Page 25 - BOSS Today Issue 22
P. 25

drinks but, anecdotally, office
        Figure 1: UK Impulse Food                £1.6bn       demand for these products
        Category Size & Growth 2013
                                                    3.4%      is believed to be growing at
                                                              least in line with the overall
                                    £867m
                                                              market. Certainly, Hurley sees
                                       -6%
                                                              real opportunities for both
           £399m       £463m
                                                              Britvic and the OP channel here:
             -1%          -3%
                                                              “Soft drinks is a completely   So how is Britvic able to
                                                              different proposition to selling   encourage and support those
                                                              office supplies. It’s creating   ‘thousand’ doors to take
                                                              more of a service for OP   advantage of the opportunities
                                                              resellers’ customers, so there’s   offered? “We can provide market
                                                              an education process needed.   insights into consumer trends;
                                                              The challenge for us is selling   we’ve got very recognisable
         Crisps and    Sugar       Chocolate      Soft
          Snacks     Confectionery  Confectionery  Drinks     the benefits of stocking soft   brands that are advertised
                                                              drinks when OP resellers have   nationally; we can also reinforce
         There are a number of factors   interest in own label products   traditionally been doing furniture   that message at an outlet level.”
       driving this growth, including   less widespread and more   or stationery.”       Promotional support is also
       the continued proliferation   discriminatory.            Indeed, Hurley is keen   available, but Hurley is quick
       within the wider UK population   Another factor driving the   to emphasise that Britvic is   to recognise that these should
       of generations who ‘grew up’   market is a trend towards higher   encouraged by the opportunities   be tailored to the channel:
       on soft drinks, as well as the   unit value sports and energy   that the very structure of the   “Generally, in terms of volume
       widespread use of ‘Meal Deals’   drinks, which now have a 24%   UK OP industry presents: “The   of stock, some OP resellers
       which include soft drinks as part   share of the overall market. Also   opportunity for us is with the   are pretty small, so buying
       of the promotion. However the   growing are juice and squash   resellers within the OP industry,   promotions don’t really work.
       main factor is believed to be the   drinks, while the cola sector –   from large national to regional   What works is to get the stock
       growth of value offerings, since   one of the largest categories – is   accounts, but the difference   they have bought moving
       demand for value ranges and   in decline, suggesting a wider   as we see it is the amount of   faster.”  With the shelf life of
       own label products tends to   trend for energy drinks, as well   resellers. Where historically we   soft drink products being six to
       grow during recessions.    as a demand for drinks with a   have operated on an outlet to   nine months, this makes a lot of
         Nevertheless, it is worth   higher fruit juice content.  outlet basis, we find here that an   sense.
       noting that the MWA/OPI                                OP [wholesaler or dealer group]
       research study found that   A Thousand Doors           catalogue opens up a doorway   Mine’s A Latte
       demand for proprietary brands   According to Stephen Hurley,   to a thousand outlets, whereas   As a nation, we consume 9.85
       was particularly strong in the   Customer Development   traditionally we have got to   billion cups of coffee in an out
       catering category, with B2B   Manager at Britvic Soft Drinks,   knock on a thousand doors.   of home (OOH) environment
                                                                                                 1
       end-users being less interested   there is no recognised data on   That’s one of the key benefits   every year , representing c30%
       in just taking any brand, and   UK office consumption of soft   with the office trade.”  of total drinks consumed out

                                                                                                 May 2014 | BOSS TODAY  25


   Bevs.indd   3                                                                                             08/05/2014   09:19
   20   21   22   23   24   25   26   27   28   29   30