30 Jan 2008


Print	Email

Baked beans outperform in convenience channel, says Heinz

Heinz

convenience

Source : Heinz
Shoppers looking to stock up on baked beans for breakfast are helping sales of baked beans in the convenience channel outperform those across all channels, according to the latest research from Heinz's 'Grow Grocery' category initiative.

Heinz Baked Beanz

Within the beans and pasta market in the convenience and impulse channel, baked bean sales are up +7% year-on-year compared to +6% across the total market. The beans and pasta market is growing at +3.6% and is worth over £37 million.

In 2006 there were 201 million baked bean breakfast occasions at home which is a growth of seven per cent year on year.

"Breakfast is one of the key times for eating baked beans and is helping to drive the growth of baked beans sales as shoppers pop out to their local convenience store to stock up on their breakfast essentials," says Sian Lukes, Heinz Retail Execution Manager.

"The grocery category is alive and kicking. Far from being the low value, distress purchase and low impulse category that some retailers perceive it to be, grocery brands such as Heinz Beanz are in high demand and if displayed correctly can help grow sales for retailers."

Heinz's 'Grow Grocery' category initiative, the first of its kind for the grocery category in the convenience channel, was established to help retailers realise the potential of the grocery category.

Its research reveals that independent convenience retailers underestimate the contribution grocery shoppers can make to their sales. For example by not keeping their best selling grocery lines fully stocked and displayed in high footfall areas to make the most of the impulsive nature of breakfast shoppers, retailers are missing out on an estimated £21 million unit grocery sales per year.

What is more, ambient grocery products represent a staggering 19% of all sales in convenience stores with seven out of the top 20 most preferred brands being grocery products - Heinz Baked Beanz tops the list.

Key Trends:

• The grocery category is in great health, growing at +4% spurred on by grocery shoppers spending 35% more per visit than in 2005.

• Convenience retailers should look to capitalise on the lucrative power of these shoppers by paying more attention to their grocery displays.

• When arranging grocery fixtures, 27% of space should be dedicated to beans, pasta and veg. Baked beans and bean meals have the greatest share of sales within the category with Heinz holding a 83% market share.

"Through the 'Grow Grocery' initiative, Heinz is committed to working with independent convenience retailers to ensure they are making the most of the hugely profitable grocery category," says Sian Lukes.

"By combining Heinz's category expertise with each retailer's understanding of their own shoppers' needs, we can grow the grocery category and enjoy the resulting rise in sales. It is an opportunity that is too big to be ignored."

Email this to a friend