Andrew Peller

1,416
-1

Published on

Andrew Peller Marketing Project Phase One. Company Analysis

0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
1,416
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
18
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide

Andrew Peller

  1. 1. [ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY PROPOSAL] 1 Andrew Peller Limited Situation Analysis & Market Opportunity Proposal Rachel Smethurst, Rodion Salakhutdinov, Anselm, Hardeep, Huzafa This document is a prepared analysis and research study based on the Canadian Wine Market in 2012. The document concludes with a prospective market opportunity based on secondary research collected. Included is an evaluation of Andrew Peller Limited, the Canadian wine market size and condition, competitors, market factors, and a marketing proposal. [Company Address]
  2. 2. 2 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Table of Contents Company, Strategic Business Units, & Brand Analysis ..................................................3 Company Overview ..................................................................................................................................................3 Strategic Business Units.........................................................................................................................................3 Consumer Wine Making Kits & Importing ....................................................................................................... 3 Specialty Retailers ....................................................................................................................................................... 3 Wine production ........................................................................................................................................................... 3 Brand & Product Analysis .....................................................................................................................................5 Canadian Wine Market ...............................................................................................6 Statistics .......................................................................................................................................................................6 Key Players & Dynamics ........................................................................................................................................6 Competitive Analysis ..................................................................................................7 Direct .............................................................................................................................................................................7 Casella Wine PTY LTP and Foster’s Group ....................................................................................................... 7 Constellation Brands .................................................................................................................................................. 7 Indirect..........................................................................................................................................................................8 Customer Analysis ......................................................................................................9 General Characteristics & Statistics ..................................................................................................................9 Decision Factors & Consumer Segments.........................................................................................................9 Market and Consumer Factors .................................................................................. 11 Government Regulation & Tax ......................................................................................................................... 11 Growth and consumption trends .................................................................................................................... 11 Foreign Subsidies and Imports ........................................................................................................................ 12 VQA .............................................................................................................................................................................. 12 Lifestyle Integration ............................................................................................................................................. 12 SWOT Analysis .......................................................................................................... 13 Market Opportunity Analysis .................................................................................... 14 Appendix .................................................................................................................. 15 Works Cited .............................................................................................................. 21 March 6th, 2013
