand was launched in 1960 and is one of the best known internationally and easily the best selling Rioja in Ireland – appreci-ated for its price: quality ratio, from the afford-able Faustino VII right up to the majestic Gran Reserva Faustino 1. In fact Faustino accounts for one in every three bottles of Rioja wine sold in Ireland, making it a must stock item.

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prestigious wine shows, the International Wine Challenge (IWC) in London and Decanter World Wine Awards, have awarded McGuigan Wines a combined total of 49 gongs. For four generations, the McGuigan family have been mak-ing wine in both the Hunter and Barossa Valleys and the inter-national success of Brian and his younger brother Neil have helped to strengthen the global visibility of these wines.

Listed below are the other top selling wines on the Irish market in order of volume sales. Australia, the USA and Chile dominate, though Spain, New Zealand and South Africa also feature.

No. 6: Hardy’s (Australia) Barry & Fitzwilliam (see panel)

No. 7: Lindemans’ (Australia) The Findlater Wine & Spirit Company (see panel)No. 8: Torres (Spain) The Findlater Wine & Spirit Company (see panel)No.9: Rosemount (Australia) Edward Dillon & CoNo.10: Concha y Toro (Chile) Irish Distillers/Pernod RicardNo.11: Cono Sur (Chile) The Findlater Wine & Spirit Company (see panel)No.12: E & J Gallo (USA) Irish Distillers/Pernod RicardNo.13: Carmen (Chile) Edward Dillon & CoNo.14: Oyster Bay (New Zealand) Cassidy Wines (see panel)No.15: Long Mountain (South

Africa) Irish Distillers/Pernod RicardNo.16: [yellow tail] (Australia) Gilbeys Wines (see panel)No.17: Paul Masson (USA) Barry &

Fitzwilliam (see panel)No.18: Faustino (Spain) Gilbeys Wines (see panel)No.19: Nederburg (South Africa) Edward Dillon & CoNo.20: Sutter Home (USA) The Findlater Wine & Spirit Company (see panel)

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July/August10On the Vine

For four generations, the McGuigan family

have been making wine in Australia’s

Hunter and Barossa Valleys, winning

numerous awards along the way:

distributed by Barry & Fitzwilliam.

TorresTHE Torres family has been linked with wine for more than three centuries, dur-ing which time they have produced the finest of wines to the high-est of quality. Torres Wines, distributed by Findlater Wines & Spirit Group, contin-ue to be a mas-sively success-ful Old World wine brand in Ireland. The Torres range

is quite extensive and has an offering for every wine taste, from the hugely popular Vina Sol and Sangre de Toro wines of Catalunya, to the premium and super-premium wines from Ribera del Duero, Priorat, Penedès, and most recently, Rioja.

Sutter Home Sutter Home, distributed by Findlater Wines & Spirit Group, provides the original and best White Zinfandel from sunny California. Produced from red Zinfandel grapes grown in the upper Sacramento and northern San Joaquin valleys, this is the ultimate in White Zinfandel. Grapes for this bottling were harvested early in the growing season to maximize the freshness typical of this wine. This is a very popular consumer brand and the Zinfandel from Sutter Home is only one of a great selection available.

Cono Sur DISTRIBUTED by Findlater Wines & Spirit Group, Cono Sur is a firm favourite at number 11 in our top 20 list and their slogan is “No family trees, no dusty bottles, just quality wine” and this means it is an in demand consumer brand. Cono Sur Vineyards & Winery was founded in 1993, with the vision of producing premium, expressive and innovative wines conveying the spirit of the New World. Right from the start, Cono Sur applied new ideas and tech-nology to traditional winemaking methods. Newly launched this summer are the Cono Sur Reserva range, which provide an excellent value for money offering.

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The packaged food sector has largely avoided the effects of declining consumer economic confidence, achieving 2009 growth largely in line with expected performance, according to Euromonitor International’s Packaged Food in Ireland report. Consumers cut back on spending in other areas rather than making significant changes to their diets. The recession, however, influenced packaged food product areas in different ways, as consumers adapted to decline in disposable income. This resulted in growth in some economical product areas and some moderation in higher-cost products. However, the dominant trends in packaged food remained convenience and in some areas, a greater interest in ethnic foods and flavours.

