JANUARY 2012 Vol 56 No 01
INSIDE: NOffLA Names Top Stores
Have Your Say: Time For Rates Reform Design On A Shoestring
What lies in store for the economy and the drinks industry in 2012 and beyond?
New look pack, [IUM classic 1ZQ[P ZMKQXM [\QTT \PM XMZNMK\
take the Marco
challenge Visit
WZ [KIV* \PQ[ 9: KWLM \W \ISM aW] [\ZIQOP\ \PMZM +WUXI\QJTM [UIZ\XPWVM _Q\P 9: KWLM ZMILMZ ZMY]QZML 5WJQTM VM\_WZS IVL WZ _Q̉Å KPIZOM[ UIa IXXTa +WV\IK\
1. 2. 3.
Take KNORR Beef Paste Bouillon and a little olive oil 5Q` QV\W I ÅVM XI[\M IVL UI[[IOM onto a steak =[M \PM XI[\M \W [MI[WV W\PMZ [QLM WN [\MIS QV I XIV
*
aW]Z VM\_WZS XZW^QLMZ NWZ UWZM QVNWZUI\QWV
www.makeitlikemarco.ie
LICENSING WORLD JANUARY 2012 Vol 56 No 01
n
inside NEWS
News
6 US Beam Purchases Cooley Distillery 7 Midleton Plans e100 Million Expansion 8 End of Dublin Tourism Quango 9 Beer Consumers Want Government Support 10 Irish Pub Named Ireland’s Top Attraction – Again
24 n
Cover Story
12 THE ROAD AHEAD DCU economist, Tony Foley, considers the Irish economy and prospects for the drinks industry in 2012 with minimum alcohol pricing and the National Substance Misuse Strategy scheduled for the months ahead.
n
Features
14 Dublin Pubs Plan Friday Celebrations Under the stewardship of the LVA, Dublin publicans are launching a e1 million campaign to reverse dwindling Friday after work drinking patterns and reclaim the three-day weekend.
6
16 Have Your Say… John Conran, of Irish Employers for Affordable Rates (IEAR), explains why commercial authority rates are an unwelcome form of taxation that are hindering business growth and the on trade’s ability to create jobs. 18 Design on a Shoestring Award-winning designer, Audrey Gaffney, gives guidance on the latest trends in pub design and advises how to upgrade your premises without having to spend major capital.
18
20
n
OFF LICENCE
20 Independents Shine At NOffLA Awards 42 of the country’s leading independent off licences battled it out to see who would reign supreme as the Off Licence of the Year 2012. See inside for the full report. 22 Industry Profile Jimmy and Aidan Redmond, owners of Redmond’s Off Licence of Ranelagh, Dublin 6, explain the importance of community and service in the ultra-competitive off trade business.
28
22
24 Wine This month learn how to improve wine sales through music, discover why South African winemakers are looking forward to the year ahead and read about the latest suppliers to offer in-demand low alcohol wines.
n
Regulars
26 Training: Handling high volumes of cash requires constant vigilance, here we detail the right approach to cash management. 28 Food Focus: It’s official, Irish consumers love Thai food. Here you will find easy-to-follow Thai recipes from popular Dublin eatery Saba.
*
*Nielsen MAT ending Nov 27th 2011
For trade sales and customer queries ph: 01 2434900 www.johnplayer.ie
Ban Cheap Booze Properly And Intelligently n Alcohol is an addictive drug, like it or not, that’s the reality. As with all addictive substances there are bad aspects, but unlike the other majority, and rather unique to alcohol, here we have a drug that also yields many important positives for society – there is good with the bad. Properly controlled and responsibly served, alcohol is an enjoyable substance and one that has a valuable place in society. After all, we talk of enjoying a pint for a very good reason, it allows individuals to come together in a meaningful way. The pub, first and foremost, is a place to gather, a place to be sociable, it is a hub for community interaction. The pub is a place where all are welcome and where you will find characters from all walks of life, content to sit together under the one roof. As such, love it or hate it, the pub fulfils a very real need in Irish society for a place of acceptance, banter and social interaction. That is an incredible thing, and for those who are still wondering, that is why Lonely Planet has just named the Irish pub – again – as the number one tourist attraction we have. It’s not the loos, it’s not the food, it’s not even getting in out of the rain, it’s the social power of the Irish pub that mesmerises tourists and leaves then in admiration of such a community integrated environment. It should also be pointed out that alcohol is a major Irish employer too, both directly and indirectly. As well
as being part of our manufacturing industry, alcohol is an incredibly successful international attraction, we’ve mentioned the pub, but also consider the tourist pulling power of the Guinness Storehouse, which receives over one million visitors each year, then there’s the rapidly growing Jameson Distillery in Dublin’s Smithfield, and the beauty of the Midelton Distillery in Cork. Yet of course there is a flip side to this coin, alcohol can be a powerfully destructive force – and because of this it must be harnessed to minimise its negative effects on society. In other words, alcohol needs to be controlled, properly priced and responsibly served at all times. One of the greatest sins perpetrated against Irish society in recent years was by the former Government who refused to listen to advice and allowed alcohol to become a below-cost product. The full damage this bull-headed approach has done to society is not yet known, but already we have seen a huge shift in how younger generations perceive alcohol. Alcohol to them is a cheap product, that can be bulk purchased and consumed in large quantities at home before going out. Such perceptions should never have been allowed to develop. However, the opportunity is there for the current Government to reverse, if not the damage then at least the trend. Alcohol should never be used as an
editor’s letter ‘attraction’ to get customers to come to a store, it should not be, to coin a term, a ‘footfall driver’. To purchase alcohol identification should be mandatory, no excuses, full stop. Minimum pricing of alcohol is needed in this country, but it must be approached properly and with forethought. Reports have already suggested a possible link between pricing and alcohol content, however such an approach could be easily overcome by a lowering of the ABV. Consumers are unlikely to care or give much attention to 3.4% ABV as opposed to 4.3% if the price is right. If Roisin Shortall TD, Minister of State, Department of Health, is serious in her intentions to tackle these issues, as she has indicated, then let’s hope she takes such considerations on-board. She has an opportunity to make a meaningful change to Irish society and for the better, we wait with bated breath.
Nigel Tynan Editor
Email: n.tynan@jemma.ie
What are your thoughts? Where do you stand on the ‘ban cheap booze’ debate? If you wish to share your opinion please send your comments to the editor at n.tynan@jemma.ie
Editor: Nigel Tynan Managing Director: Simon Grennan Chairman: Frank Grennan Commercial Manager: John Corcoran Contributors: James Murphy, Andy O’Gorman, Lorraine Rowland Design and layout: Jeannie Swan Production Manager: Jim Heron Circulation Manager: Nicola Hickey Subscriptions: Josie Keane Administration: Marian Donohue Printing: SPS, Wicklow Published by: Jemma Publications Ltd, Broom House, 65 Mulgrave Street,
Dun Laoghaire, Co Dublin, Tel: 01 214 7920 Fax: 01 214 7950 Email: sales@jemma.ie Editorial email: n.tynan@jemma.ie Advertising email: j.corcoran@jemma.ie Subscription: Tel: 353 (1) 214 7920 or online www.licensingworld.ie Fax: 353 (1) 214 7920 Email: sales@jemma.ie Jemma Publications publishes the following titles: Hotel & Catering Review,
Irish Hardware, Irish Printer No part of Licensing World may be reproduced, copied or transmitted in any form without permission of Jemma Publications. ISSN: 1393 0826
LICENSING WORLD JANUARY 2012
NEWS
US Beam Purchases Cooley Distillery
Model Georgia Salpa with Cooley Distillery’s award winning Kilbeggan Irish Whiskey
US drinks spirits company, Beam, has purchased Louth-based Cooley Distillery for $95 million. The acquisition is likely to lead to significant investment by Beam which is a major global player in the spirits market. The purchase, which includes whiskey brands Kilbeggan, Connemara, Tyrconnell and Greenore, brings Beam into the Irish whiskey sector for the first time. Cooley currently sells approximately 250,000 nine-litre cases per year – divided among its brands, private label products and bulk sales to third-party customers. However the Louth distillery has production capacity to support ‘substantial’ future growth. Beam states it expects the acquisition to be earnings neutral in 2012. Matt Shattock, president and chief executive officer of Beam, stated, ‘Cooley is one of only three sources for Irish whiskey, and the only independent player, so this transaction is a unique high-return opportunity to enter one of the industry’s highest growth categories. We see the opportunity to leverage our combination of scale with agility to build consumer demand for Cooley’s brands and to expand distribution off a relatively small base in key export markets for Irish whiskey across North America and Europe.’ The Irish whiskey category grew 11.5% in 2010 to 4.86 million cases according to Impact Databank. The leading markets for Irish whiskey, states Impact, are the United States, Ireland, the United Kingdom, France, South Africa and Germany.
BEAM FACTS Net Sales 2010: Global Vol: Employees: Sales spilt:
$2.7 billion 33 million (9-litre cases) 3,200 worldwide 55% USA 25% Europe/Middle East/Africa 20% Asia Pacific/South America
Brands: Jim Beam Bourbon, Maker’s Mark Bourbon, Sauza Tequila, Courvoisier Cognac, Canadian Club Whisky, Teacher’s Scotch, Skinnygirl Cocktails, Laphroaig SingleMalt Scotch, Knob Creek Bourbon, Hornito Tequila, Cruzan Rum, Effen Vodka, Pucker Flavored Vodka, Sourz Liqueur, DeKuyper Cordials (US), Whisky DYC (Spain), Larios Gin (Spain).
Guinness Offers Mid-Strength Nationwide
Guinness is offering its 2.8% ABV ‘Mid-Strength’ stout nationwide after an extensive trialling of the brand in 600 bars. The lower alcohol Guinness – normal Guinness has a 4.2% ABV – was first introduced in Limerick and Dublin in 2006. Since then it has been trialled in golf, GAA and other sporting bars. According to Guinness master brewer, ‘Mid-Strength is a great alternative for times when you want to socialise with friends but there are limitations on the amount of alcohol you’d like to consume. It has the same distinctive taste, texture and unmistakable look as Guinness. We invested a lot of time in developing this product so that there is no compromise on taste compared to Guinness.’
MEAS Calls For Ban On Below Cost Alcohol
MEAS has called for the Government to ban below cost selling of alcohol and has urged the Government to make identification a mandatory requirement for persons under 20 years of age. Speaking at the Oireachtas Joint Committee on Health and Children, CEO of MEAS and drinkaware.ie, Fionnuala Sheehan, said, ‘the Groceries Order was effective in addressing below cost selling of alcohol and its re-introduction should also be seriously considered as a way of addressing concerns relating to low priced alcohol.’ Ms Sheehan highlighted what she called ‘an anomaly’ in the law relating and stressed the need for 1820 year olds to have ID when purchasing alcohol. ‘There should be an onus on the purchaser to produce ID as well as on the server/seller to request ID. At present there is confusion at the consumer and retailer levels as to what constitutes legally valid ID. The introduction of a universal ID card that would be necessary to access all State services and benefits, as well as the purchase of alcohol, would better support compliance with the laws relating to the purchase and sale of alcohol.’
Hospitality Show Opens Next Month Hospitality 2012 takes place from 20-22 February in the Industries Hall, RDS, Ballsbridge, Dublin 4. This year’s exposition features a sustainable kitchen demonstration of low energy induction hobs and ovens. Meanwhile chefs will be hosting live cooking demonstrations, with practical advice on menu choice and margins, and chef Martin Potts of Fáilte Ireland will be demonstrating how to make profitable tapas. The Bacardi Cocktail Competition & Academy will be hosted by the Bartenders Association of Ireland (BAI) and Fáilte Ireland are planning a mini Meitheal experience where visitors can book a 20 minute one-to-one session with industry professionals, including chefs and service experts. Full details and preregistration are available now on www. hospitalityexpo.ie.
Dublin Publicans Receive Quality Approval
Dublin pubs have received their certificate of recognition from Tony Lenehan, head of Industry Quality and Standards, Fáilte Ireland, last month. Pictured l-r (back row): Michael Lacey, The Yacht Pub; James Hanlon, Fagans Pub; Redmond Doran, Davy Byrnes Pub; Enda Keogh, Peter’s Pub; Eddie Fitzgerald, The Baggot Inn (front row) Darren Moore, The Church Café Bar; Jenny Chawke, The Goat Bar & Grill; Charlie Chawke, The Bank on College Green; Liza Chawke, The Dropping Well; Ali Chawke, The Old Orchard Inn; and Tony O’Dwyer, The Stillorgan Orchard. Register your interest for accreditation by visiting www.onlinelistingtool.failteireland.ie or by emailing approvedpubs@failteireland.ie
LICENSING WORLD JANUARY 2012
NEWS
Midleton Plans e100 Million Expansion
An artist’s image of the new potstill house that will be built as part of a e100 million expansion of Irish Distillers’ Midleton Distillery in Cork
Irish Distillers Pernod Ricard plans to invest e100 million in expanding its Midleton Distillery in Cork creating 60 new jobs in the process. With Midleton already at full capacity, the investment will ensure Jameson Irish Whiskey can continue to grow globally and meet demand predictions in the coming years. The investment will bring the company’s total employee numbers in Ireland to 560 – 30 of the jobs will be at the distillery in Midleton and 30 will be at the company’s bottling plant at Fox & Geese in Dublin. The expansion, which will include a new pot still house, is expected to begin this year and is scheduled to take 15 months. Guinness master brewer Feargus Murray raises a pint of the black to celebrate over 1.6 million tourist tasting Guinness for the first time at the Guinness storehouse.
