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McGuigan Wines makes “six-figure investment” in UK push

McGuigan Wines makes “six-figure investment” in UK push

McGuigan Wines is preparing to make “a six-figure investment” in UK advertising for its Black Label brand.

The company is currently filming ads in Australia that will appear on the London Underground from September to October this year. There will also be a local version of the ad, reflecting McGuigan Black Label's position as Australia’s No 1-selling bottled red wine.

Australian Vintage GM Julian Dyer, told drinks business earlier this month:“We have a relentless focus on Black Label as the engine for growth.” 

He noted that while the brand was doing well, it needed to increase its level of recognition.

“One thing we still need to fix is brand awareness – McGuigan Black Label still relatively youthful brand and it’s level of awareness is still significantly below some of our competitors."

The decision to focus the campaign on the London Underground followed the success of a campaign earlier this year featuring Neil McGuigan after he was crowned International Winemaker of the Year at the IWSC for the fourth time.

Dyer said the company was committed to the UK market "despite all the issues around foreign exchange”.

While the bottom line is down, Australian Vintage Chief Executive Neil McGuigan noted earlier this year: "In the UK market, sales volumes of our McGuigan brand grew by 4.3% despite a total wine market decline of 4.1%."

Mcguigan bullish about long-term future in the UK

Last month, Neil McGuigan told Imbibe the company was growing from strength to strength in the UK, where it is the fourth largest global wine brand in terms of volume and value.

"We’re very proud of what we do and always ensure that the wine is the hero, with accolades helping us to tell that story of exceptional quality to consumers," he said.

McGuigan said the brand has enjoyed a much closer collaboration between supplier and retailer in recent years.

"This is fantastic as it helps us add value through a clearer focus on the end consumer, both in terms of range and product development, allowing us to provide wines that truly delight and excite the consumer wine experience," he added. "Consumers are drinking less, but they are prepared to drink better."

First Malbec released in UK

One of the big successes for Black Label has been the launch of its first Malbec into the UK market. 

"It has been firing on all cylinders,’ McGuigan said. ‘The UK has a lot of love for Malbec, especially from our friends in Argentina, but Australian Malbec is much softer and more fruit driven in style, offering a different take on the varietal for the consumer."

McGuigan told drinks business Black Label Malbec had been a “phenomenal success”, with Australian Vintage looking at planting more vineyards to keep up with demand.

“I am planting as much as I can,” he said. “Over the next two years we will be planting another 30 hectares, but it’s not enough. We are totally committed to Malbec. We are not just planting in one region but a couple of regions, all different terroirs.”