National Liquor News December 2019 by The Intermedia Group

AUSTRALIAâ&#x20AC;&#x2122;S LEADING LIQUOR INDUSTRY MAGAZINE

vol. 38 no. 11 - DECEMBER 2019

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EDITOR’S NOTE

Editor’s Note

an you believe we’ve come to the end of 2019? I certainly don’t know how it came around so quickly but here we are, and what an incredible year it has been. There is no doubt this is a busy time of year and with so much happening across the trade it is no surprise that this is another bumper issue of National Liquor News. December is always a fun edition to work on because with the stress of the busy festive season well and truly upon us, it’s nice to be able to take a step back and catch up with the winners from the Australian Liquor Industry Awards (ALIA), and celebrate the fantastic people and brands that make up this great industry of ours. ALIA 2019 was held at The Star and hosted by Bianca Dye and has been lauded by many as the best event in the history of the awards. This year’s theme was 70s Disco and everybody got right into the groovy spirit. If the pictures from page eight don’t make you want to get up and dance, then I don’t know what will. There were so many great achievements at this year’s ALIA. The Oak Barrel won Liquor Store of the Year for the third time, but just as exciting was seeing how many of the finalists in that category were independent retailers. It’s wonderful to see the great work you are doing and how much pride you all take in your stores, congratulations to all of the finalists. It was also a great night for Asahi Premium Beverages, winning the International Beer category for the sixth year straight and also taking out Off-Premise Supplier of the Year for the third consecutive year – recognition that Asahi’s GM Sales, Michael Ritoli, told National Liquor News was a highlight of 2019. Speaking of great people in the liquor industry, recently Alcohol Beverages Australia (ABA) commissioned a video to hero the people involved in the industry’s supply chain – from the farm to the table. The aim was to show how the industry continues to respond to changing consumer

Get the facts DrinkWise.org.au

preferences, and on page 25, ABA CEO Andrew Wilsmore shares with us some of the video’s findings. We also have contributions from across the industry. On page 24 Simon Strahan, the CEO of DrinkWise tells us how their initiatives are successfully helping to educate Australians to consume alcohol in a healthier and safer manner. In addition, on page 26, Peter Bailey, Manager Market Insights at Wine Australia shares his insights into the exceptional domestic growth of Pinot Noir. On the technology front, Norrelle Goldring overviews a discussion panel from the inaugural Drinks Innovation Summit, which spoke about emerging technology uses in liquor retail, and the use of AI, Big Data and Blockchain in an omnichannel world. You can find this on page 22. And when it comes to trends, IRI’s Insights Director Daniel Bone takes a look back at the top trends of 2019 – what worked and what didn’t. And he gives us a quick snapshot of what to expect in 2020. Turn to page 20 for this. This month the wine tasting panel got ready for summer, making their way through a wide range of Pinot Gris and Pinot Grigio, and you can head to page 46 to see which wines came out on top. Also, to prepare for the impending craziness that is December and Christmas, we have compiled some of the most exciting new releases of the last month on page 42. You can keep your feedback coming through djackson@intermedia.com.au, I am always keen to hear from you and make sure that we make this mag work for you. And good luck with your December retailing, it looks like this month will be just as hectic as the last one.

CO-HOS TED BY

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The 2019 Australian

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improved “The ALIA’s have that every year and I think were the the 2019 Awards Ritoli, best yet.” – Michael Asahi Premium Beverages

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SPONSORED BY INI BACARDI-MART LIMITED NATIONAL PTY 2019

AUSTRALIA 8 | DECEMBER

LIQUOR NEWS

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National Liquor News is the official trade publication of Retail Drinks Australia.

4 | DECEMBER 2019 NATIONAL LIQUOR NEWS

Food and Beverage Media Pty Ltd A division of The Intermedia Group 41 Bridge Road GLEBE NSW Australia 2037 Tel: 02 9660 2113 Fax: 02 9660 4419

PUBLISHER: Paul Wootton

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EDITOR: Deborah Jackson

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JOURNALIST: Brydie Allen

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GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams stwilliams@intermedia.com.au

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DISCLAIMER

Deborah Jackson, Editor 02 8586 6206 | djackson@intermedia.com.au

ALIA shakes its groove thing Celebrating our Industry Improving our Vodkabulary

PUBLISHED BY:

Average Total Distribution: 10,119 AMAA/CAB Yearly Audit Period ending September 2019.

Cheers, Deb

SPONSORED BY

Paul Downie, Scott Fitzsimons and Joe Perry from The Oak Barrel

Winner: Squealing Pig Highly Commended: G. H. Mumm

Non-Alcoholic

Incorporating the Liquor Retail Summit

Winner: Heineken 0.0 Highly Commended: Seedlip Garden 108

Winner – Liquor Store of the Year

Pre drinks were sponsored by Good Drinks

Hayley Griffiths from Balter Brewing

this little pig xxxx to xxxxxxxxx went market

cleaned up at the

Best white wine $15 - $29.99 Best rosĂŠ wine Best canned wine Best marketed wine

AND THE WINNERS ARE!

ALIA

Spirits Categories Dark Spirit

Winner: The Kraken Spiced Rum Highly Commended: Jack Daniel’s

Light Spirit

Light RTD/RTS

Winner: Gordon’s Gin & Tonic Highly Commended: Pimm’s No1 Cup

Four Pillars wins Liquor Brand of the Year

Liqueurs Winner: Bombay Sapphire Highly Commended: Tanqueray

Luxury Dark Spirit

Winner: Mr. Black Highly Commended: Cointreau

Best Marketed Spirit/RTD/ RTS Winner: Lagavulin Highly Commended: Talisker

Luxury Light Spirit

Winner: Canadian Club Highly Commended: Bombay Sapphire

Winner: Four Pillars Rare Dry Gin Highly Commended: Archie Rose Signature Dry Gin

Dark RTD/RTS

Four Pillars Winner – Liquor Brand of the Year: Four Pillars Winner – Luxury Light Spirit: Four Pillars Rare Dry Gin Winner – Best On-Premise Spirit/Liqueur: Four Pillars Rare Dry Gin “To say this year’s award was pretty special would be an understatement,” said Four Pillars Co-founder Stu Gregor. “We were blown away to win an award that has most recently been won by Jack Daniel’s, Aperol and Furphy. That’s proper grown-up company we find ourselves in. I’d like to believe we got over the line because we’ve shown that a little Aussie craft brand can bring both the gin quality and the brand and trade execution required to compete on the world stage. And hopefully we’ve always done it with smiles on our faces and a G&T in our hands. “While the Four Pillars brand won the top prize of Liquor Brand of the Year, it was great to see our signature Rare Dry Gin take out both the Luxury Light Spirit and On-Premise Spirit awards. “It’s the standard of competition you’re up against that makes ALIA so special. We have huge respect for all our fellow finalists, and in particular it’s great to see other Aussie brands flying the local craft flag along with us. As long as we all keep working together to continue to elevate the craft of gin and of cocktails in Australia then there are great times ahead for everyone.”

Winner: Jack Daniel’s Double Jack Highly Commended: Canadian Club

SPONSORED BY BACARDI-MARTINI AUSTRALIA PTY LIMITED

The team from CUB

Another contender for Best Dressed Male

CO-HOSTED BY

Major Winners

Asahi Premium Beverages

New Product of the Year

Winner – Off-Premise Supplier of the Year: Asahi Premium Beverages Winner – Premium International: Asahi Super Dry It’s been at least six years since Asahi Premium Beverages has attended the Australian Liquor Industry Awards (ALIA) and gone home empty handed. For the last six years Asahi has taken out the Best International Beer category and for the last three years it has also been named the Off-Premise Supplier of the Year. Asahi leverages its Japanese provenance in its marketing campaigns; a strategy that GM Sales, Michael Ritoli, says sets the brand apart. “In a category often diluted with stories of mateship and sport, Asahi Super Dry continues to create new waves of energy to break through to premium beer drinkers by leveraging a distinctive story of provenance and personal discovery. Japan is an exciting and enigmatic place where the traditional and technological collide. This is our inspiration for the ‘world of Asahi’,” he says. “It is great to be recognised for all the hard work that we put into the Asahi brand and we are humbled to have taken this award home six years in a row. There are some great international brands and for Asahi to have won this so many times reinforces that the direction we are taking this brand is working.” But the real highlight, says Ritoli, was winning Off-Premise Supplier of the Year for the third consecutive year. “This award is all about recognising the great people that work at Asahi. The team at Asahi is passionate about our brands and our customers and they work extremely hard to ensure that we deliver fantastic customer service and exceptional brand experiences. We have a great culture at Asahi and winning this award three years in a row has been our highlight of 2019.”

Winner: Suntory Roku Gin Highly Commended: Never Never Juniper Freak

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Liquor Brand of the Year

Winner: Four Pillars Highly Commended: Archie Rose

Retail Group of the Year

Winner: Cellarbrations Highly Commended: Bottlemart; Liquor Barons

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Liquor Store of the Year

Winner: The Oak Barrel, Sydney Highly Commended: Bayswater Fine Wines, Rushcutters Bay; Plonk, Fyshwick

Off-Premise Supplier of the Year

Winner: Asahi Premium Beverages Highly Commended: Treasury Wine Estates

The team behind ALI

NEWS

ILG builds scale in Victoria The Independent Liquor Group (ILG) is strengthening its position in the Victorian market by rolling out its Super Cellars, Clubmart and Pubmart banners. It was this time last year that ILG entered Victoria with its pilot retail store launched under The Liquor Co-op flagship, servicing the Bacchus Marsh local community. The strategy was that the site would be large enough to also act as a warehouse facility to ultimately offer wholesale services to hotels, bars, clubs and liquor retail in Victoria. Paul Esposito, CEO of ILG, says that the Liquor Co-op has generated a great deal of interest and as such, ILG is well ahead of their targets in Victoria. “In less than 12 months, we’ve welcomed Matt and Michelle Slade, our first bannered member from Super Cellars Wodonga. We are overwhelmed with interest from other independent operators for ILG to likewise bring its wholesale proficiency into Victoria,” he said. “Joining the ILG banner roll out in Victoria will be Clubmart and Pubmart. These established brands in liquor retail will extend the flexibility to satisfy liquor stores, hotels, pubs and clubs wanting to belong to Australia’s largest liquor co-operative.” ILG, which already has more than 800 retail stores and hotels operating within the co-operative’s banner groups in New South Wales, ACT and Queensland, has a target of 20 to 30 Super Cellars stores to be operating in Victoria in the next 12 months. ILG’s point of difference is that membership to the co-operative allows the return of surplus to members in the form of subsidised wholesale prices and patronage rebates. Member shareholders automatically become part owner of two of its wide range wholesale distribution centres located in Erskine Park, NSW and Mount John North, QLD. Speaking at the ILG’s recent AGM, Esposito said net assets stand at $19.2 million. Sales revenue has grown by five per cent and members’ benefits are up 2.7 per cent. ILG membership has grown by 12 per cent and total member benefits paid came to just under $11 million last year. “With 44 years of wholesaling experience and operating from three distribution depots, ILG is well positioned for national expansion. ILG is now ready to take its unique imprint to the next level of growth,” he said.

ILG has appointed Wayne Taylor as a dedicated Business Development Executive (BDE) for the South East Region, to instigate development. “We are extremely driven with our Victorian blueprint and well ahead of what we had intended given the interest generated from the Liquor Co-op in Bacchus Marsh. The co-operative structure remains our point of difference and it’s what sets us apart from our competitors. We represent a collection of independent family businesses working together for their longevity in this competitive market and industry. The sense of belongingness is the force behind the continued success of the ILG Family. “Why take the journey on your own when you can belong and share the voyage with likeminded operators working collectively to future proof their commercial aspirations. Change is good,” he said. For more information, reach out to Pat Kenny on p.kenny@ilg.com.au or 0409 308 341 or Wayne Taylor on w.taylor@ilg.com.au or 0427 846 902.

Liquor Barons launches biggest ever media campaign In the lead up to the busy Christmas trading period Liquor Barons has launched the largest integrated media campaign in the Western Australian Group’s history. The campaign, which will run until January 2020, is designed to capture the holiday spirit in WA and promote Liquor Barons’ 78 stores as the place to purchase drinks this season. The commercials will feature well-known Liquor Barons characters, the General and Baroness, and will run in prime-time slots on channels Seven, Nine and 10, plus multiple digital and social channels. Chris O’Brien, the General Manager of Liquor Barons, said that the commercial’s Creative Director, Andrew Tinning, was briefed to have the Liquor Barons characters at the heart of the creative strategy as they represent the group’s unique and independent spirit. “For our brand we wanted to challenge convention and not just take on the traditional retail battle of product and price. We have taken the approach of focussing on our unique attributes of being a very local independent retailer, coupled with a brand personality that allows us to apply creativity to every aspect of the business - from operations to marketing. “The brief to Andrew was to maintain the Barons’ characters as they have been hugely successful for us. They give our brand a unique face and personality in a competitive space which is cluttered and has little individuality. “In this Happy Holi-WA’s iteration we wanted to maximise our West Australian lifestyle and our unique idiosyncrasies with an execution which would stick in our customers minds long after the campaign finished. Through the inclusion of ‘jetty jaunts to Busso’ and ‘Chardy’s down in Margy’s’, we have been able to effectively portray the distinct personality of the Liquor Baron’s, celebrating our individuality and pride of being local, whilst still delivering messages around range, tailored offering and value for money,” said O’Brien.