Storehouse Grows Visitors BY 10% The Guinness Storehouse saw visitors rise last year by 10% to welcome over one million people – making it Ireland’s number one international visitor attraction. Last year saw high profile visits by both Queen Elizabeth II and US president Barack Obama. To date over nine million visitors have toured the attraction primarily from the USA, UK, Ireland, Italy and Germany – approximately 50% of all Dublin holidaymakers visit the Storehouse.
Restaurants Consider JLC Court Challenge The Restaurants Association of Ireland (RAI) has warned of a possible court challenge against the reintroduction of the JLC wagesetting system. Adrian Cummins, chief executive of the RAI, has said the constitutionality of the entire JLC system is currently examined by the RAI. ‘If we find that the proposals are unconstitutional, our members will be asked if the Association should proceed with a constitutional challenge,’ he warned.
PROMOTION
Heineken celebrated the art of pulling the perfect pint at the Star Serve finals in Cork and Dublin recently. Heineken Star Serve programme perfects the long tradition of pouring a pint and ensures the pint is poured perfectly every time, sealing in the fresh, crisp taste under the head for longer. Held in The Savoy in Cork and Tripod in Dublin, the Star Serve finals saw bartenders from pubs across Munster and Leinster compete for the title of Star Serve Champion. Over 750 people attended both events where competitors were put through their paces in a series of intense heats.
Eoin credits for his success in the competition. When pouring the perfect pint from a Heineken Served Extra Cold tap, Eoin recommends that bartenders: 1. Take their time and follow the four steps. 2. Make sure they hold the glass at a 45° angle and drop the glass a bit. 3. Don’t rush the pour, it does work. Jose Cardoso has also been perfecting the four step pour in Russell’s of Ranelagh. As an experienced barman Jose sees it as the best way to serve beer. In Jose Cardoso, his opinion, the Star Serve pour Russell’s of Ranelagh ensures Heineken tastes the way it should. Jose’s tips for perfecting the pour are: 1. Take your time and picture yourself in front of your favourite customer. 2. Make sure you hold the glass at a 45° angle – it’s what helps the head of the beer. 3. Follow the four steps of Heineken Star Serve and wait for the compliments to start!
Eoin Condon, Nancy Blake’s Eoin Condon from Nancy Blake’s in Limerick was crowned Star Serve champion in Cork while Jose Cardoso took the title in Dublin. Both winners walked away with the prize of a VIP trip each to the UEFA Champions League final in Munich in May 2012. Heineken has been training the staff at Nancy Blake’s in the four step Star Serve pour and and it is this training which
LOG ON TO WWW.HEINEKEN.IE TO FIND OUT MORE ABOUT THE FOUR STEP HEINEKEN STAR SERVE.
LICENSING WORLD JANUARY 2012
NEWS
End Of Dublin Tourism Quango Dublin Tourism has merged with parent body Fáilte Ireland as part of the Government’s programme to reduce the number of agencies and quangos. The merger is the third rationalisation conducted by Tourism Minister Varadkar, TD, following the merger of Coaching Ireland with the Sports Council, and the disbandment of Dundalk Port Company and the transfer of its management to Dublin Port. The board of Dublin Tourism has been disbanded and its staff are moving to Fáilte Ireland. ‘Dublin Tourism has performed a valuable role in promoting the capital, but inevitably there has been considerable overlap with the work of Fáilte Ireland,’ stated Minister Varadkar.
SHORTS
Boston Remembers Famine
Boston and Drogheda are the locations for the 2012 International Commemoration of the Great Irish Famine. According to Minister Deenihan TD, Minister for Arts, Heritage and Gaeltacht and chair of the National Famine Commemoration Committee, ‘Drogheda was the second largest port of departure for over one million people who were forced to emigrate. Many of these people arrived in Boston, full of hope for a better life.’
Ireland Looks To French Connection
Tourism Ireland is hoping to entice 40% more French tourists to Ireland in two years. Following a review of the French tourism market, the tourism body has found Ireland offers strong appeal with 344,000 French visitors coming here in 2010, delivering e177 million in revenue.
Heineken Launches Online Beer Hub
Thisisbeer.ie is a new online beer hub by Heineken Ireland that seeks to celebrate the natural goodness of beer. The website offers brewing related information and food matching recipes. Regular blog contributions will come from a wide range of beer experts and will cover such topics as nutrition and food, true or false beer quizzes and tips on how to pour, store and cool beer for the discerning beer drinker.
LICENSING WORLD JANUARY 2012
Pauric Kennedy from awardwinning cocktail bar Harry’s on the Green has become Finlandia Vodka’s Ultimate Irish Master Mixologist for 2011. Pauric used his prowess in mixology to overcome tough competition from nine talented opponents from cocktail bars all over Ireland and claimed e500 in prize money. During the event competitors had to impress the panel by mixing a long drink of their own creation. Pauric’s winning entry, The Viking’s Sage, is made from Finlandia Grapefruit vodka, Benedictine Liqueur, peach puree and lime juice shaken with muddled orange, honey and sage leaves, topped with crushed ice and garnished with an orange twist and sage sprig. Pauric will now represent Ireland at the 14th International Finlandia Vodka Cup Finals in Finland which offers a prize fund of e25,000.
Hospitality Insolvencies Rise Hospitality insolvencies increased by five per cent in 2011 accounting for 204 of the 1,638 business insolvencies last year, reports InsolvencyJournal.ie. Meanwhile figures by Vision-net show the rate of company failures in Ireland last year increased by 20% on the same period in 2010, equating to an average of five companies collapsing each day.
Cooley Launches Pot Still Poitín Cooley Distillery has launched a new range of poitín products to showcase the traditional Spirit of Ireland. ‘Before there was Irish whiskey there was poitín – a clear Irish spirit famous for its alcohol strength,’ states Jack Teeling, managing director of Cooley Distillery. ‘Over the years it has been demonised because it was illegally produced and the end product lacked consistency, quality and credibility. We have produced a quality poitín product using ancient techniques in our awardwinning distillery allowing consumers of today try this ancient Irish spirit with confidence as they are getting a high quality product.’ Cooley’s first poitín release is triple distilled in small copper Pot Stills from an Irish Pot Still recipe of malted and unmalted barley. Bottled straight from the still with no maturation, the spirit is bottled at 65% ABV. ‘Poitín is basically un-aged Irish whiskey spirit and we hope to revive the poitín as a national product. Brazil has cachaca, Greece has ouzo, Bulgaria has rakia and the Czech’s have successfully revived absinthe after it was effectively outlawed for over 75 years. We want to bring poitín out from the shadows and let Irish people have a national white spirit they can be proud of,’ continued Teeling. Consisting of only 1,800 bottles, the first batch release will be available through the Celtic Whiskey Shop and Dublin Airport as well as through independent off licences.
Corona Light is now available through Cork distributor Barry & Fitzwilliam. Ireland is the first market to receive the brand outside the USA and Mexico. According to Barry & Fitzwilliam, the light beer market in Ireland equates to about 50,000,000 bottles per annum.’ Our aspiration for Corona Light is to have a 10% market share in year one,’ said Michael Barry, managing director of Barry & Fitzwilliam. Corona Light has only 99 calories – 30% less than regular bottled beer – zero grams of fat and only five grams of carbohydrates. Just like regular Corona, the lighter version should be served with a slice of lime.
NEWS
Beer Consumers Want Government Support Ireland’s beer consumer organisation, Beoir, is calling for the Government to assist the growth of Ireland’s microbrewing industry. The group has requested that craft beer and cider producers be allowed to sell their produce direct from their breweries and at local authority-approved farmers’ markets as is the norm in many other countries. In a submission to Government, Beoir has called for a change to the bond which the Revenue Commissioners require every new brewery to hold in case of excise default. ‘The bond is a major barrier to entry for artisan drinks producers,’ said Beoir chairman Séan Billings. ‘In Northern Ireland it has been increasingly replaced by the payment of excise duty by direct debit, a method which secures the revenue income for the Exchequer without crippling start-up breweries before they’ve even made their first batch. We would like to see something similar here.’ Mr Billings added that craft beer and cider has the potential to be a major contributor to economic growth in Ireland, especially in the tourism and export sectors. ‘All it would take is for the government to honour some pre-existing commitments to support artisan producers and SMEs. As a consumer, I’d like a greater opportunity to sample the products that we produce so well in this country and that we have every right to be proud of,’ he siad.
VFI Hope For Debate On Rural Isolation The Vintners’ Federation of Ireland (VFI) is calling for a debate on rural isolation and how the further reduction in drink driving limits from 80mg to 50mg per 100ml of blood has had ‘an enormous and devastating psychological impact on those living in rural communities’. Recent comments made by Kerry coroner Terence Casey have highlighted the link between stricter drink driving legislation and rural isolation leading to suicide in his area which saw 11 deaths of this nature in 2011. ‘This is especially relevant to older males in rural areas,’ says the VFI, which points out that it has followed similar statements by several other coroners including Donegal coroners Dr Denis McCauley and Dr John Madden. ‘Those who once went to the local pub for one or two drinks and social interaction no longer feel they can do so and this is compounded by the complete absence of any rural transport,’ reports the VFI, adding that Government assistance is needed to help put an end to rural isolation. Padraig Cribben, chief executive of the VFI, has again called for publicans to be exempt from VAT and VRT on all new seven - and nineseat vehicles to reflect the reality that publicans are acting as de facto taxi drivers in rural Ireland.
Bulmers has launched Bulmers Specials – a range of blended ciders – with flavours such as ‘Spiced Apple and Honey’ and ‘Spiced Apple and Rhubarb’. Bulmers says the launch taps into the ‘indulgent cider drinking experience’ and the new cider is best enjoyed served chilled in a glass without ice.
Gillian Quinn and John Harte, sales and marketing director of First Ireland Spirits, celebrate triple gold for Dubliner Irish Whiskey Liqueur at the MicroLiquor Spirit Awards in the US. Dubliner Irish Whiskey Liqueur, is owned by Abbeyleixbased company First Ireland Spirits, who have sales in 33 countries and export e18 million or 6,700,000 bottles each year. Dubliner is stocked in the Irish Celtic Whiskey Shop, Dawson Street, Dublin 2, and plans are currently underway to take the brand nationwide over the next 12 months at a recommended retail price of e22. It is now sold in the US, Ireland, UK, Germany, Holland, Ukraine, Israel and Australia.
Jennifer Sheerin with a NOHO drink outside Keogh’s pub, South Anne Street, Dublin 2. Now on sale, NOHO is a two dose hangover defence drink that is popular in the US. The drink contains a patented formula of vitamins and nutrients that the drinks manufacturer says ‘helps the body break down and process alcohol’. The double dose of NOHO retails at e5 and is available via website: www.nohodrink.ie.
LICENSING WORLD JANUARY 2012
NEWS
Irish Pub Named Ireland’s Top Attraction – Again
Travel guide, Lonely Planet, has once again named the Irish pub as the country’s top attraction. This is the second time in a row the guide has placed the pub as the number one reason visitors come to Ireland. The VFI has welcomed the news, stating that it once again affirms the status of the Irish pub globally. VFI president, Gerry Mellett, said, ‘we are delighted but not surprised, this is a credit to pubs around the country who continue to provide a first rate service, giving tourists a place to eat, drink and in many cases to experience Irish music and entertainment’. However, he pointed out that ‘more than 1,500 pubs have closed in the past five years and more pub closures and job losses are inevitable unless the Government acts to support this industry’. The VFI is calling on the Government to act now to save the industry by implementing a minimum price for alcohol, an appeal of local authority rates, a VAT exemption for publicans on less than e100,000 and VAT and VRT exemption for publicans who purchase seven- and nine-seat vehicles in order to taxi customers to and from pubs.
On Your Bike
KenBay Bikes is offering a range of electric bicycles to help customers get to and from the pub. With easy pedalling, the bikes are ideal for anyone who has difficulty using a regular bicycle. One battery charge costs 12c and can achieve a distance of up to 70km. The bikes are available through the Cycle to Work scheme and the range includes ladies, gents and folding models. KenBay Bikes is an Irish company, operating since 1982. For more information about the company and its range of electric bikes, see www.electricbikes.ie.
(l-r) Gillian Gleeson, John Gleeson, Nigel Tynan, Editor of Licensing World, presenting the Bar of the Year trophy to Ciaran Gleeson, Patricia Gleeson, Amelia Gleeson and Karl Hoare
Bar of the Year Awards 2012
Don’t miss you opportunity to enter the Bar of the Year Awards 2012. Full details will be in the February issue of Licensing World or check online for entry details from 1 March.
Waterford’s Foundry Achieves Best Practice Award
Grey Goose Cocktails Luxury vodka brand Grey Goose kicks off the year with a choice of tempting new cocktail recipes, created by top mixologist Paul Lambert. Each of the cocktails pair perfectly with food especially the spice of Thai cuisine.
Grey Goose Wild Berry Caprioska
35ml Grey Goose vodka Lime Sugar Wild berry purée Method: Muddle mixed berries (black and raspberry) and add Grey Goose, sugar, lime juice and Chambord. Shake with ice and serve in an old fashioned tumbler. Garnish with a skewer of mixed berries.
