Taking the biscuit

Michael Flanagan

There is plenty of innovation taking place in the biscuit market, which is helping retailers to enjoy increased sales in a declining market

Brand Central

18 October 2011

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At a glance: biscuits

Cuisine de France has launched a new range called Supreme Indulgence Cookies retailing at €1
Burton’s Foods is launching permanent display stands across Ireland after a trial saw sales rise by over 45% in the first week in one store
The Oreo brand is growing 6% YOY (AC Nielsen MAT May 2011) and 2011 has seen the launch of two new products to the Oreo range: Mini Oreo Snack Pack and Oreo Double Stuff.
McVitie’s is launching new brands Medley and Quirks in 2011

The branded biscuit market has taken a battering over recent years due to the influx of foreign retailers selling non-branded biscuits at considerably discounted prices. Now companies are fighting back and coming up with ideas to ensure their products stand out from the rest by giving them a very simple price point and promotional stands to merchandise the product. Within weeks of trialing these new promotions, retailers are noticing a difference to their bottom lines.

Biscuit sales stack up with new stands

Burton’s Foods is launching permanent display stands across Ireland after a trial saw sales rise by over 45% in the first week at a store in Newbridge.

The stands will help to maximise volume and profit opportunities by making the biscuit range stand out, offering customers a convenient way to buy their biscuits. The €1 price is prominent (appearing at the top of the stand and on every row), emphasising the great value for money.

Burton’s Foods has seen huge demand following the trial and the stands will now be launched nationwide, with 70 stores due to have them by the end of September.

Burtons The standalone unit comes in two sizes, large and small, so they are suitable for stores of different sizes.

Each stand holds six varieties of Burton’s Foods biscuits: Toffypops (the top-selling SKU in Ireland), Maryland Cookies, Jammie & Toffee Dodgers, Viscount Mint, Wagon Wheels and Tea Cakes/Coconut Delights.

“We’re delighted with the massive success of the stands to date and this has naturally led to demand for the stands elsewhere. It’s an exciting new way of presenting biscuits and we will be working with retailers to help them identify the best locations for them in stores. The stands will help to encourage impulse buys, especially with the €1 price point displayed so prominently,” said Eddie Carr, business account manager (Ireland), Burton’s Foods.

Total Burton’s Foods business has increased by over 40%* year to date in Ireland.
Trade enquiries: 00353 14506100

*Source: Flanagans Sales and Marketing (Burton’s Foods agent in Ireland)

Michael Flanagan

Q&A with . . .

Michael Flanagan, MD, Flanagan’s sales & marketing

How has Burton’s Foods performed within the biscuit category in Ireland over the past year?
Trading conditions for all suppliers have been very challenging over the last couple of years. However one of our objectives is to continue to offer the best value to all our customers. The euro price-marked pack range which was launched in April 2010 has been hugely successful and well received by both retailers and consumers. We can offer consumers an iconic range of biscuits for €1 and our plan is to continuously add to this range. We are delighted with the success as both market share and product penetration for Burtons biscuits has improved significantly in Ireland.

Why are Burton’s Foods’ biscuits popular with Irish consumers – is value a key aspect of this success?
Value is a key aspect to our business because we have the right products, at the right price, in the right place, at the right time. Burton’s supply a wide range of iconic brands, like Jammie Dodgers, Toffypops, Maryland Cookies, Viscount Mint and Wagon Wheels which Irish consumers love. Toffypops and Jammie Dodgers are huge kids brands in Ireland. Jammie Dodgers and Wagon Wheels in particular are well recognised as they have been around almost 50 years. The recession has impacted on people’s spending power and it’s up to us to offer the retailer and consumer products at affordable prices. Our €1 packs deliver real value for money.

How will permanent stands help retailers drive biscuit sales in-store?
Flanagan’s Sales and Marketing’s philosophy has always been to be innovative. This year Flanagan’s Sales & Marketing launched permanent Burtons biscuit stands throughout Ireland. This has resulted in a significant uplift in sales. The stands have helped maximise profit opportunities for the retailer by making Burtons biscuits more prominent in store. The €1 price point is prominent on the display stands emphasising the great value for money. We have seen huge demand for the stands as more retailers become aware of the difference it can make to their biscuit business.

