It was vital for retailers and suppliers to meet up face to face at Food Force Ireland’s Trade Day following a two year break, according to chairman Jonathan Crawford.

For the past two years, the key industry event has had to migrate online and the event at the Culloden Hotel and Spa on September 12 was the first time it has taken place in person since 2019.

“Last Tuesday was really important in terms of getting a chance to finally meet with our local suppliers again face to face after two years of not. These are the key account managers and shareholders within suppliers that wwe get to meet face to face once a year,” FFI chairman Jonathan Crawford said.

“So we were looking forward to getting back to that – we had a range of deals that Trading Controller Debra Johnston set up for the day and we went around placing orders for those deals with each of the suppliers, trying to pick up value that we could pass through to our own consumers.

“We’ve had two years there of not getting a day out of the business to lift our heads to see what else is available and there are lots of suppliers who had new ranges and exciting new products to show us. 

“That wee gap of a couple of years maybe gave us a wee bit more hunger to go and see that so that’s all a good thing.”

Fourth generation

Jonathan himself is a fourth-generation independent retailer, taking over Crawford’s of Maghera from his parents.

“We have been involved in Food Force Ireland since its inception really in the late ‘80s and I took over the treasurer role in 1999,” he says.

“My family supermarket has always been independent and Food Force Ireland was started as a group of independents which together formed a limited company called Food Force Ireland Ltd in the 1980s.

“Alastair Smyth from Limavady was one of the driving forces in it, along with Henry Emerson from Armagh, and they created the buying group to help negotiate with Northern Irish suppliers for independent retailers. So we were all owner managed and then pooled a central resource together that Alastair would have run.

“Then Alastair retired in 2000 and we employed a Trading Controller in Belfast to look after the role that he did and there was a board of directors around that.”

Growing movement

Since the year 2000, the group has gone from strength to strength, growing in terms of membership and revenue, Jonathan says.

“We tried to pool together on central deals with mainly Northern Ireland based suppliers – your household brands, the likes of Tayto, Ormo, Mother’s Pride and Punjana tea bags have all been central to what we do, what people buy in their shops in the province.

“The people in Food Force Ireland have evolved but the general memorandums and articles, and the core principles of Food Force are the same – it’s a group of independent retailers who pull together in order to share benefit among themselves. Nothing is kept by Food Force itself and any benefits that come through are passed through to the membership on an equal basis so that core belief has stayed there. It’s like everything, some of the people have come and gone but the principles are still there.”

Back in person

Over the last five or six years before Covid, the event has been held in the Culloden Hotel in Co Down.

“It’s great to get back to doing that again and actually having a place we can go to, rather than trying to do these things online,” Jonathan says.

“The other thing we do with this show that is quite unique – this is a free day we give to all members and all suppliers and that encourages them to bring their best deals with them.

“We’re not charging suppliers that turn up – there’s no tax through Food Force, if you like, so this is a day where they can bring their best deals and they will be passed through to the membership and that makes us unique as well.”

Supply chain

The unique approach of Food Force Ireland really paid dividends for members when the arrival of the pandemic disrupted supply chains, Jonathan says.

“A lot of us would have been buying from UK-wide wholesalers and when Covid came, they came under so much demand that their supply network just crumpled and didn’t work.  We were placing orders for 5,000 cases and getting 200 delivered – it was horrendous,” he says.

“But that local supply base that is operated in Northern Ireland with the likes of Punjana tea bags and the PRMs of this world and Tayto and everything… we couldn’t get Walkers crisps in from England but Tayto were on our doorstep every week, with whatever we wanted.

“So it was great to have those direct links – they were direct to store, they weren’t going through a warehouse somewhere. It was direct from the supplier to our back door in each of our shops and that really made a difference during the dark days of Covid.

Direct links

“The suppliers would come very early in the morning and leave off deliveries to our back door. We trusted them that they would leave off what was right, they trusted us that we wouldn’t have shortages.

“Our supply chains did work during that time which was great – we had toilet rolls when nobody else had. And that was really due to the way that we make our supply chain. If anything it’s a bit old fashioned and that worked during times of crisis.”

Many retailers have been experiencing a period of labour shortages but the pressure appears to be lifting somewhat, Jonathan says.

“That was tough – they couldn’t get drivers, they were having difficulties getting products picked in warehouses and that sort of thing.

“And of course we’ve got roaring inflation – the price thing is something that has always been an issue but the supply seems to have now seems to be sorted. We’re now getting the products we want from all of our supply base now. The cold chain, like meat suppliers, were having difficulty in their factories but I’m hearing less issues of that in the last few months.

