30.10.2015 HOW TO MAKE £9 AN HOUR PAY C-store experts on living with a higher wage bill NATIONAL LIVING WAGE Page 28 » Best of both worlds ‘I grew grocery sales by £5k but kept my news roots’ Page 32 » NEWS l CONVENIENCE l PROFIT www.betterretailing.com l £2.20 TOBACCO DISPLAY Lomas News, ‘We want Unsworth out of profit- restricting contracts’ l Retailers say Imperial Tobacco rules are ‘undermining profitability of category’. l Gantry space demands mean delisting Stone Spar, fast-selling lines, say stores. Page 5 » Manchester CONVENIENCE My Local One Stop Leamington 130-store Spa (above and below) launch ‘a success’ l New trading director Neil Turton already sourcing great deals, says Mike Greene. l Further 10 stores to start trading from January. Page 4 » CAMELOT HOTLINE Colouring magazines Gravelle’s Budgens, on course to draw more profit than craft Retailers Cambridgeshire titles for indies. Page 7 ‘unaware’ LITTLE SHOPS OF HORROR of new 7p Ghoulish gondolas and deathly displays were the order of the Vol 126 No 44 day as independent stores looked to scare up extra sales over FOR TRADE USE ONLY lotto line Halloween. This year’s festivities also saw many retailers carving 44 Confusion over true out a niche for themselves by going big on spooky pumpkin cost of calls. Page 5 » decorations. Xmas 2 Day Advert 2015 B/g_Layout 1 15/10/2015 16:59 Page 1 ! ! ! ! ! ! ! ! ! ! ! ! ! Extra ! 2DAY Discounts Sunday 8th Nov – Monday 9th Nov 2015 These Extra Christmas deals are available for two days only! Visit your local depot to grab a bargain. MAX 5 CASES PER CUSTOMER SELL 6 SELL 2 WHILE for £1 for £1.50 STOCKS FOR 28% FOR 20% LAST 23433 CADBURY CHOC SNOWMAN 23411 Freddo Popping Candy 25914 Cadbury Selection Pack 23416 CADBURY VANILLA SNOWMAN 60 x 25p Netts to 24 x £1.09 Netts to 33 x 65p Netts to £5.99 10p each £11.99 50p each £10.99 33.3p each Sell at rrp and earn 52% Sell at rrp and earn 45% Sell at rrp and earn 39% MAX 12 units PER CUSTOMER SELL AT SELL AT £3.49 £1.00 FOR 25% 18276 Terry’s All Gold Milk FOR 16% 36743 FERRERO ROCHER T16 12298 Terry’s All Gold dark 23238 TERRY’S CHOC ORANGE 1 x £5.19 £2.69 1 x £8.41 £2.19 1 x £3.48 70P Sell at rrp and earn 38% Sell at rrp and earn 69% Sell at rrp and earn 76% RN ad template.indd 21 26/10/2015 17:44 Retail Newsagent 30 October 2015 3 During one of the Local Shop Summit breakout sessions, a member of the audience said his wage bill would increase by 33% when the Nation- al Living Wage increases to £9 in 2020. He asked how the retailers on the panel were planning ahead for such a big change. Eddie Poole from Moira said he was creating a market theme in one of his SuperValu stores, focusing on higher margin fruit, veg and RETAIL NEWSAGENT NEWS ● CONVENIENCE ● PROFIT dairy and less on groceries. His advice was start planning now and test what works, not when your wage bill has already spiked and the pres- Focusing on high sure is on. margin categories Focusing on high margin categories is a theme that runs through this week’s special report on mitigating the impact of the National Liv- is a theme that runs ing Wage. through this week’s What’s clear is that the same formula will not work for every store. special report on Chris Shelley’s new Horsham c-store will focus on fresh and chilled, mitigating the while for Sussex-based Peter Lamb it’s food and hot drinks to go. impact of the This wouldn’t work for Kamal Sisodia in Leicestershire, though, who is near a popular Greggs. He is focusing on e-cigarettes and stationery in- National Living Wage stead. Craft beer is another growing trend that might not be right for every store. London-based Ash Patel grew alcohol sales by stocking his son’s favourite hoppy beers. Derby-based Vip Measuria, meanwhile, didn’t think there would be demand in his area, but was proved wrong when he added One Stop’s craft beer range. If you think craft beer could be the answer to making the National CHRIS GAMM Living Wage work for your store, follow our 10-step guide on pages 26-27. Editor But don’t be afraid to say no to things that don’t work for you because @ChrisGammRN one size doesn’t fit all. 24 CONTENTS 38 NEXT WEEK NEWS says retailer; PDRP 22 PRICEWATCH 28 NATIONAL LIVING WAGE survey ‘must target UK white wine RN’s five page special 4 INDUSTRY NEWS My Local newstrade retailers’ prices around looks at what has been chief Mike Greene hails 18 YOUR STOCK, YOUR SAY 24 RETAILER PROFILE termed ‘the biggest launch