Quintus, essentially

Convenience store Budgens has long made a point of forging long-term relationships with its suppliers, and its horticultural sector is no exception.

For the last six years Budgens has worked with the Quintus Partnership which was established in 1997 by five specialist growers who realised that a more controlled and cost-effective supply route into UK multiple retailers would give them the ability to offer stability and assurances to customers of consistent supply. Budgens recently named the Quintus Partnership as its Horticulture Supplier of the Year.

“The set-up Quintus has is one where they are in full support of the UK grower and they also give us the flexibility we need,” explains Budgens’ horticulture buyer Gemma Stevens. “That is very much what Budgens stands for and we want people behind us like that. We are able to have as much or as little contact with the growers as we need.”

Operating under a co-operative constitution, the decision to form Quintus was prompted by the retail sector’s rationalisation of its supplier base resulting in the need for one organisation to be able to supply a range of products while maintaining contact with the grower.

D&R Simmons and RJC Nurseries are founder members of the organisation. “We used to do a lot with garden centres and wholesale markets but there was, and is, a need for us to increase our supermarket trade,” says Peter Ruysen, proprietor at D&R Simmons. “There is too much competition in garden centres now because of the Dutch, and the wholesale market is not doing the trade it used to a few years ago - a lot of the smaller concerns have simply packed up.”

It is a highly competitive industry, Ruysen continues. “Many growers deal directly with garden centres but market share is being eaten into. Our future is undoubtedly with the retailers.”

Among other lines, D&R Simmons deals with Christmas trees that it has supplied to Budgens for three years. “Budgens stores are of a certain size,” says Ruysen, “so for Christmas trees that can be quite limiting. At present only a small percentage of our business is with Budgens but we are hoping to expand on that.”

The Quintus partnership has evolved in the last six years, and now has five members which are directors of Quintus. Each of the member businesses specialises in specific crops, and in some cases, mono crops. “Supermarkets are not generally interested in growers that can supply only one product,” says Stephen Pollington, business development director for the group. “We have specialist growers who produce certain items and although we do have two growers who produce the same items, one is very specialist while the other has a broader, more dynamic range.

This gives us a tremendous flexibility because there are certain strengths that each grower can bring and there is also the opportunity for further growth. That is an important consideration because we cannot grow on a speculative basis any more. We need to know we are getting paid.”

We have a flexible working structure, Pollington continues, which is necessary to meet the varied demands of different customers. “The way in which we present our produce does change depending on who we are working with,” he says. “Each site is autonomous in packing so we do not incur the cost of bringing everything to a central area. Spalding is a good place to be in terms of distribution. Because of its central location you can be anywhere in the UK within 24 hours.”

The Quintus partnership is fast becoming a recognised name within the industry for value and service and has a product range in excess of 150 lines. This year it will be setting up a group buying system for raw materials. This will include purchasing moulds for pots and trays giving the ability to drive out costs further still by manufacturing and bulk buying.

The success of the partnership is attributed to the enthusiasm, flexibility and professionalism of members that, although operating as individual business, work very closely together to achieve the group’s objectives. It is this level of co-operation that has ensured the success in opening and developing a range of national accounts including home & leisure stores, supermarket chains, DIY sheds and convenience stores.

Change and development is on-going in Budgens’ horticulture department. “We have an idea of where we want to be and there is always room for improvement,” says Stevens. “When a customer walks into a Budgens store I like them to see co-ordinated display. I want Budgens to be leading the way in a co-ordinated offer straight from the growers.”

Budgens has now changed its cut-flower offer into a four-week range. “Budgens is always quick to change and we will always strive to get the best promotions, deals and best quality at the lowest possible price. We are very hot on product development and work closely with our suppliers in order to get that right.”

In developing the cut-flower offer, Stevens wants a classic and simple range that incorporates a fresh twist. “A lot of Budgens customers are elderly but there are also a lot of young mums,” she says. “I am very conscious that we do not alienate anyone. Classic and simple products appeal to everyone but if we can give it a fresh twist then we are offering something new. We have a very diverse range of customers and we need to reflect that.”

The relationship Budgens has with the Quintus Partnership is based on teamwork and an enthusiasm for product development. “Quintus has a strong product knowledge,” says Stevens, “and that is very useful for me. “We have done very well on outdoor plants this season. We have worked very well together and our products have been excellent quality. In addition we have given our stores an incentive in order to get people enthused - it is the stores that sell it so you need their support.”

“I think we can make horticulture much more exciting,” says Pollington, “and there is also huge potential for growth - but it is vital, from a retail point of view, that the stores are involved. The worst thing you can do is to give a store a box and tell them to get on with it - you need to give them backing, overall. People have to know you can sell the products. They get nervous if they over-order because they know it will cost them money if the don’t sell it.”

In order to promote information sharing in the produce department, Budgens holds product-talk days that will be introduced into the horticulture sector this year. “We have fresh aisle teams that go round to suppliers to gain as much information on the product as they can,” says Stevens. “It is really a great thing to see.”

Although promotions are an integral part of Budgens flower offer, it always strives to offer value for money and will now offer a new summer bouquet, Summer Bloom, to retail at £3.99. “The mix will change depending on what is available,” says Stevens, “but it will always have a fresh feel, and will always be purple, white and yellow. The bigger retailers are doing that now and it is a very good feeling to know they are following what we have done.”

Ultimately Budgens is all about the local community, says Stevens. “Eighty per cent of sales are flowers and 20 per cent are plants and that has not changed for a number of years. Mother’s Day is the biggest occasion followed by Christmas and Valentine’s Day while Easter sells more plants than flowers.”

As a convenience store Budgens does not have the luxury of space and so displays must always have immediate impact on the consumer. “We need to ensure we always have a good display,” says Stevens, “and we need to take steps to reduce the handling of the product. Budgens equates to freshness - that is what we promote. Flowers and plants tend to be impulse buys and so displays need to make a strong visual impact and also smell good. We also need to offer various price points in the range. We know that women over the age of 50 buy a lot of flowers but we need to get further into customer’s minds. Information is also key and so we keep our staff informed of product information so they can pass that knowledge onto consumers.”

In many ways the relationship between Budgens and the Quintus Partnership continues to evolve. “There is a lot of face-to-face contact and good communication. The relationship between grower and buyer could well be a frustrating one if it isn’t done correctly. You have to be able to understand a growers strengths and weaknesses,” says Pollington.

“My way of buying is to have direct contact and to work together as a team,” says Stevens. “We need to understand what the growers can and can’t do and together we have formed a strong link. This is what Budgens is like across the category - it supports and promotes long-term relationships.”