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As the pioneer of Vitis Vinifera in the Eastern US, Dr. Konstantin Frank is one of the key leaders of the Fingers Lakes region in New York. Meaghan Frank, a fourth-generation vintner, has been leading the charge to evolve its hospitality program to create brand ambassadors for the winery and the region. Its 1886 Wine Experience has won Best Wine Tour by USA Today in the last two years. Meaghan breaks down their hospitality program and its impact on their business.
Detailed Show Notes:
Finger Lakes region, NY - 150 wineries (of 400 in NY), NW NY State - 5 hrs from NYC
Skinny, deep lakes that moderate weatherGlaciers left diverse soilsTourism-driven, seasonal visitors (spring to fall) for lakes, hiking, close to Niagara Falls, Corning Museum of GlassDr. Konstantin Frank - PhD in Viticulture from Odesa, Ukraine; a grape scientist; fled to NY during WWII
35 years of cold climate grape growing experience when moved to NY1st to plant vinifera in Eastern USPlanted experiment station in the 1950s - 68 varieties, including Furmit, Pedro Ximenez, and Touriga Nacional) to research what would work bestDr. K Frank Winery
17 vinifera varieties â 40 wines60% wholesale, 40% DTC40 states, 9 export markets (5%, incl Japan, Aruba (lots of NY visitors), UK)DTC 60% e-commerce (driven by wine club), 40% hospitalityHospitality program
The goal is to create brand ambassadors and loyalty, get the word out about the Finger LakesInspired by Australian hospitality programs - private, educational~40k visitors/year (#1 PA - 1 hour away, NJ, OH, NY core markets) - all seated, paidPre-pandemic - ~80k visitors/year for free bar tastingsMoved to an experience-driven program with wine educators, take advantage of lake viewThree experiences:
Eugeniaâs Garden - modeled after great grandmotherâs garden, most casual, can do a la carte glasses/bottles/flights; enables people to enjoy the day; targets a younger demographicSignature Seated ($15pp) - most popular, educational, 1 hr, 6 wines, 5 different themes that are part of the wineryâs story (e.g., traditional sparkling, Riesling pioneer, groundbreaking grapes, red wines)The 1886 Wine Experience ($75pp) - only May-Oct, 2-2.5 hrs, led by wine educator, a tour of the vineyard, sparkling and still wine cellars, seated tasting of 4 wines with bites, followed by additional tastings; won best wine tour by USA Today last 2 years; lots of 1st-time visitors book 1886 due to unique natureLessons learned - used to do 6 wine flight w/ bites, which was too many; did themed months (e.g., sparkling) - did not work with mostly touristsDifferentiators - spend lots of time, has a separate private space for 1886Wine club evolution
Used to have people pay upfront for the year - bigger barrier to signing up, always feel like âplaying catchupâ to ensure value delivered, concentrated work during shipment periodsMoved to more subscription model - quarterly, 3 wines w/ default package, fully customizable, no upfront fee, 20% discount on wines, and get free tastings (no limit)8% club conversion - the only way to get free tastings now, used to waive w/ 4 bottle purchaseLocals small portion of the club - pickup option only 10%, PA #1Avg tenure 1.5 years, seeing it extend with the new club modelPopular wines
Hospitality - Rkatsiteli #1, traditional method sparklingWholesale - #1 & #2 - dry & semi-dry RieslingRiesling 60% of production, traditional method growingIncreasing issues around climate change - 2023 had the largest spring frost in history, increasing water issues
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With ~2M monthly sessions on their newly unified commerce and media website, Wine Enthusiast continues to be a beacon for the wine industry. Jacki Strum, President of Wine Enthusiast Media, details their new wine review platform and global wine travel directory, democratizing access to wine and wine experiences globally. These initiatives help bring more people into the world of wine, including the younger generations, a critical part of building a vibrant wine industry.
Detailed Show Notes:
Covid altered the business model, led to re-structured organization and unified media and commerce divisions on wineenthusiast.com
2022 - WE paused reviews for emerging wine regions to recalibrate systems
Existing tasting process
1 of 2 publications that review every wine blind (high cost), taste in flights w/in region and price bracketsNeed to store, archive, organize wines, set up tastings (in paper bags with numbers), and hire reviewers50% of reviews are done at HQ (imported wines), and West Coast wines are done locallyThe manual process of filling out a pdf and putting that into the box with wines, manually inputted into J Guide (legacy system, 20 years old), then stored and organized for tastingNew tasting platform (Sept 2024) - anyone can submit a wine for review and all will be reviewed
New digital platform - bar code scanners, printed tabs, can track shipments and deliveries, a more fluid databaseReduces large volume of questions from people submitting wine (can track digitally)It has the same # of reviewers, but a more flexible infrastructure can allow for more wines to be tasted$65/SKU processing fee - all reviewers charge in some way (e.g., require subscription, membership, or advertisement)6-month processing time (same as before) - hope to reduce this over time, based on the schedule of reviewersPrinted reviews selected by the tasting dept, all scores published online for freeTasting platform benefits for new and small wineries
Opens up reviews to all regions across the globeThe US market is still heavily score-driven for distribution (some major retailers, e.g., Costco, Kroger, Albertsons, require scores from major publications)Helps with tasting room and local distribution salesMedia trends
Print is still doing well (e.g., books outsold movie tickets last year), and magazine subscriptions are increasing (free tote bags help)Advertising up slightly Digital media is growing, with a targeted advertising focusEvents - biggest growth area - launched Sip of South America, Sip of Italy, and biggest event is Wine Star Awards (25th Anniversary in SF this year)TikTok now allows alcohol advertising, getting Gen Z engaged with wine knowledgeNew travel division for WE
Tasting room directory, partnered w/ Tock - 1st agnostic travel global wine travel guideLeverages Tockâs wineries as launching list (~1,200 wineries, CA focused), building out globally with WE relationships (~100 wineries reached out in 1st month to be included)The 2nd most trafficked page on the siteWE revenue mix
Covid - led to explosive commerce growthToday - back to 2019 levels, ~80% commerce / ~20% mediaGetting Gen Z engaged with wine
Print enables content absorption without ad bombardment (e.g., book reading bars in NYC)Need to change content for each channel to target audience (e.g., Google as peopleâs âsecret diary,â article on how to hold a wine glass became a top 5 article)Influencers, infographics, video - bring in new consumers (e.g., wine & potato chip parking article led to major influencer doing every pairing on TikTok) Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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During a career sabbatical from wine PR at a yoga teacher retreat, Morgan Perry tried combining wine education and yoga with great success. Her classmates practically forced her to found Vino Vinyasa, which has blossomed into six cities. With a focus on creating great experiences rather than selling wine, Morgan has created a platform where people learn about wine and end up seeking out the wines featured in classes.
