security your next robbery is being planned now! august 2016...business management fmcg august 2016...
TRANSCRIPT
BUSINESS ■ MANAGEMENT ■ FMCG
www.supermarket.co.za
AUGUST 2016 R60.00 (incl. VAT)
SECURITY
Your next robbery is being planned now!
STOREWATCH:
New supermarket dazzles with fruit
and vegetablesMAKING PROFIT:
The gift of Christmas
BACK TO SCHOOL:
Bad for kids, good for youOILS AND DRESSINGS:
It’s all about oils
1SUPERMARKET & RETAILER, AUGUST 2016
F E A T U R E S
BUSINESS • MANAGEMENT • FMCGAUGUST 2016 • Vol 66 No 8
R E G U L A R S
9 StorewatchNew supermarket dazzles with fruit and vegetables. Vegiking Lifestyle Supermarket officially opened its doors in Secunda at the end of June, offering an up-market shopping experience with affordable prices By Tarina Coetzee
24 Making profitHow well prepared are you for Christmas? Now is the time to put to bed all your preparations for the Christmas and New Year trade. Make sure that you do not miss out on the seasonal peak in sales By Hippo Zourides
26 Oils & dressingsAll about oils. The cooking oil aisle is no longer just a place where customers expect to find sunflower oil and a small range of olive oils. Here’s what you need to know
28 Back to schoolBad for kids, good for you. Customers will soon start buying new notepads, pens and accessories for school, college or university. Are you ready for them?
15 SecurityYour next robbery is being planned now! As you are reading this article, South Africa’s most violent and professional criminals may be working on a plan to rob your store. Here’s what you can do to minimise the risk By Tarina Coetzee
3 What’s new?All the latest products, new variants and packaging changes
7 Delight your customersHow to deal with pets in your store. Are pets and their owners welcome in your store? Or do they cause a lot of hassle and unhappiness for your other customers and staff? By Aki Kalliatakis
12 S&R/Field Agent BarometerThe availability standard. This month we consolidate the audits of three regions – Gauteng, Western Province and Kwazulu-Natal – to compare availability of shrinkage-sensitive products on the sales floor
14 On promotionMore than veggies for the vegetarians. World Vegetarian Day is celebrated on 1 October and vegetarian and vegan diets have never been as popular as they are today. This month we give you the October promotional calendar
30 Back to basicsStaff recruitment process and contractual obligations. Good processes at the start of the employment relationship will result in fewer problems later By Hippo Zourides
31 Industry news & diaryA collection of local and international items of interest to retailers, plus a calendar of upcoming trade fairs and events
C O V E R S T O R Y
2SUPERMARKET & RETAILER, AUGUST 2016
Are you prepared for Christmas?While you prepare for the annual summer-holiday harvest there
is a question you may want to ask. Who is better prepared for the
summer-holiday sales boom? You, or the cash gang robbers?
You may be surprised to learn just how professional these criminals are. They plan
their robberies up to a year in advance – time enough for them to learn just about
everything about your defenses and weaknesses and that of the security services
that protect you.
Insurance and the services of cash-handling service providers can mitigate the
potential cash loss. What’s hard to mitigate is the trauma to you, your staff and
customers and their fear of coming to your store.
In this issue we examine the modus operandi of these highly professional gangs
and what you can do to defend your store from their attacks. It is clear is that you
cannot rest. You have to keep up with the technology, the staff training and the
vigilance. Truly, your next robbery is being planned now!
Protecting your hard-earned cash is one thing, making it is another. In this issue
we look at opportunities to boost holiday sales and profits.
So, as you put to bed all your preparations for Christmas and New Year, read our
checklist to ensure you do not miss out on the season’s harvest.
It’s also that time of year again when you have to review stationery. Customers
will soon come in to buy new notepads, pens and accessories for school, college or
university.
While back-to-school sales start ever earlier and school supplies have for some
parents become part of their Christmas shopping, a bit of clever thinking can make
back-to-school shopping last for the entire year. And it is not all about stationery.
Ideas on healthy and convenient school lunches will make the back-to-school
frenzy for parents so much easier. Make going back to school a bit less traumatic
for parents and children. It’s something they will love you for.
Turning to day-to-day operations, there’s plenty in this issue to get your teeth
into. For example, the cooking oil aisle is no longer just a place where customers
expect to find sunflower oil and a small range of olive oils. Now they also look for
exotic oils with distinct flavours that make tasty and healthy additions to your
customers’ cooking repertoire.
But, a store is only as good as the staff serving the customers.
Many stores avoid advertising for staff to avoid the flood of worthless CVs,
appointing staff through word of mouth instead. But this approach can be very
dangerous. In Back-to-Basics this month, we help you through all the pitfalls of
recruiting and managing staff.
We know you will do a lot to keep your customers happy. But when is it too
much?
Are pets welcome in your store? Or do they cause a lot of hassle for your other
customers and staff?
In Delight your Customers, this month we look at how to handle customers and
their pets in such a way that everybody is happy and no one is offended.
There’s always change and something new going on in our industry. Vegiking
Lifestyle Supermarket opened its doors in Secunda at the end of June, offering up-
market shopping at affordable prices. In Storewatch we meet the owners who are
ready to take on all the retail challenges coming their way.
Learn how they have merged two kinds of skills into a new store concept.
As we start the run up to Christmas we hope this issue brings you insights, ideas
and inspiration that’ll make you more successful. Have a good read.
\ AUGUST 2016 ■ Vol. 66 No 8Website: www.supermarket.co.za
■ ■ EDITORIAL ■ ■ ■ ■
Managing Editor: Stephen Maister (BCom)[email protected] PA to Managing Editor:Ivana [email protected] Editor:Hippo [email protected]:Tarina [email protected] Editor:Nina [email protected]
■ ■ AD SALES ■ ■ ■ ■
Johannesburg: 011–728-7006Stephen Maister: 082-604-5606Helen Maister: 082-601-3055Durban: 031-312-6810Marlane Williams: 083-447-3554Cape Town: 021-554-3761Karen Prumm: [email protected] Advertising email: [email protected] bookings:Ivana [email protected]: 086-505-0351
■ ■ CIRCULATION, SUBSCRIPTIONS AND ACCOUNTS ■ ■ ■ ■
Muneera KaraEmail: [email protected]
[email protected]: 086-505-0322
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Financial director: Lydia Maisteremail: [email protected]
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Phone: 011-728-7006Fax: 011-728-6182 or 086-528-0754Postal Address:P O Box 46066, Orange Grove, 2119Physical Address:15 Grove Road, Cnr 3rd Avenue, Mountain View, 2192
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EDITORIAL COMMENT
Stephen Maister
McCain’s revolutionary approach to side dishesThe new McCain Signatures frozen
pelleted vegetable side dishes ensure that
operators have consistent access to quality
side dishes, without wastage. Different
vegetable side dishes are produced,
enabling operators to use what they
need and return the rest to the freezer,
ensuring consistent quality, consistent
pricing and consistently happy customers.
The side dishes, which include Creamed
Spinach, Mashed Butternut and Mashed
Cauliflower, have a net weight of about
10g. All of the new McCain side dishes
have been formulated to be used as is to
suit all South African palates, or they can
be adapted by chefs to make their own
signature dishes.
Baking with pizzazz
Baking has never been bigger. Reality
baking shows and the popularity of baking
and cookery entertainment in general
have given rise to a new generation of
bakers. It is for this new generation of
whiskers, blenders, sifters and kneaders
that Robertsons has created a series of
new additions to its baking range. The new
goodies add a dollop of pizzazz to the most
ordinary of cupcakes, muffins and desserts.
The new range includes: Decorative
Sprinkles are perfect for adding fun and
colour to baking, desserts or even ice-
cream. The new variations of these sprinkles
are Trio Bubbles, Choc Mint Crunch, Choc
Honeycomb Crunch, Chocolate Flavoured
Drops, Rainbow Vermicelli, Chocolate
Vermicelli and Caramel Vermicelli. Cocoa
Powder comes in three sizes namely 25g,
100g right up to a whopping 200g pack for
those who want to go large. It’s made
from the finest quality cocoa beans, giving
a rich dark chocolate flavour to all bakes
that have cocoa on the ingredient list. It
can be sprinkled over porridge, Irish coffees
and hot chocolates to give an added punch
of chocolate flavour. And yes, of course, it
is perfect for both hot and cold cocoa and
chocolatey drinks.
Time for ice creamCadbury, South Africa’s number one
chocolate brand, offers exciting ice cream
flavours made with real Cadbury Milk
Chocolate.
Oreo, the biggest
biscuit brand in
the world is now
available in a range
of delicious ice-cream
treats.
Cadbury Dairy Milk Stick
– Vanilla ice cream with
a delicious milk chocolate
swirl, covered with Cadbury
Milk Chocolate.
Cadbury Crunchie Stick – Crunchie
flavoured ice cream, covered in Cadbury
Milk Chocolate with popping candy.
Cadbury Flake cone –
Crispy biscuit cone coated
in milk chocolate, filled with
vanilla flavoured ice cream,
topped with a decadent
crumbly Flake bar and sprinkled
with chocolate curls.
Oreo Cone – Crispy wafer cone
with vanilla flavoured ice cream,
topped with crushed chocolate f
lavoured Oreo biscuits.
Oreo Ice Cream Sandwich – Chocolate
Oreo biscuits, sandwiched with a smooth
layer of vanilla flavoured ice cream infused
with real Oreo biscuit pieces.
See their advertisement on page 13. Visit
www.dairymaid.co.za or contact Dairy maid
on 080 039 0022 or send an email to
Crunchie – bigger than ever
The Cadbury Crunchie from Kraft Foods
SA is now 21% (7g) bigger than before.
It offers chocolate lovers even more
honeycomb smothered in Cadbury Milk
Chocolate. The 40g chocolate bars are packed 48 per shipper, and cost R5,99 each.
Popping and healthyJust Popcorn offers a range of low GI, MSG and tartrazine free snacks, available in a delicious range
of flavours that are endorsed by the Glycemic Index Foundation of South Africa and Diabetes South Africa. The flavours include Butter, Cheese, Chutney, Salt & Vinegar, Seasalt & Black Pepper, Lightly Salted, Sour Cream & Chives, Mexican Chilli and Parmesan. It is available in supermarkets at a reccommended retail price of R8,50 for 65g.
It’s on tapEngen’s new Pure Water On Tap water bars will enable customers to either refill their own bottles or purchase pre-filled water at reduced rates. A refill using your own bottle will cost around
R1 per litre. A 500ml prefilled bottle costs around R4,50. Another advantage is that for every litre purified, there is an additional two litres of water that can be recycled and used by dealers as grey water, and stored in JoJo tanks. Customers have the option of buying pre-filled bottles of pure water in 500ml, 750ml, 1l and 5l containers or topping up their 5l, 10l, 20l and 25l bottles.
New drink for bantersFermented foods are fast gaining ground as the latest foodie fad and health
food wonder. Not only do they have an attractively tangy flavour profile, they’re also better for you than their unfermented counterparts. The Probyo Digestive, Probyo Immune and Probyo Sports drinks all contain live probiotics, including Lactobacillus and Bifidobacterium, which encourage positive health benefits. The new range is affiliated with The Noakes Foundation. Each 500ml bottle costs R120 and will last for approximately four weeks at daily dose of 15ml.
3SUPERMARKET & RETAILER, AUGUST 2016
WHAT’S NEW?
▲
Paradise, Blissful
Berry, Cinnamon
& Honey, Lavender
and Magnolia – are
sure to make a
bold statement on
the supermarket
shelves. “Keeping
our look fresh is
very important in an already competitive
market. Satiskin has grown tremendously
over the past few years, and we are making
sure that it stays that way by keeping our
look up-to-date and desirable,” says Karen
Kohler, Satiskin brand manager. Satiskin
hand washes are available in six indulgent
flavours – Cocoa Butter, Ocean Paradise,
Blissful Berry, Cinnamon & Honey, Lavender
and Magnolia – giving consumers the
opportunity to find their favourite, and add
a little extravagance when next washing
their hands. All Satiskin hand washes are pH
balanced and offer gentle hygiene. With the
inclusion of glycerine and vitamins hands
are left satin soft after each wash.
Beautiful nails and healthy lips
Kroko NailFix helps to heal nails that have
been damaged by trauma or infection.
If nails are varnished, remove varnish,
trim the nails short, scrub with warm
water and soap and dry well. A thin coat
of Kroko NailFix should be applied to
the unvarnished, damaged nail in the
morning and evening until the damaged
part of the nail has grown out. It is
available at R105 for a bottle containing
8ml. Kroko ColdSoreFix is an effective
and simple remedy to treat cold sores.
