Brewing future looks bright for Guinness UDV

Guinness UDV GB is looking to strengthen its hand in the brewing industry following the completion of its long-awaited merger.

Following the decision to merge the businesses, speculation had been rife that Diageo would leave the beer market and concentrate on its spirits arm.

However, speaking at the launch of the new company, Guinness UDV GB's managing director Don Goulding pledged the company's future to brewing and added that Guinness is to be positioned alongside seven "power brands" including the Smirnoff vodka range, Bell's whisky and Gordon's gin.

Mr Goulding added that the company is looking to expand its beer portfolio, raising speculation that the company will benefit from the likely fragmentation of Interbrew UK.

He said: "We don't have a blonde beer or lager in our portfolio, but that doesn't mean we don't have any plans to move into that area."

Mr Goulding added that Guinness UDV will continue to concentrate on its major brands as part of a three-year plan to strengthen its relationship with the UK on-trade.

"The future of the marketplace will be driven by those major brands that are investing heavily and the middle territory is being squeezed. There is increasing polarisation between the big brands and the me-too brands - it's difficult to be a me-too in today's market," he added.

Guinness UDV GB announced that it will continue its Perfect Serve initiative aimed at improving product quality, staff training and outlet design as part of a three-year plan.

"The importance of good quality service and well trained staff is going to increase substantially. We really need to change the rules of the game through innovation and need to stop looking back and start looking forward."

lGuinness UDV GB also announced the successful introduction of its new draught Pimm's at this year's Wimbledon Tennis Championships. Sales of Pimm's during the middle Saturday of the tournament were the biggest ever recorded by the brand.