Wine Tourism in Hunter Valley, Australia: A Business Analysis Report

This report provides a detailed analysis of wine tourism, focusing on the Hunter Valley region of Australia. It begins with an introduction to the growing trend of vinitourism and the Hunter Valley's significance as a key wine-producing region. The report includes a firsthand account of a visit to Tamburlaine Winery, highlighting the unique experiences offered and the potential for promoting wine tourism. It then explores the eight factors that influence destination selection, as defined by Roberts and Sparks, and assesses the Hunter Valley's strengths in each area. The report also examines services beyond cellar door visits, the potential market for Australian wine, and the opportunities, threats, and competition within the Hunter Valley. Finally, it addresses the sustainability of the wine tourism industry and provides recommendations for future development, concluding with a look at the market potential and growth of the Australian wine industry.

Running head: WINE TOURISM
WINE TOURISM
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction................................................................................................................................2
A life time experience: Tamburlaine Winery, Hunter Valley................................................3
The eight enhancement factors of wine tourism....................................................................4
Services other than cellar door visits.....................................................................................5
Potential Market for the Australian Wine..................................................................................6
Opportunities, Potential threats and Competition: A Hunter Valley perspective..................7
Sustainability of the Wine Tourism industry.............................................................................8
Recommendations:.....................................................................................................................8
Conclusion:................................................................................................................................9
References................................................................................................................................10

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Introduction
The growing trend of exotic tourism has opened newer avenues of tourism and travel
industry. The advents of vintage tourism revolving around wineries and vineyards have been
a growing trend since the late twentieth century. The vineyards offer holistic tourism and
create opportunities for promotion and marketing of the products with a live experience in
wine making. The Australian wine tourism is greatly concentrated in the southern part of
Australia and the Hunter Valley being one of the oldest wine producing regions in Australia.
The hunter valley has extensive vineyards and adds to the vinitourism in the region.
The Hunter valley is an approximately three and a half hours drive from Sydney and
has long roots of viticulture. For a study tour, we visited the vineyards of McGuigan and
Tamburlaine in the valley on 19th of October, 2018. Both the Wineries are vintage wineries
and have been recorded in producing fine quality wines. The visit to Tamburlaine winery will
be reflected in the report and an evaluation of the potentiality to promote vinitourism will be
approached. The Tamburlaine Winery was established in 1966 by Dr. Lance Allen and was
later bought by Mark Davidson and a group of his friends. The specialty of Timberlaine
winery is the production of organic wine with contemporary processes of manufacturing.
Image1. Sydney to Hunter valley; Source Google Earth (2018)

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A life time experience: Tamburlaine Winery, Hunter Valley.
A firsthand experience of a vineyard gives an exotic feeling to any individual and is a
once in a life time experience. The Hunter Valley houses several vineyards who have been
involved in producing exotic vintage wines from the late twenties. The Hunter valley with its
proximity to Sydney allows easy access for tourists and travelers interested in wine
destinations. The Hunter valley is noted for its sophisticated and unique strains of Semillon.
The visit was really interesting and we started with the formal interaction with of the
managers, visit to the vineyards and finally getting a tour at the processing unit and the cellar.
The cellar visits were really intriguing and created enormous excitement among us. Apart
from the Winery, we also visited the home stays and wedding venues that Tamburlaine
Organic Wines provide in their property. The locations were extremely picturesque, and I had
a soothing experience visiting them. These added attractions I feel, add to the value of the
Tamburlaine brand and enhances tourism opportunities in the Hunter valley
(TAMBURLAINE ORGANIC WINES. 2018). The Hunter valley has planned their tourism
potential in a very organized manner. There are several options for an individual willing to
visit the valley to choose from. The tourists can have pre booking facilities and interested
individuals can book a Tasting in the property. With the growing advent of destination
wedding, these properties provide excellent opportunities for wedding venues. These are
added facilities provided by the Hunter Valley in order to attract tourists and facilitate
Vinitourism or commonly called wine tourism (Australia.com. 2018).
An analysis of the tourism potential will be attempted with the help of the factors that
determine the potential of the tourism of any location. The Hunter valley has taken adequate
care in order to cater facilities that would attract tourists to visit the valley. The field trip that
we did in the plantation give an in depth experience in vine plantation, fruiting and

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harvesting, and the simultaneous processes that go on to make a vintage wine. Wine being an
exotic commodity drives interest among tourists in their manufacturing processes. The live
action of the wine processing gave me utter thrill. This live experience provides the tourists
an idea about the effort that goes behind the crafting of the vintage wines. Tourists in certain
wineries are allowed to take part in the harvest festivals which allow them to get an
experience in the processes. The vineyards with their picturesque locations are aesthetically
marvelous providing ultimate gratification to visitors.
The eight enhancement factors of wine tourism
According to Roberts and Sparks, the priority of choosing a destination is dependent on eight
factors that enhance or diminish the chances of selection by tourists. These include the
1. Authenticity of experience
2. Settings and surroundings of the location
3. Product Offered by the Wineries
4. Value of money should be justified
5. Service interactions with the visitors
6. Dissemination of Information
7. Personal Growth and finally,
8. Indulgence or lifestyle preferences.
The Hunter Valley has potential to provide authentic experiences to its visitors. The Hunter
Valley regions being the oldest vineyards in Australia have legacy and vintage added to its
value and can provide experiences that are exclusively authentic and unique. Given the
services they provide are extremely authentic and as mentioned earlier, is a once in a life time
experience (Roberts, & Sparks, 2006).