Grey Goose Le Citron LemonDrop Martini
3 parts Grey Goose Le Citron vodka Lemon Sugar Method: Pour Grey Goose Le Citron vodka and a squeeze of juice from a fresh lemon into a cocktail shaker with ice. Shake and strain into a chilled martini glass with a white sugar rim. Garnish with a lemon twist.
10 LICENSING WORLD JANUARY 2012
(l-r) Killian Ryan and David Fitzpatrick of The Foundry Nightclub, accepting the NightSafe Award from Barry O’Sullivan, INIA, and Ian Kohler, Arachas Insurance The Foundry Nightclub in Waterford has become the city’s first nightclub, and only the fifth in Ireland, to be awarded the NightSafe Award by the Irish Nightclub Industry Association (INIA). To achieve NightSafe accreditation The Foundry Nightclub underwent a ‘full evaluation’, including a review of key operational procedures, such as fire safety, security, crowd management, risk and incident management, noise control, and Responsible Serving of Alcohol. The award sees The Foundry Nightclub join its sister venue in Carlow, which was the first nightclub in Ireland to receive the NightSafe Award. Accepting the award on behalf of The Foundry, David Fitzpatrick said, ‘we are delighted, this is great recognition of the hard work our team puts in to ensuring people have safe and fun nights out in our venue’. Barry O’Sullivan, chief executive of the INIA, called The Foundry ‘an exemplary nightclub’, adding, ‘this is how nightclubs should be run. We encourage others to benchmark themselves against the NightSafe standard. By achieving this award, The Foundry has firmly established its commitment to providing safe, sensible and sociable nights out’.
COMMENT An artist’s impression of the e153 million extension to St James’s Gate Brewery in Dublin
Diageo Investment Welcome But Historic Sites Will be Missed
Diageo’s investment in St James’s Gate is worthy of praise, but it’s impossible not to feel regret for the closure of two more historic breweries, writes Nigel Tynan. n Diageo’s intention to spend e153 million upgrading St James’s Gate in Dublin 8 will result in a state-of-the-art brewing facility capable of standing toe-to-toe with the best brewing operations anywhere on the planet. In fact, when it comes to technology and capacity, it will see St James’s Gate eclipse a majority of beer plants. Yet at the same time, acknowledgement should be given to the fact that this investment in Guinness and in Ireland, needed though it is, does not come about without pain and heartache. For while it’s good news for Dublin and the country as a whole, we should not ignore the fact that come July 2013 Ireland will lose two more historic breweries, the Great Northern Brewery in Dundalk, which was founded in 1897 and purchased by Guinness in 1959 to brew Harp, and the wonderful St Francis Abbey Brewery in Kilkenny, the country’s oldest working brewery which has been steadily producing Smithwick’s since 1710. Of course it’s possible to say that the closure announcement should not come as a surprise, after all, Diageo announced plans in 2008 to move the majority of its brewing to a purpose-built €650 million super-brewery outside Leixlip, Co Kildare, by next year. The 73-acre development was to be named the Arthur Guinness Brewery and again while the commitment to Ireland was worthy of much celebration, it was dampened by the news that St Francis Abbey and Dundalk were to close while a smaller St James’s Gate was to produce
Guinness solely for Ireland and the UK. I am thankful we will now never know whether or not the brewing of Guinness would have eventually moved to the new operation, which was to have a production capacity of five million hectolitres, or over 1 billion pints. Since 2008 then, workers in both Kilkenny and Dundalk have been under a cloud of uncertainty as to their future and it is difficult to think of local life in Dundalk and Kilkenny without the presence of these iconic brewing operations. They will be sorely missed by many people. For St James’s Gate however, and for Diageo’s brewing commitment in Ireland, this announcement must be deemed positive news. It solidifies both St James’s Gate’s future and also Diageo’s in Ireland at a time when such commitment is needed and brings what is an already impressive facility up to global standards of excellence, ensuring the long-term viability of the site. Despite the difficult global trading situation faced by all, Diageo itself remains an optimistic company. Last year the company’s diversity of brands helped it to overcome the worst of the global recession, and while the drinks company is not immune it has managed to grow during an incredibly tough business climate bringing optimism to its shareholders. While just over 10% of Diageo’s sales comes from beer, some 35% of its overall turnover is now derived from fast-growing
emerging markets such as Brazil, China, India and Mexico. This has helped Diageo overcome the declining European market, something which has hindered many competitors, especially those in the beer market. Diageo is a company built on acquisition and speculation continues over whether luxury goods company LVMH will eventually sell Diageo the 66% share of Moet Hennessy it does not yet own. Diageo CEO, Paul Walshe, has indicated he is keen to complete the deal and has said that future acquisitions will occur in the years ahead – only this month a major brewing operation in Ethiopia, among the world’s fastest growing economies, was purchased for $225 million. At the same time however costs remain closely scrutinised by HQ London, Diageo has announced that £80 million will be cut from operating costs by June of next year. The investment in St James’s Gate then is all the more welcome. While the Dublin site has not escaped cost cutting and redundancies in recent times, the future now looks more positive with plans for a new brewhouse facility, which will have a capacity of seven million hectolitres, a new grain intake building, with silos, and an extension of the existing fermentation plant to the southwest while distribution facilities will also be upgraded and extended. The project will create 300 construction jobs. Good news then, but not without its price.
LICENSING WORLD JANUARY 2012 11
COVER STORY
The Road Ahead
What lies in store for the economy and the drinks industry in 2012 and beyond? Tony Foley of DCU Business School explains that, while the prospects for the drinks industry in 2012 are poor, there is hope of a slight improvement from 2013 onwards. n Current prospects for the Irish economy in 2012 are poor but take heart, there are some small positives. The Irish economy will grow slightly when measured by gross domestic output (GDP) but consumption volume, which influences the drinks industry performance, will decline. This will be the fifth consecutive year of decline in alcohol drinks volume consumption. One of the slight positives is that the 2012 consumption volume decline will be lower than in 2011. Prospects for the Irish economy in 2012 have worsened over the past few months as the euro crisis has not just persisted, but intensified. As a result international consumer and investor confidence weakened and European economic activity deteriorated. This, in turn, will slow 2012 Irish export performance. With Budget 2012 the Government recognised the weak position of the drinks industry and avoided increases in alcohol excise. However, the VAT increase of two percentage points will have a negative impact on the industry. As recently as May 2011, the Economic and Social Research Institute was predicting Irish GDP growth of 3% in 2012 and a consumption volume growth of 2%. By September these figures had been revised down to 2.3% GDP and 0% consumption. The latest ESRI forecast, November 2011, expected a 0.9% GDP growth and a consumption decline of 1.5%. The recent combination of a very weak domestic economy and a reasonably well performing export sector will continue in 2012 and beyond. The positive expectations of early 2011 have been wiped out by the worsening international economic situation. The most recent economic forecast, at time of writing, is from Goodbody Stockbrokers who expect 2012 GDP to grow by 0.7% but both Gross National Product (GNP) and domestic consumption are expected to decline. There are some positives amid all the gloom but these will have little impact on parts of the domestic drinks industry. Exports will grow in 2012, including drinks exports which also grew in 2010 and 2011. This is good for the drinks producers. Inward tourism will probably increase in 2012 following an increase in 2011, the first since 2007. Interest rates will be lower in 2012 than in 2011. Unfortunately, we can 12 LICENSING WORLD JANUARY 2012
look forward to another nasty budget in December 2012, the fifth since 2008 (there were two in 2009) as we slowly reduce the still excessive Government borrowing level. All going well, the general government borrowing requirement in 2012 will be e13.7b or 8.6% of GDP. The issue of what new or increased taxes, including alcohol excise, to impose in December 2012, will arise again in the latter half of 2012. The current Government forecasts for 2012, published in December in connection with the budget, and the 2011 performance are shown in Table 1. It should be noted that some other forecasters are less optimistic than the Government. As already noted, the ESRI expects an increase of 0.9% in GDP and a decline in GNP. The International Monetary Fund (IMF) expects a 1.0% GDP increase in 2012. The OECD expects a 1% GDP growth and the Goodbody forecast is for a 0.7% GDP increase and a decline in GNP. As seen in the Government forecasts the decline in consumption will be lower in 2012 (1.3%) than was experienced in 2011 (-2.5%). The decline in investment has slowed substantially from -11% in 2011 to -1% in 2012. Exports are the source of the growth and they increased by 4.6% in 2011. However the international economic slowdown will slow the export growth to 3.6% in 2012. Price increases will accelerate in 2012 but will still be low at 1.9%. Employment will continue to fall but by less than in 2011, 0.2% compared to 1.9%.
Table 1 Government Forecasts for 2012 against 2011 results 2011
2012
GDP
1.0
1.3
GNP
0.4
0.7
Consumption
-2.5
-1.3
Government
-3.0
-2.2
Investment
-11.0
-1.0
Exports
4.6
3.6
Imports
1.6
1.6
Prices (HICP) 1.2
1.9
Employment
-0.2
-1.9
Source: Economic and Fiscal Outlook
The unemployment rate will be relatively unchanged at 14.1% in 2012 compared to 14.3% in 2011. While a GDP growth rate of around 1% is hardly wonderful, it does show the economy is stabilising compared to the declines of 2008-2010. Consumption continues to decline but at a slower rate than 2011. The continuing consumption decline is the main worry for the drinks industry especially the on trade. Increased taxes whether income, property, water or spending taxes reduce consumer disposable incomes and put increased pressure on discretionary income from which hospitality-related expenditure is sourced. While we have our own enormous domestic economic problems such as the public finances and the cost of the banking collapse, the on-going international uncertainty generated by the continuing failure to design and implement a credible resolution of the euro area government debt crisis presents an additional barrier to our economic recovery which will be mainly export driven.
Policies Matter
A resolution of the euro crisis would be a substantial boost to Irish economic recovery. Any eventual lasting solution will involve greater and credible efforts to reduce Government borrowing, adequate capitalisation of European banks and a more supportive role being played by the European Central Bank. Despite the recent downgrading of France’s credit rating there are signs that Europe is inching (or centimetreing) its way to a lasting solution including the proposed fiscal pact (which, of itself, will have little immediate effect on Government borrowing) and the increased role of the ECB in sovereign debt and in funding banks. This overall solution will not come quickly but may begin to take shape in the third or fourth quarter of 2012. It may come too late to significantly affect the 2012 Irish economic performance but could boost performance in the last part of the year and certainly after 2012. Irish drinks producers are doing well in the export market. The value of drinks exports increased by 12% in 2010 and by 6% in 2011, according to Bord Bia. The overall domestic drinks market will be
COVER STORY characterised by a continuing decline in per adult consumption and probably less adults due to emigration resulting in lower total consumption in 2012. The Jan-Oct 2011 Revenue clearances show a decline of 2% compared to the same period in 2010. Within this overall decline, the on trade will continue to experience the decline of previous years but probably at a slower rate and the off licence share, and possibly volume, will continue to increase. In the first 11 months of 2011, bar alcohol sales volume declined by 6% compared to a decline of approximately 2% in overall alcohol consumption. This follows the previous annual bar declines of 9% in 2010, 10% in 2009 and 7% in 2008. There are other policy-related issues which will affect the drinks industry in 2012. The report of the steering group on the National Substance Misuse Strategy will be published early in 2012 and consideration will be given to the implementation of its recommendations, some of which are already in the public domain including reduced average alcohol consumption, minimum pricing measures and restrictions on advertising and promotion. The soft drinks sector is facing the possibility of a sugar or ‘fat’ tax being
likely decline and the on-trade sector will continue to face significant operational difficulties. The gleam of hope is that we are getting closer to an effective euro crisis resolution which will have a positive impact on the Irish economy but even then tough times lie ahead. If we look beyond 2012 the economic situation is expected to improve but, of course, a continuing euro crisis will change that. At present the Government forecasts are that GDP volume will grow by 2.4% in 2013 and by 3% in 2014 and 2015. Unfortunately, consumption volume will lag behind the GDP performance. Consumption volume is expected to have zero growth in 2013. At least the long years of decline will be at an end. In 2014 it is expected that consumption volume will grow by a relatively small 1%. This will be the first consumption volume growth since 2007. Given the consumption boom in the years up to 2007 it is incredible to experience six successive years without a consumption volume increase. This illustrates the daunting scale of the economic downturn. One little ray of hope is that the IMF’s current forecast expects that consumption volume will resume growth in 2013 (0.7%) instead of 2014 as expected by
levels of investment within the economy and a slightly better consumption performance as consumers reduced savings. However, consumption growth will be constrained by low or zero growth in disposable and discretionary incomes caused by taxation increases, lower social welfare payments and weak salary and wage growth (and probably further declines in public sector salaries. Unemployment will continue to remain high at 13.5% in 2013, 12.9% in 2014 and 11.6% in 2015. Confidence in the wider EU economy will be improved only when there is a clear and sustainable path towards solving the area’s sovereign debt. Confidence in Ireland needs a euro resolution but also a belief that we have a clear sustainable path to deal with our own Government and bank induced borrowing. Unfortunately, we will continue to face major economic difficulties in 2012 and beyond and these will be worse for sectors depending on domestic demand such as much of the drinks industry. Lest there is a temptation to shoot the messenger we should remember some of the positives in the economy. We have more in common with Germany than with Greece. Ireland is a world leader in attracting and retaining multinational
‘The National Substance Misuse Strategy will be published early in 2012 and consideration will be given to the implementation of its recommendations, some of which are already in the public domain including reduced average alcohol consumption, minimum pricing measures and restrictions on advertising and promotion.’ imposed due to growing health concerns over the scale of obesity. Overall, the drinks industry faces a very challenging 2012. The commercial environment remains very tough, overall consumption is under threat and increased regulation is on the way. The minimum price measure is primarily aimed at reducing the attraction of low priced off licence sales from the multiples sector. The price increases relative to current levels would have to be substantial if a strong disincentive effect is to be achieved. The proposal will not have an effect on bar trade prices because the price per unit of alcohol is already much higher in bars than in off licences. Scotland intends to introduce a minimum price regime despite concerns that such a measure would be against EU competition law. Interestingly, a minimum price regime increases the per unit return to the seller whereas a new tax aimed at off licence (unopened) sales would generate increased taxation revenue but would not result in higher prices if absorbed by the multiples. The economy will stabilise a little in 2012 with very modest overall growth. Consumption will decline but by less than in 2011. Alcohol sales volume will
the Government forecasts. Whatever the eventual accuracy of these medium term projections, it is clear from both sources that there is no expectation of an early return to substantial increases in consumer spending. This indicates that medium-term prospects for the on-trade are relatively poor. The two positives in the economy from 2013 will be exports, as was the case from 2010 to 2012, and a resumption of investment expenditure increases. Exports will grow by 4.5% to 5% in 2013 to 2015. Investment volume will grow by 3% in 2013, about 4.5% in 2014 and almost 5% in 2015. Government’s contribution to total demand will continue to be negative up to 2015 as the borrowing level is gradually reduced. Its expenditure volume will decline by about 2% each year. There is little possibility of the Government sector contributing to growth or stimulation through net increases in expenditure except where privatisation revenues are partially used to stimulate economic activity. If economic confidence both nationally and internationally within the EU increased greatly we could expect a better export performance by Ireland, higher
enterprises. Ireland is a world leader in the bloodstock industry. Ireland set the pace in developing low-cost airlines and is still a world leader. Ireland is ahead of most of our competitors in graduate output especially in technology and business. Ireland’s physical infrastructure is substantially improved compared to a decade ago. Ireland is ranked 13th in the world in services exports. Ireland is still a wealthy country despite the economic collapse, on the GDP measure we are joint third in the EU, on the GNI indicator we are 11th highest. Ireland has substantially improved its cost competitiveness in recent years. In addition we have survived serious economic difficulties in the past such as the 1950s and the 1980s. Let no one suggest we will quickly recover the losses of the past few years or the pre-collapse living standards or tax levels or the average levels of alcohol consumption or the volume of bar sales. That will not happen, even if we burn the bondholders, but we do have the capability to solve our difficulties (but not without economic pain) and resume economic growth. We can certainly do better.
