Exclusive: Fast-Growing Lolailo Sangria Projected To Hit 500,000 Cases Next Year
September 7, 2012New York-based importer Biagio Cru and Estate Wines is aiming to dominate the mainstream Sangria segment with its competitively-priced Lolailo Sangria brand.
Launched in the U.S. market in 2003, the Spanish-made Lolailo—which offers both red and white expressions—is projected to hit 350,000 cases by year-end, up from 200,000 cases in 2011. By 2013, its marketers project that it will reach the 500,000-case-mark.
“As one of the true imported Sangrias on the market, we think there’s room for us in every different account and venue,” says Biagio Cru and Estate Wines marketing director and principal Darren Restivo.
One factor behind Lolailo’s fast rise is accessible pricing. The brand retails at $6.99-$8.99 a 1.5-liter. While also available in a 750-ml. container, the 1.5-liter offering comprises most of Lolailo’s sales.
When it was introduced in 2003, Lolailo focused solely on big-box retail, but Biagio Cru has since expanded the brand’s presence to a variety of retail and restaurant chains—including Publix, Total Wine, Walgreens, CVS and Lime Fresh Mexican Grill, among others—as well as smaller independent accounts. Currently available in 27 states, the brand is also rapidly growing its distribution footprint, entering both California and Texas this month. National distribution for Lolailo is slated for 2013.
Lolailo aside, the overall premixed Sangria category appears to be heating up in the U.S. market, with a number of new entries—including Beam’s Skinnygirl Sangria, Offbeat Brands’ Slices Sangria and Aveníu Brands’ Pomagria—vying for consumers. But Restivo says Lolailo differentiates itself by being a traditionally made, all natural offering from Spain. “Our competitors include anyone who positions themselves a Sangria, but again, one of our selling points is that we’re a true, imported Sangria,” he explains. “Reál Sangria (from Shaw-Ross International Importers) is a major traditional Sangria, but I think there’s room for another one.” Reál was up 5% to 522,000 cases in 2011, according to Impact Databank.
Biagio has stepped up Lolailo’s marketing efforts, particularly in social media, and plans to roll out innovations by spring 2013. The importer also holds high hopes for several of Lolailo’s portfoliomates, including an Argentine brand and family namesake Restivo. Featuring a Malbec and Cabernet priced at around $12.99-$14.99, the brand—also family-owned—is quickly gaining traction, due in part to its high ratings (Restivo’s 2010 Cabernet Reserve received an 89 from Wine Spectator).
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