- Published on Wednesday, 10 March 2010 15:14
- Written by Stuart Peskett
E& J Gallo is to stop distribution of a number of key lines in the UK as part of its ongoing restructuring of its UK operation.
The ranges being removed include Sycamore Canyon and Winemaker's Seal as Gallo looks to concentrate on its five core brands: Gallo Family Vineyards, Turning Leaf, Redwood Creek, Carlo Rossi, and Barefoot.
George Marsden, Gallo's vice-president and general manager EMEA (Europe, the Middle East and Africa), said that the company had been forced to "make some tough decisions" and restructure the business after a year which saw Gallo's sales fall by 26% in the UK, and 50 employees lose their jobs.
It is releasing a new advertising and marketing campaign for 2010 including a new consumer promotion encouraging customers to mix its Californian rosé with ginger ale. It has come up with a suggested serve - called ‘Rosito' - for its White Grenache and White Zinfandel rosés.
Gallo also announced that 2010 would be "the year of the foot" and claimed that its Barefoot brand (currently the leading US brand, with annual sales of 7.6m cases) will be the biggest wine brand in the world "within the next three to five years".
Barefoot is a non-vintage wine that currently sells 100,000 cases a year in the UK, and is available as a Merlot, a Pinot Grigio, and a white Zinfandel.
European marketing director Iain Newell added that Gallo will be launching advertising campaigns with the Metro newspaper and Heart FM radio station, based around the "Nation's Favourite Rosé" theme, and that the company has signed up Sky Sports presenter Georgie Thompson in an ambassadorial role to promote its rosés during the World Cup this summer.