Stock Spirits to treble UK business with new team

Following the announcement that Stock Spirits’ sales and profits plummeted in the first half of its financial year, the group has now revealed a new strategy to treble its UK business.

Stock Spirits has taken control of its Stock XO Brandy and three other brands in the UK market

Yesterday, the leading Central and Eastern European spirits producer revealed its sales had fell 20% to €108m as profits dropped an enormous 77% to €5.2m in the six months to June 2015, blaming continued difficulties in Poland.

Biting duty hikes in the country last year and a subsequent customer destocking, loss of market share, market decline and “aggressive” competitor pricing contributed to what the group called “a very difficult first quarter in Poland”.

However, the group has now revealed plans to treble its UK business over the next two years by rolling out its four “most prestigious” brands in the region.

Limoncello brand Limoncè, Zoladkowa de Luxe vodka, fruit-based liqueur Keglevich and Stock XO Brandy are entering new on- and off-trade markets following their UK debuts in 2011.

While Pinnacle Drinks acted at Stock Spirits’ commercial agent for these brands in the UK, the group has decided to “take full control” and bring this function in-house with a new dedicated management team.

Steve Howard, one of the founders of Pinnacle Drinks, has joined Stock Spirits as commercial director for the UK and Ireland market to oversee and develop the strategy.

“Following the successful roll-out of our heritage brands across the UK, we have decided to take on direct management for the region and we are pleased to welcome Steve Howard, formerly of Pinnacle Drinks, as our new commercial director for the UK and Ireland,” said Michael Kennedy, who recently joined Stock Spirits from Drambuie as managing director International and Italy.

“Furthermore, during the course of the next three years, we will be investing in both the structure of the business and our campaigns behind the Keglevich and Limoncè brands further enhancing our UK footprint and helping us to treble our UK business.”