ABSTRACT
“Cava”, a unique sparkling wine, is the most exported Spanish-protected “designation of origin” (DO) label, Spain being the fourth sparkling wine supplier in the Chinese market. According to data, the consumption of sparkling wines in China has gradually increased, with a special pick during the pandemic lockdown. We analyse the case of Codorniu DO “cava”, the first cava maker and the oldest wine-growing business in Spain, and its internationalisation process in China, with a particular focus on the main characteristics of the process, entry barriers, and marketing strategies.
The method shows a case study design, with the following findings: the entry into the Chinese market gradually followed, starting with indirect exporting and later with a country-based commercial subsidiary managed by a Chinese CEO. Cultural differences, customers’ drinking habits and preferences, and market rivalry were some of the most challenging entry barriers. The 4Ps marketing-mix approach consisted of commercialising standardised products and brands, with little adaptations to the Chinese market; flexible pricing policy, with prices adapted to the perception of Codorníu, DO “cava” as a luxury drink in the local market; commercialisation through distribution channels managed by local intermediaries; and promotions via direct marketing in social media, blogs, and in-store promotions.
