Subscriber login Close [x]
remember me
You are not logged in.

Australia must continue to push its premium wines, says Negociants

Published:  24 June, 2014

"There will always be cheap wine in the market - that shouldn't detract or deviate the Australian wine industry from its premium message", says Negociants managing director Simon Thorpe MW.

"There will always be cheap wine in the market - that shouldn't detract or deviate the Australian wine industry from its premium message", says Negociants managing director Simon Thorpe MW.

Australia's continuing strategy for the UK must be to push its premium stocks as entry level wine is "not a sustainable business model", Thorpe told Harpers.co.uk.

Simon ThorpeAustralia must continue to up the focus on its premium winesAustralia's continuing strategy for the UK must be to push its premium stocks as entry level wine is "not a sustainable business model", said Simon Thorpe MW, managing director of Negociants UK.

He added that the message about more premium Australian wines is now being heard, thanks to hard work from agents, producers and generic bodies including Wine Australia and Australia's First Families of Wine.

"We're starting to get more listings of premium wines by the glass, right up to quite a high price level." While Thorpe admitted this had quite a "small impact individually", overall signs in the on-trade were "very encouraging", although messages take longer to filter down in the on-trade than the off-trade.

He said there was now a "greater appreciation of what Australia has to offer", including its regional variation from cooler climate regions such as Tasmania.

"The industry seems to be busier than ever before - we're trying to do more than we have ever done before in relation to opening up the on-trade, both multiples and independents. The more complicated the business gets the more it takes time."

Thorpe said Negociants has planned for a "gradual increase" in share of the on-trade over the next three to five years, but emphasised that it was not changing its overall emphasis.

Independent retail has always been relatively strong, but supermarkets, cash and carry and convenience are still important, although opportunities for growth are more limited than the on-trade, said Thorpe.

"Two and a half years ago we went at the on-trade full pelt, and brought on board wineries that are exclusive to the on-trade and independent channels."

It is preparing for a second  winemaker roadshow - its first was in September 2012 - which Thorpe said allowed Negociants to talk to customers in a "focused way". "It's about [our customers] engaging and talking to winemakers and hearing their stories. Having the focus all on us for a period is invaluable."

The firm's Oxford Landing brand has just launched a "significant" advertising campaign across London's underground stations, billboards and black cabs, which will run over the summer.

Negociants is the UK export arm for Australia's Yalumba: it also represents Brokenwood and Vasse Felix among others, as well as New Zealand's Two Paddocks and Ara wineries.

Keywords: