Butt leaves FQR to begin new business

Jonathan Butt, head of global sourcing at First Quench Retailing, is leaving the multiple specialist operator in mid-August to set up a new business called Butt Naked Wines, in partnership with UK wine importer Brand Phoenix.

He stressed that the impending move was not motivated by troubles at FQR, owner of Threshers, The Local and Wine Rack chains, but by his desire for autonomy and to see the wines he sources more widely available. 

“I’ve had an amazing 11 years at the company with one of the best jobs in the wine trade,” he told the drinks business. “My move is completely amicable and I leave with happy memories.

“I’m ambitious and I would love to see the wines I bring in more widely available,” he added, citing his reasons for leaving.

Considering the long-term health of FQR’s retail brands he said, “I think Wine Rack can still fulfill a need, and while obviously the market place is tough, with the right product and right people there is no reason why it won’t succeed,” emphasising, “and it will continue to be invested in.”

As for The Local chain, Butt said, “It has a place to play as a local convenience store – a lot of these stores are the heart of their community.”

However he admitted that Threshers “has probably been a ‘problem child’ of the business,” suggesting that a failure to offer an original proposition coupled with increased competition from supermarket convenience stores are the causes of troubles.

“It’s hard to fight the competition without a clear point of difference – maybe it needs to relook at its strategy,” he commented.

As for fears for the future of FQR, Butt emphasised: “There is still support from the parent company and the panic caused by the global credit crisis has led to unhelpful sensationalism.

“Everybody is being paid,” he stated, referring to suppliers.

His upcoming business, Butt Naked Wines, will focus on bringing new wines to the UK retail market. British wine agent and importer Brand Phoenix, creators of South Africa’s First Cape label, will be 25% shareholders in Butt’s company, and a large part of Butt’s work will centre on the development of new agencies from New Zealand, Spain and California for Brand Phoenix.

“I’m pleased with the tie-in,” said Butt of the Brand Phoenix link. “Otherwise it [starting a new business] would be a big leap of faith.”

He concluded that the Brand Phoenix shareholding is a partnership based on mutual respect and that it still allows him “autonomy to do certain creative projects I may wish to do.”

Patrick Schmitt, 15.07.2009