AUSTRALIA’S LEADING LIQUOR INDUSTRY MAGAZINE
Vol. 41 No. 1 - February 2022
The 2022 Annual Industry Leaders Forum
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Editor’s note
WE ENCOURAGE RESPONSIBLE DRINKING
Editor’s note
Get the facts DrinkWise.org.au
Reflecting on another pandemic-impacted year in
capitalising on your strengths. Presented alongside
the liquor industry has been tough. There have been
expert knowledge, analysis and predictions from
highs and there have been lows, as restrictions and
research organisations and thought leaders, it’s an
lockdowns forced us all into another unpredictable
essential tool to help your business evolve in the
12 months.
best way this year.
As usual, I find the leaders featured in this
At 156 pages, this is one of the biggest issues in
issue, our 2022 Annual Industry Leaders Forum,
National Liquor News history. It’s a feat that simply
have echoed my own thoughts in describing 2021
wouldn’t be possible without the support of this
- a mixed bag, a rollercoaster, a bit chaotic, or as
vibrant industry, so thank you to all the companies
Kathleen Davies of Nip Of Courage so aptly said:
that have been part of this 2022 edition, and an
“like driving with the handbrake on.”
extended thanks to you, our readers.
Within these pages you’ll find stories from leaders
Our Leaders Forum also wouldn’t be possible
across the industry, describing how they balanced
without the incredible hard work of the team
the highs and lows of the stop-start year behind
around me at Intermedia. A billion thanks go to
us. It’s inspiring to hear how so many businesses
Kea Thorburn, Seamus May, Shane T Williams,
have seen adversity as opportunity and have
Deb Jackson and Natasha Jara, who have all been
expanded and transformed to be well positioned
integral to the creation of this issue.
for the greatest success in the year ahead. For me,
All the best for a prosperous 2022!
this shows that in the liquor industry, there’s a well known saying that is ringing true - when the going
Cheers,
gets tough, the tough get going.
Brydie Brydie Allen, Editor
wholesalers, suppliers and associations, this issue
02 8586 6156
presents a well rounded lesson in finding and
ballen@intermedia.com.au
Top Reads
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118 Raising a glass to the roaring twenties
➤
110 Understanding occasions is the key to successful shopper marketing
➤
62 Recalibration, reflection and resilience
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20 | National Liquor News
Editor: Brydie Allen ballen@intermedia.com.au Journalist: Seamus May smay@intermedia.com.au General Manager Sales – Liquor & Hospitality Group: Shane T. Williams stwilliams@intermedia.com.au Group Art Director – Liquor and Hospitality: Kea Thorburn kthorburn@intermedia.com.au Prepress: Tony Willson tony@intermedia.com.au Production Manager: Jacqui Cooper jacqui@intermedia.com.au Subscription Rates 1yr (11 issues) for $70.00 (inc GST) 2yrs (22 issues)for $112.00 (inc GST) – Saving 20% 3yrs (33 issues) for $147.00 (inc GST) – Saving 30%
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DISCOVER A NEW WAY TO BOURBON
DISCOVERY SERIES T R U S T YOUR S P I R I T
Contents February 2022
News & Predictions 24
26
News: The latest liquor
63 CUB Premium Beverages
Research, Insights & Associations
industry news for retailers
64
Campari Australia
101 Alcohol Beverages
around the country
65
Coopers
Events: an exclusive
66
De Bortoli
68
Diageo
69
Endeavour Group
103 Activate Group Australia
70
Exceedra
104
Cider Australia
106
DrinkWise
look into the industry’s recent events 28 Brick Lane celebrates expansion 30 James Brindley
62
Carlton & United Breweries
72 Global Endeavours
Australia 102 Alcohol Beverages Advertising Code
Australia
108 Euromonitor International
73
Good Drinks Australia
110
cleanup initiative
74
Hellyers Road
32 Marketplace: Brand news
76
Idle Hour
farewells Lion 31 SouthTrade International’s
38
and promotions
77 Independent Liquor Group
Predictions: Industry
78 Independent Liquor
leaders predict 2022’s trends
Retail, Wholesale & Suppliers 47
ALDI
48
Ampersand Projects
49
Archie Rose
50 Bacardi-Martini Australia 52 Brown Family Wine Group 54
Big Drop Brewing
55
Beer Cartel
Retailers 80
Lion
81
Liquor Barons
82
Liquor Legends
84 Liquor Marketing Group 85
Lyre’s Spirit Co
86
MEXINK
88
Never Never
89
Nip Of Courage
90 Pernod Ricard Winemakers 91
Red Bottle
92
Thirsty Camel Victoria
Growth Scope
114 Independent Brewers Association 116
Ipsos
118
IRI
120 Liquor Stores Association of Western Australia 122
New Zealand Wine
124
NielsenIQ and CGA
128
Shopper Intelligence
102
Retail Drinks Australia
132 Spirits and Cocktails Australia 134
StrikeForce
136
Wine Australia
94 Treasury Premium Brands
Year in Review
Community
95
White Bay Beer Co
137 The key stories that
58
BrightSide
96
William Grant & Sons
shaped the Australian
59
Brown-Forman
98
Wine Depot
liquor industry in 2021
60 Calabria Family Wine
99
Yalumba
56 Brick Lane Brewing
Group
22 | National Liquor News
126 Standout wines of 2021 154
Features list for 2022
JOURNEY INTO THE UNKNOWN
News The latest liquor industry
Bill Lark
For retailers around the country
Boozebud purchases Get Wines Direct BoozeBud has sought to consolidate its position as a leading online liquor retailer with the acquisition of established wine e-commerce retailer, Get Wines Direct. Boozebud said in a statement that the merger will create a business with over 200,000 active customers. CEO and Co-Founder of BoozeBud, Alex Gale, believes
Lark to celebrate 30 years in 2022
the purchase will be mutually beneficial, saying: “Get Wines
Lark Distilling Co is planning a year of celebration to mark
Direct has an exceptional team that has built a business
the 30th anniversary of Bill Lark being granted Tasmania’s first
with a well established customer base and a broad set of
distiller’s licence in 154 years, back in 1992.
retail capabilities. “BoozeBud will benefit from bringing Get Wines Direct
From the humble beginnings of a small still, Lark has grown to be an internationally recognised and celebrated Australian
knowledge and experience into its business, and Get
whisky, with Bill Lark now a inductee into the Whisky Hall of
Wines will benefit from BoozeBud’s digital, marketing, and
Fame. The brand was also one of four distillers nominated for
operational strengths.”
Worldwide Whisky Producer of the Year at the 2020 International
Similarly, John Harris, the Head of Get Wines Direct, says: “Get Wines Direct have been looking to align with another
Wine & Spirit Competition. Looking forward, the brand’s future is as bright as ever, after
like-minded online retailer to form one of the country’s
the acquisition of the Pontville Distillery in October 2021, giving
largest online liquor retailers.
Lark a 500,000 litre distilling capacity and a diverse, inclusive,
“BoozeBud was selected due to their like-minded values and ambitions to grow at a rapid rate and become
whisky-loving community. As well as growing its team and production capabilities, Lark
a significant disruptive force in the liquor space. Our
said it will continue to innovate by exploring unfamiliar flavours
combined strengths provide the best level of synergies to
and processes, and collaborating with those who share an
ensure we are successful in these ambitions.”
affinity for creativity – like Seppeltsfield and Wolf of the Willows.
Both businesses will operate separately, with
In a statement the company said: “The brand remains the
management teams and employees remaining unchanged.
leading voice and tastemaker in the Australian whisky market,
Boozebud harbours ambitions to become Australia’s
and continues to shine on the international stage. Indeed, all
foremost pure-play online liquor retailer, and stated it will
over the world as Lark makes its mark in bars and tumblers
continue to explore further acquisition opportunities into
across the world, it’s obvious that Bill Lark’s original message of
the future.
excellence and craft is being received by avid fans all keen for a taste of Tassie’s tiny island community.”
24 | National Liquor News
News
Treasury Wine Estates announces $1.4bn refinancing through Sustainability Linked Loans
Furphy puts AFL and AFLW sponsorship on equal footing Furphy is leading the way in matching sport sponsorships across
Treasury Wine Estates (TWE) has announced that it
women’s and men’s games by equalising its sponsorship of AFLW
will engage Sustainability Linked Loans as a means of
teams the Melbourne Demons, St Kilda Saints, Richmond Tigers
connecting financial and sustainability performance.
and Sydney Swans alongside their AFL teams.
Sustainability Linked Loans (SSLs) provide accountability for the delivery of TWE’s sustainability ambitions. SSLs incentivise the borrower to perform well against
This is the first time a major beer club sponsor has matched its sponsorship commitment across AFL and AFLW teams. “Anyone who’s seen a game of AFLW knows how captivating
Sustainability Performance Targets (SPTs) – as a favourable
and electric the competition is. In just five seasons, these players
performance will invoke a loan margin reduction, while
have become role models across the Australian community,” said
underperformance will lead to an increase.
Lion’s Chief Marketing Officer Anubha Sahasrabuddhe.
Kirsten Gray, TWE’s Chief Sustainability and External
“Not only are they inspiring new fans and new members,
Affairs Officer, said: “We have a responsibility to be a leader
they’re promoting a footy culture that is even more inclusive. We
in sustainability and recognise it is fundamental to our long
believe it will go a long way to support the clubs and raise the
term success.
profile of AFLW around the country.
“This approach is embedded in our strategy and the
“While there’s clearly a significant path ahead to close the
establishment of the sustainability linked loans is another
gender pay gap on the footy field, we want to do our bit to show
important step towards integrating our sustainability
we think the competitions stand side by side.”
agenda across the business.” TWE will be assessed against several of its disclosed
Saints CEO Matt Finnis said: “To have a homegrown business like Furphy invest in the AFLW is a testament to their commitment
sustainability targets, including: 100 per cent renewable
to helping grow the game and expanding its reach across both
electricity usage by 2024; a reduction in greenhouse gas
the women’s and men’s game.”
emissions; a comprehensive review of water usage and footprint; 50 per cent women in senior leadership, and a 42 per cent female workforce in general by 2025. TWE is the first Australian wine company to use SLLs, engaging the services of BNP Paribas, HSBC, and Westpac
Sahasrabuddhe said she hoped that this announcement would see other sponsors make similar commitments. “From where we sit, it’s only fair that AFL and AFLW clubs get the same recognition. It’s time to step up and I’m proud that’s what Furphy is doing,” she said.
as ‘Sustainability Coordinators’, to ensure that the SLLs meet market expectations. TWE’s CFO, Matt Young, said: “Integrating our sustainability performance with our financing framework is a really important step for both our sustainability and capital market journeys, incentivising us to move even more quickly towards achieving our sustainability ambitions and targets.”
Top Newsletter reads ➤
C oles and Endeavour Group on liquor supply chain
➤
P enfolds to release second rare wine NFT
➤
O rrsum Spirits partners with TipJar
➤
W A expands proof of vaccination policy
Sign up to our fortnightly Newsletter by going to this URL: https://theshout.com.au/national-liquor-news/subscribe/
February 2022 | 25
Events
The latest liquor industry
Events
Dante Knows and Bianca Beers. Image credit: Chloe Hill
Malt Shovel brewers with Chuck Hahn
Industry gathers to celebrate Chuck Hahn’s 50 years of brewing After two previous attempts were COVID-cancelled, personnel from across Australia’s brewing industry and beyond were finally able to gather in December to celebrate Chuck Hahn’s 50 years in brewing. The event took place at Squires Landing in Sydney, with many of those Chuck has mentored throughout his career joining the celebrations – everyone there was fortunate to have encountered Chuck’s enthusiasm in some way over the past five decades. Many international and interstate guests who couldn’t make it also left video messages of support.
Liquor Industry Trade Lunch raises record funds The amazing fundraising event that is the annual Liquor Industry Trade lunch, hosted by the Bayfield Family, has once again shown the generosity of this industry, raising over $345,000. After the 21st annual event, a total of $3.5m has been raised by the event over the years to help the Children’s Cancer Institute. Liquor industry leaders and heavyweights gathered for the lunch, which was back in person at the Belrose Hotel after having to go virtual in 2020. It featured a live and silent auction plus a raffle, supported by many companies across the industry.
Chivas Regal and Balmain celebrate collaboration Guests recently celebrated the coming together of two legendary houses for the launch of Chivas Regal x Balmain at the Marble Bar inside The Hilton Sydney, with a range of Chivas cocktails on the menu. Attended by a range of creatives and musicians, the event featured special live performances from BLESSED, KENFO, Jade Le Flay and Jazmine Nikitta.
26 | National Liquor News
Stir Creativity heroed by Bombay Sapphire at art show The Cutaway, Barangaroo, recently played host to one of Sydney’s largest arts events since the end of 2021’s winter lockdown. Bombay Sapphire operated a ‘Stir Creativity’ pop-up cocktail bar at the event, inviting drinkers to take a short digital cocktail quiz to be paired with the perfect drink. Each cocktail was designed to highlight a different botanical aspect of Bombay Sapphire, with spice, berry, floral and citrus the four flavor profiles represented. The bespoke cocktails were created by four leading Sydney bars: Apollonia, Hotel Palisade, Barangaroo House and Cash Only Diner.
Julian Train, Tim Stones and Mikey Enright
Hickson House celebrates its opening One of Sydney’s newest distilleries, Hickson House, has launched by throwing open its doors in the heart of the Rocks. The location, which is part of the Barrelhouse Group, features the distillery’s stills and barrels viewable from a spacious bar area that has a strong focus on Australian spirits, including the distillery’s own, Hickson Rd. Gin. The launch event featured a range of cocktails on the menu that showcased what the distillery and its bar can offer, and included a welcoming speech by the NSW 24 Hour Economy Commissioner, Michael Rodrigues. Taylor Steele and Dan MacPherson
Nikka Whisky launches new expressions with Melbourne event Titans of Japanese distilling, Nikka, launched two new whiskies at Melbourne sushi fine-dining restaurant, Minamishima. The Limited Edition Discovery Series features two new bottlings of single malt: an unpeated Yoichi, and a peated Miyagiko. This is an intriguing reversal of the two distilleries’ traditional styles, with Yoichi usually peated, and the Miyagiko usually not. The whiskies were presented in series of highballs, before being paired with specially created dishes. The Yoichi was served neat, alongside dry-aged duck, whilst the Miyagiko was paired with Wagyu striploin.
Solento Tequila celebrates Australian launch Solento Tequila, available as both a Blanco and a Reposado, was recently launched by Founder Taylor Steele and special guest Dan Macpherson at Three Blue Ducks Rosebery. At the launch, the tequila was paired with canapés from the Three Blue Ducks kitchen, and showcased in both spicy and traditional margaritas. During Solento’s introduction, Dan Macpherson revealed some of the investors already on-board: championship surfboarder Kelly Slater, world-famous skateboarder Tony Hawk, and Steele’s fellow filmmaker, Spike Jonze.
February 2022 | 27
News
Brick Lane completes major expansion project National Liquor News recently toured the expanded Brick Lane Brewing Community site in Dandenong to get a detailed look into the massive operation. Victoria’s Brick Lane Brewing Community
into the international brewery network to
technologies in yeast propagation,
has just completed a major expansion that
continue their growth and long-term future.
fermentation management, automated
sees it become the country’s second largest
“For some, this is a great option. For us,
liquids handling, centrifugation, high-
independent brewery by capacity.
we want to have the flexibility to determine
gravity brewing, thermal storage/energy
The expansion solidifies Brick Lane’s
the path of our long-term future and with
recovery and key packaging. This ensures
status as one of the fastest growing
the significant support and investment
Brick Lane maintains world class quality,
independent brewers in Australia, with
of our shareholder group, as well as our
consistency, efficiency and flexibility for the
capacity to increase to around 20 million
success since launch, we have underwritten
production of all types of beer, cider, seltzers
litres annually. The expanded site includes
this strategy.”
and other drinks.
facilities for both small and large batch
National Liquor News recently had the
The technological and engineering
production for Brick Lane’s own beers as
pleasure of touring Brick Lane’s Dandenong
advancements also focus on sustainability,
well as the contract brewing side of the
brewery during the third and final phase
reducing energy and water usage
business. So far the development of the
of the expansion. Led by Bowker and Jon
requirements, improving beer quality and
brewery has seen investment of $50 million,
Seltin, Brick Lane’s Head Brewer, it was
eliminating the need to use non-renewable
with more planned.
easy to see just how much work has gone
filtration aids. Currently in the process of
into the site and the importance of each
applying for B-Corp certification, Brick
change in the expansion.
Lane is also practicing closed loop recycling,
Founder, Paul Bowker, said: “When we launched Brick Lane, we had a clear strategy of ensuring that the business
Some of the final changes that were
sending spent grain to farmers to feed cattle.
would be sustainable for the long term. This
being completed at the time include the
Bowker said: “Brick Lane will continue
necessitated the design and construction
installation of a third fermentation cellar,
to invest in capacity and capabilities to not
of a brewery that incorporated globally
comprising of ten 40,000 litre conical tanks;
only build a long-term sustainable brewing
leading technology, efficiency, flexibility
and a new 100 hectolitre brewhouse to sit
business, but also support the growth of
and also scalability.
alongside the existing brewhouse. It was
independent and craft beer in Australia. We
“The consolidation of independent
such a big operation that at one stage, part
look at Brick Lane as the home of brewing
breweries has largely been necessitated by
of the brewery’s roof had to be removed so
in Australia where everyone is welcome.”
successful breweries reaching a limit in
equipment could be carried in overhead
terms of production capacity, with the next
via crane.
step requiring significant additional capital
As part of the investment program
investment and a change to the business
surrounding the expansion, Brick Lane
model. These breweries are then often folded
will continue to adopt world-leading
28 | National Liquor News
Find out more about Brick Lane’s recent accomplishments on page 56.
■
L I K E B o o k a N i l e F R O M M t L aw l e y
News
James Brindley farewells Lion James Brindley has thanked the industry for the wonderful friendships he has forged during his 27 years at Lion.
Following 27 years at Lion, with 12 of those serving
“It has been fantastic to finish 2021 on a high, with
as Managing Director, James Brindley has officially
Stone & Wood and the fantastic family of Fermentum
left the business and David Smith has stepped into
brands officially joining Lion to be a force for good in
the top job.
the Australian drinks industry.
Brindley shared some departing words with
“I am a strong believer in the value of true
National Liquor News and says that the true highlight
partnership, and this is something that is at the very
of his time with Lion has been all of the friendships
heart of our industry. Through the most challenging
he has been able to forge.
period our industry has seen, we have worked
“As we close the door on two years of unfathomable
together at every stage to support one another, with
challenges, it is more important than ever that we look
an unwavering commitment to lessening the load for
forward to 2022 with optimism and excitement about
those in our industry hit the hardest.
what the future holds for our great industry,” he said.
“It is the people that make this industry great.
“Despite the adversity we have faced collectively
From the publicans and hoteliers to the bar staff and
over the last two years, fellow suppliers and Lion
chefs, and the sales executives on the road, we work
have continued to put our customers at the heart of
in partnership, and we thrive on mutual trust and
everything we do. Pubs, hotels, clubs, and bars are
respect, with a shared love for hospitality and bringing
the beating hearts of our communities, and it is such
people together.
a joy to watch them filled with people reconnecting again after so long.”
“Thank you to everyone right across the industry for your friendship.”
Brindley said that he is extremely grateful to the
Incoming Managing Director, Smith, had some
incredible people he has had the privilege to work
kind words to share about “legend” Brindley as he
with over the years, particularly Lion’s customers and
steps into the role that Brindley has held for 12 years.
community partners.
“From the start of my time as Diageo Australia &
“The people and the relationships I have been
New Zealand Managing Director in 2015, James was
fortunate enough to be a part of are the true highlight
incredibly supportive and a huge positive force in the
of my time at Lion. And of course, I have been lucky
many industry groups and initiatives I worked with
enough to lead the acquisitions of some incredible
him on,” Smith said.
breweries and brands, including James Boag’s, Little
“He is a legend of the industry in Australia, loved
Creatures, Lion’s share in the world’s best gin two
and respected by many, including all of his teams at
years in a row – Four Pillars, and most recently, the
Lion. Like everybody in the business and industry I
Fermentum Group,” he said.
wish him lots of happiness in the future.”
30 | National Liquor News
■
“Thank you to everyone right across the industry for your friendship.” – James Brindley
News
SouthTrade cleans up the beach In late 2021, the company participated in the Corporate Christmas Clean Up, thanks to a partnership that emerged from the launch of new vodka soda RTD, C.A.N.
Last year SouthTrade International created
SouthTrade International walked that
discarded on the beach too; among all
a new commitment to the Australian
walk last year, thanks to a partnership which
the small pieces we found three tyres, a
environment with the launch of C.A.N,
emerged with Conservation Volunteers
withered armchair and many large scraps
a vodka soda RTD with a conscience,
Australia (CVA) from the C.A.N launch.
of rubber and wood. Our team collected
that donates 10 per cent of all profits to
Efforts like CVA’s #SeaToSource project
178kg of rubbish from just a two hour
conservation efforts.
is one example of where C.A.N’s donated
clean up,” the spokesperson said.
As the new brand’s description states:
profits end up, supporting people around
As a whole, the clean up recorded over
“C.A.N stands for Create. Action. Now –
the country to take action on one of the
7000 pieces of rubbish totalling around
because that’s what we do.”
world’s most solvable environmental issues
300kg. Across a number of these events
- ocean litter.
nationwide on the same day, 502kg of litter
Not only does this mantra speak to the sustainability demands of consumers, it
The #SeaToSource project ran a
was collected, to be surveyed by the CSIRO,
also illustrates SouthTrade International’s
Corporate Christmas Clean Up in late
which will use this data to work with the
promise to not just talk about creating
2021, where the SouthTrade International
government on legislation that will reduce
change, but actually go out and do it.
team joined five other corporate teams to
the amount of litter in our waterways.
A spokesperson for the company said: “The Young Bloods Study in 2020
collect litter at Plane Spotting Beach near Sydney Airport.
SouthTrade International said this shows that “small exercises like this can lead to
showed that 90 per cent of young Aussies
“The SouthTrade team were all very
passionately care what a brand stands for
surprised by the amount of litter we
bigger environmental change and cleaner
and 75 per cent of alcohol shoppers would
cleaned up... The team recovered over
Through C.A.N’s current and future
buy a product that gave to charity.
600 plastic wrappers, hundreds of bottle
partnerships, including with organisations
land, ocean and air.”
“It’s becoming more important for
caps, straws, paper cups and more with
like CVA and Wild Ark, SouthTrade
consumers (and trade) for brands to engage
a total of 2,500 pieces of litter collected.
International will be participating in more
in initiatives like this and to walk the walk.”
We were surprised to see very large items
great sustainability events in 2022.
■
February 2022 | 31
Marketplace Brand news and promotions Take payments the smart way As a retail business, you’d understand the need for a payments solution you can rely on, especially over the busy summer season. Any downtime means disruptions
Hard Fizz releases natural caffeine hard seltzer
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Gold Coast brand Hard Fizz has launched what it claims to be the
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the Hard Fizz brand, after recently opening its own brewery venue
running smoothly.
on the Gold Coast.
To keep things simple, there’s also a flat 1.1% rate
Hard Fizz CEO Wade Tiller said: “This is 100 per cent in response
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to market demands. Younger consumers were crying out for a seltzer
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Pinot Grigio from a single vineyard in the King Valley. Heralding a return to the brand’s winemaking roots, this first exploration into the world of natural wines has notes of fresh melon and juicy lemon. The label is also unique for the brand, dsigned by local artist Xana Denruyter who created a visual representation of ‘disco organico’ to echo the values of the wine inside the bottle.
32 | National Liquor News
Marketplace
New Australian vodka enters the market Vanguard Luxury Brands has launched its first Australian vodka with tilde~. The new brand is an innovative and premium raw vodka, crafted over two years by a brewer, distiller and bartender who joined forces to create a completely unique liquid and a true Australian expression of craft vodka. Danny Connolly, General Manager of Vanguard Luxury Brands, said: “Chasing character through subtle flavours and texture, tilde~ offers something different to the Australian market. We set out to do things differently and craft a vodka in a way no one has
Mr Consistent expands into can format
done before. tilde~ is true to its high-quality ingredients and the craftspeople involved in its creation. A vodka that is real and raw.”
Premium cocktail mixer brand Mr Consistent has announced a new spritz range, with the three new flavours the first in the portfolio to be available in cans. The range features Margi Spritz, Mojito and Sangria SKUs. Consumers simply need to add the specified amount and type of alcohol written on the can to create a single standard drink that is fresh and balanced. Alternatively, the range can be enjoyed as mocktails, without the alcohol. Jarrad Ball, Co-founder at Mr Consistent, said the team wanted to create a portable, premium and easy drink, noting that: “Although it was inspired by events, we see it also being an amazing at home or ‘on the go’ product. “We wanted to create something that not only could be enjoyed at festivals but at home also.”
Highland Park releases new permanent whisky Award-winning Scottish distiller, Highland Park, has launched a new permanent whisky into its portfolio. Highland Park 15 Year Old Viking Heart is a single malt Scotch which comes in a heavily embossed ceramic bottle, inspired by the ancient vessels which the whisky would have been stored in centuries ago. The whisky contains a high percentage of first-fill European sherry oak seasoned casks, which Master Whisky Maker, Gordon Motion, said delivers a richness of flavour. “Vanilla and citrus notes lead and combine with the unique fragrant peat and creamy mouthfeel synonymous with Highland Park. The hand selection of quality first-fill and refill casks for Highland Park 15 Year Old delivers a rich colour which is 100 per cent natural,” he added. The complex single malt features rich and spicy notes of crème brulee, heather honey and crumbled cinnamon to start, followed by intensely fruity notes and a hint of fresh baked sponge cake and toasted cinnamon shards. Bottling at 44 per cent ABV delivers a whisky with extra body and enhanced mouthfeel.
February 2022 | 33
Marketplace
Cult USA craft beer Voodoo Ranger launches five per cent Hazy IPA The hottest American craft beer brand and number one IPA*, Voodoo Ranger, has announced the arrival down under of Voodoo Ranger HAZY IPA, a five percent ABV India Pale Ale. Born in the USA and brewed fresh in Australia, Voodoo Ranger HAZY IPA is a supremely drinkable, juicy unfiltered session IPA featuring notes of Passionfruit and citrus from an all-American Hop Lineup. “Voodoo HAZY was a fun challenge because we wanted to get all of the great attributes of a Hazy IPA but deliver it in a more drinkable format,” said Ross Koenigs, Research and Development Brewer at New Belgium. Alex Merry, Brand Manager Australia, added: “Voodoo Ranger is not your regular craft beer… he’s a character, craft beer influencer and self-proclaimed fashion icon. New to Australia, Voodoo Ranger was lucky enough to make it out just in time for Australia’s biggest beer festival GABS 2021 and quickly made friends – with both IPA and (yet to be released) highly sessionable Hazy ranking as
Lyre’s releases three new non-alcoholic spirits The growth of Lyre’s is showing no signs of slowing down, with
top ten sellers at both the Melbourne and Sydney events amongst more than 250 other beers.” The Launch of Voodoo HAZY IPA into Australia follows
the brand rolling out three new SKUs this summer – two non-
the successful launch of 6.8% Voodoo Ranger (West
alcoholic agave spirits and a non-alcoholic Pink London Spirit.
Coast) IPA in March 2021. Voodoo Ranger HAZY IPA Cans
Describing the new pink drinks, Lyre’s said: “Complex yet playful, Lyre’s Pink London Spirit is a non-alcoholic homage to pink gin, with a bouquet redolent of rosehip, raspberries, and
(375mlx4x4) will be available in Coles stores nationally from February and other leading retailers from 14 March. Live Rangerously through @voodoorangerau #liverangerously
red currant. The palate is savoury and seductive, with notes of
*Voodoo Ranger is the #1 IPA brand family in the USA
cherry, rose, and a pleasing juniper gin-like finish.”
Source: Nielsen Total Outlet, EQ & $ volume, L13wks thru
Lyre’s has also partnered with the McGrath Foundation for the release, and will donate 10 per cent of all Australian sales of Pink London Spirit to the foundation. The other new releases, which are Australia’s first nonalcoholic agave spirits, include a Blanco and Reserva SKU, allowing Lyre’s customers to finally replicate the classic Margarita cocktail without the alcohol. “Lyre’s Agave Blanco and Agave Reserva are a meticulously crafted homage to tequila classics with a mélange of flavours, evoking notes of citrus, peppers, pine, spices, and oak,” the brand said. “An essential ingredient to the Margarita, the Lyre’s Agave range contains natural essences, extracts, and distillates that match the aromas, tastes, and textures you find within their alcoholic counterparts.” All three are available now at $44.99 RRP for a 700ml bottle. 34 | National Liquor News
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Marketplace
Truly set to be a game changer in Australian seltzer market
Avallen becomes B Corp certified
One of the hard seltzer category leaders in the US has finally
Small spirits brand Avallen has announced
made its way to Australia, thanks to a partnership between
its latest accomplishment towards its goal
Campari Australia and the Boston Beer Company.
to be the world’s most planet-positive
Truly Hard Seltzer has grown the most out of all seltzer
spirit – becoming B Corp certified.
brands in the US, gaining 3.9 points of share thanks to its
Distributed in Australia by Stuart
strong innovation pipeline and extensive range. In 2021 it
Alexander & Co and launched in 2019
generated more than 50 per cent of all hard seltzer growth in
by Stephanie Jordan and Tim Etherington-
the US, 2.4 times the next highest brand, and outgrowing the
Judge, Avallen has always strived to be as
category for 13 straight months.
sustainable as possible, using nothing but
With hard seltzers now the sixth biggest player in the RTD
apples, water and time in the creation
category locally, Truly is set to explode into Australia after
of the liquid, and choosing eco-friendly
this month’s launch of two refreshing flavours – Lime, and
packaging. This latest certification
Watermelon & Kiwi.
joins other moves from the
Truly will be produced in Australia, replicating the existing tried and tested flavours loved by American consumers. Simon Durrant, Managing Director of Campari Australia and
company to be planet-positive while also striving to save the wild bee population of the
New Zealand, said this will enable the company to “seriously
world. It was already donating
play” in the booming RTD category and deliver on customer
to the Bumblebee Conservation
demand for flavour forward drinking experiences.
Trust via the ‘1% for the Planet’
With just one gram of sugar and 95 calories per serve, Truly
initiative, and has taken part
is a clean and crisp hard seltzer ready to revolutionise the
in a number of other initiatives
game in Australia. It comes in at 4.5 per cent ABV per 330ml
like community gardening
can, with a RRP of $23.99 for a four-pack.
that activate and inspire
Available nationwide from February, the launch will be supported by an above the line digital, social media and trade marketing campaign starting in March. Contact your Campari Australia sales representative for more information.
conservation inside and outside the drinks industry. But the B Corp certification is anything but easy – the rigorous review process thoroughly analyses all aspects of a business, focusing on governance, workers, community, environment and customers. Its one of the most sought after independent certifications in the industry, with only a small number of spirits producers achieving the status. “Since the very first days of Avallen, becoming a B Corp was always part our journey to becoming the world’s most planet positive spirits brand! We could not be prouder to be buzzing into the new year by joining the incredible B Corp community, many of whom have been hugely inspirational to us. B Corps not only imagine a better way of doing business, but are actually showcasing to the world that positive impact and business go hand in hand,” said Etherington-Judge.
36 | National Liquor News
New Sc
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in
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ma t io n
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Sc
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The Music Drop
Predictions
Industry leaders predict 2022 trends Some of the leaders from this year’s National Liquor News Industry Leaders Forum reveal what trends they will be watching in the year ahead.
WINE
“With 48 per cent of Australian consumers now actively moderating their alcohol intake, the ‘lighter in alcohol’ category will undoubtedly be the trend that continues to grow.” – Peter Neilson, Treasury Premium Brands
“Experiences will be the key to building brand connections with consumers. Trends of lower alcohol, lighter and savoury reds and anything with bubbles will persevere. We predict consumers will continue to drink less but better and demand to know the environmental, social and governance credentials of brands they support.” – Nick Waterman, Yalumba
“Technology plays a big part in creating a connection between wine and consumers. Through technology, wine knowledge is more readily available for consumers, whether that is by an online website or participating in a virtual tasting.” – Darren De Bortoli, De Bortoli
“The growth in alternative varieties will continue, as winemakers gain more access to emerging wine varieties in response to an ever-changing climate.” – Andrew Calabria, Calabria Family Wine Group.
38 | National Liquor News
Predictions
“Rosé, having surged, will level out. It will still grow, but not at the same pace… International rosé will still dominate as consumers seek that international experience that they may not have had recently in their own travels.” – Jason Bowyer, ALDI
“I expect to see greater take up in alternative packaging solutions, with cans, boxes, sachets, and even waterproof paper-based containers becoming more prevalent in mainstream brands.” - Darren Taylor, Wine Depot
“The most obvious trend in the wine industry and in many ways the whole alcoholic beverage industry is the focus on lower/no alcohol and premiumisation.” – Dean Carroll, Brown Family Wine Group
“Two trends we
“I think for the trade it is important
believe will be
to keep an eye on the ‘cider is wine’
significant is the
movement in the UK, there is a lot
continued growth
of interest in craft cider as a lower
in low-calorie options and rosé consumption.” – Bryan Fry, Pernod Ricard Winemakers
alcohol alternative to wine, and people are discovering that craft ciders have character and flavour and a lot to offer.” – Warwick Billings, Cider Australia
February 2022 | 39
BEER
Predictions
“In terms of styles and trends, we think the hazy train will keep on going. We’re seeing strong growth in flavoured beers and we expect this to continue this year. And whilst still relatively small, we expect that sours will continue to grow.” - John Hoedemaker, Good Drinks
“[We predict] more in the
“We’ve seen an explosion in beer styles across Australia. There’s
no and low alcohol space
currently a move towards Australian ales and Coopers used a
as people look to moderate,
blend of Australian exotic hops to provide an Aussie take on
and a further
the traditional IPA which has been a popular limited release.”
resurgence in classics.”