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The settings and the surroundings are picturesque being located in close proximity
with Sydney. The valley has been source of pollution free environment along with rivers and
valleys that stretch the region. This provides a holistic environment, and attracts enough
tourists in the valley (Australia.com. 2018).
The Hunter valley has a wide range of product that is available at the location. The
Tamburlaine winery offers Organic, low sulfur wines which is a growing demand. Apart
from Red and White wines, different categories of wines like rose wine and sparkling wines
are also available. There is a wide range of products that the Hunter valley offers
(Australia.com. 2018).
Value for money is also justified in the winery. The choice to choose from the Cellars
allows for greater satisfaction. The ready availability of almost all products at the similar
range of prices, provides value for money. The opportunity to choose after wine tasting
session also gratifies the value for money.
Service interaction has also been good and informative during the visit. The staffs
were really helpful and supportive during the field trip. The interaction was informative and
greatly interesting. They answered our queries with patience and made us feel comfortable
during the trip. It was a friendly experience altogether.
There are adequate facilities to provide necessary information and guidance for
visitors. Several visitor centres and facilitation counters are present throughout the valley in
order to provide tour guidance and information. This is an important requirement for any
tourist destination to flourish (Winecountry.com.au. 2018).

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Regarding personal growth and lifestyle offerings, the Hunter valley promotions by
captioning “towards a good life” and offers personal growth as well by allowing exposure to
individuals in the wine processing and the wine industry.
Services other than cellar door visits
Hunter valley offers wedding destination plans for couples who are interested in making their
weddings exquisite. Apart from wedding planning, the Hunter Valley also offers
‘Accommodations’ for planned vacations. There a list of resorts all over the Hunter valley
that over luxury accommodations and are maintained by respective wineries. Tourists can
book for planned vacations. The Hunter valley also organizes concerts and festivals which
include the famous performers from around the globe. The Hunter Valley Wine and Food
festival is also a major attraction for connoisseurs. The weddings planner provides various
options ranging from garden weddings to resort weddings to church weddings (Hunter Valley
Wedding Venue, Peppers Creek, Roche Estate. 2018). This allows a lot of promotion for the
Hunter Valley wineries to promote their wines and properties (Winecountry.com.au.
2018).
These factors altogether cumulate to make Hunter valley a good option for tourists
and connoisseurs. Though the popularity all together might hamper the ecological balance,
keeping that in check, the valley is absolutely an excellent option for an tourists and travelers
(Australia.com. 2018).
Potential Market for the Australian Wine
The potential market growth for the Australian Wine is seen in the various economies
with the increase in popularity and quality standards of the Australian Wine. The reports from
Wine Australia, USA and China are the potential markets for the Australian Wine. The

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growing demand of Australian Wine in these markets show potential in the future for
premium Australian Wines. The Australian Wine market has seen a growth by 4% with an
amount of 443 Million Australian Dollars in the market. A recent promotional road show in
June saw participation of at least 1000 members from the North American Wine Trade to get
a better understanding about the Australia’ wineries. This proves the growing interest of the
Australian Wine in the US market. Reports from Wine Australia reveal that the value of the
Australian Wine exports to the US have increased over A$10 per litre and are the highest
since 2012, increasing by over 58 %. The report also reveals that the increased demand has
been seen by millenials and is a potential market grower for the future (Wineaustralia.com.
2018). Wine exports have grown by 15 % in value amounting to 2.56 billion US dollars and
production volume grew to 811 million litres. The market seems to give a positive growth
over the next few years (Anderson, & Aryal, 2015).
Looking at the above figures it can be clearly noted that with growth in the exports
and the growing popularity of Australian Wines in the international market, the wineries and
the vineyards can promote their growth in wine tourism by promoting their wines and
properties. The promotion of the product along with the tourism will boost the tourism sector
of the Australia as well. The rising demand and popularity will encourage people to travel to
these destinations and have an experiential tour of the products they use (Wineaustralia.com.
2018).
Opportunities, Potential threats and Competition: A Hunter Valley perspective
The opportunities that are intermittent for Hunter valley include several issues that
need to be taken care of. The increase in popularity globally will attract customers and
tourists from various parts of the world. This will grow the business by added popularity after
the visit to the winery. The seasons when active work or harvests are not being conducted can

