Retailer 1 – the large shop

Patrick Patel’s store started out as a newsagent and expanded into a convenience store. Two years ago, Patrick and his family joined Budgens and around 60% of its original customers were replaced by mums, families, “yuppies and high-end people”, as Patrick puts it. The store’s best sellers are alcohol, pop and fresh and chilled produce. It also sells organic and gluten-free products, and offers a number of free services to encourage footfall. Patrick got involved in the project because he admitted that having a supermarket format has meant “newsagent lines”, such as drinks and chocolates, have suffered from a lack of attention.

Before

Confectionery

• Confectionery displayed on 3 metre main layout mid-store, described by Patrick as “haphazard”.
• Kids’ products low on shelves.
• Block chocolates high on shelf.
  

  Crisps & Snacks

  • Crisps and snacks merchandised together in tight space mid-store.
  • No planograms followed.
  • Promotions such as Walkers’ two for £1 deal working effectively.

  Soft Drinks

  • Displayed on main fixture on aisle next to entrance.
  • Wide range to incorporate main brands and niche to suit customer base.
  • All products chilled, including larger packs.

  Category Advice

  Mars: Confectionery

  • Rationalise range by 10%.
  • Do a full relay, multifacing best sellers, grouping products by category and allocating space according to sales.
  • Create a themed area with relevant point-of-sale material.
  • Build display of the best selling bitesize confectionery lines near the beers, wines and spirits area.

  PepsiCo: Crisps & Snacks

  • Relay the fixture to focus on best sellers and optimise range.
  • Place chiller baskets containing core products by sandwiches.
  • Create a secondary display in the beers, wines and spirits section with a range of sharing bags.
  • Maximise market-leading promotions such as Walkers Flavour Cup by using secondary sites and PoS material.

  GSK: Soft Drinks

  • Group like products together and implement a needstates flow to make it easy to find products.
  • Smarten up vertical blocking.
  • Reduce facings on slow selling lines.
  • Give more facings to top selling products.

  Results

  Confectionery

  • Increased volumes ordered from wholesalers.
  • Customers often buying two bars of chocolate instead of one.
  • Vastly improved layout with blocked categories naturally leading on to each other.
  • 41% more bagged confectionery and 8% more countlines sold.
  • 11% increase in units of confectionery sold.

  Crisps & Snacks

  • Sales of single bags up 50% in-store between May and July, compared to February to April, before the changes were made.
  • Large increase in sharing bags sales – up 101% during the project – due to secondary site placement.
  • 58% overall rise in crisps and snacks sales.
  • High sales generated from secondary sites, such as baskets in chillers and placements near alcohol.
  • Better understanding of different sales patterns on different days and the need to adapt displays accordingly.

  Soft Drinks

  • Drinks sales increased through better placement in the chiller, especially water and energy drinks.
  • 17% growth versus the market.
  • Improved shopping experience for customers due to clear blocking of products.
  • Improved marketing of key brands and products, advertising store’s core range to customers.