Patrick Madendjian

In the second part of profiles detailing Southeast Asian markets, this bulletin explores trends in Indonesia and the Philippines, including where the Australian wine category is placed and how it is performing. To assist in understanding the markets, this market bulletin will explore trends in the region, including where the Australian wine category is placed and how it is performing. This week's bulletin will explore Indonesia and the Philippines. Read the bulletin here: https://lnkd.in/gpsFa6S8

4

Interesting to see some concerns about this move from some sectors, but no doubt, this will encourage HK-based buyers to acquire the finest spirits more globally. Ultimately, this will also support the trade in HK via increased interest and activity.

38

3 Komen

Does the color of spirit indicate quality ? When it comes to spirits, the color does not necessarily imply the quality or taste of the drink. For instance, a clear whiskey can be just as smooth and refined as a darker, richer whiskey. The color of a spirit can be misleading for several reasons: 1️⃣ Some spirits have caramel coloring added to achieve a certain look. This doesn’t affect taste or quality, but it can influence your perception. 2️⃣ Filtration can remove color from a spirit. For example, many aged spirits are filtered to appear clear, so a lack of color doesn’t mean they lack complexity. 3️⃣ While aging in oak barrels can add color, spirits can also be aged in stainless steel or used barrels, resulting in a lighter hue. The color doesn’t always reflect the spirit’s maturity or flavor depth. The true measure of quality in a spirit lies in its taste, aroma, and texture. A well-crafted spirit will have a balanced profile, with a harmonious blend of flavors and a pleasing mouthfeel.\ Have you been surprised by the taste of a spirit despite its color? Share your experiences in the comments and follow me for more insights. Cheers! #sonalholland #masterofwine #spiritscolor #spiritsquality #whisky #whiskey #whiskeytips #whiskyexpert 

31

2 Komen

Uncover the intricate dynamics behind South Korea's highball drinkers – from their diverse flavour preferences to the venues they frequent. Discover why highballs are outshining cocktails and how beverage brands can capitalize on this trend. Gain exclusive insights into key categories, premier venues, and actionable strategies to dominate the highball market. Explore Client Solutions Director Jaepil Sohn's exclusive insights to grasp the nuanced factors driving the popularity of highball drinks in South Korea's On Premise sector. Position your brand for unparalleled success by leveraging these invaluable insights: https://lnkd.in/eSUs73NP #CGAbyNIQ #onpremise #highballdrinks #southkorea #korea #beverageindustry #consumerinsights #cocktails #consumertrends

13

Time for Tequila but but will it be Going Going Gone for Gin ! Tequila and Gin, two equally deserving beverages, have ascended to become the top two contenders in their respective categories based on global volumes. While both categories exhibit growth in a somewhat indistinguishable manner, they vary significantly in their trajectories. The data suggests that Tequila might experience a more rapid surge compared to Gin, and one cannot ignore the factors contributing to this trend. Gin has established a presence in various countries and markets, exerting a significant influence on global sales, primarily in the UK and Spain. However, for brands to flourish and establish a strong foundation in the industry, it is essential to invest in critical markets such as the US that have lower profit margins but a promising outlook. The expansion of agave spirit volumes into other crucial markets can only happen when demand from the US reaches a halt. What distinguishes their paths to success is their reliance on different factors that directly affect sales. For instance, gin is driven by specific consumer preferences and maintains its categories and flavours without much experimentation while tequila offers consumers a diverse array of product types, including aged spirits. A majority of gin products remain un-aged and depend on innovation and various ingredients to convince consumers to make a purchase. This limitation suggests that future industry entrants should focus on creating a well-invented, creative range of products that cater to a diverse consumer base. Additionally, tequila's status as an aged spirit results in higher prices. Notably, with the US market's dominant role and tequila's prevalence, prices are influenced, pushing the agave spirit into the premium and ultra-premium price range. However, gin justifies its pricing by highlighting the need for aging to compete with high-end spirits. Over time, Tequila has evolved into a high-end sipping drink at sophisticated gatherings, associated with a polished and glamorous character that positions it as a highly regarded beverage. One significant distinction is that tequila's authenticity and production processes are not easily validated, giving it a sense of preserved luxury. In contrast, gin attracts attention due to its locally sourced ingredients and meticulous craftsmanship, but it can be produced anywhere globally, which diminishes its "special" element. It is evident that tequila will continue to outstrip gin in terms of growth nevertheless, tequila companies should diversify their presence by expanding into markets like the US and Mexico to generate momentum, while gin-based brands should prioritise investment in strategies and elements that make gin exceptional and distinguish it in the market. Suntory Global Spirits Gin Punch DIAGEO India Bacardi Glenfiddich

