When Sula added imported wines to their portfolio over 5 years ago, it was perceived as a hedge against the imminent onslaught of imported wines due to the liberalized imports that might cripple the Indian industry or at least make the competition very tough forcing the prices of Indian wines to come down and making them less profitable.
With the distribution channel of Sula wines well established pan India, Rajeev Samant, the visionary owner apparently decided to use it to promote the imported labels as well, though not with a sharp focus. However, there seemed to be a nudge towards most brands with the push focused on the South African ‘Two Oceans’ and Australian ‘Hardys’, the two value-for-money popular brands.
As it happened, his fears were allayed as the taxes on imported wines did not come down significantly enough to harm the Indian market.
The imported portfolio manthan
Sula continued to churn the imported wine portfolio, custom-fitting it to complement domestic wines which had gone from strength to strength during the last 3-4 years, notching up a growth of as high as 40% when the average industry growth of 25-30%, taking an undisputed leadership position in the premium wine section in the process. In an extensive survey conducted by the Indian Wine Academy last year for Top Ten wine importers Sula had a respectable seventh position with sale of about 10,000 9-liter cases.
Since then, Sula has gone in an aggressive mode. Besides increasing the push on Two Oceans, Hardys and Ruffino Chianti, it developed Pierre Maison from the French stable and also Heidsieck Blue Top from Champagne to replace Taittinger. It even resurrected Mateus, the ubiquitous pink protagonist from the era gone-by. It added winners like Trapiche from Argentina and King Crawford from New Zealand to make it a well-rounded international portfolio and went about building the international marketing team at the same time.
Our objective is simple, gushes Rajeev Samant, ‘we want to be in the top 5 of the Top Importers list during this year’ With the following portfolio and a host of well-established importers, it may not be the easiest of jobs during recession but that does not faze Rajeev. ‘We are all in the same boat. If we are affected by the economic meltdown, so is everyone else,’ he adds, quickly adding that the profit margins in the import market are thin. Here are the reasons why he feels his team would push its way through to the Top Five spot.
Kim Crawford from New Zealand
Kim Crawford from New Zealand is the latest hot addition to Sula’s international portfolio. Owner and wine maker Kim Crawford has an ambition to produce and present the very best wines from every grape variety and every premium wine-growing region in New Zealand under one label. He is a true pioneer and was the first producer to use screw caps on high end wines in New Zealand.
‘King’ Crawford was the first New Zealander to win “Winemaker of the Year” Award for two consecutive years. His Sauvignon Blanc has won the Wine Spectator Trophy for the Best New Zealand Sauvignon Blanc 2007. His 2008 Marlborough Sauvignon Blanc boasts of tropical fruits with herbaceous notes, supported by a firm and crisp acidity, making it cellar-able for years.
Heidsieck & Co. Champagne
Heidsieck & Co. Monopole is one of Champagne's oldest and most respected Houses. Established in 1785 by Florens-Louis Heidsieck in Epernay, it is one of the 'Grande Marques' of Champagne, a term used unofficially to refer to the best champagne houses. Heidsieck & Co. Monopole is owned by Vranken Pommery Monopole, the second largest producer in Champagne.
The “Blue Top”, received 91 points in Wine Spectator 2007, and was listed as one of Wine Spectators Top 100 wines.
Maison Pierre
Sula formed a new joint-venture with the famous wine profile, Hugh Ryman last year to make a white and a red wine in the original BIO form.
Maison Pierre is a contemporary French wine couple of white and red, from the beautiful Languedoc region, in the south of France. The wine is hand made to suit the Indian palate and wallet.
Trapiche from Argentina
Their import from the internationally recognized and respected label from Mendoza, the Argentine wine capital, is already making waves in the market. At the 1883-founded winery the people of Trapiche respect their history but have also added the necessary state-of-the-art technology, thus giving both quality and typicity to their wines.
Trapiche has become one of the leading exporters of Argentinean wines. It was the first Argentine winery to import French and American oak barrels and the first major producer to export fine wine.
