Coles launches pilot that will consolidate liquor banners under Liquorland brand

Coles Liquor has announced a pilot program that will see select Vintage Cellars and First Choice Liquor Markets converted into Liquorland branded retailers. Initially, the pilot will be launched across all South Australian stores and select Victoria and Queensland stores this November.

“This is an exciting next step for Liquorland which over the last four years has undergone an extensive transformation that has clearly resonated with our customers,” said Michael Courtney, CEO at Coles Liquor. 

“We want our other banners to benefit from its strong brand awareness and large store network.” 

Included in the pilot program are six First Choice Liquor Market and three Vintage Cellars stores in South Australia, two First Choice Liquor Market stores in Queensland, and three Vintage Cellars stores in Victoria. Its launch marks the next instalment of the ongoing transformation of the Liquorland banner. Over the past four years, more than 600 stores have been converted to Liquorland’s new Black and White format, which includes a more spacious store layout, clearer in-store signage and a more locally relevant range.

Michael Courtney said, “our focus remains on providing our customers with great value, and we’re confident that by bringing together the best elements of Liquorland, First Choice Liquor Market and Vintage Cellars, we will be able to provide our customers with competitive offers on the drinks they love most.” 

The planned pilot program follows on from Coles Liquor’s February acquisition of Tasmania’s 9/11 Bottle Shop Chain, which it has since started converting into Liquorland banners. It also follows on from Coles Group’s recently released end of year results, which saw liquor lag behind a strong overall group performance. According to its ASX announcement, liquor sales growth was impacted by a “challenging liquor market” in which “customers reduced their discretionary spending due to economic pressures.” Coles Group noticed customers decreased basket size and increased shop frequency across all of its liquor banners.

Drinks Trade will be catching up with Michael Courtney shortly to discuss the pilot program decision.