Kroko ColdSoreFix contains a two-in-one
treatment and each pack contains two
bottles: a hygienic cleanser in a bottle with
a red lid, and a transparent, colourless,
protective liquid in a bottle with a blue lid.
Wrap yourself in suede this winter Winter 2016 equals suede everything!
This fashion flashback from the 1970s has
reemerged and is here to stay. Whether
you prefer high-waisted suede skirts, suede
ankle boots or a beautiful suede handbag
Pure pleasureThree Ships
Whisky has
launched a
limited-edition
10-year-old single
malt. The whisky
follows the
successful release
of the first single
malt launched
in 2003 and the collector’s tin series over
a three-year period in 2010, 2011 and
2012. Bottled at a strength of 44,6%, it
is presented in its purest form. Rich and
complex, the wonderful combination of
pepper, spice, sweet oak, roasted malt,
digestive biscuits, dark toffee and peat
reveals slowly as the creaminess in the
mouth lingers. The finish is exceptionally
smooth, full-bodied with a long fruity,
peaty aftertaste and slight hint of liquorice.
The single malt is produced at The James
Sedgwick Distillery in Wellington where the
year-round warm temperature accelerates
the interaction between the cask and
the spirit, allowing the whisky to portray
an elegancy associated with much older
whiskies. The Three Ships 10 Year Old Single
Malt 2005 vintage will be available at
select liquor at R524,95 per bottle.
Jose Cuervo launches new tequila
Jose Cuervo is more rocking
than ever as it reveals its
new special edition Rolling
Stones Jose Cuervo Especial
Silver tequila. Launched at
SA’s biggest rock festival,
Oppikoppi, in celebration of
the legendary Rolling Stones
1972 North American tour
and the drink that fuelled it,
Jose Cuervo brought a taste of
this iconic rock band to the
festival to launch the special edition
bottle, which will be on shelf mid-August.
The special edition Rolling Stones Jose
Cuervo Especial bottles will be available
at a recommended price of R209 a bottle
(750ml).
Satiskin hand washes – new look, new statementBoasting a vibrant new look, Satiskin hand
washes – available in Cocoa Butter, Ocean
surface adds
style and
elegance to
any wardrobe.
Make sure that
your favourite
winter fashion
suede item
goes the extra mile this season by investing
in the Plush range of suede-care products.
The Plush Suede & Nubuck Cleaner is
suitable for all colours and is specially
formulated to clean and soften suede and
nubuck, while the Suede & Nubuck Renew
comes in a variety of shades to soften,
nourish and revive colour. Both products
are available at R45,99 for 200ml.
4SUPERMARKET & RETAILER, AUGUST 2016
WHAT’S NEW? ▲Supermarket
& Retailer celebrates its
60th year!
Your essential 2016 equipment & services
Buyers GuideGet this service online atsupermarket.co.za
Our Mobi New Products site is dedicated to the latest in product
and packaging innovation and sends a notification right to the palm of your hand as the launch happens.
Go to m.supermarket.co.za to see the products featured. A free
subscription offers you the
full functionality of the mobi site.
How to deal with pets in your storeAre pets and their owners welcome in your store? Or do they cause a lot of hassle and unhappiness for your other customers and staff?
Service animals that accompany disabled people are well trained and will never attack anyone, and will certainly never mess in your store.
At a coffee shop in a small mall a
few weeks ago, I noticed that the
waiters suddenly became agitated
by something happening outside.
I immediately assumed that some crime
had taken place and started preparing my
family to crawl under the table when we
noticed that a man walked past with a
huge snake draped over his shoulders.
What happens when a customer brings
a pet dog, cat, monkey, lizard, hamster or
even a snake into your store? As they walk
around nonchalantly, you notice that some
customers find it all quite interesting and
cute, but there are also looks of disapproval,
disgust or horror on the faces of some
other customers. What can you do?
If the pet owner is disabled, they will be
accompanied by so-called ‘service animals’,
which are in most cases incredibly well
trained. They will never attack anyone, and
will certainly never mess in your store.
These incredible dogs stick with their
owners, even through the most horrific
events such as terrorist attacks.
In any event, there are laws enshrined
in our constitution that protect disabled
people, and you don’t want a public-
relations disaster if you discriminate or
refuse to allow a disabled person to bring
their guide dog (or similar) into your store,
no matter what your staff or customers
think or want.
But if the pet’s owner has no visible
disability – he or she is just a customer or
a family member with a ‘comfort’ pet –
the answer is not so obvious. It seems to
become more and more common today,
and some customers have even claimed
that their disability is an invisible physical,
emotional or psychological problem like
diabetes, hearing loss, depression, anxiety
or even post-traumatic stress disorder
(PTSD).
It is not just businesses that deal with
food: what about doctors’ rooms and
other places of medical therapy, hospitals,
movies, schools or playgrounds, office
spaces, airplanes or hotels?
Of course, it does not help that the
media often report on horrific attacks by
animals on people that resulted in serious
injury or even death. And it also does not
help that many cultures and religions reject
animals coming too close to human beings,
as with Muslim people and pigs.
Just to further confuse the situation,
a lawyer who deals with disabled people
told me that one is not allowed to ask too
many questions. Generally speaking, you
are only allowed to ask two questions:
“Is that animal required because of a
disability?” and “What training has the
animal received?”
What happens when the fur starts to
fly? Bearing in mind that you can only
ask those two questions, carefully observe
the person’s answer. A legitimate disabled
person will probably give you a straight-
forward response, the animal’s behaviour,
health, grooming and appearance seems
acceptable, and they may even offer notes
from a medical professional and/or a
competent organisation (like SA Blind Dogs
Association) that has trained the pet.
The pet will be properly controlled with a
leash, for example, and I have even seen a
monkey with a nappy strapped around its
waist.
On the other hand, if the animal runs
around freely, makes a mess, sniffs and
licks other people, responds to the ‘likes’
and growls at the ‘dislikes’, or if a customer
trivialises the situation, gets impatient
or aggressive with you, or if they are
uncertain about their reply, there is a good
chance that they are taking liberties with
a favourite, albeit unnecessary, pet. Again,
if they want to make an issue by claiming
you have offended them (or insulted their
pet), be sensitive and show empathy and
flexibility. Being hard-line is probably not
a good idea: You don’t want to be seen as
a bully.
What else can you do to avoid trouble? ■ Your staff must be trained to deal with
these situations. Discuss issues around
disability, culture, religion and animals.
7SUPERMARKET & RETAILER, AUGUST 2016
DELIGHT YOUR CUSTOMERS ▲
By Aki kAlliAtAkis
Aki Kalliatakis is the managing partner of The Leadership LaunchPad, a company dedicated to helping clients become more customer driven. He can be contacted at (011) 640 3958, or via the website at www.leadershiplaunchpad.co.za
Show empathy and flexibility when customers bring their pets into your store, while also keeping in mind that other customers will not be comfortable with the presence of animals when they are shopping.
8SUPERMARKET & RETAILER, AUGUST 2016
Promote a better understanding of these, and address their fears or beliefs. Train them to observe signs that are positive or negative about pets and their owners. Help them to deal with their own stress and/or views. Brief them about the laws relating to disabled people and pets. And most of all, ensure that they have the skills and confidence to deal with customers in a polite manner.
■ Signs outside your business, or communi cation with your customers, can also make a difference. Explain exactly what your policy and beliefs are. Use written communication and posters, your website, letters and emails, and special conversations if needed. Avoid being defensive, but rather be positive and pro-active. (By the way, does your business actually have a policy in place?)
■ Provide special facilities for pets, as many restaurants and business have been forced to do with anti-smoking legislation. If it is a regular event, then all the more reason to make it a priority. This is especially true when customers or your staff claim to have an allergy, or if their fear of animals is debilitating. Reasonable modifications like good protective floor and furniture coverings for easy cleaning, and proper ventilation are a start, but you can also provide special cleaning/hygiene facilities for people with sanitised towels and a disinfectant spray, for example. I have even seen one business with a separate entrance for pet lovers, and once the customer left, the cleaners came in immediately to clean the waiting room. I have also heard of a supermarket that has “pet-friendly hours” once a week at the end of the day when all other customers have left. (On the subject of allergies, it is quite hard to not get personal. For example, are you going to ban perfume, nuts, and cat hair on clothes because some of your customers are allergic?)
■ When something goes wrong, be prepared. If an animal bites another person, or is really badly behaved, treat the victim with a sense of urgency and respect, and impress other customers and staff with your ability to deal with these delicate situations. You may have to firmly expel the customer and the pet. Decide now who will deal with this, and what they will do and say. Have the telephone numbers of security, police and the local SPCA easily available. Record exactly what happened, for later reference. (By the way, if the animal and/or owner are particularly unruly, you will find that other people support you completely, and there shouldn’t be a backlash.)
These are not solutions that will help you avoid all problems, especially with pet lovers who do not respect other people, or who have issues with their egos, but they may help you to avoid most problems that may come up. And if all else fails, maybe it is time to get a really hungry crocodile to lie down outside your main entrance and help you get rid of those pesky cats!
DELIGHT YOUR CUSTOMERS ▲
Vegiking Lifestyle Supermarket
officially opened its doors in
Secunda at the end of June,
offering an up-market shopping
experience with affordable prices.
The Lifestyle franchise, owned by the
ICC Buying Group, offers franchisees
the opportunity to own supermarkets,
hardware and building-supply stores, and
liquor outlets that can compete with other
national retail brands.
André Botha, a former engineer, and
Madalena Faulha, who hails from a family
of grocers, are the owners of the new store.
Faulha used to be the owner of Vegiking
Fruit and Veg that has been doing business
in the centre where the Vegiking Lifestyle
Supermarket is now located since 2001.
The 800m2 store has 36 full-time and
two casual employees. At the moment
the trading hours are from 08:00 to 19:00,
but in the summer months it will be
extended to 20:00. Faulha says Saturdays
are the busiest days. The store has six
checkout points using IQ Retail point-
of-sale software. The centre has its own
parking area, but sometimes, especially on
a Saturday, there are not enough parking
spaces for all the customers. She foresees
that this will become more of a challenge
in future.
Of all the departments in the store,
Faulha is the proudest of the fruit and
vegetable department.
“I am passionate about fresh produce,
and the fruit and vegetable department is
the flagship of the store. I believe we can
compete with any other store in town on
price and presentation. This department
sets the benchmark for all the other
departments in our store,” she says.
People come to Vegiking Lifestyle
Supermarket from other parts of Secunda
just to buy fruit and vegetables. Faulha
believes the presentation has a lot to do
with the success of the department. She
uses trolley baskets to display the produce
and a lot of emphasis is placed on the
correct lighting. The signwriting is clear,
modern and clean.
Using the trolley baskets was my own
idea. When I saw them for the first time, I
just knew they would work. They encourage
customers to buy more, because the
products are so accessible and it looks so
good,” she says. It is also quick and easy for
staff to pack.
“Her aim is now to get all the other
departments on the same standard as the
fruit and vegetable department.
Faulha also has big plans for the bakery.
She says the bakery is doing well, and
the bread they bake in the store sell out
every day.
“But it still needs fine-tuning,” she says.
They have hired a consultant to train
their bakers and the plan is to add
speciality and artisan breads to the range
sold in the bakery.
The hot-foods department is also picking
up and the food is displayed on white trays
to make it more attractive for customers,
also Faulha’s idea.
The dry-grocery department is also doing
well, and Faulha is constantly working on
the range of products that are available and
adjusting where necessary. Her next step is
to expand on the range of snacks on offer.
There are no competitors for the
store in the centre, but Vegiking Lifestyle
Supermarket has an interesting agreement
with the butchery located in the centre.
“We do not have a butchery in our store,
but we have a dedicated fridge where we
sell meat supplied by the butchery in the
centre. It is a win-win situation, because we
offer meat to our customers without taking
business away from the butchery, while he
benefits from our after-hours customers
when the butchery is no longer open,” says
Botha. The meat is sold at the same price
as in the butchery. It is pre-packed and only
a small range is on offer.
An added benefit for Vegiking Lifestyle
Supermarket is that Botha owns the centre
where the supermarket is located, so he can
control the mix of retailers in the centre.
9SUPERMARKET & RETAILER, AUGUST 2016
STOREWATCH By tArinA Coetzee▲
The fruit and vegetable department is the flagship of the store. Trolleys are used to display the produce and a lot of emphasis is placed on the correct lighting.
New supermarket dazzles with fruit and vegetables
Fresh flowers are on display in the front of the store.
Faulha says their store has an upmarket
image, but with affordable prices.
