• Tasman

Tasman | Large Format Butcher

Tasman is a large format ‘super butcher’, currently with 18 outlets in Victoria turning over $130m P/A. Essentially the Tasman Butcher model is production based, unusually (compared to supermarkets) ‘purposing some 96% of the animal body’. By February 2014, following sale of the family business to venture capital, Tasman’s sales were in compound decline YOY- trending at negative 10% LFL. The initial task was to reverse sales decline and, over time, remarket the brand and double the store portfolio, possibly opening interstate to ‘prove the model’.

Challenges and actions:

  • First steps: create the strategy to stabilise the brand
  1. Appraised the brand and committed to significant customer research to understand the good the bad and the ugly around the shopping process, the state of the estate, customer communications, heritage and history: everything to help understand the DNA and loss of appeal driving negative sales growth.
  2. Create a simple and truthful proposition. Tasman outlet ‘owners’ were essentially butchers in customer eyes (a positive) delivering good product at lower prices. Result- repositioning with the line ‘Real Butchers, Unreal Prices’.
  3. Reviewed communications collateral- hitherto an unappealing red mess akin to an abattoir…’blood-spurt artery’ could have described. Migration to presentation of food with taste appeal- still at incredibly low prices. Review message and ticket hierarchy and recreate. Secure operations commitment and roll-out.
    • Result: sales decline reverses to a +6% YOY position in 8 weeks with no negative effects on margin
  • Second phase: drive customers
  1. Insight: even at ‘full tilt’ Tasman operated at 60% capacity
    • Opportunity to drive significantly more traffic and sales volume
    • Research told us that locational awareness of Tasman was poor outside a strong small loyal customer base
  2. Action: review communications strategy and ‘lunch’ Tasman’ new campaign
    • Added broadcast to the digital and catalogue mix, relatively low weight, metro and country
  3. Result: tripled weekly sales for initial campaign period (Spring lamb, Spring 2014)
  • Third phase: improve store format and grow the estate
  1. Develop a more ‘new customer’ appealing format- easier to shop, better laid out, more navigable, appealing graphics, family and female oriented around the experience of meeting as a family for eating.
    • Successful new formats developed and launched in South Morang and Bendigo
    • Proof that a smaller format store could drive sales equal to a format twice the size
  2. Failing: operational issues- standards and supply (buying) and the massively rising price of bodies significantly eroded margin.
  • Business Tasman
  • Tags Food, Supermarket