16 | DECEMBER 2019 NATIONAL LIQUOR NEWS

NEWS

New Board appointed at Retail Drinks Australia Industry reacts to WA liquor barn legislation The Western Australian Government has implemented new legislation that will restrict the number of liquor barns that can open in the state. The introduced changes to the Liquor Control Act 1988, which took effect on Saturday 2 November, will not allow any new large packaged liquor outlets of 400sqm or greater to be established within five kilometres (metro) or 12km (regional) of an existing large packaged liquor outlet of 400sqm or more. The distances are calculated using the shortest route by road. The changes will still allow for ‘greenfields’ outlets to be established as a ‘first mover’, but no further large packaged liquor outlets will be allowed within the above distances. The changes are not retrospective – all existing venues will be unaffected, but they will not be able to increase the size of their retail sales area to more than 400sqm if another large packaged liquor outlet is within the prescribed distances. Racing and Gaming Minister Paul Papalia said the changes are the result of ongoing community concerns and extensive industry consultation, and will provide certainty to liquor industry investors in WA. The changes have garnered mixed responses from industry with the Liquor Stores Association of WA (LSA WA) saying it’s “a win for small family-owned businesses” while Retail Drinks Australia is “disappointed to see the restrictions come into force”. Shane Tremble, General Manager, Corporate Services Endeavour Drinks Group (EDG), disputes that there are community concerns around large packaged liquor retail outlets and argues that Dan Murphy’s is the most popular liquor retailer in WA. Tremble said: “Extensive market research has shown that Dan Murphy’s is the most popular drinks outlet in WA by almost any measure. “We’re not sure what community the government has consulted in formulating this policy, but… it appears to have been based largely on the views of our competitors and those of the anti-alcohol lobby. “The changes mean that any community in WA that doesn’t already have the opportunity to shop at Dan Murphy’s is very unlikely to get that opportunity. The new regulations will protect existing operators from competition and remove any incentive to innovate and provide customers with a better shopping experience.” Tremble also confirmed that EDG would be reviewing a planned investment pipeline that would have seen up to 30 additional stores open in WA. But LSA WA says that with alcohol consumption in decline it makes sense to restrict the number of big box liquor stores in the market. Peter Peck, LSA WA CEO, said: “The trend in alcohol consumption has been declining, so these regulations make sense. Why would you want to build a bigger outlet when fewer people are consuming? “Unlike these large liquor stores, the smaller outlets are very much a gateway to small distillers, craft brewers and smaller wineries, and without smaller stores they just wouldn’t have a marketplace to sell their wares because they don’t produce enough stock for the larger chains to carry their lines,” said Peck. “It’s a win for all Western Australian small business from vineyards, distillers, brewers and all of the other association WA small family businesses.” But Julie Ryan, CEO of Retail Drinks argues that the restrictions will impact small businesses that are looking to grow. “It is really disappointing to see these restrictions come into force, which affect all of industry’s opportunity for investment and growth, including the many small businesses who may operate large format stores or have a desire to expand,” she said. “Until all of industry unites behind all participants’ right to trade responsibly and stands up for evidence-based policy, these short-sighted positions will continue to fuel misconceptions around how to address alcohol related harm.”

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Retail Drinks Australia held its first Annual General Meeting (AGM) last month where it announced changes to its Board of Directors. John Carmody, Managing Director of Hotel & Tourism Management, has been appointed as the new Chair, taking over for retiring Chair, Giuseppe Minissale. Five new appointments were made to the Board including Chris Baddock, the CEO of ALM, John Wilson, Owner of Liquor Legends Hawker and Charnwood, Richard Kelsey, Co-founder of Beer Cartel, Scott Towers, Director of Red Bottle, and Sharni Wise, Retail Operations Manager at Vantage Group. An ‘Observer Seat’ will also be occupied by the winner of the 2019 Young Liquor Retailer of the Year winner, Monique Strand from Dan Murphy’s Campbelltown. The new Board members replace retiring Directors, Justin Dry from Vinomofo and Rod Pritchard from ALM. Faye Hartley from the Northern Territory and Sam Cufone from South Australia have also retired as Directors but will continue in a new capacity for Retail Drinks as State Council chairs. CEO Julie Ryan highlighted the strategic vision for Retail Drinks over the next two years, which would be centred on the expansion of services available to Members and ensuring that the organisation was an agile and effective advocate for all of industry in its representations to government. “As part of the core strategic vision for Retail Drinks over the next two years, we will be focusing on growing our membership services offering to assist our members operate their businesses sustainably and effectively, including in areas such as training and professional development, mental health and well-being, and data insights. “The second key pillar of our strategic plan is to ensure that we remain a strong advocate for liquor retailers with both State and Federal governments across Australia on key policy issues affecting the industry, and we will achieve this by continuing to facilitate cooperation and collaboration between all participants in the industry. “I look forward to working with new Retail Drinks Chair John Carmody and all of the new and remaining Board Members to achieve this ambitious agenda,” she said.

CHECK OUT THESHOUT.COM.AU NATIONAL LIQUOR NEWS DECEMBER 2019 | 17

NEWS

Eveline Albarracin

Brown-Forman names new Managing Director Brown-Forman (B-F) Corporation has revealed its new Managing Director for Australia, New Zealand and Pacific Island (ANZPI) will be Eveline Albarracin, who will commence the role 15 January 2020. Albarracin, who brings more than 20 years of experience in healthcare and consumer goods to the role, succeeds Marc Satterthwaite who retired recently. Speaking about the appointment, Marshall Farrer, Brown-Forman, Senior Vice President, Global Travel Retail and Developed APAC, said: “Eveline’s experience in building brands and leading strategic projects equips her well to guide this important market. “We believe Eveline will bring an outstanding set of leadership skills, valuable and diverse experiences, and a difference-making approach to our critically important ANZPI business.” Albarracin joins Brown-Forman from Galderma (Nestlé Skin Health) where she most recently served as Managing Director for Australia and New Zealand and prior to that served as the Business Unit Head for Prescription. Prior to Galderma, she worked for Actavis (now Allergan) and Valeant Pharmaceuticals where she held various leadership roles across both sales and marketing. Brown-Forman said that she will manage and direct the organisation in ANZPI “to achieve optimum profitability and sales targets by responsibly building B-F brands within the markets”. The corporation added: “She will lead strategic projects to grow the business through portfolio, pricing, route-to-market, resource allocation, and disciplined decision making.” Albarracin, who will be based in Sydney, earned her Bachelor of Science degree in Physiology and Pharmacology from the University of Queensland and has completed advanced finance and business management studies at the University of Queensland and the Australian Institute of Management in Sydney. She will serve on the Global Travel Retail and Developed APAC Regional Leadership Team, providing leadership to brand building strategies and partnership engagement.

18 | DECEMBER 2019 NATIONAL LIQUOR NEWS

Retail Drinks condemns online alcohol delivery study Retail Drinks Australia has hit out at a study into online alcohol sale and delivery in Australia by La Trobe University’s Centre for Alcohol Policy Research, saying it bears the hallmarks “of a poorly executed and unreliable study”. Retail Drinks CEO Julie Ryan has also criticised the Foundation for Alcohol Research and Education (FARE) for promoting the study saying that its findings were so deeply flawed that reliance on them could only be characterised as irresponsible. “The research released yesterday from La Trobe University, entirely funded by a research grant from FARE, bears all the hallmarks of a poorly executed and unreliable study which has clearly been designed with the sole purpose of painting an overly alarmist view of the online alcohol sale and delivery sector,” Ryan said. She added: “The minuscule sample size of this study alone (528 respondents) is enough to seriously bring its reliability and subsequent findings into question. “It is plainly impossible for this study to draw valid conclusions about the national state of Australia’s online alcohol sector when it is based on survey responses from roughly 0.002 per cent of the population. “This study has also unfairly and improperly categorised young Australians as risky drinkers and using online alcohol delivery services to further this behaviour, which is at odds with data from the Australian Institute of Health and Welfare (AIHW) showing that this demographic is now less likely to drink to excess than ever before. “The idea that a study as flawed as this one could provide any sort of blueprint for future government policy is utterly ridiculous.” Ryan noted that sound and well-balanced government policy is derived from a fact and evidence-based approach, and that idealistic and extremist views seeking to create unnecessary panic or alarm were irresponsible. “In commissioning and funding a study which can only be described as illegitimate, FARE have shown a brazen level of recklessness and disregard for a fact and evidence-based approach towards the development of alcohol policy in Australia. “Had this study sought to verify any of its own claims against industry data, or any other available data for that matter, it would have quickly discovered the extent to which its claims are entirely false and contrary to what is actually going on in the online alcohol delivery sector. “By way of example only, the study alleges that the main users of online alcohol delivery services are between 18 and 24 and yet industry retail data shows us that the average age of users of these services is actually over 30, which is based on hundreds of thousands of actual transactions by verified consumers. “There is no evidence in this study of any illegal supply of alcohol, just baseless and alarmist supposition to support a pre-determined agenda on online alcohol delivery.” In July this year Retail Drinks launched its Online Alcohol Sale and Delivery Code of Conduct, with signatories to the Code now covering more than 80 per cent of all alcohol sold online in Australia, including some of Australia’s largest online liquor retailers and major delivery companies such as Australia Post and Uber. The Code covers all points of the direct-to-consumer process involved in online alcohol purchases and deliveries, nationally. Ryan added: “The Retail Drinks Online Alcohol Sale and Delivery Code of Conduct is being internationally endorsed as representative of best practice in regulation, supporting the collaboration between industry and government to contribute to meaningful harm reduction. “The ultimate regulatory approach towards the online alcohol sale and delivery sector should be based on significant quantities of industry data on the actual alcohol deliveries themselves, and measured and verified risks, rather than a crudely designed online survey masquerading as academic research.”

SPOTLIGHT

Fireball continues to ignite sales across the nation SouthTrade International is bringing the perfect Fireball serve to bottle shops and advising retailers that merchandising it chilled will boost sales.

t’s been a long-standing belief in Australian liquor retailing that trends which build in the on-premise will in turn influence shopper behaviour in the off-premise. And this has not gone unnoticed by the team behind Fireball, a brand that is growing twice as fast as any other top 20 Bourbon brand in Australia (IRI Oct 2019). Currently 60 per cent of Fireball shots are bought with a beer in bars, so Senior Brand Manager Jon Prew says it’s time to “get this behaviour brewing in the bottle shop”. By offering the six-pack in the fridge, icy cold, alongside beers or RTDs, retailers will have the opportunity to grab this on-premise trend and make it their own. And to help, Fireball is rolling out a stack of new merchandise for its Fireball 50ml six-packs. “We are introducing beer fridge racks that slot simply into the fridge and house up to 12 six-packs, suction holders to display the six-pack from the inside of the door and for high volume customers, counter top mini fridges,” says Prew.

And so far, a trial of the new merchandise has been a burning success, with the rate of sale of Fireball quadrupling in stores that have merchandised it cold in the counter top fridges. Fireball has been the fastest growing whiskey in Australia for three years, growing at 38.9 per cent (IRI Oct 2019), and Prew says, “We show no signs of slowing”. “We’re chucking more fuel on the fire with the Fireball six-pack and are now focused on bringing the perfect serve to bottle shops – ice-cold Fireball shots. “Now is the time to turn small fires into big fires. There’s a lot of booze brands doing super safe, overpriced, downright boring stuff and adding little value to their customers. We want to make Fireball famous for creating the most talked about activations and innovations in the game, meanwhile adding serious value to our customers. “Our quest to become the format kings has started. We will provide a format for every (legal drinking aged) consumer, for every occasion they can dream of.” Earlier this year, Fireball released the super limited 3.5-litre Firebox cask, which contained two 1.75-litre casks and two taps to dispense more than 100, 30ml shots of the popular cinnamon whisky. Fireball is currently the third fastest growing brand in the top 50 spirits brands, behind only Vodka O and Skyy Vodka. It is the ninth largest American Whiskey in retail sales value and has its sights set on being the sixth largest American Whiskey brand in 12 months time. Contact your local SouthTrade International representative about selling Fireball cold and getting your hands on any of the new Fireball merchandise.

Fireball six-pack is an incremental purchase with beer in more than

50% of purchases

Fireball has been the fastest growing whiskey in Australia for three years, growing at 38.9%. “We show no signs of slowing.” - Jon Prew

NATIONAL LIQUOR NEWS DECEMBER 2019 | 19

IRI INSIGHTS

2019’s top drink trends Daniel Bone, Insights Director at IRI, takes a look at the trends of 2019 – what worked and what didn’t. And he gives us a quick snapshot of what to expect in 2020.

s we approach the most important key selling period in the liquor calendar, the $18.3bn Australian retail liquor market is continuing to show resilience against a soft macro-economic backdrop. Falling consumer confidence has been driven by dwindling household consumption growth, low wage growth and negative per capita GDP growth. Annual dollar growth of 3.3 per cent in the 52 weeks to 03/11/19 amounted to an additional $524m in sales growth. It also compares favourably to the 2.2 per cent YOY value increase observable at the same time last year (52 weeks to 04/11/18). Nevertheless, negative volume growth persists (albeit marginal, -0.5 per cent) against the backdrop inflationary excise increases, health and moderation influences and pressure on discretionary spend. Improved beer performance, with dollar growth up 2.4 per cent versus 1.7 per cent YA, has more to do with stabilising the leakage from lost ‘classic beer’ sales. Twelve months ago, the segment shed $162m in sales at a rate of -7.1 per cent. Fast forward 12 months and there has been a noticeable softening in the leakage stemming from classic beer amounting to -$73m (-3.4 per cent). The turnaround in Tooheys performance (from -3.7 per cent to +2.3 per cent) is the most notable brand example. Craft beer, although recording YOY growth that’s considerably down from the highs of 2015-17, remains a bright spot. Dollar growth has stabilised at around 9.5 per cent YOY for successive years. One notable shift in craft beer has been the rise of craft lagers, led by the impactful Mountain Goat GOAT Lager launch. It is an interesting outcome given that craft beer commentators in the more advanced US craft scene have long been predicting a resurgence of traditional craft lagers as a countertrend to the choice complexity that has resulted from a proliferation of styles and brands. Elsewhere, the two Great Northern lines still remain the two largest growth driving sub-brands across the total liquor industry, adding +$145m in raw dollar growth. No wonder the brand was awarded a Gold at the recent Australian Effie Awards with judges noting that “The Great Northern case study is a model for all students of advertising”.

