TRIESTE, Italy – Italian coffee group Illy has linked up with French champagne maker Taittinger, becoming its new distributor in Italy.
This is a prestigious business to add to the Trieste group’s network, which also includes the distribution of Mastrojanni’s Brunello di Montalcino wine, chocolate, tea, chestnut products and preserves.
Today Taittinger sells 50,000 bottles in Italy, but in the best years it has reached as much as 500,000.
“We are highly satisfied with the deal,” said Riccardo Illy, president of the eponymous group, “well beyond the economic value of the agreement,” he said, which is estimated at €3 million.
Illy’s family holding has many other good reasons to be satisfied, including the closing of the 2016 financial year, its best ever: turnover rose 5.2% to €505 million. Net profit was €10.56 million.
The company includes Premium Illycaffè (making up 90% of revenues), the chocolate Domori (about €13.5 million, +15%), the selected Dammann Frères tea (€32 million, +2.3%), chestnut products maker Agrimontana Brown (€18.3 million +10%, Illy has a 40% stake) and the Brunello and Red Montalcino wines from the Mastrojanni cellar (€2 million).
“In 2016, all our subsidiaries made progress, we have a record budget,” said Illy. “In the area of tea, Dammann opened the seventh boutique in Paris, 90% of sales are branded and it generates over 2 million net profits. The strategy is to push on its own network of sales points, also in licensing.”
In the wine segment, Mastrojanni has launched a hospitality business with seven rooms. Others are under construction, along with a swimming pool and wellness area and a winemaking area under the cellar.
Emanuele Scarci
