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Booker Symbol

Insight on shoppers: insight on stores

July 2018

© IGD 2018 The UK’s biggest symbol network

Premier the biggest single fascia

Now encompassing over 5,600 stores the Booker retail symbol network has twice the number of the next largest or convenience chain in the UK. Total combined estimated retail sales are now £4.5bn. Operating a portfolio of four fascias Booker Booker symbol retail: store numbers symbol has a breadth of offer to meet the needs of a wide range of differing retailer 2017 2018 change needs comprising: Premier* – flexible entry level package for Premier* 3,332 3,343 +11 small stores with supply from cash & carry depots 1,826 1,957 +131 Londis – fully-serviced package for smaller stores supplied through Booker Retail 159 226 +67 Partners distribution network Budgens – Tailored support package for Family Shopper 63 75 +12 larger stores including an emphasis on fresh Family Shopper – A value-focused package Total 5,380 5,601 +221 offering neighbourhood discount format

© IGD 2018 Source: IGD Research * Includes Premier Express fascia variant Page 2 What defines the Booker retail symbol shopper?

Top shopper Top-up is the leading mission across all missions in three fascias Tobacco/lottery/news is the second most frequent mission in Premier and Londis

Budgens has significantly the largest incidence of evening meal missions

Premier has the highest incidence of food- for-now missions

% of shoppers on last trip shopping for Premier Londis Budgens Top-up 45 50 59 Evening meal 15 13 35 Food-for-now 26 15 18 Tobacco/lottery/news 41 42 29

© IGD 2018 Source: IGD ShopperVista Page 3 As Booker looks to the future, and the new possibilities presented by its tie-up with Stores of the , we visited three of its most recently redeveloped symbol retail stores. These ‘stores of the future’ show how the Premier, Londis and Budgens packages are being evolved to build on their core strengths and extend their capabilities to target new, future and wider, sales opportunities. As well as enhancing the individual brand attributes of each Booker is increasingly seeking to leverage the joint scale of its fascias to more effective activity from a wider combined platform.

77-79 South Bridge Road, Hull 129-133 Woodhouse Street, , Basingstoke Road, Three Mile Cross, HU9 1TL LS6 2PY Reading, RG7 1BA

© IGD 2018 Source: IGD Research Page 4 Targeting the evening meal opportunity

Traditionally ranges in Premier and Londis stores in particular have lacked credible capability in ranges targeting evening meal missions. However, 2017 saw Booker launch a significant new private label offer in chilled prepared foods under the ‘Discover the Choice’ umbrella, providing a major new platform for targeting these needs. This, boosted further by lines imported from Tesco, is now available across the entire Booker symbol retail network. And supported with ‘meal deal’ and ‘mix and ’ activity the range gives retailers easy-to-execute value solutions to drive the development of this key sales opportunity. These mechanics are supplemented by stronger meal deals in frozen mixing both branded and private label lines.

© IGD 2018 Source: IGD Research Page 5 Targeting the food-for-now opportunity

Zoned within easy reach on entry, stores now bring together extended ranges relevant to food- to-go missions. As well as chilled and fresh lines such as sandwiches, pastries and patisserie this includes single serve snacks and confectionery, Premier plus pot noodles and porridge pots, with hot water supplied for preparation. Fresh coffee is now a central plank for delivering the mission in all three fascias, and dedicated locations highlighted with lighting and surrounds ensures an eye-catching presence. Retailers are able to select from a variety of owned and third-party coffee solutions as suitable to their customer bases and catchments. While a branded third party solution can provide strong credibility, an in-house alternative installed in the Premier store allows more flexibility for delivering value. In addition to offering a low regular price-point the retailer is also able to offer a loyalty tag to customers, offering a further discount to drive regular footfall.

Londis

© IGD 2018 Source: IGD Research Page 6 Stores targeting Opportunities expanding local and You can support the evolving ranging and daily shopper merchandising disciplines with products that missions requiring contribute to relevant shopper missions, offered for suppliers ‘new’ category in the most relevant pack sizes for the small store capabilities basket shopper.

A growing chilled With chilled and fresh products taking a bigger and fresh-led role in many shopper baskets, innovation in these offer with categories is key to driving ongoing sales growth, prepared foods creating compelling reasons for repeat visits. gaining scale

ShopperVista can help you understand how Meet shoppers’ Booker symbol, retail shoppers define quality differing value and value; how you appropriately expectations communicate your proposition is key to delivering growth.

Target higher Adapt your strategy to post-millennials, their key spending, missions and tastes. With post-millennials more ‘millennial’ likely to shop everyday for food-for-now, and food for shoppers later, they also over-index in functional diets for health and lifestyle.

In these high traffic environments you can play a Speed and ease role with product and merchandising solutions of selection is that provide easy choices, like meal deals and critical to the dual product siting; help maximise shoppers’ time growing shopper in store and boost basket size. missions Premier

© IGD 2018 Source: IGD Research IGD Convenience Retailing Summit 18

26-27 September 2018 etc.Venues, County Hall

Understand Booker’s key priorities for its symbol formats and what they mean for your business at the 2018 IGD Convenience In a dedicated 1 hour ‘retailer in focus’ session hear from: Retailing Summit. • Steve Fox, Managing Director, Retail Find out more • Andrew Peek, Trading Director Booker Retail Partners • Martyn Parkinson, Brand Director – Premier • Martin Swadling, Brand Director – Londis • Mike Baker, Brand Director - Budgens sharing their vision for continued growth. Book now » • What is driving sales growth in Booker symbol retail and how you can access this opportunity? • Learn about Booker’s plans for the convenience channel for 2019 and beyond

© IGD 2018 Page 8