Detailed Show Notes:
Morganâs background - wine PR, been in wine for ~15 years, became a yoga teacher in 2017
Wine & Yoga synergies
Both are about mindfulness - yoga and the wine tasting processNot for hard-core wellness or yoga peopleVino Vinyasa
For the yoga teacher exam, the teacher encouraged something different, tried yoga & wine, and got a fantastic reception6 cities - NYC (2017), Austin (2018), Nashville, Chicago, LA, HoustonVino Vinyasa programming
45 min Vinyasa yoga (all levels), followed by wine tasting of 2 winesTaste wine after yoga - people are relaxed and have âyoga brainâ in a quiet, focused environment â people may be better tastersEmbed wine facts during yogaA comparative tasting of 2 wines, usually themed (e.g., Rose, Sauvignon Blanc)All instructors have a wine background (min WSET 1)2-3 classes/month, 20-25 people/class for intimacy (capped at 30)~30 classes/themes developed to dateVery intentional class structure, certain poses not suitable for teachingBusiness model
The core business is to get people to do more classes and events, not be overly salesy with wineDo private events (90% are bachelorette parties)Sell swag (t-shirts), co-branded bottlesLook to be good value (avg class price $30) vs. regular yoga classes (avg ~$20-25, range from $10-35 for drop in class)Students often seek out wines after classes
Wine selection for classes
Venue dependant, venues carry liquor licensesCity Winery (NYC) - chooses the wines based on their selectionOther venues - can get wines donated for classesPrivate events - Customers can select wines/themesHave worked with PR clients for winesSome wineries sponsored virtual classes during CovidMarketing
PR background has helped and got early press (e.g., digital Good Morning America), mostly wine marketEmail newsletterIG is the best channel, does some boosting, and is focused on growth during Covid (~11k followers)Digital marketing has focused on both wellness and wine people~15-20% of people have attended multiple classesPrivate events
Bachelorette parties, birthdays, corporate events (e.g., Binnyâs in Chicago)The focus area for growthSame format as classesWellness & wine market
Other wine + yoga classes are not educational; some are tied to multi-level marketing wine programs that have long sales pitchesSees more yoga at wineriesThey have been approached by a couple of spas for partnerships, but the economics were not favorable yet (i.e., yoga teachers often are not paid well, ~$30/class) Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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Taking over an iconic estate can be both exciting and terrifying. When EPI purchased the iconic Brunello di Montalcino producer Biondi Santi in 2017, they asked Giampiero Bertolini to take over as CEO. Giampiero was excited to join the âChampions Leagueâ of wine but also had to convince the local community that this outside investment would be good. He delves into how Biondi Santi has been pushing toward creating more value for the brand while maintaining its core essence.
Detailed Show Notes:
Biondi Santiâs history
Family invented Brunello di MontalcinoFounded in 1888 - Ferruccio Biondi Santi had a vision of quality wine with longevity during a time when people focused on quantity with wine as part of the dietBottled in Bordeaux-shaped glass (a sign of quality) vs. standard Tuscan fiascoTancredi Biondi Santi - one of the top consulting winemakers of the time, was asked to write appellation rules in 1967Franco Biondi Santi (âthe doctorâ) - selected the BBS11 clone in the â70s and organized a 100-year vertical tasting (1888-1988) in 1994 with important wine writers that boosted the image of Brunello. One writer gave the 1891 vintage 100 pointsLa Storica (wine library) - has all vintages since 1888, releases one old Riserva with a current Riserva each year
Path to Iconic Status
The vision of the family - be good winemakers, high-qualityIn the global market regularly â elevated the Biondi Santi to a different levelThe wine offered to Queen Elizabeth II in 1967 was a favorite of Frank SinatraâsEPI acquired Biondi Santi in 2017 and installed Giampiero as CEO; the community was skeptical of French owners for an iconic estate had to convince neighbors by being transparent about what they were doing at the estate
Before the takeover, prior 20 years, the business was not run wellRebuilt global distribution, did not have US distributionRe-connected with trade, critics, and consumers/collectorsWhat they kept the same
Reinforced market positionStyle of the winesWhat they changedNew vineyard philosophy (regenerative), replanted vineyards to improve quality, conducted soil studiesIncreased communications and more selective to the right people and thproperht channelsManaged pricing to reposition the brand to increase demandKeeping the brand fresh
want s to be closer to the trade and consumer, spend more time in the marketStorytelling of what is happening at the estate, not just the history, but todayâs actions that protect the futureLa Voce di Biondi Santi - started 3 years ago, selects one word each year that is part of their philosophy (this year is ârespectâ); creates novel/audiobook based on a keyword (e.g., Joanne Harris, author of Chocolat) and podcasts with winemaker and Giampiero around the keywordThe most effective initiative so far - repositioning the brand by increasing price â gave higher credibility and put the brand up another step, old vintages increasing in price on the secondary market, high demand on Liv-ex (one of few growing while price increasing), one of the top 35 wines in the world on Liv-ex
Growth for Biondi Santi = value growth; volume is complex to grow
Value-driven by increasing distribution globally to rarify the brand further, not just taking price, but increasing value, which is a consequence of many conditions, and not rushing value creation in the market
Biondi Santi is now in 2.0 after 1st five years, and the next step is to increase the quality of its presence in the world and be closer to partners and consumers
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In part 2 with Stevie Kim, Managing Director of Vinitaly, she explains how parent company Veronafiere invested in the various Vinitaly products and allowed her to experiment. Stevie also dives into her prolific content strategy, including the Italian Wine Podcast, which has over 2M downloads to date and where she sees value in marketing.
Detailed Show Notes:
Italian Wine Podcast
Initially created to develop content for VIA candidatesSomething different every day - up to 9 episodes published / weekExample shows: Ambassadorâs Corner - Italian Wine Ambassadors go deep with their favorite Italian producer; US Market Focus - different perspectives on the US wine marketNow ~2,000 episodes, they had to switch podcast distributors to Megaphone (Spotify) as most only host up to 500 episodesAudience - early on, was ~80% US & English speaking countries (the podcast is in English), and VIA students~6M total downloads with a broader audience than Vinitaly attendeesFunding the Vinitaly complex
Significant investment by Veronafiere, which is majority-owned by the city of VeronaItalian Trade Agency subsidizes some events - e.g., pays for transport for judges for 5 Star WinesSome ticket sales and sponsorship revenuePodcasts funded by Stevie personallyVeronafiere saw value in investing in Vinitaly products
Wanted to become more internationalAllowed Stevie to experiment with new products and invest in themStevieâs team has a large staff of content producers (video, social media)
Document everything they doCreate tons of content, of which only ~50% is usedStevie believes in being prolific - promotes discoveryMarketing products
Never advertise on LinkedIn - it is too expensiveInstagram - sometimes does advertising, conversion doesnât happen on IG, try to drive to the website to convert, more for attention vs. conversionFacebook - most wine producers on FB, more effective and efficient, can get ~$100k subscription revenue from ~$5k ad spendLess concerned with âvanityâ metrics like views and engagement, more interested in conversionsLooking forward - wants to bring more people to Italy and Vinitaly - it is the best way to convert people to Italian wine
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As the world's most prominent Italian wine fair, Vinitaly attracts ~4,000 producers and turns the entire city of Verona into Vinitaly. As Managing Director of Vinitaly, Stevie Kim has built a vast, international community around Vinitaly and its many other products surrounding it, becoming a "Vinitaly Marathon." Stevie goes into depth about why each product was started and how it plugs into the entire Vinitaly ecosystem in part 1 of this 2-part series.
