Treasury Unveils Big Plans For Penfolds, Including Napa-Sourced Wines

Penfolds, one of Australia’s most iconic wines, is lining up a number of new initiatives for its portfolio—including the addition of Napa Valley-sourced wines. Starting with the 2018 vintage, Penfolds will be making Napa wines—including a Cabernet Sauvignon and Syrah. Penfolds owner Treasury Wine Estates (TWE) plans to launch those wines by its 2022 fiscal year, which begins July 1, 2021. Penfolds also is kicking off a series of special releases in the run-up to its 175th anniversary next year.

TWE chief marketing officer Michelle Terry says releasing Napa wines under the Penfolds banner makes sense, given the brand’s history of sourcing grapes across multiple regions. “We’re a brand with multi-region sourcing at its heart,” she notes. Penfolds Grange, the brand’s top-tier wine, is a blend from multiple Australian terroirs.

TWE’s CEO Michael Clarke said in a statement that the multi-region model “brings excitement and energy into established brands, and at the same time strengthens TWE’s ability to deliver consistent, quality wine year on year, regardless of vintage variation.”

Penfolds isn’t the first TWE brand to source from multiple countries. Other labels include Etude—sourced from appellations in California, Oregon, and New Zealand—and Lindemans, which is known for Australian wines but also has a California-sourced Gentleman’s Collection.

Meanwhile, Penfolds has debuted a new Special Bottlings range. The series is being kicked off with the release of a 28-year-old pot-distilled brandy called Lot. 1990 (A$435/$322), which is rolling out now, aimed primarily at travel retail. In September, Penfolds will release Lot. 518 (A$150/$111), a Barossa Shiraz blended with Baijiu (94% wine, 6% Baijiu), offering a special release targeted at China, one of the brand’s most important markets. And next year, Penfolds will bring a Champagne to market under the Special Bottlings series, in celebration of its 175th anniversary.

In an interview with SND last year, Clarke noted that Penfolds has yet to be prioritized in the U.S., where it slipped 15% to 69,000 cases last year, according to Impact Databank. But that scenario is changing, as TWE looks to reinforce the brand’s credentials at the premium end.

This October, Penfolds will launch its Global Collection of upscale wines—including the latest vintage of Grange—in New York City. “It will give us the opportunity to introduce or reintroduce our wines to U.S. collectors,” says Terry, noting that the brand will link with high-end retailers and restaurants to promote the launch.—Shane English

Tagged : Penfolds, Treasury Wine Estates

GET YOUR FIRST LOOK AT 2025 ESTIMATES AND 2030 PROJECTIONS FOR THE WINE AND SPIRITS INDUSTRIES. ORDER YOUR 2025 IMPACT DATABANK REPORTS. CLICK HERE.