Breakfast cereals is an important category in the independent retail sector, generating more than £40m in sales for the 11,000 stores covered in SalesOut's monthly report for Convenience Store.
The category is continuing to grow, although its growth in the independent sector (+4.1%) is below that in the total market (+5.8). To help independent retailers close this gap, SalesOut has looked at the key trends and offers some advice on how to maximise sales.
Commercial director Steve Collins says: "As breakfast cereals are bulky by nature, space on this fixture must be used to the best sales advantage. This means offering the widest possible choice. So if space is limited, it is better to stock two different products in place of two sizes of the same product. When making pack size choices, the larger pack presents the greatest sales opportunity. For example, if you can stock only one size of Kellogg's Cornflakes, select 500g not 375g."
SalesOut has identified key lines showing above-average growth through independents. Significant growth was seen by Special K Red Berries (+32.1%), Quaker Oatso Simple Original 10-pack (+29.2%), and Jordans Country Crisp Four Nut 375/500g (+23.6%).
Collins adds: "By comparing the position of the top-selling products with their average weekly sales, it is clear that stores need to stock a wider range of goods. For example, Special K Red Berries has the third highest average weekly sales in the independent sector, but it is only 10th in terms of total sales.
"It is also clear from the SalesOut Report that many of the top-selling products have benefited from some strong marketing in the past year, for example, the Weetabix Week and the Special K Diet Plan. Retailers should be aware of their influence on consumer demand and plan ahead."
To view SalesOut's list of the top 30 breakfast cereals in the independent sector, visit www.thegrocer.co.uk/independents.