  3. 3. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 3 PROPOSAL Company, Strategic Business Units, & Brand Analysis Company Overview Andrew Peller Limited (“APL”) is a Canadian company thatproduces and markets wine and wine related products. A leading participant in the Canadian wine market, APL looks to serve the needs of all wine consumers by offering premium brands together with popular and value priced varietals, as well as manufacturing consumer wine making kits. They are the 2nd largest producer and marketer in the Canadian wine market and have leading brands in all price segments. (2012 Annual Report, 4)Innovation, capital investment, and active evaluation of market opportunities have all been key factors to the success of this company. The core business focuses on the production and marketing of premium wines and winemaking kits. Strategic Business Units Andrew Peller has expanded operations fromwine production to include manufacturing of consumer wine kits, importing, and retail operations. (Annual Information Report, 6) Consumer Wine Making Kits & Importing The wholly owned subsidiaries, Global Vintners and The Small Winemakers Collection, respectively oversee consumer winemaking kits and importingin Ontario. Both strategic units focus on providing quality products to their consumers at the best value. The Small Winemakers Collection imports and markets international premium wines. (2012 Annual Report, 7) Specialty Retailers Andrew Peller Limited forwardly integrated into retail distribution with the establishment of Vineyard Estates, Aisle 43, and Winecountry Vintners. These 102 retail establishments market and sell trademarked brands under the Andrew Peller umbrella and strengthen the company’s distribution channel. (2012 Annual Report, 7) Wine production APL produces and markets over 20 brands of wine over 5 value segments. In fiscal 2012, the company experienced a 4.3% increase in sales and as at March 31, 2012, had 13.6% March 6th, 2013
  4. 4. 4 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY share in the English Canadian market. Of 2012 sales, approximately 50% were Ontario sales.(Figure 1) The company is only one of two major wine producers to increase market share over the last 5 years. (2012 Annual Report, 9) APL has displayed strong sales figures, market growth, and financial stability over the past years. Andrew Peller brands have received many prestigious awards and have ranked in the top selling products in the LCBO.(Figure 2)(Annual Information Report, 9) Figure 3 Suppliers Core Competencies Marketing and Innovation Location Distribution The nature of the industry requires a consistent supply of quality raw materials and a strong relationship with suppliers. Input materials include purchased grapes, grapes produced in APL vineyards, bulk wine, and juice; the input mix varies based on the wine produced. To ensure quality and consistency of the supply of Canadian grapes, APL has entered into over 75 contracts with grape suppliers in British Colombia and Ontario. The company also owns various wineries and vineyards in premium geographic areas within the two provinces. (Figure 4) Locational competencies provide a competitive advantage as wines are produced with local grapes and sold in their respective provinces.(Annual Information Report, 10) Marketing and innovation are driving forces behind APL brand awareness. The company utilizes traditional media, social media, and looks for unique and innovative marketing methods and distribution channels. Effective marketing for the launch of the Crush brand in 2012, through the use of promotional posters and banners, resulted in the strongest sales experienced for a new brand in Vineyard Estates. (Annual Information Report, 9)To facilitate consumer research and brand awareness, the company TripAdvisor allows consumers to rate their experience at various Andrew Peller wineries. The company’s social media presence is weak but growing. Some wineries, such as Trius and Peller Estates, have Youtube channels to advertise their products and increase March 6th, 2013
  5. 5. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 5 PROPOSAL consumer awareness. The TV brand spot for XOXO has been uploaded to the site for consumer viewing. Major brands have a Facebook and Twitter presence, although subscriber and video views are relatively low which suggest that social media is not optimally utilized. (Figure 5 & 6) (2012 Annual Report, 5) The company values innovation in product offering, process, and design. Examples include, the new Skinny Grape product targeted towards calorie conscious women, and the introduction of lightweight glass in an effort to reduce costs and be more environmentally friendly. All bottled portfolio products will be packaged this glass by 2013 and this unprecedentedinitiative was well received by the LCBO. (Annual Information Report, 9) Brand& Product Analysis APL’s product base is divided into segments based on a combination of both price and quality. They are as follows: VQA Value Popularly Priced Entry-Level Premium Ultra - Premium Less than $8 $8-$12 $10-$15 $15-$20 Over $20 (Annual Information Report, 7) Value brands include blended, sparkling, and fortified wines. Both value and popularly priced varietal frequently are ICB wines, indicating that they are a blend of domestic and international wines. The VQA designation is given to wines of 100% Canadian content and these wines can be further divided into segments by price. A complete list of brands available within each segment is available in the appendix. (Figure 7)(Annual Information Report, 9)All brands are positioned to offer the best value product at each price point. Brands from all value segmentsare amongst the company’s top selling products. Frequent evaluation of market opportunities, consumer trends, and positing of brands to meet consumer needs, has developed APL’s ability to market to multiple segments. Most of the brands available for retail sale are carried in the LCBO and many of the brands including Peller Estate French Cross/Proprietors Reserve, Wayne Gretzky Estates, and Crush have been top rated sellers within the distributor. (Annual Information Report, 8) March 6th, 2013
