Independent Liquor, the Japanese-owned New Zealand liquor business has announced its plans to take on the corporate brewery duopoly that dominates draught beer sales around the country. The plan is for Independent to become a third competitor in the tap trade that dominates beer sales in cafés and bars.
The plan may see Independent adopt the same banking for trade approach that has dominated draught activity by both Lion and DB Breweries. This takes the form of either loans to establish new properties, or the provision of draught beer service equipment, both of which are secured by guaranteed brand loyalty.
Currently Independent are faced by the challenge of developing stronger local beer brands to compete with DB’s Heineken and Monteiths and Lion’s Stella Artois and Macs, which dominate tap sales in upmarket bars and cafés. Independent’s international brands, Carlsberg and Kingfisher, have potential on the strength of their international profiles, but its local Boundary Road brand will need some campaign work to get it up to fighting weight to compete with Monteiths and Macs.
There is also the question of whether Asahi’s own highly regarded brand of international lager, one that many claim to be the Pacific region’s top beer, will make its presence felt through Independent’s activities on tap.
It is estimated that the draught beer business in New Zealand is worth close to NZ$1 billion annually.
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