Increase Top Line Growth

Notes:

In fact, we are putting our research findings to work in the launch of new products.

As you can see here, MOND has winning brands all along the premium spectrum from WB in the $6-$8 per 750 ml up through RM Reserve and Ornellaia in the $100 and beyond segment. Importantly, reputation for quality is as strong in the volume brands like WB and RMPS as it is in smaller-volume luxury brands.

Broad as our product portfolio is, there is still room for us to play in underserved segments of the premium market – and in so doing, further drive our sales growth. Some of these are areas of great opportunity (whether price, country of origin, varietal, consumer flavor profile, brand positioning, etc.) and MOND has the production and distribution resources to take advantage with several new brands.

We have added three new brands in the last three quarters to fill “white space” in our portfolio and we have two additional new brands being prepared for launch in the near future whose brand names we are still testing.

One of the recent introductions is Select Vineyard Series, a brand extension of Woodbridge, the #1 brand in the USA for the third year in a row. Select Vineyard Series was launched in early Spring and is proving to be an effective competitor in the fast-growing super-premium segment between $8 and $14. This segment is characterized by low brand loyalty, so we are leveraging the Woodbridge name here and offering Woodbridge’s consumer base a natural trade-up brand.

Other recently launched brands include Kirralaa and Hangtime. These are both aimed at targeted segments. Kirralaa is a joint venture we produce in Australia with Southcorp and is proving popular with consumers partial to Australian wines. Hangtime is a brand that serves consumers of on-premise ”discovery” wines.

We also will be introducing two other new brands to compete in the $5-8 segment and the $12-15 segment, both of which continue to see strong growth.

Shift resources to near-term sales promotion