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The Guardian - UK
The Guardian - UK
Business
Rebecca Smithers Consumer affairs correspondent

Lidl embraces craft ale craze following success with upmarket wine sales

Lidl are hoping to cash in on the craze for craft beers by stocking a range of premium and vintage bottles.
Lidl are hoping to cash in on the craze for craft beers by stocking a range of premium and vintage bottles. Photograph: Ray Tang/Rex

A year after discount grocer Lidl barged into the upmarket wine business with a range of premium and vintage bottles designed to pull in more middle class shoppers, it is doing the same with craft beers.

The German store is hoping to cash in on the craze for craft ale with a range of premium bottled beers and ciders sourced from big producers and small-scale local micro-breweries.

The bargain fine wine range, which included Châteauneuf-du-Pape and Chateau Latour, has fuelled a 40% increase in Lidl wine sales over the last year.

From later this month, Lidl stores across eight UK regions will offer shoppers six different locally sourced ales. In total, 48 premium regional ales will be introduced across the UK.

In addition to the regional craft ales, Lidl will be stocking various premium ales, world lagers and ciders on a national level, featuring a mixture of traditional and new wave craft ales. The regional craft ales will all cost £1.49.

Lidl has teamed up with former Blur bassist turned farmer and foodie hero, Alex James, to promote the new beers.

Beer writer Roger Protz said the rise of premium beer was unstoppable, with even giant supermarkets taking the sector seriously. “Marks & Spencer has just launched an excellent range of premium ales and most remarkably, Tesco has commissioned Marston’s, one of Britain’s biggest national brewers, to produce a bottle-conditioned golden ale – the type of beer Camra calls ‘real ale in a bottle’,” Protz said.

Lidl, and its German discount rival, Aldi, are continuing to steal customers from the big grocers. New data from Kantar Worldpanel this week showed Lidl now has 3.9% of the UK market for groceries, making it nearly two-thirds the size of the Co-op.

But Lidl’s annual rate of sales growth has slowed to 8.8% – the first dip into single figures in two years – as it responded to the big grocers slashing prices with price cuts of its own in order to remain cheaper. Many of its stores are now thought to be operating at capacity.

Lidl’s senior buying manager, Ben Hulme, added: “The quality and provenance of our new product range is key to us with this initiative. We have handpicked a selection of regional ales that will showcase some of the best craft ales available in the UK.”


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