April 2007

TEMPTING TAKE-AWAYS FRESHENING THE FRIDGE BOXED HOME THEATRE DAIRY WITH A DASH TAKING A UNIFORM APPROACH FOREWORD

Welcome to the April 2007 issue of the INformer.

It’s been great catching up with members in the capital cities during the last two months. I love getting out on the road to meet and talk with you directly and it is also good to renew friendships outside of the national conference.

By your feedback, business continues to be good. The members in regional Australia needn’t feel they have missed out. We are planning the same roadshows for you during July and August, so again I look forward to catching up with you all.

UCB continues to grow and, also importantly, to grow in respect from suppliers. They are very important. Without their support we would all be where we were a few years ago, depending on the local salesperson (who hasn’t got the time) to give us the information and support we need to run a successful business and compete against the big boys.

I am very pleased with how Simon, Andrew and Fred under the direction of Darren are making the monthly promotional program better and better. I am sure you join me in thanking them for the effort they put in on your behalf to give you the edge in monthly specials.

Remember we are only as good as your continued support of the monthly promotions, so keep building those displays and getting your staff to up-sell the specials to your customers. By the way, don’t forget to give us feedback. Good or bad, we do really take it on board.

The roadshows we have been holding have focused on the results from the customer research we under took with HIM Australia called Convenience Tracking Program (CTP). The key results from this survey are:

• Fast processing of customers – two is a queue! Focus on this in your store. Have a bell to alert any staff members doing stock work that they need to come to the counter to serve customers. • Friendly staff – get to know your regular customers. They’re 10 per cent of your customers but 25 per cent of your shop sales. • Three key products – make sure you’re never out of stock of milk, bread and Reg Johnston newspapers. Over the coming year, you will see us working with suppliers to help make sure we are in stock of these items – always. The average shop purchase is worth $8.65 yet the average shop purchase of the bread and milk shopper is worth $25. Imagine if you could increase the percentage of shoppers purchasing milk and bread from your store from the present two per cent to four per cent and double this to around eight per cent. What would that do for your shop sales? This is an achievable increase without having to chase any more customers! • Our key customer is the tradie, so make sure you have a good pie offer available from early morning. At our own site at Wetherill Park, we sell more pies and pastries before 10am than we sell after 10am. These tradies also buy lots of flavoured milk, soft drinks and – if you have good coffee offer – coffee.

So we hope you are excited as we are about using the CTP data to improve your customer spend in your store.

Don’t forget the national conference this year: October 30-31 at Conrad Jupiters on the Gold Coast.

I hope you enjoy this edition of the INformer and I wish you profitable retailing.

Reg

2 the INformer

4 Real Fruit UP&GO I SANITARIUM

5 WIN 1 of 3 Pool Rooms I ICE BREAK

6 Make Mine Milk

9 An Australian first from an Australian brand I DAIRY FARMERS

10 The best in boxed sound I 13 Happy 1st birthday I COCA-COLA ZERO 13 14 Refrigerated Refreshment

16 Real bean expresso coffee I THE ESSENTIAL CAFE

17 Red Embers NEW bakery range I RED EMBERS

18 Taking care of take-away I

23 The NEW Four’N Twenty Hungry Man I PATTIES

24 Newspaper sales soar by 20%, UCB members pocket a fortune

25 Get your West Australian stand 25 Fantastic Freebies I MASTERFOODS 26 26 Free bars 1 in 6 WINS I MASTERFOODS

27 Grow your impulse sales I WRIGLEY

28 Making c-store sales I ATMP

30 Smoke Signals

32 60 Seconds with Swanno

34 A uniform approach to marketing

36 Maximise your recharge margin I MILLS DISPLAY

38 What can card connection offer you I CARD CONNECTION

39 Magnum & Liz Hurley – a second burst of the winning combination I 42 STREETS

40 UCB heats up your ice cream sales

42 Fire up your profits this winter I REDHEADS

44 Mother – a force of nature I COCA-COLA

3 4 M ILK M ILK 5 One of the major contributors to the consumer demand for is growth of Manufacturers healthy products. all types of food and beverage are to it noticing this and responding and Dairy Farmers is no exception. in is playing a major role “This trend milk. of flavoured the growth Dare range through its two best range through Dare in NSW and sellers – Espresso Queensland and Double Espresso in Queensland only.” Justin says the category is at a rate of seven per growing with 14/1/07), cent nationally (MAT coming from the fastest growth Queensland (9.7 per cent) where embraced consumers have really phenomenon. the iced coffee the highest growth “Interestingly, in Queensland is in iced coffee new the relatively coming from segment of the dedicated iced the pack-size, where 750ml coffee in value at 16 segment is growing with quarterthis compared cent per a year ago. The larger and more traditional 500ml dedicated iced at is also growing segment coffee per cent.” 10.5 product in NSW convenience. In product October last year we introduced the 750ml pack size for the innovative pop-top designed bottle. National to Justin Finney, According Business Manager – Convenience, for Dairy Farmers, a major reason being the fastest growing for Dare in convenience is due to iced coffee that have hit the products new three months. market within the last 12 Double “The first was Dare 500ml which is now the Espresso fourth milk highest-selling flavoured Dare is the dedicated iced coffee is the dedicated iced coffee Dare brand, and is the highest growing milk in the market (+67 iced coffee latest AC Nielsen per cent growth: The OAK brand 14/1/07). data MAT new look thanks now has a fresh to a new packaging design as well as a new TV and radio campaign, while the Moove brand dominates its the teenage market through wide selection of flavours, pack sizes and pack types – including its Dairy Farmers is one of UCB’s major DairyFarmers UCB’s of one is core suppliers and it has three milk brands to meet the flavoured various tastes and need-states that consumers have. MINE MILK MINE MAKE MAKE an already overcrowded fridge. overcrowded an already For retailers, it’s good news that good it’s For retailers, the category the only is growing; the is knowing who are problem winners in terms of making space in to meet their food and beverage needs. flavoured milk sales. C-stores reach milk sales. C-stores flavoured time-poor and consumers who are want an easy and quick solution Manufacturers are adamant that are Manufacturers the convenience channel is vital for stalwarts fridge, its of the c-store popularity is consistent throughout the year as far as the customers are concerned. Flavoured milk is one of the Flavoured to find out what’s happening… alternative. We talked to UCB’s dairy suppliers and milk is one sure way to get it. For most of us, flavoured milk is a better The dietary experts say we The dietary experts say we need calcium in our diets 6 M ILK M ILK 7 Parmalat is another of UCB’s key Parmalat is another of UCB’s suppliers with a range of flavoured in a variety of pack milk products sizes. sales. While flavoured milk is a flavoured sales. While it pays all year round, favourite to see your own figures to check peak have specific whether you selling times. of flavoured “Given the majority coffee milk sales come from ensure need to variants, retailers on adequately stocked they’re says in particular,” these products the Fonterra spokesman. selling important strong to have “It’s in highly visible shelf products facings. positions with adequate This will maximise sales due to of consumers’ the impulse nature decision making – they see, they like, they buy. “Retailers should understand their own consumers and allocate the number of facings based on how much they sell of each product.” Again, the best advice is to advice the best Again, to maximize stocks on concentrate Fonterra’s leading products in leading products Fonterra’s coffee- sector are the flavoured milk.” flavoured Fonterra has also witnessed strong in flavoured and steady growth years and milk over the past three will continue. believes this trend Part for that is that of the reason milk is a very flavoured non- seasonal drink category. “Due to the impulse nature of “Due to the impulse nature milk sales, P&C is a very flavoured outlet for consumers popular retail for its convenience and ease of flavoured Subsequently, purchase. for milk is an attractive product to supportretailers and capitalise of sales. on the potential growth “Our range is multi-purpose and fits comfortably but the in all categories realised been has growth of majority segment. the iced coffee through share of the flavoured milk market.” of the flavoured share its as Fonterra sees c-stores area potential growth greatest to working with and is committed to maximize that potential. retailers you define “Depending on how majority of ‘convenience’, the from milk sales are flavoured convenience outlets,” says the company spokesman. “Our experience leads us to believe us to believe leads experience “Our drive sales promotions successful market to the target if they appeal for cut-through strong and provide we 2007, throughout so product, the a number of promotions will have will be will that for our products to maximise our strategically placed

