Innovation

Felton Road Wines was purchased by Nigel Greening in 2000. After the purchase, both he and Blair Walter conversed about the direction of the company. In Nigel’s wisdom was the recognition that the planet cannot sustain infinite growth. They agreed that 12,000 cases would be a production level that is both attainable and would keep high quality wine as the primary objective of the company. In 2006, this production level was reached and since then has been the maximum production level at which they operate. The zero-growth strategy was reviewed in 2016 with the decision to stay at 12,000 cases.

The zero-growth strategy has meant Nigel, Blair, and their team have been able to focus on business strategy, production methods both in the vineyard and winery, and their overall consumption profile.

Their focus on these areas, rather than focusing on growth, has seen Felton Road Wines convert to organic and biodynamic practices since 2002 with Demeter certification coming in 2010 and Biogro certification in 2020. Highly diverse cover crop mixes are used every second row with a flowering row every 7-10 rows. This helps to create biodiverse areas which encourage insect activity and reduce the need for mowing and tractor passes resulting in less diesel use. Since 2015, they have been using light weight bottles, made from 70% recycled glass, and saved 120 tonnes of glass from being manufactured and transported. Recently Felton Road has become a member of the International Wineries for Climate Action (IWCA).

Felton Road Wines have begun reporting their emissions profile in accordance with ISO standards. They have commenced reducing their energy use through installation of solar panels, reviewing their diesel use in the vineyard and winery, upgrading their machinery to more efficient models or to electric models. Felton Road Wines are also reviewing their scope 3 emissions, both upstream and downstream in their value chain, to coordinate better practices with their partners and stakeholders.

Inspiration

Initially, Blair and Nigel’s main inspiration was taking notice of successful domains and wine producers from California and Burgundy who sat around the 12,000 cases mark. “Our first priority was premium wine, we looked at examples around the world, especially California and Burgundy, and saw 12,000 cases was a good area to be in for premium brands… Quality has always been before growth.”

Felton Road's vision has changed as they have charted their own path. Through the interview it was clear that in their journey there has been an emphasis on responsibility of business outputs, and constantly evaluating the businesses effects on the land and people around them. Their choice to monitor emissions and waste, including scope 3 emissions, undertaking of frequent soil health tests, and paying staff a living wage are examples of this continual desire to sustain the land and people involved with their business. Blair acknowledges that all of this is possible while in a growth mindset and that the motivation to be more sustainable is mainly altruistic. However, he acknowledges that the zero-growth strategy has helped with this altruism by promoting sensible production methods. “Capping growth makes you look at what you have and to do well with that."

Felton Road’s motivation also comes from the awareness of their customers and the greater world.

“We think globally… The world is becoming more conscious around business actions, the developed world needs to give back in a meaningful way.”

Overall impact

The short-term effects were seen in the focus on quality rather than growth. This has resulted in Felton Road Wines becoming one of the best producers of wine in New Zealand and internationally recognised and celebrated. Their focus on quality was part of the motivation to go organic and implement biodynamic practices. Since growth was capped to 12,000 cases the expanding of the old winery was mainly focused on quality production rather than potential to grow production. The winery was built into the hillside for energy efficiency. The cellars in the hillside keep the wines at the ideal temperature during both winter and summer seasons, without the need for large refrigeration units. The configuration of hillside allows the wine to be moved by gravity rather than pumps resulting in less energy consumption.

The long term impacts have been in the embedding of sustainability in business practice. Felton Road Wines has continually pursued and implemented sustainable projects, while also addressing their resource consumption profile. Without the need to focus on securing new markets and forecast growth levels, their meetings and time has been spent reviewing their business strategy and their production methods. Their acceptance into the IWCA is proof that these efforts are being recognized, and with that acceptance new goals and improvements are set for their business. They’re increasingly looking to decarbonize the business. They’ve installed solar panels on the winery roof and have a fleet of electric vehicles. They’re also conducting a drought tolerant root-stock trial, trying to lower water usage through irrigation while maintaining premium wine quality. Their core values of sustainability and quality have seen them named 19th in the Drinks International list of the World’s Most Admired Wine Brands.

Business benefit

The zero-growth strategy deployed by Felton Road Wines has meant that they’ve been able to focus on ensuring high quality wines, reviewing their practices, and pursuing greater sustainability goals. Blair indicated the toll on time that constant growth has on a business. “Growth occupies a large part of your mind, business, and meetings. That is time that can be put into sustainable practices… Time and focus are under appreciated."

Felton Road has been true to this quote. They’ve spent their years not only producing some of New Zealand’s best wines but also gaining accreditation and recognition. “With the time and ease of business we’ve been able to pursue certifications such as Biogro, IWCA and put in our application for B-Corp.” These accreditations are a mark of approval of their practices. While not used for marketing purposes, they do help Felton Road stake their claim as responsible land stewards and recognize their efforts in creating a more sustainable world. Nigel Greening was a Grand Seminar Panelist at the International Pinot Noir Celebration and talked about sustainability in wine production not only in the context of Felton Road Wines but also in the greater industry context.

Overall, ease of business, time, and focus facilitated by the zero-growth strategy has allowed Felton Road Wines to pursue lofty targets and continue being ahead of the curve. This pursuit has gained them a loyal following and a conscious customer base which Felton Road Wines have a great relationship with, and to Blair’s acknowledgment, “We’re lucky to have such a great customer base, these people care about what we’re doing."

Social and environmental benefit

Felton Road Wine’s conscious business practice flows into their viticulture. Soil moisture probes, irrigation drippers tailored for the individual vines needs, and more recently sub-surface irrigation techniques, in parts of the vineyards, means they only extract what water they need while minimizing the loss of water to evaporation or over watering. Their organic conversion and regenerative viticulture approach require that they use no synthetic chemicals and are aware of maintaining healthy soils and soil microbiomes for plants to partner with. This facilitates many positive downstream effects such as greater carbon sequestration, better decomposition, greater soil water retention and greater biodiversity. Biodiversity is encouraged through cover crop rows, flowering rows, native plantings on areas unsuitable for viticulture, and the integration of livestock such as goats, chickens, and cows.

Everyone employed at Felton Road earns a living wage, and they look to give bonuses and education opportunities to help with staff retention. Benefits are not only financial as organic produce from the gardens and the meat from the livestock are shared with their staff through communal lunches and take home packages.

Without the demands of continual business growth, they’ve also enjoyed the possibility to give back to the community. Felton Road Wines have been given license to develop on the land that includes part of the local cycle trail. Planting and preserving native plants while maintaining sections of the cycle trial allows Felton Road Wines to give back to the local community of which they know they have a responsibility too.

Interview

Blair Walter, Winemaker, General Manager, Director