Food and wine pairing in China: Technicalities ruin the fun

By  Maxime LU/ 陆江
7 February 2018

(Published on Decanter China, the Chinese version of Decanter)

Food and wine pairing ‘helps but won’t drastically boost wine sales’ in China, despite the enormous number of wine and dine events being held in the country, said Chinese trade professionals

Distributors: Pairings don’t boost sales

There is no clear sign that the widespread media coverage and many events on food and wine pairing in China have directly helped wine sales, according to several importers and distributors.

‘Most of our customers drink wine for business occasions,’ said Christian Zhang, chief sommelier of Noah’s Yacht Club in Shanghai. ‘They still only have very basic knowledge about wine and pairing. The concept of wine pairing helps, but won’t make a huge difference in sales.’

At retail stores, ‘we are rarely asked about food pairing options by our customers,’ said YANG Zuyan, fine wine and projects manager of Pudao Wines.

‘To properly pair food with wine, you need a certain level of wine knowledge. While media and trade professionals are interested in the concept, their buying power is limited. Real consumers, however, don’t have [the] knowledge to be influenced by the concept,’ said Yang.

‘To make a sale, it’s key for us to demonstrate scenarios in which consumers can picture themselves drinking wine,’ said WANG Xiaoshan, Market Director of Joyvio, a wine importer owned by Legend Holdings, which also owns Lenovo.

‘If we start lecturing them on what wine they should choose if they’re going to eat a certain dish, things get too complicated and they won’t remember anyway,’ Wang said.

‘[Food and wine pairing] is additional information for consumers, and may help them to picture themselves enjoying the wine with food, but that’s about it,’ said Ma Tao, general manager of B2B wine distributer Wajiu.com.

‘For the general public, fine wine and dining is still considered as something enjoyed only by the white-collar elites, despite the heavy media coverage on the subject. In most cases, people still drink wines for quaffing and “Ganbei (bottoms up)” in China.’

Meanwhile, the concept of food and wine pairing as a branding and communication tool is considered important by producers and regional bodies, which stress that localised and less ‘textbook’ pairings tend to work better in China.

Producers: Non-textbook communication is the key

‘We wouldn’t rely on food and wine pairing events to push sales,’ said WU Xiaoxia, head of marketing in Changyu, the biggest wine producing company in China.

‘Culturally speaking, the majority of Chinese consumers care more about who they drink with and what the occasion is, so they pay less attention to what they drink. Plus, they usually have a variety of dishes laid out on the table at once, so the textbook course-based rules of Western wine pairing won’t work here,’ Wu said.

‘The key is to focus the pairing around Chinese food,’ said CHEN Lizhong, owner of Xinjiang-based boutique winery Tiansai.

‘We used the concept of Chinese food and wine pairing to promote our rosé, dry white and an easy-drinking red wine range, and we saw some growth in sales.’

The experimental and ‘fun’ elements of pairing are ideal to ‘bring Chinese consumers closer to wine’, especially during wine-themed dinners featuring local dishes, said YIN Kai, president of Castel China.

Food and wine pairing is an ‘important method’ for promoting Australian wines in China, agreed Willa Yang, Wine Australia’s head of market for China.

However, instead of teaching consumers about pairing roles, the regional body focuses more on helping Chinese consumers to ‘form the habit’ of having wines with food, Yang added.

‘Technicalities would ruin the fun and enjoyment of wine drinking,’ said Judy Chan, owner of Grace Vineyard.

‘However, when you start to recognise the basic principles of food and wine pairing, you will be better informed when choosing a bottle to buy, and naturally find more enjoyment in the pairing experiments.’

Food and wine: The ideal occasions

High-end restaurants that serve Western or Japanese food, as well as the more ‘westernised’ modern Chinese food restaurants, tend to naturally fit the concept or food and wine pairing, said professionals.

Fine wine and dining experiences are still important for promoting premium wines, said Ma Tao of Wajiu.com.

‘”Wine by the glass” and special pairing menus are welcomed by our customers,’ said Christian Zhang of Noah’s Yacht Club. ‘Wine region-themed promotions, such as ‘Rioja and restaurant week’, also help us to sell,’ he added.

