innovative wine branding ideas from around the world
A thoughtful coumn from Karen Graham, formerly of Cedar Creek, on the next series of marketing challenges facing BC wine growers. Mandatory reading.
BC wines are well-known and well-supported by BC consumers. However there appears to be a coming supply/demand/price crunch facing the industry. Broadly speaking, quality is improving, but prices continue to creep upwards, and the price/quality ratio deserves some critical attention. There is some evidence that the BC consumer is close to tapped out. While demand continues to grow for BC VQA wines (at a rate of 9 percent over the past five years, according to the BC Wine Institute), demand is growing at an even faster rate for imported brands. What should be of greater concern to BC producers is that consumers are prepared to pay more for imported wines than they are for domestic wines (a trend that has not substantially changed in a decade).
Last but not least in a story of a converging storm based on the data – the recently released BC crop report for 2011 shows that despite a challenging vintage, the tonnage harvested was 27% larger than 2010 (97% from the Okanagan). The industry is facing the saturation point for its domestic market.