Nederburg sets out its global credentials
of its market-leading Nederburg brand after a significant
investment in brand support, production and logistics. Germany,
Ireland and Canada top the list of major markets for the brand, but
the UK and US are growing fast.
Nederburg, which claims to be South Africa's single largest wine brand, continues to go from strength to strength on the home market and is now targeting substantial international growth as well, according to the brand's owner, Distell.
The brand has recently seen a sharp rise in export sales, helped by the repositioning of the brand as 'global lifestyle' product and a major expansion and upgrade of production facilities.
Distell is hoping that Nederburg will achieve the same level of international success as its main stable mate, the liqueur brand Amarula Cream, which already has a substantial international presence.
In Germany, Nederburg's largest market outside South Africa, sales exceed 1 million litres annually, and exports to this market grew 59 per cent for the 12 months to 30 May this year, the company said.
These figures do not yet include a major new listing achieved with the Rewe Group, one of Germany's biggest retailers with more than 1 500 outlets nationwide.
Other key markets for the brand include Ireland, where sales rose 39 per cent, and Canada, which posted an increase of 69 per cent. "Newer markets such as the UK and US have also reported extremely gratifying growth," said Jeff Gradwell, Nederburg's international brand manager. "Sales to the UK, where we have just recently begun focusing on the retail sector, have more than trebled, and in the US they have almost doubled." The multi-pronged strategy to develop Nederburg into a global brand has included enhanced viticultural techniques, improved sourcing of grapes, increased cellar capacity, the appointment of a dynamic winemaking team with extensive international exposure, and the strengthening of sales networks in export markets.
In addition, logistics have been substantially advanced, enabling Nederburg to ship major orders far more rapidly than in the past. "Just last month we sent a 180,000 litre consignment to fulfil a single order," said Gradwell.
The international drive has also been facilitated by a revamp for the wine's packaging, which is now said to have a contemporary, fashionable look, with a striking new label and a strong alignment with fashion and design.
Gradwell said the growth Nederburg had experienced in its key markets defied the slowdown experienced by some international players.
"Markets have been very receptive to the new image, which has affirmed the brand's cosmopolitan positioning. With wine increasingly becoming a lifestyle product no longer confined to a small group of specialists, it is attracting the interest of a far broader spectrum of consumers.
"The brand has also been tiered into three distinctive categories to address different market segments so that as people's exposure to wine increases they can graduate from one level to the next."
He added that production had been restructured to focus simultaneously on limited edition, hand-made wines for the connoisseur, as well as those produced in greater volumes.
