National Liquor News October 2019 by The Intermedia Group

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

vol. 38 no. 9 - OCTOBER 2019

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WEDNESDAY 23RD OCTOBER 2019 THE STAR, SYDNEY Tickets for ALIA 2019 are now on sale! To book your tickets, go to

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Event includes premium selling workshops exclusive to retailers and a digital champions hub showcasing the latest in digital technology. David Smith, MD, Diageo Australasia

John Kollaras, MD, Kollaras & Co

Michelle Grujin, Managing Director, Retail, Accenture

Mauricio Vergara, MD, Bacardi-Martini Australia

Gavin Saunders, CEO, Liquor Marketing Group

Matt Michalewicz, Managing Director, Complexica

Cathi Scarce, Acting Chief Executive, Liquor, Coles Group

Dave Chaffey, Managing Director, Third Aurora

Jamie Cook, Co-Founder, Stone & Wood, Executive Chairman, Fermentum

Scott Ni, Senior Director Strategy & Operations, Alibaba Group

Suzie Shaw, Managing Director, We Are Social

Travis Fuller, Global Fine Wine Director, Pernod Ricard Winemakers

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50 inspiring speakers 3 streams across beers, wines and spirits 1 compelling day for suppliers, retailers and innovators Endless opportunities to discover the innovations to power your future growth

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â&#x20AC;&#x2DC;For 36 years National Liquor News has been the leading trade publication communicating news, trends and in depth features to educate and inform liquor retailers nationally.â&#x20AC;&#x2122;

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EDITOR’S NOTE

Editor’s Note

elcome to the October issue of National Liquor News. October is always an exciting time for us as we countdown to the Australian Liquor Industry Awards (ALIA) – a celebration of the wonderful people that work so hard to make this industry as great as it is. In this issue, we announce the off-premise finalists for ALIA 2019 – a huge congratulations to all of you. In particular, I’d like to congratulate the finalists of the Liquor Store of the Year award – it’s great to see some different stores being recognised as a finalist this year, but it’s also exciting to see that The Oak Barrel has once again made the cut. To the best of my knowledge, The Oak Barrel has been a finalist the last five years running, which is a truly outstanding achievement, so congratulations! You can find the full list of finalists beginning on page 12. This month will also see Australia’s first crossliquor innovation summit come to Sydney, and with more than 50 speakers already confirmed, it will be one not to miss. The event focuses on how advances in technology are revolutionising the way liquor is produced, marketed, sold and consumed in Australia and across the globe, and is going to have some of the most prominent leaders in the industry on stage and in the room – you can read more about it on page 18. One of those speakers will be Australian Liquor Marketers’ (ALM) new CEO, Chris Baddock, who is speaking about how the wine premiumisation trend is transforming the growth of premium private labels. Last month, we spoke to Chris and were inspired by his vision of fighting for the independents. In this issue, our journalist Brydie Allen, attended the 2019 Independent Brands Australia (IBA) Trade Workshop, where she reported on its theme of “purpose, passion, partnership”.

Brydie’s coverage of the IBA Trade Conference begins on page 50. The theme of “purpose, passion, partnership” really resonated with me and basically encapsulates all that I believe the independent retail liquor space to be. It’s an inspiring vision that is no doubt a part of the reason why so many of IBA’s banners have been named as finalists for the ALIA Liquor Group of the Year award this year. Moving on, in this issue we’ve got a focus on the phenomenal growth of canned drinks. On page 48, Daniel Bone from IRI gives us insights into the reasons why shoppers are responding so well to canned products and tells us that growth in cans has exceeded growth in bottles across all forms of alcohol. You can read all about it on page 48. And while we’re on the topic of cans, Gage Roads has responded to consumer demand by releasing its popular Single Fin and Little Dove beers in cans, and has also launched a new canned beer, the Side Track All Day XPA, which you can read about on page 36. We also have our regular contributions from Retail Drinks Australia, Spirits and Cocktails Australia, Wine Australia, as well as hearing from our merchandising experts at Strikeforce and our leasing expert at eLease Lawyers. You can keep your feedback coming through djackson@intermedia.com.au, we are always keen to hear your feedback, look at issues concerning you at the moment, and making sure we make this mag work for you.

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DISCLAIMER

top reads 79

Fizzing Over: Champagne and Sparkling

Staying in Style: RTDs

A Case for Craft: Cider National Liquor News is the official trade publication of Retail Drinks Australia.

8 | OCTOBER 2019 NATIONAL LIQUOR NEWS

This publication is published by Food and Beverage Media Pty Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by Australian and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials. The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement. The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information. All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded save for those conditions and warranties which must be implied under the laws of any State of Australia or the provisions of Division 2 of Part V of the Trade Practices Act 1974 and any statutory modification or reenactment thereof. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2019 - Food and Beverage Media Pty Ltd

30ML SMIRNOFF INFUSIONS SPIRIT DRINK, 90ML SODA. *Smirnoff Infusions (per 30ml): 38 calories. Average across 5 white wine varieties (per 150ml, FSANZ Australian Food Composition Database - Release 1.0): 105 calories.

CONTENTS

69 62 20 79

Contents October Wine 20 Yalumba: The family-oriented winery celebrates 170th milestone 22 Wick’s Estate: The Adelaide Hills winery revamps its image to engage a younger generation 24 Wine News: All the latest releases and wine news 28 Champagne Lanson: A Champagne that is uniquely both organic and biodynamic 30 Penfolds: We chat with former employees of the iconic Australian brand 54 Wine Australia: Peter Bailey talks about the rise of Prosecco in Australia 79 Champagne and Sparkling: Consumers are drinking less but are investing more in craft wines 90 Wine Tasting Review: All the results from our bubbles tasting

Brews 32 Brewing: What’s new in the world of beer 36 Canned Beer: Gage Roads Brewing responds to consumer demand for cans 62 Cider: A new wave of craft producers find opportunity in the cider category

10 | OCTOBER 2019 NATIONAL LIQUOR NEWS

88 Beer Tasting: We taste a selection of new release beers

Spirits 38 Spirits: The latest releases, news and promotions from the spirits category 56 Spirits & Cocktails Australia: Innovation in spirits create a great opportunity for retailers 60 Aperitivo: Galliano is tapping into its Italian heritage to increase awareness of the aperitivo occasion 69 RTD: Retailers should take note of RTD innovation from suppliers and consumer demand for convenience

Retail Focus 16 Drinks Innovation Summit: The summit will tap into next generation retailing techniques 42 Japanese Drinks: Retailers have more choice than ever when it comes to ranging Japanese drinks 44 Retail: E-commerce boosts sales for Bottlemart and Sip’n Save 46 Insights: Norrelle Goldring investigates the coming of age of crowdfunding

48 IRI Insights: The rise of the humble can at the checkout 50 IBA Conference: Brydie Allen reports from IBA’s annual Trade Workshop 43 Retail Drinks Australia: Committed to eradicating violence in the workplace 57 Merchandising: Strikeforce talks about the importance of first impressions 42 Retailer Profile: We chat with Nathan Pieters from Liquor Barons Marmion 47 DrinkWise: Driving change through collaboration 58 Leasing: Marianna Idas of eLease Lawyers simplifies Disclosure Statements 82 Shop Talk: We talk shop with BacardiMartini Australia and Camperdown Cellars

Regulars 12 ALIA 2019: Announcing the off-premise finalists for ALIA 14 News: The latest liquor industry news for retailers around the country 94 Events: An exclusive peek at last month’s launches and parties

INTRODUCING

OUR NEW PREMIUM LAGER IS BREWED CRISP AND CLEAN WITH A SUBTLE CITRUS HOP AROMA THATâ&#x20AC;&#x2122;S PERFECT FOR KICKING BACK WITH GOOD MUSIC AND MATES.

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ALIA 2019

2019 Finalists

The Australian Liquor Industry Awards (ALIA) celebrate the best products, people, brands and venues of the last 12 months. After the first round of voting we now have the 2019 ALIA Off-Premise Finalists with the winners to be announced at The Star on Wednesday 23 October.

BEER & CIDER Full Strength Beer Carlton Draught Coopers Pale Ale Emu Export Great Northern Original Melbourne Bitter Resch’s Tooheys Extra Dry Tooheys New Victoria Bitter West End Draught Light & Mid-Strength Boags Premium Light Carlton Cold Cascade Premium Light Coopers Mild Ale Great Northern Super Crisp Hahn Premium Light Iron Jack Little Creatures Rogers XXXX Gold Balter Captain Sensible Low Carb Burleigh Big Head Carlton Dry Coopers Dry Hahn Super Dry Hahn Super Dry 3.5% Pure Blonde Premium Mid Pure Blonde Premium Ultra XXXX Summer Bright Lager XXXX Summer Bright Lime Carlton Dry Natural Lime Premium Domestic Boag’s Premium Cascade Premium Lager Coopers Best Extra Stout Coopers Celebration Ale

Coopers Session Ale Coopers Sparkling Ale Crown Lager Furphy Refreshing Ale Coopers Premium Lager Frothy Premium International Asahi Super Dry Beck’s Budweiser Carlsberg Corona Extra Heineken Peroni Leggera Peroni Nastro Azzurro Sapporo Stella Artois Mainstream Craft Cricketers Arms Spearhead Pale Ale Fat Yak Pale Ale James Squire 150 Lashes Pale Ale James Squire Chancer Golden Ale James Squire Hop Thief Little Creatures Pale Ale 4 Pines Pale Ale Mountain Goat Steam Ale Pirate Life Mosaic IPA Wild Yak Pacific Ale Independent Craft Balter XPA Batch Pash The Magic Dragon Colonial Pale Ale Gage Roads Single Fin Summer Ale Stone & Wood Pacific Ale Young Henry’s Newtowner

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Gage Roads Little Dove Matso’s Ginger Beer Bentspoke Crankshaft Balter IPA Cider 5 Seeds Crisp Little Fat Lamb Mercury Draft Mercury Hard Pure Blonde Rekorderlig Somersby Strongbow Classic Strongbow Crisp Willie Smith’s Best Beer Marketing Carlton Draught Coopers Furphy Gage Roads Great Northern Little Creatures Stone & Wood Tooheys Victoria Bitter XXXX Yak Beers Young Henry’s

WINE Red Wine under $14.99 19 Crimes Brown Brothers Cienna De Bortoli Deen Vat Series Fifth Leg Gossips Jacob’s Creek Classic Jacob’s Creek Reserve McGuigan Black Label

Wolf Blass Red Label Yellow Tail Red Wine $15-$29.99 Annie’s Lane Devil’s Corner Jacob’s Creek Double Barrel Penfolds Koonunga Hill Pepperjack Peter Lehmann Portrait Taylors Jaraman Wirra Wirra Church Block Wynn’s Coonawarra St Huberts The Stag Red Wine over $30 Brown Brothers Patricia Penfolds Bin Range Penfolds Grange Penfolds Max’s Penfolds RWT Penfolds St Henri Pepperjack Premium Cut Peter Lehmann Stonewell St Hugo Taylors St Andrews White Wine under $14.99 Brown Brothers Moscato Fifth Leg Gossips Hardys R&R Jacob’s Creek Classic Lindeman’s Bin Series Stoneleigh Core Wolf Blass Red Label Yalumba Y Series Yellow Tail White Wine $15-$29.99 Devil’s Corner Giesen Jim Barry Watervale

Kim Crawford Regional Reserve Oyster Bay Shaw & Smith Squealing Pig Taylors Estate Villa Maria Private Bin McGuigan The Shortlist White Wine over $30 Cloudy Bay Pelorus Coldstream Hills Devil’s Lair Estate Leeuwin Art Series Leeuwin Estate Prelude Penfolds Bin Range Penfolds Max’s Petaluma Yellow Label Pierro Shaw & Smith M3 Rosé Bird in Hand Fifth Leg Jacobs Creek Classic Jacob’s Creek Cool Harvest Jacob’s Creek Le Petit La La Land Mateus Squealing Pig Turkey Flat De Bortoli La Bohème Australian and International Sparkling Brown Brothers Prosecco Chandon Grant Burge Sparkling Jacob’s Creek Sparkling Jansz Oyster Bay Petaluma Croser Tempus Two Yellow Tail Yellowglen Colours

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Champagne Billecart Bollinger Dom Perignon G.H. Mumm Cordon Rouge NV Moët & Chandon Imperial Perrier-Jouët Pol Roger Ruinart Taittinger Veue Cliquot Yellow Label Dessert and Fortified Brown Brothers Australian Tawny De Bortoli Noble One Galway Pipe McWilliams Royal Reserve Penfolds Club Reserve Renmano Tawny Stanley Tawny Stones Ginger Wine Wolf Blass Red Label Tawny Morris of Rutherglen Classic Canned Wine Ativo Brown Brothers Spritz Innocent Bystander Jacobs Creek Cool Harvest Jacobs Creek Moscato Riot Rosé Rosé Rosé Squealing Pig T’Gallant Best Wine Marketing Brown Brothers De Bortoli G H Mumm Hardys Jacobs Creek Perrier-Jouët Riunite Squealing Pig Tempus Two Wolf Blass Yalumba

Non-Alcoholic Product ALTD Spirits Golden Emperor Blue Nun Carlton Zero Coopers Ultra Light Heineken 0.0 Holsten 0.0 Lyre’s Coffee Liqueur Lyre’s Dry London Spirit Palermo Rosso Seedlip Garden 108

SPIRITS Dark Spirit up to $69.99 Bundaberg UP Canadian Club Captain Morgan Chivas Regal 12 Year Old Jack Daniel’s Jameson Jim Beam White Johnnie Walker Black The Kraken Spiced Rum Wild Turkey 86.8 Southern Comfort Light Spirit up to $69.99 Absolut Bacardi Superior Bombay Sapphire Gordon’s Grey Goose Russian Standard Skyy Vodka Smirnoff Red Tanqueray Vodka O Tovaritch Jose Cuervo Tequila Luxury Dark Spirit over $70 Chivas Regal 18 Year Old Glenmorangie Hennessy VSOP Johnnie Walker Blue Johnnie Walker Gold Lagavulin Laphroaig Martell VSOP Talisker The Balvenie 12 Year Old

Luxury Light Spirit over $70 Adelaide Hills 78 Degrees Archie Rose Signature Dry Gin Don Julio Blanco Four Pillars Rare Dry Gin Hendricks Herradurra Ink Gin Patron Silver Star of Bombay Tanqueray Ten Liqueurs Baileys Irish Cream Chambord Cointreau Frangelico Galliano Jägermeister Kahlúa Malibu Midori Mr. Black Tia Maria Drambuie Dark RTD-RTS Bundaberg UP Canadian Club Jack Daniel’s Jack Daniel’s Double Jack Jameson dry 6.5 Jim Beam Black Jim Beam White Wild Turkey 101 6.5% Woodstock Black Woodstock Gold Southern Comfort & Cola Wild Turkey 5% Light RTD-RTS Bacardi Breezer Gordon’s Gin & Tonic Midori Illusion Pimm’s No1 Cup Ruski Smirnoff Ice Double Black Smirnoff Ice Red Smirnoff Pure UDL Vodka Cruiser

Best Spirit, RTD, RTS Marketing Absolut Bombay Sapphire Bundaberg Rum Canadian Club Glenfiddich Gordons Grey Goose Jameson Johnnie Walker Laphroaig Southern Comfort The Kraken Spiced Rum

MAJOR AWARDS New Product of the Year 4 Pines Pacific Ale Ailsa Bay Allt-A-Bhannie Canadian Club Zero Sugar Carlton Zero Coopers XPA La Bohème Cuvée Rosé Little Creatures XPA Lyre’s Non-Alcoholic Spirits Mo-Town Shiraz Never Never Juniper Freak Suntory Roku Gin Liquor Brand of the Year Archie Rose Bacardi Brown Brothers Buffalo Trace Coopers Four Pillars Glenfiddich Great Northern Jameson Johnnie Walker Penfolds The Kraken Spiced Rum Liquor Group of the Year Bottlemart Bottler Cellarbrations Dan Murphy’s First Choice Liquor Market Liquor Barons

Liquor Legends Liquor Stax Local Liquor Porters Super Cellars Thirsty Camel Liquor Store of the Year Bayswater Fine Wines, Rushcutters Bay, NSW Booze Brothers, The Mile End, SA Carwyn Cellars, Thornbury, Vic Cutty Cellars, Crows Nest, NSW Elizabeth Bay Cellars, NSW Liquor Barons, Ellenbrook, WA Plonk, Fyshwick ACT Sense of Taste Portside, Hamilton, QLD The Dutch Trading Co, Perth The Oak Barrel, Sydney, NSW Vine Wine, Redfern NSW Warners at the Bay, NSW Off-Premise Supplier of the Year Asahi Premium Beverages Bacardi-Martini Australia Brown Forman Cerbaco Coca Cola Amatil Diageo Kollaras & Co Lion Pernod Ricard SouthTrade International Spirits Platform Treasury Wine Estates William Grant & Sons

NEWS

Total alcohol consumption remains at 50-year lows The latest data from the Australian Bureau of Statistics (ABS) has shown that while total alcohol consumption in Australia has remained steady, there has been a rise in spirits consumption while other categories have either fallen or remained steady. Alcohol Beverages Australia (ABA) said that the data shows the majority of Australians are still enjoying alcohol responsibly and we are still drinking at 50-year lows. “It’s really important that we understand the bigger picture at play here,” said ABA CEO Andrew Wilsmore. “The data still shows a long-term decline in consumption which means the vast majority of Australians are enjoying alcohol responsibly and in moderation.” He added: “The small rise in consumption of spirits reflects the growing number of boutique distilleries and cocktail bars which has led to increased choices for consumers. There has been significant innovation in this area in the last couple of years. “While the mix of what people are drinking is changing, overall, we know from the Australian Institute of Health and Welfare that drinking at harmful levels and underage drinking is at record lows, and those statistics are more insightful than per capita figures. “A significant cultural shift has taken place, with the largest decline in figures coming from young people aged 18-24, who are drinking far less than any generation before them.” Speaking about the data Robert Long, ABS acting Director of Health Statistics, said: “In 2017-18, the total alcohol consumed in Australia was equivalent to 9.51 litres for every person in Australia aged 15 years and over, similar to the 9.48 litres in 2016-17. “In average daily consumption, this equates to 2.08 standard drinks per person and is unchanged from 2016-17. What is interesting is that we are seeing a rise in spirit consumption which has been on a recent downward trend,” he said. “Spirits and RTD beverage consumption increased from 1.79 to 1.89 litres per capita over the previous year. Beer consumption was relatively steady at 3.71 litres per capita, while wine consumption, which has recently been virtually equal to beer, has decreased slightly from 3.74 to 3.67 litres per capita over the same period.” “This latest data shows a levelling in the most recent period of the longer term trend where pure alcohol consumption per capita dropped from 13.09 per person in 1974-75 to 9.51 litres in 2017-18.”

14 | OCTOBER 2019 NATIONAL LIQUOR NEWS

Shane Richardson

CCA details management and organisational changes Coca-Cola Amatil (CCA) has revealed management and organisational changes as part of a two-year transition phase as the group targets a return to mid-single digit earnings per share growth from 2020. In detailing the organisational changes, Group Managing Director, Alison Watkins, said the moves would further integrate beverage categories across each country and see them managed in line with geographical responsibilities. This means that the Australian-based alcohol and coffee portfolios will join the Australian Beverages team under the leadership of Peter West. Further Alcohol and Coffee in New Zealand, Paradise Beverages in Fiji and Samoa, and the international alcohol sales team, will join the New Zealand and Fiji businesses under the leadership of Chris Litchfield. The coffee portfolio in Indonesia will be part of the Indonesian business under the leadership of Kadir Gunduz. That change to the Australian Alcohol and Coffee business means that its Managing Director Shane Richardson will leave CCA after five years with the business. Watkins paid tribute to the work Richardson has done in his time with the business, and the strong performance of the Alcohol and Coffee business. “Shane is a recognised leader in the beverages industry and has brought tremendous drive and energy over his almost six years with us. We owe him deep gratitude for his outstanding leadership of Alcohol and Coffee, and for his dedication to brand partners, customers, consumers and the portfolio. “The results under Shane’s leadership have been remarkable, more than doubling the business’ profits over the last five years, establishing a highly successful business today and setting us up for strong performance well into the future. “On behalf of Coca-Cola Amatil we thank Shane and wish him all the best for the future.” Watkins said these changes did not affect Amatil’s portfolio range, availability or any current or projected growth plans for Alcohol and Coffee.

NEWS

Metcash evolves and premiumises its private label range Metcash is continuing to improve and develop its liquor business and store network, which includes the ongoing evolution and premiumisation of its private label range. Speaking at the Group’s Annual General Meeting recently, Group CEO Jeff Adams laid out the details of the liquor business, store investment and core range. Adams also spoke about the plans for the future of the liquor business and also detailed how the premium consumption trend has continued in the first quarter of the 2020 financial year. Adams told the AGM: “We have once again made good progress with our store investments to improve the quality of the IBA network. A further 81 stores were refreshed and 110 cool rooms upgraded, bringing the totals to around 330 and 610 respectively. “In our private and exclusive labels initiative we now have about 80 SKUs across the wine, beer and spirits categories. Sales continue to grow strongly, particularly in the wine category, which was up 20 per cent on the prior year. The wine category now represents around 85 per cent of total private and exclusive label sales. “In our core range we continue to have a strong focus on providing a regionalised core range, tailored to the local community and to the changing consumer trends. Quality stores, conveniently located, with localised ranges and with personable and knowledgeable service is what differentiates our IBA network and provides us with a competitive advantage.” Adams addressed the first quarter performance of the liquor business, which is showing some growth, as the premiumisation trend continues. “In liquor, the premiumisation consumption trend has continued into the first quarter of the 2020 financial year; total liquor sales, including charge-through for quarter one, was up 0.7 per cent versus a previous comparable period growth of 5.6 per cent. “Liquor sales growth in financial year 2019 did include the benefit of the cycling of additional new contract customers in financial year 2018.” Concluding his presentation at the AGM, Adams said: “While we continue to have highly competitive and challenging markets, I’m generally excited about our plans for the future. I’m also very encouraged by the enthusiasm and passion I have experienced from our independent retailer and supplier partners to ensure the independent retail sector remains strong and grows.”

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Dan Murphy’s Darwin application rejected The Northern Territory Liquor Commission has considered, and rejected, the application by Endeavour Drinks Group to build a Dan Murphy’s store in Darwin. In its report the Commission said that while it was not opposed to the concept of a Dan Murphy’s in Darwin, given everything it has to consider as part of an application for a store of this size, it could not approve the application for the store in this particular site. “The Commission is of the view, on the evidence presented, that the Applicant has not satisfied us on the balance of probabilities, that the benefits to be derived from the grant of the application outweigh the potential for a significant increase in harm due to the use of liquor, over and above that already occurring within the community areas.” It added: “Having now heard all the evidence and considered the detailed and thoughtful submissions of the Applicant, the Commission wishes to make clear that it is not opposed to the concept of a Dan Murphy’s store in Darwin. However, this is provided that the limitations associated with a substitution application, can be addressed, an appropriate site can be identified and provided that the density impact can be reduced. The report did acknowledge some of the potential benefits that the proposed store would bring to the area in terms of economic benefits from the construction and proposed improvements to the intersection adjacent to the store. It added that there is significant support from some sections of the community and that there would be an increase in competition and the benefits that such competition provides to responsible consumers. However the Commission determined that the community area within two kilometres of the site did stand “to be most adversely impacted were the application to be approved”. It added: “We find that the harmful consequences of easier access to cheaper alcohol for this community will be significant and greatly outweigh the benefits the store would provide. Having heard the evidence, and from our own experience with life in Darwin, we are left wondering why this site with all its attendant risks was chosen as the place to build the Territory’s largest liquor store?” Endeavour Drinks’ General Manager Corporate Services, Shane Tremble, told TheShout that Dan Murphy’s has been planning the development in Darwin for three to four years and that the proposed store would have had the most rigorous processes in place to ensure appropriate responsible service standards “We’re disappointed with the decision because it means the NT continues to miss out on new investment, jobs and greater shopping choice for local customers,” Tremble, said. “We’re carefully reviewing the decision and considering our next steps.”

CHECK OUT THESHOUT.COM.AU NATIONAL LIQUOR NEWS OCTOBER 2019 | 15

NEWS

LSA WA and MGA join forces The Liquor Stores Association of Western Australia (LSA WA) and Master Grocers Australia (MGA) have joined forces to better support their membership of independent liquor retailers. MGA CEO, Jos de Bruin and LSA WA Chair, Lou Spagnolo, both said that the Memorandum of Understanding will strengthen the voice of independent retailers in Western Australia and will work towards delivering a more secure and sustainable retail sector for independent packaged liquor store owners. The two met for discussions earlier this year, along with MGA Liquor President George Kovits, MGA WA Director and WA retailer, Ross Anile and LSA WA CEO, Peter Peck. The meeting confirmed that the two businesses are aligned in their interests for independent liquor retail and that they would be stronger working together. LSA WA Chair, Spagnolo, said: “The two organisations both recognise the important role each plays in the retail and packaged liquor industry. Working to our obvious strengths we will strive to deliver to our members a more secure retail sector and a more diverse packaged liquor industry in Australia.”

L-R: MGA CEO Jos de Bruin, MGA WA Director Ross Anile, LSA WA Chair Lou Spagnolo, LSA WA CEO Peter Peck MGA CEO, de Bruin, said: “The successful meeting confirmed the two organisations are very much aligned to supporting its family and privately-owned retail businesses and delivering a national support framework which will benefit all members. There is no ambiguity as we do not represent the interests of big business.” They continued: “By both organisations committing to a Memorandum of Understanding and recognising that our members and associations independence is

respected, our purpose to develop a strong sustainable national independent package liquor industry sector will be further strengthened, benefiting all our independent retail and packaged liquor members in WA and nationally, around Australia.” MGA Liquor President, George Kovits said: “This initiative will drive certainty and confidence for our 1,200 members selling packaged liquor, enabling stability and security for their businesses and families into the future.”