There are a number of other supermarkets
in Secunda, including an OK Foods, a Spar,
Choppies, Multisave, a Pick n Pay Family
Store and a Checkers.
Faulha says the people of Secunda tend
to shop in the areas where they live. The
store is located in a high-density area,
which is a great benefit. There is also talk
about a new school to be built close by.
“We aim to serve the customers in the
community that surrounds our shop. And
at the moment, the economy is not good.
We see it every day. We do deliveries to
restaurants and from what they order, we
can see that it is tough out there. A new
Choppies store opened in Secunda on the
same day as we opened our store. And
A Lifestyle liquor store will open
soon and will be located next to the
supermarket.
The store, previously a Foodzone, has
had a complete renovation, including new
raised ceilings with alububble for better
insulation, LED lighting for improved energy
efficiency, new tiles, modern shelving with
a wooden finish, large-print branding and
proper merchandising with extensively
stocked shelves.
Botha says energy efficiency is very
important to them.
“We have replaced the old fridges and
freezers with energy-efficient models
and we plan to fit al the new fridges
with curtains to further improve energy
efficiency. These curtains will also help to
extend the shelf life of products.”
They have also installed a new cold room
and plan to install another one specifically
for fruit and vegetables. There is also a
well-insulated freezer room.
ICC’s Gert Scheepers is upbeat about the
success of this store after the hard work,
focus and dedication the owners displayed
during build-up.
Manny Gouveia, Lifestyle franchise
manager, is proud of the first Lifestyle
Supermarket that is aimed at the higher
LSM market. “We have elevated the offering
to a level that can compete with any
well-known supermarket brand at
a fraction of the start-up and monthly
costs. Our prices are extremely competitive
and we have service areas that can
compete confidently worldwide.”
I would be lying if I say it wasn’t tough,”
she says.
The store benefits from promotions
done by the ICC Buying group. They use
advertising boards outside the store to
advertise these specials.
They have daily specials decided on
by the store manager and these are also
advertised on posters. At the moment they
are advertising in the local newspaper and
are considering advertising on the local
radio station. Among the plans for the
future is a terminal selling lotto tickets.
They are also working on making airtime
available for customers.
Faulha also believes in sourcing products
locally and is always on the lookout for
products from local suppliers. “I believe in
investing in the local community,” she says.
10SUPERMARKET & RETAILER, AUGUST 2016
STOREWATCH ▲
All the old fridges and freezers were replaced with energy-efficient models and the plan to fit al the new fridges with curtains to further improve energy efficiency.
The braai display is located in the front of the store.
11SUPERMARKET & RETAILER, AUGUST 2016
Food in the hot-foods department is displayed on white trays to make it more attractive for customers.
Faulha is constantly working on the range of groceries and adjusting where necessary.
There is no butchery in the store, but a small range supplied by the butchery in the centre is made available to customers.
Fruit-and-vegetable displays are attractive and accessible.
The availability standardOver the past few months, Field Agent has published results of audits
done in Gauteng, Western Province and Kwazulu-Natal. In this publication,
we consolidate all three regions to compare availability of shrinkage-
sensitive products on the sales floor.
Scoring was uniform, and ranged between:
■ Highest – Easily available for self-
selection on the sales floor in adequate
numbers; and
Crowdsourcing via smartphones provides
an unbiased, real-time understanding of
consumer shopping habits and frustrations,
assisting retailers to focus on relevant
operational issues and reinforce customer
loyalty and shopper satisfaction. Feedback
is collected through photos, videos, audio
timers and barcode scanners, capturing
consumer insights instantaneously.
High risk, high reward?It is no secret that stores such as Dischem,
who display these high-risk products on the
sales floor as opposed to closed cabinets,
are the top sellers in the retail trade.
Regardless of the merchandising decision
(openly available on the sales floor, locked
in a cabinet, or kept behind the checkout
counter), defensive strategies should be
kept to a minimum without frustrating the
shopper and ultimately to increase sales.
This can be achieved through a balanced
approach of adequate security controls,
perpetual daily stock counts, compliance
and staff awareness training.
We surveyed 315 responses, equally
spread across three provinces, and seven
retailers. Items tested were:
■ Bio Oil 125ml
■ Gillette Fusion Manual Blades 4s
■ Nestle Nan Infant Formula 1
■ Grand-Pa Headache Powders 25s
■ Lowest – Only available behind
a counter or locked in a cabinet
(defensively merchandised).
In terms of availability on the shop floor,
Dischem took the highest share (20%),
followed by Clicks (18%), Checkers (17%),
Pick n Pay (13%), Spar (12%), Game (11%),
and Woolworths (9%). At checkout, or
behind the counters, the most defensive
retailer was found to be Spar (due in most
part to blades).
12SUPERMARKET & RETAILER, AUGUST 2016
S&R/FIELD AGENT BAROMETER
with plant proteins appeared stagnant,
whereas innovation activity has increased
dramatically over the last two years. In
fact, the share of meal and meal centres
containing plant-based protein climbed
from 9% in 2013 to 23% in 2015,
according to Mintel’s Global New Products
Database.
“Meat substitutes are increasingly
spreading across various segments of the
German meals and meal-centres category,
recreating meat-based recipes. From
spaghetti bolognese and paella to chilli
con carne, recent launches of vegetarian
and vegan prepared meals feature an
unprecedented variety of ‘meaty’ recipes
and flavours. The growing use of plant-
based meat substitutes in meals and meal
centres highlights how foods that were
once considered as inferior alternatives to
non-vegetarian and non-vegan options are
now becoming legitimate contenders for
the attention of every-day consumers,”
says Katya Witham, senior food and drink
analyst at Mintel.
Mintel’s consumer research from 2015
confirms this trend, revealing growing
interest in meat-free eating and flexi-
tarianism in Germany. Whereas only 7% of
German adults claim to follow a vegetarian
diet, more than a third (33%) say they are
actively reducing their consumption of red
meat, while 19% say they are incorporating
More than veggies for the vegetarians
World Vegetarian Day is celebrated
on 1 October and vegetarian and
vegan diets have never been as
popular as they are today.
It is crucial for supermarket operators to
remain in touch with this new and exciting
market and the products available to
attract them to the store.
And it is not only vegetarians consuming
vegetarian products. Many meat-eaters are
also opting for a diet of less meat.
Vegetarian and vegan meals and meal
centres are booming in Germany, as the
rise of flexitarianism – a plant-based diet
with the occasional inclusion of meat –
offers new opportunities for manufacturers
to experiment with meat-free product
concepts.
Meal centres includes prepared meals,
meal kits, salads, sandwiches/wraps, pizzas,
instant noodles, instant pasta, instant rice
and pastry dishes.
New research from Mintel reveals the
number of meals and meal centres with
vegetarian labels increased more than
seven-fold (633%) in Germany between
2011 and 2015, while the number of
vegan-labelled meals and meal centres has
grown more than twenty-fold since 2011.
The growing number of vegetarian
and vegan meals and meal centres is the
result of vegetarian claims appearing on
12% of all meal and meal centre launches
in Germany in 2015, up from only 2%
in 2011. Similarly, vegan claims in this
category have also increased sharply,
from just 1% of all meal and meal centres
launches in 2011 to 9% in 2015.
What’s more, meal and meal centres
containing plant-based proteins, such as
soy or wheat, show particularly strong
growth. Prior to 2014, the share of launches
more vegetarian foods into their diet
compared to a year ago.
Furthermore, it seems like health-
conscious millennials are the biggest forces
behind the rise of meat alternatives in
Germany. Compared to consumers overall,
twice as many Germans aged between 16
and 24 define themselves as vegetarians
(16%); moreover, almost one in three
(31%) say they are incorporating more
vegetarian foods into their diets compared
to a year ago.
When it comes to the reasons behind the
choice to eat meat alternatives, ethical and
environmental concerns seem to be among
the main drivers. Mintel research shows
that three in 10 (30%) Germans who eat
meat alternatives say that ethical concerns
such as animal welfare are a reason why
they choose alternatives, rising to almost
two in five (39%) of people between 16
and 24, with more than one in five (22%)
name environmental concerns as the
reason they look to non-meat alternatives.
However, Mintel research indicates that
the meals and meal centres category still
has a long way to go when it comes to
health credentials, as less than three in
10 (27%) Germans between 16 and 24
agree that prepared meals are a healthy
meal option, while around half (51%) say
prepared meals contain too many highly
processed ingredients.
14SUPERMARKET & RETAILER, AUGUST 2016
ON PROMOTION
17 OCTOBER Pasta Day18 OCTOBER Chocolate Cupcake Day24 OCTOBER Jewish Holy Day: Simchat Torah25 OCTOBERWorld Pasta Day26 OCTOBERMincemeat Day28 OCTOBER Greek National DayChocolate Day30 OCTOBER Hindu Festival: Deepvali/Diwali31 OCTOBER Halloween
1 OCTOBER International Coffee DayWorld Vegetarian Day2 OCTOBER Jewish Holy Day: Rosh Hashanah3 OCTOBERIslamic Holy Day: Muharram10 OCTOBERNational Obesity WeekWorld Porridge Day11 OCTOBER Jewish Holy Day: Yom Kippur14 OCTOBER World Egg Day 16 OCTOBERJewish Holy Day: SukkotWorld Food DayBosses Day
OCTOBER 2016 PROMOTIONAL CALENDAR
Pizza MonthFair Trade month
International Breast Cancer Month
SECURITY:
Your next robbery is being planned now!
As you are reading this article, South Africa’s most violent and professional criminals may be working on a plan to rob your store
16SUPERMARKET & RETAILER, AUGUST 2016
SECURITY ▲
in Africa. The factsheet provides an
overview of murder and robbery trends
between 1 April 2014 and 31 March 2015
as recorded by the South African Police
Service.
And it is all about cash. There is approximately R130 billion in
circulation in South Africa at any given
time and according to Tim Murphy, general
counsel and chief franchise officer of
Mastercard, more than 65% of all trans-
actions in the country are still done in cash.
By tArinA Coetzee
An average of 53 businesses (including schools and churches) per day reported being robbed between April 2014 and March 2015. This is a staggering 19 170 business robberies in just one year.Compared to 2013/14, business
robberies increased by 3,2%.
This crime has consistently
increased in the past 10 years and
it is now 421% higher than it was
in 2004/05. About 204 business
burglaries were recorded per day
during the same period.
This is according to a fact sheet prepared
by Gareth Newham, Lizette Lancaster,
Johan Burger and Chandre Gould of the
Institute for Security Studies (ISS) and
published by Africa Check, a non-profit
organisation set up in 2012 to promote
accuracy in public debate and the media
Cash is definitely king for criminals as
well, and cash in transit has become a very
attractive target.
According to Dr Johan Burger, a senior
researcher of the ISS, cash-in-transit crime
has risen by 39% in 2015.
Dr Hennie Lochner, a senior lecturer at
the University of South Africa and a former
detective working on cash-in-transit cases,
says cash-in-transit robbers are the most
violent and dangerous of all robbers.
He shared his insights following personal
discussions with 21 convicted cash-in-
transit criminals as part of his doctoral
thesis.
“Cash-in-transit robbers almost always
have previous convictions for crimes with
an element of violence. They eventually
progress to the point where they become
part of a cash-in-transit gang. Being part
of a cash-in-transit gang is seen as very
prestigious and criminals often aspire to
this,” he says.
Cash-in-transit robbers work in groups
of an average of 15 people and they take
between five and 18 months to plan the
perfect robbery. The robberies are planned
very well and would-be robbers would
abandon their plans at the last minute if
they suspect that something is not going
according to plan.
“These gangs are extremely organised.
They work very well together and there isCash is definitely king for criminals as well, and cash-in-transit crime has risen by 39% in 2015.
▲
18SUPERMARKET & RETAILER, AUGUST 2016
SECURITY ▲
working at the time of the robbery,”
he says.
It is very important to have a good and
professional relationship with the local
police. Business people and police should
work together and share information.
Joining a community-policing forum can
be very beneficial for a supermarket owner
when it comes to building a working
relationship with the local police station.
“Visible policing is the alpha and the
omega to stop crime,” he says.
Retailers can also protect themselves and
their businesses by being proactive in their
dealings with crime and criminals, and have
a policy of no tolerance when it comes to
crime.
“Today’s shoplifter can grow into
tomorrow’s cash-in-transit robber,” he says.
According to Lochner, supermarket
owners and retailers should be aware of
security risks and should manage these
risks constantly. Except for good lighting
and working security equipment, they
should also look at where a cash-in-transit
vehicle stops to pick up cash and how safe
the area is.
