5. Reaching The End Consumer In A Free Market

Question 1

Within a free market there are 2 sectors, what are they?

Answer 1

Retail & hospitality

Question 2

What 8 outlets can a producer chose to sell their wine at in the retail sector?

Answer 2

Supermarkets
Deep discounters
Convince retailers
Specialist wine retailers
Hybrids
Online retailing
Global travel retail
Wine investment companies

Question 3

What 5 outlets can a producer chose to sell their wine at in the hospitality sector?

Answer 3

Specialist wine bars
General bars
Non destination restaurants 
Casual dining 
Fine dining

Question 4

What is a supermarket?

Answer 4

A important retail outlets for groceries and household goods, allowing consumers to buy everything they need under one roof

Question 5

What are some examples of supermarkets?

Answer 5

Wal-Mart - US
Woolworths - South Africa
Carrefour - France
Tesco - UK

Question 6

What is a deep discounter?

Answer 6

They share many of the features of a supermarket but sells at lower prices

Question 7

What can deep discounters keep their prices so low?

Answer 7

Take lower profit
Shops are basic - in fit out & location
Product range is limited 
Rarely stock major brands
Often buy directly from producers

Question 8

What is a convenience retailer?

Answer 8

Usually located in town centres or out of town shopping areas, they are found closer to where people live and are often open for longer (sometimes 24 hours)

Question 9

What is the definition of a specialist-wine retailer?

Answer 9

A tea tailor that specialises in wine, sometimes combined with premium spirits and beer. Can also sell artisan products (cheese etc)

Question 10

What are some examples of specialist wine retailers?

Answer 10

Les cave de Pyrene - UK
La cave des papillae - Paris
Berry Bros & Rudd - UK
Hedonism - UK
Millesima - Bordeaux 
Odd bins - UK
Majestic - UK
O’Brien’s - Republic of Ireland

Question 11

What is a hybrid retailer in the sense of wine retail?

Answer 11

They also have a bar area where customers can drink the wine that they buy (at a slightly higher price).

Question 12

What is online retailing?

Answer 12

Many retailers from supermarkets to specialist wine shops offer online retailing in parallel with sales through their stores. There is an increasing number of online only retailers. Where consumers can shop from the comfort of their own homes.

Question 13

What is a global travel retail outlet?

Answer 13

These are located in in places where customers are travelling from one country to another. Most are found in airports but there are some at sea points and well as international railway stations. It is popular due the nation taxes not being chargeable on goods sold for personal use

Question 14

What does a wine investment company do?

Answer 14

They specialise in sourcing and selling wine for investment. Investment grade wines are the most sought after and expensive wines in the world.

Question 15

What are some examples of wine investment companies?

Answer 15

Farr Vintners 
Fine & Rare
Berry Bros & Rudd
Amphora Portfolio Management 
Cult Wines

Question 16

What is a specialist wine bar?

Answer 16

Bars the specialise in selling wine. They are usually independently owned, individual bars or form part of a small chain. In many ways similar to a specialist wine retailer.

Question 17

What are some examples of specialist wine bars?

Answer 17

WC - Clapham, London
Nobel Rot - London 
Davy’s - UK
Gordan’s Wine Bar - London 
Balls Brothers - UK

Question 18

General Bars

Answer 18

Less of a focus on wines, with wine just being one of the drinks on offer. The list could be very limited usually produced by larger companies, well known grapes and regions.

Question 19

What is the purpose of a non destination restaurant?

Answer 19

The meal is not the main focus of the lunchtime or evening - customers may be going to the theatre or just an after work meal. Small wine list, usually inexpensive or mid priced.

Question 20

What are some examples of non-destination restaurants?

Answer 20

Yo-sushi

Wagamama

Question 21

What is a casual dining restaurant?

Answer 21

Falls in between non-destination and fine dining Can be anything from quick meals to longer meals. Usually independently owned, one restaurant or a small chain. Offer high quality food and wine but without the formality of fine dining.

Question 22

What are some examples of casual dining restaurants?

Answer 22

The Dairy - Clapham
The Joint - Tooting
Sea, Garden & Grill - Tooting

Question 23

What is a fine dining restaurant?

Answer 23

These are very much destination restaurants, where the experience, the meal, the drinks are the main reason to visit. Most of these will have have one or more a Michelin stars.

Question 24

What are some examples of fine dining restaurants?

Answer 24

The Fat Duck - Brey
Le Gavroche - London
El. Ellen da Cam Roca - Spain