Proactive Investors - Run By Investors For Investors

Dawine to expand wine sales in China through B2B channel

Along with the change in distribution strategy, the company is changing its name to Digital Wine Ventures Limited.
Elegant asian woman in gown drinking white wine glass at rooftop bar terrace looking at city lights skyline view of Shanghai in sunset
Dawine is expanding its network into major Chinese cities as demand grows

Dawine Ltd (ASX:DW8) has achieved the first sale of 17,000 bottles for its newly initiated business-to-business (B2B) arm, signalling an effort to increase its exposure to China's $1.1 billion per annum appetite for Australian wine.

Dawine chairman Piers Lewis said: “Up until now, we’ve been trying to build our own consumer database through a variety of online sales channels.

“While we’ve made some progress, customer acquisition costs are extremely high unless you are selling very well known brands such as Penfolds or Jacobs Creek.

“Rather than compete directly for customers, we’ve recognised that it is more efficient to partner with existing Chinese retailers and sales channels, providing them a platform to access Australian wine brands.”


“Our aim is to provide a one-stop-shop for Australian wine producers of all scales to access the lucrative but difficult to navigate Chinese market.

“We’ll manage the entire process for them, from when the wine leaves the cellar door to when it’s delivered to a home in China.”

READ: Dawine acquires smart logistics platform, appoints new CEO to drive wine sales into China

The B2B focus also aligns with the company’s proposed acquisition of Wine Depot, an integrated B2B trading and logistics platform that allows retailers to drop ship orders directly to their customers from the inventory held in a strategically placed location.

Lewis added: "We have had a presence in Shanghai for almost three years now. It’s a logical starting point to establish a depot to service the China market.

“Similar to Wine Depot’s plans for Australia, we would look to expand the network into other major Chinese cities as the demand grows.

“With the likes of Alibaba investing over $400 million into wine importer and retailer, it shows just how much potential there is if you get the operating model right.”

Along with the change in distribution strategy, the Dawine board has decided to rebrand the company's name to Digital Wine Ventures Limited.

View full DW8 profile View Profile

Dawine Ltd Timeline

Related Articles

Australian dollars
February 04 2019
The recruitment, building and training services provider is working to a target to triple its business operations.
May 21 2019
Hazer Group is the first listed Australian company to produce clean hydrogen.
plasma torch
May 03 2019
PyroGenesis harnesses the unique properties of thermal plasma to melt and transform metal, carry out high temperature chemical reactions and convert waste into energy

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use