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RETURN UNDELIVERED TO MERCURY PUBLICATIONS LTD., 1313 BORDER STREET _ UNIT 16, WINNIPEG MB R3H 0X4 CPM SALES AGREEMENT #40062509 W s O u v a p e y p r n w l y e a i c C t h u e a r a r i i n F e / o , e o v - d i c c o e G m - r p o m r u e e p s r i c d e e , n t M A Y / J U N E 2 0 1 5 © 2015 AGC, LLC The “Summer of Funny” is coming soon to your Carlton Cards card department! Introducing department!Introducing card The “SummerofFunny”iscomingsoontoyourCarltonCards Set yourcourseforlaughs Destination Funny, with family road-trip-themed merchandising and small collections of andsmallcollectionsof merchandising withfamily road-trip-themed Destination Funny, One more way we’re making the world a more thoughtfulandcaringplace. makingtheworldamore way we’re One more brand-new comical cards that will have your shoppers rolling in the aisles. inthe aisles. thatwillhaveyourshoppersrolling brand-new comicalcards For an up close view, contact Carlton Cards at1-800-663-CARD contactCarltonCards For anupcloseview, 1 4 2:37 PM Serving Western Canadians for Over 99 Years publisher’s perspective 40 Beer Legislation Full of Half-Measures MAY/JUNE 2015 • VOLUME 101, NO.2 Grocers across Ontario are applauding the decision to allow grocery stores to sell beer after a lobbying effort that has literal - In this Issue ly spanned decades. But it appears that the new legislation is full of half-measures 14 Grocery & Specialty Food West 2015 designed to appease both The Beer Store, a foreign owned enti - 19 ty that currently has a monopoly in beer sales outside of LCBO Western Canada’s premier grocery-focused show took stores, and the grocery industry. There will only be 450 licences place in Vancouver April 13-14. granted meaning many players will simply be left out. Conve - nience stores have been told flat out that there will be no sales 19 Upscale Indulgence allowed in that channel. Premium, imported cookies and crackers are flying off the shelves. Tom Barlow, president of The Canadian Federation of Independent Grocers, has said the new legislation creates “winners and losers”. While independent grocers applaud the government 23 Canadian Grand Prix New Product for moving towards liberalizing sales of beer and wine, “Any measure that through arbitrary Awards Finalists Announced size restrictions or prohibitive licensing fees, would in reality exclude smaller size grocery stores from having an equal opportunity to sell beer and wine would put the government in 27 Keeping It In the Family the position of picking winners and losers in the grocery industry. That is not the role for gov - ernment,” Barlow said. Canadians love their pets. Convenience operators too feel the decision creates a competitive disadvantage for conve - nience stores which compete with grocers in certain key categories. 31 Good for All While the government has said it will seek a diversity of grocers in the granting of licences Certified Kosher Food Products meet the needs to prevent the formation of another monopoly, it has also said the store must be large enough of a wide range of consumers. to create a separate area in the store and operate only during the hours the Beer Store is open. This will require a level of investment that many small grocers cannot undertake. And for those 34 The Yogurt Craze grocers that do gain a licence there are restrictions on the amount that can be sold yearly — 23 $1 million per store. This could create a situation where grocers would only be able to sell cus - 37 Keep it Cool tomers the product for 8-10 months of the year. Instead of legislation full of half-measures the Ontario government should allow all grocers Esthetic refrigeration designs integrates and convenience stores to responsibly participate in this market without all the restrictions. energy efficient options. This has been the case in Quebec and there are no issues there that would cause concern of 41 Adventures in Flavour any sort. Spices & seasonings are the ticket to the culinary adventures consumers are craving – and your ticket to boosting incremental sales. Frank Yeo, 43 The 2015 Edition of SIAL Publisher & Editor Canada in Toronto On Our Cover 49 Listen Up! Overwaitea Food Group’s environmental strategy 46 Strengthening the is informed by shoppers. Supply Chain Robin Bradley Melanie Bayluk Associate Publisher & 53 B.C. Fresh A look inside Western Account National Account Manager Manager Local, small farms contribute big innovation to the Overwaitea Food Group. province’s grocery sector. [email protected] [email protected] Cover Photography: Phillip Chin 57 Grocery Security Gets Tech High Utilizing technology to address shrinkage. Publisher & Editor, Frank Yeo; Associate Publisher & National Account Manager, Robin Bradley; Western Account Manager, Melanie Bayluk; Editor/Editorial Production Coordinator: Nicole Sherwood; 49 Advertising Production Manager, Marsha Coombe; Creative Manager, Sarra