Detailed Show Notes:
Stevie's background: born in Korea, grew up in New York, married an Italian, and moved to Italy; Veronafiere recruited her to lead Vinitaly
The Vinitaly "Marathon" (2025 schedule)
Vinitaly Intâl Academy ("VIA") - 5 days 5 Star Wines - 3 days (April 1-3)OperaWine - 1 day (April 5)Vinitaly - 4 days (April 6-9)Also, do events outside of Verona (New York, China, Hong Kong)
Vinitaly - established in 1967 in Verona
It started as œ pavilion, now 14 pavilionsLargest Italian wine event, primarily B2BThe entire town of Verona becomes VinitalyVinitaly in the city events for consumers~4k wineries (~60% of export market), accessories, winemaking equipmentAbout building long-term relationships - "the Italian way" - not just about doing business vs. Prowein's more business-orientedOperaWine
Partnered with Wine Spectator as the most influential entity for Italian wineThe winemaker or principal must pourBy invitation only, each producer chosen (130 producers) gets 10 invitesVIA
1,300 candidates so far, 398 certified Italian Wine AmbassadorsUsed to do Vinitaly tours and masterclasses globally, now transformed to VIADeveloped based on Stevie's experience building a medial master's program that created a deep communityFaculty - Sarah Heller MW, Attilio Scienza - vine geneticistDifficult exam, deep and wide syllabus primarily based on grape varieties, uses Italian Wine Unplugged 2.0 as the textbookHas a course that includes 4 days of tasting ~300 wines before the examRequires a group video project to ensure ambassadors can speak about winesCreates a big community around candidates and ambassadors - more important than the material itself5 Star Wines (fka Vinitaly Intâl Competition)
Gets international judges & VIA community opportunity to taste and rate Italian winesHelps producers - 90+ scores get a diploma during Vinitaly to display, which helps attendees navigate boothsDid a masterclass for producers w/ top scoring wines on why they scored highly, which helped them understand quality betterEvery tasting panel has an enologist, enabling the international community to connect with Italian winemakersWine2Wine business forum (Nov - after harvest, before Christmas)
The goal is to help producers better prepare for VinitalyHistorically, they had 40-70 workshops on business topics2023 - did tastings where wine critics taught how they assess and rate wines2024 - getting an overhaul, no parallel session, 8 plenary sessions, 6 tastings, new structured networking - rooms led by specialists w/ 10-12 attendees Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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Written by the Biondi-Santi family in 1967, the appellation rules for Brunello di Montalcino are some of the strictest in Italy. This has led to Brunello vineyard land becoming some of the most expensive in the country and led Brunello on the pathway to becoming one of the world's iconic wine regions. Giampiero Bertolini, CEO of Biondi-Santi, explains the terroir, regulations, and market for Brunello di Montalcino and his belief in pursuing value and quality over quantity.
Detailed Show Notes:
Giampiero's background - studied economics, worked at Procter & Gamble, entered the wine industry by chance
Brunello di Montalcino - hill in Tuscany, b/w coast and Apennine mountains, protected by mountains and with altitude
There are lots of different soils, and each location on a hill is differentSangiovese - only appellation in Italy with only one varietal, >150 clones (Biondi Santi uses 46 clones)1967 - 78 producers; today >250Quality has improved over the last 20 years, with more emphasis on viticulture
1970s - Franco Biondi Santi trialed 40 clones and chose BBS11 for their soil
Regulated production system
Created by the Biondi-Santi family in 1967Limited yields (Brunello - 8 tons/ha; Rosso - 9 tons/ha)Strict aging requirements - barrel min 12 months (Rosso), 24 months (Brunello, Riserva); bottle min 4 months (Rosso), 24 months (Brunello, Riserva); Brunello min 5 years totalSamples tasted by the Commission panelAppellation expanded ~20 years ago, now frozen at 2,100 ha2023 - Rosso appellation expanded (550 â 900ha)Biondi-Santi has a target style for their wines and matches vineyard lots to create style (~60% Brunello, 25% Rosso, remainder Riserva when made)
Some producers make single vineyards now (both Rosso and Brunello), but Biondi-Santi is not focused on that
The most expensive vineyard land in Italy ~â 1M/ha, a significant rise in 2015 when the 2010 vintage was released
Foreign investors (France, Brazil, Belgium, Swiss) are increasing the value of the land
Market for Brunello
The biggest is the US, developed by producer BanfiOther vital markets: Switzerland, the UK (higher-end wines), Hong Kong, ItalySales Channels
Rosso - more casual restaurants, wine bars, BTGBrunello - 50/50 on and off-premiseRiserva - mostly high-end retail as it is for collectorsFuture of Brunello - hopes the focus is on value and quality and not higher volume
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Making natural wines right out of university, Arianna Occhipinti, founder of Azienda Agricola Occhipinti, has quickly built a strong following globally, particularly in the US. Discovered by Louis/Dressner at a natural wine show around Vinitaly, Occhipintiâs focus on expressing terroir through natural farming and winemaking and doing everything with passion has led to continued success.
