South Africa has the 4th largest market share, on a par with that of France, and follows Australia and the USA. Wines priced R 60 – R 84 grew by 15 % in value in the past year. Those costing between R 84 – R 120 increased by 27 % in sales value, and South African wines costing over R120 grew by 43 %, even though they have a small market share. South Africa’s top-selling brand in the UK is First Cape, which increased by 80 % in sales volume and by 73% in sales value. Other strong South African brands are Kumala, Arniston Bay, Two Oceans and KWV.
Wines of South Africa (WOSA) CEO Su Birch is expecting growth of 10 % of South African wine sales in the UK in 2010, if the Rand does not strengthen “materially”.
South African wines also performed well in Sweden (18 % increase) and in Canada (11% increase), while sales in the Netherlands, Germany and the USA were on a par with the previous year.
WOSA is an industry-funded body marketing South African wines generically internationally.
Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com