Staff can also pose a risk to the business“Be care full when you appoint staff. Do
extensive background checks and contact
references,” he says.
a lot of cohesion among the members of the gang. They are not first-time criminals. They are professional and have been recruited as part of that gang, because they have acted ‘brave’ during a previous robbery.”
He says that criminals grow during a career of crime. They start small and becoming a business robber is considered as the ultimate success.
During the planning phase, every aspect of the robbery is considered. During this phase, inside help is also obtained from among the staff of the cash-in-transit company or the supermarket or business they plan to rob. Inside helpers are not always volunteers. They are sometimes threatened and intimidated to supply information to the gang. But it happens that corrupt guards and employees become part of robbery gangs.
It is also not out of the ordinary for robbers to hit the same business or supermarket more than once.
“Robbers will stick to what they know. If they had success robbing a certain supermarket group, they will target the same group again. They may even approach the same insider again. Even if they have been unsuccessful, they may still stick to the same target and just plan better the second time around.”
Lochner says shopping centres are a key focus area for these robbers. During the planning phase they collect information on where and how the cash-in-transit vehicle is parked for collection or delivery, the number of customers that are normally present at a specific day of the week or time of the month, how many guards there are and where they are positioned, and possible escape routes. A few hours before the planned robbery, they would also determine the extent of police presence in the vicinity of the target.
“In my experience, there are two things that really scare these gangs: visible policing and helicopters,” he says.
He says criminals are not scared of being caught, but they are scared of being seen.
Retailers can decrease the risk by making sure their premises are well lit and CCTV cameras are visible and in good working order.
“There is nothing as frustrating to a policeman as when he goes out to investigate a robbery or burglary and he finds that the security equipment was not
Once appointed, staff should be trained
in the art of observation and taught how to
spot suspicious behaviour and how to deal
with a person behaving suspiciously. An
alert staff member can save your business
from a violent gang of robbers.
According to Shaun Nicholls, executive:
business transformation of SBV, a provider
of cash services and solutions in South
Africa, cash handling consistently presents
a business with the potential risks of
robberies and thefts. It is a vicious circle as
crime syndicates change their tactics to get
their hands on one of the most sought-
after assets: cash.
Crime in the cash environment is
becoming more and more sophisticated
with technology, violence and intelligence
mechanisms playing a bigger role.
Syndicates constantly attempt to obtain
information about cash movements,
which leads to robberies becoming more
aggressive and dangerous for anyone who
handles cash.
Furthermore, new techniques, including
collusion with third parties, cash-in-transit
theft and ATM explosions have become
front and centre of cash crimes. Criminals
have moved away from committing
robberies at cash depots to rather targeting
cash in transit and using deadly explosives
to access cash and valuables in safes and
ATMs. In addition to the serious risk of
Criminals are not scared of being caught, but they are scared of being seen. Retailers can decrease the risk by making sure their premises are well lit and CCTV cameras are visible and in good working order.
▲
the risk of cash movement, minimize the
handling and handovers of cash, thus
reducing possible losses. Cash Services
companies have also invested millions
in various new systems to secure the
movement and handling of cash.
The Shopping Mall Cash Recycling
(SMCR) system is one such example. The
SMCR system creates an internal cash
casualties when these crimes take place in public areas, explosive devices also cause massive collateral damage to shop fittings and premises.
Cash is a sought-after commodity and where there is cash on hand there will always be risk. Cash-in-transit crimes will continue to grow until a concerted effort is made by all involved parties to ensure cash is managed properly and that the perpetrators are identified and arrested.
Key role players in the cash industry should collaborate and engage with one another to mitigate cash-in-transit crime. They need to have a vast network of sound partnerships with law enforcement, the prosecuting authorities and various external stakeholders. These relationships will be key to apprehending and arresting suspects, ensuring that court processes run smoothly, preventing attacks and early intelligence gathering.
Possible solutions for managing cash risk include using a licensed cash collection security company to manage the movement of cash, and keeping as little cash on the premises as possible.
Explore new technologies – these have been developed to specifically mitigate
ecosystem in malls, where cash received by retailers is “recycled” into banking systems that supply cash to consumers, meaning there are fewer external cash deliveries and collections, making it virtually impossible for criminals to detect the movement of cash.
Two other solutions that can be used by retailers are cash-acceptance and cash- recycling devices. Both these solutions provide added security, as your cash is stored in a secure safe while it is on your premises.
Furthermore, the devices provide added benefits to your cash-handling process, as they allow for accurate counting of notes and remote banking saving retailers time and can further optimise cash handling efficiencies, thereby limiting the potential of cash losses, errors.
“The cash industry needs recognition for the strategic role it plays in the South African economy,” says Richard Phillips, joint CEO of Cash Connect Management Solutions. “Minimum service fees should be a matter of legislation and there is a pressing need for all spheres of government to operationalise the prioritisation of bank and CIT crime and institute close cooperation with the industry to ensure that syndicated and organised crime in this space is contained.”
Posttraumatic care for your staffStock loss and damage to property hits the bottom line of any business hard. The impact of traumatised employees will adversely impact all aspects of a business.
20SUPERMARKET & RETAILER, AUGUST 2016
SECURITY ▲
▲
What retailers can doAppoint a reputable cash-services and solutions company to take
care of your cash handling. Cash management requires specialised skills and expertise as
it covers a broad spectrum that extends beyond the boundaries of traditional cash-in-
transit. Cash management encourages an understanding of the flow of cash before, during
and after the time a business encounters it. It includes managing and mitigating risk for
businesses throughout the cash cycle and providing tailored solutions for cash-related
challenges experienced by different industries. Cash-services and solutions companies are
able to help businesses identify and mitigate their risk and to ensure that all their cash is
not only safely collected and transported, but also accurately attributed to their accounts.
All cash collections and deliveries are tracked and monitored throughout the cash-handling
process and are easily accessible to a business owner through a single point of contact with
the cash-management company. Costs and risks also have the potential to go down when
businesses apply a full range of security solutions, such as deposit systems, vaults and safes,
and CIT services, from one provider.
Have a back-up plan for emergency situations such as blackouts. It is important for businesses to draw up a list of priorities and to plan for emergencies.
Good planning includes a detailed list of what systems, such as perimeter security or access
control, need to be kept running during an emergency. Business owners also need to be
mindful that some security features will have to be forgone to maintain other, more critical,
security points. Ensure that your security equipment is in good working order and that
alarm equipment is tested regularly. This will ensure that alarms go off as intended in an
emergency and that armed response is signalled.
■ Outsource your float and payroll orders to reduce cash volumes on hand.
■ Use web-based systems for managing cash orders, deposits and clearances.
Retailers should have a policy of no tolerance when it comes to crime, because today’s shoplifter can grow into tomorrow’s cash-in-transit robber.
This experience goes far beyond the
average mental, emotional, or physical
strain of daily living, leaving the victim
with a deeper wound. For most people, the
trauma is not just part of life; it changes life
as it was known before.
Armed robberies are especially traumatic
because staff members and clients are
affected. Staff members are literally the
first targets of the robber’s hostility and
intimidation. Those who were confronted
with guns and knives are the primary
victims, while the people who are not
directly in the line of fire or in harm’s way
are secondary victims. This means that
the people who know and care about the
victims are traumatised too.
“During the eighteen years that I offered
trauma relief services to clients in the
Looking after your staff after a traumatic
event such as an armed robbery is
extremely important. According to Barbara
Louw, a specialist counsellor, the greatest
benefits of posttraumatic care for staff are
decreased absenteeism, faster return to
productivity, staff loyalty and decrease in
fear of customers.
On a personal level trauma is an
inevitable part of life. It is part of being
alive and can take many shapes and
forms. Trauma, robberies and tragedy
come into our lives despite our efforts
to protect ourselves. However, trauma
is an experience outside our range of
comprehension, until some hurtful event,
like a robbery or even hostage situation,
takes place in one’s own life.
retail industry, I found that in South Africa
employees are generally loyal towards their
employers. After armed robberies staff
members said that their greatest fears
were that they would be suspects or not
be trusted by the employer or manager.
They were afraid of losing their jobs and
thirdly they feared being robbed again.
The traumatic impact of an armed robbery
is very often aggravated by the way the
police treat, or rather ill-treat, employees.
Staff members are subjected to unfounded
accusations, their phones are taken without
following legal protocol, and they are
exposed to unprotected identification
parades,” says Louw.
Secondary victims can show more
posttraumatic stress reactions, because
they look at the situation from a more
thoughtful perspective. They comprehend
what could have happened or wonder what
would have transpired if they were in that
situation. Managers are also burdened by
vicarious trauma, because of the trauma to
the people they are responsible for.
The ideal course of action, after
an armed robbery, is to get the
employees, as business units, to function
productively as quickly as possible. From
a humane perspective, it is necessary
for the management in the company to
acknowledge the pain and trauma by
offering emotional support and practical
guidelines to deal with the aftermath of
the incident.
There is great value in training managers
on dealing with trauma in the workplace,
without confusing the employer-employee
relationships in their management
function. Well-trained managers will be
more assertive as far as emotional matters
are concerned. They will be empathetic
and more efficient in communicating the
company’s policies and procedure.
Victim support and employee wellness
goes hand in hand. In a healthy company
the employees are inclined to treat
costumers in the same way as the
management treats them.
“In my practice I found that the greatest
benefits of posttraumatic care for your
staff members are decreased absenteeism,
faster return to productivity, staff loyalty
and decrease in fear of customers.
Employees, who see themselves as being
appreciated for being brave and strong
in the face of adversity, will contribute
positively to the profitability and wellbeing
of your company,” she says.
22SUPERMARKET & RETAILER, AUGUST 2016
SECURITY ▲
Three areas of riskWhen helping a company understand and protect itself against risk, make
sure you look at three areas of assessment: physical risk, human risk and
variable risk.
Physical risk A physical risk assessment should focus on a business’s premises, location and access. The
location of a business, whether it is isolated or, for example, in a mall in close proximity to
other businesses, will affect its vulnerability. Entrance and exit points are also key physical
locations that need to be well managed.
Human riskIn addition to ensuring the physical safety of employees, the human risk for businesses
extends to people who intend to commit a crime. Businesses should ensure that staff are
well vetted and are assessed for their security risk before they are hired.
Variable riskThere are also risk factors that businesses owners can unintentionallyfail to assess
properly because they vary significantly and are seemingly intangible, or are considered
to be outsourced areas of business. For example with
a business’ armed response partner, it is necessary to
clarify what the procedures are during an emergency
and what the armed response company is able to do
or not do, including what services they offer, such as
security guards, cash handling, and crisis training.
jingles among your normal selection of
music and concentrate them during the
last two weeks before Christmas.
■ Wrapping of presents – speak to a
local charity group and ask them to have
people at your store on Fridays, Saturdays
and the five days before Christmas to wrap
presents bought in your store in exchange
for a small donation towards the charity
cause.
Fresh departmentsYour service areas can profit handsomely
from the festive season, as consumers are
definitely in a buying mood and many
have received their bonuses. Look at each
department and decide on how best to
capitalise its activity in terms of added
sales and profitability.
■ Butchery – it is a good idea to put up a
sign now to invite special meat orders for
the season: roasts, racks of lamb, legs of
lamb, pickled meat, hams, boerewors
“Are you serious? Must I start
planning now for Christmas?”
Guess what? If you leave it for
later this year, you may as well
miss out on all the opportunities
of this profitable season.
The Christmas season varies from store to
store and from area to area. In the inland
areas of the country, Christmas shopping
probably peaks at the end of November as
many people go away during the December
holidays. In the coastal regions, the increase
in business is more noticeable over the last
two weeks of December as both locals and
visitors stock up for the holidays.
No matter where you are located
geographically, the Christmas season
should be a time when your overall sales
increase substantially to represent up to
20% of your annual sales. This means that
the planning for this surge in business
should be well thought through and every
aspect should be considered.
We have compiled a short check list of
the most important aspects that every
retailer should consider when planning for
the festive season.
Store activity■ Store decorations – one can spend a
fortune on sufficient decorations for this
time of the year and the best is to keep on
building on the stock available. Areas to be
covered should be the front of the store
and the service departments, as there is no
need to cover the whole store with tinsel.
■ Staff – it will be good to have the
staff participate in the season’s festivities,
especially during the last two weeks before
Christmas. Dress can be as simple as some
tinsel on their heads or red hats or even
specially designed T-shirts with a festive
message.
■ Father Christmas – consider hiring a
person to perform this role. Have entry
forms for parents to complete before a
digital picture is taken of their child with
Father Christmas. Photos can be emailed
to the customers and you will have a
substantial database for future promotions.
