Hydes lets loose Racey Rudolph

A festive ale has been launched by Hydes to sit alongside its familiar seasonal brew - Rockin Robin.

Hydes describe Racey Rudolph as ‘a spicy, malty beer.’ It has an abv of 3.5%. The Manchester brewers add that it is ‘full of warming malt winter flavours.’

David Safiruddin, Marketing Director, said: “Craft ales have grown from strength to strength in 2011, and these will be two fabulous beers to close out the year with.”

Both Racey Rudolph and Rockin Robin are on sale throughout the Hydes pub estate.

Hydes is owned and managed as a family business. The brewing side includes a commitment to craft ales.

The Hydes brewing dynasty began in 1863 when Alfred and Ralph Hyde acquired a small brewing concern from their grandfather. Hydes found a home at the Queens Brewery Site, Brooks Bar, in Manchester city centre.

Its other beers include Hydes Original, Amber Smooth, XXXX Strong Ale, Goalden Drop craft ale and a range of others.

Ex Housemartin becomes a landlord

Paul Heaton, famous for singing in The Housemartins and The Beautiful South, must be bracing himself for Happy Hour jokes after his decision to buy a Salford pub.

The singer and songwriter has explained that taking on the Kings Arms is a practical move on his part. He rehearses and records in the room upstairs. In addition, his partner, Zena, will get involved in the theatrical side of the pub’s activities.

Paul has taken the licensing exam but doesn’t plan to run the pub on a day-day basis. He will, though, stamp his identity on the Kings Arms.

Paul told the website Manchester Confidential that the subject of crisps is dear to his heart. He is keen to sell KP, Tyrrells, Seabrook crisps, along with others from small operators. The revival of Seabrook’s Spring Onion flavour is high on his wish list.

Despite bringing his own flavour to the pub’s character, Paul stressed that he would not change any of the pub’s popular and well-established features. Responding to comments on Manchester Confidential, Paul said: “We have no intentions of changing anything other than what we have to. The staff are integral, so they'll stay”

He plans to play gigs at the Kings Arms and last year showed his support for local pubs. His ‘Pedals and Pumps’ tour saw him embark on a 20-day cycling tour, performing at a different pub most nights.

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As a star of The Beautiful South, Paul released a number of songs about pubs and drinking including ‘Old Red Eyes is Back’, ‘Liar’s Bar’and ‘Look What I Found in my Beer’. The Beautiful South split up in 2007, blaming ‘musical similarities’.

www.studiosalford.com

Greene King Discovers new talent

Celebrity Chef Marco Pierre White has, this month, given his support to an apprenticeship scheme, introduced by Greene King.

The Discovery Apprenticeship scheme currently involves almost 700 young people working in Greene King’s pubs and restaurants.

Marco Pierre White helped to officially launch the programme with a cookery masterclass.

The masterclass also celebrated the achievements of some of the first apprentices to qualify. It was attended by eight apprentices, each nominated by their Business Development Managers and Area Chef for Loch Fyne, Chris Stanbrooke.

Chris, a former apprentice himself, said: “To be able to get tips from one of the ‘greats’ like him was a once-in-a-lifetime experience for all of us.”

The scheme has also been praised by Karen Woodward, Divisional Apprenticeship Director at The National Apprenticeship Service (NAS).

She said: “The NAS are delighted to be supporting Greene King and their selected provider, Charnwood Training Group, in their Apprenticeship programme.”

Over 250 employees have completed the apprenticeships and 425 are currently in training. Greene King intends to extend the scheme to cover 1,300 employees in 2012. Around 70% are currently aged 24-years-old or younger.

Jonathan Webster, managing director of Greene King’s Destination Pubs and Restaurants division, said: “Our aim is not just to provide a ‘pub job’ but to offer a clear career path for our employees.”

He added: “We might even develop a future Michelin star rated chef!”

Marco Pierre White started his own training at the Hotel St George in Harrogate. At the age of 33 he was awarded three Michelin Stars.

Vintage Inns nourish poetic imaginations

A well crafted line could lead to a free meal from Vintage Inns, in a competition being judged by former Poet Laureate Sir Andrew Motion.

The national competition is being held to honour Great British country pubs. Each week Sir Andrew will choose one line, from those submitted, to take the poem forwards.

