0:00:02 > 0:00:04Meet Malcolm Walker,
0:00:04 > 0:00:07chief executive of Iceland supermarkets.
0:00:08 > 0:00:12- How would you describe yourself as a businessman?- Cowboy.
0:00:12 > 0:00:14Malcolm, smile, please!
0:00:14 > 0:00:16Right, what's going on, then?
0:00:16 > 0:00:19It's a place where the boss takes his staff on luxury holidays.
0:00:19 > 0:00:21ALL CHEER
0:00:21 > 0:00:26I always believe that having fun is a big part of why we are so successful.
0:00:26 > 0:00:29- MC:- It's the Iceland Incentive!
0:00:29 > 0:00:30It's a Hummer.
0:00:30 > 0:00:33So just imagine that parked outside your store.
0:00:33 > 0:00:37It's been voted the happiest company to work for in a national poll.
0:00:37 > 0:00:38Good morning!
0:00:38 > 0:00:41I've never worked in a place like Iceland.
0:00:41 > 0:00:44I hope to never work in a place that is not like Iceland.
0:00:44 > 0:00:45Malcolm started his company
0:00:45 > 0:00:48from a handful of freezers in Shropshire.
0:00:49 > 0:00:53Now, 25,000 staff provide low-cost frozen food
0:00:53 > 0:00:56to more than four million families every week.
0:00:56 > 0:00:58I'm in love with all our customers,
0:00:58 > 0:01:00because they give me everything I've got.
0:01:00 > 0:01:03They pay for my car, my house, my holidays...
0:01:03 > 0:01:06Last year, the banks put the company up for sale.
0:01:06 > 0:01:09Our colleagues didn't feel any fear,
0:01:09 > 0:01:12because it's almost Malcolm's baby.
0:01:12 > 0:01:15Malcolm and his top team gambled a billion pounds
0:01:15 > 0:01:17to buy the company back.
0:01:17 > 0:01:20But competition is fierce.
0:01:20 > 0:01:23The big supermarkets are stealing Malcolm's customers.
0:01:23 > 0:01:26We believed that nobody could copy our secret weapon,
0:01:26 > 0:01:28and then suddenly they all did.
0:01:28 > 0:01:31There's a price war on the high street
0:01:31 > 0:01:34and a food scandal on the horizon.
0:01:34 > 0:01:37Has Malcolm bitten off more than he can chew?
0:01:37 > 0:01:38Look, this is war.
0:01:38 > 0:01:40If you think about it,
0:01:40 > 0:01:42people's livelihoods are at stake here.
0:01:47 > 0:01:51- That's fine. - OK?- Yeah.
0:01:57 > 0:02:00Malcolm Walker, CEO of Iceland Foods,
0:02:00 > 0:02:03is a self-made multimillionaire.
0:02:03 > 0:02:05Is it an accident that you become an entrepreneur?
0:02:05 > 0:02:07I don't know.
0:02:07 > 0:02:09I think it's in your personality.
0:02:09 > 0:02:11If I'd done well at school...
0:02:11 > 0:02:14because I like to tell everybody I've got only the woodwork.
0:02:14 > 0:02:17Actually, I've got four O-levels.
0:02:17 > 0:02:21But if I'd done really well at school, I would've got a proper job,
0:02:21 > 0:02:24wouldn't I, and I'd have been an accountant or a lawyer.
0:02:24 > 0:02:27But because I went the other way,
0:02:27 > 0:02:30maybe I would either have been
0:02:30 > 0:02:32a delinquent or an entrepreneur.
0:02:32 > 0:02:34That's in your DNA.
0:02:34 > 0:02:35You can't help it.
0:02:35 > 0:02:37As my mother used to say,
0:02:37 > 0:02:39my problem was big, better, best.
0:02:39 > 0:02:40Never let it rest
0:02:40 > 0:02:43till your big is bigger and your better, best.
0:02:50 > 0:02:53Malcolm made his fortune
0:02:53 > 0:02:56selling frozen food at low prices.
0:02:56 > 0:02:59His company sells 100 million ready meals every year,
0:02:59 > 0:03:02most at £2 or less.
0:03:02 > 0:03:05Their hits include the doner kebab pizza
0:03:05 > 0:03:08and frozen chicken fillets.
0:03:08 > 0:03:12But this year, there's trouble. Sales are flat.
0:03:12 > 0:03:16Rival supermarkets are muscling in on their territory.
0:03:18 > 0:03:22Tesco, 30% of the market or more,
0:03:22 > 0:03:25and we're two. So we are tiny.
0:03:25 > 0:03:27We have to fight the big boys.
0:03:27 > 0:03:30It's David and Goliath.
0:03:30 > 0:03:32It's probably a good thing
0:03:32 > 0:03:35to portray yourself to the staff in that role.
0:03:35 > 0:03:38With the music, let's bring ourselves up again. Heads last. Go.
0:03:40 > 0:03:41Ticket sales moving again,
0:03:41 > 0:03:45Malcolm's relying on his secret weapon...
0:03:45 > 0:03:48- You know you make me want to... - ALL:- Shout!
0:03:48 > 0:03:50..his staff.
0:03:50 > 0:03:51And go.
0:03:51 > 0:03:55# And it's Iceland service
0:03:55 > 0:03:57# All around every store...
0:03:57 > 0:03:58Here we go!
0:03:58 > 0:04:02# That will light up the high street... #
0:04:04 > 0:04:06Every year, Malcolm spends millions
0:04:06 > 0:04:09on an extravaganza for his managers.
0:04:09 > 0:04:13I just cannot tell you how strongly I feel
0:04:13 > 0:04:16about this motivational aspect of running the business.
0:04:18 > 0:04:20- MC:- It's the Iceland Incentive!
0:04:22 > 0:04:25Malcolm's motivational conferences
0:04:25 > 0:04:28are a long-standing tradition.
0:04:28 > 0:04:29Ladies and gentlemen,
0:04:29 > 0:04:33Mr Jason Donovan and our Iceland Mums.
0:04:36 > 0:04:38CANCAN MUSIC
0:04:44 > 0:04:46- MC:- Ladies and gentlemen of Iceland,
0:04:46 > 0:04:49welcome to Dublin.
0:04:49 > 0:04:52Winter is when the company makes most of its profits.
0:04:53 > 0:04:56With Christmas only eight weeks away,
0:04:56 > 0:04:59leading the urgent push to boost sales
0:04:59 > 0:05:00are Malcolm's right-hand men...
0:05:01 > 0:05:04Nigel Broadhurst...
0:05:04 > 0:05:07Christmas, my arse.
0:05:07 > 0:05:10..and Nick Canning.
0:05:10 > 0:05:11Hope I'm not too late to see
0:05:11 > 0:05:15just what you've got planned for Christmas this year.
0:05:15 > 0:05:17The market is only increasing in size
0:05:17 > 0:05:19very, very slowly at the moment.
0:05:19 > 0:05:21So, in order to grow sales,
0:05:21 > 0:05:24they have to be stolen from somebody else.
0:05:24 > 0:05:27I think entrepreneurs are quite an unhappy lot, really,
0:05:27 > 0:05:29because you're always wanting more.
0:05:29 > 0:05:31- Are you unhappy?- Yeah.
0:05:31 > 0:05:33But I'll be happy tomorrow,
0:05:33 > 0:05:35when the sales are a bit better.
0:05:35 > 0:05:39Malcolm believes there's only one way to get sales flying...
0:05:39 > 0:05:43a staff incentive on a grand scale.
0:05:43 > 0:05:45This will be amazing.
0:05:45 > 0:05:48He's giving a luxury trip to his top managers
0:05:48 > 0:05:50and £10,000 to their staff,
0:05:50 > 0:05:52hand-delivered by Malcolm.
0:05:52 > 0:05:53So how about that?
0:05:53 > 0:05:55I told you I was Father Christmas,
0:05:55 > 0:05:58and there's just one more thing now that we've got to do.
0:06:03 > 0:06:06# We aim to give customers more than the rest...
0:06:09 > 0:06:13# A bonus cut saving makes Iceland the best. #
0:06:13 > 0:06:17- ALL:- # And it's Iceland service
0:06:17 > 0:06:20# All around every store
0:06:20 > 0:06:23# That will light up the high street... #
0:06:23 > 0:06:25Go back to your stores now
0:06:25 > 0:06:29and just share some of the magic that we've experienced this last few days.
0:06:29 > 0:06:30Be great leaders.
0:06:30 > 0:06:32Deliver great service.
0:06:38 > 0:06:39Ewood, Lancashire.
0:06:39 > 0:06:42A suburb on the outskirts of Blackburn.
0:06:44 > 0:06:48Home to one of the company's 800 stores.
0:06:48 > 0:06:50Right, let's get this show on the road.
0:06:50 > 0:06:53- Hi, how are you? - All right, how are you?
0:06:53 > 0:06:55Not so bad, thank you.
0:06:55 > 0:06:59The company prides itself on its low turnover of staff.
0:07:05 > 0:07:08Store manager Craig has been here for 16 years.
0:07:09 > 0:07:12You've got to have the desire to do the job.
0:07:12 > 0:07:14You've got to have the energy and the enthusiasm.
0:07:14 > 0:07:15That then rubs off onto the store team,
0:07:15 > 0:07:18and that's what delivers you results,
0:07:18 > 0:07:21and that's what delivers exceptional service at every level.
