New Zealand wine is recognised as a premium product and is highly regarded by UK consumers. It is now the second largest category in the £8 - £9 price bracket, with a market share of more than 20 percent.
Consumer demand for New Zealand wine is predominantly for sauvignon blanc, however major chains are encouraging sampling of other New Zealand wine varietals. New Zealand Winegrowers also regularly stages regional tastings showing the differences within the country of grape varietals.
Although the UK is New Zealand’s second largest export market, New Zealand wines represent only 4.4 percent of the total UK wine market by value (3.2 percent by volume). The top three suppliers to the UK wine market are Australia, France and Italy.
Brands with the majority market share by volume in the UK wine industry are Constellation Brands (8.3 percent), Pernod Ricard (4.6 percent), Diageo (4 percent), E&J Gallo Winery (3.7 percent), and Foster’s Group (2.8 percent).
Getting your product into market
All but the largest exporters supply the market through agents and distributors. There are now more than 80 such arrangements in place for New Zealand wine companies supplying the UK. Most of the major wine companies have their own manager based in the UK so as to build their understanding of the consumer and their relationship with the trade.
Tips include:
- visit in January and February for the annual New Zealand Trade Tastings in London and Dublin; in May to link up with the London International Wine Trade Fair or in March to coincide with the internationally targeted ProWein trade show (held in Germany).
- join the New Zealand Winegrowers in the United Kingdom to get greater exposure in a short space of time.
Regulations
Importers need a licence if they want to import more than 3000 litres of either red or white wine from outside the European Union (EU).
There are strict labelling requirements for table wines.
Opportunities
- Matching wines with foods is a popular route to market premium wines in the United Kingdom.
- The United Kingdom can be a springboard for companies seeking to enter the Irish market, which is itself one of New Zealand’s top 10 wine markets.