LICENSING WORLD JANUARY 2012 13
DUBLIN PUBS
LVA Launches Dublin Does Fridays
Dublin publicans have launched a e1 million multi-platform marketing and interaction social media campaign that is focused on reclaiming after - work socialising on Friday evenings. NIGEL TYNAN reviews one of the biggest marketing initiatives undertaken in the history of the Dublin bar trade. n One of the greatest changes to affect the Irish bar trade in recent years has been the decline of Friday evening after-work socialising. Once a guaranteed occasion of trade, Friday after-work drinking has been in steady decline in recent years and today an increasing number of customers no longer see Friday evening as an element of the weekend. This startling transformation in consumer activity was investigated by the Dublin pub trade last year with the Licensed Vintners’ Association (LVA) engaging customer focus groups to gain a better understanding of customer sentiment and, in the process, learn why Friday evening after-work pub attendance is in decline. The LVA admits to ‘shock’ at the gathered results. ‘We spoke to our target audience of 22-44 year olds,’ reveals LVA chief executive Donall O’Keeffe, ‘we found that customers aged 3444 love and understand the pub experience, thankfully they see it as central to their social life and enjoy visiting the pub. The problem, however, is that they are the negative equity generation and for them disposable income is an issue. So cutting back means cutting back on Friday evenings.’ Yet the ‘major shock’ discovery was the attitude of 22-34 year olds, especially those aged 22-28 years. ‘The majority of these younger customers view Friday evenings as a routine week night. They don’t see finishing work as a particular reason to go to the pub, they only consider Saturday nights to be their weekly “big nightout”. This is a major and worrying generational shift,’ says Donall O’Keeffe. Enter Dublin Does Fridays, an intensive nineweek integrated marketing campaign that will be
split across radio, outdoors, including localised ads, newspapers and, of course, online – www. dublindoesfridays.ie, social media sites and the complementary launch of a smartphone app. Inline with modern marketing, Dublin Does Fridays is a social movement that relies on consumer engagement, in effect transforming consumers into active participants in the campaign and resulting in them spreading the word and driving the initiative voluntarily. To help consumers along the way, the LVA has engaged the help of personalities, such as Jennifer Maguire of Republic of Telly (RTÉ 2) – who will host Snug TV, nine mini TFI Friday style episodes from pubs around the city where she speaks to publicans and customers, and hosts competitions. Popular radio personalities, Dermot and Dave, from 98 FM, will be the on-air media partners, and will broadcast three special episodes from selected city pubs. Finally regular ads and promotional activities will be broadcast on Spin FM and Today FM and will also appear in the Irish Daily Star, The Sunday World Magazine, Irish Independent, Evening Herald and Metro Herald. But the LVA isn’t finished yet – 35 social connectors, or as the LVA calls them ‘Friday night reporters’, will be spilt across 70 ‘opinion forming’ pubs scattered throughout Dublin. These connectors will spread the word live on social media, informing followers what’s happening ‘right now’ in each pub and working throughout the week to entice customers to the pub on Friday evenings. The aim is to generate a buzz and to get customers out and involved. The website for the campaign (dublindoesfridays.ie) will also feature a portal for publicans. Each LVA pub will receive a unique username and password, allowing Example of Dublin Does Fridays outdoor campaign
14 LICENSING WORLD JANUARY 2012
Revealed:
Strengths and Weaknesses of Dublin Pubs In total 90 pubs were reviewed via mystery shoppers on Friday 2 December to ‘get a feel’ for the Friday after-work pub offering. This was broken down between 30 pubs in Dublin city centre, 30 pubs Southside and 30 Northside – all pubs were classified either trendy or traditional and the visiting time was between 5-9pm. This, says the LVA, is the post-work window and isn’t affected by late night customers. Overall the findings were ‘encouraging’, reveals the LVA. ‘General standards’ were found to be ‘excellent’, these included the quality of the drinks served, found to be practically 100%, correct glassware, proper temperatures etc. The pub food offering, while not exceptional, was deemed of an acceptable standard, especially for Friday evenings – however there is a clear indication that more menu diversity is needed in the future, points out the LVA. Staff interaction, service and waiting response times were deemed ‘very good’. However one basic area that emerged from the review as ‘weak’ was the greeting of customers. While staff were found to be polite, few take the time to say hello to customers entering and even fewer say goodbye and thank you to leaving customers. The weakest performance category of all, however, was the area of selfpromotion. Only 40% of bars have signage telling customers of upcoming events and only 12.5% (or one pub in every eight) have some form of signage pointing to their online activity, such as ‘become a fan of us on Facebook’. ‘Communication with customers is a problem, there is scope there for ample improvement,’ says Donall O’Keeffe, ‘I’d say communication is not even approaching ample. This reluctance to engage in social media must change.’ It’s notable that the findings of the mystery shoppers were backed-up by a telephone survey of 500 Dublin pub customers.
DUBLIN PUBS
them to upload their activities, videos and blogs and download marketing and campaign material. The scope of the campaign starts to become evident. ‘The aim of Dublin Does Fridays is to help consumers kickstart their weekends and to make Friday evenings synonymous with Dublin pubs’, says the LVA, whether that’s reminding 34-44 year olds of what they’re missing or educating the younger audience’. The good news, says Donall O’Keeffe, is that ‘Friday evenings don’t require huge capital investment from the publican, you don’t need to spend on entertainment, food or sport. What is needed, however, is engagement with the customer, we believe that’s exactly what this campaign will deliver – but suppliers and publicans need to be 100% on-board. As an industry we need to be fully committed to driving this campaign.’ The tone of the campaign is ‘optimistic,
forward-looking and conversational’ and from the launch date of 3 February it intends to gain momentum over the course of its nine week run. To pull this off, the LVA has partnered with Diageo, Heineken Ireland, C&C, Bulmers, Edward Dillon, Britvic, Coca-Cola, Molson Coors, Richmond Marketing and Gleeson – all 11 are contributing to the e1 million cost of the campaign which will be under continuous review. After six years of a successful and award-winning Dublin radio campaign, the Licensed Vintners’ Association (LVA) has realised it is time to move on, after all, the world of today is a very different reality to 2005, when the Dara O’Brien radio ads first aired. ‘In the past our marketing focus was on the larger picture, we were trying to promote every night of the week. But the world has changed and so must our marketing,’ says Donall O’Keeffe.
PROMOTION
Carry Out Makes Good Business Sense Signing up for a Carry Out franchise was the natural choice for Ger Buckley when he decided to open his own off licence after two-and-a-half years working with the group. As business development manager he had been involved in the launch of 34 new Carry Out stores and so was well aware of the benefits the brand could deliver for franchisees. ‘During my time with Carry Out I learned a lot about what you need to run a successful off licence and so it made good sense for me to go
with the brand when I set up my own off licence in Athy. Carry Out is a huge help when it comes to setting up a new business. They hold your hand through the whole process and help with the fit out, marketing, sales projections and so on.’ The greatest benefit about working with the Barry Group and the Carry Out brand is that it offers licensees a one-stop-shop, says Ger. ‘This makes a big difference as you only have one supplier to deal with so it cuts back
on the amount of time you need to spend on administration.’ This was particularly beneficial when Ger opened a second off licence in Portlaoise 18 months ago, he added. Crucially, as well as helping with the fit out, sales, marketing and administration, Carry Out also helps to deliver significant cost savings. ‘By joining the franchise we have benefited from greater buying power and the Barry Group is a great help with promotions and special offers. It is a very good company to work with.’
Carry Out, Portlaoise
LICENSING WORLD JANUARY 2012 15
Have Your Say… COMMENT
John Conran, Irish Employers for Affordable Rates (IEAR), on why Commercial Authority Rates are an unwelcome form of taxation that are hindering business growth and the on trade’s ability to create jobs.
n Businesses in Ireland continue to operate under serious financial and operating pressures. At IEAR we believe that businesses are carrying an unbearable taxation burden in order to maintain the local authority structure and fund local authorities. Given the widespread pressures on small business in the current difficult economic environment, many small businesses, such as those within the on trade, are now vulnerable to closure, with a resulting loss of thousands of jobs, leading to lower tax return revenues and, all-inall, increased pressure on social welfare expenditure. The figures speak for themselves, commercial rates levied on Irish businesses by local authorities have increased by 47% within the last 10 years and by over 300% since the abolition of residential rates system in 1979. In 2010, business ratepayers were levied E1.35 billion, which, together with water and related charges, represented just over 30% of total expenditure of city and county councils. An ISME survey in July 2011 on local authority commercial rates revealed that 40% of businesses and 65% of retailers surveyed said their commercial rates bill posed a real threat to their continued survival. At IEAR we believe rates reform is not a matter of special pleading but of plain commonsense. Ireland’s economic recovery will be led by a vibrant business sector. It is widely recognised that Irish companies must focus on greater competitiveness in order to stay in business, grow their sales and create jobs. These things cannot be achieved with the current system of authority rates. If Government wants more economic growth and more employment, there must be a greater onus on helping employers. An independent report, Assessment of the Local Authority Commercial Rates Issue for the SME Sector, by economist Jim Power, was commissioned by Employers for Affordable Rates to publicise the faults of the existing rates system. This report pulled no punches in its conclusions,
stating that local authority commercial rates now represented the biggest burden facing most small businesses, and was increasingly forcing many small businesses out of existence altogether. The system is self-defeating – as businesses close, a large part of the commercial rates base is eradicated. Jim Power argues that the commercial rates system be amended to recognise business realities. He advises the creation of alternative funding mechanisms and the implementation of reduced running costs for local authorities. Local government, he adds, must be rationalised in order to improve efficiency, further reduce costs and eliminate duplication. The resulting cost savings should be passed directly back to the business sector in the form of lower commercial rates and other State charges – helping to stimulate business growth. It is highly relevant to outline briefly the development of IEAR as it is testament to the fact that Irish businesses, in all sectors and in all areas, regard rates as a major concern. IEAR began with the meeting of a handful of employers in Wexford in March 2010 in order to discuss how local rates were crippling business and with the hope that something could be done to correct the situation. We decided to test the waters by organising a public meeting on rates. We hoped that as many as 100 business people would attend. Close on 600 business operators turned up to support us and from that event we established a Wexford organisation to help highlight and deal with the rates issue. Other businesses around the country heard of our initiative and over the coming months over 1,000 employers attended similar regional meetings in Limerick, Galway, Dublin, Kilkenny, Portlaoise and many other venues. We received the public support of leading business organisations such as ISME, the Licensed Vintners’ Association (LVA), the Vintners’ Federation Ireland (VFI), RGDATA, SIMI, the Restaurants Association of Ireland
(RAI), the Irish Hardware Association (IHA), the Travel Agents Association (TAA), Convenience Stores and Newsagents Association (CSNA) and many others, as well as a number Chambers of Commerce and other business organisations. In October 2011, IEAR was established as a national organisation. Taking into account both individual members and organisations, at this stage IEAR is backed by 30,000 businesses nationwide, representing approximately 500,000 employees and their families. In other words, there is no doubt that this is by far the biggest Irish business campaign ever undertaken, bringing almost all Irish business groups together in a common cause. I mention this to underline the fact that the companies, the owners, managers and employers upon whom the Government is reliant for growth and jobs are clearly stating that the existing rates system needs to be reformed as a matter of priority. IEAR is seeking an urgent interim response from Government, an amendment to current legislation that will permit a business to appeal against established rates due to a change in economic circumstances and specifically the ability to appeal against the full rates charge on the basis of inability to pay. At present, appeals can only be made on a property issue – in other words a change in material circumstances. No appeal can be made on an economic issue. If a business has experienced a severe downturn in sales and turnover, if it is experiencing credit problems, if it is currently making a loss, if it is barely able to continue in business – all of these circumstances are deemed irrelevant under the present system. The rates bill is presented, it must be paid in full and there is no room for discussion and no flexibility. Where a business can’t meet the bill in full it is taken to court and, as a result, may be put out of business. In such a situation there is no winner. The Department of the Environment’s own audit service has reported that, in
This report pulled no punches in its conclusions, stating that local authority commercial rates now represented the biggest burden facing most small businesses, and was increasingly forcing many small businesses out of existence altogether. The system is self-defeating – as businesses close, a large part of the commercial rates base is eradicated. 16 LICENSING WORLD JANUARY 2012
COMMENT 2009, rates income arrears more than doubled in two years and, together with water charges, amounted to arrears of e340 million. These are very difficult times for the Irish economy, there are serious limits on the financial resources of the Government. But the Government should be receptive to our call for action. Our objectives are the same afterall, we want to protect jobs and create new ones, help
small firms to grow and get the economy moving again. A fairer local authority rates system will provide an immediate economic stimulus as reduced rates will give companies more finance for job support and investment. Local authority commercial rates, local authority charges and other state costs now clearly represent one of the key impediments to the survival of hundreds
of businesses across Ireland. Local government must be rationalised in order to improve efficiency, reduce unnecessary costs and eliminate duplication. These cost savings should be passed directly back to the business sector in the form of lower commercial rates and other state charges. This would represent the best possible stimulus to Irish business and employment at this time of crisis.
