Tell us about Tayto – where it started and where it wants to go.
Founded in 1956, we are the largest British-owned snack manufacturer and also remain proudly family-owned. In recent years, the business has successfully acquired a number of brands including the leading pork scratching brands – Mr Porky and Midland Snacks. We also own Golden Wonder, which is currently celebrating its 75th anniversary, tracing its roots back to Edinburgh in 1947. With such a stable of much-loved brands, Tayto continues to be at the forefront of the snacking world with our incredibly broad range of products, and so will continue to strive towards our ambition of having “Snacking Sorted”.
You said recently that Sharing snacks are driving the market as we continue watching Netflix or have friends round – do you think that as the summer comes on, and the pandemic recedes into memory, that is set to change?
We anticipate Sharing snacks to continue to lead the way over the coming months as people enjoy catching up with friends and family after so long. Snacks are at the heart of social events and we have already seen this with an uplift in sales over the Jubilee celebrations. Let’s hope the British summer delivers some great weather so we can enjoy BBQs and picnics with our favourite snacks!
They warn us of recession, and if so, what will be the role of PMPs and how is the margin loss divided up? Is it price – or pack size – or both, that is affected by relentlessly rising costs?
PMPs are a proven way of independent retailers demonstrating value to an increasingly cost-conscious shopper – and should remain a key part of a retailer’s snacks offering. Maintaining the status quo is impossible in the face of unprecedented inflation in raw materials but Tayto is committed to ensuring that we continue to deliver market-leading margins to our loyal retailers who have supported us over the years. Our response is being led by understanding consumers’ attitudes and will be tailored to each product – with increases in PMP for some ranges, and weight reductions for others where our research shows that the price-point is more important to consumers than the pack size.
How will HFSS affect your business and what plans do you have to deal with (and even take advantage) of it?
Taste is the main reason for purchasing snacks, and so, healthier snacks have a credibility challenge – as many consumers don’t believe that they will taste as good. Snacks have to be “worth the calories”. For snacks, reducing fat and salt to meet the HFSS guidelines often means compromising too much on taste – and consumers will vote with their feet. Golden Wonder is famous for its flavours and so, we will only launch healthier products if they still deliver our “more punch per crunch”. Through recipe innovation we have overcome this challenge and created Ringos Puffs – a non-HFSS product that doesn’t compromise on taste and that enables retailers to stock Puffs anywhere in-store, given the location restrictions will go ahead as planned this October.
The one-year delay to multi-buy restrictions enables us to continue working on reformulating our Fun Snacks range (that includes Tangy Toms and Spicy Bikers), to become HFSS-compliant and still maintain the highly successful multi-buy offer that has helped it outperform the market.
Golden Wonder is still going strong at 75, Tayto’s (b.1954) stand-out packaging is striking and affecting, and Mr Porky is everywhere – these are all traditionally-inflected products, great names and great heritage with a distinct British identity. Is that how you see your brands, and how are you going to make the most of what has been called your “retro range”?
The rich history of our brands mean that we have been part of people’s lives as they have grown up. Brits have a unique passion for their snacks – and we are proud to make some uniquely British products (such as pork scratchings) and being at the forefront of innovation (such as launching Cheese & Onion 60 years ago).
We are delighted to have very loyal consumers who regularly tell us how much they love our distinctive flavours and products. That’s why we gave them the chance to celebrate Golden Wonder’s 75th birthday by voting to bring back their favourite flavours – Chip Shop Curry and Beef & Onion. The response to this has been fantastic and we’re now seriously considering bringing them back into the range permanently, given how much love they have received (and how many packs are selling!)
Pork scratchings are uniquely British pub snack. You have the two leading brands of Mr Porky and Midland Snacks:, what is so special about them and how can independent retailers take advantage of these products?
