New Idea for an Old Brand Essay
New Idea for an Old Brand
As a way to freshen up the traditional brand and to gain more exposure, the granddaughter of the Margaux family wanted to begin mass marketing a new wine brand. The idea would be to use different grapes in order to be more accessible to the younger generation. The target price range would be €20-€25 per bottle (Dessain, 2011).
There are a large number of young wine drinkers who cannot afford the high prices of the current Gran Vin brand and are therefore not being attracted to the Chateau de Margaux vineyards. If these consumers were introduced to an affordable brand of wine from the Margaux estate, then they may be more likely to recognize and trust the brand. That way, when they are looking for a more expensive wine, they will first go to their label of Grand Vin from the Chateau de Margaux collection.
Some of the issues with this suggestion are: maintaining the exclusivity of the original brand, ensuring that consumers still feel motivated to pay the higher price point, and they will also now need a distributor, marketing team, and an ability to focus on more than one brand of wine. In this particular case, the Margaux business has a close-tie who is very familiar with the distributorship and marketing of wine, and therefore this is a solution to one of the issues; however there are several of the other issues that remain very pertinent concerns, as we will discuss later on.