VINTAGES sales have been growing at an impressive pace for many years, reflecting an increasing interest in fine wine and premium spirits, and an increasing consumer sophistication. VINTAGES customers are very interested in the entire experience associated with buying, learning about, serving and enjoying fine wine and premium spirits.

This section outlines some of the programs we have in place that help fuel VINTAGES' growth and create opportunities for wine and spirit producers, suppliers and agents.



VINTAGES Programs Table of Contents
VINTAGES Releases / Bi-weekly Catalogue
Wines of the Month / Benchmark
VINTAGES VQA Wine of the Month and ON Tour Programs
VINTAGES Essentials Collection
Classics Collection Catalogue
Futures
VINTAGES.com
VintagesShopOnline.com
VINTAGES LATEST
Events
In-Store Discovery Program
Holiday Gifting
Free Standing Insert (FSI)

Bonus AIR MILES® Rewards Miles & Limited Time Offer (LTO)
VINTAGES In-Store Tasting Program
VINTAGES IMAGE Application Process and Deadlines 2010 – 2011

VINTAGES Releases / Bi-weekly Catalogue

The bi-weekly VINTAGES Release program is the core of VINTAGES activity. 3522 new products are introduced into the retail network. Releases are promoted through the VINTAGES Release Catalogue, and on the VINTAGES website.

The VINTAGES Release Catalogue is an information-rich publication targeted to fine wine and premium spirit enthusiasts in the general public, as well as licencee customers. The catalogue is mailed directly to a subscriber list of 43,300, and an additional 17,800 copies are available in-store.

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Wines of the Month / Benchmark

VINTAGES' Wines of the Month (WOM) features two products each month. The products receive high visibility and significant promotion within VINTAGES locations. They are placed on end-aisle or floor displays in a high visibility location. They are also signed with full-colour point-of-purchase materials (cut-case backer cards, pricer cards and take-away cards and shelf talkers).

WOM is a risk-free introduction for new VINTAGES customers, who will recognize that these products have the VINTAGES "stamp of approval". The feature wines offer exceptional quality to price ratio. The WOM products are featured in full colour on the inside front cover of the Retail Release Catalogue and on the VINTAGES website.

WOM sales typically range from 1,000 to 1,500 cases within a four-week promotional period, selling significantly more than non-featured products of similar price points. A typical WOM customer spends significantly higher on average than a non-WOM customer.

For a product to be considered for this program, it must be in the retail price range of $15 Cdn to $22 Cdn, and available in a minimum of 1,000 cases (12 bottles/case). The product is reviewed through the same process as all VINTAGES products.

Launched in September 2005, this program educates the wine consumer within the context of a release theme or spotlight by focusing on a product that exemplifies a country, region, appellation or grape variety. The Benchmark product alternates with the Wines of the Month on the inside front cover of the Retail Release catalogue.

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VINTAGES VQA Wine of the Month and ON Tour Programs

VINTAGES' VQA Wine of the Month and ON Tour Programs focus exclusively on VQA wines. These comprehensive programs showcase wines of Ontario and British Columbia that have the best quality and value.

VQA Wine of the Month and ON Tour Programs is featured in every release catalogue, and VQA Wine of the Month is supported by in-store signage.

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VINTAGES Essentials Collection

While most of the products purchased by VINTAGES are available for a limited time only, VINTAGES maintains a list of approximately 99 products for continuous availability in the VINTAGES Essentials Collection. Products are selected for this program if they:

A selection of the VINTAGES Essentials Collection is featured each month, with a full catalogue of the complete portfolio separately printed in full colour and distributed with the release catalogue and in stores in April and October. Special point of purchase (POP) signage is created for Essentials products, including shelf talkers, pricer cards and cut-case backer cards.

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Classics Collection Catalogue

The Classics Collection Catalogue offers a selection of the world's greatest fine wines and premium spirits. The catalogue is primarily a VINTAGES direct marketing program. It focuses on the latest limited allocations from some of the most sought-after small estates and producers in the world, as well as acclaimed older Vintages and other rare selections.

Each Classics Collection Catalogue presents 150-250 new and unique products and is produced five times per year-in January, March, May, September, and November. Customers order through VINTAGES Sales Centre.

The catalogue is distributed to 15,000 mail subscribers. An additional 18,000 copies are available for pickup at selected stores. It is also featured on our VINTAGES website and regularly highlighted through VINTAGES LATEST email bulletins.

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Futures

Bordeaux Futures is another VINTAGES direct offer program (offered continuously since the 1994 vintage). VINTAGES buy from négociants and producers in Bordeaux. First offers of Bordeaux Futures go out in June/July and full offers in September. The products are featured again in February of the following year.

Futures have also been offered for products from California and Burgundy, depending on the quality of the vintage, and are marketed to customers at preview tastings prior to wider commercialization.

