IT’S a British icon but now Vimto is poised to take on the biggest market of all – China.
Brendan Hynes, chief executive of Vimto owner Nichols, told the Daily Post that the company was in the “advanced stages” of preparing to enter the Chinese market.
Meanwhile, Newton-le-Willows-based Nichols is set to turn a North West landmark purple as it celebrates Vimto’s centenary. The company is holding a series of events to celebrate the anniversary of the drink’s creation by John Noel Nichols in 1908 – and later this year will light up the majestic Imperial War Museum North, in Salford, in Vimto’s signature colour purple.
Newton-le-Willows-based Nichols already sells Vimto in over 60 countries, and strong overseas sales helped the company post another profit increase in 2007.
Pre-tax profit for the year rose 13.3% to £9m, with overseas revenues rising 30% to reach a record £8.9m.
Vimto is extremely popular in the Middle East during Ramadan, when it is drunk after the end of Muslims’ daily fasts.
The drink is also popular in Africa, but Mr Hynes says there is room for more expansion.
Mr Hynes said: “We think there’s a lot of brand extension we can do and there’s a lot of untapped potential in overseas territories.
“We’re in the advanced stages of putting together a joint venture for China. We’re currently looking at the Turkish market.”
Issuing Nichols’ annual results last week, chairman John Nichols said the company was also looking to expand its business in areas such as Africa where it is traditionally strong.
He said: “We also continue to optimise sales of the Vimto brand in other areas around the world, through the use of differing products and formats which best meet the demands of our local consumers. In Africa, for instance, we accelerated the expansion of locally manufactured carbonated Vimto in plastic bottles, with a major launch in Senegal at the end of 2007.”
John Noel Nichols – the current chairman’s grandfather – created the first Vim Tonic in Manchester in 1908. The product later became known as Vimto.
This year’s centennial celebrations include the launch of a special Vimto Cluedo game and the creation of limited edition Vimto centenary bottles.
In September, Nichols’ staff will hold their own celebration at Salford’s Imperial War Museum, when the building will be lit up in purple.
IN TOMORROW’S LDP Business: Brendan Hynes profile.
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