Detailed Show Notes:
She finished university in Milan, started making wine in 2004, and is interested in natural wines that speak of terroir
Based in Vittoria, Sicily, she makes wines from reds (Frappato, Nero dâAvola), whites (Albanello, Zibbibo, Grillo)
Started w/ 1ha farm in Fosso di Lupo (Frappato, Nero dâAvola)Cultivates a pluricultural farm for biodiversity - vineyards, orange, pear, wheat, vegetable garden2006 - built a small winery2013 - moved to another farm in BombolieriTerroir - limestone (lots of fossils), red sand, 250m above sea level, 8 km from the sea, 8 km from mountains, windy and dry -> lead to low pH wines
1st meeting with Louis/Dressner in 2006 at a Vinitaly adjacent natural wine fair
1st presentation of winesKevin McKenna tried the wines and got Jules Dressner to try them, where they immediately asked if they could import themStill working together, they are âvery pure peopleâOne of the 1st Italian producers that Louis/Dressner represented1st trip to US (âReal Wine Tourâ) - Louis/Dressner organized a young group of producers, with a lot of energy that toured the US
Traction partly from being an early mover in the natural wine movement
At the time, San Francisco (and Paris) were leading the world for natural wines
Natural wine bars (e.g. - Terroir Wine Bar)Leading restaurants (A16, Bar Agricole)LA (Domaine LA) and NY followedSommeliers promoted the wine and created strong relationshipsTraction was a combination of wine quality and consistency, restaurant promotion, and good communications
Convincing people who know a lot about wine (e.g., sommeliers) helped
In the US market ~1x / year
Louis/Dressner did a great job of selecting wine producers and having good relations with their clients
Advice for others - do everything with passion, potentially spend more time on trips to spend more time with people
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As the 26th generation family member to run Marchesi Antinori, Alessia Antinori, VP and Winemaker, knows the benefits of being a family-owned business, particularly around transmitting family values from generation to generation. These insights and values are shared as members of an elite group of family-owned wineries, the Primum Familae Vini. Alessia digs into the structure of the PFV, its purpose, and its activities to promote family businesses globally.
Detailed Show Notes:
Antinori Family - started in wine in 1385 as wine merchants in Florence and became a producer in the Chianti Classico region
Alessia is part of the 26th generation, the 27th generation also in the companyFather was part of the important 25th generation - in the 60s/70s changed towards a quality mindset vs. quantity focus for most of Italy, e.g., launched Tignanello (1st Super Tuscan)âBlending tradition and innovationâFamily members are not obliged to join the company but grow up around the wineryPrimum Familiae Vini (âPFVâ)
Founded in 1993 by Joseph Drouhin and Miguel Torres wineriesCurrent members include Vega Sicilia, Pol Roger, Chateau Mouton12 members, family-owned, old world (the exception was Opus One w/ Mondavis and Mouton Rothschild)When a family sells, a new winery is invited, often from a missing region (e.g., Jaboulet replaced by Beaucastel to keep a Rhone producer), look for high quality, shared values, and families get along (including children)Exchange one case of wine with each other every ChristmasFamily businesses are important to:
Transmit values from generation to generation (e.g., for Antinori - passion, integrity, obsession for quality)Can make decisions for future generations (long-term mindset)Two committees in the PFV - marketing & technical
Meet 3-4x / year virtually or in personMeet at least 2x/year (1 annual meeting - 2024 in Oregon hosted by Drouhins)Annual Meeting
Up to 100 people, several generations per familyBusiness meetings, lunches, dinnersEach year, a different family hosts an event and then becomes President of PFV for the following yearTopics - technical (Torres often has good topics), issues in family businesses, sales, legal issues, future PFV planningMostly, internal PFV presentersPromotion/marketing events
2024 - after Oregon hosted a press tasting in NapaUsually, press, charity, or walk-around tastingsPFV Family Prize - âthe most beautiful company of the yearâ
Family-owned businesses, not only wine, must have 3 generations working in the businessReceive financial and market support/cross-promotion1st year was a Belgian violin companyGiven every two yearsDo an event together with the press to present the awardPFV is funded by an annual fee from members
Collector Cases
Haute Couture case - 1 back vintage, iconic wine from each winery, only for charity, includes the PFV Passport, which is an invitation to visit each winery with lunch or dinner with a family member (many wineries closed to the public)Limited Edition case - 1 recent vintage wine for each winery can buy for âŹ25kAdvice for other family wine businesses - be very passionate about the work, be curious and passionate
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With 100+ years of history, many accolades, and distinctive mountain-grown sparkling wines, Ferrari Trento is still often confused with the car maker Ferrari. Matteo Lunelli, President and CEO, explains how Ferrari Trento leverages partnerships, including Formula 1, The Emmys, and others, to tell its story and grow its audience globally.
Detailed Show Notes:
Ferrari Trento overview
Founded in 1902 by Giulio Ferrari1952 - Bruno Lunelli (Matteoâs grandfather) acquired the wineryTrento DOC in NE Italy, in the middle of the Alps, famous for the Dolomite mountainsA leading brand for luxury sparkling wine in ItalyMethodo Classico - 2nd fermentation in the bottleMainly Chardonnay, Pinot NoirMountain sparkling wine - gets sunlight, but big diurnal shift to keep acidityPioneer of Trento DOC, started denomination, now 60 wineriesWon Sparkling Producer of the Year several timesAll estate vineyards are certified organic, winery carbon neutralIl Ferrari (masculine, the wine) vs La Ferrari (feminine, the car); separate companies, no familial relation
Formula 1 (âF1â) partnership - âOfficial Toast of F1â
Started as a dream, Matteo passionate about F1A team member who used to work at Heineken, which sponsored F1, started the conversation in 2019Share common values of search for excellence, tradition, and innovationStarted in April 2021Jeroboam used to celebrate wins on the podium, served in Paddock Club (hospitality)F1 exploded with Drive to Survive movie on NetflixNew races started in Miami and Las VegasFormerly used Champagne, 1st Italian wine used to celebrateROI is measured by growth in international sales (US sales 3x, TX 10x, Las Vegas huge growth since 2020), increased attention from key international accountsKey benefits of F1 partnership:
Visibility - social media key, particularly pics with drivers showing bottles during the celebration (easier to do for sparkling wine)Paddock Club - >5,000 guests in Las Vegas, serves fine dining during race weekends, high-end clientele experience Ferrari Trento, fine dining, and F1Create customer experiences - invite some customers to F1Race weekend activations - organize and partner with events around the race weekend, replaced prior market workBest article - Financial Times âWhy there will always be a Ferrari on the podium of F1âF1 label series - limited, special editions
