Safe and easy export: Sovereign Beverage Company shows the drinks industry how

“We oversee the transport process every step of the way, removing all complexities and risks,” declares David Davies, founder of Sovereign Beverage Company (SBC), the UK’s top exporter of premium drinks whose fail-safe service enables producers to gain a global presence.

Its spectacularly successful model as the operator-in-the-middle selling suppliers’ beer and cider – “from the best to the best” – has put SBC course for a £14 million turnover next year as it looks to shift 100,000 hectolitres (or an awful lot of pints) by 2025. 

Greene King, Robinsons Brewery, Carlsberg Marston’s, Innis & Gunn and Thatchers Cider are among the well-known names in a portfolio with more than 350 products.

Now it is planning to add health and alcohol-free drinks to meet demands in the Middle East while Kazakhstan is its most recent market addition as importers, affected by regional upheavals, look for alternatives.

“We remove the headaches by managing export operations with a reliable, turnkey solution, securing listings from importers, distributors and retailers overseas,” explains Davies, a master of compliance, tariff navigation and making process profitable.

Based in Blackburn, Lancashire, SBC’s bespoke full-service technology, with a dashboard, credit and online ordering platform, keeps fulfilment simple and cost effective. 

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“We can launch products globally within minutes. Our service breeds confidence because it’s exclusive and our portfolio is not accessible anywhere else,” he adds.

“Whatever is needed we have it, including packaging as we offer cans, bottles and kegs.

“In the last year Thatchers has been handing its export relationships over to us to manage in 25 markets and over 30 customers and we have recently taken over the global export for Greene King.”

SBC’s research to see what clients want to sell continues to pay dividends. 

For Robinsons’ Trooper beer and its close links to heavy metal band Iron Maiden, “we targeted America where the band has a lot of fans. Strong narratives, heritage and the UK’s reputation for quality really make a difference,” Davies observes.  

“Sticking with more premium and traditional brands has been a good move for us. Although everyone can buy an IPA locally, not everyone can buy a beer, for example, from Bellhaven, Scotland’s oldest brewery.”

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He launched the business in 2008 when working as an account manager after his entrepreneurial eye spotted a gap in the beer exporting supply chain.

Investing £1million over the last decade, SBC’s focus has focussed on ordering process efficiency and visiting territories. 

“Our business management system is unique in our industry, very resilient so highly adaptable,” says Davies. “It’s still only at six per cent capacity. 

“The benefits of seeing markets first hand and understanding cultures outweigh the costs. We know 80 per cent of our customers can take on additional lines.”

The company currently employs nine and with more sales recruitment planned.

“We’re very focussed on upskilling our team when possible,” stresses Davies. “I strongly believe that people in a business are the most valuable investment, ensuring their well-being is taken care of is of the utmost importance to us.”

More recently after Covid SBC advised about freight changes. “Having a portfolio allowed customers to mix containers rather than take individual pallets from breweries,” he explains. 

Offering credit insurance has proved another winner for the company because, while it is a big outlay, what it delivers is of huge value to all concerned.

Protection against bad debts and political instability, improved cash flow from the confidence it brings, awareness about potential customers’ creditworthiness and access to better financing options are among key benefits.

“We don’t have issues with planned growth,” says Davies. “Our model is: sell before you buy, don’t hold stock and get paid before you pay suppliers. This allows us to scale without any cash restrictions and be able to maintain strong profits to reinvest in the business. It serves us very well.” 

www.sovbev.com

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