MODERN BUSINESS
So we ’ ve had a chat to Master distiller , Mark Littler to find out a little more about what has made Hellyer ’ s Road such as success .
What inspired the start of Hellyers Road ? HRD is a fully owned subsidiary of Tasmania ’ s largest local milk brand , Betta Milk . In 1994 the milk industry was deregulated allowing Betta Milk to consider other ventures . Around this time a 130 year old law that banned distilling in Tasmania was changed and with Tasmania ’ s growing reputation for its fine food and beverage offerings , single malt whisky showed potential . A sound business plan and company-owned land available next to the milk factory were strong catalysts to rubber stamp the project . 22 years and some $ 12 million later , Hellyers Road Distillery produces Australia ’ s best- selling , locally crafted single malt whisky , also found throughout Europe and Japan .
Was there a particular driving force behind the decision to expand from a milk producer to Whisky and Whisky Cream ? The late Laurie House , Betta Milk ’ s general manager in 1994 , largely drove the considerations for establishing a whisky distillery . Laurie saw the potential in single malt production and he also knew what constituted a good whisky ; however it was his sharp business acumen that gave the board confidence to commit . His presentations to them gained unanimous favour and in1996 the development began . In later years Laurie took a seat on the board and was able to see his brainchild develop into a world-class operation . Sadly he passed away in early 2016 .
How has the brand expanded over the last few years ? Are there emerging international markets ? Lack of domestic distribution initially stifled growth but with hard-nosed perseverance , backed by our strong confidence in the product , we were able to slowly grow the national market . In 2010 we were judged ‘ Australia ’ s Best Whisky ’ by the Malt Whisky Society of Australia . This turned a few heads and enquiry started to flow . Regular trips to Europe to attend Whisky Live Paris helped establish a small footprint on that continent which was followed by the striking of a key distribution partnership with La Maison du Whisky .
This has resulted in Hellyers Road whiskies becoming available in 25 countries throughout Europe . Sales growth in the last 12 months is up 40 %. Last year we struck a distribution deal to Japan which has resulted in three significant orders in just over 12 months . Global growth is very exciting !
What do you attribute to the success of Hellyers Road ? The immediate response to that question is the delivery of a quality product , however without having quality people involved across all platforms of our business ; consistent quality would be a bridge too far . We are fortunate to have a host of dedicated people in our operation from within the business but also through our supplier and distribution networks . They are the ones who drive our success . Of course without a loyal customer base , we would not enjoy the success we do !
What challenges did you face in setting up the business ? Whisky distilling requires patience and a steely resolve , not to mention cash resources . With whisky it ’ s not just a matter of make and sell . The entitlement to call your product ‘ whisky ’ requires that the spirit has spent no less than two years in the barrel . In the case of Hellyers Road Distillery , we do not release our single malts until they have spent a minimum of seven years maturing . The more time whisky spends in timber , the better it is , once tipped .
Of course this requirement can create cash-flow nuances and our business has been fortunate to have the backing of the parent company to support the bank balance when there was initially no money coming in and plenty going out .
We launched our first whisky to the public in 2006 and while we naively
November 2016 ModernBusiness 51