Our Man in Japan

Yesterday was one of the hardest days I have worked in a long time!  We participated in the New Zealand Winegrowers Toko Wine Fair, and the turnout was exceptional. There was a trade tasting first, from 12.30 to 5.00pm, than a short break, followed by a consumer tasting from 6.30 to 9.00pm. There were over 400 people at each event, tasters were often 2 or 3 deep in front of our stand, there was the excitement of working in a language we had little knowledge of, we were on our feet all that time, and no time for coffee or a snack - so, don't let anyone tell me that travelling and promoting wine is a junket!!

That said, while it was a very long day, it reminded me of the need to be out talking to all our customers worldwide. This event gave us the opportunity to present our wines to customers directly and to start continue building a bond with them. The wines were extremely well received and our importer Pony Group Inc has indicated they will add another 2 wines (Pinot Gris, Martinborough Pinot Noir or Syrah) to the two they already carry (Fraser and Blue Rock Pinot Noirs), so that was a great outcome. We have worked with the Pony company for about a year now and we could not wish for a better partner. A great hard working team, organised and capable of selling premium wines in a challenging market. Mr Wada is the sales manager (here in the photo on the left) and he is very supportive of our wines. We also had assistance from one of the Pony team as at each session and that was invaluable for someone whose Japanes does not go much further than 'konichiwa'. Tomoko (in the photo below) helped us in the morning session and one of her colleagues did the same in the evening session.


We found the Japanese public to be highly knowledgable about wines, and very keen to taste new releases from New Zealand and I am really enthusiastic about the prospects for our wines here. We presented the 'Fraser', 'Blue Rock' and 'Martinborough' Pinot Noirs, the Pinot Gris and the Syrah. What really motivated were the large number of people who came back later in the day and said our wines were among the best they had tasted at the show.

Tonight and tomorrow we have wine and food match dinners at Tokyo restaurants, then a few days break before we move onto Korea, so watch this space for more on our Asian sales adventures.

Our North and South Dinner

Well, we hosted our Martinborough vs Otago wine and food dinner at Ortega last Tuesday with a sell out crowd upstair for the dinner, and the Welsh rugby team downstairs dining as well. We were hoping for some fine Welsh songs later in the evening, but none eventuated. I personally think the guys were very focussed on being in good shape for the All Blacks on Saturday. Best of luck for them in the game too. We will certainly see a much more competitive game than Ireland was able to contribute last week for sure.

The dinner went very well; a lot of great discussion, some good-hearted disagreements, lovely food, good company and new friendships. I have to remind myself that this is actually my job too!

We thought Davey and the kitchen team at Ortega had done a good job of matching wine and food, including some that were quite a challenge to the wines, but all came through OK. The service was excellent and we can recommend the restaurant whole-heartedly. But rather than me writing some notes that may have some suspected bias, why not check out a blog posting from one of the guests?

Click this link: http://roarprawn.blogspot.com/2010/06/wine-onanist.html

The event was so successful we will do it again next week (sold out) and again in August (date to be confirmed). Think we could take the idea national too!

It's pruning time again!

Started puning this week and guess what!? After one of the very best spells of autumn weather on record, we have just had two weeks of almost solid rain, so the team are doing what they can in the few clear spells we have had. I admire their perseverance as the work solidly in the cold weather. I realise I am very lucky to have a lot of indoor work to do just now!

For me it is annual budget time for the business. It's a hard one this year, as we try to build a robust plan against a background of a global economic crisis, which seems never-ending; yesterday Greece and Spain, tomorrow who knows what. What I do know is that this crunch has had a huge impact on wine prices and has driven a shift on consumption patterns. No more $100 wines on corporate expense accounts, two $9 wines at the supermaret instead of one $20 one, and less dining out are just a few things I've noticed. Result? Less sales of premium wines, which are our main focus.

On top of that costs have increased; excise duty is about to go up to $1.95 per bottleand GST is about to increase to 15%. Think about that when you buy a $7 bottle of wine - nearly half is tax, and after the middlemen take their share, there is not a lot left for the winemaker! In addition, suppliers have increased costs of things like cartons, bottles and labels, and inputs like freight are also on the rise. Result? Slimmer margins and declining profitability.

This puts planning pressure on wineries and their budgets, and we are not immune to that.

