UK: Molson Coors launches GBP8m Home Draught push
Molson pushes Home Draught
Molson Coors has launched its Home Draught system to spearhead an GBP8m (US$11.8m) investment in the UK's growing off-trade beer market.
Home Draught kegs, designed to fit into a home fridge, will be available for Carling, Grolsch and Coors Light in retailers including Sainsbury's and Morrisons.
Molson Coors will launch the 10-pint kegs next month to coincide with the start of the FIFA World Cup.
"We’ve invested GBP8m in this launch and fully believe it will reinvigorate the in-home beer market, helping to build the beer category and give a massive boost to the in-home beer industry as a whole," said the CEO of Molson Coors UK, Mark Hunter.
He told just-drinks at a launch event yesterday (12 May) that the kegs have a recommended retail price of between GBP14 and GBP17 each.
Consumers in the UK have been migrating from pubs and bars to the off-trade for several years, putting pressure on brewers' margins due to lower prices in the supermarkets.
"We want to attract value into the category by closing the gap between on-trade and off-trade pricing," said Hunter, adding that Home Draught will add a sense of "novelty" and "ritual" to at-home drinking.
Molson Coors is also planning to launch Home Draught in selected pubs, but Hunter said that the initiative will be predominantly an off-trade product.
The brewer has created 36 new jobs at its Burton on Trent brewery by building a new production line to bottle the three Home Draught brands.
- What Brexit means for drinks industry? - Analysis
- Is there a future for the global beer brand?
- What does Brexit mean for AB InBev's SAB deal?
- Can fruit cider survive UK slowdown? - Focus
- Non-Scotch Whisky Essentials, Part II
- The UK Referendum - just-drinks Live Blog
- Aldi dealt alcohol sales blow in Australia
- Maxxium eyes US$1.4bn opportunity in UK spirits
- Ex-William Grant CEO Stella David re-joins Bacardi
- UK spirits producers braced for Brexit impact
- Adultifying Soft Drinks; Capitalizing on rising adult demand for non-alcoholic beverages
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Spirits and Wine: Corporate Overview
- Global RTD insights - market forecasts, product innovation and consumer trends
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends