Food retailers are already enjoying a pick-up in sales ahead of Easter and in the next two weeks anticipate further demand as consumers not only stock up on Easter eggs and hot cross buns, but also on other holiday fare.
Mike Prentice, the group marketing executive at Spar, said yesterday that Easter was great for general sales of meat, rolls and drinks. Sales usually picked up at the weekend prior to the Easter weekend and carried through into the week after, helped by the fact that Easter eggs and hot cross buns were affordable treats.
But despite expectations of good demand for its hot cross buns, in particular, which in the past three years had shown increased sales, Spar, like other retailers, had to be cautious about stock levels as Easter fare was perishable and demand dried up after the event. Prentice said stock levels were in line with last year.
He added that Easter sales differed from store to store, with outlets in coastal areas benefiting from holidaymakers. Stores in rural areas tended to outperform stores in towns as Easter was an opportunity for a lot of people to go home. “It’s a massive occasion in rural areas”, which boosted sales of general treats rather than hot cross buns and chocolate eggs.
Brian Weyers, a director at Shoprite, said the Shoprite and Checkers chains were excited about the rise in sales of Easter merchandise achieved so far.
Stock levels were managed efficiently to ensure there was none or very little stock left over after Easter. Hot cross buns were baked in-store according to production plans that were adjusted daily, while Easter eggs were transferred between stores to maximise sales.
The group’s wide range of Easter eggs proved popular with customers in both chains. “Marshmallow eggs always prove to be a favourite. This year the group also boasts an amazing selection of imported Easter eggs that are drawing a lot of attention,” Weyers said.
Hot cross buns sales rose 18.3 percent for the four-week period leading up to Easter.
Weyers said consumers seemed to be making the most of the last days of summer, as could be seen in a rise in the popularity of braai, picnic, camping and outdoor products.
Easter promotions on camping products only started this week and a further increase in sales on these items was most likely. Also in high demand were treats for braais and picnics, such as confectionery, snack foods and meat.
Pick n Pay spokeswoman Tamra Veley said the Easter trading period was always an important one for the group. Traditionally popular food items over this period included a variety of Easter eggs – from the very affordable to the very exclusive imported items – and hot cross buns, carbonated soft drinks and snack foods such as chips, nuts, biscuits and biltong.
People did most of their shopping in the three days prior to the long weekend with a rush on the Thursday preceding Good Friday. “We manage our stock levels very well based on experience and anticipated demand,” Veley said.
Spar declined 0.4 percent, Shoprite fell 1.8 percent and Pick n Pay Stores added 0.5 percent on the JSE yesterday. - Business Report
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