by Tim Elliott on June 30, 2009
There are many in the wine industry who don’t believe in social media. Many others need more information in order to make up their minds. The rest are trying to figure out how to get started. But when I encounter those who are not on the social media bus, I simply respond with:
“Social media today is where websites were in 1994…”
As a marketer who fought the internet battles of the mid-90′s and then again in the dot-com years, I have developed a philosophical attitude toward such things. Either you get on the bus with us now or you will really want to know how to do social marketing in 2-3 years when that’s how wine is marketed; your choice.
I was reminded why I hold this opinion by a piece today at WineBusiness.com. Dr. Liz Thach of Sonoma State University lays out some very interesting data about how the Millennial generation is taking to wine. Money quote:
More than 65% said their preferred method to make a purchase decision is based on “word of mouth.” So where does the “word” emanate from? In most cases it is with friends in either face to face settings; online social networking forums; or via texting.
So online and mobile marketing is the way wine and everything else will be sold to Millennials who make up the largest block of consumers since the Baby Boomers. This may be the most compelling evidence I’ve seen about why wineries should get into social media. Many of their current and all of their future customers will demand it.
by Tim Elliott on June 1, 2009
News broke yesterday afternoon on Twitter that New Vine Logistics was shut down. Locks on doors kind of stuff; most employees out of work. Not a good turn of events for what looked like the company to watch when the economy bounced back and consumers regularly bought wines again over $30 a bottle. They were the logistics partner for Amazon.com after-all; how could this happen?
I’m sure we will see a lot of information come to light in coming days but I was not as surprised about the result here, just the rapid nature of New Vine’s demise without much warning to their customers. If you are a small to medium winery 100% bought into New Vine and had a club shipment this month, you have a serious problem to solve.
But I think that most wineries will weather this storm and find alternative shippers or take this task back in house. For few this will be the death blow as some have postulated. There will be some lasting scars from this turn of events that will effect the future of direct wine shipments that I would like to spend most of this post discussing. But first, triage.
If you are a winery selling a significant amount of wine via New Vine, take a deep breath. The sky is not falling even if it looks that way right now. There are a number of questions that will be answered in the coming days. I would heed Mike Duffy’s advice and send an email to your customers telling them you are waiting to hear about next steps and are working to find alternative vendors (WTN Services even offered a press release today looking to help you out but I’d also call WorldShipNet; many other smaller outfits will call you shortly if they haven’t already). If you have already run credit cards for a club shipment, I would wait until the end of the week before issuing credits. We’ll know a lot more then.
The future of direct wine shipping is not at risk here; this is just a bump in the road. Although there are a lot of moving parts and regulations to deal with, the wine consumer of the future will buy a lot of wine direct. I expect to see a move to online purchasing as Amazon gets going. And, yes, I think they are going to make wine.amazon.com a destination site yet this year. Either they will buy New Vine this week or more likely hire the people they need to do the logistics themselves.
It appears that New Vine fell victim to this economy, their optimism that outran their headlights and Amazon’s due diligence. In a “make or buy” decision, the folks in Seattle chose to make; probably for very good reasons. The direct shipping of wine to consumers is not going away; New Vine appears to be. But we don’t know all the facts yet. Post what you do know in the comments.
Interesting times, these… to say the least.
Update 6/2/09: Many questions answered in a post by Lewis Perdue | DEAD! – New Vine Withers After Amazon Bolts & Investors Pull Plug
by Tim Elliott on March 6, 2009
Image via CrunchBase
As a winery engages in conversational marketing one of the first places they setup shop is on Facebook. The social network provides wineries with a destination to foster community and engage customers directly. It also acts as an extension of a permission email campaign making things like events very easy to send to friends of the winery.
But Facebook also presents a winery with a decision of which type of presence, on a Page or a Group. Both offer similar features so it’s probably best to start with what makes them different. Facebook Pages present a winery to anyone on the internet, registered to Facebook or not. It’s content is also indexed into search engines like any other webpage. Facebook Groups, like personal profiles, require the visitor to join before they are able to view the content and participate. This feature alone is enough for many to just choose Pages but Groups also has a major advantage over Pages; bulk invites. This feature allows anyone in the group to pass group invites along to their network of friends giving the winery viral marketing benefits.
But two other features really make Facebook Pages compelling for wineries: visitor metrics and social ads. While Groups only gives the winery a count of membership, Pages goes on step further with page views and other visitor statistics. Additionally, targeted social ads can be launched on Facebook pointing them back to your Page (wine is no longer prohibited in their advertising guidelines).
Therefore I always recommend Facebook Pages over Groups to wineries if they are not doing both. Groups can still be used for hosting forum-like discussions (with wine club members, for example) while a Page is used to promote the brand generally. But if you are choosing only one, Pages is the best choice.