spokesman. “Promotions and displays, including “Promotions great point of sale material, are sales drivers,” says a Fonterra There will also be some serious will There activity to go with the promotional changes. range are Calci Yum and Coffee and Coffee Calci Yum range are will be pack Fix, while in 2007 there changes for some of the brands. best sellers being Coffee Fix and FM. and Fix Coffee being sellers best additions to the The most recent FM Flavoured Milk, SupaShake, FM Flavoured Natural Malt Honey & Calci Yum, Chocolate, and Thikshake, with the groups in those areas. in groups The company has a range of Fix, including Coffee products independent company since July last year and is concentrating on within P&C building relationships particularly familiar. has been trading as an Norco For NSW and south-east the names Queensland retailers, will be Fonterra and Norco but it is importanton only to focus when the highest selling product/s displays.” using off-location sales. A good way to do this is to milk in off-location range flavoured displays such as counter-fridges “Getting those incremental impulse “Getting those incremental sales is another way to maximise segments as well as stocking up on segments as well as stocking up on facings the top-sellers by increasing on shelf. stockweight is imperative for stockweight is imperative includes a maximum sales. This variety of brands and flavours to a wide portfolio reach of consumer their fridge to its best advantage. their fridge to its best and range “Having the correct While there’s no arguing the While there’s Justin popularity of the product, will ‘work’ says the smart retailer Cappuccino Iced Coffee – which is – Coffee Cappuccino Iced 98 per cent fat-free.” is well above the market growth the market growth is well above brand Dare fast-growing rate. The variant – Dare a fat-free also has “Our Just Natural brand comes in comes brand Just Natural “Our cent 99 per full fat and two variants, brand is growing and as a fat-free, which (14/1/07), cent MAT at 34 per Australia on (07) 3840 0798 Australia Parmalatnew is confident this flavour will be a delicious success. flash flavour, ‘Breaka’ The current Choc was launched in early Triple this year. March Parmalat Break has a special Ice underway for customers promotion the good news is while for retailers Of The that Pauls’ Community Store is back! Year program The aim of this year’s is to further of raise the profile independently operated retailers Program The community. the across store is aimed at improving and also giving back to standards the community with local charity or sports nominated by club awards for cash incentives. retailers who needs furtherAnyone details on either of these should contact Account Manager Bedford, Jan Parmalat and Convenience, – Petrol ‘Rush’ is also launching a new flash flavour at the end of April. and feedback, Based on research

consumers to the brand and also consumers a give the loyal Breaka new flavour change,” Jan says. definitely not the issue for flavoured definitely not the issue for flavoured milk that some categories, such as subject to.” are ice cream, best Jan says Parmalat’s performers and Ice Break are 750ml now with Ice Break Breaka, outselling Coca Cola 600ml in Queensland convenience stores (value share). “Our unique ‘Flash Flavour’ is designed to bring new program “It’s a trend that will aid in category a trend “It’s development in the medium term. caters Our Rush range of products It is specifically to meet this trend. and has 30 per 99 per cent fat free cent less sugar than other flavoured milks on the market. “But no matter what type of milk is being purchased, flavoured as with other is seasonality there beverages. Summer is the time of highest volume, but seasonality is “Given its nature, though, flavoured though, flavoured “Given its nature, milk does need to be located with those beverages and not away with the white milk.” As with our other experts, says Jan milk is seen by flavoured consumers as a healthier choice than many of its fridge rivals. because it’s competing with other because it’s beverages. refrigeration is the key to growing is the key to growing refrigeration but obviously floor this category, and fridge space is at a premium strong growth in both the iced growth strong low fat market segments. and coffee distribution and impulse Improved “Underpinning the category’s “Underpinning the category’s years has been recent in growth soft drink and flavoured milk is soft drink and flavoured exposure, and more gaining more rather an impulse purchase as more than a planned purchase. – Petrol & Convenience, consumers & – Petrol their beverage expanding are beyond juice, water and repertoire According to Jan Bedford, to Jan Bedford, According Account Manager Parmalat’s Lime, Vanilla Malt) and Rush Malt) Lime, Vanilla (Wicked Choc, Intense Coffee, Latte). Malt and Vanilla The range includes Ice Break, The range includes Ice Break, Strawberry, (Choc, Coffee, Breaka 8 M ILK M ILK 9 THE BEST IN BOXED SOUND

10 Got the popcorn made and supplemented by an additional Actors and catering aside, movie subwoofer cover high notes and low producers usually spend as much the DVD player revved and notes adequately, where they are on the sound of a movie as they ready? ROD EASDOWN weakest is in the mid range, which do on the vision and most home just happens to be where most theatre installers recommend takes a look at home voices fall. their clients do the same; if you’re theatre… spending $5,000 on a plasma The other fundamental weakness screen then you should budget It’s an interesting point about home with cheaper systems based another $5k for the speakers, the theatre systems – when people around tiny speakers is that they subwoofer, the DVD player and the buy their second one it’s usually often don’t go very loud. This won’t receiver/amplifier. You’ll then have a very different from their first. This is seem important to you until you sound system that can do genuine because we humans learn by our start getting into movies, because justice to the screen. mistakes and when most people most movies get a whole lot better buy their first home theatre they with the volume turned well up. Of course there is an argument make plenty of mistakes. A sound system that can’t get for economising on sound too your blood racing during, say, the – a cheap system means you can The first and by far the most helicopter scene in Vertical Limit find out all about home theatre, common is that they don’t spend or Arnie kicking over the Harley in and especially if you like it or not, enough. This is because first-time Terminator II is simply not worth without selling the farm. buyers are always smitten by the having. screen, a big, bright plasma or Here are three systems to get your LCD screen being so much more Arnie’s Harley also shows up the creative juices flowing and get you attractive and exciting than a set of third weakness of cheaper systems, into home theatre, from an entry- speakers and a DVD player. And so low bass. Most of these systems level system under $500 which is they devote almost all their budget have a separate subwoofer, but surprisingly good for the money, to to the screen and buy a sound it’s a subwoofer in name only. one costing more than twice that system with whatever dregs are left Often it contains quite a modest which will sit comfortably with entry- over in the budget. driver which can’t come close to level plasma and LCD screens. creating really low bass, and would From this point on systems can get If you have already made this more accurately be described as fairly esoteric and the best idea is mistake, you are in very good a woofer. You won’t realise this to start talking to specialist home company. It’s one that was first until you hear Arnie’s Harley, or theatre suppliers. made by the Hollywood moguls, no the footsteps of the approaching less, when movies got sound back dinosaur in Jurassic Park, or the in 1927. They equipped their launch of Apollo 13, through a cinemas with little more than a system with a genuine subwoofer. single speaker at centre-front.

Within a year they had realised their mistake, understanding that sound is 50 per cent of the movie equation. A brilliant young acoustical engineer by the name of James B Lansing was commissioned by one of the studios to develop sound systems specifically for cinemas and the company he started, JBL, is to this day the world’s leading supplier of cinema sound systems. It also does some very nice in-home systems from a few thousand dollars to a few hundred thousand dollars.

