fbpx

Update: Booker explains cuts to ‘bloated’ retail range

Booker's range review will see slow sellers cut and a growth in fresh

Booker is to cut its “bloated” retail range across cash and carries, grow fresh and expand its existing catering range. The strategy was re­vealed last month by the wholesaler’s commercial director, Sheila Gallagher, at the Destination 2025 wholesale conference. She said Booker had un­dertaken a major review across its depots to provide stores with more focused product ranges, alongside more fresh lines.

Gallagher told attendees Booker had reviewed 151 categories across retail and catering over an eight-month period. She said the project would “deliver an optimum range for convenience retailers” and account for the different for­mats of stores supplied by Booker. Gallagher explained that different types of retailers and their local shoppers were taken into account as part of the project.

She said: “It takes into account the nuances of whether you’re a forecourt, a small corner shop or a small neighbour­hood grocer. We’ll respect regional lines and local lines that are needed as part of the range. It’s allowed us to tighten up a range that was a little bit bloated.”

Asked to comment on the review, a Booker spokesperson told Better Retailing: “Booker continues to focus on improving choice, price and service for all the retailers, that they are proud to serve. A key part of investing back to our customers is creating incremental delivered capacity with a new retail distribution centre in Fareham, this will not only increase capacity but for the first time it will create the opportunity for shared delivered network allowing Premier, Londis, Budgens, Shop Local and national account customers to be delivered from a shared delivered hub. 

“As part of this, Booker has improved choice with the ranges it has to offer, through own label, branded products, and an increase in choice on fresh and frozen products. Booker business centres will continue to stock the best sellers and ranges to help customers maximise sales. We have removed duplications and reduced space given to declining categories and increased space to categories in growth. In addition, across the BRP Network, Premier, Family Shopper and Shop Local customers serviced via Fareham will get access to 35% more range.

“Bookers new ranges have focused on using market insight, customer feedback and driving the best of both ranges across Booker and BRP to ensure they offer the best optimal convenience range to customers to allow them to maximise sales and take advantage of new market trends. 

“Booker will continue to focus on delivering the best choice, price and service to all customers and would like to thank all customers for their continued support.”

Positive change

Alan Mannings, of Shop on the Green in Chartham, Kent, praised the decision. He told Better Retailing: “I’m really looking forward to it. I’ve already seen elements of this happen in my nearest Booker depot. They’ve reduced the current range by 20% through the removal of slow sellers. It’ll be even better if they can add more fresh lines. For example, I no longer see Euro Shopper cola, mango juices or some curry sauces there.”

Mark Dudden, of Albany Road Post Office in Cardiff, described the strategy as “positive”. He cit­ed localised confection­ery as a category he’d like to see added.

Ken Singh, of BB Nevi­son Superstore in Ponte­fract, West Yorkshire, has also seen the availability of more-popular coffee products improve at his nearest Booker depot. However, he said there was still a major difference between the number of catering pro­motions in comparison with retail. Singh’s thoughts reflect concerns from other re­tailers, who had previous­ly claimed the wholesaler was expanding catering at the expense of retail in depots. “I already see quite a lot of catering spe­cials there,” he added.

Booker has been raising awareness of the review more widely. Retailers reported being notified about the changes in the past month through of­ficial notices, seen by Better Retailing, posted at depots.

Read more Booker Wholesale news

Concerns over Booker’s focus

One rival wholesaler, which asked not to be named, has been using the range review as an opportunity to gain more customers. It told Better Retailing: “We’ve been told by retailers that their nearest depot has closed its doors to retail and is serving catering only. It’s the same with another nearby. We’re using it as an opportunity to try to gain customers who would have previ­ously shopped at those branches.”

Gallagher provided assurances that locally popular lines would be protected. However, one retailer has expressed con­cern. “It seems like Booker is following a similar strategy as Tesco, which has recently reduced ranges in its stores,” they said.

“It may affect certain seasonal products such as chocolates. They sell well for me all year round, but aren’t quite so good elsewhere. Some towns and cities have one Booker depot serving the entire area. However, Booker needs to consider individual customer bases. The bestsellers at a newsagent in a council estate will differ to that of a conveni­ence store based in a city centre nearby.”

Read the 9 February edition of RN Magazine for an in depth analysis of Booker’s range refresh strategy, and its impact on convenience stores.

Comments

Jonathan Cobb
9 months ago

Since when has reducing range been a good idea for customers? We know as retailers that keeping a good range of products is core to convenience, and it’s also core for wholesale. Either Booker doesn’t understand this or it’s trying to make life difficult for independent convenience stores. The expansion of the Jacks brand just shows the diretion that booker aka Tesco is going in. We don’t stock the Jacks brand specificly as it’s branded up with Tesco! I wouldn’t expect Booker to have Bestway branded stock so why do they expect independent retailers to advertise rival stores? I’ve been reducing my spending in booker over the last year and that trend is set to continue with these significant changes.

Become a member to have your say