0:07:21 > 0:07:25OK, guys, first of all, I just want to say a massive, massive thank you
0:07:25 > 0:07:29for all the Ewood elves turning up tonight.
0:07:29 > 0:07:32- Are the Ewood elves going to do it tonight?- Yes!
0:07:32 > 0:07:35Thank you very much, thank you.
0:07:35 > 0:07:37Craig is back from the conference
0:07:37 > 0:07:40with news of Malcolm's Christmas competition.
0:07:40 > 0:07:42One, two, three.
0:07:42 > 0:07:45£500 will go to the best-decorated store,
0:07:45 > 0:07:47but Malcolm's big cash prize
0:07:47 > 0:07:50will reward the branch with the best service.
0:07:50 > 0:07:54So he's faced onto t'customers, really.
0:07:54 > 0:07:57Happy customers are encouraged to go online to send a "WOW"
0:07:57 > 0:07:59for their local store.
0:07:59 > 0:08:02Why don't we put a big "WOW" all the way down there? Yeah?
0:08:02 > 0:08:07The stores with the most WOWs win £10,000.
0:08:09 > 0:08:11It just keeps the team motivated,
0:08:11 > 0:08:15and a bit of competition among the team.
0:08:15 > 0:08:18Some of the guys in store will ask me questions like,
0:08:18 > 0:08:20"Where's your WOWs?"
0:08:20 > 0:08:23So I have to step my game up as well.
0:08:23 > 0:08:28Craig's shopfloor staff are paid £6.90 an hour
0:08:28 > 0:08:30and they're recruited for their personalities.
0:08:30 > 0:08:33He's relying on their charms to put his store on top.
0:08:34 > 0:08:37Like ex-Avon lady, Jackie.
0:08:38 > 0:08:40See, if I won the lottery,
0:08:40 > 0:08:43I still turn up just to get on everybody's nerves, you see?
0:08:43 > 0:08:45Just every now and then, yeah, I'd still turn up.
0:08:45 > 0:08:48'One thing they enforce and they get across is,
0:08:48 > 0:08:50'you bring your personality to work.'
0:08:50 > 0:08:52You don't leave it on the doorstep.
0:08:52 > 0:08:54You bring it over the doorstep.
0:08:54 > 0:08:56That's the beauty of it.
0:08:56 > 0:08:58You get paid to be yourself.
0:08:58 > 0:09:03You're just playing me up for a soft touch here, aren't you?
0:09:03 > 0:09:05He's grinning now.
0:09:05 > 0:09:09Jackie's been working with her friend Janette for two years.
0:09:09 > 0:09:11You're ruining my photograph.
0:09:11 > 0:09:14'Both my daughters worked here previously,'
0:09:14 > 0:09:16and I was made redundant
0:09:16 > 0:09:18from being a special needs assistant.
0:09:18 > 0:09:22Because me daughters talked about the positions that they had
0:09:22 > 0:09:24in the store and that they enjoyed it,
0:09:24 > 0:09:27I applied and I got the job.
0:09:27 > 0:09:29Everybody works together.
0:09:29 > 0:09:31They all look after you.
0:09:31 > 0:09:33We all pull together.
0:09:33 > 0:09:35We can be very competitive with each other.
0:09:37 > 0:09:40Ewood is competing with more than 150 stores in the region,
0:09:40 > 0:09:43including Cheetham Hill in Manchester.
0:09:44 > 0:09:4826-year-old Nat has been working at the company for four years,
0:09:48 > 0:09:52since she was made redundant from Somerfield.
0:09:52 > 0:09:55Everyone has a lot of pride in their own shop.
0:09:55 > 0:09:58- We're all competitive with each other.- Higher, the other side.
0:09:58 > 0:10:01- We don't like certain shops. - Pull it!
0:10:02 > 0:10:06Certain shops think that we're a bit...common.
0:10:06 > 0:10:09They're not wrong, we are, but we're nice common.
0:10:10 > 0:10:14Anthony studied interior design at college.
0:10:14 > 0:10:16He hopes to give his store the edge.
0:10:16 > 0:10:19It's going high up, but...
0:10:19 > 0:10:21Who are your big competition?
0:10:21 > 0:10:23We think Ewood.
0:10:23 > 0:10:26- Why?- Just because...
0:10:26 > 0:10:27Because they've got a sleigh.
0:10:27 > 0:10:30Yeah, they've got a big sled.
0:10:30 > 0:10:33We have a good, strong team,
0:10:33 > 0:10:35and we're like a family.
0:10:35 > 0:10:37It's like an extension of our family.
0:10:41 > 0:10:44If Cheetham Hill wins the most WOWs,
0:10:44 > 0:10:49Nat will get almost £700 extra in her pay packet.
0:10:49 > 0:10:52Me and me husband work full-time.
0:10:52 > 0:10:54I work nearly full-time,
0:10:54 > 0:10:57and we struggle a lot, money-wise.
0:10:57 > 0:11:01If we won, I'd spend it on me daughter.
0:11:02 > 0:11:05But wowing the customers in Cheetham Hill
0:11:05 > 0:11:07will be a challenge.
0:11:07 > 0:11:10Our trolleys have got the big poles on top
0:11:10 > 0:11:12so that the customers can't just walk out with them
0:11:12 > 0:11:14and never come back.
0:11:14 > 0:11:17This is what Cheetham Hill's like. They just try and steal things.
0:11:17 > 0:11:19If they can get away with it, they will.
0:11:19 > 0:11:21Pawn shop out there last week
0:11:21 > 0:11:24was put through with a sledgehammer.
0:11:24 > 0:11:27The company opens most of its stores on local high streets,
0:11:27 > 0:11:31often in areas of high unemployment like Cheetham Hill.
0:11:31 > 0:11:34It's not that bad. The people are all dead friendly.
0:11:34 > 0:11:37You just get the occasional nutter.
0:11:41 > 0:11:45Company headquarters in Deeside, North Wales.
0:11:45 > 0:11:47You've seen the rhino?
0:11:47 > 0:11:49Bizarre, innit?
0:11:50 > 0:11:53With only 2% of the market,
0:11:53 > 0:11:56the company has to work hard to hold on to customers.
0:11:56 > 0:11:58They know if sales are to recover,
0:11:58 > 0:12:00they can't afford to lose shoppers.
0:12:00 > 0:12:04Iceland Customer Care, Alison speaking, how can I help?
0:12:04 > 0:12:08Complaints are fielded by the call centre at HQ.
0:12:08 > 0:12:09Right.
0:12:09 > 0:12:12I'm sorry about this. We'll get it sorted for you.
0:12:12 > 0:12:13What's your postcode, please?
0:12:13 > 0:12:16I can look into this for you now.
0:12:16 > 0:12:20Every complaint has to be weighed on its merits.
0:12:20 > 0:12:24A customer called customer services to report that his pizza
0:12:24 > 0:12:25had no topping,
0:12:25 > 0:12:28and during the call, it actually turned out
0:12:28 > 0:12:30that he'd got it upside down.
0:12:31 > 0:12:33The customer rang at Christmas,
0:12:33 > 0:12:35wanted to know how to cook his "bastard chicken".
0:12:35 > 0:12:39What he actually meant was how does he cook his "basted chicken"?
0:12:39 > 0:12:42We had ice cream's that melted into quite a rude shape
0:12:42 > 0:12:44as they were melting,
0:12:44 > 0:12:47and we did have customers complaining they look like willies.
0:12:47 > 0:12:49If we've all had a good day, we're all a bit giddy anyway.
0:12:49 > 0:12:51Anything can set you off.
0:12:51 > 0:12:53Once they're logged,
0:12:53 > 0:12:56complaints are handed over to tae kwon do champion Trish,
0:12:56 > 0:12:58who's responsible for putting things right.
0:13:00 > 0:13:01Hi, guys.
0:13:03 > 0:13:06'You don't join a technical department to be popular.'
0:13:06 > 0:13:09I'm annoying and fiery,
0:13:09 > 0:13:11and I know that.
0:13:11 > 0:13:13But the good point, I think,
0:13:13 > 0:13:15is that I have got perseverance.
0:13:15 > 0:13:19- Have we got a product?- I think we've got a few.- Yeah?
0:13:19 > 0:13:20There's been a complaint
0:13:20 > 0:13:23about one of the company's £1 ready meals.
0:13:23 > 0:13:25So, six chicken light or nonexistent.
0:13:25 > 0:13:28Obviously, not enough chicken in there is an issue,
0:13:28 > 0:13:30so we'll take a look at that.
0:13:30 > 0:13:33Just to mention as well, there has been a Trading Standards complaint
0:13:33 > 0:13:36about it, saying there wasn't any chicken in it.
0:13:36 > 0:13:38So we can see straightaway there is chicken.
0:13:38 > 0:13:41Would we like to compare it to the pack, show us?
0:13:41 > 0:13:43Which has got a lot of chicken.
0:13:43 > 0:13:44The trouble with me is,
0:13:44 > 0:13:46I have high personal standards
0:13:46 > 0:13:50and I won't work for a company who doesn't have high ethics as well.
0:13:50 > 0:13:52So I wouldn't be employed by somebody who didn't want
0:13:52 > 0:13:55a technical manager who wanted to do the right things.
0:13:55 > 0:13:58These people are passionate enough to have taken the time
0:13:58 > 0:14:00to write and tell us about something.
0:14:00 > 0:14:03If we just kind of go, "Yeah, whatever,"
0:14:03 > 0:14:06then it's a wasted opportunity to put something right.