All of which makes budgeting a challenge, particularly in a climate where banks are not that sympathetic either. All sounds a bit gloomy, but while things are tough our social media initiatives are really helping offset flat exports and slow domestic sales. Our Facebook, Twitter and Blog activities have introduced a lot of new people to Murdoch James Estate and our wines. We have shared experiences and ideas with lots of folk and made a lot of new friends. While it is hard to show with direct evidence that this contact is helping with sales, it is no coincidence that, since we embarked on our social media journey last year, our direct and internet sales have increased dramatically.

On top of that we have made great contacts to help with things like label designs, names for new wines and potential new distributors. It is all very exciting and stimulating, and certainly lift the cloud of economic gloom off our shoulders!

What's best? Martinborough or Otago Pinot Noir?

A few blogs back, I was chatting about how fantastic a Winemakers Dinner we hosted in Hong Kong had gone. If you missed follow this link:  http://birthofawine.blogspot.com/2010_04_01_archive.html

A few of our followers asked if we ever did anything like in in New Zealand? Well, the answer is yes! Here is your chance to enjoy a similar event in Wellington, and at the same time answer the commonly-asked question, which region makes the best Pinot Noir: Martinborough or Central Otago? We are hosting a dinner at Ortega on Tuesday 15th July at 7.30pm, entitled "THE NORTH & SOUTH DINNER".

This is a wine and food-Matched Dinner  with Murdoch James Estate of Martinborough & Olssens of Bannockburn, Central Otago. Over the last few years there has been an ongoing debate about which of these two regions produces the best Pinot Noir wines, and the theme of this dinner is designed to allow participants to form their own views. The concept is a dinner comparing the wines from Murdoch James Estate in Martinborough and Olssens in Central Otago. Both are small family owned vineyards producing premium quality wines.  In additional to the matched wine and food menu, guests will also get to try a back vintage of each of the wineries flagship wines, including the Fraser and Slapjack Creek Pinot Noirs.  Around 12 wines will be tasted on the night, all matching an inspiring menu.

Places are filling fast, but if you are interested, feel free to e-mail me at info@murdoch-james.co.nz and if you are interested in more detail, here's the menu:

Olssens & Murdoch James Dinner Menu

First Course

Couturier Goats Cheese & King Prawn Canneloni,

tomato chipotle salsa with a lemon infused reduction

matched with

Murdoch James Sauvignon Blanc 2008,    

Olssens Sauvignon Blanc 2009

Second Course 
Spicy Cakes Fish, citrus salad, chilli jam mussel 
with a tamarind lime dressing

matched with

Murdoch James Blue Rock Riesling  2008,

Olssens Riesling Dry 2009 

Third Course

Slow roasted Pork Belly, truffled lentils & cabbage,

sautéed mushrooms & Pinot Noir gravy

matched with

Murdoch James Martinborough Pinot Noir 2008

Olssens Nipple Hill Pinot Noir 2009                                

 

Fourth Course

Rustic Salad of Rabbit, lardoons, walnuts & blue cheese

matched with

Murdoch James Estate Blue Rock Pinot Noir 2008

Olssens Jackson Barry Pinot Noir 2008

 

Cheese Course

Livarot Cheese with brandied prunes             

matched with

Murdoch James Estate Syrah  2008

Olssens Robert the Bruce 2008

Autumn in Martinborough - Cow go crazy on grapes!

Back home now, to the most stunning Autumn weather we have ever experienced. How's this for a sunset?!

All grapes are in now, and while the quantity is a little down on 2009, the 2010 quality is great. We are looking forward to finishing the ferments and seeing what the final wines look like. It's a bit like waiting for a grandchild to be born!

I often get asked what happens to the waste skins and stalks. Well, they are all either composted or recycled - how recycled? Well check out the accompanying recycling 'machines', and they just love the pressings - I call these my 10 Fat Ladies (even though a couple are gentlemen!). Yes, in addition to wine growing, social media, wine sales, blogging and vineyard maintenance, I also breed angus cattle. Great fun, and a wonderful breed to work with. But, when we take the fork-lift into the paddock with the tipper full of grape skins you have to dump and run! There is literally a stampede as they race across the paddock to get first taste of them. I used to have a much bigger herd, but the financial pressures of the last 12 months forced me to downsize my farming interests a little. That said, they still give me a lot of pleasure and keep me grounded. And maybe grow the herd again in the not too distant future. I've got chickens, cats and dogs too, so sorry, some more pet shots to follow in future blogs.