Scratchings have been voted Britain’s favourite pub snack. Most people are surprised to hear that more scratchings are sold in shops than in pubs, so any retailer not stocking pork snacks is really missing out – especially as they deliver great margins as they are VAT-free! The unique salty crunch of a scratching goes perfectly with a beer (and many other drinks) and so siting them next to BWS is the best way to capture incremental sales when people are picking up drinks. This is why we’ve developed a range of formats for our best-selling products, including clipstrips and pubcards to make it easy for retailers to site scratchings with snacks, BWS or at tills.
Mr Porky is the No.1 Brand (with the best-selling Original Scratchings in its distinctive gold packaging) but also capable of attracting new consumers with innovative products such as Crispy Strips – a less “hardcore” snack with all the taste of a scratching but with a lighter bite.
For the ultimate in traditional scratchings, Midland Snacks is a must-stock item. With its Great Taste Award-winning recipe and pub-style packaging, it’s the perfect way for consumers to enjoy that pub taste at home.
NPD: what are your plans, what are your products? Puffs and Ringos Fire are intriguing – please tell us where the inspiration came from, who the target market is, and what you expect from them.
Ringos of Fire (Spicy Thai) is the latest flavour of our best-selling Ringos brand, which was inspired by consumers’ continued interest in spicy flavours. It complements the current core range of Cheese & Onion, Salt & Vinegar and Sour Cream & Onion. Initial sales have exceeded our expectations, as it clearly brings excitement to both the brand and the category.
Ringos Puffs was all about creating a non-HFSS product that didn’t compromise on taste. We’re not marketing it as “healthier” as consumers are more interested in taste than health – and HFSS is a trade not consumer issue. Early sales are saying that we got this right with people picking it up another great-tasting Golden Wonder snack – not because they believe it is healthy!
As with the entire Ringos range, both Ringos of Fire and Ringos Puffs have less than 100 calories per serving which makes them perfect for those looking for a little treat. And by delivering Golden Wonder’s legendary “more punch per crunch” they will not disappoint.
What is your relationship to the Convenience channel compared to others, and what are Tayto’s plans to increase sales across independent retailers?
Tayto has a long history of working with the independent sector and we have tailored our ranges to deliver market-leading trade margins alongside great consumer value. This has resulted in us significantly over-trading in the Convenience channel and hence have a dedicated team to support wholesalers and retailers maximizing their snack sales. Our unique range of brands from Golden Wonder to Mr Porky, and our focus on this channel, are why we aspire to help you get “Snacking Sorted”!
As a snacks business, what do you see as the biggest problems coming up in the next, say, five years – and the biggest opportunities?
Our industry faces big challenges as we continue to respond to its biggest shake-up – in the shape of HFSS restrictions – and manage the new challenge of inflation and how the cost-of-living crisis, which will affect consumer behaviour. As ever, businesses that respond quickly and stay close to consumers’ sentiments will succeed, which is why Tayto focuses so much on understanding the key market drivers. Despite all the change to come, we will continue to focus on what has made brands such as Golden Wonder and Mr Porky so successful – a relentless desire to create great-tasting snacks that offer excellent consumer value whilst providing our loyal independent retailers some of the best margins available.
Can you give our readers any merchandising advice to enable them to sell more Tayto Group products?
Understanding shopper missions is key when merchandising snacks. Ensure that you have a good shelf display covering the key categories highlighted above as this becomes customers’ “go-to” place in-store for snacks. Additionally, ensure that you are picking up incremental sales by also merchandising snacks with products typically bought at the same time – BWS and confectionery. For these extra locations, make use of the formats available – such as clipstrips for pork scratchings that can be hung on a BWS fixture without taking up precious floor or shelf space.
Chili and hot spiciness has taken the country by storm (cf. Ringos Fire), but what do you think the next big taste sensation might be?
Hot and spicy still has a lot of scope for growth but we will see the flavours becoming more sophisticated, with a more complex taste profile rather than just heat. Ringos of Fire is at the forefront of this shift, and we have other products under development that will continue this evolution.