  6. 6. 6 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Canadian Wine Market Statistics The Canadian alcoholic beverage industry is divided into wine, beer, and spirits. Wine encompasses champagne, fortified, sparkling, and still wines. The following is a table of 2012 sales and volume figures and the forecasted values for 2013 and 2016. Year Growth Percentage of Market Size Volume Consumption Market Size ($) ($) (Liters) 2012 3.3% $6,495.7 Million 431.7 Million 2013 3.3% $6,709.8 Million 445.1 Million 2016 3.2% $7,358.1 Million 490.2 Million (Marketline, 14 – 15) Information in the preceding table is provided by Marketline Industry Profile report on the Canadian wine industry. In 2011, still wine comprised 81.5% of market sales followed by fortified wine (10.3%), champagne (6.9%) and sparkling wine (1.2%) (Marketline, 10)(Figure 8) Key Players & Dynamics Key competitors in the market include Andrew Peller Limited, Fosters Group, Casella Wines, and Constellation Brands.(Marketline, 12)The market is experiencing both horizontal and vertical integration. Imports currently represent 85% of sales and are a major threat to domestic companies.(Lees) Both suppliers and distributors have significant power due to the importance of high quality raw material and the lack of distribution alternatives. Primary distribution channels are limited to provincial and private retailers, on-trade accounts, wineries, and exporting. 88.3% of sales occur through specialist retailers or on-trade accounts. (Marketline, 13)Dominant companies are expanding their portfolio to include low cost, mass production brands in order to compensate for intense competition and consolidation of companies. Tax levies on international products and a maturing market will impact future production selections. (2012 Annual Report, 5) March 6th, 2013
  7. 7. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 7 PROPOSAL Competitive Analysis Direct competitors are major wine manufacturer and independent wineries. Indirect competitors include other alcohol products, beer, spirits, and liquor. Due to the high degree of substitutes and highly segmented consumer preferences, indirect competitors are views as a high threat. Direct Major competitive wine manufacturers include the following: Andrew Peller Limited (Canadian) Constellation Brands (American) Foster’s Group (Australian) Casella Wine PTY LTP (Australian) (Marketline, 12) The competitive landscape is characterized by a consolidation of companies and vertical integration. Concentrated manufacturer power increases competition within the market. Trends include pricing pressure and expansion of portfolios to include lower priced, mass marketed varietals. (Marketline, 21) Brand awareness, purchasing power, stable supplier relations, and strong marketing are all key attributes to competitive viability. Casella Wine PTY LTP and Foster’s Group Both Casella Wine and Foster’s Group are Australian wine companies that sell large volumes of products in the Canadian market. Foster’s Group operates in several alcohol categories and focuses on exporting premium wines to the Canadian market. (Marketline, 26) Of the three brands Casella Wine produces, only Yellow Tail is available in the Canadian market with an average price around $10-$15. (Casella Wines) Both companies are considered competitors but are disadvantage in that they cannot compete in the VQA market segment. Constellation Brands Constellation Brands is an American conglomerate which acquisitioned the Canadian wine company, Vincor Canada. The company can be divided into two divisions: Constellation Wines and Crown Imports. Constellation wines handles all production and March 6th, 2013
  8. 8. 8 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY marketing of wine brands. This company is the major competitor to Andrew Peller as they lead the market with a 26.3% share and are the only dominant producer that has domestic wineries. (Constellation Brands)Positioned similarly to Andrew Peller, Constellation Brands produces and markets products across all value segments but on a larger, international scale. The following are a list of their competitive advantages and disadvantages:  Competitive Advantages: Reputable parent company Largest customer base Strong exports and experience in multiple markets Advanced viticulture technologies for vineyards Product-Mix developing company Strong manufacturing capabilities  Disadvantages: 80% of sales come from five key brands Operates in multiple alcohol segments (Constellation Brands) Figure 9 displays a summary overview of Constellation Brands wine products, price, promotions, and placement. Indirect Indirect competitors are beer and other alcoholic beverage providers. This segment comprises over half the overall alcoholic beverage market, with beer comprising the largest dollar and volume amount. (Business Monitor International, 33) Stable beer popularity within the Canadian culture and an increase in consumption of liquor are expected within the forthcoming years. (Newswire)Highly segmented consumer alcohol preferences in conjunction with a large volume of wine brands will likely limit the adverse impact of these trends on the wine market. March 6th, 2013