ACCC highlights “significant concerns with customer loyalty schemes” The ACCC has released for comment its draft report into customer loyalty schemes, which has highlighted a number of concerns from the competition regulator. The regulator said that customer loyalty schemes, including frequent flyer, supermarket and credit card operators, must ensure they are not misleading consumers. The ACCC’s Customer Loyalty Schemes draft report highlights a number of concerns: • whether consumers receive the benefits advertised by loyalty schemes • unilateral changes by loyalty schemes to their terms and conditions, and poor communication about how their schemes work • poor disclosure about how consumer data is used and shared, including selling insights from consumer data to other parties without consumer knowledge and • the sharing of consumer data with unknown third parties. The draft report shows almost nine in 10 adults are members of a loyalty scheme, with the average Australian carrying between four to six loyalty cards. Some of the most popular Australian loyalty schemes report having more than 10 million members.

16 | OCTOBER 2019 NATIONAL LIQUOR NEWS

“The privacy policies of these schemes are frequently very vague and don’t tell consumers who their data is being shared with or how it is being used, shared or monetised,” ACCC Chair Rod Sims said. “The data that loyalty schemes collect can be used to profile consumers and produce insights about their purchasing behaviour. These insights about consumers may then be shared with or sold to third parties. “Consumers may also be shocked to find that some schemes collect their data even when they

don’t scan their loyalty cards, or that they combine it with data from other sources that they might not even be aware of.” Loyalty schemes can contribute to a significant proportion of a company’s profits. Some loyalty schemes generate $110 million – $370 million in earnings each year. “Most people think they are being rewarded for their loyalty with discounts or points, but in reality some schemes are building up detailed profiles about consumers and selling those insights to other businesses. Selling insights and access to loyalty scheme members are becoming increasing sources of revenue,” Sims said. He added: “Loyalty scheme operators must ensure they comply with the Australian Consumer Law, including by avoiding statements that are incorrect or likely to create a false impression, and avoiding unfair contract terms. “Having put loyalty operators on notice, we call on consumers to contact the ACCC to report concerns. The ACCC will consider these concerns in deciding whether enforcement action will be required to effect broader change.” Anyone wishing to comment on the draft report can head to the ACCC website.

Lou makes a FIFO worker an offer he can’t refuse

When it comes to the liquor game, Lou has it wrapped up tighter than a Cuban cigar. Whether you come in for a bottle of wine or to have chat & cappuccino, Lou will look after you. On a Thursday afternoon the annoying drone of a hipster talking shit about wine rings out through the shop. A man whose top-knot appears to be trying to communicate with his home planet of Wanktopia is at the tastings table. “Oh ma gawd darling, refrigerated Sav Blanc? Should be far warmer, I would know, I’ve been to France twice” The pretentious gourmand is an unfortunate casualty of gentrification, an ever creeping presence in suburban bottle shops. Lou signals for a manager to talk to him, “please educate our friend over there, a Sauvignon Blanc is a wine best served cold”.

A few hours pass and a FIFO worker blows in like a Pilbara cyclone. He has the undeniable thirst of a man eager to throw a handful of pineapples into the blender of hedonism and get juiced up. The man is loudly serenading the store with an ode to his own spending power, “does this $200 one go orright with coke or nah? Moiggght just go the Makers Mark ay”. Like Natalie Imbruglia with one ply toilet paper he is torn. How one man can sound like an entire wetmess at an end of child maintenance payments party is a mystery. Nevertheless, the noise is interfering with a meeting Lou is having. He gestures for his manager to approach, “this man has no respect, I want you to make him an offer that he cannot refuse”.

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A dramatic pause falls over the meeting room. The manager nods, “yes, sir”. He knows what must be done. The manager approaches man, “I see you’re looking at that Glenfiddich 21 year, fantastic Scotch, best served neat. Although, I’ve been instructed to make you an offer. Buy both bottles and we’ll throw in this Jim Beam promotional cool bag?” Ah, alcohol related paraphernalia is the kryptonite of the bogan. The man appears hypnotised by the free bag and as predicted by Lou, he is unable to refuse the offer. “DEAL mate”. Peace falls over the store, Lou has restored balance. @belltowertimes

We encourage and embrace our stores individuality, visit liquorbarons.com.au for more great stories.

CONFERENCE John Kollaras

Chris Baddock

Scott Ni

Innovation summit taps into next generation retailing techniques

Andy Williamson

With over 50 speakers confirmed for the first Drinks Innovation Summit, which takes place at Sydney’s Hyatt Regency Hotel on 29 October 2019, the event’s organiser Paul Wootton, also behind National Liquor News, explains the key topics under discussion.

e launched this one-day conference aimed at liquor suppliers, marketers and retailers because there’s such an obvious need. Retailers are constantly telling us how hard it can be to stay abreast of the latest opportunities to grow their business, particularly in these more challenging economic times. That’s why I’m so excited the summit is now imminent. The event focuses on how advances in technology are revolutionising the way liquor is produced, marketed, sold and consumed in Australia and across the globe, and we’re going to have some of the most prominent leaders in the industry on stage and in the room. There are some subjects I’m particularly excited about. We’ll have Cathi Scarce, Acting Chief Executive of Liquor within Coles Group on a panel exploring ‘disruptive e-commerce models’ alongside Vinomofo’s Co-Founder and CEO, Justin Dry – one of the biggest disruptors in Australian wine retail. They’ll be joined in the same panel discussion by Alibaba Group’s Scott Ni and the founder of BoozeBud, Andy Williamson. Having these four reveal how to reach, engage and measure today’s empowered consumers is going to be an absolute eyeopener, I really believe. Other panels will touch on ‘big data’ and AI, we’ll have a data-led keynote from IRI’s Insights Director Daniel Bone, not to mention our climate change ‘fireside chat’, which will be really timely given the recent global climate strike protests. There’ll be

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tangible outcomes retailers can all get on board with through their businesses to actively confront some of these issues. I’m also excited we’re able to offer three different streams taking place simultaneously so visitors can choose their own adventure, covering off wine innovation, beer and cider innovation, and spirits and cocktails innovation. ALM, Metcash’s CEO Chris Baddock will be chatting alongside Kollaras & Co’s Managing Director John Kollaras about how wine premiumisation is transforming the growth of premium private labels. Meanwhile some serious heavyweights will explore whether rum will be the next growth spirit after the current ‘ginaissance’. Expect Bacardi-Martini’s Managing Director Mauricio Vergara and Diageo Australia’s Managing Director David Smith to share some key insights on that. Meanwhile Fermentum’s Executive Chairman Jamie Cook will be explaining how small businesses can achieve big marketing – he should know, being the man behind Stone & Wood and President of the Independent Brewers Association. We’ll also be looking at the rise and rise of non-alcoholic cocktails, the next wave of RTD packaging, the issue of biosecurity and wine tourism, crowdfunding, future wine trends and more. The event will also incorporate Retail Drinks Australia’s annual Liquor Retail Summit. There’s too much going on to detail it all here – visit the summit website for everything you need to know, it’s not too late to pick up the final few remaining tickets.

Justin Dry

Cathi Scarce

Daniel Bone

Hyatt Regency Hotel, Sydney Tuesday 29 October 2019 Tickets and further information online via bit.ly/DrinksIS

COVER STORY

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COVER STORY

Keeping it in the family for 170 years Yalumba Family Winemakers celebrate a massive 170 years in 2019. One of three Samuel Smith & Son wineries with significant milestones this year, Yalumba keeps family at the heart of everything they do, as Brydie Allen discovers.

ne of Australia’s oldest wine distribution companies, Samuel Smith & Son (SS&S), is celebrating significant anniversaries this year for three of their South Australian wineries. In 2019, Wirra Wirra celebrates 50 years since being “re-born” and 125 years since its original establishment, Jim Barry celebrates 60 years, and Yalumba Family Winemakers celebrates an incredible 170 years. SS&S, much like its sister company Negociants Australia, only represents 100 per cent family-owned wineries, such as the ones that are celebrating anniversaries this year. Paul Midolo, Executive Director Strategy and Trading at SS&S, said the distributor has a strong connection with its wineries. “Working with other family-owned businesses is a strong focus for us and has been since 1923,” Midolo said. “We all have long-term visions and we are working together to achieve our goals, which makes celebrating these significant milestones with our partners extra special.” One of these partners, Yalumba, is Australia’s oldest family-owned winery, now with 170 years of unbroken independence. Yalumba wines continue to be made at the home estate of its founder, under the direction of the same family. “Over 170 years, Yalumba’s journey has been all about vision, fortitude, survival and innovation: about looking onwards and upwards,” said Robert Hill-Smith, Yalumba Chairman and great great grandson of founder Samuel Smith. There have now been six generations in the family’s business, with Robert welcoming daughter Jessica Hill-Smith as Brand Manager this year. The importance of family heritage and history is celebrated in a film campaign recently released by Yalumba, prompting viewers to “embrace the magnificent unknown”. Commemorating 170 years, the film celebrates the leap into the unknown that Samuel Smith first took when he planted the first Yalumba vine in the moonlight, letting nature lead the way. The important anniversary milestone was also cause to pay homage to Samuel in a new product range, with 2019 seeing the release of Samuel’s Collection. The collection honours Samuel’s spirit of independence and conviction

“Over 170 years, Yalumba’s journey has been all about vision, fortitude, survival and innovation: about looking onwards and upwards.” – Robert Hill-Smith, Yalumba Chairman to invest in the land to make great wine. Samuel’s Collection’s range of reds and whites showcases Yalumba’s long presence in the Barossa and beyond, as well as its direct lineage to some of Australia’s first vine plantings, several of which were found in Samuel’s first vineyards. This longstanding connection to the Australian environment is something that also drives Yalumba’s constant and unwavering approach to sustainability. For generations, they have continued to strive to reduce their impact on the environment and stay involved in the local community. All wines in the portfolio have been vegan friendly as of 2011, with Yalumba being the first wine company in the world to receive the Climate Protection Award from the US Environmental Protection Agency in 2007. Hill-Smith said this focus has been developed thanks to their long and authentic history as a family business in the Barossa. “When you’ve been operating in a rural environment for 170 years, you learn a few things about the importance of sustainability,” he said. “We’re convinced our efforts in protecting

our natural resources reflect in the quality of wines we make. Quite simply, if we’re to focus on excellence in winemaking, it absolutely requires excellence in environmental management – the two are inseparable.” Visitors to the cellar door can experience this excellence for themselves in a uniquely special way, with the Yalumba Wine Room offering tastings of a curated collection of museum wines to celebrate their 170th year. For those who don’t make it to the cellar door, Yalumba is releasing 170 hand-numbered three litre bottles of The Signature Cabernet Sauvignon & Shiraz, presented in wooden boxes. Select Samuel’s Collection Magnums are also available in 170th anniversary branded gift boxes and can be ordered through SS&S. Meanwhile, the Hill-Smith family will be celebrating themselves with a small gathering for family and friends on the Yalumba Clocktower lawn. Built on the spot where Samuel planted his first vine 61 years earlier, the Clocktower is the perfect backdrop to celebrate the family’s milestone.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 21

WINE NEWS

Wicks Estate goes high fashion This cool climate winery just got cooler after undergoing a fashion forward facelift that aims to capture the attention of a new and younger audience.

he cool climate wines from Wicks Estate in the Adelaide Hills have been given a new lease on life after undergoing a packaging revamp that will appeal to a younger, more fashionable group of consumers. The family-owned and operated Wicks brand has grown quite organically since its first release in 2000 and has become a favourite in the Adelaide Hills. But CoFounder Simon Wicks says that over the past 19 years the market has changed, so it was time for Wicks to change with it. After consulting with Parallax Design the team was able to identify where the brand currently sat in the market, but more importantly, where it should be sitting. “We identified the audience for Adelaide Hills Sauvignon Blanc and Rosé, in particular, was female skewed and slightly younger than the traditional Wick’s customer base,” said Wicks. “Additionally, the South Australian Tourism Commission identified a spike in domestic visitors to the Adelaide Hills in the 35-44 age group and an increasing trend of female travellers. We therefore aimed to capitalise on these opportunities, target young Gen Xers and older Millennials, and produce wines that could fit right in with Australia’s fashion conscious crowd.” Fortunately, due to an existing 11-year partnership with Adelaide Fashion Festival, they knew they were already on the radar with Millennials, and in October last year the new look Wicks Estate Sparkling and Wicks Estate Rosé both enjoyed a highly

successful early-reveal at the event. But more than just looking great, the wine quality also speaks for itself, with Simon Wicks saying that cool climate wines are the way of the future. “Our Vintage Sparkling, Rosé and Pinot Gris have been flying off the shelf, particularly since we refreshed the brand and packaging. We have also just developed a new wine called PST!, a blend of Pinot Noir, Shiraz and Tempranillo. It is a delicious mid-weight food wine, and very popular with the on-premise trade,” he said. “Cool climate wines truly are the way of the future with global warming putting a strain on many of the traditional warmer regions. “On top of that, Adelaide Hills is one of the most exciting and in demand wine regions in Australia right now. We aim to be at the forefront of this continuing trend and provide not only consistency, but overdelivering in quality through management of the entire winemaking process. “The thing that drives all of us at Wicks, the thing that gets us up in the morning, is earning the trust of our customers through our wines – having them trust us to deliver vibrant, fresh and delicious cool-climate wine across our entire portfolio.” Wicks Estate Sparkling, Sauvignon Blanc, Riesling, Pinot Gris and Rosé retail for a recommended $20 per bottle, while the Wicks Estate Chardonnay and all red varietals retail for a recommended $25. The Wicks Estate wines are available at all leading liquor merchants around Australia.

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What is the key messaging for Wicks Estate? “Wicks Estate is a truly vertically integrated wine business based in the cool-climate region of Adelaide Hills. We own our own vineyards, and tend to every grape that ends up in a bottle of our wine. And our state-of-the-art winery is situated right in the middle of those vineyards. We have total control over every aspect of the winemaking process, and for that reason quality is consistent year on year,” Simon Wicks, Director

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WINE NEWS

Penfolds adds Pinot Noir to Max’s range Penfolds has released its first Pinot Noir under the Max’s tier, which commemorates former Chief Winemaker, Max Schubert AM. The 2018 Penfolds Max’s Pinot Noir joins the Max’s 2017 Shiraz, 2018 Chardonnay and 2017 Cabernet Sauvignon, which all retail for $35. Launched in 2016, Penfolds Max’s was created to celebrate Schubert who was one of the brand’s greatest legends, renowned for his innovative spirit, vision and determination together with his immeasurable influence on Penfolds’ ‘House Style’. Penfolds Max’s showcases wines that are charming in character, polished and carry an evenness and gloss. They are contemporary, expressive and vibrant upon release. These wines are immediately accessible but not without the assurance of more to come. Penfolds 2018 Max’s Pinot Noir exudes enticing aromatics, with exotic fruits of the forest leaping from the glass. Raspberry, black cherry, olive tapenade and oolong tea are framed by a subtle char-toast character. Hints of sea spray and a distinct Campari note linger. The aromatics flow through to the palate, with fresh dark cherries and raspberries to the fore. Underlying subtle red spice, sumac and paprika complement rosemary and oregano herbaceous flavours. Quartz like acidity provides vibrancy, framed by fine ‘al dente’ tannins. The range is available now through select fine wine retailers.

Mionetto gets mobile with Ape-ritivo Mionetto Prosecco will bring a little slice of Italy to retailers and venues along the eastern states of Australia this summer with the Mionetto Aperitivo travelling pop up bar. Sourced high in the hills of Valdobbiadene, within the heart of true Prosecco country, Mionetto Prosecco has been carefully crafted by the Mionetto family since 1887. It has aromas of Golden Delicious apple leading to an appealing palate of honey, green apple and peach with a lively and refreshing finish and is traditionally served as an aperitif in its native Italy. Mionetto Brand Manager Erwin Magat explains the ‘Aperitivo’ occasion quite simply, “Fare un’aperitivo is the Italian answer to happy hour – just with more food and a double shot of convivial Italian exuberance”. The Mionetto Prosecco Ape-ritivo combines two concepts – a sophisticated experiential space and consumer experimentation. “We will be serving Mionetto Prosecco to consumers in a truly memorable and Italian way and the Ape-ritivo enables us to connect with consumers

and prospects by reminding them of what they love about Prosecco and ‘La Dolce Vita’.” While the travelling Mionetto Ape-ritivo bar is logistically more suited to on-premise venues, it is also available to off-premise retailers who have the space available. And those retailers who can’t accommodate the space for the bar can also get in touch with their McWilliam’s representatives to discuss different ways to create trial and excitement of Mionetto in-store. “The Mionetto Ape-ritivo will offer a memorable drinking experience that can only be created by the temporary nature of a pop up. The travelling bar will spark excitement as it appears in different locations each time. The pop up bar may be temporary but the memories and impression they create are long lasting,” said Magat. “The Ape-ritivo is also available to off-premise customers to help raise awareness of Mionetto, to drive trial, consideration and conversion of Mionetto. And to secure premium off-locations in-store and implement experiential activation programs to disrupt the shopper.”

Accolade Wines appoints new ANZ Managing Director Accolade Wines has appointed Andrew Clarke as its Regional Managing Director, Australia and New Zealand. Clarke will start in the role in early 2020 and will become a member of Accolade’s Executive Leadership Team. Ari Mervis, Accolade Wines Executive Chairman, said: “I am delighted that a leader of Andrew’s calibre has accepted the opportunity to join us at this time. Accolade Wines is embarking on an exciting growth phase, and Andrew will play a crucial role by leveraging his excellent commercial skills and experience to enhance the company’s performance across Australia and New Zealand.” Clarke has significant experience in the FMCG sector and his most recent role has been as Commercial Director at Diageo, Australia. David Smith, Diageo Australia Managing Director, said; “All of us at Diageo Australia congratulate Andrew and wish him every success in his new role. He’s made a great impact in our business over the last two and a half years’ helping create strong outcomes for us and our customers. He’s a big leader and while I’m sad he’ll be leaving Diageo early next year, I’m delighted he’s staying in the great Australian drinks industry.” Prior to his time at Diageo, Clarke was Chief Executive Officer for Ingham’s Enterprises, Australia’s leading poultry business, and before that held senior commercial roles at both Mars and Campbell-Arnott’s.

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Andrew Clarke

WINE NEWS

Moppity owners Alecia and Jason Brown walk through the old block at Kerralee vineyard

Moppity Vineyards acquisition completes the ‘Holy Trinity’ Moppity Vineyards has strengthened its foothold in the Southern NSW wine region with the acquisition of the old Kerralee vineyard on the Barton Highway on the outskirts of Murrumbateman. This adds to the Moppity vineyard in Hilltops, which owners Jason and Alecia Brown purchased in 2004, and the Coppabella vineyard in Tumbarumba, which they purchased in 2011. The Browns have been driven by their passion to make cool climate, Southern NSW wines, and this latest investment gives them the opportunity to declare Canberra as their new central headquarters and extend their access to ultra-premium fruit. The move paves the way for a central, purpose built winery and cellar door to create and showcase wines from all three regions; Canberra, Hilltops and Tumbarumba. And Jason Brown said he’s excited to promote Southern NSW as one of Australia’s most exciting winemaking precincts. “I see Canberra, Hilltops and Tumbarumba as the Holy Trinity; the heart and soul of Southern NSW winemaking,” he said. “We’ve long held the belief that these areas can produce some of the best and most exciting wines in Australia. And now we are pleased to announce that we have a foothold in all three.” Plans are underway for the current Kerralee vineyard to be expanded to 7.5ha to include a range of new varieties and hero clones. Progress has already begun – the north block which was originally planted to Pinot Noir and Merlot in 1994, has been prepared for grafting Shiraz and Viognier. And the new south block is being prepared to plant more Shiraz, Grenache, Mourvedre, Cinsault and Riesling. “By 2021/2022 we should be in position to showcase wines from all three regions under one roof – they will form a strong alliance in promoting Southern NSW as one of Australia’s most exciting wine making precincts.” The new winery will raise the quality of Moppity and Coppabella wines through greater winemaking control, improved facilities, a reduction in grape transport quality impacts and a smaller environmental footprint. And the wines being produced on-site in Canberra will add yet another dimension to the Moppity portfolio. “If there’s one thing that’s excited me the most at Moppity, it’s the capacity to surprise people with our wines. Hilltops was underrated when we bought the (then dilapidated) Moppity vineyard from the hands of receivers in 2004. The Coppabella vineyard was struggling financially and on the verge of being removed before we bought it in 2011. On the back of a lot of toil, sweat and tears (and a little blood), we’ve resurrected both sites and they’ve achieved well-deserved acclaim since then. “Similarly, our new Canberra vineyard has phenomenal potential. A lot has changed in the years since we made our first wines. We’re constantly looking for ways to improve and evolve and I believe we’re at the top of our game today.”

Executive changes at Treasury Wine Estates Treasury Wine Estates has detailed some changes to its leadership team including a new role for Managing Director for Australia, New Zealand and Europe, Angus McPherson. There is also a new role for Chief Marketing Officer Angus Lilley, following the departure of Michelle Terry. In a statement, a spokesperson for TWE said: “Angus McPherson has been appointed President, Americas and Global Sales and will be based in our Americas Head Office in Oakland. In his Global Sales remit, Angus works across all regions to ensure we consistently drive sales strategies, execution plans and capability building through our sales leaders in every market.” The statement added: “Following Michelle Terry’s departure, Angus Lilley has been appointed Chief Marketing Officer, based in Melbourne. Angus joined TWE in 2013 and previously held the position of Deputy Chief Marketing Officer.” McPherson joined TWE in 2011 and was appointed to the role of Managing Director for Australia and New Zealand in 2014, adding Europe to his remit in 2018, and South East Asia, Middle East and Africa region in early 2019. Prior to joining TWE, McPherson worked for Casella Family Brands and Brown-Forman. Lilley now leads the marketing strategy and implementation for TWE’s portfolio of brands across every region.

Angus McPherson

NATIONAL LIQUOR NEWS OCTOBER 2019 | 25

WINE NEWS

Endeavour Drinks buys Chapel Hill and sets up Paragon Wine Estates Endeavour Drinks has revealed that it has bought McLaren Vale winery, Chapel Hill and that it will put the winery in its newly established Paragon Wine Estates portfolio. As well as Chapel Hill, Paragon Wine Estates (PWE) will be home to Endeavour Drinks’ other premium regional wine brands including Krondorf (Barossa Valley), Isabel Estate (Marlborough) and Riddoch (Coonawarra). Managing Director of Endeavour Drinks, Steve Donohue said: “This development is an important step in further enhancing our wine business ahead of the proposed transition of Endeavour Drinks to a stand-alone business after the planned merger with ALH in 2020. “Welcoming Chapel Hill to the group has inspired the creation of Paragon Wine Estates and is an exciting new element of our diverse Pinnacle Drinks business. “These great wine producers deserve special attention. Each one has a rich history and unique traditions which form the basis of their wonderful stories. We hope to share those stories with wine lovers the world over.” The purchase includes the Chapel Hill cellar door, together with associated buildings and 40 hectares under vine. Longtime Chapel Hill Chief Winemaker and CEO Michael Fragos said: “Our team will remain with Chapel Hill and the winery’s important

Chapel Hill CEO Michael Fragos and Endeavour Drinks’ Steve Donohue relationships with grape growers will also remain unchanged as a result of this acquisition. “Over the past five years we have enjoyed a very close and successful working relationship with Endeavour Drinks. The team at Chapel Hill now enthusiastically looks forward to working with the Endeavour team to continue to enhance the wonderful reputation and pedigree that Chapel Hill has garnered since it was established in 1971.” In terms of establishing PWE, Donohue told the Australian Financial Review that

Endeavour Drinks sees the move as an important step for the wine business ahead of its proposed merge with ALH and demerger from the Woolworths Group. “We have a large number of brands but arguably none have as rich a history and as great opportunities as the four we are putting into Paragon,” Donohue said. “We’re able to demonstrate to the industry the seriousness of our commitment and the extent to which we intend to participate in the production side.”

Wolf Blass celebrates innovative winemaking with Makers’ Project Wolf Blass has launched a new range of wines, which consists of six varietals that celebrate the “artistry and skill” of the brand’s winemaking. The Wolf Blass Makers’ Project highlights the three key techniques which the Wolf Blass winemakers followed, namely: • Free Run Wine – the process when the grapes are crushed into the press and all the juice that can freely drain from the skins to the tank is referred to as ‘free run’. This produces wines that are balanced in acidity with high levels of purity in fruit, aroma and flavour – such as the Makers’ Project Pink Pinot Grigio and Reserve Rosè. • Partial Whole Berry Fermentation – the winemakers ferment a higher portion of whole berries, which leads to more full fruits and robust flavours with gentle complexities and spice characteristics. Try Makers’ Project Pinot Three or Reserve Shiraz to see this in practice. • Early Press – pressing is the process that separates the grape juice from its skins. Flavour and structure are extracted and by pressing early, before the completion of fermentation, a softer wine with fresh, bright fruit characters is created. Makers’ Project Shiraz Grenache and Pinot Noir

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are perfect examples of this. “Wolf Blass is known for creating great tasting wines that suit all occasions and are enjoyed by people the world over. The new Wolf Blass Makers’ Project is no different,” Nick Powell, Wolf Blass Global Marketing Manager said. “It builds on Wolfgang Blass’s original vision

to create wines that not only taste great, but are wines that people want to drink. “This new range features wines that our winemakers love to make, wines that highlight the innovative quirks as well as the unique winemaking processes that make them not only delectable, but fresh, original and exciting.

WINE NEWS

De Bortoli adds to its Woodfired range De Bortoli has added to its Woodfired range with a Heathcote Cabernet Sauvignon joining the popular Heathcote Shiraz from the familyowned winery. Speaking about the wine, Chief Winemaker Steve Webber, said: “There is a renaissance to charcoal cooking and woodfired oven cuisine. We are always looking for wines to match and our new Woodfired Heathcote Cabernet Sauvignon strikes all the right notes. “The climate and deep red ancient Cambrian soils of Northern Heathcote are ideal for producing the perfect red wine to accompany chargrilled meats and artisan pizzas.” The tasting notes for the wine read: “Intense dark colour red with purple edge. Ripe blackberry and blueberry characters, cedar-wood and liquorice. Soft, rich, mouth coating, balanced tannin, hints of classic Cabernet and authentically Heathcote.” The wine has started life well, taking out the ‘Best Cabernet’ trophy at the 2019 Heathcote Wine Show. It is presented in a tall claret bottle, has a $22 RRP and will be available at leading independent liquor retailers.

