High Altitude Luxury w/ Anita Correas & Gustavo Hormann, Kaiken

With the recent launch of a new $300 retail icon wine, Boulder, Kaiken continues to explore the potential for luxury wines from Argentina. Building on the last 15 years of Kaiken's other icon wine, Mai, Anita Correas, Commercial Director, and Gustavo Hormann, Director of Winemaking, discuss the global market for luxury Argentinian wines, how they approach launching them, and the brand-building impacts for the Kaiken brand.  Detailed Show Notes: Kaiken backgroundFounded in 2002 by Aurelio Montes (Chile)"Kaiken" is the name of a wild goose that crosses between Chile & ArgentinaExports to 60 countriesWinery in Vistalba, Mendoza (28ha), vineyards in Agrelo (60ha) & Los Chacayes, Uco Valley (150ha)60% on-premiseFrances Mallmann restaurant at the wineryRecently launched new luxury tier/icon wine - "Boulder"$300 retail price, 3,700 bottlesDeveloped over the last 10 yearsUnique 3ha block in Los Chacayes due to overflow of Arroyo Grande, full of big rocks/bouldersMalbec (64%), Cabernet Franc (28%), Petit Verdot (8%)Boulder launch planLaunched in Buenos Aires, Hong Kong, Korea, Brazil (São Paulo, Argentina's #2 export country), USBrazil's event had a more direct impact on salesMostly press/trade events that are smaller, in-personLikely less on-premise than Kaiken overall, more hand-selling to collectors and Michelin Star restaurantsVR w/ Google Glass to see the vineyard up close and go inside the soil has gotten positive feedback, but it is more expensive than a regular video (required 3 days of video shoots and a special camera)Mai - prior icon wine$100 retail price, 12,000 bottlesLaunched in 2009 from a 120-year-old vineyardMarketing more "maintenance" now2021 - redesigned packaging, got 98 pts and Top 100 from SucklingPrimarily sold in Argentina, then UK, US, Brazil, Japan70% of Argentinean wine is consumed domestically, delaying the need for exportsAverage export ~40% higher price than Chile (export-focused market, ½ the population, 2x wine production vs Argentina)More high-end wineries in Argentina vs ~5 in Chile>$100 market for Argentine wine - "not a huge market"Big domestic market - much of Mai, Boulder sold domesticallyConsumers looking at super high-end often do not look at the country of origin but more at the concept of the wineValue Prop for Argentine luxury wine - not influenced by oceans, high altitude, dessert wines, driven by the AndesReturn on Boulder is more than sales, but brand building for KaikenFocused on relationships with importersWant long-term relationships as they represent the brand globallyReach collectors through import partnersHas affiliated importer in ArgentinaMontes relationshipWas helpful on launch to piggyback on Montes brandNow Kaiken is more independent and only shares importers in a few countries (it used to have the same ones)Kaiken Ultra ($26) awarded Wine Spectator Top 100 (#30, highest Argentine wine)Wine drinkers can graduate from Ultra to Mai and othersKaiken's focus for each range of wines is to over-deliver for the price point vs linking the winesGood press in 2024 for Kaiken - #1 New World Winery from Sommelier Awards, Boulder rated best Argentinian red blend by Patricio Tapai (wine critic), Estate Malbec was Wine Spectator's best value wine Get access to library episodes Hosted on Acast. See acast.com/privacy for more information.