Sainsbury’s launches US beer sub-brand at premium lagers

Sainsbury’s is launching a sub-brand US beer, Indiana Gold, to take on the big premium lager brands in the same way it attacked Coca-Cola with Classic Cola last year.

Its main competitors this time are likely to be Anheuser-Busch’s Budweiser brand, Scottish & Newcastle’s Beck’s and Courage’s Miller Pilsner.

The new beer has blue, gold and white livery and contains five per cent alcohol by volume. It will be launched on May 7 in all Sainsbury’s and Savacentre stores.

Sainsbury’s is emphasising that Indiana is brewed and bottled in the US, by the Evansville Brewing Company, unlike other “American” branded lagers available in the UK.

It will cost about 15 per cent less than competitive brands, says Sainsbury’s, at £2.99 for a four-pack of 355ml cans and £3.29 for a four-pack of 355ml bottles.

Indiana Gold joins Classic Cola, Gio and Tattawingee Australian wines, Novon detergents, Performers Nappies and First Menu babyfoods as one of Sainsbury’s sub-brands.

The retailer already has a range of own-label beers and lagers ranging from high volume standard lagers to beers like Trappist Ale.

It is understood the new launch will be backed by an advertising campaign through Abbott Mead Vickers.BBDO.

According to Sainsbury’s, Classic Cola now has a 60 per cent volume share in store and an 11 per cent share of the grocery cola market.

Novon has 20 per cent volume share in-store, while Performers Nappies and First Menu Baby Foods have taken 40 per cent and 30 per cent respectively of sector volume in Sainsbury’s.

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