It takes people at home about as long as it took the moguls to realise they need better sound, and it’s not just a matter of sound definition. Bigger speakers and more power mean better coverage of the full audible range. While most cheap systems with little speakers

11 PIONEER HTZ131 • $499 This is a surprising little performer for the money but it has an interesting twist that will endear it to many – the rear speakers can be placed on top of the front speakers. This means the system can be used as a full 5.1- channel surround system with speakers in each corner of the room, or as a 3.1 system with speakers at the front of the room only, the surround effect being simulated. It’s not as good as the real thing but you don’t have speaker cords trailing across the floor. It has pretty good sound quality, it goes reasonably loud for a $500 system, it’s iPod and DivX compatible and the DVD player is a good one, with first class vision. SAMSUNG HTXQ100 • $799 What we like about this one is the way it looks. Samsung has lately been very good at designing interesting systems and this one is made to complement the great bulk of plasma and LCD screens – and it has HDMI connectivity to work right in with them. But it has another good idea: the rear speakers can be converted into wireless units if you buy the optional radio transmitter/receiver pack at $248. For those living in rental accommodation or units this means you get full surround without speaker cables across the floor. The small speakers, however, limit sound quality and Panasonic offers the same idea in a better sounding package. But it doesn’t look as good.

SONY HTDDW1500 • $1199 The great attraction of this one is that it has generous speakers. Sure they’re bigger than the others but the benefit is that they sound good, and this system sounds excellent for the money. If you’ve counted the speakers you’ll note two interesting things; first there are three rear speakers – yep, it’s a six-channel system with a centre rear speaker – and second is that there are two subwoofers. This doesn’t mean lower bass but it does mean louder bass. The receiver pumps generous power into the speakers too. Interestingly it can also tune itself to an individual room with a reasonably user- friendly automatic calibration feature, ensuring a balanced sound.

12 BEVERAGE S 13 13 S E G A R E V E B

No matter what the season, cold drinks are always a major contributor to the bottom line. We spoke to the major players to see what’s new… REFRIGERATED REFRESHMENT

While Coca Cola is still synonymous Sarah says the newest product – For CCA, the Coca-Cola Trademark with one particular carbonated Mother – is already proving popular (Coca-Cola, Coca-Cola Zero and beverage, it has become so much with consumers. It’s available in a diet Coke) continues to perform more of recent years. 250mL can or 330mL glass bottle. strongly, holding 50.9 per cent, 7.6 per cent and 10.9 per cent The company’s portfolio in c-stores “Mother is our new energy drink volume share respectively of all soft includes names such as Coca-Cola, offering which launched in January. drinks in the convenience channel Coca-Cola Zero, diet Coke, Sprite, It has a juice base and provides (*ACNielsen Conv MAT 24/11/06). Sprite Zero, Fanta, Powerade, consumers with a great tasting and Pump, Pumped, Mt Franklin, natural energy boost from active “We’re also strong in other drink Nestea, Mother and Fruitopia. ingredients such as guarana, segments,” Sarah says. caffeine, ginseng and acai – but no According to company preservatives, artificial colours or “Powerade is the leading sports spokeswoman Sarah Kelly, Coca- flavours. drink in convenience, holding 54.2 Cola Australia is committed to per cent share of all sports drinks meeting a wide range of consumer “With its 100 per cent natural while Mt Franklin is the leading lifestyles and refreshment needs. energy, Mother provides a potent packaged water brand, holding energy boost but is low-GI to give a 44.2 per cent share of all packaged “Whether they are looking to longer lasting energy high.” water (*ACNielsen Conv MAT energise, hydrate, nourish, relax or 24/11/06). simply enjoy, we have a beverage Sarah says the new beverage is for any and all occasions. Water, aimed at males aged 18-24 and is “Convenience is a key channel diet carbonated beverages, indicative of the growing energy for many of our beverages and carbonated beverages, juices, tea category. CCA is supporting the certainly vital for the energy drink and sports drinks are all included in launch with a multi-million dollar category. Energy drinks tend to our portfolio of beverages.” multi-platform marketing campaign. be purchased from immediate

14 BEVERAGE S 15 15 ** UCB’s category manager, Fred Fred manager, category UCB’s ** upgraded recently Pacchiarotta, site. web the on planograms drink market on based are POG These average categories, sub of share on supply days and sales weekly nine to through door Five shelves. now are POG coolroom door www.ucbstores. See available. com.au needs are being met throughout being met throughout needs are the day.” significant share of the beverage share significant categoryshifts in shelf mix, but the not kept up with space have categories. of the growing growth performing“Ensuring the star appropriate categories receive of space will help accelerate share For example, open growth. retailer drinks to up space for energy growth accommodate aggressive of the category and maximise retail V flavours sales. Range different energy the consumers’ to ensure “Categories like energy, water and water and energy, like “Categories sports a have all gained drinks had 46 per cent value share of had 46 per cent value share beverage sales, but for the current share. it has 34 per cent MAT www.ucbstores.com.au need to be Chris believes retailers in the category trends if of aware going to get the best out of they are their fridges. “Whilst CSDs is the largest segment is flat and in beverages, growth of beverage sales is its share declining. Five years ago CSDs had two water products launch in launch had two water products – Mizone Active November last year without flavour, is a functional water consumers the benefit providing unflavoured of B vitamins in an lemon lime is a water while H2go alternative for consumers flavoured their water.” who like taste with categories, with products that offer offer that products with categories, star been have benefits, functional performingboth categories and over doubled in size have nearly years. three the past new launched have recently “We We to meet this demand. products www.2go.com.au The energy and sports drinks “For example, the water category has been experiencing strong the past few years. for growth alternatives has played a huge role beverage the of diversification the in category. Chris says consumer interest Chris says consumer interest healthy in, and demand for, segments like RTD teas, albeit only segments like RTD one per cent of beverage sales, will continue to develop and grow.” with star performing categories like sports drinks and water energy, continuing as big drivers. Emerging “We believe beverage growth beverage growth believe “We current stable around will remain over the year ahead rates growth – where the growth fell to 2.0 per the growth – where per 12.8 from MAT cent in current MAT. cent in previous the major driver of the deceleration the major driver of the deceleration was the largest segment – carbonated soft drinks (CSDs) “The deceleration happened across “The deceleration happened across most beverage segments, however Scantrack, Australia Convenience to 14-1-07), including UCB, MAT the previous down significantly from per cent. of 18.9 growth MAT “Total beverages slowed to 8.1 “Total per cent last year (AC Nielsen development of the flavoured water development of the flavoured segment and Mizone is a pioneer in water. functional and flavoured Business Manager, V energy drinks Business Manager, a star performerare for Frucor, while H2go flavours have led the arrival of V Berry energy drink in bottles. 250ml cans and 350ml to Chris Burgon, National According with the addition of Mizone Active with the addition of sports and h2go lemon-lime water while the start of this year saw the Danone Aqua and Evian. Danone Aqua and was boosted Last year the range h2go pure and flavoured waters, and flavoured h2go pure water, h2go sparkling flavoured Mizone sports waters, G-Force, Frucor Beverages is another major is another Frucor Beverages with to UCB refrigerators contributor V Energy drink, such as products consumption outlets by the target the target outlets by consumption the go’,” ‘on are who audience Sarah says. BEVERAGES 16 TAKE-AWAY 17 17 Y A W A - E K A T

TAKING CARE OF TAKE-AWAY

One of the greatest products (see below for more information on these two conveniences a c-store manufacturers), Sanitarium Up & can offer its customers is Go, Aussie Bodies Protein Revival, Nachos to Go, Mainland on the Go food to go. The better the plus a range of muffins, cookies food offer is handled, the and slices.

better the business. According to Sam Haritos, ACF’s National Business Manager for They say the way to a man’s heart the P&C channel, the company is through his stomach. It’s also has been busy over the last few true for women, particularly in these months, launching the MicroEasy time-poor, super-busy days. range mid-way through last year and a number of new products due Takeaway food has new appeal for to be launched over the coming a wider range of customers and months. when it comes to good tasting and good value food, UCB is well “Our best selling products have supplied by three of the best and certainly been the Connoisseur most experienced companies in Sandwiches especially since the Australia: ACF, Mrs Macs and start of last year when we moved Patties Foods. We talked to their from a plastic wedge container to experts. the current cardboard container.

