Concha y Toro breaks Billion $ barrier

2014 was an important year for Concha y Toro as the group saw positive results from its commercial strategy aimed at growing the premium category and maintaining its leadership as a global competitor. With annual sales of US $1,018 million, the company broke through the billion-dollar mark for the first time. We asked group chairman Alfonso Larraín Santa María what the company’s success comes down to…

In particular, the company’s flagship brand, Casillero del Diabolo, sealed an historic 2014 with and annual growth of 17.4%. The results are largely attribuable to a strengthening of Concha y Toro’s overseas subsidaries, collectively accounting for 66% of company sales. This strategy has led to a more informed understanding of individual markets, resulting in enhanced positioning and increased distribution for Concha y Toro’s comprehensive portfolio of multiple brands.

A specific milestone in 2014 was the opening of Concha y Toro’s Centre for Research and Innovation in the Maule Valley dedicated to fostering a more sustainable future for the wine industry through research and eductaion. The centre will focus on the analysis of all aspects of healthy vine production, the development of new technology to increase product quality with minimal environmental impact and the efficient integration of technology into winery practices. Of specific note is the fact that the facility is for use of the industry not just Concha y Toro.

What’s new at Vinexpo 2015 from Concha y Toro?
Concha y Toro as every year featured  a large and comfortable stand , where visitors could experience our wines. In our new location in the centre of Les Terrasses, we were together with some renowned brands of wines and spirits in an exclusive space. We have been working on a very modern and innovative stand that enabled us to show our new products and news. Special tastings held by our Chilean winemakers Marcelo Papa and Enrique Tirado and also our related winery Fetzer Vineyards from California were present with winemaker Bob Blue. Visuals showing our wonderful vineyards throughout Chile, our history and, especially new projects that will shape our future could also be appreciated there. At the stand, international chef Ruth Van Waerebeek, presented recipes and pairings for the wines of our portfolio. New launches included Casillero del Diablo Legend, the Super Premium Cabernet Sauvignon of the brand. We also presented the new Center of Research and Innovation (CRI) in the Maule valley, Chile’s seventh region. This project was conceived to do applied research and develop new technologies in the areas of viticulture and enology, seeking to contribute to the development and competitiveness of Chile’s wine industry.

 

 What are your plans for future growth in production and sales?
We believe the future looks bright and Concha y Toro has an adavantegeous position thanks to a diverse portfolio of fine wines that are all well positioned within their individual categories, supported by a solid distribution network worldwide. Concha t Toro is the most vertically integrated company in the industry. From winemaking and production, to the supply chain and distribution, we have complete control of the entire process ensuring quality in every stage.

Alfonso Larrain Santa Maria chairman of the board of Vina Concha y Toro
Alfonso Larrain Santa Maria chairman of the board of Vina Concha y Toro

How important is Vinexpo in your global marketing plan?
Vinexpo is an internationally renowned exhibition of wines and spirits, the most important in the world and for Concha y Torohas become a platform of encounter between the most famous wineriesin the world and professional buyersfrom the five continents. Once again our winery has shared its tradition and history, its portfolio of wines and above all, released its new projects. It is very important to our marketing plan but also is a unique platform to set up meetings, to show our innovationsand share our spirit as a company from the New World that is truly global, to show our passion for excellence and character and our wines that stand out in quality.

4. Please tell us the story behind Almaviva. Is it true that the partnership was spawned at Vinexpo?
Bordeaux has always been a unique shwocase for Almaviva: to present new vintages and it is also a natural stage to show the development and growth of this iconic wine, benchmark of excellence and quality in the international market. Almaviva is the result of the vision of two companies – Concha y Toro and Baron Philippe de Rothschild – to create an exceptional wine. The first vintage (1996) achieved immediatly international success upon its launch in 1998. But this venture was only possible with the continued support and collaboration of Baroness Philippine de Rothschild, my friend and our partner, who always accompanied us in all our projects and dreapms. Unfortunately she passed away last year, but her memory continues living in this outstanding wine. Being here at Vinexpo this year, is special we missed her energy and joy of living.