for everyone at the Sainsbury Group • for everyone at the Sainsbury Group • for everyone af Sainsbury's 11-14 nose how to fundraise hair-raising tales from Red Nose Day heroes' 16-17 return forward Local Heroes is back grape 24 expectations raise a glass to Sainsbury's Wine Fair ByJonHartland, retail change director Welcome to the May issue, whiich focuses on our eatures efforts to improve ctieckout service. time to get fresh Service is one of ttie core elements of our strategy 6 news 3-5J0J5 and is absolutely central to our brand and the targets summer's on its way and products 7 we've set ourselves this year. The great service f resii food is on the menu initiative is essential because when we've been letters 18-19 compared with our competitors, we've often fallen short around front-end service. cracking the 8-9 competitions 20-21 It also emerged in research that what customers checkout challenge down your way 22-23 wanted revolved around some very basic elements of a major investment service. That's why we put the great service package together and conducted the roadshows to engage in checkouts will help people in the key elements of service, such as saying colleagues deliver hello to people, bagging the first four items that are scanned to show a willingness to help without being the best possible asked, and then to close down the transaction with a service friendly word. This is tremendously valued by the customer. Unfortunately this is of no use if we don't get to "better than one in front". It's great to do the hello, scan 'n' pack and goodbye, but if that's not accompanied by the "better than one in front" then the value is wasted. So the two elements of the friendly, efficient process at the front-end, allied to the well-managed manning levels of the checkout are inextricably linked to getting service right. So we've invested £10 million in extra labour right ^^urnal across the stores, which will enable us to get to "better than one in front". Colleagues will now be seeing an increased focus on the front-end, from the regional inquiries and store management teams, as well as the for general Sainsbury's inquiries call: 020 7695 6000 additional labour that's gone into the front-end. We've veterans' inquiries call: 020 7695 7190 also set the ultimate test for ourselves by going public to contribute in the media, telling customers exactly what write to: the journal, J Sainsbury pic. Internal experience they'll be getting. Communications, 33 Holborn, London, EC1N 2HT I genuinely believe that within the next six months or telephone: 020 7695 6441 this will no longer be talked about as a target - it will be or e-mail: [email protected] ingrained as the very minimum standard customers [email protected] can expect to see in all Sainsbury's stores. or fax: 020 7282 8062 managing editors: Catherine Rees, Ros Shiel the journal is designed, written and produced on behalf of J Sainsbury pic's internal connmunications department cover story by Citigate Publishing, 25 Finsbury Sguare, London EC2A1SH GET PACKING... Printed by SMP Rebecca Cobby from Hedge End While Sainsbury's and its agents malte every effort to ensure ttiat your prize or shows great checkout service is any reader offer is satisfactory, to ttie maximum effect permitted by law, Sains­ bury's shall not be liable for any loss, mental distress or disappointment you here to stay M suffer as a result of the prize or reader offer not meeting your expectations or satisfying your personal preferences. Queries on prizes or reader offers should be addressed to the promoter. news trading statement shows Sainsbury's stays on track if I were SAINSBURY'S QUARTER-four trading statement showed total 'i boss sales for the quarter in Sainsbury's highlights Supermarkets were up 2.8 per I total sales for year up 3.4 per cent cent* and like-for-like sales up1.3 I quarter four sales up 2.8 per cent* Ricky Barefield, a part-time clieckout per cent*. Meanwhile, Shaw's J llke-for-fike sales up 1.3 per cent including petrol assistant from South Woodford, wants quarter-four sales went up by 0.7 and -1.1 per cent without (adjusted for Easter) bites per cent, with like-for-like sales up I Repos now installed in 308 stores and 129 colleagues to talk to customers more. RATINGS WINNER 0.3 per cent. Sainsbury's Bank petrol filling stations Describing the markets in the has frozen loan I eight new supermarkets, 11 Locals, nine With the UK food retailing market reaching saturation rates for colleagues, UK and US as slower, group chief extensions and four ref urbishments delivered in point, it is important we now try and look at our families and friends. executive Peter Davis said: "We This is part of tfie quarter four. competitive advantages - those characteristics which have delivered steady sales during Bank's pledge to "* excluding petrol and adjusted for Easter make us that bit better than our competitors. provide colleagues the year while making significant We got a chance with the introduction of the with the best rates progress with our business it can offer and Nectar card, and it is obvious that Sainsbury's is transformation programme in the beats any customer capitalising on this. Customers are getting excited rate. To find out UK. In addition, we will deliver £200 transformation programme. With and this will have a direct impact on sales. more, or to apply for million of cost savings and expect to hindsight, in quarter four, we a Sainsbury's Bank But in my experience, it is colleague interaction achieve the double-digit profit probably went too far in reducing loan, call 0800 096 with customers which can really make the difference 0541 quoting growth target for this year, giving promotions and operating costs to between happy shoppers - who will come back - and source code profits (before tax, exceptional achieve the prof it target, at the those who aren't. PL273P or apply items and amortisation of goodwill) expense of sales, in what turned out on-line at Customers frequently ask us about products, and that are in line with consensus to be a soft market." www.sainsburysban this offers one of those key moments when we can k.co.uk/youchoose market expectations. He said that Shaw's performed create happiness - but we often don't. It's not that "During our recovery well in the US despite challenging colleagues are unwilling to help, rather that we are programme, we have to balance the economic conditions and delivered unable to - simply because we don't know enough need for profit growth with sales better like-for-like sales growth than about the products. growth while incurring significant many of its competitors. Naturally, we can't expect every colleague to costs in implementing our business * excluding petrol and adjusted for Easter know every detail of every product but - without plagiarising our competitor's slogan - everything "spp helps! I would initiate a basic training course. This is, of course, made unrealistic by high staff celebration ^^* turnover. I would do more to encourage colleagues to stay. This could be achieved by building higher morale cakes rise to and motivation. And it would also help with customer interaction. How about making colleagues more aware of figures in their store? I would : CELEBRATION CAKES are getting show them sales figurp<;fnr i better - and customer cornplaints their store each weel^ played a key role! explaining what they 1 Jack Goldsmith, quality manager and how they related to tt for cakes, has been assessing the previous week. And I quality of Celebration cakes, and wouldn't just put thei customer complaints form an a board or in a book, I'd important part of this review. actually discuss them. Individual The cakes looked good but performar customers weren't happy with the targets Wi eating quality - up to 70 per cent of provide superior quality. havegrea complaints commented that the And the result is a decrease in significanc cakes were dry and stale, confirming customer complaints of up to 80 per and higher ' what Jack and his colleagues were cent - a real cause for celebration. alreadythinking. Said Jack: "We are passionate Clearly the products needed to about providing high-quality be improved. But it was no easy task products and I am delighted that we to improve product quality without have been able to improve having to reduce the 21-day shelf life Celebration cakes. It's really and thus risk increasing stock loss. important for us to capture So Jack worked with suppliers to customer complaints so that we can develop a new recipe that would provide the quality of products our meet the required shelf life and customers expect." news retail eye a pizza the thejournalls keeping an eye on the retail world as reported in the national, trade and regional press. action J Sainsbury's to You has taKen E10.4m of business MAM A Ml A - customers at Stoke- from Tesco.com. Customers a(so switched to on-Trent's new Savacentre are Sainsbury's to You from Asda, Safeway and Iceland, queuing up for the Italian pizzas according to data from TNS covering the 52 weeks to baked in-store at Sainsbury's first 2 February. Sainsbury's to You orders are now ever authentic Italian pizza bar.