Girish Jeeva (R), of Premier Barmulloch, Glasgow, and his fiancée Tharsika, with the Asian Trader Vape Convenience Retailer of the Year award Supported by BAT at the Asian Trader Awards 2022 held at the Park Plaza Westminster Bridge Hotel in London (Photo: Edward Lloyd/Alpha Press)
Vape has changed a lot for the convenience channel in a positive way, and Girish Jeeva, who runs the Premier Barmulloch store in Glasgow, is a trailblazing young retailer who has immersed himself in the world of vape.
After an extensive refurbishment, his store now showcases its vape offering in a beautifully merchandised three-metre display. His vape fixture was especially commended for its hygienic presentation and its flawless merchandising, winning him the Vape Convenience Retailer of the Year 2022 honour at the 34th Asian Trader Awards.
Girish is still just 29 years old, but he says that “the young bring strength, passion and drive”. He caught the retail bug at the age of 18, starting at his uncle’s forecourt. And, after working for around five years with his uncle, the entrepreneurial instinct surfaced, the urge to “start something on my own”.
He would not take the plunge immediately; instead, he went and worked for other businesses, car companies and all, to expand his knowledge. “And then at 25, I felt like it's time for me to start my own business. So I bought my first store, which is a small shop in London Road in Glasgow,” he says.
Premier Barmulloch, Glasgow
It was a run-down site, and had been closed for two years before he took over. “After taking a toll for the first year, we turned it around, and I was doing good sales, and I built my business from there.”
After three years, he expanded, buying the Barmulloch store in November 2021, which was, again, a run-down site! However, Girish sensed a lot of potential there. “At that point, I decided that I want to do a full refit, and bring in new lines, things that the shop never had before,” he explains. They managed to double the weekly sales after the refit, and one year on, the sales have further increased, settling at £55,000 to £60,000 a week.
His dad, Mohan, takes care of his first shop, as full focus is now at the Barmulloch store. “We still got potential awards to win this year,” he laughs. And, he is ably supported by his fiancée, Tharsika. “She has been part of it since the start,” he says” “She handles all the paperwork and accounts and stuff like that.”
Award sales boost
As he went on with the refit, vape was, and still is, a hot category, and he ensured the store would realise the full potential of it.
“We decided to give a three metre floor display where customers could come and have a close up, you know, feel the range,” he explains. “We have obviously been keeping the top brands, such as Elf Bars, the new Crystal Bars and Lost Marys and so on. We try to give the customer the full flavor, and always try and keep the stock level high.”
The result is that they get customers coming from really far. His promotions also help in this regard. But, he thinks winning the Vape Convenience Retailer of the Year award really clinched it for the shop.
“Before we took over the store, I think the old owner was only doing about £200 to £300 a week on the vape sales. After we changed the display, in the beginning, we were only doing about £3,000 to £4,000 sales per week. At this present time, we are now hitting – especially after winning the award – about £8,000 a week on just the vape. So, that's been a really solid increase for us,” he says.
“I personally think the award has made a difference, because obviously a lot of people recognise us for winning the award, and from last November (when the Asian Trader Awards were announced nationally) to now, our sales increased by over £4,000.”
That is a 100 per cent increase, and all the more reason to enter the Awards!
In addition to the Awards boost, Girish also benefits greatly from Asian Trader and Vape Business magazines, along with the others, to stay up to date in the ever-evolving category.
“And what we tend to do is, we always try and stock up the range that we feel like will bring customers in. So, with that massive display, we try and provide everything for all sorts of customers. And by keeping on top of it, and always talking about the trends, that helps us continue increasing the sales,” he notes.
His merchandising in-store is backed up by a comprehensive social media presence. “We have got a really active social media page where we always update prices, make customers aware of any changes and what could possibly come in and always updating product availability and so on. We do a lot of promotions and stuff like that on social media,” he adds.