The poem that results will be an accumulation of those winning lines. The opening line is: ‘The muted brilliance of autumn leaves.’

Each week one person will receive a signed copy of one of Sir Andrew’s books along with dinner for four, plus wine, at their local Vintage Inn.

Sir Andrew will also be producing his own verse on the Great British country pubs theme.

Vintage Inns, a Mitchell’s & Butlers pub chain, features ‘real ales, real fires and pub-food as hearty and warming as the welcome.’

There are nearly 200 Vintage Inns throughout the country.

Sir Andrew was Poet Laureate between 1999 and 2009. His sequence of war poems ‘Laurels and Donkeys’ will be featured on BBC Radio 4 over the weekend to honour Remembrance Sunday.

www.vintageinn.co.uk/offer/poetrycompetition/

Adnams adds new recipes to its menu

A new range of condiments is on offer from Adnams, along with the reappearance of its winter warmer Old Ale.

One of the Suffolk brewers and pub owner’s kitchen teams created the recipes for the condiments. Alexese Scott, Adnams’ Cellar & Kitchen Food Buyer, was also closely involved in the development.

Ms Scott said: “We’re incredibly proud to be putting our name on the labels. We will be stocking the full range of products in all of our Cellar & Kitchen stores, online and also in our hotels, and are looking forward to sharing our new offerings with our customers.”

The range uses local ingredients and includes Adnams Tomato Ketchup, Wholegrain Mustard with Broadside, Brown Sauce and Strawberry Jam.

The labels were designed by local artist Clare Curtis. Her coastal illustrations are inspired by Suffolk’s landscapes.

Meanwhile, Adnams 4.1% ABV Old Ale is back to liven up winter. The mild ale style beer is brewed with East Anglian pale ale and Crystal malted barley and Boadicea hops.

Adnams other beers include Ghost Ship, Southwold Bitter, Broadside and Explorer, amongst others.

Hydes and Wychwood offer Halloween treats

New craft beers are on offer from Hydes to mark both Halloween and Bonfire Night.

The Manchester brewer has named its 4.4% ABV Halloween brew Hubble Bubble. Its 4% ABV ‘Guy Fawkes’ beer is called Bright Spark.

Hydes’ Marketing Director David Safiruddin said: “We have always had a great response to our crafted themed beers and in producing these two we aim to further build on that proven success.”

Meanwhile, Wychwood Brewery is making sure that it doesn’t miss out on Halloween fun. The Oxfordshire brewer is holding its own Halloween Fair at Wychwood Brewery on Monday 31^st October. It will include pumpkin carving and other spooky entertainments.

Both Wychwood’s flagship beer, Hobgoblin, and its famous mascot will be lifting spirits at the Bram Stoker International Film Festival in Whitby and the Sneaky Experience in Leeds on 31^st October. The Sneaky Experience will feature ‘ghoulish films’ that will be recreated in ‘stunning detail at a secret location’.

Hydes Brewery was established in 1863. Its brews include Hydes Original, 1863, Amber Smooth, XXXX Strong Ale and others.

Wychwood Brewery officially came into being in 1990 when the Eagle Brewery was renamed Wychwood after the ancient medieval Wychwood Forest which borders Witney.

Wychwood’s beers include Hobgoblin, King Goblin, Wychcraft and others. Its seasonal beer for October is Wizard’s Staff.

www.hydesbrewery.co.uk

www.wychwood.co.uk

“The rise and rise of craft and cask beers…”

By Mark Newton, Client Relations, CGA Strategy Limited

Two of the biggest news stories in the drinks industry over the last few months have been the purchase of Sharps Brewery by Coors-Molson and the American craft brewer Goose Island by AB-InBev.

Not only is this good news for the two smaller companies from a financial perspective, but this gives two of the biggest names in the brewing world an important foothold in one of the most important sectors of the GB LAD market at the moment.

Although in some ways cask and craft beers are different products they are linked by a shared philosophy and customer demographic that, combined with the rise in interest in traditionally made, high quality long drinks, has made them an attractive proposition to UK producers and retailers alike.

The fact that the two major players involved are both primarily lager producers, shows how far the cask and craft revival has come over the last couple of years. This is backed up by CGA trended category data.

Cask Ale, World and Speciality Lagers (which includes a number of US craft beers) are the categories experiencing growth in consumption, while Standard Lagers are reporting the highest losses over the short term.