■ Music – it is not recommended that you
play Boney M. and Christmas carols non-
stop, as this will infuriate your customers.
Rather spread these typical Christmas
and braai packs all sell well at this time of
the year. The process to prepare pickled
beef should start before the beginning of
October. Consider buying two or more
braaiing or barbequing machines to rent
out for special functions.
■ Deli – cold meats, salads and cheeses
will increase in sales not only because it
is summer, but also due to the festivities.
Snack platters are a big seller at this time
and well-prepared brochures or photos will
ensure that you book a number of orders
for functions
■ Fresh produce – the big sales will be
in seasonal fruit as the variety increases
dramatically at this time of year. Bulk
displays will assist in bulk sales, so do
not be conservative. Sweetcorn and
salad ingredients sell exceptionally well
provided they are fresh and attractively
merchandised.
■ Bakery – garlic bread sales are probably
the highest increase one sees in a bakery,
24SUPERMARKET & RETAILER, AUGUST 2016
MAKING PROFIT By Hippo zourides
How well prepared are you for Christmas?Now is the time to put to bed all your preparations for the Christmas and New Year trade. Here is a short checklist to ensure that you do not miss out on the seasonal peak in sales
followed by speciality breads, rolls and
Christmas fruit cakes. Bakery hampers
make a great impromptu gift.
■ Wine – has your range got depth?
Sparkling-wine sales are the obvious winner
this time of the year and your selection
should include both known valued items
(KVIs), as well as lines where the margin is
more acceptable. Boxed wine also increases
in sales. If the supermarket owner is also
a liquor-store operator, there are obvious
benefits in increased liquor sales at this
time of the year. One thing: beef up your
staff complement at the bottle store as
the queues at this time of year will negate
all the good work done elsewhere in your
supermarket.
Groceries■ Baking aids – lots of home baking
takes place at this time of year. Analyse
this section of your store and increase the
orders not only of cake and bread flour,
but also of all the other requirements for
baking.
■ Dried fruit – these orders must be
placed well in advance as often the limited
supply chain runs out of stock as early as
November.
■ Mint jelly – you probably sell two to
three of these during a given month. Stock
up for Christmas, as well as all the other
jellies and condiments required for the
festive meals.
■ Puddings, custard and canned fruit
– sales of these commodities increase
dramatically in November and December
as shoppers decide on their desserts, such
as trifles as home-made puddings.
■ Mince meat – always difficult to predict
how much to stock. The only way is to
keep records every year and to look at the
selling rate vs the overstocking of this very
seasonal product.
■ Biscuits – the sales of salty biscuits
probably increase by over 300% at this
time of the year. Ensure that you have
enough not only for Christmas, but for
New Year celebrations as well. Sweet
biscuits such as ladies fingers (Boudoir)
also increase in sales as they are used in
puddings
■ Gift hampers – these can be made in-
store by the staff following a short training
session. Ingredients can range from wines/
liquor and biscuits to sweets, biltong and
dried fruit wrapped up with cellophane and
a beautiful ribbon. Unsold hampers can be
returned to stock after the season ends.
GMD■ Toys – a no brainer! Even if you do not
stock a range during the year, you must have a substantial range on display. Control the number of items over the R200 selling price and after Christmas consider keeping a small range of “shut-up” toys that mothers will buy for their offspring as an impulse product or for the many birthdays celebrated in the classroom.
■ Festive crackers – a big seller this time of year. Endeavour to sell out by the end of December.
■ Braai equipment – due to our climate, many festive celebrations will take place outdoors or around the pool. You should be able to sell quite a range of braai accessories, folding chairs and cooler bags over and above charcoal and fire lighters.
■ Back to school – for many families on a tight budget, back to school items make an ideal Christmas present. Do not wait until after Christmas to display your back to school ranges
■ Paper products – apart from paper serviettes, paper tablecloths also sell well at this time of year. Do you have an attractive range on display?
■ Gifts – this is a dangerous area to wade into. However, a carefully selected range of giftware will create surprising sales.
■ Greeting cards – although a dying habit due to the surge in electronic communication, there are still customers who prefer a handwritten message. Small cards to attach to gifts are a must-have.
■ Christmas decor – hopefully you have ordered these earlier this year, or you may be too late to stock up on these items. Many people still decorate their homes and/or offices for the festive season, so do not disappoint them. All leftovers must be boxed carefully and kept for sale next year.
■ Pool accessories and toys – even these can be seen as decent Christmas presents by some households
There you have it. Proper planning for this very busy time of the year will make the implementation easier to achieve resulting in satisfied customers and a great improvement in sales and bottom line.
25SUPERMARKET & RETAILER, AUGUST 2016
“Use olive oil in place of saturated fat,
such as butter,” suggests Angela Ginn,
spokesperson for the Academy of Nutrition
and Dietetics. “Dip bread [in it], use it in
cakes, sauté, even fry vegetables and meat.
But beware the smoking point is not very
high, so frying at high temperatures will
cause your food to brown quickly.”
Sesame oil “Sesame oil is rich
in mono- and polyunsaturated acids
(PUFAs) – the good kind of fat that cuts
cholesterol,” says Ginn. Sesame oil contains
linoleic acid, which is a type of Omega-6
fatty acid that may promote heart health
by reducing LDL cholesterol.
Sesame oil is typically used in Asian
cuisines. “Its strong, nutty flavour can be
used in Thai and Japanese dishes. Drizzle it
over an Asian cabbage slaw with a sprinkle
of black sesame seeds,” suggests Ginn.
Flaxseed oil Flaxseed oil contains
Omega-6 and Omega-9 essential fatty
acids. Since this heart-healthy oil also
contains some Omega-3 fatty acids, it is
often cited as a vegetarian alternative to
fish oil. Flaxseed oil has a low smoke point,
so it’s not ideal for cooking. Enjoy a drizzle
over quinoa, or toss with a salad dressing.
Peanut oilPeanut oil is a source of phytosterols, which
benefit the heart by preventing cholesterol
The cooking oil aisle is no longer
just a place where customers
expect to find sunflower oil and
a small range of olive oils.
They are looking for exotic oils such as sesame, flaxseed and coconut. Many of these oils have distinct flavours and properties that make them tasty and healthy additions to your customers’ cooking repertoire.
It is also important for supermarket owners to know a thing or to about oil, especially if they use oil in the home-meal replacement department.
When it comes to cooking, not all oils are created equal – some oils can handle the heat, and some can’t. An oil’s smoke point is the temperature at which it will start to smoke and break down. If cooking oil starts to smoke, it should be discarded. It has likely lost some of its nutritional value, and it could impart a bitter, unpleasant taste to your food.
Oils with high smoke points (vegetable, peanut and sesame, to name a few) are good for frying or high-heat stir-frying, while oils with low smoke points (flaxseed and walnut) work well for salad dressings and dips.
Canola oil Canola oil is extracted from the seeds of the canola plant, which was developed through crossbreeding with the rapeseed plant. Canola is a healthy oil that is low in saturated fat and a good source of monounsaturated and polyunsaturated fats, including Omega-3 fatty acids. Canola oil has a light flavour, which makes it versatile in cooking. Replace solid fats such as butter or margarine with canola oil when cooking or baking. Canola oil works well for sautéing and stir-frying. It also is good for coating pots, pans and your grill.
Olive oil Olive oil is high in monounsaturated fatty acids (MUFAs), which may help reduce one’s risk of heart disease. MUFAs lower LDL (“bad”) cholesterol and raise HDL (“good”) blood cholesterol. Olive oil is often sold as “virgin” or “extra virgin.” Extra-virgin olive oil has less acid, a fruitier flavour and a stronger aroma than pure or virgin olive oil, so a little goes a long way. Olive oil labelled as “light” is often lighter in hue or flavour, but not lighter in calories.
absorption in the intestines. Peanut oil is
also a common monounsaturated fat, and
contains vitamin E – an antioxidant.
This oil is often used in deep-frying
because of the high temperature it can
reach. Because of its nutty flavour, use this
oil in stir-fries and ginger dressing.
Grapeseed oil Grapeseed oil is
extracted from grape seeds, which are a by-
product of winemaking. Grapeseed oil has
lots of PUFAs, which have been shown to
lower total cholesterol and bad cholesterol.
Grapeseed oil has a moderately high
smoke point, which makes it great for
sautés and frying. It can also be used in
dressings and dips for vegetables.
Coconut oil Coconut oil is extracted
from the fruit of mature coconuts. It is a
saturated fat, and consumers are cautioned
against a diet high in saturated fat. Virgin
coconut oil is high in lauric acid, a medium-
chain fatty acid that raises both good and
bad cholesterol levels.
Coconut oil has a sweet, nutty taste, and
is often used as a substitute for shortening
or butter in a vegan diet. It also imparts a
tropical flavour to vegetables, curry dishes
and fish. Because it is a saturated fat, use
coconut oil in moderation, and buy the
kind labelled “virgin”.
Walnut oil Walnut oil is made from
nuts that have been dried and cold pressed.
This oil has a high concentration of alpha-
linolenic acid that partially converts to
Omega-3 fatty acids (EPA and DHA).
Walnut oil has a rich, nutty flavour
that makes it great for dressing salads,
or drizzling over a pasta dish. Walnut oil
doesn’t stand up to high heat, so it’s best
used as a dressing or flavour enhancer
rather than a cooking oil. Refrigerated
walnut oil keeps for up to six months.
Storing oil Heat and light are oil’s
enemies. Over time, oils can degrade and
lose some of their good nutritious qualities.
Store your oil in a cool, dark place and
replace it if it smells bitter or “off”. Some
oils – particularly polyunsaturated oils such
as grapeseed or walnut oil – are prone to
quickly turning rancid. Store these oils in
the refrigerator to prolong their usability.
For more information, visit www.eatrightpro.org.
26SUPERMARKET & RETAILER, AUGUST 2016
OILS AND DRESSINGS
All about oils
Supply chain and logistics leader Imperial Logistics has announced the acquisition of a controlling share of Sasfin Premier Logistics – thereby creating a “formidable” new player in the freight and logistics market.
The Imperial Logistics and Sasfin Banking groups have joined forces and the new business entity, Imperial Sasfin Logistics, will offer end to end import and export solutions, from point of origin to final destination, and covering freight forwarding, customs clearing, warehousing, transport and distribution – as well as a full suite of trade finance products to facilitate international trade, reveals Johan Truter, CEO of Imperial Managed Solutions.
The new venture harnesses the vast logistics infrastructure of the Imperial group and the trade finance and forex infrastructure of Sasfin Bank, in order to offer clients a complete door to door service.
“We recognised an excellent fit with Imperial, given the group’s capability in warehousing, distribution and transport, and business experience and expertise in Africa and elsewhere,” comments Sasfin Group CEO Roland Sassoon. “This, combined with Sasfin’s complementary lending and trade solutions to clients, including trade and debtor finance, FX execution and advisory services,
Imperial and Sasfin partner in new freight, logistics and finance powerhouse
makes Imperial Sasfin Logistics arguably the most all-encompassing one-stop solution for clients involved in importing and exporting product. We are confident that our collective skills, experience and capability will see the emergence of a formidable new player in the South African market.”
Truter notes that Imperial sought to partner with Sasfin to leverage, among other capabilities, the group’s international network, systems and technology, including a software platform developed specifically for this complex and diverse compliance environment. “Importers and exporters face many risks which could potentially lead to inefficiencies and compromise profitability. Our partnership with Sasfin has created a strong logistics entity to which clients can fully outsource their international logistics requirements.
“We can mitigate their risks, manage their complexity, and they do not need to deal with multiple parties in the supply chain. In addition to a proven track record in managing and controlling international freight forwarding, customs clearing, warehousing, distribution and related value added services, Imperial Sasfin Logistics offers clients the competitive advantage of access to Sasfin’s financial expertise and solutions. Our aim is to simplify global trade challenges for clients,” he concludes.
For more information, contact
Thiloshini RamdassBRAND MANAGER
Cell 076 073 8209 ● Telephone 011 677 5000 [email protected] ● www.imperiallogistics.co.za
It has to be fresh, it has to be healthy and
it has to accommodate some very finicky
eaters. Add to that the additional concern
about the global scourge of childhood
obesity, and parents are desperate to take
any help they can get.
Childhood obesity is a global pandemic
that affects many households. It stems
from genetic factors, unhealthy eating,
lack of physical activity and rare cases of
hormonal conditions.
In their development years, children need
a strong foundation to grow into strong
minded, positive and motivated adults. A
child’s eating plan and physical activity
play a vital role in them being healthy,
happy and productive.
