E&J Gallo Winery is rolling out its fastest-selling US premium red wine to the UK - but has admitted the £9.99 price point may be a “challenge” for the British market.

Apothic Red, a multi-varietal premium red blend, is aimed at young professionals and will be given a soft launch in Sainsbury’s next month.

Gallo said it would ramp up consumer marketing in 2014 if the brand, which was Gallo’s first premium wine to sell a million cases in the US, gained traction here.

“The wine is about exploring an unmapped consumer need in terms of taste profiles,” said general manager Bill Roberts. However, he admitted there were “lots of challenges” in selling a £10 wine in the UK, and added the UK wine market had not been as strong as the US last year.

UK wine sales fell 2.5% in 2012 [Nielsen 52 w/e 8 December 2012], although E&J Gallo’s sales grew 0.9%, and sold at a 7% premium over the average price of a bottle.

Mintel drinks analyst Chris Wisson said £10 wines had seen some growth, but the stronger growth was coming from the £7 to £8.99 tier. “People are drinking less often, but better quality when they do,” he said.

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