- Cam Pearce, Coopers
– David Smith, Lion
“As consumers look to moderate rather than abstain, the no-low category will continue to be a major, if not the biggest, growth contributor within the beer category. In addition, I do think we’ll continue to see the rise of easier drinking, more refreshing and sessionable styles of beer, and a resurgence of craft lager, driven by more European styles.” - Darren West, Big Drop
“The beer category continues to step out of its traditional space and this will accelerate… A big wave to watch will be moving through insights in other categories outside of drinks, such as with the use of CBD oils and other ingredients.” - Paul Bowker, Brick Lane
“We expect to see continued double digit growth of high quality flavorful craft beer, with young adults and more mature drinkers seeking different types of brew tastes across sours, hazy pales, west coast IPAs, American pale ales, and NEIPAs over the more traditional Australian beer landscape.” - Luke Seager, White Bay
40 | National Liquor News
Predictions
SPIRITS “The shift to more premium products and brands is a trend that’s likely to continue, as consumer engagement in the spirit category has increased.” - Simon Durrant, Campari Australia
“Super premium rum is the next big thing and with our 160 years of rum-making expertise, Bacardi must take the lead in helping our trade partners raise awareness and appreciation of this important new category.” - Simon Owen, Bacardi-Martini Australia
“More and more consumers are discovering gin, so bringing innovation to the emerging gin RTD category will be important. 2022 will also be the year of picnic and outdoor gatherings, so convenience-focused products like RTD innovations will be popular.” – Alex Bottomley, Ampersand Projects
“Due to COVID, we see a rise of products that mimic an on-premise experience in the home as being popular e.g. Batched Premium Cocktails.” – Maurice Melis, Global Endeavours Australia
“We expect to see more innovation in tequila and Australian whisky, and also the early movements of brandy.” - Ewen Pettit, Idle Hour
42 | National Liquor News
Predictions
“Classic [cocktails] seem to be back in a big way, which we’re stoked about, and low and no alcohol will definitely keep developing.” - George Georgiadis, Never Never “The continued premiumisation of categories, the demand for local relevance through promotions and collaborations and the continued rise of e-commerce, in particular gifting, remain on-going trends.” - Colin Rochester, William Grant and Sons
“The home cocktail trend and the way people are creating their own drinks will continue, but we’re also seeing, in venues in particular, people demonstrating the art of the cocktail and taking it to the next level with non-alcoholic flavours.” - Paul Gloster, Lyre’s
“Australian whisky is definitely having a moment and we’ll continue to see it go from strength to strength in 2022. Also look out for a surge of high quality, local Australian rum! Premium premixes will come to the fore.” - Will Edwards, Archie Rose “Australian rum, whisky and gin will be in growth, with a range of quality brands leading the way.” - Kathleen Davies, Nip Of Courage
February 2022 | 43
OTHER
Predictions
“Buying better is number one for us. Customers are rewarding themselves to something better in quality or flavour and enjoying it at home.” - John Carmody, Liquor Legends
“We expect to see more customers want to shop local and purchase products that have a reputable provenance and the trend towards health and wellbeing will certainly continue.” - Josh Towers, Red Bottle “The big trend for me is the amplification of online buying, with more platforms now available and product assortments at your fingertip.” - Simon Elsby, Exceedra
“Lockdown or no lockdown, whether drinking on their couch, at a picnic, or at a venue, Australians are really after quality. They’re not drinking for the sake of it but really want to enjoy authentic flavours.” - Keiron Prenter, MEXINK “We are seeing more RTDs and seltzers, and also more brands built around celebrities and sustainability issues. Homes are translating to destinations for indulgence and unforgettable experiences.” – Paul Esposito, Independent Liquor Group
44 | National Liquor News
95 CALORIES I NATURAL FLAVOURS I 4.5% ALC./VOL.
NEW SELTZER
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FOR MORE INFORMATION, PLEASE CONTACT YOUR LOCAL CAMPARI REPRESENTATIVE.
Suppliers, Retail & Wholesale After two years in a pandemic-fuelled market, we’ve spoken to leaders from across the entire liquor industry about overcoming challenges, cycling growth and staying nimble, to help your business be the best it can be, even in uncertain times.
46 | National Liquor News
ALDI
Quality and value key to ALDI’s liquor retail success With both retail and product accolades, ALDI is staying ahead of the curve to deliver the best for its customers and suppliers.
Jason Bowyer Buying Director for Sparkling Wine and Wine ALDI Australia
In a year like no other for the liquor industry, ALDI of consumers and suppliers. Jason Bowyer, Buying Director for Sparkling Wine and Wine, said this commitment is what has driven success for ALDI, as it continues to focus on delivering the best in all areas. “ALDI has built an immensely strong reputation in the industry for high quality and overall value for money. In 2021, we were voted ‘Best Liquor Retailer’ by Canstar,” Bowyer said. “Our wine and sparkling range continue to
“ALDI has built an immensely strong reputation in the industry for high quality and overall value for money.”
RETAIL
has stayed agile to meet and exceed the expectations
Jason Bowyer Buying Director for Sparkling Wine and Wine ALDI Australia
supporting both with consumers and its supplier partners, particularly in the wine space in which Bowyer leads.
win awards from $5.00 upwards, highlighting our commitment to genuinely deliver fantastic value to
“Consumers have had time to be more reflective on
our customers, at all price points. More than this, it
what is important in their future. Sustainability is far
signifies the very special partnerships we have with
more relevant, so whether personal choices or business
our suppliers whom help make this happen. Treating
related choices we need to push an environment that
suppliers fairly, respectfully and engaging in ‘win-win’
supports progress in this space. Reducing packaging
is one our company’s committed values.”
waste, improving the carbon footprint and engaging
As for the year ahead, ALDI predicts the impacts of
in technology that supports a better environment and
the pandemic will continue to be felt and will influence
reduces future cost is critical,” Bowyer said.
the liquor industry in a number of ways, something
“We are focused on supporting and driving suppliers
Bowyer says the retailer is well prepared for.
who are championing these aspects of their business.
“In the last two to three years, the industry has evolved
Our global knowledge and corporate strategies are
at a faster pace than ever before, so our opportunity
about working with vineyards, wineries and partners
continues to be driving innovation and looking at the
that are embracing more sustainable practices within
trends that lie ahead. Having sound and reasoned
their business approach.”
foresight is required, in a market that is fragmenting faster than ever before in ‘share of throat,” he said.
■
International wine interest grows
“COVID drove sales in the off-trade, as the on-trade
With international borders largely closed for travelers in 2021, Bowyer has
retreated backwards. Spirits and RTDs were the real
seen customers exploring more international wines. ALDI has experienced
winners, and with the category blurring that sits behind
success from this trend before, being early supporters of the Prosecco
seltzers and refreshment, there is more opportunity for wine. For sparkling and wine, the industry must stay relevant providing customers with wines that consumers want to drink. More appeal and relevant refreshment!” Another offshoot of a post-lockdown world is the sustainability trend, which ALDI is also dedicated to
Rosé phenomenon. “We have seen a real continuation to trial new and exciting wines from around the world. Portugal, Spain, France, Italy and the South America’s with varietals such as Verdeca, Vinho Verde and Trincadeira have proven exciting, as have Chilean Carmenere and Argentinian Malbec continue to inspire and delight our customer base,” Bowyer said.
February 2022 | 47
Ampersand Projects
SUPPLIER
Consumer focus key for Ampersand Projects
Independent spirit and RTD brand, Ampersand Projects, has seen incredible rapid growth thanks to it’s consumer-focused and innovation-led approach.
Alex Bottomley Director Ampersand Projects
It’s been a busy few years for Ampersand Projects. Since launching in 2018 with one
A market-leading innovator
product, the brand now has a multi-category portfolio of 17 products, a huge feat for an
From the start, Ampersand Projects has
independent brand operated by just the three
kept innovation at its core in a number
owners for the past two years.
of ways. This includes:
Last year was another exceptional year in this journey of rapid growth
• Vodka Soda & - the original
and innovation at Ampersand Projects,
flagship product that encouraged
according to Director, Alex Bottomley.
consumers to add fresh garnishes
“We would now be one of the largest
• Pink Gin Soda & - the first no-
independently owned players in the
sugar pink gin RTD on the market
Australian spirit/RTD market. All our
• Aluminium bottles – a market-
products have a better for you focus leaning
first format that provided a new
into the wellbeing trends as people’s attitudes
sustainable option for consumers
towards alcohol change,” Bottomley said.
• Sunset Series Cooler Pack – a
One of the biggest drivers for this success comes from a very consumer-
This approach will prevail into 2022 for the
focused attitude and approach. Bottomley
brand as its momentum continues, aiming
said Ampersand Projects keeps the needs
to meet a fourth consecutive year of double
of consumers at the core of all its decisions
digit growth.
and strategies, placing this above all else.
Bottomley believes there will be some
“Building an iconic brand that has resonated
challenges to meet this goal though,
with consumers has been a highlight for us.
predicting an on-shelf fight for space in the
We are always flattered by how passionate and
booming RTD category. The key to tackling
engaged our consumers are. Every weekend
this challenge will be a larger team that will
they are tagging us on social media sharing
work closely with retail partners and help
their experiences. There is an underground
communicate the market-leading benefits
following for all our merchandise, which
of Ampersand Projects.
we always give out for free to all our loyal consumers,” Bottomley said.
“I believe the brands that can deliver the
grab and go pack of exclusive RTD flavours that doubles as a portable esky • 500ml spirit range – a natural extension on the RTD range, it now features vodka, vodka watermelon, gin and pink gin SKUs • Vodka Espresso & Shake – a modern gift pack with everything to make the perfect espresso martini in one box • Ginger Beer & - a recently released low sugar, low calorie ginger beer in
perfect combination of quality products
a tiger-print can
“We attribute our success to sticking closely
(liquid) and brand engagement will have the
The next big move will be to bring
to our consumer-first strategy. This has been
best chance of success,” Bottomley explained.
Vodka Soda Pine Lime, an exclusive
the pillar behind all our strategic decisions
“A challenge for us will be building up a
(ahead of cost). If it makes sense for the
field force team to be able to reach further
market in both cans and the next
consumer and will deliver a clear benefit and
and wider across the country (and overseas)
frontier for Ampersand Projects –
is in line with a trend, then we will invest in
and expand our distribution footprint of
developing a product.”
over 2500+ stores.”
48 | National Liquor News
■
Sunset Series flavour, into the
keg format.
Archie Rose benefits from ‘game changing’ new distillery
Will Edwards Founder Archie Rose Distilling Co
The new Botany-based Archie Rose distillery is allowing the brand to scale and increase production like never before.
Archie Rose Distilling Co had a “strong but demanding” year in 2021, encountering some big challenges alongside exciting positive growth, according to Founder Will Edwards. While the distillery bar was closed and events were put on hold during lockdowns, the full bar team was able to stay on working, temporarily redeployed to pack orders for e-commerce and virtual events, both of which were incredible areas of growth during the year. Another driver of growth has been the new Botany distillery, with the first spirits
of several new Archie Rose products in
“We’ll finally start to see more volume
produced at this site rolling out last year
2021, including a reimagined version of
of our Rye Malt and Single Malt Whisky
after production began in late 2020.
the Signature Dry Gin, as well as the Native
rollout beyond the small batches that
“With a number of custom designed, and
Botanical Vodka, Bone Dry Gin (recently
are currently just selling straight out via
world-first production elements, we are now
named world’s best gin at the World Gin
our own venue and website – bring it on!
undoubtedly producing the very best spirits
Masters), and limited releases like the Sunrise
We’ve also got a pretty intense line
in our seven year history,” Edwards said.
Lime Gin Harvest 2020, Eau De Bee Honey
up of new Trials & Exceptions whiskies
Spirit, and two whiskies from the Trials &
launching from early Februar y,”
Exceptions range.
Edwards said.
“In terms of size and kit, it’s a game changer. Described by our master distiller Dave Withers as being like “twelve craft distilleries in one,”
Other new releases planned include the
the site features a number of custom designed,
The focus for 2022
first version of a “truly Australian white
and world-first production elements, enabling
Looking at the next 12 months, Edwards
rum” (expected in March), followed by
us to transition to ‘cold distilled’ botanicals
said: “Our goal has always been to bring
another SKU for the Harvest Gin range, and
for our gin and vodka ranges, as well as to
the highest quality Australian gins, vodkas,
the brand’s first Harvest Whisky product.
specialty local roasted malts and individually
whiskies, rums and other spirits at scale to
The year will be made more interesting
distilled malt streams for our whiskies.
Australia and the world. Our new Botany
by expansion in another way too –
“The innovation and flexibility we built
Distillery now allows us to make this even
internationally, building on the first export
into the new distillery is, as far as we know,
more of a reality in terms of scale and the
move into New Zealand last year.
unprecedented at this scale, and allows us
expansion of our range in 2022.”
“In 2022 we’ll finally rollout into other
to absolutely commit to techniques and
One area that will be stepping up this year
markets and continue to share the stories of
processes we’ve spent the past six years
will be the Archie Rose whisky portfolio,
Australia’s exceptional raw local and native
delving deep into at our Rosebery distillery.”
fresh off the back of winning a range of
ingredients both overseas and locally,”
awards across Australia.
Edwards said.
The new distillery allowed the launch
■
February 2022 | 49
SUPPLIER
Archie Rose Distilling Co
Bacardi-Martini Australia
SUPPLIER
Bacardi-Martini Australia raises the bar Bacardi-Martini Australia knows the value of doing the right thing for its customers, consumers, and the environment.
Global supply chain challenges, the
Goose Essences delivers perfectly on [the
increasing cost of raw materials, and the
health and wellness] trend and our St-
ongoing COVID-19 pandemic did not stop
Germain elderflower liqueur is an incredible
Bacardi-Martini Australia from delivering
drink. Who can resist the long, refreshing
a flurry of new products into the market
taste of a St-Germain Spritz or for that
throughout 2021. The company was also
matter the Patrón Paloma?
certified as a ‘Great Place to Work’ – an
“Looking ahead, super premium rum is
achievement that its newly appointed
the next big thing and with our 160 years
Managing Director, Simon Owen, is
of rum-making expertise, Bacardi must
particularly proud of.
take the lead in helping our trade partners
“Our culture and spirit are unlike any other company and after a tough year
Simon Owen Managing Director Bacardi-Martini Australia
raise awareness and appreciation of this important new category.”
of lockdowns and remote working, it is particularly rewarding to receive this
Taking the helm
incredible accolade,” he said.
Owen took on the Managing Director role
In February 2022, Bacardi is celebrating
in April, coming from the UK where he had
160 years since its founder, Don Facundo
most recently been Director of Grocery at
Bacardí Massó established the company
Bacardi since 2016. He says being appointed
and revolutionised the world of rum.
as Managing Director of Bacardi-Martini
Now, 160 years on, Owen anticipates
Australia is a “dream job” and he looks
that super premium rum is going to be
forward to bringing his learnings from the
a key trend in the year ahead, along with
UK to this region.
premiumisation, canned cocktails, and health and wellness.
“There are of course many differences between this region and the UK but where
A leader in sustainability Bacardi has a goal of being the world’s most environmentally responsible spirits company and has already reached several milestones, including sustainably sourcing botanicals for Bombay Sapphire gin and grapes for Martini sparkling wines.
“There’s been a significant shift in
there are similarities is in the influence of
consumers choosing quality over quantity
the on-trade and their ability to set trends
important sustainability goals on the
and, as you can imagine, with brands like
and on the importance of the off-trade to
horizon. After cutting the plastic in
Bombay Sapphire, Bacardí, Grey Goose and
the entire industry,” he says.
our gift packs by 50 per cent in 2021,
Patrón in our portfolio, that’s been to our
In the UK, Bacardi pioneered a new way
“Looking ahead we have
we are on track to achieving our
of partnering with London’s influential on-
2023 goal of removing all single-
The premiumisation trend is also
trade. This way of working has influenced
use plastic from our secondary
reflected in the demand for convenient
how Bacardi operates in countries around
ready-to drink cocktails in cans that
the world including Australia.
advantage,” he said.
are made from high quality ingredients,
“In the off-trade, I know how important
which aligns seamlessly with drinks
it is to deliver perfect execution at scale. I
like the Bacardí Mojito and Bombay
want our portfolio of iconic brands to shine
Sapphire G&T.
on every shelf, in every store, in every town
Owen added: “Our newly released Grey 50 | National Liquor News
and city across the region.”
■
packaging and our point-of-sale materials,” Owen said. “We will then continue on this important journey as we set our sights on a number of 2025 targets, we have aligned with the UN’s Sustainable Development Goals.”
JOIN THE CARAVAN LAUNCHED BY A SPONTANEOUS BUNCH OF PUBLICANS NEARLY 15 YEARS AGO, THIRSTY CAMEL HAS BECOME ONE OF AUSTRALIA’S MOST RECOGNISED INDEPENDENT RETAIL BRANDS; WE’RE THE LOVABLE MAVERICK OF THE LIQUOR WORLD, AND PROUD OF IT.
FOOTPRINT
350 Thirsty Camel stores dotted across the country.
CONVENIENCE IS KING The best in drive through convenience.
SHOPPER LOYALTY
State specific loyalty programs to drive retention and repeat purchase.
MARKETING SUPPORT Insight driven marketing campaigns all year round.
CORE RANGE
A succinct core range of products allows venues to work with supply partners to accommodate their local needs and customer base, utilising data driven insights and trends our core range covers all categories delivering strong margins and profitability.
ADDITIONAL PROGRAMS
State based opt in programs including a Craft Beer and Premium Spirits program allow flexibility to work with global leading brands and up and coming local products to reflect current trends.
FOR DETAILS ON HOW TO JOIN THE CARAVAN Contact: info@thirstycamel.com.au Phone: 03 8573 4100
Brown Family Wine Group
SUPPLIER
Brown Family Wine Group heralds success and progress
Dean Carroll CEO Brown Family Wine Group
In a mixed bag year, BFWG has been recognised for its investment and innovation in Tasmanian Pinot Noir, among other great achievements. Appraising last year, Brown Family Wine Group’s (BFWG) CEO, Dean Carroll, does not mince his words: “It’s fair to say we have experienced a mixed year in 2021.” Last year also brought success and progress for BFWG, most notably with the company’s recognition as Pinot Noir Producer of the Year at the Tasmanian Wine Show. “Since acquiring vineyards in Tasmania some 10 years ago, we have been obsessed with the great source Tasmania is for Pinot Noir,” says Carroll. “To be recognised as Tasmanian Pinot Noir Producer of the Year was a great acknowledgement of the investment, innovation and work that has gone into the Tamar Ridge and Devil’s Corner labels. “In December 2021, we completed the redevelopment of our Devil’s Corner cellar door on the east coast of Tasmania, and there is little doubting this is one of the great wine sites of Australia, if not the world.” Looking ahead to 2022, Carroll believes that an immediate challenge will be meeting staffing requirements for the grape harvest, and the company’s cellar doors, with movement restrictions, a loss of overseas labour and vaccine mandates taking effect. And when asked what BFWG’s immediate focuses were for 2022, top of the list was employee welfare. Regarding the export market, Carroll has a positive outlook, despite ongoing issues with the Chinese market. “We have some terrific export opportunities emerging. With China’s change in direction, our emphasis has expanded to other key Asian markets, as well as the USA. We are reconsidering our prospects in the UK, which will be helped significantly by the recent Free Trade Agreement,” he said. Carroll saves the last word for the team at BFWG, and said: “Our people are key at Brown Family Wine Group and I have total admiration for the resilience, work ethic and camaraderie they’ve shown through the last 12 months.” “We are very proud of our Great Place to Work accreditation reflecting the values and culture we strive for at the company.” 52 | National Liquor News
■
Wine on the cusp of transition Carroll believes that the coming years will see major changes to the world of wine, as the industry evolves to meet new challenges of the environment and changing customer tastes. Premiumisation and the growth of the no and low alcohol category are two trends Carroll has tipped to continue. “That great challenge is also the source of our greatest opportunity, as if we are able to forecast accurately the translation of behaviour we really can benefit as we’ve previously shown with wines like Prosecco, Moscato and Cienna,” he said. “Locally, as a category leader, we are excited to develop and rejuvenate some wine categories that we think meet a more promiscuous beverage consumer.”
Big Drop Brewing
SUPPLIER
Big Drop makes big moves in Australia
Darren West
Non-alcoholic beer brand, Big Drop Brewing, has built a strong foundation for its Australian future after an incredibly successful 2021.
Country Director (Australia & New Zealand) Big Drop Brewing
The last two years have been quite a journey for Big Drop Brewing, after first arriving in Australia from its UK home in 2020. And in 2021, the non-alcoholic beer brand has absolutely reinforced its position as a strong contender in Australia’s no and low alcohol market, celebrating a number of successes throughout the year. Darren West, Country Manager for Australia and New Zealand, described 2021 as “a significant year,” with new distributor partners in WA and Tasmania, the recruitment of two Business Development Executives in Sydney and Melbourne, and an expanding local portfolio of awardwinning SKUs. Trial and awareness for these products was driven at some of the
West said: “We’re fielding constant
supply of our core range, but we have the
beer world’s biggest events, such as GABS
questions around whether this could
capacity to bring more innovation to the
and Beer Fest, where consumers and
become an ongoing line, which
category. This is something consumers are
industry partners could be introduced to
demonstrates how much our consumers
looking for and, through brewing different
the potential of Big Drop.
and trade are enjoying this one and
seasonal releases and collaborations we
“The introduction of Paradiso IPA and
bodes well for future limited releases and
will meet their needs and drive category
Galactic Milk Stout, to our existing range,
collaborations we may look to introduce.”
growth,” West said.
of dedicated no-alc beers here in Australia.
Exciting plans for the year ahead
continuing to build our structure, growing
This meant we continued to build a wider
A challenge that Big Drop faced last year
our capabilities and resources to help better
array of beer styles to give consumers more
was out of stock issues, due to a change
support our trade partners, driving more
choice,” West said.
resulted in a more comprehensive portfolio
“Secondly, we want to ensure that we’re
of contract brewing partner. West said
growth for them along with that of the wider
“The fact that Paradiso IPA took out
there were corners the brand could
no-alc category.”
World’s Best Style Winner and Galactic Milk
have cut to get stock sooner, but refused
To do this, two more additions will
Stout was awarded World’s Best no-alc Beer
to compromise the quality of the final
join the team in early 2022 – a Business
at the 2021 World Beer Awards, helped to
product by boiling off alcohol or diluting.
Development Executive in Brisbane and
reinforce the quality of Big Drop.”
This means that now, going into 2022, the
a National Business Manager focused on
The final new Big Drop beer of 2021 was
beers are better than ever and Big Drop has
Independents.
the brand’s first limited seasonal release in
a solid production strategy to build on in
Australia. Poolside, a double dry hopped
the year ahead.
IPA, has seen an incredibly positive response so far. 54 | National Liquor News
“The first thing we want to do is to ensure that we not only have an ongoing
Finally, consumers can expect to enjoy another seasonal limited release for winter after the success of Poolside, with the next few months vital to this beer’s creation.
■
Beer Cartel
Acceleration ahead for Beer Cartel
Richard Kelsey
After a successful crowdfunding round and great online growth, Beer Cartel is set to build on the successes of a great year.
Co-founder and Director Beer Cartel
When looking back on the past 12 months, Richard Kelsey, Co-founder and Director of Beer Cartel, said it’s been a great year for the
RETAIL
evolution of the business. Although Beer Cartel operates one store in Sydney, it’s most known for being a local leader in the online craft beer market for many years, which is one area this evolution has applied to. “The main highlight [for 2021] was our equity crowdfunding round where we raised just under $1.5 million from over 1,000 new shareholders,” Kelsey said. “The raise puts Beer Cartel in a great position to accelerate a range of initiatives
Building on bright spots
seen how easy and convenient it can be. We
designed to strengthen our position within
After the mixed bag year behind us, Kelsey
think supporting consumers to continue
the market, and take further advantage of
said: “2022 is all about building upon
this pattern and finding ways to increase
the consumer shift to buying alcohol online.
the success of 2021 and improving our
their overall frequency of buying online (as
fundamentals to drive long term success.
opposed to buying in-store), will really assist
“From a sales perspective we continued to see strong online growth and were able
“We have a number of projects we are
to create a range of products that resonated
working on to improve our ability to attract
with consumers throughout lockdown, in
and convert customers online.”
in growing the business,” Kelsey said. Beer Cartel predicts that certain beer trends will also influence consumer
particular our various lockdown/quarantine
While the online retail sector has been
behaviour in the year ahead. In particular,
packs which sold out extremely fast each
booming during the pandemic, Kelsey said Beer
Kelsey noted the alcohol-free category will
time they were available.”
Cartel knows it’s important to not rest on its
grow strongly in 2022, as brewers expand
To mitigate the impacts to the online
laurels, and focus on how to make the business
and innovate to grow the sales share of non-
business during the challenging COVID-19
thrive in a ‘new normal.’ With so much of the
alcoholic beer.
and lockdown situation, and also to protect
2021 agenda focused on the crowdfunding, he
Understanding just how consumers have
staff, Beer Cartel closed its bricks and mortar
is looking forward to bringing this new future-
been influenced by the recent COVID situation
store for several months.
focus into the company.
will be further driven by the return of Beer
As Kelsey said, this was one of the biggest
This is where Beer Cartel sees the
challenges that defined 2021, noting that:
biggest opportunities for 2022 as well, as it
“Constantly thinking about how to best
continues to support widespread shifts in
protect staff, manage staff shortages and
shopper behaviour.
Cartel’s Australian Craft Beer Survey, which will come back this year after a 2021 hiatus. Kelsey said: “The key theme will be understanding the impact COVID-19 has
minimise risk of COVID infection definitely
“For us it is about encouraging consumers
had on our purchase and consumption
impacts focus and the day-to-day running of
to continue utilising online as a purchase
habits, particularly from an on-premise
the business. Hopefully this is significantly
channel. Over the past two years a significant
perspective where venues have been doing
reduced in 2022.”
portion have tried buying alcohol online and
it tough.”
■
February 2022 | 55
Brick Lane Brewing Community
SUPPLIER
A defining year for Brick Lane Brewing
Paul Bowker
Brick Lane Brewing Community’s Managing Director, Paul Bowker, explains how 2021 changed everything for the company.
Managing Director Brick Lane Brewing Community
While many businesses in the drinks
maintaining connections with stakeholders
industry sought to hunker down and ride
in the drinks business.
out the difficulties of the last year, Brick Lane
“A key take out for us is the importance
Brewing Community went in the opposite
of having a holistic and balanced approach
direction, undertaking a major expansion of
across relationships with retailers and the
its brewery and releasing a raft of new beers.
on-premise,” he said. Indeed, these relationships have proven
Markets hospitality site, and expanded our
so strong that they are affecting not
staff and contractors to around 100 people,”
only the sale, but the creation of Brick
said Managing Director, Paul Bowker.
Lane’s products. “Our relationships with retailers have
keep all of our team together, safe and fully
moved to the next level, and it is now
employed throughout a very difficult and
part of our process to involve retailers in
emotional time.”
the product development cycle, including
a long-held plan to create ‘the leading independent brewing facility in Australia.’ “The recent expansion was all part of the initial planning and we’re pleased that despite challenges in 2021 across shipping, supply chain and personnel, we were able to deliver the project on time and on budget,” says Bowker. Brick Lane has seen an increase in sales of their mid-strength and no and low alcohol beers during the pandemic, as drinkers reassess their lifestyle choices. This shifting attitude has perhaps also led consumers to the ‘drink less, drink better’ mantra, as Bowker explained: “At the other end, when consumers want something special, they really want something special, so we are seeing strong traction in speciality beers, such as barrel staged stouts.” With the COVID-19 crisis now entering its third year, Bowker states the pandemic experience has reaffirmed the vital nature of 56 | National Liquor News
exclusive beers, ranges and packaging formats,” Bowker said. “The pandemic showed how important a long term relationship and planning cycle is in the retail space, particularly in regards to bringing new products to market.”
brands will all continue to move grey space,” Bowker says. Brick Lane has capitalised on some of these opportunities with its three biggest launches of 2021:
“The biggest highlight was being able to
commissioned back in 2018, as part of
“Traditional beer, wine and spirit fluidly across categories and look for
“We relaunched our Queen Victoria
Brick Lane’s new brewery was
The ‘grey space’ between categories
■
• Sidewinder plays in the expanding ‘better for you’ category with a range of no and low alcohol beers. • Sunsetter Ginger Beer is all about “pure refreshment and naturally sourced ingredients.” • Backyarder is a crisp lager that plays directly in the contemporary lager space but “introduces full flavour along with refreshment.” Bowker also expects innovations from outside the drinks category to impact the industry, citing CBD oils as potential ingredients of the future.
E M B R AC E T H E M AG N I F I C E N T U N K N OW N
BrightSide
SUPPLIER
BrightSide looks to expand after its busiest year yet In a candidate tight environment, BrightSide is looking forward to an era of greater confidence in the job market, says Directors Amber King and Sue Lauritz.
Amber King and Sue Lauritz Directors BrightSide
Despite the significant challenges faced by the drinks industry over the last year, 2021 was the busiest year yet for BrightSide Executive Search, and Directors Amber King and Sue Lauritz were quick to praise their staff. “The whole team had to pull out all the stops to find great talent, when many candidates have been risk averse to changing roles given the uncertainty we’ve all experienced in the last couple of years,” they said. King and Lauritz were delighted to be able to support their regular clients in 2021 while bringing in new business, especially after 2020, when BrightSide’s activity came to a selfconfessed “standstill.” The outlook is completely different heading into 2022, as BrightSide now finds itself as a recruitment agency looking to attract new staff of its own. “We need to hire additional resources to our team, so this will be our number one priority [heading into 2022],” said Lauritz. “Clients are thinking ahead and mapping out their future recruitment needs. We have no doubt that the demand for talent will continue and we want to be well positioned to fulfil our clients’ briefs as quickly and efficiently as possible.” Unsurprisingly, with many hospitality businesses shuttered for months at a time, Lauritz and King have noticed increasing demand for digital and e-commerce specialists of all varieties, and have tipped the online liquor industry to continue to grow in 2022. One challenge BrightSide is anticipating facing this year is ‘the great resignation’ – as workers have revaluated their careers and have different priorities in the wake of the pandemic.
Top recruitment tips from BrightSide • If it’s not your core job to hire staff, leave it to the professionals. It’s much more efficient, which ends up being cost effective too. • Make sure your recruitment process stacks up before going to market – can you clearly define the role and expectations? It’s critical everyone is on the same page. • Articulate your culture, vision, challenges and career
“We’ve heard a lot about this happening in the States,” King said.
development opportunities. Candidates won’t leave their
“At a local level, we’ve seen it within the hospitality sector, as venues
current workplace for just any role.
continue to struggle to find talent. It hasn’t hit ‘supplier’ land yet, however we expect that it will as the market continues to pick up.” Lauritz meanwhile had some vital advice for companies in the drinks sector to get through challenges in the year ahead. “Anticipate higher levels of attrition for 2022, and put in place good recruitment practices. In terms of retaining the best talent, it gets back to ensuring a strong culture, career progression, flexibility and good working conditions,” she said. 58 | National Liquor News
■
• Candidates align themselves to brands that resonate with them and it’s difficult to woo them when the passion doesn’t exist. It’s hard to change this in the short term, but key for anyone in the drinks industry. • Finally, keep candidates in the loop. They’ll be more engaged if you keep them aware of the recruitment timeline.
Brown-Forman optimistic about 2022
Eveline Albarracin
The growing influence of premiumisation is predicted to have a great impact on the year ahead, according to Brown-Forman’s Managing Director for ANZPI, Eveline Albarracin.
Managing Director Australia, New Zealand and Pacific Islands Brown-Forman
After two years of disruption to the industry, Brown-Forman’s Managing Director for ANZPI, Eveline Albarracin, is looking forward to greener pastures in the year ahead. “Our business will continue to adapt and evolve with the changing environment, by investing to strengthen capabilities to support evolving consumer trends and behaviours,” Albarracin told National Liquor News. “Things that have been off the agenda for some time including, connecting with friends and families, travel, enjoying live music and events are moments we can responsibly support through our premium portfolio of brands.”
The current global supply chain disruption
While premium glass spirits like
Albarracin predicts there will be growth
is predicted to be a challenge while such
Woodford Reserve and Jack Daniel’s Single
within the on-premise again as people return
growth continues, but Brown-Forman is
Barrel were also bright spots in 2021, light
to venues, but also growth in the industry as
working closely with all retail partners to
spirits were also an area of opportunity,
a whole, as the pandemic continues to leave
maximise consistent supply of all products.
with brands including El Jimador,
a lasting impression on consumer behaviour.
Outside the portfolio itself, another focus
Herradura and Ford’s Gin all appealing to the
“The at-home discovery of spirits and
for Brown-Forman in 2022 will be its team,
cocktails that has played out over the last two
with Albarracin noting: “The safety of our
“Tequila and gin remain key areas of
years will see newly educated and inspired
people and partners will continue to remain
opportunity, with tequila expected to be the
drinkers looking for continued inspiration.
the core priority for our business in 2022.”
breakout growth contributor in 2022. As with
As a result we expect to see continued demand
cocktail consumer.
RTDs, the trend for ‘less but better’ will be
for premium brands and experiences, with
The winners of 2021
the driving force in consumer consideration,
consumers willing to invest and trade up for
There were a number of great successes in the
with brands such as Herradura that deliver
these memorable moments,” she said.