  9. 9. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 9 PROPOSAL Customer Analysis General Characteristics & Statistics A study completed by the Print Measurement Bureau (PMB) provides the following information about characteristics of the Canadian wine industry and wine consumers. Of the individuals surveyed, 45.8% indicated that they had consumed wine in the past 6 months. Of these, 53% percent were female and 47% male. Other notable characteristics include the following: Consumption rates increased at approximately 25 years old and then remained constant. Consumption was highest in Ontario and Quebec, as well as urban areas. Highest proportion of wine drinkers spent an average of $10-$20 per bottle, although it should be noted that a non-response bias occurs within the “Sometimes” segment. (PMB Product Data)(Figure 10) Decision Factors & Consumer Segments There are many factors that affect consumer decisions and behavior. Major factors include price consideration, wine knowledge, propensity to try new wines, domestic or international preferences, and their relationship and involvement with the wine industry itself. (Wine Intelligence) A full table of factors that influence wine drinkers can be found in the appendix. (Figure 11)Wine consumers can be classified into the following four distinct categories based on common characteristics. Enthusiasts These consumers live in urban areas and view wine as a lifestyle choice. The quality of the grapes, the production process, and the reputation of the brand are all important factors considered when selecting a wine. Will thoroughly and extensively evaluate alternatives before making a decision. Positive media and professional image of the company is important. These customers will select wine based on occasion, keep still wine on hand, and typically pair wine and food together. Prior experience will play a major factor in consumer decision. Readily available information on company operations will help to capture this segment. (Gaper, Girsham, & Worth, 11) March 6th, 2013
  10. 10. 1 0 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Image Seeker The Image Seeker will select a wine that is in accordance with their perceived self-image. Their image value is the most important characteristic and they will be attentive to marketing efforts. Identifying psychographic attributes of segment will allow companies to influence consumer decisions. This segment usually consumes wine on social occasions and will select a wine based on reputation and price. Viewing price as synonymous with quality, these consumers will purchase the most expensive wine within their means. Research and evaluation of alternatives is limited and will be influenced by peer groups or professional recommendations. They desire a highly regarded brand and select wines that will fit within the social context. (Geppert, Girsham, & Wirth, 13) Overwhelmed Overwhelmed consumers are regular consumers of alcohol but not necessarily wine. Introduction to wine and specific brands happens through social situations and are recommended by a third party or peer group. Knowledge of wine is minimal and basic. Convenience, price, and ease of product availability a major decision making factors. A distinguishable product will help the consumer with identifying their target product. The high degree of substitutes and low switching costs for this segment require competitive pricing and effective distribution placement in multi-category alcohol retailers. Alcohol is the core commodity that they demand, and as wine only one alternative it is essential to facilitate the ease of transaction. (Geppert, Girsham, & Wirth, 14) Social Sipper Social sippers consume wine casually and in low volumes. In this segment wine is used as a tool to enhance social situations but is not the primary focus. Usually consumed in casual, comfortable environments. Wine purchases are dependent primarily on price and professional recommendations at licensed establishments. At retailers, purchases decisions are based on price and convenience of purchasing. Brand loyalty within this segment is low, but consumers may develop a partiality to a certain type of wine. Utilizing a strong network of various distribution channels along with popular and value priced varietals will help to attract this segment. (Geppert, Girsham, & Wirth, 17) March 6th, 2013
  11. 11. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 1 PROPOSAL 1 Market and Consumer Factors Government Regulation & Tax In Canada, liquor laws are provincial jurisdiction and appointed provincial boards are responsible for regulating alcohol distribution, sale, and consumption within the province. (Mayer) The Liquor Licensing Board of Ontario (LLBO) is the regulating agency in Ontario. (York article) The high degree of regulation creates market segmentation based on geographic area and impedes the ease of trading. Importing of wines from out of province or internationally requires permission from the respective liquor board. (Cbc news) Other regulation requirements include bilingual labels, and displayed alcohol percentage and volume. (Marketline, 19) Change in regulation conditions could have an averse impact on company sales and industry conditions. Tax rates act as a barrier to entry into the market. On alcoholic beverages there are four separate taxation levels:Customs Duty (On imports), Excise Duty (Domestic