Tennent Caledonian Boosts Support for Scottish On-Trade With Price Freeze

Feb 07, 2013, 19:01 ET from Tennent Caledonian

GLASGOW, Scotland, February 8, 2013 /PRNewswire/ --

Tennent Caledonian has announced today (8th February) that it will not increase the wholesale selling price of its leading brands - Tennent's Lager, Caledonia Best and Magners Golden Draught - for Scotland's free on-trade in 2013.

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This announcement makes Tennent Caledonian the only major brewer to implement a price freeze whilst its competitors push prices up. The bold move acknowledges that the Scottish on-trade continues to face significant challenges from declining drinker visits and increasing costs.

This decision will provide a welcome financial boost for free on-trade outlets and is another strong signal of the brewer's understanding and continued support for Scotland's pubs, clubs and hotels.

This 2013 price freeze follows a five year period which has seen Tennent Caledonian consistently implement the lowest price increases in the Scottish free on-trade amongst major brewers.

Paul Waterson, Chief Executive of the Scottish Licensed Trade Association, commented: "Once again, Tennent's has shown its support and commitment to Scotland's pubs, clubs and nightclubs. The announcement that the business will be applying a price freeze on all of its major brands is welcome news at a very difficult time for the on-trade in Scotland. This price freeze will certainly help our members to control their costs and drive footfall to their premises, which is much needed."

Tennent Caledonian customer Mark Horner, the owner of Legends in East Kilbride, also welcomed the announcement. He commented: "This price freeze is welcome news for publicans across Scotland. We are all working hard in a very difficult climate as money is obviously tight for a lot of our customers up and down the country. A move like this one from Tennent's is rare in our business and, as our costs increase, it is further evidence of their great support and commitment to the trade."

The announcement of a price freeze demonstrates Tennent Caledonian's long term commitment to supporting a successful Scottish free on-trade, with a package that includes its leading portfolio of brands, excellent customer service, world class training via the Tennent's Training Academy and a growing programme of lending and partnership funding for Scotland's pubs, clubs and hotels. Over the last two years, Tennent Caledonian has provided valuable funding of more than £11 million to support on-trade businesses looking to expand or improve their offering.

John Gilligan, Managing Director of Tennent Caledonian, commented: "We believe that Scotland's pubs, clubs and hotels are at the heart of their communities up and down the country and it's crucial that they continue to thrive. We recognise that these are tough times for Scotland's free on-trade and we will continue to support and invest where we can, helping operators control their costs, develop their businesses and build a responsible drinking environment for their customers. Today's announcement is further evidence of this commitment and will make a real difference to the Scottish free on-trade in the year ahead."


Notes to editors:

Tennent Caledonian

  • Beer has been brewed at Wellpark for over 400 years, since 1556.
  • The Tennent's business has been brewing since 1740 at the historic Wellpark Brewery in the east end of Glasgow - built by H&R Tennent and today the oldest running commercial concern in Glasgow
  • Founded in 1885, Tennent's Lager is known as an industry pioneer, recognised as being the first commercial lager to be produced to scale in Scotland (and one of the first in the UK) and at the forefront of introducing canned and draught lager to the UK
  • The brand is renowned for its iconic 'Red T' logo and for its innovative marketing campaigns, including some of Scotland's most memorable and entertaining advertising
  • In November 2010 the business opened its Tennent's Training Academy on-site at Wellpark. This state-of-the-art facility provides high quality industry training that is accessible for the entire industry - not just for Tennent's customers
  • Since 2010, as part of an ongoing programme to help build a robust Scottish on trade, Tennent Caledonian has been offering investment finance to its free on trade partners to support cash flow, re-financing and growth plans
  • In October 2011, Tennent Caledonian launched a major beer brand for Scotland - Caledonia Best - made with 100 per cent Scottish barley
  • In March 2012 Scotland's First Minister the Right Honourable Alex Salmond MSP opened a new £4 million bottling line at Wellpark Brewery
  • In April 2012 Tennent Caledonian launched a premium export lager for the Scottish market: Tennent's Original Export - brewed in Glasgow using the finest natural ingredients
  • In July 2012 Tennent Caledonian was awarded a series of gold, silver and bronze medals at two of the toughest global beer quality challenges: the Monde Selection in Belgium and the International Beer Challenge. Three of the business's new brands fared well in the competitions, with five medals awarded for Tennent's Original Export (UK market), and Tennent's Scotch Ale / Tennent's Extra (Italian market)
  • In November 2012, the business raised £16,000 for Capability Scotland following its pledge to donate 5p of every pint sold on the day of Glasgow's Olympic homecoming parade

SOURCE Tennent Caledonian