Lion in online venture

By Dita De Boni

Lion Nathan in Australia is establishing a joint venture to provide an online ordering service for the hospitality industry.

But it has no plans yet to extend the trial to New Zealand.

Southcorp Wines, United Distillers & Vinters Australasia and Lion Nathan have pooled nearly $A10 million to set up the pilot web service in the hopes of tapping into an industry said to be worth $A70 billion.

The site includes credit-card purchasing linked to the Australian Eftpos network, tasting notes, product information and access to records of previous orders.

It will be run by the partners' jointly owned, independent business, Artesian Innovation Online trade on the pilot site begins next week for restaurants and cafes in a 10 km radius of the Sydney central business district.

Speaking from Perth, Lion Nathan investor relations director Warwick Bryan said it was too early for the company to consider a similar site for the New Zealand market.

"It's premature to say how much business the pilot will generate, but the convenience factor for the customer, as well as the strength of the brand portfolios will drive its success."

Southcorp is Australia's largest winemaker, exporter and grape producer, with $660 million in wines sales last year.

Liquor company United Distillers & Vinters Australia is a unit of Diageo Plc, the world's largest liquor company.