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Brits savour pricier SA wines

Jan 05 2009 07:05

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Cape Town -Demand for South African wines at premium prices of £7 (R98) and more is on the increase in Britain - the biggest export market for our wines.

According to Garreth Anderson, European general manager for the South African liquor company DGB, the company's well-known Boschendal brand showed overall growth of 60% in the quarter to the end of November, compared with the same period the previous year.

"This strong growth of a premium wine again proves that the South African wine industry's future lies in premium brands, and not in the category for cheap wines selling between £2 (R28) and £4 (R56), where supply exceeds consumer demand, declares Anderson.

According to Boschendal marketing manager Ina Basson, growth in the British premium category can be ascribed to two factors.

"Last year's weakening of the rand against the British pound is of course one factor," she explains.

"But more important is the fact that international customers have become aware of the quality of South African wines, and are consequently prepared to pay more for our products."

Instead of shelling out £12 (R168) for a Shiraz from the French Rhône Valley, or £9 (R126) for a Sauvignon Blanc from Loire, more and more British and European wine drinkers tend to switch to a Boschendal Shiraz or Sauvignon Blanc, whose quality is as good or better than the French wine, at a lower price."

Basson says that the Western Cape's popularity as a destination for wine tourism contributes to South Africa's reputation for producing good wines.

"Boschendal alone receives about 180 000 visitors a year, and this is only one farm," she says.

"We have certainly seen a correlation between the number of foreign visitors that we receive and international sales. It would appear that visitors who had an enjoyable wine-tasting experience in beautiful surroundings revisit their memories and select our wines back in their home countries."

According to Basson, the 2010 World Cup football tournament holds enormous potential for recruiting lifelong customers for SA's wine industry.

"More than 500 000 foreign visitors are expected for the tournament, most of whom will pay the Cape a visit," she reckons.

"If the wine industry gets together to offer wineland visitors an unforgettable experience, the effects of that experience will be felt for years to come as South African wines are snapped up when the tourists return to their own countries."

- Sake24

For more business news in Afrikaans, visit sake24.com.

 
 
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