Nowadays, many children sustain
themselves with junk food and carbonated
It’s that time of year again
where we revamp our stationery
collection. Customers will soon
buy new notepads, pens and
accessories for school, college or
university.
Are you retailers ready for the back-to-school shopping season?Even before the end of the school year,
some retailers are advertising back to
school specials. With a bit of clever thinking
and planning, you can make back-to-
school season last for the entire year. And
if you play your cards right, back-to-school
season can also be highly profitable.
Back to school affects a wide range of
markets, from millennial parents with
young children starting kindergarten to
older parents with children in college –
not to mention students shopping for
themselves.
It also affects a myriad industries,
from apparel and accessories to home
furnishings (for hostel rooms), school
supplies and electronics.
How to make the best of back-to-school seasonTarget kidsWhether spending their own money or
their parents’, children of all ages go online
and use social media to check out the
coolest clothes, supplies and accessories for
back to school.
Think outside the boxWith school districts in many areas asking
parents for supplies all year long, spending
doesn’t stop in January. Consider displays
of items that could be useful for the
classroom, from dry-erase markers to hand
sanitizer and tissue, throughout the year.
Spread it outOffer different discounts and deals during
the whole year to appeal to parents and
children at all stages of the back to school
game. Even more important than a good
collection of trendy stationery is a healthy
lunchbox.
Healthier children, brighter studentsEvery parent will tell you what a nightmare
packing a daily lunch box for school can be.
sugary drinks, and stay indoors glued
to technology. By stocking healthy, tasty
snacks and have some great ideas on hand
for healthy lunchboxes, you will turn your
store into a must-visit destination for
desperate parents.
What causes childhood obesity?Overweight children often suffer from
depression due to constant bullying, which
could lead to diabetes, suicide and many
other health related conditions. There are
many factors contributing to childhood
obesity such as food choices that are high
in fat and sugar, overweight parents whose
eating patterns influence their children,
rare genetic disorders, and society changes
due to increased income leading to larger
portion sizes, with physical education
featuring not really featuring in schools
anymore.
What should be in a healthy lunch box?Complex carbohydrates Carbohydrates provide the fuel our body
needs to function. It keeps not only us
going through the day but also keeps
organs functioning properly. Try stick to
whole grains and foods with a low GI level
for sustained energy.
28SUPERMARKET & RETAILER, AUGUST 2016
BACK TO SCHOOL
Back to
School
Bad for kids,good for you
Examples you can include in your formula:
■ Carrots – grate into salads or add to your muffin mix, the options are endless!
■ Peppers are very versatile and packed with vitamin C. Try them on a sandwich or with a bit of cottage cheese dip.
■ Apples are packed with vitamin C and fibre, they are easy to add to a healthy lunchbox and children love them
■ Raisins are an easy addition to almost any salad or baked goods. They are easy to store and are a good snack option.
■ Baby tomatoes are an excellent addition to your lunchbox.
FatsFats are not as bad as some make them out to be and are actually an important part of a healthy balanced diet. Eating to right type of fats is actually good for you. Unsaturated fats, like those found in peanut butter, oily fish and nuts help reduce the chance in developing heart disease and type 2 diabetes. All of the below are good for you:
■ Peanut butter, this can be spread onto bread or added to stews and sauces for a “nutty” taste.
■ Avocado pear can be mashed and added to a sandwich or sliced and added to your favourite salad.
■ Nuts are a tasty snack or can be crumbled over custard, salads or even your breakfast cereal.
■ Cocoa powder can be made into a delicious hot chocolate for the winter months – or add to your coffee for a “mocha choca late”!
For more information, visit www.weigh-less.co.za.
29SUPERMARKET & RETAILER, AUGUST 2016
Great ideaContact your local school and get a list of stationery required for every standard. Pre-pack the stationery and offer to deliver stationery packs to the school. Make a donation to the school for every stationery pack bought.Make sure that you advertise this service on social media, your website, posters in your store and at
the school, as well as in your local newspaper.
Visual merchandising and styling■ Merchandising in store should have
a space to promote the role of play.
■ Walls with patterns for colouring-
in or white board walls to encourage
people to interact and experiment
through drawing (as well as testing
product). Its not just about fun and
creative stimulation of scribbling, but
is also promotes the communication;
it allows two unacquainted people to
connect.
■ 3D colour blocks with bold striking
shapes can be used to display stationery
products.
Some to try are:
■ Whole-wheat, brown and rye bread are
quick and easy to prepare;
■ Rice cakes;
■ Pita breads are a tasty change and can
be filled with an assortment of fillings;
■ Cooked corn is tasty in salad with
couscous and fresh asparagus; and
■ Dry cereal, this is not only for breakfast
but is also perfect for nibbling on as a snack
ProteinLack of protein in our diet can lead to a
variety of conditions including kwashiorkor.
A lack of protein can also lead to failure
of growth, weakening of the heart, loss
of muscle mass and weakening of the
respiratory system. Eating too much
protein can also have a detrimental effect
on your body as digesting protein releases
acids in the body that also neutralises
calcium – therefore a good balance is
important. Some foods to try are:
■ Lean biltong are quick and easy to eat –
and tasty to!
■ Lean meats and poultry – chop and add
to a salad or on a slice of bread.
■ Eggs – these make tasty sandwiches,
mix with some low oil salad dressing.
■ Lentils and beans are often overlooked
but are a healthy and cheap alternative to
meat
■ Cheese is a great alternative to meat –
try fat free cottage cheese as a sandwich
spread.
■ Hummus makes a great spread – puree
chickpeas with a bit of olive oil and garlic.
■ Smoked chicken is an easy and versatile
option.
MilkDairy is extremely important to our diet.
It provides calcium for healthy bones
and teeth and also prevents osteoporosis
– a disease that causes deterioration of
bones quicker than they can be built and
maintained. Some healthy choices of milk
products include:
■ Milk – this can easily be served in your
morning cup of tea or coffee. Try adding
milk to your favourite soup or stew. Ice-
cold milk with a bit of vanilla essence is a
tasty treat that is good for you.
■ Yoghurt is a favourite amongst old and
young – simply pop one into your lunchbox
with a spoon.
■ Make a smoothie with some fruit,
yoghurt and milk – freeze the night before
and take to work.
■ Try reserve milk serve for your cup of
coffee or tea.
Fruit and vegetablesThese are one of the most important in
your eating programme – they provide
vitamins that your body needs to function
and fight off viruses. Eating fruit and
vegetables also are a good preventative
measure heart disease and stroke, control
blood pressure and cholesterol levels and
prevent some types of cancer.
Many supermarket owners or managers avoid advertising for staff to avoid the flood of hundreds of worthless CVs. The usual way to recruit in the industry is by word of mouth and often the employment of such people is taken on very casually.
Start properlyGood processes at the start of the
employment relationship will result in
fewer problems later.
Should you get a CV of a person that
you are interested in, take the time to
check the references with the previous
employers and even use the services
of external experts to check on credit
and criminal records. Get written authority
from the prospect to do a background
check.
Due to legislative changes, many labour-
brokering companies are morphing into
retail-employment bureaus and can be
used to screen prospective employees
Job descriptionsHave you developed job descriptions
for the various positions in your store?
This is a vital document to be discussed
with prospective employees at the start
of the relationship so that there is no
misunderstanding of what is expected of
them or of the company. If you wish to put
a prospect through training and screening
processes before formal employment,
you can do so by having a short written
agreement that outlines what the process
will entail, what payment is due during the
process and the proposed final outcome.
Once satisfied, you can proceed to
employ the person either on a fixed-term
contract (only for justifiable reasons) or
permanently.
The interviewRemember that your application forms
must be comprehensive, but cannot
require personal information regarding age,
religion, sexual preference or illness. Ask
your labour consultant to assist you with
the development of such a form to comply
with all legislation.
During the interview, it is important to
discuss the job in detail, including working
hours, conditions of employment and
other operational issues. No doubt should
be left in the mind of the applicant about
what the job entails. The process must be
fair and transparent. Remember that even
a job seeker has the right to approach the
Commission for Conciliation, Mediation
and Arbitration (CCMA) if they feel that
the interview process has not been fair.
Discuss with the prospect aspects such as
where they live, transport arrangements
and working late hours or weekends and
holidays.
Do not create expectations during
the interview and advise people verbally
whether they have been successful or not
in their application.
Contractual obligationsYour labour consultant should be able
to guide you in developing a contract
of employment. If a job description is
available, attach it to this document.
Otherwise, include the job title and a short
description of what the job entails.
The only deductions allowed by law are:
■ Tax
■ Contributions to the Unemployment
Insurance Fund
■ Bargaining council fees (if applicable)
■ Provident fund (if applicable)
■ Medical aid (if applicable)
■ Union fees (if applicable)
■ Any loans or advances on salary
■ Garnishee orders (if issued
by a court of law)
Try to avoid loans if possible as they start
a negative cycle that places the worker
in an unenviable position. However,
some personal or family emergencies do
necessitate a loan or advance from the
company. The advance can be deducted
from the month-end pay and should any
loans be in place, payments of no more
than 25% of the person’s net salary may
be deducted. Should an employee be
dismissed after being found guilty during
a a hearing, certain amounts due to the
company may be deducted, within reason
and in accor dance with the terms set out in
an agreement.
Contract of employmentThe contract must specify the job title
and description, the reward, hours of work,
time off, leave, special leave, notice periods,
retirement, and so on. Always specify the
age of retirement (at 65 years) on every
contract of employment to avoid nasty
surprises at the end of the period.
Notice periods should be as follows: for
the first six months of employment – one
week’s notice; for the next six months –
two weeks; and over one year’s service
– four weeks. These apply in the case of
retrenchment or redundancy.
Finally, if you have any policies and
procedures in place (HIV, no smoking, staff
purchases, use of cell phones, customer
service) ensure that copies of these are
handed to the new staff member.
30SUPERMARKET & RETAILER, AUGUST 2016
BACK T0 BASICS By Hippo zourides
Staff recruitment process and contractual obligations
31SUPERMARKET & RETAILER, AUGUST 2016
Does a work stoppage constitute a strike?
A work stoppage is different to a strike.
During a work stoppage, the participants
make no demands. They simply stop
working. The distinction between a work
stoppage and a strike is an important
one, as it has an impact on the types of
remedies available to the employer when
such conduct occurs.
Who may go on strike?
All employees (acting in concert with other
employees) have the right to strike. An
individual employee cannot strike on his or
her own.
Can an employer dismiss employees for participating in a protected strike?
No. A dismissal in such circumstances
would constitute an unfair dismissal.
However, misconduct during a protected
strike may be the subject of appropriate
disciplinary action.
What steps can an employer take if the protected strike action becomes violent?
Employers can approach the Labour
Court for an interdict against unlawful
behaviour. The employer may also institute
disciplinary action against the employees
who act unlawfully.
Can an employer dismiss employees as a result of operational requirements flowing from a protected strike?
Although employees are protected from
dismissal for participating in protected
strike action, the LRA does not preclude
employers from dismissing employees
based on operational requirements. How-
ever, in circumstances where the intention
of a strike is to put financial pressure on
an employer’s business, an employer will
have to prove that the main reason for the
The right to strikeThe Labour Relations Act, No 66 of 1995 (LRA) defines a strike as “the partial or complete concerted refusal to work, or the retardation or obstruction of work, by persons who are or have been employed by the same employer or by different employers, for the purpose of remedying a grievance or resolving a dispute in respect of any matter of mutual interest between employer and employee and every reference to ‘work’ in this definition includes overtime work, whether it is voluntary or compulsory”.
The disgruntled employees will normally
express the purpose of a withholding of
work in some form of a demand made to
the employer.
All employees of an employer may
associate themselves with a protected
strike, even if they are not members of
the trade union initiating the dispute and
declaring the strike.
What is a protected strike?
A protected strike is a strike that complies
with the requirements in the LRA,
where the subject matter of the strike is
legitimate and procedural requirements
are complied with prior to the strike
commencing.
What procedural requirements must be complied with for a strike to be protected?
Referral: The issue in dispute must
be referred to the Commission for
Conciliation, Mediation and Arbitration
(CCMA) or Bargaining Council.
30 Days/Certificate: Before a strike notice
is issued:
■ 30 days must lapse from when the
dispute was received by the CCMA or
Bargaining Council; or
■ A certificate must be issued stating that
the dispute remains unresolved
Strike notice: A written notice stipulating
the commencement of the strike must be
issued to the employer at least 48 hours
before the strike commences.
dismissal was the opera tional requirements of the employer and did not relate to employees’ participation in the protected strike. The employer will also have to show that it considered alternatives to retrenchment.