Major events hosted in hotels, such as weddings, are also opportunities to promote wine via food pairings, said Wang Xiaoshan of Joyvio.

‘The guests tend to pay more attention to the choice of wine and food for the occasion, because they demonstrate the taste of the host.’

 

(Editing by Chris Mercer)

Translated by Sylvia Wu

Amazon China: Who is drinking imported fine wines in China– exclusive interview

By Maxime Lu / 陆江

(Published on DecanterChina.COM,  Chinese version of Decanter.)

 

Amazon China speaks exclusively to Decanter China about the scale of their wine business and who are their key consumers.

1Image: Shi Jianjun, vice president of Amazon China, credit Amazon China

The scale of Amazon China’s wine business

The number of wine brands sold directly by Amazon China has ‘quadrupled’ in the last three years, with sales increasing by more than 100% every year, SHI Jianjun, vice president of Amazon China, told DecanterChina.com.

Amazon China launched its wine business in August 2012, followed by a direct import business from September 2013. Now the online shop directly sells wines from the US, France, Australia and Italy, covering more than 130 brands and nearly 800 wines and other fruit-based alcohol.

The wine sector is becoming one of the ‘focal points’ of the online retailer’s direct import business, said Shi Jianjun. ‘As the population of white collar workers increases in China, and the market’s wine knowledge inproves, we are very confident in growing wine sales in China.’

Who is buying the wines and for how much

‘90% of wines sold on Amazon China are imported wines,’ said Shi.

Currently around 3,800 wine products (‘stock keeping unit’ SKU) are sold across the platform.

Wines priced at between 100-300RMB (11 to 34GBP) are currently the most popular on Amazon China, with France being the best-selling origin of wine, followed by Australia, Chile and USA.

Consumers buying wines from Amazon China are mainly aged between 23-40 from first-tier cities including Beijing, Shanghai and Guangzhou, second-tier cities on the eastern coast and provincial capitals, according to the vice president.

Recent Wine Intelligence research found that 48 million consumers from the ‘urban upper middle class’ are now drinking wines at least twice a year, up by more than a quarter than 2014.

135876_amazon-interview-2-shi-jianjun-2Image: Shi Jianjun, vice president of Amazon China, credit Amazon China

Choosing the right suppliers

Amazon China’s advantage ‘lies in the Amazon group’s globalised presence’, said Shi, comparing the business to domestic players.

The buyers of Amazon China share information on wineries with Amazon buyers around the world. After an initial selection of producers, the buyers would visit producing areas and wineries to taste and choose the products. ‘We look for value-for-money wines that are suitable to Chinese consumer’s palate’, said the vice president.

In June 2016, Amazon China established its own wine club. The online retailer plans to invite wineries to hold tastings for wine club members so as to ‘double check’ if these wines will be liked by a wider group of Chinese consumers.

The provenance of the wines sold by Amazon China, said Shi, is ‘protected at the origin’ as all brands sold by Amazon China come either directly from the wineries or the distributors appointed by the producers.

‘We don’t only sell those big global brands, but also the less famous wineries which have their unique features and can well-demonstrate the local terroir,’ he said.

2016: year of expansion

Unlike many of its peers, Amazon China has been comparatively low-key about its wine business.

This year, the online retailer seeks to further utilize its ‘global resources’ to sell more fine wines directly from around the world, said Shi.

Last month Amazon China launched an Australian direct imports wine section, featuring fine Aussie wines including those from the Langton’s classification.

The move will lead to a second and more extensive Amazon China International Wine Festival later this year, said the vice president, during which the online retailer will launch an ‘International wine pavilion国际红酒馆’—a major update from its current wine section.

A heated wine sales contest against its domestic peers seems to be around the corner.