AMBER KING (L) SUE LAURITZ (R) Directors, BrightSide

DIVERSITY IN THE DRINKS INDUSTRY The story of employment over the last decade is undoubtedly the rise of diversity in the workplace. Here at Brightside we’ve noticed that the drinks industry is certainly starting to take diversity seriously. A great example of this is the initiative by a group of 12 drinks companies to establish an industry-wide diversity and inclusion mentoring program that promotes workplace inclusivity. It’s extremely positive that employers are recognising how important it is to attract and retain a diverse workforce and create inclusive work environments where people feel they can speak up, be creative and do great work. Working with people from different backgrounds can be hard because our natural instinct is to gravitate to people who are like us, and confirm our views of the world. This can mean we overlook candidates from diverse backgrounds or shy away from alternative views. Unconscious gender biases, for example, are particularly entrenched and can easily influence decisions if we’re not aware of them. Traditionally we have expected women to show warmth, and men to show assertiveness and competence. Our notions of leadership are often associated with assertiveness and competence – in other words, masculine stereotypes. In workplaces, someone who behaves in a way that’s inconsistent with these stereotypes is less likely to be hired. There is a heightened expectation on recruiters and hiring managers to attract and increase a diverse talent pool of candidates. Increasingly we are being asked to include more females on our shortlists particularly for sales roles where at the more senior levels the female talent pool reduces dramatically. So how do we look to increase workplace diversity? What can employers be doing to foster a more diverse workplace? Write your job posting more carefully to appeal to a broader candidate pool. Think about the language you use, words like dominate could be less appealing to female applicants. Offer workplace policies that also appeal to a diverse candidate pool. For example, flexibility. This is crucial for return to work mums. Offering flexibility such as work from home options and flexible hours can make a huge difference in attracting talent and in reducing employee turnover. Use sourcing methods that contain more diverse candidate pipelines. Don’t rely on hiring through referrals. Often our networks are comprised of people who are similar to us demographically. LinkedIn’s data found that women are less likely to rely on their networks and more likely to search for jobs on third party websites and online job boards. Take advantage of using these tools or an external recruitment partner who can ‘sell’ your business (culture, leadership, vision) to attract alternative candidates. Recruiters and talent managers need an official system in place to increase diversity. Research has found that you can attract more diverse candidates through more carefully worded job postings, offering work flexibility, using personality assessment and tapping into alternative candidate pipelines. For all things sales and marketing please go to www.brightside.careers or call Sue Lauritz on 0403 063 128.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 27

SPONSORED CONTENT

Going green with Champagne Lanson Brydie Allen chats with the House of Lanson about how unique it is to produce a Champagne that is both organic and biodynamic.

he House of Lanson is one of Champagne’s oldest, starting in 1760. With a long history and commitment to tradition, the Champagne that comes from Lanson is always unique and has been revered by connoisseurs worldwide, including the British Royal family. Of their distinctive collection, one of the most special is the Green Label Champagne, the only organic and biodynamic Champagne available for retail in Australia. The Label is a symbol of Lanson’s pioneering efforts with environmental innovation. Brand Development Manager for Oceania, Laurent Valy said: “The whole process is very unique, from the vineyard to vinification (organic and biodynamic) up to the bottling process (lighter weighted glass) and recycled paper for the labels.” They’re industry buzzwords synonymous with being environmentally friendly, but what does it actually mean to be organic and biodynamic? To be certified ‘organic’ or ‘biodynamic’ and to have the words on your packaging, there’s usually a lot of hoops to jump through. It’s the specifics of these certifying hoops that make organic and biodynamic products special though, as they’re no easy feat to jump through. After all, if it were easy, wouldn’t everyone be doing it? The Lanson Green Label Organic Champagne has both certifications, thanks to a long held commitment to organic and biodynamic cultivation techniques. At the same time, Valy said it does not sacrifice the high quality, purity and elegance that the Lanson House is known for.

28 | OCTOBER 2019 NATIONAL LIQUOR NEWS

He said the Green Label is created “respectfully to Lanson DNA, with no malolactic fermentation and with the use of the three Champagne grapes in an equal proportion: 30 per cent Pinot Noir, 30 per cent Pinot Meunier and 30 per cent Chardonnay.” “The Green Label comes from a very unique Cru (vineyard) which extracts the magnificence of its characteristics, giving our Champagne fresh fruits and mineral notes.” This vineyard is located in Malmaison Estate at Verneil, in the heart of the Marne valley, and is the exclusive grower of all the grapes. Valy said the vineyard aims to protect the ecosystem and respects the balance between the soil, plants and humans. “The organic vineyard is a real laboratory to grow vines in the purest style of organic agriculture, respecting the strict chart of biodynamic standards, which is a real challenge considering all the potential diseases you could encounter in such a cold and wet region,” he said. “Also to be noted is that with this kind of growing in this particular region, crops and yields are lower than in any other vine growing way and region.” Although the number of wineries moving to more sustainable methods of cultivation and winemaking has been increasing steadily over the years, this is harder in some areas more than others. The Champagne region in France is exceptionally so, as growers often have problems with weather, pests and soil composition. Throughout history, Champagne viticulture did everything possible to fight these threats. With a highly concentrated use of chemicals, and even a history of using Parisian rubbish as compost,

Champagne became France’s least organic (let alone biodynamic) region, with under two per cent of vineyards certified as organic. Lanson is part of this two per cent, strictly following the ecological guidelines with the utmost care, as they say they are always inspired by nature. “We cover the soil, with wood, mulching, everything is done to aerate the soils and is handmade. For instance we use tea-based compost to aerate the soils,” said Valy. “We’re also looking at ‘feeding’ the vines with natural surrounding nutrients such as flowers, trees, mushrooms, and strawberry.” The extra care taken in the growing process is then combined with a traditional production method, in order to preserve the natural purity of the grapes used and make the Champagne balanced in terms of freshness, fruitiness and finesse. After three years in the cellar, Green Label Champagne emerges characteristic of the Lanson style – elegant, aromatic and pure. Of these mineral aromas are notes of pear, peach and blackcurrant, with a touch of citrus and spice. “Our Champagne is definitely the purest expression of its ‘terroir’ which brings a natural freshness and minerality,” said Valy. “This freshness is expressed with the ripe fruit flavours of pear, mirabelle plum and mango, finishing to reveal notes of spices and exotic fruits. Such a profile makes Lanson’s Green Label ideal as an aperitif or with elaborate fish or grilled meat dishes.” Lanson’s Green Label Organic Champagne is available through Young & Rashleigh Wine Merchants.

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PENFOLDS

Back Row - Gary Pearse, Nick Thompson, Ian Ross, Jim Williams, Kevin Jurd, John Quinn, Front Row Liz Costello, Melissa Rankine, Sally Crestani, Pat Durney, Brad Camer, Mike Farmilo, Peter Forrest

Great times with Penfolds Wines – Industry insights from the 80s and 90s Roaring laugher and industry tales you couldn’t print cascaded out of the small Italian restaurant on Blues Point Road as Penfolds Wines alumni from the 70s, 80s and 90s enjoyed lunch and rewrote history. Shane T Williams from National Liquor News attended the lunch and pushes the door ajar to shine a light on the wine industry 30 to 40-years ago.

ormer Penfolds Wines Marketing Manager, John Quinn, organised the lunch and led proceedings. “The biggest thrill I got was sitting back and watching everyone laugh like it was yesterday; some of us hadn’t seen each other for 30 years but the memories were like it was yesterday. The people around that table are my mates; what a legacy.” Former Director of Trading, Jim Williams, who joined Penfolds in 1979, the same year St George won the Grand Final (with Penfolds Wines as major sponsor) addressed the room and got straight to the point, “we struck new ground not only in winemaking, but also in providing a range of wines that could cover the market,” he said. Brands that fell under the Penfolds Wines umbrella at the time included Wynns, Seaview, Kaiser Stuhl, Minchinbury, Tollana, Tulloch, Leo Buring, Stock, Rouge Homme, Killawarra, Penfolds, as well as agency lines such as West Coast Cooler, Suntory and Coruba Rum. “From a winemaking perspective Don Ditter and John Duval with guidance from Max [Schubert] made sure we had the best wines out in the trade. From a marketing perspective we took the high ground and nothing was going to get in front of us. We hosted the ‘Ultimate Dinners’, started Wynnsday and we published the ‘Rewards of Patience’,” said Williams.

30 | OCTOBER 2019 NATIONAL LIQUOR NEWS

Not only was Penfolds dominating wine but it also launched West Coast Cooler which took Australian by storm. “We bloody well floored them and sold six million cases in the first year,” said Williams. National Liquor News spoke to John Quinn as well as Group Marketing Manager, Kevin Jurd, Executive General Manager Marketing, Brad Camer, Group Red Winemaker, Mike Farmilo, Marketing Manager, Nick Thompson and Trade and Corporate Communications Manager, Elizabeth Costello about their time at Penfolds Wines and how they see the industry today.

Q: What was it like working for Penfolds when you were there? KEVIN: It still holds my fondest memories. We made acquisitions that included Lindeman’s, enjoyed strong growth, had great winemakers who wanted to make a difference but who were also religious on ensuring consistency of style. I remember sitting with Max Schubert at Magill Estate eating South Australian pasties and tasting the upcoming Grange barrels and presenting to John Spalvins in the boardroom when I had no idea who he was. I recall being taught by Don Ditter the difference between tasting wine and enjoying wine as well as the fabulous John Duval who was always calm and held the keys to our successes. JOHN: It was the best job I’ve ever had; we

played hard but worked even harder. But like a good tourist, what happens on tour stays on tour. We had 35 per cent market share with less than half the brands that Treasury Wine Estates has today. We built brands but we also built relationships. Our boss, Jim Williams, would tear strips off Theo [Karedis], and Theo off him… next morning there would be 20 trailers of Seaview fizz on its way out of the warehouse just in time for the pre-Christmas buy period (at the right price of course). BRAD: The wine industry was going through quite a change moving towards premium varietal table wine. Penfolds, Lindeman’s, Orlando and Yalumba had considerable market share and the large number of smaller boutique wineries had yet to emerge. TV advertising was commonplace in those days and as marketers, we had a terrific time with some very serious brand building initiatives. We had a great team with excellent teamwork across winemaking, sales, marketing and production. MIKE: I had great times at Penfolds, the company had the best range of wines and dominated in Australia. Export, particularly to the UK and USA, was taking off through the early to mid-90s. I was based at Nuriootpa but had to be at the Tempe office frequently to meet with the marketing people. The biggest problem was that we were constantly running out of wine so we had to set a process of

PENFOLDS acquiring or developing more vineyards. The ‘Penfolds Recorking Clinics’ and ‘Rewards of Patience’ started in my time and that was the beginning of the recognition that Penfolds had a unique wine style and history of vintages that needed to be taken to the world. NICK: In the 80s, we (the Penfolds team collectively), were able to significantly shape the position of our iconic Australian brands both locally and internationally. We worked hard, played hard and were very proud of where we worked and what we achieved.

Jim Williams and Kevin Jurd worked together in the 80s and share some great stories.

Q: What were your biggest achievements or successes? KEVIN: Having a great marketing team and doing some wonderful things, like launching the Rewards of Patience Book with Jim Williams and Gary Pearse, Wine Clinics, the remarkable launch of West Coast Cooler, and surviving trips to Nuriootpa. JOHN: Wynnsday. Queen Adelaide becoming the number one brand in Australia and New Zealand. Glass Mountain becoming the number three white wine just six months after launch. BRAD: Growing the Penfolds brand in Asia. MIKE: As you would expect in a large company, it is a team effort, but it was particularly pleasing to be involved in two Jimmy Watson trophies and I believe the group won at least one red wine trophy at every capital city wine show in my time.

a marketing point of view, education is vital. It starts with the winemaker and marketing need to channel that through their sales distribution arm; the retail sector; then in turn the consumer. If the consumer learns from the brand, they engage with the brand. BRAD: Success relies on solid internal and customer relationships plus a consumer focus. MIKE: Don Ditter and John Duval taught me how to make wine to a style and consistency across vintages. ELIZABETH: Start as you wish to finish. Have clear objectives. Don’t be afraid to challenge. The importance of relationships.

Q: What did you learn and/or take away from

Q: Any mistakes or lessons you took away from

Penfolds that helped you in your life/career? KEVIN: Max Schubert always said it was about BALANCE. I have taken balance to mean many things in my life. JOHN: I learnt the strength in a brand, I believe that companies make products but consumers buy brands. A company can make all the products in the world but if the brand isn’t strong it won’t move off the shelf. From

your time at Penfolds? KEVIN: Listen to the consumer more often. We did launch wines because we had the grapes and needed a home. JOHN: Not going back to the Barossa vintage festival for a second time. BRAD: Short term decisions based on share price imperatives or private equity profit goals never serve the wine industry well.

John Quinn led proceedings while Ian Ross and Melissa Rankine looked on

Q: Any advice for today’s wine marketers? KEVIN: Yes, send me a case of each release so I can check them. JOHN: Get to know your winemaker and make sure the marketplace (retail/consumer) knows them just as well. The consumer loves interaction with the winemaker. BRAD: Understand the retail and on-premise dynamics and always stay focused on being consumer driven rather than supply driven. ELIZABETH: Don’t use a label change to announce your arrival.

Q: What are your thoughts in general about the wine industry today? KEVIN: It’s fabulous, the global exports of our wines and the successes of our winemakers across the globe are seriously good. JOHN: The Industry has changed immeasurably. It’s certainly lost a lot of its passion and romance that it had in the 80s and 90s. We joked at our reunion that the joint was run by winemaking, sales and marketing back then, accountants reimbursed expenses and reconciled cab charge dockets. Like many Australian industries a big percentage are publically listed and sometimes the big boys think their customer is the ASX, not the consumer that buys the brand. Just today I read a piece in the news and the article quoted the boss saying ‘investors’, ‘politicians’, ‘trade tensions’, ‘earnings’, ‘target earnings growth’, ‘profit’, ‘restructuring costs’, ‘shares’, not once did he mention ‘brands’ or ‘consumers’. BRAD: Good to see the emergence of smaller boutique wineries who keep driving innovation. Share price growth and Private Equity is inhibiting long term brand building. NICK: It is driven by multinationals with predictable monotony, however a wave of passionate independent small winemakers are doing some really funky stuff.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 31

BREWING

Fixation launches Freshly Hatched series Fixation Brewing has launched the first beer in its ‘Freshly Hatched’ series of one-off, limited release 500ml cans, which are available now in selected bottle shops. The series will only feature beers that have had at least two successful releases at the brewery’s Collingwood home, the Incubator, and that showcase something different to the Fixation core range of beers. A statement from the brewery said, “If the Incubator is where Fixation ideas originate, it makes sense that after a successful incubation, they will hatch into a wider release”. The first hatchling is The 86, a Hazy IPA, which was the very first beer brewed at the Incubator and has been consistently the highest selling. This year it picked up gold medals at both the AIBA’s and the Indies. Named after the 86 tram that runs past the brewery, it is a tribute to Fixation’s home in Collingwood, and the label artwork was created by a well-known local street artist, Callum Preston. The release also coincides with the brewery’s first birthday celebration. In it’s first 12 months of operation, more than 40 unique brews have been put through the Incubator brewhouse by Fixation Innovation Brewer, Sam Bethune. Fixation Co-Founder, Tom Delmont, said that as a small brewhouse, there has only really been the capacity to brew enough of the unique and innovative brews for the venue – until now that is. “We love The 86 so much, and it’s been such a fan favourite at the Incubator that it was the obvious choice to make the jump into cans. ‘Freshly Hatched’ really brings together what the Incubator is all about and allows our drinkers to play a role in the product development process as well. We’d love to hear feedback from anyone who comes in about what beer should be the next to hatch.”

4 Pines releases Schwarzbier nationally

New Blush Rosé arrives just in time for summer Blush Rosé is the latest fruit infusion from Rekorderlig to hit the market, offering Australians a lighter refreshing rosé cider just in time for summer. Blush Rosé cider is a fresh new taste that features flavours of red berries and a dash of sweet peach, while providing a dry finish that you would expect from a classic rosé wine. Created with the Australian palate and conscious consumer in mind, Rekorderlig Cider’s Brand Manager Elle Lewis, believes the brand is paving the way in an otherwise traditional category. “We’re excited for the launch of Rekorderlig Blush Rosé across Australia. It has been developed as an extension of the already hugely popular and refreshing Rekorderlig cider portfolio,” Lewis said. “Consumption of rosé drinks is a continuing trend amongst both male and female adults and we are confident Blush Rosé will be popular this summer.” Research conducted by Thrive Insights showed that when it comes to Australian consumers, cider consumption is greater among rosé drinkers than the general population – 58 per cent of adults aged 18-49 years who drink cider monthly are drinking rosé. “The inspiration for our Blush Rosé comes from Australia’s love for pale rosé wines; it will give conscious consumers an alternative option this summer thanks to its lower sugar (lower than regular Rekorderlig), which has been the driving force in our point of difference, containing only 119 calories a bottle.

32 | OCTOBER 2019 NATIONAL LIQUOR NEWS

4 Pines has released its 2019 AIBA Champion Beer, Schwarzbier, as a Keller Door Small Batch Limited Release nationally as of September. Schwarzbier was originally brewed as part of the Keller Door Black Box release in 2016 but this is the first time it’s been made available as an individual release. It is a classical dark German lager that balances roasted yet smooth malt flavours with moderate hop bitterness. It has 5.2 per cent ABV, 26 IBU and is available in 4x330ml bottles for RRP $19. The malts are a balanced combination of German-produced speciality malts – Munich Type 2 and Carafa Special – and high-quality Australian Pale base malt. The key hops, Hallertau Hersbrucker, are a famous ‘noble’ variety grown in Central Germany and the famous W-34/70 lager yeast strain originated from the Weihenstephan brewery in Bavaria. The original 2016 recipe has been refined annually, resulting in the 2019 version which the AIBA judges described as “an excellent iteration of the style, looks sensational, great foam and retention, drinks well, lovely roast aroma”. According to the brew team, the lack of harsh roast characters normally associated with dark beers and the distinctive presence of noble lager qualities provide the Schwarzbier with a flavour profile that drinks lighter than its black hue suggests.

Australian and Japanese brewers collaborate on new beer

Byron Bay Brewery rebrands and launches new beer Byron Bay Brewery is launching a new premium lager this month and is also rebranding to capture the Byron Bay lifestyle. The premium lager was originally brewed by Head Brewer Alastair Gillespie as a seasonal beer, but proved so popular that parent company Lion decided to launch the beer nationwide in time for summer. “I really wanted to brew an easy-drinking lager to enjoy during gigs on hot summer days. We brew our Premium Lager with the best Australian pale malt and a blend of zesty hops. It has a light body with a subtle citrus flavour which gives it such a refreshing yet flavoursome finish; the perfect beer to enjoy with a of couple mates after a swim at the beach or while listening to great live music,” Gillespie said. The Premium Lager is available on tap at the Bryon Bay Brewery and as of 30 September it will be available nationwide in bottles and kegs. The Byron Bay Brewery will brew the beer into kegs for its local market, with the beer also being brewed at Lion’s network of breweries to meet national demand. The lager is 4.2 per cent ABV and the 355ml bottles will have a RRP of $18 for a six-pack and $50 per case. Lion also said the launch will be supported with national media as well as at festivals and events around the country. Serge Costi, Lion’s Marketing Manager Premium Beer, said: “The new Byron Bay Brewery Premium Lager has been a great success at the brewery and we’re thrilled to make it available for all Australians to enjoy this summer. We’ve rebranded the brewery and this is just the first stage of our plans to keep improving the brewery experience and our contribution to the local community.” That rebranding has been done with local designers at the Thrills clothing label and epitomises the creative Byron Bay lifestyle. “It goes without saying that we here at Thrills are beer lovers, and so when the opportunity came up to partner with the Brewery, it really was a no brainer. Our shared passion for all things music, and mutual adoration of our Byron Bay home meant that it was a really easy melding of ethos and ideas,” said Thrills Founder, Brooke McGregor. Alongside the rebrand and launch, Byron Bay Brewery has implemented a range of local community and sustainability programs, including Festival of the Seas, which actively cleans up Byron Bay beaches in partnership with local conservation charity Positive Change for Marine Life.

Asahi Premium Beverages has launched a new, easy drinking, lower carb, low bitterness beer, which is a collaboration between two brewers from Australia and Japan. Two Suns is made in Australia with 100 per cent Australian malt and wheat, using precise Japanese brewing techniques and has been created by Geoff Day from Australia and Yosuke Tajika from Japan. “Two Suns has a unique flavour profile of low bitterness with a subtle malt aroma and character. It’s distinctive crisp taste and dry finish makes for really nice easy drinking refreshment. It truly is the result of marrying the best of two very passionate brewers that are excited to show off what’s best about our home countries,” Day said. The easy drinking beer category now makes up 31 per cent of the total beer category and is continuing to grow, with forecasts expecting it to overtake classic beer in the next 12 months. “Until now, there has been an absence of premium options for consumers to choose from in this category,” said Scott Hadley, Chief Commercial Officer at Asahi Premium Beverages. “We identified that gap and are proud to welcome Two Suns to the Asahi Premium Beverages portfolio. This is our very first entry into the easy drinking beer category and we’re heavily invested to ensure this is our biggest and most exciting NPD launch to date.” Asahi Premium Beverage has invested more than $5 million in its biggest ever NPD launch, which rolled out from September. This includes a significant outdoor media campaign; consumer and trade launch parties, a brand ambassador program as well as digital and social media executions. The investment also includes onpremise venue takeovers, sampling programs and a ‘gold standard’ retail launch.

No, low and mid beers a quarter of all CUB sales The changing tastes of Australians and their beer choices are highlighted with non-alcoholic, low and mid-strength beers now accounting for around one-quarter of all Carlton & United Breweries’ sales. One of the primary drivers in that market share and the moderation trend is Carlton Zero, which has sold more than 3.2 million litres since launching a year ago. No, low and mid-strength beer now make up almost 25 per cent of the volume of beer sales for CUB – up from just 10 per cent five years ago. Carlton Zero’s first birthday coincides with the Global Be(er) Responsible initiative, which is a worldwide effort by brewers, including CUB, to promote responsible consumption of beer. CUB’s Chris Maxwell said that there has been a shift in the tastes of Australian beer lovers. “We launched Carlton Zero because beer lovers told us they wanted more opportunities to enjoy beer responsibly,” he said. “The popularity of Zero shows it’s becoming normal to consume non-alcoholic beer on many different occasions. “Research shows the most common reason people drink non-alcoholic beer is because they’re the designated driver, and we’re seeing this predominately in people aged 18-34. We think this deserves a pat on the back, and really shows the moderation message is getting through. The CUB-commissioned national online survey of 1,000 people also found no-alcohol beer is most popular with people aged 18-34, with almost half (49 per cent) saying they would consider drinking a no-alcohol beer at a social occasion.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 33

BREWING

Dainton beer takes home top prize in the Indies 2019 Dainton Brewery’s Triple Dry Hopped Double Red Eye Rye has won the title of Australia’s Best Independent Beer for 2019. This is the second time in three years that Dainton has won the top trophy at The Independent Beer Awards, affectionately known as ‘The Indies.’ Speaking to Beer & Brewer on the win, brewery Co-Founder Dan Dainton said: “I can’t explain. It’s really exciting to win it up against some amazing breweries. “I feel a little bit lucky. I don’t use luck lightly as a term, because we work our ass off. One of the things we say everyday when we come to the brewery is ‘we are trying to make the best possible beer we can.’ I think we’ve shown that we’re up to the challenge.” A judging panel comprised of respected national and international beer professionals assessed over a thousand entries to recognise the best beers and breweries across the nation. The other beers that took out prizes on the night were: • Pale Ale: Mismatch Brewing Co. Pale Ale • Amber Dark Ale: Nail Brewing Co. Nail Red • Porter/Stout: Stomping Ground Brewing Co. Bunker • Hybrid Beer: Hunter Beer Co. Slaked Magpie • Lager: Sydney Brewery Surry Hills Pils • India Pale Ale: Modus Operandi Brewing Former Tenant Red IPA • European Style Ale: Bright Brewery Razor Witbier • Session Beer: Sauce Brewing Co. Piss-Week Sauce • Strong Beer: Dainton Brewery Red Eye Rye • Mixed Culture Beer: Dollar Bill Brewing Pty Ltd Learning to Breathe For breweries, the Champion Large Brewery trophy went to Fixation Brewing Co, of Melbourne. Commenting on their win on Facebook, the company said: “Are you kidding me! What an honour. Thanks for everyone’s support.” The Small/Medium Brewery Champion for 2019 was 3 Ravens from Thornbury, Victoria.