‘Don’t ban display’
Vaping has attracted a lot of negative publicity of late, particularly disposables. In Scotland, the government has launched a review on single-use vapes, with a ban under consideration. The Local Government Association has called for cigarette like display restrictions and plain packaging for vapes, and health charity ASH is campaigning for a tax on disposables. Girish is understandably worried.
“To be honest, if they bring in the rules banning it or even closing the curtains on them, just like how they're doing with cigarettes, I feel like it will have a big impact, because especially, as I mentioned, what brings and what drives the sales for us, is the display that we have on the shop floor,” he explains.
“Having to sacrifice that, and closing vape like cigarettes, will obviously decrease the sales for us. It will be very difficult to handle.”
Girish says he completely disagrees with the proposals to ban disposable vapes, and even suspects it as a means to shore up the tax revenues from cigarettes.
“Don't get me wrong, there are some negative factors in terms of kids coming into vapes, because they think it's cool to just vape even though they are not smokers, I get that. But I think government is just using that reason, so they can make the money again on cigarettes,” he asserts.
Community-orientated
Girish stresses that they are community-oriented business, which he thinks is the main reason people continue to come to the store even after the pandemic, when the local stores across the country witnessed increased custom.
“We do a lot of activities with communities, and we give back a lot. Just last year, in December, we donated £400 to our local disabled children in need, who can't have a normal Christmas like everybody else,” he says.
“We want to support the community. We do events, prizes and stuff like that, and donations like this. We are part of six or seven different charity groups, which you do regular donations, and support them. So, a lot of customers see what we do. It actually drives more of them to come and support us back. We are supporting the locals, so they are supporting the local business. So obviously, that does help us a lot.”
This is especially relevant amid the cost-of-living crisis, which has been present for some time now, putting great financial stress on both consumers and businesses.
“[The crisis] has had quite a bit of impact on us,” he reveals. “Customers who find it difficult to buy the everyday essentials, because the cost is really high, they are struggling.”
And, Girish is responding by taking a margin cut. “What we have done to help them and support them is we have tried to keep the margins as low as possible,” he explains.
“Before the pandemic or before the crisis, 28 to 30 per cent margin is what we were achieving. But now I have cut that down to 25 per cent. So we have taken a hit on our margins just to support the customers. Hopefully, if it ever gets resolved, then they will see what we have done for them, and they will continue to shop with us. So yeah, try to do things like that,” he adds.
It’s a big question mark, resolving the cost-of-living crisis, but the newfound appreciation for local businesses, strengthened by the experience of the pandemic, is sure to hold him in good stead. But the immediate concern is the rising overhead costs.
“Business cost is very difficult,” he says “Electricity is the main thing, and then the staff wages are increasing. It's another impact because all the prices are going up, margins are going down, where do we find the extra money to keep up with them.”
“But then again, if we can't keep up to minimum wages, then we lose a lot of staff. Staffing is already an issue right now, let alone when the minimum wage goes up. We enjoy doing everything in the business, but things like these, in terms of business expenses and stuff is really, really unmanageable at the moment,” he admits.
Future-proofing
Girish has a thriving home-delivery offer, making use of the Snappy Shopper platform, and he says it all comes down to what sort of experience you give to customers.
“We keep the prices up to date on Snappy Shopper. We always call a customer if there is an availability issue. We always offer substitutes. My staff are trained to make sure that they give a call to every single customer to make sure that they know that they are not going to receive something or if they would like to be paid for something else. We are always doing different sort of offers to engage customers to order more from us. So the delivery side of things has helped us a lot,” he explains.
“But again, it all comes down to how well you maintain the customer service. Because any store could offer the service, but it's up to us to make sure that customers are coming back and reordering from us.”
Social media is a key part of growing the business to the next stage. “Because once you maximise the area you are in, you are going to get more customers coming in,” he notes.
He says retailers need to treat social media just the way they treat their store. “If you're in the store, how much it is important for you to have your shelves full, your fridges full, social media is just as important. If you put the time into thinking, this is part of what you should be doing, that will drive the sales a lot more,” he says.
And, finally, he emphasises that partial measures are no help if you are looking to take your store to the next level.
