Amazon is expanding into own-label wine.
The online giant has quietly launched its first wine brand, called Compass Road, with a five-strong range - Pinot Grigio, Merlot, Chardonnay, Grenache Rosé and Riesling Qualitätswein.
The drinks are billed as “simple yet great-tasting” and “easy to pair with food”, and are eligible for one-day delivery with Amazon Prime (rsp: £35.99/6x750ml).
It it understood they are being primarily targeted at the German market, but are also available to UK shoppers.
It comes just weeks after Amazon unveiled its first own-label spirit, a gin brand called Tovess (distilled for the retailer by West Midlands industrial distiller Alcohols Ltd). Amazon said it would look to add further spirits in future.
Amazon had previously stuck to offering retailer-exclusive spirits: it has, for instance, partnered with Edrington-Beam Suntory to launch exclusive bottlings of Bowmore and, more recently, Auchentoshan.
It also netted early distribution rights to Diageo’s Johnnie Walker White Walker whisky.
Past years have seen Amazon launch own-label lines in ambient, sports nutrition, household, baby, beauty and coffee. Yet despite its investment, it has had limited success with own-label so far.
A study of 23,000 Amazon own-label products in the US by research firm Marketplace Pulse earlier this year said there was “no evidence” Amazon’s superior data capabilities and the ability to prioritise its own products in search results had helped it gain traction with shoppers.
Drinks brand strategy and marketing consultant Neil Anderson said: “I’m not convinced what [Compass Road] adds to the existing wine category - although I’m sure it ticks a few boxes in the new world of convenience shopping.”
“I’m not entirely sure who it appeals to and how engaging it is for the majority of consumers in the UK - especially under-35s,” he added.
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