Burton; Circulation Department e-mail: [email protected]; Advertising Consultants: David Bastable, Sheilah Davila, Loren Fox, Elaine Dufault, Edna Saito. Publisher: Western Grocer Magazine is published bi-monthly by Mercury Publications Limited Head Office: 1313 Border Street, Unit 16, Winnipeg, MB R2H 0X4 Tel: (204) Departments 954-2085 Fax: (204) 954-205 7 www.mercury.mb.ca • e-mail: [email protected] Associated Publications: C-Store Canada Magazine, Votre Dépanneur, Commerce & Industry Magazine, Western Hotelier, Western Restaurant News, and Bar & Beverage Business . Circulation: Western Grocer Magazine serves the grocery and allied non-food industries. Readership includes distributors, brokers, manufacturers, wholesalers, independent grocers, food processors, bakeries, supermarkets, convenience stores, principal food service outlets, food researchers and consultants, government, voluntary 9 Market Update 29 Category Management groups and co-ops in the four Western Canadian provinces of Manitoba, Saskatchewan, Alberta, British Columbia, Northern Canada and the Northwest Ontario area. Subscription Rates: $45.00 for one year, $63.00 for two years, $93.00 for three years; $5.00 for single copy, plus 7% GST. Canadian rates only. Advertising: Deadline is 25th of the first month. Editorial: The contents of this publication may 12 Calendar of Events 59 Taking Stock not be reproduced in whole or in part without written consent of publisher. Photo credits not given unless requested in writing along with photo submission. Publication Mail Agreement No: 40062509. ISSN# 0705-906X. Return Undeliverable Canadian addresses to Circulation Dept. at 1313 Border Street, Unit 16, Winnipeg MB R3H 0X4 33 Retail Collaboration 61 In the Bag e-mail: [email protected] Printed in Canada 4 WWW. WESTERNGROCER .COM WWW. WESTERNGROCER .COM 5 Eating Well for Better Living! NO.NO. 1 NO.NO. 1 NO.NO. 1 LOYALTYLOYYALALLTYTY DrivingDriving GrowthGrowth DESTINATIONDESTINAATIONTION HUMMUSHUMMUS BRANDBRAND SEGMENTSEGMENT CHOICECHOICE (REPEAT BUYERS) DRIVING OF ININ WESTERNWESTERN REFRIGERATED CANADIAN throughthrough HealthyHealthy DIPS WITHIN DELI HOUSEHOLDS. CANADA.CANADA. InnovationsInnovations 52%522% 57% 66% $89.3MM$89 3MM 40%4 +15.4% 28.5% ALLALL OTHEROTHHER +4+4.9%.9% FONTAINEFONTTAINE FONTAINE đŏ +3ŏ%*ŏ/01.0! ŏ"0 SANTÉSANTÉ COMPETITOR SANTÉ COMPETITORMPETITOR đŏ +ŏ,.!/!.20%2!/ HUMMUS REPRESENTS 1 OF EVERY 2 (52%) HUMMUS FONTAINE SANTÉ BRAND đŏ +ŏ$+(!/0!.+( 66% OF DOLLAR SALES BUYING HOUSEHOLDS CHOOSE OUTPACES ITS COMPETITOR IN REFRIGERATED DIPS - FONTAINE SANTÉ. NEARLY IN REPEAT BUYERS (57%). đŏ +ŏŏŏ0.*/ŏ"0 THE FASTEST GROWING TWICE AS THE NEAREST THE FONTAINE SANTÉ CONSUMERS SEGMENT (+15.4%) COMPETITOR (28.5%).2 đŏ (10!*ġ".!! ARE ATTRACTIVE: RoastedRoasted SweetSweet 1) HIGHEST % OF REPEAT BUYERS PeppersPeppers & CarawayCaraway 2) 40% MORE TRIPS TO THE CATEGORY.3 SesameSesame & GingerGinger BrandBrand N O . 1 inin CanadaCanada FOR INFORMATION: Fontaine Santé Foods Inc. 1-888-627-2683 S o u r c e s : RoastedRoasted [email protected] 1) Nielsen Market Track, National, GR+DR+MM, 52 weeks ending Oct 18, 2014 2) Nielsen Homescan Refrigerated Dips/Spreads (ex dry chip dips) National All Channels 52 weeks Nov 1, 2014 BeetsBeets www.fontainesante.com 3) Nielsen Homescan Refrigerated Dips/Spreads (ex dry chip dips) Total West All Channels 52 weeks Nov 1, 2014 market market update Nature’s Path Celebrates 30 Years update of Organic Leadership in Canada Nature’s Path, is celebrating Loacker’s 90th Anniversary 30 years of creating some of the most beloved prod - This year marks Loacker’s 90th anniversary. To cel - ucts in the market. ebrate the milestone, the company is debuting com - memorative packaging featuring their 90th anniver - While big food com - sary seal on some of their most popular items sold in panies are buying up Canada. In addi tion, to increase its in-store visibility, this org anic brands to year the company is introducing add a healthier halo to full, half, and quarter pallet dis - their portfolio, Nature’s plays for Quadratini 220g/250g Path remains proudly Canadi - containing 576, 288 and 144 units, an, family owned and operated. respectively. Pallet displays will be available this summer. This past This independence has allowed January at the ISM show in Cologne, Germany, Loacker debuted their new Raspberry Yogurt the company to be a leader and flavour. Raspberry Yogurt will be available this fall in Quadratini 110g and 220g as well as pioneer in the organic and non- Classic Specialty Wafer 37.5g and 150g. GMO movements. Started in 1985 by co-founders Bothwell Cheese Expands Sales Arran and Ratana Stephens out of and Marketing Team the back of their vegetarian REAL CHEESE, restaurant in Vancouver, Nature’s In a newly created role working out of the New NATURALLY Path has grown to become the CRAFTED WITH 100% PURE CANADIAN MILK Bothwell head office, Megan Deaust has been hired largest organic dry packaged as marketing manager.