As consumers face pressure on finances, we expect to see two taste trends emerge – seeking comfort in traditional British favourites and a desire to escape by trying new, more exotic tastes from far-flung countries. The focus on British favourites will create more interest in products such as pork scratchings and flavours such as Golden Wonder’s Chip Shop Curry. Meanwhile we will see “restaurant” flavours such as Peri-Peri and Gochujang start to appear in more snacks to entice those seeking a new flavour experience.
Local shops will face significant new pressures as a result of today’s Budget, the Association of Convenience Stores (ACS) has warned.
Chancellor Rachel Reeves' budget's impact will be felt unevenly across the UK’s 50,000 convenience stores, with some measures such as business rate relief and the increased employment allowance mitigating costs for smaller independent stores, while providing no help for chains and larger independent businesses.
The key measures for local shops announced by the Chancellor, and the costs for local shops associated with them, are:
National Living Wage to increase to £12.21 per hour
National Minimum Wage (18-20 rate) to increase to £10 per hour
Cost to the convenience sector next year: £7.739bn (increase of £513m)
Employers’ National Insurance Contributions to rise to 15 per cent
Threshold for Employers’ National Insurance contributions to fall to £5,000 per year
Employment Allowance to rise to £10,500 a year
Cost to the convenience sector next year: £397m (increase of £85m)
Retail and hospitality rate relief reduced from 75 per cent to 40 per cent
Small business multiplier frozen for 2025/26
Cost to the convenience sector: £267m (increase of £68m)
Total cost of main announcements (year-on-year difference): £666m
ACS Chief Executive James Lowman said: “The cold hard facts are that the measures announced in the past 24 hours have added two-thirds of a billion pounds to the direct cost base of the UK’s local shops. At a time when trade is tough and operating costs are stubbornly high, this will be challenging for our members to absorb and there will be some casualties on high streets and in villages and estates across the country.
“Not all shops will be impacted the same. The smallest retailers, with low NICs bills and lower rateable values for their shops, will benefit from the welcome increase in the employment allowance and the retention of 40% of the retail, hospitality and leisure business rates relief. Retailers with a larger store, a number of sites or those operating a chain will receive limited benefit from these mitigations, and this will impact their ability to invest and to continue to offer services in the communities they serve.
The following additional measures were announced by the Chancellor in the Budget speech today:
Flat rate levy on vaping liquids from October 2026 of £2.20 per 10ml
Fuel duty frozen and the 5p cut extended for another year
A new commitment to tackling shop theft and funding directed to tackling organised gangs
Lowman continued: “The Chancellor’s commitment to tackling shop theft will be warmly welcomed by our members, but they are interested only in action and in crime against their stores and their colleagues being tackled effectively. We stand ready to help implement a new, and better-funded strategy to stop shop theft, abuse and violence against our members.”
Parliament is to launch an inquiry into delays in compensation settlements for sub postmasters affected by the Horizon scandal.
The newly-formed Business and Trade Select Committee will call ministers, subpostmasters and their lawyers to give evidence next week with a second session to follow in mid-November. The Committee’s chair, Liam Byrne MP told ITV News that there was “definitely a delay” in people coming forward for payment.
“What we’re hearing from subpostmasters is that if there is an argument about how much should be paid out, the first offer is made quite quickly but if there’s a negotiation, that negotiation is dragging.
“We on the committee are going to batter away at this, week in, week out, until it is job done. All of us on our committee are frankly horrified and outraged by how long this has taken and we’re just not going to give up, ” he said.
Sir Alan Bates, the Post Office campaigner and chair of the Justice for Subpostmasters Alliance, is expected to be invited to give evidence. Earlier this month, Sir Alan states that his own claim had not been addressed and that he had written to prime minister Sir Keir Starmer asking for his intervention.
“Like many of the groups, my claim has not been completed. It’s ridiculous. I am one of just many in this position. This is why I wrote to the Prime Minister at the start of October, asking that he instruct the department to ensure that all claims – and I’m talking about in the GLO group, the original 555 – have been completed by March next year," he said.
