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Consumer thirst for branded wines such as Blossom Hill has driven the US closer towards overtaking France in the UK’s wine market, with the gap halving in the past year.
US wine makers had set a goal to overtake France by 2007, which would put the US at number two behind Australia.
New figures from ACNielsen, published today by The Grocer, show that they are on course to reach their target as sales of US wine in the UK rocketed by 15% last year to £648m.
Meanwhile, sales of French wines dipped 3% on this side of the Channel to rest at £760m.
The gap between France and the US in the off-trade is £112m, down from £222m in 2004.
Australia still dominates the UK market with sales up 9% in the past year from £928m to £1,008m. It has six in the top ten off-trade brands, including Hardys and Jacob’s Creek.
ACNielsen’s figures show key Californian brands Blossom Hill and Ernest & Julio Gallo are driving US wine growth, as consumers favour New World big brands over Old World classics. The region also captivated consumers in 2005 with its diverse range of rosés.
Jane Hunter, director of marketing for Western Europe at Ernest & Julio Gallo, said: “We are very excited about the possibility of overtaking France.”
French producers struggling to sell in the UK are demanding support from their government.
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Closure concerns The Transport and General Workers’ Union has met Leaf UK, maker of confectionery brand Chewits, to discuss the possible closure of its UK production facility in Southport, Merseyside. TGWU said it was hoping for more information on the company’s plans.
Somerfield will go to trial in October after a former meat retail partner, Cleveland Butchers, of Merseyside, raised legal action claiming more than £1m damages for breach of contract. Cleveland, whose 14 concessions were terminated by Somerfield last September, alleges there were scanning problems with Somerfield’s single PoS system that failed to account for all its goods.
M&S views space Marks & Spencer is believed to be investigating the potential to develop homes above its stores in London and the south-east. It is looking at ways of making better use of empty storage space generated by greater efficiencies in its supply chain. M&S is thought to have appointed planning consultant Nathaniel Lichfield & Partners.
Sainsbury could soon be trialling its Shop Scan Save mobile phone-based loyalty scheme in its main and Local stores. The news follows a successful c-store trial in the Hull area. The service is being upgraded to allow members to take pictures of products on print adverts with mobiles and exchange them for vouchers.
Cadbury shares up
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US wine makers had set a goal to overtake France by 2007, which would put the US at number two behind Australia.
New figures from ACNielsen, published today by The Grocer, show that they are on course to reach their target as sales of US wine in the UK rocketed by 15% last year to £648m.
Meanwhile, sales of French wines dipped 3% on this side of the Channel to rest at £760m.
The gap between France and the US in the off-trade is £112m, down from £222m in 2004.
Australia still dominates the UK market with sales up 9% in the past year from £928m to £1,008m. It has six in the top ten off-trade brands, including Hardys and Jacob’s Creek.
ACNielsen’s figures show key Californian brands Blossom Hill and Ernest & Julio Gallo are driving US wine growth, as consumers favour New World big brands over Old World classics. The region also captivated consumers in 2005 with its diverse range of rosés.
Jane Hunter, director of marketing for Western Europe at Ernest & Julio Gallo, said: “We are very excited about the possibility of overtaking France.”
French producers struggling to sell in the UK are demanding support from their government.
>>p42 Passing of the old order; p66 NZ heads New World growth
Sonya Hook
Shares in Cadbury Schweppes are rising amid speculation that it could be the target of a takeover bid. Analysts have tipped Nestlé and US confectioner Hershey’s as potential bidders, although others thought it unlikely because of competition issues and size. Cadbury Schweppes is due to reveal full-year results on Tuesday (February 21).
Closure concerns The Transport and General Workers’ Union has met Leaf UK, maker of confectionery brand Chewits, to discuss the possible closure of its UK production facility in Southport, Merseyside. TGWU said it was hoping for more information on the company’s plans.
Somerfield will go to trial in October after a former meat retail partner, Cleveland Butchers, of Merseyside, raised legal action claiming more than £1m damages for breach of contract. Cleveland, whose 14 concessions were terminated by Somerfield last September, alleges there were scanning problems with Somerfield’s single PoS system that failed to account for all its goods.
M&S views space Marks & Spencer is believed to be investigating the potential to develop homes above its stores in London and the south-east. It is looking at ways of making better use of empty storage space generated by greater efficiencies in its supply chain. M&S is thought to have appointed planning consultant Nathaniel Lichfield & Partners.
Sainsbury could soon be trialling its Shop Scan Save mobile phone-based loyalty scheme in its main and Local stores. The news follows a successful c-store trial in the Hull area. The service is being upgraded to allow members to take pictures of products on print adverts with mobiles and exchange them for vouchers.
Cadbury shares up
Somerfield trial
Shop, scan, save…
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