Often catering is at the back of the outlet or behind closed doors and therefore out of sight out of mind. But many gastro pubs and restaurants like Pizza Express are bringing the catering into the sight of the customers. This brings customers into the cooking experience, creating theatre and reassuring them that food is prepared hygienically, but also meaning any brands in the kitchen are on display.
Coffee shop chains are also increasingly selling brands such as Coca-Cola, Walkers, Green & Blacks and The Times, showing that brands do add value to a businesses offering.
The latest research from HIM Cash & Carry Caterer Tracking Programme shows that independent caterers are brand loyal. The majority (68%) of caterers are on a regular or planned visit to the cash and carry. Half of all caterers bring a shopping list with them, of those 40% have items listed by brand such as Branston Pickle and Heinz tomato soup.
Eighty four per cent of caterers say that they are loyal to crisps and snacks brands, 10% more than cooking aids and sauces - perhaps not so surprising as one is more directly visible to the end customer. Is the job for the brand owner to make their products more visible to the end customer by encouraging caterers to list the brands on the menu?
Even when it comes to their food menu 22% of caterers have branded dishes such as Bass Ale pie or Ploughman's with Branston Pickle on them.
Customers are also requesting brands. As part of HIM pub and bar study (ontrack) 7% of customers told us that they would like to see food from chains such as Greggs, PRET and Pizza Express sold in the pub or bar.
Twenty three per cent of caterers were tempted to buy an item which did not appear on their shopping list because it was on promotion. So there is an opportunity to encourage caterers to switch brand at the point of purchase, however only 4% of caterers would select an alternative product if their desired product was not in stock.
Many caterers have a lack of storage space at their outlet. Caterers said that they could be persuaded to switch brands if the manufacturer offered half cases.
Twenty eight per cent of caterers said that they would actively look for new products while at the depot. This is the perfect opportunity for brand owners to encourage caterers to try and buy new products or switch brands.
Thirty five per cent of caterers said that they find out about new products that are available to catering businesses via the cash and carry, 34% said the trade press. Both means of communication should be part of a brand owners overall contact strategy.
Cash and carries can use brands to signpost categories within the depot as caterers will recognise the brands and immediately associate the product group.
In retail, own label products such as Tesco's Finest range are becoming powerful brands in their own right. But look what is happening around M&S apparently looking to sell selected brands in its stores. Results from the Convenience Tracking Programme show total category sales grow in BP and M&S partnership stores when there is own label and M&S brands merchandised together.
There is still a place for own label products for caterers however. Forty two per cent buy own label cooking sauces 27% of caterers buy own label soft drinks, 26% buy own label hot drinks, 21% bought own label crisps and snacks, and 18% bought own label confectionery. However only 7% mention range of own label products as being important to them.
Price is important to caterers but not crucial, while brands and availability are becoming more important.
Will Government proposals to ban the display of tobacco in retail premises damage the wholesale sector?
- 27 November, 2008
FWD Annual Dinner & Gold Medal Awards
