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Labatt introduces popular-price beer in Canada.

John Labatt Ltd. has announced the introduction of a popular-priced brew in its home market, called Labatt's Wildcat.

Analysts reported that the introduction, which marks the first entry of a Canadian brewer into the lower end of the market, is designed to counter an expected invasion of low-priced U.S. beer imports.

In a similar move, Molson has also announce plans to launch a low-priced brand.

Labatt launched Wildcat in Ontario, which is Canada's biggest beer market, at a retail price of $12.50 (CDN) (U.S. $9.77) for a 12-pack.

The brand is priced about 13-percent less than Labatt's mainstream beers, at the lowest price that can be charged under Ontario's minimum pricing laws.

Analysts said that the Canadian brewers, long protected by stiff trade barriers, will face tough popular price competition from U.S. brewers, particularly Stroh and Heileman. Labatt and Molson, already selling to a shrinking market, fear that the U.S. entries could further erode their market share.
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Title Annotation:John Labatt Ltd.'s Wildcat
Publication:Modern Brewery Age
Date:Jun 28, 1993
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