ROUND TABLE FORTIFIED WINE: Shame about the name

At the Mentzendorff/drinks business discussion of this misunderstood category it was felt that some consumers might be put off by the term ‘fortified’

Last month we brought together some of the fortified wine industry’s top producers to discuss the challenges faced by the category in the UK. This month the drinks business invited key buyers from Britain’s off and on-trade to discuss the future of the category within a retail environment.

“One of the main issues,” started Melissa Draycott, fortified buyer, Sainsbury’s, “is that the term ‘fortified’ is largely a negative one. The consumer doesn’t understand it and it really is a turn-off.”

“Definitely,” interjected Martin Lam, proprietor, Ransome’s Dock. “I would say that no matter whether you are in an off- or on-trade selling environment the consumer doesn’t understand the concept at all. Nor do they realise that a Port or a Sherry does not have a stronger alcoholic volume, in many cases than an Aussie Shiraz or a Californian Cab Sauv.”

Angela Mount, buyer, Somerfield, nodded in agreement: “What we need to do is try to encourage the thought process in the mind of the consumer of food and wine pairing. They need to be convinced that most the important aspect of these products is that they are vinous. That these products should be consumed as a food accompaniment, but I have to admit that it’s an uphill struggle. There is a general lack of understanding, confidence and trust.”

“The perception is that Port, Sherry and Madeira are as strong as spirits,” added Nick Room, buyer, Waitrose. “This does nothing for their image. I would say that Sherry is the product that could be most easily positioned as a wine; I would love to be able to put it within the wine fixture.”

“Where possible that is exactly what we have done,” pointed out Draycott, “In some of our stores Sherries have been positioned near the white wines, and Ports closer to spirits.”

Natural accompaniment
Lam, however, views the issue of encouraging the UK consumer to consider a fortified wine as a natural accompaniment to food as being down to the occasion: “A consumer might have Port or Sherry in their repertoire but they really are not going to consider it as a component of everyday drinking, are they? It’s really down to when and where they are drinking it.”

“In the on-trade it is certainly down to the occasion,” said Hamish Anderson, wine buyer, Tate. “The successes of Port and more recently the drier Sherry styles, has been down to a willingness by restaurateurs and sommeliers to offer them at different stages of the meal – presenting the consumer with a different proposition, perhaps challenging their perceptions of the product and helping them to consider it from a different point of view.”

“That’s true and this is where the on-trade has really helped the category and, indeed, helped to create renewed interest in the off-trade,” stated Draycott.

“Yes, but is it not the case that what you are talking about here is niche markets, small areas of trade? The reality is that
the core fortified consumer is dying off and that we as an industry are not doing enough to attract new, younger consumers,” said Mount.

“You are right,” agreed Anderson, “but these experimenters, consumers who have more knowledge and are willing to experiment, are the ones that start trends.”

“True,” continued Mount, ”but 73% of all fortified wine in the UK is purchased in the off-trade.”

“Yes, and the styles are mainly pale and dark cream and amontillado Sherry and ruby Port,” added Draycott.

Too much choice
“Port and Sherry are not the drinking choice of many people under 60 in my restaurant, simply because there’s too much choice out there,” interjected Lam.

“It’s also not very trendy to drink fortified,” stated Draycott.

“One of the problems is that many younger consumers see Port and Sherry as being consumed in quite a formal environment. This perceived formality precludes people from buying back into the category,” said Justin Liddle, sales director, Mentzendorff. “Having said that, there is an aspirational side to the formality of the occasion. And aren’t we forgetting the tremendous value of these products in comparison to some wines, especially when you consider the current retail price being paid?”

Passionate support
“You are right and that is why we are all so passionate about the products. I would say that we all believe that retaining the position of fortified wines is vital in both the on- and off-trade. But it is a category that has to be continually fought for,” emphasised Draycott.

“Also, buying a bottle of Port or Sherry does imply a certain amount of financial risk in a retail environment,” said Mount. “Are consumers prepared to pay upwards of £10? While there is no doubt that in real terms these products represent amazing value, there are not many consumers out there who understand this and, after all, we are a nation of deal junkies.”

“Retailers and suppliers have to make the category more accessible,” said Sarah Woodward, marketing manager, Mentzendorff. “One of the keys in the long term is education, and the way in which we demonstrate to the consumer the importance of food as the natural accompaniment, as was pointed out earlier.”

Room added, “We have found that whenever we have been able to use cross-merchandising in-store this has been extremely successful. The consumer is interested and open to trial. By challenging their preconceived ideas about Sherry or Port, or indeed Madeira, we find more and more people willing to change their minds.”

“Especially when you consider that 70% of wine is purchased by women,” added Mount. “They shop in a more practical way than men through necessity but they are looking for new things, particularly when the product is linked to a new food idea or a new drinking occasion.”

Perhaps the on-trade environment is more suited to introducing the consumer to new ways of consuming fortified products.

As Anderson pointed out, “We recently did an event where we served gingerbread with a choice of Madeira or mulled wine. The Madeira was gone in half the time it took for the mulled wine to disappear, and the small amount of training about the product with staff really helped to inform the consumers who absolutely loved it.”

“All too often Madeira is forgotten. It´s a bit like that interesting relative you have in the country. You always mean to visit but keep forgetting and when you do you realise how interesting and enjoyable it is,” laughed Lam. “I have recently put eight different Madeiras on my list and, while they are very much a hand-sell, they are moving. There are consumers who are definitely interested.”

“Perhaps what Madeira needs is something like what we have been experiencing with Vermouth recently,” said Mount. “Since the launch of the new Bond film we have seen a definite increase in sales.”

“Perhaps,” smiled Draycott, “but that kind of endorsement is costly. I believe that is all to play for with fortified wines. There is so much scope to excite consumer interest. Education and promotion are key to this. But it’s obvious that there is a renewed willingness on the part of the producers to really push the offer and, if we work together, there is a possibility that real value and interest can be resurrected in the category.”

© db January 2007