Fastest growing Glass spirits remains the fastest and most significant dollar growth contributing category (+$317m), with only two of the 24 segments tracked by IRI in decline. We have observed quarterly dollar growth above nine per cent in each of the last three quarters, which has contributed to an annual sales uplift of 8.6 per cent (up from 3.5 per cent in the prior year). The sales acceleration has been particularly pronounced in light spirits, with annual dollar growth of 14.9 per cent versus 7.3 per cent YA. At a segment level, gin and vodka standout by accounting for a combined $140m in sales growth, up from a combined +$64m a year ago. That equates to a combined 45 per cent share of total glass spirits dollar growth, while only accounting for just over a quarter of category sales. Vodka’s rate of growth is more than 4.5 times higher than 12 months ago led by Smirnoff Red, Vodka O and Skyy – all of which are in double-digit growth. Herein lies the difference between the two key

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IRI INSIGHTS

growth segments: gin’s growth is led by innovation (and an expanding assortment) with a 31 per cent YOY active product count. In contrast, we have seen vodka’s active product count remain stable. Despite the swathes of NPD activity in gin, the ubiquitous Gordon’s brand has been the main growth driver. We observe the same theme in the rapidly growing UK gin market too whereby the pink sub-brand extension has proven incremental to sales, while also imparting a broader ‘halo effect’ on the core Gordon’s SKUs. But other non-traditional brands – both local and international – are having a profound impact on surging gin sales; a telling example is Roku, which is a top 10 growth generating SKU in glass spirits. The ongoing sales acceleration in gin (+30.5 per cent) has likely impeded the performance of Aperitifs, with leading suppliers like Diageo having noted that gin’s growth has been influenced by consumers coming into the early evening gin occasion that is typically the domain of an aperitif. On a related note, the upcoming summer period looks set to be a vital barometer in determining whether we have reached – and even gone beyond – ‘peak Aperol’. But Campari will no doubt invest heavily in well executed on- and off-premise trade activations to ensure Aperol remains front of mind for that crucial first-drink-of-the-night occasion.

Standout performers Double-digit growth in light spirits is the standout bright spot in the total industry (let alone spirits), yet resurgent dark spirit sales have also propelled total industry performance. The 6.3 per cent dollar uplift in dark spirits sales amounted to $138m in growth, up from $41m YA. Accelerated growth in single malt scotch (+14.7 per cent) led to a near $6m increase in growth contribution from what has been a consistently high performing super-premium product segment in recent years. However, it’s the near seven per cent uplift in blended Scotch that’s arguably more impressive given the declines that had characterised the segment previously. Specifically, Diageo’s globally lucrative partnership with HBO has been realised locally with the Johnnie Walker brand showing mid single digit growth, having recorded double digit decline 12 months prior. The reversal of the brand’s growth trajectory, which reflects the blended Scotch segment more broadly, is testament to the power of affinity-led marketing and using pervasive themes in popular culture to enliven established brands. It must go down as the packaging innovation of the

year in what is ultimately a tale of cultivating brand relevancy at a time when shoppers are expressing indifference towards the importance of established brands in directing their choices.

What’s next? When pondering what’s next in spirits, rum and tequila commonly feature in projections about what could take-off in the coming years. Tequila’s annual growth of 14 per cent, up from 5.7 per cent YA, is an indication that the agave distilled spirit will occupy a more prominent role in Australia’s burgeoning cocktail culture. While spiced rum growth of 5.4 per cent exceeds the total industry, we have not yet seen a significant sales surge in the off-premise that would get proponents of the so-called ‘rumolution’ to amplify their predictions of rum being the new gin. In contrast to spirits, very little good news is emanating from the performance of the cider fixture. Annual dollar declines of 3.1 per cent are better than the mid single-digit declines observable a year ago, but symbolise a category that has lost growth momentum for three years now. Near four percent dollar growth in fruit ciders is the only bright spot in the category, and that growth has softened from the 6.4 per cent increase a year ago. Wine is another category that has lost momentum over the last two years. Annual dollar sales growth is currently tracking below one per cent with just $33m added in growth (down from +$70m YA). Sparkling wine sales falling into marginal decline (-0.8 per cent) has primarily underpinned the softening category performance with still wine having recorded successive annual gains of 1.1 per cent. One noteworthy trend is the juxtaposition between the two largest selling wine segments. Led by Penfolds and 19 Crimes (the only two wine brands featuring in the industry’s top four sub-brands), Shiraz (+5.9 per cent) has overtaken Sauvignon Blanc (-3.5 per cent) to become the number one selling wine varietal YOY. In fact, Shiraz has overtaken rosé as the number one growth driving varietal even though the latter is growing by +20.2 per cent. Meanwhile, overall sparkling declines have been influenced by Prosecco’s reduced rate of growth and Champagne’s declines (-2.0 per cent), but ultimately led by sparkling white sales falling into mid single digit declines. And with rosé growth subsiding, it begs the question of what the wine industry can do to ‘sustain share of throat’ in the coming 12 months.

NATIONAL LIQUOR NEWS DECEMBER 2019 | 21

INSIGHTS

IT’S ALL ABOUT THE CUSTOMER:

AI, BIG DATA AND BLOCKCHAIN IN AN OMNICHANNEL WORLD Norrelle Goldring overviews the discussion panel on emerging technology uses in liquor retail at the recent Drinks Innovation Summit.

ollowing on from my recent articles on Big Data and AI, in late October I was invited by Intermedia, publishers of National Liquor News, to host a panel at the first Drinks Innovation Summit (DIS) on new and emerging technologies and their applications for customer experience in liquor retail. Below is a summary of the panel discussion that revolved around AI, Big Data and Blockchain, with a few supplementary points. Panelists included Matt Michalewicz, Managing Director of artificial intelligence consultancy Complexica; Rod Pritchard, GM Merchandise at Australian Liquor Marketers (ALM); Damien Bueno, ANZ Managing Director of enterprise software giant SAP; and Michelle Grujin, Managing Director of Retail at management consulting firm Accenture.

Why AI now? If Artificial Intelligence (AI) has been around as a concept for 50 years, why is it only becoming prominent now? According to Complexica’s Michalewicz, the two key drivers have been improvements in business and technology, and the two are linked. Consumers have been trained over the past generation to be able to get what they want when they want it, and businesses are looking for solutions to meet this expectation. Businesses have more digitised processes than in

the past, and this has assisted the growth of AI. Technologically, computer power has become cheaper, and the data to train AI is readily available with the explosion of the internet. The capabilities and algorithms of AI have improved to incorporate ‘deep learning’; considering what consumers see and what they say using their natural language, to recognise patterns in how they think. AI and machine learning automates analysis. It makes assumptions, assesses models and re-evaluates data to provide detailed predictions at speed and scale, without human intervention. It learns from itself, with predictions becoming increasingly accurate and more specific over time.

Applying AI to retail Michalewicz sees the natural areas of AI application to retail as being areas of complexity and high value. These include customer communications personalisation, promotional planning, price optimisation, demand planning and forecasting, and optimising in-store inventory. Pritchard provided an example of how ALM is applying AI. ALM’s retail network numbers 2,700 stores, 1,600 of which are aligned to banners and 1,300 of whom contribute sales data. ALM also has scan data along with other data sources and was finding the challenge

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not to be an absence of data but rather making meaning of the data already available. Compounding this is the increasing consumer need for personalisation and location in liquor, particularly in wine but also in craft beer as the complexity in that category grows. ALM has been utilising AI to connect the data source dots and optimise promotional planning. ALM has six banner groups, each in multiple states, resulting in dozens of potentially different promotional programs. Traditionally, promotional programs had been grouped for scale and efficient buying. AI has enabled ALM’s category teams to improve the sales to customer through ensuring right products in the right store at the right price for the store’s individual customer base. Eventually, Pritchard sees AI being employed for localised insights for use by BDMs and in-store, and for personalised offers through e-commerce and loyalty platforms.

What is ‘Blockchain’ and why is it important for retailers? Accenture’s Grujin explained that blockchain is about moving away from a ‘single source of truth’ and opening the value chain – tracing all steps in the supply chain for instance – through restricted and secure data. Blockchain enables knowledge of the value chain steps and

INSIGHTS controls what and when things are audited, and distributes information to a consumer in a way that demonstrates its authenticity. This then enables suppliers and retailers to identify and isolate in which parts of the supply chain may be creating most wastage. Or for consumers, more immersive experiences, as they can see how and where the product has come from and validate its authenticity by tracing its provenance. An example is in wine, to prevent high value wines such as Penfolds Grange from being counterfeited, or at least counterfeits being purchased.

The role of Big Data in all this SAP’s Bueno perceives one of the primary uses of data is around customer satisfaction and experience. This is because organisations that feature high customer satisfaction, and experience scores outperform on the top and bottom lines. Engaged consumers are more likely to be frequent buyers and 60 per cent more likely to buy more. Five per cent retention of the customer base can have a 20 per cent impact on the bottom line. One example is Kmart in the USA, where customer feedback via survey indicated levels of satisfaction but this was at odds with the sales data. Looking at multiple data sources identified the feedback was only coming from the lower value customers and they weren’t receiving feedback from higher value customers. Red Bull knows that ‘a cold Red Bull is a sold Red Bull’, so they monitor fridge temperatures through Big Data and intelligent technologies.

Another example Bueno provided is yoghurt manufacturer Chobani, which involves its customers in the product development process and localises product through iterative and ongoing feedback. Lion engages customers in key parts of the lifecycle such as packaging. The point being that organisations – whether retailer or manufacturer – that involve the customers in a statistically significant way perform better. And while Big Data may enable nimble supply chains, if there isn’t emphasis on the customer then several tricks are missed. Pritchard points to the quality of data collected as the fuel for AI, and impacting how hard and fast retailers can leverage it, All the panelists agreed that rather than trying to boil the ocean or doing ‘diagnostic’ analysis, it is better to start with the problem or opportunity you’re trying to solve. Simply having more data doesn’t necessarily mean better outcomes. Further, Michalewicz suggests that any sort of diagnostic analysis has no value unless an action is generated and taken from it. However, because of the amount of data available, decision making has become more complex than a decade or so ago. He suggests focusing on the highest value decisions that need to be made. Grujin suggests using data to make decisions that impact the end customer.

Where to start? To avoid data paralysis, Michalewicz suggests mapping out your problems, challenges, and desired outcomes rather than starting with what data you have. Begin with what you want

to improve and what the future state looks like, and then determine what data and processes are required – in effect, work backwards. Effectively one of Steven Covey’s Seven Habits of Highly Effective People: “Begin with the end in mind”. Grujin advocates the use of traceability to reassure customers not only where something comes from, but in the event something goes wrong to identify how and where it went wrong in order to reassure customers you know the problem and the solution. Bueno brings it all back to the customer, stating that while the fascination with AI is real, it exists within known paradigms. That is, most executives say they know what AI is and most say they are doing it, yet few actually are. The focus on customers and AI can be mutually exclusive. Retailers need to ask customers what they think and feel. Small organisations that do best consistently ask their customers for direct feedback.

About Norrelle Goldring: Norrelle has 20 years’ experience in the liquor industry and in retail, category, channel and customer strategy, planning and research, working in and with global retailers, manufacturers and research houses. Contact Norrelle on 0411735190 or email norrellegoldring@hotmail.com.

L-R: Norrelle Goldring, Damien Bueno, Michelle Grujin, Rod Pritchard, Matt Michalewicz

NATIONAL LIQUOR NEWS DECEMBER 2019 | 23

water, one of our best drinks on tap.

DRINKWISE

at this venue.

New industry commitments highlight why DrinkWise model works

Private and Confidential © Copyright The M

Simon Strahan, the CEO of DrinkWise, discusses how their initiatives are successfully helping to educate Australians to consume alcohol in a healthier and safer manner.

ur partnerships with the wine industry and NSW’s Flemington Liquor Accord demonstrates both the commitment of industry to promoting moderation messages and the ease with which they can be integrated into existing resources and activities. The DrinkWise partnership with Australian Grape and Wine, state and regional wine associations is an initiative to help educate consumers on standard pours and, importantly, provide them with the ability to track their drinking. Why is this important? Regional tourism is critical to Australia – and wineries and cellar doors form part of that tourism approach across many areas within Australia. As we know, most wineries offer a range of varieties to taste and most visitors will visit several cellar doors. With multiple tastings on offer and multiple cellar doors visited, consumers need an easy and effective means to track their drinking. In partnership with the wine industry, we have been distributing tasting tracker information posters and scratch cards (pictured) to more than 1,700 cellar doors around the country during November and December. The resources will enhance consumer understanding of how many pours (tastings) add up to a standard drink, providing a practical solution for consumers to moderate their drinking during their winery visits, particularly if they are driving. It will also allow vineyard owners to educate and protect

consumers within and beyond their own wineries. The materials will also be provided to tourism agencies to be incorporated onto regional tourist maps so consumers can plan their journey responsibly. With this initiative delivering on multiple levels: consumer education (amount consumed); consumer protection (against drink driving); venue protection (consumer care); and tourism duty of care (basic education), it has rightly been praised by consumers, cellar doors, industry and government alike. The cellar door materials will also be distributed to health, tourism and agricultural agencies to increase awareness of the initiative. Another important partnership, between DrinkWise and the Flemington Liquor Accord, has recently been established to promote moderation to all patrons entering their member venues and the precinct. With 239 licensed venues, the Flemington Liquor Accord is the largest liquor accord in NSW geographically and by footprint, with a membership base made up of local clubs, restaurants, venues, retailers and law enforcement agencies – all of whom are showing great leadership by looking at all available opportunities to promote responsible consumption of alcohol. Through our partnership, DrinkWise and the Accord licensed venues will deliver moderation messaging, helping to promote a great experience for patrons as well as reinforcing expectations around individual responsibility

24 | DECEMBER 2019 NATIONAL LIQUOR NEWS

when entering Accord venues. The print and digital resources (pictured) will be provided to all Flemington Liquor Accord members in time for the busy summer period. The Flemington Liquor Accord has shown great leadership in this initiative and has set the benchmark for Accords looking to reframe the consumer experience at venues. The pilot will be expanded across other Accords in time, opening up a significant and important channel to consumers in and around drinking venues. Continued improvement in the Australian drinking culture relies on effective consumer education and engagement. As a not-for-profit, DrinkWise relies on the industry to be an active part of the solution. These partnerships, along with the companies and associations listed below, illustrate the importance of an ongoing commitment to help to educate those Australians choosing to consume alcohol, to do so in a healthier and safer manner. DrinkWise contributors and members include: Accolade Wines, Aldi, Australian Grape and Wine, Australian Hotels Association, Bacardi-Martini Australia, Brewers Association of Australia, Beam Suntory, Brown-Forman Australia, Campari Australia, Carlton and United Breweries, CocaCola Amatil, Coles Liquor, Coopers Brewery, Diageo, Endeavour Drinks Group, Lion Beer Australia, Pernod Ricard Winemakers, Retail Drinks Australia, Spirits & Cocktails Australia and Treasury Wine Estates.