alcoholic beverages), GST (On retail prices), and PST. This high degree of taxation prevents smaller companies from the ability to profitability sell in the market. In addition, some products may be subjected to discriminatory taxes. ICB wines, or International Canadian Blends, are subjected to a tax levy when sold through private retailers. Growth and consumption trends The Canadian wine industry is growing at a forecasted rate of 14.27% per year for the next four years; a rate three times faster than the global average. By 2016, Canada will be the 5th largest consumer of wine in the world. Wines expected to show the most increase are red wine 17.49%, sparkling wine at 8.52%, and rose wine with a 45.41% increase. Red wine currently holds a 61.7% share in wine consumption. (Newswire – aselm) As the market matures, a sophistication of palettes drives demand for higher quality wines at premium prices. For bottles over $10, there is an expected increase of 30% in the next four years. Shifts in customer preferences will result in an increase for sparkling wines (lees) According to the print measurement bureau and wine beverage analysis the March 6th, 2013
  12. 12. 1 2 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY most popular types of wine are Cabernet Sauvignon (18.9%), Merlot (18.3%) and Chardonnay (13.7%). (PMB) Foreign Subsidies and Imports The market is dominated by international brands. Imports represent approximately 85% of Canadian sales, primarily exported from the United States and Europe. (my article) Wine exports from various international countries to Canada are facilitated by national governments. Foreign governments subsidize both grape and wine production, as well as exportation of wine products. This subsidizing program allows foreign competitors to produce and sell wine at a lower cost than domestic producers. Private retailers, like the Wine Rack and Winemakers Estates in Ontario, have made an agreement with the LCBO to exclusively carry domestic brands. Both domestic companies and the provincial governments are working to establish fair trade systems. (2012 Annual Report) VQA In accordance with other leading wine producing countries, Canada has established a regulating authority that monitors and evaluates domestic wine quality based on production process and geographic location. Vintners Quality Alliance, or VQA, enforces a system that allows customers to identify the origin, production process, and other quality standards. (VQA website) In order to receive a VQA designation, the grapes used in the production of the wine must be 100% Canadian. This system allows consumers to identify products that meet or exceed VQA quality standards. Due to a maturing market, the market has experienced an increased demand for VQA varietals. (Industry report) Lifestyle Integration Consumer trends indicate that wine is an alcoholic beverage that is becoming increasingly integrated as part of a lifestyle. Canadian wine festival are a regular occurrence throughout the year in different provinces (See appendix #1) For example, Niagara-On-The-Lake holds many festivals including a winter Ice Wine Festival, as well as a New Vintage Festival in the summer. (Take a screen shot) These festival help to increase brand awareness, expand customer base, and display various lifestyle aspects. A maturing population and market, as well as associated health benefits contribute to the integration of e into the Canadian lifestyle. March 6th, 2013
  13. 13. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 1 PROPOSAL 3 SWOT Analysis Internal Environment Strengths Weaknesses Strong distribution channels through 102 retail outlets Diverse opertions High degree of capital investment in vineyards and production processes Forward and backward integration allow for increase manufacturer control and decreased reliance on external companies Produces and markets only m Locational competitive advantage of wineries and o o o o o o o o o Opportunities o o o o o Weak international presence Low economies of scale and mass production relative to major competitor M Threats Increasing market size and steady growth Consumer alcohol preferences switching towards wine Sophistication of o o o o o o High government regulation High degree of imports & foreign govnment subsdies High buyer power due to limited distribution options Large amount of both direct and indirect substitute products Low switching costs External Environment March 6th, 2013
  14. 14. 1 4 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Market Opportunity Analysis Stable expansion of the market over the next four years provides an opportunity for increased sales for Andrew Peller. In order to capitalize off of consumer consumption trends, a new product is needed to meet consumer demands. The top trend that is to occur in the Canadian wine market is the increased integration of wine into Canadian lifestyle due to publicized health benefits and changing consumer alcohol preferences. As a result, consumers are demanding higher quality wines. Manufacturing and marketing VQA wines will all Andrew Peller to utilize their core competency of wineries and vineyard in prime geographic locations. Emphasizing the distinction of VQA wines to increase sales of domestic wines will also attempt to overcome the threat of international products. - avoid the tax levy on ICB The top wines are expected to experience the most growth by 2016 are red wine, sparkling wine, and rose wines. Given that a large percentage of consumption volume and Andrew Peller’s brand portfolio is of red varietals, producing another still red would not provide enough opportunity in this growing market. Given the small market shareand expected consumption growth, a proposed new product is to provide a sparkling rose wine as an entry-level VQA. The product will be launched under the newly formed Crush brand. The company currently only has three sparkling wines available for consumption; Baby Duck in the value segment and two variations of Ice Cuvee under Peller Estates. The product will be in line with growing varietals, emphasis the inherent advantage of VQA designation to limit import threats, and maximize the competitive advantage of the company’s geographic location. March 6th, 2013
