A special month

Holy Ramadan 2023 opens a new window of opportunity for the retail community. Be it increase in footfall, conversion rates, purchasing patterns, consumption trends, or overall spend per customer and household during the ongoing festival days – Ramadan has significant social as well as economic impact.

The festival season runs between 22 March and 21 April this year, culminating in Eid al-Fitr celebrations on April 22, depending on the sighting of the moon. It is estimated that an extra £100 million will be generated from retail activities during the month-long period of the religious ritual.

The pandemic resulted in a significant shift towards shopping locally, and research suggest that this is a trend that remains even today. “A Barclaycard survey found that more than nine in 10 people who have shopped locally say they will continue to do so. That means, independents – who can offer a much more personal touch to the shopping experience – can really capitalise on this trend,” says Kenton Burchell, Trading Director, Bestway Wholesale.

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Independents in an area with a large Muslim community should be aware of the fact that, according to figures from the Retail Data Partnership, weekly grocery sales jump by about 10 per cent during Ramadan, increasing to 12 per cent in its final week. Besides maximising sales, festivals like Ramadan give independents a golden chance to connect with their customers, aligning with their sentiments in the spirit of the festival.

Retailers need to ensure they engage with the Muslim community during Ramadan and understand the significance of the occasion and the type of meals that are being prepared. “A good relationship becomes a lasting relationship,” feels Burchell.

The UK Muslim population stood at 3.9 million or 6.5 per cent of the total UK population in 2021, up from 4.9 per cent in 2011, according to Office for National Statistics (ONS). Out of which, at least three million people are practicing the Ramadan rituals.

Food for thought

Muslims celebrating the festival will only eat and drink during the post-sunset [Iftar] and the pre-dawn meals [Suhur]. The majority would prefer to consume traditional food products and drinks that will give them energy throughout the day. Amongst the most- consumed food products in Ramadan are dates, nuts and dried nuts, and dairy products.

Wholesalers and manufacturers including Bestway Wholesale, Dina Foods, Surya Foods, TRS Foods, Tilda, For Aisha and Barr Soft Drinks have come up with a wide range of products to cater to the Muslim populace.

“Retailers must stock up on staple products such as rice, which form the foundation of a Ramadan portfolio,” says Asif Khan, a Software Professional from Glasgow. “Retailers should bolster it with a selection of the kind of snacks that are eaten to help break the fast and provide sustenance to get through a day of fasting,” suggests Khan.

Photo: iStock

The beverages segment, which is witnessing a 16 per cent YOY growth, is pivotal during Ramadan. Soft drink shoppers spent more per trip during Ramadan last year, buying an additional 2.2 litres each time. Larger packs are popular and easily sold during the season.

“Retailers must ensure storing key products like large bags of rice; grains such as quinoa and bulgur wheat; dried fruits, dates, and bags of nuts, dairy products and yogurt; tinned tomatoes, chickpeas and lentils; fresh fruit and vegetables; dried herbs and spices; large bags of flour; speciality breads such as naan and pitta; vegetable and sunflower oil; hot and spicy sauces; soft drinks and exotic fruit juices; and sweets and confectionary items,” reiterates Khan, who himself practices Ramadan rituals.

To celebrate the end of Ramadan, known as Eid al-Fitr, many observers will hold gatherings with friends and family and share large amounts of food, as well as cooking for those who are less fortunate. Retailers need to be equipped with staple food products such as rice, flour and cooking oil in order to cater to customer demand.

Independent success

Independents should not be afraid to try something fresh and different either – of course, traditional fare will always be important to stock but unique offerings that are not available in the multiples could be a strong footfall driver.

“Ramadan is a great sales opportunity for independent retailers,” says Souheil Haddad, Managing Director of Dina Foods. “A Ramadan area in-store must serve as a destination point. Attractive merchandising displays must be used to showcase new or special offer items, to cash in on impulse sales. Shoppers should be able to find this easily, and there should be promotions to encourage them to stock up. A Ramadan sign above the fixture will help shoppers locate the products and stop to shop,” feels Haddad.

To attract Ramadan customers, retailers should stock halal meat, pastry, mincemeat, packets of large rice, cooking oil, soft drinks as well as frozen halal foods, fresh vegetables, juices and items to make healthy soups such as lentils and halal chicken.