Indeed, some of the biggest growth areas tended to be in canned/pre-served food, as well as frozen foods, which were, in fact, boosted by the recession. The area of canned food had previously been a mature market, with the sector having achieved mod-est growth rates of 1.7% in the years leading up to the recession. Consumer belt-tightening and the increased desire for value, however, has been a boon to the sector, with the canned food sector undergoing something of a rejuvenation in fortunes, as consum-ers increasingly turn to cans for their convenience and value properties and manufacturers responded, with extra-fill offers and deals on multi-packs proving particularly popular.

HJ HeinzHJ Heinz boasts a vast range of canned foods, including the iconic

Heinz Beanz, Heinz Soups, Heinz Spaghetti and the Weight Watchers from Heinz range. As one of the world’s largest producers of tinned foods, the Heinz brand is synonymous with quality, taste and daily life among consumers worldwide.

In Ireland perhaps the most famous of Heinz tinned products is Heinz Beanz, which are available in three sizes, plus a Reduced Sugar and Salt variety, each with easy-open ring pull.

Heinz Cream of Tomato Soup is unquestionably the most popular in the range of convenient Heinz ready-to-serve soups. The Heinz Farmers Market and Heinz Big Soup ranges offer a selection of delicious and hearty, chunky soups which are ideal

for a sustaining lunch or for a light dinner, with an extensive range of tra-ditional varieties including Chicken & Vegetable and Beef and Vegetable.

Heinz remains ever responsive to consumer demands for healthy and convenient products that do not com-promise on taste. Weight Watchers from Heinz, the number one healthy eating soup brand, continues to offer favourites such as Chicken Noodle and new varieties such as Tuscan Minestrone and Tomato & Basil. All Weight Watchers from Heinz varie-ties exclusively carry the Weight Watchers Points Value on-pack.

Heinz is continuously expand-ing and updating its range of tinned spaghetti products in response to families’ ever-changing tastes. Heinz Spaghetti is the definitive brand leader, with Heinz Spaghetti and Heinz Spaghetti Hoops being the category’s strongest performers. Heinz Alphabetti Spaghetti is also an important part of the Heinz range, available in both a 205g and 400g size. Consistently popular licences within the Heinz pasta shapes range, including Bob the Builder, Dora and Winnie the Pooh, illustrate Heinz’s

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July/August10Canned Food

Number One CanThe canned food sector has, in many ways, successfully bucked the recession, as consumers choose cans for their convenience and value proposition.

In Ireland, the most famous of Heinz tinned products is the iconic Heinz

Beanz.

Heinz Spaghetti Hoops: massively popular with Irish consumers.

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commitment to the category and its status as the undisputed brand leader in tinned pasta.

BatchelorsIconic brand, Batchelors claims leadership in Ireland’s canned Baked Beans, Peas and Pulses sectors. Batchelors is made in Dublin and has been since 1935. Batchelors are an active member of the Love Irish Food initiative and are proud to support and sustain local jobs and the economy. The company employs over 230 people directly, while also contributing to significant downstream employment in Ireland.

Batchelors, as brand leader, con-tinues to meet and exceed the needs of the market, with a wide range of product sizes and varieties to suit all households. In response to a grow-ing trend of bulk-buying, Batchelors offers attractive in-store promotions on multi-packs.

Irish consumers favour Batchelors canned foods as they are a nutritious, delicious and convenient meal-time solution. They are a great source of protein and fibre, low in sugar and saturated fats and are gluten free. Visit www.batchelors.ie for on-line category management support.

PicnicPicnic is a brand synonymous with quality at an everyday price. Picnic is a key player in the canned fish market with an extensive range of variants.

Tuna is the fastest growing prod-uct in the category and is a popular choice for slimmers and people seek-ing a high level of protein in their diet. Tuna chunks are available in both oil and brine. One of Picnic’s most popular products is a triple-pack 80g tuna in oil or brine with a convenient ring pull. These small cans are convenient sandwich fillers or ideal as salad accompaniment for one-person meals.

Also available in the Picnic range of canned fish are sardines, mackerel, herring fillets and red and pink salm-on. Recent reports point to the need for greater intake of Omega 3 fish oils among the Irish adult and child population. Fish such as Picnic salmon, mackerel, herring and sardines are naturally rich in Omega 3.

LustreLustre is the brand leader in canned fruit. Part of

the Lustre family are Kids Route to Fruit Pots, a healthy twin-pack fruit snack pot, which contributes one of the 5-a-day portions of fruit and veg.