Dan Dainton and Jess Scanlon This year’s Indies saw the creation of several new trophies that reflect the growth and change in the independent brewing sector. One of these was the Champion Australian Brewpub (to recognise the industry contribution of breweries that sell at least 75 per cent of their beers on-site), which was won by All Hands Brewing House in Sydney. Also added were individual awards for State and Territory Champion Breweries (to recognise the best brewery in the uniquely different brewing communities that exist across the country). The state and territory champions were: • NSW: All Hands Brewing House • QLD: Balter Brewing • VIC: 3 Ravens • WA: Gage Roads Brewing Co. • ACT/NT: BentSpoke Brewing Co. • SA: Mismatch Brewing Co. • TAS: Van Dieman Brewing Each year, the Indies also provide awards to individuals who exceed community expectations in their support, development and promotion of Australia independent beer. This year’s industry nominated winners were: • Service to Industry Award: Neal Cameron • Young Gun of the Year Award: Dan McCulloch, Lallemands • Community Initiative of the Year Award: Stone & Wood, Ingrained Foundation • True Indie Supporter Awards: Corey Crooks, Grain Store

Kosciuszko cans get cooler To celebrate the launch of its first ever marketing campaign, ‘Beer With Altitude’, Kosciuszko Pale Ale has added thermochromatic ink to its canned product. The cans have two designs – one featuring a snowboarder, and the other featuring a skier – which change colour as the temperature of the can hits four degrees Celsius – the perfect temperature to enjoy Kosciuszko Pale Ale. Lion’s Director of Craft brands, Malcolm Eadie, said the new cans celebrate the fun and energy of the Snowy Mountains. “From the new creative campaign to the cans, Kosciuszko encapsulates the spirit of the mountains and particularly the adventure and fun to be had both on the slopes and après. We see many drinkers enjoying these new cans after a long day on the mountain. “And as we approach the warm summer months, we hope the cans will remind people that a refreshing trip to the mountain is never too far away. Designed by Australia’s godfather of craft, Dr Chuck Hahn, Kosciuszko Pale Ale continues to grow in popularity, with sales approaching four million litres nationally each year. “Craft beers are continuing to adopt cans as their preferred pack format, and for Kosciuszko Pale Ale we wanted to stand out from the crowd with this

34 | OCTOBER 2019 NATIONAL LIQUOR NEWS

innovative print technology,” Eadie added. “This will help drinkers know when their Kosciuszko is at optimal drinking temperature and ensure the beer’s crisp and refreshing character is enjoyed all year round.” The brand’s first marketing campaign, ‘Beer with Altitude’ went live in July across NSW and a unique event, ‘Kosci in your Cossies’, saw 200 revelers hit the slopes of Thredbo in their swimwear all in the name of good times.

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BRAND TALKS

Gage Roads reacts to the demand for cans With the growth of canned beer far outweighing its bottled counterpart, Gage Roads has responded by launching its Single Fin and Little Dove beers in cans, and has also released the new Side Track All Day XPA in a canned format.

onsumer demand for canned beer is at an all-time high, so in response, Gage Roads Brewing Co will for the first time release their popular Single Fin and Little Dove beers in 330ml cans. The brewery has also added a new beer to its line-up, the mid-strength Side Track All Day XPA, which also comes in a 330ml can. The growth trajectory of canned beer cannot be denied, over the past two years canned beer has added $437 million to industry growth. In doing so, its share of total category dollars has risen by five percentage points to 32.4 per cent. Daniel Bone, Insights Director, IRI, told National Liquor News that there has been a significant contrast in the growth trajectory of canned and bottled beer. “In the 12 months to 5 May, bottled beer dollar sales declined by two per cent in value and four per cent in units. Meanwhile, canned beer has recorded successive years of doubledigit dollar growth, including a 13 per cent dollar uplift in the latest year,” he said. And so, with canned beer’s popularity on the up and the demand for craft beer not looking to abate anytime soon, Gage Road’s Brew Chief, Aaron Heary, says that it just made sense to move to a canned format. “Canned beer sales have increased more than 60 per cent in 2019, while craft beer is one of the fastest growing overall beer segments. Coupling these two trends together makes perfect sense.” He said that the decision to move into cans was all about giving consumers what they want – the beer they love in a practical format that is suited to a range of drinking occasions. “Tins have a lot of practical benefits over glass. They don’t break, they’re light, they cool down fast in the esky and are easier to crush and pack up when you’re finished.

36 | OCTOBER 2019 NATIONAL LIQUOR NEWS

“This makes them great for boating, camping, the beach and the outdoor lifestyle we love. But they’re also perfect to simply stack in the fridge for a night in or a barbecue at home.” According to IRI’s Bone, cans provide a plethora of benefits for consumers and the industry at large. Not just because of their practical benefits but also from a quality and margin perspective.

“Canned beer sales have increased more than 60 per cent in 2019, while craft beer is one of the fastest growing overall beer segments. Coupling these two trends together makes perfect sense.” – Aaron Heary, Gage Roads Brew Chief “Consumer research continually shows that taste and flavour is the most important factor driving liquor product selection. And while there is still plenty of work for the industry to do in educating drinkers about this, cans provide an important quality cue because of the superior barrier provided against sunlight and oxidation,” he says. “In a marketplace where craft beer has reached a record share of beer dollar sales (10.4 per cent) this quality

assurance will become more important for a discerning and flavour focussed buyer. The superior versatility of cans is also a clear benefit in providing drinkers superior portability and chilling speeds compared to glass bottles. “For retailers, there is an opportunity to elevate margins; we have seen within the craft segment that the price gap between craft bottles and cans has widened with craft cans on average commanding a 17 per cent price premium compared to bottled craft beer. And that’s in a segment which commands a price premium of around 40 per cent versus the beer category overall.” Showing similar growth, XPAs are the second fastest growing craft beer style nationally, while mid-strength and craft are two of the fastest growing overall beer segments – and the newly released Side Track XPA brings both of these trends together in one beer. “XPA is a style that is open to interpretation,” says Heary. “In some versions the ‘extra’ can place it somewhere between a pale ale and an IPA but for me the ‘extra’ is an indication of the comparatively more pale appearance of the beer. XPA’s are lighter bodied, crisp, refreshing and a great platform for showcasing hop flavour and aroma. “Brewing a mid-strength can be a challenge. Alcohol carries flavour, so when it’s removed the end product can be watery or generally lacking. Alternatively, overcompensating with hops or malt to boost flavour often leads to an unbalanced beer that doesn’t drink well. I’m proud we’ve been able to create a mid-strength that’s refreshing, balanced and full-flavoured.” Side Track All Day XPA is available now in 330ml cans, as are Single Fin and Little Dove, and you can get in touch with your Good Drinks Brand Ambassador for orders.

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SPIRITS

Smirnoff launches low-calorie, low-ABV spirit-based drink Diageo has launched Smirnoff Infusions, a low-calorie, low-ABV spirit-based drink infused with natural botanicals and designed for mixing with soda. Smirnoff Infusions come in two flavours: Cucumber, Lime & Mint and Passionfruit & Lime. The drink has less than 40 calories per 30ml serving, which is around 60 per cent less than a standard 150ml glass of white wine. The suggested serve is 30ml of Smirnoff Infusions, mixed with 90ml soda water, accompanied with a fresh garnish of either a cucumber ribbon, lime and mint, or half a passionfruit and lime wedge. Linda Wellington, Marketing Manager at Smirnoff said: “Over the past two years we’ve seen an incredible demand for a lighter drink that doesn’t scrimp on flavour or taste, and it’s with our new Infusions range that we finally can give Australia what they’re looking for. “A testament to our drive for both innovation and discovery, the lighter and more low-calorie offering is a simple way for Australians to enjoy a more interesting drink. It’s the perfect accompaniment to a balanced lifestyle or daytime occasion – we can’t wait for people to try it.” The 700ml bottle retails for $33 and is available now at all good liquor stores nationwide.

Suntory launches new vodka into Australia

Westward Whiskey joins Think Spirits Highly-rated American single malt whiskey, Westward has announced a new distribution partnership in Australia, having signed a deal with Think Spirits. Starting on 1 October, Think Spirits is the exclusive distributor for Westward Whiskey, aiming to take the whiskey around the country. In less than one year, demand for Westward Whiskey in Australia has skyrocketed, further reinforcing Australia’s love for single malt whiskey. It is now available in leading bars, restaurants and bottle shops throughout Sydney, Melbourne, Canberra and Perth and this new deal means more of the trade can look forward to the product’s increased availability throughout Australia. “Given our success, continued demand, and growth in Australia, partnering with a leading independent distributor of popular and premium spirits is the logical next step to support expansion in this thriving market,” said Thomas Mooney, Founder and CEO, Westward Whiskey. “Aussie consumers and trade industry professionals know great whiskey, and we’re thrilled by their enthusiasm for Westward American Single Malt. Our partnership with Think Spirits will allow us to take our whiskey far and wide to reach even more Australians throughout the country.” The deal adds Westward to the Think Spirits portfolio, which already includes Stolichnaya Vodka, Casamigos Tequila, Dalmore Scotch Whisky, Stolen Rum, and Seedlip.

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House of Suntory has launched its first premium Japanese vodka, with Haku being the latest addition to the premium spirit trilogy which already comprises Roku Gin and Toki Whisky. Haku Vodka’s creation process begins in Kagoshima with 100 per cent pure Japanese white rice that is fermented into a koji mash. This is then distilled twice, before it travels to Suntory’s Liquor Atelier in Osaka where it is blended and filtered using the House of Suntory’s proprietary bamboo charcoal method, expelling all impurities to ensure a clean, pure spirit. “At the House of Suntory, craftsmanship has always translated to sourcing the best ingredients, and elaborating on complex and innovative techniques to create unrivaled quality products,” says Kazuyuki Torii, lead Suntory Specialist (White Spirits). “Haku Vodka was developed from a very specific vision, to create a truly authentic and meticulously crafted Japanese product with a distinct and balanced taste.” The name Haku Vodka stems from the Japanese kanji, translating to ‘white’. This kanji is rooted in the word ‘hakumai’, meaning ‘Japanese white rice’. The spirit’s name is elevated through its nuanced meaning to invoke ‘junpaku’ – ‘pure white’, which Suntory says is “a connotation to its untainted brilliance”. Lennart Sipsma, Group Marketing Manager at Beam Suntory Australia said: “We are very excited to continue meeting Australia’s demand for Japanese craft spirits through Haku Vodka. “This new House of Suntory spirit allows consumers to experience a new take on a classic, one that challenges the norm and embodies Mr. Shinjiro Torii’s perpetual quest for excellence.” Haku Vodka is available at all key retailers across Australia at a suggested retail price of $65.

SPIRITS

New whisky simplifies single malts for shoppers

Two new gins from Archie Rose celebrate Australian icon

William Grant & Sons (WG&S) has launched Aerstone, a single malt aimed to help whisky drinkers better understand the single malt Scotch category. At 18 per cent volume growth annually, single malt is one of the fastest growing categories in liquor, but it can also be one of the most intimidating because of its complexity. A recent study conducted by WG&S, found that drinkers reported single malts as being “too complex with intimidating choice and language” and that higher price points made trial too risky for shoppers new to the category. So to help drinkers remove the pressure from their single malt journey, WG&S has launched a new 10 year old single malt Scotch whisky range called Aerstone. Kristie Asciak, Marketing Manager at WG&S said the Aerstone range will help consumers to build their confidence in navigating their way through the category. “The Aerstone brand allows consumers to make a confident choice and offers a great everyday single malt to complement the rest of our premium portfolio,” she said. How you might ask? It simplifies the taste messaging and helps drinkers navigate the category flavours through clear taste descriptors on pack. The range showcases two different styles of whisky under the same brand, allowing consumers to easily understand the spectrum of flavours and demystify the complex language associated with the category. “We recognise that for some consumers, the category is complex and can be intimidating. With Aerstone we want to break down some of those barriers and help simplify single malts, inviting existing malt drinkers and new entrants to learn about all the different flavours and styles of single malt Scotch.” The two flavours are Sea Cask, a smooth and easy classic Speyside-style single malt with nutty vanilla notes, and Land Cask, a rich and smoky peated single malt which heroes the use of highland peat in the malting. Both are available nationally now at RRP $58.

Archie Rose Distilling Co has collaborated with the Sydney Opera House to create two new gins, a two-act gin, which was released on 1 October. The twin release, featuring simply Inside Gin and Outside Gin, aims to bring to life the energy and splendour of the Opera House’s architectural finery and artistic talents seen on its stages. “Archie Rose was born from a deep love of Sydney and Australia, as well as a desire to honour the city and nation’s rich spirit-making past and shape its future,” says Archie Rose Founder, Will Edwards. “So to collaborate with and draw inspiration from the Sydney Opera House to continue to build on Sydney’s history and celebrate its contemporary culture is absolutely incredible, and has been a goal of ours literally since launching the distillery back in 2015.” Sydney Opera House Director of Visitor Experience Jade McKellar added: “The Opera House and Archie Rose share a passion for innovation and creativity and a uniquely Sydney spirit. Outside and Inside Gin perfectly capture the dynamism and drama of the Opera House’s performances, and the crisp natural environment of our home in Sydney Harbour. There’s no better way to experience this gin than with a cocktail at the Opera House itself.” Outside Gin, inspired by the Sydney Opera House’s coastal setting, is a juniper forward gin accented with lemon-scented gum, South Australian yuzu, finger limes, white grapefruit, locally foraged seablite and native seaweed. Inspired by the creativity that comes to life on the Opera House’s stages, Inside Gin is a fruit-driven gin displaying a bright positive summery character and a cast of botanicals including native thyme, Australian apricot, raspberry and strawberry gum. Archie Rose Outside Gin and Inside Gin are now available nationally with a $99 RRP for a 700ml bottle.

Grey Goose reveals limited edition bottle design for summer 2019 Grey Goose has revealed its 2019 Limited Edition Riviera bottle, celebrating summer in collaboration with Parisian fashion label Maison Labiche. The bottle features deep blue waves embroidered with phrases including “Vivre le moment” and “Live like summer never ends” in the signature Maison Labiche handwriting style. The brand’s Co-Founders are said to be inspired for this design by their trips to the Côte d’Azur and Pampelonne beach in the French Riviera. Along with the limited edition bottle, Maison Labiche has created a hand-designed capsule collection of fashion and travel items, intended to complement the Grey Goose ‘Live Victoriously’ brand ethos. Marie Welté, Co-Founder of Maison Labiche, said it’s a phrase they already live by. “While we are a French luxury brand, we do not take ourselves too seriously and we look to inject fun, humour and savoir-faire into the phraseology that can be personalised onto each item. “The capsule collection reminds us all to celebrate the moments that matter during the summer – be it travelling for holidays or spending time with friends and loved ones closer to home.” The limited edition Grey Goose bottle will be publicly available for purchase from 1 November.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 39

SPIRITS

Diageo adds new RTD to the House of Tanqueray Diageo has launched an Australian exclusive addition to the House of Tanqueray with the Tanqueray Flor de Sevilla Gin & Soda RTD. It arrives following the successful premix format launches of Tanqueray Gin & Tonic, and Tanqueray Flor de Sevilla Distilled Gin & Tonic, which launched in the UK in May. Tanqueray Flor de Sevilla Gin & Soda is perfectly distilled to combine the uniquely bittersweet and zesty taste of sun-soaked Seville oranges, orange blossom and fine botanicals found in Tanqueray Flor de Sevilla, with the lightness of soda. The result is a fresh, light flavour on the palate and a simple and convenient new way for consumers to enjoy Tanqueray. Linda Wellington, Diageo Marketing Manager Gin & Light Spirits said that the launch of the Tanqueray Flor de Sevilla Gin & Soda is in response to a shift in consumer behaviour. “The gin category continues to grow rapidly, and consumers are now better educated and more demanding. When we launched Tanqueray Gin & Tonic in Australia last year, we underestimated just how popular it would become. “It’s interesting to observe how consumers’ shifting behaviours are shaping their desires, as more look for ways to enhance at home occasions or moments to unwind. Tanqueray is the ideal choice to make those moments feel special. We’re excited to add Tanqueray’s Flor de Sevilla expression to the simplicity and convenience of a ready to drink format, especially as we move into the warmer spring months,” she said. Tanqueray Flor de Sevilla Gin & Soda is available nationwide as 275ml glass bottle fourpacks at RRP $25.99. The are 5.3 per cent ABV and 1.1 standard drinks.

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UK’s number one premium gin lands in Australia The UK’s number one premium gin, Whitley Neill, has set its sights on Australia with six of the distillery’s key products to be available for venues around Australia from last month. Bars and Clubs spoke with Whitley Neill’s Global Ambassador Devin Tomlinson about what Australia can expect when the UK’s most popular premium gin lands on these shores. Speaking about the range, Tomlinson said he is excited to be bringing the range to Australia and that he’s predicting big things for the summer – in particular with the ‘bartender’s friend’ aka the Blood Orange gin. “We’ve brought the original gin, which is in the black bottle that Johnny Neill designed and that’s the flagship brand. Then there is the biggest extension, which is the Rhubarb and Ginger and that’s the UK’s number one premium gin at the moment. “Beyond that is our exotic Quince gin from Persia, that has an apple-pear profile and is almost like a liqueur in terms of taste but it’s still at 43 per cent, so it’s a high-strength gin. Then we have the Blood Orange and that is more of the bartender’s friend; it’s beautiful in Negronis and is pouring at some of the top-end on-trade in London. “It’s really good in a Martinez, but just in general it works with any good vermouth or Amaro, it works in a Gin and Tonic or Gin and Soda, it really plays into the Aperitivo and Vermouth trend.” Other SKUs coming to Australia include Raspberry and Pink Grapefruit and all come in the distinctive, brightly coloured bottles synonymous with the Whitley Neill range. Looking in more detail at the Blood Orange gin, Tomlinson said: “The biggest thing for us is the gap between the straight gin and tonic and a cocktail. There’s not really anything in between. We call it a complex G&T, but we’re also seeing a lot of bars now doing some really cool things with vermouths, amaros, low ABV serves. “One of the biggest trends is obviously the Aperol Spritz and we are trying to pull people into a slightly different space with a Blood Orange spritz for example. We’ve really focused on this globally with our Ginsecco trend and we can’t wait to bring this to Australia, because we think there is a huge opportunity here. “It’s a drink that works perfectly with our Quince gin, that apple-pear profile and once you add the Prosecco it blends perfectly in terms of the molecular structure, and then garnished with some fresh apple, cucumber and you have a beautiful, every day, sipping Ginsecco.”

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4. Eiko Vodka (40% ABV)

5. Etsu Gin (43% ABV)

6. Fuyu Whisky (40% ABV)

Eiko means ‘samuri glory’ in Japanese. Made in Hokkaido at Asahikawa Distillery using 100 per cent corn. It is column distilled three times to 145 proof and diluted down to 80 proof with water sourced from Taisetsu Mountains. The quality of this water is unmatchable. Filtration through white birch charcoal – four times. The colour is clear, the aroma is clean and fresh, and the taste is balanced with licorice and cane notes. Eiko Vodka has won a Gold Medal at The Spirits Business Asia 2018 and a Double Gold Medal at the San Francisco World Spirits Competition 2019.

Etsu means ‘pleasure’ in Japanese. It is with great pride that this unique gin was distilled on the Northern Island of Hokkaido in Japan. Made at Asahikawa Distillery using 100 per cent cane neutral spirit, it has a 24-hour maceration with yuzu, green bitter orange peel, licorice, coriander and angelica root. It is distilled in a copper still with a swan neck to 166 proof then diluted down to 86 proof with water sourced from Taisetsu Mountains and then filtered through charcoal. The colour is clear, the aroma is very aromatic with notes of yuzu, citrus and spices, and the taste has the same characters as the nose with a smooth texture and fresh finish. It has won awards at Master The Spirits Business Asia 2018, a Double Gold Medal San Francisco World Spirits Competition 2018, and a Gold Medal ples 94 Points at Tastings.com.

Fuyu means ‘winter’ in Japanese. This whisky was distilled from malted grain and mash corn before resting in oak barrels. Its rich flavours make it ideal for cocktails such as the Old Fashioned or a Manhatton. Distilled on Honshu Island by three distilleries (of which are confidential) with 20 per cent malt (barley) and 80 per cent grain (corn). One pot still distillation to 130 proof, it then ages in used American White Oak Barrels. It’s then blended and diluted down to 80 proof before undergoing filtration on Kieselguhr. The colour is dark amber, it has floral and youthful aromas with caramel and spicy notes, and generous oak and cooked fruit finish with a hint of smokiness on the palate.

RRP: $95 Distributed by: Combined Wines and Spirits Bbcspirits.com/

Shot at Goros, Surry Hills

NATIONAL LIQUOR NEWS OCTOBER 2019 | 43

RETAIL

E-commerce boosts sales for Bottlemart and Sip’n Save LMG’s e-commerce platform has seen basket size more than double the in-store spend, proving that shoppers are looking for convenience and that as online retailing expands, it’s vitally important that independent retailers stay competitive and relevant.

he Liquor Marketing Group (LMG) expects to have in excess of 100 Bottlemart and Sip’n Save stores participating in its new e-commerce platform ahead of Christmas. The platform, which includes an app for android and Apple phones, a one-hour delivery option, nominated delivery times and parcel pick-up in 30 minutes, was initially trialed in seven Brisbane stores just over one year ago. Today, there are 62 venues live across the country located in all states except for the Northern Territory, and all participating stores are attracting additional sales. David Gyte, General Manager, LMG Queensland and Harry Brown, told National Liquor News, that the platform has been a huge success and that it will continue to provide endless opportunities for suppliers, LMG’s brands and members into the future. The e-commerce platform is currently running across Bottlemart and Sip’n Save but Gyte said that a Harry Brown model will also be rolled out ahead of the busy Christmas period, and it will be modified slightly to meet their specific shopper needs, range, price and volume. All participating stores have seen a positive uplift in sales and the number of orders is increasing each week. “It’s very interesting to see how shoppers behave across different retail offers and the data we are seeing from e-commerce is exciting,” said Gyte. “Our average basket is more than double the in-store spend, the share of wine has increased five per cent over our average share and the re-order rate from customers is over 50 per cent within the first four weeks.” More than 70 per cent of shoppers have been turning to the apps rather than the web store, and most of those orders are for delivery, which really speaks to the customer trend of convenience. “Our e-commerce offer is all about convenience and you can’t get more convenient than using your phone to order. We did a lot of research into other convenience-based offers in the market such as Dominos and Uber Eats and found that you must have a dynamic, simple and reliable app to build shopper trust and satisfaction.

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“Our average basket is more than double the in-store spend, the share of wine has increased five per cent over our average share and the re-order rate from customers is over 50 per cent within the first four weeks.” – David Gyte “Delivery has by far been the preferred option with over 95 per cent of orders placed for delivery. When your order is delivered in under an hour it’s understandable that the convenience of delivery is winning. “The number of regular shoppers we are attracting, and the basket size is continuing to trend upward but the success in regional stores has been amazing. These stores are doing their own deliveries and have had enormous support from their locals, our biggest e-commerce store is in a regional town.” And so, what is next for LMG’s e-commerce strategy? Aside from the impending Harry Brown e-commerce launch, Gyte says it’s all about scale, marketing, member support and technology as the key drivers for the platform. “Our offer differentiates our brands from our competitors, and we will continue to innovate to build on our success. “As online retailing expands, especially in retail liquor, it’s vitally important that independent retailers stay competitive and relevant. Shopper satisfaction through ‘on demand’ delivery solutions will be the key differentiator for these retailers and their ability to push the offer regionally will add to their success. The addition of online is complementary to their bricks and mortar and LMG is proud to support our members to compete in this space with this platform.”

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INSIGHTS

Crowdfunding comes of age, but not without teething problems No longer just the province of the cool kids and the desperate, crowdfunding is beginning to offer a viable funding alternative for breweries and distilleries. But it comes with some watchouts, writes Norrelle Goldring.

rivate enterprises have traditionally been funded in multiple ways, including through private equity firms, venture capitalists, and mum-and-dadand-friends private funding. In the past decade, public, large-base crowdfunding has become more popular, particularly in liquor, clothing and devices. Globally, the A$111 billion crowdfunding market is predicted to achieve circa 19 per cent compound annual growth rate (CAGR) between 2018-22. Since early 2018, Australians have been able to earn shares for their equity crowdfund investments into Pty Ltd companies. Below we review what’s been happening in the Australian liquor crowdfunding space.

From donations to equity funding There are a number of types of crowdfunding. Donations-based crowdfunders donate without expecting any sort of return. Rewards-based crowdfunders expect some sort of gift, merchandise, product or service, such as a limited release. In marketplace lending, the crowdfunder receives interest. And in equitybased funding, which has been available in the US and elsewhere for several years but launched in Australia only in 2018 after the

46 | OCTOBER 2019 NATIONAL LIQUOR NEWS

regulator granted seven crowdfunding licences, the crowdfunder purchases equity (shares) in the company. Equity crowdfunding platforms include Birchal, Equitise, OnMarket, and CapitalFunding. Australian businesses are permitted in a 12-month period to raise up to $5 million via ‘retail’ investors who can each put in up to $10,000. Start-ups put together offer documents published on a platform and promote it through social and other media. A March 2019 article by Venture Insights indicates that since equity crowdfunding came into effect in Australia, around 0.2 per cent (or circa A$6 million) of start-up crowdfunding has been received.

Crowdfunders get involved Breweries raise capital through crowdfunding to pay off debts; upgrade equipment such as canning machines, fermenters and packaging equipment; build infrastructure such as new breweries; pay for better ingredients such as hops and malt; or to expand by opening new sites, bars, and restaurants that will give them a national and international footprint, rather than just a local one. Capital raising is therefore often for specific investments which may or may not be intended to deliver a return. Crowdfunders are particularly drawn to

liquor because it enables them to own a part of the brands they consume and identify with, and in the case of Australians, to support the ‘little guy’, the underdog. It enables them to contribute to something personal or local to them. They may have visited the brewery or distillery and have an emotional connection to it. Tasmanian gin brand Taylor & Smith raised $33,000 via ‘traditional’ crowdfunding on Pozible, rather than using equity crowdfunding, because they believe customers want to connect with the places that make their products, and they wanted to maintain independence.

Who has done it well? Ramsden Lawyers lists a number of successful liquor ‘traditional’ rewards or donationbased crowdfund campaigns prior to equity crowdfunding. These include: • Platform Pozible’s use for crowdfunding campaigns for Black Hops (raising $17,805 in 2015, with a $10,000 target that they met within a day); Sparkke Change Beverage Co (raising $102,827 from 819 investors in 2016); Your Mates Brewing Co (raising $32,575 from 228 investors in 2017); Great Barrier Reef (raising $92,206 from 122 supporters in 2018); and Sinkhole Gin (raising $50,203 from 348 investors in 2018).