“Independents must ensure there are stocks of sweets and pastries, as well as tea and coffee. Retailers must also stock non-food categories including paper plates, cups and cutlery for those preparing for a big gathering for the occasion as well as foil, cling film, paper towels, and good containers and plastic bags,” said Burchell of Bestway Wholesale.

“With consumers feeling excited about the festival, retailers can make the most of this opportunity by ensuring the visibility and availability of products in stores,” adds Anna Beheshti, Head of Marketing, Tilda.

“Retailers can increase consumer footfall and become the go-to retailer by enhancing the shopper experience both online and instore as well as offering great discounts and ultimately driving incremental sales. Ramadan presents the perfect opportunity to engage with a different key audience by pushing relevant products, whilst at the same time supporting the celebration’s values of togetherness and inclusion, which is key for consumers,” suggests Beheshti.

Unbeatable price tag

Bestway has worked on a multi-phased promotion strategy running in the lead up to Ramadan, offering market-leading product ranges at unbeatable prices.

“We know how important Ramadan is in the convenience channel. So, we have expanded our product range and offer Ramadan essentials through our own brand: White Pearl. Although White Pearl was launched as a basmati rice brand, it has diversified its offerings by adding ghee, oil, flour, lentils, spices, and canned fruit and vegetables into its product portfolio,” avers Burchell.

Recently, Bestway held two “Thank You” events in depots for all its retail customers, running over a two-week period, offering extra savings and promotions. The event was supported by 16 major brand suppliers and headlined by Coca-Cola Euro-Pacific Partners.

Breads and more

London-based Dina Foods, which offers authentic Lebanese food products, has been witnessing spike in sales across its range of savouries, sweets and breads during the festival season. The company is the leading supplier of Mediterranean flat breads in the UK. In fact, it claims to be the first to introduce Lebanese flat breads to the country’s highstreets.

Today, Dina Foods portfolio comprises baked goods ranging from pitta to naan to its signature paninette wraps; savoury snacks like falafel [including a vegan sweet potato version), kibbe, sifha, hummus and dips; and traditional confections like dates (plain, stuffed, chocolate covered) and baklawa, a light filo pastry filled with walnuts and drenched in sugar syrup.

“Our high-quality products are made from authentic recipes, handed down through generations,” confirms Haddad.

“We have remained as the best choice for Muslim communities. There is a huge demand for Medjoul dates, baklawa, falafel and other mezze savouries during the festival. We also offer a wide range of pitta breads, Paninette, and flatbread for its customers,” shares Haddad.

To cater to the growing demand, Dina Foods launched chocolate coated and filled dates as well as luxurious Baklawa variety packs.

Haddad said the company’s Lebanese savouries such as falafel, vine leaves, kibbes, sfiha, hummus and baba ganoush, all vegan society certified, also hit the mark during the Islamic holy month.

Dina Foods, according to Haddad, has worked with its customers to devise Ramadan ranges. He asks independent retailers to stock up mainstay products from Dina Foods staples to boost their sales.

Targeting youth

With 54 world food brand lines and over 2500 products, Surya Foods is one of the largest importer and suppliers of authentic world foods to the UK food sector. Under its popular brand Laila, Surya Foods offers a wide range of pulses and beans to cater to the growing demand for healthy plant-based products.

Especially for Ramadan, the company has launched an array of canned products to help the younger population in easy cooking. Besides Lucknowi and Hyderabadi biriyani kits that can be prepared in 30 minutes, it also offers chutneys, pickles, curries, kebabs, samosas, and parathas for the season.

“It is also a very crucial month for us at Surya Foods as our major brands Laila Foods, Salaam, and Humza serve the UK Muslim audience to help them get Ramadan ready,” says Ashish Amin, Creative Group Head at Surya Foods.

According to Amin, plant-based food has been gaining in popularity in the UK for some time, and the trend is expected to continue during Ramadan. “Consumers are embracing more vegan, vegetarian and flexitarian diets, focusing on plant-based proteins such as lentils, beans, nuts and tempeh. Our Humza and Shazan kebabs bring those authentic flavours. Samosas and parathas are another big hit as they enjoy festive feasts.”