  15. 15. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 1 PROPOSAL 5 Appendix $ Millions Figure 1: Net Sales by Province 140 120 100 80 60 40 20 0 2012 2011 Western Canada Ontario Quebec 2011 2012 Atlantic Canada Export Geographic Area (Annual Information Report, 7) Figure 2: Sample of Awards won by Andrew Peller Brands Brand - Varietal Award Red Rooster – Reisling 2001, Double Gold rztraminer 2011 Red Rooster – Syrah 2009 Red Wine of the Year Sandhill – Chardonnay 2010 Chardonnay du Monde – Gold Peller Estate – Pinot Gris 2009 PRIWC – Best in Class Trius - Red 2008 Grand Harvest Awards – Gold Hillebrand – Showcase Merlot Cuvée Ontario – Best Merlot Peller Estates - Vidal Icewine 2008 WAWS – Wine of the year (Annual Information Report, 8) March 6th, 2013
  16. 16. 1 6 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Figure 4: Andrew Peller Wineries # 1 2 3 4 5 6 7 Winery / Vineyard Red Rooster Winery Calona Vineyards Okanagan N/A Peller Estates Hillebrand Estates (Trius) N/A ThirtyBench Owned? Yes Yes Location Penticton, British Columbia Kelowna, British Columbia Yes Yes Yes Port Moody,British Columbia Niagara-on-the-Lake, Ontario Niagara-on-the-Lake, Ontario Yes Yes Grimsby, Ontario Beamsville, Ontario (Annual Information Report, 8) Figure 5: Social Media Advertising - Twitter March 6th, 2013
  17. 17. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 1 PROPOSAL 7 Figure 6: Social Media Advertising – Facebook (Annual Information Report, 7-9) March 6th, 2013
  18. 18. 1 8 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Figure 8: Market share by categories 1.2 0 10.3 6.9 Still wine Fortified wine Champagne 81.50 Sparkling wine (Marketline, 10) Figure 9: Constellation Brand 4 P’s Product Price Domestic Wines Jackson-Triggs Estate wines, See Ya Later, Inniskillin, Le Clos Jordanne, Naked Graps, Nk’Mip Cellars (joint Venture, SawMill creek, See Ya Later Ranch. List of wines imported by company Blackstone, Hogue Cellars, Kim Crawford Wines, Nobilo, Ravenswood, RH Phillips, Robert Mondavi, Toasted Head and Clos Du Bois Beer importer in U.S through its Crown imports joint ventures with Mexico ‘s Grupo Modelo Promotion Price ranges targeting lower income people as well as high income people. Place Used Global marketing code pratices to promoting, advertising and market their products. Constellation brands distribution channels includes: LCBO and LCBO Vintages. Retailers such as Winery Retail stores (WRS). Company also imports wines. (Constellation Brands) March 6th, 2013
  19. 19. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 1 PROPOSAL 9 Figure 10: Average Price Per Bottle 35% Percentage 30% 25% 20% 15% 10% 5% 0% Under $10-$14 $15-$19 $20-$24 $10 $25+ Not Stated Price Most Often Sometimes Any (PMB Product Data) ((Geppert, Girsham, & Wirth, 4) March 6th, 2013
  20. 20. 2 0 ANDREW PELLER LIMITED PROPOSAL SITUATION ANALYSIS & MARKET OPPORTUNITY Tradtionalist Premium & Ulta Premium VQA Peller Estates Trius Image Seeker Premium & Ultra Premium VQA Trendy Wines - Skinny Grape Overwhelmed All value segments Larger volumes - 4L Peller Estate Blended Social Sipper Value or popularly priced Domaine D'or, XoXo March 6th, 2013
  21. 21. ANDREW PELLER LIMITED SITUATION ANALYSIS & MARKET OPPORTUNITY 2 PROPOSAL 1 Works Cited Andrew Peller Limited. Annual Information Report. Grimsby, ON: Andrew Peller Limited, 2012. 28 Feb. 2012. <http://www.andrewpeller.com/UserFiles/File/FINANCIALS/2012/AIF%20June% 202012%207-13-12%20for%20printing.pdf> Andrew Peller Limited.2012 Annual Report. Grimsby, ON: Andrew Peller Limited, 2012. 1 Mar. 2012. <http://www.andrewpeller.com/UserFiles/File/FINANCIALS/Andrew%20Peller% 20Limited%202012%20Annual%20Report.pdf> Lees, Nick. “Canadians Keep Crush on Wine Alive; no Drop in Pace of Growth; Report.” Edmonton Journal. Jan 23 2013. Canadian Newsstand Major Dailies. Wed. 13 Feb. 2013 Amanda Geppert, Paula Girsham, & Amanda Wirth. Turning Data into Wine. Sept 2009. Web. February 15, 2013. Marketline. "Wine Industry Profile: Canada." Wine Industry Profile: Canada (2012): 136. Business Source Complete. Web. 5 Mar. 2013. “Our Wines.” Casella Wines. 2008. Web. 4 Mar. 2013. <www.casellawines.com> Constellation Brands. 2012. Web. 14 Feb. 2013. <www.cbrands.com> Business Monitor International. "Canada: Food & Drink Report." Canada Food & Drink Report 4 (2012): 1-87. Business Source Complete. Web. 5 Mar. 2013. Canada, Newswire. "Canada's wine and spirits market to continue rapid growth." Canada Newswire. 22 Jan. 2013: Regional Business News. 26 Feb. 2013. PMB Product Data. “Category Report: Alcohol-Wine.” 2012. Print Measurement Bureau. Web. 14 Feb. 2013. Wine Intelligence. 2012. Web. 1 Mar. 2013. <www.wineintelligence.com> March 6th, 2013

×