Do you want to HAVE YOUR SAY?... if so contact the editor of Licensing World at n.tynan@jemma.ie
What are commercial rates?
Commercial rates are a form of taxation levied by local authorities on the occupiers of commercial and industrial properties. The rates value is based on the rentable value of the property. There are two components in determining commercial rates: The Valuation Office, the State’s property valuation agency, decides on a Rateable Valuation (RV) for eligible properties. A valuation office employee views and measures the premises and supplies an estimate of the Net Annual Value (NAV) of the premises. When agreement is reached between the property owner and the valuation office regarding the NAV, it is then sent to the relevant local authority who applies the Annual Rate of Valuation (ARV) which has been calculated for that year by the relevent local authority. The annual commercial rate for each property is calculated by multiplying the NAV by the ARV. Thus, for example, if the Valuation Office has assessed the NAV of a property at e100 and the local authority decides on an ARV of e60, the commercial rate payable is e6,000. According to the National Competitiveness Council the average ARV in 2010 was e63.60. Example 500 sq m pub in Co Wexford which includes office space of 50 sq. m: Similar NAV for Pubs in the area = e40sq m. Similar NAV for offices in the area = e30sq m. Therefore 450 x 40 = 18,000, 50 x 30 = 1,500, Total = 19,500. NAV fraction = 0.50% = 19,500 X 0.50% = e97.50 NAV for premises Council Multiplier (ARV) in Wexford in 2011 = e71.52 Annual Rates due by publican = e97.5 x e71.52 = e6973.20
BOOST YOUR SALES by introducing your customers to KenBay Electric Bikes · We supply electrically assisted bikes that require no licence, tax or insurance. · Your customers can get powered transport that can travel up to 70kms from a single charge. · Let us help improve your business and make it easier for your customers to visit your establishment. For a supply of brochures please contact us on 01-4510077 For a more information visit us at www.electricbikes.ie Kenbay Bikes support responsible drinking
LICENSING WORLD JANUARY 2012 17
DESIGN
The Do’s & Don’ts of Design in 2012
Award-winning designer of Cabra Castle Hotel, Co Cavan, and Custom House Restaurant & Wine Bar in Derry, Audrey Gaffney, specialises in the creation of bars and nightclubs. With bar upkeep and design a continual part of the on trade, regardless of the economical climate, Licensing World asked Audrey for guidance on the latest trends in pub design, how to up-grade a pub/bar on a shoe-string budget and what we should be looking for from design in 2012. LED lighting easily sets the mood
House Restaurant & Wine Bar in Derry
n In relation to design it is important to understand how a ‘pub’ differs from a ‘bar’. When you think of popping down to your local pub for a quick drink you envisage a comfortable, cosy atmosphere, good service and maybe some musical entertainment. I believe that the expectation of a ‘bar’ is different, I see it as being more trendy and lively. Although similar to a pub, bars tend to be located in urban areas or attached to hotels. The design is expected to be stylish, themed, modern and classy. However, regardless of whether you run a pub or a bar, when it comes to renovation or redesign the most important design rule is implement a design that won’t date, is not too themed and can be extended or enhanced in the longer term.
Basics to consider
Forethought is key when it comes to design, so carefully consider the following: Is there a large open space that makes the premises feel empty even when there are a sizeable number of customers in? Are there little cosy corners to facilitate customers who want to gather for a more intimate chat? Remember that good lighting is not a trend – it is an imperative as it can create or change the mood if designed and set correctly. Always use good quality timeless products that can last the test of time, especially on high usage/footfall areas. Trends come and go, so my advice is get the basics right – use excellent quality products and think of the customer first. It is easier for a designer to understand your brief once you know what your target
18 LICENSING WORLD JANUARY 2012
market want – if every customer who visits your premises leaves feeling that they want to come back, and bring others with them, then you are ‘right on trend’.
Up-grade on a shoe-string
When approaching design always get professional advice – although it might be considered a cost, in the long run it will save you money. You can project manage the work yourself if you are on a tight budget but you need to consider the actual time required to do this. Remember, budgets don’t have to be huge, they just have to be managed correctly and constantly reviewed as timing is everything – so ensure efficient pre-planning so the premises is not closed for lengthy periods during on-site work. My advice is to spend your budget on items that need immediate attention and on things that your customers will actually notice as this may also save you money. Sensor taps in the toilets not only save on water charges but are hygienic too and fittings are getting cheaper in price. Also consider what items in your bar can be salvaged or reused in a different way. With the right advice a little tweaking can make a big difference to your premises and the enjoyment of your customers.
The do’s and don’ts
Of course in this current climate, one of the main reasons a publican considers a change to their pub design is to get more customers through the front door. So apart from the items above, here is some advice on the do’s & don’ts of design:
Do’s
• ‘Do look at your customers’ needs, or better still – ask them. The difference between what you think your customer wants and what your customer actually tells you they want can really surprise. • Next put yourself in your customer’s shoes – i.e. take a journey of what exactly your customer sees and experiences in your pub, you will find this an interesting exercise. • If your pub serves food consider the height of tables. It is important for customers to be comfortable and not have to stoop or stretch to eat the meal.
Be a centre for relaxation
• In the current climate people can be more stressed so they need comforting surroundings, a pleasant atmosphere, good service and quality products when investing in a night out. • Consider comfortable, soft seating that is flexible for daytime dining and night time partying. • Texture on the walls, in the form of good quality paint or commercial wall-covering, takes away that bland look and can instantly add interest to the room. • Flooring should always be suitable for the area for which it is being used.
DESIGN
Get the lighting right
• At night, ensure that lighting is relaxing, with some mood lighting thrown in to create the right atmosphere. • During the day lighting must function differently and be more efficient. • Consider ‘scene selection’ on your lighting system as this will give you total control even when you are not there. Your staff just need to follow your selected settings.
Don’t Forget the Toilets
• Decent toilets are critical to a customer’s perception of your pub. • It is easy to carry the design or styles from the pub into the toilet area so don’t be afraid to do so.
• Don’t forget to include a space in the design for handbags so female customers can place them down while washing hands or touching up make-up. • One thing I’ve experienced over the years is that people tend to treat places better if they look better, especially the toilets.
Cabra Castle Hotel, Co Cavan
Is the Sound Right?
• Having more speakers can seem like an extravagance but it gives you the option of spreading the music at lower levels so everybody gets to hear and enjoy it.
Get Professional Advice
• Finally I would advise getting professional advice on any renovations that you are planning for 2012, as mistakes can be costly and can take a long time to repair or change. •Sound advice from an experienced designer can set you up and will actually save you time and money in the long run, just ask our clients.
For more details and design advice visit www.bedesign.ie
Trends
Michael Browne, marketing manager of Dillon Bass – supplier of Veuve Clicquot – and Paula Stephens, sales manager of The Merchant Hotel, raise a toast to the hotel’s Veuve Clicquot Champagne Lounge.
Merchant Hotel Opens Champagne Lounge Belfast’s luxurious five-star Merchant Hotel has opened a stg£50,000 Veuve Clicquot Champagne Lounge – separate to the hotel’s popular jazz bar. The plush drinking area seeks to offer customers an experience of indulgence and comes complete with a tempting menu of vintage and NV Veuve Clicquot Champagne and several Champagne-based cocktails. Designer, Anne Marie O’Neill, O’Donnell O’Neill Design Associates, worked closely with designers from Veuve Clicquot in order to create ‘an elegant space that reflected the excellence of both brands’. LICENSING WORLD JANUARY 2012 19
OFF LICENCE AWARDS
(l-r) Olwen, Jimmy and Jenni Redmond of Redmond’s Off Licence, Ranelagh, Dublin 6 – winner of the NOffLA Off Licence of the Year 2012
NOffLA Unveils Winning Off Licences Fourteen awards were presented at the National Off Licence Awards earlier this month as NOffLA highlighted excellence and customer service in the country’s leading off trade operators.
n Redmond’s Off Licence of Ranelagh, Dublin 6, was named National Off Licence of the Year 2012 rising from a field of 42 finalists to claim the country’s top award for independent off licence operations. All 42 finalists in the competition were awarded certificates of either ‘Standard’, ‘Merit’ or ‘Excellence’ based on their performance throughout the contest, which is held annually by NOffLA to recognise off licences that offer exceptional service to customers and demonstrate excellence in retail standards. NOffLA chairperson, Evelyn Jones, commented on the high standard witnessed during the judging of the awards, with particular emphasis given to ‘product knowledge and customer service’. She added, ‘it hasn’t been an easy year for the industry so our members have really had to raise the bar and get a better understanding of exactly what the customer wants. It’s evident from the judges’ feedback that they have been doing just that.’ The final stage of the judging process, which began in July 2011, comprised a blind-tasting and marks were also awarded for key shop criteria including overall appearance, hygiene, product range, and customer service and product knowledge. Judging began in July 2011, ‘a tough but rewarding journey for all of this year’s award winners,’ said Evelyn Jones. 20 LICENSING WORLD JANUARY 2012
Outstanding Off Licences Specialist Off Licence Group of the Year 2012: O’Donovans, Cork, sponsored by Wyndham Estate Best First Time Entrant 2012: Next Door Sundrive Road, Dublin 12, sponsored by Tiger Beer Food Retailer Off Licence of the Year 2012: Samuel C. Cope, Castledermot, Co Kildare, sponsored by Lorina Lemonade Customer Service Award of the Year 2012: Martin’s Off Licence, Fairview, Dublin 3, sponsored by El Coto Spirit Specialist of the Year 2012: The Wine Centre, Kilkenny, sponsored by Absolut Vodka Beer Specialist of the Year 2012: McHugh’s Off Licence, Malahide Road, Dublin 5, sponsored by Budweiser Wine Specialist of the Year 2012: Gibneys Off Licence, Malahide, sponsored by Faustino
Munster Off Licence of the Year 2012: O’Donovans Off Licence, Riversdale S.C., sponsored by Hennessy Cognac Connaught/Ulster Off Licence of the Year 2012: McCambridges, Galway, sponsored by Holland’s Fine Wines Leinster Off Licence of the Year 2012: Hollands of Bray, sponsored by Hennessy Cognac Dublin Off Licence of the Year 2012: Jus de Vine, Portmarnock, sponsored by Hennessy Cognac RTC Online Trainee of the Year 2012: Rachel Rowan, Mulhall’s Londis, Portlaoise, sponsored by Enovation Solutions RTC Responsible Retailer of the Year 2012: O’Brien’s Carry Out, sponsored by the National Off Licence Association National Off Licence of the Year 2012: Redmonds Off Licence, Ranelagh, sponsored by the National Off Licence Association
OFF LICENCE AWARDS 1.
2.
3.
4. 5. 6.