The Australian Convenience Foods “Last year, the industry’s main Group (ACFG) manufactures and focus was on fresh sandwiches distributes a wide range of products which enjoyed double digit growth to UCB, including Connoisseur with most customers and we Sandwiches, Aussie Hero expect this year to be a repeat of Hamburgers and Long Roll last year with continual focus on products such as the best selling sandwiches.” Roast Chicken Roll, MicroEasy Meatball & Chicken Teriyaki Subs, While many categories have Bakery Xpress Cheesecakes and noticed an increased demand for Chocolate Mousse and DeliAlfresco healthier foods and have matched Heat & Eat Meals such as Lasagne. this by developing new products and re-jigging old favourites, Sam The company also distributes a says it’s not quite that simple with range of other manufacturers some of ACF’s products and their products including Mrs Mac’s Pies, consumers. Patties Four ‘n Twenty Range of

18 Y A W A - E K A T

“For sure, consumers are looking for healthy products to eat, hence the growth in the sandwich category, but in some cases consumers aren’t prepared to trade off taste for low fat. As long as the perceptions are that the product is healthy and it delivers in taste they are happy to purchase.

“We have had a 97 per cent fat- free chicken sandwich in our range since the middle of 2004. If low fat was high on consumers’ preference it would be our number one seller and it is far from being that.”

Sam says the best way for retailers to get full value from ACF products is to take a real interest in, and understanding of, the food service category.

“They need to understand that to grow sales they need to factor in a wastage percentage that is greater than other categories. If you do not factor a wastage percentage of between 10 and 20 per cent, you do not stock sufficient stock to maximise sales.

“The good news for the readers is that ACFG is focusing on product development this year. We are working on a product range that will lift the bar in the food service category and we will have more news for UCB members within the next couple of months.”

19 Y A W A - E K A T

MRS.MAC’S

Mrs Mac’s sells a range of meat ‘share of stomach’ in what is a very “One of the difficulties is that pies, pasties and sausage rolls and competitive market, Merilyn says. decisions on food choice are often claims to be the biggest supplier to based on emotion rather than the route trade, particularly The company’s best sellers include good science, and with all of the c-stores. Mrs Mac’s Traditional Beef pie, a media hype it is difficult for both perennial favourite and the Giant consumers and manufacturers to The company policy is to introduce Sausage roll, which has been the top separate the fact from fiction and a number of new products every seller for several years, due largely to develop offers that appeal to real year to help keep the category fresh its price point and convenience when needs. and stimulate interest, the latest eating on-the-run. success story in 2007 being the “Mrs Mac’s has a nutrition policy new Cruizer pie. The Cruizer is a “Also responding to this demand is that has a number of clear goals Premium Steak pie with a unique the Premium Steak Cruizer, which to ensure that our products remain shape ideally suited to eat on the was launched last year. It’s now our relevant. We are working towards go. 4th biggest seller overall, providing improving the nutritional profile of premium diced steak in a great new our existing lines (low trans fats According to marketing manager ‘sub’ shape for mess-free eating.” etc), reformulating existing lines Merilyn Elson, the range will be to offer a lower fat alternative in expanded over the coming months While the majority of Mrs Mac’s some cases, and developing whole with a Beef, Cheese and Onion products are sold hot out of new products which have a lower Cruizer pie the first to market in late warming units, Merilyn says many energy content or other nutritional May. This is the first layered Cruizer c-stores are now also selling benefit. pie type on the market. individual units from the chiller or refrigerator to take advantage of “The over-arching goal is to ensure “The key drivers to consumer different purchase occasions. that the products are tasty and purchase are still health, convenient to serve and consume.” convenience and indulgence, so Merilyn says Mrs Mac’s is well we’re planning new lines to meet aware of the trend towards healthy Another trend that Mrs Mac’s is these needs and offer something eating and one they are watching keeping an eye on is taste trends new and innovative to gain a closely. from overseas.

20 “The trend towards more authentic to the console operator are easy Merilyn also suggests that retailers Y A W A - E K A T ethnic offers is gaining momentum ways to increase sales volumes. stick with trusted brands (“we have all over the world as consumers a loyal following that ask for our travel more, eat out at restaurants “It’s also vital to keep the pie product by name”) and says the more, and like to be adventurous warmer displays clean and as full company has a number of exciting with their eating. Popular flavours as possible at all times. It helps to promotions this year in line with internationally are Italian (the most increase the profile and make the new product launches. Details popular flavour in the world), Thai, whole offer look more appealing will be made available to UCB Indian and Greek. and ‘fresher’ – and nobody wants to members as soon as they have buy the last sausage roll in the pie been finalised. “We see these trends being warmer. adopted in the savoury pastry category. This is already being “Open merchandising units such evidenced in our new gourmet as our exclusive Hot Hold unit Red Embers range, with the mix look much more appealing and including exotic flavours such as welcoming to consumers, with the Greek Souvlaki, Chicken Laksa and bonus of easier product access, Beef Rendang.” and many sites are getting good sales results from introducing Asked for her advice on the best bakery display units. way to maximise product sales, it’s not surprising that Merilyn initially “These have a more premium, sounds like a real estate agent. café style feel and get away from the ‘servo pie’ image of the past. “Location, location, location!” she Our new Red Embers range of laughs. unwrapped products is really attractive and appeals to a wider “The majority of pie purchases are demographic than the traditional impulse driven, and having pie blue collar male pie eater.” warmers highly visible and adjacent

21 Y A W A - E K A T According to Mark Connolly, terms of hot food ‘on the go’. All our marketing manager for Patties c-store products are individually Foods, 2006 and 2007 are exciting wrapped for ease of preparation years for the company with a and serving from the warmer.” number of new products here and on the way. Mark says the category is experiencing steady growth. “The Four’n Twenty Traveller Pie He believes traditional products has been a great new product and well known brands continue to range and it’s now available in be the foundation for the category, Beef, Chicken and Vegetable, Egg whilst innovation such as the and Bacon and Pepper Steak. The Traveller Pie and King Island Beef Traveller pies are easy to eat on the Pie have catered to changing go and perfect for today’s hectic consumer needs and have driven lifestyle,” Mark says. growth.

“Our Herbert Adams King Island Other categories have noticed a Beef pie has lifted the bar for trend to a demand for healthier the category in terms of product foods and are working to meet that quality. It features tender chunks of demand, and Patties is no different. King Island beef in a rich gravy, all encased in Herbert Adams famous “We believe the pie/pastry category flaky pastry. continues to deliver strong growth on a high baseline, so the category “The big news is that our exciting is still relevant in the eyes of the new Four’n Twenty Hungry Man pie consumer. There will always be a will be available nationally from this place for a pie in a well balanced month (April). It’s 60 per cent bigger diet (and lifestyle) however the at 280g, and will be supported by Traveller range of products is national TV advertising. We also reduced in fat and salt and have a range of Four’n Twenty includes the Heart Foundation tick Jaffles available in the coming of approval. months with the initial flavours being Ham & Cheese and Baked Bean. “Taste, hunger satisfaction and convenience are what consumers “And under the Herbert Adams are seeking from this category, brand we are releasing a Quiche and whilst the advent of increased Lorraine, Mexican Pie, Cornish choice such as ‘fresh’ sandwiches Pastie and a King Island Beef & is good for consumers, pies and Red Wine Pie.” hot pastry products are a traditional Aussie favourite, and I believe will continue to be so in the future.”

Mark has some words of advice for retailers wanting to capitalise on this popular category.

