Lager rivals in festive fracas
A storm is brewing between two of the biggest players in the on-trade lager market.
Interbrew UK has hit back at claims by rival brewer Coors that premium lager should play second fiddle to standard lager over the festive period.
In a recent interview the Coors on-trade marketing director John Holberry claimed that only six per cent of lager drinkers drink both standard and premium lager brands.
He said "In the pub people tend to drink pints and they are more likely to choose a mainstream lager if they are going to be drinking all night.
"At Christmas two-thirds of lager sales are mainstream brands, despite the enormous increase in premium lager taps we have seen."
These claims have been rubbished by Interbrew, however. The Belgian brewer, which owns Stella Artois and Hoegaarden, has accused the Carling brand owner of misrepresenting the nature of lager drinking to further its own business agenda.
"It is important to provide a balanced business perspective to help licensees understand and develop the beer category - rather than putting out biased information that merely serves to promote your key brand," said Colin Pedrick, managing director of on-trade sales at Interbrew UK.
"This claim from Coors is misleading because it grossly undervalues the business contribution made by premium lager."
Interbrew claims that the data used to corroborate Coors' claims was based on on-trade consumption in the last seven days. Mr Pedrick argues this is too short a period to make statements about category switching behaviour.
"It is hardly surprising that the figure is so low as most consumers only visit a pub once a week so they don't have much of an opportunity to switch during the course of one occasion."
According to AC Nielsen, premium lager accounted for 32 per cent of on-trade lager business last December and the sector is outgrowing standard lagers at a rate of 7.5 per cent.
"Drinkers are trading up to premium lager more frequently than ever before," added Mr Pedrick.
"Given the nature of its portfolio, it is not surprising that Coors wants to focus purely on the contribution of standard lager, but the company should not devalue the contribution premium lager is making and mislead its customers with such a biased view of the market."
Related articles:
Mainstreams are key for Christmas claims Coors (22 October 2003)
