March 7, 2002
Consultation Objectives
The PSA Group will advise on:
Who is VSP?
Chilean consumers are only little quality sensitive as opposed to importing countries
VSP Domestic
Third largest wine producer in the country Consumers are very price sensitive
Their price goal is to be lower than their competitor not to have the lowest price
They are priced 5% below competitors Most domestic wine is produced by grapes from other vineyards
VSP Export
Competition
Concha y Toro
Founded in 1883 Largest Winery in Latin America First winery to be listed on NYSE Found in 6 continents & 80 countries 25% Market Share
Santa Rita
Founded in 1880 21.1% Market Share Wide range of distributors Found in 51 countries
Most important wineries worldwide Winery Penfolds Concha y Toro Robert Mondavi Antinori Torres
Chateau Lafite Rothschild
Region
Australia/New Zealand
Decreasing Costs
Domestic
Export
Increasing Productivity
SIG Combibloc
Different Size Packaging Improved Efficiency Optimized Production
Strengths
Matias Elton Root Stock from France Full Line of Wines Parent Company
Weaknesses
Excessive Exporting Cost Bulk Wine Matias Elton Marketing Website no English, difficult to navigate Domestic Wines
Quality of Domestic Wine New Packaging Increase Export Brand Awareness New Vineyards Market Share
Recommendations
Bulk Sales Marketing Better Website - E-Retailing Distribution Channel Broker Long-Term
Questions?????????