23

2 Komen

The time has come for premium rum to take its fair share of market in Europe. Provenance, relevence, consumer engagement/experience and smart multichannel route to market are the prerequisite for success. Glad to see a category which is close to my heart growing in Europe beyond the traditional core markets of France, UK and Germany… #rum #spiritmarket #premiumisation #europe #rumfamily https://lnkd.in/gb7yYK6V

31

Following my reflections on community, we also face some challenges on bring all brewers into the fold and localize craft while staying true to the culture of craft. Bars like Saigon Craft and BiaCraft face a challenge: filling their impressive tap lists with truly exceptional beers. This isn’t just a supply issue—it’s a call for brewers to master their craft. Craft beer is not about flooding the market with offerings; it’s about ensuring every beer poured is a testament to skill, creativity, and dedication. In Vietnam’s craft beer scene, there’s a real danger when new brewers enter the market without a deep understanding of the craft or the culture. When brewers don’t engage with experienced professionals or take the time to perfect their recipes, subpar beers enter the market, and that risks damaging the reputation of craft beer as a whole. A poor first impression can turn potential craft beer fans away entirely. Craft beer isn’t just another product on the shelf; it’s an experience, a celebration of craftsmanship, passion, and innovation. When customers encounter a beer that doesn’t meet those standards, it doesn’t just harm the brewer—it affects all of us in the industry. We must work together to uphold the reputation and integrity of craft beer in Vietnam. This is why I always encourage Vietnamese brewers to start small and focus on quality. Take the time to refine your techniques, and don’t hesitate to reach out to the brewing community for guidance. Craft beer thrives on collaboration. The best beers come from a culture of shared learning, where brewers challenge each other to improve while supporting each other’s growth. Imagine a future where every tap in Vietnam is filled with exceptional, world-class beer brewed right here. This vision is possible, but it starts with prioritizing quality over quantity. By working together and holding ourselves to the highest standards, we can elevate Vietnam’s craft beer scene to its fullest potential. To those entering the craft beer scene, I say this: reach out, ask questions, and embrace the culture. Craft beer is a journey, not a sprint, and every step taken with care contributes to the growth of our community. A thriving, diverse craft beer culture in Vietnam is within our reach, but only if we commit to excellence. What do you think is the most important factor in shaping Vietnam’s craft beer future? Let’s discuss. #CraftBeer #VietnamCraftBeer #QualityOverQuantity #BrewingInnovation #BeerCommunity #CraftBrewing #BeerLovers #BrewerLife #AsianCraftBeer

38

12 Komen

Asahi Group Holdings plans to sell its struggling restaurant business, Nadaman, to a Japanese peer as the country's biggest brewer looks to exit the segment to focus on alcoholic and other beverages. Asahi, since early 2023, has been intending to exit its restaurant operations as part of its shift to its core alcohol and beverage segment. The brewing giant is looking to sell the business for an undisclosed sum. An agreement had been signed between the parties in July and the transaction is expected to be completed on September 1. Japanese food services firm Onodera Group, which runs the Ginza Onodera chain locally, in the US and China, will takeover Nadaman, Reuters reported. #MergersAcquisitionsDivestitures #Restaurant #FoodandBeverages