Brown-Forman portfolio last year, including
on taste, quality and distinctiveness well
Brown-Forman believes the growth of
Jack Daniel’s being recognisesd as the world’s
placed to attract the next generation of spirits
premiumisation alongside the drinking ‘less
most valuable spirits trademark globally in the
explorers,” Albarracin said.
but better’ mindset has also been driven by
Interbrand Best Global Brand Report.
the marketing of these trends and connecting
Finally, 2021 saw the Australian
Jack Daniel’s has continued to tap into
release of the Part Time Rangers RTD
a broad range of trends, contributing to its
range, supporting a worldwide trend of
“We have seen organic growth of premium
great results in the last year. These include the
sustainability and purpose. Albarracin
brands supported by consumer demand to
‘better for you’ trend, catered to by the new
said the brand contributes to global animal
understand more about the stories, history
Jack Daniel’s Seltzer range, as well as No Sugar,
protection charities around the world,
and provenance of the brands they are
Double Jack and American Serve offerings
letting consumers “enjoy a delicious low
consuming,” Albarracin explained.
beyondthe traditional RTD range.
calorie drink and ‘save while they sip’.”
them to the stories behind the brands.
■
February 2022 | 59
SUPPLIER
Brown-Forman
Calabria Family Wine Group
SUPPLIER
A new era for the Calabria Family Wine Group New acquisitions and partnerships have led the Calabria Family Wine Group to become one of the largest family-owned wine groups in Australia.
Andrew Calabria Sales & Marketing Director Calabria Family Wine Group
It’s been a significant 12 months for the Calabria family, as a series of new partnerships and brand acquisitions led the business to relaunch as the Calabria Family Wine Group (CFWG). The most significant of these acquisitions was of McWilliam’s Wines and Andrew Calabria, Sales & Marketing Director, CFWG, says there are some exciting things planned for the McWilliam’s portfolio in 2022.
relaunch was to ensure these unique and
families have had a long and supportive
New opportunities for Australian wine
relationship over the past seven decades.
Calabria said that the industry needs
strategies to support their growth in the
They have been an inspiration and guiding
to come together to determine
domestic market. As we are now servicing
“The Calabria and the McWilliam
force for ourselves and the greater NSW wine industry for over 140 years,” he said. “We are committed to honouring their legacy while breathing new life into their incredible portfolio of wines. “We have some exciting plans in 2022 to amplify the heritage of McWilliam’s Wines and its premium fortifieds, as well as doing
where the next big international opportunity for Australia wine is going to be. “We put a lot of faith in the China wine market, and it paid off in the short term, but we are now shut out from that market with few options to fill the gap,” he said. “As international travel becomes
celebrated brands retain their individual identities, along with marketing and sales
over 280 SKUs, it’s important to us that each product, range, and brand is distinct and provides value for our customers and ultimately wine lovers across Australia.” The primary focus for CFWG in 2022 will be “establishing the marketing messages we aim to deliver over the short term for our recently acquired brands
more to unify the brands to help shoppers
more accessible to us, we as an
while continuing to grow the success of
discover the different tiers in the portfolio.
industry need to cast a critical eye as
our well-established brands like Calabria
“Finally, there are exciting plans to
to where our wines have the greatest
Family Wines, Kings of Prohibition and
develop the Hanwood vineyard and
chance of success and to work
Pierre D’Amour.”
cellar door for visitors to the region. The
together to fly the flag for premium
“On behalf of Bill, Lena, and the rest of
changes will enhance the history behind
Australian wine in these markets so
the Calabria family, I want to say thanks to
the site while bringing the brand and site into the future.”
that we can build long term export stability across the globe.”
CFWG now sits among the largest
the wider industry for its support this year, especially to those of you that reached out as we welcomed McWilliam’s Wines to our
family-owned wine groups in Australia.
including well-known brands like
Its portfolio consists of Calabria Family
Dow’s Port, Canti Prosecco, Librandi,
“We are truly honoured to become
Wines, McWilliam’s Wines, Deakin Estate,
and Champagne Deutz. In early 2022,
custodians of this iconic wine brand and
and La La Land. And its new distribution
Dona Paula will also be welcomed to
look forward to continuing a long and
arm Vintners & Co. Merchants represents
the portfolio.
prosperous relationship with the McWilliam
its international distribution partnerships, 60 | National Liquor News
Calabria said: “The purpose of the
family,” Calabria continued.
family into the future.”
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Carlton & United Breweries
SUPPLIER
CUB keeps ahead of beer trends
Peter Bingeman
Carlton & United Breweries’ beer division has seen great success in its strategy to support partners make the most of current consumer tastes.
Sales Director – Beer Division Carlton & United Breweries
For the beer division of Carlton & United
doubling down on driving category growth.
Breweries (CUB), 2021 was another unique
We’ll do this through partnering with our
year of ups and downs, according to Sales
on-premise customers to encourage more
Director, Peter Bingeman.
people back into pubs, clubs and bars and
“We experienced another challenging
investing behind global trends like wellbeing
year filled with large momentum shifts. Pack
and the explosion of craft beer to continue
beer sales continued to be strong, however
to drive growth with our retail partners,”
our on-premise business was affected by
Bingeman said.
the extended lockdowns in our two biggest
It remains difficult to predict how the
states, New South Wales and Victoria. This
year ahead will go in terms of pandemic-
put pressure on our customers and partners,
related restrictions, however CUB is
and any challenge CUB experienced was
confident it is well positioned to deliver
nothing compared to what they went
for consumers when the time is right to get
through,” Bingeman said.
back to social occasions, both on- and off-
CUB was inspired by the resilience of
premise. The challenge will be predicting
the hospitality industry during these tough
when this bounce back will happen, and
times – it became hard not to be positive
how consumers will react.
about the future when such on-premise partners were so optimistic about better times ahead. 2021 was also the first full year that CUB was part of Asahi Beverages, something which Bingeman said the business benefited from. “This has given us greater structure and
“Whilst I think there are many
“Whilst I think there are many unknowns, I am cautiously optimistic about the beer category in 2022.”
unknowns, I am cautiously optimistic
Peter Bingeman
to more occasions for people to celebrate
Sales Director – Beer Division Carlton & United Breweries
with a refreshing beverage in their hand,”
focus following the successful integration
about the beer category in 2022. I really believe that consumers will remember how much fun it is to visit pubs and clubs or catch up at parties and BBQs, leading
Bingeman said.
into Asahi. It’s a great business that is
One issue that CUB wants to tackle along
committed to growing and investing
this year. CUB is now the market leader
the way this year is the beer excise tax – for
in Australia. It’s been really good to see
in this segment, which is really exciting,”
draught beer, this is now the fourth highest
the increased focus on innovation and
Bingeman said.
of the OECD countries and it increases twice
sustainability,” he said.
a year. Bingeman said CUB is committed
Plans for the year ahead
to working with the Australian Hotels
as of late has been the consumer shift to
In 2022, the focus for CUB on a beer front
Association and Clubs Australia to fight
more moderation behaviours, leading to
will be one that it has always strived to
for a reduction.
a growing thirst for no and low alcohol
maintain – supporting its partners and
drinks alternatives.
keeping ahead of the latest trends.
Another impact on CUB’s beer division
“Our national launch of Great Northern
“Our continued focus will be to build
Zero into the zero alc category was our star
strong partnerships with our customers by
62 | National Liquor News
“It’s just not right. It’s making beer less affordable and putting a lot of pressure on an industry that’s already got enough challenges,” he said.
■
CUB Premium Beverages goes from strength to strength
SUPPLIER
CUB Premium Beverages
Michael Ritoli General Manager CUB Premium Beverages
The new entity housing the non-beer side of Carlton & United Breweries is off to a strong start in its first full year of operation. When Carlton & United Breweries (CUB)
no different. Most of these liquids have a
joined the Asahi Beverages family in 2020,
low calorie count and I think we will see
the business was restructured to best
more innovation in the lighter drinking
serve the merged portfolio. During this
categories,” he said.
restructure, a new entity was created –
“We have seen our portfolio evolve
CUB Premium Beverages, which houses
over the last 12 months and we now have
the non-beer side of the wider business.
four brands in the seltzer category with
Michael Ritoli, General Manager for
Good Tides being our main focus. Having
CUB Premium Beverages, said the first full
said that, Vodka Cruiser is all about
year of operation for the new division was
‘Fun, Flavour and Colour’ and the brand
exceptional and despite obvious challenges
continues to go from strength to strength.”
of the pandemic, has set the tone for a positive future.
Innovative year ahead
“I’m absolutely delighted with how we
Just like the beer division of the business,
came together as a new team and how we
CUB Premium Beverages is planning for a
prioritised our focus on our customers and
2022 full of innovation, to fulfil the needs
our people, and set the strategic direction of
of trade and consumers alike.
our business,” Ritoli said.
Ritoli said the unpredictable challenges
“We will continue to focus on
that the pandemic brings mean suppliers
strengthening our partnerships with our
and industry partners should be working
customers and driving mutual beneficial
more closely together than ever before.
growth [in 2022]. Category growth and new
“The opportunities are never ending
product development are key focus areas in
and continuing to develop new products
the categories we play in and, to achieve our
and providing new experiences are key
goals, we are committed to having a longer
to our industry success. Consumers are
planning horizon with our partners.”
always looking for new experiences and
“I believe that RTDs will continue to demand a greater range of space in venues and bottle shops as their popularity continues to grow.” Michael Ritoli General Manager CUB Premium Beverages
A star performer of the CUB Premium
working with our on-premise and retail
Beverages portfolio in 2021 was Vodka
partners provides us with a fantastic
CUB Premium Beverages has a
Cruiser, outperforming in the booming
platform to bring these experiences to life,”
strong innovation plan in the RTD and
RTD category. Ritoli also said the coming
he explained.
cider space, seeking to deliver on-trend
together of the CUB and Asahi Premium
“We are privileged that we work in an
products that stand out in the crowd of
Beverages non-beer brands has also been
industry that is keen to try new ideas and
a strong point for the portfolio.
partners are investing into their venues and
As Ritoli said: “Overall, I believe that
new brands hitting the shelf.
“In recent years we have seen growth
bottle shops to ensure that consumers have
RTDs will continue to demand a greater
come from lighter style liquids like
an amazing experience whether shopping for
range of space in venues and bottle shops
vodka, gin and seltzers, and 2021 was
products or consuming them in a venue.”
as their popularity continues to grow.”
■
February 2022 | 63
Campari Australia
SUPPLIER
Opportunity in adversity for Campari Australia Campari Australia has found opportunities to support the industry and grow its portfolio, despite the challenges of 2021.
As the pandemic continued this year, the on-
Durrant predicted that stock projections
premise was again impacted by lockdowns,
will remain a difficulty heading into 2022,
restrictions and the challenges they bring.
but one the company is prepared to handle
Campari Australia, recognising the role
for its customers.
Simon Durrant Managing Director Campari Australia, New Zealand & Pacific Islands
Ready to ride the seltzer wave Durrant said: “In terms of
of the on-premise for the vibrancy of the
“The biggest challenge for us will be
entire industry, stepped up to support it.
product forecasting and stock management
have exploded in this market and are
The company provided meals for hospitality
due to an ever-changing market,” he said.
now the sixth biggest player in the
workers struggling to make ends meet
“We are very focused on building
and initiated the Aperol ‘Celebrating
strategies to maintain great service levels
Togetherness’ campaign, encouraging
to our customers.”
consumers to head back into venues with free Aperol spritzes.
There have been some bright spots for Campari Australia in the past year too.
“Catching up with those we love over a
For example, it capitalised on this rise in
refreshing drink is at the heart of aperitivo
off-premise consumption by launching the
culture,” said Simon Durrant, Managing
Discovery Series, a new line of premium
Director of Campari Australia, New Zealand
Wild Turkey bourbon RTDs, that is
and Pacific Islands.
exclusive to Australia.
opportunities, seltzer RTDs really
RTD category.” Campari Australia has responded by introducing Truly Hard Seltzer through a partnership with the Boston Beer Company. Truly has generated more than 50 per cent of all hard seltzer growth in the US. Durrant hopes this new range will allow Campari Australia to seriously play in this category. “We have some other very exciting
The closure of the on-premise brought
Meanwhile, at the super-premium end of
news that will drive further growth in
its own unexpected challenges for Campari
the market, Campari made headlines with
the rum and seltzer categories. Stay
Australia too. Rather than a loss of sales,
the release of a 60 year old Glen Grant single
tuned – there is so much more to
the company struggled to keep up with a
malt whisky, paying homage to distiller
come,” he said.
sudden surge in demand from retailers.
Dennis Malcolm’s six decade long career. Bottle number 88 (a traditionally lucky
“The shift to more premium products
number) sold at auction in Shanghai for
and brands is also a trend that’s likely to
approximately $80,000 – the highest price
continue, as consumer engagement in the
ever paid for a Campari Group bottling.
spirit category has increased.”
Durrant said: “The response to this release has been extraordinary.” Looking into 2022, Durrant believes that some of the changes in consumer behaviour,
64 | National Liquor News
But Durrant’s final word was reserved for Campari Australia staff, who (like many in the industry) have endured a torrid time over the past two years.
although accelerated by the pandemic, are
“The last two years has been tough for
here to stay, which could mean great things
so many people, including our employees,”
for Campari Australia.
Durrant said.
Durrant told National Liquor News: “The
“Building a motivated team of capable
increase in at-home consumption, and the
and resilient Camparistas is my number one
willingness and confidence of consumers
priority. It’s therefore vital we continue to
to recreate classic cocktails themselves, has
invest in our people and provide smart and
aided the spirits category.
flexible working opportunities.”
■
Coopers celebrates 160 years in 2022 Coopers enjoyed impressive sales growth in 2021, and as we head into 2022 the family-owned brewery has lots to celebrate.
Despite the lingering effects of the global
Cam Pearce Director of Marketing and Innovation Coopers
Bright spots from the brewery and malting plant
pandemic, Coopers posted solid sales growth in 2021 with its popular beer cans leading the way. Total beer sales, excluding non-alcoholic
Coopers Brewery has
beers, were up 2.8 per cent on the previous
unveiled plans to invest
financial year – a result that was “better than
$15m in expanding its onsite
expected” – but below the record volumes
warehousing capacity at
achieved in 2016-17.
Regency Park in Adelaide.
The can format continued to grow in
This will boost beer storage
popularity and now represents more than 30
capacity at the brewery by almost 50 per cent and allow
per cent of Coopers’ packaged beer sales. Cam
Coopers to store all product
Pearce, Director of Marketing and Innovation,
on-site.
told National Liquor News that Coopers will
The new warehousing
continue to capitalise on this trend with new
capacity will deliver
releases and old favourites being made available in cans. “We expect the can format will continue to
beer despite the pandemic still impacting sales across the industry,” Pearce said.
both logistical and cost efficiencies. Coopers has a strong continuous
grow in popularity and have no expectations that
The second half of the 2021 calendar was
it will taper off. Coopers Pale Ale is the clear
challenging with lingering lockdowns in some
leader in can format along with strong support
states impacting sales volumes. However,
Throughout 2021, strong
for the XPA, Sparkling Ale and Mild Ale cans,”
Coopers is approaching 2022 with a sense of
demand for Coopers’ high-
he said.
optimism – and has plenty to be positive about
quality malt, particularly
as it celebrates its 160th anniversary.
from new and existing
Highlights during 2021 included the expanded Coopers portfolio with the limited-release of
“While we’re not generally a brewery to
two new beers, Hazy IPA and Australian IPA,
blow its own trumpet, we believe 160 years is a
while the rebrand of Session Ale to Pacific Pale
milestone worth acknowledging. We have some
Ale struck a chord with the surfing community,
events planned to mark the celebration as we
delivering increased popularity.
look forward to the next 160 years,” says Pearce.
Meanwhile, Coopers Best Extra Stout, one of
In 2021 Coopers also rolled out its ‘Forever
the brewery’s oldest beers, became the latest to
Original’ brand positioning, which underpins its
be packaged in aluminium cans and continues
strategic direction for all aspects of the business.
to perform strongly with sales approaching the
Since Coopers’ foundation 160 years ago, it
levels last seen in the 1950s.
improvement strategy which will continue in 2022.
international customers across Asia, has led the plant to operate at near capacity. Also in the last year, Coopers received accreditation for environmental standard ISO 14001, and health and safety standard ISO 45001. These achievements capitalised on the numerous
has been a brand of no imitations, no pretending,
sustainable practices in place
“Overall, we’re seeing consumers continue
and above all else, a brand that strives for
across the brewery, and the
to gravitate towards authentic brands they can
authenticity. ‘Forever Original’ encapsulates this
good level of work health and
trust with emphasis on high quality and local
spirit perfectly and is a timeless reminder of its
safety measures.
provenance. That is driving demand for Coopers
promise to drinkers.
■
February 2022 | 65
SUPPLIER
Coopers
De Bortoli
SUPPLIER
De Bortoli rises above ongoing challenges Darren De Bortoli
De Bortoli reached key milestones in sustainability, marketing communications, and innovation throughout 2021.
Managing Director De Bortoli
Despite border restrictions and countrywide lockdowns magnifying issues in the supply chain and increasing overall operating costs, De Bortoli continued to innovate throughout 2021. The family winery made headway in the Moscato varietal with premium wine Petit Moscato from the world-famous Muscat region in Rutherglen. And riding on the success of being awarded Best Prosecco for its King Valley Prosecco at the Australian Sparkling Awards, De Bortoli continued the innovation theme with the launch of Prosecco Rosé. Then there was the De Bortoli 2021 Christmas Advent Calendar, which was produced in a way that every box design and colour was different. Besides product and packaging innovations, De Bortoli also achieved a key
De Bortoli told National Liquor News that being sustainable is about coming together as a total ecosystem to achieve more with the environment.
Looking to the future As Australia, and the world, moves into a more COVID-normal lifestyle, De Bortoli’s immediate focus this year
milestone in marketing communication.
“Our family has been committed to
Partnering with technology gurus Rock
doing our bit to creating a greener and
Paper Reality from California, they created
more sustainable approach to winemaking.
an engaging web-based augmented reality
From wastewater management to
experience to bring the bottle labels to life.
recycling, sustainability has been at the
to purchase wine has somewhat
Managing Director, Darren De Bortoli,
heart of everything we have done since
altered considering the issues faced
2005,” he said.
with COVID-19, which has affected
says that technology plays a big part in creating a connection between wine and consumers.
A pivotal moment for the company was
will be to improve internal processes to drive operational efficiency and continue its innovation journey. De Bortoli said: “The channel
in-store purchasing. Because of this
“Through technology, wine knowledge
when it launched its carbon offset program
we noticed more consumers are
is more readily available for consumers,
to plant 17 trees for each company vehicle
buying wines online or through click-
whether that is by an online website or
back in 2008. This led to the launch of the
participating in a virtual tasting. It has
17 TREES wine range in 2020, which is
the power to bring wine and consumers
sustainably produced, vegan friendly and
together,” he said.
made from recycled material. Through this initiative, more than 50,000
Kicking sustainability goals
trees were planted by De Bortoli in 2021
De Bortoli hit a major milestone in 2021,
alongside its distributors and partners in
planting more than 50,000 trees through its
the United Kingdom, Japan, and Northern
17 TREES Plant-A-Tree initiative.
America.
66 | National Liquor News
■
and-collect from existing retailers. However, we do not believe that these models will replace the brickand-mortar businesses.” The winemaker has also begun to rebuild its export business, which De Bortoli says will be “both a challenge and opportunity” for the company in the coming years.
Put your plans on ice. Australian Rye Vodka + Soda.
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Distributed nationally through info@craftrevolution.com.au
Diageo
SUPPLIER
Agility and creativity drive growth for Diageo Angus McPherson
Through navigating the challenges of 2021, Diageo is continuing to contribute to positive industry change in Australia.
Managing Director Diageo Australia
For one of the world’s biggest spirits suppliers, the Australian industry is an exciting place to be right now. Angus McPherson, Managing Director for Diageo Australia, said although 2021 was a tough year, successes over this time show a bright future ahead. “I’m proud of the strong performance we’ve delivered in the Australian market despite the challenges of the last 12 months. We had to be agile to navigate our way through these challenges and because of that we’ve been able to leverage different opportunities to drive growth and bring new consumers into the spirits category through our market leading
cent of what is sold in Australia is bottled
22 for the second time; and a global signatory
portfolio of brands,” he said.
locally, which has helped minimise ongoing
to the Unstereotype Alliance, of which it
global supply chain impacts.
is a proud founding member for the first
“We found some creative ways to inspire consumers on how to make great cocktails
McPherson said: “Managing those
at home and turbocharged our innovation
challenges and mitigating the risks is all in
“Our goal is to work with our partners to
pipeline, launching 45 per cent more NPD in
effective planning and forecasting. We’ve
be a driving force in the effort to accelerate
F21 than the previous year including the first
had a lot of practice over the last 18 months
and transform the industry to be more
Johnnie Walker Black RTD anywhere in the
in preparing for all sorts of challenges and
representative, progressive, and equal,”
world and the local launch of Gordon’s 0.0%
putting contingency plans in place to avoid
McPherson said.
that will benefit from the huge growth we’re
as much disruption as possible.”
seeing in the low and no alcohol category.”
Australian chapter of the organisation.
Meanwhile, sustainability continues to be a focus for Diageo on a global scale as
Positive change
it continues to target the goals set out in
in this exciting environment, and: “In 2022,
Diageo has been engaged in several positive
the Society 2030: Spirit of Progress plan.
we’ll be looking to provide even more support
change initiatives in recent years in a number
Alongside this, in 2021 came the first new-
to our customers on category development.
of sectors. This includes the Bundaberg
to-world brand for Diageo in 15 years –
That’s where suppliers really need to focus
Rum Raising the Bar program, which saw
Reeftip Drinks Co., with a range of spiced
their efforts if they want to best support their
$11.5 million invested into supporting
rum RTDs and a full size bottled spirit.
customers to capitalise on emerging trends
the Australian hospitality industry as it
and respond to consumer demand.”
struggled with pandemic restrictions.
McPherson said Diageo sees great potential
“It’s a home-grown drinks brand with a bold purpose because from day one Reeftip
With production sites in western Sydney
Another area of positive change has been
has committed to donating 10 per cent of
and Bundaberg in Queensland, the local
in diversity and inclusion, with Diageo named
its profits to the Coral Nurture Program, a
Diageo business represents 30 per cent of the
as an Employer of Choice for Gender Equality
world-first science and tourism partnership
spirits market in Australia, producing more
in 2021 for the third year running; a Diversity
to support the growth of new corals in the
than 10 million cases annually. Eighty per
Council Australia Inclusive Employer 2021-
Great Barrier Reef,” McPherson said.
68 | National Liquor News
■
Endeavour Group
Endeavour Group focuses on a bright and positive future
Steve Donohue CEO and Managing Director Endeavour Group
Inside the new Dan Murphy’s flagship design format
A positive imprint, made together Since the Woolworths demerger, Endeavour Group has built its purpose of ‘creating a more sociable future together’ in a number of ways. A huge part of this has been the company’s first official sustainability strategy - ‘A positive imprint, made together.’ “While sustainability has always been central to how we operate, the launch of our first
When asked about how 2021 was for
personalisation promise across multiple channels
Endeavour Group, CEO & Managing Director,
and customer touch points,” Donohue said.
sustainability strategy as an independently listed business was a significant milestone in setting
Steve Donohue, said it was a “significant year.”
Another innovation opportunity Endeavour
That is certainly true, with the company
Group will focus on in the year ahead is new
completing the demerger from Woolworths Group
formats and designs for its stores and hotels,
in June 2021 amid months of uncertainty for the
including rolling out Dan Murphy’s new
a positive imprint on the
industry. Despite the obvious lockdown challenges
flagship design to more stores. Donohue
communities we are part of, the
for the on-premise side of the business, Donohue
explained this is one example of a core strategy
people we connect with and the
said performance overall has been strong.
of the business in play – to focus on new format
world we all share.”
the course for the next phase of our journey,” Donohue said. “Our ambition is to leave
He added: “Our off-premise businesses have
innovation to meet changing customer needs.
Within the strategy, Endeavour
been incredibly busy and have grown significantly.
“The new Dan Murphy’s flagship design was
Group has targeted areas where
This is a credit to our people, and the collaboration
developed because we know customers expect
it can make the greatest impact,
with our partners and supply chain.”
so much more from us than just products on
Looking ahead, Donohue notes that although
shelves,” Donohue said.
built around three principles: Responsibility & Community, People, and Planet.
it’s difficult to forecast the next year, Endeavour
“The new-look stores offer customers a
Group has a great foundation heading into 2022
place to discover and educate themselves in the
that will enable continued innovation. One such
world of drinks. Each store has a hyper-localised
innovation opportunity will be in technology,
range, which has been developed using customer
led by the company’s digital arm, endeavourX.
insights. All new stores also have electronic shelf
“We will particularly focus on continuing to
labels (ESLs), which we are rolling out in both Dan
improve our customer experience and customer
Murphy’s and BWS stores, which helps us reduce
the communities we’re part of.”
engagement, which includes increasing the
paper usage by 90 per cent and communicate with
Donohue said.
quality of our apps and delivering on the
customers in a new way.”
■
“Importantly, the launch of our sustainability strategy is just the beginning of our journey. We’re committed to listening and learning, sharing our progress and leaving a positive imprint on
February 2022 | 69
RETAIL
Since completing the Woolworths Group demerger last year, Endeavour Group has continued to focus on innovation in a number of areas.
Exceedra
SUPPLIER
Planning for success with Exceedra
Simon Elsby
Simon Elsby, APAC Sales & Business Development Director for Exceedra, says a year of opportunity is ahead as the company scales its planning capabilities for the liquor industry.
APAC Sales & Business Development Director Exceedra
2021 was a busy year for Exceedra, a leading global provider of software solutions for integrated business planning and revenue management. Simon Elsby, APAC Sales & Business Development Director, said there were a number of highlights, aligned to the company’s scaling abilities in the liquor industry. He said external highlights include “building and growing our team in response to our customers’ changing needs over 2021, and acquiring new businesses that strengthen our revenue management and analytics software offerings that will really help our liquor industry customers step-change their core organisational capabilities.” The immediate focus for the year ahead will be two exciting major revenue management software projects with clients that have global footprints. But throughout the year, Exceedra is also focusing on how it can best meet the needs of customers all across the liquor industry. This will happen alongside the continuing integration of the business into TELUS, Canada’s largest Telco, which acquired Exceedra in late 2020 for its world class revenue management and
“If the past two years have taught us anything, it’s to plan for the unplanned.”
retail execution software capabilities.
Simon Elsby,
“In the early part of 2022 we are very focused on different options
APAC Sales & Business Development Director, Exceedra
that further scale our integrated business planning capabilities for the alcohol industry,” said Elsby. Alongside such opportunities though, Exceedra predicts there
more important than ever for the liquor retailers and suppliers
will be challenges in the year ahead. Elsby said one of the biggest will
to work together like never before, to be the most prepared for
be “trying to understand how COVID is going to affect us in 2022.”
unpredictable situations.
“It’s fair to say doing this same exercise at the same time last year,
“I think there are two words - agility and pivot - and the actions
not many people would have foreseen the challenges and difficulties
associated with them, that have become cornerstones to liquor
that 2021 brought, when many of us thought we were getting out of the
manufacturers and retailers to incorporate into the way they
proverbial woods. Supply chain is obviously one of those, particularly
do things. On-premise shifts to off-premise during lockdowns,
for imported products like spirits and international beers. So
challenges on margins, massive growth in new segments like
continuing to build even more rigour and robustness in our planning,
seltzers and no alcohol products, and numerous other changes
how we implement and support our customers and help them to plan
mean the industry has had to collaborate like never before,”
and allow for things like continuing supply chain disruptions and at-
Elsby said.
shelf out of stocks, and how we measure and track changing success criteria are core challenges for our business,” he continued.
“If the past two years have taught us anything, it’s to plan for the unplanned… In some ways it has been a shakeup for the liquor industry that needs to be noted and tracked to provide a
Planning for the unplanned
better guide path for the next few years. It’s not just a hiccup and
After the past two unpredictable years of the industry, the power
then a return to normal. Behaviours have inexorably changed, and
of what Exceedra offers cannot be understated. Elsby said it’s
we need to build those changes into our future plans.”
70 | National Liquor News
■
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Global Endeavours Australia
SUPPLIER
Momentum building for Global Endeavours Australia
Maurice Melis CEO Global Endeavours Australia
After entering the country in April 2021, Global Endeavours Australia is set for a positive year ahead according to its CEO, Maurice Melis. It’s been another tumultuous year for the liquor industry in Australia, but ultimately a very positive one for new entrant to the distribution game, Global Endeavours Australia (GEA). Part of New Zealand manufacturer of food and beverage products, Global Endeavours Group, GEA was established in April 2021 to leverage NZ infrastructure and brands to deliver rapid growth across the Australian marketplace. Currently the group has two bottling plants based in Tauranga, NZ, delivering spirit-based and RTD products. CEO of GEA, Maurice Melis, said it’s been a good start to the brand in Australia
“We have some unique brands, and we are enthusiastic and flexible in how we work with retailers.” Maurice Melis CEO Global Endeavours Australia
so far, with encouraging signs for the future. “The first six months were very interesting indeed, with four of those spent in lockdown! Notwithstanding, we gained some great
quality and taste credentials, plus interesting
momentum and secured ranging of our
flavours,” Melis said.
“As a group we are still relatively small compared with the big multinationals.
key liquor brands in major retailers. We
This hero brand will introduce GEA
We have some unique brands, and we
also received lots of encouraging feedback
to the Australian off-premise industry, an
are enthusiastic and flexible in how we
about our liquor portfolio, so we now need
area which will be key for the distributor
work with retailers. It’s about using these
to build on that positive engagement,” Melis
in the year ahead. The Australian portfolio
characteristics to partner with retailers to
told National Liquor News.
curation has been designed specifically with
ensure we’re delivering the best value and engagement for their customers.”
The first focus point for this positive
local retailers and shoppers in mind, to
engagement in 2022 will be around the
provide a strong offering that holds a great
Batched Premium Cocktails brand, which
value to the market.
GEA may still be fairly fresh to Australia, but the company’s enthusiasm for the
includes both 700ml bottled cocktails and
Melis said: “Over the next 12 months our
also a line of canned cocktail RTDs, available
aim is to better penetrate the independent
in a range of flavours.
channel with our brands, so we are open to
“We’re very excited about the year ahead
“Our immediate focus is ensuring we
opportunities that will assist in achieving
and would really like to build our presence
launch our hero brand, Batched Premium
that. We have been very specific in our
and portfolio across all retail outlets. We’re
Cocktails, successfully and grow the brand
brand portfolio selection and what we take
happy to do that in whatever form best suits
more broadly across the Australian market.
to market over the next 12 months to ensure
our customers and always open to a chat,”
This is a unique proposition, with amazing
it works for consumers and retailers.
Melis said.
72 | National Liquor News
market abounds, as does its commitment to supporting its customers.
■
Good Drinks kicks goals across the country John Hoedemaker
After a great year of growth, Good Drinks Australia has met its goal of being one of the country’s leading independent beer producers.
A long-standing goal of the Good Drinks
several other exciting things on the table
Australia business has been to become one of
for Good Drinks.
the leading independent sales and marketing groups in the liquor market nationwide.
Managing Director Good Drinks Australia
Despite some challenges also predicted, particularly as WA opens up to a fuller
“On the opportunity side, with our
impact of the pandemic than ever before,
broadened and very capable independent
Hoedemaker added that he is confident in
In 2021, it was finally able to tick that goal
national sales and marketing team, we’d like
the strategy and the prevailing core appeal
off the list in what Managing Director, John
to see if there are opportunities to work with
of Good Drinks.
Hoedemaker, called “a remarkable year,”
other exciting brands to broaden our portfolio
He said: “I think we build successful
driven by great execution across the board.
and to continue to add scale and capability
brands by concentrating on the basics. On the
“The team delivered on our strategy to
to our sales and marketing teams. It’s a fine
product level we have a very credible brewery
grow distributions, sales and the relevance
line to not burden the team with too many
and brew team, the quality and consistency
of our brands not only in Western Australia
brands, but we feel there is still a little room
of our brews stands the test of time. We
but across the eastern seaboard. We’ve seen
for nicely complementary and interesting
build brands that are unique in flavour and
record production of near on 20 million
brands winning in segments where we are
proposition, however can also be enjoyed by
litres, healthy 40 per cent growth in revenues
not already represented,” Hoedemaker said.
a vast majority of consumers.”
leading to strong earnings growth. As always,
■
we’ve reinvested those earnings back into the business to continue to drive growth,” Hoedemaker told National Liquor News. Throughout the year, Good Drinks focused on expanding the sales team’s footprint, bolstering the field force numbers and key account servicing, and increased the marketing team’s capabilities and budget. 2021 also saw Good Drinks champion a venue strategy, opening the Atomic Beer Project in Sydney and designing and constructing the Gage Roads Brewery in Fremantle. Moves were also made in Queensland, where Good Drinks purchased a heritage venue in Eumundi, which will become the site for a Matso’s Brewery. This venue strategy will continue to be an immediate focus for Good Drinks in the year ahead, especially with the recent
Stars of the portfolio During a positive year for the Good Drinks portfolio, star products were easy to find. Hoedemaker said this includes big brands like Gage Roads Single Fin Summer Ale and Matso’s Ginger Beer, continuing to grow between 34 and 40 per cent. New Gage Roads brands like Side Track All Day XPA and Pipe Dreams Coastal Lager are also performing well, tapping into areas of craft beer growth. “It’s great to see Gage Roads grow from strength to strength. Gage Roads is really
opening of the Gage Roads Fremantle venue,
all about championing that coastal lifestyle that so many of us enjoy, so it’s great to see
which Hoedemaker said was the “spiritual
more and more consumers getting a sense of that last coastal holiday, fishing or surfing
home” of the brand.
trip every time they crack open a Gage,” Hoedemaker said.
For the wider coming year, there are February 2022 | 73
SUPPLIER
Good Drinks Australia
Hellyers Road
SUPPLIER
Hellyers Road hits new heights Despite being one of the ‘Elder Statesmen’ of Australian whisky-making, Hellyers Road is continuing to innovate and expand, as new General Manager, Andy Bower, explains.
