SUPPLIER PARTNERS
ASAHI PREMIUM BEVERAGES SCOTT HADLEY, CHIEF EXECUTIVE OFFICER
T
his year started very similar to previous years with high levels of excitement and optimism, and within our business, we were looking forward to another superb year of growth while also developing a more entrenched relationship with our customer base. Unfortunately, as we all know, our world was turned upside down when Covid-19 started materialising and the environment that we operated in changed dramatically. To say that it has been a challenging time is an understatement and we, like many businesses, have had to revisit our operating business model and determine what is the best way forward for our customers, our people and our businesses. The impact on the on-premise trade has been devastating with so many people directly affected who either work in the hospitality industry or have invested in venues. The closing of venues has a huge direct and indirect impact on our communities. The ‘local’ plays an important role in bringing people together to socialise, celebrate, commiserate and simply just to enjoy the pleasures of everyday life. With ‘locals’ closed and socialisation not permitted at home, the drinks industry has taken a significant hit. The changes occurred with such rapid speed over the past few months that we have had to respond quickly with a sharp focus on assisting our partners who have been most affected. Over the past weeks, many operators have been looking to find creative ways to maximise revenue and keep staff engaged after their traditional business suddenly fell away. Whilst this new, physically distant reality may last into the future in some form, many consumers are trying to create an experience at home. Venues are supporting this through selling what they used to serve to in-house guests by putting it in a box or a growler, and offering it for takeaway or delivery. It is this flexibility and creativity that will serve our industry well into the unknown future.
18|drinks guide
Throughout the pandemic, we have maintained regular connection with our customers and implemented initiatives such as offering credits for unopened kegs and bag-inbox post mix, and proactively discussing credit and account management to help customers manage cash flow. We also have a specialist beer team who have assisted our on-premise customers with services relating to beer reticulation and post mix equipment, focussing on servicing, cleaning and maintenance whilst the venues are closed to the public. Additionally, we have continued to provide our ‘Third Space’ platform services such as social media advice, consulting on training (online) and opportunities to assist with planning for any renovations that venues may undertake during the shutdown. We have also engaged with customers around new business models that venues may wish to explore such as online trivia or comedy nights that we are supporting. Our focus has shifted to how we can assist our partners evolve to a future state of operating, the recovery phase. The easing of restrictions will present new challenges with on-premise venues and this will differ by state. We will support all venues with their plans to re-engage with consumers to drive increased foot traffic into venues and bottle-shops whilst implementing a new operating model to ensure social distancing is maintained and enhanced cleaning regimes are employed. It is imperative that we quickly adapt to what will be the ‘new normal’. The safety of staff and patrons will be paramount and will be the key to further easing of restrictions in the future. The complexity of deciding how to emerge from the pandemic will be a new challenge that operators will have to navigate. The pandemic will irrevocably change guests’ relationship with drinking and eating out, and venues need to be ready for this and will have to reconsider what being a bar/pub/club/restaurant means to their guests and what experience patrons are looking for.
The retail drinks market has had a ‘rollercoaster’ ride since the Covid-19 impacts started to be felt. From the panic buying in March through to the lull in trade over the Easter period, it has been difficult to predict the true impact this pandemic is having on the retail drinks sector. Through the initial stages of lockdown restrictions, the usual at home drinking occasions reduced with limits placed on the number of guests allowed in the home and the lack of ‘events’ that consumers could celebrate. As the restrictions are eased, we expect for the retail market to trade strongly, especially whilst there are still on-premise limitations. At APB, we are committed to supporting our retail partners in maximising this opportunity and to help create new areas for growth. We anticipate that eating and drinking out will not return to previous levels of expenditure for the immediate future and this is what’s driving us to help all our customers (on and off premise) to be the best at what they do. Our focus will be to make it easy for customers to do business with Asahi Premium Beverages and we will be there to help our customers get back on their feet quickly. It is not going to be easy but rest assured APB is sharpening our focus to be well positioned to be a true industry partner for the new future.