When it comes to sparkling wines and champagnes, independent retailers are pricing competitively – almost always under Booker’s RRP.
But do they need to? Looking at the data from the multiples, it is apparent that big brands are missing – often sacrificed for own-label equivalents – which means that by stocking well-known varieties, you can offer customers the products they recognise.
In the run-up to Christmas, you can get away with pricing at a premium on these lines. As we enter December, shoppers are firmly in the party mood, and willing to pay extra for a special occasion.
This data shows that if you are only stocking options that are under £8, you are missing out on extra profits.
Stock quality products, inspire your shoppers with displays and learn about what they go well with and you’ll keep your till jingling through to Christmas and beyond.
|PRODUCT||AVERAGE||BOOKER RRP||PORTSMOUTH SUBURBAN C-STORE AND OFF LICENCE||HERTFORDSHIRE TOWN CENTRE OFF LICENCE||LARGE C STORE IN RESIDENTIAL STREET IN LEICESTERSHIRE TOWN||CORNISH VILLAGE STORE||HIGH STREET OFF LICENCE AND SHOP IN CENTRAL SCOTLAND TOWN||MAIN ROAD SHOP ON APPROACH TO LARGE SOUTH YORKSHIRE TOWN|
|CANTI PROSECCO SPUMANTI 75CL||£9.45||£9.99||£10.45||£10.99||£7.50||–||£9.99||£9.99|
|PROSECCO SPUMANTE D.O.C. EXTRA DRY 75CL||£8.92||–||£8.95||£9.99||£8.75||£8.75||£8.75||–|
|I HEART PROSECCO 75CL||£9.18||£9.50||–||–||–||–||£8.99||£9.99|
|MARTINI D.O.C. PROSECCO 75CL||£9.23||£10.49||£9.95||£12.49||£7.50||£10.49||–||–|
|TREVISO PROSECCO BRUT 75CL||£8.53||–||–||–||–||£7.99||–||–|
|FREIXENET CORDON NEGRO BRUT CAVA 75CL||£9.93||£10.99||£9.95||£11.99||–||£10.99||£8.99||£9.99|
|MOET & CHANDON IMPERIAL BRUT NON VINTAGE 75CL||£36.29||£36.99||–||£36.99||–||£42.00||–||£33.99|
|MARTINI ASTI SPUMANTE 75CL||£9.74||£9.79||£9.50||–||£7.99||–||–||£10.99|
|SANTA LORETTA PROSECCO 75CL||£8.66||–||–||–||–||–||–||£7.99|
|MHV MARQUES DE LA SARDANA CAVA 75CL||£7.97||£7.79||–||–||£7.79||–||–||–|
|LANSON BLACK LABEL CHAMPAGNE 75CL||£32.52||–||–||£34.99||£29.99||–||£34.99||–|
|MHV PAUL LANGIER NON VINTAGE BRUT CHAMPAGNE 75CL||£20.18||–||£19.95||–||£19.99||–||–||–|
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Drive your profits
Spar Ollerton Road
Location: Retford, Nottinghamshire
Size: 1,600sq ft
Top Tip: Get the price right – things like champagne might gather dust if you don’t price accordingly
We stick to Spar’s RRP on champagne and prosecco and try to buy it on promotion. Our area is very price-sensitive, and even when it comes to premium alcohol, we can’t necessarily sell it for a premium price. We’re waiting for the Christmas promotions to come through. We stock a range of Spar’s prosecco lines, and they range from around £7 to £8. This range is really good, having won multiple awards in the past; we sell them all year around. We also stock a champagne at £28.99, and Spar’s own-brand at £17.50, which sells steadily all year.
Location: Warlingham, Surrey
Size: 1,000sq ft
Top Tip: Invest in premium lines – you’ll be surprised at how well they sell
I always stock above the RRP when it comes to champagne, prosecco and sparkling wines. I have a wide range that follows a ‘good, better and best’ model. Moët and Bollinger have become everyday lines for us, but I also tap into more premium lines, such as Ace of Spades, which retails at £400 a bottle. This gets picked up by people when celebrating birthdays. I recently had someone buy it for his son and daughter as a gift for their 21st birthday. I offer the full range in Ace of Spades, including the gold, silver, green, rosé and platinum varieties.
Location: Kinross, Perth
Size: 3,000sq ft
Top Tip: Find a balance between selling at RRP and pricing slightly above
Whenever we can get prosecco on promotion, we sell a few cases at the promotional price and then a few slightly above it – this way, we can generate an increased margin overall without losing out too much. Promotions in the category do not allow us great margins, so it’s about striking a balance. I find that, apart from prosecco, sparkling lines don’t sell that well, but even within prosecco, it’s driven by price rather than brand. We try to sell a mixture of brands from both ends of the scale, but we gravitate towards stocking premium lines.
St Mary’s Supermarket (Premier) Location: Southampton
Size: 2,800sq ft
Top Tip: Focus on the best-selling lines and be prepared for increased demand during holiday seasons
We price champagne, sparkling wine and prosecco above RRP because they tend to be bought at the weekend, rather than every day. We dedicate about a metre of shelf space to it, and site it near other alcohol lines, such as wines. We aim for a 25% to 30% margin, and buy from Booker. This month, we had a promotion on Moët and Canti prosecco. Sales in this category always rise during festive periods, such as Christmas and New Year. Of all the brands, Martini prosecco sells the best in our store, followed by Moët.
Find out more about RN’s definitive guide to the best-selling products that you need to have on your shelves.
Read more Pricewatch and get expert product price comparison analysis and retailer insight on all the key products in your store
Data supplied by the Retail Data Partnership, a specialist data and EPoS supplier committed to serving the independent retail sector