Andy Bower General Manager Hellyers Road
Andy Bower joined Hellyers Road this year as General Manager with a simple brief: “Continue the success, and position Hellyers Road to deliver its ambitious 30 year plan.” With this in mind, the distillery has defied the challenges of the last two years, to increase staff, improve capacity, and add to its capability. 2021 was the distillery’s biggest year ever in terms of volume of spirit distilled and barrelled. Although a lack of domestic tourism and the repeated closure of the on-premise closed certain sales avenues, for Hellyers Road these declines were mitigated by
“We have ambitious production growth targets for 2022 and beyond.” Andy Bower
increased at-home consumption, online
General Manager, Hellyers Road
sales and off-premise demand. “What ultimately happened was a change in the mix of the business. It was an exercise
Hellyers Road was its authenticity. A lot
This means there are tough decisions to
in being able to adapt quickly,” Bower said
of brands borrow stories to create some
make, as Bower illuminates: “All distilleries
There were successes in 2021 too. In
authenticity, but this brand has it in spades,”
in this position face the temptation to
he said
sacrifice quality for quantity. We have made
particular, Bower points to the development of Hellyers Road’s Whisky Cream bottling, that
Hellyers Road was founded in 1997 by
the very deliberate decision not to do that.
required a new state of the art facility to be
a group of dairy farmers, and is so named
“We just have to wait for the casks to
added to the distillery, increasing production.
because one of the original roads surveyed
do their thing. That’s where the magic
“We have ambitious production growth
by Henry Hellyer runs through the property.
really happens.”
targets for 2022 and beyond,” Bower said. “Hellyers Road Whisky Cream grew 38 per
As Bower says: “We have a remarkable story to tell, and we are going to tell it!”
cent last year with very little brand support.
Bower is fully aware of the responsibilities that come with leading one of the oldest distilleries in Tasmania, noting that he and
Preparing for the future
Hellyers Road are happy to support their
production facilities to meet an ever-
The challenges faced by Hellyers Road in
fellows in the industry. Moreover, Bower
increasing demand... It has been a highlight
2022 are not unfamiliar for Tasmanian
believes that the strict standards Australian
of 2021 to see how this now larger team of
distillers: keeping up with demand.
whisky is held to maintains the spirit’s
“We are improving our distillery
talented people gear up to meet our goals.”
Bower said: “We have well over one
In 2022, Hellyers Road will have the
million litres under maturation, but I wish
immediate focus of building brand awareness and growth. This chimes closely with Bower’s observations during his first year in the job. “The thing that stood out for me with 74 | National Liquor News
we had put a lot more down 10 years ago.”
reputation for high quality, and leaves it in good stead for the future. Bower concludes: “The future could be
Whisky-making is not a speedy
described best by the quality and innovation
enterprise, and producing aged stock takes
that is under maturation in darkened barrel
time, with finite limits on scale.
houses all over Australia.”
■
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Idle Hour
SUPPLIER
Idle Hour set to be supercharged The team behind Idle Hour Vodka has a pipeline of new products to launch in 2022 as it gets set to scale up its national expansion.
Ewen Pettit Co-founder Idle Hour
2022 trend predictions Pettit says the most exciting thing about the spirits industry is the speed at which trends can change. In saying that, he has mapped out his three key predictions for 2022: • Premiumisation: The impact of the pandemic plus the rising interest in craft and quality means drinkers are increasingly willing to spend
Following a successful local launch of its
flavour profiles, terroir, process, and quality will
distinctly Australian vodka products in 2020,
be the cornerstones of this revival,” he said.
the team behind Idle Hour Vodka has ridden
“Vodka has been encumbered by limiting
that wave throughout 2021, scaling nationally
perceptions of being neutral, European, harsh
in both the on- and off-premise.
and maybe a bit boring. We set out to create
more money on better quality spirits and mixers. He said: “We expect to see more innovation in tequila and Australian whisky. We also expect to see the early
Long periods of lockdowns did present
an Australian vodka drinkers would want to
challenges in the on-premise in NSW and
experience and that meant focusing less on
• NOLO: Considering the rise of
Victoria throughout the year, however with
neutrality and more on character inside and
the sober-curious movement
restrictions eased and events slowly coming
outside the bottle. This was further exemplified
as well as the popularity
back, Co-founder, Ewen Pettit, says it’s now time
by our Native Series launch – that introduces local
of non-alcoholic drinks,
to “supercharge Idle Hour”.
flavours like Kakadu Plum to the vodka category.”
Pettit expects to see more
Pettit said: “Vodka is on the come back and
Idle Hour thrives on identifying new
we are placed well to welcome drinkers back.
opportunities and throughout 2022, the team
We are focusing on using local rye distilled
will be dedicated to innovation in the form of
only how an Australian vodka can be distilled –
new brands, new SKUs and new formats.
with character.”
“At a group level, we will continue to re-
He explains to National Liquor News how
energise existing or fatiguing categories and also
spirit categories have “cultural moments”, and
begin to introduce new categories to Australian
that Idle Hour was able to spot the “vodka
drinkers,” says Pettit.
renaissance” early.
movements brandy.”
non-alcoholic and low-ABV (NOLO) spirits and cocktails launch in this market. • High end cocktails at home: Pettit predicts a rise in e-commerce platforms, cocktail kits, cocktail delivery services, and canned cocktail formats that
“We will be putting a lot of energy behind our
will offer drinkers a more
“Vodka had gone under-valued for close to
ready to drink range Idle Hour Vodka + Soda,
convenient opportunity to
a decade. Our belief is ‘reimagined vodka’, like
which blends our award-winning vodka with
drink well from the comfort
Idle Hour, which borrows from other categories,
soda water and local flavours like bramble bush,
of their home.
can reclaim the buzz it once enjoyed. Innovative
lemon myrtle and passionfruit.”
76 | National Liquor News
■
Independent Liquor Group
Record breaking year for ILG Independent Liquor Group is set to leverage great 2021 results to deliver more positives to its members in 2022, according to CEO, Paul Esposito.
Paul Esposito CEO Independent Liquor Group
RETAIL & WHOLESALE
Independent Liquor Group (ILG) achieved a record breaking financial result in 2021 with year-end sales revenue up 24 per cent. The co-operative’s membership grew by 12 per cent through the year with an ongoing rise expected into 2022; and member rebates were up by 25 per cent. Equity grew from $19.5m to $23m, with total assets up at $97m. Earnings were up six per cent with underlying profit also up at $3.1m, allowing ILG to make a $2m repayment to its Treasury Corp Loan and reduce the debt for its Erskine Park facility to $6m. In 2021, ILG’s focus was to give members the ability and freedom to promote products
want to lower distribution cost, get better
built warehouse that will allow consistency
that reflect their communities in both press
prices from our suppliers and share greater
in processes across all three sites with
and digital platforms. This resulted with
earnings to our members.”
enhanced operational capabilities.
significant sales increases with retail banners
ILG will also continue to focus on
Focus for 2022
Victoria, growing its customer base
ILG CEO, Paul Esposito, told National
In August 2021, ILG soft launched its
and giving Victorian hospitality and
Liquor News that achieving growth amidst the
premium Fleet Street banner at Camp Hill
independent retailers an opportunity to join
pandemic was a challenge, but it’s a testament
in Queensland, a first for the state. It was a
the co-operative.
to ILG’s agility and united front as a family.
great success, with the store already seeing
Moving forward, ILG will strive to continue
increased basket spend and foot traffic.
experiencing 26 per cent growth
growing its membership, while increasing recognition of ILG as a co-operative.
During the pandemic, ILG introduced segments of its e-commerce platform to
Following Camp Hill, Brisbane River Fine
allow members to trade online through
Wines and Spirits launched under the banner,
periods of lockdown. But in early 2022, the
“ILG is built on its members, not
with two more sites in Queensland and three
co-operative’s full e-commerce solution will
investors, shareholders, or speculators.
more in NSW being considered to potentially
be executed and is expected to boost sales
We can operate at a lower cost than our
commence in the first quarter of 2022. The
for members.
for-profit competitors because we do not
brand is gaining momentum, with 17 existing
Esposito concluded: “The co-operatives
need to reward investors. We are equitable
stores and expressions of interest on the rise,
family virtue has never been more evident
because we reward members in relation
and ILG is carefully reviewing applications to
with the outpour of co-operation and
to their engagement with ILG rather than
ensure that the brand’s image and personality
support from various stakeholders. We
investor shareholding,” Esposito said.
are maintained.
appreciate the understanding and patience
“Our goal moving forward is to recruit
The next focus in Queensland will be to
extended by our members amidst their
more members so we can increase our
purchase real estate to house distribution
most vulnerable times and for keeping their
influence of power in the marketplace. We
operations. The preference is for a purpose-
loyalty and patronage to ILG.”
■
February 2022 | 77
Independent Liquor Retailers
ILR builds on its most profitable year ever
Corey Leeson, General Manager of Independent Liquor Retailers (ILR), explains how the group will continue its focus on improving member profitability in 2022.
Corey Leeson General Manager Independent Liquor Retailers
The Independent Liquor Retailers (ILR) banner group is coming off the back of its most profitable financial year to date in 2021. As a non-profit business, this delivered
RETAIL
the highest profit share for members in the
“I truly believe our consistent pricing and diversity of range has kept consumers coming back.”
group’s 20 year history, with rebates growing 34 per cent on average. General Manager, Corey Leeson, said more great results are anticipated for the year ahead, driven largely by the increasingly popular movement to support local independent businesses, complemented
Corey Leeson
by ILR’s focus on improving member
General Manager Independent Liquor Retailers
profitability. “After having such a successful past couple of years, we plan to get back to our
part of our program and also market more
anything, it’s that life is very unpredictable.
core business of focussing on reducing
products relevant to that regions share of
This alone provides challenges as you don’t
our cost of goods to improve profitability,
each category,” said Leeson.
know what to expect. We have to ensure we
ensuring our marketing is more targeted
have solid foundations as a business and can
and engaging to drive customers to our
Embracing new opportunity
adapt to changes in the marketplace. Also,
stores and delivering services and offers that
In addition to heroing locality, other
with the sheer amount of new products
help our members reduce business costs,”
opportunities of 2022 will be those that
and diversification of consumers drinking
Leeson said.
extend upon the great work that ILR and its
preferences, it is tough to know what to
“With the growth and increasing
members already do in-store on a daily basis.
support and what not to. Hence, data and
importance of supporting local products and
By being prepared for these opportunities,
shopper insights are so important to help
businesses, we are in the enviable position
Leeson said ILR will be well equipped to
provide facts to support our decision making.
of being a true local with having the brand
adapt to the unpredictable nature of the
“[Our members] have been at the
Local Liquor. Therefore, we want to own this
market as the pandemic stretches on.
forefront of this pandemic and continued
space and get the message to consumers of
“The biggest opportunities we see are
to open their doors, provide great specials
supporting the local because we support the
embracing new technologies and data to
and offers and not take their customers for
local community, locally produced products
better understand our shoppers and to
granted. I truly believe our consistent pricing
and the money stays in the town.”
make more informed decisions with our
and diversity of range has kept consumers
One of the actions that ILR will be
promotion and marketing plans. This will
coming back. We have worked hard on our
taking in the year ahead to communicate
ensure we are providing relevant ads to
product mix and category management to
its local credentials will be embarking on
the right consumers in the right markets,
ensure we are providing the right offers at
a campaign to ‘own the local’, which will
therefore, eliminating wastage and
the right time to the right consumers. If
segment marketing into different regions and
providing a better return on investment,”
we can keep playing to our strengths and
advertise products relevant to each region.
Leeson explained.
capitalise on market trends, we will be in a
“This allows local suppliers to become a 78 | National Liquor News
“If the last couple of years have taught us
strong position for 2022.”
■
Our colour is
Rosé Rosé What’s yours?
Lion
SUPPLIER
Lion begins a new year with new leadership David Smith has officially stepped into the Managing Director’s chair at Lion and is ready for a big year ahead.
In 2021, Lion shifted to a more consumer-
David Smith Managing Director Lion
2022 trend predictions
focused mindset and added some new faces
Smith has highlighted what he thinks will
to its Australian leadership team, including
be the key beer trends throughout 2022:
David Smith who has stepped into the
• We will continue to see more in the no
Managing Director role this month.
and low-alcohol space as people look
Smith joins Lion from Diageo where
to moderate.
he was most recently Managing Director,
• There will be further resurgence in
Southern Europe. He replaces outgoing
classics – propelled by innovative new
Managing Director, James Brindley, who
brand campaigns, like what we’ve seen
held the role for 12 years.
with XXXX and Courtney Act.
Smith told National Liquor News that it’s
• Sustainability will be at the core of
great to be back in the Australian drinks and
brand propositions, not just from
hospitality industry, “which is undoubtedly
an environmental point of view, but
one of the very best in the world”.
really focusing on community and
“I am looking forward to working with
responsibility too.
the great team at Lion to build our brands, the business and create value for our customers and partners.”
Victoria. Towards the end of the year, we
Australians together in the spirit of sociability.
Lion’s core purpose for 2022 will be to
weren’t immune from the supply chain
“We know we have a big job ahead of us
champion sociability and reinvigorate the
challenges that have only been exacerbated
this year on this extended recovery we’re all
on-premise, which has suffered through
by Omicron, and we continue to feel our way
facing across the industry,” he said.
extended periods of lockdown during
through this evolving situation. We are very
“We’ve made it our mission to ease the
the pandemic.
grateful to our customers for their patience
burden for our customers throughout the
and support as we have navigated this.
various challenges we’ve collectively faced as
Smith said that despite the challenges of 2021, it was still a busy and productive
“We also continued to support Australia’s
an industry. From keg returns to corporate
year for Lion with lots of product launches
‘locals’ with the inaugural National Local
and brand campaigns, you can expect to see
and acquisitions.
Day to celebrate the invaluable role local
more of this in 2022 and beyond.”
“We launched James Squire Zero – Australia’s first craft alcohol-free beer, saw
pubs, clubs, hotels and bars play in keeping us connected and sociable.
In keeping with Lion’s core purpose of championing sociability, the business
White Claw go from strength to strength
“Of course, the acquisition of Fermentum
announced a partnership with Gus Worland’s
as the country’s number one seltzer brand,
Group was another highlight and it’s terrific
mental fitness charity, Gotcha4Life, in late 2021
launched XXXX Dry nationally, and
to kick off the year with this incredible line
and it will continue to be a key priority in 2022.
brought the leading IPA brand in the United
up of brands, including Stone & Wood, as
“We are really excited about this
States, New Belgium’s Voodoo Ranger, down
part of the Lion family.”
under,” he said.
partnership, which will facilitate mental
Smith said he hopes to return to more
fitness programs in regional pubs and clubs
“We felt the impacts of numerous
normal operating conditions in 2022, and to
over the next 12-24 months, so this will be a
lockdowns and extended closures of the
help enliven the industry again with Lion’s
major focus of our community investment
on-premise – particularly in NSW and
leading brands and moments that bring
program this year,” says Smith.
80 | National Liquor News
■
Liquor Barons
Liquor Barons continues growth trajectory Western Australian cooperative Liquor Barons has enjoyed growth in membership numbers and revenue over the past 12 months.
Liquor Barons enjoyed a successful 2021, with the Western Australian cooperative continuing to see like for like growth and increased brand loyalty.
Chris O’Brien General Manager Liquor Barons
Chris O’Brien accepts the Australian Institute of Management’s Marketing Excellence Award for Liquor Barons’ Legit Locals campaign
RETAIL
General Manager Chris O’Brien told National Liquor News that single digit growth had continued throughout 2021, and is expected to remain into 2022. There were three key highlights for Liquor Barons in 2021 - an increase in membership, with store numbers growing to more than 90 outlets; an increase in market share; and the strength of the group’s marketing campaigns, which continue to focus on the Liquor Barons brand as opposed to product or price. O’Brien explains: “The Legit Locals campaign has really put our brand into a particularly strong position within Western Australia. The Liquor Barons branding now not only attracts more people, but it has increased performance in our brand health numbers.” When it comes to challenges, staff recruitment has been a key concern at all levels, from frontline store workers up to professional and managerial levels. Tough border restrictions have eliminated the migrant workforce and further to that, the mining sector is booming and there are a plethora of jobs paying more than $150k. “It’s difficult to maintain customer facing staff when those sorts of alternatives are available,” says O’Brien, who also points out that it’s a difficult position to be in when the business is growing but is short staffed.
Independent retail is the new on-premise for growing brands O’Brien says the age-old adage of ‘you grow brands in the on-premise’ is no longer true and that independent retail has become a more trusted source of generating trial of new products. “I think independent retail had evolved incredibly and
“If we took a poll of our 90 member stores, I think that every one would have at least one or two roles to fill. What we’re seeing in hospitality venues is that they’re closing for two or three days a week
has proven itself as a trusted source of information and education,” he says. “It’s almost like independent retailers are the new on-
just to make sure their staff get a break, and there is the potential
premise. I think you grow brands in the off-premise and
that we could get to that point too, where liquor stores and hotels
the local expert at independent liquor stores is now a key
need to close or operate on reduced hours, to give their exhausted staff a rest,” he added. Looking ahead to 2022, O’Brien says the key focus areas for Liquor Barons will be growing revenue, growing margins in-store, and growing its customer base through the next phase of the awardwinning Legit Locals marketing campaign. In 2021, the Legit Locals campaign picked up the Australian Institute of Management’s Marketing Excellence Award, and achievement that O’Brien says he “couldn’t be prouder of ”.
■
influencer when it comes to creating trial with new products. “During COVID, where consumers haven’t been able to use the on-premise, brands returned to the high street and gave indie retailers a go, and have found the experience to be really rewarding, so they haven’t left. “Indie retailers should be really proud of themselves, because they are doing a great job. They are growing new products and creating trial, and really proving that independent retailers are the new on-premise.”
February 2022 | 81
Liquor Legends
Liquor Legends toasts a record-breaking 2021 Online sales, digital marketing and strong promotional activity have contributed to a year of incredible success for Liquor Legends.
John Carmody Managing Director Liquor Legends
Liquor Legends saw out 2021 with a flourish, with online playing a key part according to Managing Director, John Carmody.
RETAIL
“A key success of late was our Black Friday sale, where we achieved our largest day ever online,” he told National Liquor News. “In a single day, we almost achieved an entire weeks’ worth of sales.” E-commerce has been a gamechanger for Liquor Legends, delivering some extraordinary returns. “Our online sales are up 1000 per cent on last year,
RTDs drive growth The Liquor Legends network has benefited from a booming RTD market in the past two years, beginning
with a positive trajectory in sales maintained week to
a massive growth
week,” Carmody explained.
trajectory in 2020
“We have come leaps and bounds ahead of where
with no sign
we were at the same time in 2020, and we have no
of slowing.
plans of slowing down.”
Carmody said
Indeed, Carmody says that immediate focuses
RTDs now account
Industry influences Carmody tips certain consumer behaviours developed during the pandemic will continue into 2022. “Based on this year, we think customers will
for the group in 2022 will include the creation of
for 37 per cent of
continue to enjoy premium products and the at-home
a multitude of innovative point of sale options to
total sales across
occasion,” he said.
support members, and constant improvements to
the group, with
the company’s online platform.
premium RTDs
Customers are rewarding themselves to something
alone showing
better in quality and enjoying it at home. We have
Carmody is aware however, that the same tactics that work in bricks and mortar locations might not translate to the digital space. “It’s a different shopper. The customer has the
45 per cent growth compared to 2020.
“Buying better is the number one trend for us.
seen this across all categories and don’t think that it will stop anytime soon.” Nevertheless, despite Liquor Legends’ triumphs
power – they can browse and compare us to other
this year, Carmody recognises the challenges faced
retailers. We need to deliver the best possible
by the drinks business.
experience to keep them engaged,” he said. “Reward them, and get our messaging spot on to let them know why Liquor Legends should be their preferred retailer.” According to Carmody, marketing and customer base are two more areas where Liquor Legends will look to improve in 2022, with an ambition of: “More targeted campaigns around key dates, and more opportunities for our venues to recruit new membership.”
82 | National Liquor News
“Our online sales are up 1000 per cent on last year, with a positive trajectory in sales maintained week to week.” John Carmody Managing Director Liquor Legends
“It’s been a difficult year for the industry, with uncertainty surrounding lockdowns and stock shortages,” he said. Carmody believes it is these uncertainties that have necessitated the rise of e-commerce in the industry. “We are seeing the digital lightbulb turn on for all parties involved in the industry,” he added. “Previously this space was almost exclusively dominated by national chains and a few direct to customer players, however the independents are catching up!”
■
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Liquor Marketing Group
LMG hones in on e-commerce excellence Gavin Saunders, CEO of Liquor Marketing Group, details how the company has recorded back-to-back record years.
Gavin Saunders CEO Liquor Marketing Group
Reflecting on the last few years of business for Liquor Marketing Group (LMG), CEO Gavin Saunders could not be happier.
RETAIL
“LMG enjoyed a record 2021. Both like-for-like members’ businesses and total membership is set to close the calendar year with eight per cent growth,” he said. “This is an extraordinary result given the performance we are cycling in 2020, with 2021 up an incredible 30 per cent versus 2019.” And the pattern goes even further, as Saunders explains to National Liquor News; LMG has actually notched up 18 consecutive quarters of growth, the equivalent of four and half years. Nevertheless, Saunders is determined that LMG maintains its focus and brings this momentum into 2022. A key area for the business will be the development of its online presence. “In 2022, we will have a particularly strong emphasis on digital marketing and e-commerce,” Saunders said. “LMG e-commerce and support
Key growth drivers in 2021 and beyond • Retail Refresh Program: LMG is rolling out 75 refreshed stores in the 2022 financial year, with further roll-out plans in 2023 • E-commerce: LMG’s platform has doubled 2020’s extraordinary sales by volume result in 2021. • Digital and social marketing: targeted marketing and social reach is driving awareness and conversion of marketing campaigns. • Member support: LMG Business Development Managers and field teams have partnered with members to identify opportunities within their businesses and catchments to grow member profitability.
digital marketing activity have resulted in fantastic growth over the past two
all the benefits of an in-store shop (including
stores, both in transaction count and value
years, with adoption levels rising during
range and pricing) with the convenience of
per transaction,” Saunders said.
COVID restrictions.”
one hour delivery.”
Looking to the year ahead, increased
According to Saunders, e-commerce
Yet, it’s not all about the online space
transaction value and premiumisation is a
offers a wonderful opportunity for retailers,
for LMG, with the organisation continuing
trend Saunders has noted as growing over
with average basket size more than double
to go above and beyond to support
the last few years, and one he tips to continue.
those found in-store.
its traditional brick and mortar
“Premium spirits priced $58+ is growing
Describing the specific benefits,
membership. For example, 2021 saw
at +22 per cent, premium wine over $30 is
Saunders said: “LMG’s platform is unique
LMG’s retail refresh program rolled out
up 24 per cent, and craft beer has increased
from others as it connects to each store’s
to 25 locations.
by 13 per cent,” Saunders said.
POS to allow ‘Your Store, Your Pricing and
“The impact of the program is evident
Your Range’. Therefore, the consumer enjoys
in the trading results of the completed
84 | National Liquor News
“Premiumisation is still a clear growth driver across the total alcohol category.”
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Australia embraces a Lyre’s lifestyle Lyre’s is experiencing huge success as more consumers than ever seek out non-alcoholic drinks alternatives.
Non-alcoholic drinks producer, Lyre’s Spirit Co, has been riding the burgeoning no and low alcohol wave in Australia since the business began in Sydney in 2019. With big dreams from the start, Lyre’s has exploded on an international scale to become one of the quickest growing drinks brands to ever come from Australia, now available in more than 50 countries and experiencing four digit growth.
Paul Gloster Chief Marketing Officer Lyre’s Spirit Co
“Our biggest success has been the way the Australian market, both trade and consumers, has embraced Lyre’s and the whole concept of non-alcoholic spirits.” Paul Gloster Chief Marketing Officer Lyre’s Spirit Co
But for Chief Marketing Officer, Paul Gloster, it’s the incredible results on home soil that have been a huge highlight for the brand in the past year. “Our biggest success has been the way the Australian market, both trade and consumers, has embraced Lyre’s and the whole concept of non-alcoholic spirits. We really feel like it’s broken through from being a trend on the horizon to being something people are actually really embracing,” Gloster told National Liquor News. “We’re seeing reports globally that Australia is starting to lead the world in adoption of non-alcoholic [drinks alternatives].” Lyre’s has played a key role in helping Australian consumers see the non-alcoholic drinks market as a really credible part of the industry, and that is illustrated in its great results and developments in 2021. This includes the recent launch of Classico, the brand’s first full size non-alcoholic sparkling wine, which Gloster described as an “amazing success” just weeks after launch. This was then joined by two non-alcoholic agave spirits, as well as a London Pink Spirit, which will have 10 per cent of all Australian sales donated to the McGrath Foundation. Another bright spot of the Lyre’s portfolio alongside the new releases has been the RTD range, allowing consumers to partake in non-alcoholic drinks in an easy and convenient format. For 2022, Gloster said the focus will be about building on these successes and “continuing to accelerate growth from momentum we’ve picked up… It’s really about putting our foot down next year in 2022, as much as we possibly can. “We’ve always got a couple of things in the pipeline, rounding out the rest of the portfolio. So there will be even more ways you can make it a Lyre’s.”
■
A message to retailers As the biggest local non-alcoholic spirits producer, Gloster said Lyre’s has an important message for retailers about the sector now is the time to get on board with the no and low alcohol trend. “Definitely get behind the trend and support it. It’s happened it’s not just coming soon, it’s here,” Gloster said. “There’s always consumers that are looking for a high quality non-alcoholic substitute, and having that ranged in your store is really important going forward. This trend is definitely not going away.”
February 2022 | 85
SUPPLIER
Lyre’s Spirit Co
MEXINK
SUPPLIER
MEXINK: disrupting Australia’s ready to drink market
Kieron Prenter Founder and Head of Mixology MEXINK
Kieron Prenter, Founder of canned margarita company MEXINK, explains how the brand transitioned from an in-house offering to RTD success story. The old adage ‘necessity is the mother of creation’ applies well to MEXINK’s origin, with the company created as a result of the pandemic, according to Founder and Head of Mixology Kieron Prenter. “During COVID lockdowns, there was a huge demand coming from patrons at my Narrabeen restaurant, Mexicano, for margaritas to-go, so that was the inspiration to start canning them,” he said. “Word spread like wildfire and demand for my RTD margaritas absolutely skyrocketed. We had queues lining up and down the street for them. I started exploring the market and looking into larger scale production, and it became obvious there was a gap in the market for a premium, bartender-quality product.”
Expansion plans for 2022
Since its recent launch in September 2021, it
MEXINK will be continuing to roll-out its original
has been a story of rapid expansion for the brand.
range in the year ahead, both in retail and on tap
MEXINK is stocked in more than 40 locations,
at venues. The core range currently consists of:
including independent retail and on tap at iconic
• Mexi-Shaken Classic Margarita
venues like Neutral Bay’s The Oaks Hotel. Australia is one of the world’s largest RTD markets, with canned cocktails enjoying rocketing popularity as consumers look to enjoy cocktails at their convenience on beaches and in backyards across the country. This is particularly true of tequila-based ready-made cocktails, with Prenter likening their boom to ongoing gin renaissance. He believes the success of his brand is part of a larger trend towards premiumisation, noting: “Whether drinking on their couch, at a picnic, or at a venue, Australians are really after quality. “They’re not drinking for the sake of it, but really
“MEXINK has struck the perfect trio of market demand, premium appeal, and just a genuinely great tasting product.” Kieron Prenter Founder and Head of Mixology MEXINK
• Coco-ho Coconut Margarita • Jalapeño Spicy Margarita • Passion Passionfruit Margarita Prenter says MEXINK is also currently in testing for new flavours, expected to hit the market later in 2022.
believes sets his brand apart, in an increasingly contested canned margarita space. “Our differentiation is premiumisation – which consumers really value. We’re already seeing a rapid gain of market share over more established competitors,” he said. “It simply comes down to getting liquid on lips. Once
want to enjoy authentic flavours. And so we’re finding
people try it, they taste the difference compared to all
that they’re searching for premium ready-made
other canned margaritas on the market.
products that equal what they would get from a topnotch cocktail bar.” For Prenter, it is this premium quality that he 86 | National Liquor News
“MEXINK has struck the perfect trio of market demand, premium appeal, and just a genuinely great tasting product.”
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Calabria Family Wine Group believes in selecting and working with high-quality brands that share their core family values of working hard, being innovative and staying true to your vision. “Our expansion from a single producer-owned and operated wine company to a wine group housing some of Australia’s best-loved wine brands, and a selection of diverse international wine distribution partnerships, is an exicting time in our 75 year history.” Bill Calabria. Discover more at calabriafamilywinegroup.com
Never Never Distilling Co.
SUPPLIER
Exciting times ahead for Never Never Never Never Distilling Co. counts itself lucky to have navigated the challenges of last year well, and predicts an exceptional year ahead.
“Rollercoaster might have been a word
vintages, and we have a couple more very
we used in 2020, but 2021 was a whole
exciting Dark Series collaborations we’ve
new level,” explains George Georgiadis,
started working on.”
Managing Director of Never Never Distilling Co.
Another element that Never Never has on its radar is the relentless popularity of
“Overall though, we were super lucky.
the RTD category, and without giving too
South Australia had a good run of things,
much away, Georgiadis said: “We’re keen
and our large outdoor venue managed the
to see if we can pack a bunch of flavour in
restrictions well.”
a premixed format and make it super tasty
Despite challenges, there were many
without compromising.”
George Georgiadis Co-founder and Managing Director Never Never Distilling Co.
Planning a sustainable future Alongside its distribution partner Proof & Company, Never Never is part of the ecoSPIRITS movement. Described as ‘an innovative closed-loop distribution system,’ ecoSPIRITS dramatically reduces packaging and transport cost, with a near total elimination of packaging
other bright points for the company
Also on the cards for 2022 is excitement
throughout the year too, as Georgiadis is
about a more open future, with Georgiadis
vessels to considerably reduce
keen to emphasise.
admitting it has been a challenge to not
the number of bottles produced,
be able to travel and promote the Never
claiming to save 550 grams of
Never brand.
emissions per bottle saved.
“The main highlight was managing to grow and develop our young team, including bringing on our first employee
He said: “We can’t wait to jump on a plane
outside of Adelaide, Shay Chamberlain, as
again and visit all the beautiful bars around
our Melbourne-based Brand Ambassador,”
the country for a martini. We might even
he said.
have to make it a national martini tour.”
It wasn’t just the team that expanded, with Never Never adding to its range through collaborations with venues - producing an Argo Gin for Argo Bar at the Four Seasons in Hong Kong, and an Oyster Shell Gin for the Society Restaurant in Melbourne. Recognition for the brand was also forthcoming at industry awards. Never Never defended its title as Australia’s Best Distillery at the 2021 Australian Distilled Spirit awards, and also made Drinks International’s Top 10 Global Gin Brands for the third time. As for ambitions for 2022, Georgiadis is keeping it simple. He said: “We’re going to keep on doing what we do best – making great gin and spreading the word. “Right now we’re working hard on our seasonal Juniper Freak and Ginache 88 | National Liquor News
■
waste. It uses larger reusable glass
Georgiadis also suggests that a new production space, recently leased by Never Never, will allow them to invest in more sustainable water usage, energy consumption and waste recovery.
Nip Of Courage
Nip of Courage tirelessly supports Aussie spirits
Kathleen Davies Founder Nip Of Courage
After officially launching NOC Wholesale in 2021, Nip Of Courage is continuing its core purpose of educating trade and consumers about the benefits of Australian spirits. Last year was a very important one for Australian
local distillers. But as a small business in the
Key spirit trends that will define 2022
pandemic, this wasn’t without its challenges, as
Davies predicted the spirits
Founder Kathleen Davies said.
industry in Australia will be
spirits hub Nip Of Courage, as it continued to transform the business and passionately support
2021 was a frustrating year - a bit like trying to drive
things this year, including:
a car forward with the handbrake on,” Davies said.
• Global and local supply chain issues will continue
“The greatest challenge was maintaining a
throughout 2022.
safe and healthy environment to operate in for
• Premiumisation in
our team, industry partners and our valued
the spirits sector will
customers. We achieved this through constantly
continue to trend.
assessing risk and strategic planning.”
•C onsumers will experiment
Nip Of Courage was still able to welcome some
with making quality
great wins through the year. After all, it was in
cocktails at home.
2021 that the company launched its wholesale
• Consumers and trade will
distribution arm, NOC Wholesale, while also building out a huge consumer-facing online
But despite this early success, Davies realises
store. Along the way it launched a portfolio mini-
there is still a lot of work ahead in the next 12
magazine entitled 1992; received international
months for Nip Of Courage as it continues to
recognition for its ethical contribution to the
“tirelessly educate trade and consumers about
spirits industry; and also supported a growing
the benefits of supporting Australian craft spirits.”
team that works hard behind the scenes to make
“Quite simply we haven’t scratched the surface
all of this happen.
as far as reaching out to all of our potential
Davies said: “One of the main highlights was
wholesale customers. As states and territories
being able to develop, activate and build a strong
begin to open up we will be running trade
team around our new wholesaler service. We
awareness campaigns to highlight Aussie craft
launched NOC Wholesale in late July 2021 and
spirits to grow our customer base,” she added.
the response has been overwhelming.
“The challenge is that in terms of market share
“We have signed up almost 200 Australian
for locally produced spirits, Australia is way
craft distilleries and our portfolio now exceeds
behind markets like the US and UK. We need to
700 SKUs in our warehouses. Giving the smaller
grow market share for Australian craft spirits to
lesser known distilleries the opportunity to be
create more job opportunities and stimulate the
discovered and accessed easily through our
local economy after what has been a horrendous
service has been a real thrill for our team.”
two years for small spirit producers.”
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seek sustainably made local craft spirits. • Australian rum will receive more attention as local producers launch decent volumes of premium rum into the Australian marketplace in 2022. • Australian whisky market share is tipped to rise with decent volumes of whisky coming of age from larger craft distilleries. • Australian gin will continue to boom with quality brands leading the way.
February 2022 | 89
WHOLESALE
influenced by a number of
“Like most small businesses in our industry,
Pernod Ricard Winemakers
SUPPLIER
Innovation key for Pernod Ricard Winemakers Pernod Ricard Winemakers will continue to surprise and delight consumers in 2022, as well as bring new people into the wine and spirits category.
