Brand Management and Chilean Wine

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MontGras: Export Strategy for a Chilean Wine

To what extent can MontGras control its own market position, as opposed to being dominated by the country-of-origin effect, and be perceived as a “Chilean Wine”?

The country-of-origin effect in this case has a large influence on how consumers perceive wine from this particular part of the world. However, I firmly believe there is room for MontGras to control its own market position. Even though the country-of-origin effect in this case has a large influence on how consumers perceive wine from this particular part of the world MontGras still has control over their own positioning strategy and the four P’s. Price is an area that is already defined by the market but not entirely. As a result, the brand image of Chilean wine is not consistent to the brand identity MontGras has for its Chilean wines. MontGras need something to increase brand awareness in another direction outside of just price. Interbrand’s proposed positioning, “Wines of Chile”, would be a positive step in the right direction for Chilean wine makers. In addition to Interband’s proposed positioning, the case describes ways in which Chilevid members have focused the positioning of their wines through international fairs, wine-tastings events, and contests. By designing an image to occupy that distinctive place in the mind of the consumer there is room to educate through some of the previous mentioned initiatives and additional concepts that expand the value added benefits of Chilean wine and particularly MontGras wine throughout the world.

What implications does this have for marketing strategy?

The overall marketing positioning strategy at MontGras is to produce high quality fine wines. This unfortunately is contrary to consumer beliefs in previous years. For the past few decades Chile’s wine market was defined as producing low-quality wine. At the moment there is little brand awareness regarding Chilean wines. The only thing people can...
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