Within the frame of the National Trade Fair on Wine, that will take place from May 7th to the 10th at the Ciudad Real Trade Fair Pavilion
Anna Rosenberg, Swedish purchaser of Spanish wine will be speaking about Systembolaget, A 21st Century Monopoly within the frame of FENAVIN 2007, National Trade Fair on Wine, that will take place from May 7th to the 10th at the Ciudad Real Trade Fair Pavilion.
Systembolaget is a government owned chain of liquor stores in Sweden. Systembolaget stores are the only retail stores allowed to sell alcoholic beverages that contain more than 3.5% alcohol volume. Systembolaget counts with more than 420 stores in Sweden and the stores also sell non-alcoholic beverages. To buy alcoholic beverages at Systembolaget one has to be 20 years of age or older.
SPAIN, FIRST SUPPLIER COUNTRY OF THE MONOPOLY IN TERMS OF VOLUME
According to a report issued by the Economic and Trade Office of the Embassy of Spain in Stockholm, in the case of Spanish wines, their position on the Swedish market has changed considerably in the last few years. The position has gone from being the leading supplier of wines in Sweden in the year 2000, with a market share of 22% in value, to holding the third position with a share of 15%. Notwithstanding, in terms of volume it continues to be the first supplier country of the monopoly.
Jerez wines and white wines are suffering the most significant reductions, while red wine sales have halted their decrease. An outstanding increase is taking place in rosé wine sales, which have just been "rediscovered" by the Swedish market, in particular during the summer months. The average sale price of Spanish wines has increased in the last year.
France, Italy, Denmark and South Africa are Spain's main competitors in that pertaining to wine in Sweden. Notwithstanding, in the Danish case the market actually corresponds to a wine market that re-exports to other countries, amongst them Spain. This is not only the case in Denmark, given that France or Germany, for example, are also countries that package Spanish wine in "Bag-in-Box" style, and then commercialize it with the Spanish brand.
Spain is leader in sales volume, closely followed by Italy and increasingly more by South Africa. The truth of the matter is that Spain's direct competitors are countries in the New World, and in particular South Africa. This country, with spectacular increases in sales in the last few years, has positioned itself third in off-trade sales in Sweden.
PERCEPTION OF THE SPANISH PRODUCT
Spanish food and agricultural products count with a very sound image in Sweden.
The position of Spanish wines in Sweden has been very advantageous during many years, with a very high market share. Diversification of supplier countries was more than foreseen, although it has been accentuated with evolution of new areas and producer countries, in particular the so-called New World countries.
Spain has fallen behind in Sweden with the Bag-in-Box phenomenon, as this modality has undergone spectacular growth in the last few years, not only absorbing the lower price segment, but also important shares in the medium segment.
Anna Rosenberg is currently the wine purchasing representative for Spain and Germany. She started her career in a Systembolaget store, working in the same for a total of 10 years. She has worked for a long time on internal training of Systembolaget stores personnel. Last year she became the editor of Varunytt, monthly magazine published by Systembolaget. Information about new wines sold by the company is published in this magazine. These tend to be about 80 - 100 products, which are presented with a photograph, tasting note, introduction of the producer and its origin. She has also been in charge of drafting information about wines that were included in Systembolaget's catalog and likewise on the labels of the store shelves and in Varunytt.