Brewers are moving to build on the renaissance of the premium bottled ale category, but there is a wariness of discounting
The premium bottled ale market is worth £86.6m, up 22% on last year. This makes encouraging reading for retailers who see potential for further innovation.
Sarah Fothergill, beer and spirits marketing manager at Asda, says: "If we see support from producers, we could see a revival of the category."
Brewers are already rising to the occasion with a number of category building initiatives to bring consumers in.
Scottish Courage Brands says it aims to rejuvenate the bottled ale market with the redesign of all its Heritage premium bottled ales including Director's in a 500ml bottle and the McEwan's portfolio.
Greene King MD Rooney Anand says the category is growing well by avoiding the pitfalls of excessive discounting. "It has been allowed to develop naturally, rather than being rushed. As with wine, retailers have taken the decision to let it grow gradually." He thinks the sector has a good future as long as manufacturers don't dumb down the product.
Variants are simulating the market, such as Charles Wells' introduction of Banana Bread Beer. Nigel McNally, sales and marketing director, says: "We have seen an extremely high sales growth on single bottle purchase and consistent high sales when we are non-promoted."
The beer has gained distribution in most of the multiples and through Booker and Winerite. "Marketing has only been through trade ads. Word of mouth and good PR has driven the brand forward," adds McNally, who promises more innovation. "We have new products for the off-trade and will continue to look at stimulating the trade and consumers. We will not be cautious."
But McNally is still concerned about the issue of discounting. "Consumers will pay more for different types of beer yet the trade is obsessed with discounting away from a premium price point."
Shepherd Neame sales and marketing director Mark McJennett has similar concerns: "We have seen the retail price of premium bottled ales in the take home sector falling, despite every piece of research we have carried showing purchasers are not price-sensitive."
As for the independents, Rick Payne, marketing manager for ale brands at Badger Brewery, says. "The premium bottled ales market in independent grocers is growing, with premium bottled ales up 6.4%." Badger is running a deal through cash and carries with a 12-pack at £11.99.
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The premium bottled ale market is worth £86.6m, up 22% on last year. This makes encouraging reading for retailers who see potential for further innovation.
Sarah Fothergill, beer and spirits marketing manager at Asda, says: "If we see support from producers, we could see a revival of the category."
Brewers are already rising to the occasion with a number of category building initiatives to bring consumers in.
Scottish Courage Brands says it aims to rejuvenate the bottled ale market with the redesign of all its Heritage premium bottled ales including Director's in a 500ml bottle and the McEwan's portfolio.
Greene King MD Rooney Anand says the category is growing well by avoiding the pitfalls of excessive discounting. "It has been allowed to develop naturally, rather than being rushed. As with wine, retailers have taken the decision to let it grow gradually." He thinks the sector has a good future as long as manufacturers don't dumb down the product.
Variants are simulating the market, such as Charles Wells' introduction of Banana Bread Beer. Nigel McNally, sales and marketing director, says: "We have seen an extremely high sales growth on single bottle purchase and consistent high sales when we are non-promoted."
The beer has gained distribution in most of the multiples and through Booker and Winerite. "Marketing has only been through trade ads. Word of mouth and good PR has driven the brand forward," adds McNally, who promises more innovation. "We have new products for the off-trade and will continue to look at stimulating the trade and consumers. We will not be cautious."
But McNally is still concerned about the issue of discounting. "Consumers will pay more for different types of beer yet the trade is obsessed with discounting away from a premium price point."
Shepherd Neame sales and marketing director Mark McJennett has similar concerns: "We have seen the retail price of premium bottled ales in the take home sector falling, despite every piece of research we have carried showing purchasers are not price-sensitive."
As for the independents, Rick Payne, marketing manager for ale brands at Badger Brewery, says. "The premium bottled ales market in independent grocers is growing, with premium bottled ales up 6.4%." Badger is running a deal through cash and carries with a 12-pack at £11.99.
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