In the 2022 National Liquor News Industry Leaders Forum, Gavin Saunders, CEO of Liquor Marketing Group (LMG) discussed how the group has recorded back-to-back record years.

Reflecting on the last few years of business for Liquor Marketing Group (LMG), CEO Gavin Saunders could not be happier.

“LMG enjoyed a record 2021. Both like-for-like members’ businesses and total membership is set to close the calendar year with eight per cent growth,” he said.

“This is an extraordinary result given the performance we are cycling in 2020, with 2021 up an incredible 30 per cent versus 2019.”

And the pattern goes even further, as Saunders explains to National Liquor News; LMG has actually notched up 18 consecutive quarters of growth, the equivalent of four and half years.

Nevertheless, Saunders is determined that LMG maintains its focus and brings this momentum into 2022. A key area for the business will be the development of its online presence.

“In 2022, we will have a particularly strong emphasis on digital marketing and e-commerce,” Saunders said.

“LMG e-commerce and support digital marketing activity have resulted in fantastic growth over the past two years, with adoption levels rising during COVID restrictions.”

According to Saunders, e-commerce offers a wonderful opportunity for retailers, with average basket size more than double those found in-store.

Describing the specific benefits, Saunders said: “LMG’s platform is unique from others as it connects to each store’s POS to allow ‘Your Store, Your Pricing and Your Range’. Therefore, the consumer enjoys all the benefits of an in-store shop (including range and pricing) with the convenience of one hour delivery.”

Yet, it’s not all about the online space for LMG, with the organisation continuing to go above and beyond to support its traditional brick and mortar membership. For example, 2021 saw LMG’s retail refresh program rolled out to 25 locations.

“The impact of the program is evident in the trading results of the completed stores, both in transaction count and value per transaction,” Saunders said.

Looking to the year ahead, increased transaction value and premiumisation is a trend Saunders has noted as growing over the last few years, and one he tips to continue.

“Premium spirits priced $58+ is growing at +22 per cent, premium wine over $30 is up 24 per cent, and craft beer has increased by 13 per cent,” Saunders said.

“Premiumisation is still a clear growth driver across the total alcohol category.”

Key growth drivers in 2021 and beyond

  • Retail Refresh Program: LMG is rolling out 75 refreshed stores in the 2022 financial year, with further roll-out plans in 2023
  • E-commerce: LMG’s platform has doubled 2020’s extraordinary sales by volume result in 2021.
  • Digital and social marketing: targeted marketing and social reach is driving awareness and conversion of marketing campaigns.
  • Member support: LMG Business Development Managers and field teams have partnered with members to identify opportunities within their businesses and catchments to grow member profitability.

Read more from the 2022 National Liquor News Leaders Forum here.

Brydie Allen

Brydie Allen is the Editor of National Liquor News. She has been with Food and Beverage Media since 2019, when she joined the company as a journalist across National Liquor News, Bars & Clubs, The...

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