INSIGHTS Manly Spirits Co ran a 2017 campaign for a month raising $30,000 from 147 people with the most popular pledge being $80. • Platform ReadyFundGo’s use of crowdfunding campaigns for Eleventh Order Brewery (raising $5,015 from 38 investors in 2017); Mitta Mitta Brewing Company (raising $35,150 from 105 investors in 2017). With equity crowdfunding, the targets appear to be set higher and therefore so are the stakes. Brewdog, using the UK’s Crowdcube platform and a program called Equity for Punks for sporadic capital raising to open breweries such as the one in Ohio, bars now numbering 65 internationally, and a beer hotel, was one of the first to equity crowdfund in beer. In 2011, it offered shares totalling two million GBP, equivalent to eight per cent of capital. The fifth Equity for Punks capital raising round, valued at one billion GBP, represented a 2,765 per cent return for early investors who were able to participate in a share buyback scheme. The company’s 90,000 ‘punk’ shareholders receive free stock on their birthday, online discounts of up to 20 per cent, first options on all new Brewdog beers, and the opportunity to attend the AGM which is a concert at the brewery in Aberdeen, Scotland. Back in Terra Australis, West Winds Gin raised $933,500 from 290 investors and a minimum investor stake of $500 using Equitise, against a minimum target of $500,000 and a ‘pre-money valuation’ of $8.7million, according to Stockhead. Endeavour Brewing lays claim to be the first Australian brewery to equity crowdfund. Its December 2018 campaign set a minimum of $305,000 but was seeking up to $2.3million. Its 76-day campaign on Equitise, according to Stockhead, saw a total investment of $558,000 across 589 investors and an average investment of $953.50. Black Hops used Birchal to achieve their maximum raise of $400,000 in six days. In April, Dainton’s equity crowdfunding raised $150,000 from 127 investors in 48 hours (averaging $1,200 per investor) to build a barrel room, barrel aged beers, and a sour room. At time of writing Holgate was using Birchal for expressions of interest at a minimum $250 per investor. Also in April, bottle shop and brewer Bucket Boys became the first bottle shop to launch a crowdfunding campaign, looking to raise up to $1 million (as reported in April 2019 in Beer & Brewer) to enable the importing and brewing of beer, where its first rounds of crowdfunding were used to open venues. The raise has been contentious in some quarters as the $10 million self-valuation is considered by some to be overcooked. So, it’s not all beer and skittles. Winery Lane raised a lowly $36,000 against a target

of $300k-$900k via Birchal and a pre-money valuation of $4.36 million, according to Stockhead.

Weighing up the risks Equity crowdfunding is a way for early-stage companies to raise money without having to go cap-in-hand to professional venture capital investors or to the ASX. But there are a number of risks for both companies and investors: • Target bands are too broad between minimum and maximum. Many companies meet only the minimum target, or not even that. A Stockhead October 2018 analysis of 17 equity crowdfund campaigns across sectors yielded only four meeting the minimum targets. (This may say something about overly bullish targets) • Companies are not able to raise above the target, so if it is set too low it cannot be oversubscribed • There is no regulation on company valuations, even by the equity crowdfunding platforms. Companies may overvalue themselves, and then must deal with unhappy investors if more money is raised later at lower prices (a ‘downround’). • Early stage businesses using crowdfunding often have no track record so they may not raise needed funds, or the business later fails. Or they may have been rejected by venture capitalists or the ASX. • Although individual investors theoretically are capped at $10,000, they may be able to put in more by using different email addresses. • Investors have no secondary market to which

to offload shares, if and until the company goes public.

Setting the stage for success Factors for a successful equity crowdfunding campaign, according to Black Hops and Endeavour Brewing, include: • Hitting a minimum target early, such as the first day, giving investors both confidence and the fear of missing out (FOMO). • Setting a realistic maximum target and generating enough interest that further rounds are eagerly anticipated and heavily subscribed. • Starting press early to build awareness, engagement and expressions of interest. Supporting press with events. • Setting different investment package levels and rewards to encourage up-trade to higher levels. Crowdfunding enables manufacturers to expand and build their brand via a network of involved investors who may also act as advocates. On the other hand, some craft beer consumer purists may perceive it to be corporate begging, and equity crowdfunding means the company’s stockholding may be significantly diluted. However, given that 40 per cent of craft beer drinkers are aged 30 to 39, and a further 22 per cent are aged 18 to 29, combined with the fact that, according to startups.com, those aged 24 to 35 are the most likely to participate in crowdfunds, craft beer looks set to see an increase in crowdfunding campaigns – if they’re done right.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 47

IRI INSIGHTS

The rise of the humble can at the checkout Alistair Leathwood, the Chief Commercial Officer, Asia Pacific at IRI, shares insights into the growth of canned drinks as well as some other exciting innovations making waves with Australian shoppers.

RI’s latest Retail Liquor Industry insights reveal that Australian shoppers are responding well to canned liquor products. Affinity-based and interactive packaging design concepts are also generating strong growth momentum. Proactively embracing sustainable pack design concepts to meet changing expectations of more socially conscious consumers will gain significance. Over a two-year period to May 2019, the overall dollar growth of canned liquor products is more than four times that of bottled liquor products. Between 2017-19, bottled item sales grew by $151 million and cans grew by $615 million. Despite the rapid growth in canned liquor sales, bottles still generated more than double the annual revenue of canned liquor. Bottled

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liquor accounted for $9.7 billion in retail liquor sales revenue, compared to $4.3 billion for canned liquor. In percentage terms, bottled liquor accounts for 69 per cent of all sales versus 31 per cent for cans. However, in liquor product categories where shoppers have a choice between cans and bottles (i.e. not including glass spirits), our research shows that they’re increasingly opting for cans. Canned liquor grew by eight per cent over two years. Bottled liquor, during the same period, remained stagnant.

Cans exceed bottle growth Growth in cans has exceeded growth in bottles across all forms of alcohol. However, canned beer in particular has undergone somewhat of a renaissance recently. Over the past two

years, canned beer grew by 25 per cent, compared to minus one per cent growth in bottled beer. This is driven by the growth in canned sales within craft, contemporary and premium beer segments. Australian beer consumers like to buy their beer in bulk due to the cost and convenience benefits. Our research shows growth in 30-pack canned beer items exceeded growth in 10 and 24-packs. Whereas 24-packs actually fell by four per cent between 2018-19, 30-packs grew by 11 per cent during the same period. The benefits of ‘buying in bulk’ are evident. Balter’s burgeoning popularity is partly due to its can-only packaging and simplistic, yet recognisable design. Balter is now the number one dollar growth generating independently produced beer brand in Australia at a time when

IRI INSIGHTS growth derived from independently owned craft brewer products is higher than from craft beer brands owned by the larger brewers. Growth in canned ready-to-drink spirits (RTD) has exceeded growth in bottled RTD spirits in the last six to eight quarters. Canned RTD premixes now account for a 77 per cent share of the category. High performing canned SKUs have helped Canadian Club be the most dominant growth brand in RTD spirits. Sales of Canadian Club grew by 15 per cent during the 20182019 period, largely due to their canned cases. Growth in canned cider is helping to offset some of the declines recorded in bottled cider sales. Sales in bottled cider have declined by 10.1 per cent since 2017, whereas sales in canned cider increased by 8.4 per cent during the same period. Canned Mercury Hard Cider has borrowed the aesthetic designs of many RTD spirits and by doing so, has become cider’s growth success story. Cans also accounted for 70 per cent of the growth of Little Fat Lamb, a drink popular among millennials and university students.

Changing preferences In 2019, wine is no longer restricted to bottled packaging. While bottled wine grew by only two per cent, canned wine grew by 677 per cent – albeit from a very low base. These figures are a telling reflection of an important shift in shoppers’ liquor preferences, as well as a concerted effort among retailers to adjust their ranging. Although canned wine may never fully overtake bottled wine, it’s a trend that will accentuate the broadening of repertoires that has characterised Australian alcohol consumption in general. It plays a role in opening the category to a broader range of occasions. Across liquor product categories, there are clear advantages of cans versus bottles: • Easier for store employees to handle and stack on shelves • More robust than bottles and less prone to breakage • Transportable and efficiently packaged for consumer use on the go • Lower ticket price: cost per unit is $5.62 vs $12.02 for bottled wine Millennials in particular value transportable, durable and efficiently packaged alcohol that they can take to music festivals and other casual (and often outdoor) gatherings. In environments where millennials hang out, there is no judgement. There is more scope for innovative designs on cans. There is simply more branding ‘real estate’ on cans compared to bottles, which are mostly see-through. Canned products are achieving cut through, eye catching, visually disruptive designs among a sea of sameness that exists with transparent bottles.

Looking ahead IRI clearly advocates optimising the role of cans in brand portfolios and retail ranging. But we also see a need to integrate more affinity-based and digitally interactive design concepts into brand engagement strategies. Globally and locally we’re seeing traction in engaging designs inspired by prominent socio-

cultural issues or pop culture. Some manufacturers are adopting TV-show inspired themes, like Twin Peaks and the Walking Dead. Some prominent liquor producers have tapped into the theme of affinitybased marketing by partnering with sporting teams like Essendon in the AFL and Liverpool in the English Premier League. Most notably from a sales performance impact, the Game of Thrones themed Johnnie Walker Scotch named ‘White Walker’ has emerged as a leading growth SKU in glass spirits by amassing more than $8 million in sales. Given the success – which was not unique to Australian retail – Johnnie Walker has since launched two new ‘Game of Thrones’ whiskies in its portfolio.

Augmented Reality Liquor brands are now beginning to successfully utilise Augmented Reality (AR) to add something special to their packaging and, in doing, create differentiated consumer experiences. With AR, consumers scan the packaging of AR-enabled liquor with their phone to reveal interactive branded content typically in the form of animation and information on their screen. The growth of wine brand 19 Crimes – which is the number one growth generating brand in the category – is underpinned by effective use of AR to engage digitally-savvy consumers. Consumers are engaging with and learning about the wine before they’ve even tried it. More recently, Jack Daniel’s used AR to engage and inform fans about the drink itself and its history. The number one selling US retail cider brand, Angry Orchard Cider, also recently incorporated AR to reveal tasting notes and pairing advice. Imagine scanning a cider with your phone and it tells you what foods that cider pairs well with. IRI insights also reveal that 54 per cent try to buy environmentally friendly products. A high plurality of IRI panellists (45 per cent) also seek products with minimal packaging. In particular, plastic ring holders for six-pack cases are out of fashion due to pervasive and powerful images of ring holders impeding sea creatures. Amid widespread consumer engagement with single-use plastics, the phasing out of plastic rings and shrink wrap is becoming commonplace globally. Moving forward, we expect choice of packaging to become a more influential attribute in consumer brand choice here in Australian FMCG too. Retailers and suppliers alike must respond to heightened consumer expectations by embracing best practice global developments in sustainable design. Doing so creates opportunities to leverage environmental credentials in brand marketing and storytelling. Being first with ethical options could pay big dividends. IRI’s report, Trends in Retail Liquor Packaging, is available now via ask@iriworldwide.com.au. Our insights quantify the size-of-the-prize evident from pertinent trends in liquor packaging – both in terms of packaging material and format trends, but also broader branding approaches. We also have further scope to provide forward-looking insights via integrated big data and predictive analytics.

“Retailers and suppliers alike must respond to heightened consumer expectations by embracing best practice global developments in sustainable design. Doing so creates opportunities to leverage environmental credentials in brand marketing and storytelling. Being first with ethical options could pay big dividends.” – Alistair Leathwood

NATIONAL LIQUOR NEWS OCTOBER 2019 | 49

IBA CONFERENCE

Purpose Passion Partnership Inside the IBA Trade Workshop Independent Brands Australia (IBA) met on the Gold Coast for their 2019 Trade Workshop. Brydie Allen joined the group this year and reported on the importance of the three Ps.

n September, the Independent Brands Australia (IBA) Trade Workshop descended on the Gold Coast at The Star. This year saw 600 Australian delegates, also joined by 100 of their New Zealand counterparts at a sister conference across the road at the Sofitel. Retailers under IBA’s banners were joined by suppliers and IBA staff, for three days focused on the theme “purpose, passion, partnership”. Chris Baddock, CEO of ALM, opened the first session of the conference by explaining the meaning of the theme. “I think by the end of the three days, you’ll understand exactly what we need to do, and that we need to do this together. We are better together,” said Baddock. “Our purpose is our true competitive advantage: champion successful independents… when you look at championing successful independents, it’s pretty easy to get out of bed. “Then of course our passion, our passion is independence and it’s what we’re fighting for – the only way we can do this is through partnership.” Shane Madden, National Retail Board Member, was the welcome representative for the retailers in the room. He called out the importance of the theme, particularly that of partnership. “I think we’re all here because we’re in partnership, whether that be with IBA, whether it be with suppliers, whether it be your internal stakeholders,” Madden said. “It’s absolutely vital

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that you embrace partnerships, you embrace change, that we continue to look for ways forward in our industry.”

Love for localisation Other speakers also described the need for collaboration and mutual business between retailers and their communities, as well as with IBA and suppliers. It was summed up with an industry panel moderated by Rod Pritchard, General Manager Merchandise at ALM. One panel member was Roz White, Proprietor of White’s IGA Group, who said she has always valued the connection between product and consumer. This connectivity on a local level is something she values at her stores, a unique opportunity that all independent retailers have. She said: “I was kind of sitting there thinking, ‘how do I capture this storytelling? How do I create some emphasis and showcase this in my stores, so consumers can identify and recognise it, and be able to make an informed decision about how they shop?’” Throughout all of the business sessions in the conference, there was this same easy alignment with the conference theme through passionate localisation. There’s a lot of optimism for the future, with the importance of authentic connection to community underlying all of the presentations. A great indication of the passion for community that IBA encourages can be seen

Farewell Gala Dinner Function

by looking at its latest fundraising partner, the Children’s Cancer Institute. Before the conference, IBA in conjunction with the Institute had already raised $35,000 for the Zero Childhood Cancer initiative. Closing off the end of the first business session was a chance for delegates to contribute to the cause as well, nominating each other to go into a ‘snake bath’ with a charitable donation. Twenty people in total laid in a clear tub and were covered in snakes, some even auctioning each other off for donation pledges for the institute. Throughout the snake challenge and the rest of the conference, the total fundraising effort was pushed to over $68,000.

Recognising excellence The conference also featured the annual Trade Expo, which saw 37 stands showcasing beer, wine, spirits and snacks. It was a chance for retailers and suppliers to connect and talk about upcoming innovations, brand focuses and promotions in a unique way. Some examples were Treasury Wine Estates creating personalised wine labels to highlight the Wolf Blass Makers’ Project, Diageo teaming up with Messina to create Tanqueray ice cream, and Pernod Ricard slicing fresh Spanish jamón to pair with their Campo Viejo wines. To end the conference, delegates were split into their state groups for the presentation of the

IBA Five Star Retailer of the Year awards. A top store for each banner was recognised for each state, as well as an overall state winner. ALM’s National Retail Operations Manager Phil Ritchie explained how the awards worked with a video presentation. “Your BDMs [Brand Development Managers] have been tasked with conducting a five star audit on every venue each quarter to assist retailers to be the very best they can be and ensure we all maintain our brand standards,” Ritchie’s video said. “It’s these audits that identify our consistent and very best retailers that we put up in lights at our IBA Trade Workshop.” After the state awards session, delegates moved on to the Gold Coast Convention and Exhibition Centre for the farewell gala dinner. Speaking at this finale event, Baddock said he’s highly impressed with all the retailers under the IBA banners across the country. “During the now 10 weeks that I’ve been in the role, I’ve just been amazed by the quality of our stores,” he said. “They are best in the liquor industry and they’re best in class. It’s not just the look of the store, it is the passion that storekeepers bring to the consumer.” The coveted National Retailer of the Year award went to Patrick Rock’s Cellarbrations Baldivis in WA, with its manager Richard Orton also taking out the Store Manager of the Year. Other awards of the night included Business Development Manager of the Year, awarded to Victoria’s Chris Burnett, and Supplier of the Year, going to the team at Lion.

IBA Trade Festival: IBA Exclusive Brands Trade Stand

Children’s Cancer Institute Donation from IBA network L to R: Chris Baddock, Ali Bramson and Rod Pritchard

“During the now 10 weeks that I’ve been in the role, I’ve just been amazed by the quality of our stores.” – Chris Baddock, ALM CEO Opening the Hall of Fame The final recognition of the night went to the first ever inductee to the IBA Hall of Fame, Anita Grace of Cellarbrations Newman, in WA. Introducing the inaugural award, Baddock explained that each state submitted an exceptional nominee, with the judging then carried out by two long serving retailers as well as Scott Marshall of Metcash, because of his history as CEO of ALM. “The award has been judged over three major criteria: support of IBA, community support and contribution to the broader liquor industry,” Baddock said. Grace was introduced by one of her sisters, Vicki, who described Grace’s history in the community and her career after buying the Newman liquor store over 20 years ago. It then became part of the IBA network shortly after. Throughout her time in the town, Grace also set up a women’s refuge shelter with another local mothers. The centre has helped more than 3,000 women safely get back on their feet in times of need. Grace was welcomed to the stage to accept her award with a standing ovation from the crowd. “When I first started, I was probably somewhat naïve, working in the liquor industry. I can remember one of the reps saying to me, ‘you’re a woman in a man’s world, you’re not going to survive.’ Well I’m still here,” Grace said. “I love this industry. I’m extremely proud, extremely honoured to be part of it.” With passion like Grace’s, that mirrors that of all the delegates in attendance, it’s clear why IBA chose the conference theme, and why they continue with their purpose to champion successful independents.

2019 IBA Five Star Award National Retailer of the Year Winner: Cellarbrations Baldivis WA. L to R: Chris Baddock, Richard Orton, James Allen and Jeff Adams

2019 IBA Hall of Fame Inaugural Inductee Anita Grace. L to R: Chris Baddock, Marina Docherty, Linda Boswell, Vicki Marshall, Anita Grace and Jeff Adams IBA Trade Festival: Bacardi Martini Trade Stand

NATIONAL LIQUOR NEWS OCTOBER 2019 | 51

RETAIL DRINKS AUSTRALIA

Committing to eradicating violence in the workplace Julie Ryan, the CEO of Retail Drinks Australia, talks about the association’s commitment to endorsing and promoting responsible retailing with an overlay of addressing customer behaviour and education.

y column last month talked about the need for a focus on mental health in the retail workplace, not only due to the pressures of running a business but also due to the frontline nature of liquor retailing. It is a sad reality for liquor retailers that they have come to expect violence, abuse and unsociable behaviour as a part of their working life. Retail Drinks has an absolute commitment to eradicating customer disrespect, abuse and violence from its members’ workplaces, and is working collaboratively with other industry associations to develop resources, tools and strategies to address this commitment. On Tuesday, 30 July 2019, Retail Drinks’ Director of Policy and Communications attended the National Customer Abuse and Violence Industry Roundtable hosted by the Shop, Distributive and Allied Employees’ Association (SDA) in conjunction with the National Retail Association (NRA) and Australian Retailers Association (ARA). The event was attended by representatives from various major employers, industry peak bodies, NGOs and government organisations from across Australia to discuss the prevention of customer abuse targeting workers in the retail and fast food sectors specifically.

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One of the major outcomes achieved from the latest Roundtable was the drafting of the Retail & Fast Food Industry Statement on Abusive and Violent Customer Behaviour, which Retail Drinks’ Board has approved for endorsement by Retail Drinks. I would like to share Retail Drinks’ commitment statement and call on industry to continue to be supportive of our forthcoming initiatives designed to address this important topic. Retail Drinks: • Supports the eradication of customer disrespect, abuse and violence from our members’ workplaces • Commits to positively and publicly promoting and supporting a culture of respect and dignity for retail and fast food workers in and around workplaces • Will encourage and facilitate the reporting of all forms of customer perpetrated abuse and violence towards workers, including sexual harassment and assault Our commitment to a retail and fast food industry free from abuse and violence will contribute to creating vibrant, healthy and safe workplaces and communities for workers and customers across Australia now, and into the future.

“Retail Drinks has an absolute commitment to eradicating customer disrespect, abuse and violence from its members’ workplaces, and is working collaboratively with other industry associations to develop resources, tools and strategies to address this commitment.” – Julie Ryan In the coming months Retail Drinks will be commencing a new project aimed at addressing revitalised activation of our traditional role in endorsing and promoting responsible retailing (compliance signage) but with an overlay of addressing customer behaviour and education. Any members or industry interested in being involved in this initiative, I encourage to reach out to Retail Drinks to be a part of our working group, and we look forward to sharing this with you in the future.

BE PART OF AUSTRALIA’S LARGEST INDEPENDENT LIQUOR NETWORK • 2,700 stores & growing • Strong marketing support and targeted promotional programs • Investment into your store • Ongoing core range reviews, dedicated planograms and rebates for retail execution • Dedicated State Business Development and Retail Operations Teams • Unrivalled group buying power with Australia’s leading broad range liquor wholesaler (ALM) • Second largest retail group in Australia

CHAMPIONING SUCCESSFUL INDEPENDENTS

To find out more on becoming part of the IBA group, send us an email at: ibatradeinfo@metcash.com

WINE AUSTRALIA

Prosecco – a winegrape on the rise inAustralia Peter Bailey, Manager Market Insights at Wine Australia, looks at the Prosecco category and its growth in the Australian market.

rosecco is on the rise in Australia. The 2019 National Vintage Report released in July highlights the growth in production of Prosecco grapes in Australia as the sector responds to increased demand for Prosecco wines. While most white grape varieties saw a decline in production volumes, Prosecco bucked the trend, increasing by 42 per cent to 9,936 tonnes, moving it into the top 10 white varieties for the first time. This continues the steady growth trend we’ve seen in the variety over the past five years, up from 2,189 tonnes in 2015. The average purchase price of Prosecco in 2019 was $835 per tonne, well above the national average for all white winegrapes of $462 per tonne. While grape production and average prices are highest in King Valley, at over $1000 per tonne, Prosecco is now grown across 11 Australian regions. The majority is grown in the King Valley and Murray Darling-Swan Hill regions. (see Figure 1)

Growing sales in Australia’s domestic market The growth in Prosecco grape production is mirrored in the domestic offtrade wine market, where sales of Prosecco have increased by more than 100 per cent in the past two years. Prosecco is now the 11th largest variety by value in the off-trade retail wine market with sales of just over $100 million in 2018–19, according to IRI MarketEdge. Australian Prosecco accounted for two-thirds of total sales with Italy contributing a third. Sales of Prosecco in the domestic market are predominantly between $10 and $20 per bottle. According to Wine Business Solutions Wine On-Premise Australia 2018, the share of Prosecco listings of the sparkling wine category grew from 13.9 per cent in 2017 to 20.3 per cent in 2018. Prosecco took share from other sparkling wine categories, with the exception of sparkling red. The growth in Prosecco in the domestic on-premise is also supported by data from eBev that shows Prosecco is now the second biggest sparkling wine category behind Chardonnay Pinot Noir blends. (see Figure 2)

Prosecco, what’s in a name? Prosecco is widely recognised as a grape variety, but it can’t be used as a grape variety in some markets – particularly in Europe. Following a decree made under European law in 2009 that the variety Prosecco be renamed to Glera, the European Commission (EC) no longer

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Figure 1 Source: Wine Australia

Figure 2 Source: IRI MarketEdge

recognises Prosecco as a grape variety, but instead recognises it as an Italian Geographical Indication. Wine Australia regularly updates its Export Market Guides for Australian wine exporters with key market information, such as the markets where Glera or Prosecco may be used, the guides are available at www.wineaustralia.com/selling/by-market/export-market-guide-list.

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SPIRITS & COCKTAILS AUSTRALIA

The spirits category: an opportunity for retailers Alec Wagstaff, the CEO of Spirits & Cocktails Australia, says there is great opportunity for drinks retailers in riding the spirits category’s wave of success and innovation.

he Australian Bureau of Statistics (ABS) recently released its report on alcohol consumption for the year ending 30 June 2018. According to the ABS’s figures, the average daily consumption of alcohol remains unchanged from 2016-17, equating to 2.08 standard drinks per person. However, in 2017-18, overall spirits consumption rose, while the consumption of other alcoholic drinks was either steady or falling. The ABS data confirms other more recent market data that shows increasing consumer preference for spirits. The gin category continues to show more than 20 per cent growth, benefiting from its versatility as an easy-to-use spirit for cocktails. The category has grown alongside the rising popularity of homemade cocktails, with more and more consumers preferring gin. This continued interest in gin is also being driven by new product development, with frequent new launches ensuring that it remains relevant to consumers. Recent Spirits & Cocktails Australia research showed that 67 per cent of people surveyed had

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drank a spirit over the previous month – the same number who reported having had a beer. This is largely driven by the greater number of women who enjoy a spirit compared to beer. This data confirms again the great opportunity for drinks retailers in riding the spirits category’s wave of success and innovation. In the premix category, innovation continues with the recent launches of Sailor Jerry and Bombay Sapphire premixes joining premium brands like Tanqueray, Jameson, Jack Daniel’s and Jim Beam in the marketplace. More investment in manufacturing in Australia is always welcome, especially when faced with crazy high taxes. It is sobering to think what economic value would have been added without the tax grab of 2008. Perhaps it is time for the Federal Government to release the potential of this sector by reversing that tax grab. With the summer season rapidly approaching, retailers need to make sure they have the promotional programs and ranging to ensure they too can benefit from consumer trends to explore and support the wonderful world of spirits.

“With the summer season rapidly approaching retailers need to make sure they have the promotional programs and ranging to ensure they too can benefit from consumer trends to explore and support the wonderful world of spirits.” – Alec Wagstaff

MERCHANDISING

Are first impressions make or break? Stephen Wilson, the Category and Insights Manager at Strikeforce, talks about why first impressions matter when merchandising your store.

he depths of winter are behind us, the weather has become less inclement and we start to emerge from our homes to embrace the changing season. At the same time, your favourite football code is reaching the pinnacle of the season, spring racing carnival is starting to ramp up and the great outdoors is ready to be explored and enjoyed. This is a critical time for retail sales, particularly for brands that align themselves with some of these major events in the lead up to the peak Christmas selling period. For FMCG channels, the focus is on getting the right range, in the right place at the right time, engaging with shoppers and encouraging them to take your product off the shelf and placed into their basket for purchase. The plethora of choice for shoppers in most, if not all categories, makes it mandatory to present your brand proposition in the most compelling way possible. Every shopper is unique and while we are creatures of habit, we may not shop the store the same way every time. How many times has your mission been to simply pick up some bread and milk, yet you leave the store with a chocolate bar, packet of chips or bottle of soft drink as well? We are influenced by store layout, lighting, music and offer so there are plenty of distractions and temptation when we pop into the supermarket to pick up a few items. While there is no magic solution to giving your brand the best possible chance of

success there are several activities that can be undertaken to improve the chance of a sale. First impressions matter. Shoppers are quick to judge a product or brand so if your communication is not effective or your product is not presented in a visually appealing manner it may never feature in the shoppers evoked set for consideration to purchase. A positive first impression can encourage trial and can help anchor your brand in the marketplace and in the household pantry.

