WKD strength takes five

Tough trading conditions in the premium packaged spirit (PPS) category have forced Beverage Brands to reduce the ABV of its flagship WKD brand.

The strength of the WKD range will drop from 5.5 per cent ABV to five per cent but the company is insisting that it will be passing the full duty saving on to the trade.

Explaining the rationale for the move, Karen Salters, Beverage Brands' marketing manager, said: "Over the past year WKD has grown well ahead of the category and it is continuing to show the strongest performance among the top three brands. We want to maintain that momentum and we believe that the reduction in ABV will enable WKD to operate more effectively in what is a highly competitive marketplace.

"Reducing the ABV and passing the duty saving on to our trade customers will help WKD compete on more of a level playing field within both the RTD category and the long drinks market. We are hoping that wholesalers, in turn, will pass on the duty benefit to licensees."

The decision brings the WKD range into line with a number of its rival brands such as Smirnoff Ice and Bacardi Breezer which, following the rise in tax in the 2002 Budget, had their respective ABV lowered to five per cent.