It is interesting to watch Canada's sugar-pop-beer market battle these days in light of the success of discount beers. The main maker of the low cost lagers which are grabbing a share of the market is Lakeport from Hamilton, Ontario. A new CEO has been appointed at Lakeport who has been a player in their success:
A native of Hamilton, Ms. Cascioli was recruited to Lakeport in 1999 as the company was struggling to emerge from bankruptcy protection from its creditors under the Companies' Creditors Arrangement Act. At that time, the company was saddled with an inefficient plant, poor reporting systems, inadequate financing and a costly legal dispute with the parent of Ontario's The Beer Store retail chain. Since then, she helped grow market share by 400 per cent and turned the 200-employee brewer into a profitable concern. Lakeport -- the maker of the Steeler, Lakeport and Brava banners -- controls 6 per cent of Ontario take-home beer market, which excludes sales in bars and restaurants.Conversely, Labatt is showing signs of losing its dominant place, letting staff go and chopping ad firms. Why? I asked a pal who buys discount beer - at the low to mid $20 for a case of 24. Labatt Blue is in the mid-$30s for the same amount with little perceptable difference in taste. Could it be that even the average beer buyer in Canada is ditching brand for value?
Comments
Alan - March 31, 2005 2:57 PM
And today, Labatt announced the closure of its Toronto plant: <blockquote class="smalltext">InBev NV, the world's No. 2 brewer, will close its Toronto plant, throwing 265 employees out of work as demand for the company's Labatt brand declines. InBev, which also makes Stella Artois and Beck's, will invest in the main Labatt brewery in London, Ontario, the Leuven, Belgium-based company said in an e-mailed statement. Competition from discount brewers in Ontario, Canada's biggest market, has eroded the market share of Labatt and Golden, Colorado-based Molson Coors Brewing Co. Discounters have introduced ``buck-a-beer'' brands that account for about a third of take-home sales in Ontario. </blockquote>
Debbie@Sheldrick Transport - October 14, 2005 11:43 AM
Im a lover of beer (Carling & Lakeport)and also work at a family business that specialize in Bulk liquid Food Hauling . We have hauled beer and would be happy to serve the needs of the brewing companies that are looking for a reliable , honest and cost efficiant transpoter. Cheers, Deb
Alan - October 14, 2005 1:15 PM
That poses an interesting spam dilemma. Is it still spam when it is in the industry?