A popular convenience food product in the UK market during Ramadan is an assortment of ready-to-eat curries. Prepared meals like Laila heat-and-eat chana masala and dal tadka feature the traditional flavours associated with Ramadan,” Amin opines.

The company supplies African, Caribbean, Oriental, South Asian, Polish, Mediterranean lines including staples, sauces, noodles, beverages and instant meals.

Ricefully yours

UK-based rice maestro Tildaoffers a wide range of premium rice products which are well suited to preparing meals for Ramadan celebrations. The brand has seen an increase of 49 per cent in shopper penetration during Ramadan 2022 within big bag formats, highlighting the demand for bulk-buying ahead of the festival.

“With Ramadan accounting for 43 per cent of rice category sales in 2022 [up 3 per cent Y-o-Y], it is evident that rice is a core ingredient for these celebrations,” saysBeheshti.

“Products such as Tilda Grand Extra Long Basmati are particularly relevant for Ramadan. It is vital for retailers to consider stocking a range of Tilda products, such as Tilda Pure Basmati, Tilda Grand Extra Long Basmati, Tilda Grand Sella Extra Long Basmati, and Tilda Golden Sella Basmati across a variety of pack sizes, as part of any Ramadan offering,” adds Beheshti.

Stocking larger pack sizes – packs over 2kg – of dry rice is important around Ramadan, particularly for retailers who have stores in areas with a large Muslim community, in order to maximise sales opportunities.

Gram flour

Vibrant Foods-owned TRS Wholesale has launched gram flour, a healthy and nutritious food, to cater exclusively to the Muslim community during the festival season. TRS gram flour is beneficial for iftar dinners due to its versatility and can be used in a variety of dishes, including fritters, pancakes and curries.

“Gram flour has long been recognised as a healthy and nutritious food,” says Stephanie Rose-O'Riordan, Senior Brand Manager at Vibrant Foods Ltd. “It is a great source of protein, fibre and complex carbohydrates, making it an ideal food to consume during Ramadan when the body needs sustained energy throughout the day. Gram flour is also low in fat and high in essential vitamins and minerals, including iron, magnesium and potassium,” she adds.

“In addition to its nutritional benefits, TRS gram flour is also affordable and easy to prepare. It can be used as a gluten-free alternative to wheat flour and can be cooked in a variety of ways, including frying, baking and roasting, making it a convenient option for busy families during Ramadan,”

In November 2019, private equity major Exponent Group acquired both TRS Wholesale and East End brands and launched the amalgamated Vibrant Foods. Besides TRS and East End, Vibrant Foods also has brands like Fudco, Cofresh, Everest and Chai Xpress in its kitty.

Founded over 50 years ago in London by Taherally Rehmanji Suterwalla, TRS Wholesale is one of the largest suppliers of ethnic foods in Europe. TRS offers herbs and spices and pantry staples including lentils, beans, pulses and rice in its product portfolio.

Exotic juice

Ramadan fasting is one of the most observed of all the pillars of Islam, with 70-80 per cent of Muslims practising it. The followers try to stay as healthy as possible while they fast, as it causes dehydration and low blood-sugar levels. Although traditional products cater to this need, retailers must stock a range of soft drinks and fruit juices as alternative to water.

A.G. Barr-owned Barr Soft Drinks is encouraging retailers to stock up Rubicon, the UK’s no.1 exotic juice drink brand, to cater for the demand of trusted, authentic brands during occasions such as Ramadan.

Rubicon witnesses at least 75 per cent increase in sales during Ramadan compared to other months. Rubicon’s wide range of flavours and formats, available in still and sparkling variants, has broad appeal with shoppers catering for different tastes amongst family and friends. It offers consumers a range of regular and high sugar juice drinks to cater to different occasions during the festival.

“Our research shows that Rubicon shoppers are loyal over celebratory periods, with 92 per cent of their spend going towards the brand,” says Adrian Troy, Marketing Director, Barr Soft Drinks.

“Barr has a range of Rubicon products that cater for all shoppers needs. Retailers should focus on the Rubicon Still range early in Ramadan when consumers are fasting and then move towards Sparkling closer to Eid celebrations to maximise incremental sales,” explains Troy.

