Liquor retailers say consumers are favouring local brands during the current health crisis.
A Dan Murphy’s spokeswoman told Adelaide Now: “South Australia has always been a highly parochial state, but we have seen an even stronger movement to local products over the last few weeks,” she said.
“Adelaide Hills wines have been a favourite of our customers, which is very encouraging given the challenges local wineries faced with bushfires last summer.
“We have also seen a significant increase in sales through Direct from Supplier – the Dan Murphy’s online marketplace where customers can buy direct from suppliers – which is another example of customers wanting to support local producers at this time.”
More than 200 new suppliers – mainly small producers – have been on-boarded into the Endeavour Drinks network the last two weeks alone.
Coles Liquor is also boosting its local ranging to help craft wine, beer and spirit producers that have been affected by the COVID-19 shutdown.
“The new sourcing program aims to provide much-needed support at a time when many small producers need sales as a result of recent events forcing businesses to close or limit trade,” the company said.
As part of the initiative, Coles Liquor is working to extend its range with new local products from new local producers, while also generating support for local products from its customer base through effective communication.
Long-term effects on consumption
Wine Intelligence is predicting that consumers will move towards drinking more domestic and local wines, as populations become more inward-looking and protective, post-virus.
CEO Lulie Halstead writes: “In times of stress, our tendency as humans is to revert our focus to our local (and national) communities and this is even more true now in an era of lockdown and restrictions of movement.
“‘Local’ consumers have the ability to buy direct more easily, visit more frequently as movement restriction are lifted and feel engagement to support brands that are ‘closer to home’.”
Nielsen also noted in a recent report: “More than ever, shoppers want to understand the supply chain, with complete transparency from farm to factory to distribution, and they want details of the measures being taken to assure their safety. Promoting a product’s local origins could help manufacturers and retailers assuage some consumer concerns.”
And McKinsey survey found a similar trend: “Consumers express strong preferences for local brands over international ones, across all categories.
“For instance, in Australia more than 80% say their preference for local brands has increased since before the outbreak began.”