Bryan Fry CEO Pernod Ricard Winemakers
Despite the ongoing challenges presented by the pandemic, Pernod Ricard Winemakers continued to innovate at pace throughout 2021. Navigating through further lockdowns and persistent supply challenges, the team was able to launch several new wines, spirits and RTDs into the Australian market, including the Jacob’s Creek FOMO range, St Hugo DR3, the relaunch of the Orlando brand, and Malfy & Tonic. CEO Bryan Fry told National Liquor News, the immediate focus in 2022 will be on four key areas: supporting staff and customers during these continued challenging times re COVID; continued premiumisation of the portfolio, managing ongoing stock constraints, and landing the company’s innovation pipeline. “On the challenges around supply chain, we know disruptions to the global supply network and the resulting pressure on our stock availability will remain a challenge for the foreseeable future. Our teams will continue to mitigate risk and work closely with our domestic customers to ensure stock is appropriately managed,” he said. Pernod Ricard Winemakers, for many years, has had the vision
“The latest innovation out of the Jacob’s Creek brand, FOMO –
to be “creators of conviviality”, and this will continue to be a priority
Fresh Outta Moscato & Moscato Rosé, addresses all three of these
in 2022.
trends, while also trying to recruit new consumers into the wine
“As creators of conviviality, we want to continue to be creative
category,” Fry said.
and adaptable to surprise and delight those who drink our products,
Looking further ahead, the construction of a new glass and
as well as bring new people into the wine and spirits category. We
canning line in the Barossa Valley is set for completion this year,
will do this by bringing new innovations to the market in terms of
which will open many new opportunities for Pernod Ricard
products and experiences that tap into key category trends,” Fry said.
Winemakers.
For example, he pointed to the momentum of rosé in Australia,
“The new line will enable us to be a centre of excellence in the
which has grown at +15 per cent* and continued to be one of the
Pacific and have the ability to satisfy the ever-changing tastes of
strongest growing varietals over the past year. Consumers have also
Australian consumers,” Fry said.
been looking for alternative packaging formats that would better fit into their lifestyle. “We were able to capitalise on these trends post-lockdown, when consumers were looking for a crisp summer wine in a smaller format
“We are also hopeful that the forthcoming early harvest trade agreement between Australia and India will open up more opportunities for Australian wine exports – we see huge potential for the Australian wine category in India.
suited to picnics, with the launch of Rosie, a French style rosé with
“As an industry, we should be discussing opportunities to trade
a dash of sparkling water and Shiraz available in 330ml bottles,”
in new markets. This is particularly important as we look to offset
Fry said.
the loss of the Chinese market. Having improved market access to a
Pernod Ricard Winemakers expects that rosé will continue to perform
country like India, where there is huge potential for Australian wine
■
strongly in 2022, that there will also be further growth in low-calorie
to thrive, will require industry collaboration.”
options, and strong brands of wine over $15 will continue to grow.
*Source: IWSR Report 2021 (AU), CAGR 2019-2020. Vol 9Lc
90 | National Liquor News
Red Bottle Group
Red Bottle ready to ‘retail better’ The independent family-owned retail group has turned a challenging year into an opportunity for improvement.
Josh Towers General Manager Red Bottle Group
With the COVID-19 pandemic significantly reducing the usual customer pool of Sydney CBD based retail group Red Bottle, 2021 was
RETAIL
another challenging year. For General Manager, Josh Towers, this gave the group a unique opportunity to improve the business and turn a tough situation into one of growth. “Our successes were driven by how we managed this challenging environment and how our agility as a hands-on family business meant we could use the lockdown periods to work on, as well as in, many aspects of the total business,” Towers said. The 2021 achievements of Red Bottle were all about reinvigoration and expansion, when
it! So, we will be focusing on ensuring that we
many businesses sought to cut back. Last year,
meet our targets around supporting our stores
like in 2020, staff numbers weren’t reduced in
to ‘retail better’,” Towers said.
lockdowns and the group actually opened two
“Our customers continue to expect more –
new outlets while successfully integrating the
a better retail shopping experience and more
newly acquired Australian Wine Centre into
relevant choices in-store and online will be part
the business, and also completing a major
of the evolving landscape.
refurbishment to the Central Park store.
“We see that each of our stores sit in separate
People power A key focus of the business that is set to continue is its commitment to the people that make it all happen. “Without the right team, these past couple of years would have been very scarring. I am so
Within the business structure itself, Red
little ‘villages’, and as such it is important to cater
Bottle realigned and refocused strategic
to the different demographics accordingly…
management roles, examined and updated
Better use of category data and insights, as
each and every day, and I
technology, systems and procedures, and
well as better trained and informed managers
am eternally grateful to be
also leveraged its online presence to service
will allow us to keep driving individual store
surrounded by such a caring,
delivery orders quickly using its unique
performance.
passionate, and experienced
CBD locations.
“As an independently owned family
These are all areas that are now set up for
business, we don’t have the handcuffed
further momentum in 2022. With a focus
constraints of a large chain retailer so can
on specialised online and immediate home
better adjust our stores to take advantage of
delivery options, a reinvigorated corporate
emerging trends and categories. Because we
structure and a new warehouse and distribution
prioritise the importance to being able to adjust
centre, it will be all systems go for Red Bottle
quickly to new trends, we have appointed a
as Sydney comes back to life.
manager specifically to manage these emerging
“Of course, you can’t buy it if you can’t sell
categories.”
■
proud to be able to contribute towards instilling family values
team,” Towers said. “By investing in our people, reinvesting in our stores, and supporting supplier partners that share our core values and vision, I hope that Red Bottle can continue to champion the cause of good independent liquor retailing.”
February 2022 | 91
Thirsty Camel Victoria
Thirsty Camel VIC outperforms again Adrian Moelands
The Victorian retail group expects big things for 2022 after another strong year of growth in 2021.
General Manager Thirsty Camel Victoria
2021 was another massive year for Thirsty Camel VIC, showing the impact of transforming several components of the
RETAIL
business in recent years. General Manager, Adrian Moelands, said a strong and resilient membership has been built thanks to the group’s collaboration with partners and members to find the right range and the right price point for shoppers. Speaking of how this led to success in 2021, Moelands said: “Thirsty Camel members have been the heart of the community for a long period of time so consumers shopping local and supporting
“Expanding our range into key growth
local businesses made the partnership even
categories such as contemporary beer,
stronger with our communities.
high ABV, light spirits and RTD including
“Thirsty Camel’s large footprint of
gin and tequila, along with the emergence
drive thru made it easy for consumers to
of seltzers over the last 12 months,
shop safely and conveniently during the
has significantly contributed to our
pandemic - being able to offer contactless
growth within the Victorian business,”
shopping was an advantage.”
Moelands explained.
Performance-wise, this meant great
“The evolution of our Top Drops and
things for Thirsty Camel VIC last year,
Crafty Camel programs also tapped into
leading to positive predictions for 2022.
consumers’ desire to premiumise.”
The importance of loyalty Thirsty Camel VIC’s loyalty program, Hump Club, continues to be a main focus after being refreshed in 2021. “We are well aware how important loyalty is for our venues and that our Hump Club members spend more than the average alcohol consumer so we will continue to drive growth and innovation to
“Our 2021 numbers are outperforming
These programs will continue to be
unprecedented growth in 2020, underlined
explored this year to find the best categories
by success across all categories. We expect
of growth to drive value and profitability to
“We doubled the dollar value
this trend will extend into 2022 as shoppers
Thirsty Camel VIC members and partners.
through our loyalty program since
continue to balance occasions at home
Moelands said this exploration will
the same time last year as well as
with the return to on-premise venues,”
happen alongside “the launch of our new
unique customers doubling versus
Moelands said.
innovative model that will allow more
last year.”
The fundamental growth drivers that have set Thirsty Camel VIC up for such
retail stores to become part of the Thirsty Camel family.”
strong momentum revolve around a
More details about this will come later
revolutionised range that capitalises on
in the year, but Moelands also encouraged
key consumer trends, such as health and
retailers to get in touch to hear more in the
wellbeing and premiumisation.
meantime.
92 | National Liquor News
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further increase that value back to stores,” Moelands said.
This will be built upon further this year by using data to better provide targeted value to customers, and innovations to find the best loyalty solutions for Thirsty Camel VIC drive thrus.
www.sidw
inderlife.c
om.au
Treasury Premium Brands
SUPPLIER
Treasury Premium Brands invests in a strong future
Peter Neilson Managing Director Treasury Premium Brands
Peter Neilson, Managing Director of Treasury Premium Brands, now a stand-alone division of Treasury Wine Estates, reflects on 2021’s challenges, and looks to the year ahead. For Peter Neilson, the Managing Director
In response, TPB released Squealing
of Treasury Premium Brands (TPB), 2021
Pig’s first ever Pinot Noir Rosé in a 1.5 litre
presented opportunity as well as difficulties.
magnum with a screen-printed label.
“Through the challenges, we’ve actually
This move towards the premium market
found a lot of opportunity to grow our
remains a priority heading into 2022, as
business, particularly through innovation,
Neilson explained: “The focus will be on four
e-commerce and accelerating our reach
key strategic areas – the expansion of a more
into other markets,” Neilson told National
premium focused with the acceleration in
Liquor News.
key growth markets; expanding our global,
“There’s no denying the pandemic
multi-COO sourcing footprint, as well as
changed the way people purchased wine,
the implementation of a fit for purpose cost
however, we are choosing to look forward
and capital base.”
at the opportunities that are now presented to us.”
Targeting the NOLO market Neilson says that TPB has noticed an increase in healthconsciousness amongst consumers, and that this trend is expected to continue. “With 48 per cent of Australian consumers now actively moderating their alcohol intake, the ‘lighter in alcohol’ category, which is currently worth $147m
Like many companies in the drinks
in retail sales value with nine
business, TPB has responded to the increase
per cent value growth, will
In particular, Neilson was proud of
in at-home consumption by prioritising
undoubtedly be the trend that
TPB’s team as they adapted successfully to
e-commerce and digital platforms. While
continues to grow,” Neilson
new situations.
the pandemic has accelerated off-premise
explained.
“An organisation’s strength lies in
drinking and online alcohol shopping,
its people. Through the dedication and
these are long-term trends, and TPB has
resilience of our people, we were able to
invested in their growth accordingly for
prove how efficiently and effectively we
the year ahead.
could resolve, reinvent or rebuild our strategy,” he said.
Another focus for the future relates to sustainability. The wine industry is
Just as the team has adapted, so has
likely to be heavily impacted by climate
TPB’s working culture, with the company
change in coming years, and TPB takes
implementing a hybrid work environment,
its responsibilities as a major agricultural
and allowing employees to choose how,
player sincerely.
when and where they work. TPB has also taken steps to enhance the training opportunities available to staff.
“We’re taking a much bolder step towards sustainability leadership,” Neilson said. “We’ve committed to net zero (scope
Another one of TPB’s highlights of
one and two) by 2030. With electricity
the last year was the premiumisation of
accounting for around 70 per cent of
its portfolio.
carbon emissions (scope one and two),
Neilson said: “We noticed that consumers
we’ve made the commitment to switch 100
were looking to trade up for more premium
per cent of our global business to renewable
experiences.”
electricity by 2024.”
94 | National Liquor News
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TPB has already capitalised on this trend with the release of Wolf Blass’ ‘Zero’ portfolio, which consists of a sparkling Cuvée, a Shiraz and a Sauvignon Blanc.
Onwards and upwards for White Bay Beer Co The young Sydney-based brewery has learned a lot in 2021 which will help it continue strong momentum into 2022.
Luke Seager Sales Director White Bay Beer Co
In its first full calendar year of trading in 2021, White Bay Beer Co hit the ground running, with a number of highlights celebrated, a range of challenges overcome and ultimately a lot of learnings. Sales Director, Luke Seager, described some of these learning moments, and said: “We learnt how supportive our customers are. We learnt how resilient and innovative our White Bay team is and we learnt how caring the industry is for each other. We are extremely proud to be a part of it.” The pinnacle highlight for White Bay during this momentous time was the opening of its tap venue on the Balmain peninsula in Sydney. This has been complemented throughout the year with recognition for the brand’s products too. For example, Seager said there was: “The honour of having two of the top 10 best beers in GABS
“Our focus is to continue to be ourselves and
Sydney coming from White Bay and more and more
grow organically with our supporting partners. We’re
consumers experiencing White Bay beers through our
going to carry on making flavour packed brews across
on-premise and bottle shop partners. They’ve been
more styles. We’ll continue to focus on our core beers
huge supporters of ours with amazing feedback on
expansion into more on- and off-premise venues,
the quality of our beers and how much flavour our
whilst releasing some more ripping White Bay limited
brewing team are packing in.”
releases that people can experience across festivals and
Then there was the launch of White Bay Crusher,
supporting venues,” Seager explained.
the brewer’s third core beer in the market, which has
To meet these goals, there will be a lot of things
been met with fantastic feedback as it capitalises on
happening behind the scenes in 2022 at White Bay, as
one of the biggest enduring trends of today – the
it scales from its current position to reach new heights.
‘moderation beer’.
“Our focus is to continue to be ourselves and grow organically with our supporting partners.” Luke Seager Sales Director White Bay Beer Co
“Our brewers Dennis, Jess and the team have been
“[Crusher has] been referred to as a moderation
doing an amazing job keeping up with demand. We
beer that doesn’t drink like one due to the flavour
expect this to continue to increase, so ramping up
profile. Sitting in tank for 28 days, and packed with
our production capability, whilst not sacrificing on
nine grams of hops per litre, it’s an all occasion drink
the quality of our beers is imperative,” said Seager.
that is meeting the demands of people looking to
“As we grow, there is more to be done and
stay in control but not sacrifice on flavour. We expect
spread across the team. Like many young breweries,
Crusher to continue its fast momentum into 2022,”
balancing the needs and the wants with cash flow, that
Seager said.
best supports our customers, is a hire wire balancing
That momentum is something that White Bay
act. We want to continue our close relationships with
expects across the entire brand, driven from its main
our customers and be agile, so our compass will always
focus this year of staying authentic in everything it does.
point towards fostering that environment.”
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February 2022 | 95
SUPPLIER
White Bay Beer Co
William Grant & Sons
SUPPLIER
‘Triple win’ strategy key for William Grant & Sons Colin Rochester, Managing Director ANZ at William Grant & Sons discusses how the company has benefited from a consistently balanced strategy.
Colin Rochester Managing Director ANZ William Grant & Sons
For Colin Rochester, Managing Director ANZ of William Grant and Sons, the challenges of the pandemic have revealed the strength of the company’s team. “I took great pride in the genuine support our local team offered to each other to thrive and survive in the last year,” Rochester said. “It was a reflection of our great culture and an acknowledgement that we are a family-owned business, and that we operate through our belief in the values of the business.”
Premium brands strong in 2021
Rochester credits this strength for
initiatives and collaborations, driven by the
ensuring the company is entering this new
local brand ambassadors, have exceeded
Both Glenfiddich and The Balvenie
year with the wind in its sails.
expectations.”
were identified as star performers in
“Despite 2021 having been uncertain
2021 also brought changes to Australian
the William Grant & Sons portfolio in
at best, thanks to the agility of our local
drinking habits, with disruption to the
the last year, with Rochester lauding
team, and continued strength in customer
on-premise resulting in a rise in at-
relationships, we are carrying excellent
home consumption and new possibilities
momentum into 2022,” he said.
for retailers.
In particular, Rochester is looking forward
“What 2021 has brought into focus is the
to maintaining the William Grant & Sons
opportunities around the at-home occasion,
‘triple win’ strategy – one that delivers success
with consumers looking to prepare, serve
for the consumer, customer and business.
and enjoy premium whisky and cocktails
“What this means is a continued focus
at-home,” Rochester said.
the whiskies’ ability to attract more advocates and retain customers. Meanwhile, another Scotch brand, Monkey Shoulder, impressed by drawing in younger drinkers, despite on-premise disruptions. Rochester also highlighted Hendrick’s Gin as maintaining its strong position in an increasingly
on our growth strategy for the whisky
William Grant & Sons leapt on this
portfolio, led by Glenfiddich, delivering a
opportunity, releasing its new range of
premium and distinctive leadership position
Batch and Bottle premade cocktails in
for Hendrick’s Gin and driving market
November 2021, which makes the at-home
Nevertheless, 2022 will pose its own
innovation through Monkey Shoulder,”
cocktail uncomplicated, while using well-
challenges to William Grant & Sons, with
Rochester explained.
known brands.
changes to customer taste, and pandemic
With the on-premise shuttered for
Rochester believes these trends will
months at a time during 2021, traditional
continue into 2022, especially the movement
avenues to market have been closed to
towards more premium products.
competitive field.
portfolio, but our value of ‘be responsible.’”
conditions, coming thick and fast. Rochester hopes the company will be able to maintain its imaginative approach to
brands. This led William Grant & Sons
“Consumers are still looking to enjoy
marketing, and noted: “The challenges will
to devise imaginative and unorthodox
premium quality over quantity at-home and
be to always be ahead of the curve in terms
campaigns, working with designers
in the on-trade,” he said.
of consumer and customer trends, tastes and
and creatives. As Rochester explained: “These cultural 96 | National Liquor News
“The ongoing trend of ‘drink less, but better’ plays into not only our premium
preferences with our brands, and to promote them in the most creative, distinctive ways.”
■
Townsville
Brisbane
Sydney
AT YO U R SERVICE
Melbourne
Operating from three well equipped distribution centres, Each complemented with experienced support staff Be a part of Australia’s largest Liquor Cooperative, ser vicing the industr y since 1975.
For more information contact Pat Kenny (NSW, ACT & VIC)
0409 308 341
www.ilg.com.au
Craig Stephenson (QLD)
0434 575 589
Wine Depot
Exponential growth for Wine Depot Wine Depot has strengthened its position in the digital beverages marketplace, with more great growth predicted in the year ahead.
Dean Taylor CEO and Founder Wine Depot
RETAIL & WHOLESALE
Wine Depot has experienced exponential growth across its sales, order management, payments, and logistics management platform over the past 12 months. Over the last two years, the business has grown to the point where it is now one of the country’s largest specialist beverage logistics providers, operating warehouses in Brisbane, Sydney, Melbourne, Adelaide, Perth, and a national distribution centre in Albury-Wodonga. In 2021, the number of buyers using the platform increased by 880 per cent; the volume of cases shipped increased by 1,100 per cent and operating revenue grew by a staggering 1,250 per cent. The number of staff directly employed also grew significantly from around 30 to 170. The business also successfully launched three new sales channels – Market, Direct, and Insider – providing suppliers with new avenues to make brands and products available to trade and consumers. In early 2022, Wine Depot will be launching a social media platform for the broader liquor industry, called Community. It will allow members to keep abreast of news around brands, products, venues, and trends. Community will be a new home for Australian wine and drinks industry discussions. Members will also have access to Insider (a staff drinks program
Dean Taylor, Founder and CEO of Wine Depot, told National Liquor
for the industry), where they can purchase direct from producers
News that managing the immense growth has been a challenge, but a
at highly competitive prices.
new warehouse and delivery fleet has helped to streamline processes. “We acquired Parton Wine Distribution and launched a
The acquisition of Kaddy
new controlled site in Adelaide which collectively increased our warehouse footprint by almost 30,000sqm. [And] to avoid the
In late 2021, Wine Depot strengthened its position at the
ever-increasing congestion experienced across Australia’s logistics
forefront of the digital alcoholic beverages market with
network, we launched our own dedicated delivery fleet servicing the
the acquisition of Kaddy. The merger of the two businesses
major capitals,” he said.
forms Australia’s largest alcohol-focused cloud-based logistics and marketplace platform. Taylor says the core focus in 2022 will be integrating Kaddy into Wine Depot’s technology and logistics platform. “Our vision is to rapidly grow this business into a $1 billion gross merchandise sales wholesale liquor marketplace and, in the process, provide the rapidly growing number of users on both sides of the marketplace a simpler, easier, and more profitable way to operate their businesses,” he said.
98 | National Liquor News
This allowed Wine Depot to maintain an average of 99.5 per cent deliveries arriving in full and on time in metro areas. Taylor added: “Our expanded national footprint, which includes temperature controlled, cold chain and bonded storage, provides us with the ability to service suppliers of any scale. “Over the next 12 months, our focus will be to take advantage of this infrastructure and our cost-effective routes to market to start onboarding much larger brands looking for an end-to-end national omnichannel solution.”
■
Yalumba invests in a strong future
Managing Director of Yalumba, Nick Waterman, describes how the company has navigated 2021 challenges to create a solid foundation for the year ahead.
Nick Waterman Managing Director Yalumba
Like many businesses in the Australian liquor industry, Yalumba faced a myriad of challenges in 2021. But despite this, Managing Director, Nick Waterman, said there were still many positives to the year as the company focused on ways it could improve, to overcome any issues it faced. “Overall 2021 had its challenges but many highlights for our business, including landing some key NPD to address the strength of ‘good for me’, lower alcohol and easy drinking wine styles,” Waterman said. “We have worked hard in our distribution businesses (Samuel Smith & Son and Negociants Australia) to implement the feedback from the Advantage survey. In 2021, we improved our ranking of all liquor suppliers from 22 to 13 and believe we can improve further in 2022.” Other highlights of the year include continuing to upskill trade customers and employees as a certified WSET educator, launching a multi-brand mega e-commerce site, having a breakthrough year for icon wine, Yalumba The Caley, and establishing a new grapevine germplasm and field nursery. Another significant highlight of the past year has been joining the International Wineries for Climate Action (IWCA), continuing Yalumba’s lasting concentration on sustainability. Waterman said: “Sustainability is something we have been
“Sustainability is something we have been committed to for generations and it continues to be a significant focus.” Nick Waterman
committed to for generations and it continues to be a significant
Managing Director Yalumba
focus. We have a sustainability project team addressing five pillars, being: Resilient Terroir; Viable Planet; Thriving Workforce; Prosperous Community; Responsible Governance. Each of these
This includes investing in brands at a consumer level so they have
pillars have specific actions and targets to achieve and we will publish
strong shelf presence in the retail space, and can withstand price
our progress toward these.
discounting and a predicted proliferation of ‘buyers’ own brands’
“As well as our own goals, through IWCA we are committed to
at the expense of established family brands.
a science-based approach to becoming carbon zero by 2050 with
Waterman described other focuses of this strategy and said: “We
interim targets along the way. In addition, we are committed to the
have a strong innovation agenda that will be our focus in the new
Sustainable Winegrowing Australia program and are working to
year and we will launch some key NPD to market. We invested
support our growers to also become certified.”
significantly in capability around insights and category as well as customer marketing to drive brand activations that are relevant in
Investing in a strong future
the context of our trade customers’ businesses and the consumers
Yalumba predicts a range of challenges for the wine industry in the
whom they target.
year ahead, for example, those relating to shipping, logistics, and
“Furthermore, we continue to invest in digitalisation, which will
the fallout from China providing an oversupply of wine locally. To
provide our customers with the choice of how they engage with us,
tackle this, Waterman said Yalumba will focus on areas that will
but will also allow more targeted data-driven content and activations
drive the greatest success.
for our trade customers.”
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February 2022 | 99
SUPPLIER
Yalumba
Research & Associations
If we’ve learned anything lately, it’s that no two years are the same and planning for the future can be tough. We wanted to make that a bit easier, so we’ve gathered the top insights about what to expect from 2022 from shopper experts, industry associations and data analysts across the country.
100 | National Liquor News
Alcohol Beverages Australia
ABA champions positive change in its 2030 Vision
Promotion of responsible drinking, positive changes to the supply chain and responding to a changing jurisdictional environment are all high on the agenda for Alcohol Beverages Australia.
Andrew Wilsmore CEO Alcohol Beverages Australia
Alcohol Beverages Australia (ABA) CEO, Andrew Wilsmore, has heralded the organisation’s launch of its 2030 Vision a massive success amidst challenging conditions for trade bodies. “This major piece of work provided us with the unique opportunity to drive positive engagement from all facets of the supply and value chain, and will provide the pathway for our industry to reach its full potential,” Wilsmore said. ABA is fully aware of the great responsibilities invested in the organisation, both by the industry, and by responsible
Key aims for 2022
drinkers across Australia.
social and economic environment in which we operate,” Wilsmore explains. “We take an evidence-based, and wellresearched approach in representing the industry to ensure a balanced outcome
• Playing an active role in the World Health Organisation’s draft Global Alcohol Action Plan through positive collaboration with government. • Ensuring the Food Standards ANZ Review delivers on its Terms of Reference, and protecting Australia’s global reputation for producing safe food and drinks. • Representing the industry during the finalisation of the National Preventative Health Strategy, and the National Obesity Strategy.
– seeking to minimise harm, while not penalising the vast majority of Australians
rise in home consumption came at the
As an industry focussed on conviviality
who drink responsibly.”
expense of sales in our hospitality sector,
and bringing people together, losing that
Indeed, while a negative narrative
and that Australia’s culture of moderation
personal connection has been challenging.”
surrounding Australia’s relationship with
was maintained during lockdowns,”
And it is this conviviality that Wilsmore
alcohol does exist, Wilsmore is keen to point
Wilsmore said.
wants the trade to remember moving
to indicators that show a great social change,
The pandemic has placed a real strain not
into 2022.
with per capita alcohol consumption at a 50
only on the industry that ABA represents, but
“As we emerge from a COVID-restricted
year low, alongside a decline in ‘risky drinking’.
on the trade body’s own ability to organise.
environment, it will be important we
Like many in the industry, ABA has
It’s been one of the key challenges the
provide as much support in getting our
noticed changing consumer trends in the
organisation has had to overcome to continue
beleaguered hospitality industry back in
wake of the COVID-19 pandemic, especially
delivering positive outcomes for the industry.
full swing,” he said.
the growth of no and low alcohol products
As Wilsmore said: “It has hampered our
“We can only do this by example, so if
and at-home consumption.
ability to meet with important stakeholders
you are catching up with friends or family,
“We were a critical voice in ensuring
and be properly represented in the decision
make sure you consider doing so at a
key stakeholders understood that the
making processes for new regulations…
friendly venue near you!”
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February 2022 | 101
ASSOCIATION
“Our goal as champions of the industry and responsible drinkers is to improve the
Alcohol Beverages Advertising Code
Record complaints and pre-vetting requests for ABAC
Harry Jenkins AO Chair ABAC
Social media and the pandemic continue to influence a high number of complaints and pre-vetting requests to the ABAC Panel.
2021 was another unprecedented year for
“It is pleasing to see this upward trend
Australia’s liquor industry and for the Alcohol
continue despite the practical and financial
Beverages Advertising Code (ABAC).
impact of the COVID-19 pandemic on the
A new record was set for ABAC Panel
alcohol industry,” Jenkins said.
complaints and decisions, with 288
“The service benefits the community in
complaints received and 153 decisions
identifying alcohol marketing that doesn’t
made, of which 80 resulted in Code
meet ABAC’s standards. In 2021, 501
breaches. Harry Jenkins AO, Chair of the
marketing communications were rejected
ABAC Management Committee, said this
and therefore did not enter the market.”
A message to the industry Jenkins said the biggest current message that ABAC has for the industry is to: “Educate yourselves on what you can do to ensure that you are marketing alcohol responsibly.” To help with this, ABAC has developed a comprehensive online training course,
was a significant increase on last year, which
Another positive of 2021 for ABAC includes
saw 208 complaints and 113 panel decisions,
the commissioning of JWS Research to explore
of which 53 resulted in Code breaches.
current public perceptions of alcohol marketing
to ABAC or not. Jenkins strongly
freely available to everyone in alcohol marketing, whether they are a signatory
ASSOCIATION
“Not surprisingly the COVID-19
and how the ABAC Complaints Panel aligns
encouraged everyone in the sector to
pandemic and associated government
with the understanding of a ‘reasonable
undertake the course, including business
restrictions to control the spread of the
person.’ Ultimately the research found that
owners, marketers, designers, and media
virus has been prominent both in marketing
Code standards and Panel decisions are
agencies. It only takes an hour and is the
references and complaints,” Jenkins said.
aligning with the expectations of a majority of
most efficient way to get the most up to
“The majority of ABAC complaints and
the community.
breaches in 2021 related to social media posts.”
ABAC was further filled with optimism this
When it comes to social media, one
year when the Australian Distillers Association
simple yet vital thing Jenkins recommended
became a signatory, enabling ABAC to directly
is age restriction controls, and this will be
engage with an additional 350 spirits industry
a focus area for ABAC in 2022. Its also
members. This will help tackle an ongoing
important to make sure that social media
challenge for the organisation – to reach newer
influencer marketing applies the same
industry entrants.
marketing standards in Australia, with 450 industry participants taking this step and a huge amount of positive feedback so far. The ABAC website also has a wide range of other materials and resources available to help in education, as well as the pre-vetting service, all of which
standards as traditional advertising, and
“ABAC will continue to encourage
posts aren’t showing alcohol consumption
large and small alcohol marketers to join
with activities that may be unsafe during or
ABAC and meet ABAC responsible alcohol
after drinking, such as swimming, surfing,
marketing standards. The organisations that
cycling or hiking on clifftops.
have made that commitment comprise over
Although it was a record year of
93 per cent of alcohol producer/distributor
complaints, there was also a positive record
and over 59 per cent of alcohol retailer media
set this year, with the highest level of pre-
spend in Australia and are commended for
vetting requests received in 2021, up 38 per
their voluntary commitment to responsible
cent on last year.
marketing practices,” Jenkins said.
102 | National Liquor News
date knowledge on responsible alcohol
■
will continue to be a focus for 2022.
Activate Group
Highlighting essential retail services
A fresh and broadened identity means great things for Activate Group in the year ahead.
Keith Quigg CEO Activate Group
Last year was one full of change for Activate Group, launched as the new identity for the Association of Sales and Marketing Companies Australasia (ASMCA). CEO Keith Quigg said this move was ultimately a successful one, and has set the association up for great things in 2022 and the coming years. “The change included a broadened level of skills within our board which has translated into a much stronger position within the retail industry. While this has brought about a much higher workload, the vision for the years to come is very achievable,” Quigg told National Liquor News. results for Activate Group were around
and the ways in which sustainability can be
reorganisation of their business and the
shared,” Quigg said.
collaboration with outsourced companies to
communication within different industry
“Activate will also start the development
sectors, highlighting the essential services
of a series of training and recognition
provided by merchandiser teams in the
programs for support teams. These programs
“Shopping from home will start to level
retail world. The association also launched
will have a much greater focus on retail roles
out, with the big winners being the grocery
a podcast series, which Quigg said was
than the current industry programs. They
and liquor retail outlets. Online allows for
another highlight of the year.
will be specific to roles within the industry
a much wider range of products from a
and will provide assurance of quality to
single source, something the consumer will
employers and clients.”
quickly applaud.” Quigg also said it will be more important
for focus on mental health in the workplace,
What will influence the retail sector in 2022?
all of which have been very well received.”
Quigg said there will be a few key consumer
work together for the best results, something
He said podcast episodes covered such topics of: “Comparing retail supply chain issues in the USA and Australia, the plight of keeping adequate staffing levels and the need
keep them balanced across all omnichannel sectors,” he said.
As things continue to change quickly, than ever for all corners of the retail sector to
Cross-industry communication and
trends that will influence the retail sector
that Activate Group aims to help facilitate.
support has been tipped as a focus area for
in the year ahead, as people continue to
“Both retailers and supplier companies
Activate Group in 2022 too, as it aims to
adapt to the developing circumstances of
should be looking at the speed of change and
share knowledge and create more learning
the pandemic.
the support they should have to maximise
opportunities. One example of this will be
“The balancing of omnichannel
that change. They should be having long
with Activate Group’s first Industry Report,
marketing will continue to confound some
discussions with the leading outsourcing
bringing together contributions from a
retail businesses. As individual supply
companies. They will discover that the
wide range of businesses, including the
companies find new methods of selling
support is not just the brands’ on-shelf
liquor industry.
directly to consumers, their relationships
support but a much greater level of digital
“The focus will be on the development of
with the establishment will need to change.
information, data analysis, marketing advice
cooperation between the industry elements
For many this will require a significant
and cost-saving opportunities.”
■
February 2022 | 103
ASSOCIATION
Other efforts of 2021 that delivered great
Cider Australia
Acknowledging Australian cider, despite difficulties
Warwick Billings President Cider Australia
Now in his second year as Cider Australia President, Warwick Billings discusses supporting the industry through tough times, and the exciting future of Australian cider. 2021 saw a milestone for Cider Australia: the belated 10th edition of the Australian Cider Awards. Following a postponement in 2020, and another earlier in 2021, Cider Australia was finally able to open entries in November 2021, with final judging occurring in January 2022. Cider Australia President, Warwick Billings, said: “While we could not fly any international judges to Australia this year, we are really chuffed with the depth of judging expertise on our team, despite the judging being in the middle of the summer holidays.” Postponement has been a theme for Cider Australia in recent years, with its Australian Cider Conference also pushed
Recipient cideries are able to display the mark
back until April 2022, when it will be held
on their packaging and products.
ASSOCIATION
as a hybrid event in WA. Despite these setbacks, Billings is proud that the organisation has been able to expand
“We have had a great response to the Trust Mark from producers and consumers,” Billings commented.
Nevertheless, Billings and Cider Australia will be resolutely supporting the industry into 2022 and beyond – particularly when it comes to certain packaging legislation. “We will continue to advocate for sensible
the Cider Awards, adding new categories
“I’m really pleased to report that over 60
labelling laws and a consistent approach to
including no and low alcohol, and herbs/
per cent of the ciders entered into the 2021
container deposit schemes across Australia,”
spices. Cider Australia has also launched a
Australian Cider Awards have the Trust
Billings said.
new competition entirely: Australia’s Best
Mark on the label.”
Cider Selection of the Year.
