Share

Sommeliers Choice Awards 2023 Winners

Small winemakers see strong growth

Small winemaking businesses generated $1 billion in wine sales revenue in 2015–16, an average increase of 12 per cent

11/01/2017

While retailers and wholesalers generated 47 per cent of income, cellar doors have become increasingly important sales channels, accounting for 27 per cent of revenue.

With food and wine tourism on the rise, many small wineries are now also attracting consumers to their region via on-site restaurants, cafes, tours and boutique accommodation, in addition to the traditional cellar door.

Garry Sweeney, owner of Mt Lofty Ranges Vineyard in the Adelaide Hills, has noticed these trends in his business, which has a strong cellar door focus.

‘I’ve definitely seen a rise and increased diversity in visitors from interstate and overseas in the past year.

‘I believe it’s important to offer visitors more than just pouring wine, so you give them a ‘sense of place’ to associate with the wine,’ he said.

The survey also showed that on average, production was up 7 per cent, with the highest average growth in wineries that produce 70,001–170,000 litres (8000–20,000 cases) (up 11 per cent). Only wineries with an estimated production of 350,000 litres or less (40,000 cases) were included in the survey.

Wineries that produce 35,001–70,000 litres (approximately 4000–8000 cases) saw the highest average revenue growth (up 16 per cent).

Australia’s small winemakers rely heavily on the domestic market, with 88 per cent of wine sold locally. For wineries producing more than 170,000 litres (20,000–40,000 cases), exports accounted for 27 per cent of sales.

Read more at source: Wine Australia 

More news