11

Tequila Trends - US & Beyond ! Recent trends have shown that the premium tequila boom across the US has slowly declined but has turned into substantial growth. The United States had been witnessing an era of growth for premium tequila brands however, today, other brands within the lower price segments are growing rapidly at a similar rate. The US had only seen volume growth in double digits but this time there is an increase by only 4% in the first of 2023 as compared to that of 2022. There is an overall upgradation in terms of the quality across all price tiers of tequila depicting a trade down of the product. Influx of new brands has led to an increase in competition making it difficult for brands to stand out amongst others. Moreover, even celebrity-backed brands have a saturation point and have normal sales and volumes since there are a huge number of brands coming up. Contrary to how vodka is seen as un-aged, tequila helps customers see more opportunities to trade up with better quality coming even in the lower segments. Tequila presents with this trend, a similar trend that followed with vodka category post 2008. However, the premium tequila market has grown so much in recent times that it's even more difficult to expand the same in the US. It is anticipated that better economic conditions will help make the high-end tequila category make a comeback. Mexico has witnessed a sharp decline of 4% in tequila volumes in the first half of 2023 meanwhile, agave based spirits are taking a different road in multiple markets excluding North America. The category expansion happened across the world's top 20 beverage alcohol markets including the US and recorded a substantial growth in number of them. Some of the factors that caused the same were the increase in tequila preference as a quality product in Spain and the onset of on-trade in China. The UK experienced a rather crucial change that has turned the whole image of agave across the country wherein there is an increase in the premium category of tequila while the traditional tequila-shot consumption faces a low. Asia and other places outside the US have boosted agave’s growth due to their increasing appreciation for unique cocktails, experiences and Mexican culture. The coming back of duty-free stations post pandemic have also helped in the revival of tourism as well as on-trade across these countries. The nine ROW markets - the UK, Spain, Australia, China, France, Japan, Italy, Germany and Poland and their sales compared to that of the US and Mexico depict luxury tequila’s potential in terms of profitability due to the fact that the US and Mexico sell 25 times more than what the ROW markets do. If brand owners continue to provide what they’re selling - good quality and larger quantity in the higher price category, agave owners will see a remarkable difference. Tequila Patrón Mæxico Deko Cocktails

7

On August 14th, for the first time in Vietnam, the Vietnam Best Sommelier Competition was held, following the standards of the World ASI Sommelier competition. The winner, none other than Trần Thị Dung Trâm, is a petite yet remarkably determined young woman. The sommelier profession is challenging, and for a female sommelier, the obstacles are even greater, as the job is often seen as suited for men due to its demands for physical strength and endurance. But these challenges have not deterred Trâm’s passion. “With all the difficulties in the sommelier profession, why did you choose to pursue it?” I asked out of curiosity. “If it’s hard, and no one has done it, then I have more opportunities, and I become a rarity. There are many chefs and servers, but a sommelier is not easy to find,” Trâm replied, with sharp insight. Indeed, Vietnam is becoming a global economic hotspot, attracting substantial foreign investment. The F&B industry is at a golden point, especially after Michelin entered Vietnam in 2023, opening many opportunities for fine dining, and thus for sommeliers. Trâm loves her job because it allows her to be creative, choosing wines and foods to create unexpected experiences for her customers. These are the moments of happiness that Trâm enjoys every day. Read the full article on my blog https://lnkd.in/gfcQVUwU

7

Anyone who's selling wine or trying to sell wine to China, should pay attention to upcoming consumption tax reform. Ahead of Third Plenum meeting next week, discussions on consumption tax reform has intensified. Its impacts on wine are closely followed by wine merchants as the tax reform proposal might mean that imported wines will get much more expensive for consumers. We talked to different importers and retailers on the ground to get their reactions on the proposed reform. Some welcomed the change, as the burden will be passed from importers to retailers/consumers when sales are made, while others are apprehensive, fearing it might discourage sales when demand is already soft. Full report and analysis here. #tax #consumption #reform #wine #importedwine #retailer #importer #trade #winemerchant #news #analysis #market #china

45

5 Komen

🍇🍷 Exploring the nuances of winemaking with a focus on sustainability and innovation! 🌿✨ Just came across an enlightening video discussing SO2 and alternatives in winemaking. From traditional practices to cutting-edge solutions, it's crucial for us to delve into sustainable methods that not only preserve the quality of the wine but also minimize environmental impact. 🌍🍇 Let's continue our journey towards more eco-friendly and delicious wines! 🎥🍷 #SustainableWine #InnovativeWinemaking #EnvironmentalStewardship

9

April 15, 2024 Drinks Business article by Patrick Schmitt "Why a fine de-alcoholised wine starts with an ‘undrinkable’ base" Schmitt's article describes the reasoning why French Non-Alc (NA) sparkling wine company French Bloom came out with the highest priced NA wine at £109,00 for their vintage-dated sparkling wine called La Cuvée which is meant to have the taste profile of a 10-15yr old aged Champagne/sparkling wine. Schmitt interviews French Bloom winemaker, Rodolphe Frèrejean-Taittinger and Tattinger mentions some of the production methods used, why they used Chardonnay from Languedoc and took over four years of R&D to perfect their "aged" sparkling La Cuvée. They produced 17,000 bottles (~1417 CEs) and targeting upscale retailers like Harrod's and higher-end restaurants. I'm curious if they will succeed in establishing an ultra-premium NA wine sector as their shelf price is about 4-5 times more than what the usual NA wine consumer will pay for a NA wine in most markets. From a business standpoint, I hope in the coming years we do see higher price points thriving in the NA wine space, and just worried that French Bloom might be a bit too early with coming out with this based on what we/ProofNoMore are seeing with NA wines in NYC where we do distribution to many high-end/fine dining/Michelin starred restaurants & some of the top cocktail bars where typical by the glass pricing of NA wines is $12-16 so a max wholesale of about $12-13 per bottle. I personally can see $20-28 /bottle if the quality is there and where an educated wine person can identify the grape & region so one could distinguish a Pinot Noir NA wine and identify it was from Burgundy, Sonoma, Yarra Valley, Willamette Valley etc... Hope we can get to this point with NA wines where the sense of terroir is apparent.