“Make sure you locate your pie PATTIES warmer in a well-lit, high-traffic area, keep it clean and inviting Patties Foods has an extensive Mark says the company’s best looking and well stocked. That range of products in c-stores under sellers are the core range of stock should be the well-known the Four’n Twenty and Herbert Four’n Twenty products (Meat brands and you need to promote Adams brands. Pie, King Size Sausage Roll, King them effectively so the customers Size Meat Pie and Traveller Beef) know that they are in stock and The Four’n Twenty range is high with the mixed cartons and the ready to go.” volume, mainstream products Herbert Adams range experiencing which are great for the everyday, excellent growth. blue collar male consumer while the Herbert Adams range is a more “C-stores are extremely important premium range, with garnishes, to our business, as we see more crimping and a variety of excellent and more consumers looking for the flavours. convenience that c-stores deliver in

22 TAKE-AWAY 23 24 Y R E N O I T C E F N O C

To obtain your West Australian Stand please request through your Delivery Agent or phone 1800 811 855.

FANTASTIC FREEBIES

Free Bars is one of the most successful promotions on the confectionery calendar and promises to be even bigger again in 2007!

Driven by two icons of the industry, the MARS® and SNICKERS® brands, Free Bars will continue to build anticipation and excitement for consumers by giving them a one-in-six chance of winning a Free Bar.

This year’s promotion will see over $4 million of prizes won by consumers, with more than 2.2 million Free Bars given away. Consumers can also SMS for their chance to win an iPod nano, with 160 to be won across Australia!

Free Bars will also be supported by a 15-second TVC in early May to build consumer hype and awareness and will be shown during programs such as The OC, Prison Break and MTV.

Make sure you don’t miss this exciting opportunity!

25 CONFECTIONERY 26 CONFECTIONERY 27 Customers make their purchase decisions based on their perception of the service, the feel of the store and the shopping environment and whether they recognise the product.

Statistics have been quoted from customer surveys that indicate over 56 per cent of customers didn’t purchase any product in the store because it was either out of stock or they couldn’t find it.

Many of these customers probably wouldn’t have bothered asking the store staff for that product either. They have probably experienced a lot of poor product knowledge MAKING and service in the past, so if they can’t find it quickly and easily, they will leave without making any purchases. If they couldn’t find the product they came for, there is C-STORE very little chance that they will be interested in an ‘impulse product’.

As c-store operators we need SALES to ensure we can satisfy the customers’ shopping requirements and then be able to offer them a PRODUCT KNOWLEDGE – WHERE DO YOU GET IT? range of impulse products and promotions.

This is the basics of retail revenue growth – satisfied repeat customers who appreciate that we have their core demand requirements as well as a range of other retail products to satisfy their impulses and to get value for money.

But, if customers have an expectation that you will have their ‘demand – top up’ product, they also have an expectation the retail staff will know about the product they sell.

We all know it is probably a waste of time to ask a supermarket cashier or checkout operator about the products they sell. However, when we enter a convenience store as customers ourselves, we always

28 look for the service attendant when Clean fuels, power enhancers, are impressed by the effort which in we have a question. environmental benefits etc. have turn gives the service attendant a given us more to discuss with our competent feeling. The information we request ranges fuel customer. from price and best in the range Look around your store, ask other to the most popular with other When a customer asks us if we staff, read the packaging when you customers. The more involved have a product in stock or where it complete tasks in the storeroom or product – such as engine oils at is in the store, they do not want to out in the store and think about how service stations – requires attention hear answers like: you can simplify that information to details, as one product doesn’t fit to advise a customer quickly. Your all, like a jar of coffee. You need to “If we have it, it should be down the customers will appreciate your know how they will work in particular back of the store.” expertise and sales are improved cars and if we don’t know we must when the customer’s questions can know where to find out. This is not very helpful to the be answered without fuss. customer. A good service operator Knowledge of products and the will know exactly what products specifications customers ask they sell and where they are atmp has a number about comes with time but also merchandised in the store. You needs some effort on the part of should be able to tell a customer: of training programs the service provider. Researching that can be products to find the information is “Yes we have some. They are in the an ongoing process. back row, on the right hand shelving purchased ‘off the bay, on the top shelf.” Some tips and hints can come shelf’. atmp can also from fellow staff who have been And if you aren’t busy at that time in the game for some time. They you would even show them. Now ‘tailor’ an induction often pass on the benefit of their that is true convenience service. experience with customers and the program to suit the types of questions they have been Familiarising yourself with what individual business. asked. It is important to ask them if your store stocks is the first we need support. priority in gaining the information Give us a call today your customers will ask for. Seek Product packaging is a good assistance from the store managers (03) 9397 1656 source of information and with and supervisors as to what training most oils there is usually a manual, you can undertake. – training is an quick reference material or hotline to obtain the latest recommended Bear in mind, your knowledge investment in your product for the customer’s make, expectations extend beyond the future. model and even year of car products on the shelves. Sometimes manufacture. customers ask for your assistance on local information: “Which way Customer feedback is another to a particular attraction”, “where area of product information. Our is the shopping centre, hospital or customers discuss food items or parks” etc. drinks with us all the time, “love the taste of that new energy drink”, Being able to provide this “those muesli bars are gluten- information has often resulted in the free”, “these chips go great with grateful recipient purchasing goods dip”. Passing on these types of before leaving as a thank-you – and comments is quite acceptable if you they also talk up your store’s friendly haven’t tried the product yourself. service to their friends.

Even our fuels these days Product knowledge is easily have product information that obtained if you make the effort to customers may wish to know about. look, ask and research. Customers www.atmp.com.au 29 S E T T E R A G I C

SMOKE SIGNALS

Tobacco legislation is constantly changing. If you’re finding it hard to keep up with what the law requires, UCB category manager Andrew Flynn has this update. However, please be aware that any information carried in the INformer is only a guide and should not be relied on as a full statement of the facts.

We strongly urge you to log onto your relevant state The area will be measured government website (see full list below) and keep horizontally from the outside edge yourself up to date on the tobacco legislation that of the first product in the top row to the outside edge of the last product affects you. in the top row, and vertically, from the top of the product in the top row to the base of the product in the bottom row. It includes any space Health concerns have seen a at this time. Visit www.dms.dpc.gov. in between. gradual but ongoing tightening of au for the current regulations. the regulations governing tobacco Displays display and sales in Australia. SOUTH AUSTRALIA The rules governing the specifics of The license fee to sell cigarettes the display are also very clear and Each state government has its own has increased to $200 from January include the fact the display cannot legislation on the subject and the 1 this year while the new display be located on the service counter best way of ensuring you comply changes will take effect – without or accessible to customers. is to check regularly. Unfortunately, any grace period – from November ignorance is no excuse and the 1 this year. An overhead unit can be used as penalties are heavy. long as it is 1.7m above the floor Retailers with between one and and isn’t used in conjunction with a VICTORIA three square metres of tobacco will rear wall unit. The current regulations expire in be required to display an A3 size October this year and Vic Health Graphic Health Warning poster. Only one pack facing is allowed was seeking submissions for Retailers with less than one square per product line. You can have a consideration up until the end of metre of tobacco will be required 20s and 25s of the same product February. to display an A4 size poster. The but not the hard and soft pack of restricted display area includes all the same size and variant. It isn’t envisaged that there will tobacco products: cigarettes, pipe be any changes to the current tobacco, cigars and roll-your-own. Any product on display must be legislation to affect the P&C channel available for sale – no empty packs