ALCOHOL BEVERAGES AUSTRALIA

Corrina Wright

Neil Bullock

Katherine Johnston

Celebrating our Industry Andrew Wilsmore, CEO of Alcohol Beverages Australia (ABA), takes the opportunity to celebrate the people that make the liquor industry great.

Monkeys 2019

he end of the year is always a great time in our industry as people everywhere celebrate the holiday season, and while others are winding down, many of us are flat out ensuring orders are delivered, promotions and campaigns are executed, and sales figures meet expectations. It’s a great time for everyone to celebrate their achievements during the year while savouring the best products our industry carefully crafts. While the industry is facing its fair share of challenges from a regulatory viewpoint (including pregnancy warning labels, National Alcohol Strategy and National Drinking Guidelines), it’s easy to forget what a fantastic industry we are in, which is largely down to the innovative and entrepreneurial people that work in it, day in and day out. In the last month or so I have had the privilege to glimpse firsthand the passion, energy and commitment of the people in this sector. We recently commissioned a video to hero the people involved in the industry’s supply chain – from the farm to the table. We wanted to show how the industry continues to respond to changing consumer preferences, the increasing technology in every aspect of the supply chain and the people behind some of Australia’s most iconic brands. What’s clear from the story is that in every aspect of the industry – whether it’s from the growers, the makers to the distribution centre, or to the retail shop and publican – there is focus on quality and ensuring consumer preferences are met. Neil Bullock from Barossa Distilling Company is a great example. He says: “Gin has been around for many years, and there is plenty of scope for great

tasting products, but we need to evolve our product set to go where our customers are going. This means crafting non-alcohol and lower alcohol botanicals that still taste amazing but are reaching that growing sector.” Mikey Enright, a stalwart of the Sydney pub scene agrees, he says “more people at the Duke of Clarence want to drink less, but they want more craft, and that’s exciting”. Jonathan Lieu from Archie Rose adds that “people are looking for an experience – they don’t just come to us to go to the bar, they want to understand how we make our products, they want us to craft something just for them, and they are interested in the providence of the ingredients. It’s the total experience that we can offer them”. The retail scene has changed too, “Gone are the days of people buying in bulk, people want to savour their drinks with food, with friends and family, the biggest change in 40 years is that people are buying better, they buy less, but better quality products,” says Giuseppe Minissale of Porter’s Liquor. “Drinking behaviour has changed,” says Dr Tim Cooper of Coopers Brewery. “Moderation is the new normal not just across the whole market but for young people too – and that’s particularly gratifying.” In addition to changing consumer preferences, technology and improved customer service is a critical component of the supply chain. The ALM warehouse is one of the biggest distribution centres in the southern hemisphere, and their use of a robotic arm and computer-based picking and packing has meant real improvements to their business. Katherine Johnston, General Manager at ALM says, “our technology has really improved

our customer service by speeding up the process and ensuring improved accuracy. We still employ a lot of people here on site, but we have reduced injuries significantly, such as back strains and knee strains, and this is great for our staff”. Technology improvements are not limited to distribution or retail, they include innovations in growing raw ingredients that are vital to the production of high quality products. Growers are focused on improved yields, water management, and soil analysis so they can continue to supply the quality and quantity of grapes, hops, malt or botanicals that are needed by the makers. Neil Hahn, grower and producer at Hahn’s wineries, says: “Growing is in my blood, I have great memories of working out here with my Dad, but things have changed, with improved soil techniques and water management to keep the ground temperature down in this hot valley, we have had to really think outside of the square to produce what we need. There is still scope for improved technology in this business.” What was apparent in each participant was the pride in their work, and the passion for the consumer. The sense that the industry is in great hands is also a critical factor – the idea that each person was thinking hard about the future, the changes that they were making in their business and the sense of caretaking for a future generation is really special. In Corrina Wright’s own words (from Oliver’s Taranga): “I’m raising my kids on this farm, it’s the seventh generation and it’s great.” Neil Hahn echoes this too: “I have a great vineyard I can hand on to the next generation.” So, here’s to the people that make this industry so great. Stay safe this holiday season, and all the best from Alcohol Beverages Australia.

NATIONAL LIQUOR NEWS DECEMBER 2019 | 25

WINE AUSTRALIA

Australian Pinot Noir dominates Peter Bailey, Manager Market Insights at Wine Australia, talks about the exceptional domestic growth of Pinot Noir.

inot Noir is one of the standout categories in the domestic wine market. It is now the third biggest selling red table wine in the offtrade behind Shiraz and Cabernet Sauvignon and, among the top 10 categories, only rosé sales grew at a faster rate in 2018–19. According to IRI MarketEdge, in 2018–19 Pinot Noir held a 10 per cent value share of total red table wine sales, compared to 37 per cent for Shiraz and 18 per cent for Cabernet Sauvignon. Together, the three varieties account for two-thirds of the red wine sold in the off-trade. Australia dominates the Pinot Noir category. Australian Pinot Noir accounted for two-thirds of the total value of Pinot Noir sales within Australia. Australian Pinot also outperformed its overseas competitors in growth, increasing sales by 16 per cent compared to two per cent in 2018–19. By value of sales, the top five Australian Pinot Noir regions of origin were Yarra Valley, Tasmania, Mornington Peninsula, South Eastern Australia and the Adelaide Hills. Sales from each region increased in 2018–19 (see Figure One). Pinot Noir is very much a premium category in the domestic off-trade market. The biggest price segment for Pinot Noir is at $20-$30 per bottle and sales in this segment grew by five per cent in the past year. There was also strong growth at $30-$50 per bottle, with sales up 16 per cent over the year. The fastest growing segment was at $10-$15 per bottle (with sales up 19 per cent). The limited research on the domestic on-trade market suggests that Pinot Noir over-indexes in the domestic on-trade market. The Annual Beverage Index On-Premise Industry Trends report published by eBev shows that Pinot Noir was the most popular wine consumed in restaurants, second most popular in bars, and third in pubs in 2017–18. The report also shows that Pinot Noir was the second most popular red variety in the domestic on-trade with a 22.7 per cent share of red wine consumed behind Shiraz (30.8 per cent) and well ahead of Cabernet Sauvignon (8.2 per cent).

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Figure 1: Pinot Noir sales in the domestic off-trade market, top five Australian GI regions (A$ million)

Source: IRI MarketEdge Pinot Noir is a relatively small export category. In 2018–19, Australian exports of bottled Pinot Noir were valued at just over $30 million. In comparison, straight Shiraz exports totaled just over $700 million and straight Cabernet Sauvignon totaled around $350 million. Over the past seven years, Pinot Noir exports grew by an annual average rate of five per cent. However, the growth rate slowed to one per cent in 2018–19. The USA is by far the biggest destination accounting for around a third of the total value of Pinot Noir exports. China and the United Kingdom are the next two major destinations but account for around half of what is sent to the USA.

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CHAMPIONING SUCCESSFUL INDEPENDENTS

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LEASING

The ins and outs of lease renewals Marianna Idas, the Principle Solicitor of eLease Lawyers, breaks down lease renewals and says that they’re not always as simple as you might think.

f you have a right to extend your lease you should make sure you do not miss the deadline to extend. If you are even a day late the landlord does not have to provide you with the extension. This could jeopardise your business. If no extension is provided, then you become a monthly tenant and the landlord can evict you by giving you only one month’s notice to leave the premises (depending on the lease terms). Each lease is different, and you should obtain legal advice to ensure you are aware of your rights and obligations. The lease should set out the terms on how the renewal must be exercised. These terms must be strictly complied with. We recommend following the steps below to ensure you comply with your lease and obtain your lease renewal: 1. T ime limits: Review the lease and identify the period in which you must exercise your option. The lease will normally state the start and end date for when you can exercise the option. For example, you must exercise your option between three and six months before the expiry date on the lease. 2. C hanges to the lease: Check if any changes have been made to the lease since the commencement date. Normally this is done via a document called a Variation of Lease or Amendment. Sometimes point one can be varied so make sure you are aware of the correct start and end dates to ensure

this time limit has not been altered. Many of the newer leases or varied leases do not allow you to exercise your option later than six or nine months from the expiry date. We recommend checking your lease before signing it and noting down these dates, so you do not miss deadlines. 3. Notice requirements: Identify in the lease the correct way to exercise the option. What this means is that you must strictly comply with the terms on how to give notice to the landlord. In the lease there should be a notice provision clause which states how a notice is validly served. For example: “Any notice must be in writing and signed by the party giving the notice and may be: a. left at or sent by pre-paid post to the landlord’s registered office (if a corporation); b. left at or sent by pre-paid post to the last known address of the landlord or as specified in the lease; or c. sent by facsimile to the facsimile number of the landlord.” Please be careful as many leases do not allow emails as a valid form of service. 4. Types of letters: There are different types of letters you can send to renew your lease. a. Standard extension letter: In your letter to the landlord asking to renew the lease you should confirm that you want to exercise

28 | DECEMBER 2019 NATIONAL LIQUOR NEWS

the option and if possible, state the clause that allows for the option to be exercised; b. Conditional renewal: If you only want to exercise the option with changes then you can put both matters in the same letter. If the changes are not essential then you can send two letters, one standard renewal letter and a separate one seeking changes. This is the safest way so that the landlord does not have an argument that the option letter was conditional. You can then negotiate the changes separate to the renewal. 5. Extend deadline: You can always ask if the landlord will agree to extend the deadline. If it is agreed please make sure you get this agreement in writing. 6. Landlord’s confirmation: Always write at the bottom of your letter that you require the landlord to confirm acceptance of the option (and changes if any) before the deadline. This acts as a backup just in case you do not strictly comply with the above. Exercising your option correctly is very important so that you do not miss out on an additional lease term. It is wise to obtain advice from a lawyer that specialises in leases to help save you money in the long run and to help protect your business. Please ensure you make note of important dates in your lease so that you do not miss any deadlines.

STRIKEFORCE

The experiential advantage Stephen Wilson, Category and Insights Manager at StrikeForce, talks about the evolution of the experiential shopping occasion as a keystone of attracting and retaining shoppers into the future.

omething experiential comes from the real world. Experiential things can be seen, touched and felt. During a recent mid-week visit to a major capital city destination shopping location I was struck by the stark contrast between retail stores where staff were almost overwhelmed by the volume of shoppers, compared to stores that were offering similar goods or services that were devoid of customers. Much has been written about expected doomsday scenarios for strip shops and shopping malls alike as a result of the rise of the digital economy and online sales, however bricks and mortar retailers that have stepped up, innovated and are providing a positive shopping experience revolving around entertainment, brand differentiation and understanding their shopper needs are enjoying solid patronage. This was evident when reflecting on why some stores at that particular shopping location were trading well while others were struggling by comparison. Regardless of whether these vibrant stores were pumping out coffee or selling the latest fashion items they were all offering a superior customer experience to their competitors and as a result were not only enjoying higher levels of foot traffic but price premiums as well. The similarity of offer was evident – clean, well lit, well laid out and uncluttered stores. Complementing these non-negotiables was a well-matched range tailored to the target demographic. Elevating the offer further was the unique atmosphere to awaken the senses, utilising the right mix of light, smell and sound based on the individual theme of each store. None were overpowering and each complemented the other to make the total shopping experience more enjoyable. The level of service was compelling with knowledgeable staff available for the shopper

who was seeking information before making a purchasing decision. For the shopper who preferred to make the purchasing decision themselves with a minimum of intervention and fuss, stores were laid out with wide aisles, products were easy to access and well-presented with easy to read price tags.

How does this relate to liquor retailing? We have seen a seismic shift in store ecosystems in recent years with retailers identifying the need for change. As an element of an evolving omnichannel strategy, bricks and mortar stores through a more granular understanding of shopper needs are tailoring their range, store environment and footprint to attract and retain shoppers. This trend exists across supermarkets, convenience stores and liquor channels. We are starting to see a blurring of boundaries with smaller footprint supermarkets and convenience stores duplicating ranges and offerings based on current trends. Convenience stores have long been lobbying for the right to retail liquor and supermarkets have been lobbying to establish a pharmacy service within their store boundaries. Both major supermarkets have identified the need for a more focused approach investing in smaller format stores with a tailored offer based on local demographics through Coles Local and Woolworths Metro brands. Metcash recently announced that they would be launching five new retail brands – Supa Valu by IGA, Fine Food Market by IGA, The Fresh Pantry by IGA, Village Grocer and Maxi Market with the vision of aligning these brands more closely with shopper needs. There has been a significant investment in refitting and redesigning supermarkets, improving the ambiance, look and feel of stores to elevate the shopping experience and better

reflect quality and freshness of products. The focus on fresh food, in-store bakery and premium offerings have all combined to elevate the shopping experience. Convenience stores are on trend and focused heavily in barista made quality coffee, nutritious and convenient pre-prepared chilled meal options as well as investing heavily in improving the in-store experience. The local convenience store has been transformed from the last resort for late night distress purchases to destination venues for tonight’s meal or a regular purchase of a small basket of premium entertaining items. Liquor stores too are offering a more targeted approach with premiumisation of product and in-store experience featuring heavily aligned with shoppers’ expectations. Testament to the success of investing time and resource in better understanding key trends driving shopper preference we are seeing the emergence of a more “experiential” offering. Quality in-store feature promotions are being tailored to local themes, as an example Dan Murphy’s recently showcased local craft beers in Sydney, while a new store in Tasmania featured a Tasmanian Whisky section. Independent bottle shops are uniquely positioned to understand their customers’ needs at a very granular level. Tailored ranges, knowledgeable staff and well-presented small format stores are not only retaining existing customers but attracting new ones. The non-negotiables of clean, well lit, well laid out and uncluttered stores have become hygiene factors for retailers to attract shoppers regardless of trade channel. Evolution of the experiential shopping occasion will be a major factor over the longer term in taking the focus off price as the major lever pulled when seeking to drive sales. Providing an enjoyable and dynamic shopping experience will be a keystone of attracting and retaining shoppers into the future.

