Nisa makes changes to drive growth for partners

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Nisa Retail has today (26 March) unveiled a £2m investment in price reductions.

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The symbol group told its partner Nisa Live event that the move will see many items reduced in price on branded, as well as Co-op own-brand products, as part of its Fresh Thinking proposition to help partners meet changing shopper habits.

The investment has reduced the wholesale price of many Co-op Own brand products, including Chicken Fillets, Baked Beans, and Flour, and is available to partners now. The investment in own brand will not only support partner margin on individual product lines, but will increase bottom line POR, Nisa said.

Additional investment on branded items – including Lucozade, KitKat, and Cathedral City Cheese – will enable partners to stay competitive in an evolving market, the symbol group added.

Ken Towle, chief executive of Nisa Retail, said: “We continually work hard to secure the best terms we can for our partners with the might of Co-op’s buying power behind us, and this significant investment is just one of a number of ways we are helping partners grow their businesses in 2021.”

Ayaz Alam, trading director at Nisa Retail, added: “Co-op own brand significantly increases a partners profit on return, and this additional £2m will support our partners in a market where own brand is the coveted prize. Alongside our investment in price reductions, significant promotional activity and new product development planned for this year will enable our partners to stay competitive and adapt to changing consumer trends as we slowly emerge from lockdown.”

In addition, the Co-op newly launched ethical hot drinks brand, Ever Ground is now available to Nisa Partners. The Ever Ground brand offers all 100% Fairtrade products including Fairtrade coffee, Fairtrade hot chocolate, Fairtrade sugar, and the iconic Fairtrade Co-op 99 tea, along with fresh British milk.

Nisa also revealed investment in its logistics and delivery operation to enhance service levels across the network, making delivery faster, more efficient, and easier for partners to use. This includes a “substantial investment” in new vehicles as part of Nisa’s ‘fleet refresh’ programme, helping to secure new specialist temperature-controlled vehicles. Nisa is also upgrading its depots, with improvements in refrigeration and freeze plants under way to cater to the growing partner demand for Fresh.

In addition, Nisa aims to continue to improve its delivery methods, including how independent retailers receive chilled goods to minimise unpacking and stacking costs and improve efficiency. A new electronic proof of delivery system (e-POD), which will enable a simpler paperless sign-off process on delivery, is planned for the second half of 2021.

Nisa also launched a Distribution Charter, which lays out “clear promises to partners with regards to the logistics and distribution network”. The symbol group will aim to publish key performance information relating to distribution, such as the number of deliveries on time and routed out statistics, in order to increase transparency. Partners are encouraged to use the forums and engage with RDMs to feedback to senior management and to ensure their voices are heard.

John McNeill, chief operating officer, said: “Today’s investment to improve the efficiency, reliability and ease-of-use of our service will ensure Nisa is able to maintain its market-leading levels of availability and improve the distribution service for our partners.”

Kerinne Oliver, head of logistics, added: “Our focus for 2021 is to enhance our data collection methods within the logistics operation, helping us to better identify trends and reduce layers of cost.”

Nisa Retail also introduced its partner proposition, ‘Nisa Fresh Thinking’, to help partners create the best customer offer and grow their businesses. Partners will get access to retail expertise and thought leadership to help continually improve customer experience, through in-store solutions, category insights, store format innovation and expert account management teams. They’ll get the business support and tools and tailored support packages to drive their independent businesses forward. As well as access to a high quality, fresh offer and the national recognition of Co-op own brand, backed up by market-leading availability service levels.

Laura Gomersal, head of marketing at Nisa, said: “For any brand or business to succeed, you must be clear about what your customers and partners want and what makes you different from competitors. With the support of our partners, we’ve been working the last few months to define the Nisa proposition and Fresh Thinking will help guide our decisions based on our retailers’ needs.”

Co-op own-brand plays a pivotal role in helping Partners to develop a fresh proposition and deliver great value so Nisa has upweighted its marketing support to help retailers add value within their stores. Partners with “a credible range” of Co-op own brand products will get access to an enhanced multi-channel Proud to Stock support package, to help make shoppers aware that Nisa Partners stock Co-op.  Nisa is offering enhanced support of new product development and has launched the Co-op core essentials range, to support partners in building their offering into a credible Co-op own brand range.

Seasonal events also present a “huge opportunity” to drive incremental sales for Nisa Partners, so the symbol group will continue to bring innovation to core categories across BBQ, snacking and summer drinking occasions.

Gomersal added: “UK corner shops and independent retailers have seen a surge in sales in the last year and we will continue to support our partners with Fresh Thinking at the heart of everything we do. We understand shopper needs for every category and every convenience mission and are using this data and insight to bring the best offer for our partners.”