Wine

Source: Unsplash

Is the table wine sector finally remembering what innovation is? For the first time in a while, some suppliers are realising there’s more to their slowly declining category (down 22% in volumes) than a 750ml bottle of sauvignon blanc. And it’s paying off for them.

This year, Barefoot (up 12.1% in value) poured its bestselling wine into cans, and Concha y Toro, owner of Casillero del Diablo, added ‘spritz’ brand O’jos. Meanwhile, Treasury Wine Estates’ 19 Crimes challenger brand made £13.2m as it ditched traditional category cues.

For the conservative wine market, these are radical moves. “Wine is beginning to grow up a bit when it comes to understanding consumers,” says Concha y Toro UK general manager Simon Doyle. “We’re spending lots of time and money on category insight, consumer insight and the dynamics of what consumers might want.”

Conventional wisdom about how to cater for younger shoppers is changing too, Doyle adds. “In the past, we assumed younger shoppers needed lower-priced products – some obviously still do – but actually what they need is a more engaging proposition.”

That means NPD like Yellow Tail’s 8.5% abv Pure Bright pinot grigio, which quietly rolled out in September to tap the low and no alcohol trend among millennials. Such innovation has helped put all top five wine brands in growth for the first time in several years. Yellow Tail (up £24.8m) and Casillero (up £17.7m) have barged their way into the top five, relegating Blossom Hill (down £12.6m) and Echo Falls (down £25.9m).

Simon Lawson, general manager of Yellow Tail owner Casella Family Brands, says investment in marketing and brand-building is paying dividends. “We have made the definitive choice to invest in this market, which is not necessarily the case for all producers.”

In spite of pressures such as excise duty, Brexit and falling consumer confidence, “wine is still the biggest off-trade alcohol category” he insists.

“That’s not to say we can’t do things better, but it is gently premiumising – and we are seeing exciting brands coming through.”

 

Top Products 2019

In association with nielsen

Top 10 Still wine      
        £m change (£) change (%)
      Total Category: 5767.3 52.0 0.9
Volume change: -2.2%   Total Own Label: 1336.6 -32.9 -2.4
             
This year’s rank Last year’s rank Brand Manufacturer £m change (£m) change (%)
1 1 Hardys Accolade Wines 287.2 3.9 1.4%
2 2 Barefoot E&J Gallo 187.7 20.2 12.1%
3 6 Yellow Tail Casella 162.0 24.8 18.1%
4 4 McGuigan Australian Vintage 161.9 6.3 4.0%
5 7 Casillero Del Diablo Concha Y Toro 150.2 17.7 13.3%
6 5 Blossom Hill Treasury Wine Estate 140.6 -12.7 -8.3
7 3 Echo Falls Accolade Wines 138.4 -25.9 -15.8
8 10 Isla Negra Concha Y Toro 110.1 9.9 9.9
9 9 Campo Viejo Pernod Ricard 103.9 3.6 3.6
10 8 Gallo Family Vineyards E&J Gallo 92.4 -12.0 -11.5

 

Top 10 Champagne      
        £m change (£m) change (%)
      Total Category: 288.7 -5.0 -1.7
Volume change: -5.30%   Total Own Label: 32.2 -3.1 -8.9
             
This year’s rank Last year’s rank Brand Manufacturer £m change (£m) change (%)
1 1 Moet & Chandon MHUK 40.3 -1.2 -2.9%
2 2 Veuve Clicquot MHUK 31.4 1.8 5.9%
3 3 Lanson Lanson UK 27.4 -1.6 -5.6%
4 6 Taittinger Taittinger 19.2 4.0 26.5%
5 4 Bollinger Mentzendorff 18.6 -0.4 -2.2%
6 5 Laurent Perrier Laurent Perrier 17.8 2.2 14.1
7 7 Nicolas Feuillatte Nicolas Feuillatte 11.5 1.7 17.4
8 13 Piper Heidsieck Rémy Cointreau 7.9 3.2 66.8
9 12 Mumm Pernod Ricard 6.5 1.1 21.5
10 8 Louis Vertay Louis Vertay 6.1 -2.1 -25.7

 

Top 10 Sparkling wine     
        £m change (£m) change (%)
      Total Category: 845.9 -26.8 -3.1
Volume change: -4.6%   Total Own Label: 256.9 -4.7 -1.8
             
This year’s rank Last year’s rank Brand Manufacturer £m change (£m) change (%)
1 1 Plaza Centro Cantine Maschio 72.7 1.7 2.5%
2 2 Freixenet Freixenet 57.3 13.0 29.3%
3 4 I Heart Copestick Murray 40.8 8.6 26.7%
4 3 Canti Fratelli Martini Sec 39.9 4.5 12.7%
5 5 Valdo Valdo 21.3 -4.8 -18.5%
6 6 Martini Bacardi 18.1 -4.0 -18.1
7 7 Cantine Maschio Cantine Riunite & Civ 14.0 -3.1 -18.3
8 8 Scalini Scalini 9.0 -1.0 -9.8
9 10 Mionetto Henkell & Co 7.0 0.1 0.9
10 9 Dino Fratelli Martini 4.9 -4.4 -47.6
 

The Grocer’s Top Launch

I Heart Champagne

I Heart Champagne by Freixenet Copestick

Freixenet Copestick’s I Heart is arguably the most successful sparkling wine brand of the past 10 years, and has consistently outperformed the difficult category. The brand’s champers debut, which it unveiled in partnership with champagne house Didier Chopin, looks to be no exception, having made £1.2m since launch. The secret of the I Heart brand is its uncanny ability to simplify a complicated category, giving it mainstream appeal. Watch out, Moët & Chandon!

The Grocer’s Top Products 2019: Brand on the run?