Comments on: China wine distribution: Summergate seeks investor https://www.grapewallofchina.com/2013/12/28/china-wine-distribution-summergate-seeks-investor/ Wine and the World's Biggest Market Sun, 02 Feb 2014 02:03:40 +0000 hourly 1 https://wordpress.org/?v=6.9.4 By: Ken Waldron https://www.grapewallofchina.com/2013/12/28/china-wine-distribution-summergate-seeks-investor/#comment-624612 Sun, 02 Feb 2014 02:03:40 +0000 http://www.grapewallofchina.com/?p=5363#comment-624612 s own brands or ‘private labels’”) is somehow a problem and a threat to the China wine industry is just silly & insular. It somehow implies that Summergate is not "profiteering” or hasn't been opportunistic during it journey in the China wine sector. The Summergate business model and that of the other similar (ASC, Jointek, Aussino etc) has been entirely opportunistic and profiteering and based on exploiting the ignorance of some privileged corporates. The advent of importers of "so called cheap BOB wine" has democratized the wine market in china and made it possible for a much broader market to evolve and made wine accessible to the whole population. The implication that there is inherently something wrong with BOB labels further highlights someone who is simply out of touch with the global wine market. Check out Park n Shop, Carrefours, Tesco's Dan Murphy' or Trader Joe's or Majestic. BOB is the modern wine market and to suggest otherwise is akin to saying that art can only be found in a museum. Summergate and their ilk still have a role to play in China wine sector but the model that they adopted and the channels they have sought to dominate will never again be as important in wine distribution as it was when they started. All markets evolve and do so dynamically. Adopt and adapt Ken Waldron Global marketing strategist. Wine producer, Wine exporter, Exporter of branded and BOB to china since 2003]]> The suggestion by Summergate CEO that
“rapid growth of importers (“The majority of new entrants have been opportunistic profiteers shipping cheap buyer’s own brands or ‘private labels’”)
is somehow a problem and a threat to the China wine industry is just silly & insular. It somehow implies that Summergate is not “profiteering” or hasn’t been opportunistic during it journey in the China wine sector.

The Summergate business model and that of the other similar (ASC, Jointek, Aussino etc) has been entirely opportunistic and profiteering and based on exploiting the ignorance of some privileged corporates.

The advent of importers of “so called cheap BOB wine” has democratized the wine market in china and made it possible for a much broader market to evolve and made wine accessible to the whole population.

The implication that there is inherently something wrong with BOB labels further highlights someone who is simply out of touch with the global wine market. Check out Park n Shop, Carrefours, Tesco’s Dan Murphy’ or Trader Joe’s or Majestic.

BOB is the modern wine market and to suggest otherwise is akin to saying that art can only be found in a museum.

Summergate and their ilk still have a role to play in China wine sector but the model that they adopted and the channels they have sought to dominate will never again be as important in wine distribution as it was when they started.

All markets evolve and do so dynamically.

Adopt and adapt

Ken Waldron
Global marketing strategist.
Wine producer, Wine exporter,
Exporter of branded and BOB to china since 2003

]]>