Finewinesnmore to foray into soft beverages segment

Finewinesnmore (FWM), a Mumbai-based startup that distributes and markets imported wines and spirits in India, plans to diversify into the soft beverages and food segment.

The 11-month-old company is also looking at adding 20 more wine labels from South Africa, Argentina and the US, to the existing bouquet of 140, by the end of the next financial year.

The company, backed by Dharti Desai, president and co-founder of Mumbai-based Regency Direct Marketing India Private Limited, is currently in talks with companies in Australia, Italy and France to import soft beverages including mineral, sparkling water and fruit juices, besides processed and 'ready-to-eat' Italian and French gourmet food.

"We are not looking at mass-volume brands but at top-end ones that rightly fit into our premium product portfolio. For instance, the retail price of the fruit juice brands that we intend to import would be around Rs 100 per 250ml. The products will be launched in the country in the first quarter of 2008," Sumedh Singh Mandla, partner, Finewinesnmore, told Business Standard.

Finewinesnmore currently offers around 140 wine labels from 40 international brands covering eight countries, with its key targets being wine connoisseurs in the age group of between 35 and 45 years. Besides, it offers champagnes like Canard Duchene and Veuve Devaux and liquors like Martinique rum, grappas and limoncello.

The company, which has invested close to Rs 4 crore in this business, has a presence in 13 cities, including Mumbai, Delhi, Chennai, Hyderabad and Haryana. On its radar for expansion are Kolkata, Guwahati and Mangalore by 2008 end.

With wines catching on, Mandla said the company was planning to tap this category by introducing 15 to 20 South African, Argentinean and American labels in the range of Rs 650 to Rs 20,000 per bottle by the end of next fiscal.

"So far, we had focused on educating our trade partners and end consumers towards wine appreciation besides scaling up our distribution network, which is paying dividends. This fourth quarter would be the bigger revenue churner for us and we expect to sell over 10,000 cases and garner revenues of around R 7.5 crore by this fiscal end," Mandla said.

The wine market in India is pegged at 1.5 lakh cases, and is bound to grow 40 per cent this year.