What remedies are available to an employer if strike action is unprotected?
The Labour Court may issue an interdict against and unprotected strike. The LRA provides for an expedited process in such an event. Employers may also take disciplinary action against employees for participating in unprotected strike action.
The Labour Court may also order the payment of compensation for losses arising from the unprotected strike.
Can an employer dismiss an employee for participating in unprotected strike action?
Although participation in an unprotected strike constitutes misconduct, dismissal may not necessarily be the appropriate remedy. There are various considerations when determining the fairness of the dismissals. These considerations include whether the strike was in response to unjustified conduct by the employer.
Is an employer required to pay employees during a strike?
No. The principle of “no work, no pay” applies.
What is a secondary strike?
A secondary strike is a strike held in support of a primary strike by other employees against their employer. A secondary strike cannot be protected unless it is in support of a protected primary strike.
The information for this article was provided by Cliffe Dekker Hofmeyr Inc. For more information, visit www.cliffedekkerhofmeyr.com.
INDUSTRY NEWS
▲
(799 kilojoules (kJ) per capita) from 1991
to 2011. As a result, adult obesity rates
have grown from 22% to 27,7% over this
period. However, during this same time,
consumption of added sugars has declined
in both absolute terms (by 46 calories or
192 kJ per capita per day), and relative
terms (from 12% to 10% of total calories).
The largest contributors to the rise in
energy intake are calorie rich foods such
as vegetable oils (up 105 calories or 440 kJ
per day).
A tax has been shown not to be the most
effective mechanism to reduce obesity.
There is a range of different policy
interventions that governments can use to
tackle obesity. SSB taxes have been found
to be among the least effective policies.
The 2014 McKinsey Global Institute
report on obesity analysed and ranked
the most effective interventions to tackle
obesity. The report cites sugar reduction
reformulation and providing smaller
portion size as the two most effective
Sugar tax may reduce GDP by R14 billionThe Beverages Association
of South Africa (BevSA)
warned today that the
proposed discriminatory tax
on sugar sweetened beverages
(SSBs) has the potential to reduce
the industry’s contribution to
South Africa’s Gross Domestic
Product (GDP) by R14 billion. This
is the equivalent of 0,4 percentage
points of GDP growth in 2016.
The Association announced the release of
its formal response to National Treasury’s
policy paper on this topic.
The proposed SSB tax could trigger
62 000 to 72 000 job losses, hurt the
South African economy, exacerbate the
broader fiscal and societal costs associated
with unemployment, increase the burden
on consumers with 25% price increases,
and damage the competitiveness of the
non-alcoholic beverage industry. The
proposed tax will undermine the National
Development Plan (NDP) commitment to
encouraging economic growth, eliminating
poverty, and increasing employment.
It is also unlikely to raise the revenues
expected by the National Treasury.
Government revenues from its existing
taxes could fall by at least R3,1 billion per
annum, representing more than 40% of the
revenue the Government hopes to raise
through the SSB tax.
The tax would, through its impact on
unemployment, result in increased UIF
payments of approximately R0,7 billion.
The tax will force many smaller
producers to exit the market, thereby
reducing industry competition.
As the proposed tax is levied per gram of
sugar, smaller players who compete with
lower prices and larger pack sizes will be
most severely impacted. The SSB tax would
represent a higher mark-up on their relative
prices. Price increases could be as high as
80% on some 2-litre packages.
All this would be done with very little
impact on the country’s overall calorie
intake. SSBs account for just 3% of daily
calories in South Africa. Average daily
energy consumption in South Africa has
increased by 191 daily calories per capita
interventions in the UK, whereas sugar
taxes are not among the top ten. In
addition, there is no conclusive evidence
from other markets that imposing a tax on
soft drinks helps people to lose weight.
We are committed to working with the
Government to tackle the obesity problem
in South Africa. We have specific plans
underway to reformulate beverages, offer
smaller pack sizes, expand consumer access
to low- and no-calorie beverages, and
invest in health education and awareness
programmes; measures that we know to
be effective in addressing obesity based on
rigorous independent research.
BevSA members have already begun
reformulation efforts by reducing added
sugar in some beverages. They are
committed to additional reformulation that
will reduce average daily energy intake by
at least 14-18 calories (59-75 kJ) per capita
by 2020. This is double the estimated 7-9
calorie (36 kJ) impact the Treasury hopes
to achieve through this tax. These industry
commitments, through BevSA, have been
endorsed by the Director General of the
Department of Health.
The punitive SSB tax would create
significant uncertainty for the industry,
and foster a climate in which investments
may be unviable. This will prevent or
reverse further growth and innovation.
We are committed to working with the
Government to find workable solutions
that address obesity while protecting
jobs and our economy, particularly at this
critical juncture for the country’s future.
32SUPERMARKET & RETAILER, AUGUST 2016
Woolworths wins SETA award
Woolworths has won the Wholesale and Retail Sector Education Training
Authority (W&RSETA) Good Practice Award in the Enterprise: Super Large
Retail Category for 2016.
The award recognises excellence by a large retailer in the area of learning and development
within the wholesale and retail sector in South Africa.
During their last financial year, Woolworths contributed over R100 million to learning
and development. In addition to developing existing and potential employees, Woolworths
also pioneered a programme to train lecturers that teach retail-related subjects at various
technical vocational education and training (TVET) colleges.
INDUSTRY NEWS ▲
33SUPERMARKET & RETAILER, AUGUST 2016
Maximising retail analyticsThe use of retail analytics in the
world of brick-and-mortar retail is
intensifying as retailers use data
to maximise their engagement
with customers.
According to Scott Matthews, new business
developer at Moving Tactics Retail Analytics,
there are certain fundamentals that brick-
and-mortar retailers and marketers can
capitalise on to create a better shopping
experience for their customers by gaining
and applying usable data.
Selecting the right technology: With
the advancement in technology, solutions
are becoming more affordable for retailers.
“From the simple footfall counter for
entrances and areas of interest in your
store, to qualitative data-gathering
solutions such as survey questions via
in-store WiFi, or the more advanced
technologies such as in-store apps and
iBeacons, these technologies can be
tailored to a retailers’ requirements and
can be implemented in phases as needed,”
says Matthews.
Ease of deployment: The latest plug-and-
play technology means that capitalising
on already existing infrastructure doesn’t
have to be a long drawn-out process.
Strategic deployment of new or additional
technologies can easily enhance the impact
of current operations in-store.
User-friendly online management and reporting tools: The advancements
in technology have resulted in the
development of more user-friendly online
reporting dashboards. “Key performance
indicators can easily be measured at
a glance, red flags can be sent via email
in real-time and weekly reports sent
the day before a status meeting. You
can also deploy a new set of survey
questions to your store network via your
online dashboard immediately,” explains
Matthews.
Enhancing synergies across the business: One of the main advantages
of a retail-analytics solution within a
brick-and-mortar retail environment is
the benefit it has for the entire business.
Data gathered is strategically beneficial for
cross-departmental collaboration.
Mara Delta (formerly Delta Africa) recently announced its acquisition of
a 50%-interest in a new A-grade Zambian retail property from Rockcastle
Global Real Estate Company.
“This is our third investment in dominant retail assets in Zambia with the same strong in-
country partner at an attractive purchase yield attributable to shareholders of 10,4%.
“Cosmopolitan Mall met our investment requirements for long dollar-based anchor
leases and strong counter parties. This early-stage mall is dominant in its region and current
trading densities are very encouraging.
“We are also very excited to announce a new funding facility from Bank of China, which
will be used to part-fund the Cosmopolitan Mall acquisition and to settle more expensive
debt relating to our other Zambian retail assets,” Bronwyn Corbett, CEO, says.
Cosmopolitan Mall, located in Lusaka, Zambia, comprises 25 900m2 of gross lettable area
with 1 300 parking bays and is anchored by major multinational tenants including Shoprite
(10% of rentals), Game (13% of rentals), as well as The Foschini Group (6% of rentals) with
dollar-underpinned leases. Other major tenants include Pep, Jet, OK Furniture, Woolworths,
Ackermans, Truworths, Max Clothing, Carnival Furnishers, Edgars and Mr Price.
The anchor lease term is for a period of 10 years, expiring in 2026. There are zero
vacancies in the shopping centre. It is anticipated that the acquisition will be implemented
on or about 30 September 2016.
Mara Delta expands retail footprint in Zambia
Royal Bafokeng acquires Lusitania Food ProductsMoumo Integrated Development, a development agent of the Royal
Bafokeng Nation, has acquired Lusitania Food Products after receiving
approval from the Competition Commission.
With over 30 years’ of experience in the food service industry and a range of over 1 200
products from different suppliers including vegetable, chicken and pork products, Lusitania
will establish new market opportunities, expansion projects as well as access to a national
supply footprint for local agricultural businesses operating in the North West region. The
new company will be known as Lusitania Distributors.
“One of Moumo’s core objectives is the establishment of sustainable commercial
agriculture industries and integrated value chains for farmers in and around the Bafokeng
region,” says Teresa le Roux, CEO of Moumo. Lusitania’s acquisition will enable Moumo to
assist these farmers with off-take and sustainable markets for their produce.
“Lusitania is set to strengthen its position in a traditionally competitive market. We are
delighted to be a part of the Bafokeng family and believe that this deal offers our suppliers
and customers the opportunity to meet their enterprise and supplier requirements while at
the same time making a positive economic and social development impact for the region,”
says Brian Kusel, CEO of Lusitania.
▲
This initiative is designed to celebrate
iconic products that have become an
intrinsic part of South African society.
Based on the results of the nation’s
largest consumer survey, which rewards
product innovation based on the
endorsements of 5 000 consumers,
Product of the Year has helped consumers
find the best new products and services
in specific markets, while also rewarding
manufacturers for quality and innovation.
According to Preetesh Sewraj, CEO and
chief innovation analyst of Product of the
Year South Africa, there are a number of
deep-rooted, established South African
brands and products make a positive
impact on the lives of South African
consumers.
Celebrating heritage products
Product of
the Year, the
world’s largest
consumer-voted
award, has
announced the
addition of
select heritage categories to its
independent brand-endorsement
programme.
“South Africa has a strong history of
innovation, which means that there are still
iconic brands on shelves today that offer
consumers quality and value for money. We
feel they deserve acknowledgement and
we have expanded our footprint to include
a select few heritage categories in the
South African Product of the Year awards in
2017,” he says.
The Heritage award will initially include
a number of categories in line with the
established Product of the Year award
categories. Once the selection has been
made, the winners of each division will
be able to use the unique and distinctive
Product of the Year Heritage logo on their
packaging and marketing, under licence for
a period of 12 months.
34SUPERMARKET & RETAILER, AUGUST 2016
INDUSTRY NEWS ▲
Coastal clean-upSaturday 17 September 2016
will be the 20th year that
South Africa participates in the
International Coastal Clean-Up
Day (ICC), an annual, international
event that sees thousands
of volunteers around the world
pick up and remove litter
from beaches and the marine
environment.
Locally, Plastics|SA coordinates the beach
clean-ups that take place in the three Cape
provinces, as well as various river clean-ups
that take place inland. Last year, Plastics|SA
sponsored 250 000 bags that were used
during these clean-ups that attracted more
than 21 000 volunteers along our coastline.
“Plastics|SA and Ezemvelo KZN Wildlife,
in partnership with Ocean Conservancy,
has been at the forefront of trying to stem
the tide of plastics entering the marine
environment. We aim to inspire thousands
of volunteers, as well as role players across
many different industries, to take action,”
says Douw Steyn, sustainability director of
Plastics|SA.
Inland: “Last year, more than 90 000
volunteers supported our inland clean-up.
We are hoping to see an even greater turn-
out and public support this year,” Steyn
says.
KwaZulu-Natal: Ezemvelo KZN Wildlife
has set itself the goal of covering as much
of its 620 km
of coastline as possible. “Cleaning our
province’s marine protected areas, estuaries
and rivers will once again be an important
objective, along with encouraging clean-
ups inland too,” says Wayne Munger of
Ezemvelo KZN Wildlife.
During last year’s clean up, 22 871
kg of litter was collected and removed
from beaches, reefs, estuaries, rivers and
catchment areas.
Cape provinces: Last year, 109 160 items
(weighing more than 5,3 tonnes) were
collected in the Eastern, Northern and
Western Cape, covering a distance of 77
km on land and 1 000m under water.
Public participation increased from 850
volunteers who participated in the first
year’s clean-up, to 16 141 people in 2015.
Despite the packaging industry and the National Recycling Forum’s concerted efforts and on-going communication and education campaigns, a growing amount of litter continues to find its way to our country’s oceans and onto the beaches.
