Beam UK committed to value over volume in port and spirits

23 February, 2007

Drinks giant pledges £36 million investment in core brands during 2007

Beam UK will invest £36 million in its core brands in 2007 and focus on building value in spirits and port.

Managing director Adrian McKeon said Beam will be driving value over volume in the coming year through "price leadership and brand investment".

He predicted a fall in price-led promotions of wine and spirits over the next 12 months and a rise in wine prices.

Brand activity includes a £1 million marketing campaign for Harvey s Bristol Cream, targeting women aged 35 and over.

The campaign, which starts in March, is designed to encourage consumers to drink the sherry chilled and uses the ­strapline: For Chilled Out Occasions.

Cockburn's port will be the focus of a consumer PR campaign promoting vintage and top-end port, and tequila brand Sauza will be marketed as an authentic premium cocktail ingredient.

Beam has restructured its marketing team, appointing new heads for Cognac, fortified wine and whisky in order to "build brands that people want to talk about", according to marketing director Drew Munro.

One of Beam's biggest brands in the UK is blended whisky Teacher's - currently the seventh top spirits brand in the off-trade with sales of some £65 million.

Courvoisier Cognac is also in its portfolio and occupies the 10th spot in the UK. The brand grew its sales to £32.3 million in 2006 with a 2 per cent value and 3 per cent volume growth.

Top-selling spirits are spotlighted in Brands Report, page 28.

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