11% Cig Margin to Shake up Market NATIONAL LIVING WAGE L New Distributor BK Tobacco to Launch Four ‘Premium- Quality, Low-Cost’ Brands in the UK in September
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01.04.2016 DELIVERING THE FUTURE Where can you take HND? INNOVATION Page 30 » Up £2k flying Solo ‘Social media, EPoS and a 10m chiller has helped me stand alone’ Page 24 » NEWS l CONVENIENCE l PROFIT www.betterretailing.com l £2.30 11% cig margin to shake up market NATIONAL LIVING WAGE l New distributor BK Tobacco to launch four ‘premium- quality, low-cost’ brands in the UK in September. Hire plans l ‘We’ll take advantage of plain pack market,’ says frozen as managing director Matthew Betts. Page 5 » new wage takes hold CONVENIENCE Retailers abandon £0.5bn recruitment to fund £7.20 rate, but fear invested impact of next rise. in c-store Page 4 » upgrades RETAIL CRIME Refrigeration and shelving top of Manpower retailers’ priorities in needed for 2015. Page 14 » new crime BUDGET strategy Nisa: we’ll Hire more officers to implement Home absorb tax Office scheme, Group to hold prices industry warns. on more than 800 Page 4 » alcohol lines. Page 6 » Tributes to Asad A vigil in memory of Glasgow retailer Asad Shah was attended by hundreds of RN ROUNDTABLE Vol 127 No 13 Retailers and Blu FOR TRADE USE ONLY family members, friends and customers as well as Scottish first minister Nicola Sturgeon. discuss preparing 13 Tributes have been flooding in for the “popular for market-changing and well-respected” retailer who was stabbed e-cigarette regulation. outside his store last week. Page 5 » Page 24 » Retail Newsagent 1 April 2016 3 I have heard two separate anecdotes about wine and its role in turning around struggling businesses this month, and there are lessons for any store managing challenges from both. Super troubleshooter and new Co-op chief executive Richard Penncock said in an interview over the weekend most wine drinkers can’t tell the difference between one supermarket Argentinian Malbec and another. RETAIL NEWSAGENT NEWS ● CONVENIENCE ● PROFIT But when they are told that Co-op Fairtrade Malbec is helping build a school in La Riojana, they pick up that bottle over any other. After turning around the fortunes of Laura Ashley, Welcome Break Interaction is far and Morrisons, this is one of his main strategies for bringing the con- more important to venience group back to health. “Just imagine if we had all of our 70,000 your customers staff telling that story what that would do to the business,” he said. It reminded me of a recent talk I attended from wine guru Ryan Opaz, than the products whose blog ‘On wine, a tragedy’ won him plaudits from both the White they are buying House and Twitter founder Evan Williams. The mistake the industry has made, he says, is overcomplicating wine, making it elitist and thinking consumers are desperately looking to find new wines. The opposite, in fact, is true: the industry is frantically look- ing for new consumers. Consumers want relationships, life experiences and emotion and wine should be a part of this. Wine isn’t, itself, the occasion. Ryan told us how he turned around the fortunes of a struggling wine shop he managed CHRIS GAMM early in his career. He grew sales every month for four years, not by lec- Editor turing customers, but by simply saying hello to everyone, interacting @ChrisGammRN with them, treating them as individuals, then saying goodbye. In both cases, it’s not actually about the wine. Interaction is far more important to your customers than the products they are buying. 24 CONTENTS 34 NEXT WEEK NEWS the e-cigarette 19 INDUSTRY PROFILE FEATURES 4 INDUSTRY NEWS Resources regulations Today’s Group deputy 26 THE RN ROUNDTABLE needed to support new coming into force chairman Simon The e-cigarette market as part of EUTPD II? Are Hannah, below crime strategy says trade is set for major you losing soft drinks 20 PRICEWATCH 6 BUSINESS NEWS Nisa absorbs changes with the sales to supermarkets? UK crisps prices Chancellor Osborne’s introduction of 17 LETTERS Tributes to tragic 21 THE ENTREPRENEURS alcohol duty increases EUTPD II. We spoke Glasgow newsagent What you can 8 NEWSTRADE Publishers to leading retailers CAKES AND BISCUITS shows how indies learn from to find out how move quickly to entice play an important role We reveal the recipe for the world’s they are facing the former Indy readers at the heart of local best business your success 9 PRODUCT NEWS McCoy’s 30 challenges communities brains. This 30 HOME DELIVERY £3m marketing push 18 COLUMNIST A couple of week, Queen of 12 REGIONAL NEWS Expand your doorstep Plain simple ideas Shops, Mary packs will make life service made a huge 19 Portas 32 FRESH & CHILLED easier for counterfeiters 24 RETAILER difference Healthy margins for all 15 NFRN DISTRICT COUNCIL at Bintesh PROFILE Northern Ireland DC Amin’s Glasgow retailer THIS WEEK report stores. Find Natalie Lightfoot out how is flying solo IN MAGAZINES SUMMER SPIRITS COMMENT & 35 ROUND-UP ANALYSIS ringing the in Glasgow after How you can Shake off the winter changes running a Londis still win at games blues and up your sales 16 YOUR STOCK, YOUR SAY How paid off c-store with her 36 FOR YOUR SHELVES are you preparing for handsomely brother Marie Claire special “I DON’T THINK YOU CAN HAVE A DELIVERY MODEL BASED AROUND ONE PRODUCT” – NEWS UK’S INDEPENDENTS SALES MANAGER GREG DEACON SAYS THE FUTURE OF HND IS DIVERSIFICATION Page 30 » 4 15 January 2016 Retail Newsagent Follow RN f on Facebook facebook.com/retailnewsagent to have your say on the latest news Ban hits Shoppers drink to Nisa wine festival premium Nisa retailers are aiming to pick up extra impulse sales on tobacco alcohol this month with the One year since the intro- launch of the group’s latest duction of the tobacco Wine Festival promotion. The display ban, retailers have convenience group is offer- reported that premium ing special deals on own label brands are bearing the and branded goods, including brunt of a fall in sales. bottles of Blossom Hill at £3.99, Dennis Williams, owner along with PoS material seen of Broadway Convenience here displayed prominently at Store in Edinburgh, said its Nisa Mauldeth Road store premium brands have in Manchester. Harry Goraya, “dived” as customers look owner of Nisa Local in North- for value for money. fleet, Kent, said: “We’ve had a Trevor Millican, of S&A good response to the festival so Superstore Premier in Ut- far, with a lot of people enquir- toxter, said: “Our tobacco ing about the deals.” sales have gone down from £6,200 a week to £5,300.” Meanwhile, retailers said they fear a further decline Government strategy gets a guarded welcome ‘Resources are needed to make this work’ with EUTPD II legislation being phased in from next month. “When they bring in the new minimum More resource needed for weights for cigarettes and tobacco, people will end up making fewer visits to the store and we’re bound Home Office crime plan to lose out as basket spend will go down,” said Steven Parrott, of Aerolite Garage by Steven Lambert Measures in the strat- this for it to be efective. If Steering Group. “We need in Norfolk. egy include creating local they haven’t got enough better working relation- Retailers and trade bod- partnerships with councils ofcers they will struggle to ships between retailers and ies have welcomed the to prevent alcohol and drug- make this work.” the police, based on good launch of the government’s related retail crime from an Mr Patel’s call follows reporting and a swift police Sugar tax Modern Crime Prevention earlier stage, and looking at this month’s Association of response to reports on Strategy (MCPS), but claim ways to curb growing levels Convenience Stores’ (ACS) crime,” said Mr Lowman. battle lines more police resources are of fuel theft from forecourt Retail Crime Report, where Paul Baxter, chief ex- Chancellor George Osborne needed for the measures to sites. shadow police minister ecutive of the NFRN added: has challenged soft drink prove efective in curbing Ralph Patel, national Jack Dromey revealed forces “We welcome any measure companies to “bring it on” retail crime. president of the NFRN, said had shed 18,000 ofcers that helps to protect our following reports that man- Launching the scheme he “applauded” the govern- over the past year. members from crime, but ufacturers are planning to last week, home secre- ment for its focus on retail James Lowman, chief ex- there is much more that take legal action against the tary Theresa May said the crime. However, he added: ecutive of the ACS, said the needs to be done on this. new sugar levy. MCPS will be used to help “The police are facing more association was working We will continue to put Mr Osborne announced authorities tackle new and administrative pressures closely with the govern- pressure on MPs and PCCs a tax on soft drinks during developing crimes against and cuts, and more re- ment on the MCPS as part to make sure retail crime is his spring Budget, which businesses. sources need to be put into of the National Retail Crime pushed up the agenda.” will add as much as 24p per litre to high-sugar products. Companies including Coca-Cola Enterprises and Costs and recruitement cut to conform to NLW Britvic are understood to be preparing to fight the mea- Retailers have cut costs £7.20 hourly rate for over-25s. had been trying to cut costs many other stores,” he said. sure through the European and abandoned plans to The wage increases will by working to reduce the Meanwhile, Blakemore courts.