“At its core, ocean trash is not an ocean problem, but a people problem – perpetuated by the often unwitting practices that industry and people have adopted over time. It affects human health and safety, endangers marine wildlife and costs states and nations millions in wasted resources and lost revenue. However, by understanding what is out there, we can work together on finding long-term solutions to the problem of marine debris – not only along our own coastline, but the entire African coast,” concludes Steyn.
Thriving health-products industry strengthens its voiceRepresenting the South African
portion of a global industry that
has witnessed astonishing growth
over the last 10 years, the Health
Products Association of South
Africa (HPASA) has undergone
a brand refresh and developed
a new market positioning strategy
in a bid to prepare itself for
a growing number of industry
needs.
The HPA’s
strategy
includes a
new logo, a
new info-
heavy website
and the
rollout of a
marketing
plan to drive
consumer
trust as well as improve product safety
and efficacy.
Launched in 1976, the HPASA has long
been at the forefront of championing
quality standards and acting as a voice
on all legislative and regulatory issues in
the natural health products, nutritional
dietary supplements and complementary
and alternative medicines (CAMs)
industries. The industry body represents a
broad spectrum of stakeholders including
manufacturers, wholesalers, distributors,
retailers and practitioners.
The HPASA’s new website provides
the latest insight, analysis and data on
health products and CAMs. Registered
members have access to the very latest in
legal, regulatory and research documents,
presentations, papers and journals on
production, manufacturing, distribution,
standards and ethics.
“With growth comes a continual new set
of challenges that not only the association
needs to address, but that our members
need to be adequately informed to handle,”
says HPASA president Bruce Dennison. “We
believe our readily available, well-resourced
website will provide that information,
complemented by our monthly meetings in
both Johannesburg and Cape Town.”
Saving the spaza shopAn initiative to develop and grow South African spaza shops has kicked of with the opening of the first shop of the My Spaza programme.
Mzipha’s Spaza Shop recently opened
in Mamelodi after a revamp to the tune
of R135 000 and in the first month the
turnover has increased from R15 000 to
R200 000. The shop has a floor space of
76m2.
With the support of Big Save, a
wholesaler and the biggest investor in the
project so far, My Spaza, a black-owned
distribution and consulting company, has
identified 28 potential spaza-shop owners
that are interested in becoming part of the
My Spaza family.
“As Big Save we have come on board
to make sure that the distribution chain
is efficient at all times. It would be ideal
for our suppliers to get involved as well.
We want them to invest in these spaza
shops by adopting them and assisting them
to run successful businesses,” says Tony
Ferreira, operations director of Big Save.
Founded by Medupe Rantlha, the My
Spaza programme has embarked on
a journey that aims to formalise the
spaza-shop industry and contribute to the
economy of South Africa. Rantlha himself
became part of the statistics in 2005
when he lost his spaza shop as a result of
competition from foreign traders.
It is his vision to put spaza-shop owners
who had lost their businesses back into
business with the help of stakeholders
such as government, banks, suppliers and training institutions.
“We will guide the shops that are registered with us right through the process of initial set-up and will stay with them throughout the life of their businesses and provide all the support they may need,” he says.
Potential members will be registered and trained, after which My Spaza will enter into a form of a “franchise agreement” with them. My Spaza will facilitate the revamping of their stores, right down to the first consignment of stock. Spaza shops will be renovated both inside and out, with modern shelving that will display goods in an attractive manner.
“I believe that with the help of Big Save, our spaza shops will be very competitive from a pricing point of view,” Rantlha says.
The financial and systems side of the business will be the baby of Tshepo Seeta, an experienced banker and now also a director of My Spaza.
He says it is very important that their members are registered and comply with legislation.
“Because we rely on support from government, we have to obey all the laws of the country, including local govern ment bylaws. We are also talking to banks and other funders such as Small Enterprise Finance Agency (SEFA), so it is important that we have our ducks in a row.”
Nolan Mamathuba, operations director of My Spaza, has played a pivotal role in the development of the programme.
Suppliers are invited to become part of this initiative that promises to make history in the economies of townships all over South Africa.
35SUPERMARKET & RETAILER, AUGUST 2016
The first My Spaza shop, Mzipha’s, recently opened in Mamelodi. From left to right are Joseph Nkomo (owner), Blessing Nkomo (son), Mpumi Nkomo (daughter) and Titus Mamba (brother).
▲
Corner Bakery is Game for more stores
Corner Bakery, South Africa’s
largest bakery franchise with
over 420 stores throughout
South Africa, has opened its
first concession model store
within Game at the Gateway
Theatre of Shopping in Umhlanga,
KwaZulu-Natal.
According to Wayne Duncan, chief
executive franchise holding company
Retsol, owner of the Corner Bakery brand,
this model follows the trend of big-box
retailers needing to move into more holistic
offerings for their customers.
“Growing credibility in the food category
takes time, so strategic partenerships with
credible food brands help to speed up that
process,” says Duncan.
Three corporate stand-alone stores will
open in July (one in KwaZulu-Natal and
two in Gauteng) with the intent of opening
another 12 before the end of 2016. This
will add to the existing 13 corporate
stand-alone stores that Retsol has already
opened. Retsol plans to open between 30
to 50 new corporate sites annually.
After fine-tuning the new concession-
store model within the Game environment,
Retsol plans to roll out concession stores
to the rest of the Game stores in South
Africa as quickly as possible. In addition,
Retsol plans to open Corner Bakery outlets
in the Game stores located in Oshakati
(Namibia) and Lusaka (Zambia) in August.
Corner Bakery is the leading independent
bakery brand in both these countries with
16 Namibian and 10 Zambian outlets.
Peter Arnold, managing director of
Massfresh, the Massmart subsidiary
responsible for Massmart’s butchery,
Checkers, Spar and Pick n Pay battle it out for best promo craze
Checkers, Spar and Pick n Pay have
been competing with promotional
collectable items ever since the
launch of the infamous Pick n Pay
Stickeez.
Claire Cobbledick, head of marketing of Gumtree SA, says that being a mother herself she experienced the Stickeez craze first-hand. “I knew that my kids would hear about Stickeez at school, so I checked them out online,” she says.
And to her surprise, after trawling the Gumtree site, she saw a large number of adverts featuring the Pick n Pay Stickeez.
“It seemed that people were opting to pay R10 on Gumtree per Stickee rather than R150 in store,” she continues.
The latest collectable craze is the Checkers Little Shop Minis.
“Overnight, Minis adverts popped up on the site, and when going through them, we even discovered vintage Minis in Port Elizabeth.”
A set of 25 Minis in a collectible case fetched R1500 on social media, which many selling for the original price of the grocery purchase – R150 per Mini. The peak of the campaign, a designated National Swap Day where various stores hosted hundreds of people swapping their duplicate Minis with each other, exploded on social media and displayed a larger share of voice when comparing it to Stickeez.
And when Gumtree recently conducted a survey asking users which campaign they preferred, 39% opted for the PnP Super Animals, 39% for Minis, 12% for the Spar’s Angry Birds and only 10% for Stickeez.
“It is safe to say that Stickeez has clearly been forgotten, with bigger and better campaigns taking over,” says Cobbledick.
Stickeez and Little Shop Minis can be still be found on www.gumtree.co.za.
bakery and fresh-produce business across
all Massmart chains, says: “We saw great
strategic alignment with the Corner
Bakery customer profile and brand, as
well as an exciting opportunity to bring
a focused convenience-bakery offering
into this supermarket environment. We
are also encouraged by Game making
significant strides in becoming a significant
competitor in the fresh-food supermarket
category in South Africa. A great bakery
product range is a key part of this strategic
plan.”
The Game Gateway Corner Bakery
outlet, which is located at the front of the
store, measures 20m². Products will include
Corner Bakery pies, rotisserie chicken and
pre-packed bakery products.
Lindt opens chocolate boutique in Mall of Africa
Lindt & Sprüngli opened a new
Lindt Chocolate Boutique in the
Mall of Africa in Midrand this
month.
The brand new boutique – the second
of its kind in Johannesburg – boasts an
impressive Lindor Pick & Mix with a wide
variety of flavours, as well as the full range
of well-known favourites and exclusive
Lindt products.
“Given the premium look and feel and its
strong focus on international brands, the
Mall of Africa made perfect strategic sense
as the next location for a Lindt Chocolate
Boutique,” says Sandro Weber, acting CEO
for Lindt & Sprüngli South Africa. “We look
forward to further expanding our retail
footprint in South Africa.”
36SUPERMARKET & RETAILER, AUGUST 2016
INDUSTRY NEWS ▲
Chair in Shopping Centre Studies founded at UPA partnership between the
South African Council for
Shopping Centres (SACSC) and
the Department of Construction
Economics in the Faculty of
Engineering, Built Environment
and Information Technology (EBIT)
at the University of Pretoria (UP)
has resulted in the founding of
a Chair in Shopping Centre Studies.
This is the first Chair of its kind in
South Africa.
This Chair in Shopping Centre Studies
will provide students an opportunity to
produce pioneering research, and the
option to specialise in shopping centres will
be introduced in the BSc (Hons) and MSc in
Real Estate from 2017.
It is envisaged that this will help
alleviate the shortage of professional
shopping centre managers in South Africa.
Candidates are encouraged to apply for
bursaries to support them in doing these
programmes.
Prof Cloete has been actively involved
in training shopping centre managers
nationally, in association with the SACSC,
since 1993. More than 1 200 participants
have benefitted from two collaborative
courses, namely the Certificate in Shopping
Centre Management (CSCM) and the
Advanced Certificate in Shopping Centre
Leadership (ACSCL). In 2015 Prof Cloete
also played a leading role in training
lawyers preparing to participate in the
recently established Commercial Lease
Arbitration Tribunal.
South Africa has the sixth highest
number of shopping centres in the world.
Over 2 000 centres offer 23 million square
metres of shopping space. The shopping
centre has become a prominent feature
and integral part of the modern urban
landscape and also plays a stimulating
role in the development of previously
underdeveloped areas.
The Department of Construction
Economics is committed to making this
partnership a success and developing a
Centre of Excellence with the SACSC so
that together they may make a distinct
contribution to the country.
37SUPERMARKET & RETAILER, AUGUST 2016
Leading trade fairs, exhibitions and events of interest to supermarkets and their suppliers
For more information on these and other events, go to www.supermarket.co.za (Trade Fairs & Events) or contact us on (011) 728-7006
NATIONAL 20166 September Cape Logistics and Maritime, Offshore & MarineCape Town International Convention Centre (CTICC)
The Cape Logistics and Maritime, Offshore & Marine 2016 is an opportunity for suppliers from transport, handling and logistics services, as well as for maritime support and industry suppliers to showcase new products, technologies and services.
8 September #BuyaBusinessTicketpro Dome, Johannesburg
The #BuyaBusiness Expo is an annual trade expo that connects entrepreneurs and investors who are looking to grow, diversify or enter into business ownership with one of the many business and franchise opportunities available at the show.
13 September Smart Procurement WorldGallagher Convention Centre, Johannesburg
The annual conference and exhibition is a sourcing exhibition for sourcing, procurement, purchasing and buying professionals from both government and the private sector.
14 September Food & Drink Technology AfricaGallagher Convention Centre, Johannesburg
Food & Drink Technology Africa focuses on technologies for safe, hygienic and resource-efficient production and packaging of foodstuffs, liquid food and beverages and current developments and trends along the entire value-added chain: from raw materials handling, processing, filling and packaging through to International logistics.
INTERNATIONAL 20164 September Speciality & Fine Food FairOlympia, London
The Speciality & Fine Food Fair provides an opportunity for independent retailers, delicatessens, chefs, hoteliers, restaurateurs and importers, distributors and wholesalers to meet UK and international producers and suppliers of new, artisan food and drink.
13 September Customer Festival EuropeBusiness Design Centre, London
The Customer Festival covers the whole customer journey from start to finish. You will find extraordinary people whose ideas, thoughts and dreams you can challenge, engage with, and become a part of.
20 September Propak West AfricaLandmark Centre, Lagos
PROPAK West Africa, West Africa’s biggest printing and plastics exhibition, hosts trade visitors from the West African region and around the world to meet exhibitors with local and international presence.
22 September Farm TankHyatt Regency, Sacramento, CA
Researchers, farmers, chefs, policymakers, government officials, and students will come together for interactive panels on topics such as food transparency, food tech, sustainable protein, infrastructure, and food business.
26 September Halal ExpoCrowne Plaza Conventional Hall, Dubai
The Halal Expo is the leading business platform for the Middle East Halal industry, where you will meet decision-makers on the future investments by their respective organisations.
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