Yellow Tail was developed around the year 2000, originally marketed to export countries and became the number one imported wine to the USA by 2003.

• Yellow Tail is a brand of wine produced by Casella Wines Pvt Ltd. Casella wines is based in Australia.

The largest volume of wines imported into India are from Australia, selling an estimated 75,000 cases (30 per cent of the total) of all imported wine sales in India in 2010-11, having narrowly overtaken French wines.

Do you know…

US has third largest aggregated consumption of wine in the world.Industry: $ 20 billion Competitors: France, Italy, Spain, Chile, Australia, Argentina.Market hold: Top 8 companies produce more than 75% of the wine in US and other 1600 wineries produce the remaining 25%

Casella Wines from Australia created a wine whose strategic profilebroke from the competition.

Within three month Casella Wines’ average sales were tracking at$ 4.5 million and this was surprising.

7 Principle factors for a wine industry

Price of bottle

Packaging and labelling

Consumer awareness

Aging quality

Prestige of vineyard

Complexity of wine

Diverse range of wine

Factors affecting

WHAT IS BLUE OCEAN STRATEGY?

• CASELLA WINES must follow Blue Ocean Strategy to make the competition irrelevent in the Indian Market

For a successful brand creation….IN INDIA

BLUE OCEAN STRATEGY

Imagine a market universe composed of two sorts of ocean.

Blue Ocean Red Ocean

Red Ocean represent all the industries in existence today. This is known as Market SpaceIndustry boundaries are defined and accepted

Competitive rules of the game are known

Companies tries to outperform their rivals to grab a greater share of existing demand

As the market space gets crowded, prospects for profits and growth are reduced

Product become commodities, and cut-throat competition turns the red ocean bloody.

Blue Ocean denote all the industries not in existence today. This is the Unknown Market Space.

Blue Oceans are defined by untapped market space, demand creation, and the opportunity for highly profitable growth

Competition is irrelevant

Rules of game are waiting to be set

Blue Ocean V/s Red Ocean

Study Research claimed that…

Business Launch

Revenue impact

Profit Impact

0% 10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Approach to VALUE INNOVATION

Created when a company lowers costs while increasing the companies value proposition to its buyers

Value innovation is achieved by: Reducing factors the industry competes on Increasing buyer value by creating elements the industry has not yet

offered

CASELLA WINES

Enological Terminology, aging quality, above the line –marketing

Wine complexity, Wine Range, Vineyard Prestige

Price Versus Budget Vines

Easy drinking, Ease of Selection, fun and adventure

ACTION

ELIMINATE

REDUCE

RAISE

CREATE

What actions must it take for Indian Market?

Speculations

To work hard on:Acceptability factorPolitical FactorsExternal FactorsSupport Factor:

Trend for wine For non-alcholic drinkers Uncontested Market

They will be good at:Climatographic ConditionsValue InnovationWine Legacy

Conclusion

Opportunities are availableExploration NeededCreation of Uncontested MarketCreation of Blue Ocean Strategy

Campus Overview

907/A Uvarshad, GandhinagarHighway, Ahmedabad – 382422.

Ahmedabad Kolkata

Infinity Benchmark, 10th Floor, Plot G1,Block EP & GP, Sector V, Salt-Lake, Kolkata – 700091.

Mumbai

Goldline Business Centre Linkway Estate, Next to Chincholi Fire Brigade, Malad (West), Mumbai – 400 064.

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