The Price Of A Pint Cut... To 99p

[Dukesy 0]

THE price of a pint of beer was slashed to just 99p yesterday by pub chain JD Wetherspoon.

 

Greene King IPA now costs nearly two thirds less than the average £2.75 price of a pint. Bottled San Miguel will also sell for under a quid at the firm’s 713 boozers.

 

Other lager, wine and spirit prices were also cut and meals will be available from £2.99.

 

Beer last cost less than £1 a pint 20 years ago.

 

Chief executive John Hutson said: “People enjoy going to the pub. But we appreciate the economic downturn means they now have to be more careful with their money.

 

“Our new food and drink prices will allow people to enjoy a visit to a Wetherspoon pub without it costing them too much.

 

“Unlike most sales that start in January, our offers won’t end within days but will run indefinitely.”

 

Wetherspoon’s move comes as pubs are battered by the credit crunch.

 

Beer sales have hit their lowest level for 40 years and drinkers prefer to buy mega-cheap booze from supermarkets.

 

Pubs have also struggled with dwindling custom caused by the smoking ban.

 

2nd January 2008

[am.entertainment 0]

good old weatherspoons strangling the pub trade again! its good news for the customer but for the landlords/landladys of small watering holes its the final nail in the coffin!

 

the problem isn't the small pubs the problem is the brewerys and companys that own the pubs. landlords are forced to buy at least a minimal amount from them so they have know choice but to charge the prices they do!

 

i have run 2 pubs and and got out as you are tied to the brewery to much. if your a free house you can shop around for your beer and things and get some good deals. other than that i would give owning a pub a wide berth! unless it had a good dry trade(food)

 

[dj.silver 0]

I live in the market town of Wimborne, Dorset with twelve pubs, one British Legion, one Conservative club and one night club. The night club is more than likely going to close in the near future and one pub is struggling seriously and many feel is also in it's death throes.

 

There has been a rumour Weatherspoons could open in a disused 'job centre' building. Should this now happen it would cause chaos in the pub trade in the town, a potential nightmare.

 

Wetherspoons are simply the Tesco of the license trade.

Edited January 2, 2009 by dj.silver

[Kingy 0]

As I don't drink much these days, I have no idea how much a pint costs wholesale, but I do ask myself how TESCO, ASDA etc can afford to sell it so cheaply. Surely they would pay duty on the beer at the same rate as the pubs and surely it can't be cheaper to buy beer from a brewery in cans, which involves extra materials and a canning process than buying it in large barrels?

 

I wonder how they justify the differences? :shrug:

 

And look at the price of spirits, that is the same.

 

I bought a bottle of wine last week at a function, £14.95. Same wine and size in ASDA 3 for £10. Now one of those is a bargain....discuss. :shrug:

[spinner 0]

As I don't drink much these days, I have no idea how much a pint costs wholesale, but I do ask myself how TESCO, ASDA etc can afford to sell it so cheaply. Surely they would pay duty on the beer at the same rate as the pubs and surely it can't be cheaper to buy beer from a brewery in cans, which involves extra materials and a canning process than buying it in large barrels?

 

 

 

Because of their bulk buying they are bound to get a generous discount, but might they not be using it as a loss leader? I know that does happen with some lines.

 

[Kingy 0]

Because of their bulk buying they are bound to get a generous discount, but might they not be using it as a loss leader? I know that does happen with some lines.

 

I know, but what I am saying is that if the brewery own the pub there is no middle man to pay, so surely the beer COULD be cheaper there rather than in TESCO.

 

I guess you are right and it's a loss leader, they hope you will buy snacks etc whilst in there.

[dj.silver 0]

As I don't drink much these days, I have no idea how much a pint costs wholesale, but I do ask myself how TESCO, ASDA etc can afford to sell it so cheaply. Surely they would pay duty on the beer at the same rate as the pubs and surely it can't be cheaper to buy beer from a brewery in cans, which involves extra materials and a canning process than buying it in large barrels?

 

I wonder how they justify the differences? :shrug:

 

And look at the price of spirits, that is the same.

 

I bought a bottle of wine last week at a function, £14.95. Same wine and size in ASDA 3 for £10. Now one of those is a bargain....discuss. :shrug:

 

I used to work for United Biscuits and sold K P crisps, nuts and snacks to pubs, school tuck shops, catering outlets etc. I had a van and would visit weekly/monthly with the goods take the order and get the stock from the back of the van. Pubs would have to order at least 7 boxes of crisps to get any discount and the more they ordered the more discount they got. On numerous occasions I would be told they could get product cheaper from cash & carries than from me, bearing in mind I was working directly for the manufacturer. Bearing in mind they could walk into a c & c and buy just one box cheaper than them ordering 7+ from me! This cost me lost customers and lots of earache!

 

After a couple of years I was promoted to a senior sales executive (posh eh!) which meant I was now selling to cash & carries. Now, instead of selling 5, 10, 20 boxes I was selling trunker loads. One artic would hold 16 pallets, with each pallet having 144 boxes of crisps on ..... 2304 boxes in one hit = BIG discount!

 

There lies one of the reasons. The other, I would suggest is the power of the supermarkets i.e. "You sell us your product at the right (our) price or we will delist you!"

[londonweddingdisco 0]

a lot of it comes down to margins.

 

supermarkets (and to a lesser extent wetherspoons) will operate on different margin requirements to the smaller boozer meaning they need to sell a lot more to make the same amount of money.

 

they will also receive large discounts because they will buy ten times the quantity of their competitors- fair enough really as if someone booked me for 25 discos I would offer a better price than someone who booked one.

 

Loss leaders are also used at christmas on the big brands.

 

I don't particularly like/dislike JDW but they have fillled a gap and done it very well- if they hadnt done it someone else would have done.

 

ultimately if you dont like them you dont have to go there- i dont, but it doesnt mean they are a bad company- they've created many jobs for people in the UK.