Kingsland invests in plans to launch fruit flavoured wines

By Arabella Mileham

Published: 19 May, 2015

Kingsland Wine & Spirits is investing further in its Irlam site as it plans to roll out new fruit-flavoured wines

Kingsland Wine & Spirits is investing further in its Irlam site as it plans to roll out new fruit-flavoured wines.

The company is redeveloping its onsite Winery, which was mothballed in 2004, back into use to develop blended and fusion products. Previously used to produce fortified products and British-made wines, the Winery is being upgraded and will be operational from October.

Anderson said the new capabilities combined with its new carbonation line would open up a new stream of innovation and npd.

"Fusion-based products are growing in the category, and there is definitely more scope for fruit and wine, it is a massive trend and probably the fastest growing trend," he said.

As well as developing sparkling versions of its customers' existing specific wines, which would add extra margin to the brand owners, Kingsland said there was an opportunity for it to develop its own label fusion and sparkling brands.

"But we would only ever do that if they bring something new to the category," Anderson said.

The company is launching Live, a slightly spritzed wine target younger 20-something female consumers, which will be a sponsor of the Holi One Colour Festival. It is launching a New Zealand Sauvignon Blanc and Californian White Zinfandel in 187ml PET bottles, but Anderson said the range was likely to be extended into fruit fusions and blends.

"We are creating a brand that is relevant for the younger consumer," he said, adding that existing brands were not appealing to the 20-year old demographic."Consumers really engaged with this and once you have the brand proposition, it allows you to take it into sparkling and fusion based product."

However, Anderson said Kingsland's Wine Pro research last year identified a misconception that these products are only for younger consumers, and insisted there is an opportunity to cater for a broader range of consumers.

"A lot of products seemed to be aimed at similar consumers, but the real opportunity is to do more fusion-based drinks for slightly older-consumers. We never talk enough about 60+ year olds in the UK - but around a third of people in three years' time will be aged 65 or over. The trick will be in coming up with an elegant opportunity to look at higher price points with higher margin wines," he said.

Bottle Green acquisition

Kingsland has ambitious plans to grow the company and has invested "significantly" in the last year, which Anderson said would provide a foundation for organic growth. As well as the installing the new carbonation line and rolling out its new category insight tool, the company recently acquired Bottle Green Ltd from DCC Food & Beverage UK Ltd.

Regarding the acquisition, which is intended to grow and strength its portfolio, Anderson confirmed the company was in the middle of an 8-week strategic review. "The two businesses are operating as normal and at the end, we will decide what the next steps are." he said.

"It is all about offering value to our customers - and in order to do so, you've got to look at it as a 360, that's everything from wine, insight, services capability, logistics and being able to create fantastic brands, so all of it was looking at where we need to maybe up it a little bit. And Bottle Green is a fan company with great people and fantastic wines."

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