“The one recommendation I'll give anyone is, if you are planning to do a refit, you have to go all out, you have to do the full launch, you can't say I'm going to do just the vape category or the refresh category, you need to do a full refit for you to see a return in your investment and for a change in your sales,” he says.
“If someone feels like they don't want to go all out, I’d recommend them not to do the refit at all, because if you decide you are only going to invest £50,000 where you are supposed to invest like £100,000, you are going to see no change at all. So you either spend £100,000 or not spend anything at all.”
It’s a bold approach, but one that has served Girish well.
Leading wholesale buying and marketing group Sugro UK has collaborated with Britvic Soft Drinks, a global organisation with 39 much-loved brands sold in over 100 countries, to launch a groundbreaking Fast Food Sample Box.
The sample box is specifically designed for ICS UK LTD customers, giving them a unique opportunity to sample and experience new Fast Food soft drinks offerings firsthand.
The new Fast Food Sample Box offers ICS customers an exclusive opportunity to explore a curated selection of Britvic's best-selling and new product offerings that drives incremental sales. This trial initiative is designed to provide Fast Food retailers with a hands-on experience of market-leading products, helping them identify key opportunities for growth in the Fast-Food soft drinks categories.
Sugro UK's Fast Food Sample Box represents a pioneering approach to boosting customer engagement, providing tailored solutions that meet the evolving demands of today’s consumers. This initiative is the first of its kind in the sector, giving ICS customers exclusive access to products that are proven to drive sales and offering them a competitive edge in their local markets.
Alice Graham, GB Head of Dining Route to Market Wholesale, "We are delighted to collaborate with both Sugro and ICS with this initiative. The fast-food market has seen double digit growth over the last few years and the growth is set to continue. This initiative with ICS, a leader in fast food wholesale, underscores our commitment to supporting the growth of Britvic brands and advancing our partnerships with fast food establishments.”
Sid Musa, Manager at ICS (UK) added, “At ICS UK LTD, we are thrilled to partner with Sugro UK and Britvic on this industry-first initiative. The Fast-Food Sample Box gives our fast-food customers a unique opportunity to experience top-tier products firsthand, empowering them to make informed decisions that can truly elevate their offerings. We’re confident this exclusive initiative will help our customers stay competitive and drive growth in an ever-evolving market.”
Yulia Petitt, Head of Commercial and Marketing at Sugro UK commented: “We are incredibly excited about the partnership with Britvic delivered with excellence by our member – ICS Ltd. Fast Food sector is a big part of the group commercial strategy, so we see it as a huge opportunity for the group.”
Sugro UK is proudly owned by its 90 plus independent wholesale members, with a combined turnover of over £2.5 billion. The group was recently voted number one across all buying groups in the recent Advantage Group Survey.
British plant-based ready meal maker Allplants has filed a notice of intention to appoint administrators, citing ongoing financial losses, stated recent reports.
Allplants, known as the UK’s largest vegan ready meal brand, has faced mounting losses over recent years. Filing the notice provides the company with a critical window to explore options to avoid liquidation, such as restructuring, refinancing, or negotiating a sale.
According to the founder and CEO Jonathan Petrides, Allplants is working closely with insolvency specialists Interpath Advisory to assess “all possible options for restructuring, refinancing, and ensuring the sustainability of Allplants".
The reports added that while the prospect of a buyer offers some hope, failure to finalise a deal would likely lead to the company’s remaining stock being sold off to pay creditors. The development underscores the challenges faced by plant-based food companies as they navigate a competitive and increasingly crowded market.
Allplants started off as a direct-to-consumer brand in 2016, made its retail debut in November 2022, listing its meals at Planet Organic and several independent stores, as well as online grocer Ocado. It witnessed instant success, selling six million meals within the first three months and becoming the second-most purchased frozen meal brand on the latter platform.
Allplants has raised £67m across several financing rounds from investors including Molten Ventures, Felix Capital, Octopus Ventures, The Craftery, and professional footballers Chris Smalling and Kieran Gibbs.
