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Coles to fold Vintage Cellars, First Choice into better-known Liquorland brand

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Cheyanne EncisoThe Nightly
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Coles liquor chief executive Michael Courtney.
Camera IconColes liquor chief executive Michael Courtney. Credit: Event Photos Australia/Jon W / Event Photos Australia

Coles will fold some of its Vintage Cellars and First Choice Liquor Market stores under the better-known Liquorland brand in a bid to close the gap between its bigger rival Endeavour.

Floated as a pilot commencing in November, the changes will take place across South Australia, Victoria and Queensland. Vintage Cellars will become Liquorland Cellars, while First Choice will be rebranded as Liquorland Warehouse.

Coles liquor chief executive Michael Courtney said the pilot would allow the retailer to provide a more compelling customer offer by bringing the best elements of Liquorland, First Choice and Vintage Cellars under its largest and most recognised brand.

He said the move would streamline the three liquor chains, including promotions and loyalty programs.

“This is an exciting next step for Liquorland which over the last four years has undergone an extensive transformation that has clearly resonated with our customers,” Mr Courtney said.

“We want our other banners to benefit from its strong brand awareness and large store network.”

Coles in the past four years has converted more than 600 Liquorland stores to the new black and white format, which includes a more spacious layout, clearer signage and relevant range.

First Choice operates as a big-box retailer and competes primarily with Endeavour’s Dan Murphy’s, meanwhile, Vintage Cellars is positioned at the higher end of the market.

“Our focus remains on providing our customers with great value, and we’re confident that by bringing together the best elements of Liquorland, First Choice Liquor Market and Vintage Cellars, we will be able to provide our customers with competitive offers on the drinks they love most,” Mr Courtney said.

According to an IBISWorld analysis earlier this year, Endeavour — which also owns BWS and hotels group ALH — owns the biggest chuck of the market at 40 per cent, with Coles coming second at 16 per cent.

With a network of more than 990 stores, Coles’ liquor division last week revealed soft demand with sales declining despite its supermarkets division reporting a strong year.

Endeavour — which was a spin-out of Woolworths’ liquor division — posted a 3.6 per cent uptick in group sales to $12.3 billion in the 2024 financial year.

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