 

Maxime Lu / 陆江

-The founder and Chief wine editor of WineOnline.CN since 2005
-The founder and Chief wine educator of  WineSchool.CN since 2006
-The founder and main contributor for WineBlogChina.COM since 2011
-Wine Judge for international wine competitions: Decanter Asia Wine Awards 2015(Hongkong) , Wines of Portugal Challenge 2014(Lisbon) , Radici del Sud 2013 ( Puglia ) ,and some domestic wine competitions.
-A contributor for Decanter China(Chinese version of Decanter.com),Prowine China(Prowein branch) and for main stream media on fashion, finance , food and wine.
-The consultant of  Wine Collection.
-The consultant of wine companies.

An Updated Overview of the Chinese Wine Market (2015-2016)

Text: By Maxime Lu / 陆江

Published on ProwineChina.COM, Chinese version of PROWEIN.

In recent years, the Chinese wine market has witnessed dramatic changes, with transformative adjustments made in both major consumer groups and the sales model of wine merchants.

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The spending spree emerging in China in 2006-2007 culminated in early 2011 and then subsided. With the introduction of the policy for tightening spending on official overseas visits, official vehicles, and official hospitality in 2012, the country’s wine market rapidly entered the period of adjustment. Major consumer groups have changed from enterprises, institutions and government authorities to the public. Following the slump and stagnation in 2012-2014, the Chinese wine market bounced back in 2015.

Take imported wine as an example. In 2015, the volume of imported wine totaled 550 million liters, a 44.58% y-o-y increase, valued at US$ 2,039 million, a 34.30% y-o-y increase. Nonetheless, we should be cautiously optimistic about the high percentages. It should be reminded that the market was rather sluggish in the previous two years. Moreover, we should consider the following factors: replenishment following the clearing of stocks in the distribution area, purchase following the introduction of new capital, and of course market growth.

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Regarding origin countries of imported original wines in 2015, France ranked No.1. The volume of wines imported from the country totaled 167 million liters, an increase of 33.66%, valued at US$867 million, an increase of 41.25%. The average price was US$5.19/liter, increasing by 5.68% over the previous year. French wines accounted for 46.2% of China’s imported original wine market, still occupying a solid position. Australia ranked No.2. Thanks to lowered tariffs, the volume of wines imported from the country surged by 56.54%, with the import value soaring by 77.80%. Australian wines accounted for 23.4% of China’s imported original wine market. Chile gained a market share of 9.1%, ranking the third place in the list. Countries ranking No.4 to No. 10 are Spain, Italy, the United States, South Africa, Argentina, New Zealand and Germany.

With a market share of nearly 70% (in volume), domestic wines remained to be a leading player in the Chinese wine market in 2015. Changyu and GREAT WALL monopolized the domestic wine segment. Facing foreign competitors and increasingly mature consumers, leading domestic wineries doubled efforts to adjust the pricing system of their product lines, and further improved low price product lines with the highest sales volume in the mainstream market. In addition, these wineries purchased overseas wine chateaus and established cooperative relations with renowned international brands in a bid to enter the imported wine market, fully reflecting their ambition and vision for the future market. These wineries are expected to have more market moves in 2016. In another development, domestic wine markets in Beijing, Shanghai and Guangzhou were severely hit in 2015. In wine markets in a number of tier-3 and tier-4 cities, nevertheless, domestic wines with wide brand influence and strong market operational capability will maintain a leading role over a certain period of time in spite of mounting challenges.

It should be mentioned that, in recent years, quite a few fine wine chateaus were founded in wine regions such as Ningxia, Xinjiang, Shanxi and Huailai. Wines made there were well reputed in domestic and international markets. These fine wine chateaus have boosted local consumers’ confidence in domestic wines and increased their knowledge and understanding of domestic wine regions. More and more big importers began to act as an agent of domestic fine wines. Market feedback shows that more industry resources will be utilized to promote Chinese wines in 2016.

As for market expansion and sales activities, the entire industry continued exploration efforts.

