Ulster Business Magazine

A Taste of times past...

Down by the shores of Strangford Lough they don't believe in burying the past.  Instead, they're drinking it in - and encouraging the rest of the world to do the same.  David Kirk investigates...

Tony Davies and Bob Little are a case study in how a bit of clever lateral thinking - back-to-front thinking approach to starting a manufacturing business on its head.

Ok, so you have this great idea for a product, a real blinder, one that will have people beating a path to your door.  So, how do you start making your fortune?  You persuade some money people to back you, spend their money on nice buildings, machinery and delivery vehicles, start the production line turning and let your marketing and sales teams loose on an eager world.  Right?

Wrong!

A couple of years ago it occurred to Tony and Bob, two management consultants from Killyleagh (whose Northern Irish clients include some of the UK's biggest corporate operations), that there was a glaring omission from the attractions that Co Down, with its rich cultural, historic and scenic heritage, was offering visitors, particularly those from the US, who really like to get the flavour of places they pass through.  They saw the need for local beer.

Americans (42 million of whom have some degree of Irishness in them) really enjoy 'local' produce.  They get through a powerful lot of the black stuff during Ireland's tourist season and local 'real ales' go down a treat in England.  But the historic hinterland of Strangford Lough, an area pervaded by the spirits of St Patrick and the Vikings, had nothing that reflected this heritage.

Tony and Bob saw the potential of this gap in the market - the potential for a range of beers under a 'St Patrick' label - and incredibly powerful brand throughout the Irish diaspora and even more colourfully, the reflecting the Viking heritage of the area.  So they came up with 'Barelegs' Golden ale, named under the Norwegian king Magnus Barelegs, and 'Legbiter', named for his sword.  (Magnus got himself killed down by the Quoile in 1103 and lies buried not far from Patrick's gravestone).

They were able to acquire from a former brewing family - the McCalls - a number of genuine Ulster ale recipes and, with an enthusiastic response from the local tourist community they established the Strangford Lough Brewing Company, each investing £15,000 of their own money.

Demand

This was when the strategic decision was taken that until a critical mass of demand had been established, they wouldn't brew themselves but create that demand by building their brand around the world.  It was realised that after 9/11, there would probably be a few American tourists that would be 'here for the beer' for a few years, so it would have to be taken to them.

As a result, the beers for the local markets are brewed under contract for SLBC by an English brewery and the burgeoning United States market is supplied by a firm in California.  They brew to the SLBC recipes very precisely, which means using differing blends of hops to give each one its distinctive flavour - and yes all the recipes include some shamrock!

Tony is the managing director of SLBC and Bob is the business development director.

"It didn't make strategic sense to get involved in the huge investment our own brewery would entail when existing breweries with spare capacity had exactly the technology we needed and skilled brewers and they could guarantee to produce top-quality beer to our recipes", says Tony.

"We plan to have our own brewery here eventually to supply the local market where people, and especially tourists, can come and see our beers being made and learn more about the heritage behind them, but in the meantime, we're concentrating our resources and efforts on building the level of demand we need in a wide range of market places".

"The folklore of Co. Down, especially the heritage of Patrick and the Vikings, creates a very, very powerful brand, not just where Irish cultural traditions are strong but throughout Europe."

Employees

SLBC officially got going last April and now has nine employees.

"Our aim is to create more jobs in this area," adds Tony.  "But they must be sustainable jobs.  We're realistic, we don't want to end up like others before us, chasing our tails and trying to sell products that no one knows about or wants, so we're building brand awareness and demand first and will follow that with increasing production."

With their combined experience, Tony and Bob can call on very sophisticated marketing and management techniques and although it's less that a year since their first products were rolled out, they have now a range of five beers - two 'Magnus' and three St Patrick's ale, best and gold (in cask and bottled).

They have signed up 40 local outlets as well as a few English retailers and they are in negotiations with a number of national pub and supermarket chains.

And Magnus Barelegs has returned to Norway, in beer if not in spirit, with his two ales not available in Oslo clubs!

But North American market, with its widespread Irish and Scandinavian cultures, is the goal.  Real ale is the fastest growing beer sector in the United States.  People are tending to drink less in terms of quantity, says Tony, but want more in terms of flavour and quality, which is the punch that Magnus and Patrick deliver.

And very conveniently, the move to real ale is strongest in the States where the Irish American influence is most noticeable - New York, New Jersey, Florida, California, Chicago and Texas.

Bob Little now spends a lot of time in Northern American at trade fairs and missions.  This month, accompanied by Irish band Pure Blarney, SLBC launched its beers into the New York market at a function in a Times Square bar which was attended by representatives of more than 2000 east coast bars and restaurants.

Next month, the push will be into the east coast of Canada, another area with a huge Celtic tradition.  And the Irish of Australia are in the firm's sights too.

SLBC came into being as a result of a desire to support the local tourist sector and its roots are deep in its own community.  Its sponsorship involvement includes the Killyleagh Viking Boat Festival, the town's GAC, its women's football team and local skier, Rodney Watson.  Its website -www.slbc.ie- also serves as the online gateway to 'Irish Secrets', a comprehensive community site for organisations and small medium-sized businesses in the area, particularly those in the hospitality sector such as pubs, B&B's, craft outlets, artists and producers of local goods.

And incidentally, Tony has a very personal link with the heritage of Co. Down - coming to Ulster from Wales (in his case via the aisle) he himself followed in the footsteps of the young Patrick!