Sainsbury's rolls out Blue Parrot Cafes

Sainsbury's is building on the success of its Blue Parrot Cafe children's food brand with the trial of an in-store restaurant under the same name.

The UK's second-largest supermarket chain has launched Blue Parrot Cafes at two stores in Essex, allowing customers to purchase and consume products from the range. It is believed to be the first time a supermarket chain has extended one of its private-label brands into a new retail environment.

Blue Parrot Cafe, which now comprises more than 100 products, is worth around £36m in annual sales to Sainsbury's, and is one of the chain's most successful own brands.

It is positioned as a complete range of meal solutions that provide a balanced diet for children.

The in-store cafes form part of an initiative called The Discovery Club, which Sainsbury's has launched to target families.

The clubs allow parents to leave their children in a dedicated area of Sainsbury's stores. Here they are taught how to use the internet and are given tasks aimed at improving their literacy and numeracy.

The Blue Parrot Cafe trial comes as Sainsbury's attempts to offer consumers a variety of retail experiences in its supermarkets.

Sainsbury's already has partnerships with the AA, Blockbuster and Lever Faberge, and is talking to Royal Mail about opening in-store concessions.

Analysis, p15.

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