0:14:06 > 0:14:09So we're calling this, "Perfect...4 lamb chops."
0:14:09 > 0:14:13So you're spending £4 on this product,
0:14:13 > 0:14:16and there's a lot of fat going on there on that plate
0:14:16 > 0:14:18for four quid in Iceland.
0:14:18 > 0:14:21A little bit fatty, but as a chump chop, you do get that.
0:14:21 > 0:14:23It's the next muscle down from your loin.
0:14:23 > 0:14:26It's basically the top of your backside.
0:14:26 > 0:14:29- It's that bit on the top there. - So this is lamb backside?
0:14:29 > 0:14:31- This is a lamb rump.- OK.
0:14:31 > 0:14:34- Not lamb backside.- OK, sorry.
0:14:34 > 0:14:37Now, you might look at it and think that's how it should be.
0:14:37 > 0:14:40But actually the picture is giving me a different impression.
0:14:40 > 0:14:43Trish can remove products from the shelves within hours
0:14:43 > 0:14:45if she feels they're not up to scratch.
0:14:45 > 0:14:47So will we keep an eye on complaints, Warren?
0:14:47 > 0:14:50And hopefully we will be able to hang fire until September,
0:14:50 > 0:14:53but if complaints go too pear-shaped, we may need to talk about timing.
0:14:53 > 0:14:55- Yeah.- OK, thank you.
0:14:55 > 0:14:58For all retailers, making sure they are selling the right thing
0:14:58 > 0:15:01to the public requires constant vigilance.
0:15:01 > 0:15:05So this is a bit of a kind of relaxed-looking bird as well, isn't it?
0:15:05 > 0:15:08Trish knows only too well how quick the press are to grab
0:15:08 > 0:15:10the opportunity to create headlines.
0:15:10 > 0:15:13We've had horrible complaints,
0:15:13 > 0:15:18and we've been in like the newspaper whereby they found a bat
0:15:18 > 0:15:21in some frozen veg and they went to the newspaper saying,
0:15:21 > 0:15:23"Bat's why mums go to Iceland."
0:15:23 > 0:15:26So it's like it really catches the imaginations.
0:15:26 > 0:15:28So that is a bit of a difficult one.
0:15:29 > 0:15:31Defending the image of the company
0:15:31 > 0:15:37often falls to its PR consultant of 30 years, Keith Hann.
0:15:37 > 0:15:39Hello! Goodbye.
0:15:45 > 0:15:48Well, this is apparently a parody
0:15:48 > 0:15:51of an Iceland ad from Shooting Stars.
0:15:51 > 0:15:54It's my birthday, and I'm 54!
0:15:54 > 0:15:56And the rest.
0:15:56 > 0:15:59Martin's just been released on bail.
0:15:59 > 0:16:02Cool.
0:16:02 > 0:16:05Celebrate with sticky lasagne...
0:16:05 > 0:16:07sticky peas...
0:16:07 > 0:16:09Mm. Part-baked sticky discs.
0:16:09 > 0:16:11But what's that topping?
0:16:11 > 0:16:14Hydrogenised tomato-flavoured dust.
0:16:14 > 0:16:16A penny each!
0:16:16 > 0:16:19How much did you pay for this incredible feast?
0:16:19 > 0:16:21Just under £4.
0:16:21 > 0:16:24And it's better than real food.
0:16:24 > 0:16:25Celebrate with Coldland.
0:16:25 > 0:16:28Coldland.
0:16:28 > 0:16:31Well, that was most amusing.
0:16:31 > 0:16:34What could one possibly say?
0:16:34 > 0:16:38Iceland doesn't sell shit food.
0:16:38 > 0:16:40It's gone to greater lengths than most
0:16:40 > 0:16:43to take artificial shit out of its food.
0:16:45 > 0:16:48There's no logical reason why a frozen ready meal
0:16:48 > 0:16:50should be of lower quality than a fresh one,
0:16:50 > 0:16:53and it will always be better value than a fresh one,
0:16:53 > 0:16:57because if you're making lasagnes for Marks & Spencer,
0:16:57 > 0:17:00you have to make the damn things every day,
0:17:00 > 0:17:02because they sell them fresh.
0:17:02 > 0:17:05So, every day you have to close the production line down,
0:17:05 > 0:17:06you have to clean it...
0:17:06 > 0:17:08Whereas the frozen product,
0:17:08 > 0:17:10you can do one long production run,
0:17:10 > 0:17:12one batch every two or three weeks.
0:17:12 > 0:17:16It's intrinsically going to be better value,
0:17:16 > 0:17:19because the cost of doing it is lower.
0:17:19 > 0:17:22Iceland is a classic British institution
0:17:22 > 0:17:24that half the country loves
0:17:24 > 0:17:26and half the country hates.
0:17:26 > 0:17:28People who work for it love it.
0:17:28 > 0:17:31Its customers, by and large, love it.
0:17:31 > 0:17:34But the other half of the population absolutely hate it
0:17:34 > 0:17:36without ever having, in most cases,
0:17:36 > 0:17:38ever been in a shop or bought a product.
0:17:38 > 0:17:40Why do you think that is?
0:17:41 > 0:17:43In a word, snobbery.
0:17:49 > 0:17:53To boost sales, Malcolm has charged his top team to come up
0:17:53 > 0:17:55with more original food ideas
0:17:55 > 0:17:56to bring in new customers.
0:17:57 > 0:18:02Buying director Nigel Broadhurst is the taste buds of the company.
0:18:02 > 0:18:06Nigel Broadhurst started with us 100 years ago
0:18:06 > 0:18:09as our first or second buyer.
0:18:09 > 0:18:11Iceland is in his DNA.
0:18:11 > 0:18:13It's what he's good at.
0:18:13 > 0:18:16If the product is not right and the price isn't right,
0:18:16 > 0:18:17then we're dead.
0:18:19 > 0:18:23There aren't many people that are indispensable.
0:18:23 > 0:18:24But I think Nigel is.
0:18:24 > 0:18:26Trouble is, he knows it.
0:18:26 > 0:18:28Oh, no, not for me.
0:18:28 > 0:18:31Look at that one, a slither of chicken.
0:18:31 > 0:18:34I mean, come on.
0:18:34 > 0:18:37It's like wallpaper paste in texture.
0:18:37 > 0:18:39Nigel is setting his sights
0:18:39 > 0:18:42on the flagship party fare range.
0:18:42 > 0:18:46Iceland cornered the market with their frozen buffet finger food,
0:18:46 > 0:18:50but now their bigger rivals are selling competing party ranges.
0:18:52 > 0:18:55The man who brought us chocolate strawberries
0:18:55 > 0:18:58and frozen sandwiches needs something new.
0:18:58 > 0:19:01Ah! Whoo!
0:19:01 > 0:19:04This is vanilla custard with marque de champagne
0:19:04 > 0:19:07to make it a bit more Christmassy, hero-like.
0:19:07 > 0:19:10I can't eat it, because I'm allergic to strawberries,
0:19:10 > 0:19:11but that is outstanding.
0:19:11 > 0:19:15- Do you want to pick it off...? - Not really, not really, thank you.
0:19:15 > 0:19:16I expect more to be like that.
0:19:16 > 0:19:18That's really crucial.
0:19:18 > 0:19:21Pitching to him is desserts buyer Gemma.
0:19:21 > 0:19:24Her previous hits include the Baileys quick-defrosting gateaux
0:19:24 > 0:19:27and the £1 choc ice Majestics.
0:19:28 > 0:19:29Oh, my God.
0:19:29 > 0:19:31This is cocktail jellies.
0:19:31 > 0:19:33It's a brand-new product,
0:19:33 > 0:19:35which will need investment,
0:19:35 > 0:19:37but they really are desperate to launch it.
0:19:42 > 0:19:46- There's about 4% alcohol in there. - Bloody hell.- Is there? 4%?
0:19:46 > 0:19:47This has got to be the step change.
0:19:47 > 0:19:50We've got to stop Tesco and ASDA and Morrisons
0:19:50 > 0:19:53copying what we're doing, and we've got to make it much harder for them.
0:19:53 > 0:19:57All they do every year is disappear off out to Thailand,
0:19:57 > 0:19:59copy what we do, and next year, we have to try even harder.
0:19:59 > 0:20:01You've put the effort in this year.
0:20:01 > 0:20:03You've delivered some really good stuff.
0:20:03 > 0:20:05I think it's really important for me that we land it
0:20:05 > 0:20:07and at the right margins.
0:20:07 > 0:20:10So stage one over. Stage two, go make it work.
0:20:10 > 0:20:13Well done, guys, thank you very much indeed. Good job, good job.
0:20:15 > 0:20:17Also pitching is Alastair.
0:20:17 > 0:20:20He started his career as a shelf stacker and worked his way up.
0:20:22 > 0:20:25He recently won a Frozen Food Award for his Duck Duo
0:20:25 > 0:20:28and helped relaunch the King Prawn Ring.
0:20:29 > 0:20:31Everyone's got a King Prawn Ring, as we know.
0:20:31 > 0:20:33We owned it, and everyone else has got it.
0:20:33 > 0:20:36And to be fair, what they've done this year is they've done it
0:20:36 > 0:20:39in a garlic and coriander dry coating,
0:20:39 > 0:20:41and then they've done it with a dip.
0:20:41 > 0:20:42Now again...
