2018 Annual Report
We’re doing our best to serve the growing number of young and more casual wine drinkers while also offering aficionados premium wines from our own winery and from around the world.
Our acquisition of the Foreign Affair winery is our first foray into the Canadian wine category, giving us a luxury boutique winery producing big, bold red and elegant white wines. Its signature appassimento-style wines include The Conspiracy, Enchanted, Amarosé and Temptress. (Read our top story “Go for the Bold”.)
Foreign Affair brands are available through several channels including direct delivery (on-premise and wine club) and the on-site winery visitor centre. Retail volume through liquor stores, as reported by the Association of Canadian Distillers, increased by 1% for the year ended June 30, 2018, when compared to the same period last year, while retail value decreased by 2%.
While most purchases are currently made at the visitor centre, we expect that to change as our sales force implements a strategy intended to take the wines national and diversify sales volumes in fiscal 2019.
A gold-medal winner at the 2018 Ontario Wine Awards, the 2017 Amarosé is a classic example of pushing boundaries by pursuing a previously untested winemaking method for a dry rosé to great effect.
Continuing their stellar growth trajectory in fiscal 2018, Jacob’s Creek wines are now the number three wine brand in Canada by retail value – not just in the Australian wine category, but across all categories. Growth was driven by innovation in the “light and fresh” wine category, concept wines such as Jacob’s Creek Double Barrel Shiraz (which is finished in aged whisky barrels), and sparkling wines.
The Dots range, which showcases the sweet flavours and aromas of fresh summer fruit, continues to grow at strong double digits. Within the range, we launched Jacob’s Creek Moscato in a 250ml can in fiscal 2017 and Jacob’s Creek Moscato Rosé in a can at the end of fiscal 2018. The convenient format makes it ideal for recruiting younger, more contemporary consumers into the wine category. Each launch was supported by strong media, public relations and sampling campaigns.
Newly launched Jacob’s Creek Moscato Rosé in a can appeals to young consumers who like the convenient, portable format.
Shipments of Stoneleigh wine reached 125,000 cases, up 14% compared to fiscal 2017, and growing ahead of the New Zealand wine category. Stoneleigh Sauvignon Blanc was once again the number one New Zealand wine in the Ontario grocery channel.
Faced with aggressive competitive retail programming and lower-priced entrants, we invested heavily in advertising and promotion with retail tastings across the country, paid social posts owning the distinctive grapefruit and passion fruit flavours, and a “win a trip to New Zealand” retail contest.
Shipments of Campo Viejo wines from Spain rose 16% in fiscal 2018, following their 14% growth in fiscal 2017. With the Spanish category still relatively small in Canada, our goal was to get people to experience Spain by way of Campo Viejo. For the first time ever, we took Campo Viejo to the streets of Toronto with a mass out-of-home campaign featuring multiple streetcar wraps and more than 650 transit shelter ads. The campaign delivered on our goal of premiumizing Campo Viejo, with Reserva growing ahead of Tempranillo in retail value in Ontario.
Campo Viejo’s bright, eye-catching visuals and straightforward messaging reached people multiple times in multiple locations throughout their day.
We renewed our agreement to represent The Wine Group (TWG) wines in Canada for another five years. Located in California, TWG is the world’s second-largest wine producer by volume. Cupcake and Big House wines are among their most well-known brands.
Two new brands were added to our portfolio in fiscal 2018: the Ava Grace range, which is targeted at women, and Steel and Stave, a Cabernet Sauvignon aged in oak barrels that have been toasted, charred and drenched in Kentucky bourbon.
We also partnered with TWG to create Divine Sunshine, a rosé blend made from California grapes. The wine is being bottled at the Ungava Spirits plant in Québec and sold in Québec grocery stores. (Read our top story “Add Some Colour” to learn more.)
* Jacob’s Creek, Stoneleigh and Campo Viejo wines are Pernod Ricard brands, which Corby represents in Canada.
** Does not include Divine Sunshine.
