Lindemans' mini bins

Wines & Vines, July, 2005 by Larry Walker

Southcorp is offering the popular Lindemans Bin Series in 187 ml bottles, a marketing move the company feels will give consumers a chance to enjoy wine in situations where a 750ml bottle might be awkward.

Jon Fredrikson, of Gomberg, Fredrikson, said that the 187 option is "growing like crazy in food stores." Sales of the mini-bottles in food stores were up 16% over the last 52 weeks, Fredrikson said, and 18% in the last 13 weeks, with 42 million bottles, or 865,000 standard cases, sold in the past year.

"I have always thought there would be a great market for upscale wines sold in 187s," he said. "It's good to see the big guys getting into it, including the importers." He added that suppliers have to watch the shelf life of the wines, but he didn't see any other downside.

The wine in the 187s is the same wine that Lindemans sells in the larger bottle. Varieties offered include Bin 65 Chardonnay, Bin 40 Merlot, Bin 50 Shiraz and Bin 45 Cabernet Sauvignon. Doug Rogers, senior vice president of marketing for America, said Southcorp had researched the project and learned that consumers like the idea of using the 187s at picnics, on hikes or in situations where they might like only one or two glasses of wine.

"It's ideal for use when you only want a glass of wine and not have to worry about saving a large bottle," Rogers said. He said the product should be in all major national markets by July.

The 187s are packed in a four-bottle cardboard "basket" for sales in grocery stores. "The first shipment had to be packed by hand, which slowed us down a little, so the first shipment was limited. The packing will be automated very soon, and we will be bring in a larger volume."

Rogers pointed out that the demographics are probably tilted toward younger consumers. "As you know, most wine drinkers are 40-plus, well educated with a higher income. I like to think we can expand the wine consumption base with this product."

Many wine consumers are familiar with the 187ml bottles through airlines, where it is the standard serving size for wine. In the past, the quality hasn't always been as high as some might like. Fredrikson said the move toward making wine sales a profit center for airlines could lead to higher quality there as well. "I would gladly pay the price for a better wine," he said.

It is the first-ever single-serve bottling from Lindemans, one of the most popular Australian brands in the U.S. The product will be sold individually and in four-packs, and comes with a twist-off screwcap. The Lindemans marketers suggested some sample uses for the product, including the fact that they can be consumed straight from the bottle.

The minis will sell between $7.99 and $8.99 for a four-pack, and between $1.99 and $2.25 for individual bottles.