0:20:42 > 0:20:44But that's not expensive to do,
0:20:44 > 0:20:46cos you just whack it down the line with a rub.
0:20:46 > 0:20:48So they just drop the prawns in and then just put...
0:20:48 > 0:20:49I thought it was a great way of actually...
0:20:49 > 0:20:52- ..adding value to a King Prawn Ring. - ..adding value.
0:20:52 > 0:20:54And it's something suddenly very different.
0:20:54 > 0:20:57Could you do your disc with three flavours on?
0:20:57 > 0:21:00Yeah, that's where I was going. And maybe not... Don't do it as a ring.
0:21:00 > 0:21:04Nigel's sending Alastair to Thailand to find exotic,
0:21:04 > 0:21:08colourful finger food to rival Waitrose's on budget prices.
0:21:08 > 0:21:11And they've also got a Mixed Wrap Platter.
0:21:12 > 0:21:15- There's some good stuff in here, you know.- Finger rolls.
0:21:15 > 0:21:18- Take that with you.- Yeah, OK.
0:21:18 > 0:21:21Malcolm's company's come a long way since he opened his first shop
0:21:21 > 0:21:2543 years ago in Oswestry in the Midlands.
0:21:25 > 0:21:29I started Iceland with my partner
0:21:29 > 0:21:32when we were both working in Woolworth's.
0:21:32 > 0:21:34And the prime reason for starting the business was
0:21:34 > 0:21:36because we hated Woolworth's.
0:21:36 > 0:21:40Back then, he had just £30 to put into the business.
0:21:40 > 0:21:44And we're coming up now to our first store.
0:21:45 > 0:21:46And this shop here...
0:21:48 > 0:21:54..was the first Iceland, which is now a men's and ladies' outlet.
0:22:01 > 0:22:04- Hello.- Hello. - My name's Malcolm Walker.
0:22:04 > 0:22:10- This shop, in 1970, was the first Iceland.- Yes. Yes, I remember it!
0:22:10 > 0:22:14A bit behind that wood panelling is our blue tiles.
0:22:14 > 0:22:17You've got the original Marley tiles.
0:22:17 > 0:22:21- Yeah, which I put down with my own hands.- You've got the original.
0:22:24 > 0:22:25You've got the original...
0:22:28 > 0:22:31Customers trip up on it. Um...
0:22:31 > 0:22:33Ah, they're glued down!
0:22:33 > 0:22:37Can you remember loose frozen foods when we served it by the shovel full?
0:22:37 > 0:22:40Our first customers, when we were selling loose frozen food,
0:22:40 > 0:22:42wouldn't have a freezer,
0:22:42 > 0:22:44just a fridge with that little ice compartment at the top.
0:22:44 > 0:22:47And they'd buy from us for the meal ahead.
0:22:47 > 0:22:54So we would buy £56 sacks of peas and tip them out into trays,
0:22:54 > 0:22:57or 200 fish fingers catering packs.
0:22:59 > 0:23:02So we were pioneers.
0:23:02 > 0:23:05In the mid '70s, the chest freezer was launched on the market,
0:23:05 > 0:23:08and the British public fell in love.
0:23:08 > 0:23:11Our journey has gone from loose frozen food to bulk packs
0:23:11 > 0:23:15to storing in the big chest freezer in your garage.
0:23:15 > 0:23:20And it was only gradually that we expanded our product range,
0:23:20 > 0:23:23started getting more and more packetted products.
0:23:24 > 0:23:28Housewives were no longer housewives. They were going out to work.
0:23:28 > 0:23:32They'd got less time. Ready meals came in.
0:23:32 > 0:23:36It was a long journey of evolution in frozen foods.
0:23:36 > 0:23:39Through four decades, Malcolm's business grew steadily.
0:23:39 > 0:23:43In 1984, it was floated on the London Stock Exchange.
0:23:47 > 0:23:49But in recent years,
0:23:49 > 0:23:53something's been stunting the company's growth - an image problem.
0:23:55 > 0:23:58If you're at a dinner party, and somebody says, "What do you do?"
0:23:58 > 0:24:00And say, "Well, I'm in frozen food." "Oh, well, of course,
0:24:00 > 0:24:02"we don't eat frozen food," you know. Oh, right.
0:24:02 > 0:24:05So you buy your frozen prawns defrosted from Sainsbury's,
0:24:05 > 0:24:08do you, at the fish counter? Of course they're not fresh!
0:24:08 > 0:24:09They're defrosted!
0:24:09 > 0:24:12But if your freezer breaks down at home and your prawns melt,
0:24:12 > 0:24:14you think they're poisonous and throw them away.
0:24:14 > 0:24:18But they might have been defrosted three days ago in the supermarket.
0:24:18 > 0:24:23So which is better for you? Freezing is God's way of preserving food.
0:24:23 > 0:24:26Oh, this is bizarre, isn't it? Doner kebab pizza!
0:24:26 > 0:24:30I couldn't believe it when we brought that out. Sells like hell!
0:24:30 > 0:24:31So people want it.
0:24:35 > 0:24:38Little pieces of doner kebab. Onions, they're good for you.
0:24:38 > 0:24:40Green peppers are good for you. So there you are.
0:24:40 > 0:24:42It's a half-healthy product!
0:24:44 > 0:24:47That pizza is made with cheese.
0:24:47 > 0:24:50You go and buy a cheap pizza somewhere else
0:24:50 > 0:24:53and look on the back, and it's not made with cheese.
0:24:53 > 0:24:56It's made with something called analogue, which is
0:24:56 > 0:24:59a synthetic cheese. Can you believe that?
0:25:01 > 0:25:02Quality at Iceland.
0:25:08 > 0:25:10'This is BBC Radio 4.'
0:25:10 > 0:25:12'We are going to be very careful this Christmas,
0:25:12 > 0:25:15'most analysts believe, and whichever supermarket it is wants
0:25:15 > 0:25:17'a cut of your ever-dwindling pocket.
0:25:17 > 0:25:21'So as we get into Christmas, it's going to get even more vicious.'
0:25:22 > 0:25:24We're open in 10 minutes. Oh, my God!
0:25:24 > 0:25:27I know. Right, let's get rid of the mop, bucket and the brushes.
0:25:27 > 0:25:30We didn't have a soul in yesterday morning. Not a soul!
0:25:31 > 0:25:34It's been a slow start to Christmas.
0:25:34 > 0:25:36Even the cleaners are trying to stay positive.
0:25:38 > 0:25:40I enjoy coming to work.
0:25:40 > 0:25:43It's just everything that goes with it, you know.
0:25:43 > 0:25:46You know, other companies you work for, they're just so sort of,
0:25:46 > 0:25:47like, staged in what they do,
0:25:47 > 0:25:50but Iceland seem to have a different approach, I think.
0:25:50 > 0:25:53The whole atmosphere in the shop, you know, is just friendly.
0:25:53 > 0:25:57I bore everyone at home, though, cos I like it so much!
0:25:57 > 0:26:00Me daughter used to say, "Mum, you're obsessed with Iceland!"
0:26:02 > 0:26:05I can't breathe through this blooming nose!
0:26:05 > 0:26:06- I'm just so hot.- I know.
0:26:07 > 0:26:11The company needs to punch above its weight this Christmas.
0:26:11 > 0:26:13It's a top-up shop.
0:26:13 > 0:26:16Most customers do the bulk of their shopping at other supermarkets.
0:26:16 > 0:26:20Can I swipe your Bonus Card? Can I swipe your Bonus Card?
0:26:20 > 0:26:23Malcolm believes that if staff can persuade customers to buy
0:26:23 > 0:26:29just one more product here and one less in Tesco, sales can recover.
0:26:29 > 0:26:30Hello.
0:26:30 > 0:26:33He's hoping his cash prize staff competition
0:26:33 > 0:26:35will give his company the edge.
0:26:35 > 0:26:38We are one floor up.
0:26:38 > 0:26:42So if I said to you, "Will you jump out that window?" You'd say, "No."
0:26:42 > 0:26:46If I said, "I'll give you £500 to jump out that window."
0:26:46 > 0:26:47You'd say, "No."
0:26:47 > 0:26:50If I said, "I'll give you £1 million to jump out the window,"
0:26:50 > 0:26:53you would, because the worst that would happen is you'd break your leg.
0:26:53 > 0:26:56So that proves that an incentive works.
0:26:58 > 0:26:59Hello, love. You all right?
0:26:59 > 0:27:02- Have you got your vodka for your Coke?- Yeah, we have.
0:27:02 > 0:27:04That's all right, then!
0:27:04 > 0:27:05In Ewood, Craig has put Jeanette
0:27:05 > 0:27:10and Jackie to work to get customer service WOWs from the public.
0:27:10 > 0:27:13All your presents all wrapped and everything?
0:27:13 > 0:27:15All you have to do is go online, love.
0:27:15 > 0:27:18Customer service questions and what you think of the Christmas decor.
0:27:18 > 0:27:20Iceland's giving away £1,000 a day.
0:27:20 > 0:27:23It's just a bit of feedback for the store.
0:27:23 > 0:27:25If customers go online to vote, they too
0:27:25 > 0:27:27stand to win a cash prize.
0:27:27 > 0:27:31Now, you're going to win £1,000, all right? I'm positive!
0:27:31 > 0:27:33The WOWs are great for us, cos it gives us
0:27:33 > 0:27:36real-time feedback on service, so Jeanette was "polite and friendly.
