Supreme PLC has on Wednesday announced a series of measures within the group's owned-brand vaping products to mitigate the growing rise of underage vaping as well as reduce the environmental impact of disposable vapes.
The company said it will immediately assess packaging across its entire 88vape range, from disposables to 10ml liquids, to ensure the use of colour is very limited (used only to differentiate one stock item from another) and the packaging is plain and uniform.
While its does not use images, cartoons or characters on its packaging, the Company's 88vape disposable range will be switched to either plain black, white or grey hardware with any bright colours discontinued at the earliest opportunity.
The naming conventions of all flavours across the 88vape range will be simplified, for example ‘Peach Dream’ will be become ‘Peach’ and ‘Sweet Strawberry’ will become ‘Strawberry’ to reduce the shelf appeal for underage vapers. Any flavours which are likely to be more appealing to underage vapers will be removed entirely from the range, the company added.
Supreme will also increase its 'pre-order' due diligence on all retailers, both physical and online, in its network to ensure they expressly confirm that they have robust age verification protocols in place. The company said it will no longer trade with those that cannot comply with this requirement.
Supreme will strongly recommend to all retailers that their vaping products should not be located close to confectionery and will work with retailers to find a suitable location in store to avoid underage vapers from coming into contact with vaping products.
Supreme is currently rolling out vape disposal units across the entire estate of its largest customer, B&M Retail, in a bid to encourage more responsible disposal of the single use devices.
The company added that it will continue to cooperate with the government in all its efforts to combat underage vaping and would welcome further legislation of the industry, such as those proposed by the UK Vaping Industry Association who argue that the sale of vaping products should be licenced with substantial fines for those retailers that are found to be selling vapes to underage individuals.
The announcement follows a government consultation on vaping, launched last week, that set out a range of options to reduce vape product availability to young people, including restrictions on the sale of disposable vapes, ‘child-friendly’ vape flavours and packaging and the display in retail outlets.
“As a business, we are fully committed to eradicating underage vaping so that the industry can get back to its core objective: to support adult smokers to find an affordable, sustainable, safer alternative to smoking,” Sandy Chadha, chief executive of Supreme, commented.
“Whilst we believe flavoured vapes are a critical part of many ex-smokers 'quitting journey' as they seek to replace that tobacco taste for something more palatable, we are also desperate to ensure that those flavours do not spark any interest in younger people.”
Chadha said the company is ‘fully supportive’ of any further legislation in the sector, adding that “it is the right thing to do to begin to transition our business by removing or changing anything from within our product set that could be deemed compromising.”
He also urged a crackdown on 'black market' which he highlighted as a core source of vapes for young people.
“These illicit vaping products which are non-compliant with UK regulations and have larger tank sizes (meaning they last longer), higher nicotine concentrations and can contain banned products. Unless we stand up to this black market (by stricter border-force and increased investment into trading standards) then even the strictest laws governing the legal vape market won't make a notable change to whether young people choose to vape,” he said.
Thousands of British farmers today (19) are set to march to Parliament Square to protest against the end of an inheritance tax exemption that has helped family farms pass down the generations, saying the move will threaten food production.
First unveiled in chancellor Rachel Reeves’s Budget, the plans to impose inheritance tax on farms worth more than £1m have sparked fury among rural communities, who have contested the government’s assertion that small family farms will not be impacted by the changes.
Opposition to the so-called "tractor tax" is one part of a wider backlash against Reeves's financial plans. Farmers say the change will threaten the viability of family farms, which often have tight profit margins, and that their children will have to sell land to cover the tax bill, raising the risk that food production will suffer.
The National Farmers’ Union (NFU) has organised an event in which 1,800 of its members will meet with local MPs at Westminster to voice their anger on Tuesday, as thousands are also separately expected to stage a demonstration in Whitehall. Protest organisers say that while this event will be peaceful and include children driving toy tractors, rallies could escalate in the future if the government refuses to budge.
In an interview with BBC News, Tom Bradshaw, president of the NFU, said that farmers felt particularly aggrieved because last year, when Steve Reed was shadow environment secretary, he said Labour was not planning to change agricultural property relief (the inheritance tax exemption). He said farmers only started hearing rumours that the government was going to go back on this about a week before the budget.
He said he did not accept the government’s claims that most farms will not be affected by the change. Instead, he said, “75 per cent of the commercial farms in the United Kingdom will be within the scope of this policy change.”
Bradshaw also said farmers were willing to work with the government to produce a better version of the policy. He explained: "This policy is ill thought through. There’s still a 20 per cent benefit for the uber-wealthy to invest in agricultural land, and with the changes they’ve made to pensions, they’ve now incentivised people to rip money out of pensions and invest in up to £1m of agricultural land.
