Rosie Davenport
Scottish Courage has called on its fellow brewers to restore balance in the beer market by redressing the price differences between the multiples and independents.
The brewer fears that recent data from ACNielsen for 2002, which showed beer sales in independent off-licences dropping by 4% to the benefit of the multiple grocers (which were up 7%), could all but finish the competition off.
Keith Hogg, MD of Scottish Courage Brands, warned: "We need to provide balanced support and not be a charity to any one sector of the trade."
"If multiple grocer pricing is significantly cheaper than comparable cash and carries then some independents must be tempted to buy products from competitors' premises. It is the ultimate retailing irony."
Beer pricing reached an all-time low in December when Carlsberg plummeted to £8.99 (24-pack) in Somerfield.
Hogg added: "It doesn't matter if the market is beer or baked beans, the aim is to offer good value for shoppers and good profits for retailers and suppliers. The constant focus on retail pricing in beer means you can't deliver these."
Foster's sales dipped 14% to £12.6m over the four-week Christmas period in the multiples, a loss Hogg put down to its tough stance on pricing.
"We have rebased our trading position with multiple grocers because they are only one part of the take home beer market."
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Scottish Courage has called on its fellow brewers to restore balance in the beer market by redressing the price differences between the multiples and independents.
The brewer fears that recent data from ACNielsen for 2002, which showed beer sales in independent off-licences dropping by 4% to the benefit of the multiple grocers (which were up 7%), could all but finish the competition off.
Keith Hogg, MD of Scottish Courage Brands, warned: "We need to provide balanced support and not be a charity to any one sector of the trade."
"If multiple grocer pricing is significantly cheaper than comparable cash and carries then some independents must be tempted to buy products from competitors' premises. It is the ultimate retailing irony."
Beer pricing reached an all-time low in December when Carlsberg plummeted to £8.99 (24-pack) in Somerfield.
Hogg added: "It doesn't matter if the market is beer or baked beans, the aim is to offer good value for shoppers and good profits for retailers and suppliers. The constant focus on retail pricing in beer means you can't deliver these."
Foster's sales dipped 14% to £12.6m over the four-week Christmas period in the multiples, a loss Hogg put down to its tough stance on pricing.
"We have rebased our trading position with multiple grocers because they are only one part of the take home beer market."
{{MARKETING }}
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