Home' Convenience and Impulse Retailing : February 2010 Contents Small Grocery Offer
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focusing on from a range point of view,
and also store format and design has
had a significant focus from many of the
players over the past couple of years to
keep their formats vibrant."
Craig Matthews from Lucky 7 agrees,
saying that economic circumstances are
dictating that people are eating out less,
which therefore means that they are
eating at home more often.
Focus on easy foods
"Independent convenience banners like
Lucky 7 are well placed to take advantage
of this evolving trend," he said. "Moving
forward we will need to place more
attention on the development of the
food service segments of our offer and
provide fresh meal solutions for our
Similarly, Steve Cardinale from the
New Sunrise Group says concentrating
more on easy foods in food lines is one
of the things that independents can do
to maximise the opportunities from the
trend towards top-up shopping.
"We need to think about meal
occasions and to make it simple by
thinking of products that are easy to
prepare," he said.
"Easy foods are
products that can be eaten out of a can,
placed between two slices of bread, or
prepared by simply adding water and
In terms of pricing, Mr Cardinale says
that C&I outlets need to be a little more
sophisticated than simply marking up all
grocery products by 50%.
Other measures, he says, that could
be taken include having a depth of
quality rather than a depth of quantity.
This means that instead of having three
variants of Colgate toothpaste, retailers
stock two of the best sellers and one
price fighter brand giving customers a
choice of 'perceived' quality and a lower
In terms of bread and milk, he says that
all suppliers have a price fighting brand
and these should be included in the
range. Also, he says there should always
be a good ambient drink offer, which will,
if ranged and displayed correctly, deliver
incremental sales without affecting cool
"New Sunrise has the people, retail
systems, and the marketing strategies to
help our members remain competitive,"
he said. "We are not a simple buying
group, we do much more and offer
our members a full retail program that
includes promotions, trade discount and
rebates from all major suppliers, as well
as shop branding, best sellers' lists, free
training programs, operational tools and
having experienced retailers available
to help our members buy better, sell
smarter and bank more."
For its part, Lucky 7 says that one of
its key strengths is its strong grocery
offer, and that at least 50% of all of its
monthly promotional activity is devoted
to core grocery lines.
"Convenience stores have built their
business on house brand names and
market leaders and we do not see this
trend changing in the near future," said
grocery manufacturers need to invest
more in the independent convenience
channel and realise the opportunity that
He says that price file maintenance,
range and availability will be key in
maximising retail space and ensuring
that independents can compete against
other retail banners.
Exciting times then lie ahead for
the small grocery offer through the
convenience channel. As the perceived
roles of C&I outlets and supermarkets
in the weekly shop shift and change,
there are clearly opportunities to be had
here, and profits to be made. In the end
though, it's merely a matter of giving the
customers what they want and expect at
a price they are happy to pay.
Simple, isn't it?
Streets Magnum has been chosen by
consumers as Australia s favourite frozen
and dairy product in the inaugural Australian
Women s Weekly Product of the Year Awards.
Voted on by more than 240,000 readers, the
award names Streets Magnum the favourite
frozen and dairy product ahead of other well
known dairy and frozen items.
The award caps off a fantastic year for
Magnum, with new products and successful
promotional and marketing campaigns
continuing to drive sales growth, Streets said.
Streets Magnum named favourite
In recent months, Magnum Big Choc Bikkie
was launched É it s a decadent new treat
that that has already been a hit with ice cream
lovers around the country.
Magnum Sandwich is another new arrival and
Streets expects this new format to be equally
Streets Ice Cream Marketing Director, Andrea
Martens, said: We know that the Streets
Magnum range is incredibly popular. We are
delighted it has been recognised with this
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