Cape Classics wine importer believes that the wine industry should embrace the chaos brought by the mobile phone-fueled digital age and move away from traditional retail models.
Embrace the chaos brought by the mobile phone-fueled digital age. That was the message from New York wine importer Cape Classics at a gathering of the South African wine industry hosted at Glenelly Estate in Stellenbosch.
Cape Classics President & COO Rob Bradshaw, speaking to some of South Africa’s leading wine producers at the 15th annual “state of the industry” address, said this new digital fueled economy is disrupting traditional retail models in the USA.
“It is the changing face of retail; using an App on my phone to have goods delivered to my home. People are not going anywhere anymore, they are having everything brought to them – UBER EATS brings you your dinner and DRIZLY brings the wine,” says Bradshaw.
The use of digital platforms like UBER EATS, Blue Apron, Amazon Prime Fresh and DRIZLY are putting independent wine shops under threat and many restaurants are going out of business or turning into commercial kitchens which make food for delivery only.
“The restaurant industry is heading for mass closures – studies show the US has 40-50% too many restaurants. This is a risk to us, because restaurants traditionally do lots of wine business,” says Bradshaw. “Independent wine stores which were more likely to stock our wines are also in trouble. The landscape is changing. Wine is being sold direct to the consumer via a screen, no longer being hand sold.”
The scenario is chaotic, but represents a huge opportunity for South African wine, as it gets the decision blockers out of the way. “The barriers between you and the end consumer are disappearing,” says Bradshaw.
Which is why Cape Classics is investing significant marketing money into digital retail platforms. “We have to be there. To ensure the brands we represent in the US are ahead of the curve,” he says.
So it is critically important that SA wine producers are alive on their digital platforms like Instagram, Pinterest, Twitter, Facebook, or their own App. “This is how to make noise and remember this new digital age is all about hieroglyphics, not words. So get onto Instagram as you South African winemakers live in Photographic Utopia,” says Bradshaw.
Notre Dame, Scoop Makhathini, GoT, top week in search
From fire disaster to social media disaster, the top Google searches this week covered a wide gamut of themes.
Paris and the whole world looked on in shock as the 856-year-old medieval Catholic cathedral crumbled into ash. The tragic infernal destruction of this tourist attraction of historical and religious significance led South Africans to generate more than 200 000 search queries for “Notre Dame Cathedral” on Monday. Authorities are investigating the cause of the fire that razed the architectural icon.
In other top trending searches on Google this week, radio presenter Siyabonga Ngwekazi, AKA Scoop Makhathini, went viral when it appeared he had taken to Twitter to expose his girlfriend, Akhona Carpede, for cheating on him. Scoop has since come out to say that he was not responsible for the bitter rant and that his account was hacked. “Scoop Makhathini” generated more than 20 000 search queries on Wednesday.
Fans generated more than 20 000 search queries for “Sam Smith” on Tuesday ahead of the the British superstar’s Cape Town performance at the Grand West Casino. Smith ended up cutting his performance short that night due to vocal strain.
Local Game of Thrones superfans were beside themselves on Sunday, searching the internet high and low for the first episode of the American fantasy drama’s eighth season. “Game of Thrones, season 8, episode 1” generated more than 100 000 queries on Google Search on the weekend.
As the festivities kicked off in California with headliners such as Childish Gambino and Ariana Grande, South Africans generated more than 2 000 search queries for “Coachella” on Saturday.
South Africans generated more than 5 000 search queries for “Wendy Williams” on Friday as it emerged that the American talk show host had filed for divorce from her husband Kevin Hunter after 21 years of marriage. Hunter has long been rumored to have been cheating on Williams, which reportedly finally led to the divorce.
Search trends information is gleaned from data collated by Google based on what South Africans have been searching for and asking Google. Google processes more than 40 000 search queries every second. This translates to more than a billion searches per day and 1.2 trillion searches per year worldwide. Live Google search trends data is available at https://www.google.co.za/trends/hottrends#pn=p40
5G smartphones to hit 5M sales in 2019
According to the latest research from Strategy Analytics, global smartphone shipments will reach a modest 5 million units in 2019. Early 5G smartphone models will be expensive and available in limited volumes. Samsung, LG and Huawei will be the early 5G smartphone leaders this year, followed by Apple next year.
Ken Hyers, Director at Strategy Analytics, said, “We forecast global 5G smartphone shipments will reach a modest 5 million units in 2019. Less than 1 percent of all smartphones shipped worldwide will be 5G-enabled this year. Global 5G smartphone shipments are tiny for now, due to expensive device pricing, component bottlenecks, and restricted availability of active 5G networks.”
Ville Petteri-Ukonaho, senior analyst at Strategy Analytics, added, “Samsung will be the early 5G smartphone leader in the first half of 2019, due to initial launches across South Korea and the United States. We predict LG, Huawei, Xiaomi, Motorola and others will follow later in the year, followed by Apple iPhone with its first 5G model during the second half of 2020. The iPhone looks set to be at least a year behind Samsung in the 5G smartphone race and Apple must be careful not to fall too far behind.”
Neil Mawston, executive director at Strategy Analytics, added, “The short-term outlook for 5G smartphones is weak, but the long-term opportunity remains huge. We forecast 1 billion 5G smartphones to ship worldwide per year by 2025. The introduction of 5G networks, by carriers like Verizon or China Mobile, opens up high-speed, ultra-low-latency services such as 8K video, streaming games, and augmented reality for business. The next big question for the mobile industry is how much extra consumers are really willing to pay, if anything, for those emerging 5G smartphones and services.”
Strategy Analytics provides a snapshot analyses for the outlook for 5G smartphone market in this Insight report: 5G Smartphones : From Zero to a Billion
Strategy Analytics provides a deep-dive into the air-interface technologies that will power phones through 2024 across 88 countries here: Global Handset Sales Forecast by 88 Countries and 19 Technologies : 2003 to 2024