Sugro is to launch a second retail fascia next year, following a successful 2012.
Back in the summer, the delivered wholesaler group announced a “regionally clustered” fascia concept called Nearbuy.
The result of the Sugro Retail Group’s membership of Nisa, Nearbuy was progressing well, Sugro UK managing director Philip Jenkins told Wholesale News last week. The roll-out of the concept would begin in the first quarter of 2013 he said, with the flagship store opening in Braunton, Devon, some time in January.
The new concept, the “S Shop” would be more of a “badging” than a fully-fledged fascia, Jenkins said, and would be aimed at smaller shops and CTNs which did not necessarily want to carry a complete convenience range of fresh, chilled and frozen but which were members of the Sweet Break promotional club scheme.
“The best comparison I can make is with Bestway’s Best-in store concept,” he said. “We are looking to get S Stores into double figures in a very short time. The stores will perhaps be too small to take advantage of the drop shipment scheme offered to Nearbuy retailers. They have different needs and very different shopper missions – so we will be helping them with lines such as cards, Lottery, PayPoint, as well as helping with EPoS, credit cards, merchandising, fixtures and so forth.”
The first S Shops should be open by January or February 2013.
Looking at trading in the second half of the year, Sugro was still running ahead of the market, despite “very tough” conditions. After a very strong first half, the group was about 3% up, said Jenkins.
“The Olympics were an important opportunity for Sugro and we ran some long-term promotional incentives with Coca-Cola Enterprises and Kraft, to which the retailers responded very well. There was and big increase in turnover before the Games, but August and September themselves were very poor across the board. Luckily October to December was very strong, with good growth on promoted CCE and Kraft lines.”