“Complying with these obligations
While keen to acknowledge the successes
are a huge challenges for producers, and
“The concept generated a lot of interest,
of the Australian cider industry, Billings
disproportionately so for smaller producers.”
particularly for cideries which have really
does not shy away from the fact that it has
As for future trends, Billings sees cider
stepped up their offerings in recent years and
been a year of extraordinary difficulty for
playing a role with increasingly health-
want to tell everyone about it,” said Billings.
many producers.
conscious audience.
Gurneys Cidery in Gippsland was crowned
“The last two years have exhausted
He said: “Keep an eye on ‘the cider is
National Winner, while Willie Smith’s Apple
everyone. Restrictions have impacted
wine’ movement in the UK – there is a lot
Shed in the Huon Valley picked up the gong
everyone differently. Producers that have had
of interest in craft cider as a lower alcohol
for best cider and food experience.
the flexibility to alter their business model
alternative to wine.
2021 also marked the second year of Cider
have fared OK. Others have had to put large
“Many of our producers are exploring the
Australia’s Trust Mark, which is given to cider-
volumes of cider down the drain. Everyone
same ground, with an Australian twist, and
makers who use 100 per cent Australian fruit.
has worked harder for less return,” he said.
it’s an interesting and diverse space.”
104 | National Liquor News
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Contains <0.5% alc/vol
Wolf Blass Zero contains no more than 0.5% alcohol/volume due to alcohol removal process.
DrinkWise
Low alcohol trend shows potential for DrinkWise Simon Strahan
The growing popularity of no and low alcohol drinks, alongside a range of successful DrinkWise initiatives, is creating positive change.
CEO DrinkWise
2021 was another big year for DrinkWise, with a range of new initiatives rolled out to encourage responsible alcohol consumption habits across the country. According to CEO Simon Strahan, the success of the organisation was fostered by a range of partnerships and a collective industry effort to get behind the DrinkWise mission. “With a proud history of developing innovative and timely partnerships, 2021 was no exception,” said Strahan. “It is exciting that more market-leading producers
Opportunities of 2022 Strahan described some of the plans for the year ahead, including: • The continued rollout of the cellar
are seeing DrinkWise as a means to increase their
door initiative, in
commitment towards consumer wellbeing and for
conjunction with
them to actively help reduce alcohol-related harms.
Grape & Wine
The collective effort is reliant on more companies seeing that opportunity to contribute to a safer and healthier drinking culture in Australia. Together we can do more!” One new partnership that saw great results was
ASSOCIATION
the Always respect, always DrinkWise initiative, created with the NSW Police, the NRL and the Hastings, Kempsey Macleay and Nambucca Valley Liquor Accords. The initiative targeted both domestic violence and excessive alcohol consumption and was launched ahead of the 2021 NRL Finals Series, generating widespread coverage and reflecting the importance of a whole community approach to alcohol education. Another highlight of the last year was the continuation of the You Got This initiative, aimed at helping Year 12 students remain positive, stay resilient
Australia and regional winery associations. This will help consumers track their tastings at cellar doors and understand how many pours equate to a standard drink
This opportunity was harnessed in 2021 with a partnership with Endeavour Group, using store design
(COVID restrictions
to raise awareness for zero, low and mid-strength
pending).
alternatives. It will be also be explored in new ways in
• A review of parental attitude and behaviours towards alcohol, building on the well-known 2008 campaign, Kids Absorb Your
the year ahead - for example, amongst older Australians, building on a 2021 partnership with Bowls Australia. Strahan said: “A growing consumer preference for lower alcohol options, including zero alcohol alternatives, provides an opportunity for industry to produce products that can help drinkers reduce their alcohol consumption.
and reach out for support if needed, rather than turning
Drinking, that helped
“The very simple and proactive opportunities are just
to alcohol and drugs to try and cope with stress.
many parents reflect
as critical however. Ensuring product and brand websites
on their drinking
have links to the DrinkWise website so consumers can
more engagement with in 2021 was lower-strength
behaviour in front of
access information on standard drinks, health and
alcohol products. The organisation’s research showed
their kids.•
support services are ways to proactively contribute to
An area which DrinkWise was pleased to see
heightened interest in this sector, illustrating a
keeping consumers informed and enabling them to make
consumer shift to moderation mindsets.
responsible choices.”
106 | National Liquor News
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Euromonitor International
Beer vs. Spirits: an Australian industry snapshot
Euromonitor International data provides an overview of the current state of Australia’s beer and spirit market.
Beer • Total beer consumption rose by 26m litres in the review period, from 2,110.5m to 2,136.1m, an increase of about one per cent. • Beer is worth over $22bn to the Australian economy, though its value fell from $23.3bn in 2019. • No and low alcohol beer has shown
The continued pandemic and health
spirits industry is said to have “experienced
some of the most impressive growth,
measures of the past two years have resulted
an unimaginable level of innovation
racing from 507.5m litres in 2018, to
in plunging figures for the on-premise,
compared to other alcoholic drinks
580m litres in 2020. Non-alcoholic
with the off-premise gaining as a result.
categories,” with spirits enjoying the largest
beer is the most dynamic beer
Such growth is supported by the Australian
increase in volume growth, besides RTD.
rediscovery of drinking, not in bars or pubs, but in their own homes.
While the pandemic has undoubtedly damaged brand’s abilities to connect with
RESEARCH & INSIGHTS
Determining factors in the growth of at-
drinkers through traditional ‘activations’,
home drinking, as identified by Euromonitor,
Euromonitor noted that the most successful
include online engagements and activations
marketing efforts were those directly related
by brands, and also the rising popularity of
to the pandemic. One example the company
low and no alcohol products, stemming
included was Johnnie Walker’s Kitchen
from a greater health consciousness in
Sink Drinks campaign, which encouraged
light of the pandemic. With these trends in
consumers to build cocktails with ingredients
mind, Euromonitor analysed the beer and
likely to already be in their pantry.
spirits market in Australia, showing where
Other bright spots of the spirits industry
the strengths lie in these different sectors of
included the ever-popular gin category,
the industry.
which continued to grow. Local gins in
Beer enjoyed volume growth, and
particular performed well, reflecting the
Euromonitor identified that: “Over the
consistent power of the shop local trend
years, beer drinking has changed from being
amongst Australian consumers.
the main alcoholic drink consumed at social
Across these pages, Euromonitor
events to being seen as a treat and/or as a
International data provides a more detailed
channel of exploration.”
snapshot of the beer and spirits industry
Euromonitor meanwhile noted that the 108 | National Liquor News
in Australia.
category in Australia, with a volume sales increase of 63 per cent. • Lager alone is worth more than $13.6bn. The next most valuable beer category is no and low alcohol, which is worth over $4.5bn. No and low alcohol beer has held this number two spot for five years. • Dark beer declined in volume at 240.9m litres, having hit a five year peak at 247.6m in 2019. • Stout maintained volume sales of 11.4m litres, though remains by some distance, Australia’s least favoured beer category. • Lager remains by far Australia’s most popular style of beer, accounting for over half of total beer volume sold, and growing by more than seven million litres to a volume of 1,303.8m litres.
Euromonitor International
For more information, go to www.euromonitor.com
Beer in the on-premise vs. off-premise • The on-premise volume for beer collapsed during 2020, falling from 490.8m litres in 2019, to 408.8m litres. Off-premise sales soared – reaching 1,727.3m litres from 1,619.6m litres in 2019.
Cider • Cider volume was 102.6m litres – down from a high of 118m litres in 2017. • Cider was worth just over $1bn in 2020.
• T his pattern continued across all beer categories, especially dark beer and lager. • Stout, despite being Australia’s least preferred beer style, was the most resilient in the category. • The biggest off-premise gainer was dark beer, with an increase in volume of 12.6 per cent.
Spirits • Spirits total volume continued to rise, notching 72.8m litres, up from 70m litres in 2019. • Spirits are worth $7.7bn in total, of which whisky provides the largest share, worth $3.3bn. • Driving this development is
Spirits in the on-premise vs off-premise •O n-premise spirit volume shrank from 14.1m litres in 2019 to 12.1m in 2020. • T he off-premise benefited, however, leaping to 60.6m litres, a greater increase than the
previous four years’ gains combined. • L ight spirits (vodka and gin) were the best performing category in the on-premise, selling
4.9m litres. •W hiskies (of all kinds) were the best performing spirits category in the off-premise,
recording 27m litres of volume, an increase of nearly 2.0m litres on 2019.
continued growth in whisky, rum and gin. • Gin showed incredibly strong growth, increasing volume by over 1.4m litres compared to 2019, year-on-year growth since 2015. • Rum leapt by 800,000 litres to a total volume of 8.7m litres. • Whiskies (of all kinds) maintained their trajectory, rising from 29.9m litres in 2019, to 31m. • Vodka declined by over 500,000 litres, falling to just under 13m litres, while the tequila and liqueurs categories both saw small growth.
RTD • The RTD category is worth $3.7bn, more than every spirit sub-category. • RTD volume increased to just under 274m litres, up from 259m in 2019. February 2022 | 109
RESEARCH & INSIGHTS
continuing a trend of massive
Growth Scope
Understanding occasions is the key to successful shopper marketing Occasions can impact multiple areas of shopper behaviour and ultimately a retailer’s bottom line, writes Mel Anderson, Director: Research & Product at Growth Scope.
RESEARCH & INSIGHTS
Understanding occasions and how they
In most instances, much of the purchase
different occasion, which drives differential
influence the shopper, enables you to
decision tree is already defined by the
shopping missions, willingness to pay, and
create a better shopping environment
shopper before entering a store or going
buying behaviour. Targeting both your
because people shop differently, and spend
to an online shopping website. It’s what
merchandise and in-store activity around
differently for different occasions.
can be influenced at store level which
your knowledge of the target consumption
most retailers and category marketers
occasion will provide you with the greatest
Why are consumption occasions important?
are interested in addressing, and by
opportunity to align your offerings to both
understanding the occasion behind the
consumer and shopper needs and therefore
Shopping for anything is a means to an end –
shopper mission, savvy operators are able
leave less money on the table.
shoppers make their purchase decisions with
to unlock a significant advantage.
What are consumption occasions?
a consumption occasion in mind, this dictates
The products that are consumed on
the path to purchase, shopper missions and
one occasion vary to the products that are
A consumption occasion comprises all of
the subsequent purchase behaviour.
consumed by the same individual for a
the situational factors that coincide with
110 | National Liquor News
Growth Scope
the physical behaviour of consuming a product. The
Many marketers group all social occasions
occasion encompasses who the consumer is, who they
together and apply a one size fits all approach, but
are with, when they are consuming, the reasons for the
when we break them down into different types of
occasion itself, the types of activities they are doing
social occasions, we can see that there are some
whilst consuming and the mood that that occasion is
key fundamental differences in group dynamics,
seeking to achieve. Each of these facets individually
needs and behaviours which when addressed,
and collectively shape the category, sub-category,
can have a fundamental impact on your overall
product, format and brand choices that are made for
sales performance.
that occasion. sales, marketing and category players to interrogate
How do occasions influence shopping behaviour?
and analyse occasions and the resultant shopping
Many different aspects of a shopper’s behaviour
behaviour behind them. Growth Scope unlocks the
are influenced by the nature of the occasion
‘why’ behind the ‘what’ of consumer and shopper
being purchased for. Here we highlight just a few
behaviour for liquor.
of them using real data from the Growth Scope
Growth Scope provides a one-stop portal for liquor
For the purpose of this article, we will look at just one facet of the consumption occasion – the
insights platform collected between June 2020 and October 2021.
underlying occasion reason. The Growth Scope liquor insights platform measures over 40 different
Price premium
specific occasions, and we roll these up to a set of
People have a different willingness to pay for different
eight master occasions: social engagement; family
occasions, even for products within the same category
connections; work related event; with physical
and purchased from the same channel.
activity; with entertainment; with food; me time; and big celebrations.
For example, there is a much higher willingness to pay for beer purchased at big box when the occasion
Author: Mel Anderson
RESEARCH & INSIGHTS
Director: Research & Product Growth Scope and Five Growth
February 2022 | 111
Growth Scope
being purchased for is a big celebration or
to the actual occasion occurring, while
a social engagement compared to when it
family connection occasions use more
is for me time. Shoppers paid an average
pantry or cellar stock and therefore have
of 20 per cent above the average price paid
a higher propensity to be purchased up to
for all beer purchases from big box when
a week before or more than a week before
the occasion being purchased for was a
consumption.
big celebration, compared to one per cent below average for a family connection
The impact of price promotions
occasion or two per cent less for a me
Someone shopping for a social engagement
time occasion.
is more likely to have their purchase entirely influenced by an in-store price
Shopper missions
promotion than someone shopping for a
Comparing the social engagement to
family connection occasion. Meanwhile,
the family connections occasion again, Growth Scope highlights that the most common shopper mission for a social engagement is equally split between a
About Growth Scope At Growth Scope (growthscope. com.au), we democratise access to consumer and shopper insights
people shopping for family connection occasions are more likely to not purchase on promotion at all.
for small, medium and large
Summary
satisfy, while the primary shopper mission
industry suppliers, manufacturers
In summary, looking at shopper behaviour
for a family connection occasions is a
and retailers.
in isolation can only inform the last mile
regular small shop and a specific need to
regular small shop, followed then by a major stock up.
Purchase channels The choice of purchase channels is also quite different, particularly when considering that occasions can occur both on and off premise. Social engagements are most likely to be on premise, specifically at a pub, bar or club. When we consider just off-premise channels for social occasions, there is a
Growth Scope exists to assist
of the shopper journey to purchase, and
businesses to achieve their organic
by that stage the majority of the purchase
growth potential by affordably
decision has already been made.
arming them with market-ready insights in an easy to use and digest format, covering the who, what, when, where, why and how much of liquor consumption and shopping in Australia, both on- and off-premise. We also assist businesses in identifying their where to play and how to win choices by synthesising otherwise inaccessible and
The key to maximising your true growth potential is to understand the consumption occasions that drive the purchase behaviour and target shoppers with your marketing efforts based on their occasion needs, and understanding how these needs filter down to in store behaviour and decision making. Growth Scope enables its subscribers
roughly even split between standalone
complex data into easy to
to really drill down into specific
bottle shops, supermarket attached liquor
interpret frameworks.
consumption occasions by sub category or
stores and big box chains. Alternatively,
The challenge with most
brand, by retailer, by channel, by premise
RESEARCH & INSIGHTS
family connection occasions are primarily
traditional data and insights tools
and by state giving them the advantage in
shopped for at a big box retailer. When you
is that they consider either the
knowing how different people shop based
target the wrong occasion in the wrong retail
shopper or the consumer, but lack
on what they are shopping for. Having the
format, trade spend is being simply being
a clear line of sight between the
thrown away.
two. This is where Growth Scope is
Timing of the purchase relative to the consumption occasion
a true line of sight between liquor
Social engagements are more impulse
different and unique. We provide consumption occasions and associated shopping behaviour.
line of sight between consumer occasions and shopper mission and motivation makes the difference. Our clients can create laser sharp targeting of their category execution increasing the ROI of their trade spend, their merchandising
shopping occasions and have a higher
and their field execution. In short, they
likelihood of being shopped for closer
can grow faster, for less.
112 | National Liquor News
■
®
All Registered Trade Marks, used under licence by Mark Anthony Brands International Unlimited Company.
Independent Brewers Association
IBA celebrates the resilience of its members
Kylie Lethbridge
In the face of great challenges, the brewing industry has rallied to survive, says Independent Brewers Association CEO, Kylie Lethbridge.
CEO Independent Brewers Association
Reflecting on a year of immense difficulty, the overriding emotion is one of pride for Kylie Lethbridge, CEO of Independent
“I take my hat off to all those retailers who have supported us and continue to do so, especially the independents who have been with us for the long haul.”
Brewers Association (IBA). “We can proudly say that we demonstrated an extraordinary amount of resilience,” Lethbridge says. “Our greatest success has simply been surviving yet another year of lockdowns, restrictions and cancellations of events while at the same time growing our membership.” Lethbridge is keen to pay homage to the people behind IBA, saying: “We wouldn’t
Kylie Lethbridge
have been able to achieve half of what we
CEO Independent Brewers Association
have without our members, a small but dedicated team, the Board, project groups and our volunteers, who have given us the support we needed to make a difference.” There were some rare highlights in 2021,
ASSOCIATION
as IBA was able to run both Good Beer Week,
work with us in support of our members,”
and the Independent Beer Awards, even if
Lethbridge said.
events were required to be scaled down. Looking ahead, however, Lethbridge does not mince her words. “We are honestly worried for the future of the hospitality industry and for
She explains that in retailers, independent breweries found flexible
term plan for the organisation, setting out achievable and measured ambitions.
working partners, willing to take on extra
“We will also be embarking on our
stock or offer altered payment terms to
first major direct to consumer marketing
maintain and support the industry.
campaign,” Lethbridge says. “This aims to
our brewers who are challenged meet
“I take my hat off to all those retailers who
production schedules due to staff and
have supported us and continue to do so,
material shortages,” she said.
especially the independents who have been
“I think we will never truly know how
The IBA engaged the services of KPMG, leading to the creation of a long-
with us for the long haul,” Lethbridge said.
much our culture has changed as a result of
raise awareness of the Independent Seal and what it means.” Lethbridge said the future also includes a plan to support women in the industry, noting: “We’re in the process of developing
A long term independent vision
a series of materials and an overarching plan
Yet, indie brewers have found support
The IBA is not only planning for 2022,
to ensure diversity is top of mind for the IBA
and solace in the liquor retail industry, and
but is in the process of finalising a 10
and its members.
IBA is quick to praise the off-premise.
year roadmap that the organisation
“This rolls on from the successful
this challenging time in history.”
“Retailers have been a lifeline for
hopes will ensure the recovery and
introduction of our Code of Conduct in
independent breweries over the last two
sustainable growth of Australian
the second half of 2021.”
years and went above and beyond to
independent brewing sector.
114 | National Liquor News
■
WIN A TRIP
for two to the home of MEXINK
Order a complimentary sample pack for your store or venue to go into the draw to win: A luxury 2 night stay on Sydney's Northern Beaches Flights & transfers included Meal & margaritas at Mexicano Restaurant, the original home of MEXINK
w.mexink.com/pages/win SCAN QR OR VISITww WWW.MEXINK.COM/PAGES/WIN
Closes 31st March 2022. Eligability criteria and terms & conditions of competition apply.
Ipsos
Digital commerces set to overtake physical retail in two years Are you ready? Proliferating digital commerce channels and their takeup means the liquor industry can no longer live in a simple world of off-premise, on-premise and online, writes Norrelle Goldring.
Author: Norrelle Goldring Global Consultant, Omnichannel and Shopper Ipsos
In the last decade, retail channels and
Connected commerce is the new reality.
and product information, or buying online
consumer engagement touchpoints have both
Consumers want to be able to buy anytime,
from a curated collection in a physical store.
mushroomed. There’s now a veritable alphabet
anywhere, from anyone via any means, for
Or shopping a virtual store using AR. Or
of new commerce types – not just e-commerce
delivery wherever they like - home, locker,
ordering online and picking up curb-side.
or m-commerce, but v-commerce,
car, picnic spot, etc. This means that binary
Touchpoints are also converging, with
q-commerce, social commerce …the list goes
‘channel thinking’ in the sense of simply online
some previously mostly used for consumer
on. And uptake of these emerging and scaling
and/or versus offline has become redundant.
awareness and education now also becoming
commerce types is exploding.
RESEARCH & INSIGHTS
No longer just a generic ‘e-commerce’
shoppable purchase channels. ‘Buy now’
In a four week period, 73 per cent of
approach, organisations need a strategy for
buttons on social media, for instance, enable
global consumers had bought something
each of these emerging and scaling channels.
see-and-buy, one-click purchases, while a QR
via some form of digital commerce. Digital
Touchpoints are also proliferating, with
code on a product at an experiential display
commerces taken together are anticipated
many brands adding webchat, chat bots
can lead to D2C fulfilment by the brand. This
to overtake global physical store sales in
and AR/VR apps to their repertoires. But
means that in a number of cases there is now
2024. Past six month purchase incidence
as touchpoints and channels expand reach,
no actual pre-purchase ‘shopper journey’, with
using some of the newer commerces
some of them may reduce brands’ control.
the traditional plan, search and evaluate stages
is globally nearing half that of more
In social commerce, for instance, consumers
of shopper journeys severely curtailed.
traditional e-commerce types, with voice
may buy a product based on another’s
commerce (Siri/Google/Alexa) at 39 per
TikTok video.
So in this world of convergent commerce, brands and retailers need to understand
cent, social commerce (buy now buttons
At the same time, digital and physical
new shopper journeys, and develop
on social media) at 38 per cent, on-demand
environments are converging. Shoppers
seamless and personalised ecosystems
delivery quick commerce at 36 per cent, and
may be using digital technology such as QR
across touchpoints and channels to cater
livestream commerce at 32 per cent.
codes at shelf in a physical store for price
to channel-agnostic shoppers.
116 | National Liquor News
Ipsos
Emerging and scaling commerce types
via mail order lists, is increasingly being
livestream, reduce the brand experience to
explored by brand manufacturers, with
the transaction point. They place the onus
The proliferation of digital commerce types
half of FMCGs looking at D2C and 40 per
of the customer experience on post purchase
means that retailers’ competitive sets are
cent of short term digital commerce growth
journey stages such as tracking, delivery,
expanding, and their channels to market
expected to come from it.
and unboxing. Brands need to ensure that
are becoming less centrally controlled. For
Voice commerce using voice assistant
the consumer’s post-purchase experience
manufacturers, the increase in channels
technology such as Alexa, Google Home,
aligns to the brand. That is, not stopping
means new and more creative ways to get
Siri and Bixby is expected to double to 8.4
marketing thinking at the transaction stage,
to market, and the ability for challenger and
billion tech units by 2024, the majority of it
and thinking about how they can interrupt a
new brands to build awareness quickly.
by smartphone. Voice commerce expedites
one click or command replenishment cycle.
Converging channels and touchpoints
or even removes shopper search and evaluate
Shopper missions are becoming more
offer speed and convenience on the one
journey stages by curating limited options
personalised and traditional shopper
hand, and for some of them discovery on
to choose from, or by auto-replenishment
segmentations must be re-evaluated, focusing
the other. Some of the largest and fastest
of previous orders. This can make it difficult
on their dominant paths and touchpoint
growing emerging commerce channels
for brands trying to create switch, or new
use, and attitudes and values rather than
include social commerce, livestream
and challenger brands attempting to create
traditional demographics. And whilst it’s
commerce, D2C, voice commerce, and
awareness. In this game, who owns auto-
getting easier to quickly build awareness
q-commerce (on demand delivery).
replenishment, wins.
and conversion of a new product or brand
Social commerce via platforms such as
Q-commerce or on-demand delivery,
due to more touchpoints, their proliferation
WeChat, TikTok, Facebook and Instagram
with delivery in under an hour and often
means brands need to map the varying roles
takes multiple forms, creating impulse and
less than 30 minutes from order placement,
each touchpoint plays across the journey -
unplanned purchases, and creating new
is effectively e-commerce on steroids. In the
in discovery, information/ education, trial,
product discovery via the power of peers.
past 18 months, on-demand q-commerce
purchase, retention and advocacy.
With consumers able to buy immediately
delivery has moved beyond ‘late night
from something they see in a friend’s feed,
convenience’ Jimmy Brings-style deliveries of
Summary
word of mouth has been commercialised.
alcohol, tobacco and snacks into the grocery
We’re not in the binary ‘on-premise, bottle
Organisations thus need to determine how to
sector with players such as Europe’s Gorillas
shop and online’ world anymore. Simultaneous
better leverage micro-influencers. While liquor
delivering in 10 minutes and operating across
channel and touchpoint proliferation and
is not currently allowed on social platforms
multiple countries, with plans to launch in
convergence means organisations require a
in Australia for either sales or marketing
Australia soon. Woolworths partnered with
strong emphasis on determining where to
purposes, this may change as social media
Uber in 2021 for on-demand deliveries.
play and where not to, and a strategy for each of the types of digital commerce. ‘Traditional’
Leveraging morphing shopper journeys
e-commerce is now merely table stakes.
Livestream commerce, which is effectively
The proportion of physical store-only
number of the new digital commerces take
an interactive online version of TV shopping
journeys is decreasing, whilst both online-
hold in Australia. Are you ready?
channels, is another means of new product
only and combination online-offline journeys
Read more about Norrelle’s point of
discovery, with the ability to buy immediately
are increasing. And some shopper journeys
view on Convergent Commerce here:
during the course of the show and to interact
are shortening, while others are lengthening.
https://www.ipsos.com/en/navigating-
with both the host and other shoppers.
Truncated journeys, such as one-
increasingly-fragmented-world-emerging-
Livestream commerce is particularly popular
click see-and-buy on social commerce or
ability to target legal drinking age (LDA) users via their behaviours and content generation.
in Southeast Asia with up to 70 per cent of consumers in some countries having purchased via the channel. 23 per cent of US shoppers have also tried it in the past six months. Direct to consumer (D2C), long a part of small winery operations in Australia
2022 will be a year in which we see a
channels-and-shoppable-touchpoints
■
References: 1. Ipsos Essentials Wave 53, November 2021. Base n=11,515 across 16 countries 2. https://www.generixgroup.com/en/blog/2024-e-commerce-will-overtake-physical-retail 3. Ipsos Essentials, Wave 51 October 2021, base 11,510 across 16 countries including Australia 4. https://www.insiderintelligence.com/insights/social-commerce-brand-trends-marketing-strategies/ 5. https://www.shopify.com.au/enterprise/direct-to-consumer 6. https://techcrunch.com/2021/06/09/voice-ais-are-raising-competition-concerns-eu-finds/
February 2022 | 117
RESEARCH & INSIGHTS
algorithms improve the monitoring of and
IRI
Raise a glass to the roaring twenties Consumer habits and values have shifted in the pandemic, giving rise to a range of specific movements in the liquor industry, writes Georgie Theologedis, from IRI.
Author: Georgie Theologedis Lead Consultant – Liquor and Tobacco
A century ago, the ‘roaring twenties’ delivered a
sustainable sourcing of ingredients as the link between
dramatic decade of flourishing social, cultural and
green and health intensifies, with three-quarters of
political change. As we embark on the ‘roaring twenties
Australians willing to pay a price premium for brands
2.0’, pandemic-driven behaviours and accelerated
with sustainability practices. If you take heed, you will
digital adoption will reshape the way Australians live.
be duly rewarded. But sustainability messages must be
Underpinned by renewed values focused on localism,
transparent, clear and concise in the environmental
health, sustainability and community, our new at-home
sense and in how they meet individual needs.
RESEARCH & INSIGHTS
habits must find their way among the world of our own
We’re also placing greater expectation on holistic
choosing. Local is the heart of our hybrid lives as we
health encompassing diet, mental health, self-care and
clamour for indulgent convenience of ‘what works for
natural and organic options – and liquor is rapidly
me where I want to be’.
responding. Hero of Zero, Hello Vegan Wine and Round Theory all ruptured the market as niche vegan
118 | National Liquor News
It needs to be good for me and good for the planet
brands leading a category where 70-90 per cent of value
As we look to reclaim our health, non-alcoholic
beer positioned as a healthy alternative to soft drinks
alternatives will continue to boom with seven in 10
was also a winner (+47.1 per cent in grocery and +89.9
Australians drinking wine, spirits and RTDs and the
per cent in liquor) and ‘no-sugar’ alternatives for well-
category is expected to grow by +16 per cent to 2024.
established dark spirits over indexed in growth and will
We also expect brands to do more about ethical and
likely take off as NPD continues.
was generated in the latest MAT alone. Non-alcoholic
IRI
From QR to AR, liquor how and when you like it
endear the 93 per cent of Australians more likely to buy
New behaviours command a ‘make it convenient
to capitalise on our passion for provenance in-store.
Australian-made and offers a win for boutique producers
to me but make it special’ mandate as we seek the Shorty’s Liquor launched a virtual gifting service
As the Champagne flows, cater to convenient culinary escapism
where the sender can personalise a video message
Convenience is not just about pack-to-mouth speed.
and the recipient chooses when and where the gift
Increased savings in 2021 (almost double pre-
is delivered. US e-commerce platform Thirstie just
pandemic ratio levels) mean premiumisation cravings
released alcohol branded gift cards with major liquor
will continue. Champagne (+28.3 per cent) is an almost
brands. Their research reveals over eight in 10 high-
every day at-home indulgence while Australians are
income consumers seek a top-selling vodka brand
also shopping by heritage and reputation with the $20-
gift card (84.4 per cent) over leading retail gift cards
$50 wine category enjoying double digit growth and
Apple (76.9 per cent) and Starbucks (76.5 per cent).
premium spirits are also showing off such as Johnnie
Thirstie gift cards enable an omnichannel offering
Walker Blue Label (+45.5 per cent), Four Pillars (+60.8
with redemption through affiliate merchant sites.
per cent) and Grey Goose (+29.2 per cent).
best ‘wherever I choose to be’ catered by digital.
“We’re also placing greater expectation on holistic health encompassing diet, mental health, self-care and natural and organic options – and liquor is rapidly responding.”
In Canada, Romeo’s Gin V, co-created with a digital
Successful brands in the roaring twenties will invest in
artist, delivers a unique augmented reality experience
improving and augmenting omnichannel efforts because
via QR code taking the drinker into the universe of
shopping experience expectations are changing – we
the artist, which includes a Spotify playlist.
expect retailers to be present everywhere we are. We are
Google Cloud Retail Digital Pulse found one quarter
shopping online on the websites of retailers with physical
of retailers invested in digitalisation during the pandemic
shops and via social e-commerce, which is estimated to
to reduce costs and improve profitability with 17.5 per
increase 31.4 per cent by 2027. No matter the device,
cent wanting to improve customer experience to drive
channel, platform, locale and time of day, Australians
revenue and/or increase KPI scores. In the US, The
expect brands to be consistent and experiences seamless.
Giant Company is utilising ‘Social Shelf ’, an in-aisle
You need to know what your shopper is going to do before
and e-commerce advertising tool that uses QR codes on
they do and connect with Australians as individuals and
shelf tags to provide product details to help smaller, local
at scale in the moment in their hybrid digital physical
brands get more affordable visibility. This tech would
world where culinary escapism is du jour.
■
Georgie Theologedis
RESEARCH & INSIGHTS
Lead Consultant – Liquor and Tobacco
February 2022 | 119
Liquor Stores Association of Western Australia
LSA WA celebrates 70 years of industry service Lou Spagnolo
The Liquor Stores Association of WA has stood the test of time and isn’t slowing down, with another important year ahead.
2022 will be a very special year for the Liquor
President LSA WA
The new TV studio
Stores Association of Western Australia (LSA WA), as the organisation marks its 70th anniversary. President Lou Spagnolo said there are many stories to reflect on for such a momentous occasion, and what these stories illustrate is an organisation that refuses to rest on its laurels, tirelessly remaining an essential service for its members since 1952. LSA WA’s plans for the year ahead also highlight this, as it focuses on important industry projects like the rollout of Banned Drinkers Register (BDR) trials in different jurisdictions. Spagnolo said this harm minimisation
“We have stood the test of time and continue to lobby and deliver for our members and the industry.”
tool is “the best alternative to blanket liquor
Lou Spagnolo
restrictions in many parts of the north-west
President, LSA WA
of the state.”
ASSOCIATION
“We never said it’s the silver bullet,
corporate partners and members to speak
cases in the community, and ensuring
but it’s a game changer if the stakeholders
in new formats across the state, while also
each business stays safe and compliant to
embrace it and use it effectively. The key to
assisting the association to host member
changing regulation.
remember is that this register offers a range
webinars, meetings and training. It will also
“We have put a range of questions to
of therapeutic services to help people with
be available for hire by external parties, who
the government to give us a guide ahead
their problem. The best incentive for anyone
will create video content to air Australia-wide.
of the borders re-opening. That’s one of
on the BDR is to get off it and address their
As Spagnolo said: “This is a game changer
the main concerns from our members and
issue with the help of those government
and we have been quite deliberate in adapting
we’ve already had constructive and positive
services on offer,” he explained.
to the times and ensuring our members are
meetings about it with the new minister for
informed quickly and accurately.”
our industry, Tony Buti,” Spagnolo said.
Another opportunity that LSA WA will capitalise on this year is in the
This is all in line with the organisation’s
communication space. During the
Overcoming challenges
core goals of supporting members and the
pandemic, the association launched a hugely
LSA WA anticipates that there will be a few
WA liquor retail industry.
successful podcast series entitled Packaged,
key challenges faced by its members in 2022,
“After 70 years we are still relevant and
designed to engage members in new ways
which it is preparing to help them overcome.
more important than ever. We have stood
to keep them up to date with information
This includes supply issues, which is just
the test of time and continue to lobby and
that can help their business. In 2022, this
now starting to impact WA retailers after
deliver for our members and the industry. If
will be built on further with the launch of a
they were spared for much of the pandemic.
you’re in the independent liquor industry, it
Another challenge that the state’s retailers
is a good investment to be a member of the
TV studio in the LSA WA office. This new TV studio will enable LSA WA 120 | National Liquor News
have largely avoided has been COVID
LSA WA today,” Spagnolo said.
■
AVAILABLE AT ALL GOOD LIQUOR STORES FROM MARCH 16TH, 2022
New Zealand Wine
New Zealand wine enhances glowing reputation
Natalie Grace Founder Perfectly Rieslingable
The 2021 vintage may bring volume challenges, but its quality reveals more about the current state of New Zealand wine, according to Natalie Grace, Founder of Perfectly Rieslingable. New Zealand’s 2021 vintage was one that
prediction Grace has for 2022 builds on a
garnered international attention, with much
trend that has been growing in the New
of the narrative dominated by its smaller
Zealand wine sector for a decade.