“And maybe if we are entering recession and there are layoffs in other industries, the food industry tends to be bolstered at that time, because I can’t get a job in a hotel, but I can get a job in a meat factory or a processing plant. So labour shortages in our industry hopefully are easing.”

Energy costs

However energy costs have become a huge problem for everyone, he says.

“You just have to go into your local convenience store or your big supermarket and have a look at the fridges that they operate. Those fridges are operating 24/7 and they can’t be turned off, they can’t be turned down, they can’t be turned up. They’re a constant cost,” he says.

“We were paying 11p-12p a unit for electricity 12 -14 months ago and now we’re looking at 30p-35p going into the winter. It’s a threefold increase or more and there’s going to be more come January. That’s a set cost for all these stores and there’s really very little they can do about it.

“And of course people with oil heating or any form of heating in their stores are going to face a really bleak winter – I think we all know that.”

While many retailers have been turning to alternative options such as solar or to making efficiencies with measures such as installing fridges with doors, that can mean a sizable capital investment, Jonathan says.

“The ones who can afford to make those changes will do it, the ones who  can’t, I don’t know. It’s going to be tough,” he says.

“It’s not an optimistic time for any energy-heavy business, which we are. We’re energy heavy and we’re labour heavy. There isn’t a member of staff that doesn’t need an increase in their wages to cover inflation and we tend not to have too many members of staff that we don’t need.

“So again we’re facing increased operating costs and we’ve got a new Prime Minister who will have a lot of problems ahead of her and we’re all hoping there’s some sort of relief system to be announced.”

To read the full 25-page Special Feature on Food Force Ireland’s Trade Day, click HERE.

The post Retailers facing unprecedented pressures: Food Force Ireland Jonathan Crawford first appeared on Neighbourhood Retailer.

Armagh-based Tayto Group has secured a deal with a supermarket giant to list three additional lines of crisps, including two new products, in 50 of the retailer’s stores across Scotland.

The new lines will include Golden Wonder 75^th Anniversary Crisps, Golden Wonder Ringos Puffs Barbeque and Sweet Chilli.

Founded in 1956, the Tandragee business has grown to be a major supplier of retailer-brand snacks including Asda, which it has been supplying for more than 20 years.

Employing more than 1,600 people across six sites, including almost 200 in Northern Ireland, the group also owns several brands including Golden Wonder, Mr Porky, and the iconic Tayto.

Matt Smith, Golden Wonder’s marketing director, said: “Asda’s local sourcing strategy, that tailors its range for the Scottish market, has provided this opportunity to share Golden Wonder’s 75^th celebrations with Asda shoppers in our Scottish heartland.”

Cathy Elliott, Asda’s buying manager for NI Local, added: “The commitment of Tayto in celebrating the 75^th anniversary of Golden Wonder with nostalgic flavours is something we are very excited to be able to offer our Asda shoppers in Scotland.”

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June is the month of Marie Curie’s Blooming Great Tea Parties, which SPAR NI stores will transform into birthday parties, welcoming their shoppers for a cuppa and a bun in exchange for a donation to the charity on Saturday 19 June.

Throughout the summer, SPAR will donate 60p from the sale of each SPAR enjoy local round cake to their charity partners and are encouraging stores to ramp up the fundraising possibilities in a safe way on the day.

Tea Parties

Bronagh Luke, Head of Corporate Marketing at Henderson Group explained; “From 2017, we created the biggest Blooming Great Tea Party by hosting over 200 in-store events across our SPAR stores, raising over £182,000 through this initiative alone.

“The pandemic has caused a very challenging year for the charity, and although we were able to create the Pick me up Picnic to raise some much-needed funds over the summer, and donate £30,000 from our recent Buy A Bunch to Give A Bunch campaign for the Great Daffodil Appeal, we are thrilled to be able to get back on track and transform the tea parties into birthday parties as we celebrate 60 years of SPAR serving local communities.”

Each fundraiser will be compliant with restrictions and government guidelines, and Bronagh explains that is paramount to a successful event.

“We are encouraging retailers to create a safe space that shoppers can browse, donate and have a quick chat about Marie Curie and how SPAR is helping ensure services continue in our local communities. Some stores will brighten up the shop floor by wearing yellow in tribute to the charity, some will be testing their fitness with a ‘spinathon’, and others will hold a raffle and have prizes to give away. We are staying safe, but we are dedicated to supporting our charity partner during our year of celebrations.”