Big interest in Jeroboams, celebrate like F1 championsF1 Editions - dedicated to some of the iconic Grand Prix, the shape of the racetrack on the label, very successful in race markets (e.g., Suzuka in Japan had a long time to buy wine)Creates a collectible wineEmmy Awards sponsorship
Ended w/ Covid, sponsored for ~5 yearsServed at Governorâs Ball just after the show, ~5k guests, black tie in LAHelped in the CA market and positioned Ferrari as a lifestyle brandTimed well w/the rise of importance of TV (e.g., Netflix/streaming movement)Only 1x/year vs 20 races/year w/ F11st non-Champagne organized blind tastings w/ prior sponsorsCreating value w/ partnerships requires activation and communication; the rule of thumb is to invest at least 1x sponsorship fee in activations
Mass market partnerships like F1 benefit Non-Vintage more than vintage/reserve wines
Vintage/reserve wines sold mostly to collectors, highly limited supply (only 60k bottles of Giulio Ferrari/year), and need different communication channels Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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With 88% of their wine exported, 93% of which is white, white wine is a big deal for New Zealand. Charlotte Read, General Manager of Brand for New Zealand Winegrowers, explains how they have been focused on promoting white wine globally. This includes campaigning for a white wine emoji, focusing on the the month of May with Sauvignon Blanc, Pinot Gris, and Chardonnay days, and focusing on their motto - âNZ wine, all together unique.â
Detailed Show Notes:
Charlotteâs background - dairy industry, lived in Asia and the UK, in wine for the last 20 years
NZ Winegrowers
Est 2002,1,400 members (50% wineries, 50% growers)Only unified winemaking and grape-growing organizationFunded by compulsory leviesMission: to enhance the reputation of NZ wine5 key workstreams: Brand, Environment, Efficacy, Research, PeopleTagline - âNZ wine, all together uniqueâ
Supports the 10 wine regions
NZ exports 88% of their wine to 100 countries
Top markets - US (~40% of exports), UK, Australia
Focus markets - Canada, China
Focused on white wine (93% of exports) for May - 3 events, Sauvignon Blanc Day, Pinot Gris Day, and Chardonnay Day
White wine emoji - leading a campaign over the last few years to have this implemented
Kendall Jackson previously campaigned for itChanged the glass shape to focus on white winesGotten great pressReached >20M people in 2022, 79M in 2023NZ has significant wine diversity - >50 grape varieties planted, SB #1, Pinot Gris, Pinot Noir (largest red, 3% of exports)
NZ wine style - purity of fruit, backbone of acidity
Marketing metrics used - estimated advertising value, reach and engagement, social media engagement, toolkit downloads
Lighter Wine Research Project - 7 years, $16M project w/ 18 wineries and government, led to the early launch of no and low alcohol wines (e.g., Giesen 0%, Kim Crawford Illuminate)
Overall, wine imports to the US are down, but NZ has outpaced the market; premium price ($15+) grew 15% in 2023
Targeting a group of âGeneration Treatersâ (mostly Millennials) - 1/10 of drinkers, but â of spend
Can cross-promote white wines - 63% of SB drinkers drink Pinot Gris, 67% of SB drinkers drink Chardonnay
NZ as innovators - moved to screw caps early (early 2000s), fast adopter of concrete eggs, experimenting with green tea as a preservative, no alcohol wine residual alcohol used for gin
Highest impact marketing - influencing the influencer (e.g., a WSET partner, work with Sommelier associations)
Major events
Has a booth at ProWein and Vinexpo Hong KongHosts International Sauvignon Blanc Conference every 4 years (2027)Hosts Pinot Noir Conference in between (Feb 2025)Sommit - summit for sommeliers, a master class settingTrends to watch
Sustainability (NZ has 96% of vineyards certified sustainable)Packaging innovationGrowing wine tourism Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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With insurance costs skyrocketing, having a good understanding of the types and amount of coverage needed for wineries and vineyards is becoming essential. As a broker for Country Financial, as well as the host of the Wine Crush Podcast, Heidi Moore describes what is necessary vs. optional for winery insurance and the changes happening in the industry.
Detailed Show Notes:
Insurance trends - very volatile now, Covid supply chain issues, wildfires / other natural disasters
Rates are soaring
FL/CA - natural disasters happening more, impacting insurance
If >5 mi from a fire station, insurance premiums can be double
Winery insurance is a niche market, so it is better to have expertise
Leakage & contamination are a big issue - often wineries do not have enough coverageGeneral liability and liquor liability are base levels of coverageRest is optional - a winery should look at what will break the business if it happensPremiums based on gross sales, inventory, and assets (e.g., buildings, barrels)Range of costs - small wineries ($1,500-2,000/year), larger wineries ($50-60k/year)CA - many companies have stopped writing business
Sometimes, there is state coverage for catastrophe-only coverage
Insurers often value inventory based on âfinal destinationâ (e.g., DTC vs. wholesale)
A wine library with increasing value should be looked at annually to see if coverage needs to be adjusted
Vineyard insurance is different from winery
Farm policy for an agricultural commodity (e.g., for runaway tractors)Crop insurance, which is federally subsidized, covers annual crop value and covers against smoke taint, fire, etcâŠ; often can insure at different value levels of the cropCan buy specific coverage for vines and equipment in vineyardsClimate change mostly impacts crop insurance vs farm policyBase level of insurance needed for winery w/ vineyard
Winery policy - covers tasting room, production, buildings, the commercial businessFarm policy - covers vineyard, buildings, farming operation, home autosDepending on assets - umbrella policy to cover assets (e.g., drunk driving accidents are expensive)When to stop buying insurance? Need a good agent who is your advocate
Value of a broker vs. direct from the insurer - can provide different options of insurance, the downside is they do not know policies as deeply
Wine Crush Podcast
Share stories of winemakers, encourage people who do not drink wine regularly to try itMostly OR wineries, expanding to WA, IDKey trends for wine insurance - circling in on natural disasters and how they affect policies
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With 27 years of research on the US wine consumer, the non-profit Wine Market Council is a critical industry resource. Liz Thach MW, the new President, dives into their most recent research on which wine consumers are buying, why, and how they buy. Members can get even deeper insight and access to the industryâs most robust database on US wine consumers.