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VINTAGES.com

Everything from our Release and Classics catalogues as well as special catalogues (such as the VINTAGES Essentials Collection) is included on the VINTAGES website. The website also offers a search function so customers can find specific products or browse through categories and learn what is available in all LCBO and VINTAGES locations. VQA products are featured on their own page.

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VintagesShopOnline.com

VintagesShopOnline.com is a new program that brings a further portfolio of premium fine wines and spirits for our customers to discover. Regardless of where they are in Ontario, our customers can purchase from our exclusive, ever-changing online assortment of products.

Premium and ultra premium wines from Bordeaux, Burgundy, Champagne, Italy, California, Australia and Ontario VQA, verticals from chateaux and estates, large formats as well as collector items such as Madeira, eau-de-vie and Scotches, can be found on this site. These products will be available here first. Inventory is shown in real time so customers know what’s available at all times and we’ll ship the purchases free of charge to the LCBO store of their choice.

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VINTAGES LATEST

VINTAGES LATEST is a new, exciting direct offer program that is sent to subscribers of VINTAGES LATEST, our email marketing service. We partner with suppliers to offer rare, older vintages and large formats to our customers. The response to VINTAGES LATEST has been tremendous and we anticipate continued growth in this new channel.

VINTAGES maintains a list of customers who have asked to be contacted by email about VINTAGES special offers, promotions and events. The growing VINTAGES LATEST subscriber list currently has 16,000 customers.

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Events

VINTAGES Events are a key component of our brand and building customer relationships. These events range from small winemaker's dinners to medium-sized tastings (100-200 people), to large-scale taste-and-buy events (200-500 people).

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In-Store Discovery Program

The In-Store Discovery program focuses on products released exclusively to our top stores. These products augment the inventory and selection that top stores carry (as a result of their larger size and higher stock turnover). These products are typically available in relatively small quantities and/or at higher prices. They are supported by in-store signage and on our VINTAGES website.

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Holiday Gifting

The VINTAGES Holiday program is a portfolio of 20 to 25 specially selected gift suggestions, from unique gift packs to highly collectible fine wines. A glossy, full-colour catalogue is produced, featuring beautiful photography and notes on each item. The portfolio is released during the highest sales period of the year (November/December), and is available to customers for purchase in-store throughout Ontario.

The catalogue is mailed directly to our Release Catalogue subscriber list of more than 43,000. An additional 18,000 copies are distributed in-store for pick-up. Additional profile may also be given to the program through the distribution of Free Standing Inserts (FSIs) in daily newspapers throughout Ontario.

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Free Standing Insert (FSI)

The FSI is a direct-mail marketing tool with a measurable response from customers shopping for featured products at VINTAGES. FSIs provide excellent full-colour reproduction and detailed product information. They are inserted in the home delivery of major daily newspapers throughout Ontario, and allow VINTAGES to target potential customers based on household incomes and postal codes. FSIs deliver a high impact within a newsworthy and credible medium throughout Ontario.

The typical distribution of each VINTAGES FSI is approximately 460,000, divided appropriately between each of the following newspapers: Globe and Mail, National Post, Toronto Star and Ottawa Citizen.

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Bonus AIR MILES® Rewards Miles & Limited Time Offer (LTO)

Bonus AIR MILES® Rewards Miles
The AIR MILES® Reward Miles Program is a loyalty program allowing customers to earn reward miles by shopping at VINTAGES and the LCBO. The LCBO has been part of the AIR MILES® Reward Miles Program since October 1997.

Customers currently receive one reward mile for every $25 Cdn of goods purchased each month. The number of reward miles earned is based on the total accumulated purchases each month. Bonus AIR MILES® Reward Miles are offered on participating products in addition to those received through the base AIR MILES® Reward Miles Program.

Products participating in Bonus AIR MILES® are promoted through our monthly Release Catalogue, on the VINTAGES website and in-store with pre-printed AIR MILES® Reward Miles shelf talkers.

®™ Trademark of AIR MILES International Trading B.V., used under licence by Loyalty Management Group Canada Inc. and the LCBO.

Limited Time Offer (LTO)
The Limited Time Offer (LTO) program provides suppliers and stores with an opportunity to generate extra excitement around selected products. By offering a reduced price during a limited period, customers are motivated to try new products.

Products participating in LTOs are promoted through our monthly Release Catalogue, on our website and in-store with pre-printed LTO shelf talkers.

For more information on these programs please visit:
http://www.lcbotrade.com/programs_gpp_s_bam.htm

For VINTAGES IMAGE Application please apply using the on-line Merchandising Promotions Tracking System.

For VINTAGES IMAGE Application Process and Deadlines 2009-2010 please download:
http://www.lcbotrade.com/pdf/VINTAGES IMAGE Application Process Deadlines 2009-2010.pdf

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