Tag Archives: wine marketing

Post-modern wine marketing

wine marketing

Wine marketing is not just about shelf talkers anymore.

Wine marketing, like the rest of the wine business, has always been done the same way — some junk written on the back label, mostly useless, and the cute labels that have been the biggest innovation over the past couple of decades. Otherwise, unless there is a shelf talker (the printed card attached to the shelf under the wine with a score or description of the product), you’re on your own.

That was always fine with the wine business, which assumed that anyone who went into a store was going to buy a bottle, so what was the point otherwise? There is even a term for this — “building a brand,” in which the distributor and retailer work together to sell you certain wines.

This is one reason why there has traditionally been so little advertising, TV or otherwise, for a $40 billion industry. Ketchup ads are everywhere, even though the ketchup market is 1/80th the size of wine.

All of which is changing, thanks to our friends at Big Wine. They understand, in a way that their forebears did not, that wine has become just another category in the food business, and it needs to be marketed like ketchup. We may not see TV spots with fresh young things touting wine the way they do yogurt, but we’re going to see more and slicker efforts to get us to buy specific wine brands.

Perhaps even more important, these ads will focus on consumers who don’t buy wine in the small retail shops that have traditionally been the backbone of the wine business. As an executive at one of the biggest wine companies in the world told me a couple of weeks ago, the future of wine retailing is Costco, Total Wine, and grocery stores, so expect Big Wine to target consumers who shop there. This is revolutionary for wine, where it has always been about making a decision on brand in the store. You may want red wine for dinner, but which red wine? Big Wine, knowing no one is around to help you pick a specific red wine at a supermarket, wants you to decide on their brand before you go to the store. It’s all about brand loyalty, the same way it is with Heinz and Tide.

Hence, these two marketing efforts, which are just the beginning. This spring, Little Black Dress, the $8 brand owned by Fetzer (which itself is owned by Chile’s $1 billion Concha y Toro), did a spa day sweepstakes, where “entrants will be asked to tell Little Black Dress about their best friend and why she deserves a day of pampering for a chance to win two $300 gift cards to a local spa.” I can’t imagine too many of the Winestream Media’s favorite “oaky and toasty, redolent of cigar box aroma” wines doing this.

Or baseball wine. Seriously. Nineteen teams have official wines, made by some company called Wine by Design and part of the “MLB® Club Series wine collection.” Who cares what the wine tastes like? It has my team’s logo on it, so let’s buy a case.

Again, this is about cutting the tie between retailer and consumer, which has always been essential to selling wine. Big Wine doesn’t need the traditional retailer, and it’s going to do everything it can to usher in post-modern wine marketing.

For more on wine marketing:
Chateau Ste. Michelle, wine marketing, and wine blogging
Diet wine, and why we’re stuck with it
When Blue Nun ruled the world

Winebits 401: Randall Grahm crowdfunding, grape diseases, craft wine


crowdfunding• Crowdfunding success: Randall Grahm, the Bonny Doon impresario, raised $167,857 in his crowdfunding attempt to develop 10,000 new grape varieties, beating the $150,000 goal. Which isn’t quite the same thing as the Wine Curmudgeon being named editor of the Wine Spectator with a mandate to eliminate scores, but is close enough. Most crowdfunding projects fail, and it’s even more difficult for projects that aren’t tech related (as Grahm and I discussed here) to reach their goal. That he did it speaks to the passion surrounding wine and Grahm’s skill at getting out the vote. And then there is this — how can one not appreciate a Salinger allusion?

The end of Pierce’s Disease? Next to phylloxera, which almost destroyed the French wine industry a century ago, Pierce’s Disease is probably the most dangerous threat to the wine business. It’s spread by insects which inject bacteria into the vine, and the bacteria blocks water from going through the plant, which kills it. There’s no cure or treatment, and the only preventative is pesticide, which brings its own problems. Now, though, Texas researchers may have found a solution, using a combination of viruses injected into the vine to kill the bacteria. Much work still needs to be done, say researchers, but this is among the most promising developments in fighting Pierce’s in decades.

It’s all about the adjective: Our recent discussion about craft wine brings this, from the Harris survey people, about how consumers react to terms like craft and artisan. The survey found that almost six in 10 think handcrafted or handmade “strongly or somewhat communicates that a product is high quality.” Artisan and artisanal and custom are next at 46 percent, while craft is at 44 percent. The most interesting part? That save for handcrafted, most of us recognize these terms for what they are — marketing jargon with no real meaning.

Winebits 388: The world hates expensive wine


expensive wineThe cyber-ether has been full of vitriol for expensive wine over the past month, so much so that even the Wine Curmudgeon has wondered what’s going on. Some of these posts make me seem like a “bring on the $100 samples” member of the Winestream Media:

Damn you, Napa cabernet: Something called Vox Observatory, which is part of the company that owns the chi-chi Eater food site and the SB Nation sports blogs, posted a video called “Expensive wine is for suckers.” The results? Not only is expensive wine overpriced, but many of the tasters said they liked the way the cheap wine tasted better than they liked the way the expensive wine tasted. One even went so far as to say that she was glad she had cheap wine taste. I wonder: Would Eater have run a similar post, citing the cheap and simple qualities of grocery store tomatoes over $15 organic, heirloom tomatoes? Of course not. This post speaks directly to the cliches the wine business and the Winestream Media reinforce about wine, and how their approach intimidates people who aren’t wine drinkers.

Grocery store cheap wine: The cheapest offers the best value, according to a study done among British supermarkets. Almost two-thirds of the wines sold at Lidl and Aldi, known for their low prices, were called a good value; at least half the wine at six other chains was judged a poor value; and three-quarters of the wine at the bottom grocer was called a poor value. This is an amazing result, and not just because so much wine in grocery stores is so ordinary. It speaks to the concept of premiumization, and that producers and retailers aren’t giving us better wine when we pay more money, but the same wine in better packaging and with more expensive marketing.

The placebo effect: Think your pricey wine tastes better than the cheap wine I drink? That may be because you want it to, says a study in the Journal of Marketing Research. Says the report: “Expectations truly influence neurobiological responses,” and there are even brain scans to prove it. Again, not a surprising result, and especially for those of us who have spent our professional careers trying to educate people on the differences between cheap and expensive wine.

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