Q&A: Chris White, CEO, Denbies

Denbies operates at a scale few English producers can match. Do you see the future of English wine - particularly still - being driven by volume-led producers like yourselves, or by smaller premium estates building category prestige?

When Denbies entered the English Wine scene in the 1980's, there was a stigma attached to English wine, with perceptions that it was expensive and not widely accessible through restaurants or major retailers. However, I believe that it would be risky for English wine to pigeonhole itself into any one category, as this could leave the industry vulnerable to economic downturns, where consumers move away from luxury items, or shifts in consumer taste and style preferences. Instead, the sector needs to maintain a balanced portfolio across a range of producers and styles. 

English still wines often enter the market at prices comparable to established Old World regions. From a commercial standpoint, do you think the category has fully reckoned with how tough that comparison is for buyers and consumers?

Boutique English still wines are competing with Old World regions in both price and quality but currently, I don't believe this category has fully reckoned with how challenging this comparison is for buyers and consumers. However, this was also the case with English sparkling wine just a few years ago, and the industry has gradually worked to overcome these perceptions, which I hope will also happen for high-end English still wines. 

With our entry-level still wines, we have had a significant amount of success breaking down these barriers by offering styles that align with consumer preferences at accessible price points. This is why many major retailers have chosen Denbies to supply them with their own-label wines.

When it comes to exports, what are the biggest structural barriers for English still wine - brand recognition, pricing, or simply lack of demand?

Exporting English still wine continues to present a number of challenges, including brand recognition, pricing, and lack of demand. As a result, although Denbies looks to supply niche wine merchants and high-end restaurants internationally, it is not a major focus for us.

The level of capital required to make a meaningful impact in new export markets, combined with the additional costs associated with selling our wine abroad, means that the risk-reward ratio just doesn't stack up for us. 

Denbies combines winemaking with tourism and hospitality - how do you balance these business lines, and which do you see as the primary growth driver over the next decade?

Being able to offer the complete English wine experience is really important to us. We love to encourage customers to visit our winery so they can enjoy everything Denbies has to offer – guided vineyard tours, access to our cellars, the vineyard train experience, curated wine and food pairings, and on-site retail. We now have three restaurants, a hotel, and a gift shop, and welcome around 420,000 visitors to the estate each year, many of whom have the opportunity to taste our wines during their visit.

When Denbies was created 40 years ago, the vast majority of sales were through external channels and not via the cellar door, which is something that has changed over the years. We have also developed Denbies Direct Retail, our online sales platform, to complement in-person sales. 

Today, we aim to maintain a balanced approach between external retail partnerships and direct-to-consumer transactions, and we are delighted that sales are growing on both sides.

What structural or regulatory barriers still limit the growth of the UK wine industry, and what changes would you most like to see from policymakers?

Many of our international competitors benefit from a significant advantage in that domestic wine sales are not subject to the same high levels of alcohol duty as in the UK. This allows them to sell their wines more competitively in their home markets while maintaining stronger margins than UK producers. For example, in France, the vast majority of wines sold in their supermarkets are domestically produced, and prices are often comparatively accessible.

We would welcome greater support from policymakers, particularly in relation to encouraging cellar door sales and introducing a fairer, more competitive duty framework for UK producers. Improved margins from cellar door sales would help drive further investment in vineyards, tourism infrastructure, and the wider rural economy, strengthening the long-term sustainability and growth of the UK wine industry. 

Gazing into a crystal ball, where do you see the UK wine industry in ten year's time?

The English wine industry has seen significant growth in both supply and demand over the past ten years. The exponential growth in sales has begun to stabilise following the dizzy heights of previous years, and I believe we will see some consolidation within the industry.

English wines are well-positioned to support further growth in the coming years, as alcohol levels, styles, and the diversity of wines being produced are increasingly aligned with evolving consumer trends. 

We have also found that British customers are demanding more sustainable products, and retailers have responded by sourcing wines produced in a sustainable manner. The English  wine industry responded proactively by introducing its own sustainability accreditations for vineyards and wineries, and this is already contributing to positive sales growth. Over time, this will also help to reduce the UK's reliance on imported wine.