Storebites is the Leo Burnett Arc newsletter of top in store innovations from around the region.

2. Contents
Executive Summary
Shopper behavior in the news
Industry news
Best in store
HFS – High Frequency Stores
Mall of the Emirates
Hypermarkets
Lulu Hypermarket
Geant
Panda
Carrefour
City Center
Union Coop
Gas Stations
Eppco & Enoc
Emarat
Meed
Pharmacies
Boots

3. Executive Summary
Welcome to the second issue of Storebites, closing out 2009. As you will see throughout the
report, brands from every category have been investing much more in retail, and competition is
fierce. Some may think that this practice is a reflection of budget cuts or pressure to close the
deal, but it seems this trend is here to stay.
We’re seeing more campaigns being rolled out at multiple touch points in the same store, and
better and smarter communication tailored to shopper needs.
The practice has become so popular that brands, such as Twix, are already looking to break
from the clutter within the store to get shoppers’ attention on their way, as they enter it.
Both retailers and brands are seeing the benefit in giving shoppers an experience, more
information or a small incentive to prompt a purchase. Carrefour broke from its per square meter
ROI model and set up a videogame hang out area for teenage boys 2 weeks before Christmas,
and as some our own people will tell you, it was impossible to get a seat!
Overall, we’re glad to say the level of the work we’ve seen has truly improved and we invite all
those involved to step up their shopper-based thinking accordingly.

4. Shopper behavior in the news
Dubai Shopping Festival brings 3.35m visitors to Dubai
While visitor spending was down 2 percent from 2008 figures due to the slump in consumer confidence,
the global economic downturn had minimal impact.
Sheikh Ahmad Bin Saeed Al Maktoum, Chairman of Dubai Airports, Chairman and Chief Executive of
Emirates Airline and Group, and Chairman of the Dubai Shopping Festival Supreme Committee said, "It
just goes to prove the unshakable popularity of DSF, and that Dubai will always be an attractive shopping
and tourism destination for tourists.
"We can attribute these impressive results to the solid collaboration between the public and private sectors
in Dubai towards ensuring the success of the event, a key factor that has always been pivotal in the
success story of DSF along the years," he said.
"The results of DSF 2009 are a testimony that DSF can motivate the retail and tourism sectors in Dubai
against all odds."
Gulf News, 4/01/10

5. Shopper behavior in the news
Arabian Business’ look at consumption
The Arabian Business Retail Trends Data, published in association with Datamonitor as part of its Recession and
Recovery research, shows how consumers in the UAE and Saudi Arabia have changed their shopping habits amid
the global credit crunch.
The statistics, which start in May and update on a monthly basis, show shoppers’ changing behavior related to the
following questions:
1. How many limit the amount of shopping trips
2. How many buy cheaper brands
The monthly sample size is approximately 320 respondents.
Arabian Business.com

6. Industry news
Citruss TV has seen sales increase 35 percent this year
The retail industry has suffered in the Middle East, but Citruss TV, which is available in 15 countries across the
Middle East, had an “unexpected” increase in its expectations.
Twenty percent of retailers have seen a 20-30 percent decrease since the economic crisis, as per a survey published
last month. Seventy percent of Citruss TV’s sales came from the channel’s main viewers, who were mostly Saudi
based Arabic speaking women.
Arabian Business, 13/10/09
Saudi Savola finally completes Geant purchase deal
Savola had increased their initial offer by 10.6 percent to the equivalent of 486.6 million riyals in cash.
The acquisition will enable Savola's retail business to raise its share of the Saudi retail market to 8 percent from 7
percent and would increase its turnover by 13 percent. Savola said they hope that within five years al-Azizia Panda
would take a 10 percent share of the 96 billion riyals generated in annual sales by the Saudi retail market.
Arabian Business, 13/10/09
Health and beauty retailers show flexibility
Specialist health and beauty chains seem not to have been as badly affected by the recession as other industries.
The Body Shop and Sephora have both implemented certain strategies in order to overcome the current economic
difficulties. The Body Shop has restructured itself, and Sephora has decided to grow in the male grooming sector.
Retail Planet, 25/08/09

