YBP Changes External Design To Distinguish from Competitors

YBP CHANGES EXTERNAL DESIGN OF ITS PRODUCTION TO MAKE IT
DISTINGUISHABLE FROM THAT OF COMPETITORS

YEREVAN, MAY 23, NOYAN TAPAN. The Yerevan Brandy Plant (YBP) has
changed the external design of its whole production. This was
announced at a press conference held on the occasion of the 30th
anniversary of the French company Pernod Ricard – the owner of the
plant. According to YBP Chairman Erve Karoff, the changes are aimed at
making brandies “Ararat” distinguishable from the production of
numerous competitors. Besides using a new external design, labels and
bottles bearing the engraving “Ararat”, YBP has divided its production
into new groups: regular – 3-5 years, premium – 6-10 years and
superpremium – 15-20 years. According to YBP Head, the company spent
over 1.5 mln dollars for changing its production’s external design,
and anticipates a 8-9% increase in sales in 2005 alone. Asked by NT
correspondent how much the consumer will pay for the new design, Erve
Karoff said that prior to this, the prices of all the production of
“Ararat” had been increased, and only Superpremium brandies of the new
design will be sold at higher prices. YBP Chairman noted that more
than 4 mln litres of brandy is produced annually by the plant. Over
90% of the production is exported, which makes more than half of the
brandy exports from Armenia. The company purchases both bottles and
raw materials exclusively in Armenia. It is cooperating with about 4
thousand vine-growers. In 2004, over 20 thousand tons of grapes was
purchased, while this year it is planned to purchase about 25 tons,
for which 6-8 mln USD will be spent. The French company Pernod Ricard,
in which the Yerevan Brandy Plant was included in 1998, was founded in
1975 through a merger of two small family companies Pernod and
Ricard. At present, Pernod Ricard is the third largest producer of
alhoholic drinks in the world.