Lustre is a quality canned fruit and has an extensive range of fruit in syrup and in natural juice. The fruit in syrup range includes fruit cock-tail, peaches, pears and pineapple slices in 410g. Grapefruit segments, together with the other fruits, are also available in 3kg catering sizes. Lustre in natural juice is becoming increasingly popular for people look-ing for a healthier alternative. The natural juice range is available in fruit cocktail, peaches, pears, manda-rin orange and pineapple slices 410g.

In the vegetables range, sweet corn and canned tomatoes are also popular products available under the Lustre brand.

July/August10Canned Food

Batchelors is made in Dublin and has been since 1935, and the brand is an active member of the Love Irish Food

initiative.

Picnic is a key player in the canned fish market with an extensive range of variants.

Lustre is a quality canned fruit brand and has an extensive range of fruit in syrup and in natural juice.

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July/August10What’s New

PJ CARROLL is launching a new limited edition pack (LEP) design for Pall Mall. The whole Pall Mall range is being transformed with a brand new pack design for the summer months. In addition to the LEP launch, the amber packag-ing is being transformed with a new permanent signature pink colour. The new design will temporarily replace the traditional packaging for the Pall Mall range and will be available for three months throughout the summer. The packs will then revert to their original design: however, the

amber pack will retain its new

pink colour. A direct mail campaign to retailers will communicate the LEP’s national roll-out and three month design change.

RADOX has launched a new men’s range fea-turing two Deep Clean S h o w e r S c r u b s and two invigorat-ing Shower Gel & Shampoos, that promise to leave men feeling clean and fresh fast. The four variants, available in 250ml, will be merchandised on the male toiletries fixture, and include: Radox Men Deep Clean Watermint & Sea Minerals; Radox Men Deep Clean Shower Scrub Lime and Ginger; Radox Men Invigorating Shower Gel and Shampoo Mint and Tea Tree; Radox Men Invigorating Shower Gel and Shampoo Lemon and Tea Tree. The launch is being supported by a multi-million, five star, fully integrated marketing campaign including TV, PR, digital, sampling and a strong in-store presence to bring the campaign right the way through to point of purchase.

K E L L O G G ’ S aims to stop ‘on the move’ con-sumers in their tracks, with the launch of a new on-pack promo-tion offering four exciting city breaks to New York, through its Cereal To Go range. ‘N.Y. To Go’ will run across Corn Flakes, Special K and Crunchy Nut Cereal To Go, giving purchasers the chance to win one of four trips to the ‘Big Apple’, with $500 spending money. Specially designed point of sale packs are available, including table talkers, posters and bespoke merchandising units. Exclusive, high impact ‘N.Y. To Go’ promotional packaging will feature on every pot, along with a unique code which people will be required to register online at www.nytogo.eu to enter the draw.

PANINI have announced the launch of Disney Animals, a new four-weekly magazine for 6-9 year-old girls, hosted by a variety of much-loved animal characters from the Disney stable. The 36-page magazine includes features on both wild and domes-ticated animals, celebrities and their pets, comic strips, posters, competitions and puzzles to inspire animal-loving girls. Plus, each issue comes with a branded free gift, including a Mystery Pups book from Simon & Schuster and a foil sticker sheet with over 50 stickers available with the launch issue.

MICHAEL Hoey of Country Crest, from Lusk, Co. Dublin, a local Irish suppli-er to M&S, has been rewarded for his supplier excellence in animal welfare, environment and ethical issues at the recent M&S Plan A Award. Michael scooped the ‘Plan A in Action’ Awards for his contribution to biodiversity, investment in sustainable energy and an on-site bird sanctuary. Country Crest outlined their investment in green energy, which has already signifi-cantly reduced gas and electricity bills. In addition to engaging local com-munities and schools, they are involved in developing food production and horticultural skills in Haiti, Lesotho and other underdeveloped countries. Pictured are (l-r): Michael Hoey, Country Crest, Plan A in Action Award Winner; Sue Bell, M&S Technical Executive; Bill Waddle, M&S Head of Region for NI; and Walter Johnston, Johnston Bros, Magherafelt (Future of Farming Award Winner).

