McGuigan to launch ‘mid-strength’ wine range at 7% ABV
Australian wine label McGuigan will launch a mid-strength wine collection next month to appeal to “moderating consumers”, and retailers looking for “financial incentives” in the wake of duty reforms.
McGuigan Wines, owned by Australian Vintage, will release a range of mid-strength wines to market for those “seeking a lower alcohol alternative without compromising on quality or taste”.
According to the brand, each wine in the McGuigan Mid range – which includes a Shiraz, a Sauvignon Blanc and a rosé – has an ABV of just 7%, and contains less than 75 calories per 125ml serve.
“We are delighted to launch McGuigan Mid to the market. As consumers become increasingly health-conscious, we understand the need for an alternative that aligns with their goals of moderation without compromising on taste and enjoyment,” says McGuigan senior brand manager, Oliver Hoey.
“McGuigan Mid is the result of our commitment to continuously innovate, providing memorable wine experiences to all consumers.”
In particular, McGuigan Mid aims to support the growing number of moderating consumers among the health-conscious Boomer generation. Recent date from Wine Intelligence found that one in two Boomers are actively limiting or reducing their alcohol consumption in pursuit of a balanced lifestyle.
According to Alana Jackson, head of marketing for the brand, the range is also designed to assist drinkers with their “personal control”.
Describing the rationale behind the range creation she says that there is a trend towards “living lighter” with “many consumers are looking to make healthier or responsible choices; reduce their alcohol or calorie intake; or simply for personal control.”
The timing is also ripe given the recent duty reforms in the UK, with the brand admitting that McGuigan Mid “presents a strong financial incentive for retailers”.
Under the new duty requirements, a 75cl bottle of 7% ABV wine will hold an excise charge of £1.30.
At 8% ABV the excise charge creeps up to £1.49; at 9% ABV the charge increases to £1.92, while a 10% ABV wine will incur an excise charge of £2.14.
By 11% and 12% ABV, the excise applied leaps to £2.35 and £2.67 respectively.
It is hoped that investing further in the no-and-low category will bolster McGuigan’s sales after the brand saw an 11% decline in the first half of the financial year.
McGuigan has increased its marketing spend on the no- and low sector by around US$2.2 million during the last 12 months, as part of its strategic plan to develop this strand of the business. Its McGuigan Zero is the number one alcohol-free still wine brand in the UK.
McGuigan Mid will be available from Sainsbury’s from September and at Morrisons from October, with an RRP of £7.00.