Virgin Wines, which celebrates its 25th anniversary this year, is targeting annual revenue of £100mn by 2030, according to a five year growth strategy published alongside its latest results.
The direct-to-consumer wine retailer reported revenue of £34.1mn for the final six months of 2024, boosted by a 6.7% revenue jump in the six weeks to 27 December 2024. The December period overall saw a 9% year-on-year increase, delivering record sales for a single month outside the covid affected period.
“I am pleased to report a positive first-half performance, with the business delivering encouraging results, particularly during the peak Christmas trading season,” said Jay Wright, chief executive officer at Virgin Wines.
“Our strategy of acquiring high quality customers at an industry-leading low cost per recruit, while maximising the quality and value of our wines through our unique open-source buying model, continues to position us well to navigate market headwinds.”
Its new Growth Strategy will focus on four goals: increase customer acquisition, grow commercial partnerships, the use of technology to enhance customer engagement and invest in Warehouse Wines.
Virgin Wines has recently worked with Moonpig, WH Smith, Very and Ocado. Retailer collaborations are supplemented by supply agreements in the travel sector with LNER, Avanti and Great Western Railways.
In addition to developing a mobile app to enhance customer engagement and acquisition, the retailer plans to leverage AI to personalise the consumer experience, ensure content relevancy, and optimise data usage. AI will also be instrumental in boosting productivity and efficiency across the company’s operations.
“The underlying business is performing well, and we have a unique business model as well as a dedicated and highly experienced team. We look forward to executing this strategy to turbocharge Virgin Wines’ growth and deliver value for all of our stakeholders,” added Wright.
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