Columba Cream Responds

MERRY CHRISTMAS!!!

Unless something REALLY big pops up, this will be the only story this week.

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A few months (September 6th) ago, I did one of my news wrap-up stories (Whisky Season = News Stories) which included a short clip on how Columba Cream was having issues with its plans to take on Diageo's

That story was a summary of a story from The Scotsman called Columba Cream Plan Hits The Rocks.

I just received a response from Jamie Morrison of the Scottish Liqueur Centre, who took some issues with my story and attempted to clarify some statements. It's great to get more information and I thank Jamie for writing me.

Below is his email, my response to some of his comments as well as the text of the original story.

I read with interest your remarks regarding Columba Cream. I would like to mention how I see it as largest shareholder and Sales Director.

 

"Head to Head with Baileys"

 

We have no intention of going head to head with Baileys, hence our price point of £14.99 vs. £12.49. The other creams in the category, Amarula, Heather Cream and Drumgray are all £10-£12 / bottle, they are more likely to be caught up in a head-to-head with Baileys when the discounting starts. We want to be the premium alternative.

"I've never heard of it"

People had never heard of Bowmore 25 yrs ago, case sales of some 2000 per year.

If we had wanted to buy a brand that people had heard of, it is a. more expensive, and b. harder to reposition.

 

"Discerning between the two base spirits"

This shows the writer has never tasted Columba Cream. It has a significant Malt kick to it, which all consumers have picked up on, something which no-one could ever claim of Baileys. Secondly we are the only entirely 100% single malt whisky based cream on the market. The vast majority, upwards of 90% I believe, of Baileys alcohol content is neutral spirit, not Irish Whiskey. the two could not be further away from each other on taste and quality of ingredients.

 

Just a little tit bit for you ~ today we tasted for the first time in a Waitrose Supermarket, a huge coup of a listing, we sold 23 bottles at £14.99, Baileys sold 0 at £12.99 / litre and the Waitrose Store's entire Single Malt sales were 9 bottles.

 

Brands take time my dear boy, but please try it before commenting.

Rgds

Jamie Morrison 

Thanks for the response, Jamie.

Here are my comments:
My original story was based on the Scotsman article, and the claim that Columba Cream was being positioned as a potential "major international drinks brand" and "Scotland's answer to Baileys".

Nowhere in the article did I say, I've "never heard of it." What I DID say:

"Bailey's commands 2/3rd of the entire cream liqueur market - In contrast, most people have never heard of Columba Cream."

My comment on "discerning between the two base spirits" is based not on whether I've ever tasted of Columba Cream (I have) but on the buying public's ability to discern. (They can't.)

By the way, I never grouped Amarula with other whisk(e)y-based cream liqueurs. Amarula is a South African, cream fruit-based liqueur and has a substantially different (and quite unique) taste.

Regarding the base spirit of Bailey's, I could not get anyone from Diageo to verify or refute the percentages of Irish whisky in the formula.

I STILL believe that in order to make in-roads in a global market, they should spear-head with a product that has real differentiators:

"Focus on marketing the Solas line of fruit-based liqueurs. The fruit approach to whisky liqueurs, as well as the attractive packaging makes THIS the product to market. Mark my words."

I will also caution Jamie that (unfortunately) taste and quality of ingredients are not as important as one would believe  - especially in a global marketplace. If they were, Budweiser, Bud Light and Corona would not be at the top of the heap.

And here is the original Scotch Blog clip

Never heard of it...

The attempt to market Columba Cream in the international market as "Scotland's answer to Bailey's" is not working out as well as the investors had hoped.

Bailey's commands 2/3rd of the entire cream liqueur market - In contrast, most people have never heard of Columba Cream.

The new management team of the Scottish Liqueur Centre, which had sought to rescue the brand has rebuilt the factory, built a visitor's center and spent quite a bit of money relaunching the brand. Unfortunately I think the branding is a little too Scots-centric for what aspires to be a multi-national brand.

