Remy Cointreau makes deeper inroads in India

Think of it as the Rolls-Royce of the spirits world. Curated in small quantities, aged for several decades and planned centuries in advance, the Louis XIII Cognac in its trademark ornate, crystal bottle made by the Remy-Cointreau, is almost always at the centrepiece of high-end bars in hotels, restaurants, and fine-dining establishments. Recently, the cognac was for the first time decanted in a pairing with a specially curated menu, with Indian food created by chefs at the Leela Palace hotel in New Delhi. It showed the French spirit isn’t restricted to consumption with European food alone.

Malo Le Mestre, who is Louis XIII’s brand ambassador in India says Louis XIII is available only in limited quantities each year. “Currently, we are not able to meet the demand in India, and we do not foresee this changing in the future.”

He adds that what really matters is the relationship that’s being built with both Indian and international clientele, and the new experiences it creates for them. An example is Louis XIII Gastronomy – India, which illustrates their catering to clients and passion. The pairing is an experience the brand kicked off at the Leela Hotel this year.

Globally, Rémy Cointreau has been showing a growth spurt in the last eighteen months. In the first half of 2022-23, sales grew 21.1% despite a high growth base (52%) in the year-ago period ( 2021-22). In revenue terms, cognac sales accounted for around 640 million euros (April-September 2022-2023) versus 464 million euros the year before.

So where is Louis XIII, which is priced at almost $3,500 a bottle, available? “We believe in selective distribution as we wish to ensure the perfect client experience in hotels, restaurants and at liquor stores. Louis XIII is currently available in up to 35 liquor stores and 60 hotels, bars and restaurants pan India,” Le Mestre says. The major Indian metropolises have historically been the main locations for decanter(s) acquisitions for ‘at home’ consumption. Key tourism destinations in India now also show a significant demand for Louis XIII by the glass, in 5 stars hotels and palaces. On average, hotels bill customers across India around ₹25,000 plus tax for a 30 ml serving of Louis XIII.

Regarding growth in India since 2019, Le Mestre says its existing and new clients have grown by over 200%. Since 2021 and 2022, Rémy Cointreau has signed up three new Indian importers/distributors, selected for their historical presence & experience in distribution. “They operate in different states and areas (north & east, south and west), ensuring an optimal distribution and positioning of our spirits across India,” Le Mestre says.

Sameer Sain, who was an investor in and on the board of Sula Wines that distributed Louis XIII, is also a co-founder of private equity firm the Everstone Group is a self-admitted epicure. He says the broad concept for food and wine goes thus: most wines in general go with European-style fare. Because at the core of it, cuisine such as French has large amounts of fat, butter and protein. None of this is highly acidic but wine and spirits are. “The acidity in essence is designed to cut the fat or break it down. But the reverse is also true that Indian food has everything that’s acidic innate: spice, chillies, zesty ingredients and so on. This is why beer that is not as acidic goes well with it.”

In the wine universe, the ones that have high sugar or low acidity go well with Indian food. Low-acidity beverages clear the palate while high-sugar ones coat the palate, which tones down the spice. “Orange wines, or Rieslings,” Sain adds. “While it may be counterintuitive to have cognac with Indian food, Louis XIII is an aberration because it's blended with beautiful and very old cognac. It doesn’t even need pairing with any kind of cuisine and can truly be enjoyed by itself. Ultimately, the conventions that dictate what you drink with what, is determined by the individual,” he opines.

Rukn Luthra, who was the former MD of Remy-Cointreau and helped launch Louis XIII between 2009 and 2015, says crafting the image for a high-end cognac takes years in a new market when you can buy a car for the same amount of money. In 2015, Luthra says the strategy was very clear: target the well-travelled, luxury consumers, along with a French brand ambassador, who worked to suss out the right partners and created a strong base for the brand. “The subtle differences between all cognacs are in the types of barrels, grapes and their ageing process,” says Luthra, who now represents the house of Godet, another maker of high-end Cognac.

Like many luxury products, Louis XII is also made in limited editions from time to time to cater to both collectors & aficionados as well as to give a bump to sales. Examples include the Black Pearl AHD, a tribute to André Heriard-Dubreuil, which was a limited edition of 1,498 decanters (350ML), from one unique tierçon selected by their Cellar Master Baptiste Loiseau. “Now exhausted, the only limited edition currently available globally is the Louis XIII Time Collection 1900 – city of lights, which is retailing for about 6000 pounds,” Le Mestre says.

Remy Cointreau is a family-owned group that has 14 brands in its portfolio, with almost 2,000 employees and a revenue of 1.3 billion euros. It is listed on Euronext on the Paris exchanges.

How does Indian clientele consume cognac? Le Mestre says the options are unique and include "the family ritual of sharing a glass every Sunday, glorifying family moments. Another client always celebrates business successes with partners enjoying a glass of Louis XIII, immortalising their achievements. And a third one will acquire and gift a decanter to his wife every year on their wedding anniversary."

Is there one demographic that cognac overlaps with, “This is a segment that will keep growing in line with the consumers who buy exotic sports cars, top-shelf single malts, and high-end jewellery,” Luthra says.