>>co-op hails impact of premium italian lines and pesto...musgrave budgens londis says the sector flourishes in convenience...

Helen Eaton
The Co-operative Group, Category Marketing Manager Grocery Edibles
The Italian sector is where most of the growth is coming from within sauces, with premium lines driving the growth. Within The Co-op, Loyd Grossman and Sacla’ are outperforming the market. Sales of pesto are in healthy growth, which explains why more of the premium brands have launched new products in this sector, trying to compete against Sacla’ and own label.
Dolmio has enjoyed another year of strong sales at The Co-op. Despite the majority of our stores being neighbourhood/ convenience stores, research has shown that Co-op consumers are demanding larger jar sizes for families, which is why we are about to list Dolmio 750g jars.
Musgrave Budgens Londis Trading Manager
Our stores have witnessed growth in the overall market over the past year, especially in Londis where we’re doing very well but where I’m confident there are opportunities to do even better. Pasta and sauces are very important to the core c-store customer.
We would hope value will grow to exceed volume, but it’s very difficult and probably very unlikely in such a highly competitive market, which is driven by price and promotional activity.
Convenience, taste and quality are all hugely important as the market is increasingly driven by premiumisation and authenticity. The De Cecco range has excellent pasta and does very well for us.
Alan Clark