D2: Reaching the end consumer within a Free Market- Hospitality (5) Flashcards
The average price of wine sold in the hospitality sector is often considerably higher than in the retail sector.
UK: Hospitality sales account for only 20% of wine sales by volume, they represent nearly 40% of wine sales by value
Two types of bars: specialis wine bars and general bars
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Specialis wine bars:
1) theyre specialised in selling wine (although they may sell other alcoholic and non alcoholic drinks), these are usually independently owned, individual bars or form a part of a small chain
* * in many wais they are very similar to specialist wine retailers, in fact there are an increasing number of outlets that sell wine both for consumption on and off the premises (see hybrids)
Like specialist wine retailers, these bars tend to have knowledgeable, well trained staff who can hand-sell wine to customers.
They are seeking for wines from less known wineregions and varieties
** aiming at high- involvement consumers who are willing to pay above average prices for very good and outstanding quality wines
- this is good for rhe producers of these wines an ideal route to market for these producers
These specialist bars do not usually offer big-name wine brands (except perhaps when it comes to fortified and sparkling wines) because they cannot compete on price with the larger bar chains which have stronger purchasing power.
They tend therefore to stock wines from smaller producers
There are some larger Chains of winebars like Davy’s in the UK:
1) they sell sufficiently large volumes of their most popular wine to have their own-label wines
2) these are usually high- quality wines and woold be a good option for a medium-sized producer
** Davy’s Have several wine bars, restaurants and shops
General bars:
1) less wine focus
2) the wine will be from well known regions and grape varieties as well from big producers
3) they tend to be inexpensive or mid-priced wines
4) chosen to appeal to a wide range of people and could be drunk with or without food
5) in wine producing countries these are likely to be dominated by local wines
Some of the wines in the general bars you also find in retail outlets
However with the bars mark-up, these costs considerably more than in shops and so, to avoid consumers making direct price-comparisons
** some producers make brands which are sold only to the hospitality sector
Some bars have a specific theme (american sports bars, irish bars or british pubs)
Irish-themed bars throughout the world tend to promote the beer Guiness With having much less prominence (onderscheiding)
Three types of restaurants:
1) Non-Destination Restaurants
2) Casual Dining
3) Fine Dining
Non Destination Restaurants:
1) Not making the meal the main focus of the lunch time or evening
* ex: they could be going on to the theatre or cinema or having a quick meal after work
2) Wines: need to appeal to a wide range of consumers and so will tend to be from well-known graregions and grape varieties and may be from major brands
* likely to be from inexpensive or mid priced
* in wine producing countries the range will often be dominated by local wines
3) many non destination restaurants have a country-based theme (eg italian, spanish or lebanese) in which case the wines would tend to be heavily drawn from the relevant country
Casual Dining:
1) this category falls between non-destination and fine dining restaurants
* from quick meals to longer meals
2) these restaurants tend to be independently owned, often being individual businesses or part of a small chain
3) they offer a very high quality of food and wine but without the formality of ‘fine dining’
* so wines will be more in the mid priced to premium priced range
Fine Dining:
1) destination restaurants (the experience and meal are the reasons for the visit
2) many will have one or more michelin stars or have a prestigious head chef
- The Fat Duck UK (Owner Heston Blumenthal, chef Edward Cooke) **
- Le Bernardine NY (Eric RIpert Chef and Owner) **
- El Sellar de Can Rocca Girona (Broeders, Joan, Josep en Jordi Rocca) ***
3) Food ad wine pairing are important in fine dining restaurants
* trained sommelier and highly skilled staff on hand to make recommendations to sustomers
4) many such restaurants offers tasting menus which offers food and wine pairing
5) The wines must be of the highest quality and are often super-premium wines available in very limited quantities
* it can be a great source of pride for a producer to have its wines in these restaurants
* * restaurants like these often use brokers to seek out hard to find wines that they want to feature on their list