“A positive first impression can encourage trial and can help anchor your brand in the marketplace and in the household pantry.” – Stephen Wilson How to give the best first impression Planning - understand who you are targeting. How do they shop? How do they shop the store? How do they shop your category? What else do they buy when they purchase your

product? What barriers are there to purchase? Answering these questions underpins your brand strategy and goes a long way to determining which should be your focus products, where they should be placed in-store and how should they be presented. Partnering - all the planning in the world amounts to little unless it is effectively executed. Choosing a partner who can deliver in full and on time to the plan is critical to maximising sales and return on investment. How the brand is positioned on the shelf, prominent ticketing and timely stock replenishment to ensure availability are all critical to success. Positioning - the importance of planograms cannot be understated, determining where the product will be positioned on shelf and within each category’s universe. The location and quality of displays to intersect with the shopper as they navigate around the store and gaining incremental display space are all paramount to success. Post activity - regular collection of taskbased information, analysis of this information and the effectiveness of your campaign to calibrate future activity is mandatory. Even the most well planned and executed campaign needs to be reviewed, benchmarked, and if warranted revised. Bringing these four pillars of success together in an integrated solution helps simplify the process of making a great first impression on shoppers and increasing the chance of purchase.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 57

LEASING

Disclosure Statements accompanying your lease Marianna Idas, the Principle Solicitor of eLease Lawyers, simplifies Disclosure Statements and tells us what they should include and what we should look out for.

ach state and territory of Australia is regulated differently under retail leasing. Generally, every state requires a Disclosure Statement to be provided by the landlord to the tenant prior to entering into a lease agreement or when renewing a lease. In many states this must be provided at least seven days before (14 before for the ACT) the lease is entered into.

What are Disclosure Statements? This document is different for each state, however they all outline essential lease information such as: • The duration of the lease; • Whether any options for further terms are allowed; • Rent payable; • Rent review method; • Dates the rent review will take place; • Outgoings; • Other financial obligations that apply to the lease; • Tenancy mix; • Trading hours; • Information for shopping centre leases; • Tenant’s fit-out requirements; and • If there are any relocation or demolition clauses. It is important that you review these items. You should pay particular attention to any itemised outgoings figures to give you an idea of the additional costs you are required to pay on top of your rent. There are often hidden costs that you should be aware of. You should ask for clarification on costs if you are unsure prior to signing the Disclosure Statement.

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When should you obtain the Disclosure Statement? After you negotiate an agreement on the main terms of the lease you will be provided with a formal letter of offer, often known as the heads of agreement. This document sets out the key commercial terms. Once this letter is agreed to, the landlord’s solicitor will issue you with a Disclosure Statement and a draft lease. If the landlord does not comply with providing the Disclosure Statement within the time required under the legislation of that state then, the tenant is able to terminate the lease within a certain time frame (except for Tasmania). If the landlord provides a Disclosure Statement that is misleading, false or incomplete then the tenant can also take action that may result in the termination of the lease and compensation. The landlord can also be imposed with a fine if the Disclosure Statement is not provided to the tenant.

What do you do with the Disclosure Statement? After you have read, understood and agreed to the items noted in the Disclosure Statement you should then sign the document and return it to the landlord. Some states require you to also sign a Tenant Disclosure Statement which needs to be returned to the landlord otherwise a fine could apply. For example, in NSW failure by a tenant to supply a Disclosure Statement may incur a maximum penalty of $5,500. Make sure you note all representations made by the landlord or the landlord’s

agent if they are not noted on the Disclosure Statement. Be careful as if you do not make a note of these promises, it is much harder to hold the landlord to these promises in the future.

What occurs if the Disclosure Statement figures appear too low? If it can be shown that the landlord made misleading or knowingly false statements in the Disclosure Statement, then you should be entitled to reasonable compensation for damage suffered. In NSW, the tenant is not liable to pay any amount to the landlord in respect of any outgoing unless the liability to pay the amount was disclosed in the disclosure statement. Any estimate of outgoings which was greater than the actual amount will be reduced unless there was a reasonable basis for the estimate provided by the landlord. This does not apply to taxes, rates or levies that came into effect after the disclosure statement was given and was not an outgoing of the lessor when the lessor’s disclosure statement was given. It is important that you engage a lawyer specialising in Retail Leases to assist you with reviewing your Lease and the Disclosure Statement. They should be able to provide you with assistance to ensure you comply with the relevant laws in your state and to provide you with additional protection and guidance on your lease. Every lease is different, and many contain onerous obligations and hidden costs, which can be avoided with specialist legal advice.

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UNDERSTANDING APERITIVO

Australians embrace the art of aperitivo The aperitivo occasion is all about coming together to enjoy friends, family and food, three values that are also right at the heart of the Galliano brand. As such, Galliano is tapping into the aperitivo occasion with its latest campaign.

he great Italian ritual of aperitivo is continuing to gain traction in Australia. As such, with its rich Italian heritage, Galliano is encouraging people to take part in the aperitivo occasion by creating easy to make Galliano cocktails at home. Traditionally in Italy, aperitivo is about more than just drinks – it’s a whole experience. Aperitivo is all about socialisation and enjoying time together with family and friends over light refreshments and nibbles before a meal and is used to kick-start both the metabolism and the appetite. Although Galliano is not a traditional apéritif, it is a liqueur that is steeped in Italian history and as such, its strategy of building up the aperitivo occasion in Australia and encouraging people to engage in it more regularly, is right on brand. Helena Naprta, from Beam Suntory told National Liquor News that we have an opportunity to build awareness of the aperitivo occasion in Australia, as we see consumers thinking more and more about what they are drinking, focusing on occasions and on premium products. “[Aperitivo] is less of a one-off occasion, as in many parts of Italy it is something that has become as regular as your morning coffee, with it being a daily or weekly event. It is more deeply ingrained into their routines, whereas for Australians it is seen as more of a special occasion that might occur once a month, or before a night out on the town among family and friends,” Naprta said. “What we are trying to achieve through our new drink strategy is encouraging people to engage in the aperitivo occasion more regularly by providing them with cocktails that are easy to make at home. Galliano has a rich Italian heritage, so we want to share these simple, delicious drinks that people can enjoy at home.” According to Shopper Intelligence 2019 insights, liqueurs are ranked as a highly valuable spend category for retailers and rank as the number one spirit in terms of unplanned impulse purchases. “The benefit to the retailer is that it can help build

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the shopper’s basket and drive greater spend per visit. The average basket spend of a liqueurs shopper is 25 per cent more than all other alcohol categories,” said the Galliano spokesperson. “It is a category which is being explored more and more by consumers, and this also provides an opportunity for retail partners,” Beam Suntory’s Group Category Manager, Evelyn Flynn, said. So how should retailers position Galliano in-store in order to drive awareness of the aperitivo occasion? The Galliano spokesperson says they have seen great success from retailers who create shelf displays that bundle cocktail ingredients together. “Recreating the aperitivo occasion in venue is a great way to introduce this to the shopper. By offering simple, easy to make Galliano cocktails paired with nibbles and share food, the customer can experience the Aperitivo occasion for themselves,” Flynn said. “By providing education through cocktail booklets or neck tags, we can provide shoppers with the confidence to recreate beautiful cocktails at home. By creating dedicated cocktail bays for aperitivo with all the essential ingredients to make these cocktails, this makes it easier for the shopper to understand what the key ingredients are and the occasion. “The new Galliano drink strategies are focused around the aperitivo and digestivo occasions, being before and after dinner. Using the Galliano range, there is a flavour for every occasion with a focus on food pairing. We have chosen to focus on these occasions because they are quintessential to Italian culture, with a focus on friends, family and food, which are some of the most important values of the Galliano brand. The focus of the aperitivo strategies is the Galliano Vanilla, providing two light pre-meal drinks, whereas the digestivo strategies are broader, using Galliano Ristretto, Amaretto, Sambuca Black and Sambuca White.” Galliano Vanilla has been a key for the aperitivo style drinks strategy from Galliano, and as such, the brand has provided two simple cocktail recipes as inspiration for retailers to create cocktail bays in-store.

MIMOSA Ingredients: 30ml Galliano Vanilla 30ml of grapefruit juice Prosecco

Glassware: Champagne flute

Garnish: NA

Method: 1. Add Galliano Vanilla and the grapefruit juice 2. Top with Prosecco

ITALIAN STORM Ingredients: 30ml Galliano Vanilla 30ml Light rum 10ml fresh lime juice Ginger beer

Glassware: Highball

Ganish: Lime wedge

Method: 1. Fill glass with ice 2. Add all ingredients and top with ginger beer 3. Stir and garnish

THE ITALIAN ARTISAN OF LIQUEURS

CIDER

A case for craft

Credit Adam Gibson

With year on year decline, a new wave of craft producers find opportunity in the cider category, as Brian Chase Olson discovers.

nnual sales data shows that the overall cider category is struggling to regain its share against that of beer, wine and spirits. When major brands like Somersby and Strongbow capitalised on consumer demand of crisp, refreshing apple cider by pumping tremendous volumes onto retail shelves, the category boomed, more than tripling cider consumption volume between 2012 and 2016, according to data from the Australian Bureau of Statistics. That boom is now a distant memory, and Australia’s most popular ciders are seeing sharp declines in their mainstream SKUs. According to IRI, retail cider has recorded successive years of annual dollar sales declines, leading to a -4.3 per cent volume decline over the last 104 weeks, equating to 3.1 million fewer unit sales in that timeframe alone. “Somersby remains the category’s number one selling brand, accounting for just over one-in-three dollars spent on cider in the off-premise,” Insights Director of IRI Daniel Bone said.

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“The cider category has since (the boom period) become more cluttered – especially in mainstream cider – and is experiencing multifaceted competition from other formats that are trending, such as gin and rosé wine.” With intense pressure coming from multiple categories, in share of sales and shelf space, an underlying current for cider is brewing. It hopes to spark a new thirst for cider in Australia, and with it comes new innovations, and a demonstration of authenticity to bring the craft industry to the forefront.

The rise of craft There’s uncertainty among a selection of Australia’s craft cider producers when reading sales data about the cider category. While they all agree mainstream ciders are in decline, the craft side of the category tells another story. “Cider, in particular craft cider, continues to show growth, which is in contrast to overall alcohol consumption,” Anthony Cook from Granite Belt Cider Co. said. “Muck like craft beer was 10 years ago…

people are starting to move away from the big brands and support smaller, independent cider makers, as they chase authenticity and diversity of flavour.” But is the excitement coming from cider’s craft space enough to bring the category back to growth? The data currently doesn’t stipulate. “We currently do not have that classification,” IRI’s Bone says. Bone notes that the average price per litre for retail packaged cider is $7.08, with brands above that recording a total average of $5.4 million in decline in the 52 weeks to 30/06/19. “That’s reflective of craft ciders remaining on the fringes. Sure, many are growing but it is off a very low base,” Bone said. While the sales data doesn’t show tremendous promise in the total category returning to its glory days anytime soon, Cider Australia is looking at these figures in a new light. “In one sense, it shows that the cider category has matured and reached a certain level of scale. In another sense, it’s a wakeup call to participants in the category on the

Major trends in the cider category: The dry to sweet scale: “Cider has become slightly more dry over the last five years. The super sweet ciders are becoming less prevalent. Not dramatically so. The palate may be maturing, and people are becoming more accustomed to cider and seeking something more interesting.” – Warwick Billings, Lobo Cider Breaking tradition: Fruit infused, rosé styles and the addition of hops: “We’re currently doing a small collaboration with Akasha from NSW, it’s an IPA made with cider apples and no bittering hops, but it carries it off well.” – Sam Reid, Willie Smith’s Authenticity, craft, and locally-made: “People are becoming more knowledgeable and looking for a more authentic product. It’s up to us as a community to educate both customers and drinkers alike.” – Anthony Cook, Granite Belt Cider Co. Better for you: “Mid-strength and low-carb are the largest growth spaces in the market as we see drinkers opt for healthier drinks options and it’s a space that cider feels underrepresented in.” – Sam Reid, Willie Smith’s

Willie Smith’s Bone Dry tin

To order: orders@Squarekeg.com.au www.granitebeltciderco.com.au

CIDER need to continue to evolve by innovation and exciting drinkers with new products,” President of Cider Australia Sam Reid said. Reid is currently serving his fifth consecutive term as the industry’s peak body President. He is also Co-Owner of Tasmania’s Willie Smith’s Organic Apple Cider. One obstacle Sam notes cider is facing lies in clarity. “From a production perspective, the cider category struggles for clarity in definitions. The food standards definition of cider is very loose, and the Australian Taxation Office is very tight. Neither requires products to have a minimum juice content,” Reid said. “As an industry we’re calling on the Government to put together a clearer production standard, like wine has, to give our members some confidence moving forward.” A key initiative to tackle this obstacle is the 100% Australian Grown ‘Trust Mark’ launched in late 2018. The mark, one of the first of its kind in the world, helps consumers identify ciders made with 100 per cent Australian grown fruit. “The 100% Australian Grown Trust Mark was really well received upon its launch and did a great job to unite our members to work together for the benefit of the category as a whole. We have seen significant membership growth as a result of the mark,” Reid said. One member utilising the new mark is Warwick Billings, Cider Maker at Lobo Cider in the Adelaide Hills. “I think it’s a great initiative and it sort of replaces or supplements the fact that we don’t actually have to declare where stuff comes from in Australian off-liquor,” Billings said. “That’s why you get beers that are for all intents and purposes [labelled] German or Italian and they are brewed under lines in Australia. It’s not quite right. So I’m very happy that we are clarifying the situation in cider.” While it’s early days, Billings believes the only way is up with the new mark. “I think people are definitely interested in Australia and I think what we’ve done is we’ve made Australia transparent. That can only be good,” he said.

Matso’s Brewery – a cider alternative Starting life as the most remote brewery in Australia, the balmy climate of Broome has had a big influence on the fun, flavour-filled beers that Matso’s makes. If your customers enjoy cider but are looking for a change, here’s why Matso’s Ginger Beer, Hard Lemon, Mango Beer and Chilli Ginger makes for a refreshing alternative.

Matso’s Ginger Beer Ginger Beer is a category that’s growing fast. It’s the fourth fastest growing beer category (behind IPA, XPA and Summer Ale) and it’s gaining market share at an increasing rate. Within that, Matso’s Ginger Beer is a product that’s outperforming its category by achieving 23 per cent growth, compared to 16 per cent for the broader alcoholic ginger beer category. Matso’s is also the most valuable alcoholic ginger beer brand in the market and comes in as the sixth highest growth brand in the mid-strength beer category – tapping into the latest trends for lower alcohol alternatives. Born out of WA’s Kimberley and now shared across the country, it’s a brand with a strong history and authentic story – something customers crave. At 3.5%, it’s sweet, zesty and designed for all occasions. It’s also gluten free, which appeals to more than 2.5 million Australians who follow a gluten free or reduced gluten diet. And it’s naturally sweetened with Australian cane sugar, backing local industry and farmers.

Matso’s Hard Lemon More and more Australians are searching for ‘healthier’ alcohol alternatives – with low carb and low sugar product sales growing by 36 per cent (source: Drinkwise). And cider drinkers are no different, often looking for lower in sugar options. That’s where Matso’s Hard Lemon provides a viable alternative. Made with Australian lemons and no artificial flavours or preservatives, Matso’s Hard Lemon is produced with only half the sugar of other lemon premix drinks – a perfect switch for cider lovers who are concerned about sugar in their diet. Matso’s Hard Lemon is vegan friendly and low gluten. It’s a new sparkling alcoholic lemonade, filled with fresh lemon aroma. It has a dry and effervescent mouthfeel and finishes crisp and tart.

Matso’s Mango Beer and Matso’s Chilli Ginger Beer Two favourites of the Matso’s range and yet another refreshing change for cider drinkers, Matso’s Mango Beer combines full fruit aromas with a subtle sweetness and a dry finish. It’s easy drinking and balanced with a refreshing hint of mango. It’s made with Australian mangoes and is vegan friendly. Matso’s Chilli Ginger is the perfect blend of refreshing ginger and chilli heat. Best served over a big glass of ice with a wedge of lime. It’s gluten free and naturally sweetened with Australian cane sugar.

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CIDER

Hello summer One thing that hasn’t changed is the seasonality of cider. “Without doubt summer is obviously the time and place for cider drinking. It’s a product that’s about having fun out in the sun,” said Miles Hull, Marketing Manager for Good Drinks in Western Australia, which produces the Hello Sunshine cider brand. “That’s exactly where we see the spike in sales, particularly through the summer events period. Cider is particularly about occasion-based consumption. It tends to be when you’re outside having fun in a social-based engagement.” There’s no denying cider’s charm in summer drinking occasions and while traditional Apple and Pear SKUs still dominate the conversation when it comes to shelf space, new trends from other international markets are starting to permeate our shores. “I see a lot of excitement about pink cider, so I’m guessing we’ll see more in the future. It really wouldn’t surprise me,” Billings said. Much like the name suggests, pink cider diverts from cider’s traditional colour with a bold pink hue. This can be the result of hybrid production processes, much like Strongbow’s Blossom Rose Sparkling Apple Cider (a high alcohol sparkling cider and wine blend) or the new Rekorderlig Blush Rosé. Alternatively, the use of alternative apple varieties can be used to create the striking rosy hue. “The resource to do that is becoming available. There are now pink fleshed apples in Australia, only small quantities. But if someone can find the market, apple growers would be happy to supply the apples,” Billings said. The addition of fruit flavour has also seen a new batch of ciders come into the market. In the UK, there’s been significant growth of ciders infused with a variety of flavours, like wild berries or ginger, and local producers are taking note. “IRI has recorded successive years of double-digit increases in fruit flavoured in the UK as brands like Strongbow Dark Fruits hit the sweet spot with drinkers,” Bone said. “The trend is similar in Australia but less pronounced. We’re also seeing double-digit gains in fruit cider in Australian retail (+13.5 per cent) but the flavour segment’s share of the category (18 per cent) is only half that of the UK off-premise market. So we envisage further stretch here locally.”

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“(It’s time) for producers and retailers to start to take cider drinkers on a journey to more premium, discerning styles of cider and maintain value in the category.” - Sam Reid, Cider Australia

CIDER

Fast facts Apple picking in Willie Smith’s Orchard. Photo credit: Ali Nasseri

“(Customers) respond best to brands where we can tell them that the producers are growing their own fruit. That kind of knowledge gives the customer a sense of trust that the cider is only going to be quality and not a brewery trying to make a quick dollar off fermenting apple concentrate.” – Cameron Flett, Warners at the Bay The space race (or) Competing for space While an invigorated craft market and new innovations aim to push the cider category back into favour, the next challenge will come at the retail front as producers push to regain limited shelf space. “The cider category has declined at -2.8 per cent in value for retail liquor providers Australia-wide in the last 12 months, with Thirsty Camel bottle shops mirroring this trend,” Thirsty Camel Marketing Director Leah Grinter said. “We are still seeing some growth coming from innovation, but for the most part the market leading brands are all in decline. We are seeing retailers rationalise cider doors in-store, changing to other categories including non-alcohol alternatives.” On the craft front, some retailers are tapping into audiences from other channels to bring them into the cider category. “Playing off our strong craft beer clientele, we have customers who come in searching for something

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different, something with a story to it,” Warners at the Bay Bottle Shop Manager Cameron Flett said. “(These customers) respond best to brands where we can tell them that the producers are growing their own fruit. That kind of knowledge gives the customer a sense of trust that the cider is only going to be quality and not a brewery trying to make a quick dollar off fermenting apple concentrate.” For Cider Australia, communicating the Australian-made message will be key to changing the conversation and they are hoping retailers will be ready to jump on board. “From a retail perspective, the challenge is about how we justify shelf space now we are seeing the category in decline for the first time in 10 years. We feel the time is right to turn to a value led conversation rather than the volume led conversation of the past few years,” Reid said. “(It’s time) for producers and retailers to start to take cider drinkers on a journey to more premium, discerning styles of cider and maintain value in the category.”

– the Cider Australia Trust Mark

1. The mark can only be displayed on ciders made with 100 per cent Australian grown fruit. 2. Current regulation only stipulates non-priority foods (like cider) must include a country of origin claim on labels, so the country of origin statement must relate to where the cider was ‘made’ (fermented) rather than where the ingredients were ‘grown’. 3. The trust mark can only be used on a product if: a. 100 per cent of the ‘juice’ (apples, pears or respective concentrates) used in its production were grown in Australia. b. It is defined as cider or a fruit wine under Australia & New Zealand Food Standards Code. c. It contains at least 50 per cent minimum apple and/ or pear juice by weight. d. It does not contain added ethyl alcohol. e. You must be a member of Cider Australia and enter into a licensing agreement.

RTD Feature

WELCOME TO THE FAMILY. C R A F T E D W I T H C A R E . E N J O Y T H E S A M E WA Y. J A C K D A N I E L’ S & L E M O N A D E , D R Y, G I N G E R B E E R , C O L A & Z E R O S U G A R C O L A 4 . 8 % A B V ( 9 . 6 P R O O F ) , J A C K D A N I E L’ S D O U B L E J A C K & D R Y 6 . 9 % A B V ( 1 3 . 8 P R O O F ) , G E N T L E M A N J A C K & C O L A 6 % A B V ( 1 2 P R O O F ) A R E R E G I S T E R E D T R A D E M A R K S . © 2 0 1 9 J A C K D A N I E L’ S . C A N N E D U N D E R L I C E N C E I N A U S T R A L I A F R O M L O C A L A N D I M P O R T E D I N G R E D I E N T S F O R B R O W N - F O R M A N A U S T. P T Y. L T D . J A C K D A N I E L S . C O M

READY TO DRINK

Staying in style Although growth in the ready to drink category has slowed since its boom in 2017, plenty of innovation from suppliers and a desire for convenience from consumers means that it is still an important category for retailers to be focusing on, as Brydie Allen discovers.

ast year, the ready to drink (RTD) category was pushed into the spotlight after experiencing a surprisingly large growth spurt. With millions of added value to the market in 2017 and an increased consumer appetite for convenience, RTD products seriously stepped up their game. However, according to the latest Australian Bureau of Statistics (ABS) data, the RTD category is yet to fully recover from the 2008 alcopops tax hit. In the past decade, RTD consumption has dropped by a total 48.6 per cent, a fall that was mainly concentrated in the five years after the tax. Despite increased and intensified competition driving innovation and expansion across the

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board, the rate of growth in the RTD category last year was soft at just 2.6 per cent (almost half the rate of the year before), according to IRI Market Research. Data also shows that the growth rate of light spirit based RTDs has now surpassed that of their dark spirit based counterparts for the first time in the $2.5 billion category. But as Emily Nget, RTD Brand Manager at Brown-Forman Australia says, a slower rate of growth shouldn’t be cause for concern, as the category and its core products are still strong. “RTD makes up 14 per cent of sales value across total liquor and is one of the fastest growing segments,” Nget said.

READY TO DRINK Lighter is brighter

“Jack Daniel’s RTD is strengthening its position as number one and the most valuable trademark in the RTD category, carving 17 per cent of the value of the total RTD market (including Light RTD),” she said. Although the past year wasn’t as spectacular as 2017, it’s an example of the ongoing strength of the RTD category into the future, according to Diageo. “We expect premix to continue this growth trajectory, with positive three per cent growth year on year to 2022, driven by larger core categories stabilising and smaller categories continuing to grow with more innovations coming to market,” said Kate Bean, Diageo’s Group Category Development Manager.

This year tells a different tale to what we’ve come to expect from the RTD market – with light spirit RTD products overtaking their dark spirit counterparts to lead growth in the category for the first time. “Light RTD premixes have recorded accelerated sales growth of 6.2 per cent – up from 3.2 per cent a year ago,” said Insights Director at IRI, Daniel Bone. “The momentum propelling glass gin sales has been gathering scale in the RTD aisle, with gin-based premixes sales up 64 per cent year on year and therefore generating over a quarter of the category’s actual dollar growth. This is significant given that gin-based RTD still account for less than two per cent of total category dollars.” Nget said the sudden swap in growth is happening because “innovation in light spirits is bringing new SKUs to the table driven by its on-premise success”. A consumer desire to recreate on-premise experiences with off-premise purchases is something that Diageo calls the “homing” trend. Bean said this is most noticeable in the light spirit RTD section, including products such as “cocktails in a can [which provide] the convenience of bar-quality cocktails, anywhere”. This has also been the main driver for the bottling of cocktails for the RTD market by the Lexington Hill Cocktail Club. The brand’s Senior Marketing Manager, Marc Lord, said that they’re excited to bring the on-premise success of draught cocktails to the off-premise. “Cocktails are increasingly popular but they can be difficult to make perfectly, and purchasing individual ingredients can be costly for consumers wanting to recreate the cocktail experience at home,” Lord said. “True to the ethos of Lexington Hill, we are continuing to reduce barriers and allow new consumers to explore cocktail culture.” An assortment of RTD cocktails is just a taste of the high rate of new product development (NPD) in the light spirit category, with gin being another stand out area. It’s vodka that is the powerhouse overall though, remaining the most popular spirit base in light RTDs and the second most popular overall. Carlton & United Breweries’ (CUB) Brookvale Union sees this as a major growth opportunity. Brand Manager, Andrew Marsh, said: “we still see a gap in the market for premium step up brands within vodka RTDs.

