By Deborah Jackson, editor National Liquor News
TheShout can reveal that the IGA Liquor brand will be removed from the Western Australian market. As a result, all 24 IGA Liquor stores will be converted to Cellarbrations.
A spokesperson for Australian Liquor Marketers (ALM) confirmed the move, saying it will help to strengthen Independent Brands Australia’s presence in WA.
IBA is the second largest retail group in Australia, with over 2500 members operating under the Cellarbrations, The Bottle-O, IGA Liquor and Duncan’s retail banners.
“From our perspective in terms of the brand exiting that market it is purely as a result of the strength of that brand and we're actually converting those IGA Liquor stores to Cellarbrations. From our view it is strengthening the Cellarbrations brand and growing our offer in that market. So while the brand itself won't exist, we will still have the footprint from an IBA perspective.
When asked if the move would have any repercussions to existing Cellarbrations stores, the spokesperson said: “Not at this stage. I think one of the reasons why we have chosen this route is because of the minimal impact it will have on the existing footprint, so we don't envisage there being clashes at this point.”
Chris O’Brien, the general manager of Liquor Barons had a slightly different view, telling TheShout that if converting to Cellarbrations doesn’t suit the needs of every retailer, they should explore their options.
“The IGA Liquor brand in Western Australia has little equity, so I don't think it will make a large difference to the consumer. Some retailers may find that an ALM sourced alternative may not meet their needs, and if a retailer fits into that class then they should explore the market for the opportunity that best meets their needs,” he said.