Tannico: 2021 will be the year of small artisan labels
Exclusive interview with CEO and co-founder Marco Magnocavallo
After a record 2020, with an 82% growth in revenues compared to the previous year, Tannico aims to further improve the selection of labels (focusing on small artisan businesses) and consolidate its presence abroad. CEO and co-founder Marco Magnocavallo unveils it to EFA News.
2020 was a record year for Tannico, the wine shop with the largest and most careful selection of Italian wines in the world. Revenues grew by 82% on an annual basis for a value of 37.5 million euros in turnover (against 20.6 million in 2019), two and a half million bottles delivered and 400,000 orders shipped worldwide (+95%). With the entry into the company of Campari Group (see the EFA News' article), the food-tech company will be able to expand even more rapidly abroad. We asked the ceo and co-founder Marco Magnocavallo to reveal the winning formula of Tannico and to give us some previews on the projects for the next months.
How did 2020 end for Tannico? How did the online go?
It was certainly a challenging year but one of great consolidation for Tannico. The Covid-19 emergency has led to an acceleration of the business that we would have expected to reach in 2021 with a huge share of new customers on their first purchase. We can be very satisfied, we have confirmed our leadership in the Italian market and consolidated our presence also abroad, as shown by the growth in revenues recorded in the 20 countries where Tannico is active (+ 103% vs 2019). 2020 was an important year for Tannico also for the new projects that have been launched and that have opened our company to multi-channels, first of all the Tannico Wine Bar launched in July in Via Savona in Milan, a wine shop with a kitchen but before all a place of meeting and exchange thanks to the numerous wine-themed activities, and the TannicoFlying School Online, our platform that informs and shortens the distance between people and the world of wine with thematic itineraries, tutorials, interviews with winemakers and video tastings.
In particular, how did the B2B channel work?
The B2B channel for Tannico is divided between the platform we offer to the Horeca channel (which obviously, despite good growth, has undergone restaurant closures due to Covid) and WinePlatform, the B2B service launched in 2017 to support wineries on a technological and logistical level in the sale of their products to end customers which in 2020 recorded a dizzying growth in volumes. We have received a large number of requests to enter the platform since the first lockdown and now we have 120 wineries active on the platform, such as Donnafugata, Masi Agricola, Alois Lageder and Cantina Tramin to name a few. We are satisfied with the work we are doing, in 2020 the wineries of WinePlatform have in fact seen more than quadruple both the number of customers served and orders handled, for a total of over 78,000 bottles sold.
How do you plan to close 2021?
These first 2 months of the new year are confirming the growth and results collected in 2020. We expect a consolidation in the use of the e-commerce channel also by all those who have experienced it for the first time for needs more strictly related to the lockdown. The year just ended and this first period of 2021 makes us think that the demand for labels and references from small and artisan wineries will grow and among the projects of 2021 there is certainly the goal of responding to this trend by expanding the selection of natural wines in all Tannico sales channels.
What are the next projects?
If 2020 was the year of the launch of many new projects that opened us to multichannel, 2021 will be the year of the consolidation of these new channels and specifically of retail (in the offline world) and e-learning in the online one. In parallel, we will push our B2B activities even more significantly and concentrate our efforts abroad starting from France. Finally, we will implement all our logistics side thanks to the start-up, in the second half of 2021, of the new warehouse in Tannico, the first fully automated wine warehouse in Italy.
What is your winning formula?
There are several components that affirm our brand and differentiate Tannico from the rest of the market. Among these I would point out as relevant: the way of communicating, the assortment that now consists of 2,500 wineries for over 15,000 references, the delivery service in over twenty countries around the world and same day in Milan and the exceptional customer care service. The careful selection of vineyard craftsmen and foreign cellars that we import exclusively for Italy is also very relevant. In 2021 we will continue to refine ourselves from every point of view, especially by pushing these levers therefore: selection, service, storytelling, entertainment and multi-channeling.
EFA News - European Food Agency