I also doubt that ANYONE has the financial resources to go head-to head against Diageo in the whisky-based cream liqueur market, and let's be honest, how many people would be able to discern between the Irish and Scotch whiskies which are the base ingredients of these two drinks?

FREE CONSULTING ALERT #2: Focus on marketing the Solas line of fruit-based liqueurs. The fruit approach to whisky liqueurs, as well as the attractive packaging makes THIS the product to market. Mark my words.

Comments

[Malt Man Mike]

I know that it's not your intent, but your response to his response comes off a somewhat unfriendly (as in "You can't do that, it won't work. Besides, you misquoted me.")

I totally agree with you that if they're out to make a fortune, the lowest-common-denominator consumer without tastebuds and a light wallet should be the target demographic, but what's wrong with making a premium product? Where would we be if all distilleries switched to grain in an attempt to maximize their profits? I say encourage him rather than spread pessimism.

BTW, I also agree with that Solas statement. If that's the bottle pictured (very nice) and it's better manufactured than the candy syrup in neutral alcohol mixers that we get in Canada, then go for it.

[Kevin Erskine]

Thanks for the great comments, Mike.
In case it never came across before, I'm a surly bastard :).

I WILL point out that my comments were based on the story from The Scotsman:

Which stated: "THE dream to turn Columba Cream, Scotland's answer to Bailey's, into a major international drinks brand was thrown into doubt last night amid speculation of a break-up among the management team that rescued the firm last year."

Based on the fact that, somewhere along the line, the management team set forth that they intend to "turn Columba Cream, Scotland's answer to Bailey's, into a major international drinks brand", I think my comments are valid.

More so, I don't feel I am obligated to encourage people - my opinions come not from a position of optimism or pessimism - but from realism.

BUT, I submit, that my opinions are the opinions of a single man - and no more or less valid than Jamie's or Mikes!

And I'm rarely if ever right:)

So good luck to Columba, if for no other reason than it is a Scottish product of great quality.

(Does that redeem me on this Christmas morning???) :)

[Ian Buxton]

Hi to Mike and Kevin
First of all, what are you guys doing blogging about whisky on CHRISTMAS DAY for goodness' sake? If you've nothing else better to do you could try drinking it. If not on Dec 25th, then when?
But on to Columba Cream. I believe much of this starts with the over-excited Scotsman story. Being somewhat parochial in its view the paper tends to get enthusiastic about anything Scottish that looks like it might be a success and relatively small stories get hyped out of all proportion.
If CC had announced "we want to get 0.5% of the cream liqueur market" then that would be greeted with a big yawn, so the journalist has to put a more exciting spin on it. Typical bloody journalists, I say.
Yet, 0.5% of that market would be a tidy sum (cream liqueur is bigger than malt whisky in the UK - there's a depressing thought) for a small company that's effectively a start-up. (Yes, I know it was there before but it's been totally revamped from top to bottom).
Knowing something about this venture and the people behind it (who have great track records) I believe that 0.5% market share is closer to their real goals than world domination over Baileys. That isn't going to happen. But they can bank substantial profits with a much more modest goal.
And, yes, the Solas products are very high quality and very nice but the cream liqueur market is HUGE.
Happy New Year everyone. I'm going back to the turkey trimmings now.
Ian

[Kevin Erskine]

Hyperbole in "journalism"???

I don't believe it! :)

[Matt]

I know this is unrelated, but I find it really hilarious that one of your current advertisements is The Balvenie Guy. It makes it look like they're going out of their way to illustrate your point about whisky advertising.

[eljefe]

I can't imagine taking such an argumentative tone with someone (i.e., you) who would be able to be of great help to me. Seems to me he would want to be sure you had tried the product and then explain their positioning in a positive tone. But that's me I guess.

Their correct positioning is similar to that of a craft brewery or a small, weird winery. I hope they figure that out.

and Happy Festivus to you! - j

ps: That bow-tie Balvenie Guy is pretty funny - are those baguettes or feet???