WOODBRIDGE MAKES A COMEBACK

Trends in recent months have shown positive volume growth for Constellation’s largest bottled brand, Woodbridge by Mondavi. Priced at $5.75 per bottle, premium Woodbridge ranks as the eighth largest brand in the U.S. behind several lower-end brands, including Australia’s Yellow Tail. Although Woodbridge’s volumes suffered in the 2003-2005 period, the brand was up 9.2% in the 4-week period to September 10 and up 1.4% YTD, according to Merrill Lynch’s Christine Farkas.

Christine lists several factors for Woodbridge’s renewal, including new packaging and labels, an improved sales force under STZ, new varietals and increased marketing spend (up 35.3% in 2005 according to Adams Handbook.)