Allplants’s move to appoint administrators is indicative of the distressed vegan ready meal category in the UK. It was among the categories that have witnessed a drop-off in sales recently, falling by 20 per cent between 2022 and 2023, according to Circana data commissioned by the Good Food Institute, which attributed it to cost-of-living pressures that led shoppers to cut back on non-essential and convenience items.
The country’s largest meat-free company, Quorn, posted pre-tax losses of £63m in 2023, a fourfold increase from the £15m it lost the year before. Meatless Farm and VBites also came close to the brink, before being rescued by VFC (now the Vegan Food Group) and owner Heather Mills, respectively.
Entrepreneur and businessperson Stanley Morrice, an influential figure in the retail and wholesale sectors, received an Honorary Doctorate from the University of Stirling at Stirling’s winter graduation held today (22).
Stanley, from Fraserburgh, is being recognised for his services to Scottish food, drink and agriculture. He entered the sector as a school leaver. In 1993, he joined Aberdeen-based convenience stores Aberness Foods, which traded as Mace. He rose to become Sales Director, boosting income by 50 per cent and tripling profits, and went on to be Managing Director, successfully leading the business through a strategic sale to supermarket group Somerfield.
Throughout a stellar business career, Stanley has set up, led, managed and sold more than 100 companies, from retail, wholesale and property to coaching and mentoring firms, in the UK and internationally.
An MBA graduate in retailing and wholesaling from the University of Stirling and Chair of the University of Stirling Management School’s International Advisory Board, Stanley was recognised with an MBE in 2022 for his work to support sustainable food and drink production in north-east Scotland.
Collecting his degree along with more than 300 other graduates at Friday morning’s ceremony, Stanley said, “I am deeply honoured to receive this recognition from the University of Stirling, where I completed my MBA in 1998. The University has played a pivotal role in shaping my career, and it has been a privilege to serve as Chair of the International Advisory Board at Stirling Management School since early 2020.
“This honorary degree reflects the University's commitment to cultivating industry partnerships and its dedication to preparing students for success in the business world. I was grateful for the opportunity to contribute to Stirling's mission of fostering innovation and developing future leaders.”
Professor Sir Gerry McCormac, Principal and Vice-Chancellor of the University of Stirling, said: “We are delighted to be awarding an Honorary Doctorate to Stanley Morrice, who has been an influential and exemplary figure in business and entrepreneurship, and in his advisory role at the University of Stirling. We know Stanley’s accomplishments, impact and leadership will be an inspiration to those graduating alongside him this week.”
In total, more than 1,000 students will graduate from the University of Stirling this week. Three ceremonies are being held across two days (21 – 22 November) as students celebrate their academic achievements alongside their families, friends and University staff.
British consumers have turned less pessimistic following the government's first budget and the US presidential election and they are showing more appetite for spending in the run-up to Christmas, according to a new survey.
The GfK Consumer Confidence Index, the longest-running measure of British consumer sentiment, rose to -18 in November, its highest since August and up from -21 in October which was its lowest since March.
Economists polled by Reuters had expected a deterioration in the confidence indicator to -22. Neil Bellamy, GfK's consumer insights director, said consumers seemed to have moved past their nervousness in the run-up to the 30 October budget and the 4 November US elections.
Finance minister Rachel Reeves announced a big increase in taxes on 30 October but the burden fell mostly on businesses rather than individuals.
Bellamy said it was too soon to say a corner had been turned. "As recent data shows, inflation has yet to be tamed, people are still feeling acute cost-of-living pressures, and it will take time for the UK's new government to deliver on its promise of 'change'," he said.
All five of the five components of the GfK's survey rose this month, led by a gauge of shoppers' willingness to make expensive purchases which rose five point to -16.
The survey was conducted between 30 October and 15 November and was based on the responses of 2,001 people.
GfK’s survey reported modest improvements in consumer measures of their personal finances and the general economic situation over the next 12 months. The figures clash with a separate survey of 1,500 households which showed growing pessimism over job security, according to S&P Intelligence.