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B to C platforms, such as JD and Amazon, gave more support to direct-selling categories and merchants trading on the platforms so as to increase the conversion rate. These platforms have always been focusing on individual consumers, so they were not hit by the policy for tightening spending on official overseas visits, official vehicles, and official hospitality. Instead, these platforms developed swiftly along with the growth of the consumer market. According to sources from JD, the company’s revenue of wines in 2015 tripled from that in 2014, and the figure in January 2016 quadrupled from the same period of last year. Since the beginning of 2016, these leading platforms have been planning to enhance market expansion in tier-2, tier-3 and tier-4 cities and towns. They are gradually becoming the core platform of the wine market.

Once a hotspot in the capital market, vertical e-businesses have suffered from mounting pressure in operation. In the past one or two years, some of these e-businesses were acquired or merged, some began to sell multiple categories, and others faded away. Currently, the O to O mode in the wine industry is increasingly becoming a highlight in the capital market. By leveraging capital and the O to O mode, some wine merchants, such as jiuxian.com, 9bianli.com and 1919.cn, have realized rapid expansion. But both suppliers and salespeople consider such a mode and expansion controversial. However, for several leading O to O wine merchants, they will experience rapid expansion in 2016, with both bubbles and opportunities.

Meanwhile, the B to B mode has also taken shape in China’s wine industry. More and more e-businesses dealing wines have adopted the mode, such as wajiu.com and jiuxian.com.

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As for long-established wine merchants, they have been exploring new business models while continuing to develop traditional channels including restaurants, shopping malls and supermarkets. For instance, Pudao, the Chinese subsidiary of Australian retail giant Woolworths, is exploring the mode of wine boutiques to provide private customers with cost-effective fine wines and professional wine service. ASC has closed its expensive clubs providing services for private customers. The company has been increasing investment into e-commerce, enhancing cooperation with other e-commerce platforms, and lowering its profit margin and product prices. Aussino World Wines, ASC and other wine merchants are launching wine education and cultural promotion campaigns to improve customer affinity. These traditional wine merchants will continue transformation in 2016.

Regarding the overall development of the Chinese wine market in 2016, representative wineries gave basically positive feedback. They expected an increase rate of 15%-30%. We are looking forward to the new year with modest growth.

Source link: http://prowinechina.com/channels/138.html

中国葡萄酒和烈酒市场概况和2019年预测以及至2019 年展

图文编辑:陆江 | 葡萄酒在线

资料来源:Vinexpo/IwSR 市场研究报告*

中国市场:

2014 年全球第五大红酒市场

全球第五大静态葡萄酒及汽酒市场

全球最大烈酒市场

全球第二大干邑市场(仅次于美国)

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紧缩政策导致增长放缓,但至2019年前景仍然明朗

2015年,中国市场的红葡萄酒消耗量为1.319 亿箱,较2014 年减少724 万箱。几乎所有葡萄酒及烈酒类别的消耗量均出现下滑,此现象可归因于几个因素。首先,中国于2015年的整体经济增长率(+6.8%) 明显放缓,远低于以往的双位数增幅。此外,政府的反贪腐政策也对市场带来冲击,而2015 年8 月上海证券交易所股市崩溃亦对中国总体经济产生了不利影响。然而,根据Vinexpo/lwSR 市场研究报告显示,进口葡萄酒数量在2013 至2014 年间保持增长(+3.3%) ,市场前景并非完全黯淡。不断增加的中产阶层也越来越多地转向葡萄酒。尽管人均消耗量仍然偏低,但人口正持续增长(符合法定饮酒年龄的成年人到2020 年料增多3,200 万) ,而市场亦将以相对较慢的速度继续扩大。

进口葡萄酒消耗量仍然上升

现今的中国消费者依然将焦点放在法国尤其是波尔多的葡萄酒上。法国葡萄酒消耗量占总体42%,达到1,390 万箱。澳洲葡萄酒以400 万箱的消耗量排名第二,而澳洲的优势在於邻近的地理位置和紧密的商业联系。西班牙作为成本最低、面向大众市场的葡萄酒进口国,目前是增速最快的来源地。西班牙葡萄酒2014 年的消耗量达到390 万箱,於2015 年势将紧随法国之后成为第二大进口国。据IWSR 预测,另一低成本、高品质葡萄酒的供应国家智利预计亦将继续获得增长。2014 年的智利葡萄酒消耗量为380 万箱。

