Molson Coors and Dutch brewer Bavaria N.V. have today announced a long-term partnership agreement.
Molson Coors UK will get the exclusive rights in the on- and off-trade to the sales, distribution and customer marketing of Bavaria and its portfolio of brands in the UK, consisting of the brands Bavaria Premium, Bavaria 0.0%, Hollandia, Holland Import and Claro. For Bavaria, the partnership provides a springboard to grow the distribution of its brands in the UK.
Portfolio
The Bavaria portfolio has a long and established history. The portfolio of brands includes Bavaria 0.0%; the world’s first 0.0% alcohol beer and current number 2 in the UK non-alcohol category. Molson Coors UK’s diverse portfolio of owned and partner brands includes signature brands like Coors Light, Cobra, Staropramen and Carling.
This partnership is another milestone in Molson Coors UK’s commitment to create greater choice for customers and consumers across all elements of the beer category. The integration of Bavaria 0.0% further enhances Molson Coors’ standing in the lifestyle choice category, and complements existing brands in this segment – Cobra Zero and Carling Zest (2.8% ABV).
The NAB/LAB (No Alcohol/Low Alcohol Beers) category has grown by 48% in volume and 79% in value since 2010 in the UK off trade, and year to date is still in growth with 7% volume and 10% value growth respectively.
For Bavaria, the collaboration is another important step in its overall strategy towards 2020. It follows quickly after the acquisition of the Belgian craft brewer Palm in early May 2016.
Family brewers
Like Molson Coors, Bavaria are a family business with seven generations of the Swinkels family having brewed beer in the same location in the Netherlands since 1719. The Swinkels family share Molson Coors’ passion for brewing excellent beer and delighting customers.
Fred Landtmeters, Managing Director, Molson Coors UK & Ireland comments:
“Bavaria and Molson Coors both share a rich heritage and an unwavering commitment to producing excellent beer. The no/low alcohol segment is a growth area of the category and by working together with Bavaria along with the strength of our overall brand portfolio we are in a great position to maximise this opportunity.”
With industry leading customer service and supply chain network, Molson Coors is well placed to deliver the shared ambitions for expanding supply of the Bavaria portfolio within the UK.
Rob Page, Managing Director, Bavaria UK Ltd adds:
“We are extremely excited about the opportunity this partnership brings. The UK is a key market for Bavaria where we see significant opportunity to grow our brands. Through Molson Coors, we now have access to their sales force, customer marketing team and industry leading route to market capability. We are very proud of where we have taken the Bavaria brand in the UK and this partnership allows us to springboard the brand to the next level to fully realise its potential.”
The partnership applies to the UK distribution. This means that all production of Bavaria will continue to take place at the brewery location in Lieshout, the Netherlands, and that the recipe of Bavaria’s beer won’t be affected by the partnership. The partnership only covers the Bavaria brands in the UK, consisting of Bavaria Premium, Bavaria 0.0%, Hollandia, Holland Import and Claro. All other products distributed by Bavaria UK, will still be distributed by a small Bavaria sales team in the UK.
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