Australian yellow tail wine owes its success to word-of-mouth because it is an affordable wine for everyday drinking. Its popularity and success are due to its straightforward fresh mature fruit sold at a very reasonable price. Australian wine has the sort of taste that makes people who do not drink want to drink this wine. You will not find this wine on the wine list of a good restaurant and people do not open up a bottle of the wine on special occasions only. It is a wine that people who like wine want to drink every day, especially with meals.
BOS frameworks applicable in the success story of the yellow line wine are the careful construction of the buyer element by creating a new value curve as the yellow tail is now considered to be the perfect café wine. From the beginning, the wine was produced for everyday drinking and relied more on word-of-mouth than advertising or any other form of commercial promotion. When people developed a taste for the wine, it started exporting to America which made it popular in a larger, more affluent population. One other contributory factor to their success story is that is still a family business and run accordingly.
Because of its unique taste, the yellow tail does not have the type of competition that other wine makers face. Its price and production cost are both attractive and it delivers what the customer wants and prefers. The yellow tail also keeps a sharp eye on trends and targets people who are usually teetotalers because they are not hooked on beer or other spirits. Yellow Tail was well aware of its target audience in the US which is females between the ages of 25-45. They started exporting an existing sparkling that quickly became popular with its targeted audience. Since it became popular quickly, it did not have compromise on price and other factors to beat the competition.
Maintaining their cost structure was not difficult because they could easily obtain material, equipment, nd manpower at very reasonable prices. Because of this they did not have to compromise on quality and did not have to go to unreasonable lengths to beat or eliminate their competitors. The main factor in their success was quality and price. The yellow tail also studied the strategies of American wine makers and created a BOS strategy profile which beat the competition very effectively. This proved the theory that no matter how crowded the market is a good product and strategy will go a long way in carving a niche for itself.