Pernod Ricard UK has launched a new initiative to drive value sales growth in wine by capitalising on the existing trends of premium wine.
The ‘Building Premium Wine Brands’ initiative comprises a range of practical in-outlet solutions to help retailers tap into consumers’ willingness to trade up to premium wines.
Premium wine (£6.50-£8.50) is currently the fastest-growing segment by value in the UK (Nielsen), and nearly 60% of wine shoppers are willing to purchase premium wine. However, only 11% of households actually purchase premium wine once in-store, suggesting a number of barriers to purchase once at fixture - such as a lack of engagement at point of purchase and a focus on predominantly lower mass wine offerings on-shelf.
The practical in-outlet solutions are guided by four simple levers that will help drive profitability for retailers: Make it Available, Make it Easy to Find, Make it Compelling and Make it an Occasion. Practical support includes the sharing of market, shopper and consumer insights, as well as merchandising advice, fixture solutions and a range of portfolio activity with a particular focus on highlighting quality, provenance and occasions.
“Light wine is in marginal decline - a new and accessible source of value sales growth is required,” says Simon Thomas, deputy managing director, Pernod Ricard UK. “One of the strongest opportunities lies in accelerating the existing trends of premium wine - we know that consumers are ready and willing to trade up and so tapping into this opportunity is key.”