“Consumer confidence continues to be variable but ability to spend depends on household circumstance,” Linda Ellett, UK head of consumer and retail at KPMG, said. “Inflation and interest rates having not yet sufficiently fallen and a toughening labour market are all weighing on the minds of many people.”
The government announced a £20 billion rise in employer national insurance contributions at the budget, as part of its promise not to hit “working people” with extra levies. Labour has also cut back on winter fuel payments for all pensioners, and said it will boost pay for public sector workers this year.
British retail sales fell by much more than expected in October, according to official data that added to other signs of a loss of momentum in the economy in the run-up to the first budget of prime minister Keir Starmer's new government.
The Office for National Statistics (ONS) said sales volumes have fallen by 0.7 per cent in October. A Reuters poll of economists had forecast a monthly fall of 0.3 per cent in sales volumes from September.
The drop was the sharpest since June when sales fell by 1.0 per cent from May. A monthly rise in sales in September was also revised down to 0.1 per cent from a previous estimate of a 0.3 per cent gain.
The ONS said retailers across the board reported that consumers held back on spending ahead of the new government's first tax and spending budget on 30 October.
It also said a possible contributor to the weakness in sales were the school half-term holidays for England and Wales which typically fall within the October data reporting period but did not this year.
Sales of clothing were particularly weak in October, something reflected in previously released figures for the month from the British Retail Consortium, representing the industry, which linked the fall to weather that was warmer than usual.
The ONS said during the 12 months to October, sales volumes rose by 2.4 per cent, slowing from September's 3.2 per cent rise and weaker than the median forecast in the Reuters poll for a 3.4 per cent increase.
Slow start to Golden Quarter
Jacqui Baker, head of retail at RSM UK and chair of ICAEW’s Retail Group, described the figures as a “concerning start to the Golden Quarter” - the busiest period for retailers.
“With half-term falling later this year and relatively mild weather, consumers have put off buying their winter coats and boots. This has made it difficult for retailers to shift stock,” she said. Many shoppers appear to be holding out for Black Friday deals, which Baker predicts will lift sales throughout November.
Baker noted that despite a challenging October, there is hope for a recovery in the months ahead.
“The Budget didn’t deal a huge blow to consumers in the form of tax rises, plus interest rates continue to come down, and the American election is now out of the way, which should help with confidence and create a clear runway for Christmas spending,” she said.
Thomas Pugh, an economist at RSM UK, echoed these concerns, pointing to the timing of the school half-term as a significant factor in October's sales slump. However, he expressed optimism about the longer-term outlook, predicting that retail sales would grow through 2025 as “higher consumer incomes and rising consumer confidence … feed through into higher spending volumes.”
He added: “While headline inflation jumped from 1.7 per cent in September to 2.2 per cent in October, retail prices fell at an accelerated rate. Indeed, retail inflation dropped from -1.3 per cent to -1.6 per cent, meaning lower prices will help a rise in spending feed through into bigger increases in sales volumes.”
Silvia Rindone, EY UK&I Retail Lead, highlighted consumer caution as another key factor behind the October decline.
“The decline in sales volumes can be attributed to a decrease in consumer confidence, influenced by several factors including uncertainty surrounding the Autumn Statement, rising energy bills, and the impending costs of Christmas,” she commented.
EY’s latest Holiday Shopping survey revealed that nearly half of consumers began their festive shopping before November, aiming to spread out holiday expenses.
Rindone warned that retailers face a challenging period ahead, with upcoming labour cost increases, including changes to National Insurance and a minimum wage hike set for April 2025.
“The next few months are critical… Retailers will need to ensure they drive margin this Golden Quarter so that investments can be made in their proposition,” she said.
“As our survey found, shoppers are willing to spend if the price is right and the proposition is strong. Continuing to operate as efficiently as possible while steadily improving the experience for customers will be key. Much like the last few years, the market is getting tougher, and only those able to continually evolve will thrive.”