30 CIGARETTES 31 31 www. www.health. www.nt.gov. .) www.health.qld.gov. www.dhhs.tas.gov.au/ www.health.vic.gov.au/ Tasmania: Tasmania: agency/pro/tobacco/index.php Northern Territory: au/health/healthdev/aodp/tap/ smokefree/index.shtml Western Australia: tobaccocontrol.health.wa.gov.au RELEVANT WEBSITES RELEVANT Victoria: tobaccoreforms South Australia: www.tobaccolaws.sa.gov.au New South Wales: nsw.gov.au/public-health/health- promotion/tobacco/info.html Queensland: au/atods/tobaccolaws/index.asp (The Queensland Department of Hotline: Health also has a Tobacco 1800 005 998 ensure they are only selling to only selling they are ensure licences and with valid retailers to see those can request the DOH records. An information booklet outlining was available for requirements The as of early March. retailers example of a photo below is an that has had its existing store WA by BATA display modified cigarette tobacco display to comply with the restrictions. metre) (one square informationis available from More www.tobaccocontrol.health.wa.gov.au It’s the wholesaler’s responsibility responsibility wholesaler’s the It’s to records accurate to maintain an outlet to act as both retailer and an outlet to act as both retailer sub wholesaler but the site must apply for both licences. Licensing two types of licences in are There and retail (wholesale and retail) WA can only sales of tobacco products be made by a person holding a licence. retailers licence is A separate retailer’s for each outlet with the fee required $285 for the first year being around per year after that. and $185 The Department of Health will allow Pricing up Price tickets or price boards in size are metre to one square allowed but price discounting cannot be advertised. Price ticket colours must be one product consistent to prevent being highlighted over another. Signage to be health warning signs are Two display (at time displayed near the on style) of writing, no clarification about sales to as well as signage about to staff minors. Instructions training a staff sales to minors is requirement. who can have unlimited display display unlimited can have who areas. is the total surface area The display or packages of products area and includes facing customers but cartonhumidors, display is banned. or visit specialists (80 per cent or more) specialists (80 per cent or more) per cent retailers (50 per cent or per cent retailers turnover gross of average more including Lotto earnings) who or metres, square can have three In WA, the legislation provides for the legislation provides In WA, per outlet only one display area except for 50 metre) (one square Department this. of Health before Displays date for display and licensing is will May 31 (next month) and there action by the be no enforcement The WA regulations have now been regulations The WA finalized and the key points include the fact that the implementation 1300 363 703 www.tobaccolaws.sa.gov.au WESTERN AUSTRALIA For a comprehensive guide to the For a comprehensive SA tobacco laws, phone 0.5 square metres, written in black metres, 0.5 square text (20mm font) and must show the same informationtickets as price A price board can only be used for A price board such as not on display, products cartons. than It can be no larger product must be adjacent to the product display. Price Board origin and bar code and the tickets origin and bar code and the tickets must be attached or adjacent to the Price tickets on shrouded display. The information ticket on the price is limited to name, price, pack size, nicotine or tar content, country or background in a standard font no in a standard background high. larger than 15mm Price tickets must be of equal size Price tickets must and no larger than 80mmX40mm, written in black text on a white tickets and price board and cannot and tickets and price board advertise price discounts or specials. Price Tickets cannot have both price Stores a tobacco display visible to people a tobacco display cartons outside the shop and can’t be displayed. than 200 square metres (this does (this metres square than 200 office, storeroom, not include have forecourt) cannot toilets and are allowed, and there is to be no is to be and there allowed, are products. of highlighting larger a selling area Shops with Name: Sue Peel

60Place: Toowoomba Seconds with

Star Sign: Aries

Born (and bred): Caringbah, Sydney

Position/company: Owner/manager of our family business (BP East)

Family: Husband Ron and two daughters.

Favourite sports: Basketball. Played for many years, now a spectator and sponsor (Toowoomba Mountaineers).

Favourite drink: Semillon sauvignon blanc

Favourite food: All different salads

Career summary: I have an accounting background and my first job was at Qantas. Different jobs from then on. We moved to Queensland in 1978 and I started my book-keeping business, then we bought the service station. In life in general? People who don’t If I was writing your headstone, what Best retailing idea: Buying this BP site believe in themselves – hold your would you want on it? Well done, Sue. in a rundown state then redeveloping dream and go for it! it. It was a lot of work, especially If a genie gave you three wishes, what keeping the business working while the How do you best ‘get away from it would they be? Good health, time to renovations were happening, but it is all’? Sitting on the beach, watching the enjoy my family and to travel the world very satisfying. waves. again.

Motto/philosophy: Just keep going! Best memory/proudest moment? If you could solve one world problem, Travelling in Europe, getting married, what would it be? Poverty. Long term goals – and having my children. Business: To retire! If you could solve one problem closer Personal: To retire! Most embarrassing moment? Opening to home, what would it be? The water my mouth and putting my foot in it! crisis. It should be the major priority Short term goals – for every Australian. Business: To keep the business going Who would you most like to have well, so it will sell well dinner with – and why? Carole King I’m calling from Lotto and you have Personal: To finish the girls’ education – her music says it all. Her Tapestry won $10 million…what happens next? and see them happy. album is still relevant and fantastic. I would pay off all my debts, help the girls buy a lovely home each and travel What bugs you most in your life? How would you like to be with them, to ensure they realise that Impatient people. It will all happen! remembered? As a good mum. we live in the best country in the world.

32 Name: Ron Peel h SwannoPlace: Toowoomba

Star Sign: Virgo

Born (and bred): Adelong, NSW.

Position/company: Owner/manager, BP East, Toowoomba

Family: Wife Sue; daughters Jodie, 23, and Rachel, 16.

Favourite sports: Rugby league – as a player in my youth, and a spectator now. Used to compete in show jumping and cross-country, now just ride for pleasure.

Favourite drink: A nice cabernet sauvignon, and a cold beer on a hot day.

Favourite food: Eye fillet steak, cooked competition. You need a point of How would you like to be by me on the barbecue. difference from your competitors – we remembered? As an honest guy whose do real driveway service. word was his promise. Career summary: Have worked in the Personal: Set up the sale of the retail environment for years, initially in business so we can settle into a peaceful If I was writing your headstone, what liquor and grocery; in fuel for the last semi-retirement. would you want on it? Thanks for the 15 years. memories. What bugs you most in your life? Best retailing idea: Joining UCB when Out of stocks; bad mannered people. If a genie gave you three wishes, what it started. This is a single site, but being would they be? Health, enough wealth, part of UCB gives us the buying power In life in general? Bad drivers. and Sue. of a big group which especially helpful in these difficult times as the big two How do you best ‘get away from it all’? If you could solve one world problem, get bigger. On my tractor or my horse. what would it be? Food and water for everyone. Motto/philosophy: Hard work; listen to Best memory/proudest moment? my customers and my staff, then more My wedding day – I was lucky to get If you could solve one problem closer hard work. Sue. The birth of my two daughters and to home, what would it be? Food giving them their first baths. and water – there are far too many Long term goals – Australians doing it tough. Business: Hope to sell the business for Most embarrassing moment? a decent reward. There have been a few! Falling off my I’m calling from Lotto and you have Personal: To be able to spend more horse at a jump (Ron was a professional won $10 million…what happens next? time with Sue when our youngest leaves stunt rider). Ask Sue! I don’t buy the tickets and if school; do some traveling and enjoy our she won, she might not want to give me hobby farm. Who would you most like to have any! I think I’d need a drink to settle dinner with – and why? Bobby Fulton, me down, then I would put it all away Short term goals – because it would be a chance to rub for six months so I couldn’t touch it Business: come up with some new shoulders with my idol. until I’d had time to think about the ideas to get a bit of an edge on the best ways to spend it.