Organic Wine Week,” she said. There will also be a move into greater sustainability, as Grace summarised:
volume and how this could potentially
“There has been a 300 per cent increase
“96 per cent of the country’s vineyards
impact export markets. But Natalie Grace,
in organic winegrowing in New Zealand
are sustainably accredited, which is an
expert consultant on the New Zealand wine
over the past 10 years with the country’s
accomplishment in itself. But what’s next?
sector and Founder of Perfectly Rieslingable,
organic vineyard areas heavily centralised
“We’ll be seeing more initiatives and
said the near-perfect quality of the vintage
in Marlborough followed by Central Otago
communication around how the industry
cannot be understated.
with a strong focus on producing Pinot Noir
is giving back more than its taking away in
“The incredible quality of vintage 2021
followed by Sauvignon Blanc. The organic
2022 and beyond. Greater understanding
has certainly been a highlight in another
wine market is set to grow at a CAGR of
of regenerative agriculture practices will
challenging year… we can’t lose sight of just how
10.7 per cent from 2020 to 2027, and we can
sit alongside organics and biodynamics
emphatically this vintage delivered in terms
expect New Zealand’s organic winegrowers
and wineries will spend more time
of quality and its ability to further enhance
to continue to feature prominently with
communicating ‘why’ this is an important
New Zealand’s reputation internationally for
the rising success of and participation in
part of their culture and values rather than
producing high quality wines,” Grace said.
initiatives such as the annual New Zealand
simply the ‘how’.”
It is true that the reduced 2021 yields will be a key challenge faced by New Zealand
■
Sauvignon Blanc still on top
winemakers this year. As Grace said: “Wineries are having to
The top varietal of wine from across the
make tough decisions on who they can
ditch that Aussie consumers continue to
supply and at what volumes in their key
enjoy is Sauvignon Blanc. Grace said the
markets given the 19 per cent shortfall on
wine accounts for 75 per cent of New
the 2021 crop.”
Zealand’s export volume to Australia.
While the challenge unfolds, Grace
“The general consensus as to why
RESEARCH & INSIGHTS
predicted a tightening of global allocations,
Sauvignon Blanc continues to do so well
with less meeting of price points and
is that in times of crisis or change, is that
shipping overseas in bulk, and Australian
people tend to return to the products and
buyers will likely experience supply and
brands they trust,” Grace said. “As the country comes out the other
demand tension. Border uncertainty and
side of COVID-19 challenges, there
restrictions will also mean effective and
will be a determined focus to ensure
regular communication between the trade
Sauvignon Blanc continues to open doors
in New Zealand and Australia will also
for New Zealand Pinot Noir, Chardonnay
become imperative during this period while the market is so competitive. On a more positive note, another 122 | National Liquor News
and other styles that are punching well Credit: New Zealand Winegrowers Inc, tePa
above their weight in terms of quality.”
FOR MORE INFORMATION, PLEASE CONTACT YOUR LOCAL CAMPARI REPRESENTATIVE.
NielsenIQ and CGA
Recalibration, reflection and resilience Throughout 2021 consumers have rethought their priorities and values, and this sets the scene for the trends of 2022, writes Marco Silva of NielsenIQ and Scott Elliott of CGA.
Health and wellness was already a secular trend
growing cohort of low/no alcohol spirit brands in the
in the FMCG industry when COVID-19 hit, and
US and United Kingdom, Aguardiente in Colombia
the pandemic accelerated and made it even more
and Cider in South Africa that evidences mindful
relevant. In contrast to the unpredictable nature of
drinking as one of the key emerging trends across
COVID-19, consumers are being very deliberate with
the globe. These innovations better meet health
their choices. 2021 has been a year of recalibration,
and wellness desires of certain consumers such as
reflection and resilience. What matters to consumers
lower ABV, lower sugar, lower calorie or sustainable
now are meaningful and purpose-driven living,
sourcing practices.
RESEARCH & INSIGHTS
health management, strengths and wellness, mental
For the on-premise channel, providing low/no
health and stability, happiness, social connection,
alcohol choices is increasingly important. For example,
environmental betterment, balance, and fulfillment.
in the US, one of the world’s most valuable on-premise
In this context, aspirations to reduce or break
markets, 26.2 per cent of visitors have already tried
alcohol consumption are rising, often stimulated by
low/no alcohol spirits in bars or restaurants with an
social media activities such as Dry January. While
additional 26.6 per cent of visitors being open to
non-alcoholic beer has been available for many years,
trial products of this type. While the main driver for
there are now more low/no alcoholic wines, spirits and
choosing low/no alcohol offerings for on-premise
beer options available than ever before.
visitors is ‘to be healthier’ (41 per cent of consumers),
According to the NielsenIQ/BASES Future for
34 per cent of US consumers say they chose to drink
Alcoholic Beverages study, Heineken 0.0 has been
this sub-category in order to ‘try something new’.
a well-known successful launch in many countries
Experimentation within non-alcoholic beverages is
and there are also other regional examples such as a
alive and well.
124 | National Liquor News
Author: Marco Silva Associate Director NielsenIQ
Author: Scott Elliott Managing Director Americas and Asia Pacific CGA
NielsenIQ and CGA
occasions that cross time zones (like online happy hours) where consumers might want
in the grocery channel have also been on
to moderate their alcohol consumption.
About NielsenIQ and CGA The liquor industry is truly unique with
the rise, growing 79 per cent in value over
Lunch time is a particularly compelling
the last 12 months, driven by innovations
occasion for non-alcoholic offerings.
and an expanding range among different
Consumers are likely not going to reach for
navigate. In response to this challenge,
categories such as beer, cider and spirits.
an alcoholic beverage in the middle of the day,
NielsenIQ and CGA have partnered in
creates
but could do so with a non-alcoholic offering.
order to continue NielsenIQ’s mission
opportunities to expand drinking occasions
Offerings that tailor to business lunches or
of total consumer measurement, and
to different day parts and settings. Given
midday meetups with friends could be
CGA’s mission of bringing brand new
low/no alcohol attracts both social and
excellent occasions to target consumers.
on-premise solutions to the most
Lower
alcohol
content
an incredibly complex channel and consumer environment for suppliers to
valuable markets around the globe.
singular activities, there’s a variety of avenues
The emerging low/no alcohol trend
to attract buyers. Brands may even want to
brings vast opportunities to the beverage
customise their advertising by time of day or
industry as a whole, potentially attracting
day of the week to reflect shifting need states.
large FMCG companies into this space.
For example, a brand might position low/no
Coca Cola’s recent Topo Chico Hard
alcohol innovation as a personal indulgence
Seltzer launch in 2021 could be the start
to treat yourself in the middle of the week
of an era where the frontier between
and then position the same innovation as
alcoholic and non-alcoholic beverages
a way to prolong your weekend drinking
become blurrier and traditional non-
first time. In every possible instance,
occasion with friends and family without
alcoholic beverage companies could start
these services align in terms of
compromising on health goals. Low/no
tapping into the alcoholic space to seize
reporting, product segmentation and
alcohol could also appeal to virtual social
these opportunities.
geographic definitions for the easiest
■
“The emerging low/no alcohol trend brings vast opportunities to the beverage industry as a whole.”
These combined NielsenIQ and CGA capabilities mean that customers will soon be able to understand the ‘end to end’ of the liquor industry and will be able to see on-premise consumer and sales trends directly alongside off-premise consumer and sales trends for the
‘total trade’ view possible. Using NielsenIQ’s extensive experience in retail measurement and world leading consumer panel methodology we have produced a world class understanding of the off premise market. In Australia, we have also launched our liquor panel that demonstrates shopper dynamics across the retailers, aspects like demographics of buyers, cross shopping of retailers and brands. This is truly complemented by CGA’s world-leading on-premise service suite that provides the same understanding as the off-premise industry, with unparalleled insights into brand and category performance, the size and dynamics of the channel and the ‘why’ behind consumer decisions based on a host of qualitative and quantitative research solutions. Together this partnership gives retailers and suppliers an unparalleled insight into our dynamic and complex industry.
February 2022 | 125
RESEARCH & INSIGHTS
These trends are not different in Australia, where sales of non-alcoholic beverages
SUPPLIER
RETAIL
WHOLESALE
ASSOCIATION
RESEARCH & INSIGHTS
Then lock in a 3 step campaign across
RETAIL
SUPPLIER
Want to communicate to 100,000+ trade customers to make it a success?
WHOLESALE
Are you launching a new release or NPD in 2022?
1. Brand awareness 2. Education 3. Call-to-action If you'd like to have a look at a 3 step trade customer
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National Liquor News and The Shout that drives:
then drop us a line.
For a campaign to suit your budget contact Shane T Williams E: stwilliams@intermedia.com.au | M: 0431 857 765
RESEARCH & INSIGHTS
campaign to champion your brand in 2022,
Shopper Intelligence
No time to dwell on past successes Despite sales ticking up, shoppers say there is still room for improvement, writes David Shukri, Client Service Director at Shopper Intelligence.
Reflecting on another year that was far from ‘normal’
range of healthy choices available to them. It’s key for
for liquor shoppers, three things come to mind.
retailers and suppliers to harness these improvements
Overall shopper satisfaction declined for the first time
this year, reflecting on what worked in 2021 and
since Shopper Intelligence began its liquor program.
continuing to focus on value-adding innovation
Secondly, the role of the in-store environment
centred around health and wellbeing.
became significantly more important, and finally,
Still, the basics count. Shoppers want the channel
while growth areas like online and new RTD formats
to do better on price and execution. Your scan data
performed well, shoppers said there was still room for
might tell you the sales kept coming last year, but
improvement. So, as we launch in to 2022, what does
shoppers want more. If they don’t get it, they might
all this mean for you and your business? What are the
shift their spend elsewhere the next time they go
big focal points you should be discussing with your
shopping. So, at a retailer and category level, work
retail partners in the coming months?
out what matters most to your shoppers – fixed low prices or offers, premium or budget orientated
Keep an eye on the basics
ranges. If their awareness of standard prices in your
A one per cent decline in shopper satisfaction might
category is low, veer towards percentage or dollar
not sound like much, but in the context of off-premise
saving mechanics. Otherwise, emphasise the price
liquor, where this measure increased by six per cent
point in your execution.
RESEARCH & INSIGHTS
between 2018 and 2020, it’s a meaningful warning
Remember as well, these changes were not uniform
signal and one not to overlook. Satisfaction with
across all retailers. Some, such as IGA Liquor, saw their
prices dropped year-on-year among both big box
satisfaction score increase significantly last year, while
and convenience format shoppers, while availability
others including Dan Murphy’s and Thirsty Camel, lost
(perhaps understandably) was also a challenge.
ground. A similar pattern unfolded at category level, so
Shoppers were three per cent less likely to agree that
always use your data sources to build the right insights
their chosen retailer was rarely out of stock of their
for the situation and never assume one size fits all.
preferred drinks choice compared to 2020. It’s not all doom and gloom though. There were
Get your in-store right
some positive signs in the channel too. Shoppers were
One question came up time and again from suppliers
more likely to agree they often found appealing new
last year: “When retailers are driving clear aisle policies,
ideas in the off-premise, and that there was a good
how can we influence the in-store environment?”
128 | National Liquor News
Author: David Shukri Client Service Director Shopper Intelligence
Shopper Intelligence
The answer is always the same. Point to the evidence and be specific in your proposals.
executing the basics and supporting in-store decisions. In terms of online liquor, the basics are equally
Shoppers are making more of their category-level
as important. The top three importance factors for
decisions in-store. The ratio is still three to one in
those buying liquor online are quality, availability and
favour of pre-store planning, but nevertheless we saw
offers – a very different trio compared to what liquor
a material shift playing out last year. It means that in
shoppers in bricks and mortar stores report.
some parts of the store, there is a strong argument
The big change in online shopping behaviour
for more ideas, information, and engagement in and
though has come from a shift in the occasion people
around the shelf.
are buying for. A huge move towards buying with a
However, it’s not a uniform shift across the market.
particular use in mind has taken place among online
Liquorland, Vintage Cellars and IGA Liquor shoppers
shoppers. E-commerce in liquor is no longer just
for example registered significantly higher levels of
about stocking up on bulky items. Ranges, delivery
in-store decision-making last year, while for shoppers
options and marketing messages all need to be tested
in First Choice and Cellarbrations, the year-on-year
to make sure they’re still relevant in 2022.
change was negligible. From a category standpoint, Merlot and Cabernet Sauvignon shoppers over-index
In summary
heavily on in-store decisions, while cask wine and full-
We live in uncertain times. Shopping behaviours will
strength beer shoppers are overwhelmingly likely to
no doubt change again in the coming twelve months
plan their category purchase pre-store.
so it’s vital to make sure you have the most up to date
There’s no guarantee you’ll be able to influence
perspective in your business.
your trading partner one way or the other, but going in
Listen to your shoppers, move with them when
with an evidence-based argument that recognises the
they signal a change in their needs and above all, make
nuances from aisle to aisle, is the best place to start. It
sure you’re treating bricks and clicks as differently as
should never be a black and white approach across the
they deserve. That’s so 2022!
store and retailers and suppliers must work together
■
in 2022 to recognise the subtleties and formulate joint plans that best serve their shoppers’ needs.
Make the differentiators sing! The past two years have driven massive changes in our habits and lifestyles. Consequently, new routes to market like e-commerce and new categories such as seltzers have experienced growth that looks unlikely to flatten in the short-term. Yet there’s no room for complacency around these differentiators. They still need work to keep the good results going
RESEARCH & INSIGHTS
and indeed, to maximise the opportunities in the months ahead. Counting seltzers within a wider group of ‘new world RTDs’ (like shochu and alcoholic kombuchas), there’s huge headroom for further growth. The new world RTD category is the most expandable in-store, meaning shoppers will buy more the more they consume. They’re highly likely to try new products. They also expect the category to be well delivered instore, with good displays and plenty of information - worth factoring in given the earlier points about February 2022 | 129
Retail Drinks Australia
Retail Drinks celebrates advocacy successes
After a strong year, Retail Drinks is looking forward to another busy year of advocating for and supporting the entire liquor retail industry.
Michael Waters CEO Retail Drinks Australia
Essential partnerships While the core focus of Retail Drinks is advocacy, its important work in this sector is complemented by a comprehensive suite of other services and benefits, designed to help members run their businesses more efficiently and effectively. As Waters said: “Forging strong, long-term partnerships, whether they be with industry, government or commercial stakeholders is
One year into its three year strategic plan,
research agenda to support our ongoing
Retail Drinks Australia is building on a
advocacy efforts, a bespoke and exclusive
strong foundation to represent the needs
merchant services offering, and the
and interests of the country’s entire retail
development of a new and comprehensive
liquor industry. This first year of the plan
suite of online training modules for liquor
may have been challenging, but it was
store owners, managers and staff.”
essential for any membership-based organisation.” In 2021, this included the launch of a partnership with Luemo Workplace Wellbeing at a critical time during the pandemic when mental health in the industry was continuing to be
ASSOCIATION
also full of successes that illustrate the
The agenda for the year ahead will also
momentum of the organisation, according
feature online alcohol sales and delivery
nature of business in this pandemic,
to Retail Drinks CEO, Michael Waters.
regulation, especially after the recent
Retail Drinks will continue to forge the
Highlights included securing key legislative
legislation passed in NSW and VIC in the
most useful partnerships for members
outcomes to benefit the liquor retail sector;
past two years. But Retail Drinks predicts
in the year ahead.
helping ensure all retailers could remain
2022 will be a busy year for legislation across
open throughout every lockdown in every
the board too, building on the moves of 2021
alcohol sale and delivery reforms and liquor
jurisdiction; global recognition for the
where the organisation made 17 separate
licence fee reviews anticipated in several
Online Alcohol Sale & Delivery Code of
submissions to government reviews and
states and territories,” Waters said.
Conduct; and an enormously successful
inquiries, and was invited to consult on
Along the way, Retail Drinks is looking
Liquor Retail Summit and Industry Awards,
liquor retail regulation in many ways across
forward to engaging with its members with
which attracted over 1000 delegates and saw
multiple jurisdictions.
meetings and events (like the 2022 awards,
awards nominations increase by more than 250 per cent.
impacted. With the ever changing
“To be honest, I’ve never seen so much
with nominations open now) and via its
policy and advocacy activity in my 12+ years
support services. Waters thanked members
This means good things for the year
in the industry so if last year was anything to
for their ongoing support, congratulating
ahead, as Waters noted: “Off the back of
go by, and with a Federal Election imminent,
them for their resilience in another tough
such a strong operational performance in
I can predict that 2022 will be equally busy,
year, and encouraged those who aren’t yet
FY21, and thanks to the ongoing support of
with ongoing national digital identity
members to get in touch and find out more
our members, Retail Drinks has been able
reforms, online age verification requirements
about the opportunities that come with
to bring forward three key projects – a new
in NSW coming into effect from June, online
being a member of Retail Drinks.
130 | National Liquor News
■
P L E A S E D R I N K R E S P O N S I B L Y. JACK DANIEL’S IS A REGISTERED TRADEMARK. ©2022 JACK DANIEL’S. ALL RIGHTS RESERVED.
Spirits & Cocktails Australia
In the spirit of togetherness Greg Holland, Chief Executive of Spirits & Cocktails Australia, describes how 2021 has demonstrated the need to band together as an industry.
Author: Greg Holland Chief Executive Spirits & Cocktails Australia
If ever there was a year to demonstrate the dangers of complacency, it was 2021. Twelve months ago, at the end of 2020, most Australians were breathing a sigh of relief thinking the worst of the COVID pandemic was over. In the spirits industry, we were particularly proud that we had stepped up to make sanitiser and run support programs for those hospitality workers hit hardest by lockdowns. We were looking forward to a return to normalcy in 2021. Instead, the Delta variant arrived, The launch event for Parliamentary Friends of Australian Spirits
triggering another year of extended lockdowns that devastated so many
ASSOCIATION
businesses, particularly across hospitality
The launch event for Parliamentary Friends
as well as some pernicious misconceptions
and tourism. As Chief Executive of Spirits &
of Australian Spirits at Parliament House in
about alcohol. This was evident in Queensland,
Cocktails Australia, I believe 2021 taught us
February was hailed as one of the most well-
when the Palaszczuk Government ignored
that we need to junk the idea of returning to
attended events held for MPs and staff in
the recommendations of a parliamentary
‘business as usual’. We are living in a world
recent memory. That function kicked off a
committee tasked with considering which
of constant change, whether that is wrought
rolling program of meetings with ministers
temporary COVID measures should be made
by the climate, by pandemics, or by digital
and backbenchers, informing them of the
permanent. While the committee sensibly
disruption. We can’t afford to be complacent.
challenges faced by our growing industry.
recommended a continuation of limited
So, how do we operate in this new
Perhaps the strongest measure of our success
alcohol sales with takeaway meals bought from
environment? Firstly, by recognising that
was the decision, unveiled in the 2021-22
licensed operators, the final bill sanctioned
we are better and stronger together.
Budget, to increase the excise remissions ceiling
sales of wine only, effectively rewarding
For Spirits & Cocktails Australia, one of
for distillers from $100,000 to $350,000. Of
southern winemakers over Queensland
our greatest achievements in 2021 was the
course, there is more to do; as we head towards
distillers, including the iconic Bundaberg Rum.
alliance formed with the Australian Distillers
a federal election in 2022, we will amplify our
We are determined to overturn the myths
Association. This coalition between craft
campaign for a fairer spirits tax and an excise
that remain around alcohol, including the
distillers and global companies is one of the
freeze. After so many receptive conversations
idea that spirits are ‘hard liquor’ and therefore
most exciting changes in the history of the
with key political decisionmakers, including
should be excluded from reforms like those in
Australian spirits industry. Regardless of
Treasurer Josh Frydenberg, it’s up to us to
Queensland. The data shows most Australians
size, we are all committed to creating and
maintain the momentum.
are far more responsible and sophisticated
distributing the very best spirits in Australia;
As the borders open, Spirits & Cocktails
about their alcohol consumption – drinking
what we have in common is far greater than our
Australia will also increase its engagement
less, but enjoying better quality drinks – than
differences. By campaigning as a united front,
with state leaders, MPs and bureaucrats.
their governments give them credit for. In the
I’m convinced we achieved far more for spirits
The pandemic highlighted the differences
coming year, Spirits & Cocktails Australia will
in Australia in 2021 than we would have alone.
in regulatory approaches between the states,
continue to spread the word.
132 | National Liquor News
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CO
TA
I N S A LC O
Product
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Paramount #
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Hard Lemon Hard Berry Hard Melon
460810 461170 461141
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Made with real fruit & 50% less sugar than most alcoholic premixed drinks.
Strikeforce
Technology driving retail solutions Stephen Wilson, Category and Insights Manager at Strikeforce, discusses how the latest technology can help retailers meet and exceed customer expectations in the most efficient way possible.
Author: Stephen Wilson Category and Insights Manager Strikeforce
Agile and flexible are two buzz words that are frequently
Just because a particular strategy has worked in the past doesn’t
being thrown around to describe how nimble businesses and
mean that it will continue to do so. We have all experienced a
organisations are responding to challenges and capitalising on
significant period of change over the past two years and in many
identified opportunities.
scenarios this change is here to stay.
RESEARCH & INSIGHTS
Moving outside ‘traditional’ planning and implementation
Technological advances in recent years have increased retailers’
processes can be challenging, particularly when the same approach
ability to respond in a quick and efficient manner to changing trends.
has been around for decades.
By adopting these new technologies, retailers often exceed expectations
Why does our industry need to embrace agility and flexibility? Why is it necessary to consider a different approach? As shopper expectations of retailers continue to evolve, the in-store experience must also evolve to meet and exceed these
with minimum disruption to the day-to-day flow of business. A great example of where these technologies can be applied to achieve positive outcomes is with virtual planograms and floor space optimisation.
expectations. Businesses that continue to respond to macro and
Once the domain of large retail organisations, this technology is
micro environmental change the same way they always have, or
readily available to small and medium sized businesses, providing
ignore change altogether, risk alienating core shoppers which often
a cost-effective solution while increasing the ability to make change
results in these same shoppers seeking an alternative that aligns with
more regularly and be more responsive to shopper needs.
their changing expectations. 134 | National Liquor News
In days gone by, changing shelf and fixture layouts was a tedious
Strikeforce
manual process undertaken by physically making
delivers the benefit of being able to move off-location
changes in-store to fittings and category layouts,
displays to different floor locations to maximise visual
shuffling items endlessly around, often needing to be
impact, change end displays and ultimately influence
undertaken out of normal trading hours.
your customers purchasing decision on their journey
The process could literally take days to complete,
around the store.
moving stock from one location to another, stripping
Having said all this, the major benefit is the
out and relaying shelves to the required configuration
integration of sales data into the virtual planning
and then doing the whole process over again if the
process where again, by the click of a mouse, you
desired result was not attained.
can readily identify the top selling lines, up and
The benefit of adopting new technology and
coming ‘star’ performers and non-performing SKUs,
delving into the virtual environment is the agility and
increasing the ability to craft the optimal range for
flexibility that this genre brings. Instead of physically
your store while enjoying the increased efficiencies
manipulating stock and fittings on the shop floor, this
to the process that have been previously mentioned.
can be done in a digital environment in a fraction of
Retailers adopting virtual technology will enjoy the
the time. Not only can all planning and changes be made in a virtual world before being implemented in-store,
benefits that flow from meeting and exceeding their customers’ expectations.
■
there is also no disruption to business and the time taken to make change, review the outcome and have a completed plan takes a fraction of the time compared to doing the same process manually. Furthermore, using the latest technology means that if there is more than one person needed to make decisions, there is no requirement for these decision makers to be physically located in the same room. Changes can be made and viewed by multiple
Stephen Wilson Category and Insights Manager, Strikeforce
stakeholders in multiple locations in real time. Immersive virtual reality software now allows you to modify objects in the scene in real-time, create bespoke environments and layouts, insert new to world concepts and even incorporate signage campaigns. The result is quicker, more efficient, less labour intensive and often less expensive when you take into consideration wages and labour costs of the conventional methods.
RESEARCH & INSIGHTS
“Technological advances in recent years have increased retailers’ ability to respond in a quick and efficient manner to changing trends.”
In addition, this agile and flexible solution can be applied across a single category or across an entire store as required, maximising a retailer’s ability to respond to change. Imagine the improvement to the bottom line and profit margins if forward planning and driving change to your stores offer aligned with major seasonal events at the click of a mouse? The ability to align campaigns, including promotional displays, in a virtual environment February 2022 | 135
Wine Australia
Wine Australia hails a year of trade innovation Dr Martin Cole, CEO of Wine Australia, outlines how Wine Australia is tackling tariffs, COVID and the climate.
Dr Martin Cole CEO Wine Australia
Dr Martin Cole may have only joined Wine Australia as CEO at the end of 2021, but is happy to sing the praises of his predecessor, Andreas Clark, and the work the association achieved under his watch. “There were some major achievements delivered, which added great value and stood us in good stead for 2022,” Dr Cole said. Particularly, he highlights the launch of Australian Wine CONNECT, a form of online expo that showcased Australian wineries with buyer around the world, offering a rolling schedule of activities when travel was reduced. Wine Australia’s Interactive Insights portal is another technological solution bringing success. Launched in May 2021, the portal is described by Dr Cole as: “Giving business
ASSOCIATION
24/7 access to the latest export (and vintage data) to help them understand what’s happening in the market, whether it’s by
A changing climate During 2021, Wine Australia took several steps towards a more sustainable future, including: • Holding a National Wine Sector Bushfire Conference to equip the sector with research and knowledge on bushfire preparedness, smoke effects and recovery from fire. • Investing in a net zero carbon roadmap for the sector. • Funding the Climate Atlas to help regions project climate conditions to 2100, now picked up by Agricultural Innovation Australia for a larger project across different agricultural sectors.
price point or variety, where Australia is now succeeding and where there are gaps and
on by the pandemic. Online and cellar door
Illustrating his point, Dr Cole pointed
opportunities to plug some of those gaps.”
sales each grew by over 20 per cent in value
to the increase in exporters shipping to the
in the 2021 financial year.”
US – now at 269, its highest number since
Wine Australia also had a key role to play in the negotiations of the UK-Australia
Similarly, while Australian winemakers
Free Trade Agreement, supporting exporters
grappled with the impact of Chinese import
Looking ahead to 2022, Wine Australia
through challenging market access matters.
tariffs, Dr Cole highlights the positive
sees adapting to the persisting pandemic
response of the industry.
as the key challenge, alongside industry
But the difficulties of 2021 are well documented, and Australia’s wine sector was
“There’s been many ups and downs over
not exempt, as Dr Cole outlines: “COVID-19
the years and the grape and wine sector has
lockdowns had a significant impact on
shown its resilience,” he said.
wine business operations, with cellar door closures and capacity restrictions.
the GFC.
sustainability. “Collaboration, increased stakeholder engagement, a clear focus on sustainability
“While there’s no quick fix for the China
and accelerating innovation across the
market, Australian wine exporters impacted
Australian grape and wine sector will be
“That said, our wine Direct-to-Consumer
by the tariffs are continuing to diversify their
key to the sector’s long-term viability,” Dr
(DTC) survey found that some really
business models and ship to a broad range
Cole said.
positive changes have occurred – spurred
of markets.”
136 | National Liquor News
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Year in review We take a look back at some of the biggest off-premise stories of 2021.
February 2022 | 137
Year In Review
January Introduction of Kimberley BDR widely welcomed The WA Government’s announcement of a two-year trial of a Takeaway Alcohol Management System (Tams) and Banned Drinkers Register (BDR) in the state’s Kimberley region has been widely welcomed. Retail Drinks Australia, the Australian Hotels Association, Liquor Stores Association (LSA WA) and Endeavour Group have all commended the government for starting the trial. Retail Drinks CEO, Michael Waters, said: “The BDR is an excellent example of a government and industry-led initiative helping address problematic alcohol consumption through targeting the small number of individuals who fail to drink responsibly rather than blunt, all-of-population measures.” CEO of LSA WA, Peter Peck, said: “We know blanket liquor restrictions simply don’t work and now with another BDR in place from Broome to Kununurra and everywhere in between, there will be greater consistency across the board.” BWS West Australia State Manager, Shawn Holloway, added: “Our experience of operating a BDR in the Northern Territory over the last few years shows that it can be effectively managed by retailers, with minimal impact on those responsible consumers looking to purchase their favourite drop.”
Liquor Barons to start using AI software Liquor Barons has selected artificial intelligence (AI) software from Complexica for promotional planning and supplier portal functionality. The WA-based group chose Complexica’s Promotional Campaign Manager (PCM), part of Complexica’s Decision Cloud software platform, which is powered by an AI engine and uses internal and external data to provide practical decision support. Richard Verney, Marketing Manager at Liquor Barons, said: “At Liquor Barons we have an entrepreneurial mindset and are proud of being proactive rather than reactive in our approach to delivering the best possible customer service, which includes our premier liquor loyalty program and consumer-driven marketing.” The PCM will support Liquor Barons processes by providing ‘mission-critical’ functionality for planning and analysing retail promotional campaigns, as well as predicting and optimising their effectiveness. 138 | National Liquor News
Accolade outlines winery sale plans Accolade Wines has outlined plans to sell two of its South Australian wineries after conducting a thorough assessment of its wine footprint. The winemaker said that while it has put two wineries on the market, it will be retaining all its South Australian brands and remains committed to the region. The two sites up for sale are Woodside Estate and the Krondorf Winery, which together housed the winemaking of Petaluma, Croser and Grant Burge wines. Production of these portfolios was transferred to the Tintara and St Hallett facilities from vintage 2021 onwards. “While we have made the decision to sell these sites, Petaluma, Croser and Grant Burge remain an important part of brand portfolio and we have decided to produce them elsewhere to support their ongoing and planned growth,” said CEO, Robert Foye.
Year In Review
February
Industry criticises latest MUP research In 2018, the NT Government introduced a Minimum Unit Price (MUP) of $1.30 per standard drink, with the impacts measured yearly to asses whether the policy is reducing problem drinking in the state. The latest yearly review has claimed the policy is showing successful results. But Retail Drinks Australia and Alcohol Beverages Australia (ABA) disagree, noting that the research does not present a complete picture of alcohol-related harm in the state, and calling for a more transparent and robust review. Michael Waters, Retail Drinks CEO, said: “We have seen already with the one-year review process that the success of MUP cannot be ascertained for certain given that it was introduced at the exact same time as a raft of other
Retail becomes Australia’s most valuable sector
alcohol-related reform measures from the Riley Review.”
Brand Finance has released its 2021 Australia 100 Report, which
for Territorians and tourists to the Top End.
ranks the country’s top 100 brands, and this year the retail sector has overtaken banking in terms of overall brand value, accounting for 25 per cent of total brand value. For the second year running Woolworths is ranked as Australia’s most valuable brand, while Coles moved up one place to fourth. Liquorland was the only liquor retailer listed in the top 100, coming in as Australia’s 78th most valuable brand.
ABA CEO, Andrew Wilsmore, said: “The only thing MUP has achieved is making the price of a drink more expensive “The price of a cask of wine – a drink overwhelming enjoyed in moderation by pensioners and retirees on fixed incomes – skyrocketed by over 300 per cent. This led to a fall in cask wine sales as consumers switched to spirits, which had the predictable outcome of actually increasing the total volume of alcohol sold in the Territory.”
In terms of alcohol brand values, XXXX was the highest ranked brand, coming in as the 32nd most valuable brand in Australia, ahead of Foster’s (49), Lindeman’s (60), Beringer (68), Yellow Tail (79), Jacob’s Creek (81), Wolf Blass (89) and Penfolds (90). Brand Finance compiles the list using what it calls its ‘Royalty Relief approach’, which involves estimating the likely future sales that are attributable to a brand and calculating a royalty rate that would be charged for the use of that brand. The overall brand value also includes a brand strength index and estimated brand revenues.
Australian whisky experiences 150 per cent growth The shop local trend has been highlighted in the liquor space with an incredible 150 per cent spike in sales of Australian whisky at Dan Murphy’s in the last six months. The retailer recorded high interest in local whisky during the key selling periods of Christmas and Father’s Day. To meet this growing popularity, Dan Murphy’s has doubled its range, now stocking 120 Australian whiskies. “Customers have started to discover that Australian whisky can compete on the world stage when it comes to flavour and complexity. There are some great flavours and stories to explore from distilleries in our own backyard,” said Dark Spirit Manager for Dan Murphy’s James Duvnjak. Gabrielle Millane, Brand Manager for South Australia’s Twenty Third Street Distillery, said: “There’s a real opportunity for Australian whisky to lead in creating innovative and unique whisky styles, focusing on the locality of the distillery.”
February 2022 | 139
Farmer John Bennett and Asahi Beverages Group Chief Brewer, Jaideep Chandrasekharan.
Year In Review
March BDR reduces liquor store theft in Pilbara Since its launch in the Pilbara region of WA, the Banned Drinkers Register (BDR)
Asahi to source barley from Australian farmers
trial is already garnering positive results.
Australian barley growers have been given a timely boost in the face of on-going
The most recent impact shows a drop
Chinese tariffs, with the news that Asahi has overhauled its supply chain to purchase
in liquor store shop lifting offences in
barley direct from Aussie farmers. The new supply chain means that local barley will
the East Pilbara, as discussed in the
be used to brew Australian beers like Victoria Bitter and Carlton Draught for the first
latest episode of Packaged, the LSA
time in decades.
WA podcast. In the episode, Anita
Asahi developed the new direct sourcing program after it purchased CUB, and will
Grace, who owns Cellarbrations in
now buy more than 70,000 tonnes of malted barley direct from farmers in Victoria
Newman, said she had experienced
and southern NSW to be used at its Yatala and Abbotsford breweries. Growers in
many instances of theft over the past
northern NSW are expected to join the scheme before this year’s harvest while the
20 years, with thieves stealing up to
first beers brewed under the program will be rolled out in April.
$300 worth of liquor on any given day. However, since the BDR trial commenced, she noted these offences dropped by at least 90 per cent. “Since the BDR has come in to play more people are conscious of having to show photo ID before purchasing alcohol,” she said. “They know their name and photo has to be verified on the scanning machines, so it’s been a strong deterrent for any unruly customer looking to do a ‘quick hit and run’. The most recent shoplifting incident in the store involved the theft of two pre-mix cans as opposed to several bottles of spirits at a time, so that gives you an indication that stealing in the shop isn’t as brazen as what it used to be.”