Astica Torrontes and Cabernet as well as the Single Varietals Sauvignon Blanc and the signature Malbec are a part of Sula’s inviting portfolio. Then there is the seductive oak cask Malbec 2006 for Malbec lovers.
Hardys from Australia
Established in 1853, Constellation Wines Australia (known as BRL Hardys till last March) is Australia's largest wine producer and is situated in the picturesque McLaren Vale wine region. Today, Hardys produces a large variety of easy drinking new world wines to suit a range of palates and prices.
Sula imports a couple of whites, Semillon Chardonnay and Gewurztraminer and a couple of reds-Shiraz Merlot and Cabernet Merlot in the ‘Stamp of Australia’ label, giving a wide enough choice to the Indian wine lovers who generally love the flavour of these varietals and blends.
Ruffino from Italy
Ruffino from Tuscany is known for its Chianti and Classicos since 1877. For many years now, Ruffino is the preferred label for the reds-especially Ruffin Chianti and Aziano Chianti Classico. However, the IGT Modus and Ducale Riserva CC are the upper end fine reds. Modus has been a Gold Medal winner in the International Wine Challenge.
The DOC Orvieto and the IGT Chardonnay, ‘Libaio’ are the two quaffable whites-for daily drinking that make a fine choice for the consumer, be it in retail or the restaurants. In fact, the Libaio has been selected as the Best Italian White Wine Buy for several consecutive years by Wine Spectator. Even Gambero Rosso rates it on the top of the pyramid for the best price/quality ratio Italian white wines.
Ruffino Chianti was first produced by founders Ilario and Leopoldo Ruffino, and for over a century it has been a benchmark for the entire Chianti category. For many consumers worldwide, Chianti means Ruffino Chianti since it has greatly influenced the world's perception of Chianti wines.
Chianti was traditionally known for the fiasco container - the characteristic straw bottle s shaped like the goatskin wine container a middle-ages man might have slung from his saddlebow. Ruffino updated Chianti's image by replacing this traditional straw flask that had threatened the quality image of Chianti in the 60s and 70s, with a refined Florentine bottle in 1975. This bottle is a unique Ruffino trademark.
Two Oceans from South Africa
Distell is the biggest wine exporter from South Africa and offers some of the best value for money wines. Two Oceans is its low-end brand which is universally popular. Again, Sula has selected two each of their whites and reds. Sauvignon Blanc and Chardonnay from their white stable and the Pinotage and Shiraz from the red wine portfolio make a decent range for the South African wine lovers.
Not to be left behind in the battle of the bubblies, it also imports the Muscat based off-dry J.C. LeRoux Le Domaine, South Africa’s first cellar dedicated entirely to the craft of making sparkling wine. Located on the outskirts of Stellenbosch, it is the country's leading bubbly producer, recognised for craftsmanship and expertise to make fine Méthode Cap Classiques (MCC), created in the state-of-the-art cellar by the Méthode Champenoise process of second fermentation.
Mateus Rosé from Portugal
Before one starts missing a Rosé in the imported wine portfolio (they do have a Zinfandel based blush in the domestic portfolio), comes a holler that the Mateus Rosé with its distinct pink colour retaining soft and fruity style with the light, young, fresh and slightly fizz is being imported by Sula now.
Asahi Beer from Japan
While delWine may not include their figure of import of the latest edition of this beverage into account, nevertheless Asahi Super Dry Beer, the Japan’s no. 1 selling beer introduced by Sula in November 2007, adds a significant amount to their top line and the bottom line with the growing thirst of Indians for beer, including the imported variety.
Sensing the growth potential, Rajeev decided to take a small detour from his wine route to add the brew in his portfolio.
With the new policy announced in Maharashtra on Thursday, it will be easier to push some of the fine wines, though as he claims, ‘our eyes are now on the Delhi market which has also been languishing since the increase in excise duties was announced recently.’
One hopes that handling a bouquet of foreign wines gives Sula a set of benchmarks to keep on improving the quality of domestic wines and not sit on its laurels, or just keep on pushing volumes.
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