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RETAIL DRINKS AUSTRALIA

How to make a success out of this year’s festive season The festive season can be the busiest and most profitable time of year for liquor retailers, but it doesn’t come without its challenges. Retail Drinks Australia’s CEO, Julie Ryan, discusses how to make the best out of this hectic trading period.

he lead-up to Christmas and New Year can be a frantic time for liquor retailers as there is added pressure to deliver at what is traditionally the busiest and most profitable time of the year. Typically, the total sales recorded in December can be anywhere from one and a half to twice as much compared to an average month of the year. The pressure to make the most out of the festive season is particularly important this year given the challenging conditions that the retail liquor industry has recently endured, with slow wages growth and reduced household spending negatively affecting businesses’ bottom lines. Fortunately, it would appear that we have now turned a corner, with increasing sales, better weather and improved consumer confidence providing retailers with a glimmer of hope as head into the festive season. Retail Drinks is fully aware that trying to stay on top of everything in a liquor store can be incredibly difficult even during the quieter

months of the year, let alone during the holiday period. There are a number of things that store owners should be mindful of to ensure that this year’s festive season is a success, both commercially and personally. First of all, liquor retailers should make sure that all of their various employee management systems are working as seamlessly as possible, maximising the amount of time you have to spend on servicing your customers. This includes things like your staff rostering, point of sales and payroll management software, just to name a few. This is particularly important if you are intending on hiring additional staff to manage the increased demand from customers. Keep in mind that public holidays over December and January will attract differing pay rates depending on the hours worked. If you are unsure about any of this, you can always contact our HR line on 1300 451 213. You should also make sure to read your liquor licence carefully and be aware that there

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may be restrictions on your ability to trade on certain days during the holiday season. This will vary from store to store and depend on your state and territory of operation. As always, you should make sure that you are compliant with all of your liquor licence conditions, bearing in mind that increased customer numbers will require extra vigilance from your staff around RSA. Again, Retail Drinks is here to help you with any questions you may have regarding RSA compliance or liquor licensing. Finally, Retail Drinks would urge storeowners to look after their own mental health and well-being over the Christmas and New Year period as there can obviously be a lot of added stress to deal with. While it may be tempting to devote all your time and energy into running your store, it is equally as important to spend quality time with loved ones and unwind over the festive season as much as you can.

RETAILER PROFILE

Monique Strand Dan Murphy’s Campbelltown

This month we spoke to Monique Strand from Dan Murphy’s Campbelltown, Retail Drinks Australia’s Young Liquor Retailer of the Year for 2019. Q: How did you get into liquor retailing? Monique: It started seven years ago, I was completing a Bachelor of Business Management at the time and the liquor industry really interested me. I absolutely loved learning about new products, whether it was with my friends making cocktails on a girl’s weekend or sitting down with my Grandfather enjoying a discussion about different wines we would try. The concept of learning about exciting products and sharing this with people on a daily basis was very appealing to me. I felt liquor retailing would be a really hip and fun industry to be a part of, so I applied for a job at Dan Murphy’s and landed myself the role as a Duty Manager at my local store. That is when my liquor retailing career began.

Q: What do you think set you apart from the other nominees? Monique: I believe my values, ways of working, qualities and leadership style set me apart. I have a profound passion for team development. With everything I do, I take my team on the journey with me, and I approach everything with the utmost passion, commitment and professionalism. I am very goal oriented and purposeful in what I do, with a genuine passion for the liquor industry and delivering the best experiences to our customers. It’s important for me to ensure I have strong awareness of the ever changing liquor industry and remain innovative in what I do, as seen in the initiatives, programs and systems I have implemented to improve team engagement,

customer experiences and business results. I have the ability to identify opportunities and lead change successfully, while striving to be a positive force for those around me and having a strong sense of adaptability. I believe I have a great sense of business acumen and have proven success identifying business opportunities and building strategies, as shown through significant results achieved in my career. I have a growth mindset and believe learning is a lifelong journey.

Q: What does it mean to you to be named Young Liquor Retailer of the Year? Monique: It gives me a great sense of accomplishment and personal brand recognition. In everything I do, I strive to give my complete commitment, drive and passion. To be recognised on such a large platform makes me feel very honoured and proud. It gives me a sense of gratitude for those around me such as my team, leaders and mentors that have influenced and supported me throughout my journey. But it also motivates and inspires me to keep learning and growing and to inspire and influence others.

“To recognise young liquor retailers is very important because they are our future leaders, influencers and advocates.” – Monique Strand Q: What opportunities will this open for you? Monique: I believe the opportunities this will bring will be invaluable. To be an observer on the board will give me the opportunity to network and build relationships across the industry. I will gain invaluable insight and learn about the industry through a different platform. I believe the opportunity of learning senior management techniques and how boards guide, direct and influence the industry will be extremely instrumental.

Q: How important is it to have an award that Q: What are you most looking forward to about being an ‘Observer’ to the board of Retail Drinks Australia? Monique: I am really excited to be introduced to senior industry leaders with diverse experiences and backgrounds and to build relationships with people who are overseeing the liquor industry. I am also really looking forward to the new insight into the liquor industry that this opportunity will bring.

recognises young liquor retailers? Monique: I believe recognition is paramount in any business and industry. It’s incredible that Retail Drinks Australia has created this platform, as it recognises the achievements and talent within the liquor industry in Australia. To recognise young liquor retailers is very important because they are our future leaders, influencers and advocates.

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WINE NEWS

Growers urge government to act about water Australian growers are urging State and Federal Government to take urgent action on freeing up water bring purchased by water traders. Written by Brydie Allen.

Australian Grape and Wine Growers has banded with other grower associations to urge the State and Federal Governments to act immediately and free up water being purchased by water traders. The group requests that interim measures be put in place to free up water. It warns that without such measures, there is risk of a mass exodus from the land and greater hardship for drought-stricken communities, towns and small businesses. CEO of Australian Grape and Wine, Tony Battaglene, said: “Australia’s droughtstricken communities are in peril and we need government to act now.” “We can’t wait for more government inquiries. Time is critical and interim measures to stop non-irrigators slowly starving irrigators of much needed water while keeping prices high are needed urgently.” Understanding the water market can be confusing if you’re not actively involved with it. At a basic level, it can be understood by looking at water rights as they usually exist in two different forms; entitlement (permanent water) and allocation water (temporary water). Entitlement is a legal right to an ongoing share of water each year. Over the last 15 years, entitlements are not just dependent on land ownership and can now be bought and sold by anyone (for example, the State and Federal Governments now own about 28 per cent of the southern Murray-Darling Basin entitlements for the environment). Allocation water is the volume allocated for use against permanent entitlements each

season, varying depending on the entitlement type and seasonal conditions. In very wet years, entitlement holders will be allocated 100 per cent of their entitlement, while in very dry years they may get less than 50 per cent or nothing at all, depending on their type of entitlement. Before 1 July 2014, only entitlement owners could buy and sell allocation water, which happened mainly between irrigators. But after this time and what remains in place today, is the freedom for anyone to buy and sell allocation, without having to own a water entitlement, land, or without ever using water for growing purposes. Allocation water also once held a ‘use it or lose it,’ rule for the year it was allocated. Any unused water from this allocation was returned to the collective pool for reallocation the following year. But now, entitlement owners can carry over their unused water for use or trade the following season, as well as buy water to carry over this period. This varies greatly between states, irrigation districts and entitlement types. The issue raised by the group is that companies without water needs for permanent farming irrigation or production supply have been allowed to buy up large quantities of water as an investment, withhold it from the market, and then sell it on for a profit. The group pushing for the change says there is a serious problem when a single company bought up to nine per cent of the total water allocation in the southern Murray-Darling basin in the 201819 year. They say that the carryover rules were designed to help irrigators manage risk, not allow investors to hoard from the market.

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“Many irrigators with permanent trees or vines, dairy cows or customer supply contracts have limited choices when it comes to water. They try and purchase the water, or they face the choice of losing their business and assets. There is no middle ground for them,” Battaglene said. “There is no time to delay. There is no room for politics. For many, this is an issue of survival.” Chairman of Australian Table Grape Association, John Argiro described the problem and what the group were pushing for. “Water needs to be made available to those who use it. When water becomes a commodity for speculation, putting rural and regional Australia at risk, I think it should be obvious to all that Australia has a problem,” he said. “We are not asking to limit water trade – quite the opposite. We want governments to intervene to allow water already allocated to be put to consumptive use.” The group further clarified that non-waterusing entitlement owners and irrigators could work together and still produce a favourable financial return for the entitlement owners. They identified that prices should fluctuate based on normal supply and demand market drivers too. However, the current issue lies in the sheer scale of the impact some non-irrigators are having on the allocation market. Entitlement owners and irrigators need each other to buy and sell allocations to benefit their respective businesses. As the group said, something needs to be done to ensure both sides of the market can be sustainable long-term.

WINE NEWS

Patritti is the world’s most beautiful wine The International Wine and Spirit Competition (IWSC) has recognised South Australia’s Patritti Wines as producing the world’s most beautiful wine bottle. It was the Patritti 2017 Merchant Shiraz that took out the coveted award, with judges commenting that the label is “meaningful and memorable… a beautifully simple and elegant label that demands attention in a completely honest and authentic way. The label is balanced and timeless, reflecting family history and Italian styling”. Managing Director, Ines Patritti, says winning the Wine Artwork and Bottle Design award for their 2017 Merchant Shiraz is being celebrated through the entire company. “To be internationally recognised for the quality and personality of our packaging is such an honour for everyone involved,” she says. “We intentionally stepped away from our traditionally conservative label designs to develop a completely new look for the Merchant Series. “Adopting the bolder label was an important step for us in winning the attention of a younger Australian audience – a move we are also pleased caught the attention of international judges too. “While the label needed to be fresh and interesting, it also needed to recognise the deep history of Patritti and tell the story of its founder, my father Giovanni Patritti.” Matt Remphrey from Parallax Design, the company that brought the label to life, said the challenge was striking a balance between Patritti’s rich history and its exciting future. “To strike this balance between old and new, a photo of Giovanni and his long-time friend and employee, Cristiano (Jimmy) Bisacca was selected, and an edgy, bold typography was overlaid on the photo. “While the typography is strikingly modern, it is reminiscent of popular font styles from Italy in the 1920s, the era when Giovanni first left Italy for Australia – giving the label another blend between old and new.” Patritti has also been awarded the red five-star winery status by James Halliday and maintains this ranking by receiving more than 90 points for multiple wines each year, including the label winning Merchant Shiraz.

Kollaras & Co signs agreement to expand into China Kollaras & Co has signed a distribution agreement with North China’s largest wine importer which will see the company’s brands distributed in China. The partnership with The Beijing ABA Company Ltd was signed at The China International Import Expo, which was held in Shanghai. Kollaras had the brands that will now be available in China on display at the Expo, which is a major initiative of the Chinese government to support trade liberalisation and economic development in China. Speaking about the agreement, Kollaras & Co Managing Director, John Kollaras, said: “Today marks a new chapter for our businesses. This joint venture is a great step as we strive for greater market penetration in North Asia. We are truly excited to continue engaging in one of the most rapidly-moving, innovative and dynamic markets in the world.” Li Yan, General Manager of ABA added: “Our mission is to bring only the best brands to end consumers. And we sincerely look forward to a successful, long term partnership.” The signing of the Memorandum Of Understanding was witnessed by NSW Deputy Premier John Barilaro, who said it is “fantastic” to see Australian companies expanding into China. He added: “But what’s even greater is to see successful family-owned organisations immerse themselves into evolving markets.” “Mr. Li Yan and Beijing ABA Limited – today you are not only buying into Australia and its wonderful wines, you are most importantly buying into a family brand.” The partnership will see Kollaras brands distributed through onpremise, off premise and online channels throughout North China, through Beijing ABA’s strong distribution network of seven affiliated companies in four cities.

ASVO announces new President and Board The Australian Society of Viticulture and Oenology (ASVO) has announced that Brooke Howell, Yalumba Family Vignerons, has been appointed President. Dr Eveline Bartowsky and Lallemand and Mike Hayes from Sirromet Winery have also been newly elected as Directors, while Dr Anthony Robinson and Dr Mardi Longbottom were re-elected. Kristy Bartrop, Andy Clarke, Richard Fennessy and Dr Paul Grbin continue as Regional Directors. Howell said it was an honour to be elected and she looked forward to building on the legacy of the ASVO. “I would like to thank outgoing President, Dr Anthony Robinson, for his hard work and dedication to the Society. He has been a terrific role model. His insight and focus have been invaluable during his term as President. I’m particularly pleased that he has been re-elected for his third term on the Board and will take on the role of Vice President on the new Board where he can continue to be a great source of wisdom and guidance.” Matt Holdstock and Chris Brodie are outgoing as Directors and the ASVO thanks them for their years of service.

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SPIRITS

New tech helps consolidate multiple suppliers A new ordering and payments platform has been launched which aims to make life easier and simpler for pubs, bars and bottle shops by bringing multiple suppliers into one easy system. Kaddy has been created by Rich Coombes and Mike Abbott and the platform offers a more streamlined option for dealing with the growing number of craft suppliers. It also means suppliers can be available to a growing number of venues and all under an easy payment system. Coombes, who has previously co-founded several beverages companies including Batlow Cider, Capital Brewing and Will & Co Coffee, said: “Rather than have 10, 20 or 100 different beer suppliers, for example, a venue can access their suppliers’ products with a single Kaddy account. It’s free to use for customers and they’re deriving a lot of value from it. “Ordering from so many different suppliers is a messy and inefficient process that usually involves text messages, emails and phone calls, not to mention the time-consuming process of setting up a credit application for every individual supplier, each of which may have different trading terms and requirements.” Kaddy also offers benefits to participating suppliers, with over 30 on board already, including craft brewers such as BentSpoke Brewing Company, The Grifter Brewing Company, Two Birds Brewing Company and Endeavour Brewing Company. “A supplier never has to send an invoice or chase a dollar of payment; they can focus on what they do best and love doing – making great products and building an amazing brand,” says Coombes. Already up and running across NSW and ACT, Kaddy expects to be able to facilitate orders nationwide by the first quarter of 2020. Interested parties, whether retailers or suppliers, can express their interest by visiting www.kaddy.com.au.

