Drinks firm C&C Group has today reported a 2% increase in on-trade sales for Tennent’s in Scotland, in the six months to August 2016.
Following a 2% dip in on-trade sales in the second half of 2015, the brand has now regained its market share. Including off-trade and national accounts, the overall volume for Tennent’s was ‘level year on year’, stated C&C.
The Dublin-based group also revealed Tennent’s overseas exports grew by an impressive 50% in the same period.
C&C acquired Tennent Caledonian Breweries for £180m in 2009. It also owns cider brand Magners, which saw a 6% sales increase in Scotland, while C&C-owned Heverlee and Menabrea are “achieving traction in the Scottish on-trade”.
The group’s overall UK profits for the six months to August 2016 dropped 7.9 per cent to €55.1m (£49.1m). The drinks producer cited the slump in the value of sterling post-Brexit as having “had an adverse impact” on its reported revenue and profits. However, the group’s exports grew by 10%, with Tennent’s accounting for a third of the volume.
Stephen Glancey, C&C Group CEO, said, “In the first half Tennent’s grew by 2% supported by increased brand investment and organisational focus. It is also pleasing to note continued growth in export with Tennent’s volumes particularly strong up 50% in the period.”
The next six months will see C&C launch Pabst in Scotland as well as a new range of Caledonia Best speciality bottled beers, including Whisky Oak, IPA, Porter and Citrus Hop Lager.
Welcoming minimum alcohol price in Scotland
Commenting on the recent court decision to back the Scottish Government’s plans to raise the minimum price of alcohol in Scotland, Glancey added, “We note the recent decision of the Scottish courts to support the Government’s plan to introduce minimum pricing on alcohol as one of a range of initiatives to reduce the harmful effects of irresponsible consumption.
“C&C is a supporter of this initiative and we will work with the relevant authorities in Scotland and Ireland to ensure that we meet our obligations to the consumers and communities we serve.”
Last week, Tennent’s Managing Director, Andrea Pozzi, welcomed the ruling “as a positive step forward in tackling the problems of alcohol misuse.”
He said, “As the brewer of Tennent’s Lager and a range of other quality brands, we are part of the fabric of Scotland’s community and we support the responsible consumption of alcohol.
“Although the majority of people enjoy alcohol responsibly, we are concerned about the availability of strong, cheap alcohol. We believe that Minimum Unit Pricing can and will have a positive impact on communities across Scotland.”