Majestic Wine has overcome the loss of its City champagne customers to gain new business and launch its first ever television advertising campaign.
The wine warehouse’s chief executive Steve Lewis said that “sales of champagne to businesses went down in 2008 and that has not come back” but its commercial sales team has pushed for “significant growth” in gastro pub and hotel sales.
Majestic’s first television advert debuted in the advert break in ITV1’s Coronation Street on Monday night.
The company has invested a “modest” amount in the ads, which present a humorous take on wine snobbery. The campaign also comprises press ads.
On Monday Majestic posted a 20% rise in half-year pre-tax profits for the 26 weeks ending September 26 to £8.8bn. Total sales were up 8.7% to £127.8m while like-for-like sales in UK retail stores rose 2.7% excluding VAT.
The company saw peaks in sales in the build up to the Royal Wedding in April and during spells of good weather in June and late September.
Lewis said: “Consumers are being cautious as they spent more than they intended in September and they are now saving before Christmas. We are cautiously optimistic about Christmas.”