L-R: Rich Coombes and Mike Abbott

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Mr Black launches Single Origin Series Mr Black Roasters and Distillers has added a new product line to its collection, launching the Single Origin Series, a coffee liqueur from Colombia. Mr Black Co-Founder, Tom Baker, said the Single Origin Series will celebrate the terroir of top coffee growing regions around the world. “We wanted to give those that love coffee as much as we do the opportunity to celebrate the amazing diversity in flavour of single origin coffee, whether they are feeling it day or night.” This first release uses sought after ‘honey’ processed beans, nurtured by Luis Anibal of Finca Villa Betuila in Colombia. Baker said that being able to specifically select this coffee is possible thanks to the nature of the Mr Black business. “One of the benefits of being a small company that focuses entirely on boozy coffee, is that we can produce interesting and unique innovations like this, working directly with small producers from all over the world,” Baker said. Compared to the original Mr Black liqueur known for its robust flavours, the Colombian special edition represents the lighter side of the coffee spectrum. With light natural fermentation before processing, Baker describes it as a “little natural coffee funk, balanced with notes of figs, chocolate, and dark berries”. In terms of serving, Mr Black Global Coffee Ambassador Martin Hudák recommends it should be served neat or over ice. “This coffee liqueur is really special – Luis and his family are incredibly passionate about what they do, and the results show. To pick up the complex aromas and flavours, I’d encourage people to try it by itself,” Hudák said. “Not to say that it won’t inspire you to make a drink with complementary flavours. I put it in a delicious Old Fashioned style cocktail with sweet vermouth and dark rum.” With 25 per cent ABV, the 700ml bottles are available now.

Singapore’s Tanglin Gin now in Australia When you think about Singapore, the first thing that comes to mind probably isn’t gin. That’s something that Tim Whitefield, Andy Hodgson, Charlie van Eeden and Chris Box set out to change when they created Tanglin in 2018. The Western expats realised that the area didn’t have a gin to call its own and considering Singapore’s recent surges in the hospitality and bar scene, they saw a perfect opportunity to change that. After successfully pioneering the Singaporean spirits industry, Tanglin is now expanding and has chosen Australia as its first export market. Tanglin is available in two flavours: Orchid, and Mandarin Chilli. Both expressions are a mix of Eastern and Western botanicals, combining traditional gin with the taste of Asia. The Orchid Gin, Tanglin’s first release and signature product, has traditional typical notes of European gin, combined with whole Indian vanilla beans, java pepper and amchoor (a fruity spice powder typically used in Indian and Pakistani dishes). There’s also the addition of whole organic oranges, straight from Whitefield’s garden in Victoria. Meanwhile the Mandarin Chilli Gin, as the name suggests, combines citrus flavours with chilli and young ginger to give it “a little zing”. Whitefield, who is also Head Distiller, said these flavours in a gin have rarely been experienced by Australian palates, and reflect his desire: “to capture in the spirit the five main cultural groups that have made Singapore what it is today – Chinese, Indonesian, Malay, Indian and European.” “Our brand is as much about celebrating Singapore as it is about celebrating gin. Singapore is unexpected, just like our gin,” Whitefield said. Tanglin Gin has already won silver medals at the 2018 International Wine and Spirit Competition in Hong Kong and the 2019 San Francisco World Spirits Competition. Tanglin’s first two Australian products are available now and can be ordered by contacting orders@tanglin-gin.com.

BREWING

Lion to acquire New Belgium Brewing

Carlsberg is on ‘the pursuit of better’ Carlsberg has begun rolling out innovative new packaging in the Australian market that is not only more environmentally sustainable but also results in fresher tasting beer. The 170-year-old brand’s new look is a part of a global roll-out of packaging innovations that are chasing ‘the pursuit of better’. Globally consumers are looking for products that make a positive impact on people and the planet, so Carlsberg has implemented a variety of new initiatives to move towards sustainability. From November, all Carlsberg Pilsner 330ml bottles sold in Australia will feature distinctive new labelling that uses Cradle to Cradle™ certified inks that improve recyclability. Cradle to Cradle Certified™ is a globally recognised measure of safer, more sustainable products made for the circular economy. Carlsberg bottles will also feature new Zer02 oxygen scavenging bottle caps that remove oxygen from the head space in the bottles, reducing flavour oxidation and thereby resulting in a fresher tasting beer, for longer. These innovations represent some of the first consumer-facing manifestations of Carlsberg’s sustainability efforts launched in Europe last year and now rolling out in Australia. In Europe, these innovations have included the recently launched Green Fibre Bottle prototype, which are the world’s first fully recyclable ‘paper’ beer bottles. Cam Pearce, Marketing and Innovation Director of Coopers said that sustainability is the focus and the goal is to deliver great quality beer with less of an environmental impact. “Through our work with EPEA Hamburg and Cradle to Cradle™ we created a road map for making our packaging better.” The new bottles will be available in retailers across the country from December and will be supported by exclusive in-store displays, promotions on money-can’t-buy experiences, and merchandise. These packaging updates are just the beginning of a few world-first upgrades Carlsberg is making to its products that will be rolled out in Australia over the next month.

Lion’s global craft division, Lion Little World Beverages (LWB), is set to acquire one of the United States’ leading craft breweries, New Belgium Brewing. The companies have signed a definitive agreement for LWB to acquire 100 per cent of New Belgium Brewing in an all-cash transaction. The transaction is expected to close by the end of this year, pending approvals and closing conditions. LWB was first established in 2015, evolving over time to launch the Australian Little Creatures brand into the US, UK and Asian markets, and adding UK craft brands, Fourpure and Magic Rock. But until now, Lion and parent company Kirin have had a limited presence in the domestic US craft beer market, despite a significant portfolio across the rest of the world, including Australia. Lion CEO Stuart Irvine said it was an exciting time to be taking the next step in the US market. “We’re excited to welcome New Belgium Brewing into the Lion fold and take a significant step forward in the largest craft beer market in the world. We’re confident that our shared values and commitment to purpose and culture will provide the foundation for a great partnership in the US,” Irvine said. “Kirin has entrusted Lion with leading its global craft beer strategy and today’s announcement is an important milestone for all of us as we look to drive growth in markets beyond Australia, New Zealand and Japan.” Kim Jordan, Co-founder of New Belgium Brewing, said that the choice to go with Lion was due to the similarities that the companies share at their core. “If there are three things we’re known for at New Belgium, it’s our dedication to innovation and excellence in beer, our commitment to the culture and wellbeing of our co-workers and our crazy enthusiasm for being a business role model. We were thinking about these three things as we began to explore being a part of the Little World Beverages family,” Jordan said. “We’ve been pushing the boundaries of beer innovation as pioneers for almost three decades. Lion Little World Beverages are brewers’ brewers and we have really felt their commitment to this ancient craft. We’re absolutely excited about helping to build a collective of breweries – each with their own vibe – who share the same commitment to delighting beer drinkers with great beer, great businesses, and great collaboration among us.” Jordan will play a key advisory role in collaborating alongside other founders within the LWB network. New Belgium Brewing headquarters will also remain in the same place in Fort Collins, Colorado, and CEO Steve Fechheimer will continue with the same management team.

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BEER TALKS

I CAN’T BELIEVE IT’S NOT GLUTEN! As gluten free and reduced diets become more mainstream, the market for gluten free beers has flourished. Brydie Allen reports.

here’s been a shift in the drinking culture in Australia. Changing demographics including a rise in the buying power of millennials, new drinking occasions, an increase in immigration along with a general trend towards health and wellbeing has driven growth in no and low alcoholic drinks. As well, we’ve seen an increase in people looking for drinks with no or low sugar and carbs, as well as gluten free drinks. In fact, we’re in a period of great worldwide growth for gluten free beer, predicted to rise by 13.5 per cent between 2017 and 2022, according to a Research and Markets report. Driving this trend is the rising number of consumers looking for a gluten free or reduced diet. Well ahead of the trend back in 1998, and inspired by the lack of gluten free beer in Australia, John O’Brien set himself the task of making gluten free beers as good as any other – but he soon discovered it would be a challenge and it wasn’t until 11 August, 2005 that the first bottles of O’Brien were launched. The challenge was that he couldn’t find the right malted grains – they simply didn’t exist. So, he worked painstakingly with local farmers to source maltings of these special ancient grains (sorghum and millet). Brewing with these grains also required the development of new processes and customised equipment. It’s this combination of ingredients and equipment that sets O’Brien apart from other craft beers. “The reason I took so long to launch O’Brien was that I was really committed to delivering beers that delivered on taste. It took many years of trial and error to finally settle on beers that I was proud to serve to beer lovers,” O’Brien said. “Gluten free has definitely moved from being a specialty category to being mainstream,” O’Brien said. “I realised pretty early on that there are many consumers who are looking to reduce the amount of gluten they consume.” Trends that are shifting consumer behaviour in food are also translating into the drinks category. As O’Brien described, “recently we’re seeing more and more grocers, cafés and restaurants promoting the benefits of food made from ancient grains.

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“On top of that we’ve seen a shift in consumption across all alcohol categories to drinking less but better, and actively looking for products that are perceived to be ‘better for you’. O’Brien beer very definitely sits in this space.” A common complaint that seems to come from consumers when they try different versions of the products they love is that the taste is different and there is less variety. That’s also something that O’Brien kept in mind when brewing his gluten free beers, and why he took so long to release those first bottles. Although O’Brien beer is gluten free, it’s proven to be just as good as any other beer, being Australia’s most awarded gluten free beer. In 2019 alone, the range won six medals, including golds at the Australian International Beer Awards and the Independent Brewers Association ‘Indies’. Blind tastings didn’t identify the beers had different gluten free grains to regular beer. O’Brien said the key to the range’s success is continued commitment to quality and authenticity. With a core range of five beer styles and also seasonal releases, the beers are made from scratch to exact specifications, staying as true to original beer brewing techniques and ingredients as possible. “I’ve always strived to deliver beers that are true to the styles that beer drinkers know and love, with a taste that doesn’t compromise. This means that our consumers can seamlessly shift from a Lager, Pale Ale or Stout brewed using barley to one of our beers brewed using ancient grains,” said O’Brien. “Our beers stand up to any of the craft beers made with malted barley, and the number of local and international medals we’ve been awarded is testament to that.” The craft and gluten free beer categories are experiencing growth, expected to continue into the New Year. Stocking any of the O’Brien beer range can create a competitive edge over this festive season, allowing retailers to cater to a demographic that usually avoids beer. As O’Brien said: “It makes sense for liquor retailers to be providing gluten free beers that consumers can enjoy as part of their lifestyle.”

LEADER OF THE FREE WORLD

Brewed with the goodness of ancient grains to deliver uncompromising taste, it’s no wonder O’Brien is Australia’s most awarded range of gluten free craft beers.

rebellionbrewing.com.au

VODKA

Improving our Vodkabulary Vodka continues to maintain its stake as the country’s favourite light spirit. Brydie Allen finds out what life is like at the top.

he vodka category has long reigned supreme in Australia, somewhat quietly enjoying its comfortable lead amongst the light spirit category. With Australians’ consumption of spirits rising at a rate faster than any other liquor type, and light spirits leading growth ahead of dark spirits, the past year has easily left vodka in its same place on the podium. Trends of recent years have also not overthrown the vodka monarchy. As we lived through a rosénado and ginaissance, still vodka stayed on top. What we’ve seen during this time is the category adapt to respond to challenges, competition and changes in consumer behaviour. A significant strength of vodka is the ease at which it can be mixed to add quality to drinks. In fact, this is the whole philosophy that drove one of the world’s most popular vodkas, Ketel One. Bob Nolet, Distiller at Ketel One told National Liquor News: “My brother and I now being the 11th generation, we’ve always been focused on quality, especially with Ketel One Vodka. We focus on the martini and the quality improves that.” A commitment to the quality that vodka can add to mixed drinks also exists in the production of Australian vodka producer, Cape Grim 666. Distillery Founder Dean Lucas said when he first

created the brand in 2007, he: “understood that great vodka relied on quality ingredients, pure water and expert distilling skills.” It’s also the category’s focus on quality that makes vodka continue along the premiumisation trend. According to data from Insights Director at IRI, Daniel Bone, the price per litre of vodka has risen almost five dollars in the last two years. That figure is likely to rise, considering the history of innovation and development that has kept vodka a vital sector to the liquor retailing industry.

Increased flavours Way back before the alcopops tax, when sweet and sugary alcoholic drinks were all the rage, flavoured vodka was huge. A multitude of weird and unique flavours entered the market, not unexpectedly, considering the different tastes and lifestyles of consumers back then. That trend dropped off shortly after, but according to Bone’s data, the performance and value of flavoured vodka products has slowly begun to rise again over the past three years. Natural flavours and ingredients are more prevalent in the trend this time around, as well as an increased appreciation for the taste of the spirit itself. Nostalgia is partly to blame for one new product entering the market, with Grey Goose’s

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recent limited release of La Vanille in Australia. First created in 2003, the product has natural vanilla ingredients to infuse the vodka with caramelised and toffee notes. Grey Goose’s Global Ambassador, Joe McCanta, said: “For years, bartenders have been telling me about their creative cocktail recipes inspired by Grey Goose La Vanille when it first launched 15 years ago. “We’re excited that it will once again be back on shelves for a limited time and look forward to giving the community a chance to resurrect some of those bygone recipes.” Back home, Cape Grim 666 also recognised the trend and got on board. Having recently released two new flavoured products, the first for the brand since 2012, Lucas said their focus was on natural and quintessentially Australian products and flavours. “The development process for these new flavours has taken some time as they needed to be (and are) all natural, involve top tier supply partners (with sustainable and ethical production and sourcing practices) and incorporate unique Australian botanical elements and regionally distinctive ingredients,” Lucas said. The Cape Grim 666 Lemon Myrtle Honey Vodka and Wattleseed Coffee Vodka may seem like unusual flavours, however the

VODKA

“Over the past two years we’ve seen an incredible demand for a lighter drink that doesn’t scrimp on flavour or taste.” - Linda Wellington, Smirnoff recipes are from meticulously sourced local ingredients and native botanicals. Lucas said that the brand recognised the development of the vodka category coming to value taste, whether that be in added flavour or the spirit production itself. “There has been a lot written about the vodka category around the world in the last 12 months, almost with the view that vodka has been marketed globally as a neutral and clean tasting spirit,” Lucas said. “As gin now offers consumers a more interesting drinking experience, given the botanical flavour development that continues at a great pace, this has seen the leading global vodka brands shift product development into vodka with taste, highlighting terroir and not shying away from the character of the raw ingredients.” “This ‘new’ space is where our Cape Grim 666 Original Vodka has always been and so we welcome and are excited by the development and rise of vodkas with taste and character and a strong sense of origin.”