"That is not going to deliver for food security. It’s absolutely nonsensical. It’s not joined up. There’s no thought about the impact on food production or the families that produce this country’s food.
"Let’s sit down [with the government]. Give us the question. Tell us what the exam question is. We will work with you. If you want to stop people using land as a tax dodge, let’s work out the policy that does that. But this policy is not the answer."
The government argues that tax exemptions have led to wealthy non-farmers seizing agricultural land and pricing out genuine young farmers, and point to Budget funding of £5bn to help farmers produce food.
Retailers are invited to board Bestway’s Profit Express’ train as Bestway Wholesale launches its major Christmas campaign to its B2B customers across its nationwide depots, allowing retailers to access to its leading festive deals to drive shopper footfall against the backdrop of the theatre. The campaign will be live until Thursday 2 January 2025 giving customers the elevated, engaging and high impact theatre they have become famous for over the last three years.
In collaboration with key suppliers, the ‘Profit Express’ festive campaign delivers all the magic of theatre and festive fun, ensuring exceptional visibility and engagement for its expected 80,000 retailers shopping the Christmas campaign.
With a proven track record of delivering high-impact seasonal campaigns and aiming to build on last year’s success when the business achieved an average 158% volume uplift on SKUs during the Christmas campaign, Bestway is doubling down on the promotions to help ease the pressure on customers over this peak trading period – giving more back and strengthening its support for independent retailers with relevant offers for the festive period.
Inspired by the animated Christmas adventure film, Polar Express, retailers can enjoy a ride on the Bestway Profit Express steam engine, an unmissable and exciting journey to the North Pole. Along the way there will be several stops brimming with amazing festive deals where retailers can jump off to take advantage of the promotions and enjoy the festive cheer.
Each of the Profit Express carriages will be a real focus of the campaign, specially conceived to inspire customer excitement and interaction and display the promotional offers in depots nationwide. Large digital screens within depots will shine a light on special products, retailer promotions and supplier content.
Online, Bestway has taken the Profit Express train to the virtual digital realm giving its site a festive glow up of all the things it loves about Christmas. Its website www.bestwaywholesale.co.uk will be reflecting the festive spirit through a disruptive animated homepage and dedicated landing page with its 2024 seasons greetings of fabulous deals and promotions.With a train ride in the snow, Bestway will take its customers on a journey of key branded offers.
As a huge part of the trading calendar, Bestway aims to share the Christmas trading spirit with creatively themed marketing digital communications with a series of emails, WhatsApps and competitions to be won, ensuring its retailers are the first to hear about the promotions via targeted messages.
Kenton Burchell, Trading Director for Bestway Wholesale and Retail, says:
“We are really excited by this year’s Christmas campaign and confident we’re offering the very best deals in the market. We’ve saved some top deals of the year for the biggest shopping season to help our customers to increase sales and optimise their margin and profit at this time.
“Retailers can enjoy large-scale fun which is interactive and engaging directly with them in our depots and online on our website and apps. This year’s campaign is based on the story (now a much-loved film) about a young boy who embarks on a magical adventure to the North Pole on the Polar Express, while learning about the spirit of Christmas.
“It’s the perfect forum for suppliers to showcase their Christmas products, enhance brand visibility and drive additional sales during this key trading period.
Burchell concludes:
“We hope the campaign will encourage our retailers to make Bestway their number one choice of where to shop for their festive products this Christmas. By doing so, they will be rewarded – our whole aim is to help them make more possible for their business and their customers this Christmas”.
Imperial Brands has reported a robust performance for the fiscal year ending September 30, 2024, helped by strong cigarette prices and rise in its Next Generation Products (NGP) segment.
The group delivered a 4.6 per cent increase in tobacco and NGP net revenue on a constant currency basis, which reached £8.15 billion. This was driven by strong pricing in the tobacco segment, which offset a 4 per cent decline in volume, and a remarkable 26.4 per cent rise in NGP revenue.
Group adjusted operating profit also grew by 4.6 per cent at constant currency to £3.9bn, reflecting operational resilience and strategic execution.
“As we enter the final year of our current strategy, the investment we have made in consumer capabilities, cultural transformation and agile ways of working has supported another year of accelerated financial delivery and growing capital returns,” Stefan Bomhard, chief executive, said.
In tobacco, the group has delivered aggregate market share gains across its five priority markets, with four out of five markets in share growth. In the UK, the company faced a 50 basis point decline in market share, which it attributed to high excise duties and a rise in illicit tobacco trade.
However, the company said, despite these challenges, the UK remains “an important value contributor.” Tobacco and NGP net revenue in the UK accounted for 7 per cent of the group's total, supported by strategic price increases. The NGP sales benefited from the successful roll-out of new products including the 1,000-puff blu bar disposable and the rechargeable blu bar kit, the company added.
