17 May 2011 Welcome from the Chair Gavin Partington, WSTA Agenda - - PowerPoint PPT Presentation

Bottling Wine and Spirits in a Changing Climate

17 May 2011

Welcome from the Chair Gavin Partington, WSTA

Agenda

• Going Green research

Alastair MacGregor, Oakdene Hollins

• Q&A session
• Lightweighting for wine and spirits

Dave Dalton, British Glass

• GlassRite Wine update

Tammy Marrett, WRAP

• Close

Gavin Partington, WSTA

Steering group members

Julie Larner - Packaging Technologist, Sainsbury’s Barry Dick - National Account Manager, Australian Vintage Dave Dalton - CEO, British Glass Claire Shrewsbury - Programme Manager, WRAP John Corbet-Milward – Wine Policy Director, WSTA

Going Green

Alastair MacGregor Senior Consultant Oakdene Hollins

Overview

Background Project methodology Consumer trial objective Trial methodology Trial results Recommendations

Background

Green glass has a higher recycled content

72% versus 33% for clear in 2010; CO2 emissions reduced by approx. 20%; Cost neutral; Courtauld Commitment 2  10% reduction in

packaging CO2; and

Possible to meet targets from this action alone

What is the consumer impact of this shift?

Retail product volumes

44% 41% 13% 1% Food Wines & Spirits Beers , Ciders & FAB's Soft drinks

Suitability for the trial

Beer

I nstant coffee

Cook-in sauces Jam Sauces Gin

Miscellaneous Spirits White wine

Pickles Whisky Rosé Other food

Samples

Sample specification Standard emerald green

Cost efficient adoption; and Maximises environmental benefit.

Sample production

Labels and foils remained the same.

Sample logistics

Consumer trial

Objective

Assess customer acceptance; and Provide recommendations on suitable

messaging.

Consumer trial

Methodology overview

2 stores; Quantitative and qualitative; 1124 responses across 4 products; and 12 discussion groups of 2 hours each for 6

products.

A robust trial

Consumer trial

Quantitative methodology

Screening questions; Profiling questions; Taste, quality, appeal and ‘look of the

product’;

Purchasing decision; Environmental benefit; and Communication.

Consumer trial

Quantitative methodology

Vodka 269 Whisky 293 Brandy 243 White wine 319 Total Responses 1124

Consumer trial

Qualitative methodology

Included gin and rosé; Consumption habits; Attitudes to the products; Drivers and barriers to purchasing; Attitude towards relevant issues such as the

environment; and

Suitable messaging.

Consumer trial

Quantitative results overview

95% did not notice a change; Only 1 individual correctly identified that it

was a change in bottle colour;

8 out of 10 claimed no impact on purchasing;

and

Increased to 9 when informed of initiative.

Trial results after respondents were made aware of initiative

84% 6% 95% 1% 88% 8% 89% 4% "It would have no impact on me - I would continue to buy the same amount as I always do" "I would be less likely to buy" or "I would not buy" minus "I would be more likely to buy" White wine (319) Whisky (293) Brandy (243) Vodka (269)

Results by product

GIN WHITE WINE WHISKY VODKA ROSĖ

I MPACT ON CUSTOMER PERCEPTI ONS AND TRADE

BRANDY

Brandy

Association with premium; Messaging and label design important; Foil hides airspace in the neck of the

bottle; and

Darker colour helps the label stand out. No negative impact on perception of

taste or quality

White wine

Wine purchasers familiar with green bottles; a Purchasing driven by other factors; and No negative impact on perceptions of

taste and quality

Whisky

Some concerns over appearance; Made the product look murky or dull; Green creates three colours which is off-

putting to some;

Association with Irish whiskey; and Small negative impact on taste and

quality perceptions.

Vodka

Looks very unusual; Perhaps overlooked during the quantitative

survey;

Negative impact on perceptions of taste

and quality; and

Opportunities to switch from OL to cheaper

brands.

Consumer trial

Environmental initiative

Up to half of negative respondents turned

positive;

Impression of Sainsbury’s improved; More likely to buy products with high recycled

content in their packaging; and

Retailers and brand owners need to inform

consumers.

Consumer trial

Messaging

Mixed views on environmental claims; Consumers feel they are ‘doing their bit’; Emphasis on working together; Should be motivating rather than pressuring;

and

Communicated via a dedicated POS or shelf

strip.

Consumer trial

Conclusions

Overall positive; Gin, brandy, white wine and whisky

promising;

Tailored labels and foils would have improved

results;

Intangible brand benefits; and Communication is key.

Research recommendations

Green glass cuts CO2 by 20%

Gin, white wine and coloured spirits should be

considered;

Labels and foils can improve aesthetics of

green bottles;

Vodka and rosé require further research; and Communication should be inclusive and

motivating.

Thank you for listening

Alastair MacGregor alastair.macgregor@oakdenehollins.co.uk

Lightweighting Developments for Wine and Spirits

Dave Dalton Chief Executive British Glass

Great progress has been made in recent years in glass container optimisation The Spirits & Wine sectors have seen some

• f the biggest improvements

Together we are focussed on sustainability and these activities lead glass containers to the forefront of that aim

Stage 1 Standard spirit weight 385g Stage 3 Standard spirit weight 330g Current since 2008 Standard spirit weight 295g Stage 2 Investigations and proposed lightweight spirits 300g

Best in class weight development across all regions

Container Weight (g) # Dependant on filling line suitability

Weight Trends

Visit the WRAP website to use the light-weighting directory

Working with WRAP

The Glass I ndustry has supported WRAP in their quest to optimise containers

• Funding perception studies and helping persuade brand

and retail of the benefits has driven the tremendous achievements seen to date.

• Further work like the ‘Going Green’ project are the latest

steps in this program towards sustainability, where glass containers will truly show their real credentials.

GlassRite: Wine Update

Tammy Marrett WRAP Project Manager

GlassRite: Wine project objectives

 Develop and increase the

use of lighter weight wine bottles;

 Increase the volume of

wine bulk imported into Europe; and

 Increase the recycled

content of wine bottles.

Industry achievements to date

• Lightweighting of

wine bottles 37,828 tonnes

• Bulk importation 253

million 75cl bottles

• Recycled content

55,420 tonnes of cullet

GlassRite web based guide

www.wrap.org.uk/ wine

Contact for any enquiries going forward

Nicola Jenkin, Key Account Manager for Drinks, WRAP nicola.jenkin@wrap.org.uk

Link to reports

Going Green – research report and summary case available at: www.wrap.org.uk/ goinggreen Glass Rite Wine – update report and

• n-line tool available at:

www.wrap.org.uk/ wine