Alcohol Beverages Australia launches Vision 2030 Alcohol Beverages Australia (ABA) has set out its Vision 2030, a 10 year plan for Australia’s alcohol beverage industry which brings together a range of strategies to drive jobs, exports, tourism and safer thriving communities. Vision 2030 also encompasses technology and better environmental outcomes with rural and regional Australia seen as critical to the industry’s success. It includes recommendations on how to build stronger regions, including initiatives to create over 16,000 new jobs. “With the right policy settings by Government and the cooperation of everyone across the value chain we can supercharge the future for this industry from where it starts in the paddock to where it ends in the hands of a consumer,” said Andrew Wilsmore, CEO of ABA. For more on Vision 2030, head to the Alcohol Beverages Australia website.
140 | National Liquor News
Year In Review
April ALM outlines digital transformation At a recent investor day for Metcash, Australian Liquor Marketers (ALM) CEO, Chris Baddock, outlined a transformation of its digital business as one of four key initiatives. Baddock told investors that digital is not just about e-commerce, but that it is also about getting the platform right for retailers and ALM. “It’s no good having great systems if you don’t have great data, so we have to clean our data and make sure there is a conduit between the retailer and ourselves, so that we can use that data to give the most effective and efficient promotional programs,” Baddock said. ALM has already started working with Complexica to use artificial intelligence to develop promotional plans and also to help predict marketplace performance. Baddock said that ALM is in a position of strength in a mature market, but one that does still provide opportunities and that the business has a strong retail network and will continue to drive ‘Best Store in Town’ through investment in store refreshes.
Calabria acquires McWilliam’s McWilliam’s Wines has been acquired by Calabria Family Wines in a deal announced by KPMG and selling agent Colliers International. The sale, set to be complete by 30 April, will see the Griffith-based Calabria family take ownership of the McWilliam’s brands, intellectual property, and stock holdings as well as the Hanwood vineyard, winery and cellar door. The Mount Pleasant brand and winery has been acquired in a separate deal by Sydney investment group Medich Family Office. McWilliam’s entered into voluntary administration in January 2020, and was set to be bought by private equity and venture capital firm Prcstnt, until that deal fell through. Andrew Calabria, third generation Sales and Marketing Manager, said it was then that the “stars aligned” for the Calabria and McWilliam’s deal.
Woolworths Group scraps plans for Darwin Dan Murphy’s Woolworths Group and Endeavour Group have been looking to open a Dan Murphy’s store in Darwin for more than five years, but these plans have now been scrapped. Prior to the announcement, Woolworths had decided to move the proposed location of the store in November 2020. Then in December 2020, the group commissioned an independent panel to review the plans. This panel received feedback from a large number of stakeholders and briefed the Woolworths Group Board and Management on the findings. The Board supported Management’s recommendation to not proceed with the plan. Woolworths Group Chairman, Gordon Cairns, said the panel report, known as the ‘Gilbert Review’ had: “Made it clear that we did not do enough in this community to live up to the best practice engagement to which we hold ourselves accountable. “In particular, we did not do enough stakeholder engagement with a range of Aboriginal and Torres Strait Islander communities and organisations.”
February 2022 | 141
Year In Review
May New global standards for online alcohol sales introduced Retail Drinks Australia has been praised for leading the way with its Australian Online Alcohol Sale and Delivery Code of Conduct, after the International Alliance for Responsible Drinking (IARD) introduced its Global Standards for Online Alcohol Sale and Delivery. The Global Standards introduce safeguards to prevent alcohol deliveries to minors and intoxicated persons and IARD praised the Retail Drinks Code, introduced in 2019, as providing a blueprint for the development of equivalent frameworks in other countries. Retail Drinks, as well as several of its members, directly consulted with IARD for the global version. The launch of the Global Standards also
Most powerful wine brands for 2021 revealed Wine Intelligence has announced the most powerful global wine brands of 2021, with three Australian brands in the top 15. Yellow Tail has once again topped the list in the fourth annual Global Wine Brand Power Index, followed again by Chilean brand Casillero del Diablo. Australia rounds out the top three with Jacob’s Creek regaining its position in the list after falling last year. The final local brand in the top 15 is Lindeman’s, which came in at 11th. Australia is the third most represented country on the list, behind Chile and the USA which are the home to four brands each. France and Spain claimed the remaining spots.
Sans Drinks opens its first no alcohol bottle shop
sees Coles join the IARD, adding to the
Non-alcoholic online beverage marketplace
growing number of Australian businesses
Sans Drinks has taken the leap into bricks and
and associations on board. This includes
mortar retail, officially opening its flagship store
Endeavour Group, which was a global partner
in Sydney, right across the road from a Vintage
in the creation of the Global Standards.
Cellars store.
The new Global Standards are available through the IARD website.
Sans Drinks was first launched online in 2020 by Founder Irene Falcone, who saw a gap in the market for a dedicated adult beverage alternative retail offering. The original online pureplay stocked a huge range of non-alcoholic beer, wine, spirits, RTDs and mixers, and now, the whole range is also available in-store. Falcone said she wanted to take the website into the physical world as soon as she could after seeing such great online results and a surprising number of people showing up at the Sans Drinks warehouse. “There was a real gap in the market, so I thought positioning myself right next to a major liquor chain would send a message that I am deadly serious and not just some hack with an online store… I have planned to open another 20-30 stores nationally by the end of next year,” Falcone said. Irene Falcone
142 | National Liquor News
Year In Review
June Liquor Emporium expands with first shopping centre store Independent Sydney retailer Liquor Emporium has expanded, opening its fifth store in the new extension of the Marrickville Metro Shopping Centre in the city’s inner west. This is the first time that Liquor Emporium has opened an outlet within a shopping centre. Paul Ververis, Liquor Emporium Director, said: “We are very excited to be opened at this particular location. Marrickville has recently been named as one of the top 10 suburbs in the world and the coolest suburb in Sydney, so of course we couldn’t be happier.We saw the diversity of the Marrickville community as a perfect fit for the Liquor Emporium brand. “This is a very exciting time for Liquor Emporium as we approach our 20 year anniversary. We are always looking to expand our brand at the right location, so exciting times ahead!”
Endeavour Group lists on the ASX Endeavour Group has listed on the Australian Securities Exchange (ASX) after Woolworths Group shareholders voted in favour of a demerger. Ahead of the listing, Endeavour Group Managing Director and CEO, Steve Donohue, said: “This is a very significant day for Endeavour Group’s 28,000 team members throughout Australia, who are united around our purpose of ‘creating a more sociable future together’, and for our partners, customers and many other stakeholders.” Endeavour Group Chairman Peter Hearl said: “Joining the ASX under our own name and as a standalone business marks the next chapter in
E-commerce and RTDs drive sales growth
Endeavour Group’s evolution. On behalf of the
New forecasts from IWSR Drinks Market Analysis show positive signs of
a milestone, and we welcome and thank our new
recovery for global beverage alcohol, with a projected 2.9 per cent
shareholders for joining us on this journey.”
entire Board, it is a privilege to be a part of such
growth in volume by the end of 2021. By 2023, IWSR expects total beverage alcohol consumption to return
Endeavour Group ASX bell ringing ceremony
to pre-COVID levels, with consumption steadily increasing through to 2025. The analysts said that as well as the momentum will be driven by e-commerce and RTDs, boosted by increasing sophistication of the athome occasion. Lockdowns around the world saw total beverage alcohol volume decrease by 6.2 per cent globally in 2020, according to IWSR’s examination of data from 160 countries. The decline was less than many forecast, with IWSR identifying several factors that helped soften the blow, such as: acceleration of e-commerce (up +45 per cent from 2019), growth of RTDs, and strong at-home consumption in key markets.
February 2022 | 143
Year In Review
July Treasury Wine Estates launches new operational structure The restructure announced by Treasury Wine Estates (TWE) in February has come into force as of July 1. The restructure, which TWE said uses a portfolio-led operating model, sees the company move into three divisions: Penfolds, led by the current Managing Director of Asia, Tom King; Treasury Premium Brands (TPB) led by Managing Director ANZ Peter Neilson; and Treasury Americas, led by the current Managing Director of Americas, Ben Dollard. In a statement, TWE said: “This will create greater focus on the respective portfolios and drive sustainable growth, with the TPB and Penfolds teams working
Moon Dog to be selling more seltzer than beer by end of the year
closely with the premium wine producer’s customers and partners in Australia and New Zealand.” The new corporate structure also means that plans for the demerger of Penfolds and the creation of a new ASX-listed company have been put on hold.
The rise and rise of seltzer in Australia shows no sign of letting up, and is so strong that popular Victorian brewer Moon Dog has said it expects to be selling more seltzer than beer by the end of 2021. Moon Dog’s seltzer growth will be boosted as it has become the 350th supplier to join the Kaddy platform. This is off the back of 100 per cent year-on-year growth for the brewer along the east coast, propelled by the hard seltzer brand, Moon Dog Fizzer. “Over six short months, Fizzer Seltzer has become our biggest brand,” said Sam Stroud, Moon Dog’s National Off-Premise Sales Manager. Kaddy Co-founder, Rich Coombes, said the demand for the hard seltzer category has been reflected across the entire Kaddy platform. He said: “For a rapidly expanding craft brand like Moon Dog, Kaddy is a simple way to bring their amazing product portfolio to a wide range of trade customers.”
144 | National Liquor News
‘Perfect’ conditions see record wine crop Near-perfect growing and ripening conditions across most states and regions have seen the Australian wine sector bounce back from two successive small vintages to produce a record crop of 2.03m tonnes in 2021. According to the National Vintage Report released by Wine Australia, the 2021 crush was 31 per cent higher than the 2020 vintage and 19 per cent above the 2019 vintage. 2021 was described as a ‘unicorn’ vintage because of the rare combination of events leading to both exceptional quality and a good crop size. South Australia was the largest contributor in the country, accounting for 52 per cent of the national crush, followed by New South Wales with 29 per cent and Victoria with 17 per cent. Red wine grapes made up 57 per cent of the crush, reducing the white varities’ share of the crush to 43 per cent, the lowest since 2004.
Year In Review
August The key to connecting in-store and online retail During the pandemic there has been increased shopper focus on the online world, leading to online retail to be more important than ever for Australia’s off-premise industry. Shannon Ingrey, Vice President and GM, APAC, at BigCommerce, said physical stores that integrate online and offline sales channels are capitalising the most on this opportunity. “It’s critical that retailers are meeting their customers where they want to be – and that’s increasingly online. However, by integrating online and offline sales channels into a cohesive experience across touch points, retailers will be optimised for future growth and better positioned should another unforeseen crisis unfold,” Ingrey said. Replicating as much of the in-store experience online is a key element to help retailers stand out in a competitive e-commerce environment. Ingrey said data is the greatest asset for retailers to do this, allowing customers to have uniquely tailored experiences in the spaces they value the most.
NOC Wholesale launches for trade customers The wholesale offering from Nip Of Courage, NOC Wholesale, has now launched in Australia, giving
Liquor Loot expands further into retail Direct to consumer subscription service Liquor Loot is continuing to diversify its business, announcing new retail partnerships with more still to come. Through partnerships with Aldi and more recently David Jones and
the off- and on-premise industry a one stop shop
Qantas, Liquor Loot has created a retail version of its subscription
for Australian spirits.
offering that follows the brand’s core goal of consumer education.
“The main thing that we offer now is a one stop
Retail boxes have six 30ml sample bottles with tasting notes, allowing
shop for Aussie craft spirits, big and small. There’s
consumers to go on a self guided exploration of spirits and get a
over 300 producers and brands in Australia now,
taste for what they like.
but not everyone knows about them. So if someone
The expansion into retail has been incredibly successful so far for
does want an Aussie craft spirit, this is a great
Liquor Loot. Founder and CEO Joel Hauer said with initial partner Aldi, the
reference point to start looking when stocking their
partnership sold “over 5000 packs within about seven days,” which shows
back bars or even speed rails in bars, as well as
a gap in the market for an easy, entry level way for consumers to build
restaurants and bottle shops,” said Nip of Courage
their confidence about shopping in new spirit categories they haven’t
Founder, Kathleen Davies.
tried before.
“A lot of trade customers don’t want to be dealing with hundreds of different suppliers. NOC Wholesale does the running around for them and brings it into one place to make ordering a lot easier.” The official launch comes after a soft launch in recent months where NOC Wholesale worked with existing customers to make the new portal as user friendly as possible.
February 2022 | 145
Year In Review
September Kaddy Co-founders Rich Coombes and Mike Abbott
ILG debuts Fleet Street banner in QLD Independent Liquor Group (ILG) has taken its Fleet Street
Kaddy goes national Following on from its successful launch in Queensland in August,
banner to Queensland for the first time, with the first store revealed in Brisbane’s inner eastern suburbs. Camp Hill Cellars, one of three detached bottle shops
wholesale beverages platform Kaddy has announced plans for its
running off the Rocklea Hotel, has now converted to the
national rollout.
Fleet Street banner.
Already being used by over 1500 customers on the east coast,
ILG’s General Manager for Queensland, Craig
Kaddy will now be available to all licenced venues in South
Stephenson, said it was the perfect spot to launch the
Australia, Western Australia, Tasmania and the Northern Territory.
banner into the state, and has been received quite well
“Tasmanian distillers, South Australian wineries and craft
since its soft launch.
brewers from WA – suppliers from across the country already use
“Feedback from the locals has been great – the store
Kaddy to access and trade with venues on the East Coast,” said
appeal and the high end range of products have been well
Kaddy’s Co-founder Rich Coombes.
received. According to the store manager, the customers
The platform now connects more than 400 suppliers to
are very impressed with the shop layout, the premium
the trade’s wholesale customers and the team are hoping
products available and in general the pleasant service from
the increase they saw in Queensland producers jumping on-
the staff. Sales have also gone up for Camp Hill with per
board, is something that will now be replicated in the other
bottle spend on the rise,” he said.
states and territories.
Lion buys Fermentum Group Lion and the Fermentum Family of Businesses have agreed to a deal which sees Lion take 100 per cent ownership of Fermentum and all brands within the group, including Stone & Wood, Two Birds, Fixation, Little Dragon and Sunly Seltzer. Lion said it will continue Fermentum’s commitment to building the new brewery in Murwillumbah, as well as around $6m in local donations. It will also be backing Fermentum to grow further and continue its positive impact in the community. James Brindley, Lion Managing Director, said: “We have a shared vision of ‘Brewing as a Force for Good’. Lion is Australia’s first largescale carbon neutral brewer and we will be backing the Stone & Wood, Two Birds and Fixation breweries to go carbon neutral as well. There are lot of areas where we can learn from each other. “The Fermentum business will continue to be a unique player in the drinks industry and we are excited about the opportunities for growth ahead.”
146 | National Liquor News
October
James Brindley
James Brindley to leave Lion After 27 years with Lion and 12 as Managing Director of Lion Australia, James Brindley announced he is leaving the business at the end of 2021. Brindley said: “After many years being part of this wonderful industry, I have decided it is time to call last shout and move on. I am grateful to the incredible people I have had the privilege to with work with, not only colleagues but especially our
No and low alcohol drinks help moderate consumption According to new research by DrinkWise, the no and low alcohol trend is starting to make a real difference on the responsible consumption habits of Australia. The study revealed that thirty-two per cent of consumers have reduced their consumption of alcohol with zero, low and mid-strength options, while half of risky drinkers willing to use these options to help moderate. There is a perceived stigma around drinking less, with 35 per cent of people aged 18-44 admitting they would hide the fact they are not drinking or choosing lower strength options. To help combat this stigma, DrinkWise and Endeavour Group have worked together on an in-store trial in select Dan Murphy’s and BWS locations. Dedicated zero, low and mid-strength bays will be placed front and centre in the stores, alongside messaging to encourage these drink options. The trial has been commended for its potential to raise awareness for a growing category in the industry. It will begin in QLD before expanding to other states in a targeted and strategic rollout. Peter Filipovic
customers and community partners.” Lion also announced Brindley’s replacement as David Smith, the former Managing Director of Diageo Australia. As part of the changes to the Executive team, Lion also said Anubha Sahasrabuddhe will be joining Lion’s Group Leadership Team as Chief Marketing Officer, after joining Lion in January 2021 as Marketing, Consumer and Brand Director. In her new role, Sahasrabuddhe will be responsible for marketing across Australia and New Zealand.
Peter Filipovic to step down as CUB CEO After 25 years with Carlton & United Breweries (CUB), Peter Filipovic has announced he will stepping down from the role of CEO. Filipovic said: “It’s been a privilege to have served as CEO of CUB and a member of the Asahi Beverages Executive Leadership Team. It’s a phenomenal business, with exceptional people and an unrivalled portfolio. I’m leaving the business knowing that it’s in great hands and well set-up for long-term success.” Following this announcement in July, a new CEO has now been named. Danny Celoni will be moving into the role in February 2022, with Filipovic remaining on board until then. Celoni’s beverage career began with Diageo in 1996, where over a 17 year career he rose to become Commercial Director for Australia, NZ and South Pacific. He will join CUB from PepsiCo, where he is CEO of its Australia, NZ and South Pacific business.
February 2022 | 147
Year In Review
November Dan Murphy’s begins national rollout of new flagship format Endeavour Group has opened an additional three stores under the new Dan Murphy’s flagship design, after unveiling the first in South Melbourne earlier this year. The new concept stores are located at Hyde Park in WA, Hamilton in QLD and Ascot Vale in VIC, and have seen renewals following significant investments of over $1 million each. Within this financial year, Endeavour Group plans to have 10 stores completed under the concept. The new-look stores hero a customer experience based in drinks education, discovery, technology and sustainability. Each store has a central area where customers can have ‘magic moments’ such as product tastings and on-demand micro-classes, hosted by in-store product experts. There is also a merchant’s corner with
Lyre’s hits $500m valuation Non-alcoholic brand Lyre’s is set to continue its phenomenal growth after the completion of a $37m funding round, which has the business valued at $500m. Mark Livings, Lyre’s co-founder and CEO, said: “The pace of growth we’re seeing is exceptional. We sold our first bottle in 2019 and today we’re selling one at least every 30 seconds. On our current trajectory, Lyre’s is set to become the fastest independent beverage brand to reach Unicorn status.” In Australia, distribution growth continues to cater for increased demand with key retail partnerships including Dan Murphy’s, David Jones, First Choice, Woolworths, IGA and Coles Local.
recommendations from the store’s Wine Merchant, and highlighted areas that contain engaging information about products and segments. “We know customers expect so much more from us than products on shelves, which is why we are increasingly innovating and using technology to create our stores of the future,” said Dan Murphy’s Managing Director, Alex Freudmann. Hamilton Wine Merchant, Craig Robinson
Number of Australians drinking alcohol increases New data from Roy Morgan claims the number of Australians who drink alcohol increased in the 12 months to September 2021, but Alcohol Beverages Australia (ABA) said this does not equate to increased consumption or harmful drinking. Roy Morgan’s Alcohol Consumption Report shows a total of 13,894,000 Australians (69.6 per cent) aged 18+ consumed alcohol in an average four week period, up from 13,179,000 (66.4 per cent) a year earlier. This comes after a low point of 65.7 per cent of people, recorded during the June 2020 pandemic lockdowns. But, as ABA CEO Andrew Wilsmore pointed out: “It is important to note that the survey results showing an increase in the number of Australians choosing to have a drink does not equate to either increased consumption of alcohol or increased levels of harmful drinking. Data from national wastewater monitoring showed that Australians have continued to drink responsibly throughout the pandemic.
148 | National Liquor News
Year In Review
December Global alcohol e-commerce tipped to grow by 66 per cent IWSR has predicted significant growth for online retailers, expecting total beverage alcohol e-commerce sales to grow by 66 per cent in the next five years. Total e-commerce sales across 16 key markets examined by the IWSR (including Australia) are expected to reach US $42bn by 2025. The research also found that globally, about 25 per cent of alcohol drinkers report purchasing beverages online, with two-thirds making their initial purchase prior to the pandemic. Nevertheless, the pandemic has been a significant driver of e-commerce growth worldwide, with sector value increasing by nearly +43 per cent in 2020, versus a growth of +12 per cent in 2019. By 2025, IWSR projects e-commerce to constitute about six per
Coles turns surplus produce into beer
cent of all off-premise alcohol sales by volume, tripling the 2018
Coles Liquor has partnered with Melbourne-based brewer
figure of two per cent.
Local Brewing Co to rescue unsold produce and turn it into beer. The Surplus Sour Watermelon Beer is the first of a series of sour beers from the partnership and has just launched this month. It was created with three tonnes of unsold watermelons from Coles produce supplier, Rombola Family Farms, as well as 300kg of unsold Coles bread. The Coles Liquor and Local Brewing Co partnership is set to produce at least three other exclusive fruit sour beers over the next 12 months, in collaboration with other Coles suppliers. The series will meet the growing demand for sour beers as well as genuine sustainable products.
Australian alcohol brands join the NFT trend The term non-fungible token, or NFT, has gained significant traction throughout 2021. Essentially, an NFT is a blockchain based, non-interchangeable and hence unique and non-fungible unit of data stored on a digital ledger. Being ‘non-fungible’ means the token is unique and can’t be replaced with something else. NFTs can represent any digitisable item and have often been used this year in the sale of digital art. However, Australian liquor producers are now also jumping on board, following a global trend. Alcohol NFTs correspond to a physical bottle, usually rare and exclusive, with the buyer able to exchange the digital version for the physical version. So far, Australian examples include Penfolds, the first wine brand to launch an NFT with the platform BlockBar, which specifically houses wine and spirit NFTs. The brand launched a limited edition NFT tied to a rare Penfolds Magill Cellar 3 barrel made from vintage 2021, with a single barrel NFT to be converted into 300 bottle NFTs at the date of bottling in October 2022. This was followed by Top Shelf International (TSI) with its Australian Agave NFT, tied to an exclusive program. Each person is allocated 10 agave plants which will be microdistilled to create what TSI says is one of the rarest artisanal spirits in the world.
February 2022 | 149
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G eoff Bollom, Retailer, Porter’s – Glebe and Balmain East M ichael Mcintosh, Fine Wine Brand Ambassador, Accolade Wines E mma Fogarty, Brand Manager, SouthTrade International S alvatore Margiotta, NSW Key Account Manager, Pure Wine Co. E d Peake, Key Account Manager, Penfolds
Standout wines from 2021 Here are some of the top wines that captivated our panel across different price points and varietals in the past 12 months.
S haryn Foulis, Trade Activation Manager – On-premise, Accolade Wines N igel Burton, CEO, Burton Premium Wines
Panels Picks
E mmanuel Conde, Brand Ambassador, Cerbaco J oe Turnaturi, Sommelier and Wine Educator, Sydney Wine Academy J ack Glover, Marketing Director, Accolade Wines C hristine Ricketts, Wine Educator, Endeavour Group B rian Chase Olson, Director, Blend Public Relations D ean Kornman, National Account Manager, Constellation Brands A ndrew Dean, Co-founder, The Tasting Glass A ndrew Graham, Journalist, Australian Wine Review T ishena Young, National Account Executive, Constellation Brands S abine Duval, Trading Manager and Lead Educator, The Wine Collective D avid Wright, National Wholesale Sales Manager, Elderton Wines M ichael Park, Wine Merchant, Dan Murphy’s Kingsford J onathan Leeming, Brand Manager, Taylor’s Wines
Bay of Fires
Hungerford Hill
Taylor’s The
Chardonnay
Epic Shiraz
Visionary
A ndrew Milne, Brand Manager, SouthTrade International
Region: Tasmania
Region: Hunter Valley
Cabernet
A ndrew Stubbs, Manager, Vine Wine
VIN: 2019 LUC: $35.00
VIN: 2018 LUC: $69.88
Sauvignon
Distributed by:
Distributed by: Winestock
Region: Clare Valley
D an Manu, Sourcing Manager, Pinnacle Drinks
Accolade Wines
(NSW/ACT), Direct from
VIN: 2015 LUC: $118.25
D avid Fahey, Wine Consultant
“Grapefruit, tropical fruits, pear. Balanced, complex, tight, soft and youthful. Well done.” – Geoff Bollom
winery (other states)
Distributed by: Taylor’s
“The palate is genuinely medium bodied and oh-soelegant, a glowing core of red fruit that sweeps along the palate finessed along by bright acidity and framed by very fine graphite tannins. Great length and persistence. Special.” – Sharyn Foulis
“A luxurious, silky and velvety mouth feel. Impeccable and elegantly balanced with blackcurrant, cassis and a cedar oak spice. Wonderful enduring finish. This would be the showstopper at any dinner party.” – Andrew Dean
H elena Edgerton, Wine Educator, Sydney Wine Academy D eb Jackson, Former Editor, National Liquor News A ndy Young, Managing Editor, The Shout & Bars and Clubs C raig Hawtin-Butcher, Group Publisher, The Shout NZ and World of Wine J ames Wells, Group Publisher, The Intermedia Group
150 | National Liquor News
Wine Tasting Review
Brand & Sons Family
Kirrihill The
Reserve Cabernets
Gentleman of Clare
Region: Coonawarra
Shiraz Mataro
VIN: 2016 LUC: $47.20
Region: Clare Valley
Distributed by: Brand Group
VIN: 2018 LUC: $32.25
(SA), Fisher Fine Wine (NSW),
Distributed by: Kirrihill Wines
Ascott Wine Services (VIC)
“Wow, this is great. Benefitted by a few years before release. Herbaceaous, dark fruit. Really good.” – Geoff Bollom
Quick stats for 2021 ➤
“This wine is no shrinking violet but it has a delightful integration of powerful youth with elegant layers adding interest.” – Christine Ricketts
Jacob’s Creek Better
Pepper Tree Limited
By Half Rosé
Release Pinot Rosé
Region: Australia
Region: Wrattonbully
VIN: 2020 LUC: $13.33
VIN: 2021 LUC: $19.35
Distributed by:
Distributed by:
Pernod Ricard
Déjà Vu Wine Co
“Coppery, pale pink in colour with steely, fresh notes on the nose. The palate is crisp and fresh with watermelon, red currant and mineral notes. Well balanced with a long finish.” - Emma Fogarty
“Nice light salmon in colour. Exquisite rose petal, cherry notes. Very lively and fresh.” – Deb Jackson
Zema Estate
De Bortoli Deen
Shiraz
Vat 8 Shiraz
Region: Coonawarra
Region: Heathcote
VIN: 2016 LUC: $16.56
VIN: 2018 LUC: $9.09
Distributed by: Porter & Co
Distributed by: De Bortoli
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E ight tastings were held this year – three of which occurred remotely 6 36 wines were tasted over the course of the year T he biggest tasting was for Shiraz, with 162 wines tasted by 22 panel members T he oldest vintage tasted was from 2006 9 7 was the highest score obtained 2 9 industry professionals tasted on the panel throughout the year
(SA), Bacchus Wine Merchant (NSW/ACT), Westwood Wine Agencies (VIC), Claret and Co (WA), The Wine Tradition (QLD), David Johnstone & Associates (TAS)
“Showing hints of maturity already, this long, intense Shiraz is hugely interesting and appealing. Very, very good.” – Michael Park
“With super smooth tannins and good balance, this is an extremely drinkable wine, delivering staggeringly good value for money.” - Jonathan Leeming
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
February 2022 | 151
Wine Tasting Review
LUC $15-$20
“Tastings in 2021 were full of an incredibly interesting array of wines. A standout for me was the Chardonnay tasting, which showed the complexity of the style and what it offers to different consumers.
Clairault Margaret
Barton & Guestier
River Chardonnay
Saint Emilion
Region: Margaret River
Region: France
VIN: 2019 LUC: $17.74
VIN: 2019 LUC: $26.58
Distributed by: The Wine
Distributed by: Beach
Gang (WA), Clairault Streicker
Avenue Wholesalers
direct (other states)
“The nose is beautiful and cakey. The palate is bright with fruit and spice – white pepper, cinnamon and nutmeg - all while delivering a well rounded balanced wine.” – Emma Fogarty
“Firm tannins. Full bodied. Finish very good. Young but will develop.” – Geoff Bollom
Throughout all tastings it’s been a pleasure to learn from the insights of our expert panel – I never cease to be impressed by them all.” Brydie Allen Editor National Liquor News
Editor’s Picks ➤
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2 020 Bird in Hand Two in the Bush Chardonnay, Adelaide Hills, LUC $15.91 2 016 Leconfield The Sydney Reserve Cabernet Sauvignon, Coonawarra, LUC $53.73 2 019 St Hallett Butcher’s Cart Shiraz, Barossa, LUC $38.99
Dalrymple Single
Te Kairanga Pinot
Site Swansea
Noir
Pinot Noir
VIN: 2019 LUC: $24.73
VIN: 2016 LUC: $42.06
Distributed by:
Distributed by:
Déjà Vu Wine Co.
Samuel Smith & Son
“Fuller style of Pinot. Dense and brooding fruit, with sweet spice and vanilla.” – Michael Mcintosh
Wirra Wirra Church
Blanc de Blancs Brut
Block Cabernet
Region: France
Sauvignon Shiraz
VIN: NV LUC: $58.80
Merlot
Distributed by: De Bortoli
N V Brown Brothers Patricia Brut, King Valley, LUC $29.58
“Stood out on every level. Well made, complex, balanced. Very drinkable.” – Geoff Bollom
152 | National Liquor News
“Very pretty wine, delightful enticing berry aromas lead to a rich and Moorish palate with strawberry and cinnamon spice notes. Well balanced finish.” – Ed Peake
Veuve Fourny & Fils
2 020 Kylie Minogue Rosé, France, LUC $14.84
2 014 Streicker Ironstone Block Old Vine Cabernet Sauvignon, Margaret River, LUC $29.56
Region: Martinborough NZ
Region: Tasmania
Region: McLaren Vale VIN: 2019 LUC: $16.99 Distributed by: Samuel Smith & Son
“Mint nose and palate. Loved the nose, fruit weight and finish.” – Nigel Burton
Wine Tasting Review
LUC $15 and under
Special thanks
Flux
The Bio Project
Pinot Noir
Monastrell Rosé
Region: Great Southern
Region: McLaren Vale
VIN: 2019 LUC: $19.35
VIN: 2020 LUC: $9.14
Distributed by:
Distributed by: Twisted
Single Vineyard Sellers
Harvest (SA), Shingleback Wine direct (other states)
“Beetroot and bloody nose. Generous palate with complex red fruits and earthy notes. Ripe tannins, soft and powdery on finish.” – Michael Mcintosh
Pikes The Assemblage
“Would unhesitatingly buy a case of this; its lifted, delicate wild strawberry aromas are perfectly complemented by ripe pink grapefruit, yellow cherries and a whiff of tropical fruits.” – Jonathan Leeming
National Liquor News would like to thank Sydney Wine Academy students for their help in carrying out tastings in 2021. Thank you Unity Kerslake, Alec Wagstaff and Jerry Meades for your assistance throughout the year.
Shiraz Grenache Mourvedre Region: Clare Valley VIN: 2019 LUC: $15.05 Distributed by: Oatley Fine Wine Merchants
Tyrrell’s Hunter Valley Chardonnay Region: Hunter Valley VIN: 2019 LUC: $13.98
“A lick of charry oak is followed by a fragrant burst of red fruits, plums and raspberries and finishes with a dash of earthiness. On the palate the blend is medium to full bodied. Well balanced.” – Sharyn Foulis
Distributed by: Tyrrell’s
“Typical stonefruit characters speaking or a warmer site. Good oak but a little short on finish.” – Michael Mcintosh
Howard Park Jeté Brut Region: Great Southern VIN: NV LUC: $18.00 Distributed by: Off The Vine
Pepperjack Cabernet Sauvignon
(WA), Thomas Chin Pty Ltd (NT),
Region: Barossa
The Wine Tradition (QLD), Aus
VIN: 2018 LUC: $21.05
Craft Wine (SA), Young and
Distributed by:
Rashleigh Wine Merchants
Treasury Wine Estates
(NSW/ACT), Alepat Taylor (VIC)
“Flavoursome with a good balance of fruit. Pleasant and crowd friendly.” – Christine Ricketts
“Cooler climate style, herbaceous nose, sweet blackberry fruit, lovely balance.” – Salvatore Margiotta
Are you a Sydneybased industry professional interested in joining the panel this year? Contact Brydie by emailing: ballen@intermedia.com.au
February 2022 | 153
Features List
Features List Month
February
2022 Annual Leaders Forum
March
Easter Retail Trading
World Whisk(e)y Day
Natural Flavoured Drinks - Ginger, Mango
Cognac & Brandy
World Malbec Day
Riesling
April
World Cocktail Day
Mother’s Day
Aussie Indie Beer
RTD & Seltzer
NOLO Alc & Cal Wine
Chardonnay
May
Aperitivo Winter
Retail Technology
Imported & International Beers
Australian Spirits
Family Wineries
Pinot Noir
June
Newcastle/ Hunter Drinks Provenance
Dry July - NOLO
Winter Beer Releases
North American Whisk(e)y
Retail Banner Groups
Cabernet Sauvignon
July
West Australian Drinks Provenance
Father’s Day
Premium Mixers
Coffee, Nut & Chocolate Liqueurs
Sustainability - Brands & production
Shiraz
August
South Australian Drinks Provenance
Home Cocktails
The Pink Dollar
Rum & Rhum Agricole
Stocking Imported Wines
Cabernet and/ or Shiraz Blends
September
BBQ Drinks Occasion
Prosecco for Spring
Alcoholic Seltzer
Premium Gin
Organic, Biodynamic & Vegan Wines
Rosé
October
Tassie Drinks Provenance
Aperitivo Summer
Summer Beer Releases
RTD
The Rosé Report
Sparkling, Prosecco & Champagne
November
New Zealand Drinks Provenance
Christmas
Summer Beer Retailing
Whisk(e)y Scotch & Irish
Sparkling & Champagne
Pinot Gris/ Grigio
December/ January
NOLO - Better For You Drinks
Australian Made/Australia Day
What’s Hot to Stock for 2023
Vodka
Wine for Summer
Semillon
154 | National Liquor News
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