Carlsberg UK toasts market-share rise

By The PMA Team

- Last updated on GMT

Related tags Market share Carlsberg uk Marketing

Sheps: helped Carlsberg raise market share
Sheps: helped Carlsberg raise market share
Carlsberg UK has reported that its market share jumped from 13.4% in 2008 to 14.4% last year — the first full year current chief executive Dr Isaac...

Carlsberg UK has reported that its market share jumped from 13.4% in 2008 to 14.4% last year — the first full year current chief executive Dr Isaac Sheps was in charge.

The company saw on-trade market share increase from 9.6% to 9.9% after five years of decline — a new supply contract with JD Wetherspoon started in August 2009. Meanwhile, off-trade market share rose from 17.7% to 19.4% in 2009.

Last year was the first year of a three-year business improvement programme at Carlsberg UK. Turnover rose from £872m in 2008 to £946m for its most recent year. Losses narrowed to £10m before tax from £59m the year before.

However, it reported that it had achieved "an improvement in net selling prices to customers".

The company said it had benefited from deflation in key raw material costs, while it achieved further efficiencies in its logistics network and administration function — staff costs reduced to £68.9m from £73m in 2008.

Overall, Carlsberg said the beer market itself declined by 4.1%.

It reports that customers this year "continue to push for a reduction in our selling prices given the reduction in raw material costs into our business".

Carlsberg is due to close its brewery in Leeds, North Yorkshire, in June 2011 and is ramping up production capacity in Northampton.

Company accounts, however, show it has had to write down the value of its brewery land in Leeds by another £12.9m following a further weakening in the commercial property market — it was written down by £43m in 2008.

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