Treasury Wine Estates is freshening up its ‘everyday’ Rosemount range label for the UK convenience store market.
According to The Sydney Morning Herald, TWE is making a play for the estimated $360 million in revenue in impulse purchases.
TWE hopes a better quality of labelling will give the Rosemount range a premium look, helping the brand stand out on UK convenience store shelves.
Along with the new label, TWE is to release a new range of Rosemount blends using pinot grigio and sauvignon blanc.
Shaun Heyes, a marketing executive for Treasury Wine, told a recent trade briefing that the sector was missing out on as much as £200 million in the convenience channel and that shoppers need to be enticed to spend up on premium wines when at their local corner store.
According to Treasury Wine, the £6 to £8 branded wine bracket recently grew 21 percent in the total UK grocery sector with consumers embracing strong brands.
After being appointed as chief executive of TWE in February, Michael Clarke admitted “There is a lot that needs to be fixed” within the company, and confirmed a need to address costs in order to improve shareholder value.
In March, TWE recorded an 18 percent drop in the volume of wine sold in Asia due to China’s decrease in demand, a category decline in Singapore, and a change in Thailand’s alcohol tax.
TWE responded to the drop in demand by saying they will stop supplying a number of luxury wines to China, and instead shift supply into other Asian markets.