Detailed Show Notes:
Wine Market Council (âWMCâ) - non-profit, formed in 1996
Mission - provide cutting-edge research on the US wine consumer purchasing habits, trends, and attitudesMembers use WMC data for marketing and brand strategiesUS wine sales
From 1934 - today - there have been several declines in consumptionThe last decline - 1990s - showed similar factors, increased anti-alcohol groups, large excise taxes; catalysts to growth (French Paradox, introduction of new products - e.g., White Zinfandel, wine spritzers, Merlot getting popular)Growth for 20+ years from the late 1990s, peaking during Covid2022 - decline in volume sales, 2023 - decline in volume (-9%) and $ salesWMC does a benchmark segmentation study of wine consumers every 2 years
Has done 19 over 27 years, the largest database of wine consumer trendsBoomers - drinking less (61% cutting alcohol, faster than expected)Millennials - finally coming to wine, took until they were in their 30s (have children, bought homes, settled down, more financially stable); spend more on wine (often $20+)Gen Z (oldest is 26) - had high wine adoption initially, but in the last 3 years, it has declined (âcool to be soberâ); 9% of Gen Z drinks wine, though only 33% are of legal drinking age; concerned about transparency of products (saw food scares, recalls), climate, and social equityWine drinkers are 60% married, 71% own homes, 53% live in suburbs
Ethnicity diversification making progress
By 2050, the majority of the US will be non-whiteTodayâs wine drinkers are 66% White (vs. 77-78% in the past), 15% Hispanic, 11% Black, and 5% AsianSignificant progress with Blacks and Asians, but less with Hispanics, which are the fastest growing population in the USCeja an example of a successful Hispanic owned winery, links wine and Hispanic cuisine and been successfulOther ways to enhance diversity - ads that look like âus,â diversity in the workforce, pop up events where the consumer is (e.g., a Mexican wine importer did pop-ups at Hispanic events with taco trucks)Premiumization is still happening, people drinking less, but better
$20+/bottle drinkers are now ~7-15% of the total US populationYounger people (21-30) purchasing more high-end wineBoomers dropping buying more expensive winesWhere people buy wine
SupermarketsWine shopsOnline now 12% vs. 5% pre-Covid29% buy on their phone93% of wine consumers on social media
#1 Facebook (Boomers)YouTube - 61% useInstagram - 55%TikTok - 40% (wineries canât advertise, but influencers can post)X/Twitter - went from #2 to #6Wine apps - 17%2024 trends
Anti-alcohol movement Talking about the benefits of wine (illegal for alcohol brands to discuss health) - WMC launched a social campaign called âWine isâŠâ (e.g., wine cocktails, family dinnersâŠ)Transparency/ingredient labeling (e.g., 50% of Americans believe wine has added sugar)Low / no alcohol movement - 40% of wine drinkers drinking less (of those, 40% drink non-alc spirits/cocktails, 35% NA beer, 34% NA wine)RTDs / single serving sizes Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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Having gotten bitten by the wine bug young and with deep wine retail experience, Devon Magee, founder of Offshore Wines, decided to start a small wine importer. Inspired by Kermit Lynch, Offshore focuses on small, artisanal brands making high quality, yet affordable wines. Devon shares how he bootstrapped the company and is finding his way as an importer.
Detailed Show Notes:
Background - mostly wine retail, did harvests in France (Vieux Telegraph, Chandon de Brialles in Burgundy - 2012-2014)
Inspired by Kermit Lynch, he was interested in writingOffshore Wines Portfolio
Christian Knott of Chandon de Brialles started a new project, Domaine Dandelion, and asked him to import them2017 - 1st shipment - 4 cases of Domaine Dandelion, 20 cases of Champagne Charles Dufour15-20 producers nowGoal: find high-quality wines made in an artisanal way from lesser appellations that are âaffordableââAffordableâ = $30-100 in US retailStarting an import business
He did it on his own, with no lawyers~2 months to get a license, ~$1-2k in feesNeed a licensed warehouse to receive wines (uses CA Wine Transport)Self-financed 1st shipmentCash flow is challenging
2-3 months for wines to land in warehouse (from France)Restaurants/retailers get 30 days termsPayment to wineries varies - most ~60-day terms from shipment, while others want payment upon shipment or 50/50 terms (upfront and on delivery)Lifestyle is fun, traveling and visiting rural areas
Choosing winery partners - a lot is timing, being at the right place, getting to know communities, and very relationship-based; most wineries are referrals from existing relationships
Offshore differentiation - speaks the winemakerâs language (French, Spanish), worked production, and is building deep personal relationships
Wineries are exclusive to CA, and only market Offshore works, though they sell to a small distributor in COFocus on small producers precludes needing to be in all 50 statesOptimal portfolio size ~25 wineries to be able to respond and represent wineries wellGets wine out for people to taste them, prefers personal connections over social mediaShares other aspects of what people are doing (e.g., got and gave away bags of coffee from a producer experimenting w/ carbonic coffee bean ferments, giving away sweatshirts from Domaine Hausherr with an artistic word game on the back)Devon is the only salesperson now, and he would ideally like 1-2 salespeople
Other salespeople have opened doors for him to help himBuilding small brands
Many people struggle with name pronunciation He tries to share wines, stories, and pictures of brandsHe doesnât agree with the need for scores and tasting notes; he uses email to share stories, wants to publish a newsletter eventuallyThe new style of wine writing can help small brands - e.g., Alice Feiring, Ray Isleâs new bookAdvice for others - be able to sell the wines
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As part of the importer series, Yi Xin Ong, Managing Partner of KOT Selections in Singapore, provides an international perspective. From Singaporeâs 2-3,000 active importers for the small island to the impact of international media, Yi Xin describes how KOT navigates the importing, distributing, and retailing of its portfolio of winegrowers.
Detailed Show Notes:
Background
Founded KOT in 2011 - they couldnât get the wines they were buying in Singapore, three partnersWork w/ 57 winegrowers, mainly in Europe, 6 in the USSingapore wine market (~6M population, ~20% Muslim - donât drink)
No 3-tier system, no govât monopolyIt is a pretty open market, like the UKMany players are vertically integrated - import, distribute, retail - with lots of captive distributors and retailersVery low barriers to entry - founded KOT in 2 months for S$200 to get licensing and paperworkHorizontally spread - ~2-3,000 active importers (in 2011, ~700 importers, mainly focused on Australia/NZ with either big brands or high-scoring wines)Two casinos / integrated resorts provided the spark for other wines (e.g., Marina Bay Sands opened in 2011)Generally, 1-1.5 generations behind the UK and US wine marketsTook inspiration from other importers - Kermit Lynch (CA), Louis / Dressner (NY), Yapp Brothers (UK Rhone Specialists) - importing wines others were not
Yapp - focused on winegrowersDressner - spent a lot of wine visiting growers, good storytellingKermit Lynch - newsletters (1970s) were key to storytelling for the wine growersStorytelling is critical to standing out in a crowded marketSourcing strategy - most wineries they bought from personally (90%) were not represented in Singapore
Informal rule - 5 visits to winegrowers between the three partners before they importBroad portfolios - easier to serve clients and fulfill their needsFocused portfolios - clearer story and differentiationOptimal portfolio size - ~50-70 to give each winegrower ~1 week/year of focusKOT differentiation
Market knowledgeLinks to trade, client baseTrust of the people (have only signed one contract, mainly handshake deals, exclusive relationships) -> been burnt occasionally with generational changeBuild brands in Singapore - a very organic approach
Get the right people to taste them - professionals, and influencers / Key Opinion Leaders (âKOLâ)Host tastings every year, even for highly allocated wines (e.g., Pierre Gonon)KOLs can drive demandIntâl media have a strong influence - English is the primary language
More important than local mediaOnly the top few have an impact - The Wine Advocate (Robert Parker), Jancis Robinson (less emphasis on scores, more on editorial content)Robert Parker had a big impact on the local market; a Singaporean bought the company100-point scores can drive sales spikesConsumer data/reviews can start trends, increasingly important
Vivino, Wine-Searcher, CellarTracker, Instagram75% wholesale, 25% direct-to-consumer sales (mainly e-commerce)
Private clients saw KOT through the pandemicTrade is vital for tourist demandSingaporean wine trends
New regions increasing, Japanese and Chinese winesValue increasing - ~$20-30 retail, ~$5-10 FOBThe low/no alcohol trend is not a thing yetRose has never been a trend Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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With a portfolio of luxury wineries, including Domaine de la Romanee-Conti and Biondi Santi, Wilson Daniels has developed deep expertise in marketing luxury wines. With allocations, deep tracking of where wines go, and a heavy event schedule, Shannon Coursey, EVP of Sales & Marketing, describes how taking great care of the wines is critical.
