Asahi adds fizz to market

Jane Harper
October 01, 2013
Herald Sun

JAPANESE beverage giant Asahi is shaking up its Australian business in a move its says will ramp up its competitiveness.

And the group has revealed it is considering new products and eyeing acquisition opportunities in a bid to claw out a greater share of the local beverage market.

The company has announced it is creating a new Melbourne-based division, Asahi Premium Beverages, which absorbs Laverton-based subsidiary Independent Distillers.

Asahi acquired the Laverton business — which makes pre-mixed drinks including Vodka Cruiser and Woodstock Bourbon — as part of its buyout of New Zealand’s Independent Liquor in 2011.

Independent Distillers was operating independently.

Mr Ellery said the move reflected the evolution of Independent Distillers from a ready-to-drink specialist to a more comprehensive drinks company.

The new division will team up with sister business Schweppes to offer a one-stop supply option for pubs, clubs and bottle shops.

It meant venue licensees would have access to the full range of Asahi and Schweppes alcoholic and non-alcoholic products from one supply contact, rather than deal with separate contacts, the company said.

Asahi bought the Australian Schweppes business, which owns Cottee’s cordial and licenses Pepsi brands, from Cadbury in 2009.

Asahi Premium Beverages chief Greg Ellery said collaboration between the group’s businesses helped harness the strength across its brands.

“We have got a lot of big assets in Australia and are trying to make them more formidable,” Mr Ellery told BusinessDaily.

“This move is important to our customers and makes us a lot more competitive.”

He said the group was always on the hunt for potential takeover opportunities, and was considering launching new products to boost its Australian portfolio.

Mr Ellery pointed to spirits as one area that had expansion potential for the group.

“Asahi has made significant investments in the beverage sector in Australia and will continue to build on that,” he said.