Focus North East: Stuffing supermarkets
Comparing the deep discounting of supermarkets to the behaviour of nuclear powers during the Cold War seems a fanciful analogy.But it's one that springs to mind when Tony Brookes, head of Newcastle-based pubco the Head of Steam talks about an "unvirtuous circle" threatening to suck in all players in the licensed trade.
The USA and Russia spent the 1980s poised with their trigger fingers itchy, afraid to pull out of the morally reprehensible game they were playing because to do so could leave them crushed.
Supermarkets, off-licence chains and pubs are right now in a similar situation.
Tony says that where selling cut-price booze was a major advantage for the first players to introduce it, discounting has now become a malevolent necessity for both licensees and shop owners. Anyone failing to cut prices runs the risk of falling behind as customers perceive them to be too expensive.
What was needed during the Cold War, and what is needed now, is for someone to disarm first. Tony, the Head of Steam chain and a growing number of supporters are hoping to raise the pressure on someone in the off-trade to make the first move.
Since October the pubco has been running its 'Stuff the Supermarkets' campaign, which involves customers collecting credit to redeem against take-away drinks. As the bid to dissuade punters from buying their booze at irresponsibly low prices in supermarkets moves into its second phase, Brookes explains his motivation.
"My fundamental objective is to get supermarkets to stop selling irresponsibly cheap alcohol," he says. "It's wrong, a market out of control.
"This campaign gives us an advantage through bringing in extra drinkers, it gives the suppliers an advantage because they're getting extra trade and it gives the consumer an advantage.
"The only ones losing advantage are supermarkets. One bottle from us being drunk at home is one bottle not bought at irresponsibly low prices from them."
Put it to Tony that the efforts of a five-strong pubco will have little impact on the supermarkets' policies, and he replies that what's important is the signals sent out. He explains: "The trade is saying we need a body to speak to government about this issue. The reality is that pubs have to be doing something practical themselves. If we can do that while making a gesture against the supermarkets, all the better."
'Stuff the Supermarkets' Mk II involves a new set of suppliers signed up to the scheme. They include Thwaites, Black Sheep, Budvar, soft drinks companies and a number of Scottish & Newcastle brands - a particular coup considering the way the likes of Foster's are discounted in supermarkets.
Sixty-strong pubco Mitchells of Lancaster has also joined Nottingham's Tynemill Pub Company in replicating 'Stuff the Supermarkets'.So, while the off-trade may be keeping its metaphorical nuclear arsenal, there are growing numbers of pubs disarming.
