Co-op has initiated a significant overhaul of its beer aisles, introducing more than 50 new stock-keeping units (SKUs) across its 2,400-store estate this month. The expansion aims to cater to evolving consumer preferences, with a focus on premium world beers, low-alcohol options, and craft beer varieties, in response to heightened demand.
Despite already commanding a 10% market share in the beer category, Co-op has observed accelerated value growth, surpassing that of the convenience and total grocery market. Data from Hive Circana for the year ending May 25th underscores a notable consumer trend: a desire to replicate the out-of-home experience by opting for higher-quality offerings in the beer aisle.
Jonathan Buckley, Co-op’s commercial buying manager for drinks, underscores the strategic significance of the drinks category, particularly beer, in driving market share expansion. He emphasizes the importance of streamlining the range to facilitate ease of shopping while capitalizing on opportunities for trade-up. This realignment, he notes, is a reflection of shifting consumer needs in the convenience retail landscape.
The expanded selection features an array of new world beers, including Cruzcampo Seville Lager Beer, Via Roma Lager, Birra Moretti Sale Di Mare, and 1664 Blanc, available in both single and multi-size packs. Additionally, the craft beer segment has been bolstered with the introduction of multi-packs such as Beavertown Neck Oil and Brooklyn Stonewall IPA. Notably, all single craft beers have been transitioned from 330ml to 400ml bottles. Furthermore, Co-op has introduced more offerings from esteemed breweries such as Brewgooder, Tiny Rebel, Northern Monk, Brewdog, and Beavertown.
This strategic expansion not only underscores Co-op’s commitment to offering an eclectic and high-quality beer selection but also signifies its dedication to catering to diverse consumer preferences across various price points. As Co-op continues to elevate its offerings with a focus on premiumization, it remains steadfast in providing core standard lager lines to meet the needs of its broad customer base.
