Russia’s wine sales’ golden month

15/12/2010 01:38Views: 4

December. It’s a magic word for every wine importer and distributor in Russia. You can see why – they say about 40% of all yearly wine sales take place during the New Year time. Yes, Russia doesn’t have a traditional European Christmas time from 24th of December, but people relax during the long holidays that usually last from the 1st of January and finish in the middle of the second week (10th, 11th). Usually Russians buy a lot of alcohol in advance to sit comfortably at homes for several days and to eat their favourite “Olivier” salad (called Russian abroad).

I can confirm that the usual sales per month usually multiply during December, especially before the 15th when it’s the right time to buy for all the major corporations – they will have their corporate parties somewhere in between the 10th and 25th and thus have to plan in advance. Aside the corporate parties the second major source of cash flow during this period is wine gifts for corporate clients, partners and staff.  It’s typical for oil & gas companies, banks, consulting companies, advertising and PR agencies, actually almost all of them do this. Except those where alcohol is prohibited as gifts by the corporate policies. Huge amounts of cheap plonk is sold during this time – as well as huge amount of fine wines. The latter go as gifts to the major partners and clients. Wine package is crucial at this time of the year.

I never could’ve imagined what may restricted Champagne supply do to a Russian wine importing company and its business. Let me assure you – the company may be shaken starting from the lower managerial level (clients are raged with Champagne absence!) and finishing with the owners who lose their major profits. Especially during this 2010, when new stupid regulations of the Russian licensing bodies seriously complicated the process of documents preparation on the side of a wine producer (not mentioning wine importers, who are used to those «nice» presents of the Government). We already heard stories of Baroness Philipinne de Rothschild having to run herself to the notary company in Bordeaux to make sure all the documents are certified as they have to. I do hope they are not anecdotes! The same concerns to the Champagne producers who are not fast enough to realize that any delay in certification during this extremely hot period may lead to import collapse and, thus, to zero sales.

This is also the time to buy for all the private clients. Lots of them will flee the country for this period to ski in Austria or Italy or to go diving in the Maldives. Anyway they tend to open their bottle of Cristal or Veuve Clicquot here, in Russia.

Moscow is a fascinating view at the New Year’s eve. If you have ever travelled here – you know that Moscow traffic is as horrible as that of Mexico D.F. Now imagine what happens when all the people from around Moscow and Muscovites rush to the city center to buy their presents! And now – imagine that the delivery service of a wine company has to work during this time twice, three times harder. Our warehouse switches to almost 24/7 work schedule, cars are loaded early in the morning and till the 22.00 in the evening. And because most of the Russian wine importers still have little desire (and funds) to invest in modern warehouse facilities, they turn into bee hives with once important difference – these bee hives are far from being in order.

Orders, orders, orders, urgent orders, no Champagne, no packaging, take what we have – this is how it works this year. You can have 600 bottles of top EUR400 champagne sold out in seconds if you are not fast enough to reserve some of it for your client. It’s a competitive world, a world of fighting for orders and clients.

The good news is we are still able to satisfy the majority of the clients – especially those who think and plan in advance. Merry Christmas and a Happy New Year!