0:27:36 > 0:27:40"She smiled a lot and put my shopping through efficiently."
0:27:40 > 0:27:44There it is - 15, 16, 17...
0:27:44 > 0:27:4817 WOWs come down from yesterday, so that's fantastic.
0:27:48 > 0:27:52Now, when you go to your grandson's, get pampered.
0:27:52 > 0:27:55They are hard to get. You've got to really, really drive them in-store.
0:27:55 > 0:27:58Well, what you're going to have to do is drop a few hints and, like,
0:27:58 > 0:28:01leave a couple pairs of Marigolds about so that, you know, they do
0:28:01 > 0:28:03the washing up and things like that.
0:28:04 > 0:28:08'Going off from what customers say to us, we're a lot more friendlier.'
0:28:08 > 0:28:14The Aldi staff have to scan 1,000 items per hour.
0:28:14 > 0:28:17Hence why they don't look up and chat to everybody.
0:28:17 > 0:28:20I can say 1,000 words an hour very easily.
0:28:20 > 0:28:22I don't know about scanning 1,000 items!
0:28:27 > 0:28:29Bangkok, Thailand.
0:28:29 > 0:28:33Senior buyer Alastair's arrived in the home of exotic finger food.
0:28:35 > 0:28:38On a previous trip, the company discovered its bestselling
0:28:38 > 0:28:41frozen Prawn Ring with dipping sauce.
0:28:41 > 0:28:43Now Alastair's looking for another winner.
0:28:46 > 0:28:51The Tikka Somosa was the bestselling new line in the range.
0:28:54 > 0:28:59His Thai-based suppliers cook up food samples to pitch to him.
0:28:59 > 0:29:02If I don't eat everything, please don't take offence.
0:29:02 > 0:29:04THEY LAUGH
0:29:05 > 0:29:10He'll have to consume 1.5 kg of food in his quest to find the Holy Grail.
0:29:13 > 0:29:17- So what is it? - This is a Strawberry Thai.- Yes.
0:29:17 > 0:29:20And what's the filling? What's the filling?
0:29:20 > 0:29:22- No cream.- Not cream?
0:29:25 > 0:29:29Iceland manufactures most of its party fare range here in Thailand.
0:29:31 > 0:29:34They're renowned for making hand-finished food that's hard
0:29:34 > 0:29:37for the competition to copy.
0:29:37 > 0:29:39Over here, they're very nimble-fingered,
0:29:39 > 0:29:43they're very good at that intricacy that you need.
0:29:43 > 0:29:46So everyone is exactly the same,
0:29:46 > 0:29:48because the expectation of the end consumer is that
0:29:48 > 0:29:50whenever they pick up that pack of veg spring rolls,
0:29:50 > 0:29:53they're going to get the same product.
0:29:55 > 0:29:59The company keeps prices down by making the products in bulk, then
0:29:59 > 0:30:02freezing them in large quantities and shipping them to the UK.
0:30:09 > 0:30:12The mini Chicken and Salmon Wellingtons,
0:30:12 > 0:30:15still need to see those in the two different shapes.
0:30:15 > 0:30:18Alastair needs more ideas to protect their party food range
0:30:18 > 0:30:22from the challenge of the supermarket giants. His idea?
0:30:22 > 0:30:25Britain's best-loved dishes in a bite-sized chunk.
0:30:25 > 0:30:27Um...Chicken Casserole and Dumpling.
0:30:28 > 0:30:34So we said layer of casserole then layer of mash. Sausage and Mash Bite.
0:30:35 > 0:30:39I really like the idea of this All-day Breakfast Bite.
0:30:41 > 0:30:43So if I was having an all-day breakfast,
0:30:43 > 0:30:46you almost want a hash brown base.
0:30:46 > 0:30:47Hash brown, egg, bacon...
0:30:48 > 0:30:50Yeah. Or egg and sausage.
0:30:50 > 0:30:53Egg and sausage, same as McDonald's do it.
0:30:53 > 0:30:54Or tomato and mushroom.
0:30:59 > 0:31:04But the Thai chefs are struggling to deliver to British tastes.
0:31:04 > 0:31:06The Roast Chicken Dinner.
0:31:06 > 0:31:07The first thing, definitely,
0:31:07 > 0:31:10that we're going to need to address is the visual.
0:31:10 > 0:31:12Needs to at least show the ingredients
0:31:12 > 0:31:14that make up that well-known product.
0:31:14 > 0:31:17You see, if it wasn't for the awful texture of the batter,
0:31:17 > 0:31:19that would eat really, really well. I mean, look at that.
0:31:19 > 0:31:22You've got the great visual there...
0:31:22 > 0:31:25and then we're hiding it. It needs some colour, though.
0:31:25 > 0:31:27I think what it is is we're frying it all.
0:31:27 > 0:31:29We're putting a batter over it,
0:31:29 > 0:31:32so we're just covering all the things we don't want to cover.
0:31:33 > 0:31:36I need to mention this to Nigel.
0:31:36 > 0:31:37PHONE RINGS
0:31:38 > 0:31:40Mr Crimp? How you doing?
0:31:41 > 0:31:42'Mr Broadhurst.'
0:31:42 > 0:31:43How's it going, Al?
0:31:43 > 0:31:46'We're struggling to get a product that's going to hold.'
0:31:46 > 0:31:48We're reverting back to type,
0:31:48 > 0:31:53ie, we're reverting back to enclosing things and making things beige again.
0:31:53 > 0:31:55You've got to put pressure on these guys this year,
0:31:55 > 0:31:58'cos we've really got to make sure we're somewhere between M&S
0:31:58 > 0:31:59'and Waitrose in terms of selection.'
0:31:59 > 0:32:02Did you waft around a Waitrose brochure to everybody
0:32:02 > 0:32:04and get the idea of what we were looking at?
0:32:04 > 0:32:07Yeah, yeah. No, the Waitrose brochure has had many a viewing.
0:32:07 > 0:32:11All right. So you're going back out for the next session now, are you?
0:32:11 > 0:32:12'Yeah.'
0:32:12 > 0:32:13OK. Cheers, Nigel.
0:32:21 > 0:32:22Look at those, Shashada.
0:32:24 > 0:32:27Your eye's just hit with colour, isn't it?
0:32:27 > 0:32:30That's what we want to try and deliver, isn't it?
0:32:30 > 0:32:34Some unusual prawn products have caught Alastair's eye -
0:32:34 > 0:32:37- Prawns in Blankets. - But they look great.
0:32:37 > 0:32:40The colour of the prawn really contrasts well with the bacon,
0:32:40 > 0:32:43and it's shamelessly copying M&S as well, to be fair.
0:32:43 > 0:32:45I'd say that's the better product than the M&S product.
0:32:45 > 0:32:48And a product M&S don't have -
0:32:48 > 0:32:51prawns in a rice crispy-style batter.
0:32:51 > 0:32:54We've definitely got that prawn shape. They look really good. Yeah.
0:32:56 > 0:32:57The bubbles is a good visual.
0:32:59 > 0:33:04I'm tasting prawn. You feel it in your mouth. Thank you, Boo.
0:33:04 > 0:33:07Give me a hug. Thank you.
0:33:07 > 0:33:09In one month's time,
0:33:09 > 0:33:13he'll have to get his new ideas past Nigel...at the right price.
0:33:16 > 0:33:17'If a category is under-performing
0:33:17 > 0:33:19'or if a buyer is not hitting his numbers,'
0:33:19 > 0:33:21you know, we have conversations
0:33:21 > 0:33:24and we all work hard to help that buyer to get to the number
0:33:24 > 0:33:26that they need to get to,
0:33:26 > 0:33:28because when you add all the buyers' numbers up,
0:33:28 > 0:33:29that's the number I need.
0:33:31 > 0:33:34Back in the UK, competing against Alastair for slots
0:33:34 > 0:33:38in the revamped party range is desserts buyer Gemma.
0:33:38 > 0:33:42She's not giving up on her alcoholic jelly cocktails.
0:33:43 > 0:33:48I've had three previous meetings with the supplier who we're working
0:33:48 > 0:33:50on the jelly party shots with.
0:33:50 > 0:33:53The company needs to stay ahead on cost.
0:33:53 > 0:33:57Suppliers know they'll get short shrift if the price isn't right.
0:33:57 > 0:34:00I guess that's part of why we're here, to always challenge
0:34:00 > 0:34:02and to make sure we're getting the right product
0:34:02 > 0:34:04at the right price with good value for money.
0:34:04 > 0:34:06And it's got to deliver, at the end of the day.
0:34:06 > 0:34:10It won't get through to sign-off if it doesn't deliver on those metrics.
0:34:10 > 0:34:12So we shall see what they bring today.
0:34:18 > 0:34:22The shots divided the camps at the last panel.
0:34:22 > 0:34:24Half the room loved them. Half the room hated them.
0:34:24 > 0:34:28I think they're a bit of a novelty Marmite-style product.
0:34:28 > 0:34:29That said, I still...
0:34:29 > 0:34:31I'm quite passionate about it and I think it's got great mileage,
0:34:31 > 0:34:35because it offers something unique that hasn't been done before.
0:34:35 > 0:34:39So, tasting alcohol shots at 11 o'clock on a Monday morning!
0:34:46 > 0:34:49Has that definitely got alcohol in it?
0:34:49 > 0:34:53Ah! If I'm going to be really critical, I'll say it's a bit soapy.