1. Gary O’Donovan, O’Donovan’s, Cork, accepts the Specialist Off Licence Group of the Year award from Aimee Milne, Irish Distillers Pernod Ricard 2. (l-r) Stephen Dillon, Next Door Sundrive Road, accepts the Best First Time Entrant award from John Kelly, Heineken Ireland, and Neville Whisker, Next Door Sundrive Road 3. (l-r) David Cope of Samuel C. Cope accepts the Food Retailer Off Licence of the Year award from Colm Storey of Richmond Marketing 4. (l-r) Declan Martin of Martin’s Off Licence accepts the Customer Service Award from Robert Smith of Mackenway Distributors 5. (l-r) Cathal McHugh and Frank Haughton of McHugh’s Off Licence, Malahide Road, accept the Beer Specialist of the Year award from Ciaran Mollahan of Diageo Ireland 6. (l-r) Ann Moran, Gibney’s Off Licence Malahide, accepts the Wine Specialist of the Year award from John Cassidy of Edward Dillon & Co, with Siobhan Gibney
Voluntary Codes of Practice NOT IMPLEMENTED – NOFFLA NOffLA has called on the Government to put an end to Voluntary Codes of Practice for the Retail and Marketing of Alcohol in Ireland as they are not being implemented as was intended. Speaking to the Oireachtas Committee on Health and Children, NOffLA chairperson Evelyn Jones said, ‘across Ireland, we see evidence of alcohol being sold in stores beside confectionery, snacks and magazines which is a direct target on young people. The newspapers are awash with cut-price alcohol deals as large retailers use alcohol to compete for grocery market share. It is clear that Voluntary Codes of Practice are not suitable vehicles for alcohol control.’ NOffLA has called for existing legislation, namely Sections 9 and 16 of the Intoxicating Liquor Act (2008), to be enacted to deal with the ill-effects of irresponsible alcohol sales and marketing. Section 9 of the Act provides for the structural separation of alcohol from other products in supermarkets, convenience stores, petrol stations and any other licensed premises which are deemed to be mixed-trading. Section 16 makes provision for prohibiting or restricting the use of alcohol as a promotional tool in advertising. Speaking to the Oireachtas hearing, Jones said, ‘alcohol is not like other products; its purchase should be conscious, no matter what age you are. Selling alcohol is very different to selling groceries or petrol, and clever insertion of phrases into voluntary codes such as “as far as possible” negate their proposed intention and allow for irresponsible manipulation of the display and sale of alcohol in Ireland.’
LICENSING WORLD JANUARY 2012 21
INDUSTRY PROFILE (l-r) Brothers Jimmy and Aidan Redmond with their Off Licence of the Year 2012 award
Redmond’s of Ranelagh Ireland’s Number One Off Licence
Founded on the ideals of community interaction and friendly service, Redmond’s Off Licence in Dublin’s Ranelagh suburb has been named the country’s best off licence for 2012 by industry contemporaries. NIGEL TYNAN visits and discovers a gleaming store, exceptional drinks choice and a family ethos of business and community interaction. n Accepting the award Off Licence of the Year 2012 at the recent National Off Licence Awards, organised by NOffLA, Jimmy Redmond dedicated winning the top prize to his parents, who founded Redmond’s of Ranelagh and ran it passionately for many years, his business partner and brother Aidan, who was unable to be there on the night, and he also took time-out to thank the close community of customers who visit the store regularly. It was a heartfelt speech made by a man who admitted to ‘complete and utter surprise’ when the name of his family’s store was read aloud. Yet at the same time Redmond’s is no stranger to the NOffLA Off Licence Awards, while it is true that this was the first time the store has won the top prize in the 16 years of the competition – despite entering each year – there were a number of what Jimmy terms ‘close encounters’ in the past. Perfectly placed on Ranelagh’s main thoroughfare, it’s fair to say Redmond’s is
22 LICENSING WORLD JANUARY 2012
something of an institution in the Dublin suburb. Run by Jimmy and Aidan, the shop was opened by James Redmond and his wife Mary in 1943 as a mixed-trade grocery. Jimmy remembers fondly the days of Redmond’s under his father James’s tutelage. ‘Everyone wore white coats and we stocked at least 50 different types of powder soap – each customer had their favourite, so we catered for all.’ Over the years what was once a tentative step into quality French wines grew continuously until demand was such that the path forward was clear. ‘Over 25 years ago we committed ourselves solely to the off trade market,’ says Jimmy, ‘our dry goods business had declined in line with growth in our alcohol sales. But we’ve never lost that link with the community we serve, I think that’s important and it stands to us now. We still get Christmas cards in here from our customers, from second- and third-generation customers, people who
have known Redmond’s all their life.’ Such community interaction, reveals Aidan, comes from placing ‘huge emphasis on getting to know their customers. ‘To survive in retail, especially as an independent, you must develop a close relationship with customers’, says Aidan, while Jimmy adds ‘our aim, at all times, is to ensure every customer who visits Redmond’s has a positive experience that ensures they return. We’re not interested in selling you a bottle of wine and good luck; we’re interested in converting you into a lifelong Redmond’s customer. That is only achieved true real value-added service.’ While a major advocate of the NOffLA Awards and ‘the programme’s dedication to the highest of standards’, Jimmy is coy about why he believes Redmond’s failed to take the top prize in the past. ‘We’ve always stuck to business our way, to our vision of Redmond’s. That means no signage and we stock the products
INDUSTRY PROFILE
that our customers want, not those that our suppliers want us to stock. We also enjoy working with suppliers who can commit to an equal two-way relationship. At the moment we have about 80 different suppliers, this allows us great diversity in our sourcing – to my mind that’s essential in retail.’ While Aidan acknowledges advantages come with affiliation with a group, he says ‘if we joined a group we’d lose access to three-quarters of our stock, groups can work very well but for us the stock perimeters would be too defined, we’ve built our business on our range and that’s where we’ll stay.’ Indeed, as well as offering an impressive choice of old world wines – although a strong representation of new world is present, ‘our sales mix is 65:35 towards old world,’ says Aidan – Redmond’s grabs the attention of customers with its wonderful wall of whiskeys, placed behind the counter, with prices to suit all pockets. The store is on the must visit list of many a whiskey connoisseur and here you’ll find some very rare malts on display. In line with current trends Irish whiskey is selling well and Greenspot Irish
Whiskey, which was relaunched last year by Irish Distillers Pernod Ricard, is experiencing ‘huge demand’. Redmond’s stock a total of 500 different bottled beers, comprising a myriad of stouts, ales and ciders. Ireland’s microbrewing industry is well represented – ‘you name it, we’ve either got it – or can get it’ says Jimmy. Aidan adds, ‘we’ve seen major growth in beers in recent years, it’s a fast moving part of the business and is incredibly diverse. English ales are huge right now, but that will change as the beer crowd moves on to the next taste. Normally a new beer type rises every six months, regulars are always asking “what’s new?”’ Over the years Redmond’s has received a number of face lifts, but subtlety has always been a factor. You won’t find big and brash here, but you will find the holy grail of retail – ‘the wow factor’. ‘Off licences have the advantage of being able to offer an enjoyable retail experience, that’s something we should never forget. We don’t stuff our shop to bursting with products, instead we offer a calm and relaxing atmosphere to customers who want time to peruse our wines, maybe ask some questions, and take time-out. Of course we also cater to male beer drinkers who just want to pop-in and out, the secret is to properly organise your store.’ Aidan and Jimmy have seen major change in the off trade in recent years, with the most notable development being the millennium boom and subsequent decline of the independent sector at the hands of
industry groups, convenience stores and multiple operators. Looking to the future both believe ‘the trade is at a crossroads’. ‘Jimmy say, ‘I think a lot depends on [Minister of State, Department of Health] Roisin Shortall and how she approaches the issue of minimum pricing. If she doesn’t solve the issue of below cost selling of alcohol once and for all then the independent trade really is in trouble. Of course, minimum pricing won’t solve everything, it probably won’t even be enough to save a lot of operators, but it is a much needed start.’ Aidan adds ‘you can’t simply have retailers treating alcohol as any other product – and that’s what’s happening in the multiples’. Both agree that ‘the worst thing that could happen to Ireland would be the complete disappearance of small family, retail businesses. ‘It’s a real possibility now and that’s quite scary,’ says Aidan, ‘drive through the UK and you see these picturesque little villages with no stores and no people. It’s already happening with the big multiple groups in Ireland – I hope the Government wakes up to this.’ In the meantime it’s business as usual at Redmond’s. ‘We are truly delighted with this win,’ says Jimmy, ‘it’s required great effort from our staff, and our customers understand what it means to us. In retail you always have your heroes, we have been striving to match ours for 16 years, but still this doesn’t mean job-done. We’ll continue to compete each and every day.’
LICENSING WORLD JANUARY 2012 23
WINE
Sounds Matters in Wine Enjoyment n Music and wine, are they complementary bedfellows? The Antique Wine Company recently asked researchers to find out the answer to just this question. While supermarkets and corporations have looked into the effects of environmental sound, this was the first time it has been explored so directly in relation to taste. The project looked at how sound affects the senses, via intonation, subtlety of language and subtext, as well as resonance and volume – in effect can music truly change behaviour and, specifically, how sound affects wine drinkers, cognitively, physiologically and psychologically. Members of the public, with little or no wine knowledge, were asked to give their views on five red wines, while different types of music were played into the room as they tasted them. To ensure no bias none of the members had any prior knowledge of what the experiment was about and all wine served was red. The music, which was all classical, moved from slow and relaxing, to more robust and dramatic. The results revealed that 40% of the participants who described wine number one as ‘subtle and refined’ went on to describe the same wine, which was labelled as wine number five, as ‘powerful and heavy’ giving it more colour, intensity, nose, fruit and quality. When asked which wine was their favourite no participants chose wine number one, yet 70% chose wine number five. The results, states The Antique Wine Company, is an illustration of how change in music tempo and style determined how each wine was perceived. ‘This compounds the theory that the environment in which you consume wine is very important, as it has an influence on your feelings and how you actually perceive the “taste” of what you are drinking.’
Details of the wines tasted are below, tasting details supplied by The Antique Wine Company: No 1. Margaux 2004 (repeated as No. 5) Medium ruby, developing nose, very classy, elegant, cigar box and blackcurrants-fragrant. A classic Margaux in a classic Bordeaux vintage. Fine silky tannins, balanced acidity and seamlessly integrated oak. Lovely concentration and very long. No. 2 Palmer 2004 Medium to deep ruby, ruby rim. Developing meaty and undergrowth, spice, cigar box. On the palate black fruits and hints of aniseed with fresh balancing acidity and silky tannins. Mouth coating fragrance. Long lingering finish. No. 3 Palmer 2002 Medium crimson, pale rim. Developing nose, ripe blackberries, cassis with a hint of undergrowth and liquorice. Quite intense and fragrant on the nose. On the palate bright acidity, smooth velvety tannins with a lingering finish. Lacks a bit of concentration of the palate, found on the nose. States 13% ABV but feels higher. No. 4 Margaux 2002 Medium crimson, pale ruby hinting on garnet rim. Nose more elegant and restrained than the Palmer 2002 (tasted alongside). More cigar box, hint of dried violets, spice, blackfruits and mouthwatering acidity. Fine concentration on the palate, silky tannins. Finish is long and fragrant. Music played during the tasting was as follows in this order: Clair de Lune, by Claude Debussy, Arabesque by Claude Debussy, Pavane for Dead Princess by Maurice Ravel, Adagio for Strings by Samuel Barber, Planet Suite Jupiter by Samuel Barber, The Planet Suite, Jupiter (half played) by Gustav Holst, Carmina Burana, O Fortuna by Carl Orff, Ride of the Valkyries by Richard Wagner.
Irish opera singer Sandra Oman performs in the Ormond Wine Bar, Dublin 2, at the Like Wine? Like Opera? event. Performed by ‘Vino & Verdi’ – a new theatrical experience combining fine wine with live opera performances – the event cost e35 per person and four different fine wines were tasted with each accompanied by arias and duets from popular operas including La Traviata, La Bohème and Carmen. The evening finished with a grand finale of opera favourites including ‘O Mio Babbino Caro’ and the famous ‘Brindisi’ (drinking song) from La Traviata. Vino & Verdi is produced by Aisling Sullivan who held the positions of artistic administrator and company manager with Opera Ireland prior to the company’s closure last year. Vino & Verdi is available for corporate functions and private entertainment, for further information please visit www.arts-path.com
24 LICENSING WORLD JANUARY 2012
Love is in the air for Valentine’s with Torres launching San Valentin, created by Torres winemaker Miguel Torres Carbó as a gift to his wife Margarita, each bottle comes complete with a cupid to mark that romantic occasion.
Innovative Wine Winners Named
Results for Innovation Masters 2011, an awards programme which highlights the best in new blends, new approaches to winemaking and original packaging, have been announced by the Drinks Business. Top innovators included an ice-wine made from frozen apples, a ‘summer red’ from Gallo, and Freixenet’s new Mia range of lower alcohol wines. Indeed, the lower alcohol category emerged as a trend with awards also going to Banrock Station Light, Blossom Hill Vineyard Collection Aromatic & Delicate, Astoria’s 9.5 – named after its ABV. In the design category, McGuigan’s Semillon Blanc label was commended for quality and originality, along with Funambule, a new brand whose name is French for a tightrope walker in references to its ‘perfect balance’.