“Visibility is crucial to tap into shopper impulse purchasing. Placement in fridges is essential given products are consumed within hours of purchase.” – Emily Nget, Brown-Forman

NOW THAT’S REFRESHING. L I V E F R E E LY. DR I N K R E S PONS I BLY.

READY TO DRINK

“Value and core vodka RTD brands index heavily towards 18-24 year-olds, who often leave the category in their mid-20s searching for more ‘mature choices’.” Asahi Premium Beverages, which has a range that includes light spirit RTD brand Vodka Cruiser, has also noticed a decline in consumers opting for vodka RTDs post the age of 22. Group Marketing Manager for RTDs, Spirits, Cider and Sponsorship at Asahi, Virginia Woodger, said this is something retailers could help drive. “Vodka RTD buyers’ frequency reduces post the age of 22 as they explore other segments and while gin is doing a good job of increasing frequency from the age of 35 onwards, a considerable opportunity exists in providing an offer that appeals to the 22 to 35 demographic,” she said.

The stepping stones to spirits In the past few years, well established spirits brands have begun dipping their toes into the RTD pool for the first time. The trend doesn’t seem to be slowing down, with September seeing the release of both Bombay Sapphire and Sailor Jerry’s first RTDs. Expanding into the RTD category helps drive the growth of a brand’s original full sized bottle spirits (FSBS) champions, something that Bombay Sapphire describes as motivation for their new Gin and Tonic RTD. With ABS data showing that spirits consumption has increased by almost 10 per cent in the past year, this isn’t such a bad idea. The intention to funnel RTD drinkers into buying the FSBS version is clear just from looking at the G&T’s packaging – a smaller yet instantly recognisable Bombay blue glass bottle. Bacardi-Martini used this technique to keep on top in the ever popular gin category, which they say has grown by 40 per cent since last year.

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Sponsorship, Experiential and PR Manager at Bacardi-Martini, Penny Sippe, said: “The RTD format plays a key recruitment role into glass spirits, increasing gin penetration and basket spend among shoppers. “What we’ve seen is that RTDs are generally incremental to the basket and then up to six times more likely to go and purchase the glass spirit in the next shop.” Sailor Jerry’s spiced rum-based RTDs also hark back to the FSBS with the iconic hula girl character appearing on the cans. Brand Manager, Hannah Ellerkamp, said this was to help the new product disrupt the category. “It was clear in our consumer research, as well as with our design, that it really stands out on the shelf,” she said. The reason behind the RTD’s development in the first place was different to that of Bombay Sapphire’s, looking to create and drive growth. Andrew Skehan, Marketing Manager at William Grant & Sons (WG&S) said: “spiced rum has become a relatively flat category, so a way to reignite a flat category is through innovation. “Innovation and recruiting for the category is really important for the overall health of spiced rum, not just for Sailor Jerry.” Mirroring the original FSBS is something that has already proven successful for brands moving into RTD format for the first time. Both the Gordon’s and Tanqueray RTD debuts were very reminiscent of their FSBS, and were ultimately highly successful. With such great results, Diageo was able to expand further into the spirits and RTD category with different flavours and variations. Commenting on the launch of the new Tanqueray Flor de Sevilla Gin and Soda, Diageo’s Marketing Manager for Gin and Light Spirits, Linda Wellington, said they underestimated how popular their premixed G&Ts would be when they launched.

“We’ve seen retailers increase basket size with premium RTDs in two ways; disrupting the shopper at point of purchase with eye catching counter displays, and incorporating sensory theatre (for example, including coffee beans at the same purchase point as an Espresso Martini RTD), to inspire the shopper and educate on serving rituals.” – Marc Lord, Lexington Hill Cocktail Club

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NO SUGAR.

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READY TO DRINK “It’s interesting to observe how consumers’ shifting behaviours are shaping their desires, as more look for ways to enhance at home occasions or moments to unwind,” she said.

Demand for higher ABV There’s been significant growth happening at the high end of the ABV scale, driven by consumer needs for quality, convenience and value. Dark spirits are responsible for a lot of this action, with IRI’s Bone identifying that dark spirit houses like Jack Daniel’s and Jim Beam “represent the comparative strength of higher ABV RTD products”. Nget says they’ve noticed the Brown-Forman customer having an increased appetite for a robust whiskey taste, hence the stronger products with less mixer. “The higher ABV segment of seven per cent and above is growing solid – currently as a rate of 8.4 per cent. The ultra-high ABV segment of nine per cent and above has been a driving force behind this, making up five per cent of dark RTDs and growing at 17 per cent,” she said. Over at Diageo, Head of Innovation, Hayden Abercrombie, said this type of growth has been seen mainly in their nine per cent ABV range, which includes the Captain Morgan & Cola Barrel Serve, Smirnoff Ice Double Black Premium Serve and Johnnie Walker & Cola Bar Serve. “These come in smaller 250ml cans, that are becoming more and more popular as consumers call for less mixer,” Abercrombie said. “These higher ABV serves are attracting not only millennials, but more premium shoppers.” Asahi has catered to this trend with the release of the Woodstock 10 per cent cans in packs of 10. Woodger said that “high ABV is a growth area across light and dark RTDs due to the value proposition but also enhanced flavour profiles of high ABV products”. Back at the lower end of the ABV scale, dark spirit RTDs are also still in growth, but softer than previous years after cycling through record breaking statistics in 2017. Although IRI said this was led by Canadian Whisky, Brown-Forman said it’s the American Whiskey and Cola combination that consistently dominates the whole RTD section. Nget even described the combination as making up one in every two dollars spent. Southern Comfort, backed by South Trade International, agrees with the importance of American Whiskey RTDs. Senior Brand Manager Emma Fogarty said this is why Southern Comfort has an RTD version. “Our focus is around making it easy for drinkers to enjoy a perfect serve,” she said. There’s still demand for more dark RTD products though, a factor which Skehan said helped encourage Sailor Jerry to move into the space. “Our retailers and consumers have been asking ‘when are you going to bring out Sailor Jerry in RTD format?’” he said. “They knew there was a market for it, we’ve been listening to that request.”

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Available Now FOR MORE INFORMATION PLEASE CONTACT YOUR LOCAL BACARDI MARTINI AUSTRALIA REPRESENTATIVE OR CONTACT OUR CUSTOMER CARE TEAM ON 1800 357 994 OR BMACUSTOMERSERVICE@BACARDI.COM

Wherever You Are

READY TO DRINK Super star solo acts Thinking of RTD products, often what comes to mind are the usual suspects, backed by their well-known and recognisable parent FSBS. While this RTD format is popular, that shouldn’t discount the performance from outside the spirits houses, where brands release standalone RTD products that become immensely popular in their own right. The most enduring example is the Vodka Cruiser, which Woodger said has always been a high performing RTD. Despite not having a FSBS, the Cruiser has a huge market share. “Vodka Cruiser is delivering another standout year with strong growth. One in three Light RTDs consumed is a Vodka Cruiser.” Other smaller contenders are those outside of the traditional liquor industry who innovate their products for a share of the growing RTD market. One such example comes from Australian ginger producer Buderim Ginger, whose beverage collection now includes two alcoholic ginger beer varieties. With 4.5 per cent ABV, the Alcoholic Ginger Beer and Ginger Beer & Spiced Rum tap into consumers’ need for something different. Senior Marketing Coordinator, Angela Chen, said the range is an innovation to the Buderim legacy. “With over 78 years of experience in creating ginger products and recently awarded the prestigious 2019 Queensland Business History Award, Buderim Ginger’s refreshing mix of alcoholic ginger beers successfully delivers a superior flavour profile in eye catching packaging that connects with people looking for something different with a premium look and feel,” said Chen. It’s an idea that could be catching on – with Jack Daniel’s introducing two ginger flavoured products to their RTD offering as well. Meanwhile, Brookvale Union, which has traditionally had ginger beerbased RTD products, has expanded to cater to different tastes, with the creation of their first alcoholic iced tea. “We should be looking to change consumer tastes across the broader beverage category, and unexpectedly locally iced tea has shown consistent double digit growth over the past five years,” said Marsh. “Learnings from global markets like the US and Canada can also illustrate the real potential that alcoholic iced teas can have.”

“What we’ve seen is that RTDs are generally incremental to the basket and then up to six times more likely to go and purchase the glass spirit in the next shop.” – Penny Sippe, Bacardi-Martini Australia However, Woodger says the move into these non-traditional RTDs isn’t yet proven to be successful in Australia and requires more time to analyse their full impact. “We are seeing new spirit bases enter the RTD fridges with products such as alcoholic kombucha or shochu-based RTDs. These are all aspiring to create new consumer behaviours and may take time to establish themselves,” she said.

Ready to capitalise? Spirits and RTDs now account for 19.9 per cent of Australia’s apparent alcohol consumption, according to the latest ABS data. In such a competitive category where classics and new innovations are fighting for sales, the way you stock RTD products is key to successfully capitalising on current consumer trends. “The RTD category in Australia is hugely important. With our lifestyles so geared towards socialising and the outdoors, the format is convenient, as well as regulating the serve, ABV and the ideal taste profile,” said Fogarty of Southern Comfort.

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READY TO SERVE COCKTAILS 2 SERVES PER BOTTLE

READY TO DRINK

“Visibility is crucial to tap into shopper impulse purchasing. Placement in fridges is essential given products are consumed within hours of purchase.” – Emily Nget, Brown-Forman

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Nget agreed, and said: “Given RTD is the fastest growing category, it should be presented at a prime location within the store.” Within the RTD section itself, positioning of different brands and flavours is a balancing act that requires regular re-evaluation, especially as new products enter the market. As Nget described category management, she said: “The best practice is to represent each segment based on its value size. At the moment, too much space is dedicated to brands with low awareness that add clutter to the shelf, making it hard to shop and a less enjoyable experience.” Asahi agrees with the need to reserve fridge space for the core top performers, with Woodger commenting that: “It’s a fine balance between utilising space for unproven new products and pushing further strong performers. It will require regular fine-tuning. “An influx of gin products will continue to put pressure on the core Light RTD range, but given the size, growth and importance of the vodka core range retailers must look to protect the core growth engine.” Convenience is a major driver for RTD sales, with most products consumed on the day of purchase, so presenting retail options in a way that caters to this need is key. This may affect pack sizes, refrigerated options and levels of premiumisation within a store. For Brown-Forman, this is especially true for American whiskey RTD drinkers, who Nget described as “highly engaged in their shopping experience”. She said: “Visibility is crucial to tap into shopper impulse purchasing. Placement in fridges is essential given products are consumed within hours of purchase.” Lexington Hill’s Lord said that retailers are getting creative to cater to this impulse shopper, with great results. “We’ve seen retailers increase basket size with premium RTDs in two ways; disrupting the shopper at point of purchase with eye catching counter displays, and incorporating sensory theatre (for example, including coffee beans at the same purchase point as an Espresso Martini RTD), to inspire the shopper and educate on serving rituals,” he said. Another unique aspect of consumer behaviour is tuning into stories behind the brands. It’s something that Buderim Ginger will be using to help drive understanding of the product, and certainly something that can be capitalised on in-store. “Authenticity and provenance are two of the most significant trends driving growth within the beverage industry,” said Chen. “The cornerstone of Buderim Ginger’s marketing strategy will be to focus on the provenance and heritage of the brand.”

Champagne and Sparkling Feature

Available in all good liquor retailers

CHAMPAGNE & SPARKLING

SPARKLING MOMENTS

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CHAMPAGNE & SPARKLING

It seems the craft phenomenon is extending outside of beer and spirits, with Andrew Graham discovering that when it comes to Champagne and sparkling wine, consumers are beginning to drink less but are willing to invest more to drink craft products.

ecently, scientists at the University of Reims worked out that the popping of a Champagne cork generates mini supersonic shockwaves similar to jet exhausts. Fittingly, Champagne has enjoyed explosive growth over the last decade here in Australia, recording an almost tenfold increase in sales since 2019. That trajectory resulted in an all-time peak of 8.53 million bottles in 2017, pushing Australia to be the seventhlargest Champagne market in the world (Comite Champagne figures). But it’s not all celebration for the Champenoise. In 2018, domestic sales levelled off from this rampant growth, shedding 200,000 bottles imported since 2017. That’s on the face of bubbly growth from Prosecco (both local and imported) – which has generated an additional $51.5 million in growth over the last two years, a 99 per cent increase (according to IRI figures), second only behind Shiraz and rosé. What’s more, Australian premium sparkling is narrowing the gap, with a new generation of fine Australian fizz taking it right up to the French.

Big house and beyond Don’t be fooled, however, the Champenoise aren’t going to give up market share without a fight, and they’re getting creative. For a timely example of this new creativity, this November Clovis Taittinger, fourth-generation family member and Taittinger General Manager, is holding a series of ‘Meat and Greet’ events where Taittinger is matched with charcuterie.

Sure, that’s largely an inventive way to help remind us that Champagne doesn’t only match with oysters. But indicative of the evolving face of the most famous sparkling wine in the world. Taittinger, too, was the first Grand Marque Champagne house to plant vines in the UK, tackling the challenge of climate change with clever investment outside of its homeland. They’re also dropping dosage levels across the board in response to a changing climate (and changing tastes). Pierre-Emmanuel Taittinger, President of Taittinger, famously said that “Taittinger would prefer to produce fewer bottles of Champagne so that each one, the moment the cork is popped, delights, enchants and demonstrates that excellence is not myth but reality”. Still, Champagne faces a very unique (and somewhat problematic) situation in Australia. Compared to the rest of the top 10 markets, we have the lowest average bottle price outside of France; lowest takeup of rosé; the least prestige cuvée; highest proportion of NV sold and fewest Champagne houses imported. Neville Yates, Owner of premier importer Eurocentric Wines (which brings in producers like Rene Geoffroy and Chevreux-Bournazel), sees those last elements as particularly frustrating. “Australia’s love of big house NV fizz is more like an addiction,” he said. “We appear to be suckers for advertising or scared to explore beyond our comfort zone. On a date and want to impress? Order the first Champagne name you recognise. It’s just like men driving cars – must not ask for directions. Much better to get lost.”

CHAMPAGNE & SPARKLING

Still, Yates’ extensive portfolio of top grower Champagne shows there is more out there, as does a new wave of small houses enjoying success, like Champagne Frerejean Frères. Established in 2005, this new venture is based out of a small vineyard in the Cotes des Blancs and pushes towards the top shelf, as CEO Rodolphe Frerejean-Taittinger explains. “We understand Australians love brands however, we are enjoying the trend shift in drinking in general,” he said. “Consumers are beginning to drink less but are willing to invest more to drink craft products, and Champagne Frerejean Frères is at the opposite of the big mainstream standardised brands; it’s a wine from Champagne with identity and a strong personality, with wines aged for a minimum of five years. This creates a luxury, rich feel unlike any Champagnes on the market.” Small houses like this have a freedom, too, which allows for all sorts of creativity. Importers like Yates have seen this first hand. “For me, the most exciting trend in Champagne is the rise of straight Meunier, and the young guys coming through are showing it the love it deserves,” he said. “It’s not just a filler. Crop it low, raise it well and Meunier can be fascinating.” It’s not just more mainstream grapes either. “We’re seeing more experimentation with the ‘forgotten varieties’ - Arbanne, Petit Meslier, Pinot blanc and Pinot Gris,” he said.

Going green Of course, the hottest topic in wine is not just ancient varieties but sustainability, as Kyla Kirkpatrick, CEO of renowned Champagne specialists Emperor Champagne, explains. “The biggest movement in Champagne at the moment is the focus on organic, and to a lesser extent, biodynamic viticulture and winemaking,” she said. “This would have to be the strongest movement in Champagne at present and we will continue to see the rise of organic, biodynamic and now sulphur-free Champagnes as the quality and choice continues to get better and better with each passing year.” Even the biggest producers are getting involved. “We are also seeing the grand marques like Louis Roederer and Billecart Salmon moving towards organics.” The mention of Louis Roederer is particularly apt, with reports that up to 83 per cent of the fruit for its top cuvées (Cristal and blends) are now sourced from biodynamic fruit. You can add Champagne Lanson to that list too, with the company releasing a new Organic Green Label NV using fruit from the old Leclerc Briant vineyards (which were once the largest biodynamic plots in Champagne). This movement has come from grower Champagne producers too, as Kirkpatrick explains. “(Growers) are also putting upward pressure on the big boys to move towards organics (as many of the smaller producers are more focused on vineyard health) and are actually transforming the Champagne category,” she said. “It has never been a better time to be a champagne consumer.”

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Mionetto. More than just a Prosecco. Since 1887, Mionetto has inspired Italians to truly taste the good life. With its light, crisp and refreshing flavors of golden apple, honey and white peach, Mionetto Prosecco will help you celebrate all of lifeâ&#x20AC;&#x2122;s moments, whether big or small.

CHAMPAGNE & SPARKLING

Harvest in the Delamere vineyards

On the home front Domestically, the best sparkling producers are evolving too. And what’s particularly interesting is that rosé is at the pointy end. At Hanging Rock in the Macedon Ranges, makers of the charismatic Macedon XVII fizz, General Manager Sales & Marketing Ruth Ellis, has definitely noticed a boost in pink sparkling wine, both domestically and internationally, although it’s not a straightforward proposition. “We still have some work to do to convince the general public that just because it’s a rosé doesn’t automatically make it sweet, but we’re certainly getting there,” she said. Globally, rosé is an unstoppable phenomenon, with more than one-in-six bottles of Champagne sold in the USA now pink. For Fran Austin, Winemaker at Tasmania’s Delamere vineyards, the only challenge has been keeping up with demand. “Sparkling rosé sales for us have grown by 150 per cent over the last three years, and 50 per cent over just the last two,” she said. “And over the last year we could have sold much more, if we’d had the stock available.” Indeed for many Tasmanian sparkling producers supply is an ongoing problem, especially for producers who grow their own grapes. At Delamere, 70-80 per cent of fruit is dedicated to fizz and Austin has almost doubled plantings to keep up. More broadly, this is of little surprise given the popularity of sparkling wines locally. According to figures in Tyson Stelzer’s The State of Champagne report, almost half of Australia’s adult population

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consumes sparkling wine and nearly one-third of these do so monthly. Of particular interest are the pricepoints, with the appetite for premium Australian fizz across pricepoints from $15-$49.99 all growing (IRI figures). Although the sub-$15 pricepoint is in structural decline, hoovered up by Prosecco. Indeed the hurdle for Australian premium sparkling producers is the perceived price ceiling, with very little wine sold over $50 a bottle as Champagne takes over. Austin sees this as a challenge. “Aussies still seem to be in love with HouseChampagne NV, but there is also growing interest (off a small base) in grower/producer Champagne, and we find that interest follows onto businesses like ours; Grower/Producer Tasmanian,” she said. “What I’d love to see is more of a shift up the pricepoint spectrum, so Australians drink more highquality Champagne, leaving space for the high quality very reasonably priced Australian sparkling.” Ellis at Hanging Rock has seen the evolution of Australian sparkling wines since the start, and can’t help but get excited about the future. “When we started making serious bubbles back in the early 80’s, the premium Australian sparkling category just didn’t exist,” she said. “Through the hard work of some of the big (and small) players in town, Australian sparkling wine is being taken seriously both domestically and internationally. “I think we still have some work to do in showing consumers the great value for money in premium Australian sparkling wine over Champagne, but we’ve certainly made a great start.” At Terre à Terre in the Adelaide Hills, Xavier Bizot believes that a key way to grow premium Australian

Henkell still the one While Champagne hogs the imported fizz spotlight, there is another bubbly that quietly dominates sales, Germany’s Henkell. A pioneer in the worldwide sparkling category, Henkell is Europe’s best-selling export in sparkling wine and is selling strongly in Australia, ranking as number two in the $12-$15.99 sparkling wine segment (IRI figures). Australia is among the top four markets for Henkell in the world. Henkell also has another claim to fame, with the company inventing the Piccolo bottle way back in 1935. Recently they’ve been harnessing the power of Instagram to drive sales of the Piccolo and make it a lifestyle accessory of choice. Last year, Henkell merged with Freixenet to form what they now call the “largest sparkling wine company in the world” with global revenue of €1.1 billion and eight per cent of the world’s sparkling wine market.

Since 1760, the House of Lanson has remained family owned. Faithful to its heritage, Lanson Champagnes have always been made the original way, avoiding malolactic fermentation, offering an exceptional development of flavors while preserving the natural purity of the fruit. This historical commitment makes Lanson wines more fresh, crisp and elegant with a longer ageing potential. Our most recent addition to the family is cuvée Père et Fils Brut NV which is available exclusively through the On-Premise and selected independent wine stores. This enriched evolution of the classic Black Label pays homage to the uniquely mouth-watering House style.

ING W

PRODUCE R

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Distributed by Wine DNA, a network of Australia’s top independent wine distributors NSW : Young & Rashleigh Wine Merchants - VIC : Sante Wines - QLD : Cuttings Wines - SA : Options Wines

w w w.lanson.com

#TH E PE RF E C TS TA R T

P LE A S E DRIN K RE S PON S IBLY

CHAMPAGNE & SPARKLING sparkling is to emphasise the quality of the winemaking, registering a new trademark of ‘Method Classic’ to protect and showcase the process (much like Method Champenoise for Champagne). Bizot notes that the challenge for Australian sparkling winemakers is that “there are no rules that govern the use of the names ‘traditional method’ or ‘méthode traditionelle’, so they may be used on the label of a sparkling wine”. This new trademark will then help to delineate the quality of premium, handpicked, bottle-fermented local sparkling such as Bizot’s Daosa Piccadilly Valley Natural Réserve and drive the fortunes of premium Australian sparkling forward.

The Prosecco juggernaut No discussion of sparkling wine in Australia can ignore the rise of Prosecco, with the value-orientated offerings priced at $8-$14.99 up by a whopping 42 per cent over the last 12 months (IRI figures). Notably, much of that growth is driven by local Prosecco rather than imports, with one of the biggest winners that of Brown Family Wine Group (BFWG), which has the number one Prosecco, and number two in total sparkling (inc. Champagne). As we reported in the Prosecco report last month, BFWG’s category hopping Prosecco Rosé has been the other giant killer, as Amy Van Bekkum, Senior Brand Manager, explains. “With both the Prosecco and Rosé categories on fire (the number one and two fastest-growing categories in wine) Prosecco Rosé really is the perfect wine,” she said. By contrast to Champagne and sparkling wines, however, the price per litre of Prosecco has dropped by 2.1 per cent over the last 12 months, so volumes are increasing but at lower pricepoints, mirroring trends found in other fast growing drinks segments in recent years (like cider, and Marlborough Sauvignon Blanc). Effectively, Prosecco is dominating the sub-$15 sparkling pricepoints, Australian sparkling from $15-$49 and Champagne $50.

What about sparkling red? Finally, the forgotten bubbly segment is sparkling red, and here it’s all about one name – Seppelt. As Ben Culligan, Marketing Director ANZ at Treasury Wine Estates (TWE) notes, Seppelt fizz is on the rise across the board. “We’re seeing success across the Seppelt brand with double digit growth year on year,” he said. “Our flagship wines continue to shine, with the Seppelt Original Sparkling Shiraz being the number one Sparkling Shiraz in the +$30 segment.” Of course, the challenge has been to get people drinking sparkling red, and Seppelt has a strategy to grow the segment, with the Seppelt Original Sparkling Shiraz named as the “hero wine of Seppelt’s Melbourne Cup Carnival activity”, available at bars across Flemington. Is it enough to lift the segment? Culligan believes that it is part of the Seppelt legacy. “As pioneers of sparkling Shiraz in Australia in the 1890s, Seppelt is always flying the flag for this uniquely Australian style,” he said. “We find that more often than not, as soon as people try a good sparkling Shiraz, their eyes are opened. “We want to continue to drive this awareness and shift peoples’ perceptions.”

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Win

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BEER TASTING TAG

The Panel Josh Quantrill

Neal Cameron

Judd Owen

Field Sales Manager, Capital Brewing

Director, Institute of Beer

Contributor, Crafty Pint

Cameron Flett

Keith Grice

Aaron Edwards

Manager, Warners at the Bay Bottle Shop

Head Brewer, Hunter Beer Co

Owner, Bitter Phew

John Elliott

Tom Evans

Rosemary Lilburne-Fini

Operations Manager, The Taphouse

Craft Beer Reviewer

Craft Beer & Cider Specialist, The Oak Barrel

National Sales Manager, Akasha Brewing

Liam Pereira

Andrew Robson

Venue and Events manager, Batch Brewing

Head Brewer, Lord Nelson Brewing

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Owner, Noble Hops

Matthew Denholm

Joe Wee

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What’s our Seasonal Focus? This issue, we’re looking at Lagers

The Brew Review Style: Black IPA A pitch black beer with a nice tan head. There are notes of chocolate and coffee on the nose, accompanied by grassy and piney hop aromas as well. Take a sip and enjoy some good viscosity and balance. The roasty, toasty tastes of chocolate and subtle fruit brilliantly balance and round out some incoming bitterness. Bentspokebrewing.com.au

ABV: 4.9% Style: Pale ale This particular beer from Yulli’s may have the appearance of a lager, but it’s as strong of an example of a pale ale as you can find. There’s good balance in this beer. There’s plenty of fruitiness but also dryness as well in what is a medium bitterness beer. It also has a great mouthfeel. Yullisbrews.com.au

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Fox Hat Heavy Headed XP ABV: 5.2% Style: XPA This is a good, enjoyable XPA with fresh aromas and fruity flavours. It’s moreish and balanced. It looks great – a light haze, good head retention and lacing. There’s melon and citrus on the nose – as well as a bit of white pepper. The beer has a mid-palate sweetness at first and then a light but lingering bitter finish. Foxhatbrewing.com.au

BeerFarm IPL ABV: 5.2% Style: India Pale Lager There’s good hop presence here, but it is muted enough to ensure that it doesn’t dominate the lager yeast character, allowing those crisp lager notes to come through. Overall, this is a fine beer and an exciting India pale lager. Beerfarm.com.au

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ABV: 7%

Yulli’s Norman Australian Ale

BentSpoke Big Nut

CUS

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In this issue, our panelists tasted the latest new release beer and cider. Here are the results.