33 A UNIFORM APPROACH TO MARKETING

34 If first impressions are the ones that count, then what Body Conscious Companies rarely have the female sort of impression do your staff members give your form in mind when buying “unisex” customers? Maybe it’s time to have another think uniforms, which are usually men’s polo shirts and attire, Mossberg about what they are wearing, as Kate Quackenbush said. He credits c-store operators reports… that take their female employees into consideration when they’re customer perceptions. Indications redesigning uniforms. are that uniforms project a professional, knowledgeable Spectrum Stores is one of those appearance. As an added practical companies. The West Point, Ga.- benefit, uniforms make employees based retailer has worked with easier for customers in need of TLM Industries for 12 years and assistance to find. it redesigns uniforms every three years. Revitalizing the look of the When Sheetz Inc. (Altoona, Pa.) uniforms created a more cohesive redesigned its corporate logo, it look and increased employee decided to give its uniforms an morale. upgrade as well. According to Kerry Ray, human resources specialist for “We offered the polo shirt for so employer relations and recruitment, long, but we had a number of associates are given the choice ladies who felt uncomfortable between bright green, maroon and wearing it,” said Bob Holcomb, black polo shirts to wear in the Spectrum’s vice president of human store, replete with an apron if they resources. “We wanted them to are working behind the foodservice feel comfortable so we designed a counter. Managers and assistant smock from employee input.” Enhancing employee image can managers are differentiated from help operators create a unique associates by wearing black button One of the caveats to the new niche in the market. down shirts. uniform option was that it had no pockets. The smocks matched After consumers’ positive reactions Even small details in a uniform’s the polo shirts and featured to its “I’m Lovin’ It” advertising design and colour can have a embroidered logos and finished campaign, it was rumoured that profound impact on the way a collars. Spectrum provided McDonald’s was in talks with some company’s image is perceived. employees with the option of of the world’s best-known clothing For example, if a uniform begins choosing two or three shirts to labels – Sean “P. Diddy” Combs’ to show wear and tear, customers start – be it smock or polo or a Sean John line, Polo Ralph Lauren could begin to question the quality combination of the two – and the Corp. and Giorgio Armani to name of services or products they’re company absorbed the cost. a few – to upgrade its restaurant purchasing. As the uniforms begin to show staff uniforms to something more wear, Spectrum replaces them at befitting the MTV generation. “Most c-store operations typically no cost to employees. use the least expensive uniform While Bill Whitman, McDonald’s they can find,” said Tim Mossberg, “We approach it like a baseball USA spokesman, said the talks president of TLM Industries, a team,” said Holcomb. “If you were “purely exploratory,” the uniform manufacturer whose look sharp, you play sharp. fashion makeover for roughly operations are based in Fort Walton We budgeted for each store 30,000 McDonald’s employees Beach, Fla. “Part of the reason is in an overhead account so we could cost up to $80 million. But it’s high turnover – for every 10 new could replace the shirts for [our a price the hamburger chain has hires only one or two have staying employees].” been seriously considering. power, which means employers could potentially lose out on $40 Spectrum received strong positive “Our crew, in many respects, are to $50 in uniforms. From that feedback from its employees, ambassadors of our brand, and we perspective, going with a less said Holcomb, who added want their attire to be consistent expensive uniform – makes sense. the revitalized uniforms made with that,” said Whitman. But we’ve seen a shift in the last employees feel like they were part couple of years where chains are of a team. Image-conscious businesses have trying to beef up and increase their discovered that when individual image.” “Nothing sets us apart from the pieces of clothing are combined guy down the street,” he said. “It’s into an employee uniform, the **Reproduced with permission the people in your stores that set cohesive look can have a of Convenience Store Decisions/ you apart, and we wanted to make strategically positive impact on Penton Media. them stand out.”

35

YOUR MARGIN MAXIMISE MAXIMISE RE-CHARGE P: 07 3804 3335 F: 07 3804 3336 E: [email protected] range from each Telco. range from The UCB Connection Pack solution is available Merchandising Mills now from to be ordered 4 phone packs Sales of just display. per month on average will see a return on investment in 4 months. and to order For pricing enquires your Display unit call Phil Armstrong display. Mills from engaged Mills display to build a unit engaged Mills display to build a unit that is fully flexible and importantly With the ability to be set secure. up with any combination of shelves or hooks the unit can be used to display any combination of Phone any or packs or Sim packs from The unit can be wall every Telco. to the side of mounted or secured display it can an existing Cigarette out in to a fixture also be secured Members can decide on the store. they need to the range of product packs from! As they are highly As they are packs from! pilferable we know we need to keep location and this them in a secure limits our ability to display them in the impulse location that drives sales. Reliance UCB with input from and the NorthernPetroleum have designed Marketing group flexible what we think is a great solution. We merchandising One of the problems has been One of the problems we sell the Connection do where sell quite a few of the connection packs themselves. packs they will not only maximize margin but actually grow re-charge sales and can actually re-charge only and those with a Phone. Most Members have decided that by ranging both types of connection we carry a range of their connection know connection packs packs. We come in 2 basic types Sim card We have been talking for a while have We giving us now about the Telco’s margin only if maximum re-charge

COMMUNICATIONS 36 COMMUNICATIONS 37

us because they receive some type us because they receive reward. of regular If we all support these initiatives we all will benefit. Retail is Detail. Simon Egan UCB Category Manager designed to encourage shoppers to Re-charge at your site, and that continue to do so. In realizing our shoppers can buy talk time outlets, retail at plenty of different machines now. ATM even from What we need to do is give our to Re-charge customers a reason us. A point of difference buy from will be so to speak. The end result that shoppers who can purchase will continue to buy from elsewhere continue

promotional activities. They will be a promotional and long the line of Re-charge here get something! These Activities are We are now realising that Re-charge that realising now are We sales can very much be an impulse A shopper seeing some purchase. prompted being or POS promotional OK?” your Phone Credit “Is by staff us from is likely to buy re-charge probably if low! Why not they are their car or body in the re-charging same transaction? 2007 UCB will be Throughout running a number of Re-charge has been reduced by 50¢ via has been reduced on your DialTime weekly Credit $30 statement for all Telstra vouchers sold during the month of April, to further set the reduced off price of the Kit Kat!

UCB RE-CHARGE RE-CHARGE UCB to drive category sales category drive to PROMOTIONS customer interest in the category. customer interest voucher Telstra cost of the $30 Your $20 to $30 this month and then hopefully they will stay there. This activity will continue to create opportunity to trade shoppers up. Kit Kat will encourage The Free a Telstra shoppers to move up from approximately 67,000 Telstra 67,000 Telstra approximately $20 vouchers and only 16,000 $30 vouchers. Clearly a big Telstra a Kit Kat Chunky with $30+ Telstra a Kit Kat Chunky with $30+ Telstra vouchers. Each month UCB members sell customers for Recharging at a UCB April our During store. member’s activity will be FREE promotional UCB/DialTime Re-charge here and UCB/DialTime Re-charge here 2500 that received WIN promotion entries, we continue to reward Starting in December with the Card Connection has now become the preferred Greeting Card supplier to UCB members

Quality product at a great price and extensive product range including: Everyday and Seasonal Cards, including all occasions such as Wedding, Get Well, etc. Gift Wrap, Gift bags and Bottle Bags Christmas Box Sets

Consignment Stock in Servicing Areas or a Mail order service to rural and regional stores Card Connection offers a full merchandising service to all stores in our service areas

Display Stand We can provide you with a free display unit with your initial order, or you can use your own. (See picture on right)

Regular Servicing A free full merchandising service is available to stores located in our service areas. Including: Sydney, Brisbane, Gold Coast, Melbourne, Perth, Adelaide

Seasonal Events We cater for all major seasons including, Valentines Day, Easter, Mothers Day, Fathers Day and Christmas

Common Bar Codes We utilize a common bar code system ensuring your POS system and admin time is not extensive to setup your new display.