For children

Since 2015, For Aisha has been offering a wide range of pouch and tray meals, catering for children and babies up to the age of three. For Aisha’s current product range includes wonderful recipes inspired by cultures from around the globe including Jamaican Jerk Chicken, Green Bean and Lamb Curry, Chermoula Chicken, Cambodian Fish & Coconut Curry, and Moroccan Chicken Tagine.

“The brand’s number one selling product line is the award-winning chicken and sweat potato Curry Pouch 130g, available in over 800 stores across the UK,” says Lisa Canterbury, head of the UK sales at For Aisha.

Expanding into the snack and finger-food category, the company has announced the launch of its brand new line of gluten- and nut-free Oaty Bars, available now. The new and distinctive vegan flavours include blueberry and lime, broccoli and apple, and an all-time favourite, banana and coconut.

“For Aisha is also expanding into toddler meals from 3 years+ and the current product line is further expanding to meet the needs of babies from 4 months+ who are starting out on their weaning journey,” adds Canterbury.

For Aisha has chalked out a comprehensive marketing plan to attract new and existing customers with a particular focus on Ramadan as a key period for the core demographic as well as being the third largest shopping event of the year in the UK.

For Aisha will be featured on the Islam Channel for a brand-new Above-the-line campaign in March, she promises.

The brand has also partnered with GreenJinn, a free cashback app, to drive penetration outside of the core Muslim heartland. “For Aisha actively continues to raise brand awareness through a large-scale sampling activity at UK Baby Shows in Manchester, London and Birmingham,” adds Canterbury.

Ramadan Mubarak

Retailers must set up a dedicated space for Ramadan and use promotional materials to highlight the discounts and special promotions they are offering during this festive time. Merchandise categories associated with the occasion, e.g. large quantities of rice, lentils, flour together with spices, should be added to larger formats along with soft drinks. Retailers should have a separate section for halal meat and food offerings.

“It’s not just about what retailers do inside the shop – it’s also important to ensure passing trade are aware that retailers have plenty of Ramadan products to help entice shoppers through the doors,” says Bestway’s Burchell.

“Utilising window space and marketing the special offers running on dedicated products will help to attract customers in and maximise sales during this time,” he adds.

“Retailers should adapt their Ramadan offering to cater for Eid celebrations when the fast is over and people want to treat themselves,” says Haddad of Dina Foods.

“This year retailers should be prepared for a particularly busy period, with the independent sector likely to see a particular uplift in sales. Independents can operate with speed and offer greater variety than the multiples, providing a welcome platform for innovative suppliers over Ramadan and all year round,” clarifies Haddad.

“While the food categories should be merchandised based on factors like customer trends and preferences, local demographics and competition,” says Amin of Surya Foods.

“Companies should also use visual merchandising to attract customers, such as by grouping related items together, using eye-catching displays, and placing higher-margin items in more prominent locations,” shares Amin.

Another important factor to consider is leveraging store layout to create a better customer experience, such as having a dedicated fresh or frozen food area or displaying convenience items in an easy-to-navigate space.

Additionally, strategic product placement can help increase sales – by, for e.g., putting breakfast items near the checkout or placing items that customers typically buy together nearby.

Lastly, companies should use analytics to understand customer buying trends and use the data to optimise product placement and shelf arrangement to ensure maximum sales impact.

“Though consumers make a pre-decision on which brands they want to buy during Ramadan, influencer marketing will play a big role in promoting products on digital media. Collaborating with trusted influencers, update of new Ramadan offers will enable brands to create visibility,” feels Amin.

“Creating in-store theatre early on is important to drive soft drinks sales during occasions such as Ramadan, as well as making the most of POS on the fixture, retailers should signpost the category and event to entice shoppers into the category,” says Troy of Barr Soft Drinks.

Inflation effect

The growing concern over the rising inflation is forcing many customers to scan price tags more carefully. British consumer price inflation hit a 41-year high of 11.1 per cent in October and is still in double digits, but last month the Bank of England forecast it would drop below four per cent by the end of this year.

“With soaring inflation, the overall consumer behaviour will revolve around spending cautiously. However, that said, grocery will not see any decline in sales,” confirms Amin of Surya Foods.

High-quality products at affordable price will be the real winner this Ramadan.