Brains power

Lorna Harrison examines the four-year transformation of Welsh brewer Brains.

You'd be hard pressed to find somebody living in Wales who hasn't heard of Brains - and with the brewer's sponsorship of the Grand Slam-winning Welsh rugby team, there's a pretty good proportion of other UK nationals who would instantly recognise the brand.

Would this have been the case five years ago? Probably not. A lot has been achieved over the last four years following the arrival of the company's chief executive Scott Waddington, not least bucking the trend of an ale decline with a six per cent growth in its brands.

Scott was recruited in 2001 to shake up the company, which needed a lift following Brains' merger with Crown Buckley and the subsequent acquisition of Bass' Cardiff brewery. It was a brave move for any outsider, even with trade credentials spanning sales and marketing at Carlsberg-Tetley to working for Century Inns. Scott's challenge was to create a 21st century company without destroying the traditional family brewing heritage dating back to 1713.

Since his arrival, company turnover has risen from £74m to £108m and profit has jumped from a little over £6m to £8m, including a 14 per cent rise since 2003. The clear corporate focus brought about by a board reshuffle and a new head office team has helped reshape the company - and there's more on the cards.

"I had a vision and new strategic plans, but I couldn't deliver them with the existing team," says Scott. "I brought on board a new financial director and within six months appointed Philip Lay as retail director. Within year two we had the capital investment in place, we had the staff, we'd redeveloped the brand with new designs and logos and we had brought a level of consistency across the business with a clear set of goals.

"The result is we are increasing the number and quality of our pubs, we are increasing throughput in the brewery and we hope to be the main driver of other brands in Wales through our six distribution sites and two wholesale businesses. It is our aim to be the leading brand, with Brains beer in every bar. But one of the most important aspects of the business is the people and creating a good working culture. It's the people who shape our business."

It's this forward-thinking attitude that won SA Brain the title of regional brewer of the year at the 2005 Publican Awards held on March 22.

The judges picked the company from a line-up of six finalists, saying: "Brains has an amazing understanding of its marketplace and has delivered on strategy in every area of the business. Its investment has been focused and effective and has created an exciting platform for the future."

Commenting on the award, Philip Lay (pictured with Scott Waddington)​ said: "We were delighted. It is recognition of a lot of hard work by a lot of people over the past couple of years. It's a great acknowledgement which will help attract great people to our company."

And with its expansion plans moving full steam ahead, Brains is always on the look-out for new people. The company has recently boosted its estate with the acquisition of the Innkeeper Group - 27 pubs which were bought for an undisclosed sum. The deal brings Brains up to 111 managed and 142 tenanted pubs, with an ultimate target to have 350 sites around Wales.

With a £12m investment programme in new and existing pubs over the past year, a large number of outlets have seen the benefit of refurbishments and licensees have seen greater emphasis on training and support.

"Licensees now understand our values," says Scott. "When I arrived I thought I would find them stuck in their ways, but people wanted to move forward. There wasn't any HR or massive investment in training but I knew we wouldn't be able to achieve our business plan unless we trained people and helped them to move the business forward."

Philip's background in brands, including the launch of Scottish & Newcastle's - now Spirit's - John Barras, has resulted in some diverse bars, including Salt in Cardiff which brings a new contemporary mix to a traditional brewery estate.

Working with Design Management Partnership, he also played a major part in the development of the Yard - a huge new pub complex on the site of the original brewery in St Mary's Street, which was shortlisted for a pub design award in this year's Publican Awards.

But he's keen to stress: "Whatever we do builds on the family roots. The biggest challenge was developing the brewing site, but there's a lot of reference to the family pride. All employees respect the heritage."

Despite the success of the company, the bosses are not complacent. Recognising the need to remain forward-thinking, they are bringing in an external consultant to facilitate meetings and offer advice in order to challenge them over their decision making.

"We want to ensure that we are constantly one step ahead of the competition and bringing something new to the company. We have many ideas and plans for the future and we want to continue to be fresh," added Philip.

In addition to running the business, Philip and Scott have become Welsh ambassadors for pubs, being quizzed by the media on everything from binge-drinking to smoking laws and using their powers to actively lobby the Welsh Assembly.

This new business approach and activity with its licensees, customers and potential customers is making the brewer highly visible in Wales and beyond. The company's steady expansion plan is delivering a fifth consecutive year of growth and, coupled with its well-timed sponsorship of the Welsh rugby team, the future looks rosy.

"We are striving to be the leading provider of drinks and hospitality in the Welsh market," says Scott. It looks like Welsh domination has taken hold.