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Boxed Wine Gains Respectability

  • Ad Age, Monday, March 27, 2006 11:45 AM
Wine that comes in boxes, not bottles, is beginning to take off, and a brand called Black Box is at the red-hot center of the new trend. Black Box is marketed by Constellation Brands and doubled its sales last year without any measured media support. This year the marketer plans to back the brand with sampling stations at wine events and may also include some radio spots. "We're starting to put more money behind it," said Black Box associate brand manager Mandy Roth. That can only mean increased sales, since the brand (and the category) is already pretty hot. Black Box, which retails for more than $20, has grown faster than its category, expanding shipments by 100 percent during 2005, according to the spirits trade journal Impact. At 430,000 nine-liter cases shipped, Black Box's sales are approaching the level of grocery store staples such as Kendall-Jackson Wine Estates' La Crema (480,000) and E&J Gallo Winery's Mirassou (500,000). According to AC Nielsen, sales of boxed wine grew by nearly 12 percent in the 52 weeks ended Feb. 11 to about $386 million, or 5.7 percent of the $6.8 billion U.S. table wine market. Once considered the province of college fraternity parties, boxed wine is gaining respectability because of its price and durability. Many brands have also been reviewed favorably by wine critics.

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