CUS

Holgate Norton Lager ABV: 4.3% Style: Lager A crisp looking beer with an off-white head provides a crisp flavour that allows the character of the malt and the lager yeast to really shine through. Clean and balanced, this is an enjoyable lager and a great example of the style. Holgatebrewhouse.com.au

ABV: 5%

ABV: 5.5% Style: Cider With its cloudiness, this has a fresh lemonade appearance that really appealed to the panel. There’s certainly plenty of juicy, tart apple on the nose. However, this is balanced by some crowdpleasing sweetness and some light carbonation. This is a real summer pleaser that would work well with some cheese. Prancingponybrewery. com.au

Ocean Reach Lager ABV: 4.6% Style: Lager There’s a real depth to the golden hue in this lager from the guys on Philip Island. Just brilliant. Pleasing noble hops feature on both the nose and the palate, accompanied by a biscuity smell and a malty taste. As lagers go, this is a fine example of the style that has been executed really well. Oceanreach.beer

Style: Black IPA The head retention is great on this beer, named for the Black Diamond ski runs in the Victorian snow resorts near Bright Brewery’s home. The balance of flavours is nice and there’s a great mouthfeel. Think roasted malt and dark cocoa sitting alongside piney hops. A clean finish leaves you wanting more. Brightbrewery.com.au

ABV: 6.5% Style: Stout This latest beer from Moon Dog is tagged as a Black Forest Stout and the panel found plenty of milk chocolate and a touch of smoke on the nose. The mouthfeel isn’t as heavy as one might imagine, but it is still rich and full. The palate abounds with roasted chocolate and there’s just a hint of sour cherry to finish. A decent drinking stout. Moondogbrewing.com.au

Sample Lager ABV: 4.6% Style: Lager This is a solid, straightforward lager, typical of the Vienna style, which is perfect for the upcoming summer. It enjoys a clear appearance with decent head retention. Both the nose and the palate reveal plenty of malty, bready character. Samplebrew.com.au

ABV: 5.2% Style: XPA A highly dry hopped beer, this XPA brings great astringency. It’s crystal clear in appearance, with bold fruity hops on the nose – passionfruit mango, guava. The palate balances hop character and bitterness. There’s good texture and it offers lingering bitterness after the first swallow. This is a beer that fits the bill perfectly and invites another gulp. Jettyroad.com.au

Ballistic Dirty Word Lager ABV: 5% Style: Lager There’s so much going in this beer. The nose brings tropical notes from New World hops, but also mint and geranium. A quite light body accompanies tropical tastes of pineapple and pear, as well as some decent bitterness. After swallows, the flavour lingers and dries out nicely. An easy-drinking and very crushable beer that’s almost pale ale-y. Ballisticbeer.com.au

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ABV: 6%

Moon Dog Cake Hole

Bright Black Diamond

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Jetty Road XPA

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Style: Dark Ale This dark ale is, unsurprisingly, dark brown in colour. The nose brings subtle notes of Anzac biscuits, nuts and coffee along with a hint of hops. The mouthfeel is relatively light and features some hop character and a light roast. There are good flavours here. A surprisingly smashable beer for the winter months. Yourmatesbrewing.com

Prancing Pony Dizzy Donkey

Your Mates Donnie Dark

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BEER TASTING

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Moon Dog Lager ABV: 4.5% Style: Lager After Moon Dog’s first lager launch (7.1% ABV!) this is more of a return to normality. A Kolsch-like beer in appearance – think very light colours – it’s also Kolsch-like on the palate with a light body and subtle hop and malt favours. It’s clean, it’s dry, it’s classic. Moondogbrewing.com.au

King River Blueberry Doppelbock ABV: 7% Style: Doppelbock This is a great example of a doppelbock, showing lovely balance. The nose from this dark brown beer offers savoury notes and burnt caramel. There’s a nice, soft weight in the mouth. The taste features rich, dark toffee with a nice bitterness, some soft rye and a hint of spiciness. The blueberry notes are very subtle. Kingriverbrewing.com.au

This tasting was originally conducted for the Spring Issue 50 of Beer & Brewer.

NATIONAL LIQUOR NEWS OCTOBER 2019 | 89

WINE TASTING

NLN goes POP! This month the panel tasted everything that bubbles. Here are the highest scoring wines, which included Prosecco, Champagne, sparkling wine, sparkling rosé and sparkling reds.

THE PANEL

1. Daryl Fisher, General Manager, Fisher Fine Wine 2. Nigel Burton, CEO, Burton Premium Wines

5. Andy Milne, Brand Manager, SouthTrade International

3. Andrew Graham, Online Communications Manager, 6. Andrew Stubbs, Manager, Vine Wine The Wine Collective 7. B ryn Lucas, Purchasing Manager – Wine & Tobacco, Heinemann Australia 4. Mark Bradstreet, Key Account Manager, Joval Wine Group

8. Tom Lynar, National Sales Manager, DMG Fine Wine 9. Renée Foster, Communications & Marketing Manager, Moppity Vineyards 10. David Wright, Key Account Manager, Treasury Wine Estates

THE PANEL’S PICKS 93 Comte de Noiron Brut Vintage Region: Reims VIN: 2011 LUC: $41.53

Seppelt Original Sparkling Shiraz Region: Victoria VIN: NV LUC: $18.40

“Toasty aromas and a long finish. A powerful and enticing wine.” – Tom Lynar

“Red fruits and spices layered with sweetness and texture.” – Mark Bradstreet Distributed by: Treasury Wine Estates

Distributed by: Kollaras & Co

R ob Dolan Blanc de Blanc Region: Yea Valley VIN: 2018 LUC: $13.43

“Clean and fresh with bright, sweet fruits, lemon, grapefruit and pear. Good length and balance.” – Renée Foster Distributed by: Nelson Wine Co

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

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85-89 Very good: a wine with impressive qualities

WINE TASTING LUC $20 and Over C oldstream Hills Pinot Noir Chardonnay Region: Yarra Valley VIN: 2014 LUC: $24.54

C omte de Noiron Brut NV Region: Reims VIN: NV LUC: $27.59

“Complex, leesy and well balanced. Great complexity.” – Andrew Graham

“Fresh buttered brioche, lemon curd on palate. Good mouthfeel and soft acid line.” – David Wright

“Lovely aromas of lemon curd on toast. The palate is vibrant and long… yum.” – Tom Lynar

“Pleasant aromas of fresh sourdough on the palate. Well balanced with good structure.” – Bryn Lucas

Distributed by: Treasury Wine Estates

Distributed by: Kollaras & Co

V euve Fourny & Fils Cuvee ‘R’ Region: France VIN: NV LUC: $69.48 “Intense lemon nose, rich palate, lovely depth and complexity, brioche and citrus, excellent length.” – Renée Foster “Brioche, toast, yeast, lees, peach, clean and fresh acidity. Very enjoyable.” – Andy Milne

Distributed by: De Bortoli Wines

“It was nice to see some genuinely drinkable Prosecco. I can see why the segment is so popular.” – Andrew Graham P eter Lehmann Black Queen Sparkling Shiraz Region: Barossa VIN: 2013 LUC: $31.44

P errier-Jouët Blason Rosé Region: France VIN: NV LUC: $88.05 “Bright and fresh. Clean, vibrant rose and potpourri. Rich and snappy palate. Delightful.” – Renée Foster

“Dark fruits, cherry, blackberry, tight, complex, good finish.” – Daryl Fisher

“Rich nose and palate, body and fruit.” – Nigel Burton

“Crunchy dark fruits. Brambles and blackberries. Ripe plum. Some soft tannins but elegant and well balanced.” – Andy Milne

Distributed by: Pernod Ricard Australia

Distributed by: Casella Family Brands

“A lot of the cheaper Prosecco lacked any complexity. So many wines were simple which made the few exceptional wines stand out.” – Daryl Fisher

V euve Fourny & Fils Blanc de Blancs Region: France VIN: NV LUC: $50.32 “Bright, fresh and clean. Lemon, brioche, good acid and structure. Complex with good length.” – Renée Foster “A bit green, lime, grassy, spicy finish, balanced.” – Daryl Fisher

Distributed by: De Bortoli Wines

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

85-89 Very good: a wine with impressive qualities

NATIONAL LIQUOR NEWS OCTOBER 2019 | 91

WINE TASTING LUC $15-$20 Handpicked Regional Selections Prosecco Region: Piedmont, Italy VIN: NV LUC: $16.56

Rotari Rosé Region: Trentino, Italy VIN: 2013 LUC: $19.35 “Bright red fruits on the palate. Good acid and length.” – Mark Bradstreet

“Good persistence of bubbles. Nice vinous fruit flavours and acid picks up the residual sweetness.” – Mark Bradstreet

“Pretty red berries with come florals. Bright and easy to drink.” – Tom Lynar

“Biscuity aromas showing some complexity. Light and easy to drink.” – Tom Lynar

Distributed by: Single Vineyard Sellers

Distributed by: DMG Fine Wine

Bird in Hand Sparkling Pinot Noir Region: Adelaide Hills VIN: 2018 LUC: $18.71

Rotari Brut Region: Trentino, Italy VIN: 2014 LUC: $19.35 “Grapefruit, old wood, nutty, complex. Lingering walnut finish.” – Daryl Fisher

“Nice red fruits and cut apple aromas. Palate is lean and dry with mouth-watering acidity.” – Mark Bradstreet

“Gooseberry and acidic green fruit on the nose. Moussy texture. Good balance of fruit but lacks some acidity.” – Andy Milne

“Sweet and pretty wine with berries and florals. A juicy palate with a nice acid finish.” – Tom Lynar

Distributed by: Single Vineyard Sellers

Distributed by: Bird in Hand

Brown Brothers Pinot Noir Chardonnay Pinot Meunier Region: King Valley VIN: NV LUC: $16.77

Bleasdale Sparkling Shiraz Region: Langhorne Creek VIN: NV LUC: $16.34 “A more elegant style of sparkling red with aromas of red fruits and spice.” – Bryn Lucas “Ripe dark fruit, blackberry and plum, cocoa and coffee. Residual acids and lovely mouthfeel.” – David Wright

Distributed by: Negociants Australia

“All of the wines were approachable and drinkable and suited their respective price points. Premium Australian sparkling is as good as, if not better than, the French equivalent.” – Tom Lynar

“A lovely toasty nose and palate. Lovely richness and complexity. Textural. Dry.” – Renée Foster “Yeasty, bready nose. Citrus, vegemite with a long finish.” – Daryl Fisher Distributed by: Brown Family Wine Group

B ocelli Prosecco Region: Tuscany, Italy VIN: NV LUC: $16.99 “Dry with lots of lemon on the palate and finish.” – Renée Foster “Clean apple skin and pear drops. Good fruit, light fizz.” – Andy Milne

Distributed by: Déjà Vu Wine Co

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

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85-89 Very good: a wine with impressive qualities

WINE TASTING LUC Under $15 e Bortoli Rococo Premium Rosé D Region: Yarra Valley VIN: NV LUC: $9.09 “Bright and fresh, strawberries and cream. Simple but dry and delicious for its market.” – Renée Foster “Confectionary, floral, orange blossom. Balanced, almond finish, creamy mouthfeel.” – Daryl Fisher

Distributed by: De Bortoli Wines

“Good to see the freshness and complexity of some of the sparkling wines rival the French.” – Mark Bradstreet

M ad Hatter Blanc de Blancs Region: Orange VIN: NV LUC: $12.90

C ampo Viejo Cava Brut Reserva Region: Spain VIN: NV LUC: $10.41

“Elegant floral and green fruit. Clean and fresh. Very pleasant.” – Andy Milne

“A nice, rich style with lifted florals underpinned by biscuity brioche and crisp acidity.” – Andrew Stubbs

“Clean, bright palate, lovely lemony flavours. Delicate and vibrant with good intensity and finish.” – Renée Foster

“Excellent value example with aromas of ripe pear and background bread dough.” – Bryn Lucas

Distributed by: Single Vineyard Sellers

Distributed by: Pernod Ricard Australia

S egura Viudas Aria Region: Penedes, Spain VIN: NV LUC: $14.51

J acob’s Creek Trilogy Rosé Region: Australia VIN: NV LUC: $10.41

“Leesy and has a really nice freshness too.” – Andrew Graham

“Strawberries and cream aromas. The palate has red berry flavours and excellent structure.” – Bryn Lucas

“Attractive nose and good length.” – Mark Bradstreet

“Raspberry and strawberry on nose and palate. Touch of residual that adds a pleasant body.” – David Wright

Distributed by: Crush Wines (VIC,NSW,QLD,SA); Off the Vine (WA)

Distributed by: Pernod Ricard Australia

A zahara Chardonnay Pinot Noir Region: Murray Darling VIN: NV LUC: $7.74

I nnocent Bystander Prosecco Region: King Valley VIN: NV LUC: $14.62

“Brioche, nutty, lees age, still some ripe green fruit and biscuit. Good length.” – Andy Milne

“Clean, bright fresh fruits, really well balanced with good length and finish.” – Renée Foster

“Honey and melon, lemon. Tight firm acids, vegemite finish.” – Daryl Fisher

“Clean and simple. Easy drinking fruit. Ripe and well balanced.” – Andy Milne

Distributed by: Red+White

Distributed by: Brown Family Wine Group

THE SYSTEM 95-100 Classic: an exceptional wine

90-94 Outstanding: a wine of remarkable character

85-89 Very good: a wine with impressive qualities

NATIONAL LIQUOR NEWS OCTOBER 2019 | 93

EVENTS

1. Industry celebrates Tooheys 150th anniversary The liquor industry and venues throughout NSW celebrated the 150th anniversary of Tooheys, one of the most ingrained and iconic beer brands in the state. To celebrate the milestone, a series of events were held in regional venues and a special 150th birthday celebration took place at Lionâ&#x20AC;&#x2122;s Lidcombe brewery, with Lion legend Doug May as the MC and also providing some of the entertainment with a rendition of Mack the Knife, much to the delight of everyone in attendance.

1 2 Doug May and rugby league legend, Benny Elias James Christopher, Co-Founder

2 2. BRIX DISTILLERY TURNS ONE Brix Distillers threw a party to celebrate the success of their first year in the Australian craft spirit market. Brix launched its contribution to the independent distilling industry in September last year by opening the doors to an urban Rum Distillery and Bar in Surry Hills, Sydney. The operators are extremely proud to be producing Brix White, Brix Gold and Brix Spiced Rum on site at the Surry Hills facility. A year on, the production of Australian rum, created using Queensland molasses and locally sourced ingredients, has been warmly received by consumers, trade and industry partners. To mark the one-year anniversary, the team at Brix putting on a first birthday event at Brix Distillery and Bar in Surry Hills and invited media down for a private tour and tasting with Co-Founder, James Christopher.

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Inside the Brix Surry Hills Distillery

Salvatore Calabrese

EVENTS

3. De Kuyper goes on tour

De Kuyper, the world’s number one selling liqueur brand, has concluded the national tour of their most successful ‘The Works’ program to date. Designed to upskill Australian bartenders and showcase cocktail trends, this year’s ‘The Works’ was presented by one of the world’s leading bartenders and creator of the original world-famous Breakfast Martini, Salvatore Calabrese. This year De Kuyper toured Australia over two weeks in August, hosting Inspirational Workshops in Sydney, Perth, Brisbane, Melbourne and for the firsttime visiting Adelaide. Hosting Bartenders from around Australia, including guests from Tasmania and the Northern Territory, Salvatore Calabrese shared his history, wisdom and inspirational ‘After Dinner Cocktails’

Trade tasting Allinda Wines, which has newly been added to the Agnew portfolio

4 4. AGNEW WINES HOSTS TRADE TASTING EVENT

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Agnew Wines has a host of new brands in its portfolio, so last month the company held a trade tasting day, to introduce the new wines. The new wine brands that were on display were Allinda, Plan B, Ladies Who Shoot Their Lunch, Farm to Table and Are you Game, and they also had the latest release wines and vintages from Audrey Wilkinson, Pooles Rock and Cockfighter’s Ghost. The wines were tasted alongside matching canapes at one of Sydney’s newest rooftop venues, Babylon Rooftop and Garden Bar – a fitting location to celebrate Agnew Wines’ expanding portfolio of new and established iconic wines.

5. Australia and New Zealand’s top five Patrón Perfectionists named

Jamie Fleming

Patrón Tequila named the top five bartenders who won the regional heats of the Patrón Perfectionists Cocktail Competition, held last month. With bartenders from Tasmania, Victoria, Northern Territory and Queensland joining New Zealand’s winner there is a very national feel to the competition. The top five are Rohan Massie from Rude Boy in Lauderdale, Tasmania with the ‘Summertime Queen’; Oisin Conneely from Black Pearl in Melbourne, Victoria with ‘The In-Laws’; Anneliese Grazioli from Hot Tamale in Darwin, Northern Territory with ‘Over & Above’; Jamie Fleming from Alba Bar & Deli in Brisbane, Queensland with ‘My Hands’; and Jordan Davies from Los Banditos in Wellington, New Zealand with ‘Conquistador’. All five bartenders will travel to Melbourne on Tuesday, 15 October to compete at the Australian and New Zealand National final of the Patrón Perfectionists Cocktail Competition.

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EVENTS

6. Peter Lehmann launches 2015 Masterson Shiraz Peter Lehmann has announced the release of the super-premium Masterson Shiraz 2015, made in honour of the winery’s founder, Peter Lehmann, and in celebration of its 40th anniversary. Four years in the making, only 1,000 magnums of Masterson 2015 will be released globally at RRP $2,000. The next vintage will also include 750ml bottles priced at $1,000. Masterson will only be released in exceptional vintages, sourced from the best single vineyard fruit available to Peter Lehmann. The Masterson Shiraz 2015 will be available in Australia from 20th November, exactly 40 years after the foundation stone of The Weighbridge was laid by Barossa grape grower Albert Schmidt and Peter Lehmann at the originally named Masterson winery.

7 John Casella

7. ST-GERMAIN HOSTS INAUGURAL WELLNESS WEEKEND

Camille Vidal with guests from the La Maison Wellness Media Lunch

8. Tanglin Gin lands in Australia Singapore’s Tanglin Gin has landed in Australia and hosted a special trade event in Melbourne to celebrate its arrival. Hosted by the team at Little Lon Distilling Co, it was an intimate night of discovery as Tanglin Head Distiller, Tim Whitefield, introduces us to the Tanglin story and led us through an exploration of Tanglin’s exotic botanicals. Guests were then given the opportunity to taste each of Tanglin’s unique gins, both straight and in specially created cocktails, before finishing with the opportunity to discuss all things gin directly with the Tanglin team.

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On 14-15 September, St-Germain, in collaboration with La Maison Wellness, hosted the inaugural Wellness Weekend at Paramount Recreation Club in Surry Hills. To launch the Wellness Weekend, St Germain held a media lunch on Thursday 12 September before kicking off Bar Week by demonstrating to attendees that having fun and enjoying life’s pleasures is all about balance. Hosted by Camille Vidal, the founder of La Maison Wellness, the St-Germain media lunch began with a short meditation class followed by lunch paired with the Sage Body & Mind and Holy Wood Spritz cocktails, which were created by Camille with mindful drinking and healthy hedonism in mind. To conclude the lunch, Camille led a chocolate meditation session.

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EVENTS 9. TWO BREWERS FROM TWO NATIONS UNITE TO CREATE TWO SUNS Asahi Premium Beverages has launched a new, easy drinking, lower carb, low bitterness beer, which is a collaboration between two brewers from Australia and Japan. Asahi Premium Beverage has invested over $5 million in its biggest ever NPD launch which rolled out from September. This includes a significant outdoor media campaign, consumer and trade launch parties, a brand ambassador program as well as digital and social media executions. The investment also includes on-premise venue takeovers, sampling programs and a ‘gold standard’ retail launch. The beer was introduced to the trade at a special launch event at the Vaucluse Yacht Club at Watson’s Bay in Sydney. Inspired by the unique partnership, a menu was designed by celebrity chef, Matt Sinclair, that combined the best local Australia produce with Japanese cooking techniques, which paired perfectly with a chilled bottle of Two Suns.

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Michael Ritoli Andrew Wilsmore and Andy Young

10. The Keepers of the Quaich bring Blair Castle to Sydney The Australian Chapter of The Keepers of the Quaich gathered for a celebration of Scotch whisky in Sydney. New Keepers are normally inducted at a celebratory dinner at Blair Castle near the Scottish city of Perth, but this evening brought Blair Castle to the Cell Block Theatre in Sydney. Around 150 people gathered for the celebration which was sponsored by Bacardi-Martini, BeamSuntory, Brown-Forman, Campari, Diageo, Pernod-Ricard, Spirits Platform and William Grant & Sons. During the evening guests heard from the Chairman of the Australian Chapter Colin Rochester and were further regaled with stories of Scotland and whisky by the former Managing Director of Endeavour Drinks Group, Martin Smith. With whisky the centre of the celebration, guests were treated to some incredible food and whisky combinations including smoked oysters with Laphroaig 10-YearOld, slow roasted lamb with Johnnie Walker 18-Year-Old and of course haggis paired with both The Macallan Rare Cask and Chivas Regal 18-Year-Old.

11. AUSTRALIA’S FIRST TEA INFUSED WINE HAS ARRIVED Pernod Ricard has launched a unique product that combines two of the world’s most ancient beverages, wine and tea. Tea & Wine launched last month with a white and a red variety, both infused with complementing organic tea. There’s the Unoaked Chardonnay with Egyptian Chamomile blossoms and the Cabernet Sauvignon with Sri-Lankan Chai. Speaking at the launch, spokesperson Helen Herges said the idea came spontaneously when a group of colleagues were discussing their plans for the weekend, all featuring either tea or wine. “It turned out that those two beverages were serving the same ritual, the ritual of kicking off your shoes at the end of a long day and just enjoying. We thought – do you actually have to choose? Or could we combine the two? It made perfect sense to us,” said Herges. The first two wines are now available at select Dan Murphy’s stores across Australia, with Herges hoping to make further steps into retailing on- and off-premise in future.

The launch of Tea&Wine at Alibi Bar and Kitchen, Ovolo Hotel Woolloomooloo

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SHOP TALK

Shop Talk We talk shop with Nicole Schonk from Bacardi-Martini Australia and Craig Lycett from Camperdown Cellars.

Meet... NICOLE SCHONK, NSW State Key Account Manager, Bacardi-Martini Australia

CRAIG LYCETT, Store Manager, Camperdown Cellars, Camperdown

L-R: Nicole Schonk and Craig Lycett

Q About us: NICOLE: I currently work for Bacardi-Martini Australia, which is the largest privately held, family-owned spirits company in the world. Originally known for its eponymous Bacardi white rum, it now has a portfolio of more than 200 brands and labels, including Grey Goose, Bombay Sapphire and the latest family member, Patron Tequila. CRAIG: I initially started in the industry as a casual for Liquorland back in the late 90’s. I soon developed a taste for wine, delicious buttery, oaky Chardonnay and big, bold Shiraz’s. I spent the next decade with the chains before I moved across to independent retail. I joined Camperdown Cellars nine years ago in 2010. With eight unique store locations across Sydney’s northern, eastern, and inner west suburbs, our stores are designed and customised to look after their locals.

Q How are you finding the current market? NICOLE: Premium and super premium are on the rise. We are finding that people are selecting higher quality beverages due to clientele being more educated in their purchases. In Grey Goose’s words, “It’s important to recognise life’s moments and savour them accordingly. Treat yourself to a vodka of exceptional quality. Live victoriously and turn everyday celebrations into special ones”. CRAIG: In the last few years we have noticed a big shift to premium brands and their provenance. Australian spirits are evolving every day and gaining more market share, especially within the gin and whiskey categories. Our customers are enjoying drinking quality made local products, while premium imported products still command the lion share of the market. Craft beer continues to grow with customers moving away from traditional lagers to the latest IPA’s and the other extreme, sour beers.

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Another trend we see is that customers have moved away from imported craft beers and are now buying the locally crafted beers from the wealth of nearby breweries. And, after years of unpopularity, cans have now become the vessel of choice, with the public realising that cans provide superior freshness and they now dominate the market.

Q What are the biggest challenges you are facing? NICOLE: One of our focuses is gin, there are a lot of local gin producers encouraging people to explore this category and bringing new life into the gin market. We have found that due to this local increase we are seeing a rise in Bombay sales. To further grow in this area we have developed an easy to drink RTD, carefully prepared, refreshingly tasty and a great option for those new to gin. CRAIG: It’s a challenging market at the moment, customers are looking for quality but also want to get a great bargain. Price is a massive driver and we want to be able to give our customers a great deal while still making decent margin – a proposition that is becoming more challenging all the time. Keeping up with ever changing market trends, building on our premium range of spirits, craft beer and wine. While we always want to innovate and try new products, it is somewhat hit or miss. One of the real challenges is finding products that satisfy our customer and our own needs.

Q What deals or promotions are working for you at the moment? NICOLE: Launching the brand-new Bombay & Tonic premix RTD. CRAIG: Apart from keeping up with the latest beer and spirit trends, rosé has been a key sales driver for us. Even in the colder months, rosé sales continued to grow and with spring just around the corner we’re sure to see the category grow further.

“I’m looking for the reps to help train myself and my staff. The more knowledge we have in-store the better the experience for all our customers.” – Craig Lycett Q What do you enjoy most about the job? NICOLE: I love the industry, it is a very vibrant community, everyone involved has a great attitude and are a lot of fun. CRAIG: I enjoy meeting and greeting customers and sales reps. Everyone has a unique perspective on the world and it’s always fascinating to interact with different people and working within Sydney’s Inner West certainly provides a rich assortment of people from all backgrounds. I never know who’ll walk through the front door and I love that no two days are the same.

Q How do you approach the retailer/rep relationship? NICOLE: Showing up differently with our win-win attitude for both the consumer and customer. CRAIG: I try to keep the process as uncomplicated as possible. We’re all in sales and essentially have the same goal. I’m looking for good products at good prices and want to hear about them. I’m looking for the reps to help train myself and my staff. The more knowledge we have in-store the better the experience for all our customers.

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