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Clear Communication Bears Fruit!

By Ali Patel, Consultant

Sainsburys

A headline in one of our trade food titles, Food Manufacture, got me thinking this week. It also showed the power clear communication can have on a business’ bottom line.

In a style reminiscent of a tabloid headline grabber, the newsletter link screamed ‘Retailers should ‘exploit food’ more’! It offered some very interesting food for thought (excuse the pun!)

Clear and consistent communication increases sales

Ed Garner, director with Kantar Worldpanel, highlighted that Waitrose and Marks & Spencer had grown their market share in tough market conditions, because they had consistently reminded consumers of what they did best with regards to food and drink: “They [Waitrose and M&S] are very clear about what they have to offer and they have both grown their market share as a result.”

  • M&S food sales were up by 3.2% on last year
  • Waitrose sales were up by 4.6%
  • Tesco, Sainsbury, Asda and Morrisons all reported diminishing sales and profits in same time period

The comment, part of feedback by Garner to the Provision Trade Federation AGM (7th July), encouraged the big four to utilise their points of difference against the discounters. So, if they listen to Garner, here is what we might see being communicated by their press offices in the coming months:

  • Tesco – its huge size means it can buy more for less
  • Asda – known as the UK’s best value retailer before the discounters arrived
  • Sainsbury – strong fairtrade and organic offers
  • Morrisons – should exploit manufacturing

(Source: Analysts)

There are many things at play in the food and drink arena, but this nugget from Food Manufacture highlights yet again the power of clear, consistent communications to drive sales.