Clean and green One of the biggest consumer trends influencing retailing across all sectors in Australia is a general consciousness. People are conscious about their environmental footprint, about supporting brands that align with their beliefs, and about their alcohol consumption and health. The vodka category has recognised these concerns from consumers and reacted accordingly. Absolut is one such brand that realises the importance of being environmentally friendly. All Absolut bottles are made from at least 41 per cent recycled glass, something that they recently showcased in the release of a new limited edition bottle design. The bottle is aimed at sparking a conversation about reusing and recycling in creative ways. Henrik Ellstrom, Absolut’s Global Director of Strategy and Innovation, said that the brand is excited to be inspiring others with their own environmental commitment. “Absolut has been committed to sustainable production methods for many years,” he said.

Crazy vodka creations Some of the weird and wonderful vodka flavours from past and present. • Jalapeño bacon vodka: under the American Silver Spur brand, Cowboy Country Distilling currently has this corn-based vodka on offer that is all smoke and fire. • Pavlova vodka: this award winning vodka from our own Old Young’s Hand Crafted Spirits is “as Australian as Phar Lap and Crowded House”. With a meringue base and summer fruit infusion, it’s said to work well with sparkling cranberry juice. • Bone vodka: beef bones aren’t what you would expect a spirit to be infused with, but that’s exactly what UK-based Rebel Distillers did when it released Doom Vodka in collaboration with the Doom video game this year. • Chernobyl vodka: scientists this year produced Atomik Vodka with grain grown from inside the Ukrainian exclusion zone. Although the crop was said to be contaminated by radiation, the distilling process removed contaminants to make it safe to drink. • Fresh cut grass vodka: a few years ago, Polish vodka producer Wyborowa had a brand called Oddka, with a range of unique flavours that included Fresh Cut Grass, Wasabi, and Electricity.

“We understood that great vodka relied on quality ingredients, pure water and expert distilling skills.” - Dean Lucas, Founder of Cape Grim 666 NATIONAL LIQUOR NEWS DECEMBER 2019 | 39

VODKA “We believe that a glass bottle must have a second life. Absolut Recycled is a pure manifestation of this belief. We hope that our new limited edition bottle campaign will inspire more people to use creativity in order to waste less.” In terms of health, more consumers are opting for low or no ABV drinks that allow them to have the experience of drinking without being potentially affected by alcohol. This is combined with a drive for products that are ‘better for you’ with less sugar and fewer calories. The end results are new product developments that fit into changed drinking rituals and lifestyles. This can be seen in the fact that two Diageo brands have released low ABV calorie conscious variations in the space of a few months. Both Smirnoff and Ketel One have unveiled new product lines in Australia with a lower ABV than their core range, each of which are described as lighter options with natural flavours. Smirnoff’s Infusions line recently debuted with two flavours; Cucumber Lime and Mint, and Passionfruit and Lime. The 700ml bottle has 20 per cent ABV and 40 calories per serve, designed for mixing with soda. Speaking at the time of launch, Smirnoff Marketing Manager, Linda Wellington, said: “Over the past two years we’ve seen an incredible demand for a lighter drink that doesn’t scrimp on flavour or taste, and it’s with our new Infusions range that we finally can give Australia what they’re looking for. “A testament to our drive for both innovation and discovery, the lighter and more low-calorie offering is a simple way for Australians to enjoy a more interesting drink. It’s the perfect accompaniment to a balanced lifestyle or daytime occasion.” Ketel One, on the other hand, has just released its Botanical vodka line in Australia with three flavours that are similar to Smirnoff’s; Cucumber and Mint, Grapefruit and Rose, and Peach and Orange Blossom. The 30 per cent ABV bottle has 50 calories per serve, designed as a summer drink alternative to white wine.

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Smirnoff illusions cocktails Nolet told National Liquor News why Ketel One took the health conscious direction. “It’s a new varietal of our products, and it’s something that’s really unique and a whole new category within spirits,” he said. “Ketel One Botanical is really for the spritz moments. People are looking for a drink with a cleaner taste, lower calories, all natural flavours… it’s made for all around the world, where you’re seeing that people are enjoying more of the lunch moments and the brunch moments.” With no sign of slowing down, vodka’s agility in keeping up with the demands of its changing market will be the reason it remains comfortably on top.

SUMMER RETAILING

Summer loving As the weather heats up, so too do the amount of new release products hitting retailers’ shelves. Here’s a quick round-up of what’s launching ahead of summer.

1. Absolut Recycled The Absolut Recycled limited edition bottle is a timely reminder to reuse and recycle as much as we can, to limit the 1 use of natural resources and impacts on the planet. The bottle is made from at least 41 per cent recycled glass as the team at Absolut strive to achieve a more circular way of production. Henrik Ellstrom, Absolut’s Director of Strategy and Innovation said: “Absolut has been committed to sustainable production methods for many years. We are excited to be celebrating this, and specifically our recycling efforts, in the form of a bottle launch for the very first time. “We believe that a glass bottle must have a second life; Absolut Recycled is a pure manifestation of this belief. We hope that our new limited edition bottle will inspire more people to use creativity in order to waste less.” RRP: $41.99 (700ml bottle) Distributed by Pernod Ricard

3. Pimm’s Original No.1 Cup

Now Pimm’s can be enjoyed anytime, anywhere with Pimm’s Original No.1 Cup 250ml cans, which serves up the Pimm’s Original No.1 Cup paired with lemonade and ginger ale. It’s the perfect convenient choice for a picnic in the park or a barbecue with friends. The Pimm’s No.1 Cup recipe is a gin-based spirit with a fruit flavour, made from a secret recipe infused with a delicate combination of herbal botanicals, caramelised orange and warm spices. With Pimm’s you know exactly what to expect each time; the perfect balance of fruity and tasty. RRP: $18.99 per four-pack (250ml can) Distributed by Diageo

4. Buckley’s Rye Whiskey Sydney-based company Crafty Buggers has unveiled its debut offering, Buckley’s Rye Whisky. Buckley’s is a smooth full-bodied rye whisky aged for a minimum of two years in charred new American oak barrels. Imparting rich vanilla and caramel notes to perfectly complement the spicy dry rye, it’s best enjoyed neat, over ice or in a Buckley’s Rye and Dry to accompany any occasion. Buckley’s is a full-bodied ‘straight’ rye whisky made with a mash bill of 95 per cent rye and five per cent malted barley. Crafty Buggers’ Founder, Hugh Roxburgh said: “I wanted to create a whisky that is new and exciting, that not only better reflects modern day Australia but also tells a story that resonates with Australians.” RRP: $60 (700ml bottle) Distributed by Paramount Liquor and Gateway Liquor

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2. Fireball 50ml six-packs Fireball has been the fastest growing whiskey in Australia for three years and so to keep that momentum going and ‘chuck more fuel on the fire’ so to speak, SouthTrade is rolling out beer fridge racks that will house up to 12 six-packs inside the fridge door, and for high volume customers there are also countertop mini fridges. At on-premise venues, Fireball shots are typically bought with beer, so the new fridge rack merchandising avenues allow retailers to drive incremental revenue rather than having consumers swap between products. The idea is that when a customer comes in for a six-pack of beer, they will also grab a six-pack of Fireball shots. Jon Prew, Senior Brand Manager at SouthTrade said that selling Fireball cold drives retail sales value for bottle shops, like in bars. In a recent trial in 10 retail outlets, return on sales of Fireball quadrupled in stores that merchandised it cold in countertop fridges. The Fireball 50ml six-packs are 33 per cent ABV and will provide consumers with the ultimate small format convenience pack this summer. RRP: $29.99 (6 x 50ml bottles) Distributed by SouthTrade International

SUMMER RETAILING

5. Gordon’s Premium Pink Gin & Soda Sleek, elegant and the season’s most gorgeously convenient serve, the perfectsize and pretty-in-pink Gordon’s Premium Pink & Soda 250ml cans provide an easier way to enjoy Gordon’s Premium Pink Gin. The refreshing taste of Gordon’s is balanced with the natural sweetness of raspberries and strawberries and paired with sparkling soda water, for a sweet, light flavour this summer. Gordon’s Premium Pink Gin is inspired by an original Gordon’s recipe from the 1880s; made using only natural fruit flavours for the highest quality real berry taste with a delicate fruity sweetness. RRP: $18.99 per four-pack (250ml can) Distributed by Diageo

6 6. Whitley Neill Handcrafted Gin

9. Fluère ‘Spirito Non-Alcolico’ Introducing Fluère ‘spirito nonalcolico’ (pronounced: flu-air), the perfect solution to the new drinking trend of moderation in Australia. With 23 per cent of Australians having abstained from alcohol in the last 12 months and through initiatives such as Dry July and Ocsober, the nonalcoholic spirits sector has seen an additional 620,000 shoppers this year and this is expected to grow in 2020. Fluère comes from a collaboration between Dutch VOC Spirits and 18th century distillery Hooghoudt and is now exclusively imported in Australia by Noble Spirits. Fluère ‘spirito non-alcolico’ botanicals are rigorously sourced with seeds from the exotic Casablanca coriander, the best juniper berries from the high peaks of the Himalaya and exquisite lavender from Provence and Mediterranean lemon peel. To obtain the best out of every branch, leaf and berry, all botanicals are individually distilled in a copper pot still using hydro-steam distillation. The essential oils derived from the distilling process ensure the premium taste and unique after-bite of any drink made with Fluère ‘spirito non-alcolico’. RRP: $49 (700ml bottle) Distributed by Noble Spirits

7 7. Lyre’s Non-Alcoholic Spirits Many years in the making, Lyre’s range of lovingly crafted alcohol-free, classic spirits was borne from a quest to make the impossible possible. To provide an alternative to those who don’t wish to imbibe alcohol, but still wish to enjoy the mirth, merriment and social intercourse of an evening soiree or shindig. But this is not just any alternative. Every Lyre’s spirit looks and tastes just like the original. The range includes Dry London Spirit, Italian Orange, Coffee Liqueur, Amaretto and Triple Sec and is aimed at giving people the freedom to choose how they want to drink while being able to stay social. Lyre’s is continuing to gain momentum in Australia and globally. More information about the range is available on the Lyre’s Spirits Co website (lyres.co). RRP: $39.99 (700ml bottle) Distributed by Swift & Moore

The UK’s number one premium gin, Whitley Neill, has landed in Australia with six of the distillery’s key products now available. Speaking about the range, Whitley Neill Gin’s Global Ambassador, Devin Tomlinson said he is excited to be bringing the range to Australia and that he’s predicting big things for the summer. “We’ve brought the original gin, which is in the black bottle that Johnny Neill designed and that’s the flagship brand. Then there is the biggest extension, which is the Rhubarb and Ginger and that’s the UK’s number one premium gin at the moment. “Beyond that is our exotic Quince gin from Persia, that has an apple-pear profile and is almost like a liqueur in terms of taste but it’s still at 43 per cent, so it’s a high-strength gin. Then we have the Blood Orange and that is more of the bartender’s friend; it’s beautiful in Negronis and is pouring at some of the top-end on-trade in London. “It’s really good in a Martinez, but just in general it works with any good vermouth or Amaro, it works in a Gin and Tonic or Gin and Soda, it really plays into the Aperitivo and Vermouth trend.” Other SKUs coming to Australia include Raspberry and Pink Grapefruit and all come in the distinctive, brightly coloured bottles synonymous with the Whitley Neill range. RRP: $59.99 Distributed by Halewood Australia

8. BentSpoke How’s It Gosen? BentSpoke’s latest release is part of its Drifter series, a range of seasonal beers that drift in and out. A long-time favourite with customers at BentSpoke’s Braddon venue, How’s It Gosen? is the latest of the brewpub favourites to be canned. Originally, the mineral-rich river Gose in eastern Germany provided the brewing water to create the salty profile, with the sourness coming from the yeast and lactobacillus (the same culture used in yoghurt). Gose is traditionally brewed with coriander, but in keeping with BentSpoke tradition, brewers and co-owners Tracy Margrain and Richard Watkins have bent the rules of beer by adding fresh mango and passionfruit into the mix. “We were thinking of summer and our favourite things, like eating a pavlova at a barbecue with friends,” said Margrain. “Richard and I are big fans of gose, especially in the summer months, and we’ve tried to capture the essence of an Australian summer with this latest release.” BentSpoke’s How’s It Gosen will began rolling out to stores in the ACT from Friday, 8 November, with other states to follow shortly after. $17.99 per four-pack Distributed by BentSpoke Brewery

NATIONAL LIQUOR NEWS DECEMBER 2019 | 43

SUMMER RETAILING 10. Applewood Navy

Drawing inspiration from Navy-Strength Gin’s ability to store exponentially more flavour than standard gin; Aussie beverage producers and agricultural entrepreneurs Brendan and Laura Carter (Applewood gin, Unico Zelo wines, and Økar Amaro) now launch Applewood Navy, the first addition to their core range in nearly five years. Teasing out the starter botanicals of Applewood Australian Gin, Applewood Navy doubles the impact with the highest amount of Juniper they have ever used, along with doubling the concentration of their star botanical – the ultra-rare Desert Lime. Always championing a ‘place-first’ mentality, the Navy Gin features rare Yuzu grown in Victoria. With highly elevated citrus and pine top-notes, coupled with the highest ABV they’ve ever released - Orris Root is used as a unique fixative to weigh aromatics and flesh out the mid-palate - resulting in a Navy Strength Gin that speaks of a place and an intensity of flavour Applewood has not yet explored. RRP: $90 (500ml bottle) Distributed by Applewood Distillery

14. Natural Distilling Co’s Hemp Gin Natural Distilling Co’s Hemp Gin is made using limonene, one of the main organic compounds found in cannabis plants. The limonene adds an ultra-rich profile to the spirit, mingling alongside notes of juniper, mandarin and lime, and finishing with soft spice. Limonene is also found in citrus peel and is said to have anti-inflammatory properties which can be used to relieve stress and naturally decrease anxiety and depression. Rhys Staley, Natural Distilling Co’s Founder, explains: “Hemp is a super-food and super plant, with countless environmental and nutritional benefits. While you won’t get high from hemp, the drinks yield an ultra-rich, citrus profile.” RRP: $96 (700ml bottle) Distributed by Natural Distilling Co.

