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Tuesday, June 10, 2008

Marston’s has launched a pilot beer-discount scheme to help tenants combat fierce pricing competition from rival managed pubs and freetrade clubs.

The company has selected 20 South Wales outlets where licensees claim they are being undercut by opposition venues.

The discount scheme will enable hosts to knock 50p a pint off one ale and lager brand in an attempt to win back drinkers.

Marston’s Pub Company said it is responding to feedback from tenants who’ve experienced declining beer volumes.

The pricing initiative will mean beer and lager on sale for £2 a pint and will be backed by a marketing and promotion campaign in the 20 pubs.

Operations director Andrew Andrea (pictured) said: “We were getting feedback from licensees in certain areas of South Wales who complained that they were being squeezed by freetrade club and managed house prices.

“Beer volumes were down between 5% and 8% as a result so we decided to pilot a scheme to help tenants reduce the price of ale and lager.

“We are running this for three months after which we will evaluate what impact it has had on trade.”

Andrea stressed that the 20 pubs were run by good operators at venues which had received investment.


It is astonishing that Marston's should be promoting this pilot scheme as if it were glowing evidence of their desire to support lessees:

"to help tenants combat fierce pricing competition from rival managed pubs and freetrade clubs"

When, in fact, there can be no denying it is a tacit admission that lessees are finding it impossible to compete with managed and free houses on price. Why?

Because of the high price of beer supplied through the tie.

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