Cut the alcohol, not the taste
Arriving just in time for those New Year’s good intentions, low alcohol is already shaping up to be a trend of 2012. This month two big names in wine, Spain’s Torres and Germany’s Blue Nun, launch low alcohol additions to their portfolio. First comes Torres Natureo which is categorised as de-alcoholised wine. Available from Findlater Wines & Spirit Group, Natureo offers only 0.5% ABV and 20 calories per glass. According to the supplier this makes Natureo an ideal choice for customers who want to enjoy a glass of wine and still drive home. Torres Natureo is made from Moscatel grapes and is fermented as normal in stainless steel tanks at low temperatures. The wine is then treated to a technique called ‘Rotating Cone Column’ which extracts the alcohol and
Sold in over 80 countries, Blue Nun has just launched a range of low alcohol wines under the ‘Delicate’ label.
South Africa Set For Wine Boom
South Africa’s wineries are expecting a boom harvest next year despite a reduction in vines in recent years. Wineries are reporting strong budding and most regions expect a larger harvest than 2011 of 10%. Rainy conditions in the Western Cape over the past month could still come into play however and the industry has warned that climatic conditions can still have a significant impact on the harvest. South Africa’s Orange River district is expected to bounce back with a 25% increase following flood damage leading to a substantially smaller harvest in 2011. Malmesbury and Stellenbosch are exceptions, where
With an alcohol count of 0.5% ABV Torres Natureo is perfect for pub customers who wish to enjoy a glass of wine and still be able to drive home.
leaves only a nominal amount as residue. According to Torres the wine’s aromas, antioxidants, vitamins and mineral salts remain, so the only thing missing is the alcohol – the result is a pale yellow wine rich with fresh floral aromas of green apples, peaches and citrus and fresh and crisp on the palate. Ideally Torres Natureo should be served at 7-9º C. Famous German Riesling producer, Blue Nun, has launched a lower alcohol range of four 5.5% wines named Blue Nun Delicate. The winemaker says these wines are for consumers who crave ‘a different style of drink under the guarantee of a highly recognisable and trusted international brand’. The range includes Crisp Fruity White, with white peach, mango and a trace of tropical fruit, and Crisp Fruity Rosé, with raspberry, lychee and wild strawberry. A sparkling white and rosé are also available.
Wine Times HungErFord Hill SHiraz
Having celebrated it’s 40th vintage in 2010, Hungerford Hill is a family owned and operated winery that produces a range of exemplary wines from its home in the Hunter Valley as well as the Tumbarumba region and Hilltops in Southern New South Wales. This beautiful Shiraz has a deep dark plum colour while the nose shows ripe, peppery fruit coming through. On the palate flavours of chocolate & blackberries come through and lead to lovely sweet tannins on the finish.
average or even smaller harvests are forecast.
2012 WINE APP
The 2012 edition of the Australian Wine Companion is now available to download from iTunes. It contains over 69,000 tasting notes covering 10 years of wine tasting to ensure access to the latest wine reviews on the go. It’s designed to complement your smart phone or tablet experience by giving you quick access to the content and includes the following: 2012 tasting notes and winery reviews, the ability to search by winery, region, wine name and variety. The app will even sort results by price, rating and (new) vintage – allowing you to create your own favourites’ list. Unit 5 OC Commercial Park, Little Island, Cork, Ireland T: 021 451 0066 F: 021 435 5504 W: www.classicdrinks.ie E: info@classicdrinks.ie
TRAINING
Cash Handling Requires Constant Control The licensed trade operates on high volumes of cash, yet dealing with cash brings challenges to publicans and requires constant vigilance against both armed robberies and, on a micro level, unscrupulous staff members who target smaller amounts of cash. This article offers publicans best practice procedures and controls which address the challenges involved when dealing with cash handling, counterfeit cash and armed hold-ups.
Internal Cash Controls
Author and winner of numerous national and international industry awards, James Murphy is a former education chairman of the International Bartenders Association (IBA), and he has managed in the bar and beverage industry for over 25 years. James holds Masters Degrees in Hospitality Management and Higher Education and currently lectures full-time in the Bar Management Department at the Dublin Institute of Technology, Cathal Brugha Street, Dublin 1. For further information you can contact James at: james. p.murphy@dit.ie
When handling cash one of the first priorities is to assign roles to staff members, carefully decide: 1. Which staff members are allowed to endorse cheques and or initiate credit card payments? 2. Which staff members are assigned to count the cash, prepare the floats for cash registers? 3. Which staff members are assigned to draw up the cash sheets, the bank deposit forms and post the figures to the general or pub ledgers? Too much control is often allotted to a single staff member, for instance one staff member is often given responsibility for collecting deposits from various departments and depositing funds to the bank for large establishments. Yet this same person is also responsible for reconciling the pub accounts with the bank account, this is not good practice. Some bars also operate with no authorisations needed to conduct any of these functions, in some circumstances some staff members can alter receipts, cash details and bank deposits easily. You must therefore focus on procedures for ensuring solid and dependable internal cash controls are in place. To do this you must address the following: Accountability: Who has access to cash and why has access, do you know where your cash is at all times and who has access to daily takings? Accountability is essential, this ensures (a) the cash is secure, (b) the pub keys are secure, (c) safe passwords and combination are not shared (e) transfers of all moneys are fully documented (f) all cash transactions can be traced to a staff member (g) a receipt is given to each customer (h) rigorous background checks are performed (i) properly prepared cash drawers for staff members and (j) keys for each cash drawer are easily accessible. Separation of Duties: There are four major cash functions which should be separated: (a) record keeping duties (b) authorisation duties (approving voids, refunds, & over/shorts, movement of cash) (c) asset custody duties (i.e access to cash and cheques, keys, cash drawers and (d) reconciliation duties (i.e drawing up bank deposits). Problems most often occur when these four duties are carried out by the same person – again a case of too much control. These procedures should be evaluated regularly and always when staff member duties are reassigned or when employees join or leave the business.
26 LICENSING WORLD JANUARY 2012
Cash Handling Procedures
Consider the following: Security of cash: Minimum cash amounts should be available and deposits must always be stored in time-delay or locked safes. Use multiple cash capsules for frequent and regular cash drops. Cash handling office: Review your cash counting office, does it have reinforced doors? Where there are windows, are there strong locks and is entry controlled from within? Cash carrying: Where possible always use a security company and discretion regarding cash deposits. Remember someone is always listening in a bar, do not speak publicly about cash movements and ensure nobody travels unescorted for deposits or to purchase change. Use alarmed cash carrying devices and vary times of deposits and routes taken. Security of valuable stock: Secure store access by the owner/manager. Intruder alarm system: Ensure your alarm complies with Irish standard 199 or the equivalent national standard, plus if should be linked up to a monitoring station and panic alarm buttons should be installed. CCTV: A proven deterrent, use a CCTV system with covert cameras and a good computer-based network which incorporates recording relayed to a secure area. Key security: Limit the number of key holders, consider a dual key holding system, for example the owner carries safe keys and the manager carries the pub keys.
Counterfeit Cash
Staff members are never truly sure of the relevant legislation with cash transactions especially when they receive counterfeit cash. The European Central Bank (ECB) website publishes a guide of the security features to look out for when manually checking for forged banknotes(www.ecb.int/home). A recent RTÉ News report stated that one in every 37,000 notes is counterfeit in Ireland and the most popular forged notes are e20 and e50 denominations. Electronic and manual devices are currently available for the detection of fraudulent notes including easy to use ultra violet light pens.
TRAINING
Counting Cash
Train your staff to establish clear cash register procedures, for instance, cash registers should only be opened when in use and cash drawers should be locked and keys are to be removed when not in use. Always be mindful that when counting cash there are to be no distractions, such as staff chatting in the counting room, this helps avoid counting mistakes and detection of counterfeit notes. Count cash out of public view and, if possible, two people should participate. Store cash in a secured locked area and when receiving cheques carefully examine the cheque details (dates, names, company, amounts, general condition of the actual cheque). Endorse the cheque promptly with your initials or signature, store in a secure area and deposit daily to reduce the risk of stopped payment. Cash drawers should always be left open and empty to avoid possible damage by intruders when leaving the bar unattended overnight. Before leaving the bar check that no person has remained on the premises (toilets or obscure/isolated hiding areas within your premises).
Advice For Armed Hold-Ups Failure to apprehend criminals is often the fault of the victims – inaccurate descriptions, delays in reporting, interference with the crime scene, and vague information of escape all indicate a lack of security preparation. Remember preparation is key. 1. Where possible the staff should have facilities to observe the street from within premises (description of getaway vehicle and escape routes) also remove promotional or other posters from windows which may obscure vision. 2. Separate staff from customers by means of wide or high (120cm) counters and adequate
locking gates in counters. 3. General: CCTV for all areas of the premises, avoid unnecessary entrances, entry out of hours on some pretexts, ensure co-operation with the Gardai, consider ex-directory numbers for outgoing calls only, review whether telephone lines can be put out, alarm systems (audible to limit violence to staff during raid, or silent direct system to the Gardai – to prevent raiders getting aggressive). 4. Advertise the fact that staff members do not have keys or the combination of your safe. Place emergency numbers where staff can easily find them. Opening: Never allow a lone staff member to open-up, if people are seen to be surveying the premises in car take the registration. During the hold-up: 1. Alarm (activate it if it’s safe to do so), 2. Obey instructions given, 3. Reduce the loss (give the heavy coinage), 4. Note the appearance of thieves, 5. Note the thief’s methods, 6. Look for accomplices outside, vehicles etc and 7. If out of danger stay out and get the message out. After the hold-up: Speed is vital 1. Telephone the Gardai, 2. Give details of thieves escape routes vehicle etc, 3. Avoid spoiling the crime area, 4. Keep customers on the premises (witnesses), 5. Record times and sequence of events, 6. Be tight lipped (keep details of robbery out of public eye), 7. Write down the description of thieves (don’t confer with others). Finally, remember that at all times personal safety is paramount. Publicans have an obligation under the Workplace Health and Safety Act to provide a safe working environment. You should ensure that you have addressed the individual risk assessments specific to handling cash because this assessment could have a direct impact on your insurance cost.
Cash Carrying Advice
• Only use physically fit persons who are trustworthy and established employees. • Survey the route before use and establish vulnerable spots so that extra vigilance can be exercised on approach. • Be aware of drivers of vehicles or people acting suspiciously. • Frequently change times, routes and collection/delivery schedules. • Use a busy route rather than a quiet one. • Consider using a cash carrying case, alarmed bag or dummy bag. Fastening cash cases to the body can increase the risk of injury being caused to the carrier. • An able-bodied escort should be considered when large amounts of money are being moved. • The carrier should walk facing oncoming traffic thereby reducing the risk of a surprise attack from behind. An escort should always walk a few yards behind. • Special care is needed when using a night safe. Any escort should stand with their back to the safe to observe surrounding area. • If large amounts of money are being banked daily then consider using the service of a security firm. • If using a private car, keep the doors locked at all times. • Ensure the time of return is known so an alarm can be raised if necessary.
Live Cocktails Challenge Ireland’s Largest Mixing Event The seventh DIT Irish Distillers Pernod Ricard Cocktail Challenge attracted 90 mixologists. Prizes were awarded for best short drink cocktail, best long drink cocktail and technical performance and all cocktails were based on Irish Distillers Pernod Ricard premium spirits and liqueurs. Points were awarded for appearance, aroma, taste and the commercial appeal of the cocktail. Irish Distillers Pernod Ricard Cocktail Challenge certificates were presented to all the 90 mixologists by Liam Sparks, brand manager and mixologist Irish Distillers Pernod Ricard. James Murphy, Bar Management Studies, College of Arts & Tourism, congratulated the
winners. Brid Grant, DIT director and dean of the College of Arts & Tourism, offered thanks to both Liam Sparks and Frank Cullen, assistant head of DIT School Culinary Arts & Food Technology. The Cocktail Challenge winners were as follows:
Winner: Best Short Drink Cocktail
Cocktail: Candy Apple Prepared by: Conn Cowman, BSc Degree student, Bar Management Studies, DIT Recipe: 3cl Martell Cognac 4cl De Kuyper Butterscotch
15cl apple juice Method: Shake the ingredients with ice briskly and strain into a chilled double Martini glass Garnish: Slices of fresh red apple
Garnish: Fresh strawberries and straws
Winner: Best Long Drink Cocktail
Cocktail: Crimbo Prepared by: Magdalena Sliwarska, BSc Degree student, Culinary Entrepreneurship Studies, DIT Recipe: 3.5 Havana Club 7 Year Old 3.5cl De Kuyper Crème de Banana 3.5cl pineapple juice 7cl orange juice Method: Shake the ingredients with ice briskly. Pour into a Hurricane glass. Garnish: Sugar, orange spiral, pineapple slice, blackberries
Cocktail: Smile on the Rocks Prepared by: Sean Hoyne, Swifts Bar & Restaurant, Main Street, Newbridge, Co Kildare Recipe: 3cl Absolut Peach Vodka 2cl De Kuyper Triple Sec 2cl De Kuyper Wild Strawberry 14cl orange juice 3cl cranberry juice Method: Shake the ingredients with ice briskly. Pour into a Highball glass with ice.