Do you conduct extensive market research before launching new products, such as the new Toffee Dodgers?
Burton’s biscuits continuously conduct extensive market research before launching any new products. For example Burton’s carried out a survey amongst a panel of mums, on various flavours for the new Dodgers variant which resulted in the successful launch of Toffee Dodgers. Consumers opinions are vital to our business. Toffee Dodgers has been very successful here in Ireland the rate of sale of Toffee versus Jammie is as high as 60%. The introduction of new products is key to our business growth as it creates excitement amongst consumers. This in turn leads to increased sales and profit.

How extensively have you invested in marketing activity for Burton’s Foods?
We put a lot of investment behind each key product launch which involves outdoor advertising using CBS and believe promotion is key to any success so therefore most of our investment is spent in-store via permanent stands and shippers etc.

Cuisine de France

Maximise your impulse purchase revenue with the Cuisine de France range of €1 deliciously affordable treats. This range consists of new Supreme Indulgence cookies, enrobed chocolate doughnut rings and wrapped muffins, all priced at a budget friendly €1 RSP. By placing the complete selection of tasty impulse treats at your hot beverage stand ensures that you have a range that suits all your customers’ needs. This range complements your hot beverage offering encouraging consumers to trade up to a combined hot beverage and confectionery purchase.

New to the market are the Supreme Indulgence Cookies. These large freshly baked in-store cookies are available in a mixed case of four flavours: Chunky Chocolate, Cranberry & White Chocolate, White Chocolate & Macadamia Nut and Double Chocolate Chunk. Made with only the finest ingredients with large pieces of chocolate, nuts and/or berries, the freshly baked in-store aroma delivered by the cookies will entice your customers to indulge throughout the day. A full point of sale suite is available to build awareness of the range. For further information please contact your Cuisine de France category specialist or go online to www.cuisinedefrance.ie

Oreo – Double the fun!

The Oreo brand is growing 6% YOY (AC Nielsen MAT May 2011) and 2011 has seen the launch of two new products to the Oreo range: Mini Oreo Snack Pack and Oreo Double Stuff.

Mini Oreo Snack pack contains six individual mini bags of Mini Oreo, ideal for the lunchbox occasion. Oreo Double Stuff has twice the crème compared to standard Oreo. The product is richer and more indulgent and offers greater enjoyment thanks to double the crème filling.

Oreo Double Stuff has been supported with TV advertising highlighting the iconic twist, lick and dunk ritual associated with Oreo, a radio promotion on 98FM offering the prize of a family trip to Disneyland Paris, sampling and promotional offers in-store in order to drive shopper trial.

Significant year for Mcvities

Enjoyed by Irish families for generations, McVitie’s remains a popular household name with a portfolio of much-loved iconic brands including McVitie’s Digestives, Jaffa Cakes, Rich Tea, Hob Nobs, and Penguin. McVitie’s continue to invest in product quality and new product development along with strong advertising and promotional initiatives.

2011 is yet another significant year for McVitie’s with the launch of new brands Medley and Quirks. Mixing it up, the new range of Medley bars combine the great taste of McVitie’s favourite biscuits, Digestives and Hob Nobs, with the goodness of cereals and other ingredients such as raisins, nuts and milk chocolate. Quirks, are a unique new range of crunchy biscuits with a yummy smooth chocolate flavoured centre – perfect for an any time treat.

McVitie’s made tea breaks even more rewarding in 2011 with the launch of their VIP club (http://www.mcvities.co.uk/vipclub). Running across the popular McVitie’s Digestives, Jaffa Cakes, HobNobs, Rich Tea, Penguin etc, the McVitie’s VIP Club promotion rewards Irish biscuit lovers with the chance to collect points to earn lots of exciting tea break treats. *
2012 is set to be yet another exciting year for the brand with another fun initiative to reward loyal McVitie’s biscuit lovers along with new ‘best ever’ recipes, new flavours of old time favourites and so much more.

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