Wrigley Explains How QSRs Can Chew Their Way To More Profits
QSR owners might be racking their brains on how to increase store revenues and profits, but Wrigley Australia believes there is a sweet solution: Sell gums and mints.
Gum and mint products have a conversion rate of between 3 to 5% depending on the location of the outlet and type of offer, says Kristina Sokolova, Account Executive for New Channels at Wrigley Australia, based on a 2014 Foodservice Global Playbook trials conducted by the company. Gums and mints, for example, tend to sell more in coffee outlets than in a noodle bar.
But the allure of adding gum and mints in QSR stores is that it can be done in a far less disruptive fashion than other product categories.
“Imagine if 5% of your customers spent an extra $1, with almost no extra effort required. This represents a great opportunity for both franchisees and franchisors to drive incremental sales, with very low risk of cannibalizing the core offering,” says Sokolova.
It also helps that Wrigley Australia provides bespoke merchandising solution for gum and mints, custom made to fit in with the QSR brand and store’s interior.
“Simply get the product in the right place, and it sells. Low risk, great return,” says Sokolova.
Stores benefit from profit advantages coming from Wrigley gum and mints products having a long shelf life of 12 months from production, and no conversion costs associated with cooking or storing the product.
Wrigley Australia also helps local brands leverage on global trends through the help of a team with experience in markets spanning the UK, USA and Russia. Incremental profit is at the top of the minds of Wrigley Australia staff, says Sokolova, and the goal is to give store customers the “confidence to connect with others after a quick meal or drink occasion” after purchasing gum and mints.
She says Wrigley works closely with each new QSR partner towards a great solution to seamlessly integrate gum and mints without taking anything away from the core products and branding.
“Wrigley is all about working together, in partnership, with QSR chains. We understand that the QSR brand is paramount and will actively work with key stakeholders to ensure any merchandising solution provided is bespoke, and in-keeping with existing branding,” says Sokolova.
“Wrigley is not concerned about displaying our branding in QSR outlets whatsoever. This is simply about having the most impulsive food items, in the most impulsive locations and encouraging that incremental gold coin being spent at the point of purchase,” she added.
“In your outlet, your brand is the important one, not ours. We will never knowingly do anything which contradicts that.”