day success Do customers want challenge small 6 BUSINESS NEWS We’ll hit Keeping an contactless payment? eye on pricing businesses have 80-store target by end of And has the tobacco and what the ever faced’ year says Simply Fresh 34 FAMILY NIGHT IN display ban made range competition is HOW CAN THEY HELP YOU? 7 NEWSTRADE Colouring management harder? doing has helped There’s nothing like titles bring in £3.4m sales RN looks at the supplier 19 YOUR ISSUE Retailer’s Kamal Sisodia getting the family 8 PRODUCT NEWS Chupa together for some support available to the anger over PayPoint create a point modern c-store owner Chups tie-in with new package deal of difference food and drinks. Star Wars blockbuster Make sure you’ve got 20 INDUSTRY PROFILE in his 12 REGIONAL NEWS Free Leicestershire store 26 the right ingredients parking for shopping Neil Saunders, for some family fun come closer in Chard right, managing 20 FEATURES 38 PREVIEW 14 NFRN DISTRICT COUNCIL director of 26 CRAFT BEER retail analyst THIS WEEK Kent DC report & CIDER Conlumino Our step-by- IN MAGAZINES COMMENT & 21 COLUMNIST Cider step guide will 41 ROUND-UP Building CHRISTMAS MAGAZINES ANALYSIS is flourishing in show you how blocks of success 16 LETTERS Camelot’s £25 a the independent your store can 42 FOR YOUR SHELVES Free The final part of RN’s month charge buys me trade, writes get involved in gift for Country Homes & festive guide no customer service, John Eastwood the sector Interiors readers WHAT’S THE POINT OF THE EXTRA STRESS ABOUT CASHFLOW, THEFT STAFFING – YOU MIGHT AS WELL GET A JOB – RETAILER KAMAL SISODIA SAYS HIS ATTITUDE WILL CHANGE IF THE NATIONAL LIVING WAGE AFFECTS HIS INCOME Page 28 » 4 30 October 2015 Retail Newsagent NLW will ‘Regulation could harm c-stores’ warning Leading industry figures were two of eight recom- said: “UK convenience said: “All these measures lead to have warned that excessive mendations made by Public stores are coming under can bring challenges. The regulation could harm the Health England in a report increasing pressure as the government is against ‘parallel convenience sector should released last week. call from health groups for the sugar tax so we must proposals such as a sugar However, the tobacco ever more control on core wait for their response. My sourcing’ tax come into force. industry, which has had to product categories such as biggest concern is an in- A 20% tax on sugary adapt to a raft of regula- tobacco, confectionery and creasing emphasis on local The incoming National Liv- drinks and foods and a tions, has warned against soft drinks escalates.” authority regulation, which ing Wage will cause an in- reduction in the number of excessive legislation. James Lowman, chief could dictate where items crease in “parallel sourcing” promotions in supermar- Jeremy Blackburn, JTI executive of the Associa- are sited or limit promo- as retailers look to improve kets and convenience stores head of communications, tion of Convenience Stores, tional activity.” their margins, a wholesaler has predicted. The industry expert, who did not want to be named, New chain converts 130 stores over three days ‘Great sense of camaraderie and positivity’ said he expects retailers to increasingly look to suppliers of branded stock manufactured elsewhere Launch day ‘a big success’ in the EU in an attempt to get stock at lower prices and protect their profitability. “If you buy Coca-Cola says My Local boss Greene direct from Coca-Cola in the UK you will pay £2 a by Steven Lambert case more than if you buy it from a third party. It might My Local chief Mike Greene have come from Europe or hailed the launch of his Ireland – but it’s still Coca- new convenience chain a Cola and customers will “success” as work to rebrand still buy it,” he said. the former M Local stores The National Living was completed this week. Wage will be introduced in At the time of going to April and stand at £7.20 per press, Mr Greene told RN hour for employees aged that 32 stores had been over 25. The rate will rise to converted to My Local on more than £9 by 2020. Monday, with a further 98 l What will the National stores due to be switched Living Wage mean to your over by Wednesday. business? – page 28. He added the group is now focusing on reopen- ing 10 of the closed M Local stores it also bought from New look Morrisons, with the first of these expected to be trad- Lee and Adam from My Local, Harrogate ing by January.