0:34:53 > 0:34:58- What is your position?- Er... the cost of £1.50 per unit...
0:34:58 > 0:35:01But these raw materials, they're very basic.
0:35:01 > 0:35:02You know, 40% water,
0:35:02 > 0:35:06so I will immediately be challenged on that cost price.
0:35:06 > 0:35:09I've given you a target cost of where, ballpark, it needs to be.
0:35:09 > 0:35:10Yup.
0:35:10 > 0:35:13I mean, obviously, we've had a few conversations about that pricing
0:35:13 > 0:35:14so far.
0:35:14 > 0:35:17I do think that that is actually as far as we're going to get to.
0:35:17 > 0:35:21I know for a fact I won't be able to sign it off as £1.50.
0:35:21 > 0:35:26That is my feedback. So we're not far off. There's work to be done.
0:35:26 > 0:35:30It's 40% water in there, so I would challenge you that, you know,
0:35:30 > 0:35:32a lot of it is from a tap.
0:35:32 > 0:35:34Um...
0:35:34 > 0:35:36- OK.- I'm a believer in the product.
0:35:36 > 0:35:41- You need to somehow work your magic and get the cost revised.- OK.
0:35:41 > 0:35:45- We'll speak again, then, once I've had a chance to catch up.- Good.
0:35:45 > 0:35:50- OK. Thank you very much. - Thanks, Gemma.- Bye.
0:35:50 > 0:35:53- 'This is BBC Radio 4.' - 'Hello. Good afternoon.
0:35:53 > 0:35:55'The latest figures show what they call a dead heat
0:35:55 > 0:35:59'in the battle for Christmas between Tesco and Sainsbury's.
0:35:59 > 0:36:01'There were positive performances too for Iceland.
0:36:01 > 0:36:04'What does that tell us about the way we're shopping for food
0:36:04 > 0:36:06'and other essentials?'
0:36:07 > 0:36:09With just a few days until Christmas,
0:36:09 > 0:36:13the shopfloor staff are working their magic.
0:36:13 > 0:36:15The competition between rival branches to win
0:36:15 > 0:36:18customer service WOWs is entering the final push.
0:36:26 > 0:36:29Will you do me a favour? If you get a chance, will you give me a WOW?
0:36:30 > 0:36:34At Cheetham Hill, Nat and Helen are working the WOWs at the till.
0:36:36 > 0:36:37Put in your name and address
0:36:37 > 0:36:40- and you've got a chance of winning £1,000 a day.- Not a problem.
0:36:40 > 0:36:42We're really pushing the WOWs.
0:36:42 > 0:36:45I've been stood down near the till, making sure they're all asking...
0:36:45 > 0:36:48all our cashiers are asking everybody.
0:36:48 > 0:36:50All eyes are on the big prize.
0:36:50 > 0:36:53This is Malcolm, who owns Iceland, Malcolm Walker.
0:36:53 > 0:36:55He's the one that's going to present us with the 10 grand
0:36:55 > 0:36:59when we win it, when he comes here to the store.
0:36:59 > 0:37:02If you get a chance, while you're with the internet,
0:37:02 > 0:37:04do you fancy giving me a WOW?
0:37:04 > 0:37:06You must remember me when you win, OK?
0:37:07 > 0:37:10You don't have the internet? No?
0:37:10 > 0:37:12Oh, God! Thanks.
0:37:13 > 0:37:15We're definitely the underdogs.
0:37:15 > 0:37:18Just cos we're from a bit of a crappy area, it doesn't
0:37:18 > 0:37:24necessarily mean that we're not as good as Ewood and places up that end.
0:37:28 > 0:37:32Well, all the best. Have a lovely time. Cheers, love. See you now.
0:37:32 > 0:37:34There you are, love. £74, please.
0:37:37 > 0:37:41In Ewood, Lancashire, it's the last charm offensive for Jeanette
0:37:41 > 0:37:43and Jackie before they close for Christmas
0:37:43 > 0:37:46and the WOWs are totted up at head office.
0:37:46 > 0:37:49Did you know the original costume for Santa was green?
0:37:49 > 0:37:53It's Coca-Cola that changed it to red. Ah, see!
0:37:53 > 0:37:56I'm full of trivia like this! Do me a cup of tea?
0:37:57 > 0:38:01# Jingle bell, jingle bell Jingle bell rock... #
0:38:01 > 0:38:02The Christmas incentive is over.
0:38:02 > 0:38:05All the stores can do is wait and see who's won.
0:38:05 > 0:38:09# Snowing and blowing up bushels of fun... #
0:38:09 > 0:38:11We're done! Yes! We're done!
0:38:13 > 0:38:15# Jingle bell... #
0:38:15 > 0:38:17- A robot. I'm a robot!- Yeah. Hectic.
0:38:17 > 0:38:19Yeah. Have you got a Bonus Card, please?
0:38:19 > 0:38:22Merry Christmas, blahdy, blahdy. Are you well? See you. All the best.
0:38:22 > 0:38:25- Next! Yeah. That's what it's been like.- A bit hectic, yes.
0:38:25 > 0:38:29I'm sick of the site of turkeys and Baileys Gateaux.
0:38:29 > 0:38:32- That's all everybody's bought today. - Lots of selection boxes.
0:38:32 > 0:38:36- And Bucks Fizz. Bucks Fizz as well to go with bacon butties.- Yeah.- Yes.
0:38:36 > 0:38:37- So, yeah.- We've done well.
0:38:37 > 0:38:40We've done well. We've earnt our crust, anyway.
0:38:40 > 0:38:43Yeah, and I hope to God I don't see any more food now. I'm fed up of it.
0:38:50 > 0:38:54# Shoppers smile at the welcome
0:38:54 > 0:38:57# Friendly staff here to help them... #
0:38:57 > 0:39:01It's the head office Christmas party at Chester Racecourse.
0:39:01 > 0:39:03# Christmas in an Iceland wonderland... #
0:39:07 > 0:39:11HQ is left in the hands of father and son security guard team
0:39:11 > 0:39:14Tony and John - both black belts in karate.
0:39:39 > 0:39:41It's cost the company more than three and a half million pounds
0:39:41 > 0:39:46in electricity bills to keep its 55,000 freezers cold
0:39:46 > 0:39:50over its all important eight-week Christmas period.
0:39:50 > 0:39:52This is the garage.
0:39:52 > 0:39:55A Bentley with "Ice".
0:39:55 > 0:39:58It's the company's... Well, Malcolm's, I take it.
0:40:00 > 0:40:02# Iceland wonderland
0:40:02 > 0:40:04# Working in an Iceland wonderland
0:40:04 > 0:40:06# Iceland wonderland
0:40:06 > 0:40:09# Working in an Iceland wonderland
0:40:09 > 0:40:16# Welcome to an Iceland wonderland! #
0:40:16 > 0:40:18APPLAUSE
0:40:18 > 0:40:21Malcolm's been away on a charity expedition.
0:40:21 > 0:40:24He's pre-recorded a message with an important
0:40:24 > 0:40:26announcement about the Christmas sales results.
0:40:28 > 0:40:33OK, well, good morning, everybody. I do like to present...
0:40:33 > 0:40:35Sometimes I'm Father Christmas,
0:40:35 > 0:40:38but this actually isn't my Father Christmas outfit.
0:40:38 > 0:40:41This is the kit I shall be wearing next week,
0:40:41 > 0:40:44when I ski to the South Pole.
0:40:46 > 0:40:49Yeah, what an amazing year it's been.
0:40:49 > 0:40:52Starting off winning that fantastic award -
0:40:52 > 0:40:54the Best Company in Britain to Work For.
0:40:54 > 0:40:57Best Leader, as well. Well, of course.
0:40:57 > 0:40:59It maybe took our eye off the ball a little bit,
0:40:59 > 0:41:03cos sales just slipped a little in the first six months
0:41:03 > 0:41:05of this year, but we seem to have got over that now.
0:41:05 > 0:41:09I've just came out of the sales meeting, and sales seem to be
0:41:09 > 0:41:13flying, once again, so hopefully they still will be by the time I get back.
0:41:14 > 0:41:17So, everything's going swimmingly well.
0:41:19 > 0:41:24Sales are up 5%. The company's had its best Christmas in three years.
0:41:27 > 0:41:3074% of customers were saying stores were festive,
0:41:30 > 0:41:34versus only 34% previously. Most of them liked it.
0:41:34 > 0:41:37Customers particularly liked the decorations around the till poles,
0:41:37 > 0:41:39from the research on that, and it was a big jump.
0:41:39 > 0:41:40Well done, good.
0:41:46 > 0:41:49With business looking up, it's time to reward the staff.
0:41:55 > 0:41:58Malcolm will be surprising six stores up and down the country
0:41:58 > 0:42:01with a briefcase of £10,000 in cash.
0:42:05 > 0:42:09He'll be travelling from west to east, south to north,
0:42:09 > 0:42:12in a 1,000 mile round trip to cover all of his empire.
0:42:18 > 0:42:21Oh, bloody hell! It's real. I thought they were going to be...
0:42:21 > 0:42:24- No, it's real.- Bloody hell. I thought they were blank paper.
0:42:24 > 0:42:25Look after it!
0:42:25 > 0:42:28First stop, South Wales.
0:42:29 > 0:42:31Port Talbot.
0:42:32 > 0:42:38CHEERING
0:42:44 > 0:42:46The Port Talbot team will share the money,
0:42:46 > 0:42:49taking home between £200 and £700 each.
