News

Government cracks down with mandatory code
Industry News
Thursday, 04 December 2008

The Government has announced a crackdown on irresponsible drink promotions including plans to launch a mandatory code of practice.

In an announcement to the House of Commons after the Queen's Speech, home secretary Jacqui Smith and health secretary Alan Johnson said they would inject £4.5million into cracking down on alcohol fuelled crime and disorder.

"The Government now...

 
Virgin man goes Naked
Industry News
Thursday, 04 December 2008

Virgin Wines founder Rowan Gormley has returned to the wine business with the launch of Naked Wines – a direct competitor to the company he departed acrimoniously in the summer. Gormley, who was removed from his post as Virgin Wines CEO in June (Harpers July 4), has also recruited 17 former “senior” Virgin Wines staff to join him at the new business which, like Virgin Wines, has its head office in Norwich. But he denied Naked Wines – an online retailer which incorporates ideas taken from social networking sites – would be targeting customers from his former employer. Gormley, who is currently involved in legal proceedings with Virgin Wines owner Direct Wines over his dismissal, told Harpers: “We’re going after different customers in a different way. We’re not about big discounted offers. We want to get away from the situation where 94% of the wine you buy you can’t taste: winemakers are wasting too much money on marketing.” Key to the new business is its wine selection process, which dispenses with wine buyers in favour of a 100-strong panel of consumers. The panelists are sent wines which have been nominated by consumers, the trade or winemakers, and which they taste at home with food before making their judgements. The site also gives customers the opportunity to invest in a favoured winemaker, giving them discounted rates on future purchases of the winemaker’s products if they pay a small amount upfront each month. Other features include space on the website to share views with other customers on wines and winemakers, and a facility to allow customers to contact winemakers directly. Gormley said: “We’re trying to give small, independent winemakers a completely new route to market. There’s nothing worse than working your arse off to please a retailer and then to get de-listed overnight. With this model, it’s a virtuous circle. Winemakers get cash flow from customers and if they look after them they could have them for life.” The business, which went live last week, is funded by German company Wein International.

Virgin Wines founder Rowan Gormley has returned to the wine business with the launch of Naked Wines – a direct competitor to the company he departed acrimoniously in the summer.

 
Champagne sales lose their sparkle
Industry News
Thursday, 04 December 2008

Champagne shipments worldwide fell by nearly a quarter in October as the effects of the credit crunch finally hit, according to provisional figures released this week by trade body, the Comité Interprofessionnel du Vin de Champagne (CIVC).

Domestic shipments were down by 21%, exports to Europe fell 24% and those to "other countries" - principally the USA and Japan but also emerging markets such as India, Russia and China - dropped by 23%, compared with October 2007. Negociants collectively saw their shipments in the month fall back by 23% on 2007 levels. The big drop in the October figures means total shipments for the first 10 months of 2008 (January to October ) have dropped by 7%, or around 13m bottles fewer than in 2007, compared with a fall of just 2.4% between January and September 2008. MAT figures for the 12 months to the end of October 2008 show a drop of 6%, compared with a 0.1% rise in the 12 months to the end of September 2008.

The slowdown has caused alarm in Champagne, as producers enter the most important trading period of the year, when the vast majority of Champagne is shipped. 63% of all exports, and 43% of exports to Britain, were shipped in the last three months of 2007.

The UK trade, meanwhile, is bracing itself for a Christmas price war as retailers try to move excess stock. ASDA, Tesco and Sainsbury's have all featured half price deals on their promotional Champagnes with ASDA selling at £10 a bottle from November 22.
Paul Beavis, managing director of Lanson UK, told Harpers: "There were more promotions last November than there have been this year but [in the current circumstances] we are waiting to see if something dramatic does break."
Beavis added: "Anything is possible - the supermarket wars are out of our control. I'd be surprised if nothing does happen because Champagne is still a footfall driving category."

Champagne shipments worldwide fell by nearly a quarter in October as the effects of the credit crunch finally hit, according to provisional figures released this week by trade body, the Comité Interprofessionnel du Vin de Champagne (CIVC).

 
Government to stamp out "irresponsible retail practices"
Alcohol Debate
Thursday, 04 December 2008

The Government has announced a crackdown on irresponsible drink promotions including plans to launch a mandatory code of practice.
In an announcement to the House of Commons after the Queen's Speech, home secretary Jacqui Smith and health secretary Alan Johnson said they would inject £4.5million into cracking down on alcohol fuelled crime and disorder.
"The Government now intends to introduce a new mandatory code of practice to target the most irresponsible retail practices," an official statement said.
Measures outlined include a ban on all you can drink promotions in pubs and bars, making it harder for supermarkets to offer consumer deals such as buy-one-get-one-frees and two six pack cases for £12 and for consumers to be are able to see unit content of all alcohol when they buy it.
Smith said: "I have a duty to crack down on irresponsible promotions that can fuel excessive drinking.
"That's why I will impose new standards on the alcohol industry that everyone will have to meet with tough penalties if they break the rules."
Johnson added: "We can't justify delaying action here while waiting for further analysis on changes to pricing.
"Low cost alcohol is clearly linked to increased consumption and harm, so I'm not ruling out taking action on very cheap alcohol such as alcohol sold below cost price."
David Poley, chief executive of the Portman Group, said: This mandatory code would strengthen the existing licensing laws while allowing effective producer self-regulation to flourish. "
Jeremy Beadles, chief executive of the Wine and Spirit Trade Association, added: "We will work with Government to ensure that a retail code tackles the minority of irresponsible premises and doesn't just create new layers of bureaucracy and red tape for the majority of responsible businesses."
The British Beer and Pub Association chief executive Rob Hayward added: "Some of the measures outlined in the mandatory code proposals will impose an unnecessary, disproportionate and costly red-tape burden on well run community pubs."

The proposed code could include:

Stronger local powers for licensing authorities to tackle local problems of irresponsible drinking;
Banning promotions such as happy hours, drinking games or organised pub crawls;
Requiring that consumers are able to see unit content of all alcohol when they buy it and;
Requiring bars and pubs to have the minimum sized glasses (125ml) available for customers who want them.

The Government has announced a crackdown on irresponsible drink promotions including plans to launch a mandatory code of practice.

 
Wines in the Press, November 29-30
Wines in the Press
Monday, 01 December 2008

This week's Wines in the Press sees our national wine writers starting to get into festive mood with suggestions for Christmas presents and wine recommendations. Susy Atkins searches for a red to keep her pheasants company, Victoria Moore is wondering whether it's worth cultivating expensive tastes, and Joanna Simon is writing her Christmas wish list. And for once the nose of Tim Atkin MW is buried in the latest batch of wine books rather than in a glass.

 
SWA welcomes duty decrease
Industry News
Thursday, 27 November 2008

Scotch whisky distillers have welcomed the Government's clarification of changes to the excise duty on spirits, following this week's pre-Budget report.

 
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