Must be Sauvignon
New Zealand has become synonymous with Sauvignon Blanc over the past few years, but poor weather in Spring 2021 meant production was 18% smaller than 2020, limiting the supply for export and pushing up prices for the wine that was available. In 2021, New Zealand accounted for over 50% of Sauvignon Blanc sales in the Off Trade but volume is falling with limited supply and rapid price increases.
According to Fran Draper, Broadland Drinks’ Marketing Director, “The consequences have started to be seen on UK retail shelves, with the average 75cl price for New Zealand Sauvignon Blanc increasing over four times faster than average for Still Wine, up 11% in the last 3 months compared to the same period last year. Combined with reduced volume availability and product delists this has led to a dramatic drop in sales: New Zealand Sauvignon Blanc retail volumes were down 27% in the last 3 months to 12th March 2022.”
Expect those who can pay to stick with Marlborough, but now is a chance for other countries to establish their reputation for Sauvignon: South Africa is one to watch with Sauvignon Blanc sales up by 44% in the last quarter, and Chile maintains its number 2 position as a great alternative to Marlborough.
Wine on the Go
As the world has reopened so too have outdoor events, festivals and music gigs. Wine in cans and cups have grown over 100% on 2 years ago and now command 9% share in wine minis. Nicola Cannon, Brand Manager for MINIVINO explains why: “Consumers are raring to get back to popular festivals, see their favourite bands, and enjoy time with friends over the summer. Many venues can’t serve glass for safety reasons, so look to wine in cans and cups as an alternative. Consumers love the shape and portability of the fully recyclable MINIVINO cup, which is a key USP and reason to stock for the trade. The cup is resealable as well, making it a portable and safer choice.”
Flavours to Savour
For many, home has been where the bar is for the past two years. According to Mintel, ¾ find drinking at home while socialising just as enjoyable as going out, and Broadland Drinks’ research found that nearly ½ of us now enjoy making our own cocktails at home. Flavoured liqueurs have helped drinkers to experiment with new tastes and flavours, with non-cream liqueurs growing by 23% last year (Nielsen MAT 11/9/21).
Kat Hall, NPD Manager at Broadland Drinks says “Our own research has shown that consumers like to experiment and that they‘re on the lookout for something new, with over half saying they buy different things to add to what they already have, and 2/3 saying they are keen to try new flavours. Stocking new brands of liqueur is an important way to keep consumers interested, and it’s important to create an aspirational look that’s different to what’s already on offer.”
Using this insight our Innovation Team has been busy crafting delicious flavour combinations, while our designers have been creating a shiny new brand – watch this space over the next few weeks!
Putting the Tea into RTD
RTDs are one of alcohol’s recent star categories, with annual sales up a whopping 139% over the past 5 years to over £0.5 billion (NielsenIQ, MAT 15th
January 2022). Having seen strong growth through the lockdown periods of the past two years, they are clearly not just for consumers on the move, as new brand and flavour innovations have tapped into booming interest in cocktails and flavoured alcohol amongst at-home drinkers.
After runaway success in the United States and arriving on UK shelves in 2019, Hard Seltzers have been one of the recent drivers of RTD growth, and with consumers still thirsty for innovation, the next big thing might also take inspiration from the US.
Simon Oastler, Broadland Drinks’ Insight Manager predicts that the US trend for alcoholic tea will be the next to cross the Atlantic:
“Alcoholic tea is well-established but trending in the United States, worth over $582 million in 2020 and growing fast (source: Nielsen via Vinepair.com). Although alcoholic tea is new to the UK, we really are a nation of tea drinkers - with 100 million cups drunk every day - and tea has been one of the most innovative drinks categories over the past few years, not least with the rise of tea infusions and healthy kombuchas. With the ongoing trend for category blurring and interest in flavoured alcohol, the combination of tea and flavoured alcohol seems like a perfect match. When asked whether they would buy an alcoholic tea, ¾ of RTD drinkers on our consumer panel said yes, with our favourite quote from the research being ‘love tea, love alcohol, what’s not to like!’”
Take a tea break with us later in June when we unveil our answer to this exciting new category!