13. Glenfiddich Fire & Cane Glenfiddich has launched the fourth concept in its Experimental Series 13 with Glenfiddich Fire & Cane, an unexpected combination of smoky Glenfiddich whisky finished in sweet rum casks. A fusion of two flavours, Fire & Cane has been inspired by the early innovation of Glenfiddich Malt Master Brian Kinsman. His Experimental Series was initiated in 2003 when he ran peated spirit through the Glenfiddich stills, breaking whisky conventions within the single malt category and ultimately setting the foundation for the unique profile of Fire & Cane. With a bold pairing of smoky whisky with non-peated malts matured alongside Bourbon casks, Fire & Cane highlights Glenfiddich’s sweet and fruity signature style. Finished in Latin rum casks, the whisky has a surprising overlay of caramel toffee sweetness. RRP: $85 (700ml bottle) Distributed by William Grant & Sons

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11. Handpicked x Gorman Rosé Fashion and wine collide in a summertime limited-edition rosé from Handpicked Wines and fashion label Gorman’s. The rosé is made to drink young and fresh, with fruit from Handpicked’s Yarra Valley vineyards, which are in conversion to organic certification, resulting in a great flavour intensity and fresh natural acidity. This is the second collaboration from the pair, with a successful Chardonnay and Pinot Noir release in 2018 that debuted on the opening runway of Virgin Australia Melbourne Fashion Festival (VAMFF). The partnership between Lisa Gorman and Handpicked has evolved over several years with a natural synergy between both brand’s values and creative approach to their respective industries. “Wine and fashion are the perfect marriage; a partnership of opposites attracts. The challenge to hold an authentic and sustainable vision is present in both industries which is where our values with Gorman align,” says Handpicked Director of Winemaking Peter Dillon. This is the third year of Handpicked’s limited-edition rosé project, having partnered with Romance Was Born in 2017 and 2018 to kick off the fashion-forward rosé run. RRP: $28.99 (750ml bottle) Distributed by Handpicked Wines

12. Patient Wolf Summer Thyme Gin Melbourne independent boutique gin producer, Patient Wolf Distilling Co., has won the Trophy for Best London Dry Gin for their Summer Thyme Gin, at the Cathay Pacific Hong Kong International Wine and Spirit Competition 2019 (HK IWSC 2019). The Cathay Pacific HK IWSC is one of the most prestigious competitions in the world, with the Trophy awarded to the best gin in the London Dry category, the biggest and most respected of all gin categories and an award higher than gold, judged from the 40 entries that achieved gold from 10 countries. Dave Irwin, Head Distiller at Patient Wolf, is thrilled about the win, “It’s a great feeling to have our hard work recognised in such a prestigious competition. Our Summer Thyme Gin is very popular among bartenders and our customers, and this award just confirms why.” The Summer Thyme Gin is inspired by summer, enjoyed all year round, with fresh thyme and lemon vapour infused in Patient Wolf’s custom-made Müller copper still, bursting with lemon zest and delicate piney freshness. RRP: $75 (700ml bottle) Distributed by Patient Wolf 12 Distillery

WINE TASTING

THE PINOT G PANEL This month the panel tasted Pinot Gris and Pinot Grigio, scoring the best wines overall across the categories.

THE PANEL

1. Daryl Fisher, General Manager, Fisher Fine Wine

4. Andy Milne, Brand Manager, SouthTrade International

2. Nigel Burton, CEO, Burton Premium Wines

5. Tom Lynar, National Sales Manager, DMG Fine Wine

7. David Wright, Key Account Manager, Treasury Wine Estates

6. Renée Foster, Communications & Marketing Manager, Moppity Vineyards

8. Emma Fogarty, Brand Manager, SouthTrade International

3. Mark Bradstreet, Key Account Manager, Joval Wine Group

THE PANEL’S PICKS Brokenwood Pinot Gris Region: Beechworth VIN: 2019 LUC: $21.50

Gartelmann Stephanie Pinot Gris Region: Orange VIN: 2019 LUC: $13.98

“Palate has great intensity and structure with a long finish… yum.” – Tom Lynar

“Bit sweet and floral. Good intensity, nutty, complex.” – Daryl Fisher Distributed by Gartelmann Wines

Distributed by Samuel Smith & Son

Evans & Tate Breathing Space Pinot Gris Region: Margaret River VIN: 2018 LUC: $9.83

“Plenty of fruit on the nose with a touch of greenness adding complexity. A great wine.” – Tom Lynar Distributed by Fogarty Wine Group

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

46 | DECEMBER 2019 NATIONAL LIQUOR NEWS

85-89 Very good: a wine with impressive qualities

WINE TASTING LUC $15 AND OVER aylors Estate Pinot Gris T Region: Clare Valley VIN: 2019 LUC: $15.48

C astel Firmian Pinot Grigio Region: Trento, Italy VIN: 2018 LUC: $19.35

“Upfront nose leading to a full palate. Rich, nutty, inoffensive. Sitting between Gris and Grigio.” – Renée Foster

“Lemony citrus nose. Quite a rich, mouth filling palate.” – Renée Foster

“Light, fresh and grassy on the nose. Lemon on the palate with some minerality.” – Emma Fogarty

“Attractive fruit, lemon characters on palate. Good length to finish.” – Nigel Burton

Distributed by Taylors Wines

Distributed by Single Vineyard Sellars

T ’Gallant Grace Pinot Grigio Region: Mornington Peninsula VIN: 2018 LUC: $17.05 “A balanced wine, not much length, but a good drink.” – Daryl Fisher “A hint of reduction on the nose adds to the green fruit profile. Vibrant palate, a serious Pinot G.” – Tom Lynar

Distributed by Treasury Wine Estates

“I found the Pinot Gris performed so much better, so many interesting wines to drink.” - Daryl Fisher B ird in Hand Pinot Gris Region: Adelaide Hills VIN: 2019 LUC: $17.85

A non Pinot Gris Region: Tasmania VIN: 2018 LUC: $18.79 “Citrus and stone fruit. Refreshing and easy to enjoy on its own.” – Emma Fogarty “Honeyed, rich palate. Quite full and broad and advanced for a 2018.” – Reneé Foster

“Good balance and poise with this one.” – Mark Bradstreet “Ripe fruit, nice palate. Weight balanced by good acid.” – David Wright

Distributed by Bird in Hand

Distributed by Fogarty Wine Group

“I only picked about 60 per cent of them as being the style they’re labelled as on the bottle - which ties in with the confusion around this grape and styles in the wider market.” - David Wright

F rom Sunday ‘Carbonic’ Pinot Gris Region: Orange VIN: 2019 LUC: $19 “Pink and slightly bronze in colour. Good fruit but lacking in intensity.” – Tom Lynar “A fun and interesting wine, a real standout.” – Daryl Fisher

Distributed by Captains of Trade

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

85-89 Very good: a wine with impressive qualities

NATIONAL LIQUOR NEWS DECEMBER 2019 | 47

LUC $12-$15 iesen Estate Pinot Gris G Region: Marlborough, New Zealand VIN: 2019 LUC: $13.75 “Fresh pear and florals on the nose. Palate is vibrant and well-integrated. Beautiful.” – Emma Fogarty “A very pretty, soapy nose. A full sweet palate, mango and tropical fruits with a sweet coating. Nice acid and good length.” – Renée Foster

“Some really aromatic wines coming out that are almost Moscato like.” - Andy Milne

Distributed by Oatley Fine Wine Merchants

A ra Single Estate Pinot Gris Region: Marlborough VIN: 2019 LUC: $12.90

D e Bortoli Pinot G Region: Riverina/King Valley VIN: 2018 LUC: $12.45 “Pear and red apple on the nose. A bright, vibrant, Gris style wine.” – Tom Lynar

“Lime, tropical fruits, peach. Complex grippy finish, good acids.” – Daryl Fisher

“Bit of bacon, citrus, lemon. Simple, but a good drink.” – Daryl Fisher

“Beautiful nose with citrus, pear and musk but let down by an out of balance palate.” – Tom Lynar

Distributed by De Bortoli Wines

Distributed by Oatley Fine Wine Merchants

S wan Bay Pinot Grigio Region: Bellarine Peninsula VIN: 2019 LUC: $14.40

S quealing Pig Pinot Gris Region: Marlborough VIN: 2019 LUC: $14.73 “Forward, zippy acid, good mouthfeel and a lingering finish. A forward and fresh take on the style.” – Mark Bradstreet “Vegetal, grassy, un-ripe green fruit, verging on herbaceous. Good texture and well balanced length.” – Andy Milne

Distributed by Treasury Wine Estates

“Light yellow blend, good acid finish.” – Nigel Burton “Subtle, neutral nose, high acid, quite nutty.” – Renée Foster

Distributed by Scotchmans Hill

T empus Two Platinum Pinot Grigio Region: King Valley VIN: 2019 LUC: $14.84

P atritti Merchant Pinot Grigio Region: Adelaide Hills VIN: 2019 LUC: $12.90 “Fresh fruit notes. Rich body, balanced.” – Nigel Burton “Well balanced pear, citrus. Medium length. Great for summer.” – Emma Fogarty

Distributed by Vinsight Wine (NSW/ACT); Wine Solutions Australia (SA); Patritti (Rest of Australia)

“Juicy fruit with bright acidity and a touch of sweetness.” – Tom Lynar “Pineapple, gooseberry, limy citrus concentration. A classic Pinot Grigio, perfectly balanced wine.” – Daryl Fisher

Distributed by Australian Vintage Limited

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

48 | DECEMBER 2019 NATIONAL LIQUOR NEWS

85-89 Very good: a wine with impressive qualities

LUC UNDER $12 J acob’s Creek Classic Pinot Grigio Region: South Eastern Australia VIN: 2019 LUC: $7.26

a La Land Pinot Gris L Region: Victoria VIN: 2019 LUC: $10.54 “Pear and honeysuckle characters on the nose with a thickness on the palate.” – Tom Lynar “Floral, honey perfumed. Concentrated big finish, marzipan, nutty, amazing.” – Daryl Fisher

Distributed by Red + White

“Lime cordial and zest. Great texture, medium bodied, easy drinking, refreshing. Short length but very pleasant.” – Andy Milne “Lifted lemon citrus flowers with a touch of sherbet confectionary. Nice acid. Refreshing.” – David Wright

Distributed by Pernod Ricard

K ono Pinot Gris Region: Nelson, New Zealand VIN: 2018 LUC: $11.75

W olf Blass Makers’ Project Pink Pinot Grigio Region: South Australia VIN: 2019 LUC: $11.82

“Peach and pineapple on the palate. Medium finish.” – Emma Fogarty

“Pink in colour, some savoury/herbal characters on nose giving complexity… a delicious wine.” – Tom Lynar

“Enticing honeyed, smoky nose. Wonderful complexity, intriguing and great balance.” – Renée Foster

“Rose petal, strawberry, sherbet. Intense and rich.” – Daryl Fisher

Distributed by Star Beverages

Distributed by Treasury Wine Estates

“There was a trend towards more tropical flavours. The best wines were fresh and had some floral notes to balance out the acid.” - Emma Fogarty Z ilzie Selection 23 Pinot Grigio Region: Murray Darling VIN: 2019 LUC: $7.31 “Grassy nose, gooseberry characters.” – Nigel Burton “Fresh subtle nose, citrusy palate, nectarine and peach. Lovely balance and length, great value.” – Renée Foster

Distributed by Fesq and Company (VIC/NSW/QLD/ACT); Options Wine Merchants (SA/NT); Distinctive Wines & Spirits (WA); Swallow Liquor Merchants (TAS)

J acob’s Cool Harvest Pinot Grigio Region: South Eastern Australia VIN: 2018 LUC: $9.07 “Bright tropical fruit, long length.” – Emma Fogarty “Slightly honeyed tropical notes on the nose. Richer palate, rounded and smooth.” - Reneé Foster

Distributed by Pernod Ricard

“There was excellent balance and complexity in the best wines.” - Renée Foster

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

85-89 Very good: a wine with impressive qualities

NATIONAL LIQUOR NEWS DECEMBER 2019 | 49

EVENTS

Guests smell and taste their blends

The blending set up

1. Chivas ‘The Blend’ Experience lands in Australia Chivas Regal launched their Blend your own whisky experiences into Australia this month. The guided tasting sessions allow guests to try their hand at the art of blending whisky with floral, fruity, citrus, creamy and smoky flavour profiles, creating their own 200ml blend to take home. Chivas Master blender Sandy Hyslop said: “Each component in a blend plays an important role in determining the profile of the finished whisky; I can’t wait to see what creations my fellow blenders around the world put together.” Further sessions are to come from now until March in Sydney, Melbourne, Brisbane and the Gold Coast.

3 2

Dressed up and angle grinding performers

3 Simon Hopkins

2 Barbarion hosted death metal karaoke

3. Fireball x Brown Cardigan Halloween Party Fireball teamed up with Australian social media meme sensation Brown Cardigan to bring a ‘Hell-o-ween’ party to a Melbourne warehouse. Featuring a special selection of firey drinks curated by Fireball, including the FireSpresso Martini, the event saw a range of hellish activities to celebrate the spooky season. Attendees were wowed by a fire wheel of death, cage performers, tarot and mystic ball readers and death metal karaoke, among other things. There was also the chance to try the Fireball ‘how do you want your balls’ twisted shot bar, combining Fireball whisky with other spirits and liqueurs like Blue Alize or Mr Black.

50 | DECEMBER 2019 NATIONAL LIQUOR NEWS

Guests celebrate the event at Nola Smokehouse and Bar in Barangaroo, Sydney.

2. TEMPLETON RYE WHISKEY LAUNCH Kollaras and Co celebrated their launch of Templeton Rye Whiskey into Australia with an exclusive dinner, drinks and masterclass event. Guests were treated to succulent Americanstyle meat dishes at Nola Smokehouse and Bar, with each course paired with the Templeton four year old, six year old or barrel strength whiskey. Pairings and tastings were facilitated by Nola’s resident American Whiskey specialist, Simon Hopkins, who also conducted the masterclass throughout the night. Topping off the event was Nola’s delightfully creamy ice cream infused with Templeton Rye Whiskey.

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* Google Analytics 2018, TheShout averaged 60,497 unique users per month.