NGP has emerged as a growth driver, with Imperial for the first time reporting increased revenue in all three regions.
In the Europe region, the company saw strong growth in vape, led by the UK and supported by new products including the 1,000-puff blu bar disposable and the rechargeable blu bar kit. The NGP net revenue in Europe now represents around 8 per cent of tobacco and NGP net revenue.
CEO Stefan Bomhard expressed confidence in delivering the final year of the group's current strategy, highlighting the transformation into a strong challenger in the tobacco and NGP sectors.
“Our operational delivery coupled with consistently strong cash flow generation has supported enhanced shareholder returns with increases to both our ordinary dividend and share buyback. We are on track to deliver five-year capital returns of c. £10bn, representing 67 per cent of our market capitalisation in January 2021 when we launched our strategy,” he said.
In the coming year, the company expects to deliver low single-digit tobacco and NGP net revenue growth and to grow the group adjusted operating profit close to the middle of our mid-single digit range, driven by continued profit growth from the combustible tobacco business and a further reduction in operating losses in the NGP portfolio.
Britain's biggest retailers have written to finance minister Rachel Reeves to warn her that last month's budget will make both higher prices and job losses a certainty and dent investment.
The letter, coordinated by the British Retail Consortium trade body and signed by 79 retail bosses, including those at Tesco, Marks & Spencer, Sainsbury's, Next, Asda, Morrisons, Kingfisher, Amazon UK and Boots, called for a meeting with Reeves to discuss their concerns and work on a solution.
The Labour government's October 30 budget statement raised employers' National Insurance contributions by 1.2 percentage points to 15 per cent from April next year, and also lowered the threshold for when firms start paying to £5,000 from £9,100 per year. It also raised the minimum wage for most adults by 6.7 per cent from April.
The letter said the UK retail industry, which has three million direct jobs and 2.7 million more in its supply chain, was facing a rise of £7 billion in annual costs from 2025 when higher business rates and the impact of new packaging levies are also taken into account.
"It will not be possible to absorb such significant cost increases over such a short time scale. The effect will be to increase inflation, slow pay growth, cause shop closures, and reduce jobs, especially at the entry level," it said.
The retailers want the government to phase the introduction of the new lower earnings threshold for National Insurance, delay the introduction of packaging levies, and revisit and bring forward proposed changes to business rates.
On Saturday, prime minister Keir Starmer said he would defend decisions taken in the budget "all day long".
FMCG wholesaler and international distributor Pricecheck has reported 16 per cent growth in turnover to £151.7 million and a rise in operating profit margins from 1.42 per cent to 2.77 per cent in the year ended April 2024.
According to industry reports, the Sheffield-based wholesaler and international distributor is attributing the margin increase to strong revenue growth combined with cost control measures and reduced bad debt.
Mark Lythe, joint managing director at Pricecheck, commented: “We have continued to grow at a fast pace in the new financial year, with the team expected to achieve revenue growth of at least 20 per cent for year ending April 2025. Operating margins are also improving as we start to realise the benefits of our investment in infrastructure, people and technology.
“The business has shown great resilience during the challenges of the last five years. Revenue growth during this period has averaged 14 per cent per annum and we have firmly established ourselves as a trusted distribution partner for a growing portfolio of FMCG brands.
“We couldn’t achieve this growth without continued focus and determination from our team, and gaining independent accreditation from Great Place to Work in August 2024 further cemented our dedication to building a culture which enables, supports and celebrates our people.
“Overall, we’re very confident about the future prospects for Pricecheck and we’re looking forward to a busy and exciting year ahead.”
Pricecheck offers a range of over 8,000 branded products to customers in the UK and to more than 100 countries globally. It was established in 1978 and is a second-generation, family-owned business, now run by Mark Lythe and Debbie Harrison. The business operates from office and warehouse facilities in South Yorkshire, with about 350 staff. It currently exports to more than 100 countries.
Harrison wrote on social media, "As our revenue continues to grow at an average of 14 per cent per annum, we're excited for the journey that lies ahead for Pricecheck and our team."
This comes a few days after Pricecheck got listed in the J.P. Morgan Private Bank’s Top 200 Women-Powered Businesses Report. This report highlights over 14,550 women-powered, high-growth British businesses, all founded or led by women, and ranks the top 200 companies based on growth in sales and headcount.
Harrison wrote, "It's no secret that we're incredibly proud of Pricecheck's successes and growth over recent years, but we also know that we're in a unique position of having a 30 per cent female leadership team, something unique in our sector. This recognition is for all the talented women who shape Pricecheck every day. As a team, we’re committed to supporting gender balance, celebrating achievements, and fostering opportunities for women to thrive."