The importance of good merchandising

The following article is brought to you by Jacob's Creek.

In the UK people are now drinking more wine than any other drinks category (AC Nielsen Homescan '03) however, according to the Publican Wine Research 2003, only half of wine drinkers actually drink wine in pubs.

31% of wine drinkers who never drink wine in pubs claim it is because they don't consider wine if it is not on display. The answer is good clear merchandising to maximise this opportunity.

Merchandising can fulfil two key functions:

• It gives your customers confidence in ordering wine from the bar
• It establishes the quality wine offering of the outlet

Effective merchandising can lead to a dramatic increase in your wine sales. Jacob's Creek have experienced significant uplift in sales from heightened merchandising activity. Within one popular high street retailer, increasing the visibility of wine resulted in a 74% increase in sales across the whole estate.

There is also huge potential for merchandising around the wine and food occasion, 63% consumers (according to Publican Wine Research 2003) only drink wine with food, therefore other merchandising opportunities exist, as detailed below:

Merchandising opportunities for wine around food and non-food occasions​

Food Occasions​

• Suggest that wine is available by the bottle
• People always choose wine ahead of ordering their meal, why not place the list of wines at the front of the food menu
• Always offer wine at the food service point to encourage the wine and food occasion

Non Food Occasions​

• Display the choice and variety of wine on a blackboard, eg 175ml, 250ml glass size of bottle
• Highlight wines on tent cards at the table as well as the bar
• Visual cues such as wine coolers, and ice buckets will entice customers to think wine

Pernod Ricard UK is a member of The Portman Group - ​encouraging responsible drinking.​

Key Messages​

• Effective merchandising leads to a positive uplift in sales
• Quality merchandising can enhance the customer's perception of your outlet
• Back bar display, blackboards, and wine menus are key tools in improving visibility for wine in bars

A Step by Step Guide to effective merchandising​

There is a very short window of opportunity to influence your customer's choice of drinks so make sure brands are visibile to enable them to make the right decision.

Here are a couple of simple tips to increase wine sales and profitability in your pub.

• Wine menus - create a good wine list, arrange
  plenty of these on the bar counter and on tables

Back bar display - stock well recognised brands to give consumers confidence and display the wines by brand and varietal. Bottles should be clean and unopened to maximise their appeal and highlight your quality offering

Blackboards - use black boards to effectively
communicate your range and add theatre. Keep them at a height that is clearly visible and near point of purchase/food service. Feature wines by style, grape variety and price and make sure they are easy to read.

POS - posters, tent cards, table talkers - display these items on tables and the service counter to help prompt awareness for the wine range and encourage trial.

Wine coolers / ice buckets - presentation and
display of chilled ice buckets or wine coolers on tables or behind the bar will entice consumers to try an old favourite or even experiment with a new wine, as it will reassure them it is being served in the right way.

NB: Remember the golden rule - never sell off the back bar display and remember the fridge doesn't count as a display!