Page 12 - BOSS Today Issue 18
P. 12

Special Report - Back to School














                                                                                         right. We put units in the power
         BTS 2013 LaTeST!                                                                aisles and by the tills. You have
                                                                                         to offer the right promotions.
                                                                                         For the education channels it’s
                                                                                         firstly a matter of getting the
         The latest retail and BTS sales data from GfK shows that this market continues to flourish:  products onto the catalogue
                                                                                         page.”  However, one result of
         n To date in 2013 (January - May), the retail channel has seen a slowdown in    this market’s conservatism is
         comparison to 2012 but still shows value growth of 6.1%. The key drivers of this    that manufacturers can find
         growth so far have been ballpoints, graphite pencils, highlighters and markers but also    it very difficult to persuade
         non-writing instrument areas such as staplers (25%) and notebooks/notepads (21%).  retailers and schools to accept
                                                                                         new products.  However, once
         n Brands have been increasing and taking share from own label products so far in 2013   these have been accepted,
         and this should help maintain brand presence leading into and throughout        this conservatism becomes a
         BTS 2013.                                                                       very positive factor, as Knibbs
                                                                                         explains:  “It’s hard to establish
         n On-line purchases have also seen a 12.8% uplift over the BTS period for stationery   a product in the BTS sector, but
         products. This strong value growth is seen across most categories e.g. adhesive tapes   once it’s on the core list it will
         (19%), colouring pencils (53%) and scissors (36%).                              just sell and sell.”
                                                                                           Nevertheless, once products
             Some of the data in this report has been supplied by GFK,                   have been successfully listed,
             www.gfkrt.com/uk, the providers of the BOSS Market Tracking
             service. For further information please visit www.bossfederation.           manufacturers are advised to
             co.uk and click on the Market Tracking Service page.
                                                                                         support them: for example,
                                                                                         Henkel’s approach is threefold
       market appears to be an innate                                                    “We communicate to the
       conservatism: as a result,                                                        teachers directly through
       the BTS season is regarded                                                        the e-mail database that we
       largely as a branded market,                                                      have built up. We also offer
       as Pipet observes: “It’s very                                                     promotions such as free craft
       much a branded opportunity.                                                       booklets for school orders
       Our market share goes up                                                          to build the added value
       dramatically in the BTS period.                                                   perception.  It’s also vital to
       Nobody really pushes private                                                      exhibit at the Education Show
       label during BTS.”  There are                                                     at the NEC in March each year:
       exceptions to this, of course:                                                    that’s the main opportunity,
       for more commoditised                                                             because the heads and bursars
       products, such as paper,                                                          - the main school budget
       schools will tend to buy at                                                       holders - will be there.”
       the cheaper end, because the                                                        It is clear that the promotion
       paper is used internally or for                                                   that tends to work best in the
       communications to parents,                                                        BTS season depends partly on
       so many OP dealers can                                                            the customer and product,
       successfully sell private label   retailers tend to flirt with own   Show and tell  but is generally based on
       paper into schools.  However,   label one year and then come   In order to take advantage   price.  While there are no set
       amongst the mass market    back to brands the next.”   of this branded market     ‘winners’, BOGOF, half price,
       retailers the position tends to   If brand is important, so   opportunity, it’s clear that   three for two etc appear to be
       fluctuate, as Knibbs explains:   is width of range: one of the   the primary strategy for   the most widely used. However,
       “Pupils and students are very   peculiarities of this market is   manufacturers is simply to work   as Knibbs warns, it is important
       conscious of what is cool, and   that consumers prefer to have   hard to get their products into   for manufacturers to be flexible
       cheap products are not cool   complementary products: pens,   stores, as Pipet points out: “For   when it comes to promotions:
       and their parents don’t want to   erasers, rulers, and notebooks   retail, we have to make sure   “A lot of the bigger retailers
       embarrass their kids by getting   that look the same and are at   that we are in the right place in   have their own campaigns for
       them uncool products.  So the   around the same price point.  the store.  You’ve got to get this   BTS, and you have to go with

       12  BOSS TODAY | July/August 2013


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