Pernod Revamps Jacob’s Creek In Bid To Move UpmarketOctober 30, 2013
Pernod Ricard will raise prices on Jacob’s Creek by about a dollar in the U.S. starting next March in tandem with a repack of the brand, according to reports out of Australia. Meanwhile, Pernod has renamed its wine business, formerly Premium Wine Brands, as Pernod Ricard Winemakers, reports the Sydney Morning Herald.
According to Impact Databank, Jacob’s Creek slipped 3.5% to 826,000 cases in the U.S. in 2012, but remains among the top 20 imported wines in the market. Pernod says the changes on the brand represent a long-term vision of premiumizing the suffering Australian wine segment in the U.S., in which much of category volume is sold below $6 a bottle. The company also sees opportunities ahead due to a looming shortage of California wine, whose production is expected to fall short of demand in the coming years.
Jacob’s Creek’s repack, intended to convey a more contemporary look and develop the image of the creek itself as an icon, will occur first on the brand’s Classic range, but could also move into the Reserve tier looking ahead.Subscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.