AS any good cook knows, changing the recipe of a dinner-time favourite carries with it an element of risk.
So, even though AG Barr chief executive Roger White speaks confidently of the “incredibly good match” between a reduced sugar Irn-Bru recipe which consumers will be buying from January, and the recipe which led it to become Scotland’s “other national drink”, there must be some trepidation over the initial reaction.
The group has long-insisted that its research into reducing the sugar content of its flagship product pre-dates the announcement that sugary drinks would be subjected to an increased tax in an, arguably misguided, attempt to reduce obesity.
It is perhaps coincidental then that Irn-Bru will relaunch just below the limit for the sugar tax three months before said tax is introduced, but the relaunch comes at an interesting time for more than one reason.
As AG Barr’s impressive interim results show, the company is finally gaining mainstream attention on the shelves of English supermarkets.
The company’s 8.8 per cent volume growth when measured against the 4.2 per cent soft drinks market growth shows the extent to which it has made inroads south of the Border.
Mr White says the recipe change comes on the back of consumer feedback, and so should those consumers welcome a drink which, in his words, is akin to adding less sugar to a cup of tea, there remains plenty of room for further growth.
That would be good news for investors, as well as fans of “ginger”, all over the UK.
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