ASC seeks to double E-commerce sales targeting a bigger Chinese wine consumer base

ASC expects to double its e-commerce sales over the next two to three years, aiming to reach out to a bigger consumer base, said the new CEO.

ASC Fine Wines, one of China’s biggest fine wine importers, saw a 60% increase year-on-year in its e-commerce sales during the first half of 2015. Online channels currently account for 11% of the Chinese importers’ total sales, said Bruno Baudry, ASC’s new CEO succeeding John Watkins.

Fine wine importers in China went through rough times since the end of 2012 due to the Chinese government’s austerity actions to cut down entertainment and gift-giving.

‘It is true that under the current political and economic environment, the entry-level wine category is growing the fastest,’ three month in as the new CEO, Baudry told DecanterChina.com during a recent interview, ‘this means that more and more people are drinking wine.’

But ASC alone can’t grow the wine category, said Baudry. To further expand the wine consumer base, ASC ‘will continually strengthen our strategic partnership with TMall, JD, YHD and other e-commerce partners, to support them with their wine business expansion.’

‘Significant investments’ will also be made to upgrade ASC’s e-commerce offerings, including customer service, loyalty programs, website graphic design, product line, O2O events and delivery efficiency, said the CEO.

The importer is also seeking to expand its mid-to-entry level range (RMB100 to 200) to meet the needs of a wider and younger wine consumer base.

‘But our core business will continue to be based on our premium wine portfolio,’ Baudry added, ‘It is in the DNA of our company.’

*Stay tuned for the full Decanter China interview with Bruno Baudry to hear the new CEO’s visions on ASC Fine Wines and the ever-changing Chinese market.