0:42:51 > 0:42:53Bit of a low-key reception, wasn't it(?)
0:43:05 > 0:43:08For Cheetham Hill, no news.
0:43:11 > 0:43:13Everybody's feeling positive,
0:43:13 > 0:43:16and they're all in, in case we do win, cos they want to see
0:43:16 > 0:43:20the briefcase of money, so we just have to wait and see.
0:43:20 > 0:43:22I want to roll on the floor in it.
0:43:22 > 0:43:24I want to put the money on the floor and roll.
0:43:24 > 0:43:27- Is it real money that he brings in? - Yeah.
0:43:27 > 0:43:28Imagine it in Cheetham Hill?
0:43:28 > 0:43:31They'll have gangs waiting outside, sat there going,
0:43:31 > 0:43:33"Come on, Malcolm, bring the money."
0:43:35 > 0:43:37But in rival store Ewood,
0:43:37 > 0:43:40a phone call for store manager Craig.
0:43:40 > 0:43:41Morning, Graham.
0:43:41 > 0:43:43(ON PHONE) 'Morning.'
0:43:56 > 0:43:59Listen, thanks for today. I know it's been busy and stuff.
0:43:59 > 0:44:02I've got some disappointing news.
0:44:02 > 0:44:04- Unfortunately, we didn't make it in. - Aw.
0:44:06 > 0:44:07Aw!
0:44:07 > 0:44:09- OK?- All right. Never mind.
0:44:09 > 0:44:11Thank you, anyway, cos I know you've all come out of hours,
0:44:11 > 0:44:14and it was a great effort by everybody.
0:44:14 > 0:44:16- We had a really good crack at it, didn't we?- We enjoyed it.
0:44:16 > 0:44:19It's brightened the store up and the customers, hasn't it?
0:44:20 > 0:44:23I wouldn't say I was hurt, no, but at the end of the day,
0:44:23 > 0:44:25we always do our best.
0:44:25 > 0:44:29And I think if you had to ask our customers, they like our best.
0:44:29 > 0:44:32We enjoyed doing it, we enjoyed the atmosphere,
0:44:32 > 0:44:36the customers enjoyed it, loved the store... That's all that counts.
0:44:36 > 0:44:37Not winning.
0:44:37 > 0:44:41I'm going to have a couple of minutes on my own, guys, if you don't mind.
0:44:50 > 0:44:53At head office, desserts buyer Gemma is also waiting for news.
0:44:57 > 0:45:00It's time for Nigel to decide whether her alcoholic jelly shots
0:45:00 > 0:45:02will be in the new party range.
0:45:07 > 0:45:09So, the counts were divided on this one.
0:45:09 > 0:45:12You've got a few reservations about jelly shots.
0:45:12 > 0:45:17We've got tequila sunrise, pina colada, and champagne and strawberry.
0:45:17 > 0:45:21It's all natural, all fruit juice, dig in.
0:45:21 > 0:45:24- I just don't know about these, Gem. - No?- No...
0:45:27 > 0:45:30Can we... Can you... Can you take it like a shot? Does it work?
0:45:30 > 0:45:32No, you have to spoon it.
0:45:32 > 0:45:35- THEY LAUGH - Spoon.- Yeah.
0:45:36 > 0:45:39Gem, that is violently sweet.
0:45:39 > 0:45:41Sorry, really not for me.
0:45:41 > 0:45:43It's like a glob of gum.
0:45:43 > 0:45:46Shall we put it on the sub's bench for now or...?
0:45:46 > 0:45:49No, I think there's a general sort of shake of the heads around the place.
0:45:49 > 0:45:53- OK.- Look, I get where you were coming, don't get too upset about it.
0:45:56 > 0:46:00He's got a really good instinct for good sellers, bad sellers...
0:46:00 > 0:46:02He can spot a dog a mile off.
0:46:02 > 0:46:05Now it's Alistair's turn.
0:46:05 > 0:46:07After four weeks of tweaking,
0:46:07 > 0:46:11the samples of his Thai products are ready.
0:46:11 > 0:46:13Definitely got pre-match nerves this year.
0:46:15 > 0:46:18If sometimes you have a product that just
0:46:18 > 0:46:23goes down like a sack of shit, Nigel will remember that, so, yeah...
0:46:23 > 0:46:25I'm definitely pre-match nerves.
0:46:25 > 0:46:29First up, Alistair's prawn products.
0:46:29 > 0:46:35OK, a product that M&S had, which we quite liked the idea of,
0:46:35 > 0:46:37was Prawns in Blankets.
0:46:37 > 0:46:40I'm not sure if that's pushing it one notch too far, for me...
0:46:40 > 0:46:43- What, Prawns in Blankets? - Wrapping prawns in bacon.
0:46:43 > 0:46:45Do you know what, I've probably been put off by how bad that looks,
0:46:45 > 0:46:47if I'm really honest.
0:46:47 > 0:46:49I mean, cutting up a few tomatoes and making it look nice on the side
0:46:49 > 0:46:52of the plate doesn't compensate for looking that rubbish, does it?
0:46:52 > 0:46:55- Um, back to the drawing board. - Yeah, fair enough.
0:46:55 > 0:46:57I like them.
0:46:57 > 0:47:01Nigel has spotted Alistair's rice crispy style prawns.
0:47:01 > 0:47:05Can we get to a point where we've got that visual on a product,
0:47:05 > 0:47:09- that's a prawn product, at a pound.- I like that a lot.
0:47:09 > 0:47:11I think that's a really good product, I like the concept.
0:47:11 > 0:47:14I think the product's great, I love the texture. Amazing.
0:47:14 > 0:47:16That delivers really well. It tastes really good.
0:47:18 > 0:47:20You look at that and you go, "Do you know what?
0:47:20 > 0:47:22"I know that will sell. I know I can make that work."
0:47:22 > 0:47:27Do you know what? Launch it. Get on with it. Just get it launched.
0:47:27 > 0:47:29So, you know, big high-five all round, really.
0:47:31 > 0:47:33Just get it launched.
0:47:40 > 0:47:43There's a shiny car. Look! There's a shiny car! Look, yeah.
0:47:43 > 0:47:46It's gone the wrong way, but there's a shiny car.
0:47:46 > 0:47:50It's the afternoon. Still no sign of Malcolm at Cheetham Hill.
0:47:50 > 0:47:53You can tell the traffics bad coming out of town,
0:47:53 > 0:47:55cos there's a lot of finger. A lot of it.
0:47:55 > 0:47:58If Malcolm doesn't show up by closing time,
0:47:58 > 0:48:00the money's not coming.
0:48:01 > 0:48:06It's ten to two now, so we're a bit anxious now.
0:48:19 > 0:48:21Why couldn't you land in car park?! THEY LAUGH
0:48:23 > 0:48:24There's a big one over there.
0:48:24 > 0:48:26You're the winners!
0:48:26 > 0:48:28CHEERING
0:48:31 > 0:48:33I'm going to shop here more often!
0:48:35 > 0:48:38- Guys, well done. Congratulations. See you soon.- Oh, yeah. The money!
0:48:40 > 0:48:43Unfortunately, they don't actually get the cash.
0:48:43 > 0:48:45It goes in their wage packet, subject to tax.
0:48:45 > 0:48:49Right, you've got to finish that champagne off now, ladies.
0:48:52 > 0:48:54I just seen a helicopter go over.
0:48:56 > 0:48:59With five stores around the country awarded £10,000,
0:48:59 > 0:49:02it's the sixth and final stop for Malcolm - the north of England.
0:49:05 > 0:49:07There are still three stores in the running...
0:49:07 > 0:49:09Scunthorpe...
0:49:09 > 0:49:12Malcolm, Nick and Richard are now on their way to the winner.
0:49:12 > 0:49:13So, not long!
0:49:15 > 0:49:17..Skegness...
0:49:17 > 0:49:19Still nothing.
0:49:20 > 0:49:25Looking out for a very posh car with Malcolm and a briefcase.
0:49:25 > 0:49:29You don't get many big, posh cars in Skegness.
0:49:30 > 0:49:32..and Cheetham Hill...
0:49:32 > 0:49:35Only one will win.
0:49:42 > 0:49:45They're keeping us in suspense. That's what they're doing.
0:49:45 > 0:49:46Definitely.
0:49:46 > 0:49:48Here we are. Where's the lot?
0:49:48 > 0:49:50CHEERING
0:49:52 > 0:49:53The winner - Cheetham Hill.
0:49:55 > 0:49:57Well done, Nat, congratulations.
0:49:57 > 0:49:59Amazing.
0:49:59 > 0:50:01Congratulations.
0:50:01 > 0:50:04Is that them won it?
0:50:09 > 0:50:11Ten grand!
0:50:11 > 0:50:14Now I can decorate my daughter's bedroom, can't I?
0:50:16 > 0:50:20You've got to have some integrity about running your business.
0:50:20 > 0:50:23I think you've got to treat people as you want to be treated.
0:50:23 > 0:50:26I can remember working for Woolworth's -
0:50:26 > 0:50:28the only job I've ever had.
0:50:28 > 0:50:29It was horrible. I hated it.
0:50:32 > 0:50:35To treat people the way you'd like to be treated yourself
0:50:35 > 0:50:37is ethically the right thing to do.
0:50:37 > 0:50:41Now, not only is it the right thing to do, but it puts cash in the till.
