Monday, 18 November 2013

Social supermarket for the poorest Shoppers....

According to The Star, Britain’s cheapest supermarket is to open in Barnsley, South Yorkshire next month - stocked with cut-price food other stores have thrown out.

This members-only shop will carry a comprehensive range of food products priced at 30% of normal retail prices. Twenty more are planned for the UK next year, six in London.

Slow to emerge in the UK, and with 1,000 already open in Spain and Greece, the number of so-called social supermarkets in Austria has risen from around 40 in 2009 up to a current number of about 70. These supermarkets allow people at risk of poverty to purchase their daily groceries at lower cost than in normal supermarkets.

These supermarkets are commonly organised as charitable foundations. They collect excess or rejected goods from normal supermarkets and sell these to the needy at rock-bottom prices. While the quality of these products is normal, their packaging may be damaged, they could be mislabelled, or they may be approaching their expiration date. Shelves are mostly filled with products satisfying daily needs, such as dairy products, bread, pasta, fruit and vegetables, but also household products, toiletries, and books. These goods are usually one to two thirds cheaper than at regular supermarkets; bread is often free. Only people with per capita incomes of less than around 900 euros are entitled to purchase at social supermarkets.

Whilst social supermarkets represent an outlet for retailers' surplus/near-waste products, this emerging channel has to provide an opportunity for suppliers to find a socially beneficial outlet for suitable products.

...and for the really imaginative retailer, why not convert an outlet scheduled for closure, and really make a difference?  


Friday, 15 November 2013

If Poundland is good enough for Jane Asher?

Then perhaps its time to add discounters to your mainstream trade strategies...

News that Jane Asher will launch a Poundland bakeware collection should be a final indicator that suppliers need to factor budget retailing into their long-term trade strategies... The range will be rolled out across Poundland's 490-plus UK and Irish shops in spring 2014. Each item will sell for £1, including multipacks such as three wooden spoons and six silicone cases.

Asher said: "In my new Poundland range this will no longer be a problem as all the baking essentials are covered and offer amazing value for money. The range is very pretty, and comes in four pastel colours which can be mixed and matched. I've also included six quick, easy and delicious cake mixes."

In other words, a serious 'first' in celebrity endorsement for Poundland, while Aldi's Glen Orrin whisky makes an offer your cannot refuse at £55 for a 30 year old treat worth £150...


But added to share gains for Aldi and Lidl, and a prospect of flatline demand (real volume rather than political spin) for the next decade means that discounters deserve a permanent place in your long term mainstream trade strategies...

Meanwhile, if caviar is good enough for Lidl....

Thursday, 14 November 2013

Lidl Caviar - playing each end of the 'squeezed middle'?

                                                                                        pic: Brian Moore - Lidl, Brighton (14.11.2013)

Have we all underestimated the discounters?

Wednesday, 13 November 2013

M&S Pre-launch pricing, or inflationary anticipation?

                                                        pic: Brian Moore - M&S Shoreham Road, BN43 6TD (9.11.2013)

Jewelled fruit cake, £8, will be £12....

Stage 1: Pre-launch price
Stage 2: Launch price
Stage 3: ......................?

Delicious, by the way...!

Tuesday, 12 November 2013

Shops Closed, meaning c-l-o-s-e-d!

                                                                                             pic: Brian Moore - Preston Street, Brighton

..........until an acknowledgement of overcapacity allows a return to domestic accommodation

Who’s minding the shopper?

The old deathbed story raises an interesting dilemma in retailing today:
An elderly shopkeeper on his deathbed asks for his wife and then for each of his six children. When the last one replies “I’m here” the old guy demands: “then who’s minding the shop?”

In other words, if the key retail stakeholders are all pre-occupied with survival and continuity of the business, then who’s minding the shopper?

Most of us accept the fact that, given the extent of their loyalty-data insight, compared with that of the supplier, and if knowledge defines ownership, the major retailers now ‘own’ the shopper. Despite the fact that a retailer’s knowledge is mainly derived from analysis of shopping behaviour, their increasing share of consumption via own label growth also means that they have potential access to the shopper’s consumers, and their consumption behaviour.

They are thus capable of leveraging shopper insight in also taking ownership of the consumer…

Unfortunately, ownership does not guarantee action in the best interests of the shopping consumer…
This means that brand owners need to enter the aisle and ‘hand-hold’ the shopper in an attempt to complete the intended purchase in favour of brand-consumer and supplier…

More in this month’s edition of NamNews, now in your mailbox.

Monday, 11 November 2013

Understanding the shopping-consumer

At the moment of purchase a shopping-consumer’s world is all about one SKU, with potential access to all possible alternatives, literally at their fingertips…

Meanwhile, a retailer is coming from a perspective that covers the entire shop’s offering, a world of up to 50,000 SKUs, an expert in selection.

This classic case of depth vs. breadth can be synergistic in that the shopping-consumer can be reassured by the assumption that the retailer, as expert, has surveyed the entire market on their behalf and is now presenting the best offer available. Moreover, the shopper is also taking for granted the implied endorsement i.e. that the product contains ‘what it says on the tin’, especially given the fact that the shopping-consumer may also be making the purchase-decision on behalf of family, etc.

One can only imagine the shopper’s reaction when even a cursory check reveals they have been misled, or even short-changed, either financially, or in terms of what they expected to receive for the money... Moreover, they have a hand-held means of communicating their dis-satisfaction well beyond the walls of the store…

Whereas, if the retailer plays by even the rudimentary rules of consumer marketing, and meets or even exceeds shopper-expectation, they can harness the positive aspects a shopper’s ability to ‘tell a friend’, endorse a purchase and even recommend a visit… 

Friday, 8 November 2013

Looks not tips the key to a good table in Paris


For the handful of NAMs that still treat buyer-lunches as a trade investment, latest news from Paris indicate a need for new facial KPIs in making a non-refuse lunch-offer to key buyers...

According to satirical weekly Le Canard Enchaine, it's the quality of diners' looks -- not the size of their tips -- that make the difference at Le Georges, the upmarket restaurant on the top floor of the Pompidou Centre, and the Cafe Marly, which occupies a prime spot within the Louvre museum.

Two waitresses who have recently quit Le Georges told the weekly that they were ordered to sort customers into the good looking and the, ahem, less good looking. Those who made the cut were seated in prominent positions at the front of the restaurant while those who got the thumbs down were ushered off to the back, preferably out of sight.

At the Cafe Marly, the pavement terrace was reportedly declared an ugly-free zone with anyone seeking to reserve by phone systematically told, "We'll do our best but we can't guarantee it," pending a looks appraisal on arrival.

Mobile KamTip:
To bypass the screening process, why not attach a badly lit pic of George Clooney/Sandra Bullock to your mobile request for a down-to-earth table in a spacious corner?

Have a real weekend in unreal times, from the NamNews Team!