French connection opens doors for SA in the USA

Thursday, 5 March, 2015
Doug Carew
New York wine importer and marketer Cape Classics believes that expanding its portfolio to include French wines has opened new doors for South African wines in the USA.

Cape Classics, co-founded by South African Andre Shearer, has been importing exclusively South African wines to the US for over 20 years. But took the decision 18 months ago to launch its first French wines in the US, with a portfolio now including producers from the Loire and Rhône regions including Domaine Vincent Careme, Clos du Gaimont, Domaine Grosbois, Domaine Paul Buisse and Pierre Dupond La Renjardière.

“The decision to move beyond exclusively representing South African wines was a hard one. But our new French portfolio of wines from the Loire and the Rhone has allowed us entry to a vastly broader customer base, which is unexpectedly proving very positive for our South African portfolio. Being able to offer our customers wines from different global regions gives us a fresh perspective in a market where the South African category has not seen the dynamic growth which was expected,” said Andre Shearer, chairman of Cape Classics.

Cape Classics, which has about a 30% share of the South African market in the US, aims to further expand its French portfolio. In a recent interview with the New York based Shanken News Daily, which covers the global spirits, wine and beer business, Shearer explained that Cape Classics was not interested in representing wines from other parts of the New World, like Australia. “Europe seems to move more in rhythm with our South African heartbeat,” Shearer told the publication, which is produced by the publishers of Wine Spectator, Whisky Advocate and Cigar Aficionado.

Besides representing top end South African wines from the likes of De Toren, Kanonkop, Buitenverwachting, DeMorgenzon, Raats Family Wines, Lourensford, Morgenster, Glenelly and Thelema, Cape Classics also produces its own wines under the Indaba and Jam Jar labels.

Shanken News Daily reported that the Jam Jar Sweet Shiraz accounted for about 8% of the $50 million sweet red segment in the US and was growing 20% annually in Nielsen channels. Regarding the Indaba brand, the publication said the brand’s Chardonnay from South African accounted for most of its 100 000 cases in the US and quoted Shearer saying this varietal was the key to South African growth in the US. “Shanken News Daily is the CNN of the wine industry in the USA, so this is a very good press boost,” says Shearer. “I have had calls into my US voicemail from major wine countries offering sponsored buying trips out of the blue!” About Cape Classics: Cape Classics was co-founded by Andre Shearer in 1992 with a mission of bringing the crème de la crème of South Africa's then-fledgling boutique wine industry to the American market.

In 2013, Cape Classics expanded its portfolio to include wines from France, and now proudly represents 22 of the finest estates and labels from the regions. Cape Classics’ mission is to provide a unique range of selections that are exciting and delicious and that offer outstanding value.