This comes weeks after the Post Office's outgoing CEO agreed the government is using the company as a "shield" over compensation schemes. Nick Read, who resigned last month, was giving evidence at the Post Office Horizon IT Inquiry for the second day, with a focus on delays to victims' financial redress.
He also admitted that the compensation process has been "overly bureaucratic" and expressed "deep regret" that the Post Office had not lived up to delivering "speedy and fair redress".
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Bacup Wine and Convenience shop, 34 Burnley Road, Bacup.
A Rossendale shop has had a licence bid rejected after repeatedly selling vapes to children and having illegal products on its premises.
Management at the Ibra Superstore at 34 Burnley Road, Bacup, have shown ‘no regard’ for children’s protection and safety, and have insufficient controls for licensing, Rossendale councillors have ruled.
Ibrahim Mohammad, director of the Ibra Superstore, had recently applied to Rossendale Council for a new premises licence. But the borough’s licensing sub-committee rejected his bid after a meeting which heard allegations from the police and trading standards officers.
The Burnley Road shop has been subject to various licensing changes and concerns in recent years. In the past, it was called Bacup Wines.
Ibrahim Mohammad, the applicant, attended the Rossendale licensing sub-committe meeting with his father,Amin Mohammad. Also there was PC Mick Jones, of Lancashire Constabulary, and Jason Middleton of Lancashire Trading Standards. Councillor Bob Bauld attended as an observer.
Mr Mohammad wanted a premises license for alcohol sales and opening hours from 8am to 11pm, seven days a week. He already had a personal licence. He said the Bacup shop would install a CCTV system, keep an incident log and a refusals record, check customers’ ages, display information about staff and give them regular training.
Trading standards officer Jason Middleton said Ibra Superstore Ltd was incorporated as a company in April 2023. Since then, trading standards had received 11 complaints about under-age sales and carried out visits.
Breaches included non-compliant vapes being found which broke a 2ml limit on the quantity of nicotine-containing liquid, no age checks and no information on display.
During one visit, Amin Mohammad tried to leave with a bag containing 10 illegal vapes. In test purchases by trading standards, an ‘Elf Bar’ vape was sold to a 14-year-old by Amin Mohammad and an illegal Hayati Pro Max vape to a 13-year-old by Ibrahim Mohammad. The shop claimed a phone call distracted staff during the 13-year-old’s purchase and illegal vapes came from ‘a man in car’.
Councillors heard different speakers, looked at written reports and also some video footage from the applicant. But they rejected the premises licence bid.
Giving their reasons, they stated: “There was a repeated history and pattern of behaviour regarding under-age sales of age-restricted items, such as tobacco products and vapes to children. You must not sell vapes to anyone under the age of 18. This is a criminal offence which the council takes very seriously.
“It is clear you breached the law by failing a test purchase operation in which you sold an illegal vape to an under-age child. The sub-committee feels that you have no regard to the protection and safety of children.
“The sub-committee feels that there is insufficient management control at the premises. There is no credible system to prevent under-age sales of age-restricted products and no measures in place to avoid harm to children and to prevent crime and disorder
“Therefore, given the number of incidents, the circumstances surrounding the incidents and the fact that the matter involves safeguarding issues relating to young, vulnerable minors, we consider that the seriousness of the incidents and the crimes committed against young children undermines the licensing objectives to prevent crime and disorder, and protect children from harm.”
The shop has the right of appeal to a magistrates court within 21 days of the date of the notice.
SPAR North of England retailer Dara Singh Randhawa’s family store has been awarded £100,000 of free stock after hitting all his targets since moving to the symbol.
Dara and his family, who have their SPAR store in Patrington in the East Riding of Yorkshire, joined SPAR through its association with James Hall & Co. Ltd in August 2023 having taken the decision to maximise the store’s potential.