For more details please contact us on Ph: 02 9206 8844 F: 02 9206 8848 www.cardconnection.com.au 38 I C E C R E A M 39

&

YET AGAIN! TO DELIVER A WINNING LIZ HURLEY MAGNUM WILL BE SURE COMBINATION which is ‘Magnum & Movies’. will The consumer promotion ATL be supported with a $1.3m magazine and investment in TV, online advertisingbe and will complemented BTL with extensive POS in our major P&C in-store accounts. The promotion commences February runs 28 and for an 8 week period. Advertising 4 and will be commences March scheduled to run for the duration of maximum to ensure the promotion exposure. The focus for the second campaign The focus for the second campaign burst will be on an aspirational consumer promotion. The mechanic is ‘Win a Red Carpet Experience at the Cannes Film Festival’ and begins to build the Magnum activation theme for 2007

.99

For 4

2 $ • $213,309K of Magnum sales for the promotional period. of Magnum sales for the promotional • $213,309K • +50% increase in units compared to baseline. in units compared • +50% increase month. in units over previous • +40% increase in units of over September last year. • +40% increase This campaign proved successful with results as follows: results as follows: successful with This campaign proved with UCB based on the Liz Hurley graphic: with UCB based on the Liz Hurley graphic: late 2003! promotion a ran Magnum period, promotional September 2006 the During appeal. During the campaign periods, Magnum sales lifted 40% vs. appeal. During the campaign periods, 2006). The for FY 2006 (NPS, (NPS, Sep / Oct MTD) and by 10% LY of Impulse Indulgence since share campaign also generated our highest Liz Hurley has proven to be a natural fit with our local market and has to be a natural fit with Liz Hurley has proven brand using her celebrity for the Magnum driven sales and market share of summer 2007 with a second campaign burst. Liz will continue to of summer 2007 with a second campaign and the campaign will be lovers to enjoy a Magnum tempt ice cream promotion! complemented with a motivating consumer Building on the success of the Streets Magnum Liz Hurley campaign Magnum Building on the success of the Streets the end the momentum towards in 2006, Magnum will be continuing COMBINATION! OF THE WINNING WINNING OF THE A SECOND BURST BURST A SECOND LIZ HURLEY LIZ MAGNUM & MAGNUM parents looking for products to for products looking parents keep their kids happy. thus set a have results Last year’s platformgreat for 2007. cooler As we head into 2007’s months, we should look back to the key selling period and learn from the successes that have made for focusing your attention there. for focusing your attention there. it is worth noting that However, is a powerful of there group consumers who have a significant of influence over purchases within your snacking products – kids! stores In the 2006 calendar year the fun at 2.6 per and value segment grew cent for UCB versus -6.8 per cent for national P&C T1 and T2 (AC to 21/7/2007). Nielsen C*Track contributor to this result A strong was the launch of four novelty SKUs sitting within both segments in the fourth quarter – Nestlé Smarties Push Ups and Nestle Choc Triple Lifesavers, Streets Cyclone. Crunch and Streets that novelty and play know We important value are to kids. and Nestlé have As such, Streets will continue to the freezer ensured and be a destination for children With the indulgence and snacking segments accounting for 70 per business cent of your ice cream annually you would be forgiven total P&C level of +$1.8m (or 13 per (or 13 total P&C level of +$1.8m cent MAT). drive sales. Above all, with plenty of and news out in the market, Streets your shoppers will sure Nestlé are keep heading back to the freezer ice cream. and more for more The indulgence segment for both & Convenience top-line Petrol and UCB has clearly been driven by the hugely successful activity Hurley and Magnum Liz around sales with Ice Cream, Streets from at a indulgence growing for Streets your freezer is having for store is having for store your freezer and Nestlé have hit sales, Streets the market with classic summer campaigns. Over $5 million worth Drumstick Vanilla, of media features with new which has been dressed packaging and the iconic ‘since line. 1963’ The continued success of Cornetto the ‘NO has been driven through BORING BITS’ campaign and a $2m media support package to and boosted by the introduction and boosted by the introduction of a hand-held snacking format in Cookie and Maxibon Cookie Streets as well as the new Nestlé Peters the snacking Drumstick Choc Top, segment has been redefined and paved the way for driving users to the largest ice incremental segment. cream to extend the impact recently, More

Maxibon and Gaytime in UCB stores Maxibon and Gaytime in UCB stores makes or breaks an ice cream an ice cream makes or breaks season. performanceLed by the strong of UCB’s ice cream sales in 2006 (AC sales ice cream UCB’s the to 21/1/2007), Nielsen C*Track segments these of growth continued are critical to the success of the critical are category ice cream as a whole. Accounting for 70 per cent of The indulgence and snacking segments and their performance Cream in December 2005 has seen in Cream many UCB sites carry market- more leading brands to entice consumers to the category. performance. of The introduction a total category through approach Ice the national ranging of Streets program as well as support program of new marketing and development product has been behind the lift in category A back-to-basics approach in A back-to-basics approach promotional execution, strong national ice cream P&C market by national ice cream of four times growth showing strong the national P&C average in 2006. ahead… UCB has again out-performed the Category Manager, Simon Category Manager, the statistics Egan checks the year and previews It’s been a great year in been a great year It’s UCB stores. the freezer for

ICE CREAM SALES ICE CREAM UCB HEATS UP UP HEATS UCB

I C E C R E A M 40 I C E C R E A M 41 41 in place for the coming months. the coming months. in place for So fill the freezer with market- utilize your fully leading brands, point of sale and promotional the ice cream categorywatch fly! will make ice cream even more even more will make ice cream competitive against confectionery and carbonated beverages as a snacking option, and following on the veryfrom successful launch of Maxibon Cookie in 2006 will be all incremental. The biggest news of all we have saved for last – Nestlé Peters is targeted launching a product at women and ice cream directly consumers looking for a healthier option. The Nestlé Peters Light & Cookie is leveraging from Creamy one of the biggest brands in the supermarket and a brand that the your main grocery buyers, who are shoppers, also know and love. a first This is a first for ice cream, for Nestlé Peters and a first for a winner! to be sure UCB. It’s some very solid plans All in all, the ice cream category are for Drumstick TVC, will surely have Drumstick TVC, will surely shoppers coming back for more. Maxibon Choc Caramel Snacksize

for the category. for the category. is ice cream’s way is ice cream’s of competing with other snacking a share categories to capture of the potential spend that each shopper has. Without POS up position, and in a prominent will struggle to draw your freezer shoppers to it and to capture the over 80 per cent of people who convert when to purchasers freezer. they visit your ice cream Ensure your stock weight is weight stock Ensure your key the sufficient to cover selling times Point of Sale of Point Remember, ice cream sales peak ice cream Remember, between 3pm and 9pm and from so get on Thursday to Sunday, the phone and stock your freezer its full you capture up to ensure potential.

the flavour’s success with Heaven the flavour’s and our Scoop Parlour range which, combined with the awesome category and continue to build on the solid platform in 2006. created The Magnum brand traditionally winter. in grows you have great 19, March From chance to take advantage of in your new products great more Nestlé from freezer ice cream Peters. Snacking will be driven powerful by three even harder brands. Firstly by the launch of Drumstick Cookie, leveraging from 5. FebruaryFrom 28, Magnum and again to excite the Liz joined forces 4.

, are are as the snacking and , with stock on show and in the right place in the lay-out, your will be ready freezer ice cream all the incremental to capture sales that we know new lines can Remember even kids provide. can add value to your business. Nestlé Peters’ new lines became 19. March available from critical in ensuring that the your to relevant remains freezer shoppers. When shoppers feel as though they can make a new when discovery or be rewarded they will be they visit the freezer, Place your top back for more. selling SKUs closest to the counter to drive them to purchase. Execution of the lay-outs and of the lay-outs Execution initiatives promotional Focus on your strengths in the Focus on your freezer New lines deliver great growth lines New indulgence segments deliver close to 70 per cent of your If you have annual turnover. the above two key in growth segments, your performance will only be enhanced by any other initiatives you take advantage of.

3.

2.

1. UCB one of the best performing in Australia. groups retail ice cream the top five: are Here

42 43 44