7. Industry news
Top 20 Africa and the Middle East
Since the autumn of 2008, retailers in the Africa and Middle East region (AME) have been progressing swiftly and
have shown signs of growth despite the downturn. Stores such as Waitrose, Panda, EMKE and Carrefour are
expanding within the AME region and Carrefour has moved up from sixth to fourth place in the top retailers chart of
2008.
Retail planet, 01/09/09
Damas loss-making subsidiary to be liquidated
loss-
Damas International announced that it had appointed a liquidator for their loss making Italian-based subsidiary and a
voluntary winding up petition would be filed with courts in Milan.
A statement said the subsidiary accounted for less than two percent of the total revenues of Damas International
Limited in the year 2008-2009.
Arabian Business, 13/10/09
UAE electronics market expected to grow by $1bn by 2013
Demand for electronic products in the UAE have held up this year with the market expected to be worth $3.9bn by
2013, it is now estimated to be valued at approximately $2.9bn in 2008.
The Dubai Chamber of Commerce & Industry, said increased demand would be driven by popularity of 3G mobile
handsets, smart-phones, notebooks and big screen LCDs.
The report added that “…manufacturers have contributed in keeping prices in Dubai about 15-20 percent lower than
other markets in the region“.
It also says that buyers prefer the international brands due to the “prestige and security”.
Arabian Business, 18/10/29

8. Industry news
Saudi new car sales seen rising 50% by 2013
According to Business Motor International, there is a good chance the auto sector will improve.
While the UAE, Kuwait and Bahrain are expected to show declines in 2009, growth in the Saudi
economy, along with liquidity injections and less dependence on sales to expats, should see its
car sales market grow by more than 2 percent this year, the report added.
Overall it is expected that by end-2013, sales should be up by nearly 50 percent compared with
2008 levels.
Arabian Business, 18/10/09
Playstation Store opens in Saudi Arabia
Al Faisaliah Group Holding, Saudi Arabia's sole distributor of Sony products, has announced the opening of the
first PlayStation Store in the Middle East in the Saudi capital, Riyadh. With over 75% market share in the gaming
sector across the Kingdom, the new store will offer the entire range of PlayStation network content for PSP and
PlayStation 3, along with gaming accessories and solutions.
AMEinfo, 12/11/09
Italian jewellery a great hit among Saudis
The Kingdom of Saudi Arabia has shown a preference for the beautiful designs of gold Italian jewellery, compared with
their cheaper competitors, despite the fall out of the world economic slowdown. Saudi Arabians prefer the intricate
design of Italian jewellery and its constant upkeep with gold fashion.
Arabian Business, 14/11/09

9. Industry news
Tom Ford to expand personal luxury brand in Middle East
With a store already launched in Dubai, Tom Ford, former Gucci fashion designer, plans to expand his own “Tom
Ford” flagship store in Qatar and Bahrain, and he already has his eyes on Riyadh.
Ford, who already stocks a range of “dishdashas” (a traditional form of male Arab dress) in the GCC region, said
his brand has managed to withstand the economic downturn better than other luxury retailers as his customers
are more “insulated”.
Arabian Business, 10/11/09
Cairo Festival City creates new opportunities for the retail industry
Expected to open in early 2012, Festival Centre will offer more than 160,000 sq m, gross leasable area, of retail
space contributing to the fast paced growth of the Egyptian retail market and its economy.
Cairo Festival City's General Manager Mohamed ElMikawi, said:
"… our retail experience is expected to create over 5 000 new jobs, and we hope to contribute to the development of
Egypt's economy."
Cairo Festival City will be hosting local Egyptian brands as well as their own Al Futtaim brands, which will be the first
to open in Egypt as well as other new international brands which are new to the Egyptian market.
AME Info, 17/10/09
Carrefour Turkey plans expansion
Carrefour Turkey, a joint venture between the French retailer and Sabanci holding is targeting the creation of 7,000
jobs within three years and creating 1,352 jobs in the first half. The partnership plans to open 60 more stores by the
end of the year after opening 29 in the first half. At the end of 2008, the partnership operated 760 outlets, including
613 Dia discount stores, 125 Carrefour Express and 22 Carrefour hypermarkets.
Retail Planet, 24/07/09

10. Industry news
Global retail theft increases
According to a recently published study from the British Centre for Retail Research, the level of shrinkage in the
global retail industry reached USD114.8 billion in 2009, representing a significant increase of 5.9% over last
year’s total of USD104.5 billion.
Theft protection technology vendor Checkpoint Systems, found that the rise in shrink was greatest in North
America (+8.1%) and Middle East/Africa (+7.5%). In Europe, the rise of theft was also significant (+4.7%).
Retail Planet, 30/11/09
SAINSBURY’S to buy 50 more electric vans
UK retailer Sainsbury’s is updating the online grocery delivery service by buying 50 more
electric vans, making it own the world’s biggest fleet of electric vehicles. The retailer, which
already has 20 electric vans, said the new vehicles would be deployed in Central London,
meaning that 60% of its home shopping customers in the city centre would be served by eco-
friendly vans. Each van is restricted to 40mph and has a range of 60 miles per day.
Retail Planet 4/12/2009

11. Industry news
Walmart Sustainability Index
Walmart has announced lofty plans to create a single source of data
for evaluating the sustainability of products. Ultimately, the index will
provide transparency into the sustainable qualities of all of its products.
This is a great way to eradicate greenwashing.
The index will be implemented in three phases, according to the company release.
First, survey questions will be sent to its suppliers, focusing on energy, material efficiency, natural resources and
more.
Second, a consortium of universities will help lead a global database on the lifecycle of products. Walmart provided
initial funding for the consortium. The University of Arkansas and Arizona State will provide scientific research, while
professors at Duke, Harvard and others are expected to plan the index.
Third, translate the product information into a simple rating system that shoppers can see and understand in stores.
An article in The Wall Street Journal said an environmental labeling system, similar to a nutritional label, will be
added to products. It could take five years or longer to implement the system.
this week in Shopper Marketing, 27/07/09

12. Industry news
Coca-
100 new flavours in new Coca-Cola soda machine
Developed on the assumption that there's no such thing as too much choice, Coca-Cola Freestyle is a new self-serve
soda fountain that can dispense up to 100 different drink flavours. The machine is being tested this summer at
fastfood restaurants in California and Atlanta, with the intention of rolling out units across the US early next year.
Flavoured teas, waters, juices and soft drinks will all be available from Coca-Cola Freestyle, letting customers select
drinks based on brand, calorie content or caffeine levels, all through the system's touchscreen interface.
Combinations will be pre-set, meaning Raspberry Coke and Peach Fanta are available on tap, but frat dares
combining tea and Sprite won't be possible. Many of the flavours on offer are new to the US market.
www.springwise.com, 28/07/09

13. in-
Best in-store this quarter
Head & Shoulders beat out some serious competition from Lulu Shine like
a Star and some top contenders in Saudi. This initiative had the edge
because not only were the main stops along the shopper journey covered,
but each was well thought out. .
The communication tackled main issues shoppers may face as a barrier to
purchase. The POSM was placed to truly highlight the products and the
shopper was never left hanging.

14. HFS
High Frequency Stores
(UAE)

15. All HFS visited
had significantly
well organized
merchandising.
This helped
navigation and
made products
easy to locate and
retrieve.
Significant increase
in use of shelf strips,
Chips display placed directly drawing attention
next to counter, making it towards the products
easy and convenient to pick displayed.
up (impulse purchase).

16. Dunhill has
significantly improved
their product
placement/visibility.
Attractive shelf strips
help in drawing
attention towards the
products.

17. (UAE)

18. LOOK AT ALL THE
ANGLES:
Even on the reverse,
the stand hosted Oral
B and Crest branding,
which was visible to
shoppers coming up
the escalator.
LOCATION... LOCATION!
P&G setup shop conveniently
located between the Cinema and
the food court, guaranteeing
maximum footfall and enticing
customers with a free sample in
this simple, yet attractive stand.

19. (UAE)

20. With the support of P&G, Lulu threw a
beauty event named ‘Shine like a Star’
that was communicated from the parking
lot all the way to the promotional aisle.
Shoppers were given the opportunity to
have their picture taken in the store by a
professional photographer, which was in
turn juxtaposed onto the cover of a
magazine, alongside renowned celebrity
Katrina Kaif.

21. (UAE)

22. Knorr had a bilingual palette wrapper on its
display communicating 20% off along with the
free recipe booklet. However, Knorr’s display is
shared with Lipton, which can get a bit
confusing.
Tang’s Ramadan
special edition
packaging on both
flavors orange &
mango was very
attention grabbing,
colorful and
incorporated
Ramadan elements.

23. This display stood out in terms of its look and feel,
since we directly associate it with a Ramadan tent.
It had a stack of different date brands.
Away from all the clutter, Pringles stood out with its
gondola-end Ramadan branding, especially with its
flashy red color that can be spotted from miles
away.