Murdoch James Estate in Hong Kong

Well another day, another country, and don't let anyone tell me that international travel is fun. I have now been travelling for two weeks promoting Murdoch James Estate wines in Vietnam and Hong Kong and while the customer interaction is fantastic, I have to say that the travel itself is not. The GFC (trendy abbreviation for the Global Financial Crisis) has hit wineries just as hard as any other business; sales are down, there is a mad scramble to get new distributors, and prices are tumbling. In respect of the latter I have seen crazy prices recently for wines which must be below the cost of production. Why? Because many wineries have high borrowings built up over the years to fund development, and now that banks are taking a hard line and not lending to help wineries handle the down turn, they have to sell at any price they can just to survive.

While we have tried to hold prices at sensible levels at Murdoch James, we have had to work hard to cut expenses, hence my comment above about travel. Don't look for me in either business class, Premium economy or 5 or 4 star hotels. The room I type this in has to be the smallest hotel room I have ever stayed in, but it has saved the company a lot of money.

All that is offset by the thrill of tasting wine with Murdoch James wine lovers all around the world. Getting feedback that our wines compare with the very best from consumers certainly makes it all worthwhile. Since I arrived here Wednesday, I have conducted staff training with the fantastic team at Nathan Fine Wines, called on sommeliers in some great restaurants, done tastings in wine bars with their customers and hosted a winemakers dinner. The latter in the Santa Lucia restaurant, on the 38th floor of the Panorama Hotel (I'm told it is the highest restaurant in Hong Kong). How's that for a view? At that dinner, we matched 7 of our wines with a degustation menu, and again got great feedback on our wines, particularly the Pinot Noir, Pinot Gris and Riesling. I posted the menu on Facebook just to make you all a little envious! Copy this link to your browser and salivate: http://bit.ly/aTLC4b

With the visit overall, our Hong Kong importer here feels my time investment here will ceratinly pay off.

Tonight I leave for home in Martinborough, New Zealand to join the team for the rest of the 2010 harvest.

Murdoch James Estate in Vietnam - Part 2

Have been in Hong Kong a few days now promoting Murdoch James Estate wines, after leaving Hanoi on Wednesday last.

Vietnam was a great country to visit, and the contrast between Ho Chi Minh City and Hanoi was dramatic.The former, bustling and growing fast, but with that change a lot of history has gone. Hanoi by contrast still has it's 'Old Town' with narrow streets and leafy avenues, plus it's famous cathedral. It is still growing fast, but in a more controlled manner. The local people we great, very friendly and helpful, while the restaurants served excellent food and were great value for money. One example: two course lunch with two beers for just NZ$12!  The roadside food stalls were even better value and exciting to experment with.

I did have to pay special attention to the currency though. One NZ$ = 13,800 Vietnamese Dong, so not uncommon to get bills for many hundred thousand Dong! One evening meal for 4 of us was Dong 1,300,000. Scary, until you divide by 13,800 and realise that is only NZ$100!

On the business side, the trip has gone well, and we hope to have a distributor for Murdoch James Estate wines in Vietnam in the not too distant future. I was amazed to see how popular red wnes were compared to whites. In a hot climate with a cuisine that is subtle and delicate, drinking red wines seemed odd, yet I am told over 85-90% of all wines consumed are reds. While in Hanoi, we did a tasting for the wine trade at the Hanoi Lakeside Intercontinental; what a stunning hotel! I have put a lot of images of the hotel, on our Facebook page, so log on and view them - I think I'm a reasonable photographer actually, but don't be afraid to tell me otherwise! If you do a search on Facebook for Murdoch James Estate you'll find us.Or copy and paste the shortened URL that follows: http://bit.ly/aTLC4b

Meantime, here's is an image to wet your appetit, it is a world class hotel with an amazing design.

AsI flew out to Hong Kong, I was thinking that there is plenty of room for me to grow Murdoch James Estate wine sales in Vietnam, but it won't be easy. Taxes on wines are over 100%, there is huge competition from Chile and Australia and beverage consumption is only slowing swinging away from whisky and cognac. The big hotels like this will be an important target market, as will the coastal tourist resorts; and I'll certainly need to come back!