0:50:41 > 0:50:47To lift morale, to have enthusiastic and well-motivated staff,
0:50:47 > 0:50:52to have staff that actually enjoy coming to work as best they can...
0:50:52 > 0:50:55Maybe, at the end of the day, nobody likes going to work...
0:50:55 > 0:50:58I do, but maybe a lot of people don't.
0:50:58 > 0:51:00You've just got to make it as bearable
0:51:00 > 0:51:03or as pleasurable as possible.
0:51:03 > 0:51:06Make sure you get some champagne. Paul's got the champagne behind you.
0:51:06 > 0:51:07Grab a glass.
0:51:07 > 0:51:10- I can't stop smiling! - You just can't let go of that money!
0:51:10 > 0:51:13Over the moon.
0:51:13 > 0:51:15It's amazing. It really is.
0:51:15 > 0:51:17And we deserved it.
0:51:17 > 0:51:19I can actually say that I've met a millionaire now,
0:51:19 > 0:51:21and he was a very nice man, actually.
0:51:21 > 0:51:25He gave me a kiss on the cheek and everything. It was great.
0:51:28 > 0:51:30My own personal sugar daddy. Only not.
0:51:34 > 0:51:37Despite the buoyant Christmas results,
0:51:37 > 0:51:42an unexpected announcement is about the change the new year for Malcolm.
0:51:45 > 0:51:47REPORTER: A leading meat supplies has recalled ten million
0:51:47 > 0:51:52beef burgers from supermarkets in the UK and Ireland, as an investigation
0:51:52 > 0:51:55begins into the origin of horse meat found in some products.
0:51:59 > 0:52:04In Tooting, assistant store manager Chris has received a package.
0:52:04 > 0:52:08It's been sent to all stores from head office with bad news.
0:52:09 > 0:52:12The Food Safety Authority of Ireland has discovered traces
0:52:12 > 0:52:15of horse DNA in an Iceland burger.
0:52:21 > 0:52:23"Food Safety Authority of Ireland yesterday issued
0:52:23 > 0:52:26"a report on frozen burgers, which stated that traces of horse
0:52:26 > 0:52:28"and pig DNA had apparently been found in two batches
0:52:28 > 0:52:31"of Iceland quarter-pounder burgers."
0:52:33 > 0:52:36They'll receive a full refund and an apology.
0:52:39 > 0:52:42Me and boyfriend was like, "No! Horse meat!" We love horses,
0:52:42 > 0:52:44they were in the Olympics and stuff.
0:52:44 > 0:52:48You just think, how can you put horse in a burger?
0:52:49 > 0:52:52Really upset me. I love animals. All kinds of animals.
0:52:52 > 0:52:55Like, how the world is now... Like, how they're, just...
0:52:55 > 0:52:58There's hardly any gorillas left, tigers,
0:52:58 > 0:53:01and now they're just eating horse.
0:53:01 > 0:53:03Could have been going on weeks and months, maybe last year,
0:53:03 > 0:53:05maybe two years.
0:53:05 > 0:53:07But nobody had picked it up.
0:53:07 > 0:53:09Does it make you nervous that you might have eaten burgers
0:53:09 > 0:53:12- with horse in them? - Might have been, yeah.
0:53:12 > 0:53:13I just wake up in the morning and hope
0:53:13 > 0:53:16I haven't got a horse's tail, that's what I worry about!
0:53:21 > 0:53:24Monday morning, and Malcolm's back at head office.
0:53:28 > 0:53:31All the newspapers are running with the horse meat story.
0:53:31 > 0:53:35Even in the Telegraph. Less of a scandal there, though.
0:53:37 > 0:53:40"Shergar and Fries." HE LAUGHS
0:53:42 > 0:53:47Horse meat found in Tesco burgers. I mean, we're delighted, of course.
0:53:49 > 0:53:52You know, it's like an advert that we've paid for, isn't it?
0:53:52 > 0:53:55Then the bad news is that we got a mention as well.
0:53:55 > 0:53:59The percentage was 0.1.
0:53:59 > 0:54:02In other words, it's contamination. It blows over.
0:54:02 > 0:54:04I mean, this is last week's news.
0:54:05 > 0:54:08This week's different. It's about the snow.
0:54:11 > 0:54:14The trouble for Malcolm is that his company's name is now
0:54:14 > 0:54:16indelibly linked to the scandal.
0:54:16 > 0:54:19Responsibility for finding out how horse DNA was found
0:54:19 > 0:54:23in their beef burgers has fallen to technical manager Trish.
0:54:25 > 0:54:27It was a very big shock for me,
0:54:27 > 0:54:31because horse is not included as an ingredient in any of our burgers.
0:54:32 > 0:54:35I took a call from the supplier who said that the tests results
0:54:35 > 0:54:38illustrated that it was an ingredient supplier of theirs from
0:54:38 > 0:54:43a Dutch firm, which has been proven to be the source of the equine DNA.
0:54:43 > 0:54:45Now, I'm not saying we used horse,
0:54:45 > 0:54:47but I am saying we used that supplier, OK?
0:54:47 > 0:54:51It's important to bear that in mind. There's a difference.
0:54:51 > 0:54:55The next results I'll be getting...will be telling...
0:54:55 > 0:54:57I've got no idea, I can't remember. I'm very sorry.
0:54:57 > 0:55:00Was I allowed to do that? Can you cut? Sorry.
0:55:02 > 0:55:04- I don't know what I'm getting. - What did you do?
0:55:04 > 0:55:07I just completely lost it. And I as doing well.
0:55:07 > 0:55:10- You were doing really well. - Very well.- Thanks.
0:55:10 > 0:55:12Um, OK.
0:55:12 > 0:55:14Our world has now slightly shifted.
0:55:14 > 0:55:16We had never considered horse before.
0:55:16 > 0:55:18But what else do we now need to consider?
0:55:18 > 0:55:20Should we be thinking about different species?
0:55:20 > 0:55:23You're obviously badly blindsided if your company has got
0:55:23 > 0:55:25something in the product that you didn't know about.
0:55:25 > 0:55:29You don't know what to do, you have to figure it out
0:55:29 > 0:55:33and make decisions really quickly. On the hoof? Can I say that?
0:55:33 > 0:55:35Is it a bit corny? But it is true.
0:55:36 > 0:55:38- Hi.- Hello.
0:55:40 > 0:55:43- You've come to see the horse? - Please. Do you have it?
0:55:43 > 0:55:47PR consultant Keith has found a home video shot in Tesco
0:55:47 > 0:55:49that's gone viral.
0:55:49 > 0:55:52According to Google, there's more than one of these.
0:55:52 > 0:55:55There's one in Tesco in Loughborough, as well.
0:55:59 > 0:56:02SHOUTING AND LAUGHTER
0:56:09 > 0:56:12It could have been us, Keith.
0:56:12 > 0:56:15- There but for the grace of God. - Absolutely.
0:56:15 > 0:56:18Before this became mainstay of jokes throughout the country,
0:56:18 > 0:56:21one of our customers posted on the Iceland Facebook page,
0:56:21 > 0:56:24"Thank you, Iceland, for making our family's dream come true.
0:56:24 > 0:56:27"We told our daughter we couldn't afford to buy her a pony."
0:56:27 > 0:56:32That was within a few hours of the thing breaking.
0:56:32 > 0:56:37By and large, it has been...
0:56:37 > 0:56:42sort of humour rather than anything else.
0:56:43 > 0:56:46So, the reaction has been less negative than we were hoping?
0:56:46 > 0:56:49- Than we were fearing. - Fearing, absolutely.
0:56:49 > 0:56:53How significant can this kind of scandal be?
0:56:55 > 0:56:58Potentially, very significant indeed,
0:56:58 > 0:57:01in terms of loss of customer trust.
0:57:01 > 0:57:03Hello.
0:57:03 > 0:57:06All the work at Christmas to repair sales is now under threat.
0:57:07 > 0:57:09Hello, can you hear me?
0:57:09 > 0:57:12'It's a nightmare. It's only a nightmare because sales are down.'
0:57:14 > 0:57:18You know, we employ 25,000 people. There's jobs at stake here.
0:57:22 > 0:57:25We've got to fight back. And it's knowing how to.
0:57:25 > 0:57:28Next time, the horse meat crisis deepens...
0:57:28 > 0:57:32Trish is called to the House of Commons to defend the company...
0:57:32 > 0:57:35- I've not seen Iceland's apology. - I'm sorry this has happened.
0:57:35 > 0:57:37Of course I am.
0:57:37 > 0:57:41Armed with clear test results, Malcolm goes on a media rampage.
0:57:41 > 0:57:44Personally, I wouldn't eat value supermarket products,
0:57:44 > 0:57:48because they won't contain much meat. There'll be other things in there.
0:57:48 > 0:57:51Will his plain speaking be the answer to his problems
0:57:51 > 0:57:54or a recipe for disaster?
0:57:54 > 0:57:56Here we are in the PR nerve centre of Iceland,
0:57:56 > 0:57:59at the end of 96 hours of total hell.
0:57:59 > 0:58:02Would you like to find out more?
0:58:02 > 0:58:05Join the Open University in exploring the changing face
0:58:05 > 0:58:08of the high street and discover what's in store for the future.
0:58:08 > 0:58:11Go to...
0:58:12 > 0:58:15Follow the links to the Open University.
0:58:24 > 0:58:26Subtitles by Red Bee Media Ltd