Credit crunch is not hitting premium wines and spirits, says Pernod

Premium vodkas, for instance, are still in double digit growth year-on-year in the take-home trade, while standard vodka is in slight decline. Chris Ellis, off-trade spirits channel director at Pernod Ricard, said the affect of the credit crunch has not yet been felt in the premium end of the market.

“At the moment, we are not seeing any signs of that,” he told Talking Retail. “We have our strategy [for Christmas] of driving the value message.”

Pernod Ricard is starting to unveil its Christmas marketing activities on its wine and spirits, which will include a raft of festive gift packs and consumer advertising for its leading brands.

Price promotions in both spirits and wine will play their part this Christmas but, said Ellis, Pernod Ricard is hoping to avoid deep cuts on its brands through the “added value” offered by gift cartons on brands such as Chivas Regal, Jameson, Martell, The Glenlivet, Perrier-Jouet and Mumm Champagnes, Jacob’s Creek sparkling wines and Jacob’s Creek Reserve and blended wines.

Both Martell VS, the number two off-trade Cognac brand, and Martell VSOP Medaillon will be available in gift packs as part of the strategy of growing sales of the more premium-priced VSOP variant. “Over time, growth will come from both brands, but VSOP will take a bigger share of the mix,” said Ellis.

Consumer advertising support in the run-up to Christmas will include TV advertising in November for the Malibu light spirit, along with print advertising for Jameson, Tia Maria, Martell and Mumm. Aussie wine brand Jacob’s Creek will also be supported above the line, with cab and London Underground advertising lined up for Campo Viejo, Pernod Ricard’s Rioja brand.

A competition for a consumer to win a trip to New Zealand will run on-pack on the Montana brand in the autumn. An on-line customer marketing campaign is being launched for The Glenlivet in time for Christmas.
Ellis said Christmas was the time of the year when consumers particularly looked to buy the leading drinks brands with “quality and heritage credentials”. Gift packs were a way of reinforcing the quality message. “Gifting is where we can provide a solution for retailers,” he said.

Ian Minichiello, wine channel director at Pernod Ricard, said the main focus in wine over Christmas would be on Jacob’s Creek, Campo Viejo, Montana, Perrier-Jouet and Mumm.