Disney Animals Magazine Launches

New Radox Men’s Range

Kellogg’s Offers New York To Go

M&S ‘Plan A’ Award Winner

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Pall Mall Limited Edition Pack

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BORD Bia recently welcomed An Taoiseach Brian Cowen to New York for a meeting with Ireland’s development agencies and the Irish business com-munity. During his visit, An Taosieach met with Bord Bia fellows (l-r): Jennifer Lynott, Emer Kelly, Louise Gannon, Tim Herlihy and Manager of Bord Bia North America, Karen Coyle. Bord Bia launched a Graduate Fellowship Programme in July 2009. 25

experienced graduate fellows were sent to 12 international markets worldwide as part of a new year-long programme. The fellows partnered with over 100 Irish food and drink com-panies to complete 160 projects. In New York, there are five graduates currently working on behalf of 22 Irish companies.

SENATOR David Norris is calling on the people of Ireland to knit one, purl one in aid of Age Action’s new campaign, ‘the inno-cent big knit’. The cam-paign aims to get 80,000 little woolly hats knit by the public between now and September. These little hats will then be modelled by 80,000 little bottles of innocent fruitsmoothies and sold in shops nationwide from mid-September to early October. For every woolly hat wearing smoothie sold, innocent will give 25 cent to Age Action. The aim is to raise €20,000 for Age Action. See www.innocentdrinks.ie/thebigknit for more information.

A NUMBER of Irish companies were amongst the winners at 2010 Great Taste Awards in London, widely regarded as the Oscars of the food world. The winners included Connacht Gold’s Garlic and Herb Butter, which received a gold star, and The Burren Smokehouse has been honoured with two-star gold awards for their Irish Hot Smoked Organic Salmon with Honey, Lemon & Dill, their Irish Cold Smoked Organic Salmon with Honey, Whiskey & Fennel and their recently launched Cold Smoked Halibut. Ummera Smoked Silver Hill Duck Breast claimed a 3-star gold medal. Brand owner Ummera Smoked Products, based in Timoleague, Co. Cork, plan to leverage their award as a platform for export success in Britain. Congratulations to all the award winners.

Shelf Life

July/August10Shelf Life

John Caviston RIPIT was with great sad-ness that RETAIL NEWS learned of the passing of John Caviston from the legendary Caviston’s Food Emporium on Glasthule Road in Sandycove, Co. Dublin. From its mod-est fish-shop origins over 50 years ago, Cavistons’ family-run business has expanded to provide an impressive range of prod-ucts spanning the seafood and delicatessen spectrum. We would like to pass our condolences to John’s wife Margaret, and their six children, including Peter Caviston, who runs the famous store.

JOHN Player is fully committed to driving the development and performance of the tobacco category, and as evidence of this commitment, John Player has recently invested in and expanded its sales force. The new John Player sales team is organised, trained and equipped to work in partnership with retailers, and ensure the success of the tobacco cat-egory. As part of the new enhanced support from John Player, each customer will benefit from a two-person sales team, comprised of an indoor Trade Sales Representative and

an outdoor Trade Marketing Representative, who will work together with trade customers to focus on their business needs, including appropriate range and stock cover; continued avail-ability of the brand of choice for adult consumers; and up-to-date compliance information.

FANS of sweet summer melon will be delighted at the newest addition to Superquinn’s summer fruit range, the ‘Bollo’ Melon from Spain, which is exclusive to Superquinn and the first time the product has been available in Ireland. Meanwhile, Superquinn has launched a brand new online wine club for customers who are interested in learning more about wine, how to choose it, and what different regions and grapes can offer. The club is open to anyone to join, by simply logging on to the Superquinn website: http://www.superquinn.ie/aspx/WineClubSignUp.aspx, and has already attracted over 400 members. To coincide with the launch of its Wine Club, and to mark 50 years in business, Superquinn has also launched a special 50th birthday edition Champagne, priced at €29.99, or two bottles for €50.

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It’s a fact, we Irish love crisps and combined Tayto, Hunky Dorys and King are the ones we love most. So give the nation what they

want and watch your sales grow.

For a nation of crisp eaters.

Largo Foods Tayto Ad.indd 1 22/07/2010 11:39

EXPERIENCETHE EXTRAORDINARY

TEAHUPOO, TAHITIFrench Polynesia.

An expert surfer rides one of the world’sbiggest waves, known as Teahupoo.

CORONA BIG WAVE A4 AD:A1 Isites 22/07/2010 12:52 Page 1