For Australia Followers only

I was recently asked by one of my followers on Facebook, where in Australia you can purchase Murdoch James Estate wines.

The best places are any Vintage Cellars fine wine store (there are lots in most states) or the fine wine section in First Choice stores. Enjoy!

For more information, click on www.murdochjames.co.nz or www.vintagecellars.com.au

Murdoch James Estate in Vietnam

I have now been in Ho Chi Minh City, Vietnam for 5 days and it is both exciting and overwhelming; exciting because of the potential here for our wines, and also because of the dynamism of the city, and overwhelming because of complexity and rapid rate of growth of industry.

My first day was a break to get over the long flight from New Zealand, so I thought I would just take a walk and unwind. 

That was my first mistake - one cannot walk and unwind in Ho Chi Minh City. The traffic is crazy, motorbikes everywhere and it seemed to me that traffic lights and pedestrian crossings were indicative only.

It took me a while to build up courage to cross roads. Have a look at these images and you will get a feel for what I am talking about, but they don't do justice to the real life experience!

Next day was to set up the first Trade tasting which was organised by the New Zealand Trade & Enterprise team here. It was an excellent event with great turnout and an ideal showcase for New Zealand Food and Wine. From this event I was able to make appointments with several potential distributors and have since had follow up meetings, with positive outcomes.

Again, the accompanying photographs don't do justice to the quality of the event, nor the venue (Park Hyatt, Saigon). I was very impressed with the interest of both consumers and the wine trade in New Zealand wines, however we do face a challenge in achieving sales in a market which has been dominated to date by French and Chilean wine producers. They have got a big start on us and we have a lot of ground to make up. But, as in all markets the people who are prepared to do the hard yards, pounding the streets and building relationships, will be the ones who succeed in Vietnam.

Friday and Saturday I spend following upon sales leads, and then our stay in Ho Chi Minh City finished Saturday night at the 14th Annual NZ Wine & Food Festival in Vietnam.

Another great wine and food event showcasing NZ wines.




Today, Sunday I fly up to Hanoi to do it all again! 

Murdoch James off to Vietnam

Well, vintage 2010 has started and I am reminded how I said exactly 12 months ago that I would blog every day on the 2009 vintage! Well, I'm not going to do that again this year - I learnt from bitter experience how challenging it is to publish interesting posts and still do the day job! But I will certainly continue the blog and try and post weekly.

It was easy to write this post as when I did it I was squeezed in a lovely economy seat on a flight to Vietnam. On one side of me fellow passenger is snoring loudly, while in front of me two babies are testing their lung-power. No snoring for me, so I thought "what a great opportunity to blog"......

I flew on Cathay Pacific, and when I read the newspaper on board I was a little concerned by the headlines: "Pilots hailed as hero's" which was reporting on a recent Cathay crash, but we got there safely. In fact, considering how full the flight was, and that I was in economy, I though both the cabin crew and the flight were superb. I strongly recommend them.

This basis of the trip is to go to Vietnam for two weeks to participate in the NZ Wine and Food Fairs in Ho Chi Minh City and Hanoi, and then off to Hong Kong to work with our excellent importer there (Nathan Fine Wines).

There is a very active NZ Trade and Enterprise team in Vietnam and they have organised both consumer and trade tasting events in each city. With the trade, they have invited 10 NZ wineries who have not exported to Vietnam before to participate, and they have invited wine distributors who have an interest in representing NZ wines to the tastings. On top of that, they have set up despatch of samples and promotional materials. I have been really impressed at their organisation and efforts - first class. It should all be synergistic. The NZ T&E Vietnam team are to be commended on this initiative. I will also see a number of other importers that I have set up appointments with individually too. So, it will be a busy week, and I hope to come out of it with with new business. On the personal front, I have not been to Vietnam before, so it is an exciting trip for me.

As I said, after Vietnam I fly to Hong Kong to work with our existing importer there. We have set up some staff training and sales calls, but the thing I look forward to mostly are the dinners our agent has set up with his key customers - tasting wines with food is the very best way to present the wines, so it will be a great opportunity. I saw yesterday one of the menus - a 6 course degustation menu  with each course partnered with one of our wines. I'll copy it into a future blog, just to make you all envious!