National Wine Market Shanghai ATO Report 2009 “The most important key to a succesful export strategy to China is establishing a long term commitment to building personal relationships”.
GuanxiCorp Wine Export & Representation
Why GuanxiCorp?As noted in National Wine Market ShanghaiATOReport 2009 “The most important key to a successful export strategy toChinais establishing a long term commitment to building personal relationships.U.S.agricultural exporters will be left disappointed if their only contact with Chinese counterparts is when it is time to make a sale. This is especially true in the wine sector, where active promotions and distributor relationships – the most important of relationships – can make or break a wine’s chances of success.” Establishing relationships with local distributors – building “Guanxi” will be the building blocks for a sustainable business.
Market Penetration StrategyBranding wine as a quality, sophisticated wine is an essential start. Just as in business relationships, sustained long term promotion is the best way to develop a market. GuanxiCorp executives participate in trade events around the world to identify the best suppliers and buyers. We host marketing and promotional campaigning to develop a relationship with target consumers.
Placement StrategyChinaconsumption of wine is categorized as on-trade consumption and off-trade which comprise: 51 and 49 percent, respectively, in 2008. On-trade sector consumption revolves around entertainment targets are high end hotels, restaurants and government banquets. Off trade purchase targets are gourmet specialty stores and international hypermarkets like Carrefour and others. Import wine purchases are primarily used as gifts so product packaging and presentation should adhere to Chinese culture to increase appeal.
Land of OpportunityyIn a country with rampant purchasing power Wine in China is associated with sophisticated western culture, the social elite and good health. Even with huge growth Chinas wine market is not 1.3 billion consumers but niche markets in key regions. Price sensitivity and import wariness requires the consumer base to be educated and convinced of the superiority of a wine’s origin and quality before the label hopes to compete. Once affirmed of a wine’s quality, price sensitivity gives way to brand loyalty. GuanxiCorp will be your key to successful venture into this exciting but challenging market with active promotion and sturdy supply chains paired with identifying best business partners and access points to ensure market entry success.