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Ciao Range

KWV launches Ciao into South African RTS market

Breaking out of its traditional liquor mould, KWV South Africa is set to shake up the local industry as it expands into the growing ready-to-serve (RTS) market with the launch of new product Ciao.

The expansion forms part of the company’s plans to grow its market share in South Africa and to meet the increasing demand for a good quality, reasonably priced product in the RTS market.

Ciao is a ready-to-drink cocktail in a box. It is the first fruit-based, locally produced and bottled RTS product in South Africa.

“Inflation is steadily making an impact on how South Africans spend their money and the option of entertaining at home is becoming a more attractive alternative. This gives the RTS market an opportunity to really connect with consumers as they demand good quality and reasonably priced products when they entertain friends and family at home,” says Innovations Director for KWV SA, Gareth Haarhoff.

The South African RTS market, also known as the Flavoured Alcoholic Beverage (FAB) market, is steadily booming. With a 358%* growth over six months from October 2010, the market demand presents a great prospect for growth across KWV’s current product portfolio.

“As one of the leading wine and spirits producers in South Africa, we believe the local RTS market holds huge potential,” says Haarhoff. “Ciao’s launch is part of KWV’s growth strategy from R700-million market capitalization, to R2-billion.”

Ciao, an infusion of real fruit juices married with a selection of the finest spirits will be available in two-litre boxes. The three variants Appeltini – gin and apple, Yellow Cab – brandy and orange, and Paradise Bliss – vodka and passion fruit; will retail for approximately R69.65 at national outlets.

“By its very nature, Ciao is perfect for busy people who find that entertaining at home is easier. Ciao is set to become a genuine accessory for spontaneous get-togethers to make any home entertaining look effortless.

“The launch of Ciao forms part of KWV SA’s strategy to expand our product portfolio and generate new growth opportunities in the South African RTD market,” Haarhoff concludes.” It is something we are very excited about and reaction from the trade has been incredibly positive so far.”

Paarl-based Afriplex developed the initial product concept, fined tuned in conjunction with KWV’s R&D team, and supplies the fruit emulsions.

* Nielsen Data June 2011

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