On paper, it's the most lopsided tag-team match in retail history.

In this corner, meet the Goliath Brothers, a.k.a. Molson and Labatt, the undefeated champions of Canadian beer. A pair of musclebound sluggers, they're as subtle as a knuckle up the nostril: They represent pure power and 90 per cent of Ontario market share.

In the opposite corner, meet proprietor siblings Manjit and Ravinder Minhas of the Lakeshore Creek Craft Brewing Company, a.k.a. the Mouse that Roared.

Still in their mid-20s, these aggressive Calgary-based vendors have moved 100 million cans of beer in Alberta within three years under the Mountain Crest Brewing Co. brand. Since launching in Manitoba three months ago, they're projecting provincial sales of one million cases this year. Want more? They're selling 200,000 cases a week in four midwestern states.

Larry MacDougal, Business Edge
Sister and brother Manjit, left, and Ravinder Minhas faced challenges getting established in Ontario despite their track record.

They sting like bees, seem fearless as wolverines and dream up snappy slogans ("Damn Good Beer"). But the smart money says they're cruisin' for a bruisin' - or are they?

On April 4, Lakeshore Creek launches a $750,000 advertising campaign across Ontario, home to 35 per cent of Canada's beer drinkers. At last glance, neither Molson, Labatt nor smaller rival Sleeman were quaking with fear. But the Minhas consortium considers its campaign the first volley of an all-out provincial price war.

"Our goal is to sell three million cases in Ontario in the next 12 months," says 24-year-old Manjit Minhas, who eventually aims to match the 10- per-cent market share enjoyed by the company in Alberta.

The product is Lakeshore Creek lager, to retail for $23.91 (plus taxes and deposits) for a box of 24 cans, plus a bonus "monster" can. That's about four dollars cheaper than the price of competitive labels. At 5.5-per- cent alcohol, this beer packs more punch than most, which never hurts in the Great White North.

Trained as petroleum engineers, the precocious brother and sister tandem started running their own booze business from their parents' Calgary home after they decided existing retail prices were far out of line.

After incorporating their company, Mountain Crest Liquors (primary product: spirits), six years ago, Manjit and her brother added beer to the product line in 2002.

Their high-volume, low-price business model has been successful in Alberta's deregulated market, where the company now moves 2.5 million cases a year.

"Our profit margins are small but that's the way we operate," explains Ravinder, 23. "We pass on savings to our consumers and rely on high volume," he adds. "We believe volume will cure all our ills."

Maybe so. But simply earning the privilege to list a single beer with the Liquor Control Board of Ontario (LCBO) has been a two-year grind, with a number of surprises along the way.

Example: They discovered they must pay an "environmental levy" of $2.40 per 24-pack of aluminum cans, a charge that doesn't apply to vendors of bottled beer.

Then there's the fact Lakeshore Creek will be retailed in the Beer Stores chain, privately operated by three shareholders: Labatt, Molson and Sleeman.

"But we feel as long as people know the name of our beer, they're going to try our beer," reasons Ravinder. "Then they'll become a repeat customer."

On the plus side, now that the beer has been listed, LCBO regulations require that it be automatically distributed throughout the network of Beer Stores.

"It's beautiful, whereas in Alberta, we had to convince each and every store to carry our products," Ravinder explains. "We spent a lot of money on promotion, but since some areas didn't carry our brand, consumers couldn't find us."

Both Mountain Crest and Lakeside Creek beers are brewed in Wisconsin, with a certified Canadian-bred brewmaster presiding over the preparation of a smooth lager described as "premium quality and maybe a bit sweeter than other beers on the market."

Though they avoid working with pricey ad agencies, Minhas and Minhas realized early they'd have to jump on the promotional bandwagon. Result: Mugs, caps, coasters and 125,000 T-shirt giveaways in Alberta alone. Last year, the company gave away five logo-splashed Chrysler PT Cruisers, in the sacred name of brand recognition.

Meanwhile, there's no way they'll be sneaking in below the Ontario competition's radar.

Three years ago, Molson Canada threatened the Albertans with a lawsuit because of a Mountain Crest beer label that allegedly resembled a Molson design. The scrap was settled out of court.

"If your competition likes you, you're not doing your job," grins Ravinder. "We're doing our job."

Web watch: www.DamnGoodBeer.ca

(Tom Keyser can be reached at keyser@businessedge.ca)