Provence Wine Council approves a €21 three-year strategic marketing plan for export markets

At its AGM last month, the Provence wine council (CIVP) approved a three-year action plan costing €7 million a year, which includes drives in no fewer than 15 export markets. From 2019-2024, Provence’s producers have established a clear agenda to support premiumization of their wines; increase the share of exports from 37% to 45%; and diversify shipment destinations, particularly towards the Asia/Pacific region (more specifically to China and Japan).

“Our actions in France and abroad are aimed at constantly increasing the reputation and image of our appellations across the globe. A levy increase is never taken lightly. This bold decision is a sign that producer companies are aware of the challenges to be met and the collective resources that need to be deployed”, states Jean-Jacques Bréban, chairman of the Provence wine council.

https://www.vinsdeprovence.com/en/civp

Vinexpo and Wine Paris announce they are joining forces

 

Comexposium and Vinexpo Holding have entered into exclusive negotiations to create a new joint venture entity. This new joint venture responds to the constantly changing and developing global wine and spirits industry and would create the foremost global organizer dedicated to the industry.

  • The new entity will be the world’s leading organizer of events dedicated to wines and spirits, with annual figures of over 78,000 visitors from 140 countries and 5,900 exhibitors.
  • With equal stakes, the new entity will benefit from the international reach and expertise of Comexposium, the world’s 3rd largest events organizer, and Vinexpo, an internationally reputed brand, specialized in organizing professional events in the wine and spirits sector.
  • The new entity will boast a portfolio of 10 iconic events: Wine Paris (Vinisud/Vinovision Paris), World Wine Meetings and World Bulk Wine Exhibition (Amsterdam and Asia) from Comexposium, Vinexpo (Bordeaux, Paris, Hong Kong, Shanghai and New York) as well as the Vinexpo Explorer events from Vinexpo Holding.
  • Further, the new business will look to create new events and developments to support the international growth of the wine and spirits industry.
  • The project is supported by all the strategic advisors including the Boards of Vinisud and VinoVision Paris and the Vinexpo Strategic Committee.

Pierre Clément, Chairman of AVS and of the VinoVision Paris Board of Directors states:

“Bringing these two entities closer together is a totally novel approach for our industry! We started our partnership in 2019 and now, we want to make it stronger and more established with a shared commitment to join forces bringing our knowledge and expertise together.”

Fabrice Rieu, Chairman of the Vinisud Board of Directors, added: “This joint initiative is a historical moment for our brand and all its stakeholders, allowing France, with its richness and expertise, to regain its place on the centre of the world stage as a reference and leader in professional events dedicated to wines and spirits”.

“In a global economic environment, this commitment to working together is a significant step to serve the development of businesses in the wine and spirits sector. Thanks to this alliance, the Bordeaux-Gironde Chamber of Commerce and Industry intends to create a powerful flagship brand which will proudly defend French colours abroad”, said CCIBG President Patrick Seguin.

“The alliance we are building marks a significant turning point for the world of wines and spirits. It will allow us to extend our influence, develop a portfolio of must-attend events and meet the expectations of markets throughout the world”, confirmed Vinexpo Board Chairman Christophe Navarre.

Powers Irish Whiskey Rebrands

Pernod Ricard targets “new generation” with a redesign of its Powers Irish whiskey brand.

The group’s Irish Distillers unit, which handles Powers, said last week that the design will “inspire a new generation” of Irish whiskey consumers. The overhaul includes a squatter bottle and a new label incorporating the diamond ‘P’ trademark, one of the first registered in Ireland.

Following the official launch of the rebranding Powers Gold Label in March, the update will be introduced across Powers Three Swallow and Powers John’s Lane from mid-2020 in the US and the rest of the world towards the end of the year. In Ireland, Powers Three Swallow and Powers John’s Lane will roll out in March. Powers Gold Label will be reviewed “in due course”, Irish Distillers said.

Conor McQuaid, CEO of the division, said: “Powers has been famous for its bold taste profile and character since the family distillery was established in 1791. We are excited to introduce this new look to the world and inspire a new generation with the unique history and personality of Powers.”

 

Washington to gain six new AVAs in 2020

Washington will be gaining six additional AVAs to its current fourteen, as part of the state’s fast-growing wine industry.

Doug Marshall, Senior Marketing Manager at Washington State Wine Commission is hopeful that the new AVAs will become a reality over the next six to 12 months. The region reached 1,000 wineries a few months ago, having grown from 200 in 2003.