This is also translating into category space in the outlet, especially on the bar, with cask ale (along with cider) continuing to erode the position of traditional category favourites such as standard lager – Carling, Fosters, etc.

The average bar has added 2 incremental taps since 2008. Stout & Keg Ale are the only categories not to have benefitted from additional visibility but it is undoubtedly Cask Ale (along with cider) which have been the largest beneficiaries of the trend.

However, it is interesting to note that creating a nationwide brand from a regional or niche category base is not without its difficulties. National brewers have exhibited similar acquisition behaviour in the past and this has not always resulted in the sustained success expected. The larger regional brewers – such as Greene King, Marston’s and Fullers - are themselves creating almost ‘national’ brands from their core products, such as Pedigree and London Pride, and this has helped to create a divide between commercially led mainstream ales and the micro brewery products which continue to be successful as much because of their niche positioning as their quality.

The fact that the major brewers have now latched onto this increasing trend, suggests that we will continue to see further growth within this sector for the next few years. Hopefully this will offer a greater selection of choice to customers over a wider range of outlets than ever before.

“The second coming of the single serve…”

By Mark Newton, Client Relations, CGA Strategy Limited

In recent times single serve products – known to many consumers as shots and shooters - have seen a significant revival in interest and, as a category, is now one of the biggest growth areas in the on trade.

Overall the straight serve category – which includes products like Jagermeister and Sourz, along with sambuca and tequila – is in 2.2% volume growth, outperforming total traditional non-cream liqueurs and specialist spirits which are showing a -4.4% volume decline.

Interestingly it is not just the high street circuit bars and nightclubs which are driving strong growth. Food led pubs are also enjoying significant increases – this is particularly prevalent in those outlets which change their offer from day to night, moving towards a more high tempo occasion as the evening progresses.

Looking at segmentation in more detail, volume growth is primarily being driven by night clubs and café wine bars - clubs accounting for 36% growth, with bars contributing 18%. Night clubs also provide the best rates of sale and this is being further driven by a trend for operators to improve and increase their back bar portfolio.

By sector it is, perhaps unsurprisingly, the independent free trade that is delivering the greatest volume share (50%), closely followed by Managed at 42%. This shows a definite need to educate the Non-managed sector of the benefits of the category – although this only applies where the venue style is appropriate.

So what products are driving the category? There is no doubt that Jagermeister and Sambuca (primarily driven by Antica) are currently the big brands to watch. The appeal of both brands is most highly felt in circuit bars and wet led outlets, where cross demographic appeal and distinctive brand associations help maximise consumer interest.

In the more mainstream shots sub category, Sourz continues to increase distribution and is bucking the trend towards a natural decline created by competition from other products.

For the future tequila is likely to have the best potential for additional success. Although it has historically been intrinsically linked to straight serve, tequila is actually only distributed in 54% of Straight serve stockists. From a volume perspective the sub category is also underperforming, which creates an opportunity to restate its significance on the back bar through targeted marketing and distribution gains in key segments such as circuit bars.

The battle on the back bar is likely to continue for some time yet as the changing structure of the on trade market place offers further opportunities for straight serve products in outlets pitched more towards high tempo environments. It also looks likely that those products that can provide a mixture of cross gender appeal, heritage and low key marketing – avoiding mainstream perception - have the most chance of success in a revitalised category with continuing medium term potential.

“Is this the death of major drinks promotions? Few January sales for the on trade this year…”

By Mark Newton, Client Relations, CGA Strategy Limited

During the first weeks of the New Year, CGA took a snapshot* of comments and anecdotes reflecting some of the current thinking from licensees and managers across the country as encountered by our nationwide team of full-time field researchers.

One of the factors which stood out was the decline in drinks promotions. Whether in Bristol or Aberdeen, the reality appears to be that outlets no longer necessarily see major price deals as an easy way to increase footfall or turnover.  

In Anglia, there appear to be very few drinks related promotions so far. While many of the established branded food led outlets continue to push meal based offers, most wet led venues have few deals available.

Many of the local pub landlords polled suggested that government efforts to discourage binge drinking had sunk in, with several stating it as their primary reason for not running major multi purchase promotions this year.

