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November 08, 2007

Paul Newman Enters The Wine Business

Posted in: Wine Marketing

Following in the footsteps of Martha Stewart, Paul Newman becomes the latest celeb with a wine label. Newman’s Own 2006 California Chardonnay and 2006 California Cabernet Sauvignon will be released next March. In the press release, Paul Newman notes that he originally bottles his first product, his salad dressing in old wine bottles with parchment labels, so the brand is coming full circle. Since that beginning 25 years ago Newman’s Own has grown into a major brand offering pasta sauce, lemonade, salsa and more. Money generated from the products has allowed the Newman’s Own Foundation to donate more than 200 million dollars to thousands of charities.

Newman worked with Rebel Wine Company, which also makes True Earth organic wine which we have previously profiled. The Newman wines are made from grapes sourced from coastal vineyards and are expected to sell for $16. An article in AdAge mirrors a question I had which is whether $16 is too high a price for wine’s that have a celebrity name but not a lot of celebrity input. The True Earth wines sells for around $13 and Martha Stewart’s wine is expected to sell for around $15. Newman’s products generally seem to be a little pricer than others and consumers have been willing to pay a little more knowing that it goes to a good cause. Wine lovers, however, tend to purchase based on a complex variety of factors (including terroir and the recommendations of wine bloggers and critics) and might be a tougher nut to crack as they expect a lot from a bottle that veers toward the $20 bottle range.

By Deidre Woollard.

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