“The growth has been pretty substantial, and we believe a lot of that growth comes down to quality,” Marshall told Harpers.  As an emerging region with only 20 to 30 years of winemaking experience, he added, Washington is now beginning to get into its stride, with a better understanding of its potential sub-regions, climate, and terroir.”

The new proposed AVAs include: The Burn, White Bluffs, Candy Mountain, Goose Gap, and Royal Slope.

“We know more about the region now, so we are understanding where boundaries are, recognizing regions… the new AVAs, and one of reasons we are seeing so many with six in the works, is that we are really honing our region in” states Marshall, and

“As people become more willing to explore and explore something they don’t know, [with] any wine region that is primarily premium, that gives us a leg up because that is our world,” he said by way of explaining the ongoing expansion of Washington’s winemaking scene.”

He further adds that “as a young region with just “20 to 30 years of winemaking tradition, Washington and its producers, including an influx of younger, second-generation winemakers, is now beginning to get more fully into its stride – understanding its potential sub-regions, soils, and climates.”

Wine Trends:  What to watch for in 2020

Wine Intelligence has announced its annual Wine Trends Report for 2020, which will reflect global challenges in the industry.

Richard Halstead, COO of Wine Intelligence, states “wine is a risky business,” specifying challenges around climate change, discretionary consumer spending influences in different countries, and global trade policy changes.

Here are their five predictions for the next 12 months, assuming global consumer spending does not fall off a cliff, and the weather does not cause any more mayhem.

  1. Wine volume consumption will globally decline.

Wine Intelligence sees the developed world drinking less wine in 2020, but overall, the value of wine consumed won’t be heavily impacted.

“Those drinking less wine have compensated by spending more on the wine they do buy, with the characteristic result that prices per bottle have been rising considerably for several years now in major consumption markets,” said Halstead.

There’s a prediction that this trend could mean trouble for the producers and brands with business models dependent on selling more for smaller margins.

However, this trend also noted that consumers are looking for brands that are thoughtful, have provenance or are culturally interesting. In this way, premiumization is about not only the price and quality of the liquid but also of the brand’s story and actions.

2. Sustainability claims will be scrutinized.

Environmentally friendly buzzwords are thrown around commonly on wine packaging and marketing, and it’s predicted that 2020 will see consumers investigating these claims.

While Wine Intelligence research suggests that many consumers read the word “sustainable” and believe it, Halstead said: “we also notice a smaller but growing minority of purchasers are more fundamentally committed, typically for a combination of environmental, ethical, social or lifestyle reasons.

“Next year I expect this latter group to be more zealous in their scrutiny of winemaking or viticultural claims, and more willing to call out what they see as transgressions or unacceptable standards,” states Halstead.

3. CBD wine will be explored further.

Cannabis-based drinks have been on the radar of predictions for a while now, however, considering an array of different international laws, they have yet to take off.

“As with many things in our industry, cannabis drinks products remain at the mercy of regulators in most jurisdictions, not to mention some serious product development and taste optimization challenges,” said Halstead.

While Wine Intelligence is not anticipating mainstream acceptance or popularity of cannabis wine drinks in 2020, they do predict more companies will start to explore it.

4. Products from less high-profile wine countries will become more popular.

Wine Intelligence predicts countries like Germany, South Africa, Portugal, and Greece, will see great growth in the popularity of their wine products.

“We believe 2020 will be a year where some old styles become new again to the next generation of consumers,” said Halstead.

Halstead points to specific examples including German Riesling, refreshing whites and red blends from South Africa and Portugal, and lighter white styles coming from Greece.

Halstead also describes the common thread of these products and states: “All will be meeting the growing consumer needs for more aromatic, fresh, lower alcohol whites, and lower tannin but interesting reds.”

5. Greater investment into creative packaging and serve formats.

“Our prediction is that we will see far more innovation in packaging coming to market next year than we have in the past few years, driven by the needs of business to reduce carbon footprint, to offer more recyclable containers, and to offer serve sizes that fit an age devoted to lowering volumes but increasing values,” Halstead said.

Brands will be focused on labeling and designs that stand out to busy and more visually oriented consumers, while also being classic enough to reassure shoppers of their quality. Look out for different bottle shapes, icons and coloring that go against the grain of what else is on the shelf.

Wine Intelligence’s 2019 trends and predictions were over 80% accurate.