Increasing domestic consumption of South Africa wines : exploring the market potential of the "Black Diamonds"

Abstract

Although South Africans are not predominantly wine drinkers, the industry is exploring ways to develop the local market to balance exports. The black middle class, increasingly referred to as the " Black Diamonds" are the most powerful marketing trend during the last 10 years, as they have emerged as the strongest buying influence in the economy, and making inroads in understanding this market presents a good opportunity. The data used in this paper was collected from an integration of a consumer behaviour survey; as well as personal interviews and focus group discussions. The paper asserts that the key factors influencing the South African consumers' behaviour are age, gender, income, race and wine drinking history. The paper also asserts that, not only is the block middle class different from the white middle class, but that different segments exist within the "Black Diamonds". The industry should parlicularly focus on marketing to women and the "Start-me-up" age group, as there is limited consumer knowledge about wines, but a high willingness to experiment. The paper also suggests various new brand communication platforms that can be explored to reach this market as well as competition between industry stakeholder.