‘Fred, there’s no bread’

Olivia Nash, the actor who made the “Fred, we’ve no bread” line a household saying back in the ‘80s, has also been involved in the 60^th celebrations and will be calling into SPAR Sunnyside Street to meet shoppers and staff for their event on the 19^th June

The initiative will be supported by a full marketing campaign for retailers taking part, including SPAR in store radio announcements, a Q Radio partnership and competition with extra exposure across SPAR NI social media channels and website. Tayto has also come on board as sponsors of the initiative.

Tayto on board

Bronagh added; “It’s fantastic to have Tayto on board as they will really bring the party to life with their selection of crisps and popcorn. They have also contributed fabulous prizes for shoppers to get their hands on and join in on the celebrations.”

Conor O’Kane, Senior Partnership Manager at Marie Curie added; “Yet again, SPAR NI has surpassed our expectations and planned a fantastic initiative to include us in their birthday celebrations. To pledge £60K to Marie Curie during their birthday year means that we could provide 3,000 extra hours of nursing care in the community or provide a 24-hour stay in our Hospice for 150 patients to get the hands-on care they need.

“We’re looking forward to joining our retailer friends at SPAR NI on Saturday 19 June for a morning of safe and fun fundraising.”

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In a shake up to the bakery industry throughout NI McErlain’s Bakery, who experienced trading difficulties in the past year, called in Andrew Dolliver and Luke Charleton of EY as administrators to the company.

This may seem like a detrimental time for the Genesis Craft Bakery, but all parties involved are optimistic for the future of the brand under new leadership, and thankful for minimal damage to the occupation and economic factors.

M&S, Tesco, Waitrose and Brake confirmed that their contracts will continue as normal and Genesis Crafty will continue trading from the plant for the meantime.

However, the news may come as a shock to many throughout the industry, due to Genesis Crafty creating 47 new jobs last September, investing £6m on new equipment and having further investment from Invest NI of £485,000.

Ernst and Young LLP explained that these issues came from a period of trading difficulties, but are yet to comment on what sent the bakery into liquidation. They approached Paul Allen to invest in the company and save both the brand and jobs.

We are still awaiting comment on EY about the overall affect this will have on current creditors involved with McErlain’s Bakery and the Genesis Crafty range.

Andrew Dolliver of Ernst and Young LLP, also explained that their priority lay with McErlain’s and they aimed to “achieve a better result for the company’s creditors as a whole and to identify a buyer who would bring the business back to a position of stability where it could continue to trade, and importantly, where its employees were protected.”

He also expressed great hope for the future due to the success and experiences that Paul Allen has accumulated throughout his career in the retail sector.

Paul spoke about the matter with confidence for substantial, managed, successful growth: “I’m hoping that in my non-executive role with the company, I will be able to use my experience in the industry to help guide the growth of both the Genesis Crafty brand and the overall business.”

Paul went on to speak about the fact that this deal was also sentimental, due to it being “a private investment by me and my family.” He praised the McErlain family, stating they “have built a great business, with excellent products.”

Not only was the chief executive happy to save a family business, he was delighted to be saving the jobs of somewhat 260 employees: “I’m delighted that the jobs at the factory have been secured and that Brian McErlain will be staying on as managing director.”

Paul has said that he will be implementing the same kinds of strategies he has been using throughout his business career. He hopes to assist strategic growth in the mid term but the initial priority is to stabilise the business and work with staff, customers and suppliers to do just that.

The move will see five of the six McErlain brothers, who have been running the bakery for the family, leaving following Mr Allen’s purchase.

Hopeful to turn the business around, Paul alluded to what their business model will look like going forwarding, it would appear the Tayto boss is set to implement a model that brings the success of his crisp and snack brand.

Brian McErlain, commented: “This is obviously a time of mixed emotions; sadness that it is now a different family who own the business but hope for the future and the growth of the Genesis Crafty brand.

Paul Allen’s ability is very well respected in the business community, not just in Northern Ireland but further afield and I believe that his involvement will be a real benefit to the company. I’d like to pay tribute to all our staff, customers and suppliers, who have been through some difficult times with us and whose support we have really appreciated.”

This move had many within the industry commenting, including Glyn Roberts, chief executive of Retail NI, who has a special connection to the bakery: “This is very welcome news. Genesis Crafty is a long standing member of Retail NI and enjoys an excellent relationship with the independent retail sector in Northern Ireland. I have no doubt that the business will have a very secure future with its new owner.”

Whilst it is uncertain how this will play out and who will be affected overall, Paul Allen, and others, would appear to be confident in his abilities in being able to turn the company around.

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