Further west, along the M4 corridor, many of the responses received were directed at the VAT increase. A number of licensees were still in the process of putting their prices up (on average by 10p per drink) and had yet to give thought to providing any new promotions.

Only 2 outlets in the area had any significant offers available – one being 3 branded shots for £5 and the other a double branded vodka or gin for £3 – and both were ongoing from last year.

The South West tells a similar story, with many respondents waiting to see how the VAT increase will be passed on by their pub companies before deciding if there is adequate margin to allow discounting. The overall feeling is that promotions will just not be worth doing this year.

In the more affluent - and less tourist dependent - South East there is a general feeling that there are significantly fewer promotions right now than the same period in 2010. One high street circuit outlet stated that last year they offered ‘buy one, get one half price’ on all bottled beers, whereas this year the same deal is only available on a single product.

Travelling north, licensees in the West Midlands reflect the feelings of many within the local on trade. The general mood is one of disheartenment – with overheads increasing, and rising unemployment in the area squeezing spending further encouraging drinking at home on supermarket special offers.

The only significant promotions currently available are based on doubling up spirits for an additional pound and some small scale wine discounting in food led outlets.

Northern England reflects a similar story with many of the outlets polled only providing offers on ‘house doubles’ and suggesting a dependence on wholesaler deals to create/ drive promotions.

Finally, moving into Scotland, the blame has been squarely laid upon the Government. Many of the licensees and managers polled felt that the increase in VAT and general costs were forcing them to put up prices just to survive.

A combination of lack of consumer confidence, rising overheads, the VAT increase and the continuing influence of the health lobby (and related governmental policy) have put paid to the ubiquitous ‘BOGOF’ deals of the past. Where offers are available they are almost entirely linked to food, usually through ‘meal and drink’ deals, or small discounts on specific products or categories (often spirits).

Overall, it appears there is no doubt that the large scale promotions which were such an integral part of the business strategy for many on trade premises in previous years have disappeared – in some cases possibly for ever.

“2011 a difficult year ahead for the on trade - but there are positives too…”

By Mark Newton, Client Relations, CGA Strategy Limited

There are many reasons for the on trade to fear the coming 12 months – VAT increases, a continuing tough economic climate, changing consumer behaviour (pre/post loading) and increased – and ill- founded – regulatory pressures. However, as we have seen over the course of the last year, there is an in-built resilience by many of the successful retailers and producers who have recognised the importance of quality, value for money offerings, along with a continued emphasis on premiumisation (often in the form of treat expenditure).

The total impact of the forthcoming Coalition Government’s spending cuts – public sector pay freezes, job cuts and rationalisation – remains difficult to quantify, but there can be no doubt that disposable incomes will be further squeezed. To further exacerbate the situation for the on trade the January VAT increase will likely see the big off trade retailers and supermarkets readily expecting their suppliers to absorb as much of the increase as possible, whilst the smaller, independent off trade outlets and many pubs, bars and clubs are likely to see an even greater price differential as they are hit hardest by the increases in price to the customer.

During 2010 all drinks categories suffered alongside the falls in overall outlet numbers. However, recent trends suggest that both spirits and wine can be seen to be improving as the changes in the dynamic of the marketplace make themselves felt.

Within spirits, premium brands are maintaining a consistent trend for the category in tandem with the revival in the wine/café bar segment. Equally, wine trends look solid as outlets such as food led venues and cafe bars drive the on trade.

From a retail perspective flexibility is the key - it is essential in challenging times to foster an ability to capitalise on demand whenever it occurs. Along with a tailored drinks menu across all categories, providing premium brands at sensible prices and avoiding deep discounting activity.

Premiumisation trends can be capitalised on to generate improved revenue and customer perception, as consumers look for better quality experiences across the board. This will manifest itself through a greater selection of specialist spirits such as sambuca, rum, flavoured vodkas and bourbons. Premium fruit ciders will continue to dominate shelf space in the fridge. On the bar, cask ale hand pumps and keg ‘craft’ beers will continue to squeeze lager font space with local provenance and regional or micro brews taking pride of place. 

The on trade will undoubtedly survive the coming year - with premium drinks and experiences driving category growth but, equally, customers will always be on the look out for genuine value for money. This is the dichotomy facing the industry for the future – but, with continuing focus, it appears more than capable of moving forward.