It is a decision they have not looked back on, with sales increasing by up to 25% and margins also showing significant uplift in the last 12 months.
Key to the store’s improved performance is the complete overhaul of products available in-store, particularly the fresh food range, to better support people who live in Patrington and the surrounding area.
A new store layout and refrigeration, better Food To Go and meal deal options, a coffee machine, and a Calippo slush machine were also installed during a major refurbishment prior to launch.
Dara said: “Our move to SPAR has been excellent. We have seen fantastic sales uplift and the support from the team at James Hall & Co. Ltd has been brilliant. The £100,000 of free stock is the cherry on the cake.
“We have been very impressed with the Price Locked promotions, in particular. These give customers confidence to do bigger shops with us as they see value on our shelves and the products at the same prices for longer.
“At times over the summer when tourists and visitors to the area add trade, we have seen sales £6,000 a week higher than our average. This is against a backdrop of the popular caravan park in the village being closed almost all year.
“We are really pleased with the position we are in, and we will be looking to achieve more in 2025.”
Peter Dodding, Sales Director at James Hall & Co. Ltd and Chairman of the SPAR Northern Guild, said: “Congratulations to Dara and the Randhawa family on hitting their targets and earning £100,000 of free stock.
“We recognise switching brand is a big decision for a retailer which is why this isn’t a gimmick, and we offer this to all retailers who join the SPAR family with James Hall & Co. Ltd.
“As well as our £100,000 incentive, we also offer retailers the chance to achieve up to an additional £5,000 of free stock if they successfully refer a friend.
“These opportunities provide additional motivation to retailers alongside the comprehensive benefits that joining the SPAR brand brings with it.”
James Hall & Co. Ltd is a fifth-generation family business which serves a network of independent SPAR retailers and company-owned SPAR stores across Northern England six days a week from its base at Bowland View in Preston.
The government has on Wednesday announced its acceptance of the Low Pay Commission’s (LPC) recommendations on the rates of the National Minimum Wage (NMW), including the National Living Wage (NLW).
The rates which will apply from 1 April 2025 are as follows:
NMW Rate
Increase (£)
Percentage increase
National Living Wage (21 and over)
£12.21
£0.77
6.7
18-20 Year Old Rate
£10.00
£1.40
16.3
16-17 Year Old Rate
£7.55
£1.15
18.0
Apprentice Rate
£7.55
£1.15
18.0
Accommodation Offset
£10.66
£0.67
6.7
The recommended NLW rate is expected to equal two-thirds of median earnings and to have the highest real value in the history of the UK’s minimum wage. The increase in the 18-20 Year Old Rate narrows the gap between that and the NLW, in anticipation of the adult rate being extended to 18 year olds in future years.
“The government have been clear about their ambitions for the National Minimum Wage and its importance in supporting workers’ living standards. At the same time, employers have had to deal with the adult rate rising over 20 per cent in two years, and the challenges that has created alongside other pressures to their cost base,” Baroness Philippa Stroud, chair of the LPC, said.
“It is our job to balance these considerations, ensuring the NLW provides a fair wage for the lowest-paid workers while taking account of economic factors. These rates secure a real-terms pay increase for the lowest-paid workers. Young workers will see substantial increases in their pay floor, making up some of the ground lost against the adult rate over time.”
Stroud admitted that the data show some signs of employers finding it harder to adapt to minimum wage increases.
“The tightening of the labour market since the pandemic has unwound, but the overall picture is similar to 2019. The economy is expected to grow over the next year, although productivity growth remains subdued,” she noted.
Business secretary Jonathan Reynolds said:
Good work and fair wages are in the interest of British business as much as British workers. This government is changing people’s lives for the better because we know that investing in the workforce leads to better productivity, better resilience and ultimately a stronger economy primed for growth.
The recommended increase in the 16-17 Year Old Rate restores that rate to its original value relative to the adult minimum wage. In line with previous recommendations, the Apprentice Rate will remain equal to the 16-17 Year Old Rate.