Detailed Show Notes:
Wilson Daniels (âWDâ) overview
Founded in 1978, they started as a domestic wine brokerage, In 1979, they were asked to represent Domaine de la Romanee-Conti (DRC) and became an importerRepresents 37 families with ~50 producers, ~â France, ~â Italy, ~â New WorldOwns distribution in 5 states~35 sales managers, sells ~600k cases/yearImporter role
Curate portfolioDistributor management - make sure strategy is executedCreate messaging with the wineriesPricing - for WD, keep consistent around the countryEducationChannel mix - on/off premise, national accounts, chainsWork with pressKeeping wineries top of mind in trade - does a lot of eventsSourcing
Sources wineries with estate vineyards, some with the ability to scale (~â of the portfolio), look for regions where they will not take away from existing producersAt optimal book size now, additions could be grower Champagne or 1-2 new Burgundy producersGrew portfolio a lot in recent years - ~20/37 families added in last 8 years, ~10 in last 3 years (including Gaja, Faiveley)Distributor management
With RNDC and Breakthru in ~50% of statesCreate groups within the portfolio to help distributorsManage pricing, inventory, programming (sometimes)Does not allow wine closeouts, prefers to buy backFast Start program - incentives for new placements, not volumeWholesale Manager Bonus - for distribution managers, often trip-basedOther support methods - ask to be on focus, market work, getting the producer in marketMarketing wines
Crafting messaging is critical, and some producers already know what they want (e.g., Gaja wants to be known as 4 different wineries)Does a lot of grassroots marketing - events around the country at top restaurants, visibility of on-premise placementsA lot of trips to wineriesIconic brands - taking care of the wine from start to finish, the allocation process is essential (~â of brands are allocated)Lesser known brands - more about visibility, messaging is critical, can target a broader base (e.g., use more social media)Luxury - 3 key segments - sommeliers, collectors, criticsFor larger brands, does some consumer marketing: e.g., Bisol Prosecco - did 15 city tours, wrapped an Alfa Romeo car in Bisol green, did press, consumer, and trade events; went from 7k cases (2015) to 120k cases (2024)Process for building brands in the US
Create messagingEducation - WD wholesale team, WD national team, distributorsPR launch kit and sales kitIdentify channel mix, including target account listEvents (very different for each producer - e.g., vintage tastings for Biondi Santi, Faiveley; Gaja - white launch, Tuscan properties, Sicilian tasting)Re-establishing brands that had poor marketing (e.g., Biondi Santi, Dal Forno)
Need to work through inventory in the gray marketDonât lower prices to match the gray marketMake a splash on new vintage releasesDal Forno - launches in the US 6 months before the rest of the world, helps reduce gray market activityPrivate client group / direct-to-consumer
~300 people by invitation onlyExperience-drivenMembers support the entire WD portfolio Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
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In part 2 of our series with Nick Ramkowsky, Owner of Vine Connections, Nick describes how he builds brands in the US market, striving to turn âannualâ brands into âperennialâ ones. Partnering with distributors both directly and working independently with consistency helps create a virtuous cycle of long-term relationships. Nick also covers his interest in sake and how it overlaps with sales strategies for wine.
Detailed Show Notes:
Two types of brands
Perennials - brands where accounts grow in value each vintage; very few become thisAnnuals - need to sell the same case to a new account each year; everything starts hereThe goal is to build brands into perennials
Getting to perennials includes having value in the bottle, packaging (VC has three designers on staff), relationships (finding the right spots/customers for brands and supporting the accounts (staff trainings, consumer events)), identifying champions on the distributor sales team, and press
Creating brand value as an importer - consumers believe in the importerâs book through consistent producers and quality across the portfolio
Consistency helps develop brands
Marketing strategies to build distributor demand
Press (primarily critics)Effective distributor work withs (distributors need confidence importer will support them)Creating credibility in the marketplace (trade events, work withs, samples, incentive/launch programs)Canât outspend more prominent importers for incentives, need to create unique ones - e.g., one supplier affiliated w/ custom made shirts, created incentive around the shirtsSetting suggested retail price (âSRPâ)
Through tasting, looking at the competitive set, and where the winery wants to be$1 in home country becomes ~$3 at retail in USSales strategies
VC has ten salespeople across the USDo work withs with distributors, but also on their own to not overwhelm distributor repsPartner with reps, sending recaps for follow-upSake - started in 2002
He went to Japan to work in a brewery to study the processHad to make more accessible - standardized back label, 1st to put English names on front labelsThey use the same distribution network as winePlace importance on education; VP of Sake Monica Samuels is a great educatorNow, 20% of the Japanese imported sake marketRecommends drinking sake from a wine glass, at cellar temp, or warmed to order for hot sakeKome website is more focused on the style of sake (e.g., fruity/floral vs. round/rustic) vs. grade now46 prefectures brew sake - lots of expression of placeGluten and sulfite-freeWine importing trends - people drinking less, but better (Gen Z - less alcohol, and non-alc drinks, believes they will look at wine more as they age; value premium products that are authentic, smaller, good stewards of land)
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After falling in love with wine through a year abroad in Burgundy in high school, Nick Ramkowsky, Owner of Vine Connections, has built a premium national importer of South American wines and sake. Nick discusses the types of wine importers in the US, how he thinks about building a brand portfolio, and the keys to success as an importer in part 1 of this 2-part series.