24. Royal’s shelf talkers stood out due to the appetizing desserts. The back
translation of the communication message is “Royal is with us and
brings us together during Ramadan”.
Kiri’s value packs stood out in the cheese
fridges because it was the only Ramadan
value pack. Even though the value packs
were placed at a low eye level, the red color
manages to grab attention because of the
contrast.
Tefal’s display was very simple, but had an overall warm, Ramadan
look and feel. All the cooking tools needed were packaged in value
packs, at an irresistible cost!

25. (KSA)

26. Twix branded the escalator side panels and the points of
entry at Panda. Very eye catching and appealing and
more importantly it ensured that everyone coming into
Panda had enough time to take in the communication.
Fairy’s most
recent campaign
Doux chicken ran a joint
communicated the
promotion with Panda
power of Fairy to
where shoppers got the
clean your plates
chance to win 3 Chevrolet
using cold water.
4x4s with the purchase of
certain products.
To illustrate the
point, POSM had
a water container
with fake ice in it.

27. Head & Shoulders launched a campaign throughout the shopper journey leveraging
recommendation of professionals. Each touchpoint had different and relevant communication;
merchandising was impeccable and each and every shopping barrier that could be faced when
picking brands was tackled (premium pricing, doubts on functional benefits …).

28. (UAE)

29. Vaseline
In a push to sell more personal care
Olay Gillette and beauty products and leverage
their expertise, Carrefour made sure
to always have prominent brands
with eye catching stands within the
beauty section. Each was manned
with a promoter and allowed for good
visibility and off-take.
L’Oreal
Nivea
Pantene

30. Oral B and Crest
Promoter within the aisle
to give shoppers that
‘Expert’ advice.
Barbie re-created a
Barbieland zone in the
weeks before Christmas
with a designated play
area for children.
Carrefour hosted an
entire video game
platform with game
simulators, themed
stands and bean bags to
try out consoles.

31. (Kuwait)

32. Comfort got an open location and
made sure to make their products as
accessible as possible to shoppers
passing by.
Nestle used fresh and vibrant
colors to promote its health lines,
but the cluttered environment did
not create a very inviting stand.

33. (Kuwait)

34. Always a challenge, Schick managed to get
men’s attention by using racing red to
promote its new razor.
The national celebration
“Gergian” (Gulf version of
Halloween) was especially
promoted with a corner on its
own offering bite sized
chocolates and sweets.
Lindt and Jewels chocolates got right into the
Christmas spirit with holiday themed stands.

35. Sensodyne played up its
clinical approach with a
clean and organized display.
Herbal Essences took up the center of
the store, using hanging to grab
shoppers’ attention. The stands were a
bit underwhelming however considering
the excitement built.

36. (UAE)

37. Duracell took an innovative approach, by being
available at virtually every aisle end, as opposed to
getting one display area.
DCL instant yeast gave away free cookbooks on
their units. They were not region relevant and did
not mention Ramadan at all.

38. Al Marai prompted more Ramadan
sales by creating an easy-to-carry
family pack.

39. and
(UAE)

40. BAT got great visibility by branding the
entire KENT cash area black and got a
good location to showcase its Dunhill
packs.

41. The focus this quarter at ENOC
EPPCO was junk food! The stations
were packed with stands filled to the
brim with candy and chocolates
capitalizing on the need to stop for a
snack.

42. The latest addition to the coffee counter
was cinnamon rolls from Cinnabon.

43. (UAE)

44. Running a promotion between Etisalat
recharge cards and their café “Bakeria” ,
Emarat encouraged people to come
back to the station and eat by giving
them 100 AED gift voucher.
Tent cards communicating this promotion
were placed in the station and on high
tables.

45. Masafi had promo packs
displayed at the entrance
of the store, making this
deal hard to miss!
Featured at the front door in the promotions
section, Red Bull communicated their new large
size cans.

46. (KSA)

47. Since the weather in Saudi Arabia is relatively
hot all year round, Almarai is using plastic
transparent sheets to cover their fridges and
preserve as much cold air as possible to keep
their products chilled.

48. (UAE)

49. Expert Promotion Boots uses a wrap
Promotion:
stating “whatever your health question,
ask your Boots Pharmacist”. Directly
above the poster is the Pharmacist
recommended product, Strepsils,
Benefiber, etc. This instills consumer
confidence in the product and ultimately
drives sales up.
Bundle Deal: Positioned conveniently
between two aisles. The gift bundle
contains a combination of multiple
items which are available individually
on the aisles, but with a twist. Overall
reduced rate and a complimentary
basket.

50. For any enquiries,
please contact any member of the team.