3

China’s wine consumption and production - A long-term view on the rise and dramatic fall of China's wine consumption and production. China's wine consumption peaked in 2017 and fell by 65%. China's wine production peaked in 2012 (!) and fell by 80% #wine #wineproduction #wineconsumption #china #asia #chinesemarket

32

10 Komen

Exploring the Dynamics and Strategies of New Zealand's Wine Industry in the UK Market. New Zealand's wine industry has experienced remarkable growth, propelled by its distinctive Sauvignon Blancs and diverse terroirs. The United Kingdom stands out as a pivotal market for New Zealand wine producers, offering a lucrative market with a rich appreciation for quality wines. We explore the current state of the New Zealand wine industry, focusing on its strategic importance to the UK market, and examine the strategies employed by New Zealand wine producers to thrive in this competitive landscape. The UK Market: A Strategic Hub for New Zealand Wine Producers The United Kingdom is one of the largest importers of New Zealand wines, with over 42 million liters imported in 2021. The average sales price per liter of still wine is £8.88 in the UK market; however, wines from New Zealand are priced at an average of £11.10 per liter, representing a £2.22 premium. Premiumization is one sure strategy. A representative of one contract winemaking collective in Marlborough said, “We’ve got to play in the £15 space and above, in some respects, and so we’ve got to tell the brand story. We’ve got to premiumise and have a point of difference. That’s where all those single vineyard pieces come from and how we’re making wines, what we’re making, the style we’re making. The US wines are $30 a bottle. So why can’t we do that [in the UK]?”  The UK's historical ties with New Zealand, coupled with its status as a global hub for wine trade, make it an attractive market for New Zealand wine producers. Furthermore, the UK's diverse and multicultural population provides a receptive audience for New Zealand wines, with consumers eager to explore new and exciting varieties. Check out the latest on London Wine Competition here. London Competitions New Zealand Trade and Enterprise New Zealand Wine #NZwine Babich Wines Ltd Craggy Range Vineyards Ltd Destiny Bay Wines Felton Road Wines Limited Dry River Wines Limited Seifried Estate Greer Williams Anna Seifried Babich Wines Ltd NZ Wineries New Zealand Wine Navigator Hawke's Bay Wine Fabian Yukich Chrissy Powlesland New Zealand Trade and Enterprise Wine Marlborough Ltd

27

Sparkling wines that are not champagne While Champagne holds a special place in the world of sparkling wines, there are also many exciting alternatives to explore. Let’s dive into three delightful sparkling wines that aren’t Champagne and discover how you can enjoy them in your own way. 1️⃣ Prosecco, from Italy's Veneto and Friuli regions, is a light, fruity sparkling wine with apple, pear, and melon notes. It’s perfect as a welcome wine or with light appetizers. Try Santa Margherita USA Prosecco for a refreshing option. 2️⃣ Cava, from Spain's Penedès region in Catalonia, is made using the traditional method like Champagne but offers a richer, fruitier taste due to Spain's warmer climate. It’s crisp with citrus, peach, and apple flavors, often with a touch of toastiness. Perfect for brunch or paired with tapas like Serrano ham or manchego cheese. A popular choice is Codorníu Cava. 3️⃣ Deutscher Sekt, a sparkling wine from Germany, offers aromas of green apple, banana, elderflower, and citrus. It's approachable, even for wine beginners. Ideal with subtly spicy Asian or Indian dishes like Thai or Goan prawn curry. A great choice is Henkell Sekt, with lower alcohol (11.5%), perfect for parties. What’s your favourite type of sparkling wine? Share in the comments and follow me for more wine tips. Cheers! VBev #sonalholland #masterofwine #SparklingWine #Prosecco #Cava #Sekt #Bubbly #WineLovers #WinePairing #winerecommendations

110

2 Komen