中国本土葡萄酒於2014 年占整体消耗量超过80%,但由于越来越难以与价廉物美的进口葡萄酒竞争,其市场占有率现正下滑。

在中期内,进口葡萄酒消耗量将会持续平稳上升。针对中产阶级的日常饮用酒增幅最明显,当中以人民币100 元(16 美元) 以下的葡萄酒表现最佳。

香槟在过去五年录得强劲增长,2010 至2014 年间消耗量倍增至135,000 箱,其市场主要仍集中于一线城市。香槟很少用于送礼和宴会上,因此并未因反贪腐运动而受到太大影响。香槟的消耗量料将持续上升,但汽酒于二级网点的增长亦不无威胁。

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汽酒是明日之星

汽酒的增幅比香槟更为强劲,消耗量于2010 至2014 年上涨五倍,达到110 万箱。vinexpo/lwsR 研究报告指出,意大利汽酒是这一增长的主要驱动力,市场估有率约为60%,于二三线城市表现尤其突出,因其定价较低,能比同类竞争对手如啤酒获得更高利润。汽酒在中国整体葡萄酒消耗量中所占比例甚低,未来绝对有上升空间。

进口葡萄酒市场低端复苏

2015 年1月至5 月期间,桶装葡萄酒的进口量比2014 年同期上涨了31.2%。

由于需求上升,西班牙酒成为2015 年中国市场表现最佳的进口葡萄酒,于1月至5 月其消耗量的绝对增幅较2014 年同期攀升高达55.6%。

起点较低的南非大幅飙升达128.1%,而澳洲(+47.8%) 、葡萄牙(+36.8%) 、阿根廷(+34.6%) 及智利(+25.9%) 亦获得显著增长。

中国葡萄酒大有发展空间

虽然葡萄种植面积正稳步上升,但葡萄酒生产量于2012 年达到顶峰后恢复到2010 年的水平。根据Vinexpo/IWSR 市场研究报告预测,产量到2019 年将维持温和增长。

该研究报告指出,中国政府支持葡萄酒生产,以鼓励人民由中式白酒转饮酒精含量较低的葡萄酒。然而,在500,000 公顷的葡萄种植面积中,现时仅有5%至10%被用来生产葡萄酒,其余皆用于生产食用葡萄和干果,可见葡萄酒生产的扩展空间非常庞大。

烈酒新趋势及选择

除干邑之外,所有类别的顶级和超顶级进口烈酒均录得增长。然而干邑在各种进口烈酒之中数量仍属最多,高于威士忌。

在大城市高级场所内品尝美酒的趋势,令顶级和超顶级威士忌、伏特加、朗姆和Gin均能受惠,而部分烈酒如朗姆和Gin则仍属於小众产品。Vinexpo/IWSR 研究报告预期到2019 年,伏特加和Gin消耗量分别将稳健增长7%及8.1%,而龙舌兰酒将上升 +9.6%。

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中国游客将美国威士忌的知识带回国内,令该酒类的消耗量由低点上涨。该研究亦发现,日本威士忌也受到消费者的关注。

除了一流苏格兰威士忌之外,顶级干邑的消耗量也受到送礼减少所影响,而且程度更甚。中国市场对于XO 和更高级烈酒的需求正在下滑,而VSOP 和VS干邑白兰地的消耗量则呈现上升趋势。这两种酒类皆在夜间即饮市场(on-trade market) 中占主导地位,而年轻消费者大多偏好酒龄较浅的干邑。

最后,Vinexpo/lwsR 市场研究报告点出,全球最大的烈酒类别–中式白酒也在经历转变。中式白酒现正于市场低端小幅增长,主要集中在农村地区和三四线城市,受到40岁或以上的男性消费者所青睐。相反,居于城市的年轻人则更喜欢葡萄酒。受到反贪腐运动影响,高端中式白酒的销售额及售价亦有所下跌。

* 葡萄酒在线-WINEONINE.CN,分享美酒美食和旅游的信息平台,欢迎关注我们公众号:wineclos