HOW should a typical c-store make the most of wine?
According to Shaun Heyes, business sector controller – impulse with Treasury Wine Estates, wine has annual sales of £1.1bn in impulse outlets and presents a great opportunity for c-store retailers.
But, he argues, it’s important to realise that price isn’t everything.
“Many retailers tend to focus their wine offer on entry level wines to deliver value for money to convenience shoppers, but as a result, miss out on the huge opportunity presented by shoppers who are willing to pay a bit more for quality,” he said.
“The latest figures support this, showing that sales of wine within the £6-8 price bracket are growing by 5% year on year in impulse, but make up almost 28% of all wine sales as more consumers choose to treat themselves to a higher priced wine.
“At TWE, we have a strong range of top-selling brands, such as Wolf Blass and Lindeman’s, that fit across the £6-8 price band, enabling retailers to offer customers more premium wine brands they can trust.
“Last year we launched a new range of PMPs on some of our most popular brands.
“We’re already seeing an increased rate of sale and frequency of purchase on the PMPs in comparison to standard packs.
“During the summer we find that many shoppers switch from buying red wine to lighter white and rose wines throughout the warmer months of the year. We’re also now seeing more shoppers opt for Prosecco or sparkling wines as the ranges on offer have become more affordable.”
• Jacob’s Creek and Campo Viejo brand owner Pernod Ricard also argues that retailers should take care to make the most of wines that are higher than entry level.
A company spokesperson said: “The most exciting area of the wine category is most definitely in premium wine. In a total wine category that is growing by 5.7% value, and by 5.4% volume, premium wine is the star performer growing by 17.4% value and 17.6% volume.
“Jacob’s Creek will play a pivotal role in our plans for 2015. It is an incredibly successful international wine brand and in 2014 was recognised as the world’s most awarded winery.”
• New wine range Velvet Lake includes a red, white and rose wine from South Eastern Australia the importer describes as sweet but well-balanced and at a price point it sees as “an affordable £5.49”. The range is appearing in convenience retailers across Britain including: Spar, Costcutter, Nisa, Today’s, Best-in and One Stop.