Growth Market for Local Wines - Lies in it's own Backyard

In previous months I’ve made reference to the Queensland wine industry development strategy that was produced by the State Government in extensive consultation with the industry. I’d like to explore two really exciting initiatives that will assist in developing a sustainable, innovative and diverse industry, which is the goal of the strategy.

Last month I outlined some rational reasons why Queensland wine should be successful in its own right. There are, however, some underlying issues that make it harder for Queensland wine to be accepted socially. While I have my theories, there is no hard data to ascertain, unravel and hence challenge these issues. Until this research is undertaken and we create a social and emotional shift, we have a very hard task ahead of us.

The Department of Tourism, Fair Trading and Wine Industry Development is soon to engage AC Nielson to undertake research that will enable the development of a brand platform for the Queensland wine industry. This will identify what current perceptions consumers have of Queensland wine, why that is so, and what we need to do to change them.

This information will then allow us to create an effective ‘brand essence’ on which we can develop a marketing strategy. The Queensland Wine Industry Association is in the process of applying for funding for a CEO/marketing manager, who will facilitate this process.

Ideally, the branding and marketing of Queensland wine will then give consumers the rational, social and emotional motivation to feel good about buying this fantastic product.

This does not diminish the place and value of the different regions in Queensland . The first message, however, must be more global (i.e. Queensland wine) and then we can educate the consumers to the finer differences that each region presents. While the brand is being developed, each region should still be actively promoting themselves to tourists and locals.

To promote the regions before the state to the general consumer, at this stage, is putting the cart before the horse. Lets create the shift and maximise the opportunity by keeping the first message simple. Over the coming months I will be introducing you to some of the wine regions in Queensland so you can familiarise yourselves a little more with the industry.

The other initiative is the Wine Skills Formation Strategy. The Queensland Wine Industry Association has received funding from the Department of Employment and Training to appoint a project officer, whose purpose is to liaise between industry, education providers and government to ensure effective training strategies are put in place to avoid skill shortages in the future.

This innovative structure has been successfully implemented in other industries including hospitality, marine boatbuilding and mining.

These skill formation strategies provide a process whereby industry, community and government stake-holders collaborate to analyse the reasons for skills shortages, then develop strategies to address identified issues: it enables tailored industry/ community solutions.

Often the reasons for shortages are not related to the supply of training; rather they relate to workforce management issues, workplace organisation, job design, industry image, industrial relations or geographic remoteness. Sometimes the existing culture and norms in an industry sector no longer support the viability of the industry.

Some radical re-thinking about skills formation, utilization and retention may be required. The wine skills formation strategy will focus on a process of change within the industry: a change that fosters industry to own, and be responsible for, its skills acquisition, development and retention with government support.

Planning and analysis, using the process of skills formation strategies, have the potential to underpin industry development by working together to integrate business, work and skills policy and to plan joint investment in skilling in a holistic and supportive way. An analytical approach to future industry and employment growth, integrating skilling and workforce solutions with research and development will provide a much more sophisticated and effective support to industry and communities.

In summary, the purpose of the Wine Skills Formation Strategy is to support economic growth by encouraging the wine industry sector to understand the nature and use of skilled labour, and the options open to the industry to ensure adequate availability of skills to support Queensland’s advantage for growth in this sector.

This means industry understanding and better utilization of the VET and University sectors, and optimizing its own investment in training through leveraging off the public training funds available to the sector.

We have interviewed and are in the final phase of appointing a project officer who will commence in September. The role will involve creating a presence in all the wine regions, however an office will be provided in Toowoomba, co-located with Craig Rutledge from the Department of Tourism, Fair Trading and Wine Industry Development.

Combined, these two initiatives will propel the industry forward to achieving its goal of creating a sustainable, innovative and diverse industry.