Epsilon Archive for Student Projects

Abstract

The aim of this study was to identify, describe and analyze the marketing communications strategies used by South African wineries to highlight the country of origin information of products exported into foreign markets. Four South African wine exporting companies participated in this study by providing information through email and telephone interviews. Results indicated that South African wineries emphasize the country of origin information in all marketing communications activities and especially through wine product attributes. The origin of wine is highlighted in packaging and labeling as a mandatory requirement in most wine importing countries. The most common label on packaging appears as ‘____South Africa’. Most wine exporters also use the country’s biodiversity information and ethical work standards to convey positive information to foreign consumers about the country’s wine industry. There was no generalization that country of origin information severely affected wines sales in foreign markets. This was in exception to the US market, where promotion activities need to be reviewed and enhanced. Furthermore, South African wine low market value was more associated with the high bulk export volumes. Participating wineries considered the country’s image abroad to be more important than their own individual brands.
South African wine exporting companies together with the country’s official wine promotion agency (WOSA) must analyze the country’s image in all aspects, re-evaluate the capacity of the country as a wine producer, and maybe regulate its bulk export volumes, which appear to negatively impact on SA wine value and perception in foreign markets. Future research can focus on how the South African wine industry can increase their brand awareness for premium wine brands in export markets. In addition, South African wine marketing approach highlighting its deep French roots and expertise in wine making can be explored to evaluate if such marketing approach can enhance the country’s premium wine brands in foreign market acceptance.