Controlling HFSS promotions near checkouts and gondola ends
Checkouts and gondola ends are the focus of the controlled locations. These include till points or self-checkout areas and the two-metre surrounding floor space as well as the queuing space which leads to the checkout area. In addition ends of aisles or separate units next to the ends of shelf rows such as island bin displays along with store entrances will be restricted from running promotions on HFSS products.
Small stores and specialist retailers are exempt from the location HFSS controls
Not all stores will be affected however. The ban will apply to stores over 2,000 square feet, retailers with more than 50 employees or symbol group franchisees where there are more than 50 employees operating under that business name. Both small businesses with less than 50 employees, and specialist retailers that only sell one category of product (eg chocolatier) with small stores (less than 2,000 square feet) are exempt from the ban on location promotions. These HFSS regulations will require drastic changes within store and many retailers are concerned about the loss of earnings from prominent promotional locations.
HFSS promotional bans will result in lost retail earnings
While the location controls are focused on larger retailers, all stores will be affected by the regulation on promotional offers. The banned promotions include ‘buy one get one free’, multi-buy, ‘extra-free’ and free refills of sugar-sweetened drinks popular for convenience customers. Although not all promotions are banned, temporary price cuts and meal deals will still be permitted.
The HFSS band covers a wide scope of products which retailers must ensure can be relocated when replanning stores to meet the HFSS requirements. In addition to soft drinks with added sugar that are covered by the soft drinks industry levy.
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