For more than a year Australian Vintage Limited (AVL), Australia’s fourth largest wine producer, worked with psychologists to create a wine brand that would entice Gen Y, specifically based on their wants and needs.
The product of the collaboration? YOU Wines.
With 18-34 year olds representing 17% of total wine consumers, an industry that is worth $4.1 billion annually, AVL sought to seize a market that before now has “failed to take advantage of its natural fit with Gen Y consumers,” according to AVL general manager Cameron Ferguson.
Currently the same demographic represents 22% of the total beer shopper, and 29% spirits and cider.
The winemaker believes that by engaging with Gen Y consumers on a personal and emotional level, backed by solid consumer research and insights, it has discovered the secret to get Gen Y consumers to drink their wine.
“The generational shift in aspirational models and peer influences is something wine producers haven’t generally come to terms with,” says Scott Burton, marketing manager at AVL.
“Most are still relying solely on the old paradigm that young peoples’ tastes will automatically mature into wine, as their parents did. But to imagine so is to fundamentally misunderstand the motivational dynamic.”
Earlier this year Australian Vintage, which currently represent 8% of the total Australian annual production, announced its half year results to December 31 2014, which showed revenue for that period increasing by 16% due to sales in UK/Europe and Australasia/North America segments.
Brands under the winemaker include, McGuigan Wines, Tempus Two and Nepenthe.
Australian Vintage was trading at 0.40 yesterday afternoon.
Business Insider Emails & Alerts
Site highlights each day to your inbox.