Beverage Brands

Who are they?

Beverage Brands has been around since the birth of the RTD market, so it may surprise some that it is now over a decade old.

Managing director Joe Woods formed the business in mid-1993 when he developed Caledonian Clear bottled water, after being inspired by the success of coloured waters in the US.

The involvement in RTDs came with the launch of Woody's in November 1995, hot on the heels of the pioneering Hooch.

The company's foothold in the RTD sector came with WKD, released in March 1996, originally in Irn-Bru flavour but later joined by Blue and Silver variants.

Originally at 5.5% abv, its strength was cut to 5% last October to put it in line with its competitors.

WKD is now the number-two RTD in the country, shifting around five million cases a year in the on-trade.

The company also owns the WKD 40 shots brand, at 40% abv, and the perry-based Kitsch (7.5% abv), launched last autumn.

Karen Salters, marketing director at Beverage Brands, has refuted predictions that the RTD market is in terminal decline.

She maintained that the market has a great future, despite a fall in sales of around 6%.

"There's no denying that the RTD market has plateaued, and people have to look at why that is happening.

But it is a large market and it will not go away over night."

She said brands must stay relevant to appeal to image-conscious younger drinkers.

Salters said WKD targeted its core drinkers by screening ads during "cutting edge" TV shows such as Jackass and Friends.

Main brands: WKD Employees: 54 Don't mention: Conservative buying.

Salters said the company has had difficulties getting Kitsch to the consumer.

"Part of the problem with the trade is that there's no innovation.

Then we came out with a new product and everybody clams up.

Pubs are suffering at the moment and they need some re-invigorating ­ anything that can add a bit of interest.

Pubs should be taking advantage of that."

Plans for the future: Beverage Brands is preparing to shoot a new TV ad for WKD.