Financial Daily from THE HINDU group of publications Saturday, Nov 20, 2004 |
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Marketing
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Strategy Champagne Indage bid to take wine to mass market Plans beer, vodka foray too Neha Kaushik
New Delhi , Nov. 19 THE next time you feel like drinking wine, go watch a movie at the multiplex or just go shopping at the your neighbourhood mall. Confused? Well, this may just become a reality soon if India's largest winemaker Champagne Indage is to be believed. The company is aiming to take wine drinking beyond the realm of a restaurant or hotel and in to the common man's life (literally), and that too at affordable rates - almost the price of a can of cola. According to Mr Santosh Verma, Head, Business Development, Champagne Indage Ltd., "To begin with, the company has already started selling wine at a multiplex in Goa and will soon start selling wine at shopping malls and cinema theatres in the State of Maharashtra, which has a wine policy in place." The strategy would be to then introduce the concept in states/cities wherever the State liquor policy permits the company to do so. Interestingly, Champagne Indage has also tied up with retail chain Big Bazaar to not only sell its popular wine brands such as Riviera, Chantilli and Marquise de Pompadour at the stores, but to also sell wine by the glass. In other words, allow the consumer to sip while they shop. The prices are expected to make wine more affordable to the Indian consumer than ever before. Though prices have not been fixed yet, an indication can be drawn from the fact that the company is in the process of launching a new brand of wine called Vino next month, which will sell at Rs 100 a bottle. Within the smaller packaging sizes, Vino will come at Rs 25 for a 250 ml bottle and Rs 18 for a 180 ml one. "Affordability is perceived as one of the major factors hampering the growth of the domestic wine industry. Our aim is not only to make wine affordable for the common man but to also sell it through unconventional methods," Mr Verma said. With its expansion plans in place, Champagne Indage is targeting a turnover of about Rs 75 crore this fiscal, up from the current Rs 26 crore. Apart from rolling out wine at affordable price points, the company is also planning innovative packaging options for its wine (including cartons) and is planning to foray into the beer and vodka segments as well. "We will be rolling out a strong beer in about two months and are in talks with contract manufacturers in the northern States, Maharashtra and Goa. In addition, we have recently launched a wine cooler under the brand Sinn in Goa which is available at Rs 26 for a 330 ml bottle," Mr Verma said. Champagne Indage is also in talks with the Governments of Tamil Nadu and Andhra Pradesh to set up wineries in the two States. Currently, the company has wineries in Pune and is in the process of setting up two wineries in Himachal Pradesh.
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