C&C ‘must innovate’ to boost sales

C&C may need to support its pear cider offering with further new products to boost sales volumes, according to analysts.

The Irish drinks group – which owns the twin cider brands of Bulmers and Magners – saw its share price dip by 2.40%, or 5c, yesterday to €2.03 (recovering slightly from earlier losses) – despite a generally upbeat report by Merrion Stockbrokers.

The Merrion update was based on its recent survey of Irish pubs, which was carried out in the wake of C&C’s 10% cut in its wholesale prices for publicans, in June. It found that distribution levels for Bulmers Pear are running at over 92%, but that even with most pubs passing on the price cut to customers, the sales response was moderate.