Issue 26   April – June 2005

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That unique selling point

Looking at progress made with the idea of a Cape Blend, Mike Ratcliffe thinks it a vital development –and pinotage an essential part of it

  SOME INTERNATIONAL OPINIONS

Cape Blend, in hindsight, seems to be a ‘natural’ – using the Cape’s own wine, pinotage, which provides lovely fruit and texture, to blend with historically fine reds such as cabernet, which gives structure and length. These blends are a good addition to the Cape’s arsenal of top red wines.
Zelma Long, international winemaker

 ‘South Africa has to find for a difference. We have to look for a difference. The world has lots of cab sauv and merlot, but nobody else has pinotage. We need to compete differently, but not at the same level. Normal consumers like diversity. We must search for our difference!’
Michel Rolland, international wine consultant, Bordeaux

New Zealand put itself on the map by getting behind one grape. South Africa has the same opportunity to distinguish itself with the Cape Blends and the pinotage grape.
Bartholomew Broadbent, US wine importer and commentator

The toughest proposition that South Africa is going to have to face is marketing! The average New Yorker has over 10,000 choices every time he decides to buy a bottle of wine. South Africa needs to acknowledge the imperative to differentiate itself.
Frank Prial, New York Times winewriter

   

Cape Blends have been the subject of much discussion and debate during the past few years. This debate has been constructive and has crystallised producer and industry perceptions to the point that positive strategies surrounding this matter are now being implemented. Providing clarity on the subject to an industry in need of answers is an immediate priority. It has now become clear that Cape Blends are based on both sound marketing as well as continued excellence in the evolution of the South African wine industry. Marketing goes with with viticulture and winemaking to make the tripod supporting the wine industry.

A crucial question for debate is: is it wise (or necessary) to provide guidelines or prescribe a recipe for a ‘Cape Blend’ to an entire industry? Clearly this is a minefield of opinion and must be handled carefully, taking account of everyone’s needs. The simple thesis behind the idea of a Cape Blend is that it should be region-specific. That means, by definition, that it should be unique and distinctive. Origin must be clear, not only through taste, but also from a marketing perspective.

It has always been clear that it would be foolhardy to attempt to artificially define the components of a Cape Blend’. Too much regulation denies the winemaker’s creativity, as well as the varying effects of climate and terroir. Cape Blends should reflect the region they come from and the winemakers’ skill. They should be identifiable by their unique composition. Like any other category of wine, they should be easily understandable and clearly defined.

So what is in a Cape Blend? Pinotage is the only variety that is truly South African and identified as such. So for a Cape Blend to be uniquely South African, it must contain pinotage: this now seems to be fairly widely accepted.

But leaving it at simply that might seen to be a dilution of the idea and value of a Cape Blend. In fact, this freedom has moulded, galvanised and driven the development of superior wines, some of which have also challenged ideas about what is the ‘best’ expression of a Cape Blend, even at the highest quality levels.

Should things be left to an an industry body to define and control? There are other forces which drive the wine industry: notably peer pressure, trade pressures and the media. These will help to create the identity of a Cape Blend by recognising its pinotage component, and also distinguish it from a straight varietal pinotage. We should seek, however, to ultimately give a framework in which the industry can operate, and in which wines can be grouped, judged and promoted.

The character and image of pinotage itself are making great strides forward, thanks to the excellent momentum created by the Pinotage Producers Association (PPA). South Africa is continually moving closer to producing consistent world quality wines from the grape, and we should striving to produce other products that add value to it. A ‘Cape Blend’ with pinotage is the logical way to go. Not to compete with pinotage, or any other variety or blend. The added value of the Cape Blend should benefit all categories. There is room for a quality-driven Cape Blend, harnessed to meeting the needs and expectations of the wine drinker, in the world market alongside other South African wines.

Progress in tough times

South Africa’s largest retailer of wine by volume and value, Makro, created a separate generic Cape Blend category in all of their every stores in February 2004. This decision may well be the strongest catalyst yet towards the natural growth of Cape Blends.

Even more important, however, has been the growth of interest from producers. The list of those making Cape Blends has passed 40, and increases almost every week. They have taken the concept to heart from a quality point of view, and are driving the integration of this category into mainstream South African wine culture.

Kaapzicht’s stunning victory in claiming the title of the ‘best blended red wine in the world’ at the 2004 International Wine and Spirit competition has certainly been a positive catalyst for Cape Blends. Warwick’s ‘Three Cape Ladies’ (I acknow-ledge my interest) has played a similar role, in getting the rare accolade of being listed by important US magazine Wine Spectator in its ‘Top 100 wines of the world’ for 2004.

Times are tough in the global wine market, though. There is a real need for differentiation and diversification, to create a real and tangible ‘unique selling point’ for Cape wine. This is the strongest point against those who argue that a ‘Cape Blend’ should be the ‘best blend that we can produce in the Cape’, irrespective of whether it contains pinotage or not.

There’s a real opportunity to create some excitement with the Cape Blend. The market is ready for a product of distinctly South African origin. South Africa would be well advised to come to market with a unique product that separates and differentiates the country from competitors. Cabernet/shiraz has evolved in Australia because the Australians were making these two varieties really well and gained a reputation for their efforts. The idea of the Bordeaux blend took hundreds of years to develop, but is now firmly entrenched – yet still resolutely vague.

So why rush things? Times have changed; the power of marketing is opening up new markets and supplanting traditional stability. What used to take centuries or decades to become entrenched is now determined by the sweep of the marketing and PR department budget. The Winemakers Federation of Australia, when updating their hugely successful Strategy 2025, defined the first ten years of this century as ‘the marketing decade’. Marketing was identified as the single most important factor that would perpetuate the good fortunes of the Australian wine industry. South Africa must take a pro-active stance and make an effort to increase its branding efficiency in the global markets.

The pinotage-including Cape Blend is not a distant pipe dream; it is a reality that could be achieved by a unified industry within years. It has the potential to become an important unique selling proposition for South African wine. It could be part of an important departure from our global game of catch-up, to the start of a fresh impetus, a new dynamism and enhanced belief in the uniqueness and intrinsic quality inherent in the local wine industry.

Mike Ratcliffe is Managing Director of Warwick Estate