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Wine Enthusiast’s American Winery of the Year, 2007

Retailers Will Increase In-store Sales w/ Gnarly Head!. Item Penetration . In Total US outlets, more households are buying Gnarly Head than J. Lohr, Red Diamond, 7 Deadly Zins, Cline and Rosenblum.

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Wine Enthusiast’s American Winery of the Year, 2007

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  1. Retailers Will Increase In-store Sales w/ Gnarly Head! Item Penetration In Total US outlets, more households are buying Gnarly Head than J. Lohr, Red Diamond, 7 Deadly Zins, Cline and Rosenblum. In Total US outlets, Gnarly Head consumers drive more trips to the store than buyers of K-J, Mirassou, Ravenswood, Smoking Loon, Bogle, Rancho Zabaco, Rosenblum, 7 Deadly Zins, Toasted Head and J. Lohr. Purchase Frequency Repeat Buyers In Total US outlets, Gnarly Head consumers drive more repeat purchases and are more brand loyal than buyers of Rosenblum and Toasted Head. Gnarly Head drives more Grocery sales (% of dollars in Grocery vs. other outlets) than Clos du Bois, K-J, J. Lohr, Bogle, Cline and 7 Deadly Zins. Grocery Sales In Total US outlets, w/ Gnarly Head in the basket, total basket ring MORE THAN DOUBLES - and is a HIGHER RING than having just Zin Segment or Table Wine in the basket! Wine Enthusiast’s American Winery of the Year, 2007 Source: Nielsen Homescan - Channel Facts Database - Total Outlet U.S.– Annual 2008

  2. Gnarly Head is increasing store wine sales by expanding the category! 18% of Gnarly Head’s growth in the last year has come from category expansion (consumers w/ an increased level of purchasing, not those switching from another brand) Gnarly Head is winning over competitive wine shoppers! 16% of Gnarly Head’s growth in the last year has come from consumers switching away from large brands like Kendall Jackson, Robert Mondavi Private Selection, Chateau Ste. Michelle & BV Coastal and smaller brands like Rancho Zabaco. The Gnarly Head consumer is showing very favorable purchase behavior. Retailers will benefit by promoting the brand and encouraging trial. 40% of Gnarly Head wine triers come back to purchase again, a very good repeat purchase rate that is in line with Yellow Tail. Gnarly Head wine tries are demonstrating very strong depth of purchase, with 17% of triers purchasing 4X or more, and 9% of triers purchasing 5X or more. Wine Enthusiast’s American Winery of the Year, 2007 Source: Nielsen Homescan – 125,000 HH Panel - Total Outlet U.S.– end 6/26/09

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