Winner: Best Technique Cocktail
LICENSING WORLD JANUARY 2012 27
FOOD FOCUS
Time For
Thai
Popular Dublin cocktail venue and restaurant, Saba, has launched a cookbook revealing its five-year history and its most popular recipes. Thai food lovers and pub chefs will find an easy to follow guide featuring tasty Thai appetisers, wok dishes and sides, soups, curries and everything in between. Written by owner Paul Cadden and executive chef, Taweesak Trakoolwattana, all proceeds from sales of Saba: The Cookbook go to The Bone Marrow Transplant Unit in Our Lady’s Children’s Hospital, Crumlin, Dublin 12 and to The Thai Red Cross Society. The book is available in the restaurant and from all good bookshops, priced e30. Here is a flavour of the recipes. the spiciness by increasing or decreasing the amount of bird’s eye chillies or by deseeding the chillies. To serve: Garnish with a little dried shrimp and roasted peanuts and serve at room temperature. Tip: For a vegetarian option just omit the dried shrimps and use soy sauce instead of fish sauce.
Thai Green Papaya Salad Serves 4 500g green papaya, grated 4 garlic cloves 3 bird’s eye chillies 1dsp unsalted, roasted peanuts 6 cherry tomatoes, halved 80g string beans, cut to 4cm 2dsp fish sauce 1dsp or 20g palm sugar 2dsp lime juice 50g carrots, grated 20g dried shrimps 2dsp unsalted, roasted, peanuts to garnish 5g dried shrimp to garnish Preparation: Peel the papaya and rinse under running water. Halve, remove the seeds and grate it roughly. Soak in cold water for five minutes – this makes it very crunchy and delicious. Using a big pestle and mortar, pound the garlic cloves, bird’s eye chillies and roasted peanuts to a rough purée. Then add the cherry tomatoes and string beans and pound again but don’t pound the beans and tomatoes too finely. Season with fish sauce, palm sugar and lime juice. Now mix together with the papaya, carrots and dried shrimp and continue pounding until well mixed but still rough. You can modify
28 LICENSING WORLD JANUARY 2012
Cooking: Bring the wok to medium heat, add the oil, chopped garlic and chilli paste in oil and stir until it begins to cook but not brown. Add the prawns and stir for another 30 seconds. Now add the baby corn, wood ear mushrooms, onions, peppers, spring onions and chillies. Season with fish sauce, oyster sauce and sugar. Then add some chicken stock or water, pouring it around the side of the wok to gather the lovely flavours but making sure not to cool it down. Stir for a minute but do not overcook the vegetables, they should be crunchy. To serve: Add the sweet basil and serve with Thai jasmine rice. Tip: Do use the chilli seeds, they give this dish a special zip.
Stir-fried Prawns with Chilli Paste in Oil Serves 4 24 prawns, medium size, fresh or frozen 3dsp sunflower oil 3 cloves of garlic, crushed, chopped 1½dsp chilli paste in oil 80g baby corn, halved, par-boiled 30g wood ear mushrooms in strips 80g onions, sliced 80g mixed peppers, sliced 50g spring onions, cut to 4cm 2 chillies, sliced 2dsp fish sauce 1dsp oyster sauce 1⁄4tsp sugar 30ml chicken stock or water 10g sweet basil, torn
Stir-fried Beef with Ginger Serves 4 480g beef fillet, finely sliced 3dsp sunflower oil 3 cloves garlic, crushed 100g ginger, in fine strips
FOOD FOCUS
80g pepper mixed, sliced 80g onion sliced 30g shitake mushroom sliced (fresh or dried) 80g baby corn, halved, par-boiled, 2dsp soy sauce 1dsp oyster sauce 1⁄2tsp black soy sauce 1⁄4tsp sugar 30ml chicken stock or water Cooking: Bring the wok to a medium heat, add the oil, garlic and ginger and stir until there is a fragrance. Add the beef and stir for one minute before adding the peppers, onions, shitake mushrooms and baby corn. Season with the soy sauce, oyster sauce, black soy sauce and sugar. Then add some chicken stock, pouring it around the side of the wok and stir for just a minute. Do not overcook the vegetables, they should be crunchy. To serve: Serve with Thai jasmine rice or noodles on the side. Tip: If you can’t get fresh shitake mushrooms, use dried ones. Simply put the dried mushrooms in water, bring them to the boil and cook for about five minutes until just soft.
add the oil and green curry paste and stir until you begin to get an aroma. Add the coconut milk and the water to thin it, bring to the boil for a few minutes and then add the kaffir lime leaves. Season with fish sauce and palm sugar. This dish can be made in advance as far as this step, and kept in the fridge for up to three days. Add the monkfish and Thai aubergines, cook for one minute and then add the rest of the vegetables. Cook for a few minutes but keep the vegetables crunchy and at the last minute add in the sweet basil. To serve: Serve with Thai jasmine rice. Tip: Coconut milk with 21% fat content gives a better flavour than that with a lower fat content but water is added to lighten it.
Spicy Glass Noodle Salad with Minced Pork and Prawns Serves 4 as a starter 200g glass noodles 100g pork neck or loin minced 16 medium prawns, fresh or frozen 1l water 30g wood ear mushrooms, finely sliced 8 cherry tomatoes, halved 3 shallots, finely sliced 80g spring onions, cut to 4cm 50g unsalted, roasted, peanuts or cashew nuts
Green Monkfish Curry Serves 4 480g monkfish or monkfish fillets, sliced 3dsp sunflower oil 2 heaped dsp green curry paste, 800ml coconut milk, 21% fat 200ml water 4 kaffir lime leaves, torn 3dsp fish sauce 1dsp or 20g palm sugar 80g Thai pea aubergines 50g bamboo shoots, sliced 100g mixed peppers, sliced 100g string beans, cut to 4cm 2 chillies, finely sliced 10g sweet basil, torn Cooking: Heat the wok to a medium heat,
Dressing: 3 cloves garlic, crushed and chopped 2 shallots, finely chopped 1dsp coriander stalks, finely chopped 5 bird’s eye chilli, finely chopped 1 chilli, finely chopped 1dsp hot chilli sauce 3dsp fish sauce 3dsp lime juice 1⁄4dsp sugar
serve immediately. Combine the cherry tomatoes, shallots, spring onions, roasted peanuts or cashew nuts and mix everything together. To serve: Pour over the dressing, mix well. Tip: You can combine all the ingredients for the dressing in a blender and whizz them around. It will keep in the fridge for at least two weeks.
Traditional Thai Spicy Prawn Soup Serves 4 16 medium prawns, fresh or frozen 1 heaped dsp chilli paste in oil 1.2L chicken stock or water 3dsp fish sauce 50g galangal, peeled and sliced 3dsp lime juice 3 stalks lemongrass, sliced 1tsp sugar 2 shallots, sliced 4 kaffir lime leaves, torn 5 bird’s eye chillies, crushed 150g oyster mushroooms, torn 20g coriander to garnish Cooking: Prepare the prawns and remove the shells. Bring the stock to the boil in a heavy, medium-sized saucepan, add the galangal, lemongrass, shallots, kaffir lime leaves and bird’s eye chillies and let it simmer for about two minutes or until fragrant. Add the chilli paste in oil and season with fish sauce, lime juice and sugar. This dish can be made in advance to this stage and kept in the fridge. Now add the prawns along with the mushrooms and cook for a minute before serving. To serve: Garnish with coriander. Serve with Thai jasmine rice for a bigger meal.
Cooking: Use fresh or frozen prawns, take the shell off but leave the tails on and remove the centre vein. Soak the glass noodles in cold water for 15 minutes, drain and cut into 10cm. Dressing: Combine the garlic, shallots, coriander, bird’s eye chilli, chilli, hot chilli sauce, fish sauce, lime juice and sugar. Mix well and keep to one side. Put the water in a wok, bring to boil, add the minced pork, cook for 30 seconds before adding the prawns and mushrooms and cook for 30 seconds. Add the glass noodles and cook for another 30 seconds. Drain and run under cold water to prevent further cooking. If you want to serve this hot, skip running the cold water and just drain and then combine everything and
LICENSING WORLD JANUARY 2012 29
TIME OUT
Lessons from a Whiskey Expert
John Moriarty Bar manager of the luxurious Park Hotel Kenmare in Co Kerry, John Moriarty is one of the country’s leading experts on whiskey, from vintage Scottish malts to single cask American bourbons and, of course, including Ireland’s rich selection of blends, malts and the resurging pot still spirits. There’s something here for everyone, and, more importantly, for every pub customer, he tells Time Out.
n ‘Something different, something rewarding and something special – but above all else, something you will remember with a smile’. This is the visitor experience that Kerry’s Park Hotel Kenmare seeks to instil in every guest who stays in this historical Victorian destination which has happily wedded itself to the best of modern comforts. In recent years Irish whiskey has become one of the hotel’s central experiences and The Bar features a wonderful choice of 160 special whiskeys, including some extraordinary and special malts and blends – the very cream of global whiskey distillation. Each of these spirits has been lovingly sourced by bar manager and whiskey aficionado John Moriarty, and the rarest of them are prominently displayed in the bar’s centrepiece, a glassfronted antique cabinet. Here you will find John Moriarty’s favoured whiskeys that ‘tell a wonderful story of diversity and character’. Recognised internationally as a leading voice within the whiskey sector, John hosts over 30 whiskey tastings in the Park Hotel Kenmare each year. He explains that ‘there has been a huge growth in interest in Irish whiskey, both from home and international guests. In the 1980s customers wanted to know about liqueurs, they wanted a sweeter taste, then the focus moved on to brandy, cognac and armagnac, today, thankfully, everyone’s interested in whiskey and especially Irish whiskey.’ John puts this emerging curiosity down to the better availability of Irish whiskey from suppliers and the wave of new ‘expressions’ that have emerged from the Irish market in recent years. He particularly points to advances made by Irish Distillers Pernod Ricard and also the ‘great work’ achieved by the Celtic Whiskey Shop in Dublin. John is delighted with the re-emergence of pot still whiskey in Midleton – which has recently announced plans to build a new pot still house as part of a €100 million expansion – and says ‘we could be recapturing the Golden Age of Irish whiskey. There is a rich magnitude of expressions available in Irish whiskey today and this in turn is driving consumer interest in the category. The choice, the quality, the innovation – Irish whiskey truly is in a fantastic place right now.’ One area that is failing Irish whiskey, however,
30 LICENSING WORLD JANUARY 2012
says John, is inadequate staff training. ‘It really is unacceptable that most staff are not in touch with the whiskeys they serve, that they don’t feel confident enough to up-sell. I always tell my staff to begin by looking at the bottle, there’s a huge amount of information right there in front of you. Valuable opportunities to up-sell are wasted every day in the hospitality business. When a customer asks for a whiskey staff should not be afraid to engage with them, to ask them what they like and to recommend a higher quality version.’ John says there is major opportunity out there to increase revenue and points to such brands as the Jameson Reserves range: ‘If a customer asks me for a Jameson whiskey I’ll frequently offer them a Jameson Reserves, because if they love Jameson they will most certainly love one of the Reserves. These are exceptionally smooth Irish whiskeys and there’s something here to match every palate.’ Not a fan of water in whiskey – ‘distillers spent years trying to get the water out, so why do we insist on putting it back in?’ – John says his preferred way to serve a glass of Jameson Reserves is in a brandy glass with a glass of water on the side. Ice he sees as a cardinal sin. ‘But that’s my personal taste, at the end of the day the customer is right in however they prefer their whiskey.’ John says in recent years there has been a noticeable transformation in how consumers approach whiskey – ‘people are drinking less quantity but more quality, this is especially true of whiskey. When a guest is staying with us for a few days I will bring them on a journey of whiskey, ensure they move up the scale every day and try something new. Guests really engage with this process – and again it’s a way of selling more premium spirit. ‘Good sales practice is about using what you have in an intelligent manner. There’s no doubt that great whiskey is a real attraction, you can start simply by working with your supplier and by adding a bottle here and there. You don’t need a huge starting budget. A good supplier will ask how they can help. So use every possible means open to you – because when whiskey is a talking point it quickly becomes a selling point and even better – an up-selling point.’
STAY INFORMED! NOVEMBER 2011 Vol 55 No 12
WHY WE MARCHED
WIN
GOLD HENNESSYKETS CUP TIC
Publicans explain why they felt compelled to march on Dáil Eireann and what they hope they have achieved from becoming more vocal.
Subscribe now to Ireland’s No.1 magazine for Pubs and Nightclubs Subscribe now and enjoy all the benefits of a monthly subscription: • Get access to our highly popular features showcasing recession busting tips on how to run your business more efficiently, profitably and successfully • Enjoy FREE delivery to your home or work • NEVER MISS AN ISSUE of this essential must-read industry magazine – containing accurate and authoritative business comment which is essential in making informed business decisions – STAY INFORMED SUBSCRIBE TODAY!
Subscribe and SAVE! Subscription Hotline: 01 214 7920 Or Order Online: www.licensingworld.ie
A STAR IS POURED WITH HEINEKEN’S STAR SERVE Over the past year, Heineken has taken the perfect pint to a new level with the introduction of the four step Star Serve, a quality programme that perfects the long-tradition and art of pouring a pint. The Star Serve ensures the pint is poured perfectly every time and seals in the fresh, crisp taste under the head for longer. The Heineken Star Serve Experience reached venues across Ireland showing the four Star Serve steps to the perfect pint in Cork, Dublin, Limerick and Belfast.
LOG ON TO WWW.HEINEKEN.IE TO FIND OUT MORE ABOUT THE FOUR STEP HEINEKEN STAR SERVE.