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be utilised as the Hunter valley organizes several fests and concerts along with festivals
happening round the year (Carlsen, & Boksberger, 2015). The opportunities seem bright for
the valley in the coming days and can be summarized as follows:
 Increased tourist inflow
 Increased production due to rising demand
 Expansion opportunities overseas due to the increased popularity
 Over all development of the region to cater to the demands.
With the growing opportunities threats are obvious to be evident. The growing popularity and
inflow of tourists all round the year might hamper the ecological balance affecting the quality
of the vineyards. Being very sensitive to external factors, grapes and vines can degrade their
productivity. The wine industry lies in the base of quality and excessive human interference
can hamper that. The other posing threat lies in the pressure of production which can also
affect productivity. The competition is largely stiff due to the number of wine producing
regions in Australia. Hunter Valley being the oldest has the upper edge for the vintage
quality, yet the in terms of production and categories of Wine, people might opt other
locations as Yarra valley and the Barossa valley which have equally competent Wines and
attractive enhancement factors.
Sustainability of the Wine Tourism industry
Sustainability has been strongly promoted to maintain the best standards in the
industry. Tamburlaine Organic Winery has been leading the forefront with sustainability
workshops and environment friendly methods of production. The regulatory authority for
sustainable wine production in Australia is being looked after by Entwine Australia. Entwine
looks after the sustainable wine production and organizes certification programs based on
ISO 14000 standards and Freshcare Environmental viticulture/ Winery. The sustainable

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programs and practice methods have been brought under the auspice of Entwine Australia
that regulates the sustainable management techniques and practices for Wineries and wine
producers across Australia (The Australian Wine Research Institute. 2018).
Recommendations:
The growing wine industry in Australia needs to keep a check in the production quality to
maintain its competiveness in the international market. Observing the wine scenario and the
growing vinitourism, it has to be noted that the threat from overcrowding and excessive
tourist pressure, should be addressed before hand. The few recommendations that can be
made include.
 Segregating tourist seasons and harvest seasons and limiting the number of tourists
while during harvest.
 To maintain the exotic feel of the Hunter valley, more contemporary and organic
cultures must be initiated and encouraged. This will also provide competitive edge
over other wine valleys in Australia.
 Short educational workshops can be organized in the plantations to raise interest and
provide firsthand knowledge about the wine making processes.
 Promote eco tourism to encourage sustainability in the industry and ensure habitat
conservation of the vines.
Conclusion:
The wine industry in Australia is a booming industry with the growing demand across
the world. The wine tourism is a supplementary to the winery and fetches a good amount of
revenue during non productive seasons. The growing trend of the wine tourism has been
promoted by lifestyle companies and travel operators owing to their distinct nature of

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tourism. The Hunter valley being one the oldest among the winery fraternities in Australia
has extreme potential to grow over the years adding to the revenue generated out the industry.
It is high time that these potential areas of development be promoted sustainably to create
opportunities for employment and societal development along with awareness for
environment.
References
Anderson, K. Growth and Cycles in Australia’s Wine Industry.
Anderson, K., & Aryal, N. R. (2015). Growth and cycles in Australia’s wine industry: a
statistical compendium, 1843 to 2013 (p. 610). University of Adelaide Press.
Australia.com. (2018). Guide to the Hunter Valley, New South Wales - Tourism Australia.
Retrieved from https://www.australia.com/en-us/places/sydney-and-surrounds/guide-
to-the-hunter-valley.html
Carlsen, J., & Boksberger, P. (2015). Enhancing consumer value in wine tourism. Journal of
Hospitality & Tourism Research, 39(1), 132-144.
Ferrierhodgson.com. (2018). Retrieved from
https://www.ferrierhodgson.com/au/-/media/ferrier/files/documents/
publications/ferrier-focus/2015/2016/ferrier-focus-april-2016.pdf
Hunter Valley Wedding Venue, Peppers Creek, Roche Estate. (2018). Hunter Valley
Wedding Venue, Peppers Creek, Roche Estate. Retrieved from
https://www.winecountryweddings.net.au/

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Lee, J., & McCole, D. (2016). Understanding winery visitors: The relationship among wine
involvement, perceived value, and winery loyalty.
Nella, A., & Christou, E. (2014). Segmenting wine tourists on the basis of involvement with
wine. Journal of Travel & Tourism Marketing, 31(7), 783-798.
Roberts, L., & Sparks, B. (2006). Enhancing the wine tourism experience: The customers’
viewpoint. Global wine tourism research management and marketing, 47-66.
TAMBURLAINE ORGANIC WINES. (2018). TAMBURLAINE ORGANIC WINES |
Hunter Valley Wineries. Retrieved from
http://www.huntervalleyonline.com.au/tamburlaine
The Australian Wine Research Institute. (2018). Entwine Australia - The Australian Wine
Research Institute. Retrieved from
https://www.awri.com.au/industry_support/entwine/
The Australian Wine Research Institute. (2018). Entwine Australia - The Australian Wine
Research Institute. Retrieved from
https://www.awri.com.au/industry_support/entwine/
Wineaustralia.com. (2018). Australian wine exports setting new records. Retrieved from
https://www.wineaustralia.com/news/media-releases/australian-wine-exports-setting-
new-records
Wineaustralia.com. (2018). Retrieved from
https://www.wineaustralia.com/market-insights/australian-wine-exports
Winecountry.com.au. (2018). Hunter Valley Wine Country - Here's to the good life.
Retrieved from https://www.winecountry.com.au/discover/the-good-life