Detailed Show Notes:
Vine Connections
A national import and marketing company based in CA and has a retail licenseFocus on regions with winemaking history but not globally recognizedStarted as a broker and distributor (when Nick was 25)Worked with Billington Imports and met Laura Catena, went to Argentina, and fell in love with winesEstablished 1st premium portfolio of Argentine wines (1999-2000) - least expensive wine was $24 retail2002 - imported sake2013 - 1st premium Chilean wine portfolioHas wholesalers in all 50 states, including RNDC (#2 in the US), Breakthru (#3), and other smaller ones30 people today, from 2 originallySplit company in 2 - Kome Collective (Japanese), GeoVino (wines)Types of wine importers
All importers are also distributors in their stateSales Geography - can be state, regional, or national; Vine Connections is national for control over brands all the way through, exclusive for all 50 states, contracts w/ producers outline the responsibilities of importer and producerPortfolio Focus - world or specialized; Vine Connections is specialized in S America and sakeRole of importer
Bring wines in, warehouse, sell to distributors, & work with sales teams to sell to various channels (on-premise, off-premise, chains)Work with press, do consumer events, lots of training and educationSourcing wines
Looks at people first, then property, and consistency in product and pricingNew wines donât cannibalize the current portfolioComplementary driven by a sense of place and identity, even if the same region, varietal, price pointLooking at expanding to more regions to take advantage of the distribution networkOriginally specialized to have more of an identity as an importerOptimal book size - has ~120 SKUs in portfolio vs. ~900 at some importers and ~10,000 for RNDC as a distributor; optimal size varies by business model (e.g., focused on chains vs. independent stores/restaurants)More in not better - high cost to inventory and more challenging to prioritizePricing wines
In general, SRP is fixed, but each state is different (based on freight & tax differences, distributor margins (larger tend to work on lower margins), and retailer margins (some take less margin)Selling wines
Used to self-distribute in CA, now uses wholesalers (couldnât service all the accounts, wanted to focus on national sales)Distributor salespeople donât have time to focus on everythingImporter needs to generate interest in brandsKey elements for success
Find good partners - share the same philosophy (quality, value, consistency), support each otherVine Connections doesnât add new wineries often (only one new Chilean winery); only one winery left in 20+ years$1M revenue/employee benchmark for successVine Connections differentiation - good communications, both in transfer and transparency (e.g., sales by state), consider Vine Connections an extension of the winery
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To give their customers the ability to trade up and a broader selection than whatâs inside their 1,900+ grocery stores, Albertsons Companies have launched Vine & Cellar. Curtis Mann, MW, Group VP of Alcohol, discusses the greater selection, wine description and storytelling, and flexibility Albertsons has with Vine & Cellar to complement their in-store offerings.
Detailed Show Notes:
Curtisâ background
Worked at IRI / Circana (database of retail scan data)Worked in retail wine stores and restaurantsWas head of beverages at Raleyâs (grocery) before AlbertsonsAlbertsons Companies
1,900 stores that sell wineA lot of value wine, some specialty stores (e.g., Pavilions, Hagens) sell fine wineWest Coast - more domestic (~40% import, 60% domestic), East Coast - more importsVine & Cellar (âV&Câ) online wine store
Wine only now, no beer & spirits yetCA only now will expand to others (e.g., WA, IL)Extension on top of the grocery store websiteHas a larger selection of wines (2,300 items vs. average 800-1,000 at typical stores, up to 1,500 at some stores) - e.g., Super 2nd Bordeaux, allocated CA Pinot NoirWines are only available to ship via UPS (vs. in-store pickup or delivery)Can use the same checkout process for groceries and V&CBenefits for consumers of V&C
Curated wine selections that are representative of their regionsBuy groceries and V&C wines and checkout togetherMore flexibility - can do wine dinners, in-store tastings, wine clubsGoals of V&C
Let customers continue to explore and trade up on wines and not trade out of AlbertsonsDonât cannibalize in-store, but more add-on, incremental purchasesCapture a portion of the wine DTC marketOnline vs. in-store buying
More imported wines onlineBroader selections vs more volume of the same wines in-storeAvg bottle price is $10 higher on V&C than highest in-store~œ V&C customers buying iconic wines (e.g., Silver Oak), ~œ exploring (e.g., Burgundies in the $50-100 range)V&C customer is both existing Albertsons and some new customersYou can put a lot more details/descriptors of wines onlineOnline buys in 6 or 12 packs to economize on shippingMarketing V&C
QR codes inside storesVinecellar.comSome ads on the website, V&C wines come up during a search for wines if they are not offered in-storeEvents / PRNapa Safeway has V&C featured wines in-storeSome paid search, Wine-SearcherLoyalty programs - now Albertsons customers get promo codes for V&C
Wine trends - less high-end wines, people focused on value / high QPR
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2023 wrap-up for the wine business
Topics we covered in 2023
Sustainability (8-part series that had Drew Bledsoe to CEO of Silver Oak David Duncan and across the world from the US to Spain to Bordeaux)State of the Wine Collector (LA, Dallas)Leveraging non-govât organizations (VDP, Grand Pagos) to promote wineRevenge travel
Post-Covid move back to in-person / offices -> delivery of wine -> reduced visitors to wine country and people buying wine to stock and drink at homeAmericans Took Record-Setting Vacations In Summer Of âRevenge Travelâ - 32.8% of households went on vacation (a record since data kept in 2015)Online retailer issues - Underground Cellar (April 2023), SommSelect (July 2022), Winc (Nov 2022, 1 year after going public) all went bankrupt, others struggling back to 2019 or even lower levels
More missing bottles w/ Sherry Lehman (~Mar - Aug 2023), Chelsea wine storageInflation / economic slowdown globally and impact on wine market
Bleak outlook for 2024 as fine wine buyers narrow their focus - Liv-Ex indexes down double digits year to date; âflight to qualityâ - Bordeaux benefiting, Burgundy, Champagne downInflation is used as the âreasonâ many wineries increase wine pricesBBC article on wine pricing increasing - glass, labor, fruit - all getting more expensive and wineries increasing price; and burgundy/napa/champagne got very expensive, consumers starting to pull backMany napa wines taking prices up to $300+ (Memento Mori - $225 -> $300)Chinese consumption is as low as 1996 levels, - the peak of 19.6M HL in 2017 to 8.8M HL in 2022 (#8 globally) vs. US in the top slot at 34M HLGlobal health/wellness; Millenial/Gen Z slowing down alcohol consumption
WHO says no alcohol is good for you (released a statement Jan 2023)Gen Z drink 20% less than Mill, who drink less than prior generations - college-age abstainers went from 20% -> 28% in the last 20 years (to 2020) Better non-alc and low-alc alternatives (kombucha, pot, mushrooms, better no/lo options for alcohol)Is wine part of the good life?
Wine, particularly fine wine, is used differently than beer & spirits; it is also better from a health perspective The Wine Access interview re-emphasized - the experiences with wineThe Italian lifestyle / holy trinity of the good life - cheese, wine, & bread Get access to library episodesHosted on Acast. See acast.com/privacy for more information.
- Se mer
